Making Emergency Supplemental Appropriations for Economic Recovery for the Fiscal Year Ending September 30, 2008 - Motion to Proceed

Floor Speech

MAKING EMERGENCY SUPPLEMENTAL APPROPRIATIONS FOR ECONOMIC RECOVERY FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2008--MOTION TO PROCEED -- (Senate - September 26, 2008)

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Mr. LEVIN. Mr. President, Congress needs to take action to stimulate the slumping economy in ways that create jobs and help average middle-class Americans. So I am pleased that today the Senate is voting on a second economic stimulus package of $56.2 billion aimed at creating jobs and helping people suffering from higher prices at the pump and at the grocery store, reduced State services, high unemployment, home foreclosures and otherwise feeling the economic pain in their daily lives. We clearly need more economic stimulus, especially in States like Michigan. I hope my colleagues will join me in supporting this bill.

Importantly, this package includes a much needed unemployment extension. In August, Michigan's unemployment rate rose from 8.5 percent to 8.9 percent. The Nation's unemployment rate also increased by .4 percent, to 6.1 percent, the highest since 2003. These are very hard economic times. Unemployment rates are rising and since January 2001 we have lost 3.686 million manufacturing jobs nationally and 253,800 manufacturing jobs in Michigan. Since 2000, we have lost more than 450,000 jobs in Michigan across all industries.

The unemployment insurance extension which was signed into law on June 30 as part of the supplemental war appropriations bill included a 13-week extension of UI benefits for all States. Since then, workers who started receiving the 13-week extension in mid-July under the current program will have their benefits cut off starting October 5. This means that an estimated 42,600 workers in Michigan will be cut off in October, and 775,000 workers across the Nation. By the end of this year, the number of individuals who would have exhausted their unemployment benefits will rise to 58,000 in Michigan and 1.1 million nationally.

The unemployment insurance extension included in this economic stimulus package is essential. This extension will ensure that hard working Americans have an additional 7 weeks as they continue to find jobs. In high unemployment States like Michigan, these States will receive an additional 13 weeks. We must ensure that those individuals who have lost their jobs and are looking for work, during a time when industries are losing jobs and the price of food and energy are rising, are not also struggling to put food on their table, pay their utility bills, and cover their mortgages.

With States facing billions of dollars in shortfalls in revenue collection, they are forced to cut health care, education and other important programs that average people depend on. This bill will help States facing shortfalls by providing $19.6 billion to reduce the State's share of Medicaid costs by increasing the Federal share by 4 percent.

The bill also includes $10.8 billion for building and repairing highways, bridges, mass transit and airports. I have been calling for additional infrastructure spending because infrastructure investment creates jobs and promptly puts people to work. This type of investment strengthens our economy and it gives us better roads and safer bridges.

President Bush had opposed providing infrastructure funding as an economic stimulus claiming there is a lag time to get infrastructure projects going and Federal funding could not be spent fast enough to spur the economy in the short term. But there are plenty of ready to go projects in Michigan and other states that can put people to work right away.

Infrastructure spending for projects that are ready to begin construction could immediately create high-paying jobs in the short term. Once built, the new infrastructure would enhance economic output over the long term. Investment in transportation, water and sewer projects, navigational systems, and other public infrastructure projects that are ready to go will create jobs and provide the means for future economic growth. Specifically, Michigan has at least $263 million of transportation projects that could be started this year.

The Great Lakes navigational system also faces a backlog in construction and operations and maintenance projects. The Army Corps of Engineers estimates $62 million could be used this year to address the backlog in dredging projects to help ensure that shipping--one of the lowest cost ways to transport supplies to industry and products to customers--is not impeded. The Economic Recovery Act includes $100 million for Army Corps of Engineers dredging projects to address this backlog and to ensure that channels are dredged for energy shipments and other raw materials. Great Lakes coal trade for the year totals about 24 million tons, fueling electric utilities and manufacturing plants. In total, Great Lakes vessels transport about 115 million tons of cargo each year, fueling our Nation's industries and manufacturing plants. This funding is critical for ensuring these shipments can continue to flow. The bill also would provide $600 million for the Environmental Protection Agency's clean water State revolving fund, which provides funding to States for low-cost loans for sewer projects. This money could be used immediately in Michigan, which has 20 sewer projects that are ready-to-go, and could use $55 million this year.

I am pleased that the stimulus package contains a significant increase in funding for the Department of Energy's weatherization assistance programs, providing an increase of $500 million over what is already proposed to be included in the continuing resolution for fiscal year 2009, providing a total of close to $1 billion for this program. The Bush administration has consistently reduced funding for weatherization assistance in previous years and even proposed to eliminate it completely this year. But instead of decimating the program as proposed by the administration, the stimulus package will more than triple the current level of funding assistance provided by the Federal Government and help to weatherize an additional 300,000 homes and support more than 8,000 existing jobs.

This stimulus package also includes over $700 million to continue to help our Nation's homeowners and renters, many of whom are experiencing the real impacts of this housing crisis first hand. The increased funding to implement the recently-passed Housing and Economic Recovery Act, funding for legal assistance to families whose homes are in foreclosure, and housing assistance to renters who are being displaced by foreclosure included in this bill would provide much needed relief to those caught in the middle of this crisis. In addition, this bill would provide additional funding to assist the FBI in their investigation of the rising claims of mortgage fraud throughout this country.

The cost of operating and maintaining public housing has been rising and public housing agencies need additional funding to address critical and urgent safety, security and energy-related needs. This bill includes funding to address these needs that will prioritize rehabilitating vacant rental units in order to meet increasing demand for affordable rental housing.

The stimulus package includes an additional $300 million for advanced battery research and development and battery manufacturing. This funding is critical if the U.S. is to develop the components needed for advanced technology vehicles and if we are to remain competitive in the global marketplace. There is a strong push here and in other countries to develop a lithium ion battery suitable for vehicle applications at affordable cost. Significantly more Federal investment is required--as much as triple the amount being spent now--if we are to meet this challenge in the U.S. Over time, Japan and other Asian governments have invested significantly more money in battery technology and have supported their manufacturers in bringing these technologies to the market. Most of these technologies were originally invented here, but the manufacturing has been done overseas because these other countries more vigorously support their manufacturing base. We need a similar strong commitment in the U.S.--both in exploratory research and development and in development of advanced battery manufacturing capabilities--to ensure that the next generation of technology is built here in America. The additional $300 million included in the stimulus will take a giant step in the right direction.

This legislation also includes valuable funding for law enforcement and border security. It includes $490 million for Byrne grants to support State and local police and $500 million for the COPS hiring grant program, which will put 6,500 new officers on the street across the country. Further, the bill includes $776 million for border construction at CBP-owned inspection facilities at land border ports of entry.

Mr. President, with the economic crisis on Wall Street looming before us Congress must act to help people on Main Street now more than ever. The bill before us does this and I will vote for it.

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