[Congressional Record (Bound Edition), Volume 155 (2009), Part 7]
[House]
[Pages 8593-8598]
[From the U.S. Government Publishing Office, www.gpo.gov]




SPECIAL INSPECTOR GENERAL FOR THE TROUBLED ASSET RELIEF PROGRAM ACT OF 
                                  2009

  Mr. MOORE of Kansas. Madam Speaker, I move to suspend the rules and 
pass the Senate bill (S. 383) to amend the Emergency Economic 
Stabilization Act of 2008 (division A of Public Law 110-343) to provide 
the Special Inspector General with additional authorities and 
responsibilities, and for other purposes.
  The Clerk read the title of the Senate bill.
  The text of the Senate bill is as follows:

                                 S. 383

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Special Inspector General 
     for the Troubled Asset Relief Program Act of 2009''.

     SEC. 2. AUDIT AND INVESTIGATION AUTHORITIES.

       Section 121 of the Emergency Economic Stabilization Act of 
     2008 (division A of Public Law 110-343) is amended--

[[Page 8594]]

       (1) in subsection (c), by adding at the end the following:
       ``(4)(A) Except as provided under subparagraph (B) and in 
     addition to the duties specified in paragraphs (1), (2), and 
     (3), the Special Inspector General shall have the authority 
     to conduct, supervise, and coordinate an audit or 
     investigation of any action taken under this title as the 
     Special Inspector General determines appropriate.
       ``(B) Subparagraph (A) shall not apply to any action taken 
     under section 115, 116, 117, or 125.''; and
       (2) in subsection (d)--
       (A) in paragraph (2), by striking ``subsection (c)(1)'' and 
     inserting ``subsection (c)(1) and (4)''; and
       (B) by adding at the end the following:
       ``(3) The Office of the Special Inspector General for the 
     Troubled Asset Relief Program shall be treated as an office 
     included under section 6(e)(3) of the Inspector General Act 
     of 1978 (5 U.S.C. App.) relating to the exemption from the 
     initial determination of eligibility by the Attorney 
     General.''.

     SEC. 3. PERSONNEL AUTHORITIES.

       Section 121(e) of the Emergency Economic Stabilization Act 
     of 2008 (division A of Public Law 110-343) is amended--
       (1) in paragraph (1)--
       (A) by inserting ``(A)'' after ``(1)''; and
       (B) by adding at the end the following:
       ``(B)(i) Subject to clause (ii), the Special Inspector 
     General may exercise the authorities of subsections (b) 
     through (i) of section 3161 of title 5, United States Code 
     (without regard to subsection (a) of that section).
       ``(ii) In exercising the employment authorities under 
     subsection (b) of section 3161 of title 5, United States 
     Code, as provided under clause (i) of this subparagraph--
       ``(I) the Special Inspector General may not make any 
     appointment on and after the date occurring 6 months after 
     the date of enactment of the Special Inspector General for 
     the Troubled Asset Relief Program Act of 2009;
       ``(II) paragraph (2) of that subsection (relating to 
     periods of appointments) shall not apply; and
       ``(III) no period of appointment may exceed the date on 
     which the Office of the Special Inspector General terminates 
     under subsection (k).''; and
       (2) by adding at the end the following:
       ``(5)(A) Except as provided under subparagraph (B), if an 
     annuitant receiving an annuity from the Civil Service 
     Retirement and Disability Fund becomes employed in a position 
     within the Office of the Special Inspector General for the 
     Troubled Asset Relief Program, his annuity shall continue. An 
     annuitant so reemployed shall not be considered an employee 
     for purposes of chapter 83 or 84.
       ``(B) Subparagraph (A) shall apply to--
       ``(i) not more than 25 employees at any time as designated 
     by the Special Inspector General; and
       ``(ii) pay periods beginning after the date of enactment of 
     the Special Inspector General for the Troubled Asset Relief 
     Program Act of 2009.''.

     SEC. 4. RESPONSE TO AUDITS AND COOPERATION AND COORDINATION 
                   WITH OTHER ENTITIES.

       Section 121 of the Emergency Economic Stabilization Act of 
     2008 (division A of Public Law 110-343) is amended--
       (1) by redesignating subsections (f), (g), and (h) as 
     subsections (i), (j), and (k), respectively; and
       (2) by inserting after subsection (e) the following:
       ``(f) Corrective Responses to Audit Problems.--The 
     Secretary shall--
       ``(1) take action to address deficiencies identified by a 
     report or investigation of the Special Inspector General or 
     other auditor engaged by the TARP; or
       ``(2) certify to appropriate committees of Congress that no 
     action is necessary or appropriate.
       ``(g) Cooperation and Coordination With Other Entities.--In 
     carrying out the duties, responsibilities, and authorities of 
     the Special Inspector General under this section, the Special 
     Inspector General shall work with each of the following 
     entities, with a view toward avoiding duplication of effort 
     and ensuring comprehensive oversight of the Troubled Asset 
     Relief Program through effective cooperation and 
     coordination:
       ``(1) The Inspector General of the Department of Treasury.
       ``(2) The Inspector General of the Federal Deposit 
     Insurance Corporation.
       ``(3) The Inspector General of the Securities and Exchange 
     Commission.
       ``(4) The Inspector General of the Federal Reserve Board.
       ``(5) The Inspector General of the Federal Housing Finance 
     Board.
       ``(6) The Inspector General of any other entity as 
     appropriate.
       ``(h) Council of the Inspectors General on Integrity and 
     Efficiency.--The Special Inspector General shall be a member 
     of the Council of the Inspectors General on Integrity and 
     Efficiency established under section 11 of the Inspector 
     General Act of 1978 (5 U.S.C. App.) until the date of 
     termination of the Office of the Special Inspector General 
     for the Troubled Asset Relief Program.''.

     SEC. 5. REPORTING REQUIREMENTS.

       Section 121(i) of the Emergency Economic Stabilization Act 
     of 2008 (division A of Public Law 110-343), as redesignated 
     by this Act, is amended--
       (1) in paragraph (1), by striking the first sentence and 
     inserting ``Not later than 60 days after the confirmation of 
     the Special Inspector General, and not later than 30 days 
     following the end of each fiscal quarter, the Special 
     Inspector General shall submit to the appropriate committees 
     of Congress a report summarizing the activities of the 
     Special Inspector General during that fiscal quarter.'';
       (2) by redesignating paragraphs (2) and (3) as paragraphs 
     (3) and (4), respectively;
       (3) by inserting after paragraph (1) the following:
       ``(2) Not later than September 1, 2009, the Special 
     Inspector General shall submit a report to Congress assessing 
     use of any funds, to the extent practical, received by a 
     financial institution under the TARP and make the report 
     available to the public, including posting the report on the 
     home page of the website of the Special Inspector General 
     within 24 hours after the submission of the report.''; and
       (4) by adding at the end the following:
       ``(5) Except as provided under paragraph (3), all reports 
     submitted under this subsection shall be available to the 
     public.''.

     SEC. 6. FUNDING OF THE OFFICE OF THE SPECIAL INSPECTOR 
                   GENERAL.

       Section 121(j)(1) of the Emergency Economic Stabilization 
     Act of 2008 (division A of Public Law 110-343), as 
     redesignated by this Act, is amended by inserting before the 
     period at the end the following: ``, not later than 7 days 
     after the date of enactment of the Special Inspector General 
     for the Troubled Asset Relief Program Act of 2009''.

     SEC. 7. COUNCIL OF THE INSPECTORS GENERAL ON INTEGRITY AND 
                   EFFICIENCY.

       The Special Inspector General for Iraq Reconstruction and 
     the Special Inspector General for Afghanistan Reconstruction 
     shall be a members of the Council of the Inspectors General 
     on Integrity and Efficiency established under section 11 of 
     the Inspector General Act of 1978 (5 U.S.C. App.) until the 
     date of termination of the Office of the Special Inspector 
     General for Iraq Reconstruction and the Office of the Special 
     Inspector General for Afghanistan Reconstruction, 
     respectively.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Kansas (Mr. Moore) and the gentleman from Minnesota (Mr. Paulsen) each 
will control 20 minutes. The Chair recognizes the gentleman from 
Kansas.


                             General Leave

  Mr. MOORE of Kansas. Madam Speaker, I ask unanimous consent that all 
Members have 5 legislative days in which to revise and extend their 
remarks on this legislation and to insert extraneous material.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Kansas?
  There was no objection.
  Mr. MOORE of Kansas. Madam Speaker, I yield myself as much time as I 
may consume.
  We are in a deep and painful economic downturn, the likes of which we 
haven't seen in decades. Just last month our economy lost over 650,000 
jobs for the third straight month, bringing the total number of jobs 
lost since December 2007 to 4.4 million. That's more than 1\1/2\ times 
the entire population of my home State of Kansas.
  But something we should remember, Madam Speaker, is our financial 
sector must be stabilized and confidence restored before we see any 
economic recovery.
  My constituents, like most Americans, are anxious and frustrated, and 
they deserve the strongest oversight and accountability of how their 
taxpayer dollars are spent.
  When Congress enacted the Emergency Economic Stabilization Act last 
October, the new law not only created the Troubled Assets Relief 
Program, or TARP, we made sure to include strong oversight protections 
for United States taxpayers, such as the creation of the Special 
Inspector General for TARP or SIGTARP.
  Last month, Mr. Neal Barofsky, the newly appointed SIGTARP, testified 
before the House Financial Services Oversight and Investigation 
Subcommittee. He said that after adding up all the Federal programs 
utilizing TARP funds, the total amount of money potentially at risk was 
approximately $2.875 trillion.
  Mr. Barofsky went on to say, ``We stand on the precipice of the 
largest infusion of government funds over the shortest period of time 
in our Nation's history. History teaches us that an outlay of so much 
money in such a short period of time will inevitably draw those seeking 
to profit criminally. We are looking at the potential

[[Page 8595]]

exposure of tens if not hundreds of billions of dollars in taxpayer 
money lost to fraud. We must be vigilant.''
  As chairman of the Oversight and Investigations Subcommittee, I 
couldn't agree more. We must be vigilant to protect the United States 
taxpayers.
  I worked with my friend, Ranking Member Judy Biggert, as well as 
Congressmen Steve Driehaus and Eric Paulsen, and we introduced H.R. 
1341, a companion bill to the Senate bill, S. 383 we are considering 
today. The Senate has already unanimously approved this bill twice. 
Most recently, Senator Claire McCaskill introduced this legislation 
last month, and the Senate approved the bill the same day. This 
bipartisan legislation equips the SIGTARP with the tools he needs by, 
No. 1, making clear the SIGTARP has the audit and investigative 
authority over any taxes taken by the TARP program; No. 2, giving the 
SIGTARP the authority to hire auditors and staff quickly by granting 
him temporary hiring authority; No. 3, requiring the Treasury Secretary 
to explain why any SIGTARP recommendation is not implemented; and, No. 
4, mandating that the SIGTARP issue a report no later than September 
analyzing how TARP funds have been spent to date.
  Gene Dodaro from GAO and Professor Elizabeth Warren from 
Congressional Oversight Panel testified they supported S. 383, and Mr. 
Barofsky testified that he ``desperately needs more hiring flexibility, 
the type of which is contained in S. 383.''
  He said, ``Quick passage of this important and essential legislation 
will allow me to hire rapidly the essential personnel to meet the 
challenges of providing effective oversight. I believe that this bill 
will help provide the necessary resources for us to meet our obligation 
to help protect the U.S. taxpayers' investments.''
  There are additional issues we should consider, such as CO's request 
to hire retired annuitants, and other suggestions made at our committee 
markup that we will continue to monitor. I will note the amendments 
offered were well-intended, but they did little other than give special 
emphasis to activities already authorized by SIGTARP's mandate in 
current law or as expressed in S. 383.
  Conversely, if we included those amendments it would have had the 
effects of substantially slowing down the bill because it would require 
further action by the Senate.
  Most importantly, I think it's telling that not one Financial 
Services Committee member, Republican or Democrat, voted against this 
bill at the markup. And not one Senator, Republican or Democrat, voted 
against this bill. Protecting taxpayer money should be a nonpartisan 
effort, and I believe this bill keeps with that spirit.
  In light of the SIGTARP's testimony and the urgency of his request, 
and with legitimate public outrage over the AIG bonuses and other 
misbehavior by TARP recipients, it's important now more than ever that 
we approve this bipartisan bill today so we can send it straight to the 
President's desk for signature.
  I urge my colleagues to support S. 383, and I reserve the balance of 
my time.
  Mr. PAULSEN. Madam Speaker, I yield myself as much time as I may 
consume.
  Madam Speaker, I rise in strong support of Senate bill 383, the 
Special Inspector General for the Troubled Asset Relief Program Act.
  It is clear that both the Bush and Obama administrations, as well as 
Congress, have failed to include adequate oversight of taxpayer dollars 
being spent through the Troubled Asset Relief Program, the TARP bill.
  The lack of oversight and transparency are why one of my first votes 
in Congress as a freshman Member was against the release of the 
additional $350 billion in TARP bailout spending that companies like 
AIG are currently receiving.
  When Congress is literally spending billions and billions of taxpayer 
dollars, it is critical that we have the most stringent oversight and 
transparency possible. The good news is that we have a chance to act on 
this important issue today.
  The legislation before us gives broad authority for a Special 
Inspector General to oversee any remaining spending of TARP funds. This 
bill will provide the Special Inspector General with the authority to 
conduct, to supervise and to coordinate an audit or any investigation 
of any action taken with regard to TARP funds. It also will require the 
Special Inspector General to submit quarterly reports to Congress, 
while also requiring the Secretary of the Treasury to take action, or 
certify that no action is necessary, when any problems or deficiencies 
are identified by the inspector. And of course the bill also requires 
that the reports on institutions who receive TARP funding be posted on 
the Special Inspector General's Web site within 24 hours after being 
submitted to Congress so the public has access to this information as 
well. Simply put, this bill represents a major break from the past.
  Madam Speaker, the American people deserve to know when Washington is 
spending taxpayer dollars, and we are making every effort with this 
legislation to ensure that those dollars are being spent wisely. And 
while some of us, including me, continue to have serious concerns about 
the sweeping and the expanding role of government involvement in the 
private sector, I do believe that we can all agree today that 
increasing oversight of the money that's currently being spent is the 
right thing to do.
  As a new Member, I came to Washington hoping to fix broken policies 
that have plagued Congress for far too long. We have the ability to 
make that change, and this bill is a move and a step in the right 
direction. It will take a bipartisan effort from Congress and the 
administration, but we must make it.
  And along those lines, I want to thank especially the chairman of the 
Oversight and Investigation Subcommittee, Congressman Moore, for his 
leadership on this issue and bringing this effort forward in a 
bipartisan basis.
  I also want to commend the ranking member, Ms. Judy Biggert, for her 
efforts and leadership as well. I appreciate their efforts to work 
together in a bipartisan way in crafting this legislation.
  And I, of course, want to thank the committee staff for their 
tireless work that they have put on behind the scenes. They have been 
an extremely valuable resource.
  So, Madam Speaker, the bill we have before us today will help us 
bring accountability to a program that spends hundreds and hundreds of 
billions of dollars of taxpayer money, and I urge my colleagues 
support. American taxpayers deserve no less.
  Madam Speaker, I reserve the balance of my time.
  Mr. MOORE of Kansas. Madam Speaker, I would like to thank Congressman 
Paulsen for his work as well on this legislation. I think he is exactly 
right. We need to pass this on a bipartisan basis.
  At this time, Madam Speaker, I yield 2 minutes to the gentlelady from 
California, Congresswoman Speier.
  Ms. SPEIER. Thank you, Mr. Chairman, for your leadership.
  I rise today in support of S. 383 to authorize the Special Inspector 
General to hire the essential staff needed to follow the money and 
provide accountability for the billions of dollars taxpayers have 
invested in financial institutions.
  I must say, Madam Speaker, that this particular function is among the 
most critical in government today. Aggressive and competent oversight 
is absolutely necessary for any of these government programs to operate 
effectively.
  Last year, when the House voted for the Emergency Economic 
Stabilization Act, I raised concerns about potential problems that 
could hamper TARP. Among them, conflicts of interest and a lack of 
transparency were the most serious. I was encouraged that leadership 
was committed to keep a close watch on taxpayer money. This bill honors 
that commitment.
  Within weeks of the passage of the Stabilization Act I had an 
opportunity to speak with Gene Dodaro from the Government 
Accountability Office and

[[Page 8596]]

Dr. Elizabeth Warren, Chair of the Congressional Oversight Panel. Their 
reports to Congress have been illuminating in what banks have and have 
not done with the TARP funds. And both of these individuals have 
stressed the need for competent and knowledgeable staff to provide 
proper oversight.
  I first met Mr. Neal Barofsky, the Special Inspector General, at a 
hearing of the Oversight Investigation Subcommittee of the Financial 
Services Committee, and found his testimony and answers to questions to 
be frank and extremely well thought out.
  Now, he may ruffle some feathers in this city that doesn't like 
having its feathers ruffled, but he is precisely the kind of person we 
need to do that job.

                              {time}  1130

  I was disappointed to hear that Mr. Barofsky lacked the staff he 
needed to oversee such a massive outlay of taxpayer money. This bill 
allows the Special Inspector General to hire 25 retired annuitants. 
These are people who are retired from Federal service but who have the 
know-how, who have the ability and who, frankly, will cost us less 
money because we are not paying for the retirement benefits. These 
employees are desperately needed, as the article in yesterday's 
Washington Post provided.
  The SPEAKER pro tempore. The time of the gentlewoman has expired.
  Mr. MOORE of Kansas. I yield an additional minute to the gentlewoman.
  Ms. SPEIER. Madam Speaker, I have spoken with our subcommittee Chair, 
Mr. Moore, about the need to give similar hiring powers to Dr. Warren 
at the Congressional Oversight Panel, and soon will introduce 
legislation authorizing that.
  We ask the American people to take a huge leap of faith with us when 
we pass the Emergency Economic Stabilization Act. It is imperative that 
we protect the taxpayers' investment by providing adequate staffing to 
conduct the vital oversight and accountability functions.
  Mr. PAULSEN. Madam Speaker, I would like to now yield 5 minutes to 
the distinguished ranking member of the Domestic Policy Subcommittee of 
the Oversight and Government Reform Committee, the gentleman from 
California (Mr. Issa), who takes the role of being a taxpayer watchdog 
very seriously and works very hard at that effort.
  Mr. ISSA. Madam Speaker, a good bill is, in fact, not necessarily the 
democratic process at work. I am disappointed that the majority chose 
to forego oversight committee responsibilities on this TARP IG.
  In an exchange of letters with the chairman, whom I respect a great 
deal, we have failed to reconcile that. Although this piece of 
legislation arrived in the House on February 9, it never got a hearing 
or a markup in the committee of primary jurisdiction on all of the IGs. 
This is not a bad piece of legislation, Madam Speaker. It could be 
better. It would be better if the majority did not choose to, in their 
own words, say that there was not time to consider these other items. 
Madam Speaker, something cannot arrive from the Senate on February 9 
and yet have to be passed on March 25 because there was no time. We 
have had far greater time than we had to do it wrong in the TARP. The 
speakers on both sides of the aisle have made the very valid point that 
``ready, shoot aim'' was the mistake of the TARP.
  I don't believe that this will be an impossible situation. What I do 
believe is that the democratic process here in the House has been 
violated once again. Perfectly good, by their own statement, amendments 
were suggested by the Republican minority on the Financial Services 
Committee. Yet they were rejected, not based on their merit but based 
on that it would have taken more time. They would have had to send it 
back to the Senate. The Senate would have had to have a deliberative 
process.
  Madam Speaker, we are not allowed here in the House to speak ill of 
the Senate--of the other body--or of the President and the Vice 
President, but I think we certainly can speak that, if we can be told 
there is not time to get it right, the Senate should be asked, couldn't 
they, in fact, be given the time--a day or two or three--to look at 
amendments that we have considered and that have been rejected on time. 
I know that is not going to happen. I know that this bill will pass 
either unanimously or with substantial approval, but this is yet 
another example of a body who has not recognized that a crisis is not 
an excuse to move legislation, no matter how well-intended, prematurely 
or as less than what it should be.
  I enjoy working with the chairman of the committee. I believe he is a 
good man who wants to increase transparency and oversight. I believe we 
have missed an opportunity here today to do that little bit better that 
we both promised to do when we were elevated to these positions. So, 
Madam Speaker, I will vote for this bill. I will vote for this bill 
because it is more good than bad, but it could have been better.
  Mr. MOORE of Kansas. Madam Speaker, I yield 5 minutes to the chairman 
of the Committee on Oversight and Government Reform, Chairman Towns of 
New York.
  Mr. TOWNS. Madam Speaker, as chairman of the Committee on Oversight 
and Government Reform, I rise in support of S. 383, the Special 
Inspector General for the Troubled Asset Relief Program Act of 2009.
  It has been over 5 months since Congress approved the $700 billion 
rescue plan for the financial industry. During this time, the oversight 
committee has documented the accountability and transparency 
shortcomings of the program. I have asked before and I will ask again:
  What did the American people get or what can they expect to get from 
the $700 billion rescue plan?
  It is my goal to make sure that the taxpayers receive meaningful 
answers to these questions to make certain that the money is spent 
wisely and to ensure that waste, fraud and mismanagement is avoided. I 
am pleased to support this legislation because I have no doubt that 
such oversight of the TARP program will greatly benefit from these 
measures to strengthen the TARP Special Inspector General.
  As Special Inspector General Barofsky told our Domestic Policy 
Subcommittee earlier this month, more than $300 billion has already 
been expended. The spending program is up and running, but the office 
designed to oversee this spending has not yet been provided with all of 
the authority it needs to do this job effectively. These are his words.
  We should not wait a moment longer. S. 383 provides this authority. 
It allows the SIGTARP to conduct oversight over all aspects of the TARP 
program. It also grants the SIGTARP the temporary hiring authority 
needed to quickly put in place the staff that the IG needs to conduct 
critical audits of the program. Under normal circumstances, I would not 
advocate any deviation from the normal civil service hiring process. I 
would say that is what we should follow, but these are anything but 
normal circumstances. These critical audits and investigation positions 
should be filled right away. I should note that, even with its current 
modest staff, the SIGTARP has demonstrated its effectiveness in 
overseeing the TARP program.
  Last month, I wrote to Treasury Secretary Geithner, urging him to 
adopt the recommendations made by Mr. Barofsky in his initial report to 
Congress. I asked that all TARP agreements include language requiring 
funding recipients to provide information to the SIGTARP and other 
inspectors general to establish internal controls and to clarify 
compliance. Importantly, S. 383 would require the Treasury Secretary to 
report back to Congress if any recommendations made by the SIGTARP are 
not adopted.
  I look forward to working together with Mr. Barofsky and with 
Secretary Geithner to ensure transparency in the TARP program. I 
believe this legislation is an important step in restoring our economy. 
It will provide greater accountability to the taxpayers who are funding 
the TARP program, and I urge its adoption.
  Let me just say that I want to thank all who have worked on this 
because I

[[Page 8597]]

think this is legislation that is very, very important, and I think 
this is legislation that is going to help us eliminate waste, fraud and 
abuse.
  Mr. PAULSEN. Madam Speaker, I would now like to yield 2 minutes to 
the distinguished gentleman from the 10th Congressional District from 
Georgia (Mr. Broun).
  Mr. BROUN of Georgia. Madam Speaker, I rise today because we are, 
once again, considering another legislative cover-up from mistakes that 
have already been made.
  Last week, Democratic leadership here in Congress drove their 
steamroll of socialism right over this legislative body, forcing 
through an unconstitutional 90 percent tax targeting AIG employees, but 
it serves no other purpose than to divert attention from the truth, the 
truth that congressional leaders made these bonus payments possible 
through a lack of transparency.
  Today, we are hastily considering another bill with the intention of 
correcting a mistake that should not have been made in the first place. 
Today's bill to expand the powers of the TARP Inspector General is akin 
to locking the door on the henhouse after the fox has already snuck in, 
and now the chickens are dead.
  Congress has irresponsibly wasted $700 billion of the taxpayers' 
money on TARP, selling this plan to the American people as a way to 
free up credit markets. But they are not freed up. They are still 
frozen. We were sold a bill of goods, and now we know that the 
taxpayer-funded TARP program lacks transparency and accountability.
  Madam Speaker, by now, we should anticipate the sly fox's arrival and 
start locking--in fact, deadbolting--the henhouse door before it gets 
in, not after. We have to demand transparency. We have to demand 
accountability. We are not getting it. The American people should 
demand that. We are spending too much. We are taxing too much. We are 
borrowing too much money from the TARP all the way to this new budget 
that has been proposed that we are going to be considering in the very 
near future. We have got to stop the steamroll of socialism.
  Mr. MOORE of Kansas. Madam Speaker, I yield 2 minutes to the 
gentleman from New York (Mr. Hinchey).
  Mr. HINCHEY. Madam Speaker, I just want to say a few words in favor 
of what is attempting to be done here in the context of this bill.
  The TARP situation, which, as we remember, was set up last fall and, 
in effect, was rammed through here by the then-Secretary of the 
Treasury, authorized the expenditure of $700 billion, and under the 
last administration, about $380 billion had already been spent. So what 
we are trying to do here now is to make sure that the rest of this 
money is spent in appropriate ways.
  We have already set up the Special Inspector General, establishing 
that piece of responsibility here, and now what we are doing in the 
context of this bill is putting into effect all of the measures that 
are going to ensure the effectiveness of that Special Inspector General 
to make sure that he has the ability to carry out his 
responsibilities--to oversee the way in which this money is being 
allocated, how it is being used, what the impact of its use is. None of 
that was included in that TARP bill which the previous Secretary of the 
Treasury came here and, in effect, forced through the Congress.
  So this is an essential element here. This legislation is critically 
important. We need to make certain that these economic circumstances 
are dealt with but that they are dealt with responsibly and 
effectively, and that is what this legislation is going to do. I cannot 
see any reason why anyone would object to it, why anyone would put any 
opposition to it, why anyone would try to slow it down in getting 
effect. All of this is absolutely essential on behalf of the people of 
this country.
  We heard some statements being made just a couple of minutes ago 
about money being spent and allegations about how that money is too 
much. Well, $380 billion, yes, spent by the previous Secretary of the 
Treasury is much too much. We need to make sure that this is done in 
the proper way, and that is why this legislation needs to be adopted.
  Mr. MOORE of Kansas. Madam Speaker, we have no more speakers, and we 
reserve the remainder of our time.
  Mr. PAULSEN. Madam Speaker, I yield myself as much time as I may 
consume.
  Madam Speaker, again, I came to Washington with the goal of 
increasing transparency and accountability in the way that taxpayer 
dollars are being spent. I know many of us share that goal. Certainly, 
the subcommittee chairman does. Unfortunately, it is abundantly clear 
that the initial TARP bailout funding is being spent without proper 
oversight. There is no doubt.
  When the Federal Government is literally spending hundreds of 
billions of dollars, it is critical that we have the most stringent 
oversight of that spending. That is our obligation to the taxpayer, 
especially now when our constituents are being forced to do much more 
with much less. They have the absolute right to know that their money--
it is their money--is being spent properly and wisely. This legislation 
will give additional tools to help ensure that there is proper 
tracking, proper accounting and proper oversight for all the spending 
of taxpayer dollars going forward.
  As the subcommittee chairman knows, in committee, we heard testimony 
about the potential for additional waste, additional fraud, additional 
abuse. This ensures we will have protection from that. So I ask my 
colleagues to vote in support of this legislation.
  I yield back the balance of my time.

                              {time}  1145

  Mr. MOORE of Kansas. Madam Speaker, I yield myself such time as I may 
consume.
  I want to thank Representative Paulsen for his contributions here and 
his work on this legislation.
  Let me close by urging my colleagues to support S. 383. I don't know 
how anyone can argue with the fact that the United States taxpayers we 
represent deserve strong oversight of how their funds are used, and 
this bill will do just that. Support this bipartisan bill so we can 
equip the Special Inspector General for TARP with the staff and 
authority he needs to track the use of TARP funds and limit any waste, 
fraud and abuse in the program.
  Mr. ISSA. Madam Speaker, I am disappointed that the Majority has 
unilaterally elected to forgo Oversight and Government Reform Committee 
consideration of this legislation, which will affect the billions of 
dollars disbursed under the troubled asset relief program (TARP). 
Despite the Majority's pledge of openness and transparency, they have 
chosen to discharge this legislation from our Committee and deny the 
Members of our Committee, and the citizens they represent, a voice in 
this important legislation.
  The TARP suffers from a serious lack of transparency and 
accountability. As of February 6th of this year, the Treasury 
Department has committed $300 billion in taxpayer funds to our nation's 
financial institutions in the form of preferred shares and warrants, 
loans and insurance against losses. While the Treasury Department 
currently monitors aggregate monthly levels of some banking activities, 
it does not require any recipient of TARP funds to disclose the details 
of any individual transaction that the recipient would not have entered 
into but for the receipt of TARP money. In other words, we do not know 
whether $300 billion of taxpayer money has changed anyone's behavior. 
As a result, neither the Treasury Department, nor Congress, nor the 
general public truly knows the outcome achieved by the injection of 
taxpayer funds.
  Given the magnitude of the TARP program and the critical importance 
of focused oversight of this program, avoiding consideration of this 
legislation in an open, bipartisan process, goes against our shared 
desire to bring transparency to this massive expenditure of taxpayer 
funds.
  The House received this legislation on February 9, 2009. Since that 
time, the Oversight Committee has had the benefit of hearings, 
testimony, policy developments, and institutional action, all of which 
could improve this legislation. For example, at our hearing on March 
11, ``Peeling Back the TARP: Exposing Treasury's Failure to Monitor the 
Ways Financial Institutions are Using Taxpayer Funds

[[Page 8598]]

Provided under the Troubled Assets Relief Program'', Special Inspector 
General Barofsky agreed with the need for greater transparency in the 
TARP program, and Democrats and Republicans had suggestions that could 
have improved this bill.
  For example, if given the opportunity, I would have offered an 
amendment to this legislation to deliver true transparency in the TARP 
program, by requiring all data disclosed by TARP recipients to be 
disclosed in a standard, consistent, and structured format. This is 
essential to ensure transparency and accountability for TARP funds. 
Without this amendment, TARP recipients will be able to continue 
reporting data on how they have used taxpayer money received under TARP 
in any data format they choose, obscuring important information.
  During a hearing before the Domestic Policy Subcommittee of the House 
Oversight Committee, Mr. Kucinich and I pressed the SIGTARP on his 
ability to sift through the survey responses he has received from TARP 
recipients. We pointed out to him that merely relying on ``narrative 
responses'' in a non-standard format from banks would not deliver the 
kind of transparency and accountability the American people demand. 
Rather, we have to insist on access to the raw data in order to achieve 
complete transparency. Mr. Barofsky said that he doesn't have the 
resources to sift through such data. I agree. However, putting the data 
in a standardized and machine-readable format would allow investors, 
regulators, and the public to use innovative technology solutions to 
sift through these mountains of data.
  In addition, I would have offered an amendment to this legislation 
that would increase the SIGTARP's hiring flexibility so that he would 
have sufficient latitude to hire the qualified experts he needs. These 
changes would have enabled SIGTARP to more effectively executive its 
responsibilities in oversight of the program. Unfortunately, due to the 
Majority's stifling of debate on this legislation, we will not have the 
chance to discuss these important ideas.
  One conclusion we have learned from the rush to legislate on the 
TARP, the stimulus bill, appropriations bills, and various bailouts, is 
that citizens want expedient, but well considered, solutions before we 
act. Unfortunately, yet again, it appears that transparency, oversight, 
and Member participation have taken a back seat to political 
expediency.
  Mr. MOORE of Kansas. I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Kansas (Mr. Moore) that the House suspend the rules and 
pass the Senate bill, S. 383.
  The question was taken.
  The SPEAKER pro tempore. In the opinion of the Chair, two-thirds 
being in the affirmative, the ayes have it.
  Mr. MOORE of Kansas. Madam Speaker, on that I demand the yeas and 
nays.
  The yeas and nays were ordered.
  The SPEAKER pro tempore. Pursuant to clause 8 of rule XX and the 
Chair's prior announcement, further proceedings on this motion will be 
postponed.

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