Recovery Rebates and Economic Stimulus for the American People Act of 2008

Floor Speech

RECOVERY REBATES AND ECONOMIC STIMULUS FOR THE AMERICAN PEOPLE ACT OF 2008 -- (Senate - February 07, 2008)

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Mr. GREGG. Madam President, reserving the right to object, I simply note that when unemployment exceeds a certain level, there is reason to extend it, but this Nation's unemployment now is under 5 percent which is deemed to be full employment. There is no trigger attached to this proposal.

In a State such as New Hampshire where unemployment is at 3.6 percent, an extension might have an opposite effect. Rather than stimulating the economy, it might undermine the ability to create more productivity. So I object.

The PRESIDING OFFICER. Objection is heard.

Mr. REID. Madam President, the State of Nevada is 5 percent, as is Michigan and a number of other States. It would not apply to every State but some States. I am disappointed my friend objected to the request, but I understand.

The stimulus package I introduced earlier this week included a $1 billion increase for the Low-Income Home Energy Assistance Program, or LIHEAP. I commend my colleagues, my friend Jack Reed, Bernie Sanders, Susan Collins, and a number of others, for their strong advocacy for LIHEAP and for the broad support that they have helped build for the program. They know LIHEAP is critical for many Americans who otherwise will be forced to choose between heating their homes, putting food on the table, or buying medicine or gas for their car. These are people who will spend any additional assistance and help stimulate the economy.

So I ask unanimous consent that, notwithstanding the previous unanimous consent agreement, the LIHEAP provision in the previously withdrawn first-degree amendment be added as an amendment to the bill currently before the Senate.

The PRESIDING OFFICER. Is there objection?

Mr. GREGG. Madam President, reserving the right to object, I note that I strongly supported LIHEAP and have supported it on numerous occasions and continue to support its expansion. I happen to believe it should be paid for. I don't think we should pass on to our children and our grandchildren the cost of the oil bills today. We should expand LIHEAP, but as part of expanding LIHEAP, we should offset that with an offsetting savings somewhere else. So at this time I have to object.

The PRESIDING OFFICER. Objection is heard.

Mr. REID. Madam President, I am on my best behavior today, so I am not going to dwell on the fact that the war has cost us about $800 billion, all borrowed money. But I understand the objection to this LIHEAP amendment.

Mr. GREGG. Madam President, if the Senator will yield, I also am on my best behavior today, I can assure the majority leader. I have other unanimous consent requests I wish to make, but I am reserving my energy.

Mr. REID. Madam President, the Senate Finance Committee package contained tax incentives to encourage the development of alternative and renewable sources of energy, as well as investments in energy efficiency.

Senator Cantwell has been a champion of these provisions. There is not enough I can say to commend her for her good work. It is outstanding.

These tax incentives make sense from the standpoint of our economy and our Nation. They would create jobs for Americans and, in the process, they would reduce our dependence on foreign sources of energy.

I have seen the importance of developing alternative renewable sources of energy in Nevada. The geothermal industry has taken off in my State, providing hundreds of jobs for Nevadans and increasing Nevada's energy independence.

So I ask unanimous consent that, notwithstanding the previous unanimous consent agreement, the energy tax provisions in the Senate Finance Committee package be added as an amendment to the bill currently before the Senate.

The PRESIDING OFFICER. Is there objection?

Mr. GREGG. Madam President, reserving the right to object, I am very sympathetic to the work of the Senator from Washington. She does exceptional work. As a practical matter, I am always interested in areas where we can develop energy and alternative energy, but that is not part of a stimulus package.

These tax credits would essentially not kick in for literally years, in many instances, and are not going to do a great deal of stimulating and should not be added to the package. So on behalf of the leadership, I object.

The PRESIDING OFFICER. Objection is heard.

Mr. REID. Madam President, the Finance Committee, rightfully so, by an overwhelming bipartisan vote, agreed to include a provision in this legislation that is designed to help homeowners avoid foreclosures by allowing them to refinance. The President of the United States proposed this in his State of the Union Address, and this proposal has been championed by my friend, the distinguished junior Senator from Massachusetts, Mr. Kerry. It also would add $10 million in bonds that States could use to help address the serious housing crisis facing our country. They can sell homes that are in foreclosure or refinance loans.

I commend Senator Kerry for getting this proposal added in the Finance Committee. It makes tremendous sense. I suggest it would be the right thing to do. The President supports it--or said he did in the Finance Committee--and I hope we can get agreement on it.

I therefore ask, Madam President, that, notwithstanding the previous unanimous consent agreement, the mortgage revenue bond provision in the Finance Committee package be added as an amendment to the bill currently before the Senate.

The PRESIDING OFFICER. Is there objection?

Mr. GREGG. Madam President, reserving the right to object, I think this proposal makes a great deal of sense, but in the name of the Speaker of the House, I would have to object. So I object.

The PRESIDING OFFICER. Objection is heard.

Mr. REID. Madam President, I don't know if there is an economist who disagrees--there could be; I don't know who it would be--that the best way to stimulate the economy is to get money into the hands of those who will spend it immediately and the people who need it the most. That is why, according to more than one economic study, the absolutely best way to stimulate the economy is to increase food stamp benefits. According to that study, for every $1 allocated to food stamps, economic activity is increased by $1.84. That is the best thing we could do. It is the best bang for the buck.

I therefore ask unanimous consent that notwithstanding the previous unanimous consent agreement, the underlying bill be modified by adding a provision that would appropriate $5 billion to increase nutritional assistance for the rest of the calendar year.

The PRESIDING OFFICER. Is there objection?

Mr. GREGG. Again, this package was worked out between the House Republican leadership, the House Democratic leadership, and the administration, and basically the purpose here is to move the package quickly. That was not part of the package. Therefore, on behalf of the leadership, I would have to object.

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