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Congressional Record

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									                                                    Congressional Record
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                                                                                                                         108 th CONGRESS, FIRST SESSION
          United States
           of America                               PROCEEDINGS AND DEBATES OF THE


      Vol. 149                                                   WASHINGTON, THURSDAY, JULY 31, 2003                                                                 No. 116


                                                  House of Representatives
                                       The House was not in session today. Its next meeting will be held on Friday, August 1, 2003, at 4 p.m.




                                                                                         Senate
                                                                                    THURSDAY, JULY 31, 2003
                                                                             (Legislative day of Monday, July 21, 2003)

        The Senate met at 9 a.m., on the ex-                                                    SCHEDULE                               RESERVATION OF LEADER TIME
      piration of the recess, and was called to                                                                                        The PRESIDENT pro tempore. Under
      order by the President pro tempore                                       Mr. FRIST. Mr. President, this morn-
                                                                             ing we will debate the cloture motion                   the previous order, the leadership time
      (Mr. STEVENS).                                                                                                                 is reserved.
                                                                             relating to the Pryor nomination until
                                                PRAYER                       10 a.m. Following the debate relating                                 f
        The Chaplain, Dr. Barry C. Black, of-                                to the Pryor nomination, the Senate                               EXECUTIVE SESSION
      fered the following prayer:                                            will proceed to the cloture vote. There-
        O God, who blesses us in ways we                                     fore, the first vote in today’s session
      cannot number or describe, forgive us                                  will occur at approximately 10 a.m.                     NOMINATION        OF     WILLIAM      H.
      when we forget Your mercies. We                                        Following the cloture vote, the Senate                    PRYOR, OF ALABAMA, TO BE
      thank You that in the shadow of Your                                   will resume consideration of S. 14, the                   UNITED STATES CIRCUIT JUDGE
      wings we can find refuge. Thank You                                    Energy bill.                                              FOR THE ELEVENTH CIRCUIT
      for filling our empty hands with good.                                   Last night I filed a cloture motion                     The PRESIDENT pro tempore. Under
      Give us, today, a clearer vision of Your                               relative to the pending Energy legisla-                 the previous order, the time until 10
      truth that we may do Your will.                                        tion. As I said last night, that cloture                a.m. shall be equally divided between
        Lord, help us to tear down the walls                                 motion was filed to give us a chance to                 the Senator from Utah, Mr. HATCH, and
      of mistrust and suspicion that divide                                  finish the bill prior to the August re-                 the Senator from Vermont, Mr. LEAHY,
      us and build bridges of unity and co-                                  cess. If we have any hope of passing a                  for debate prior to a vote on the mo-
      operation. May we remember the power                                                                                           tion to invoke cloture on the nomina-
                                                                             bill which would establish a national
      of courtesy and civility. May our ac-                                                                                          tion of William Pryor.
                                                                             energy policy, then the Senate must
      tions reinforce our words. Help us to be                                                                                         The Senator from Utah.
                                                                             invoke cloture. In the interim, I know
      steadfast and unmovable in our resolve                                                                                           Mr. HATCH. Mr. President, on Tues-
                                                                             the chairman will certainly work with
      to make a positive impact on our                                                                                               day a cloture motion was filed on the
      world. We pray this in Your strong                                     Members toward consent agreements
                                                                             to allow consideration of any addi-                     nomination of William Pryor for the
      name. Amen.                                                                                                                    Eleventh Circuit Court of Appeals. I
                                                                             tional amendments. It is our hope to
                                                f                                                                                    rise today to urge my colleagues to
                                                                             continue to process Senators’ amend-
           PLEDGE OF ALLEGIANCE                                              ments prior to the cloture vote.                        vote for cloture on this nomination.
                                                                                                                                       Why must we seek cloture on this
        The Honorable PATRICK J. LEAHY, a                                      Let me reiterate again that our com-                  nomination? Unfortunately, we all
      Senator from the State of Vermont, led                                 mitment remains on this side of the                     know the answer. A majority of Demo-
      the Pledge of Allegiance, as follows:                                  aisle to finish this Energy bill. Cloture               cratic Senators have developed a poor
        I pledge allegiance to the Flag of the                               votes on judicial nominees will not and                 track record of denying a minority of
      United States of America and to the Repub-                             should not detract us from the ulti-
      lic for which it stands, one nation under God,                                                                                 Democratic Senators and the entire
                                                                             mate goal of concluding our work on                     Republican majority, easily a majority
      indivisible, with liberty and justice for all.
                                                                             this bill. I hope today that we can                     of the Senate, the right to vote to con-
                      f                                                      renew our efforts, have Members come                    firm two of President Bush’s out-
       RECOGNITION OF THE MAJORITY                                           forward with their amendments, debate                   standing Circuit Court nominees,
                     LEADER                                                  those amendments, and then have the                     Miguel Estrada and Priscilla Owen.
       The PRESIDENT pro tempore. The                                        Senate work its will on the issues.                     One filibuster of an outstanding Fed-
      majority leader is recognized.                                           I yield the floor.                                    eral circuit court nominee was bad


                               ∑ This ‘‘bullet’’ symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor.

                                                                                                                                                            S10455


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      S10456                                             CONGRESSIONAL RECORD — SENATE                                                         July 31, 2003
      enough—unprecedented, in fact, in the                    types of investigations or these types                  problem, apparently, for those who
      history of the Senate. A second fili-                    of documents for any other Senate                       seek to prevent us from voting to con-
      buster doubled the ignominy. I fear                      nominee. They have not asked for                        firm him.
      that the second filibuster will not be                   these documents for women. They have                      The problem that those opposed to
      the last. I wonder whether there is a                    not asked for these documents for                       giving Bill Pryor an up or down vote in
      particular number of filibusters that                    white males but all of a sudden we have                 the Senate have is that they cannot
      the majority of Democrats has in mind.                   the first Hispanic nominated to the                     credibly make any substantive argu-
      I, and the majority of this Senate                       Circuit Court of Appeals for the Dis-                   ments against him—so they oppose him
      would like to know.                                      trict of Columbia and all of a sudden                   based on what he has stated he person-
         I have heard certain Democrats say                    they are asking for documents that                      ally believes. They cannot cast asper-
      that a baseball player would be thrilled                 they know the Solicitor General’s of-                   sions on his legal ability—the undis-
      to have a batting average as good as                     fice cannot give, not because there is                  puted quality of his legal work as at-
      the percentage of President Bush’s                       anything to hide—Miguel Estrada                         torney general of Alabama is reflected
      nominees who have been confirmed                         would have given them up if he had had                  in several major cases in which the Su-
      since he took office. Assuming such an                   the power to do so—but because it is                    preme Court majorities have agreed
      analogy is relevant, let’s take it a bit                 not the right thing to do. They are                     with his arguments. They cannot say
      further. I wonder if that same baseball                  privileged documents.                                   he is only a one-party horse—because
      player would sit calmly on the bench                       In Justice Owen’s case, she appeared                  so many Democrats, and many promi-
      if, in the most important innings of the                 before the Judiciary Committee twice                    nent African-American Democrats, in
      season, the opposing team invoked a                      and answered dozens and dozens of oral                  Alabama support him even though they
      rule to prevent that player from even                    and written followup questions in great                 disagree with him politically. They
      getting into the batter’s box. And what                  detail. Her court opinions are available                cannot really find anything sub-
      if the rule invoked had never been used                  and have been read and scrutinized by                   stantive that might reflect poorly on
      to deny a player the right to take his                   Members of the Senate. No one doubts                    his qualifications to sit on the Federal
      swings? Should that player and his                       that she has a sufficient record. So why                bench. So they attack his personal be-
      team’s manager be thankful that most                     is she being held up? I might add, why                  liefs, even though in every instance in
      other players were allowed to play?                      is she being treated differently from                   which a conflict between those beliefs
      Should the opposing manager be able                      Miguel Estrada? Nobody has demanded                     and the law has arisen in Bill Pryor’s
      to tell that player and his team, well,                  those types of documents from her.                      career, he has unfailingly put the law
      I understand your manager put your                         But not even those most vigorously                    first. In most of the cases they criticize
      name on the gameday lineup two sea-                      opposed to Bill Pryor’s nomination                      him for, he was won in the Supreme
      sons ago, but it is up to us, not him and                contend that his record is insufficient.                Court, making such criticism even
      not your team, when or if you will ever                  He has been a bold, vocal, and success-                 more laughable.
      play? I submit that they would be as                     ful advocate for his State as attorney                    The President has nominated a good
      frustrated and disappointed as we Sen-                   general, an elected office in Alabama.                  an honest man with a sterling legal ca-
      ators are today, with the two ongoing                      Prior to and during his campaign                      reer, a bipartisan reputation for enforc-
      filibusters of nominees whose names                      seeking reelection to the attorney gen-                 ing the law impartially as attorney
      were submitted by the President well                     eral position in 1998 and 2002, he made                 general, and an enviable record of suc-
      over 2 years ago, and the real prob-                     his positions on the contentious issues                 cess before the Nation’s highest Court.
      ability of more indefinite delays to                     of the day crystal clear, and he won his                Contrary to all available evidence, a
      come.                                                    most recent election with almost 60
         Here is what we know: a majority of                                                                           minority of the Senate may attempt to
                                                               percent of the vote. Rarely has the Ju-                 prevent us from voting on him. Such
      Democrats has made it clear to a ma-                     diciary Committee reviewed such a full
      jority of Senators that they are deter-                                                                          an attempt is profoundly at odds with
                                                               and unmistakably clear record for an                    what the Constitution demands of us as
      mined to deny it the right to vote, and                  appellate nominee. Rarely has the Ju-
      to deny a nominee what he or she de-                                                                             Senators. The President and the Amer-
                                                               diciary Committee reviewed such a full                  ican people have a right to an up or
      serves, an up or down vote.                              and unmistakably clear record for an
         By the way, the President deserves                                                                            down vote on judicial nominees. That
                                                               appellate nominee; rarely has a nomi-                   is what the advise and consent clause
      an up-or-down vote on his nominees.
                                                               nee at his hearing been so honest, in-                  means. Playing political games with
      We certainly gave judges up-or-down
                                                               telligent and forthright in his answers                 judicial nominees must stop. We must
      votes in the Clinton administration
      and during the Carter administration.                    to every Senator’s questions, even                      do our duty to vote on this excellent
         When they got to the floor, they got                  though he surely knew that his legal                    nominee, Bill Pryor.
      up-or-down votes. Because we do not                      and policy positions on many, if not                      Now, if this is another filibuster, we
      know when the next filibuster is com-                    most, issues, clashed head-on with the                  need to ferret it out. That is why we
      ing, we must ensure that debate on At-                   positions of those who questioned him.                  will have the cloture vote. For those
      torney General Pryor’s nomination to                     Similarly, in his answers to approxi-                   complaining this interrupts the Energy
      the Eleventh Circuit is ample but not                    mately 288 written questions from                       bill, we are here at 9 a.m. in the morn-
      endless. Unfortunately, we know from                     seven different Democratic Senators,                    ing; energy can start right after this
      the filibusters of Miguel Estrada and                    he was as clear and complete as he had                  cloture vote.
      Justice Owen that meaningful delibera-                   been during his hearing. And even after                   Let’s face it, there has been a slow
      tion on these nominees is not the goal                   Bill Pryor answered all of these ques-                  walk on the Energy Bill as there has
      of those who would deny us the right to                  tions, some Democrats regrettably con-                  been on almost everything this year.
      vote on their confirmation. The goal is                  tinued to try to dig for dirt on him,                   We all know the game that is going on.
      to prevent a majority of the Senate                      using unauthenticated and possibly                      Frankly, in the case of Bill Pryor, it is
      from fulfilling its constitutional duty.                 stolen documents as a pretext for a so-                 a very dangerous game.
      In an effort to keep this from hap-                      called investigation, when not a single                   I yield the floor.
      pening, we have filed for cloture. I urge                person has made a substantive, authen-                    The PRESIDENT pro tempore. The
      my colleagues to support cloture on                      ticated allegation against him. But                     Senator from Vermont.
      General Pryor’s nomination.                              throughout almost a month of this uni-                    Mr. LEAHY. Mr. President, I yield 6
         Over the past 6 months we have heard                  lateral fishing expedition, including                   minutes to the senior Senator from
      that a filibuster is justified for Miguel                phone calls to 20 people, nobody can                    Massachusetts.
      Estrada on the grounds that he has not                   show that Bill Pryor was anything                         Mr. KENNEDY. Mr. President, I urge
      been forthcoming enough or that the                      other than truthful with our com-                       my colleagues to vote against cloture
      Senate needed blanket access to all of                   mittee.                                                 on the nomination of William Pryor.
      his legal memoranda in order to make                       We all know what kind of man Bill                     Since President Bush came into office,
      an informed choice.                                      Pryor is, and we all know what he be-                   the Senate has confirmed 140 of his
         Well, that is interesting because                     lieves. We even know why he believes                    nominees and so far blocked only two.
      Democrats have never asked for these                     what he believes. But therein lies the                  We have blocked these nominees partly



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                S10457
      because they were too extreme for life-                  ‘‘hitching posts’’ for hours in the sum-                  The PRESIDENT pro tempore. Who
      time judicial appointments, and partly                   mer heat.                                               yields time?
      because the White House and the Sen-                        Last term, the Court also rejected                     The Senator from Vermont.
      ate Majority have tried to jam the                       Mr. Pryor’s view on what constituted                      Mr. LEAHY. Mr. President, I thank
      nominations through the Senate with-                     cruel and unusual punishment in the                     the Senator from Massachusetts. It is
      out respect for the Senate’s advice and                  context of the death penalty. The                       interesting that we are in this debate.
      consent role under the Constitution,                     Court held, contrary to Mr. Pryor’s ar-                 We are told we want to finish the En-
      and without respect for the Senate’s                     guments, that subjecting mentally re-                   ergy bill, yet we have been talking
      rules and traditions.                                    tarded persons to the death penalty                     about everything but energy. We have
        The nomination of Mr. Pryor illus-                     violated the Eighth Amendment. And                      a number of judicial nominations that
      trate all of these issues. His views are                 just this Spring, the Eleventh Circuit,                 have been brought up that are obvi-
      at the extreme of legal thinking. It is                  a circuit dominated by conservative,                    ously controversial, obviously not ripe
      clear from his record that does not                      Republican appointees, rejected Mr.                     for debate. That takes time. At the
      merit confirmation to a lifetime seat                    Pryor’s attempt to evade that Supreme                   same time, we have ignored a number
      on an appellate court that often has                     Court’s decision. Mr. Pryor attempted                   of judicial nominations that could have
      the last word on vital issues, not only                  to prevent a prisoner with an IQ of 65—                 been voted on in a series of 10-minute
      for the 4.5 million people of Alabama,                   whom even the prosecution had noted                     rollcall votes had the leadership want-
      but also for the 8 million people of                     was mentally retarded—from raising a                    ed that.
      Georgia and the 15 million people of                     claim that he should not be executed.                     Maybe they don’t really want to fin-
      Florida.                                                 Repeatedly, his far-reaching arguments                  ish the Energy bill before the recess. Or
        Mr. Pryor is not simply a conserv-                     have been rejected by the courts. This                  perhaps, as we now read in the paper,
      ative, he is committed to using the law                  is not a man within the legal main-                     the White House has ordered Repub-
      to advance a narrow ideological agenda                   stream.                                                 lican leadership to have four cloture
      that is at odds with much of the Su-                        Mr. Pryor and his supporters simply                  votes, a very busy week.
      preme Court’s jurisprudence over the                     say that he is ‘‘following the law,’’ but                 When I came here and when the dis-
      last 40 years. An agenda that is at odds                 repeatedly Mr. Pryor attempts to make                   tinguished Presiding Officer, my friend
      with important decisions that have                       the law, using the Attorney General’s                   from Alaska, and the very highly re-
      made our country more inclusive and                      office as his own personal ideological                  spected President pro tempore, we
      fair over the past 40 years.                             platform.                                               tended to be more independent around
        Mr. Pryor’s agenda is clear. He is an                     Mr. Pryor’s many intemperate, in-                    here, independent of the White House.
      aggressive supporter of rolling back                     flammatory statements show that he                      The Senate was its own body. Now the
      the power of Congress to remedy viola-                   lacks the temperament to serve on the                   White House tends to run things, even
      tions of civil and individual rights; he                 Federal court. Mr. Pryor ridiculed the                  picking the Republican leadership. It is
      is a vigorous opponent of the constitu-                  Supreme Court of the United States for                  a strange time.
      tional right to privacy and a woman’s                    granting a temporary stay of execution                    I am going to yield quickly to the
      right to choose; and, he is an aggres-                   in a capital punishment case. Alabama                   Senator from New York, but I just
      sive advocate of the death penalty,                      is one of only 2 States in the Nation                   want to say one thing. One of the most
      even for individuals with mental retar-                  that uses the electric chair as its sole                despicable things in this debate has
      dation. He contemptuously dismissive                     method of execution. The Court grant-                   been the charges made by supporters of
      of claims of racial bias in the applica-                 ed review to determine whether the use                  the administration that Democratic
      tion of the death penalty. He is a ar-                   of the electric chair was cruel and un-                 Senators are anti-Catholic because we
      dent opponent of gay rights.                             usual punishment. For Mr. Pryor, how-                   oppose Mr. Pryor, notwithstanding his
        What we are expected to believe is                     ever, the Court should not have even                    far right, way out of the mainstream
      that despite the intensity with which                    paused to consider this Eighth Amend-                   ideology and past actions; notwith-
      he holds these views and the years he                    ment question. He said the issue                        standing the fact that we asked ques-
      has devoted to dismantling these legal                   ‘‘should not be decided by 9 octoge-                    tions about whether he was soliciting
      rights, he will still ‘‘follow the law’’ if              narian lawyers who happen to sit on                     campaign contributions from the same
      he’s confirmed to the Eleventh Circuit.                  the Supreme Court.’’ This doesn’t re-                   companies he was supposed to be suing
      Repeating that mantra again and again                    flect the thoughtfulness we seek in our                 and prosecuting. Notwithstanding that,
      in the face of his extreme record does                   federal judges.                                         because we raised these questions, the
      not make it credible that he will do so.                    He is dismissive of concerns about                   answers are not given to the questions
        Mr. Pryor’s supporters say that his                    fairness in capital punishment. He has                  we raise. Instead, we are called anti-
      views have gained acceptance by the                      stated: ‘‘make no mistake about it, the                 Catholic.
      Courts, and that his legal positions are                 death penalty moratorium movement                         This charge is despicable. I have
      well within the legal mainstrain. This                   is headed by an activist minority with                  waited patiently for more than 2 years
      is simply not true. Mr. Pryor has con-                   little concern for what is really going                 for my counterparts on the other side
      sistently advocated views to narrow in-                  on in our criminal justice system.’’                    to disavow such charges. They stay si-
      dividual rights far beyond what any                         I have watched my colleagues on the                  lent, and of course the best way for a
      court in this land had been willing to                   other side bring up every argument                      lie to take root is for people to stay si-
      hold.                                                    they can find to save this nominee. Mr.                 lent about it. They stayed silent about
        Just this past term, the Supreme                       Pryor’s record is so full of examples of                this lie—actually that is not true.
      Court rejected Mr. Pryor’s argument                      extreme views, and they labor to rebut                  They haven’t just stayed silent about
      that States could not be sued for                        each one. They call Senate Democrats                    it. Many have gone on and repeated it.
      money damages for violating the Fam-                     and citizens who question Mr. Pryor’s                     The slander in the ads recently run
      ily and Medical Leave Act. The Court                     fitness—including more than 204 local                   by a group headed by the President’s
      rejected his argument that states                        and national groups—a variety of                        father’s former White House counsel
      should be able to criminalize private                    names, and accuse us of bias. The ques-                 and a group whose funding includes
      sexual conduct between consenting                        tion however is why when there are so                   money raised by Republican Senators
      adults. The Court rejected his far-                      many qualified Republican attorneys                     and the President’s family is person-
      reaching     argument      that   counties               in Alabama, the President would                         ally offensive. They have no place in
      should have the same immunity from                       choose such a divisive nominee? Why                     this debate or anywhere else.
      lawsuits that States have. The Court                     pick one whose record raises so much                      I challenged Republican Senators,
      rejected his argument that the right to                  doubt as to whether he will fair? Why                   who are so fond of castigating special
      counsel does not apply to defendants                     pick one who can only muster a rating                   interest groups and condemning every
      with suspended sentences of imprison-                    of partially unqualified from the Amer-                 statement critical of a Republican
      ment. The Court rejected his argument                    ican Bar Association?                                   nominee as a partisan smear, to con-
      that is was constitutional for Alabama                      I hope this nominee will not be ap-                  demn this ad campaign and the injec-
      prison guards to handcuff prisoners to                   proved.                                                 tion of religion into these matters.



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      S10458                                             CONGRESSIONAL RECORD — SENATE                                                           July 31, 2003
      Only one of the newest Members of the                      There being no objection, the mate-                    Now this nominee, Mr. Pryor, is an active
      Senate on the Republican side re-                        rial was ordered to be printed in the                  politician. He has been particularly active
      sponded to the challenge.                                RECORD, as follows:                                    on several political issues that divide Ameri-
         Other Republican members of the Ju-                                                                          cans. And this administration has acknowl-
                                                               REMARKS OF FORUM PARTICIPANTS—THE
                                                                                                                      edged that it selects nominees on the basis of
      diciary Committee and of the Senate                        FORUM TO DISCUSS THE RECENT INJECTION
                                                                                                                      their ideologies. So when this or other nomi-
      have either stood mute in the case of                      OF RELIGION INTO THE JUDICIAL NOMINA-
                                                                                                                      nees are asked about their views and state-
      these obnoxious charges or, worse,                         TIONS PROCESS, JULY 29, 2003
                                                                                                                      ments, whether it’s about Roe v. Wade or the
      have fed the flames. Last night, at                      PARTICIPANTS: LEADERS OF THE INTERFAITH                flawed administration of the death penalty,
                                                                 ALLIANCE: THE REV. C. WELTON GADDY, RABBI            they are being asked legitimate questions
      least three Republican Senators came
                                                                 JACK MOLINE, FATHER ROBERT DRINAN, THE               that the White House itself has already con-
      to the floor, not to condemn this cam-                     REV. CARLTON VEAZEY, AND THE RIGHT REV.
      paign of calling Democrats anti-Catho-                                                                          sidered in their selection. Senators of course
                                                                 JANE HOLMES DIXON; SENATOR PATRICK                   have an equal right to inform themselves
      lic—including this lifelong Catholic—                      LEAHY; SENATOR RICHARD DURBIN.                       about their ideologies. And those senators do
      but they have come here to fan the                         Senator LEAHY. First I want to thank ev-             us all a disservice, they do a disservice to
      flames, to stoke this divisive, harmful,                 erybody who has come here today, and I cer-            this great and wonderful institution, when
      and destructive campaign. I have rare-                   tainly appreciate so much the religious lead-          they charge that there is a religious test for
      ly been more disappointed in the Sen-                    ers who have really come together and                  nominees. The record itself reputes that.
      ate.                                                     united on one thing, to condemn the injec-             Democratic senators have joined in con-
         Where are the fair-minded Repub-                      tion of religious smears into the judicial             firming 140 of President Bush’s judicial
                                                               nomination process.                                    nominees. Now you’d have to guess that
      lican Senators? What has silenced                          Partisan political groups have used reli-            most of these nominees, chosen by President
      them? Are they so afraid of the White                    gious intolerance and bigotry to raise money           Bush and confirmed by Democratic senators,
      House that they would allow this reli-                   and to publish and broadcast dishonest ads             have been Republicans. Most, presumably,
      gious McCarthyism to take place? Why                     that falsely accuse Democratic senators of             share the Administration’s right-to-life phi-
      are they allowing this to go on? The                     being anti-Catholic. I cannot think of any-            losophy. No doubt, a large number of the 140
      demagoguery, divisive and partisan                       thing in my 29 years in the Senate that has            are Christians, and of course, we would have
      politics being so cynically used by sup-                 angered me or upset me so much as this. One            to assume some are Catholics.
                                                               recent Sunday I emerged from Mass to learn               I appreciated Senator Durbin’s courage
      porters of the President’s most ex-                      later that one of these advocates had been on          when he spoke the truth about these false-
      treme judicial nominees needs to stop.                   C–SPAN at the same time that morning to                hoods, and I appreciate the courage of the re-
         I remember when one of the greatest                   brand me an anti-Christian bigot.                      ligious leaders we will hear from today, and
      Senators of Vermont, Ralph Flanders,                       Now, as an American of Irish and Italian             I welcome Reverend Dr. Welton Gaddy, the
      stood up on this floor, even though he                   heritage, I remember my parents talking                president of The Interfaith Alliance. The Al-
      was a Republican, sort of the quin-                      about days I thought were long past, when              liance has stood up on important legal issues
      tessential Republican—he stood up and                    Irish Catholics were greeted with signs that           on behalf of Americans of many different
                                                               told them they did not need apply for jobs.            faiths. Remember, as Americans, this is one
      condemned what Joseph McCarthy was
                                                               Italians were told that Americans did not              of the things that makes us free and the na-
      doing. And it stopped. I hope some will                  want them or their religious ways. This is             tion that we are—the diversity that comes
      stand up and condemn this charge of                      what my parents saw, and a time that they              from our various religious beliefs. The first
      anti-Catholicism leveled against the                     lived to see be long passed. And my parents,           Amendment encompasses so many different
      members of the Senate Judiciary Com-                     rest their souls, thought this time was long           things: the freedom of speech, the freedom to
      mittee.                                                  past, because it was a horrible part of U.S.           practice any religion you want, or none if
         A few days ago we heard from a dis-                   history, and it mocks the pain—the smears              you want. We are not a theocracy, we are a
      tinguished group of members of the                       we see today mock the pain and injustice of            democracy. And because we are a democracy,
      clergy from a variety of churches and                    what so many American Catholics went                   all of us, especially those who may practice
                                                               through at that time. These partisan hate              a minority religion, get a chance to practice
      synagogues who serve as members of
                                                               groups rekindle that divisiveness by digging           it. I’m glad to see Father Drinan here. Fa-
      the Interfaith Alliance. They were will-                 up past intolerances and breathing life into           ther Drinan is a professor of law at George-
      ing to do what the Republican Senators                   that shameful history, and they do it for              town and has been a member of Congress,
      will not, and held a forum to discuss                    short-term political gains. They want to sub-          but more importantly than that he has been
      the recent injection of religion into the                vert the very constitutional process designed          a friend of mine since I was a teenager. We
      judicial nominations process. The Alli-                  to protect all Americans from prejudice and            first met when I was a college student, and
      ance is a national, grassroots, non-par-                 injustice.                                             we talked about the fact that I wanted to go
                                                                 It is saddening, and it’s an affront to the          to law school. And we’re fortunate to have
      tisan, faith-based organization of
                                                               Senate as well as to so many, when we see              with us today the Reverend Carlton Veazey,
      150,000 members who come from over 65                    senators sit silent when they are invited to           and the Right Reverend Jane Holmes Dixon,
      religious traditions. These men and                      disavow these abuses. These smears are lies,           retired Episcopal Bishop from Washington
      women of faith promote the positive                      and like all lies they depend on the silence of        National Cathedral. And the Bishop has told
      and healing role of religion in public                   others to live, and to gain root. It is time for       me she now has a son in Vermont. I admired
      life, and challenges all who seek to ma-                 the silence to end. The Administration has             her before, and I admire her even more now,
      nipulate or otherwise abuse religion for                 to accept responsibility for the smear cam-            for that. And Rabbi Jack Moline of Northern
      sectarian or partisan political pur-                     paign; the process starts with the President.          Virginia has joined us. So Revered, why
                                                               We would not see this stark divisiveness if            don’t I turn it over to you now.
      poses. They came to the United States
                                                               the President would seek to unite, instead of            The Rev. C. WELTON GADDY. Welcome to
      Capitol to denounce the despicable                       to divide, the American people and the Sen-            this Press and Hill Staff Briefing. My names
      charges made against Senators, and to                    ate with his choices for the federal courts.           is Welton Gaddy. I serve as President of The
      urge, as many of us have, that this in-                  And those senators who join in this kind of            Interfaith Alliance, a national, grassroots,
      volvement of religion in the confirma-                   a religion smear: they may do it to chill de-          non-partisan, faith-based organization of
      tion process come to an end. I would                     bate on whether Mr. Pryor can be a fair and            150,000 members who come from over 65 dif-
      like to enter into the record the re-                    impartial judge, but they do far more. They            ferent religious traditions. The Interfaith Al-
      marks of participants in the forum on                    hurt the whole country. They hurt Chris-               liance promotes the positive and healing role
                                                               tians and non-Christians. They hurt believ-            of religion in public life and challenges all
      July 29, 2003, including statements by
                                                               ers and non-believers. They hurt all of us, be-        who seek to manipulate or otherwise abuse
      Rev. Dr. C. Welton Gaddy, the Presi-                     cause the Constitution requires judges to              religion for sectarian or partisan political
      dent of the Interfaith Alliance, Rabbi                   apply the law, not their political views, and          purposes.
      Jack Moline, the Vice-chair of the Alli-                 instead they try to subvert the Constitution.            Last Wednesday, the Senate Judiciary
      ance, and the Right Reverend Jane                        And remember, all of us, no matter what our            Committee’s discussion on William Pryor’s
      Holmes Dixon, the Immediate Past                         faith—and I’m proud of mine—no matter                  nomination to the 11th Circuit Court of Ap-
      President of the Alliance. These state-                  what our faith, we are able to practice it, or         peals in Atlanta deteriorated into a dramatic
      ments are moving and persuasive and                      none if we want, because of the Constitution.          demonstration of the inappropriate inter-
                                                               All of us ought to understand that the Con-            mingling of religion and politics that raised
      important. I would hope that my Re-
                                                               stitution is there to protect us, and it is the        serious concerns about the constitutionally
      publican colleagues would read them                      protection of the Constitution that has seen           guaranteed separation of the institutions of
      and take them to heart.                                  this country evolve into a tolerant country.           religion and government. Such a meshing of
         Mr. President, I ask unanimous con-                   And those who would try to put it back, for            religion and politics in the rhetoric of the
      sent to print the remarks of the Inter-                  short-term political gains, subvert the Con-           Senate Judiciary Committee cheapens reli-
      faith Alliance forum in the RECORD.                      stitution, and they damage the country.                gion and diminishes the recognized authority




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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                    S10459
      of the Committee to speak on matters of                  didate’s pledge to defend the constitution.             didates who cannot stand on their own feet
      constitutionality. The debate of that day,               And, that pledge should be buttressed by a              when it comes to their political positions,
      though alarming and disturbing, has created              record of words and actions aimed not at at-            are now saying that hard questions about
      a teachable moment in which we will do well              tacking the very religious pluralism that the           their politics are actually some sort of criti-
      to look again at the appropriate role of reli-           candidate is being asked to defend but rather           cism about their religion belief. I have said
      gion in such a debate. That is why we are                to continuing a commitment to the highest               publicly and privately to Senator Hatch, this
      here this morning.                                       law of the land.                                        has to end immediately.
        Religion plays a vital role in the life of our           I felt grimy after listening to distinctions
      nation. Many people enter politics motivated             between a ‘‘good Catholic’’ and a ‘‘bad                   Americans should understand that a per-
      by religious convictions regarding the im-               Catholic.’’ I know that language; I heard it            son’s religion, as the Constitution requires,
      portance of public service. Religious values             in the church of my childhood where we de-              should never be a qualification for public of-
      inform an appropriate patriotism and inspire             fined a ‘‘good Baptist’’ as one who tithed to           fice. I am going to join Senator Leahy in of-
      political action. But a person’s religious               the church, didn’t smoke, didn’t dance and              fering an amendment to the Senate Judici-
      identity should stand outside the purview of             attended church meetings on Sunday                      ary Committee which states categorically
      inquiry related to a judicial nominee’s suit-            evening and a ‘‘bad Baptist’’ as one who                that no witness or nominee can ever be
      ability for confirmation. The Constitution is            didn’t fit that profile. The distinctions had           asked their religion during the course of a
      clear: There shall be no religious test for              nothing to do with the essence of the Chris-            committee hearing. I think we have crossed
      public service.                                          tian tradition and the content of Baptist               a line which is extremely sad, and watching
        Within a partisan political debate, it is out          principles. It is not a debate that is appro-           last week as several of my colleagues came
      of bounds for anyone to pursue a strategy of             priate or necessary in the Chamber of the               forward to explain Catholic doctrine was
      establishing the religious identity of a judi-           United States Senate.                                   quite a treat, Father Drinan, to have my col-
      cial nominee to create divisive partisanship.              The United States is the most religiously             leagues who are proud members of the
      That, too, is an egregious misuse of religion            pluralistic nation on earth. The Interfaith             Church of Christ, the Methodist Church, and
      and a violation of the spirit of the constitu-           alliance speaks regularly in commendation               the Church of Jesus Christ of Latter-day
      tion. Even to hint that a judiciary com-                 of ‘‘One Nation—Many Faiths.’’ For the sake             Saints, to explain to me what a ‘‘good Catho-
      mittee member’s opposition to a judicial                 of the stability of this nation, the vitality of        lic’’ believes, was troubling. I think that
      nomination is based on the nominee’s reli-               religion in this nation, and the integrity of           that kind of conversation has no place in the
      gion is cause for alarm. How did we get here?            the Constitution, we have to get this matter            public marketplace, and that Senator Leahy
        In recent years, some religious as well as             right. Yes, religion is important. Discussions          has led us in this committee, from the begin-
      political leaders have advanced the theory               of religion are not out of place in the judici-         ning objecting to this line of questioning,
      that the authenticity of a person’s religion             ary committee or any public office. But eval-           and we should put down the rule, hard and
      can be determined by that person’s support               uations of candidates for public office on the          fast, once and for all, that whether the per-
      for a specific social-political agenda. So se-           basis of religion are wrong and there should            son who is inspiring this, Mr. Boyden Gray,
      vere has been the application of this ap-                be no question that considerations of can-              in his scurrilous advertising campaign, or
      proach to defining religious integrity that              didates who would alter the political land-             members of the United States Senate, who
      divergence from an endorsement of any one                scape of America by using the judiciary to              would seek to exploit the issue of religion to
      issue or set of issues can lead to charges of            turn sectarian values into public laws should           somehow justify the extremist views of their
      one not being a ‘‘good’’ person of faith.                end in rejection.                                       nominees: whoever the person is, they have
        The relevance of religion to deliberations               The crucial line of questioning should                no place in this important public debate.
      of the Judiciary Committee should be two-                revolve not around the issue of the can-                  I am a person of the Catholic faith. I was
      fold: one, a concern that every judicial nomi-           didate’s personal religion but of the can-              raised in that religion. I continue to go to
      nee embraces by word and example the reli-               didate’s support for this nation’s vision of            Mass, to sometimes debate my church over
      gious liberty clause in the constitution that            the role of religion. If the door to the judici-        issues. I believe that’s my responsibility and
      protects the rich religious pluralism that               ary must have a sign posted on it, let the              my personal situation. I don’t believe that
      characterizes this nation and, two, a concern            sign read that those who would pursue the               should be part of the public debate, but my
      that no candidate for the judiciary embraces             development of a nation opposed to religion
                                                                                                                       position on the issues might be, and for some
      an intention of using that position to estab-            or committed to a theocracy rather than a
                                                                                                                       of the senators to come forward and say,
      lish a particular religion or religious doc-             democracy need not apply.
      trine. In other words the issue is not religion            In 1960, then presidential candidate John             anytime a religious belief somehow reaches
      but the constitution. Religion is a matter of            F. Kennedy addressed the specific matter of             over into a political area it’s out of bounds,
      concern only as it relates to support for the            Catholicism with surgical precision and po-             you can’t ask questions, well that’s just
      constitution.                                            litical wisdom, stating that the issue was              plain wrong. If you happen to be a person
        Make no mistake about it, there are people             not what kind of church he believed in but              who is of the Jewish religion, who keeps ko-
      in this nation who would use the structures              what kind of America he believed in. John F.            sher in observance of religious belief, that is
      of government to establish their particular              Kennedy left no doubt about that belief: ‘‘I            certainly your right to do and has little rel-
      religion as the official religion of the nation.         believe in an America where the separation              evance to the political debate. But the posi-
      There are those who would use the legisla-               of church and state is absolute.’’ Kennedy              tion of a person on the death penalty, wheth-
      tive and judicial processes to turn the social-          pledged to address issues of conscience out of          er they’re Jewish, Catholic, Protestant, non-
      moral agenda of their personal sectarian                 a focus on the national interest not out of             believer, whatever their denomination, that
      commitment into the general law of the                   adherence to the dictates of one religion. He           certainly does have relevance to the national
      land. The Senate Judiciary Committee has                 confessed that if at any point a conflict               debate, and to say that we’re not going to
      an obligation to serve as a watchdog that                arose between his responsibility to defend              ask those questions because they somehow
      sounds no uncertain warning when such a                  the constitution and the dictates of his reli-          cross the line into religious belief, is to dis-
      philosophy seeks endorsement within the ju-              gious, he would resign from public office. No           qualify this committee from even consid-
      diciary.                                                 less a commitment to religious liberty                  ering the most important political issues. We
        It is wrong to establish the identity of a             should be acceptable by any judicial nominee            can’t let that happen.
      person’s religion as a strategy for advancing            or by members of the Senate Judiciary Com-                I’m proud of the fact that I have nomi-
      or defeating that person’s nomination for a              mittee who recommend for confirmation to                nated many judges of my own state, and that
      judgeship. However, it is permissible, even              the bench persons charged with defending                I have never used a litmus test on any of
      obligatory, to inquire about how a person’s              the Constitution.                                       those judicial nominees. Though I am pro-
      religion impacts that person’s decisions                   We have an impressive group of religious              choice in my belief when it comes to vote on
      about upholding the constitution and evalu-              leaders here to address various issues relat-           the issues before us, I have successfully nom-
      ating legislation. When a candidate for a fed-           ing to this topic. Also, another member of              inated, and seen appointed, pro-life judges in
      eral bench has said, as did the candidate                the Senate Judiciary Committee has joined               my state, and I believe then as I do now that
      under consideration last Wednesday, in an                us, Senator Durbin, and I wanted to say, as             the fact that that’s part of their religious be-
      address in the town in which I pastor, ‘‘our             I recognize him for some comments, Senator              lief is irrelevant. I hope that what we are
      political system seems to have lost God’’ and            how grateful we are, not only for your words            saying and what we are talking about today
      declares that the ‘‘political system must re-            in session on this committee, but for the               is heard by members of the entire Senate,
      main rooted in a Judeo-Christian perspective             tireless work you’ve done on charitable                 and I hope that we will adopt this rules
      of the nature of government and the nature               choice legislation.                                     change to say once and for all that we will
      of man,’’ there is plenty for this Committee               Senator DURBIN. Thank you very much,
                                                                                                                       not return to the shabby episode that we saw
      to question.                                             and I appreciate those who have gathered
        Every candidate coming before this Com-                                                                        played out in the Senate Judiciary Com-
                                                               this morning to address this very timely and
      mittee should be guaranteed confirmation or                                                                      mittee last week.
                                                               very important issue.
      disqualification apart from the candidate’s                It has been written that patriotism is the              Rev. GADDY. Senator Leahy has already in-
      religious identity as a Baptist, a Catholic, a           refuge of scoundrels. As of last week, we               troduced the members of the panel who will
      Buddhist or a person without religious iden-             learned that religion is now the refuge of ex-          come and speak now; I will simply recognize
      tification. What is important here is a can-             tremists. Those who are bringing us can-                them. Rabbi Jack Moline.




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      S10460                                             CONGRESSIONAL RECORD — SENATE                                                             July 31, 2003
         Rabbi JACK MOLINE. I am Rabbi Jack Mo-                respect the values on which this country was            all agree on a woman’s right to choose, but
      line, vice-chair at-large of the Interfaith Al-          founded.                                                we also understand that we have different
      liance. I am also on the back end of a sum-                Rev. GADDY. Now I’ll recognize Father                 theological positions as relates to that issue,
      mer cold, so I apologize for the huskiness of            Robert Drinan.                                          and that is the strength of our coalition.
      my voice.                                                  Father ROBERT DRINAN. In the Constitu-                  The Religious Coalition was founded 30
         The ‘‘Father of our Country,’’ George                 tion of Massachusetts there’s a beautiful               years ago. Men of faith, and who are pro-
      Washington, was a surveyor by trade. Part of             sentence about how judges are supposed to               faith, we work together in harmony because
      his duties included the determination of ex-             be picked. Judges shall be selected from                we respect each other’s beliefs. We don’t hold
      actly where the property of one owner left               those ‘‘who are as impartial as the lot of hu-          the same view about abortion rights, but we
      off and the other owner began. You might                 manity will allow.’’ Isn’t that a nice theo-            all agree that this is a matter of conscience
      wonder what possible difference a few inches,            logical thing; we’re all corrupted, ‘‘as the lot        and belief. In this pluralistic nation, we
      even a few feet in either direction would                of humanity will allow.’’ And in the Con-               agree to respect different views and deci-
      make to a farmer with acres of land. But                 stitution of the United States there’s only             sions. The nominee’s pronouncements on re-
      Washington knew as we all know that crops                one reference to religion, and it’s very perti-         productive choice show no understanding of
      do not grow only in the center of a field, and           nent this morning, Article six says ‘‘No reli-          the pluralism that makes this nation great.
      that cattle do not graze only a distance from            gious test shall ever be applied for public of-         He’s not unqualified for the bench because of
      the fence, and that injuries do not always               fice’’                                                  his religion, but because of some views that
      occur close to the barn. Good surveying pro-               Consequently, when we’re thinking about               he lacks judicial temperament, and it’s
      duces good boundaries. And good boundaries               what we are trying to decide or think about             shown he would impose his personal views
      keep good neighbors from unnecessary con-                in the Senate, we must remember the shades              regardless of the law, and does not respect
      flict.                                                   of Justice Brandeis. You recall that his con-           the basic principle of religious freedom on
         As a rabbi, I have studied similar boundary           firmation was delayed, they never said open-            which this nation was founded.
      issues in the Talmud. Entire sections are                ly that he would be the first Jew but it was              Conservatives are arguing that there is a
      taken up discussing the boundaries between               always there, and I said that shame as a                religious litmus test about abortion rights
      properties, between businesses, between Sab-             leader of the Americana Bar Association                 and that determines who gets appointed and
      bath and weekdays, between the holy and                  that the ABA opposed Justice Brandeis, and              who does not. That’s nonsense. There is no
      the profane. Violating those boundaries                  underneath, it was his religion.                        correct position. Catholics and people of all
      throws a system into turmoil. Preserving                   I have here the full hearing on this man              religions have different views on abortion, as
      them avoid unnecessary conflict.                         who desires to be a judge, and if you read it           the organization Catholics for Free Choice,
         We Americans have become experts in test-             in full you’d say that the Senate is fully en-          which is a part of our coalition. Many Catho-
      ing boundaries. You can make your own list               titled to exercise its constitutional privilege.        lics disagree with the church’s stance, and
      of the boundaries we have tried to survey,               They have to give advice and consent. Advice            many Catholics practice birth control and
      and where we have been successful and where              and consent. They have broad discretion.                have abortions. But the main thing is to un-
      we have not. In culture, in business, in pub-            And if they think he wouldn’t be impartial,             derstand that religion has no place in mak-
      lic policy and in politics, the lines that sepa-         that he wouldn’t be a good judge, they are              ing this decision. These senators, who have
      rate one domain from another have been con-              fully entitled to say no. And during the cen-           tried so courageously to protect that, to pro-
      fronted by those who wish to preserve them               turies the Senate has said no to too many of            tect us from becoming a theocratic govern-
      and by those who wish to redraw them.                    the president’s nominees.                               ment, to protect us from just one view.
         When the Bill of Rights of our Constitution             What shall we say about this individual?                Catholics today have the freedom to exer-
      established what Thomas Jefferson wisely                 You can read it for yourself. He lacks judi-            cise prudential judgment, and to decide how
      called the wall of separation between church             cial temperament, in my view. He’s so scald-            best to interpret the range of teachings and
      and state, it created a two-hundred-year-old             ing and so one-sided. He believes in school             principles contained in the Catholic canon,
      tradition of surveying that boundary, trying             prayer. He called the Supreme Court ‘‘nine              as Father Drinan pointed out. Thus some
      to find the exact place to keep good neigh-              octogenarian lawyers,’’ and at 41 he’s a hard-          Catholics believe that abortion, while a seri-
      bors from unnecessary conflict.                          charging conservative activist, and the sen-            ous moral issue, should not be illegal, while
         The Senate Judiciary Committee failed in              ators are quite able, under their powers, to            others believe that the taking of human life
      their latest attempt last week when Ala-                 say ‘‘we don’t think that he is appropriate.’’          in war or capital punishment is morally
      bama Attorney General William Pryor,                     Mr. Pryor is negative on Section Five of the            evincible, in spite of Papal pronouncements
      nominee for a federal judgeship, was asked               Voting Rights Act, and has clashed with the             against both.
      by a supporting Senator about his religious              Justice Department, so let’s take a hypo.                 I was interested in Dr. Gaddy when he
      affiliation. The result, as you have seen, was           Law professors love hypos. Suppose there                talked about Baptists. I’m a Baptist; I was
      an unnecessary conflict between good neigh-              was a group of Catholics and non-Catholics              trying to measure myself up and see what
      bors. In fact, we are counting our blessings             in this country, who would say that Mr.                 kind of Baptist. I have become a better Bap-
      that the Capitol Police were not called to in-           Pryor is very much in favor of the death pen-           tist since the time that you were talking
      tervene in the ensuing arguments.                        alty and that comes from his religion. Well,            about them. But the thing is, that there is
         The religious beliefs of a nominee are rel-           it wouldn’t be on solid ground, because the             no ‘‘good Baptist’’ or ‘‘bad Baptist.’’ There is
      evant only to the extent that they interfere             Pope has opposed the death penalty, the                 no ‘‘Baptist position.’’ There’s no ‘‘Baptist
      with his or her ability to support and defend            Catholic catechism and the Catholic bishops             position.’’ That’s why you have, and I re-
      the Constitution of the United States.                   with unusual activity and vigor have op-                spect them for what they believe, but on the
      Frankly, I would be alarmed to see the influ-            posed the death penalty in any form.                    other hand that’s not my position. I am not
      ences of religious conviction expunged from                Mr. Pryor defies all of that. Should we say           a Southern Baptist. Sometimes I don’t know
      any aspect of American government. And I                 he’s a bad Catholic? And I would say that if            if I’m a Northern Baptist. Because the basic
      think it is entirely relevant to ask any can-            people use that and his faith saying that he’s          principle and tenet of the Baptist faith is
      didate for the executive, legislative or judici-         defying the Church, that would be an appro-             that we have autonomy to believe in the way
      ary if personal convictions would interfere              priate reason to vote no. They have to vote             we understand God and understand our reli-
      with the ability to support and defend the               yes or no according to what the Constitution            gious principles. So what I’m saying today is
      Constitution and its resultant laws as they              says, and it seems to me that the Senate has            that simply, as it’s been stated before, that
      exist today.                                             many, many reason to say that this indi-                no one should have a litmus test on their re-
         Frankly, that is the relevant question—not            vidual is not ready or he’s not appropriate.            ligion. I think he should be judged on his
      a question of affiliation. Do the values, be-            They could easily find, they could easily say,          qualifications or her qualifications, and that
      liefs or proclivities that Mr. Pryor or any-             in the words of the Massachusetts Constitu-             alone. So the Religious Coalition wanted to
      body else holds prevent him from meeting                 tion, that he is not ‘as impartial as the lot of        come and to stand with you, to say that we
      the responsibilities of the office. The ques-            humanity will allow.’’                                  also believe that you are doing the coura-
      tion is about his beliefs and no one else’s. By            Rev. GADDY. Now Reverend Carton Veazey.               geous thing and protecting religious freedom
      affixing a label to the question and general-              The Rev. CARLTON VEAZEY. Thank you, Dr.               in our country. Thank you very much.
      izing the issue, the legitimate business of the          Gaddy. Thank you also, Senator DURBIN and                 Rev. GADDY. The retired Bishop Pro Tem-
      Senate Judiciary Committee was catapulted                Senator LEAHY, for sharing this time. I’m               pore of the Episcopal Diocese in Washington
      onto the other side of that carefully sur-               Reverend Carlton Veazey, President of the               is also one who has served as chair of the
      veyed boundary. And lest you think the fault             Religious Coalition for Reproductive Choice,            board of The Interfaith Alliance, Bishop
      lies only on one side, the subsequent re-                founded in 1973 as a result of the Roe v. Wade          Jane Holmes Dixon, we are eager to hear
      sponses of opposing senators are a good indi-            decision. We have over forty religious orga-            you.
      cation of the reason we rely on articulated              nizations and denominations in our coali-                 The Right Rev. JANE HOLMES DIXON. Good
      rules in our society and not good will.                  tion. We represent over 20 million people.              morning. It is a pleasure to be here with all
         It is time to return to the tradition of              But I’m not here to talk about choice. I’m              of you this morning. I am the Right Rev-
      Washington and Jefferson and survey again                here to talk about religious freedom. Be-               erend Jane Holmes Dixon, Immediate Past
      that necessary boundary. And once it has                 cause that is the issue, and that is what we            President of the Interfaith Alliance and the
      been reestablished, then it behooves both the            in the coalition strongly believe. Because we           recently retired Bishop of the Episcopal Dio-
      Senators and the nominees they examine to                are diverse, and all of our denominations, we           cese of Washington, Pro tempore.




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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                               S10461
        Before I begin my remarks, I would like to               The PRESIDENT pro tempore. The                        part of the bench. He is way off the
      thank Senator Leahy for understanding the                Senator from New York is recognized                     deep end. He is extreme in the extreme.
      grave importance of why this discussion                  for 6 minutes.                                            On this investigation, someone came
      today is not only crucial for the future of the                                                                  forward after the nominee was ques-
                                                                 Mr. SCHUMER. Mr. President, first
      judicial nominations process, but in fact, a
      necessary reflection on the state of our de-             let me thank our colleague from                         tioned by my colleagues from Massa-
      mocracy for all of us gathered here: religious           Vermont for his heartfelt leadership on                 chusetts and Wisconsin on the issue of
      leaders, elected officials, those who seek to            this issue. Every one of us knows how                   this organization that raised money.
      serve the nation by entering into civil serv-            much he cares about these issues and                      I don’t like the system by which we
      ice, and finally, the countless people of this           how these charges—‘‘charges’’ is too                    raise money. But we should not hold
      nation who are brought up to believe that                dignified a word—these scurrilous at-                   Mr. Pryor to a different standard than
      any citizen, no matter what your gender,                 tacks have gotten to him and moved                      seems to be all around the country. It
      race or religion, will have an equal oppor-                                                                      isn’t the raising of the money that
      tunity to serve this country, and will have
                                                               him. We very much appreciate his in-
                                                               tegrity and courage and strength on                     bothers me. But when asked questions
      the right to be treated equally under the
                                                               these issues.                                           about it, there are eight statements he
      law. The First Amendment of our Constitu-
      tion—through its wise and steadfast guar-                  I rise in strong opposition to the                    made that are highly suspect that are
      antee that the government of the United                  Pryor nomination. This is a nomina-                     contradicted by documents sent to the
      States shall make no law to establish a reli-            tion where there are three strikes and                  committee. That doesn’t mean he lied,
      gion and guarantees that it will not interfere           you are out; three strikes against Mr.                  but it means we ought to look into it
      with the free exercise of religion—expects               Pryor and he is out.                                    because there is a possibility he did.
      nothing less than the religious freedom and                First, he is the most extreme nomi-                   We have not been able to complete that
      liberty that this provides.                                                                                      investigation.
        I believe that I speak for many when I say             nee we have been asked to support.
                                                               Second, there are questions about his                     To send this nominee to the bench
      that last week’s hearing of Alabama Attor-
      ney General Bill Pryor did not reflect well              credibility before the committee. And,                  whose credibility is in some suspicion—
      on the religious health of our nation and the            third, the committee rules were vio-                    not proven certainly; he may be exon-
      guarantees of our Constitution.                          lated to bring Mr. Pryor to the floor.                  erated—is wrong and unfair. And it is a
        Last week’s hearing, a hearing that put on             So three strikes and Mr. Pryor is out.                  rush to judgment. I pled with my col-
      the record certain Senators defining what is                                                                     leagues: Why can’t we wait until this
                                                                 Let me talk about each of the three
      true Catholicism—including even references                                                                       investigation is over and get the true
      to Rome—and other Senators having to de-                 briefly. First on extremism. This man
                                                               is not a mainstream conservative. On                    facts? Maybe they are afraid of the an-
      fend their opposition to a nominee against
      charges of being anti-Catholic—was nothing               issue after issue, he is in the most mili-              swers because there has been a rush to
      short of a travesty and a major step back for            tant, hard, out-of-the-mainstream posi-                 judgment here. There is no danger to
      interfaith relations in this nation. This be-            tion, more than any judge. His views                    the Republic if we wait until Sep-
      comes more troubling given the fact that                 are an unfortunate stitching together                   tember. Let the investigation finish,
      there are indeed Roman Catholics on this                 of the worst parts of the most trou-                    and then proceed with Mr. Pryor’s
      committee who, according to their own re-                                                                        nomination.
                                                               bling nominees we have seen thus far.
      marks before the committee, consider them-                                                                         That is the second strike.
      selves to be devout.
                                                                 He is not just out of the mainstream
                                                               and extreme on one subject, he is ex-                     First, extreme; second, may not have
        Not only must those who are nominated to
                                                               treme on almost everything. In a sense,                 been truthful with the committee; and
      become judges respect religious pluralism,
      equally important, those who are charged                 he is the Frankenstein nominee, a                       then, the third—despite the promises of
      with confirming judges must respect the fact             stitching together of the worst parts of                my good friend on the Judiciary Com-
      that within denominations there remains a                the worst nominees the President has                    mittee—we have violated rule 4 again.
      wide spectrum of people who all hold varied              sent us.                                                  This side of the aisle will not allow
      beliefs. And they are all equally worthy of
                                                                 I will leave the issue of choice aside,               the rules of this body to be tampered
      respect.                                                                                                         with, and if for no other reason we will
        Senators do have an obligation to deter-               other than to say that of the 120 judges
                                                               I have voted for, the overwhelming ma-                  not proceed with Mr. Pryor’s nomina-
      mine whether a judicial nominee will in fact
                                                               jority were pro-life. So anyone on the                  tion today, and we will get over-
      respect those of all religious beliefs and
      those citizens amongst us who practice no                other side who accuses anyone on this                   whelming support on our side because
      religion at all. It is fair to ascertain whether         side of having a litmus test is just fly-               the rules of the committee have been
      a nominee will deliver justice based upon the            ing in the face of truth and honor and                  steamrolled at the whim of my good
      Constitution of the United States—a docu-                decency.                                                friend, the chairman. That is wrong.
      ment that unites us all and binds us together
                                                                 But what about other issues? He was                     That is the third strike. He is out.
      under a common law—or religious doctrine                                                                           One final point I would like to make.
      and sacred texts that were written for those             the only attorney general who filed a
                                                                                                                       I am sorry my time is limited.
      who specifically subscribe to one religious              brief to overturn parts of the Violence                   The argument about Mr. Pryor’s reli-
      tenet over another. This becomes more nec-               Against Women Act, a brief that went                    gious background and discrimination—
      essary when a nominee or his or her sup-                 too far even for Justice Scalia—1 of 50.                I am not going to get into Catholic
      porters take the unfortunate and even dan-               He was the only attorney general who
      gerous step of couching the nominee’s posi-                                                                      doctrine. I will leave that to far better
                                                               ever supported Federal intervention in                  judges.
      tions on law and justice in terms of abiding             the States in Bush v. Gore.
      by one faith tradition over another.                                                                               I ask unanimous consent for 2 addi-
        I am deeply disappointed that those
                                                                 He has voted to undermine the Clean                   tional minutes.
      charged with confirming nominees to serve                Water Act. He has voted on issue after                    Mr. LEAHY. Yes.
      the federal judiciary and thus the millions of           issue to turn the clock way back. On                      The PRESIDING OFFICER (Ms. MUR-
      Americans who will depend on those con-                  criminal justice issues, where I tend to                KOWSKI). The Senator may proceed.
      firmed to uphold the concept of blind justice,           side with my Republican colleagues at                     Mr. SCHUMER. I thank the ranking
      would deploy the strategy of playing one re-             least as often as I side with my friends                member and the Chair.
      ligion against another—equating honest dif-              on the Democratic side, even here, he                     I am not going to get into Catholic
      ferences of opinion with being anti-religion.            is way off the deep end.                                doctrine. That is not my bailiwick,
      Whether it is anti-Catholic, anti-Baptist,
                                                                 He defended his State’s practice of                   that is for sure. But let me say to my
      anti-Sikh, anti-Jew, or anti-Muslim, this
      kind of divisive politics has no place in the            handcuffing prisoners to hitching posts                 colleagues in a heartfelt way that you
      Congress of the United States, period. We are            in the hot Alabama sun for 7 hours                      are good people. But the arguments
      a people who are free to choose how and                  without even giving them a drop of                      you are using are the last refuge of
      when we worship.                                         water to drink. And then, when the Su-                  scoundrels. You are not scoundrels.
        Mr. LEAHY. I see the Senator from                      preme Court held this violated the 8th                  But the arguments you are using are
      New York. How much time do I have                        amendment, he criticized that deci-                     debasing of our society and this Cham-
      remaining?                                               sion.                                                   ber. They are hits below the belt. You
        The PRESIDENT pro tempore. The                           His language is intemperate. He said                  ought to be ashamed of using argu-
      Senator has 16 minutes 10 seconds.                       he prayed to God that there would be                    ments like that.
        Mr. LEAHY. I yield 6 minutes to the                    no more Souters. This is not somebody                     When we had Mr. Estrada, we were
      Senator from New York.                                   we should elevate to this important                     accused of being anti-Hispanic. When



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      S10462                                             CONGRESSIONAL RECORD — SENATE                                                        July 31, 2003
      we had Mr. Pickering, we were accused                    consideration; that the resolution be                  Catholic faith. Frankly, that is not
      of being anti-Baptist. When we had                       considered and agreed to, and the mo-                  only an unfair argument. It is inac-
      Priscilla Owen, we are accused of being                  tion to reconsider be laid upon the                    curate.
      anti-women. And now, of course, anti-                    table.                                                    Time and again, the Judiciary com-
      Catholic with Mr. Pryor.                                   Mr. HATCH. Madam President, re-                      mittee has approved President Bush’s
        These arguments are the last refuge                    serving the right to object—and I will                 nominees for the Federal bench who
      of scoundrels.                                           object—let me make clear that when                     have been Catholic, who have been pro-
        Again, my colleagues are not scoun-                    the issue of religion is raised, as it has             life, and, frankly, who have taken posi-
      drels, but the arguments they are using                  been in the Pryor matter, and we think                 tions with which most of the Demo-
      are, and they ought to look into their                   improperly so, and it seems to be con-                 cratic members of the committee dis-
      hearts before they use such arguments                    tinuously raised in some of these issues               agree. But in this case, despite the fact
      again. They are cheap. As my colleague                   before the Judiciary Committee with                    that William Pryor has reached a new
      said, they represent religious McCar-                    various nominees—there are questions                   level as a nominee in terms of his rad-
      thyism. And one comes to think on                        or statements like this: One Senator                   ical views and his experience, we are
      this side—and I think most Americans                     accused Attorney General Pryor of——                    being     accused    of   discriminating
      think—they cannot win on the merits,                       Mr. REID. Regular order.                             against him because of his religion.
      and so they do below-the-belt shots.                       Mr. HATCH. —‘‘asserting an agenda                       The record will show that it was the
        Every single nominee who comes                         of religious belief of your own.’’ As                  Republican chairman of the committee
      up—it is not debating whether that                       long as those types of questions are                   who asked that William Pryor’s reli-
      nominee deserves to be on the bench                      going to be asked, I am going to have                  gious affiliation be made part of the
      but, rather, someone is attacking him                    to object.                                             record. It was the chairman of the com-
      or her because of their religion, be-                      The PRESIDING OFFICER. Regular                       mittee who used that important and
      cause of their gender, or because of                     order has been called for.                             now code phrase, ‘‘deeply held religious
      their ethnicity. We have gone further                      Mr. HATCH. Then I object under                       beliefs,’’ on more than one occasion.
      than that in this wonderful country of                   those circumstances.                                   The record will also show that many of
      ours. Argue on the merits, not in these                    Mr. REID. Regular order.                             us who have questioned the back-
      cheap and vulgar arguments which de-                       The PRESIDING OFFICER. Objec-                        ground of William Pryor never raised
      mean people who use them and won’t                       tion is heard.                                         his religion as an issue, nor should we.
      prevail.                                                   The resolution will go over 1 day                       I have listened to this debate on the
        I will tell my colleagues this. Those                  under rule 14.                                         floor of the Senate and in the Senate
      arguments—I will tell this to Mr.                          Who yields time?                                     Judiciary Committee, and it troubles
      Boyden Gray, and all the others as well                    Mr. LEAHY. Madam President, how                      me greatly to think this body would
      whom my colleague from Illinois did                      much time is remaining to the Senator                  now ignore the clear instruction and
      such a good job with on television last                  from Vermont?                                          guidance of the U.S. Constitution,
      night—those arguments strengthen re-                       The PRESIDING OFFICER. There                         which says, in Article VI, that ‘‘no reli-
      solve. They make us certain that we                      are 4 minutes 52 seconds remaining.                    gious Test shall ever be required as a
      were right because we say to ourselves:                    Mr. LEAHY. I yield 4 minutes to my                   Qualification to any Office or public
      They can’t win on the merits; try                        distinguished friend from Illinois who,                Trust under the United States.’’
      below-the-belt shots.                                    incidentally, gave one of the finest                      I would warn my colleagues on the
        The PRESIDING OFFICER. The Sen-                        speeches I ever heard last night on the                other side of the aisle that there is a
      ator has used his additional time.                       Senate floor.                                          strong sentiment in America that each
        Mr. SCHUMER. I yield my time to                          Mr. DURBIN. I thank the Senator                      of us should have the freedom to follow
      the Senator from Vermont.                                from Vermont.                                          the religion of our conscience, that no
        The PRESIDING OFFICER. Who                               Madam President, I rise this morning                 one should ever be dictated to by this
      yields time?                                             in continuation of the debate which oc-                Government or any government as to
        The Senator from Vermont.                              curred last night. What has just oc-                   their religious belief. And those who
         UNANIMOUS CONSENT REQUEST—AMENDING                    curred on the floor of the United States               attempt to exploit religion to achieve
                   STANDING RULES                              Senate is troubling. An attempt was                    political goals will, frankly, never be
        Mr. LEAHY. Madam President, I                          made by the Senator from Vermont in                    favored in this country, nor should
      alerted the distinguished Senate floor                   which I joined to make it clear that no                they. That is what is at issue here. And
      manager on this matter.                                  nominee of a President who appears be-                 for them to raise this as somehow a
        I send a resolution to the desk on be-                 fore a committee of the Senate would                   condemnation of William Pryor’s reli-
      half of myself and Senator DURBIN. The                   ever be asked questions related to his                 gion, is troubling. C. Boyden Gray,
      resolution says that in any proceeding                   or her religious affiliation.                          former counsel to President Bush’s fa-
      of a committee considering a nomina-                       This clear statement of constitu-                    ther, last night on television said, al-
      tion made by the President to the U.S.                   tional principle was just rejected by                  though he was an Episcopalian in his
      Senate, it shall not be in order to ask                  the Republican chairman of the Senate                  own personal religious belief, he did
      any question of the nominee relating                     Judiciary Committee. I don’t under-                    not feel any problem running these ads
      to the religious affiliation of the nomi-                stand that.                                            suggesting about what a good Catholic
      nee.                                                       If we truly want to take religion out                believes.
        With that, Madam President, I send a                   of this debate, if we want the debate to                  We have had the same thing in the
      resolution to the desk to amend the                      be confined to political beliefs and not               committee. Members of the committee
      Standing Rules of the Senate to pro-                     a person’s creed, why does the Repub-                  who are not members of the Catholic
      vide that it is not in order in a com-                   lican chairman of the Senate Judiciary                 faith have been professing theology.
      mittee to ask questions regarding a                      Committee object? I think the answer                      Late last night, I spoke on the Floor
      Presidential nominee’s religious affili-                 is obvious.                                            to explain my deep disappointment
      ation.                                                     What we have seen in the William                     about the debate in the Judiciary Com-
        The PRESIDING OFFICER. The                             Pryor nomination is an attempt to use                  mittee surrounding the nomination of
      clerk will report the resolution by                      religion as a defense. It is almost part               William Pryor.
      title.                                                   of the art of magic. How do you pull off                  That negative discourse has now
        The legislative clerk read as follows:                 a magic trick? You divert the atten-                   spilled over to the floor of the U.S.
        A resolution amending the Standing Rules               tion of the audience to something else                 Senate and in the advertisements
      of the Senate to provide that it is not in               while you move your hand in another                    placed in our Nation’s newspapers and
      order in a committee to ask questions re-                direction. In this case, what the Repub-               on radio airwaves.
      garding a Presidential nominee’s religious               licans are trying to do is to divert our                  I never thought that we would ever
      affiliation.                                             attention from the radical political be-               be in the position that we find our-
       Mr. LEAHY. Madam President, I ask                       liefs of William Pryor by saying that                  selves in today where members of this
      unanimous consent for its immediate                      the real issue isn’t politics; it is his               chamber are debating some of the most



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                   S10463
      well settled and fundamental premises                       Our resolution would simply state                   Gaddy. I serve as President of the Interfaith
      upon which our great Nation was                          that it is the rule of the Senate to pro-              Alliance, a national, grassroots, non-par-
      founded.                                                 hibit the questioning by any Senator of                tisan, faith-based organization of 150,000
                                                                                                                      members who come from over 65 different re-
        Freedom from religious persecution                     a presidential nominee’s religious af-                 ligious traditions. The Interfaith Alliance
      is one of the pillars upon which our Na-                 filiation. The rule would thus require                 promotes the positive and healing role of re-
      tion and its Constitution rest, and                      us to carry out in practice the wise ad-               ligion in public life and challenges all who
      there should be no debate about it.                      monitions of our Founding Fathers.                     seek to manipulate or otherwise abuse reli-
        In fact, our Founding Fathers                             I hope my colleagues will join Sen-                 gion for sectarian or partisan political pur-
      thought it necessary to encapsulate                      ator LEAHY and me in adopting this                     poses.
                                                               resolution.                                              Last Wednesday, the Senate Judiciary
      that concept into the very text of the                                                                          Committee’s discussion on William Pryor’s
      Constitution itself, in clause 3 of arti-                   The PRESIDING OFFICER. The Sen-
                                                                                                                      nomination to the 11th Circuit Court of Ap-
      cle VI.                                                  ator has used 4 minutes.                               peals in Atlanta deteriorated into a dramatic
        That clause reads:                                        Mr. DURBIN. Madam President, I                      demonstration of the inappropriate inter-
      . . . no religious test shall ever be required           hope colleagues will join me in oppos-                 mingling of religion and politics that raised
      as a qualification to any office or public               ing this nomination.                                   serious concerns about the constitutionally
      trust under the United States.                              The PRESIDING OFFICER. The Sen-                     guaranteed separation of the institutions of
         It was General Charles Pinckney of                    ator from Vermont.                                     religion and government. Such a meshing of
                                                                  Mr. LEAHY. Madam President, I                       religion and politics in the rhetoric of the
      South Carolina who, on August 20, 1787,                                                                         Senate Judiciary Committee cheapens reli-
                                                               would like to speak about the meeting
      introduced the provision at the Federal                                                                         gion and diminishes the recognized authority
                                                               earlier this week with the Interfaith
      Convention that ultimately became                                                                               of the Committee to speak on matters con-
                                                               Alliance      where      they—Catholics,
      part of the Constitution in Article VI.                  Protestants, and Jews—condemned the
                                                                                                                      stitutionality. The debate of that day,
      General Pinckney, like many of the                                                                              though alarming and disturbing, has created
                                                               activities of having any Member of the                 a teachable moment in which we will do well
      pioneers, understood that religion can                   Senate ask somebody their religion in                  to look again at the appropriate role of reli-
      be abused by governments in divisive                     a Senate meeting.                                      gion in such a debate. That is why we are
      ways.                                                       A few days ago we heard from a dis-                 here this morning.
         As early as the 17th Century, some                    tinguished group of members of the                       Religion plays a vital role in the life of our
      Americans such as Roger Williams, ex-                    clergy from a variety of churches and                  Nation. Many people enter politics moti-
      pressed their objection to the common                                                                           vated by religious convictions regarding the
                                                               synagogues who serve as members of
      practice inherited from England of im-                                                                          importance of public service. Religious val-
                                                               the Interfaith Alliance. The Alliance is               ues inform an appropriate patriotism and in-
      posing a religious test for public office.               a national, grassroots, non-partisan,                  spire political action. But a person’s reli-
      However, by the beginning of the 18th                    faith-based organization of 150,000                    gious identity should stand outside the pur-
      Century, just about every Colony had                     members who come from over 65 reli-                    view of inquiry related to a judicial nomi-
      enacted a law that limited eligibility                   gious traditions. These men and women                  nee’s suitability for confirmation. The Con-
      for public office solely to members of                   of faith promote the positive and heal-                stitution is clear: there shall be no religious
      certain denominations.                                   ing role of religion in public life, and               test for public service.
         In Rhode Island, for example, one had                                                                          Within a partisan political debate, it is out
                                                               challenges all who seek to manipulate                  of bounds for anyone to pursue a strategy of
      to be a Protestant to become eligible                    or otherwise abuse religion for sec-                   establishing the religious identity of a judi-
      for such office. In Pennsylvania, the                    tarian or partisan political purposes.                 cial nominee to create divisive partisanship.
      law required a belief that God was ‘‘the                 They came to the United States Cap-                    That, too, is an egregious misuse of religion
      rewarder of the good and punisher of                     itol to denounce the despicable charges                and a violation of the spirit of the constitu-
      the wicked.’’ North Carolina disquali-                   made against Senators, and to urge, as                 tion. Even to hint that a judiciary com-
      fied from office anyone who denied                       many of us have, that this involvement                 mittee member’s opposition to a judicial
      ‘‘the being of God or the truth of the                   of religion in the confirmation process                nomination is based on the nominee’s reli-
      Protestant religion, or the divine au-                                                                          gion is cause for alarm. How did we get here?
                                                               come to an end. I would like to enter                    In recent years, some religious as well as
      thority of either the Old or New Testa-                  into the record the statements of some                 political leaders have advanced the theory
      ment.’’                                                  of the participants in the event where                 that the authenticity of a person’s religion
         The words of Oliver Ellsworth, a                      the Alliance’s members came together                   can be determined by that person’s support
      landholder who participated in the de-                   for that purpose.                                      for a specific social-political agenda. So se-
      bates on December 17, 1787, capture the                     Specifically, I would like to have                  vere has been the application of this ap-
      essence of the need for an affirmative                   printed in the RECORD the remarks of                   proach to defining religious integrity that
      prohibition now found in the Constitu-                                                                          divergence from an endorsement of any one
                                                               Rev. Dr. C. Welton Gaddy, the Presi-                   issue or set of issues can lead to charges of
      tion. Ellsworth said:                                    dent of the Interfaith Alliance, the re-               one not being a ‘‘good’’ person of faith.
        Some very worthy persons . . . have ob-                marks of Rabbi Jack Moline, the Vice-                    The relevance of religion to deliberations
      jected against that clause in the constitu-              chair of the Alliance, and the remarks                 of the Judiciary Committee should be two-
      tion which provides, that no religious test              of the Right Reverend Jane Holmes                      fold: one, a concern that every judicial nomi-
      shall ever be required as a qualification to             Dixon, the Immediate Past President                    nee embraces by word and example the reli-
      any office or public trust under the United                                                                     gious liberty clause in the constitution that
      States. They have been afraid that this
                                                               of the Alliance. These statements are
                                                                                                                      protects the rich religious pluralism that
      clause is unfavorable to religion. But my                moving and persuasive and important.                   characterizes this nation and, two, a concern
      countrymen, the sole purpose and effect of it            I would hope that my Republican col-                   that no candidate for the judiciary embraces
      is to exclude persecution and to secure to               leagues would read them and take                       an intention of using that position to estab-
      you the important right of religious liberty.            them to heart.                                         lish a particular religion or religious doc-
      We are almost the only people in the world,                 The demagoguery, divisive and par-                  trine. In other words the issue is not religion
      who have a full enjoyment of the important               tisan politics being so cynically used                 but the constitution. Religion is a matter of
      right of human nature. In our country every              by supporters of the President’s most                  concern only as it relates to support for the
      man has a right to worship God in that way               extreme judicial nominees needs to                     constitution.
      which is most agreeable to his conscience.                                                                        Make no mistake about it, there are people
                                                               stop.                                                  in this nation who would use the structures
        This morning, I am uncomfortable in                       I ask unanimous consent to have                     of government to establish their particular
      offering this Resolution with my re-                     those remarks by clergy printed in the                 religion as the official religion of the nation.
      spected colleague, the Senator from                      RECORD.                                                There are those who would use the legisla-
      Vermont and ranking member of the                           There being no objection, the mate-                 tive and judicial processes to turn the social-
      Senate Judiciary Committee, because I                    rial was ordered to be printed in the                  moral agenda of their personal sectarian
      believe the rule change we seek with                     RECORD, as follows:                                    commitment into the general law of the
      this Resolution should never be needed                         (From Hill Briefing, July 29, 2003)              land. The Senate Judiciary Committee has
      in a Chamber where every Member has                                                                             an obligation to serve as a watchdog that
                                                                  (Remarks by Rev. Dr. C. Welton Gaddy)
                                                                                                                      sounds no uncertain warning when such a
      sworn to uphold and defend the Con-                           RELIGION AND THE SENATE JUDICIARY                 philosophy seeks endorsement within the ju-
      stitution.                                                                 HEARING                              diciary.
        Yet events of the past few weeks                        Good morning. Welcome to this Press and                 It is wrong to establish the identity of a
      compel us to act today.                                  Hill Staff Briefing. My name is Welton                 person’s religion as a strategy for advancing




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      S10464                                             CONGRESSIONAL RECORD — SENATE                                                             July 31, 2003
      or defeating that person’s nomination for a              mittee who recommend for confirmation to                  It is time to return to the tradition of
      judgeship. However, it is permissible, even              the bench persons charged with defending                Washington and Jefferson and survey again
      obligatory, to inquire about how a person’s              the Constitution.                                       that necessary boundary. And once it has
      religion impacts that person’s decisions                                                                         been reestablished, then it behooves both the
      about upholding the constitution and evalu-                STATEMENT OF RABBI JACK MOLINE, OF THE                Senators and the nominees they examine to
      ating legislation. When a candidate for a fed-                        INTERFAITH ALLIANCE                        respect the values on which this country was
      eral bench has said, as did the candidate                                 (July 29, 2003)                        founded.
      under consideration last Wednesday, in an                  I am Rabbi Jack Moline, Vice-chair at-
      address in the town in which I pastor, ‘‘our             large of The Interfaith Alliance. I am also on             REMARKS OF THE RIGHT REVEREND JANE
      political system seems to have lost God’’ and            the back end of a summer cold, so please for-                            HOLMES DIXON
      declares that the ‘‘political system must re-            give the huskiness of my voice.                                           (July 29, 2003)
      main rooted in a Judeo-Christian perspective               The father of our country, George Wash-                 Good morning. It is a pleasure to be here
      of the nature of government and the nature               ington, was a surveyor by trade. Part of his            with all of you this morning. I am the Right
      of man,’’ there is plenty for this Committee             duties included the determination of exactly            Reverend Jane Holmes Dixon, Immediate
      to question.                                             where the property of one owner left off and            Past President of The Interfaith Alliance
         Every candidate coming before this Com-               the other owner began. You might wonder                 and the recently retired Bishop of the Epis-
      mittee should be guaranteed confirmation or              what possible difference a few inches, even a           copal Diocese of Washington, Pro tempore.
      disqualification apart from the candidate’s              few feet in either direction would make to a              Before I begin my remarks, I would like to
      religious identity as a Baptist, a Catholic, a           farmer with acres of land. But Washington               thank Senator LEAHY for understanding the
      Buddhist or a person without religious iden-             knew as we all know that crops do not grow              grave importance of why this discussion
      tification. What is important here is a can-             only in the center of a field, and that cattle          today is not only crucial for the future of the
      didate’s pledge to defend the constitution.              do not graze only a distance from the fence,            judicial nominations process, but in fact, a
      And, that pledge should be buttressed by a               and that injuries do not always occur close             necessary reflection on the state of our de-
      record of words and actions aimed not at at-             to the barn. Good surveying produces good               mocracy for all of us gathered here: religious
      tacking the very religious pluralism that the            boundaries. And good boundaries keep good               leaders, elected officials, those who seek to
      candidate is being asked to defend but rather            neighbors from unnecessary conflict.                    serve the nation by entering into civil serv-
      to continuing a commitment to the highest                  As a rabbi, I have studied similar boundary           ice, and finally, the countless people of this
      law of the land.                                         issues in the Talmud. Entire sections are               Nation who are brought up to believe that
         I felt grimy after listening to distinctions          taken up discussing the boundaries between              any citizen, no matter what your gender,
      between a ‘‘good Catholic’’ and ‘‘bad Catho-             properties, between businesses, between Sab-            race or religion, will have an equal oppor-
      lic.’’ I know that language; I heard it in the           bath and weekdays, between the holy and                 tunity to serve this country, and will have
      church of my childhood where we defined a                the profane. Violating those boundaries                 the right to be treated equally under the
      ‘‘good Baptist’’ as one who tithed to the                throws a system into turmoil. Preserving                law. The First Amendment of our Constitu-
      church, didn’t smoke, didn’t dance and at-               them avoids unnecessary conflict.                       tion—through its wise and steadfast guar-
      tended church meetings on Sunday evening                   We Americans have become experts in test-             antee that the government of the United
      and a ‘‘bad Baptist’’ as one who didn’t fit              ing boundaries. You can make your own list              States shall make no law to establish a reli-
      that profile. The distinctions had nothing to            of the boundaries we have tried to survey,              gion and guarantees that it will not interfere
      do with the essence of the Christian tradi-              and where we have been successful and where             with the free exercise of religion—expects
      tion and the content of Baptist principles. It           we have not. In culture, in business, in pub-           nothing less than the religious freedom and
      is not a debate that is appropriate or nec-              lic policy and in politics, the lines that sepa-        liberty that this provides.
      essary in the Chamber of the United States               rate one domain from another have been con-               I believe that I speak for many when I say
      Senate.                                                  fronted by those who wish to preserve them              that last week’s hearing of Alabama Attor-
         The United States is the most religiously             and by those who wish to redraw them.                   ney General Bill Pryor did not reflect well
      pluralistic nation on earth. The Interfaith                When the Bill of Rights of our Constitution           on the religious health of our nation and the
      Alliance speaks regularly in commendation                established what Thomas Jefferson wisely                guarantees of our Constitution.
      of ‘‘One Nation—Many Faiths.’’ For the sake              called the wall of separation between church              Last week’s hearing, a hearing that put on
      of the stability of this nation, the vitality of         and state, it created a two-hundred-year-old            the record certain Senators defining what is
      religion in this nation, and the integrity of            tradition of surveying that boundary, trying            true Catholicism—including even references
      the Constitution, we have to get this matter             to find the exact place to keep good neigh-             to Rome—and other Senators having to de-
      right. Yes, religion is important. Discussions           bors from unnecessary conflict.                         fend their opposition to a nominee against
      of religion are not out of place in the judici-            The Senate Judiciary Committee failed in              charges of being anti-Catholic—was nothing
      ary committee or any public office. But eval-            their latest attempt last week when Ala-                short of a travesty and a major step back for
      uations of candidates for public office on the           bama Attorney General William Pryor,                    interfaith relations in this nation. This be-
      basis of religion are wrong and there should             nominee for a Federal judgeship, was asked              comes more troubling given the fact that
      be no question that considerations of can-               by a supporting Senator about his religious             there are indeed Roman Catholics on this
      didates who would alter the political land-              affiliation. The result, as you have seen, was          committee who, according to their own re-
      scape of America by using the judiciary to               an unnecessary conflict between good neigh-             marks before the committee, consider them-
      turn sectarian values into public laws should            bors. In fact, we are counting our blessings            selves to be devout.
      end in rejection.                                        that the Capitol Police were not called to in-            Not only must those who are nominated to
         The crucial line of questioning should                tervene in the ensuing arguments.                       become judges respect religious pluralism,
      revolve not around the issue of the can-                   The religious beliefs of a nominee are rel-           equally important, those who are charged
      didate’s personal religion but of the can-               evant only to the extent that they interfere            with confirming judges must respect the fact
      didate’s support for this nation’s vision of             with his or her ability to support and defend           that within denominations there remains a
      the role of religion. If the door to the judici-         the Constitution of the United States.                  wide spectrum of people who all hold varied
      ary must have a sign posted on it, let the               Frankly, I would be alarmed to see the influ-           beliefs. And they are all equally worthy of
      sign read that those who would pursue the                ences of religious conviction expunged from             respect.
      development of a nation opposed to religion              any aspect of American government. And I                  Senators do have an obligation to deter-
      or committed to a theocracy rather than a                think it is entirely relevant to ask any can-           mine whether a judicial nominee will in fact
      democracy need not apply.                                didate for the executive, legislative or judici-        respect those of all religious beliefs and
         In 1960, then presidential candidate John             ary if personal convictions would interfere             those citizens amongst us who practice no
      F. Kennedy addressed the specific matter of              with the ability to support and defend the              religion at all. It is fair to ascertain whether
      Catholicism with surgical precision and po-              Constitution and its resultant laws as they             a nominee will deliver justice based upon the
      litical wisdom, stating that the issue was               exist today.                                            Constitution of the United States—a docu-
      not what kind of church he believed in but                 Frankly, that is the relevant quesion—not             ment that unites us all and binds us together
      what kind of America he believed in. John F.             a question of affiliation. Do the values, be-           under a common law—or religious doctrine
      Kennedy left no doubt about that belief: ‘‘I             liefs or proclivities that Mr. Pryor or any-            and sacred texts that were written for those
      believe in an America where the separation               body else holds prevent him from meeting                who specifically subscribe to one religious
      of church and state is absolute.’’ Kennedy               the responsibilities of the office. The ques-           tenet over another. This becomes more nec-
      pledged to address issues of conscience out of           tion is about his beliefs and no one else’s. By         essary when a nominee or his or her sup-
      a focus on the national interest not out of              affixing a label to the question and general-           porters take the unfortunate and even dan-
      adherence to the dictates of one religion. He            izing the issue, the legitimate business of the         gerous step of couching the nominee’s posi-
      confessed that if at any point a conflict                Senate Judiciary Committee was catapulted               tions on law and justice in terms of abiding
      arose between his responsibility to defend               onto the other side of that carefully sur-              by one faith tradition over another.
      the constitution and the dictates of his reli-           veyed boundary. And lest you think the fault              I am deeply disappointed that those
      gion, he would resign from public office. No             lies only on one side, the subsequent re-               charged with confirming nominees to serve
      less a commitment to religious liberty                   sponses of opposing Senators are a good indi-           the federal judiciary and thus the millions of
      should be acceptable by any judicial nominee             cation of the reason we rely on articulated             Americans who will depend on those con-
      or by members of the Senate Judiciary Com-               rules in our society and not good will.                 firmed to uphold the concept of blind justice,




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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                   S10465
      would deploy the strategy of playing one re-             and that is because of his religion and                 Senators and vote for or against his
      ligion against another—equating honest dif-              his religious beliefs. He is a tradi-                   confirmation.
      ferences of opinion with being anti-religion.            tional, conservative pro-life Catholic. I                  We know that our Constitution pro-
      Whether it is anti-Catholic, anti-Baptist,
      anti-Sikh, anti-Jew, or anti-Muslim, this
                                                               don’t think my colleagues are against                   hibits religious tests for public office.
      kind of divisive politics has no place in the            the Catholic Church, but it sure seems                  Nobody would propose a law that ex-
      Congress of the United States, period. We are            as if they are against the traditional                  cluded persons of certain religions
      a people who are free to choose how and                  pro-life conservative Catholic—on a se-                 from certain federal offices. But what
      when we worship.                                         lective basis, of course, because they                  can’t be done overtly is no less objec-
         The PRESIDING OFFICER. The Sen-                       cannot do this to everybody.                            tionable when done indirectly.
      ator from Utah controls the remainder                      Another Senator told General Pryor:                      Article VI of the Constitution states,
      of the time.                                             . . . I think the very legitimate issue in              ‘‘[N]o religious test shall ever be re-
         The Senator from Utah.                                question with your nomination is whether                quired as a qualification to any office
         Mr. HATCH. Madam President, I                         you have an agenda, that many of the posi-              or public trust under the United
      have been listening to this. I have to                   tions which you have taken reflect not just             States.’’ I do not believe that any Sen-
      tell you, it is apparent that my friends                 an advocacy but a very deeply held view and             ator would intentionally impose a reli-
      on the other side who are stung a little                 a philosophy, which you are entitled to have,
                                                                                                                       gious test on the President’s judicial
      bit by this. They should be. They                        but you are also not entitled to get every-
                                                               one’s vote.                                             nominees, and I do not think any Sen-
      should be. Naturally, they don’t want                                                                            ators are guilty of anti-religion bias.
      religion mentioned because they are                         General Pryor is an openly pro-life
                                                                                                                       However, I am deeply concerned that
      referring to it all the time, and it is al-              Catholic. To me, these questions and
                                                                                                                       some are indirectly putting at issue
      most always in the context of abortion.                  comments about his deeply held per-
                                                                                                                       the religious beliefs of several judicial
         Almost every question that Demo-                      sonal views put his religious beliefs
                                                                                                                       nominees—nominees who are avowedly
      crats ask those whom they consider                       squarely in issue.
                                                                                                                       pro-life as a result of their religious be-
      controversial nominees is about abor-                       Some Democrats say that they have,
                                                                                                                       liefs.
      tion. Naturally, they cannot do that to                  generally, voted to confirm about 140 of
                                                                                                                          The most recent example emerged
      every nominee, even though I believe                     President Bush’s judicial nominees.
                                                                                                                       during the debate on the nomination of
      some of them would like to. So they                      And they say some may have been pro-
                                                                                                                       Bill Pryor to the Eleventh Circuit.
      are selective in choosing certain nomi-                  life Catholics, so our charges that they
                                                                                                                       During his confirmation hearing, Gen-
      nees who have deeply held religious be-                  refuse to confirm pro-life Catholics are
                                                                                                                       eral Pryor was asked repeatedly by
      liefs.                                                   baseless. But here’s what they’re really
                                                                                                                       some Committee Democrats about
         But let me just give you a few exam-                  saying: if you’re a pro-life Catholic,
                                                                                                                       what one senator called his ‘‘very, very
      ples of why I am convinced General                       you’d better keep quiet during your en-
                                                                                                                       deeply held views.’’ In fact, in the por-
      Pryor’s religion was put squarely at                     tire legal or political career before you
                                                                                                                       tion of his opening statement address-
      issue during his hearing, and why, at                    come before us on the Judiciary Com-
      the end of the hearing, I brought up the                                                                         ing Roe v. Wade, one of my Democratic
                                                               mittee, because if you have made pub-
      issue of religion—because I was sick                                                                             colleagues on the judiciary Committee
                                                               lic statements that indicate you actu-
      and tired of hearing this kind of stuff,                                                                         stated
                                                               ally believe in official Catholic doc-
      because when Democrats were ques-                                                                                   I for one believe that a judge can be pro-
                                                               trine or are actually pro-life, that’s
                                                                                                                       life, yet be fair, balanced, and uphold a wom-
      tioning his deeply held beliefs, they                    when you are in real trouble with us. If                an’s right to choose, but for a judge to set
      really were questioning his religious                    you are smart, you will keep your reli-                 aside his or her personal view, the commit-
      beliefs.                                                 gious beliefs to yourself, and maybe we                 ment to the rule of law must clearly super-
         One Senator—I believe it was Sen-                     won’t ask about them directly or indi-                  sede his or her personal agenda. . . . But
      ator DURBIN from Illinois—accused                        rectly. So at best, what some Demo-                     based on the comments Attorney General
      General Pryor, during the hearing, of                    crats seem to want is a gag order en-                   Pryor has made on this subject, I have got
      ‘‘asserting an agenda of your own, a re-                 forced on nominees who have publicly                    some real concerns that he cannot, because
      ligious belief of your own. . . .’’                                                                              he feels these views so deeply and so passion-
                                                               espoused pro-life positions, even in the
         In his opening statement, Senator                                                                             ately.
                                                               context of political campaigns. At
      SCHUMER stated:                                          worse, maybe some would rather that                       Another Senator accused General
        [I]n General Pryor’s case his beliefs are so
                                                               those publicly profess pro-life senti-                  Pryor during the hearing of ‘‘asserting
      well known, so deeply held, that it is very                                                                      an agenda of your own, a religious be-
      hard to believe, very hard to believe that               ments be excluded from public serv-
                                                               ice—certainly service on the federal                    lief of your own. . . .’’ And yet another
      they are not going to deeply influence the
                                                               bench—altogether.                                       Senator told General Pryor during the
      way he comes about saying, ‘‘I will follow
      the law.’’ And that would be true of anybody                Let’s assume that, as various polls                  hearing:
      who had very, very deeply held views.                    seem to show, the American people are                   . . . I think the very legitimate issue in
        I think he had a right to say that,                    roughly equally divided on the policy                   question with your nomination is whether
                                                                                                                       you have an agenda, that many of the posi-
      but the point is, there isn’t anybody                    questions regarding abortion. There’s
                                                                                                                       tions which you have taken reflect not just
      who doesn’t understand, when you talk                    no question that tens of millions of                    an advocacy but a very deeply held view and
      about deeply held views, what those                      Catholics, following the official doc-                  a philosophy, which you are entitled to have,
      are are religious beliefs. If they don’t                 trine of the church, and millions of                    but you are also not entitled to get every-
      understand it, then they—well, I will                    other religious believers of all denomi-                one’s vote.
      not comment about that.                                  nations in this country are on the pro-                      Another colleague remarked:
        At another point, on the subject of                    life side of that divide. An abortion lit-                Virtually in every area you have extraor-
      Roe v. Wade—which came up in almost                      mus test—which is really a religious                    dinarily strong views which continue and
      every question to Pryor from a Demo-                     litmus test, where pro-life views arise                 come out in a number of different ways.
      cratic questioner—Senator SCHUMER                        from a person’s faith—effectively ex-                   Your comments about Roe make one believe,
      said:                                                    cludes judicial nominees from that                      could he really, suddenly, move away from
         I for one believe that a judge can be pro-            side, from service on the Federal                       those comments and be a judge?
      life, yet be fair, balanced, and uphold a wom-           bench. That is wrong, particularly in                     I became concerned after these com-
      an’s right to choose, but for a judge to set             the case of Bill Pryor, whose record of                 ments that General Pryor was essen-
      aside his or her personal view, the commit-              subordinating his personal beliefs to                   tially being questioned about his deep-
      ment to the rule of law must clearly super-
      sede his or her personal agenda. . . . But
                                                               the law could not be clearer, and who,                  ly held religious beliefs, and that is the
      based on the comments Attorney General                   like Justice Owen, affirmed to our                      only reason I myself questioned Gen-
      Pryor has made on this subject, I have got               Committee that he would follow Roe v.                   eral Pryor on the subject of religion
      some real concerns that he cannot, because               Wade and other Supreme Court prece-                     during his hearing. In my view, it was
      he feels these views so deeply and so passion-           dents with which he personally dis-                     time to call it like I saw it. But let me
      ately.                                                   agrees. He understands his role as a                    make one thing absolutely clear: My
        There is only one reason he feels                      federal judge. It’s time we act on a                    questions were an attempt to prevent
      those views so deeply and passionately,                  proper understanding of our role as                     General Pryor, and any other judicial



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      S10466                                             CONGRESSIONAL RECORD — SENATE                                                            July 31, 2003
      nominees, from being subjected to a re-                    In addition, Austin Rusc, President                   Catholics (such as Mr. Pryor) or conservative
      ligious test. In no way, shape or form                   of the Catholic Family & Human                          Protestants, or for that matter members of
      did I attempt, or would I ever attempt,                  Rights Institute, wrote in a letter                     any faith, are explicitly prohibited by the
      to impose such a test.                                                                                           Constitution.
                                                               dated July 29:                                             Too Catholic?: It’s not merely Catholics
         General Pryor is an openly pro-life                     ‘‘I am deeply troubled by the recent turns            who say Bill Pryor’s faith is being unfairly
      Catholic, so there is little doubt in my                 of events in the U.S. Senate regarding Catho-           used against him. The president and three
      mind about the nature or source of his                   lic nominees to the Federal Court. It appears           other leaders of the Orthodox Jewish Union
      ‘‘deeply held views.’’ He has publicly                   to me that a faithful Catholic, that is one             wrote this in a July 23 letter: ‘‘As a commu-
      stated on numerous occasions, includ-                    who upholds the Catholic teaching on the in-            nity of religious believers committed to full
      ing during his confirmation hearing,                     violability of innocent human life from con-            engagement with modern American society,
      that he believes abortion is the taking                  ception onward, cannot be confirmed for the             we are deeply troubled by those who have
                                                               Federal bench by this Senate. It very clearly           implied that a person of faith cannot serve in
      of innocent human life. My colleagues
                                                               is a religious test for office, and therefore a         a high level government post that may raise
      seem to be arguing that because Gen-                     violation of our Constitution. Moreover, it is
      eral Pryor feels passionately that abor-                                                                         issues at odds with his or her personal be-
                                                               an insult to millions of faithful Catholics in          liefs. There is little question in our minds
      tion is morally wrong and has publicly                   this country.                                           that this view has been the subtext for some
      expressed his views, he will be unable                     I also received a July 23 letter from                 of the criticism of Mr. Pryor. . . . In our
      to set aside his personal views on the                   the president and three other leaders of                view, Mr. Pryor’s record as Alabama’s attor-
      subject and follow binding Supreme                       the Union of Orthodox Jewish Con-                       ney general demonstrates his ability to
      Court precedent as a judge. But Gen-                                                                             faithfully enforce the law, even when it may
                                                               gregations of America that stated:
      eral Pryor’s record on the subject of                                                                            conflict with his personal beliefs.’’
                                                                 As a community of religious believers com-               Indeed, the Democrats on the Senate Judi-
      abortion is crystal clear and beyond
                                                               mitted to full engagement with modern                   ciary Committee have repeatedly asserted
      dispute. He has enforced the law de-                     American society, we are deeply troubled by
      spite his publicly expressed and con-                                                                            that Mr. Pryor would be incapable of enforc-
                                                               those who have implied that a person of faith           ing the law. Here’s Senator Charles Schumer
      flicting personal beliefs.                               cannot serve in a high level government post            of New York: ‘‘In General Pryor’s case his
         For example, after the Alabama leg-                   that may raise issues at odds with his or her           beliefs are so well known, so deeply held,
      islature passed a partial-birth abortion                 personal beliefs. There is little question in           that it is very hard to believe—very hard to
      ban in 1997, General Pryor issued guid-                  our minds that this view has been the                   believe—that they are not going to deeply
      ance to state law enforcement officials                  subtext for some of the criticism of Mr.                influence the way he comes about saying, ‘I
      to ensure that the law was enforced                      Pryor. We urge you and your colleagues to               will follow the law,’ and that would be true
      consistent with the Supreme Court’s                      empathetically reject this aspersion and                of anybody who had very, very deeply held
      1992 decision in Planned Parenthood v.                   send a clear message that such suggestions,             views.’’
                                                               whether explicit or implied, are beyond the                Senator Richard Durbin of Illinois even
      Casey. Although there was consider-                      pale of our politics.
      able outcry against his decision from                                                                            suggested to Mr. Pryor directly that he was
                                                                 I ask unanimous consent that a copy                   ‘‘asserting an agenda of your own, a religious
      the pro-life community, the ACLU                                                                                 belief of your own, inconsistent with separa-
      praised General Pryor’s decision, em-                    of the Register editorial be printed in
                                                               the RECORD.                                             tion of church and state.’’
      phasizing that his order had ‘‘[s]everly                                                                            That’s a serious charge, in effect saying
      [l]imited’’ Alabama’s ban. He issued                       The PRESIDING OFFICER. Without                        that if somebody believes deeply, because of
      similar guidance after the Supreme                       objection it is so ordered.                             his religious faith, that abortion is morally
                                                                 (See exhibit 1.)                                      wrong, then that person is unfit for a judge-
      Court’s 2000 ruling in Stenberg v.
                                                                 Mr. HATCH. Any suggestions that a                     ship.
      Carhart, which struck down another
                                                               person with deeply held religious be-                      But the onus is on the accusers to prove
      state’s ban on partial-birth abortion.                                                                           from Bill Pryor’s record that he is thus ham-
         I doubt that any Supreme Court deci-                  liefs cannot be trusted to follow the
                                                               law, despite a proven track record of                   pered from enforcing the law. Mr. Pryor has
      sion could be more personally distaste-                                                                          much evidence on his side, but where is their
      ful to General Pryor than Stenberg v.                    doing just that, is unconstitutional. I
                                                                                                                       evidence to the contrary? The Alabama AG,
      Carhart. And he specifically said he                     will continue to fight any form of reli-                after all, is a white Republican who has
      disagreed with the decision while em-                    gious test, direct or indirect, as long as              taken the side of black Democrats in a suit
      phasizing that it was the law and he                     I am a Member of this Senate. I have                    filed by white Republicans. He is a man who
      would enforce it. Can we ask more of a                   stood up for the free exercise of reli-                 has publicly intervened against the very Re-
      judicial nominee, than to demonstrate                    gion time and time again, through such                  publican governor, Fob James, who first ap-
                                                               measures as the Religious Freedom                       pointed him. And on two separate occasions
      such objectivity and enforce a law so at
                                                               Restoration Act. I am proud of my ac-                   he took stances, as the state’s top legal offi-
      odds with his personal beliefs? I urge                                                                           cer, that angered some of his anti-abortion
      my colleagues to judge General Pryor                     complishments, and I will continue in
                                                                                                                       allies.
      and other pro-life nominees on their                     my quest to ensure that the free exer-                     To look at that record and still assert, as
      record as it relates to abortion and not                 cise of religion is a right that remains                the Senate Democrats do, that the strength
      on the nominees’ person beliefs on the                   uncompromised for everyone—includ-                      of Mr. Pryor’s personal beliefs disqualifies
      subject.                                                 ing judicial nominees.                                  him, is indeed, effectively, to say that his
         By the way, I am certainly not alone                    I yield the floor.                                    faith makes him ineligible for office. Their
      in my concern that the debate over                                          EXHIBIT 1                            stance against him should anger all people of
                                                                                                                       deep faith, of all religions.
      General Pryor’s nomination has put his                            [Mobile Register, July 26, 2003]
                                                                                                                          False testimony? : Senate Democrats also
      religious beliefs at issue. The Mobile                     TO DENIGRATE PRYOR, HOW LOW CAN THEY                  contend that Republicans have unfairly cut
      Register in a July 26 editorial wrote                                           GO?                              off their ‘‘investigation’’ into whether Mr.
      that :                                                     On the matter of the judicial nomination              Pryor testified truthfully about fund-raising
        . . . the Democrats on the Senate Judici-              of Alabama Attorney General Bill Pryor, it’s            activities for the Republican Attorneys Gen-
      ary Committee have repeatedly asserted that              time for his Democratic opponents to put up             eral Association—activities the Democrats
      Mr. Pryor would be incapable of enforcing                or shut up.                                             themselves acknowledge were legal.
      the law . . . That’s a serious charge, in effect           When all the smokescreens dissipate, the                 The truth is that the anti-Pryor forces are
      saying that if somebody believes deeply, be-             Senate Democrats’ objections to Mr. Pryor               the ones whose tactics should be in question.
      cause of his religious faith, that abortion is           come down to two: First, that his pro-life              Using a close associate of a man from whom
      morally wrong, then that person is unfit for             views are too ‘‘extreme’’ for him to be trust-          Mr. Pryor recently secured a guilty plea to
      a judgeship. But that onus is on the accusers            ed to uphold laws that contradict those                 bribery charges, the Democratic committee
      to prove from Bill Pryor’s record that he is             views, and second, that they have been de-              staff obtained documents on July 2 that they
      thus hampered from enforcing the law. Mr.                nied ample time to investigate his fund-rais-           claim raise questions about the AG’s own
      Pryor has much evidence on his side, but                 ing activities.                                         committee testimony. (It is not clear how
      where is their evidence to the contrary? . . .             Let’s take them one at a time. Much has               long they had been in contact with that as-
      To look at that record and still assert, as the          been made of Mr. Pryor’s supporters sup-                sociate, but some Republican senators ac-
      Senate Democrats do, that the strength of                posedly accusing his opponents of deliberate            cused them of knowing weeks in advance.)
      Mr. Pryor’s personal beliefs disqualifies him,           anti-Catholic bias. But that’s not what the                The Democrats did not bother to tell Re-
      is indeed, effectively, to say that his faith            supporters have claimed. Instead, they’ve as-           publicans about the documents until July 8.
      makes him ineligible for office. Their stance            serted—quite believably—that the critics’               They did not interview former staffers of the
      against him should anger all people of deep              pro-choice litmus test amounts to the kind              Republican group until July 15, two days be-
      faith, of all religions.                                 of ‘‘religious test’’ that, whether applied to          fore the vote on Mr. Pryor was scheduled.




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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                               S10467
      They have not yet put the original source                my questions to put his religion at                       We cannot have that kind of test. We
      under oath. And, despite being given three               issue. Well, what do you mean it to be?                 cannot expect nominees to come before
      opportunities to question Mr. Pryor himself              Religious beliefs are his deeply held be-               this Judiciary Committee and re-
      about the charges, Democrats declined all
                                                               liefs and personal beliefs.                             nounce their beliefs as a condition to
      three times to question him.
        On July 17, the day the committee was
                                                                 Now, look, my colleagues have a                       be confirmed. The question simply is,
      scheduled to vote on the nomination, the                 right to ask questions, but I also have                 will they obey the law that is afoot in
      Democrats presented an ‘‘investigation                   a right to point out that I think those                 the United States by either statute,
      plan’’ that did not include giving Mr. Pryor             questions have led us into some very                    Constitution, or Supreme Court inter-
      himself a chance to answer his accusers.                 tender areas.                                           pretation.
        Not only that, but Republican Judiciary                  Frankly, what it all comes down to—                     With regard to the resolution that
      Committee Chairman Orrin Hatch an-                       I hate to say this, but it is true—is Roe               has been proposed, that is just a polit-
      nounced that, as of yesterday, the com-                  v. Wade. That is what it comes down                     ical gimmick. It has no meaning what-
      mittee had interviewed 20 witnesses, and                 to. It is the be-all and end-all issue to
      that every one of them ‘‘corroborated the                                                                        soever. I am surprised it has been of-
                                                               most of our colleagues over here.                       fered in a body that considers itself se-
      testimony of General Pryor.’’
        In fact, said Chairman Hatch, ‘‘what’s no-
                                                                 Now, it has been to a couple of my                    rious. I believe, as was discussed last
      table’’ is the Democrats’’ ‘‘complete failure            colleagues over here, too, but we                       night between Senator MCCONNELL and
      to specify any evidence that General Pryor               stopped our side from using it as a lit-                Senator HATCH and others before, that
      misled the committee.’’                                  mus test. In fact, I don’t know of any-                 you have a right to ask nominees ques-
        Indeed, they haven’t even specified exactly            body over here who has used it as a lit-                tions. If a nominee has a religious be-
      what their charges against him are. There is             mus test. But in virtually every case,                  lief and his church he supports has a
      good reason, then, to agree with Chairman                that is the chief issue Democrats use
      Hatch that the Pryor opponents are engaged                                                                       certain belief that has been not the law
                                                               against President Bush’s nominees and                   of the land, it is all right to ask that
      in a ‘‘full-scale fishing expedition.’’                  the chief gripe about what kind of peo-
        Enough is enough. The campaign against                                                                         person about it. It is all right to say,
      Bill Pryor has sunk to tawdry depths. Unless             ple they are—because they are tradi-                    your church believes this or that, the
      the Democrats ‘‘put up’’ a legitimate reason             tional pro-life religious people. I don’t               Supreme Court has held differently.
      to delay, instead of these faith-based and               know what other conclusion you can                      Will you follow Supreme Court law.
      procedural smears, they owe him an up-or-                come to.                                                That is the question. We have every
      down confirmation vote on the Senate floor,                So to bring this resolution up is just
                                                                                                                       right to ask that.
      with no filibusters and no more subterfuge.              a political show, because nobody in
                                                                                                                         What we cannot say is, because your
        Mr. HATCH. Now, look, it is a little                   their right mind is going to let them
                                                                                                                       beliefs are contrary to maybe a Su-
      late to start saying we should have a                    get away with that type of treatment—
                                                                                                                       preme Court ruling or a temporary ma-
      rule that you can never mention reli-                    or should I say mistreatment—of any
                                                                                                                       jority in the Congress, that you are no
      gion. That means you could never men-                    President’s judicial nominees. I do not
                                                                                                                       longer fit for the bench. Everybody has
      tion Roe v. Wade. But that would take                    want anybody on our side doing it ei-
                                                                                                                       beliefs. Everybody has ideas and con-
      away the biggest argument that Demo-                     ther.
                                                                 Also, frankly, for my colleague from                  cepts. They are free to do so in this
      crats have against these people. I don’t                                                                         country. What you should ask and de-
      like to mention religion either—never                    Vermont, I know he is concerned about
                                                               this. And I don’t think any of these                    termine is whether or not the nominee
      have except in General Pryor’s case,                                                                             will follow the law.
      after Democrats had not so subtly                        groups, including the conservative
                                                               groups, should use this type of ‘‘Catho-                  Bill Pryor has a demonstrated record
      raised the issue.                                                                                                of that. And on abortion, where he has
        Now, with regard to the criticism of                   lics need not apply’’ language. I don’t
                                                               think it is right. I don’t think it should              strong beliefs, the only thing I have
      Boyden Gray’s group, those terms were                                                                            found he has ever done involving the
      used first by People for the American                    be done. But the ones who did it first,
                                                               the ones who were never criticized by                   manner of abortion was to use his
      Way in formal ads and letters, and then                                                                          power as attorney general. I was a
      used by, I think, the Americans United                   our media in this country, the ones
                                                               who were never criticized by my col-                    former Attorney General of Alabama. I
      for Separation of Church and State.                                                                              know the attorney general can define
      These are two liberal groups.                            leagues on the other side, who are now
                                                               decrying all of this, were the Demo-                    the law for prosecuting attorneys
        Here is Americans United for Separa-                                                                           throughout the entire State, the dis-
      tion of Church and State, criticizing                    cratic,     liberal    inside-the-beltway
                                                               groups. And all of a sudden Boyden                      trict attorneys. And Bill Pryor, after
      the nomination of John Ashcroft be-                                                                              Alabama passed a partial-birth abor-
                                                               Gray’s group is a very bad group be-
      cause he was for charitable choice leg-                                                                          tion statute—a procedure I abhor, most
                                                               cause they have used the same lan-
      islation:                                                                                                        Americans abhor and Bill Pryor ab-
                                                               guage as People for the American Way
        Ashcroft charitable choice provisions allow                                                                    hors—he wrote them and said: Large
                                                               and the group Americans United for
      a Government-funded program to hang a sign                                                                       portions of that bill are unconstitu-
      that says ‘‘Catholics need not apply.’’                  Separation of Church and State.
                                                                 I yield the remainder of my time to                   tional and cannot be enforced by you.
        Where did that come from? That was                     the distinguished Senator from Ala-                     He directed them not to enforce sub-
      long before Boyden Gray’s group used                     bama.                                                   stantial portions of it.
      such language—after all of Democrats’                      The PRESIDING OFFICER. The Sen-                         A pro-life leader in the State criti-
      attacks on Pryor’s deeply held beliefs                   ator from Alabama.                                      cized him and said he gutted the bill.
      during his hearing.                                        Mr. SESSIONS. Madam President, I                      The only other thing I have ever heard
        What about People for the American                     thank the distinguished chairman of                     him say about abortion was that he
      Way? People for the American Way,                        the Judiciary Committee.                                would prosecute to the fullest extent of
      again, criticizing John Ashcroft be-                       I was taught by my parents from                       the law those who violate and protest
      cause of the charitable choice legisla-                  early on never to laugh at somebody’s                   abortion clinics in violation of the law.
      tion and saying:                                         religion, never to make fun of it, re-                  He has never abused his position to fur-
        An evangelical church running a Govern-                spect people’s personal faith. I think                  ther his personal views about abortion
      ment-funded welfare program could state                  that is a classic American principle we                 or any other, for that matter.
      that ‘‘Catholics need not apply’’ in a help              ought to live by. I would say that is                     It is unbelievably frustrating to me
      wanted ad.                                               what is happening in a subtle but very                  to be on this floor and have Senators
        Which I doubt any of them would do.                    practical way is that Bill Pryor’s                      from New York and Massachusetts and
        Now, leftist groups used such lan-                     strongly held beliefs, pro-life beliefs,                Vermont stand up and say: This man is
      guage, and all of a sudden we hear this                  are being attacked. Therefore, they are                 radical. He is out of the mainstream.
      screaming and shouting that Boyden                       suggesting he is not fit for the bench                  He is unfit for the bench—just say
      Gray’s group used the same language—                     because he has these beliefs and those                  those words about one of the most de-
      after Democrats put Pryor’s religious                    beliefs just happen to be the same be-                  cent, caring, honest public servants I
      beliefs squarely at issue during his                     liefs of the Catholic Church and many                   have ever met, a public servant who
      hearing and markup. Now some will                        other church groups throughout Amer-                    has demonstrated without any doubt
      say: Well, I certainly didn’t mean for                   ica.                                                    his capacity to do the right thing



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      S10468                                             CONGRESSIONAL RECORD — SENATE                                                                July 31, 2003
      under the most tough political cir-                      Legislature, and the State Board of Edu-               the clerk will report the motion to in-
      cumstances. I talked about that in                       cation.                                                voke cloture.
      depth last night but nobody seems to                       Mark Montiel challenged that in                        The legislative clerk read as follows:
      care. He has been accused of not being                   Federal court. Bill Pryor defended the                               CLOTURE MOTION
      for civil rights.                                        legislature, and the reapportionment                     We, the undersigned Senators, in accord-
        The former county commissioner                         plans that favored the Democrats in                    ance with the provisions of Rule XXII of the
      from Jefferson County, the largest                       the State because it was a duly enacted                Standing Rules of the Senate, do hereby
      county in the State, Chris McNair,                       legislative plan of Alabama.                           move to bring to a close debate on Executive
      whose daughter was killed in the 16th                      He worked with Doug Jones to pros-                   Calendar No. 310, the nomination of William
      Street church bombing by the Klan                        ecute the KKK murderers at the 16th                    H. Pryor, Jr., to be United States Circuit
      many years ago, has written in support                   Street Baptist Church in Birmingham.                   Judge for the Eleventh Circuit.
      of Bill Pryor. He strongly supports                      As I said, Mr. Chris McNair, the father                   Bill Frist, Orrin Hatch, Ben Nighthorse
                                                                                                                           Campbell, Craig Thomas, Charles
      him. Bill Pryor helped complete pros-                    of one of those young girls who was
                                                                                                                           Grassley, John Cornyn, Chuck Hagel,
      ecutions in that case recently. Doug                     killed, strongly supports Bill Pryor. He                    Jim Talent, Richard Shelby, Wayne Al-
      Jones, the prosecutor in that case, a                    created the sentencing commission in                        lard, Elizabeth Dole, Conrad Burns,
      Clinton U.S. Attorney, supports Bill                     Alabama for ending interracial dispari-                     Larry Craig, Jeff Sessions, Lindsey
      Pryor. Artur Davis, Alabama Congress-                    ties in sentences. In 2000, he started                      Graham, Rick Santorum, and Thad
      man, Harvard graduate, assistant                         Mentor Alabama, a program to recruit                        Cochran.
      United States Attorney, brilliant                        positive adult role models for at-risk                    The PRESIDING OFFICER. By unan-
      young congressman, supports Bill                         youth.                                                 imous consent, the mandatory quorum
      Pryor.                                                     This is Mr. Alvin Holmes talking:                    call has been waived.
        Joe Reed, chairman of the Alabama                        In 2001, I introduced a bill . . . to amend             The question is, Is it the sense of the
      Democratic Conference, probably the                      the Alabama Constitution repealing Ala-                Senate that debate on the nomination
      most powerful political individual in                    bama’s racist ban on interracial marriage.
                                                                                                                      of William H. Pryor, Jr., of Alabama,
      Alabama, every Presidential candidate                      This was an amendment that had                       to be United States Circuit Judge for
      for the Democratic nomination knows                      been declared unconstitutional but was                 the Eleventh Circuit shall be brought
      Joe Reed personally and has probably                     still in the State Constitution. He con-               to a close?
      talked to him a half a dozen times, a                    tinues:                                                   The yeas and nays are mandatory
      member of the Democratic National                          It was passed with a slim majority among             under the rule.
      Committee, he writes a letter and says:                  the voters and Bill Pryor later successfully              The clerk will call the roll.
      . . . I am a member of the Democratic Na-                defended that repeal . . .
      tional Committee and, of course, Mr. Pryor
                                                                                                                         The assistant legislative clerk called
                                                                  Every prominent white political                     the roll.
      is a Republican, but these are only party la-            leader in Alabama, Republicans and
      bels. I am persuaded that in Mr. Pryor’s                                                                           Mr. REID. I announce that the Sen-
      eyes, Justice has only one label—Justice!
                                                               Democrats, opposed or remained silent                  ator from Vermont (Mr. JEFFORDS), the
         I am satisfied that if you appoint Mr.                on the bill except Bill Pryor who open-                Senator from Massachusetts (Mr.
      Pryor . . . he will be a credit to the Judici-           ly and publicly asked white and black                  KERRY), and the Senator from Con-
      ary and will be a guardian of justice.                   citizens to repeal the law.                            necticut (Mr. LIEBERMAN) are nec-
        He goes on to say other things.                           Mr. SANTORUM. Will the Senator                      essarily absent.
        I want to share this letter from Alvin                 from Alabama yield for a question?
                                                                                                                         I further announce that, if present
      Holmes, a State Representative in Ala-                      Mr. SESSIONS. I am pleased to yield.
                                                                                                                      and voting, the Senator from Massa-
      bama for many years. He says:                               Mr. SANTORUM. Is the Senator from
                                                                                                                      chusetts (Mr. KERRY) would vote
        I am a black member of the Alabama                     Alabama familiar with an op-ed in this
                                                                                                                      ‘‘nay.’’
      House of Representatives having served for               morning’s Manchester Union Leader:
      28 years. During my time of service in the               ‘‘Judging judges: Conservatives, Catho-                   The PRESIDING OFFICER. Are there
      Alabama House of Representatives, I have                 lics needn’t apply.’’                                  any other Senators in the Chamber de-
      led most of the fights for civil rights of                  Mr. SESSIONS. I have not seen that                  siring to vote?
      blacks, women, lesbians and gays and other               editorial, but we are receiving a flood                   The yeas and nays resulted—yeas 53,
      minorities.                                                                                                     nays 44, as follows:
        I consider Bill Pryor a moderate on race.              of those kinds of communications.
                                                                  Mr. SANTORUM. I would like to hear                              [Rollcall Vote No. 316 Ex.]
        We have had Senators KENNEDY and
                                                               the Senator from Alabama’s comment                                         YEAS—53
      SCHUMER and others saying Bill Pryor
                                                               on just a couple of things the Union                   Alexander         Dole             Miller
      is unfair on the question of race. They
                                                               Leader says. In talking about some ads                 Allard            Domenici         Murkowski
      say he questioned some portion of the                                                                           Allen             Ensign           Nelson (NE)
                                                               running about Catholics not needing to
      Civil Rights Act. But he questioned                                                                             Bennett           Enzi             Nickles
                                                               apply for judicial vacancies, it says:                 Bond              Fitzgerald
      section 5, the same portion Attorney                                                                                                               Roberts
                                                                 Democratic Senators opposing President               Brownback         Frist            Santorum
      General Thurbert Baker of Georgia, an                                                                           Bunning           Graham (SC)
                                                               Bush’s nomination of Alabama Attorney                                                     Sessions
      African-American Democrat, has also                      General William Pryor to the 11th Circuit              Burns             Grassley         Shelby
      criticized. This African-American At-                    Court of Appeals because of his ‘‘deeply
                                                                                                                      Campbell          Gregg
                                                                                                                                                         Smith
                                                                                                                      Chafee            Hagel
      torney General in Georgia has explic-                    held’’ belief that abortion is wrong.                  Chambliss         Hatch
                                                                                                                                                         Snowe
      itly written in support of Bill Pryor for                  I just suggest that a deeply held be-                Cochran           Hutchison
                                                                                                                                                         Specter
      his confirmation.                                                                                               Coleman           Inhofe           Stevens
                                                               lief is rooted in his Catholic faith. That                                                Sununu
        This is what Mr. Holmes says:                          is where beliefs come from; they come                  Collins           Kyl
                                                                                                                                                         Talent
                                                                                                                      Cornyn            Lott
         From 1998 to 2000, Bill Pryor sided with the          from your moral teachings, much of                     Craig             Lugar            Thomas
      NAACP against a white Republican lawsuit                 which is through the faith that you                    Crapo             McCain           Voinovich
      that challenged the districts [in Alabama]                                                                      DeWine            McConnell        Warner
                                                               were brought up on.
      for the Legislature. Pryor fought the case all
      the way to the U.S. Supreme Court and won                  I return to the article:                                                 NAYS—44
      . . . The lawsuit was filed by Attorney Mark               In opposing Pryor’s nomination on the                Akaka             Dodd             Leahy
      Montiel—                                                 grounds that he believes strongly that abor-           Baucus            Dorgan           Levin
                                                               tion is immoral, the Democrats are doing               Bayh              Durbin           Lincoln
       I know Mr. Montiel, as does Mr.                                                                                Biden             Edwards
                                                               nothing more than playing sleazy partisan                                                 Mikulski
      Pryor.                                                   politics.                                              Bingaman          Feingold         Murray
        —a white Republican, and the 3-judge dis-                                                                     Boxer             Feinstein        Nelson (FL)
      trict court ruled 2 to 1 in favor of Mr.                     The last comment is:                               Breaux            Graham (FL)      Pryor
                                                                 What Senate Democrats are doing to the               Byrd              Harkin           Reed
      Montiel.                                                                                                        Cantwell          Hollings
        Bill Pryor took it to the Supreme                      judicial nominations process is a disgrace to                                             Reid
                                                                                                                      Carper            Inouye
                                                               their party and to the country.                                                           Rockefeller
      Court on behalf of the existing districts                                                                       Clinton           Johnson
                                                                                                                      Conrad                             Sarbanes
                                                                                                                                        Kennedy
      and won the case.                                                          CLOTURE MOTION
                                                                                                                      Corzine           Kohl             Schumer
       In 2001, [he] sided with the Legislature                  The PRESIDING OFFICER. All time                      Daschle           Landrieu         Stabenow
      when it redrew districts for Congress, the               has expired. Under the previous order,                 Dayton            Lautenberg       Wyden




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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                               S10469
                        NOT VOTING—3                             Mr. DASCHLE. Do I understand the                         The Rollcall article went on to state
      Jeffords           Kerry              Lieberman          Chair that the answer is the pending                    that relatively few debate days spent
        The PRESIDING OFFICER. On this                         business is the motion to commit the                    on energy ‘‘have been spread out over
      vote, the yeas are 53, the nays are 44.                  bill, not the electricity title, is that                the past three months causing CRAIG
      Three-fifths of the Senators duly cho-                   not correct?                                            and others to complain that the on-
      sen and sworn not having voted in the                      The PRESIDING OFFICER. The                            again, off-again schedule has prevented
      affirmative, the motion is rejected.                     pending question is that motion and                     the bill from gaining the momentum to
                                                               the amendments thereto.                                 pass.’’
                         f
                                                                 Mr. DASCHLE. I inform my col-                            Again, all quotes from Rollcall this
             LEGISLATIVE SESSION                               leagues that is the issue.                              morning.
        The PRESIDING OFFICER. Under                             Last night, the majority leader filled                   Last evening provides a good but re-
      the previous order, the Senate will now                  the tree and made a motion to commit,                   grettable example of how this on-again,
      return to legislative session.                           moving off of the floor for consider-                   off-again Republican schedule has
                         f
                                                               ation of the energy title. I will talk                  slowed the energy debate. The Repub-
                                                               about that for a couple of minutes as I                 lican leadership scheduled a vote for
          ENERGY POLICY ACT OF 2003                            consider those actions last night.                      this morning on cloture on the nomina-
        The PRESIDING OFFICER. Under                             We have heard some very creative ex-                  tion of one of the most highly con-
      the previous order, the Senate will re-                  planations from the majority about                      troversial nominees we have had in
      sume consideration of S. 14, which the                   how the Senate has gotten into the                      this Congress. The outcome of today’s
      clerk will report.                                       mess we are in this morning. They are                   vote was never in doubt. It was sched-
        The assistant legislative clerk read                   doing their best to blame Democrats,                    uled purely for political reasons, to
      as follows:                                              as usual. There is one simple expla-                    satisfy a segment of the far right. A
        A bill (S. 14) to enhance the energy secu-             nation for why the Senate has not fin-                  schedule of this vote elicited a vote
      rity of the United States, and for other pur-            ished its work: Politics. The majority                  last night not on energy but on a con-
      poses.                                                   has been playing politics with this bill                troversial judicial nominee. The Sen-
         Pending:                                              and with other issues. That is just not                 ate spent from 6 p.m. yesterday until
         Campbell amendment No. 886, to replace                conducive to reaching the good bipar-                   10:17 p.m. debating something other
      ‘‘tribal consortia’’ with ‘‘tribal energy re-            tisan outcome we expect in the Senate.                  than energy, 41⁄2 hours wasted on polit-
      source development organizations’’.                      Republican leaders have been playing                    ical debate brought on by Republicans,
         Durbin modified amendment No. 1385, to                politics so much that some Members of                   41⁄2 hours that could have been spent
      amend the Internal Revenue Code of 1986 to               the Republican caucus have themselves                   productively on the Energy bill.
      provide additional tax incentives for enhanc-                                                                       That is not the only kind of interrup-
                                                               begun to protest.
      ing motor vehicle fuel efficiency.
                                                                 Conservative Republicans now say                      tion we have had this week. We even
         Domenici amendment No. 1412, to reform
      certain electricity laws.                                their leadership could have finished                    stopped action on the Senate floor on
         Motion to commit the bill to the Com-                 this Energy bill if the Senate had not                  Tuesday for 2 hours so the Senators
      mittee on Energy and Natural Resources,                  been repeatedly distracted by political                 could attend a meeting at the White
      with instructions to report back forthwith,              matters. I agree.                                       House. Guess what the purpose of that
      with Frist amendment No. 1432 (to instruc-                 In an article headlined ‘‘Frist Sched-                meeting was. For the Senate to be
      tions on motion to commit), to provide a na-             ules Judicial Votes, Slowing Energy                     urged to complete the Energy bill. So
      tional energy policy for the United States of                                                                    we took 2 hours off of the floor debat-
                                                               Bill’’ in today’s addition of Rollcall, it
      America.
         Frist amendment No. 1433 (to instructions             reported that:                                          ing the Energy bill to talk about how
      on motion to commit), to provide that all                  Though most Republicans are publicly                  important it was to complete it—a few
      provisions of Division A and Division B shall            blaming . . . ‘‘obstructionism’’ for the sput-          blocks from here at the White House.
      take effect one day after enactment of this              tering energy debate, many GOP Senators                    Hurry up and wait seems to me to be
      Act.                                                     privately acknowledge that the [majority                the adage. Stop and start, switch gears.
         Frist amendment No. 1434 (to amendment                leader’s] decision to pepper this week’s                That has been the pattern all week
      No. 1433), to make a technical correction.               schedule with unrelated votes on controver-             long. In fact, that has been the pattern
                                                               sial judicial nominees has made it less likely
        The PRESIDING OFFICER. The Sen-                                                                                now for months. At one point we inter-
                                                               the Senate will pass the energy bill before
      ator from New Mexico.                                    the August recess.                                      rupted the Energy bill on June 12th and
        Mr. DOMENICI. Madam President, as                                                                              we did not return to it until the
      chairman of the Committee on Energy,                       That is not Democrats talking; that
                                                                                                                       evening of July 24th, an interruption of
      I am ready to proceed at any time. We                    is what Republicans have said.
                                                                                                                       51⁄2 weeks. To make matters worse, we
      have no amendments on the Repub-                           The Rollcall article goes on to quote
                                                                                                                       are told the topsy-turvy schedule will
      lican side, so the amendments are all                    one Republican Senator:
                                                                                                                       continue tomorrow. As if the schedule
      on the Democrat side. We stand ready                       It might have been better not to have
                                                                                                                       were not bollixed up enough already,
                                                               brought [judges] up. I think it was a mis-
      to accept amendments, to debate them,                    take.                                                   Senate Republican leaders now say we
      to vote on them, to get rid of them. We                                                                          will be taking up the nomination of yet
      are on one of the sections that is clear-                  That is according to JIM INHOFE,
                                                                                                                       another controversial nominee for an-
      ly definable. It has a limited number of                 quoted in Rollcall.
                                                                                                                       other political vote tomorrow.
      amendments, the so-called electricity                      It quotes Senator LARRY CRAIG, ‘‘who                     As Republican Senators said today in
      section. We very much would like to                      is one of the many conservative Repub-                  Rollcall, that is just not the way to
      proceed and ask the other side if they                   licans who have complained about                        complete action on a major, complex
      are ready, if they could perhaps start                   FRIST’s unwillingness to push the en-                   piece of legislation.
      with an amendment on the electricity                     ergy bill to Senate passage, [and] said                    Something else is very important
      side, and let us know what the remain-                   the majority leader could have avoided                  about this debate. It has been omitted
      ing amendments are so we can see how                     the time issue on judges by not bring-                  from what the majority is saying this
      long it will take us to complete the                     ing them up at all.                                     morning. It is what this Energy bill
      electricity title of this bill.                            ‘‘It was unwise,’’ said Craig, former chair-          and its debate is supposed to be all
                                                               man of the Republican Policy Committee.                 about. It is about ensuring Americans
        I say that, and at the same time I put
                                                                 I’ve been in the leadership—never at
      it as a question to the minority leader.                 [Frist’s] level—but I clearly realize the pres-
                                                                                                                       will have a comprehensive, balanced,
        Mr. DASCHLE. Madam President,                          sures put on you to do other things in the              reliable energy policy that protects
      could the Chair inform the Senate as to                  runup to a recess.                                      consumers from energy market manip-
      what the pending business is?                              I’ve also been involved in tough floor de-            ulation and high energy prices. These
        The PRESIDING OFFICER. The                             bates before, and once you get on them, you             are important issues. It takes time to
      pending question is the majority lead-                   stay on them, and you drive it until you fin-           get them right. We have a duty to the
      er’s second-degree amendment to his                      ish it.                                                 American consumer to ensure that we
      first-degree amendment to his motion                         Senator CRAIG THOMAS agreed:                        fully consider what our energy policy
      to commit.                                                   I wish we hadn’t gone off it, frankly.              should be in the future.



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      S10470                                             CONGRESSIONAL RECORD — SENATE                                                        July 31, 2003
        Without further amendments, this                       to take a little time. But you don’t                   by Senator REID, working with the
      bill, unfortunately, could be billed ‘‘the               have that time to deal with these ques-                Senator from New Mexico and others,
      Enron Production Act.’’ Despite the                      tions when you have debated William                    as we move through this bill.
      massive problems experienced in our                      Pryor for 4 hours in a prime time op-                    Second, I am absolutely positive that
      energy markets recently, this bill fails                 portunity last night. You are not going                the issues which the distinguished
      to address some of the most basic prob-                  to deal with it today when we have to                  leader raises, in terms of the people of
      lems we are facing in our country                        explain why Carolyn Kuhl is a nominee                  our country needing protection and his
      today. It fails to outlaw many of the                    about whom we have great concern.                      long litany—I am absolutely concerned
      most egregious scams and frauds that                     You are not going to do it, as our Re-                 that when the day is done and the bill
      have been perpetrated against energy                     publican colleagues have said, when                    is passed, that the Senate will find that
      ratepayers all across the country.                       you get waylaid and you are taken off
        The round-trip trading was one of the                                                                         each and every one of them are covered
                                                               the bill for days, if not weeks, at a                  and they are in this bill.
      scams used in manipulating the mar-                      time.
      kets by Enron. Round-trip trading was                      So it is no surprise that we are in                    We didn’t work forever to leave the
      actually covered in the Domenici bill                    this mess this morning. We faced a                     kinds of loopholes to hurt the Amer-
      and was also covered in the amendment                    very difficult time last year passing an               ican people that are described in that
      offered by the distinguished Senator                     Energy bill. But you know what we                      litany of items that the distinguished
      from Washington, Senator CANTWELL.                       did? We stuck to it; we stayed with it.                majority leader says remain undone. I
      Fat Boy, hiding the profits and then                     It took us days and days. We enter-                    understand. He would rather we prove
      making a number of different calcula-                    tained 144 amendments. We had rollcall                 that on the floor of the Senate. I as-
      tions and begging for others to get in-                  after rollcall on every one of these                   sume that is what he is talking about,
      volved, the Fat Boy scam is not in-                      issues. We ultimately passed the bill 88               by way of debate.
      cluded in the bill. It was included in                   to 11. But that is how you work in the                   But so there will be no misunder-
      the Cantwell amendment that came up                      Senate. That is how you get the job                    standing, this is a good bill. The elec-
      yesterday. Ricochet, which allows                        done. You don’t bounce around taking                   tricity section covers every one of
      Enron and other companies to dodge                       this from that, moving from this to                    those issues that were raised. The ques-
      the price caps, was not in the Energy                    that, and ultimately not having the                    tion is, How long should it take for us
      bill but was in the Cantwell amend-                      kind of momentum it takes to finish a                  to get those issues before us, debated,
      ment yesterday. Death Star, the leak-                    bill on time.                                          and completed?
      ing air out of tires and then paid to                      We have only spent, realistically, 8
      tow, that, also, is something that was                   days on this bill—8 days. We have only                   I am not here to discuss the policy of
      not covered in the Energy bill but is                    had a few rollcall votes. We have con-                 our leader. He is here; our whip is here.
      covered in the Cantwell amendment.                       sidered 102 fewer amendments than we                   They can discuss that. But I know we
      All the way down, every single one of                    did last year.                                         could have accomplished a lot more
      the scams used by Enron, except for                        I am not suggesting that somehow we                  than we have as of today on the Energy
      one, was intentionally eliminated, re-                   have to replicate what happened last                   bill. We could have accomplished, in
      moved from the Energy bill.                              year. I think we can do it faster than                 my humble opinion, without any ques-
        There is no protection against the                     that, and I have come to talk to the                   tion, the entire electricity portion of
      very scams that devastated California                    distinguished manager on more than                     this bill. Every reasonable amendment
      and devastated Washington and are                        one occasion to say we are prepared to                 anybody has could have been debated.
      going to devastate the country unless                    work with him.                                         We took 1 full day when we did abso-
      we deal with it. Why have they been                        I don’t know of anybody who has                      lutely nothing because one Senator
      left out? I can’t tell you. But they are                 worked harder to accommodate our                       said we could not change from one
      left out, leaving consumers with the                     majority and to work to see that we                    amendment to another when everybody
      very likely prospect they will get                       find ways in which to work through                     knew that was what we were going to
      gouged this winter with natural gas                      these amendments such as the Energy                    do upon our return.
      prices and you will see manipulation                     title, more than Senator REID has, our                   We had an Indian amendment that
      like we saw with Enron, over and over                    assistant Democratic leader. No one                    even the Democrat manager of the bill
      again, because this bill is unwilling to                 has worked harder than he has to get                   wanted to set aside for a few changes
      address those key manipulation prac-                     to a point where we can actually con-                  so we could proceed, and the whole day
      tices that made Enron the scorn of the                   sider these amendments one by one.                     passed because one Senator said you
      country that it is today.                                Nobody is trying to delay this bill. But               will stay on it and you can’t do any-
        Democrats are willing to work, as I                    it is impossible to finish it with all of              thing else.
      have said 100 times on the Senate floor                  the extraordinary diversions we have
      over the course of this year. We are                                                                              I submit that 1 day, being the day of
                                                               had.                                                   Monday, we would have completed one,
      willing to work with our colleagues to                     I will end where I started. This is pol-
      come up with a bill that works, that                                                                            two, or even three of the sections on
                                                               itics. This is blame the other guy. This
      addresses these scams, that addresses                                                                           the most important part of this bill,
                                                               is, we can’t get it done so we will just
      all the shortcomings, that provides a                                                                           the electricity section.
                                                               tell everybody it is the Democrats’
      meaningful, comprehensive piece of en-                   fault.                                                   Far be it for this Senator to go
      ergy legislation. But to do that, we                       I thank our colleagues for their can-                through each day over the last 7 or 8
      have to address electricity in a mean-                   dor in Roll Call this morning because                  and talk about what has happened by
      ingful way; we have to look at global                    they have laid the facts bare. They                    way of interruptions. But I can say,
      warming; we have to pass a renewable                     know and we know why we don’t have                     only speaking for myself, that the En-
      portfolio standard; we have to address                   this bill done. They know and we know                  ergy bill is the most important remain-
      CAFE; we have to ensure that hydro-                      that until we get serious about mean-                  ing legislation that we have for this
      electric dam relicensing is included; we                 ingful consideration of amendments on                  year. I say that not just for myself, not
      have to ensure Indian energy is part of                  these difficult issues, we are not going               just for my distinguished minority
      our plan, nuclear subsidies, natural                     to get it done.                                        friend and leader, but for the majority
      gas, energy efficiency incentives, wind                    We are prepared to work. But as long                 leader. There is no more important leg-
      energy, carbon sequestration. All of                     as we have nominations such as we                      islation than the Energy legislation.
      those issues are legitimate, worthy                      have this morning that is impossible. I                And Senator, I say to you, I don’t
      considerations for debate, amendment,                    yield the floor.                                       think you have ever said it is not, and
      and ultimate decision by the Senate as                     The PRESIDING OFFICER. The Sen-                      I do not imply that. It is filled with im-
      to what kind of energy policy we ought                   ator from New Mexico.                                  portant issues. It is filled with pro-
      to have in this country.                                   Mr. DOMENICI. Madam President,                       posals which will lessen our need for
        These are not single amendment                         first, let me say I am very appreciative               imported oil. It is filled with provisions
      issues. Each one of these areas is going                 of the efforts that have been put forth                which will turn our electric system



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                               S10471
      into a real system instead of a hodge-                   sions now. Let’s work hard and com-                    issues. They are either real or they
      podge that accomplishes little or noth-                  plete them. That means we work until                   aren’t. If somebody can really show the
      ing other than each region of the coun-                  7 or 8 tonight. Tomorrow night, we                     American people a piece of legislation
      try provides more and more and the                       might not have to work that very hard.                 that says the electricity bill is going to
      country, as a whole, is shortchanged.                      I saw those lists. Those are not dif-                hurt the American electricity user,
        It provides alternatives. It provides                  ficult amendments. We will be finished                 here is the language or not. It ought to
      the energy sources we have all been                      with what everybody says is the most                   be audible, understandable, and clear
      worried about being shortchanged—                        complicated and most difficult portion                 enough so we can get it out there and
      wind energy, bio energy, and the like.                   of this bill. Then we can ask, Where are               look at it. I have not been able to do
      It has a tax section which will sensitize                we? Then we can agree and say to the                   that yet.
      and provide incentives so that we will                   Senate we can go home on recess. And,                    I haven’t seen any amendments on
      bring these kinds of energy on board.                    Mr. Majority Leader and Mr. Minority                   the other side that clearly say the elec-
        Why do I talk about them in light of                   Leader, won’t you agree that upon our                  tricity section was put together and is
      the speech which we have just heard?                     return, we come back to work? We                       supported by all method, manner, and
      Because I submit that it is easy to find                 come back on a Wednesday. We will                      kind of electric generating and electric
      reasons not to get this bill done. It is                 have a Wednesday, a Thursday, and a                    distribution companies in America. Did
      easy to find justifications for saying we                Friday, and we will set those three                    you know that? The section is sup-
      could not get it done. But I believe it                  days aside unequivocally—absolutely                    ported by all kinds. With one excep-
      should be very difficult to justify not                  nothing else but the Energy bill. We                   tion, it has everybody’s support. It
      proceeding.                                              can do that. Then we can stop blaming.                 would seem to me that it is pretty
        For instance, right now we have the                    We can do something productive, con-                   good. Let us see what is wrong with it,
      entire days of today and tomorrow.                       structive—not completion of every-                     and let us get those solved.
      Neither of these days is planned for                     thing but pretty much.                                   I apologize to the Senate for taking
      anybody’s vacation—anybody’s use. I                        What else would the minority like us                 so much time. But I have a hunch,
      beg the other side, let’s finish the elec-               to do? Would they like us to do some-                  from what I just heard, that maybe I
      tricity section today.                                   thing about the other pending judge?                   will not be speaking for a couple of
        The answer is, we can’t do bills in                    Let us ask the leader about this other                 weeks on the subject, in which event
      pieces. My response is why not? The                      pending judge, and get on with what I                  this might be the last you will hear
      electricity section of this bill is a sec-               am just describing as a manager of a                   from me for a while about this subject.
      tion that is, indeed, all by itself. The                 very positive approach to this bill.                   But I beg you not to cut it off this
      amendments I have heard about are                          For some reason, it would appear to                  morning, and not to leave here with
      about two-thirds finished. Our leader is                 some that we must set aside 3, 4, 5, 6,                some kind of a pick and with some
      willing to remove the impediments                        7, or up to 8 days and leave them there                kind of partisan ill feeling. Just as you
      which are technical in nature so we can                  in order to consider the Energy bill in                might have them on your side, I am
      proceed.                                                 its entirety. I see no relationship in                 sure some have them on our side, par-
        So I beg the minority, let’s do the                    discussing with the American people                    tisan-wise. If mistakes were made, I am
      electricity provisions in this bill. Let’s               the electricity section of this bill and a             sure on our side of the aisle somebody
      do it now. Let’s do it tomorrow. Grant-                  section on clean air which might be of-                will get up and say you have made mis-
      ed, we will have more to do, but what                    fered at another time. They are com-                   takes. But please don’t get up from the
      is wrong with doing one big piece of                     pletely different. As a matter of fact,                Judiciary Committee when I am fin-
      this bill now? What is wrong with com-                   the second one doesn’t even belong on                  ished—none of you—and talk about
      pleting the sections, if in fact the mi-                 this bill. It could be offered 6 months                how we made mistakes with reference
      nority leader is correct in the chart                    from now on an Environment and Pub-                    to the judges. Let us put that off for a
      that he showed? This Senator says he                     lic Works bill, to be honest. But we in-               while to see if we can’t stay on elec-
      is not, but if he is, let’s talk about                                                                          tricity for a few minutes, if you do not
                                                               tend to offer it here. It need not be
      them today. Let’s see the amendments                                                                            mind. I beg you.
                                                               done on the same day in the same week
                                                                                                                        I yield the floor.
      and let’s vote on them.                                  in some kind of togetherness so we can                   The PRESIDING OFFICER (Mr. EN-
        It is now 11 o’clock. Even if we do not                tell the people the entire story. We can               SIGN). The Senator from North Dakota.
      want to work very hard we can work 7                     do the biggest piece of this without any                 Mr. DORGAN. Mr. President, the
      hours today and 7 hours tomorrow. I                      difficulty today.                                      Senator from New Mexico, chairman of
      submit you can finish five or six                          I believe I am just talking because                  the committee, has great passion for
      amendments on electricity, Senator                       that is what is expected. But the other                this legislation, as do I. I know that
      LOTT, before that time has elapsed, and                  side has made up its mind. I have found                last evening I perhaps offended some in
      we will not complete everybody’s de-                     that sometimes when you make a pro-                    this Chamber by standing around here
      sires on this bill but that is pretty im-                posal that is halfway reasonable, some-                and objecting to everything for a while
      portant.                                                 body listens to it. I am making one.                   because last evening, at a time when I
        We can either do that or we can                        The Senator from New Mexico some-                      thought we should be on the Energy
      stand up here and say the distinguished                  times offers unreasonable proposals.                   title, we were preparing to move this
      minority leader is correct. He has just                  Most of those were when I was doing                    Senate to debate on a judgeship that
      quoted a bunch of Republicans who are                    the budget. That was because people                    didn’t have to be debated. So I sat out
      second-guessing the majority leader or                   thought I didn’t want to spend some                    here and objected to everything, and it
      who are being misquoted—maybe they                       money that was patently unreasonable.                  upset people. I understand that. But I
      really did second-guess him, maybe                       But what I have just offered is not un-                had the same goal that the Senator
      they didn’t, but it looks good. The way                  reasonable. I submit it should be done.                from New Mexico has. I thought we
      the quotes are used, it looks as if they                 I ask that it be done. I implore the mi-               should be on the Energy bill and on the
      are criticizing him. But, nonetheless, it                nority to let us do it. I ask that they                electricity title. I believe we ought to
      does not mean we can’t get something                     sit down for a moment off to the side of               do that title. I would like us to start
      done.                                                    the Senate and agree to it.                            now and do that title.
        I submit it is as simple as this. If                     I also ask, since the majority leader                  My colleague, Senator CANTWELL
      they will agree to do that, I will get                   was able to put a chart up and list                    from the State of Washington, sat here
      the majority leader to agree that we go                  seven items, if I counted right—maybe                  for 2 hours last night wanting to offer
      home on this recess and we return and                    it was six—that perhaps he could let us                an amendment and go back to the elec-
      we will take up this bill as soon as we                  see six amendments on electricity, or                  tricity title of the Energy bill but
      return and finish it.                                    five or seven. Who knows? We might be                  couldn’t because we were on a judge-
        That is a pretty bona fide offer. It is                able to agree on three or four of them.                ship that we didn’t have to do. We
      pretty fair to the Democrats and pret-                   We can’t get that done either.                         shouldn’t have had to do that now.
      ty fair for the American people. Let me                    That is normally the way we do it. It                  Let me make a comment. I think the
      repeat it. Let’s do the electricity provi-               is not as if we have to be hiding these                way to approach this—I happen to have



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      S10472                                             CONGRESSIONAL RECORD — SENATE                                                       July 31, 2003
      the same goal—is I believe we ought to                   motion in detail, but I am told the mo-                ergy markets, including natural gas,
      go back to the electricity title right                   tion to commit excludes, for example,                  the first information we received about
      now. I would like to have amendments                     some amendments that already have                      that was almost unbelievable. You
      offered and debated. I am willing to                     been passed.                                           would read some of these internal
      stay here all night and get through the                    I had an amendment, and a pretty                     memos that were sent to us by people
      electricity title.                                       strong vote on my amendment, dealing                   inside the companies, and you would
        I tell you how I think we should best                  with targets and timetables with re-                   say: Well, this clearly can’t be right.
      do that. I think we should vitiate the                   spect to hydrogen economy and fuel                     They wouldn’t write a memo in which
      motion to recommit the Kuhl nomina-                      cells. My understanding is that is not                 they said: Let’s construct a strategy by
      tion. We don’t need a vote and debate                    included in the motion to commit. So                   which we cheat, and we will put a name
      on another judge, and especially a con-                  the motion to commit has all kinds of                  on it, Fat Boy. But, in fact, the more
      troversial one. Clear those things out                   issues attached to it.                                 we dug, the more we found. And the
      of the way right now and begin the                         Let’s get rid of that, and let’s get rid             more we found, the more disgusted we
      next amendment on the electricity                        of the Kuhl judgeship nomination, and                  became because west coast consumers
      title. I don’t know what that amend-                     then move to the electricity title, stay               got cheated. It was stealing. And there
      ment is, but let us have a debate on it.                 on it, and finish the title. As far as I               are now substantial criminal investiga-
        Let me also say that the Senator                       am concerned, I sign up to do that. I                  tions underway.
      from New Mexico—in fact, both Sen-                       would hope the majority leader would.                    The interesting point about that is,
      ators from New Mexico, the chairman                      I hope most of my colleagues would.                    the hearings that we held in the En-
      and ranking members of this com-                         And I hope there is no one on the floor                ergy Committee during that period of
      mittee I think provide pretty good                       of this Senate who says: Let’s dig in                  time were hearings in which we had the
      leadership for this Chamber. I am                        our heels and not do this.                             Federal Energy Regulatory Commis-
      pleased they have the role they have.                      I happen to agree with the Senator                   sion come up and testify. They are sup-
        There is a legitimate disagreement                     from New Mexico, the chairman of the                   posed to be, remember, the referees,
      on the electricity title with respect to                 committee. He does not have to beg                     the people who wear the striped shirts,
      the protection for consumers. That is a                  anybody, not me, and not anybody, I                    the ones with the whistles, the ones
      legitimate disagreement.                                 hope, on this side to want to finish this              who call the fouls. They came up and
        I have a letter from Mr. Eliot                         bill, beginning with: Let’s finish this                sat and did their best imitations of a
      Spitzer. Mr. Spitzer testified at hear-                  title, the electricity title.                          potted plant, acting as if they were
      ings I held in the Commerce Com-                           Let me say, finally, this title is criti-            dead from the neck down—and neck up,
      mittee on the Enron issues and also the                  cally important to this bill. This bill is             for that matter—acting as if nothing
      Wall Street issues about 2 years ago. It                 about incentivizing production. It is                  was going on. They said: Well, there is
      is addressed to Senators DOMENICI and                    about conservation. It is about effi-                  no manipulation. There is nothing hap-
      BINGAMAN. I believe other Members                        ciency. It is about incentivizing limit-               pening that is untoward. This is the
      have copies of it. He is one side of this                less and renewable sources of energy. It               market system.
      agreement.                                               is about a wide range of issues.                         It was not the market system. It was
        He said:                                                 But in the electricity title it is also              crooked. It was criminal. It was sys-
        I applaud your efforts to protect our en-              about paving the road for a philosophy                 tematic and relentless cheating of con-
      ergy markets from fraud and manipulation                 that some want dealing with ‘‘restruc-                 sumers. That is why this title is so im-
      through legislation currently under consid-              turing’’ in which you will move elec-                  portant. We have to do this, and we
      eration on the floor of the U.S. Senate. I am,           tricity from some areas of the country                 have to do it right.
      however, concerned that certain provisions               to other areas and of which consumers                    Now, I don’t want, at the end of the
      of the proposed legislation would make it                in areas where they enjoy low-cost                     day today, tomorrow, or Saturday, or
      difficult for States to protect their citizens           power—my State, for one—will see that                  Sunday—I don’t care—I don’t want, at
      from such fraud and manipulation.
                                                               power move to other parts of the coun-                 the end of the day, for any of us to
        Then he went specifically into sec-                    try where they now pay higher rates                    think we failed to do an Energy bill,
      tions 1171 and 1173. He said:                            for power, and they want our lower                     that I think we should do, to finish an
        Sections 1171 and 1173 of the proposed                 cost power, so it will be replaced with                electricity title, that I think we should
      amendment would undercut State law en-                   higher cost power.                                     finish, because those who schedule this
      forcement and regulatory agency efforts to                 A study by the Department of Agri-                   place said: Well, this is urgent, but we
      stop fraud and abuse in the energy markets.              culture some while ago said consumers                  should do this judgeship first; this is
        I know Eliot Spitzer. He is attorney                   in a State such as mine, under this de-                urgent, but we should do the second
      general of New York. He has done ex-                     regulation and restructuring, will end                 judgeship next; this is urgent, but we
      traordinary work. He has taken all of                    up paying substantially higher electric                should do some trade bills, some free-
      them on in behalf of consumers. He has                   rates. That is not what I want for my                  trade amendments.
      a view here that is very important and                   State. So there is a lot of discussion                   I don’t understand that. If this is ur-
      which we should consider very seri-                      about whether deregulation and re-                     gent—and the President called us down
      ously. We have different views about                     structuring is appropriate.                            to the White House to say it was; in the
      how we protect the consumers.                              We have been deregulated and re-                     Cabinet Room he told us, we need to
        With respect to west coast electricity                 structured to death. We have seen it in                get this done—if it is urgent, why all
      manipulation—the manipulation of the                     the airlines. We have seen it in the                   the starting and stopping?
      markets to the tune of billions of dol-                  railroads. We have seen it in trucking                   Mrs. BOXER. Will my friend yield for
      lars—I assume at the end of the day all                  and so many areas. Every time we have                  a question?
      of us want to end all of that oppor-                     been restructured, I tell you this, the                  Mr. DORGAN. Why don’t we start? If
      tunity by any company that would ma-                     rural States lose. So we need to think                 it is urgent, why don’t we start at this
      nipulate the markets. If we have the                     through this very carefully.                           moment and get to the finish line on
      same goal at the end of the day, then,                     In the electricity title, especially, if             the electricity title?
      look, in my judgment, let us begin of-                   we end up with concentrated markets,                     My colleague, Senator DOMENICI, sug-
      fering amendments. Let us have the                       fewer firms, with more muscle and                      gested we do that. I say, let’s do it.
      staff and the relevant Members begin                     more power, then consumers need to                     Two steps are required: vitiate this mo-
      working them out and talking through                     have the opportunity to protect them-                  tion to commit and get rid of the Kuhl
      compromises that are necessary, and                      selves. We must have adequate protec-                  nomination, which, incidentally, in my
      then finish the electric title. At least                 tions in this title for consumers be-                  judgment, should not come to the
      let us do that title.                                    cause we have seen what happens with-                  floor, in any event; and then let’s get
        But that can only be done, it seems                    out it.                                                on electricity, stay on electricity, and
      to me, if we get rid of the extraneous                     I tell you, when I began to see the re-              I will be here with Senator DOMENICI
      issues. We have a motion to commit.                      sults of what was happening in the                     and Senator BINGAMAN until we are
      And I am told—I have not seen that                       west coast electrical markets and en-                  done with that title. Then let’s see



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                  S10473
      what is left and see if we don’t find the                judgeships are circumstances where the                 protect his people and the people from
      finish line in this bill. That is the way                President proposes and we dispose. We                  every State in the Union from what my
      we should do this bill.                                  have a constitutional obligation and                   people went through in California and
        Now, look, I don’t run this place. I                   requirement. Normally speaking, the                    Senator     CANTWELL’s     people   went
      understand that. Others do. We are not                   Judiciary Committee has relied on the                  through.
      the majority. Others are. But the ques-                  judgment of the two Senators from a                      The PRESIDING OFFICER. The Sen-
      tion of what is urgent and what is im-                   State before it decides whether to                     ator yielded for a question only.
      portant is a function of scheduling.                     move a judgeship.                                        Mrs. BOXER. I am asking my ques-
        I would just say to the majority lead-                   My understanding is, the judgeship                   tion. Isn’t it true, I say to my friend,
      er, and others, I believe at this moment                 that is to be moved to the floor for a                 that this is the only way the Congress
      our responsibility—if this is an urgent                  vote—a cloture vote in the middle of                   can assert itself since we have no con-
      bill; and I do believe it is an urgent                   this Energy bill; and, incidentally, pre-              trol over what happens in the courts,
      bill—our responsibility is to clear the                  ceding a vote I assume there has to be                 that we can do something about spar-
      deck—clear the deck—and move ahead.                      debate on this judge—this particular                   ing your people and the other people
      You clear the deck by getting rid of                     judge has been opposed by both Sen-                    around this country from what Cali-
      this motion to commit, getting rid of                    ators of the State.                                    fornia went through?
      the judgeship, allowing Senator CANT-                      There is no reason, there is no reason                 Mr. DORGAN. Mr. President, re-
      WELL to offer her next amendment, al-                    at all, for that to be debated now or to               sponding to the Senator from Cali-
      lowing others to offer their next                        have a cloture vote in the middle of an                fornia, I believe that is the case. This
      amendment, working through them,                         urgent piece of business such as the                   is the place to have that discussion. As
      one by one by one, using a little com-                   Energy bill. I do not have the foggiest                I mentioned to Senator DOMENICI, there
      mon sense about how we improve this                      idea why that is brought up, unless it                 is a respectful disagreement perhaps
      Energy bill so all of us can pass a piece                is to advance some political interest                  about what words mean and what pro-
      of legislation that we are proud of, and                 someplace. But that ought not be here.                 tection might or might not exist. But
      one that advances the interests of the                     Senator DOMENICI is absolutely right.                surely we can work that out, offer
      country.                                                 What we ought to do at this moment is                  amendments, have votes, and get to
        Mrs. BOXER. Will the Senator yield                     go back to the starting line on elec-                  the end of the electricity title.
      for a question?                                          tricity, and then decide that between                    I referenced a letter that has been
        Mr. DORGAN. I am happy to yield.                       now and the end of the electricity title               sent to Members of the Senate from
        Mrs. BOXER. First of all, I thank the                  we are not going to be interrupted—no                  Eliot Spitzer, the Attorney General of
      Senator for his, as usual, very concise                  interruptions for anything. I agree                    New York. I ask unanimous consent to
      reasoning over where we are. We are at                   with Senator DOMENICI, let’s do that. I                have the entire letter from Attorney
      a bit of an impasse because of what my                   pledge I will stay here on the floor and               General Spitzer printed in the RECORD.
      colleague said.                                          work with my colleagues. Let’s get the                   There being no objection, the mate-
        I want to ask my friend, is he aware                   electricity title done. And let’s not                  rial was ordered to be printed in the
      that for the Kuhl nomination both Sen-                   move off to these extraneous issues. It                RECORD, as follows:
      ators from her State oppose her con-                     makes no sense, if this is, in fact, an                                STATE OF NEW YORK
      firmation? Is my colleague aware of                      urgent matter, to move off it onto                          OFFICE OF THE ATTORNEY GENERAL,
      that?                                                    judgeships that shouldn’t be debated                                    New York, NY, July 30, 2003.
        The PRESIDING OFFICER. The Sen-                                                                               Hon. PETE V. DOMENICI,
                                                               and shouldn’t have to be voted on prior
                                                                                                                      Chairman, Committee on Energy & Natural Re-
      ator will direct her questions through                   to the break.                                              sources, Washington, DC.
      the Chair.                                                 Mrs. BOXER. Mr. President, I have                    Hon. JEFF BINGAMAN,
        Mr. DORGAN. Mr. President, re-                         one last question for my colleague                     Ranking Minority Member, Committee on En-
      sponding to the Senator’s question, I                    through the Chair.                                         ergy & Natural Resources, Washington, DC.
      am aware of that. It is unusual because                    I just want to say, as someone from a                  DEAR CHAIRMAN DOMENICI AND RANKING
      the rules used to be if both Senators                    State that has been painfully hurt by                  MEMBER BINGAMAN: I applaud your efforts to
      from a State oppose the nomination,                      the electricity scams that went on on                  protect our energy markets from fraud and
      then it would not come to the floor. As                  the west coast—and I think Senator                     manipulation through legislation currently
      I understand it, that was always the                                                                            under consideration on the floor of the
                                                               CANTWELL has put it best when she re-                  United States Senate. I am, however, con-
      rule. That rule has apparently been ab-                  lays the story that when she goes                      cerned that certain provisions of the pro-
      rogated or at least changed with re-                     home—and I can tell her, it happens to                 posed legislation would make it difficult for
      spect to this nomination.                                me, too—people say: Why isn’t Ken Lay                  States to protect their citizens from such
        Mrs. BOXER. I want to further say to                   in jail—Ken Lay, the head of Enron                     fraud and manipulation. In addition, the fail-
      my friend, when Bill Clinton was Presi-                  Corporation?                                           ure of this legislation to remove the so-
      dent and ORRIN HATCH was chair of the                      They ask me about Jeff Skilling who                  called ‘‘Enron Exemption’’ codified in the
      Judiciary Committee, if one of the two                   came before the Commerce Committee                     Commodity Futures Modernization Act of
      Senators from that particular State                                                                             2000 will allow electronic trading and other
                                                               and defended these schemes. He didn’t
                                                                                                                      activity in the energy market to escape
      did not send back a permission slip—or,                  know anything about all the schemes                    oversight.
      as we call it around here, a blue slip—                  that came to light that hurt the people                  Sections 1171 and 1173 of the proposed
      the nomination never moved forward.                      of California to the tune of probably an               amendment would undercut State law en-
        Is my colleague aware that rule is                     $11 billion theft.                                     forcement and regulatory agency efforts to
      changed by the chairman and, indeed,                       So I ask my friend, through the                      stop fraud and abuse in the energy markets.
      ignoring Senators’ views? I would say                    Chair, this question: We have no con-                  Requiring that ‘‘any request by any Federal,
      through the Chair, is my colleague                       trol over when and if ever Ken Lay                     State, or foreign government, department or
      aware that Senator HATCH changed                                                                                agency or political subdivision’’ for informa-
                                                               goes to jail or the other scoundrels who
                                                                                                                      tion from energy market participants be di-
      that rule?                                               did this to the people of the west coast               rected to the Commodity Futures Trading
        Mr. DORGAN. Mr. President, re-                         by making these phony shortages and                    Commission (CFTC), the proposed legislation
      sponding to the Senator from Cali-                       stealing their money for things they                   would hamper States’ investigation of viola-
      fornia, I am not aware of the internal                   need to survive. We don’t control that.                tions of laws related to the energy markets.
      machinations of the Judiciary Com-                       The administration does, through the                   Interposing this federal screen between the
      mittee. I read about what that com-                      Attorney General’s Office. I hope they                 States and the perpetrators of abuses is inap-
      mittee does from time to time. And                       are moving aggressively, but it is awful               propriate.
      while I suppose it is entertaining, be-                                                                           In addition, by expanding the CFTC’s juris-
                                                               slow.
                                                                                                                      diction over electricity and gas markets, the
      cause there seems to be a fructus over                     Mr. LOTT. Regular order, Mr. Presi-                  amendment would inhibit the authority of
      there on most of these issues, there has                 dent.                                                  States as well as federal agencies to address
      been one consistent thing that has hap-                    Mrs. BOXER. What we do control is                    abuses in these markets, markets that, as a
      pened in the Judiciary Committee with                    this Energy bill and this electricity                  result of the Enron Exemption, are not sub-
      respect to judgeships; that is, the                      title. My friend is so right to try and                ject to CFTC oversight.




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      S10474                                             CONGRESSIONAL RECORD — SENATE                                                        July 31, 2003
        As the United States Senate seeks to pro-              easy under the best of circumstances,                   Leader. I am sure he is going to com-
      tect our nation from energy market abuses,               but it is made much more difficult if                   ment more on the days we have spent
      I urge you not to diminish the ability of the            you have conflicting language, saying                   on this and other work we need to do.
      States and of federal agencies to prevent, de-                                                                   Everything is urgent all of a sudden. I
                                                               this is an urgent bill that must get
      tect and eliminate threats to American con-
      sumers and shareholders.                                 done, but then you can’t stay on it be-                 know how it works. For 3 or 4 months
            Sincerely,                                         cause you provide all these other                       around here the Leader is dredging for
                               ELIOT SPITZER,                  issues. In the middle of this urgent sit-               legislation to call up. And then all of a
                  New York State Attorney General.             uation, you decide you want to take                     sudden, in May or July, everybody
        Ms. LANDRIEU. Will the Senator                         some time to have a seventh cloture                     shows up and says: Hey, I’m ready. I
      yield for a question?                                    vote on Mr. Estrada. Is that urgent? I                  want my bill. We want to do something
        Mr. DORGAN. I am happy to yield for                    don’t think so.                                         about class action lawsuits. We want to
      a brief question.                                          So with respect I say, let’s now go to                do the Energy bill. We want the State
        Ms. LANDRIEU. I wanted to ask my                       the electricity title, and let’s work                   Department authorization bill which,
      distinguished colleague if I had heard                   through the Energy bill. We ought to                    by the way, had to be pulled down be-
      the Senator from New Mexico correctly                    get this title done tonight. I agree with               cause of totally unrelated issues. For
      when he suggested that one way to pro-                   Senator DOMENICI; there is no reason                    the first time in 15 years we were about
      ceed to move us past this very difficult                 we should not get the electricity title                 to get a State Department authoriza-
      hurdle would be to take up the elec-                     done, give everybody a chance to ad-                    tion, and it was basically forced off the
      tricity section and try to finish that                   dress those issues.                                     floor because of unrelated, irrelevant
      before we left? If that is what I heard,                   I especially think we will want to ad-                amendments that were offered to it.
      was that a suggestion made by the                        dress Attorney General Spitzer’s admo-                    We will get through this if we work
                                                               nition and concerns as well.                            together. I am worried about the insti-
      chairman of the committee, who has
                                                                 I want to be constructive. I know last                tution right now. We are fiddling while
      worked so hard to try to put a bill to-
                                                               night I was objecting to people’s unani-                our energy is burning. For 3 years we
      gether, thinking we could perhaps re-
                                                               mous consent requests. It was not be-                   have been hacking away at getting a
      solve some of those difficult issues on
                                                               cause I had any animus. I just wanted                   national energy policy. We don’t have
      the electricity section? Is that what
                                                               us to get back to the electricity title.                one. And it’s absurd for us now to be
      the Senator understood the chairman
                                                               I could not do that. Eventually they                    pontificating, saying we haven’t made
      of the committee to say?
        Mr. DORGAN. The chairman of the                        went on and spent the whole night on                    enough progress, when I don’t know
                                                                                                                       how many days we have been on this
      committee has great passion about                        the judgeship because we had this clo-
                                                                                                                       bill—I think 16 days, to be exact. There
      wanting to finish this bill. I serve on                  ture vote scheduled.
                                                                 That is my frustration. I share the                   is no question this bill is being slow
      the committee, as does the Senator
                                                               same frustration that I think Senator                   rolled. Everybody knows that. For
      from Louisiana. I understand that pas-
                                                                                                                       some reason, and I don’t know why, the
      sion because I believe energy is a sig-                  DASCHLE expressed earlier and Senator
                                                                                                                       Democrats are dragging it out, slowing
      nificant priority. He indicated he                       DOMENICI expressed. The best way for
                                                                                                                       it down. They don’t want this Energy
      would beg that we get back on the elec-                  us to proceed is to clear the deck, get
                                                                                                                       bill to be finished and go to conference.
      tricity title and finish the title. I hap-               all the extraneous things out of the
                                                                                                                       That is my opinion, one Senator’s opin-
      pen to think that makes a lot of sense.                  way and decide we are going to proceed
                                                                                                                       ion.
      I believe we should do that posthaste                    now on the electricity title. I for one                   This is a bill that has ethanol in it.
      and move through the amendments.                         pledge cooperation to try to get this                   We had this big agreement way back
        It is almost as if the Senate as an in-                title done. That is what we ought to do.                there. We thought once we got an eth-
      stitution has attention deficit disorder.                  I yield the floor.                                    anol agreement—a huge agreement—
      We just go from one subject to another                     The PRESIDING OFFICER. The Sen-
                                                                                                                       that would grease the slides and this
      and then back. And then we say, OK,                      ator from Mississippi.                                  legislation would go right through.
      focus, focus, this is urgent, this is im-                  Mr. LOTT. Mr. President, I tread out
                                                                                                                       Here we are, a month later, and we are
      portant. And then an hour later, we are                  of these waters somewhat hesitantly
                                                                                                                       not making good progress.
      off on another subject for a bit because                 because in the past I have gotten in-                     I think we should quit trying to say
      we have to vote on a judgeship in Cali-                  volved in similar situations. I know the                this side is delaying or that side is
      fornia; we have to vote on a judgeship                   Majority Leader will be here shortly to                 going to different issues. We need to
      here or a trade agreement there.                         respond to some of the things that                      get this done. We are talking about
        I suppose in real life you could be                    have been said today. But because of                    production, more production in Amer-
      medicated for that, but as an institu-                   some of the things I have experienced,                  ica. We need more oil and natural gas.
      tion, all we have to do is decide that we                I would like to remind my colleagues                    I don’t know what the statistics are
      are going to focus on that which we be-                  that Senator DORGAN is right: the Ma-                   now but about 56 percent of our energy
      lieve is urgent. The Senator from New                    jority Leader is the leader. The Major-                 needs are coming from foreign oil. Peo-
      Mexico has said this is an urgent bill.                  ity Leader, working with the Minority                   ple, I guess, want to kill the bill be-
      He is correct about that. I have                         Leader, has a tough job. He has to jug-                 cause they don’t like the environ-
      watched him for several days. He has                     gle a lot of balls.                                     mental provisions, or they are afraid
      great frustration, I am sure, at not                       The idea that there is something un-                  ANWR will be opened to actually
      making as much progress as he would                      usual about considering two or three or                 produce more oil. I don’t quite under-
      like to make.                                            four issues intermittently, that that is                stand the fear.
        I mentioned a moment ago, I was                        something new, is ridiculous. We have                     This is a balanced bill. The com-
      here last evening. Senator CANTWELL                      had double tracking, triple tracking. I                 mittee did a good job. It was a bipar-
      was here waiting for 2 to 3 hours to                     learned it from my Democrat prede-                      tisan bill, more production—even going
      offer an electricity amendment but                       cessors when they were Majority Lead-                   to the excessive ethanol that is in-
      could not do it. Why? Because we were                    ers. To intersperse with a legislative                  cluded in it. Conservation, it has en-
      off debating a judgeship that should                     bill executive calendar nominations is                  couragement of conservation. It has al-
      not have been debated and didn’t need                    done every day, every week. There is                    ternative fuels to the point of being ri-
      to be voted on. There needed to be no                    nothing new or unusual about that.                      diculous. It has the tax provision that
      cloture vote on that. But the leader-                      Until you have walked in the Lead-                    came out of the Finance Committee—a
      ship said, you have to be off on that.                   er’s shoes, I urge you to be careful                    huge package of unbelievable things.
        I understand the Senator from Mis-                     about trying to second-guess him in                     We have an abundance of desire to try
      sissippi is waiting to speak. He is prob-                trying to juggle these different balls. It              to solve this problem, and I think we
      ably going to remind all of us that the                  is a tough job.                                         need to solve it.
      Senate isn’t run by 100 Senators; some-                    We should be voting on judges. We                       On the electricity section, I have
      body has to schedule. I recognize that                   should be confirming judges. I really                   some problems with that. I don’t like
      at one point he had to schedule this                     don’t appreciate the criticism that I                   several pieces of it. I am not particu-
      place. It is not easy. Scheduling is not                 think is being indirectly cast at the                   larly happy with so-called SMD and the



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                             S10475
      regional transmission organizations,                     ers do, and let’s have a meeting in Sep-               agree with her philosophically at all,
      RTOs. I think it is a problem for my re-                 tember and find a way to stop what is                  and I don’t agree with many of the rul-
      gion of the country but I am not about                   going on with judges.                                  ings she is coming out with. President
      to be a part of trying to drag it out or                    I admit that I made some mistakes                   Clinton was the President; he nomi-
      delay this bill. It may be in my inter-                  when I was Majority Leader in how I                    nated her. But she was qualified by
      est locally to do that or to work to get                 handled them, too; but it has gotten                   education, experience, and demeanor,
      it changed, but for our country we are                   worse since then. I don’t think any-                   and I voted for her. I think we deserve
      going to stand here and accuse each                      body can deny that. This mutually as-                  that kind of return of courtesy.
      other of not handling this right, while                  sured destruction must stop. I have                      The Majority Leader is here, so I will
      ‘‘Rome’’ and Washington, DC, burns.                      said this before.                                      stop. I say to the Majority Leader, I
        This is ridiculous. Now, on judges, we                    Heaven forbid, if we ever have an-                  was talking about the difficult job he
      don’t look good, my colleagues. This is                  other Democrat President and a Demo-                   has, and I know he is going to have
      mutually assured destruction. It con-                    crat Senate, we are going to filibuster                some statistics that will indicate what
      tinues to escalate to ‘‘you did it to us,                your nominees for the courts. It will                  has been occurring.
      so we are going to do it to you.’’ Now                   happen. Some of our colleagues may                       I yield the floor.
      we have employed a new mechanism;                        even say they want that right. That is                   The PRESIDING OFFICER. The Ma-
      we are going to filibuster judges. This                  wrong. You have a lot of ways you can                  jority Leader is recognized.
      is a huge mistake for this institution                   slow down or delay hearings or judges                    Mr. FRIST. Mr. President, I will be
      and it will not be allowed to stand.                     but filibustering judges on either side                happy to follow the assistant leader
        Now we are beginning to question                       is wrong. I won’t be a part of it if the               very shortly.
      each other’s motives. I was concerned                    tables are turned, and I was not a part                  The PRESIDING OFFICER. The Sen-
      about what I saw last night in the Sen-                  of it when I was Majority Leader. I                    ator from Kentucky is recognized.
      ate. We seem to be spiraling downward.                   stood right there and spoke against                      Mr. MCCONNELL. Mr. President,
      Somebody needs to sit down and say,                      filibusters when I was Leader. I voted                 briefly, it has been said by Senator
      look, we are going to stop these accu-                   against a filibuster and forced votes on               LOTT and others that there is nothing
      sations, stop the filibusters, and we are                judges with whom I vigorously dis-                     unusual about the so-called double-
      going to vote on these judges. This is                   agreed.                                                tracking of issues, nothing unusual at
      personal to me because I believe Judge                      Two from California, Paez and                       all. The distinguished majority leader
      Pickering of Mississippi was very badly                  Berzon, I will never really be com-                    offered to our colleagues and friends on
      and unfairly treated last year. I believe                fortable with what I did there. I said                 the other side an opportunity to have
      the vote on him will be different this                   we are not going to filibuster these                   the four cloture votes on judges this
      year.                                                    judges on the floor of the Senate. So                  week with no debate at all. It would
        Now it is Pryor. There is no reason to                 this is a terrible precedent and the                   have taken up no time on the Energy
      oppose the Attorney General of the                       Leader cannot let this stand.                          bill.
      State of Alabama with his record—not                        So, my colleagues, I sound like a                     The fact is, this is the 18th day we
      to mention Priscilla Owen, Miguel                        schoolteacher lecturing but, because of                have been on the Energy bill this year;
      Estrada, and Kuhl. We have circuits                      the experiences I have been through, I                 that is more than any other bill. The
      now—the Sixth Circuit, I believe, in-                    plead with the institution to get on the               distinguished majority leader made the
      cludes Tennessee, Kentucky, Ohio,                        Energy bill, make progress, and vote                   right call to go to energy this week. He
      Michigan—with a 25-percent vacancy. I                    on these judges. A couple of judges                    made the right call to try to bring to
      didn’t know Senators could use a blue                    might not even get 50 votes but that is                closure four of the President’s distin-
      slip to block a judge from their circuit.                the way it works. If you get a vote, you               guished nominations for the circuit
      We don’t pick the judges for the cir-                    win; if you don’t, you lose.                           court benches.
      cuits; the President of the United                          Mr. MCCONNELL. Will the Senator                       I think Senator LOTT is correct. We
      States picks those. In my circuit, they                  yield for a question?                                  need to, as he put it, take a deep
      can come from Louisiana, Mississippi,                       Mr. LOTT. Yes.                                      breath, settle down here, and remem-
      or Texas. I don’t think I have a blue                       Mr. MCCONNELL. The Senator raises                   ber that we all came here to do the
      slip or an ability to block a judge in                   an important point on the Berzon and                   people’s business. Energy is important.
      that circuit that is from my State, or                   Paez nominations. I can remember the                     I know the Majority Leader is com-
      from another State, even though I                        Senator, in his capacity as Majority                   mitted to finishing this important leg-
      might not particularly like him or her.                  Leader, encouraging us to support clo-                 islation for the people of America. I
      Now we have appellate court judges                       ture on two judges about whom none of                  hope there are a significant number of
      being stopped in circuits all over this                  us were very enthusiastic. I remind my                 our friends on the other side of the
      country because one or two of the Sen-                   colleague that 75 percent of the Repub-                aisle who would also like to see an En-
      ators from the appellate circuit might                   lican Senators voted for cloture.                      ergy bill. I am confident the majority
      want to try to stop them. I haven’t                         The PRESIDING OFFICER. The Sen-                     leader is going to give all of us an op-
      served on judiciary; maybe that is                       ator is reminded to address his ques-                  portunity at some point this year to
      what happened some in the past. That                     tions through the Chair.                               finish this bill.
      is another example of what is really                        Mr. MCCONNELL. Mr. President, I                       I say to my friend, the Majority
      getting to be a problem.                                 ask the Senator from Mississippi if he                 Leader, I think his scheduling deci-
        I urge the leadership on both sides of                 remembers that 75 percent of the Re-                   sions for the week were excellent, cor-
      the aisle on the committee to find a                     publican Senators voted for cloture on                 rect, and consistent with the best in-
      way to stop this because you are going                   both of those judges, and many of us                   terests of the American people, and we
      to filibuster these good men and                         voted against them once we got to the                  support him fully in those scheduling
      women. Then we are going to question                     up-or-down vote.                                       decisions.
      your motives and you will question                          Mr. LOTT. I remember that very                        Mr. President, I yield the floor.
      ours. I think the Senate needs to take                   well. We did the right thing. That is                    The PRESIDING OFFICER. The ma-
      a deep breath. Maybe what we need is                     what I am asking now of my colleagues                  jority leader.
      an August State work period—go home                      on both sides of the aisle. Let’s find a                 Mr. FRIST. Mr. President, we have
      for a while and cool off.                                way to do the right thing on these                     worked very hard over the course of
        I am not going to affix blame, but I                   judges. It is totally indefensible, for in-            this week to address the people’s busi-
      think the way this Energy bill is being                  stance, that on Miguel Estrada we can-                 ness with the schedule that was set out
      handled is a huge problem for our coun-                  not work something out where he                        weeks ago to address energy in a fo-
      try. I hope we will calm down, get an                    won’t be defeated by a filibuster.                     cused way, a way that would allow for
      agreement to move forward, give the                         I remember other votes, too. I have                 debate and amendment, and bring to
      Leader the opportunity that he should                    said on this floor two or three times                  conclusion the debate on a bill that is
      have to bring up judges, or other Exec-                  that I voted for Ruth Bader Ginsburg                   important to every American listening
      utive Calendar nominees, as all Lead-                    to go on the Supreme Court. I didn’t                   to me now—every American.



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      S10476                                             CONGRESSIONAL RECORD — SENATE                                                       July 31, 2003
        The President initially called for an                  not impossible but it is tough sched-                  this week? Again the answer was: No,
      Energy bill over 2 years ago and laid                    uling. But one thing that the Repub-                   no, we are not ready to finish the En-
      down a policy 3 months ago, and the                      lican leadership does have to demand is                ergy bill this week. So I think in this
      House of Representatives has acted in                    that people are working in good faith                  call of crying politics from the other
      delivering such a bill.                                  to complete bills in a timely way. I am                side of the aisle, the Democratic lead-
        As the distinguished assistant leader                  beginning to lose faith in the other side              ership really is showing their own
      has mentioned, we have now spent 18                      of the aisle because they are obstruct-                hand. They talk about energy but do
      days debating energy policy. That is                     ing—flat out obstruction.                              not deliver.
      longer than any other bill this year                       The fact is, whether they are in a                     It is not just about the Energy bill
      and, in truth, as we all know in this                    cornfield in Iowa or whether they are                  itself—and we have touched upon the
      body, we have been debating energy                       in a cornfield in South Dakota or in                   judicial nominees this morning, which
      policy now for 3 years.                                  the mountains of New England, Ameri-                   again all we are asking for is a simple
        It is true that during the last Con-                   cans want us to pass an Energy bill,                   up-or-down vote on these nominees
      gress, we spent 7 weeks on an Energy                     not at some vague time in the future                   when I have asked consent. It is not to
      bill, and the other side of the aisle                    but right now, an Energy bill—this is                  debate these judges now, although peo-
      comes forward and says: We spent 7                       what the American people under-                        ple come out of the woodwork for that.
      weeks last year, so we are going to                      stand—that will bring down the soar-                   It is just to get consent that at some
      have to spend 7 weeks or 8 weeks or                      ing cost of energy while ensuring an                   time in the future we will have the op-
      more time on this Energy bill. I appre-                  adequate supply. And that is what they                 portunity to talk about these judges
      ciate their concern because I, too, want                 are being denied by this obstruction by                and give every Senator their right—
      to make sure we address these issues                     the Democrats.                                         and that is through advise and con-
      thoroughly. But what we have is just                       It has gotten to where we are hearing                sent—to have an up-or-down vote.
                                                               this term—it was used earlier today—                     The Democrats—and I come back to
      obstruction, flat out obstruction of our
                                                               with ‘‘ism’’ on it, obstructionism, that               the word—obstruct our opportunity to
      commitment to answer to the Amer-
                                                               we are seeing so much obstruction                      advise and consent. That is all we are
      ican people when they ask: Where is
                                                               today from the other side of the aisle,                asking in terms of the judges.
      our national energy policy?                                                                                       Obstruction—again, people do not see
        The distinguished Democratic leader                    whether it is bioshield, which we are
                                                                                                                      all that is going on. They see what is
      said: Now we have politics injected. I                   trying to bring to the floor, or whether
                                                                                                                      on the floor. But right now the obstruc-
      do believe that statement is disingen-                   it is the judges. All we are trying to do              tion does fall over to other fields—
      uous when he throws the politics on                      is get them to the floor and have that                 fields such as bioshield. We have
      our side and, at the same time, we have                  debate and discuss them. We can’t even                 worked very hard to address an issue
      a commitment—and I have said again                       bring them to the floor to talk about                  which does have an impact on national
      and again and under the able leader-                     them.                                                  security, and we cannot get consent to
      ship of our managers, I know they are                      I come back on energy for one sec-
                                                                                                                      bring resolution to a very important
      committed to addressing this bill and                    ond. People are willing to watch this                  initiative that provides over $6 billion
      bringing it forward to the American                      obstruction go forward and not con-                    over 10 years to purchase new counter-
      people who do and will continue to suf-                  tinue to push and do not continue to                   measures, whether it is on the biologi-
      fer under skyrocketing natural gas                       push when we are trying to stay on the                 cal entities, such as botulinum, an-
      prices.                                                  Energy bill today and tomorrow, and                    thrax, or plague, a bill that expands re-
        I say that because now—and I said it                   they say: No, we can’t do it; we throw                 search and development so that we will
      last night after conversations we had                    up our hands; why don’t we just go                     be best prepared in the event terrorists
      both on and off the floor—it is clear                    home? That is not in the Nation’s in-                  use these agents against us. It is legis-
      that we were not going to be able to                     terest.                                                lation that protects us all, but it is
      finish the Energy bill this week. We do                    I plead with the other side of the
                                                                                                                      being obstructed.
      not have the amendments. We do not                       aisle, let’s not obstruct. Let’s debate                  The economy, energy, the judiciary,
      have the amendments, and we have had                     energy over the course of the day and                  it is obstruction again and again. I do
      a difficult time getting an accurate list                into tonight. If there are so many                     not fully understand why. I think we
      of amendments.                                           amendments on the other side—remem-                    can all only speculate. We do have the
        When I talk to the managers, they                      ber, on the other side—let’s address                   Presidential election cycle that is ap-
      may say we have one or two amend-                        them one by one. It is simply not ac-                  proaching. The outside interest groups
      ments on a particular issue, and then                    ceptable not to address the amend-                     may be holding sway. I do not know. It
      as I talk to other colleagues and they                   ments. I believe it is a dereliction of                may be obstruction for its own sake. It
      say: No, we have 7, 8, 9, 10 amendments.                 our duties. We are here to pass a bill.                is not in the best interest of the Amer-
      It is that lack of pulling together that                 We are ready to pass a bill. We are                    ican people. The American people want
      I am most disheartened about in ad-                      waiting for those amendments, and the                  us to progress. They want us to move
      dressing the Nation’s business.                          Democrats are obstructing.                             America forward, whether it is on any
        It comes to obstruction, and I do                        Earlier this morning the minority                    of the issues I have talked about today,
      think at this point in time the Demo-                    leader did talk about the virtues of the               and all they hear is obstruction.
      crats are bringing progress on this                      Energy bill and gave the rhetoric, and                   I do want to share with my col-
      critically important issue of energy to                  I appreciate the rhetoric and the plati-               leagues once again, and those people
      a screeching halt. The fact is, we are                   tudes, but it is offensive, at least to                who are listening, and to remind my
      ready to go today and we are ready to                    our side of the aisle, when at the same                colleagues on the other side of the aisle
      go tomorrow, and, if they are willing,                   time we are talking these platitudes                   on the judicial nominees, the requests
      we are ready to go the next day on the                   both here and around the Nation in our                 we have made would not mandate in
      people’s business on this Energy bill,                   own States and then we see the same                    any way consideration of those nomi-
      and basically they are saying no. They                   side of the aisle, the other side of the               nees right now or during the Energy
      are hiding under the allegation: Oh, it                  aisle, obstruct in a steady, consistent                bill. That is not the purpose. That is
      is judges you are bringing forward—and                   pattern. Americans are waking up fi-                   not the way the request was put forth.
      I will comment on that point, but they                   nally to this consistent pattern of ob-                Those consents to be able to bring
      are hiding behind that issue because                     struction, whether it is on the judges                 them up at some time in the future,
      they do not want a bill.                                 or whether it is on the Energy bill                    not on the Energy bill, were objected
        They say: We want a bill. I say: Let’s                 which we have before us.                               to by the other side of the aisle.
      get a bill. They say: We want a bill but                   I have mentioned to the leadership                     The consents would have allowed
      it is going to be sometime off in the fu-                on the other side of the aisle—they                    votes on the nominations at some time
      ture.                                                    talk about judges; quit bringing up                    in September or October, and the re-
        As the former majority leader said,                    judges at this point—I said: Let’s just                quests were made, lest my colleagues
      and as the leader on the Democratic                      not do judges today. Let’s put them                    forget, for 4 hours to debate these judi-
      side said, it is tough scheduling. It is                 aside. Can we finish the Energy bill                   cial nominees sometime in the future,



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                S10477
      and they said no. Then I said, these are                 this morning indicated there are                         As I say, the Senator from Wash-
      Presidential nominations that come to                    amendments on the other side of the                    ington has been sitting in the Cham-
      us. We are to give advice and consent.                   aisle. There is only so much we can do.                ber. She sat here last night for hours
      Can we bring them up and debate them                     We cannot really reach over to the                     waiting to debate another amendment
      in an orderly fashion for 8 hours at                     other side of the aisle and pull those                 on the electricity title. There are other
      some time in the future—not on the                       amendments out of their pockets or                     Senators who have expressed an inter-
      Energy bill but sometime in the fu-                      wherever they are. They have to offer                  est in coming to the floor to debate the
      ture? And they said no. Then I asked                     those amendments for us to consider                    electricity title.
      consent if we could, sometime in the                     them. So we have to sit and wait for                     How do we do that, No. 1, when we
      future, debate these judicial nominees                   those amendments to come forward so                    are not even on the electricity title
      for 10 hours. Object, object.                            that the Senate can work its business                  anymore? We are actually on a motion
        We did schedule cloture votes this                     on this Energy bill.                                   to commit. We cannot even offer an
      week, and they were simply that, 20-                       As has been said, we are prepared to                 amendment to the electricity title
      minute cloture votes. Why? Because                       have amendments offered. I think it is                 given the majority leader’s current
      they objected to bringing these judges                   important that we use today and to-                    parliamentary maneuvers.
      up and having adequate debate in Sep-                    morrow to focus on Energy. I think we                    Then, of course, we have this enor-
      tember or October. What alternative                      should be able to reach some sort of                   mously controversial nominee from
      does one have but to file a cloture vote                 time agreement to bring this bill to                   California.
      to bring them up? That is a 20-minute                                                                             If I could offer one more piece of ad-
                                                               completion. I think we need to be
      vote.                                                                                                           vice—and as I consider this, it is all the
                                                               working toward voting on the issues as                 more troubling. If our Republican col-
        I very specifically came to this floor                 we go forward, and I plead with the
      and said that those 20-minute votes                                                                             leagues really wanted to get a bill,
                                                               other side that we stay on Energy, we                  what would have been wrong with tak-
      could be expected in between other En-                   stay focused, and we bring this bill to
      ergy amendment votes, 20 to 25 min-                                                                             ing the bill that 88 of us voted for last
                                                               completion as we go forward.                           year and starting with that? What
      utes. All the requests for debate time                     I yield the floor.
      on those cloture votes have come from                                                                           would have been wrong with saying, we
                                                                 The PRESIDING OFFICER. The
      the other side of the aisle, not our side                                                                       spent 8 weeks on a bill last year, how
                                                               Democratic leader.
      of the aisle.                                              Mr. DASCHLE. Mr. President, I lis-                   about taking that 8 weeks’ of effort,
        I further remind my colleagues that                    tened with great interest to the distin-               that investment in time, bringing that
      we tried on numerous occasions to                        guished majority leader. I would offer                 to the committee, and then bringing it
      reach consent to have a filing deadline                  him advice again, for whatever it is                   to the floor? My guess is we could have
      on Energy amendments last week.                                                                                 avoided hundreds of amendments. We
                                                               worth. I have offered him advice as we
      Again, objection from the other side of                                                                         could have said, what reason would
                                                               have personally and publicly discussed
      the aisle. I mentioned earlier the prob-                                                                        there be to offer an additional amend-
                                                               progress on the Energy bill. Rather
      lem the managers are having is getting                                                                          ment because we have now taken up
                                                               than shrill charges of obstructionism
      their arms around the amendments                                                                                the very thing the Senate passed last
                                                               that nobody believes, I suggest that he
      that we are waiting for the other side                                                                          year? But for whatever reason, the
                                                               tear down the tree, take away all of
      to offer. Yet they are not material-                                                                            committee decided to pass an ‘‘Enron
                                                               the obstacles that he laid down last
      izing.                                                                                                          protection act.’’ They wanted to be
                                                               night to considering the Energy bill,
        So if there is any question of the                                                                            sure, apparently, that they could lock
                                                               and I believe we could make construc-
      commitment to finishing this bill, I                                                                            in protection for these incredibly ma-
                                                               tive progress. I think we could perhaps
      think it is clear which side of the aisle                                                                       nipulative schemes used by Enron to
                                                               finish the electricity title by the end of
      is pressing for it and which side of the                                                                        bilk consumers that changed dramati-
                                                               this week, but we cannot do that and
      aisle is not pressing forward. It leads                                                                         cally the nature, the character, of the
                                                               then also do what he is now asking of
      me to the conclusion that we want an                                                                            bill itself.
                                                               us, which is to debate one of the most                   If our Republican friends would have
      Energy bill, a good Energy bill, for the
                                                               controversial nominees to be passed                    wanted to complete the bill or at any
      American people, consistent with ap-
      propriate production, conservation, use                  out of the Judiciary Committee. We                     time if they would want to do so in the
      of renewable fuels, and tax incentives,                  cannot do both.                                        future, we could take up where we left
                                                                 He wants us to have a vote on that                   off. As it is, we are left with a bill that
      to make sure that our energy supply is
                                                               nominee tomorrow morning, and I see                    many have not seen. We are left with
      appropriate. We want that type of En-
                                                               no other option but simply to debate                   titles given to us virtually at the last
      ergy bill worse and are willing to fight
                                                               the nominee. He also would like very                   minute and expected to offer amend-
      for it longer and harder than the other
      side of the aisle.                                       much for the trade bill to come up.                    ments under those circumstances.
        It was the Democratic side of the                      There are 6 hours of time locked in for                  I say to my distinguished colleague
      aisle that refused to grant consent—                     that. I do not know how we do the                      and friend, it is still within our grasp
      that is, obstruct—to have the debate                     trade bill, an extraordinarily con-                    to finish this bill in a meaningful and
      on the electricity title. It was the                     troversial nominee for the Ninth Cir-                  timely way. In order to do that, we
      Democratic side of the aisle who re-                     cuit, and then I know he wants to do                   have to work at it. We have to finish
      fused to enumerate the number of sec-                    the supplemental bill as well. That is                 this work on the electricity title, we
      ond-degree amendments that would be                      going to take some time. So how do we                  have to go to the other titles in a way
      offered.                                                 do all of these?                                       that accommodates Senators with
        I made it crystal clear 6 weeks ago                      Having been the majority leader, I                   amendments, and we have to stay on
      that we were going to be going to this                   must say it is one of the most chal-                   the legislation. Diversions, especially
      bill on this Monday to work Monday,                      lenging parts of the job, but I think his              ones involving issues of great con-
      Tuesday, Wednesday, Thursday, Fri-                       colleagues were right; they said pub-                  troversy, will never allow the Senate
      day, to complete this bill. Yet, on Mon-                 licly he made a mistake, and I think                   the luxury of the confidence we need to
      day, the Democratic side of the aisle                    they were right in their estimation of                 finish this bill at any time in the fore-
      refused to grant consent to have that                    the schedule for this week. If we really               seeable future.
      debate on the electricity amendment.                     wanted to finish the bill, we would not                  I stand ready to work with him, to
      That refusal really did not rob us, but                  have had all of these diversions. If we                work with the manager of the bill, the
      it meant we could not use Monday as                      can learn from our mistakes this week,                 chairman of the committee, to work
      productively as we should have used it.                  I think the only answer is to let us not               with our distinguished ranking mem-
      Again, that lack of participation                        repeat them. The only way one can                      ber and others so we can finish the bill.
      makes it very difficult to achieve what                  avoid repeating the same mistakes is                   Shrill charges of obstructionism will
      is in the best interest of the American                  to take out from underneath all of the                 not get the job done, nor will it get the
      people.                                                  underbrush the obstacles, the diver-                   job done to finger point and try to lay
        The chairman of the committee, the                     sions, the other priorities that the ma-               blame. We are here; they have the ma-
      manager, Senator DOMENICI, earlier                       jority leader has.                                     jority. We are willing to work with



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      S10478                                             CONGRESSIONAL RECORD — SENATE                                                       July 31, 2003
      them to see under their leadership we                    side mention ‘‘politics,’’ the more I re-              were very willing last night, while the
      accomplish a good deal. We have on so                    alize how important it is we have a clo-               Senate wanted to debate judges—and I
      many other bills already this year. We                   ture vote to see who is serious about                  sat here as my Republican colleagues
      can do it on this bill if we have the de-                finishing this bill and who is not to-                 spoke for hours—I was willing to offer
      termination to show the bipartisanship                   morrow. We will gladly have discus-                    an amendment on electricity.
      it will require.                                         sions so we can consider amendments.                     People are talking about moving
        I yield the floor.                                       The Democratic leadership wants a                    ahead on an Energy bill because it is
        The PRESIDING OFFICER. The ma-                         bill. I know they want a bill. It is real-             good for our economy, because it will
      jority leader.                                           ly a matter of, is it some time off in                 help with supply. While we were sitting
        Mr. FRIST. Mr. President, I appre-                     the future or now. The Democratic                      here wasting our time yesterday talk-
      ciate the advice and counsel of the dis-                 leader made a suggestion that is one I                 ing about judges, another company in
      tinguished Democratic leader. He and I                   think is important because we need to                  my State with 700 workers from Bel-
      do have the opportunity to talk which,                   move ahead, we need to act today—not                   lingham, WA, temporarily shut down
      indeed, I appreciate very sincerely. As                  just talk and talk about politics and                  their facility. Why? Because of the
      we all know, we have heard from three                    talk about obstructionism, with rhet-                  high cost of electricity in our State.
      majority leaders commenting on the                       oric and no action. I want a bill. I want                So this is not about a problem that
      schedule—the former majority leader,                     a bill that is good, that is fair to the               might happen. It is a problem that has
      Senator LOTT, myself, and the distin-                    American people, and that addresses                    already happened.
      guished Democratic leader.                               the issues of supply and the soaring                     The parliamentary, procedural ruse
        We have a challenging week, remain-                    costs which we feel. It is incumbent                   that has been played on us to not go to
      ing week with a lot to do. We have im-                   upon us to act.                                        the electricity title has been incred-
      portant issues before the Senate, criti-                   The Democratic leader mentioned                      ible. I was standing here, waiting to
      cally important issues. I am delighted                   last year’s bill was passed with a bipar-              offer amendments, only to find out
      we have expressed that commitment to                     tisan vote and suggested bringing that                 that we were going to go to a judge.
      address issues, first and foremost en-                   up. Let’s do that. Let’s pass that bill if               Yes, the Senator from New Mexico
      ergy. That is our number one priority.                   it is the great bill he says. We would be              was right; we wanted to go to the elec-
      Everything else is secondary. I said we                  willing to do that. I will turn to the                 tricity title. But we didn’t even have
      would have these cloture votes this                      manager of this bill and the chairman,                 the language from his proposal when
      week on the judges for 20 minutes and                    but if we have the opportunity to take                 we left town last week on Friday night.
      time demands have made that expand                       that bill up, as suggested by the Demo-                It wasn’t even available Friday until
      for hours, like last night. I am not ac-                 cratic leader, let’s do it and pass it                 late Friday night. So, yes, as soon as
      cusing anyone of trying to delay the                     today and then we can move on.                         we got that language we started poring
      bill by talking on these judges, but re-                   Mr. REID. Would the distinguished                    through it.
      member my initial consent was we                         majority leader yield for a question? Is                 Now the question is whether this
      want to talk on these judges and we                      the majority leader saying the bill that               body wants to debate an electricity
      want to do it sometime in the future.                    passed the Senate 88–11 last year, it                  title, whether they want to consider
      Just give us consent to do that. That is                 would be brought to the floor and                      the issues at hand.
      what has been denied.                                    passed in the form it left the Senate?                   Last night, the amendment I wanted
        Chile and Singapore was mentioned.                       Mr. FRIST. Mr. President, because                    to offer was actually shared with the
      Before we leave, whether it is Friday or                 the proposal was just made, my incli-                  minority staff. The majority staff is
      Saturday, the Chile and Singapore                        nation is to basically say we would                    now saying we don’t know what
      trade agreements are important. I                        move in that direction. I want to con-                 amendments are going to be offered.
      don’t want to focus on those because I                   sult with the manager of the bill since                We had seven amendments to file this
      want to stay on energy and keep driv-                    it was just proposed, but if that is the               morning, only to find out they are no
      ing on energy. I have the distinguished                  Democratic proposal and that is what                   longer in order because of the motion
      manager, the chairman of the com-                        is on the table—the American people                    to commit in the document that is now
      mittee, with me. I know he will keep                     deserve an Energy bill.                                available only in two copies of 800
      driving ahead. I am delighted we will                      Let me turn to my distinguished col-                 pages, making it impossible for us to
      do that. It is important.                                league, the chairman of the committee,                 offer our second-degree amendments.
        We have the supplemental, some-                        to comment. If so, we would proceed.                     What happened when we shared what
      thing we absolutely have to deal with.                     Mr. REID. If I could, briefly, before                we wanted to offer in an amendment?
      We can deal with that tomorrow and                       the majority leader leaves, if the pro-                We ended up getting an e-mail threat
      hopefully that can be done and wrapped                   posal is the bill that passed the Senate               back from the majority side saying, if
      up in a very short period of time.                       88–11 last year be brought to the Senate               you offer your amendment, we are
        Last night, to clarify, I did file a                   floor today in the form it passed, you                 going to do X to you. So much for shar-
      Frist amendment which includes the                       got yourself a deal.                                   ing ideas about amendments. It is no
      text of S. 14 as reported by the Energy                    Mr. DOMENICI. No amendments and                      secret this Senator from the State of
      Committee. It includes the ethanol                       passed, as is, and sent to conference.                 Washington, who believes this under-
      amendment already adopted by the                         Could we have just a few moments and                   lying electricity title could potentially
      Senate, it includes the Bond-Levin                       come back and discuss it with you?                     move higher cost electricity onto the
      CAFE amendment, it includes the                            Mr. REID. Yes.                                       transmission lines in my State and ul-
      Domenici electricity substitute, and                       Mr. DOMENICI. Mr. President, I sug-                  timately force my consumers to pay a
      the Finance Committee-reported en-                       gest the absence of a quorum.                          higher rate, doesn’t like the electricity
      ergy tax title. That is the amendment                      Mr. REID. If the Senator will yield,                 title and wants to see it changed. This
      I put forward.                                           we have some people to speak, if the                   Senator from Washington State does
        As I said earlier in the day, to facili-               Senator will withhold the request.                     not believe that my State should be
      tate the amendments which I hope the                       Mr. DOMENICI. I withhold.                            forced into that kind of regional trans-
      Democrats will bring forward if they                       The PRESIDING OFFICER. The Sen-                      mission organization planning or
      have them, I will gladly withdraw the                    ator from Washington.                                  standard market design planning in
      first and second-degree amendments to                      Ms. CANTWELL. Mr. President, I                       which my region might get charged
      offer them, to allow them the oppor-                     know my colleagues have now for the                    higher electricity rates while the State
      tunity to offer their amendments to                      last hour discussed the fact that we                   of Texas gets a sweetheart deal.
      push this debate forward. I would be                     need to move on an energy plan and                       Yes, that is right. The State of Texas
      glad to enter into time agreements on                    yet allow Members to have some dis-                    gets a sweetheart deal because they are
      their respective amendments in order                     cussion of policy. While I think we now                exempted from that section on regional
      to move forward.                                         have a proposal to discuss, it is impor-               transmission organizations and stand-
        I will not withdraw this cloture vote                  tant to point out we were very willing                 ard market design. If this electricity
      tomorrow. The more I hear the other                      to talk about an electricity title. We                 title is so good for all of America, why



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                              S10479
      isn’t it good for Texas? That is because                   As the Washington Post said yester-                  market manipulation that might hap-
      Texas does not want to share in this                     day in a headline on the front page of                 pen as we continue to see the rise in
      plan. They don’t want to share their                     the     business     section:    ‘‘Energy              natural gas prices. We should have that
      power, and they don’t want to nec-                       Monoliths Could Return.’’ There was                    debate.
      essarily have their transmission lines                   more debate yesterday in the Wash-                       No. 3, we could have a debate about
      with higher cost energy on them. I                       ington Post about the Dayton amend-                    whether we really understand what re-
      don’t want it in my region. But I know                   ment trying to stop the return of this                 gional transmission organizations and
      this: If it is good for me, it ought to be               monolith than there has been on the                    standard market design actually do.
      good for them.                                           floor of the Senate.                                     I can’t tell you how many people in
        The bottom line is the other side of                     I think the public should get their                  California thought it was no big deal
      the aisle doesn’t want to take the time                  due. They paid $6 billion. Gee, for $6                 about how most of the legislators
      to hear about electricity amendments                     billion in increased power rates you                   didn’t really understand what was
      and debate them. With the west coast                     ought to at least give them a couple of                going on in the legislation and went
      economy getting a $6 billion black eye,                  days on the Senate floor to talk about                 ahead and passed it only to then find
      that is $6 billion that the ratepayers                   these issues. These issues are a signifi-              out that basically they had turned
      have had to pay because of increased                     cant change to current law. The whole                  electricity over to the free market.
      energy prices, when the market has                       notion of regional transmission organi-                Electricity isn’t just a commodity; it is
      been knowingly manipulated. That was                     zations and standard market design is                  a necessity. People need it. They can-
      admitted to by Enron, admitted to by                     a move toward deregulation that this                   not be gouged by high prices. That is
      the Department of Justice citing                         body ought to understand and under-                    exactly what has happened.
      Enron’s manipulation, it has been ad-                    stand well.                                              We ought to debate whether we un-
      mitted by the Federal Energy Regu-                         Since the Federal Energy Regulatory                  derstand what regional transmission
      latory Commission that such manipu-                      Commission decided even though the                     organizations and standard market de-
      lation has happened. We ought to have                    markets had been manipulated they                      sign really do.
      our day here on the Senate floor.                                                                                 I am all for joining with my col-
                                                               were not going to give relief to west
        The distinguished majority leader                                                                             leagues if they want to make this a
                                                               coast ratepayers, we have not even had
      said let’s not talk about the politics of                                                                       voluntary experiment. If they want to
                                                               a hearing. We have not even had a
      this. But I have to say I don’t want to                                                                         make this section of the electricity
                                                               hearing. That was just a few weeks
      stand here and be part of what he is la-                                                                        title voluntary, I am happy to make it
                                                               ago.
      beling as obstruction when this is the                                                                          voluntary. But it is not voluntary now.
                                                                 For 21⁄2 years my colleague and staff
      body to which my constituents look to                                                                           It is a mandate. The Federal Energy
                                                               member, Angela Becker-Dippman, and
      have their issues debated. This is the                                                                          Regulatory Commission came up with
                                                               myself have probably paid more atten-
      place where we come to represent con-                                                                           hearings, with pricing schemes, and
                                                               tion to the energy issue than just
      stituents. This is their opportunity to                                                                         with a rule that would ultimately go
                                                               about anybody in this body, save
      be heard. I am their representative. I                                                                          into place after 2005. So wait 2 years to
                                                               maybe the California Members. Why?
      have the right to offer amendments                                                                              get your plans in place and then imple-
                                                               Because a crisis happened in our State
      dealing with one of the biggest pyr-                                                                            ment them.
                                                               starting in late 2000, and we lobbied for                As the Senator from North Dakota
      amid schemes, financial crises to affect
                                                               price caps. We asked, before the Fed-                  adequately explained, this isn’t about
      the Northwest. I deserve to be heard.
                                                               eral Energy Regulatory Commission:                     whether we are going to build a na-
      My constituents deserve to be heard.
        My constituents did not get invited                    Give our State relief. It took them a                  tional grid system and whether cheap
      to a meeting at the White House with                     year plus, a year and a half before they               electricity in his region is going to get
      Vice President DICK CHENEY to talk                       finally came in with any relief.                       displaced by more costly electricity
      about the energy plan. They were not                       Then people said it was all about sup-               from somewhere else and forced on his
      invited.                                                 ply and don’t worry, it is all going to                consumers. Why should he agree to
        My constituents didn’t get a pass-                     get straightened out. It is not about                  that? We need to have a debate about
      word code to get on the conference call                  manipulation. Nobody manipulated                       whether we really know and under-
      with the Federal Energy Regulatory                       anything.                                              stand where this title is leading us. I
      Commission when they discussed with                        Then we find out they actually ma-                   am happy to do that. I am happy to do
      Wall Street financiers of Enron what                     nipulated something and admitted it.                   it. More importantly, I am happy to do
      legal standard they were going to use                    They said: Don’t worry, you’ll have                    it on Saturday.
      in reviewing the contracts of Enron,                     your day. It will all go before the Fed-                 My constituents deserve to be heard
      and whether ratepayers were going to                     eral Energy Regulatory Commission.                     on this issue. When they are stuck with
      get relief. My constituents didn’t get                   They will take care of it. Something                   a 56-percent rate increase for the next
      that password code. We didn’t get to be                  will happen.                                           5 years because they signed an Enron
      on that call.                                              They have done nothing to protect                    contract and they get no relief from
        My constituents don’t have high-paid                   the consumers once that manipulation                   the Federal Government, they deserve
      lobbyists like the Weststar Company,                     was known. They have done nothing.                     to be heard. When Enron can turn
      which is under Federal investigation                     They have done nothing but get on a                    around and sue them to continually
      for their donations to various political                 phone call with the financiers of the                  force my ratepayers to pay a higher
      groups that were all keyed around try-                   Enron deal and say to them, in private                 rate on manipulated contracts, they
      ing to influence the energy policy of                    password conversations: Don’t worry,                   deserve to be heard.
      this body.                                               you’ll be protected.                                     I am not being an obstructionist. The
        We may not win on our amendments                         So, yes, my amendments deserve de-                   majority leader talked about doing
      about market manipulation and im-                        bate. We are not going to be an apolo-                 something in the public interest. This
      proving the way energy policy is regu-                   gist for Enron, nor condone their ac-                  is about the public interest. This is
      lated, but, by God, we deserve to be                     tions. But we should have a healthy                    about saying this body is going to pro-
      heard on this Senate floor and have a                    policy debate about:                                   tect consumers from market manipula-
      debate about electricity. You cannot                       No. 1, whether this country needs                    tion. We are not going to guess at it.
      have an amendment like that of Sen-                      more deregulation of the energy indus-                 We are not going to pretend that we
      ator DAYTON that basically is trying to                  try. Why not have that debate? Some                    know.
      stop the repeal of the consumer protec-                  of my colleagues on the Democratic                       We are not going to pass something
      tion law that is currently on the books,                 side of the aisle actually believe there               the Attorney General from New York
      that the Domenici underlying title                       should be deregulation. I don’t agree                  sends us a letter about basically say-
      erases, and not have a debate on that.                   with them. What is wrong with having                   ing, Excuse me. Thanks for your hard
      How can you not have a debate on the                     that debate?                                           work, but you are not getting it done.
      Dayton amendment that stops the re-                        No. 2, we ought to debate whether we                 Your language not only doesn’t protect
      peal of the Public Utility Holding Com-                  have enough consumer protection in                     us enough but it might actually under-
      pany Act?                                                this legislation to protect from future                mine the current State laws that are in



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      S10480                                             CONGRESSIONAL RECORD — SENATE                                                           July 31, 2003
      place. Or a letter from the National Se-                   Mrs. BOXER. Mr. President, the rea-                  colleagues to say: Wait. Stop. Time
      curities Exchange executive saying the                   son I waited for 2 hours this morning to               out. Don’t go down that path that we
      same thing. The National Securities                      speak today is to send a warning to my                 went down.
      Exchange doesn’t say they think the                      colleagues. Read what you are about to                   In the midst of the crisis, I got a let-
      language in the underlying bill curtails                 do. I find it incredible that instead of               ter from a gentleman who lives in
      their efforts on getting the kind of                     continuing on the present path—which                   Bishop, CA. I ask unanimous consent
      oversight that needs to happen to pro-                   is to amend the electricity title in a                 to have that letter printed in the
      tect consumers from market manipula-                     way that would make it better, in ways                 RECORD.
      tion.                                                    that would protect the American peo-                     There being no objection, the mate-
        I couldn’t disagree more with the ma-                  ple from the type of scam we witnessed                 rial was ordered to be printed in the
      jority leader. I supported the Energy                    in the west coast, which in my State                   RECORD, as follows:
      bill last year. I wanted to get it out                   alone cost us about $9 billion, if not                                              ZACK RANCH,
      here. I didn’t like everything in it. I                  more, and which is responsible for                                          Bishop, CA, April 8, 2001.
      was willing to compromise to move                        about a third of the problems we are                   Senator BARBARA BOXER,
      something ahead. But a financial dis-                    facing financially in my State—instead                 Hart Senate Office Building.
      aster happened in my State and it is                                                                            Washington, DC
                                                               of fixing that electricity title, what do                DEAR SENATOR BOXER: I am writing to ask
      going to continue for years to come.                     we have? We have an amendment filed                    for your help. Our family has owned and op-
      This electricity title on which the ma-                  stopping our ability to make any                       erated an alfalfa ranch in the Hammil Valley
      jority party has filed a motion to com-                  changes to it, and which, by the way,                  since 1965. Our crop is irrigated in the sum-
      mit prohibits us from offering those                     eviscerates all of the 21 amendments                   mer with water pumped from wells, by elec-
      amendments. Maybe our leadership is                      we have worked so hard on during the                   tric pumps. We have just been informed by
      in the back room working out some                        8 days we have been on this bill, includ-              Edison that our power rate will double this
      sort of agreement. Maybe they are                                                                               summer, and will possibly be raised beyond
                                                               ing amendments by Republicans and
      back there saying let us start back-                                                                            that in the future. Since we have a narrow
                                                               Democrats alike, dealing with biomass,                 profit margin to begin with, this will effec-
      ward on the electricity title. Maybe                     LIHEAP, oil independence, clean coal,                  tively put us out of business. Edison has told
      they are bifurcating some of these                       hydrogen, and so on.                                   us that there is to be no break for farmers.
      issues about supply.                                       Even the 21 amendments we worked                     In the past we have been on a ‘‘time of use’’
        But why not say to the American                        so hard on have been left out of this                  program in the summer where we pump only
      public we are going to make clear to                     bill which is now pending, and if we go                during off peak hours, but we aren’t able to
      you there is no doubt that this isn’t a                  to it, those 21 amendments will be                     find if this program will continue. Any infor-
      supply issue, and we have made sure                      gone.                                                  mation you can offer, or any help you can
      manipulation has been taken care of?                       I also hope that leadership is working               give us, will be greatly appreciated.
        We cannot leave here giving the                                                                                     Sincerely,
                                                               now to straighten out where we are. We                                                   ANN ZACK.
      American people the impression that if
                                                               are in chaos, in my opinion, right now.
      you have enough money you can rely                                                                                Mrs. BOXER. This gentleman wrote
                                                                 When the majority leader says we
      on the energy policy. Electricity is a                                                                          to me. His name is Zack Ranch. Actu-
                                                               need an Energy bill, I want to say we
      necessity, and we need to fight to make                                                                         ally, his wife wrote:
                                                               need a good Energy bill.
      it affordable. This Member will stand                      The last thing we need is a bad En-                    I am writing to ask your help. Our family
      here for as long as it takes to make                     ergy bill. Let’s look at this bill. This
                                                                                                                      has owned and operated an alfalfa ranch in
      sure my constituents have their day on                                                                          the Hammil Valley since 1965. Our crop is ir-
                                                               bill has an electricity title which goes               rigated in the summer with water pumped
      these amendments.
                                                               forward with deregulation in the face                  from wells, by electric pumps. We have just
        I yield the floor.
        The PRESIDING OFFICER (Mr.                             of the disaster we had on the west                     been informed by Edison that our power rate
      GRAHAM of South Carolina). The Sen-                      coast. Why colleagues would go ahead                   will double this summer, and will possibly be
                                                               with this is beyond me.                                raised beyond that in the future. Since we
      ator from California.                                                                                           have a narrow profit margin to begin with,
        Mrs. BOXER. Mr. President, thank                         But I have to say, in California,
                                                               every single member of the legisla-                    this will effectively put us out of business.
      you very much. I thank my colleague                                                                             Edison has told us that there is to be no
      from Washington for her continued                        ture—Republican and Democrat—years
                                                                                                                      break for farmers. In the past, we have been
      leadership and information about what                    ago voted for such a bill. It was signed               on a ‘‘time of use’’ program in the summer
      is a very complicated matter. It isn’t                   by Pete Wilson, who is the one who                     where we pump only during off peak hours,
      easy to understand and follow all the                    brought it to the legislature. And it led              but we aren’t able to find if this program
      market manipulation that occurred in                     to a total disaster. So maybe my col-                  will continue. Any information you can
      our Western States. But she has ex-                      leagues don’t understand the fact that                 offer, or any help you can give us, will be
                                                               this is one where you better read every                greatly appreciated.
      plained it. I intend to do so as well.
        Let me say this: When the majority                     line and you better understand what                      Well, we lost so many small busi-
      leader says we have to have an Energy                    you are voting for because this one                    nesses and farmers during this period.
      bill, I agree we need an Energy bill.                    could come back to bite you really                     It would have been worse if the State
      However, we need a good Energy bill.                     hard.                                                  did not go in. Governor Davis, at that
      We don’t need a bad Energy bill. If we                     In the bill we have huge subsidies for               time, took over from the power compa-
      have an Energy bill which doesn’t at-                    nuclear power. We don’t even know                      nies and protected the people from the
      tack what happened in the west coast,                    what to do with the waste. I see my                    types of increases that consumers in
      then I want to say to my colleagues                      colleague from Nevada crossing the                     Washington had, although we went up
      from every State in the Union—and I                      floor. He is struggling with this. What                25 percent, which is very hard to take,
      will be speaking for about 15 or 20 min-                 are you going to do with the waste that                especially for a small business that is
      utes—I will tell every colleague here                    lasts thousands of years that is so dan-               working on a small profit margin.
      from every State in the Union their                      gerous? We don’t even know. But this                     Let me show you a chart that dem-
      people could very well go through what                   subsidizes new nuclear powerplants.                    onstrates what happened to us at the
      my people went through in California.                      This bill has done nothing about fuel                height of our problems. This is the
        Mrs. HUTCHISON. Mr. President,                         economy—zilch. The amendment that                      Enron scam. I would say to you, Mr.
      will the Senator yield for a unanimous                   passed was backed, frankly, by the big                 President, in this bill it is even going
      consent request that I be allowed to                     auto companies, and it does nothing, at                to be worse for your people because
      speak immediately following her?                         a time when we are hoping to change                    this bill has done away with the one
        Mrs. BOXER. Absolutely.                                our dependence on foreign oil.                         agency that protects you against big
        Mrs. HUTCHISON. I ask unanimous                          What we have is a bill that ignores                  mergers; it has essentially eviscerated
      consent to be recognized immediately                     what happened to us in California. I see               the power of the FERC.
      following the remarks of the Senator                     that my senior Senator is here. And no                   In this situation, eventually FERC
      from California.                                         one knows better than she and I what                   was able to step in. But what we have
        The PRESIDING OFFICER. Without                         this has meant to our people. And we                   done in this bill so far is not going to
      objection, it is so ordered.                             are trying to be good colleagues to our                make that possible.



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                    S10481
        Let me show you what happened with                     would come up with we would stop                       purports to identify the source of the ancil-
      the wholesale electricity prices. It                     these shenanigans. And we can’t put                    lary services.
                                                               Ken Lay in jail here. That is up to the                  The traders are careful, however, to be
      started to spike up when all these
                                                                                                                      sure to buy services right at 9:00 a.m. so that
      scams—unbeknownst to us; I will go                       courts. It is up to the Attorney Gen-                  Enron is not actually called upon to provide
      into those scams—hit. Enron led these                    eral. We can’t put Jeffrey Skilling in                 ancillary services.
      scams. Other companies apparently did                    jail. We can’t get the money back to
                                                                                                                        That comes straight out of the law-
      the same. The prices peaked over here,                   the people. But what we can do is make
                                                                                                                      yer’s letter.
      way up here. And then they started to                    sure this does not happen again. And                     I ask unanimous consent to print the
      go down when the rate caps were                          we are not doing it. That is why we are                letter in the RECORD.
      placed in.                                               so upset.                                                There being no objection, the letter
        In between this period and this pe-                      And when colleagues on the other
                                                                                                                      was ordered to be printed in the
      riod, as shown on the chart, our people                  side say let’s stop talking about this;
                                                                                                                      RECORD, as follows:
      suffered greatly. This represents a                      we have talked for 16 days, the truth is                                    STOEL RIVES LLP,
      theft of about $9 billion from my people                 we have talked for 8 days. The truth is                                             Memorandum,
      into the pockets of unscrupulous en-                     they are putting in judges, controver-                                                December 6, 2000.
      ergy companies led by Enron.                             sial judges. And I have one from my                    To: Richard Sanders
        Let me tell you what happened dur-                     State the two Senators from my State                   From: Christian Yoder and Stephen
      ing this period. We have an overlay for                  oppose. They are throwing that in the                                                     Hall
                                                               mix, when we ought to be talking                       Re: Traders’ Strategies in the California
      this chart which I showed at the Com-
                                                               about this issue.                                             Wholesale Power Markets/ISO Sanctions.
      merce Committee which investigated
                                                                 I want to show you one more thing                     CONFIDENTIAL: ATTORNEY/CLIENT PRIVILEGE/
      this matter. Just to add a little spice                                                                                      ATTORNEY WORK PRODUCT
      to it, this overlay shows how much                       before I put away this chart. During
                                                               this period of time, the California dele-                 This memorandum analyzes certain trad-
      money Ken Lay and Jeffrey Skilling,                                                                             ing strategies that Enron’s traders are using
      the two corporate leaders—if I could                     gation, Republicans and Democrats
                                                                                                                      in the California wholesale energy markets.
      use that term—of Enron, made during                      alike, went to seek DICK CHENEY. We
                                                                                                                      Section A explains two popular strategies
      this period when we were being ripped                    begged him to take action. We begged                   used by the traders, ‘‘inc-ing’’ load and re-
      off.                                                     him to take action. We said: You are                   lieving congestion. Section B describes and
        Mr. Lay sold $5 million worth of                       an expert on energy. You know this is                  analyzes other strategies used by Enron’s
      stock here in December 2000, $6 million                  a scam. We showed him a chart which                    traders, some of which are variations on
      worth of stock in February of 2001, and                  showed that plants were being taken                    ‘‘inc-ing’’ load or relieving congestion. Sec-
                                                               offline for so-called maintenance at a                 tion C discusses the sanction provisions of
      another $3 million worth of stock in                                                                            the California Independent System Operator
      May of 2001.                                             rate that was about 10 times higher
                                                               than had been the normal case. So we                   (‘‘ISO’’) tariff.
        Mr. Skilling made millions of dollars                                                                                          A. THE BIG PICTURE
      as well. So here we are: $3 million, $3                  were getting shorted electricity on pur-
                                                               pose—manipulation.                                        1. ‘‘Inc-ing’’ Load Into The Real Time Mar-
      million, and $2 million, the number of                                                                          ket
                                                                 We went to DICK CHENEY and we said:
      shares they sold into the hundreds of                                                                              One of the most fundamental strategies
                                                               Can you help us? Do you know what he
      thousands. And the price per share,                                                                             used by the traders is referred to as ‘‘ ‘inc-
                                                               said? I will never forget it. He said: Lis-            ing’ load into the real time market.’’ Accord-
      they sold out between $85 and $54.
        When it was all over, where were the                   ten, I have one thing to say to you.                   ing to one trader, this is the ‘oldest trick in
                                                               Your people use too much energy.                       the book’ and, according to several of the
      employees of Enron? Flat broke. They
                                                                 Well, let me say, my people are No. 1                traders, it is now being used by other market
      lost their jobs. They lost their life sav-
                                                               in terms of the least energy used per                  participants.
      ings.                                                    capita. Let me repeat that: the least                     To understand this strategy, it is impor-
        They knew what they were doing.                                                                               tant to understand a little about the ISO’s
                                                               energy used per capita. And look at
      They were ripping off the people of my                                                                          real-time market. One responsibility of the
                                                               this chart. As we saw the spikes go up,
      State and selling their stock. And they                                                                         ISO is to balance generation (supply) and
                                                               demand was going down. This was not
      are not in jail.                                         a market. This was manipulation.
                                                                                                                      loads (demand) on the California trans-
        What do we do in this bill? We make                                                                           mission system. During its real-time energy
                                                                 Demand was down; electricity was                     balancing function the ISO pays/charges
      it possible for that to continue because                 soaring. What MARIA CANTWELL and
      the electricity title does nothing but                                                                          market participants for increasing/decreas-
                                                               PATTY MURRAY and I and Senator FEIN-                   ing their generation. The ISO pays/charges
      make matters worse by tying the                          STEIN are trying to tell you is, don’t let             market participants under two schemes: ‘‘in-
      hands of the people who could stop this                  the California experience go to waste.                 structed deviations’’ and ‘‘uninstructed devi-
      nonsense from happening.                                 Look at what happened to us. Look at                   ations.’’ Instructed deviations occur when
        So when we get a little bit upset and                  the corporate thieves that pocketed                    the ISO selects supplemental energy bids
      emotional, it is because we have met                     millions of dollars while our people                   from generators offering to supply energy to
      with the people in our State. We know                                                                           the market in real time in response to ISO
                                                               were taken to the cleaners, while the
      how they have suffered. We have met                                                                             instructions. Market participants that in-
                                                               employees of these companies lost                      crease their generation in response to in-
      with the business community. We                          their jobs, lost their pensions. If I have             structions (‘‘instructed deviation’’) from the
      know what happened. And we don’t see                     to see another one of these cases again,               ISO are paid the ‘‘inc’’ price. Market partici-
      Ken Lay in jail. We don’t see Jeffrey                    it would just be tragic. Can’t we learn                pants that increase their generation without
      Skilling in jail. Do you know what?                      from history? That is what we are sup-                 an       instruction    from    the   ISO     (an
      That is up to the administration to go                   posed to do, learn from history.                       ‘‘uninstructed deviation’’) are paid the ex
      after them. I urge them to do it. They                     So when we stand up and say we want                  post ‘‘dec’’ price. In real-time, the ISO issues
      are going after Martha Stewart. They                     to fight for our amendments, we want                   instructions and publishes ex post prices at
      went after Sam Waksal. Fine. Go after                    to make sure that the Federal Govern-                  ten-minute intervals.
      people who do bad things.                                                                                          ‘‘ ‘Inc-ing load’ into the real-time market’’
                                                               ment can step in and stop this robbery,                is a strategy that enables Enron to send ex-
        What happened here is a disaster.                      it isn’t because we are trying to derail               cess generation to the imbalance energy
      These     men    pocketed     tremendous                 anything. If anything, we are trying to                market as an uninstructed deviation. To par-
      amounts of money. The people who                         get an Energy bill on track that is                    ticipate in the imbalance energy market it is
      worked for them lost their jobs, lost                    going to spare other States the tragedy                necessary to have at least 1 MW of load. The
      their retirement. People all over the                    that our State experienced.                            reason for this is that a generator cannot
      country went broke with their pension                      It isn’t anything about too much de-                 schedule energy onto the grid without hav-
      plans. And this electricity title does                   mand. Our demand was down, and the                     ing a corresponding load. The ISO requires
      nothing at all to stop this from hap-                                                                           scheduling coordinators to submit balanced
                                                               prices soared. Why did that happen?                    schedules; i.e., generation must equal load.
      pening.                                                  Because scams were put into place. I                   So, if load must equal generation, how can
        Now, I never thought I would have to                   will just show a few of these scams.                   Enron end up with excess generation in the
      come out on the floor and bring out                        Here is Get Shorty:                                  real-time market?
      these charts again because, honest to                      In order to short the ancillary services, it            The answer is to artificially increase
      God, I thought in the Energy bill we                     is necessary to submit false information that          (‘‘inc’’) the load on the schedule submitted




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      S10482                                             CONGRESSIONAL RECORD — SENATE                                                             July 31, 2003
      to the ISO. Then, in real-time, Enron sends              created by Enron’s traders in the PX’s Day              direction of a constrained line, Enron gets
      the generation it scheduled, but does not                Ahead Market. In order to relieve trans-                paid for the counterflow. Enron also avoids
      take as much load as scheduled. The ISO’s                mission congestion (i.e., the energy sched-             paying ancillary service charges for this ex-
      meters record that Enron did not draw as                 uled for delivery exceeds the capacity of the           port because the energy is non-firm, and the
      much load, leaving it with an excess amount              transmission path), the ISO makes payments              ISO tariff does not require the purchase of
      of generation. The ISO gives Enron credit for            to parties that either schedule transmission            ancillary services for non-firm energy.
      the excess generation and pays Enron the                 in the opposite direction (‘‘counterflow pay-              c. Second, Enron buys transmission from
      dec price multiplied by the number of excess             ments’’) or that simply reduce their genera-            COB to Lake Mead at tariff rates to serve
      megawatts. An example will demonstrate                   tion/load schedule.                                     the import. The transmission line from COB
      this. Enron will submit a day-ahead schedule                Many of the strategies used by the traders           to Lake Mead is outside of the ISO’s control
      showing 1000 MW of generation scheduled for              involve structuring trades so that Enron                area, so the ISO is unaware that the same
      delivery to Enron Energy Services (‘‘EES’’).             gets paid the congestion charge. Because the            energy being exported from Lake Mead is si-
      The ISO receives the schedule, which says                congestion charges have been as high as $750/           multaneously being imported into Lake
      ‘‘1000 MW of generation’’ and ‘‘1000 MW of               MW, it can often be profitable to sell power            Mead. Similarly, because the COB to Lake
      load.’’ The ISO sees that the schedule bal-              at a loss simply to be able to collect the con-         Mead line is outside the ISO’s control area,
      ances and, assuming there is no congestion,              gestion payment.                                        Enron is not subject to payment of conges-
      schedules transmission for this transaction.                 B. REPRESENTATIVE TRADING STRATEGIES                tion charges because transmission charges
      In real-time, Enron sends 1000 MW of genera-                                                                     for the COB to Lake Mead line are assessed
      tion, but Enron Energy Services only draws                  The strategies listed below are examples of
                                                                                                                       based on imbedded costs.
      500 MW. The ISO’s meters show that Enron                 actual strategies used by the traders, many
                                                                                                                          d. The ISO probably cannot readily detect
      made a net contribution to the grid of 500               of which utilize the two basic principles de-
                                                                                                                       this practice because the ISO only sees what
      MW, and so the ISO pays Enron 500 times the              scribed above. In some cases, the strategies
                                                                                                                       is happening inside its control area, so it
      dec price.                                               are identified by the nicknames that the
                                                                                                                       only sees half of the picture.
         The traders are able to anticipate when the           traders have assigned to them. In some                     e. The net effect of these transactions is
      dec price will be favorable by comparing the             cases, i.e., ‘‘Fat Boy,’’ Enron’s traders have          that Enron gets paid for moving energy to
      ISO’s forecasts with their own. When the                 used these nicknames with traders from                  relieve congestion without actually moving
      traders believe that the ISO’s forecast under-           other companies to identify these strategies.           any energy or relieving any congestion.
      estimates the expected load, they will inc                  1. Export of California Power                           3. ‘‘Load Shift’’
      load into the real time market because they                 a. As a result of the price caps in the PX              a. This strategy is applied to the Day-
      know that the market will be short, causing              and ISO (currently $250), Enron has been able           Ahead and the real-time markets.
      a favorable movement in real-time ex post                to take advantage of arbitrage opportunities               b. Enron shifts load from a congested zone
      prices. Of course, the much-criticized strat-            by buying energy at the PX for export out-              to a less congested zone, thereby earning
      egy of California’s investor-owned utilities             side California. For example, yesterday (De-            payments for reducing congestion, i.e., not
      (‘‘IOUs’’) of underscheduling load in the day-           cember 5, 2000), prices at Mid-C peaked at              using our FTRs on a constrained path.
      ahead market has contributed to the real-                $1200, while California was capped at $250.                c. This strategy requires that Enron have
      time market being short. The traders have                Thus, traders could buy power at $250 and               FTRs connecting the two zones.
      learned to build such underscheduling into               sell it for $1200.                                         d. A trader will overschedule load in one
      their models, as well.                                      b. This strategy appears not to present any          zone, i.e., SP–15, and underschedule load in
         Two other points bear mentioning. Al-                 problems, other than a public relations risk            another zone, i.e., NP–15.
      though Enron may have been the first to use              arising from the fact that such exports may                Such scheduling will often raise the con-
      this strategy, others have picked up on it,              have contributed to California’s declaration            gestion price in the zone where load was
      too. I am told this can be shown by looking              of a Stage 2 Emergency yesterday.                       overscheduled.
      at the ISO’s real-time metering, which shows                2. ‘‘Non-firm Export’’                                  The trader will then ‘‘shift’’ the oversched-
      that an excess amount of generation, over                   a. The goal is to get paid for sending en-           uled ‘‘load’’ to the other zone, and get paid
      and above Enron’s contribution, is making it             ergy in the opposite direction as the con-              for the unused FTRs. The ISO pays the con-
      to the imbalance market as an uninstructed               strained path (counterflow congestion pay-              gestion charge (if there is one) to market
      deviation. Second, Enron has performed this              ment). Under the ISO’s tariff, scheduling co-           participants that do not use their FTRs. The
      service for certain other customers for which            ordinators that schedule energy in the oppo-            effect of this action is to create the appear-
      it acts as scheduling coordinator. The cus-              site direction of the congestion on a con-              ance of congestion through the deliberate
      tomers using this service are companies such             strained path get paid the congestion                   overstatement of loads, which causes the ISO
      as Powerex and Puget Sound Energy                        charges, which are charged to scheduling co-            to charge congestion charges to supply
      (‘‘PSE’’), that have generation to sell, but no          ordinators scheduling energy in the direction           scheduled for delivery in the congested zone.
      native California load. Because Enron has                of the constraint. At times, the value of the           Then, by reverting back to its true load in
      native California load through EES, it is                congestion payments can be greater than the             the respective zones, Enron is deemed to
      able to submit a schedule incorporating the              value of the energy itself.                             have relieved congestion, and gets paid by
      generation of a generator like Powerex or                   b. This strategy is accomplished by sched-           the ISO for so doing.
      PSE and balance the schedule with                        uling non-firm energy for delivery from SP–                e. One concern here is that by knowingly
      ‘‘dummied-up’’ load from EES.                            15 or NP–15 to a control area outside Cali-             increasing the congestion costs, Enron is ef-
         Interestingly, this strategy appears to ben-          fornia. This energy must be scheduled three             fectively increasing the costs to all market
      efit the reliability of the ISO’s grid. It is well       hours before delivery. After two hours,                 participants in the real time market.
      known the California IOUs have systemati-                Enron gets paid the counterflow charges. A                 f. Following this strategy has produced
      cally underscheduled their load in the PX’s              trader then cuts the non-firm power. Once               profits of approximately $30 million for FY
      Day-Ahead market. By underscheduling                     the non-firm power is cut, the congestion re-           2000.
      their load into the Day-Ahead market, the                sumes.                                                     4. ‘‘Get Shorty’’
      IOUs have caused the ISO to have to call on                 c. The ISO posted notice in early August                a. Under this strategy, Enron sells ancil-
      energy in real time in order to keep the                 prohibiting this practice. Enron’s traders              lary services in the Day-ahead market.
      transmission system in balance. In other                 stopped this practice immediately following                b. Then, the next day, in the real-time
      words, the transmission grid is short energy.            the ISO’s posting.                                      market, a trader ‘‘zeroes out’’ the ancillary
      By deliberately overscheduling load, Enron                  d. The ISO objected to the fact that the             services, i.e., cancels the commitment and
      has been offsetting the ISO’s real time en-              generators were cutting the non-firm energy.            buys ancillary services in the real-time mar-
      ergy deficit by supplying extra energy that              The ISO would not object to this transaction            ket to cover its position.
      the ISO needs. Also, it should be noted that             if the energy was eventually exported.                     c. The profit is made by shorting the ancil-
      in the ex post market Enron is a ‘‘price                    Apparently, the ISO has heavily docu-                lary services, i.e., sell high and buy back at
      taker,’’ meaning that they are not submit-               mented Enron’s use of this strategy. There-             a lower price.
      ting bids or offers, but are just being paid             fore, this strategy is the more likely than                d. One concern here is that the traders are
      the value of the energy that the ISO needs.              most to receive attention from the ISO.                 applying this strategy without having the
      If the ISO did not need the energy, the dec                 2. ‘‘Death Star’’                                    ancillary services on standby. The traders
      price would quickly drop to $0. So, the fact                a. This strategy earns money by sched-               are careful, however, to be sure to buy serv-
      that Enron was getting paid for this energy              uling transmission in the opposite direction            ices right at 9:00 a.m. so that Enron is not
      shows that the ISO needed the energy to bal-             of congestion; i.e., schedule transmission              actually called upon to provide ancillary
      ance the transmission system and offset the              north in the summertime and south in the                services. However, once by accident, a trader
      IOU’s underscheduling (if those parties own              winter, and then collecting the congestion              inadvertently failed to cover, and the ISO
      Firm Transmission Rights (‘‘FTR’’) over the              payments. No energy, however, is actually               called on those ancillary services.
      path).                                                   put onto the grid or taken off.                            e. This strategy might be characterized as
         2. Relieving Congestion                                  b. For example, Enron would first import             ‘‘paper trading,’’ because the seller does not
         The second strategy used by Enron’s trad-             non-firm energy at Lake Mead for export to              actually have the ancillary services to sell.
      ers is to relieve system-wide congestion in              the California-Oregon border (‘‘COB’’). Be-             FERC recently denied Morgan Stanley’s re-
      the real-time market, which congestion was               cause the energy is traveling in the opposite           quest to paper trade on the New York ISO.




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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                   S10483
         The ISO tariff does provide for situations            counterflow even if they do not have any ex-            where the lawyers were, in essence,
      where a scheduling coordinator sells ancil-              cess generation. In real time, the ISO will             going into all of these schemes and ba-
      lary services in the day ahead market, and               see that Enron did deliver the energy it                sically telling Enron they were running
      then reduces them in the day-of market.                  promised, so it will charge Enron the inc
                                                                                                                       afoul of State law, and yet the schemes
      Under these circumstances, the tariff simply             price for each MW Enron was short. The ISO,
      requires that the scheduling coordinator re-             however, still pays the congestion charge.              continued. They went on and on.
      place the capacity in the hour-ahead market.             Obviously a loophole, which the ISO could                 Here are the rest of the strategies
      ISO Tariff, SBP 5.3, Buy Back of Ancillary               close by simply failing to pay congestion               used that Senator CANTWELL is trying
      Services.                                                charges to entities that failed to deliver the          to do away with, trying to do away
         f. The ISO tariff requires that schedules             energy.                                                 with these schemes. That is why she
      and bids for ancillary services identify the                b. This strategy is profitable whenever the          has a number of amendments.
      specific generating unit or system unit, or in           congestion charge is sufficiently greater                 Death Star:
      the case of external imports, the selling enti-          than the price cap. In other words, since the
                                                                                                                         Enron gets paid for moving energy to re-
      ty. As a consequence, in order to short the              ex post is capped at $250, whenever the con-
                                                                                                                       lieve congestion without actually moving
      ancillary services it is necessary to submit             gestion charge is greater than $250 it is prof-
                                                                                                                       any energy or relieving any congestion.
      false information that purports to identify              itable to schedule counterflows, collect the
      the source of the ancillary services.                    congestion charge, pay the ex post, and keep              This is detailed in the letter I just
         5. ‘‘Wheel Out’’                                      the difference.                                         put in the RECORD.
         a. This strategy is used when the interties                             C. ISO TARIFF                           Load Shift:
      are set to zero, i.e., completely constrained.                                                                     By knowingly increasing the congestion
                                                                  The ISO tariff prohibits ‘‘gaming,’’ which
         b. First, knowing that the intertie is com-                                                                   costs, Enron is effectively increasing the
                                                               it defines as follows:
      pletely constrained, Enron schedules a trans-                                                                    costs to all market participants in the real
                                                                  ‘Gaming,’ or taking unfair advantage of
      mission flow through the system. By so                                                                           time market.
                                                               the rules and procedures set forth in the PX
      doing, Enron earns the congestion charge.
                                                               or ISO Tariffs, Protocols or Activity Rules,              This is a great one. Exporting Cali-
      Second, because the line’s capacity is set to
                                                               or of transmission constraints in periods in            fornia power:
      ‘‘0,’’ the traders know that any power sched-
                                                               which exist substantial Congestion, to the
      uled to go through the intertie will, in fact                                                                      This strategy appears not to present any
                                                               detriment of the efficiency of, and of con-
      be cut. Therefore, Enron earns the conges-                                                                       problems, other than a public relations risk
                                                               sumers in, the ISO Markets. ‘Gaming’ may
      tion counterflow payment without having to                                                                       arising from the fact that such exports may
                                                               also include taking undue advantage of other
      actually send energy through the intertie.                                                                       have contributed to California’s declaration
                                                               conditions that may affect the availability
         c. As a rule, the traders have learned that                                                                   of a Stage 2 Emergency.
                                                               of transmission and generation capacity,
      money can be made through congestion
                                                               such as loop flow, facility outages, level of             They were taking power out of my
      charges when a transmission line is out of
                                                               hydropower output or seasonal limits on en-             State, robbing my State of its power.
      service because the ISO will never schedule
                                                               ergy imports from out-of-state, or actions or           Be careful. This could happen to you.
      an energy delivery because the intertie is
                                                               behaviors that may otherwise render the sys-            As Senator DORGAN said, he gets cheap
      constrained.
                                                               tem and the ISO Markets vulnerable to price
         6. ‘‘Fat Boy’’                                                                                                power. In this bill that cheap power
         a. This strategy is described above in sec-           manipulation to the detriment of their effi-
                                                               ciency.’’ ISO Market Monitoring and Infor-              can be brought out of his State and
      tion A(1).                                                                                                       suddenly they are faced with a lack of
         7. ‘‘Ricochet’’                                       mation Protocol (‘‘MMIP’’), Section 2.1.3.
         a. Enron buys energy from the PX in the                  The ISO tariff also prohibits ‘‘anomalous            power. Is this the kind of Energy bill
      day of market, and schedules it for export.              market behavior,’’ which includes ‘‘unusual             we need so badly, to take these
      The energy is sent out of California to an-              trades or transactions’’; ‘‘pricing and bidding         schemes and allow them to happen in
      other party, which charges a small fee per               patterns that are inconsistent with pre-                your States?
      MW, and then Enron buys it back to sell the              vailing supply and demand conditions’’; and               Inc-ing Load:
      energy to the ISO real-time market.                      ‘‘unusual activity or circumstances relating
                                                               to imports from or exports to other markets               The answer is to artificially increase (inc)
         b. The effect of this strategy on market                                                                      the load on the schedule submitted to the
      prices and supply is complex. First, it is               or exchanges.’’ MMIP, Section 2.1.1 et seq.
                                                                  Should it discover such activities, the ISO          ISO.
      clear that Enron’s intent under this strategy
      is solely to arbitrage the spread between the            tariff provides that the ISO may take the                  It is all fraud. It has all been exposed.
      PX and the ISO, and not to serve load or                 following action:                                       We know now why we faced the kind of
                                                                  1. Publicize such activities or behavior and         crisis we faced. Yet we can’t get col-
      meet contractual obligations. Second, Rico-
                                                               its recommendations thereof, ‘‘in whatever              leagues to listen to Senator CANTWELL,
      chet may increase the Market Clearing Price
                                                               medium it believes most appropriate.’’ MMIP,
      by increasing the demand for energy (In-                                                                         to vote for her amendment. Then we
                                                               Section 2.3.2 (emphasis added).
      creasing the MCP does not directly benefit                                                                       get yelled at that we are not doing the
                                                                  2. The Market Surveillance Unit may rec-
      Enron because it is buying energy from the                                                                       right thing for the country.
                                                               ommend actions, including fines and suspen-
      PX, but it certainly affects other buyers,
                                                               sions, against specific entities in order to               I don’t understand what is going on
      who must pay the same, higher price.) Third,
      Ricochet appears to have a neutral effect on
                                                               deter such activities or behavior. MMIP,                here. If we truly care about our con-
                                                               Section 2.3.2.                                          stituents as we say we do, if we truly
      supply, because it is returning the exported
                                                                  3. With respect to allegations of gaming,            want to fight for our families, if we
      energy as an import. Fourth, the parties that
                                                               the ISO may order ADR procedures to deter-
      pay Enron for supplying energy to the real                                                                       care about our small businesses, why
                                                               mine if a particular practice is better char-
      time ex post market are the parties that
                                                               acterized as improper gaming or ‘‘legitimate            would we pass a bill that allows these
      underscheduled, or underestimated their                                                                          scams to continue? Why do we have to
                                                               aggressive competition.’’ MMIP, Section
      load, i.e., the IOUs.                                                                                            get lectured about the fact we are de-
                                                               2.3.3.
         8. Selling Non-firm Energy as Firm Energy
         a. The traders commonly sell non-firm en-
                                                                  4. In cases of ‘‘serious abuse requiring ex-         railing something? I am trying to spare
                                                               peditious investigation or action’’ the Mar-            what happened to me and my constitu-
      ergy to the PX as ‘‘firm.’’ ‘‘Firm energy,’’ in
                                                               ket Surveillance Unit shall refer a matter to           ents in my State from happening to
      this context, means that the energy includes
                                                               the appropriate regulatory or antitrust en-             you and your constituencies in your
      ancillary services. The result is that the ISO
                                                               forcement agency. MMIP, Section 3.3.4.
      pays EPMI for ancillary services that Enron
                                                                  5. Any Market Participant or interested              States. For that, we are being called
      claims it is providing, but does not in fact                                                                     obstructionist.
                                                               entity may file a complaint with the Market
      provide.                                                                                                            This is another way to look at what
                                                               Surveillance Unit. Following such com-
         b. The traders claim that ‘‘everybody does                                                                    happened. Our demand for electricity
                                                               plaint, the Market Surveillance Unit may
      this,’’ especially for imports from the Pacific
      Northwest into California.
                                                               ‘‘carry out any investigation that it con-              in California during our crisis period
                                                               siders appropriate as to the concern rasied.’’          went up 4 percent. Remember, I told
         c. At least one complaint was filed with
                                                               MMIP, Section 3.3.5.                                    you, we were the most energy efficient.
      the ISO regarding Enron’s practice of doing
                                                                  6. The ISO Governing Board may impose
      this. Apparently, Arizona Public Service sold                                                                    The reason it went up 4 percent is we
                                                               ‘‘such sanctions or penalties as it believes
      non-firm energy to Enron, which turned
                                                               necessary and as are permitted under the                are growing. I must remind you, I rep-
      around and sold the energy to the ISO as                                                                         resent 35 million people. We have the
                                                               ISO Tariff and related protocols approved by
      firm. APS cut the energy flow, and then                                                                          fifth largest economy in the world. So
                                                               FERC; or it may refer the matter to such
      called the ISO and told the ISO what Enron
                                                               regulatory or antitrust agency as it sees fit           our electricity demand went up 4 per-
      had done.
                                                               to recommend the imposition of sanctions                cent and our wholesale cost of elec-
         9. Scheduling Energy To Collect the Con-
                                                               and penalties.’’ MMIP, Section 7.3.                     tricity went up 266 percent.
      gestion Charge II
         a. In order to collect the congestion                   Mrs. BOXER. This is a letter we got                      No business could survive if our
      charges, the traders may schedule a                      ahold of in the Commerce Committee                      State hadn’t come in and taken over



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      S10484                                             CONGRESSIONAL RECORD — SENATE                                                         July 31, 2003
      when the power companies went under.                     and offer their amendments time and                    from our country in the traditional
      Our power companies went under. Our                      time and time again. We have not had                   ways, such as oil and gas exploration
      electric utility companies went under.                   amendments offered; we have not had                    and trying to encourage clean coal, be-
      It is hard to imagine. They had been in                  time agreements; we have not had the                   cause we have an abundance of coal
      business for 100 years or more.                          momentum to move forward on this                       and it can be used in a clean, environ-
        I know my friend from Texas is rar-                    bill.                                                  mentally safe way if we enact the
      ing to give her statement so I won’t go                    Senator FRIST, as is usual around                    amendments and the bill from last year
      on anymore.                                              here, did allow other business to be                   that encourage clean coal develop-
        I think before there are charges of                    done in between because we were not                    ment. It also encourages new forms of
      obstructionism, we ought to take a                       able to make headway on this bill. Sen-                energy—renewable energy, energy that
      deep breath and think about what hap-                    ator FRIST announced at the first of                   comes from different sources, alter-
      pened to the largest State in the                        this week that we were going to finish                 native sources, such as wind and eth-
      Union, when we were scammed by the                       this Energy bill. But time and time                    anol—different sources even than we
      private sector, by people with no mo-                    again, it has broken down, amend-                      know about today—through research.
      rality, by people with no ethics, by                     ments have not come forward, we have                      It is very important that we develop
      people who should be in jail. We were                    not had time agreements, and we have                   our own sources of energy. Nuclear en-
      scammed, and we are trying to prevent                    not been able to move forward.                         ergy is clean energy. It has been wiped
      that from happening all over the coun-                     The bill we are working on is a bill                 out in our country because of the li-
                                                               that came out of committee. It was                     ability and the extremism that has
      try.
        Instead, what we have is a bill that                   hammered out by the committee under                    kept anyone from making an invest-
      makes it easier for these scams to con-                  the leadership of the chairman and the                 ment in a nuclear powerplant for about
                                                               ranking member—the two Senators                        the last 15 years. But nuclear energy is
      tinue. What we have is a bill that con-
                                                               from New Mexico. It came to the floor                  a major source in many European
      tinues on this path that will hurt con-
                                                               in relatively good shape. There were                   countries, and it is very clean and safe
      sumers all over the country.
        What Senator CANTWELL has been                         certainly amendments in order, and                     if it is done right.
                                                               that is the right of every Senator. But                   So I think it is very important that
      fighting for is the opportunity to offer
                                                               it is also the responsibility of a Sen-                we have this bill, or pass last year’s
      amendments. With what has happened
                                                               ator to say what the amendments are,                   bill, and that we stop talking about
      here now, that is no longer possible.
                                                               put them forward, make the argu-                       who is delaying. We have had the bill
      So, yes, some of us are going to con-
                                                               ments, and let’s move on. That is how                  on the floor for a week and we have not
      tinue to tell the story. Some of us are
                                                               you get a bill off the floor. We have                  been able to get through all of the
      going to say: Let us learn from history.
                                                               been thwarted in those efforts time and                stalling. So I think it is time for us to
      This isn’t ancient history; this is 1999
                                                               time and time again.                                   fish or cut bait before we leave. I think
      and 2000.                                                  We import 56 percent of the energy                   a fair offer has been made, and I think
        What we want to do is make sure we                     needs of this country. How can we be so                it is time for us to go forward and pass
      have a system that will protect small                    blind when we see what is happening in                 an Energy bill for our country.
      business and will protect families and                   the Middle East right now? We know                        Let’s have the debate, let’s vote up or
      will protect us all from robber barons                   the Middle East is volatile, we know it                down, and let’s try to use the good
      who come in and set up elaborate                         is the largest source of our imported                  parts of this bill for the future of our
      scams, giving them names: Death Star,                    energy. Yet we have been working on                    country. It encourages new and mar-
      Fat Boy, Get Shorty, Inc-ing, Ricochet.                  this Energy bill for actually 2 years                  ginal well drilling. A lot of people say,
      This isn’t just some one person who                      and, if we don’t pass an Energy bill, we               well, a 13-barrel-a-day well is not going
      had a thought. This was a conspiracy                     are not going to become more self-suf-                 to make us more energy self-sufficient.
      to harm consumers.                                       ficient. How can we miss this oppor-                   But, at one time, before prices got so
        As Senator CANTWELL said, elec-                        tunity? It is an issue of consumer                     low that the little guys could not make
      tricity is a necessity. It is more than a                availability. It is an issue of respon-                it, we had 500,000 marginal wells drill-
      commodity. You can do without a new                      sible regulation. It is also an issue of               ing in our country. That provided a lot
      suit; you can do without a pair of shoes                 security for our country—that we have                  of jobs, and it also equaled the amount
      if you already have one; but you can-                    the supplies that are sufficient so we                 of oil we import from Saudi Arabia
      not do without electricity, if you are in                will not be beholden to any other coun-                every day. But the little guys have
      business or if you live in some of the                   try in the world for our energy needs,                 very low margins at 13 barrels a day,
      desert areas in my State where senior                    and so we will have the ability to keep                and they cannot make it when the
      citizens can get a heatstroke if they                    our economy strong and protect the                     price of oil falls below $18 a barrel. So
      don’t have their air-conditioner on.                     people of our country. At no time was                  if we just have a mechanism by which
      Senator CANTWELL and I and others                        that made more clear than on Sep-                      you get some tax relief if prices fall
      simply want to make sure that what                       tember 11, 2001.                                       below $18 or $17 or $16 a barrel, then
      happened to us does not happen to us                       We need to finish this bill. I think a               those people will know they can stay in
      again and what happened to us does not                   fair offer has been made. It does close                business; they will go out and find the
      happen to you in your States.                            out some amendments. It closes out                     oil and they will take the time and the
        I thank the Senate for its indulgence.                 some amendments on which I was                         expense to drill. They will not take the
      I am very hopeful that our leaders are                   working. I think if we all look at the                 time to drill if we don’t give them
      working out a way for us to walk away                    big picture, we will determine that it is              some assurances. This bill does that,
      from this electricity title which is so                  better to pass the bill that we had on                 and so did last year’s bill. It is very im-
      damaging and move forward with a bill                    the floor last year, which passed 88 to                portant to encourage our people to go
      that doesn’t hurt the people we rep-                     11, after the Senate wrote the bill on                 out and look for oil and gas resources.
      resent. None of us wants to do it. Let’s                 the Senate floor. I didn’t like all of it,                The Gulf of Mexico is the second
      not do it.                                               but it was a good start at making our                  largest capability we have after Alas-
        I yield the floor.                                     country more energy self-sufficient.                   ka. We have been prohibited from drill-
        The PRESIDING OFFICER. The Sen-                        Furthermore, it would have put people                  ing in ANWR, and that is not in the
      ator from Texas is recognized under                      to work. Why on earth would we not, in                 bill. But the Gulf of Mexico is available
      the previous order for up to 20 minutes.                 this very hard economic time, realize                  and it is the second largest resource we
        Mrs. HUTCHISON. Mr. President, I                       that we need to put our people back to                 have in this bill before us, as in last
      think it is very important that we re-                   work? There are many parts of the bill                 year’s bill. We do have incentives that
      vamp and talk about what is going on                     that we are working on that came out                   would allow people to go to the great
      here because we have been trying to                      of committee. There are many parts of                  expense of a deep gulf drilling because
      pass this Energy bill, really, since May.                the bill we passed last year that will                 they will know they will have the capa-
      Our leader, Senator FRIST, and the                       put people back to work.                               bility, if they find oil or gas, to be able
      committee chairman, Senator DOMEN-                         This bill is very balanced. It assures               to afford to get it out and keep those
      ICI, have asked people to come forward                   that we will have more energy coming                   jobs in our country.



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                              S10485
        There is a reason for us to stay on                    Mexico, and it will help get the re-                   title because it encourages more
      this bill. The reason is the national se-                sources from Alaska through a pipeline                 sources of energy, and we can do that
      curity of our country. That is why our                   down to the lower 48. This bill does not               before the end of this week if we will
      leader, Senator FRIST, has said from                     allow drilling in ANWR, but it does                    start working and stop the delay we
      the beginning of this week that we                       allow us to have a direct pipeline that                have seen week after week and month
      have already spent 2 weeks on this bill                  will take the natural resources—the                    after month.
      and now is the time for the Senate to                    gas—out of Alaska and bring it down to                   Mr. President, I yield the floor and
      act.                                                     the lower 48.                                          suggest the absence of a quorum.
        There is no reason for us to leave                       This is a huge job creator and a huge                  The PRESIDING OFFICER (Mr.
      without an Energy bill. We have given                    benefit for the consumers and the busi-                BUNNING). Will the Senator withhold
      it time. If people are sincere about                     nesses of our country that must have                   her request?
      wanting an Energy bill to pass, this is                  energy to keep their businesses and                      Mrs. HUTCHISON. I withdraw my re-
      a good bill. Last year’s bill is a bill                  their manufacturing operations open. I                 quest for a quorum call.
      with which we can work. We have al-                      have talked with farmers and small                       The PRESIDING OFFICER. The re-
      ready voted on a major amendment,                        business people about the increasing                   quest is withdrawn.
      the Bond-Levin CAFE amendment,                           rates of natural gas and electricity,                    The Senator from Rhode Island.
      which will have good science in fuel ef-                 and it is driving their costs up at a                    Mr. REED. Mr. President, I ask unan-
      ficiency standards. The Senate has spo-                  time when they are not able to get                     imous consent to speak in morning
      ken on that issue.                                       higher prices for their products, and                  business for up to 30 minutes.
        Why don’t we keep going? Why don’t                     that is an alarming hit on our econ-                     The PRESIDING OFFICER. Without
      we close out the electricity title to this               omy.                                                   objection, it is so ordered.
      bill? It has been very controversial, but                  Why are we still talking about this                                    IRAQ
      we put all the groups together, we have                  bill instead of working on the elec-                     Mr. REED. Mr. President, I wish to
      gone through all the disagreements,                      tricity title and getting this bill                    take this opportunity to discuss the
      and we have come to some terms. Why                      through the Senate or taking up the                    issues involving our ongoing conflict in
      don’t we go forward on this bill?                        offer that was made by the leadership                  Iraq. I will discuss the issues of intel-
        Yes, a few people would not be able                    that we take up last year’s bill that                  ligence, planning, and the challenges
      to offer their amendments because                        passed this body 88 to 11, pass it, and go             ahead.
      they did not come forward all these                      to conference and continue to work on                    These topics are critically important
      weeks we have had the bill before the                    getting a bill to the President of the                 in their own right. But, they take on
      Senate. Some people have, and we have                    United States?                                         even more profound and consequential
      voted on their amendments.                                 Even if everything in this bill or last              aspects when you recognize that fail-
        We do not need to be pointing fin-                     year’s bill is not to my liking, which it              ures and missteps in Iraq could play
      gers. The majority brought up the bill.                  is not, it is a major step for energy suf-             out again as we face future threats, the
      Senator DOMENICI has been working on                     ficiency, a major step in conservation,                most alarming of which is the deep-
      this bill diligently. Senator DOMENICI                   and a major step in job production for                 ening crisis over North Korea.
      gave up the last 2 years of his chair-                   our country at a time when we need it.                   Today, I find myself expressing many
      manship of the Budget Committee,                           I hope we will be able to move for-                  of the concerns that I initially stated
      which he loved, because he was dedi-                     ward on this bill or on last year’s bill               last October when I opposed a unilat-
      cated and committed to getting an En-                    with the goal that we will finish this                 eral approach to confronting the Sad-
      ergy bill out of the Senate and to the                   bill this week. That is what we can do                 dam Hussein regime. But the obliga-
      President’s desk. He has not had the                     if we will stop talking—and I am talk-                 tion to review our activities in Iraq is
      cooperation he deserves to do what he                    ing because we do not have an agree-                   less about the past and much more
      has been trying to do all these years.                   ment yet, but I will gladly yield to                   about the demanding present, both
        Senator DOMENICI put the bill                          anyone who comes to the Chamber and                    within Iraq and around the globe.
      through the committee. He did not by-                    says, We have an agreement to go for-                    With each passing day, the struggle
      pass the committee as was done last                      ward, because I want an Energy bill                    in Iraq claims additional American
      year. He put it through the committee,                   this week. That is why Senator FRIST                   lives. These losses are the most tan-
      and he worked with all of the factions                   laid it before the Senate and why Sen-                 gible and poignant symbols of the in-
      and interest groups. He deserves to fin-                 ator DOMENICI got it out of committee                  creasingly difficult burden that we
      ish this bill this week as we proposed                   and why we have been trying to pass                    have chosen to bear. Our stunning mili-
      to do.                                                   this bill since last year, since early                 tary success in the first phase of the
        We have tax incentives in this bill                    this year, since May when it came out                  war gave us the hope that our conven-
      that will encourage the new kinds of                     of committee and we first tried to pass                tional victory would lead quickly to a
      energy that might be what will make                      it. We have seen delay after delay.                    decisive and final cessation of hos-
      the difference in sufficient energy in                     I hope we will buckle down in the                    tilities. Our hopes are periodically re-
      our country. Maybe it will be the clean                  next hour and start the electricity title              newed when our forces are able to cap-
      coal power initiative that will get us                   again or enter into an agreement that                  ture or kill another prominent member
      over the hump to gasify coal in an en-                   we are going to pass last year’s bill, de-             of the regime. Most recently, the 101st
      vironmentally safe way.                                  bate it, let everybody have their say,                 Airborne routed Saddam’s sons, Qusay
        If we continue to put regulatory hur-                  and see if we can move forward, even if                and Uday, from their hiding place and
      dles in front of our ability to develop                  it is not 100 percent what people want.                killed them in a fierce firefight. We
      new sources of energy in a responsible                   I have not seen a bill come out of the                 even seem to be closing in upon Sad-
      way, we are going to do two things: We                   Senate very often that is 100 percent of               dam himself. Yet still the attacks
      are going to continue the deficit in our                 what I want. That is why we have 100                   against our troops go on. Our military
      ability to provide our own energy for                    Senators representing 50 States and                    leaders have wisely cautioned us that
      the people of the United States of                       the required compromises that produce                  we can expect more attacks and more
      America, and we are going to send jobs                   a bill.                                                casualties. The situation in Iraq will
      overseas at a time when unemployment                       I hope we will stop the delays and                   likely get worse before it gets better,
      is at a high point this year. I do not see               that we will work with Senator DOMEN-                  and our military presence will be of
      the wisdom in that, and that is why we                   ICI. He has made every offer that can                  long duration.
      have been pushing all week to get this                   possibly be made in an effort to move                    But, also, with each passing day, sev-
      bill completed.                                          this bill forward. He has offered to keep              eral important aspects of the preemp-
        The United States has the 12th high-                   going through the electricity title.                   tive attack on Iraq become clearer.
      est proven oil reserves in the world.                    Let’s finish that. That would be a                       The intelligence used by the adminis-
      Sixty-five percent of those reserves are                 major accomplishment. And then let’s                   tration to justify the war was selec-
      concentrated in Alaska and the Gulf of                   go on to the tax title. A lot of people                tively shaped to support their pre-
      Mexico. This bill will help the Gulf of                  could be put back to work with the tax                 conceived views of the threat posed by



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      S10486                                             CONGRESSIONAL RECORD — SENATE                                                       July 31, 2003
      Saddam. Their declarations of the pres-                  to accept reporting by Iraqi opposition forces           These distortions and exaggerations
      ence of weapons of mass destruction                      with limited credibility and, in some cases, a         are a dangerous disservice. They under-
      posing an imminent threat to the                         history of actively lying to either exaggerate         mine confidence in the information
                                                               their own importance or push the U.S. to-
      United States and their statements                                                                              that the public and decision makers
                                                               wards a war to overthrow Saddam Hussein.
      linking the Iraqi regime to terrorists                   In what bore a striking resemblance to simi-           must rely upon to make difficult judg-
      associated with al-Qaida were question-                  lar worst case interpretations of the global           ments. Moreover, they suggest that the
      able when uttered and, to date, have                     threat from the proliferation of ballistic             administration is not interested in un-
      been unsubstantiated. These distor-                      missiles under the Rumsfeld Commission,                derstanding the world, but simply
      tions were deliberate and calculated to                  U.S. policymakers not only seem to have                changing it along lines agreed to in
      sway opinion rather than to properly                     pushed for the interpretation that would               policy seminars years ago.
      inform it.                                               best justify military action, but to have fo-            Despite warnings of the difficulties
        Planning for occupation activities                     cused on this case as if it were a reality,
                                                               rather than a possibility. In the U.S., this
                                                                                                                      inherent in stabilizing Iraq after the
      was woefully lacking. The administra-                                                                           defeat of Saddam Hussein, planning for
      tion appeared to believe its own over-                   pressure seems to have come primarily from
                                                               the Office of the Vice President and the Of-           post-hostilities was an afterthought.
      simplified view of Iraq; namely, that it                 fice of the Secretary of Defense, but it seems         The Defense Department wrested con-
      was a country that would welcome us                      clear that the Bush Administration as a                trol of the process from State and insu-
      with open arms once we removed Sad-                      whole sought intelligence that would support           lated the planners from broad-based
      dam. This was the line advanced by                       its case in going to war, and this had a sig-          collaboration. Then it went on to bet
      Iraqi exiles who had for many years                      nificant impact on the intelligence commu-             that Iraqi gratitude, together with an
      been the proteges or associates of nu-                   nity from 2002-onwards.
                                                                                                                      exile government, would provide for a
      merous administration officials. Ap-                       The administration did not use intel-                cheap and easy exit strategy.
      parently, the view of Iraq from Paris or                 ligence to help make a difficult deci-                   Defense officials point out that they
      London was just as distorted as the                      sion. It used intelligence to sell a pre-              planned for many events that did not
      view from Washington think tanks.                        conceived notion. The long-term, fixed                 take place and executed a military
      Complicating this unrealistic view of                    view of the administration held that                   plan that minimized potential humani-
      Iraq was a power struggle between the                    deterrence and international inspectors                tarian, economic and environmental
      Department of Defense and the Depart-                    were inherently incapable of con-                      problems. In fact, the military plan ex-
      ment of State over responsibility for                    taining Saddam. Only the elimination                   ecuted by CENTCOM was brilliant and
      post-hostility planning. The Depart-                     of the regime could suffice. Moreover,                 did seek to minimize collateral damage
      ment of Defense won and the planning                     regime change could have the added                     through judicious targeting as well as
      process lost. Expertise was sacrificed                   benefit of precipitating a trans-                      actively seizing key installations, par-
      for enthusiasm and loyalty. Then, with                   formation of the entire region.                        ticularly oil facilities, to avoid sabo-
      the avalanche of pressing details con-                     In January of 1998, Secretary Rums-                  tage.
      cerning the pending attack, post-at-                     feld, Secretary Wolfowitz and other                      But, the further one moves away
      tack planning took a predictable back                    prominent neo-conservatives wrote to                   from formal military plans into the
      seat.                                                    President Clinton urging him to use
        Today, American forces are engaged                                                                            province of policing, civil administra-
                                                               military force to remove Saddam.                       tion and economic development the
      in suppressing a well-armed and well-                      In their words:
      financed insurgency. Iraq is awash in                                                                           clearer it becomes that the post war
                                                                 The only acceptable strategy is one that
      weapons. The coalition provisional au-                                                                          planning was grossly inadequate.
                                                               eliminates the possibility that Iraq will be
      thority acknowledged the obvious                         able to use weapons of mass destruction. In
                                                                                                                        The first overt sign of planning inad-
      when it authorized each homeowner to                     the near term, this means a willingness to             equacies was the initial indifference to
      retain an AK–47. Even so, it is amazing                  undertake military action as diplomacy is              large scale looting. The collapse of the
      to read on a daily basis of the seizure                  clearly failing. In the long term, it means re-        Iraqi police was not compensated for
      of hundreds of RPG’s and hundreds and                    moving Saddam Hussein and his regime from              by aggressive action by our military.
                                                               power. That now needs to become the aim of             The systematic looting went un-
      hundreds of pounds of explosives. And,                   American foreign policy.
      there appears to be a lot more that has                                                                         checked for a prolonged period and un-
                                                                 This letter predated the attack on                   dermined an already fragile and anti-
      yet to be discovered. More serious, of
                                                               Iraq by 5 years. Indeed, it predated                   quated infrastructure.
      course, is the daily casualties among
                                                               September 11 by more than 3 years.                       The failure to incorporate experts on
      our troops caused by these weapons.
                                                               This last point is instructive. Recently,              Iraq from the State Department and
      Also, the insurgents to date appear to
                                                               Secretary Rumsfeld has been defending                  other agencies led to reliance on an ad-
      have an ample supply of cash. Another
      amazing revelation of my recent trip to                  his judgment regarding the military                    hoc group of retired military and ad-
      Iraq was the frequency that our forces                   campaign against Iraq as simply seeing                 ministration operatives to try to orga-
      turned up sizable quantities of cash                     intelligence in light of September 11.                 nize a political and economic response.
      and valuables as they rounded up even                    But it seems clear that he reached his                 Initial efforts were disappointing and
      low ranking members of the Saddam                        conclusion about Iraq well before Sep-                 led to General Garner’s early depar-
      regime.                                                  tember 11, and September 11 certainly                  ture. Ambassador Bremer has filled the
        The insurgency in Iraq has not been                    did not change his mind.                               leadership void with more of a pres-
      transformed into a popular movement                        September       11    did,    however,               ence, but the realization is taking hold
      to attack American forces and to eject                   horrifically foreshadow the gravest                    that this will be a long and expensive
      us from Iraq. That is good news. But we                  threat facing the Nation: sophisticated                process with a still uncertain outcome.
      are in a frantic race to improve secu-                   terrorist cells armed with nuclear                       The United States faces serious chal-
      rity, reinvigorate a devastated econ-                    weapons. And, in so doing, gave the ad-                lenges in Iraq.
      omy and establish an Iraqi government                    ministration the template for its argu-                  The preeminent challenge is security.
      deemed legitimate by the people of                       ments. The President’s assertion, that                 Our forces are facing increasingly so-
      Iraq before popular frustration and in-                  Iraq was actively seeking uranium                      phisticated attacks. In the first few
      cipient nationalism are ignited by                       from Niger, was false and known to be                  days of the occupation, our troops were
      those who do wish to attack and eject                    false at the highest levels of the ad-                 engaged with small arms on an oppor-
      us from the ground.                                      ministration, but it provided an irre-                 tunistic basis. The attacks have
        One of the more thoughtful and even-                   sistible element in the case the admin-                stepped up with more organization and
      handed military analysts, Anthony                        istration wanted to make against Iraq.                 more lethal weapons like RPGs. Late-
      Cordesman at the Center for Strategic                    Similarly, Secretary Rumsfeld made                     ly, the insurgent’s use of remotely det-
      and International Studies, has accu-                     claims that he had ‘‘bulletproof’’ evi-                onated landmines and explosives dem-
      rately summarized the record of the                      dence of active collaboration between                  onstrates an increasing sophistication
      administration’s intelligence activities                 the Saddam Hussein regime and al-                      in training and planning.
      leading up to Operation Iraqi Freedom.                   Qaida. In the weeks since the fall of the                A disturbing escalation in potential
        [T]here are many indications that the U.S.             regime, no evidence has emerged to                     lethality of these attacks came with
      intelligence community came under pressure               validate this claim.                                   the recent report of a man-portable



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                S10487
      antiaircraft missile attack on an air-                   of the Iraqi people. We have begun this                of concern. The most notable and, to
      craft over Baghdad International Air-                    process through some arduous efforts                   my mind, the most dangerous of these
      port. This attack begs the question of                   in Baghdad. However, even more dif-                    issues is North Korea’s rush to develop
      the number of these MANPADS in Iraq                      ficult and controversial actions lie                   significant quantities of fissile mate-
      and whether any have been removed                        ahead. The selection of a Governing                    rial and nuclear weapons.
      from Iraq for use elsewhere. One or                      Council was a start, but also revealed                   In North Korea, we have, according
      more successful attacks on aircraft                      the problems that we face.                             to their demonstrated conduct and
      would have a serious impact on both                         First, we are still saddling ourselves              their public declarations, the type of
      the security climate and the closely re-                 with Chalabi and the exiles. My initial                threat that the administration claimed
      lated efforts to restore a sense of pre-                 instincts, that I shared with Ambas-                   required a preemptive military attack
      dictability for economic investment                      sador Bremer in Baghdad, questioned                    in Iraq. Nowhere in the world do the
      and development.                                         the wisdom of placing these individuals                lines of sophisticated terrorists and nu-
         Our military forces are aggressively                  in positions of power. Since that time,                clear material come closer to inter-
      attempting to preempt these attacks.                     the first credible survey of Iraqi opin-               secting than in the conduct of the
      The key to any successful counter-in-                    ion conducted by the National Demo-                    North Koreans. By all accounts, North
      surgency is intelligence, and we have                    cratic Institute for International Af-                 Korea is one of the most persistent and
      begun an all-out effort to target the                    fairs has been published. Among its                    prodigious proliferators in the world.
      middle range of former Iraqi security                    conclusions is the finding that there                  They sell military products to the
      officials to identify the insurgents and                 exists ‘‘[c]ynicism about leaders, espe-               highest bidder. With plutonium, they
      their support mechanisms. Neverthe-                      cially acute regarding some exiled                     will likely get offers from terrorists.
      less, the number of desperate and de-                    leaders who were objects [of] vilifica-                  The administration’s response has
      termined regime diehards with access                     tion campaigns led by the previous re-                 been slow to develop and characterized
      to weapons and knowledge of the ter-                     gime. . . .’’                                          by many of the pitfalls found in the
      rain and our dispositions indicates that                    Second, we have necessarily put off                 prologue to Iraq with one other major
      these attacks will continue. In addi-                    the most divisive political decision.                  factor. Our commitment to Iraq has se-
      tion, it is reasonable to assume that in-                Who will be the ‘‘face of Iraq’’? The                  riously strained the capacity of the Ad-
      filtration of foreign terrorists will take               Council represents a broad spectrum of                 ministration to deal with North Korea
      place. This development could add an                     Iraq, but it has yet to produce a per-                 and other problem areas.
      even more lethal, sophisticated and                      sonality that will be that Iraqi face.                   The stress on our land forces inhibits
      longer-term element to the battle. Our                   The ‘‘executive’’ of the Council is a                  a diplomatic strategy complemented
      forces will likely face successive waves                 nine member body dominated by the                      by unquestioned military power. The
      of violence over many months.                            exiles. One member rotates as the ‘‘Ex-                public preoccupation with the turmoil
         The next military challenge is to sus-                ecutive’’ each month. Eventually, a                    in Iraq makes it very difficult to mar-
      tain our forces in Iraq. We cannot do so                 personality will emerge. Will that                     shal the necessary popular support to
      over the next year without additional                    emergence set off a political crisis                   engage in another high profile inter-
      international support or by activation                   when disgruntled factions realize that                 national confrontation at this time.
      of additional National Guard and Re-                     they will not lead Iraq? I believe that                The amount of energy and time that is
      serve forces. Our quest for inter-                       there is a substantial likelihood of                   devoted to Iraq crowds out the agendas
      national support was compromised                         such a development and that would fur-                 of decision makers.
      from the beginning by the administra-                    ther complicate our presence.                            Thus, the administration is in a hold-
      tion’s insistence on an essentially uni-                    Finally, our political tasks in Iraq                ing pattern. It is promoting a multi-
      lateral approach to Iraq. Unless the ad-                 must be accomplished with greater                      national, diplomatic approach that is
      ministration is able to recruit an addi-                 speed and a more deliberate and effec-                 laudable but not productive. It appears
      tional international division, the cur-                  tive strategy to explain our actions.                  that just below the surface, some of the
      rent rotation plan will have a huge gap                  After the Saddam regime, the people of                 Beltway battles that preceded our op-
      next February when the 101st Airborne                    Iraq are steeped in misinformation and                 erations in Iraq are being fought to a
      Division is scheduled to return. Since                   cynicism. According to the NDI survey,                 standstill. Once again, it seems that
      the administration has yet to ask                        ‘‘antipathy for the United States and                  dogma is clashing with diplomacy. The
      NATO for support and major European                      Britain is not overcome by the fact                    doctrine of regime change is pitted
      countries like France and Germany re-                    that these two countries are respon-                   against a diplomatic approach that re-
      main estranged on this issue, likely                     sible for the country’s liberation from                quires as a prerequisite the tacit rec-
      candidates are Turkey and, perhaps,                      the tyrant they despise.’’ Moreover,                   ognition, at least, of non-aggression
      Pakistan. Each of these countries                        ‘‘virtually no one, excepting some                     against the North Korean regime as
      would demand significant financial and                   Kurds in the north, believes the United                part of an overall, verifiable agreement
      logistical support. And, the introduc-                   States intervention in Iraq is moti-                   to eliminate nuclear weapons.
      tion of the Turks could cause problems                   vated by a desire to help the Iraqi peo-                 The effect of all of this is that crucial
      within Iraq. The introduction of Paki-                   ple. Usually people say the U.S. ‘is act-              time is being squandered. As former
      stani forces could further incite domes-                 ing in its own interest’—which is often                Secretary of Defense Bill Perry de-
      tic criticism of Musharraf at home.                      viewed in terms of access to Iraq’s oil                clared, the situation in North Korea—
         The need to activate reserve forces is                reserves.’’                                            was manageable six months ago if we did the
      becoming more pressing with each                            The political situation in Iraq is not              right things. But we haven’t done the right
      passing day. I support General Barry                     without some encouragement. Accord-                    things.
      McCaffrey’s recommendation that we                       ing to the NDI Survey, there is no                       The President has to address this
      immediately activate nine National                       widespread support for the attacks                     issue now by settling the debate within
      Guard Brigades, not just the two cur-                    against our forces. However, Iraqis do                 his Administration in favor of diplo-
      rently planned to be activated. Such a                   want foreign military forces to depart.                macy and not dogma. He has to take
      decision cannot be deferred much                         There is a strong commitment to the                    steps now to bolster our military forces
      longer since these brigades must re-                     integrity of the Iraqi state. Neverthe-                to complement a diplomatic approach.
      ceive intensive training before they are                 less, continued security problems, eco-                  It would be tragic if our efforts in
      deployed. Given the indefinite nature                    nomic difficulties and political con-                  Iraq allowed a more ominous situation
      of our mission in Iraq and the potential                 troversies can quickly sap these en-                   to develop in North Korea.
      for additional crises around the globe,                  couraging signs.                                         I yield the floor and the remainder of
      these brigades should be made part of                       The serious consequences of selective               my time.
      our active force structure and replen-                   intelligence and poor planning are                       The PRESIDING OFFICER. The Sen-
      ished through active duty recruitment.                   playing themselves out today in Iraq.                  ator from New Mexico.
         The security challenge is matched by                  But, of equal or even greater concern,                   Mr. DOMENICI. Mr. President, I
      the need to create a functioning gov-                    is the effect of the administration’s op-              came here after the distinguished Sen-
      ernment that is legitimate in the eyes                   erating style in other areas and issues                ator from West Virginia, and he is my



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      S10488                                             CONGRESSIONAL RECORD — SENATE                                                           July 31, 2003
      senior. I am a youngster. But I won-                     have Polish soldiers coming in; in 2                   subject of an Energy bill for America. I
      dered if I could speak before him and                    years, you are going to have all the                   pulled myself away from it to let other
      he said of course.                                       water done.                                            Senators talk about it. I thought I
        I ask consent that I be permitted to                     I have said to them: In order to do                  would come down to the floor and dis-
      speak for up to 71⁄2 minutes and that                    that, you have to have, not the Depart-                cuss this issue. I don’t do that very
      the Senator from West Virginia be the                    ment of Defense in charge, you have to                 often. I kind of stick to my area. But
      next recognized for his comments.                        have a reconstruction team in charge.                  this is an important issue. We are in
        The PRESIDING OFFICER. Without                         A reconstruction team is different. In                 the business of reconstructing that
      objection, it is so ordered.                             fact, it might be a layman with very                   country. We can say all we want—that
        Mr. DOMENICI. Mr. President, one                       big municipal authority who would be                   we aren’t and we don’t want to—but we
      might think, having been immersed in                     in charge. It might be a great builder                 can’t expect our soldiers, our tanks,
      this Energy bill and waiting for a pos-                  who knows how to sit in an office and                  and our men with machine guns to do
      sible solution to the situation, that I                  delegate so the things that have to be                 that. They have to be there, of course.
      rise to speak of that. But I do not.                     put together, the contracts that have                  They are going to be there in large
        Senator BYRD, I know the Senator is                    to be let, get let; the countries that                 numbers. But we need to have some-
      busy but I would like him to listen to                   have to be called upon to do things—                   thing that is a reconstruction ap-
      the few comments I have because,                         that it happens.                                       proach. The government of our country
      while they are not borrowed from him,                      So I thought I might just share that                 has to be wise enough, the great build-
      I have heard him speak about Amer-                       with the Senator, since he has shown
                                                                                                                      ers we are. We are the builders. We are
      ica’s involvement in other countries                     great concern about what we are going
                                                                                                                      the builders of the world. We surely
      and I want to talk about that.                           to do.
                                                                 The Senator from New Mexico is to-                   ought to be able to put together a mas-
        It bothers my mind, as I look at Iraq,                                                                        ter plan with a master builder for the
      and Afghanistan, Somalia, and the pos-                   tally on this President’s team. I am to-
                                                               tally his defender in terms of having                  rebuilding and reconstruction.
      sibility now of Liberia and other coun-                                                                           I yield the floor. I thank the Chair. I
      tries, and I want to talk about some                     taken over Iraq. I don’t even spend any
                                                                                                                      thank the Senate.
      words that we Americans and our lead-                    time worrying about those 15 words on
                                                                                                                        The PRESIDING OFFICER. The Sen-
      ers have been using ever since I was a                   nuclear weaponry. That is just me. I
                                                                                                                      ator from West Virginia is recognized.
      little kid and for all the years I was                   am not speaking about anybody else.                      Mr. BYRD. Mr. President, I thank
      here. We used to say: we don’t want to                     I think I ought to be listened to on
                                                                                                                      the Chair. I thank the distinguished
      build countries. We are not in the busi-                 some of these other issues. I know
                                                                                                                      Senator from New Mexico.
      ness of constructing countries. We                       what the average folks in my home-
                                                                                                                        Mr. President, I have been asked by
      don’t want to be called upon to put a                    town are thinking about. I know that
                                                                                                                      the distinguished Senator from South
      country together. We don’t want to be                    they are reading in the paper about sol-
                                                                                                                      Carolina to ask unanimous consent
      the builders of countries—leaving the                    diers dying and the Secretary of De-
                                                                                                                      that he be recognized following me.
                                                               fense responding. I think they would
      distinct impression that we want the                                                                              The PRESIDING OFFICER. Without
                                                               feel much better if they knew there
      other countries to build themselves up.                                                                         objection, it is so ordered.
        The Senator and I would not object                     was a game plan for the reconstruc-
                                                                                                                            THREAT OF THE BUSH ADMINISTRATION’S
      to that, as a thesis. That sounds like a                 tion, and that America had within its                                 BUDGET DEFICITS
                                                               Government a capacity to reconstruct
      theology of Americans. But Mr. Presi-                                                                             Mr. BYRD. Mr. President, an apoc-
                                                               what is needed and then kind of put the
      dent, I say to my good friend, the prob-                                                                        ryphal tale is often told by professors
                                                               bricks and mortar and the building
      lem is that it almost implies that we                                                                           of economics in classrooms across the
                                                               blocks together and be able to tell us,
      will not put together the ability, the                                                                          country. It is a tale about a king who
                                                               our people, and the world, what is
      capacity to help a country build itself.                                                                        asks his advisers to teach him the laws
                                                               going on month by month, 6 months by
        We must, as a nation, it seems to this                                                                        of economics. The king’s advisers re-
                                                               6 months.
      Senator, have within our Government                        As an example, today I could go                      turn with a book on the subject. But
      the capacity to help a country such as                   home to my hometown and I could                        the king tells his advisers that his time
      Iraq build itself up—or a country such                   speak at lunch to some people and I                    is precious, and he asks them to sum-
      as Afghanistan. We can’t say the De-                     could pull out the blueprint for the re-               marize the book. The king’s advisers
      fense Department is now in charge of                     construction of Iraq. I could say to                   return with a single piece of paper. But
      Iraq and they know how to see that                       them: Folks, it may change here or                     the king again tells his advisers that
      Iraq gets built up. That is not plau-                    there but, this is what the plan is. We                his time is precious and he sends them
      sible.                                                   have a way to do it. It is not American                away to summarize the lesson even fur-
        Look what goes on every day in that                    soldiers who are going to be over there                ther. The king’s advisers finally return
      country. Does all of that flow naturally                 for 5 years carrying out all the details               with a single line, summarizing all of
      to the Department of Defense for some                    of every little thing that has to be                   the known laws of economics.
      colonel or general or the Secretary of                   done. We are in a reconstruction mode                    The king reads: ‘‘There is no such
      Defense to make the decision? Of                         to rebuild that country.                               thing as a free lunch.’’
      course not. There are issues of con-                       That part of our Government would                      For most people, this is a universally
      struction of a country, the building of                  be more credible when they tell us: We                 accepted truism—just plain common
      an infrastructure, putting schools back                  didn’t have a water works. That is why                 sense—that nothing is free. There are
      into operation, making sure health                       we are still over here hurting. This fel-              tradeoffs and opportunity costs to
      clinics that have broken down get                        low, Saddam Hussein, broke the water                   every decision we make. Even a child
      built. I am not suggesting that we                       works down and there wasn’t anything                   can understand this most basic eco-
      build them in every respect but we                       there for the people to drink water                    nomic principle. But for the Bush ad-
      need to have the governing capacity to                   from. That is a lot different than say-                ministration, you can beat them over
      have somebody in charge, seeing that                     ing our soldiers are running around                    the head with their own budget and
      it gets done.                                            trying to find water for the people and                still they will not acknowledge the
        I have said that in my own way to                      they got killed doing it. It is a lot dif-             tradeoffs and opportunity costs of the
      this administration and I am very                        ferent than saying we thought we had a                 budgetary decisions they have made.
      pleased that there has been some re-                     production line to get the oil from here                 On July 15, the administration re-
      sponse. I said to them on one occasion:                  to there but it had decayed and we had                 leased its mid-year budget and eco-
      Why don’t you tell the American peo-                     to bring in a company to build another                 nomic forecast, the so-called ‘‘Mid-Ses-
      ple what is your plan for Iraq for the                   one, rather than reading a story that                  sion Review.’’ The Office of Manage-
      next 5 years? You know, all they are                     somebody shot an American soldier as                   ment and Budget revealed to the Amer-
      seeing is the bad things. They don’t                     we were attempting to build a pipeline                 ican people that the Government would
      know that in 6 months you are going to                   for the oil and gas.                                   run an incredible, record-breaking $455
      have a certain number of policemen                         The Senator from New Mexico is to-                   billion deficit in the fiscal year 2003.
      trained; in 1 year, you are going to                     tally immersed up to his head in the                   Worse, the deficit will increase to $475



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                               S10489
      billion in the fiscal year 2004. I daresay               have to be borrowed from our allies                    allow for the safety and security of the
      that is a low figure. The administra-                    overseas—that is, those allies that we                 American people within their own bor-
      tion estimates that if the Congress en-                  have not already alienated.                            ders.
      acts the President’s policies, we will                      With a $475 billion budget deficit,                   Al-Qaida has not yet been destroyed.
      increase the public debt by $2 trillion                  next year, the Federal Government will                 It is very much alive and kicking. It is
      over the next 6 years.                                   have to borrow more than the entire                    still alive and well, and planning at-
         The OMB Director assured the public                   defense budget. For every military op-                 tacks now, attacks against U.S. citi-
      that these deficits were ‘‘manageable                    eration underway right now—in Iraq,                    zens. Al-Qaida are patient, persistent
      . . . sustainable . . . not a problem.’’                 Afghanistan, Liberia, the Balkans—and                  killers. And, yet, this administration
         In other words, a free lunch.                         to maintain our current military de-                   continues to oppose, right here on this
         When the Bush administration prom-                    fenses, the administration will have to                floor, essential homeland security
      ises almost $3 trillion in tax cuts, a                   borrow the money to pay the equiva-                    funding. Just this week, the Depart-
      prescription drug benefit, a record in-                  lent of those costs.                                   ment of Homeland Security issued a
      crease in defense spending, more                            With a $475 billion budget deficit, the             new advisory about the potential hi-
      money for education and health care,                     recently enacted tax cuts are not free.                jacking of planes, and yet the adminis-
      claims that it will protect Social Secu-                 Ultimately, the American people will                   tration opposed my amendment to se-
      rity and Medicare for future retirees,                   have to repay every dollar to balance                  cure cargo on passenger aircraft. Our
      and asks for nothing in return—that is                   the budget.                                            ports, our borders, our airlines, our
      more than a free lunch; it is a cost-free                   When the President is pinned down                   chemical facilities, our nuclear power-
      invitation to a White House banquet.                     about the mounting deficits, he has                    plants are still perilously vulnerable.
         The American people may recall the                    two replies. First, they are small and                   Have we not learned anything, Mr.
      last free lunch this administration                      not a threat. But the deficits assumed                 President?
      tried to peddle.                                         in his budget are the highest ever re-                   The war on terrorism can only be
         Prior to the war in Iraq, the Bush ad-                corded, and, as long as we are running                 won with both a strong defense and a
      ministration promoted a vision of                        deficits, we are not saving to ensure                  strong offense. And, yet, the ratio of
      Saddam’s removal from power as a                         the solvency of the Social Security and                defense to homeland security spending
      quick, easy, and bloodless exercise. In-                 Medicare programs. There is no escap-                  is 12 to 1. That is $1 of spending to
      deed, most of the support for this war                   ing that budgetary fact—none.                          build up our homeland defenses for
      was based on the rationale that Amer-                       Without more savings, we are endan-                 every $12 spent on our military.
      ica’s tremendous military superiority                    gering the Social Security and Medi-                     We are seeing only a halfhearted ef-
      over Iraq would confine the costs of                     care programs.                                         fort by this administration to address
                                                                  The President tells us that we can                  the vulnerabilities in our infrastruc-
      this war to a relatively painless con-
                                                               grow out of deficits. Well that sounds                 ture.
      test between the United States’ awe-
                                                               nice, but it won’t happen. The Congres-                  We talk about the infrastructure in
      some military might and the relatively
                                                               sional Budget Office, which is now                     Iraq. What about our own infrastruc-
      weak, conventional military of Saddam                    headed by a former White House econo-                  ture? The administration says they are
      Hussein.                                                 mist, formulated nine different eco-                   going to do something, but not enough
         But now the true costs of the war are
                                                               nomic models to predict how the re-                    to thwart terrorist attacks. It should
      becoming more apparent. The number                       cently enacted tax cut would affect the                frighten us all. It certainly frightens
      of U.S. casualties in Iraq has risen to                  economy, and the CBO concluded that                    me.
      248 soldiers—and rising by 1 soldier per                 the President’s proposal would have                      When I stop to think, I say to Sen-
      day or more—more than double the 123                     only a negligible effect.                              ator HOLLINGS, that you and I and
      deaths at the time the President de-                        Even with strong economic growth,                   these people around us who are sitting
      clared victory in Iraq on May 1.                         the White House budget office is still                 at the desks—the President at the
         Families of reservists and national                   projecting that the Nation will accu-                  desk, the desk of the workers here—
      guardsmen, who thought that their                        mulate $2 trillion in new debt under                   when I stop to think that we are alive
      sons and daughters, brothers and sis-                    this administration’s proposals, and                   today, in all likelihood, because there
      ters, husbands and wives would return                    that doesn’t include the $5 billion per                were a few courageous men on that air-
      after major combat had ended, are now                    month the administration is spending                   plane that went down in Pennsylvania
      realizing that their family members                      in Iraq and Afghanistan.                               who had heard about the attacks on
      will be in Iraq indefinitely.                               So, Mr. President, we are drowning in               the Twin Towers and the Pentagon.
         Administration officials who were                     a sea of red ink. We are gasping for air.              And because their own plane was a lit-
      counting on U.S. allies to assist in                     And all this administration can do is                  tle late in taking off, they heard these
      peacekeeping efforts in Iraq are now                     promise more cost-free White House                     other things. They knew what was hap-
      realizing that our strong arm tactics                    banquet dinners as they claim it is                    pening. They knew what was happening
      have alienated many of our closest al-                   ‘‘not a problem.’’                                     to that plane and they decided that
      lies.                                                       But it is a problem! We are already                 plane would not reach its objective.
         The United States is now committed                    seeing these deficits eat into our budg-               And from all indications that I have
      to a long-term endeavor to rebuild                       et. Just look at the amendments that                   heard, its objective was this Capitol.
      Iraq, which is costing the American                      were opposed by the administration on                  So we owe our lives to them. We would
      taxpayer $4 billion per month.                           the recently passed appropriations bill                not be here today. That is the way I see
         The administration hid the potential                  for the Homeland Security Depart-                      it.
      costs in the buildup to the war. Now,                    ment.                                                    Now, we also hear that these terror-
      the American people are realizing that                      Under pressure from the administra-                 ists don’t forget, that they are per-
      free lunch will be paid for with our Na-                 tion, Senators voted down amendment                    sistent, they are patient. They take
      tion’s treasure, prestige, and blood.                    after amendment after amendment de-                    their time and they come back. What
         So I take little comfort when this ad-                signed to enhance the security and the                 they fail to do in the first instance,
      ministration promises another free                       safety of the American people. Spend-                  they will try again. We better take
      lunch, when it describes its budget                      ing for vital homeland security func-                  these things seriously.
      deficits as ‘‘manageable’’ and ‘‘not a                   tions is being denied each time with                     The President has established a track
      problem.’’                                               the same excuse—that our budget                        record for being strong on rhetoric and
         With $475 billion in budget deficits                  doesn’t allow for it. We are spending                  short on resources. In his State of the
      projected for the upcoming fiscal year,                  nearly $4 billion per month in Iraq, but               Union, he said:
      this Nation is experiencing budget defi-                 we could not afford a $1.75 billion                      We will not deny, we will not ignore, we
      cits never before seen. They amount to                   amendment that I offered to secure our                 will not pass along our problems to other
      roughly one-fifth of the entire Federal                  ports, to equip and train our first re-                Congresses, to other Presidents and other
      budget. This forces the Federal Govern-                  sponders, and to secure our borders.                   generations.
      ment to borrow $1 out of every $5 it                        It is incredible! The budget that calls               Yet, according to the White House’s
      spends. And much of that money will                      for astronomical tax cuts does not                     latest deficit estimates, the President’s



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      S10490                                             CONGRESSIONAL RECORD — SENATE                                                        July 31, 2003
      policy is to have a deficit of $455 billion              cost from these budget deficits—name-                                 FREE TRADE
      this year, $475 billion in fiscal year                   ly that there will not be enough money                   Mr. HOLLINGS. Mr. President, it is
      2004, and an increase in the public debt                 saved to pay the benefits promised to                  somewhat out of order when I make
      of $2 trillion over 6 years. That is rhet-               our Nation’s seniors. Our Nation’s sen-                comments on trade in that the distin-
      oric without resources.                                  iors ought to take note of that, and the               guished majority leader says he wants
        In May of this year, the President                     children of our Nation’s seniors ought                 to do energy, he wants to do judges, he
      signed the United States Leadership                      likewise take note of that.                            wants to do the supplemental, and he
      Against HIV/AIDS Act, which author-                        The administration’s budget deficits                 wants to do trade. I talked to him ear-
      ized $15 billion over 5 years to attack                  are a problem for State governments,                   lier this morning, and I said: I would be
      global AIDS and authorized $3 billion                    as well. Federal budget deficits have                  glad to fill in at any time they have a
      for fiscal year 2004. He traveled to Afri-               contributed to a $30 billion gap in                    lapse. He said: Well, it wouldn’t be
      ca and pressed for the Congress to sup-                  State budgets because of a lack of Fed-                until tomorrow. Then later in the ex-
      port the $15 billion commitment. Yet,                    eral payments to States. This is to say                change—there has been an intramural
      the President requested only $1.9 bil-                   nothing of the $68 billion shortfall in                all morning long on procedures—he
      lion for global AIDS programs for fiscal                 State budgets that we read about in re-                said: Perhaps on Saturday.
      year 2004. That is rhetoric without re-                  cent weeks. Without Federal support,                     So I thought once the Pastore rule
      sources.                                                 States are forced to cut Medicaid and                  had been complied with and rule
        In January of 2002, the President                      health care-related programs. For the                  19(1)(b), the three hours had been com-
      signed the No Child Left Behind Act                      first time ever, K through 12 education                pleted—the distinguished former lead-
      with great fanfare. He said:                             programs are being cut by States to                    er, the Senator from West Virginia,
                                                               make up for a lack of Federal funds.                   and I are the only two that remember
        Today, begins a new era, a new time in
      public education in our country. As of this              This year, Oregon school districts were                the Pastore rule. Now that I have the
      hour, America’s schools will be on a new                                                                        floor, I have time to comment in a de-
                                                               forced to close some schools a month
      path of reform, and a new path of results . . .                                                                 liberate fashion. And while my distin-
                                                               early because of these budget deficits.
      And our schools will have greater resources                The administration vehemently op-                    guished former chairman and now
      to meet these goals.
                                                               poses any increase in Federal taxes to                 ranking member of the Finance Com-
        And, yet, President Bush’s budget for                  cover its budget deficits. But what the                mittee is on the floor, since I am talk-
      fiscal year 2004 proposes to cut funding                                                                        ing about trade, I want to express a
                                                               White House doesn’t admit is that
      for No Child Left Behind Act programs                                                                           frustration and make this observation.
                                                               State governments across the country
      by $1.2 billion below the levels that                                                                             The main problem we have is how to
                                                               are already raising taxes to fill this                 pay our bills. The President has just
      Congress approved for the current fis-                   budget gap. Governors in 29 States
      cal year, to a level that is $6.1 billion                                                                       put out a budget deficit projection of
                                                               have proposed tax or fee increases in                  just a $455 billion deficit. That is on
      below the level authorized in the law                    their latest budgets.
      that he, the President, signed 18                                                                               page 1 of his report. But on page 57 of
                                                                 President Bush likes to justify his
      months ago. More rhetoric without re-                                                                           the report, you will see the deficit will
                                                               tax cuts for the rich by asserting that                really reach $698 billion this year. As of
      sources.                                                 it’s the people’s money. ‘‘It’s your
        The President has called for the Na-                                                                          this minute, the public debt to the
                                                               money,’’ he says. Well, thanks to Mr.                  penny is $503 billion. But second to
      tional Service AmeriCorps program to                     Bush’s tax cuts, we are facing a public
      have 75,000 volunteers to tutor, mentor,                                                                        that particular problem is the matter
                                                               debt of $5.5 trillion by 2008. Do you                  before us of jobs, economic strength,
      and teach our children, provide serv-                    know how long it takes to count $1
      ices for our elderly, and clean up our                                                                          and manufacturing capacity.
                                                               trillion at the rate of $1 per second?                   I will never forget Akio Morita,
      communities. This month, the Senate                      Thirty-two thousand years. That is $1                  former chairman of the board of Sony.
      approved a $100 million supplemental                     trillion at the rate of $1 per second. So              Morita was visiting Chicago, and lec-
      that would have prevented the elimi-                     we are facing a public debt of $5.5 tril-              turing about Third World countries.
      nation of 20,000 volunteers, reducing                    lion by 2008. That is $18,890 of debt for              And he admonished that a Third World
      the program to 30,000 volunteers. The                    every man, woman and child in this                     country had to develop a strong manu-
      President did not lift a finger—he did                   country. By 2008, we will be spending                  facturing capacity in order to become a
      not lift a finger—in support of the pro-                 $260 billion on interest on that debt. In              nation state. And later on, he diverted
      gram when the House stripped those                       2017, when the Social Security Trust                   and pointed and said to me about the
      funds from a supplemental bill last                      Fund is in the red, the 65 million Amer-               United States: That world power that
      week.                                                    icans who expect to receive their social               loses its manufacturing capacity will
        The President and members of his                       security benefits, will ask, Where is                  cease to be a world power.
      party have passed three tax cuts, tak-                   our money? They were told ‘‘it is your                   At the end of World War II, we had 40
      ing $2.25 trillion out of the phoney sur-                money.’’ They will be saying: Where is                 percent of the workforce of America
      pluses that the President projected in                   our money?                                             engaged in production manufacturing.
      2001. Each time the President proposed                     Everything costs something. There is                 Now we are down to 11.2 percent, and
      these tax cuts, he promised that the                     no free lunch. Yet the administration                  soon it will be 10 percent. So as a result
      tax cuts would create jobs. But the                      continues to play the role of the savvy                of the scheme, I should call it, of the
      facts are different. Instead, we have                    salesman, handing out tax cuts and                     Finance Committee, we will have 10
      seen 3.1 million jobs disappear from the                 telling the American people that it will               percent of Americans working, and the
      private sector since the beginning of                    cost them nothing in return.                           other 90 percent eating or talking
      this administration, including more                        The administration will be forced to                 about it. And I hear these big voices
      than 300,000 jobs lost within the past 5                 reconcile the budgetary quagmire they                  around saying: World power, we are the
      months. So, once again, we hear rhet-                    have created. Nothing is free. There is                only world. We are not a world power.
      oric, but we see no results. More false                  no such thing as a free lunch. That                    No, no. We are in a very weakened posi-
      promises.                                                much, even an apocryphal king could                    tion.
        We are seeing the same halfhearted                     learn.                                                   Right to the point, when I came to
      effort when it comes to preserving the                     I yield the floor.                                   the Senate I got on the Commerce
      Social Security and Medicare pro-                          The PRESIDING OFFICER (Mr. AL-                       Committee. I had practiced customs
      grams. The Bush administration often                     EXANDER). The Senator from South                       law. I thought I was getting into trade
      refers to the long-term problems facing                  Carolina.                                              because the Commerce Committee used
      the Social Security and Medicare pro-                      Mr. HOLLINGS. Mr. President, I ask                   to be the Committee of Foreign Com-
      grams, but the Bush administration                       unanimous consent that at the termi-                   merce. Under article I, section 8 of the
      has not set aside any money to make                      nation of my comments, the distin-                     Constitution, the Congress of the
      them financially solvent.                                guished Senator from Montana be rec-                   United States shall regulate foreign
        In the coming decade, as the baby                      ognized.                                               commerce—not the President, not fast
      boomers begin to retire, the American                      The PRESIDING OFFICER. Without                       track, not some wavering trade min-
      people are going to realize yet another                  objection, it is so ordered.                           ister running around Doha saying he is



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                               S10491
      going to do away with dumping laws—                      cerned about the immigration provi-                    friend, Don Evans, the Secretary of
      but the Congress.                                        sion. Chile is better than us. Chile has               Commerce, is running all over, jobs and
        And I found out that my distin-                        a free market economy; they have                       growth, jobs and growth, jobs and
      guished chairman, Senator Magnuson                       labor laws; they have environmental                    growth, and we will give you a tax cut,
      at the time, was interested in exports,                  laws; they have a respected judiciary;                 jobs and growth as if that’s going to
      since he represented Boeing. Foreign                     they have a balanced budget.                           help.
      commerce had reverted over to the Fi-                      Even when they brought up NAFTA,                       My distinguished friend on the House
      nance Committee. They had the recip-                     I said, why not Australia? They are the                side—the smartest fellow perhaps in
      rocal trade agreement. They had the                      best friend we have; they immediately                  the Congress is JOHN SPRATT from
      Special Trade Representative. And in-                    supported us in Iraq, in Afghanistan, in               South Carolina, the ranking member of
      directly, I became a sort of a study of                  Vietnam, and in Korea—the best friend                  the Budget Committee. He voted for
      the Finance Committee. I had a fellow                    we have and we don’t have a free trade                 NAFTA. I said, JOHN, for Heaven’s sake
      named Claude Wilde from Texas come                       agreement with them.                                   how could you? And he said he had a
      up to me, when I was just a freshman                       Now they want us to have a free                      promise that we can get 500 additional
      Senator. I was taken to the third floor                  trade agreement with a corporate                       Customs agents. He said we need them
      of the old Statler Hilton. And he said:                  state, Singapore. I said long ago I could              badly, and he was right. We needed
      Yes, we are going to get rid of that fel-                compete with any company in Japan,                     them badly.
      low Yarborough. We are going to get                      but I could not compete with the coun-                   We never got the 500 Customs agents.
      that fellow Bentsen up here because he                   try of Japan. So here I am being asked                 They keep cutting that budget particu-
      is better on oil.                                        to give the country, which is really a                 larly. They need help. In Charleston,
        I said: On oil.                                        corporate State, free trade status. The                we have to lend the local sheriff’s sniff-
        He said: Oh, yes, that Finance Com-                    government of Singapore owns the                       ing dog to the Customs agents. My of-
      mittee, we oil boys run it. We look out                  port; shipping and logistics; property;                fice is in the Customs building. I keep
      for oil.                                                 the airlines, telecom, media, banking,                 up with them and I know what is going
        So the farmers are smarter than the                    and financing services industries; pow-                on down there.
      oil boys. They have moved in with the                    ers, utilities, technology, engineering,                 Mauritius, the little island off the
      Senator from Montana and the Senator                     and the rail.                                          coast of Africa, was inundating us with
      from North Dakota and all the rest of                      Mr. President, I ask unanimous con-                  imported textiles, but they didn’t have
      them.                                                    sent to have this list printed in the                  a textile plant. It was all made in
        I notice my distinguished ranking                      RECORD.                                                China, and coming through Africa to
      member. He put out a complaint to the                      There being no objection, the mate-                  South Carolina. These transshipments,
      WTO on agriculture. I have lost 61,000                   rial was ordered to be printed in the                  Customs people will tell you, are to the
      textile jobs since he proposed NAFTA.                    RECORD, as follows:                                    tune of $5 billion. When you go to them
      He didn’t ask the WTO about the spe-                       STATE-OWNED CORPORATIONS IN SINGAPORE                and ask them, wait a minute, can’t you
      cial provisions for textiles. But he                       Investment: Temasek Holdings, Ltd.                   enforce the law, they say: Senator, you
      wants to petition. He immediately be-                      Port: PSA Corporation.                               want me to enforce the law now on ter-
                                                                 Marine: SembCorp Marine and Keppel Off-
      comes alert. I have had to fight agri-                                                                          rorism or textiles? I said: Heavens, no,
                                                               shore & Marine.
      culture, I have had to fight the oil                       Shipping and Logistics: SembCorp Logis-              on terrorism. Do you want me to en-
      boys, I have had to fight that Finance                   tics and Neptune Orient Lines.                         force the law on drugs or textiles? Oh,
      Committee to sober up this Congress                        Property: CapitaLand.                                no, I want you to enforce the law on
      and let us go to work on producing                         Airline: Singapore Airlines.                         drugs.
                                                                 Telecom and Media: Singapore Telecoms
      jobs.                                                                                                             So we have lost 61,000 textile jobs,
                                                               and Media Corporation of Singapore.
        The policy at this minute is to export                   Banking and Financial Services: DBS                  and who is leading the way? The De-
      jobs, eliminate jobs, get rid of all                     Bank.                                                  partment of State is leading the way in
      jobs—not just textile, not just hard                       Power and Utilities: Singapore Power,                Singapore. I hate to say that about
      manufacture, not just service jobs, not                  PowerSeraya, Senoko Power, and Tuas                    Singapore because I have visited there
      just high-tech jobs, but all jobs, except                Power.                                                 and I have the greatest respect for any-
                                                                 Technology:    Chartered     Semiconductor
      politicians and the press. If we started                 Manufacturing and ST Assembly Test Serv-
                                                                                                                      body in the Far East, specifically the
      importing politicians and press, I be-                   ices.                                                  former Prime Minister, Le Quan Yu.
      lieve we would finally stop, look, and                     Engineering: SembCorp Industries and ST                As a young Senator, in the early
      listen, and we would begin to under-                     Engineering.                                           1970s, I went there and Senator Mans-
      stand the problem.                                         Rail: SMRT Corporation.                              field, the majority leader, said: Fritz,
        We have to struggle in order to de-                      Mr. HOLLINGS. Mr. President, that                    you have to call on him. He is the wise
      bate trade as a result. It is easy to fix                is a corporate state. There isn’t any                  man of the East. I had the most inter-
      the Finance Committee—and they are                       question that what we have here is a                   esting conversation just the year be-
      fixed. They get their little amend-                      loading dock, a veritable loading dock                 fore last. I called on him again, with
      ments in there, and everything else                      from Indonesia. Let me read this. Here                 the distinguished chairman of the then
      like that. I am ready to vote for the                    is a headline:                                         Intelligence Committee, Senator SHEL-
      Chile trade agreement. I have been say-                    Officials tout manufacturing services bene-          BY, because I wanted the Prime Min-
      ing that for 5 years, except they put on                 fits from U.S.-Singapore FTA.                          ister to relate a particular observation
      immigration.                                               U.S. Ambassador to Singapore Frank                   he had made to me back then with re-
        Mr. BAUCUS. We didn’t.                                 Lavin this week said the greatest economic             spect to the defenses and the concerns
                                                               benefits to U.S. companies from the re-
        Mr. HOLLINGS. You didn’t, but you                                                                             we had in the Far East, which is an-
                                                               cently-concluded U.S.-Singapore free trade
      didn’t knock it off. They had a vote 3                   agreement would come in the areas of finan-            other subject for debate. I was prepared
      years ago on the H–1B visas, with that                   cial services, intellectual property and man-          to vote for Singapore. But we got fast
      Silicon Valley crowd. They wanted to                     ufacturing in the electronics sector.                  track.
      get all the Indians and Chinese cheap-                     Lavin said that in the long run, the ‘‘most            With fast track you cannot say any-
      er, and bring them in to take American                   significant aspect of this FTA’’ could be pro-         thing; you cannot do anything. You
      jobs. The vote was 99 to 1. I was the one                visions allowing products assembled in the             have to disrupt the Senate, in the mid-
      against that immigration. I am against                   two Indonesian out-islands to be counted as            dle of the energy debate, to be heard.
                                                               Singaporean in origin for the purposes of the
      this immigration, and if you didn’t                      FTA. That would allow U.S. electronics man-
                                                                                                                      We have fast track on jobs in America.
      have fast track, Mr. President, I could                  ufacturers to take advantage of low wage               We fast track jobs offshore—that is
      put up a little amendment, like any                      rates on those islands to assemble compo-              what it is. If we did not have fast
      Senator, and we would have the normal                    nents from Singapore into electronic prod-             track, I could put up a little amend-
      process, and we would have an up-or-                     ucts that can enter the U.S. duty free, Lavin          ment to strike the provision in the
      down vote, and I probably could pass it.                 said.                                                  Singapore      agreement    that     they
      I notice, on the other side of the aisle,                  Mr. President, where are we? Here we                 couldn’t have transshipments from the
      some Republican colleagues are con-                      are trying to create jobs, and our good                Malaysian Islands. This will just open



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      S10492                                             CONGRESSIONAL RECORD — SENATE                                                            July 31, 2003
      the door for everything in the Malay-                    this big ceremony they have for World                    The Wall Street Journal on July 21:
      sian Islands to come through Singa-                      War II that they will have a statue for                ‘‘Laid Off Factory Workers Find Jobs
      pore. Listen to what the State Depart-                   Rosie the Riveter because I can tell                   Are Drying Up For Good.’’
      ment ambassador said:                                    you right now, it was the American                       I ask unanimous consent that the ar-
        With fast track, you have to disrupt                   production that won that war. As has                   ticle be printed in the RECORD.
      the orderliness of business around here.                 been said, we did not defeat the Ger-                    There being no objection, the mate-
        I apologize to both leaders who have                   mans in North Africa, we overwhelmed                   rial was ordered to be printed in the
      had a very difficult time getting busi-                  them because we had that kind of pro-                  RECORD, as follows:
      ness back on track today, but, Mr.                       duction.                                               [From the Wall Street Journal, July 21, 2003]
      President, I can tell you now, I do not                    As I said earlier, at the end of World                LAID-OFF FACTORY WORKERS FIND JOBS ARE
      apologize to anybody about the impor-                    War II, we had 40 percent of our work-                              DRYING UP FOR GOOD
      tance of this particular subject. It is                  force in manufacturing, in production.                               (By Clare Ansberry)
      not discussed, it is not debated, and it                 As of yesterday afternoon, my check                      BUTLER, PA.—The two Karenbauer broth-
      is not considered. It is fixed.                          showed it was 11.2 percent, and we are                 ers and their cousin, Danny Mottern, have
        I know something about trial law-                      going to get new figures on Friday, and                worked alongside each other for much of
      yers, and I have seen some fixed juries                  probably it will be down some more.                    their lives. Working with their hands comes
      that I have had to go up against. If                     For the last 3 years the manufacturing                 naturally to all three. As young boys they
      there has ever been a fixed jury, it is                                                                         were dispatched to feed the cows and plant
                                                               strength and economy of the United
                                                                                                                      corn on their grandfather’s 134-acre farm.
      this U.S. Congress. And I do not speak                   States has diminished.                                   Later, they all ended up in the same Trin-
      in a partisan fashion. I remember                          What happens is, we have 10 percent                  ity Industries Inc. factory, building parts for
      NAFTA. We had that beat until Presi-                     of the people producing and we have 90                 railroad cars. Brad Karenbauer, 39 years old,
      dent Clinton went out and picked up 23                   percent of the people eating and talk-                 was a tool and die man. Mr. Mottern, 42, was
      votes. He gave a golf round here for                     ing about it. That is not a country.                   a welder. Jim Karenbauer, 60, ran the forge
      this particular Congressman, a golf                      Let’s not run around here about en-                    shop. They found challenge and satisfaction
      round there. Jake Pickle, the Congress-                  ergy, and run around here about                        in their ability to take a rought piece of
      man from Texas, my good friend, got a                                                                           metal and fashion it into the door or roof of
                                                               judges, and run around here about sup-
                                                                                                                      a sturdy railroad car that could whisk peo-
      cultural center. Another Congressman                     plemental bills, and whatever else.                    ple, coal and grain across the country.
      down in Texas got two C–17s. Oh, yes,                    Let’s sober up and start rebuilding this                 ‘‘I was making something. I had something
      the White House has the power. I do                      country, rebuilding jobs, and quit ex-                 to show for myself at the end of the day,’’
      not speak loosely or lightly. I speak                    porting them. Let’s put a tourniquet on                say Mr. Mottern.
      authoritatively. It has been reported in                 this outflow hemorrhage of jobs to any                   But Trinity started laying off workers in
      the press. They fixed the vote.                          and everywhere but the United States.                  2000 and a year ago, in a bid for efficiency,
        This vote was already fixed, unbe-                       We have a 6.5 percent unemployment                   shut down the Butler factory where the
                                                                                                                      Karenbauers and Mr. Mottern worked. After,
      knownst to the members of the Fi-                        rate. The real unemployment rate is                    the three men have begun scrounging for
      nance Committee, so that when the                        not just the 6.5 percent.                              work. They moved from job to job—shoveling
      treaties got here, they found this hid-                    Mr. President, there are those who                   snow, stocking a Wal-Mart Supercenter—but
      den provision on immigration and we                      have not applied, so it is a real unem-                nothing has added up to the pay or fulfill-
      cannot vote on it.                                       ployment rate of some 10 percent.                      ment of their old jobs.
        Finally, they put in a provision with                    My colleagues can see why I am wor-                    While hundreds of factories close in any
      respect to the transshipments to                         ried when we see ‘‘The Jobless and                     given year, something historic and fun-
      Singapore, and we cannot amend it. So                    Hopeless May Quit the Labor Force.’’                   damentally different is occurring now. For
      the Senator from South Carolina under                    That is how we get to 10 percent. This                 manufacturing, this isn’t a cyclical down-
                                                                                                                      turn. Most of these basic and low-skill fac-
      fast track is forbidden from voting his                  is another Times article dated April 26.               tory jobs aren’t liable to come back when
      will with respect to these particular                      Mr. President, if you think I am wor-                the economy recovers or when excess capac-
      trade agreements.                                        ried, let’s go to Mort Zuckerman, the                  ity around the world dissolves.
        I am really worried. I just mentioned                  editor in chief of U.S. News and World                   Railroad cars, unlike buggy whips, are still
      to the distinguished Senator from West                   Report. I quote:                                       needed, as are toys, appliances and shoes.
      Virginia about production in this coun-                    The statistics are enough to make an in-             But the task of making these goods is in-
      try. I go right back to Morita. We were                  cumbent assume the fetal position: 2.7 mil-            creasingly being assumed by more efficient
      talking about manufacturing. That has                    lion fewer private-sector jobs than two years          machines and processes. Or they’ve been
                                                               ago; the longest decline (32 months) in indus-         transferred to workers who earn less and live
      been the strength of Japan. It is now                                                                           in another country. While these changes
      the unquestioned strength of China. We                   trial employment since the Great Depres-
                                                               sion: the longest continuous decline in jobs           have been going on to a limited extent for
      think we are strong. We passed a reso-                   in more than 50 years. Making matters                  years, the economic slowdown has greatly
      lution in the United Nations at the end                  worse, the stock market has been off by dou-           accelerated and broadened this historic shift.
      of the eighties for the General Assem-                   ble digits for three years in a row. That’s the        By some estimates, roughly 1.3 million man-
      bly to have hearings on human rights                     first time that happened since the 1930s. The          ufacturing jobs have moved abroad since the
      in China. China went around us, to the                   markets’ plunge wiped out over $5 trillion in          beginning of 1992, the bulk in the past three
      leadership in Africa, in the Philippines,                value, including the retirement savings of             years to Mexico and East Asia.
                                                               millions of Americans.                                   Other plants around Butler also have
      in Malaysia, in Australia, and in New                                                                           closed, including one that fabricated steel
                                                                 As if all that were not enough, the $5.6 tril-
      Zealand. They picked up the votes, and                                                                          and another that made vinyl siding. Hun-
                                                               lion Federal surplus we saw during the 1990s
      we never had a hearing on human                          has been turned upside down into an esti-              dreds of manufacturing workers have been
      rights, even though we had it adopted                    mated $4 trillion deficit. Business activity is        left without jobs and their options for simi-
      in that particular committee.                            as weak as it has ever been outside of a re-           lar work have narrowed significantly in this
        One can say under domestic politics,                   cession, and we do not know whether this               city of 15,000, and hour north of Pittsburgh.
      it’s the economy, stupid; one can say                    signals the onset of another recession, the              ‘‘For people who work with their hands,
                                                               dreaded double dip.                                    there isn’t going to be much out there for
      under foreign policy, it’s the economy,
                                                                                                                      them for long,’’ says Brad Karenbauer.
      stupid, because it is the economic                         That is Mort Zuckerman.                                After he was laid off last summer, he
      strength of our Nation that is in ques-                    Some might say, HOLLINGS, you are                    couldn’t keep up with the rent of his apart-
      tion here.                                               all wound up about Texas. I am not                     ment. He moved with his girlfriend, Lisa
        I just finished reading a book, ‘‘An                   wound up about Texas. I am wound up                    Schnur, and their infant daughter into a
      Army at Dawn’’ by Rick Atkinson. He                      about the country. We are in the worst                 trailer owned by Ms. Schnur’s aunt.
      reminded me of the strength we had in                    shape I have ever seen, and they are                     Meanwhile,     a    landscaper    gave    Mr.
      World War II and how we really won                       running around here with tax cuts for                  Karenbauer odd jobs, moving lawns and put-
                                                                                                                      ting down mulch, paying him under the
      that war. I have been on several panels,                 jobs and growth. We have lost 2 million
                                                                                                                      table. That lasted until the snow fell. He
      having been a 3-year veteran starting                    jobs since we passed the tax cut. We                   doesn’t mind getting dirty or working out-
      out in Africa and ending up on V–E Day                   have lost 2.7 million since President                  side and admits he’s not comfortable behind
      in Austria. As much as anyone, Rosie                     Bush has taken office, according to Mr.                a desk. ‘‘That’s just not my cup of tea,’’ he
      the Riveter won that war. I hope in                      Zuckerman.                                             says. ‘‘Hands on is what I like to do. I like to




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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                     S10493
      work hard. Growing up, if there was work to              percent higher than the average of what all             place a part that had been made by welding
      do, you did it. After a while, you just got              American workers earn, according to the Na-             two pieces of metal together. That elimi-
      used to it.’’                                            tional Association of Manufacturers.                    nated the welding, and helped the depart-
        Now he finds himself stranded in the labor                One of the prized jobs in Butler County was          ment make twice as many pieces of higher
      pipeline along with a generation of assem-               building railroad cars, an industry with a              quality.
      blers, welders, and tool and die men who                 storied past. A century ago, the flamboyant                His employers gave him a framed certifi-
      learned their trade on the job and know lit-             Diamond Jim Brady, who made a fortune                   cate and a grainy video of his talk, which he
      tle of computer-driven machines and new age              selling railroad parts, and engineer John               still shows visitors. ‘‘All the bigwigs were
      manufacturing techniques. In June, manu-                 Hansen built the world’s largest freight-car            down there,’’ he says.
      facturing cut 56,000 jobs, the 35th consecu-             plant, half a mile long, in Butler, according              Trinity closed the Butler plant and in 2002
      tive monthly decline and the longest string              to local historian Ralph Goldinger.                     and one other, citing the slowdown in the
      of layoffs in that industry since World War                 Inside, more than 1,110 welding machines             rail industry. ‘‘We no loner needed to main-
      II.                                                      melted steel pieces together, producing at its          tain all the facilities previously supporting
        ‘‘We’re saving corporate jobs by moving                peak 27,000 railroad cars a year. At first it           our parts business,’’ it said in a statement.
      production jobs to lower-cost areas,’’ says              was called Standard Steel Car Co., but the              The company, which has operations in Mex-
      Daniel Meckstroth, chief economist with the              company merged with Pullman Inc. of Chi-                ico, the Czech Republic and Romania, said
      Manufacturers Alliance, a public policy and              cago, to become the well-known Pullman-                 the Butler work would be done at its plant in
      business research group in Arlington, Va.                Standard Co., whose posh cars made com-                 Texas.
        The shift also means income for secre-                 fortable cross-country travel a reality.                   ‘‘We’ll never find a job like that,’’ says Mr.
      taries, maintenance workers, and counter                    Civic-minded Pullman donated its eight-              Mottern. While working at the Trinity fac-
      people in lobby coffee shops and staff park-             acre ballpark to Butler in the 1940s. The New           tory, he was able to buy 40 acres of land. He
      ing garages. Furthermore, off-loading much               York Yankees sometimes played exhibition                cleared a hilltop and built a tidy ranch house
      of the low-skill production work saves                   games there, giving locals a chance to cheer            at the end of a long driveway, flanked by
      money and makes companies more competi-                  Whitey Ford, Joe DiMaggio and Lou Gehrig.               tiny evergreen saplings. A barn is filled with
      tive. That means they can focus on innova-               Streets were named after the company                    a half-dozen pieces of John Deere equipment,
      tion and potentially create other jobs.                  founders. Mr. Hansen built a mansion with               including a 1952 model he and his cousins
        Stan Donnelly, whose Alexandria, Minn.,                seven fireplaces on West Pearl Street. It still         rode on their grandparents’ farm.
      company makes plastic parts for big equip-               stands today.                                              ‘‘I’m not going to lose this,’’ he says. ‘‘I’m
      ment manufacturers, imports tools from                      Jim Karenbauer started at Pullman in                 willing to work so I know someone out there
      China to save money. In the long run, by-                1965, when he was 22 years old and fresh out            is going to hire me. I always figured I could
      passing U.S. toolmakers is a mistake, he be-             of the Air Force. He worked in the store-               just go and work with my hands. It’s all I
      lieves. Those kinds of jobs helped create and            room, then transferred to the forge depart-             know,’’ says Mr. Mottern.
      sustain the middle class, and he’s not sure              ment because he could learn and earn more.                 After Mr. Mottern was laid off last summer
      displaced workers will learn new skills and              Eventually, he became foreman, earning                  he worked for a landscaper. That winter he
      become higher paid. ‘‘Look, we’ve got mil-               $32,000 a year when Pullman closed its doors            shoveled snow and ran errands for an elderly
      lions of people who have failed to get                   in 1982.                                                judge. Mr. Mottern doesn’t want to leave
      through high school. If their minds are not                 Jobs were scarce, but he found one with              Butler because his family and girlfriend are
      their salvation, what’s wrong with letting               the Butler Township zoning department, in-              here.
      their hands be their salvation?’’ asks Mr.               specting buildings and property. He quit                   He and Brad, his cousin, sometimes meet
      Donnelly. ‘‘Over the last two centuries,                 after three years. ‘‘I couldn’t take the poli-          for a breakfast of eggs-over-easy and home
      America has developed a balanced society,                tics,’’ he says. He sold insurance for a while,         fries at Eat’N’Park restaurant. they often
      with opportunities for a large cross section             walking up and down Butler’s streets,                   discuss their growing fear that they are be-
      of people. We’re gutting that.’’                         knocking on doors.                                      coming obsolete. Both feel they are behind
        In Brad and Jim Karenbauer’s childhood                    Two years after Pullman closed, Trinity              on computer technology, which is increas-
      home, work was part of the natural rhythm                came in and started making replacement                  ingly      important     in    factories.   Brad
      of the day, filling the space between school             parts for railroad cars in the same factory.            Karenbauer recently saw a John Deere trac-
      and supper and most daylight hours during                Jim Karenbauer got a call in 1987 asking him            tor with a computerized panel in the engine.
      weekends. If they weren’t helping around                 to run the plant’s forge operation. ‘‘They got          ‘‘It was way out of my league,’’ he says.
      their own house, they were dispatched to                 the old Pullman guys who knew how to run                   Prospects for workers with their skills are
      their grandparent’s farm, as were Danny                  that stuff,’’ he says. About six months later           dim. Pennsylvania has lost one out of 10
      Mottern and other cousins. They plowed                   he brought home applications for his young-             manufacturing jobs, or 90,300 jobs, in the
      fields and stacked hay. Surrounded by John               er brother and cousin.                                  past three years. Industrial cities such as
      Deere tractors, they learned how to take ma-                While Jim Karenbauer made the coupling               Butler have been disproportionately hit by
      chines apart and put them back together.                 rods that hook together railroad cars, Mr.              job loss. Earlier this year, unemployment in
        Their grandmother fried up homemade sau-               Mottern welded chutes for coal and grain                the county jumped to 7.3 percent the highest
      sage in her iron skillet to welcome them                 cars. Brad Karenbauer moved around the                  level since 1994.
      back from the fields. Afterward, they relaxed            floor adjusting machines that were clogged                 Moreover, even though inflation-adjusted
      under an oak tree, with a bobble of pop and,             or not working properly. He learned the tool            output by manufacturers nationally is ex-
      when older, a cold beer.                                 and die trade, the craft of making the tools            pected to grow 36 percent over the next dec-
        The Karenbauers’ father worked in a small              that form parts, from his supervisor. ‘‘He              ade, employment is expected to grow only 3
      fabrication shop, welding steel for bridges              took a liking to me and taught me,’’ Mr.                percent, or by 577,000 jobs, according to the
      and buildings. With six kids, money was                  Karenbauer says. That sort of informal                  Manufacturers Alliance. The bulk of the new
      tight, but they never felt poor. They had a              teaching was invaluable to companies and                jobs will be given to those with computer,
      half a cow in the freezer. ‘‘If you didn’t have          workers who couldn’t afford other education.            mathematics and management skills, while
      it, you didn’t need it,’’ says Brad                      And for generations, it sufficed.                       production workers are expected to decline
      Karenbauer. College wasn’t an option. Even                  A die, or mold, shapes metal part much as            as a share of all manufacturing occupations.
      if they had the money, he wouldn’t have                  a waffle iron shapes a waffle. Brad                        The Butler Eagle carries some ‘‘help want-
      gone: ‘‘I was not a school-oriented person,’’            Karenbauer’s job of maintaining them was                ed’’ ads, but the skills and pay don’t fit their
      he says.                                                 critical and he was paid relatively well. At            levels. United Plate Glass Co., with 45 em-
        In their community, working with ma-                   the time he was laid off last year, he earned           ployees, plans to expand, but it can’t afford
      chines was nothing to be ashamed of and                  $14.50 an hour.                                         these workers. ‘‘They have 10 to 12 years
      there were plenty of opportunities to make a                For him, the challenge of figuring out how           with a company and I can’t afford the salary
      comfortable living. Brad Karenbauer took                 to fix problems was as rewarding as the pay.            level they have reached,’’ says President Wil-
      three years of welding in high school and                ‘‘I loved my job. I never did the same thing            liam Cully.
      after graduation in 1981 worked 16-hour days             every day. I’d build a new die. Or fix the old             It’s especially tough for midcareer workers
      for a brother-in-law who had a boiler-repair             one that died,’’ he says. Co-workers voted              with family responsibilities. Almost 40, Brad
      business. ‘‘It was a blast,’’ he says. ‘‘My              him ‘‘employee of the month,’’ which was                Karenbauer has three kids. Along with his
      brother-in-law didn’t believe in an eight-               noted on a sign outside the plant and ac-               14-month-old, he is supporting a 17-year-old
      hour day. You went to a job and stayed until             knowledged with a $150 gift certificate from            daughter and 13-year-old-son. He passed over
      it was done. I was bringing home more                    Sears. ‘‘I bought a couch with that,’’ he says.         a job paying $6.50 an hour. Another paid $8
      money than I could spend.’’                                 Once he was invited to Trinity’s head-               an hour, but involved industrial chemicals,
        Then as now, manufacturing paid more and               quarters in Dallas to explain his solution to           which he thought would be dangerous. Mr.
      had better benefits than many other jobs. In             a glitch that had been causing many pieces              Karenbauer has a friend from Trinity who
      Butler County, population 174,000 about 20               of a metal post to be scrapped. He figured              went to work for the township, making $13
      percent of the work force is in manufac-                 out that the post was moving slightly when              an hour. ‘‘I’d take a job that makes that,’’ he
      turing, but those jobs contribute 30 percent             it was in the press, causing a wrinkle. He              says.
      of the county payroll. Nationwide, manufac-              built a device to hold it firmly. His cousin,              So far, though, he hasn’t found one. The
      turing jobs averaged $54,000 in pay in 2000—20           Mr. Mottern, came up with a design to re-               $7,000 in his 401(k) is gone. He used it to buy




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      S10494                                             CONGRESSIONAL RECORD — SENATE                                                            July 31, 2003
      a car and pay off debt. With his unemploy-               Tata employees were brought in to help on a             ming. Anything more rewarding required
      ment running out and in need of health in-               platform-conversion project. Maglione, 44,              emigrating. ‘‘Until three years ago, the first
      surance benefits, he finally took a job in               trained and managed a five-person Tata                  preference was to go overseas,’’ she says.
      April at Harmony Castings, a 60-person                   team. When one of them was named man-                   Nowadays her colleagues are interested only
      foundry that paid $8.85 an hour. He drove 45             ager, he started to worry. By the end of last           in business trips to the U.S. ‘‘People are
      minutes to get to the foundry and worked a               year, 70% of the project had been shifted to            pretty comfortable with the jobs here and
      midnight shift.                                          India and nearly all 20 U.S. workers, includ-           the pay here’’—not to mention the cars and
        Standing in one spot eight hours a night,              ing Maglione, were laid off.                            houses that once seemed out of reach. Em-
      he took one aluminum part after another                     Since then, Maglione has been able to find           ployees in her group earn from $5,200 a year
      and grinded off burrs to smooth them. ‘‘To               only temporary work in his field, take a pay            to $36,000 for the most experienced managers.
      be honest with you, I’m not liking it at all,’’          cut of nearly 30% from his former salary of               And as American companies have grown
      he said shortly after taking the job. ‘‘It’s             $77,000. For a family and mortgage, he says,            more familiar with their Indian outsourcing
      repetition and I hate repetition.’’                      ‘‘that doesn’t pay the bills.’’ Worried about           partners, they have steadily increased the
        For challenge and additional cash, he buys             utility costs, he runs after his two children,          complexity of work they are willing to hand
      broken weed eaters and lawn mowers at yard               11 and 7, to turn off the lights. And he has            over. Rajeshwari Rangarajan, 28, leads a
      sales to repair and sell at a profit. He re-             considered a new career as a house painter.             team of seven Wipro workers enhancing the
      cently bought one for $15, put in a new spark            ‘‘It doesn’t require that much skill, and I             intranet site on which Lehman Brothers em-
      plug and sold it to a friend—for $15. ‘‘They             don’t have to go to school for it,’’ Maglione           ployees manage personal benefits like their
      were in the same predicament I’m in,’’ he                says. And houses, at least, can’t be painted            401(k) accounts. ‘‘I see myself growing with
      says.                                                    from overseas.                                          every project that I do here,’’ Rangarajan
        His cousin, Mr. Mottern, lucked out and                   Jobs that stay put are becoming a lot hard-          says. ‘‘I really don’t have any doubts about
      landed a job, also in April, working on a rail-          er to find these days. U.S. companies are ex-           the growth of my career.’’
                                                               pected to send 3.3 million jobs overseas in               Her experience with a leading brokerage
      road track crew. It pays $12 an hour, a $1.30-
                                                               the next 12 years, primarily to India, accord-          will probably help. Financial-services com-
      an-hour pay cut from his old job at Trinity,
                                                               ing to a study by Forrester Research. If                panies in the U.S. are expected to move more
      but after a winter of shoveling snow and
                                                               you’ve ever called Dell about a sick PC or              than 500,000 jobs overseas in the next five
      summers of planting trees by the highway,
                                                               American Express about an error on your                 years, according to a survey by management
      he is thrilled. The job also has the potential
                                                               bill, you have already bumped the tip of this           consultant A.T. Kearney, and India is by far
      for benefits. ‘‘I’m going to go down and bust                                                                    the top destination. U.S. banks, insurance
      my rear end fro them,’’ he says.                         ‘‘offshore outsourcing’’ iceberg. The friendly
                                                               voice that answered your questions was                  firms and mortgage companies have been
        Most of the available jobs have been at                                                                        using outscouring to handle tech support for
      malls. Mr. Karenbauer’s older brother, Jim,              probably a customer-service rep in Ban-
                                                               galore or New Delhi. Those relatively low-              years. Now these firms are using Indian
      now works at the Wal-Mart Supercenter,                                                                           workers to handle the business operations—
      which opened last year. ‘‘There’s four or five           skilled jobs were the first to go, starting in
                                                               1997.                                                   say, assessing loan applications and credit
      of us here now,’’ says Jim Karenbauer, refer-                                                                    checks—that      the   technology     supports.
      ring to his former Trinity co-workers. He re-               But more and more of the jobs that are
                                                               moving abroad today are highly skilled and              Kumar Mahadeva, CEO of the thriving
      financed his house a few years ago to pay for                                                                    outsourcing firm Cognizant, explains the ap-
      his daughter’s college, and lost a chunk of              highly paid—the type that U.S. workers as-
                                                               sumed would always remain at home. In-                  peal: ‘‘It becomes logical for them to say,
      his retirement savings when the stock mar-                                                                       ‘Hey, you know everything about the way we
      ket sank, so he can’t retire.                            stead Maglione is one of thousands of Ameri-
                                                               cans adjusting to the unsettling new reality            do claims processing. Why not take a piece
        He’d prefer work in a forge department but                                                                     of it?’’
      couldn’t find a job in one. At Wal-Mart he               of work. ‘‘If I can get another three years in
                                                                                                                         The next logical step, says Andrea Bierce,
      makes $6.25 an hour, half of what he earned              this industry, I’ll be fortunate,’’ he says.
                                                                                                                       a co-author of the A.T. Kearney study, is
      at Trinity. He stocks shelves with VCRs and              Businesses       are    embracing     offshore
                                                                                                                       jobs that require more complex financial
      rings the cash register. He wheels televisions           outsourcing in their drive to stay competi-
                                                                                                                       skills such as equity research and analysis or
      sets out to the parking lot on a dolly. ‘‘Lift-          tive, and almost any company, whether in
                                                                                                                       market research for developing new business.
      ing them into the car is the hard part,’’ the            manufacturing or services, can find some
                                                                                                                       Evalueserve, a niche outsourcing company in
      60-year-old says. ‘‘They get pretty heavy.’’             part of its work that can be done off site. By
                                                                                                                       Delhi, already performs research for patent
        After a month at the casting foundry, Brad             taking advantage of lower wages overseas,
                                                                                                                       attorneys and consulting firms in the U.S. In
      Karenbauer recently gave up his job. He                  U.S. managers believe they can cut their                April, J.P. Morgan Chase said it would hire
      couldn’t juggle the night shift and taking               overall costs 25% to 40% while building a               about 40 stock-research analysts in Bom-
      care of his daughter, while his girlfriend               more secure, more focused work force in the             bay—about 5% of its total research staff.
      worked. A landscaper put him to work mow-                U.S. Labor leaders—and nonunion workers,                Novartis employs 40 statisticians in Bombay
      ing lawns and doing odd jobs for cash. The               who make up most of those being displaced—              who process data from the drug company’s
      work will dry up again once winter arrives,              aren’t buying that rationale. ‘‘How can                 clinical research.
      so he’s still looking.                                   America be competitive in the long run send-              But as educated workers in India are find-
        He doesn’t regret not going to college, or             ing over the very best jobs?’’ asks Marcus              ing new opportunities, those in the U.S. feel
      working with his hands. ‘‘I think I’ve done              Courtney, president of the Seattle-based                the doors closing. Last week Bernie Lantz
      better than my father,’’ he says. ‘‘I just won-          Washington Alliance of Technology Workers.              drove 1,400 miles from his home in Plano,
      der where things are going. That trade of                ‘‘I don’t see how that helps the middle                 Texas, to begin a new life in Utah. He is 58
      working with your hands is just about gone               class.’’                                                years old, a bachelor, and had lived in the
      now.’’                                                      On the other side of the world, though,              Dallas area for 24 years. ‘‘I’m leaving all my
                                                               educated Indian workers are quickly adjust-             friends,’’ he says with a sigh. ‘‘It’s quite an
        Mr. HOLLINGS. I picked up my Au-                       ing to their new status as the world’s most             upheaval.’’ Lantz used to earn $80,000 a year
      gust 4 issue of Time magazine: ‘‘Where                   sought-after employees. They have never                 as a troubleshooter for Sabre, a company
      The Good Jobs Are Going. Forget                          been more confident and optimistic—as                   based in Southlake, Texas, whose software
      Sweatshops. U.S. companies are now                       Americans usually like to think of them-                powers airline-reservations systems. But
      shifting high-wage work overseas, espe-                  selves. For now, at least, in ways both tan-            over the past two years, Sabre has gradually
      cially to India.’’                                       gible and emotional, educated Americans                 standardized and has centralized its software
        I ask unanimous consent that this ar-                  and Indians are trading places.                         service. As Sabre began to outsource its in-
                                                                  Uma Satheesh, 32, an employee of Wipro,              ternal IT services, Lantz says, he became
      ticle be printed in the RECORD.                          one of India’s leading outsourcing compa-               convinced that jobs like his were becoming
        There being no objection, the mate-                    nies, is among her country’s new elite. She             endangered. He was laid off in December. (A
      rial was ordered to be printed in the                    managed 38 people who work for Hewlett-                 company spokesman denies that Lantz’s fir-
      RECORD, as follows:                                      Packard’s enterprise-servers group doing                ing was related to outsourcing.)
            [From Time Magazine, Aug. 4, 2003]                 maintenance, fixing defects and enhancing                 Discouraged by a depressed job market in
                                                               the networking software developed by HP for             Dallas, Lantz realized he would have to do
      WHERE THE GOOD JOBS ARE GOING; FORGET
                                                               its clients. Her unit includes more than 300            something else. In the fall he will begin
        SWEATSHOPS, U.S. COMPANIES ARE NOW
                                                               people who work for HP, about 90 of whom                teaching computer science a Utah State Uni-
        SHIFTING HIGH-WAGE WORK OVERSEAS, ES-
                                                               were added last November when HP went                   versity in Logan, and in the meantime he
        PECIALLY TO INDIA
                                                               through a round of cost-cutting.                        has learned a lesson of his own: ‘‘Find a job
          (By Jyoti Thottam with Sean Gregory)                    ‘‘We’ve been associated with HP for a long           that requires direct hands-on work on site,’’
        Little by little, Sab Maglione could feel his          time, so it was an emotional thing,’’                   Lantz advises. ‘‘Anything that can be sent
      job slipping away. He worked for a large in-             Satheesh says. ‘‘It was kind of a mixed feel-           overseas is going to be sent overseas.’’
      surance firm in northern New Jersey, devel-              ing. But that is happening at all the compa-              Pat Fluno, 53, of Orlanda, Fla., says she,
      oping the software it uses to keep track of              nies, and it’s going to continue.’’ Satheesh            like Maglione, had to train her replace-
      its agents. But in mid-2001, his employer in-            says that five years ago, computer-science              ment—a common practice in the domestic
      troduced him to Tata Consultancy Services,               graduates had one career option in India:               outsourcing industry—when her data-proc-
      India’s largest software company. About 120              routine, mind-numbing computer program-                 essing unit at Germany-based Siemens was




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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                                                                           S10495
      outsourced to India’s Tata last year. ‘‘It’s ex-         land at the end of World War II, do not                                                                        have as many Americans engineers as
      tremely insulting,’’ she says, ‘‘The guy’s sit-          worry, instead of a nation of bronze,                                                                          there are in China. We maintain our se-
      ting there doing my old job.’’ After 10                  you are going to be a nation of brains;                                                                        curity by a superiority of technology,
      months of looking, she is working again, but
                                                               instead of providing products, you are                                                                         and we are draining the tub of tech-
      she had to take a $10,000 pay cut.
        To protect domestic jobs, U.S. labor activ-            going to provide services; instead of                                                                          nology just as fast as we can. Yet in
      ists are pushing to limit the number of H–1B             creating wealth, you are going to han-                                                                         this Chamber, we want to talk about
      and L–1 visas granted to foreign workers.                dle it and be a financial center.                                                                              an Energy bill, want to talk about a
      That would make it harder for offshore com-                Of course, England has gone to eco-                                                                          judge—don’t we want to talk about
      panies to have their employees working on                nomic hell in a hand basket. Downtown                                                                          trade? Put fast track on the Energy
      site in the U.S. ‘‘Those programs were de-               London is an amusement park. Let’s                                                                             bill. Why not? Unless, by gosh, we get
      signed for a booming high-tech economy, not              not go that way. We have to produce.                                                                           serious and start talking about jobs in
      a    busting     high-tech   economy,’’     says           As they crown the queens and bring
      Courtney of the Washington Alliance of
                                                                                                                                                                              America, the economic strength, the
                                                               out the kings and everything else of                                                                           industrial backbone of this Nation.
      Technology Workers. Courtney and his allies
      are starting to get the attention of law-                that kind, we are in a position where
                                                                                                                                                                                Tax cuts loses jobs. Free trade loses
      makers. Several congressional committees                 we do not make anything anymore. For
                                                                                                                                                                              jobs. We have a race to the bottom to
      have held hearings on the impact of offshore             example, footwear, 83.6 percent of our
                                                                                                                                                                              Mexico. In South Carolina we have lost
      outsourcing on the U.S. economy, and law-                shoes are imported; 70 percent of our
                                                                                                                                                                              61,000 jobs—incidentally, we were sup-
      makers in five states have introduced bills              clothing is imported.
      that would limit or forbid filling government                                                                                                                           posed to get 200,000 jobs in America by
                                                                 Ceramic household articles, 87 per-
      contracts through offshore outsourcing.                                                                                                                                 signing NAFTA. That is what NAFTA
                                                               cent is gone; cooking and kitchen-
        Stephanie Moore, a vice president of                                                                                                                                  was going to create for us. Nationally,
                                                               ware, gone. And I can read on and on,
      Forrester Research, says companies are con-                                                                                                                             we have lost 450,000 jobs to Mexico, but
      cerned about the backlash but mainly be-
                                                               right on down the line.
                                                                 I ask unanimous consent that this                                                                            not for long because those same Mexi-
      cause of the negative publicity. ‘‘The retail                                                                                                                           can jobs formerly in America are now
      industry is very hush-hush about its                     list be printed in the RECORD.
                                                                 There being no objection, the mate-                                                                          going to China.
      offshoring,’’ she says. But within the board-
      room, such outsourcing enjoys wide support.              rial was ordered to be printed in the                                                                            It is different than what Henry Ford
      In a June survey of 1,000 firms by Gartner               RECORD, as follows:                                                                                            said. Henry Ford said, I want the man
      Research, 80% said the backlash would have                                                                                                                              making that automobile to be able to
      no effect on their plans.                                                                                                                                  Percent
                                                                                                         Item                                                    import       buy it. He produced a minimum wage
        The advantages, businesses say, are just                                                                                                               penetration    and he produced health benefits. So we
      too great to ignore. They begin with cost but
                                                               Footwear .................................................................................              83.6   built up middle America. Now, instead,
      don’t end there. Jennifer Cotteleer, vice
      president of Phase Forward, a Waltham,                   Ceramic household articles ...................................................                          87.0   with a trade policy of free trade, like
                                                               Cooking and kitchenware ......................................................                          58.4
      Mass., company that designs software for                 Industrial thermal-processing equipment and furnaces ......                                             60.6   monkeys on a string, there is no such
      measuring clinical-trials data for drug com-             Household appliances, including commercial applications ..                                              44.3   thing as free trade. That is an
                                                               Textile machinery ...................................................................                   86.5
      panies, has for the past two years used off-             Metal forming machine tools ................................................                            49.6   oxymoron. Trade is something for
      shore employees from Cognizant to cus-                   Semiconductor manufacturing machinery .............................                                     52.3   something. If it is free, it is a gift. But
      tomize the application for specific drug                 Boilers, turbines, and related machinery ..............................                                 56.6
                                                               Electrical transformers, static converters, and inductors ....                                          49.7   with that particular policy, we have to
      trials. Lately she has been relying on their             Aircraft engines and gas turbines ........................................                              42.2   race to the bottom in the United
      expertise to develop even more-tailored pro-             Office machines .....................................................................                   51.7
                                                               Consumer electronics (except televisions) ............................                                  89.8   States of America.
      gramming. ‘‘I certainly couldn’t have grown
                                                               Television receivers and video monitors ...............................                                 79.2     I have an article from the New York
      this fast without them,’’ Cotteleer says. Her            Radio and television broadcasting equipment .....................                                       77.3
      company is growing 30% annually, on track                Electrical capacitors and resistors ........................................                            75.7   Times, July 20, that I wanted to read,
      to reach $65 million in revenue this year.               Computers, peripherals, and parts .......................................                               59.8   which points out our tremendous dif-
                                                               Optical goods, including ophthalmic goods ..........................                                    53.9
      ‘‘What I’ve been able to do in very tough eco-           Handbags ...............................................................................                88.8   ficulty. I ask unanimous consent to
      nomic times is manage very directly to my                Musical instruments and accessories ...................................                                 64.6
                                                               Bicycles and certain parts ....................................................                         68.8
                                                                                                                                                                              have this article printed in the
      margins,’’ she says. ‘‘I’m providing job secu-
      rity for the workers I do have.’’                        Toys ........................................................................................           84.0   RECORD.
        Creative use of offshore outsourcing, says                                                                                                                              There being no objection, the mate-
      Debashish Sinha of Gartner Research, offers                Mr. HOLLINGS. We do not make
                                                                                                                                                                              rial was ordered to be printed in the
      benefits that outweight the direct loss of               anything anymore. We are just jab-
                                                                                                                                                                              RECORD, as follows:
      jobs. In an economy that has shed 2 million              bering to each other. We are not pro-
      jobs over two years, he contends, the 200,000            ducing.                                                                                                         [From the New York Times, July 20, 2003]
      that have moved overseas are less significant              The Secretary of Commerce is bur-                                                                               ECONOMIC VIEW; PRODUCING ABROAD IS
      than the potential for cost savings and stra-            dened with the duty—and the current                                                                                       HARMING RECOVERY
      tegic growth. But he concedes that ‘‘when                occupant of the chair would be inter-
      you’re a laid-off employee who can’t find a              ested in this—of listing some 500 crit-                                                                                    (By Louis Uchitelle)
      job, that’s hard to understand.’’
        Perhaps some will follow the example of                ical articles to our national security                                                                           For nearly 29 months, the nation has
      Dick Taggart, 41, of Old Greenwich, Conn.                for defense purposes. We have a $5 bil-                                                                        struggled through a recession and a weak re-
      After 18 years in financial services, most re-           lion deficit in the balance of trade. We                                                                       covery. That is a long struggle, a new form
      cently at J.P. Morgan Chase, he now works                had to wait 5 months before we went                                                                            of hardship for many Americans, who are
      for Progeon, an affiliate of the Indian                  into Desert Storm to get mainframes                                                                            tantalized with incessant forecasts that a de-
      outsourcing giant Infosys, as its man on                                                                                                                                cisive upturn is about to happen. But as the
                                                               from the Japanese. Now we have to go                                                                           months wear on, the dogged optimism de-
      Wall Street. One week out of every six or                to other countries before we can go to
      seven, he takes securities firms to India to                                                                                                                            taches from reality.
                                                               war. We do not make those things any-
      show them the savings that are possible. He                                                                                                                               For starters, the forecasters seem not to
      knows the transition is painful for the work-            more. We have an advanced technology                                                                           grasp how much the American economy has
      ers left behind, but he has seen it before. ‘‘It         of a $2 billion a month deficit in the                                                                         deviated from the standard business cycle
      was the same thing when we moved from                    balance of trade, over $24 billion a                                                                           and the standard cures. A major reason for
      Wall Street to New Jersey and then to Dal-               year, in advanced technology.                                                                                  the deviation is the mobility of American
      las,’’ he says. ‘‘Guess what? This is next.’’              The Japanese have given up. They                                                                             companies, particularly the ease with which
        Mr. HOLLINGS. What happens is                          moved their advanced technology and                                                                            they now shift operations to China and
      that when we used to argue for manu-                     research to Shanghai. The most mod-                                                                            India. ‘‘The wholesale movement of jobs and
      facturing jobs, they said, oh, don’t                     ern automotive research is in down-                                                                            production overseas is handcuffing the recov-
                                                                                                                                                                              ery,’’ said Mark M. Zandi, chief economist at
      worry, the service economy will                          town Shanghai. General Motors put it
                                                                                                                                                                              Economy.com.
      produce jobs. Then when the service                      there. We can go right on down the list.
      economy was leaving, they said high                      The Chinese are saying before anyone                                                                             In other downturns since World War II, the
                                                                                                                                                                              economy moved from healthy growth to con-
      tech, will be the motor of growth. Then                  can come with factories, they have to                                                                          traction and back to healthy growth, all in
      there was Y2K, that was to be the next                   bring their research.                                                                                          less than two years. The downward swings
      motor of growth.                                           The technology community of the                                                                              were relatively easy to fix. The swings began
        The high-tech jobs are gone. The                       United States is concerned about our                                                                           when companies found themselves producing
      service jobs are gone. As they told Eng-                 technological capability. We do not                                                                            more goods and services than people bought.




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      S10496                                             CONGRESSIONAL RECORD — SENATE                                                         July 31, 2003
      Inventories built up, particularly in manu-              the chief economist of Morgan Stanley.                  ander Hamilton who won out. He even
      facturing, and companies responded by cut-               He finds that China’s total exports                     persuaded Madison, who voted for it.
      ting output until it was below demand. Rath-             have tripled since 1994, that 65 percent                  He issued the ‘‘Report on Manufac-
      er than produce more, companies filled or-
      ders from stockpiles. As output declined, un-
                                                               of the $244 billion increase comes from                 turers.’’ It is too long to include in the
      employment rose and wages stopped increas-               foreign companies in China, most of                     RECORD. The original copy is at the Li-
      ing. Capital spending also suffered. After all,          them United States.                                     brary of Congress. It can be expressed
      why expand when the capacity to produce al-                Then I want you to listen to this                     in one expression: Hamilton told the
      ready exceeds demand?                                    economist about the economy, Mr.                        British to bug off. We are not going to
        But the damage did not last long. The Fed-             Mark M. Xanely. Before I quote him,                     remain your colony, shipping to you
      eral Reserve stepped in, cutting interest                let me say I am not an economist but
      rates to encourage spending. Unemployment
                                                                                                                       our agriculture, our foodstuffs, our
      insurance, public spending, and sometimes
                                                               I finally found one that is going to cor-               rice, our cotton, our indigo, our coal,
      tax cuts, helped resurrect demand. As spend-             rect Alan Greenspan, because Mr.                        our iron ore. We are not going to re-
      ing picked up and inventories disappeared,               Greenspan is looking to consumer de-                    main a colony; no, we will become a
      prices began to rise, which encouraged more              mand.                                                   nation state.
      production. Hiring resumed, as did capital                 But before you can have consumer                        The first bill to ever pass Congress
      spending.                                                demand, you have to have consumers.                     was for the seal of the United States—
        These various remedies are being used now,             Before you have consumers, you have
      and there is some strength in spending. Yet                                                                      but the second bill on July 4, 1789, that
      inventories have failed to diminish, so
                                                               to have producers. Before you have pro-                 passed this Congress was protec-
      prices, production, hiring and capital spend-            ducers, you have to have jobs. Here is                  tionism, a tariff bill of 50 percent on 60
      ing do not rise.                                         what he says:                                           articles.
        The difficulty is that companies have a                  For starters, the forecasters seemed not to             We built this country over a 160-year-
      choice that was not as available in the last             grasp how much the American economy has                 period with protectionism. I will never
      downturn 12 years ago. Rather than halt pro-             deviated from the standard business cycle
      duction at home, they shift it abroad to cut
                                                                                                                       forget, every time they would tell me:
                                                               and the standard cures. A major reason for
      costs, particularly labor costs. They feel               the deviation is the mobility of American
                                                                                                                       Senator, you are nothing but a protec-
      compelled to do this. If they did not, their             companies, particularly the ease with which             tionist.
      competitors would upstage them with their                they now shift operations to China and                    I am for free trade, free trade. The
      own lower-cost, overseas production that                 India. The wholesale movement of jobs and               opponents do not know what the heck
      takes away sales back home.                              production overseas is handcuffing the recov-           they are talking about. I feel sorry for
        In the process, the mechanism for restor-              ery.                                                    them. Protectionism built the country.
      ing our economy to healthy growth—by re-
      ducing inventories and excess capacity—fails               Why do they have a jobless recovery?                  We did not even have the income tax
      to function properly. Inventories may seem               Because the economy of the United                       until 1913. We built it on tariffs.
      to diminish when only ‘‘Made in America’’ is             States is handcuffed with this silly cut-                 After Hamilton came Lincoln. People
      counted. But in the new global economy,                  ting of the taxes, jobs and growth, jobs                told Lincoln that to build the trans-
      what’s made in America and what’s made                   and growth, free trade, free trade, free                continental rail we ought to get steel
      abroad both contribute to inventories and                trade.                                                  from England. The father of the Repub-
      capacity. The total does not shrink, and the               Maybe it is not jobless growth, it is                 lican Party said: No, no. We are going
      economy flounders month after month.                     just jobless in the United States. This                 to build our own steel mills and when
        Still, there is some relief. Super-low inter-
      est rates, mortgage refinancing, stepped-up              tax incentive, this stimulation is not                  we get through we will not only have
      military spending and some of the Bush tax               going to create jobs in downtown Nash-                  the rail equipment, we will have our
      cuts augur a temporary pop in economic                   ville, TN. The jobs will be in Shanghai,                steel production.
      growth. But temporary is the operative                   China. If you are in Nashville, TN, and                   Then Roosevelt in the depth of the
      word. The more enduring pressure on the                  you get a good fat tax break, the ques-                 Depression protected agriculture. Peo-
      economy is downward, not upward.                         tion arises, should you build the plant                 ple do not think I know anything about
        The biggest beneficiary appears to be
                                                               in Nashville? No, your competition has                  farming. But I get the farm vote every
      China. Abundant transportation has made
      China an ever-easier place for American                  gone to China. If you are going to meet                 time I run. I love campaigning out in
      companies to shift production of goods and               the competition, you are going to have                  Iowa. I can tell you right now Roo-
      services for sale in the market back home.               to put that new plant, use that tax                     sevelt protected agriculture. And Ei-
        The nation’s trade deficit, the excess of our          break, that stimulation—not to invest                   senhower protected oil in the 1950s
      imports over exports, has risen by 31 percent            in the United States but to invest in                   with quotas. We built the country with
      since the recession began in March 2001. The                                                                     protectionism.
                                                               China.
      increase, totaling $114 billion, would add one
                                                                 We are missing the point of history                     I will never forget when we had to
      percentage point to American economic
      growth—enough to turn a weak recovery                    when everyone talks of this free trade                  have President Reagan’s second inau-
      into a strong one—if the rise in output were             nonsense. I remind them of Alexander                    guration right out here in the Rotunda.
      at home, not abroad. One-third of the total              Hamilton, a good Republican. Some of                    He raised his hand and he said, ‘‘pre-
      increase represents imports from China, Mr.              them want to replace him with the in-                   serve, protect and defend.’’ Then we
      Zandi says. Honing the figures, Steven S.                ventor of voodoo I, Ronald Reagan, on                   came back here and we debated some-
      Roach, chief economist at Morgan Stanley,                the $10 bill. You got some crazy things                 thing on trade. I said something about
      finds that China’s total exports have tripled
                                                               going on in this town. Imagine putting                  protection and the majority jumped all
      since 1994, and that 65 percent of the $244 bil-
      lion increase comes from foreign companies               Ronald Reagan on the $10 bill rather                    over me: You are a protectionist, pro-
      in China.                                                than Alexander Hamilton—one of the                      tectionist.
        ‘‘We are criticizing the Chinese as if they            greatest of the great. Hamilton not                       We have the Army to protect us when
      were cleaning our clock and the only part of             only helped with the Constitution, not                  the enemy is out. We have Social Secu-
      China that is cleaning our clock is the part             only helped Madison with the Fed-                       rity to protect us from old age. We
      that we put there,’’ Mr. Roach said.                     eralist Papers, but created a ‘‘Report                  have Medicare to protect us from ill
        What is to be done? If we do anything, we
      are likely to pressure the Chinese to float              on Manufacturers.’’ I have it right                     health. We have environmental laws,
      their currency. A floating yuan would rise               here.                                                   clean air and clean water, to protect
      against the dollar, making Chinese exports                 What happened was the fledgling col-                  the environment. The fundamental
      more costly in the United States. Pressure is            ony had just won its freedom when the                   foundation of government is to protect.
      already coming from Congress for the Bush                British corresponded with us back in                      Let’s say you wanted to start an Al-
      administration to negotiate the float.                   New York, because that is where the                     exander Manufacture Company. But be-
        We could also force American companies,                Capitol was at the time. They said                      fore you can open Alexander Manufac-
      through regulations, to stay out of countries
      that fail to observe minimal labor and envi-             what you ought to do back in the colo-                  ture, you have to have a minimum
      ronmental standards. Regulation is not pop-              nies since you won your freedom, was                    wage. You have to have clean air; you
      ular in America. But it could regain its pop-            to trade with us what you produce best                  have to have clean water; you have to
      ularity, if the alternative is a continual loss          and we will trade back with you what                    have Social Security; you have to have
      of jobs in every state.                                  we produce best. The doctrine was                       Medicare; you have to have Medicaid;
        Mr. HOLLINGS. Of particular signifi-                   David Ricardo’s, the economic doctrine                  you have to have safe machinery; you
      cance, the article quotes Steven Roach,                  of comparative advantage. It was Alex-                  have to have a safe working place; you



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                  S10497
      have OSHA coming around looking at                       we had the only economy. In order to                     So the 80 percent didn’t suit him. But
      you; you have to have plant closing no-                  prosper, we had to spread prosperity.                  you don’t jump on poor Jack; he has
      tice; you have to have parental leave. I                 The way we did that was very san-                      gone now, and he has had other trou-
      could go on and on. Or you can open a                    guine: the Marshall plan. And it                       bles. Let’s go to last month. General
      plant in China for 60 cents an hour, and                 worked. We sent over money, 80-some                    Motors and Ford: Automotive News.
      have none of that. So companies go to                    billion in today’s dollars. We sent over                 I ask unanimous consent to have this
      China.                                                   the equipment, the finest machine                      article printed in the RECORD.
        I will never forget, I had a friend who                tools, automotive equipment and oth-                     There being no objection, the mate-
      organized his own company out in Cali-                   erwise. We sent over the expertise, and                rial was ordered to be printed in the
      fornia. I saw where he was very suc-                     we rebuilt Europe, we rebuilt the Pa-                  RECORD, as follows:
      cessful and I said: I helped you. I got                  cific rim, and capitalism defeated com-                    (From Automotive News, June 23, 2003)
      your water and sewer lines when you                      munism. It worked.                                        FORD, GM PUSH VENDORS TOWARD CHINA;
      came to South Carolina, when you had                       Our trouble is it worked too well for                 ‘WORLD PRICE’ FRENZY THREATENS U.S. JOBS
      an expansion. I want you to give us                      these eager-beaver manufacturers. I re-                   (By Robert Sherefkin, David Sedgwick)
      that plant in South Carolina.                            member them well because I have been                     Ford Motor Co. and General Motors are
        He said: I don’t build anything in the                 in this thing, now, for 50-some years. I               pressuring their North American suppliers to
                                                               can see them—Oh, I get jet lag; I hate                 join the great migration to China.
      United States. He said: I do it in China.                                                                         Embroiled in a price war with their foreign
      I got research, I got sales—for 10 per-                  to go; oh, man, I don’t want to go; and                rivals, Ford and GM have delivered an ulti-
      cent of the costs.                                       everything else of that kind.                          matum: Suppliers must match a ‘‘world
        He did not say this but I know it:                       No more, not with the computer, not                  price’’ that is increasingly set in China, or
      They build the factory. They provide                     with the Internet. You can send some                   they must build factories in China.
      the employment. They give people a                       young, aggressive executive to Shang-                    Megasuppliers such as Delphi Corp.,
                                                               hai to run your plant. You can set it up               Visteon Corp. and Denso International al-
      year-to-year contract. They don’t have                                                                          ready operate in China. Now smaller sup-
      to worry about the cycle that the                        on your computer. You can see what is
                                                               happening daily. You can be in touch                   pliers are joining them. One such company is
      economists talk about. If the cycle                                                                             Hella North America Inc., the American unit
      goes down, they do not have to renew                     on the Internet. You can run it from                   of German lighting manufacturer Hella KG
      the contract next year. They cannot                      the 32nd floor on Sixth Avenue in New                  Hueck & Co.
      lose. We are in one dickens of a fix.                    York and, man, you have it made. And                     Hella, which supplies all of the Big 3, al-
        I was reading the book ‘‘Theodore                      they are all doing it.                                 ready owns four subsidiaries in China. Now
                                                                 So what happened with the Marshall                   its North American operation ‘‘continues to
      Rex,’’ the patron saint of my Repub-                                                                            receive pressure from our customers to
                                                               plan? We not only spread that pros-
      lican friends. He is one of my heroes,                                                                          source some of their components from
                                                               perity but we really taught these peo-
      too. In the book, on page 20, let me                                                                            China,’’ says company CEO Joe Borruso. ‘‘We
                                                               ple a bad lesson because they don’t
      read at the turn of the century what we                                                                         are working with them to develop a sourcing
                                                               think about the country. You know,                     plan.’’
      really had was protectionism.                            you and I are supposed to think about                    China will generate a flood of exports, but
        The United States was already so rich in               the country. They are supposed to                      domestic Chinese parts makers will be minor
      goods and services that she was more self-
                                                               think about profits. They do not have a                players (see related story on page 39). They
      sustaining than any industrial power in his-
                                                               duty.                                                  cannot compete with international suppliers
      tory. Indeed, it could consume only a frac-
                                                                 Of course, being Americans, you                      that are spending billions on joint-venture
      tion of what it produced. The rest went over-
                                                               would think they would be a little bit                 factories in China.
      seas at prices other exporters found hard to                                                                      Only international suppliers that have
      match. As Andrew Carnegie said:                          more patriotic. Their organizations are                built factories in China have the clout to in-
        The nation that makes the cheapest steel               against us. Now who is the enemy? in                   fluence world prices.
      has other nations at its feet.                           other words.                                             The shift to Chinese production eventually
        More than half the world’s cotton, corn,                 The toast of the town, Jack Welsh of                 will cost hundreds of thousands of manufac-
      copper and oil flowed from the American cor-             GE, he believed in squeezing the lemon.                turing jobs in the United States. And it will
      nucopia, and at least one-third of all steel,              This says:                                           put more pressure on smaller, cash-strapped
      iron, silver and gold. Even if the United                  One of General Electric’s CEO’s, Jack                suppliers to make a risky investment on a
      States were not so blessed with raw mate-                Welsh’s favorite phrase is ‘‘squeeze the               distant continent.
      rials, the excellence of her manufactured                lemon’’ for wringing out the cost. To help               Both Ford and GM are offering a two-con-
      products guaranteed her dominance of world               them meet the stiff goals, several of GE’s             tinent deal. If a supplier builds a factory in
      markets. Current advertisements in British               business units, including aircraft engines,            China, it can sell parts to a Ford or GM as-
      magazines gave the impression that the typ-              power systems, industrial systems, have                sembly plant in China, then export parts to
      ical Englishman waked to the ring of an In-              been prodding suppliers to move to low-cost            the automaker’s North American assembly
      gersoll alarm, shaved with a Gillette razor,             Mexico where the industrial giant already              plants.
      combed his hair with Vaseline tonic, but-                employs 30,000.                                          Those deals are starting to add up. Accord-
      toned his Arrow shirt, hurried downstairs for                                                                   ing to the U.S. Department of Commerce,
                                                                   That was 4 years ago.                              total imports of Chinese auto components
      Quaker Oats, California figs, Maxwell House
                                                                 GE even puts on supplier migration con-              totaled $2.2 billion last year, nearly triple
      coffee, commuted in a Westinghouse tram,
                                                               ferences to help them make the leap.                   the volume of imports in 1997.
      body by Fisher, rose to his office in an Otis
                                                                   He goes on:                                          China will dwarf the impact Mexico has
      elevator, worked all day with his Waterman
                                                                 Welsh’s widely admired status in corporate           had on the U.S. auto industry, says Detroit
      pen under the efficient glare of Edison
                                                               America has lent legitimacy to a model of              economist David Littmann. From the per-
      lightbulbs. ‘‘It only remains,’’ one Fleet
                                                               business success that is built on job and              spective of North America’s purchasing man-
      Street wag suggested, ‘‘for us to take Amer-
                                                               wage cuts.                                             gers, Littmann says, ‘‘china is vastly more
      ican coal to Newcastle.’’
                                                                                                                      encouraging than Mexico.’’
        Behind the joke lay real concerns. The                   This is Business Week. This is the
      United States was already supplying beer to                                                                                    ASIAN MIGRATION
                                                               bible of the business community, the
      Germany, pottery to Bohemia, oranges to                                                                           For automakers, China looks like a bar-
                                                               weekly bible. Here it is, and I am                     gain. For suppliers, that price can be steep.
      Valencia. As a result of this billowing surge
                                                               quoting:                                               In the years to come, segments of the U.S.
      in productivity, Wall Street was awash with
      foreign capital. Carnegie calculated that                  The internal report, a copy of which Busi-           supplier industry may migrate to Asia. For
      America could afford to buy the entire                   ness Week obtained, says: ‘‘GE set the tone            example, U.S. mold and die makers already
      United Kingdom and settle Britain’s na-                  early and succinctly: ‘Migrate or be out of            have lost an estimated 6,000 jobs to Chinese
      tional debt into the bargain. For the first              business; not a matter of if, just when’. This         rivals in recent years.
      time in history, transatlantic money cur-                is not a seminar just to provide information.            The shift toward parts buying in China is
      rents were thrusting more powerfully west-               We expect you to move and move quickly.’’              following one transition that already is well
      ward than east. Even the Bank of England                   The followup: Even though GE’s prof-                 under way. Automakers and suppliers have
      had begun to borrow money on Wall Street.                its were up 80 percent at that par-                    shifted tool-and-die purchasing to China,
      New York City seemed deemed to replace                   ticular time, they wanted more. You                    damaging the fortunes of companies such as
      London as the world’s financial center.                                                                         Commercial Tool & Die Inc. of Grand Rapids,
                                                               know, they are not just Jesse Jackson                  Mich.
        Mr. President, you can see exactly                     in civil rights. This is Jack Welsh in                   For 50 years, the family-owned company
      what happened. We built it up. At the                    Business Leadership: I want it all. My                 manufactured molds that automotive sup-
      end of World War II, my dear friends,                    time has come. I want it all.                          pliers use to produce interior trim. But Ford




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      S10498                                             CONGRESSIONAL RECORD — SENATE                                                           July 31, 2003
      and other customers have instructed sup-                 Andrew Hinkly, Ford’s director of global                are ill-equipped to expand into China. Com-
      pliers to seek bids from Asian mold makers.              commodity management. ‘‘So they are in-                 mercial Tool & Die’s plight illustrates the
        Company owner Doug Bouwman has two                     deed setting the world parts price. There is a          trend.
      sons that are 19 and 20 years old. ‘‘They                lot of momentum.’’                                        The company’s 150 employees once made
      would both like to work in the business and                                 TOUGH CHOICES                        molds for toys and appliances. In the 1990s,
      possibly take it over,’’ Bouwman says.                                                                           Bouwman lost that business to Asian rivals.
                                                                  Suppliers who don’t want to migrate to
      ‘‘When I got in, it was a long-term career.                                                                      Now he’s losing automotive customers, too.
                                                               China are feeling the heat. Consider the                  To stay competitive, Bouwman purchased
      It’s not clear it will be that way in the fu-
                                                               plight of Wescast Industries, Inc. Wescast, of          expensive tooling and computers to design
      ture.’’
                                                               Wingham, Ontario, controls 70 percent of the            his molds. But he cannot match the labor
        The overall erosion of industrial jobs will
                                                               Big 3’s exhaust manifold business in North              costs of his Asian rivals. A Chinese engineer
      dwarf the losses experienced by the tool and
                                                               America. Ford told Wescast this year that it            is paid about $5,500 per year; Bouwman’s
      die industry. By the end of the decade, Chi-
                                                               would transfer $50 million of its purchases             health care premiums alone average $7,000 an
      na’s expansion could cause the loss of 900,000
                                                               from Wescast to Chinese factories, according            employee.
      industrial jobs in North America, predicts
                                                               to an industry source.                                    Bouwman is thinking about setting up op-
      Craig Fitzgerald, an analyst for the con-
                                                                  Wescast CEO Ray Finnie declined to com-              erations in China. ‘‘We’re feeling the pres-
      sulting firm Plante & Moran in Southfield,
                                                               ment on Ford’s plans. But he said the Big 3             sure,’’ says Bouwman, 50. ‘‘China is taking
      Mich.
                                                               ‘‘are asking for very significant price reduc-          jobs out of the U.S. And they won’t be back.’’
                          NO APOLOGIES                         tions because it is a matter of their sur-
         The instigators of this great migration—              vival.’’                                                  Mr. HOLLINGS. Mr. President, just
      the automakers themselves—offer no apolo-                   Tier 1 vendors are not the only suppliers            this last month:
      gies.                                                    affected by the China price. The Big 3’s focus            Ford Motor Company and General Motors
         At an April briefing in Detroit, GM execu-            on China is beginning to cascade through the            are pressuring their North American sup-
      tives told suppliers that the automaker’s an-            supply chain. Tier 1 suppliers are starting to          pliers to great migration in China. Em-
      nual purchases of Chinese parts soon will top            transfer their supply chains to China.                  broiled in a price war with their foreign ri-
      $10 billion, according to a major supplier who              Poised to exploit that trend is former Wall          vals, Ford and GM have delivered an ulti-
      attended the meeting. That goal represents a             Street banker Jack Perkowski, who is based              matum. Suppliers must match a world price
      sharp increase from current purchasing lev-              in Beijing and runs Asian Strategic Invest-             that is increasingly set in China, or they
      els; GM’s parts purchases in China last year             ment Corp., a company backed by U.S. inves-             must build factories in China.
      totaled $1.1 billion.                                    tors that operates 15 Chinese factories.
         While most of those parts are used to build
                                                                                                                         How do you like that? That is not
                                                                  The company exports a variety of compo-
      vehicles in China, many will end up in U.S.                                                                      textiles, that is the automotive back-
                                                               nents such as brake seals, diesel injector
      assembly plants.                                         bodies and engine blocks. This year, Asian              bone of the United States of America. I
         Last week, a GM spokeswoman declined to               Strategic Investment projects sales of $250             voted for the Chrysler bailout, so now
      specify when GM expects to reach the $10 bil-            million and says exports to North America               Daimler can own them. The foreigners
      lion goal. One GM supplier’s estimate: three             will account for 20 percent of that.                    own all the foodstuffs. They are going
      to five years.                                              Ford’s billion-dollar import target was a            to have all the banks. Now they are
         GM imports only 3 percent of the compo-               wake-up call, says company Vice President               going to have all the automobile busi-
      nents that it uses in North America. But                 Matt Snyder. ‘‘Eight months ago, the Tier 1
      that understates China’s true role: North                                                                        ness.
                                                               suppliers were not interested,’’ he says.
      American suppliers now are expected to                                                                             I wish Don Evans was up in Michigan.
                                                               ‘‘Today they are calling me.’’
      match Chinese prices—whether or not they                                                                         He would tell them you get a tax cut,
                                                                                60 CENTS AN HOUR
      have plants in China.                                                                                            you get $300. What are you going to do?
         And that is true for suppliers to Ford and              For manufacturers of labor-intensive com-             We are going to have growth, growth,
      Chrysler, not just GM. The Chrysler group                ponents, China is an attractive location. Ac-
                                                                                                                       and jobs.
      ‘‘is clearly investigating China,’’ says Peter           cording to Chinese government data, manu-
                                                               facturers in Shanghai typically pay workers
                                                                                                                         Here, within the week, the Auto-
      Rosenfeld, who becomes Chrysler’s executive                                                                      motive News says you have to go to
      vice president for procurement and supply in             $1 an hour, plus 42 cents an hour in benefits.
      December.                                                Factories in rural areas generally pay wages            China and you are going to lose 900,000
         The Chrysler group already has issued a               of 60 cents an hour.                                    industrial jobs.
      ‘‘world price’’ order to suppliers.                        That is significantly lower than pay in                 Go up into Indiana, Ohio, and Illinois
         This year the Big 3 are picking up the                Mexico, which range from $2 to $2.50 an hour,           to what I call the rust belt. The auto-
      pace. GM has formed 80 ‘‘creativity teams’’—             including wages and benefits, according to              motive parts makers are gone. By 2010,
      consisting of engineers, purchasers and qual-            Richard Sinkin, managing director at Inter-             Ford expects its purchases of parts
      ity control experts—to analyze the cost of               American Holdings Co., a San Diego con-
                                                               sulting firm that focuses on Mexican manu-
                                                                                                                       from China to rise to $10 billion. Last
      its components.
                                                               facturing. He also is part owner of a Mexican           year, Ford’s worldwide purchases of
         Following one team’s suggestions, the
      automaker decided to import radios from                  parts marker.                                           Chinese components was less than $100
      China.                                                     But suppliers cannot afford to be mesmer-             million.
         Last year, Ford intensified its search for            ized by China’s low wages. Unwary new-                    I quote further:
      Chinese suppliers after President Nick                   comers who choose the wrong partners often                Suppliers who do not want to migrate to
      Scheele told of plans to import $1 billion               are saddled with unexpected costs. Consider             China are feeling the heat. Consider the
      worth of Chinese parts to North America in               the plight of a Fortune 500 automotive parts            plight of Wescast Industries. Wescast con-
      2003. By 2010, Ford expects its purchases to             supplier that recently set up a Chinese fac-            trols 70 percent of the Big Three’s exhaust
      rise to $10 billion.                                     tory.                                                   manifold business in North America.
         If so, it will represent a big portion of               This U.S. supplier had assumed it would                 Ford told Wescast this year that it would
      Ford’s North American parts purchases,                   pay its unskilled workers $1 an hour. But its           transfer $50 million of its purchases from
      which totaled $45 billion last year. If Ford             Chinese partner threw in various employee               Wescast to Chinese factories, according to
      hits that target, it would represent a sharp             subsidies—for heating oil allotments, med-              the industry source.
      year-to-year increase. Last year, Ford’s                 ical care, a housing allowance, free lunches
                                                                                                                         Don’t give me the service economy. I
      worldwide purchases of Chinese components                and even a clothing allowance.
                                                                 The venture’s $1 hourly labor costs quickly           know about it. My light bill in Charles-
      were less than $100 million.
                                                               ballooned to $3 an hour, says a U.S. vice               ton, SC, is administered in Bangalore
                           CORE GROUP
                                                               president assigned to uncover the joint ven-            India. My insurance policy is adminis-
        To reach its goal, Ford is counting on a
                                                               ture’s hidden costs.                                    tered in Dublin, Ireland. That is the
      core group of 75 to 100 suppliers. Many of
                                                                 Among the hidden costs was a car allow-               service economy. Here is the auto-
      them are clustered around Ford’s Chongqing
                                                               ance for company managers. ‘‘They ne-                   motive, hard machine tools industry.
      assembly plant, which will produce the Fi-
                                                               glected to tell us about the two new Buicks               I quote further:
      esta. Half of those suppliers are joint ven-
                                                               they bought so they could claim a car allow-
      tures with Chinese partners, and foreign sup-                                                                      For manufacturers of labor-intensive com-
                                                               ance,’’ he says. ‘‘You have to be insistent as
      pliers wholly own 20 percent. Only 30 percent                                                                    ponents, China is an attractive location. Ac-
                                                               hell. We’re still digging.’’
      are traditional Chinese suppliers.                                                                               cording to the Chinese Government data,
        To augment that group, Ford has begun                                         EXODUS                           manufacturers in Shanghai typically pay
      asking smaller Tier 1 suppliers to build fac-              While many suppliers are preparing to join            workers $1 an hour, plus 42 cents an hour in
      tories in China. The automaker also is using             the migration to China, one portion of the              benefits. Factories in rural areas generally
      the ‘‘China price’’ to demand lower prices               auto industry—tool and die makers—already               pay wages of 60 cents an hour.
      from suppliers in North America.                         has been decimated.                                       That is significantly lower than pay in
        ‘‘In some instances we are seeing best-in-               This is an industry dominated by small                Mexico which ranges from $2 to $2.50 an hour,
      class prices from suppliers’’ in China, says             family-owned businesses—companies that                  including wages and benefits. Here is the




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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                   S10499
      poor Senator from South Carolina fussing                   This was last week, July 22, from the                nology industry, will climb to 3.3 million in
      about 61,000 textile jobs lost to Mexico. But            New York Times: ‘‘IBM Explores Shift                   2015 from about 400,000 this year. This shift
      we find now that the Mexican jobs they got               of Some Jobs Overseas.’’                               of 3 million jobs represents about 2 percent
      from South Carolina are now on the way to                  I ask unanimous consent to have it                   of all American jobs.
      60 cents an hour with no benefits in the rural                                                                    ‘‘It’s a very important, fundamental tran-
      areas of China. It is beg thy neighbor; a race
                                                               printed in the RECORD.                                 sition in the I.T. service industry that’s tak-
      to the bottom. That is the trade policy. That              There being no objection, the mate-                  ing place today,’’ said Debashish Sinha, prin-
      is the job policy. That is the economic pol-             rial was ordered to be printed in the                  cipal analyst for information technology
      icy. Don’t worry about energy policy.                    RECORD, as follows:                                    services and sourcing at Gartner Inc., a con-
        Heavens above, why can’t we catch                        [From the New York Times, July 22, 2003]             sulting firm. ‘‘It is a megatrend in the I.T.
                                                                    I.B.M. EXPLORES SHIFT OF SOME JOBS                services industry.’’
      Kenny Boy? I raised the question at                                                                               Forrester also estimated that 450,000 com-
      that particular time when Larry                                             OVERSEAS
                                                                                                                      puter industry jobs could be transferred
      Thompson became Deputy Attorney                                      (By Steven Greenhouse)
                                                                                                                      abroad in the next 12 years, representing 8
      General. He is in charge of corporate                      With American corporations under increas-            percent of the nation’s computer jobs.
      corruption enforcement and violations                    ing pressure to cut costs and build global               For example, Oracle, a big maker of spe-
      enforcement. Before he came to Jus-                      supply networks, two senior I.B.M. officials           cialized business software, plans to increase
                                                               told their corporate colleagues around the             its jobs in India to 6,000 from 3,200, while
      tice, he worked in a law firm in At-                     world in a recorded conference call that
      lanta. His firm was representing who?                                                                           Microsoft plans to double the size of its soft-
                                                               I.B.M. needed to accelerate its efforts to             ware development operation in India to 500
      Kenny Boy Lay, of Enron. So I raised                     move white-collar, often high-paying, jobs             by late this year. Accenture, a leading con-
      the question of a conflict of interest.                  overseas even though that might create a               sulting firm, has 4,400 workers in India,
      What did he say? Oh, he didn’t work on                   backlash among politicians and its own em-             China, Russia and the Philippines.
      that particular client. He didn’t have                   ployees.                                                 Critics worry that such moves will end up
      anything to do with it.                                    During the call, I.B.M.’s top employee rela-         doing more harm to the American economy
        But I run a firm, and you make                         tions executives said that three million serv-         than good.
                                                               ice jobs were expected to shift to foreign               ‘‘Once those jobs leave the country, they
      money, and I make money.
                                                               workers by 2015 and that I.B.M. should move            will never come back,’’ said Phil Friedman,
        Come on. Here it is 21⁄2 years later—                  some of its jobs now done in the United                chief executive of Computer Generated Solu-
      and we have gotten everybody, includ-                    States, including software design jobs, to             tions, a 1,200-employee computer software
      ing Martha Stewart—for one little                        India and other countries.                             company. ‘‘If we continue losing these jobs,
      stock thing. This fellow, Larry Thomp-                     ‘‘Our competitors are doing it and we have           our schools will stop producing the computer
      son, wants to know what he should be                     to do it,’’ Tom Lynch, I.B.M.’s director for           engineers and programmers we need for the
      indicted for. I can draw it up for him.                  global employee relations, said in the call. A         future.’’
      We had the hearing in California before                  recording was provided to The New York                   In the hourlong I.B.M. conference call,
      the Committee on Commerce, Space,                        Times recently by the Washington Alliance              which took place in March, the company’s
                                                               of Technology Workers, a Seattle-based                 executives were particularly worried that
      Science and Transportation.                              group seeking to unionize high-technology              the trend could spur unionization efforts.
        I turned to the witness, David Free-                   workers. The group said it had received the              ‘‘Governments are going to find that
      man. I said: Now, Mr. Freeman, you                       recording—which was made by I.B.M. and                 they’re fairly limited as to what they can do,
      say all this happened with Enron, and                    later placed in digital form on an internal            so unionizing becomes an attractive option,’’
      Kenny Boy may not have known any-                        company Web site—from an I.B.M. employee               Mr. Lynch said on the recording. ‘‘You can
      thing about it. I said: In fact, this                    upset about the plans.                                 see some of the fairly appealing arguments
      morning on television I saw Mrs. Lay,                      I.B.M.’s internal discussion about moving            they’re making as to why employees need to
      his wife, and she said Kenny Boy didn’t                  jobs overseas provides a revealing look at             do some things like organizing to help fight
                                                               how companies are grappling with a growing             this.’’
      know anything about it.                                  trend that many economists call off-shoring.             The I.B.M. executives also warned that
        Mr. Freeman said he was the archi-                     In decades past, millions of American manu-            when workers from China come to the
      tect. He knew all about it. He designed                  facturing jobs moved overseas, but in recent           United States to learn to do technology jobs
      it. Take that testimony of the knowl-                    years the movement has also shifted to the             now being done here, some American em-
      edge of what is going on, the Enron                      service sector, with everything from low-end           ployees might grow enraged about being
      fraud of California, the wrecked econ-                   call center jobs to high-paying computer               forced to train the foreign workers who
      omy, and they are now calling for a re-                  chip design jobs migrating to China, India,            might ultimately take away their jobs.
      call of the Governor because of the                      the Philippines, Russia and other countries.             ‘‘One of our challenges that we deal with
                                                                 Executives at I.B.M. and many other com-             every day is trying to balance what the busi-
      problems Enron helped create in that
                                                               panies argue that creating more jobs in                ness needs to do versus impact on people,’’
      state.                                                   lower cost locations overseas keeps their in-          Mr. Lynch said. ‘‘This is one of these areas
        I heard my distinguished colleague                     dustries competitive, holds costs down for             where this challenge hits us squarely be-
      from Idaho. He said the economy went                     American consumers, helps to develop poorer            tween the eyes.’’
      from a surplus to a deficit, and the                     nations while supporting overall employ-                 Mr. Lynch warned that with the American
      Governor didn’t do anything about it.                    ment in the United States by improving pro-            economy in an ‘‘anemic’’ state, the difficul-
        Let us transfer that to Washington.                    ductivity and the nation’s global reach.               ties and backlash from relocating jobs could
      The President started off with a sur-                      ‘‘It’s not about one shore or another                be greater than in the past.
      plus. He said he even had a $1 trillion                  shore,’’ an I.B.M. spokeswoman, Kendra R.                ‘‘The economy is certainly less robust than
                                                               Collins, said. ‘‘It’s about investing around           it was a decade ago,’’ Mr. Lynch said, ‘‘and
      rainy day fund. The budget was $53 bil-
                                                               the world, including the United States, to             to move jobs in that environment is going to
      lion in the red when he talked on Feb-                   build capability and deliver value as defined          create more challenges for the reabsorption
      ruary 27, 2001 to the Congress. He                       by our customers.’’                                    of the people who are displaced.’’
      talked about the $2.6 billion he would                     But in recent weeks many politicians in                The I.B.M. executives said openly that
      set aside for Social Security. He said                   Washington, including some in the Bush ad-             they expected government officials to be
      there was $2 billion for the budget                      ministration, have begun voicing concerns              angry about this trend.
      needs in defense security, and he said                   about the issue during a period when the                 ‘‘It’s hard for me to imagine any country
      he had $1 trillion left over. He was in                  economy is still weak and the information-             just sitting back and letting jobs go offshore
                                                               technology, or I.T., sector remains mired in           without raising some level of concern and in-
      the red then. But we have Enron ac-                      a long slump.                                          vestigation,’’ Mr. Lynch said.
      counting here in Washington. If he has                     At a Congressional hearing on June 18,                 Those concerns were pointedly raised on
      gone from a $5.6 trillion surplus to a $4                Bruce P. Mehlman, the Commerce Depart-                 June 18, when the House Small Business
      trillion deficit, is anybody asking for                  ment’s assistant secretary for technology              Committee held a hearing on ‘‘The
      the recall of the President? Of course                   policy, said, ‘‘Many observers are pessimistic         Globalization of White-Collar Jobs: Can
      not.                                                     about the impact of offshore I.T. service              America Lose These Jobs and Still Prosper?’’
        But they think that is par for the                     work at a time when American I.T. workers                ‘‘Increased global trade was supposed to
                                                               are having more difficulty finding employ-             lead to better jobs and higher standards of
      course out there in the political
                                                               ment, creating personal hardships and in-              living,’’ said Donald A. Manzullo, an Illinois
      intramurals in California. Come on.                      creasing demands on our safety nets.’’                 Republican who is the committee chairman.
      What is going on.                                          Forrester Research, a high-technology con-           ‘‘The assumption was that while lower-
        It is not just GE. It is not just Ford.                sulting group, estimates that the number of            skilled jobs would be done elsewhere, it
      It is not just General Motors, or IBM—                   service sector jobs newly located overseas,            would allow Americans to focus on higher-
      Big Blue.                                                many of them tied to the information tech-             skilled, higher-paying opportunities. But




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      S10500                                             CONGRESSIONAL RECORD — SENATE                                                        July 31, 2003
      what do you tell the Ph.D., or professional              David Hoffmann, CEO of DHR International,               sociation of Manufacturers. It is the
      engineer, or architect, or accountant, or                a Chicago-based recruiting firm. ‘‘Nothing              Business Roundtable, the Conference
      computer scientist to do next? Where do you              even comes close to this.’’                             Board—yes, my dear colleagues, the
      tell them to go?’’                                          . . . relocation of the jobs to offshore sites.
                                                               Machines—or low-wage foreigners—could
                                                                                                                       United States Chamber of Commerce.
         The technology workers’ alliance is high-
      lighting I.B.M.’s outsourcing plans to help              just as easily do their work.                             The United States Chamber of Com-
      rally I.B.M. workers to the union banner.                   . . . shifting jobs to cheaper locales like          merce is no longer interested in main
         ‘‘It’s a bad thing because high-tech compa-           India and the Philippines. It’s not just call           street America. It was. I won U.S.
      nies like I.B.M., Microsoft, Oracle and Sun,             centers anymore. Indian radiologists now                Chamber of Commerce awards during
      are making the decision to create jobs over-             analyze CT scans and chest X-rays for Amer-             my 1992 race. Bob Thompson of Green-
      seas strictly based on labor costs and cutting           ican patients in an office park in Bangalore,           ville, SC, was the president. And I was
      positions,’’ said Marcus Courtney, president             not far from where Ernst & Young has 200 ac-            the poster boy of the United States
      of the group, an affiliate of the Communica-             countants processing U.S. tax returns. E&Y’s
                                                                                                                       Chamber of Commerce. We had stopped
      tions Workers of America. ‘‘It can create                tax prep center in India is only 18 months old
      huge downward wage pressures on the Amer-                . . . but the company already has plans to              labor law reform. We had eight cloture
      ican work force.’’                                       double its size. Corporate America is quickly           votes. My distinguished friend Russell
         Mr. Mehlman, the Commerce Department                  learning that a cubicle can be replicated               Long was chairman of the Finance
      official, said companies were moving more                overseas as easily as a shop floor can.                 Committee, and we agreed the eighth
      service jobs overseas because trade barriers               Irwin Kellner, who is now at Hofstra                  vote would count. That would decide it.
      were falling, because India, Russia and many             University, was at Manufacturers Han-                   We would not go any further. And up
      other countries have technology expertise,                                                                       until about 20 minutes before the vote,
      and because high-speed digital connections
                                                               over. We have had him before commit-
                                                               tees of the Congress year in and year                   he had me beat. I heard from a friend
      and other new technologies made it far easi-
      er to communicate from afar.                             out. I quote:                                           that I might be able to persuade Ed
         Another important reason for moving jobs                 ‘‘White-collar workers and college grad-             Zorinsky of Nebraska, and I raced over
      abroad is lower wages.                                   uates are in a state of shock,’’ says Kellner.          to the fourth floor of the Russell Build-
         ‘‘You can get crackerjack Java program-               ‘‘It appears these job losses are permanent.            ing. The rollcall had already been
      mers in India right out of college for $5,000 a          They’re not necessarily coming back when                called. And I saw Ed coming down the
      year versus $60,000 here,’’ said Stephanie               the economy does.’’                                     hall, and I said: Ed, I need your help.
      Moore, vice president for outsourcing at                   Mr. President, we are in deep trouble.                And he said: I will help you, Fritz.
      Forrester Research. ‘‘The technology is such,            We are into a real trade war. We are                      And we called that roll, and we won
      why be in New York City when you can be
                                                               into a thing of national survival.                      the eighth rollcall vote on cloture.
      9,000 miles away with far less expense?’’
         Company executives say this strategy is a               Let me see here. Quoting:                             This crowd gets steamed up over two or
      vital way to build a global company and to                 At the University of Chicago Graduate                 three cloture votes. So let’s get to the
      serve customers around the world.                        School of Business, 96 percent of grads in              record. I helped defeat an eighth clo-
         General Electric has thousands of workers             2000 had an offer when they collected their             ture vote myself. And as a result, I was
      in India in call center, research and develop-           sheepskin. Only 72 percent of last year’s               the poster boy of the United States
      ment efforts and in information technology.              grads were as lucky—and this year isn’t                 Chamber of Commerce.
      Peter Stack, a G.E. spokesman, said, ‘‘The               shaping up any better. Even at Harvard the                Now, Tom Donohue—a nice fellow,
      outsourcing presence in India definitely                 percentage of grads without job offers has
                                                               gone from 3 percent in 2000 to 13 percent now.
                                                                                                                       absolutely honest—I worked with him
      gives us a competitive advantage in the busi-
      nesses that use it. Those businesses are some            For schools further down the food chain, al-            when he represented the truckers. He
      of our growth businesses, and I would say                most half the class will graduate without               knows nothing about international
      that they’re businesses where our overall                even one offer.                                         trade, but he is going for the money.
      employment is increasing and our jobs in the                 Quoting further:                                    He is for tort reform. I never heard him
      United States.’’                                           . . . in the past two or three years compa-           mention a bit about tort reform when
         David Samson, an Oracle spokesman said                nies have turned to India and the Philippines           he represented the truckers. But now
      the expansion of operations in India was ‘‘ad-           for much more sophisticated tasks: financial            he is, by gosh, the expert on free trade,
      ditive’’ and was not resulting in any job                analysis, software design, tax preparation,             free trade.
      losses in the United States.                             even the creation of PowerPoint presen-                   When I ran in 1998, they put out pam-
         ‘‘Our aim here is not cost-driven,’’ he said.         tations.
      ‘‘It’s to build a 24/7 follow-the-sun model for                                                                  phlets against me. They endorsed my
      development and support. When a software                     Quoting still further:                              opponent, even though I had been their
      engineer goes to bed at night in the U.S., his             And how cheap. Starting pay for an Amer-              poster boy. I had not changed my vote.
      or her colleague in India picks up develop-              ican accountant, says Kline, typically ranges           I was the same way in trade in 1998 as
      ment when they get into work. They’re able               from $40,000 to $50,000 [in the United States].         I was in 1992. But you can see how this
      to continually develop products.’’                       In Bangalore the accountants are paid less              crowd is. They headed for the overseas
        Mr. HOLLINGS. Mr. President, a                         than half that.                                         barn. I can tell you that right now.
      California IBM employee relations ex-                        Another quote from the article:                       So you have the National Association
      ecutive said:                                              . . . Forrester Research predicts that 3.3            of Manufacturers, you have the Busi-
      . . . three million service jobs were expected           million service jobs will move to countries             ness Roundtable, you have the Con-
      to shift to foreign workers . . . I.B.M. should          like India, Russia, China, and the Phil-                ference Board. You have the United
      move some of its jobs now done in the United             ippines.                                                States Chamber of Commerce. I have
      States, including software design jobs, to                 The firm of A.T. Kearney talked                       won about six of these National Fed-
      India and other countries.                               about shifting 500,000 jobs, or 8 percent               eration of Independent Business small
        I could read on and on. But you can                    of the U.S. workforce, abroad by 2008.                  business awards, but now they are
      see it. It is in the RECORD.                               I quote:                                              being taken over. The U.S. Chamber
        You have Business Week, ‘‘High-Tech                      Any function that does not require face-to-           and the Business Roundtable have got-
      in China.’’ I don’t want to include the                  face contact is now perceived as a candidate            ten hold of them and said: Oh, we are
      magazine itself. But this is a quote                     for offshore relocation.                                going to get you some writeoffs, some
      from a Business Week article from ear-                     So, Mr. President, I could go on and                  tax breaks, too. So they are for free
      lier this year:                                          on. But let me just say, we are in a                    trade now.
        Is Your Job Next? A new round of                       struggle for our economic survival. I                     To increase consumer demand, you
      globalization is sending up-scale jobs off-              have talked to you that free trade is a                 have to have consumers. In order to
      shore. They include chip design, engineer,               loser. We are losing all those jobs. And                have consumers, you must first have
      basic research, financial analysis. Can Amer-            who is the enemy? Not just General                      producers. And in order to have pro-
      ica lose these jobs and still prosper?                   Motors, not just IBM. I say it authori-                 ducers, you have to have jobs. And we
        You have not just Business Week but                    tatively because I know who wants this                  are losing them hand over fist.
      Fortune magazine from June of this                       losing trade bill—you can start with                      I have been the author of five textile
      year. Here is one of the executives                      the National Association of Manufac-                    trade bills that have passed the Senate.
      quoted here:                                             turers. I got into a struggle with Victor               Four of those bills have gone to the
        ‘‘I’ve been in this business for over 20               Schwartz there in the 1970s, 25 years                   President of the United States. Four
      years, and it’s the worst I’ve ever seen’’, says         ago. But it is not only the National As-                have been vetoed—vetoed. President



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                               S10501
      Carter vetoed one. President Reagan                         In the Administration they think                      And I say to my friend, isn’t there
      vetoed two. And President George Her-                    this is wonderful. They can open up the                something ironic about that, that
      bert Walker Bush vetoed the last one.                    islands of Indonesia and transship                     there is a total understanding of what
      And we came within two votes over on                     through Singapore the electronic parts                 the folks in Iraq need, when I could say
      the House side of over turning the veto.                 back into America from cheap labor.                    in my State and yours and all through
      We had a majority, but we did not have                   So they are all working against us.                    America, this should be the priority of
      the two-thirds necessary to override.                       It is not just President Bush. Presi-               the President in this country.
        The other enemy is the Retail Fed-                     dent Clinton was for free trade, free                    Mr. HOLLINGS. Certainly, it ought
      eration. They order so many hundred                      trade. He is the one who passed                        to be. That is our duty here in the Con-
      thousand dozen shirts, or whatever it                    NAFTA. He was the one who was going                    gress. Article I, section 8 of the Con-
      is, from China. Then, if the market is                   to open up and create 200,000 jobs. He                 stitution says not the President but
      good, and they run short, they call up                   impoverished the State of South Caro-                  the Congress of the United States shall
      New Jersey quick and get another hun-                    lina, I can tell you that. We have lost                regulate foreign commerce. But what
      dred thousand dozen.                                     61,000 textile jobs in my little State.                have we done? We have got in a fix
        Now, what they get from New Jersey                     Where we have a BMW plant, 3 years                     through the Finance Committee and
      and what they get from China is not                      ago we had 3.2 percent unemployment.                   Ways and Means. They got fast track.
      the same price. They get a much great-                   It is over 8 percent unemployment now.                 And I would like to vote for Chile be-
      er profit on the Chinese import than                        Don’t tell me about free trade, free                cause Chile has a free economy, a mar-
      they do on the New Jersey shirt. I                       trade. I have watched the outflow here.                ket-based economy, a revered judici-
      know because I got a New Jersey shirt                    So you have the Government against                     ary, labor rights, environmental laws,
      on. Yes, sir, I believe in domestic pro-                 us. Then if everyone is against us, who                and a balanced budget. But I can’t vote
      duction.                                                 could be for us, asks the Good Book?                   with that immigration thing included.
        Years ago, I used to represent Pon-                    Us. That is all I am trying to do, is                  Under fast track, I can’t amend. I can’t
      tiac folks, and a bunch of other auto-                   wake my colleagues up to get out of                    debate. I can’t discuss. I can’t do any-
      mobile dealers. Once I bought a new                      this nonsense. I see the Senator from                  thing.
      car, and I was so careful to buy a do-                   Wisconsin. I know the plants out there,                  Let me bring up a red herring that
      mestic car; no foreign car. My neighbor                  too.    I   did   work     for  them.    I             will excite everybody. I introduced it
      said: Fritz, how much did you pay for                    carpetbagged a few of those plants, too.               in January. I said: Good gosh, we are
      this new Pontiac? I was looking at the                   I brought them to South Carolina.                      going to war, and we don’t have a way
      sticker price, when I see on the sticker:                   But we have to move to rebuild
                                                                                                                      to pay for it. We paid for the Revolu-
      FOB Montreal. I had bought a foreign                     America. We have to stop whining: I
                                                                                                                      tionary War with a property tax. That
      car. I had bought a foreign car and                      am for fair trade. I am for balancing
                                                                                                                      is the first property tax that passed in
      didn’t even know it. Pontiac had gone                    the field, leveling the field.
                                                                  That is all garbage. That is baloney,               this country. We got to the Civil War,
      to Canada to make it because they                                                                               and Abraham Lincoln put on an estate
                                                               if I have ever heard it. We have to start
      saved $800 on the health bill on every                                                                          tax and a dividend tax. And we were
                                                               and compete in the international econ-
      car.                                                                                                            running around here talking about tak-
                                                               omy. It is a trade war. It is very viable.
        So you can understand, this has been                                                                          ing off the estate and dividend tax.
                                                               It is very fair. It is very understand-
      going on for years. But we are draining                                                                           I said, come on, we paid for World
                                                               able. We have to get in there. Having
      the swamp. There aren’t jobs left in                                                                            War II. We paid for Korea. We paid for
                                                               rebuilt Europe and the Pacific rim, we
      America.                                                                                                        Vietnam. We paid for the gulf war. The
                                                               have to, by gosh, get in there, and in
        And you cannot find a hometown                                                                                Saudis did a good bit of that, as we all
                                                               order to remove a barrier, raise a bar-
      newspaper that has endorsed protec-                                                                             know.
                                                               rier. Then remove them both, go by
      tionist trade—I don’t mind saying the                                                                             I said, I am going to put in a value-
                                                               their rule book. We are Goody Two-
      word.                                                                                                           added tax. Every industrialized coun-
                                                               shoes, and we want to set the good ex-
        You have to protect your standard of                                                                          try has a value-added tax. Why? Why
                                                               ample like we have done for 50 some
      living. We Republicans and Democrats,                                                                           do I want to do that? It is twofold: One,
                                                               years. And we have lost our shirt in
      we say: Clean air, clean water, min-                                                                            if I take and manufacture this desk in
                                                               manufacturing.
      imum wage, Medicare, Medicaid, plant                        We can go right to the tax law. I am                Washington, DC, I have to pay all the
      closings, parental leave. If you put that                going down the list now. We can go to                  income, sales, corporate taxes. And
      requirement on manufacturers, you                        the tax law that says if you manufac-                  when I ship it over to Paris, France, I
      have to protect it. You can’t just go                    ture overseas and keep your profit, you                add on a 17 percent VAT.
      over where they have none of those                       can build a new plant. You don’t have                    If I manufactured that same desk in
      protections and 60 cents an hour.                        to pay taxes on that profit. Or we can                 Paris, France, when it leaves the port
        The newspapers make a majority of                      turn around and go along with CHARLIE                  of La Havre to come to Washington, we
      their profit on retail advertising. So                   RANGEL on the House side—I have the                    rebate the 17 percent. And so it is a 17
      the retail federation and all the big                    bill in on the Senate side—and say if                  percent advantage to manufacture in
      stores call the main advertisers. They                   you manufacture and keep your jobs in                  Paris rather than in Washington. I
      go down to the editors and they give                     America, you get a tax credit. If you go               want to reconcile that differential im-
      them a handout. I have compared the                      overseas, you lose. You get a tax in-                  mediately with a value-added tax. I
      editorials in different parts of the                     crease.                                                want to pay for the war. That is the
      country. They give them the handout,                        That is what we ought to do. Make it                trouble this country is in.
      and they write the editorial. Free                       so rather than trying to revive Europe                   Bill Clinton brought the budget def-
      trade, free trade—they think they are                    and the Pacific rim, we have to revive                 icit down. He put in an increase in tax.
      being wise.                                              the United States.                                     I voted to increase Social Security. I
        Free trade loses jobs. We are losing                      Mrs. BOXER. Will the Senator yield                  voted to increase the gasoline tax.
      the jobs right and left. But everyone is                 for a question?                                          I voted to increase the top payer in-
      for free trade: the hometown news-                          Mr. HOLLINGS. I am delighted to.                    come tax. We voted also to cut spend-
      paper, the Business Roundtable, the                         Mrs. BOXER. It is very interesting                  ing, and we had an 8-year economic
      Conference Boards, the United States                     that you said this because when we                     boom. And now we just had three quar-
      Chamber, the retailers, all of K Street.                 heard from Mr. Wolfowitz in front of                   ters of recession in 2001, a bad economy
      Have you ever had a K Street lawyer                      the Foreign Relations Committee                        all through 2002, and they kept blaming
      come here and ask you to vote against                    where we had a hearing on the rebuild-                 it on the war. The war in Iraq only
      free trade? You can’t find one.                          ing of Iraq, the first thing he said                   costs $4 billion a month. That is $48 bil-
        You and I are paid to protect the jobs                 matched what Mr. Bremer said, who is                   lion year, and when the President
      of America. We are not paid to make a                    in charge of the rebuilding. He said:                  talked on February 27, he said: I have
      profit. But come on, you can’t find a K                  Those people over there need jobs.                     $1 trillion for unforeseen needs.
      Street lawyer who wants to protect                       They need to get the economy going.                      The tax cuts have wrecked the econ-
      jobs.                                                    They need jobs.                                        omy. Everybody knows it. They are



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      S10502                                             CONGRESSIONAL RECORD — SENATE                                                        July 31, 2003
      running around—jobs and growth, jobs                       We have a $698 billion budget deficit                  I do applaud President Bush for tak-
      and growth—like a bunch of children                      projected for this year. It is already                 ing responsibility for his words, but for
      trying to sell that nonsense. So we                      $503 billion.                                          weeks this administration reacted with
      ought to pay for the war, reconcile this                   (Mr. CRAPO assumed the Chair.)                       a combination of denial and spin, and
      trade differential and manufacturing                       Mr. President, you can see the ef-                   by choosing to make the Central Intel-
      differential. We ought to, by gosh, en-                  fects. You can see Wall Street is frozen.              ligence Agency, and then much later
      force our dumping laws. The competi-                     They are not going to invest when the                  the Deputy National Security Advisor,
      tion is not for money or profit. The                     interest rates are on the increase.                    the scapegoats for this incident.
      competition is for market share.                           The Concord Coalition, headed up by                    I wish to state for the record that in
        When the Japanese sell below cost in                   former colleagues, Senator Kerrey,                     all of the briefings leading up to the de-
      the United States and make it up in                      Senator Nunn, and Senator Rudman                       cision to go to war in Iraq, I found the
      the domestic market in Tokyo, we                         and now chaired by none other than a                   CIA to be among the most straight-
      have to enforce dumping laws. The spe-                   Republican, Pete Peterson, former Sec-                 forward and the most professional of
      cial Trade Representative runs out to                    retary of Commerce under President                     those making presentations to help
      do that and says we are going to do                      Nixon, released its report on fiscal re-               Members of Congress understand the
      away with the dumping laws. That is                      sponsibility. Overall, you have the Re-                facts. The facts in the briefing room
      loss leaders.                                            publican chairman of the Concord giv-                  never matched the public rhetoric of
        I had an antitrust case and carried it                 ing them an ‘‘F.’’                                     the administration’s hard sell.
      to the Supreme Court on a loss leader.                     So there we are. We don’t want to                      The hard sell was an encompassing
      I know the law of loss leaders. That is                  compete. We have a job policy in the                   thing. It included an array of justifica-
      what you have in international com-                      U.S. Congress of actually eliminating                  tions for taking up arms that seemed
      petition. There are a bunch of loss                      jobs like gangbusters.                                 to shift from day to day and week to
      leaders and they keep taking over,                         Our security is like a three-legged                  week. Today we find the administra-
      even this year, a greater share of the                   stool. We have the one leg of the values               tion returning to that menu of reasons
      American automobile market. So we                        that we have as a nation. Everyone in                  for invading Iraq, claiming that what-
      have to enforce our dumping laws. We                     the world—at least until Iraq—knew                     ever happened with the State of the
      have to eliminate the Trade Commis-                      that we stood for human rights, indi-                  Union, Saddam Hussein was a brutal
      sion. That is another gimmick put in                     vidual freedom, and democracy. That                    dictator and so at any case we did the
      by the Finance Committee.                                second leg, military, is unquestioned.                 right thing.
        The Finance Committee—when you                                                                                  Saddam Hussein was a brutal dic-
                                                               The third leg, economic, is fractured—
      have a dumping violation, you file it                                                                           tator, and I join the vast majority of
                                                               intentionally so with the Marshall
      before the International Trade Admin-                                                                           the world in being happy to see him re-
                                                               Plan. But we prevailed with capitalism
      istration. They investigate and make a                                                                          moved from power. But that was never
                                                               over communism in the cold war. It
      finding. After they make a finding,                                                                             the bottom line. The bottom line was
                                                               worked.
      they have a sweetheart deal. They kick                                                                          the regular invocation of the line: ‘‘We
                                                                 But now we have taught corporate
      it over to the International Trade Com-                                                                         don’t want the smoking gun to be a
                                                               America a bad lesson, and in order to
      mission, and they never find injury. I                                                                          mushroom cloud.’’ The bottom line was
                                                               compete and make even greater prof-
      can tell you they have two or three ex-                                                                         weapons of mass destruction. To pre-
                                                               its, whether it is high-tech or service
      ceptions since I have been talking                                                                              tend otherwise now is to suggest to the
                                                               or hard manufacture, they are leaving
      about it, but we can save $43 million                                                                           world that the United States of Amer-
                                                               the Nation in droves. We are sitting by
      and let the finding entity, the Inter-                                                                          ica will invoke one pretext for invading
                                                               talking about a little Energy bill or a
      national Trade Administration, that                                                                             another country and then conveniently
                                                               judgeship.
      gives the penalty on what is to be done.                                                                        drop the subject later. That suggestion
                                                                 The country is going to hell in an
      We can save money there.                                                                                        is so far from what this country’s for-
                                                               economic hand basket and we are the
        We need more Customs agents, and                                                                              eign policy should ever be about, so re-
                                                               ones responsible under the Constitu-
      we need a department of trade. We                                                                               moved from what I firmly believe to be
                                                               tion and we are not doing anything
      have the Department of Manufacturing                                                                            the intentions and desires of the vast
                                                               about it.
      in the Commerce Committee. We can                                                                               majority of Americans, that it must be
                                                                 I yield the floor.
      gear up for the trade war. Don’t worry                                                                          repudiated. But I fear that the hard
                                                                 The PRESIDING OFFICER. The Sen-
      about the Afghan war. I think we may                                                                            sell, the use of debunked intelligence,
                                                               ator from Wisconsin is recognized.
      have created more terrorists than we                                                                            the implied linkages to other issues
                                                                 Mr. FEINGOLD. Mr. President, I ask
      have gotten rid of. The jury is out in                                                                          have fostered that perception around
                                                               unanimous consent that I may speak in
      Iraq, as to whether or not we can work                                                                          the world, and that will make it harder
                                                               morning business, and then be followed
      out the peace. I can tell we don’t have                                                                         for others to cooperate with us on the
                                                               by the Senator from California, Mrs.
      any friends in downtown Baghdad. It is                                                                          real foreign policy priority. The real
                                                               BOXER.
      a shooting gallery. They are killing our                                                                        foreign policy priority is the fight
                                                                 The PRESIDING OFFICER. Is there
      soldiers every day.                                                                                             against terrorism.
        What we have to do is get into this                    objection?                                               The administration’s hard sell recog-
                                                                 Without objection, it is so ordered.
      trade war and compete.                                                                                          nized that fighting terrorists who at-
        Now, finally, the administration says                                   U.S. POLICY IN IRAQ
                                                                                                                      tacked this country on September 11,
      they are going to get up consumer con-                     Mr. FEINGOLD. Mr. President, I en-                   2001, is the most important national se-
      fidence. They have passed three voodoo                   joyed the comments very much of the                    curity issue for Americans. So even
      tax cuts. Of course, Ronald Reagan                       Senator from South Carolina, and I                     though they were selling us something
      passed voodoo 1, and George Herbert                      agree so much with his comments                        else—selling us an invasion and occu-
      Walker Bush is the one who called it                     about our trade policy. I think it is                  pation of a major Middle Eastern coun-
      voodoo. How are you going to cut your                    possibly the leading issue in the coun-                try even though intelligence did not re-
      revenues and increase your revenues?                     try right now.                                         veal solid ties to al-Qaida—the admin-
      You never do that. You will never find                     Mr. President, I rise to comment on                  istration, nonetheless, incorporated
      a government doing that. But come to                     U.S. policy in Iraq. We have heard                     reference to al-Qaida in its hard sell,
      Washington, and they know everything                     much about the President’s reference                   and they still do.
      up here. So they are going to increase                   in the State of the Union Address to in-                 President Bush told us in his speech
      the consumer confidence with tax cuts                    telligence suggesting that Saddam                      on the USS Lincoln that the battle of
      they had in 2001, 2002, and already this                 Hussein had recently attempted to se-                  Iraq was won in a war that began on
      year.                                                    cure uranium from Niger. Now we                        September 11. But this administration
        With those three tax cuts of over $3.1                 know our own intelligence agencies did                 has never made any kind of compelling
      trillion, here is the news that came out                 not believe that information to be                     case to suggest that one had anything
      yesterday: the consumer confidence                       credible. It was employed in a reckless                to do with the other.
      index dropped 7 points to 7.6 in July, a                 effort to sell the American public on a                  This week, before the Senate Foreign
      sharp and unexpected drop.                               predetermined policy course.                           Relations Committee, Deputy Defense



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                  S10503
      Secretary Paul Wolfowitz suggested                       of mass destruction. So I kept asking                  marks, Senator BAUCUS be recognized
      that Iraq—Iraq—rather than Afghani-                      about the plan for securing such weap-                 for as much time as he may consume.
      stan is the ‘‘central battle’’ in the fight              ons and the means to make them so                        The PRESIDING OFFICER. Without
      against terrorism, and he claimed that                   that they would not slip away in the                   objection, it is so ordered.
      al-Qaida attacks occurred in part be-                    chaos of war, secreted across borders or                              FUNDING FOR IRAQ
      cause the United States was pursuing a                   sold off to the highest bidder. No mat-                  Mrs. BOXER. Mr. President, before
      policy to contain Saddam Hussein.                        ter how hard I tried, over and over, I                 Senator FEINGOLD leaves the Chamber,
        Secretary Wolfowitz did not say that                   never got a real answer. And today we                  I thank him for his comments. Since he
      the Iraqi Government had anything to                     still have not found this material, a                  is my seatmate on the Foreign Rela-
      do with the planning of the attacks on                   plain fact that raises very serious secu-              tions Committee, which in itself is an
      Khobar Towers or the attack on the                       rity concerns.                                         honor for me, I recall that we were
      USS Cole, but there these things are, in                   At some point in this debate, some                   very skeptical from the start about
      the same breath, in the same context.                    seemed to be under the impression that                 going it essentially alone in Iraq. He
      The rhetorical linkages continue be-                     asking questions and demanding that                    and I have pressed very hard to work
      cause the hard sell is a hard job, espe-                 questions be answered signified some-                  through the U.N. weapons inspectors
      cially now as the magnitude of the                       thing less than full support for our                   and to have the whole world breathing
      task before us is becoming clearer.                      Armed Forces and something less than                   down Saddam’s neck. Now, as it turned
        Five American soldiers were killed in                  a complete commitment to the secu-                     out, we essentially did it alone and we
      Iraq over the weekend and another was                    rity of the United States of America.                  are bearing the burden of these tragic
      killed on Monday and another on                          They were dead wrong. Asking ques-                     deaths every day, deaths that are al-
      Wednesday and another on Thursday,                       tions, demanding answers, and exer-                    most going, I hate to say, unnoticed
      marking 51 United States combat                          cising our judgment are just what the                  now, although some of us talk about
      deaths and over 100 United States                        American people send us here to do. It                 the brave soldiers we are losing.
      troops killed since the President de-                    is how we protect our interests. It is                   When it comes to the funding of this
      clared the end of major combat oper-                     how we ensure that the brave men and                   war, we are up to $45 billion to $50 bil-
      ations in Iraq in May. We can all hope                   women of our military do not find                      lion a year, even without the rebuild.
      and pray that these attacks will de-                     themselves in harm’s way without an                    As my friend knows, because he has
      crease in their frequency and lethality,                 adequate explanation of their mission,                 been a major force for fiscal responsi-
      but there is no certainty that the at-                   without adequate training for the task                 bility, we cannot even share that bur-
      tacks will let up anytime soon.                          before them, without the sense of futil-               den. Even when countries such as the
        Despite the ‘‘triumphant mission ac-                   ity or confusion that makes it that                    Poles come forward, and we are grate-
      complished’’ rhetoric in which the ad-                   much harder to cope with constant                      ful to them for sharing the burden on
      ministration indulged several weeks                      threats and pervasive danger.                          the ground, we are paying for it. How
      ago, the friends and families of our                       Now that we are beginning to get                     can we sustain these costs at a time
      men and women in uniform are living                      some answers, now that we are hearing                  when our deficits are skyrocketing?
                                                               that our military presence alone is                      So we are in a bit of a mess, and I
      with the possibility of the knock on
                                                               costing about $1 billion a week, now                   hope the President will move more
      the door, the horrible news coming
                                                               that it is clear that rosy scenarios                   forcefully toward internationalizing
      home. They are suffering with every
                                                               about reconstruction in Iraq will be                   the rebuilding of Iraq and sharing the
      news story, with every report, des-
                                                               self-financing are revealed to be the                  burden because that is the answer.
      perately worried about their husbands
                                                               worst kind of self-deluding, wishful                   That is what a real leader has to do.
      and wives, sons and daughters, and fa-                                                                            We all said that the 21st century
                                                               thinking, it is now that we need to
      thers and mothers. While, of course,                                                                            would be America’s century but that
                                                               look at the facts and adjust our course
      they feel proud of their loved one’s                                                                            does not mean we do it alone. It means
                                                               accordingly. Now we have GEN Tommy
      service, they also feel tremendously                                                                            we lead the world against tyrants and
                                                               Franks’ successor, General Abizaid, ac-
      worried.                                                                                                        against the war on terror. So I wanted
        Yes, across America, there is a grow-                  knowledging that our troops are facing
                                                               a ‘‘classical guerrilla-type campaign’’                to thank my friend before he left the
      ing sense of unease—unease about the                                                                            Chamber.
      hostility our troops are facing; unease                  that is ‘‘getting more organized.’’
                                                                 Do you know what is happening? The                           NOMINATION OF CAROLYN B. KUHL
      about the fact that the United States
                                                               hard sell is giving way to the hard                      Mrs. BOXER. Mr. President, I rise
      and the United Kingdom are nearly
                                                               truth. These probably are not the an-                  today to talk about a judicial nomina-
      alone in trying to take this on, having                  swers the American people were ex-                     tion that has gotten no attention on
      alienated potential allies in the lead-up                pecting when their questions were met                  the Senate floor thus far and yet we
      to war; unease about the giant task                      with evasion or with vague exhor-                      are going to have a vote on this nomi-
      that lies ahead and the tremendous re-                   tations to ‘‘just trust us.’’ I did not                nation, as I understand it, tomorrow,
      sources that will be required in terms                   support the decision that led us to this               the nomination of a woman from Cali-
      of manpower, in terms of time, and in                    place, but I wholeheartedly support the                fornia which was ill advised from the
      terms of money to see this through;                      troops who are in the hot seat now, and                start because there was no advice and
      unease about intelligence suggesting                     I support their families. I support the                consent done at all from this adminis-
      that the terrorists are planning more                    next generation of Americans who de-                   tration, at least to this Senator.
      hijackings this summer, just as we                       serve better than to be saddled with                     When I was notified that this nomi-
      read reports about insufficient home-                    massive debts, in part because their                   nation was going forward, I had several
      land security resources forcing cuts in                  Government was unwilling to do what                    meetings with the Bush administration
      the number of flights that will have                     it takes to get capable partners on                    people and I asked, why are you choos-
      Federal air marshals on board. The fact                  board to help us shoulder the burden                   ing someone who is so far out of the
      is, many Americans do not feel more                      that now weighs so very heavily on this                center and so far to the extreme right,
      secure today; they feel vulnerable.                      country.                                               when the President said he would gov-
        Months ago, I found I could not sup-                     I believe we must keep the questions                 ern from the center?
      port a march to war without getting                      coming. We must get real answers, and                    In fact, I will never forget the night
      real answers to some basic questions                     we must all work together to move to-                  he declared victory, after the Supreme
      about the cost and commitments we                        ward a wiser approach. I do not want to                Court made their ruling, and the Presi-
      would be undertaking in the name of                      hear a hard sell anymore. I want to                    dent came out, very appropriately, and
      the American people. And I could not                     hear the answers to the hard questions,                I thought somberly, and said, I am
      support a march to war when it ap-                       and I want to work on the hard prob-                   going to bring this country together
      peared that our unilateral approach to                   lems and the hard choices that are be-                 and I am going to govern from the cen-
      Iraq would harm the progress of the                      fore us.                                               ter. I took him at his word.
      fight against terrorism. But I want to                     Mr. President, I yield the floor.                      When President Clinton was in office,
      tell you, Mr. President, I was deeply                      Mrs. BOXER. I ask unanimous con-                     I got a pretty stern lecture from Chair-
      concerned about the issue of weapons                     sent that at the completion of my re-                  man ORRIN HATCH, for whom I have



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      S10504                                             CONGRESSIONAL RECORD — SENATE                                                          July 31, 2003
      great respect. He said, Barbara, I want                  nominee and let me see whether I                       coming before us the day before we
      you to know that if you recommend                        think she ought to move forward. Sen-                  leave when we are in the middle of an
      any judges that are outside the center,                  ator FEINSTEIN listened, asked deep                    Energy bill that the other side says is
      forget about it. It is not going to hap-                 questions, pondered, and then said, no.                so important. They are throwing at us
      pen. We are not going to let it happen.                  And she will express for herself why                   one of the most controversial nominees
      We want moderates.                                       she said no.                                           one could find. Office and Professional
        I do not understand why that does                        So we have two home State Senators                   Employees International Union, Pro-
      not apply now. It applied to President                   against this nomination. What hap-                     gressive Jewish Alliance, San Fran-
      Clinton. It ought to apply to President                  pens? The nominee is coming to the                     cisco Board of Supervisors, San Fran-
      Bush. When President Bush said, I                        floor for a vote. We have not even de-                 cisco La Raza Lawyers Association, Si-
      want to govern from the center, I took                   bated it or discussed it.                              erra Club, Smokefree Educational
      him at his word.                                           I wanted to apologize to my friend                   Services, the Foundation for Taxpayer
        When the Constitution says the Sen-                    from Montana, because I know he is                     and Consumer Rights, UNITE, United
      ate shall be part of the advice and con-                 talking on another subject, but this is                American Nurses, United Farm Work-
      sent function, that does not mean we                     crucial. I predict this Senate will not                ers, United Food and Commercial
      roll over and play dead to any Presi-                    give the go-ahead to this nominee and                  Workers International Union. Again, I
      dent, be he or she Democrat or Repub-                    I want to make the record clear as to                  am reading a partial list.
      lican. It means the President should                     why.                                                     The     last    chart:    Union    of
      seek our advice and must win our con-                      It is pretty clear that if we look at                Needletrades, Industrial and Textile
      sent.                                                    the values shared by the American peo-                 Employees; Wilderness Society; Wom-
        So when we see a judicial nominee                      ple on such matters as privacy, civil                  en’s Committee, Labor Committee for
                                                               rights, women’s rights, access to the                  Latin American Advancement; Wom-
      come to this floor, where one of the
                                                               courts, whistleblower protection, legal                en’s Leadership Alliance; Women’s
      home-state Senators never even sent
                                                               intimidation, the right to the disabled                International League for Peace and
      back what we call the blue slip, which
                                                               and the environment, on every single                   Freedom, and a number of members of
      is sort of the permission slip, giving
                                                               one of these very key American values                  the California delegation. This gives a
      permission to move forward, when we
                                                               this nominee is way outside the main-                  sense of the breadth of opposition.
      see that being ignored after it said for                                                                          Let me start off telling a story why
      many years on the slip, this nomina-                     stream. There are years of actions that
                                                                                                                      so many people are so upset about this
      tion will not go forward unless you                      prove what I have said.
                                                                                                                      nomination. It has to do with a case
      send back the slip—I ask unanimous                         I do not relish this situation. Every-
                                                                                                                      Judge Kuhl decided in the California
      consent that the blue slip be printed in                 one who knows me knows that I fight
                                                                                                                      courts that deals with a woman who is
      the RECORD.                                              so hard for women’s rights and for
                                                                                                                      a cancer victim. I will read this wom-
        There being no objection, the mate-                    women to move forward and to break                     an’s public statement.
      rial was ordered to be printed in the                    the glass ceiling, but when we see the
                                                                                                                        My name is Azucena Sanchez-Scott. I am a
      RECORD, as follows:                                      record of this nominee, I have no                      survivor of breast cancer and Judge Kuhl’s
                             U.S. SENATE,                      choice. I do not deserve to be here if I               courtroom. I stand before you now because I
                COMMITTEE ON THE JUDICIARY,                    do not make the case against this nom-                 want to tell my story so that other people
                           Tuesday, August 1, 2000.            ination and why I believe the pro-                     will never have to re-live it.
        DEAR SENATOR: You will kindly give me,                 ceedings should not move forward.                        This is a woman who was harmed by
      for the use of the Committee, your opinion                 So let me first show how many                        Judge Kuhl in a way she will never for-
      and information concerning the nomination                groups are against this nominee and                    get for the rest of her life.
      of:     to be      .                                     how controversial this nomination is. I
        Please return this form as soon as possible                                                                     Nothing about my cancer is easy. Not the
      to the nominations office in Dirksen G–66.
                                                               am going to go through these. I am not                 chemotherapy, not the fear, and certainly
      No further proceedings on this nominee will              going to read every name on it but I                   not the emotional pain or disfigurement. As
                                                               want to give a sense of this list: the                 a person battling cancer, each visit to the
      be scheduled until both blue slips have been
                                                               AFL–CIO, the Alliance for Justice—I                    doctor brings questions about my future and
      returned by the nominee’s home state sen-
                                                                                                                      my health. That is where I was when my doc-
      ators.                                                   am skipping some—Asian Pacific                         tor and a stranger walked in. The doctor of-
            Respectively,                                      American Labor Alliance, Association                   fered no introduction and proceeded to ex-
                              ORRIN G. HATCH,                  of Flight Attendants, Breast Cancer                    amine me and asked that I disrobe. It was
                                        Chairman.              Action—and I am going to explain                       only when I left the office and inquired with
        Via courier to:
                                                               why—Breast Cancer Fund, California                     the receptionist that I learned that the
                         REPLY                                                                                        stranger was a sales representative for a
                                                               Women’s Law Center, Clean Water Ac-
      To: Senator Hatch, Chairman                              tion, Committee for Judicial Independ-                 drug company with no medical reason for
      lll I approve                                                                                                   being there.
                                                               ence, Communications Workers of
      lll I oppose                                             America,     Defenders     of   Wildlife,                    She continues:
      Comments:lllll                                           Earthjustice, Feminist Majority.                         As a cancer survivor, I trusted that my
                                        lllll                    Let’s go to the next chart. I am skip-               doctor would make decisions in my best in-
                                     U.S. Senator.                                                                    terest and my doctor violated that trust.
                                                               ping many of these because of the time                 The injustice, however, did not end there.
        Mrs. BOXER. There is a note from                       constraints I feel but let me continue.                  Judge Kuhl heard my case and found no
      Senator HATCH when he was Chairman                       Foundation for a Smoke-Free Amer-                      fault in the doctor’s actions. She ruled that
      of the Judiciary Committee during the                    ica—and I will explain why they got in-                it was my obligation to protect my privacy
      Clinton administration, which I would                    volved—Friends of the Earth, Japanese                  in his exam room. That I should have battled
      like to read. The blue slip we used to                   American Citizens League, Inter-                       cancer and my doctor’s judgment at the
      receive from Senator HATCH said:                         national Federation of Professional                    same time. And, she denied my request to
                                                                                                                      allow a jury trial to determine if the intru-
      ‘‘Please return this form as soon as                     and Technical Engineers, Los Angeles                   sion was highly offensive to a reasonable per-
      possible . . . No further proceedings on                 African American Women’s Political                     son.
      this nominee will be scheduled until                     Action Committee, Mineral Policy                         We were taught not to question our doctors
      both blue slips’’—that means from each                   Center, MoveOn.org, NARAL Pro-                         and I know as a medical health professional
      Senator—‘‘have been returned by the                      Choice America, National Center for                    that I have an obligation to protect my cli-
      nominee’s home State Senators.’’                         Lesbian Rights, National Council of                    ent’s privacy. I was shocked to find that the
                                                                                                                      doctor did not honor this obligation and I
        That is what we all used to receive                    Jewish Women, National Employment                      think that is why Judge Kuhl’s decision was
      from Chairman HATCH. That was his                        Lawyers Association, National Organi-                  unanimously reversed on appeal. If, however,
      former policy. Then all of a sudden it                   zation for Women, National Women’s                     there is any duty for a citizen to ask ques-
      changed when the President changed.                      Law Center, Natural Resources Defense                  tions as a standard to protect our rights to
        So on process, this was a nomination                   Council. Again, I am reading a partial                 privacy, it lies with the Judiciary Com-
      that should not be before us. Then the                   list here.                                             mittee.
      bar kept being raised. Senator FEIN-                       Another list, and this is incredible.                  The point is, a woman has breast
      STEIN said, let’s have a hearing on this                 This is one judicial nominee that is                   cancer. She goes to the doctor for a



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                  S10505
      brutally difficult exam. She is humili-                  the ability to go to the courthouse                      Is that an American value, to stand
      ated in the office of that doctor by a                   door and get into that courtroom. We                   on the side of a polluter and say let the
      total stranger, a drug salesman she                      have that right as Americans.                          people take care of it if an oil company
      later finds out, and Judge Kuhl rules                      She argued that organizations do not                 polluted their land? I say it is outside
      against this woman, against her pri-                     have standing to sue in Federal court                  the mainstream on the environment.
      vacy rights, and tells her she should                    on behalf of their members. She called                   Legal intimidation—and this is very
      have asked, she should have known to                     on the Supreme Court to reject the                     serious:
      ask who this stranger was that her doc-                  principle of associational standing, ef-                 Kuhl ruled against an individual subjected
      tor brought into the room.                               fectively undermining the ability of                   to intimidation and legal costs as a result of
        This is someone the Bush administra-                   unions to enforce labor laws.                          speaking out against Medicare and insurance
      tion wants to promote and give a life-                     So if you believe, as she does, that a               fraud. In unanimously overturning Judge
                                                               union does not have a right to sue on                  Kuhl’s decision—
      time judgeship to?
        I can tell you what the breast cancer                  behalf of the members, that even, say,                   Unanimously     overturning   Judge
      groups say. They normally do not get                     the NRA, the National Rifle Associa-                   Kuhl’s decision—how far out of the
      involved in these fights, but they are                   tion, does not have a right to sue,                    mainstream can you be when a court
      involved in this one. This is from                       whether the Chamber of Commerce                        that is dominated by Republicans over-
      Breast Cancer Action:                                    should not have the right to sue,                      turns you unanimously?—
        On behalf of Breast Cancer Action and our              whether an environmental organiza-                     the California State Court of Appeals found
      over 8,000 members in California, I am writ-             tion should not have the right to sue                  her ruling ‘‘would prolong both the [indi-
      ing in support of your opposition to the nom-            on behalf of its members, then go                      vidual] defendant’s predicament and the
      ination of Judge Carolyn Kuhl to the Ninth               ahead and support her. But that under-                 [corporate] plaintiff’s outrageous behavior.
      Circuit Court of Appeals.                                mines a basic, fundamental principle of                      Outside the mainstream on tobacco.
         They say:                                             our laws that organizations have                         Kuhl was part of a team representing a to-
        Based on Kuhl’s refusal to protect funda-              standing to sue on behalf of their mem-                bacco company in its effort to manipulate
      mental woman’s rights in cases such as this,             bers. Whether it is the PTA or any                     public policy.
      the BCA opposes her nomination.                          other group, they should have the right                  That was the case State of Minnesota
        This is highly unusual.                                and have their day in court.                           et al v. Philip Morris et al. On the
        We have another letter from another                      Carolyn Kuhl is outside the main-                    wrong side, out of the mainstream.
      organization I want to share.                            stream on women’s rights. As I go                        She was out of the mainstream on ex-
        How can anyone be so cold and heart-                   through this, I hope everyone under-                   posing corporate fraud. Kuhl chal-
      less as to tell someone suffering like                   stands it is not as if there were not                  lenged the ability of whistleblowers to
      this that they have to ask, Who is in                    other people who could have been nom-                  expose fraud against the Government.
      the room? in a doctor’s office?                          inated in California, great people who                   Imagine, instead of taking the side of
        The Breast Cancer Fund wrote:                          were Republicans in my State. And I                    the whistleblowers—and who are whis-
        Quite simply, Judge Carolyn B. Kuhl does               begged the administration to do it.                    tleblowers? People who are willing to
      not show the level of sound judgment nec-                They said: Send a list. And I sent them                come out and tell the truth. She chal-
      essary for an appellate court judge.                     a list of several wonderful Republicans                lenged the ability of whistleblowers to
        I know we have mostly men in the                       in my State who would have been great                  expose fraud against the Government.
      Senate, although we are moving for-                      nominees. No, they were going to go                    The case was United States ex rel
      ward with about 14 women. But any                        forward with this extreme nomina-                      Jason R. Madden v. General Dynamics
      woman in the Senate will tell you,                       tion—whatever their reasons, I cannot                  Corporation.
                                                               say—even in the face of the two home                     She also misrepresented the U.S.
      going for that type of an exam, even if
                                                               State Senators’ opposition.                            Government’s position on the constitu-
      you are totally healthy and not just
                                                                 Carolyn Kuhl supported a gag rule on                 tionality of the Federal whistleblower
      coming out of a breast cancer oper-
                                                               title X funds, filing an amicus brief on               law in United States ex rel Rohan v.
      ation, it is very difficult, it is very
                                                               behalf of the American Academy of                      Newert, in 1993.
      nerve racking, it is very embarrassing.
                                                               Medical Ethics, an organization which                    Outside the mainstream on rights for
        To have a woman judge rule against
                                                               represents more than 25,000 doctors                    the disabled. She argued airline car-
      Ms. Sanchez-Scott’s privacy is extraor-
                                                               who oppose abortion. She argued for re-                riers do not have to abide by anti-
      dinary to me. To have these kinds of
                                                               stricted access to contraception, im-                  discrimination statutes relating to the
      letters from groups like this is extraor-
                                                               posing additional requirements on re-                  disabled.
      dinary, and it ought to be extraor-
                                                               cipients of title X funds.                               Do you know whom she took on in
      dinary to every single Senator who
                                                                 We all know our country is divided                   this case? The Paralyzed Veterans of
      should vote not to allow this nomina-
                                                               on the right to choose. My State is                    America.
      tion to go forward.
                                                               very strongly pro-choice, that is true.                  It is hard for me to believe this
        I will quickly go through the other
                                                               But in the country it is split. I cannot               record. It is hard for me to believe you
      issues where Carolyn Kuhl is outside
                                                               believe we are split on the issue of con-              are going to have to vote to move this
      the mainstream. We mentioned she is
                                                               traception. Here we have a nominee                     nomination along. Why do we have all
      outside the mainstream on privacy
                                                               who is for limiting access to contracep-               these groups very upset? Because they
      rights. She is outside the mainstream
                                                               tion. This is outside the mainstream on                understand what her record has been.
      on civil rights.
                                                               women’s rights. She ruled against a                    Fighting on the side against paralyzed
         Kuhl urged the Reagan administration to                                                                      veterans—it is unbelievable. Let me
      adopt a position that would grant tax-ex-
                                                               rape victim in favor of an insurance
      empt status to Bob Jones University. More                company when she had the opportunity                   just say we will have a little more de-
      than 200 lawyers in the Justice Department’s             to rule in favor of that victim and get                bate on this tomorrow, but I want my
      civil rights division signed a letter in opposi-         that victim support.                                   colleagues to understand that the way
      tion to this position. The New York Times                  She supported a restriction on access                this nomination came to this Senate
      (May 26, 1983) characterized her as part of a            to abortion and urged reversal of Roe.                 was just plain wrong. It went against
      ‘‘band of young zealots’’ who urged the legal              This is when she worked for the De-                  Senator HATCH’s own rules that he laid
      switch.                                                  partment of Justice. This is what she                  down when President Clinton was
        She went forward and defended tax-                     said:                                                  President. He said you had to have
      exempt status for Bob Jones University                     . . . Roe v. Wade is so far flawed . . . that        both Senators sending back their slips
      even though it discriminated on the                      the Court should reconsider that decision              to allow this to go forward. Senator
      basis of race. Is this someone we want                   and . . . abandon it.                                  HATCH has changed that rule now that
      to elevate? She is outside the main-                       That is what she argued.                             we have a different president.
      stream on civil rights.                                    On the environment, Kuhl rep-                          Then, when we had two Senators
        She is also outside the mainstream                     resented a large oil company that                      against this nomination—we never ex-
      on access to the courts. What makes                      wanted to avoid cleaning up polluted                   pected it would be here—when I spoke
      our country so great is that we have                     land.                                                  to the President’s men, they said:



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      S10506                                             CONGRESSIONAL RECORD — SENATE                                                        July 31, 2003
      ‘‘Give us some ideas of some main-                       it is your job—that kind of decision                   make any difference, some lawyers,
      stream people you might support. I was                   fails the test of compassion, sensitivity              some law professors, businesspeople,
      happy to do it. I sent them a list of                    and, above all, the law. She was wrong                 people who I respected as some of the
      wonderful people.                                        on the law. She was overturned on the                  best and smartest and most able in my
        As a matter of fact, one of the people                 law.                                                   State—to come up with three names,
      I recommended is known to the Sen-                         For all those reasons, I beg my col-                 one for the district court and one for
      ator from Oregon. One of the people I                    leagues to stop this nomination from                   the circuit courts of appeal. I asked
      recommended for this position was                        going forward. Let’s get another nomi-                 them to give me the three very best
      known to the Presiding Officer.                          nee, a Republican nominee, I am sure—                  people in my State. I don’t care wheth-
        Instead of reaching out to the Sen-                    which President Bush has every right                   er they are Republicans, Democrats,
      ators from California and coming in                      to do—but one who comes from the                       whether they are known as conserv-
      with a consensus nominee, for what-                      mainstream, with mainstream values                     atives, whether they are known as lib-
      ever reason the President chose to con-                  and mainstream life.                                   erals, just give me the best. And they
      tinue with this nomination. I can tell                     Mr. President, I yield the floor.                    did. I sat down with each of the three
      you, in all my years, I have never seen                    The PRESIDING OFFICER (Mr.                           and interviewed each of the three for
      such an outcry from the people of this                   SMITH). The Senator from Montana.                      several hours.
      country.                                                   Mr. BAUCUS. Mr. President, I thank                     I can tell you it was a very difficult
        I will close. A letter was sent to Sen-                my good friend from California, Sen-                   decision because they are tremendous
      ator FEINSTEIN on May 6, 2003, by Shir-                  ator BOXER, for the statement she just                 people.
      ley Hufstedler, a former Ninth Circuit                   made. For some, it is not easy to stand                  Finally, I decided after a lot of think-
      judge, and the first U.S. Secretary of                   up on the floor of the Senate and op-                  ing about all of this to recommend to
      Education. She said:                                     pose the nomination of a judge nomi-                   President Clinton the name of Don
        I do not question Judge Kuhl’s skill as a              nated by the President of the United                   Malloy. Thankfully, he nominated Don
      highly trained lawyer. I am troubled by her              States. For others, it is not quite as                 Malloy to the Federal District Court in
      lack of candor before her Senate hearing and             difficult. But for the Senator from                    the State of Montana. He is a terrific
      by her apparent insensitivity to the impact              California, I admire her for the clarity               Federal judge.
      her rulings have on some of the people who               of her thinking and the position she                     Why do I say terrific? I say terrific
      have come before her as a judge.                         has taken because, frankly, I agree                    because both the plaintiffs bar and the
         That is an important point about                      with it.                                               defense bar think he is just super. He is
      which I didn’t tell you. There were a                      All of us in this body took an oath of               tough, he is fair, he runs that court
      number of statements Judge Kuhl                          office to uphold the Constitution of the               well, and he works very hard. Both
      made before the committee that, when                     United States. The main framework of                   plaintiffs and defense attorneys think
      asked in further detail after the hear-                  that Constitution is the separation of                 he is very fair and a very good judge.
      ing, she had to correct and clarify what                 powers with its powers allocated equal-                That says a lot to me.
      she had said to the members of the Ju-                   ly among the legislative, executive,                     I did the same in the other case.
      diciary Committee. She said, Oh, I                       and judicial branches. When our                        When we had the opportunity to rec-
      made a mistake. I was wrong. I didn’t                    Founding Fathers wrote that Constitu-                  ommend to President Clinton the
      exactly say it right.                                    tion, they were unsure about what to                   nominee for the Ninth Circuit Court of
         So whether you look at her perform-                   do about judges. They debated. One of                  Appeals, it was the same process. I
      ance before the Judiciary Committee,                     their proposals was that the Congress                  asked for the best. I didn’t care wheth-
      her actions within the Department of                     send the names of potential judges to                  er they were Republicans or Demo-
      Justice during the Ronald Reagan                         the President and that the President                   crats. It didn’t make any difference.
      years, her actions as a private lawyer,                  choose from among those judges which                   Who were the best? The group I se-
      or her actions as a California judge, it                 one the President wanted, and that is                  lected came back with three people—
      all adds up to outside the mainstream,                   the one that would be named. It was a                  all just terrific people. You would be
      way outside the mainstream. And it                       very difficult issue to resolve. Why?                  very proud of all of them, Mr. Presi-
      goes against what I believed President                   Because the two branches of govern-                    dent.
      Bush made as a commitment to the                         ment would be deciding which people                      Again, I had a hard time deciding
      American people—that he would gov-                       would have lifetime appointments serv-                 which one was the best. But I made a
      ern from the center.                                     ing in the third branch of Government;                 decision. That person now serves on
         I have voted for many judges here,                    that is, the judicial branch.                          the Ninth Circuit. His name is Syd
      probably 90 percent, maybe high 80s.                       Why is this so important? It is so im-               Thomas. He has the reputation of being
      Many were judges I did not agree with,                   portant because judges must be impar-                  one of the best judges on the Ninth Cir-
      who were conservative, who would not                     tial, and they must be fair. They have                 cuit Court of Appeals.
      view the world as I view it. It is very                  a very difficult job of trying to inter-                 It is very important that we get the
      rare—very rare—that I have taken to                      pret laws and interpreting the Con-                    best judges. These are people who are
      the floor to make this point. I do not                   stitution. We as Americans feel much                   nominated and serve for life. That is
      do it lightly.                                           safer and we feel much better the more                 extremely important. It is important
         This is not a personal attack. I have                 we know that the judges in the district                so they can maintain their independ-
      met Carolyn Kuhl. She is delightful to                   courts, the courts of appeal, and the                  ence. It is also important since once
      talk to. But this is not about personal-                 Supreme Court are people of the high-                  they are confirmed, they are there for-
      ities and it is not about gender and it                  est caliber.                                           ever.
      certainly is not about religion. It is                     Let me tell you that one of the great-                 We self-destruct. As Senators we self-
      about whether or not the advice and                      est privileges I believe we have as                    destruct every 6 years. House Members
      consent of the Senate was really                         Members of the Senate is to rec-                       self-destruct every 2 years—some Gov-
      sought in this. It is about how Senators                 ommend the names of potential judi-                    ernors 4 years and some 2—to go back
      were disregarded, the home State Sen-                    cial nominees to the President of the                  and face the people, as we should go
      ators who wanted to cooperate, who                       United States. I have been able to do                  back and face reelection. Should we be
      put forward names, and it is about her                   that several times. It is very much a                  continued in these offices, if we seek
      lifetime of fighting for everything that                 privilege to me personally. In the exer-               them, or not? It causes us to be very
      is outside the mainstream of America.                    cise of that privilege, this is the proc-              close to the people. In some cases, we
         I do not think, after that decision on                ess I followed. I think it is one that                 are more attuned to the political cur-
      the breast cancer victim, and that                       honors the position of the judge in ei-                rents that flow in our respective
      alone, that someone who would be that                    ther district court or the United States               States. Not so judges. Judges are not to
      insensitive to say to someone who was                    Courts of Appeals.                                     be attuned to political currents. They
      fighting breast cancer that you have to                    I asked in each instance seven or                    are to be independent, to be impartial,
      come in and you have to ask your doc-                    eight people in my State of Montana—                   to go beyond politics, to do what is
      tor who is in the room with you, that                    Republicans, Democrats, it didn’t                      right according to what the law says



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                              S10507
      and what the Constitution says. That                       It is easy for us to decide what is best             are located right through this area
      is who we want.                                          and what is not best. We should not                    shown here.
        This is no light matter. One of the                    push pell-mell to follow the political                   Now, the Front harbors the country’s
      strengths of America is our inde-                        flood and rush on either side of the                   largest bighorn sheep herd—the coun-
      pendent judiciary. That is not true in                   aisle just because the President ap-                   try’s largest—and the second largest
      most other countries. Most peoples in                    pointed the person, or because a group                 elk herd in the entire country. That is
      the world live where the continent                       came out against their nominee we                      on the Front.
      might be under a system where the ju-                    should or should not confirm that per-                   The Rocky Mountain Front supports
      diciary is not independent of the execu-                 son.                                                   one of the largest populations of griz-
      tive branch, not independent of the leg-                   This is a high solemn obligation we                  zly bears south of Canada and is the
      islative branch; rather, it is under the                 have, Mr. President. I urge all of us to               only place in the lower 48 States where
      thumb of one or the other. They are                      take this responsibility under the Con-                grizzlies still roam from the mountains
      not independent.                                         stitution, the Constitution which we                   to their historic range on the plains,
        That is one reason why this country                    all swore to uphold, very carefully.                   just as they did when Lewis and Clark
      has grown so strongly, why it has pre-                     Mr. President, turning to another                    came across. Actually, they crossed
      vailed, and why we have risen so quick-                  matter, I would like to speak about an                 right up through here. Marias Passway
      ly and so far. It is because we have an                  amendment I intended to offer today                    is over here. So Lewis and Clark, when
      independent judiciary, by and large, of                  on the Energy bill that I think pro-                   they came up, saw that area. Actually,
      judges who are extremely capable men                     motes a good commonsense solution to                   they came the south. One of the groups
      and women. It engenders confidence so                    an issue that I think is very important                came across Marias Pass.
      when people go before a judge they                       to my constituents in Montana, and                       Because of this exceptional habitat,
      have the feeling this person can be fair                 that is, protecting Montana’s magnifi-                 the Front offers unsurpassed hunting,
      and this person can be honest. They                      cent Rocky Mountain Front.                             fishing, and recreational opportunities.
      may not like the outcome, but at least                     What is the Front? The Front, as we                  Sportsmen, local landowners, local
      it is a fair process. At least the Presi-                call it back home, is one of the largest               elected officials, hikers, local commu-
      dent or the Governor didn’t put his                      and most intact wild places left in the                nities, and many other Montanans
      thumb on this judge and it wasn’t a po-                  lower 48 States. We call it the Front                  have worked for decades to protect and
      litical decision. It was a decision a per-               because that is kind of what it is; it is              preserve the Front for future genera-
      son made on the merits.                                  a front. Anyone driving across the                     tions for nearly a century.
        I say this because we as Members of                    State of Montana, driving westward,                      Now let me show you a couple of pic-
      the Senate have a higher obligation in                   first encounters open plains and prai-                 tures of the Front so you get a sense of
      passing upon judges than we do of                        ries; and then, suddenly, out in the dis-              the feel for this magnificent landscape.
      other nominations—certainly of other                                                                            This is a photograph of Ear Mountain.
                                                               tance, the Rocky Mountains, the Con-
      executive branch nominations. When                                                                              It is supposed to be shaped like an ear.
                                                               tinental Divide just seems to jump out
      the President nominates somebody to                                                                             If you have a good imagination, maybe
                                                               of the plains—this huge mountain
      be Treasury Secretary or somebody to                                                                            you can see the ear. Frankly, a couple
                                                               range—and that is what we call the
      be Secretary of State, or someone to be                                                                         summers ago, I hiked up to the top of
                                                               Eastern Front.
      Defense Secretary, those are important                                                                          the ear with a good friend, Rick
                                                                 That is the eastern side of the Rocky
                                                                                                                      Graetz, and another friend, Jim Scott,
      jobs, very important. But they are ex-                   Mountains which kind of juts out from
                                                                                                                      and Jamie Williams, and it was just a
      ecutive branch nominations, and they                     the plains. It is magnificent. It is one
                                                                                                                      gorgeous climb.
      are people who will be working for the                   of the largest and most intact wild                      When you get to the top of the Ear—
      President, and by and large the Presi-                   places left in the lower 48 States.                    this picture, of course, was taken a lit-
      dent should have people with whom he                       This map I have is not a good map to
                                                                                                                      tle more in the wintertime, but at the
      can work. We should, in my judgment,                     show the beauty of it. But, rather, this
                                                                                                                      top of the Ear, if you look east, you
      not have quite the same standard for                     is a map that shows where the Front is
                                                                                                                      can see forever. It is wonderful.
      executive nominations as we do for ju-                   with respect to the Blackfoot Indian                     We feel very strongly about the
      dicial nominations.                                      Reservation, the oil and gas leases, and               Front. The majority of Montanans be-
        For judicial nominations, the stand-                   some of the wilderness areas there. But                lieve very strongly, frankly, that oil
      ards should be of the highest. What                      to the north of the Front is an area                   and gas leases on the Front and
      should they be, roughly? They should                     here. This is the Blackfoot Indian Res-                throughout Montana’s Rocky Moun-
      be people who have the highest integ-                    ervation. Glacier National Park is over                tain Range just don’t mix. We think
      rity and honesty. They should be peo-                    to the northwest on this map. The area                 that because the habitat is too rich,
      ple who are extremely competent, who                     shaded in red is called Badger-Two                     the landscape too important to subject
      know the law, and people who basically                   Medicine. It is call Badger-Two Medi-                  it to the roads and the drills and the
      don’t have an ax to grind or an ideolog-                 cine in large respect because the                      pipelines and the industrial equipment
      ical ax to grind; that is, they are basi-                Blackfoot Indian Reservation has an-                   and the chemicals and noise and
      cally in the mainstream. America is a                    cestral rights and claims. It is a very                human activity that come with oil and
      mainstream country. We are not a                         special area to the Blackfoot. It is also              gas development.
      country, hopefully, of ideologues, of                    a gorgeous area. I have hiked it many                    Let me show you a couple for photos
      people who have axes to grind, of peo-                   times. I think it is a very special place              of the Front before I proceed.
      ple who want to work with each other                     in the United States of America. This                    This is typical—and I mean typical. I
      and who live with each other. We                         is sacred ground, Badger-Two. It is the                am not exaggerating. This is what
      should have judges who reflect America                   area on the map that is shaded red lo-                 Montana looks like. It is what the
      and in fact set the highest standards                    cated next to Glacier Park.                            eastern Front looks like. It is gor-
      for America.                                               In January 2002, portions of the Badg-               geous.
        In my opinion, it is not even a close                  er-Two area, known as the Badger-Two                     Here is another picture. This gives
      question. It doesn’t even begin to be a                  Medicine Blackfoot Traditional Cul-                    you a sense of the pristine nature of
      close question. Some of the nominees                     tural District, were declared eligible                 the area. It is special. We are known as
      before the Senate do not rise to those                   for listing in the National Register of                the Big Sky State. And when you are
      standards. They don’t begin to. Some                     Historic Places.                                       out here, you can understand why we
      do. Most do. But some don’t. Where                         If you turn just south of the Badger-                call Montana the Big Sky State.
      they don’t, we in a sense should also                    Two, the Front includes about a 400-                     Those are some of the photographs.
      forget the politics and just do what is                  square-mile strip of national forest                     To give my colleagues some idea of
      right. Is this nominee a person so                       land and about 20 square miles of BLM                  what the area might look like if oil and
      qualified that he or she should be a dis-                lands. The BLM lands are scattered in                  gas were developed, I show you a pic-
      trict court judge or a judge on one of                   through here, as shown on this map.                    ture of extensive oil and gas develop-
      the courts of appeal? That should be                     These include three BLM Outstanding                    ment along the Canadian Rocky Moun-
      the test.                                                Natural Areas. As I mentioned, they                    tain Front in Alberta.



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      S10508                                             CONGRESSIONAL RECORD — SENATE                                                       July 31, 2003
        This is the Front. If you were to con-                    1940—Secretary of Agriculture H.A. Wal-             Reservation. And that has been under
      tinue from Montana up north, this is                     lace signs an order uniting three Forest               an administrative lease suspension
      what it would look like—with the                         Service ‘‘primitive areas’’ and additional             since 1996, pending review of the Black-
                                                               lands into the Bob Marshall Wilderness Area.
      roads and the development of the oil                                                                            foot Traditional Cultural District.
                                                                  1947—The Sun River Game Range, first of
      and gas leases.                                          five state and private wilderness reserves, is
                                                                                                                        This lease suspension could be lifted
        So we believe such development is                      established on the Rocky Mountain Front.               at any time now that the Blackfoot
      not warranted and it is not needed in                    Choteau rancher Carl Malone put up the                 Traditional Cultural District has been
      Montana.                                                 money for the purchase, until the state Fish           declared eligible for listing in the Na-
        The administration recently com-                       and Game Department could raise funds.                 tional Register of Historic Places.
      pleted an inventory of onshore oil and                      1950s—Hunters and ranchers fended off Bu-             All of these existing leaseholders
      gas reserves on Federal lands at five                    reau of Reclamation proposals for the Sun              have invested time and resources in ac-
      basins in the interior West, including                   Butte Dam, which would have flooded a vast             quiring their leases. I understand that
      the Rocky Mountain Front, which is                       portion of the upper Sun River.                        and am sympathetic. Several lease-
                                                                  1953—Flathead sportsmen initiate cam-
      part of the Montana overthrust belt.                                                                            holders have applied to the Federal
                                                               paign to add portions of the Swan Range,
      The administration’s study found that                    Spotted Bear, and upper Middle Fork Flat-              Government for permits to drill.
      the overthrust belt area contains the                    head River to the Bob Marshall Wilderness.               In fact, the BLM and the United
      smallest volumes of potential oil and                       1972—Conservationists persuade Congress             States Forest Service plan to begin
      gas resources of all five of the western                 to add the Lincoln-Scapegoat area to the               analysis of about four leases in the
      inventory areas.                                         Bob Marshall Wilderness. This was the first            Blackleaf Area of the front this fall.
        In addition, the administration’s                      citizen-established wilderness in the coun-              These leases are subject of the study
      study concluded that in reality the                      try.                                                   proposed in my bill.
      vast majority of Federal lands in the                       1973—Blackfeet Tribal Council passes reso-            However, history has shown that en-
      interior West are available for leasing                  lution declaring the entire Badger-Two Med-            ergy exploration and development in
                                                               icine area of the Rocky Mountain Front as              the front are likely to result in expen-
      with few, if any, restrictions; that is,                 ‘‘sacred ground.’’
      there are not many restrictions in the                                                                          sive and time-consuming environ-
                                                                  1978—The Great Bear Wilderness is des-
      vast majority of the Federal lands of                    ignated, and a portion of the Teton-Birch              mental studies and litigation. It will
      the interior West. And that is, we are                   Creek area of the Rocky Mountain Front is              take forever. This process rarely ends
      not talking about the Front, we are                      added to the Bob Marshall Wilderness.                  with a solution that is satisfactory to
      talking the interior of the United                          1983—At the urging of Rep. Pat Williams,            the oil and gas lessee. There are so
      States.                                                  the U.S. House Natural Resources Com-                  many interests involved.
        Although a large percentage of Fed-                    mittee orders an emergency withdrawal of                 For example, in the late 1980’s both
      eral lands in the Front are currently                    the Bob Marshall Wilderness from oil and gas           Chevron and Fina applied for permits
                                                               leasing.                                               to drill in the Badger Two Medicine
      unavailable for leasing, many of those                      1984–1994—In ten separate bills Congress
      lands are unavailable in the Front be-                                                                          portion of the Front. After millions of
                                                               adds lands to the Bob Marshall Wilderness
      cause they lie under Glacier National                    complex.
                                                                                                                      dollars spent on studies and years of
      Park, they lie under Indian lands, and                      June 1993—Secretary of Interior Bruce               public debate, Chevron abandoned or
      already established wilderness areas.                    Babbitt establishes a moratorium on oil and            assigned all of its lease rights, and
      These areas comprise much of the Fed-                    gas development within the Badger-Two                  Fina sold its lease rights back to the
      eral land in the Front.                                  Medicine area. Later extended to 1996.                 original owner. It was not worth it.
        As shown on the map, here is the                          May 1994—The U.S. House of Representa-                We should obviously be fair to those
      Scapegoat Wilderness Area, Bob Mar-                      tives passes H.R. 2473 which includes addi-            leaseholders. We want them to con-
                                                               tions to the Bob Marshall Wilderness com-              tinue to provide for our domestic oil
      shall Wilderness Area, Great Bear Wil-
                                                               plex, wilderness study area designation for            and gas needs, and we want to encour-
      derness Area, Glacier National Park,                     the Badger-Two Medicine, and mineral with-
      Badger-Two, and the Blackfoot. So                        drawal of lands near Gibson Reservoir.
                                                                                                                      age them to find new domestic sup-
      much of this is already restricted. So                      February 1997—Montana’s Senate Natural              plies. But they are going to have a
      not only is the Front relatively poor in                 Resources Committee rejects an industry                long, difficult and expensive road if
      terms of oil and gas reserves, many of                   resolution urging extensive leasing of public          they wish to develop oil and gas in the
      those reserves, by congressional man-                    lands within the Rocky Mountain Front.                 Rocky Mountain Front.
      date, Executive order or treaty, will                       September 1997—Lewis and Clark National               My legislation would direct the Inte-
                                                               Forest Supervisor Gloria Flora issues a his-           rior Department to evaluate for study,
      never be available for leasing. So there                 toric decision to remove all national forest
      is no oil or gas bonanza on the Rocky                                                                           non-producing leases in the Rocky
                                                               lands within the Rocky Mountain Front                  Mountain front and look at opportuni-
      Mountain Front.                                          from further oil and gas leasing for the next
        My amendment builds upon local                                                                                ties to cancel those leases in exchange
                                                               10 to 15 years.
      conservation efforts in Montana that                        January 2001—All national forest land in            for allowing leaseholders to explore for
      started nearly a century ago; that is,                   the Rocky Mountain Front is withdrawn                  oil and gas somewhere else, namely in
      back in 1913. It also builds on previous                 from mineral entry to hard rock mining for             the Gulf of Mexico or in the State of
      congressional initiatives championed                     20 years.                                              Montana. In conducting this evalua-
      by former Members of the Montana                            May 2001—The 9th Circuit Court of Appeals           tion, the Secretary would have to con-
                                                               upholds Flora’s 1997 decision to ban new oil           sult with leaseholders with the State of
      congressional delegation, such as Con-                   and gas leases in the Rocky Mountain Front
      gressman Pat Williams and the late                                                                              Montana, the public and other inter-
                                                               (the decision had been appealed by industry).
      Senator Lee Metcalf.                                                                                            ested parties.
        I ask unanimous consent that a time-                     Mr. BAUCUS. Most recently, in 1997,                    When Interior concludes this study in
      line of these efforts be printed in the                  following significant public and private               2 years the bill calls for the agency to
      RECORD.                                                  investment and an extensive public                     make recommendations to Congress
        There being no objection, the mate-                    comment process, the Lewis and Clark                   and the Energy and Natural Resources
      rial was ordered to be printed in the                    National Forest decided to withdraw                    Committee on the advisability of pur-
      RECORD, as follows:                                      356,000 acres in the Front of any new oil              suing lease exchanges in the front and
         A CONSERVATION HISTORY OF MONTANA’S                   and gas leasing. This was a significant                any changes in law and regulation
                  ROCKY MOUNTAIN FRONT                         first step in protecting the Front from                needed to enable the Secretary to un-
        Montana’s Rocky Mountain Front has been                development, and I wholeheartedly                      dertake such an exchange.
      the focus of conservation efforts for over 90            supported it.                                            Finally, Mr. President, my bill would
      years:                                                     However, in many parts of the Rocky                  continue the current lease suspension
        1913—The Montana state legislator takes                Mountain Front, oil and gas leases do                  in the Badger-Two Medicine Area for
      the first step in protecting the wildlife habi-          exist, and they predate that 1997 deci-                three more years. This lease suspension
      tat of the Rocky Mountain Front by desig-                sion, or they are located on BLM lands.                would only apply to the Badger-Two
      nating the Sun River Game Preserve.
        1928—Bob Marshall takes his first hike into              Many of the leases that predate the                  Medicine Area, not the entire front.
      the wild country which will bear his name,               1997 decision are located in the Badger-                 This suspension will do two things:
      starting the Swan Range at Jewel Basin and               Two Medicine area. That is shown up                    First, it will give the Secretary ade-
      walking over 100 miles to Holland Lake.                  here on the map, close to the Blackfoot                quate time to conduct this study and



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                S10509
      make recommendations to Congress;                        We will continue to do so because                       docks. The Alaska commercial fishing
      second, it will give the Blackfeet Tribe                 that’s the right thing to do for Mon-                   industry as a whole is feeling the ef-
      some breathing room to negotiate with                    tana’s economy and the Nation.                          fects of deflated price in salmon.
      the Interior Department about the                          But the front is special to Mon-                        Alaska’s commercial fishing industry
      long-term protection of Blackfeet his-                   tanans. Because we’re also proud of our                 is a primary employer, providing 47
      toric and sacred sites in the Badger-                    outdoor heritage, of preserving special                 percent of private sector jobs, and is
      Two Medicine area.                                       places to take our kids hunting and                     second only to the oil industry in gen-
        That’s it. That is all my amendment                    fishing and hiking, just like we did                    erating revenue to the state. In 2001,
      would do. It doesn’t predetermine any                    when we were kids. We balance these                     the fishing industry in Alaska provided
      outcome. It doesn’t impact any exist-                    two Montana priorities all the time. In                 tax revenues to the State of over $51
      ing exploration activities or environ-                   this case, Montanans determined that                    million, down roughly $8 million from
      mental review processes.                                 the resources that might be under the                   2000. The Division of Commercial Fish-
        It just creates a process through                      front just don’t justify endangering the                eries in Alaska reports that more than
      which the Federal Government, the                        front’s unparalleled landscape.                         4.7 billion pounds of fish and shellfish
      people of Montana and leaseholders can                     That’s why this amendment is so im-                   with an ex-vessel value of $871 million
      finally have a real, open and honest                     portant, so we can strike the right bal-                were harvested in waters off Alaska in
      discussion about the best way to re-                     ance in Montana on the Rocky Moun-                      2001. Of this amount the ex-vessel value
      solve the status of oil and gas leases                   tain Front. Let’s listen to the locals.                 for salmon in 2001 was $229 million.
      along the Rocky Mountain front. My                         I ask my colleagues for their support.
      amendment is balanced and fair to all                      The PRESIDING OFFICER. The Sen-                         The Alaska Department of Fish and
      parties.                                                 ator from Alaska.                                       Game reports the ex-vessel value of
        We look for ways to fairly com-                          Mr. STEVENS. Mr. President, I                         Alaska’s 2002 salmon season was rough-
      pensate leaseholders for investments                     would like to utilize the time allocated                ly $140 million for a catch of 130 million
      they’ve made in their leases if they de-                 to me on H.R. 2738, the United States-                  fish.
      cide to leave the front rather than                      Chile free-trade agreement.                               This continues a trend of declining
      waste years and millions fighting to                       The PRESIDING OFFICER. Without                        season values for salmon. The Bristol
      explore for uncertain—and small—oil                      objection, it is so ordered.                            Bay sockeye salmon catch received its
      and gas reserves. And, a lot of Mon-                            U.S.-CHILE FREE-TRADE AGREEMENT                  lowest value since 1977, receiving ap-
      tanans, including me, just don’t want                      Mr. STEVENS. Mr. President, I ob-                     proximately $25 million for 10 million
      to see the front developed, and they                     jected to the consideration of this bill                fish. At 40 cents a pound, Bristol Bay
      will fight to protect it.                                by unanimous consent because I wished                   salmon in the 2002 season were at
        Here is the alternative: So, devel-                    to make this statement concerning the                   prices lower than those received nearly
      opers can wait years, or decades, or                     salmon fishing industry.                                30 years ago.
      most likely never, for oil and gas to                      The U.S. salmon fishing industry is                     Western Alaska fishing-dependent
      flow from the front.                                     facing an economic crisis. Chile has                    communities were extremely hard-hit
        Or we can look at ways to encourage                    dramatically increased their produc-                    by the depressed prices in salmon and
      domestic production much sooner, in                      tion of farmed fish and flooded the U.S.                declared an economic disaster area by
      much more cost effective, appropriate                    market with pen-raised, chemically al-                  the State of Alaska. The administra-
      and efficient ways somewhere else.                       tered farmed salmon. Last year the                      tion recognized this situation and last
        Let me quote from an editorial in the                  United States imported $400 million in                  fall directed the Economic Develop-
      Missoulian, a Montana paper based in                     farmed salmon from Chile—a 100 per-                     ment Administration, under the De-
      Missoula, MT, that emphasizes what I                     cent increase from 1997. In 1998 Chile                  partment of Commerce, and the Labor
      hope my bill will accomplish. They                       exported 51,000 metric tons of farmed                   Department to assist these commu-
      said:                                                    salmon to U.S. markets. By 2002 Chile’s                 nities experiencing sudden and severe
        One of the things we ought to do, as part              farmed salmon production capabilities                   economic dislocation.
      of setting our national energy policy, is quit           doubled and exported over 100,000 met-
      squandering our own energy fighting the                  ric tons of farmed salmon fillets to                      Several antidumping investigations
      same old battles that will never yield a sin-
                                                               U.S. consumers.                                         were initiated against Chile. There ap-
      gle BTU. Montana’s Rocky Mountain Front                                                                          peared to be strong spikes of increased
      has for too long been a battlefield for just
                                                                 This farmed salmon comes into the
                                                               U.S. each year largely unrestricted and                 imports of Chilean farmed-salmon dur-
      that sort of energy-sapping conflict. . . There                                                                  ing the summer months, the only time
      are no known reserves of oil and gas in                  considering a study that was released
                                                               this week on the high levels of PCBs                    of the year that fishermen can deliver
      there—just speculation that it might, based
      on the fact that similar geology north of the            and other pollutants in farmed salmon,                  fresh wild-caught salmon to market.
      Canadian border has proved productive.                   we may want to consider greater test-                   This is obviously unfair advantage
        That editorial concluded by stating                    ing of this product. Additional analysis                taken of these exporters in the United
      that my amendment ‘‘acknowledges                         may be needed to determine the levels                   States. The International Trade Com-
      the property rights of lessees, but also                 of contamination in farmed salmon and                   mission ruled that there was a reason-
      the reality that they likely will be sty-                warn consumers of any potential                         able indication that material injury
      mied indefinitely in any attempt to                      health risks.                                           was caused to U.S. producers of salm-
      drill along the front. This is a proposal                  It is these factory-scale farms that                  on. Subsequently, antidumping orders
      that protects a place Montanans so                       have developed contaminated, geneti-                    were placed on various Chilean compa-
      clearly desire to preserve. And it offers                cally altered fish and created a glut in                nies. These cases involved U.S. aqua-
      an opportunity to focus public and pri-                  the domestic salmon market, causing                     culture concerns that were ultimately
      vate-sector energies on actually pro-                    prices for wild-caught salmon to plum-                  bought out by foreign companies and
      ducing useful energy.’’                                  met.    Increased    competition   from                 are strong evidence that the U.S. salm-
        Montanans have spoken loudly and                       farmed salmon has significantly im-                     on industry has been adversely affected
      forcefully on this issue. We don’t want                  pacted the livelihoods of the men and                   by unrestricted imports of Chilean
      any drilling in the front.                               women that participate in the salmon                    farmed salmon.
        Montana is a natural resource-rich                     fishery. The U.S.-Chile free trade                        Considering this history of bad acts
      State and we are proud of our natural                    agreement will not address any of the                   and numerous concerns raised by the
      resource heritage. Montana has made,                     adverse economic impacts faced by the                   Alaska delegation and Alaska seafood
      and continues to make, tremendous                        U.S. salmon industry.                                   producers, the U.S. trade representa-
      contributions to this Nation’s economy                     These adverse effects are not limited                 tive was put on notice about the prob-
      through the development of its pre-                      to the salmon industry alone. In my                     lems faced by the domestic salmon in-
      cious metals like copper, platinum,                      state of Alaska, the economy has taken                  dustry. However, the trade representa-
      palladium and gold, through develop-                     the brunt of this crisis with processing                tive only negotiated recommendations
      ment of its coal, its oil and gas, its                   plant closures, lost jobs and fishing                   that Chile make their trade practices
      timber, and other natural resources.                     boats that remained tied up at the                      more transparent.



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      S10510                                             CONGRESSIONAL RECORD — SENATE                                                        July 31, 2003
         The fact is, U.S. fishermen are treat-                a broad range of steel products. There                  Chile, and the concerns of Alaskan
      ed far differently than other contribu-                  were anti-dumping and countervailing                    salmon producers.’’
      tors to the domestic economy. Last                       duties of 29 percent slapped on imports                   I have to ask, at what point are the
      year we passed an unprecedented farm                     of softwood lumber from Canada.                         concerns of Alaska’s salmon producers
      bill that provided significant relief for                   Taken together, 2002 was a banner                    ever addressed in this trade agreement?
      U.S. farmers; the steel industry bene-                   year for industries seeking relief from                 How is eliminating all tariffs on im-
      fits from tariffs on imported steel; tar-                foreign competition.                                    ported salmon a reasonable balance to
      iffs are levied on Canadian timber; and                     Just recently, the U.S. International                putting Alaskan fishermen out of
      tariffs have increased substantially on                  Trade Commission upheld a determina-                    work?
      imports of farmed catfish. The salmon                    tion to impose import duties on Viet-                     I am told that Chile will eliminate
      industry does not receive any such pro-                  namese catfish—actually, basa—of up                     all of its duties on fresh and prepared
      tections, and it should have received a                  to 64 percent, a victory for domestic                   seafood products—that the United
      greater recommendation from our                          catfish farmers.                                        States is Chile’s seventh largest sup-
      trade negotiators.                                          Unlike those other industries in the                 plier of fresh and frozen seafood—that
         The reality for the salmon industry                   United States that face foreign com-                    this is a reasonable balance.
      is they must go it alone and hope they                   petition, America’s salmon fishermen                      For a reality check, let’s look at the
      can weather this dramatic change in                      are not on the receiving end of Federal                 numbers. And these numbers come
      world markets for salmon. My ardent                      largess. There are no safeguard tariffs                 from the U.S. Department of Agri-
      hope is for this fishery to survive, and                 put in place, nor are price supports im-                culture, Foreign Agriculture Service.
      it can only survive if the trade rep-                    plemented to aid this important indus-                    Again, in 2002, Chile exported nearly
      resentative and the other negotiators                    try. Suppliers of imported salmon do                    $400 million worth of salmon to the
      for the United States wake up.                           not face tariff rate quotas that benefit                United States. Over 100,000 metric tons.
         This year, we have not taken any fur-                 so many other domestic industries.                        On the other side of the equation, in
      ther efforts to block this bill. We will                    In 2002, America’s salmon fishermen                  2002 the United States exported just
      not do so. I want to put the Senate and                  faced imports of nearly $400 million                    $3,000—not millions—worth of canned
      administration on notice that this is                    worth of Chilean salmon, the vast ma-                   salmon and zero dollars worth of salm-
      the last year this will be allowed to                    jority of which is farm-raised, which                   on not in a can. So we have $3,000
      continue. With the increased informa-                    we consider to be a distinctly inferior                 versus $400 million.
      tion we now have concerning the harm                     salmon to the wild-caught salmon that                     In whose book is this a reasonable
      that this fish causes to our con-                        comes from Alaskan waters. By com-                      balance for America’s salmon fisher-
      sumers—and we know the harm that is                      parison, in 1997, Chile imported less                   men and Alaska’s fishing-dependent
      already caused to fishermen—it is time                   than $200 million worth of salmon. The                  communities? It is not just the salmon
      for the Congress and administration to                   amount of imports from that country                     we are talking about. In 2002, Chile im-
      work to protect our wild salmon pro-                     has sky-rocketed in the past few years.                 ported a total of $809 worth of fishery
      duction, and to help it get to market                       There is a direct correlation between                products from the United States, the
      and not face this unreasonable com-                      the increasing amount of imported                       vast majority of which fell under the
      petition.                                                Chilean salmon and the decline in price                 catchall category of ‘‘other fishery
         I point out, the spikes in their im-                  that fishermen receive for their catch.                 products.’’
      ports take place when our fish are                          Between 1998 and 2002, Chilean salm-                   And while we are busy putting Amer-
      available. They are destroying the                       on exports to the United States more                    icans out of work, they have nowhere
      price by flooding the market with their                  than doubled from just less than 51,000                 to turn to seek relief. Alaska fishermen
      product, which is a tainted product.                     metric tons to over 102,000 metric tons.                are not generally eligible for tradi-
      Something ought to be done about it                      During the same time period, the price                  tional trade adjustment assistance pro-
      soon.                                                    of sockeye, or red salmon, fell from                    grams. They are self-employed and not
         Mr. President, I yield back the re-
                                                               $1.23 a pound to $0.55 a pound.                         part of a firm or group of workers.
      mainder of my time and suggest the                          Now, while Alaskan fishermen are                       Many fishermen independently own
      absence of a quorum.                                     being put out of work by these increas-                 and operate their vessel with the help
         The PRESIDING OFFICER. The
                                                               ing imports, Congress is set to provide                 of their family, selling their catch to
      clerk will call the roll.
         The assistant legislative clerk pro-                  preferential trade status to Chilean                    the local fish processor or cannery.
      ceeded to call the roll.                                 companies, to provide Chilean compa-                    They do not work for a company or
         Ms. MURKOWSKI. Mr. President, I                       nies with greater access to the United                  firm, nor do they receive unemploy-
      ask unanimous consent that the order                     States’ marketplace.                                    ment benefits when they are unable to
      for the quorum call be rescinded.                           I fully support the concept of free                  fish.
         The PRESIDING OFFICER (Mr.                            and fair trade. I recognize the benefits                  In essence, America’s fishermen have
      CORNYN). Without objection, it is so or-                 that trade gives to developing nations:                 been, for too long, treated like a sec-
      dered.                                                   strengthening a market economy;                         ond-class citizen when compared with
         Ms. MURKOWSKI. Mr. President, in                      growing a middle class; and promoting                   America’s farmers or steel workers.
      2002, Congress passed legislation pro-                   the seeds of democracy.                                 While these workers have their income
      viding more than $270 billion for farm-                     Trade provides the American con-                     supplemented by federal dollars, fisher-
      ers over a 6-year period. This included                  sumer with the ability to purchase a                    men face foreign competition to the
      price support programs for commod-                       quality product at a reasonable price.                  best of their ability. And trade agree-
      ities such as: wheat, cotton, rice, oil-                    I also appreciate that many Amer-                    ments like this, only deepen their
      seeds, dairy products, peanuts, sugar,                   ican companies support this pref-                       plight.
      wool, and honey, just to name a few.                     erential trade agreement as a means to                    As a result, I cannot support grant-
      This is not to mention other programs                    level the playing field with Canadian                   ing preferential trading rights to Chil-
      in existence today that buoy the price                   and European competition. I am con-                     ean companies.
      of products like lamb meat and apples.                   cerned, however, that this trade agree-                   Not when Alaskan fishermen are
         Our Nation’s farmers receive sub-                     ment is not fair to the State of Alaska                 being put out of work because of in-
      sidies for their product through the                     and Alaska’s fishermen.                                 creasing imports of farm-raised salm-
      Commodity Credit Corporation, to en-                        This past April, I wrote to U.S. Trade               on. Alaskan fishermen will tell you re-
      sure their economic livelihood when                      Representative Bob Zoellick outlining                   ceiving TAA benefits would be nice,
      market prices are low.                                   my concerns about the impact a Chile                    but it is not the same as being able to
         Overall, in 2000, corporate credit pay-               Free Trade Agreement would have on                      do their jobs, to put food on their ta-
      ments reached a record $32.3 billion for                 Alaska’s fishermen. The response I re-                  bles to feed their families, to ensure
      all farm-related programs and activi-                    ceived suggested that the provisions of                 that their children are cared for and
      ties.                                                    this preferential trade agreement                       have a future filled with hope.
         Also in 2002, the President imposed                   ‘‘strike a reasonable balance between                     Our fishermen face an uphill battle in
      safeguard tariffs of up to 30 percent on                 the very strong export interests of                     keeping their jobs when faced with the



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                              S10511
      onslaught of imported Chilean salmon.                      Thomas Jefferson, who played such a                  conference and there try to improve it
      Maybe the rest of the nation benefits                    critical role in the formation of our                  further. That strikes me as the only re-
      from this trade agreement. Alaska suf-                   Nation and its institutions, had writ-                 sponsible course now remaining before
      fers.                                                    ten on his gravestone what he believed                 us. There is no conceivable way we can
        I suggest the absence of a quorum.                     were his greatest accomplishments.                     finish work on the Energy bill that we
        The PRESIDING OFFICER (Mr.                             One of those was the religious freedom                 have been contemplating. It is not
      CORNYN). The clerk will call the roll.                   that was part of the Constitution of the               going to happen.
        The assistant legislative clerk pro-                   State of Virginia, a commitment to re-                   I believe it would be irresponsible to
      ceeded to call the roll.                                 ligious freedom which he thought was                   leave here without finishing action on
        Mr. JEFFORDS. I ask unanimous                          fundamental to the United States.                      a bill. We have a bill on which a tre-
      consent that the order for the quorum                      I hope cooler heads are going to pre-                mendous amount of time was spent last
      call be rescinded.                                       vail when we return in September and                   year. It does improve the energy cir-
        The PRESIDING OFFICER. Without                         we are not going to see the kind of per-               cumstance for this country and we
      objection, it is so ordered.                             sonal invective that infected this floor               ought to pass it.
        Mr. JEFFORDS. Mr. President, I                                                                                  I hope somebody is paying attention.
                                                               last night. That was an ugly scene.
      send to the desk a resolution.                                                                                  I thank my colleagues for listening. I
        The PRESIDING OFFICER. Is the                          That is not the road we should go down
                                                               as an institution. It is not the road we               hope we can move this ball off dead
      Senator asking the resolution be intro-
                                                               should go down as a country.                           center and reach conclusion.
      duced and referred?
                                                                 We can have a strenuous debate on                      I yield the floor.
        Mr. JEFFORDS. It is my intention to
                                                               candidates for judges. We do not have                    The PRESIDING OFFICER. The Sen-
      have the resolution introduced, that is
                                                               to slip over into a discussion of religion             ator from Vermont.
      correct.                                                                                                          Mr. JEFFORDS. Mr. President, I in-
        The PRESIDING OFFICER. The Sen-                        or who is a good Catholic or who is not
                                                               so good a Catholic. My goodness, what                  tend to use an extensive length of time
      ator from Vermont is recognized.
        Mr. JEFFORDS. I thank the Chair.                       is going on around here? That is not                   on the Chile-Singapore free-trade
        (The remarks of Mr. JEFFORDS per-                      the Senate.                                            agreements. I see my good friend from
      taining to the submission of S. Res. 209                   Returning to the Energy bill, we                     Iowa. If he would desire to precede me,
      are located in today’s RECORD under                      have an obligation. We have an obliga-                 I would be happy to yield to him.
      ‘‘Submission of Concurrent and Senate                    tion to reach a conclusion and, if the                   Mr. GRASSLEY. No, go ahead.
      Resolutions.’’)                                          vehicle that allows us to reach a con-                   CHILE-SINGAPORE FREE-TRADE AGREEMENTS
        The PRESIDING OFFICER. The Sen-                        clusion is the bill that was passed last                 Mr. JEFFORDS. Mr. President, I rise
      ator from North Dakota.                                  year, let’s do it. Let’s do it on a bipar-             today to express my strong opposition
        Mr. CONRAD. Mr. President, we are                      tisan basis. Let’s do it now. That bill                to the implementing legislation for the
      in this very odd circumstance where we                   had a lot of good and productive provi-                Chile-Singapore free-trade agreements.
      are waiting to learn what the decision                   sions in it that will make a meaningful                I do so not because I oppose these trade
      will be with respect to the Energy bill.                 difference over time.                                  agreements but because I have serious
      As one member, I send a message to                         No, it is not a perfect bill. It is the              concerns about the effect of these
      those who are deliberating that if the                   product of compromise. That is what                    agreements on congressional authority
      best we can do is pass last year’s bill,                 this system is about. We do not all get                over immigration and the negative ef-
      let’s do it. We have a circumstance in                   our own way. None of us gets our own                   fects it will have on the needs of our
      which our energy dependence continues                    way. But if we work together, we can                   unemployed and underemployed citi-
      to grow. We are now more than 50 per-                    make meaningful progress.                              zens.
      cent dependent on foreign sources of                       I think last year’s bill represents                    I know the importance of trade on
      crude oil. That makes America vulner-                    that. I urge my colleagues, we are not                 our country and my State. In fact,
      able.                                                    going to complete the bill that was out                trade with Canada and the rest of the
        While last year’s bill is not perfect, it              here. There are still hundreds of                      world is an important part of
      did have broad bipartisan support and                    amendments pending. I have amend-                      Vermont’s economy, which has led me
      clearly will improve the energy situa-                   ments pending on that bill. I have                     to be a strong advocate of free-trade
      tion in this country.                                    amendments pending I would like to                     agreements in the past.
        I believe last year’s bill passed on a                 have considered that I think are seri-                   During my time in Congress, I have
      vote of 88 to 12, or very close to those                 ous, productive amendments. But I am                   worked to promote free trade with
      numbers. It received long and careful                    willing to forgo the opportunity to                    other countries, both near and far. For
      attention on the floor. I believe there                  offer those amendments to get a bill                   example, I voted for the North Amer-
      were over 140 amendments considered. I                   passed.                                                ican Free-Trade Agreement. I did so
      believe there were over 30 rollcall                        When we get to September we are                      not because I believed it was crucial
      votes. I think there were actually 35                    going to have appropriations bill after                that we begin to integrate the econo-
      rollcall votes on that bill. We spent                    appropriations bill demanding our at-                  mies of North America. I was con-
      weeks deliberating the provisions of                     tention. The end of the fiscal year                    cerned about the disparities in the eco-
      the Energy bill last year.                               comes at the end of September. I plead                 nomic opportunities available to Mexi-
        I would be the first to say I would                    with my colleagues on both sides, let’s                cans and Americans. I thought that
      prefer that we had concluded work on                     end this session on a productive and bi-               only by giving our southern neighbors
      the Energy bill this year. I, for one,                   partisan note. Let’s end the squabbling                access to the engine of the American
      don’t know why we wound up spending                      and the personal invective that has in-                economy could we address important
      hours and hours talking about judges                     fected this body in the last 48 hours. It              issues such as poverty, immigration,
      and engaging in what last night I                        is not healthy. It is not productive. It               and exploitative labor practices.
      thought was a very ugly scene on the                     does not build momentum for the work                     I am aware, though, of the downside
      floor of the Senate. Frankly, I was em-                  that faces us in the fall.                             of international trade. When factories
      barrassed for the Senate, to watch                         Let’s get back to attempting to                      are closed or jobs move offshore be-
      some of the statements being made last                   produce legislative outcomes that are                  cause of more liberal trade policies,
      night. That did not reflect well on this                 positive for this country and that re-                 constituents have taken me to task be-
      body.                                                    flect well on this body. We have an op-                cause of my support for free trade. I do
        There should not be a religious test                   portunity to do it.                                    not blame them. Our trade policy must
      in any way for any position in the                         I say to my colleague from Vermont,                  include strategies to help those ad-
      United States of America. This is a                      who has deep feelings about energy pol-                versely affected by the trade.
      country dedicated to religious freedom.                  icy and environmental policy, and has                    I have long supported a vigorous
      Whether people choose to be actively                     been a leader in this body on these                    trade adjustment assistance program.
      engaged in a church or not should play                   issues, I say to him and others of our                 In addition, I believe it is important
      no role in the consideration for posi-                   colleagues, please, let’s come together                that trade agreements include strong
      tions of responsibility in this country.                 and pass last year’s bill and move it to               environmental and labor provisions.



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      S10512                                             CONGRESSIONAL RECORD — SENATE                                                         July 31, 2003
         Expanded trade should not lead to an                    Finally, and what I consider to be the               oversight from the Department of
      ‘‘environmental race to the bottom’’                     greatest insult to Congressional power                 Labor. The legislation goes so far as to
      resulting in relaxation of environ-                      over immigration, Congress has very                    deny the department the right to self-
      mental or labor standards that give our                  limited ability to change these provi-                 initiate investigations based on infor-
      trading partners a competitive advan-                    sions in the future. Congress could de-                mation of abuse or fraud in the Chile
      tage over US businesses subject to                       cide, with the full support of the ad-                 and Singapore visa programs. This will
      more rigorous regulation. Because of                     ministration at that time, that the                    allow employer abuse to go unchecked.
      its provisions guarding against relax-                   need for temporary H–1B visas no                          Secondly, the Chile and Singapore
      ation of environmental controls and                      longer exists. However, Congress could                 legislation does not explicitly forbid
      labor standards, I supported the Jordan                  not modify or remove the provisions                    employers from demanding that their
      Free Trade agreement during the last                     contained in these free trade agree-                   employees reimburse them for the
      Congress.                                                ments without the assent of Chile and                  $1,000 H–1B visa application fee. Beyond
         I have also voted in favor of fast                    Singapore.                                             this, if Chile or Singapore decides to
      track procedures. I appreciate that for-                   We need to wake up in Congress to                    challenge the fee the agreements stipu-
      eign trade negotiators will never put                    what enactment of these provisions                     late that a panel of international trade
      their best offers on the table if they                   means. Ultimately, if we keep passing                  lawyers and not the administration or
      have to worry that Congress will end-                    this type of legislation there will be no              Congress makes the decision on what
      lessly amend a negotiated trade agree-                   immigration law for Congress to over-                  fees are allowed.
      ment. But when I supported fast track                    see, it will all be negotiated by the                     Another crucial difference between
      procedures, I expected them to be lim-                   United States Trade Representative                     the impending legislation and current
      ited to areas related to trade. In giving                with other countries.                                  law is that the Chile and Singapore
      up our rights to debate and amend                          We need to make a stand and let the                  agreements do not limit the number of
      trade legislation, I expected and in-                    administration know that this type of                  times that an individual is able to
      tended that those concessions would                      negotiating will not be accepted.                      renew his or her visa, enabling the non-
      relate to issues that are specifically                     While it is commendable to pass, and                 immigrant to remain in the United
      trade-related.                                           I fully support, a Sense of the Senate                 States on a permanent rather than
         However, the free trade agreements                    resolution stating that future trade                   temporary basis.
      we face today violate this belief. My                    agreements should not contain similar                     This stands in sharp contrast to the
      opposition to these agreements is not                    type provisions, we need to change the                 current H–1B program that puts a 6-
      based on what I consider to be the crux                  fast track authority to ensure that                    year limit on non-immigrant visas.
      of free trade agreements, the reduction                  power-hungry administrations can no                    Consequently, an employee with one of
      of tariffs, it is based on something                     longer put the Congress in this quan-                  the new visas could legally remain in
      more. My stance today is based on my                     dary. I pledge to work today with all                  the United States indefinitely.
      concern with the erosion of Congress’                    interested members to ensure that the                     Finally, the agreements define the
      constitutional power, and the treat-                     constitutional right and power of the                  term     ‘‘specialty   occupation’’    dif-
      ment of our nation’s un- and under-em-                   Congress over immigration law is pro-                  ferently than current H–1B law. The
      ployed.                                                  tected.                                                new visas will only require that the
         As I mentioned earlier, I supported                     I would like to take this opportunity                nonimmigrant have knowledge that is
      the imposition of fast-track procedures                  to more fully inform my colleagues on                  ‘‘specialized’’ as opposed to the ‘‘highly
      for trade agreements when it passed                      how these free trade agreements differ                 specialized’’ knowledge demanded by
      Congress in 2002. However, what I see in
                                                               from current law and what they will be                 the current H–1B law. This could be a
      front of us today, and the rumor that
                                                               enshrining permanently in our immi-                    substantial lessening of the require-
      these agreements are to be the tem-
                                                               gration law if the Senate passes these                 ments professional workers currently
      plate for future agreements, makes me
                                                               bills.                                                 have to meet to be able to escape our
      reconsider this support.                                   The Chile and Singapore Free Trade
         The reason for this change lies                                                                              immigration law.
                                                               Agreements create an entire new cat-                      What needs to be remembered con-
      squarely in the provisions of this free
                                                               egory of visas for professional workers                cerning the substantial differences be-
      trade agreement that affect our immi-
                                                               separate from the existing H–1B pro-                   tween this new visa category and the
      gration laws. These agreements create
      new categories of visas with different                   gram. This legislation would allow                     current H–1B program is that these
      standards than currently exist in our                    6,800 professional workers into the                    provisions can not be changed by Con-
      immigration law, a law that has been                     United States under this new visa each                 gress. That may sound unusual. I think
      considered and passed by Congress.                       year with 5,400 coming from Singapore                  it is, so hopefully it will not ever be al-
         I have looked in my copy of the Con-                  and 1,400 from Chile. Yet, under the                   lowed. But, anyway, that is the way it
      stitution and it clearly states in Arti-                 current H–1B program 4,000 workers                     is stated.
      cle 1, Section 8, Clause 4 that Congress                 from these two countries are already                      These provisions to our immigration
      has the power to establish a uniform                     coming into the United States each                     policy are in effect a permanent change
      rule of naturalization. Congress, not                    year. In addition, as we are not cur-                  to our immigration law that was nego-
      the United States Trade Representa-                      rently hitting the cap of the current H–               tiated by the United States Trade Rep-
      tive, has this authority. What we have                   1B program, why do we need to create                   resentative and not considered in the
      in front of us today is the executive                    a new type of visa for another 2,800                   normal process by Congress.
      branch telling Congress what the na-                     workers? I believe the differences be-                    My concern with these immigration
      tion’s immigration policy should be,                     tween the current H–1B program and                     provisions extends beyond its impact
      and I for one could not let this go un-                  the new type of visa will answer that                  on Congress’ constitutional authority,
      challenged.                                              question.                                              to its affect on our Nation’s unem-
         In addition, this policy that is being                  First of all, the proposed Chile and                 ployed and underemployed. The United
      forced upon Congress is not in any way                   Singapore agreements do not require                    States has a serious problem right now
      uniform. These bills create new cat-                     H–1B dependent employers to make at-                   with our economy.
      egories of visas, modify the standards                   testations that they are: No. 1, seeking                  The current unemployment rate is at
      and requirements of existing limits,                     to recruit U.S. workers; and No. 2, that               a 9-year high of 6.4 percent. Mr. Presi-
      and do so for people from only two                       they are not displacing U.S. workers.                  dent, 15.3 million people are unem-
      countries. Is this any way to make im-                   These two provisions in current law                    ployed, underemployed in part-time
      migration policy?                                        help ensure that employers do not neg-                 jobs, or have given up looking for
         Rhetorically, I will answer that it is,               atively impact the U.S. labor market,                  work. In June, the United States lost
      if you work in an executive branch                       and yet they are completely missing                    56,000 manufacturing jobs, bringing the
      that is interested in usurping Congres-                  from the Chile and Singapore imple-                    total to 2.4 million manufacturing jobs
      sional power for yourselves, and can do                  menting legislation. They are missing.                 that have disappeared since January
      so by replicating these provisions in fu-                  This omission will enable employers                  2001. Finally, the Nation’s economy has
      ture free trade agreements.                              of foreign workers to operate with less                shed 3.1 million private sector jobs



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                               S10513
      since President George Bush took of-                     money when we all finally understand                   issued, which I talked about earlier.
      fice. That is 3.1 million private-sector                 that it will be a severe detriment to                  Our country is lacking the skilled
      jobs lost since President Bush took of-                  the survival of this Nation if we do not.              workforce necessary to address many
      fice.                                                      By vastly improving the Federal                      of our needs.
        The preceding statistics lay out a se-                 Government’s monetary responsibility                     One initiative designed to address
      rious problem, but are we considering                    to education, we would go a long way                   our job training needs is the Workforce
      legislation to address these problems                    to provide the resources needed to:                    Investment Act, which provides job-
      today? No, to the contrary, we are con-                  first, serve every student who needs                   training activities for adults and
      sidering these free trade agreements                     title I assistance; next, cover many of                youth. Unfortunately, Federal funding
      that will exacerbate an already terrible                 the mandates included in the No Child                  for job training programs have dropped
      crisis. We should be expanding the Fed-                  Left Behind Act—the President’s new                    $1.63 billion since 1985. These funds
      eral financial commitment to edu-                        law—next, provide for quality early                    have dropped at the time when they
      cation and job training initiatives, not                 childhood education; also, provide ad-                 have been needed the most and we are
      expanding the number of foreign work-                    ditional funding for Pell Grants and                   cutting.
      ers allowed in this country.                             other student financial aid programs to                  Mr. President, these are the initia-
        This is where our answer lies. Since                   improve access to postsecondary edu-                   tives that we should be focusing on to
      this Nation was founded in the late                      cation; in addition provide quality pro-               ensure that our citizens are prepared
      1770s, we have struggled with the roles                  fessional development for all school                   for and qualified for these jobs, not leg-
      the various parts of our Government                                                                             islation that is going to fill these jobs
                                                               personnel, with a special emphasis on
      should play in our education delivery                                                                           with foreign workers.
                                                               math and science; and provide the full                   The Senate needs to take a stand
      system. In the late 1940s, with the cre-                 Federal share for the Individuals with                 today. We need to make this stand not
      ation of the GI Bill, the percentage of                  Disabilities Education Act, IDEA.                      only for the protection of Congres-
      the entire federal budget dedicated to                     When I first arrived in Congress in                  sional authority, but also for the pro-
      education was 10.7 percent. Some 50-                     1975, one of the first bills I worked on               tection of our unemployed and under-
      plus years later, that amount has dwin-                  was the law that created special edu-                  employed citizens.
      dled to slightly less than 3 percent,                    cation, now known as the Individuals                     Mr. President, I reserve the remain-
      which includes elementary, secondary,                    with Disabilities Education Act, IDEA.                 der of my time and yield the floor.
      and higher education.                                    The purpose of this legislation is to en-                The PRESIDING OFFICER. The Sen-
        The first significant financial influ-                 sure that children with disabilities re-               ator from Iowa.
      ence by the Federal Government into                      ceive the special education and related                  Mr. GRASSLEY. Mr. President,
      elementary and secondary education                       services they need and are constitu-                   would I be in order to speak on the
      occurred in 1965. Under the leadership                   tionally entitled to receive.                          Chile and Singapore free-trade agree-
      of President Johnson, the original Ele-                    We recognized that children with dis-                ments?
      mentary and Secondary Act came into                      abilities often require specialized serv-                The PRESIDING OFFICER. Without
      existence. The original purpose was to                   ices and that educating children with                  objection, the Senator may use his
      distribute money to compensate for in-                   disabilities could be twice as costly as               time for that purpose.
      equality of educational opportunity                      educating children without disabilities.                 Mr. GRASSLEY. Mr. President, I rise
      and to stimulate plans for school inte-                  Therefore, we authorized the Federal                   in strong support of these two trade
      gration.                                                 Government to pay up to 40 percent of                  bills.
        Throughout the last 38 years, that                     each State’s excess cost of educating                    The Chile and Singapore trade agree-
      purpose has continued to be the foun-                    children with disabilities. Unfortu-                   ments are state-of-the-art agreements
      dation of the Elementary and Sec-                        nately, we have failed to actually pro-                that will provide real economic and
      ondary Education Act. However, suffi-                    vide the States with that 40 percent we                strategic benefits to America’s work-
      cient funding has never been provided                    promised. We are currently only pro-                   ers, farmers, consumers and industry.
      and the purpose has yet to be fulfilled.                                                                          S. 1416, the U.S.-Chile Free Trade
                                                               viding slightly over 17 percent of the 40
                                                                                                                      Agreement Implementation Act, imple-
      Since its inception in 1965, Title 1—the                 percent we promised 28 years ago. That
                                                                                                                      ments into law our first bilateral free
      heart of the ESEA law has served less                    promise is far from being fulfilled.
                                                                                                                      trade agreement with a South Amer-
      than 50 percent of the children who                        Our education system is also stressed
                                                                                                                      ican country. And I think it is appro-
      should be served under the program.                      at the postsecondary level. We have a
                                                                                                                      priate that Chile be one of the first.
        Horace Mann, who is often credited                     higher education system that is the                      Chile’s open economy is a model for
      with developing the American public                      envy of the world. However, many in                    much of Latin America. Because of its
      school system said—and I am para-                        this country are unable to pursue post-                free market philosophy, Chile is one of
      phrasing—that every human being that                     secondary education opportunities, not                 the fastest growing economies in the
      comes into the world has the right to                    only because of not being prepared aca-                world. Over the past decade it has es-
      an education. Horace Mann made that                      demically, but also because of the as-                 tablished itself not only as a strong de-
      statement in the 19th century. Two                       tronomical financial burden.                           mocracy, but also as a leading advo-
      centuries later, we seem to still be baf-                  One-third of all seniors graduating                  cate of free trade.
      fled as to how we provide a quality edu-                 from higher education institutions                       Chile already has trade agreements
      cation to all who seek it. I don’t be-                   graduate with more than $20,000 in Fed-                with sixteen other countries, including
      lieve the answer is that complicated.                    eral loan debt. The financial strain is                Mexico, Canada, Mercosur, and the Eu-
        First and foremost, the Federal Gov-                   having a direct impact on our job mar-                 ropean Union. As a result, its trade
      ernment must increase its role in fund-                  ket.                                                   with these economies has grown while
      ing. It must reach back into history                       Almost every community is facing a                   the U.S. share of Chilean imports has
      and return to dedicating 10 percent of                   teacher shortage. How many graduates                   dropped over 30 percent between 1998
      the entire Federal budget to education.                  leaving college with at least a $20,000                and 2002. Years of delay in reaching a
        Right now, in this fiscal year, the                    debt are willing to sign up for a teach-               free trade agreement with Chile has re-
      Federal Government is providing $50                      ing job that pays on average a begin-                  portedly cost U.S. companies over $1
      billion in discretionary funding for                     ning salary of about $25,000 to $35,000?               billion in lost export potential. Clear-
      education. This compares to almost                         The cost of higher education is a par-               ly, it is time for us to get back in the
      $400 billion for defense programs.                       ticular problem for the high-tech in-                  game.
        Providing sufficient funding for de-                   dustries and the health care industries.                 I also want to note how pleased I am
      fense is very important. However, it is                  A number of jobs in these two areas re-                about the strong agriculture market
      just as important to provide sufficient                  quire postgraduate work. Many do not                   access provisions found in the U.S.-
      funding and leadership to have the                       go on to graduate programs because                     Chile FTA. More than three-quarters of
      world’s greatest education system. And                   they can’t finance the first part of it.               U.S. farm goods exported to Chile will
      we do not.                                               This has been a factor in the dramatic                 be duty free within 4 years of the
        Some may ask, where can we find the                    increase over the last decade of the                   agreement’s implementation. Imme-
      money for education? We can find the                     number of H–1B visas that have been                    diate elimination of tariffs on U.S.



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      S10514                                             CONGRESSIONAL RECORD — SENATE                                                        July 31, 2003
      products will provide up-front gains to                  TPA to take some of our first steps to-                 wheat, wheat flour, and sugar under
      U.S. exporters and, importantly, will                    ward reengaging the world through                       the FTA. Chile used its price band
      level the playing field for our farmers,                 international trade. It is a welcome de-                mechanism to protect its domestic pro-
      ranchers and workers as they compete                     velopment.                                              ducers of these products by keeping do-
      with products from the EU and Canada.                      A fundamental part of TPA proce-                      mestic prices within a predetermined
      These provisions are complemented by                     dures is consultations. The TPA act re-                 range through the use of additional du-
      the removal of unnecessary sanitary                      quires that the Administration consult                  ties. As recently as 2000, this price
      and phytosanitary barriers to U.S. ag-                   closely with Congress throughout the                    band caused effective tariffs on wheat
      riculture exports.                                       negotiating process. I know the Bush                    imported into Chile to rise as high as
        But this agreement doesn’t just ben-                   administration took these consultation                  90 percent. With the implementation of
      efit U.S. agriculture. It also provides                  requirements to heart. A number of                      the agreement, Chile will eliminate its
      groundbreaking market access across                      modifications to the agreements and to                  price band mechanism with respect to
      the board. The agreement will imme-                      the implementing legislation were                       U.S. exports over a 12 year period.
      diately eliminate tariffs on more than                   adopted as a result of these procedures.                  U.S. agriculture will benefit in yet
      85 percent of all U.S. goods, with most                  That is the way the process is supposed                 other ways under the Chile agreement.
      of the remaining tariffs eliminated                      to work—a partnership between the                       For example, up until now, the failure
      within four years.                                       Congressional and executive branch to                   of Chile to recognize U.S. beef grading
        The U.S.-Chile FTA also opens new                      craft the best trade agreements for the                 programs effectively blocked U.S. beef
      opportunities for U.S. banks, insur-                     American people.                                        in consumer cuts from entering the
      ance, and telecommunications services.                     Like any partnership, the more you                    Chilean market. This situation will
      It provides new protections for U.S. in-                 put into it, the more you get out of it.                change with the implementation of the
      vestors and high levels of intellectual                  I am disappointed that some of my col-                  agreement, as Chile is committed to
      property rights protection. The U.S.-                    leagues who did not engage on these                     recognize the equivalency of U.S. beef
      Chile FTA can also strengthen momen-                     agreements early in the process are                     grading programs.
      tum in the ongoing negotiations to cre-                  now complaining about some of the                         As a result of talks held in conjunc-
      ate a Free Trade Area of the Americas.                   provisions they contain. I hope we can                  tion with negotiations of the free-trade
      In short, the agreement vastly en-                       avoid similar problems as we work on                    agreement, Chile agreed to remove var-
      hances our economic opportunities in a                   future agreements.                                      ious non-science based barriers to im-
      growing and important region of the                        Without Trade Promotion Authority,                    ports of U.S. agricultural products. Of
      world.                                                   the United States fell behind on trade.                 particular interest to Iowa’s hog and
        S. 1417, the U.S.-Singapore Free                       But now we are back on track. The                       cattle producers, Chile agreed to recog-
      Trade Agreement Implementation Act,                      goal of TPA is to knock down barriers                   nize the equivalency of the U.S. meat
      implements into law our first free-                      to trade and allow U.S. companies to                    inspection system. Prior to this deci-
      trade agreement with an Asian Pacific                    compete on a level playing field around                 sion, Chile prohibited the importation
      nation. Singapore is our largest trad-                   the world. These two agreements                         of pork, beef, and lamb from U.S. fa-
      ing partner in Southeast Asia and our                    achieve that goal and more. I strongly                  cilities unless those facilities paid for
      twelfth largest in the world. Singapore                  urge my colleagues to join with me                      Chilean inspectors to travel to the
      is also a strong ally in the war against                 today and vote to approve these two                     United States to inspect and certify
      terrorism.                                               solid agreements.                                       them. Given the costs involved with
        The U.S.-Singapore FTA is good for                       Mr. President, at this time I wish to                 this process, few U.S. plants were eligi-
      America. It opens up new markets and                     highlight a number of the ways in                       ble to export meat to Chile.
      creates new opportunities for many                       which we stand to benefit from the                        With Chile’s new meat inspection
      sectors of our economy.                                  United States-Chile Free Trade Agree-                   equivalency policy, and with duties
        This FTA will guarantee fair and                       ment and the United States-Singapore                    going to zero under the agreement, bar-
      non-discriminatory treatment for U.S.                    Free Trade Agreement. I have spoken                     riers to the entry of U.S. pork, beef,
      services firms. This benefits our serv-                  previously on how our farmers will                      and lamb into Chile will be removed.
      ice industries, such as banking, insur-                  benefit from improved market access                     Following further review of its sani-
      ance and the telecommunication indus-                    for our agricultural exports as a result                tary and phytosanitary, SPS, measures
      tries.                                                   of these agreements. I want to elabo-                   in conjunction with talks with the
        The agreement also includes state-of-                  rate on the benefits to agriculture, par-               United States, Chile also agreed to per-
      the-art provisions on e-commerce,                        ticularly with respect to sanitary and                  mit the importation of grapefruit from
      transparency and competition, and                        phytosanitary measures. I also want to                  Florida and cherries and stonefruit
      strong intellectual property rights pro-                 take a moment to focus on some of the                   from California.
      tection. This agreement continues our                    other benefits of these agreements, spe-                  Achieving the removal of unjustified
      goal toward greater trade liberaliza-                    cifically the benefits of the tele-                     SPS measures through talks with Chile
      tion and higher standards, not only in                   communications, services, and intellec-                 demonstrates that enhancing our trade
      the Pacific, but throughout the world.                   tual property provisions in the agree-                  relations with other countries can in-
        Both agreements we are discussing                      ments, as well as the benefits for U.S.                 deed provide the impetus for our trad-
      today are the first to be considered                     exporters of manufactured goods. Fi-                    ing partners to remove non-science
      under Trade Promotion Authority, or                      nally, I want to clarify how the short                  based barriers to imports of U.S. agri-
      TPA, procedures. This is the first time                  supply mechanisms for textiles will op-                 cultural products. Our experience with
      in our history that the Senate has ap-                   erate in these agreements.                              Chile creates an important precedent
      proved two free trade agreements in a                      With respect to agriculture, the                      for other trade agreements the United
      single day. The fact that we were able                   agreement with Singapore commits                        States is negotiating, such as the Aus-
      to achieve this goal is a testament not                  Singapore to maintain its current open                  tralia FTA, the Central America FTA,
      only to the high quality of these agree-                 market for the importation of farm                      and the Free Trade Area of the Amer-
      ments, but also to the power of Trade                    products from the United States, while                  icas. The fact is, without the removal
      Promotion Authority.                                     the Agreement with Chile removes nu-                    of scientifically unfounded barriers to
        It was almost a year ago today that                    merous barriers that previously lim-                    trade, duty-free treatment under fu-
      the House and Senate gave final ap-                      ited U.S. exports of agricultural goods                 ture trade agreements will mean little.
      proval to the conference report for the                  to that country. Chilean tariffs on 75                  I’m pleased that talks with Chile led to
      Trade Act of 2002. This historic piece of                percent of U.S. agricultural products                   the lifting of these unjustified SPS
      legislation empowered the President,                     will go to zero within four years. These                measures.
      for the first time in almost a decade, to                products include soybeans, corn, pork,                    With respect to telecommunications,
      negotiate free trade agreements uti-                     and beef, all of which are major Iowa                   these agreements introduce an impor-
      lizing Trade Promotion Authority pro-                    commodities.                                            tant new concept on flexibility of
      cedures. Today, with the passage of                        Chile is committed to removing its                    choice and technology neutrality.
      these two agreements, we are using                       price band on edible vegetable oils,                    Under Article 13.14 of the agreement



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                S10515
      with Chile, and Article 9.13 of the                      Strong enforcement provisions require                   available would require consultations
      agreement with Singapore, Chile and                      the application of criminal procedures                  under the provisions for revision of the
      Singapore will endeavor to not prevent                   and penalties in cases of trademark                     rules of origin contained in each agree-
      suppliers of public telecommunications                   counterfeiting or copyright piracy on a                 ment. These provisions require the par-
      services from having the flexibility to                  commercial scale, and both Chile and                    ties to consult, upon request, to con-
      choose the technologies that they use                    Singapore commit to seize, forfeit, and                 sider whether particular goods should
      to supply their services, including com-                 destroy counterfeit and pirated goods                   be subject to different rules of origin to
      mercial mobile wireless services. This                   and the equipment used to produce                       address issues of availability of the
      technology neutral approach to the                       them. These protections will apply to                   supply for fibers, yarns, or fabrics in
      regulation of commercial wireless mo-                    goods-in-transit and mandate both                       the free trade area, and require the
      bile services is consistent with the                     statutory and actual damages under                      parties to endeavor to conclude their
      practices of the U.S. Federal Commu-                     Chilean and Singaporean law for intel-                  consultations within 60 days. I hope
      nications Commission, FCC, which nei-                    lectual property rights violations.                     that this clarification proves helpful.
      ther promote nor impede the use of                          The agreements also incorporate a                      In sum, I strongly support the Chile
      particular wireless technologies in the                  principle of ‘‘first in time, first in                  and Singapore free-trade agreements. I
      U.S. market.                                             right’’ to trademarks, whereby the                      support them because they open mar-
         These provisions constitute an im-                    first to file for a trademark is granted                kets for U.S. exports of agricultural
      portant first step. They introduce a                     the exclusive right to that name,                       products and manufactured goods. I
      key regulatory concept into free trade                   phrase, or geographical place name.                     support them because they open mar-
      negotiations that can help to enhance                    This approach creates an important                      kets for U.S. exports of a wide array of
      competition and consumer choice.                         precedent that we should seek to rep-                   services. I support them because they
      These provisions can also create export                  licate regionally and globally, particu-                will create opportunities for job growth
      opportunities for U.S. manufacturers of                  larly in the face of efforts by the Euro-               here in the United States. I support
      communications equipment and there-                      pean Union to unduly expand protec-                     them because they enhance protections
      by preserve U.S. jobs that depend on                     tions for geographical indications in                   for intellectual property rights holders
      trade in technology products.                            the WTO.                                                here in the United States. And I sup-
         However, I view these provisions as                      With respect to manufactured goods,                  port them because they establish im-
      only a first step because they are non-                  Chile’s commitment to eliminate tar-                    portant precedents for future negotia-
      binding commitments. As such, they                       iffs immediately on 85 percent of U.S.                  tions. For these reasons, I urge each of
      should be viewed as a floor, and not a                   exports, including such key sectors as                  my colleagues to support the imple-
      ceiling, on standards for future free                    computers and other information tech-                   menting bills before us today.
      trade agreements. Going forward, we                      nology products, provides immediate                       Mr. President, I rise to address the
      should strive to negotiate binding and                   benefits to U.S. manufacturers. By en-                  benefits to U.S. agriculture from the
      enforceable commitments in our free                      tering into this agreement, Chile will                  United States-Chile Free-Trade Agree-
      trade agreements, to ensure that sup-                    embrace the duty reduction commit-                      ment. U.S. agriculture needs trade
      pliers of commercial mobile wireless                     ments reflected in the 1996 Information                 agreements to expand sales and farm
      communications services are not pre-                     Technology Agreement. These commit-                     incomes. Since 96 percent of the
      vented by governmental action from                       ments can create new export opportu-                    world’s population resides outside the
      using the technology of their choosing                   nities for our manufacturers, which is                  United States, access to foreign mar-
      to provide such services. Only then will                 critical in this period of increasing un-               kets is essential for the continued
      we guarantee that U.S. technology sup-                   employment.                                             growth and viability of U.S. agri-
      pliers enjoy market opportunities and                       The National Association of Manu-
                                                                                                                       culture. Bilateral agreements such as
      benefits similar to those that foreign                   facturers has estimated that the ab-
                                                                                                                       the Chile FTA are essential because
      suppliers receive in the U.S. market.                    sence of a free trade agreement with
         Services are another critical compo-                                                                          they provide strong benefits to U.S.
                                                               Chile has cost us about 20,000 job op-
      nent of our economy. Services now ac-                                                                            farmers.
                                                               portunities annually, and over $1 bil-
      count for 65 percent of the U.S. econ-                   lion dollars in export potential. Well,                   This agreement will provide Amer-
      omy, and 28 percent of the value of our                  that’s about to change with the imple-                  ica’s farmers and ranchers new access
      exports. With respect to services, the                   mentation of this agreement. And that                   to Chile’s market of 15 million con-
      agreements establish an important                        is just the start. We need to aggres-                   sumers. This agreement is comprehen-
      precedent by adopting a comprehensive                    sively pursue additional free trade                     sive, calling for eventual duty-free,
      ‘‘negative list’’ approach, whereby any                  agreements that will expand market                      quota-free access for all products.
      exception to the liberalization obliga-                  access opportunities for our farmers                      On tariffs, more than three-quarters
      tions contained in the agreements                        and our manufacturers, to help add                      of U.S. farm goods exported to Chile
      must be specified. This broad approach                   jobs to our economy and reverse the                     will be duty free within 4 years of the
      is preferable to that contained in the                   current trend in unemployment.                          agreement’s implementation. Let me
      WTO General Agreement on Trade in                           Finally, I note that the Finance                     just name some of the specific U.S.
      Services GATS, whereby countries                         Committee has received inquiries re-                    products that will benefit. Under the
      specify their commitments rather than                    garding the textile commercial avail-                   FTA, Chile will provide immediate
      exceptions. The negative list approach                   ability provisions in the Chile and                     duty-free access for soybeans and pork,
      means more obligations for Chile and                     Singapore Agreements. I asked the Of-                   two major Iowa products. Chile will
      Singapore to liberalize their services                   fice of the United States Trade Rep-                    also immediately eliminate its tariffs
      exports and more jobs right here in the                  resentative to clarify the operation of                 on U.S. apples, pears, cherries, break-
      United States. The agreements also                       the short supply provisions in these                    fast cereals, pasta, and bread. Corn
      broaden commitments, so that they                        agreements, and I want to share that                    grown in Iowa and other States will re-
      apply to government-owned or govern-                     clarification today.                                    ceive duty-free treatment in 2 years.
      ment-controlled enterprises.                                All products designated as not                       The agreement provides for duty-free
         With respect to intellectual property                 commerically available prior to No-                     access for beef offal immediately, and
      protection, these agreements generally                   vember 2002 under the African Growth                    for all U.S. beef products within 4
      set out among the highest standards of                   and Opportunity Act, AGOA, and Car-                     years.
      protection and enforcement for copy-                     ibbean Basin Trade Partnership Act,                       Under the FTA, Chile commits to
      rights and other intellectual property                   CBTPA, preference programs would be                     recognize U.S. beef grading programs. I
      yet to be achieved in a bilateral or                     deemed as not commercially available                    should note as well that, through talks
      multilateral trade agreement. These                      under the Singapore agreement. The                      held in conjunction with the FTA nego-
      protections will permit the growth of                    Chile agreement does not incorporate                    tiations, Chile agreed to recognize the
      trade in digital technologies and prod-                  such a provision. In the future, for both               equivalency of the U.S. meat inspec-
      ucts while still protecting the legiti-                  the Chile and Singapore agreements, to                  tion system. Chile’s recognition of the
      mate rights of copyright owners.                         designate an item as not commerically                   equivalency of U.S. meat inspections



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      S10516                                             CONGRESSIONAL RECORD — SENATE                                                       July 31, 2003
      and U.S. beef grading should greatly fa-                 uted, who came to the floor to share                   that they have been drawing only re-
      cilitate the export of U.S. pork and                     with one another, as well as the rest of               serve pay over that time.
      beef to Chile.                                           this Nation, the incredible sacrifices                   Their families are struggling to
        Chile’s price band mechanism has                       being made by the service men and                      make ends meet, but they have no idea
      been a major concern to many U.S. ag-                    women of this country.                                 when their tour of duty will end or
      ricultural exporters. Well, under this                     Given recent developments in Iraq, I                 when their financial difficulties will be
      agreement Chile will not only allow                      wish to take a few minutes today to re-                alleviated.
      U.S. exports of durum wheat and pasta                    visit the tribute to the troops.                         The sacrifices that these young men
      to enter duty free, but will also elimi-                   On Tuesday, I learned that Jonathan                  and women are making for their coun-
      nate its price band mechanism for com-                   Marshall Cheatham, an Army PFC                         try are simply astonishing, and it is
      mon wheat and flour in 12 years. This                    from Camden, AK, assigned to the                       unlikely that we will ever be able to
      will open Chile’s market to U.S. ex-                     498th Engineer Battalion, died in Iraq                 adequately repay the debt we will owe
      porters for wheat and wheat flour.                       on Saturday.                                           them.
        American agriculture recognizes a                        Jonathan’s convoy came under at-                       Earlier this month, I received word
      good deal when it sees one. Let me read                  tack by enemy forces firing rocket-pro-                from a doctor, a native of northeast
      an excerpt from a July 9 letter from 32                  pelled grenades while traveling near                   Arkansas, who is currently serving in
      agriculture organizations:                               Baghdad. Jonathan was killed in the                    Iraq.
        Mr. Majority Leader, the undersigned orga-             attack. He was 19 years old. Our                         He and his unit were traveling to a
      nizations urge your support and vote for the             thoughts and our prayers—all of ours,                  military hospital about 45 miles north
      Free Trade Agreement with Chile. The U.S.-               not just mine as a Senator from Arkan-                 of Baghdad, where he would treat U.S.
      Chile FTA, provides new market opportuni-                sas, but from all of the U.S. Senators—                casualties.
      ties for U.S. agriculture products and resolu-           are with his mother Barbara Prochia                      He wrote of a vehicle traveling in
      tion to outstanding trade concerns that U.S.
                                                               and with his family and friends at this                front of his in traffic being hit by a
      producers have experienced with Chile.                                                                          rocket-propelled grenade, killing one
                                                               time of loss.
        And the letter is signed by such                         Jonathan was one of 51 American sol-                 person and injuring three others criti-
      groups as the American Farm Bureau,                      diers who have been killed in combat                   cally.
      the American Soybean Association, the                    since the President declared an end to                   Upon arrival at the hospital, his
      National Corn Growers Association,                       major combat operations on May 1.                      camp received mortar fire three times
      the National Pork Producers Council,                       In all, 164 U.S. soldiers have died in               in one night. He noted that ‘‘luckily,
      and many, many others.                                   combat in Iraq. This is a stark and                    the Iraqis are poor shots.’’
        This is a strong agreement for Amer-                                                                            On the Fourth of July, this young
                                                               vivid reminder that, even though the
      ican agriculture. It sets a new standard                                                                        man was flown on short notice back to
                                                               major combat portion of the war may
      for what we can achieve for American                                                                            Baghdad, where extra surgeons were
                                                               have been declared over, our troops are
      agriculture in a free-trade agreement. I                                                                        needed.
                                                               still fighting and they still face grave
      urge my colleagues to do the right                                                                                He noted that after he departed for
                                                               threats.
      thing for American agriculture and                                                                              Baghdad, his camp was attacked yet
                                                                 Let us not forget the challenges that
      support this strong trade agreement.                                                                            again, and that a tent about 100 meters
                                                               these troops are encountering.
        I yield the floor.                                                                                            from his was hit by mortar. Ten cas-
                                                                 Marine Cpl Jason Smedley of Little
        The PRESIDING OFFICER. The Sen-                                                                               ualties resulted from that attack, he
                                                               Rock, who worked in my office prior to
      ator from Arkansas.                                                                                             reported.
                                                               his service in Iraq, was wounded in                      I point to this dramatic narrative be-
        Mrs. LINCOLN. Mr. President, I ask                     combat on March 28.
      unanimous consent that after I com-                                                                             cause it illustrates a couple of impor-
                                                                 I am happy to report that Jason has
      plete my statement, the Senator from                                                                            tant points I hope we do not lose sight
                                                               recovered from his injuries and has re-
      Louisiana be recognized for 15 minutes,                                                                         of.
                                                               turned to work as a member of my                         First, the war in Iraq is far from
      and then the Senator from Texas, Mr.                     staff here in Washington, DC this week.
      CORNYN, be recognized.                                                                                          over.
                                                                 Jason has regular contact with his                     I will note that each of the commu-
        The PRESIDING OFFICER. Is there                        friends and comrades with whom he
      objection?                                                                                                      nications we have received from this
                                                               fought in Iraq. Some have returned                     brave young doctor, he has talked
        Mr. HARKIN. Reserving the right to                     home.
      object, I understand the consent re-                                                                            about coming under mortar fire from
                                                                 Many have spent months thousands                     Iraqi irregulars, or watching coalition
      quest is for the Senator from Arkansas,                  of miles away from their homes and
      then the Senator from Louisiana, and                                                                            forces launch counter-attacks.
                                                               families, stationed in a desert where                    A good part of his labor centers on
      then the Senator from Texas. For how                     the mail does not flow regularly and                   treating men who have been wounded
      long is the Senator from Texas going                     where they receive little news of what                 in combat.
      to speak?                                                is happening at home.                                    Clearly, even if the end of combat op-
        Mrs. LINCOLN. Fifteen minutes.                           For many of these young men and                      erations has been declared, the threat
        Mr. HARKIN. Mr. President, I would                     women, the undependable nature of                      to our troops is ongoing.
      like to amend that request so that                       communication       causes    tremendous                 As casualties mount and our troops
      after the Senator from Texas speaks,                     stress and anxiety.                                    continue to face daily dangers, it is im-
      this Senator from Iowa be recognized                       Many of them, trained for combat,                    portant that we redouble our efforts to
      for 15 minutes.                                          are frustrated that they lack the train-               stabilize the country and help Iraq on
        The PRESIDING OFFICER. Without                         ing and tools to meet the challenges of                the way to become a democracy.
      objection, it is so ordered.                             a peace-keeping mission.                                 Secondly, we should all recognize
                 HONORING OUR ARMED FORCES                       Others tell of the difficulties of being             that, although our troops are faced
        Mrs. LINCOLN. Mr. President, in                        separated from their families.                         with extremely difficult conditions,
      March, Senator HUTCHISON from Texas                        Jason tells me of one Marine, Ser-                   they continue their mission with cour-
      and I joined to coordinate a daily trib-                 geant Eric Johnson, whose wife gave                    age and with a sense of duty and com-
      ute to the troops in recognition of the                  birth to a child in February. Only re-                 mitment. And they are making
      men and women serving in combat in                       cently did Sergeant Johnson hold his                   progress.
      Iraq. We developed these tributes as a                   five-month-old son for the first time.                   We learned last week that Saddam
      way to honor the sacrifices of the sol-                    I have no doubt that there are many                  Hussein’s brutal sons and presumptive
      diers serving in the Middle East as                      other families trying to cope with                     heirs were killed by coalition forces in
      they fought to depose the brutal re-                     similar difficulties.                                  a firefight near Mosul.
      gime of Saddam Hussein.                                    Among the reservists who are serving                   Since then, coalition soldiers have
        The response was impressive, and I                     in Iraq, there are other pressures.                    received more tips and more informa-
      thank Senator HUTCHISON for working                        Many of the troops serving in the Re-                tion which will lead to the capture or
      with me on this initiative, not to men-                  serves have now been on active duty                    elimination of Baath party holdouts
      tion all of our colleagues who contrib-                  for up to 6 months or longer, meaning                  and Iraqi guerrilla fighters.



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                 S10517
        Indeed, each day brings news that the                  is our Energy bill and our attempts to                  natural gas. Yet we have also man-
      noose may be tightening around Sad-                      fashion an energy policy for our Na-                    dated the same policies or allowed poli-
      dam Hussein himself, as bodyguards,                      tion. For a great part of the time since                cies to develop that decreased our
      aides, and others close to the former                    last Friday, the Senate has been en-                    chances of producing natural gas.
      dictator are captured and interrogated.                  gaged in a very important debate on                       As my chart shows, our main energy
        We should do all we can to ensure                      this very complicated and far-reaching                  problem—what has happened and the
      that this progress continues, and we                     subject. That debate has followed along                 reason we are spending weeks, and if
      should ensure that our armed forces                      several weeks of intense debate and                     we have to spend months, so be it—is
      have the troops, materiel, and supplies                  hard work done on the part of Demo-                     we have to close this gap between nat-
      they need to get the job done.                           crats and Republicans on the Energy                     ural gas demand and natural gas avail-
        Finally, I would like to note that a                   Committee to try to fashion a bill a                    ability. That is what is causing the
      National Guard unit from Arkansas,                       majority of the Senators could support.                 price of natural gas to be at historic
      the 39th Infantry Brigade from Little                      I have been in meetings myself all                    highs and, quite frankly, at dangerous
      Rock, is expected to be deployed in                      day on and off the floor about that very                levels because it undercuts this econ-
      Iraq in April of next year, to augment                   subject, and hopefully those meetings                   omy.
      security and to allow for troop rotation                 are proceeding well, trying to come up                    Let me give a few specifics. Natural
      so that troops currently stationed in                    with some compromises to move us for-                   gas provides nearly 25 percent of the
      Iraq can be relieved.                                    ward, to proceed so we do not get                       energy that powers our $10.5 trillion
        With 3,400 people in the brigade, it is                                                                        economy. I repeat: 25 percent of our en-
                                                               stalled on this energy legislation.
      expected to be the largest deployment                      I remain very hopeful at this hour                    tire economy rests on our natural gas
      of National Guard troops from Arkan-                     that those negotiations will be fruitful                policy. It is out of whack. When it is
                                                                                                                       out of whack, it causes serious prob-
      sas in our State’s history.                              so we can continue our push, our bipar-
        These men and women are preparing                                                                              lems and serious consequences. That is
                                                               tisan effort, to fashion a bill that in-
                                                                                                                       what we are experiencing. More than 55
      to spend a year in Iraq, at great sac-                   creases supply, reduces demand, puts
                                                                                                                       percent of residential customers use
      rifice to themselves and to their fami-                  new measures in place that require
                                                                                                                       natural gas.
      lies, so that we can look forward to a                   conservation and that also will protect                   Visualize walking along any neigh-
      more secure future.                                      consumers in a new, more deregulated                    borhood in the country. In New Orle-
        We owe all of them a tremendous,                       way.                                                    ans, along Napoleon Avenue where I
      tremendous debt for their service.                         Those are high goals, but they are                    grew up; think about walking down
        All of us in this body are proud of the                important goals because if we do it                     Grand Isle, little Main Street on an is-
      service men and women who are serv-                      right, consumers can save a great deal                  land. I was just there a few weeks ago.
      ing under incredible circumstances, in                   of money. If we do it right, we can save                Maybe you are in a suburb right close
      incredible times, and doing the best                     jobs. If we do it right, we can help this               to Washington or maybe right on East
      they can possibly do. We wish them the                   economy to get a strong foothold to-                    Capitol Street. Every other house—50
      best, and we wish they are able to fin-                  ward recovery. If we do it right, we can                percent of residential consumers—has
      ish the job and return home as soon as                   help our industries be more competi-                    natural gas access.
      possible.                                                tive and, in doing so, save and preserve                  We have a shortage. When there is a
        I know my colleagues join me in                        jobs in the United States and increase                  shortage, prices go up. This country
      again paying tribute to the troops, rec-                 prosperity.                                             will see an increase, it is estimated,
      ognizing the incredible service of these                   I wanted to take a moment, while we                   from $534 in 1999 to $900 in 2003. That
      service men and women who serve our                      had this time, to focus on one of the                   means consumers—every other house,
      Nation so proudly from each of our                       most important aspects of an energy                     basically—will pay $70 billion more for
      States. The different soldiers who are                   policy, and, first, to recognize that                   gas in 2003 than they did in 2002. We
      going out into battle, who are putting                   most of the debate this week has right-                 gave a tax cut of $340 billion. Average
      themselves in harm’s way, we are lift-                   ly been Senators expressing their out-                  it over 10 years, it is $34 billion. We are
      ing them up daily in our prayers, as                     rage at what went wrong in the last 12                  giving a tax cut of $34 billion. Yet be-
      well as their families, their needs, and                 or 15 months: The description brought                   cause of our energy policy, we are tak-
      their concerns. We hope we can bring                     again so vividly to the Senate floor by                 ing $70 billion out of the pockets of res-
      this to a speedy end and we can make                     the Senator from Washington, Ms.                        idential customers.
      sure that they are all brought home as                   CANTWELL; the comments made by Sen-                       It makes no sense. That is why peo-
      safely.                                                  ator FEINSTEIN; the comments made by                    ple can say: Thanks for the tax cut, but
        I yield the floor.                                     other Senators on the travesty that oc-                 I am not really feeling it because you
        The PRESIDING OFFICER. The Sen-                        curred in California and the outrage of                 are giving it on the one hand and tak-
      ator from Louisiana.                                     the constituents there because of the                   ing it away on the other.
        Ms. LANDRIEU. Mr. President, I as-                     doubling and tripling and quadrupling                     We have a solution. Natural gas is
      sociate myself with the remarks of my                    of energy prices.                                       not only a fuel but an essential raw
      colleague from Arkansas who, along                         I most certainly understand. We, our-                 material for feedstock. Each year, the
      with our colleague from Texas, has or-                   selves, in Louisiana have been experi-                  U.S. chemical industry converts 20 per-
      ganized and continues to organize a                      encing higher prices for different rea-                 cent or $20 billion of natural gas-based
      very appropriate tribute to our troops                   sons. I understand that frustration.                    fuel and feedstock into more than $200
      to let them know that while we work,                       As much as I support some—not all                     billion of essential consumer products.
      while we try to fashion an Energy bill,                  but some—of their efforts to remedy                     When people say to me, Senator, your
      while we pass trade legislation, while                   that situation, I will spend a few min-                 State is a natural gas State, you are
      we attempt to pass the 13 appropria-                     utes talking about one of the real                      concerned about natural gas, I am con-
      tions bills that fund this Government,                   causes of that problem. While there                     cerned about natural gas because, of
      including the Department which funds                     was deception, there was manipulation,                  course, it fuels every other house in
      their operations, we keep them in our                    there was wrongdoing—and people like                    the country, but also because it fuels
      minds. They are on our minds in the                      Ken Lay and others need to be on their                  so many of the plants that create all of
      morning, at noontime, the early after-                   way to jail, and we hope the prosecu-                   the products we use for a variety of our
      noon, and early evening, as it is today.                 tion will be vigorous for that wrong-                   entities, a variety of goods in our econ-
      I thank my colleague for her remarks,                    doing—we would not be giving our con-                   omy that we use every day, from plas-
      and I know she wishes the troops from                    stituents the whole picture if we did                   tics to chemicals to fertilizers. More
      Arkansas well and that they return                       not talk for a minute about the under-                  than a million people work daily in the
      home safely, as I do those from Lou-                     lying cause of that debacle. It is simply               U.S. chemical industry, and 5 million
      isiana, as does our whole Nation. So I                   a lack of supply.                                       people work in dependent jobs; that is
      thank her.                                                 We have for the last 20 years imple-                  6 million jobs.
        I will spend a few minutes speaking                    mented policies in this Congress that                     If I have to stay on the Senate floor
      about the major issue at hand, and that                  have mandated a dramatic increase in                    all day today, all day tomorrow, if I



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      S10518                                             CONGRESSIONAL RECORD — SENATE                                                       July 31, 2003
      don’t leave for the August recess, it is                 is Florida. And it goes down to the                    visions contained within these two
      fine with me because we need to get                      States that produce more than they                     agreements. I recently helped chair a
      people back to work. I know that even                    consume. They become net exporters of                  Judiciary Committee hearing where
      if we passed the most well-crafted tax                   energy, the best State being Wyoming,                  representatives of the United States
      policy, no matter if we pass the most                    then Louisiana, then West Virginia,                    Trade Representative’s office explained
      well-crafted trade laws, no matter                       Alaska, and it goes up.                                the reasoning for such provisions. I
      what we pass, if we do not pass an En-                     Let me be quick to point out, because                also had the opportunity to discuss
      ergy bill that gives some vision for the                 this is a very important chart, the                    this issue with Ambassador Zoellick
      future, confidence to the market and                     country can never be energy inde-                      last week in person.
      an increased supply and conservation,                    pendent until these States, and the re-                  The fact is that our lack of a free-
      we are not going to be able to do any-                   gions they are in, become energy inde-                 trade agreement with Chile today costs
      thing else here that will save these jobs                pendent. One of the things the chair-                  American exporters an estimated $800
      or create jobs for Louisiana or for the                  man, the Senator from New Mexico,                      million per year in sales, affecting ap-
      Nation as a whole.                                       has been trying to help this Congress                  proximately 10,000 U.S. jobs. That’s an
        This is not just an Energy bill; it is                 understand is that you cannot even                     enormous amount and that’s just one
      a jobs bill. At a time when our econ-                    begin to be energy independent until                   of the reasons I am in favor of these
      omy is weak, this Senate needs to be                     these States and these regions come to                 free-trade agreements, because I be-
      about jobs. That is why I hope these                     terms with the fact that they are con-                 lieve they will be good for American
      negotiations will be fruitful. We need a                 suming huge amounts of energy and                      markets, American businesses and
      good bill.                                               they are not producing. They have two                  American workers.
        In my State of Louisiana, ammonia                      choices: They can either cut their con-                  Immigration policy is the responsi-
      plants in particular are feeling the ef-                 sumption, they can cut their consump-                  bility given to Congress under the Con-
      fects. For these plants, the cost of nat-                tion and can conserve anything they                    stitution. I assure my colleagues that
      ural gas represents 70 to 90 percent of                  want, or they can produce more en-                     enactment of these agreements does
      the total cost of manufacturing. If I                    ergy.                                                  not infringe in any way on that author-
      cannot get them relief on their price of                   So that is part of what our chairman                 ity or responsibility.
      natural gas, if I cannot help get this                   and ranking member, both from New                        The United States Trade Representa-
      bill through, and we do not have some                    Mexico, have been trying to explain to                 tive has been very responsive and open
      relief in sight, these plants will close,                us.                                                    to the concern of Senators. On at least
      thousands of jobs will be lost, they will                  I am going to submit this for the                    seven occasions since October of last
      move overseas, and they are not com-                     RECORD.                                                year, USTR provided formal briefings
                                                                 We have an energy deficit in this Na-
      ing back.                                                                                                       to Judiciary Committee staff about the
        It is not like closing an office tempo-                tion. No matter how you look at it, no
                                                                                                                      immigration sections in these treaties.
                                                               matter how many people you put in
      rarily until conditions improve and                                                                             USTR has welcomed the input of Sen-
                                                               jail, no matter how much consumer
      then everyone shows up a few months                                                                             ators on immigration and other issues
                                                               regulation you put in place, we have a
      later. These plants are huge. There is a                                                                        covered by these treaties.
                                                               serious energy deficit. Until this is cor-
      tremendous amount of steel and proc-                                                                              Over the past several months, some
                                                               rected, no matter what we do, we are
      essing equipment. When they close,                                                                              of my colleagues have expressed res-
                                                               still not going to have the kind of en-
      they are not going to reopen.                                                                                   ervations about the temporary nature
        We have gone from nine companies                       ergy policy in this Nation that will
                                                                                                                      of the visits under these agreements, as
      employing more than 3,500 people to                      help us keep jobs in America and
                                                                                                                      well as the funding for the new visa
      three companies employing less than                      strengthen our economy.
                                                                                                                      program, time limitations for these
                                                                 In conclusion, I want to say how
      100.                                                                                                            temporary visas, and numerical limita-
        There is a solution: Improving our                     proud I am that Louisiana is a pro-
                                                                                                                      tions.
      drilling opportunities in appropriate                    ducing State and we not only consume
                                                                                                                        The legislation we are being asked to
      places for natural gas—out West, in the                  what we produce but we export energy.
                                                                                                                      vote on today represents the results of
      gulf coast, and importing liquefied nat-                 We are proud to do that, and we will
                                                                                                                      negotiations between the members of
      ural gas is a start.                                     continue to do that in appropriate, en-
                                                                                                                      both parties on the Judiciary Com-
        In my last 3 minutes I will explain                    vironmentally sensitive ways.
                                                                 I yield the floor.                                   mittee and the USTR. With respect to
      one basic issue that gets to the heart of                                                                       the substance of the immigration pro-
                                                                 The PRESIDING OFFICER. The Sen-
      what I am trying to communicate.                                                                                visions, there was bipartisan consensus
                                                               ator from Texas.
      Again, let me say so that no one can                       Mr. CORNYN. Mr. President, I have a                  about the content. All of us want to
      say that Senator LANDRIEU is not con-                    few remarks I would like to make on                    promote trade, but we also want to
      cerned about deception and manipula-                     the free-trade agreements with Chile                   protect American workers from those
      tion and scams that went on, I prom-                     and Singapore. Before that, I have                     who abuse our immigration laws.
      ise, the manipulation, deception, and                    some matters of housekeeping.                            Ambassador Zoellick recently ex-
      scams were not the primary cause of                        Mr. President, I ask unanimous con-                  pressed to me that he does not ap-
      our dilemma today. It was a cause, it                    sent that the time Senator HOLLINGS                    proach negotiations with the intention
      was a significant cause, and it was                      consumed be counted against the time                   of including immigration provisions.
      criminal in many cases, but it was not                   he controlled on H.R. 2738 and H.R.                    Circumstances vary according to each
      the primary cause.                                       2739, the trade agreements.                            negotiation and each country involved.
        The primary cause is some States, in                     The PRESIDING OFFICER. Without                       Negotiating flexibility must be main-
      the last 20 or 30 years, consumed a lot                  objection, it is so ordered.                           tained to produce agreements that pro-
      of energy, but do not produce energy. I                      FREE-TRADE AGREEMENTS WITH CHILE AND               vide maximum benefits to American
      have a chart illustrating statistics                                      SINGAPORE                             workers.
      from our Energy Department, includ-                        Mr. CORNYN. Mr. President, I rise                      The inclusion of the immigration
      ing all types of fuels and energy: Nu-                   today to speak in favor of the free                    provisions protects the interests of
      clear, hydrogen, geothermal, wood,                       trade agreements with Chile and Singa-                 U.S. businesspeople and will better en-
      wind, waste, solar, oil, natural gas, and                pore.                                                  able them to pursue overseas opportu-
      coal. This is from the U.S. Department                     These agreements are consistent                      nities to increase American exports. In
      of Energy, the Energy Information                        with the longstanding policy of the                    most immigration matters, the United
      Agency. This includes all types of en-                   United states to negotiate agreements                  States expands the number of visas for
      ergy minus consumption. The States in                    that reduce foreign trade barriers, in-                foreign workers without receiving re-
      dark red on the chart are the States                     crease export opportunities for Amer-                  ciprocal assurances from other coun-
      that consume much more energy than                       ican businesses, and create jobs for                   tries for access for Americans.
      they produce. And they are rated from                    American workers.                                        The Chile and Singapore free-trade
      the top, which is California; the second                   I understand the concerns of my col-                 agreements will enable an unlimited
      is New York; third is Ohio; and fourth                   leagues about certain immigration pro-                 number of American businesspeople to



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                                 S10519
      reside in these two countries while cap-                   The PRESIDING OFFICER. Without                        migration provisions that we don’t
      ping the number of annual entries at                     objection, it is so ordered.                            like, no amendments are allowed. We
      1,400 from Chile and 5,400 from Singa-                     The Senator from Alabama.                             are only allowed to vote up or down on
      pore.                                                      Mr. SESSIONS. Mr. President, I very                   these agreements.
        These limits will protect American                     much thank the Senator from Iowa.                         The inclusion of immigration provi-
      business interests and American work-                      I have been inclined to be supportive                 sions in the Free Trade Agreements
      ers. And I applaud the U.S. Trade Rep-                   of these two treaties with Singapore                    with Chile and Singapore has directly
      resentative’s office for its efforts in                  and Chile. They came up in the Judici-                  interfered with Congress’ plenary
      reaching these agreements with Chile                     ary Committee. I was very surprised to                  power to regulate the nation’s immi-
      and Singapore.                                           see we will be amending immigration                     gration policy. The power to make im-
        At the same time, I believe this ini-                  law. As I listened to the debate from                   migration law belongs to Congress
      tial experience with this new authority                  other members of the committee, I                       alone and includes both the temporary
      which Congress has conferred on the                      concluded at that point I could not                     and permanent admissions of foreign
      President, to negotiate these agree-                     support the treaties. I voted no. I don’t               nationals into the United States.
      ments subject to an up-or-down vote in                   think there were a large number of                        Article I, Section 8, clause 3 of the
      the Congress, has given the U.S. Trade                   people in the committee who voted no.                   Constitution authorizes Congress ‘‘to
      Representative an increased apprecia-                    But I did not like the fact that the first              regulate Commerce with foreign Na-
      tion for the need to actively consult                    fast-track treaty had come up with                      tions, and among the several States’’
      with Congress on matters as sensitive                    amended immigration law which is                        and Article I, section 8, clause 4 of the
      and significant as immigration issues.                   under the plenary power of the Con-                     Constitution provides that Congress
      Failing that, there is no question in                    gress, and it is not capable of being                   shall have power to ‘‘establish a uni-
      my mind that future free-trade agree-                    amended. It is not capable of being                     form Rule of Naturalization.’’
      ments are unlikely to receive Senate                     changed. I think it is a bad mistake to                   The Supreme Court has long inter-
      approval, and that would be a shame.                     do that.                                                preted the Constitution to grant Con-
        The United States-Chile free-trade                       Subsequent to that, we have worked                    gress plenary power over immigration
      agreement will provide numerous op-                      hard to put in as part of the passage of                policy. As the Court found in Galvan v.
      portunities for United States workers                    this treaty a sense of the Senate. That                 Press, 347 U.S. 522, 531 (1954), ‘‘the for-
      and manufacturers.                                       sense of the Senate says:                               mulation of policies [pertaining to the
        U.S. companies currently operate at                      Trade agreements are not the appropriate              entry of aliens and their right to re-
      a disadvantage because competitors                       vehicle for enacting immigration-related                main here] is entrusted exclusively to
      such as Canada, Mexico, and the Euro-                    laws or modifying the current immigration               Congress has become about as firmly
      pean Union already have free-trade                       policy; and future trade agreements to which            imbedded in the legislative and judicial
      agreements with Chile. As I said be-                     the United States is a party and the legisla-           tissues of our body politic as any as-
      fore, our lack of an agreement costs                     tion implementing the agreements should                 pect of our government.’’ And, as the
                                                               not contain immigration-related provisions.
      American exporters an estimated $800                                                                             Court held in Kleindienst v. Mandel, 408
      million per year in sales, affecting ap-                   This is really an important issue. I                  U.S. 753, 766 (1972) (quoting Boutilier v.
      proximately 10,000 U.S. jobs.                            want to support this treaty. I hope to                  INS, 386 U.S. 123 (1967)), ‘‘[t]he Court
        The agreement with Chile will elimi-                   be able to support this treaty. Maybe I                 without exception has sustained Con-
      nate tariffs immediately on more than                    will be able to support this treaty. But                gress’ ‘plenary power to make rules for
      85 percent of consumer and industrial                    I certainly respect the people of Singa-                the admission of aliens and to exclude
      goods, and most remaining tariffs will                   pore and respect the people of Chile.                   those who possess those characteristics
      be phased out within the next 4 years.                   They are allies and friends. We want to                 which Congress has forbidden.’ ’’
      The result will be a $4.2 billion increase               work with them and improve trade.                         At the hearing before the Senate Ju-
      in the US GDP and a $700 million in-                     Hopefully, we will be able to do that.                  diciary Committee on these agree-
      crease in Chile’s GDP.                                     In my home State of Alabama, Singa-                   ments, the witness for the U.S. Trade
        The U.S.-Singapore free-trade agree-                   pore has a 1,000-personnel company                      Representative, Mrs. Regina Vargo,
      ment will have a similar effect on                       that is doing great business. I am                      was asked what legal authority the
      trade and economic liberalization in                     proud of their work and enjoy getting                   U.S. Trade Representative, USTR, was
      Southeast Asia.                                          to know those people. It is an impor-                   relying on as a basis for including im-
        Despite its small size, the economy of                 tant part of the community of which I                   migration law negotiations in trade
      Singapore is robust and highly com-                      am a part, which is an example of some                  treaties.
      petitive. Roughly 1,300 American firms                   of the good things that come from                         The USTR witness responded by dif-
      have a significant presence in Singa-                    trade.                                                  ferentiating between temporary and
      pore, including 330 regional head-                         But we are concerned. A lot of the                    permanent entries into the United
      quarters for American businesses. The                    Members of this body are concerned.                     States, stating that because the Chile
      establishment of a free-trade agree-                     This crystal-clear sense of the Senate                  and Singapore Free Trade Agreements
      ment with Singapore will further in-                     without equivocation says do not bring                  only contained provisions regarding
      crease opportunities for American                        us any more treaties with these kinds                   temporary entries of foreign persons,
      workers through improved access to                       of amendments on them. If you do,                       the USTR was acting within the
      this important market.                                   they are going to be in danger.                         bounds of its negotiating authority.
        I believe these free-trade agreements                      IMMIGRATION PROVISIONS IN THE SINGAPORE               This assumed authority was again
      will be good for American markets,                              AND CHILE FREE TRADE AGREEMENTS                  stated by the USTR in the written an-
      American businesses and American                           While I want to support agreements,                   swers that they submitted to the writ-
      workers, and I will vote accordingly. I                  the inclusion of immigration-related                    ten questions submitted by members of
      respectfully ask my colleagues to do                     provisions in the legislation before us                 the Judiciary Committee. This is not
      the same.                                                is deeply troubling.                                    the case and I want to make it clear to
        I yield the floor.                                       Let met tell you what has happened-                   the USTR that they do not have the
        The PRESIDING OFFICER. Under                           The U.S. Trade Representative, USTR,                    authority to negotiate immigration
      the previous order, the Senator from                     by implementing new immigration pro-                    law on behalf of the Congress. By nego-
      Iowa is recognized for 15 minutes.                       visions in treaty negotiations, has en-                 tiating and including immigration law
        Mr. SESSIONS. Mr. President, I won-                    croached on the role of the legislative                 provisions in a binding bi-lateral trea-
      der if the Senator from Iowa would                       branch, without consent from this Con-                  ty that Congress does not have the
      allow me to proceed for 2 minutes.                       gress.                                                  power to amend, the USTR has estab-
        Mr. HARKIN. Mr. President, I ask                         The ‘‘temporary entry’’ sections that                 lished a dangerous precedent that will
      unanimous consent that the Senator                       are in the Singapore and Chile trade                    not be tolerated in future trade agree-
      from Alabama be recognized for 3 min-                    agreements should not be there. Be-                     ments.
      utes after which I then be recognized                    cause of the fast-track process, Con-                     Instead of changing the immigration
      for my 15 minutes.                                       gress is not allowed to take out the im-                law under these agreements for citizens



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      S10520                                             CONGRESSIONAL RECORD — SENATE                                                        July 31, 2003
      of Singapore and Chile, it would have                    ment among U.S. workers. I am dedi-                     signed to open foreign markets to our
      been especially appropriate for the                      cated to preserving the jobs of U.S.                    Nation’s exports through new trade
      USTR to ensure that employers who                        workers whenever possible. I welcome,                   agreements. I have fought to break
      repeatedly use the visa programs estab-                  when appropriate, foreign industries                    down the barriers that many other
      lished under these trade agreements                      within our borders, and, when appro-                    countries have erected to block our ex-
      abide by all current U.S. laws gov-                      priate, I fully support foreign workers                 ports, and I have sought to reduce the
      erning the entry of these foreign work-                  coming here to work.                                    practices by which many of them seek
      ers.                                                       But, I also believe that the suspected                to compete unfairly in world markets.
        As a Senator of this committee,                        abuse surrounding some immigration                      More fair trade can create jobs here at
      which has jurisdiction over immigra-                     visas should be examined—such abuse                     home, and American consumers can
      tion policy, it is my duty to preserve                   is possibly contributing to the level of                benefit from the resulting competition.
      the plenary power of Congress to make                    unemployment in the U.S.—including                        In 1991, I took a trip to Chile to
      immigration policy. I am dedicated to                    the record unemployment level for U.S.                  gauge the prospects of entering into a
      opposing any erosion of that power.                      high-tech workers. The only way to                      free trade agreement with Chile, and I
      After the Judiciary Committee Hear-                      protect the job market for American                     returned favorably disposed. I thought
      ing, I, along with Senator GRAHAM of                     workers is to preserve Congress’ ple-                   that we should negotiate a free trade
      South Carolina and Senator FEINSTEIN,                    nary power to make laws that affect                     agreement with Chile before doing so
      sent a letter to the USTR asking them                    the ability of foreign workers to dis-                  with Mexico, and I communicated that
      to withdraw the trade agreements and                     place American workers from their                       to the President at the time.
      submit them again without the tem-                       jobs. That is why the Judiciary Com-                      However, trade is not just about com-
      porary-entry/immigration provisions.                     mittee has hearings to oversee how the                  mercial transactions and whether or
        Before we vote on the Chile and                        visa programs we have enacted are                       not imported products become cheaper
      Singapore Trade Agreements, this Sen-                    working. Just this week we held a                       and exporting companies increase their
      ate will unanimously pass a resolution                   hearing to examine the L–1 visa, one of                 profits. Trade policy and the con-
      I introduced. The resolution states                      the visa categories affected by these                   sequences of trade are linked with the
      that it is the sense of this Senate that:                trade agreements.                                       preservation of the natural environ-
                                                                 After that hearing, Congress may de-                  ment in both countries that are party
        Trade agreements are not the appropriate
      vehicle for enacting immigration-related
                                                               cide that we need to reform the L–1                     to an agreement, as well as the legal
      laws or modifying current immigration pol-               visa category. Any provision of a fu-                   rights and working conditions of work-
      icy; and future trade agreements to which                ture trade agreement that restricts the                 ers. I take these matters into consider-
      the United State is a party and the legisla-             ability of this Congress to reform such                 ation when I determine whether or not
      tion implementing the agreements should                  programs and to therefore protect U.S.                  to support a given trade agreement, as
      not contain immigration related provisions.              jobs will not be looked upon favorably.                 well as the economic gains that may be
        I am glad that a strong statement de-                  If the U.S. Trade Representative con-                   generated.
      fending Congress’ authority over immi-                   tinues to negotiate treaty terms such                     I am aware that U.S. groups rep-
      gration law will be made today. I fully                  as the ones before us today, I will be                  resenting a considerable variety of ag-
      intend to defend that statement and                      unable to support them.                                 ricultural products support the Chile
      ensure that future trade agreements                        I deeply desire to support Chile and                  FTA. A total of 32 farm groups, pro-
      comply with the unanimous desire of                      Singapore and had fully planned on                      ducer groups, and agribusiness inter-
      this body.                                               voting for the Free Trade Agreements                    ests signed a letter in July, urging sup-
        One reason I am so concerned about                     at every turn. I look forward to work-
                                                                                                                       port for the agreement. Even some of
      the inclusion of the immigration provi-                  ing with colleagues from each nation,
                                                                                                                       those organizations have concerns
      sions is that four visa categories are                   but in particular, the businessmen and
                                                                                                                       about market access for specific prod-
      permanently affected by the agree-                       women who are engaged in the expan-
                                                                                                                       ucts, or about addressing trade reform
      ments. The legislation before us today                   sion of trade between our respective
                                                                                                                       through a bilateral, rather than a mul-
      effects four types of current visas:                     business communities. In Alabama we
                                                                                                                       tilateral agreement.
        No. 1. The H–1B—‘‘highly skilled                       are indeed fortunate that several com-                    Over the 1998–2001 period, U.S. com-
      worker’’;                                                panies from Singapore found opportu-
                                                                                                                       panies shipped an average of $125 mil-
        No. 2. the B–1—business visitor;                       nities in Alabama—opportunties they
                                                                                                                       lion worth of agricultural goods to
        No. 3. the E–1—treaty trader or inves-                 developed into thriving businesses.
                                                                 One such business is located in my                    Chile, accounting for about 10 percent
      tor visa; and                                                                                                    of their total agricultural imports.
        No. 4. the L–1—intra-company trans-                    home town of Mobile, Alabama. Mobile
                                                               Aerospace         Engineering—MAE—is                    Until now, or major competitors in the
      fer visa.                                                                                                        hemisphere, Argentina and Brazil, have
                                                               Singapore owned, but more impor-
        H–1B requirements under the Chile                                                                              had an advantage in the Chile market
                                                               tantly it is a vibrant business employ-
      and Singapore agreements are weaker                                                                              because of their proximity and Chile’s
                                                               ing over 1,000 local workers. MAE is a
      than the requirements for other H–1B                                                                             status as an associate member of
                                                               community leader not just in the num-
      workers. The agreements require, with-                                                                           Mercosur, the South American regional
                                                               ber of its employees, but in its commu-
      out numerical limit, that business per-                                                                          trade agreement. This FTA should help
                                                               nity outlook and community involve-
      sons in the other three visa categories                                                                          to level the playing field, although the
                                                               ment. My visits have revealed that
      be entitled to entry. Under the H1–B                                                                             cost of shipping goods more than 5,000
                                                               Singapore is indeed a valued economic
      category, this legislation permits the                                                                           miles to the Chile market will always
                                                               partner and trusted ally.
      admission of up to 5,400 professionals                     I believe the Governments of Singa-                   be a factor in determining the
      from Singapore and up to 1,400 profes-                   pore and Chile clearly understand the                   attractiveness of U.S. products.
      sionals from Chile each year.                            message my colleagues and I have com-                     Both of the trade agreements we are
        This legislation also permits the al-                  municated to the USTR. Our commit-                      considering—the Chile and the Singa-
      most unlimited renewal of the H1–B                       ment to trade is not diminished; our                    pore agreements—also are good for the
      visas each year, which could have the                    message however is quite clear: trade                   U.S. financial services sector. The
      effect of turning a temporary entry                      agreements are not the appropriate ve-                  president of Principal International,
      visa program into a permanent visa                       hicle for enacting immigration-related                  Norman Sorensen, testified recently
      program; and                                             laws or for modifying current immigra-                  before the Senate Finance Committee,
        These agreements also require that                     tion policy.                                            and he listed a number of benefits for
      dependent spouses and children be al-                      I thank so much the distinguished                     Principal and for other financial serv-
      lowed to join the H1–B professionals                     Senator from Iowa for his courtesy.                     ices companies. I note that Principal
      that enter under these agreements—                         I yield the floor.                                    Financial Group is a major private em-
      with no numerical cap.                                     The PRESIDING OFFICER. The Sen-                       ployer in my State of Iowa.
        I am concerned about including per-                    ator from Iowa.                                           Trade agreements—on the right
      manent immigration changes in trade                        Mr. HARKIN. Mr. President, I am a                     terms—promise many benefits and op-
      agreements when we have unemploy-                        long-time supporter of policies de-                     portunities.   Notwithstanding      these



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                               S10521
      benefits, we have increasingly come to                   standard that has been ratified by 138                     I would like to support a free-trade
      realize in recent years that issues pre-                 countries. It has been ratified by Chile.               agreement with Chile. As I said, I went
      viously not considered to be trade                       It has been ratified by Singapore. The                  there 11 years ago to help promote a
      issues in fact are trade issues intellec-                United States, I am proud to say, was                   free-trade agreement. But I cannot
      tual property being one of those most                    the third country to ratify this conven-                vote for this because our negotiators
      prominent. That is why I have worked                     tion. Unfortunately, the implementing                   took away from us the one thing we
      hard to improve the labor provisions in                  legislation now before the Senate for                   put in 3 years ago to end abusive and
      various trade measures, concentrating                    free trade with Chile and Singapore ac-                 exploitative child labor.
      particularly on abusive and exploita-                    tually would take us and the world a                       This takes us in the wrong direction
      tive child labor. I want trade agree-                    step backward when it comes to pro-                     with respect to the world’s children.
      ments to promote fair trade, fair com-                   tecting children. That is right. This                   Supporting abusive and exploitative
      petition, environmental protection and                   freetrade agreement with Chile, which                   child labor abroad does not help create
      good labor conditions in all countries.                  replaces GSP provisions in governing                    jobs in America, it is just the opposite;
      That means trade agreements that sup-                    the trade between our two countries,                    it hurts that effort. Our workers and
      port and reinforce existing inter-                       will take us backward with respect to                   our local businesses should not be com-
      national child-labor standards, not un-                  abusive and exploitative child labor.                   peting with the worst forms of child
      dercut them.                                               Under GSP, the President must re-                     labor abroad. Our trade negotiators
         In examining any trade agreement,                     port to Congress annually regarding                     should not be weakening protections
      we must weigh the balance of these                       Chile’s child labor practices. And under                that we in Congress put in place to en-
      considerations. In the cases of the                      GSP, if Chile is not meeting the obliga-                sure that free trade can be consistent
      agreements now before us, I have reluc-                  tions that Chile undertook as a signa-                  with respect for international child
      tantly concluded that the benefits do                    tory to the ILO Convention 182, if Chile                labor standards. What our negotiators
      not outweigh the potential harm.                         is not acting to eliminate the worst                    did is wrong.
         As many of my colleagues know, I                      forms of child labor, then trade sanc-                     It has been said that these trade
      have been working on reducing abusive                    tions are available to us to require en-                agreements with Chile and Singapore
      and exploitative child labor around the                  forcement in Chile of internationally                   can be a model for future trade agree-
      world for over a decade. I first intro-                  recognized child labor standards. That                  ments, for example, with Central
      duced a bill on this issue in 1992. Ac-                  is so that our companies, and our                       American countries. In the area of abu-
      cording to the best estimates by the                     workers here in America, are not sub-                   sive and exploitative child labor, I hope
      International Labor Organization—                        jected to the unfair competition that                   that is not the case. A better model
      ILO—there are at least 352 million                       abusive exploitation of children allows.                would be the free-trade agreement with
                                                                 Under this new implementing legisla-                  Jordan, which we adopted in Sep-
      child laborers between the ages of 5 and
                                                               tion for free trade that we have before
      17 who are engaged in today’s global                                                                             tember of 2001. That agreement had
                                                               us now, if it is enacted, neither of those
      economy.                                                                                                         broad support from business and labor.
         Of these 352 million child laborers,                  things I just mentioned will be true.
                                                                                                                       I supported it. In that case, we success-
      246 million have never seen the inside                   The President will not be required to
                                                                                                                       fully moved the issue of abusive and
      of a classroom. These 246 million pow-                   report on Chile’s practices or Singa-
                                                                                                                       exploitative child labor and other labor
                                                               pore’s. And even if egregious violations
      erless children are working in the most                                                                          rights right into the body of the agree-
                                                               of international child labor standards
      hazardous conditions in mines in fish-                                                                           ment where they rightfully belong. I
                                                               are reported, no trade remedy will be
      ing operations and on plantations. It is                                                                         cannot understand why we would turn
                                                               available. This new agreement merely
      appalling that this is still occurring in                                                                        back from that agreement and from
                                                               allows voluntary cooperation between
      the 21st century. These children are                                                                             the GSP provisions.
                                                               the two countries on issues such as
      robbed of their childhoods. Many are                                                                                I am sorry to say this is not an aca-
                                                               abusive and exploitative child labor.
      denied any hope for a brighter future.                     Our trade negotiators, for some rea-                  demic or rhetorical issue in the case of
      In this new century, they will grow up                   son, in this agreement before us, ex-                   labor practices in Chile. Chile is far
      illiterate and exploited, creating a                     plicitly weaken existing protections                    from the worst government, even in
      wellspring of future social conflict and                 against abusive and exploitative child                  our hemisphere, when it comes to
      strife.                                                  labor.                                                  meeting its international obligations
         We have made some progress over the                     They took us from mandatory Presi-                    to protect its children.
      years by increasing funds for programs                   dential reporting, with trade sanctions                    I don’t mean to single Chile out. In
      to rehabilitate child laborers through                   available, to the mere possibility of                   fact, Chile has done a great thing in
      our contribution to the ILO’s Inter-                     voluntary cooperation with no recourse                  getting rid of the Pinochet dictatorship
      national Programme for the Elimi-                        to trade sanctions as enforcement.                      and returning democracy and free mar-
      nation of Child Labor—IPEC. In 2000, I                     My colleagues, we voted here in the                   kets to Chile. But there is broad agree-
      and Senator Helms successfully amend-                    Senate 96 to 0 in the year 2000 to in-                  ment among international observers—
      ed the Trade and Development Act                         clude these protections. Senator Helms                  our own Department of Labor, the De-
      with a provision directing that no                       and I offered that amendment to the                     partment of State, UNICEF, the Inter-
      trade benefits under the Generalized                     GSP. This Senate voted—with our eyes                    national Labor Organization—that the
      System of Preferences—GSP—be grant-                      open, ears open—96 to 0 to include                      problem of abusive child labor persists
      ed to any country that does not live up                  these protections in the GSP. It re-                    in Chile. Approximately 65,000 Chilean
      to its commitments to eliminate the                      ceived unanimous, bipartisan support.                   children between the ages of 12 and 17
      worst forms of child labor. We required                    None of us in this body have voted                    are working rather than attending
      that the President submit a yearly re-                   for, and I am sure none of us have                      school as they should. This is accord-
      port to Congress on the steps being                      sought to have, those child labor pro-                  ing to the ILO, UNICEF, and our own
      taken by each GSP beneficiary country                    tections undercut by our trade nego-                    State Department. These kids are en-
      to carry out its commitments to end                      tiators in an agreement with Chile or                   gaged in mining, agriculture, including
      abusive and exploitative child labor.                    Singapore or any other country. But                     street children, domestic workers.
         I want to explain clearly to my col-                  that is what they have done. And now,                      The Government of Chile may be
      leagues what I mean when I refer to                      thanks to fast-track rules, which don’t                 seeking to reduce the problem, as it
      abusive and exploitative child labor. It                 allow us to amend this legislation, we                  should. But we should not be weak-
      is not children who work part-time                       will not even be able to restore the pro-               ening our sole existing trade mecha-
      after school or on weekends. There is                    tections we voted for 3 years ago in                    nism that allows us to monitor their
      nothing wrong with that. That is not                     this agreement. If we vote for this                     progress and to back up the inter-
      the issue. What I am referring to is the                 trade agreement, we are voting to re-                   national standard with trade action.
      definition set out by ILO Convention                     move the protections that all of us                     That is not the way forward for free
      182 on the Worst Forms of Child Labor.                   here—96 Senators—voted 3 years ago to                   and fair trade. That is not the way to
         This is not just a Western or a devel-                put into place to end the practice of                   lift up the Chilean economy or working
      oped world standard; it is a global                      abusive and exploitive child labor.                     families in the United States. Abusive



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      S10522                                             CONGRESSIONAL RECORD — SENATE                                                       July 31, 2003
      child labor perpetuates the cycle of                     cause our trading partners in this case                much consultation should be done with
      poverty across generations. No country                   need a relationship with us, and we                    Congress before these provisions are fi-
      has achieved broad-based economic                        have worked hard over the years to de-                 nalized. It is my understanding that
      prosperity on the backs of working                       velop one with them. We have heard                     the USTR consulted with six private
      kids. Weakening our existing protec-                     that our agreement with Chile would                    sector advisory committees when nego-
      tions against the worst forms of child                   expand the GDP of this country by $4.2                 tiating terms of the free-trade agree-
      labor certainly should not occur in an                   billion and allow 75 percent of U.S.                   ment, including the labor advisory
      agreement that might be a model for                      farm goods to enter Chile tariff free                  committee which was critical to the
      free trade with Central America.                         within 4 years. Both the Senator from                  temporary entry provisions. The USTR
        Lastly, I am also concerned about                      Iowa and I would have to agree that is                 published a Federal Register notice so-
      the selective changes in immigration                     the way it ought to be. Certainly, I ap-               liciting comments on both agreements.
      law on these trade agreements. These                     plaud our trade ambassador for work-                     However, under the Trade Promotion
      trade agreements would allow 1,400 for-                  ing in that direction.                                 Authority Act, the administration is
      eign workers from Chile per year and                       Unfortunately, during negotiations,                  required to consult with Congress
      5,400 workers from Singapore per year                    our representatives went beyond the                    while conducting negotiations. In this
      to obtain 1-year visas to work in the                    issues of free trade and threw our im-                 case, consultation was brief and given
      United States, visas which are renew-                    migration laws on the table for negoti-                on very short notice, certainly with re-
      able indefinitely. That is a significant                 ating purposes. As a result, the agree-                gard to the Judiciary Committee of
      change from our current H–1B visa pol-                   ments with Chile and Singapore con-                    which I am a member.
      icy, where workers are granted 3-year                    tain immigration provisions that I                       But what troubles me more—and
      visas that can be renewed only once.                     think raise very troubling issues.                     would have been resolved had Congress
      We should not be promoting the impor-                      Let me be the first to acknowledge                   been meaningfully consulted—is the
      tation of skilled foreign workers for in-                that these immigration provisions may                  substance of the proposed immigration
      definite stays in the United States                      arguably benefit some U.S. companies,                  provisions themselves and Congress’
      when there are 9 million Americans                       including companies in my home                         limited ability to amend the provisions
      currently out of work.                                   State. I have already visited with                     even in the face of fraud or abuse that
        I have a further concern with a provi-                 many of those companies. However,                      could occur within this trade agree-
      sion inserted in the Singapore free-                     there are also problems with these pro-                ment.
      trade    agreement.     The    integrated                visions, problems with how they came                     The free-trade agreement addresses
      sourcing initiative, or ISI, allows pre-                 into being in the first place, problems                four specific categories of temporary
      dominantly information technology                        with their substance, and problems                     nonimmigrant      admission    currently
      goods produced in third countries to be                  with their potential impact. What in-                  governed by U.S. immigration law.
      treated as if they had been produced in                  tensifies our dilemma today is that we                 These are business visitors, or B–1;
      Singapore for the purpose of satisfying                  run the risk that similar provisions                   treaty traders and investors, the E–1s
      rules-of-origin provisions.                              would be included in future trade                      and E–2s; intracompany transferees,
        This ISI provision could allow goods                                                                          the L–1s; and professional workers, the
                                                               agreements, as the Senator from Iowa
      produced in countries that routinely                                                                            H–1Bs.
                                                               has already said, and I say here. Why?
      violate workers’ rights, such as Indo-                                                                            The potential for fraud in these visa
                                                               Because our trade ambassador has said                  programs is substantial. The free-trade
      nesia, and possibly Burma, to be trans-
                                                               it.                                                    agreement is specific that neither
      shipped through Singapore in order to                      What we deal with tonight are tem-
      avoid United States limitations and                                                                             party may ‘‘as a condition of tem-
                                                               plates or foundations from which we
      bans. That is in the Singapore free-                                                                            porary entry, require prior approval
                                                               will deal with other countries in estab-
      trade agreement.                                                                                                procedure petitions, labor certification
                                                               lishing free-trade agreements. Those
        I regret that our negotiators have                                                                            tests, or other procedures of similar ef-
                                                               negotiations are already underway
      presented us with flawed agreements.                                                                            fect. . . .’’
                                                               with Australia and Morocco and South                     Yet labor certification requirements
      In the case of Chile, it is either sloppy
      work or they deliberately changed the                    Africa, Central America, and 34 coun-                  ensure that foreign workers do not dis-
      child labor provisions. By allowing                      tries in the western hemisphere we are                 place or adversely affect the working
      third countries to transship through                     currently engaging with in free-trade                  conditions of Americans.
      Singapore, again, it is either sloppy                    agreements. I will tell you, if this is a                Current H–1B law requires attesta-
      work or deliberately trying to under-                    template and if he plans to negotiate                  tion of H–1B dependent employees in
      cut United States limitations and bans                   immigration law in the midst of a free-                order to reduce potential fraud. This
      on certain countries.                                    trade agreement, this is one Senator                   requirement is necessary to prevent re-
        I particularly hoped that I could sup-                 who will work very aggressively to                     peat users of H–1B visas from using
      port an agreement for free trade with                    block them until our trade ambassador                  temporary foreign labor as a strategy
      Chile. I started working for that over                   understands that he is outside his pre-                to avoid paying higher salaries to
      10 years ago. But I do not believe trade                 rogative.                                              American workers. This requirement is
      can be called free when it promotes the                    Many of my colleagues will remem-                    not mentioned in the implementing
      exploitation and abuse of children by                    ber that last year more than 60 Sen-                   language.
      weakening our existing protections                       ators expressed concern about our U.S.                   Also, while the administration has
      against the worst forms of child labor.                  trade remedy laws being negotiated                     included a cap on the number of profes-
        I yield the floor.                                     away and changed by our U.S. Trade                     sionals entering under the H–1B cat-
        The PRESIDING OFFICER. The Sen-                        Representatives without congressional                  egory, there are no such limitations on
      ator from Idaho.                                         consent or input. As we all know, once                 the number of temporary workers en-
        Mr. CRAIG. Mr. President, I yield                      these trade agreements are sent to                     tering under other visa categories, in-
      myself time under the time allotted for                  Congress, they cannot be changed or                    cluding the B–1 visa, the E–1 visa, and
      Senator SESSIONS.                                        amended. Again, more than 60 Senators                  the L–1 visa. None of these categories
        The PRESIDING OFFICER. Without                         expressed concern about items that are                 are numerically limited under the
      objection, it is so ordered.                             within congressional purview and                       agreement and, once enacted, Congress
        Mr. CRAIG. Mr. President, I, too, rise                 should be guided by Congress, not                      may not subsequently impose caps on
      this evening to express concern over                     unelected officials down at the Trade                  these categories for national entry.
      the pending free-trade agreements with                   Representative’s office. These same                      This is particularly problematic
      Chile and Singapore. My colleague                        fears and concerns apply to immigra-                   within the context of the L–1 visa cat-
      from Iowa has just spoken to that. I                     tion provisions within the free-trade                  egory. Neither of the FTA agreements
      will approach it from a slightly dif-                    agreement.                                             requires workers to be citizens of ei-
      ferent manner but with the same con-                       It is Congress and not our trade nego-               ther Chile or Singapore. They can be
      cerns.                                                   tiators that should be making changes                  from any country as long as they are
        These trade agreements should have                     in U.S. immigration law. Senators have                 working for a company located in ei-
      been focused largely on trade issues be-                 been rightly concerned about how                       ther Chile or Singapore.



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      July 31, 2003                                      CONGRESSIONAL RECORD — SENATE                                                              S10523
        Many employers are exaggerating the                      Should Congress, in the future, try to               USTR, or those parties who have an in-
      specialized product knowledge of their                   amend or change any of our current                     terest in them, could and should have
      professional workers so they qualify as                  immigration provisions we must now                     brought them to Congress as a free-
      L–1 visa applicants. As a result, the L–                 always keep an eye on the provisions                   standing amendment to our immigra-
      1 visa program is receiving an in-                       contained in these trade agreements.                   tion laws and proposed them to us as a
      creased amount of scrutiny by the                        Why? Because should Congress change                    critical part of passing a free-trade
      State Department, as we speak. The                       any of our immigration laws to adapt                   agreement. That was not done. They
      Department of Homeland Security is                       in this new world—and change any im-                   were incorporated in the free-trade
      looking at it as we speak. Members of                    migration laws that are subsequently                   agreement because our trade ambas-
      Congress and the General Accounting                      also contained in these agreements—                    sador knew they could not be amended
      Office are doing the same. GAO is also                   those new laws may in fact violate                     once they were embodied. We would
      investigating the L–1 visa program.                      these very trade agreements—cause a                    have to take them in part and in par-
      And the Judiciary Committee recently                     tremendous problem. The problem is                     cel.
      held hearings on this issue.                             embodied within the provision.                           However, under this agreement, now
        What Congress must realize is that                       As a result, Chile or Singapore, or                  our hands are tied. I don’t believe the
      because the proposed legislation is im-                  any future country we negotiate with,                  American people want our hands tied
      plementing a free-trade agreement be-                    could challenge us by challenging our                  when it comes to immigration law.
      tween the United States and Chile and                    immigration laws in an international                   They want us to be flexible, they want
      Singapore, Congress’ power to amend                      court.                                                 us to regain control of our borders,
      the proposed legislation is minimal                        In other words the Senate of the                     they want us to protect our workforce,
      even when Americans are being ad-                        United States, within these provisions,                while at the same time expanding
      versely affected.                                        could be found in violation of the                     where necessary, and an international
        Only those amendments that do not                      agreement, and therefore has lost con-                 workforce is needed. Clearly, in this
      conflict with the free-trade agreement                   trol of its own ability to change our                  country and in the future, that will be
      can be amended without violating the                     laws.                                                  necessary. I hope we move in that di-
      agreement. This is the interesting                         Having our immigration laws chal-                    rection. I will oppose these tonight be-
      catch-22 of what we are about to do. In                  lenged in an international court is                    cause of that.
      fact, when asked whether Congress                        something I firmly believe Americans                     With that, I yield the floor.
      would be able to enact laws making                       do not want questioned or subject to an                  The PRESIDING OFFICER. The Sen-
      changes in the H–1B or the L–1 visa                      international body. It is simply called                ator from Utah is recognized.
      programs that affect Chilean and                         national sovereignty.                                    Mr. HATCH. Mr. President, as I un-
      Singaporean nationalities, once Con-                       Many of my constituents have al-                     derstand it, the Presiding Officer would
      gress approved the implementing lan-                     ways been concerned that, as we in-                    like to deliver his remarks. I ask unan-
      guage, the USTR, in a written response                   creasingly internationalize our econ-                  imous consent that he be permitted to
      to questions submitted during a Judici-                  omy, somehow we would lose our own                     speak and then I be permitted to speak.
      ary Committee hearing, stated: ‘‘[the                    ability to legislate and govern our-                     The PRESIDING OFFICER. Is there
      United States] may make modifica-                        selves and control domestic policy. To-                objection?
      tions to the immigration law that was                    night, with passage of these free-trade                  Mr. REID