[Congressional Record Volume 157, Number 120 (Tuesday, August 2, 2011)]
[Senate]
[Pages S5228-S5230]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
BUDGET CONTROL ACT
Mr. CORKER. Mr. President, I want to speak just momentarily about the
legislation that was just passed.
I, for the last 14 months traveling my State in almost every nook and
cranny, have talked about the situation our country is in, talked about
possible solutions, and offered legislation--the only bipartisan,
bicameral legislation offered until this point--to deal with our
country's deficits and debt.
I had hoped that we would figure out a way to deal with $5 trillion
to $7 trillion worth of spending and/or savings over the next 10 years,
and finally decided that $4 trillion was the magic number. I know the
markets had looked at that, the rating agencies looked at that, the
people who buy our Treasurys had looked at that number. Over the course
of the last few weeks, it became apparent that $3 trillion was probably
the most that was going to be achieved, and then now we have ended up
with this bill that passed today, and I supported that hoping to
achieve $2.1 trillion to $2.4 trillion in savings over the next decade.
Mr. President, obviously, like many of us in this body on both sides
of the aisle who know our country is in dire straits and we have a lot
of work to do, I am disappointed at the magnitude of this legislation.
But I am hopeful and thankful that we have taken the first step. I
think this is going to be a decade of us having to focus on our
country's irresponsibility over the past many years. Both parties, no
doubt, have been responsible for putting us in this situation. It is
going to take both parties to move us away from where we are. But I
think everyone in this body fully understands that on the present
course our country's best days are behind us. I think all of us want to
ensure that this country's greatness continues; that we can continue to
display American exceptionalism not only here but around the world.
I look at this solely as the first step. I know we are going to have
an appropriations opportunity to look at even more savings at the end
of September. I know we are going to have a committee that is going to
be looking at this during the months of November and December. I know
we are going to have a series of opportunities for us to deal with
this. Again, today was just a first step.
I learned through a lifetime of business, starting with doing very,
very small projects at the age of 25 when I first went in business,
that as a company, you can never go broke taking a profit. What I have
learned in the Senate is you should never say no to spending cuts.
So while these spending cuts are not of the magnitude that I would
like to have seen, I think this is a very good first step and is
something that we can all build upon. I look forward to working with
people on both sides of the aisle to ensure that this is just the first
step and that our country continues to have the discipline, the
fortitude, the courage, and the will to make the tough decisions that
all of us know we are going to need to make over the course of the next
many years.
That is what we owe these young pages who are getting ready to leave
after service to this country over the last month; that is what we owe
future generations; that is what we owe Americans; and, candidly, that
is what we owe the world as citizens of this world; that is, for us to
be disciplined and to know that we have to live within our means and to
know the best thing we can possibly do as a country at this moment in
time is to show we have that courage and that will.
Mr. President, I thank you for the time to speak on this topic. I
know all of us leave here and go home to recess. I know many of us will
be talking about the vast amount of work that needs to be done as it
relates to making sure we rein in this out-of-control spending that has
been taking place for many years. I look forward to that. I look
forward to talking to citizens back in Tennessee, and I look forward to
coming back in September and dealing with folks on both sides of the
aisle to make sure we put that thought into action.
I yield the floor.
The PRESIDING OFFICER. The Senator from Indiana.
Mr. COATS. Mr. President, I want to thank the Senator from Tennessee,
Mr. Corker, for what he just said. I want to affirm the extraordinary
amount of effort he has made to not only inform this Senate body of the
crisis that we face financially, but also to come forward with some
very constructive solutions on how to deal with this crisis.
I know he is disappointed that we were not able to reach a better
solution than the one voted on today. I know he struggled to decide
what was the best course to follow moving forward. In the end, he
decided to support the bill as a first step; but, as he said, this is
the first step of what probably will be a decade-long challenge facing
all of us to successfully address this deep hole of debt we have dug
for ourselves as a nation.
I rise today to speak, sharing all those concerns, certainly
believing that our work has just started and there is much more to do.
But also as someone who decided to vote against the bill that we just
had before us. I have not taken this vote lightly.
For the past 1\1/2\ years, as a candidate I traveled the State of
Indiana, to just about every town and city in the State, talking to
thousands and thousands of Hoosiers on a day-after-day basis hearing
what they had to say. If, frankly, I could categorize their thoughts
into one statement, it would be a deep concern about the future of our
country and a deep desire to have their elected representatives go to
Washington and do everything they can to address this situation.
I have spent the last 7 months in the Senate hearing from hundreds,
if not thousands, of Hoosiers who have written, called, visited, and
talked with me back at home. Nothing has changed except the urgency of
these concerns, and the deep worries that they have expressed have
simply grown.
We saw, in 2010, Americans across the country express their desire
for Congress to get hold of our fiscal situation; that the era of
spending, of promising beyond our means, was over, and that we had to
take major steps to reverse that. That is why I decided to return to
the Senate, to come back to work to help repair our country's economic
future. I came back to work on the things that many consider
politically toxic: entitlement reform, tax reform, passing a balanced
budget amendment to make sure that we would never end up in this
situation again; that if there was a legacy that we could pass on to
our children, if there was something that we could do for the future of
our country, something that we could do for our children and
grandchildren, and everyone's children and grandchildren, it would be
to never have them have to go through what we are going through now
because we had taken fiscal responsibility, passing a balanced budget
amendment that would, as we are sworn in, require each of us to come
here and put our left hand on the Bible and our right hand in the air,
to repeat the oath to honor the Constitution, and that Constitution
would attain a balanced budget amendment as a requirement.
So before taking this vote, I pondered for days and nights about the
many Hoosiers who had put their faith and confidence in me and sent me
back to the Senate to do everything I could to accomplish this
goal. Some of those Hoosiers had tears in their eyes, worried about the
future for themselves and for their children. Some had fingers in my
chest, saying: Don't let me down. Don't go and settle for too little.
Do everything you can. That is what I have tried to do.
After giving it consideration, I decided not to support this bill
because I could not come to grips with having to come back and tell
Hoosiers that this is the best we could do.
I do wish to recognize the work and leadership, the strategy and the
efforts of our minority leader, Senator McConnell, and whip, Senator
Kyl, those in leadership and others--John Boehner and Eric Cantor in
the House and the people who represented Republicans at the White
House.
[[Page S5229]]
I, like most of us who serve here, appreciate their hard work and
understand their frustration at Washington's inability to accomplish a
meaningful goal, a grand bargain or at least a big plan that would put
us significantly on the way to fiscal reform. I don't hold them liable
at all or anybody who voted for this bill. As Senator Corker just said
and as others have said and can say: Look, this is the best we could
do. We will keep going.
I applaud that. It is just that I thought we could have done so much
more when the crisis we face is so severe, when the consequences are so
great and imminent. It is not 2013. It is not even 2012. It is now. I
don't know what the rating agencies are going to do because of our
debt. Many were saying that this vote would not result in a debt
downgrade. I think already we have heard information to the contrary,
that that is not the case. That means the full faith and confidence in
the United States of America as being that last safe haven of safety is
put at risk.
We have taken a step in the right direction. It is a small step. It
is a marathon we have to run, and we do need to go much further. I
believe the bill we just passed is significantly short of what is
needed to address the severity of the crisis.
Senator Corker said there has been a consensus that a minimum of $4
trillion of cuts are needed over the next 10 years, with true
enforcement mechanisms to lock those cuts in place. We achieved just
half of that in the bill we passed.
I have been stating over and over that the reality is if we do not
address health care spending and the entitlements that provide benefits
through Medicaid and Medicare, the virtual consensus is, no matter what
else we do, we will not be able to solve the problem. This is an area
that people do not want to talk about. It is supposedly the third rail
of politics. It is suicide to bring it up, and there have been a lot of
efforts to avoid these tough choices. But that is what we are going to
have to do.
It has been avoided in this bill, pushed off to the selection of a
special committee of six Senators, six Congressmen; balanced, six and
six from each party, to come up with an additional $1 trillion of
savings or perhaps a little more. I have some real reservations about
whether this committee should have to do this in the first place
because that is the job of Congress, all of us. That is what we were
elected to do and we were not able to do it. We have turned it over to
12 Members of Congress. I am not sure how they are going to accomplish
what we were not able to. Nevertheless, I hope and pray they are
successful, and I hope they will address, in whatever recommendation
they make to us later this year, entitlement reform and make a
commitment to tax reform: entitlement reform because that spending is
bankrupting this country and is denying future seniors benefits they
are counting on--who are dependent on Social Security and Medicare--
denying them the opportunity to rest easy that their benefits will
remain the same or increase with the cost of living.
The situation the trustees have reported regarding the future of the
Medicare Part A is that serious cuts will have to be made unless we
take measures now to reform the system in a way that preserves those
benefits for those currently on it and those within, say, 10 years of
retirement. We all know we have to do this. We all know, if we do not
do this, we simply will not be able to accomplish what we need to, no
matter what else we do.
The real work is ahead. Congress must commit to address the root
causes of our problem and our debt. We have to make the difficult
choices necessary to restore economic growth and good-paying jobs for
the American people. That is where tax reform comes in.
On a bipartisan basis, Senator Ron Wyden of Oregon, a Democrat, and
myself have joined together to put together a comprehensive tax reform
bill. I give Senator Judd Gregg credit for the 2 years he spent with
Senator Wyden putting this together. Senator Wyden and I worked
together for the last 7 months, making additional changes and
improvements to that product. If we are going to have a growth
component to grow our way--through a more prosperous economy--out of
the debt problem we have, that has to include not only spending cuts,
but it has to include real tax reform.
Those special interests out there that are receiving exemptions and
special breaks, credits, subsidies--those are going to have to be
closed out on a rational basis. We can retain some of the legitimate
deductions, such as mortgage interest and charitable deductions, but
most have to be eliminated. Those funds and revenues generated from
elimination of those special interests have to be used to reduce rates
to make our businesses more competitive, to give them a rate that is
competitive with businesses around the world.
We are literally at the highest tax rate of all 36 of our worldwide
competitors. That has to be adjusted. In doing so, we can stimulate our
economy to grow, and we can bring in revenue on the basis of that
growth. More companies will be making more money and therefore paying
more taxes and more people will be at work and getting paychecks and
therefore contributing what they are not contributing now.
Past tax reform efforts, on a comprehensive basis, have proven the
best stimulus we can provide for an economy and the best thing we can
do to get an economy thriving and moving again is getting people back
to work. So entitlement reform--absolutely necessary to preserve those
programs for future retirees and benefits that current retirees are
receiving--and tax reform to move our economy forward need to be the
core of what this special 12-member committee deals with and
recommends.
My litmus test for this next tranche is that there be a commitment to
move forward in these two critical areas that will have more impact on
our future than anything else we do or have done so far to date.
I know we have committed, through this bill that just passed, to take
up, debate, and vote on a balanced budget amendment. Clearly, if we
want to ensure and guarantee the future solvency of our country and the
future confidence of our citizens, we need to impose upon the
Constitution an amendment that balances the budget or we will find
ourselves back in this situation as the propensity of Congress to spend
and not say no to anyone will continue. It seems to be almost part of
who we are. It is so hard to say no to someone. It is easier now,
first, because we don't have the money and, second, we have expanded
this government beyond its ability to fulfill its responsibilities
correctly.
The work is ahead. We have to address the root causes. My sleeves are
rolled up. I will continue to push forward to rein in spending. I will
continue to work to reform the Tax Code so businesses can provide more
jobs and be more competitive. I will not back away from addressing the
need for entitlement reform. We need to restructure those programs to
keep them from becoming bankrupt and denying important retirement
benefits for our citizens.
Now is the time for us in the Congress, whether we voted for this
bill or against this bill--I am not criticizing anyone who voted for it
because many of those believed it is the first of many steps. It was
not adequate, in my opinion, but at least it was a first step. I do not
believe we should be criticizing those who made that decision.
It also addressed the question of default. I did not support default,
which is why I suggested a short-term plan. I believed this initial
bill being presented to us was woefully inadequate for what we need to
do right now to send the right signals that we are on a serious path to
reform. I was willing to allow for a debt increase of a limited period
of time, 6 to 8 weeks, cancel our recess, work to find a better
solution that could achieve more support and gain confidence in the
investment industry that we have taken a serious step forward.
That obviously did not go forward. But, nevertheless, when we return
from recess, all of us, whether we voted yes or no, must make a
commitment to engage, plunge into the problem, to do whatever is
necessary--not political necessary, whatever is necessary for the
future of our country. That is our challenge, and I hope we will rise
to that challenge.
I have not given up on our ability to respond to the will of the
people and to respond to the crisis we face. So, yea or
[[Page S5230]]
nay, let's all agree to come back with a focus on where we need to go,
what we need to do, and the courage to make the tough choices for the
future.
I yield the floor and suggest the absence of a quorum.
The PRESIDING OFFICER. The clerk will call the roll.
The legislative clerk proceeded to call the roll.
Mr. KERRY. Mr. President, I ask unanimous consent that the order for
the quorum call be rescinded.
The PRESIDING OFFICER (Mr. Franken). Without objection, it is so
ordered.
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