[Congressional Record Volume 166, Number 216 (Saturday, December 19, 2020)]
[Senate]
[Pages S7833-S7835]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
Coronavirus
Mr. CORNYN. Mr. President, as we all know by now, yesterday brought
even more great news on the vaccine front. The FDA has now issued an
emergency approval for a second COVID-19 Vaccine. This one will be
developed by the American biotech company Moderna and millions of doses
will be distributed across the country. I should say millions more
doses will be distributed across the country in the coming days.
As we know, the first vaccine approved, which was created by Pfizer
and BioNTech, was approved just over a week ago, and already thousands
of healthcare workers have been vaccinated. In my State, we expect a
million people--a million Texans--to be vaccinated by the end of this
month, which is a remarkable achievement and one we ought to celebrate.
Both of these vaccines will be extraordinarily effective, estimated
to be 95 percent effective. If you think about the seasonal flu
vaccine, for example, it is, generally speaking, no more than 60
percent effective and many times far less. So 95 percent represents an
amazing accomplishment. So the American people have every reason to be
optimistic about our ability to put this virus in the rearview mirror,
once and for all.
As we now know, the first round of Pfizer vaccines were sent to major
hospitals across the country, including more than 100 in my State.
Unfortunately, rural areas were almost entirely excluded. This is
largely because of the infrastructure required to use the Pfizer
vaccine, which must be kept at a negative 94 degrees Fahrenheit, which
is significantly colder than the average freezer. While you are likely
to find these ultra-low-temperature freezers in major hospitals and
major research labs, they are far less likely to be found in smaller,
rural hospitals. So when the first round of Pfizer vaccines went out
the door, they were only sent to hospitals with the necessary equipment
and a large number of workers who needed the vaccine. As a result,
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the healthcare heroes in rural areas, who have been fighting the same
virus, often with fewer staff, fewer resources, and fewer treatments,
were left waiting. But we have every reason to believe that this will
change with the approval of the Moderna vaccine. This doesn't require
the same low temperature storage and can be kept at around 40 degrees
Fahrenheit for 30 days. This will make it easier to safely transport
these vaccines from manufacturing sites to rural parts of Texas and the
rest of the country and ensure that all of our healthcare heroes, our
frontline workers, and, eventually, the general public will not be left
behind.
There is no reason why rural healthcare workers in Texas or anywhere
should be denied this lifesaving vaccine when their peers in larger
urban areas are already receiving it. This is yet another reason to
celebrate the approval of the second successful vaccine, and I am eager
for the Moderna vaccine to arrive in healthcare facilities across
Texas.
Mr. President, that brings me to the business that remains before the
Senate today and, likely, for the next couple of days. After months of
trying to come together on coronavirus legislation--months--the last
several days have given the American people a lot of reason to hope.
First of all, it seems like, for the first time in months, there is
actually bipartisan interest in achieving an agreement. That wasn't the
case in the runup to the election, where we had at least three or more
cloture votes fail in the Senate.
So for months additional coronavirus relief was defeated by our
Democratic colleagues who weren't even interested in the runup to the
election on providing additional relief after the CARES Act passed last
March. But, hopefully, that has all changed now after the election.
Negotiators are working around the clock to reach an agreement that
will gain the support of both parties and reach the President's desk
before we gavel out for the holidays. But the days are dragging on, the
clock is ticking, and the time is running out.
I want to mention two things--one about the process, and the other is
about the substance included in whatever the package will look like.
First of all, given the way that this is being negotiated, basically
there are four people who are negotiating this massive spending package
on behalf of the 535 Members of Congress, and essentially, because this
has been pushed off until these last days of the 116th session of
Congress, the only thing most rank-and-file Members will be able to do
is to vote up or down. In other words, there is no opportunity to amend
it through regular order.
I just have to say, this is a terrible way to do business, and in the
future, I hope we do better because this is almost the worst of all
worlds when it comes to legislating. But we know our backs are against
the wall because of the politics leading up to the election, where we
haven't been able to do more since March, and so we have to do what we
have to do.
The second thing I want to mention, which is more about substance, is
about the Paycheck Protection Program and the deductibility of ordinary
business expenses. I believe the Paycheck Protection Program has been
one of the most successful parts of our COVID-19 economic relief. The
goal, of course, was to provide small businesses access to low-interest
loans, which could be converted into grants based upon their
willingness to maintain their payroll and keep their employees
connected with the business.
The hope was that these businesses would survive and would rebound
after we got the virus in the rearview mirror. We didn't know how long
that was going to last, and, indeed, it has lasted longer than any of
us would have wanted or had planned. But it is important that this
Paycheck Protection Program be revived because time is running out.
In my State, roughly $41 billion has been granted or--excuse me--
loaned with potential for grants to about 417,000 businesses. This has
been an essential part of our response to COVID-19 and the economic
fallout associated with it. But when we passed the PPP program in
March, we expected--the Congress expected that businesses that got the
loans that were converted to grants would be able to deduct their
ordinary business expenses in the year 2020.
Now, I know that may not be the best tax policy in the world, but we
could choose one of two ways to get financial relief to the small
businesses. We can shovel money in the front door, or we can allow them
to deduct their ordinary business expenses even though they received a
grant from the Federal Government.
The reason why I say I know this was part of the understanding in
March when we passed the bill is because I have now--because of the
Treasury Department's opposition to the deductibility of ordinary
business expenses for the recipients of the PPP grant, because of the
Treasury Department's position that those are not deductible, we have
had to file legislation which will override the Treasury Department's
guidance and allow for that deductibility.
Again, this is not an ideal way to write tax policy, but under the
exigent circumstances here, I think it makes perfect sense. Again, you
can either write more checks on the front end, or you can allow
businesses financial relief by deducting their ordinary expenses on the
back end.
What I fear will happen, because of the opposition of the Treasury
Department, is that, come January, the businesses that have received
this incredibly important PPP benefit will find themselves having to
pick up--having a tax bill, which will reverse, if not negate, the
benefit that we intended by developing the PPP program in the first
place. This will happen as early as January when many businesses have
to pay their estimated tax. There will be an incredible backlash, I
believe, because I think the recipients of the PPP loans and grants
have every reason to expect, as Congress intended, that they would be
able to deduct their ordinary business expenses.
What is going to happen if we don't fix that in this underlying bill?
Well, we are going to end up doing it next year, I promise you, because
I think the backlash we are going to feel here from the businesses that
have been suffering, have been hanging on by a thread--that all of a
sudden, they have an unexpected tax bill of roughly, according to the
Wall Street Journal, about $120 billion worth.
We ultimately are going to have to fix that, so we might as well fix
it on the front end rather than on the back end after our constituents
who have been the recipients of the PPP grants rise up in outrage,
really, that we haven't taken care of this now when we should. So I
hope that in the negotiations on this COVID-19 relief bill, we include
the deductibility of ordinary business expenses for recipients of PPP
grants
The funding we provided earlier this year for vaccine distribution
has already been depleted, and States are dipping into other sources of
funding to ensure they have the capabilities to carry out the
widespread vaccination effort. That is another reason why we need to
pass this COVID-19 relief bill as soon as possible.
Workers lost bolstered Federal unemployment benefits at the end of
July, and they are set to lose additional benefits the day after
Christmas.
Small businesses, as I said, are struggling to stay afloat,
especially as the winter weather hampers outdoor dining and events. I
saw the snow that hit New York, where many of the restaurants--because
they have been shut down, indoor dining has been shut down. They tried
to build up some infrastructure outside their restaurants, but now even
those have been closed down because of the weather.
People are hurting and need help. Parents and teachers are wondering
when their children will be able to return to in-person learning and
how schools will be able to keep them safe when they do.
The list goes on and on.
Earlier this year, we made a $3 trillion investment in our war
against COVID-19, and that funding has been critical, not only to get
us to where we are today in terms of therapeutics and vaccines but also
to keep our economy from tanking entirely. But those funds are drying
up, programs are expiring, and the American people are counting on us
once again to provide the support they need.
There appear to be a few remaining sticking points in the
negotiations, but
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there is no reason why Congress shouldn't be able to reach an
agreement. The steady drip of information from congressional leaders is
encouraging, but progress doesn't pay the bills.
Enough time has been wasted this year on partisanship and political
posturing. We have reached a make-it-or-break-it moment, and there is
no room for inaction. The American people are looking to us to protect
their health and their livelihoods, and we cannot let them down.
I yield the floor.
I suggest the absence of a quorum.
The PRESIDING OFFICER. The clerk will call the roll.
The senior assistant legislative clerk proceeded to call the roll.
Mr. LEAHY. Mr. President, I ask unanimous consent that the order for
the quorum call be rescinded.
The PRESIDING OFFICER. Without objection, it is so ordered.
Mr. LEAHY. Mr. President, I am going to be speaking just a few
minutes on another matter, and I believe I will have time at 1 o'clock.
With nobody else seeking the floor at the moment, I would just add to
what the distinguished Senator from Texas just said. I discussed this
with him off the floor after he spoke.
There is a concern about what might be in the omnibus bill and in the
COVID bill, and here on a Saturday and tomorrow, Sunday, or whatever,
we are finished, and we are rushing it through. I would remind
everybody that we were ready to bring up the appropriations bills that
make up the omnibus in July. The House of Representatives had sent
over--in June, it sent over their COVID bill. We could have brought it
up then. We could have started having a series of votes. It might have
taken us 2 or 3 weeks to have votes every day on different parts of
their proposal--Democrats' proposals, Republicans' proposals, the
Appropriations' proposals--and vote them up or down. I had urged that.
Republicans have the majority in the U.S. Senate. If they didn't like
proposals the Democrats had, they could vote them down. But instead
they seemed almost terrified to vote.
Ah, but there was a reason. We would have had to take 2 or 3 weeks to
vote all of this up or down, but we had to take, instead, the time to
put through lifetime judgeships of people who have been recommended by
special interest groups. That is beneath the U.S. Senate.
But, unfortunately, while these people got lifetime jobs with high
pay, hundreds of thousands and millions of Americans have lost their
jobs, have lost their places to live, are unable to educate their
children, and hundreds of thousands have lost their lives. This is not
the U.S. Senate's finest hour.
We should have been doing our job and voting these things up or down.
I know some may be afraid of what they had to vote, but so what? I have
cast over 16,000 votes. Not all of them were easy, but I never thought
there was any question about whether I would vote.
(Mrs. HYDE-SMITH assumed the Chair.)