1 00:00:00,000 --> 00:00:00,000 starttime 1249045647.45338 2 00:02:37,001 --> 00:02:39,000 U.S. HOUSE OF REPRESENTATIVES.] 3 00:02:39,001 --> 00:02:40,000 THE SPEAKER: THE HOUSE WILL BE 4 00:02:40,001 --> 00:02:41,000 IN ORDER. 5 00:02:41,001 --> 00:02:44,000 THE PRAYER WILL BE OFFERED BY 6 00:02:44,001 --> 00:02:52,000 THE GUEST CHAPLAIN, REVEREND 7 00:02:52,001 --> 00:02:53,000 DR. RAYLEY, BAPTIST CHURCH, 8 00:02:53,001 --> 00:02:55,000 BIRDSTOWN, TENNESSEE. 9 00:02:55,001 --> 00:02:56,000 THE CHAPLAIN: WE HUMBLY COME 10 00:02:56,001 --> 00:03:00,000 BEFORE YOU IN THIS HALLOWED 11 00:03:00,001 --> 00:03:02,000 PLACE THAT WE MIGHT SEEK YOUR 12 00:03:02,001 --> 00:03:06,000 WISDOM OF THE WORK FOR THOSE 13 00:03:06,001 --> 00:03:08,000 YOU HAVE CHOSEN TO SERVE OUR 14 00:03:08,001 --> 00:03:09,000 NATION. 15 00:03:09,001 --> 00:03:10,000 FOLLOW THE MANY PEOPLE IN THIS 16 00:03:10,001 --> 00:03:12,000 LAND THAT IS HURTING. 17 00:03:12,001 --> 00:03:14,000 THERE ARE PEOPLE THIS MORNING 18 00:03:14,001 --> 00:03:15,000 WHO ARE AFRAID, THEY ARE 19 00:03:15,001 --> 00:03:17,000 CONFUSED AND THEY ARE FEARFUL 20 00:03:17,001 --> 00:03:18,000 OF THE FUTURE AND WHAT IT 21 00:03:18,001 --> 00:03:20,000 HOLDS. 22 00:03:20,001 --> 00:03:22,000 FATHER, THEY NEED THE HELP OF 23 00:03:22,001 --> 00:03:23,000 THIS CONGRESS. 24 00:03:23,001 --> 00:03:27,000 GOD, ACCEPT THE PRAYER AS OUR 25 00:03:27,001 --> 00:03:28,000 CONFESSION OF FAITH IN YOU AND 26 00:03:28,001 --> 00:03:31,000 TOTAL DEPENDENCE ON YOU. 27 00:03:31,001 --> 00:03:33,000 FORGIVE US FOR WE HAVE FAILED 28 00:03:33,001 --> 00:03:35,000 AND FALLEN SHORT. 29 00:03:35,001 --> 00:03:38,000 FATHER, YOU'D KNOW THE SOLUTION OUR NATION NEEDS. 30 00:03:38,001 --> 00:03:40,000 TEACH IT TO THESE WHO'VE BEEN 31 00:03:40,001 --> 00:03:42,000 CHOSEN TO LEAD OUR NATION SO 32 00:03:42,001 --> 00:03:43,000 THAT THEY CAN KNOW YOUR WILL AS 33 00:03:43,001 --> 00:03:47,000 WELL. 34 00:03:47,001 --> 00:03:48,000 FATHER, MAY FUTURE GENERATIONS 35 00:03:48,001 --> 00:03:50,000 CALL THESE WHO ARE NOW 36 00:03:50,001 --> 00:03:51,000 ASSEMBLED THE GREATEST 37 00:03:51,001 --> 00:03:53,000 GENERATION. 38 00:03:53,001 --> 00:03:54,000 LET THEM BE LIKE THOSE WHO CAME 39 00:03:54,001 --> 00:03:56,000 BEFORE THEM WHO ROSE TO THEIR 40 00:03:56,001 --> 00:03:57,000 COUNTRY'S NEED AND WERE THUS 41 00:03:57,001 --> 00:03:59,000 CALLED. 42 00:03:59,001 --> 00:04:05,000 MAY THEY SAY OF THESE THEY DID 43 00:04:05,001 --> 00:04:06,000 THEIR BEST, THEY ARE GREAT -- A 44 00:04:06,001 --> 00:04:12,000 GREAT GENERATION. 45 00:04:12,001 --> 00:04:13,000 FATHER 46 00:04:13,001 --> 00:04:14,000 NAME. 47 00:04:14,001 --> 00:04:16,000 GOD BLESS AMERICA. 48 00:04:16,001 --> 00:04:17,000 THE SPEAKER: THE CHAIR HAS 49 00:04:17,001 --> 00:04:18,000 EXAMINED THE JOURNAL OF THE 50 00:04:18,001 --> 00:04:20,000 LAST DAY'S PROCEEDINGS AND 51 00:04:20,001 --> 00:04:22,000 ANNOUNCES TO THE HOUSE HER APPROVAL THEREOF. 52 00:04:22,001 --> 00:04:24,000 PURSUANT TO CLAUSE 1 OF RULE 1 53 00:04:24,001 --> 00:04:25,000 THE JOURNAL STANDS APPROVED. 54 00:04:25,001 --> 00:04:26,000 THE PLEDGE OF ALLEGIANCE WILL 55 00:04:26,001 --> 00:04:27,000 BE LED BY THE GENTLEMAN FROM 56 00:04:27,001 --> 00:04:30,000 SOUTH CAROLINA, CONGRESSMAN 57 00:04:30,001 --> 00:04:31,000 MR. WILSON: EVERYONE, INCLUDING 58 00:04:31,001 --> 00:04:32,000 OUR GUESTS IN THE GALLERY, 59 00:04:32,001 --> 00:04:34,000 PLEASE JOIN IN. 60 00:04:34,001 --> 00:04:36,000 I PLEDGE ALLEGIANCE TO THE FLAG 61 00:04:36,001 --> 00:04:37,000 OF THE UNITED STATES OF AMERICA 62 00:04:37,001 --> 00:04:38,000 AND TO THE REPUBLIC FOR WHICH 63 00:04:38,001 --> 00:04:40,000 IT STANDS, ONE NATION UNDER 64 00:04:40,001 --> 00:04:44,000 G 65 00:04:44,001 --> 00:04:47,000 AND JUSTICE FOR ALL. 66 00:04:47,001 --> 00:04:48,000 THE SPEAKER: WITHOUT OBJECTION, 67 00:04:48,001 --> 00:04:50,000 THE GENTLEMAN FROM TENNESSEE, 68 00:04:50,001 --> 00:04:51,000 CONGRESSMAN DAVIS, IS 69 00:04:51,001 --> 00:04:55,000 RECOGNIZED FOR ONE MINUTE. 70 00:04:55,001 --> 00:04:58,000 MR. DAVIS: MADAM SPEAKER, IT'S 71 00:04:58,001 --> 00:05:00,000 AN HONOR TO THANK MY FRIEND AND 72 00:05:00,001 --> 00:05:02,000 PASTOR, DR. IVAN RALEY OF FIRST 73 00:05:02,001 --> 00:05:03,000 BAPTIST CHURCH IN BIRDSTOWN FOR 74 00:05:03,001 --> 00:05:06,000 JOING US TODAY. 75 00:05:06,001 --> 00:05:07,000 PASTOR RALEY HAS SERVED WITH 76 00:05:07,001 --> 00:05:10,000 OUR CHUMP SINCE 2002 AND IS 77 00:05:10,001 --> 00:05:13,000 RETIRED AFTER YEARS OF 78 00:05:13,001 --> 00:05:15,000 SERVICE AS REGIONAL VICE 79 00:05:15,001 --> 00:05:19,000 PRESIDENT OF THE REGIONAL HOME. 80 00:05:19,001 --> 00:05:23,000 HE'S TRAVELED ON MISSION TRIPS 81 00:05:23,001 --> 00:05:26,000 TO BELIZE, GUATEMALA. 82 00:05:26,001 --> 00:05:34,000 AND IN 2001 HE WENT TO NEW YORK 83 00:05:34,001 --> 00:05:36,000 TO SERVE AS CHAPLAIN AFTER THE 84 00:05:36,001 --> 00:05:38,000 9/11 ATTACK. 85 00:05:38,001 --> 00:05:40,000 HE ALSO WENT TO RWANDA IN 1994. 86 00:05:40,001 --> 00:05:43,000 I WANT TO THANK IVAN FOR BEING 87 00:05:43,001 --> 00:05:44,000 HERE TODAY AND FOR SERVING OUR 88 00:05:44,001 --> 00:05:46,000 CHURCH FAMILY FOR THE PAST 89 00:05:46,001 --> 00:05:48,000 SEVEN YEARS. 90 00:05:48,001 --> 00:05:51,000 I LOOK TO HIM TO HELP BUILD A 91 00:05:51,001 --> 00:05:52,000 STRONGER AMERICA FOR OUR 92 00:05:52,001 --> 00:05:55,000 CHILDREN AND OUR GRANDCHILDREN. 93 00:05:55,001 --> 00:05:56,000 NOW IN THE MOST DIFFICULT 94 00:05:56,001 --> 00:05:58,000 ECONOMY, I APPRECIATE PASTOR 95 00:05:58,001 --> 00:06:00,000 RALEY BEING THERE TO JOIN ME IN 96 00:06:00,001 --> 00:06:01,000 SEARCH OF FINDANS AND WISDOM. 97 00:06:01,001 --> 00:06:04,000 ON BEHALF OF MY COLLEAGUES, I 98 00:06:04,001 --> 00:06:07,000 WELC 99 00:06:07,001 --> 00:06:09,000 THANK HIM FOR DELIVERING OUR 100 00:06:09,001 --> 00:06:11,000 INVOCATION HERE THIS MORNING. 101 00:06:11,001 --> 00:06:12,000 THE SPEAKER PRO TEMPORE: THE 102 00:06:12,001 --> 00:06:14,000 GENTLEMAN YIELDS BACK E BALANCE OF HIS TIME. 103 00:06:14,001 --> 00:06:16,000 THE CHAIR WILL ENTERTAIN UP TO 104 00:06:16,001 --> 00:06:18,000 FIVE FURTHER REQUESTS OF ONE-MINUTE SPEECHES ON EACH 105 00:06:18,001 --> 00:06:19,000 SIDE OF THE AISLE. 106 00:06:19,001 --> 00:06:21,000 FOR WHAT PURPOSE DOES THE 107 00:06:21,001 --> 00:06:22,000 GENTLELADY FROM OHIO RISE? 108 00:06:22,001 --> 00:06:23,000 >> I ASK UNANIMOUS CONSENT TO 109 00:06:23,001 --> 00:06:25,000 ADDRESS THE HOUSE FOR ONE 110 00:06:25,001 --> 00:06:27,000 MINUTE. 111 00:06:27,001 --> 00:06:28,000 WITHOUT OBJECTION, SO ORDERED. 112 00:06:28,001 --> 00:06:30,000 MS. KILROY: THANK YOU, MR. 113 00:06:30,001 --> 00:06:32,000 SPEAKER. IN MY DISTRICT AS MANY 114 00:06:32,001 --> 00:06:35,000 DISTRICTS AROUND THE COUNTRY, 115 00:06:35,001 --> 00:06:36,000 MEDICAL DEBT HAS BEEN A 116 00:06:36,001 --> 00:06:37,000 CONTRIBUTING FACTOR IN 117 00:06:37,001 --> 00:06:39,000 BANKRUPTCIES AND IN 118 00:06:39,001 --> 00:06:41,000 FORECLOSURES. 119 00:06:41,001 --> 00:06:44,000 IN FACT, 72 MILLION AMERICANS 120 00:06:44,001 --> 00:06:46,000 TODAY ARE AFFECTED BY THE ISSUE 121 00:06:46,001 --> 00:06:52,000 OF MEDICAL DEBT. 122 00:06:52,001 --> 00:06:53,000 ANOTHER MORE INSIDIOUS BUT 123 00:06:53,001 --> 00:06:55,000 OTHER ISSUE FROM MEDICAL DEBT 124 00:06:55,001 --> 00:06:57,000 AND ONE THAT COSTS OUR 125 00:06:57,001 --> 00:06:58,000 CONSTITUENTS A GREAT DEAL OF 126 00:06:58,001 --> 00:07:01,000 MONEY IS THE ISSUE OF MEDICAL 127 00:07:01,001 --> 00:07:05,000 DEBT THAT IS PAID LET OR IS 128 00:07:05,001 --> 00:07:07,000 SETTLED EVENTUALLY BUT PAID, 129 00:07:07,001 --> 00:07:08,000 NEVERTHELESS, BUT HAS GONE TO 130 00:07:08,001 --> 00:07:10,000 COLLECTIONS AND IS REPORTED 131 00:07:10,001 --> 00:07:12,000 NEGATIVELY ON A CREDIT REPORT 132 00:07:12,001 --> 00:07:13,000 OR SCORE. 133 00:07:13,001 --> 00:07:16,000 28 MILLION AMERICANS PAY THEIR 134 00:07:16,001 --> 00:07:17,000 MEDICAL DEBT OFF OVER A PERIOD 135 00:07:17,001 --> 00:07:19,000 OF TIME. 136 00:07:19,001 --> 00:07:20,000 SOME OF THOSE ACCRUE DEBT ONLY 137 00:07:20,001 --> 00:07:22,000 BECAUSE OF A DISPUTE WITH AN 138 00:07:22,001 --> 00:07:24,000 INSURANCE COMPANY. 139 00:07:24,001 --> 00:07:26,000 SOME OF THEM, BECAUSE OF THE 140 00:07:26,001 --> 00:07:28,000 HIGH COST OF MEDICAL CARE AND 141 00:07:28,001 --> 00:07:32,000 HIGH DEDUCTIBLES OR CAPS THAT 142 00:07:32,001 --> 00:07:33,000 VE BEEN EXCEEDED DURING THE 143 00:07:33,001 --> 00:07:34,000 COURSE OF THE YEAR. 144 00:07:34,001 --> 00:07:37,000 SOME BECAUSE OF JOB LOSS. 145 00:07:37,001 --> 00:07:39,000 BUT THAT NEGATIVE CREDIT SCORE 146 00:07:39,001 --> 00:07:40,000 STAYS WITH THEM FOR YEARS TO 147 00:07:40,001 --> 00:07:42,000 COME. 148 00:07:42,001 --> 00:07:43,000 THE SPEAKER PRO TEMPORE: THE 149 00:07:43,001 --> 00:07:44,000 GENTLELADY'S TIME HAS EXPIRED. 150 00:07:44,001 --> 00:07:46,000 MS. KILROY: THANK YOU. 151 00:07:46,001 --> 00:07:47,000 THE SPEAKER PRO TEMPORE: FOR 152 00:07:47,001 --> 00:07:48,000 WHAT PURPOSE DOES THE 153 00:07:48,001 --> 00:07:49,000 GENTLELADY FROM OHIO RISE? 154 00:07:49,001 --> 00:07:51,000 >> I ASK UNANIMOUS CONSENT TO 155 00:07:51,001 --> 00:07:52,000 REVISE AND EXTEND MY REMARKS. 156 00:07:52,001 --> 00:07:53,000 THE SPEAKER PRO TEMPORE: 157 00:07:53,001 --> 00:07:54,000 WITHOUT OBJECTION, SO ORDERED. 158 00:07:54,001 --> 00:07:56,000 MRS. EMERSON: I RISE TO 159 00:07:56,001 --> 00:07:57,000 RECOGNIZE THE 150TH ANNIVERSARY 160 00:07:57,001 --> 00:07:59,000 OF MY CHILDHOOD PARISH, ST. 161 00:07:59,001 --> 00:08:02,000 CATHOLIC ROMAN CHURCH IN 162 00:08:02,001 --> 00:08:03,000 LOVELAND, OHIO. 163 00:08:03,001 --> 00:08:05,000 10 FAMILIES WORKED TOGETHER TO 164 00:08:05,001 --> 00:08:06,000 RAISE MONEY TO PURCHASE AN OLD 165 00:08:06,001 --> 00:08:09,000 ONE-ROOM SCHOOLHOUSE FROM THE 166 00:08:09,001 --> 00:08:11,000 VILLAGE OF LOVELAND. 167 00:08:11,001 --> 00:08:13,000 LIKE MANY, THE ORIGINAL DID NOT 168 00:08:13,001 --> 00:08:15,000 MEET THE NEEDS OF THE LOCAL 169 00:08:15,001 --> 00:08:16,000 CATHOLIC COMMUNITY FORERY 170 00:08:16,001 --> 00:08:17,000 LONG. 171 00:08:17,001 --> 00:08:19,000 AND IN 1893 THEY BUILT THE 172 00:08:19,001 --> 00:08:21,000 SECOND HOUSE OF WORSHIP ON THAT 173 00:08:21,001 --> 00:08:22,000 SITE. 174 00:08:22,001 --> 00:08:24,000 A FEW YEARS LATER, A SCHOOL WAS 175 00:08:24,001 --> 00:08:25,000 BUILT. 176 00:08:25,001 --> 00:08:26,000 THIS CHURCH WILL HOLD A SPECIAL 177 00:08:26,001 --> 00:08:28,000 PLACE ON MY HEART BECAUSE MY 178 00:08:28,001 --> 00:08:29,000 HOME IS BUILT FROM ITS BRICKS. 179 00:08:29,001 --> 00:08:32,000 THE PASCHISH WAS CELEBRATING 180 00:08:32,001 --> 00:08:33,000 THE -- PARISH WAS CELEBRATING 181 00:08:33,001 --> 00:08:35,000 THE 100TH ANNIVERSARY, THEY 182 00:08:35,001 --> 00:08:37,000 WERE FORCED TO GO TO A DIFFERENT SITE. 183 00:08:37,001 --> 00:08:39,000 I WAS IN ATTENDANCE THAT DAY 50 184 00:08:39,001 --> 00:08:41,000 YEARS AGO WHEN THE ARCHBISHOP 185 00:08:41,001 --> 00:08:42,000 DEDICATED THE NEW SCHOOL 186 00:08:42,001 --> 00:08:44,000 BUILDING WHICH HOUSED THE 187 00:08:44,001 --> 00:08:45,000 CHURCH AND THE CAFETERIA. 188 00:08:45,001 --> 00:08:47,000 THEY REQUIRED SEPARATE 189 00:08:47,001 --> 00:08:48,000 ADDITIONS TO HOUSE THE CHURCH. 190 00:08:48,001 --> 00:08:49,000 AND IN 2002, THE CHURCH FINALLY 191 00:08:49,001 --> 00:08:50,000 MOVED OUT OF THE SCHOOL AND 192 00:08:50,001 --> 00:08:52,000 INTO ITS OWN BUILDING. 193 00:08:52,001 --> 00:08:54,000 EACH YEAR I'VE HAD THE 194 00:08:54,001 --> 00:08:55,000 PRIVILEGE TO HOST THE EIGHTH 195 00:08:55,001 --> 00:08:58,000 GRADE STUDENTS TO THE CAPITAL. 196 00:08:58,001 --> 00:09:00,000 I AM HONORED TO BE THEIR 197 00:09:00,001 --> 00:09:01,000 CONGRESSWOMAN AND TOUR GUIDE. 198 00:09:01,001 --> 00:09:03,000 MR. SPEAKER, I ASK YOU TO HELP 199 00:09:03,001 --> 00:09:04,000 CELEBRATE THEIR 150TH 200 00:09:04,001 --> 00:09:06,000 ANNIVERSARY AND WISH THEM 201 00:09:06,001 --> 00:09:07,000 CONTINUED SUCCESS. 202 00:09:07,001 --> 00:09:08,000 GOD BLESS THEM AND GOD BLESS 203 00:09:08,001 --> 00:09:10,000 THE UNITED STATES OF AMERICA. 204 00:09:10,001 --> 00:09:11,000 THE SPEAKER PRO TEMPORE: THE 205 00:09:11,001 --> 00:09:14,000 GENTLEWOMAN YIELDS BACK THE 206 00:09:14,001 --> 00:09:15,000 BALANCE OF HER TIME. 207 00:09:15,001 --> 00:09:16,000 FOR WHAT PURPOSE DOE 208 00:09:16,001 --> 00:09:18,000 GENTLELADY RISE? 209 00:09:18,001 --> 00:09:20,000 >> TO ADDRESS THOUGH THE HOUSE FOR ONE MINUTE. 210 00:09:20,001 --> 00:09:21,000 THE SPEAKER PRO TEMPORE: 211 00:09:21,001 --> 00:09:23,000 WITHOUT OBJECTION, SO ORDERED. 212 00:09:23,001 --> 00:09:24,000 >> DURING THE UPCOMING AUGUST 213 00:09:24,001 --> 00:09:25,000 WORK PERIOD MY COLLEAGUES AND I 214 00:09:25,001 --> 00:09:27,000 WILL TRAVEL BACK TO OUR 215 00:09:27,001 --> 00:09:28,000 DISTRICTS TO TALK ABOUT 216 00:09:28,001 --> 00:09:29,000 MEANINGFUL HEALTH CARE REFORM 217 00:09:29,001 --> 00:09:30,000 TO FIX WHAT'S BROKEN AND 218 00:09:30,001 --> 00:09:32,000 PROTECTS WHAT WORKS. 219 00:09:32,001 --> 00:09:33,000 ONE THING THAT DOES NOT WORK IS 220 00:09:33,001 --> 00:09:34,000 THE SKYROCKETING COST OF 221 00:09:34,001 --> 00:09:35,000 MEDICAL TREATMENT IN THE UNITED 222 00:09:35,001 --> 00:09:37,000 STATES. 223 00:09:37,001 --> 00:09:38,000 IF CONGRESS IS SERIOUS ABOUT 224 00:09:38,001 --> 00:09:39,000 TACKLING THE ISSUE, WE MUST 225 00:09:39,001 --> 00:09:40,000 ADDRESTHE GROWING CONCERN OF 226 00:09:40,001 --> 00:09:42,000 CHRONIC DISEASE. 227 00:09:42,001 --> 00:09:44,000 PREVENTABLE CONDITION THIS IS A 228 00:09:44,001 --> 00:09:49,000 ACCOUNT FOR 85% OF TOTAL HEALTH 229 00:09:49,001 --> 00:09:50,000 SPENDING OSMBEESITY ALONE COSTS 230 00:09:50,001 --> 00:09:53,000 $-- OBESE -- OF TOTAL HEALTH 231 00:09:53,001 --> 00:09:54,000 SPENDING. 232 00:09:54,001 --> 00:09:57,000 OBESITY ONE COSTS BILLIONS OF 233 00:09:57,001 --> 00:10:00,000 DOLLARS EACH YEAR. 234 00:10:00,001 --> 00:10:05,000 I'M INTRODUCING LEGISLATION TO 235 00:10:05,001 --> 00:10:07,000 OFFER A 20% DISCOUNT FOR THOSE 236 00:10:07,001 --> 00:10:10,000 WHO MAKE POSITIVE HEALTH 237 00:10:10,001 --> 00:10:13,000 CHOICES, SUCH AS STOPPG 238 00:10:13,001 --> 00:10:14,000 SMOKING, MAINTAINING A HEALTHY 239 00:10:14,001 --> 00:10:17,000 BODY WEIGHT. 240 00:10:17,001 --> 00:10:18,000 THIS WILL DRAMATICALLY REDUCE 241 00:10:18,001 --> 00:10:21,000 OVERALL COSTS. 242 00:10:21,001 --> 00:10:22,000 AS WE LOOK AT HEALTH INSURANCE 243 00:10:22,001 --> 00:10:24,000 REFORM, WE NEED TO MAKE SURE WE 244 00:10:24,001 --> 00:10:27,000 LOOK AT ENCOURAGING WELLNESS. 245 00:10:27,001 --> 00:10:28,000 I URGE MY COLLEAGUES TO SUPPORT 246 00:10:28,001 --> 00:10:30,000 THIS LEGISLATION AND I YIELD 247 00:10:30,001 --> 00:10:31,000 BACK. 248 00:10:31,001 --> 00:10:32,000 THE SPEAKER PRO TEMPORE: FOR 249 00:10:32,001 --> 00:10:34,000 WHAT PURPOSE DOES THE GENTLEMAN 250 00:10:34,001 --> 00:10:35,000 FROM SOUTH CAROLINA RISE? 251 00:10:35,001 --> 00:10:36,000 >> I ASK PERMISSION TO ADD 252 00:10:36,001 --> 00:10:38,000 THE HOUSE FOR ONE MINUTE AND 253 00:10:38,001 --> 00:10:39,000 REVISE AND EXTEND MY REMARKS. 254 00:10:39,001 --> 00:10:40,000 THE SPEAKER PRO TEMPORE: 255 00:10:40,001 --> 00:10:43,000 WITHOUT OBJECTION, SO ORDERED. 256 00:10:43,001 --> 00:10:45,000 MR. WILSON: I RISE IN FOND FARE 257 00:10:45,001 --> 00:10:49,000 WELL TO A MEMBER OF THE 258 00:10:49,001 --> 00:10:50,000 CONGRESSIONAL STAFF, ALLEN 259 00:10:50,001 --> 00:10:52,000 AMAR. 260 00:10:52,001 --> 00:10:53,000 HE SERVED IN OUR FIELD OFFICE 261 00:10:53,001 --> 00:10:56,000 BEFORE COMING HERE. 262 00:10:56,001 --> 00:10:59,000 HE IS LEAVING WASHINGTON BEHIND 263 00:10:59,001 --> 00:11:01,000 FOR HIS LAW SCHOOL CAREER IN 264 00:11:01,001 --> 00:11:02,000 OHIO. 265 00:11:02,001 --> 00:11:05,000 HE WILL BE JOINED BY HIS WIFE 266 00:11:05,001 --> 00:11:06,000 AMBER WHO PLIVES SERVED ON THE 267 00:11:06,001 --> 00:11:08,000 STAFF OF THE SECOND DISTRICT 268 00:11:08,001 --> 00:11:09,000 WITH DR. PHIL ROE. 269 00:11:09,001 --> 00:11:12,000 HE'S BEEN VITAL IN HELPING 270 00:11:12,001 --> 00:11:13,000 STAFF WITH MILITARY ISSUES, 271 00:11:13,001 --> 00:11:15,000 WHERE HE'S BROUGHT HIS OWN 272 00:11:15,001 --> 00:11:17,000 EXPERIENCE AS A VETERAN OF THE 273 00:11:17,001 --> 00:11:19,000 ARMY NATIONAL GUARD IN IRAQ HE 274 00:11:19,001 --> 00:11:20,000 APPRECIATES THE SERVICE 275 00:11:20,001 --> 00:11:21,000 MEMBERS, FAMILIES, AND 276 00:11:21,001 --> 00:11:26,000 VETERANS. 277 00:11:26,001 --> 00:11:27,000 HE'S THE SON OF ALLEN AND DEBRA 278 00:11:27,001 --> 00:11:30,000 AMAR OF JOHNSON TENNESSEE AND 279 00:11:30,001 --> 00:11:32,000 BROTHER OF ADAM AMAR. 280 00:11:32,001 --> 00:11:33,000 WE ARE ALL TREMENDOUSLY PROUD 281 00:11:33,001 --> 00:11:36,000 OF ALLEN AND AMBER AND WISH 282 00:11:36,001 --> 00:11:38,000 THEM AND THEIR YOUNG SON, 283 00:11:38,001 --> 00:11:39,000 ALEXANDER JACOB, ALL THE BEST 284 00:11:39,001 --> 00:11:43,000 IN THE YEARS TO COME. 285 00:11:43,001 --> 00:11:45,000 GOD SPEED TO THE AMAR FAMILY. 286 00:11:45,001 --> 00:11:47,000 IN CONCLUSION, GOD BLESS OUR 287 00:11:47,001 --> 00:11:49,000 TROOPS, WE'LL NEVER FORGET 288 00:11:49,001 --> 00:11:50,000 SEPTEMBER 11 AND THE GLOBAL WAR 289 00:11:50,001 --> 00:11:51,000 ON TERRORISM. 290 00:11:51,001 --> 00:11:52,000 THE SPEAKER PRO TEMPORE: FOR 291 00:11:52,001 --> 00:11:54,000 WHAT PURPOSE DOES THE GENTLEMAN 292 00:11:54,001 --> 00:11:55,000 FROM MASSACHUSETTS RISE? 293 00:11:55,001 --> 00:11:56,000 >> TO ADDRESS THE HOUSE FOR ONE 294 00:11:56,001 --> 00:11:57,000 MINUTE AND REVISE AND EXTEND MY 295 00:11:57,001 --> 00:11:59,000 REMARKS. 296 00:11:59,001 --> 00:12:00,000 THE SPEAKER PRO TEMPORE: 297 00:12:00,001 --> 00:12:01,000 WITHOUT OBJECTION, SO ORDERED. 298 00:12:01,001 --> 00:12:03,000 >> AS WE DEBATE HEALTH CARE 299 00:12:03,001 --> 00:12:04,000 REFORM LEGISLATION, MY 300 00:12:04,001 --> 00:12:06,000 REPUBLICAN FRIENDS SAY, THINGS 301 00:12:06,001 --> 00:12:07,000 ARE FINE JUST THE WAY THEY 302 00:12:07,001 --> 00:12:09,000 ARE. 303 00:12:09,001 --> 00:12:10,000 TAKE TWO TAX BREAKS AND CALL ME 304 00:12:10,001 --> 00:12:15,000 IN THE MORNING THIS DESPITE THE 305 00:12:15,001 --> 00:12:18,000 FACT THAT HEALTH CARE 306 00:12:18,001 --> 00:12:20,000 GROWN FASTER THAN WAGES THIS IN 307 00:12:20,001 --> 00:12:22,000 SPITE OF THE FACT THAT 46 308 00:12:22,001 --> 00:12:25,000 MILLION AMERICANS ARE 309 00:12:25,001 --> 00:12:26,000 UNINSURED. 310 00:12:26,001 --> 00:12:28,000 THE AMERICAN PEOPLE DON'T 311 00:12:28,001 --> 00:12:29,000 DESERVE HEALTH REFORM, MY 312 00:12:29,001 --> 00:12:31,000 RESPONSE IS, ARE YOU KIDDING? 313 00:12:31,001 --> 00:12:33,000 THE SPEAKER PRO TEMPORE: THE 314 00:12:33,001 --> 00:12:34,000 GENTLEMAN YIELDS BACK HIS TIME. 315 00:12:34,001 --> 00:12:36,000 FOR WHAT PURPOSE DOES THE 316 00:12:36,001 --> 00:12:37,000 GENTLEMAN FROM LOUISIANA RISE? 317 00:12:37,001 --> 00:12:39,000 >> TO ADDRESS THE HOUSE FOR ONE 318 00:12:39,001 --> 00:12:40,000 MINUTE AND REVISE AND EXTEND MY 319 00:12:40,001 --> 00:12:42,000 REMARKS. 320 00:12:42,001 --> 00:12:43,000 THE SPEAKER PRO TEMPORE: 321 00:12:43,001 --> 00:12:45,000 WITHOUT OBJECTION, SOED OR 322 00:12:45,001 --> 00:12:47,000 EARD. 323 00:12:47,001 --> 00:12:49,000 MR. CAO: AUGUST 24, 2009, MARKS 324 00:12:49,001 --> 00:12:50,000 THE FOURTH ANNIVERSARY OF 325 00:12:50,001 --> 00:12:54,000 HURRICANE KATRINA. 326 00:12:54,001 --> 00:12:57,000 AS I RETURN TO MY DISTRICT, I'M 327 00:12:57,001 --> 00:12:58,000 REMINDED NOT SO MUCH OF THE 328 00:12:58,001 --> 00:13:01,000 HORROR WREAKED ON THE INNOCENT 329 00:13:01,001 --> 00:13:03,000 BUT IN THE POWER OF EVERY 330 00:13:03,001 --> 00:13:04,000 CITIZEN AS THEY RETURNED TO NEW 331 00:13:04,001 --> 00:13:06,000 ORLEANS. 332 00:13:06,001 --> 00:13:07,000 I LOST EVERYTHING IN THE STORM. 333 00:13:07,001 --> 00:13:08,000 MY WIFE AND I WERE FORCED TO 334 00:13:08,001 --> 00:13:10,000 START OVER AFTER LOSING OUR 335 00:13:10,001 --> 00:13:12,000 HOME AND BUSINESS. 336 00:13:12,001 --> 00:13:15,000 AS KATRINA BECAME THE BYWORD OF 337 00:13:15,001 --> 00:13:17,000 OUR NATION'S SOCIAL ILLS AND 338 00:13:17,001 --> 00:13:20,000 FAILURE MANY QUESTIONETHE LOGIC OF REBUILDING. 339 00:13:20,001 --> 00:13:21,000 BUT ONE ONLY HAS TO LOOK AROUND 340 00:13:21,001 --> 00:13:23,000 W ORLEANS TODAY TO DISPUTE 341 00:13:23,001 --> 00:13:25,000 THAT LINE OF REASONING. 342 00:13:25,001 --> 00:13:28,000 NEW ORLEANS AND JEFFERSON 343 00:13:28,001 --> 00:13:32,000 PARISHES ARE REEME ERGING AS 344 00:13:32,001 --> 00:13:34,000 THE -- RE-EMERGING AS THE 345 00:13:34,001 --> 00:13:35,000 PROSPEROUS AREAS THEY ONCE 346 00:13:35,001 --> 00:13:36,000 WERE. 347 00:13:36,001 --> 00:13:38,000 THEY ARE STARTING TO BOOST 348 00:13:38,001 --> 00:13:39,000 COMMERCE AND HELP THE JOB 349 00:13:39,001 --> 00:13:41,000 MARKET. 350 00:13:41,001 --> 00:13:46,000 THE STAFFORD ACT MUST BE 351 00:13:46,001 --> 00:13:48,000 REDESIGNED TO BRING CENTRAL 352 00:13:48,001 --> 00:13:49,000 NATURAL DISASTER ASSISTANCE AND 353 00:13:49,001 --> 00:13:52,000 THERE MUST BE A FUNDAMENTAL 354 00:13:52,001 --> 00:13:53,000 CHANGE IN FEMA'S APPROACH TO 355 00:13:53,001 --> 00:13:55,000 CATASTROPHIC DISASTERS. 356 00:13:55,001 --> 00:13:57,000 THE SPEAKER PRO TEMPORE: FOR WHAT PURPOSE DOES THE 357 00:13:57,001 --> 00:13:58,000 GENTLELADY FROM MARYLAND RISE? 358 00:13:58,001 --> 00:13:59,000 >> TO ADDRESS THE HOUSE FOR ONE 359 00:13:59,001 --> 00:14:01,000 MINUTE AND REVISE AND EXTEND. 360 00:14:01,001 --> 00:14:03,000 THE SPEAKER PRO TEMPORE: 361 00:14:03,001 --> 00:14:04,000 WITHOUT OBJECTION, ORDED. 362 00:14:04,001 --> 00:14:05,000 MS. EDWARDS: MR. SPEAKER, TODAY 363 00:14:05,001 --> 00:14:07,000 IT'S TIME FOR HEALTH CARE 364 00:14:07,001 --> 00:14:08,000 REFORM. 365 00:14:08,001 --> 00:14:09,000 NOW THERE ARE SOME OUT THERE 366 00:14:09,001 --> 00:14:11,000 WHO LIKE TO CLAIM THAT WE DON'T 367 00:14:11,001 --> 00:14:13,000 NEED TO DO REFORM NOW BECAUSE 368 00:14:13,001 --> 00:14:14,000 THE PRIVATE MARKETPLACE WILL 369 00:14:14,001 --> 00:14:15,000 TAKE CARE OF EVERYTHING. 370 00:14:15,001 --> 00:14:17,000 THE PRIVATE MARKETPLACE HASN'T 371 00:14:17,001 --> 00:14:19,000 TAKEN CAROF ANYTHING EXCEPT 372 00:14:19,001 --> 00:14:21,000 TO INCREASEEDUCTIBLES, 373 00:14:21,001 --> 00:14:22,000 INCREASE PREMIUMS, INCREASE 374 00:14:22,001 --> 00:14:24,000 CO-PAYS AND COST THE AMERICAN 375 00:14:24,001 --> 00:14:25,000 PEOPLE. 376 00:14:25,001 --> 00:14:26,000 LET ME TELL YOU WHAT THAT MEANS 377 00:14:26,001 --> 00:14:28,000 IN MY HOME STATE IN MARYLAND. 378 00:14:28,001 --> 00:14:29,000 IN 2001, IF YOU WERE PAYING THE 379 00:14:29,001 --> 00:14:32,000 AVERAGE OF $600 A MONTH FOR 380 00:14:32,001 --> 00:14:33,000 YOUR HEALTH CARE, TODAY YOU'RE 381 00:14:33,001 --> 00:14:35,000 PAYING AN AVERAGE OF $1,000 A 382 00:14:35,001 --> 00:14:36,000 MONTH FOR YOUR HEALTH CARE. 383 00:14:36,001 --> 00:14:40,000 I DON'T KNOW ABOUT ANYBODY ELSE 384 00:14:40,001 --> 00:14:41,000 BUT IN MY HOUSEHOLD, AN EXTRA 385 00:14:41,001 --> 00:14:43,000 $400 A MONTH IS REAL MONEY, 386 00:14:43,001 --> 00:14:45,000 IT'S GROCERY ARES, AN ELECTRIC 387 00:14:45,001 --> 00:14:46,000 BILL, IT'S DAY CARE. 388 00:14:46,001 --> 00:14:48,000 THIS IS AN IMPORTANT COST TO 389 00:14:48,001 --> 00:14:51,000 THE AMERICAN PEOPLE. 390 00:14:51,001 --> 00:14:52,000 IT'S TIME FOR US TO ENACT A 391 00:14:52,001 --> 00:14:54,000 UNIQUELY AMERICAN PLAN, DOESN'T 392 00:14:54,001 --> 00:14:55,000 EMBRACE THE INSURANCE INDUSTRY 393 00:14:55,001 --> 00:14:57,000 OR CLOSE DOWN THE INSURANCE 394 00:14:57,001 --> 00:14:59,000 INDUSTRY BUT SAYS YOU HAVE TO 395 00:14:59,001 --> 00:15:01,000 COMPETE WITH A PUBLIC PLAN THAT 396 00:15:01,001 --> 00:15:02,000 RELIES ON MEDICARE RATE THAT 397 00:15:02,001 --> 00:15:04,000 ENSURES WE HAVE REAL 398 00:15:04,001 --> 00:15:05,000 COMPETITION AND THAT THERE'S 399 00:15:05,001 --> 00:15:06,000 REAL CHANGE FOR THE AMERICAN 400 00:15:06,001 --> 00:15:08,000 PEOPLE. 401 00:15:08,001 --> 00:15:09,000 IT'S TIME FOR US TO GET THIS 402 00:15:09,001 --> 00:15:10,000 DONE, TO EDUCATE THE AMERICAN 403 00:15:10,001 --> 00:15:11,000 PEOPLE, GET THIS DONE FOR THE 404 00:15:11,001 --> 00:15:13,000 PUBLIC SO CAN BE 405 00:15:13,001 --> 00:15:14,000 COMPETIVE. 406 00:15:14,001 --> 00:15:16,000 I YIELD. 407 00:15:16,001 --> 00:15:17,000 THE SPEAKER PRO TEMPORE: THE 408 00:15:17,001 --> 00:15:18,000 GENTLELADY YIELDS BACK. 409 00:15:18,001 --> 00:15:19,000 FOR WHAT PURPOSE DOES THE 410 00:15:19,001 --> 00:15:21,000 GENTLEMAN FR 411 00:15:21,001 --> 00:15:23,000 MR. POE: REQUEST PERMISSION TO ADDRESS THE HOUSE FOR ONE 412 00:15:23,001 --> 00:15:24,000 MINUTE? 413 00:15:24,001 --> 00:15:26,000 THE SPEAKER PRO TEMPORE: 414 00:15:26,001 --> 00:15:27,000 WITHOUT OBJECTION, ORDERED. 415 00:15:27,001 --> 00:15:28,000 MR. POE: GOVERNMENT-RUN HEALTH 416 00:15:28,001 --> 00:15:29,000 CARE HAS BEEN AROUND IN ENGLAND 417 00:15:29,001 --> 00:15:31,000 FOR YEARS. 418 00:15:31,001 --> 00:15:33,000 IN THOSE YEARS, THE GOVERNMENT STILL HASN'T GOT IT RIGHT. 419 00:15:33,001 --> 00:15:35,000 BRITISH HEALTH CARE COMMISSION, 420 00:15:35,001 --> 00:15:36,000 IRONICALLY RENAMED THE CARE 421 00:15:36,001 --> 00:15:39,000 QUALITY COMMISSION, REPORTED 422 00:15:39,001 --> 00:15:41,000 THAT 1,200 PEOPLE HAVE DIED 423 00:15:41,001 --> 00:15:42,000 NEEDLESSLY AT TWO BRITISH 424 00:15:42,001 --> 00:15:44,000 HOSPITALS OVER T 425 00:15:44,001 --> 00:15:45,000 YEARS. 426 00:15:45,001 --> 00:15:47,000 THE TWO HOSPITALS HAVE FILTHY 427 00:15:47,001 --> 00:15:48,000 CONDITIONS, UNHYGIENIC 428 00:15:48,001 --> 00:15:49,000 PRACTIS AND THE GOVERNMENT 429 00:15:49,001 --> 00:15:51,000 REPORT SAYS GOVERNMENT-RUN 430 00:15:51,001 --> 00:15:52,000 HOSPITALS DON'T HAVE ENOUGH 431 00:15:52,001 --> 00:15:53,000 DOCTORS AND NURSES AND THEY ARE 432 00:15:53,001 --> 00:15:56,000 POORLY TRAINED. 433 00:15:56,001 --> 00:15:57,000 THEY DON'T KNOW HOW TO USE 434 00:15:57,001 --> 00:15:59,000 CARDIAC MONITORS AND THE 435 00:15:59,001 --> 00:16:00,000 HOSPITALS DON'T HAVE ENOUGH OF 436 00:16:00,001 --> 00:16:02,000 THE MONITORS THEY DON'T KNOW 437 00:16:02,001 --> 00:16:03,000 HOW TO OPERATE. 438 00:16:03,001 --> 00:16:05,000 THE BRITISH REPORT SAYS THE TWO 439 00:16:05,001 --> 00:16:06,000 GOVERNMENT-RUN HOSPITALS HAVE 440 00:16:06,001 --> 00:16:07,000 LEFT PATIENTS WITH NO FOOD NO 441 00:16:07,001 --> 00:16:09,000 WATER NO MEDICINE FOR UP TO 442 00:16:09,001 --> 00:16:10,000 FOUR DAYS. 443 00:16:10,001 --> 00:16:11,000 MR. SPEAKER, THIS IS ANOTHER 444 00:16:11,001 --> 00:16:12,000 EXAMPLE OF GOVERNMENT-RUN 445 00:16:12,001 --> 00:16:14,000 HEALTH CARE THAT HASN'T WORKED. 446 00:16:14,001 --> 00:16:15,000 DOCTORS AND NURSES ARE 447 00:16:15,001 --> 00:16:17,000 RATIONED, CARE IS TIONED, 448 00:16:17,001 --> 00:16:18,000 MEDICINE AND FOOD AND WATER ARE 449 00:16:18,001 --> 00:16:20,000 ALSO RATIONED. 450 00:16:20,001 --> 00:16:22,000 THE BRITISH HEALTH CARE PLAN IS 451 00:16:22,001 --> 00:16:23,000 JUST DON'T GET SICK BECAUSE THE 452 00:16:23,001 --> 00:16:24,000 GOVERNMENT-RUN SYSTEM CAN'T 453 00:16:24,001 --> 00:16:26,000 HELP YOU. 454 00:16:26,001 --> 00:16:28,000 THAT'S JUST THE WAY IT IS. I YIELD BACK. 455 00:16:28,001 --> 00:16:31,000 THE SPEAKER PRO TEMPORE: FOR 456 00:16:31,001 --> 00:16:32,000 WHAT PURPOSE DOES THE GENTLEMAN 457 00:16:32,001 --> 00:16:33,000 >> TO ADDRESS THE HOUSE FOR ONE 458 00:16:33,001 --> 00:16:35,000 MINUTE, MR. SPEAKER. 459 00:16:35,001 --> 00:16:36,000 THE SPEAKER PRO TEMPORE: 460 00:16:36,001 --> 00:16:38,000 WITHOUT OBJECTION, SO ORDERED. 461 00:16:38,001 --> 00:16:40,000 >> TODAY IS A GREAT DAY. 462 00:16:40,001 --> 00:16:41,000 MY COMMITTEE, THE ENERGY AND COMMERCE COMMITTEE, WILL REMORT 463 00:16:41,001 --> 00:16:42,000 OUT A HEALTH CARE REFORM BILL 464 00:16:42,001 --> 00:16:44,000 TODAY. 465 00:16:44,001 --> 00:16:45,000 IT MEANS -- WHAT IT MEANS IS 466 00:16:45,001 --> 00:16:47,000 PEOPLE WILL FINALLY BE 467 00:16:47,001 --> 00:16:49,000 GUARANTEED, THEY'LL KNOW THEY 468 00:16:49,001 --> 00:16:50,000 HAVE HEALTH CARE REGARDLESS OF 469 00:16:50,001 --> 00:16:52,000 WHAT JOB THEY HAVE, THEY WON'T 470 00:16:52,001 --> 00:16:53,000 LOSE IT IF THEY GO FROM JOB TO 471 00:16:53,001 --> 00:16:55,000 JOB. 472 00:16:55,001 --> 00:16:56,000 RIGHT NOW WE HAVE A LOT OF 473 00:16:56,001 --> 00:16:57,000 PEOPLE WHO ARE UNINSURED. 474 00:16:57,001 --> 00:16:58,000 THEY WILL BE PROVIDED WITH 475 00:16:58,001 --> 00:17:00,000 HEALTH INSURANCE. 476 00:17:00,001 --> 00:17:01,000 WE HAVE A LOT OF OTHER PEOPLE 477 00:17:01,001 --> 00:17:03,000 WHO ARE AFRAID THEY'LL LOSE 478 00:17:03,001 --> 00:17:04,000 THEIR JOB OR WON'T BE ABLE TO 479 00:17:04,001 --> 00:17:06,000 AFFORD HEALTH INSURANCE. 480 00:17:06,001 --> 00:17:09,000 WE'LL ADDRESS THE AFFORDABILITY 481 00:17:09,001 --> 00:17:10,000 ISSUE BY BRINGING DOWN DEPORS 482 00:17:10,001 --> 00:17:12,000 PEOPLE WHO HAVE INSURANCE. 483 00:17:12,001 --> 00:17:13,000 WE'LL GUARANTEE WHETHER OR NOT 484 00:17:13,001 --> 00:17:14,000 YOU HAVE A HEALTH CONDITION, 485 00:17:14,001 --> 00:17:16,000 REGARDLESSF YOUR GENDER, 486 00:17:16,001 --> 00:17:17,000 YOU'LL BE ABLE TO GET THE SA 487 00:17:17,001 --> 00:17:18,000 HEALTH CARE, YOU'LL GET THE 488 00:17:18,001 --> 00:17:20,000 SAME INSURANCE POLICY AND YOU 489 00:17:20,001 --> 00:17:22,000 WON'T BE DISCRIMINATED AGAINST. 490 00:17:22,001 --> 00:17:23,000 THIS IS A REAL OPPORTUNITY FOR 491 00:17:23,001 --> 00:17:25,000 AMERICA TO SEE THAT THIS 492 00:17:25,001 --> 00:17:26,000 CONGRESS CAN ACTUALLY DO THE 493 00:17:26,001 --> 00:17:29,000 JOB, GET THE JOB DONE, COVER 494 00:17:29,001 --> 00:17:30,000 EVERYONE, REDUCE COSTS, AND 495 00:17:30,001 --> 00:17:33,000 FINALLY HAVE THE PEACE OF MIND 496 00:17:33,001 --> 00:17:34,000 THAT YOU'RE GUARANTEED HEALTH 497 00:17:34,001 --> 00:17:36,000 INSURANCE. 498 00:17:36,001 --> 00:17:37,000 THANK YOU, MR. SPEAKER. 499 00:17:37,001 --> 00:17:38,000 THE SPEAKER PRO TEMPORE: THE 500 00:17:38,001 --> 00:17:39,000 GENTLEMAN YIELDS BACK. 501 00:17:39,001 --> 00:17:41,000 FOR WHAT PURPOSE DOES THE 502 00:17:41,001 --> 00:17:42,000 GENTLEMAN FROM INDIANA RISE? 503 00:17:42,001 --> 00:17:43,000 >> REQUEST UNANIMOUS CONSENT TO 504 00:17:43,001 --> 00:17:44,000 ADDRESS THE HOUSE FOR ONE 505 00:17:44,001 --> 00:17:46,000 MINUTE AND REVISE AND EXTEND MY 506 00:17:46,001 --> 00:17:47,000 REMARKS. 507 00:17:47,001 --> 00:17:49,000 THE SPEAKER PRO TEMPORE: 508 00:17:49,001 --> 00:17:50,000 WITHOUT OBJECTION, SO ORDERED. 509 00:17:50,001 --> 00:17:53,000 >> THE AMERICAN PEOPLE KNOW WE 510 00:17:53,001 --> 00:17:54,000 HAVE WE NEED HEALTH CARE REFORM 511 00:17:54,001 --> 00:17:56,000 BUT THE AMERICAN PEOPLE HAVE 512 00:17:56,001 --> 00:17:59,000 BEEN GAVEN REPRIEVE ON THE 513 00:17:59,001 --> 00:18:01,000 GOVERNMENT PLAN TO ENACT A 514 00:18:01,001 --> 00:18:03,000 GOVERNMENT TAKEOVER OF HEALTH 515 00:18:03,001 --> 00:18:04,000 CARE PAID FOR WITH $100 BILLION 516 00:18:04,001 --> 00:18:05,000 IN NEW TAXES THAT TAX INCREASE 517 00:18:05,001 --> 00:18:08,000 NUMBER HAS BEEN DISPUTED IN THE 518 00:18:08,001 --> 00:18:09,000 PAST 24 URS SO I THOUGHT I'D 519 00:18:09,001 --> 00:18:10,000 PULL THE STATS. 520 00:18:10,001 --> 00:18:12,000 ACCORDING TO THE CONGRESSIONAL 521 00:18:12,001 --> 00:18:13,000 BUDGET OFFICE AND THE JOINT 522 00:18:13,001 --> 00:18:14,000 COMMITTEE ON TAXATION, THE 523 00:18:14,001 --> 00:18:17,000 HOUSE DEMOCRAT REFORM BILL 524 00:18:17,001 --> 00:18:20,000 INCLUDES $543 BILLION IN THE 525 00:18:20,001 --> 00:18:21,000 SURTAX ON HIGH INCOME FILERS, 526 00:18:21,001 --> 00:18:23,000 $208 BILLION IN INCREASED 527 00:18:23,001 --> 00:18:25,000 ON BUSINESSES, AN ADDITIONAL 528 00:18:25,001 --> 00:18:28,000 SET OF TAX INCREASES, 529 00:18:28,001 --> 00:18:29,000 INTERNATIONAL TAX INEST CREASES 530 00:18:29,001 --> 00:18:31,000 THEY'RE REFERRED TO, $37 531 00:18:31,001 --> 00:18:32,000 BILLION, MORE TAXES ON 532 00:18:32,001 --> 00:18:35,000 BEFITS, $30 BILLION SO THE 533 00:18:35,001 --> 00:18:36,000 TOTAL AMOUNT OF TAX INCREASES 534 00:18:36,001 --> 00:18:40,000 INCLUDE IN THE DEMOCRAT BILL 535 00:18:40,001 --> 00:18:41,000 ACCORDING TO OFFICIAL ESTIMATES 536 00:18:41,001 --> 00:18:42,000 $820.1 BILLION OVER 10 YEARS. 537 00:18:42,001 --> 00:18:43,000 THE CHANCE FOR ME AMERICAN 538 00:18:43,001 --> 00:18:45,000 PEOPLE TO KNOW WHAT'S IN THIS 539 00:18:45,001 --> 00:18:47,000 PLAN AND COME BACK AND PASS 540 00:18:47,001 --> 00:18:49,000 HEALTH CARE REFORM WITHOUT MORE 541 00:18:49,001 --> 00:18:51,000 GOVERNMENT AND MORE TAXES? 542 00:18:51,001 --> 00:18:52,000 PRICELESS. 543 00:18:52,001 --> 00:18:53,000 LET THE DEBATE BEGIN. 544 00:18:53,001 --> 00:18:56,000 THE SPEAKER PRO 545 00:18:56,001 --> 00:18:58,000 GENTLEMAN YIELDS BACK HIS TIME. 546 00:18:58,001 --> 00:18:59,000 FOR WHAT PURPOSE DOES THE 547 00:18:59,001 --> 00:19:00,000 GENTLEMAN FROM MASSACHUSETTS 548 00:19:00,001 --> 00:19:01,000 RISE? 549 00:19:01,001 --> 00:19:03,000 >> BY DIRECTION OF THE 550 00:19:03,001 --> 00:19:04,000 COMMITTEE ON RULE I CALL UP 551 00:19:04,001 --> 00:19:05,000 HOUSE RESOLUTION 697 AND ASK 552 00:19:05,001 --> 00:19:06,000 FOR ITS IMMEDIATE 553 00:19:06,001 --> 00:19:08,000 CONSIDERATION. 554 00:19:08,001 --> 00:19:09,000 THE SPEAKER PRO TEMPORE: THE 555 00:19:09,001 --> 00:19:10,000 CLERK WILL REPORT THE 556 00:19:10,001 --> 00:19:11,000 RESOLUTION. 557 00:19:11,001 --> 00:19:13,000 THE CLERK: HOUSE CALENDAR 558 00:19:13,001 --> 00:19:15,000 NUMBER 100, HOUSE RESOLUTION 697, RESOLVE 559 00:19:15,001 --> 00:19:16,000 ADOPTION OF 560 00:19:16,001 --> 00:19:17,000 SHALL BE IN ORDER TO CONSIDER 561 00:19:17,001 --> 00:19:19,000 IN THE HOUSE THE BILL H.R. 3269 562 00:19:19,001 --> 00:19:20,000 TO AMEND THE SECURITIES 563 00:19:20,001 --> 00:19:22,000 EXCHANGE ACT OF 1934 TO PROVIDE 564 00:19:22,001 --> 00:19:24,000 SHAREHOLDERS WITH AN ADVISORY 565 00:19:24,001 --> 00:19:27,000 VOTE ON EXECUTIVE COMPENSATION 566 00:19:27,001 --> 00:19:28,000 AND TO PREVENT PERVERSE 567 00:19:28,001 --> 00:19:31,000 INCENTIVES IN THE COMPENSATION 568 00:19:31,001 --> 00:19:33,000 PRACTICES OF FINANCIAL INSTITUTIONS. 569 00:19:33,001 --> 00:19:34,000 THE FIRST READING OF THE BILL 570 00:19:34,001 --> 00:19:36,000 SHALL BE DISPENSED WITH. 571 00:19:36,001 --> 00:19:38,000 ALL POINTS OF ORDER AGAINST 572 00:19:38,001 --> 00:19:39,000 CONSIDERATIONS OF THE BILL ARE 573 00:19:39,001 --> 00:19:41,000 WAIVED EXCEPT THOSE ARISING 574 00:19:41,001 --> 00:19:42,000 UNDER CLAUSE 9 OR 10 OF RULE 575 00:19:42,001 --> 00:19:45,000 21. 576 00:19:45,001 --> 00:19:46,000 THE AMENDMENT IN THE NATURE A 577 00:19:46,001 --> 00:19:47,000 SUBSTITUTE RECOMMENDED BY THE 578 00:19:47,001 --> 00:19:49,000 COMMITTEE ON FINANCIAL SERVICES 579 00:19:49,001 --> 00:19:50,000 SHALL BE CONSIDERED AS ADOPTED. 580 00:19:50,001 --> 00:19:52,000 THE BILL AS AMENDED SHALL BE 581 00:19:52,001 --> 00:19:53,000 CONSIDERED AS READ. 582 00:19:53,001 --> 00:19:55,000 ALL POINTS OF ORDER AGAINST 583 00:19:55,001 --> 00:19:56,000 PROVISIONS OF THE BILL AS 584 00:19:56,001 --> 00:19:57,000 AMENDED ARE WAIVED. 585 00:19:57,001 --> 00:19:59,000 THE PREVIOUS QUESTION SHALL BE 586 00:19:59,001 --> 00:20:01,000 CONSIDERED AS ORDERED ON THE 587 00:20:01,001 --> 00:20:02,000 BILL AS AMENDED TO FINAL 588 00:20:02,001 --> 00:20:03,000 PASSAGE WITHOUT INTERVENING 589 00:20:03,001 --> 00:20:07,000 MOTION EXCEPT, ONE, ONE HOUR OF 590 00:20:07,001 --> 00:20:09,000 DEBATE, EQUALLY DIVIDED AND CONTROLLED BY THE CHAIRMAN AND 591 00:20:09,001 --> 00:20:10,000 RANKING MINORITY MEMBER OF THE 592 00:20:10,001 --> 00:20:12,000 COMMITTEE ON FINANCIAL 593 00:20:12,001 --> 00:20:13,000 SERVICES. 594 00:20:13,001 --> 00:20:15,000 TWO, T AMENDMENT REPORTED IN 595 00:20:15,001 --> 00:20:17,000 THE REPORT OF THE COMMITTEE ON LES IF OFFERED BY 596 00:20:17,001 --> 00:20:18,000 REPRESENTATIVE FRANK OF 597 00:20:18,001 --> 00:20:21,000 MASSACHUSETTS OR HIS DESIGNEE 598 00:20:21,001 --> 00:20:22,000 WHICH SHALL BE CONSIDERED AS 599 00:20:22,001 --> 00:20:24,000 READ, SHALL BE SEPARATELY 600 00:20:24,001 --> 00:20:25,000 DEBATABLE FOR 10 MINUTES, 601 00:20:25,001 --> 00:20:27,000 EQUALLY DIVIDED AND CONTROLLED 602 00:20:27,001 --> 00:20:28,000 BY THE PROPONENT AND AN 603 00:20:28,001 --> 00:20:29,000 OPPONENT AND SHALL NOT BE 604 00:20:29,001 --> 00:20:30,000 SUBJECT TO A DEMAND FOR 605 00:20:30,001 --> 00:20:32,000 DIVISION OF THE QUESTION. 606 00:20:32,001 --> 00:20:34,000 THREE, THE AMENDMENT IN THE 607 00:20:34,001 --> 00:20:35,000 NATURE OF A SUBSTITUTE PRINTED 608 00:20:35,001 --> 00:20:37,000 IN THE REPORT OF THE COMMITTEE 609 00:20:37,001 --> 00:20:38,000 ON RULES IF OFFERED BY 610 00:20:38,001 --> 00:20:41,000 REPRESENTATIVE GARRETT OF NEW 611 00:20:41,001 --> 00:20:45,000 JERSEY OR HIS DESIGNEE, SHALL 612 00:20:45,001 --> 00:20:47,000 BE SEPARATELY DEBATABLE FOR 30 613 00:20:47,001 --> 00:20:49,000 MINUTES, EQUALLY DIVIDED AND 614 00:20:49,001 --> 00:20:51,000 CONTROLLED BY THE PROPONENT AND AN OPPONENT AND FOUR, ONE 615 00:20:51,001 --> 00:20:53,000 MOTION TO RECOMMIT, WITH OR 616 00:20:53,001 --> 00:20:55,000 WITHOUT INSTRUCTIONS. 617 00:20:55,001 --> 00:20:56,000 SECTION TWO, ALL POINTS OF 618 00:20:56,001 --> 00:20:57,000 ORDER AGAINST AMENDMENTS 619 00:20:57,001 --> 00:20:59,000 PRINTED IN THE REPORT OF THE 620 00:20:59,001 --> 00:21:01,000 COMMITTEE ON RULES ACCOMPANYING 621 00:21:01,001 --> 00:21:02,000 THIS RESOLUTION ARE WAIVED, 622 00:21:02,001 --> 00:21:06,000 EXCEPT THOSE ARISING UNDER 623 00:21:06,001 --> 00:21:08,000 CLAUSE 9 OR 10 OF RULE 21. SECTION THREE. 624 00:21:08,001 --> 00:21:09,000 DURING CONSIDERATION OF AN 625 00:21:09,001 --> 00:21:11,000 AMENDMENT, PRINTED IN THE 626 00:21:11,001 --> 00:21:12,000 REPORT OF THE COMMITTEE ON 627 00:21:12,001 --> 00:21:13,000 RULES ACCOMPANYING THIS 628 00:21:13,001 --> 00:21:14,000 RESOLUTION, THE CHAIR MAY 629 00:21:14,001 --> 00:21:16,000 POSTPONE THE QUESTION OF 630 00:21:16,001 --> 00:21:19,000 ADOPTION AS THOUGH UNDER CLAUSE 631 00:21:19,001 --> 00:21:20,000 8 OF RULE 20. 632 00:21:20,001 --> 00:21:24,000 SECTION FOUR, IN THE 633 00:21:24,001 --> 00:21:25,000 ENGROSSMENT OF H.R. 3269, THE 634 00:21:25,001 --> 00:21:27,000 TECHNICAL AND CONFORMING 635 00:21:27,001 --> 00:21:29,000 CHANGES TO AMENDER TO 636 00:21:29,001 --> 00:21:34,000 INSTRUCTIONS. 637 00:21:34,001 --> 00:21:36,000 THE SPEAKER PRO TEMPORE: THE 638 00:21:36,001 --> 00:21:38,000 GENTLEMAN IS RECOGNIZED FOR AN 639 00:21:38,001 --> 00:21:40,000 HOUR. 640 00:21:40,001 --> 00:21:41,000 >> ALL TIME YIELDED IN 641 00:21:41,001 --> 00:21:42,000 CONSIDERATION OF THE RULE IS 642 00:21:42,001 --> 00:21:44,000 FOR DEBATE ONLY. 643 00:21:44,001 --> 00:21:45,000 I YIELD MYSELF SUCH TIME AS I 644 00:21:45,001 --> 00:21:47,000 MAY CONSUME. 645 00:21:47,001 --> 00:21:48,000 I ALSO ASK UNANIMOUS CONSENT 646 00:21:48,001 --> 00:21:50,000 THAT ALL MEMBERS BE GIVEN FIVE 647 00:21:50,001 --> 00:21:51,000 LEGISLATIVE DAYS IN WHICH TO 648 00:21:51,001 --> 00:21:54,000 REVISE AND EXTEND THEIR REMARKS 649 00:21:54,001 --> 00:21:55,000 ON HOUSE RESOLUTION 697. 650 00:21:55,001 --> 00:21:58,000 THE SPEAKER PRO TEMPORE: THE 651 00:21:58,001 --> 00:22:00,000 GENTLEMAN IS RECOGNIZED. 652 00:22:00,001 --> 00:22:01,000 MR. MCGOVERN: HOUSE RESOLUTION 653 00:22:01,001 --> 00:22:04,000 697 PROVIDES FOR CONSIDERATION 654 00:22:04,001 --> 00:22:06,000 OF H.R. 3269, THE CORPORATE AND 655 00:22:06,001 --> 00:22:08,000 FINANCIAL INSTITUTION 656 00:22:08,001 --> 00:22:09,000 COMPENSATION FAIR ACT OF 2009 657 00:22:09,001 --> 00:22:12,000 UNDER A STRUCTURED RULE. 658 00:22:12,001 --> 00:22:13,000 IT PROVIDES ONE HOUR OF GENERAL 659 00:22:13,001 --> 00:22:14,000 DEBATE CONTROLLED BY THE 660 00:22:14,001 --> 00:22:16,000 COMMITTEE ON FINANCIAL 661 00:22:16,001 --> 00:22:18,000 SEICES. THE RULE MAKES IN ORDER AN 662 00:22:18,001 --> 00:22:20,000 AMENDMENT BY CHAIRMAN FRANK 663 00:22:20,001 --> 00:22:21,000 DEREK BAITABLE FOR 10 MINUTES, 664 00:22:21,001 --> 00:22:24,000 AND MAKES IN ORDER AN AMENDMENT 665 00:22:24,001 --> 00:22:26,000 IN THE NATURE OF THE SUBSTITUTE 666 00:22:26,001 --> 00:22:28,000 BY REPRESENTATIVE GARRETT, 667 00:22:28,001 --> 00:22:30,000 DEBATABLE FOR 30 MINUTES. 668 00:22:30,001 --> 00:22:32,000 THE RULE PROVIDES ONE MOTION TO 669 00:22:32,001 --> 00:22:33,000 RECOMMIT WITH OR WITHOUT 670 00:22:33,001 --> 00:22:35,000 INSTRUCTIONS. 671 00:22:35,001 --> 00:22:37,000 I RISE TODAY IN SUPPORT OF H.R. 672 00:22:37,001 --> 00:22:38,000 3269, THE CORPORATE AND 673 00:22:38,001 --> 00:22:39,000 FINANCIAL INSTITUTION FAIRNESS 674 00:22:39,001 --> 00:22:41,000 ACT. 675 00:22:41,001 --> 00:22:43,000 I WOULD LIKE TO CONGRATULATE MY 676 00:22:43,001 --> 00:22:44,000 GOOD FRIENAND COLLEAGUE FROM 677 00:22:44,001 --> 00:22:45,000 MASSACHUSETTS, CHAMAN BARNEY 678 00:22:45,001 --> 00:22:46,000 FRANK, FOR ALL OF HIS HARD WORK 679 00:22:46,001 --> 00:22:48,000 ON THIS BILL. 680 00:22:48,001 --> 00:22:51,000 MR. SPEAKER, IF THE LAST YEAR 681 00:22:51,001 --> 00:22:52,000 HAS TAUGHT US ANYTHING, IT'S 682 00:22:52,001 --> 00:22:54,000 THAT THE COMPENSATION PRACTICES 683 00:22:54,001 --> 00:22:55,000 OF SOME OF OUR LARGEST 684 00:22:55,001 --> 00:22:57,000 CORPORATIONS HAVE GOTTEN 685 00:22:57,001 --> 00:22:58,000 COMPLETELY OUT OF CONTROL. 686 00:22:58,001 --> 00:23:00,000 MIDDLE CLASS AMERICANS ON MAIN 687 00:23:00,001 --> 00:23:02,000 STREET ARE STRUGGLING TO HOLD 688 00:23:02,001 --> 00:23:05,000 ON TO THEIR JOBS, STRUGGLING TO 689 00:23:05,001 --> 00:23:06,000 PAY FOR HEALTH CARE AND 690 00:23:06,001 --> 00:23:08,000 EDUCATION AND FOOD AND ENERGY. 691 00:23:08,001 --> 00:23:09,000 THEY HAVE SEEN THEIR WAGES 692 00:23:09,001 --> 00:23:12,000 STAGNATE WHILE THEIR COSTS HAVE 693 00:23:12,001 --> 00:23:14,000 SKYROCKETED. 694 00:23:14,001 --> 00:23:16,000 MEANWHILE, OVER ON EASY STREET, 695 00:23:16,001 --> 00:23:18,000 THINGS ARE GREAT. 696 00:23:18,001 --> 00:23:20,000 CORPORATE EXECUTIVES ARE 697 00:23:20,001 --> 00:23:22,000 CONTINUING TO GIVE THEMSELVES 698 00:23:22,001 --> 00:23:24,000 MULTIMILLION DOLLAR PAY 699 00:23:24,001 --> 00:23:25,000 PACKAGES. 700 00:23:25,001 --> 00:23:27,000 THE GOLDEN PARACHUTES ARE STILL 701 00:23:27,001 --> 00:23:28,000 FLYING. 702 00:23:28,001 --> 00:23:30,000 ONE OF THE MOST EGREGIOUS OF 703 00:23:30,001 --> 00:23:35,000 THIS CAME WHEN AMERICAN 704 00:23:35,001 --> 00:23:37,000 TAXPAYERS WATCHED AS A.I.G. 705 00:23:37,001 --> 00:23:39,000 DOLED OUT LAVISH BONUSES AFTER 706 00:23:39,001 --> 00:23:41,000 BEING BAILED OUT OF THE FINANCIAL MESS THEY HELPED 707 00:23:41,001 --> 00:23:42,000 CREATE. 708 00:23:42,001 --> 00:23:44,000 CHAIRMAN FRANK IS THOROUGHLY 709 00:23:44,001 --> 00:23:45,000 COMMITTED TO ENSURING OUR 710 00:23:45,001 --> 00:23:47,000 FINANCIAL SYSTEM REMAINS SOUND. 711 00:23:47,001 --> 00:23:48,000 AND I AM PLEASED TO SEE THIS 712 00:23:48,001 --> 00:23:50,000 BILL AS THE FIRST PIECE OF 713 00:23:50,001 --> 00:23:51,000 LARGER REFORMS BY THE HOUSE 714 00:23:51,001 --> 00:23:54,000 FINANCIAL SERVICES COMMITTEE. 715 00:23:54,001 --> 00:23:55,000 MR. SPEAKER, I WOULD ALSO LIKE 716 00:23:55,001 --> 00:23:57,000 TO VOICE MY SUPPORT FOR THE 717 00:23:57,001 --> 00:23:58,000 PROPOSED CONSUMER FINANCIAL 718 00:23:58,001 --> 00:24:00,000 PROTECTION AGENCY. 719 00:24:00,001 --> 00:24:02,000 I KNOW THERE HAS BEEN STRONG 720 00:24:02,001 --> 00:24:03,000 PUSHBACK FROM THE INDUSTRY, BUT 721 00:24:03,001 --> 00:24:04,000 I WOULD LIKE TO COMMEND MY 722 00:24:04,001 --> 00:24:06,000 COLLEAGUES FOR THEIR 723 00:24:06,001 --> 00:24:08,000 PERSEVERANCE IN PUTTING THESE 724 00:24:08,001 --> 00:24:09,000 PROTECTIONS IN PLACE. 725 00:24:09,001 --> 00:24:11,000 THE BILL WILL HELP TO GIVE THE 726 00:24:11,001 --> 00:24:14,000 OWNERS OF THESE CORPORATIONS, 727 00:24:14,001 --> 00:24:17,000 THE SHAREHOLDERS A MEANINGL 728 00:24:17,001 --> 00:24:18,000 VOICE IN HOW COMPANIES ARE RUN. 729 00:24:18,001 --> 00:24:20,000 SPECIFICALLY, THIS BILL GRANTS 730 00:24:20,001 --> 00:24:22,000 SHAREHOLDERS A SAY ON PAY FOR 731 00:24:22,001 --> 00:24:25,000 TOP EXECUTIVES BY GUARANTEEING 732 00:24:25,001 --> 00:24:26,000 THEM A NONBINDING ADVISORY VOTE 733 00:24:26,001 --> 00:24:27,000 ON THEIR COMPANY'S PAY 734 00:24:27,001 --> 00:24:29,000 PRACTICES. 735 00:24:29,001 --> 00:24:31,000 AGAIN, THIS VOTE IS NONBINDING. 736 00:24:31,001 --> 00:24:32,000 THE BOARDS OF DIRECTORS AND THE 737 00:24:32,001 --> 00:24:33,000 COMPENSATION COMMITTEES ARE 738 00:24:33,001 --> 00:24:36,000 FREE TO IGNORE THEIR 739 00:24:36,001 --> 00:24:37,000 SHAREHOLDERS' WISHES, BUT THOSE 740 00:24:37,001 --> 00:24:39,000 SHAREHOLDERS WILL AT LEAST HAVE 741 00:24:39,001 --> 00:24:40,000 THE OPPORTUNITY TO EXPRESS 742 00:24:40,001 --> 00:24:42,000 THEIR VIEWS. 743 00:24:42,001 --> 00:24:43,000 THE BILL WILL ALSO STRENGTHEN 744 00:24:43,001 --> 00:24:45,000 THE ABILITY OF FEDERAL 745 00:24:45,001 --> 00:24:47,000 REGULATORS, NAMELY, THE FEDERAL 746 00:24:47,001 --> 00:24:50,000 RESERVE AND THE FEDERAL DEPOSIT INSURANCE CORPORATION TO 747 00:24:50,001 --> 00:24:51,000 RESTRICT PAY STRUCTURES THAT 748 00:24:51,001 --> 00:24:53,000 ENCOURAGE INAPPROPRIATE RISK AT 749 00:24:53,001 --> 00:24:54,000 FINANCIAL COMPANIES. 750 00:24:54,001 --> 00:24:57,000 IF REGULATORS SEE A LARGE 751 00:24:57,001 --> 00:24:59,000 COMPANY DRIVING ITSELF OFF THE 752 00:24:59,001 --> 00:25:01,000 CLIFF BY EMPLOYING UNSTABLE PAY 753 00:25:01,001 --> 00:25:02,000 PRACTICES FOR TOP EXECUTIVES, 754 00:25:02,001 --> 00:25:03,000 THEY SHOULD HAVE THE ABILITY TO 755 00:25:03,001 --> 00:25:05,000 ACT. 756 00:25:05,001 --> 00:25:06,000 I'M PLEASED THAT THE FINANCIAL 757 00:25:06,001 --> 00:25:08,000 SERVICES COMMITTEE ADOPTED A 758 00:25:08,001 --> 00:25:10,000 NUMBER OF AMENDMENTS. 759 00:25:10,001 --> 00:25:11,000 TO NOTE ONE IN PARTICULAR, MR. 760 00:25:11,001 --> 00:25:12,000 HENSARLING, MYEPUBLICAN 761 00:25:12,001 --> 00:25:14,000 COLLEAGUE FROM TEXAS, 762 00:25:14,001 --> 00:25:16,000 RECOGNIZED THE NEED TO TAKE THE 763 00:25:16,001 --> 00:25:17,000 SIZE OF THE INSTITUTION INTO 764 00:25:17,001 --> 00:25:19,000 ACCOUNT. HIS AMENDMENT TO EXEMPT 765 00:25:19,001 --> 00:25:20,000 FINANCIAL INSTITUTIONS WITH 766 00:25:20,001 --> 00:25:24,000 ASSETS OF LESS THAN $1 BILLION 767 00:25:24,001 --> 00:25:25,000 FROM THE BILLS' INCENTIVE BASE 768 00:25:25,001 --> 00:25:27,000 COMPENSATION DISCLOSURE 769 00:25:27,001 --> 00:25:28,000 REQUIREMENTS AND RELATED 770 00:25:28,001 --> 00:25:29,000 COMPENSATION OVERSIGHT WAS 771 00:25:29,001 --> 00:25:32,000 ADOPTED IN COMMITTEE. 772 00:25:32,001 --> 00:25:34,000 I LOOK FORWARD TO THE DEBATE ON 773 00:25:34,001 --> 00:25:36,000 THIS BILL AND ON THE REPUBLICAN SUBSTITUTE WHICH IS MADE IN 774 00:25:36,001 --> 00:25:37,000 ORDER UNDER THIS RULE. 775 00:25:37,001 --> 00:25:40,000 I URGE MY COLLEAGUES TO SET A 776 00:25:40,001 --> 00:25:41,000 -- SEND A STRONG MESSAGE THAT 777 00:25:41,001 --> 00:25:42,000 THE MISBEHAVIOR IN CORPORATE 778 00:25:42,001 --> 00:25:44,000 AMERICA MUST COME TO AN END BY 779 00:25:44,001 --> 00:25:45,000 SUPPORTING THIS BILL. 780 00:25:45,001 --> 00:25:47,000 I RESERVE THE BALANCE OF MY 781 00:25:47,001 --> 00:25:48,000 TIME. 782 00:25:48,001 --> 00:25:49,000 THE SPEAKER PRO TEMPORE: THE 783 00:25:49,001 --> 00:25:50,000 GENTLEMAN RESERVES HIS TIME. 784 00:25:50,001 --> 00:25:51,000 THE GENTLEMAN FROM TEXAS. 785 00:25:51,001 --> 00:25:53,000 MR. SESSIONS: MR. SPEAKER, I 786 00:25:53,001 --> 00:25:54,000 THANK YOU SO MUCH, AND I 787 00:25:54,001 --> 00:25:56,000 APPRECIATE THE GENTLEMAN FROM 788 00:25:56,001 --> 00:25:57,000 MASSACHUSETTS, MY FRIEND, MR. 789 00:25:57,001 --> 00:25:58,000 MCGOVERN, FOR YIELDING ME TIME 790 00:25:58,001 --> 00:25:59,000 THIS MORNING. 791 00:25:59,001 --> 00:26:01,000 I YIELD MYSELF SUCH TIME AS I 792 00:26:01,001 --> 00:26:02,000 MAY CONSUME. 793 00:26:02,001 --> 00:26:03,000 THE SPEAKER PRO TEMPORE: THE 794 00:26:03,001 --> 00:26:05,000 GENTLEMAN IS RECOGNIZED. 795 00:26:05,001 --> 00:26:06,000 MR. SESSIONS: MR. SPEAKER, I 796 00:26:06,001 --> 00:26:07,000 RISE IN OPPOSITION TO THIS RULE 797 00:26:07,001 --> 00:26:08,000 AND TO THE UNDERLYING 798 00:26:08,001 --> 00:26:10,000 LEGISLATION. 799 00:26:10,001 --> 00:26:11,000 THE STRUCTURED RULE DOES NOT 800 00:26:11,001 --> 00:26:12,000 CALL FOR THE OPEN AND HONEST 801 00:26:12,001 --> 00:26:14,000 DEBATE THAT WE REALLY HAD BEEN 802 00:26:14,001 --> 00:26:15,000 PROMISED YEARS AGO BY OUR 803 00:26:15,001 --> 00:26:17,000 DEMOCRATIC COLLEAGUES TO HAVE 804 00:26:17,001 --> 00:26:18,000 AN OPEN, HONEST DEBATE ON THE 805 00:26:18,001 --> 00:26:20,000 ISSUES THAT ARE BEFORE THIS 806 00:26:20,001 --> 00:26:23,000 COUNTRY. 807 00:26:23,001 --> 00:26:25,000 BUT ONCE AGAIN, TIME IN AND 808 00:26:25,001 --> 00:26:27,000 TIME OUT HERE WE ARE WITHOUT AN 809 00:26:27,001 --> 00:26:28,000 OPEN RULE. 810 00:26:28,001 --> 00:26:29,000 MR. SPEAKER, IT'S MY INTENTION 811 00:26:29,001 --> 00:26:31,000 TODAY TO DISCUSS THE DANGEROUS 812 00:26:31,001 --> 00:26:32,000 PRECEDENT THAT THIS LEGISLATION 813 00:26:32,001 --> 00:26:35,000 SETS FORTH ON THE FUTURE OF 814 00:26:35,001 --> 00:26:36,000 BUSINESS IN AMERICA AND THE 815 00:26:36,001 --> 00:26:38,000 STRANGLE HOLD THAT GOVERNMENT 816 00:26:38,001 --> 00:26:39,000 WILL HAVE OVER THE FREE 817 00:26:39,001 --> 00:26:40,000 ENTERPRISE SYSTEM. 818 00:26:40,001 --> 00:26:42,000 ADDITIONALLY, I OFFERED TWO 819 00:26:42,001 --> 00:26:43,000 AMENDMENTS IN THE RULES 820 00:26:43,001 --> 00:26:46,000 COMMITTEE LAST NIGHT, AND I 821 00:26:46,001 --> 00:26:47,000 WILL DISCUSS THOSE HERE 822 00:26:47,001 --> 00:26:51,000 ONE WOULD ENSURE THIS 823 00:26:51,001 --> 00:26:52,000 LEGISLATION WOULD NOT CREATE A 824 00:26:52,001 --> 00:26:54,000 BONANZA FOR TRIAL LAWYERS, AND 825 00:26:54,001 --> 00:26:55,000 THE OTHER WOULD PROVIDE FOR THE 826 00:26:55,001 --> 00:26:57,000 NECESSARY TRANSPARENCY AND 827 00:26:57,001 --> 00:26:59,000 DISCLOSURE FOR SHAREHOLDERS. 828 00:26:59,001 --> 00:27:01,000 BOTH WERE REJECT BY THE 829 00:27:01,001 --> 00:27:03,000 DEMOCRATS IN THE RULES 830 00:27:03,001 --> 00:27:04,000 COMMITTEE AND ELIMINATED FROM 831 00:27:04,001 --> 00:27:05,000 DEBATE ON THE HOUSE FLR 832 00:27:05,001 --> 00:27:07,000 TODAY. 833 00:27:07,001 --> 00:27:08,000 MR. SPEAKER, GOVERNMENT 834 00:27:08,001 --> 00:27:09,000 TAKEOVER OF THE FREE ENTERPRISE 835 00:27:09,001 --> 00:27:10,000 SYSTEM SEEMS TO BE A COMMON 836 00:27:10,001 --> 00:27:12,000 THEME WITH THIS DEMOCRAT 837 00:27:12,001 --> 00:27:13,000 CONGRESS AND WITH THE OBAMA 838 00:27:13,001 --> 00:27:17,000 ADMINISTRATION. 839 00:27:17,001 --> 00:27:18,000 A THEME THAT HAS LED TO RECORD 840 00:27:18,001 --> 00:27:19,000 DEFICITS AND RECORD 841 00:27:19,001 --> 00:27:21,000 UNEMPLOYMENT. 842 00:27:21,001 --> 00:27:25,000 THIS UNDERLYING LEGISLATION HAS 843 00:27:25,001 --> 00:27:26,000 MASKED ITSELF AS A BILL TO 844 00:27:26,001 --> 00:27:29,000 RESTRICT C.E.O. PAY BY GIVING 845 00:27:29,001 --> 00:27:30,000 SHAREHOLDERS A NONBINDING VOTE 846 00:27:30,001 --> 00:27:34,000 ON EXECUTIVE COMPENSATION. 847 00:27:34,001 --> 00:27:37,000 YET, IN A REALITY IT GIVES THE 848 00:27:37,001 --> 00:27:39,000 GOVERNMENT BROAD AUTHORITY TO 849 00:27:39,001 --> 00:27:40,000 REVIEW AND DETERMINE 850 00:27:40,001 --> 00:27:43,000 APPROPRIATE COMPENSATION FOR 851 00:27:43,001 --> 00:27:45,000 EVERY EMPLOYEE OF A FINANCIAL 852 00:27:45,001 --> 00:27:46,000 FIRM. 853 00:27:46,001 --> 00:27:47,000 THIS LEGISLATION EMPOWERS THE 854 00:27:47,001 --> 00:27:50,000 FEDERAL GOVERNMENT TO SET 855 00:27:50,001 --> 00:27:51,000 UNPRECEDENTED STANDARDS FOR 856 00:27:51,001 --> 00:27:54,000 ANNUAL SHAREHOLDER VOTES WHILE 857 00:27:54,001 --> 00:27:55,000 PROVIDING BROAD GOVERNMENT 858 00:27:55,001 --> 00:28:00,000 AUTHORITY FOR REGULATORS WHO 859 00:28:00,001 --> 00:28:01,000 WILL HAVE GUIDANCE TO IMPLEMENT 860 00:28:01,001 --> 00:28:03,000 THIS AND GIVE AUTHORITY TO THEM 861 00:28:03,001 --> 00:28:04,000 OVER THE FREE ENTERPRISE 862 00:28:04,001 --> 00:28:06,000 SYSTEM. 863 00:28:06,001 --> 00:28:09,000 WE ALL AGREE THAT WE NEED TO 864 00:28:09,001 --> 00:28:10,000 CURB ABUSES OF THE PAST AND TO 865 00:28:10,001 --> 00:28:11,000 PROMOTE REONSIBLE APPROACHES 866 00:28:11,001 --> 00:28:14,000 TO EXECUTIVE COMPENSATION. 867 00:28:14,001 --> 00:28:15,000 BUT THIS BILL PROVIDES 868 00:28:15,001 --> 00:28:17,000 UNPRECEDENTED GOVERNMENT 869 00:28:17,001 --> 00:28:21,000 INTERVENTION IN THE FREE ENTERPRISE SYSTEM. 870 00:28:21,001 --> 00:28:22,000 IT IS THE WRONG SOLUTION. 871 00:28:22,001 --> 00:28:25,000 THE GOAL OF REGULATORY REFORM 872 00:28:25,001 --> 00:28:28,000 SHOULD BE TO HELP, NOT HINDER, 873 00:28:28,001 --> 00:28:31,000 OUR ECONOMY'S ABILITY TO 874 00:28:31,001 --> 00:28:33,000 SUSTAIN ECONOMIC GROWTH AND JOB 875 00:28:33,001 --> 00:28:36,000 CREATION. 876 00:28:36,001 --> 00:28:39,000 THIS LEGISLATION DOES THE 877 00:28:39,001 --> 00:28:41,000 OPPOSITE BY LEGISLATING A 878 00:28:41,001 --> 00:28:43,000 ONE-SIZE-FITS-ALL RULE FOR 879 00:28:43,001 --> 00:28:44,000 PUBLIC COMPANIES THAT 880 00:28:44,001 --> 00:28:45,000 DISCOURAGE PRIVATE FIRMS FROM 881 00:28:45,001 --> 00:28:47,000 GOING PUBLIC. 882 00:28:47,001 --> 00:28:50,000 THIS WILL LIMIT U.S. COMPANIES' 883 00:28:50,001 --> 00:28:54,000 ACCESS TO THE CAPITAL MARKETS 884 00:28:54,001 --> 00:28:56,000 AND UNDERMINE U.S. ECONOMIC COMPETITIVENESS. 885 00:28:56,001 --> 00:28:57,000 THIS LEGISLATION ALLOWS 886 00:28:57,001 --> 00:28:59,000 FINANCIAL REGULATORS THE 887 00:28:59,001 --> 00:29:01,000 AUTHORITY TO DETERMINE WAGES 888 00:29:01,001 --> 00:29:06,000 FOR ALL EMPLOYEES, NOT JUST 889 00:29:06,001 --> 00:29:08,000 C.E.O.'S, OFFICERS AND BANKERS, 890 00:29:08,001 --> 00:29:09,000 BUT EVERYONE. 891 00:29:09,001 --> 00:29:11,000 THE RANK AND FILE OF COMMUNITY 892 00:29:11,001 --> 00:29:13,000 BANKS, MINORITY BANKS AND 893 00:29:13,001 --> 00:29:15,000 CREDIT UNIONS COULD ALL HAVE 894 00:29:15,001 --> 00:29:18,000 THEIR COMPENSATION DETERMINED 895 00:29:18,001 --> 00:29:19,000 BY UNELECTED WASHINGTON 896 00:29:19,001 --> 00:29:21,000 BUREAUCRATS. 897 00:29:21,001 --> 00:29:22,000 THIS PERCEPTION UNDERMINES THE 898 00:29:22,001 --> 00:29:24,000 CONFIDENCE IN CORPORATE 899 00:29:24,001 --> 00:29:26,000 AMERICA, AND UNFAIRLY TAINTS 900 00:29:26,001 --> 00:29:28,000 THE VAST MAJORITY OF U.S. 901 00:29:28,001 --> 00:29:29,000 COMPANIES. 902 00:29:29,001 --> 00:29:31,000 IN AN EFFORT TO PROVIDE THE 903 00:29:31,001 --> 00:29:32,000 CLARIFICATION NECESSARY TO 904 00:29:32,001 --> 00:29:36,000 ENSURE THE INTENT OF THIS 905 00:29:36,001 --> 00:29:37,000 LEGISLATION IS NOT TO CREATE A 906 00:29:37,001 --> 00:29:40,000 BONANZA FOR TRIAL LAWYERS. 907 00:29:40,001 --> 00:29:41,000 I OFFERED AN AMENDMENT IN THE 908 00:29:41,001 --> 00:29:43,000 RULES COMMITTEE. 909 00:29:43,001 --> 00:29:44,000 THE AME 910 00:29:44,001 --> 00:29:48,000 CLARIFIED THAT THIS LEGISLATION 911 00:29:48,001 --> 00:29:51,000 SIMPLY CREATES NO NEW PRIVATE 912 00:29:51,001 --> 00:29:54,000 RIGHT OF ACTION IN OUR COURTS, 913 00:29:54,001 --> 00:29:58,000 NOR WOULD ITS PASSAGE MAKE A COMPENSATION COMMITTEE'S 914 00:29:58,001 --> 00:30:03,000 DECISION TO UPHOLD ITS 915 00:30:03,001 --> 00:30:04,000 SHAREHOLDERS SUBJECT TO ANY 916 00:30:04,001 --> 00:30:05,000 EXISTING PRIVATE RIGHT OF 917 00:30:05,001 --> 00:30:06,000 ACTION. 918 00:30:06,001 --> 00:30:10,000 WITHOUT THIS AMENDMENT TRIAL 919 00:30:10,001 --> 00:30:11,000 LAWYERS WILL BE ABLE TO EXPLOIT 920 00:30:11,001 --> 00:30:16,000 A NEW OPPORTUNITY TO SHAKEDOWN 921 00:30:16,001 --> 00:30:18,000 COMPANIES FOR HUGE PAYMENTS BY 922 00:30:18,001 --> 00:30:20,000 -- SHAKE DOWN COMPANIES FOR 923 00:30:20,001 --> 00:30:23,000 HUGE PAYMENTS. 924 00:30:23,001 --> 00:30:25,000 THIS IS A COMMONSENSE AMENDMENT 925 00:30:25,001 --> 00:30:27,000 THAT SHOULD HAVE BEEN 926 00:30:27,001 --> 00:30:29,000 CONSIDERED ON THE USE FLOOR 927 00:30:29,001 --> 00:30:31,000 TODAY, AND IT SHOULD BE IN THE 928 00:30:31,001 --> 00:30:33,000 BILL AS LAW. 929 00:30:33,001 --> 00:30:35,000 MY SECOND AMENDMENT WOULD HAVE 930 00:30:35,001 --> 00:30:37,000 PROVIDED SUNSHINE AND 931 00:30:37,001 --> 00:30:40,000 TRANSPARENCY FOR SHAREHOLDERS 932 00:30:40,001 --> 00:30:42,000 BY REQUIRING A FULL S.E.C. 933 00:30:42,001 --> 00:30:45,000 DISCLOSURE ABOUT WHO IS 934 00:30:45,001 --> 00:30:47,000 FINANCING EFFORTS TO INFLUENCE 935 00:30:47,001 --> 00:30:53,000 VOTES ON THIS NEW CONNELLY 936 00:30:53,001 --> 00:30:54,000 MANDATED -- THIS NEW 937 00:30:54,001 --> 00:30:56,000 NONBINDING RESOLUTION. 938 00:30:56,001 --> 00:30:57,000 THIS AMENDMENT WOULD PUT 939 00:30:57,001 --> 00:31:00,000 SHAREHOLDERS WITH ACCESS TO 940 00:31:00,001 --> 00:31:02,000 INFORMATION ABOUT WHO IS 941 00:31:02,001 --> 00:31:04,000 SPENDING MONEY TO INUENCE 942 00:31:04,001 --> 00:31:05,000 THAT VOTE. 943 00:31:05,001 --> 00:31:09,000 AS FEDERAL CANDIDATES, WE ARE 944 00:31:09,001 --> 00:31:10,000 OBLIGATED TO DISCLOSE TO THE 945 00:31:10,001 --> 00:31:14,000 NAME, OCCUPATION AND AMOUNT 946 00:31:14,001 --> 00:31:16,000 GIVEN FROM EACH OF OUR DONORS. 947 00:31:16,001 --> 00:31:18,000 WE REQUIRE THIS BE 948 00:31:18,001 --> 00:31:20,000 PUBLIC INTEREST IS ADVANCED BY 949 00:31:20,001 --> 00:31:23,000 LETTING VOTERS KNOW WHO FUNDS 950 00:31:23,001 --> 00:31:26,000 EACH CANDIDATE'S CAMPAIGN. 951 00:31:26,001 --> 00:31:28,000 MY AMENDMENT ASKS THE SAME 952 00:31:28,001 --> 00:31:31,000 DISCLOSURE SO THAT SHAREHOLDERS 953 00:31:31,001 --> 00:31:33,000 KNOW WHAT PEOPLE, WHAT 954 00:31:33,001 --> 00:31:36,000 ORGANIZATION, WHETHER THEY BE 955 00:31:36,001 --> 00:31:38,000 LABOR UNNS, ENVIRONMENTAL 956 00:31:38,001 --> 00:31:43,000 GROUPS, CONSUMER ADVOCATES OR 957 00:31:43,001 --> 00:31:44,000 SIMPLY A NORMAL CITIZEN OF THIS 958 00:31:44,001 --> 00:31:46,000 COUNTRY. 959 00:31:46,001 --> 00:31:49,000 WE NEED TO KNOW WHO IS SPENDING 960 00:31:49,001 --> 00:31:54,000 MONEY ON INFLUENCING THIS NEW 961 00:31:54,001 --> 00:31:55,000 MACHINE -- MANDATED NONBINDING 962 00:31:55,001 --> 00:31:58,000 VOTE. 963 00:31:58,001 --> 00:31:59,000 AMERICANS PRIDE THEMSELVES ON A 964 00:31:59,001 --> 00:32:00,000 MARKETPLACE THAT WORKS FOR ALL 965 00:32:00,001 --> 00:32:02,000 OF US. 966 00:32:02,001 --> 00:32:03,000 YET, TODAY, CONGRESS WILL PASS 967 00:32:03,001 --> 00:32:06,000 LEGISLATION THAT INCREASES 968 00:32:06,001 --> 00:32:08,000 GOVERNMENT INTERVENTION IN THE 969 00:32:08,001 --> 00:32:10,000 FINANCIAL MARKETS, RATIONS 970 00:32:10,001 --> 00:32:14,000 RESOURCES, LIMITS CONSUMER 971 00:32:14,001 --> 00:32:16,000 CHOICES AND DICTATES WAGES AND 972 00:32:16,001 --> 00:32:17,000 PRICES. 973 00:32:17,001 --> 00:32:19,000 IN A TIME OF ECONOMIC RECESSION 974 00:32:19,001 --> 00:32:22,000 WITH RECORD UNEMPLOYMENT AND 975 00:32:22,001 --> 00:32:25,000 RECORD DEFICITS, CONGRESS 976 00:32:25,001 --> 00:32:27,000 SHOULD BE ENACTING LEGISLATION 977 00:32:27,001 --> 00:32:29,000 TO ASSIST OUR ECONOMY. 978 00:32:29,001 --> 00:32:32,000 MR. SPEAKER, THE MOTIVES ARE 979 00:32:32,001 --> 00:32:34,000 CLEAR. 980 00:32:34,001 --> 00:32:37,000 THIS ADMINISTRATION AND THIS 981 00:32:37,001 --> 00:32:38,000 CONGRESS ARE USING POLICY AND 982 00:32:38,001 --> 00:32:42,000 REGULATION TO FORCE A 983 00:32:42,001 --> 00:32:48,000 GOVERNMENT TAKEOVER FURTHER OF 984 00:32:48,001 --> 00:32:49,000 THE FREE ENTERPRISE SYSTEM. 985 00:32:49,001 --> 00:32:51,000 MR. SPEAKER, THIS CONGRESS 986 00:32:51,001 --> 00:32:52,000 SHOULD BE DOING THINGS TO 987 00:32:52,001 --> 00:32:54,000 ENCOURAGE EMPLOYMENT, TO 988 00:32:54,001 --> 00:32:57,000 ENCOURAGE PEOPLE TO GO BACK TO 989 00:32:57,001 --> 00:32:59,000 WORK, TO ENCOURAGE 990 00:32:59,001 --> 00:33:01,000 COMPETITIVENESS, 991 00:33:01,001 --> 00:33:04,000 OUR COUNTRY TO BE PREPARED 992 00:33:04,001 --> 00:33:07,000 TOMORROW, NOT TO HAVE RECORD 993 00:33:07,001 --> 00:33:08,000 UNEMPLOYMENT, NOT TO SPEND MORE 994 00:33:08,001 --> 00:33:11,000 MONEY FOR RECORD DEBTS BUT TO 995 00:33:11,001 --> 00:33:13,000 GIVE AMERICA AND THE FREE 996 00:33:13,001 --> 00:33:15,000 ENTERPRISE SYSTEM THE CHANCE 997 00:33:15,001 --> 00:33:16,000 AND OPPORTUNITY IT DESERVES TO 998 00:33:16,001 --> 00:33:18,000 FLOURISH IN AMERICA. 999 00:33:18,001 --> 00:33:19,000 MR. SPEAKER, I ENCOURAGE MY 1000 00:33:19,001 --> 00:33:21,000 COLLEAGUES TO VOTE AGAINST THIS 1001 00:33:21,001 --> 00:33:23,000 RULE AND THE UNDERLYING 1002 00:33:23,001 --> 00:33:24,000 LEGISLATION. 1003 00:33:24,001 --> 00:33:25,000 I RESERVE THE BALANCE OF MY 1004 00:33:25,001 --> 00:33:27,000 TIME. 1005 00:33:27,001 --> 00:33:28,000 THE SPEAKER PRO MPORE: THE 1006 00:33:28,001 --> 00:33:29,000 GENTLEMAN RESERVES HIS TIME. 1007 00:33:29,001 --> 00:33:30,000 THE GENTLEMAN FROM 1008 00:33:30,001 --> 00:33:32,000 MASSACHUSETTS. 1009 00:33:32,001 --> 00:33:33,000 MR. MCGOVERN: MR. SPEAKER, WE 1010 00:33:33,001 --> 00:33:34,000 HAVE NO FURTHER SPEAKERS AT 1011 00:33:34,001 --> 00:33:35,000 THIS TIME. 1012 00:33:35,001 --> 00:33:37,000 I'D RESERVE THE BALANCE OF MY 1013 00:33:37,001 --> 00:33:38,000 TIME. 1014 00:33:38,001 --> 00:33:40,000 THE SPEAKER PRO TEMPORE: THE 1015 00:33:40,001 --> 00:33:41,000 GENTLEMAN FROM TEXAS. 1016 00:33:41,001 --> 00:33:42,000 MR. SESSIONS: THANK YOU, MR. 1017 00:33:42,001 --> 00:33:43,000 SPEAKER. 1018 00:33:43,001 --> 00:33:45,000 MR. SPEAKER, IN CLOSING, I'D 1019 00:33:45,001 --> 00:33:46,000 LIKE TO STRESS THAT WHILE MY 1020 00:33:46,001 --> 00:33:47,000 FRIENDS ON THE OTHER SIDE OF 1021 00:33:47,001 --> 00:33:49,000 THE AISLE CLAIM TO BE 1022 00:33:49,001 --> 00:33:50,000 PROTECTING CONSUMERS WITH THIS 1023 00:33:50,001 --> 00:33:52,000 LEGISLATION, THEY REFUSE TO 1024 00:33:52,001 --> 00:33:54,000 PROTECT ALL AMERICANS IN THIS 1025 00:33:54,001 --> 00:33:55,000 GISLATION FROM TRIAL LAWYERS 1026 00:33:55,001 --> 00:33:58,000 FROM BENEFITING FROM THEIR TAX 1027 00:33:58,001 --> 00:34:00,000 DOLLARS, AND THEY ALSO VOTED IN a 1028 00:34:00,001 --> 00:34:01,000 THE COMMITTEE AGAINST 1029 00:34:01,001 --> 00:34:03,000 TRANSPARENCY AND 1030 00:34:03,001 --> 00:34:04,000 ACCOUNTABILITY. 1031 00:34:04,001 --> 00:34:07,000 MR. SPEAKER, AS A NATION, WE 1032 00:34:07,001 --> 00:34:08,000 HAVE MANY, MANY, MANY REAL 1033 00:34:08,001 --> 00:34:09,000 PROBLEMS TO TEAL WITH THAT 1034 00:34:09,001 --> 00:34:13,000 REQUIRE LEADERSHIP AND 1035 00:34:13,001 --> 00:34:16,000 DEDICATION TO ENSURE THE FUTURE OF THIS NATION. 1036 00:34:16,001 --> 00:34:17,000 WE NEED TO PROVIDE FOR JOBS, 1037 00:34:17,001 --> 00:34:19,000 ENCOUR 1038 00:34:19,001 --> 00:34:21,000 SPUR INNOVATION AND PROSPERITY 1039 00:34:21,001 --> 00:34:25,000 OF THIS NATION, NOT TO HAMPER 1040 00:34:25,001 --> 00:34:27,000 THE FREE ENTERPRISE SYSTEM. 1041 00:34:27,001 --> 00:34:30,000 THIS IS WITHOUT QUESTION 1042 00:34:30,001 --> 00:34:31,000 FURTHER GOVERNMENT CONTROL AND 1043 00:34:31,001 --> 00:34:33,000 MUZZLING OF THE FREE ENTERPRISE 1044 00:34:33,001 --> 00:34:35,000 SYSTEM. 1045 00:34:35,001 --> 00:34:36,000 SOME ARGUE THAT THIS 1046 00:34:36,001 --> 00:34:39,000 LEGISLATION'S ABOUT EXECUTIVE 1047 00:34:39,001 --> 00:34:40,000 COMPENSATION, BUT IN REALITY IT 1048 00:34:40,001 --> 00:34:43,000 CONTINUES TO BE THE GOVERNMENT 1049 00:34:43,001 --> 00:34:45,000 TAKEOVER OF THE FREE ENTERPRISE 1050 00:34:45,001 --> 00:34:47,000 SYSTEM. 1051 00:34:47,001 --> 00:34:49,000 STRUCTURED RULE AND A NO VOTE 1052 00:34:49,001 --> 00:34:50,000 ON THE UNDERLYING LEGISLATION. 1053 00:34:50,001 --> 00:34:52,000 I YIELD BACK THE BALANCE OF MY 1054 00:34:52,001 --> 00:34:53,000 TIME. 1055 00:34:53,001 --> 00:34:54,000 THE SPEAKER PRO TEMPORE: THE 1056 00:34:54,001 --> 00:34:55,000 GENTLEMAN ELDS BACK THE 1057 00:34:55,001 --> 00:34:57,000 BALANCE OF HIS TIME. 1058 00:34:57,001 --> 00:34:59,000 THE GENTLEMAN FROM MASSACHUSETTS. 1059 00:34:59,001 --> 00:35:00,000 MR. MCGOVERN: THANK YOU, MR. 1060 00:35:00,001 --> 00:35:02,000 SPEAKER. 1061 00:35:02,001 --> 00:35:03,000 I YIELD MYSELF THE REMAINING 1062 00:35:03,001 --> 00:35:04,000 TIME. 1063 00:35:04,001 --> 00:35:05,000 THE SPEAKER PRO TEMPORE: THE 1064 00:35:05,001 --> 00:35:07,000 GENTLEMAN IS RECOGNIZED. 1065 00:35:07,001 --> 00:35:08,000 MR. MCGOVERN: MR. SPEAKER, AS 1066 00:35:08,001 --> 00:35:09,000 WE ARE ABOUT TO ADJOURN FOR THE 1067 00:35:09,001 --> 00:35:11,000 AUGUST RECESS, I THINK IT'S 1068 00:35:11,001 --> 00:35:13,000 IMPORTANT TO NOTTHAT THIS IS A CONGRESS THAT HAS 1069 00:35:13,001 --> 00:35:15,000 ACCOMPLISHED A GREAT DEAL. 1070 00:35:15,001 --> 00:35:16,000 WE HAVE PASSED ALL 12 OF OUR 1071 00:35:16,001 --> 00:35:17,000 APPROPRIATIONS BILLS. 1072 00:35:17,001 --> 00:35:19,000 WE PASSED HISTORIC RECOVERY AND 1073 00:35:19,001 --> 00:35:20,000 REINVESTMENT ACT, WHICH IS 1074 00:35:20,001 --> 00:35:21,000 KEEPING TEACHERS AND POLICE 1075 00:35:21,001 --> 00:35:23,000 OFFICERS EMPLOYED, THAT IS 1076 00:35:23,001 --> 00:35:24,000 STIMULATING ECONOMIC GROWTH 1077 00:35:24,001 --> 00:35:25,000 THROUGHOUT THIS COUNTRY. 1078 00:35:25,001 --> 00:35:26,000 WE HAVE PASSED AN ENERGY BILL 1079 00:35:26,001 --> 00:35:28,000 THAT IF SIGNED INTO LAW WILL 1080 00:35:28,001 --> 00:35:30,000 CREATE THOUSANDS AND THOUSANDS 1081 00:35:30,001 --> 00:35:32,000 OF NEW GREEN JOBS AS WELL AS 1082 00:35:32,001 --> 00:35:33,000 FREE US OF OUR DEPENDENCE ON 1083 00:35:33,001 --> 00:35:36,000 FOREIGN OIL. 1084 00:35:36,001 --> 00:35:37,000 WE HAVE EXTENDED SCHIP WHICH 1085 00:35:37,001 --> 00:35:39,000 MEANS THAT MORE AND MORE 1086 00:35:39,001 --> 00:35:40,000 CHILDREN HAVE ACCESS TO HEALTH 1087 00:35:40,001 --> 00:35:43,000 CARE. 1088 00:35:43,001 --> 00:35:47,000 WE PASSED THE LILLY LEDBETTER 1089 00:35:47,001 --> 00:35:49,000 PAY EQUITY ACT BILL. 1090 00:35:49,001 --> 00:35:50,000 YESTERDAY WE PASSED A FOOD 1091 00:35:50,001 --> 00:35:55,000 SO WE DID ALL OF THIS IN SPITE 1092 00:35:55,001 --> 00:35:56,000 OF RESISTANCE AND IN SPITE OF 1093 00:35:56,001 --> 00:35:57,000 OBSTRUCTIONISM BY MANY OF MY 1094 00:35:57,001 --> 00:35:59,000 COLLEAGUES ON THE OTHER SIDE OF 1095 00:35:59,001 --> 00:36:00,000 THE AISLE. 1096 00:36:00,001 --> 00:36:01,000 BUT I THINK IT'S AN INDICATION 1097 00:36:01,001 --> 00:36:03,000 THAT THIS IS A CONGRESS THAT 1098 00:36:03,001 --> 00:36:04,000 HAS ACCOMPLISHED A GREAT DEAL. 1099 00:36:04,001 --> 00:36:06,000 LET ME JUST SAY FINALLY, MR. 1100 00:36:06,001 --> 00:36:07,000 SPEAKER, WITH REGARD TO THE 1101 00:36:07,001 --> 00:36:08,000 UNDERLYING LEGISLATION, THAT IF 1102 00:36:08,001 --> 00:36:09,000 YOU LIKE THE STATUS QUO, IF YOU 1103 00:36:09,001 --> 00:36:11,000 WANT TO EMBRACE THE SAME OLD 1104 00:36:11,001 --> 00:36:12,000 SAME OLD WHEN IT COMES TO 1105 00:36:12,001 --> 00:36:14,000 CORPORATE MISBEHAVIOR, THEN 1106 00:36:14,001 --> 00:36:17,000 VOTE AGAINST THE RULE AND VOTE AGAINST THE BILL. 1107 00:36:17,001 --> 00:36:18,000 IF YOU WANT THINGS TO CHANGE, 1108 00:36:18,001 --> 00:36:21,000 IF YOU WANT TO ENSURE CORPORATE 1109 00:36:21,001 --> 00:36:22,000 RESPONSIBILITY, THEN PLEASE 1110 00:36:22,001 --> 00:36:24,000 SUPPORT THE UNDERLYING BILL 1111 00:36:24,001 --> 00:36:26,000 CHAMPIONED BY CHAIRMAN FRANK. 1112 00:36:26,001 --> 00:36:27,000 WITH THAT, MR. SPEAKER, I URGE 1113 00:36:27,001 --> 00:36:29,000 A YES VOTE ON THE PREVIOUS 1114 00:36:29,001 --> 00:36:30,000 QUESTION AND ON THE RULE, AND I 1115 00:36:30,001 --> 00:36:32,000 YIELD BACK THE BALANCE OF MY 1116 00:36:32,001 --> 00:36:34,000 TIME AND I MOVE THE PREVIOUS QUESTION ON THE RULE. 1117 00:36:34,001 --> 00:36:35,000 -- ON THE RESOLUTION. 1118 00:36:35,001 --> 00:36:37,000 THE SPEAKER PRO TEMPORE: THE 1119 00:36:37,001 --> 00:36:38,000 GENTLEMAN YIELDS BACK THE 1120 00:36:38,001 --> 00:36:40,000 BALANCE OF HIS TIME. 1121 00:36:40,001 --> 00:36:42,000 WITHOUT OBJECTION, THE PREVIOUS QUESTION IS ORDERED. 1122 00:36:42,001 --> 00:36:44,000 THE QUESTION IS ON THE ADOPTION 1123 00:36:44,001 --> 00:36:46,000 OF THE RESOLUTION. ALL THOSE IN FAVOR SAY AYE. 1124 00:36:46,001 --> 00:36:47,000 THOSE OPPOSED, NO. 1125 00:36:47,001 --> 00:36:49,000 THE AYES HAVE IT. 1126 00:36:49,001 --> 00:36:50,000 THE RESOLUTION IS AGREED TO. 1127 00:36:50,001 --> 00:39:20,000 AND WITHOUT OBJECTION, A MOTION 1128 00:39:20,001 --> 00:39:22,000 TABLE. 1129 00:39:22,001 --> 00:39:23,000 THE SPEAKER PRO TEMPOR FOR 1130 00:39:23,001 --> 00:39:24,000 WHAT PURPOSE DOES THE GENTLEMAN 1131 00:39:24,001 --> 00:39:25,000 FROM MASSACHUSETTS RISE IN 1132 00:39:25,001 --> 00:39:29,000 MR. FRANK: PURSUANT TO HOUSE 1133 00:39:29,001 --> 00:39:30,000 RESOLUTION 697, I CALL UP H.R. 1134 00:39:30,001 --> 00:39:32,000 6239 AND ASK FOR ITS IMMEDIATE 1135 00:39:32,001 --> 00:39:34,000 CONSIDERATION. 1136 00:39:34,001 --> 00:39:35,000 THE SPEAKER PRO TEMPORE: THE 1137 00:39:35,001 --> 00:39:39,000 CLERK WILL REPORT THE TITLE OF THE BILL. 1138 00:39:39,001 --> 00:39:41,000 131, A BILL TO AMEND THE 1139 00:39:41,001 --> 00:39:45,000 SECURITIES EXCHANGE ACT OF 1934 1140 00:39:45,001 --> 00:39:48,000 TO PROVIDE SHAREHOLDERS WITH AN 1141 00:39:48,001 --> 00:39:53,000 ADVISORY VOTE ON COMPENSATION 1142 00:39:53,001 --> 00:39:55,000 AND PREVENT PERVERSE INCENTIVES 1143 00:39:55,001 --> 00:39:57,000 IN COMPENSATION PACKAGES. 1144 00:39:57,001 --> 00:39:59,000 THE SPEAKER PRO TEMPORE: THE 1145 00:39:59,001 --> 00:40:01,000 AMENDMENT IN THE NATURE OF A 1146 00:40:01,001 --> 00:40:02,000 SUBSTITUTE RECOMMENDED BY THE 1147 00:40:02,001 --> 00:40:05,000 COMMITTEE ON FINANCIAL SERVICES 1148 00:40:05,001 --> 00:40:07,000 IS ADOPTED AND THE BILL IS 1149 00:40:07,001 --> 00:40:08,000 AMENDED AND IS CONSIDERED READ. 1150 00:40:08,001 --> 00:40:11,000 AFTER ONE HOUR OF DEBATE ON THE 1151 00:40:11,001 --> 00:40:16,000 BILL AS AMENDED, THE AMENDMENT 1152 00:40:16,001 --> 00:40:17,000 PRINTED IN HOUSE REPORT 111-237 1153 00:40:17,001 --> 00:40:19,000 IF OFFERED BY THE GENTLEMAN 1154 00:40:19,001 --> 00:40:20,000 FROM MASSACHUSETTS, MR. FRANK, 1155 00:40:20,001 --> 00:40:23,000 OR HIS DESIGNEE, SHALL BE 1156 00:40:23,001 --> 00:40:24,000 CONSIDERED READ AND SHALBE 1157 00:40:24,001 --> 00:40:27,000 DEBATABLE FOR 10 MINUTES, 1158 00:40:27,001 --> 00:40:28,000 EQUALLY DIVIDED OR CONTROLLED 1159 00:40:28,001 --> 00:40:30,000 BY THE PROPONENT AND AN 1160 00:40:30,001 --> 00:40:32,000 OPPONENT. 1161 00:40:32,001 --> 00:40:34,000 THEREAFTER, THE AMENDMENT IN 1162 00:40:34,001 --> 00:40:36,000 THE NATURE OF A SUBSTITUTE 1163 00:40:36,001 --> 00:40:40,000 PRINTED IN THE REPORT, OFFERED 1164 00:40:40,001 --> 00:40:43,000 BY THE GENTLEMAN FROM NEW 1165 00:40:43,001 --> 00:40:44,000 JERSEY, MR. GARRETT, OR HIS 1166 00:40:44,001 --> 00:40:45,000 DESIGNEE SHALL BE CONSIDERED 1167 00:40:45,001 --> 00:40:48,000 RE AND SHALL BE DEBATABLE FOR 1168 00:40:48,001 --> 00:40:51,000 30 MINUTES, EQUALLY DIVIDED AND 1169 00:40:51,001 --> 00:40:53,000 CONTROLLED BY THE PROPONENT AND 1170 00:40:53,001 --> 00:40:54,000 AN OPPONENT. 1171 00:40:54,001 --> 00:40:55,000 THE GENTLEMAN FROM 1172 00:40:55,001 --> 00:40:57,000 MASSACHUSETTS, MR. FRANK, AND 1173 00:40:57,001 --> 00:40:59,000 THE GENTLEMAN FROM ALABAMA, MR. 1174 00:40:59,001 --> 00:41:00,000 BACHUS, EACH WILL CONTROL 30 1175 00:41:00,001 --> 00:41:02,000 MINUTES. 1176 00:41:02,001 --> 00:41:03,000 THE CHAIR RECOGNIZES THE 1177 00:41:03,001 --> 00:41:04,000 GENTLEMAN FROM MASSACHUSETTS. 1178 00:41:04,001 --> 00:41:06,000 MR. FRANK: I ASK UNANIMOUS 1179 00:41:06,001 --> 00:41:07,000 CONSENT THAT ALL MEMBERS HAVE 1180 00:41:07,001 --> 00:41:08,000 FIVE LEGISLATIVE DAYS TO REVISE 1181 00:41:08,001 --> 00:41:11,000 AND EXTEND THEIR REMARKS AND 1182 00:41:11,001 --> 00:41:12,000 INCLUDE THEREIN EXTRANEOUS 1183 00:41:12,001 --> 00:41:13,000 MATERIAL. 1184 00:41:13,001 --> 00:41:14,000 THE SPEAKER PRO TEMPOR 1185 00:41:14,001 --> 00:41:16,000 WITHOUT OBJECTION, SO ORDERED. 1186 00:41:16,001 --> 00:41:17,000 MR. FRANK: I RECOGNIZE MYSELF 1187 00:41:17,001 --> 00:41:18,000 FOR SUCH TIME AS I MAY CONSUME. 1188 00:41:18,001 --> 00:41:20,000 THE SPEAKER PRO TEMPORE: THE 1189 00:41:20,001 --> 00:41:21,000 GENTLEMAN IS RECOGNIZED. 1190 00:41:21,001 --> 00:41:22,000 MR. FRANK: I HAVE ENCOUNTERED 1191 00:41:22,001 --> 00:41:24,000 GAPS BETWEEN RHETORIC AND 1192 00:41:24,001 --> 00:41:27,000 REALITY IN THIS CHAMBER, NEVER 1193 00:41:27,001 --> 00:41:28,000 ONE AS GREAT AS THE WILDLY 1194 00:41:28,001 --> 00:41:29,000 DISTORTED THE DE-PRESCRIPTION 1195 00:41:29,001 --> 00:41:30,000 OF THIS BILL THAT WE GOT 1196 00:41:30,001 --> 00:41:32,000 BEFORE. 1197 00:41:32,001 --> 00:41:33,000 LET'S BE CLEAR. 1198 00:41:33,001 --> 00:41:34,000 THERE ARE DIFFERENCES BETWEEN 1199 00:41:34,001 --> 00:41:37,000 THE PARTY HERE'S ON THE WHOLE. 1200 00:41:37,001 --> 00:41:38,000 AT LEAST AS REFLECTED IN THE 1201 00:41:38,001 --> 00:41:41,000 COMMITTEE VOTE, I THINK IT WILL 1202 00:41:41,001 --> 00:41:45,000 BE DIFFERENT ON THE FLOOR THERE 1203 00:41:45,001 --> 00:41:47,000 IS MUCH MESS -- MUCH LESS 1204 00:41:47,001 --> 00:41:48,000 DIFFERENCE THAN THERE USED TO 1205 00:41:48,001 --> 00:41:51,000 BE ON THE SAY ON PAY. 1206 00:41:51,001 --> 00:41:53,000 WHEN THE REPUBLICANS WERE IN 1207 00:41:53,001 --> 00:41:57,000 THE MAJORITY PRIOR TO 2007, ON 1208 00:41:57,001 --> 00:41:59,000 THIS AND MANY OTHER ISSUES, THE 1209 00:41:59,001 --> 00:42:00,000 DEMOCRATS TRIED TO DO REFORM 1210 00:42:00,001 --> 00:42:02,000 AND GOT NOWHERE. 1211 00:42:02,001 --> 00:42:03,000 WE DID TRY TO BRING UP THIS. 1212 00:42:03,001 --> 00:42:05,000 THE REPUBLICANS USED THEIR 1213 00:42:05,001 --> 00:42:07,000 MAJORITY NOT TO ALLOW IT. 1214 00:42:07,001 --> 00:42:09,000 IN 2007, WHEN WE WERE IN THE 1215 00:42:09,001 --> 00:42:11,000 MAJORITY WE DID BRING IT TO THE 1216 00:42:11,001 --> 00:42:13,000 FLOOR, IT PASSED OTHER THE 1217 00:42:13,001 --> 00:42:15,000 OBJECTION OF MOST REPUBLICANS. 1218 00:42:15,001 --> 00:42:18,000 I'LL INTRODUCE TO THE RECORD 1219 00:42:18,001 --> 00:42:20,000 THEIR COMMENTS ON SAY ON PAY. 1220 00:42:20,001 --> 00:42:21,000 THEY'VE MOVED SOME. 1221 00:42:21,001 --> 00:42:23,000 THEY ARE FOR REFORM ON SAY ON 1222 00:42:23,001 --> 00:42:25,000 PAY, THOUGH A SOMEWHAT WATERED 1223 00:42:25,001 --> 00:42:26,000 DOWN FORM. 1224 00:42:26,001 --> 00:42:28,000 ONE THING I WANT TO ADDRESS 1225 00:42:28,001 --> 00:42:31,000 HERE IS THE QUESTION OF -- BUT 1226 00:42:31,001 --> 00:42:34,000 I SHOULD SAY, THERE'S A STARK 1227 00:42:34,001 --> 00:42:35,000 DIFFERENCE BETWEEN US REMAING 1228 00:42:35,001 --> 00:42:37,000 ON WHETHER OR NOT ANY ACTION 1229 00:42:37,001 --> 00:42:38,000 SHALL BE TAKE BIN THE FEDERAL 1230 00:42:38,001 --> 00:42:42,000 GOVERNMENT TO RESTRAIN 1231 00:42:42,001 --> 00:42:43,000 COMPENSATION PRACTICE THIS IS A 1232 00:42:43,001 --> 00:42:45,000 INFLICT EXCESSIVE RISK ON THE 1233 00:42:45,001 --> 00:42:46,000 ECONOMY. 1234 00:42:46,001 --> 00:42:48,000 WE SHOULD BE CLEAR THIS 1235 00:42:48,001 --> 00:42:50,000 ASSERTION THAT THIS ALLOWS THE 1236 00:42:50,001 --> 00:42:51,000 CONTROL OF ALL WAGES AND PRICES 1237 00:42:51,001 --> 00:42:52,000 IS NONSENSE. 1238 00:42:52,001 --> 00:42:53,000 THERE IS NOTHING ABOUT PRICES 1239 00:42:53,001 --> 00:42:55,000 AT ALL IN THE BILL. 1240 00:42:55,001 --> 00:43:00,000 AS TO WAGES, WHAT IT SAYS IS 1241 00:43:00,001 --> 00:43:01,000 THAT THE S.E.C. MAY -- SHALL 1242 00:43:01,001 --> 00:43:04,000 IMPOSE RULES THAT PREVENT 1243 00:43:04,001 --> 00:43:05,000 EXCESSIVE RISK TAKING 1244 00:43:05,001 --> 00:43:08,000 AND THE REFERENCE TO WAGES IS 1245 00:43:08,001 --> 00:43:09,000 ONLY IN THAT CONTEXT. 1246 00:43:09,001 --> 00:43:11,000 THE AMOUNT OF WAGES IS 1247 00:43:11,001 --> 00:43:13,000 IRRELEVANT. 1248 00:43:13,001 --> 00:43:18,000 WHAT THIS BILL EXPLICITLY AIMS 1249 00:43:18,001 --> 00:43:22,000 AT IS THIS PRACTICE WHERE 1250 00:43:22,001 --> 00:43:24,000 PEOPLE ARE GIVEN BONUSES IF THE 1251 00:43:24,001 --> 00:43:27,000 GAMBLE PAYS OFF BUT DON'T LE 1252 00:43:27,001 --> 00:43:29,000 ANYTHING IF IT DOESN'T. 1253 00:43:29,001 --> 00:43:33,000 THERE'S WIDESPREAD CONSENSUS 1254 00:43:33,001 --> 00:43:36,000 THAT THIS INCENTIVIZES RISKS. 1255 00:43:36,001 --> 00:43:37,000 IF YOU TAKE ACTIONS THAT ARE 1256 00:43:37,001 --> 00:43:39,000 RISKY AND IT LOOKS LIKE THEY 1257 00:43:39,001 --> 00:43:42,000 PAID OFF AND YOU GET YOUR 1258 00:43:42,001 --> 00:43:45,000 MONEY, SIX MONTHS LATER, IT 1259 00:43:45,001 --> 00:43:47,000 TURNS OUT YOU WERE WRONG AND IT BLOWS UP, YOU DON'T LOSE 1260 00:43:47,001 --> 00:43:48,000 ANYTHING. 1261 00:43:48,001 --> 00:43:51,000 AT THE OUTSET IF YOU TAKE A 1262 00:43:51,001 --> 00:43:52,000 RISK AND IT BLOWS UP, IT 1263 00:43:52,001 --> 00:43:54,000 DOESN'T COST YOU ANYTHING. 1264 00:43:54,001 --> 00:43:55,000 ALL WE ARE SAYING IS THERE HAS 1265 00:43:55,001 --> 00:43:57,000 TO BE BALANCE TO THE RISK 1266 00:43:57,001 --> 00:43:58,000 TAKING, THE EXCESSIVE RISK 1267 00:43:58,001 --> 00:44:00,000 TAKING. 1268 00:44:00,001 --> 00:44:02,000 WHAT IS EXCESSIVE RISK? 1269 00:44:02,001 --> 00:44:07,000 WHEN THE PEOPLE WHO TAKE RISK 1270 00:44:07,001 --> 00:44:09,000 PAY NO PENALTY WHEN THEY ARE 1271 00:44:09,001 --> 00:44:10,000 WRONG. 1272 00:44:10,001 --> 00:44:12,000 WHEN THE COMPANY LOSES MONEY, 1273 00:44:12,001 --> 00:44:13,000 THE ECONOMY MAY SUFFER, DUH THE 1274 00:44:13,001 --> 00:44:14,000 DECISION MAKERS DO NOT. 1275 00:44:14,001 --> 00:44:18,000 ONE OF THE SILLIER REMARKS WE 1276 00:44:18,001 --> 00:44:20,000 HEARD WAS THIS WILL CAUSE US TO 1277 00:44:20,001 --> 00:44:22,000 HAVE LESS COMPETITION. 1278 00:44:22,001 --> 00:44:27,000 SAY ON PAY, WHEN THE REPUBLICAN 1279 00:44:27,001 --> 00:44:28,000 PARTY OPPOSED IT, WAS BORROWED 1280 00:44:28,001 --> 00:44:31,000 FROM GREAT BRITAIN. 1281 00:44:31,001 --> 00:44:33,000 WE WERE TOLD WE WERE LOSING 1282 00:44:33,001 --> 00:44:37,000 BUSINESS TO GREAT BRITAIN AND 1283 00:44:37,001 --> 00:44:38,000 WE SHOULD CUT BACK ON 1284 00:44:38,001 --> 00:44:39,000 SARBANES-OXLEY BECAUSE PEOPLE 1285 00:44:39,001 --> 00:44:40,000 WERE GOING TO ENGLAND. 1286 00:44:40,001 --> 00:44:43,000 TODAY I READ FROM AN ARTICLE 1287 00:44:43,001 --> 00:44:45,000 FROM A COUPLE OF WEEKS AGO, THE 1288 00:44:45,001 --> 00:44:47,000 PRIME MINISTER OF ENGLAND SAYS 1289 00:44:47,001 --> 00:44:50,000 THEY ARE GOING TO ADOPT PLANS 1290 00:44:50,001 --> 00:44:55,000 FORCING BANKS TO HOLD BACK HALF 1291 00:44:55,001 --> 00:44:57,000 OF ALL BONUSES FOR FIVE YEARS 1292 00:44:57,001 --> 00:44:58,000 AND THE CONSERVATIVE OPPOSITION 1293 00:44:58,001 --> 00:45:00,000 IS CRITICAL BECAUSE IT'S NOT 1294 00:45:00,001 --> 00:45:01,000 MANDATORY. 1295 00:45:01,001 --> 00:45:04,000 WE HAVE BEEN IN CONVERSATIONS 1296 00:45:04,001 --> 00:45:05,000 WITH THE EUROPEAN UNION, THE 1297 00:45:05,001 --> 00:45:07,000 UNITED KINGDOM, CANADA AND 1298 00:45:07,001 --> 00:45:08,000 OTHERS. 1299 00:45:08,001 --> 00:45:09,000 IN FACT, AMERICAN SALA 1300 00:45:09,001 --> 00:45:11,000 AMERICAN COMPENSATIONS HAVE 1301 00:45:11,001 --> 00:45:12,000 BEEN MUCH HIGHER SYSTEM OF NO, 1302 00:45:12,001 --> 00:45:13,000 THERE IS NO PRICE CONTROL. 1303 00:45:13,001 --> 00:45:14,000 NO THERE'S NO WAGE CONTROL. 1304 00:45:14,001 --> 00:45:16,000 NO IT IS NOT A PROBLEM FOR 1305 00:45:16,001 --> 00:45:17,000 INTERNATIONAL COMPETION. 1306 00:45:17,001 --> 00:45:19,000 BY THE WAY, AS TO EVERY 1307 00:45:19,001 --> 00:45:21,000 INSTITUTION, EVERY CREDIT 1308 00:45:21,001 --> 00:45:22,000 UNION, YOU HEARD THAT RHETORIC, 1309 00:45:22,001 --> 00:45:23,000 THE BILL EXEMPTS ANY 1310 00:45:23,001 --> 00:45:26,000 INSTITUTION WITH LESS THAN $1 1311 00:45:26,001 --> 00:45:27,000 BILLION IN ASSETS. 1312 00:45:27,001 --> 00:45:29,000 IT GIVES THE S.E.C. THE 1313 00:45:29,001 --> 00:45:30,000 AUTHORITY TO RAISE THAT SO 1314 00:45:30,001 --> 00:45:32,000 THERE'S EVEN LES. 1315 00:45:32,001 --> 00:45:34,000 THE REPUBLICAN PARTY HAS 1316 00:45:34,001 --> 00:45:36,000 RELUCTANTLY BEEN DRAGGED BY 1317 00:45:36,001 --> 00:45:37,000 EVENTS, REALITY SOMETIMES HAS 1318 00:45:37,001 --> 00:45:40,000 AN IMPACT TO SUPPORT A WATERED 1319 00:45:40,001 --> 00:45:41,000 DOWN VERSION OF SAY ON PAY. 1320 00:45:41,001 --> 00:45:43,000 SAY ON PAY SAYS THE 1321 00:45:43,001 --> 00:45:44,000 SHAREHOLDERS CAN VOTE AND 1322 00:45:44,001 --> 00:45:45,000 EXPRESS THEIR OPINION. 1323 00:45:45,001 --> 00:45:47,000 THE GENTLEMAN FROM TEXAS WAS 1324 00:45:47,001 --> 00:45:49,000 UPSET WE DON'T HAVE A FEDERAL 1325 00:45:49,001 --> 00:45:50,000 ELECTION COMMISSION MECHANISM 1326 00:45:50,001 --> 00:45:52,000 FOTHESE VOTES. 1327 00:45:52,001 --> 00:45:54,000 WHY ONLY THESE VOTES? 1328 00:45:54,001 --> 00:45:55,000 SHAREHOLDERS VOTE ON ANYTHING. 1329 00:45:55,001 --> 00:45:57,000 APPARENTLY IT'S ONLY WHEN THE 1330 00:45:57,001 --> 00:45:58,000 SHAROLDERS TEND TO VOTE ON 1331 00:45:58,001 --> 00:46:01,000 PAY 1332 00:46:01,001 --> 00:46:02,000 SENSIBILITIES ARE TRAMPLED. 1333 00:46:02,001 --> 00:46:03,000 WE DO NOT IN THIS BILL TALK 1334 00:46:03,001 --> 00:46:05,000 ABOUT THE AMOUNTS. 1335 00:46:05,001 --> 00:46:06,000 WE DO SAY THE SHAREHOLDERS 1336 00:46:06,001 --> 00:46:09,000 SHOULD. 1337 00:46:09,001 --> 00:46:10,000 WE SAY IN CONSULTATION WITH 1338 00:46:10,001 --> 00:46:12,000 ADVOCACY GROUPS THAT REPRESENT 1339 00:46:12,001 --> 00:46:13,000 SHAREHOLDERS AND P 1340 00:46:13,001 --> 00:46:15,000 THAT THE PEOPLE WHO OWN THE 1341 00:46:15,001 --> 00:46:17,000 COMPANY, THE SHAREHOLDERS, 1342 00:46:17,001 --> 00:46:18,000 SHOULD BE ABLE TO EXPRESS 1343 00:46:18,001 --> 00:46:19,000 OPINIONS ON THE COMPENSATION. 1344 00:46:19,001 --> 00:46:20,000 WE GO BEYOND THAT TO SAY WE 1345 00:46:20,001 --> 00:46:21,000 BELIEVE THE FEDERAL GOVERNMENT 1346 00:46:21,001 --> 00:46:23,000 HAS INTERESTS NOT IN THE LEVEL 1347 00:46:23,001 --> 00:46:24,000 OF COMPENSATION, THAT'S UP TO 1348 00:46:24,001 --> 00:46:25,000 THE SHAREHOLDERS, IN THE 1349 00:46:25,001 --> 00:46:28,000 STRUCTURE. 1350 00:46:28,001 --> 00:46:30,000 WHEN YOU HAVE, AS WE HAVE SEEN, 1351 00:46:30,001 --> 00:46:31,000 STRUCTURES WHEREBY COMPANIES 1352 00:46:31,001 --> 00:46:33,000 LOSE LOTS OF MONEY AND THEY 1353 00:46:33,001 --> 00:46:35,000 LOSE LOTS OF MONEY ON PARTICULAR DEALS, BUT THE 1354 00:46:35,001 --> 00:46:36,000 PEOPLE WHO MADE OSE DEALS 1355 00:46:36,001 --> 00:46:39,000 MAKE MONEY ON THEM, THAT THAT 1356 00:46:39,001 --> 00:46:43,000 HAS A SYSTEMIC NEGATIVE IMPACT 1357 00:46:43,001 --> 00:46:44,000 ON THE SOCIETY BECAUSE IT INCENTIVIZES MUCH TOO MUCH 1358 00:46:44,001 --> 00:46:46,000 RISK. 1359 00:46:46,001 --> 00:46:47,000 WHAT IS THE REPUBLICAN APPROACH 1360 00:46:47,001 --> 00:46:49,000 TO THAT? 1361 00:46:49,001 --> 00:46:50,000 NOTHING. 1362 00:46:50,001 --> 00:46:51,000 THEY SAY -- THEY ADMIT THESE 1363 00:46:51,001 --> 00:46:53,000 ARE 1364 00:46:53,001 --> 00:46:54,000 HAPPENING. 1365 00:46:54,001 --> 00:46:56,000 BUT THEIR REGRETS WON'T STOP 1366 00:46:56,001 --> 00:46:57,000 THE DAMAGE. 1367 00:46:57,001 --> 00:46:59,000 IN THE REPUBLICAN SUBSTITUTE 1368 00:46:59,001 --> 00:47:01,000 THERE IS A WATERING DOWN OF SAY ON PAY BUT THEY AT LEAST 1369 00:47:01,001 --> 00:47:03,000 ACKNOWLEDGE THAT RELUCTANTLY. 1370 00:47:03,001 --> 00:47:04,000 WHEN IT COMES TO THE PRACKTOIFS 1371 00:47:04,001 --> 00:47:06,000 LARGE CORPORATIONS IN THE 1372 00:47:06,001 --> 00:47:09,000 FINANCIAL AREA STRUCTURING 1373 00:47:09,001 --> 00:47:11,000 BONUSES THAT INCENTIVIZE 1374 00:47:11,001 --> 00:47:15,000 EXCESSIVE RISK, MY REPUBLICAN 1375 00:47:15,001 --> 00:47:18,000 FRIENDS ADMIT THAT'S THE CASE 1376 00:47:18,001 --> 00:47:19,000 WE SHOULD NOTHING ABOUT IT. 1377 00:47:19,001 --> 00:47:20,000 THAT'S THE BIG DIFFERENCE. 1378 00:47:20,001 --> 00:47:23,000 WE BELIEVE THE S.E.C., AND BY 1379 00:47:23,001 --> 00:47:26,000 THE WAY, AS TO THE FORM, IT WAS 1380 00:47:26,001 --> 00:47:28,000 A REPUBLICAN FORMER MEMBER OF 1381 00:47:28,001 --> 00:47:29,000 THIS BODY, CHRISTOPHER COX, WHO 1382 00:47:29,001 --> 00:47:31,000 WAS CHAIR OF THE S.E.C., 1383 00:47:31,001 --> 00:47:33,000 PROPOSED DISCLOS 1384 00:47:33,001 --> 00:47:35,000 HE BROACHED IT FIRST. 1385 00:47:35,001 --> 00:47:36,000 HE SAID WE HAVE AN IMPORTANT 1386 00:47:36,001 --> 00:47:37,000 PUBLIC INTEREST IN KNOWING IT. 1387 00:47:37,001 --> 00:47:40,000 WE ARE GOING TO TAKE THE FORM 1388 00:47:40,001 --> 00:47:42,000 OF DISCLOSURE OF COMPENSATION 1389 00:47:42,001 --> 00:47:43,000 PRESCRIBED BY A REPUBLICAN 1390 00:47:43,001 --> 00:47:44,000 MEMBER OF THIS HOUSE, CHAIRMAN 1391 00:47:44,001 --> 00:47:45,000 OF THE S.E.C. WORK HIS 1392 00:47:45,001 --> 00:47:47,000 COLLEAGUES, AND LET THE 1393 00:47:47,001 --> 00:47:48,000 SHAREHOLDERS SAY YES OR NO. 1394 00:47:48,001 --> 00:47:50,000 WE ARE GOING TO GO BEYOND THAT 1395 00:47:50,001 --> 00:47:52,000 AND SAY THAT THE S.E.C. SHOULD 1396 00:47:52,001 --> 00:47:54,000 LOOK AT THIS AND SAY, YOU KNOW, 1397 00:47:54,001 --> 00:47:55,000 YOU HAVE A SITUATION HERE WHERE 1398 00:47:55,001 --> 00:47:56,000 PEOPLE MAKING THE DECISIONS 1399 00:47:56,001 --> 00:47:58,000 WILL HAVE AN INCENTIVE TO TAKE 1400 00:47:58,001 --> 00:47:59,000 TOO MUCH RISK. 1401 00:47:59,001 --> 00:48:02,000 IF YOU TELL PEOPLE THAT IF THEY 1402 00:48:02,001 --> 00:48:04,000 TAKE A RISK AND IT PAYS OFF 1403 00:48:04,001 --> 00:48:06,000 THEY ARE ENRICHED AND IF IT 1404 00:48:06,001 --> 00:48:08,000 FAILS MISERABLY THEY DON'T LOSE 1405 00:48:08,001 --> 00:48:09,000 ANYTHING, THEY WILL TAKE MORE 1406 00:48:09,001 --> 00:48:12,000 RISKS THAN SHOULD BE TAKEN. 1407 00:48:12,001 --> 00:48:15,000 YOU SHOULD NOT INCENTIVIZE TO 1408 00:48:15,001 --> 00:48:16,000 TELL PEOPLE TO TAKE RISKS WHERE 1409 00:48:16,001 --> 00:48:17,000 THEY CAN ONLY BENEFIT AND NEVER 1410 00:48:17,001 --> 00:48:18,000 SUFFER PENALTY. 1411 00:48:18,001 --> 00:48:19,000 THAT'S ALL THIS SAYS. 1412 00:48:19,001 --> 00:48:20,000 WE WILL PREVENT THAT KIND OF 1413 00:48:20,001 --> 00:48:22,000 THING FROM HAPPENING. 1414 00:48:22,001 --> 00:48:24,000 WE WON'T SET AMOUNTS OR DEAL 1415 00:48:24,001 --> 00:48:26,000 WITH WAGE CONTROLS AND WE 1416 00:48:26,001 --> 00:48:28,000 EXEMPT INSTITUTIONS UNDER $1 1417 00:48:28,001 --> 00:48:29,000 BILLION. 1418 00:48:29,001 --> 00:48:32,000 I AWAIT THE REPUBLICAN COUNTER. 1419 00:48:32,001 --> 00:48:33,000 THEY WANT A WATERED DOWN SAY ON 1420 00:48:33,001 --> 00:48:35,000 PAY, BUT THEY RELUCTANTLY 1421 00:48:35,001 --> 00:48:36,000 ACCEPT IT. 1422 00:48:36,001 --> 00:48:37,000 BUT THEY HAVE ZERO TUFERE WITH 1423 00:48:37,001 --> 00:48:38,000 REGARD TO THE SITUATION OF 1424 00:48:38,001 --> 00:48:40,000 EXCESSIVE BONUSES. 1425 00:48:40,001 --> 00:48:41,000 WE DID GET RELUCTANT AGREEMENT 1426 00:48:41,001 --> 00:48:43,000 WE PUT SOME LIMITS ON PEOPLE 1427 00:48:43,001 --> 00:48:45,000 WHARE RECIPIENTS OF TARP 1428 00:48:45,001 --> 00:48:46,000 FUNDS. 1429 00:48:46,001 --> 00:48:47,000 ONE OF THOSE WHO RECEIVED TARP 1430 00:48:47,001 --> 00:48:49,000 FUNDS PROSPERED WITH THOSE 1431 00:48:49,001 --> 00:48:52,000 FUNDS, PAID THEM O 1432 00:48:52,001 --> 00:48:55,000 NOW -- PAID BACK THE FUNDS, AND 1433 00:48:55,001 --> 00:48:58,000 ARE EBB GEAP -- ENGAGING IN THE 1434 00:48:58,001 --> 00:48:59,000 RISKY PRACTICE 1435 00:48:59,001 --> 00:49:00,000 BEFORE. 1436 00:49:00,001 --> 00:49:01,000 THE REPUBLICAN POSITION IN THE 1437 00:49:01,001 --> 00:49:02,000 COMMITTEE WAS DO NOTHING ABOUT 1438 00:49:02,001 --> 00:49:04,000 IT. 1439 00:49:04,001 --> 00:49:05,000 OURS IS, HAVE RULE, NOT THAT 1440 00:49:05,001 --> 00:49:06,000 SET THE LIMITS OR WAGE CONTROLS 1441 00:49:06,001 --> 00:49:08,000 BUT SAY THAT YOU CANNOT 1442 00:49:08,001 --> 00:49:09,000 STRUCTURE IT SO THAT WHATEVER 1443 00:49:09,001 --> 00:49:11,000 LEVEL OF COMPENSATION YOU HAVE, 1444 00:49:11,001 --> 00:49:14,000 YOU PROFIT IF THE BONUS PAYS 1445 00:49:14,001 --> 00:49:15,000 OFF AND YOU LOSE NOTHING IF THE 1446 00:49:15,001 --> 00:49:18,000 BONUS CAUSES GREAT DAMAGE TO 1447 00:49:18,001 --> 00:49:19,000 THE COMPANY AND THE COMMISM I 1448 00:49:19,001 --> 00:49:20,000 RESERVE THE BALANCE OF MY TIME. 1449 00:49:20,001 --> 00:49:22,000 THE SPEAKER PRO TEMPORE: THE 1450 00:49:22,001 --> 00:49:23,000 GENTLEMAN RESERVES HIS TIME. 1451 00:49:23,001 --> 00:49:25,000 THE HOUGS WILL RECEIVE A 1452 00:49:25,001 --> 00:49:27,000 THE MESSENGER: MR. SPEAKER, A 1453 00:49:27,001 --> 00:49:29,000 MESSAGE FROM THE SENATE. THE SECRETARY: MR. SPEAKER. 1454 00:49:29,001 --> 00:49:30,000 THE SPEAKER PRO TEMPORE: MADAM 1455 00:49:30,001 --> 00:49:33,000 SECRETARY. 1456 00:49:33,001 --> 00:49:35,000 THE SECRETARY: I HAVE BEEN 1457 00:49:35,001 --> 00:49:40,000 DIRECTED TO TELL THE HOUSE THAT 1458 00:49:40,001 --> 00:49:41,000 THE SENATE HAS PASSED S. 337. 1459 00:49:41,001 --> 00:49:43,000 THE SPEAKER PRO TEMPORE: THE 1460 00:49:43,001 --> 00:49:45,000 GENTLEMAN FROM ALABAMA. 1461 00:49:45,001 --> 00:49:47,000 >> I RISE IN -- 1462 00:49:47,001 --> 00:49:48,000 MR. BACHUS: I RISE IN 1463 00:49:48,001 --> 00:49:50,000 OPPOSITION TO THIS LEGISLATION 1464 00:49:50,001 --> 00:49:51,000 AND YIELD MYSELF FIVE MINUTES. 1465 00:49:51,001 --> 00:49:52,000 THE SPEAKER PRO TEMPORE: THE 1466 00:49:52,001 --> 00:49:56,000 GENTLEMAN IS RECOGNIZED FOR 1467 00:49:56,001 --> 00:49:58,000 FIVE MINUTES. MR. BACHUS: THANK YOU. 1468 00:49:58,001 --> 00:50:00,000 MR. CHAIRMAN, I RISE IN 1469 00:50:00,001 --> 00:50:04,000 OPPOSITION TO THIS LEGISLATION. 1470 00:50:04,001 --> 00:50:05,000 THE AMERICAN PEOPLE ARE RIGHTLY 1471 00:50:05,001 --> 00:50:08,000 DISTURBED BY ALMOST DAILY 1472 00:50:08,001 --> 00:50:11,000 REPORTS OF SO-CALLED TOO BIG TO 1473 00:50:11,001 --> 00:50:12,000 FAIL CORPORATIONS THAT HAVE 1474 00:50:12,001 --> 00:50:14,000 RECEIVED BILLIONS OF DOLLARS IN 1475 00:50:14,001 --> 00:50:17,000 GOVERNMENT ASSISTANCE AND HAVE 1476 00:50:17,001 --> 00:50:18,000 AT THE SAME TIME PAID THEIR 1477 00:50:18,001 --> 00:50:20,000 EMPLOYEES BILLIONS OF DOLLARS 1478 00:50:20,001 --> 00:50:23,000 IN BONUSES. 1479 00:50:23,001 --> 00:50:24,000 IN RESPONSE TO THOSE EVENTS, 1480 00:50:24,001 --> 00:50:26,000 REPUBLICANS HAVE INTRODUCE ED 1481 00:50:26,001 --> 00:50:28,000 LEGISLATION WHICH GETS THE 1482 00:50:28,001 --> 00:50:30,000 AMERICAN PEOPLE -- INTRODUCED 1483 00:50:30,001 --> 00:50:32,000 LEGISLATION WHICH GETS THE 1484 00:50:32,001 --> 00:50:33,000 AMERICAN PEOPLE OUT OF THE 1485 00:50:33,001 --> 00:50:34,000 BAILOUT BUSINESS. 1486 00:50:34,001 --> 00:50:35,000 THAT, MR. CHAIRMAN IS OUR 1487 00:50:35,001 --> 00:50:37,000 RESPONSE. 1488 00:50:37,001 --> 00:50:38,000 IT PROHIBITS THE GOVERNMENT FROM PICKING WINNERS AND 1489 00:50:38,001 --> 00:50:40,000 LOSERS. 1490 00:50:40,001 --> 00:50:41,000 WE BELIEVE THAT'S THE SOLUTION. 1491 00:50:41,001 --> 00:50:44,000 THE LEGISLATION WE HAVE 1492 00:50:44,001 --> 00:50:45,000 INTRODUCED CLEARLY ESTABLISHES 1493 00:50:45,001 --> 00:50:48,000 A STRUCTURE WHERE FAILURE IS 1494 00:50:48,001 --> 00:50:50,000 NOT REWARDED. 1495 00:50:50,001 --> 00:50:52,000 AND MARKET DISCIPLINE IS 1496 00:50:52,001 --> 00:50:53,000 REESTABLISHED BY PLACING 1497 00:50:53,001 --> 00:50:56,000 RESPONSIBILITY FOR THOSE WHO 1498 00:50:56,001 --> 00:50:57,000 ENDWAGE IN RISKY BEHAVIOR 1499 00:50:57,001 --> 00:51:00,000 SQUARELY WHERE IT BELONGS, ON 1500 00:51:00,001 --> 00:51:01,000 THE RISK TAKER, NOT THE 1501 00:51:01,001 --> 00:51:02,000 TAXPAYER. 1502 00:51:02,001 --> 00:51:04,000 THAT IS THE REPUBLICAN 1503 00:51:04,001 --> 00:51:05,000 RESPONSE. 1504 00:51:05,001 --> 00:51:06,000 THE OBAMA ADMINISTRATION TAKES 1505 00:51:06,001 --> 00:51:10,000 A DIFFERENT APPROACH. 1506 00:51:10,001 --> 00:51:12,000 IT CONTINUES TO EMBRACE THE TOO 1507 00:51:12,001 --> 00:51:13,000 BIG TO FAIL DOCTRINE. 1508 00:51:13,001 --> 00:51:15,000 THAT'S WHY WE'RE HERE TODAY, 1509 00:51:15,001 --> 00:51:18,000 THAT'S WHY WE HAVE TO ADDRESS EXECUTIVE COMPENSATION. 1510 00:51:18,001 --> 00:51:19,000 IT APPOINTS A PAY CZAR TO 1511 00:51:19,001 --> 00:51:21,000 OVERSEE COMPENSATION AT THE 1512 00:51:21,001 --> 00:51:23,000 GROWING LIST OF COMPANIES 1513 00:51:23,001 --> 00:51:25,000 RECEIVING TAXPAYER-FUNDED 1514 00:51:25,001 --> 00:51:28,000 BAILOUTS AND GUARANTEES, 1515 00:51:28,001 --> 00:51:29,000 DESPITE GROWING PUBLIC OUTRAGE 1516 00:51:29,001 --> 00:51:32,000 OVER THESE COMPANIES DISHING 1517 00:51:32,001 --> 00:51:35,000 OUT BILLIONS OF DOLLARS IN 1518 00:51:35,001 --> 00:51:36,000 GOVERNMENT-ENABLED BONUSES. 1519 00:51:36,001 --> 00:51:40,000 THE OBAMA ADMINISTRATION AND 1520 00:51:40,001 --> 00:51:44,000 THE DEMOCRATIC CONGRESSIONAL 1521 00:51:44,001 --> 00:51:47,000 LEADERSHIP STEADFASTLY REFUSES TO EMBRACE REPUBLICAN 1522 00:51:47,001 --> 00:51:48,000 LEGISLATION OR OFFER ITS OWN 1523 00:51:48,001 --> 00:51:50,000 PROPOSALS PROHIBITING FURTHER 1524 00:51:50,001 --> 00:51:51,000 TAXPAYER BAILOUTS. 1525 00:51:51,001 --> 00:51:55,000 INSTEAD, IT SAYS THAT THESE 1526 00:51:55,001 --> 00:51:56,000 SAME CORPORATIONS ARE SIMPLY 1527 00:51:56,001 --> 00:51:57,000 TOO SIGNIFICANT TO ALLOW THEM 1528 00:51:57,001 --> 00:52:00,000 TO FAIL. 1529 00:52:00,001 --> 00:52:01,000 WHICH NOT ONLY ENABLES BUT 1530 00:52:01,001 --> 00:52:03,000 ENCOURAGES THESE SAME 1531 00:52:03,001 --> 00:52:04,000 CORPORATIONS TO CONTINUE WHAT 1532 00:52:04,001 --> 00:52:07,000 THE OBAMA ADMINISTRATION 1533 00:52:07,001 --> 00:52:08,000 CONCEDES IS MORE RISKY 1534 00:52:08,001 --> 00:52:09,000 BEHAVIOR. 1535 00:52:09,001 --> 00:52:11,000 ONE OF THE BEHAVIORS THAT THE 1536 00:52:11,001 --> 00:52:14,000 ADMINISTRATION AND CHAIRMAN 1537 00:52:14,001 --> 00:52:16,000 FRANK IDENTIFY AS RISKY IN 1538 00:52:16,001 --> 00:52:23,000 THESE SIGNIFICANTLY CIG CABOT 1539 00:52:23,001 --> 00:52:24,000 -- I MEAN, IN THESE 1540 00:52:24,001 --> 00:52:25,000 SYSTEMATICALLY SIGNIFICANT 1541 00:52:25,001 --> 00:52:26,000 CORPORATIONS, IS EXECUTIVE 1542 00:52:26,001 --> 00:52:28,000 COMPENSATION. 1543 00:52:28,001 --> 00:52:30,000 TODAY WE ARE PRESENTED WITH A 1544 00:52:30,001 --> 00:52:31,000 FIX. 1545 00:52:31,001 --> 00:52:33,000 A LEGISLATIVE RESPONSE TO THESE 1546 00:52:33,001 --> 00:52:35,000 BAILOUT BONUSES AND THE 1547 00:52:35,001 --> 00:52:40,000 RESULTING PUBLIC OUTRAGE. 1548 00:52:40,001 --> 00:52:41,000 THE CURE-ALL SOLUTION BEARS THE 1549 00:52:41,001 --> 00:52:43,000 LOFTY AND NOBLE TITLE, 1550 00:52:43,001 --> 00:52:44,000 CORPORATE AND FINANCIAL 1551 00:52:44,001 --> 00:52:46,000 INSTITUTION COMPENSATION 1552 00:52:46,001 --> 00:52:47,000 FAIRNESS ACT. 1553 00:52:47,001 --> 00:52:49,000 IT IS IN EVERY WAY UP TO THE 1554 00:52:49,001 --> 00:52:52,000 CHALLENGE LAID DOWN BY OUR 1555 00:52:52,001 --> 00:52:55,000 FORMER COLLEAGUE, MR. EMANUEL. 1556 00:52:55,001 --> 00:52:57,000 MOST RECENTLY OF 1600 1557 00:52:57,001 --> 00:52:59,000 PENNSYLVANIA AVENUE WHO NEVER 1558 00:52:59,001 --> 00:53:00,000 -- WHO SAID NEVER LET A CRISIS 1559 00:53:00,001 --> 00:53:02,000 GO TO WASTE. 1560 00:53:02,001 --> 00:53:05,000 IT IS ALSO IN MANY WAYS CLOSELY 1561 00:53:05,001 --> 00:53:07,000 AKIN TO THE RECENTLY DEPARTED 1562 00:53:07,001 --> 00:53:09,000 CAP AND TAX LEGISLATION AND THE 1563 00:53:09,001 --> 00:53:10,000 EVER-OMING GOVERNMENT, OR 1564 00:53:10,001 --> 00:53:11,000 SHOU I SAY PUBLIC OPTION, 1565 00:53:11,001 --> 00:53:13,000 HEALTH PLAN. 1566 00:53:13,001 --> 00:53:16,000 ALL THREE ARE SWEEPING POWER 1567 00:53:16,001 --> 00:53:17,000 GRAB INTO THE PRIVATE SECTOR 1568 00:53:17,001 --> 00:53:19,000 UNDER THE GUISE OF THE 1569 00:53:19,001 --> 00:53:20,000 GOVERNMENT RIDING TO THE 1570 00:53:20,001 --> 00:53:22,000 RESCUE. 1571 00:53:22,001 --> 00:53:23,000 ALL THREE RELY ON THE 1572 00:53:23,001 --> 00:53:25,000 GOVERNMENT TO FIX THE PROBLEM. 1573 00:53:25,001 --> 00:53:26,000 ALL THREE PROMISE TO FIX THE 1574 00:53:26,001 --> 00:53:29,000 PROBLEM WHICH TO A GREAT EXTENT 1575 00:53:29,001 --> 00:53:32,000 WAS CAUSED BY, GUESS WHO? 1576 00:53:32,001 --> 00:53:34,000 THAT'S RIGHT, THE GOVERNME. 1577 00:53:34,001 --> 00:53:35,000 AND LACK OF REGULATION BY THE 1578 00:53:35,001 --> 00:53:38,000 GOVERNMENT. 1579 00:53:38,001 --> 00:53:39,000 ALL THREE WILL CREATE OR MORE 1580 00:53:39,001 --> 00:53:41,000 ACCURATELY DUPLICATE LARGE 1581 00:53:41,001 --> 00:53:42,000 GOVERNMENT BUREAUCRACIES. 1582 00:53:42,001 --> 00:53:45,000 ALL THREE REPRESENT ILL-ADVISED 1583 00:53:45,001 --> 00:53:48,000 AND MANY CASES INCOMPETENT 1584 00:53:48,001 --> 00:53:52,000 GOVERNMENT INTRUSIONS. 1585 00:53:52,001 --> 00:53:53,000 JUST THREE WEEKS OR FOUR WEEKS 1586 00:53:53,001 --> 00:53:56,000 AGO, THE WHITE HOUSE SPOKESMAN, 1587 00:53:56,001 --> 00:53:58,000 OUR GENE SPERLING, LEGAL 1588 00:53:58,001 --> 00:54:01,000 COUNSEL FOR OF SECRETARY OF 1589 00:54:01,001 --> 00:54:03,000 TREASURER, WARNED, GO SLOW. 1590 00:54:03,001 --> 00:54:05,000 HE SAID, THIS IS A VERY DIFFICULT SUBJECT. 1591 00:54:05,001 --> 00:54:08,000 IT NEEDS TESTING. 1592 00:54:08,001 --> 00:54:10,000 IT HAS POTENTIAL FOR UNINTENDED 1593 00:54:10,001 --> 00:54:13,000 CONSEQUENCES. 1594 00:54:13,001 --> 00:54:14,000 JUST YESTERDAYEFORE THE 1595 00:54:14,001 --> 00:54:16,000 SENA, THE WHITE HOUSE PRESS 1596 00:54:16,001 --> 00:54:18,000 SPOKESMAN, ROBERT GIBBS, STATED 1597 00:54:18,001 --> 00:54:19,000 TH THE OBAMA ADMINISTRATION 1598 00:54:19,001 --> 00:54:21,000 IS CONCERNED THAT THE 1599 00:54:21,001 --> 00:54:22,000 CHAIRMAN'S LEGISLATION MAY GIVE 1600 00:54:22,001 --> 00:54:27,000 THE GOVERNMENT REGULATORS TOO 1601 00:54:27,001 --> 00:54:29,000 MUCH SAY ON 1602 00:54:29,001 --> 00:54:30,000 COMPENSATION. 1603 00:54:30,001 --> 00:54:33,000 BUT AS THE CHAIRMAN SAID TO THE 1604 00:54:33,001 --> 00:54:34,000 RULES COITTEE, MY LEGISLATION 1605 00:54:34,001 --> 00:54:36,000 GOES BEYOND WHAT THE OBAMA 1606 00:54:36,001 --> 00:54:38,000 ADMINISTRATION HAS PROPOSED. 1607 00:54:38,001 --> 00:54:39,000 NOW, IF THAT DOESN'T TAKE YOUR 1608 00:54:39,001 --> 00:54:42,000 BREATH AWAY, NOTHING WILL. 1609 00:54:42,001 --> 00:54:43,000 IN SOME WAYS, THIS LEGISLATION 1610 00:54:43,001 --> 00:54:45,000 BORDERS ON THE CLASSIC BAIT AND 1611 00:54:45,001 --> 00:54:46,000 SWITCH. 1612 00:54:46,001 --> 00:54:48,000 IT'S BEING SOLD AS GIVING THE 1613 00:54:48,001 --> 00:54:50,000 OWNERS OF THE CORPORATION THE 1614 00:54:50,001 --> 00:54:51,000 RIGHT TO SET PAY AND 1615 00:54:51,001 --> 00:54:53,000 COMPENSATION STANDARDS. 1616 00:54:53,001 --> 00:54:55,000 THAT'S THE SHAREHOLDERS. 1617 00:54:55,001 --> 00:54:58,000 CHAIRMAN FRANK JUST THIS WEEK 1618 00:54:58,001 --> 00:55:01,000 ON CNBC SAID DOLLAR AMOUNTS ARE 1619 00:55:01,001 --> 00:55:03,000 FOR THE CHAIR HOLEDERS TO 1620 00:55:03,001 --> 00:55:05,000 DECIDE. 1621 00:55:05,001 --> 00:55:07,000 -- SHAREHOLDERS TO DECIDE. 1622 00:55:07,001 --> 00:55:08,000 I WOULD LIKE -- IS MY TIME UP? 1623 00:55:08,001 --> 00:55:10,000 THE SPEAKER PRO TEMPORE: YES, 1624 00:55:10,001 --> 00:55:11,000 IT IS. 1625 00:55:11,001 --> 00:55:12,000 MR. BACHUS: I'D LIKE TO 1626 00:55:12,001 --> 00:55:14,000 RECOGNIZE MYSELF TWO MINUTES. 1627 00:55:14,001 --> 00:55:15,000 THE SPEAKER PRO TEMPORE: THE 1628 00:55:15,001 --> 00:55:17,000 GENTLEMAN IS RECOGNIZED FOR ONE 1629 00:55:17,001 --> 00:55:18,000 MINUTE. 1630 00:55:18,001 --> 00:55:21,000 MR. BACHUS: HE SAID SAY ON PAY 1631 00:55:21,001 --> 00:55:22,000 IS TO SHAREHOLDERS. 1632 00:55:22,001 --> 00:55:25,000 TRUE, THE FIRST X PAGES OF 1633 00:55:25,001 --> 00:55:26,000 THE BILL GIVE THE OWNERS, THE 1634 00:55:26,001 --> 00:55:28,000 SHAREHOLDERS A NONBINDING VOTE 1635 00:55:28,001 --> 00:55:32,000 ON THE PAY OF TOP EXECUTIVES. 1636 00:55:32,001 --> 00:55:34,000 BUT THEN COME THE NEXT EIGHT 1637 00:55:34,001 --> 00:55:35,000 PAGES. 1638 00:55:35,001 --> 00:55:37,000 THE SWITCH WHICH GIVES THE 1639 00:55:37,001 --> 00:55:38,000 REGULATORS THE POWER TO DECIDE 1640 00:55:38,001 --> 00:55:40,000 APPROPRIATE COMPENSATION FOR 1641 00:55:40,001 --> 00:55:42,000 NOT ONLY JUST TOP EXECUTIVES 1642 00:55:42,001 --> 00:55:44,000 BUT FOR ALL EMPLOYEES OF ALL 1643 00:55:44,001 --> 00:55:47,000 FINANCIAL INSTITUTIONS. 1644 00:55:47,001 --> 00:55:49,000 ABOVE $1 BILLION IN ASSETS. 1645 00:55:49,001 --> 00:55:50,000 AND ALL WITHOUT REGARD TO THE 1646 00:55:50,001 --> 00:55:53,000 SHAREHOLDERS' PRIOR APPROVAL. 1647 00:55:53,001 --> 00:55:54,000 SO UNDER THE GUISE OF 1648 00:55:54,001 --> 00:55:56,000 EMPOWERING SHAREHOLDERS IT IS 1649 00:55:56,001 --> 00:55:57,000 IN FACT THE GOVERNMENT THAT IS 1650 00:55:57,001 --> 00:55:59,000 IN POWER. 1651 00:55:59,001 --> 00:56:00,000 ONE LESSON WE HAVE LEARNED FROM 1652 00:56:00,001 --> 00:56:02,000 THE GOVERNMENT'S ARBITRARY 1653 00:56:02,001 --> 00:56:03,000 INTERVENTIONS OVER THE PAST 18 1654 00:56:03,001 --> 00:56:06,000 MONTHS, AND THAT IS THE 1655 00:56:06,001 --> 00:56:08,000 CONVERSE OF TWO BIG TO FAIL IS 1656 00:56:08,001 --> 00:56:11,000 TOO SMALL TO -- TOO BIG TO FAIL 1657 00:56:11,001 --> 00:56:12,000 IS TOO SMALL TO SAVE WHICH IS A 1658 00:56:12,001 --> 00:56:14,000 DESIGNATION WHICH APPLIES TO 1659 00:56:14,001 --> 00:56:16,000 99.9% OF BUSINESSES WHICH HAVE 1660 00:56:16,001 --> 00:56:18,000 BEEN DEEMED BY THIS 1661 00:56:18,001 --> 00:56:20,000 ADMINISTRATION AND THE 1662 00:56:20,001 --> 00:56:23,000 REGULATORS AS SIGNIFICANTLY 1663 00:56:23,001 --> 00:56:24,000 UNIMPORTANT OR SIGNIFICANT. 1664 00:56:24,001 --> 00:56:27,000 -- INSIGNIFICA 1665 00:56:27,001 --> 00:56:28,000 BUT NOT SO UNIMPORTANT, NOT SO 1666 00:56:28,001 --> 00:56:30,000 INSIGNIFICANT TO BE TOTALLY IGNORED. 1667 00:56:30,001 --> 00:56:33,000 WHILE NOT SIGNIFICANT ENOUGH TO 1668 00:56:33,001 --> 00:56:35,000 RECEIVE A BAILOUT, THEY ARE 1669 00:56:35,001 --> 00:56:37,000 APPARENTLY WORTHY OF INCREASED 1670 00:56:37,001 --> 00:56:38,000 REGULATION IN THE FORM OF 1671 00:56:38,001 --> 00:56:41,000 GOVERNMENT MANDATED PAY 1672 00:56:41,001 --> 00:56:42,000 REGULATIONS AND NEW DISCLOSURE 1673 00:56:42,001 --> 00:56:44,000 REQUIREMENTS IN THE CHAIRMAN'S 1674 00:56:44,001 --> 00:56:45,000 BILL. 1675 00:56:45,001 --> 00:56:48,000 AND FINALLY ON PAGE 15, THE 1676 00:56:48,001 --> 00:56:50,000 BILL DESIGNATES THOSE SAME 1677 00:56:50,001 --> 00:56:53,000 GOVERNMENT ENTITIES WHICH ARE 1678 00:56:53,001 --> 00:56:55,000 EMPOWERED TO CONTROL 1679 00:56:55,001 --> 00:56:56,000 COMPENSATION PLANS THAT WOULD 1680 00:56:56,001 --> 00:56:58,000 THREATEN THE SAFETY OF 1681 00:56:58,001 --> 00:57:00,000 FINANCIAL INSTITUTIONS OR 1682 00:57:00,001 --> 00:57:01,000 ADVERSELY IMPACT ECONOMIC 1683 00:57:01,001 --> 00:57:06,000 CONDITIONS OR FINANCIAL 1684 00:57:06,001 --> 00:57:08,000 STABILITY TO OVERSEE THIS 1685 00:57:08,001 --> 00:57:09,000 RISKINESS. 1686 00:57:09,001 --> 00:57:10,000 LOOK OVER THE LIST AND SEE IF 1687 00:57:10,001 --> 00:57:12,000 IT INSPIRES CONFIDENCE. 1688 00:57:12,001 --> 00:57:14,000 THESE ARE THE SAME GOVERNMENT 1689 00:57:14,001 --> 00:57:16,000 AGENCIES THAT REGULATED A.I.G., 1690 00:57:16,001 --> 00:57:17,000 COUNTRYWIDE AND COLLECTIVELY 1691 00:57:17,001 --> 00:57:20,000 FAILED TO PREVENT THE WORST -- 1692 00:57:20,001 --> 00:57:21,000 I YIELD MYSELF AN ADDITIONAL 1693 00:57:21,001 --> 00:57:23,000 MINUTE. 1694 00:57:23,001 --> 00:57:24,000 THE SPEAKER PRO TEMPORE: THE 1695 00:57:24,001 --> 00:57:26,000 GENTLEMAN IS RECOGNIZED FOR ONE MINUTE. 1696 00:57:26,001 --> 00:57:28,000 MR. BACHUS: THESE ARE THE SAME 1697 00:57:28,001 --> 00:57:29,000 GOVERNMENT AGENCIES THAT 1698 00:57:29,001 --> 00:57:30,000 REGULATED A.I.G., COUNTRYWIDE 1699 00:57:30,001 --> 00:57:32,000 AND COLLECTIVELY FAILED TO 1700 00:57:32,001 --> 00:57:33,000 PREVENT THE WORST FINANCIAL 1701 00:57:33,001 --> 00:57:36,000 CALAMITY SINCE THE GREAT DEPRESSION. 1702 00:57:36,001 --> 00:57:37,000 IF IT TOOK THEM 30 YEARS TO 1703 00:57:37,001 --> 00:57:39,000 CATCH BERNIE MADOFF, DO YOU 1704 00:57:39,001 --> 00:57:41,000 REALLY THINK THE S.E.C. CAN DO 1705 00:57:41,001 --> 00:57:45,000 BEATER SWROB OF IDENTIFYING -- 1706 00:57:45,001 --> 00:57:47,000 DO A BETTER JOB OF IDENTIFYING 1707 00:57:47,001 --> 00:57:48,000 INAPPROPRIATE RISK OF FINANCIAL 1708 00:57:48,001 --> 00:57:49,000 EXECUTIVES WHOSE BUSINESSES 1709 00:57:49,001 --> 00:57:51,000 HAVE REMAIN SOLVENT DURING 1710 00:57:51,001 --> 00:57:52,000 THESE CHALLENGING TIMES? 1711 00:57:52,001 --> 00:57:54,000 REALLY NOW, IS THERE ANY 1712 00:57:54,001 --> 00:57:55,000 QUESTION WHO IS BETTER 1713 00:57:55,001 --> 00:57:57,000 QUALIFIED OR FOR THAT MATTER 1714 00:57:57,001 --> 00:57:58,000 WHO OUGHT TO BE RESPONSIBLE FOR 1715 00:57:58,001 --> 00:58:00,000 SETTING COMPENSATION WITHIN THE 1716 00:58:00,001 --> 00:58:02,000 AMERICAN CORPORATION? 1717 00:58:02,001 --> 00:58:03,000 IN CLOSING, MR. CHAIRMAN, THIS 1718 00:58:03,001 --> 00:58:05,000 BILL CONTINUES THE DEMOCRAT 1719 00:58:05,001 --> 00:58:08,000 MAJORITY'S TENDENCY TO GO TO 1720 00:58:08,001 --> 00:58:09,000 THE DEFAULT SOLUTION FOR EVERY 1721 00:58:09,001 --> 00:58:12,000 PROBLEM, CREATE A GOVERNMENT 1722 00:58:12,001 --> 00:58:13,000 BUREAUCRACY TO MAKE DECIONS 1723 00:58:13,001 --> 00:58:15,000 BETTER LEFT TO PRIVATE CITIZENS 1724 00:58:15,001 --> 00:58:17,000 AND PRIVATE CORPORATIONS. 1725 00:58:17,001 --> 00:58:18,000 THAT'S WHAT WE DID IN CAP AND 1726 00:58:18,001 --> 00:58:21,000 TRADE, THAT'S WHAT WE DID IN 1727 00:58:21,001 --> 00:58:22,000 THE HEALTH CARE PROPOSALS, AND 1728 00:58:22,001 --> 00:58:25,000 IT'S THIS BILL ON STPWHRECK TIF 1729 00:58:25,001 --> 00:58:26,000 COMPENSATION -- EXECUTIVE 1730 00:58:26,001 --> 00:58:27,000 COMPENSATION GOVERNMENT 1731 00:58:27,001 --> 00:58:28,000 BUREAUCRATS DON'T KNOW WHAT'S 1732 00:58:28,001 --> 00:58:30,000 BEST FOR AMERICA. 1733 00:58:30,001 --> 00:58:31,000 FOR THOSE REASONS, MR. 1734 00:58:31,001 --> 00:58:34,000 CHAIRMAN, I URGE OPPOSITION TO 1735 00:58:34,001 --> 00:58:35,000 THIS LEGISLATION AND RESERVE 1736 00:58:35,001 --> 00:58:37,000 THE BALANCE OF MY TIME. 1737 00:58:37,001 --> 00:58:38,000 THE SPEAKER PRO TEMPORE: THE 1738 00:58:38,001 --> 00:58:39,000 GENTLEMAN RESERVES THE BALANCE 1739 00:58:39,001 --> 00:58:40,000 OF HIS TIME. 1740 00:58:40,001 --> 00:58:42,000 THE GENTLEMAN FROM 1741 00:58:42,001 --> 00:58:43,000 MASSACHUSETTS. 1742 00:58:43,001 --> 00:58:44,000 MR. FRANK: MR. CHAIRMAN, I 1743 00:58:44,001 --> 00:58:46,000 YIELD MYSELF THREE ADDITIONAL 1744 00:58:46,001 --> 00:58:48,000 MINUTES TO DEAL WITH SOME OF THESE COMMENTS. 1745 00:58:48,001 --> 00:58:49,000 THE SPEAKER PRO TEMPORE: THE 1746 00:58:49,001 --> 00:58:50,000 GENTLEMAN IS RECOGNIZED. 1747 00:58:50,001 --> 00:58:52,000 MR. FRANK: FIRST OF ALL, I'M 1748 00:58:52,001 --> 00:58:53,000 STRUCK BY THE FACT AS THE 1749 00:58:53,001 --> 00:58:55,000 GENTLEMAN, AS HE INDICATED IN 1750 00:58:55,001 --> 00:58:56,000 OUR MARKUP, IS SUFFICIENTLY 1751 00:58:56,001 --> 00:58:57,000 NERVOUS ABOUT THE POLITICAL 1752 00:58:57,001 --> 00:58:59,000 IMPLICATIONS OF IMPOSING THIS 1753 00:58:59,001 --> 00:59:00,000 BILL AND HAVING THE HOUSE TAKE 1754 00:59:00,001 --> 00:59:01,000 NO ACTION WHATSOEVER TO DEAL 1755 00:59:01,001 --> 00:59:03,000 WITH THE PROBLEM OF RISK 1756 00:59:03,001 --> 00:59:04,000 INCENTIVIZING BONUSES. 1757 00:59:04,001 --> 00:59:05,000 BUT HE WANTS TO DEBATE CAP AND 1758 00:59:05,001 --> 00:59:06,000 TRADE AND HEALTH CARE. 1759 00:59:06,001 --> 00:59:08,000 THEY'RE NOT BEFORE US. 1760 00:59:08,001 --> 00:59:09,000 WHAT'S BEFORE US IS THIS BILL, 1761 00:59:09,001 --> 00:59:10,000 AND WHEN MEMBERS DEBATE THE 1762 00:59:10,001 --> 00:59:12,000 BILLS THAT AREN'T HERE, IT'S AN 1763 00:59:12,001 --> 00:59:13,000 INDICATION THAT THEY'RE A 1764 00:59:13,001 --> 00:59:14,000 LITTLE SHAKY ON THE BILLS THAT 1765 00:59:14,001 --> 00:59:15,000 ARE HERE. 1766 00:59:15,001 --> 00:59:17,000 SECONDLY, YES, IT DOES SAY THAT 1767 00:59:17,001 --> 00:59:19,000 THEY CAN DEAL WITH ALL WAGES BUT NOT IN GENERAL. 1768 00:59:19,001 --> 00:59:20,000 THE GENTLEMAN READS 1769 00:59:20,001 --> 00:59:22,000 SELECTIVELY. 1770 00:59:22,001 --> 00:59:24,000 THE READING ABOUT TAKING ACTION IS IN THIS CONTEXT. 1771 00:59:24,001 --> 00:59:25,000 TO DETERMINE WHETHER THE 1772 00:59:25,001 --> 00:59:27,000 COMPENSATION STRUCTURE IS 1773 00:59:27,001 --> 00:59:28,000 ALIGNED WITH SOUND RISK 1774 00:59:28,001 --> 00:59:29,000 MANAGEMENT IS STRUCTURED TO 1775 00:59:29,001 --> 00:59:30,000 ACCOUNT FOR THE TIME HORIZON OF 1776 00:59:30,001 --> 00:59:34,000 RISKS. 1777 00:59:34,001 --> 00:59:36,000 AND WILL REDUCE UNREASONABLE 1778 00:59:36,001 --> 00:59:38,000 INCENTIVES BY SUCH INSTITUTIONS 1779 00:59:38,001 --> 00:59:40,000 FOR EMPLOYEES TO TAKE UNDUE 1780 00:59:40,001 --> 00:59:41,000 RISKS. 1781 00:59:41,001 --> 00:59:44,000 IT IS LIMITED IN ITS GRANTOR 1782 00:59:44,001 --> 00:59:45,000 AUTHORITY ONLY TO STRUCTURES 1783 00:59:45,001 --> 00:59:46,000 THAT INCENTIVIZE EXCESSIVE 1784 00:59:46,001 --> 00:59:48,000 RISK. 1785 00:59:48,001 --> 00:59:50,000 THERE IS NO MANDATE HERE TO SET 1786 00:59:50,001 --> 00:59:51,000 WAGES FOR ANYBODY. 1787 00:59:51,001 --> 00:59:53,000 THERE IS NO MANDATE TO SAY THIS 1788 00:59:53,001 --> 00:59:54,000 PERCENTAGE IS BONUSES AND THAT 1789 00:59:54,001 --> 00:59:56,000 RCENTAGE IS PAY. 1790 00:59:56,001 --> 00:59:57,000 IT'S A MANDATE ONLY TO ACT 1791 00:59:57,001 --> 00:59:59,000 WHERE THE STRUCTURE INVENT 1792 00:59:59,001 --> 01:00:01,000 ADVISES RISK. 1793 01:00:01,001 --> 01:00:03,000 AS HAS BEEN RECOGNIZED AS PART 1794 01:00:03,001 --> 01:00:04,000 OF THE PROBLEM VERY BROADLY. 1795 01:00:04,001 --> 01:00:05,000 I WILL PLEAD GUILTY TO ONE 1796 01:00:05,001 --> 01:00:08,000 ISSUE. 1797 01:00:08,001 --> 01:00:09,000 TAKING ORDERS FROM THE OBAMA 1798 01:00:09,001 --> 01:00:11,000 ADMINISTRATION. 1799 01:00:11,001 --> 01:00:12,000 AND MAYBE HAVING REPRESENTED A 1800 01:00:12,001 --> 01:00:14,000 PARTY THAT TOOK ORDERS FROM THE 1801 01:00:14,001 --> 01:00:16,000 BUSH ADMINISTRATION, THEY NOW 1802 01:00:16,001 --> 01:00:17,000 WISH THEY DIDN'T, BUT THAT'S 1803 01:00:17,001 --> 01:00:19,000 NOT AN EXAMPLE I WANT TO 1804 01:00:19,001 --> 01:00:20,000 FOLLOW. 1805 01:00:20,001 --> 01:00:21,000 I AM NOT HERE AS A MEMBER OF 1806 01:00:21,001 --> 01:00:22,000 CONGRESS OR AS CHAIRMAN OF A 1807 01:00:22,001 --> 01:00:24,000 COMMITTEE TO DO WHATEVER AN 1808 01:00:24,001 --> 01:00:25,000 ADMINISTRATION SAYS. 1809 01:00:25,001 --> 01:00:27,000 I AM HERE FOR US TO PUT OUR 1810 01:00:27,001 --> 01:00:28,000 INDEPENDENT JUDGMENT. 1811 01:00:28,001 --> 01:00:30,000 BUT THE GENTLEMAN CLOSED WITH 1812 01:00:30,001 --> 01:00:31,000 THE KEY DIFFERENCE BETWEEN US. 1813 01:00:31,001 --> 01:00:37,000 THE REPUBLICAN POSITION, AS HE 1814 01:00:37,001 --> 01:00:39,000 ARTICULATES AND IT IS HAVE THE 1815 01:00:39,001 --> 01:00:40,000 FEDERAL GOVERNMENT TAKE NO 1816 01:00:40,001 --> 01:00:42,000 ACTION WHATSOEVER TO STRAIN THE 1817 01:00:42,001 --> 01:00:43,000 BONUSES THAT INCENTIVIZE 1818 01:00:43,001 --> 01:00:45,000 EXCESSIVE RISK. 1819 01:00:45,001 --> 01:00:47,000 IF THEY PAY BACK THAT TARP 1820 01:00:47,001 --> 01:00:51,000 MONEY THAT THEY BENEFITED FROM 1821 01:00:51,001 --> 01:00:52,000 -- AND THEIR POSITION IS DO 1822 01:00:52,001 --> 01:00:54,000 NOTHING TO DEAL WITH THIS. 1823 01:00:54,001 --> 01:00:55,000 WE TAKE THE OPPOSITE POSITION. I RESERVE THE BALANCE OF MY 1824 01:00:55,001 --> 01:00:57,000 TIME. 1825 01:00:57,001 --> 01:00:59,000 THE SPEAKER PRO 1826 01:00:59,001 --> 01:01:00,000 GENTLEMAN RESERVES THE BALANCE 1827 01:01:00,001 --> 01:01:01,000 OF HIS TIME. 1828 01:01:01,001 --> 01:01:02,000 THE GENTLEMAN FROM ALABAMA. 1829 01:01:02,001 --> 01:01:04,000 THE GENTLEMAN FROM ALABAMA. 1830 01:01:04,001 --> 01:01:05,000 MR. BACHUS: THANK YOU. 1831 01:01:05,001 --> 01:01:06,000 MR. CHAIRMAN, I YIELD TWO 1832 01:01:06,001 --> 01:01:07,000 MINUTES TO THE GENTLEMAN FROM 1833 01:01:07,001 --> 01:01:09,000 SOUTH CAROLINA. 1834 01:01:09,001 --> 01:01:10,000 THE SP 1835 01:01:10,001 --> 01:01:12,000 GENTLEMAN IS RECOGNIZED FOR TWO 1836 01:01:12,001 --> 01:01:15,000 MINUTES. 1837 01:01:15,001 --> 01:01:16,000 MR. BARRETT: MR. SPEAKER, I 1838 01:01:16,001 --> 01:01:18,000 RISE IN OPPOSITION OF THE 1839 01:01:18,001 --> 01:01:19,000 CORPORATE AND FINANCIAL 1840 01:01:19,001 --> 01:01:21,000 INSTUTION COMPENSATION FAIRNESS ACT OF 20. 1841 01:01:21,001 --> 01:01:23,000 RESTORING CONFIDENCE IN OUR 1842 01:01:23,001 --> 01:01:24,000 FINANCIAL MARKETS IS CRUCIAL, 1843 01:01:24,001 --> 01:01:25,000 MR. SPEAKER. 1844 01:01:25,001 --> 01:01:26,000 A COMPONENT IN BRINGING ABOUT 1845 01:01:26,001 --> 01:01:28,000 ECONOMIC RECOVERY, AND I 1846 01:01:28,001 --> 01:01:29,000 SUPPORT EFFORTS TO RESPONSIBLY 1847 01:01:29,001 --> 01:01:30,000 ADDRESS THE ISSUES THAT LED TO 1848 01:01:30,001 --> 01:01:31,000 THE FINANCIAL CRISIS THAT WE'RE 1849 01:01:31,001 --> 01:01:35,000 FACING TODAY. 1850 01:01:35,001 --> 01:01:36,000 HOWEVER, 3269 DOES 1851 01:01:36,001 --> 01:01:37,000 EITHER. 1852 01:01:37,001 --> 01:01:38,000 INSTEAD OF ADDRESSING THE NEED 1853 01:01:38,001 --> 01:01:40,000 FOR SMARTER REGULATION, THIS 1854 01:01:40,001 --> 01:01:41,000 ILL REPRESENTS FURTHER 1855 01:01:41,001 --> 01:01:42,000 GOVERNMENT INTRUSION INTO THE 1856 01:01:42,001 --> 01:01:44,000 PRIVATE SECTOR THAT CULETLY 1857 01:01:44,001 --> 01:01:45,000 HINDER ECONOMIC RECOVERY. 1858 01:01:45,001 --> 01:01:48,000 IF THIS LEGISLATION IS PASSED, 1859 01:01:48,001 --> 01:01:50,000 IT W 1860 01:01:50,001 --> 01:01:52,000 FAR-REACHING AND PERMANENT 1861 01:01:52,001 --> 01:01:54,000 GOVERNMENT REGULATIONS ON THE 1862 01:01:54,001 --> 01:01:55,000 COMPENSATION PRACTICES OF 1863 01:01:55,001 --> 01:01:56,000 FINANCIAL INSTITUTIONS, 1864 01:01:56,001 --> 01:01:58,000 CRIPPLING THEIR ABILITY TO 1865 01:01:58,001 --> 01:01:59,000 RECRUIT TOP TALENT AND REMAIN 1866 01:01:59,001 --> 01:02:01,000 COMPETITIVE ABROAD AND HERE AT 1867 01:02:01,001 --> 01:02:02,000 HOME. 1868 01:02:02,001 --> 01:02:04,000 MR. SPEAKER, THIS BILL GOES TOO 1869 01:02:04,001 --> 01:02:05,000 FAR BY GIVING FEDERAL 1870 01:02:05,001 --> 01:02:07,000 GOVERNMENT, THE FEDERAL 1871 01:02:07,001 --> 01:02:08,000 GOVERNMENT THE AUTHORI TO 1872 01:02:08,001 --> 01:02:09,000 MAKE COMPENSATION DECISIONS FOR 1873 01:02:09,001 --> 01:02:11,000 A WIDE RANGE OF EMPLOYEES AND 1874 01:02:11,001 --> 01:02:13,000 THOUSANDS OF FINANCIAL FIRMS 1875 01:02:13,001 --> 01:02:14,000 ACROSS THE UNITED STATES, WHICH 1876 01:02:14,001 --> 01:02:15,000 WE CAN ALL AGREE IS A FAR CRY 1877 01:02:15,001 --> 01:02:17,000 FROM JUST CAPPING EXECUTIVE 1878 01:02:17,001 --> 01:02:18,000 PAY. 1879 01:02:18,001 --> 01:02:19,000 IN TOUGH ECONOMIC TIMES LIKE 1880 01:02:19,001 --> 01:02:22,000 THESE, WE NEED TO IF HE CUSS ON 1881 01:02:22,001 --> 01:02:23,000 WAYSO RESTORE CONFIDENCE -- 1882 01:02:23,001 --> 01:02:25,000 WE NEED TO FIND WAYS TO RESTORE 1883 01:02:25,001 --> 01:02:26,000 CONFIDENCE IN AMERICAN 1884 01:02:26,001 --> 01:02:27,000 BUSINESSES THROUGH RESPONSIBLE 1885 01:02:27,001 --> 01:02:30,000 POLICIES THAT RESTORE MARKET 1886 01:02:30,001 --> 01:02:32,000 DISCIPLINE AND DISCOURAGE 1887 01:02:32,001 --> 01:02:35,000 EXECUTIVE RISK. -- EXCESSIVE RISK. 1888 01:02:35,001 --> 01:02:36,000 I BELIEVE WE CANNOT HAVE A FULL 1889 01:02:36,001 --> 01:02:38,000 ECONOMIC RECOVERY WITH A 1890 01:02:38,001 --> 01:02:39,000 PERMANENT OVERREACHING 1891 01:02:39,001 --> 01:02:41,000 REGULATIONS THAT THIS PUTS IN 1892 01:02:41,001 --> 01:02:42,000 PLACE BY THIS LEGISLATION. 1893 01:02:42,001 --> 01:02:45,000 I THEREFORE URGE MCOLLEAGUES 1894 01:02:45,001 --> 01:02:47,000 TO JOIN ME IN VOTING NO ON THIS 1895 01:02:47,001 --> 01:02:48,000 LEGISLATION, AND I YIELD BACK 1896 01:02:48,001 --> 01:02:50,000 THE BALANCE OF MY TIME. 1897 01:02:50,001 --> 01:02:52,000 THE SPEAKER PRO TEMPORE: THE GENTLEMAN YIELDS BACK THE 1898 01:02:52,001 --> 01:02:53,000 BALANCE OF HIS TIME. 1899 01:02:53,001 --> 01:02:55,000 THE GENTLEMAN FROM 1900 01:02:55,001 --> 01:02:56,000 MASSACHUSETTS. 1901 01:02:56,001 --> 01:02:57,000 MR. FRANK: I YIELD FOUR MINUTES 1902 01:02:57,001 --> 01:02:59,000 TO A MEMBER OF THE COMMITTEE, 1903 01:02:59,001 --> 01:03:00,000 THE GENTLEMAN FROM GEORGIA, MR. 1904 01:03:00,001 --> 01:03:01,000 SCOTT. 1905 01:03:01,001 --> 01:03:02,000 THE SPEAKER PRO TEMPORE: THE 1906 01:03:02,001 --> 01:03:04,000 GENTLEMAN IS RECOGNIZED FOR 1907 01:03:04,001 --> 01:03:05,000 FOUR MINUTES. 1908 01:03:05,001 --> 01:03:06,000 MR. SCOTT: THANK YOU VERY MUCH, 1909 01:03:06,001 --> 01:03:07,000 MR. SPEAKER. 1910 01:03:07,001 --> 01:03:09,000 I APPRECIATE THAT VERY MUCH. 1911 01:03:09,001 --> 01:03:11,000 LET ME JUST START OUT BY SAYING THIS. 1912 01:03:11,001 --> 01:03:13,000 WE'RE HEARING COMPLAINTS FROM 1913 01:03:13,001 --> 01:03:15,000 THE OTHER SIDE ABOUT WE ARE TAKING OVER THE PRIVATE 1914 01:03:15,001 --> 01:03:16,000 ENTERPRI SYSTEM. 1915 01:03:16,001 --> 01:03:18,000 WE ARE TAKING OVER THE FREE 1916 01:03:18,001 --> 01:03:19,000 ENTERPRISE SYSTEM. 1917 01:03:19,001 --> 01:03:20,000 LET ME REMIND THEM THAT IT 1918 01:03:20,001 --> 01:03:22,000 WASN'T US THAT WENT TO THE 1919 01:03:22,001 --> 01:03:23,000 PRIVATE ENTERPRISE SYSTEM, IT 1920 01:03:23,001 --> 01:03:24,000 WASN'T THE GOVERNMENT THAT WENT 1921 01:03:24,001 --> 01:03:25,000 TO WALL STREET. 1922 01:03:25,001 --> 01:03:27,000 WALL STREET CAME TO THE 1923 01:03:27,001 --> 01:03:29,000 GOVERNMENT TO BAIL THEM OUT FROM THEIR BEHAVIORS. 1924 01:03:29,001 --> 01:03:31,000 NOW, MR. SPEAKER, THE AMERICAN 1925 01:03:31,001 --> 01:03:32,000 LANDSCAPE IS ABSOLUTELY 1926 01:03:32,001 --> 01:03:35,000 LITTERED WITH COMPANY AFTER 1927 01:03:35,001 --> 01:03:37,000 COMPANY THAT HAS BEEN DRIVEN 1928 01:03:37,001 --> 01:03:40,000 INTO THE GROUND BY EXECUTIVES 1929 01:03:40,001 --> 01:03:41,000 WHO WERE GREEDY, WHO WERE 1930 01:03:41,001 --> 01:03:46,000 SELFISH, CARED ONLY ABOUT 1931 01:03:46,001 --> 01:03:47,000 THEMSELVES WITH THESE HUGE 1932 01:03:47,001 --> 01:03:49,000 SALARIES AND THESE COMPANIES 1933 01:03:49,001 --> 01:03:51,000 ARE LEFT TO WITHER ON THE VINE 1934 01:03:51,001 --> 01:03:52,000 AFTER THEY HAVE GOTTEN THEIR 1935 01:03:52,001 --> 01:03:53,000 GOLDEN PARACHUTES AND VE 1936 01:03:53,001 --> 01:03:55,000 LANDED ELSEWHERE. 1937 01:03:55,001 --> 01:03:57,000 SOMEBODY NEEDS TO SAY SOMETHING 1938 01:03:57,001 --> 01:03:59,000 ABOUT THE AMERICAN PEOPLE. 1939 01:03:59,001 --> 01:04:02,000 THIS IS A FREE ENTERPRISE 1940 01:04:02,001 --> 01:04:03,000 YSTEM, BUT IT'S NOT JUST FREE 1941 01:04:03,001 --> 01:04:06,000 FOR TOP EXECUTIVES 1942 01:04:06,001 --> 01:04:08,000 IT'S FREE FOR SHAREHOLDERS. 1943 01:04:08,001 --> 01:04:10,000 IT'S FREE FOR THOSE MEN AND 1944 01:04:10,001 --> 01:04:11,000 WOMEN WHO'VE GIVEN THEIR LIVES, 1945 01:04:11,001 --> 01:04:13,000 THEIR BLOOD, THEIR SWEAT AND 1946 01:04:13,001 --> 01:04:14,000 THEIR TEARS. 1947 01:04:14,001 --> 01:04:16,000 AND TO SEE THEIR COMPANIES IN 1948 01:04:16,001 --> 01:04:19,000 SHAMBLES BECAUSE OF EXCESSIVE 1949 01:04:19,001 --> 01:04:20,000 PAY BY EXECUTIVES WHO HAVE 1950 01:04:20,001 --> 01:04:23,000 ABANDONED THOSE COMPANIES, WHAT 1951 01:04:23,001 --> 01:04:26,000 ABOUT THEIR PENSI 1952 01:04:26,001 --> 01:04:27,000 WHAT ABOUT THEIR RETIREMENT 1953 01:04:27,001 --> 01:04:28,000 THAT HAVE GONE? 1954 01:04:28,001 --> 01:04:30,000 NO, MR. SPEAKER, THIS IS NOT 1955 01:04:30,001 --> 01:04:32,000 ABOUT TAKING OVER THE PRIVATE 1956 01:04:32,001 --> 01:04:33,000 ENTERPRISE SYSTEM. 1957 01:04:33,001 --> 01:04:36,000 MR. SPEAKER, THIS IS ABOUT 1958 01:04:36,001 --> 01:04:37,000 SAVING AND PROTECTING 1959 01:04:37,001 --> 01:04:41,000 ENTERPRISE SYSTEM SO THAT WE 1960 01:04:41,001 --> 01:04:43,000 ALL CAN BFREE TO PARTICIPATE 1961 01:04:43,001 --> 01:04:44,000 IN THE SYSTEM. 1962 01:04:44,001 --> 01:04:47,000 NOW, MR. SPEAKER, WHAT WE HAVE 1963 01:04:47,001 --> 01:04:48,000 BEFORE US HERE IS SOMETHING 1964 01:04:48,001 --> 01:04:53,000 BECAUSE OF THE FACT THAT 1965 01:04:53,001 --> 01:04:54,000 FINANCIAL FIRMS PUT TOGETHER 1966 01:04:54,001 --> 01:04:57,000 COMPENSATION PACKAGES AND 1967 01:04:57,001 --> 01:04:59,000 BONUSES THAT WERE BASED ON 1968 01:04:59,001 --> 01:05:02,000 INCENTIVES, THAT WERE LAYDEN 1969 01:05:02,001 --> 01:05:07,000 WITH EXCESSIVE RISK THAT CAUSED 1970 01:05:07,001 --> 01:05:08,000 OUR FINANCIAL CRIS 1971 01:05:08,001 --> 01:05:11,000 BROUGHT THIS ECONOMY TO THE 1972 01:05:11,001 --> 01:05:13,000 EDGE OF COLLAPSE AND CAUSED US 1973 01:05:13,001 --> 01:05:16,000 HERE IN CONGRESS TO GO AND GET 1974 01:05:16,001 --> 01:05:18,000 OVER $2 TRILLION OF THE 1975 01:05:18,001 --> 01:05:19,000 AMERICAN TAXPAYERS' MONEY TO 1976 01:05:19,001 --> 01:05:21,000 BAIL THEM OUT. 1977 01:05:21,001 --> 01:05:22,000 NOW, THE FIRST ORDER OF 1978 01:05:22,001 --> 01:05:24,000 BUSINESS -- AND THIS IS W 1979 01:05:24,001 --> 01:05:26,000 THIS BILL THAT CHAIRMAN FRANK 1980 01:05:26,001 --> 01:05:28,000 HAS PUSHED AND I'M PROUD TO SAY 1981 01:05:28,001 --> 01:05:31,000 THAT WE WORKED ON THIS TOGETHER 1982 01:05:31,001 --> 01:05:33,000 OVER THREE YEARS AGO. 1983 01:05:33,001 --> 01:05:34,000 HAD WE HAD THAT BILL IN PLACE 1984 01:05:34,001 --> 01:05:37,000 THREE YEARS AGO WE MIGHT NOT 1985 01:05:37,001 --> 01:05:39,000 HAVE HAD THIS FINANCIAL CRISIS 1986 01:05:39,001 --> 01:05:41,000 BECAUSE WE WILL HAVE BEEN ABLE 1987 01:05:41,001 --> 01:05:44,000 TO REIN IN THE RISKY CORPORATE 1988 01:05:44,001 --> 01:05:45,000 BEHAVIOR THAT BROUGHT ABOUT THE 1989 01:05:45,001 --> 01:05:47,000 COLLAPSE. 1990 01:05:47,001 --> 01:05:48,000 AND SO THAT'S WHAT WE'RE DOING. 1991 01:05:48,001 --> 01:05:49,000 WE'RE PUTTING FORWARD SOME 1992 01:05:49,001 --> 01:05:51,000 REASONABLE MEANS HERE. 1993 01:05:51,001 --> 01:05:55,000 WHAT IS MORE REASONABLE THAN 1994 01:05:55,001 --> 01:05:56,000 GIVING THE SHAREHOLDERS A 1995 01:05:56,001 --> 01:05:57,000 SIMPLE SAY, A VOTE? 1996 01:05:57,001 --> 01:05:59,000 IT'S NONBINDING. 1997 01:05:59,001 --> 01:06:00,000 WE'RE NOT SETTING THE SALARIES. 1998 01:06:00,001 --> 01:06:03,000 EVEN THE SHAREHOLDERS ARE NOT. 1999 01:06:03,001 --> 01:06:04,000 BUT DON'T THEY HAVE A RIGHT? 2000 01:06:04,001 --> 01:06:06,000 ISN'T THEIR COMPANY? 2001 01:06:06,001 --> 01:06:07,000 THEY'RE THE ONES THAT ARE 2002 01:06:07,001 --> 01:06:10,000 PUMPING THE MONEY INTO IT. 2003 01:06:10,001 --> 01:06:12,000 THE OTHER FEATURE ABOUT THE 2004 01:06:12,001 --> 01:06:15,000 BILL, MRSPEAKER, THAT IS VERY 2005 01:06:15,001 --> 01:06:17,000 SIMPLE, VERY REASONABLE IS THAT 2006 01:06:17,001 --> 01:06:19,000 WE REQUIRE THESE COMPENSATION 2007 01:06:19,001 --> 01:06:21,000 COMMITTEES THAT ARE ON THESE 2008 01:06:21,001 --> 01:06:23,000 BOARDS TO BE INDEPENDENT. 2009 01:06:23,001 --> 01:06:25,000 RIGHT NOW IT'S A COZY 2010 01:06:25,001 --> 01:06:26,000 RELATIONSHIP. 2011 01:06:26,001 --> 01:06:28,000 THE C.E.O. REFERS TO THEAS 2012 01:06:28,001 --> 01:06:29,000 HIS BOARD. 2013 01:06:29,001 --> 01:06:33,000 THEY'RE HAND PICKED. 2014 01:06:33,001 --> 01:06:35,000 THEY'RE PAID $50,000, $100,000, 2015 01:06:35,001 --> 01:06:36,000 $200,000 TO COME AND SIT. 2016 01:06:36,001 --> 01:06:38,000 THEY NEED TO BE INDEPENDENT, 2017 01:06:38,001 --> 01:06:40,000 AND WE HAVE RULES AND 2018 01:06:40,001 --> 01:06:41,000 REGULATIONS IN THE BILL THAT 2019 01:06:41,001 --> 01:06:43,000 ALLOW FOR THE REGULATORS TO 2020 01:06:43,001 --> 01:06:44,000 DETERMINE WHAT THESE CONDITIONS 2021 01:06:44,001 --> 01:06:45,000 WILL BE TO MAKE SURE THEY'RE 2022 01:06:45,001 --> 01:06:47,000 INDEPENDENT. 2023 01:06:47,001 --> 01:06:48,000 WE MAKE SURE THAT THE 2024 01:06:48,001 --> 01:06:51,000 CONSULTANTS WHO COME IN AND 2025 01:06:51,001 --> 01:06:53,000 HELP SET UP THESE COMPENSATION 2026 01:06:53,001 --> 01:06:54,000 PACKAGES ARE THERE. 2027 01:06:54,001 --> 01:06:56,000 THE OTHER POINT WE DO HERE, MR. 2028 01:06:56,001 --> 01:06:59,000 SPEAKER, WHICH IS IMPORTANT, WE 2029 01:06:59,001 --> 01:07:02,000 ALSO WANT TO MAKE SURE THAT AS 2030 01:07:02,001 --> 01:07:05,000 WE MOVE FORWARD IN THIS 2031 01:07:05,001 --> 01:07:06,000 RISKY BEHAVIOR IS DISCLOSED SO 2032 01:07:06,001 --> 01:07:07,000 THAT WE CAN PREVENT IT. 2033 01:07:07,001 --> 01:07:09,000 IT'S A VERY GOOD BILL, MR. 2034 01:07:09,001 --> 01:07:11,000 SPEAKER. 2035 01:07:11,001 --> 01:07:13,000 THE SPEAKER PRO TEMPORE: THE 2036 01:07:13,001 --> 01:07:14,000 GENTLEMAN'S TIME HAS EXPIRED. 2037 01:07:14,001 --> 01:07:15,000 THE GENTLEMAN FROM ALABAMA. 2038 01:07:15,001 --> 01:07:17,000 MR. BACHUS: THANK YOU, MR. 2039 01:07:17,001 --> 01:07:18,000 CHAIRMAN. 2040 01:07:18,001 --> 01:07:19,000 I YIELD TWO MINUTES TO THE 2041 01:07:19,001 --> 01:07:20,000 GENTLEMAN FROM NEW JERSEY, MR. 2042 01:07:20,001 --> 01:07:22,000 LANCE. 2043 01:07:22,001 --> 01:07:23,000 THE SPEAKER PRO TEMPORE: THE 2044 01:07:23,001 --> 01:07:24,000 GENTLEMAN IS RECOGNIZED FOR TWO 2045 01:07:24,001 --> 01:07:25,000 MINUTES. 2046 01:07:25,001 --> 01:07:27,000 MR. LANCE: THANK YOU VERY MUCH, 2047 01:07:27,001 --> 01:07:28,000 MR. SPEAKER. 2048 01:07:28,001 --> 01:07:29,000 I RISE OUT OF CONCERN FOR 2049 01:07:29,001 --> 01:07:30,000 SECTION 4 OF THIS BILL. 2050 01:07:30,001 --> 01:07:32,000 WE HAD HAD AN AMENDMENT IN THE 2051 01:07:32,001 --> 01:07:34,000 RULES COMMITTEE THAT I OFFERED WITH THE DISTINGUISHED 2052 01:07:34,001 --> 01:07:36,000 GENTLEMAN FROM GEORGIA, AND IT 2053 01:07:36,001 --> 01:07:37,000 WAS RULED OUT OF ORDER BY THE 2054 01:07:37,001 --> 01:07:38,000 RULES COMMITTEE. 2055 01:07:38,001 --> 01:07:40,000 WE BELIEVE THAT THE AMENDMENT 2056 01:07:40,001 --> 01:07:41,000 WAS GERMANE, DRAFTED PROPERLY 2057 01:07:41,001 --> 01:07:42,000 AND SUBMITTED ON TIME. 2058 01:07:42,001 --> 01:07:44,000 AND THE AMENDMENT DEALT WITH 2059 01:07:44,001 --> 01:07:45,000 SECTION 4. 2060 01:07:45,001 --> 01:07:47,000 REGARDING SECTION 4, I BELIEVE, 2061 01:07:47,001 --> 01:07:50,000 SIR, THAT IT IS OVERLY BROAD 2062 01:07:50,001 --> 01:07:51,000 AND IN PARTICULAR I AM 2063 01:07:51,001 --> 01:07:55,000 CONCERNED WITH A SECTION THAT 2064 01:07:55,001 --> 01:07:56,000 SAYS REGARDING INCENTIVE-BASED 2065 01:07:56,001 --> 01:07:58,000 COMPENSATION THAT FEDERAL 2066 01:07:58,001 --> 01:07:59,000 REGULATORS CAN REVIEW THAT 2067 01:07:59,001 --> 01:08:02,000 BASED UPON OTHER CRITERIA AS 2068 01:08:02,001 --> 01:08:03,000 THE APPROPRIATE FEDERAL 2069 01:08:03,001 --> 01:08:05,000 REGULATORS JOINTLY MAY 2070 01:08:05,001 --> 01:08:07,000 DETERMINE TO BE APPROPRIATE TO 2071 01:08:07,001 --> 01:08:14,000 REDUCE UNREASONABLE INCENTIVES 2072 01:08:14,001 --> 01:08:15,000 FOR OFFICERS AND EMPLOYEES. 2073 01:08:15,001 --> 01:08:17,000 TO TAKE UNDUE RISKS. 2074 01:08:17,001 --> 01:08:19,000 THAT GIVES TOO MUCH DISCRETION 2075 01:08:19,001 --> 01:08:21,000 TO FEDERAL REGULATORS AND WE 2076 01:08:21,001 --> 01:08:23,000 SHOULD BE SPECIFIC AS MEMBERS 2077 01:08:23,001 --> 01:08:26,000 OF CONGRESS IN THE STATUTORY 2078 01:08:26,001 --> 01:08:28,000 BASIS FOR COMPENSATION ISSUES. 2079 01:08:28,001 --> 01:08:30,000 I AM ALSO CONCERNED THAT IF 2080 01:08:30,001 --> 01:08:33,000 THIS BECOMES LAW, THAT THERE 2081 01:08:33,001 --> 01:08:40,000 WILL BE A TENDENCY FOR CAPITAL 2082 01:08:40,001 --> 01:08:41,000 TO MOVE AWAY FROM THE UNITED 2083 01:08:41,001 --> 01:08:43,000 STATES, PLACES LIKE LONDON AND 2084 01:08:43,001 --> 01:08:45,000 ASIA, THIS IS A MATTER I 2085 01:08:45,001 --> 01:08:46,000 DISCUSSED PREVIOUSLY IN THE 2086 01:08:46,001 --> 01:08:47,000 COMMITTEE AND I CERTAINLY 2087 01:08:47,001 --> 01:08:49,000 BELIEVE WE SHOULD CONTINUE TO 2088 01:08:49,001 --> 01:08:54,000 BE THE PLACE IN THE WORLD WHERE 2089 01:08:54,001 --> 01:08:56,000 THIS TYPE OF ACTIVITY OCCURS. 2090 01:08:56,001 --> 01:08:58,000 OUR AMENDMENT IN NO WAY TAKES 2091 01:08:58,001 --> 01:09:00,000 AWAY THE OTHER PROVISIONS OF 2092 01:09:00,001 --> 01:09:02,000 THE BILL REGARDING SAY ON PAY 2093 01:09:02,001 --> 01:09:04,000 AND THE INDEPENDENCE OF 2094 01:09:04,001 --> 01:09:05,000 COMPENSATION BOARDS. 2095 01:09:05,001 --> 01:09:07,000 BUT I AM SORRY OUR AMENDMENT 2096 01:09:07,001 --> 01:09:08,000 WAS NOT CONSIDERED FAVORABLY IN 2097 01:09:08,001 --> 01:09:12,000 THE RULES COMMITTEE AND 2098 01:09:12,001 --> 01:09:13,000 THEREFORE WILL NOT BE 2099 01:09:13,001 --> 01:09:16,000 CONSIDERED FAVORABLY HERE. 2100 01:09:16,001 --> 01:09:17,000 THIS MORNING A REPORT FROM 2101 01:09:17,001 --> 01:09:19,000 BLOOMBERG INDICATES THAT THE 2102 01:09:19,001 --> 01:09:20,000 WHITE HOUSE PRESS SECRETARY MR. 2103 01:09:20,001 --> 01:09:22,000 GIBBS SAID YESTERDAY THE 2104 01:09:22,001 --> 01:09:26,000 ADMINISTRATION IS CONCERNED 2105 01:09:26,001 --> 01:09:28,000 THAT THE MEASURE MAY GIVE 2106 01:09:28,001 --> 01:09:30,000 REGULATORS TOO MUCH SAY ON 2107 01:09:30,001 --> 01:09:31,000 INCENTIVE PAY. 2108 01:09:31,001 --> 01:09:33,000 I AGREE WITH THAT SENTIMENT. 2109 01:09:33,001 --> 01:09:34,000 THE SPEAKER PRO TEMPORE: THE 2110 01:09:34,001 --> 01:09:35,000 GENTLEMAN FROM MASSACHUSETTS. 2111 01:09:35,001 --> 01:09:39,000 MR. FRANK: I YIELD MYSELF 30 2112 01:09:39,001 --> 01:09:45,000 SECONDS TO SAY ON BEHALF OF THE 2113 01:09:45,001 --> 01:09:46,000 THIS TEMPORARY 2114 01:09:46,001 --> 01:09:48,000 DEFERENCE TO THEIR VIEWS. 2115 01:09:48,001 --> 01:09:49,000 I URGE THEM TO ENJOY THAT BRIEF 2116 01:09:49,001 --> 01:09:51,000 MOMENT OF GRACIOUSNESS. 2117 01:09:51,001 --> 01:09:55,000 I YIELD FOUR MINUTES TO THE 2118 01:09:55,001 --> 01:09:56,000 GENTLEMAN FROM TEXAS. 2119 01:09:56,001 --> 01:09:58,000 THE SPEAKER PRO TEMPORE: THE 2120 01:09:58,001 --> 01:09:59,000 GENTLEMAN FROM TEXAS IS 2121 01:09:59,001 --> 01:10:02,000 RECOGNIZED. 2122 01:10:02,001 --> 01:10:04,000 MR. GREEN: MR. CHAIRMAN, JAL 2123 01:10:04,001 --> 01:10:06,000 THOUGH THEY ARE NOT MY WORDS, 2124 01:10:06,001 --> 01:10:07,000 WE HAVE HEARD THAT IT TAKES AN 2125 01:10:07,001 --> 01:10:08,000 ACT OF CONGRESS TO GET MANY 2126 01:10:08,001 --> 01:10:11,000 THINGS DONE. 2127 01:10:11,001 --> 01:10:13,000 I WOULD ONLY ADD TO THIS WHAT I 2128 01:10:13,001 --> 01:10:16,000 HAVE HEARD, IT ALSO TAKES A 2129 01:10:16,001 --> 01:10:19,000 CONGRESS WIL 2130 01:10:19,001 --> 01:10:23,000 THIS IS OUR OPPORTUNITY TO ACT. 2131 01:10:23,001 --> 01:10:24,000 THIS IS OUR OPPORTUNITY TO DO 2132 01:10:24,001 --> 01:10:27,000 WHAT DR. KING CALLED BENDING 2133 01:10:27,001 --> 01:10:29,000 THE ARC OF THE MORAL UNIVERSIT 2134 01:10:29,001 --> 01:10:30,000 TOWARD JUSTICE THIS PIECE OF 2135 01:10:30,001 --> 01:10:32,000 LEGISLATION IS JUST GIVEN THE 2136 01:10:32,001 --> 01:10:33,000 CIRCUMSTANCE THIS IS A WE HAVE 2137 01:10:33,001 --> 01:10:35,000 BEEN COPING WITH. 2138 01:10:35,001 --> 01:10:38,000 THERE IS NO DISPUTE THAT MANY 2139 01:10:38,001 --> 01:10:40,000 C.E.O.'S HAVE HAD THEIR PAY 2140 01:10:40,001 --> 01:10:42,000 STRUCTURED SUCH THAT NO MATTER 2141 01:10:42,001 --> 01:10:44,000 WHAT THE CONSEQUENCES OF THEIR 2142 01:10:44,001 --> 01:10:46,000 ACTIONS, THEY WERE GOING TO 2143 01:10:46,001 --> 01:10:48,000 RECEIVE ENORMOUS BONUSES. 2144 01:10:48,001 --> 01:10:49,000 I THINK THERE ARE TWO GOOD 2145 01:10:49,001 --> 01:10:50,000 REASONS TO SUPPORT THIS 2146 01:10:50,001 --> 01:10:51,000 LEGISLATN. 2147 01:10:51,001 --> 01:10:55,000 ONE, IT DEALS WITH THE SAFETY 2148 01:10:55,001 --> 01:10:58,000 AND SOUNDNESS OF THE BANKING INSTITUTIONS 2149 01:10:58,001 --> 01:11:00,000 IT PERFORMS PERFECTLY, IF IT 2150 01:11:00,001 --> 01:11:02,000 DOES JUST THIS AS FAR AS I'M 2151 01:11:02,001 --> 01:11:04,000 CONCERNED, IF IT ALLOWS A 2152 01:11:04,001 --> 01:11:07,000 BANKING REGULATOR WHO SEES THAT 2153 01:11:07,001 --> 01:11:08,000 THE STRUCTURE OF PAY IS 2154 01:11:08,001 --> 01:11:10,000 IMPACTING THE SAFETY AND 2155 01:11:10,001 --> 01:11:11,000 SOUNDNESS OF THE INSTITUTION, 2156 01:11:11,001 --> 01:11:13,000 FIT ALLOW THIS IS REGULATOR TO 2157 01:11:13,001 --> 01:11:14,000 TAKE SOME AFFIRMATIVE ACTION TO 2158 01:11:14,001 --> 01:11:16,000 PROTECT THE SAFETY AND 2159 01:11:16,001 --> 01:11:18,000 SOUNDNESS OF THE INSTITUTION, 2160 01:11:18,001 --> 01:11:19,000 THIS PIECE OF LEGISLATION IS 2161 01:11:19,001 --> 01:11:20,000 WORKING. 2162 01:11:20,001 --> 01:11:23,000 THAT'S WHAT IT'S DESIGNED TO DO 2163 01:11:23,001 --> 01:11:25,000 NOT TO STRUCTURE THE PAY, BUT 2164 01:11:25,001 --> 01:11:27,000 TO PREVENT THE PAY FROM CAUSING 2165 01:11:27,001 --> 01:11:28,000 ORDINARY PEOPLE TO HAVE TO BAIL 2166 01:11:28,001 --> 01:11:30,000 OUT BIG BANKS. 2167 01:11:30,001 --> 01:11:32,000 PEOPLE ARE EXPECTING US TO DO 2168 01:11:32,001 --> 01:11:33,000 SOMETHING TO PREVENT THIS FROM 2169 01:11:33,001 --> 01:11:35,000 HAPPENING AGAIN. 2170 01:11:35,001 --> 01:11:36,000 IF WE ARE GOING TO ACT THIS IS 2171 01:11:36,001 --> 01:11:39,000 A MEANS BY WHICH WE CAN ACT. 2172 01:11:39,001 --> 01:11:41,000 TALKING ABOUT THAT WHICH WE 2173 01:11:41,001 --> 01:11:44,000 CANNOT DAND WILL NOT DO, THAT 2174 01:11:44,001 --> 01:11:47,000 IS NOT ON THE AGENDA, THAT WILL 2175 01:11:47,001 --> 01:11:50,000 NOT HELP US DO WHAT WE CAN DO TODAY. 2176 01:11:50,001 --> 01:11:51,000 I NEVER LET WHAT I CANNOT DO 2177 01:11:51,001 --> 01:11:52,000 PREVENT ME FROM DOING WHAT I 2178 01:11:52,001 --> 01:11:53,000 CAN DO THE SECOND REASON I 2179 01:11:53,001 --> 01:11:55,000 SUPPORT THIS LEGISLATION, THIS 2180 01:11:55,001 --> 01:11:57,000 LEGISLATION ALLOWS 2181 01:11:57,001 --> 01:11:59,000 SHAREHDERS, BY THE WAY, I 2182 01:11:59,001 --> 01:12:01,000 TRUST SHAREHOLDERS, I THINK 2183 01:12:01,001 --> 01:12:02,000 PEOPLE WHO HAVE A VESTED 2184 01:12:02,001 --> 01:12:04,000 INTEREST IN SOMETHING OUGHT TO 2185 01:12:04,001 --> 01:12:05,000 HAVE SOME SAY. 2186 01:12:05,001 --> 01:12:07,000 I THINK THEY OUGHT TO BE ABLE 2187 01:12:07,001 --> 01:12:08,000 TO KNOW WHAT THE SALARY 2188 01:12:08,001 --> 01:12:09,000 STRUCTURE IS AND SAY SOMETHING 2189 01:12:09,001 --> 01:12:12,000 ABOUT IT. 2190 01:12:12,001 --> 01:12:14,000 IN THIS CASE, IT IS NONBINDING. 2191 01:12:14,001 --> 01:12:16,000 THERE ARE MANY PEOPLE WHO ARE 2192 01:12:16,001 --> 01:12:17,000 OF THE OPINION THAT NONBINDING 2193 01:12:17,001 --> 01:12:18,000 IS NOT ENOUGH. 2194 01:12:18,001 --> 01:12:20,000 BUT I TRUST THE SHAREHOLDERS TO 2195 01:12:20,001 --> 01:12:23,000 HAVE AN OPINION. THEY HAVE BUT AN OPINION. 2196 01:12:23,001 --> 01:12:26,000 THEY DON'T DO ANYTHING TO BIND THE CORPORATION. 2197 01:12:26,001 --> 01:12:27,000 THESE TWO REASONS, WHEN 2198 01:12:27,001 --> 01:12:30,000 COMBINED, WILL HELP US WITH THE 2199 01:12:30,001 --> 01:12:32,000 SAFETY AND SOUNDNESS OF THESE 2200 01:12:32,001 --> 01:12:33,000 STEWINGS AND GIVE THE 2201 01:12:33,001 --> 01:12:34,000 SHAREHOLDERS AN OPPORTUNITY 2202 01:12:34,001 --> 01:12:35,000 KNOW HOW THE SALARIES ARE 2203 01:12:35,001 --> 01:12:37,000 STRUCTUREDND HAVE SOME SAY. 2204 01:12:37,001 --> 01:12:41,000 FINALLY IF WE WANT TO BE A 2205 01:12:41,001 --> 01:12:43,000 CONGRESS THAT ACTS, WE'VE GOT TO HAVE COURAGE. 2206 01:12:43,001 --> 01:12:44,000 THESE ARE -- THESE ARE TRYING 2207 01:12:44,001 --> 01:12:47,000 TIMES. 2208 01:12:47,001 --> 01:12:49,000 THESE ARE DIFFICULT TIMES. 2209 01:12:49,001 --> 01:12:50,000 IT IS EASY TO STAY WITH THE 2210 01:12:50,001 --> 01:12:52,000 STATUS QUO. 2211 01:12:52,001 --> 01:12:54,000 THOSE WHO WANT CHANGE HAVE GOT 2212 01:12:54,001 --> 01:12:56,000 TO BE WILLING TO TAKE THE RISK 2213 01:12:56,001 --> 01:12:58,000 OF DOING THE RIGHT THING. 2214 01:12:58,001 --> 01:12:59,000 THE ARC OF THE MORAL UNIVERSITY 2215 01:12:59,001 --> 01:13:01,000 BENDS TOWARD JUSTICE BUT IT 2216 01:13:01,001 --> 01:13:03,000 DOESN'T DO SO BY ITSELF. 2217 01:13:03,001 --> 01:13:05,000 IT DOES SO BECAUSE OF PEOPLE 2218 01:13:05,001 --> 01:13:08,000 WHO ARE WILLING TO DO THE RIGHT 2219 01:13:08,001 --> 01:13:09,000 THING UNDER UNUSUAL AND 2220 01:13:09,001 --> 01:13:11,000 EXTRAORDINARY CIRCUMSTANCES. 2221 01:13:11,001 --> 01:13:12,000 I AM GOING TO STAND WITH THE 2222 01:13:12,001 --> 01:13:14,000 CHAIRMAN, I BELIEVE THE 2223 01:13:14,001 --> 01:13:16,000 CHAIRMAN IS IMMENTLY CORRECT 2224 01:13:16,001 --> 01:13:18,000 HE HAS STRUCTURED A GREAT PIECE 2225 01:13:18,001 --> 01:13:19,000 OF LEGISLATION, THOSE WHO 2226 01:13:19,001 --> 01:13:20,000 REALLY WANT CHANGE WILL VOTE 2227 01:13:20,001 --> 01:13:23,000 FOR THIS LEGISLATION. 2228 01:13:23,001 --> 01:13:24,000 THOSE WHO WANT TO SEE A BETTER 2229 01:13:24,001 --> 01:13:26,000 SYSTEM SO THAT WE DON'T END UP 2230 01:13:26,001 --> 01:13:28,000 WITH MOR 2231 01:13:28,001 --> 01:13:32,000 READ, BAILED OUT BANKS GAVE 2232 01:13:32,001 --> 01:13:33,000 MILLIONS IN EXECUTIVE 2233 01:13:33,001 --> 01:13:36,000 NOT WITHSTANDING THE FACT THAT 2234 01:13:36,001 --> 01:13:37,000 THESE BANKS HAVE BEEN -- THEY 2235 01:13:37,001 --> 01:13:39,000 HAVE NOT BEEN MANAGED PROPERLY 2236 01:13:39,001 --> 01:13:40,000 AND COULD HAVE BEEN MANAGED A 2237 01:13:40,001 --> 01:13:42,000 LOT BETTER. 2238 01:13:42,001 --> 01:13:43,000 THESE KINDS OF HEADLINES ARE 2239 01:13:43,001 --> 01:13:45,000 GOING TO CAUSE PROBLEMS FOR A 2240 01:13:45,001 --> 01:13:46,000 LOT OF PEOPLE. 2241 01:13:46,001 --> 01:13:47,000 I AM GOING TO VOTE WITH THE 2242 01:13:47,001 --> 01:13:48,000 CHAIRMAN. 2243 01:13:48,001 --> 01:13:50,000 I'M VOTING FOR THE BILL. 2244 01:13:50,001 --> 01:13:51,000 IT IS A GOOD BILL. 2245 01:13:51,001 --> 01:13:52,000 IT IS A JUST BILL. 2246 01:13:52,001 --> 01:13:53,000 I YIELD BACK THE BALANCE OF MY 2247 01:13:53,001 --> 01:13:55,000 TIME. 2248 01:13:55,001 --> 01:13:56,000 THE SPEAKER PRO TEMPORE: THE 2249 01:13:56,001 --> 01:13:57,000 GENTLEMAN YIELDS BACK HIS TIME. 2250 01:13:57,001 --> 01:13:58,000 THE GE 2251 01:13:58,001 --> 01:14:00,000 MR. BACHUS: I YIELD FOUR 2252 01:14:00,001 --> 01:14:01,000 MINUTES TO THE GENTLEMAN FROM 2253 01:14:01,001 --> 01:14:02,000 TEXAS, MR. HENSARLING. 2254 01:14:02,001 --> 01:14:04,000 THE SPEAKER PRO TEMPORE: THE 2255 01:14:04,001 --> 01:14:06,000 FOUR MINUTES. 2256 01:14:06,001 --> 01:14:08,000 MR. HENSARLING: I THANK THE 2257 01:14:08,001 --> 01:14:09,000 GENTLEMAN FOR YIELDING, MR. 2258 01:14:09,001 --> 01:14:11,000 SPEAKER. THERE ARE ASCTS OF THIS 2259 01:14:11,001 --> 01:14:12,000 LEGISLATION THAT I CERTAINLY 2260 01:14:12,001 --> 01:14:15,000 APPRECIATE. 2261 01:14:15,001 --> 01:14:16,000 ALL AMERICANS HAVE BEEN 2262 01:14:16,001 --> 01:14:18,000 OUTRAGED, IT'S A WORD WE USE 2263 01:14:18,001 --> 01:14:21,000 FREQUENTLY AND USE JUSTIFIABLY. 2264 01:14:21,001 --> 01:14:24,000 ABOUT SOME OF THE COMPENSATION 2265 01:14:24,001 --> 01:14:25,000 PACKAGES WE'VE SEEN FROM FAILED 2266 01:14:25,001 --> 01:14:26,000 COMPANY THIS IS A COME WITH TIN 2267 01:14:26,001 --> 01:14:27,000 CUP IN HAND TO THE UNITED 2268 01:14:27,001 --> 01:14:29,000 STATES TAXPAYER. 2269 01:14:29,001 --> 01:14:30,000 LOOKING FOR 2270 01:14:30,001 --> 01:14:34,000 THIS BILL HAS SOME PROVISIONS 2271 01:14:34,001 --> 01:14:36,000 THAT ADDS INCREASED 2272 01:14:36,001 --> 01:14:37,000 TRANSPARENCY, SOME INCREASED 2273 01:14:37,001 --> 01:14:39,000 ACCOUNTABILITY, AND THAT'S 2274 01:14:39,001 --> 01:14:40,000 GOOD. 2275 01:14:40,001 --> 01:14:42,000 BUT UNFORTUNATELY, THE BAD IN 2276 01:14:42,001 --> 01:14:43,000 THE BILL WAY OUTSHADOWS THE 2277 01:14:43,001 --> 01:14:45,000 GOOD. 2278 01:14:45,001 --> 01:14:47,000 SO WHAT I'VE ALWAYS SAID, MR. 2279 01:14:47,001 --> 01:14:48,000 SPEAKER IS WHAT YOU DO WITH 2280 01:14:48,001 --> 01:14:51,000 YOUR MONEY IS YOUR BUSINESS. 2281 01:14:51,001 --> 01:14:54,000 WHAT YOU DO WITH THE TAXPAYER 2282 01:14:54,001 --> 01:14:56,000 MONEY IS OUR BUSINESS. 2283 01:14:56,001 --> 01:14:57,000 MR. SPEAKER, UNFORTUNATELY, YOU 2284 01:14:57,001 --> 01:14:59,000 CAN'T JUST READ THE BUMPER 2285 01:14:59,001 --> 01:15:00,000 STICKER SLOGAN. 2286 01:15:00,001 --> 01:15:02,000 YOU ACTUALLY HAVE TO READ THE 2287 01:15:02,001 --> 01:15:04,000 LEGISLATION. 2288 01:15:04,001 --> 01:15:06,000 SO WE HEAR SPEECH AFTER SPEECH 2289 01:15:06,001 --> 01:15:08,000 ABOUT THESE FAILED INSTITUTIONS 2290 01:15:08,001 --> 01:15:09,000 TAKING IN ALL OF THIS 2291 01:15:09,001 --> 01:15:11,000 GOVERNMENT MONEY. 2292 01:15:11,001 --> 01:15:16,000 WELL, I WONDER THEN, WHY IN 2293 01:15:16,001 --> 01:15:21,000 COMMITTEE ON A PARTY LINE VOTE 2294 01:15:21,001 --> 01:15:22,000 DID WE VOTE DOWN AN AMENDMENT 2295 01:15:22,001 --> 01:15:24,000 AMENDMENT I BROUGHT THAT WOULD 2296 01:15:24,001 --> 01:15:26,000 HAVE ENSURED THAT THE BAILOUT 2297 01:15:26,001 --> 01:15:27,000 RECIPIENTS, THAT THIS 2298 01:15:27,001 --> 01:15:29,000 LEGISLATION APPLIED TO THEM AND 2299 01:15:29,001 --> 01:15:30,000 THEM ONLY. 2300 01:15:30,001 --> 01:15:32,000 THEY'RE THE POSTER CHILDREN IN 2301 01:15:32,001 --> 01:15:34,000 THIS DEBATE, BUT YET THE 2302 01:15:34,001 --> 01:15:36,000 LEGISLATION EXTENDS POTENTIALLY 2303 01:15:36,001 --> 01:15:39,000 TO EVERY PUBLIC COMPANY IN 2304 01:15:39,001 --> 01:15:43,000 AMERICA THAT SOMEHOW IS DEFINED 2305 01:15:43,001 --> 01:15:44,000 AS A QUOTE-UNQUOTE COVERED 2306 01:15:44,001 --> 01:15:46,000 FINANCIAL INSTITUTION. 2307 01:15:46,001 --> 01:15:47,000 BY THE WAY, I WOULD SAY TO MY 2308 01:15:47,001 --> 01:15:51,000 FRIENDS ON THE OTHER SIDE OF 2309 01:15:51,001 --> 01:15:52,000 THE AISLE, THE BEST WAY TO DEAL 2310 01:15:52,001 --> 01:15:54,000 WITH RISKY PAY SCHEMES IS TO 2311 01:15:54,001 --> 01:15:55,000 QUIT BAILING THEM OUT IN THE 2312 01:15:55,001 --> 01:15:58,000 FIRST PLACE. 2313 01:15:58,001 --> 01:16:01,000 MY FRIENDS ON THE OTHER SIDE OF 2314 01:16:01,001 --> 01:16:03,000 THE AISLE ARE ENSHRINING US AS 2315 01:16:03,001 --> 01:16:06,000 A BAILOUT NATION SYSTEM OF YOU 2316 01:16:06,001 --> 01:16:07,000 COMPLAIN ABOUT THE TAXPAYERS 2317 01:16:07,001 --> 01:16:10,000 PICKING UP THE TAB, I'VE 2318 01:16:10,001 --> 01:16:11,000 COMPLAINED ABOUT THE TAXPAYERS 2319 01:16:11,001 --> 01:16:12,000 PICKING UP THE TAB. 2320 01:16:12,001 --> 01:16:14,000 QUIT BAILING THEM OUT IN THE 2321 01:16:14,001 --> 01:16:16,000 FIRST PLACE. 2322 01:16:16,001 --> 01:16:18,000 NOW, AGAIN, WE HAVE TO READ THE 2323 01:16:18,001 --> 01:16:19,000 BILL AND NOT JUST READ THE 2324 01:16:19,001 --> 01:16:20,000 SLOGAN. 2325 01:16:20,001 --> 01:16:21,000 BECAUSE IF YOU READ THE BILL, 2326 01:16:21,001 --> 01:16:25,000 WHAT YOU FIND OUT IS, NUMBER 2327 01:16:25,001 --> 01:16:27,000 ONE, THIS ISN'T JUST PAY 2328 01:16:27,001 --> 01:16:28,000 RESTRICTIONS THAT GO TO THOSE 2329 01:16:28,001 --> 01:16:29,000 IN THE TROUBLED WALL STREET 2330 01:16:29,001 --> 01:16:31,000 RMS. 2331 01:16:31,001 --> 01:16:32,000 AGAIN IT'S ALMOST EVERY COVERED 2332 01:16:32,001 --> 01:16:33,000 FINANCIAL INSTITUTION. 2333 01:16:33,001 --> 01:16:34,000 GUESS WHAT? 2334 01:16:34,001 --> 01:16:36,000 IF YOU READ FURTHER INTO THE 2335 01:16:36,001 --> 01:16:39,000 BILL, IT DOESN'T JUST 2336 01:16:39,001 --> 01:16:40,000 TOP 2337 01:16:40,001 --> 01:16:43,000 EXECUTIVES. 2338 01:16:43,001 --> 01:16:46,000 EVERY SINGLE EMPLOYEE, EVERY 2339 01:16:46,001 --> 01:16:47,000 SINGLE EMPLOYEE WHO HAS A 2340 01:16:47,001 --> 01:16:52,000 YET-UNQUOTE INCENTIVE-BASED CAN 2341 01:16:52,001 --> 01:16:53,000 -- A QUOTE-UNQUOTE 2342 01:16:53,001 --> 01:16:54,000 INCENTIVE-BASED COMPENSATION 2343 01:16:54,001 --> 01:16:55,000 CAN BE COVERED BY THIS. 2344 01:16:55,001 --> 01:16:58,000 WE'VE LEARNED THAT SOMEHOW WORK 2345 01:16:58,001 --> 01:17:00,000 A VERY INTRERPTIVE APPROACH TO 2346 01:17:00,001 --> 01:17:01,000 THE ENGLISH LANGUAGE THAT 2347 01:17:01,001 --> 01:17:02,000 GENERAL MOTORS AND CHRYSLER 2348 01:17:02,001 --> 01:17:06,000 HAVE BEEN FOUND TO BE FINANCIAL 2349 01:17:06,001 --> 01:17:07,000 INSTITUTIONS. 2350 01:17:07,001 --> 01:17:11,000 THIS MEANS ANY EMPLOYEE, ANY 2351 01:17:11,001 --> 01:17:13,000 EMPLOYEE WHO RECEIVES A TIP A 2352 01:17:13,001 --> 01:17:16,000 SALES COMMISSION A CHRISTMAS 2353 01:17:16,001 --> 01:17:18,000 BONUS COULD HAVE A FEDERAL 2354 01:17:18,001 --> 01:17:21,000 BUREAUCRAT TAKE IT AWAY FROM THEM. 2355 01:17:21,001 --> 01:17:22,000 HO, HO, HO. 2356 01:17:22,001 --> 01:17:24,000 THAT'S WHAT THIS LEGISLATION IS 2357 01:17:24,001 --> 01:17:25,000 ALL ABOUT. 2358 01:17:25,001 --> 01:17:26,000 DON'T GET SUCKED IN BY THE 2359 01:17:26,001 --> 01:17:28,000 BUMPER STICKER SLOGAN. 2360 01:17:28,001 --> 01:17:29,000 REA 2361 01:17:29,001 --> 01:17:30,000 THAT WAS THE PROBLEM ON THE 2362 01:17:30,001 --> 01:17:32,000 ORIGINAL BAILOUT. 2363 01:17:32,001 --> 01:17:33,000 NOBODY READ THE LEGISLATION. 2364 01:17:33,001 --> 01:17:34,000 THE GOVERNMENT STIMULUS, NOBODY 2365 01:17:34,001 --> 01:17:36,000 READ THE LEGISLATION. 2366 01:17:36,001 --> 01:17:38,000 WELL, 2367 01:17:38,001 --> 01:17:39,000 1,000-PAGE BILL. 2368 01:17:39,001 --> 01:17:40,000 I THINK IT'S 15 OR 20 PAGES. 2369 01:17:40,001 --> 01:17:41,000 I ACTUALLY TOOK THE TIME TO 2370 01:17:41,001 --> 01:17:44,000 READ IT. 2371 01:17:44,001 --> 01:17:46,000 IF THIS IS JUST ABOUT CLASS 2372 01:17:46,001 --> 01:17:49,000 WARFARE, MR. CHAIRMAN, WHY 2373 01:17:49,001 --> 01:17:52,000 DOESN'T THIS DO ANYTHING ABOUT 2374 01:17:52,001 --> 01:17:55,000 HOLLYWOOD STARS WHO MAKE 2375 01:17:55,001 --> 01:17:59,000 MILLION FOR A MOVIE, YET THE MOVIE LOSES MONEY? 2376 01:17:59,001 --> 01:18:00,000 WHY ISN'T IT ABOUT A THIRD 2377 01:18:00,001 --> 01:18:02,000 BASEMAN FOR THE NEW YORK 2378 01:18:02,001 --> 01:18:04,000 YANKEES WHO GETS $21 MILLION 2379 01:18:04,001 --> 01:18:06,000 AND TIES HIS WORST RECORD FOR 2380 01:18:06,001 --> 01:18:08,000 STRIKING OUT IN THE SEASON? 2381 01:18:08,001 --> 01:18:09,000 WHY DOESN'T HAVE HAVE -- WHY 2382 01:18:09,001 --> 01:18:10,000 DOESN'T THIS HAVE ANYTHING TO 2383 01:18:10,001 --> 01:18:12,000 DO WITH THE PERSONAL INJURY 2384 01:18:12,001 --> 01:18:14,000 TRIA 2385 01:18:14,001 --> 01:18:15,000 AND MILLIONS AND THEICLIENTS 2386 01:18:15,001 --> 01:18:17,000 ARE DOING GOOD TO MAKE 2387 01:18:17,001 --> 01:18:18,000 THOUSANDS. 2388 01:18:18,001 --> 01:18:20,000 MAY I HAVE AN ADDITIONAL MINUTE? 2389 01:18:20,001 --> 01:18:22,000 MR. BACHUS: I YIELD THE 2390 01:18:22,001 --> 01:18:23,000 GENTLEMAN AN ADDITIONAL MINUTE. 2391 01:18:23,001 --> 01:18:24,000 THE SPEAKER PRO TEMPORE: THE 2392 01:18:24,001 --> 01:18:25,000 GENTLEMAN IS RECOGNIZED. 2393 01:18:25,001 --> 01:18:27,000 MR. HENSARLING: I HEAR THE 2394 01:18:27,001 --> 01:18:29,000 RHETORIC FROM THE OTHER SIDE OF 2395 01:18:29,001 --> 01:18:31,000 THE AISLE WHICH SEEMS LIKE A 2396 01:18:31,001 --> 01:18:32,000 LOT OF RECYCLED CLASS WARFARE 2397 01:18:32,001 --> 01:18:35,000 TO ME. 2398 01:18:35,001 --> 01:18:36,000 ANOTHER POINT I'D MAKE, WE HEAR 2399 01:18:36,001 --> 01:18:38,000 THAT WE NEED THIS TO DEAL WITH 2400 01:18:38,001 --> 01:18:39,000 SAFETY AND SOUNDNESS. 2401 01:18:39,001 --> 01:18:40,000 WE NEED THIS LEGISLATION TO 2402 01:18:40,001 --> 01:18:44,000 DEAL WITH SYSTEMIC RISK. 2403 01:18:44,001 --> 01:18:45,000 WELL, NUMBER ONE, I LISTENED 2404 01:18:45,001 --> 01:18:48,000 VERY CAREFULLY TO THE TESTIMONY 2405 01:18:48,001 --> 01:18:51,000 PRESENTED IN OUR COMMITTEE AND 2406 01:18:51,001 --> 01:18:53,000 I'M SURE IT'S THEORETICALLY 2407 01:18:53,001 --> 01:18:54,000 POSSIBLE THAT THERE ARE PAY 2408 01:18:54,001 --> 01:18:55,000 STRUCTURE THIS IS A MAY LEND 2409 01:18:55,001 --> 01:18:57,000 THEMSELVES TO THIS, BUT AGAIN, 2410 01:18:57,001 --> 01:18:59,000 WHAT -- SHOW ME THE EVIDENCE. 2411 01:18:59,001 --> 01:19:01,000 WHERE IS THE EVIDENCE. 2412 01:19:01,001 --> 01:19:04,000 WHEN I LOOK AT PAY STRUCTURES 2413 01:19:04,001 --> 01:19:05,000 AMONG FINANCIAL FIRM THIS IS A 2414 01:19:05,001 --> 01:19:08,000 FAIL VERSUS THOSE THAT DIDN'T 2415 01:19:08,001 --> 01:19:11,000 FAIL, I DON'T SEE THE CORRELATION. 2416 01:19:11,001 --> 01:19:12,000 SECOND OF ALL, AS WE KNOW, MR. 2417 01:19:12,001 --> 01:19:15,000 SPEAKER, THE REGULATORS HAVE 2418 01:19:15,001 --> 01:19:18,000 THE POWER TO REGULATE THE 2419 01:19:18,001 --> 01:19:22,000 LIQUIDITY AND CAPITAL STANDARDS 2420 01:19:22,001 --> 01:19:23,000 OF THESE FINANCIAL FIRMS TO 2421 01:19:23,001 --> 01:19:24,000 MAKE IT COMMENSURATE WITH THE 2422 01:19:24,001 --> 01:19:26,000 RISK. 2423 01:19:26,001 --> 01:19:27,000 THAT'S REMEDY. 2424 01:19:27,001 --> 01:19:29,000 THAT'S THE REMEDY. 2425 01:19:29,001 --> 01:19:30,000 NOT TO TAKE CHRISTMAS BONUSES 2426 01:19:30,001 --> 01:19:31,000 AWAY FROM EMPLOYEES. 2427 01:19:31,001 --> 01:19:32,000 I YIELD BACK THE BALANCE OF MY 2428 01:19:32,001 --> 01:19:34,000 TIME. 2429 01:19:34,001 --> 01:19:35,000 THE SPEAKER PRO TEMPORE: THE 2430 01:19:35,001 --> 01:19:36,000 GENTLEMAN YIELDS BACK. 2431 01:19:36,001 --> 01:19:37,000 THE GENTLEMAN FROM 2432 01:19:37,001 --> 01:19:39,000 MASSACHUSETTS. 2433 01:19:39,001 --> 01:19:41,000 MR. FRANK: I YIELD MYSELF SUCH TIME AS I MAY CONSUME. 2434 01:19:41,001 --> 01:19:43,000 THE SPEAKER PRO TEMPORE: THE 2435 01:19:43,001 --> 01:19:44,000 GENTLEMAN IS RECOGNIZED. 2436 01:19:44,001 --> 01:19:45,000 MR. FRK: THERE'S A 2437 01:19:45,001 --> 01:19:46,000 CONTRADICTION HERE, WHEN WE'RE 2438 01:19:46,001 --> 01:19:48,000 TALKING ABOUT A POWER, NAMELY 2439 01:19:48,001 --> 01:19:49,000 TO REDUCE EXCESSIVE RISK 2440 01:19:49,001 --> 01:19:50,000 INCENTIVIZING BONUS THIS IS A 2441 01:19:50,001 --> 01:19:52,000 REPUBLICANS WANT TO DEFEND THEY 2442 01:19:52,001 --> 01:19:53,000 TALK ABOUT THE UNELECTED 2443 01:19:53,001 --> 01:19:54,000 BUREAUCRATS. 2444 01:19:54,001 --> 01:19:56,000 THE UNELECTED BUREAUCRATS CAN'T 2445 01:19:56,001 --> 01:19:59,000 BE TRUSTED, EXCEPT THE GENTLEMAN FROM TEXAS SAID, 2446 01:19:59,001 --> 01:20:00,000 DON'T WORRY, THE UNELECTED 2447 01:20:00,001 --> 01:20:01,000 BUREAUCRATS ARE OUT THERE TO 2448 01:20:01,001 --> 01:20:03,000 PROTECT US. 2449 01:20:03,001 --> 01:20:05,000 THE UNELECTED BUREAUCRATS IN 2450 01:20:05,001 --> 01:20:07,000 THE REPUBLICAN COST 2451 01:20:07,001 --> 01:20:08,000 OPHTHALMOLOGY ARE LIKE THE 2452 01:20:08,001 --> 01:20:12,000 OBAMA ADMINISTRATION, THEY ARE 2453 01:20:12,001 --> 01:20:14,000 EITHER GREAT WHIPPING BOYS OR 2454 01:20:14,001 --> 01:20:17,000 SOURCES OF WISDOM, DEPENDING ON 2455 01:20:17,001 --> 01:20:19,000 HOW THE REPUBLICANS HAVE THEM. 2456 01:20:19,001 --> 01:20:20,000 BUT I AM INTERESTED, I NOTICE A 2457 01:20:20,001 --> 01:20:21,000 NUMBER OF MEMBER SAYS THEY 2458 01:20:21,001 --> 01:20:24,000 DON'T LIKE THE BONUSES. 2459 01:20:24,001 --> 01:20:25,000 IS THERE A REPUBLICAN PROPOSAL 2460 01:20:25,001 --> 01:20:27,000 TO DEAL WITH T BONUSES THAT 2461 01:20:27,001 --> 01:20:30,000 ARE BEING GIVEN? 2462 01:20:30,001 --> 01:20:31,000 OUR PROPOSAL DOES NOT EMPOWER 2463 01:20:31,001 --> 01:20:34,000 ANYBODY TO LIMIT THE AMOUNTS. 2464 01:20:34,001 --> 01:20:35,000 THE QUESTION IS, IS THERE A 2465 01:20:35,001 --> 01:20:39,000 REPUBLICAN PROPOSAL THAT WOULD 2466 01:20:39,001 --> 01:20:41,000 DEAL WITH WHAT PAUL VOLCKER AND 2467 01:20:41,001 --> 01:20:44,000 BEN BERNANKE AND THE FINANCIAL 2468 01:20:44,001 --> 01:20:45,000 REGULATORS IN ENGLAND AND 2469 01:20:45,001 --> 01:20:48,000 WARREN BUFFETT AND MANY OTHERS 2470 01:20:48,001 --> 01:20:49,000 BELIEVE IS A DESTABILIZING 2471 01:20:49,001 --> 01:20:51,000 TENDENCY TO GIVE OUT BONUS THIS 2472 01:20:51,001 --> 01:20:55,000 IS A GIVE YOU AN INCENTIVE TO 2473 01:20:55,001 --> 01:20:57,000 TAKE RISKS, EXCESSIVE, 2474 01:20:57,001 --> 01:20:58,000 EXCESSIVE IN THE SENSE THAT YOU 2475 01:20:58,001 --> 01:21:00,000 BENEFIT IF THE RISK PAYS OFF 2476 01:21:00,001 --> 01:21:02,000 AND YOU DON'T LOSE. 2477 01:21:02,001 --> 01:21:04,000 WE WANT PEOPLE TO TAKE RISK, 2478 01:21:04,001 --> 01:21:05,000 BUT WE WANT THEM TO TAKE RISK 2479 01:21:05,001 --> 01:21:07,000 THIS IS A BALANCE THE UPSIDE 2480 01:21:07,001 --> 01:21:09,000 AND DOWNSIDE, NOT WHICH LOOK ONLY AT THE UPSIDE. 2481 01:21:09,001 --> 01:21:11,000 I CONTINUE TO POINT OUT, NOT IN 2482 01:21:11,001 --> 01:21:13,000 THE COMMITTEE, NOT IN 12 YEARS 2483 01:21:13,001 --> 01:21:14,000 WHENHEY CONTROLLED THE PLACE, 2484 01:21:14,001 --> 01:21:15,000 NOT DURING THIS DEBATE TODAY, 2485 01:21:15,001 --> 01:21:17,000 NOT IN THE RULES COMMITTEE, WE 2486 01:21:17,001 --> 01:21:20,000 HAVE NOT SEEN A SINGLE 2487 01:21:20,001 --> 01:21:26,000 REPUBLICAN PROPOSAL TO DEAL WITH BONUSES. 2488 01:21:26,001 --> 01:21:27,000 THEIR POSITION APPARENTLY IS, 2489 01:21:27,001 --> 01:21:29,000 HOWEVER THE FINANCIAL INDUSTRY 2490 01:21:29,001 --> 01:21:33,000 WANTS TO STRUCTURE BONUSES, YOU 2491 01:21:33,001 --> 01:21:35,000 GET A BONUS IF IT PAYS OFF IN 2492 01:21:35,001 --> 01:21:36,000 SHORT TERM AND TUSHES SOUR IN 2493 01:21:36,001 --> 01:21:41,000 THE LONG TERM YOU GET A BONUS 2494 01:21:41,001 --> 01:21:44,000 IF IT PAYS OFF AND DON'T LOSE 2495 01:21:44,001 --> 01:21:45,000 ANYTHING IF IT DOESN'T. 2496 01:21:45,001 --> 01:21:47,000 THEY WANT TO LEAVE THAT THE 2497 01:21:47,001 --> 01:21:49,000 SAME. 2498 01:21:49,001 --> 01:21:50,000 LAST CONSENSUS AMONG FINANCIAL 2499 01:21:50,001 --> 01:21:52,000 REGULATORS AND OTHERS THAT THIS 2500 01:21:52,001 --> 01:21:53,000 CONTRIBUTED TO RISK TAKING. 2501 01:21:53,001 --> 01:21:54,000 WE BELIEVE IN THE FREE MARKET 2502 01:21:54,001 --> 01:21:57,000 SYSTEM AND THE INCENTIVES. 2503 01:21:57,001 --> 01:21:58,000 HOW CAN IT BE YOU ACKNOWLEDGE 2504 01:21:58,001 --> 01:21:59,000 THAT THERE'S A SYSTEM THAT SAYS 2505 01:21:59,001 --> 01:22:01,000 TO PEOPLE, TAKE A RISK BECAUSE 2506 01:22:01,001 --> 01:22:03,000 THIS IS 2507 01:22:03,001 --> 01:22:05,000 THAT'S THE PROBLEM, IT'S 2508 01:22:05,001 --> 01:22:06,000 RISK-FREE FOR THE INDIVIDUAL. 2509 01:22:06,001 --> 01:22:10,000 IT'S RISKY FOR THE COMPANY. 2510 01:22:10,001 --> 01:22:11,000 WHEN YOU ACCUMULATE RISKERS IN 2511 01:22:11,001 --> 01:22:12,000 COMPANY, IT'S RISKY FOR THE 2512 01:22:12,001 --> 01:22:15,000 ECONOMY. 2513 01:22:15,001 --> 01:22:16,000 WE SAY IF IT'S RISKY FOR THE 2514 01:22:16,001 --> 01:22:18,000 COMPANY AND THE ECONOMY, WE 2515 01:22:18,001 --> 01:22:21,000 WANT IT RISKY FOR THE INDIVIDUAL. 2516 01:22:21,001 --> 01:22:25,000 WE DON'T WANT RISKY INDIVIDUALS 2517 01:22:25,001 --> 01:22:28,000 TAKING RISKS ON THE -- 2518 01:22:28,001 --> 01:22:32,000 RISK-FREE INDIVIDUALS TAKING 2519 01:22:32,001 --> 01:22:35,000 RISKS ON BEHALF OF PEOPLE WHO 2520 01:22:35,001 --> 01:22:37,000 FACE RISKS. 2521 01:22:37,001 --> 01:22:39,000 LET US RETURN TO THE THRILLING 2522 01:22:39,001 --> 01:22:41,000 DAYS OF YESTERYEAR WHEN 2523 01:22:41,001 --> 01:22:43,000 LOREN RANGERS WILL RIDE AGAIN, 2524 01:22:43,001 --> 01:22:44,000 UNTRAMMELED BY ANY SET OF RULE, 2525 01:22:44,001 --> 01:22:46,000 THEY'LL CONTINUE TO GIVE 2526 01:22:46,001 --> 01:22:47,000 THEMSELVES BONUSES TO ALLOW 2527 01:22:47,001 --> 01:22:48,000 THEM TO BE FREE OF RISK. 2528 01:22:48,001 --> 01:22:50,000 THAT'S DEAL. 2529 01:22:50,001 --> 01:22:51,000 THE COMPANY WILL FACE RISK, THE 2530 01:22:51,001 --> 01:22:53,000 ECONOMY WILL ACCUMULATE AND 2531 01:22:53,001 --> 01:22:54,000 FACE RISK, BUT THE DECISION 2532 01:22:54,001 --> 01:22:56,000 MAKERS WILL BE FREE OF THE 2533 01:22:56,001 --> 01:22:58,000 RISKS, NEGATIVE SID THEY WILL 2534 01:22:58,001 --> 01:23:01,000 GAIN FROM THE RISKS, POSITIV 2535 01:23:01,001 --> 01:23:02,000 SIDE, AND LIKE RATIONAL PEOPLE, 2536 01:23:02,001 --> 01:23:04,000 THEY'LL TAKE MORE RISKS. 2537 01:23:04,001 --> 01:23:05,000 I RESERVE THE BALANCE OF MY 2538 01:23:05,001 --> 01:23:06,000 TIME 2539 01:23:06,001 --> 01:23:07,000 THE SPEAKER PRO TEMPORE: THE 2540 01:23:07,001 --> 01:23:09,000 GENTLEMAN FROM ALABAMA. 2541 01:23:09,001 --> 01:23:10,000 MR. BACHUS: I YIELD TWO MINUTES 2542 01:23:10,001 --> 01:23:12,000 TO THE GENTLEMAN FROM CALIFORNIA. 2543 01:23:12,001 --> 01:23:14,000 THE SPEAKER PRO TEMPORE: THE 2544 01:23:14,001 --> 01:23:15,000 GENTLEMAN IS RECOGNIZED FOR TWO 2545 01:23:15,001 --> 01:23:17,000 MINUTES. MR. CAMPBELL: THANK YOU. 2546 01:23:17,001 --> 01:23:18,000 I THANK THE GENTLEMAN FOR 2547 01:23:18,001 --> 01:23:20,000 YIELDING. 2548 01:23:20,001 --> 01:23:21,000 I HEAR THE GENTLEMAN'S COMMENTS 2549 01:23:21,001 --> 01:23:22,000 AND REMARKS. 2550 01:23:22,001 --> 01:23:23,000 AND, YOU KNOW, THERE'S NO 2551 01:23:23,001 --> 01:23:25,000 ARGUMENT WITH ANYONE I THINK ON 2552 01:23:25,001 --> 01:23:27,000 THIS FLOOR ABOUT THE -- THAT EXECUTIVE PAY HAS BEEN AN 2553 01:23:27,001 --> 01:23:29,000 ISSUE, THAT HAS BEEN EXCESSIVE 2554 01:23:29,001 --> 01:23:30,000 AND THAT THERE HAS BEEN 2555 01:23:30,001 --> 01:23:31,000 PROBLEMS THAT HAVE BEEN CREATED 2556 01:23:31,001 --> 01:23:33,000 IN COMPANIES IN THE ECONOMY 2557 01:23:33,001 --> 01:23:35,000 WITH EXECUTIVE COMPENSATION. I THINK I WOULD ARGUE THAT 2558 01:23:35,001 --> 01:23:37,000 RATHER THAN EXCESSIVE RISK 2559 01:23:37,001 --> 01:23:38,000 TAKING THAT IT'S MORE ABOUT 2560 01:23:38,001 --> 01:23:39,000 SHORT-TERM THINKING INSTEAD OF 2561 01:23:39,001 --> 01:23:40,000 LONG-TERM THINKING WHICH BY THE 2562 01:23:40,001 --> 01:23:44,000 WAY IS WAY BETTER THAN 2563 01:23:44,001 --> 01:23:46,000 EXECUTIVE -- WAY BIGGER THAN EXECUTIVE PAY. 2564 01:23:46,001 --> 01:23:47,000 THAT'S ANOTHER ISSUE. 2565 01:23:47,001 --> 01:23:48,000 BUT THE QUESTION FOR ME IS 2566 01:23:48,001 --> 01:23:50,000 WHETHER THIS IS THE RIGHT WAY 2567 01:23:50,001 --> 01:23:52,000 TO DEAL WITH IT, AND I WOULD 2568 01:23:52,001 --> 01:23:55,000 ARGUE NO, BECAUSE IS THE ONLY 2569 01:23:55,001 --> 01:23:58,000 OBLEM OUT THERE IN CORPORATE 2570 01:23:58,001 --> 01:23:59,000 THAT HAS CREATED PROBLEMS FOR 2571 01:23:59,001 --> 01:24:01,000 COMPANIES RELATED TO EXECUTIVE 2572 01:24:01,001 --> 01:24:02,000 PAY. 2573 01:24:02,001 --> 01:24:04,000 NO. 2574 01:24:04,001 --> 01:24:05,000 LET'S LOOK AT GENERAL MOTORS 2575 01:24:05,001 --> 01:24:07,000 AND CHRYSLER AND THEIR RECENT PROBMS. 2576 01:24:07,001 --> 01:24:09,000 WERE THEIR PROBLEMS CREATED 2577 01:24:09,001 --> 01:24:10,000 BECAUSE OF EXECUTIVE PAY? 2578 01:24:10,001 --> 01:24:12,000 I AM NOT SURE I HEARD ANYBODY ARGUE THAT. 2579 01:24:12,001 --> 01:24:14,000 BUT WERE THEIR PROBLEMS CREATED 2580 01:24:14,001 --> 01:24:16,000 IN PART BECAUSE OF EXCESSIVE UNION CONTRACTS? 2581 01:24:16,001 --> 01:24:17,000 YES. 2582 01:24:17,001 --> 01:24:19,000 HOW ABOUT OF RETIREMENT 2583 01:24:19,001 --> 01:24:20,000 PROGRAMS THAT WERE UNFUNDABLE 2584 01:24:20,001 --> 01:24:22,000 OVER TIME? 2585 01:24:22,001 --> 01:24:23,000 YES. 2586 01:24:23,001 --> 01:24:25,000 WHAT ABOUT OTHER COMPANIES 2587 01:24:25,001 --> 01:24:27,000 WHERE PERHAPS THERE HAVE BEEN 2588 01:24:27,001 --> 01:24:28,000 LEGAL SETTLEMENTS THAT HAVE 2589 01:24:28,001 --> 01:24:30,000 CREATED PROBLEMS THAT HAVE BEEN 2590 01:24:30,001 --> 01:24:32,000 FATAL OR RESULTED IN COMPANIES 2591 01:24:32,001 --> 01:24:35,000 GOING BANKRUPT? THOS 2592 01:24:35,001 --> 01:24:37,000 HOW ABOUT MERGERS AND ACQUISITIONS? 2593 01:24:37,001 --> 01:24:38,000 SO WHAT ARE WE GOING TO DO? 2594 01:24:38,001 --> 01:24:41,000 ARE WE GOING TO HAVE 2595 01:24:41,001 --> 01:24:43,000 SHAREHOLDERS VOTE ON PAY, ON 2596 01:24:43,001 --> 01:24:47,000 MERGERS, ON ACQUISITIONS, ON 2597 01:24:47,001 --> 01:24:52,000 UNION CONTRACTS, ON RETIREMENT 2598 01:24:52,001 --> 01:24:53,000 PAY, ON LEGAL SETTLEMENTS, ON 2599 01:24:53,001 --> 01:24:55,000 FEES TO ATTORNEYS? 2600 01:24:55,001 --> 01:24:57,000 WELL, NOW, ANY OF THOSE 2601 01:24:57,001 --> 01:24:59,000 ARGUABLY CAN BRING A COMPANY 2602 01:24:59,001 --> 01:25:00,000 DOWN. 2603 01:25:00,001 --> 01:25:01,000 AND ISN'T THAT -- SHLD THE 2604 01:25:01,001 --> 01:25:02,000 SHAREHOLDERS HAVE A SAY ON 2605 01:25:02,001 --> 01:25:04,000 THAT? 2606 01:25:04,001 --> 01:25:05,000 YOU KNOW, OBVIOUSLY THE 2607 01:25:05,001 --> 01:25:06,000 SHAREHOLDERS ARE THE ULTIMATE 2608 01:25:06,001 --> 01:25:08,000 OWNERS OF THE COMPANY. 2609 01:25:08,001 --> 01:25:09,000 IF YOU WANT TO GIVE THEM A SAY 2610 01:25:09,001 --> 01:25:10,000 ON PAY, FINE. 2611 01:25:10,001 --> 01:25:11,000 THEN YOU BETTER GIVE THEM SAY 2612 01:25:11,001 --> 01:25:13,000 ON THE REST OF THAT. 2613 01:25:13,001 --> 01:25:14,000 BUT I AM NOT SURE THAT ANYBODY 2614 01:25:14,001 --> 01:25:15,000 ON THIS FLOOR THINKS THAT'S THE 2615 01:25:15,001 --> 01:25:17,000 RIGHT THING TO DO. 2616 01:25:17,001 --> 01:25:18,000 THE BEST WAY FOR SHAREHOLDERS 2617 01:25:18,001 --> 01:25:19,000 TO EXPRESS THEIR DISPLEASURE 2618 01:25:19,001 --> 01:25:20,000 WITH THE MANAGEMENT OR 2619 01:25:20,001 --> 01:25:23,000 OPERATION OF A COMPANY IS 2620 01:25:23,001 --> 01:25:24,000 AND THAT'S THE WAY IT HAS BEEN 2621 01:25:24,001 --> 01:25:26,000 DONE AND THAT'S THE WAY IT 2622 01:25:26,001 --> 01:25:27,000 SHOU 2623 01:25:27,001 --> 01:25:29,000 I YIELD BACK THE BALANCE OF MY 2624 01:25:29,001 --> 01:25:31,000 TIME. 2625 01:25:31,001 --> 01:25:32,000 GENTLEMAN YIELDS BACK THE 2626 01:25:32,001 --> 01:25:33,000 BALANCE OF HIS TIME. 2627 01:25:33,001 --> 01:25:34,000 THE GENTLEMAN FROM GEORGIA. 2628 01:25:34,001 --> 01:25:36,000 MR. SCOTT: YES, MR. SPEAKER. 2629 01:25:36,001 --> 01:25:37,000 I ELD TO THE GENTLEMAN FROM 2630 01:25:37,001 --> 01:25:39,000 NORTH CAROLINA, MR. MILLER, 2631 01:25:39,001 --> 01:25:40,000 FOUR MINUTES -- THREE MINUTES. 2632 01:25:40,001 --> 01:25:41,000 THE SPEAKER PRO TEMPORE: THE 2633 01:25:41,001 --> 01:25:42,000 GENTLEMAN IS RECOGNIZED FOR 2634 01:25:42,001 --> 01:25:43,000 THREE MINUTES. 2635 01:25:43,001 --> 01:25:45,000 MR. MILLER: THANK YOU, MR. 2636 01:25:45,001 --> 01:25:46,000 SPEAKER. 2637 01:25:46,001 --> 01:25:47,000 I LOOK FORWARD TO WORKING WITH 2638 01:25:47,001 --> 01:25:49,000 MR. CAMPBELL ON GIVING 2639 01:25:49,001 --> 01:25:51,000 SHAREHOLDERS MUCH MORE -- MUCH MORE POWER OVER THEIR OWN 2640 01:25:51,001 --> 01:25:53,000 CORPORATIONS. 2641 01:25:53,001 --> 01:25:54,000 THERE IS MUCH MORE WE NEED TO 2642 01:25:54,001 --> 01:25:55,000 DO TO REFORM CORPORATE 2643 01:25:55,001 --> 01:25:57,000 GOVERNANCE IN THIS COUNTRY. 2644 01:25:57,001 --> 01:25:58,000 IT'S ONE OF MANY FAILINGS OF 2645 01:25:58,001 --> 01:26:00,000 OUR ECONOMY IN THE LAST YEAR OR SO. 2646 01:26:00,001 --> 01:26:02,000 MR. SPEAKER, I DON'T WANT TO 2647 01:26:02,001 --> 01:26:04,000 RUN CORPORATIONS, BUT SOMEONE 2648 01:26:04,001 --> 01:26:05,000 NEEDS TO SET SOME RULES. 2649 01:26:05,001 --> 01:26:07,000 WE NEED THE LAW TO SET SOME 2650 01:26:07,001 --> 01:26:09,000 RULES. 2651 01:26:09,001 --> 01:26:11,000 WE NEED SOMEONE TO PROVIDE SOME OVERSIGHT. 2652 01:26:11,001 --> 01:26:13,000 WE NEED SOMEONE TO BE A 2653 01:26:13,001 --> 01:26:14,000 WATCHDOG FOR WHAT THEY ARE 2654 01:26:14,001 --> 01:26:16,000 DOING BECAUSE WE HAVE FOUND OUT 2655 01:26:16,001 --> 01:26:17,000 WHAT HAPPENS WHEN THERE ARE NO 2656 01:26:17,001 --> 01:26:19,000 RULES, WHEN THERE IS NO 2657 01:26:19,001 --> 01:26:20,000 OVERSIGHT, WHEN THERE IS NO 2658 01:26:20,001 --> 01:26:21,000 WATCHDOG. 2659 01:26:21,001 --> 01:26:23,000 WE ARE NOW IN THE WORST 2660 01:26:23,001 --> 01:26:24,000 ECONOMIC DOWNTURN SINCE THE 2661 01:26:24,001 --> 01:26:27,000 GREAT DEPRESSION, AND WE HAVE 2662 01:26:27,001 --> 01:26:29,000 BEEN CLOSE TO A FINANCIAL 2663 01:26:29,001 --> 01:26:32,000 COLLAPSE THAT WOULD HAVE LEFT 2664 01:26:32,001 --> 01:26:33,000 THE GREAT DEPRESSION IN THE 2665 01:26:33,001 --> 01:26:35,000 SHADE. 2666 01:26:35,001 --> 01:26:36,000 AND WE KNOW WHAT CAUSED IT. 2667 01:26:36,001 --> 01:26:37,000 ESSENTIALLY THE SAME THINGS 2668 01:26:37,001 --> 01:26:41,000 THAT WENT WRONG IN THE 1920'S. 2669 01:26:41,001 --> 01:26:42,000 CORPORATE EXECUTIVES WERE 2670 01:26:42,001 --> 01:26:44,000 LOOTING THE COUNTRY WITH 2671 01:26:44,001 --> 01:26:46,000 PREDATORY LENDING PRACTICES TO 2672 01:26:46,001 --> 01:26:47,000 MAKE AS MUCH MONEY AS THEY 2673 01:26:47,001 --> 01:26:49,000 POSSIBLY COULD WITHOUT ANY 2674 01:26:49,001 --> 01:26:52,000 REGARD TO THE CONSEQUENCES. AND THEN THE CORPORATE 2675 01:26:52,001 --> 01:26:53,000 EXECUTIVES IN TURN WERE LOOTING 2676 01:26:53,001 --> 01:26:56,000 THEIR COMPANIES TO MAKE AS MUCH 2677 01:26:56,001 --> 01:26:58,000 MONEY FOR THEMSELVES AS COULD. 2678 01:26:58,001 --> 01:27:00,000 THEY WEREN'T DOING RIGHT BY 2679 01:27:00,001 --> 01:27:01,000 AMERICAN CONSUMERS. 2680 01:27:01,001 --> 01:27:03,000 THEY WEREN'T DOING RIGHT BY 2681 01:27:03,001 --> 01:27:05,000 THEIR OWN SHAREHOLDERS. 2682 01:27:05,001 --> 01:27:07,000 THEY WERE ONLY LOOKING AFTER THEMSELVES. 2683 01:27:07,001 --> 01:27:08,000 THE IDEA THAT CORPORATE 2684 01:27:08,001 --> 01:27:10,000 EXECUTIVES WERE ACTING IN THE 2685 01:27:10,001 --> 01:27:13,000 BEST INTEREST OF THEIR OWN 2686 01:27:13,001 --> 01:27:17,000 SHAREHOLDERS IS SIMPLY A 2687 01:27:17,001 --> 01:27:18,000 WE SAW VULLINGAR COMPENSATION 2688 01:27:18,001 --> 01:27:20,000 FOR EXECUTIVES -- VULGAR 2689 01:27:20,001 --> 01:27:21,000 COMPENSATION FOR EXECUTIVES AND 2690 01:27:21,001 --> 01:27:23,000 OTHER TOP OFFICIALS WHO WERE 2691 01:27:23,001 --> 01:27:24,000 DOING VERY LITTLE OF ANY VALUE 2692 01:27:24,001 --> 01:27:25,000 TO SOCIETY. 2693 01:27:25,001 --> 01:27:27,000 IN FACT, THEIR PREDATORY 2694 01:27:27,001 --> 01:27:28,000 LENDING PRACTICES WERE DOING 2695 01:27:28,001 --> 01:27:30,000 MUCH MORE HARM THAN GOOD, AND 2696 01:27:30,001 --> 01:27:33,000 IT WASN'T EVEN TO THE BENEFIT 2697 01:27:33,001 --> 01:27:36,000 OF THEIR SHAREHOLDERS BECAUSE OF THE RISK THAT THEY WERE 2698 01:27:36,001 --> 01:27:38,000 CREATING FOR THEIR CORPORATION, 2699 01:27:38,001 --> 01:27:42,000 THAT THE SHORT-TERM PROFITS 2700 01:27:42,001 --> 01:27:44,000 WOULD LEAD TO GREAT RISK IN A 2701 01:27:44,001 --> 01:27:45,000 VERY SHORT WHILE. 2702 01:27:45,001 --> 01:27:47,000 THIS BILL IS PART OF WHAT WE 2703 01:27:47,001 --> 01:27:48,000 NEED TO DO. 2704 01:27:48,001 --> 01:27:49,000 IT IS ONLY PART OF WHAT WE NEED 2705 01:27:49,001 --> 01:27:51,000 TO DO. 2706 01:27:51,001 --> 01:27:53,000 THIS JUST SCRATCHES THE SURFACE. 2707 01:27:53,001 --> 01:27:55,000 WE NEED TO MAKE SURE THAT THE 2708 01:27:55,001 --> 01:27:56,000 FINANCIAL COLLAPSE THAT WE HAVE 2709 01:27:56,001 --> 01:27:58,000 SEENN THE LAST YEAR NEVER 2710 01:27:58,001 --> 01:27:59,000 HAPPEN 2711 01:27:59,001 --> 01:28:01,000 THIS BILL IS ONLY PART OF IT. 2712 01:28:01,001 --> 01:28:02,000 I YIELD BACK THE BALANCE OF MY 2713 01:28:02,001 --> 01:28:04,000 TIME. 2714 01:28:04,001 --> 01:28:05,000 THE SPEAKER PRO TEMPORE: THE 2715 01:28:05,001 --> 01:28:06,000 GENTLEMAN YIELDS BACK THE 2716 01:28:06,001 --> 01:28:07,000 BALANCE OF HIS TIME. 2717 01:28:07,001 --> 01:28:09,000 THE GENTLEMAN FROM ALABAMA. 2718 01:28:09,001 --> 01:28:10,000 MR. BACHUS: THANK YOU. 2719 01:28:10,001 --> 01:28:11,000 THREE MINUTES TO THE GENTLEMAN 2720 01:28:11,001 --> 01:28:13,000 FROM DELAWARE. 2721 01:28:13,001 --> 01:28:14,000 THE SPEAKER PRO TEMPORE: THE 2722 01:28:14,001 --> 01:28:15,000 GENTLEMAN IS RECOGNIZED FOR 2723 01:28:15,001 --> 01:28:16,000 THREE MINUTES. 2724 01:28:16,001 --> 01:28:18,000 MR. CASTLE: THANK YOU, MR. 2725 01:28:18,001 --> 01:28:19,000 SPEAKER. 2726 01:28:19,001 --> 01:28:21,000 AND I THANK THE GENTLEMAN FOR YIELDING. 2727 01:28:21,001 --> 01:28:23,000 AND, MR. SPEAKER, I RISE IN 2728 01:28:23,001 --> 01:28:24,000 STRONG OPPOSITION TO H.R. 3269, 2729 01:28:24,001 --> 01:28:25,000 THE CORPORATE AND FINANCIAL 2730 01:28:25,001 --> 01:28:26,000 INSTITUTION COMPENSATION 2731 01:28:26,001 --> 01:28:28,000 IRNESS ACT. 2732 01:28:28,001 --> 01:28:29,000 THIS OVERREACHING BILL, WHICH 2733 01:28:29,001 --> 01:28:30,000 IS BEING SOLD AS A RESPONSE TO 2734 01:28:30,001 --> 01:28:32,000 THE FINANCIAL CRIS, WOULD IN 2735 01:28:32,001 --> 01:28:33,000 EFFECT TAKE AWAY THE RIGHTS OF 2736 01:28:33,001 --> 01:28:34,000 INDIVIDUAL COMPANIES TO CONDUCT 2737 01:28:34,001 --> 01:28:36,000 BUSINESSES AS THEY SEE FIT. 2738 01:28:36,001 --> 01:28:37,000 IN PLACES GOVERNMENT 2739 01:28:37,001 --> 01:28:38,000 BUREAUCRATS IN CHARGE OF MAKING 2740 01:28:38,001 --> 01:28:40,000 KEY DECISIONS ABOUT HOW 2741 01:28:40,001 --> 01:28:41,000 BUSINESSES SHOULD BE RUN. 2742 01:28:41,001 --> 01:28:42,000 WE CAN AGREE THAT SOME 2743 01:28:42,001 --> 01:28:43,000 EXECUTIVES IN THIS COUNTRY ARE 2744 01:28:43,001 --> 01:28:45,000 GROSSLY OVERPAID, BUT ALLOWING 2745 01:28:45,001 --> 01:28:46,000 GOVERNMENT TO MAKE SUCH 2746 01:28:46,001 --> 01:28:47,000 DETERMINATIONS IS COUNTER TO 2747 01:28:47,001 --> 01:28:49,000 EVERYTHING THAT'S MADE OUR 2748 01:28:49,001 --> 01:28:50,000 COUNTRY GREAT. 2749 01:28:50,001 --> 01:28:51,000 AMERICA HA 2750 01:28:51,001 --> 01:28:53,000 ECONOMIC POWERHOUSE IN THE 2751 01:28:53,001 --> 01:28:54,000 WORLD, BUT THIS BILL RESTRICTS 2752 01:28:54,001 --> 01:28:55,000 COMPETITION THROUGH GOVERNMENT 2753 01:28:55,001 --> 01:28:56,000 INTERVENTION IN A WAY THAT 2754 01:28:56,001 --> 01:28:58,000 INFRINGES ON THE 2755 01:28:58,001 --> 01:29:00,000 ENTREPRENEURIAL SPIRIT OF THIS NATION. 2756 01:29:00,001 --> 01:29:02,000 SECTION 4 OF H.R. 3269 WOULD 2757 01:29:02,001 --> 01:29:03,000 ACTUALLY ALLOW THE GOVERNMENT 2758 01:29:03,001 --> 01:29:04,000 TO INVOLVE ITSELF IN THE 2759 01:29:04,001 --> 01:29:05,000 RUNNING OF PRIVATE BUSINESSES 2760 01:29:05,001 --> 01:29:07,000 BY EMPOWERING FEDERAL 2761 01:29:07,001 --> 01:29:08,000 REGULATORS TO PROHIBIT 2762 01:29:08,001 --> 01:29:09,000 COMPENSATION ARRANGEMENTS FOR 2763 01:29:09,001 --> 01:29:11,000 ALL EMPLOYEES OF ALL FINANCIAL 2764 01:29:11,001 --> 01:29:12,000 INSTITUTIONS, INCLUDING BANKS, 2765 01:29:12,001 --> 01:29:13,000 BANK HOLDING COMPANIES, BROKER 2766 01:29:13,001 --> 01:29:15,000 DEALERS, CREDIT UNIONS AND 2767 01:29:15,001 --> 01:29:16,000 INVESTMENT ADVISORS. 2768 01:29:16,001 --> 01:29:18,000 EVEN REGULATORS UNDER THE CURRENTED A MFRLINGS HAVE 2769 01:29:18,001 --> 01:29:20,000 TESTIFIED THAT THEY DO NOT -- 2770 01:29:20,001 --> 01:29:21,000 CURRENT ADMINISTRATION HAVE 2771 01:29:21,001 --> 01:29:22,000 TESTIFIED THAT THEY DO NOT WANT 2772 01:29:22,001 --> 01:29:24,000 TO CAP PAY FOR HOW COMPANIES 2773 01:29:24,001 --> 01:29:25,000 SHOULD SET COMPENSATION WHICH 2774 01:29:25,001 --> 01:29:26,000 COULD BE COUNTERPRODUCTIVE 2775 01:29:26,001 --> 01:29:28,000 HOWEVER, THE MAJORITY HAS 2776 01:29:28,001 --> 01:29:29,000 IGNORED THE ADMINISTRATION'S 2777 01:29:29,001 --> 01:29:31,000 WISHES BY ADDING SECTION 4 OF H.R. 3269. 2778 01:29:31,001 --> 01:29:33,000 THIS BILL IS AN OVERREACTION TO 2779 01:29:33,001 --> 01:29:34,000 THE CURRENT FINANCIAL CRIS. 2780 01:29:34,001 --> 01:29:36,000 LIKE MANY, I AM CONCERNED THAT 2781 01:29:36,001 --> 01:29:38,000 EXECUTIVES IN A HANDFUL OF 2782 01:29:38,001 --> 01:29:39,000 LARGE COMPANIES LIKE A.I.G. 2783 01:29:39,001 --> 01:29:42,000 HAVE BEEN AWARDED EXTRAFFIC GET 2784 01:29:42,001 --> 01:29:45,000 PAY PACKAGES AND BONUSES EVEN 2785 01:29:45,001 --> 01:29:46,000 AFTER THE COMPANY RECEIVED 2786 01:29:46,001 --> 01:29:49,000 ASSISTANCE FROM THE GOVERNMENT. 2787 01:29:49,001 --> 01:29:50,000 IN THIS CASE, WHEN FEDERAL 2788 01:29:50,001 --> 01:29:52,000 ASSISTANCE HAS BEEN GRANTED, I 2789 01:29:52,001 --> 01:29:53,000 DO BELIEVE THE FEDERAL 2790 01:29:53,001 --> 01:29:54,000 GOVERNMENT SHOULD MANDATE THE 2791 01:29:54,001 --> 01:29:56,000 PAY STRUCTURE OF THESE FIRMS, 2792 01:29:56,001 --> 01:29:58,000 WHICH IS WHY I VOTED FOR AN 2793 01:29:58,001 --> 01:29:59,000 AMENDMENT DURING COMMITTEE 2794 01:29:59,001 --> 01:30:00,000 CONSIDERATION OF H.R. 3269 TO 2795 01:30:00,001 --> 01:30:03,000 ONLY APPLY THE PROVISIONS TO 2796 01:30:03,001 --> 01:30:04,000 TARP RECIPIENTS FOR THE TIME 2797 01:30:04,001 --> 01:30:07,000 THE TARP MONEY IS OUTSTANDING. 2798 01:30:07,001 --> 01:30:09,000 THIS AMENDMENT WAS REJECTED, LEAVING MANY FINANCIAL 2799 01:30:09,001 --> 01:30:10,000 INSTITUTIONS WHO DID NOT 2800 01:30:10,001 --> 01:30:12,000 CONTRIBUTE TO THE CURRENT 2801 01:30:12,001 --> 01:30:13,000 CRISIS TO PAY FOR THE MISTAKES 2802 01:30:13,001 --> 01:30:14,000 OF OTHERS. 2803 01:30:14,001 --> 01:30:15,000 FINALLY, THIS BILL UNDERMINES 2804 01:30:15,001 --> 01:30:17,000 THE PRIVACY OF CORPORATE 2805 01:30:17,001 --> 01:30:19,000 GOVERNANCE LAWS. 2806 01:30:19,001 --> 01:30:22,000 LAWS HAVE BEEN LEFT UP TO THE 2807 01:30:22,001 --> 01:30:27,000 STATES LEAVING THEM TO FOSTER 2808 01:30:27,001 --> 01:30:28,000 COMPETION. 2809 01:30:28,001 --> 01:30:30,000 FOR THIS REASON, I SUPPORT MR. 2810 01:30:30,001 --> 01:30:32,000 GARRETT'S AMENDMENT TO ALLOW 2811 01:30:32,001 --> 01:30:33,000 STATE LAW TO PREEMPT THE 2812 01:30:33,001 --> 01:30:34,000 UNDERLYING BILL. 2813 01:30:34,001 --> 01:30:36,000 H.R. 3269 WAS INTRODUCED 2814 01:30:36,001 --> 01:30:38,000 WITHOUT A SINGLE LEGISLATIVE 2815 01:30:38,001 --> 01:30:40,000 HEARING TO EXAMINE ITS 2816 01:30:40,001 --> 01:30:43,000 FAR-REACHING IMPLICATIONS 2817 01:30:43,001 --> 01:30:45,000 DESPITE NUMEROUS PEOPLE FROM 2818 01:30:45,001 --> 01:30:46,000 THE FINANCIAL SERVICES 2819 01:30:46,001 --> 01:30:48,000 COMMITTEE. 2820 01:30:48,001 --> 01:30:50,000 I BELIEVE 2821 01:30:50,001 --> 01:30:51,000 UNINTENDED CONSEQUENCES AND I 2822 01:30:51,001 --> 01:30:54,000 URGE MY COLLEAGUES TO VOTE NO 2823 01:30:54,001 --> 01:30:55,000 I YIELD BACK THE BALANCE OF MY 2824 01:30:55,001 --> 01:30:56,000 TIME. 2825 01:30:56,001 --> 01:30:57,000 THE SPEAKER PRO TEMPORE: THE 2826 01:30:57,001 --> 01:30:59,000 GENTLEMAN YIELDS BACK THE 2827 01:30:59,001 --> 01:31:00,000 BALANCE OF HIS TIME. 2828 01:31:00,001 --> 01:31:04,000 THE GENTLEMAN FROM MASSACHUSETTS. 2829 01:31:04,001 --> 01:31:05,000 ASK IF I COULD RESERVE FOR ONE 2830 01:31:05,001 --> 01:31:06,000 MORE SPEAKER WHILE I WORK MG 2831 01:31:06,001 --> 01:31:08,000 OUT. 2832 01:31:08,001 --> 01:31:09,000 THE SPEAKER PRO TEMPORE: THE 2833 01:31:09,001 --> 01:31:11,000 GENTLEMAN RESERVES THE BALANCE OF HIS TIME. 2834 01:31:11,001 --> 01:31:12,000 -- 2835 01:31:12,001 --> 01:31:14,000 MR. FRANK: ONE MORE SPEAK WHILE 2836 01:31:14,001 --> 01:31:15,000 I WORK SOMETHING OUT. 2837 01:31:15,001 --> 01:31:16,000 THE SPEAKER PRO TEMPORE: THE 2838 01:31:16,001 --> 01:31:17,000 GENTLEMAN RESERVES THE BALANCE 2839 01:31:17,001 --> 01:31:19,000 OF HIS TIME. 2840 01:31:19,001 --> 01:31:20,000 THE GENTLEMAN FROM ALABAMA. 2841 01:31:20,001 --> 01:31:21,000 MR. BACHUS: I YIELD 2842 01:31:21,001 --> 01:31:23,000 TO THE GENTLEMAN FROM GEORA, 2843 01:31:23,001 --> 01:31:24,000 MR. PRICE. 2844 01:31:24,001 --> 01:31:25,000 THE SPEAKER PRO TEMPORE: THE 2845 01:31:25,001 --> 01:31:26,000 GENTLEMAN IS RECOGNIZED FOR TWO 2846 01:31:26,001 --> 01:31:28,000 MINUTES. 2847 01:31:28,001 --> 01:31:29,000 MR. PRICE: I ASK UNANIMOUS 2848 01:31:29,001 --> 01:31:30,000 CONSENT TO REVISE AND EXTEND MY 2849 01:31:30,001 --> 01:31:31,000 REMARKS. 2850 01:31:31,001 --> 01:31:33,000 THE SPEAKER PRO TEMPORE: SO 2851 01:31:33,001 --> 01:31:34,000 ORDERED. MR. PRICE: THANK YOU, MR. 2852 01:31:34,001 --> 01:31:36,000 SPEAKER. 2853 01:31:36,001 --> 01:31:38,000 I THANK MY FRIEND FROM ALABAMA 2854 01:31:38,001 --> 01:31:40,000 FOR YIELDING ME TIME AND FOR LEADING ON THIS ISSUE. 2855 01:31:40,001 --> 01:31:42,000 WHAT WE HEAR FROM THE OTHER 2856 01:31:42,001 --> 01:31:43,000 SIDE OF THE ALE IS THIS 2857 01:31:43,001 --> 01:31:45,000 FAMOUS OLD PHRASE, TRUST US. RIGHT? 2858 01:31:45,001 --> 01:31:46,000 TRUST US. 2859 01:31:46,001 --> 01:31:48,000 NOW, WE KNOW THAT FOLKS ON THE 2860 01:31:48,001 --> 01:31:50,000 OTHER SIDE DON'T HAVE ANY RELUCTANCE TO HAVE THE 2861 01:31:50,001 --> 01:31:51,000 GOVERNMENT RUN THINGS. 2862 01:31:51,001 --> 01:31:53,000 WE'VE SEEN IT OVER AND OVER AND 2863 01:31:53,001 --> 01:31:54,000 OVER AGAIN. 2864 01:31:54,001 --> 01:31:55,000 IN FACT, WE JUST HEARD IT FROM 2865 01:31:55,001 --> 01:31:58,000 ONE OF THE SPEAKERS, WE DON'T 2866 01:31:58,001 --> 01:31:59,000 AND THEN HE FOLLOWED THAT UP 2867 01:31:59,001 --> 01:32:00,000 AND SAID, BUT THIS IS ONLY PART 2868 01:32:00,001 --> 01:32:02,000 OF WHAT WE NEED TO DO. 2869 01:32:02,001 --> 01:32:03,000 BUT THE BILL, MR. SPEAKER, THE 2870 01:32:03,001 --> 01:32:04,000 BILL HAS LANGUAGE IN IT THAT 2871 01:32:04,001 --> 01:32:06,000 WOULD IN EFFECT ALLOW THE 2872 01:32:06,001 --> 01:32:07,000 FEDERAL GOVERNMENT TO DETERMINE 2873 01:32:07,001 --> 01:32:08,000 PAY COMPENSATION FOR EMPLOYEES, 2874 01:32:08,001 --> 01:32:10,000 AND THAT MIGHT BE ALL RIGHT IF 2875 01:32:10,001 --> 01:32:11,000 IT WERE JUST COMPANIES THAT 2876 01:32:11,001 --> 01:32:12,000 WERE RECEIVING TAX MONEY. 2877 01:32:12,001 --> 01:32:13,000 THAT MIGHT BE OK. 2878 01:32:13,001 --> 01:32:15,000 BUT IN FACT IT'S NOT. 2879 01:32:15,001 --> 01:32:16,000 IT IS SO MANY OTHER COMPANIES. 2880 01:32:16,001 --> 01:32:18,000 COVERED FINANCIAL INSTITUTIONS, 2881 01:32:18,001 --> 01:32:19,000 THE DEFINITION IN THE BILL 2882 01:32:19,001 --> 01:32:20,000 WOULD EXPOSE COMPANIES LIKE 2883 01:32:20,001 --> 01:32:24,000 C.V.S. CARE MARK, YES, WELL 2884 01:32:24,001 --> 01:32:27,000 CARE HEALTH PLAN, VALUE LINE, 2885 01:32:27,001 --> 01:32:29,000 TEXTRON, MEDCO HEALTH 2886 01:32:29,001 --> 01:32:30,000 SOLUTIONS, LOWE'S CORPORATION. 2887 01:32:30,001 --> 01:32:31,000 MR. SPEAKER, THIS IS ANOTHER 2888 01:32:31,001 --> 01:32:34,000 FAR REACH BY THE DEMOCRATS IN 2889 01:32:34,001 --> 01:32:36,000 CHARGE WHO BELIEVE THAT THE 2890 01:32:36,001 --> 01:32:37,000 GOVERNMENT KNOWS BEST, NOT JUST 2891 01:32:37,001 --> 01:32:38,000 ABOUT AUTOMOBILE COMPANIES, NOT 2892 01:32:38,001 --> 01:32:40,000 JUST ABOUT ENERGY COMPANIES, 2893 01:32:40,001 --> 01:32:42,000 NOT JUST ABOUT HOW TO SPEND 2894 01:32:42,001 --> 01:32:44,000 YOUR MONEY, NOT JUST ABOUT YOUR HEALTH CARE. 2895 01:32:44,001 --> 01:32:45,000 THEY'RE WORKING ON THAT 2896 01:32:45,001 --> 01:32:47,000 GOVERNMENT-RUN HEALTH CARE 2897 01:32:47,001 --> 01:32:48,000 PLAN. 2898 01:32:48,001 --> 01:32:49,000 BUT ALSO PRIVATE COMPANIES 2899 01:32:49,001 --> 01:32:53,000 ACROSS THIS COUNTRY. 2900 01:32:53,001 --> 01:32:54,000 THEY BELIEVE THEY OUGHT TO COME 2901 01:32:54,001 --> 01:32:56,000 AND SAY, THIS IS WHAT YOU 2902 01:32:56,001 --> 01:32:58,000 SHOULD MAKE AND NOT MAKE. 2903 01:32:58,001 --> 01:33:00,000 NOBODY SHOULD BE CONCERNED 2904 01:33:00,001 --> 01:33:01,000 ABOUT HAVING SHAREHOLDERS GIVE 2905 01:33:01,001 --> 01:33:03,000 THEIR OPINION, HAVE A SAY ABOUT 2906 01:33:03,001 --> 01:33:04,000 WHAT EXECUTIVES MAKE WHEN 2907 01:33:04,001 --> 01:33:06,000 SHAREHOLDERS OWN PART OF THAT 2908 01:33:06,001 --> 01:33:07,000 COMPANY. 2909 01:33:07,001 --> 01:33:09,000 THAT MAKES A WHOLE LOT OF SENSE. 2910 01:33:09,001 --> 01:33:11,000 BUT WHAT WE DO HAVE CONCERNS 2911 01:33:11,001 --> 01:33:12,000 ABOUT, GRAVE CONCERNS, IS THE 2912 01:33:12,001 --> 01:33:13,000 INTERVENTION OF THE FEDERAL 2913 01:33:13,001 --> 01:33:15,000 GOVERNMENT INTO ONE BUSINESS 2914 01:33:15,001 --> 01:33:16,000 AFTER ANOTHER AFTER ANOTHER. 2915 01:33:16,001 --> 01:33:17,000 THIS IS JUST ANOTHER EXAMPLE OF 2916 01:33:17,001 --> 01:33:18,000 THAT. 2917 01:33:18,001 --> 01:33:20,000 IT'S A TERRIBLE IDEA. 2918 01:33:20,001 --> 01:33:22,000 IT STRIKES AT THE VERY CORE OF 2919 01:33:22,001 --> 01:33:24,000 THE FREE MARKET PRINCIPLES THAT 2920 01:33:24,001 --> 01:33:25,000 HAVE MADE THE GREATEST NATION 2921 01:33:25,001 --> 01:33:26,000 IN THE HISTORY OF THE WORLD. 2922 01:33:26,001 --> 01:33:27,000 BAD IDEA,R. SPEAKER. 2923 01:33:27,001 --> 01:33:29,000 VOTE 2924 01:33:29,001 --> 01:33:30,000 THE SPEAKER PRO TEMPORE: THE 2925 01:33:30,001 --> 01:33:31,000 GENTLEMAN YIELDS BACK THE 2926 01:33:31,001 --> 01:33:32,000 BALANCE OF HIS TIME. 2927 01:33:32,001 --> 01:33:34,000 THE GENTLEMAN FROM 2928 01:33:34,001 --> 01:33:35,000 MASSACHUSETTS. 2929 01:33:35,001 --> 01:33:36,000 MR. FRANK: WELL, MR. SPEAKER, I 2930 01:33:36,001 --> 01:33:38,000 YIELD MYSELF 15 SECONDS TO SAY 2931 01:33:38,001 --> 01:33:39,000 I WELCOME THE GENTLEMAN FROM 2932 01:33:39,001 --> 01:33:40,000 GEORGIA TO THE CAUSE OF SAY ON 2933 01:33:40,001 --> 01:33:43,000 FAY WHEN WE DEBATED THIS ON 2934 01:33:43,001 --> 01:33:44,000 MARCH 22, 2007, WEIGHS -- -- 2935 01:33:44,001 --> 01:33:45,000 WHEN HE WAS QUITE CRITICAL OF 2936 01:33:45,001 --> 01:33:48,000 IT. 2937 01:33:48,001 --> 01:33:49,000 I NOW YIELD TO A QUESTION OF 2938 01:33:49,001 --> 01:33:50,000 THE GENTLEWOMAN FROM 2939 01:33:50,001 --> 01:33:51,000 CALIFORNIA. 2940 01:33:51,001 --> 01:33:53,000 THE SPEAKER PRO TEMPORE: THE 2941 01:33:53,001 --> 01:33:54,000 GENTLELADY IS RECOGNIZED. 2942 01:33:54,001 --> 01:33:55,000 MR. SPEIER: THANK YOU, -- 2943 01:33:55,001 --> 01:33:56,000 MS. SPEIER: THANK YOU, MR. 2944 01:33:56,001 --> 01:33:58,000 SPEAKER. 2945 01:33:58,001 --> 01:33:59,000 IN SECTION 4 OF THE BILL IT 2946 01:33:59,001 --> 01:34:00,000 DEFINES THE TERM COVERED 2947 01:34:00,001 --> 01:34:01,000 FINANCIAL INSTITUTIONS TO 2948 01:34:01,001 --> 01:34:03,000 INCLUDE DEPOSITORY 2949 01:34:03,001 --> 01:34:04,000 INSTITUTIONS, BROKER DEALERS, 2950 01:34:04,001 --> 01:34:05,000 CREDIT UNIONS AND INVESTMENT 2951 01:34:05,001 --> 01:34:06,000 ADVISORS. 2952 01:34:06,001 --> 01:34:08,000 BUT ALSO AUTHORIZES THE 2953 01:34:08,001 --> 01:34:09,000 APPROPRIATE FEDERAL REGULATORS 2954 01:34:09,001 --> 01:34:10,000 TO DESIGNATE JOINTLY BY RULE 2955 01:34:10,001 --> 01:34:12,000 OTHER FINANCIAL INSTITUTIONS 2956 01:34:12,001 --> 01:34:13,000 THAT ARE TO BE COVERED. 2957 01:34:13,001 --> 01:34:14,000 BECAUSE THIS AUTHORITY IS 2958 01:34:14,001 --> 01:34:15,000 GRANTED TO APPROPRIATE FEDERAL 2959 01:34:15,001 --> 01:34:18,000 REGULATORS, CAN WE ASSUME THAT 2960 01:34:18,001 --> 01:34:19,000 ENTITIES NOT REGULATED BY THE 2961 01:34:19,001 --> 01:34:21,000 FEDERAL FINANCIAL REGULATOR ARE 2962 01:34:21,001 --> 01:34:23,000 NOT INTENDED TO BE COVERED BY 2963 01:34:23,001 --> 01:34:24,000 FINANCIAL INSTITUTIONS? 2964 01:34:24,001 --> 01:34:26,000 MR. FRANK: YES. 2965 01:34:26,001 --> 01:34:27,000 AS TO SECTION 4. 2966 01:34:27,001 --> 01:34:29,000 IF THE PUBLIC COMPANIES THEY'RE 2967 01:34:29,001 --> 01:34:30,000 COVERED BY SAY ON PAY. 2968 01:34:30,001 --> 01:34:33,000 AND THERE MIGHT BE COMPANIES 2969 01:34:33,001 --> 01:34:34,000 THAT ARE NOT FEDERALLY 2970 01:34:34,001 --> 01:34:35,000 REGULATED. 2971 01:34:35,001 --> 01:34:37,000 AS OF NOW IF THEY ARE NOT 2972 01:34:37,001 --> 01:34:40,000 FEDERALLY REGULATED THEY ARE NOT COVERED. 2973 01:34:40,001 --> 01:34:42,000 BECAUSE A.I.G. WAS FEDERALRY 2974 01:34:42,001 --> 01:34:44,000 REGULATED BY THE O.T.S., SO 2975 01:34:44,001 --> 01:34:45,000 THEY WOULD HAVE BEEN COVERED. 2976 01:34:45,001 --> 01:34:49,000 BUT THE GENTLEWOMAN IS CORRECT. 2977 01:34:49,001 --> 01:34:51,000 I NOW YIELD THREE MINUTES TO 2978 01:34:51,001 --> 01:34:53,000 THE GE 2979 01:34:53,001 --> 01:34:54,000 SPEAKER, I HAVE NO FURTHER 2980 01:34:54,001 --> 01:34:55,000 REQUEST FOR TIME SO I AM GOING 2981 01:34:55,001 --> 01:34:57,000 TO RESERVE THE BALANCE OF MY 2982 01:34:57,001 --> 01:34:58,000 TIME. 2983 01:34:58,001 --> 01:34:59,000 THE SPEAKER PRO TEMPORE: THE 2984 01:34:59,001 --> 01:35:00,000 GENTLEMAN RESERVES THE BALANCE 2985 01:35:00,001 --> 01:35:02,000 OF HIS TIME. 2986 01:35:02,001 --> 01:35:03,000 THE GENTLEMAN FROM ALABAMA. 2987 01:35:03,001 --> 01:35:04,000 MR. BACHUS: I THANK YOU, MR. 2988 01:35:04,001 --> 01:35:06,000 CHAIRMAN. 2989 01:35:06,001 --> 01:35:07,000 MR. CHAIRMAN, LET ME TIE UP A 2990 01:35:07,001 --> 01:35:09,000 FEW WHAT I CONSIDER LOOSE ENDS 2991 01:35:09,001 --> 01:35:10,000 ABOUT THIS LEGISLATION. 2992 01:35:10,001 --> 01:35:12,000 ONE IS THE MOTIVATION. 2993 01:35:12,001 --> 01:35:13,000 OF COURSE, WE'VE HEARD THAT ONE 2994 01:35:13,001 --> 01:35:17,000 OF THE MOTIVATIONS IS THAT 2995 01:35:17,001 --> 01:35:18,000 THESE PAY SCHEMES AND 2996 01:35:18,001 --> 01:35:20,000 ARRANGEMENTS COULD HEIGHTEN 2997 01:35:20,001 --> 01:35:22,000 RISK. 2998 01:35:22,001 --> 01:35:24,000 AND THEN IF ONE ENDORSES THE 2999 01:35:24,001 --> 01:35:25,000 OBAMA ADMINISTRATION APPROACH 3000 01:35:25,001 --> 01:35:27,000 THAT WOULD PRECIPITATE A 3001 01:35:27,001 --> 01:35:29,000 BAILOUT. 3002 01:35:29,001 --> 01:35:33,000 BECAUSE THE GOVERNMENT WOULD 3003 01:35:33,001 --> 01:35:36,000 CONTINUALLY HAVE TO ASSURE 3004 01:35:36,001 --> 01:35:37,000 AGAINST SOME OUTSIDE RISK. 3005 01:35:37,001 --> 01:35:40,000 AND AS I'VE SAID, THE 3006 01:35:40,001 --> 01:35:41,000 REPUBLICAN APPROACH IS SIMPLY, 3007 01:35:41,001 --> 01:35:43,000 DON'T BAIL THESE COMPANIES OUT 3008 01:35:43,001 --> 01:35:46,000 AND THEN YOU DON'T HAVE TO BE 3009 01:35:46,001 --> 01:35:47,000 MICROMANAGING EVERY 3010 01:35:47,001 --> 01:35:48,000 COMPENSATION DECISION BY A 3011 01:35:48,001 --> 01:35:50,000 COMPANY. 3012 01:35:50,001 --> 01:35:51,000 I THINK THERE'S ANOTHER 3013 01:35:51,001 --> 01:35:54,000 MOTIVATION, AND I THINK IT'S A 3014 01:35:54,001 --> 01:35:57,000 VERY -- IT'S A SLIPPERY SLOPE. 3015 01:35:57,001 --> 01:36:00,000 CHAIRMAN FRANK WAS ON CNBC THIS 3016 01:36:00,001 --> 01:36:01,000 PAST TUESDAY, AND HE ASKED THIS 3017 01:36:01,001 --> 01:36:03,000 QUESTION. 3018 01:36:03,001 --> 01:36:04,000 IS THERE SOME CHARACTER DEFECT 3019 01:36:04,001 --> 01:36:09,000 WITH SOME PEOPLE WHERE THEY GET 3020 01:36:09,001 --> 01:36:10,000 HIRED THAT GIVE THEM A PRESTIGE 3021 01:36:10,001 --> 01:36:13,000 JOB BUT THEY REALLY WON'T DO IT 3022 01:36:13,001 --> 01:36:14,000 RIGHT UNLESS YOU GIVE THEM AN 3023 01:36:14,001 --> 01:36:17,000 EXTRA BONUS? 3024 01:36:17,001 --> 01:36:20,000 MOST OF US DON'T NEED THAT. 3025 01:36:20,001 --> 01:36:23,000 SO I'M WONDERING IF ONE 3026 01:36:23,001 --> 01:36:27,000 MOTIVATION FOR THIS LEGISLATION 3027 01:36:27,001 --> 01:36:30,000 IS SO THAT THE GOVERNMENT CAN 3028 01:36:30,001 --> 01:36:32,000 DECIDE WHETHER PEOPLE NEED A 3029 01:36:32,001 --> 01:36:33,000 BONUS OR DON'T NEED A BONUS, 3030 01:36:33,001 --> 01:36:34,000 WHETHER THEY'RE DESERVING OF A 3031 01:36:34,001 --> 01:36:36,000 BONUS. 3032 01:36:36,001 --> 01:36:38,000 AND IN FACT SEVERAL PAGES OF 3033 01:36:38,001 --> 01:36:41,000 THE BILL DOES JUST THAT. 3034 01:36:41,001 --> 01:36:42,000 SOME PEOPLE MAY NOT NEED THAT 3035 01:36:42,001 --> 01:36:44,000 BONUS. 3036 01:36:44,001 --> 01:36:46,000 OTHER PEOPLE MAY. 3037 01:36:46,001 --> 01:36:48,000 THAT DECISION WILL BE MADE BY 3038 01:36:48,001 --> 01:36:51,000 THE LIST OF GOVERNMENT ENTITIES 3039 01:36:51,001 --> 01:36:52,000 ON PAGE 15, NOT BY 3040 01:36:52,001 --> 01:36:54,000 SHAREHOLDERS, EVEN THOUGH THIS 3041 01:36:54,001 --> 01:36:56,000 BI IS TROTTED OUT AS A 3042 01:36:56,001 --> 01:36:57,000 SHAREHOLDER BILL. 3043 01:36:57,001 --> 01:37:00,000 NOT BY THE BOARD OF DIRECTORS, 3044 01:37:00,001 --> 01:37:01,000 NOT BY THE MANAGEMENT, WHO AN 3045 01:37:01,001 --> 01:37:05,000 IMPORTANT TOOL OF MANAGEMENT IS 3046 01:37:05,001 --> 01:37:06,000 TO OFFER INCENTIVES AND 3047 01:37:06,001 --> 01:37:07,000 INCENTIVIZE PERFORMANCE AND 3048 01:37:07,001 --> 01:37:11,000 ACHIEVEMENT. 3049 01:37:11,001 --> 01:37:13,000 BUT APPARENTLY NOW IT'S THE 3050 01:37:13,001 --> 01:37:16,000 GOVERNMENT WILL DEC 3051 01:37:16,001 --> 01:37:17,000 YOU NEED A BONUS OR NOT. 3052 01:37:17,001 --> 01:37:20,000 THAT, MR. CHAIRMAN, IS SCARY IN 3053 01:37:20,001 --> 01:37:21,000 MY MIND. 3054 01:37:21,001 --> 01:37:23,000 I RERVE THE BALANCE OF MY TIME. 3055 01:37:23,001 --> 01:37:25,000 THE SPEAKER PRO TEMPORE: THE 3056 01:37:25,001 --> 01:37:26,000 GENTLEMAN RESERVES THE BALANCE 3057 01:37:26,001 --> 01:37:29,000 OF HIS TIME. THE GENTLEMAN FROM NORTH 3058 01:37:29,001 --> 01:37:31,000 CAROLINA. MR. WATT: MR. SPEAKER, I YIELD 3059 01:37:31,001 --> 01:37:32,000 1 1/2 MINUTES TO THE GENTLEMAN 3060 01:37:32,001 --> 01:37:33,000 FROM MARYLAND, MR. VAN HOLLEN. 3061 01:37:33,001 --> 01:37:35,000 THE SPEAKER PRO TEMPORE: THE 3062 01:37:35,001 --> 01:37:38,000 GENTLEMAN IS RECOGNIZED FOR 1 1/2 MINUTES. 3063 01:37:38,001 --> 01:37:40,000 SPEAKER. 3064 01:37:40,001 --> 01:37:41,000 I THANK MY COLLEAGUE FROM NORTH 3065 01:37:41,001 --> 01:37:42,000 CAROLINA FOR HIS LEADERSHIP ON 3066 01:37:42,001 --> 01:37:44,000 THIS ISSUE. 3067 01:37:44,001 --> 01:37:45,000 IN THIS COUNTRY WE BELIEVE THAT 3068 01:37:45,001 --> 01:37:46,000 HARD WORK SCHAD BE REWARDED, 3069 01:37:46,001 --> 01:37:47,000 AND I -- SHOULD BE REWARDED, 3070 01:37:47,001 --> 01:37:49,000 AND I THINK THAT MOST PEOPLE IN 3071 01:37:49,001 --> 01:37:50,000 THIS COUNTRY BELIEVES IN THE 3072 01:37:50,001 --> 01:37:52,000 CONCEPT OF PAY FOR PERFORMANCE, 3073 01:37:52,001 --> 01:37:53,000 BUT WHAT WE'VE SEEN ON WALL 3074 01:37:53,001 --> 01:37:54,000 STREET OVER THE LAST MANY YEARS 3075 01:37:54,001 --> 01:37:55,000 IS TURNING THAT CONCEPT OF PAY 3076 01:37:55,001 --> 01:37:58,000 FOR PERFORMANCE ON ITS HEAD. 3077 01:37:58,001 --> 01:38:01,000 WE SAW C.E.O.'S AND THE FOLKS 3078 01:38:01,001 --> 01:38:05,000 IN THE WALL STREET BOARD ROOMS 3079 01:38:05,001 --> 01:38:06,000 GETTING HUGE BONUSES BASED ON 3080 01:38:06,001 --> 01:38:07,000 SHORT-TERM GAINS FOR THEIR 3081 01:38:07,001 --> 01:38:08,000 COMPANIES EVEN WHILE THAT 3082 01:38:08,001 --> 01:38:13,000 EXCESSIVE RISK TAKING PUT THOSE 3083 01:38:13,001 --> 01:38:16,000 INSTITUTIONS AT RISK. 3084 01:38:16,001 --> 01:38:19,000 IF IT WAS JUST THOSE 3085 01:38:19,001 --> 01:38:21,000 CONSTITUTIONS, -- JUST THOSE 3086 01:38:21,001 --> 01:38:22,000 INSTITUTIONS 3087 01:38:22,001 --> 01:38:25,000 LET THEM TAKE THE RISK. 3088 01:38:25,001 --> 01:38:26,000 IF IT WAS JUST THAT COMPANY AT 3089 01:38:26,001 --> 01:38:28,000 RISK, OK BUT THIS KIND OF 3090 01:38:28,001 --> 01:38:30,000 EXCESSIVE RISK TAKING WENT ON 3091 01:38:30,001 --> 01:38:32,000 AT THE BIGGEST FINANCIAL 3092 01:38:32,001 --> 01:38:34,000 INSTITUTIONS OF IN THIS COUNTRY 3093 01:38:34,001 --> 01:38:35,000 AND PUT THE ENTIRE ECONOMY AT 3094 01:38:35,001 --> 01:38:37,000 RISK, PUT THE FINANCIAL SYSTEM 3095 01:38:37,001 --> 01:38:38,000 AT RISK, AND AT THE END OF THE 3096 01:38:38,001 --> 01:38:41,000 DAY, PUT ALL OF THE TAXPAYERS 3097 01:38:41,001 --> 01:38:42,000 IN THIS COUNTRY ON THE LINE. 3098 01:38:42,001 --> 01:38:44,000 SO WE ALL HAVE A STAKE IN 3099 01:38:44,001 --> 01:38:46,000 CHANGING THE SYSTEM. 3100 01:38:46,001 --> 01:38:47,000 WE ALL HAVE A STAKE IN MAKING 3101 01:38:47,001 --> 01:38:49,000 SURE PEOPLE GET PAID FOR 3102 01:38:49,001 --> 01:38:52,000 PERFORMANCE AND NOT PAID BY 3103 01:38:52,001 --> 01:38:54,000 PUTTING TAXPAYERS IN THE 3104 01:38:54,001 --> 01:38:55,000 FINANCIAL SYSTEM -- AND THE 3105 01:38:55,001 --> 01:38:56,000 FINANCIAL SYSTEM AT RISK. 3106 01:38:56,001 --> 01:38:57,000 AT THE END OF THE DAY, WE'RE 3107 01:38:57,001 --> 01:39:00,000 ALL HOLDING THE LINE, NOT JUST 3108 01:39:00,001 --> 01:39:02,000 THE C.E.O.'S AND SHAREHOLDERS. 3109 01:39:02,001 --> 01:39:04,000 MR. SPEAKER, IT'S TIME TO SAY 3110 01:39:04,001 --> 01:39:05,000 ENOUGH IS ENOUGH. 3111 01:39:05,001 --> 01:39:07,000 LET'S PASS THIS LEGISLATION TO 3112 01:39:07,001 --> 01:39:09,000 PROTECT CONSUMERS, 3113 01:39:09,001 --> 01:39:11,000 SHAREHOLDERS, AND THE TAXPAYER. 3114 01:39:11,001 --> 01:39:12,000 THE SPEAKER PRO TEMPOR 3115 01:39:12,001 --> 01:39:13,000 GENTLEMAN YIDS BACK. 3116 01:39:13,001 --> 01:39:15,000 THE GENTLEMAN FROM ALABAMA. 3117 01:39:15,001 --> 01:39:17,000 MR. BACHUS: THANK YOU, MR. 3118 01:39:17,001 --> 01:39:18,000 I YIELD TWO MINUTES TO THE 3119 01:39:18,001 --> 01:39:19,000 GENTLEMAN FROM ILLINOIS, MR. 3120 01:39:19,001 --> 01:39:21,000 ROSKAM. 3121 01:39:21,001 --> 01:39:23,000 THSPEAKER PRO TEMPORE: THE 3122 01:39:23,001 --> 01:39:24,000 GENTLEMAN IS RECOGNIZED FOR TWO 3123 01:39:24,001 --> 01:39:25,000 MINUTES. 3124 01:39:25,001 --> 01:39:26,000 MR. ROSKAM: I WAS MINDING MY 3125 01:39:26,001 --> 01:39:28,000 OWN BUSINESS IN MY OFFICE, I'VE 3126 01:39:28,001 --> 01:39:30,000 BEEN LISTENING TO THIS DEBATE 3127 01:39:30,001 --> 01:39:31,000 AND FELT LIKE I NEEDED TO COME 3128 01:39:31,001 --> 01:39:32,000 AND POINT A COUPLE OF THINGS 3129 01:39:32,001 --> 01:39:34,000 OUT. 3130 01:39:34,001 --> 01:39:35,000 SOME REAL AKNESSES OF THIS 3131 01:39:35,001 --> 01:39:37,000 BILL. 3132 01:39:37,001 --> 01:39:38,000 I'M HEARING FROM MANUFACTURERS, 3133 01:39:38,001 --> 01:39:39,000 MR. SPEAKER, IN MY DISTRICT WHO 3134 01:39:39,001 --> 01:39:42,000 ARE PARTICUL 3135 01:39:42,001 --> 01:39:47,000 ABOUT STION 4 OF THE BILL, 3136 01:39:47,001 --> 01:39:48,000 THEY'RE MAKING THEIR CONCERNS 3137 01:39:48,001 --> 01:39:50,000 KNOWN THROUGH THE NATIONAL 3138 01:39:50,001 --> 01:39:51,000 ASSOCIATION OF MANUFACTURERS. 3139 01:39:51,001 --> 01:39:52,000 THEY SAID THEY ARE CONCERNED 3140 01:39:52,001 --> 01:39:54,000 THAT THIS BILL WOULD GIVE 3141 01:39:54,001 --> 01:39:58,000 AUTHORITY TO GOVERNMENT 3142 01:39:58,001 --> 01:39:59,000 REGULATORY AGENCIES TO REVIEW 3143 01:39:59,001 --> 01:40:02,000 AND PROHIBIT PAY ARRANGEMENTS 3144 01:40:02,001 --> 01:40:03,000 FOR A WADE RANGE OF EMPLOYEES. 3145 01:40:03,001 --> 01:40:06,000 AS A RESULT, THEY STRONGLY 3146 01:40:06,001 --> 01:40:07,000 OPPOSE THE INTERVENTION OF 3147 01:40:07,001 --> 01:40:09,000 GOVERNMENT. 3148 01:40:09,001 --> 01:40:10,000 I'M THE FIRST TO SAY IF YOU 3149 01:40:10,001 --> 01:40:14,000 TOOK BAILOUT MONEY IF YOU TOOK 3150 01:40:14,001 --> 01:40:15,000 TARP MONEY, BE IN THIS 3151 01:40:15,001 --> 01:40:17,000 CATEGORY. 3152 01:40:17,001 --> 01:40:18,000 THOSE ARE ENTITIES THE 3153 01:40:18,001 --> 01:40:19,000 TAXPAYERS HAVE THE RIGHT TO 3154 01:40:19,001 --> 01:40:21,000 REGULATE. 3155 01:40:21,001 --> 01:40:22,000 BUT WHEN WE START TO USE 3156 01:40:22,001 --> 01:40:25,000 AMBIGUOUS TERMS, TERMS THAT ARE 3157 01:40:25,001 --> 01:40:27,000 NOT WELL-DEFINED, WE ARE 3158 01:40:27,001 --> 01:40:28,000 CREATING AN ENVIRONMENT WHERE 3159 01:40:28,001 --> 01:40:30,000 THERE'S GOING TO BE MORE 3160 01:40:30,001 --> 01:40:32,000 WHY IS IT THAT THE NATIONAL 3161 01:40:32,001 --> 01:40:34,000 ASSOCIATION OF MANUFACTURERS 3162 01:40:34,001 --> 01:40:35,000 SAYS DON'T DO THIS TO US? 3163 01:40:35,001 --> 01:40:37,000 THEY'RE WORKING HARD TO CREATE 3164 01:40:37,001 --> 01:40:39,000 JOBS IN THIS COUNTRY AND THEY 3165 01:40:39,001 --> 01:40:41,000 HAVEN'T BEEN ABLE TO DO IT, IN 3166 01:40:41,001 --> 01:40:43,000 PART BECAUSE OF BAD POLICIES 3167 01:40:43,001 --> 01:40:44,000 THAT THEY'VE SEEN COME OUT OF 3168 01:40:44,001 --> 01:40:45,000 WASHINGTON, D.C., MR. SPEAKER. 3169 01:40:45,001 --> 01:40:48,000 WE CAN DO MUCH, MUCH MORE. 3170 01:40:48,001 --> 01:40:51,000 LOOK, IN A NUTSHELL, THIS BILL 3171 01:40:51,001 --> 01:40:53,000 IS AN INVITATION FOR POLITICAL 3172 01:40:53,001 --> 01:40:59,000 MEDDLING AT ITS WORST IN THE 3173 01:40:59,001 --> 01:41:02,000 PRIVATE CONFINES OF COMPANIES 3174 01:41:02,001 --> 01:41:04,000 THAT ARE TRYING TO WORK HARD TO 3175 01:41:04,001 --> 01:41:06,000 CREATE JOBS AND TO CREATE 3176 01:41:06,001 --> 01:41:07,000 YOU CAN IMAGINE A POLITICIAN 3177 01:41:07,001 --> 01:41:09,000 GETTING ON A PHONE WITH A 3178 01:41:09,001 --> 01:41:11,000 REGULATOR AND SAYING, YOU KNOW 3179 01:41:11,001 --> 01:41:12,000 WHAT, I'M INTERESTED IN YOU 3180 01:41:12,001 --> 01:41:14,000 CHECKING INTO THAT COMPANY 3181 01:41:14,001 --> 01:41:15,000 BECAUSE I DON'T LIKE THEM AND I 3182 01:41:15,001 --> 01:41:16,000 DON'T LIKE THE WAY THEY'RE 3183 01:41:16,001 --> 01:41:18,000 DOING BUSINESS. 3184 01:41:18,001 --> 01:41:19,000 WE CAN DO BETTER. 3185 01:41:19,001 --> 01:41:20,000 LET'S SEND THE BILL BACK TO 3186 01:41:20,001 --> 01:41:22,000 COMMITTEE AND I YIELD BACK. 3187 01:41:22,001 --> 01:41:26,000 THE SPEAKER PRO TEMPORE: THE 3188 01:41:26,001 --> 01:41:28,000 GENTLEMAN FROM NORTH CAROLINA. 3189 01:41:28,001 --> 01:41:29,000 >> MR. SPEAKER, WE HAVE ONLY 3190 01:41:29,001 --> 01:41:31,000 ONE FINAL SPEAKER SO WE 3191 01:41:31,001 --> 01:41:32,000 RESERVE. 3192 01:41:32,001 --> 01:41:33,000 THE SPEAKER PRO TEMPORE: THE 3193 01:41:33,001 --> 01:41:35,000 GENT 3194 01:41:35,001 --> 01:41:36,000 MR. BACHUS: THIS TIME, I 3195 01:41:36,001 --> 01:41:38,000 RECOGNIZE THE GENTLEMAN FROM 3196 01:41:38,001 --> 01:41:39,000 NEW JERSEY, MR. GARRETT, FOR 3197 01:41:39,001 --> 01:41:40,000 ONE AND A HALF MINUTES. 3198 01:41:40,001 --> 01:41:42,000 THE SPEAKER PRO TEMPORE: THE 3199 01:41:42,001 --> 01:41:49,000 GENTLEMAN IS RECOGNIZED FOR ONE 3200 01:41:49,001 --> 01:41:52,000 AND A HALF MINUTES. 3201 01:41:52,001 --> 01:41:53,000 MR. GARRETT: I THANK THE CHAIR. 3202 01:41:53,001 --> 01:41:56,000 IN A FEW MOMENTS, BILL 3203 01:41:56,001 --> 01:41:57,000 SUBMITTING AN AMENDMENT TO THIS 3204 01:41:57,001 --> 01:42:01,000 BILL BUT FIRST I WANT TO TALK 3205 01:42:01,001 --> 01:42:07,000 THIS BILL. 3206 01:42:07,001 --> 01:42:12,000 THIS IS NEIL MENO, SOMEONE WHO 3207 01:42:12,001 --> 01:42:14,000 NO ONE WOULD CONSIDER ANCON 3208 01:42:14,001 --> 01:42:15,000 SERVETIVE. 3209 01:42:15,001 --> 01:42:17,000 SHE RECOGNIZES WHY THIS IS 3210 01:42:17,001 --> 01:42:19,000 COMING UP, SHE SAID THE IMPULSE 3211 01:42:19,001 --> 01:42:20,000 IS UNDERSTANDABLE BUT THE 3212 01:42:20,001 --> 01:42:22,000 STANDARD IS UNWORKABLE. 3213 01:42:22,001 --> 01:42:25,000 WHAT DOES INAPPROPRIATE MEAN? 3214 01:42:25,001 --> 01:42:26,000 WHAT, WHILE WE'RE AT IT, DOES 3215 01:42:26,001 --> 01:42:28,000 RISK-TAKING MEAN? 3216 01:42:28,001 --> 01:42:29,000 AND THE MOST TERRIFYING 3217 01:42:29,001 --> 01:42:30,000 QUESTION, WHO GETS TO DECIDE 3218 01:42:30,001 --> 01:42:31,000 WHAT THEY MEAN? 3219 01:42:31,001 --> 01:42:33,000 CHAIRMAN BARNEY FRANK WARNED 3220 01:42:33,001 --> 01:42:36,000 EARLIER THIS MONTH, AND HE DID 3221 01:42:36,001 --> 01:42:39,000 SO AGAIN JUST RECENTLY, THAT 3222 01:42:39,001 --> 01:42:40,000 RECENT NEWS OF COMPENSATION 3223 01:42:40,001 --> 01:42:44,000 SHOW THIS IS A SOME LEADERS 3224 01:42:44,001 --> 01:42:45,000 YEARN FOR THE STIRRING NEED OF 3225 01:42:45,001 --> 01:42:48,000 YESTERYEAR BUT IT'S A QUESTION 3226 01:42:48,001 --> 01:42:51,000 OF EMPOWERING THE SHARE HOLDER 3227 01:42:51,001 --> 01:42:54,000 TO DECIDE THE APPROPRIATE LEVEL 3228 01:42:54,001 --> 01:42:55,000 OF PAY, NOT THE REGULATORS. 3229 01:42:55,001 --> 01:42:56,000 SHE CONCLUDES BY SAYING WHO IS 3230 01:42:56,001 --> 01:42:58,000 IN THE BEST POSITION TO 3231 01:42:58,001 --> 01:43:01,000 EVALUATE AND RESPOND TO BADLY 3232 01:43:01,001 --> 01:43:03,000 DESIGNED PAY PACKAGES. 3233 01:43:03,001 --> 01:43:04,000 AS SOMEONE PROUD OF EIGHT YEARS 3234 01:43:04,001 --> 01:43:07,000 SERVING IN GOVERNMENT SHE SAYS 3235 01:43:07,001 --> 01:43:08,000 SHE HAS THE UTMOST RESPECT FOR 3236 01:43:08,001 --> 01:43:10,000 POLITICIANS AND BUREAUCRATS BUT 3237 01:43:10,001 --> 01:43:11,000 ALSO RECOGNIZES THEIR LIMITS. 3238 01:43:11,001 --> 01:43:12,000 THE GOVERNMENT, THEREFORE, 3239 01:43:12,001 --> 01:43:13,000 SHOULD NOT BE MICROMANAGING 3240 01:43:13,001 --> 01:43:15,000 PAY. 3241 01:43:15,001 --> 01:43:16,000 INSTEAD, THIS IS WHAT 3242 01:43:16,001 --> 01:43:18,000 REPUBLICANS SUGGEST, REMOVE THE 3243 01:43:18,001 --> 01:43:19,000 OBSTACLES THAT CURRENTLY 3244 01:43:19,001 --> 01:43:22,000 PREVENT OVERSIGHT FROM THOSE 3245 01:43:22,001 --> 01:43:23,000 WHO ARE BEST QUALIFIED AND 3246 01:43:23,001 --> 01:43:24,000 MOTIVATED TO MANAGE THE RISK, 3247 01:43:24,001 --> 01:43:25,000 THE SHAREHOLDERS. 3248 01:43:25,001 --> 01:43:28,000 WITH THAT, I YIELD BACK. 3249 01:43:28,001 --> 01:43:29,000 GENTLEMAN YIELDS BACK. 3250 01:43:29,001 --> 01:43:30,000 THE GENTLEMAN FROM NORTH 3251 01:43:30,001 --> 01:43:32,000 CAROLINA. 3252 01:43:32,001 --> 01:43:33,000 >> WE RESERVE THE BALANCE OF 3253 01:43:33,001 --> 01:43:35,000 OUR TIME. 3254 01:43:35,001 --> 01:43:41,000 THE SPEAKER PRO TEMPORE: THE 3255 01:43:41,001 --> 01:43:48,000 MR. BACHUS: MR. CHAIRMAN, IT 3256 01:43:48,001 --> 01:43:54,000 APPEARS AS IF THIS BILL IS SO 3257 01:43:54,001 --> 01:43:57,000 MUCH MORE THAN A SHAREHOLDER'S 3258 01:43:57,001 --> 01:43:59,000 RIGHT TO SAY ON PAY BILL. 3259 01:43:59,001 --> 01:44:02,000 WE ALREADY HAVE A CZAR, A PAY 3260 01:44:02,001 --> 01:44:04,000 CZAR. 3261 01:44:04,001 --> 01:44:06,000 ARE WE GOING TO HAVE A 3262 01:44:06,001 --> 01:44:11,000 CONSULTANT CZAR? 3263 01:44:11,001 --> 01:44:13,000 WE'RE GOING 3264 01:44:13,001 --> 01:44:14,000 COMPENSATION CONSULTANTS, THEY 3265 01:44:14,001 --> 01:44:17,000 GO TO THE AGENCIESING, THEY 3266 01:44:17,001 --> 01:44:19,000 MEET CERTAIN CRITERIA, ARE WE 3267 01:44:19,001 --> 01:44:20,000 GOING TO HAVE A CONSULTANT 3268 01:44:20,001 --> 01:44:23,000 CZAR? 3269 01:44:23,001 --> 01:44:24,000 AGAIN, ARE WE GOING TO NEED 3270 01:44:24,001 --> 01:44:26,000 MANAGEMENT CZARS? 3271 01:44:26,001 --> 01:44:29,000 RISK CZARS? 3272 01:44:29,001 --> 01:44:41,000 BECAUSE THESE 20 PAGES AND 15 3273 01:44:41,001 --> 01:44:47,000 OF IT DEALS WITH RISK, IT DEALS 3274 01:44:47,001 --> 01:44:50,000 WITH INAPPROPRIATE BEHAVIOR, 3275 01:44:50,001 --> 01:44:52,000 ARE WE GOING TO, ON THE 3276 01:44:52,001 --> 01:44:55,000 BONUSES, ARE WE GOING TO HAVE 3277 01:44:55,001 --> 01:44:57,000 EVERY BONUS SUBMITTED TO SOME 3278 01:44:57,001 --> 01:44:59,000 GOVERNMENT AGENCY TO REVIEW? 3279 01:44:59,001 --> 01:45:00,000 HOW ARE YOU GOING TO REPORT 3280 01:45:00,001 --> 01:45:02,000 THOSE BONUSES? 3281 01:45:02,001 --> 01:45:03,000 HOW WILL YOU APPROVE THOSE 3282 01:45:03,001 --> 01:45:04,000 BONUSES? 3283 01:45:04,001 --> 01:45:06,000 HOW LONG WILL IT TAKE TO 3284 01:45:06,001 --> 01:45:08,000 APPROVE THOSE BONUSS? 3285 01:45:08,001 --> 01:45:13,000 THE ADMINISTRATION ITSELF HAS 3286 01:45:13,001 --> 01:45:14,000 WARNED THIS BILL GOES TOO FAR. 3287 01:45:14,001 --> 01:45:16,000 INDEPENDENT WITNESSES HAVE 3288 01:45:16,001 --> 01:45:18,000 WARNED THIS BILL GOES TOO FAR. 3289 01:45:18,001 --> 01:45:20,000 THE SPEAKER PRO TEMPORE: THE 3290 01:45:20,001 --> 01:45:21,000 GENTLEMAN'S TIME HAS EXPIRED. 3291 01:45:21,001 --> 01:45:23,000 THE GENTLEMAN FROM NORTH 3292 01:45:23,001 --> 01:45:25,000 CAROLINA. 3293 01:45:25,001 --> 01:45:26,000 MR. WATT: I YIELD MYSELF THE 3294 01:45:26,001 --> 01:45:28,000 BALANCE OF ME TIME. 3295 01:45:28,001 --> 01:45:29,000 THE SPEAKER PRO TEMPORE: THE 3296 01:45:29,001 --> 01:45:30,000 GENTLEMAN IS RECOGNIZED. 3297 01:45:30,001 --> 01:45:31,000 MRWATT: THE FACT THAT WE ARE 3298 01:45:31,001 --> 01:45:37,000 HERE TODAY DEBATING THIS BILL 3299 01:45:37,001 --> 01:45:41,000 WITH SUCH VOCIFEROUS OPPOSITION 3300 01:45:41,001 --> 01:45:44,000 , TO ME IS A COMMENTARY ON HOW 3301 01:45:44,001 --> 01:45:46,000 OUT OF WHACK OUR WHOLE SYSTEM 3302 01:45:46,001 --> 01:45:49,000 HAS BECOME. 3303 01:45:49,001 --> 01:45:56,000 FIRST OF ALL, THIS BILL IS A 3304 01:45:56,001 --> 01:46:00,000 SHAREHOLDERS THE RIGHT TO MAKE 3305 01:46:00,001 --> 01:46:04,000 ADVISORY VOTES, TAKE ADVISORY 3306 01:46:04,001 --> 01:46:08,000 VOTES ON COMPENSATION. 3307 01:46:08,001 --> 01:46:12,000 WHO ARE THESE SHAREHOLDERS? 3308 01:46:12,001 --> 01:46:14,000 THEY'RE THE OWNERS OF THE 3309 01:46:14,001 --> 01:46:15,000 COMPANY. 3310 01:46:15,001 --> 01:46:17,000 THEY ARE THE OWNERS OF THE 3311 01:46:17,001 --> 01:46:21,000 COMPANY. 3312 01:46:21,001 --> 01:46:24,000 AND SOMEHOW THE OPPONENTS OF 3313 01:46:24,001 --> 01:46:26,000 THIS BILL ARE TRYING TO 3314 01:46:26,001 --> 01:46:27,000 CONVINCE THE PUBLIC THAT THE 3315 01:46:27,001 --> 01:46:31,000 OWNERS OF A COMPANY SHOULDN'T 3316 01:46:31,001 --> 01:46:35,000 HAVE THE RIGHT TO EXPRESS THEIR 3317 01:46:35,001 --> 01:46:36,000 OPINION TO THE BOARD ABOUT 3318 01:46:36,001 --> 01:46:38,000 COMPENSATION OF THE OFFICERS OF 3319 01:46:38,001 --> 01:46:40,000 THAT COMPANY. 3320 01:46:40,001 --> 01:46:41,000 AND THE BILL SPECIFICALLY SAYS, 3321 01:46:41,001 --> 01:46:44,000 AND I'M READING FROM THE BILL, 3322 01:46:44,001 --> 01:46:46,000 THE SHAREHOLDER VOTE SHALL NOT 3323 01:46:46,001 --> 01:46:48,000 BE BINDING ON THE BOARD OF 3324 01:46:48,001 --> 01:46:49,000 DIRECTORS. 3325 01:46:49,001 --> 01:46:50,000 AND IT SHALL NOT BE CONSTRD 3326 01:46:50,001 --> 01:46:52,000 AS OVERRULING A DECISION OF THE 3327 01:46:52,001 --> 01:46:54,000 BOARD. 3328 01:46:54,001 --> 01:46:57,000 WE'RE JUST GIVING THEM THE 3329 01:46:57,001 --> 01:46:59,000 EXPLICIT RIGHT TO ADVISE THE 3330 01:46:59,001 --> 01:47:02,000 BOARD ABOUT COMPENSATION. 3331 01:47:02,001 --> 01:47:03,000 ONE GENTLEMAN HAS SAID THAT 3332 01:47:03,001 --> 01:47:05,000 THIS APPLIES TO MANUFACTURERS. 3333 01:47:05,001 --> 01:47:08,000 IT DOESN'T APPLY TO 3334 01:47:08,001 --> 01:47:10,000 MANUFACTURERS. 3335 01:47:10,001 --> 01:47:11,000 SECTION 4 DOESN'T APPLY TO 3336 01:47:11,001 --> 01:47:14,000 MANUFACTURERS. 3337 01:47:14,001 --> 01:47:16,000 EVEN IF IT DID, WOULD APPLY 3338 01:47:16,001 --> 01:47:18,000 ONLY TO THE EXTENT THAT THEY 3339 01:47:18,001 --> 01:47:20,000 COULD THREATEN THE SAFETY AND 3340 01:47:20,001 --> 01:47:23,000 SOUNDNESS OF A FINANCIAL 3341 01:47:23,001 --> 01:47:26,000 INSTITUTION. 3342 01:47:26,001 --> 01:47:27,000 MANUFACTURERS ARE NOT FINANCIAL 3343 01:47:27,001 --> 01:47:30,000 INSTITUTIONS. 3344 01:47:30,001 --> 01:47:32,000 AND ONLY TO THE EXTENT THAT 3345 01:47:32,001 --> 01:47:35,000 THEY COULD BE -- CAUSE SERIOUS 3346 01:47:35,001 --> 01:47:40,000 ADVERSE EFFECTS ON ECONOMIC 3347 01:47:40,001 --> 01:47:43,000 STABILITY AND THAT, I WOULD 3348 01:47:43,001 --> 01:47:45,000 SUBMIT, IS AN APPROPRIATE 3349 01:47:45,001 --> 01:47:47,000 FEDERAL GOVERNMENT ROLE TO PLAY 3350 01:47:47,001 --> 01:47:50,000 , TO MAKE SURE WE DON'T GET 3351 01:47:50,001 --> 01:47:53,000 BACK INTO THE KIND OF MELTDOWN 3352 01:47:53,001 --> 01:47:54,000 THAT WE ARE EXPERIENCING AND 3353 01:47:54,001 --> 01:47:59,000 HAVE BEEN EXPERIENCING 3354 01:47:59,001 --> 01:48:01,000 RESULT OF GREED AND 3355 01:48:01,001 --> 01:48:02,000 IRRESPONSIBILITY IN THE PRIVATE 3356 01:48:02,001 --> 01:48:05,000 SECTOR. 3357 01:48:05,001 --> 01:48:06,000 THIS IS NOT THE GOVERNMENT 3358 01:48:06,001 --> 01:48:09,000 TAKING OVE 3359 01:48:09,001 --> 01:48:11,000 SECTOR, EITHER IN THE FINANCIAL 3360 01:48:11,001 --> 01:48:12,000 SECTOR OR ANY OTHER SECTOR OF 3361 01:48:12,001 --> 01:48:15,000 OUR ECONOMY. 3362 01:48:15,001 --> 01:48:17,000 IT IS A STATEMENT BY THE 3363 01:48:17,001 --> 01:48:20,000 AMERICAN PEOPLE THAT IT'S TIME 3364 01:48:20,001 --> 01:48:21,000 FOR US TO STRAIGHTEN UP THE 3365 01:48:21,001 --> 01:48:22,000 SHIP. 3366 01:48:22,001 --> 01:48:23,000 WE SHOULD PASS THIS BILL TODAY 3367 01:48:23,001 --> 01:48:24,000 AND MOVE ON. 3368 01:48:24,001 --> 01:48:26,000 THANK YOU. 3369 01:48:26,001 --> 01:48:27,000 THE SPEAKER PRO TEMPORE: THE 3370 01:48:27,001 --> 01:48:28,000 GENTLEMAN'S TIME HAS EXPIRED. 3371 01:48:28,001 --> 01:48:30,000 ALL TIME FOR DEBATE HAS 3372 01:48:30,001 --> 01:48:32,000 FOR WHAT PURPO DOES THE 3373 01:48:32,001 --> 01:48:34,000 GENTLEMAN FROM MASSACHUSETTS RISE? 3374 01:48:34,001 --> 01:48:35,000 MR. FRANK: TO OFFER AN 3375 01:48:35,001 --> 01:48:37,000 AMENDMENT. 3376 01:48:37,001 --> 01:48:38,000 THE SPEAKER PRO TEMPORE: THE 3377 01:48:38,001 --> 01:48:40,000 CLERK WILL DESIGNATE THE AMENDMENT. 3378 01:48:40,001 --> 01:48:42,000 THE CLERK: AMENDMENT NUMBER 3379 01:48:42,001 --> 01:48:43,000 ONE, PRINTED IN HOUSE REPORT 3380 01:48:43,001 --> 01:48:44,000 111-231, OFFERED BY MR. FRANK 3381 01:48:44,001 --> 01:48:46,000 OF MASSACHUSETTS. 3382 01:48:46,001 --> 01:48:47,000 THE SPEAKER PRO TEMPORE: THE 3383 01:48:47,001 --> 01:48:48,000 GENTLEMAN FROM MASSACHUSETTS, 3384 01:48:48,001 --> 01:48:50,000 MR. FRANK, AND A MEMBER 3385 01:48:50,001 --> 01:48:51,000 OPPOSED, EACH WILL CONTROL FIVE 3386 01:48:51,001 --> 01:48:52,000 MINUTES. 3387 01:48:52,001 --> 01:48:54,000 THE CHAIR RECOGNIZES THE 3388 01:48:54,001 --> 01:48:55,000 GENTLEMAN FROM MASSACHUSETTS. 3389 01:48:55,001 --> 01:48:59,000 MR. FRANK: I YIELD MYSELF ONE MINUTE. 3390 01:48:59,001 --> 01:49:00,000 GENTLEMAN IS RECOGNIZED. 3391 01:49:00,001 --> 01:49:01,000 MR. FRANK: I OFFER AN AMENDMENT 3392 01:49:01,001 --> 01:49:02,000 WHICH I SAID WE WOULD BE 3393 01:49:02,001 --> 01:49:04,000 WILLING TO ACCEPT SUBJECT TO 3394 01:49:04,001 --> 01:49:05,000 SOME FURTHER CHANGE, WE'VE 3395 01:49:05,001 --> 01:49:08,000 TALKED, WE HAVE NOT YET REACHED 3396 01:49:08,001 --> 01:49:09,000 AGREEMENT, THIS IS GOING TO BE 3397 01:49:09,001 --> 01:49:13,000 ENTIRELY UP TO DEBATE, WHAT THE 3398 01:49:13,001 --> 01:49:16,000 AND I THINK LEGITIMATELY, THE 3399 01:49:16,001 --> 01:49:18,000 POSSIBILITY OF A CALLBACK, THAT 3400 01:49:18,001 --> 01:49:20,000 PEOPLE GIVE BACK BONUSES THEY'D 3401 01:49:20,001 --> 01:49:21,000 ALREADY RECEIVED. 3402 01:49:21,001 --> 01:49:22,000 WE HOPE THERE WILL BE RULES 3403 01:49:22,001 --> 01:49:24,000 ADOPTED THAT WILL SET THOSE 3404 01:49:24,001 --> 01:49:28,000 RULES IN PLACE. 3405 01:49:28,001 --> 01:49:36,000 BUT -- I AGREE PEOPLE'S PAY 3406 01:49:36,001 --> 01:49:37,000 SHOULD NOT BE SUBJECTED TO 3407 01:49:37,001 --> 01:49:39,000 DECISIONS. 3408 01:49:39,001 --> 01:49:41,000 THERE IS AN S.E.CDECISIONS 3409 01:49:41,001 --> 01:49:43,000 THAT WHERE SOMEONE RECEIVED 3410 01:49:43,001 --> 01:49:45,000 COMPENSATION AND IT TURNED 3411 01:49:45,001 --> 01:49:47,000 THE TRANSACTION WAS NOT 3412 01:49:47,001 --> 01:49:49,000 PROFITABLE THAT A RETURN OF THE 3413 01:49:49,001 --> 01:49:52,000 MONEY GIVEN BECAUSE OF 3414 01:49:52,001 --> 01:49:53,000 PROFITABILITY MIGHT WITH BE 3415 01:49:53,001 --> 01:49:55,000 APPROPRIATE. 3416 01:49:55,001 --> 01:49:56,000 OUR LANGUAGE REFLECTS THAT. 3417 01:49:56,001 --> 01:49:59,000 IT DOES GIVE SOME PROTECTION 3418 01:49:59,001 --> 01:50:00,000 AGAINST ARBITRARY RETURN AND I 3419 01:50:00,001 --> 01:50:01,000 RESERVE THE BALANCE OF MY TIME. 3420 01:50:01,001 --> 01:50:03,000 THE SPEAKER PRO TEMPORE: FOR 3421 01:50:03,001 --> 01:50:04,000 WHAT PURPOSE DOES THE GENTLEMAN 3422 01:50:04,001 --> 01:50:05,000 FROM GEORGIA RISE? 3423 01:50:05,001 --> 01:50:06,000 >> TO CLAIM THE TIME IN 3424 01:50:06,001 --> 01:50:08,000 OPPOSITION. 3425 01:50:08,001 --> 01:50:09,000 THE SPEAKER PRO TEMPORE: THE 3426 01:50:09,001 --> 01:50:13,000 GENTLEMAN IS RECOGNIZED FOR 3427 01:50:13,001 --> 01:50:16,000 FIVE MINUTES 3428 01:50:16,001 --> 01:50:17,000 MR. PRICE: THE DEBATE ON THIS 3429 01:50:17,001 --> 01:50:22,000 AMENDMENT IS VERY APPROPRIATE 3430 01:50:22,001 --> 01:50:26,000 AND JERMAINE TO THE ACTIONS OF 3431 01:50:26,001 --> 01:50:28,000 THIS ENTIRE CONGRESS. 3432 01:50:28,001 --> 01:50:29,000 THE AMENDMENT OFFERED IN THE 3433 01:50:29,001 --> 01:50:30,000 COMMITTEE IN GOOD FAITH TO TRY 3434 01:50:30,001 --> 01:50:34,000 TO MAKE CERTAIN THAT THERE 3435 01:50:34,001 --> 01:50:36,000 WEREN'T ANY CHANGES THAT COULD 3436 01:50:36,001 --> 01:50:37,000 COMPENSATION PACKAGES AND 3437 01:50:37,001 --> 01:50:39,000 INCENTIVE PAY WAS VERY 3438 01:50:39,001 --> 01:50:41,000 SPECIFIC. 3439 01:50:41,001 --> 01:50:43,000 IT SAID THAT NO COMPENSATION OF 3440 01:50:43,001 --> 01:50:44,000 ANY EXECUTIVE HAVING BEEN 3441 01:50:44,001 --> 01:50:46,000 APPROVED BY A MAJORITY OF THE 3442 01:50:46,001 --> 01:50:48,000 SHAREHOLDERS MAY BE SUBJECT TO 3443 01:50:48,001 --> 01:50:50,000 ANY CALLBACK, WHICH IS THE 3444 01:50:50,001 --> 01:50:52,000 RETROACTIVITY, UNLESS IT WAS 3445 01:50:52,001 --> 01:50:55,000 PART OF THE CONTRACT OR UNLESS 3446 01:50:55,001 --> 01:50:57,000 THERE HAD BEEN FRAUD COMMITTED. 3447 01:50:57,001 --> 01:50:58,000 THAT'S WHAT ACCEPTED BY 3448 01:50:58,001 --> 01:51:00,000 COMMITTEE, MR. SPEAKER, 3449 01:51:00,001 --> 01:51:01,000 ACCEPTED BY COMMITTEE. 3450 01:51:01,001 --> 01:51:02,000 THE AMENDMENT WAS PUT 3451 01:51:02,001 --> 01:51:04,000 BILL. 3452 01:51:04,001 --> 01:51:06,000 WITH THE CAVEAT THAT THE 3453 01:51:06,001 --> 01:51:08,000 CHAIRMAN WANTED POTENTIALLY A 3454 01:51:08,001 --> 01:51:09,000 FEW CHANGES. 3455 01:51:09,001 --> 01:51:12,000 I WOULD VOTE QUOTHE FROM THE 3456 01:51:12,001 --> 01:51:14,000 CHAIRMAN WHO SAID, THE IMPULSE 3457 01:51:14,001 --> 01:51:16,000 TO RETROACTIVITY IS NOT ONE OF 3458 01:51:16,001 --> 01:51:17,000 OUR FINEST AND OUGHT TO BE 3459 01:51:17,001 --> 01:51:20,000 RESTRAINED, UNQUOTE HE SAID, 3460 01:51:20,001 --> 01:51:23,000 QUOTE, WE COULD WORK TOGETHER 3461 01:51:23,001 --> 01:51:25,000 TO MAKE SURE THIS DOESN'T 3462 01:51:25,001 --> 01:51:28,000 DEROGATE FROM THE S.E.C. TO 3463 01:51:28,001 --> 01:51:30,000 MAKE SURE YOU DON'T DO THIS I'M 3464 01:51:30,001 --> 01:51:31,000 HERE TO TELL YOU, THERE WEREN'T 3465 01:51:31,001 --> 01:51:32,000 ANY DISCUSSIONS BEFORE THE 3466 01:51:32,001 --> 01:51:34,000 RULES COMMITTEE MET, OR ANY 3467 01:51:34,001 --> 01:51:35,000 SUBSTITUTIONS -- DISCUSSIONS 3468 01:51:35,001 --> 01:51:36,000 BEFORE THE AMENDMENT WE HAVE 3469 01:51:36,001 --> 01:51:37,000 BEFORE US WAS OFFERED. 3470 01:51:37,001 --> 01:51:38,000 AS THE APPARENTLY GOOD FAITH 3471 01:51:38,001 --> 01:51:41,000 EFFORT TO THE AMENDMENT OFFERED 3472 01:51:41,001 --> 01:51:42,000 AND ADOPTED IN A BIPARTISAN 3473 01:51:42,001 --> 01:51:43,000 MANNER, MAJORITY, IN THE 3474 01:51:43,001 --> 01:51:45,000 COMMITTEE. 3475 01:51:45,001 --> 01:51:46,000 WHAT IS THE NEW -- WHAT DOES 3476 01:51:46,001 --> 01:51:50,000 THE NEW AMENDMENT SAY? 3477 01:51:50,001 --> 01:51:51,000 IT SAYS NO REGULATION 3478 01:51:51,001 --> 01:51:55,000 PROMULGATED SHALL REQUIRE THE 3479 01:51:55,001 --> 01:51:57,000 RECOVERYF INCENTIVE-BASED 3480 01:51:57,001 --> 01:51:59,000 COMPENSATION UNDER ARRANGEMENTS 3481 01:51:59,001 --> 01:52:01,000 AS OF THE DATE OF E ENACT OFMENT THIS. 3482 01:52:01,001 --> 01:52:02,000 WHAT DOES THAT MEAN? 3483 01:52:02,001 --> 01:52:04,000 THE S.E.C., THE FEDERAL 3484 01:52:04,001 --> 01:52:05,000 GOVERNMENT, WILL BE ABLE TO 3485 01:52:05,001 --> 01:52:06,000 DICTATE PAY. 3486 01:52:06,001 --> 01:52:08,000 DICTATE PAY BECAUSE OF THE 3487 01:52:08,001 --> 01:52:10,000 LANGUAGE IN THIS AMENDMENT TO 3488 01:52:10,001 --> 01:52:12,000 PRIVATELY HELD COMPANIES. 3489 01:52:12,001 --> 01:52:15,000 THAT MAY BE OK IF THEY TAKE TAX 3490 01:52:15,001 --> 01:52:16,000 MONEY -- PUBLICLY HELD 3491 01:52:16,001 --> 01:52:17,000 COMPANIES. 3492 01:52:17,001 --> 01:52:19,000 THAT MAY BE OK IF THEY TAKE TAX 3493 01:52:19,001 --> 01:52:21,000 MONEY, FEDERAL TAX MONEY, BUT 3494 01:52:21,001 --> 01:52:23,000 THIS WOULD BE PUBLICLY TRADED 3495 01:52:23,001 --> 01:52:25,000 COMPANY THIS IS A DON'T TAKE A 3496 01:52:25,001 --> 01:52:26,000 DIME OF TAX MONEY. 3497 01:52:26,001 --> 01:52:28,000 MR. SPEAKER, THIS IS A HUG 3498 01:52:28,001 --> 01:52:29,000 STEP IN THE WRONG DIRECTION. 3499 01:52:29,001 --> 01:52:30,000 SECTION 4 IS THE AREA OF THIS 3500 01:52:30,001 --> 01:52:32,000 BILL WE HAVE GREAT CONCERNS 3501 01:52:32,001 --> 01:52:33,000 ABOUT. 3502 01:52:33,001 --> 01:52:35,000 IT PUTS THE FEDERAL GOVERNMENT, 3503 01:52:35,001 --> 01:52:36,000 IT PUTS THE S.E.C. INTO, INTO 3504 01:52:36,001 --> 01:52:39,000 THE AGREEMENTS FOR COMPENSATION 3505 01:52:39,001 --> 01:52:41,000 FOR EXECUTIVES IN PUBLICLY 3506 01:52:41,001 --> 01:52:43,000 TRADED COMPANIES, IT CUTS AT 3507 01:52:43,001 --> 01:52:44,000 THE VERY CORE OF OUR FREE 3508 01:52:44,001 --> 01:52:47,000 MARKET SYSTEM, I WOULD URGE A 3509 01:52:47,001 --> 01:52:48,000 NO VOTE ON THE AMENDMENT AND 3510 01:52:48,001 --> 01:52:49,000 RESERVE THE BALANCE OF MY TIME. 3511 01:52:49,001 --> 01:52:51,000 THE SPEAKER PRO TEMPORE: THE 3512 01:52:51,001 --> 01:52:52,000 GENTLEMAN FROM GEORGIA RESERVES 3513 01:52:52,001 --> 01:52:53,000 THIS ETHE GENTLEMAN FROM 3514 01:52:53,001 --> 01:52:54,000 MASSACHUSETTS. 3515 01:52:54,001 --> 01:52:55,000 MR. FRANK: HOW MUCH TIME 3516 01:52:55,001 --> 01:52:57,000 REMAINS? 3517 01:52:57,001 --> 01:52:58,000 THE SPEAKER PRO TEMPORE: THE 3518 01:52:58,001 --> 01:52:59,000 GENTLEMAN FROM MASSACHUSETTS 3519 01:52:59,001 --> 01:53:01,000 HA 3520 01:53:01,001 --> 01:53:02,000 GENTLEMAN FROM GEORGIA HAS 2 3521 01:53:02,001 --> 01:53:03,000 1/2 MINUTES REMAING. 3522 01:53:03,001 --> 01:53:05,000 THE GENTLEMAN FROM GEORGIA HAS 3523 01:53:05,001 --> 01:53:06,000 THE RIGHT TO CLOSE. 3524 01:53:06,001 --> 01:53:07,000 MR. FRANK: I YIELD MYSELF 30 3525 01:53:07,001 --> 01:53:09,000 SECONDS TO ACT NONG ONE THING 3526 01:53:09,001 --> 01:53:10,000 THAT SHOULD HAVE BEEN DRAFTED 3527 01:53:10,001 --> 01:53:11,000 BETTER. 3528 01:53:11,001 --> 01:53:13,000 THE WORD REQUIRE IS AMBIGUOUS. 3529 01:53:13,001 --> 01:53:14,000 WE DIDN'T MEAN THE REGULATION 3530 01:53:14,001 --> 01:53:16,000 WOULD -- WE MEANT -- THE WORD 3531 01:53:16,001 --> 01:53:17,000 SHOU 3532 01:53:17,001 --> 01:53:19,000 THAN REQUIRE. 3533 01:53:19,001 --> 01:53:20,000 WE MEANT TO SAY YOU COULD NOT 3534 01:53:20,001 --> 01:53:21,000 REQUIRE THE INDIVIDUAL TO GIVE 3535 01:53:21,001 --> 01:53:23,000 IT BACK. 3536 01:53:23,001 --> 01:53:24,000 WE DO WANT TO RESTRAIN THE 3537 01:53:24,001 --> 01:53:25,000 S.E.C. OR ANYBODY ELSE FROM AN 3538 01:53:25,001 --> 01:53:27,000 INAPPROPRIATE ONE. 3539 01:53:27,001 --> 01:53:28,000 WE WILL TR 3540 01:53:28,001 --> 01:53:29,000 WORD, WON'T MAKE A HUGE 3541 01:53:29,001 --> 01:53:31,000 DIFFERENCE TO THE GENTLEMAN 3542 01:53:31,001 --> 01:53:32,000 FROM GEORGIA BUT I BELIEVE THAT 3543 01:53:32,001 --> 01:53:34,000 PERMIT WOULD HAVE BEEN A MORE 3544 01:53:34,001 --> 01:53:37,000 -- A BETTER WORD. 3545 01:53:37,001 --> 01:53:38,000 WHEN WE SAY REQUIRE, WE MEANT 3546 01:53:38,001 --> 01:53:39,000 YOU COULD NOT REQUIRE THE 3547 01:53:39,001 --> 01:53:40,000 GENTLEMAN TO GIVE IT BACK. 3548 01:53:40,001 --> 01:53:43,000 THAT WAS IT. 3549 01:53:43,001 --> 01:53:45,000 I YIELD TWO MINUTES TO THE 3550 01:53:45,001 --> 01:53:47,000 GENTLEMAN FROM NORTH CAROLINA. 3551 01:53:47,001 --> 01:53:49,000 THE SPEAKER PRO TEMPORE: THE 3552 01:53:49,001 --> 01:53:50,000 GENTLEMAN FROM NORTH CAROLINA 3553 01:53:50,001 --> 01:53:51,000 IS RECOGNIZED FOR TW 3554 01:53:51,001 --> 01:53:53,000 MR. MILLER: IT MAY BE THAT THE 3555 01:53:53,001 --> 01:53:54,000 AMENDMENT WAS OFFERED IN GOOD 3556 01:53:54,001 --> 01:53:55,000 FAITH BUT THE EXPLANATION FOR 3557 01:53:55,001 --> 01:53:57,000 THE AMENDMENT HAD VERY LITTLE 3558 01:53:57,001 --> 01:53:59,000 TO DO WITH WHAT THE AMENDMENT 3559 01:53:59,001 --> 01:54:00,000 ACTUALLY SAYS. 3560 01:54:00,001 --> 01:54:02,000 THIS AMENDMENT, MR. FRANK'S 3561 01:54:02,001 --> 01:54:05,000 AMENDMENT, DOES ACCOMPLISH THE 3562 01:54:05,001 --> 01:54:06,000 REASON OR THE ARGUMENT IN FAVOR 3563 01:54:06,001 --> 01:54:09,000 OF THE AMENDMENT. 3564 01:54:09,001 --> 01:54:10,000 WE DON'T THINK THAT A REGULATOR 3565 01:54:10,001 --> 01:54:16,000 OR REGULATION SHOULD REQUIRE 3566 01:54:16,001 --> 01:54:17,000 THE RECOVERY OF 3567 01:54:17,001 --> 01:54:19,000 INCENTIVE-BASED PAY WHERE THE 3568 01:54:19,001 --> 01:54:20,000 EXISTING CONTRACT DOESN'T 3569 01:54:20,001 --> 01:54:23,000 REQUIRE IT. 3570 01:54:23,001 --> 01:54:24,000 WE SHOULDN'T CHANGE CONTRACTS 3571 01:54:24,001 --> 01:54:26,000 RETROACTIVELY, EXISTING 3572 01:54:26,001 --> 01:54:27,000 CONTRACTS RETROACTIVELY, BUT WE 3573 01:54:27,001 --> 01:54:29,000 ALSO DON'T NEED TO UNDERMINE 3574 01:54:29,001 --> 01:54:30,000 THE EXISTING LAW THAT MAY 3575 01:54:30,001 --> 01:54:32,000 PROVIDE FOR THAT. 3576 01:54:32,001 --> 01:54:33,000 MR. FRANK MENTIONED THE S.E.C. 3577 01:54:33,001 --> 01:54:36,000 THE S.E.C. IS NOW TRYING TO 3578 01:54:36,001 --> 01:54:38,000 RECOVER MONEY THAT WAS PAID 3579 01:54:38,001 --> 01:54:40,000 SUPPOSEDLY BECAUSE TRANSACTIONS 3580 01:54:40,001 --> 01:54:42,000 WERE PROFITABLE WHEN IN FACT 3581 01:54:42,001 --> 01:54:44,000 THEY WEREN'T BECAUSE OF THE ACCOUNTING. 3582 01:54:44,001 --> 01:54:46,000 SO WE DON'T WANT TO REWARD 3583 01:54:46,001 --> 01:54:48,000 ACCOUNTING IRREGULAR LARETS. 3584 01:54:48,001 --> 01:54:49,000 AND GOING FORWARD THE 3585 01:54:49,001 --> 01:54:53,000 REGULATORS MAY WELL DECIDE THAT 3586 01:54:53,001 --> 01:54:54,000 AN EFFECTIVE CONSTRAINT ON 3587 01:54:54,001 --> 01:54:58,000 IMPRUDENT RISK TAKING IS TO 3588 01:54:58,001 --> 01:54:59,000 REQUIRE LONGER HORIZONS FOR 3589 01:54:59,001 --> 01:55:01,000 INCENTIVE-BASED PAY. 3590 01:55:01,001 --> 01:55:03,000 THAT IS THE PURPOSE OF THIS AMENDMENT. 3591 01:55:03,001 --> 01:55:04,000 IT'S WHAT THIS AMENDMENT 3592 01:55:04,001 --> 01:55:06,000 ACTUALLY ACCOMPLISHES. 3593 01:55:06,001 --> 01:55:07,000 IT'S CONSISTENT WITH THE 3594 01:55:07,001 --> 01:55:08,000 REASONS GIVEN IN CMITTEE FOR 3595 01:55:08,001 --> 01:55:09,000 THE ORIGINAL AMENDMENT. 3596 01:55:09,001 --> 01:55:11,000 I YI 3597 01:55:11,001 --> 01:55:12,000 TIME. 3598 01:55:12,001 --> 01:55:13,000 THE SPEAKER PRO TEMPORE: THE 3599 01:55:13,001 --> 01:55:14,000 GENTLEMAN YIELDS BACK THE 3600 01:55:14,001 --> 01:55:16,000 BALANCE OF HIS TIME. 3601 01:55:16,001 --> 01:55:17,000 THE GENTLEMA 3602 01:55:17,001 --> 01:55:18,000 THE GENTLEMAN FROM GEORGIA. 3603 01:55:18,001 --> 01:55:19,000 MR. PRICE: I CONTINUE TO 3604 01:55:19,001 --> 01:55:21,000 RESERVE. 3605 01:55:21,001 --> 01:55:22,000 THE SPEAKER PRO TEMPORE: THE 3606 01:55:22,001 --> 01:55:23,000 GENTLEMAN FROM GEORGIA RESERVES 3607 01:55:23,001 --> 01:55:25,000 HIS TIME. 3608 01:55:25,001 --> 01:55:26,000 THE GENTLEMAN FROM 3609 01:55:26,001 --> 01:55:28,000 MASSACHUSETTS. MR. FRANK: YES. 3610 01:55:28,001 --> 01:55:30,000 IS THE GENTLEMAN GOING TO CLOSE 3611 01:55:30,001 --> 01:55:31,000 BECAUSE IF HE IS I'LL HAVE MY 3612 01:55:31,001 --> 01:55:32,000 SIDE CLOSE? 3613 01:55:32,001 --> 01:55:33,000 IS THE GENTLEMAN GOING TO CLOSE 3614 01:55:33,001 --> 01:55:35,000 WITH HIS REMAINING TIME? 3615 01:55:35,001 --> 01:55:36,000 I'LL TAKE 15 SECONDS. 3616 01:55:36,001 --> 01:55:38,000 WE WILL STILL HAVE A DISAGREEMENT. 3617 01:55:38,001 --> 01:55:40,000 BUT INSTEAD REQUIRE IT SHOULD 3618 01:55:40,001 --> 01:55:41,000 SAY, HE AND I AGREED WITHIN THE 3619 01:55:41,001 --> 01:55:42,000 LIMITED VERSION HERE, ALLOW 3620 01:55:42,001 --> 01:55:44,000 THEM TO REQUIRE IT. 3621 01:55:44,001 --> 01:55:45,000 IN OTHER WORDS, WE DON'T WANT 3622 01:55:45,001 --> 01:55:46,000 THE S.E.C. TO BE ABLE TO MAKE 3623 01:55:46,001 --> 01:55:47,000 AN UN-- INAPPROPRIATE 3624 01:55:47,001 --> 01:55:49,000 REQUIREMENT. 3625 01:55:49,001 --> 01:55:50,000 SO THAT WILL BE CLARIFIED. 3626 01:55:50,001 --> 01:55:51,000 AND I YIELD OUR REMAINING TIME 3627 01:55:51,001 --> 01:55:52,000 TO THE 3628 01:55:52,001 --> 01:55:54,000 CAROLINA. 3629 01:55:54,001 --> 01:55:56,000 WELL, THEN I WILL TAKE OUR 3630 01:55:56,001 --> 01:56:01,000 REMAING TIME TO SAY, YES, WE 3631 01:56:01,001 --> 01:56:02,000 DID TENTATIVELY AGREE TO IT. 3632 01:56:02,001 --> 01:56:04,000 THERE HAD BE AN S. 3633 01:56:04,001 --> 01:56:05,000 DECISION THAT DAY WHICH I WAS 3634 01:56:05,001 --> 01:56:08,000 NOT AWARE OF IT. 3635 01:56:08,001 --> 01:56:11,000 I DID SAY TO THE GENTLEMAN I THOUGHT WE WOULD WANT TO -- WE 3636 01:56:11,001 --> 01:56:12,000 WOULD WANT TO MAKE SOME FURTHER 3637 01:56:12,001 --> 01:56:14,000 CHANGES. 3638 01:56:14,001 --> 01:56:15,000 MR. PRICE: WILL THE GENTLEMAN 3639 01:56:15,001 --> 01:56:17,000 YIELD? MR. FRANK: YES. 3640 01:56:17,001 --> 01:56:18,000 MR. PRICE: GIVEN THE AGREEMENT 3641 01:56:18,001 --> 01:56:21,000 THAT YOU AND I REACHED ON 3642 01:56:21,001 --> 01:56:22,000 ABOUT CHANGING THE LANGUAGE ON 3643 01:56:22,001 --> 01:56:24,000 THIS AMENDMENT? 3644 01:56:24,001 --> 01:56:26,000 IS THAT A UNANIMOUS CONSENT? MR. FRANK: YES 3645 01:56:26,001 --> 01:56:28,000 I WOULD ASK UNANIMOUS CONSENT 3646 01:56:28,001 --> 01:56:29,000 IF THAT'S PERMISSIBLE, WE ARE 3647 01:56:29,001 --> 01:56:32,000 IN THE WHOLE HOUSE, TO CHANGE 3648 01:56:32,001 --> 01:56:35,000 ON LINE 2 INSTEAD OF REQUIRE 3649 01:56:35,001 --> 01:56:38,000 SHALL ALLOW TO REQUIRE, SHALL 3650 01:56:38,001 --> 01:56:40,000 ALLOW THE S.E.C. TO REQUIRE -- 3651 01:56:40,001 --> 01:56:42,000 NO, I TAKE IT BACK. 3652 01:56:42,001 --> 01:56:46,000 HERE'S HOW I WILL SAY IT. 3653 01:56:46,001 --> 01:56:47,000 SHALL BE ALLOWED TO REQUIRE. 3654 01:56:47,001 --> 01:56:48,000 THE SPEAKER PRO TEMPORE: WILL 3655 01:56:48,001 --> 01:56:49,000 THE GENTLEMAN SUBMIT THAT 3656 01:56:49,001 --> 01:56:51,000 LANGUAGE TO THE DESK? 3657 01:56:51,001 --> 01:56:52,000 MR. FRANK: YES. 3658 01:56:52,001 --> 01:56:53,000 THE SPEAKER PRO TEMPORE: THE 3659 01:56:53,001 --> 01:56:55,000 GENTLEMAN'S TIME HAS EXPIRED. 3660 01:56:55,001 --> 01:56:56,000 MR. FRANK: IT'S EASY FOR YOU TO 3661 01:56:56,001 --> 01:56:58,000 SAY, MR. SPEAKER. 3662 01:56:58,001 --> 01:56:59,000 THE SPEAKER PRO TEMPORE: THE 3663 01:56:59,001 --> 01:57:00,000 GENTLEMAN FROM GEORGIA. 3664 01:57:00,001 --> 01:57:01,000 MR. PRICE: MR. SPEAKER, UNTIL 3665 01:57:01,001 --> 01:57:22,000 THAT LANGUAGE HAS BEEN 3666 01:57:22,001 --> 01:57:24,000 INTRODUCED, I'LL RESERVE. 3667 01:57:24,001 --> 01:57:25,000 THE SPEAKER PRO TEMPORE: THE 3668 01:57:25,001 --> 01:57:26,000 GENTLEMAN FROM GEORGIA. 3669 01:57:26,001 --> 01:57:27,000 MR. PRICE: THANK YOU, MR. 3670 01:57:27,001 --> 01:57:29,000 SPEAKER. 3671 01:57:29,001 --> 01:57:30,000 THE LANGUAGE -- PARLIAMENTARY 3672 01:57:30,001 --> 01:57:31,000 INQUIRY. 3673 01:57:31,001 --> 01:57:32,000 THE SPEAKER PRO TEMPORE: THE 3674 01:57:32,001 --> 01:57:33,000 GENTLEMAN WILL STATE HIS 3675 01:57:33,001 --> 01:57:35,000 INQUIRY. 3676 01:57:35,001 --> 01:57:37,000 MR. PRICE: HAS THE LANGUAGE 3677 01:57:37,001 --> 01:57:38,000 INTRODUCED AT THE DESK BEEN -- 3678 01:57:38,001 --> 01:57:39,000 MR. FRANK: WILL THE GENTLEMAN 3679 01:57:39,001 --> 01:57:41,000 YIELD? 3680 01:57:41,001 --> 01:57:42,000 I'LL ASK UNANIMOUS CONSENT TO 3681 01:57:42,001 --> 01:57:43,000 AMEND THE BILL ACCORDING TO 3682 01:57:43,001 --> 01:57:44,000 THAT LANGUAGE WHICH THE 3683 01:57:44,001 --> 01:57:46,000 GENTLEMAN HAS SEEN. 3684 01:57:46,001 --> 01:57:47,000 THE SPEAKER PRO T 3685 01:57:47,001 --> 01:57:48,000 CLERK WILL REPORT THE 3686 01:57:48,001 --> 01:57:50,000 MODIFICATION. 3687 01:57:50,001 --> 01:57:51,000 THE CLERK: MODIFICATION TO 3688 01:57:51,001 --> 01:57:52,000 AMENDMENT NUMBER 1 PRINTED IN 3689 01:57:52,001 --> 01:57:54,000 HOUSE REPORT 111-237 OFFERED BY 3690 01:57:54,001 --> 01:57:56,000 MR. FRANK OF MASSACHUSETTS. 3691 01:57:56,001 --> 01:57:58,000 ON LINE 2, INSERT AFTER SHALL, 3692 01:57:58,001 --> 01:58:00,000 BE ALLOWED TO. 3693 01:58:00,001 --> 01:58:01,000 THE SPEAKER PRO TEMPORE: IS 3694 01:58:01,001 --> 01:58:04,000 THERE OBJECTION TO THE 3695 01:58:04,001 --> 01:58:05,000 MODIFICATION? 3696 01:58:05,001 --> 01:58:06,000 WITHOUT OBJECTION, THE 3697 01:58:06,001 --> 01:58:07,000 AMENDMENT IS MODIFIED. 3698 01:58:07,001 --> 01:58:09,000 THE GENTLEMAN FROM GEORGIA. 3699 01:58:09,001 --> 01:58:10,000 MR. PRICE: I THANK THE SPEAKER 3700 01:58:10,001 --> 01:58:11,000 AND I THANK THE CHAIRMAN FOR 3701 01:58:11,001 --> 01:58:13,000 HIS DESIRE AND WILLINGNESS TO 3702 01:58:13,001 --> 01:58:18,000 WORK TOGETHER ON THIS. 3703 01:58:18,001 --> 01:58:23,000 AND THAT BEING SAID, THE 3704 01:58:23,001 --> 01:58:24,000 CHALLENGES WITH SECTION 4 ARE 3705 01:58:24,001 --> 01:58:25,000 HUGE. 3706 01:58:25,001 --> 01:58:26,000 THE FAR REACH OF THE S.E.C. AND 3707 01:58:26,001 --> 01:58:29,000 THE ABILITY OF THE FEDERAL 3708 01:58:29,001 --> 01:58:31,000 GOVERNMENT NOW TO GET INTO THE 3709 01:58:31,001 --> 01:58:32,000 EXECUTIVE COMPENSATION PACKAGES 3710 01:58:32,001 --> 01:58:37,000 FOR BUSINESSES FOR WHICH THERE 3711 01:58:37,001 --> 01:58:38,000 IS NO FEDERAL MONEY INVOLVED IS 3712 01:58:38,001 --> 01:58:40,000 REMARKABLE IN ITS EXTENT. 3713 01:58:40,001 --> 01:58:42,000 AND AS WE KNOW, THE DEMOCRAT 3714 01:58:42,001 --> 01:58:44,000 MAJORITY HAS A GREAT DESIRE TO 3715 01:58:44,001 --> 01:58:45,000 HA THE GOVERNMENT EVERYWHERE 3716 01:58:45,001 --> 01:58:47,000 IN OUR LIVES. 3717 01:58:47,001 --> 01:58:48,000 WHETHER IT'S IN FINANCIAL 3718 01:58:48,001 --> 01:58:51,000 INSTITUTIONS, WHETHER IT'S IN 3719 01:58:51,001 --> 01:58:52,000 ENERGY COMPANIES, WHETHER IT'S 3720 01:58:52,001 --> 01:58:55,000 THE AMERICAN PEOPLE HAVE TO 3721 01:58:55,001 --> 01:58:56,000 TURN ON AND OFF THEIR LIGHT 3722 01:58:56,001 --> 01:58:58,000 SWITCH. 3723 01:58:58,001 --> 01:58:59,000 I JUST PICKED UP THE PAPER THIS 3724 01:58:59,001 --> 01:59:02,000 MORNING, MR. SPEAKER, AND SAW 3725 01:59:02,001 --> 01:59:04,000 THERE WAS AN OP-ED IN "THE WALL 3726 01:59:04,001 --> 01:59:06,000 STREET JOURNAL" TALKING ABOUT 3727 01:59:06,001 --> 01:59:07,000 HEALTH REFORM AND CANCER AND 3728 01:59:07,001 --> 01:59:09,000 SAYING IF THE FEDERAL 3729 01:59:09,001 --> 01:59:10,000 GOVERNMENT IS ALLOWED TO 3730 01:59:10,001 --> 01:59:12,000 CONTROL HEALTH CARE THEN IT MAY 3731 01:59:12,001 --> 01:59:13,000 RESULT IN THE INNOVATION IN TH 3732 01:59:13,001 --> 01:59:15,000 AREA OF CANCER. 3733 01:59:15,001 --> 01:59:16,000 I SUGGEST THAT IF THE FEDERAL 3734 01:59:16,001 --> 01:59:18,000 GOVERNMENT IS ALLOWED IN THIS 3735 01:59:18,001 --> 01:59:20,000 ARENA, THAT WHAT WE'LL SEE IS A 3736 01:59:20,001 --> 01:59:22,000 HUGE DEPRESSING EFFECT ON THE 3737 01:59:22,001 --> 01:59:23,000 ABILITY OF BUSINESSES ALL 3738 01:59:23,001 --> 01:59:25,000 ACRO 3739 01:59:25,001 --> 01:59:28,000 CREATE THE MOST VIBRANT AND 3740 01:59:28,001 --> 01:59:30,000 ENEPRENEURIAL AND ACTIVE 3741 01:59:30,001 --> 01:59:31,000 BUSINESSES THAT ARE TO THE 3742 01:59:31,001 --> 01:59:33,000 BENEFIT OF THE AMERICAN PEOPLE, 3743 01:59:33,001 --> 01:59:34,000 THAT CREATE JOBS, TT ALLOW US 3744 01:59:34,001 --> 01:59:36,000 TO BE THE GREATEST NATION IN 3745 01:59:36,001 --> 01:59:38,000 THE HISTORY OF THE WORLD, AND 3746 01:59:38,001 --> 01:59:40,000 IT'S JUST LITTLE BITS THAT CHIP 3747 01:59:40,001 --> 01:59:42,000 AWAY AT THE FABRIC OF OUR 3748 01:59:42,001 --> 01:59:44,000 NATION THAT MAKE IT SO THAT IT 3749 01:59:44,001 --> 01:59:45,000 IS IMPOSSIBLE TO CONTINUE TO 3750 01:59:45,001 --> 01:59:46,000 COMPETE ON AN INTERNATIONAL 3751 01:59:46,001 --> 01:59:48,000 BASIS. 3752 01:59:48,001 --> 01:59:50,000 AND SO, MR. SPEAKER, I'LL -- 3753 01:59:50,001 --> 01:59:53,000 I'M PLEASED THAT THE CHAIRMAN 3754 01:59:53,001 --> 01:59:54,000 WAS WILLING TO CLARIFY THE 3755 01:59:54,001 --> 01:59:56,000 AMENDMENT. 3756 01:59:56,001 --> 01:59:57,000 HOWEVER, IT STILL GETS TO THE 3757 01:59:57,001 --> 01:59:59,000 HEART OF WHETHER OR NOT WE ARE 3758 01:59:59,001 --> 02:00:01,000 GOING TO ALLOW THE FEDERAL 3759 02:00:01,001 --> 02:00:02,000 GOVERNMENT INTO DECISIONS THAT 3760 02:00:02,001 --> 02:00:04,000 OUGHT TO BE LEFT IN A FREE 3761 02:00:04,001 --> 02:00:05,000 MARKET AND IN A PRIVATE SECTOR 3762 02:00:05,001 --> 02:00:08,000 ARRANGEMENT. SO I URGE DEFEAT OF THE 3763 02:00:08,001 --> 02:00:10,000 AMENDMENT AND I YIELD BACK THE BALANCE OF MY TIME. 3764 02:00:10,001 --> 02:00:11,000 THE SPEAKER PRO TEMPORE: THE 3765 02:00:11,001 --> 02:00:13,000 GENTLEMAN YIELDS BACK THE 3766 02:00:13,001 --> 02:00:14,000 BALANCE OF HIS TIME. 3767 02:00:14,001 --> 02:00:15,000 THE QUESTION IS ON THE 3768 02:00:15,001 --> 02:00:17,000 AMENDMENT AS MODIFIED BY THE 3769 02:00:17,001 --> 02:00:18,000 GENTLEMAN FROM MASSACHUSETTS, 3770 02:00:18,001 --> 02:00:19,000 MR. FRANK. 3771 02:00:19,001 --> 02:00:20,000 ALL THOSE IN FAVOR SAY AYE. 3772 02:00:20,001 --> 02:00:22,000 ALL THOSE OPPOSED, NO. 3773 02:00:22,001 --> 02:00:23,000 IN THE OPINION OF THE CHAIR, 3774 02:00:23,001 --> 02:00:24,000 THE AYES HAVE IT. 3775 02:00:24,001 --> 02:00:25,000 MR. PRICE: MR. SPEAKER. 3776 02:00:25,001 --> 02:00:27,000 THE SPEAKER PRO TEMPORE: THE 3777 02:00:27,001 --> 02:00:28,000 GENTLEMAN FROM GEORGIA. 3778 02:00:28,001 --> 02:00:29,000 MR. PRICE: ON THAT I REQUEST A 3779 02:00:29,001 --> 02:00:31,000 RECORDED VOTE. 3780 02:00:31,001 --> 02:00:32,000 THE SPEAKER PRO TEMPORE: A 3781 02:00:32,001 --> 02:00:33,000 RECORDED VOTE IS REQUESTED. 3782 02:00:33,001 --> 02:00:34,000 SPROURT -- THOSE FAVORING A 3783 02:00:34,001 --> 02:00:36,000 RECORDED VOTE WILL RISE. 3784 02:00:36,001 --> 02:00:37,000 A SUFFICIENT NUMBER HAVING 3785 02:00:37,001 --> 02:00:38,000 AR 3786 02:00:38,001 --> 02:00:40,000 ORDERED. 3787 02:00:40,001 --> 02:00:42,000 PURSUANT TO HOUSE RESOLUTION 3788 02:00:42,001 --> 02:00:43,000 QUESTION WILL BE POSTPONED. 3789 02:00:43,001 --> 02:00:45,000 FOR WHAT PURPOSE DOES THE 3790 02:00:45,001 --> 02:00:46,000 GENTLEMAN FROM NEW JERSEY RISE? 3791 02:00:46,001 --> 02:00:47,000 MR. GARRETT: I HAVE AN 3792 02:00:47,001 --> 02:00:49,000 AMENDMENT AT THE DESK. 3793 02:00:49,001 --> 02:00:50,000 THE SPEAKER PRO TEMPORE: THE 3794 02:00:50,001 --> 02:00:52,000 CLERK WILL DESIGNATE THE AMENDMENT. 3795 02:00:52,001 --> 02:00:54,000 THE CLERK: AMENDMENT IN THE 3796 02:00:54,001 --> 02:00:55,000 NATURE OF A SUBSTITUTE NUMBER 2 3797 02:00:55,001 --> 02:00:56,000 PRINTED IN HOUSE REPORT 111-237 3798 02:00:56,001 --> 02:00:57,000 OFFERED BY MR. GARRETT OF NEW 3799 02:00:57,001 --> 02:00:59,000 JERSEY. 3800 02:00:59,001 --> 02:01:00,000 THE SPEAKER PRO TEMPORE: 3801 02:01:00,001 --> 02:01:01,000 PURSUANT TO HOUSE RESOLUTION 3802 02:01:01,001 --> 02:01:03,000 697, THE GENTLEMAN FROM NEW 3803 02:01:03,001 --> 02:01:04,000 JERSEY, MR. GARRETT, AND A 3804 02:01:04,001 --> 02:01:05,000 MEMBER OPPOSED, EACH WILL 3805 02:01:05,001 --> 02:01:06,000 CONTROL 15 MINUTES. 3806 02:01:06,001 --> 02:01:08,000 THE CHAIR RECOGNIZES THE 3807 02:01:08,001 --> 02:01:09,000 GENTLEMAN FROM NEW JERSEY. 3808 02:01:09,001 --> 02:01:10,000 MR. GARRETT: I THANK THE CHAIR. 3809 02:01:10,001 --> 02:01:11,000 I YIELD MYSELF FOUR MINUTES AT 3810 02:01:11,001 --> 02:01:13,000 THIS TIME. 3811 02:01:13,001 --> 02:01:14,000 THE SPEAKER PRO TEMPORE: THE 3812 02:01:14,001 --> 02:01:15,000 GENTLEMAN IS RECOGNIZED FOR 3813 02:01:15,001 --> 02:01:16,000 FOUR MINUTES. 3814 02:01:16,001 --> 02:01:18,000 MR. GARRETT: THE AMERICAN 3815 02:01:18,001 --> 02:01:19,000 PUBLIC SHOULD BE OUTRAGED WHEN 3816 02:01:19,001 --> 02:01:21,000 THEY READ THE FRONT PAGE IN 3817 02:01:21,001 --> 02:01:22,000 REGARDS TO BONUSES AND PAY. 3818 02:01:22,001 --> 02:01:23,000 HAVE TO READ THE SECOND 3819 02:01:23,001 --> 02:01:24,000 HEADLINE TO REALIZE THE $33 3820 02:01:24,001 --> 02:01:26,000 BILLION ARE GOING TO THE BANKS 3821 02:01:26,001 --> 02:01:28,000 THAT RECEIVE BASICALLY THE TAXPAYER BAILOUTS. 3822 02:01:28,001 --> 02:01:30,000 AND AT THE BOTTOM OF THE LINE 3823 02:01:30,001 --> 02:01:31,000 ON ALL OF THIS IS NOTHING IN 3824 02:01:31,001 --> 02:01:32,000 THIS LEGISLATION THAT WOULD 3825 02:01:32,001 --> 02:01:33,000 HAVE ACTUALLY PROHIBITED THIS 3826 02:01:33,001 --> 02:01:35,000 FROM GOING FORWARD. 3827 02:01:35,001 --> 02:01:36,000 NOW, THE OTHER SIDE OF THE 3828 02:01:36,001 --> 02:01:37,000 AISLE ON THE FLOOR TODAY AND 3829 02:01:37,001 --> 02:01:39,000 REPEATEDLY SAYS, WELL, THE 3830 02:01:39,001 --> 02:01:41,000 REPUBLICAN SIDE SIMPLY HAS NO ALTERNATIVE. 3831 02:01:41,001 --> 02:01:42,000 IT'S JUST THE PARTY OF NO. 3832 02:01:42,001 --> 02:01:44,000 WELL, WE KNOW THAT'S NOT TRUE. 3833 02:01:44,001 --> 02:01:45,000 THAT ON THE LEGISLATION BEFORE 3834 02:01:45,001 --> 02:01:46,000 US TODAY WITH REGARD TO 3835 02:01:46,001 --> 02:01:48,000 EXECUTIVE COMPENSATION, BOTH IN 3836 02:01:48,001 --> 02:01:49,000 COMMITTEE AND THROUGH RULES, 3837 02:01:49,001 --> 02:01:50,000 REPUBLICANS HAVE PROPOSED A 3838 02:01:50,001 --> 02:01:52,000 NUMBER OF SUBSTANTIVE 3839 02:01:52,001 --> 02:01:53,000 PROPOSALS, WHICH I'LL GO 3840 02:01:53,001 --> 02:01:54,000 THROUGH RIGHT NOW, THAT WOULD 3841 02:01:54,001 --> 02:01:56,000 ADDRESS THE UNDERLYING PROBLEMS 3842 02:01:56,001 --> 02:01:57,000 THAT WE'RE TRYING TO ADDRESS 3843 02:01:57,001 --> 02:01:58,000 RIGHT NOW. 3844 02:01:58,001 --> 02:01:59,000 IF YOU PERMIT ME, I'LL NOW 3845 02:01:59,001 --> 02:02:01,000 ADDRESS THREE OR FOUR MAJOR 3846 02:02:01,001 --> 02:02:02,000 POINTS IN THIS SUBSTITUTE WHICH 3847 02:02:02,001 --> 02:02:03,000 WOULD GET AT THESE POINTS TH 3848 02:02:03,001 --> 02:02:05,000 I THINK OUTRAGES AMERICA WITH 3849 02:02:05,001 --> 02:02:08,000 REGARD TO COMPENSATION BUT DO 3850 02:02:08,001 --> 02:02:10,000 SO IN A FAIR AND JUST MANNER. 3851 02:02:10,001 --> 02:02:14,000 POINT ONE, IN THE UNDERLYING 3852 02:02:14,001 --> 02:02:17,000 BILL IT ALLOWS FOR A NONBINDING 3853 02:02:17,001 --> 02:02:18,000 SHAREHOLDER VOTE ON EXECUTIVE 3854 02:02:18,001 --> 02:02:20,000 COMPENSATION EVERY YEAR. 3855 02:02:20,001 --> 02:02:22,000 WE PROPOSE INSTEAD THAT THAT 3856 02:02:22,001 --> 02:02:23,000 VOTE SHOULD OCCUR EVERY THREE 3857 02:02:23,001 --> 02:02:24,000 YEARS. 3858 02:02:24,001 --> 02:02:25,000 WHY IS THAT? 3859 02:02:25,001 --> 02:02:27,000 ALL THE EXPERT TESTIMONY WE 3860 02:02:27,001 --> 02:02:28,000 HEARD SO FAR SAYS THAT WALL 3861 02:02:28,001 --> 02:02:29,000 STREET FOCUSES TOO MUCH ON THE 3862 02:02:29,001 --> 02:02:31,000 SHORT TERM, THE YEAR, THE SIX 3863 02:02:31,001 --> 02:02:32,000 MONTHS, THE THREE QUARTERS OR 3864 02:02:32,001 --> 02:02:34,000 END OF THE QUARTER. 3865 02:02:34,001 --> 02:02:35,000 WHY THEN WHEN COMPENSATION 3866 02:02:35,001 --> 02:02:37,000 PACKAGES USUALLY GO LONGER THAN 3867 02:02:37,001 --> 02:02:38,000 ONE YEAR, USUALLY GO FOR THREE 3868 02:02:38,001 --> 02:02:40,000 YEARS, WOULD BE REQUIRING A 3869 02:02:40,001 --> 02:02:41,000 VOTE THAT WOULD REFOCUS THE 3870 02:02:41,001 --> 02:02:44,000 ATTENTION ON ONE YEAR, SHORT 3871 02:02:44,001 --> 02:02:45,000 PERIOD OF TIME, AS OPPOSED TO 3872 02:02:45,001 --> 02:02:47,000 BEING IN LINE TO A THREE-YEAR 3873 02:02:47,001 --> 02:02:48,000 LONGER TIME FRAME? 3874 02:02:48,001 --> 02:02:49,000 SO WE SUGGEST THAT A THREE-YEAR 3875 02:02:49,001 --> 02:02:51,000 VOTE WOULD BE MUCH MORE 3876 02:02:51,001 --> 02:02:54,000 APPROPRIATE THAN A ONE YEAR. 3877 02:02:54,001 --> 02:02:55,000 SECONDLY, THE SHAREHOLDERS AND 3878 02:02:55,001 --> 02:02:57,000 WHOME TRUST WITH THESE 3879 02:02:57,001 --> 02:02:58,000 DECISIONS. 3880 02:02:58,001 --> 02:03:00,000 WE SUGGEST THAT IF WE ARE GOING 3881 02:03:00,001 --> 02:03:02,000 TO TRUST THE SHAREHOLDERS TO BE 3882 02:03:02,001 --> 02:03:03,000 MAKING THESE DECISIONS, SHOULD 3883 02:03:03,001 --> 02:03:04,000 WE NOT ALSO TRUST THEM TO MAKE 3884 02:03:04,001 --> 02:03:06,000 THE DECISION WHETHER OR NOT TO 3885 02:03:06,001 --> 02:03:08,000 HAVE SUCH VOTES ON EXECUTIVE 3886 02:03:08,001 --> 02:03:09,000 COMPENSATION IN THE FUTURE? 3887 02:03:09,001 --> 02:03:10,000 SO OUR AMENDMENT WOULD SUGGEST 3888 02:03:10,001 --> 02:03:13,000 THAT A SUBSTITUTE WOULD ALLOW 3889 02:03:13,001 --> 02:03:17,000 FOR A 2/3 VOTE OF SHAREHOLDERS 3890 02:03:17,001 --> 02:03:19,000 TO OPT OUT OF THE SHAREHOLDER 3891 02:03:19,001 --> 02:03:21,000 ADVISO VOTE IF THEY ARE SO INCLINED. 3892 02:03:21,001 --> 02:03:22,000 WE KNOW THAT THIS IS A POSITION 3893 02:03:22,001 --> 02:03:24,000 TAKEN BY A NUMBER OF 3894 02:03:24,001 --> 02:03:26,000 INSTITUTIONS, COMPANIES IN THE 3895 02:03:26,001 --> 02:03:27,000 PAST BECAUSE THEY SAID THAT WE 3896 02:03:27,001 --> 02:03:28,000 DO NOT WANT TO HAVE SUCH POWER, 3897 02:03:28,001 --> 02:03:30,000 DO NOT WANT TO INVOLVE 3898 02:03:30,001 --> 02:03:31,000 OURSELVES IN SUCH DECISION 3899 02:03:31,001 --> 02:03:32,000 MAKING. 3900 02:03:32,001 --> 02:03:33,000 AND WE KNOW IT'S RIGHT NOW AS 3901 02:03:33,001 --> 02:03:35,000 WELL BECAUSE WE HAVE A LETTER 3902 02:03:35,001 --> 02:03:36,000 FROM THE UNITED BROTHERHOOD OF 3903 02:03:36,001 --> 02:03:37,000 CARPENTERS WHO POINT OUT THE 3904 02:03:37,001 --> 02:03:41,000 VERY REAL REASON WHY THAT IS. 3905 02:03:41,001 --> 02:03:42,000 THEY HOLD SOMETHING LIKE 3,603 3906 02:03:42,001 --> 02:03:44,000 DIFFERENT COMPANIES IN THEIR 3907 02:03:44,001 --> 02:03:46,000 PORTFOLIO AND THEY SAID THEY 3908 02:03:46,001 --> 02:03:47,000 WERE GOING TO HAVE TO MAKE THIS 3909 02:03:47,001 --> 02:03:48,000 DECISION ONE YEAR OR EVERY 3910 02:03:48,001 --> 02:03:50,000 THREE YEARS, AND CONSIDERING 3911 02:03:50,001 --> 02:03:51,000 THEIR DUE DILIGENCE THAT THEY 3912 02:03:51,001 --> 02:03:53,000 WOULD HAVE TO ENGAGE IN, THIS 3913 02:03:53,001 --> 02:03:56,000 COMMITMENT WILL BE A SEVERELY 3914 02:03:56,001 --> 02:03:58,000 CHALLENGE TO THEIR FIDUCIARY RESPONSIBILITIES. 3915 02:03:58,001 --> 02:04:00,000 SO IF HE WANT TO OPT OUT OF 3916 02:04:00,001 --> 02:04:01,000 THIS, -- SO IF THEY WANT TO OPT 3917 02:04:01,001 --> 02:04:02,000 OUT OF THIS, SHOULDN'T WE GIVE 3918 02:04:02,001 --> 02:04:04,000 THEM THE ABILITY OF 2/3 3919 02:04:04,001 --> 02:04:06,000 DECIDING TO DO SO? 3920 02:04:06,001 --> 02:04:07,000 ANOTHER ONE, STATE LAW. 3921 02:04:07,001 --> 02:04:09,000 I KNOW THE OTHER SIDE TALKS 3922 02:04:09,001 --> 02:04:12,000 ABOUT THIS. 3923 02:04:12,001 --> 02:04:13,000 SHOULD WE PREEMPT STATE LAW OR 3924 02:04:13,001 --> 02:04:14,000 SHOULD THEY NOT BE ABLE TO 3925 02:04:14,001 --> 02:04:16,000 SPEAK UP AND HAVE THEIR VOICE 3926 02:04:16,001 --> 02:04:17,000 HEARD AND BE NOT PREEMPTED BY 3927 02:04:17,001 --> 02:04:19,000 THE FEDERAL GOVERNMENT? 3928 02:04:19,001 --> 02:04:21,000 AND FOURTHLY AND MOST 3929 02:04:21,001 --> 02:04:23,000 IMPORTANTLY, SECTION 4. 3930 02:04:23,001 --> 02:04:25,000 THIS SECTION GOES WELL BEYOND 3931 02:04:25,001 --> 02:04:28,000 WHAT THE ADMINISTRATION HAS 3932 02:04:28,001 --> 02:04:30,000 TALKED ABOUT. 3933 02:04:30,001 --> 02:04:32,000 THE ADMINISTRATION DOESN'T LIKE 3934 02:04:32,001 --> 02:04:35,000 WHAT THIS SECTION SAYS. 3935 02:04:35,001 --> 02:04:37,000 OUR SUBSTITUTION SAYS WE SHOULD 3936 02:04:37,001 --> 02:04:38,000 DELETE SECTION 4. 3937 02:04:38,001 --> 02:04:40,000 THE BOTTOM LINE ON THIS ONE IS 3938 02:04:40,001 --> 02:04:42,000 WHO IS IT THAT THE OTHER SIDE 3939 02:04:42,001 --> 02:04:44,000 REALLY TRUSTS TO MAKE THESE DECISIONS? 3940 02:04:44,001 --> 02:04:46,000 IS IT THE SHAREHOLDERS, AS WE 3941 02:04:46,001 --> 02:04:47,000 SAW IN THE FIRST THREE SECTIONS 3942 02:04:47,001 --> 02:04:48,000 OF THIS BILL TO MAKE THE 3943 02:04:48,001 --> 02:04:50,000 DECISION THAT WE WOULD SUGGEST 3944 02:04:50,001 --> 02:04:52,000 THEY SHOULD BE IN POSITION TO 3945 02:04:52,001 --> 02:04:53,000 MAKE THE DECISIONS, OR IS IT 3946 02:04:53,001 --> 02:04:55,000 THE BUREAUCRATS THAT THEY THINK 3947 02:04:55,001 --> 02:04:56,000 SHOULD BE ABLE TO MAKE THESE 3948 02:04:56,001 --> 02:04:57,000 DECISIONS? 3949 02:04:57,001 --> 02:04:59,000 IS IT THE SAME BUREAUCRATS WHO 3950 02:04:59,001 --> 02:05:01,000 OVER AT THE S.E.C. IN THE PAST 3951 02:05:01,001 --> 02:05:02,000 TOTALLY MISSED THE WHOLE MADOFF 3952 02:05:02,001 --> 02:05:04,000 SITUATIOTHAT THEY SHOULD BE 3953 02:05:04,001 --> 02:05:05,000 MAKING DECISIONS AS OPPOSED TO 3954 02:05:05,001 --> 02:05:07,000 THE STOCKHOLDERS? 3955 02:05:07,001 --> 02:05:08,000 IS IT THE SAME BUREAUCRATS WHO 3956 02:05:08,001 --> 02:05:10,000 ARE -- THE REGULATORS FOR 3957 02:05:10,001 --> 02:05:11,000 A.I.G. AND TOTALLY MISSED THAT 3958 02:05:11,001 --> 02:05:12,000 SITUATION, IS THAT WHO THEY 3959 02:05:12,001 --> 02:05:14,000 TRUST INSTEAD? 3960 02:05:14,001 --> 02:05:16,000 SO WE SUGGEST ALL FOUR POINTS 3961 02:05:16,001 --> 02:05:19,000 ARE SUBSTANTIVE AMENDMENTS TO THIS. 3962 02:05:19,001 --> 02:05:21,000 CONSIDERATION. 3963 02:05:21,001 --> 02:05:22,000 THE SPEAKER PRO TEMPORE: THE 3964 02:05:22,001 --> 02:05:23,000 GENTLEMAN RESERVES THE BALANCE 3965 02:05:23,001 --> 02:05:25,000 OF HIS TIME. 3966 02:05:25,001 --> 02:05:26,000 MR. GARRETT: I RESERVE THE 3967 02:05:26,001 --> 02:05:27,000 BALANCE OF MY TIME. 3968 02:05:27,001 --> 02:05:28,000 THE SPEAKER PRO TEMPORE: FOR 3969 02:05:28,001 --> 02:05:30,000 WHAT PURPOSE DOES THE GENTLEMAN 3970 02:05:30,001 --> 02:05:31,000 FROM MASSACHUSETTS RISE? 3971 02:05:31,001 --> 02:05:32,000 MR. FRANK: I YIELD TO THE 3972 02:05:32,001 --> 02:05:34,000 GENTLEMAN FROM CALIFORNI MR. 3973 02:05:34,001 --> 02:05:35,000 SHERMAN, FOR FOUR MINUTES. 3974 02:05:35,001 --> 02:05:36,000 THE SPEAKER PRO TEMPORE: THE 3975 02:05:36,001 --> 02:05:38,000 GENTLEMAN FROM CALIFORNIA IS 3976 02:05:38,001 --> 02:05:39,000 RECOGNIZED FOR FOUR MINUTES. 3977 02:05:39,001 --> 02:05:40,000 MR. SHERMAN: I THANK THE CHAIR. 3978 02:05:40,001 --> 02:05:41,000 I SUPPORT THE BILL. 3979 02:05:41,001 --> 02:05:43,000 I WISH IT WENT A BIT FURTHER. 3980 02:05:43,001 --> 02:05:45,000 AND I OF COURSE OPPOSE MR. GARRETT'S AMENDMENT. 3981 02:05:45,001 --> 02:05:48,000 FIRST, WHAT HIS AMENDMENT DOES 3982 02:05:48,001 --> 02:05:49,000 IS IT WEAKENS THE SAY ON PAY 3983 02:05:49,001 --> 02:05:50,000 PROVISIONS SIGNIFICANTLY. 3984 02:05:50,001 --> 02:05:53,000 THAT'S RIGHT. 3985 02:05:53,001 --> 02:05:55,000 IT WEAKENS A PROVISION WHICH 3986 02:05:55,001 --> 02:05:59,000 ITSELF SIMPLY PROVIDES FOR 3987 02:05:59,001 --> 02:06:01,000 NONBINDING ROLUTIONS. 3988 02:06:01,001 --> 02:06:03,000 BUT THE CORE OF THE GARRETT 3989 02:06:03,001 --> 02:06:06,000 AMENDMENT IS THAT IT ELIMINATES 3990 02:06:06,001 --> 02:06:08,000 THE PROVISION IN THE BILL WHICH 3991 02:06:08,001 --> 02:06:12,000 IS DESIGNED TO PROVIDE VERY 3992 02:06:12,001 --> 02:06:16,000 MODEST RESTRICTIONS ON SOME 3993 02:06:16,001 --> 02:06:17,000 VERY PECULIAR AND PERNICIOUS 3994 02:06:17,001 --> 02:06:18,000 COMPENSATION FORMULAS THAT HAVE 3995 02:06:18,001 --> 02:06:20,000 BEEN USED ON WALL STREET. 3996 02:06:20,001 --> 02:06:22,000 NOW, LET US LOOK AT HOW NARROW 3997 02:06:22,001 --> 02:06:25,000 THIS PROVISION IS. 3998 02:06:25,001 --> 02:06:26,000 IT APPLIES ONLY TO FINANCIAL 3999 02:06:26,001 --> 02:06:28,000 INSTITIONS AND THEN ONLY TO 4000 02:06:28,001 --> 02:06:31,000 THOSE OVER $1 BILLION. 4001 02:06:31,001 --> 02:06:32,000 IT DOES NOT PROHIBIT MILLION 4002 02:06:32,001 --> 02:06:35,000 DOLLAR A MONTH SALARIES. 4003 02:06:35,001 --> 02:06:36,000 IT DOES NOT PROHIBIT $10 A 4004 02:06:36,001 --> 02:06:38,000 MONTH SALARIES. 4005 02:06:38,001 --> 02:06:39,000 IT -- $10 MILLION A MONTH 4006 02:06:39,001 --> 02:06:44,000 SALARIES. 4007 02:06:44,001 --> 02:06:46,000 IT ALLOWS A EXECUTIVE TO GET A 4008 02:06:46,001 --> 02:06:48,000 KAGILLION STOCK OPTIONS. 4009 02:06:48,001 --> 02:06:49,000 THIS BILL IS NOT AN OVERALL 4010 02:06:49,001 --> 02:06:51,000 LIMIT ON COMPENSATION ON WALL 4011 02:06:51,001 --> 02:06:54,000 STREET. 4012 02:06:54,001 --> 02:06:56,000 WHAT IT DOES IS IT PROHIBITS 4013 02:06:56,001 --> 02:07:01,000 THOSE COMPENSATION FORMULAS 4014 02:07:01,001 --> 02:07:02,000 THAT PROVIDE AN INCENTIVE FOR 4015 02:07:02,001 --> 02:07:03,000 TAKING EXTREME RISKS, RISKS 4016 02:07:03,001 --> 02:07:06,000 THAT ARE BAD FOR OUR ECONO, 4017 02:07:06,001 --> 02:07:13,000 RISKS THAT ARE BAD FOR THE COMPANY. 4018 02:07:13,001 --> 02:07:18,000 NOW, THE GROUP OF 30 LED BY 4019 02:07:18,001 --> 02:07:19,000 PAUL VOLKER FOUND AND REPORTED, 4020 02:07:19,001 --> 02:07:21,000 THERE ARE NUMEROUS EXAMPLES OF 4021 02:07:21,001 --> 02:07:24,000 MISALIGNED INCENTIVES OF 4022 02:07:24,001 --> 02:07:26,000 INCENTIVES THAT CONTRIBUTE TO 4023 02:07:26,001 --> 02:07:27,000 INSTABILITY AND CYCLICALITY IN 4024 02:07:27,001 --> 02:07:29,000 FINANCIAL MARKETS. 4025 02:07:29,001 --> 02:07:31,000 THE CRISIS HAS DRIVEN HOME THE 4026 02:07:31,001 --> 02:07:34,000 IMPORTANCE OF ALIGNING 4027 02:07:34,001 --> 02:07:35,000 COMPENSATION PRACTICES WITH THE 4028 02:07:35,001 --> 02:07:39,000 INCENTIVES AND CONTROLS IN A 4029 02:07:39,001 --> 02:07:42,000 FIRM'S RISK MANAGEMENT PROGRAM. 4030 02:07:42,001 --> 02:07:44,000 ALIGNING PAY WITH LONG-TERM 4031 02:07:44,001 --> 02:07:46,000 SHAREHOLDER INTEREST RATHER 4032 02:07:46,001 --> 02:07:48,000 THAN SHORT-TERM RETURNS THAT 4033 02:07:48,001 --> 02:07:53,000 CANNOT BE SUSTAINED AND WHICH 4034 02:07:53,001 --> 02:07:55,000 ENTAIL GREATER RISK. 4035 02:07:55,001 --> 02:07:57,000 THIS IS A PROVISION NOT 4036 02:07:57,001 --> 02:07:58,000 DESIGNED, NOT INTENDED, TO 4037 02:07:58,001 --> 02:08:00,000 LIMIT THE OVERALL LEVEL OF 4038 02:08:00,001 --> 02:08:01,000 COMPENSATION AT FINANCIAL 4039 02:08:01,001 --> 02:08:03,000 INSTITUTIONS. 4040 02:08:03,001 --> 02:08:07,000 NOT DESIGNED TO PREVENT 4041 02:08:07,001 --> 02:08:08,000 ENORMOUS BONUSES, BUT THE 4042 02:08:08,001 --> 02:08:11,000 BONUSES MUST NOT BY THEMSELVES 4043 02:08:11,001 --> 02:08:15,000 BE DESIGNED TO UNDERMINE THE 4044 02:08:15,001 --> 02:08:19,000 ECONOMY OR THE COMPANY. 4045 02:08:19,001 --> 02:08:21,000 THIS IS A SMALL STEP THAT WE 4046 02:08:21,001 --> 02:08:22,000 CAN TAKE TO MAKE SURE WE DON'T 4047 02:08:22,001 --> 02:08:23,000 HAVE ANOTHER FINANCIAL 4048 02:08:23,001 --> 02:08:25,000 MELTDOWN. 4049 02:08:25,001 --> 02:08:26,000 LET ME RESPOND TO MR. 4050 02:08:26,001 --> 02:08:28,000 HENSARLING AND OTHERS WHO CAME 4051 02:08:28,001 --> 02:08:30,000 TO THIS FLOOR AND SICALLY 4052 02:08:30,001 --> 02:08:32,000 SAID, ALL WE HAVE TOO IS MAKE 4053 02:08:32,001 --> 02:08:33,000 SURE THERE ARE NO FURTHER 4054 02:08:33,001 --> 02:08:34,000 BAILOUTS. 4055 02:08:34,001 --> 02:08:36,000 WELL, I OPPOSED THE WALL STREET 4056 02:08:36,001 --> 02:08:38,000 BAILOUT. 4057 02:08:38,001 --> 02:08:40,000 BUT I'M NOT GOING TO JOIN WITH 4058 02:08:40,001 --> 02:08:43,000 THOSE WHO SAY THE ONLY PROBLEM 4059 02:08:43,001 --> 02:08:45,000 WE HAD IN SEPTEMBER OF 2008 WAS 4060 02:08:45,001 --> 02:08:47,000 THATE VOTED FOR THE BILL. 4061 02:08:47,001 --> 02:08:50,000 WE'VE GOT TO ACT TO PREVENT THE 4062 02:08:50,001 --> 02:08:53,000 NEXT FINANCIAL MELTDOW 4063 02:08:53,001 --> 02:08:55,000 AND IT IS NOT ENOUGH TO COME TO 4064 02:08:55,001 --> 02:08:57,000 THIS FLOOR AND SAY, WELL, IT'S 4065 02:08:57,001 --> 02:09:00,000 OK TO HAVE ANOTHER SEPTEMBER, 4066 02:09:00,001 --> 02:09:01,000 2008, AS LONG AS WE VOTE 4067 02:09:01,001 --> 02:09:02,000 AGAINST THAT SOME FUTURE 4068 02:09:02,001 --> 02:09:03,000 BAILOUT BILL TWICE INSTEAD OF 4069 02:09:03,001 --> 02:09:06,000 ONCE. 4070 02:09:06,001 --> 02:09:07,000 THE GOAL IS NOT TO DEFEAT THE 4071 02:09:07,001 --> 02:09:09,000 TARP BILL. 4072 02:09:09,001 --> 02:09:11,000 THE GOAL IS TO PREVENT THE 4073 02:09:11,001 --> 02:09:13,000 CONDITIONS WHICH CAUSED SO MANY 4074 02:09:13,001 --> 02:09:14,000 TO THINK IT WAS NECESSARY AND 4075 02:09:14,001 --> 02:09:17,000 FOR ALL OF US TO RECOGNIZE THAT 4076 02:09:17,001 --> 02:09:20,000 WE FACED A GREAT FINANCIAL CRIS. 4077 02:09:20,001 --> 02:09:22,000 THE WAY TO DO THAT IS TO VOTE 4078 02:09:22,001 --> 02:09:27,000 DOWN THIS AMENDMENT AND MAKE 4079 02:09:27,001 --> 02:09:29,000 SURE THAT SOME VERY PECULIAR, 4080 02:09:29,001 --> 02:09:31,000 VERY PERNICIOUS INCENTIVE 4081 02:09:31,001 --> 02:09:33,000 FORMULAS ARE NOT USED TO CAUSE 4082 02:09:33,001 --> 02:09:35,000 THOSE ON WALL STREET TO FEEL IF 4083 02:09:35,001 --> 02:09:37,000 THEY CAN ONLY TAKE THE MOST 4084 02:09:37,001 --> 02:09:39,000 ENORMOUS RISK, THEY 4085 02:09:39,001 --> 02:09:41,000 MAXIMIZE THEIR COMPENSATION. 4086 02:09:41,001 --> 02:09:43,000 THE SPEAKER PRO TEMPORE: THE 4087 02:09:43,001 --> 02:09:47,000 GENTLEMAN'S TIME HAS EXPIRED. 4088 02:09:47,001 --> 02:09:49,000 THE GENTLEMAN FROM NEW JERSEY. 4089 02:09:49,001 --> 02:09:50,000 MR. GARRETT: I YIELD THREE MINUTES TO THE GENTLEMAN FROM 4090 02:09:50,001 --> 02:09:52,000 TEXAS. 4091 02:09:52,001 --> 02:09:53,000 THE SPEAKER PRO TEMPORE: THE 4092 02:09:53,001 --> 02:09:56,000 GENTLEMAN IS RECOGNIZED FOR 4093 02:09:56,001 --> 02:09:59,000 THREE MINUTES. 4094 02:09:59,001 --> 02:10:00,000 >> THIS IS A REASONABLE AND 4095 02:10:00,001 --> 02:10:02,000 THOUGHTFUL SUBSTITUTE. 4096 02:10:02,001 --> 02:10:03,000 REPUBLICANS ARE HERE TO BRING 4097 02:10:03,001 --> 02:10:05,000 GOOD IDEAS TO THE TABLE TO TRY 4098 02:10:05,001 --> 02:10:08,000 TO WORK WITH THE MAJORITY TO 4099 02:10:08,001 --> 02:10:12,000 ENSURE OUR MARKETS OPERATE WITH 4100 02:10:12,001 --> 02:10:17,000 TRANSPARENCY. 4101 02:10:17,001 --> 02:10:19,000 RATHER THAN VOTE EVERY YEAR OUR 4102 02:10:19,001 --> 02:10:21,000 SUBSTITUTE ALIGNS IT WITH 4103 02:10:21,001 --> 02:10:24,000 STANDARD COMPENSATION PACKAGES 4104 02:10:24,001 --> 02:10:25,000 AND ENSURES THAT INVESTORS WHO 4105 02:10:25,001 --> 02:10:28,000 REPRESENT SHAREHOLDERS WILL BE 4106 02:10:28,001 --> 02:10:31,000 ABLE TO HAVE PROPER TIME TO DO 4107 02:10:31,001 --> 02:10:32,000 DUE DILIGENCE TO MAKE 4108 02:10:32,001 --> 02:10:34,000 MEANINGFUL VOTES. 4109 02:10:34,001 --> 02:10:37,000 IT ALLOWS SHARE HOLDERS WHO 4110 02:10:37,001 --> 02:10:39,000 DON'T WANT TO BE INVOLVED IN 4111 02:10:39,001 --> 02:10:40,000 THESE VOTES TO OPT OUT. 4112 02:10:40,001 --> 02:10:42,000 MAKES SENSE TO ME. 4113 02:10:42,001 --> 02:10:43,000 FINALLY THE SUBSTITUTE ENSURE 4114 02:10:43,001 --> 02:10:44,000 THIS IS A FEDERAL GOVERNMENT 4115 02:10:44,001 --> 02:10:46,000 CANNOT DECIDE THE PAY FOR 4116 02:10:46,001 --> 02:10:47,000 EMPLOYEES OR FINANCIAL 4117 02:10:47,001 --> 02:10:48,000 INSTITUTIONS. 4118 02:10:48,001 --> 02:10:49,000 DETERMINING PAY PRACTICES IS 4119 02:10:49,001 --> 02:10:51,000 NOT THE ROLE OF GOVERNMENT. 4120 02:10:51,001 --> 02:10:53,000 AS WE WORK TOGETHER TO REFORM 4121 02:10:53,001 --> 02:10:55,000 THE FINANCIAL REGULATORY STRUCK 4122 02:10:55,001 --> 02:10:57,000 CHURK DEBATING COMPENSATION 4123 02:10:57,001 --> 02:10:58,000 PRACTICES MAY MAKE SOME FEEL 4124 02:10:58,001 --> 02:11:01,000 BETTER, BUT IT DOESN'T FIX THE 4125 02:11:01,001 --> 02:11:03,000 CAUSE OF OUR FINANCIAL CRISIS. 4126 02:11:03,001 --> 02:11:04,000 WHILE WE IN THE PUBLIC MAY NOT 4127 02:11:04,001 --> 02:11:06,000 LIKE TO HEAR ABOUT SOME OF THE 4128 02:11:06,001 --> 02:11:07,000 LARGE SALARIES AND BONUSES 4129 02:11:07,001 --> 02:11:09,000 OTHERS HAVE EARNED, WE HAVE TO 4130 02:11:09,001 --> 02:11:10,000 ASK OURSELVES, HOW MUCH DID 4131 02:11:10,001 --> 02:11:12,000 THESE COMPENSATION PRACTICES 4132 02:11:12,001 --> 02:11:13,000 REALLY CONTRIBUTE TO THE 4133 02:11:13,001 --> 02:11:15,000 PRLEM? 4134 02:11:15,001 --> 02:11:16,000 MOST IMPORTANT -- THE MOST 4135 02:11:16,001 --> 02:11:20,000 IMPORTANT TOOL FINANCIAL 4136 02:11:20,001 --> 02:11:22,000 REGULATORS HAVE IS THE ABILITY 4137 02:11:22,001 --> 02:11:23,000 TO SET CAPITAL STANDARDS FOR 4138 02:11:23,001 --> 02:11:24,000 FINANCIAL INSTITUTIONS. 4139 02:11:24,001 --> 02:11:26,000 NOT THE ABILITY TO TELL 4140 02:11:26,001 --> 02:11:28,000 FINANCIAL INSTITUTIONS HOW HOW 4141 02:11:28,001 --> 02:11:30,000 MUCH THEY CAN PAY OR HOW MUCH THEY SHOULD PAY THEIR 4142 02:11:30,001 --> 02:11:32,000 EMPLOYEES. 4143 02:11:32,001 --> 02:11:35,000 WE NEED REGULATORS TO ENSURE 4144 02:11:35,001 --> 02:11:36,000 CAPITAL AND REV RAJ RATIOS AT 4145 02:11:36,001 --> 02:11:39,000 FINANCIAL INSTITUTIONS MATCH 4146 02:11:39,001 --> 02:11:40,000 THE RISK THOSE EN-- THOSE 4147 02:11:40,001 --> 02:11:41,000 ENTIES ARE TAKING ON. 4148 02:11:41,001 --> 02:11:44,000 THAT'S WHAT THEYHOULD FOCUS 4149 02:11:44,001 --> 02:11:46,000 ON, NOT WHETHER A CERTA 4150 02:11:46,001 --> 02:11:48,000 INCENTIVE PRACTICE IS 4151 02:11:48,001 --> 02:11:51,000 APPROPRIATE. 4152 02:11:51,001 --> 02:11:52,000 A FINANCE PROFESSOR RELEASED A 4153 02:11:52,001 --> 02:11:55,000 STUDY COMPARING BANK 4154 02:11:55,001 --> 02:11:57,000 PERFORMANCE AND C.E.O. 4155 02:11:57,001 --> 02:11:58,000 INCENTIVES LEADING UP TO THE 4156 02:11:58,001 --> 02:11:59,000 CRIS. 4157 02:11:59,001 --> 02:12:03,000 THE PROFESSOR IS QUOTED IN 4158 02:12:03,001 --> 02:12:06,000 TODAY'S 4159 02:12:06,001 --> 02:12:08,000 SAYS, IT'S HARD TO BELIEVE THAT 4160 02:12:08,001 --> 02:12:10,000 THEY'LL BE REGULATED BY 4161 02:12:10,001 --> 02:12:12,000 COMPENSATION PLANS. 4162 02:12:12,001 --> 02:12:13,000 PROPER LY DESIGNED CAPITAL 4163 02:12:13,001 --> 02:12:15,000 APPROACHES ARE MUCH MORE 4164 02:12:15,001 --> 02:12:19,000 EFFECTIVE THAN FIDDLING WITH 4165 02:12:19,001 --> 02:12:21,000 COMPENSATION PACKAGES. 4166 02:12:21,001 --> 02:12:23,000 CONGRESS SHOULD NOT BE WORKING 4167 02:12:23,001 --> 02:12:24,000 TO -- CONGRESS SHOULD BE 4168 02:12:24,001 --> 02:12:25,000 WORKING TO ENCOURAGE 4169 02:12:25,001 --> 02:12:27,000 WELL-MANAGED, WELL-RUN, 4170 02:12:27,001 --> 02:12:28,000 WELL-CAPITALIZED FINANCIAL 4171 02:12:28,001 --> 02:12:30,000 INSTITUTIONS. 4172 02:12:30,001 --> 02:12:31,000 THIS BILL DOES THE OPPOSITE. 4173 02:12:31,001 --> 02:12:32,000 SUPPORT THE COMMON SENSE 4174 02:12:32,001 --> 02:12:34,000 GARRETT SUBSTITUTE. 4175 02:12:34,001 --> 02:12:35,000 WITH THAT, I YIELD BACK THE 4176 02:12:35,001 --> 02:12:38,000 BALANCE OF MY TIME. 4177 02:12:38,001 --> 02:12:39,000 GENTLEMAN FROM MASSACHUSETTS. 4178 02:12:39,001 --> 02:12:40,000 MR. FRANK: I YIELD MYSELF THREE 4179 02:12:40,001 --> 02:12:41,000 MINUTES. 4180 02:12:41,001 --> 02:12:43,000 FIRST, I HAD BEEN TAKEN -- 4181 02:12:43,001 --> 02:12:44,000 TAKING AS GIVEN THAT THE 4182 02:12:44,001 --> 02:12:45,000 PRESIDENT'S PRESS SECRETARY 4183 02:12:45,001 --> 02:12:46,000 SAID HE HAD SOME PROBLEMS WITH 4184 02:12:46,001 --> 02:12:48,000 THE BILL. 4185 02:12:48,001 --> 02:12:50,000 WE HAVE THE REPUBLICANS IN A 4186 02:12:50,001 --> 02:12:52,000 TEMPORARY MODE OF OBEDIENCE TO 4187 02:12:52,001 --> 02:12:53,000 THE PRESIDENT. 4188 02:12:53,001 --> 02:12:55,000 THEY THOUGHT IT WAS STILL GEORGE BUSH. 4189 02:12:55,001 --> 02:12:56,000 THEY WERE USED TO SNAPPING TO 4190 02:12:56,001 --> 02:12:58,000 ATTENTION FOR PRESIDENT BUSH. 4191 02:12:58,001 --> 02:13:02,000 A LIT -- A LITTLE OF THAT IS 4192 02:13:02,001 --> 02:13:04,000 LEFT OTHER FOR PRESIDENT OBAMA. 4193 02:13:04,001 --> 02:13:05,000 I THINK WE SHOULD HAVE BEEN 4194 02:13:05,001 --> 02:13:07,000 INDEPENDENT IN BOTH CASES. 4195 02:13:07,001 --> 02:13:08,000 MR. GIBBS SAID NOTHING NEGATIVE 4196 02:13:08,001 --> 02:13:10,000 ABOUT THIS HE WAS ASKED IF HE 4197 02:13:10,001 --> 02:13:12,000 WOULD SIGN THIS BILL HE S 4198 02:13:12,001 --> 02:13:14,000 THERE ARE SOME PIECES MOVING, 4199 02:13:14,001 --> 02:13:15,000 AND IT'LL GO THROUGH THE 4200 02:13:15,001 --> 02:13:17,000 SENATE. 4201 02:13:17,001 --> 02:13:22,000 HE DIDN'T FULLY ANSWER IT AND 4202 02:13:22,001 --> 02:13:24,000 GOT A FOLLOWUP ABOUT ARE THEY 4203 02:13:24,001 --> 02:13:27,000 TRYING TO AVOID SPILLING BEER 4204 02:13:27,001 --> 02:13:28,000 ON THE PRESIDENT'S CHILDREN'S 4205 02:13:28,001 --> 02:13:29,000 TABLE. 4206 02:13:29,001 --> 02:13:30,000 I WANT TO TALK ABOUT SAY ON 4207 02:13:30,001 --> 02:13:31,000 PAY. 4208 02:13:31,001 --> 02:13:33,000 HERE'S WHAT THE GENTLEMAN FROM 4209 02:13:33,001 --> 02:13:34,000 ALABAMA HAD TO SAY AS A 4210 02:13:34,001 --> 02:13:39,000 PREDICTION WHEN WE DEBATED THIS 4211 02:13:39,001 --> 02:13:40,000 IN MARCH OF 2007. 4212 02:13:40,001 --> 02:13:42,000 EVIDENCE THAT FREE MARKET 4213 02:13:42,001 --> 02:13:44,000 FORCES ARE ALREADY AT WORK TO 4214 02:13:44,001 --> 02:13:47,000 CORRECT ANY EXCESSES IN THE 4215 02:13:47,001 --> 02:13:48,000 SYSTEM SHOULD GIVE THIS 4216 02:13:48,001 --> 02:13:51,000 COMMITTEE REAL PAUSE BEFORE IT 4217 02:13:51,001 --> 02:13:52,000 SEEKS TO IMPOSE LEGISLATIVE 4218 02:13:52,001 --> 02:13:55,000 FIX THAT COULD, LIKE PAST 4219 02:13:55,001 --> 02:13:56,000 EFFORTS IN THIS AREA, HAVE 4220 02:13:56,001 --> 02:13:58,000 UNINTENDED AND NEGATIVE 4221 02:13:58,001 --> 02:13:59,000 CONSEQUENCES. 4222 02:13:59,001 --> 02:14:02,000 IN MARCH, WELL OVER TWO YEARS 4223 02:14:02,001 --> 02:14:04,000 AGO, THE GENTLEMAN FROM ALABAMA CONFIDEN 4224 02:14:04,001 --> 02:14:06,000 MARKET FORCES ARE ALREADY AT 4225 02:14:06,001 --> 02:14:07,000 WORK TO CORRECT PAY EXCESSES 4226 02:14:07,001 --> 02:14:09,000 SYSTEM OF APPARENT HE THE 4227 02:14:09,001 --> 02:14:10,000 GENTLEMAN FROM ALABAMA WAS 4228 02:14:10,001 --> 02:14:12,000 CORRECT, THERE HAVE BEEN NO PAY 4229 02:14:12,001 --> 02:14:15,000 EXCESSES FOR 2 1/2 YEARS, WE'VE 4230 02:14:15,001 --> 02:14:16,000 ALL BEEN HALLUCINATING. 4231 02:14:16,001 --> 02:14:17,000 HE WAS WRONG THEN, HE'S WRONG 4232 02:14:17,001 --> 02:14:19,000 NOW. 4233 02:14:19,001 --> 02:14:20,000 NOW THEY'VE HAD TO ACKNOWLEDGE 4234 02:14:20,001 --> 02:14:22,000 THE IMPORTANCE OF SAY ON PAY. 4235 02:14:22,001 --> 02:14:24,000 I ALSO WOULD REPEAT WHAT I SAY 4236 02:14:24,001 --> 02:14:25,000 -- WHEN I SAY THE REPUBLICANS 4237 02:14:25,001 --> 02:14:26,000 HAVE NO VERSION. 4238 02:14:26,001 --> 02:14:27,000 THEY WANT TO WEAKEN SAY ON PAY. 4239 02:14:27,001 --> 02:14:30,000 WITH REGARD TO THE BONUS 4240 02:14:30,001 --> 02:14:31,000 STRUCTURE THAT GIVES PEOPLE AN 4241 02:14:31,001 --> 02:14:34,000 INCENTIVE TO TAKE RISKS BECAUSE 4242 02:14:34,001 --> 02:14:35,000 THE DECISION MAKER IS 4243 02:14:35,001 --> 02:14:37,000 RISK-FREE, EVEN THOUGH THE 4244 02:14:37,001 --> 02:14:40,000 COMPANY IS AT RISK, THE 4245 02:14:40,001 --> 02:14:42,000 THERE HAS NOT BEEN IN ANY OF 4246 02:14:42,001 --> 02:14:43,000 OUR DELIBERATIONS ANY 4247 02:14:43,001 --> 02:14:45,000 REPUBLICAN APPROACH TO HOW YOU 4248 02:14:45,001 --> 02:14:47,000 DEAL WITH THE INCENTIVE TO TAKE 4249 02:14:47,001 --> 02:14:50,000 EXCESSIVE RISK NO WAY, NO HOW. 4250 02:14:50,001 --> 02:14:52,000 THEY HAVE RELUCTANTLY AGREED TO 4251 02:14:52,001 --> 02:14:53,000 SAY ON PAY, THEY WANT TO WATER 4252 02:14:53,001 --> 02:14:54,000 IT DOWN. 4253 02:14:54,001 --> 02:14:56,000 AS TO THE ARGUMENT THAT AN 4254 02:14:56,001 --> 02:14:57,000 ANNUAL VOTFOCUSES YOU 4255 02:14:57,001 --> 02:14:58,000 SH 4256 02:14:58,001 --> 02:15:00,000 THERE'S AN ANNUAL PROXY VOTE. 4257 02:15:00,001 --> 02:15:01,000 IT DOESN'T REQUIRE YOU, IF 4258 02:15:01,001 --> 02:15:03,000 YOU'VE GOT A THREE-Y 4259 02:15:03,001 --> 02:15:05,000 CONTRACT, THEN EVERY YEAR IT 4260 02:15:05,001 --> 02:15:07,000 WOULD STILL BE APPROVED SYSTEM 4261 02:15:07,001 --> 02:15:09,000 OF THIS NOTION THAT IT FOCUSES 4262 02:15:09,001 --> 02:15:11,000 ON A SHORTER TERM IS OF COURSE 4263 02:15:11,001 --> 02:15:12,000 WHOLLY INACCURATE. 4264 02:15:12,001 --> 02:15:14,000 IT SAYS YOU PUT IT ON THE PROXY 4265 02:15:14,001 --> 02:15:16,000 EVERY YEAR. 4266 02:15:16,001 --> 02:15:18,000 SOME HAVE ANNUAL CONTRACTS, 4267 02:15:18,001 --> 02:15:24,000 SOME BINALL, SOME TRI-ENALL. 4268 02:15:24,001 --> 02:15:26,000 IF THEY ARE TRIENNIAL, THAT'S 4269 02:15:26,001 --> 02:15:30,000 WHEN THEY VOTE. 4270 02:15:30,001 --> 02:15:31,000 WE CAN -- THE IS IS TWO, 4271 02:15:31,001 --> 02:15:34,000 SAY ON PAY AND HAVE THE FEDERAL 4272 02:15:34,001 --> 02:15:35,000 GOVERNMENT SAY NOTHING ABOUT 4273 02:15:35,001 --> 02:15:36,000 THE BONUS STRUCTURE. 4274 02:15:36,001 --> 02:15:39,000 THOSE WHO RECEIVED TARP MON 4275 02:15:39,001 --> 02:15:40,000 AND PAID IT BACK AND WANT TO DO 4276 02:15:40,001 --> 02:15:42,000 BONUSE 4277 02:15:42,001 --> 02:15:44,000 RISK WILL BE ENTIRELY FREE TO 4278 02:15:44,001 --> 02:15:45,000 DO SO UNDER THIS AMENDMENT. 4279 02:15:45,001 --> 02:15:47,000 THE SPEAKER PRO TEMPORE: THE 4280 02:15:47,001 --> 02:15:49,000 GENTLEMAN FROM NEW JERSEY. 4281 02:15:49,001 --> 02:15:51,000 MR. GARRETT: I'M PLEASED TO 4282 02:15:51,001 --> 02:15:53,000 YIELD THREE MINUTES TO A LEAD 4283 02:15:53,001 --> 02:15:55,000 FOR THE ADVOCATING FOR THOSE 4284 02:15:55,001 --> 02:15:56,000 PRIX MARKET PRINCIPLES AS GREAT 4285 02:15:56,001 --> 02:15:58,000 AS IT IS, THE GENTLEMAN FROM 4286 02:15:58,001 --> 02:16:00,000 TEXAS. THE SPEAKER PRO TEMPORE: THE 4287 02:16:00,001 --> 02:16:02,000 GENTLEMAN IS RECOGNIZED FOR THREE MINUTE 4288 02:16:02,001 --> 02:16:04,000 MR. HENSARLING: TO QUOTE THE 4289 02:16:04,001 --> 02:16:05,000 DISTINGUISHED CHAIRMAN OF THE 4290 02:16:05,001 --> 02:16:06,000 FINANCIAL SERVICES COMMITTEE, 4291 02:16:06,001 --> 02:16:07,000 HE WAS WRONG THEN, HE IS WRONG 4292 02:16:07,001 --> 02:16:09,000 NOW. 4293 02:16:09,001 --> 02:16:10,000 TO SAY THAT REPLICANS HAVE NO 4294 02:16:10,001 --> 02:16:13,000 PROGRAM. 4295 02:16:13,001 --> 02:16:14,000 TO DEAL WITH EXCESSIVE RISK AND 4296 02:16:14,001 --> 02:16:17,000 COMPENSATION PRACKAGES. 4297 02:16:17,001 --> 02:16:18,000 YES, WE DO HAVE A PROGRAM. 4298 02:16:18,001 --> 02:16:19,000 END THE BAILOUTS. 4299 02:16:19,001 --> 02:16:23,000 END THE TARP PROGRAM. 4300 02:16:23,001 --> 02:16:25,000 IF YOU QUIT BAILING OUT RISKY 4301 02:16:25,001 --> 02:16:28,000 BEHAVIOR, MR. SPEAKER, YOU 4302 02:16:28,001 --> 02:16:29,000 RECEIVE LESS RISKY BEHAVIOR. 4303 02:16:29,001 --> 02:16:33,000 SECOND OF ALL, THE GENTLEMAN'S 4304 02:16:33,001 --> 02:16:36,000 ALSO WRONG AS FAR AS THE 4305 02:16:36,001 --> 02:16:37,000 REPUBLICAN HAVING NO PROGRAM, 4306 02:16:37,001 --> 02:16:39,000 OTHERWISE WE WOULDN'T HAVE THE 4307 02:16:39,001 --> 02:16:40,000 SUBSTITUTE WE ARE DEBATING AT 4308 02:16:40,001 --> 02:16:41,000 THE MOMENT. 4309 02:16:41,001 --> 02:16:42,000 I ALSO HEARD THE GENTLEMAN FROM 4310 02:16:42,001 --> 02:16:44,000 NORTH CAROLINA EARLIER SAY, 4311 02:16:44,001 --> 02:16:45,000 WELL, WE NEED TO HAVE THE 4312 02:16:45,001 --> 02:16:47,000 UNDERLYING LEGISLATION BECAUSE 4313 02:16:47,001 --> 02:16:48,000 SHARE HOLD VERSE NO RIGHT TO 4314 02:16:48,001 --> 02:16:51,000 HAVE A SAY ON PAY. 4315 02:16:51,001 --> 02:16:53,000 WRONG AGAIN, MR. SPEAKER. 4316 02:16:53,001 --> 02:16:55,000 SHAREHOLDERS HAVE THE RIGHT. 4317 02:16:55,001 --> 02:16:59,000 THEY CAN HAVE A SAY ON PAY BY 4318 02:16:59,001 --> 02:17:00,000 ELECTING DIRECTORS WHO WILL 4319 02:17:00,001 --> 02:17:02,000 FIRE THE MANAGEMENT. 4320 02:17:02,001 --> 02:17:05,000 THEY HAVE A SAY TO INVEST ELSEWHERE. 4321 02:17:05,001 --> 02:17:06,000 THEIR BILL SAYS WE HAVE TO HAVE 4322 02:17:06,001 --> 02:17:08,000 MANDATORY, MANDATORY SAY ON 4323 02:17:08,001 --> 02:17:09,000 PAY. 4324 02:17:09,001 --> 02:17:10,000 NOW WE CAN DEBATE THE MERITS OF 4325 02:17:10,001 --> 02:17:11,000 IT, BUT THE GENTLEMAN FROM 4326 02:17:11,001 --> 02:17:14,000 NORTH ROLINA WAS SIMPLY, 4327 02:17:14,001 --> 02:17:15,000 CLEARLY, WRONG. 4328 02:17:15,001 --> 02:17:17,000 I ALSO WANT TO SAY TO MY 4329 02:17:17,001 --> 02:17:19,000 FRIENDS ON THE OTHER SIDE OF 4330 02:17:19,001 --> 02:17:20,000 THE AISLE, WHEN I LISTEN TO, 4331 02:17:20,001 --> 02:17:23,000 AGAIN, THE LODGE TAKE WE HAVE 4332 02:17:23,001 --> 02:17:28,000 TO HAVE A NEW FEDERAL 4333 02:17:28,001 --> 02:17:32,000 REGULATION THAT SOMEHOW WILL 4334 02:17:32,001 --> 02:17:33,000 REGULATE RISKY INCENTIVE PAY 4335 02:17:33,001 --> 02:17:36,000 STRUCTURES, AGAIN, ALL THE 4336 02:17:36,001 --> 02:17:37,000 RHETORIC HAS TO DO WITH WALL 4337 02:17:37,001 --> 02:17:39,000 STREET. 4338 02:17:39,001 --> 02:17:40,000 BUT GUESS WHAT, LEAD READ THE 4339 02:17:40,001 --> 02:17:41,000 BILL. 4340 02:17:41,001 --> 02:17:43,000 FINANCIAL INSTITUTIONS. 4341 02:17:43,001 --> 02:17:47,000 CHRYSLER AND G.M. HAVE BEEN FOUND TO BE FINANCIAL 4342 02:17:47,001 --> 02:17:48,000 INSTITUTIONS. 4343 02:17:48,001 --> 02:17:51,000 WE'VE HAD TESTIMONY, WHEN THEY 4344 02:17:51,001 --> 02:17:53,000 CAME LOOKING FOR THE TAXPAYER 4345 02:17:53,001 --> 02:17:55,000 BAILOUT, THAT THE U.A.W., THE 4346 02:17:55,001 --> 02:17:57,000 UNITED AUTO WORKERS, HAD A PAY 4347 02:17:57,001 --> 02:17:59,000 STRUCTURE THAT WAS 40% HIGHER 4348 02:17:59,001 --> 02:18:01,000 THAN THEIR COMPETITORS. 4349 02:18:01,001 --> 02:18:04,000 SO NOW WE HAVE A LAW HERE THAT 4350 02:18:04,001 --> 02:18:06,000 WILL ALLOW FEDERAL REGULATORS, 4351 02:18:06,001 --> 02:18:08,000 I ASSUME TO COME IN AND SAY, 4352 02:18:08,001 --> 02:18:09,000 FOLKS AT THE U.A.W., YOUR 4353 02:18:09,001 --> 02:18:11,000 INCENTIVE STRUCTURE IS 4354 02:18:11,001 --> 02:18:13,000 CONTRIBUTING TO THE DEMISE OF 4355 02:18:13,001 --> 02:18:14,000 CHRYSLER AND G.M. 4356 02:18:14,001 --> 02:18:15,000 WE HAVE TO COME DOWN AND TAKE 4357 02:18:15,001 --> 02:18:17,000 DOWN YOUR WAGE RATES. 4358 02:18:17,001 --> 02:18:19,000 READ THE BILL, MR. SPEAKER. 4359 02:18:19,001 --> 02:18:22,000 THIS ISN'T RESTRICTED TO THE TOP EXECUTIVES. 4360 02:18:22,001 --> 02:18:23,000 IF ANYBODY BELIEVES THIS IS 4361 02:18:23,001 --> 02:18:26,000 RESTRICTED TO WALL STREET, THEN 4362 02:18:26,001 --> 02:18:28,000 WHY DID CHRYSLER, WHY DID G.M. 4363 02:18:28,001 --> 02:18:31,000 GET COVERAGE UNDER A STATUTE 4364 02:18:31,001 --> 02:18:34,000 THAT DESCRIBED FINANCIAL INSTITUTIONS? 4365 02:18:34,001 --> 02:18:35,000 SO, MR. SPEAKER, WHAT WE HAVE 4366 02:18:35,001 --> 02:18:37,000 IS A FEDERAL GOVERNMENT THAT IS 4367 02:18:37,001 --> 02:18:38,000 NOW TAKING OVER OUR AUTO 4368 02:18:38,001 --> 02:18:41,000 COMPANY, TELLING US WHAT KIND 4369 02:18:41,001 --> 02:18:42,000 OF AUTOMOBILES WE CAN DRIVE. 4370 02:18:42,001 --> 02:18:44,000 TAKING OVER OUR MORTGAGE 4371 02:18:44,001 --> 02:18:46,000 COMPANIES, TELLING US WHETHER 4372 02:18:46,001 --> 02:18:47,000 OR NOT WE CAN ENJOY A MORTGAGE. 4373 02:18:47,001 --> 02:18:49,000 THEY NOW WANT TO CONTROL ACCESS 4374 02:18:49,001 --> 02:18:50,000 TO OUR FAMILY DOCTOR. 4375 02:18:50,001 --> 02:18:53,000 NOW THEY WANT TO DECIDE FOR 4376 02:18:53,001 --> 02:18:54,000 MILLIONS AND MILLIONS OF 4377 02:18:54,001 --> 02:18:57,000 AMERICANS WHETHER OR NOT THEY 4378 02:18:57,001 --> 02:18:58,000 CAN EVER RECEIVE A SALES 4379 02:18:58,001 --> 02:19:00,000 COMMISSION OR CHRISTMAS BONUS 4380 02:19:00,001 --> 02:19:01,000 THAT THEY MAY VIEW AS TOO 4381 02:19:01,001 --> 02:19:08,000 RISKY. 4382 02:19:08,001 --> 02:19:12,000 WHAT IS RISKY IS TOO MUCH PO 4383 02:19:12,001 --> 02:19:14,000 LITIZATION OF THE ECONOMY 4384 02:19:14,001 --> 02:19:15,000 PLITIZATION OF OUR ECONOMY, TOO 4385 02:19:15,001 --> 02:19:16,000 MUCH GOVERNMENT CONTROL OF THE 4386 02:19:16,001 --> 02:19:19,000 ECONOMY. 4387 02:19:19,001 --> 02:19:20,000 THE SPEAKER PRO TEMPORE: THE 4388 02:19:20,001 --> 02:19:21,000 GENTLEMAN FROM MASSACHUSETTS. 4389 02:19:21,001 --> 02:19:23,000 MR. FRANK: BRIEFLY, THE 4390 02:19:23,001 --> 02:19:24,000 GENTLEMAN TALKED ABOUT THE 4391 02:19:24,001 --> 02:19:25,000 BAILOUT OF GENERAL MOTORS AND 4392 02:19:25,001 --> 02:19:27,000 CHRYSLER, WHICH WAS DONE BY THE 4393 02:19:27,001 --> 02:19:28,000 BUSH ADMINISTRATION. 4394 02:19:28,001 --> 02:19:31,000 THE FACT THAT THE BUSH 4395 02:19:31,001 --> 02:19:34,000 ADMINISTRATION DECIDED TO HAVE 4396 02:19:34,001 --> 02:19:35,000 A BAILOUT OF G.M. AND 4397 02:19:35,001 --> 02:19:36,000 IS NOT BINDING ON THIS. 4398 02:19:36,001 --> 02:19:38,000 I YIELD THREE MINUTES TO THE 4399 02:19:38,001 --> 02:19:39,000 GENTLEMAN FROM GEORGIA, MR. 4400 02:19:39,001 --> 02:19:40,000 SCOTT. 4401 02:19:40,001 --> 02:19:42,000 THE SPEAKER PRO TEMPORE: THE 4402 02:19:42,001 --> 02:19:43,000 GENTLEMAN IS RECOGNIZED FOR 4403 02:19:43,001 --> 02:19:45,000 THREE MINUTES. MR. SCOTT: THANK YOU, MR. 4404 02:19:45,001 --> 02:19:46,000 SPEAKER. 4405 02:19:46,001 --> 02:19:48,000 THANK YOU, MR. CHAIRMAN. 4406 02:19:48,001 --> 02:19:49,000 LET ME SAY THIS, MY GOOD FRIEND 4407 02:19:49,001 --> 02:19:51,000 FROM NEW JERSEY'S MR. GARRETT 4408 02:19:51,001 --> 02:19:52,000 IS NOT LIKE HAVING A SAY ON 4409 02:19:52,001 --> 02:19:54,000 PAY, BUT MAYBE A LITTLE 4410 02:19:54,001 --> 02:19:55,000 WHISPER. 4411 02:19:55,001 --> 02:19:57,000 MR. GARRETT'S AMENDMENT GOES AT 4412 02:19:57,001 --> 02:19:58,000 THE HEART AND SOUL OF THIS 4413 02:19:58,001 --> 02:20:00,000 BILL. 4414 02:20:00,001 --> 02:20:02,000 AND THAT IS THIS -- THAT WE 4415 02:20:02,001 --> 02:20:05,000 MUST HAVE A VERY STRONG, 4416 02:20:05,001 --> 02:20:07,000 DEFINITIVE SAY-SO FROM THE 4417 02:20:07,001 --> 02:20:08,000 SHAREHOLDERS. 4418 02:20:08,001 --> 02:20:09,000 NOW, MR. HENSARLING, THE 4419 02:20:09,001 --> 02:20:11,000 GENTLEMAN FROM TEXAS, POINTED 4420 02:20:11,001 --> 02:20:12,000 OUT ABOUT THE BAILOUTS AND HOW 4421 02:20:12,001 --> 02:20:17,000 WE'RE TO PREVENT THIS. 4422 02:20:17,001 --> 02:20:20,000 THIS MEASURE THAT WE HAVE IS 4423 02:20:20,001 --> 02:20:23,000 DESIGNED TO PREVENT THIS SAME 4424 02:20:23,001 --> 02:20:25,000 SITUATION FROM HAPPENING AGAIN. 4425 02:20:25,001 --> 02:20:27,000 IN SECTION 4, AS HE POINTED 4426 02:20:27,001 --> 02:20:29,000 OUT, THE REASOWE NEED SECTION 4427 02:20:29,001 --> 02:20:31,000 4, AND LET US REMBER WHAT 4428 02:20:31,001 --> 02:20:33,000 SECTION 4 IS, SECTION 4 AGAIN 4429 02:20:33,001 --> 02:20:35,000 IS THE HEART AND SOUL OF THIS. 4430 02:20:35,001 --> 02:20:40,000 BECAUSE IT SPELLS OUT HOW WE'RE 4431 02:20:40,001 --> 02:20:42,000 GOING TO GO ABOUT PREVENTING 4432 02:20:42,001 --> 02:20:44,000 BONUSES TIED TO INCENTIVES THAT 4433 02:20:44,001 --> 02:20:45,000 HAVE DRAGGED DOWN THIS ECONOMY 4434 02:20:45,001 --> 02:20:47,000 AND BROUGHT US INTO THE 4435 02:20:47,001 --> 02:20:50,000 FINANCIAL SITUATION WE HAVE. 4436 02:20:50,001 --> 02:20:51,000 WE E-- HE QUESTIONS THE 4437 02:20:51,001 --> 02:20:53,000 REGULATORS. 4438 02:20:53,001 --> 02:20:55,000 MAYBE THE AMERICAN PEOPLE NEED TO KNOW WHO WE'RE TALKING 4439 02:20:55,001 --> 02:20:56,000 ABOUT. 4440 02:20:56,001 --> 02:20:58,000 WE'RE NOT TALKING ABOUT 4441 02:20:58,001 --> 02:20:59,000 SOMEBODY OVER HERE 4442 02:20:59,001 --> 02:21:00,000 INEXPERIENCED, WE'RE GOING TO 4443 02:21:00,001 --> 02:21:01,000 SET UP. 4444 02:21:01,001 --> 02:21:02,000 WHO ARE THESE REGULATORS? 4445 02:21:02,001 --> 02:21:04,000 THESE REGULATORS ARE THE 4446 02:21:04,001 --> 02:21:05,000 FEDERAL RESERVE BANK, WHOSE 4447 02:21:05,001 --> 02:21:06,000 DUTY IT IS TO REGULATE OUR 4448 02:21:06,001 --> 02:21:09,000 ECONOMY. 4449 02:21:09,001 --> 02:21:13,000 S THE OFFICE OF THE COMPTROLLER 4450 02:21:13,001 --> 02:21:15,000 CURRENCY, THE FEDERAL DEPOSIT 4451 02:21:15,001 --> 02:21:17,000 INSURANCE CORPORION WHO HAS 4452 02:21:17,001 --> 02:21:20,000 TO GO IN AFTERWARDS AND FIX 4453 02:21:20,001 --> 02:21:21,000 BANKS AND DECLARE BANKRUPTCY OF 4454 02:21:21,001 --> 02:21:24,000 BANKS. 4455 02:21:24,001 --> 02:21:25,000 THE SECURITIES AND EXCHANGE 4456 02:21:25,001 --> 02:21:27,000 COMMISSION, THE FEDERAL HOUSING 4457 02:21:27,001 --> 02:21:28,000 AGENCY. 4458 02:21:28,001 --> 02:21:30,000 WHAT IS THIS AWESOME POWER 4459 02:21:30,001 --> 02:21:32,000 WE'RE GIVING TO THEM? 4460 02:21:32,001 --> 02:21:34,000 IT'S SPELLED OUT VERY SIMPLY. 4461 02:21:34,001 --> 02:21:40,000 WHAT WE WANT THEM TO DO IS 4462 02:21:40,001 --> 02:21:41,000 SIMPLY -- WE WILL REQUIRE THOSE 4463 02:21:41,001 --> 02:21:42,000 REGULATORS TO PROHIBIT CERTAIN 4464 02:21:42,001 --> 02:21:46,000 COMPENSATION STRUCTURES AT 4465 02:21:46,001 --> 02:21:48,000 LARGE FINANCIAL INSTITUTIONS, 4466 02:21:48,001 --> 02:21:51,000 IF THEY COULD HAVE A SERIOUS 4467 02:21:51,001 --> 02:21:52,000 ADVERSE EFFECT ON FINANCIAL 4468 02:21:52,001 --> 02:21:53,000 STABILITY. 4469 02:21:53,001 --> 02:21:55,000 INSTABILITY. 4470 02:21:55,001 --> 02:21:57,000 THAT'S WHAT WE'RE TRYING TO DO. 4471 02:21:57,001 --> 02:22:00,000 WE'RE TRYING TO PREVENT THE 4472 02:22:00,001 --> 02:22:01,000 SAME THING FROM HAPPENING 4473 02:22:01,001 --> 02:22:02,000 AGAIN. 4474 02:22:02,001 --> 02:22:05,000 SECONDLY, WE WILL REQUIRE 4475 02:22:05,001 --> 02:22:07,000 FEDERAL REGULATIONS TO WRITE 4476 02:22:07,001 --> 02:22:10,000 RULES REQUIRING FINANCIAL 4477 02:22:10,001 --> 02:22:11,000 STEWINGS TO SIMPLY DISCLOSE 4478 02:22:11,001 --> 02:22:14,000 THEIR INCENTIVE BASED PAY 4479 02:22:14,001 --> 02:22:16,000 PLANS. 4480 02:22:16,001 --> 02:22:17,000 INCENTIVES THAT ARE TIED TO 4481 02:22:17,001 --> 02:22:18,000 RISKY BEHAVIOR. 4482 02:22:18,001 --> 02:22:20,000 MR. SPEAKER, WHAT HAS HAPPENED 4483 02:22:20,001 --> 02:22:21,000 THAT BROUGHT THIS ON, HERE'S 4484 02:22:21,001 --> 02:22:22,000 THE SIMPLE CASE. 4485 02:22:22,001 --> 02:22:24,000 A.I.G. 4486 02:22:24,001 --> 02:22:27,000 THEY WENT AND SET UP A LITTLE 4487 02:22:27,001 --> 02:22:29,000 DEPARTMENT WITH 430 EMPLOYEES, 4488 02:22:29,001 --> 02:22:32,000 OUT OF CONNECTICUT AND OVER 4489 02:22:32,001 --> 02:22:35,000 INTO EUROPE, AND ASSIGNED 4490 02:22:35,001 --> 02:22:37,000 RISKY BEHAVIOR AND ASSIGN RED 4491 02:22:37,001 --> 02:22:39,000 WARDS TO THAT RISKY BEHAVIOR 4492 02:22:39,001 --> 02:22:41,000 FOR THEIR BONUSES. 4493 02:22:41,001 --> 02:22:42,000 THE COMPANY CAME DOWN. 4494 02:22:42,001 --> 02:22:45,000 WE HAD TO BAIL THEM OUT AND YOU 4495 02:22:45,001 --> 02:22:46,000 KNOW WHO HAD TO PAY FOR THOSE 4496 02:22:46,001 --> 02:22:47,000 BONUSES? 4497 02:22:47,001 --> 02:22:49,000 THE TAXPAYERS. 4498 02:22:49,001 --> 02:22:50,000 THIS BILL IS DESIGNED TO 4499 02:22:50,001 --> 02:22:51,000 PREVENT THAT. 4500 02:22:51,001 --> 02:22:53,000 THE SPEAKER PRO TEMPORE: THE 4501 02:22:53,001 --> 02:22:54,000 GENTLEMAN'S TIME HAS EXPIRED. 4502 02:22:54,001 --> 02:22:56,000 MR. SCOTT: THIS AMENDMENT IS 4503 02:22:56,001 --> 02:22:57,000 DESIGNED TO GUT IT. 4504 02:22:57,001 --> 02:22:59,000 I VOTE WE VOTE DOWN THE 4505 02:22:59,001 --> 02:23:00,000 AMENDMENT. 4506 02:23:00,001 --> 02:23:01,000 THE SPEAKER PRO TEMPORE: THE 4507 02:23:01,001 --> 02:23:02,000 GENTLEMAN FROM NEW JERSEY. 4508 02:23:02,001 --> 02:23:04,000 MR. GARRETT: I YIELD TWO AND A 4509 02:23:04,001 --> 02:23:05,000 HALF MINUTES TO THE RANKING 4510 02:23:05,001 --> 02:23:07,000 MEMBER. 4511 02:23:07,001 --> 02:23:08,000 MR. BACHUS: WE CONTINUE TO HEAR 4512 02:23:08,001 --> 02:23:09,000 THE MANTRA THAT THIS IS ALL 4513 02:23:09,001 --> 02:23:11,000 ABOUT SHAREHOLDERS AND 4514 02:23:11,001 --> 02:23:12,000 EMPOWERING THEM WITH RIGHTS, 4515 02:23:12,001 --> 02:23:15,000 BUT THEN YOU SORT OF GIVE THEM 4516 02:23:15,001 --> 02:23:17,000 A CRUMB. 4517 02:23:17,001 --> 02:23:18,000 YOU GIVE THEM A NONBINDING 4518 02:23:18,001 --> 02:23:21,000 RIGHT TO HAVE A VOTE ON PAY AND 4519 02:23:21,001 --> 02:23:23,000 THEN YOU FOLLOW THAT UP WITH 12 4520 02:23:23,001 --> 02:23:26,000 OR 14 PAGES WHERE YOU GIVE THE 4521 02:23:26,001 --> 02:23:28,000 GOVERNMENT ALL SORTS OF POWERS. 4522 02:23:28,001 --> 02:23:31,000 POWERS TO REGULATE PAY, 4523 02:23:31,001 --> 02:23:32,000 BONUSES, AND YOU DO THAT, YOU 4524 02:23:32,001 --> 02:23:36,000 GIVE THE SHAREHOLDERS THE RIGHT 4525 02:23:36,001 --> 02:23:40,000 TO HAVE A NONBINDING SAY ON THE 4526 02:23:40,001 --> 02:23:42,000 TOP EXECUTIVES BUT THEN YOU 4527 02:23:42,001 --> 02:23:43,000 GIVE THE GOVERNMENT IN THE BACK 4528 02:23:43,001 --> 02:23:45,000 DOOR THE LAST 15 PAGES OF THE 4529 02:23:45,001 --> 02:23:46,000 BILL, 14 PAGES. 4530 02:23:46,001 --> 02:23:48,000 YOU GIVE THEM THE RIGHT TO SET 4531 02:23:48,001 --> 02:23:49,000 THE PAY FOR EVERY RANK AND FILE 4532 02:23:49,001 --> 02:23:51,000 EMPLOYEE. 4533 02:23:51,001 --> 02:23:55,000 AND YOU ALSO DO IT UNDER THE 4534 02:23:55,001 --> 02:23:57,000 GUISE THAT THESE COMPANIES MAY 4535 02:23:57,001 --> 02:23:59,000 ARE SO BIG AND SO SYSTEMICALLY 4536 02:23:59,001 --> 02:24:01,000 IMPORTANT THAT THEY MAY FAIL. AND THAT'S RIGHT. 4537 02:24:01,001 --> 02:24:03,000 THEY MAY. 4538 02:24:03,001 --> 02:24:04,000 BUT THEN YOU DO ALL THE OTHER 4539 02:24:04,001 --> 02:24:05,000 99% OF THE COMPANIES THAT 4540 02:24:05,001 --> 02:24:10,000 AREN'T GOING TO FAIL. 4541 02:24:10,001 --> 02:24:12,000 NOW, CHAIRMAN FRANK LAST MONTH 4542 02:24:12,001 --> 02:24:19,000 INVITED I THINK ONE OF HIS 4543 02:24:19,001 --> 02:24:24,000 FAVORITE WITNESSES, MEL NINNO 4544 02:24:24,001 --> 02:24:26,000 TO TESTIFY ON HIS SAVE FOR PAY 4545 02:24:26,001 --> 02:24:27,000 BILL. 4546 02:24:27,001 --> 02:24:28,000 CAME AND TESTIFIED FAVORABLY. 4547 02:24:28,001 --> 02:24:29,000 THEN HE ADDED THIS GOVERNMENT 4548 02:24:29,001 --> 02:24:31,000 SAY ON PAY, WHERE THE 4549 02:24:31,001 --> 02:24:32,000 GOVERNMENT WILL MAKE THE 4550 02:24:32,001 --> 02:24:34,000 DECISIONS. 4551 02:24:34,001 --> 02:24:36,000 WELL, JUST YESTERDAY WE HAD 4552 02:24:36,001 --> 02:24:37,000 WHAT WE CALL A MAN BITES DOG 4553 02:24:37,001 --> 02:24:39,000 MOMENT. 4554 02:24:39,001 --> 02:24:40,000 SHE CAME OUT AND SHE POSTED 4555 02:24:40,001 --> 02:24:43,000 THIS ON HER WEBSITE. 4556 02:24:43,001 --> 02:24:45,000 SHE'S NOW OPPOSES -- VEHEMENTLY 4557 02:24:45,001 --> 02:24:47,000 OPPOSES SECTION 4 OF THE BILL, 4558 02:24:47,001 --> 02:24:50,000 THE GOVERNMENT SAY ON PAY. 4559 02:24:50,001 --> 02:24:51,000 SHE STATES THE STANDARD IS 4560 02:24:51,001 --> 02:24:52,000 UNWORKABLE. 4561 02:24:52,001 --> 02:24:54,000 WHAT DOES INAPPROPRIATE MEAN? 4562 02:24:54,001 --> 02:24:58,000 BOY, I AGREE. 4563 02:24:58,001 --> 02:25:00,000 DECIDING WHATEVER BONUS O 4564 02:25:00,001 --> 02:25:02,000 INCENTIVE PAY OR EVERY 4565 02:25:02,001 --> 02:25:04,000 COMMISSION IS INAPPROPRIATE. 4566 02:25:04,001 --> 02:25:06,000 SHE ASKED THE SAME QUESTION 4567 02:25:06,001 --> 02:25:08,000 THAT WE ASKED, WHO IS IN THE 4568 02:25:08,001 --> 02:25:11,000 BEST POSITION TO EVALUATE AND 4569 02:25:11,001 --> 02:25:12,000 RESPOND TO BADLY DESIGNED PAY 4570 02:25:12,001 --> 02:25:13,000 PACKAGES? 4571 02:25:13,001 --> 02:25:14,000 HERE'S HER ANSWER, ENTIRE 4572 02:25:14,001 --> 02:25:15,000 ANSWER. 4573 02:25:15,001 --> 02:25:17,000 I HAVE THE UTMOST RESPECT FOR 4574 02:25:17,001 --> 02:25:18,000 POLITICIANS AND BUREAUCRATS BUT 4575 02:25:18,001 --> 02:25:20,000 I ALSO RECOGNIZE THAT THERE ARE 4576 02:25:20,001 --> 02:25:22,000 LIMITS. 4577 02:25:22,001 --> 02:25:23,000 THE GOVERNMENT SHOULD NOT 4578 02:25:23,001 --> 02:25:25,000 MICROMANAGE PAY. 4579 02:25:25,001 --> 02:25:27,000 AND THAT IS WHAT THIS DEBATE IS 4580 02:25:27,001 --> 02:25:28,000 ABOUT. 4581 02:25:28,001 --> 02:25:30,000 GOING TO LET THE GOVERNMENT DO 4582 02:25:30,001 --> 02:25:33,000 IT, ARE YOU GOING TO LET THE 4583 02:25:33,001 --> 02:25:34,000 BOARD OF DIRECTORS DO IT, ARE 4584 02:25:34,001 --> 02:25:36,000 YOU GOING TO LET THE 4585 02:25:36,001 --> 02:25:37,000 SHAREHOLDERS DO IT? 4586 02:25:37,001 --> 02:25:40,000 OBVIOUSLY YOU GO TO THE DEFAULT 4587 02:25:40,001 --> 02:25:41,000 POSITION THAT YOU WENT TO ON 4588 02:25:41,001 --> 02:25:43,000 HEALTH CARE, CAP AND TRADE AND 4589 02:25:43,001 --> 02:25:44,000 NOW FINANCIAL SERVICES. 4590 02:25:44,001 --> 02:25:45,000 LET THE GOVERNMENT DECIDE. 4591 02:25:45,001 --> 02:25:47,000 THE SPKER PRO TEMPORE: THE 4592 02:25:47,001 --> 02:25:48,000 GENTLEMAN'S TIME HAS EXPIRED. 4593 02:25:48,001 --> 02:25:49,000 THE GENTLEMAN FROM 4594 02:25:49,001 --> 02:25:50,000 MASSACHUSETTS. 4595 02:25:50,001 --> 02:25:52,000 MR. FRANK: MR. SPEAKER, I'LL 4596 02:25:52,001 --> 02:25:53,000 TAKE 30 SECONDS TO SAY 4597 02:25:53,001 --> 02:25:54,000 APPARENTLYHE GENTL 4598 02:25:54,001 --> 02:25:56,000 ALABAMA ONLY HAS WITNESSES IF 4599 02:25:56,001 --> 02:25:57,000 HE'LL SURE HE'LL AGREE WITH 4600 02:25:57,001 --> 02:25:58,000 EVERYTHING HE SAID. 4601 02:25:58,001 --> 02:26:00,000 HE SAID IT'S MAN BITES DOG 4602 02:26:00,001 --> 02:26:01,000 BECAUSE WE HAD A WITNESS THAT 4603 02:26:01,001 --> 02:26:02,000 WE DISAGREED ON SOME AND 4604 02:26:02,001 --> 02:26:04,000 DISAGREED ON OTHERS. 4605 02:26:04,001 --> 02:26:05,000 APPARENTLY HAVING A WITNESS 4606 02:26:05,001 --> 02:26:06,000 LIKE THIS IS NEW TO THE 4607 02:26:06,001 --> 02:26:07,000 GENTLEMAN FROM ALABAMA. 4608 02:26:07,001 --> 02:26:09,000 I'LL CONTINUE TO INVITE 4609 02:26:09,001 --> 02:26:11,000 WITNESSES WHO I THINK IS USEFUL 4610 02:26:11,001 --> 02:26:13,000 AGREE WITH THEM. 4611 02:26:13,001 --> 02:26:14,000 AND I SAY THAT THE GENTLEMAN 4612 02:26:14,001 --> 02:26:15,000 FROM ALABAMA'S SAY ON THIS IS 4613 02:26:15,001 --> 02:26:16,000 AGAINST PAY. 4614 02:26:16,001 --> 02:26:18,000 IT WAS ENOUGH FOR HIM TO SAY 4615 02:26:18,001 --> 02:26:20,000 THAT IT WAS GOING TO CAUSE REAL 4616 02:26:20,001 --> 02:26:23,000 PROBLEMS 2 1/2 YEARS AGO. 4617 02:26:23,001 --> 02:26:25,000 I REPEAT HIS VIEW ON PAY IN 4618 02:26:25,001 --> 02:26:26,000 MARCH OF 2007. 4619 02:26:26,001 --> 02:26:28,000 EVIDENCE THAT FREE MARKET 4620 02:26:28,001 --> 02:26:30,000 FORCES ARE ALREADY AT WORK TO 4621 02:26:30,001 --> 02:26:32,000 CREATE ANY EXCESSES SHOULD GIVE 4622 02:26:32,001 --> 02:26:34,000 THIS COMMITTEE PAUSE BUT SEEKS 4623 02:26:34,001 --> 02:26:35,000 TO OPPOSE THE LEGISLATIVE FIX 4624 02:26:35,001 --> 02:26:37,000 THAT COULD HAVE UNINTENDED AND 4625 02:26:37,001 --> 02:26:38,000 NEGATIVE CONSEQUENCES. 4626 02:26:38,001 --> 02:26:39,000 HE WAS TALKING ABOUT THAT 4627 02:26:39,001 --> 02:26:40,000 INSIGNIFICANT PAY ON PAY HE'S 4628 02:26:40,001 --> 02:26:42,000 NOW TALKING ABOUT. 4629 02:26:42,001 --> 02:26:43,000 I YIELD A MINUTE TO THE 4630 02:26:43,001 --> 02:26:44,000 GENTLEMAN FROM INDIANA. 4631 02:26:44,001 --> 02:26:46,000 THE SPEAKER PRO TEMPORE: THE 4632 02:26:46,001 --> 02:26:47,000 GENTLEMAN IS RECOGNIZED FOR ONE 4633 02:26:47,001 --> 02:26:48,000 MINUTE. 4634 02:26:48,001 --> 02:26:49,000 MR. CARSON: MR. SPEAKER, TODAY 4635 02:26:49,001 --> 02:26:51,000 I'VE HEARD A NUMBER OF 4636 02:26:51,001 --> 02:26:52,000 INTERESTING ACCUSATIONS ABOUT 4637 02:26:52,001 --> 02:26:54,000 WHAT THIS LEGISLATION WOULD DO IF PASSED. 4638 02:26:54,001 --> 02:26:56,000 I HAVE HEARD THAT THE 4639 02:26:56,001 --> 02:26:58,000 GOVERNMENT WILL SIT IN BOARD 4640 02:26:58,001 --> 02:26:59,000 ROOMS AND SET CAPS ON PAY. 4641 02:26:59,001 --> 02:27:01,000 ARE ACUSTOMED TO HEARING THESE 4642 02:27:01,001 --> 02:27:02,000 KINDS OF FALSE ARGUMENTS FROM 4643 02:27:02,001 --> 02:27:04,000 THOSE WHO WISH TO MAINTAIN THE 4644 02:27:04,001 --> 02:27:05,000 STATUS QUO. 4645 02:27:05,001 --> 02:27:07,000 MY CONSTITUENTS SENT ME TO 4646 02:27:07,001 --> 02:27:09,000 CONGRESS TO MOVE BEYOND THE 4647 02:27:09,001 --> 02:27:11,000 STATUS QUO OF A BROKEN 4648 02:27:11,001 --> 02:27:12,000 FINANCIAL REGULATORY STRUCTURE. 4649 02:27:12,001 --> 02:27:14,000 THEY SENT ME TO ENACT 4650 02:27:14,001 --> 02:27:15,000 COMMONSENSE REFORMS LIKE THOSE 4651 02:27:15,001 --> 02:27:16,000 INCLUDED IN THE LEGISLATION 4652 02:27:16,001 --> 02:27:18,000 WE'RE DISCUSSING TODAY, MR. 4653 02:27:18,001 --> 02:27:19,000 SPEAKER. 4654 02:27:19,001 --> 02:27:21,000 THEY KNOW THAT AVERAGE FAMILIES 4655 02:27:21,001 --> 02:27:22,000 HAVE CUT BACK, WORKED LONGER 4656 02:27:22,001 --> 02:27:24,000 HOURS AND HAVE SAVED THEIR 4657 02:27:24,001 --> 02:27:26,000 MONEY DURING THIS CRISIS. 4658 02:27:26,001 --> 02:27:27,000 MEANWHILE, WALL STREET EXECS 4659 02:27:27,001 --> 02:27:29,000 HAVE ACTED IRRESPONSIBLY AND 4660 02:27:29,001 --> 02:27:30,000 HAVE ENJOYED LAVISH 4661 02:27:30,001 --> 02:27:32,000 COMPENSATION PACKAGES THAT HAVE 4662 02:27:32,001 --> 02:27:33,000 ALLOWED THEIR COMPANIES TO 4663 02:27:33,001 --> 02:27:34,000 FAIL. 4664 02:27:34,001 --> 02:27:36,000 SO I'M PROUD TO BE AN ORIGINAL 4665 02:27:36,001 --> 02:27:37,000 CO-SPONSOR OF THIS BILL, THAT 4666 02:27:37,001 --> 02:27:38,000 WE WILL BRING A NEW ERA OF 4667 02:27:38,001 --> 02:27:40,000 RESPONSIBILITY ON WALL STREET. 4668 02:27:40,001 --> 02:27:41,000 I ENCOURAGE MY COLLEAGUES TO DO 4669 02:27:41,001 --> 02:27:42,000 THE SAME. 4670 02:27:42,001 --> 02:27:43,000 I YIELD BACK. 4671 02:27:43,001 --> 02:27:44,000 THE SPEAKER PRO TEMPORE: THE 4672 02:27:44,001 --> 02:27:46,000 GENTLEMAN YIELDS BACK THE 4673 02:27:46,001 --> 02:27:47,000 BALANCE OF HIS TIME. 4674 02:27:47,001 --> 02:27:48,000 THE GENTLEMAN FROM NEW JERSEY. 4675 02:27:48,001 --> 02:27:50,000 MR. GARRETT: CAN YOU TELL US 4676 02:27:50,001 --> 02:27:52,000 HOW MUCH TIME IS REMAING AND WHO WILL BE CLOSING? 4677 02:27:52,001 --> 02:27:54,000 THE SPEAKER PRO TEMPORE: THE 4678 02:27:54,001 --> 02:27:55,000 GENTLEMAN FROM MASSACHUSETTS 4679 02:27:55,001 --> 02:27:56,000 WILL BE CLOSING. 4680 02:27:56,001 --> 02:27:58,000 THE GENTLEMAN FROM NEW JERSEY 4681 02:27:58,001 --> 02:27:59,000 HAS THREE MINUTES REMAING. 4682 02:27:59,001 --> 02:28:01,000 THE GENTLEMAN FROM MASSACHUSETTS HAS 3 1/4 4683 02:28:01,001 --> 02:28:03,000 MINUTES REMAING. 4684 02:28:03,001 --> 02:28:04,000 MR. GARRETT: PARLIAMENTARY 4685 02:28:04,001 --> 02:28:05,000 INQUIRY. 4686 02:28:05,001 --> 02:28:06,000 AS FAR AS THE PROCEDURE WHO 4687 02:28:06,001 --> 02:28:08,000 CLOSES, IS IT NOT THE AUTHOR OF 4688 02:28:08,001 --> 02:28:09,000 THE AMENDMENT? 4689 02:28:09,001 --> 02:28:10,000 THE SPEAKER PRO TEMPORE: A 4690 02:28:10,001 --> 02:28:11,000 MANAGER IN OPPOSITION HAS THE 4691 02:28:11,001 --> 02:28:13,000 RIGHT TO CLOSE. 4692 02:28:13,001 --> 02:28:14,000 MR. GARRETT: WAS THAT W WE -- 4693 02:28:14,001 --> 02:28:15,000 MR. FRANK: PARLIAMENTARY 4694 02:28:15,001 --> 02:28:17,000 INQUIRY. 4695 02:28:17,001 --> 02:28:18,000 THE SPEAKER PRO TEMPORE: THE 4696 02:28:18,001 --> 02:28:20,000 GENTLEMAN WILL STATE HIS 4697 02:28:20,001 --> 02:28:22,000 MR. FRANK: DID THE GENTLEMAN 4698 02:28:22,001 --> 02:28:23,000 NOT NOTICE THAT MR. PRICE HAD 4699 02:28:23,001 --> 02:28:27,000 THE RIGHT TO CLOSE BECAUSE HE 4700 02:28:27,001 --> 02:28:28,000 WAS DEFENDING WHAT I OFFERED? 4701 02:28:28,001 --> 02:28:29,000 MR. GARRETT: I YIELD MYSELF THE 4702 02:28:29,001 --> 02:28:30,000 REMAING TIME. 4703 02:28:30,001 --> 02:28:32,000 THE SPEAKER PRO TEMPORE: THE 4704 02:28:32,001 --> 02:28:33,000 GENTLEMAN IS RECOGNIZED. 4705 02:28:33,001 --> 02:28:35,000 MR. GARRETT: THE FINAL QUESTION 4706 02:28:35,001 --> 02:28:37,000 I GUESS IS, WHO DO WE TRUST? 4707 02:28:37,001 --> 02:28:41,000 WHO DO WE TRUST TO DEAL WITH 4708 02:28:41,001 --> 02:28:42,000 THE SITUATION OF PAY? 4709 02:28:42,001 --> 02:28:46,000 THE GENTLEMAN JUST SPOKE ON THE 4710 02:28:46,001 --> 02:28:47,000 FLOOR WITH REGARD TO RESPECTING 4711 02:28:47,001 --> 02:28:49,000 HIS CONSTITUENTS. 4712 02:28:49,001 --> 02:28:51,000 IT DOESN'T MATTER WHO YOUR 4713 02:28:51,001 --> 02:28:54,000 CONSTITUENTS ARE, IF THEY ARE THE C.E.O. ON THE TOP OF THE 4714 02:28:54,001 --> 02:28:56,000 LADDER, SOMEWHERE IN BETWEEN, 4715 02:28:56,001 --> 02:28:57,000 THE RECEPTIONIST, ANYWHERE IN 4716 02:28:57,001 --> 02:28:58,000 BETWN ON THE PAY SCALE, THIS 4717 02:28:58,001 --> 02:29:00,000 BILL WILL AFFECT THEM AND 4718 02:29:00,001 --> 02:29:02,000 AFFECT THEIR ABILITY AS FAR AS 4719 02:29:02,001 --> 02:29:03,000 WHAT THEIR COMPENSATION IS. 4720 02:29:03,001 --> 02:29:05,000 IT WILL ALLOW THE FEDERAL 4721 02:29:05,001 --> 02:29:06,000 GOVERNMENT TO DICTATE WHAT 4722 02:29:06,001 --> 02:29:07,000 THEIR PAY WILL BE. 4723 02:29:07,001 --> 02:29:09,000 GOVERNMENT BUREAUCRATS WILL BE 4724 02:29:09,001 --> 02:29:10,000 MANG THOSE DECISIONS IN THE 4725 02:29:10,001 --> 02:29:11,000 FUTURE AS OPPOSED TO THE PEOPLE 4726 02:29:11,001 --> 02:29:13,000 INVOLVED IN THE COMPANY. 4727 02:29:13,001 --> 02:29:14,000 LARGE INCOME OR ALL, 4728 02:29:14,001 --> 02:29:17,000 BUREAUCRATS WILL BE THE ONES AT 4729 02:29:17,001 --> 02:29:18,000 HAND TO MAKE THE FINAL 4730 02:29:18,001 --> 02:29:19,000 DECISIONS. 4731 02:29:19,001 --> 02:29:20,000 THE ODD THING ABOUT THIS 4732 02:29:20,001 --> 02:29:22,000 LEGISLATION AS WE READ THROUGH 4733 02:29:22,001 --> 02:29:23,000 IT AND AS WE LOOK AT THE 4734 02:29:23,001 --> 02:29:24,000 AMENDMENT WE TRY TO ADDRESS 4735 02:29:24,001 --> 02:29:26,000 THIS PROBLEM IS THE UNDERLYING 4736 02:29:26,001 --> 02:29:28,000 BILL GIVES WITH ONE HAND AND TAKES WITH ANOTHER. 4737 02:29:28,001 --> 02:29:31,000 AS BEEN PREVIOUSLY INDICATED, 4738 02:29:31,001 --> 02:29:32,000 IT GIVES WITH ONE HAND IN AN 4739 02:29:32,001 --> 02:29:34,000 APPROACH TO SAY THAT THE 4740 02:29:34,001 --> 02:29:37,000 SHAREHOLDERS SHOULD BE ABLE TO MAKE THAT DECISION. 4741 02:29:37,001 --> 02:29:39,000 BUT THEN IT TAKES IT RIG BACK 4742 02:29:39,001 --> 02:29:42,000 THEN AND SAYS IF THE GOVERNMENT 4743 02:29:42,001 --> 02:29:45,000 DECIDES IF THEY MAKE AN 4744 02:29:45,001 --> 02:29:46,000 INCORRECT DECISION SOME PERSON 4745 02:29:46,001 --> 02:29:47,000 AT THE S.E.C. OR REGULATOR 4746 02:29:47,001 --> 02:29:49,000 SHOULD TAKE THAT POWER AWAY 4747 02:29:49,001 --> 02:29:50,000 FROM THEM. 4748 02:29:50,001 --> 02:29:51,000 IT SAYS THAT THE STATE -- IN 4749 02:29:51,001 --> 02:29:54,000 THE COMMITTEE AT ONE HAND SAYS 4750 02:29:54,001 --> 02:29:57,000 THAT THE STATES SHOULD HAVE SAY 4751 02:29:57,001 --> 02:30:00,000 SUCH AS WITH THE CFPA, BUT HERE 4752 02:30:00,001 --> 02:30:01,000 THEY WANT TO STEP IN AND 4753 02:30:01,001 --> 02:30:03,000 PREEMPT THOSE STATES. 4754 02:30:03,001 --> 02:30:04,000 STATES THAT MAY HAVE A LONG 4755 02:30:04,001 --> 02:30:06,000 HISTORY OF DEALING WITH SUCH 4756 02:30:06,001 --> 02:30:07,000 SITUATIONS AS EXECUTIVE PAY 4757 02:30:07,001 --> 02:30:09,000 COMPENSATION OR STATES THAT MAY 4758 02:30:09,001 --> 02:30:10,000 WANT TO ADDRESS IT IN THE 4759 02:30:10,001 --> 02:30:11,000 FUTURE. 4760 02:30:11,001 --> 02:30:12,000 BUT THE UNDERLYING BILL SAYS 4761 02:30:12,001 --> 02:30:14,000 THEY WILL PREE 4762 02:30:14,001 --> 02:30:15,000 THAT'S WHY WE HAVE COME U 4763 02:30:15,001 --> 02:30:16,000 AN ALTERNATIVE. 4764 02:30:16,001 --> 02:30:17,000 WE HAVE COME UP WITH THE 4765 02:30:17,001 --> 02:30:19,000 SOLUTION. 4766 02:30:19,001 --> 02:30:20,000 WE ARE NOT THE PARTY OF NO. 4767 02:30:20,001 --> 02:30:21,000 WE ARE THE PARTY OF REFORM. 4768 02:30:21,001 --> 02:30:23,000 A PARTY THAT SAYS WE SHOULD 4769 02:30:23,001 --> 02:30:24,000 ADDRESS THIS IN A LONGER PERIOD 4770 02:30:24,001 --> 02:30:25,000 OF TIME, A PARTY THAT SAYS WE 4771 02:30:25,001 --> 02:30:27,000 SHOULD ALLOW THE SHAREHOLDERS 4772 02:30:27,001 --> 02:30:28,000 TO BE ABLE TO DECIDE THESE 4773 02:30:28,001 --> 02:30:29,000 ISSUES, A PARTY THAT SAYS THAT 4774 02:30:29,001 --> 02:30:32,000 WHEN IT COMES TO COMPENSATION, 4775 02:30:32,001 --> 02:30:33,000 THE FEDERAL GOVERNMENT SHOUL 4776 02:30:33,001 --> 02:30:35,000 NOT TO BE INTERMEDDLING. 4777 02:30:35,001 --> 02:30:37,000 NOW, THERE WAS AN ARTICLE IN 4778 02:30:37,001 --> 02:30:40,000 "THE NEW YORK TIMES" RECENTLY. 4779 02:30:40,001 --> 02:30:41,000 IT QUOTED FROM ALLEN BLENDER, A 4780 02:30:41,001 --> 02:30:43,000 FORMER VICE CHAIRMAN OF THE FED 4781 02:30:43,001 --> 02:30:44,000 WHO WROTE RECENTLY FOR "THE 4782 02:30:44,001 --> 02:30:45,000 WALL STREET JOURNAL" WITH 4783 02:30:45,001 --> 02:30:47,000 REGARD TO THIS. 4784 02:30:47,001 --> 02:30:49,000 SAYS THE EXECUTIVES, LAWYERS 4785 02:30:49,001 --> 02:30:50,000 WHO DESIGN SYSTEMS ARE SKILLED 4786 02:30:50,001 --> 02:30:52,000 AND DEFINITELY NOT 4787 02:30:52,001 --> 02:30:53,000 DISINTERESTED. 4788 02:30:53,001 --> 02:30:55,000 CONGRESS AND GOVERNMENT 4789 02:30:55,001 --> 02:30:57,000 BUREAUCRATS WON'T BEAT THEM AT THEIR OWN GAME. 4790 02:30:57,001 --> 02:30:59,000 CONGRESS HAS TRIED TO DO THIS 4791 02:30:59,001 --> 02:31:00,000 IN THE PAST WHEN THEY SET THE 4792 02:31:00,001 --> 02:31:01,000 ISSUE WITH REGARD TO 4793 02:31:01,001 --> 02:31:03,000 DEDUCTIBILITY FOR EXECUTIVE 4794 02:31:03,001 --> 02:31:04,000 COMPENSATION AT $1 MILLION. 4795 02:31:04,001 --> 02:31:05,000 IT HAD THE UNINTENDED 4796 02:31:05,001 --> 02:31:07,000 CONSEQUENCE OF SETTING $1 4797 02:31:07,001 --> 02:31:10,000 MILLION AS THE FLOOR. 4798 02:31:10,001 --> 02:31:11,000 AND WALL STREET THEN WENT FROM 4799 02:31:11,001 --> 02:31:13,000 COMPENSATION PACKAGES GREATLY 4800 02:31:13,001 --> 02:31:15,000 EXCEEDING THIS. 4801 02:31:15,001 --> 02:31:17,000 WE MAY WELL SEE THIS WITH THE 4802 02:31:17,001 --> 02:31:18,000 UNDERLYING LEGISLATION AS WELL. 4803 02:31:18,001 --> 02:31:21,000 IN THE HEADLINES WHEN I STARTED 4804 02:31:21,001 --> 02:31:22,000 THE HOUR OUT BANK BONUS OF $33 4805 02:31:22,001 --> 02:31:24,000 BILLION, MONEY THAT IS ACTUALLY 4806 02:31:24,001 --> 02:31:25,000 COMING FROM -- COMING FROM THE 4807 02:31:25,001 --> 02:31:27,000 VERY TAXPAYERS WHO ARE WATCHING 4808 02:31:27,001 --> 02:31:28,000 US HERE RIGHT NOW, THIS 4809 02:31:28,001 --> 02:31:29,000 UNDERLYING LEGISLATION WILL NOT 4810 02:31:29,001 --> 02:31:30,000 CHANGE THAT. 4811 02:31:30,001 --> 02:31:32,000 DESPITE THE FACT THAT THE 4812 02:31:32,001 --> 02:31:33,000 GENTLEMAN FROM TEXAS TRIED TO 4813 02:31:33,001 --> 02:31:35,000 LIMIT THIS LEGISLATION TO TRY 4814 02:31:35,001 --> 02:31:36,000 TO ADDRESS THE LEGISLATION TO 4815 02:31:36,001 --> 02:31:38,000 SITUATION AS TARP COMPANIES, 4816 02:31:38,001 --> 02:31:40,000 THIS LEGISLATION WILL NOT SOLVE THIS. 4817 02:31:40,001 --> 02:31:42,000 OUR SUBSTITUTE WILL. 4818 02:31:42,001 --> 02:31:43,000 OUR SUBSTITUTE WILL RETURN THE 4819 02:31:43,001 --> 02:31:44,000 POWER TO THE INDIVIDUAL, RETURN 4820 02:31:44,001 --> 02:31:45,000 THE POWER TO THE CORPORATION 4821 02:31:45,001 --> 02:31:47,000 AND MOST IMPORTANTLY RETURN THE 4822 02:31:47,001 --> 02:31:49,000 POWER TO THE SHAREHOLDER AND 4823 02:31:49,001 --> 02:31:50,000 TAKE IFROM THE GOVERNMENT 4824 02:31:50,001 --> 02:31:52,000 BUREAUCRAT. 4825 02:31:52,001 --> 02:31:53,000 THE SPEAKER PRO TEMPORE: THE 4826 02:31:53,001 --> 02:31:54,000 GENTLEMAN'S ME HAS EXPIRED. 4827 02:31:54,001 --> 02:31:55,000 THE GENTLEMAN FROM 4828 02:31:55,001 --> 02:31:57,000 MASSACHUSETTS. 4829 02:31:57,001 --> 02:31:59,000 MR. FRANK: I YIELD OUR 4830 02:31:59,001 --> 02:32:01,000 REMAING TIME TO A LEADING 4831 02:32:01,001 --> 02:32:02,000 GENTLEMAN FROM COLORADO. 4832 02:32:02,001 --> 02:32:03,000 THE SPEAKER PRO TEMPORE: THE 4833 02:32:03,001 --> 02:32:04,000 GENTLEMAN FROM COLORADO IS 4834 02:32:04,001 --> 02:32:06,000 RECOGNIZED. 4835 02:32:06,001 --> 02:32:07,000 MR. PERLMUTTER: THANK YOU, MR. 4836 02:32:07,001 --> 02:32:08,000 SPEAKER, AND I APPRECIATE THE 4837 02:32:08,001 --> 02:32:10,000 COMMENTS OF MY FRIEND FROM NEW 4838 02:32:10,001 --> 02:32:11,000 JERSEY. 4839 02:32:11,001 --> 02:32:12,000 BUT I'D SAY THE WORD THAT COMES 4840 02:32:12,001 --> 02:32:13,000 TO MIND IS AESIA. 4841 02:32:13,001 --> 02:32:15,000 MY FRIENDS ON THE REPUBLICAN 4842 02:32:15,001 --> 02:32:17,000 SIDE OF THE AISLE HAVE AMNESIA. 4843 02:32:17,001 --> 02:32:20,000 THEY HAVE AMNESIA OVER HOW THE 4844 02:32:20,001 --> 02:32:23,000 BRUCKS TRIED TO DEREGULATE 4845 02:32:23,001 --> 02:32:25,000 ADMINISTRATION TRIED TO 4846 02:32:25,001 --> 02:32:27,000 DEREGULATE EVERYTHING, TRIED TO 4847 02:32:27,001 --> 02:32:29,000 MAKE -- BUSH ADMINISTRATION 4848 02:32:29,001 --> 02:32:32,000 TRIED TO DEREGULATE EVERYTHING, 4849 02:32:32,001 --> 02:32:34,000 TRIED TO MAKE PONZI SCHEMES AS 4850 02:32:34,001 --> 02:32:36,000 WHAT HAPPENED WITH MADOFF. 4851 02:32:36,001 --> 02:32:38,000 WE HAD THE FAILURE WITH KATRINA 4852 02:32:38,001 --> 02:32:40,000 AND WE HAD THE BIGGEST COLLAPSE 4853 02:32:40,001 --> 02:32:41,000 IN THE BANKING SECTOR BECAUSE 4854 02:32:41,001 --> 02:32:42,000 OF DEREGULATION AND A BELIEF 4855 02:32:42,001 --> 02:32:45,000 THAT THE FREE MARKET COULD DO 4856 02:32:45,001 --> 02:32:47,000 ANYTHING IT WANTED TO DO. 4857 02:32:47,001 --> 02:32:50,000 NOW, THIS BILL IS VERY MILD. 4858 02:32:50,001 --> 02:32:52,000 WHAT IT ALLOWS, MR. SPEAKER, IS 4859 02:32:52,001 --> 02:32:55,000 IT ALLOWS SHAREHOLDERS TO HAVE 4860 02:32:55,001 --> 02:32:57,000 A SAY ON WHAT THE OFFICERS OF 4861 02:32:57,001 --> 02:32:59,000 THE COMPANY MAKE IN TERMS OF 4862 02:32:59,001 --> 02:33:00,000 SALARY. 4863 02:33:00,001 --> 02:33:02,000 THE OWNERS HAVING A SAY ON PAY. 4864 02:33:02,001 --> 02:33:05,000 WHAT COULD BE MORE AMERICAN AND 4865 02:33:05,001 --> 02:33:07,000 MORE FREE ENTERPRISE THAN THAT? 4866 02:33:07,001 --> 02:33:09,000 WHAT IT DOES ALLOW IS THE BOARD 4867 02:33:09,001 --> 02:33:11,000 OF DIRECTORS TO OVERRULE THE 4868 02:33:11,001 --> 02:33:12,000 SHAREHOLDERS IF THEY THINK 4869 02:33:12,001 --> 02:33:13,000 THAT'S APPROPRIATE, BUT WE NEED 4870 02:33:13,001 --> 02:33:15,000 TO HAVE THE OWNERSHIP OF THE 4871 02:33:15,001 --> 02:33:17,000 COMPANY HAVE A SAY ON WHAT 4872 02:33:17,001 --> 02:33:19,000 THEIR EXECUTIVES MAKE SO THAT 4873 02:33:19,001 --> 02:33:20,000 IT DOESN'T GET OUT OF LINE AND 4874 02:33:20,001 --> 02:33:22,000 THAT THERE'S NO BACK SCRATCHING 4875 02:33:22,001 --> 02:33:23,000 GOING ON. 4876 02:33:23,001 --> 02:33:26,000 THE SECOND PIECE THAT MY 4877 02:33:26,001 --> 02:33:27,000 FRIENDS COMPLAIN ABOUT AND THAT 4878 02:33:27,001 --> 02:33:31,000 THE SUBSTITUTE IS DESIGNED TO 4879 02:33:31,001 --> 02:33:33,000 GUT IS THAT THE FEDERAL BANKING 4880 02:33:33,001 --> 02:33:35,000 REGULATORS HAVE A SAY ON THE 4881 02:33:35,001 --> 02:33:37,000 COMMISSIONS AND THE BONUSES AND 4882 02:33:37,001 --> 02:33:40,000 THE STOCOPTIONS THAT EXIST. 4883 02:33:40,001 --> 02:33:42,000 AND WHERE WE SAW THIS MOST 4884 02:33:42,001 --> 02:33:44,000 SPECIFICALLY WAS IN MORTGAGES. 4885 02:33:44,001 --> 02:33:45,000 LOTS OF MORTGAGES SOLD, LOTS OF 4886 02:33:45,001 --> 02:33:47,000 COMMISSIONS MADE, LOTS OF STOCK 4887 02:33:47,001 --> 02:33:48,000 OPTIONS WENT STRAIGHT THROH 4888 02:33:48,001 --> 02:33:51,000 THE ROOF, BUT THERE WAS A TIME 4889 02:33:51,001 --> 02:33:52,000 BOMB IN THOSE MORTGAGES FOUR, 4890 02:33:52,001 --> 02:33:54,000 FIVE YEARS DOWN THE ROAD THAT 4891 02:33:54,001 --> 02:33:56,000 COST ALL THOSE MORTGAGES TO 4892 02:33:56,001 --> 02:33:58,000 FAIL AND COMPANIES AND BANKS TO 4893 02:33:58,001 --> 02:33:59,000 COLLAPSE. 4894 02:33:59,001 --> 02:34:01,000 WE'RE NOGOING TO ALLOW THAT ANYMORE. 4895 02:34:01,001 --> 02:34:03,000 WE'RE NOT GOING TO ALLOW THE 4896 02:34:03,001 --> 02:34:04,000 TAXPAYER TO BE HOLDING THE BAG 4897 02:34:04,001 --> 02:34:06,000 THE WAY WE'VE HAD TO HOLD THE 4898 02:34:06,001 --> 02:34:07,000 BAG IN THE -- IN THIS LAST 4899 02:34:07,001 --> 02:34:09,000 FALL. 4900 02:34:09,001 --> 02:34:11,000 IT IS A TIME FOR REANABLE 4901 02:34:11,001 --> 02:34:13,000 REGULATION TO RESTORE 4902 02:34:13,001 --> 02:34:14,000 CONFIDENCE IN OUR FINANCIAL 4903 02:34:14,001 --> 02:34:16,000 SYSTEM. 4904 02:34:16,001 --> 02:34:17,000 THAT'S WHAT THIS BILL DOES. 4905 02:34:17,001 --> 02:34:18,000 THE SUBSTITUTE AMENDMENT GUTS 4906 02:34:18,001 --> 02:34:19,000 THAT. 4907 02:34:19,001 --> 02:34:21,000 I URGE A NO VOTE ON THE 4908 02:34:21,001 --> 02:34:23,000 SUBSTITUTE AND A YES VOTE 4909 02:34:23,001 --> 02:34:24,000 SAY ON PAY. 4910 02:34:24,001 --> 02:34:26,000 AND WITH THAT I YIELD BACK THE 4911 02:34:26,001 --> 02:34:27,000 BALANCE OF MY TIME. 4912 02:34:27,001 --> 02:34:29,000 THE SPEAKER PRO TEMPORE: THE 4913 02:34:29,001 --> 02:34:31,000 BALANCE OF HIS TIME. 4914 02:34:31,001 --> 02:34:32,000 PURSUANT TO HOUSE RESOLUTION 4915 02:34:32,001 --> 02:34:33,000 697, THE PREVIOUS QUESTION IS 4916 02:34:33,001 --> 02:34:36,000 ORDERED ON THE BILL AS AMENDED 4917 02:34:36,001 --> 02:34:37,000 >> PARLIAMENTARY INQUIRY. 4918 02:34:37,001 --> 02:34:38,000 THE SPEAKER PRO TEMPORE: THE 4919 02:34:38,001 --> 02:34:40,000 GENTLEMAN WILL STATE HIS 4920 02:34:40,001 --> 02:34:41,000 INQUIRY. 4921 02:34:41,001 --> 02:34:42,000 GARTE CAN THE CHAIR INDICATE 4922 02:34:42,001 --> 02:34:44,000 HOW MUCH TIME REMAINS? 4923 02:34:44,001 --> 02:34:50,000 THE SPEAKER PRO TEMPORE: ALL 4924 02:34:50,001 --> 02:34:51,000 TIME FOR -- DOES THE GENTLEMAN 4925 02:34:51,001 --> 02:34:52,000 SEEK UNANIMOUS CONSENT TO 4926 02:34:52,001 --> 02:34:54,000 EXTEND THE DEBATE? 4927 02:34:54,001 --> 02:35:00,000 MR. GARRETT: YES, WE DO. 4928 02:35:00,001 --> 02:35:02,000 MR. FRANK: I OBJECT. 4929 02:35:02,001 --> 02:35:03,000 LET ME RESERVE THE RIGHT TO 4930 02:35:03,001 --> 02:35:08,000 OBJECT. 4931 02:35:08,001 --> 02:35:10,000 WHAT'S THIS ABOUT? 4932 02:35:10,001 --> 02:35:11,000 I'M RESERVE THE RIGHTO 4933 02:35:11,001 --> 02:35:12,000 OBJECT. 4934 02:35:12,001 --> 02:35:13,000 MEMBERS WANT TO GET OUT OF 4935 02:35:13,001 --> 02:35:15,000 HERE. 4936 02:35:15,001 --> 02:35:37,000 I CAN'T BE RESPONSIBLE FOR KEEPING MEMBERS HERE. 4937 02:35:37,001 --> 02:35:39,000 LET ME ASK IF THE 4938 02:35:39,001 --> 02:35:40,000 GENTLEMAN WILL YIELD 4939 02:35:40,001 --> 02:35:42,000 I'LL SPEAK ON MY RESERVATION. 4940 02:35:42,001 --> 02:35:44,000 THE SPEAKER PRO TEMPORE: THE 4941 02:35:44,001 --> 02:35:47,000 GENTLEMAN IS RECOGNIZED. MR. FRANK: APPARENTLY THERE'S 4942 02:35:47,001 --> 02:35:48,000 AN EFFORT -- I DON'T THINK WE 4943 02:35:48,001 --> 02:35:50,000 OUGHT TO KEEP EVERYBODY IN THE 4944 02:35:50,001 --> 02:35:51,000 DARK. 4945 02:35:51,001 --> 02:35:53,000 THERE IS A UNANIMOUS CONSENT 4946 02:35:53,001 --> 02:35:54,000 AGREEMENT INVOLVING ANOTHER 4947 02:35:54,001 --> 02:35:55,000 BILL. 4948 02:35:55,001 --> 02:35:56,000 SO THEY'RE ASKING US TO DELAY 4949 02:35:56,001 --> 02:35:58,000 THIS. 4950 02:35:58,001 --> 02:35:59,000 I'M PERFECTLY WILLING TO 4951 02:35:59,001 --> 02:36:01,000 THIS IF PEOPLE KNOW IT'S NOT 4952 02:36:01,001 --> 02:36:02,000 OUR FAULT. 4953 02:36:02,001 --> 02:36:03,000 WE WERE TRYING TO GET FINISHED. 4954 02:36:03,001 --> 02:36:05,000 THERE IS A BIPARTISAN 4955 02:36:05,001 --> 02:36:06,000 LEADERSHIP REQUEST THAT WE WAIT 4956 02:36:06,001 --> 02:36:07,000 ANOTHER 10 MINUTES. 4957 02:36:07,001 --> 02:36:08,000 I'M PERFECTLY PREPARED ONCE 4958 02:36:08,001 --> 02:36:12,000 PEOPLE UNDERSTAND THIS. 4959 02:36:12,001 --> 02:36:13,000 I DO THINKS THIS WHISPER, 4960 02:36:13,001 --> 02:36:15,000 WHISPER, NOBODY KNOWS, IS NOT 4961 02:36:15,001 --> 02:36:16,000 THE WAY TO GO. 4962 02:36:16,001 --> 02:36:18,000 THERE IS A BIPARTISAN AGREEMENT 4963 02:36:18,001 --> 02:36:19,000 ON THE CASH FOR CLUNKERS. 4964 02:36:19,001 --> 02:36:21,000 THE SPEAKER PRO TEMPORE: 4965 02:36:21,001 --> 02:36:22,000 WITHOUT OBJECTION, DEBATE WILL 4966 02:36:22,001 --> 02:36:24,000 BE EXTENDED FIVE MINUTES ON 4967 02:36:24,001 --> 02:36:25,000 EACH SIDE. 4968 02:36:25,001 --> 02:36:28,000 MR. FRANK: I RATHER WE DO A 4969 02:36:28,001 --> 02:36:29,000 RECESS INSTEAD OF EXTENDING IT. 4970 02:36:29,001 --> 02:36:30,000 THE SPEAKER PRO TEMPORE: 4971 02:36:30,001 --> 02:36:32,000 PURSUANT TO HOUSE RESOLUTION 4972 02:36:32,001 --> 02:36:33,000 697, THE PREVIOUS QUESTION IS 4973 02:36:33,001 --> 02:36:36,000 ORDERED ON THE BILL. 4974 02:36:36,001 --> 02:36:37,000 MR. FRANK: WELL, THEN I WILL 4975 02:36:37,001 --> 02:36:40,000 AGREE TO AN EXTENSION OF THE 4976 02:36:40,001 --> 02:36:43,000 DEBATE FOR FIVE MINUTES ON EACH 4977 02:36:43,001 --> 02:36:45,000 SIDE. 4978 02:36:45,001 --> 02:36:46,000 THE SPEAKER PRO TEMPORE: 4979 02:36:46,001 --> 02:36:47,000 WITHOUT OBJECTION, DEBATE ON 4980 02:36:47,001 --> 02:36:49,000 EACH SIDE WILL BE EXTENDED BY 4981 02:36:49,001 --> 02:36:50,000 FIVE MINUTES. 4982 02:36:50,001 --> 02:36:52,000 THE GENTLEMAN FROM 4983 02:36:52,001 --> 02:36:54,000 MASS MR. FRANK: I RESERVE MY TIME. 4984 02:36:54,001 --> 02:36:55,000 THE SPEAKER PRO TEMPORE: THE 4985 02:36:55,001 --> 02:36:56,000 GENTLEMAN FROM MAS 4986 02:36:56,001 --> 02:36:58,000 RESERVES HIS TIME. 4987 02:36:58,001 --> 02:36:59,000 MR. FRANK: I HAVE AT MOST ONE 4988 02:36:59,001 --> 02:37:00,000 FURTR SPEAKER. 4989 02:37:00,001 --> 02:37:01,000 THE SPEAKER PRO TEMPORE: THE 4990 02:37:01,001 --> 02:37:03,000 GENTLEMAN FROM NEW JERSEY. 4991 02:37:03,001 --> 02:37:05,000 MR. GARRETT: AND I YIELD MYSELF 4992 02:37:05,001 --> 02:37:06,000 SUCH TIME AS I MAY CONSUME. 4993 02:37:06,001 --> 02:37:07,000 THE SPEAKER PRO TEMPORE: THE 4994 02:37:07,001 --> 02:37:09,000 GENTLEMAN IS RECOGNIZED. 4995 02:37:09,001 --> 02:37:10,000 MR. GARRETT: AND I APPRECIATE 4996 02:37:10,001 --> 02:37:11,000 THE GENTLEMAN FROM 4997 02:37:11,001 --> 02:37:13,000 MASSACHUSETTS FOR WORKING WITH 4998 02:37:13,001 --> 02:37:15,000 THE RESPECTIVE PARTIES IN ORDER 4999 02:37:15,001 --> 02:37:17,000 TO DEAL WITH ANY SITUATION 5000 02:37:17,001 --> 02:37:18,000 THAT'S GOING ON OUTSIDE THIS 5001 02:37:18,001 --> 02:37:20,000 AREA. 5002 02:37:20,001 --> 02:37:22,000 AND JUST AS THE GENTLEMAN SAYS, 5003 02:37:22,001 --> 02:37:24,000 IT'S NOTHING ON YOUR SIDE OF THE AISLE IN THE CHAMBERS TODAY 5004 02:37:24,001 --> 02:37:25,000 AT FAULT. 5005 02:37:25,001 --> 02:37:26,000 I GUESS WE WOULD SAY THE SAME 5006 02:37:26,001 --> 02:37:33,000 THING FOR THOSE SITTING HERE 5007 02:37:33,001 --> 02:37:35,000 RIGHT NOW AS WELL. 5008 02:37:35,001 --> 02:37:37,000 I LEFT MY LAST COMMENTS WITH 5009 02:37:37,001 --> 02:37:39,000 THE QUESTION OF, WHO DO YOU 5010 02:37:39,001 --> 02:37:41,000 TRUST AND WHAT DO WE NEED TO DO 5011 02:37:41,001 --> 02:37:43,000 IN ORDER TO ADDRESS THIS 5012 02:37:43,001 --> 02:37:44,000 SITUATION? 5013 02:37:44,001 --> 02:37:45,000 I'LL STEP THAT FROM A MOMENT TO 5014 02:37:45,001 --> 02:37:47,000 LOOK -- TO THE LARGER ISSUE 5015 02:37:47,001 --> 02:37:48,000 HERE THAT WE'RE TRYING TO 5016 02:37:48,001 --> 02:37:50,000 UNCOVER. 5017 02:37:50,001 --> 02:37:51,000 I COMMEND THE GENTLEMAN FOR THE 5018 02:37:51,001 --> 02:37:53,000 NUMBER OF HEARINGS THAT WE HAVE 5019 02:37:53,001 --> 02:37:55,000 HAD OVER THE LAST SEVERAL WEEKS 5020 02:37:55,001 --> 02:37:56,000 TO TRY TO DELVE INTO THE 5021 02:37:56,001 --> 02:37:58,000 VARIOUS MATTERS THAT DEALT WITH 5022 02:37:58,001 --> 02:37:59,000 THE FISCAL CRISIS WE ARE 5023 02:37:59,001 --> 02:38:01,000 CURRENTLY FACING IN THIS 5024 02:38:01,001 --> 02:38:02,000 COUNTRY. 5025 02:38:02,001 --> 02:38:04,000 ONE OF THE TAKEAYS, THOUGH, 5026 02:38:04,001 --> 02:38:06,000 THAT I HAD FROM THOSE MYRIAD OF 5027 02:38:06,001 --> 02:38:08,000 HEARINGS THAT WE HAD IS THAT 5028 02:38:08,001 --> 02:38:09,000 THE UNDERLYING CONCERNING ON 5029 02:38:09,001 --> 02:38:10,000 THE MEMBERS OF THE HOUSE ON 5030 02:38:10,001 --> 02:38:12,000 BOTH SIDES OF THE AISLE IS TO 5031 02:38:12,001 --> 02:38:13,000 TRTO GET AT THE ROOT CAUSE OF 5032 02:38:13,001 --> 02:38:15,000 WHAT WAS IT THAT ACTUALLY 5033 02:38:15,001 --> 02:38:16,000 BROUGHT US TO THE CURRENT 5034 02:38:16,001 --> 02:38:20,000 FINANCIAL SITUATION THAT WE 5035 02:38:20,001 --> 02:38:23,000 FIND IN THIS COUNTRY TODAY. 5036 02:38:23,001 --> 02:38:25,000 WE HAVE HEARD A NUMBER OF 5037 02:38:25,001 --> 02:38:27,000 EXPERTS, FROM THINK TANKS, FROM 5038 02:38:27,001 --> 02:38:29,000 PEOPLE ACROSS THE COUNTRY THEY 5039 02:38:29,001 --> 02:38:30,000 EXPOUND ON WHERE THEY BELIEVE 5040 02:38:30,001 --> 02:38:32,000 THE UNDERLYING CAUSE WAS. 5041 02:38:32,001 --> 02:38:35,000 WE HEARD SOME THAT SAY IT WAS 5042 02:38:35,001 --> 02:38:37,000 WITH REGARD TO THE G.S.E.'S, 5043 02:38:37,001 --> 02:38:39,000 FANNIE MAE AND FRED GEE MAC, 5044 02:38:39,001 --> 02:38:43,000 SUCH EXTENSIVE LEVERAGE ALLOWED 5045 02:38:43,001 --> 02:38:46,000 THIS TO -- FREDDIE MAC, SUCH 5046 02:38:46,001 --> 02:38:47,000 EXTENSIVE LEVERAGE ALLOWED THIS 5047 02:38:47,001 --> 02:38:49,000 TO OCCUR. 5048 02:38:49,001 --> 02:38:55,000 SOME SAY IT WAS DEREGULATION, 5049 02:38:55,001 --> 02:38:56,000 THOUGH I ASK IF THEY COULD CITE 5050 02:38:56,001 --> 02:38:58,000 SPECIFIC ACTIONS OF CONGRESS 5051 02:38:58,001 --> 02:39:00,000 WITH REGARD TO DEREAGLATION. 5052 02:39:00,001 --> 02:39:02,000 WE'VE HEARD OTHER AREAS, 5053 02:39:02,001 --> 02:39:03,000 EXCESSES BY BOTH GOVERNMENT AND 5054 02:39:03,001 --> 02:39:05,000 WALL SEET. 5055 02:39:05,001 --> 02:39:07,000 THROUGH ALL THOSE DEBATES, I 5056 02:39:07,001 --> 02:39:10,000 HAVE YET TO RECALL ANYONE WHO 5057 02:39:10,001 --> 02:39:11,000 CAN PROVIDE FACTUAL EVIDENCE, 5058 02:39:11,001 --> 02:39:13,000 FACTUAL PROOF OTHER THAN THEIR 5059 02:39:13,001 --> 02:39:15,000 OPINION THAT THE UNDERLYING 5060 02:39:15,001 --> 02:39:18,000 CAUSE WAS BECAUSE OF EXCESSIVE 5061 02:39:18,001 --> 02:39:20,000 PA BY VARIOUS CORPORATIONS IN THIS COUNTRY. 5062 02:39:20,001 --> 02:39:22,000 NO ONE CERTAINLY BROUGHT UP THE 5063 02:39:22,001 --> 02:39:23,000 IDEA THAT THE PROBLEMS THAT 5064 02:39:23,001 --> 02:39:25,000 BROUGHT US HERE WAS DUE TO 5065 02:39:25,001 --> 02:39:27,000 EXCESSIVE PAY OUTSIDE OF THE -- 5066 02:39:27,001 --> 02:39:29,000 OUTSIDE OF THE FINANCIAL SECTOR. 5067 02:39:29,001 --> 02:39:31,000 SO THEN WE HAVE TO LOOK AT THE 5068 02:39:31,001 --> 02:39:32,000 LEGISLATION -- THE UNDERLYING 5069 02:39:32,001 --> 02:39:33,000 LEGISLATION, AND ASK, WHAT IS 5070 02:39:33,001 --> 02:39:35,000 IT WE'RE TRYING TO GET TO HERE? 5071 02:39:35,001 --> 02:39:37,000 IN THE MAJOR PORTN OF THE 5072 02:39:37,001 --> 02:39:38,000 LEGISLATION, WHICH GOES TO 5073 02:39:38,001 --> 02:39:40,000 ALLOWING SHAREHOLDERS RIGHTS TO 5074 02:39:40,001 --> 02:39:42,000 VOTE WITH EXECUTIVE 5075 02:39:42,001 --> 02:39:44,000 COMPENSATION, OUTSIDE THE 5076 02:39:44,001 --> 02:39:45,000 FINANCIAL SECTOR, NO EVIDENCE 5077 02:39:45,001 --> 02:39:46,000 WHATSOEVER THAT THAT BROUGHT US 5078 02:39:46,001 --> 02:39:50,000 TO THIS SITUATION. 5079 02:39:50,001 --> 02:39:51,000 WE ASK, WHY IS THAT IN THE 5080 02:39:51,001 --> 02:39:54,000 WE DO TRY TO ATTEMPT TO REFORM 5081 02:39:54,001 --> 02:39:57,000 IT, IN AS MUCH AS THAT'S ALL WE 5082 02:39:57,001 --> 02:40:00,000 CAN DO, PUTTING ON A THREE-YEAR 5083 02:40:00,001 --> 02:40:01,000 EXTENSION WE DO TRY TO REFORM 5084 02:40:01,001 --> 02:40:03,000 THEIR IDEA TO SAY THAT STATE 5085 02:40:03,001 --> 02:40:05,000 THIS IS A LOOKED INTO THESE ISSUES SHOULD HAVE THE 5086 02:40:05,001 --> 02:40:07,000 PREROGATIVE TO CONTINUE WITH 5087 02:40:07,001 --> 02:40:08,000 THEIR LEGISLATION, THISER THAT 5088 02:40:08,001 --> 02:40:10,000 MORE KNOWLEDGEABLE, HAVE BEEN 5089 02:40:10,001 --> 02:40:12,000 MORE ENGAGED THEY MORE FOLLOWED 5090 02:40:12,001 --> 02:40:13,000 THE TRENDS IN THEIR STATES, WE 5091 02:40:13,001 --> 02:40:15,000 TRY TO REFORM IT AND IMPROVE 5092 02:40:15,001 --> 02:40:17,000 LEG IN THAT AREA AS WELL. 5093 02:40:17,001 --> 02:40:19,000 WE TRY TO REFORM IT IN A LAST 5094 02:40:19,001 --> 02:40:20,000 WAY TO SAY THAT FOR THOSE 5095 02:40:20,001 --> 02:40:22,000 CORPORATION THIS IS A SAY THAT 5096 02:40:22,001 --> 02:40:23,000 WE HAVE LOOKED AT THE 5097 02:40:23,001 --> 02:40:25,000 SITUATION, OUR SHAREHOLDERS 5098 02:40:25,001 --> 02:40:27,000 HAVE DIGESTED THE INFORMATION 5099 02:40:27,001 --> 02:40:28,000 AND REALIZED IT WOULD NOT BE TO 5100 02:40:28,001 --> 02:40:30,000 THE BENEFIT OF THE CORPORATION 5101 02:40:30,001 --> 02:40:32,000 OR THE SHAREHOLDERS THEMSELVES 5102 02:40:32,001 --> 02:40:34,000 AND 2/3 OF THE SHAREHOLDERS SAY 5103 02:40:34,001 --> 02:40:35,000 THEY DO NOT WANT TO ENGAGE IN 5104 02:40:35,001 --> 02:40:37,000 SETTING PAY BUT RATHER WOULD 5105 02:40:37,001 --> 02:40:38,000 ALLOW IT TO RETURN TO WHERE IT 5106 02:40:38,001 --> 02:40:40,000 HAS ALWAYS HISTORICALLY BEEN IN 5107 02:40:40,001 --> 02:40:43,000 THIS COUNTRY, BY MANAGEMENT OF 5108 02:40:43,001 --> 02:40:45,000 THE DIRECTOR, WE BUT PUT THAT 5109 02:40:45,001 --> 02:40:46,000 IN AS WELL. 5110 02:40:46,001 --> 02:40:49,000 STILL THE UNDERLYING BILL TAKES 5111 02:40:49,001 --> 02:40:50,000 THOSE POWERS AWAY, FROM THE 5112 02:40:50,001 --> 02:40:52,000 SHAREHOLDERS, FROM THE 5113 02:40:52,001 --> 02:40:53,000 MANAGEMENT FROM THE DIRECTOR, 5114 02:40:53,001 --> 02:40:55,000 AND DOES SO WITHOUT ANY 5115 02:40:55,001 --> 02:40:57,000 EVIDENCE THAT THEY WERE AT ALL THE CAUSE OF THE PROBLEM. 5116 02:40:57,001 --> 02:40:59,000 SECTION FOUR DOES ARGUABLY GO 5117 02:40:59,001 --> 02:41:00,000 TO FINANCIAL INSTITUTIONS. 5118 02:41:00,001 --> 02:41:02,000 IT GOES TO THOSE INSTITUTION 5119 02:41:02,001 --> 02:41:03,000 THIS IS ARGUABLY COULD BE, 5120 02:41:03,001 --> 02:41:05,000 SOME WOULD SAY, THE CAUSE OF 5121 02:41:05,001 --> 02:41:07,000 THE CURRENT SITUATION. 5122 02:41:07,001 --> 02:41:08,000 WE ALREADY HAD REGULATION IN 5123 02:41:08,001 --> 02:41:09,000 PLACE FOR MOST OF THOSE 5124 02:41:09,001 --> 02:41:11,000 FINANCIAINSTITUTIONS. 5125 02:41:11,001 --> 02:41:13,000 WE ALREADY HAD REGULATORS WHO 5126 02:41:13,001 --> 02:41:14,000 WERE SUPPOSED TO BE DOING THEIR 5127 02:41:14,001 --> 02:41:15,000 JOB. 5128 02:41:15,001 --> 02:41:17,000 WE HAD REGULATORS OVER S.E.C. 5129 02:41:17,001 --> 02:41:19,000 WITH REGARD TO THE MAY DAUF SITUATION. 5130 02:41:19,001 --> 02:41:21,000 UNFORTUNATELY WE KNOW ALL TOO 5131 02:41:21,001 --> 02:41:22,000 WELL THEY FAILED IN THAT JOB, 5132 02:41:22,001 --> 02:41:23,000 DESPITE THE FACT THAT THERE WAS 5133 02:41:23,001 --> 02:41:25,000 TESTIMONY THAT EVIDENCE WAS 5134 02:41:25,001 --> 02:41:28,000 PRESENTED TO THEM, HANDED TO 5135 02:41:28,001 --> 02:41:29,000 THEM, DOCUMENTING WHY THAT MAY 5136 02:41:29,001 --> 02:41:31,000 DOFF SITUATION WAS OUT THERE 5137 02:41:31,001 --> 02:41:33,000 AND WHY THE S.E.C. SHOULD BE 5138 02:41:33,001 --> 02:41:35,000 INVOLVED, THE REGULATORS MISSED 5139 02:41:35,001 --> 02:41:36,000 IT. 5140 02:41:36,001 --> 02:41:38,000 WE SAW REGULATORS MISSING IT AT 5141 02:41:38,001 --> 02:41:39,000 A.I.G. AS WELL. 5142 02:41:39,001 --> 02:41:41,000 THEY HAD AUTHORITY TO REGULATE 5143 02:41:41,001 --> 02:41:43,000 THOSE INSTITUTIONS AS WELL. DID THEY DO SO? 5144 02:41:43,001 --> 02:41:44,000 NO. 5145 02:41:44,001 --> 02:41:46,000 THEY M 5146 02:41:46,001 --> 02:41:47,000 REGARD TO THE A.I.G. SITUATION. 5147 02:41:47,001 --> 02:41:48,000 THE OTHER SIDE OF THE AISLE 5148 02:41:48,001 --> 02:41:50,000 SEEMS TO SAY, THAT WAS THEN, 5149 02:41:50,001 --> 02:41:51,000 THIS IS NOW. 5150 02:41:51,001 --> 02:41:53,000 THE SAME REGULATORS WHO MISSED 5151 02:41:53,001 --> 02:41:55,000 MAY DAUF WHOISSED A. IMPLET 5152 02:41:55,001 --> 02:41:57,000 G., WHO MISSED EXECUTIVE 5153 02:41:57,001 --> 02:41:58,000 COMPENSATION AND OTHER PROBLEMS 5154 02:41:58,001 --> 02:41:59,000 IN THE PAST, NOW ALL OF A 5155 02:41:59,001 --> 02:42:00,000 SUDDEN WE'RE GOING TO SAY 5156 02:42:00,001 --> 02:42:04,000 THEM AND EXPAND IT FURTHER AND 5157 02:42:04,001 --> 02:42:05,000 SAY THOSE REGULATORS WILL HAVE 5158 02:42:05,001 --> 02:42:07,000 BROADER AUTHORITY BY FINANCIAL 5159 02:42:07,001 --> 02:42:09,000 INSTITUTIONS, HOWEVER THEY MAY 5160 02:42:09,001 --> 02:42:14,000 BE DEFINED IN IN THE THE 5161 02:42:14,001 --> 02:42:16,000 FUTURE, BECAUSE THIS BILL 5162 02:42:16,001 --> 02:42:18,000 RECOGNIZES 5163 02:42:18,001 --> 02:42:19,000 CHANGE, BEWE TRUST THEM 5164 02:42:19,001 --> 02:42:20,000 NORTHWESTERN BUREAUCRATS. 5165 02:42:20,001 --> 02:42:22,000 THE SPEAKER PRO TEMPORE: THE 5166 02:42:22,001 --> 02:42:23,000 GENTLEMAN FROM MASSACHUSETTS. 5167 02:42:23,001 --> 02:42:24,000 MR. FRANK: I YIELD MYSELF FIVE 5168 02:42:24,001 --> 02:42:26,000 MINUTES. 5169 02:42:26,001 --> 02:42:27,000 LET ME EMPHASIZE WHEN THE 5170 02:42:27,001 --> 02:42:28,000 GENTLEMAN SAYS, TRUST THE 5171 02:42:28,001 --> 02:42:30,000 SHAREHOLDERS. 5172 02:42:30,001 --> 02:42:31,000 THAT'S A CO 5173 02:42:31,001 --> 02:42:33,000 WE ARE BORN-AGAIN SHAREHOLDER 5174 02:42:33,001 --> 02:42:34,000 ADVOCATES. 5175 02:42:34,001 --> 02:42:36,000 IN 2006 WHEN THE REPUBLICANS 5176 02:42:36,001 --> 02:42:37,000 CONTROLED THIS INSTITUTION, 5177 02:42:37,001 --> 02:42:38,000 THEY WOULD NOT EVEN ON THE 5178 02:42:38,001 --> 02:42:39,000 FINANCIAL SERVICE COMMITTEES 5179 02:42:39,001 --> 02:42:41,000 ALLOW IT TO COME UP. 5180 02:42:41,001 --> 02:42:43,000 WE HAD A PETITION UNDER THE 5181 02:42:43,001 --> 02:42:45,000 RULES FOR THE HEARING. 5182 02:42:45,001 --> 02:42:47,000 THEN WE ASKED FOR A MARKUP AND 5183 02:42:47,001 --> 02:42:49,000 THEY REFUSED IT. 5184 02:42:49,001 --> 02:42:52,000 THEN IN 2007, THE GENTLEMAN 5185 02:42:52,001 --> 02:42:54,000 FROM ALABAMA, THE GENTLEMAN 5186 02:42:54,001 --> 02:42:55,000 FROM NEW JERSEY, THEY TOLD US 5187 02:42:55,001 --> 02:42:57,000 THE GENTLEMAN FROM ALABAMA TOLD 5188 02:42:57,001 --> 02:43:00,000 NUSS 2007 TH THE FREE 5189 02:43:00,001 --> 02:43:02,000 ENTERPRISE SYSTEM WAS TAKING 5190 02:43:02,001 --> 02:43:04,000 CARE OF PAY EXCESS. 5191 02:43:04,001 --> 02:43:05,000 WE HE SAID THAT IN MARCH OF 5192 02:43:05,001 --> 02:43:06,000 2007. 5193 02:43:06,001 --> 02:43:07,000 ALL OF THE PROBLEMS WE'VE HAD 5194 02:43:07,001 --> 02:43:09,000 WITH PAY IN THE INTERIM, 5195 02:43:09,001 --> 02:43:10,000 APPARENTLY WERE FIGMENTS OF OUR 5196 02:43:10,001 --> 02:43:12,000 IMAGINATION. 5197 02:43:12,001 --> 02:43:13,000 THE GENTLEMAN FROM ALABAMA HAD 5198 02:43:13,001 --> 02:43:15,000 SUCH CONFIDENCE IN THE FREE 5199 02:43:15,001 --> 02:43:17,000 ENTERPRISE SYSTEM 2.5 YEA 5200 02:43:17,001 --> 02:43:18,000 AGO, THEY TOLD IT IT WOULDN'T 5201 02:43:18,001 --> 02:43:20,000 HAPPEN. 5202 02:43:20,001 --> 02:43:21,000 SAY ON PAY, NOW, IT'S NOT A BIG 5203 02:43:21,001 --> 02:43:22,000 DEAL. 5204 02:43:22,001 --> 02:43:24,000 IT WAS A BIG DEAL ENOUGH FOR 5205 02:43:24,001 --> 02:43:26,000 THEM TO OPPOSE IT. 5206 02:43:26,001 --> 02:43:27,000 THEY SAY TO THGENTLEM FROM 5207 02:43:27,001 --> 02:43:30,000 NEW JERSEY, HERE'S THE PROBLEM. 5208 02:43:30,001 --> 02:43:32,000 NO, IT'S NOT SO MUCH CONSCIOUS 5209 02:43:32,001 --> 02:43:33,000 ACTS OF DEREGULATION AS 5210 02:43:33,001 --> 02:43:34,000 NONREGULATION. 5211 02:43:34,001 --> 02:43:36,000 WHAT HAPPENED WAS NEW THINGS 5212 02:43:36,001 --> 02:43:37,000 GREW UP IN THE ECONOMY. 5213 02:43:37,001 --> 02:43:41,000 PARTICULARLY IN THE AREA OF 5214 02:43:41,001 --> 02:43:43,000 SUBPRIME MORTGAGES AND THE WAY 5215 02:43:43,001 --> 02:43:44,000 OF PACKAGING THEM AND SENDING 5216 02:43:44,001 --> 02:43:45,000 THEM AROUND. 5217 02:43:45,001 --> 02:43:46,000 SOME OF US IN THE MINORITY 5218 02:43:46,001 --> 02:43:48,000 WANTED TO CHANGE IT. 5219 02:43:48,001 --> 02:43:49,000 THERE WERE PARTY DIFFERENCES. 5220 02:43:49,001 --> 02:43:52,000 IN 2004, MY FRIEND FROM NORTH 5221 02:43:52,001 --> 02:43:54,000 CAROLINA, MR. MILLER, WHO IS 5222 02:43:54,001 --> 02:43:56,000 HERE, HE WAS EARLY HERE. 5223 02:43:56,001 --> 02:43:58,000 HE SPOKE WITH PEOPLE, THE 5224 02:43:58,001 --> 02:43:59,000 CENTER FOR RESPONSIBLE LENDING 5225 02:43:59,001 --> 02:44:00,000 IN NORTH CAROLINA, WHO TOLD US 5226 02:44:00,001 --> 02:44:02,000 IN 2004 TROUBLE WAS COMING. 5227 02:44:02,001 --> 02:44:05,000 BY THE WAY, TROUBLE WAS COMING 5228 02:44:05,001 --> 02:44:07,000 BECAUSE OF AN EXCESSIVE 5229 02:44:07,001 --> 02:44:09,000 ENCOURAGEMENT OF LOW-INCOME 5230 02:44:09,001 --> 02:44:11,000 PEOPLE TO BUY HOMES, NOT FROM 5231 02:44:11,001 --> 02:44:13,000 THE C.R. OR FROM LIBERAL 5232 02:44:13,001 --> 02:44:14,000 DEMOCRATS BUT FROM THE BUSH 5233 02:44:14,001 --> 02:44:15,000 ADMINISTRATION. 5234 02:44:15,001 --> 02:44:17,000 AS THE GENTLEMAN FROM TEXAS, 5235 02:44:17,001 --> 02:44:18,000 MR. HENSARLING, INSERTED AN 5236 02:44:18,001 --> 02:44:20,000 AMENDMENT WHICH WE ADOPTED IN 5237 02:44:20,001 --> 02:44:21,000 2002, THE BUSH ADMINISTRATION 5238 02:44:21,001 --> 02:44:23,000 SPED THIS UP. 5239 02:44:23,001 --> 02:44:26,000 IN 2004, OVER MY OBJECTION, 5240 02:44:26,001 --> 02:44:27,000 AMONG OTHERS, THE BUSH 5241 02:44:27,001 --> 02:44:30,000 ADMINISTRATION DIRECTED FANNIE 5242 02:44:30,001 --> 02:44:31,000 MAE AND FREDDIE MAC 5243 02:44:31,001 --> 02:44:33,000 SUBSTANTIALLY TO INCREASE THE 5244 02:44:33,001 --> 02:44:34,000 NUMBER OF SUBPRIME MORTGAGES 5245 02:44:34,001 --> 02:44:35,000 THEY WERE BUYING AND FOR PEOPLE 5246 02:44:35,001 --> 02:44:36,000 BELOW INCOME. 5247 02:44:36,001 --> 02:44:39,000 THAT'S IN THE AMENDMENT THAT 5248 02:44:39,001 --> 02:44:40,000 MR. HEN AR LING OFFER WED 5249 02:44:40,001 --> 02:44:41,000 ADOPTED. 5250 02:44:41,001 --> 02:44:42,000 SOME OF US SAW THE PROBLEM AT 5251 02:44:42,001 --> 02:44:44,000 THAT POINT. 5252 02:44:44,001 --> 02:44:45,000 I HADN'T SEEN A PROBLEM 5253 02:44:45,001 --> 02:44:47,000 FANNIE MAE AND FREDDIE MAC 5254 02:44:47,001 --> 02:44:48,000 BEFORE BUT I DID BECOME 5255 02:44:48,001 --> 02:44:50,000 WORRIED. 5256 02:44:50,001 --> 02:44:51,000 I JOINED THE GENTLEMAN, MR. 5257 02:44:51,001 --> 02:44:56,000 OXLEY, IN TRYING TO PASS A 5258 02:44:56,001 --> 02:44:57,000 BILL, THOUGH I HAD A HOUSING 5259 02:44:57,001 --> 02:45:00,000 THE FLOOR, OTHER REPUBLICANS 5260 02:45:00,001 --> 02:45:01,000 THOUGHT MR. OXLEY WAS TOO SOFT. 5261 02:45:01,001 --> 02:45:04,000 WE GOT INTO AN INTRA-REPUBLICAN 5262 02:45:04,001 --> 02:45:05,000 DISPUTE ON FANNIE MAE AND 5263 02:45:05,001 --> 02:45:07,000 FREDDIE MAC WHERE THE HOUSE 5264 02:45:07,001 --> 02:45:08,000 PASSED A BILL, THE HOUSE YOU 5265 02:45:08,001 --> 02:45:09,000 SHOULD THE REPUBLICANS, 5266 02:45:09,001 --> 02:45:11,000 SUPPORTED BY THE OVERWHELMING 5267 02:45:11,001 --> 02:45:13,000 MAJORITY OF REPUBLICANS, EVERY 5268 02:45:13,001 --> 02:45:15,000 AMENDMENT OFFERED TO TOUGHEN IT 5269 02:45:15,001 --> 02:45:16,000 UP REJECTED BY THE MAJORITY OF 5270 02:45:16,001 --> 02:45:18,000 REPUBLICANS AND THE REPUBLICAN 5271 02:45:18,001 --> 02:45:19,000 SENATE HAD A DIFFERENCE. 5272 02:45:19,001 --> 02:45:20,000 IRONICALLY, THE DEMOCRATS IN 5273 02:45:20,001 --> 02:45:21,000 THE SENATE AGREED WITH MR. 5274 02:45:21,001 --> 02:45:23,000 OXLEY. 5275 02:45:23,001 --> 02:45:24,000 THE REPUBLICANS IN THE SENATE 5276 02:45:24,001 --> 02:45:26,000 AGREED WITH MR. BUSH. 5277 02:45:26,001 --> 02:45:27,000 NO BILL. 5278 02:45:27,001 --> 02:45:29,000 WE ALSO TRIED, AS I SAID TO DO 5279 02:45:29,001 --> 02:45:31,000 SOMETHING ABOUT SUBPRIME 5280 02:45:31,001 --> 02:45:33,000 LENDING. THE GENTLEMAN FROM NORTH 5281 02:45:33,001 --> 02:45:34,000 CAROLINA PUSD FOR 5282 02:45:34,001 --> 02:45:35,000 LEGISLATION. 5283 02:45:35,001 --> 02:45:37,000 THE GENTLEMAN FROM ALABAMA TO 5284 02:45:37,001 --> 02:45:38,000 HIS CREDIT, WAS SOMEWHAT 5285 02:45:38,001 --> 02:45:39,000 INTERESTED IN WORKING WITH US 5286 02:45:39,001 --> 02:45:41,000 ON IT. 5287 02:45:41,001 --> 02:45:43,000 THE REPUBLICANS WERE OVERRULED 5288 02:45:43,001 --> 02:45:45,000 BY MR. DELAY WHO USED THE 5289 02:45:45,001 --> 02:45:48,000 RHETORIC YOU'RE HEARING TODAY, 5290 02:45:48,001 --> 02:45:50,000 KEEP THE BUREAUCRATS OUT OF IT, 5291 02:45:50,001 --> 02:45:52,000 THAT WAS THE PREVAILING 5292 02:45:52,001 --> 02:45:53,000 PHILOSOPHY OF THE REPUBLICANS 5293 02:45:53,001 --> 02:45:54,000 WHO RULED THIS HOUSE IN 2004 5294 02:45:54,001 --> 02:45:55,000 AND 2005. 5295 02:45:55,001 --> 02:45:57,000 WHEN SOME OF US, INCLUDING THE 5296 02:45:57,001 --> 02:45:59,000 BACHUS, TRIED TO WORK ON 5297 02:45:59,001 --> 02:46:00,000 LEGISLATION TO RESTRICT 5298 02:46:00,001 --> 02:46:02,000 SUBPRIME LENDING, MR. BACHUS 5299 02:46:02,001 --> 02:46:03,000 WAS EVEN CHAIRMAN OF THE 5300 02:46:03,001 --> 02:46:04,000 SUBCOMMITTEE, HE WAS OVERRULED. 5301 02:46:04,001 --> 02:46:07,000 THE CHAIRMAN OF THE COMMITTEE, 5302 02:46:07,001 --> 02:46:09,000 . OXLEY, WAS TOLD WE DON'T DO 5303 02:46:09,001 --> 02:46:10,000 THAT, WE BELIEVE IN FREE 5304 02:46:10,001 --> 02:46:11,000 ENTERPRISE. 5305 02:46:11,001 --> 02:46:13,000 IT WAS A CONSCIOUS DECISION NOT 5306 02:46:13,001 --> 02:46:15,000 TO DO ANYTHING. 5307 02:46:15,001 --> 02:46:17,000 I YIELD TO THE GENTLEMAN FROM 5308 02:46:17,001 --> 02:46:21,000 CALIFORNIA. 5309 02:46:21,001 --> 02:46:23,000 >> I'M FINDING 5310 02:46:23,001 --> 02:46:25,000 UNDERSTAND YOUR RAPID SPEECH. 5311 02:46:25,001 --> 02:46:26,000 WOULD YOU SLOW DOWN? 5312 02:46:26,001 --> 02:46:28,000 MR. FRANK: NO, I'LL TELL YOU TO 5313 02:46:28,001 --> 02:46:29,000 THE GENTLEMAN FROM CALIF 5314 02:46:29,001 --> 02:46:33,000 HE HAS TO SPEED UP. 5315 02:46:33,001 --> 02:46:37,000 IF HE WAITS A COUPLE OF DAY, 5316 02:46:37,001 --> 02:46:40,000 TRANSCRIBER, HE'LL BE ABLE TO 5317 02:46:40,001 --> 02:46:46,000 READ IT, MAYBE WE CAN GET IT 5318 02:46:46,001 --> 02:46:47,000 PUT INTO LARGE TYPE SO HE CAN 5319 02:46:47,001 --> 02:46:49,000 READ IT. 5320 02:46:49,001 --> 02:46:51,000 NOW, SINCE THE GENTLEMAN 5321 02:46:51,001 --> 02:46:54,000 INTERRUPTED ME, THAT'S WHAT YOU 5322 02:46:54,001 --> 02:46:55,000 TRY TO DO WHEN YOU DON'T LIKE 5323 02:46:55,001 --> 02:46:58,000 WHAT'S BEING SAID. 5324 02:46:58,001 --> 02:47:00,000 IF WE HAD BEEN ABLE TO GET THE 5325 02:47:00,001 --> 02:47:02,000 LEGISLATION DONE IN 2005, WE 5326 02:47:02,001 --> 02:47:04,000 WOULD HAVE RETARDED THE CRIS. 5327 02:47:04,001 --> 02:47:07,000 THERE WERE CONSCIOUS DIGS NOT TO REGULATE. 5328 02:47:07,001 --> 02:47:09,000 THERE WAS A BILL PASSED IN 1994 5329 02:47:09,001 --> 02:47:10,000 BY A DEMOCRATIC CONGRESS 5330 02:47:10,001 --> 02:47:12,000 REPLACED IN 1995 BY A 5331 02:47:12,001 --> 02:47:14,000 REPUBLICAN CONGRESS WHICH GAVE 5332 02:47:14,001 --> 02:47:15,000 THE FEDERAL RESERVE THE 5333 02:47:15,001 --> 02:47:18,000 AUTHORITY TO REGULATE MORTGAGES 5334 02:47:18,001 --> 02:47:21,000 OF THE KIND THAT CAUSE TROUBLE. 5335 02:47:21,001 --> 02:47:22,000 ALAN GREENSPAN SUPPORTED BY THE 5336 02:47:22,001 --> 02:47:24,000 REPUBLICANS IN CONGRESS, 5337 02:47:24,001 --> 02:47:25,000 REFUSED TO USE THAT AUTHORITY. 5338 02:47:25,001 --> 02:47:26,000 IT WAS WHEN HE CONTINUED TO 5339 02:47:26,001 --> 02:47:28,000 REFUSE THAT SOME OF US TRIED TO 5340 02:47:28,001 --> 02:47:29,000 DO SOMETHING SYSTEM OF YES, 5341 02:47:29,001 --> 02:47:31,000 THAT'S WHERE WE T THIS. 5342 02:47:31,001 --> 02:47:32,000 A REPUBLICAN COMMITMENT TO 5343 02:47:32,001 --> 02:47:35,000 NEVER DOING ANYTHING OF THE 5344 02:47:35,001 --> 02:47:36,000 SORT THEY'RE TALKING ABOUT NOW 5345 02:47:36,001 --> 02:47:38,000 THAT LET SUBPRIME MORTGAGES 5346 02:47:38,001 --> 02:47:39,000 FLOURISH. 5347 02:47:39,001 --> 02:47:40,000 THE SPEAKER PRO TEMPORE: 5348 02:47:40,001 --> 02:47:42,000 PURSUANT TO HOUSRESOLUTION 5349 02:47:42,001 --> 02:47:43,000 697, THE PREVIOUS QUESTION IS 5350 02:47:43,001 --> 02:47:44,000 ORDERED ON THE BILL AS AMENDED 5351 02:47:44,001 --> 02:47:46,000 AND ON THE AMENDMENT A IN THE 5352 02:47:46,001 --> 02:47:47,000 NATURE OF THE SUBSTITUTE 5353 02:47:47,001 --> 02:47:49,000 PRINTED IN HOUSE REPORT 5354 02:47:49,001 --> 02:47:51,000 111-237, OFFERED BY MR. GARRETT 5355 02:47:51,001 --> 02:47:52,000 OF NEW JERSEY. 5356 02:47:52,001 --> 02:47:54,000 THE QUESTION IS ON THE 5357 02:47:54,001 --> 02:47:55,000 AMENDMENT OFFERED BY MR. 5358 02:47:55,001 --> 02:47:56,000 GARRETT OF NEW JERSEY. 5359 02:47:56,001 --> 02:47:57,000 THOSE IN FAVOR SAY AYE. 5360 02:47:57,001 --> 02:47:59,000 THOSE OPPOSED, NO. 5361 02:47:59,001 --> 02:48:00,000 IN THE OPINION OF THE CHAIR THE 5362 02:48:00,001 --> 02:48:01,000 NOES VISIT. 5363 02:48:01,001 --> 02:48:02,000 MR. GARRETT: I ASK FOR A 5364 02:48:02,001 --> 02:48:03,000 RECORDED VOTE. 5365 02:48:03,001 --> 02:48:05,000 THE SPEAKER PRO TEMPORE: A 5366 02:48:05,001 --> 02:48:06,000 RECORDED VOTE IS REQUESTED. 5367 02:48:06,001 --> 02:48:07,000 THOSE FAVORING A RECORDED VOTE 5368 02:48:07,001 --> 02:48:09,000 WILL RISE. 5369 02:48:09,001 --> 02:48:10,000 A SUFFICIENT NUMBER HAVING 5370 02:48:10,001 --> 02:48:12,000 RISEN, A RECORDED VOTE IS 5371 02:48:12,001 --> 02:48:14,000 ORDERED. PURSUANT TO HOUSTION 5372 02:48:14,001 --> 02:48:15,000 697, FURTHER PROCEEDINGS ON 5373 02:48:15,001 --> 02:48:21,000 THIS QUESTION WILL BE 5374 02:48:21,001 --> 02:48:23,000 POSTPONED. 5375 02:48:23,001 --> 02:48:25,000 PURSUANT TO CLAUSE 1C OF 5376 02:48:25,001 --> 02:57:29,000 19, FURTHER PROCEEDINGS ON THE 5377 02:57:29,001 --> 02:57:30,000 BILL WILL BE POSTPONED. 5378 02:57:30,001 --> 02:57:31,000 THE SPEAKER PRO TEMPORE: THE 5379 02:57:31,001 --> 02:57:33,000 GENTLEMAN FROM MASSACHUSETTS. 5380 02:57:33,001 --> 02:57:35,000 MR. FRANK: A POINT OF PERNAL 5381 02:57:35,001 --> 02:57:37,000 PRIVILEGE. 5382 02:57:37,001 --> 02:57:38,000 THE SPEAKER PRO TEMPORE: DOES 5383 02:57:38,001 --> 02:57:39,000 THE GENTLEMAN STATE A 5384 02:57:39,001 --> 02:57:40,000 PARLIAMENTARY INQUIRY? 5385 02:57:40,001 --> 02:57:41,000 MR. FRANK: PARLIAMENTARY 5386 02:57:41,001 --> 02:57:43,000 INQUIRY. 5387 02:57:43,001 --> 02:57:44,000 THE SPEAKER PRO TEMPORE: THE 5388 02:57:44,001 --> 02:57:45,000 GENTLEMAN WILL STATE THE 5389 02:57:45,001 --> 02:57:47,000 PARLIAMENTARY INQUIRY. 5390 02:57:47,001 --> 02:57:48,000 MR. FRANK: THIS IS A NO WAY OF 5391 02:57:48,001 --> 02:57:49,000 THE RESPONSIBILITY OF THE 5392 02:57:49,001 --> 02:57:50,000 FINANCIAL SERVICES COMMITTEE 5393 02:57:50,001 --> 02:57:52,000 AND WE WANT TO GO TO A VOTE AND 5394 02:57:52,001 --> 02:57:54,000 WE ARE VERY MUCH THE VICTIM OF 5395 02:57:54,001 --> 02:57:56,000 WHATEVER THIS IS. 5396 02:57:56,001 --> 02:57:57,000 THE SPEAKER PRO TEMPORE: THE 5397 02:57:57,001 --> 02:57:58,000 GENTLEMAN MAY SEEK TIME TO 5398 02:57:58,001 --> 02:58:00,000 ADDRESS THE BODY. 5399 02:58:00,001 --> 02:58:01,000 THE GENTLEMAN MAY SEEKIME TO 5400 02:58:01,001 --> 02:58:04,000 ADDRESS THE BODY. 5401 02:58:04,001 --> 03:04:30,000 MR. FRANK: WELL, I WANT TO PUT 5402 03:04:30,001 --> 03:04:31,000 FURTHER EXCESS ON THE BODY. 5403 03:04:31,001 --> 03:04:32,000 THE SPEAKER PRO TEMPORE: FOR 5404 03:04:32,001 --> 03:04:34,000 WHAT PURPOSE DOES THE GENTLEMAN 5405 03:04:34,001 --> 03:04:35,000 FROM COLORADO RISE? 5406 03:04:35,001 --> 03:04:36,000 MR. PERLMUTTER: THANKS, MR. 5407 03:04:36,001 --> 03:04:37,000 SPEAKER. 5408 03:04:37,001 --> 03:04:39,000 I ASK UNANIMOUS CONSENT THAT 5409 03:04:39,001 --> 03:04:42,000 THE SPEAKER BE AUTHORIZED ON 5410 03:04:42,001 --> 03:04:45,000 THIS LEGISLATIVE DAY TO 5411 03:04:45,001 --> 03:04:47,000 ENTERTAIN A MOTION TO SUSPEND 5412 03:04:47,001 --> 03:04:48,000 THE RULES RELATING TO H.R. 5413 03:04:48,001 --> 03:04:50,000 3435. 5414 03:04:50,001 --> 03:04:51,000 THE SPEAKER PRO TEMPORE: IS 5415 03:04:51,001 --> 03:04:55,000 THERE OBJECTION? 5416 03:04:55,001 --> 03:04:57,000 WITHOUT OBJECTION, SO ORDERED. 5417 03:04:57,001 --> 03:04:58,000 FOR WHAT PURPOSE DOES THE 5418 03:04:58,001 --> 03:05:00,000 GENTLEMAN FROM WISCONSIN RISE? 5419 03:05:00,001 --> 03:05:01,000 MR. 5420 03:05:01,001 --> 03:05:02,000 THE HOUSE SUSPEND THE RULES AND 5421 03:05:02,001 --> 03:05:03,000 PASS H.R. 3435. 5422 03:05:03,001 --> 03:05:04,000 THE SPEAKER PRO TEMPORE: THE 5423 03:05:04,001 --> 03:05:06,000 CLERK WILL REPORT THE TITLE OF 5424 03:05:06,001 --> 03:05:07,000 THE BILL. 5425 03:05:07,001 --> 03:05:08,000 THE CLERK: H.R. 3435, A BILL 5426 03:05:08,001 --> 03:05:09,000 MAKING SUPPLEMENTAL 5427 03:05:09,001 --> 03:05:11,000 APPROPRIATIONS FOR FISCAL YEAR 5428 03:05:11,001 --> 03:05:12,000 2009 FOR THE CONSUMER 5429 03:05:12,001 --> 03:05:13,000 ASSISTANCE TO RECYCLE AND SAVE 5430 03:05:13,001 --> 03:05:14,000 PROGRAM. 5431 03:05:14,001 --> 03:05:16,000 THE SPEAKER PRO TEMPORE: 5432 03:05:16,001 --> 03:05:17,000 PURSUANT TO THE RULE, THE 5433 03:05:17,001 --> 03:05:18,000 GENTLEMAN FROM WISCONSIN, MR. 5434 03:05:18,001 --> 03:05:20,000 OBEY, AND THE GENTLEMAN FROM 5435 03:05:20,001 --> 03:05:21,000 CALIFORNIA, MR. LEWIS, EACH 5436 03:05:21,001 --> 03:05:22,000 WILL CONTROL 20 MINUTES. 5437 03:05:22,001 --> 03:05:23,000 THE CHAIR RECOGNIZES THE 5438 03:05:23,001 --> 03:05:25,000 GENTLEMAN FROM WISCONSIN. 5439 03:05:25,001 --> 03:05:26,000 MR. OBEY: MR. SPEAKER, I ASK 5440 03:05:26,001 --> 03:05:27,000 UNANIMOUS CONSENT THAT ALL 5441 03:05:27,001 --> 03:05:29,000 MEMBERS MAY HAVE FIVE 5442 03:05:29,001 --> 03:05:30,000 LEGISLATIVE DAYS TO REVISE AND 5443 03:05:30,001 --> 03:05:32,000 EXTEND THEIR REMARKS ON H.R. 3435. 5444 03:05:32,001 --> 03:05:33,000 THE SPEAKER PRO TEMPORE: 5445 03:05:33,001 --> 03:05:35,000 WITHOUT OBJECTION. 5446 03:05:35,001 --> 03:05:36,000 MR. OBEY: MR. SPEAKER, I YIELD 5447 03:05:36,001 --> 03:05:37,000 MYSELF THREE MINUTES. 5448 03:05:37,001 --> 03:05:39,000 THE SPEAKER PRO TEMPORE: THE 5449 03:05:39,001 --> 03:05:40,000 GENTLEMAN IS RECOGNIZED. 5450 03:05:40,001 --> 03:05:41,000 MR. OBEY: MR. SPEAKER, LATE 5451 03:05:41,001 --> 03:05:43,000 YESTERDA IT CAME TO OUR 5452 03:05:43,001 --> 03:05:44,000 ATTENTION THAT THE CASH FOR 5453 03:05:44,001 --> 03:05:45,000 CLUNKERS PROGRAM WHICH ENACTED 5454 03:05:45,001 --> 03:05:46,000 A FEW DAYS AGO HAS PROVEN MORE 5455 03:05:46,001 --> 03:05:48,000 WILDLY POPULAR THAN ITS 5456 03:05:48,001 --> 03:05:49,000 STRONGEST SUPPORTERS HAD 5457 03:05:49,001 --> 03:05:50,000 PREDICTED. 5458 03:05:50,001 --> 03:05:51,000 JUST LAST MONTH, CONGRESS 5459 03:05:51,001 --> 03:05:52,000 PASSED THE PROGRAM WHICH 5460 03:05:52,001 --> 03:05:54,000 PROVIDED UP TO $4,500 IF YOU 5461 03:05:54,001 --> 03:05:56,000 TRADE IN YOUR OLD GAS GUZZLER 5462 03:05:56,001 --> 03:05:57,000 FOR A NEW CAR THAT GETS BETTER 5463 03:05:57,001 --> 03:05:58,000 MILEAGE. 5464 03:05:58,001 --> 03:06:01,000 THAT WAS DONE IN THE HOPES OF 5465 03:06:01,001 --> 03:06:03,000 SPURRING SOME NEW CAR SALES AND ENCOURAGING PEOPLE TO BE A 5466 03:06:03,001 --> 03:06:04,000 LITTLE MORE ENVIRONMENTALLY 5467 03:06:04,001 --> 03:06:06,000 FRIENDLY. 5468 03:06:06,001 --> 03:06:07,000 WE PROVIDED $1 BILLION IN THE 5469 03:06:07,001 --> 03:06:11,000 SUPPLEMEAL TO GET IT GOING, 5470 03:06:11,001 --> 03:06:13,000 ENOUGH FOR ABOUT 250,000 SALES. 5471 03:06:13,001 --> 03:06:15,000 THE PROGRAM KICKED OFF MONDAY, 5472 03:06:15,001 --> 03:06:17,000 AND IT'S ALREADY OFFICIALLY 5473 03:06:17,001 --> 03:06:19,000 RECEIVED 40,000 REQUESTS FOR 5474 03:06:19,001 --> 03:06:21,000 REIMBURSEMENT WORTH ABOUT $160 5475 03:06:21,001 --> 03:06:23,000 MILLION IN REBATES. 5476 03:06:23,001 --> 03:06:24,000 IN IS SURVEY DONE BY THE 5477 03:06:24,001 --> 03:06:26,000 NATIONAL AUTOMOBILE DEALER 5478 03:06:26,001 --> 03:06:27,000 ASSOCIATION THIS WEEK SUGGEST 5479 03:06:27,001 --> 03:06:30,000 THAT AT LEAST 200,000 DEALS 5480 03:06:30,001 --> 03:06:31,000 HAVE BEEN COMPLETED BUT NOT YET 5481 03:06:31,001 --> 03:06:33,000 OFFICIALLY SUBMITTED. 5482 03:06:33,001 --> 03:06:34,000 IF THAT'S TRUE AND WE'RE BEING 5483 03:06:34,001 --> 03:06:38,000 TOLD THAT IT PROBABLY IS, THEN 5484 03:06:38,001 --> 03:06:39,000 THE ENTIRE $1 BILLION IS JUST 5485 03:06:39,001 --> 03:06:41,000 ABOUT EXHAUSTED, SO WE HAVE 5486 03:06:41,001 --> 03:06:43,000 BEFORE US A BILL TO PROVIDE 5487 03:06:43,001 --> 03:06:44,000 STOPGAP FUNDING FOR CASH FOR 5488 03:06:44,001 --> 03:06:46,000 CLUNKERS BY ALLOWING THE 5489 03:06:46,001 --> 03:06:49,000 ADMINISTRATION TO TRANSFER UP 5490 03:06:49,001 --> 03:06:51,000 TO $2 BILLION FROM THE 5491 03:06:51,001 --> 03:06:53,000 DEPARTMENT OF ENERGY INNOVATIVE 5492 03:06:53,001 --> 03:06:55,000 TECHNOLOGY LOAN GUARANTEE PROGRAM WHICH DOESN'T EXPECT TO 5493 03:06:55,001 --> 03:06:56,000 AWARD FUNDING UNTIL LATE NEXT 5494 03:06:56,001 --> 03:06:59,000 YEAR. 5495 03:06:59,001 --> 03:07:01,000 SOME WOULD CALL THIS LETTING 5496 03:07:01,001 --> 03:07:02,000 THE MARKETS WORK. 5497 03:07:02,001 --> 03:07:04,000 CONSUMERS HAVE SPOKEN WITH 5498 03:07:04,001 --> 03:07:06,000 THEIR WALLETS AND THEY ARE 5499 03:07:06,001 --> 03:07:08,000 SAYING THEY LIKE THIS PROGRAM 5500 03:07:08,001 --> 03:07:11,000 AND CLEARLY IT WAS INTENDED TO 5501 03:07:11,001 --> 03:07:14,000 DO WHAT IT WAS SUPPOSED TO DO, 5502 03:07:14,001 --> 03:07:15,000 SPUR CAR SALES IN THIS SLUGGISH 5503 03:07:15,001 --> 03:07:17,000 THIS WILL KEEP IT GOING, HOPEFULLY. 5504 03:07:17,001 --> 03:07:19,000 I'D URGE SUPPORT FOR THE BILL 5505 03:07:19,001 --> 03:07:20,000 AND I RESERVE THE BALANCE OF MY 5506 03:07:20,001 --> 03:07:22,000 TIME. 5507 03:07:22,001 --> 03:07:24,000 THE SPEAKER PRO TEMPORE: THE GENTLEMAN FROM WISCONSIN 5508 03:07:24,001 --> 03:07:25,000 RESERVES THE BALANCE OF HIS 5509 03:07:25,001 --> 03:07:26,000 TIME. 5510 03:07:26,001 --> 03:07:27,000 THE GENTLEMAN FROM CALIFORNIA. 5511 03:07:27,001 --> 03:07:29,000 MR. LEWIS: THANK YOU, MR. 5512 03:07:29,001 --> 03:07:30,000 SPEAKER. 5513 03:07:30,001 --> 03:07:32,000 MR. CHAIRMAN, I RISE TO POINT 5514 03:07:32,001 --> 03:07:34,000 OUT THE ABSURDITY OF THE SITUATION WEIND OURSELVES IN 5515 03:07:34,001 --> 03:07:35,000 TODAY. 5516 03:07:35,001 --> 03:07:37,000 IN THE MAJORITY'S HASTE TO SLAM 5517 03:07:37,001 --> 03:07:41,000 LEGISLATION THROUGH THE FLOOR 5518 03:07:41,001 --> 03:07:43,000 WITH ALMOST NO CONSIDERATION AT 5519 03:07:43,001 --> 03:07:44,000 THE COMMITTEE LEVEL, WITH NO 5520 03:07:44,001 --> 03:07:46,000 TIME FOR CONSIDERATION BY THE 5521 03:07:46,001 --> 03:07:48,000 HOUSE MEMBERSHIP IN GENERAL, 5522 03:07:48,001 --> 03:07:50,000 AND WITH ABSOLUTELY NO ABILITY 5523 03:07:50,001 --> 03:07:52,000 FOR THE MEMBERS OF THIS BODY TO 5524 03:07:52,001 --> 03:07:55,000 AMEND BILLS ON THE FLOOR, WE 5525 03:07:55,001 --> 03:08:00,000 ARE NOW SEEING THE EFFECTS OF 5526 03:08:00,001 --> 03:08:01,000 SUCH SHORT-SIDED MARTIAL LAW 5527 03:08:01,001 --> 03:08:03,000 TACTICS. 5528 03:08:03,001 --> 03:08:04,000 MR. CHAIRMAN, THE CASH FOR 5529 03:08:04,001 --> 03:08:06,000 CLUNKERS PROGRAM WAS PASSED ON 5530 03:08:06,001 --> 03:08:07,000 THE SUSPENSION CALENDAR, SO NO 5531 03:08:07,001 --> 03:08:09,000 MEMBERS WERE ABLE TO OFFER 5532 03:08:09,001 --> 03:08:11,000 AMENDMENTS. 5533 03:08:11,001 --> 03:08:13,000 THE SENATE HAD A EXARBLE WHICH 5534 03:08:13,001 --> 03:08:14,000 WILL WITH SOME SIGNIFICANT 5535 03:08:14,001 --> 03:08:16,000 DIFFERENCES. 5536 03:08:16,001 --> 03:08:17,000 THE HOUSE AND SENATE BILLS 5537 03:08:17,001 --> 03:08:18,000 SHOULD HAVE GONE TO FULL AND 5538 03:08:18,001 --> 03:08:20,000 OPEN CONFERENCE SO THOSE 5539 03:08:20,001 --> 03:08:21,000 DIFFERENCES COULD HAVE BEEN 5540 03:08:21,001 --> 03:08:24,000 NEGOTIATED AND A CONFERENCE 5541 03:08:24,001 --> 03:08:26,000 REPORT THEN BROUGHT FOR A VOTE. 5542 03:08:26,001 --> 03:08:29,000 INSTEAD THE LEADERSHIP OF THIS 5543 03:08:29,001 --> 03:08:31,000 BODY, WITHOUT CONSULTATION OR 5544 03:08:31,001 --> 03:08:34,000 NEGOTIATION, STRUCK THE HOUSE 5545 03:08:34,001 --> 03:08:35,000 VERSION OF CASH FOR CLUNKERS, 5546 03:08:35,001 --> 03:08:37,000 THEY STUCK IT ON WHAT WAS 5547 03:08:37,001 --> 03:08:39,000 SUPPOSED TO BE A, QUOTE, CLEAN 5548 03:08:39,001 --> 03:08:40,000 WAR SUPPLEMENTAL, A BILL ONLY 5549 03:08:40,001 --> 03:08:42,000 FOR THE PURPOSE OF FUNDING AND 5550 03:08:42,001 --> 03:08:44,000 SUPPORTING OUR TROOPS AND OUR 5551 03:08:44,001 --> 03:08:46,000 EFFORTS OVERSEAS AND THE WAR ON 5552 03:08:46,001 --> 03:08:47,000 TERROR. 5553 03:08:47,001 --> 03:08:50,000 THEY HAD TO DO THAT BECAUSE OF 5554 03:08:50,001 --> 03:08:53,000 THE MESS THE MAJORITY CREATED OF 5555 03:08:53,001 --> 03:08:55,000 THE CONFERENCED BILL AND I USE 5556 03:08:55,001 --> 03:08:57,000 THAT TERM LOOSELY AS MOSTF THE 5557 03:08:57,001 --> 03:08:58,000 FUNDING LEVELS AND PROGRAMS WERE 5558 03:08:58,001 --> 03:09:00,000 DETERMINED NOT IN A CONFERENCE 5559 03:09:00,001 --> 03:09:03,000 BUT BY THE HOUSE LEADERSHIP AND 5560 03:09:03,001 --> 03:09:05,000 BY MY CHAIRMAN. 5561 03:09:05,001 --> 03:09:07,000 BUT WHEN IT CAME TO COUNTING 5562 03:09:07,001 --> 03:09:10,000 VOTES, THE LEADERSHIP AND THE 5563 03:09:10,001 --> 03:09:13,000 CHAIRMAN HAD TO DO SOME DANCING 5564 03:09:13,001 --> 03:09:14,000 AND STARTED LOADING UP THE WAR 5565 03:09:14,001 --> 03:09:18,000 SUPPLEMENTAL WITH EXTRANEOUSND 5566 03:09:18,001 --> 03:09:19,000 UNRELATED ITEMS ON -- ALL OF 5567 03:09:19,001 --> 03:09:21,000 WHICH NEED TO GET MORE VOTES. 5568 03:09:21,001 --> 03:09:22,000 CASH FOR CLUNKERS WAS ONE OF 5569 03:09:22,001 --> 03:09:24,000 THOSE ITEMS. 5570 03:09:24,001 --> 03:09:27,000 MY COLLEAGUES IN THE SENATE, 5571 03:09:27,001 --> 03:09:29,000 SENATOR FEINSTEIN IN PARTICULAR 5572 03:09:29,001 --> 03:09:31,000 AND SENATOR COINS, HAD SOME 5573 03:09:31,001 --> 03:09:32,000 SERIOUS CONCERNS WITH THE HOUSE 5574 03:09:32,001 --> 03:09:33,000 BILL. 5575 03:09:33,001 --> 03:09:35,000 SENATOR FEINSTEIN TRIED TO 5576 03:09:35,001 --> 03:09:36,000 NEGOTIATE SOME CHANGES TO 5577 03:09:36,001 --> 03:09:38,000 IMPROVE THE PROGRAM, BUT WAS 5578 03:09:38,001 --> 03:09:39,000 REBUFFED, AS I UNDERSTAND IT, BY 5579 03:09:39,001 --> 03:09:42,000 MY CHAIRMAN. 5580 03:09:42,001 --> 03:09:45,000 BASICALLY THEY WERE TOLD IT WAS 5581 03:09:45,001 --> 03:09:47,000 HIS WAY OR THE HIGHWAY. 5582 03:09:47,001 --> 03:09:49,000 HERE WE ARE TODAY, NOT ONE 5583 03:09:49,001 --> 03:09:51,000 HEARING ON THE CASH FOR CLUNKERS 5584 03:09:51,001 --> 03:09:53,000 PROGRAM IN THE APPROPRIATIONS 5585 03:09:53,001 --> 03:09:54,000 COMMITTEE, NOT ONE HEARING ON 5586 03:09:54,001 --> 03:09:58,000 THE NEEDS OF THE PROGRAM PRIOR 5587 03:09:58,001 --> 03:10:00,000 TO RECEIVING FUNDS, NO ONE 5588 03:10:00,001 --> 03:10:03,000 HEARING ON HOW THE FIRST $1 5589 03:10:03,001 --> 03:10:04,000 BILLION HAS BEEN SPENT, NOT ONE 5590 03:10:04,001 --> 03:10:06,000 HEARING ON HOW MUCH MONEY THE 5591 03:10:06,001 --> 03:10:08,000 PROGRAM WILL NEED TO GET THROUGH 5592 03:10:08,001 --> 03:10:10,000 THE FISCALEAR. 5593 03:10:10,001 --> 03:10:12,000 INSTEAD WE FIND OURSELVES ON THE 5594 03:10:12,001 --> 03:10:15,000 SUSPENSION CALENDAR FOR THE 5595 03:10:15,001 --> 03:10:18,000 SECOND TIME IN THREE DAYS. 5596 03:10:18,001 --> 03:10:20,000 BAILING OUT ANOTHER PROGRAM, 5597 03:10:20,001 --> 03:10:21,000 SHOVELING ANOTHER $2 BILLION OUT 5598 03:10:21,001 --> 03:10:25,000 THE DOOR THIS FISCAL YEAR AFTER 5599 03:10:25,001 --> 03:10:27,000 WE SHOVELED $14 BILLION O 5600 03:10:27,001 --> 03:10:30,000 DOOR TO BAIL OUT THE HIGHWAY 5601 03:10:30,001 --> 03:10:31,000 PROGRAMS AND OTHER RELATED 5602 03:10:31,001 --> 03:10:32,000 ITEMS. 5603 03:10:32,001 --> 03:10:34,000 MY COLLEAGUES ARE GOING TO PAT 5604 03:10:34,001 --> 03:10:35,000 THEMSELVES ON THE BACK FOR 5605 03:10:35,001 --> 03:10:38,000 FINDING AN OFFSET FOR THIS 5606 03:10:38,001 --> 03:10:39,000 TRANSFER AND FOR THAT I SAY TWO 5607 03:10:39,001 --> 03:10:41,000 THINGS. 5608 03:10:41,001 --> 03:10:42,000 FIRST, YOU SHOULD HAVE BEEN 5609 03:10:42,001 --> 03:10:44,000 FINDING WAYS TO OFFSET SPENDING 5610 03:10:44,001 --> 03:10:46,000 ALL YEAR. 5611 03:10:46,001 --> 03:10:49,000 SECOND, IF THERE WAS AN EXTRA $2 5612 03:10:49,001 --> 03:10:50,000 BILLION IN A STIMULUS PROGRAM 5613 03:10:50,001 --> 03:10:52,000 THAT W SUITABLE FOR A 5614 03:10:52,001 --> 03:10:54,000 DIFFERENT PURPOSE, WHY DID WE 5615 03:10:54,001 --> 03:10:56,000 SPEND THE $2 BILLION IN THE 5616 03:10:56,001 --> 03:10:57,000 FIRST PLACE? 5617 03:10:57,001 --> 03:10:59,000 HOW MANY OTHER BILLIONS OF 5618 03:10:59,001 --> 03:11:01,000 DOLLARS ARE IN THE STIMULUS NOT 5619 03:11:01,001 --> 03:11:04,000 BEING SPENT THAT WE CAN RETURN 5620 03:11:04,001 --> 03:11:06,000 TO OUR TAXPAYERS? 5621 03:11:06,001 --> 03:11:08,000 NOW, MANY OF MY COLLEAGUES WILL 5622 03:11:08,001 --> 03:11:09,000 SAY, THIS IS A GREAT PROGRAM, A 5623 03:11:09,001 --> 03:11:12,000 NECESSARY -- AND NECESSARY FOR 5624 03:11:12,001 --> 03:11:13,000 THE REVITALLYIZATION FOR THE 5625 03:11:13,001 --> 03:11:14,000 ECONOMY AND THE CAR DID INDUSTRY 5626 03:11:14,001 --> 03:11:16,000 AND I'M NOT REALLY GOING TO 5627 03:11:16,001 --> 03:11:17,000 ARGUE WITH THOSE GOALS. 5628 03:11:17,001 --> 03:11:20,000 THOSE ARE GOOD GOALS AND WE ARE 5629 03:11:20,001 --> 03:11:22,000 LOOKING FOR SOLUTIONS. 5630 03:11:22,001 --> 03:11:24,000 HOWEVER WE ARE SURE THIS PROGRAM 5631 03:11:24,001 --> 03:11:25,000 IS WORKING LIKE IT'S SUPPOSED 5632 03:11:25,001 --> 03:11:26,000 TO. 5633 03:11:26,001 --> 03:11:27,000 I DON'T THINK SO. 5634 03:11:27,001 --> 03:11:31,000 HOW IS IT THAT WE DIDN'T HEAR OF 5635 03:11:31,001 --> 03:11:32,000 THIS FUNDING PROBLEM UNTIL LAST 5636 03:11:32,001 --> 03:11:35,000 NIGHT AND EVEN THEN WE WERE TOLD 5637 03:11:35,001 --> 03:11:37,000 THERE'S ROUGHLY 24 HOURS BEFORE 5638 03:11:37,001 --> 03:11:38,000 THEY WERE GOING TO SHUT DOWN THE 5639 03:11:38,001 --> 03:11:40,000 PROGRAM? 5640 03:11:40,001 --> 03:11:41,000 THIS PROGRAM HAS ONLY BEEN UP 5641 03:11:41,001 --> 03:11:43,000 AND RUNNING ONE WEEK. 5642 03:11:43,001 --> 03:11:47,000 IF THAT IS HOW THE GOVERNMENT IS 5643 03:11:47,001 --> 03:11:49,000 GOING TO HANDLE $1 BILLION 5644 03:11:49,001 --> 03:11:50,000 PROGRAMS AFFECTING ALL 5645 03:11:50,001 --> 03:11:52,000 AMERICANS, I ASK, WHATEVER WILL 5646 03:11:52,001 --> 03:11:54,000 WE DO IF THE ADMINISTRATION 5647 03:11:54,001 --> 03:11:57,000 TAKES CONTROL OF OUR HEALTH CARE 5648 03:11:57,001 --> 03:12:00,000 SYSTEM? I QUOTE ONE CAR DEALER FROM NEW 5649 03:12:00,001 --> 03:12:01,000 YORK, IF THEY CAN'T ADNISTER A 5650 03:12:01,001 --> 03:12:04,000 PROGRAM LIKE THIS, I'D BE A 5651 03:12:04,001 --> 03:12:06,000 LITTLE CONCERNED ABOUT MY HEALTH 5652 03:12:06,001 --> 03:12:08,000 INSURANCE. I WOULD SAY, AMEN. 5653 03:12:08,001 --> 03:12:10,000 AND I RESERVE 5654 03:12:10,001 --> 03:12:11,000 TIME. 5655 03:12:11,001 --> 03:12:12,000 THE SPEAKER PRO TEMPORE: THE 5656 03:12:12,001 --> 03:12:13,000 GENTLEMAN FROM CALIFORNIA 5657 03:12:13,001 --> 03:12:16,000 RESERVES HIS TIME. 5658 03:12:16,001 --> 03:12:17,000 THE GENTLEMAN FROM WISCONSIN. 5659 03:12:17,001 --> 03:12:18,000 MR. OBEY: MR. SPEAKER, I YIELD 5660 03:12:18,001 --> 03:12:20,000 MYSELF 30 SECONDS. 5661 03:12:20,001 --> 03:12:22,000 THE SPEAKER PRO TEMPORE: THE 5662 03:12:22,001 --> 03:12:24,000 GENTLEMAN IS RECOGNIZED. MR. OBEY: MR. SPEAKER, I'M NOT 5663 03:12:24,001 --> 03:12:25,000 GOING TO GIVE ANY POLITICAL 5664 03:12:25,001 --> 03:12:27,000 SPEECHES. 5665 03:12:27,001 --> 03:12:28,000 WE'RE SIMPLY TRYING TO REACT TO 5666 03:12:28,001 --> 03:12:31,000 ONE PROGRAM THE PUBLIC HAS 5667 03:12:31,001 --> 03:12:33,000 APPARENTLY LATCHED ONTO. 5668 03:12:33,001 --> 03:12:36,000 THE DEMAND FOR THIS WAS SO GREAT 5669 03:12:36,001 --> 03:12:38,000 THAT WITHIN THREE DAYS OF ITS 5670 03:12:38,001 --> 03:12:39,000 INCEPTION THE FUNDS WERE 5671 03:12:39,001 --> 03:12:41,000 APPARENTLY TOTALLY USED UP. 5672 03:12:41,001 --> 03:12:43,000 THAT INDICATES THAT WE NEED TO 5673 03:12:43,001 --> 03:12:45,000 DO SOMETHING IF WE DON'T WANT 5674 03:12:45,001 --> 03:12:47,000 THE PROGRAM TO SHUT DOWN THREE 5675 03:12:47,001 --> 03:12:48,000 DAYS AFTER IT BEGINS. 5676 03:12:48,001 --> 03:12:50,000 THAT'S WHAT WE'RE TRYING TO DO 5677 03:12:50,001 --> 03:12:53,000 TODA 5678 03:12:53,001 --> 03:12:54,000 MINUTES TO THE DISTINGUISHED 5679 03:12:54,001 --> 03:12:56,000 GENTLEMAN FROM NEW YORK. 5680 03:12:56,001 --> 03:12:57,000 THE SPEAKER PRO TEMPORE: THE 5681 03:12:57,001 --> 03:12:58,000 GENTLEMAN FROM NEW YORK IS 5682 03:12:58,001 --> 03:13:00,000 RECOGNIZED FOR TWO MINUTES. 5683 03:13:00,001 --> 03:13:01,000 >> I THANK THE CHAIRMAN FOR THE 5684 03:13:01,001 --> 03:13:03,000 TIME. 5685 03:13:03,001 --> 03:13:05,000 MR. SPEAKER, I WAS ONE OF THE ORIGINAL CO-SPONSORS OR SPONSORS 5686 03:13:05,001 --> 03:13:06,000 OF THE CASH FOR CLUNKERS BILL. 5687 03:13:06,001 --> 03:13:07,000 MANY OF US KNEW THAT IT WOULD 5688 03:13:07,001 --> 03:13:09,000 WORK WELL. 5689 03:13:09,001 --> 03:13:10,000 FEW OF US REALIZED HOW WELL IT 5690 03:13:10,001 --> 03:13:11,000 WOULD WORK. 5691 03:13:11,001 --> 03:13:13,000 THIS PROGRAM HAS BEEN TRULY 5692 03:13:13,001 --> 03:13:14,000 STIIVE. 5693 03:13:14,001 --> 03:13:15,000 NY PEOPLE ARE QUESTIONING 5694 03:13:15,001 --> 03:13:16,000 WHETHER THE CONGRESS -- 5695 03:13:16,001 --> 03:13:18,000 STIMULATIVE. 5696 03:13:18,001 --> 03:13:19,000 MANY PEOPLE ARE QUG WHETHER THE 5697 03:13:19,001 --> 03:13:20,000 CONGRESS IS PASSING ANYTHING 5698 03:13:20,001 --> 03:13:22,000 THAT WILL STIMULATE THE ECONOMY. 5699 03:13:22,001 --> 03:13:23,000 THIS PROGRAM HAS STIMULATED THE 5700 03:13:23,001 --> 03:13:24,000 ECONOMY. 5701 03:13:24,001 --> 03:13:25,000 WE HAVE DOUBLED CAR SALES OVER 5702 03:13:25,001 --> 03:13:27,000 THE PAST FIVE YEARS. 5703 03:13:27,001 --> 03:13:28,000 THIS IS TRULY STIMULATIVE. 5704 03:13:28,001 --> 03:13:29,000 IT IS CREATING JOBS, IT IS A 5705 03:13:29,001 --> 03:13:30,000 CREATING A SURGE FOR -- IT IS 5706 03:13:30,001 --> 03:13:32,000 CREATING A SURGE FOR CAR 5707 03:13:32,001 --> 03:13:33,000 DEALERS. 5708 03:13:33,001 --> 03:13:35,000 THE AMERICAN CONSUMERS ARE 5709 03:13:35,001 --> 03:13:36,000 SATISFIED WITH IT. 5710 03:13:36,001 --> 03:13:37,000 THE AMERICAN CONSUMER HAS TAKEN 5711 03:13:37,001 --> 03:13:39,000 CASH FOR CLUNKERS ON A TEST 5712 03:13:39,001 --> 03:13:40,000 DRIVE AND THEY WANT TO CONTINUE 5713 03:13:40,001 --> 03:13:42,000 DRIVING CASH FOR CLUNKERS. 5714 03:13:42,001 --> 03:13:43,000 THEY WANT TO CONTINUE THIS 5715 03:13:43,001 --> 03:13:44,000 PROGRAM. 5716 03:13:44,001 --> 03:13:46,000 IN FACT, NOT ONLY SHOULD WE 5717 03:13:46,001 --> 03:13:47,000 CONTINUE IT OVER THE NEXT SIX 5718 03:13:47,001 --> 03:13:48,000 WEEKS BY PROVIDING EMERGENCY 5719 03:13:48,001 --> 03:13:50,000 FUNDING, BUT WE OUGHT TO IMPROVE 5720 03:13:50,001 --> 03:13:52,000 IT WHEN WE RETURN IN SEPTEMBER. 5721 03:13:52,001 --> 03:13:53,000 WE SHOULD IMPROVE IT BY 5722 03:13:53,001 --> 03:13:55,000 INCREASING THE EFFICIENCY 5723 03:13:55,001 --> 03:13:57,000 STANDARDS, WE SHOULD IMPROVE IT 5724 03:13:57,001 --> 03:13:59,000 BY MAKING USED CARS ELIGIBLE FOR 5725 03:13:59,001 --> 03:14:01,000 THE PROGRAM, WE SHOULD IMPROVE 5726 03:14:01,001 --> 03:14:03,000 IT THROUGH A LONG-TERM PROGRAM 5727 03:14:03,001 --> 03:14:05,000 BECAUSE WE HAVE LEARNED THAT THE 5728 03:14:05,001 --> 03:14:07,000 SHORT-TERM PROGRAM WAS SO 5729 03:14:07,001 --> 03:14:09,000 SUCCESSFUL THAT WE HAVE 5730 03:14:09,001 --> 03:14:10,000 EXHAUSTED THE FUNDS IN ONLY FIVE 5731 03:14:10,001 --> 03:14:11,000 DAYS. 5732 03:14:11,001 --> 03:14:13,000 THIS IS AN EXAMPLE OF A 5733 03:14:13,001 --> 03:14:14,000 BIPARTISAN PROGRAM THAT MAKES 5734 03:14:14,001 --> 03:14:15,000 SENSE. 5735 03:14:15,001 --> 03:14:17,000 WE NEED TO CREATE A BRIDGE OF 5736 03:14:17,001 --> 03:14:20,000 FUNDING FOR THE NEXT SIX WEEKS, 5737 03:14:20,001 --> 03:14:22,000 COME BACK AND EXTEND IT AND 5738 03:14:22,001 --> 03:14:23,000 IMPROVE IT INTO THE FUTURE. 5739 03:14:23,001 --> 03:14:25,000 I WANT TO THANK THE 5740 03:14:25,001 --> 03:14:27,000 DISTINGUISHED CHAIRMAN FOR YIELDING ME THE TIME AND I YIELD 5741 03:14:27,001 --> 03:14:28,000 BACK. 5742 03:14:28,001 --> 03:14:29,000 THE SPEAKER PRO TEMPORE: THE 5743 03:14:29,001 --> 03:14:30,000 GENTLEMAN YIELDS BACK THE 5744 03:14:30,001 --> 03:14:32,000 BALANCE OF HIS TIME. 5745 03:14:32,001 --> 03:14:34,000 THE GENTLEMAN FROM CALIFORNIA. 5746 03:14:34,001 --> 03:14:36,000 MRLEWIS: MR. SPEAKER, I YIELD 5747 03:14:36,001 --> 03:14:37,000 TO THE GENTLELADY FROM MICHIGAN 5748 03:14:37,001 --> 03:14:38,000 THREE MINUTES. 5749 03:14:38,001 --> 03:14:40,000 THE SPEAKER PRO TEMPORE: THE 5750 03:14:40,001 --> 03:14:41,000 GENTLEWOMAN FROM MICHIGAN IS 5751 03:14:41,001 --> 03:14:43,000 RECOGNIZED FOR THREE MINUTES. 5752 03:14:43,001 --> 03:14:45,000 MRS. MILLER: MR. SPEAKER, I WAS 5753 03:14:45,001 --> 03:14:46,000 PROUD TO BE THE CO-SPONSOR OF 5754 03:14:46,001 --> 03:14:47,000 THE ORIGINAL LEGISLATION WE 5755 03:14:47,001 --> 03:14:49,000 PASSED MONTHS AGO. 5756 03:14:49,001 --> 03:14:51,000 CASH FOR CLUNKERS. . 5757 03:14:51,001 --> 03:14:53,000 WHAT A FANTASTIC SUCCESS. 5758 03:14:53,001 --> 03:14:55,000 THIS PROGRAM HAS SUCCEED 5759 03:14:55,001 --> 03:14:56,000 EVERYBODY'S EXPECTATIONS AND 5760 03:14:56,001 --> 03:14:58,000 MOST OF THE NAYSAYERS ARE 5761 03:14:58,001 --> 03:14:59,000 ADMITTING IT'S THE BES$1 5762 03:14:59,001 --> 03:15:01,000 BILLION THAT THE FEDERAL 5763 03:15:01,001 --> 03:15:02,000 GOVERNMENT HAS EVER SPENT AND 5764 03:15:02,001 --> 03:15:03,000 HERE'S A COUPLE OF TODAY'S 5765 03:15:03,001 --> 03:15:04,000 QUOTES FROM THOSE WHO ARE 5766 03:15:04,001 --> 03:15:06,000 DIRECTLY IMPACTED. 5767 03:15:06,001 --> 03:15:07,000 FIRST OF ALL, THE C.E.O. OF ONE 5768 03:15:07,001 --> 03:15:08,000 OF OUR NATION'S LAEST AUTO 5769 03:15:08,001 --> 03:15:10,000 GROUPS SAID, THE MOST 5770 03:15:10,001 --> 03:15:11,000 BRILLIANTLY CONCEIVED AND MOST 5771 03:15:11,001 --> 03:15:12,000 EFFECTIVE ECONOMIC STIMULUS 5772 03:15:12,001 --> 03:15:14,000 PROGRAM EVER PUT FORWARD BY THE 5773 03:15:14,001 --> 03:15:16,000 FEDERAL GOVERNMENT. 5774 03:15:16,001 --> 03:15:17,000 FORD MOTOR COMPANY SAYS, IT'S A 5775 03:15:17,001 --> 03:15:18,000 HUGE SUCCESS. 5776 03:15:18,001 --> 03:15:20,000 THIS CONGRESS APPROPRIATED $1 5777 03:15:20,001 --> 03:15:21,000 BILLION ON NOVEMBER 1, WHATEVER 5778 03:15:21,001 --> 03:15:23,000 CAME FIRST, AND ONLY SEVERAL 5779 03:15:23,001 --> 03:15:24,000 DAYS INTO THE PROGRAM AND NOW WE 5780 03:15:24,001 --> 03:15:26,000 NEED MORE CASH FOR THE CASH FOR 5781 03:15:26,001 --> 03:15:28,000 CLUNKERS. 5782 03:15:28,001 --> 03:15:31,000 IF WE CAN JUST THINK ABOUT THE 5783 03:15:31,001 --> 03:15:33,000 TREMENDOUS MULTIPLIER, ECONOMIC MULTIPLIER, EFFECT THIS IS 5784 03:15:33,001 --> 03:15:34,000 HAVING. 5785 03:15:34,001 --> 03:15:35,000 IT IS GOOD FOR THE AUTO DIALERS, 5786 03:15:35,001 --> 03:15:36,000 IT IS GOOD FOR THE AUTO 5787 03:15:36,001 --> 03:15:38,000 MANUFACTURERS, IT IS GOOD FOR 5788 03:15:38,001 --> 03:15:39,000 THE SUPPLIERS, IT IS GOOD FOR 5789 03:15:39,001 --> 03:15:41,000 WORKERS, IT IS GOOD FOR THE 5790 03:15:41,001 --> 03:15:42,000 STATES, MR. SPEAKER. 5791 03:15:42,001 --> 03:15:44,000 THINK ABOUT ALL OF THE REVENUE 5792 03:15:44,001 --> 03:15:46,000 THAT IS BEING GENERATED BY SALES TAX AND LICENSING FEES AS WELL 5793 03:15:46,001 --> 03:15:47,000 FOR THIS PROGRAM. 5794 03:15:47,001 --> 03:15:48,000 GOOD FOR THE ENVIRONMENT, IT'S 5795 03:15:48,001 --> 03:15:50,000 GETTING ALL THESE OLD VEHICLES 5796 03:15:50,001 --> 03:15:51,000 OFF THE ROAD AND IT'S ABSOLUTELY 5797 03:15:51,001 --> 03:15:53,000 GREAT FOR CONSUMERS. 5798 03:15:53,001 --> 03:15:56,000 LET ME JUST READ QUICKLY, HERE'S 5799 03:15:56,001 --> 03:15:58,000 ONE LETTER I GOT FROM A LADY IN 5800 03:15:58,001 --> 03:16:00,000 MICHIGAN. THANK YOU FOR PUSHING THROUGH 5801 03:16:00,001 --> 03:16:01,000 AND HELPING DEVELOP THE CASH FOR 5802 03:16:01,001 --> 03:16:03,000 CLUNKERS LEGISLATION. 5803 03:16:03,001 --> 03:16:05,000 I AM NOW THE HAPPY OWNER OF AN 5804 03:16:05,001 --> 03:16:06,000 AMERICAN-MADE 2010 FORD FUSION 5805 03:16:06,001 --> 03:16:07,000 THAT I AM GOING TO BE PICKING UP 5806 03:16:07,001 --> 03:16:09,000 ON JULY 30. 5807 03:16:09,001 --> 03:16:11,000 IT HAS BEEN 12 YEARS SINCE I'VE 5808 03:16:11,001 --> 03:16:12,000 BEEN ABLE TO PURCHASE A NEW 5809 03:16:12,001 --> 03:16:13,000 VEHICLE. 5810 03:16:13,001 --> 03:16:16,000 DUE TO THE CASH FOR CLUNKERS 5811 03:16:16,001 --> 03:16:17,000 PLAN I WAS ABLE TO SAVE OVER 5812 03:16:17,001 --> 03:16:19,000 $7,000 BEFORE TAXES ON MY FORD 5813 03:16:19,001 --> 03:16:22,000 FUSION. 5814 03:16:22,001 --> 03:16:24,000 MY OLD VEHICLE WAS A 1995 FORD 5815 03:16:24,001 --> 03:16:26,000 WINDSTAR WITH 150,000 MILES. 5816 03:16:26,001 --> 03:16:28,000 SHE SAYS, I'M SO EXCITED FOR ME. 5817 03:16:28,001 --> 03:16:29,000 WELL, 'RE EXCITED, TOO. 5818 03:16:29,001 --> 03:16:31,000 MR. SPEAKER, THROUGHOUT OUR 5819 03:16:31,001 --> 03:16:32,000 NATION'S 5820 03:16:32,001 --> 03:16:34,000 HAD THE AUTOMOBILE, ACTUALLY, IT 5821 03:16:34,001 --> 03:16:35,000 IT HAS BEEN AUTOMOBILE SALES 5822 03:16:35,001 --> 03:16:37,000 THAT HAVE LITERALLY PULLED OUR 5823 03:16:37,001 --> 03:16:38,000 NATION OUT OF RECESSION. 5824 03:16:38,001 --> 03:16:39,000 AND THIS TIME IS GOING TO BE THE 5825 03:16:39,001 --> 03:16:41,000 SAME. 5826 03:16:41,001 --> 03:16:42,000 I THINK WE ARE SEEING OURSELVES 5827 03:16:42,001 --> 03:16:44,000 BEING PLACED ON THE ROAD TO 5828 03:16:44,001 --> 03:16:46,000 ECONOMIC RECOVERY HERE AND THIS 5829 03:16:46,001 --> 03:16:47,000 ROAD IS PAVED BY THE CASH FOR 5830 03:16:47,001 --> 03:16:48,000 CLUNKERS PROGRAM. 5831 03:16:48,001 --> 03:16:50,000 I ACTUALLY WROTE A LETTER AT THE 5832 03:16:50,001 --> 03:16:51,000 BEGINNING OF THIS WEEK TO THE 5833 03:16:51,001 --> 03:16:53,000 SPEAKER ANTO THE HOUSE 5834 03:16:53,001 --> 03:16:54,000 LEADERSHIP SAYING THAT WE WERE 5835 03:16:54,001 --> 03:16:55,000 GOING TO RUN OUT OF MONEY AND 5836 03:16:55,001 --> 03:16:57,000 THAT WE WERE GOING TO NEED SOME 5837 03:16:57,001 --> 03:16:58,000 MORE MONEY FOR THIS PROGRAM. 5838 03:16:58,001 --> 03:16:59,000 HERE WE ARE ON FRIDAY OF THE 5839 03:16:59,001 --> 03:17:00,000 FIRST WEEK. 5840 03:17:00,001 --> 03:17:02,000 WE ABSOLUTELY NEED TO DO THIS, 5841 03:17:02,001 --> 03:17:03,000 MR. SPEAKER, WE CANNOT LEAVE FOR 5842 03:17:03,001 --> 03:17:06,000 OUR AUGUST RECESS UNTIL WE FUND 5843 03:17:06,001 --> 03:17:07,000 -- UNTIL WE VOTE FOR THIS 5844 03:17:07,001 --> 03:17:08,000 REPROGRAMMING OF UNSPENT 5845 03:17:08,001 --> 03:17:09,000 ECONOMIC STIMULUS FUNDS FOR THIS 5846 03:17:09,001 --> 03:17:11,000 PROGRAM. 5847 03:17:11,001 --> 03:17:12,000 WE NEED TO DO IT. 5848 03:17:12,001 --> 03:17:13,000 AND ONE OTHER THING, FOR THOSE 5849 03:17:13,001 --> 03:17:15,000 WHO KEEP SAYING THAT WE NEED TO 5850 03:17:15,001 --> 03:17:16,000 GET THE GOVERNMENT OUT OF THE 5851 03:17:16,001 --> 03:17:17,000 AUTOMOBILE BUSINESS, IF YOU 5852 03:17:17,001 --> 03:17:19,000 REALLY WANT TO GET THE 5853 03:17:19,001 --> 03:17:20,000 GOVERNMENT OUT OF THE POCKET OF 5854 03:17:20,001 --> 03:17:21,000 GENERAL MOTORS OR WHATEVER, THIS 5855 03:17:21,001 --> 03:17:22,000 IS THE WAY TOO IT, MR. 5856 03:17:22,001 --> 03:17:24,000 SPEAKER. 5857 03:17:24,001 --> 03:17:25,000 I WOULD URGE MY COLLEAGUES TO 5858 03:17:25,001 --> 03:17:26,000 SUPPORT THIS BILL. 5859 03:17:26,001 --> 03:17:27,000 IT IS VERY, VERY IMPORTANT. 5860 03:17:27,001 --> 03:17:29,000 NOT JUST FOR THE STATE OF 5861 03:17:29,001 --> 03:17:30,000 MICHIGAN, THIIS A NATIONAL 5862 03:17:30,001 --> 03:17:32,000 ECONOMIC PROGRAM, BEST THING 5863 03:17:32,001 --> 03:17:33,000 WE'VE EVER DONE. 5864 03:17:33,001 --> 03:17:34,000 MORE CASH FOR CASH FOR CLUNKERS. 5865 03:17:34,001 --> 03:17:35,000 I YIELBACK. 5866 03:17:35,001 --> 03:17:37,000 THE SPEAKER PRO TEMPORE: THE 5867 03:17:37,001 --> 03:17:39,000 GENTLEWOMAN YIELDS BACK THE 5868 03:17:39,001 --> 03:17:41,000 BALANCE OF HER TIME. 5869 03:17:41,001 --> 03:17:43,000 THE GENTLEMAN FROM WISCONSIN. 5870 03:17:43,001 --> 03:17:46,000 MR. OBEY: I YIELD A MINUTE AND 5871 03:17:46,001 --> 03:17:48,000 45 SECONDS 5872 03:17:48,001 --> 03:17:50,000 MICHIGAN, MR. LEVIN. THE SPEAKER PRO TEMPORE: THE 5873 03:17:50,001 --> 03:17:51,000 GENTLEMAN FROM MICHIGAN IS 5874 03:17:51,001 --> 03:17:53,000 RECOGNIZED FOR ONE M 5875 03:17:53,001 --> 03:17:56,000 SECONDS. MR. LEVIN: I ASK UNANIMOUS 5876 03:17:56,001 --> 03:18:03,000 CONSENT TO REVISE. THE SPEA 5877 03:18:03,001 --> 03:18:07,000 OBJECTION. 5878 03:18:07,001 --> 03:18:08,000 MR. LEVIN: THE PUBLIC HAS SPOKEN 5879 03:18:08,001 --> 03:18:12,000 . 5880 03:18:12,001 --> 03:18:13,000 CONSUMERS HAVE BEEN GOING TO 5881 03:18:13,001 --> 03:18:16,000 DEALERSHIPS. 5882 03:18:16,001 --> 03:18:19,000 THE WHITE HOUSE HAS NOW ACTED 5883 03:18:19,001 --> 03:18:23,000 AND THE ISSUE IS WHETHER THIS 5884 03:18:23,001 --> 03:18:25,000 HOUSE WILL RESPOND. 5885 03:18:25,001 --> 03:18:28,000 AS I SEE IT AND I THINK THE 5886 03:18:28,001 --> 03:18:30,000 PUBLIC WILL SEE IT THIS IS A 5887 03:18:30,001 --> 03:18:34,000 TEST WHETHER CONGRESS CAN SHED 5888 03:18:34,001 --> 03:18:37,000 ITS DISAGREEMENTS ON OTHER 5889 03:18:37,001 --> 03:18:40,000 ISSUES AND RESPOND TO WHAT THE 5890 03:18:40,001 --> 03:18:45,000 PUBLIC INDEED WANTS. 5891 03:18:45,001 --> 03:18:46,000 THE RUSH TO USE THIS PROGRAM 5892 03:18:46,001 --> 03:18:48,000 SHOWS ITS NEED. 5893 03:18:48,001 --> 03:18:51,000 I SAY TO THE GENTLEMAN FROM 5894 03:18:51,001 --> 03:18:55,000 CALIFORNIA AND ANYBODY ELSE, 5895 03:18:55,001 --> 03:18:58,000 WHAT ELSE DO WE NEED TO SEE? 5896 03:18:58,001 --> 03:18:59,000 THIS PROGRAM IS WORKING. 5897 03:18:59,001 --> 03:19:03,000 THE WHITE HOUSE HAS MADE CLEAR 5898 03:19:03,001 --> 03:19:06,000 THAT THE DEALERS CAN GO FORWARD. 5899 03:19:06,001 --> 03:19:09,000 THIS PROGRAM IS OPEN UNTIL 5900 03:19:09,001 --> 03:19:11,000 FURTHER NOTICE AND DEALERS ARE 5901 03:19:11,001 --> 03:19:13,000 URGED NOT TO RUSH TOO MUCH BUT 5902 03:19:13,001 --> 03:19:16,000 TO DO IT RIGHT IN THE FIRST 5903 03:19:16,001 --> 03:19:18,000 PLACE AND GET IN LINE. 5904 03:19:18,001 --> 03:19:20,000 SO, IT'S OPEN UNTIL FURTHER 5905 03:19:20,001 --> 03:19:22,000 NOTICE. 5906 03:19:22,001 --> 03:19:25,000 THE QUESTION IS WHETHER THIS 5907 03:19:25,001 --> 03:19:27,000 INSTITUTION WILL SHUT IT DOWN OR 5908 03:19:27,001 --> 03:19:30,000 WHETHER IT WILL CONTINUE TO OPEN 5909 03:19:30,001 --> 03:19:31,000 UP THE VALVES? 5910 03:19:31,001 --> 03:19:34,000 IT WILL BE GOOD FOR EVERYBODY, 5911 03:19:34,001 --> 03:19:36,000 IT WILL BE GOOD FOR THE NATIONAL 5912 03:19:36,001 --> 03:19:39,000 ECONOMY. 5913 03:19:39,001 --> 03:19:41,000 THIS IS AN ISSUE -- MICHIGAN, 5914 03:19:41,001 --> 03:19:43,000 OHIO, WISCONSIN, INDIANA, 5915 03:19:43,001 --> 03:19:44,000 ILLINOIS, BUT FOR WHOLE THE -- 5916 03:19:44,001 --> 03:19:46,000 FOR THE WHOLE NATION. 5917 03:19:46,001 --> 03:19:48,000 THIS IS AN ISSUE OF OUR NATIONAL 5918 03:19:48,001 --> 03:19:52,000 ECONOMIC RECOVERY AND ANYONE WHO 5919 03:19:52,001 --> 03:19:54,000 VOTES NO ON THIS IS SAYING NO TO 5920 03:19:54,001 --> 03:19:56,000 AN IMPORTANT BOOST TO OUR 5921 03:19:56,001 --> 03:19:57,000 ECONOMY AT A CRITICAL TIME. 5922 03:19:57,001 --> 03:20:00,000 THE SPEAKER PRO TEMPORE: THE 5923 03:20:00,001 --> 03:20:02,000 GENTLEMAN'S TIME HAS EXPIRED. THE GENTLEMAN FROM CALIFORNIA. 5924 03:20:02,001 --> 03:20:03,000 MR. LEWIS: MR. CHAIRMAN, I AM 5925 03:20:03,001 --> 03:20:05,000 PROUD TO YIELD TWO MINUTES TO 5926 03:20:05,001 --> 03:20:07,000 T 5927 03:20:07,001 --> 03:20:09,000 BIPARTISAN AUTO CAUCUS, THE 5928 03:20:09,001 --> 03:20:11,000 GENTLEMAN FROM MICHIGAN. THE SPEAKER PRO TEMPORE: THE 5929 03:20:11,001 --> 03:20:12,000 GELEMAN FROM MICHIGAN IS 5930 03:20:12,001 --> 03:20:13,000 RECOGNIZED FOR TWO MINUTES. 5931 03:20:13,001 --> 03:20:14,000 >> I THANK MY FRIEND FROM 5932 03:20:14,001 --> 03:20:16,000 CALIFORNIA. 5933 03:20:16,001 --> 03:20:17,000 I'M FROM THIS GREAT STATE OF 5934 03:20:17,001 --> 03:20:18,000 MICHIGAN WHERE OUR UNEMPLOYMENT 5935 03:20:18,001 --> 03:20:20,000 IS SADLY AT 15.2%. 5936 03:20:20,001 --> 03:20:21,000 ALMOST TWICE THE NATIONAL 5937 03:20:21,001 --> 03:20:22,000 AVERAGE. 5938 03:20:22,001 --> 03:20:23,000 LAST NIGHT WE LEARNED FROM THE 5939 03:20:23,001 --> 03:20:25,000 NATIONAL ASSOCIATION OF AUTO 5940 03:20:25,001 --> 03:20:27,000 DEALERS THAT IN FACT THIS 5941 03:20:27,001 --> 03:20:29,000 PROGRAM IN THREE DAYS HAS 5942 03:20:29,001 --> 03:20:32,000 BROUGHT ABOUT ALMOST A QUARTER 5943 03:20:32,001 --> 03:20:35,000 OF A MILLION NEW CAR SALES IN 5944 03:20:35,001 --> 03:20:37,000 JUST THOSE THREE DAYS YET THE 5945 03:20:37,001 --> 03:20:38,000 CASH IS GOING TO RUN OUT 5946 03:20:38,001 --> 03:20:39,000 LITERALLY IN THE NEXT COUPLE OF 5947 03:20:39,001 --> 03:20:41,000 DAYS WITHOUT AN INFUSION. 5948 03:20:41,001 --> 03:20:43,000 IT'S IMPORTANT THAT WE'RE NOT 5949 03:20:43,001 --> 03:20:44,000 TAKING NEW MONEY, THIS IS 5950 03:20:44,001 --> 03:20:45,000 EXISTING MONEY. 5951 03:20:45,001 --> 03:20:47,000 THIS BILL MOVES EXISTING MONEY 5952 03:20:47,001 --> 03:20:49,000 INTO OTHER ACCOUNTS SO IT WILL 5953 03:20:49,001 --> 03:20:51,000 NOT ADD TO THIS YEAR DEFICIT. 5954 03:20:51,001 --> 03:20:52,000 BUT IT IS GOING TO RUN OUT 5955 03:20:52,001 --> 03:20:56,000 WITHOUT THIS LEGISLATION. 5956 03:20:56,001 --> 03:21:00,000 HERE IS TODAY'S "USA TODAY," 5957 03:21:00,001 --> 03:21:03,000 FULL PAGE AD BY CHRYSLER, DODGE, 5958 03:21:03,001 --> 03:21:05,000 JEEP, $4,500 IF YOU BRING IN 5959 03:21:05,001 --> 03:21:08,000 DOLLARS BACK, IF YOU PURCHASE A 5960 03:21:08,001 --> 03:21:10,000 NEW VEHICLE, BRING IN YOUR OLD 5961 03:21:10,001 --> 03:21:11,000 ONE. 5962 03:21:11,001 --> 03:21:13,000 A LOT OF OUR AUTO DEALERS CAN DO IT. 5963 03:21:13,001 --> 03:21:15,000 WHETH IT'S THE BIG THREE OR 5964 03:21:15,001 --> 03:21:17,000 THE TRANSPLANTS, TOO. 5965 03:21:17,001 --> 03:21:18,000 NATIONWIDE ONE IN 10 JOBS ARE 5966 03:21:18,001 --> 03:21:20,000 AUTO RELATED. 5967 03:21:20,001 --> 03:21:22,000 IN MICHIGAN IT'S ABOUT ONE IN 5968 03:21:22,001 --> 03:21:24,000 FOUR, ONE IN FIVE JOBS. 5969 03:21:24,001 --> 03:21:26,000 AUTO SALES, THE LAST THREE YEARS 5970 03:21:26,001 --> 03:21:28,000 -- AUTO SALES THE LAST THREE 5971 03:21:28,001 --> 03:21:29,000 YEARS HAVE DECLINED BY NEARLY 5972 03:21:29,001 --> 03:21:30,000 50%. 5973 03:21:30,001 --> 03:21:31,000 16 OTHER COUNTRIES HAVE DONE 5974 03:21:31,001 --> 03:21:33,000 THIS. 5975 03:21:33,001 --> 03:21:34,000 WHETHER IT BE GERMANY, SOUTH 5976 03:21:34,001 --> 03:21:36,000 KOREA, EVEN SLOVAKIA HAS DONE 5977 03:21:36,001 --> 03:21:37,000 THIS. 5978 03:21:37,001 --> 03:21:39,000 AND IN ALL OF THOSE 16 5979 03:21:39,001 --> 03:21:40,000 COUNTRIES, CAR SALES HAVE COME 5980 03:21:40,001 --> 03:21:42,000 BACK. 5981 03:21:42,001 --> 03:21:44,000 THIS COUNTRY HAS LOST ONE IN 5982 03:21:44,001 --> 03:21:45,000 FIVE MANUFACTURINGOBS IN THE 5983 03:21:45,001 --> 03:21:49,000 LAST 16 MONTHS. 5984 03:21:49,001 --> 03:21:50,000 IF WE WANT TO KEEP JOBS HERE IN 5985 03:21:50,001 --> 03:21:52,000 THIS COUNTRY, BRING BACK SOME OF 5986 03:21:52,001 --> 03:21:53,000 THOSE THAT WE HAVE LOST, 5987 03:21:53,001 --> 03:21:56,000 OBVIOUSLY IT'S GOT TO BE IN THE 5988 03:21:56,001 --> 03:21:58,000 AUTO SECTOR WHERE ONE IN 10 JOBS 5989 03:21:58,001 --> 03:22:00,000 ARE AUTO RELATED. 5990 03:22:00,001 --> 03:22:02,000 THIS BILL SENDS THOSE DOMINOES 5991 03:22:02,001 --> 03:22:03,000 THE OTHER WAY. 5992 03:22:03,001 --> 03:22:05,000 IT BRINGS PEOPLE BACK IN THE 5993 03:22:05,001 --> 03:22:06,000 SHOWROOM, WE'VE DEMONSTRATED 5994 03:22:06,001 --> 03:22:09,000 THAT JUST THIS WEEK. 5995 03:22:09,001 --> 03:22:10,000 IT BRINGS BACK THE CALL ORDERS, 5996 03:22:10,001 --> 03:22:12,000 WE'VE HEARD IN A NUMBER OF 5997 03:22:12,001 --> 03:22:13,000 DEALERS ACROSS MICHIGAN THAT 5998 03:22:13,001 --> 03:22:14,000 THEY'RE RUNNING OUT OF CARS. 5999 03:22:14,001 --> 03:22:16,000 GUESS WHAT THEY'RE GOING TO DO? 6000 03:22:16,001 --> 03:22:17,000 THEY'RE GOING TO ORDER THEM BACK 6001 03:22:17,001 --> 03:22:18,000 AND THAT'S GOING TO BRING PEOPLE 6002 03:22:18,001 --> 03:22:20,000 BACK TO WORK. 6003 03:22:20,001 --> 03:22:21,000 WOULDN'T YOU RATHER HAVE -- LET 6004 03:22:21,001 --> 03:22:22,000 ME JUST END ON THIS, WOULDN'T 6005 03:22:22,001 --> 03:22:24,000 YOU RATHER HAVE PEOPLE WORKING 6006 03:22:24,001 --> 03:22:26,000 AND PAYING TAXES THAN BEING 6007 03:22:26,001 --> 03:22:27,000 UNEMPLOYED AND RECEIVING 6008 03:22:27,001 --> 03:22:29,000 BENEFITS WHICH IN MICHIGAN ARE 6009 03:22:29,001 --> 03:22:30,000 BECOMING EXHAUSTED? 6010 03:22:30,001 --> 03:22:32,000 I ASK MY COLLEAGUES TO VOTE FO 6011 03:22:32,001 --> 03:22:33,000 THIS BILL. 6012 03:22:33,001 --> 03:22:34,000 THE SPEAKER PRO TEMPORE: THE 6013 03:22:34,001 --> 03:22:39,000 GENTLEMAN'S TIME HAS EXPIRED. 6014 03:22:39,001 --> 03:22:43,000 THE GENTLEMAN FROM WISCONSIN. 6015 03:22:43,001 --> 03:22:45,000 MINUTE AND A HALF TO THE DISTINGUISHED GENTLEMAN FROM 6016 03:22:45,001 --> 03:22:46,000 MICHIGAN, MR. DINGELL. 6017 03:22:46,001 --> 03:22:47,000 THE SPEAKER PRO TEMPORE: THE 6018 03:22:47,001 --> 03:22:49,000 GENTLEMAN FROM MICHIGAN IS 6019 03:22:49,001 --> 03:22:51,000 RECOGNIZED FOR A MINUTE AND A 6020 03:22:51,001 --> 03:22:53,000 HALF. 6021 03:22:53,001 --> 03:22:55,000 MR. DINGELL: I ASK UNANIMOUS CONSENT TO REVISE AND EXTEND MY 6022 03:22:55,001 --> 03:22:56,000 REMARKS. 6023 03:22:56,001 --> 03:22:57,000 THE SPEAKER PRO TEMPORE: 6024 03:22:57,001 --> 03:22:58,000 WITHOUT OBJECTION. 6025 03:22:58,001 --> 03:23:00,000 MR. DINGELL: MR. SPEAKER, I 6026 03:23:00,001 --> 03:23:01,000 RISE TO COMMEND THE LEADERIP 6027 03:23:01,001 --> 03:23:02,000 AND COMMEND MY DEAR FRIEND, THE 6028 03:23:02,001 --> 03:23:03,000 CHAIRMANF THE APPROPRIATIONS 6029 03:23:03,001 --> 03:23:05,000 COMMITTEE, FOR HIS 6030 03:23:05,001 --> 03:23:06,000 EXTRAORDINARY LEADERSHIP ON 6031 03:23:06,001 --> 03:23:07,000 THIS MATTER. 6032 03:23:07,001 --> 03:23:09,000 THE SUCCESS OF THE CARS PROGRAM 6033 03:23:09,001 --> 03:23:10,000 IN JUST A FEW SHORT DAYS HAS 6034 03:23:10,001 --> 03:23:11,000 BEEN EXTRAORDINARY. 6035 03:23:11,001 --> 03:23:13,000 E PROGRAM HAS BEEN DOING SO 6036 03:23:13,001 --> 03:23:14,000 WELL, IN FACT, THE INITIAL $1 6037 03:23:14,001 --> 03:23:15,000 BILLION ALLOCATED FOR THE 6038 03:23:15,001 --> 03:23:17,000 PROGRAM IS ALREADY RUNNING LOW. 6039 03:23:17,001 --> 03:23:18,000 THIS IS A GREAT PROBLEM TO HAVE 6040 03:23:18,001 --> 03:23:20,000 IN THE MIDST OF ALL THE 6041 03:23:20,001 --> 03:23:21,000 DIFFICULTIES THAT WE CONFRONT. 6042 03:23:21,001 --> 03:23:24,000 IT'S A SIGN THAT THE PROGRAM IS 6043 03:23:24,001 --> 03:23:26,000 NOT ONLY WORKING WELL AND THE 6044 03:23:26,001 --> 03:23:27,000 CONSUMERS ARE VERY INTERESTED, 6045 03:23:27,001 --> 03:23:31,000 BUT IT'S ALSO PROVING THAT CARS 6046 03:23:31,001 --> 03:23:33,000 IS PROVIDING A JOLT, A 6047 03:23:33,001 --> 03:23:35,000 MEANINGFUL UPWARD JOLT TO OUR 6048 03:23:35,001 --> 03:23:36,000 ECONOMIC RECOVERY EFFORTS. 6049 03:23:36,001 --> 03:23:39,000 THIS IS A SIMPLE EXTENSION. 6050 03:23:39,001 --> 03:23:41,000 IT'S AN INFUSION OF MONEY IN AN 6051 03:23:41,001 --> 03:23:43,000 AREA WHERE IT'S NEED AND 6052 03:23:43,001 --> 03:23:44,000 WHERE IT'S WORKING. 6053 03:23:44,001 --> 03:23:45,000 THE LEGISLATION SHOULD NOT GET 6054 03:23:45,001 --> 03:23:46,000 BOGGED DOWN BY CALLS FOR 6055 03:23:46,001 --> 03:23:49,000 CHANGING THE PROGRAM. 6056 03:23:49,001 --> 03:23:50,000 THAT WOULD ONLY SERVE TO STALL 6057 03:23:50,001 --> 03:23:52,000 THE EXTEION AND CONFUSE 6058 03:23:52,001 --> 03:23:53,000 CONSUMERS. 6059 03:23:53,001 --> 03:23:55,000 WE CANNOT AND SHOULD NOT MAKE 6060 03:23:55,001 --> 03:23:56,000 CHANGES IN AN EXTRAORDINARILY 6061 03:23:56,001 --> 03:23:58,000 SUCCESSFUL PROGRAM THAT HAS 6062 03:23:58,001 --> 03:23:59,000 ONLY BEEN OPERATING FOR A WEEK. 6063 03:23:59,001 --> 03:24:01,000 THAT WOULD BE IRRESPONSIBLE. 6064 03:24:01,001 --> 03:24:03,000 I WOULD ADD THAT THE ADDITIONAL 6065 03:24:03,001 --> 03:24:05,000 $2 BILLION FOR THE PROGRAM HAS 6066 03:24:05,001 --> 03:24:12,000 ALREADY BEEN APPROPRIATED UNDER 6067 03:24:12,001 --> 03:24:13,000 TAXPAYERS AN ADDITIONAL TIME. 6068 03:24:13,001 --> 03:24:15,000 I ASK FOR PASSAGE OF THE BILL. 6069 03:24:15,001 --> 03:24:16,000 I COMMEND THE LEADERSHIP AND I 6070 03:24:16,001 --> 03:24:18,000 THANK MY DEAR FRIEND, THE 6071 03:24:18,001 --> 03:24:19,000 CHAIRMAN OF THE COMMITTEE, AND 6072 03:24:19,001 --> 03:24:20,000 THE OTHER MEMBERS OF THE 6073 03:24:20,001 --> 03:24:21,000 COMMITTEE WHO HAS MADE IT 6074 03:24:21,001 --> 03:24:24,000 POSSIBLE FOR US TO CONSIDER 6075 03:24:24,001 --> 03:24:26,000 THIS LEGISLATION SO FAST. I YIELD BACK THE BALANCE OF MY 6076 03:24:26,001 --> 03:24:27,000 TIME. 6077 03:24:27,001 --> 03:24:28,000 THE SPEAKER PRO TEMPORE: THE 6078 03:24:28,001 --> 03:24:29,000 GENTLEMAN YIELDS BACK THE 6079 03:24:29,001 --> 03:24:31,000 BALANCE OF HIS TIME. 6080 03:24:31,001 --> 03:24:32,000 THE GENTLEMAN FROM CALIFORNIA. 6081 03:24:32,001 --> 03:24:33,000 MR. LEWIS: MR. SPEAKER, I YIELD 6082 03:24:33,001 --> 03:24:35,000 TWO MINUTES TO THE GENTLEMAN 6083 03:24:35,001 --> 03:24:36,000 FROM TEXAS, MR. HENSARLING. 6084 03:24:36,001 --> 03:24:37,000 THE SPEAKER PRO TEMPORE: THE 6085 03:24:37,001 --> 03:24:39,000 GENTLEMAN FROM TEXAS IS 6086 03:24:39,001 --> 03:24:40,000 RECOGNIZED FOR TWO MINUTES. 6087 03:24:40,001 --> 03:24:41,000 MR. HENSARLING: I THANK THE 6088 03:24:41,001 --> 03:24:42,000 GENTLEMAN FOR YIELDING. 6089 03:24:42,001 --> 03:24:44,000 CASH FOR CLUNKERS, MR. SPEAKER. 6090 03:24:44,001 --> 03:24:45,000 OBVIOUSLY IT'S A POPULAR 6091 03:24:45,001 --> 03:24:47,000 PROGRAM. 6092 03:24:47,001 --> 03:24:49,000 IT'S A CLEVER TITLE. IT PAYS PEOPLE SEVERAL THOUSAND 6093 03:24:49,001 --> 03:24:50,000 DOLLARS TO TRADE IN THEIR OLD 6094 03:24:50,001 --> 03:24:51,000 CARS IF THEY BUY NEW CARS. 6095 03:24:51,001 --> 03:24:52,000 AND, YES, YESMR. SPEAKER, 6096 03:24:52,001 --> 03:24:54,000 PEOPLE ARE HURTING IN THE AUTO 6097 03:24:54,001 --> 03:24:55,000 INDUSTRY. 6098 03:24:55,001 --> 03:24:56,000 THERE'S NO DOUBT ABOUT IT. 6099 03:24:56,001 --> 03:24:58,000 BUT I WOULD ALSO NOTE THAT THE 6100 03:24:58,001 --> 03:25:01,000 TAXPAYERS ARE HURTING. 6101 03:25:01,001 --> 03:25:03,000 $80 BILLION TO CHRYSLER AND 6102 03:25:03,001 --> 03:25:05,000 G.M., AND THE AUTO INDUSTRY, 6103 03:25:05,001 --> 03:25:07,000 THE AUTO INDUSTRY DOES NOT HAVE 6104 03:25:07,001 --> 03:25:09,000 A MONOPOLY ON HARD TIMES IN 6105 03:25:09,001 --> 03:25:11,000 THIS ECONOMY. 6106 03:25:11,001 --> 03:25:14,000 RECENTLY ONE OF THE LARGEST 6107 03:25:14,001 --> 03:25:15,000 POULTRY PRODUCERS IN AMERICA, 6108 03:25:15,001 --> 03:25:16,000 PILGRIM'S PRIDE, JUST A FEW 6109 03:25:16,001 --> 03:25:18,000 MILES OUTSIDE OF MY 6110 03:25:18,001 --> 03:25:20,000 CONGRESSIONAL DISTRICT, THEY 6111 03:25:20,001 --> 03:25:23,000 HAD TO DECLARE CHAPTER 11. 6112 03:25:23,001 --> 03:25:26,000 MAYBE WE SHOULD HAVE A CASH FOR 6113 03:25:26,001 --> 03:25:27,000 CLUCKERS PROGRAM AND PAY PEOPLE 6114 03:25:27,001 --> 03:25:29,000 TO EAT CHICKEN. 6115 03:25:29,001 --> 03:25:31,000 THEN AFTER THAT WE CAN HAVE A 6116 03:25:31,001 --> 03:25:33,000 PROGRAM TO PAY PEOPLE TO BUY 6117 03:25:33,001 --> 03:25:35,000 TV'S AND THEN A PROGRAM TO PAY 6118 03:25:35,001 --> 03:25:36,000 PEOPLE TO BUY LUMBER. 6119 03:25:36,001 --> 03:25:38,000 IT WOULD PASS THE TEST. 6120 03:25:38,001 --> 03:25:41,000 IT HAS A CLEVER TITLE. 6121 03:25:41,001 --> 03:25:42,000 IT WOULD HELP A LARGE INDUSTRY. 6122 03:25:42,001 --> 03:25:44,000 IT WOULD PUT FREE MONEY IN THE 6123 03:25:44,001 --> 03:25:46,000 HANDS OF CONSUMERS, BUT THIS IS 6124 03:25:46,001 --> 03:25:47,000 NOT, THIS IS NOT A HUMOROUS 6125 03:25:47,001 --> 03:25:49,000 AFFAIR, MR. SPEAKER. 6126 03:25:49,001 --> 03:25:50,000 AND IT'S NOT HUMOROUS BECAUSE 6127 03:25:50,001 --> 03:25:53,000 THIS IS AN EXTENSION OF A 6128 03:25:53,001 --> 03:25:55,000 PROGRAM THAT HAS THE GOVERNMENT 6129 03:25:55,001 --> 03:25:57,000 PICKING WINNERS AND LOSERS. 6130 03:25:57,001 --> 03:26:00,000 WHY IS THE AUTO INDUSTRY THE 6131 03:26:00,001 --> 03:26:01,000 WINNER, WHY IS THE POULTRY 6132 03:26:01,001 --> 03:26:04,000 INDUSTRY THE LOSER? 6133 03:26:04,001 --> 03:26:07,000 THIS IS ONE MORE STEP IN 6134 03:26:07,001 --> 03:26:08,000 ENSHRINING US AS A BAILOUT 6135 03:26:08,001 --> 03:26:10,000 NATION. 6136 03:26:10,001 --> 03:26:11,000 NOW, PEOPLE SAY, WELL, IT'S $2 6137 03:26:11,001 --> 03:26:12,000 BILLION THAT'S COMING OUT OF 6138 03:26:12,001 --> 03:26:14,000 THE STIMULUS PROGRAM. 6139 03:26:14,001 --> 03:26:15,000 WELL, I WOULD TELL MY 6140 03:26:15,001 --> 03:26:17,000 DISTINGUISHED COLLEAGUES THAT 6141 03:26:17,001 --> 03:26:19,000 THAT IS STILL $2 BILLION THAT 6142 03:26:19,001 --> 03:26:21,000 HAS TO BE BORROWED FROM THE 6143 03:26:21,001 --> 03:26:22,000 CHINESE WITH THE BILL SENT TO 6144 03:26:22,001 --> 03:26:24,000 OUR CHILDREN AND GRANDCHILDREN 6145 03:26:24,001 --> 03:26:26,000 AT A TIME WHEN THE NATIONAL 6146 03:26:26,001 --> 03:26:27,000 DEFICIT HAS HIT $1 TRILLION FOR 6147 03:26:27,001 --> 03:26:30,000 THE FIRST TIME IN HISTORY. 6148 03:26:30,001 --> 03:26:32,000 YOU CANNOT BAIL OUT, BORROW AND 6149 03:26:32,001 --> 03:26:33,000 SPEND YOUR WAY INTO ECONOMIC 6150 03:26:33,001 --> 03:26:36,000 PROSPERITY. 6151 03:26:36,001 --> 03:26:37,000 INSTEAD, LET'S UNLEASH THE 6152 03:26:37,001 --> 03:26:39,000 SPIRIT OF ENTREPRENEURIAL 6153 03:26:39,001 --> 03:26:41,000 CAPITALISM, LET'S HELP SMALL 6154 03:26:41,001 --> 03:26:43,000 BUSINESSES WITH TAX RELIEF, LET'S GROW OUR WAY OUT OF THIS 6155 03:26:43,001 --> 03:26:44,000 ECONOMIC RECESON. 6156 03:26:44,001 --> 03:26:46,000 THE SPEAKER PRO TEMPORE: THE 6157 03:26:46,001 --> 03:26:48,000 GENTLEMAN'S TIME HAS EXPIRED. 6158 03:26:48,001 --> 03:26:49,000 THE GENTLEMAN FROM WISCONSIN. 6159 03:26:49,001 --> 03:26:50,000 MR. OBEY: I YIELD A MINUTE AND 6160 03:26:50,001 --> 03:26:52,000 A HALF 6161 03:26:52,001 --> 03:26:53,000 GENTLEMAN FROM MICHIGAN, MR. 6162 03:26:53,001 --> 03:26:54,000 KILDEE. 6163 03:26:54,001 --> 03:26:55,000 THE SPEAKER PRO TEMPORE: THE 6164 03:26:55,001 --> 03:26:57,000 GENTLEMAN FROM MICHIGAN IS 6165 03:26:57,001 --> 03:26:58,000 RECOGNIZED FOR A MINUTE AND A 6166 03:26:58,001 --> 03:26:59,000 HALF. 6167 03:26:59,001 --> 03:27:00,000 MR. KILDEE: I THANK THE 6168 03:27:00,001 --> 03:27:02,000 GENTLEMAN FOR YIELDING. 6169 03:27:02,001 --> 03:27:03,000 MR. SPEAKER, WHEN WE PASSED THE 6170 03:27:03,001 --> 03:27:04,000 CASH FOR CLUNKERS LEGISLATION 6171 03:27:04,001 --> 03:27:06,000 LAST MONTH, I SAID IT WOULD 6172 03:27:06,001 --> 03:27:07,000 PROVIDE A MUCH-NEEDED BOOST TO 6173 03:27:07,001 --> 03:27:08,000 OUR AUTO INDUSTRY AND OUR 6174 03:27:08,001 --> 03:27:11,000 MANUFACTURING COMMUNITIES. 6175 03:27:11,001 --> 03:27:12,000 AFTER JUST ONE WEEK WE SEE THE 6176 03:27:12,001 --> 03:27:15,000 GREAT SUCCESS OF THIS PROGRAM. 6177 03:27:15,001 --> 03:27:16,000 I'VE BEEN WORKING CLOSELY WITH 6178 03:27:16,001 --> 03:27:18,000 THE WHITE HOUSE, THE AUTO TASK 6179 03:27:18,001 --> 03:27:19,000 FORCE AND MY CONGRESSIONAL 6180 03:27:19,001 --> 03:27:21,000 CLEEDS TO ADD ADDITION -- 6181 03:27:21,001 --> 03:27:23,000 COLLEAGUES TO ADD ADDITIONAL 6182 03:27:23,001 --> 03:27:24,000 FUNDS TO KEEP IT UP AND 6183 03:27:24,001 --> 03:27:25,000 RUNNING. 6184 03:27:25,001 --> 03:27:27,000 THIS PROGRAM HAS BEEN AN 6185 03:27:27,001 --> 03:27:28,000 UNPRECEDENTED SUCCESS AND THERE 6186 03:27:28,001 --> 03:27:31,000 ARE NO PLANS TO SUSPEND IT. 6187 03:27:31,001 --> 03:27:32,000 THIS PROGRAM IS A SUCCESSFUL 6188 03:27:32,001 --> 03:27:34,000 EXAMPLE OF ECONOMIC STIMULUS AT 6189 03:27:34,001 --> 03:27:35,000 WORK. 6190 03:27:35,001 --> 03:27:37,000 TO CONTINUE THIS POSITIVE 6191 03:27:37,001 --> 03:27:38,000 PROGRAM, I HAVE JOINED MY 6192 03:27:38,001 --> 03:27:41,000 COLLEAGUES TODAY TO INTRODUCE 6193 03:27:41,001 --> 03:27:42,000 LEGISLATION TO REDIRECT $2 6194 03:27:42,001 --> 03:27:44,000 BILLION FROM THE ECONOMIC 6195 03:27:44,001 --> 03:27:45,000 STIMULUS B 6196 03:27:45,001 --> 03:27:46,000 CLUNKERS PROGRAM. 6197 03:27:46,001 --> 03:27:47,000 WE ARE POISED TO PASS THIS 6198 03:27:47,001 --> 03:27:49,000 LEGISLATION THROUGH THE HOUSE 6199 03:27:49,001 --> 03:27:51,000 OF REPRESENTATIVES TODAY AND 6200 03:27:51,001 --> 03:27:54,000 URGE MY SENATE COLLEAGUES TO DO 6201 03:27:54,001 --> 03:27:55,000 THE SAME AS QUICKLY AS 6202 03:27:55,001 --> 03:27:57,000 THE SPEAKER PRO TEMPORE: THE 6203 03:27:57,001 --> 03:27:58,000 GENTLEMAN YIELDS BACK THE 6204 03:27:58,001 --> 03:27:59,000 BALANCE OF HIS TIME. 6205 03:27:59,001 --> 03:28:00,000 THE GENTLEMAN FROM CALIFORNIA. 6206 03:28:00,001 --> 03:28:02,000 MR. LEWIS: I YIELD, MR. 6207 03:28:02,001 --> 03:28:03,000 SPEAKER, TWO MINUTES TO THE 6208 03:28:03,001 --> 03:28:04,000 GENTLEN FROM MICHIGAN, MR. 6209 03:28:04,001 --> 03:28:06,000 HOEKSTRA. 6210 03:28:06,001 --> 03:28:07,000 THE SPEAKER PRO TEMPORE: THE 6211 03:28:07,001 --> 03:28:08,000 GENTLEMAN FROM MICHIGAN 6212 03:28:08,001 --> 03:28:10,000 RECOGNIZED FOR TWO MINUTES. 6213 03:28:10,001 --> 03:28:11,000 MR. HOEKSTRA: I THANK MY 6214 03:28:11,001 --> 03:28:13,000 COLLEAGUE FOR YIELDING. 6215 03:28:13,001 --> 03:28:15,000 I'D LIKE TO BEGIN BY THANKING THE CHAIRMAN OF THE COMMITTEE 6216 03:28:15,001 --> 03:28:16,000 AND THE RANKING MEMBER OF THE 6217 03:28:16,001 --> 03:28:18,000 APPROPRIATIONS COMMITTEE FOR 6218 03:28:18,001 --> 03:28:19,000 MOVING SO EXPEDITIOUSLY IN 6219 03:28:19,001 --> 03:28:21,000 GETTING THIS BILL TO THE FLOOR 6220 03:28:21,001 --> 03:28:22,000 OF THE HOUSE THIS AFTERNOON. 6221 03:28:22,001 --> 03:28:23,000 YOU KNOW, THE RESPONSE FROM 6222 03:28:23,001 --> 03:28:25,000 CONSUMERS TO THIS PROGRAM HAS 6223 03:28:25,001 --> 03:28:27,000 BEEN, AS ONE OF MY DEALERS 6224 03:28:27,001 --> 03:28:28,000 DESCRIBED IT THIS WEEK, HE HAD 6225 03:28:28,001 --> 03:28:30,000 CHAOS IN HIS SHOWROOM. 6226 03:28:30,001 --> 03:28:32,000 IT ACCOMPLISHED WHAT WE WANTED IT TO ACCOMPLISH. 6227 03:28:32,001 --> 03:28:34,000 I WAS SKEPTICAL WHEN THIS 6228 03:28:34,001 --> 03:28:36,000 PROGRAM PASSED A WHILE BACK, 6229 03:28:36,001 --> 03:28:38,000 BUT IT HAS DELIVERED CUSTOMERS 6230 03:28:38,001 --> 03:28:39,000 INTO THE SHOWROOM, AND THEY ARE 6231 03:28:39,001 --> 03:28:41,000 BUYING CARS. 6232 03:28:41,001 --> 03:28:43,000 AND BEING FROM MICHIGAN, 6233 03:28:43,001 --> 03:28:45,000 EXPERIENCING A 15.2% 6234 03:28:45,001 --> 03:28:47,000 UNEMPLOYMENT RATE,HIS IS NOT 6235 03:28:47,001 --> 03:28:49,000 GOING TO ONLY PROVIDE 6236 03:28:49,001 --> 03:28:50,000 OPPORTUNITIES FOR EMPLOYMENT IN 6237 03:28:50,001 --> 03:28:51,000 THE PEOPLE THAT ASSEMBLE CARS 6238 03:28:51,001 --> 03:28:53,000 BUT ALSO FOR THE SUPPLIERS AND 6239 03:28:53,001 --> 03:28:54,000 THOSE TYPES OF THINGS. 6240 03:28:54,001 --> 03:28:55,000 AND HOPEFULLY THIS CAN BE A 6241 03:28:55,001 --> 03:28:56,000 CATALYST FOR A STRONGER 6242 03:28:56,001 --> 03:28:58,000 ECONOMIC RECOVERY. 6243 03:28:58,001 --> 03:29:00,000 IT APPEARS TO BE ONE OF THE 6244 03:29:00,001 --> 03:29:01,000 PROGRAMS IN THE STIMULUS 6245 03:29:01,001 --> 03:29:02,000 PACKAGE THAT HAVE PASSED THIS 6246 03:29:02,001 --> 03:29:05,000 HOUSE THAT ACTUALLY APPEARS TO 6247 03:29:05,001 --> 03:29:07,000 BE WORKING. AT THE SAME TIME, WHILE WE ARE, 6248 03:29:07,001 --> 03:29:09,000 YOU KNOW, MAYBE EUPHORIC ABOUT 6249 03:29:09,001 --> 03:29:10,000 THE PARTS OF THE PROGRAM THAT 6250 03:29:10,001 --> 03:29:12,000 ARE WORKING, I THINK WE ALSO 6251 03:29:12,001 --> 03:29:13,000 HAVE TO RECOGNIZE THAT THE BACK 6252 03:29:13,001 --> 03:29:15,000 END OF THIS PROGRAM, THE PARTS 6253 03:29:15,001 --> 03:29:16,000 THAT ARE BEING HANDLED BY THE 6254 03:29:16,001 --> 03:29:18,000 FEDERAL GOVERNMENT HAVE BEEN A 6255 03:29:18,001 --> 03:29:21,000 DISASTER FOR OUR DEALERS. 6256 03:29:21,001 --> 03:29:22,000 I HAVE YET TO HAVE ONE DEALER 6257 03:29:22,001 --> 03:29:25,000 WHO HAS SOLD A CAR THAT HAS 6258 03:29:25,001 --> 03:29:26,000 GOTTEN IT APPROVED BY THE 6259 03:29:26,001 --> 03:29:29,000 DEPARTMENT OF TRANSPORTATION. 6260 03:29:29,001 --> 03:29:30,000 WE CAN'T -- THE FEDERAL 6261 03:29:30,001 --> 03:29:32,000 GOVERNMENT CAN'T PROCESS A 6262 03:29:32,001 --> 03:29:33,000 SIMPLE REBATE. 6263 03:29:33,001 --> 03:29:35,000 I'VE GOT DEALERS THAT HAVE 6264 03:29:35,001 --> 03:29:36,000 SUBMITTED THE PAPERWORK THREE 6265 03:29:36,001 --> 03:29:38,000 TIMES AND HAVE GOTTEN THREE 6266 03:29:38,001 --> 03:29:40,000 REJECTIONS. 6267 03:29:40,001 --> 03:29:41,000 THE LAST ONE CAME BACK AND IT 6268 03:29:41,001 --> 03:29:42,000 SAID NO REASON FOR REJECTION. 6269 03:29:42,001 --> 03:29:45,000 WHAT IS A DEALER SUPPOSED TO 6270 03:29:45,001 --> 03:29:47,000 DO? THEY'VE ALREADY DESTROYED THE 6271 03:29:47,001 --> 03:29:49,000 CARS THAT HAVE BEEN TRADED IN, 6272 03:29:49,001 --> 03:29:53,000 THEY HAVE SOLD THE CAR, THEY'RE NOW ON THE HOOK AND EXPECTING A 6273 03:29:53,001 --> 03:29:54,000 CHECK FOR $3,500 TO $4,500 FROM 6274 03:29:54,001 --> 03:29:55,000 THE FEDERAL GOVERNMENT AND 6275 03:29:55,001 --> 03:29:58,000 THEY'RE NOT GETTING IT. 6276 03:29:58,001 --> 03:30:00,000 WE NEED TO GET THESE BACK ROOM 6277 03:30:00,001 --> 03:30:02,000 PROBLEMS FIXED TO BE ABLE TO 6278 03:30:02,001 --> 03:30:04,000 CALL THIS PROBLEM TRULY SUCCESSFUL. 6279 03:30:04,001 --> 03:30:06,000 IT CAN'T JUST BE THE FRONT END. 6280 03:30:06,001 --> 03:30:08,000 IT HAS TO BE THE ENTIRE 6281 03:30:08,001 --> 03:30:10,000 PROCESS, FROM SELLING IT TO THE 6282 03:30:10,001 --> 03:30:11,000 CUSTOMER TO THE DEALER GETTING 6283 03:30:11,001 --> 03:30:12,000 E MONEY FROM THE FEDERAL 6284 03:30:12,001 --> 03:30:13,000 GOVERNMENT. 6285 03:30:13,001 --> 03:30:15,000 THAT ALL HAS TO WORK SEAMLESSLY 6286 03:30:15,001 --> 03:30:16,000 FOR THIS PROGRAM TO BE AN 6287 03:30:16,001 --> 03:30:18,000 UNQUALIFIED SUCCESS. 6288 03:30:18,001 --> 03:30:20,000 THANK YOU, MR. SPEAKER. AND I YIELD BACK THE BALANCE OF 6289 03:30:20,001 --> 03:30:21,000 MY TIME. 6290 03:30:21,001 --> 03:30:23,000 THE SPEAKER PRO TEMPE: THE 6291 03:30:23,001 --> 03:30:25,000 GENTLEMAN YIELDS BACK THE 6292 03:30:25,001 --> 03:30:27,000 THE GENTLEMAN FROM WISCONSIN. 6293 03:30:27,001 --> 03:30:29,000 MR. OBEY: MR. CHAIRMAN, I YIELD A MINUTE AND 45 SECOS TO THE 6294 03:30:29,001 --> 03:30:30,000 GENTLEWOMAN FROM OHIO, MS. 6295 03:30:30,001 --> 03:30:32,000 SUTTON. 6296 03:30:32,001 --> 03:30:33,000 THE SPEAKER PRO TEMPORE: THE 6297 03:30:33,001 --> 03:30:34,000 GENTLEWOMAN FROM OHIO IS 6298 03:30:34,001 --> 03:30:35,000 RECOGNIZED FOR ONE MINUTE AND 6299 03:30:35,001 --> 03:30:37,000 45 SECONDS. 6300 03:30:37,001 --> 03:30:39,000 MS. SUTTON: I THANK THE GENTLEMAN FOR THE TIME. 6301 03:30:39,001 --> 03:30:40,000 MR. SPEAKER, I RISE IN SUPPORT 6302 03:30:40,001 --> 03:30:41,000 OF THIS LEGISLATION THAT'S 6303 03:30:41,001 --> 03:30:43,000 GOING TO PROVIDE AN ADDITIONAL 6304 03:30:43,001 --> 03:30:44,000 $2 BILLION FOR THE CARS ACT. 6305 03:30:44,001 --> 03:30:45,000 A BILL THAT I SPONSORED, 6306 03:30:45,001 --> 03:30:47,000 SOMETIMES REFERRED TO CASH FOR 6307 03:30:47,001 --> 03:30:48,000 CLUNKERS, BUT BY ANY NAME, THIS 6308 03:30:48,001 --> 03:30:49,000 BILL HAS BEEN THUS FAR A 6309 03:30:49,001 --> 03:30:50,000 TREMENDOUS SUCCESS. 6310 03:30:50,001 --> 03:30:51,000 IT HAS HELPED CONSUMERS 6311 03:30:51,001 --> 03:30:54,000 PURCHASE CARS THAT THEY 6312 03:30:54,001 --> 03:30:56,000 ECONOMIC DOWNTURN, PERHAPS, BUT 6313 03:30:56,001 --> 03:30:58,000 WHICH THEY NEEDED. 6314 03:30:58,001 --> 03:30:59,000 IT'S GOING TO GIVE THEM CARS 6315 03:30:59,001 --> 03:31:00,000 AND FUEL SAVINGS FOR A LONG 6316 03:31:00,001 --> 03:31:02,000 TIME TO COME. 6317 03:31:02,001 --> 03:31:04,000 IT'S HELPING OUR AUTO 6318 03:31:04,001 --> 03:31:05,000 COMPANIES, OUR AUTO DEALERS, 6319 03:31:05,001 --> 03:31:08,000 ALL OF THE JOBS ASSOCIATED WITH 6320 03:31:08,001 --> 03:31:09,000 THAT VERY VITAL AND IMPORTANT 6321 03:31:09,001 --> 03:31:11,000 INDUSTRY IN THIS COUNTRY TO 6322 03:31:11,001 --> 03:31:13,000 MAINTAIN ITSELF, TO CONTINUE 6323 03:31:13,001 --> 03:31:15,000 AND GIVE IT THE CHANCE TO GROW 6324 03:31:15,001 --> 03:31:17,000 AND RESTORE. 6325 03:31:17,001 --> 03:31:19,000 THE PROGRAM ALSO, OF COURSE, IS 6326 03:31:19,001 --> 03:31:23,000 GOOD FOR OUR ENVIRONMENT 6327 03:31:23,001 --> 03:31:24,000 BECAUSE IT'S TAKING OUT -- LESS 6328 03:31:24,001 --> 03:31:26,000 FUEL EFFICIENT CARS AND GETTING 6329 03:31:26,001 --> 03:31:27,000 THEM OFF THE ROAD AND REPLACING 6330 03:31:27,001 --> 03:31:29,000 THEM WITH MORE FUEL EFFICIENT 6331 03:31:29,001 --> 03:31:30,000 CARS. 6332 03:31:30,001 --> 03:31:32,000 THIS IS AN UNPRECEDENTED SUCCESS. 6333 03:31:32,001 --> 03:31:34,000 AND MY COLLEAGUE IS RIGHT, WE 6334 03:31:34,001 --> 03:31:36,000 MUST MAKE SURE THAT IT WORKS 6335 03:31:36,001 --> 03:31:37,000 THROUGHOUT THE ENTIRE PROCESS. 6336 03:31:37,001 --> 03:31:39,000 BUT WE ARE WELL ON OUR WAY, AND 6337 03:31:39,001 --> 03:31:41,000 I APPRECIATE THE LEADERSHIP OF 6338 03:31:41,001 --> 03:31:43,000 THE CHAIRMAN OF THE 6339 03:31:43,001 --> 03:31:44,000 APPROPRIATIONS COMMITTEE, 6340 03:31:44,001 --> 03:31:46,000 SECRETARY LAHOOD, THE 6341 03:31:46,001 --> 03:31:47,000 ADMINISTRATION WHO I'VE BEEN 6342 03:31:47,001 --> 03:31:50,000 WORKING VERY CLOSELY WITH TO 6343 03:31:50,001 --> 03:31:51,000 MAKE SURE 6344 03:31:51,001 --> 03:31:53,000 SUCCESS, WHICH IS STIMULATING 6345 03:31:53,001 --> 03:31:56,000 OUR ECONOMY, KEEPING PEOPLE 6346 03:31:56,001 --> 03:31:58,000 WORKING, HELPING OUR ENVIRONMENT AND HELPING OUR 6347 03:31:58,001 --> 03:31:59,000 CONSUMERS WHEN THEY REALLY, 6348 03:31:59,001 --> 03:32:00,000 REALLY NEED IT. 6349 03:32:00,001 --> 03:32:02,000 AND I YIELD BACK. 6350 03:32:02,001 --> 03:32:03,000 THE SPEAKER PRO TEMPORE: THE 6351 03:32:03,001 --> 03:32:04,000 GENTLEWOMAN YIELDS BACK THE 6352 03:32:04,001 --> 03:32:06,000 BALANCE OF HER TIME. 6353 03:32:06,001 --> 03:32:08,000 THE GENTLEMAN FROM CALIFORNIA. 6354 03:32:08,001 --> 03:32:10,000 MR. LEWIS: MR. SPEAKER, I'D 6355 03:32:10,001 --> 03:32:12,000 LIKE TO SAY TO THE GENTLELADY 6356 03:32:12,001 --> 03:32:17,000 WHO HAS OFFERED THIS FLOOR, SHE 6357 03:32:17,001 --> 03:32:20,000 HAS MORE -- I'M PROUD TO YIELD 6358 03:32:20,001 --> 03:32:21,000 TWO MINUTES TO THE GENTLEMAN 6359 03:32:21,001 --> 03:32:23,000 THE SPEAKER PRO TEMPORE: THE 6360 03:32:23,001 --> 03:32:24,000 GENTLEMAN FROM CALIFORNIA IS 6361 03:32:24,001 --> 03:32:25,000 RECOGNIZED FOR TWO MINUTES. 6362 03:32:25,001 --> 03:32:26,000 MR. CAMPBELL: THANK YOU, MR. 6363 03:32:26,001 --> 03:32:28,000 SPEAKER. 6364 03:32:28,001 --> 03:32:29,000 AND I THANK THE GENTLEMAN FOR 6365 03:32:29,001 --> 03:32:30,000 YIELDING. 6366 03:32:30,001 --> 03:32:32,000 YOU KNOW, MR. SPEAKER, CASH FOR 6367 03:32:32,001 --> 03:32:33,000 CLUNKERS PROGRAM WAS INARTFULLY 6368 03:32:33,001 --> 03:32:35,000 DRAFTED, IT IS MORE COMPLEX 6369 03:32:35,001 --> 03:32:36,000 THAN COME BERSOME THAN IT NEEDS 6370 03:32:36,001 --> 03:32:37,000 TO BE -- COME BERSOME THAN IT 6371 03:32:37,001 --> 03:32:39,000 NEEDS -- CUMBERSOME THAN IT 6372 03:32:39,001 --> 03:32:41,000 NEEDS TO BE. THE ADMINISTRATION OF IT HAS 6373 03:32:41,001 --> 03:32:42,000 NOT GONE ON WELL BUT IT HAS 6374 03:32:42,001 --> 03:32:43,000 WORKED. 6375 03:32:43,001 --> 03:32:44,000 AND, MR. SPEAKER, WE HAVE 6376 03:32:44,001 --> 03:32:46,000 PASSED A NUMBER OF THINGS IN 6377 03:32:46,001 --> 03:32:47,000 THIS CONGRESS THIS YEAR 6378 03:32:47,001 --> 03:32:48,000 INTENDED TO STIMULATE THE 6379 03:32:48,001 --> 03:32:49,000 ECONOMY. 6380 03:32:49,001 --> 03:32:51,000 THE VAST MAJORITY OF THEM HAVE 6381 03:32:51,001 --> 03:32:52,000 NOT HAD THAT EFFECT. 6382 03:32:52,001 --> 03:32:54,000 BUT THIS ONE HAS. 6383 03:32:54,001 --> 03:32:55,000 AND IT HAS CLEARLY WORKED. 6384 03:32:55,001 --> 03:32:57,000 FOR THE INITIAL BILLION DOLLARS 6385 03:32:57,001 --> 03:33:00,000 TO BE EXHAUSTED, THAT MEANS 6386 03:33:00,001 --> 03:33:01,000 THAT ROUGHLY 250,000 NEW 6387 03:33:01,001 --> 03:33:03,000 VEHICLES MUST HAVE BEEN SOLD IN 6388 03:33:03,001 --> 03:33:05,000 JUST THE LAST WEEK OR TWO IN 6389 03:33:05,001 --> 03:33:06,000 ORDER TO EXHAUST ALL OF THAT 6390 03:33:06,001 --> 03:33:08,000 MONEY. 6391 03:33:08,001 --> 03:33:09,000 THAT IS CLEARING INVENTORIES IN 6392 03:33:09,001 --> 03:33:11,000 CAR DEALERSHIPS WHICH MEANS CAR 6393 03:33:11,001 --> 03:33:12,000 DEALERS WILL BE ORDERING MORE 6394 03:33:12,001 --> 03:33:14,000 CARS. 6395 03:33:14,001 --> 03:33:15,000 WHEN THEY ORDER MORE CARS, 6396 03:33:15,001 --> 03:33:16,000 PLANTS WILL BEGIN TO RUN AGAIN. 6397 03:33:16,001 --> 03:33:17,000 PLANTS WILL OPEN UP. 6398 03:33:17,001 --> 03:33:18,000 THEY WILL BE PRODUCING MORE 6399 03:33:18,001 --> 03:33:20,000 CARS, AND PEOPLE WILL GO BACK 6400 03:33:20,001 --> 03:33:21,000 TO WORK. 6401 03:33:21,001 --> 03:33:23,000 THERE WILL BE SUPPLIERS THAT 6402 03:33:23,001 --> 03:33:24,000 WILL PRODUCE SUPPLIES, VARIOUS 6403 03:33:24,001 --> 03:33:26,000 PARTS FOR THOSE CARS, STEEL 6404 03:33:26,001 --> 03:33:27,000 MILLS WILL BE PRODUCED FOR 6405 03:33:27,001 --> 03:33:28,000 THOSE CARS, AND THOSE PEOPLE 6406 03:33:28,001 --> 03:33:29,000 WILL GO BACK TO WORK. 6407 03:33:29,001 --> 03:33:30,000 THERE WILL BE TRUCKS AND TRAINS 6408 03:33:30,001 --> 03:33:33,000 THAT DELIVER THOSE CARS AND 6409 03:33:33,001 --> 03:33:35,000 WORK. 6410 03:33:35,001 --> 03:33:36,000 AND, MR. SPEAKER, THE $2 6411 03:33:36,001 --> 03:33:37,000 BILLION FOR THIS IS COMING OUT 6412 03:33:37,001 --> 03:33:40,000 OF THE EXISTING FUNDING, SO IT 6413 03:33:40,001 --> 03:33:41,000 IS NOT INCREASING THE DEBT OR 6414 03:33:41,001 --> 03:33:43,000 THE DEFICIT ANY MORE THAN WHAT 6415 03:33:43,001 --> 03:33:45,000 HAS ALREADY BEEN THERE. 6416 03:33:45,001 --> 03:33:46,000 MR. SPEAKER, I SUPPORT THIS 6417 03:33:46,001 --> 03:33:48,000 BILL. 6418 03:33:48,001 --> 03:33:51,000 I SUPPORT THIS EFFORT. 6419 03:33:51,001 --> 03:33:53,000 THERE IS -- IT IS THE ONE THING 6420 03:33:53,001 --> 03:33:54,000 WE HAVE DONE IN THIS CONGRESS 6421 03:33:54,001 --> 03:33:55,000 THAT IS ABSOLUTELY WORKING. 6422 03:33:55,001 --> 03:33:57,000 IT IS STIMULATING THE ECONOMY. 6423 03:33:57,001 --> 03:33:58,000 IT IS CREATING JOBS AND WE WANT 6424 03:33:58,001 --> 03:33:59,000 IT TO CREATE MORE. 6425 03:33:59,001 --> 03:34:00,000 I YIELD BACK THE BALANCE OF MY 6426 03:34:00,001 --> 03:34:02,000 TIME. 6427 03:34:02,001 --> 03:34:03,000 THE SPEAKER PRO TEMPORE: THE 6428 03:34:03,001 --> 03:34:05,000 GENTLEMAN YIELDS BACK THE 6429 03:34:05,001 --> 03:34:06,000 BALANCE OF HIS TIME. 6430 03:34:06,001 --> 03:34:07,000 THE GENTLEMAN FROM WISCONSIN. 6431 03:34:07,001 --> 03:34:09,000 MR. OBEY: I YIELD A MINUTE AND 6432 03:34:09,001 --> 03:34:11,000 A HALF TO THE DISTINGUISHED GENTLEMAN FROM MASSACHUSETTS, 6433 03:34:11,001 --> 03:34:12,000 MR. MARKEY. 6434 03:34:12,001 --> 03:34:14,000 THE SPEAKER PRO TEMPORE: THE 6435 03:34:14,001 --> 03:34:15,000 GENTLEMAN FROM MASSACHUSETTS IS 6436 03:34:15,001 --> 03:34:16,000 RECOGNIZED FOR A MINUTE AND A 6437 03:34:16,001 --> 03:34:17,000 HALF. 6438 03:34:17,001 --> 03:34:18,000 MR. MARKEY: I THANK THE 6439 03:34:18,001 --> 03:34:20,000 GENTLEMAN VERY MUCH AND I 6440 03:34:20,001 --> 03:34:21,000 APPRECIATE YOUR HARD WORK IN 6441 03:34:21,001 --> 03:34:23,000 EXTENDING THIS PROGRAM. 6442 03:34:23,001 --> 03:34:25,000 THIS PROGRAM IS A WIN FOR CONSUMERS WHO ARE TRADING IN 6443 03:34:25,001 --> 03:34:27,000 OLD GAS GUZZLERS FOR HYBRIDS, A 6444 03:34:27,001 --> 03:34:29,000 WIN FOR OUR ECONOMY AND A WIN FOR ENERGY INDEPENDENCE AND THE 6445 03:34:29,001 --> 03:34:31,000 ENVIRONMENT AS THE NEW VEHICLES 6446 03:34:31,001 --> 03:34:32,000 ARE AVERAGING 60% MORE FUEL 6447 03:34:32,001 --> 03:34:34,000 EFFICIENCY THAN THE JUNKERS 6448 03:34:34,001 --> 03:34:36,000 BEING TAKEN OFF THE ROAD. 6449 03:34:36,001 --> 03:34:38,000 HOWEVER, I AM CONCERNED THAT WE 6450 03:34:38,001 --> 03:34:39,000 ARE TAKING FUNNG FROM THE 6451 03:34:39,001 --> 03:34:41,000 RENEWABLE ENERGY LOAN GUARANTEE 6452 03:34:41,001 --> 03:34:43,000 PROGRAM AND WOULD EXPRESS MY 6453 03:34:43,001 --> 03:34:45,000 STRONG BELIEF THAT WE MUST FIND 6454 03:34:45,001 --> 03:34:46,000 A WAY OF REPLENISHING THOSE 6455 03:34:46,001 --> 03:34:48,000 FUNDS AS SOON AS POSSIBLE. 6456 03:34:48,001 --> 03:34:50,000 MR. CHAIRMAN, COULD YOU WORK 6457 03:34:50,001 --> 03:34:52,000 WITH ME AND OTHER MEMBRS TO 6458 03:34:52,001 --> 03:34:54,000 ENSURE THAT THE FUNDS FOR THIS 6459 03:34:54,001 --> 03:34:56,000 PROGRAM WILL BE REPLENISHED? 6460 03:34:56,001 --> 03:34:58,000 MR. OBEY: IF WILL THE GENTLEMAN YIELD? 6461 03:34:58,001 --> 03:35:00,000 I SHARE THE GENTLEMAN'S VIEW 6462 03:35:00,001 --> 03:35:01,000 THAT THE RENEWABLE ENERGY LOAN 6463 03:35:01,001 --> 03:35:03,000 GUARANTEE PROGRAM IS OF VITAL 6464 03:35:03,001 --> 03:35:05,000 IMPORTANCE TO CREATING A NEW GREEN ECONOMY. 6465 03:35:05,001 --> 03:35:06,000 WE HAVE TALKED WITH THE WHITE 6466 03:35:06,001 --> 03:35:08,000 HOUSE. 6467 03:35:08,001 --> 03:35:10,000 WE'VE TALKED WITH THE SPEAKER. 6468 03:35:10,001 --> 03:35:12,000 AND I WANT TO ASSURE YOU THAT 6469 03:35:12,001 --> 03:35:14,000 ALL OF US CERTAINLY HAVE EVERY 6470 03:35:14,001 --> 03:35:16,000 INTENTION OF RESTORING THESE 6471 03:35:16,001 --> 03:35:18,000 FUNDS. MR. MARKEY: I THANK THE 6472 03:35:18,001 --> 03:35:19,000 CHAIRMAN VERY MUCH. 6473 03:35:19,001 --> 03:35:20,000 I KNOW THAT THIS HAS ALWAYS 6474 03:35:20,001 --> 03:35:22,000 BEEN THE HIGHEST PRIORITY FOR 6475 03:35:22,001 --> 03:35:23,000 YOURSELF, FOR SPEAKER PELOSI 6476 03:35:23,001 --> 03:35:25,000 AND FOR THE OBAMA 6477 03:35:25,001 --> 03:35:26,000 ADMINISTRATION. 6478 03:35:26,001 --> 03:35:27,000 AND I LOOK FORWARD TO WORKING 6479 03:35:27,001 --> 03:35:29,000 WITH YOU IN THE FUTURE IN ORDER 6480 03:35:29,001 --> 03:35:30,000 TO MAKE SURE THAT WE HAVE A 6481 03:35:30,001 --> 03:35:32,000 WIN-WIN HERE FOR RENEWABLE 6482 03:35:32,001 --> 03:35:33,000 E 6483 03:35:33,001 --> 03:35:34,000 VEHICLES. 6484 03:35:34,001 --> 03:35:36,000 THANK YOU. 6485 03:35:36,001 --> 03:35:37,000 THE SPEAKER PRO TEMPORE: THE 6486 03:35:37,001 --> 03:35:38,000 GENTLEMAN YIDS BACK THE 6487 03:35:38,001 --> 03:35:40,000 BALANCE OF HIS TIME. 6488 03:35:40,001 --> 03:35:41,000 THE GENTLEMAN FROM CALIFORNIA. 6489 03:35:41,001 --> 03:35:43,000 MR. LEWIS: MR. SPEAKER, I YIELD 6490 03:35:43,001 --> 03:35:45,000 TWO MINUTES TO THE GENTLEMAN FROM ARIZONA, MR. FLAKE. 6491 03:35:45,001 --> 03:35:47,000 THE SPEAKER PRO TEMPORE: THE 6492 03:35:47,001 --> 03:35:49,000 GENTLEMAN FROM ARIZONA IS RECOGNIZED FOR TWO MINUTES. 6493 03:35:49,001 --> 03:35:50,000 MR. FLAKE: I WON'T TAKE TWO 6494 03:35:50,001 --> 03:35:52,000 MINUTES. 6495 03:35:52,001 --> 03:35:53,000 I HAVE TO SAY I THOUGHT I HAD 6496 03:35:53,001 --> 03:35:54,000 HEARD IT ALL UNTIL I CAME TO 6497 03:35:54,001 --> 03:35:55,000 THE FLOOR TODAY. 6498 03:35:55,001 --> 03:35:56,000 SOMEBODY SAID EARLIER, THIS 6499 03:35:56,001 --> 03:35:58,000 BILL IS A SUCCESS. 6500 03:35:58,001 --> 03:35:59,000 FORD MOTOR COMPANY LOVES IT. 6501 03:35:59,001 --> 03:36:00,000 I THINK THAT THAT'S 6502 03:36:00,001 --> 03:36:02,000 SELF-EVIDENT. 6503 03:36:02,001 --> 03:36:03,000 BUT I THINK THAT THERE ARE 6504 03:36:03,001 --> 03:36:04,000 TAXPAYERS AROUND THE COUNTRY 6505 03:36:04,001 --> 03:36:06,000 WHO ARE WONDERING WHY WE'RE 6506 03:36:06,001 --> 03:36:07,000 TAKING $2 BILLION MORE FROM 6507 03:36:07,001 --> 03:36:09,000 THEM TO DECIDE WHICH INDUSTRY 6508 03:36:09,001 --> 03:36:10,000 HERE IS GOING TO GET A BREAK. 6509 03:36:10,001 --> 03:36:12,000 WE DECIDED TO GIVE OUT FREE 6510 03:36:12,001 --> 03:36:13,000 MONEY AND NOW WE'RE SURPRISED 6511 03:36:13,001 --> 03:36:14,000 WH PEOPLE TAKE ADVANTAGE OF 6512 03:36:14,001 --> 03:36:17,000 IT AND LOVE THE PROGRAM. 6513 03:36:17,001 --> 03:36:18,000 I MEAN, THAT'S THE NATURE OF 6514 03:36:18,001 --> 03:36:20,000 HUMAN NATURE. 6515 03:36:20,001 --> 03:36:21,000 IF YOU'RE GIVEN FREE MONEY, YOU 6516 03:36:21,001 --> 03:36:23,000 LIKE IT AND YOU WANT MORE. 6517 03:36:23,001 --> 03:36:25,000 AND THAT'S WHAT THIS PROGRAM 6518 03:36:25,001 --> 03:36:26,000 IS. 6519 03:36:26,001 --> 03:36:28,000 WHY ARE WE DECIDING TO AID THIS 6520 03:36:28,001 --> 03:36:29,000 SECTOR AND NOT ANOTHER? 6521 03:36:29,001 --> 03:36:32,000 IF YOU'RE MR. OR MRS. 6522 03:36:32,001 --> 03:36:34,000 BUSINESSMAN ACROSS THE COUNTRY, YOU'VE GOT TO BE WONDERING IF 6523 03:36:34,001 --> 03:36:36,000 WE HAVE LOST OUR MINDS HERE BY 6524 03:36:36,001 --> 03:36:37,000 SAYING WE'RE GOING TO CONTINUE 6525 03:36:37,001 --> 03:36:41,000 TO GIVE OUT MORE MONEY JUST FOR 6526 03:36:41,001 --> 03:36:42,000 THIS INDUSTRY BUT NOT HELP THE 6527 03:36:42,001 --> 03:36:44,000 OTHERS. 6528 03:36:44,001 --> 03:36:45,000 I JUST -- I DON'T UNDERSTAND 6529 03:36:45,001 --> 03:36:47,000 THIS PROCESS AND HOW WE CAN 6530 03:36:47,001 --> 03:36:49,000 BRING THIS UP THIS QUICKLY BUT 6531 03:36:49,001 --> 03:36:50,000 AN APPROPRIATIONS COMMITTEE 6532 03:36:50,001 --> 03:36:52,000 THAT CAN BRING A DEFENSE BILL 6533 03:36:52,001 --> 03:36:53,000 TO THE FLOOR IN 18 MINUTES FOR 6534 03:36:53,001 --> 03:36:56,000 A MARKUP THAT HAS MORE THAN 6535 03:36:56,001 --> 03:36:57,000 1,100 EARMARKS, I GUESS, HAS NO 6536 03:36:57,001 --> 03:36:58,000 PROBLEM DOING THIS. 6537 03:36:58,001 --> 03:37:00,000 WITH THAT I YIELD BACK. 6538 03:37:00,001 --> 03:37:01,000 THE SPEAKER PRO TEMPORE: THE 6539 03:37:01,001 --> 03:37:02,000 GENTLEMAN YIELDS BACK THE 6540 03:37:02,001 --> 03:37:04,000 BALANCE OF HIS TIME. 6541 03:37:04,001 --> 03:37:05,000 THE GENTLEMAN FROM WISCONSIN. 6542 03:37:05,001 --> 03:37:07,000 MR. OBEY: MR. CHAIRMAN, I YIELD 6543 03:37:07,001 --> 03:37:09,000 MYSELF 20 SECONDS. THE SPEAKER PRO TEMPORE: THE 6544 03:37:09,001 --> 03:37:11,000 GENTLEMAN IS RECOGNIZED. 6545 03:37:11,001 --> 03:37:13,000 MR. OBEY: I JUST WANT TO SAY, MR. CHAIRMAN -- MR. SPEAKER, 6546 03:37:13,001 --> 03:37:14,000 THAT WE'VE HEARD SEVERAL TIMES 6547 03:37:14,001 --> 03:37:15,000 HERE TODAY ABOUT THIS ACTION 6548 03:37:15,001 --> 03:37:18,000 ARE COMPLAINTS FROM THE PEOPLE 6549 03:37:18,001 --> 03:37:19,000 WHO HELPED WRECK AMERICA'S 6550 03:37:19,001 --> 03:37:21,000 ECONOMY AND ARE NOW COMPLAING 6551 03:37:21,001 --> 03:37:23,000 BECAUSOF THE WAY THIS 6552 03:37:23,001 --> 03:37:25,000 PRESIDENT AND THIS CONGRESS IS 6553 03:37:25,001 --> 03:37:26,000 TRYING TO PULL THE COUNTRY OUT 6554 03:37:26,001 --> 03:37:27,000 OF THE DITCH AND RESTORE 6555 03:37:27,001 --> 03:37:29,000 ECONOMIC GROWTH. 6556 03:37:29,001 --> 03:37:30,000 WE'VE COME TO EXPECT THAT, BUT 6557 03:37:30,001 --> 03:37:31,000 THAT DOESN'T MAKE IT ANY MORE 6558 03:37:31,001 --> 03:37:33,000 PLEASANT. 6559 03:37:33,001 --> 03:37:34,000 WITH THAT I YIELD A MINUTE TO 6560 03:37:34,001 --> 03:37:36,000 THE DISTINGUISHED SPEAKER OF 6561 03:37:36,001 --> 03:37:37,000 THE HOUSE. 6562 03:37:37,001 --> 03:37:38,000 THE SPEAKER PRO TEMPORE: THE 6563 03:37:38,001 --> 03:37:40,000 SPEAKER OF THE HOUSE 6564 03:37:40,001 --> 03:37:42,000 RECOGNIZED. 6565 03:37:42,001 --> 03:37:43,000 THE SPEAKER: THANK YOU VERY 6566 03:37:43,001 --> 03:37:45,000 MUCH, MRSPEAKER. 6567 03:37:45,001 --> 03:37:46,000 I THANK THE GENTLEMAN FOR 6568 03:37:46,001 --> 03:37:48,000 YIELDING AND I THA HIM FOR HIS 6569 03:37:48,001 --> 03:37:50,000 VERY IMPORTANT AND SWIFT ACTION 6570 03:37:50,001 --> 03:37:52,000 TO ADDRESS THE OPPORTUNITY THAT 6571 03:37:52,001 --> 03:37:54,000 WAS GIVEN TO US THIS WEEK. 6572 03:37:54,001 --> 03:37:56,000 AS YOU KNOW, MY COLLEAGUES, AS 6573 03:37:56,001 --> 03:37:59,000 PART OF THE SUPPLEMENTAL EARLIER 6574 03:37:59,001 --> 03:38:00,000 THIS YEAR THE CASH FOR CLUNKERS 6575 03:38:00,001 --> 03:38:02,000 PROVISION WAS PROVIDED IN IT. 6576 03:38:02,001 --> 03:38:04,000 MANY PEOPLE HAD WORKED VERY, 6577 03:38:04,001 --> 03:38:06,000 VERY HARD ON THAT FOR A LONG 6578 03:38:06,001 --> 03:38:08,000 TIME AND WE WERE ABLE TO HAVE IT 6579 03:38:08,001 --> 03:38:09,000 PASSED ON A BILL THAT WAS GOING 6580 03:38:09,001 --> 03:38:12,000 TO BE SIGNED BY THE PRESIDENT. 6581 03:38:12,001 --> 03:38:13,000 I WANT TO ACKNOWLEDGE 6582 03:38:13,001 --> 03:38:16,000 CONGRESSWOMAN SUTTON FOR HER 6583 03:38:16,001 --> 03:38:18,000 ENTHUSIASTIC SUPPORT AND 6584 03:38:18,001 --> 03:38:20,000 LEADERSHIP, CONGRESSMAN INSLEE, 6585 03:38:20,001 --> 03:38:21,000 CONGRESSMAN ISRAEL, STEVE ISRA 6586 03:38:21,001 --> 03:38:23,000 OF NEW YORK, ALL WORKED VERY 6587 03:38:23,001 --> 03:38:25,000 HARD ON THIS. 6588 03:38:25,001 --> 03:38:27,000 CERTAINLY THE CHAIRMAN EMERITUS, 6589 03:38:27,001 --> 03:38:30,000 MR. DINGELL, THE CURRENT 6590 03:38:30,001 --> 03:38:34,000 CHAIRMAN OF THE -- THE CURRENT 6591 03:38:34,001 --> 03:38:35,000 CHAIRMAN, MR. WAXMAN, MR. 6592 03:38:35,001 --> 03:38:37,000 MARKEY, FOR HIS LEADERSHIP ON 6593 03:38:37,001 --> 03:38:38,000 THIS ISSUE FOR A LONG PERIOD OF 6594 03:38:38,001 --> 03:38:40,000 TIME. 6595 03:38:40,001 --> 03:38:41,000 I MENTION ALL OF THEM BECAUSE 6596 03:38:41,001 --> 03:38:44,000 THIS BRINGS TOGETHER SO MANY 6597 03:38:44,001 --> 03:38:47,000 ELEMENTS OF WHAT WE WANT TO DO 6598 03:38:47,001 --> 03:38:49,000 TO GROW OUR ECONOMY, TO HELP OUR 6599 03:38:49,001 --> 03:38:51,000 WORKERS, TO OTECT OUR 6600 03:38:51,001 --> 03:38:54,000 ENVIRONMENT AND TO DO SO IN A 6601 03:38:54,001 --> 03:38:56,000 VERY FOCUSED WAY THAT WORKS. 6602 03:38:56,001 --> 03:38:58,000 AND THAT'S WHAT IS INTERESTING 6603 03:38:58,001 --> 03:39:00,000 ABOUT THIS WEEK AND ABOUT -- 6604 03:39:00,001 --> 03:39:01,000 WEEK. 6605 03:39:01,001 --> 03:39:03,000 IN ABOUT SIX DAYS IT'S ESTIMATED 6606 03:39:03,001 --> 03:39:05,000 THAT 250,000 CARS WERE SOLD. 6607 03:39:05,001 --> 03:39:07,000 ON BOTH SIDES OF THE AISLE 6608 03:39:07,001 --> 03:39:08,000 PEOPLE ACKNOWLEDGE THE 6609 03:39:08,001 --> 03:39:09,000 EFFECTIVENESS OF THIS 6610 03:39:09,001 --> 03:39:10,000 INITIATIVE. 6611 03:39:10,001 --> 03:39:12,000 AND THAT IS WHY YESTERDAY, AS WE 6612 03:39:12,001 --> 03:39:13,000 WERE SEEING WHAT WAS HAPPENING 6613 03:39:13,001 --> 03:39:16,000 THIS WEEK, THE OBAMA 6614 03:39:16,001 --> 03:39:18,000 ADMINISTRATION ASKED US TO HELP CONSUMERS WHO HAVE YET TO HAVE 6615 03:39:18,001 --> 03:39:19,000 THE OPPORTUNITY TO TAKE 6616 03:39:19,001 --> 03:39:22,000 ADVANTAGE OF TRADING IN THEIR 6617 03:39:22,001 --> 03:39:23,000 OLD CARS FOR NEW ENERGY 6618 03:39:23,001 --> 03:39:26,000 EFFICIENT MODELS. 6619 03:39:26,001 --> 03:39:28,000 WHEN THEY DO THAT, AGAIN, THEY 6620 03:39:28,001 --> 03:39:29,000 STRENGTHEN THE AUTO INDUSTR 6621 03:39:29,001 --> 03:39:31,000 STRENGTHEN OUR ECONOMY AT LARGE 6622 03:39:31,001 --> 03:39:32,000 AND HELP PRESERVE OUR 6623 03:39:32,001 --> 03:39:34,000 ENVIRONMENT. 6624 03:39:34,001 --> 03:39:36,000 WHAT'S INTERESTING ABOUT IT AND 6625 03:39:36,001 --> 03:39:38,000 THE POINT THAT IS MADE BY MANY 6626 03:39:38,001 --> 03:39:41,000 SPEAKERS ALREADY IS JUST -- THAT 6627 03:39:41,001 --> 03:39:42,000 WAS MADE BY MANY SPEAKERS 6628 03:39:42,001 --> 03:39:44,000 ALREADY IS JUST THAT EVERYTHING 6629 03:39:44,001 --> 03:39:46,000 HAS PERFORMEBEYOND THE 6630 03:39:46,001 --> 03:39:47,000 REQUIREMENTS OF THE BILL. 6631 03:39:47,001 --> 03:39:49,000 THE CARS THAT HAVE BEEN 6632 03:39:49,001 --> 03:39:51,000 PURCHASED ARE MUCH MORE FUEL 6633 03:39:51,001 --> 03:39:54,000 EFFICIENT AND THE EMISSION 6634 03:39:54,001 --> 03:39:55,000 STANDARD MUCH BETTER THAN THE 6635 03:39:55,001 --> 03:39:56,000 BILL EVEN REQUIRED AND THAT'S 6636 03:39:56,001 --> 03:39:58,000 GOOD NEWS. 6637 03:39:58,001 --> 03:40:02,000 I DO SHARE THE CONCERN THAT HAS 6638 03:40:02,001 --> 03:40:04,000 BEEN PUT FORTH BY MR. MARKEY 6639 03:40:04,001 --> 03:40:06,000 AND, I DON'T KNOW IF MR. INSLEE 6640 03:40:06,001 --> 03:40:07,000 HAS YET BUT HE WILL, ABOUT THE 6641 03:40:07,001 --> 03:40:12,000 SOURCE OF THE REVENUE AND THAT 6642 03:40:12,001 --> 03:40:15,000 IS THE INNOVATIVE TECHNOLOGY'S 6643 03:40:15,001 --> 03:40:17,000 LOAN GUARANTEE PROGRAM. 6644 03:40:17,001 --> 03:40:20,000 THE RECOVERY PACKAGE IN JANUARY, 6645 03:40:20,001 --> 03:40:22,000 WE VOTED FOR A $6 BILLION 6646 03:40:22,001 --> 03:40:26,000 INITIATIVE. IT WAS VERY IMPORTANT TO HAVE IT 6647 03:40:26,001 --> 03:40:27,000 AT THAT LEVEL AND IT'S VERY 6648 03:40:27,001 --> 03:40:29,000 IMPORTANT IN TERMS OF OUR 6649 03:40:29,001 --> 03:40:30,000 RENEWABLES PROGRAM. 6650 03:40:30,001 --> 03:40:32,000 $6 BILLION. 6651 03:40:32,001 --> 03:40:33,000 THE ADMINISTRATION HAS JUST 6652 03:40:33,001 --> 03:40:35,000 RELEASED A SOLICITATION FOR 6653 03:40:35,001 --> 03:40:37,000 ABOUT HALF OF THAT MONEY, $3 6654 03:40:37,001 --> 03:40:38,000 BILLION, IN LOANS FOR RENEWABLE 6655 03:40:38,001 --> 03:40:39,000 ENERGY. 6656 03:40:39,001 --> 03:40:42,000 THE REST OF THE MONEY WOULD NOT 6657 03:40:42,001 --> 03:40:43,000 BE RELEASED UNTIL NEXT YEAR, 6658 03:40:43,001 --> 03:40:44,000 TIL AFTER JANUARY. 6659 03:40:44,001 --> 03:40:47,000 SO THAT GAVE US AN OPPORTUNITY 6660 03:40:47,001 --> 03:40:48,000 FOR THE TIME BEING TO USE $2 6661 03:40:48,001 --> 03:40:56,000 BILLION OF THAT FOR THIS CASH 6662 03:40:56,001 --> 03:40:58,000 FOR CLUNKERS EXPANSION. 6663 03:40:58,001 --> 03:40:59,000 AND I, AGAIN, AM CONCERNED ABOUT 6664 03:40:59,001 --> 03:41:01,000 THE FACT THAT THAT MONEY IS 6665 03:41:01,001 --> 03:41:03,000 TAKEN FROM THAT ACCOUNT BUT THE 6666 03:41:03,001 --> 03:41:06,000 NOT TAKEN -- IT HAS NOT MADE ANY 6667 03:41:06,001 --> 03:41:08,000 OPPORTUNITY COSTS FOR THE PROGRAM BECAUSE THE TIMING IS 6668 03:41:08,001 --> 03:41:09,000 THAT THAT MONEY WOULD BE SPENT 6669 03:41:09,001 --> 03:41:11,000 NEXT YEAR. 6670 03:41:11,001 --> 03:41:13,000 I DO HOPE THAT WHEER 6671 03:41:13,001 --> 03:41:15,000 THE CONTINUING RESOLUTION OR 6672 03:41:15,001 --> 03:41:17,000 SOME OTHER STEP ALONG THE WAY, 6673 03:41:17,001 --> 03:41:19,000 THAT THOSE FUNDS WILL BE 6674 03:41:19,001 --> 03:41:22,000 RESTORED BECAUSE IT'S NOT 6675 03:41:22,001 --> 03:41:24,000 APPROPRIATE FOR US TO TAKE MONEY 6676 03:41:24,001 --> 03:41:26,000 TO DO ONE THING FOR FUEL 6677 03:41:26,001 --> 03:41:27,000 EFFICIENCY OUT OF AN ACCOUNT 6678 03:41:27,001 --> 03:41:30,000 THAT IS DESIGNED TO DO JUST THAT 6679 03:41:30,001 --> 03:41:32,000 LOOKING INTO THE FUTURE WITH 6680 03:41:32,001 --> 03:41:33,000 FURTHER INOVATION. 6681 03:41:33,001 --> 03:41:34,000 SO I SHARE THE CONCERNS 6682 03:41:34,001 --> 03:41:37,000 EXPRESSED BY MR. MARKEY AND 6683 03:41:37,001 --> 03:41:40,000 APPRECIATE THE COMMENTS MADE BY 6684 03:41:40,001 --> 03:41:42,000 MR. OBEY IN THE COLLOQUY THAT 6685 03:41:42,001 --> 03:41:44,000 THEY HAD ABOUT RESTORING THOSE 6686 03:41:44,001 --> 03:41:46,000 FUNDS. 6687 03:41:46,001 --> 03:41:48,000 BUT AGAIN I THINK THIS IS PRETTY EXCITING -- THIS IS A PRETTY 6688 03:41:48,001 --> 03:41:49,000 EXCITING DAY. 6689 03:41:49,001 --> 03:41:51,000 AS I SAID, WE GOT THE WORD JUST 6690 03:41:51,001 --> 03:41:52,000 AS THIS NEWS WAS UNFOLDING THIS 6691 03:41:52,001 --> 03:41:54,000 WEEK, YESTERDAY IT WAS 6692 03:41:54,001 --> 03:41:55,000 DETERMINED THAT WE COULD GO 6693 03:41:55,001 --> 03:41:56,000 FORWARD. 6694 03:41:56,001 --> 03:41:58,000 THE RULES COMMITTEE UNDER 6695 03:41:58,001 --> 03:42:00,000 CONGRESSWOMAN SLAUGHTER 6696 03:42:00,001 --> 03:42:02,000 RESPONDED VERY POSITIVELY, THE CHAIRMAN OF THE APPROPRIATIONS 6697 03:42:02,001 --> 03:42:05,000 COMMITTEE, MR. OBEY, JUST TRYING 6698 03:42:05,001 --> 03:42:06,000 TO FIND SOLUTIONS FOR US AND THE 6699 03:42:06,001 --> 03:42:08,000 LEADERSHIP OF THE REPUBLICAN 6700 03:42:08,001 --> 03:42:10,000 PARTY VERY COOPERATIVE IN HOW WE 6701 03:42:10,001 --> 03:42:13,000 COULD BRING THE BILLED TO FLOOR. 6702 03:42:13,001 --> 03:42:14,000 SO THIS IS A VERY POSITIVE, 6703 03:42:14,001 --> 03:42:16,000 BIPARTISAN INITIATIVE TO HELP 6704 03:42:16,001 --> 03:42:17,000 OUR AUTO INDUSTRY, TO HELP 6705 03:42:17,001 --> 03:42:20,000 CONSUMERS, TO GROW OUR ECONOMY, 6706 03:42:20,001 --> 03:42:21,000 TO DO IT IN AN ENVIRONMENTALLY 6707 03:42:21,001 --> 03:42:22,000 SOUND WAY. 6708 03:42:22,001 --> 03:42:25,000 I THINK IT'S THE PERFECT MESSAGE 6709 03:42:25,001 --> 03:42:26,000 FOR US TO TAKE HOME FOR AUGUST. THANK YOU ALL FOR YOUR 6710 03:42:26,001 --> 03:42:28,000 LEADERSHIP IN MAKING THIS 6711 03:42:28,001 --> 03:42:29,000 POSSIBLE. 6712 03:42:29,001 --> 03:42:31,000 WITH THAT I YIELD BACK THE 6713 03:42:31,001 --> 03:42:32,000 BALANCE OF MY TIME. 6714 03:42:32,001 --> 03:42:33,000 THE SPEAKER PRO TEMPORE: THE 6715 03:42:33,001 --> 03:42:35,000 GENTLEWOMAN YIELDS BACK THE 6716 03:42:35,001 --> 03:42:37,000 BALANCE OF HER TIME. THE GENTLEMAN FROM CALIFORNIA. 6717 03:42:37,001 --> 03:42:38,000 MR. LEWIS: MR. SPEAKER, THE TIME 6718 03:42:38,001 --> 03:42:39,000 REMAING ON EACH SI 6719 03:42:39,001 --> 03:42:41,000 THE SPEAKER PRO TEMPORE: THE 6720 03:42:41,001 --> 03:42:42,000 GENTLEMAN FROM CALIFORNIA HAS 6721 03:42:42,001 --> 03:42:43,000 FOUR MINUTES REMAINING AND THE 6722 03:42:43,001 --> 03:42:44,000 GENTLEMAN FROM WISCONSIN HAS 7 6723 03:42:44,001 --> 03:42:46,000 3/4 MINUTES REMAINING. 6724 03:42:46,001 --> 03:42:47,000 M 6725 03:42:47,001 --> 03:42:48,000 SPEAKER. 6726 03:42:48,001 --> 03:42:50,000 I YIELD ONE MINUTE TO DR. BROUN. 6727 03:42:50,001 --> 03:42:51,000 THE SPEAKER PRO TEMPORE: THE 6728 03:42:51,001 --> 03:42:53,000 GENTLEMAN IS RECOGNIZED FOR ONE 6729 03:42:53,001 --> 03:42:55,000 MINUTE. MR. BROUN: I THANK MY FRIEND 6730 03:42:55,001 --> 03:42:56,000 FROM CALIFORNIA FOR YIELDING. 6731 03:42:56,001 --> 03:42:58,000 CASH FOR CLUNKERS HAS SERIOUS 6732 03:42:58,001 --> 03:42:59,000 PROBLEMS THAT ARE ADMINISTRATIVE 6733 03:42:59,001 --> 03:43:00,000 PROBLEMS. 6734 03:43:00,001 --> 03:43:02,000 I HAVE DEALERS IN MY DISTRICT IN 6735 03:43:02,001 --> 03:43:03,000 NORTHEAST GEORGIA THAT PROBABLY 6736 03:43:03,001 --> 03:43:04,000 ARE GOING TO GO BANKRUPT BECAUSE 6737 03:43:04,001 --> 03:43:07,000 OF THESE PROBLEMS AND I HOPE AS 6738 03:43:07,001 --> 03:43:09,000 WE GO FORWARD THAT WE'LL FIX 6739 03:43:09,001 --> 03:43:10,000 THESE ADMINISTRATIVE SNAFUS THAT 6740 03:43:10,001 --> 03:43:13,000 ARE IN THIS PROBLEM. 6741 03:43:13,001 --> 03:43:16,000 WE'RE THROWING MONEY INTO 6742 03:43:16,001 --> 03:43:19,000 ANOTHER GOVERNMENT PROGRAM THAT 6743 03:43:19,001 --> 03:43:22,000 HAS SERIOUS, VERY SERIOUS 6744 03:43:22,001 --> 03:43:23,000 PROBLEMS WHERE DEALERS CAN'T GET 6745 03:43:23,001 --> 03:43:25,000 THEIR MONEY. 6746 03:43:25,001 --> 03:43:28,000 I HAVE ONE DEALER THAT HAS PAID 6747 03:43:28,001 --> 03:43:30,000 OUT OF HIS POCKET FOR 50 CARS 6748 03:43:30,001 --> 03:43:31,000 AND HAS ONLY GOTTEN MONEY BACK 6749 03:43:31,001 --> 03:43:32,000 FOR ONE. 6750 03:43:32,001 --> 03:43:35,000 NOW THAT DEALER, IF HE DOESN'T 6751 03:43:35,001 --> 03:43:37,000 GET PAID BACK, IS GOING TO HAVE 6752 03:43:37,001 --> 03:43:38,000 VERY SEVERE FINANCIAL PROBLEMS 6753 03:43:38,001 --> 03:43:40,000 AND HIS EMPLOYEES ARE GOING TO 6754 03:43:40,001 --> 03:43:42,000 BE PUT OUT OF WORK IF WE DON'T 6755 03:43:42,001 --> 03:43:44,000 FIX THESE. 6756 03:43:44,001 --> 03:43:47,000 CERTAINLY WE'VE SOLD A LOT OF CARS BECAUSE THIS PROGRAM BUT 6757 03:43:47,001 --> 03:43:49,000 JUST THROWING MONEY INTO A 6758 03:43:49,001 --> 03:43:50,000 PROGRAM THAT HAS TREMENDOUS 6759 03:43:50,001 --> 03:43:53,000 ADMINISTRATIVE RED TAPE PROBLEMS 6760 03:43:53,001 --> 03:43:55,000 AND OTHER PROBLEMS IS NOT GOING 6761 03:43:55,001 --> 03:43:57,000 TO BE THE LONG-TERM ANSWER. 6762 03:43:57,001 --> 03:43:59,000 I HOPE THAT THE ADMINISTRATION 6763 03:43:59,001 --> 03:44:02,000 WILL STRAIGHTEN OUT THESE 6764 03:44:02,001 --> 03:44:03,000 ADMINISTRATION SNAFUS AND WILL 6765 03:44:03,001 --> 03:44:05,000 GET THIS PROGRAM THE MONEY TO 6766 03:44:05,001 --> 03:44:06,000 DEALERS THAT THEY DESPERATELY 6767 03:44:06,001 --> 03:44:07,000 NEED. 6768 03:44:07,001 --> 03:44:09,000 I YIELD BACK. 6769 03:44:09,001 --> 03:44:11,000 THE SPEAKER PRO TEMPORE: THE 6770 03:44:11,001 --> 03:44:13,000 GENTLEMAN'S TIME HAS EXPIRED. THE GENTLEMAN FROM WISCONSIN. 6771 03:44:13,001 --> 03:44:14,000 MR. OBEY: I YIELD ONE MINUTE TO 6772 03:44:14,001 --> 03:44:16,000 THE DISTINGUISHED GENTLEMAN FROM 6773 03:44:16,001 --> 03:44:17,000 NEW YORK, MR. MAFFEI. 6774 03:44:17,001 --> 03:44:18,000 THE SPEAKER PRO TEMPORE: THE 6775 03:44:18,001 --> 03:44:21,000 GENTLEMAN FROM NEW YORK IS 6776 03:44:21,001 --> 03:44:23,000 RECOGNIZED FOR ONE MINUTE. 6777 03:44:23,001 --> 03:44:25,000 WITHOUT OBJECTION. 6778 03:44:25,001 --> 03:44:26,000 MR. MAFFEI: MR. SPEAKER, TODAY 6779 03:44:26,001 --> 03:44:28,000 WE ARE FACED WITH A RARE 6780 03:44:28,001 --> 03:44:29,000 PROB 6781 03:44:29,001 --> 03:44:31,000 WE HAVE A PROGRAM THAT IS PROVEN 6782 03:44:31,001 --> 03:44:32,000 TO BE WORKING AND ALL WITH WE 6783 03:44:32,001 --> 03:44:34,000 NEED TO DO IS KEEP IT WORKING. 6784 03:44:34,001 --> 03:44:36,000 GETTING GAS GUZZLING VEHICLES 6785 03:44:36,001 --> 03:44:37,000 OFF THE ROAD REPLACED BY NEW 6786 03:44:37,001 --> 03:44:39,000 FUEL EFFICIENT VEHICLES IS 6787 03:44:39,001 --> 03:44:40,000 HELPING OUR ENVIRONMENT, IT IS 6788 03:44:40,001 --> 03:44:42,000 PUTTING MONEY DIRECTLY INTO THE 6789 03:44:42,001 --> 03:44:44,000 POCKETS OF MIDDLE INCOME 6790 03:44:44,001 --> 03:44:46,000 FAMILIES, IT IS A RAY OF HOPE 6791 03:44:46,001 --> 03:44:47,000 FOR AUTO DEALERS IN THIS 6792 03:44:47,001 --> 03:44:57,000 COUNTRY, A RAY OF HOPE FOR THE 6793 03:44:57,001 --> 03:44:58,000 U.S. AUTO INDUSTRY AND A RAY OF 6794 03:44:58,001 --> 03:45:00,000 HOPE FOR OUR ECONOMY. 6795 03:45:00,001 --> 03:45:02,000 FINALLY WE HAVE A BAILOUT NOT 6796 03:45:02,001 --> 03:45:04,000 FOR THE BIG BUSINESSES, NOT FOR WALL STREET, BUT A BAILOUT FOR 6797 03:45:04,001 --> 03:45:05,000 MAIN STREET. 6798 03:45:05,001 --> 03:45:07,000 AS THE LEAD SPONSOR OF A BILL TO 6799 03:45:07,001 --> 03:45:08,000 HELP PROTECT THE LEGAL RIGHTS OF 6800 03:45:08,001 --> 03:45:09,000 AUTO DEALERS, I CAN TELL YOU, 6801 03:45:09,001 --> 03:45:10,000 THIS IS A GOD SEND FOR THE AUTO 6802 03:45:10,001 --> 03:45:11,000 DEALERS IN 6803 03:45:11,001 --> 03:45:13,000 DON'T STALL WHAT'S WORKING. 6804 03:45:13,001 --> 03:45:15,000 GIVE IT A FILLUP AND LET'S GET 6805 03:45:15,001 --> 03:45:17,000 CASH FOR CLUNKERS BACK ON THE 6806 03:45:17,001 --> 03:45:18,000 I YIELD BACK THE BALANCE OF MY 6807 03:45:18,001 --> 03:45:19,000 TIME. 6808 03:45:19,001 --> 03:45:20,000 THE SPEAKER PRO TEMPORE: THE 6809 03:45:20,001 --> 03:45:22,000 GENTLEMAN YIELDS BACK THE 6810 03:45:22,001 --> 03:45:23,000 BALANCE OF HIS TIME. 6811 03:45:23,001 --> 03:45:24,000 THE GENTLEMAN FROM CALIFORNIA. 6812 03:45:24,001 --> 03:45:26,000 MR. LEWIS: MR. SPEAKER, I'LL BE 6813 03:45:26,001 --> 03:45:27,000 THE LAST SPEAKER ON OUR SIDE, SO 6814 03:45:27,001 --> 03:45:29,000 I RESERVE FOR NOW. 6815 03:45:29,001 --> 03:45:31,000 THE SPEAKER PRO TEMPORE: T GENTLEMAN FROM CALIFORNIA 6816 03:45:31,001 --> 03:45:32,000 RESERVES THE BALANCE OF HIS 6817 03:45:32,001 --> 03:45:34,000 TIME. 6818 03:45:34,001 --> 03:45:35,000 THE GENTLEMAN FROM WISCONSIN. 6819 03:45:35,001 --> 03:45:36,000 MR. OBEY: MR. SPEAKER, I YIELD 6820 03:45:36,001 --> 03:45:38,000 ONE MINUTE TO MR. SCHAUER, THE 6821 03:45:38,001 --> 03:45:40,000 GENTLEMAN FROM MICHIGAN. E SPEAKER PRO TEMPORE: THE 6822 03:45:40,001 --> 03:45:41,000 GENTLEMAN FROM MICHIGAN IS 6823 03:45:41,001 --> 03:45:42,000 RECOGNIZED FOR ONE MINUTE. 6824 03:45:42,001 --> 03:45:43,000 MR. SCHAUER: THANK YOU, MR. 6825 03:45:43,001 --> 03:45:45,000 CHAIRMAN. 6826 03:45:45,001 --> 03:45:46,000 THANK YOU FOR YOUR QUICK 6827 03:45:46,001 --> 03:45:48,000 LEADERSHIP ON SUCH AN IMPORTANT 6828 03:45:48,001 --> 03:45:49,000 ISSUE. 6829 03:45:49,001 --> 03:45:50,000 WHEN I RAN FOR CONGRESS, AND I'M 6830 03:45:50,001 --> 03:45:52,000 FROM MICHIGAN, I PLENGED -- 6831 03:45:52,001 --> 03:45:54,000 PLEDGED THAT I WOULD FIGHT EVERY DAY FOR PEOPLE IN BUSINESSES IN 6832 03:45:54,001 --> 03:45:56,000 MY COMMUNITY THAT ARE BEING HURT BY A BRUTAL ECONOMY. 6833 03:45:56,001 --> 03:45:58,000 THE CASH FOR CLUNKERS PROGRAM 6834 03:45:58,001 --> 03:45:59,000 HAS BREATHED LIFE INTO A VERY 6835 03:45:59,001 --> 03:46:01,000 DIFFICULT ECONOMY IN COMMUNITIES 6836 03:46:01,001 --> 03:46:03,000 ALL AROUND MY DISTRICT. HERE'S WHY THIS IS IMPORTANT. 6837 03:46:03,001 --> 03:46:05,000 AS I'VE TALKED TO CAR DEALERS IN 6838 03:46:05,001 --> 03:46:06,000 MY DISTRICT, THEY CAN'T KEEP 6839 03:46:06,001 --> 03:46:08,000 CARS ON THE LOTS. 6840 03:46:08,001 --> 03:46:10,000 THEY WILL BE ORDERING NEW CARS 6841 03:46:10,001 --> 03:46:12,000 FROM MANUFACTURERS IN MY STATE 6842 03:46:12,001 --> 03:46:15,000 AND AROUND THE COUNTRY, 6843 03:46:15,001 --> 03:46:16,000 SUPPLIERS WHO SUPPLY PARTS FOR 6844 03:46:16,001 --> 03:46:17,000 THOSE CARS WILL BE MANUFACTURING 6845 03:46:17,001 --> 03:46:19,000 MORE OF TH. 6846 03:46:19,001 --> 03:46:22,000 THIS IS VERY, VERY CRITICAL AND 6847 03:46:22,001 --> 03:46:24,000 HAS BEEN VERY EFFECTIVE IN 6848 03:46:24,001 --> 03:46:26,000 TURNING AROUND OUR ECONOMY IN 6849 03:46:26,001 --> 03:46:28,000 JUST A MATTER OF DAYS. 6850 03:46:28,001 --> 03:46:30,000 MR. CHAIRMAN, THANK YOU FOR 6851 03:46:30,001 --> 03:46:31,000 GIVING US THE OPPORTUNITY TO 6852 03:46:31,001 --> 03:46:33,000 CONTINUE THIS PROGRAM AND 6853 03:46:33,001 --> 03:46:34,000 CONTINUE TO TURN OUR ECONOMY 6854 03:46:34,001 --> 03:46:35,000 AROUND. 6855 03:46:35,001 --> 03:46:37,000 I YIELD BACK. 6856 03:46:37,001 --> 03:46:38,000 THE SPEAKER PRO TEMPORE: THE 6857 03:46:38,001 --> 03:46:40,000 GENTLEMAN YIELDS BACK THE 6858 03:46:40,001 --> 03:46:42,000 BALANCE OF HIS TIME. DOES THE GENTLEMAN FROM 6859 03:46:42,001 --> 03:46:43,000 CALIFORNIA CONTINUE TO RESERVE 6860 03:46:43,001 --> 03:46:45,000 HIS TIME? 6861 03:46:45,001 --> 03:46:47,000 MR. LEWIS: RESERVE. THE SPEAKER PRO TEMPORE: THE 6862 03:46:47,001 --> 03:46:48,000 GENTLEMAN FROM WISCONSIN. 6863 03:46:48,001 --> 03:46:49,000 MR. OBEY: I YIELD ONE MINUTE TO 6864 03:46:49,001 --> 03:46:51,000 THE GENTLEMAN FROM OREGON, MR. 6865 03:46:51,001 --> 03:46:52,000 -- O 6866 03:46:52,001 --> 03:46:53,000 THE SPEAKER PRO TEMPORE: THE 6867 03:46:53,001 --> 03:46:54,000 GENTLEMAN FROM WASHINGTON IS 6868 03:46:54,001 --> 03:46:56,000 RECOGNIZED. 6869 03:46:56,001 --> 03:46:57,000 MR. INSLEE: REVISE AND EXND. 6870 03:46:57,001 --> 03:46:58,000 THE SPEAKER PRO TEMPORE: WITHOUT 6871 03:46:58,001 --> 03:47:00,000 OBJECTION. 6872 03:47:00,001 --> 03:47:01,000 MR. INSLEE: MR. SPEAKER, I WANT 6873 03:47:01,001 --> 03:47:02,000 TO JUST MAKE A POINT THAT THIS 6874 03:47:02,001 --> 03:47:04,000 PROGRAM HAS BEEN SPECTACULARLY 6875 03:47:04,001 --> 03:47:05,000 SUCCESSFUL FROM AN ENVIRONMENTAL 6876 03:47:05,001 --> 03:47:06,000 PERSPECTIVE. 6877 03:47:06,001 --> 03:47:07,000 IT WAS ORIGINALLY CRITICIZED 6878 03:47:07,001 --> 03:47:09,000 THAT WE DID NOT CALL FOR A 6879 03:47:09,001 --> 03:47:10,000 HIGHERNOUGH EFFICIENCY 6880 03:47:10,001 --> 03:47:23,000 IMPROVEMENT OF THESE CARS. 6881 03:47:23,001 --> 03:47:24,000 THE PEOPLE HAVE FIXED THIS 6882 03:47:24,001 --> 03:47:26,000 PROBLEM FOR US. WE ARE SEEING AVERAGE INCREASES 6883 03:47:26,001 --> 03:47:27,000 ABOVE WHAT WAS REQUIRED BY 6884 03:47:27,001 --> 03:47:28,000 CONGRESS. AND ONE CAR COMPANY, 78% OF THE 6885 03:47:28,001 --> 03:47:29,000 CARS THAT THEY'RE BUYING ARE 6886 03:47:29,001 --> 03:47:30,000 OVER 30 MILES A GALLON, 39% 6887 03:47:30,001 --> 03:47:31,000 ABOVE 30 MILES PER GALLON. THE AMERICAN PEOPLE HAVE HAD 6888 03:47:31,001 --> 03:47:32,000 SPECTACULAR IMPROVEMENTS IN THE 6889 03:47:32,001 --> 03:47:33,000 EFFICIENCY AND ENVIRONMENTAL 6890 03:47:33,001 --> 03:47:35,000 PERFORMANCE. AND I WANTED TO THANK THE 6891 03:47:35,001 --> 03:47:36,000 SPEAKER AND MR. OBEY FOR 6892 03:47:36,001 --> 03:47:37,000 ESSENTIALLY ASSURING US, I'LL 6893 03:47:37,001 --> 03:47:40,000 TAKE IT AS THAT, ALMOSTTHAT WE 6894 03:47:40,001 --> 03:47:41,000 IN FACT ARE GOING TO REPLACE 6895 03:47:41,001 --> 03:47:42,000 THIS MONEY. 6896 03:47:42,001 --> 03:47:44,000 I HOPE IT IS IN THE C.R., IT IS 6897 03:47:44,001 --> 03:47:46,000 NECESSARY TO ACHIEVE OUR 6898 03:47:46,001 --> 03:47:48,000 EFFICIENCY GOALS. 6899 03:47:48,001 --> 03:47:50,000 THANK YOU. THE SPEAKER PRO TEMPORE: THE 6900 03:47:50,001 --> 03:47:51,000 GENTLEMAN YIELDS BACK THE 6901 03:47:51,001 --> 03:47:52,000 BALANCE OF HIS TIME. 6902 03:47:52,001 --> 03:47:54,000 THE GENTLEMAN FROM WISCONSIN. 6903 03:47:54,001 --> 03:47:57,000 MR. OBEY: I YIELD 30 SECONDS TO 6904 03:47:57,001 --> 03:47:58,000 THE GENTLEMAN FROM INDIANA, MR. 6905 03:47:58,001 --> 03:48:00,000 DONNELLY. 6906 03:48:00,001 --> 03:48:01,000 THE SPEAKER PRO TEMPORE: THE 6907 03:48:01,001 --> 03:48:02,000 GENTLEMAN IS RECOGNIZED. 6908 03:48:02,001 --> 03:48:03,000 DONALD DONALD I WANT TO THANK 6909 03:48:03,001 --> 03:48:05,000 THE CHAIR IN -- 6910 03:48:05,001 --> 03:48:06,000 MR. DONNELLY: I WANT TO THANK 6911 03:48:06,001 --> 03:48:07,000 THE CHAIRMAN FOR BRINGING THIS 6912 03:48:07,001 --> 03:48:09,000 TO THE FLOOR. 6913 03:48:09,001 --> 03:48:10,000 THIS IS BETTER FOR OUR 6914 03:48:10,001 --> 03:48:12,000 ENVIRONMENT, IT'S GOOD FOR OUR 6915 03:48:12,001 --> 03:48:13,000 FARMS WHO GET TO -- FAMILIES WHO 6916 03:48:13,001 --> 03:48:14,000 GET TO SAVE SOME MONEY HAD THEY 6917 03:48:14,001 --> 03:48:16,000 MAKE THIS BIG PURCHASE ANDS ALSO 6918 03:48:16,001 --> 03:48:18,000 VERY, VERY GOOD FOR THE WORKERS OF INDIANA WHO ARE BARK TO -- 6919 03:48:18,001 --> 03:48:19,000 BACK TO WORK BUILDING THESE 6920 03:48:19,001 --> 03:48:20,000 CARS. 6921 03:48:20,001 --> 03:48:21,000 THIS IS A WIN-WIN-WIN FOR OUR 6922 03:48:21,001 --> 03:48:23,000 COUNTRY. 6923 03:48:23,001 --> 03:48:24,000 IT'S ONE OF THE GREAT PROGRAMS 6924 03:48:24,001 --> 03:48:25,000 TO CREATE JOBS, TO HELP OUR 6925 03:48:25,001 --> 03:48:27,000 ENVIRONMENT AND TO HELP OUR 6926 03:48:27,001 --> 03:48:28,000 FAMILIES. 6927 03:48:28,001 --> 03:48:30,000 WE'RE VERY SUPPORTIVE AND WE 6928 03:48:30,001 --> 03:48:32,000 WANT TO THANK THE CHAIRMAN FOR BRINGING THIS PROGRAM FORWARD. 6929 03:48:32,001 --> 03:48:33,000 THE SPEAKER PRO TEMPORE: THE 6930 03:48:33,001 --> 03:48:34,000 GENTLEMAN YIELDS BACK THE 6931 03:48:34,001 --> 03:48:36,000 BALANCE OF HIS TIME. 6932 03:48:36,001 --> 03:48:37,000 THE GENTLEMAN FROM WISCONSIN. 6933 03:48:37,001 --> 03:48:38,000 MR. OBEY: MR. SPEAKER, I THOUGHT 6934 03:48:38,001 --> 03:48:40,000 I HAD TWO SPEAKERS REMAINING BUT 6935 03:48:40,001 --> 03:48:42,000 I DON'T SEE THE SECOND. 6936 03:48:42,001 --> 03:48:45,000 SO I GUESS I WILL BE THE LAST 6937 03:48:45,001 --> 03:48:46,000 SPEAKER ON OUR SIDE. 6938 03:48:46,001 --> 03:48:48,000 THE SPEAKER PRO TEMPORE: THE 6939 03:48:48,001 --> 03:48:50,000 GENTLEMAN FROM WISCONSIN RESERVES THE BALANCE OF HIS 6940 03:48:50,001 --> 03:48:51,000 TIME. 6941 03:48:51,001 --> 03:48:52,000 THE GENTLEMAN FROM CALIFORNIA. 6942 03:48:52,001 --> 03:48:53,000 MR. LEWIS: MR. SPEAKER, IT 6943 03:48:53,001 --> 03:48:55,000 SHOULD BE NOTED THAT THE 6944 03:48:55,001 --> 03:48:57,000 SPEAKER, WHEN SHE WAS PRESENTING 6945 03:48:57,001 --> 03:48:58,000 HER VIEWS TO THE MEMBERSHIP, 6946 03:48:58,001 --> 03:48:59,000 INDICATED THAT ONE WAY OR 6947 03:48:59,001 --> 03:49:00,000 ANOTHER SHE'D FIND A WAY TO GET 6948 03:49:00,001 --> 03:49:02,000 THIS MONEY BACK INTO THE BILL 6949 03:49:02,001 --> 03:49:04,000 SOMEWHERE DOWN THE LINE. 6950 03:49:04,001 --> 03:49:06,000 BETWEEN NOW AND THEN IT'S PRETTY OBVIOUS THAT THIS BILL COULD NOT 6951 03:49:06,001 --> 03:49:08,000 BE ON THE FLOOR TODAY IF IT HAD 6952 03:49:08,001 --> 03:49:11,000 NOT BEEN FOR AN EMERGENCY 6953 03:49:11,001 --> 03:49:12,000 DESIGNATION, THAT WOULD ALLOW TO 6954 03:49:12,001 --> 03:49:15,000 US EXERCISE OURSELVES IN THIS 6955 03:49:15,001 --> 03:49:16,000 FASHION -- US TO EXERCISE 6956 03:49:16,001 --> 03:49:17,000 OURSELVES IN THIS FASHION. 6957 03:49:17,001 --> 03:49:19,000 I WOULD REMIND OURSELVES ONE 6958 03:49:19,001 --> 03:49:22,000 MORE TIME OF THE QUOTE RECEIVED 6959 03:49:22,001 --> 03:49:24,000 FROM A CAR DEALER IN NEW YORK. 6960 03:49:24,001 --> 03:49:25,000 SPEAKING OF US, ABOUT HOW THIS 6961 03:49:25,001 --> 03:49:29,000 BILL WAS HANDLED, HE SAID, IF 6962 03:49:29,001 --> 03:49:31,000 THEY CAN'T ADMINISTER A PROGRAM 6963 03:49:31,001 --> 03:49:32,000 LIKE THIS, I'LL A LITTLE 6964 03:49:32,001 --> 03:49:34,000 CONCERNED ABOUT MY HEALTH 6965 03:49:34,001 --> 03:49:35,000 INSURANCE. 6966 03:49:35,001 --> 03:49:37,000 ONE MORE TIME IN SAYING, AMEN 6967 03:49:37,001 --> 03:49:38,000 AND I YIELD BACK THE BALANCE OF 6968 03:49:38,001 --> 03:49:40,000 MY TIME. 6969 03:49:40,001 --> 03:49:42,000 THE SPEAKER PRO TEMPORE: THE 6970 03:49:42,001 --> 03:49:44,000 GENTLEMAN FROM CALIFORNIA YIELDS BACK THE BALANCE OF HIS TIME. 6971 03:49:44,001 --> 03:49:46,000 THE GENTLEMAN FROM WISCONSIN. 6972 03:49:46,001 --> 03:49:48,000 MR. OBEY: MR. SPEAKER, I YIELD MYSELF THE REMAINDER OF THE 6973 03:49:48,001 --> 03:49:49,000 TIME. 6974 03:49:49,001 --> 03:49:51,000 THE SPEAKER PRO TEMPORE: THE 6975 03:49:51,001 --> 03:49:53,000 GENTLEMAN IS RECOGNIZED. MR. OBEY: MR. SPEAKER, THE 6976 03:49:53,001 --> 03:49:55,000 COMMERCE DEPARTMENT TOD JUST 6977 03:49:55,001 --> 03:49:58,000 ISSUED FIGURES WHICH HAVE 6978 03:49:58,001 --> 03:50:01,000 INDICATED THAT THE DEPTH OF THE 6979 03:50:01,001 --> 03:50:04,000 RECESS 6980 03:50:04,001 --> 03:50:08,000 LAST YEAR WAS MUCH MORE SEVERE 6981 03:50:08,001 --> 03:50:10,000 THAN ANYONE HAD ESTIMATED. 6982 03:50:10,001 --> 03:50:11,000 THEY ALSO ESTIMATE THAT, AND 6983 03:50:11,001 --> 03:50:13,000 THIS ISED GOOD NEWS PART OF THE 6984 03:50:13,001 --> 03:50:16,000 DAY, THEY ALSO TELL US THAT IN 6985 03:50:16,001 --> 03:50:19,000 THE LAST QUARTER OF THE YEAR -- 6986 03:50:19,001 --> 03:50:20,000 IN THE FIRST QUARTER OF THIS 6987 03:50:20,001 --> 03:50:23,000 YEAR THAT THE ECONOMY, THE 6988 03:50:23,001 --> 03:50:25,000 SHRINKAGE OF THE ECONOMY HAS NOW 6989 03:50:25,001 --> 03:50:27,000 SLOWED CONSIDERABLY, WHICH IS 6990 03:50:27,001 --> 03:50:28,000 VERY HOPEFUL SIGN BECAUSE THE 6991 03:50:28,001 --> 03:50:30,000 ECONOMY EVIDENTLY PERFORMED 6992 03:50:30,001 --> 03:50:32,000 SIGNIFICANTLY BETTER THAN MOST 6993 03:50:32,001 --> 03:50:35,000 OF THE ECONOMIC EXPERTS HAD 6994 03:50:35,001 --> 03:50:38,000 THOUGHT IT WOULD PERFORM. 6995 03:50:38,001 --> 03:50:40,000 WE ALL WELCOME THAT NEWS BUT AS 6996 03:50:40,001 --> 03:50:42,000 YOU KNOW, THAT IS NOT GOOD 6997 03:50:42,001 --> 03:50:54,000 ENOUGH. 6998 03:50:54,001 --> 03:50:55,000 WE NEED TO SEE MORE PROGRESS. OUR DILEMMA IS THIS, ORDINARILY 6999 03:50:55,001 --> 03:50:56,000 IN A RECESSION, WH 7000 03:50:56,001 --> 03:50:57,000 IS LOSING JOBS, THE FEDERAL 7001 03:50:57,001 --> 03:50:58,000 RESERVE OTHERS WILL INTEREST 7002 03:50:58,001 --> 03:50:59,000 RATES AND THAT HELPS -- LOWERS THE INTEREST RATES AND TT 7003 03:50:59,001 --> 03:51:00,000 HELPS THE HOUSING INDUSTRY AND 7004 03:51:00,001 --> 03:51:02,000 THE AUTO INDUSTRY AND OUR 7005 03:51:02,001 --> 03:51:03,000 ECONOMY IS NORMALLY LED OUT OF 7006 03:51:03,001 --> 03:51:05,000 THE RECESSION BY THE HOUSING 7007 03:51:05,001 --> 03:51:08,000 INDUSTRY AND THE AUTO INDUSTRY. 7008 03:51:08,001 --> 03:51:09,000 THIS TIME AROUND THE SITUATION 7009 03:51:09,001 --> 03:51:12,000 IS VERY DIFFERENT BECAUSE THOSE 7010 03:51:12,001 --> 03:51:15,000 TWO SECTORS HAVE BEEN A BASKET 7011 03:51:15,001 --> 03:51:16,000 CASE FOR THE PAST YEAR AND A 7012 03:51:16,001 --> 03:51:18,000 HALF. 7013 03:51:18,001 --> 03:51:20,000 THE FIRST GLIMMER OF HOPE WE'VE 7014 03:51:20,001 --> 03:51:21,000 SEEN IN THE AUTO INDUSTRY IS THE 7015 03:51:21,001 --> 03:51:24,000 NEWS THAT WE RECEIVED YESTERDAY 7016 03:51:24,001 --> 03:51:26,000 FROM THE SECRETARY OF 7017 03:51:26,001 --> 03:51:28,000 TRANSPORTATION, MR. LAHOOD, WHO 7018 03:51:28,001 --> 03:51:29,000 INFORMS US THAT IN JUST THREE 7019 03:51:29,001 --> 03:51:33,000 DAY'S TIME, WHEN THIS PROGRAM 7020 03:51:33,001 --> 03:51:36,000 WAS STARTED, AS FAR AS THEY CAN 7021 03:51:36,001 --> 03:51:37,000 TELL IT'S ALREADY 7022 03:51:37,001 --> 03:51:39,000 OVERSUBSCRIBED. 7023 03:51:39,001 --> 03:51:41,000 THAT MEANS THE CONSUMERS LIKE 7024 03:51:41,001 --> 03:51:43,000 THIS PROGRAM, IT MEANS THEY ARE 7025 03:51:43,001 --> 03:51:45,000 REACTING TO IT AND IT MEANS THAT 7026 03:51:45,001 --> 03:51:48,000 IT WOULD BE IRRESPONSIBLE OF US 7027 03:51:48,001 --> 03:51:49,000 NOT TO TRY TO PREVENT THE 7028 03:51:49,001 --> 03:51:52,000 SHUTDOWN OF THIS PROGRAM JUST 7029 03:51:52,001 --> 03:52:03,000 THREE DAYS AFTER IT BEGAN. 7030 03:52:03,001 --> 03:52:04,000 SO WE'RE HERE TRYING TO TAKE 7031 03:52:04,001 --> 03:52:05,000 ADVANTAGE OF ONE OF THE FEW BRIGHT SPOTS IN THE ECONOMY TO 7032 03:52:05,001 --> 03:52:06,000 HELP MOVE THE ECONOMY FORWARD. 7033 03:52:06,001 --> 03:52:07,000 WE STILL HAVE A LONG WAY TO GO 7034 03:52:07,001 --> 03:52:08,000 BEFORE THE GOOD NEWS SHOWS UP ON 7035 03:52:08,001 --> 03:52:10,000 THE UNEMPLOYMENT SIDE OF THE 7036 03:52:10,001 --> 03:52:11,000 LEDGER. 7037 03:52:11,001 --> 03:52:12,000 TODAY I THINK THIS IS ONE PIECE 7038 03:52:12,001 --> 03:52:14,000 OF GOOD NEWS AND I THINK WE NEED 7039 03:52:14,001 --> 03:52:16,000 TO RESPOND TO IT. 7040 03:52:16,001 --> 03:52:17,000 I'D BE HAPPY TO YIELD TO MY 7041 03:52:17,001 --> 03:52:18,000 FRIEND. 7042 03:52:18,001 --> 03:52:19,000 MR. LEWIS: I JUST WANTED TO SAY, 7043 03:52:19,001 --> 03:52:21,000 MR. CHAIRMAN, THAT FOR SOME 7044 03:52:21,001 --> 03:52:23,000 REASON OR OTHER THE GENTLEMAN 7045 03:52:23,001 --> 03:52:24,000 WHO IS OUR SPEAKER HAS DRAWN THE 7046 03:52:24,001 --> 03:52:25,000 SHORT END OF THE STICK THIS 7047 03:52:25,001 --> 03:52:27,000 WE. 7048 03:52:27,001 --> 03:52:29,000 HE'S BEEN DOING WONDERFUL WORK, 7049 03:52:29,001 --> 03:52:31,000 MOVING THE PROCESS ALONG, AND I 7050 03:52:31,001 --> 03:52:34,000 THINK THE BODY SHOULD RECOGNIZE 7051 03:52:34,001 --> 03:52:36,000 HIS WORK. 7052 03:52:36,001 --> 03:52:38,000 MR. OBEY: I THANK THE GENTLEMAN 7053 03:52:38,001 --> 03:52:39,000 AND WITH THAT, MR. SPEAKER, I 7054 03:52:39,001 --> 03:52:40,000 YIELD BACK THE BALANCE OF MY 7055 03:52:40,001 --> 03:52:42,000 TIME. 7056 03:52:42,001 --> 03:52:43,000 AND I ASK FOR AN AYE VOTE. 7057 03:52:43,001 --> 03:52:44,000 THE SPEAKER PRO TEMPORE: THE 7058 03:52:44,001 --> 03:52:45,000 GENTLEMAN YIELDS BACK T 7059 03:52:45,001 --> 03:52:47,000 BALANCE OF HIS TIME. 7060 03:52:47,001 --> 03:52:48,000 THE QUESTION IS, WILL THE HSE 7061 03:52:48,001 --> 03:52:49,000 SUSPEND THE RULES AND PASS H.R. 7062 03:52:49,001 --> 03:52:50,000 3435. 7063 03:52:50,001 --> 03:52:52,000 THOSE IN FAVOR SAY AYE. 7064 03:52:52,001 --> 03:52:53,000 THOSE OPPOSED, NO. 7065 03:52:53,001 --> 03:52:54,000 IN THE OPINION OF THE CHAIR, 2/3 7066 03:52:54,001 --> 03:52:56,000 OF THOSE VOTING HAVING RESPONDED 7067 03:52:56,001 --> 03:52:57,000 IN THE AFFIRMATIVE, THE RULES 7068 03:52:57,001 --> 03:52:58,000 ARE SUSPENDED, THE BILL IS 7069 03:52:58,001 --> 03:53:00,000 PASSED AND WITHOUT OBJECTION THE 7070 03:53:00,001 --> 03:53:01,000 MOTION TO RECONSIDER IS LAID -- 7071 03:53:01,001 --> 03:53:02,000 THE GENTLEMAN FROM CALIFORNIA. 7072 03:53:02,001 --> 03:53:03,000 MR. LEWIS: I ASK FOR THE YEAS 7073 03:53:03,001 --> 03:53:05,000 AND NAYS. 7074 03:53:05,001 --> 03:53:07,000 THE SPEAKER PRO TEMPORE: THE 7075 03:53:07,001 --> 03:53:09,000 YEAS AND NAYS ARE REQUESTED. THOSE FAVORING A VOTE BY THE 7076 03:53:09,001 --> 03:53:10,000 YEAS A NAYS WILL RISE. 7077 03:53:10,001 --> 03:53:11,000 A SUFFICIENT NUMBER HAVING 7078 03:53:11,001 --> 03:53:12,000 ARISEN, THE YEAS AND NAYS ARE 7079 03:53:12,001 --> 03:53:14,000 ORDERED. 7080 03:53:14,001 --> 03:53:15,000 MEMBERS WILL RECORD THEIR VOTES 7081 03:53:15,001 --> 03:53:16,000 BY ELECTRONIC DEVICE. 7082 03:53:16,001 --> 03:53:18,000 PURSUANT TO HOUSE RES.LUSION 697 7083 03:53:18,001 --> 03:53:20,000 THIS 15-MIIS 15-MINUTE VOTE ON THE 7084 03:53:20,001 --> 03:53:21,000 MOTION TO SUSPEND THE RULES WILL 7085 03:53:21,001 --> 03:53:22,000 BE FOLLOWED BY FIVE-MINUTE VOTES 7086 03:53:22,001 --> 03:53:23,000 ON ADOPTION OF THE FRANK 7087 03:53:23,001 --> 03:53:24,000 AMENDMENT TO H.R. 3267 AS 7088 03:53:24,001 --> 03:53:27,000 MODIFIED, ADOPTION OF THE 7089 03:53:27,001 --> 03:53:27,000 GARRETT AMENDMENT TO H.R. 3269.