Defense Production Act Reauthorization Of 2009

Floor Speech

DEFENSE PRODUCTION ACT REAUTHORIZATION OF 2009 -- (Senate - September 16, 2009)

BREAK IN TRANSCRIPT

Mr. BROWN. Mr. President, I appreciate the kind words of the Senator from Connecticut. At a hearing of the Economic Policy Subcommittee on May 13, witnesses discussed the challenges tight credit markets pose for small and medium-sized manufacturers, as well as the economic, strategic, and security implications of a weakened manufacturing sector.

Among our witnesses were the president of the United Steelworkers, and a managing director of the Carlyle Group. It is not every day Congress sees representatives from these two institutions, but when it comes to the importance of manufacturing to this nation, the United Steelworkers and the Carlyle Group are on the same page.

The reason is simple. Manufacturing accounts for $1.6 trillion of U.S. GDP--12 percent--and accounts for nearly three-fourths of the Nation's industrial research and development. Manufacturing jobs also pay 20 percent more on average than service jobs. Each manufacturing job supports four to five other jobs throughout the U.S. economy.

In short, manufacturing matters a great deal to our Nation's strength.

One important finding that emerged during this hearing is that reauthorization and expansion of the Defense Production Act of 1950 may provide the U.S. Government with valuable tools for maintaining critical supply lines, which would be particularly useful at a time when U.S. manufacturers are experiencing declining access to credit.

Mr. DODD. Mr. President, I could not agree more. And I appreciated the leadership that Senator Brown demonstrated in highlighting these important facts during his hearing. In fact, I expressed a similar sentiment in a letter to Homeland Security Secretary Janet Napolitano in February, which I will ask to be made part of the Record.

With this legislation in place, not only do we expect the current and future administrations to apply these newly updated authorities when appropriate, but I hope that they will take care to use them in a creative and appropriate manner in response to ongoing problems that threaten the long-term health of our industrial base--namely the credit crisis' impact on U.S. manufacturing.

My colleague from Ohio has played a key role in raising awareness of these important matters and ensuring that the current administration work with Congress to address our concerns. In particular, I appreciated his ongoing contact with the administration regarding his subcommittee's findings.

Mr. BROWN. Mr. President, the key to America's long-term security and prosperity is a healthy and viable domestic manufacturing base. I am hopeful that the administration will use the tools set in place by this legislation to achieve these ends. It is for this reason that Senator Dodd, Senator Merkley, Senator Warner and I sent a letter--which I will ask to be printed in the Record--to the Office of Management and Budget urging the administration to provide their recommendations on changes to the Defense Production Act.

Mr. President, I ask unanimous consent to have the two letters which were referred to be printed in the Record.

There being no objection, the material was ordered to be printed in the RECORD, as follows:

BREAK IN TRANSCRIPT

Source