[Congressional Record (Bound Edition), Volume 149 (2003), Part 2]
[Senate]
[Pages 1482-1485]
[From the U.S. Government Publishing Office, www.gpo.gov]




    MAKING FURTHER CONTINUING APPROPRIATIONS FOR FISCAL YEAR 2003--
                               Continued

  The PRESIDING OFFICER. The Senator from Maine.

[[Page 1483]]


  Ms. COLLINS. Mr. President, I ask unanimous consent that the 
following Senators be added as cosponsors to the LIHEAP amendment just 
adopted: Senators Grassley, Specter, Lieberman, Kohl, Baucus, and 
Lincoln.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  Ms. COLLINS. I thank the Chair.
  Mr. President, Senator Jack Reed and I have offered an amendment that 
provides for the immediate release of $300 million in funds for the Low 
Income Home Energy Assistance Program, also known as LIHEAP.
  I thank the chair and ranking member of the Labor-HHS Appropriations 
Subcommittee, Senators Specter and Harkin, for their efforts in support 
of this critical program. Despite the extremely difficult fiscal 
constraints facing our Nation, Senators Specter and Harkin have managed 
to provide $1.7 billion in regular-year LIHEAP funds in the Omnibus 
Appropriations Act. This is $300 million more than the administration's 
request.
  Unfortunately, while the bill before us provides more regular LIHEAP 
funds than the administration requested, the total funding, which 
includes both regular funding and emergency funding, is considerably 
less than was provided in fiscal year 2002. In fact, total LIHEAP 
funding in this bill falls $300 million below the total funding 
provided in fiscal year 2002. It is also $300 million below the total 
funds provided in the Labor-HHS appropriations bill which passed the 
Senate Appropriations Committee on July 18, 2002, by a vote of 29 to 0.
  Mr. President, the amendment that Senator Reed of Rhode Island and I 
have offered would provide for the immediate release of an additional 
$300 million for low-income heating assistance by designating emergency 
funds provided in the Supplemental Appropriations Act of 2001 as 
regular-year funds for fiscal year 2003.
  For that reason, our amendment is fiscally responsible. Because these 
funds were already made available, our amendment does not increase 
total spending in the omnibus appropriations bill. These are funds that 
were already approved. The effect of our amendment is for this $300 
million to be released immediately.
  Some might argue that these funds should not be released unless the 
President declares an emergency. Anyone who thinks that we don't 
currently have an emergency in home heating assistance should visit 
with a low-income family in Houlton, ME. Houlton recently experienced 
the coldest temperature of any place in the lower 48 States. A few days 
ago, temperatures in Houlton were 19 degrees below zero. Tonight, the 
forecast, with windchill, is for the temperature range to be from 20 to 
40 below in some parts of my home State. When the temperature is that 
cold, and you do not have money in your budget to heat your home, that 
is an emergency.
  Adding to the problem of exceptionally cold winter weather, energy 
prices have escalated dramatically. The cessation of oil exports from 
Venezuela, as well as the prospect of a war in the Middle East, have 
pushed the price of crude oil up by nearly $6 per barrel in the last 
month. Home heating oil inventories are near 5-year lows, and prices 
are 20 percent higher than last winter. The Energy Information 
Administration predicts that home heating oil prices could rise 45 
percent by the time winter is over. The price of natural gas, kerosene, 
and other fuels are facing similar pressures.
  In addition to a cold winter and high energy prices, we are also 
facing difficult economic times. Unemployment has reached an 8-year 
high. In Maine, as in many States, low-income and unemployed workers 
are struggling. Just last week, Great Northern Paper, the largest 
employer in northern Maine, filed for bankruptcy and laid off its 
workforce of more than 1,000 employees.
  In short, we are facing a ``perfect storm'' of high energy prices, 
exceedingly cold weather, and a difficult economy. With little prospect 
for a quick resolution of the crises in Iraq and Venezuela, continued 
forecasts for a cold winter, and the dubious prospects for a very quick 
economic rebound, all of us living in cold weather climates will face 
challenges in order to heat our homes this winter.
  This combination of factors strains everyone's pocketbook, but, of 
course, it places a particular burden on seniors living on limited 
incomes and on our low-income families. These families already carry a 
higher energy burden than most Americans. They can spend up to 20 or 25 
percent of their entire income just paying their home energy bills. No 
one should have to choose between heating their homes or putting food 
on the table, having prescriptions in the medicine cabinet, or even 
staying in their homes altogether.
  Experience has shown, however, that pressures to pay energy bills and 
the inability to pay have resulted in increased medical expenses for 
our elderly, malnutrition for our children, and even homelessness. As 
an indicator of just how difficult this winter has been in my home 
State, let me tell you that 10,000 more people in Maine have applied 
for low-income heating assistance this year compared to last year.
  Unfortunately, even as the need has increased, the amount of 
assistance has declined. In Maine, the average household benefit has 
seen a steady decline over the last four winters. In the winter of 1999 
to 2000, the average LIHEAP benefit for a Maine family was $491. The 
next year, it had fallen to $433. By last winter, the number had 
further declined to $358. Fortunately, with the approval of the Reed-
Collins amendment, we can reverse this decline or at least ensure that 
more Maine families will be helped; otherwise, low-income Maine 
families struggling to heat their homes will only receive between $330 
and $350 this winter, not nearly enough to help.
  I would like to say a word about the history of the LIHEAP funds that 
our amendment addresses. The Supplemental Appropriations Act of 2001 
provided an extra $300 million in LIHEAP funds in order to help low 
income families deal with high energy prices. Report language 
specifically directed that at least $150 million of these funds were to 
be used to address unmet needs resulting from high energy prices. The 
other half of the money was directed to be used to meet the most 
critical needs arising from energy cost increases and increases in 
unemployment, among other things.
  I have been working for the better part of 2 years to secure the 
release of these funds. On August 13, 2001, I joined Senator Reed, 
Senator Kennedy, and a number of my colleagues in sending a letter to 
the President requesting the release of the very same $300 million in 
emergency funds from the fiscal year 2001 supplemental appropriations 
bill. On September 10, 2001, I again joined many of my colleagues in 
sending a letter to OMB director Mitch Daniels requesting the immediate 
release of these funds. On October 26, 2001, 17 Senators joined Senator 
Reed and me in a letter to the Senate Minority and Majority leader 
requesting legislative language to require the release of these funds. 
On October 30, 2001, I offered an amendment to the fiscal year 2002 
Labor, Health and Human Services appropriations bill expressing the 
sense of the Senate that these funds should be released immediately. 
That amendment was supported by Senators Specter and Harkin and passed 
the Senate as part of the fiscal year 2002 Labor-HHS bill.
  On February 12, 2002, I joined my colleague Senator Snowe in sending 
a letter to the President again requesting the release of these same 
funds. On September 23, 2002, Senator Reed and I were joined by Senator 
Specter, Senator Harkin, and 35 of our colleagues in a letter to the 
President requesting the release of $200 million in emergency funds 
that were made available as part of the fiscal year 2002 Labor-HHS 
Appropriations Bill. These funds expired without ever being spent. 
Finally, on December 23, 2002, half of our colleagues joined Senator 
Reed and me in sending a letter to the administration requesting a 
total of $2 billion in fiscal year 2003 funding--which is the same 
amount made available by combining the $300 million in my amendment 
with the $1.7 billion already in the bill.
  The LIHEAP program is essential in helping many low-income families 
get

[[Page 1484]]

through the winter months. This has been an unusually cold winter. This 
has been a year where home heating prices have soared. This has been a 
year where the economy has been difficult. The combination of those 
three factors calls out for us to provide this additional assistance.
  I am very pleased that our colleagues have joined together with an 
overwhelming vote. I hope very much this provision will be retained in 
the final conference report.
  Mr. President, I yield back the remainder of my time.
  Mr. SARBANES. Mr. President, I come to the floor today to talk about 
the HUD/VA appropriations bill contained in the omnibus package 
currently under consideration by the Senate. I want to commend Senators 
Mikulski and Bond for recognizing the importance of providing Americans 
with the opportunity to live in decent, safe, and affordable housing. 
However, despite their efforts, housing programs suffer from a lack of 
adequate funding in this bill.
  The Appropriations Committee faced tough choices in revising their 
fiscal year 2003 bills, due to the decision to cut domestic programs 
substantially across the board. Senate appropriations were forced to 
cut almost $10 billion from their earlier spending decisions for fiscal 
year 2003. More than $1 billion of this cut comes from critical housing 
programs. While the Senate bill before us today is far superior to the 
House appropriations bill, it does not provide adequate resources. Now 
is not the time to cut $1 billion from the social safety net. Over 
100,000 people lost their jobs last month, and unemployment continues 
to be high. Working families deserve our support, and instead of 
providing it to them, we continue to cut programs that help people 
provide for their families.
  While the administration is asking us to provide a tax cut of $674 
billion, primarily for the wealthiest Americans, over $1 billion in 
funding is being cut from programs that help low-income families afford 
housing. The problem of affordable housing has become a crisis for many 
working families all across America. According to a recent study, 14 
percent of families pay over half of their income in rent or live in 
substandard housing. The significant gap between the wages of low-
income workers and housing costs makes evident that housing assistance 
is necessary for many working families. On average, a family in this 
country needs to earn almost $15 an hour to afford a modest two-bedroom 
apartment. This is almost three times the minimum wage.
  When millions of American families are unable to afford decent and 
safe housing, the consequences are serious and far-reaching. When 
children do not have stable home environments, their health suffers as 
does their educational attainment. In addition, housing assistance can 
help people transition from welfare to work. Recent studies have found 
that people leaving welfare who receive housing assistance retain 
employment for longer and make more than those who do not receive such 
assistance. Unfortunately, this bill does not do enough to ensure that 
working and elderly families in this country can afford safe and decent 
housing.
  Just last week, HUD announced that housing authorities around the 
country will be facing drastic cuts in their operating funding. These 
cuts are due to HUD's error in estimating public housing needs. Because 
of HUD's mistake, there was a $250 million shortfall in the operating 
fund in fiscal year 2002. Upon learning of this shortfall, HUD 
indicated that it would seek additional funding from Congress. 
Unfortunately, HUD never asked for these funds. Instead, HUD will use 
fiscal year 2003 funds; to make up for the shortfall. This means that 
we are starting out with a $250 million cut in the program this year. 
This cut will leave housing authorities with no choice but to scale 
back their programs, lay off staff and put off needed repairs.
  HUD should request, and we should provide additional funding to make 
sure that families in public housing are adequately housed. In 
addition, HUD must provide as much funding as possible to PHAs under 
the current budget situation. Housing authorities are currently 
receiving only 70 percent of their funding. This is an unnecessary and 
irresponsible cut. Even assuming a loss of $250 million from fiscal 
year 2003 funds, HUD should be able to provide at least 90 percent of 
operating costs to public house authorities. If HUD intends to fund 
public housing at higher levels later in the year, as they have 
announced, they should do so now, thereby helping PHAs avoid 
unnecessarily cutting off assistance to needy families.
  In addition to under-funding the public housing operating account, 
the HUD appropriations bill cuts $160 million from the Public Housing 
Capital Fund, which is used to repair and modernize public housing. 
Over 1.5 million families reside in public housing, housing that is 
generally safe and decent. However, this older housing stock is in need 
of constant maintenance. Capital needs in public housing grow by $2.3 
billion every year, and the backlog of needed capital repairs is over 
$20 billion. If we do not adequately fund the Public Housing Capital 
Fund, this backlog will continue to grow, threatening the homes of 1.5 
million American families and the Federal Government's substantial 
investment in this housing.
  While I strongly oppose the cuts in the public housing program, there 
are some important provisions contained in this bill that I 
wholeheartedly support. This bill fixes a serious problem created by 
the House Committee and ensures that Section 8 housing vouchers, a 
critical housing resource, are not lost. The House appropriations bill, 
H.R. 5605, will result in the immediate loss of over 125,000 vouchers 
and will lead to the continued loss of housing vouchers over time. 
Though the bill before us today cuts funding from the voucher program, 
it does so in a way that guarantees that all vouchers in use will be 
funded, and ensures that housing authorities can serve as many families 
as possible with the vouchers they are allocated. This is an important 
provision, and I want to commend Senators Bond and Mikulski for 
including this in the HUD/VA appropriations bill.
  I am also pleased that the Senate retains $100 million in interest 
reduction payments for housing uses. Unfortunately, the House bill 
complies with the administration's request to rescind this $100 million 
which should be used to rehabilitate affordable housing. Given the 
great need for housing around the country, it is remarkable that we 
would rescind funding which could be used to increase housing 
opportunities. The Senate bill rightly requires that HUD use these 
funds to modernize affordable housing. Unfortunately, HUD has refused 
to take any action to use these IRP funds for their intended purpose, 
and I urge HUD to quickly comply with congressional intent and 
distribute these needed dollars.
  Affordable, stable housing is the bedrock of stable, vibrant 
communities. Unfortunately, too many Americans find themselves in 
precarious housing situations in neighborhoods of despair. The 
continued cuts to housing programs supported by the current 
administration will hurt the millions of Americans who live in public 
housing or received housing vouchers, and the millions more Americans 
who are in need of housing assistance. These cuts will be felt all 
around the country. I hope that the administration will recognize this 
and the growing housing needs around the country and I urge them to 
fully fund Federal housing programs in the fiscal year 2004 budget. I 
am also hopeful that the Senate bill, which ensures the viability of 
the housing voucher program, prevails at conference with the House.


                           democracy programs

  Mr. McCONNELL. Mr. President, the ranking member of the Foreign 
Operations Subcommittee and I intended to include the following section 
in the report accompanying the FY 2003 Foreign Operations, Export 
Financing, and Related Programs appropriations bill. I ask unanimous 
consent that it be printed in the Record following the remarks of the 
Senator from Vermont.
  The PRESIDING OFFICER. Without objection, it is so ordered.

[[Page 1485]]

  (See exhibit 1.)
  Mr. LEAHY. My friend from Kentucky and I agreed to include this 
section in the report, but we regret that it was not included before 
the report hit the printing presses. It is our hope and expectation 
that it be considered as if included in the fiscal year 2003 Foreign 
Operations report, as originally printed in the Record last week.

                               Exhibit 1

                  Democracy Oversight and Coordination

       The Committee strongly supports programs and activities 
     that advance democracy and freedom abroad, and has included 
     funding in this Act for specific democracy programs it 
     believes are important to United States security interests. 
     The Committee believes that democracy promotion abroad can be 
     an effective bulwark against terrorism, if properly 
     established and implemented.
       However, the Committee remains concerned with the 
     inconsistent application of democracy programs by State and 
     USAID, and the apparent lack of coordination of these 
     programs within, and between, the agencies. For example, 
     while the Committee applauds State's comprehensive review of 
     Middle East democracy programs, it is perplexed by its lack 
     of leadership and support for the advancement of democracy in 
     Burma.
       In order to address these concerns, the Committee 
     recommends that State and USAID jointly conduct a 
     comprehensive review of democracy programs, and consider 
     centralizing oversight and coordination within the Bureau of 
     Democracy, Human Rights, and Labor. The Committee will review 
     the progress made in this endeavor as it considers action on 
     the fiscal year 2004 foreign operations appropriations bill.

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