[Congressional Record (Bound Edition), Volume 160 (2014), Part 2]
[Senate]
[Page 2904]
[From the U.S. Government Publishing Office, www.gpo.gov]




                              THE DEFICIT

  Mr. SESSIONS. Madam President, in the Budget Committee yesterday, on 
which I am the ranking Republican, Director Elmendorf of the 
Congressional Budget Office gave us the report and his projections for 
next year and what the consequences and financial situation will be for 
our country as he projects it. When I asked him about his projections 
for economic growth, he acknowledged they have been way too high over 
the last several years, and that has been disappointing. Our growth has 
not reached the level we want to it reach. He projects now a lower 
growth rate than he had been projecting for the next 10 years.
  Let me share with my colleagues, as we vote on these matters on which 
we want to help veterans and we want to help the unemployed--and we can 
do that but we have to remember who we are, what we are doing, and how 
we got here. We virtually doubled the deficit in the last 10 years in 
the United States of America--added to the total debt of the United 
States of America. Deficits are going down over the last couple of 
years, and will for 1 more year, according to Mr. Elmendorf, but then 
will begin an inexorable rise to nearly a $1 trillion deficit at the 
end of 10 years from today. The interest we paid--and he testified to 
this; it is in his report--the interest we paid last year on the total 
debt of the United States, even with the extraordinarily low interest 
rates, was $230 billion--an amazing amount of money.
  We have a group testifying right now about the highway bill. They 
would like to see more money spent on our infrastructure and highways. 
From the Chamber of Commerce, Mr. Donohue, and Mr. Trump, to the top 
union leader, they all agree we need to spend more on highways.
  Last year, the interest we paid on the debt, according to Dr. 
Elmendorf, was $230 billion. That is a stunning figure. It is half the 
total of the budget for the Defense Department. But let me tell my 
colleagues what he said that is most troubling. Projecting a modest 
increase in interest rates over the next 10 years and the increased 
deficits we will see, Mr. Elmendorf predicted last year that 10 years 
from now, the 1-year interest payment will be $830 billion.
  We are having a dispute to try to get--not cut--the veterans 
retirement, and we should not cut veterans retirement, the way this was 
done. It would cost $6 billion over 10 years. Do we see the difference? 
We are paying $230 billion. If we pay at that rate for 10 years, that 
would be $2.3 trillion. But we are not going to be paying at $230 
billion a year. By the time we get to the tenth year, according to Mr. 
Elmendorf, we will be spending $890 billion on the interest on the debt 
we have accumulated in the United States of America through reckless 
spending, so much of it producing very little benefit for anybody in 
the long term, and we cannot continue this. He testified that if 
interest rates go up 1 percent, we will pay $1.5 trillion more on 
interest over 10 years than if it didn't go up 1 percent. Who knows--he 
acknowledged he is no seer. Interest rates, many people predict right 
now, would surge dramatically and may go up to some of the levels we 
had in 1970. If it did, this country would probably be financially 
destitute.
  So I have to say we are not playing games here. The money of the 
United States needs to be managed by the elected representatives. They 
expect us to manage our money wisely. They expect us not to put this 
country at financial risk, and they have every right. They have a 
responsibility, actually, as citizens of this country to be angry with 
their Congress, to be angry with their President for running up this 
kind of a debt. It is not a good thing.
  Earlier this year there was deep concern that the Budget Control Act 
that was passed on a bipartisan basis, signed by President Obama, that 
limited the growth in spending--didn't cut spending, but over 10 years 
spending would increase $8 trillion--increase $8 trillion instead of 
increasing $10 trillion. So we ``saved'' $2 trillion. That was deemed 
too tough this year. So we had the Ryan-Murray bill that said we are 
going to fix some of the tight places, and we are going to avoid 
spending--we are going to put more money in. We are going to spend more 
than we agreed to, but we are not going to break the total debt 
situation because we are going to raise taxes some and we are going to 
cut spending some. One of the cuts they came up with, in secret, 
without any public hearings or debate, was to cut the veterans 
retirement plan, and it blew up. It meant $70- to $150,000 for retired 
veterans, how much they would lose in their retirement cost of living.
  I opposed that. They passed it anyway. The Democratic majority here 
blocked proposal after proposal, and one was to more than pay for it by 
reducing fraudulent income tax credit checks being illegally sent out 
to people who don't qualify for it. That was blocked too. So what did 
we have just a few days ago? We had--we have a bill that saved the 
veterans so they don't have to have their pensions reduced. And how 
would they pay for this $6 billion in costs? Why, they wouldn't pay for 
it at all. There is no payment whatsoever. Actually, by voting and 
supporting that provision--the Pryor amendment, cosponsored by a number 
of Democrats--it would increase the spending of the United States above 
the agreement.
  The PRESIDING OFFICER. The time of the Senator has expired.
  Mr. SESSIONS. Madam President, I ask unanimous consent to have one 
additional minute to wrap up.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  Mr. SESSIONS. It would have added to the debt of the United States 
directly above the agreement we just voted on in Ryan-Murray. It set 
the cap on how much spending. So less than two months later, we are in 
here directly having to defend against a proposal that would have 
broken the spending agreement that was in the Ryan-Murray legislation. 
It is unthinkable. I can't imagine this would happen. There are so many 
places we could pay for this kind of restoration of veterans' 
retirement benefits without raising taxes and without adding to the 
debt.
  I guess I am saying I am frustrated about the mindset of this 
Congress. I don't think we are focused on the threat this debt poses to 
America. Dr. Elmendorf told us we are on an unsustainable path and he 
began to discuss the danger of a fiscal crisis such as we had in 2007 
because we are in such a red zone, a marginal zone of debt.
  I see the majority leader and I know he is busy.
  I yield the floor.
  The PRESIDING OFFICER. The majority leader.

                          ____________________