[Congressional Record Volume 167, Number 165 (Thursday, September 23, 2021)]
[Senate]
[Pages S6636-S6639]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
The Economy
Mr. MORAN. Mr. President, I spent those several weeks that we were
away from Washington, DC, around Labor Day in Kansas, and,
unfortunately, it is clearly evident that inflation has returned. Gas
prices are up, prices at the grocery store are up, and further price
hikes are on the horizon.
Unfortunately, price increases at the grocery store and at the gas
pump and, really, everyplace else put the greatest
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burden on low- and middle-income families who are already feeling the
strains caused by COVID-19 in their pocketbook.
It is apparent, I think, that our spending here in the Nation's
Capital over a long period of time is part of the cause for that
inflation and, in fact, a significant part of the cause for that
inflation. But it doesn't seem to me that my Democratic colleagues are
aware of the consequences of pouring a massive amount of more money,
more government spending on already this inflationary circumstance that
our citizens are now encountering.
The Democratic tax-and-spend spree will exacerbate our inflationary
circumstances, meaning that the prices will continue to rise as we
borrow more money to pay for these things. It means that interest rates
will rise and, at some point in time, those who lend us money will no
longer be willing to do so.
While I am sure that many of my Democratic colleagues would tell me
the good things that would happen from the spending that is included in
this bill, we cannot discount the people who they indicate they are
trying to help would be the ones who suffer the greatest burden from
increasing costs of everything that they buy.
Given the historic levels of spending that has occurred over the last
year and a half, now is not the time to spend even greater amounts of
taxpayer dollars.
My view is that we were too slow in turning the spigot in regard to
spending that preceded the election of President Biden and a Democratic
majority in the U.S. Senate and House. And that, then, resulted in--
even though we had already spent so much money--an additional nearly $2
trillion being spent back in January, and now a $3.5 trillion, which I
think ultimately ends up costing a lot more than $3.5 trillion.
In order for the $3.5 trillion package to be paid for--if it
ultimately is paid for--the Democratic majority is pursuing tax hikes
that will have significant consequence on small businesses and farm
families, both of which are so essential to the economic well-being of
Kansas and many other States across the country, especially in middle
America.
Tax increases on working Americans should be, if at all, a last
resort, not a funding opportunity for sweeping--sweeping--massive
government expansion. This government expansion includes funding of a
radical climate agenda, like the Green New Deal, installing new
entitlement programs, and increasing government intrusion into the
lives of Americans to levels we have never seen before.
While businesses are struggling to recoup lost revenue from the
COVID-19 pandemic--the consequences of that pandemic--the Democrats'
plan would slap more taxes on businesses and drive up the costs for
everyone.
We should not jeopardize our Nation's economic well-being so that
Democrats can make good on their campaign promises. Voters certainly
did not have that in mind when they elected such a slim majority here
in the Senate: 50 Democrats, 50 Republicans. That wasn't a mandate for
the kind of spending and taxing that is now being considered here on
the Senate floor.
This proposed massive influx of government spending is irresponsible.
Americans generally know how to live within their means, and it is time
that government show some fiscal restraint as well.
For a long time, as I did the townhall meetings across Kansas, it was
often the topic of conversation. One of the first things Kansans would
raise with me is all this spending--all this deficit spending. And for
a while that conversation kind of went away. Today, it is back. It is
the topic of conversation at every townhall meeting I had for those
several weeks in Kansas. It is what I heard at Rotary and Kiwanis and
Lions Clubs. Americans, Kansans in particular, are asking for us to
show some responsibility here, and this legislation now pending shows
no responsibility.
To make matters worse, as the Democrats have spent valuable time
testing the limits of their power to pursue this tax-and-spend spree,
they have shirked their basic duties of governing.
The debt limit and government funding, the appropriations process,
are clearly the province of the party in power. I am anxiously awaiting
for our Appropriations Committee to be able to do its work. The
appropriations work is to be completed by September 30, which, once
again, will not be the case. We await an agreement on topline spending
numbers and a balance of prioritization between domestic and defense
spending. While the air--the oxygen--is being sucked out of the Senate
for purposes of a reconciliation bill and a $3.5 trillion-plus spending
bill, we need to be focused on the basics of making sure that
government doesn't shut down and that we do our work in appropriating
the necessary amounts for government to function.
We have known that the suspension of the debt limit would expire this
summer--that has never been in question--but Democrats, with control of
the White House and both bodies of Congress, have neglected to address
either the debt limit or the regular appropriations process, the
funding. They are now combining the issue of debt limit with the annual
funding for government operations. This is what we call a CR, a
continuing resolution, in which we fund the government at its current
level into the future because we haven't gotten our work done. Now that
CR and the debt limit increase are tied together. This is another
example of not owning their governing obligations, not acting as honest
brokers, and not, certainly, seeking bipartisanship. They only seek
bipartisanship when it suits their political interests.
What you won't hear from the majority leader and my Democratic
colleagues is that there is a clean, short-term continuing resolution
that has been proposed by Vice Chairman Shelby of the Appropriations
Committee and the minority leader, Leader McConnell. In addition to
avoiding an unnecessary lapse in government funding, the Shelby-
McConnell CR includes funding for our ally Israel, relief for
hurricane-stricken States, and support for Afghan refugees. This is an
act of good faith, and it deserves bipartisan support.
I yield the floor.
I suggest the absence of a quorum.
Mr. VAN HOLLEN. 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. VAN HOLLEN. Mr. President, the United States of America has
always paid its bills on time--always. It is an unbroken record that
dates back to our founding--a 232-year streak--and that unbroken record
has helped the United States become the anchor of the global financial
system and the many benefits that it brings to every American in our
country. But now, as we have heard on this floor over the last 2 days
and more, Senate Republicans are threatening to end that unbroken
record.
Senate Republican Leader McConnell has not only said that he and
Senate Republicans will vote against increasing the debt ceiling to
allow us to pay bills that are already due and owing but that they will
block a vote on the measure altogether. That would destroy our economy;
it would throw our country into a recession; it could cause the loss of
millions of jobs all over the Nation, and trillions of dollars of
wealth would collapse.
What makes this threat by Senate Republicans so especially outrageous
is that they know exactly what devastation will be caused by their
actions. In fact, in 2019, Senator McConnell himself stressed the
importance of raising the debt limit so we could avoid an unnecessary
economic meltdown.
Here is what he said then:
We need to address the debt limit. It secures our Nation's
full faith and credit and ensures that Congress will not
throw this kind of unnecessary wrench into the gears of our
job growth and thriving economy.
He knew, plain and simple, that refusing to increase our debt limit
would throw a wrench into the gears of our job growth.
In fact, after voting to raise the debt limit that year, he said:
We raised the debt ceiling because America can't default .
. . That would be a disaster.
``That would be a disaster.'' That is what the Senate Republican said
about what happens if you don't raise the debt ceiling--the exact thing
that he and Senate Republicans are threatening to do right now.
The Republican leader, Senator McConnell, was not alone in expressing
those sentiments. When President
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Trump was in charge, Senate Republicans voted to raise the debt limit
three times, and the Democrats joined them in doing that when President
Trump was in office because we, too, understood the consequences of
failing to pay our bills on time. And let's not kid ourselves. There
are lots of things that President Trump and Senate Republicans did over
those 4 years that we disagreed with--policies that we thought were
irresponsible, not good for the country--including the 2017 Trump tax
plan that provided huge tax breaks to the biggest corporations in the
country, tax breaks to the wealthiest Americans, with over $2 trillion
added to our national debt. They didn't pay for a dime. Not a penny of
that was paid for--it was all on the credit card--but when it came time
to pay the bills that were due and owing for our country, the Democrats
joined the Republicans in lifting the debt ceiling because we knew the
devastating consequences of the alternative.
Let's also be very clear that the moneys that we currently owe, that
are currently due and owing, are largely made up of the debt incurred
when President Trump was in office. The national debt increased by a
total of $7.8 trillion during that 4-year period. In fact, over one-
quarter of our entire national debt comes from those 4 years of the
Trump administration, and our Republican Senate colleagues spent those
4 years voting here in the U.S. Senate for policies that they now say
they don't want to pay for. They voted to put expenses on the credit
card, and now, when it is time to pay the bill on that credit card,
they are like: Sorry. We are out of here. The country is on your own.
So this is, obviously, rank hypocrisy, plain and simple. If that were
all, it would be unsurprising--in fact, sadly, expected--but while the
hypocrisy is shameful, what is downright dangerous are the consequences
of that hypocrisy.
A recent study was done by Mark Zandi--he is the chief economist at
Moody's Analytics--who estimates that a prolonged default would cost
the U.S. economy up to 6 million jobs, wipe out as much as $15 trillion
in household wealth, and send the unemployment rate surging to,
roughly, 9 percent, just as we are working to again stabilize our
economy and pull out of the downturn that we have been in.
Now, those predictions are frightening, but they shouldn't be
surprising to anybody. You know, our constituents--none of us--can just
decide one morning, as they get up, to say, ``Do you know what? We are
not going to make a mortgage payment. We are not going to make a rental
payment. We are not going to make a payment for our cars,'' without
expecting to suffer some financial consequences ourselves.
So imagine, one morning, that the Senators here--in this case,
Republican Senators--get up and say: The United States of America is
not going to pay its bills today. That sends shock waves throughout the
entire country and system, and that is why you get the cataclysmic
results that Mark Zandi at Moody's Analytics is predicting, and that is
why we are hearing from every responsible adult that we can't allow
this to happen.
Six former Secretaries of the Treasury, having served under
Presidents of both parties, have urged the congressional leadership to
make sure we raise the debt ceiling and pay our bills that are
currently due and owing. They made clear ``postponing action to raise
the debt limit until too close to the deadline undermines confidence in
our political system at home and abroad.''
In other words, what they are saying is, when you go over the
waterfall, you are in deep trouble, but even if you get close to it and
can begin to hear the rumbling waters of that waterfall, so can the
rest of the world and the financial system, and that, in itself, ends
up causing economic damage.
As Secretary Yellen said, it would be ``unthinkable'' for the United
States to do what Senate Republicans are proposing to do, and the chief
policy officer at the U.S. Chamber of Commerce said that the United
States of America defaulting on its obligations is not an option.
They are all right. We should be listening to them and to the
American people because, if Republicans continue on the path they are,
it is going to cause job loss, and that loss in household wealth, as
well, will be hitting families throughout this country.
So, if the necessity of raising the debt ceiling is so clear, why are
we here?
Well, I have been listening to our Republican colleagues over the
last couple days, and they say, well, they don't want to raise the debt
ceiling because they don't like the Democratic plans to beat COVID-19,
and they don't like the Build Back Better agenda. There are two
fundamental misunderstandings with this argument.
The first, as I mentioned, is that these are bills that are already
due and owing, and Republicans voted for a lot of these policies. In
fact, I have seen them back home in their States telling their
constituents how they helped deliver relief for small businesses and
how they helped expand broadband. Well, that is part of the bill that
is coming due right now that we have to lift the debt ceiling to pay
for.
But they also fundamentally misunderstand what President Biden is
talking about in his Build Back Better agenda. I know, these days, it
is an alien idea to many of our Republican colleagues, but President
Biden and Democrats are planning to pay for the Build Back Better
agenda. We are putting out proposals to do that, to reform our Tax
Code, to reform our Tax Code in a way that we should do anyway,
regardless of the important investments that we need to make, and to
reform our Tax Code so that major multinational corporations cannot
continue to park millions and billions of dollars of profits in
overseas tax havens, like the Cayman Islands and other places, and
shirk their obligations to this country and to the American people.
We should shut down those loopholes. Some of those loopholes also
encourage those companies to move their plants and workers overseas. We
should shut down those loopholes. We should make sure that the IRS has
the capability to enforce the current law and taxes that are already
due and owing under current law. The current IRS Commissioner,
appointed by the former President, has said that we lose hundreds of
billions of dollars to people who are cheating on their taxes. That
hurts all the rest of us in this country, and most of those people are
higher income people. We need to make sure that the very wealthiest
people in the country--the billionaires--pay some taxes. We have seen
some years when they pay zero in taxes, some of them.
I keep hearing from our Republican colleagues that they don't want to
vote for this because of some future plan, even though what we are
talking about now is to pay for other things that have been previously
incurred which Senate Republicans voted for, and they are criticizing a
plan which we intend to pay for.
And, yes, we have planned to make some important investments with
that revenue. We intend to extend the tax cuts for middle- and lower-
income families with kids. They are going to expire at the end of this
year, December 31. The up to $300 a month tax cut for families for each
child, that goes away if we don't enact the Build Back Better agenda.
We intend to reduce the cost of prescription drugs--something that is
hitting every American really hard in their pocketbook.
We intend to increase the availability and affordability of high-
quality childcare. A lot of parents aren't reentering the workforce
because, like every parent, they want to make sure their child is in a
safe and secure place during the day, and it doesn't make economic
sense if they have to pay as much for that childcare as they make on
the job. So we need to address that issue.
We want to expand Medicare to cover vision, dental, and hearing
services. That is a big gap in the program.
So I hear Republicans down here railing against the Build Back Better
agenda even though every survey shows that the American people of all
parties support that agenda. And then I hear them say they are not
going to vote to lift this debt ceiling because of that proposal even
though we are planning to pay for that proposal.
I just heard one of our colleagues talking about inflation. The
reality is, if you pay as you go, then that is not a problem. The
problem is when people put everything on the credit card and then
decide not to pay for it. That is what the Republicans did during the
2017 Trump tax plan.
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So I would just say to my colleagues: You yourself are on record here
in the U.S. Senate talking about what kind of economic devastation
would be caused if the United States defaults on its debts if we don't
lift the debt ceiling. You know what that action would mean for
American families because you have said it here on the Senate floor and
around the country. So don't threaten the American people and our
entire economy with something that you know to be so irresponsible.
I will end with this: You should do the right thing and join with
Democrats in lifting the debt ceiling to pay for bills that are already
due and owing and that you voted for. But, for goodness' sake, if you
don't want to do the right thing, at least get out of the way. At least
don't use the filibuster to prevent Democrats from doing the right
thing for the country. That is a cynical ploy. I don't know what the
political calculus is.
I have heard the Republican leader say that he didn't want the Biden
agenda to succeed, but, for God's sake, let's put country first, and
let's make sure that we do the right thing for the American people.
Let's lift the debt ceiling. Let's pay our bills on time, as we have
done every year throughout our history.
I urge my colleagues to either do the right thing on the vote or get
out of the way and help the country.
I yield the floor.
The PRESIDING OFFICER (Mr. King). The Senator from Oregon.