1 00:00:00,000 --> 00:00:00,000 starttime 1271856621.62054 2 00:00:07,001 --> 00:00:11,000 C-SPAN2. 3 00:00:11,001 --> 00:00:17,000 ETERNAL GOD, THANK YOU FOR 4 00:00:17,001 --> 00:00:20,000 BEING OUR STRENGTH AND SHIELD, 5 00:00:20,001 --> 00:00:25,000 FOR WE TRUST YOU TO GUIDE OUR 6 00:00:25,001 --> 00:00:28,000 STEPS. 7 00:00:28,001 --> 00:00:31,000 BRING UNITY TO OUR LAWMAKERS SO 8 00:00:31,001 --> 00:00:33,000 THEY WILL BE A FORCE FOR GOOD 9 00:00:33,001 --> 00:00:38,000 FOR THE AMERICAN PEOPLE AND THE 10 00:00:38,001 --> 00:00:42,000 WORLD. 11 00:00:42,001 --> 00:00:46,000 REFRESH THEIR FAITH, RENEW THEIR 12 00:00:46,001 --> 00:00:51,000 VISION, AND REKINDLE THEIR 13 00:00:51,001 --> 00:00:54,000 COURAGE SO THAT THEY CAN FIND 14 00:00:54,001 --> 00:01:00,000 COMMON GROUND AND GLORIFY YOU IN 15 00:01:00,001 --> 00:01:02,000 THE LIVING OF THEIR DAYS. 16 00:01:02,001 --> 00:01:06,000 STIR THEIR HEARTS WITH THE 17 00:01:06,001 --> 00:01:08,000 PRESENCE OF YOUR SPIRIT, 18 00:01:08,001 --> 00:01:12,000 PREPARING THEM TO BE INSTRUMENTS 19 00:01:12,001 --> 00:01:16,000 OF YOUR WILL. 20 00:01:16,001 --> 00:01:24,000 WE PRAY IN YOUR SACRED NAME. 21 00:01:24,001 --> 00:01:25,000 AMEN. 22 00:01:25,001 --> 00:01:26,000 THE PRESIDING OFFICER: PLEASE 23 00:01:26,001 --> 00:01:28,000 JOIN ME IN RECITING THE PLEDGE 24 00:01:28,001 --> 00:01:29,000 OF ALLEGIANCE. 25 00:01:29,001 --> 00:01:30,000 I PLEDGE ALLEGIANCE 26 00:01:30,001 --> 00:01:31,000 TO THE FLAG 27 00:01:31,001 --> 00:01:33,000 OF THE UNITED STATES 28 00:01:33,001 --> 00:01:34,000 OF AMERICA, 29 00:01:34,001 --> 00:01:35,000 AND TO THE REPUBLIC 30 00:01:35,001 --> 00:01:37,000 FOR WHICH IT STANDS, 31 00:01:37,001 --> 00:01:38,000 ONE NATION 32 00:01:38,001 --> 00:01:39,000 UNDER GOD, 33 00:01:39,001 --> 00:01:48,000 INVISIBLE, WITH LIBERTY 34 00:01:48,001 --> 00:01:49,000 AND JUSTICE FOR ALL. 35 00:01:49,001 --> 00:01:50,000 THE PRESIDING OFFICER: THE 36 00:01:50,001 --> 00:01:52,000 CLERK WILL READ A COMMUNICATION 37 00:01:52,001 --> 00:01:53,000 TO THE SENATE. 38 00:01:53,001 --> 00:01:55,000 THE CLERK: WASHINGTON, D.C., 39 00:01:55,001 --> 00:01:57,000 APRIL 21, 2010. 40 00:01:57,001 --> 00:01:58,000 TO THE SENATE: 41 00:01:58,001 --> 00:01:59,000 UNDER THE PROVISIONS OF RULE 1, 42 00:01:59,001 --> 00:02:02,000 PARAGRAPH 3, OF THE STANDING 43 00:02:02,001 --> 00:02:03,000 RULES OF THE SENATE, I HEREBY 44 00:02:03,001 --> 00:02:04,000 APPOINT THE HONORABLE TOM UDALL, 45 00:02:04,001 --> 00:02:05,000 A SENATOR FROM THE 46 00:02:05,001 --> 00:02:06,000 STATE OF NEW MEXICO, TO PERFORM 47 00:02:06,001 --> 00:02:07,000 THE DUTIES OF THE CHAI 48 00:02:07,001 --> 00:02:10,000 SIGNED: ROBERT C. BYRD, PRESIDENT 49 00:02:10,001 --> 00:02:12,000 PRO TEMPORE. 50 00:02:12,001 --> 00:02:13,000 MR. REID: 51 00:02:13,001 --> 00:02:15,000 THE PRESIDING OFFICER: THE 52 00:02:15,001 --> 00:02:16,000 MAJORITY LEADER IS RECOGNIZED. 53 00:02:16,001 --> 00:02:17,000 MR. REID: FOLLOWING LEADER 54 00:02:17,001 --> 00:02:18,000 REMARKS, THE SENATE WILL BE IN A 55 00:02:18,001 --> 00:02:20,000 PERIOD OF MORNING BUSINESS FOR ONE HOUR. 56 00:02:20,001 --> 00:02:22,000 DURING THAT TIME, SENATORS WILL 57 00:02:22,001 --> 00:02:24,000 BE PERMITTED TO SPEAK FOR UP TO TEN MINUTES EACH. 58 00:02:24,001 --> 00:02:25,000 THE MAJORITY WILL CONTROL THE 59 00:02:25,001 --> 00:02:26,000 FIRST 30 MINUTES. 60 00:02:26,001 --> 00:02:27,000 THE REPUBLICANS WILL CONTROL THE 61 00:02:27,001 --> 00:02:28,000 FINAL 30 MINUTES. 62 00:02:28,001 --> 00:02:30,000 FOLLOWING MORNING BUSINESS, THE 63 00:02:30,001 --> 00:02:33,000 SENATE WILL TURN TO EXECUTIVE 64 00:02:33,001 --> 00:02:34,000 SESSION TO DEBATE THE NOMINATION 65 00:02:34,001 --> 00:02:35,000 OF CHRISTOPHER SCHROEDER TO BE 66 00:02:35,001 --> 00:02:37,000 AN ASSISTANT ATTORNEY GENERAL. 67 00:02:37,001 --> 00:02:38,000 THERE WILL BE UP TO THREE HOURS 68 00:02:38,001 --> 00:02:41,000 FOR DEBATE PRIOR TO VOTE ON 69 00:02:41,001 --> 00:02:43,000 CONFIRMATION OF THIS NOMINATION. 70 00:02:43,001 --> 00:02:46,000 UPON DISPOSITION OF THE 71 00:02:46,001 --> 00:02:48,000 SCHROEDER NOMINATION, THE SENATE 72 00:02:48,001 --> 00:02:50,000 WILL CONSIDER THE NOMINATION OF 73 00:02:50,001 --> 00:02:51,000 THOMAS VANASKIE, UNITED STATES 74 00:02:51,001 --> 00:02:52,000 CIRCUIT JUDGE FOR THE THIRD CIRCUIT. 75 00:02:52,001 --> 00:02:54,000 THERE WILL BE THREE HOURS FOR 76 00:02:54,001 --> 00:02:57,000 DEBATE PRIOR TO VOTE ON 77 00:02:57,001 --> 00:02:58,000 CONFIRMATION OF 78 00:02:58,001 --> 00:02:59,000 MR. PRESIDENT, I WOULD NOTE THE 79 00:02:59,001 --> 00:03:04,000 ABSENCE OF A 80 00:03:04,001 --> 00:06:12,000 WILL CALL THE ROLL. 81 00:06:12,001 --> 00:06:13,000 QUORUM CALL: 82 00:06:13,001 --> 00:06:14,000 MR. REID: I 83 00:06:14,001 --> 00:06:15,000 CONSENT THE EQUAL OF THE QUORUM 84 00:06:15,001 --> 00:06:16,000 BE TERMINATED. 85 00:06:16,001 --> 00:06:25,000 THE PRESIDING OFFICER: WITHOUT 86 00:06:25,001 --> 00:06:26,000 OBJECTION, SO ORDERED. 87 00:06:26,001 --> 00:06:28,000 MR. REID: MR. PRESIDENT, EVERY 88 00:06:28,001 --> 00:06:29,000 ONE OF OUR SERVICE MEMBERS 89 00:06:29,001 --> 00:06:31,000 DESERVES THE UNQUALIFIED 90 00:06:31,001 --> 00:06:33,000 APPRECIATION AND ADMIRATION OF 91 00:06:33,001 --> 00:06:37,000 THE UNITED STATES SENATE AND OUR 92 00:06:37,001 --> 00:06:38,000 ENTIRE NATION. 93 00:06:38,001 --> 00:06:40,000 TODAY, I WANT TO SALUTE THE 94 00:06:40,001 --> 00:06:42,000 SERVICE OF ONE SUCH SOLDIER, A 95 00:06:42,001 --> 00:06:44,000 MAN WHO FIRST ANSWERED HIS 96 00:06:44,001 --> 00:06:47,000 COUNTRY'S CALL IN WORLD WAR II 97 00:06:47,001 --> 00:06:49,000 AND HASN'T STOPPED. 98 00:06:49,001 --> 00:06:51,000 BOB O'MALLEY SERVED OUR NATION 99 00:06:51,001 --> 00:06:52,000 WITH DISTINCTION IN THE TENTH 100 00:06:52,001 --> 00:06:53,000 MOUNTAIN DIVISION INOMBAT IN 101 00:06:53,001 --> 00:06:55,000 EUROPE. 102 00:06:55,001 --> 00:06:58,000 HE WAS A SERGEANT, A SQUAD 103 00:06:58,001 --> 00:07:00,000 LEADER WHO LED HIS MEN BRAVELY AND WITH HONOR. 104 00:07:00,001 --> 00:07:03,000 HE PUT HIS LIFE ON THE LINE ON 105 00:07:03,001 --> 00:07:04,000 MANY OCCASIONS TO PROTECT HIS 106 00:07:04,001 --> 00:07:07,000 MEN, FIGHT FOR FREEDOM AGAINST 107 00:07:07,001 --> 00:07:08,000 NAZI GERMANY. 108 00:07:08,001 --> 00:07:12,000 HE WAS RECOGNIZED WITH HIS 109 00:07:12,001 --> 00:07:13,000 SQUAD'S ADMIRATION, COMBAT 110 00:07:13,001 --> 00:07:16,000 INFANTRY BADGE AND, BECAUSE HE 111 00:07:16,001 --> 00:07:18,000 WAS WOUNDED, A PURPLE HEART. 112 00:07:18,001 --> 00:07:20,000 BUT HE HASN'T STOPPED SERVING 113 00:07:20,001 --> 00:07:23,000 HIS COUNTRY. 114 00:07:23,001 --> 00:07:24,000 BOB CAME TO WASHINGTON IN 1965, 115 00:07:24,001 --> 00:07:27,000 WORKED FOR CONGRESSMAN ROBERT 116 00:07:27,001 --> 00:07:29,000 SWEENEY BEFORE STARTING A 117 00:07:29,001 --> 00:07:30,000 27-YEAR CAREER WITH THE 118 00:07:30,001 --> 00:07:31,000 DOORKEEPER OF THE HOUSE OF REPRESENTATIVES. 119 00:07:31,001 --> 00:07:39,000 THAT'S WHERE I FIRST MET HIM AS 120 00:07:39,001 --> 00:07:43,000 A YOUNG MEMBER OF CONGRESS. 121 00:07:43,001 --> 00:07:44,000 THE DOORKEEPER MR. MALLOY AND 122 00:07:44,001 --> 00:07:46,000 MR. O'MALLEY HAD THIS SUITE OF 123 00:07:46,001 --> 00:07:47,000 OFFICES AND IT WAS KIND OF A 124 00:07:47,001 --> 00:07:50,000 HANGOUT FOR DEMOCRATIC MEMBERS 125 00:07:50,001 --> 00:07:52,000 OF THE HOUSE AND ESPECIALLY IT 126 00:07:52,001 --> 00:07:53,000 WAS A WAY FOR NEW MEMBERS OF THE 127 00:07:53,001 --> 00:07:55,000 CONGRESS TO BECOME ACQUAINTED 128 00:07:55,001 --> 00:07:56,000 WITH WHAT WAS GOING ON OVER 129 00:07:56,001 --> 00:07:58,000 THERE. 130 00:07:58,001 --> 00:08:00,000 THEY WERE VERY CARING ABOUT THE 131 00:08:00,001 --> 00:08:01,000 NEW MEMBERS AND ALWAYS POINTED 132 00:08:01,001 --> 00:08:03,000 US IN THE RIGHT DIRECTION. 133 00:08:03,001 --> 00:08:04,000 I HAVE ALWAYS REMEMBERED THOSE 134 00:08:04,001 --> 00:08:12,000 TWO MEN FOR ALL THE MANY GOOD 135 00:08:12,001 --> 00:08:14,000 DEEDS THEY DID ON MY BEHALF. 136 00:08:14,001 --> 00:08:15,000 HIS WAS A 27-YEAR CAREER WITH 137 00:08:15,001 --> 00:08:16,000 THE DOORKEEPER. 138 00:08:16,001 --> 00:08:17,000 AS I INDICATED, THAT'S WHERE I 139 00:08:17,001 --> 00:08:18,000 MET HIM. 140 00:08:18,001 --> 00:08:22,000 BY THE TIME THE WAR IN 141 00:08:22,001 --> 00:08:25,000 AFGHANISTAN STARTED IN 2002, BOB 142 00:08:25,001 --> 00:08:27,000 HAD RETIRED FROM SERVICE IN THE 143 00:08:27,001 --> 00:08:30,000 HOUSE OF REPRESENTATIVES. 144 00:08:30,001 --> 00:08:33,000 MOST RETIREES MAY BE CONTENT TO 145 00:08:33,001 --> 00:08:35,000 SEEK A WELL-EARNED LIFE OF 146 00:08:35,001 --> 00:08:36,000 LEISURE BUT SERGEANT O'MALLEY 147 00:08:36,001 --> 00:08:39,000 DID NOT. 148 00:08:39,001 --> 00:08:41,000 HE SIGNED UP FOR A NEW AND 149 00:08:41,001 --> 00:08:43,000 WORTHY MISSION, WAKING EVERY DAY 150 00:08:43,001 --> 00:08:44,000 TO SERVE OUR NATION'S WOUNDED 151 00:08:44,001 --> 00:08:46,000 WARRIORS. 152 00:08:46,001 --> 00:08:48,000 WHEN THE WAR STARTED, HE WENT 153 00:08:48,001 --> 00:08:49,000 BACK TO WORK AS A VOLUNTEER, 154 00:08:49,001 --> 00:08:51,000 AGAIN A VOLUNTEER, SUPPORTING 155 00:08:51,001 --> 00:08:53,000 AND CARING FOR THE MEN AND WOMEN 156 00:08:53,001 --> 00:08:54,000 OF THE TENTH MOUNTAIN DIVISION, 157 00:08:54,001 --> 00:08:57,000 HIS OLD UNIT. 158 00:08:57,001 --> 00:09:00,000 HE HAS MADE COUNTLESS VISITS TO 159 00:09:00,001 --> 00:09:02,000 WALTER REED, THE GREAT MEDICAL 160 00:09:02,001 --> 00:09:07,000 CENTER WHERE THESE WOUNDED 161 00:09:07,001 --> 00:09:10,000 WARRIORS COME TO RECUPERATE. 162 00:09:10,001 --> 00:09:15,000 ON ALL THESE VISITS TO WALTER 163 00:09:15,001 --> 00:09:16,000 REED, HE WOULD TAKE COUNTLESS 164 00:09:16,001 --> 00:09:19,000 HOURS, TALKING AND SHARING 165 00:09:19,001 --> 00:09:20,000 STORIES ABOUT THE DIVISION AND 166 00:09:20,001 --> 00:09:22,000 TAKING HIS FELLOW VETERANS TO 167 00:09:22,001 --> 00:09:24,000 BALLGAMES AND OTHER EVENTS, 168 00:09:24,001 --> 00:09:26,000 INCLUDING THE SHARING OF MEALS 169 00:09:26,001 --> 00:09:28,000 ON MANY OCCASIONS. 170 00:09:28,001 --> 00:09:29,000 WHEN MANY OF THESE WOUNDED 171 00:09:29,001 --> 00:09:32,000 WARRIORS COULDN'T MAKE IT HOME 172 00:09:32,001 --> 00:09:34,000 FOR THE HOLIDAYS, BOB WOULD 173 00:09:34,001 --> 00:09:37,000 REACH INTO HIS OWN POCKET AND 174 00:09:37,001 --> 00:09:38,000 PAY FOR THANKSGIVING, CHRISTMAS, 175 00:09:38,001 --> 00:09:41,000 AND NEW YEAR'S DINNERS FOR 176 00:09:41,001 --> 00:09:42,000 SOLDIERS AND THEIR FAMILY AT 177 00:09:42,001 --> 00:09:46,000 SOME OF THE FINEST EATERIES IN 178 00:09:46,001 --> 00:09:47,000 THE WASHINGTON, D.C., AREA. 179 00:09:47,001 --> 00:09:49,000 BOB SAYS THAT HELPING SOLDIERS 180 00:09:49,001 --> 00:09:51,000 RECOVER FROM THEIR WAR INJURIES 181 00:09:51,001 --> 00:09:53,000 HAS ADDED YEARS TO HIS LIFE. 182 00:09:53,001 --> 00:09:56,000 WE KNOW IT'S ADDED YEARS TO THE 183 00:09:56,001 --> 00:09:57,000 LIVES OF THOSE HE HELPS ALSO. 184 00:09:57,001 --> 00:10:00,000 BOB O'MALLEY WOULD BE THE FIRST 185 00:10:00,001 --> 00:10:02,000 TO TELL YOU THAT THIS IS NOT A ONE-MAN MISSION. 186 00:10:02,001 --> 00:10:03,000 HE HAS HAD HELP FROM MANY 187 00:10:03,001 --> 00:10:04,000 DIFFERENT AREAS. 188 00:10:04,001 --> 00:10:06,000 WHENE DECIDED TO HELP THOSE 189 00:10:06,001 --> 00:10:08,000 WOUNDED ON THE BATTLEFIELD, 190 00:10:08,001 --> 00:10:13,000 THOUGH, FOR EXAMPLE, HE ENLISTED 191 00:10:13,001 --> 00:10:14,000 THE HELP OF ANOTHER VETERAN, DON 192 00:10:14,001 --> 00:10:15,000 VISCANI SR., AN ORIGINAL MEMBER 193 00:10:15,001 --> 00:10:16,000 OF THE TENTH MOUNTAIN DIVISION 194 00:10:16,001 --> 00:10:19,000 OF WORLD WAR II. 195 00:10:19,001 --> 00:10:20,000 HE ASKED DOM TO HELP AND DOM WAS 196 00:10:20,001 --> 00:10:21,000 HAPPY TO HELP ENTERTAIN AND 197 00:10:21,001 --> 00:10:23,000 SUPPORT THESE TROOPS. 198 00:10:23,001 --> 00:10:24,000 MANY OF BOB'S FRIENDS SOON 199 00:10:24,001 --> 00:10:26,000 JOINED THE CAUSE AS WELL AND 200 00:10:26,001 --> 00:10:27,000 THEY ARE A CONSTAN PRESENC 201 00:10:27,001 --> 00:10:29,000 UPON THE SOLDIERS, WHETHER THEY 202 00:10:29,001 --> 00:10:33,000 ARE HERE OR AT HOME. 203 00:10:33,001 --> 00:10:34,000 OUR ARMY WOULD NOT BE THE BEST 204 00:10:34,001 --> 00:10:37,000 PLACE IN THE WORLD WITHOUT THE 205 00:10:37,001 --> 00:10:38,000 WORK OF VETERANS LIKE SERGEANT 206 00:10:38,001 --> 00:10:39,000 O'MALLEY WHOSE LIFE HAS BEEN 207 00:10:39,001 --> 00:10:41,000 SYNONYMOUS WITH SERVICE, 208 00:10:41,001 --> 00:10:43,000 SACRIFICE, AND SELFLESSNESS. 209 00:10:43,001 --> 00:10:45,000 HIS INSPIRATION TO ME, TO OUR 210 00:10:45,001 --> 00:10:47,000 ARMED FORCES AND OUR COUNTRY. 211 00:10:47,001 --> 00:10:48,000 HE IS A HERO, AND I'M PROUD TO 212 00:10:48,001 --> 00:10:49,000 CALL HIM A FRIEND. 213 00:10:49,001 --> 00:10:51,000 WOULD THE CHAIR ANNOUNC 214 00:10:51,001 --> 00:10:53,000 BUSINESS NOW? 215 00:10:53,001 --> 00:10:54,000 THE PRESIDING OFFICER: UNDER THE 216 00:10:54,001 --> 00:10:57,000 PREVIOUS ORDER, THE LEADERSHIP 217 00:10:57,001 --> 00:10:59,000 UNDER THE PREVIOUS ORDER, THERE 218 00:10:59,001 --> 00:11:01,000 WILL NOW BE A PERIOD OF MORNING 219 00:11:01,001 --> 00:11:02,000 BUSINESS FOR ONE HOUR WITH 220 00:11:02,001 --> 00:11:03,000 SENATORS PERMITTED TO SPEAK 221 00:11:03,001 --> 00:11:04,000 THEREIN FOR UP TO TEN MINUTES 222 00:11:04,001 --> 00:11:06,000 EACH, WITH THE MAJORITY 223 00:11:06,001 --> 00:11:07,000 CONTROLLING THE FIRST 30 MINUTES 224 00:11:07,001 --> 00:11:12,000 AND THE REPUBLICANS CONTROLLING 225 00:11:12,001 --> 00:11:13,000 THE FINAL 30 MINUTES. 226 00:11:13,001 --> 00:11:14,000 MR. REED: MR. PRESIDENT? THE PRESIDING OFFICER: THE 227 00:11:14,001 --> 00:11:15,000 SENATOR FROM RHO RECOGNIZED. 228 00:11:15,001 --> 00:11:16,000 MR. REED: THANK YOU, 229 00:11:16,001 --> 00:11:19,000 MR. PRESIDENT. 230 00:11:19,001 --> 00:11:21,000 FIRST, LET ME JOIN MAJORITY 231 00:11:21,001 --> 00:11:22,000 LEADER REID IN SALUTING THESE 232 00:11:22,001 --> 00:11:23,000 INCREDIBLE AMERICANS WHO ARE 233 00:11:23,001 --> 00:11:24,000 WITHS TODAY, WOUNDED WARRIORS 234 00:11:24,001 --> 00:11:26,000 AND BOB O'MALLEY. 235 00:11:26,001 --> 00:11:27,000 AS SOMEONE WHO HAS SERVED 12 236 00:11:27,001 --> 00:11:29,000 YEARS IN THE UNITED STATES ARMY, 237 00:11:29,001 --> 00:11:30,000 MY APPRECIATION AND RESPECT IS 238 00:11:30,001 --> 00:11:31,000 PROFOUND FOR WHAT YOU HAVE DONE 239 00:11:31,001 --> 00:11:34,000 AND WHAT YOU CONTINUE TO DO. 240 00:11:34,001 --> 00:11:36,000 THANK YOU VERY MUCH. 241 00:11:36,001 --> 00:11:38,000 IFER A CIRCUITOUS CONNECTION TO 242 00:11:38,001 --> 00:11:40,000 THE TENTH MOUNTAIN DIVISION. 243 00:11:40,001 --> 00:11:43,000 MY CLASSMATE FROM WEST POINT 244 00:11:43,001 --> 00:11:45,000 COMMANDED THE TENTH MOUNTAIN IN AFGHANISTAN. 245 00:11:45,001 --> 00:11:47,000 I WAS TRE TO VISIT THOSE GREAT 246 00:11:47,001 --> 00:11:49,000 SOLDIERS SEVERAL TIMES. 247 00:11:49,001 --> 00:11:50,000 SO THANK YOU FOR YOUR SERVICE 248 00:11:50,001 --> 00:11:51,000 D THANK YOU FOR YOUR 249 00:11:51,001 --> 00:11:52,000 INSPIRATION. 250 00:11:52,001 --> 00:11:54,000 MR. PRESIDENT, I'M HERE TODAY 251 00:11:54,001 --> 00:11:56,000 NOT ONLY TO SALUTE THESE GREAT 252 00:11:56,001 --> 00:11:58,000 AMERICANS BUT ALSO TO TALK ABOUT 253 00:11:58,001 --> 00:12:00,000 THE URGENCY OF BRINGING THE 254 00:12:00,001 --> 00:12:05,000 ISSUE OF FINANCIAL REFORM TO THE 255 00:12:05,001 --> 00:12:06,000 SENATE FOR OPEN DEBATE AND FINAL 256 00:12:06,001 --> 00:12:10,000 PASSAGE. 257 00:12:10,001 --> 00:12:11,000 WE HAVE WITNESSED THE WORST 258 00:12:11,001 --> 00:12:13,000 FINANCIAL CRISIS IN THE HISTORY 259 00:12:13,001 --> 00:12:17,000 OF THE COUNTRY. 260 00:12:17,001 --> 00:12:20,000 WE HAVE SEEN WEALTH, TRILLIONS 261 00:12:20,001 --> 00:12:22,000 OF DOLLARS OF WEALTH EVAPORATE 262 00:12:22,001 --> 00:12:23,000 BECAUSE OF THIS FINANCIAL 263 00:12:23,001 --> 00:12:24,000 CRIS. 264 00:12:24,001 --> 00:12:26,000 AND TO HEAR PEOPLE NOW TALKING 265 00:12:26,001 --> 00:12:31,000 ABOUT WELL, YOU KNOW, THIS IS 266 00:12:31,001 --> 00:12:34,000 NOT A GOOD BILL, THE QUESTION IS 267 00:12:34,001 --> 00:12:37,000 NOT WHETHER WE SHOULD DELAY 268 00:12:37,001 --> 00:12:38,000 FURTHER OR GO FORWARD. 269 00:12:38,001 --> 00:12:39,000 THE QUESTION IS GOING FORWARD 270 00:12:39,001 --> 00:12:42,000 WITH PURPOSE, AMENDING THE BILL 271 00:12:42,001 --> 00:12:44,000 ON THE FLOOR IF NECESSARY, IN AN 272 00:12:44,001 --> 00:12:45,000 OPEN AND TRANSPARENT WAY SO THAT 273 00:12:45,001 --> 00:12:47,000 THE AMERICAN PUBLIC CAN SEE THAT 274 00:12:47,001 --> 00:12:50,000 WE'RE MOVING FORWARD ON PERHAPS 275 00:12:50,001 --> 00:12:52,000 THEIR NUMBER ONE PRIORITY, 276 00:12:52,001 --> 00:12:54,000 RELATED TO THE ECONOMY. 277 00:12:54,001 --> 00:12:56,000 ECONOMIC 278 00:12:56,001 --> 00:12:58,000 REFORM ARE INTEGRATED KEY 279 00:12:58,001 --> 00:12:59,000 ELEMENTS, A WE CANNOT HAVE 280 00:12:59,001 --> 00:13:01,000 LONG RUN ECONOMIC SUCCESS 281 00:13:01,001 --> 00:13:04,000 WITHOUT FUNDAMENTAL FINANCIAL REFORM. 282 00:13:04,001 --> 00:13:07,000 AND SO WE'RE HERE TODAY TO 283 00:13:07,001 --> 00:13:10,000 ESSENTIALLY URGE THAT THE 284 00:13:10,001 --> 00:13:12,000 ANTICIPATED VOTE ON MONDAY BE 285 00:13:12,001 --> 00:13:13,000 AFFIRMED OVERWHELMINGLY. 286 00:13:13,001 --> 00:13:15,000 SEND A MESSAGE TO THE AMERICAN 287 00:13:15,001 --> 00:13:16,000 PEOPLE THAT WE'RE ON THE JOB FOR 288 00:13:16,001 --> 00:13:17,000 THEM. 289 00:13:17,001 --> 00:13:18,000 WE'RE DOING THE WORK THAT WE 290 00:13:18,001 --> 00:13:21,000 HAVE TO DO. 291 00:13:21,001 --> 00:13:24,000 WE HAVE TO DEAL WITH A COMPLEX 292 00:13:24,001 --> 00:13:26,000 AND SIGNIFICANT LEGISLATIVE 293 00:13:26,001 --> 00:13:28,000 MEASURE, BUT WE HAVE TO DO IT 294 00:13:28,001 --> 00:13:30,000 NOW, AND THE TIME FOR 295 00:13:30,001 --> 00:13:32,000 DISCUSSION, THE TIME FOR 296 00:13:32,001 --> 00:13:33,000 CONSIDERATION PRIVATELY HAS PASSED. 297 00:13:33,001 --> 00:13:34,000 NOW WE HAVE TO ACT. 298 00:13:34,001 --> 00:13:37,000 AND I THINK WE HAVE TO ACT 299 00:13:37,001 --> 00:13:41,000 BECAUSE WE SHOULD RECOGNIZE THAT 300 00:13:41,001 --> 00:13:44,000 THE STATUS QUO IS UNACCEPTABLE. 301 00:13:44,001 --> 00:13:49,000 AND THO 302 00:13:49,001 --> 00:13:51,000 THEN SAY NOT NOW, NOT NOW, 303 00:13:51,001 --> 00:13:52,000 NOW ARE ESSENTIALLY DEFENDING 304 00:13:52,001 --> 00:13:53,000 THE STATUS QUO, AND WE HAVE TO 305 00:13:53,001 --> 00:13:56,000 ASK SEVERAL QUESTIONS. 306 00:13:56,001 --> 00:13:59,000 WHO DOES THE STATUS QUO FAVOR? 307 00:13:59,001 --> 00:14:03,000 WELL, IT FAVORS THE 308 00:14:03,001 --> 00:14:05,000 BIG BANKS AND OTHER FINANCIAL INSTITUTIONS. 309 00:14:05,001 --> 00:14:09,000 WE HAVE SEEN OVER THE LAST 310 00:14:09,001 --> 00:14:12,000 SEVERAL DAYS THAT THESE BANKS 311 00:14:12,001 --> 00:14:13,000 ARE REPORTING RECORD PROFITS. 312 00:14:13,001 --> 00:14:17,000 MOSTLY BASED ON TRADING. 313 00:14:17,001 --> 00:14:19,000 HERE IS ANOTHER IRONY BECAUSE OF 314 00:14:19,001 --> 00:14:22,000 THE SYSTEM WE HAVE TODAY. 315 00:14:22,001 --> 00:14:25,000 WE ARE IN DESPERATE NEED OF 316 00:14:25,001 --> 00:14:26,000 ECONOMIC ACTIVITY ON THE LOCAL 317 00:14:26,001 --> 00:14:27,000 LEVEL. 318 00:14:27,001 --> 00:14:30,000 THE FUSION OF CAPITAL AND 319 00:14:30,001 --> 00:14:32,000 LENDING, ALL THOSE THINGS. 320 00:14:32,001 --> 00:14:33,000 WHERE ARE THE BANKS MAKING THEIR 321 00:14:33,001 --> 00:14:34,000 HUGE PROFITS? 322 00:14:34,001 --> 00:14:35,000 ON TRADING. 323 00:14:35,001 --> 00:14:37,000 ESSENTIALLY TAKING THEIR MONEY 324 00:14:37,001 --> 00:14:41,000 AND OTHER PEOPLE'S MONEY AND 325 00:14:41,001 --> 00:14:44,000 GOING IN AND NOT INVESTING IN 326 00:14:44,001 --> 00:14:46,000 NEW PRODUCTIVE CAPACITY BUT 327 00:14:46,001 --> 00:14:50,000 BETTING ON FINANCIAL PRODUCTS. 328 00:14:50,001 --> 00:14:54,000 THAT IS NOT, IN MY VIEW, WHAT WE 329 00:14:54,001 --> 00:14:55,000 SHOULD BE DOING AT THIS MOMENT 330 00:14:55,001 --> 00:14:57,000 ENTIRELY. 331 00:14:57,001 --> 00:15:01,000 WE HAVE TO RECOGNIZE THAT IF WE 332 00:15:01,001 --> 00:15:03,000 DOOTHING, THE BANKS WILL 333 00:15:03,001 --> 00:15:05,000 CONTINUE TO OPERATE AS THEY 334 00:15:05,001 --> 00:15:06,000 HAVE, AND THAT, I THINK, HAS TO 335 00:15:06,001 --> 00:15:10,000 BE CORRECTED. 336 00:15:10,001 --> 00:15:11,000 THE SECOND QUESTION IS WHAT 337 00:15:11,001 --> 00:15:13,000 ACTIVITIES ARE PROTECTED BY THE 338 00:15:13,001 --> 00:15:17,000 STATUS QUO? 339 00:15:17,001 --> 00:15:19,000 EXOTIC DERIVATIVE TRADING. 340 00:15:19,001 --> 00:15:20,000 WE JUST SAW THIS WEEK WHERE THE 341 00:15:20,001 --> 00:15:22,000 SECURITIES AND EXCHANGE 342 00:15:22,001 --> 00:15:24,000 COMMISSION HAS MADE ALLEGATIONS 343 00:15:24,001 --> 00:15:26,000 AGAINST GOLDMAN SACHS. 344 00:15:26,001 --> 00:15:28,000 NOW, THAT WILL BE DETERMINED IN 345 00:15:28,001 --> 00:15:33,000 A COURT OF LAW, BUT THE 346 00:15:33,001 --> 00:15:37,000 COMPLEXITY OF THE TRANSACTION, 347 00:15:37,001 --> 00:15:39,000 THE SYNTHETICS DEBT OBLIGATION, 348 00:15:39,001 --> 00:15:43,000 WHICH COULD TRANSLATE WAS 349 00:15:43,001 --> 00:15:44,000 ESSENTIALLY PICKING OUT SOME 350 00:15:44,001 --> 00:15:47,000 REPRESENTATIVE MORTGAGE BONDS 351 00:15:47,001 --> 00:15:49,000 AND THEN BETTING ON THEM. 352 00:15:49,001 --> 00:15:50,000 SOMEBODY TOOK THE SIDE THAT SAID 353 00:15:50,001 --> 00:15:52,000 THEY'D STILL PAY. 354 00:15:52,001 --> 00:15:54,000 SOMEBODY TOOK THE SIDE THEY'D DEFAULT. 355 00:15:54,001 --> 00:15:55,000 WHAT DID THAT ADD TO OUR 356 00:15:55,001 --> 00:15:57,000 ECONOMIC CAPACITY? 357 00:15:57,001 --> 00:15:59,000 IN FACT, ONE OF THE IRONIES OF 358 00:15:59,001 --> 00:16:02,000 THIS WHOLE CRISIS IS THERE WAS 359 00:16:02,001 --> 00:16:04,000 SUCH A PROLIFERATIONF THESE 360 00:16:04,001 --> 00:16:06,000 TOXIC MORTGAGE BONDS THAT THEY 361 00:16:06,001 --> 00:16:08,000 NO LONGER COULD SELL THEM ON A 362 00:16:08,001 --> 00:16:12,000 PROFIT SO THEY STARTED 363 00:16:12,001 --> 00:16:14,000 ESSENTIALLY CREATING VIRTUAL 364 00:16:14,001 --> 00:16:17,000 SECURITIES, THESE SYNTHETICS. 365 00:16:17,001 --> 00:16:18,000 AGAIN, WHAT HAS IT ADD TO THE 366 00:16:18,001 --> 00:16:19,000 ECONOMIC PRODUCTIVITY 367 00:16:19,001 --> 00:16:20,000 UNITED STATES? NOT MUCH. 368 00:16:20,001 --> 00:16:22,000 IN FACT, SOME WOULD ARGUE 369 00:16:22,001 --> 00:16:25,000 NOTHING AT ALL. 370 00:16:25,001 --> 00:16:26,000 WE HAVE TO HAVE A FINANCIAL 371 00:16:26,001 --> 00:16:27,000 SECTOR WHICH PERFORMS ONE OF THE 372 00:16:27,001 --> 00:16:31,000 ESSENTIAL FUNCTIONS OF ANY 373 00:16:31,001 --> 00:16:34,000 FINANCIAL SECTOR, THE ALLOCATION 374 00:16:34,001 --> 00:16:39,000 OF THE CAPITAL TO PRODUCTIVE 375 00:16:39,001 --> 00:16:40,000 USES: HIGHWAYS, BUILDING, 376 00:16:40,001 --> 00:16:41,000 EDUCATION SUPPORT, ALL THOSE 377 00:16:41,001 --> 00:16:44,000 THINGS THAT NOT ONLY RETURN A 378 00:16:44,001 --> 00:16:46,000 PROFIT TO THE INVESTOR BUT ALSO 379 00:16:46,001 --> 00:16:48,000 BUILD UP OUR CAPITY AND B 380 00:16:48,001 --> 00:16:49,000 UP OUR WEALTH OVER THE LONG 381 00:16:49,001 --> 00:16:50,000 TERM. 382 00:16:50,001 --> 00:16:52,000 THE THIRD QUESTION I THINK -- 383 00:16:52,001 --> 00:16:55,000 WELL, GOING FORWARD WITH THE 384 00:16:55,001 --> 00:16:57,000 ACTIVITIES PROTECTED, NOT ONLY 385 00:16:57,001 --> 00:16:59,000 DERIVATIVES TRADE, DARK POOLS OF 386 00:16:59,001 --> 00:17:01,000 MONEY, HUGE PRIVATE EQUITY FUNDS 387 00:17:01,001 --> 00:17:03,000 THAT ARE SHADOWY IN TERMS OF 388 00:17:03,001 --> 00:17:05,000 THEIR INVESTMENT STRATEGY EVEN 389 00:17:05,001 --> 00:17:06,000 TO REGULATORS. 390 00:17:06,001 --> 00:17:08,000 AND THEN WE HAVE TO ALSO LOOK AT 391 00:17:08,001 --> 00:17:10,000 THE CREDIT RATING AGENCIES. 392 00:17:10,001 --> 00:17:13,000 THEY'RE CONTINUING TO OPERATE 393 00:17:13,001 --> 00:17:14,000 AND, FRANKLY, YOU HAVE TO SAY 394 00:17:14,001 --> 00:17:15,000 THAT THEIR PERFORMANCE IN THE 395 00:17:15,001 --> 00:17:16,000 LAST SEVER YEARS WAS 396 00:17:16,001 --> 00:17:17,000 DISAPPNTING, AND THAT'S BEING 397 00:17:17,001 --> 00:17:19,000 VERY DIPLOMATIC. 398 00:17:19,001 --> 00:17:21,000 BUT THEY WILL CONTINUE TO 399 00:17:21,001 --> 00:17:23,000 OPERATE AS THEY HAVE IN THE PAST 400 00:17:23,001 --> 00:17:24,000 BECAUSE WE WILL NOT GET TO THE 401 00:17:24,001 --> 00:17:27,000 REFORM THAT'S SO NECESSARY. 402 00:17:27,001 --> 00:17:28,000 AND, OF COURSE, THE WALL STREET 403 00:17:28,001 --> 00:17:30,000 SALARY STRUCTURE, THE INCENTIVE 404 00:17:30,001 --> 00:17:34,000 COMPENSATION. 405 00:17:34,001 --> 00:17:36,000 WHAT THEY DO WILL CONTINUE TO BE 406 00:17:36,001 --> 00:17:37,000 UNAFFECTED BY ANY TYPE OF 407 00:17:37,001 --> 00:17:39,000 STRUCTURAL CHANGE IN THE 408 00:17:39,001 --> 00:17:42,000 FINANCIAL SECTOR. 409 00:17:42,001 --> 00:17:44,000 SO FOR ALL THESE ACTIVITIES, IF 410 00:17:44,001 --> 00:17:46,000 YOU'RE COMFORTABLE WITH THEM, 411 00:17:46,001 --> 00:17:48,000 THEN VOTE AGAINST THE MOTION TO 412 00:17:48,001 --> 00:17:50,000 PROCEED ON MONDAY EVENING. 413 00:17:50,001 --> 00:17:52,000 IF YOU'RE UNCOMFORTABLE WITH 414 00:17:52,001 --> 00:17:54,000 THEM, I YOU D'T WANT TO SEE 415 00:17:54,001 --> 00:17:58,000 THE REMAINING BANKS CONTINUE TO 416 00:17:58,001 --> 00:18:00,000 OPERATE AS THEY HAVE, THEN YOU 417 00:18:00,001 --> 00:18:02,000 HAVE TO VOTE, IN MY VIEW, TO 418 00:18:02,001 --> 00:18:04,000 MOVE FORWARD TO DEBATE AND 419 00:18:04,001 --> 00:18:05,000 ENGAGE ON THIS ISSUE. 420 00:18:05,001 --> 00:18:07,000 NOW, THE THIRD QUESTION WE HAVE 421 00:18:07,001 --> 00:18:10,000 TO ASK IS, WHAT DOES THE STATUS 422 00:18:10,001 --> 00:18:11,000 QUO DO FOR CONSUMERS AND TAXPAYERS? 423 00:18:11,001 --> 00:18:13,000 AND THE ANSWER IS, VERY, VERY 424 00:18:13,001 --> 00:18:15,000 LITTLE, IF ANYTHING AT ALL. 425 00:18:15,001 --> 00:18:22,000 WE HAVE SAW IN THIS WHOLE 426 00:18:22,001 --> 00:18:25,000 SITUATION 427 00:18:25,001 --> 00:18:26,000 THINK IN SOME CASES MISLED, IN 428 00:18:26,001 --> 00:18:30,000 SOME CASES IT WAS OBVIOUS THAT 429 00:18:30,001 --> 00:18:31,000 THEY COULDN'T AFFORD THE CREDIT 430 00:18:31,001 --> 00:18:32,000 ARRANGEMENT THEY WERE SIGNING ON 431 00:18:32,001 --> 00:18:34,000 TO. 432 00:18:34,001 --> 00:18:36,000 BUT THE INCENTIVES ON THE OTHER 433 00:18:36,001 --> 00:18:38,000 SIDE WAS NOT TO LOOK BEHIND THE 434 00:18:38,001 --> 00:18:40,000 VENEER OF THE BORROWER BUT 435 00:18:40,001 --> 00:18:43,000 SIMPLY TO GET THE LOAN SEALED 436 00:18:43,001 --> 00:18:44,000 AND THEN SELL IT OFF TO A 437 00:18:44,001 --> 00:18:46,000 SECURITIZATION -- THROUGH A SECURITIZATION PROCESS. 438 00:18:46,001 --> 00:18:49,000 WE HAVE TO CHANGE THOSE 439 00:18:49,001 --> 00:18:50,000 INCENTIVES, AND IF WE DON'T MOVE 440 00:18:50,001 --> 00:18:53,000 THIS LEGISLATION, WE DON'T HAVE 441 00:18:53,001 --> 00:18:55,000 A CHANCE OF DOING THAT 442 00:18:55,001 --> 00:18:57,000 SO WE HAVE TO MOVE FORWARD. 443 00:18:57,001 --> 00:18:58,000 AND SOME HAVE CLAIMED, THE 444 00:18:58,001 --> 00:19:02,000 REPUBLICAN LEADER AND OTHERS, 445 00:19:02,001 --> 00:19:04,000 THAT THIS IS JUST A PARTISAN EXERCISE. 446 00:19:04,001 --> 00:19:05,000 IT HAS NOT BEEN A PARTISAN EXERCISE. 447 00:19:05,001 --> 00:19:06,000 WE HAVE BEEN, UNDER THE 448 00:19:06,001 --> 00:19:08,000 LEADERSHIP OF CHAIRMAN DODD, 449 00:19:08,001 --> 00:19:13,000 ENGAGED IN THIS EFFORT FOR 450 00:19:13,001 --> 00:19:14,000 MONTHS AND MONTHS AND MONTHS. 451 00:19:14,001 --> 00:19:16,000 SOME PEOPLE MIGHT HAVE FORGOTTEN 452 00:19:16,001 --> 00:19:18,000 AROUND HERE, BUT WE STARTED A 453 00:19:18,001 --> 00:19:21,000 MARKUP OF THE FINANCIAL REFORM 454 00:19:21,001 --> 00:19:24,000 BILL NOVEMBER 455 00:19:24,001 --> 00:19:25,000 WE HAD A 456 00:19:25,001 --> 00:19:26,000 BROUGHT IT TO THE COMMITTEE. 457 00:19:26,001 --> 00:19:28,000 WE STARTED OPENING STATEMENTS. 458 00:19:28,001 --> 00:19:30,000 AND THEN EVERYONE SAID OH, WE 459 00:19:30,001 --> 00:19:31,000 HAVEN'T HAD TIME ENOUGH TO DO 460 00:19:31,001 --> 00:19:33,000 THIS, WE WANT MORE DISCUSSION. 461 00:19:33,001 --> 00:19:36,000 SENATOR DODD, EVEN WITH THE 462 00:19:36,001 --> 00:19:38,000 URGENCY 463 00:19:38,001 --> 00:19:39,000 MEASURE,AID FINE, I RESPECT MY 464 00:19:39,001 --> 00:19:42,000 COLLEAGUES, I RESPECT THE 465 00:19:42,001 --> 00:19:43,000 PROCESS WE'LL STOP, WE'LL START TALKING. 466 00:19:43,001 --> 00:19:44,000 WELL, THE NEGOTIATIONS WENT ON 467 00:19:44,001 --> 00:19:47,000 AND ON AND ON. 468 00:19:47,001 --> 00:19:49,000 IT WAS CLEAR THAT THERE WAS NO 469 00:19:49,001 --> 00:19:53,000 SENSE OF URGENCY ON THE OTHER 470 00:19:53,001 --> 00:19:54,000 SIDE TO MOVE TO DECISIVE VOTES 471 00:19:54,001 --> 00:19:57,000 AND THEN HE 472 00:19:57,001 --> 00:19:58,000 MEMBERS, SENATOR CORKER AND 473 00:19:58,001 --> 00:20:00,000 OTHERS, IN A DISCUSSION. 474 00:20:00,001 --> 00:20:02,000 I'VE BEEN DISCUSSING DERIVATIVES 475 00:20:02,001 --> 00:20:04,000 IN A VERY THOUGHTFUL WAY WITH 476 00:20:04,001 --> 00:20:05,000 SENATOR GREGG FOR MONTHS, BUT 477 00:20:05,001 --> 00:20:09,000 WE'VE REACHED THE POINT NOW 478 00:20:09,001 --> 00:20:10,000 WHERE WE HAVE TO TAKE DELIBERATE 479 00:20:10,001 --> 00:20:12,000 ACTION, WE HAVE TO MOVE TO THE 480 00:20:12,001 --> 00:20:19,000 FLOOR TO DEBATE AND VOTES AND 481 00:20:19,001 --> 00:20:20,000 FINAL PASSAGE. 482 00:20:20,001 --> 00:20:25,000 THIS IS SOMETHING THAT'S -- WE 483 00:20:25,001 --> 00:20:27,000 HAVE TO CONTINUE TO MOVE FORWARD. 484 00:20:27,001 --> 00:20:28,000 AND THE WAY TO MOVE FORWARD TO 485 00:20:28,001 --> 00:20:30,000 VOTE ON THE MOTION TO PROCEED ON 486 00:20:30,001 --> 00:20:31,000 MONDAY EVENING. 487 00:20:31,001 --> 00:20:34,000 NOW, WE'VE HEARD CLAIMS THAT 488 00:20:34,001 --> 00:20:36,000 THIS IS 489 00:20:36,001 --> 00:20:37,000 THINK WOULD BE A HUGE SHOCK TO 490 00:20:37,001 --> 00:20:38,000 MANY OF THE -- MY COLLEAGUES ON 491 00:20:38,001 --> 00:20:39,000 THE COMMITTEE WHO'VE BEEN 492 00:20:39,001 --> 00:20:41,000 WORKING ON THIS FOR MONTHS AND 493 00:20:41,001 --> 00:20:43,000 MONTHS AND MONTHS, AND SENATOR 494 00:20:43,001 --> 00:20:44,000 CORKER AND SENATOR WARNER 495 00:20:44,001 --> 00:20:45,000 PARTICULARLY WHO CRAFTED THIS 496 00:20:45,001 --> 00:20:48,000 POSITION. 497 00:20:48,001 --> 00:20:52,000 I MEAN, THE REALITY IS THAT IF 498 00:20:52,001 --> 00:20:53,000 WE DO NOTHING, WHICH IS THE 499 00:20:53,001 --> 00:20:58,000 EFFECT OF VOTING AGAINST THE 500 00:20:58,001 --> 00:21:03,000 NOTHING, WE COULD HAVE A CRISIS 501 00:21:03,001 --> 00:21:05,000 NEXT WEEK. 502 00:21:05,001 --> 00:21:07,000 GREEK SOVEREIGN DEBT. 503 00:21:07,001 --> 00:21:08,000 THERE'S HUGE TURMOIL IN EUROPE 504 00:21:08,001 --> 00:21:09,000 ABOUT GREEK BONDS, THE ABILITY 505 00:21:09,001 --> 00:21:11,000 OF THE GREEK GOVERNMENT TO PAY, 506 00:21:11,001 --> 00:21:13,000 THE NEED FOR SUPPORT. 507 00:21:13,001 --> 00:21:14,000 IF THOSE TALKS COLLAPSE AND 508 00:21:14,001 --> 00:21:16,000 SUDDENLY THROUGHOUT THE 509 00:21:16,001 --> 00:21:18,000 FINANCIAL SYSTEM THERE IS A RUSH 510 00:21:18,001 --> 00:21:20,000 FROM SOVEREIGN DEBT, NOT JUST 511 00:21:20,001 --> 00:21:22,000 GREEK DEBT BUT OTHER 512 00:21:22,001 --> 00:21:24,000 COUNTRIES -- AND SOMETIMES 513 00:21:24,001 --> 00:21:26,000 UNJUSTIFIED -- WE DON'T QUITE 514 00:21:26,001 --> 00:21:28,000 KNOW, I SUSPECT, WHO'S HOLDING 515 00:21:28,001 --> 00:21:31,000 ALL OF THIS, WHAT ARE THE 516 00:21:31,001 --> 00:21:32,000 SYSTEMIC EFFECTS. 517 00:21:32,001 --> 00:21:34,000 WE HAVE TO BE PREPARED FOR 518 00:21:34,001 --> 00:21:36,000 SOMETHING LIKE THAT. 519 00:21:36,001 --> 00:21:37,000 AND THE NOTION THAT WE'RE -- 520 00:21:37,001 --> 00:21:40,000 THIS CRISIS HAS PASSED AND WE 521 00:21:40,001 --> 00:21:41,000 CAN JUST GO ABOUT OUR MERRY WAY 522 00:21:41,001 --> 00:21:43,000 WITHOUT DEALING WITH THESE 523 00:21:43,001 --> 00:21:44,000 ISSUES I THINK IS -- IS -- IS 524 00:21:44,001 --> 00:21:45,000 NAIVE. 525 00:21:45,001 --> 00:21:48,000 AND THE WAY TO DEAL WITH IT IS 526 00:21:48,001 --> 00:21:50,000 TO ESTABLISH A RESOLUTION 527 00:21:50,001 --> 00:21:52,000 MECHANISM, AND SENATOR WARNER 528 00:21:52,001 --> 00:21:54,000 AND SENATOR CORKER HAVE DONE A 529 00:21:54,001 --> 00:21:55,000 REMARKABLE JOB IN CRAFTING ONE. 530 00:21:55,001 --> 00:21:57,000 AND THE QUESTION WITHIN THAT 531 00:21:57,001 --> 00:21:58,000 RESOLUTION IS: WHO'S GOING TO 532 00:21:58,001 --> 00:21:59,000 PAY? 533 00:21:59,001 --> 00:22:00,000 MR. REED: AND, FRANKLY, THEY 534 00:22:00,001 --> 00:22:03,000 STEPPED UP TO THE PLATE TODAY 535 00:22:03,001 --> 00:22:06,000 AND SAID LET'S PUT THE BANKS ON 536 00:22:06,001 --> 00:22:09,000 THE LINE FOR THE FIRST $50 BILLION. 537 00:22:09,001 --> 00:22:10,000 THAT MAKES SENSE TO ME, BECAUSE 538 00:22:10,001 --> 00:22:14,000 IT'S CLEAR WHO'S GOING TO PAY. 539 00:22:14,001 --> 00:22:16,000 NOT THE TAXPAYER BUT THE BANKS. 540 00:22:16,001 --> 00:22:18,000 BUT IN ANY CASE, WE CAN'T REALLY 541 00:22:18,001 --> 00:22:19,000 ENGAGE ON THIS DISCUSSION OF THE 542 00:22:19,001 --> 00:22:20,000 MECHANISM AND HOW IT WILL 543 00:22:20,001 --> 00:22:24,000 FINALLY COME OUT UNTIL WE BRING 544 00:22:24,001 --> 00:22:26,000 THE BILL TO THE FLOOR, DEBATE IT 545 00:22:26,001 --> 00:22:27,000 AND VOTE UPON AMENDMENTS OR 546 00:22:27,001 --> 00:22:28,000 CHANGES, AND THAT'S WHAT WE HAVE 547 00:22:28,001 --> 00:22:30,000 TO DO. 548 00:22:30,001 --> 00:22:33,000 BUT THIS LEGISLATION IS CLEARLY 549 00:22:33,001 --> 00:22:35,000 NOT A BAILOUT FOR THE BANKS. 550 00:22:35,001 --> 00:22:37,000 IF IT WAS, THEY WOULD BE 551 00:22:37,001 --> 00:22:39,000 SUPPORTING I. 552 00:22:39,001 --> 00:22:41,000 FRANKLY, ALL THE NEWSPAPERS I 553 00:22:41,001 --> 00:22:44,000 READ SUGGEST THE INTENSE 554 00:22:44,001 --> 00:22:45,000 LOBBYING EFFORTS AGAINST IT, 555 00:22:45,001 --> 00:22:47,000 WHICH, COINCIDENTALLY, FAVOR 556 00:22:47,001 --> 00:22:52,000 THOSE WHO WANT TO VOTE AGAINST 557 00:22:52,001 --> 00:22:53,000 TAKING THE BILL UP. 558 00:22:53,001 --> 00:22:55,000 SO I THINK WE'RE IN A SITUATION 559 00:22:55,001 --> 00:22:57,000 WHERE WE HAVE TO PROC FORWARD. 560 00:22:57,001 --> 00:23:01,000 AS I SAID, IF WE DON'T MOVE 561 00:23:01,001 --> 00:23:03,000 FORWARD, WE ARE GOING TO HAVE 562 00:23:03,001 --> 00:23:05,000 SIGNIFICANT ISSUE OF CONFIDENCE 563 00:23:05,001 --> 00:23:07,000 BY THE AMERICAN PEOPLE AND 564 00:23:07,001 --> 00:23:08,000 STABILITY IN OUR FINANCIAL 565 00:23:08,001 --> 00:23:11,000 SYSTEMS. 566 00:23:11,001 --> 00:23:13,000 THESE ARE COMPLEX, INTRICATE ISSUES. 567 00:23:13,001 --> 00:23:15,000 THESE REQUIRE DEBATE, DISCUSSION DISCUSSION. 568 00:23:15,001 --> 00:23:18,000 I DON'T THINK ANYONE SHOULD BE 569 00:23:18,001 --> 00:23:22,000 PRESUME HUSBANPRESUM HUSBAND IS ENOUGH TO 570 00:23:22,001 --> 00:23:24,000 STAND HERE AND SAY OURS -- 571 00:23:24,001 --> 00:23:26,000 PRESUMTIOUS ENOUGH TO STAND HERE 572 00:23:26,001 --> 00:23:27,000 AND SAYURS -- WE KNOW WHAT TO 573 00:23:27,001 --> 00:23:28,000 DO AND WE'RE GOING TO DO IT 574 00:23:28,001 --> 00:23:29,000 WITHOUT THE INPUT OF OUR 575 00:23:29,001 --> 00:23:32,000 COLLEAGUES. 576 00:23:32,001 --> 00:23:34,000 AND THAT COMES ULTIMATELY WITH 577 00:23:34,001 --> 00:23:36,000 DEBATE ON THE FLOOR, DEBATE AND DISCUSSION. 578 00:23:36,001 --> 00:23:37,000 NOW, AGAIN, WHERE ARE WE IF WE 579 00:23:37,001 --> 00:23:38,000 DON'T TAKE UP THIS MEASURE NEXT 580 00:23:38,001 --> 00:23:40,000 WEEK? 581 00:23:40,001 --> 00:23:42,000 WELL, A $600 TRILLION MARKET IN 582 00:23:42,001 --> 00:23:44,000 DERIVATIVES WILL REMAIN OPAQUE, 583 00:23:44,001 --> 00:23:46,000 COMPLEX, CONFUSING AND A 584 00:23:46,001 --> 00:23:49,000 POTENTIAL VULNERABILITY FOR OUR FINANCIAL SYSTEM. 585 00:23:49,001 --> 00:23:51,000 AND I SAY $600 TRILLION, BECAUSE 586 00:23:51,001 --> 00:23:54,000 WHEN YOU TALK ABOUTERIVATIVES 587 00:23:54,001 --> 00:23:55,000 MARKETS, BILLIONS ARE, YOU KNOW, 588 00:23:55,001 --> 00:23:57,000 THAT'S A ROUNDING ERROR. 589 00:23:57,001 --> 00:24:01,000 IT'S TRILLIONS OF DOLLARS. 590 00:24:01,001 --> 00:24:02,000 AND A MISCALCULATION, MISTAKE, 591 00:24:02,001 --> 00:24:03,000 MISJUDGMENT IN THAT MARKET HAS 592 00:24:03,001 --> 00:24:06,000 HUGE CONSEQUENCES. 593 00:24:06,001 --> 00:24:08,000 THE BIG BANKS WHO SELL THESE 594 00:24:08,001 --> 00:24:10,000 COMPLEX TOXIC INSTRUMENTS TO 595 00:24:10,001 --> 00:24:12,000 PENSION PLANS, ESS 596 00:24:12,001 --> 00:24:14,000 TAKING SAVINGS AND TRADING THEM, 597 00:24:14,001 --> 00:24:15,000 GAMBLING WITH THEM IN SOME 598 00:24:15,001 --> 00:24:16,000 RESPECTS, THEY WILL CONTINUE TO 599 00:24:16,001 --> 00:24:18,000 DO THAT. 600 00:24:18,001 --> 00:24:22,000 THEY'LL NOT ONLY TAKE PENSION 601 00:24:22,001 --> 00:24:23,000 SAVINGS BUT THEY'LL TAKE 602 00:24:23,001 --> 00:24:24,000 MUNICIPALITIES' MONEY IN FANCY 603 00:24:24,001 --> 00:24:28,000 BOND ARRANGEMENTS WHERE THEY 604 00:24:28,001 --> 00:24:30,000 ESSENTIALLY CREATE AN AUCTION, 605 00:24:30,001 --> 00:24:31,000 SWITCH THROUGH INTEREST RATE 606 00:24:31,001 --> 00:24:33,000 SWAPS, A VARIABLE RATE FOR A 607 00:24:33,001 --> 00:24:34,000 FIXED RATE, BUT SUDDENLY IN THE 608 00:24:34,001 --> 00:24:35,000 MIX OF THIS CRISIS THE OPTIONS 609 00:24:35,001 --> 00:24:36,000 COLLAPSED AND MANY 610 00:24:36,001 --> 00:24:39,000 MUNICIPALITIES AND PUBLIC 611 00:24:39,001 --> 00:24:41,000 ENTIES ENDED UP PAYING THE 612 00:24:41,001 --> 00:24:42,000 DEFAULT RATE, WHICH WAS MUCH 613 00:24:42,001 --> 00:24:45,000 HIGHER THAN THEY WOULD EVER PAY 614 00:24:45,001 --> 00:24:46,000 IN A SITUATION OF AN INITIALLY 615 00:24:46,001 --> 00:24:48,000 ISSUE OF A FIXED-RATE BOND. 616 00:24:48,001 --> 00:24:49,000 ALL OF THESE THINGS WILL 617 00:24:49,001 --> 00:24:51,000 CONTINUE. 618 00:24:51,001 --> 00:24:58,000 UNREGULATED MORTGAGE LENDERS WHO 619 00:24:58,001 --> 00:25:00,000 WILL I CONTINUE TO GO OUT AND 620 00:25:00,001 --> 00:25:01,000 OPERATE UNDER THE 621 00:25:01,001 --> 00:25:05,000 ORIGINATE-AND-SELL MODEL WHICH 622 00:25:05,001 --> 00:25:06,000 HAS LED TO SO MANY PROBLEMS. 623 00:25:06,001 --> 00:25:07,000 PAYDAY LENDERS, WHO ARE CHARGING 624 00:25:07,001 --> 00:25:08,000 IN SOME CASES 900% INTEREST, 625 00:25:08,001 --> 00:25:10,000 WILL BE UNREGULATED. 626 00:25:10,001 --> 00:25:11,000 CREDIT CARD COMPANIES, EVEN 627 00:25:11,001 --> 00:25:12,000 AFTER OUR EFFORTS WITH THE 628 00:25:12,001 --> 00:25:13,000 CREDIT CARD LEGISLATION, ARE 629 00:25:13,001 --> 00:25:15,000 TRYING TO CIRCUMVENT THE RULES 630 00:25:15,001 --> 00:25:17,000 TO MAXIMIZE THEIR PROFITS. 631 00:25:17,001 --> 00:25:19,000 THE BOTTOM LINE IS THE PEOPLE 632 00:25:19,001 --> 00:25:23,000 WHO BENEFIT FROM DELAY,ROM 633 00:25:23,001 --> 00:25:26,000 TAKING THE COURSE OF ACTION OF 634 00:25:26,001 --> 00:25:29,000 DELAY AND DENIAL, I WOULD SAY, 635 00:25:29,001 --> 00:25:31,000 BECAUSE THIS URGE THAT THIS IS A BAILOUT BILL IS DENYING THE 636 00:25:31,001 --> 00:25:33,000 FACTS OF THE BILL, DELAY AND 637 00:25:33,001 --> 00:25:34,000 DENIAL WILL BENEFIT ONLY THESE 638 00:25:34,001 --> 00:25:35,000 FINANCIAL INSTITUTIONS AND NOT 639 00:25:35,001 --> 00:25:37,000 CONSUMERS AND NOT TAXPAYERS. 640 00:25:37,001 --> 00:25:41,000 SO AS A RESULT, MR. PRESIDENT, I 641 00:25:41,001 --> 00:25:42,000 WOULD URGE ALL OF MY COLLEAGUES 642 00:25:42,001 --> 00:25:45,000 ON MONDAY TO VOTE TO PROCEED TO 643 00:25:45,001 --> 00:25:46,000 THIS BILL. 644 00:25:46,001 --> 00:25:49,000 AGAIN, YOU HAVE TO ASK THREE 645 00:25:49,001 --> 00:25:52,000 QUESTIONS, AND THIS WILL 646 00:25:52,001 --> 00:25:54,000 DECIDED ON MONDAY EVENING. 647 00:25:54,001 --> 00:25:55,000 STATUS QUO FAVORS THE BANKS. 648 00:25:55,001 --> 00:25:57,000 IF YOU WANT TO FAVOR THE BANKS, 649 00:25:57,001 --> 00:25:59,000 THEN VOTE AGAINST CLOTURE. 650 00:25:59,001 --> 00:26:02,000 STUS QUO OPERATES TO ALLOW ALL 651 00:26:02,001 --> 00:26:03,000 SORTS OF ARCANE ACTIVITIES WHICH 652 00:26:03,001 --> 00:26:04,000 WE'VE KNOWN HAVE POSED SIGNIFICANT THREATS TO OUR 653 00:26:04,001 --> 00:26:09,000 FINANCIAL SYSTEM. 654 00:26:09,001 --> 00:26:10,000 IF YOU WANT THESE ACTIVITIES TO 655 00:26:10,001 --> 00:26:11,000 CONTINUE UNIMPROVED, 656 00:26:11,001 --> 00:26:12,000 UNCORRECTED, VOTE AGAINST 657 00:26:12,001 --> 00:26:15,000 CLOTURE. 658 00:26:15,001 --> 00:26:16,000 STATUS QUO DISFAVORS CONSUMERS 659 00:26:16,001 --> 00:26:17,000 AND TAXPAYERS. 660 00:26:17,001 --> 00:26:19,000 SO IF YOU WANT TO SEE THEM 661 00:26:19,001 --> 00:26:23,000 CONTINUE TO BE ON THE SHORT SIDE 662 00:26:23,001 --> 00:26:26,000 OF THE SALE, VOTE AGAINST CLOTURE. 663 00:26:26,001 --> 00:26:30,000 I WOULD URGE WE VOTE F 664 00:26:30,001 --> 00:26:31,000 CLOTURE, WE MOVE FORWARD, WE 665 00:26:31,001 --> 00:26:32,000 REFORM OUR FINANCIAL SYSTEM, 666 00:26:32,001 --> 00:26:36,000 PROTECT CONSUMERS, STRENGTHEN 667 00:26:36,001 --> 00:26:37,000 OUR ECONOMY AND MOVE FORWARD TO 668 00:26:37,001 --> 00:26:42,000 PROSPERITY AND GROWTH. 669 00:26:42,001 --> 00:26:43,000 AND I WOULD YIELD THE FLOOR. 670 00:26:43,001 --> 00:26:44,000 MR. CARDIN: MR. PRESIDENT? THE PRESIDING OFFICER: THE 671 00:26:44,001 --> 00:26:45,000 SENATOR FROM MARYLAND IS RECOGNIZED. 672 00:26:45,001 --> 00:26:46,000 MR. CARDIN: THANK YOU, 673 00:26:46,001 --> 00:26:48,000 MR. PRESIDENT. 674 00:26:48,001 --> 00:26:49,000 MR. PRESIDENT, I RISE TODAY TO 675 00:26:49,001 --> 00:26:54,000 EXPRESS MY CONGRATULATIONS TO 676 00:26:54,001 --> 00:26:56,000 ISRAEL ON ITS 6 2nd 677 00:26:56,001 --> 00:26:59,000 ANNIVERSARY OF ITS INDEPENDENCE. 678 00:26:59,001 --> 00:27:01,000 THIS WEEK AMERICA'S CLOSEST ALLY 679 00:27:01,001 --> 00:27:02,000 IN THE MIDDLE EAST, ISRAEL, 680 00:27:02,001 --> 00:27:04,000 COMMEMORATED INDEPENDENCE DAY 681 00:27:04,001 --> 00:27:06,000 ONE DAY AFTER MEMORIAL DAY AND 682 00:27:06,001 --> 00:27:08,000 ONE WEEK AFTER HOLOCAUST 683 00:27:08,001 --> 00:27:09,000 REMBRANCE DAY. 684 00:27:09,001 --> 00:27:11,000 WHILE INDEPENDENT DAY IS ABOUT 685 00:27:11,001 --> 00:27:14,000 CELEBRATION FOR THE PEOPLE OF 686 00:27:14,001 --> 00:27:16,000 ISRAEL, THIS MEMORIAL DAY WAS 687 00:27:16,001 --> 00:27:18,000 MARKED BY SOMBER CEREMONIES AND 688 00:27:18,001 --> 00:27:21,000 NATIONAL GRIEF OVER THE LOSS OF 689 00:27:21,001 --> 00:27:22,000 THEIR SOLDIERS. 690 00:27:22,001 --> 00:27:24,000 NATIONWIDE, SIRENS AND MOMENTS 691 00:27:24,001 --> 00:27:25,000 OF SILENCE EMPHASIZED THE 692 00:27:25,001 --> 00:27:28,000 SACRIFICES ALL ISRAELIS HAVE 693 00:27:28,001 --> 00:27:30,000 MADE LIVING IN THEIR THRIVING, 694 00:27:30,001 --> 00:27:32,000 FREE AND DOCRATIC STATE. 695 00:27:32,001 --> 00:27:34,000 THESE INTENSELY PERSONAL LOSSES 696 00:27:34,001 --> 00:27:35,000 IN SUCH A SMALL COUNTRY 697 00:27:35,001 --> 00:27:38,000 UNDERSCORES THE CONTINUING 698 00:27:38,001 --> 00:27:40,000 THREAT FACED BY ISRAELIS. 699 00:27:40,001 --> 00:27:42,000 THE SCALE OF THEIR EFFORTS, AND 700 00:27:42,001 --> 00:27:43,000 THE IMPORTANCE OF A JEWISH 701 00:27:43,001 --> 00:27:46,000 HOMELAND. 702 00:27:46,001 --> 00:27:50,000 I COMMEMORATED LAST WEEK'S 703 00:27:50,001 --> 00:27:52,000 OBSERVANCE OF YOM MISHOA IN 704 00:27:52,001 --> 00:27:55,000 BALTIMORE WHERE I JOINED FELLOW 705 00:27:55,001 --> 00:27:56,000 MEMBERS IN A MOVIE TO 706 00:27:56,001 --> 00:27:59,000 COMMEMORATE THE 50th 707 00:27:59,001 --> 00:28:00,000 ANNIVERSARY OF ADOLF IKEMAN'S 708 00:28:00,001 --> 00:28:01,000 CAPTURE AND TRIAL. 709 00:28:01,001 --> 00:28:02,000 HE WAS A PREMIER ARCHITECT OF 710 00:28:02,001 --> 00:28:04,000 THE H 711 00:28:04,001 --> 00:28:05,000 RATHER THAN DEALING WITH SUCH A 712 00:28:05,001 --> 00:28:06,000 WAR CRIMINAL THROUGH FORCEFUL 713 00:28:06,001 --> 00:28:08,000 VENGEANCE THAT WOULD HAVE BEEN 714 00:28:08,001 --> 00:28:10,000 UNDERSTANDABLE, ISRAEL 715 00:28:10,001 --> 00:28:12,000 PROSECUTED IKEMAN BY FOLLOWING 716 00:28:12,001 --> 00:28:14,000 THE RULE OF LAW AND HIS TRIAL 717 00:28:14,001 --> 00:28:16,000 WAS A MODEL OF TRANSPARENCY AND 718 00:28:16,001 --> 00:28:17,000 JUSTICE. 719 00:28:17,001 --> 00:28:19,000 THIS DISPLAY OF OUR SHARED 720 00:28:19,001 --> 00:28:21,000 VALUES OF LAW, JUSTICE AND 721 00:28:21,001 --> 00:28:24,000 FAIRNESS HELP TO ILLUSTRATE WHY 722 00:28:24,001 --> 00:28:25,000 THE UNITED STATES AND ISRAEL 723 00:28:25,001 --> 00:28:27,000 CONTINUE TO BUILD UPON OUR 724 00:28:27,001 --> 00:28:28,000 SPECIAL RELATIONSHIP FOR SIX 725 00:28:28,001 --> 00:28:30,000 DECADES. 726 00:28:30,001 --> 00:28:32,000 I OBSERVED ISRAEL INDEPENDENCE 727 00:28:32,001 --> 00:28:35,000 DAY, AN EVENT FOCUSED ON THE 728 00:28:35,001 --> 00:28:38,000 GROWING THREAT OF A NUCLEAR IRAN. 729 00:28:38,001 --> 00:28:40,000 IF IRAN ACQUIRED THIS 730 00:28:40,001 --> 00:28:42,000 CAPABILITY, IT WOULD BE 731 00:28:42,001 --> 00:28:44,000 UNEQUIVOCAL GAME CHANGER IN THE 732 00:28:44,001 --> 00:28:45,000 MIDDLE EAST AND, INDEE 733 00:28:45,001 --> 00:28:46,000 THROUGHOUT THE WORLD. 734 00:28:46,001 --> 00:28:50,000 AN UNDENIABLE THREAT TO ISRAEL 735 00:28:50,001 --> 00:28:51,000 AND THE UNITED STATES, A NUCLEAR 736 00:28:51,001 --> 00:28:53,000 IRAN CANNOT BECOME A REALITY. 737 00:28:53,001 --> 00:28:57,000 WE MUST, THEREFORE, DO ALL IN 738 00:28:57,001 --> 00:28:59,000 OUR POWER TO PREVENT IRAN FROM 739 00:28:59,001 --> 00:29:00,000 ACQUIRING NUCLEAR CAPABILITIES. 740 00:29:00,001 --> 00:29:02,000 ONE OF THE FIRST STEPS WE SHOULD 741 00:29:02,001 --> 00:29:04,000 IMMEDIATELY TAKE I ENACTMENT OF 742 00:29:04,001 --> 00:29:07,000 POWERFUL AND EFFECTIVE ECONOMIC 743 00:29:07,001 --> 00:29:08,000 SANCTIONS AGAINST IRAN AND THE 744 00:29:08,001 --> 00:29:10,000 FOREIGN COMPANIES THAT DO 745 00:29:10,001 --> 00:29:12,000 BUSINESS WITH THIS ROGUE NATION. 746 00:29:12,001 --> 00:29:14,000 WHILE WE WORK TO MINIMIZE THE 747 00:29:14,001 --> 00:29:15,000 KEY THREATS TO ISRAEL'S 748 00:29:15,001 --> 00:29:17,000 SECURITY, WE MUST ALSO FOCUS ON 749 00:29:17,001 --> 00:29:18,000 OPPORTUNITIES FOR PEACE IN THE 750 00:29:18,001 --> 00:29:20,000 MIDDLE EAST. 751 00:29:20,001 --> 00:29:22,000 ISRAEL HAS ALWAYS BEEN PREPARED 752 00:29:22,001 --> 00:29:24,000 TO PURSUE THESE OPPORTUNITIES 753 00:29:24,001 --> 00:29:25,000 AND TO MAKE PEACE WITH ITS 754 00:29:25,001 --> 00:29:27,000 NEIGHBORS. 755 00:29:27,001 --> 00:29:29,000 OVER THE PAST SIX DECADES, 756 00:29:29,001 --> 00:29:31,000 DESPITE DIPLOMATIC GESTURES, 757 00:29:31,001 --> 00:29:32,000 MULTLE ARAB COUNTRIES HAVE 758 00:29:32,001 --> 00:29:33,000 REPEATEDLY ATTACKED ISRAEL. 759 00:29:33,001 --> 00:29:35,000 WE SHOULD NOT FORGET THAT IT WAS 760 00:29:35,001 --> 00:29:38,000 THE PALESTINIAN LEADERS WHO 761 00:29:38,001 --> 00:29:42,000 WALKED AWAY FROM THE NEGOTIATING 762 00:29:42,001 --> 00:29:43,000 TABLES AT CAMP DAVID IN 2000 ON 763 00:29:43,001 --> 00:29:45,000 THE EVE OF WHAT WOULD HAVE BEEN 764 00:29:45,001 --> 00:29:46,000 AN HISTORIC BREAKTHROUGH FOR 765 00:29:46,001 --> 00:29:48,000 PEACE. 766 00:29:48,001 --> 00:29:49,000 TODAY IT IS ISRAEL WHO CONTINUES 767 00:29:49,001 --> 00:29:50,000 TO ACKNOWLEDGE THE NECESSARY 768 00:29:50,001 --> 00:29:54,000 FRAMEWORK FOR ANY PEACE 769 00:29:54,001 --> 00:29:55,000 AGREEMENT, A TWO-STATE SOLUTION. 770 00:29:55,001 --> 00:29:56,000 WHILE ISRAEL HAS SHOWN 771 00:29:56,001 --> 00:29:57,000 WILLINGNESS FOR DIRECT 772 00:29:57,001 --> 00:29:59,000 NEGOTIATIONS, THE PALESTINIANS 773 00:29:59,001 --> 00:30:01,000 CONTINUE TO BE UNRELIABLE 774 00:30:01,001 --> 00:30:04,000 PARTNERS IN MOVING FORWARD 775 00:30:04,001 --> 00:30:05,000 TOWARDS PEACE. 776 00:30:05,001 --> 00:30:07,000 HOW COULD ISRAEL MAKE PEACE WITH 777 00:30:07,001 --> 00:30:09,000 A PARTNER WHOSE SO-CALLED 778 00:30:09,001 --> 00:30:11,000 MODERATE FATTAH LEADERS ARE NOT 779 00:30:11,001 --> 00:30:12,000 WILLING TO MEET DIRECTLY WITH 780 00:30:12,001 --> 00:30:14,000 ISRAELI LEADERS AND WHOSE 781 00:30:14,001 --> 00:30:15,000 PARLIAMENT IS CONTROLLED BY 782 00:30:15,001 --> 00:30:17,000 HAMAS AND ORGANIZATIONS STILL 783 00:30:17,001 --> 00:30:20,000 SWORN TO THE DESTRUCTION OF ISRAEL? 784 00:30:20,001 --> 00:30:23,000 I AM PROUD TO HAVE JOINED 75 OF 785 00:30:23,001 --> 00:30:25,000 MY COLLEAGUES IN REACHING OUT TO 786 00:30:25,001 --> 00:30:27,000 SECRETARY OF STATE CLINTON IN A 787 00:30:27,001 --> 00:30:29,000 RECENT LETTER WHICH INCLUDED A 788 00:30:29,001 --> 00:30:31,000 REAFFIRMATION OF THIS FACT, AS 789 00:30:31,001 --> 00:30:32,000 WELL AS A REMINDER THAT NOT ONLY 790 00:30:32,001 --> 00:30:34,000 DO THE UNITED STATES AND ISRAEL 791 00:30:34,001 --> 00:30:36,000 SHARE COMMON VALUES BUT ALSO 792 00:30:36,001 --> 00:30:37,000 COMMON INTERESTS. 793 00:30:37,001 --> 00:30:40,000 TOP AMONG THOSE INTERESTS IS 794 00:30:40,001 --> 00:30:41,000 RESTORING THE PEACE PROCESS AND 795 00:30:41,001 --> 00:30:42,000 PREVENTING IRAN FROM BECOMING A 796 00:30:42,001 --> 00:30:44,000 NUCLEAR STATE. 797 00:30:44,001 --> 00:30:46,000 THIS IS PRECISELY WHY THE ROLE 798 00:30:46,001 --> 00:30:49,000 OF THE UNITED STATES IN THIS 799 00:30:49,001 --> 00:30:51,000 PROCESS MUST BE AN HONEST BROKER. 800 00:30:51,001 --> 00:30:53,000 PRESIDENT OBAMA MUST NOT PLACE 801 00:30:53,001 --> 00:30:54,000 WRONGFUL OR UNREASONABLE 802 00:30:54,001 --> 00:30:57,000 PRESSURE ON ISRAEL OR WORSE TO 803 00:30:57,001 --> 00:30:59,000 PUT FORWARD A PROPOSAL ABOUT 804 00:30:59,001 --> 00:31:01,000 ISRAEL'S CONSENT. 805 00:31:01,001 --> 00:31:03,000 SINCE ISRAEL'S FOUNDING 62 YEARS 806 00:31:03,001 --> 00:31:05,000 AGO, EVERY ARICAN 807 00:31:05,001 --> 00:31:06,000 ADMINISTRATION HAS WORKED TO 808 00:31:06,001 --> 00:31:08,000 STRENGTHEN THE BONDS BETWEEN THE 809 00:31:08,001 --> 00:31:09,000 UNITED STATES AND ISRAEL. 810 00:31:09,001 --> 00:31:11,000 THIS HAS BEEN VITAL FOR ISRAEL 811 00:31:11,001 --> 00:31:15,000 AND THE NATION IS UNDER CONSTANT 812 00:31:15,001 --> 00:31:18,000 THREAT OF MILITARY AND TERRORIST 813 00:31:18,001 --> 00:31:20,000 ATTACKS, ECONOMIC BOYCOTTS, AND 814 00:31:20,001 --> 00:31:22,000 DIPLOMATIC HOSTILITY. 815 00:31:22,001 --> 00:31:24,000 OFTEN, MERELY DUE TO THE FACT OF 816 00:31:24,001 --> 00:31:25,000 ITS VERY EXISTENCE. 817 00:31:25,001 --> 00:31:28,000 AT THIS CRITICAL MOMENT WHEN 818 00:31:28,001 --> 00:31:32,000 IRAN IS MOVING FORWARD WITH ITS 819 00:31:32,001 --> 00:31:35,000 NUCLEAR PROGRAM AND ABSOLUTELY 820 00:31:35,001 --> 00:31:37,000 HEZBOLLAH'S CAPACITY TO ATTACK 821 00:31:37,001 --> 00:31:40,000 ISRAEL, IT IS IMPERATIVE THAT 822 00:31:40,001 --> 00:31:41,000 THE OBAMA ADMINISTRATION SAY IN 823 00:31:41,001 --> 00:31:42,000 CLEAR, UNAMBIGUOUS LANGUAGE THAT 824 00:31:42,001 --> 00:31:44,000 WE STAND WITH THE PEOPLE OF 825 00:31:44,001 --> 00:31:45,000 ISRAEL AND WE'LL DO ALL IN OUR 826 00:31:45,001 --> 00:31:48,000 POWER TO PROTECT OUR 827 00:31:48,001 --> 00:31:50,000 VALUES AND NATIONAL BONDS. 828 00:31:50,001 --> 00:31:53,000 AS ISRAEL CELEBRATES ITS 829 00:31:53,001 --> 00:31:54,000 ANNIVERSARY, LET US ALL PROCLAIM 830 00:31:54,001 --> 00:31:55,000 THAT THE UNITED STATES CONTINUES 831 00:31:55,001 --> 00:31:57,000 ITS UNBREAKABLE ALLIANCE WITH 832 00:31:57,001 --> 00:31:58,000 OUR CSEST ALLY IN THE MIDDLE 833 00:31:58,001 --> 00:31:59,000 EAST. 834 00:31:59,001 --> 00:32:00,000 THANK YOU, MR. PRESIDENT. 835 00:32:00,001 --> 00:32:01,000 WITH THAT, I WOULD YIELD THE 836 00:32:01,001 --> 00:32:02,000 FLOOR AND SUGGEST THE ABSENCE OF 837 00:32:02,001 --> 00:32:03,000 A QUORUM. 838 00:32:03,001 --> 00:32:07,000 THE PRESIDING OFFICER: THE CLERK 839 00:32:07,001 --> 00:33:09,000 WILL CALL THE 840 00:33:09,001 --> 00:33:11,000 QUORUM CALL: 841 00:33:11,001 --> 00:33:12,000 MR. UDALL: MR. PRESIDENT? 842 00:33:12,001 --> 00:33:14,000 THE PRESIDING OFFICER: THE 843 00:33:14,001 --> 00:33:15,000 SENATOR FROM NEW M 844 00:33:15,001 --> 00:33:16,000 MR. UDALL: I WOULD ASK TO 845 00:33:16,001 --> 00:33:18,000 VITIATE THE QUORUM CALL. 846 00:33:18,001 --> 00:33:19,000 THE PRESIDG OFFICER: WITHOUT 847 00:33:19,001 --> 00:33:20,000 OBJECTION, THE SENATOR FROM NEW 848 00:33:20,001 --> 00:33:21,000 MEXICO IS RECOGNIZED. 849 00:33:21,001 --> 00:33:22,000 MR. UDALL: MR. PRESIDENT, I RISE 850 00:33:22,001 --> 00:33:24,000 TODAY TO PAY TRIBUTE TO A MAN 851 00:33:24,001 --> 00:33:25,000 WHO SERVED NEW MEXICO AND THE 852 00:33:25,001 --> 00:33:28,000 ENTIRE COUNTRY WITH DISTINCTION 853 00:33:28,001 --> 00:33:29,000 FOR MORE THAN THREE DECADES IN 854 00:33:29,001 --> 00:33:31,000 WASHINGTON, A MAN WHO DEDICATED 855 00:33:31,001 --> 00:33:33,000 HIS LIFE TO BEING A CHAMPION FOR 856 00:33:33,001 --> 00:33:36,000 THE LEAST AMONG US. 857 00:33:36,001 --> 00:33:39,000 THAT MAN IS SENATOR DENNIS 858 00:33:39,001 --> 00:33:42,000 CHAVEZ, THE NATION'S LONGEST 859 00:33:42,001 --> 00:33:45,000 SERVING HISPANIC U.S. SENATOR. 860 00:33:45,001 --> 00:33:47,000 THIS MONTH WE MARK THE 122ND 861 00:33:47,001 --> 00:33:49,000 ANNIVERSARY OF HIS BIRTH. 862 00:33:49,001 --> 00:33:51,000 IN EVERYTHING HE DID, SENATOR 863 00:33:51,001 --> 00:33:52,000 CHAVEZ SHOWED HIS CONCERN FOR 864 00:33:52,001 --> 00:33:54,000 THE UNDERDOG. 865 00:33:54,001 --> 00:33:56,000 HE FOUGHT FOR PUBLIC EDUCATION 866 00:33:56,001 --> 00:33:58,000 BECAUSE HE KNEW WHAT IT COULD DO 867 00:33:58,001 --> 00:34:00,000 TO HELP THE CHILDREN OF 868 00:34:00,001 --> 00:34:02,000 STRUGGLING FAMILIES BECOME 869 00:34:02,001 --> 00:34:04,000 SUCCESSFUL ADULTS. 870 00:34:04,001 --> 00:34:06,000 HE SUPPORTED FARMERS BECAUSE HE 871 00:34:06,001 --> 00:34:08,000 KNEW HOW DIFFICULT LIFE CAN BE 872 00:34:08,001 --> 00:34:10,000 IN THE SMALL COMMUNITIES WHERE 873 00:34:10,001 --> 00:34:11,000 THE TRAINS DON'T STOP AND THE 874 00:34:11,001 --> 00:34:13,000 ROADS DON'T GO. 875 00:34:13,001 --> 00:34:15,000 AND HE FOUGHT FOR CIVIL RIGHTS 876 00:34:15,001 --> 00:34:17,000 BECAUSE SENATOR CHAVEZ BELIEVED 877 00:34:17,001 --> 00:34:20,000 THAT EQUALITY OF OPPORTUNITY IS 878 00:34:20,001 --> 00:34:23,000 THE CORE OF THE AMERICAN CREED. 879 00:34:23,001 --> 00:34:25,000 DENNIS CHAVEZ FOUGHT FOR THE 880 00:34:25,001 --> 00:34:26,000 UNDERDOG BECAUSE HE WAS AN 881 00:34:26,001 --> 00:34:28,000 UNDERDOG. 882 00:34:28,001 --> 00:34:30,000 BORN INTO POVERTY IN VALENCIA 883 00:34:30,001 --> 00:34:32,000 COUNTY, NEW MEXICO, CHAVEZ 884 00:34:32,001 --> 00:34:34,000 WALKED A LONG AND DIFFICULT ROAD 885 00:34:34,001 --> 00:34:37,000 TO THE PINNACLE OF POLITICAL POWER. 886 00:34:37,001 --> 00:34:40,000 A CHILD OF AN ISOLATED SMALL 887 00:34:40,001 --> 00:34:41,000 TOWN, HE WOULD SEE THE WORLD AND 888 00:34:41,001 --> 00:34:44,000 HELP TO SHAPE IT. 889 00:34:44,001 --> 00:34:47,000 A HIGH SCHOOL DROPOUT, HE EARNED 890 00:34:47,001 --> 00:34:50,000 A LAW DEGREE AND BECAME A LAWMAKER. 891 00:34:50,001 --> 00:34:52,000 A VICTIM OF ETHNIC DISCRIMINATION, HE WTE 892 00:34:52,001 --> 00:34:54,000 LEGISLATION THAT WOULD 893 00:34:54,001 --> 00:34:56,000 EVENTUALLY MAKE EMPLOYMENT 894 00:34:56,001 --> 00:34:57,000 DISCRIMINATION ILLEGAL AND THEN 895 00:34:57,001 --> 00:34:59,000 UNTHINKABLE. 896 00:34:59,001 --> 00:35:00,000 DENNIS CHAVEZ WAS A MAN OF 897 00:35:00,001 --> 00:35:03,000 CONVICTION. 898 00:35:03,001 --> 00:35:05,000 HE ALSO WAS A MAN OF COURAGE. 899 00:35:05,001 --> 00:35:06,000 AT THE HEIGHT OF THE 900 00:35:06,001 --> 00:35:08,000 ANTICOMMUNIST SENTIMENT IN THE 901 00:35:08,001 --> 00:35:11,000 1950'S, SENATOR CHAVEZ WAS ONE 902 00:35:11,001 --> 00:35:13,000 OF THE FIRST TO DENOUNCE THE 903 00:35:13,001 --> 00:35:15,000 ACTIVITIES OF JOSEPH MCCARTHY. 904 00:35:15,001 --> 00:35:17,000 HERE'S WHAT HE SAID ON THE 905 00:35:17,001 --> 00:35:20,000 SENATE FLOOR DURING THE MCCARTHY 906 00:35:20,001 --> 00:35:21,000 HEARINGS IN 1950. 907 00:35:21,001 --> 00:35:24,000 "I SHOULD LIKE TO BE REMBERED 908 00:35:24,001 --> 00:35:26,000 AS A MAN WHO RAISED A VOICE, AND 909 00:35:26,001 --> 00:35:28,000 I DEVOUTLY HOPE NOT A VOICE IN 910 00:35:28,001 --> 00:35:31,000 THE WILDERNESS AT A TIME IN THE 911 00:35:31,001 --> 00:35:33,000 HISTORY OF THIS BODY WHEN WE 912 00:35:33,001 --> 00:35:35,000 SEEM BENNET UPON -- SEEM BENT 913 00:35:35,001 --> 00:35:36,000 UPON PLACING LIMITATIONS ON THE 914 00:35:36,001 --> 00:35:38,000 FREEDOM OF THE INDIVIDUAL. 915 00:35:38,001 --> 00:35:39,000 I WOULD CONSIDER ALL OF THE 916 00:35:39,001 --> 00:35:42,000 LEGISLATION WHICH I HAVE 917 00:35:42,001 --> 00:35:46,000 SUPPORTED MEANINGLESS IF I WERE 918 00:35:46,001 --> 00:35:47,000 TO SIT IDLY BY, SILENT DURING A 919 00:35:47,001 --> 00:35:49,000 PERIOD WHICH MAY GO DOWN IN 920 00:35:49,001 --> 00:35:51,000 HISTORY AS AN ERA WHEN WE 921 00:35:51,001 --> 00:35:53,000 PERMITTED THE CURTAILMENT OF OUR 922 00:35:53,001 --> 00:35:56,000 LIBERTIES, A PERIOD WHEN WE 923 00:35:56,001 --> 00:35:58,000 QUIETLY SHACKLED THE GROWTH OF 924 00:35:58,001 --> 00:36:00,000 MAN'S MINDS." 925 00:36:00,001 --> 00:36:01,000 MY FATHER WHO DIED LAST MONTH 926 00:36:01,001 --> 00:36:04,000 SERVED IN THE U.S. CONGRESS WITH 927 00:36:04,001 --> 00:36:05,000 DENNIS CHAVEZ IN THE LATE 1950'S 928 00:36:05,001 --> 00:36:07,000 AND EARLY 1960'S. 929 00:36:07,001 --> 00:36:10,000 HE ALWAYS SAID WHAT HE SAW IN 930 00:36:10,001 --> 00:36:12,000 SENATOR CHAVEZ WAS A VISIONARY 931 00:36:12,001 --> 00:36:13,000 AND A MAN OF COURAGE. 932 00:36:13,001 --> 00:36:17,000 WHEN SENATOR CHAVEZ LEFT THIS 933 00:36:17,001 --> 00:36:19,000 WORLD IN 1962, HE WAS EULOGIZED 934 00:36:19,001 --> 00:36:21,000 BY VICE PRESIDENT LYNDON JOHNSON. 935 00:36:21,001 --> 00:36:23,000 IN THAT EULOGY, VICE PRESIDENT 936 00:36:23,001 --> 00:36:26,000 JOHNSON REMBERED SENATOR 937 00:36:26,001 --> 00:36:27,000 CHAVEZ AS, QUOTE -- "A MAN WHO 938 00:36:27,001 --> 00:36:30,000 RECOGNIZED THAT THERE MUST BE A 939 00:36:30,001 --> 00:36:32,000 CHAMPION FOR THE LEAST AMONG US ." 940 00:36:32,001 --> 00:36:35,000 AND FOUR YEARS LATER, WHEN THE 941 00:36:35,001 --> 00:36:41,000 U.S. CONGRESS PLACED SENATOR 942 00:36:41,001 --> 00:36:42,000 CHAVEZ' STATUE IN STATUARY HALL, 943 00:36:42,001 --> 00:36:45,000 REVEREND JOHN SPENCE SUMMED UP 944 00:36:45,001 --> 00:36:48,000 THE MAN NICELY." 945 00:36:48,001 --> 00:36:49,000 SENATOR CHAVEZ WAS EVER A 946 00:36:49,001 --> 00:36:52,000 CHAMPION OF THE UNDERDOG, THE 947 00:36:52,001 --> 00:36:54,000 POOR, AND THE OPPRESSED." 948 00:36:54,001 --> 00:36:57,000 BUT IT'S THE QUOTE INSCRIBED AT 949 00:36:57,001 --> 00:37:00,000 THE BOTTOM OF THE STATUE THAT 950 00:37:00,001 --> 00:37:01,000 BEST REVEALS THE PBGC LEGACY OF 951 00:37:01,001 --> 00:37:02,000 SENATOR DENNIS CHAVEZ. 952 00:37:02,001 --> 00:37:05,000 WRITTEN IN THREE LANGUAGES, 953 00:37:05,001 --> 00:37:07,000 SPANISH, ENGLISH, AND NAVAJO, IT 954 00:37:07,001 --> 00:37:10,000 READS SIMPLY HE LEFT A MARK THAT 955 00:37:10,001 --> 00:37:17,000 WILL NEVER BE FORGOTTEN IN THE 956 00:37:17,001 --> 00:37:19,000 HOPES THAT OTHERS WILL FOLLOW." 957 00:37:19,001 --> 00:37:21,000 EL SENATOR MAKES ME PROUD TO BE 958 00:37:21,001 --> 00:37:23,000 A NEW MEXICAN AND HUMBLED TO 959 00:37:23,001 --> 00:37:24,000 FOLLOW IN HIS FOOTSTEPS, 960 00:37:24,001 --> 00:37:25,000 REPRESENTING THE GREAT STATEF 961 00:37:25,001 --> 00:37:26,000 NEW MEXICO. 962 00:37:26,001 --> 00:37:27,000 AMERICA IS A BETTER PLACE 963 00:37:27,001 --> 00:37:30,000 BECAUSE OF SENATOR CHAVEZ. 964 00:37:30,001 --> 00:37:32,000 FOR THAT, WE HONOR HIM TODAY. 965 00:37:32,001 --> 00:37:51,000 THANK YOU, MR. PRESIDENT, AND I 966 00:37:51,001 --> 00:37:53,000 NOTE THE ABSENCE OF 967 00:37:53,001 --> 00:37:54,000 MR. UDALL: I WOULD VITIATE THE 968 00:37:54,001 --> 00:37:55,000 QUORUM CALL. 969 00:37:55,001 --> 00:37:57,000 THE PRESIDING OFFICER: THE 970 00:37:57,001 --> 00:37:58,000 SENATOR IS RECOGNIZED. 971 00:37:58,001 --> 00:38:01,000 MR. UDALL: I WOULD ASK UNANIMOUS 972 00:38:01,001 --> 00:38:04,000 CONSENT THAT RANDY FARM BILLNIT, 973 00:38:04,001 --> 00:38:05,000 A DETAILEE TO SENATOR REID, BE 974 00:38:05,001 --> 00:38:07,000 GRANTED THE PRIVILEGES OF THE 975 00:38:07,001 --> 00:38:08,000 FLOOR FOR THE REMAINDER OF THE 111th CONGRESS. 976 00:38:08,001 --> 00:38:10,000 THE PRESIDING OFFICER: WITHOUT 977 00:38:10,001 --> 00:38:11,000 OBJECTION, SO ORDERED. 978 00:38:11,001 --> 00:38:12,000 MR. UDALL: MR. PRESIDENT, I NOTE 979 00:38:12,001 --> 00:38:13,000 THE ABSENCE OF 980 00:38:13,001 --> 00:38:15,000 THE PRESIDING OFFICE THE CLERK 981 00:38:15,001 --> 00:38:18,000 WILL CALL THE ROLL OF THE 982 00:38:18,001 --> 00:40:27,000 SENATE. 983 00:40:27,001 --> 00:40:28,000 QUORUM CALL: 984 00:40:28,001 --> 00:40:30,000 THE PRESIDING OFFICER: THE 985 00:40:30,001 --> 00:40:34,000 SENATOR FROM SOUTH CAROLINA IS 986 00:40:34,001 --> 00:40:35,000 RECOGNIZED. 987 00:40:35,001 --> 00:40:36,000 MR. DeMINT: I ASK THE QUORUM 988 00:40:36,001 --> 00:40:37,000 CALL BE SUSPENDED. 989 00:40:37,001 --> 00:40:38,000 THANK YOU, MR. PRESIDENT, AND 990 00:40:38,001 --> 00:40:39,000 GOOD MORNING. 991 00:40:39,001 --> 00:40:40,000 TODAY I RISE IN OPPOSITION OF 992 00:40:40,001 --> 00:40:42,000 THE PIECE OF LEGISLATION THAT 993 00:40:42,001 --> 00:40:44,000 CHAIRMAN DODD IS CALLING 994 00:40:44,001 --> 00:40:46,000 FINANCIAL REFORM. 995 00:40:46,001 --> 00:40:49,000 ALL REPUBLICANS WANT TO REFORM 996 00:40:49,001 --> 00:40:51,000 OUR FINANCIAL SYSTEM AND FIX THE 997 00:40:51,001 --> 00:40:52,000 THINGS THAT HAVE CAUSED SO MUCH 998 00:40:52,001 --> 00:40:54,000 FINANCIAL DISTRESS IN OUR 999 00:40:54,001 --> 00:40:55,000 COUNTRY, BUT RATHER THAN ADDRESS 1000 00:40:55,001 --> 00:40:59,000 THE UNDERLYING CAUSES OF THE 1001 00:40:59,001 --> 00:41:01,000 2008 FINANCIAL CRISIS, THIS BILL 1002 00:41:01,001 --> 00:41:04,000 WOULD INSTITUTIONALIZE 1003 00:41:04,001 --> 00:41:07,000 GOVERNMENT BAILOUTS FOR THOSE IT 1004 00:41:07,001 --> 00:41:08,000 CHOOSES ARE TOO BIG TO FAIL. 1005 00:41:08,001 --> 00:41:10,000 IF DEMOCRATS WERE SERIOUS ABOUT 1006 00:41:10,001 --> 00:41:13,000 FINANCIAL REFORM, THEY WOULD 1007 00:41:13,001 --> 00:41:15,000 WORK WITH REPUBLICANS TO 1008 00:41:15,001 --> 00:41:17,000 PERMANENTLY END TOO BIG TO FAIL. 1009 00:41:17,001 --> 00:41:19,000 TO CURB THE POWER OF THE FEDERAL 1010 00:41:19,001 --> 00:41:22,000 RESERVE AND TO ADDRESS THE 1011 00:41:22,001 --> 00:41:23,000 GOVERNMENT DISTORTIONS IN THE 1012 00:41:23,001 --> 00:41:25,000 MORTGAGE MARKET THAT LED TO THE 1013 00:41:25,001 --> 00:41:28,000 FINANCIAL MELTDOWN. 1014 00:41:28,001 --> 00:41:30,000 THIS BILL DOES NONE OF THESE THINGS. 1015 00:41:30,001 --> 00:41:31,000 INSTEAD OF FOCUSING ON SOLVING 1016 00:41:31,001 --> 00:41:35,000 THESE PROBLEMS, THE DEMOCRATS 1017 00:41:35,001 --> 00:41:37,000 HAVE EAGERLY CRAFTED ANOTHER 1018 00:41:37,001 --> 00:41:40,000 MASSIVE BILL DESIGNED TO 1019 00:41:40,001 --> 00:41:42,000 INCREASE CENTRALIZED GOVERNMENT 1020 00:41:42,001 --> 00:41:45,000 PLANNING, AND THEY ARE VILIFYING 1021 00:41:45,001 --> 00:41:47,000 ANYONE WHO DARES TO OPPOSE IT. 1022 00:41:47,001 --> 00:41:48,000 WITHOUT BRINGING ANY MORE 1023 00:41:48,001 --> 00:41:50,000 ACCOUNTABILITY TO THE GOVERNMENT 1024 00:41:50,001 --> 00:41:53,000 ACTORS WHOONTRIBUTED TO THE 1025 00:41:53,001 --> 00:41:57,000 CAUSES OF THE FINANCIAL CRISIS, 1026 00:41:57,001 --> 00:41:59,000 THIS BILL SIMPLY REPRESENTS 1027 00:41:59,001 --> 00:42:01,000 ADDITIONAL REGULATION WITHOUT 1028 00:42:01,001 --> 00:42:03,000 REAL REFORM. 1029 00:42:03,001 --> 00:42:05,000 DESPITE A RECENT POLL STATING 1030 00:42:05,001 --> 00:42:08,000 THAT MORE THAN 80% OF AMERICANS 1031 00:42:08,001 --> 00:42:10,000 SUPPORT ENDING BAILOUTS, THIS 1032 00:42:10,001 --> 00:42:11,000 BILL ENSURES THEY WILL CONTINUE. 1033 00:42:11,001 --> 00:42:14,000 THE BILL REQUIRES THE GOVERNMENT 1034 00:42:14,001 --> 00:42:16,000 TO KEEP A LIST OF FINANCIAL 1035 00:42:16,001 --> 00:42:19,000 COMPANIES IT CONSIDERS TOO BIG 1036 00:42:19,001 --> 00:42:21,000 TO FAIL, AND IT PROVIDES THESE 1037 00:42:21,001 --> 00:42:22,000 COMPANIES WITH A $50 BILLION 1038 00:42:22,001 --> 00:42:25,000 SLUSH FUND TO HELP THEM WHEN 1039 00:42:25,001 --> 00:42:27,000 THEY GET IN TROUBLE. 1040 00:42:27,001 --> 00:42:28,000 IN ONE RESPECT, THE DEMOCRATS 1041 00:42:28,001 --> 00:42:30,000 MAY BE RIGHT IN SAYING THEY 1042 00:42:30,001 --> 00:42:32,000 WON'T LET THE BAILOUTS TAKE 1043 00:42:32,001 --> 00:42:35,000 PLACE LIKE THEY D IN THE PAST. 1044 00:42:35,001 --> 00:42:37,000 IF THEIR BILL PASSES, THE NEXT 1045 00:42:37,001 --> 00:42:39,000 TARP BAILOUT WON'T EVEN BE VOTED 1046 00:42:39,001 --> 00:42:41,000 ON BY CONGRESS. 1047 00:42:41,001 --> 00:42:42,000 THAT'S BECAUSE THIS SLUSH FUND 1048 00:42:42,001 --> 00:42:45,000 EMPOWERS THE TREASURY, THE 1049 00:42:45,001 --> 00:42:48,000 FEDERAL RESERVE, AND THE FDIC TO 1050 00:42:48,001 --> 00:42:50,000 PURPOSE MONEY TO AILING BANKS 1051 00:42:50,001 --> 00:42:51,000 WITHOUT ASKING FOR ANY 1052 00:42:51,001 --> 00:42:53,000 PERMISSION FROM CONGRESS. 1053 00:42:53,001 --> 00:42:55,000 THERE HAVE BEEN RUMORS THIS 1054 00:42:55,001 --> 00:42:57,000 SLUSH FUND COULD BE REMOVED, AND 1055 00:42:57,001 --> 00:43:01,000 I HOPE IT WILL BE, BUT EVEN IF 1056 00:43:01,001 --> 00:43:03,000 THAT IS DONE, THE BILL WILL 1057 00:43:03,001 --> 00:43:04,000 STILL PERPETUATE TOO BIG TO FAIL 1058 00:43:04,001 --> 00:43:05,000 POLICIES. 1059 00:43:05,001 --> 00:43:07,000 ADDITIONAL PROGRAMS IN THE BILL 1060 00:43:07,001 --> 00:43:10,000 WILL STILL ALLOW THE FDIC TO 1061 00:43:10,001 --> 00:43:12,000 GUARANTEE THE DEBTS OF FINANCIAL 1062 00:43:12,001 --> 00:43:15,000 COMPANIES IN TROUBLE, AND THEY 1063 00:43:15,001 --> 00:43:17,000 WILL AS WELL ALLOW THE TREASURY 1064 00:43:17,001 --> 00:43:20,000 TO STILL SELECTIVELY BAIL OUT 1065 00:43:20,001 --> 00:43:21,000 THE CREDITORS OF FAILING 1066 00:43:21,001 --> 00:43:24,000 INSTITUTIONS. 1067 00:43:24,001 --> 00:43:27,000 THE BILL ALSO FAILS TO STOP THE 1068 00:43:27,001 --> 00:43:30,000 FEDERAL RESERVE FROM PROPPING UP 1069 00:43:30,001 --> 00:43:32,000 FINANCIAL COMPANIES LIKE IT DID 1070 00:43:32,001 --> 00:43:33,000 A.I.G., AND IT ADDITIONALLY 1071 00:43:33,001 --> 00:43:36,000 EXPANDS THE FED'S REACH BY 1072 00:43:36,001 --> 00:43:38,000 CREATING A NEW CONSUMER 1073 00:43:38,001 --> 00:43:39,000 PROTECTION BUREAU INSIDE THE 1074 00:43:39,001 --> 00:43:42,000 FEDERAL RESERVE. 1075 00:43:42,001 --> 00:43:45,000 WITH ITS EXTENSIVE JURISDICTION 1076 00:43:45,001 --> 00:43:47,000 AND ITS UNCHECKED ABILITY TO 1077 00:43:47,001 --> 00:43:51,000 MICROMANAGE LENDING, IT REALLY 1078 00:43:51,001 --> 00:43:52,000 SHOULD BE CONSIDERED THE 1079 00:43:52,001 --> 00:43:54,000 ANTICONSUMER BUREAU. 1080 00:43:54,001 --> 00:43:55,000 THIS NEW BUREAU WILL HAVE 1081 00:43:55,001 --> 00:43:59,000 SWEEPING AUTHORITY TO REGULATE 1082 00:43:59,001 --> 00:44:00,000 ALMOST ANYTHING IT REGARDS AS 1083 00:44:00,001 --> 00:44:02,000 FINANCIAL ACTIVITY. 1084 00:44:02,001 --> 00:44:03,000 FROM CAR DEALERS TO OTHER 1085 00:44:03,001 --> 00:44:05,000 COMPANIES THAT OFFER FINANCING 1086 00:44:05,001 --> 00:44:07,000 FOR THEIR PRODUCTS TO SOFTWARE 1087 00:44:07,001 --> 00:44:09,000 COMPANIES THAT HELP PEOPLE 1088 00:44:09,001 --> 00:44:11,000 MANAGE THEIR MONEY, THIS MASSIVE 1089 00:44:11,001 --> 00:44:13,000 NEW BUREAUCRACY IS CERTAIN TO 1090 00:44:13,001 --> 00:44:16,000 INCREASE THE REGULATORY BURDENS 1091 00:44:16,001 --> 00:44:18,000 ON COMMUNITY BANKS, CREDIT 1092 00:44:18,001 --> 00:44:21,000 UNIONS AND MANY OTHERS WHO HAD 1093 00:44:21,001 --> 00:44:23,000 NO ROLE WHATSOEVER IN THE 1094 00:44:23,001 --> 00:44:25,000 FINANCIAL CRISIS, A WELL AS TO 1095 00:44:25,001 --> 00:44:26,000 RAISE CONSUMER COSTS AND KILL 1096 00:44:26,001 --> 00:44:28,000 JOBS. 1097 00:44:28,001 --> 00:44:30,000 BEFORE WE RUSH TO GIVE THE FEDS 1098 00:44:30,001 --> 00:44:32,000 MORE CONTROL OVER OUR ECONOMY, 1099 00:44:32,001 --> 00:44:35,000 WE NEED MORE INFORMATION ABOUT 1100 00:44:35,001 --> 00:44:36,000 ITS ACTIVITIES SURROUNDING THE 1101 00:44:36,001 --> 00:44:39,000 2008 FINANCIAL CRISIS. 1102 00:44:39,001 --> 00:44:41,000 EVEN TO THIS DAY, THE FED 1103 00:44:41,001 --> 00:44:43,000 REFUSES TO PROVIDE INFORMATION 1104 00:44:43,001 --> 00:44:48,000 ABOUT THE EXTENT TO WHICH THEY 1105 00:44:48,001 --> 00:44:49,000 HAVE USED TAXPAYER MONEY FOR THE 1106 00:44:49,001 --> 00:44:52,000 BAILOUTS AND IT'S UNACCEPTABLE 1107 00:44:52,001 --> 00:44:54,000 TO KEEP THIS KIND OF SECRECY. 1108 00:44:54,001 --> 00:44:56,000 LEGISLATION TO FULLY AUDIT THE 1109 00:44:56,001 --> 00:44:59,000 FED CONTINUES TO ENJOY 1110 00:44:59,001 --> 00:45:02,000 WIDESPREAD SUPPORT, AND I WILL 1111 00:45:02,001 --> 00:45:03,000 CONTINUE TO CHAMPION THIS AUDIT 1112 00:45:03,001 --> 00:45:05,000 OF THE FEDERAL RESERVE. 1113 00:45:05,001 --> 00:45:08,000 I WOULD ALSO LIKE TO SEE THIS 1114 00:45:08,001 --> 00:45:13,000 BILL BRING SOME MUCH-NEEDED 1115 00:45:13,001 --> 00:45:14,000 ACCOUNTABILITY TO FANNIE MAE AND 1116 00:45:14,001 --> 00:45:16,000 FREDDIE MAC. 1117 00:45:16,001 --> 00:45:17,000 THESE ENTITIES WHO DOMINATE THE 1118 00:45:17,001 --> 00:45:19,000 MORTGAGE MARKET AND HOLD 1119 00:45:19,001 --> 00:45:20,000 HOLD $5 TRILLION IN DEBT WERE 1120 00:45:20,001 --> 00:45:22,000 NGLEADERS IN THE CHAIN OF 1121 00:45:22,001 --> 00:45:23,000 BUYING, SECURITIZING, AND 1122 00:45:23,001 --> 00:45:24,000 SPREADING TOXIC SUBPRIME 1123 00:45:24,001 --> 00:45:27,000 MORTGAGES THAT LED TO THE 1124 00:45:27,001 --> 00:45:29,000 FINANCIAL COLLAPSE. 1125 00:45:29,001 --> 00:45:30,000 SINCE THE GOVERNMENT TOOK THEM 1126 00:45:30,001 --> 00:45:35,000 OVER IN 2008, TAXPAYERS HAVE 1127 00:45:35,001 --> 00:45:36,000 BEEN FORCED TO GIVE THEM 1128 00:45:36,001 --> 00:45:39,000 THEM $127 BILLION SO FAR, AND 1129 00:45:39,001 --> 00:45:40,000 THERE IS NO END IN SIGHT. 1130 00:45:40,001 --> 00:45:42,000 THE OBAMA ADMINISTRATION HANDED 1131 00:45:42,001 --> 00:45:44,000 THEM A BLANK CHECK LAST 1132 00:45:44,001 --> 00:45:46,000 CHRISTMAS EVE BY LIFTING THE 1133 00:45:46,001 --> 00:45:48,000 THE $400 BLION CAP ON 1134 00:45:48,001 --> 00:45:52,000 GOVERNMENT AID, ENSURING ENDLESS 1135 00:45:52,001 --> 00:45:53,000 BAILOUTS IN THE FUTURE. 1136 00:45:53,001 --> 00:45:55,000 REAL REFORM WOULD ADDRESS THE 1137 00:45:55,001 --> 00:45:57,000 ONGOING CRISIS THAT FANNIE MAE 1138 00:45:57,001 --> 00:45:59,000 AND FREDDIE MAC. 1139 00:45:59,001 --> 00:46:03,000 ALTHOUGH THE DEMOCRAT BILL IS 1140 00:46:03,001 --> 00:46:05,000 COMPLETELY SILENT ON THIS ISSUE, 1141 00:46:05,001 --> 00:46:07,000 I INTEND TO SEE THAT WE FIND A 1142 00:46:07,001 --> 00:46:09,000 WAY TO REDUCE THEIR HOLDINGS AND 1143 00:46:09,001 --> 00:46:10,000 DIVORCE THEM FROM GOVERNMENT 1144 00:46:10,001 --> 00:46:11,000 OWNERSHIP. 1145 00:46:11,001 --> 00:46:12,000 WE CANNOT DENY THE FACT THAT 1146 00:46:12,001 --> 00:46:15,000 THESE TWO GOVERNMENT ENTITIES 1147 00:46:15,001 --> 00:46:16,000 WERE A MAJOR CAUSE OF THE 1148 00:46:16,001 --> 00:46:18,000 FINANCIAL CRISIS, YET THEY ARE 1149 00:46:18,001 --> 00:46:21,000 NOT EVEN MENTIONED IN THIS 1150 00:46:21,001 --> 00:46:22,000 SO-CALLED FINANCIAL REFORM. 1151 00:46:22,001 --> 00:46:23,000 REFORM WOULDN'T BE COMPLETE 1152 00:46:23,001 --> 00:46:25,000 WITHOUT ALSO ADDRESSING THE 1153 00:46:25,001 --> 00:46:27,000 UNDERWRITING ISSUES THAT LED TO 1154 00:46:27,001 --> 00:46:30,000 THE EXPLOSION OF RISKY LENDING 1155 00:46:30,001 --> 00:46:34,000 THAT FUEL THE HOUSING BUBBLE. 1156 00:46:34,001 --> 00:46:35,000 THIS BILL LEAVES THE COMMUNITY 1157 00:46:35,001 --> 00:46:37,000 REINVESTMENT ACT IN FANNIE MAE 1158 00:46:37,001 --> 00:46:39,000 AND FREDDIE MAC'S AFFORDABLE 1159 00:46:39,001 --> 00:46:40,000 HOUSING GOALS UNTOUCHED. 1160 00:46:40,001 --> 00:46:43,000 EACH REQUIRED SIGNIFICANT 1161 00:46:43,001 --> 00:46:44,000 INCREASES IN MORTGAGE LENDING TO 1162 00:46:44,001 --> 00:46:46,000 LOWER INCOME BORROWERS WHICH LED 1163 00:46:46,001 --> 00:46:50,000 TO A DECREASE IN THE 1164 00:46:50,001 --> 00:46:51,000 UNDERWRITING STANDARDS TO MAKE 1165 00:46:51,001 --> 00:46:54,000 MORE LOANS TO FOLKS WHO COULDN'T 1166 00:46:54,001 --> 00:46:57,000 AFFORD TO PAY THEM BACK, AND 1167 00:46:57,001 --> 00:46:59,000 THESE BAD PRACTICES BECAME 1168 00:46:59,001 --> 00:47:01,000 CONTAGIOUS IN THE INDUSTRY. 1169 00:47:01,001 --> 00:47:02,000 IF WE DON'T DEAL WITH THESE 1170 00:47:02,001 --> 00:47:04,000 HOUSING POLICY PROBLEMS THAT LED 1171 00:47:04,001 --> 00:47:05,000 TO UNSAFE LENDING AS WELL AS 1172 00:47:05,001 --> 00:47:07,000 FANNIE MAE AND FREDDIE MAC'S 1173 00:47:07,001 --> 00:47:09,000 SIZABLE ABILITY TO SUSTAIN 1174 00:47:09,001 --> 00:47:11,000 DEMAND FOR SUCH LOANS BY STILL 1175 00:47:11,001 --> 00:47:13,000 BUYING THEM, WE RISK CONTINUING 1176 00:47:13,001 --> 00:47:16,000 A BOOM OR BUST HOUSING CYCLE 1177 00:47:16,001 --> 00:47:18,000 THAT SADDLES TAXPAYERS WITH THE 1178 00:47:18,001 --> 00:47:20,000 CONSEQUENCES OF MORTGAGES GIVEN 1179 00:47:20,001 --> 00:47:23,000 TO BORROWERS WHO LIKELY CAN'T 1180 00:47:23,001 --> 00:47:24,000 AFFORD TO PAY THEM BACK. 1181 00:47:24,001 --> 00:47:25,000 MEANWHILE, FANNIE MAE AND 1182 00:47:25,001 --> 00:47:27,000 FREDDIE MAC KEEP GETNG BAILED 1183 00:47:27,001 --> 00:47:29,000 OUT BY THE TAXPAYERS. 1184 00:47:29,001 --> 00:47:31,000 THAT'S THE KIND OF IMPERVIOUS 1185 00:47:31,001 --> 00:47:33,000 BACKING A RECKLESS BANK COULD 1186 00:47:33,001 --> 00:47:34,000 ONLY DREAM OF GETTING, AND 1187 00:47:34,001 --> 00:47:36,000 THAT'S THE SAME KIND OF DEAL 1188 00:47:36,001 --> 00:47:41,000 THAT DEMOCRATS ARE NOW OFFERING 1189 00:47:41,001 --> 00:47:42,000 TO THE BIG BANKS THEY PRETEND TO 1190 00:47:42,001 --> 00:47:43,000 DESPISE. 1191 00:47:43,001 --> 00:47:44,000 DESPITE ALL THE RHETORIC COMING 1192 00:47:44,001 --> 00:47:46,000 FROM MY DEMOCRAT COLLEAGUES, 1193 00:47:46,001 --> 00:47:51,000 THIS BILL DOESN'T CRACK DOWN ON WALL STREET. 1194 00:47:51,001 --> 00:47:54,000 IN FACT, WALL STREET LOVES IT. TEST. 1195 00:47:54,001 --> 00:47:55,000 IT TURNS THE RELATIONSHIP 1196 00:47:55,001 --> 00:47:59,000 BETWEEN WALL STREET AND 1197 00:47:59,001 --> 00:48:00,000 WASHINGTON INTO A PROVIDE FREEWAY. 1198 00:48:00,001 --> 00:48:01,000 THE BEST WAY TO GET TOUGH ON 1199 00:48:01,001 --> 00:48:02,000 WALL STREET WOULD BE TO MAKE 1200 00:48:02,001 --> 00:48:04,000 SURE THOSE BANKS HAVE THE SAME 1201 00:48:04,001 --> 00:48:08,000 FREEDOM TO FAIL AS THE BANKS WHO 1202 00:48:08,001 --> 00:48:10,000 DIDN'T GET BAILED OUT BY THE 1203 00:48:10,001 --> 00:48:11,000 GOVERNMENT IN THE LAST FEW YEARS. 1204 00:48:11,001 --> 00:48:13,000 RULING OUT SPECIAL TREATMENT FOR 1205 00:48:13,001 --> 00:48:16,000 THESE BIG BANKS WOULD BE THE 1206 00:48:16,001 --> 00:48:21,000 HARSHEST PUNISHMENT POSSIBLE. 1207 00:48:21,001 --> 00:48:22,000 SO INSTEAD OF ENDING 1208 00:48:22,001 --> 00:48:24,000 TOO-BIG-TO-FAIL, DEMOCRATS ARE 1209 00:48:24,001 --> 00:48:25,000 CONSTANTLY INVENTING NEW WAYS TO 1210 00:48:25,001 --> 00:48:26,000 BREAK DOWN BARRIERS BETWEEN 1211 00:48:26,001 --> 00:48:28,000 WASHINGTON CONTROL AND WALL STREET. 1212 00:48:28,001 --> 00:48:29,000 THAT'S NOT HOW YOU STAND UP TO 1213 00:48:29,001 --> 00:48:34,000 BIG BANKS. 1214 00:48:34,001 --> 00:48:35,000 THAT'S HOW YOU DEAL THEM IN. MR. PRESIDENT, IT IS IMPORTANT 1215 00:48:35,001 --> 00:48:41,000 THAT WE FIX THE PROBLEMS THAT 1216 00:48:41,001 --> 00:48:42,000 CAUSED OUR FINANCIAL MELTDOWN. 1217 00:48:42,001 --> 00:48:43,000 BU IT'S EVEN MORE IMPORTANT TO 1218 00:48:43,001 --> 00:48:44,000 RECOGNIZE THAT THIS POLITICAL 1219 00:48:44,001 --> 00:48:49,000 VEHICLE THAT ISEING CALLED?? 1220 00:48:49,001 --> 00:48:52,000 FINANCIAL REFORM IS JUST A LOT 1221 00:48:52,001 --> 00:48:54,000 MORE GOVERNMENT CONTROL, A LOT 1222 00:48:54,001 --> 00:48:55,000 MORE GOVERNMENT TAKEOVERS, AN 1223 00:48:55,001 --> 00:48:59,000 OVERREACH BY THE OBAMA 1224 00:48:59,001 --> 00:49:03,000 ADMINISTRATION WITH VERY LITTLE FINANCIAL REFORM. 1225 00:49:03,001 --> 00:49:04,000 THIS INOT FAIR TO THE AMERICAN 1226 00:49:04,001 --> 00:49:07,000 PEOPLE. 1227 00:49:07,001 --> 00:49:09,000 IT PERPETUATES TOO-BIG-TO-FAIL, 1228 00:49:09,001 --> 00:49:11,000 IT ESSENTIALLY GUARANTEED FUTURE 1229 00:49:11,001 --> 00:49:13,000 BAILOUT, IT DOESN'T FIX THE CORE 1230 00:49:13,001 --> 00:49:15,000 CAUSES OF THE PROBLEMS, AND, 1231 00:49:15,001 --> 00:49:16,000 AGAIN, EXPANDS BIG-GOVERNMENT 1232 00:49:16,001 --> 00:49:19,000 CONTROL OVER THOUSANDS OF 1233 00:49:19,001 --> 00:49:21,000 COMMUNITY BANKS, CREDIT UNIONS 1234 00:49:21,001 --> 00:49:23,000 AND BUSINESSES THAT HAD NOTHING 1235 00:49:23,001 --> 00:49:24,000 TO DO WITH THIS FINANCIAL 1236 00:49:24,001 --> 00:49:25,000 CRIS. 1237 00:49:25,001 --> 00:49:28,000 I'M AFRAID IT'S JUST ANOTHER 1238 00:49:28,001 --> 00:49:30,000 CRIS BEING USED AS AN EXCUSE 1239 00:49:30,001 --> 00:49:32,000 TO EXPAND GOVERNMENT WITHOUT 1240 00:49:32,001 --> 00:49:34,000 SOLVING REAL PROBLEMS. 1241 00:49:34,001 --> 00:49:37,000 REPUBLICANS ARE STANDING BY AND 1242 00:49:37,001 --> 00:49:38,000 EAGER TO WORK WITH CHAIRMAN DODD 1243 00:49:38,001 --> 00:49:40,000 AND OTHER DEMOCRATS TO FIX THE 1244 00:49:40,001 --> 00:49:42,000 PROBLEMS IN THIS BILL SO THAT WE 1245 00:49:42,001 --> 00:49:46,000 CAN PRESENT REAL REFORM TO THE 1246 00:49:46,001 --> 00:49:47,000 AMERICAN PEOPLE, AND I URGE MY 1247 00:49:47,001 --> 00:49:48,000 COLLEAGUES ON THE OTHER SIDE TO 1248 00:49:48,001 --> 00:49:49,000 STOP TRYING TO STICK ANOTHER 1249 00:49:49,001 --> 00:49:52,000 BILL DOWN OUR THROATS AND DOWN 1250 00:49:52,001 --> 00:49:54,000 THE THROATS OF THE AMERICAN 1251 00:49:54,001 --> 00:49:55,000 PEOPLE AND WORK WITH US TO DO 1252 00:49:55,001 --> 00:49:57,000 WHAT THE AMERICAN PEOPLE EXPECT. 1253 00:49:57,001 --> 00:49:58,000 WITH THAT, MR. PRESIDENT, I 1254 00:49:58,001 --> 00:49:59,000 YIELD BACK AND NOTE THE ABSENCE 1255 00:49:59,001 --> 00:50:03,000 OF A QUORUM. 1256 00:50:03,001 --> 00:50:04,000 THE PRESIDING OFFICER 1257 00:50:04,001 --> 00:50:07,000 SENATOR WITHHOLD HIS REQUEST? 1258 00:50:07,001 --> 00:50:08,000 MR. DeMINT: YES. A SENATOR: MR. PRESIDENT? 1259 00:50:08,001 --> 00:50:09,000 THE PRESIDING OFFICER: THE 1260 00:50:09,001 --> 00:50:10,000 SENATOR FROM WYOMING IS 1261 00:50:10,001 --> 00:50:12,000 RECOGNIZED. 1262 00:50:12,001 --> 00:50:14,000 A SENATOR: THANK YOU VERY MUCH, MR. PRESIDENT. 1263 00:50:14,001 --> 00:50:16,000 MR. BARRASSO: MR. PRESIDENT, I 1264 00:50:16,001 --> 00:50:18,000 COME TO THE FLOOR TODAY AS A 1265 00:50:18,001 --> 00:50:20,000 PHYSICIAN WHO HAS PRACTICED 1266 00:50:20,001 --> 00:50:22,000 ORTHOPEDIC SURGERY IN CASPAR, 1267 00:50:22,001 --> 00:50:24,000 WYOMING, FOR 25 YEARS. 1268 00:50:24,001 --> 00:50:27,000 AND I COME TO OFFER A SECOND 1269 00:50:27,001 --> 00:50:29,000 OPINION ON THE HEALTH CARE BILL 1270 00:50:29,001 --> 00:50:30,000 THAT WAS RECENTLY PASSED AND 1271 00:50:30,001 --> 00:50:33,000 SIGNED INTO LAW. 1272 00:50:33,001 --> 00:50:34,000 AND MY OPINION ON THISILL, 1273 00:50:34,001 --> 00:50:35,000 VERY DIFFERENT THAN WHAT I'VE 1274 00:50:35,001 --> 00:50:36,000 HEARD FROM THE ADMINISTRATION, 1275 00:50:36,001 --> 00:50:37,000 FROM THE SPEAKER OF THE HOUSE, 1276 00:50:37,001 --> 00:50:41,000 FROM THE MAJORITY LEADER, 1277 00:50:41,001 --> 00:50:43,000 BECAUSE MY OPINION IS THAT THIS 1278 00:50:43,001 --> 00:50:45,000 BILL, NOW LAW, IS GOING TO BE 1279 00:50:45,001 --> 00:50:46,000 BAD FOR PATIENTS, BAD FOR THE 1280 00:50:46,001 --> 00:50:49,000 PATIENTS ALL AROUND THIS 1281 00:50:49,001 --> 00:50:51,000 COUNTRY, BAD FOR HEALTH CARE 1282 00:50:51,001 --> 00:50:52,000 PROVIDERS, THE DOCTORS, THE 1283 00:50:52,001 --> 00:50:54,000 NURSES, THE FOLKS WHO WORK IN 1284 00:50:54,001 --> 00:50:57,000 OUR HOSPITALS, THE THERAPISTS. 1285 00:50:57,001 --> 00:50:58,000 AND I BELIEVE IT'S GOING TO BE 1286 00:50:58,001 --> 00:51:00,000 BAD FOR PAYERS, THE TAXPAYERS, 1287 00:51:00,001 --> 00:51:02,000 THE PEOPLE WHO ARE GOING TO BE 1288 00:51:02,001 --> 00:51:03,000 LEFT WITH THIS LARGE BILL, TO 1289 00:51:03,001 --> 00:51:04,000 PAY FOR A BILL THAT ISN'T TO 1290 00:51:04,001 --> 00:51:07,000 SAVE A HEALTH CARE SYSTEM BUT TO 1291 00:51:07,001 --> 00:51:08,000 CREATE NEW ENTITLEMENTS AND NEW 1292 00:51:08,001 --> 00:51:11,000 OBLIGATIONS. 1293 00:51:11,001 --> 00:51:12,000 AND, AS I LOOK AT THI, IT 1294 00:51:12,001 --> 00:51:14,000 REALLY STRUCK ME, MR. PRESIDENT, 1295 00:51:14,001 --> 00:51:17,000 LAST WEEK WHEN THEY WERE HAVING 1296 00:51:17,001 --> 00:51:18,000 THE I DEBATE IN ENGLAND. 1297 00:51:18,001 --> 00:51:20,000 THEY'RE HAVING AN ELECTION AND 1298 00:51:20,001 --> 00:51:23,000 THE CANDIDATES FOR PRIME 1299 00:51:23,001 --> 00:51:24,000 MINISTER WERE HAVING A DEBATE. 1300 00:51:24,001 --> 00:51:26,000 IT WAS THE FIRST NATIONALIZED -- 1301 00:51:26,001 --> 00:51:30,000 NATIONAL TELEVISED DEBATE EVER 1302 00:51:30,001 --> 00:51:32,000 IN ENGLAND IN AN ELECTION. 1303 00:51:32,001 --> 00:51:33,000 THEY COMPARED IT TO THE 1304 00:51:33,001 --> 00:51:34,000 KENNEDY-NIXON DEBATE WHEN PEOPLE 1305 00:51:34,001 --> 00:51:35,000 WERE UP THERE DEBATING AND DISCUSSING. 1306 00:51:35,001 --> 00:51:37,000 AND THE QUESTION PRESENTED TO 1307 00:51:37,001 --> 00:51:38,000 THE PRIME MINISTER OF ENGLAND 1308 00:51:38,001 --> 00:51:39,000 WAS, WHAT ABOUT THE NATIONAL 1309 00:51:39,001 --> 00:51:41,000 HEALTH SERVICE? 1310 00:51:41,001 --> 00:51:42,000 THOSE OF US ON MY SIDE OF THE 1311 00:51:42,001 --> 00:51:46,000 AISLE HAVE BEEN VERY CONCERNED, 1312 00:51:46,001 --> 00:51:47,000 MR. PRESIDENT, THAT WITH THIS NEW LAW WE ARE GOING TO BE 1313 00:51:47,001 --> 00:51:48,000 SEEING A NATIONAL -- A 1314 00:51:48,001 --> 00:51:49,000 NATIONALIZATION OF OUR HEALTH 1315 00:51:49,001 --> 00:51:51,000 CARE IN A WAY LIKE WE'RE SEEING 1316 00:51:51,001 --> 00:51:53,000 IN OTHER COUNTRIES, WHETHER IT'S 1317 00:51:53,001 --> 00:51:55,000 CANADA, WHETHER IT'S ENGLAND, 1318 00:51:55,001 --> 00:51:57,000 AND A SYSTEM THAT I THINK IS NOT 1319 00:51:57,001 --> 00:51:58,000 WHAT THE AMERICAN PEOPLE WANT. 1320 00:51:58,001 --> 00:52:00,000 BUT I WANTED TO READ TO YOU FROM 1321 00:52:00,001 --> 00:52:01,000 THE TRANSCRIPT OF THE DEBATE, 1322 00:52:01,001 --> 00:52:02,000 BECAUSE THEY ASKED THE PRIME 1323 00:52:02,001 --> 00:52:04,000 MINISTER, GORDON BROWN, ABOUT 1324 00:52:04,001 --> 00:52:06,000 THE NATIONAL HEALTH SERVICE. 1325 00:52:06,001 --> 00:52:08,000 AND HE SAID, "MY PRIORITIES FOR 1326 00:52:08,001 --> 00:52:11,000 THE HEALTH SERVICE ARE THAT WE 1327 00:52:11,001 --> 00:52:12,000 GIVE PEOPLE PERSONAL GUARANTEE 1328 00:52:12,001 --> 00:52:13,000 GUARANTEES" -- SO THIS IS WHAT 1329 00:52:13,001 --> 00:52:16,000 HE'S PROMISING -- "PERSONAL 1330 00:52:16,001 --> 00:52:17,000 GUARANTEES THAT EVERY INDIVIDUAL 1331 00:52:17,001 --> 00:52:20,000 PATIENT WILL KNOW THAT THEY WILL 1332 00:52:20,001 --> 00:52:22,000 GET A CANCER SPECIALIST SEEN 1333 00:52:22,001 --> 00:52:23,000 WITHIN TWO WEEKS, IF NEEDED. 1334 00:52:23,001 --> 00:52:25,000 THEY'LL GET DIAGNOSTIC TESTS 1335 00:52:25,001 --> 00:52:26,000 WITHIN A WEEK, AND THE RESULTS 1336 00:52:26,001 --> 00:52:29,000 TO THEM. 1337 00:52:29,001 --> 00:52:31,000 THEY WILL ALSO BE ABLE TO KNOW 1338 00:52:31,001 --> 00:52:33,000 THATHEIR OPERATION" -- SO NOW 1339 00:52:33,001 --> 00:52:34,000 THEY KNOW THEY HAVE CANCER -- 1340 00:52:34,001 --> 00:52:38,000 "THAT THEIR OPERATION WILL BE IN 1341 00:52:38,001 --> 00:52:40,000 18 WEEKS IF YOU'RE ANY PATIENT 1342 00:52:40,001 --> 00:52:41,000 IN NEED OF AN OPERATION." 1343 00:52:41,001 --> 00:52:43,000 SO HERE YOU ARE, YOU'VE HAD YOUR 1344 00:52:43,001 --> 00:52:45,000 OPPORTUNITY TO SEE A CANCER 1345 00:52:45,001 --> 00:52:46,000 DOCTOR, YOU'VE HAD YOUR TEST, 1346 00:52:46,001 --> 00:52:49,000 YOU HAVE YOUR DIAGNOSIS, AND 1347 00:52:49,001 --> 00:52:51,000 WHAT IS THE BEST THATHE PEOPLE 1348 00:52:51,001 --> 00:52:54,000 OF ENGLAND ARE BEING PROMISED BY 1349 00:52:54,001 --> 00:52:57,000 THEIR PRIME MINISTER, THE BEST 1350 00:52:57,001 --> 00:53:03,000 THAT THEY CAN EXPECT IS TO HAVE 1351 00:53:03,001 --> 00:53:05,000 AN OPERATION WITHIN 18 WEEKS. 1352 00:53:05,001 --> 00:53:06,000 THE QUESTION HERE IS, HOW MANY 1353 00:53:06,001 --> 00:53:07,000 AMERICANS, HOW MANY MEMBERS IN 1354 00:53:07,001 --> 00:53:08,000 THIS BODY, HOW MANY PEOPLE 1355 00:53:08,001 --> 00:53:10,000 ACROSS THIS COUNTRY ARE GOING TO 1356 00:53:10,001 --> 00:53:11,000 SEE THAT AS SATISFACTORY? 1357 00:53:11,001 --> 00:53:13,000 BECAUSE THAT'S WHERE WE'RE HEADING WITH THIS HEALTH CARE 1358 00:53:13,001 --> 00:53:15,000 BILL THAT'S NOW SIGNED INTO LAW. 1359 00:53:15,001 --> 00:53:18,000 HOW MANY PEOPLE WANT THAT? 1360 00:53:18,001 --> 00:53:19,000 YOU'LL HAVE YOUR OPERATION IN 18 1361 00:53:19,001 --> 00:53:21,000 WEEKS. 1362 00:53:21,001 --> 00:53:22,000 SO HERE YOU ARE, IF YOU'RE 1363 00:53:22,001 --> 00:53:24,000 DIAGNOSED NEXT WEEK IN THE 1364 00:53:24,001 --> 00:53:25,000 UNITED STATES, IF THIS WERE THE 1365 00:53:25,001 --> 00:53:27,000 SITUATION THEY HAVE NOW IN 1366 00:53:27,001 --> 00:53:31,000 BRITAIN, YOU WOULD BE LOOKING AT 1367 00:53:31,001 --> 00:53:32,000 HAVING YOUR OPERATION IN SEPTEMBER. 1368 00:53:32,001 --> 00:53:33,000 SEE YOU IN SEPTEMBER, COME BACK 1369 00:53:33,001 --> 00:53:37,000 FOR YOUR OPERATION. 1370 00:53:37,001 --> 00:53:38,000 NOW, YOU CAN WORRY ABOUT IT, YOU 1371 00:53:38,001 --> 00:53:40,000 CAN WORRY ABOUT YOUR DIAGNOSIS 1372 00:53:40,001 --> 00:53:42,000 OF CANCER THE REST OF APRIL, ALL 1373 00:53:42,001 --> 00:53:44,000 OF MAY, ALL OF JUNE, ALL OF JULY 1374 00:53:44,001 --> 00:53:45,000 JULY, ALL OF AUGUST. 1375 00:53:45,001 --> 00:53:47,000 THAT'S WHAT THE CANDIDATE FOR 1376 00:53:47,001 --> 00:53:48,000 PRIME MINISTER AND THE CURRENT 1377 00:53:48,001 --> 00:53:53,000 PRIME MINISTER OF ENGLAND IS 1378 00:53:53,001 --> 00:53:54,000 PROMISING THE PEOPLE OF THAT 1379 00:53:54,001 --> 00:53:57,000 COUNTRY WITH THEIR NATIONAL 1380 00:53:57,001 --> 00:53:59,000 HEALTH SYSTEM, A SYSTEM THAT IS 1381 00:53:59,001 --> 00:54:00,000 A MODEL OF MANY ON THE OTHER 1382 00:54:00,001 --> 00:54:01,000 SIDE OF THE AISLE OF WHAT THEY 1383 00:54:01,001 --> 00:54:02,000 WANT AMERICAN MEDICINE TO BE LIKE. 1384 00:54:02,001 --> 00:54:04,000 THIS STORY ONCE AGAIN 1385 00:54:04,001 --> 00:54:05,000 DEMONSTRATES THAT COVERAGE DOES 1386 00:54:05,001 --> 00:54:08,000 NOT EQUAL CARE, BECAUSE EVERYONE 1387 00:54:08,001 --> 00:54:09,000 IN BRITAIN HAS COVERAGE. 1388 00:54:09,001 --> 00:54:10,000 BUT THEY 1389 00:54:10,001 --> 00:54:12,000 SURE CAN'T GET CARE. 1390 00:54:12,001 --> 00:54:13,000 THEN YOU ASK YOURSELF: DOES IT 1391 00:54:13,001 --> 00:54:15,000 REALLY MATTER? 1392 00:54:15,001 --> 00:54:17,000 DOES 4 1/2 MONTHS, 18 WEEKS OF 1393 00:54:17,001 --> 00:54:19,000 WAITING FOR YOUR CANCER SURGERY 1394 00:54:19,001 --> 00:54:25,000 REALLY MATTER? 1395 00:54:25,001 --> 00:54:26,000 NOT JUST THE EMOTIONAL WORRY OF 1396 00:54:26,001 --> 00:54:28,000 IS THAT CANCER SPREADING WITHIN 1397 00:54:28,001 --> 00:54:29,000 MY BODY, SHOULD I LEAVE THE 1398 00:54:29,001 --> 00:54:30,000 COUNTRY OF ENGLAND AND GO TO THE 1399 00:54:30,001 --> 00:54:31,000 UNITED STATES, WHERE I CAN GET 1400 00:54:31,001 --> 00:54:34,000 IMMEDIATE CARE? 1401 00:54:34,001 --> 00:54:35,000 BUT YOU HAVE TO WORRY ABOUT BECAUSE 1402 00:54:35,001 --> 00:54:36,000 THE STATISTICS BACK UP THE FACT 1403 00:54:36,001 --> 00:54:37,000 THAT THE CARE IN THE UNITED 1404 00:54:37,001 --> 00:54:41,000 STATES IS MUCH BETTER THAN IN 1405 00:54:41,001 --> 00:54:43,000 THE ENGLAND. 1406 00:54:43,001 --> 00:54:44,000 , NOT THAT THE DOCTORS ARE ANY 1407 00:54:44,001 --> 00:54:45,000 BETTER HERE THAN THEY ARE IN 1408 00:54:45,001 --> 00:54:46,000 ENGLAND. 1409 00:54:46,001 --> 00:54:48,000 BUT THE TIMING WHEN YOU CAN 1410 00:54:48,001 --> 00:54:50,000 RECEIVE THAT CARE FROM THOSE QUALIFIED PROFESSIONALS IS MUCH 1411 00:54:50,001 --> 00:54:52,000 BETTER IN THE UNITED STATES. 1412 00:54:52,001 --> 00:54:53,000 SO IF YOU TAKE A LOOK AT THE 1413 00:54:53,001 --> 00:54:54,000 STATISTICS BEHIND THIS, THE 1414 00:54:54,001 --> 00:54:56,000 RESEARCHERS THAT LOOK AT THIS -- 1415 00:54:56,001 --> 00:54:58,000 AND I'LL JUST GO THROUGH IT, 1416 00:54:58,001 --> 00:54:59,000 BECAUSE MY WIFE IS A BREAST 1417 00:54:59,001 --> 00:55:01,000 CANCER SURVIVOR. 1418 00:55:01,001 --> 00:55:02,000 SHE'S HAD A SERIES OF THREE 1419 00:55:02,001 --> 00:55:04,000 OPERATIONS, BEEN THROUGH 1420 00:55:04,001 --> 00:55:06,000 CHEMOTHERAPY TWICE, AND SHE IS 1421 00:55:06,001 --> 00:55:08,000 NOW SURVING SIX YEARS AFTER HER DIAGNOSIS. 1422 00:55:08,001 --> 00:55:12,000 AND I'M GRATEFUL THAT SHE WAS 1423 00:55:12,001 --> 00:55:13,000 EATED IN THE UNITED STATES, 1424 00:55:13,001 --> 00:55:16,000 WHERE THE DAY AFTER THE DIAGNOSIS WAS MADE, THEY WANTED 1425 00:55:16,001 --> 00:55:18,000 TO GET IN IMMEDIATELY TO DO THE OPERATION. 1426 00:55:18,001 --> 00:55:19,000 SO LET ME JUST TELL HE, 1427 00:55:19,001 --> 00:55:20,000 MR. PRESIDENT, IT SAYS, "TODAY 1428 00:55:20,001 --> 00:55:22,000 THE UNITED STATES LEADS THE 1429 00:55:22,001 --> 00:55:23,000 WORLD IN READING TO CANCER." 1430 00:55:23,001 --> 00:55:25,000 SCIENTIFIC STUDIES. 1431 00:55:25,001 --> 00:55:26,000 "WITH BREAST CANCER, FOR 1432 00:55:26,001 --> 00:55:27,000 INSTANCE,HE SURVIVAL RATE 1433 00:55:27,001 --> 00:55:30,000 AFTER FIVE YEARS AMONG AMERICAN 1434 00:55:30,001 --> 00:55:31,000 WOMEN" -- SO A WOMAN DIAGNED 1435 00:55:31,001 --> 00:55:33,000 IN THE UNITED STATES WITH BREAST 1436 00:55:33,001 --> 00:55:34,000 CANCER AND TREATED -- "83% STILL 1437 00:55:34,001 --> 00:55:37,000 ALIVE FIVE YEARS LATER. 1438 00:55:37,001 --> 00:55:39,000 FOR WOMEN IN BRITAIN, 69%." 1439 00:55:39,001 --> 00:55:40,000 WHERE DO YOU WANT TO GET YOUR CARE? 1440 00:55:40,001 --> 00:55:41,000 THE BIGGER QUESTION IS: WHEN DO 1441 00:55:41,001 --> 00:55:43,000 YOU WANT TO GET YOUR CARE? 1442 00:55:43,001 --> 00:55:44,000 MR. BARRASSO: FOR MEN WITH 1443 00:55:44,001 --> 00:55:48,000 PROSTATE CANCER, THE SURVIVAL 1444 00:55:48,001 --> 00:55:54,000 RATE, 92% IN THE UNITED STATES, 1445 00:55:54,001 --> 00:55:56,000 74% IN FRANCE, 51% IN BRITAIN. 1446 00:55:56,001 --> 00:55:57,000 AMERICAN MEN AND WOMEN ARE MORE 1447 00:55:57,001 --> 00:56:00,000 THAN 35% MORE LIKELY TO SURVIVE 1448 00:56:00,001 --> 00:56:01,000 COLON CANCER THAN THEIR BRITISH COUNTERPARTS. 1449 00:56:01,001 --> 00:56:04,000 AND IN AN ARTICLE FROM THE 1450 00:56:04,001 --> 00:56:09,000 AUGUST 2008 EDITION OF "LANCE HE 1451 00:56:09,001 --> 00:56:10,000 WILL ONCOLOGY," THE CANCER -- 1452 00:56:10,001 --> 00:56:11,000 "LANCET ONCOLOGY" THE UNITED 1453 00:56:11,001 --> 00:56:13,000 STATES ISUMBER ONE AGAIN. 1454 00:56:13,001 --> 00:56:15,000 IN ALMOST EVERY CATEGORY, 1455 00:56:15,001 --> 00:56:16,000 AMERICANS SURVIVE CANCER A 1456 00:56:16,001 --> 00:56:17,000 HIGHER RATES THAN PATIENTS IN 1457 00:56:17,001 --> 00:56:19,000 OTHER DEVELOPED COUNTRIES. 1458 00:56:19,001 --> 00:56:20,000 AMERICAN CANCER PATIENTS HAVE A 1459 00:56:20,001 --> 00:56:22,000 HIGHER SURVIVARATE FOR EVERY 1460 00:56:22,001 --> 00:56:23,000 MAJOR FORM OF CANCER THAN 1461 00:56:23,001 --> 00:56:25,000 PATIENTS IN CANADA AND IN 1462 00:56:25,001 --> 00:56:27,000 BRITAIN. 1463 00:56:27,001 --> 00:56:30,000 AMERICAN WOMEN HAVE A 35% BETTER 1464 00:56:30,001 --> 00:56:36,000 CHANCE OF SURVING COLON CANCER THAN BRITISH WOMEN. 1465 00:56:36,001 --> 00:56:38,000 AMERICAN MEN HAVE AN 80% BETTER 1466 00:56:38,001 --> 00:56:39,000 SURVIVAL RATE FOR PROSTATE 1467 00:56:39,001 --> 00:56:40,000 CANCER. 1468 00:56:40,001 --> 00:56:41,000 AMERICAN SURVIVAL RATES ARE ALSO 1469 00:56:41,001 --> 00:56:42,000 BETTER THAN FRANCE. 1470 00:56:42,001 --> 00:56:46,000 AND YOU CAN GO ON AND ON WITH 1471 00:56:46,001 --> 00:56:47,000 THIS, MR. PRESIDENT, BUT IT IS 1472 00:56:47,001 --> 00:56:49,000 IMMINENTLY CLEAR, IMMINENTLY 1473 00:56:49,001 --> 00:56:52,000 CLEAR, THAT THE TIMING ON WHEN 1474 00:56:52,001 --> 00:56:54,000 ONE GETS THEIR CARE IS CRITICAL. 1475 00:56:54,001 --> 00:56:55,000 NOW, IT IS INTERESTING TO ME, 1476 00:56:55,001 --> 00:56:56,000 MR. PRESIDENT, THAT JUST THIS 1477 00:56:56,001 --> 00:56:57,000 WEEK, JUST THIS VERY WEEK, THE 1478 00:56:57,001 --> 00:57:03,000 PRESIDENT HAS MADE HIS 1479 00:57:03,001 --> 00:57:05,000 NOMINATION FOR A NEW DIRECTOR OF 1480 00:57:05,001 --> 00:57:07,000 THE PORTION OF HEALTH AND HUMAN 1481 00:57:07,001 --> 00:57:09,000 SERVICE DEPARTMENT THAT DEALS 1482 00:57:09,001 --> 00:57:11,000 WITH MEDICARE AND MEDICAID. 1483 00:57:11,001 --> 00:57:13,000 THE PRESIDE'S BEEN IN OFFICE 1484 00:57:13,001 --> 00:57:14,000 FOR 15 MONTHS. 1485 00:57:14,001 --> 00:57:17,000 WE HAVE H A DEBATE AND 1486 00:57:17,001 --> 00:57:18,000 DISCUSSION IN THIS BODY FOR 1487 00:57:18,001 --> 00:57:20,000 ALMOST ALL OF THAT TIME ON 1488 00:57:20,001 --> 00:57:22,000 HEALTH CARE. 1489 00:57:22,001 --> 00:57:25,000 THIS BODY, THE DEMOCRATS HAVE 1490 00:57:25,001 --> 00:57:27,000 VOTED TO CUT MEDICARE BY $500 1491 00:57:27,001 --> 00:57:28,000 BILLION FROM OUR SENIORS, WHO 1492 00:57:28,001 --> 00:57:29,000 DESPERATELY DEPEND UPON MEDICARE. 1493 00:57:29,001 --> 00:57:33,000 WHY IS IT THAT THE PRESIDENT HAS 1494 00:57:33,001 --> 00:57:36,000 WAITED 15 MONTHS TO FINALLY 1495 00:57:36,001 --> 00:57:40,000 NOMINATE SOMEONE TO BE THE HEAD 1496 00:57:40,001 --> 00:57:42,000 OF THE PART OF GOVERNMENT THAT 1497 00:57:42,001 --> 00:57:44,000 OVERSEES MEDICARE AND MEDICAID? 1498 00:57:44,001 --> 00:57:46,000 THE PRESIDENT HAS PUT 15 MILLION 1499 00:57:46,001 --> 00:57:47,000 TO 16 MILLION MORE PEOPLE ON 1500 00:57:47,001 --> 00:57:48,000 MEDICAID, HAS CUT MEDICARE, HAS 1501 00:57:48,001 --> 00:57:50,000 TOLD US THAT WE CAN TRUST HIM ON 1502 00:57:50,001 --> 00:57:52,000 THIS, BUT YET HE WOULD NOT PUT 1503 00:57:52,001 --> 00:57:53,000 SOMEBODY UP TO GO THROUGH THE 1504 00:57:53,001 --> 00:57:54,000 CONFIRMATION PROCESS TO HEAD 1505 00:57:54,001 --> 00:57:56,000 MEDICARE AND MEDICAID. WHY? 1506 00:57:56,001 --> 00:57:57,000 WELL, IN MY OPINION, HE DIDN'T 1507 00:57:57,001 --> 00:57:58,000 WANT ANYBODY TO ANSWER THE 1508 00:57:58,001 --> 00:57:59,000 QUESTIONS BECAUSE THEY'RE TOUGH 1509 00:57:59,001 --> 00:58:00,000 QUESTIONS. 1510 00:58:00,001 --> 00:58:04,000 WHY WOULDN'T YOU NOMINATE 1511 00:58:04,001 --> 00:58:07,000 SOMEBODY FOR ALL OF THAT TIME, 1512 00:58:07,001 --> 00:58:08,000 LEAVE THE POST OPEN ESSENTIALLY 1513 00:58:08,001 --> 00:58:10,000 AND NOT HAVE SOMEBODY TO COME TO 1514 00:58:10,001 --> 00:58:11,000 CONGRESS AND SAY, WHAT ARE THE 1515 00:58:11,001 --> 00:58:14,000 IMPLICATIONS FOR THE AMERICAN 1516 00:58:14,001 --> 00:58:16,000 PEOPLE OF -- OF DUMPING ANOTHER 1517 00:58:16,001 --> 00:58:17,000 16 MILLION PEOPLE ON TO 1518 00:58:17,001 --> 00:58:19,000 MEDICAID, OF CUTTING $500 1519 00:58:19,001 --> 00:58:21,000 BILLION FROM MEDICARE? 1520 00:58:21,001 --> 00:58:24,000 WELL, BECAUSE THE PERSON HE PUT 1521 00:58:24,001 --> 00:58:28,000 IN HAS A LONG HISTORY OF A LOVE 1522 00:58:28,001 --> 00:58:30,000 OF RATIONING OF CARE. 1523 00:58:30,001 --> 00:58:32,000 IT'S DR. DONALD BURWICK. 1524 00:58:32,001 --> 00:58:35,000 HE HAS A HISTORY OF SUPPORT FOR GOVERNMENT RATIONING OF HEALTH 1525 00:58:35,001 --> 00:58:37,000 CARE RESOURCES ON THE GROUNDS OF 1526 00:58:37,001 --> 00:58:38,000 COST. 1527 00:58:38,001 --> 00:58:40,000 NOT ON THE GROUNDS OF QUALITY, 1528 00:58:40,001 --> 00:58:41,000 NOT ON THE GROUNDS OF 1529 00:58:41,001 --> 00:58:43,000 SURVIVABILITY BUT ON THE GROUNDS 1530 00:58:43,001 --> 00:58:47,000 OF COST. 1531 00:58:47,001 --> 00:58:50,000 AND HE HAS SAID, AS RECENTLY AS 1532 00:58:50,001 --> 00:58:52,000 LAST JUNE, "THE DECISION IS NOT 1533 00:58:52,001 --> 00:58:53,000 WHETHER OR NOT WE WILL RATION 1534 00:58:53,001 --> 00:58:54,000 CARE." 1535 00:58:54,001 --> 00:58:56,000 HE SAID, "THE DECISION IS 1536 00:58:56,001 --> 00:58:58,000 WHETHER WE WILL RATION WITH OUR 1537 00:58:58,001 --> 00:59:00,000 EYES OPEN." 1538 00:59:00,001 --> 00:59:01,000 SO HERE WE ARE, THE NEWLY 1539 00:59:01,001 --> 00:59:05,000 NOMINATED PERSON HAS SAID, I'M 1540 00:59:05,001 --> 00:59:06,000 GOING INTO THIS TO RATION CARE. NOW, HE'S A BIG SUPPORTER OF 1541 00:59:06,001 --> 00:59:08,000 WHAT THEY HAVE GOING ON IN 1542 00:59:08,001 --> 00:59:09,000 BRITAIN RIGHT NOW. 1543 00:59:09,001 --> 00:59:10,000 IT'S -- THEY -- IN BRITAIN THEY 1544 00:59:10,001 --> 00:59:11,000 CALL IT NICE. 1545 00:59:11,001 --> 00:59:12,000 STANDS FOR THE NATIONAL 1546 00:59:12,001 --> 00:59:14,000 INSTITUTE FOR HEALTH AND 1547 00:59:14,001 --> 00:59:16,000 CLINICAL EXCELLENCE. 1548 00:59:16,001 --> 00:59:17,000 WELL, THIS IS WHAT DR. BURWICK 1549 00:59:17,001 --> 00:59:20,000 HAS SAID ABOUT IT. 1550 00:59:20,001 --> 00:59:21,000 HE SAID THAT "THOSE 1551 00:59:21,001 --> 00:59:22,000 ORGANIZATIONS ARE FUNCTIONING 1552 00:59:22,001 --> 00:59:24,000 VERY WELL AND ARE WELL RESPECTED 1553 00:59:24,001 --> 00:59:26,000 BY CLINICIANS, AND THEY ARE 1554 00:59:26,001 --> 00:59:28,000 MAKING THEIR POPULATIONS 1555 00:59:28,001 --> 00:59:30,000 HEALTHIER AND BETTER OFF." 1556 00:59:30,001 --> 00:59:33,000 WELL, LET ME TELL YOU WHAT A 1557 00:59:33,001 --> 00:59:35,000 LONDON DOCTOR, A COLON CANCER 1558 00:59:35,001 --> 00:59:38,000 SPECIALIST, HAD TO SAY. 1559 00:59:38,001 --> 00:59:39,000 THIS DOCTOR SAID, "A LOT OF MY 1560 00:59:39,001 --> 00:59:42,000 COLLEAGUES ALSO FACE PRESSURE 1561 00:59:42,001 --> 00:59:46,000 FROM MANAGERS NOT TO TELL 1562 00:59:46,001 --> 00:59:47,000 PATIENTS ABOUT NEW DRUGS." 1563 00:59:47,001 --> 00:59:49,000 SAID, "THERE'S NOTHING IN 1564 00:59:49,001 --> 00:59:51,000 WRITING, BUT TELLING PATIENTS 1565 00:59:51,001 --> 00:59:53,000 OPEN'S UP A PANDORA'S BOX FOR 1566 00:59:53,001 --> 00:59:55,000 HEALTH SERVICES TRYING TO 1567 00:59:55,001 --> 00:59:57,000 CONTAIN COSTS." 1568 00:59:57,001 --> 01:00:01,000 HE FURTHER WENT ON, THIS NOW 1569 01:00:01,001 --> 01:00:05,000 AGAIN DR. BURWICK SAY "NICE," 1570 01:00:05,001 --> 01:00:07,000 THITHIS GRITTISH GROUP, "IS 1571 01:00:07,001 --> 01:00:09,000 EXTREMELY VALUABLE AND CONSCIENTIOUS, AN IMPORTANT 1572 01:00:09,001 --> 01:00:11,000 KNOWLEDGE BUILDING SYSTEM." 1573 01:00:11,001 --> 01:00:12,000 WHAT DID THE BBC, THE BRITISH 1574 01:00:12,001 --> 01:00:13,000 BROADCASTING GROUP, SAY, THEY 1575 01:00:13,001 --> 01:00:15,000 SAY THAT DOCTORS ARE KEEPING 1576 01:00:15,001 --> 01:00:16,000 CANCER PATIENTS IN THE DARK 1577 01:00:16,001 --> 01:00:17,000 ABOUT EXPENSIVE NEW DRUGS THAT 1578 01:00:17,001 --> 01:00:20,000 COULD EXTEND THEIR LIVES. 1579 01:00:20,001 --> 01:00:23,000 A QUARTER OF THE SPECIALISTS, 1580 01:00:23,001 --> 01:00:24,000 1-4 SPECIALISTS POLLED BY A 1581 01:00:24,001 --> 01:00:26,000 JOURNAL ON MELANOMA IN THE 1582 01:00:26,001 --> 01:00:28,000 UNITED KINGDOM, SAID THAT THEY 1583 01:00:28,001 --> 01:00:31,000 HID FACTS ABOUT TREATMENTS FOR 1584 01:00:31,001 --> 01:00:33,000 BONE MARROW CANCER THAT -- THAT 1585 01:00:33,001 --> 01:00:35,000 MANY -- THAT MAY BE DIFFICULTO 1586 01:00:35,001 --> 01:00:36,000 OBTAIN FROM THE NATIONAL HEALTH 1587 01:00:36,001 --> 01:00:37,000 SERVICE. 1588 01:00:37,001 --> 01:00:40,000 DOCTORS SAID THEY DID NOT WANT 1589 01:00:40,001 --> 01:00:42,000 TO DISTRESS, UPSET OR CONFUSE 1590 01:00:42,001 --> 01:00:44,000 PATIENTS IF DRUGS HAD NOT YET 1591 01:00:44,001 --> 01:00:51,000 BEEN APPROVED BY THE NATIONAL 1592 01:00:51,001 --> 01:00:52,000 HEALTH SERVICE DRUG'S WATCHDOG 1593 01:00:52,001 --> 01:00:53,000 CALLED "NICE." 1594 01:00:53,001 --> 01:00:55,000 SO YOU TAKE A LOOK AT THE 1595 01:00:55,001 --> 01:00:57,000 BRITISH HEALTH CARE SYSTEM. 1596 01:00:57,001 --> 01:00:58,000 18 WEEKS OF A WAIT, WHICH IS THE 1597 01:00:58,001 --> 01:01:00,000 PROMISE FROM THE PRIME MINISTER 1598 01:01:00,001 --> 01:01:02,000 IN THE DEBATE LAST WEEK, 18 1599 01:01:02,001 --> 01:01:03,000 WEEKS FROM WHEN YOU'RE DIAGNOSED 1600 01:01:03,001 --> 01:01:07,000 WITH CANCER UNTIL YOU HAVE YOUR 1601 01:01:07,001 --> 01:01:08,000 OPERATION. 1602 01:01:08,001 --> 01:01:09,000 THAT'S THEIR ATION EXPIRATIONAL 1603 01:01:09,001 --> 01:01:10,000 GOAL. 1604 01:01:10,001 --> 01:01:11,000 IT MAKES YOU WONDER WHAT IT IS 1605 01:01:11,001 --> 01:01:12,000 NOW -- 1606 01:01:12,001 --> 01:01:13,000 THAT'S THEIR ASPIRATIONAL GOAL. 1607 01:01:13,001 --> 01:01:15,000 IT MAKES YOU WONDER WHAT IT IS NOW. 1608 01:01:15,001 --> 01:01:16,000 IT HAS TO BE A LOT LONGER THAN 1609 01:01:16,001 --> 01:01:17,000 18 WEEKS. 1610 01:01:17,001 --> 01:01:19,000 SO, MR. PRESIDENT, IT'S NO 1611 01:01:19,001 --> 01:01:21,000 SURPRISE THAT THE LATEST POLLS 1612 01:01:21,001 --> 01:01:22,000 THAT ARE OUT THIS MORNING, THE 1613 01:01:22,001 --> 01:01:24,000 QUINNIPIAC POLL, A POLL THAT WAS 1614 01:01:24,001 --> 01:01:25,000 DONE JUST THIS PAST WEEK, "DO 1615 01:01:25,001 --> 01:01:29,000 YOU SUPPORT PASSAGE OF THE 1616 01:01:29,001 --> 01:01:30,000 HEALTH CARE REFORM BILL?" 1617 01:01:30,001 --> 01:01:34,000 LESS THAN 4 IN 10 AMERICANS, 1618 01:01:34,001 --> 01:01:36,000 ONLY 39%, APPROVE WHAT THIS BODY 1619 01:01:36,001 --> 01:01:39,000 CRAMMED DOWN THE THROATS OF THE 1620 01:01:39,001 --> 01:01:41,000 AMERICAN PEOPLE. 1621 01:01:41,001 --> 01:01:42,000 WHEREAS OVER HALF OF ALL 1622 01:01:42,001 --> 01:01:45,000 AMERICANS DISAPPROVE OF WHAT 1623 01:01:45,001 --> 01:01:46,000 THIS ADMINISTRATION, THIS 1624 01:01:46,001 --> 01:01:48,000 PRESIDENT, HARRY REID, NANCY 1625 01:01:48,001 --> 01:01:50,000 PELOSI AND THIS CONGRESS HAS NOW 1626 01:01:50,001 --> 01:01:52,000 FORCED UPON THE AMERICAN PEOPLE. 1627 01:01:52,001 --> 01:01:53,000 THE AMERICAN PEOPLE HAVE GREAT 1628 01:01:53,001 --> 01:01:56,000 CAUSE TO WORRY ABOUT WHAT THEY 1629 01:01:56,001 --> 01:01:59,000 ARE GOING TO FACE IN THEIR 1630 01:01:59,001 --> 01:02:00,000 HEALTH CARE, IN THEIR HEALTH 1631 01:02:00,001 --> 01:02:03,000 CARE DECISION, IF THEY ARE GOING 1632 01:02:03,001 --> 01:02:05,000 TO BE ABLE TO KEEP THE DOCTOR, 1633 01:02:05,001 --> 01:02:07,000 THEIR WIFE SEEN, THOSE ARE THE 1634 01:02:07,001 --> 01:02:08,000 QUESTIONS AND THOSE ARE THE 1635 01:02:08,001 --> 01:02:09,000 CONCERNS OF THE AMERICAN PEOPLE. 1636 01:02:09,001 --> 01:02:11,000 AND NOW, MR. PRESIDENT, YOU GET 1637 01:02:11,001 --> 01:02:13,000 MY SECOND OPINION ON THE HEALTH 1638 01:02:13,001 --> 01:02:14,000 CARE BILL THAT WE WERE TOLD BY 1639 01:02:14,001 --> 01:02:16,000 NANCY PELOSI YOU HAVE TO PASS IT 1640 01:02:16,001 --> 01:02:17,000 BEFORE YOU GET TO FIND OUT WHAT'S IN IT. 1641 01:02:17,001 --> 01:02:28,000 THANK YOU, MR. PRESIDENT. 1642 01:02:28,001 --> 01:02:30,000 I YIELD THE FLOOR. 1643 01:02:30,001 --> 01:02:34,000 MR. CORKER: AN INQUIRY OF TIME. 1644 01:02:34,001 --> 01:02:35,000 I KNOW SENATOR HUTCHISON IS 1645 01:02:35,001 --> 01:02:36,000 HERE. 1646 01:02:36,001 --> 01:02:37,000 THE PRESIDING OFFICER: T 1647 01:02:37,001 --> 01:02:41,000 REPUBLICAN SIDE HAS EIGHT 1648 01:02:41,001 --> 01:02:43,000 MINUTES AND 27 1649 01:02:43,001 --> 01:02:45,000 MR. CORKER: I NEED MINUTES. 1650 01:02:45,001 --> 01:02:46,000 IF YOU WANT TO GO FIRST, THAT'S 1651 01:02:46,001 --> 01:02:47,000 FINE. 1652 01:02:47,001 --> 01:02:50,000 MRS. HUTCHISON: THEN I WILL 1653 01:02:50,001 --> 01:02:51,000 SPLIT THE 1654 01:02:51,001 --> 01:02:53,000 IS THERE ANY FURTHER TIME OR 1655 01:02:53,001 --> 01:02:59,000 WHAT IS THE ORDER OF BUSINESS 1656 01:02:59,001 --> 01:03:01,000 AFTER THE EIGHT MINUTES? 1657 01:03:01,001 --> 01:03:03,000 THE PRESIDING OFFICER: AFTER THE 1658 01:03:03,001 --> 01:03:04,000 EXPIRATION OF MORNING BUSINESS, 1659 01:03:04,001 --> 01:03:06,000 WE WILL PROCEED TO EXECUTIVE 1660 01:03:06,001 --> 01:03:07,000 SESSION. 1661 01:03:07,001 --> 01:03:10,000 MR. CORKER: IT IS MY 1662 01:03:10,001 --> 01:03:12,000 UNDERSTANDING WE MIGHT EXTEND TO 1663 01:03:12,001 --> 01:03:13,000 TEN MORE MINUTES WITH 1664 01:03:13,001 --> 01:03:14,000 PERMISSION, IS THAT CORRECT? 1665 01:03:14,001 --> 01:03:16,000 THE PRESIDING OFFICER: THAT'S CORRECT. 1666 01:03:16,001 --> 01:03:18,000 IF THERE IS UNANIMOUS CONSENT, 1667 01:03:18,001 --> 01:03:19,000 THAT'S CORRECT. 1668 01:03:19,001 --> 01:03:20,000 MRS. HUTCHISON: MR. PRESIDENT, I 1669 01:03:20,001 --> 01:03:21,000 ASK UNANIMOUS CONSENT THAT WE 1670 01:03:21,001 --> 01:03:23,000 EXTEND MORNING BUSINESS FOR TEN 1671 01:03:23,001 --> 01:03:26,000 NUTES AND THAT THE REMAINING 1672 01:03:26,001 --> 01:03:29,000 REMAINING -- THE ADDED TIME BE 1673 01:03:29,001 --> 01:03:31,000 SPLIT BETWEEN SENATOR CORKER AND 1674 01:03:31,001 --> 01:03:33,000 MYSELF, AND IF A MEMBER OF THE 1675 01:03:33,001 --> 01:03:35,000 MAJORITY COMES FORWARD, WE WILL 1676 01:03:35,001 --> 01:03:38,000 CERTAINLY AGREE TO ALLOW THE 1677 01:03:38,001 --> 01:03:39,000 EQUAL TIME. THE PRESIDING OFFICER: IS THERE 1678 01:03:39,001 --> 01:03:42,000 OBJECTION? 1679 01:03:42,001 --> 01:03:43,000 WITHOUT OBJECTION, SO ORDERED. 1680 01:03:43,001 --> 01:03:44,000 MRS. HUTCHISON: THANK YOU. 1681 01:03:44,001 --> 01:03:45,000 THE PRESIDING OFFICER: TH 1682 01:03:45,001 --> 01:03:46,000 SENATOR FROM TEXAS IS 1683 01:03:46,001 --> 01:03:47,000 RECOGNIZED. 1684 01:03:47,001 --> 01:03:49,000 MRS. HUTCHISON: MR. PRESIDENT, 1685 01:03:49,001 --> 01:03:51,000 THEN IF THERE WERE FOUR MINUTES 1686 01:03:51,001 --> 01:03:53,000 AND WE ADDED TEN, I WOULD HAVE 1687 01:03:53,001 --> 01:03:54,000 NINE MINUTES AND SENATOR CORKER 1688 01:03:54,001 --> 01:03:55,000 WOULD HAVE NINE? 1689 01:03:55,001 --> 01:03:59,000 THE PRESIDING OFFICER: THE 1690 01:03:59,001 --> 01:04:01,000 SENATOR IS CORRECT. 1691 01:04:01,001 --> 01:04:05,000 MRS. HUTCHISON: THANK YOU. 1692 01:04:05,001 --> 01:04:07,000 THANK YOU, MR. PRESIDENT. 1693 01:04:07,001 --> 01:04:08,000 I THANK THE SENATOR FROM 1694 01:04:08,001 --> 01:04:09,000 TENNESSEE. 1695 01:04:09,001 --> 01:04:10,000 MR. PRESIDENT, I RISE TODAY TO 1696 01:04:10,001 --> 01:04:11,000 SPEAK ON FINANCIAL REGULATORY 1697 01:04:11,001 --> 01:04:13,000 REFORM. 1698 01:04:13,001 --> 01:04:14,000 DURING THE CURRENT ECONOMIC 1699 01:04:14,001 --> 01:04:17,000 DOWNTURN, WE HAVE SEEN FAR TOO 1700 01:04:17,001 --> 01:04:20,000 MANY AMERICANS LOSE THEIR JOBS, 1701 01:04:20,001 --> 01:04:22,000 HOMES, AND THEIR SAVINGS 1702 01:04:22,001 --> 01:04:23,000 DISAPPEAR. 1703 01:04:23,001 --> 01:04:25,000 TODAY 15 MILLION OF OUR CITIZENS 1704 01:04:25,001 --> 01:04:27,000 ARE STILL OUT OF WORK, AND 1705 01:04:27,001 --> 01:04:30,000 NATIONAL UNEMPLOYMENT CONTINUES 1706 01:04:30,001 --> 01:04:32,000 TO WHOEVER NEAR 10%. 1707 01:04:32,001 --> 01:04:36,000 IT IS THIS UNCERTAIN CLIMATE IN 1708 01:04:36,001 --> 01:04:37,000 WHICH WE CONSIDER NOW FINANCIAL 1709 01:04:37,001 --> 01:04:39,000 REFORM LEGISLATION. 1710 01:04:39,001 --> 01:04:41,000 THE CRISIS IS GOING TO REMAIN IN 1711 01:04:41,001 --> 01:04:43,000 THE FOREFRONT OF OUR NATIONAL 1712 01:04:43,001 --> 01:04:45,000 CONSCIOUSNESS FOR YEARS TO COME, 1713 01:04:45,001 --> 01:04:46,000 MAINLY DUE TO THE IMMENSE 1714 01:04:46,001 --> 01:04:49,000 GOVERNMENT INTERVENTION THAT WAS 1715 01:04:49,001 --> 01:04:51,000 PUSHED THROUGH OVER THE PAST 1716 01:04:51,001 --> 01:04:54,000 YEAR AND A HALF, ATTEMPTING TO 1717 01:04:54,001 --> 01:04:55,000 STABILIZE OUR FROZEN CREDIT 1718 01:04:55,001 --> 01:04:57,000 MARKETS, BUT INSTEAD 1719 01:04:57,001 --> 01:04:59,000 ACCUMULATING MASSIVE DEBT THAT 1720 01:04:59,001 --> 01:05:01,000 THREATENS TO HARM OUR ECONOMY 1721 01:05:01,001 --> 01:05:03,000 MUCH WORSE THAN THE ORIGINAL PROBLEMS. 1722 01:05:03,001 --> 01:05:05,000 THE CURRENT LEGISLATION 1723 01:05:05,001 --> 01:05:08,000 CONTINUES THE GOVERNMENT'S 1724 01:05:08,001 --> 01:05:10,000 FAILED TOO BIG TO FAIL POLICY. 1725 01:05:10,001 --> 01:05:12,000 TOO BIG TO FAIL PERVERTS FREE 1726 01:05:12,001 --> 01:05:14,000 MARKET CAPITALISM, SUGGESTS THAT 1727 01:05:14,001 --> 01:05:16,000 ENTIES CAN PRIVATIZE THEIR 1728 01:05:16,001 --> 01:05:17,000 PROFITS, YET SOCIALIZE THEIR 1729 01:05:17,001 --> 01:05:19,000 RISKS, AND TAXPAYERS FOOT THE 1730 01:05:19,001 --> 01:05:20,000 BILL. 1731 01:05:20,001 --> 01:05:22,000 THE AMERICAN TAXPAYER SHOULD NOT 1732 01:05:22,001 --> 01:05:25,000 BE FORCED TO PAY THE GAMBLING 1733 01:05:25,001 --> 01:05:28,000 DEBTS OF RISKY BETS MADE BY 1734 01:05:28,001 --> 01:05:29,000 LARGE FINANCIAL INSTITUTIONS. 1735 01:05:29,001 --> 01:05:32,000 REPUBLICANS AND DEMOCRATS ALIKE 1736 01:05:32,001 --> 01:05:34,000 AGREE THAT WE MUST END TOO BIG 1737 01:05:34,001 --> 01:05:37,000 TO FAIL, BUT THE BILL THAT IS 1738 01:05:37,001 --> 01:05:39,000 BEING PROPOSED DOES NOT DO THAT. 1739 01:05:39,001 --> 01:05:43,000 CHAIRMAN DODD'S BILL PROVIDES 1740 01:05:43,001 --> 01:05:44,000 BOTH THE FDIC AND THE TREASURY 1741 01:05:44,001 --> 01:05:47,000 DEPARTMENT EMERGENCY AUTHORITY 1742 01:05:47,001 --> 01:05:50,000 TO PROVIDE BROAD DEBT GUARANTEES 1743 01:05:50,001 --> 01:05:53,000 IN TIMES OF ECONOMIC DISTRESS TO 1744 01:05:53,001 --> 01:05:54,000 STRUGGLING FIRMS. 1745 01:05:54,001 --> 01:05:57,000 AS WRITTEN, IT IS FORESEEABLE 1746 01:05:57,001 --> 01:06:00,000 THAT THE FDIC OR TREASURY COULD 1747 01:06:00,001 --> 01:06:02,000 STEP IN TO PRO UP A FIRM UNDER 1748 01:06:02,001 --> 01:06:05,000 ANY CIRCUMSTANCE, ALL WITHOUT 1749 01:06:05,001 --> 01:06:08,000 SEEKING TO RESOLVE AND UNWIND THE FIRM. 1750 01:06:08,001 --> 01:06:09,000 THE CHAIRMAN'S BILL AUTHORIZES 1751 01:06:09,001 --> 01:06:11,000 CONTINUED EMERGENCY LENDING 1752 01:06:11,001 --> 01:06:14,000 AUTHORITY FOR THE FEDERAL 1753 01:06:14,001 --> 01:06:15,000 RESERVE BUT CONCEIVABLY ONLY FOR 1754 01:06:15,001 --> 01:06:17,000 LARGE BANKS. 1755 01:06:17,001 --> 01:06:21,000 UNDER THEODD BILL, THE FEDERAL 1756 01:06:21,001 --> 01:06:24,000 RESERVE WOULD RETAIN SUPER 1757 01:06:24,001 --> 01:06:25,000 ADVISORY -- SUPERVISORY 1758 01:06:25,001 --> 01:06:28,000 AUTHORITY OVER BANK HOLDING 1759 01:06:28,001 --> 01:06:31,000 COMPANIES WITH ASSETS OVER OVER $50 MILLION. 1760 01:06:31,001 --> 01:06:32,000 THE FEDERAL RESERVE SUPERVISION 1761 01:06:32,001 --> 01:06:33,000 ESSENTIALLY PREDESIGNATES THE 1762 01:06:33,001 --> 01:06:34,000 FIRMS THAT ARE TOO BIG TO FAIL. 1763 01:06:34,001 --> 01:06:36,000 THESE BANKS WOULD HAVE THE 1764 01:06:36,001 --> 01:06:39,000 IMPLICIT BACKING OF THE 1765 01:06:39,001 --> 01:06:42,000 GOVERNMENT AND THE TAXPAYERS, 1766 01:06:42,001 --> 01:06:43,000 AND WITH A COMPETIVE 1767 01:06:43,001 --> 01:06:45,000 ADVANTAGE, GIVING IT ACCESS TO 1768 01:06:45,001 --> 01:06:46,000 CHEAPER CREDIT FROM LENDERS 1769 01:06:46,001 --> 01:06:48,000 EXPECTING TO BE MADE WHOLE. 1770 01:06:48,001 --> 01:06:50,000 THIS PUTS OUR NATION'S COMMUNITY 1771 01:06:50,001 --> 01:06:53,000 AND INDEPENDENT BANKS AT A 1772 01:06:53,001 --> 01:06:54,000 SEVERE COMPETIVE DISADVANTAGE. 1773 01:06:54,001 --> 01:06:57,000 I WILL OFFER AN AMENDMENT IF 1774 01:06:57,001 --> 01:06:59,000 THIS BILL COMES TO THE FOR TO 1775 01:06:59,001 --> 01:07:01,000 PERMIT COMMUNITY BANKS TO REMAIN 1776 01:07:01,001 --> 01:07:02,000 UNDER THE SUPERVISION OF THE 1777 01:07:02,001 --> 01:07:04,000 FEDERAL RESERVE. 1778 01:07:04,001 --> 01:07:08,000 IF THE FED SUPERVISES ONLY THE 1779 01:07:08,001 --> 01:07:10,000 LARGEST FIRMS, IT WILL GEAR 1780 01:07:10,001 --> 01:07:12,000 MONETARY POLICY TOWARD THESE 1781 01:07:12,001 --> 01:07:13,000 LARGE FINANCIAL INSTITUTIONS, 1782 01:07:13,001 --> 01:07:15,000 EFFECTIVELY LEAVING OUT THE 1783 01:07:15,001 --> 01:07:17,000 VOICE AND REAL-TIME EXPERIENCE 1784 01:07:17,001 --> 01:07:19,000 OF COMMUNITY BANKERS IN MY STATE 1785 01:07:19,001 --> 01:07:21,000 AND ACROSS THE COUNTRY. 1786 01:07:21,001 --> 01:07:23,000 WHILE THE LARGE FINANCIAL 1787 01:07:23,001 --> 01:07:25,000 INSTITUTIONS WERE MAKING BAD 1788 01:07:25,001 --> 01:07:27,000 BETS ON SUBPRIME MORTGAGE 1789 01:07:27,001 --> 01:07:28,000 MARKETS, COMMUNITY BANKS WERE 1790 01:07:28,001 --> 01:07:31,000 BANKING HOME AND BUSINESS LOANS 1791 01:07:31,001 --> 01:07:32,000 TO LOCAL CUSTOMERS. 1792 01:07:32,001 --> 01:07:34,000 LOCAL COMMUNITY BANKS PROVIDE 1793 01:07:34,001 --> 01:07:36,000 THE LENDING AND DEPOSIT SERVICES 1794 01:07:36,001 --> 01:07:38,000 FOR OUR NATIONS SMALL BUSINESSES 1795 01:07:38,001 --> 01:07:40,000 SO THAT THEY CAN OPERATE, 1796 01:07:40,001 --> 01:07:41,000 INVEST, CREATE JOBS AND DRIVE 1797 01:07:41,001 --> 01:07:43,000 OUR ECONOMY. 1798 01:07:43,001 --> 01:07:46,000 IT IS THE BUSINESS LENDING THAT 1799 01:07:46,001 --> 01:07:48,000 WILL HELP CREATE JOBS AND GROW 1800 01:07:48,001 --> 01:07:50,000 OUR ECONOMY. 1801 01:07:50,001 --> 01:07:52,000 TOM HONAN, PRESIDENT OF THE 1802 01:07:52,001 --> 01:07:54,000 FEDERAL RESERVE BANK OF KANSAS 1803 01:07:54,001 --> 01:07:55,000 CITY, SAID RECENTLY -- "OUR 1804 01:07:55,001 --> 01:07:58,000 NATION'S LARGEST BANKS WOULD BE 1805 01:07:58,001 --> 01:08:00,000 WELL SERVED TO TAKE LESSONS FROM 1806 01:08:00,001 --> 01:08:01,000 OUR COMMUNITY BANKS. 1807 01:08:01,001 --> 01:08:04,000 WHY? BECAUSE COMMUNITY BANKS HAVE 1808 01:08:04,001 --> 01:08:06,000 BEEN COMMITTED TO PROVIDING THE 1809 01:08:06,001 --> 01:08:08,000 CREDIT AND SERVICES NEEDED FOR 1810 01:08:08,001 --> 01:08:10,000 SMALL BUSINESS, THEY KNOW 1811 01:08:10,001 --> 01:08:14,000 CUSTOMERS, AND THEY CAN MAKE 1812 01:08:14,001 --> 01:08:16,000 GOOD, SOLID LOANS THAT ARE SUPPORTABLE." 1813 01:08:16,001 --> 01:08:17,000 IN TEXAS, RICHARD FISHER, THE 1814 01:08:17,001 --> 01:08:19,000 PRESIDENT OF THE DALLAS FEDERAL 1815 01:08:19,001 --> 01:08:21,000 RESERVE BANK, SAID -- "THE 1816 01:08:21,001 --> 01:08:24,000 PROVISION IN THE BILL WOULD 1817 01:08:24,001 --> 01:08:26,000 LEAVE THE DALLAS JURISDICTION -- FEDERAL RESERVE 1818 01:08:26,001 --> 01:08:29,000 JURISDICTION WITH ONLY ONE OR 1819 01:08:29,001 --> 01:08:32,000 TWO BANK HOLDING COMPANI, DOWN 1820 01:08:32,001 --> 01:08:33,000 FROM 36 MEMBER BANKS OR 1821 01:08:33,001 --> 01:08:36,000 OR $74 BILLION IN ASSETS THAT HE 1822 01:08:36,001 --> 01:08:37,000 NOW HAS SUPERVISORY AUTHORITY 1823 01:08:37,001 --> 01:08:38,000 OVER. 1824 01:08:38,001 --> 01:08:40,000 THE FED SHOULD KNOW THE NEEDS 1825 01:08:40,001 --> 01:08:42,000 AND THE ECONOMIC CONDITIONS 1826 01:08:42,001 --> 01:08:45,000 THROUGHOUT THE COUNTRY, NOT JUST 1827 01:08:45,001 --> 01:08:48,000 NEW YORK 1828 01:08:48,001 --> 01:08:50,000 IT IS PRECISELY THE ABILITY TO 1829 01:08:50,001 --> 01:08:52,000 FOSTER BOTTOM-UP GROWTH THROUGH 1830 01:08:52,001 --> 01:08:55,000 SMALL BUSINESSES THAT SETS 1831 01:08:55,001 --> 01:08:57,000 COMMUNITY BANKS APART FROM OTHER 1832 01:08:57,001 --> 01:09:00,000 FINANCIAL INSTITUTIONS. 1833 01:09:00,001 --> 01:09:02,000 UNLIKE THE BIG FINANCIAL 1834 01:09:02,001 --> 01:09:04,000 INSTITUTIONS, WE SEE IN THE 1835 01:09:04,001 --> 01:09:06,000 HEADLINES BAILOUTS AND BONUSES, 1836 01:09:06,001 --> 01:09:08,000 COMMUNITY BANKS DON'T HAVE A 1837 01:09:08,001 --> 01:09:10,000 SYSTEMIC RISK TO OUR FINANCIAL 1838 01:09:10,001 --> 01:09:11,000 SYSTEM, AND THEY ARE NOT 1839 01:09:11,001 --> 01:09:14,000 IDENTIFIED AS PRIMARY 1840 01:09:14,001 --> 01:09:15,000 CONTRIBUTORS TO OUR LATEST 1841 01:09:15,001 --> 01:09:17,000 CRISIS. 1842 01:09:17,001 --> 01:09:19,000 HOWEVER, COMMUNITY BANKS WOULD 1843 01:09:19,001 --> 01:09:22,000 SOON BE SUBJECTED TO A 1844 01:09:22,001 --> 01:09:23,000 CONSIDERABLE AMOUNT OF NEW COSTS 1845 01:09:23,001 --> 01:09:26,000 AND REGULATORY BURDENS AS A 1846 01:09:26,001 --> 01:09:29,000 RESULT OF THIS LEGISLATION. 1847 01:09:29,001 --> 01:09:30,000 COMMUNITY BANKS ARE ALREADY 1848 01:09:30,001 --> 01:09:32,000 REGULATED. 1849 01:09:32,001 --> 01:09:35,000 THEY ARE WELL REGULATED. 1850 01:09:35,001 --> 01:09:37,000 ADDING ADDITIONAL LAYERS OF 1851 01:09:37,001 --> 01:09:38,000 FEDERAL BUREAUCRACY WITH 1852 01:09:38,001 --> 01:09:39,000 LIMITLESS AUTHORITY WOULD ONLY 1853 01:09:39,001 --> 01:09:41,000 BE A BURDEN THAT WOULD ONLY 1854 01:09:41,001 --> 01:09:44,000 SERVE TO HAMPER THE ABILITY OF 1855 01:09:44,001 --> 01:09:46,000 COMMUNITY BANKS TO EFFECTIVELY 1856 01:09:46,001 --> 01:09:48,000 PROVIDE DEPOSITORY AND LENDING 1857 01:09:48,001 --> 01:09:49,000 SERVICES TO AMERICA'S CONSUMERS 1858 01:09:49,001 --> 01:09:51,000 AND SMALL BUSINESSES. 1859 01:09:51,001 --> 01:09:54,000 COMMUNITY BANKS SHOULD NOT BE 1860 01:09:54,001 --> 01:09:57,000 PUNISHED AS A RESULT OF THIS LEGISLATION. 1861 01:09:57,001 --> 01:10:01,000 WE SHOULD PRESERVE AND ENHANCE 1862 01:10:01,001 --> 01:10:02,000 OUR DUAL BANKING SYSTEM, NOT 1863 01:10:02,001 --> 01:10:04,000 IMPOSE ADDITIONAL FEDERAL 1864 01:10:04,001 --> 01:10:06,000 REGULATIONS THAT STIFLE THEIR 1865 01:10:06,001 --> 01:10:07,000 ABILITY TO SERVE THEIR 1866 01:10:07,001 --> 01:10:09,000 COMMUNITIES. 1867 01:10:09,001 --> 01:10:12,000 MR. PRESIDENT, I'M ALSO 1868 01:10:12,001 --> 01:10:15,000 CONCERNED ABOUT THE DIRECTION OF 1869 01:10:15,001 --> 01:10:16,000 THE REGULATION OF OVER THE 1870 01:10:16,001 --> 01:10:17,000 COUNTER DERIVATIVES. 1871 01:10:17,001 --> 01:10:19,000 INHE WAKE OF THE COLPSE OF 1872 01:10:19,001 --> 01:10:21,000 THE MORTGAGE MARKET WHERE THE 1873 01:10:21,001 --> 01:10:22,000 USE OF DERIVATIVES AND EVEN 1874 01:10:22,001 --> 01:10:25,000 DERIVATIVES OF DERIVATIVES 1875 01:10:25,001 --> 01:10:26,000 HELPED CAUSE GREAT LOSSES TO 1876 01:10:26,001 --> 01:10:29,000 BANKS AND NEARLY BROUGHT OUR 1877 01:10:29,001 --> 01:10:30,000 ECONOMY TO ITS KNEES, IT IS 1878 01:10:30,001 --> 01:10:32,000 IMPORTANT THAT FEDERAL 1879 01:10:32,001 --> 01:10:34,000 REGULATORS HAVE A GREATER 1880 01:10:34,001 --> 01:10:36,000 UNDERSTANDING OF THIS 1881 01:10:36,001 --> 01:10:39,000 DERIVATIVES MARKET. 1882 01:10:39,001 --> 01:10:42,000 WE HAVE MEMBERS ON BOTH SIDES OF 1883 01:10:42,001 --> 01:10:45,000 THE AISLE WHO ARE NEGOTIATING 1884 01:10:45,001 --> 01:10:46,000 THESE TERMS. 1885 01:10:46,001 --> 01:10:47,000 REPUBLICANS AND DEMOCRATS HAVE 1886 01:10:47,001 --> 01:10:48,000 THE SAME GOAL. 1887 01:10:48,001 --> 01:10:51,000 WE WANT TO END TOO BIG TO FAIL. 1888 01:10:51,001 --> 01:10:53,000 WE WANT TO END BAILOUTS. 1889 01:10:53,001 --> 01:10:55,000 WE WANT TO ASSURE THAT OUR 1890 01:10:55,001 --> 01:10:58,000 COMMUNITY BANKS STILL HAVE THE 1891 01:10:58,001 --> 01:10:59,000 CAPABILITY TO SERVE MAIN STREET 1892 01:10:59,001 --> 01:11:02,000 CUSTOMERS. 1893 01:11:02,001 --> 01:11:03,000 THE BILL BEFORE US THAT IS NOT 1894 01:11:03,001 --> 01:11:06,000 BEING BROUGHT TO THE FLOOR 1895 01:11:06,001 --> 01:11:08,000 BECAUSE IT DID NOT HAVE ANY 1896 01:11:08,001 --> 01:11:11,000 INPUT FROM THE REPUBCAN SIDE 1897 01:11:11,001 --> 01:11:14,000 DOES NOT ACHIEVE THOSE GOALS. 1898 01:11:14,001 --> 01:11:16,000 SO, MR. PRESIDENT, WE ARE NOW 1899 01:11:16,001 --> 01:11:18,000 MEETING IN SMALL GROUPS. 1900 01:11:18,001 --> 01:11:19,000 WE ARE MEETING WITH THE 1901 01:11:19,001 --> 01:11:20,000 SECRETARY OF THE TREASURY AND 1902 01:11:20,001 --> 01:11:22,000 OTHERS IN THE ADMINISTRATION TO 1903 01:11:22,001 --> 01:11:25,000 TRY TO COME TO TERMS THAT WOULD 1904 01:11:25,001 --> 01:11:27,000 DO THE RIGHT THING AND MEET THE 1905 01:11:27,001 --> 01:11:28,000 GOAL THAT WE ALL AGREE IS THE 1906 01:11:28,001 --> 01:11:30,000 GOAL. 1907 01:11:30,001 --> 01:11:32,000 THAT IS WHAT IS GOING ON RIGHT 1908 01:11:32,001 --> 01:11:34,000 NOW IN THE UNITED STATES SENATE. 1909 01:11:34,001 --> 01:11:36,000 IT IS MYREAT HOPE -- AND I SEE 1910 01:11:36,001 --> 01:11:39,000 MY COLLEAGUE FROM TENNESSEE WHO 1911 01:11:39,001 --> 01:11:41,000 IS ALSO ON THE BANKING COMMITTEE 1912 01:11:41,001 --> 01:11:42,000 WITH ME, AND HE, TOO, IS A PART 1913 01:11:42,001 --> 01:11:46,000 OF THE NEGOTIATIONS THAT WANTS 1914 01:11:46,001 --> 01:11:48,000 TO BRING THIS BILL TO THE FLOOR. 1915 01:11:48,001 --> 01:11:49,000 WE CAN DO SOMETHING GOOD FOR OUR 1916 01:11:49,001 --> 01:11:51,000 ECONOMY. 1917 01:11:51,001 --> 01:11:53,000 PASSING THE BILL AND LETTING IT 1918 01:11:53,001 --> 01:11:55,000 COME TO THE FLOOR AND ROLL OUT 1919 01:11:55,001 --> 01:11:57,000 OF HERE IN ITS PRESENT FORM 1920 01:11:57,001 --> 01:11:59,000 WOULD NOT ACHIEVE THAT OBJECTIVE. 1921 01:11:59,001 --> 01:12:01,000 SO I WELCOME MY COLLEAGUE FROM 1922 01:12:01,001 --> 01:12:03,000 TENNESSEE WHO HAS BEEN A MAJOR 1923 01:12:03,001 --> 01:12:06,000 PLAYER IN THIS DEBATE. 1924 01:12:06,001 --> 01:12:09,000 HE HAS BEEN A MAJOR REASON THAT 1925 01:12:09,001 --> 01:12:12,000 WE ARE COMING TO A POINT AT 1926 01:12:12,001 --> 01:12:13,000 WHICH I THINK WE CAN HAVE A 1927 01:12:13,001 --> 01:12:17,000 SUCCESSFUL BIPARTISAN BILL. 1928 01:12:17,001 --> 01:12:18,000 I WILL SAY THAT OUR CHAIRMAN AND 1929 01:12:18,001 --> 01:12:21,000 RANKING MEMBERS CHAIRMAN DODD 1930 01:12:21,001 --> 01:12:22,000 AND SENATOR SHELBY HAVE BEEN 1931 01:12:22,001 --> 01:12:24,000 MEETING FOR WEEKS TO TRY TO COME 1932 01:12:24,001 --> 01:12:26,000 TO THESE TERMS, SO I THINK 1933 01:12:26,001 --> 01:12:31,000 EVERYONE IS SINCERE AT THIS 1934 01:12:31,001 --> 01:12:32,000 POINT THAT WE WANT A BIPARTISAN BILL. 1935 01:12:32,001 --> 01:12:33,000 FINANCIAL REGULATION IS NOT 1936 01:12:33,001 --> 01:12:35,000 POLITICAL. 1937 01:12:35,001 --> 01:12:38,000 THE CONSEQUENCES OF PASSING A 1938 01:12:38,001 --> 01:12:40,000 BAD BILL ARE HUGE FOR OUR 1939 01:12:40,001 --> 01:12:43,000 COUNTRY, FOR EVERY AMERICAN. 1940 01:12:43,001 --> 01:12:45,000 WE CAN DO THIS. 1941 01:12:45,001 --> 01:12:47,000 SO, MR. PRESIDENT, I WELCOME THE 1942 01:12:47,001 --> 01:12:49,000 COMMENTS FROM MY COLLEAGUE FROM 1943 01:12:49,001 --> 01:12:50,000 TENNESSEE AND LOOK FORWARD TO 1944 01:12:50,001 --> 01:12:53,000 HIS LEADERSHIP CONTINUING SO 1945 01:12:53,001 --> 01:12:57,000 THAT WE CAN HAVE A BILL THAT 1946 01:12:57,001 --> 01:12:59,000 WILL HELP THE CONSUMERS IN OUR 1947 01:12:59,001 --> 01:13:01,000 COUNTRY, THAT WILL STABILIZE OUR 1948 01:13:01,001 --> 01:13:03,000 ECONOMY AND MOST OF ALL WILL 1949 01:13:03,001 --> 01:13:05,000 BRING THAT UNEMPLOYMENT RATE 1950 01:13:05,001 --> 01:13:06,000 DOWN FROM 10% SO THAT MORE 1951 01:13:06,001 --> 01:13:10,000 AMERICANS CAN GO TO WORK. 1952 01:13:10,001 --> 01:13:11,000 THANK YOU, 1953 01:13:11,001 --> 01:13:12,000 MR. CORKER: MR. PRESIDENT? 1954 01:13:12,001 --> 01:13:13,000 THE PRESIDING OFFICER: THE SENATOR FROM TENNESSEE IS 1955 01:13:13,001 --> 01:13:15,000 RECOGNIZED. 1956 01:13:15,001 --> 01:13:16,000 MR. CORKER: TYPICALLY WHEN I 1957 01:13:16,001 --> 01:13:17,000 COME TO THE FLOOR AND IT'S TIME 1958 01:13:17,001 --> 01:13:19,000 TO SPEAK, YOU DON'T LIKE TO WAIT 1959 01:13:19,001 --> 01:13:21,000 FOR ANOTHER SENATOR TO SPEAK, 1960 01:13:21,001 --> 01:13:22,000 YOU WANT TO SPEAK AND GO BACK, 1961 01:13:22,001 --> 01:13:23,000 BUT I'M SO GLAD TODAY TO HAVE 1962 01:13:23,001 --> 01:13:24,000 THE OPPORTUNITY TO HEAR THE 1963 01:13:24,001 --> 01:13:26,000 SENATOR FROM TEXAS. 1964 01:13:26,001 --> 01:13:28,000 I WANT TO SAY THAT BOTH OF THE 1965 01:13:28,001 --> 01:13:30,000 FEDERAL RESERVE LEADERS, BOTH IN 1966 01:13:30,001 --> 01:13:32,000 KANSAS CITY AND DALLAS, I THINK 1967 01:13:32,001 --> 01:13:34,000 HAVE ADDED TREMENDOUSLY TO THIS 1968 01:13:34,001 --> 01:13:37,000 DEBATE AND NO ONE HAS BEEN A 1969 01:13:37,001 --> 01:13:38,000 MORE -- MORE OF A SUPPORTER -- 1970 01:13:38,001 --> 01:13:41,000 SUPPORTER FOR COMMUNITY BANKS 1971 01:13:41,001 --> 01:13:44,000 THAN THE SENAT FROM TEXAS. 1972 01:13:44,001 --> 01:13:47,000 EVERYTHING YOU SAID, SENATOR, 1973 01:13:47,001 --> 01:13:49,000 REGARDING THE FED KEEPING 1974 01:13:49,001 --> 01:13:50,000 COMMUNITY BANKS, I COULD NOT 1975 01:13:50,001 --> 01:13:51,000 AGREE MORE WITH. 1976 01:13:51,001 --> 01:13:52,000 MY SENSE IS THAT BY THE TIME THE 1977 01:13:52,001 --> 01:13:55,000 BILL COMES TO THE FLOOR, IT WILL 1978 01:13:55,001 --> 01:13:58,000 EITHER HAVE THAT IN IT OR LET ME 1979 01:13:58,001 --> 01:13:59,000 JUST SAY TO YOU RIGHT NOW I WILL 1980 01:13:59,001 --> 01:14:00,000 COSPONSOR THE LEGISLATION OR THE 1981 01:14:00,001 --> 01:14:02,000 AMENDMENT THAT YOU BRING FORTH 1982 01:14:02,001 --> 01:14:04,000 BECAUSE I THINK YOU'RE 1983 01:14:04,001 --> 01:14:07,000 ABSOLUTELY RIGHT THAT THE 1984 01:14:07,001 --> 01:14:12,000 FEDERAL RESERVE SHOULD KEEP THE 1985 01:14:12,001 --> 01:14:13,000 SMALLER 1986 01:14:13,001 --> 01:14:15,000 MEMBERS, AND THE FACT IS THAT 1987 01:14:15,001 --> 01:14:16,000 THIS REARRANGING THE DECK CHAIRS 1988 01:14:16,001 --> 01:14:18,000 SERVES NO PURPOSE. 1989 01:14:18,001 --> 01:14:19,000 SO I COULD NOT AGREE WITH YOU MORE. 1990 01:14:19,001 --> 01:14:20,000 I ALSO AGREE WITH YOU REGARDING 1991 01:14:20,001 --> 01:14:22,000 THE DIVATIVES, WHICH LEADS 1992 01:14:22,001 --> 01:14:24,000 IN -- I NOTICE YOU HAVE THE MICROPHONE. 1993 01:14:24,001 --> 01:14:25,000 IF YOU WANT TO MAKE A COMMENT. 1994 01:14:25,001 --> 01:14:27,000 I'M GOING TO LEAD INTO COMMENTS 1995 01:14:27,001 --> 01:14:28,000 BASED DERIVATIVES. 1996 01:14:28,001 --> 01:14:30,000 BUT, MR. PRESIDE, IF IT'S 1997 01:14:30,001 --> 01:14:31,000 OKAY, I WOULD LIKE THE SENATOR 1998 01:14:31,001 --> 01:14:32,000 FROM TEXAS TO BE ABLE TO 1999 01:14:32,001 --> 01:14:33,000 RESPOND. 2000 01:14:33,001 --> 01:14:35,000 MRS. HUTCHISON: WELL, 2001 01:14:35,001 --> 01:14:36,000 MR. PRESIDENT, I APPRECIATE THE 2002 01:14:36,001 --> 01:14:39,000 SENATOR FROM TENNESSEE'S REMARKS 2003 01:14:39,001 --> 01:14:42,000 BECAUSE IHINK 2004 01:14:42,001 --> 01:14:43,000 COURSE, -- I WELCOME YOUR 2005 01:14:43,001 --> 01:14:44,000 COSPONSORSHIP OF THE AMENDMENT. 2006 01:14:44,001 --> 01:14:46,000 IT IS ESSENTIAL. 2007 01:14:46,001 --> 01:14:50,000 I COULDN'T SUPPORT 2008 01:14:50,001 --> 01:14:52,000 IF WE SHOULD THE -- SHUT THE FED 2009 01:14:52,001 --> 01:14:53,000 OFF FROM TEXAS AND TENNESSEE AND 2010 01:14:53,001 --> 01:14:54,000 CALIFORNIA BY JUST SAYING THAT 2011 01:14:54,001 --> 01:14:56,000 THE TOP 50 BANK HOLDING 2012 01:14:56,001 --> 01:14:58,000 COMPANIES ARE THEYSTEMIC RISK, 2013 01:14:58,001 --> 01:14:59,000 THEN WE MIGHT AS WELL ALL MOVE 2014 01:14:59,001 --> 01:15:00,000 TO NEW YORK. 2015 01:15:00,001 --> 01:15:01,000 WELL, NEW YORK DOESN'T WANT ANY 2016 01:15:01,001 --> 01:15:04,000 MORE PEOPLE, I'M SURE. 2017 01:15:04,001 --> 01:15:06,000 THEY ARE WELL POPULATED. 2018 01:15:06,001 --> 01:15:08,000 BUT MOST OF ALL, I WANT TO MAKE 2019 01:15:08,001 --> 01:15:09,000 SURE THAT THE MAIN STREET 2020 01:15:09,001 --> 01:15:11,000 BANKERS AND THE SMALL BUSINESSES 2021 01:15:11,001 --> 01:15:13,000 OF ALL OF 2022 01:15:13,001 --> 01:15:15,000 TO THE FED, AND 2023 01:15:15,001 --> 01:15:19,000 KNOWN TO THE FED, OF COURSE, AS 2024 01:15:19,001 --> 01:15:20,000 YOU KNOW IS THAT THEIR LOCAL FED 2025 01:15:20,001 --> 01:15:23,000 BANKS KNOW THEIR ISSUES, KNOW 2026 01:15:23,001 --> 01:15:25,000 THEIR PROBLEMS, KNOW THEIR NEEDS 2027 01:15:25,001 --> 01:15:27,000 BECAUSE THEY HAVE THE ABILITY TO 2028 01:15:27,001 --> 01:15:29,000 SERVE THOSE BANKS, WHICH IS NOT 2029 01:15:29,001 --> 01:15:30,000 ALLOWED IN THE BILL BEFORE US. 2030 01:15:30,001 --> 01:15:31,000 SO THANK YOU FOR YOUR 2031 01:15:31,001 --> 01:15:33,000 LEADERSHIP, SENATOR CORKER, AND 2032 01:15:33,001 --> 01:15:35,000 I WILL LOOK FORWARD TO COMING 2033 01:15:35,001 --> 01:15:37,000 TO, I HOPE, A RESULT THAT WE CAN 2034 01:15:37,001 --> 01:15:38,000 ALL BE PROUD TO SUPPORT. 2035 01:15:38,001 --> 01:15:40,000 MR. CORKER: WHICH BRINGS ME 2036 01:15:40,001 --> 01:15:42,000 RIGHT BACK TO WHERE I WANT TO BE. 2037 01:15:42,001 --> 01:15:43,000 THANK YOU, SENATOR. 2038 01:15:43,001 --> 01:15:44,000 THE FACT IS THAT THERE IS A LOT 2039 01:15:44,001 --> 01:15:45,000 OF PEOPLE COMING DOWTO THE 2040 01:15:45,001 --> 01:15:47,000 FLOOR, THERE ARE A LOT OF THINGS 2041 01:15:47,001 --> 01:15:48,000 BE 2042 01:15:48,001 --> 01:15:49,000 FIRST OF ALL, I THINK WE'RE 2043 01:15:49,001 --> 01:15:51,000 GOING TO END UP WITH A 2044 01:15:51,001 --> 01:15:52,000 BIPARTISAN BILL. 2045 01:15:52,001 --> 01:15:54,000 I THINK WE'RE GOING TO END UP 2046 01:15:54,001 --> 01:15:56,000 WITH A BIPARTISAN BILL BEFORE 2047 01:15:56,001 --> 01:15:58,000 THE ACTUAL VOTE TO NOTICE TO 2048 01:15:58,001 --> 01:15:59,000 PROCEED TAKES PLACE. 2049 01:15:59,001 --> 01:16:00,000 I BELIEVE THAT'S BEING LED BY 2050 01:16:00,001 --> 01:16:01,000 CERTAINLY SENATOR DODD AND 2051 01:16:01,001 --> 01:16:03,000 SENATOR SHELBY. 2052 01:16:03,001 --> 01:16:05,000 THEY ARE THE POINT PEOPLE. 2053 01:16:05,001 --> 01:16:08,000 YOU CAN'T HAVE EIGHT NEGOTIATORS. 2054 01:16:08,001 --> 01:16:10,000 BUT I BELIEVE THAT'S WHERE WE'RE HEADED. 2055 01:16:10,001 --> 01:16:12,000 SO WHEN I HEAR A LOT OF THE 2056 01:16:12,001 --> 01:16:14,000 RHETORIC ON THE FLOOR AND OTHER 2057 01:16:14,001 --> 01:16:15,000 PLACES, YOU KNOW, I THINK IT'S 2058 01:16:15,001 --> 01:16:16,000 JUST RHETORIC. 2059 01:16:16,001 --> 01:16:18,000 I THINK AT THE END OF THE DAY, 2060 01:16:18,001 --> 01:16:20,000 WE'RE GOING TO END UP WITH 2061 01:16:20,001 --> 01:16:22,000 REALLY SOLID BIPARTISAN BILL. 2062 01:16:22,001 --> 01:16:24,000 I HOPE IT'S ONE THAT I CAN SUPPORT. 2063 01:16:24,001 --> 01:16:26,000 OBVIOUSLY, I'M GIVING INPUT INTO 2064 01:16:26,001 --> 01:16:27,000 THAT, BUT THAT'S WHERE I HOPE WE 2065 01:16:27,001 --> 01:16:29,000 END UP. 2066 01:16:29,001 --> 01:16:31,000 WHICH LEADS ME TO THIS. 2067 01:16:31,001 --> 01:16:33,000 THERE HAVE BEEN FOLKS THAT HAVE 2068 01:16:33,001 --> 01:16:35,000 COME DOWN TO THE FLOOR TALKING 2069 01:16:35,001 --> 01:16:37,000 ABOUT -- ABOUT US SUPPORTING 2070 01:16:37,001 --> 01:16:40,000 WALL STREET, REPUBLICANS 2071 01:16:40,001 --> 01:16:42,000 SUPPORTING WALL STREET BY NOT 2072 01:16:42,001 --> 01:16:44,000 SUPPORTING THE DODD BILL IN ITS 2073 01:16:44,001 --> 01:16:46,000 PRESENT FORM. 2074 01:16:46,001 --> 01:16:47,000 THAT'S JUST RIDICULOUS. 2075 01:16:47,001 --> 01:16:49,000 WHAT'S HAPPENING -- AND SOME 2076 01:16:49,001 --> 01:16:52,000 REPORTER I THINK MENTIONED -- 2077 01:16:52,001 --> 01:16:54,000 MADE COMMENTS YESTERDAY AT LUNCH 2078 01:16:54,001 --> 01:16:55,000 TO REPUBLICANS AND SLAMMED THE 2079 01:16:55,001 --> 01:16:56,000 DODD BILL. 2080 01:16:56,001 --> 01:16:58,000 THAT'S NOT TRUE. 2081 01:16:58,001 --> 01:16:59,000 I WAS VERY EMPHATIC ABOUT TWO 2082 01:16:59,001 --> 01:17:00,000 THINGS. 2083 01:17:00,001 --> 01:17:01,000 NUMBER ONE, REPUBLICANS ARE NOT 2084 01:17:01,001 --> 01:17:03,000 REPRESENTING WALL STREET. 2085 01:17:03,001 --> 01:17:05,000 CANDIDLY, WHEN I LOOK AT THIS 2086 01:17:05,001 --> 01:17:06,000 BILL -- AND I BET MY FRIEND FROM 2087 01:17:06,001 --> 01:17:07,000 DELAWARE WILL ACTUALLY AGREE 2088 01:17:07,001 --> 01:17:09,000 WITH THIS -- THERE IS NOT MUCH 2089 01:17:09,001 --> 01:17:11,000 IN THISILL THAT IS VERY 2090 01:17:11,001 --> 01:17:12,000 OFFENSIVE TO WALL STREET, TO BE 2091 01:17:12,001 --> 01:17:14,000 CANDID. 2092 01:17:14,001 --> 01:17:16,000 I MEAN, THIS BILL, YOU KNOW, 2093 01:17:16,001 --> 01:17:20,000 FOCUSES ON THREE TOPICS. 2094 01:17:20,001 --> 01:17:22,000 WHAT I HAVE SAID TO MY 2095 01:17:22,001 --> 01:17:23,000 COLLEAGUES IS THIS -- IS THAT 2096 01:17:23,001 --> 01:17:25,000 WHENEVER WE HAVE REGULATION, THE 2097 01:17:25,001 --> 01:17:26,000 BIG GUYS GET BIGGER, RIGHT? 2098 01:17:26,001 --> 01:17:29,000 AND THE SMALL GUYS ARE THE ONES 2099 01:17:29,001 --> 01:17:31,000 THAT END UP BEARING THE BRUNT OF REGULATION. 2100 01:17:31,001 --> 01:17:32,000 WHAT WE ALL ARE TRYING TO DO, AS 2101 01:17:32,001 --> 01:17:34,000 SENATOR HUTCHISON JUST LAID OUT 2102 01:17:34,001 --> 01:17:36,000 ON OUR SIDE OF THE AISLE, IS TO 2103 01:17:36,001 --> 01:17:37,000 MAKE SURE THAT THIS LEGISLATION 2104 01:17:37,001 --> 01:17:39,000 DEALS APPROPRIATELY WITH 2105 01:17:39,001 --> 01:17:41,000 COMMUNITY BANKERS AND 2106 01:17:41,001 --> 01:17:42,000 MANUFACTURERS IN IOWA AND TEXAS 2107 01:17:42,001 --> 01:17:43,000 AND OTHER PLACES. 2108 01:17:43,001 --> 01:17:45,000 THE FACT IS THAT THERE ARE SOME 2109 01:17:45,001 --> 01:17:47,000 ISSUES WITH THIS BILL THAT WE 2110 01:17:47,001 --> 01:17:50,000 NEED TO WORK OUT, BUT CANDIDLY 2111 01:17:50,001 --> 01:17:51,000 TO SAY THAT REPUBLICANS ARE 2112 01:17:51,001 --> 01:17:53,000 REPRESENTING WALL STREET 2113 01:17:53,001 --> 01:17:54,000 COULDN'T BE FURTHER FROM THE TRUTH. 2114 01:17:54,001 --> 01:17:56,000 THERE IS JUST NOT MUCH IN THIS 2115 01:17:56,001 --> 01:17:58,000 BILL THAT'S VERY OFFENSIVE TO BE 2116 01:17:58,001 --> 01:18:00,000 WALL STREET, TO BE CANDID. 2117 01:18:00,001 --> 01:18:02,000 I'M NOT SAYING THAT WE SHOULD GO 2118 01:18:02,001 --> 01:18:03,000 OUT OF OUR WAY TO BE OFFENSIVE, 2119 01:18:03,001 --> 01:18:05,000 BUT I THINK ANYBODY LOOKING AT 2120 01:18:05,001 --> 01:18:07,000 WHAT THIS BILL SAYS WOULD KNOW 2121 01:18:07,001 --> 01:18:11,000 THAT THERE'S NOT MUCH IN THIS 2122 01:18:11,001 --> 01:18:12,000 BILL THAT'S THAT OFFENSIVE. 2123 01:18:12,001 --> 01:18:13,000 THE FACT IS WE'RE PUTTING 2124 01:18:13,001 --> 01:18:14,000 DERIVATIVES ON CLEARINGHOUSES, 2125 01:18:14,001 --> 01:18:15,000 WHICH I HOPE HAPPENS. 2126 01:18:15,001 --> 01:18:17,000 I THINK THAT'S A GOOD THING. 2127 01:18:17,001 --> 01:18:19,000 I THINK WE NEED TO GET AS MUCH 2128 01:18:19,001 --> 01:18:20,000 OF THAT DONE AS POSSIBLE, WHERE 2129 01:18:20,001 --> 01:18:22,000 IF SOMEBODY'S MONEY BAD, THEY 2130 01:18:22,001 --> 01:18:23,000 HAVE TO PUT MONEY UP THAT DAY. 2131 01:18:23,001 --> 01:18:24,000 IT ALLEVIATES SOME OF THE 2132 01:18:24,001 --> 01:18:26,000 SYSTEMIC RISK. 2133 01:18:26,001 --> 01:18:27,000 WE -- WE DEAL WITH RESOLVING A 2134 01:18:27,001 --> 01:18:29,000 FIRM THAT FAILS. 2135 01:18:29,001 --> 01:18:31,000 I THINK THAT'S AN APPROPRIATE THING TO DO. 2136 01:18:31,001 --> 01:18:32,000 AND HOPEFULLY WE'LL GET CONSUMER 2137 01:18:32,001 --> 01:18:36,000 PROTECTION BACK IN THE MIDDLE OF THE ROAD. 2138 01:18:36,001 --> 01:18:37,000 BY THE WAY, THAT'S A SECTION OF 2139 01:18:37,001 --> 01:18:39,000 THIS BILL THAT IF IT'S NOT 2140 01:18:39,001 --> 01:18:41,000 HANDLED PROPERLY, IT WON'T 2141 01:18:41,001 --> 01:18:43,000 AFFECT THE J.P. MORGANS AND THE 2142 01:18:43,001 --> 01:18:44,000 CITIGROUPS AND THE BANK OF AMERICAS. 2143 01:18:44,001 --> 01:18:45,000 WHAT IT WILL DO IS AFFECT 2144 01:18:45,001 --> 01:18:46,000 COMMUNITY BANKERS. 2145 01:18:46,001 --> 01:18:48,000 SO ALL WE'RE TRYING TO DO ON OUR 2146 01:18:48,001 --> 01:18:51,000 SIDE OF THE AISLE -- AND THIS IS 2147 01:18:51,001 --> 01:18:53,000 WHAT I WAS VERY EMPHATIC ABOUT 2148 01:18:53,001 --> 01:18:54,000 YESTERDAY -- IS WE'RE TRYING TO 2149 01:18:54,001 --> 01:18:55,000 MAKE SURE THAT THIS BILL IS IN 2150 01:18:55,001 --> 01:18:57,000 BALANCE. 2151 01:18:57,001 --> 01:18:58,000 AND I THINK WE CAN DO THAT. 2152 01:18:58,001 --> 01:19:00,000 BUT, LOOK, THERE'S NOT MUCH IN 2153 01:19:00,001 --> 01:19:01,000 THIS BILL THAT'S PARTICULARLY 2154 01:19:01,001 --> 01:19:03,000 OFFENSIVE TO WALL STREET, AND TO 2155 01:19:03,001 --> 01:19:04,000 SAY THAT THOSE OF US WHO WANT TO 2156 01:19:04,001 --> 01:19:06,000 GET IT RIGHT FOR EVERYBODY ELSE 2157 01:19:06,001 --> 01:19:07,000 IN THE COUNTRY ARE DEFENDING 2158 01:19:07,001 --> 01:19:08,000 WALL STREET IS JUST WAY OFF THE 2159 01:19:08,001 --> 01:19:09,000 MARK. 2160 01:19:09,001 --> 01:19:11,000 JUST NOT TRUE. 2161 01:19:11,001 --> 01:19:12,000 THE SECOND THING I WOULD SAY IS, 2162 01:19:12,001 --> 01:19:14,000 THERE ARE MANY THINGS IN THIS 2163 01:19:14,001 --> 01:19:15,000 BILL THAT ARE GOOD. 2164 01:19:15,001 --> 01:19:16,000 THERE'S SOME THINGS THAT AREN'T 2165 01:19:16,001 --> 01:19:18,000 SO GOOD THAT I THINK ARE BEING 2166 01:19:18,001 --> 01:19:19,000 WORKED OUT RIGHT NOW. 2167 01:19:19,001 --> 01:19:21,000 AND THAT'S TYPICALLY WHAT 2168 01:19:21,001 --> 01:19:23,000 HAPPENS WHEN WE HAVE A BIPARTISAN DISCUSSION. 2169 01:19:23,001 --> 01:19:25,000 WE -- YOU KNOW, EACH SIDE BRINGS 2170 01:19:25,001 --> 01:19:28,000 THEIR PARTICULAR STRENGTHS TO A BILL, RIGHT? 2171 01:19:28,001 --> 01:19:30,000 I MEAN, WE ALL REPRESENT SORT OF 2172 01:19:30,001 --> 01:19:31,000 DIFFERENT POINTS OF VIEW AND 2173 01:19:31,001 --> 01:19:32,000 WHEN WE WORK TOGETHER, WE END UP 2174 01:19:32,001 --> 01:19:35,000 WITH A GOOD BILL. 2175 01:19:35,001 --> 01:19:37,000 BUT ONE OF THE THINGS THAT DOES 2176 01:19:37,001 --> 01:19:38,000 TROUBLE ME, AND I WAS VERY 2177 01:19:38,001 --> 01:19:39,000 EMPHATIC YESTEAY ABOUT THIS, 2178 01:19:39,001 --> 01:19:40,000 IS -- AND AGAIN TODAY AND 2179 01:19:40,001 --> 01:19:43,000 TOMORROWND HAVE BEEN FOR A 2180 01:19:43,001 --> 01:19:44,000 LONG TIME -- IS THIS BILL 2181 01:19:44,001 --> 01:19:45,000 DOESN'T EVEN DEAL WITH 2182 01:19:45,001 --> 01:19:47,000 UNDERWRITING. 2183 01:19:47,001 --> 01:19:49,000 I MEAN, AT THE END OF THE DAY, 2184 01:19:49,001 --> 01:19:51,000 AT THE END OF THE DAY AT THE 2185 01:19:51,001 --> 01:19:54,000 BOTTOM OF THIS UPSIDE-DOWN 2186 01:19:54,001 --> 01:19:55,000 PYRAMID, THE CRISIS BEGAN 2187 01:19:55,001 --> 01:19:56,000 BECAUSE WE HAD A LOT OF 2188 01:19:56,001 --> 01:19:57,000 MORTGAGES IN THIS COUNTRY THAT 2189 01:19:57,001 --> 01:19:59,000 SHOULD HAVE NEVER BEEN WRITTEN 2190 01:19:59,001 --> 01:20:00,000 IN THE FIRST PLACE. 2191 01:20:00,001 --> 01:20:03,000 THAT'S AT THE CORE OF THIS ISSUE. 2192 01:20:03,001 --> 01:20:04,000 AND THEN WE HAD FIRMS THAT WERE 2193 01:20:04,001 --> 01:20:05,000 WAY OVERLEVERAGED THAT WERE 2194 01:20:05,001 --> 01:20:07,000 DOING THAT. 2195 01:20:07,001 --> 01:20:08,000 AND THEN WE SPREAD THE PAIN 2196 01:20:08,001 --> 01:20:10,000 THROUGH $600 TRILLION IN 2197 01:20:10,001 --> 01:20:11,000 NOTIONAL VALUE AROUND THE WORLD. 2198 01:20:11,001 --> 01:20:12,000 RIGHT? 2199 01:20:12,001 --> 01:20:17,000 BUT IT STARTED WITH THE FACT 2200 01:20:17,001 --> 01:20:18,000 THAT A LOT OF LOANS WERE WRITTEN 2201 01:20:18,001 --> 01:20:19,000 THAT SHOULDN'T HAVE BEEN 2202 01:20:19,001 --> 01:20:20,000 WRITTEN, AND I DON'T THINK THIS 2203 01:20:20,001 --> 01:20:21,000 BILL EVEN ADDRESSES THAT. 2204 01:20:21,001 --> 01:20:23,000 SO I THINK THAT'S A LITTLE BIT 2205 01:20:23,001 --> 01:20:24,000 OF AN ISSUE. 2206 01:20:24,001 --> 01:20:27,000 AND, YOU KNOW, IF WE COME TO THE 2207 01:20:27,001 --> 01:20:29,000 FLOOR WITH A TEMPLATE THAT DEALS 2208 01:20:29,001 --> 01:20:31,000 WITH CONSUMER PROTECTION, THAT 2209 01:20:31,001 --> 01:20:32,000 DEALS WITH SYSTEMIC RISK, THAT 2210 01:20:32,001 --> 01:20:33,000 DEALS WITH DERIVATIVES, I HOPE 2211 01:20:33,001 --> 01:20:36,000 THAT MY COLLEAGUES O THE OTHER 2212 01:20:36,001 --> 01:20:37,000 SIDE OF THE AISLE WILL JOIN IN 2213 01:20:37,001 --> 01:20:39,000 WITH MANY MEMBERS ON THIS SIDE 2214 01:20:39,001 --> 01:20:41,000 OF THE AISLE TO CORRECT THAT. 2215 01:20:41,001 --> 01:20:44,000 I MEAN, AT THE END OF THE DAY, 2216 01:20:44,001 --> 01:20:46,000 IF WE CONTINUE TO WRITE LOANS 2217 01:20:46,001 --> 01:20:51,000 THAT SHOULDN'T BE WRITTEN AND WE 2218 01:20:51,001 --> 01:20:52,000 CONTINUE TO SECURITIZE THEM AND 2219 01:20:52,001 --> 01:20:53,000 IF WE CONTINUE TO SPREAD THEM 2220 01:20:53,001 --> 01:20:55,000 AROUND THE WORLD, WE HAVEN'T 2221 01:20:55,001 --> 01:20:57,000 DONE MUCH IN THIS LEGISLATION. 2222 01:20:57,001 --> 01:20:59,000 SO HAVE I BEEN EMPHATIC ABOUT 2223 01:20:59,001 --> 01:21:02,000 THAT AND HAVE I WANTED THESE TWO 2224 01:21:02,001 --> 01:21:03,000 PIECES OF THE LEGISLATION IN 2225 01:21:03,001 --> 01:21:05,000 BALANCE AS IT RELATES TO THE 2226 01:21:05,001 --> 01:21:08,000 REST OF THE COUNTRY AND MAKING 2227 01:21:08,001 --> 01:21:09,000 SURE THAT OUR UNDERWRITING IS 2228 01:21:09,001 --> 01:21:10,000 DONE APPROPRIATELY? 2229 01:21:10,001 --> 01:21:12,000 DO I BELIEVE THAT THOSE ARE 2230 01:21:12,001 --> 01:21:13,000 THINGS THAT ARE IMPORTANT? YES. 2231 01:21:13,001 --> 01:21:14,000 DO I THINK WE'RE GOING TO 2232 01:21:14,001 --> 01:21:17,000 ADDRESS THOSE? 2233 01:21:17,001 --> 01:21:19,000 I HOPE SO ON THE UNDERWRITING. I HOPE SO. 2234 01:21:19,001 --> 01:21:20,000 I'M NOT SURE. 2235 01:21:20,001 --> 01:21:24,000 I CAN'T TELL IF PEOPLE ARE 2236 01:21:24,001 --> 01:21:29,000 REALLY WILLING TO MAKE SURE THAT 2237 01:21:29,001 --> 01:21:31,000 AMERICANS ACROSS THIS COUNTRY 2238 01:21:31,001 --> 01:21:32,000 HAVE TO LIVE IN A 2239 01:21:32,001 --> 01:21:33,000 SEMIDISCIPLINEED WAY AS IT 2240 01:21:33,001 --> 01:21:35,000 RELATES TO MORTGAGES. I'M NOT SURE. 2241 01:21:35,001 --> 01:21:37,000 I HOPE WE GET SOMEPLACE THERE 2242 01:21:37,001 --> 01:21:38,000 BECAUSE I THINK IT'S IMPORTANT. 2243 01:21:38,001 --> 01:21:40,000 I THINK THOUGH, IN CLOSING, LET 2244 01:21:40,001 --> 01:21:41,000 ME COME BACK AND SAY IN SPITE OF 2245 01:21:41,001 --> 01:21:43,000 ALL THE RHETORIC ABOUT BAILOUTS 2246 01:21:43,001 --> 01:21:47,000 AND NOT BAILOUTS AND THIS WALL 2247 01:21:47,001 --> 01:21:49,000 STREET AND NOT WALL STREET, I 2248 01:21:49,001 --> 01:21:51,000 THINK THAT WHAT'S HAPPENING IN 2249 01:21:51,001 --> 01:21:52,000 ROOMS AND OFFICES AROUND THIS -- 2250 01:21:52,001 --> 01:21:55,000 THIS HILL, I THINK NEGOTIATIONS 2251 01:21:55,001 --> 01:21:56,000 ARE TAKING PLACE THAT ARE GOING 2252 01:21:56,001 --> 01:22:01,000 TO GET TO US A PLACE WHERE WE AT 2253 01:22:01,001 --> 01:22:04,000 LEAST HAVE A TEMPLATE, A PIECE 2254 01:22:04,001 --> 01:22:05,000 OF LEGISLATION THAT CAN BE 2255 01:22:05,001 --> 01:22:06,000 EMBRACED IN THE BEGINNING IN A BIPARTISAN WAY. 2256 01:22:06,001 --> 01:22:07,000 AND THEN WHAT I HOPE WILL 2257 01:22:07,001 --> 01:22:08,000 HAPPEN, AND I KNOW MY FRIEND 2258 01:22:08,001 --> 01:22:10,000 FROM DELAWARE IS GOING TO BE 2259 01:22:10,001 --> 01:22:11,000 HIGHLY ENGAGED IN THIS BECAUSE I 2260 01:22:11,001 --> 01:22:13,000 KNOW HE'S BEEN FOCUSED ON THIS 2261 01:22:13,001 --> 01:22:16,000 FOR A LONG TIME, WHAT I HOPE 2262 01:22:16,001 --> 01:22:17,000 HAPPENS AFTER THAT, AFTER WE GET 2263 01:22:17,001 --> 01:22:18,000 THIS BASE TEMPLATE TOGETHER, IS 2264 01:22:18,001 --> 01:22:20,000 WE HAVE A VIGOROUS DEBATE ON 2265 01:22:20,001 --> 01:22:21,000 THIS FLOOR ABOUT WHERE WE NEED 2266 01:22:21,001 --> 01:22:24,000 TO GO FROM THERE. 2267 01:22:24,001 --> 01:22:26,000 THERE'S SOME OTHER PIECES, THERE 2268 01:22:26,001 --> 01:22:28,000 MAY BE THAT -- I WOULD ACTUALLY 2269 01:22:28,001 --> 01:22:29,000 CONSIDER THEM TO BE CENTRAL, 2270 01:22:29,001 --> 01:22:30,000 OKAY? 2271 01:22:30,001 --> 01:22:31,000 BUT I'M OKAY WITH LEGISLATION 2272 01:22:31,001 --> 01:22:33,000 COMING TO THE FLOOR WHERE WE 2273 01:22:33,001 --> 01:22:36,000 HAVE A BALANCE BETWEEN 2274 01:22:36,001 --> 01:22:38,000 RESOLUTION, DERIVATIVES, AND 2275 01:22:38,001 --> 01:22:39,000 CONSUMER PROTECTION, AND THEN 2276 01:22:39,001 --> 01:22:41,000 LET'S GO FROM THERE AND LET'S 2277 01:22:41,001 --> 01:22:44,000 HAVE -- LET'S HAVE THE KIND OF DEBATE THAT I THINK OUR COUNTRY 2278 01:22:44,001 --> 01:22:49,000 WOULD LOVE TO SEE US HAVE IN 2279 01:22:49,001 --> 01:22:50,000 PUBLIC, FOCUSED NOT ON RHETORIC, 2280 01:22:50,001 --> 01:22:51,000 BECAUSE THIS IS ONE OF THOSE 2281 01:22:51,001 --> 01:22:52,000 ISSUES WHERE WE'VE GOT PLENTY OF 2282 01:22:52,001 --> 01:22:53,000 SUBSTANCE, RIGHT? 2283 01:22:53,001 --> 01:22:55,000 BUT ON SUBSTANCE. 2284 01:22:55,001 --> 01:22:56,000 AND LET'S -- LET'S DO SOMETHING 2285 01:22:56,001 --> 01:22:58,000 THAT WILL STAND THE TEST OF TIME. 2286 01:22:58,001 --> 01:22:59,000 I THINK WE'RE GOING TO DO THAT. AS A MATTER OF FACT, 2287 01:22:59,001 --> 01:23:04,000 MR. PRESIDENT, I KNOW MY TIME IS 2288 01:23:04,001 --> 01:23:11,000 UP, I THINK THAT THI BILL, THIS 2289 01:23:11,001 --> 01:23:12,000 BILL HAS THE IN THE NEXT FEW 2290 01:23:12,001 --> 01:23:13,000 DAYS, AND ONCE WE BEGIN TO 2291 01:23:13,001 --> 01:23:14,000 DEBATE ON THE FLOOR, WHICH I 2292 01:23:14,001 --> 01:23:17,000 PE WILL HAPPEN IN A BIPARTISAN 2293 01:23:17,001 --> 01:23:19,000 WAY, I THINK THIS BILL IS 2294 01:23:19,001 --> 01:23:21,000 POTENTIALLY THE BEGINNING OF US 2295 01:23:21,001 --> 01:23:22,000 BEING ABLE TO FUNCTION IN AN 2296 01:23:22,001 --> 01:23:24,000 APPROPRIATE WAY IN THIS BODY. 2297 01:23:24,001 --> 01:23:26,000 THAT'S WHAT I HOPE HAPPENS. 2298 01:23:26,001 --> 01:23:28,000 THAT'S WHY FOR -- FOR WEEKS AND 2299 01:23:28,001 --> 01:23:29,000 MONTHS I'VE BEEN SAYING THAT I 2300 01:23:29,001 --> 01:23:30,000 THINK AT THE END OF THE DAY, 2301 01:23:30,001 --> 01:23:31,000 WE'RE GOING TO END UP WITH A 2302 01:23:31,001 --> 01:23:34,000 BIPARTISAN BILL. 2303 01:23:34,001 --> 01:23:35,000 I HOPE, I HOPE IT HAS SOME 2304 01:23:35,001 --> 01:23:37,000 IMPORTANT ELEMENTS IN IT, LIKE 2305 01:23:37,001 --> 01:23:39,000 THE ONES I JUST MENTIONED, TT 2306 01:23:39,001 --> 01:23:40,000 WILL ALLOW ME TO SUPPORT IT. 2307 01:23:40,001 --> 01:23:41,000 WHETHER THAT HAPPENS -- I HOPE 2308 01:23:41,001 --> 01:23:42,000 IT HAPPENS. 2309 01:23:42,001 --> 01:23:43,000 WHETHER THAT HAPPENS OR NOT, I 2310 01:23:43,001 --> 01:23:46,000 HOPE WE HAVE A VIGOROUS DEBATE 2311 01:23:46,001 --> 01:23:47,000 AND END UP WITH A GOOD PRODUCT. 2312 01:23:47,001 --> 01:23:48,000 MR. PRESIDENT, I YIELD THE 2313 01:23:48,001 --> 01:23:49,000 FLOOR. THE PRESIDING OFFICER: MORNING 2314 01:23:49,001 --> 01:23:50,000 BUSINESS IS CLOSED. 2315 01:23:50,001 --> 01:23:52,000 UNDER THE PREVIOUS ORDER, THE 2316 01:23:52,001 --> 01:23:54,000 SENATE WILL PROCEED TO EXECUTIVE 2317 01:23:54,001 --> 01:23:55,000 SESSION TO CONSIDER THE 2318 01:23:55,001 --> 01:23:57,000 FOLLOWING NOMINATION, WHICH THE 2319 01:23:57,001 --> 01:23:59,000 CLERK WILL REPORT. 2320 01:23:59,001 --> 01:24:01,000 THE CLERK: NOMINATION, 2321 01:24:01,001 --> 01:24:02,000 DEPARTMENT OF JUSTICE, 2322 01:24:02,001 --> 01:24:03,000 CHRISTOPHER H. SCHROEDER OF 2323 01:24:03,001 --> 01:24:09,000 NORTH CAROLINA TO BE ASSISTANT 2324 01:24:09,001 --> 01:24:10,000 ATTORNEY GENERAL. 2325 01:24:10,001 --> 01:24:11,000 MR. KAUFMAN: MR. PRESIDENT? 2326 01:24:11,001 --> 01:24:12,000 THE PRESIDING OFFICER: THE 2327 01:24:12,001 --> 01:24:13,000 SENATOR FROM 2328 01:24:13,001 --> 01:24:14,000 RE 2329 01:24:14,001 --> 01:24:16,000 MR. KAUFMAN: MR. PRESIDENT, I 2330 01:24:16,001 --> 01:24:18,000 RISE TODAY TO EXPRESS MY SUPPORT FOR CHRIS SCHROEDER'S NOMINATION 2331 01:24:18,001 --> 01:24:20,000 TO BE ASSISTANT ATTORNEY GENERAL 2332 01:24:20,001 --> 01:24:26,000 FOR THE OFFICE OF LEGAL POLICY 2333 01:24:26,001 --> 01:24:27,000 IN THE DEPARTMENT OF JUSTICE. 2334 01:24:27,001 --> 01:24:28,000 BEFORE I GO ANY FURTHER, I WANT 2335 01:24:28,001 --> 01:24:30,000 TO STATE FOR THE RECORD THAT 2336 01:24:30,001 --> 01:24:31,000 CHRIS SCHROEDER IS A LONGTIME 2337 01:24:31,001 --> 01:24:33,000 COLLEAGUE AND A GREAT FRIEND OF MINE. 2338 01:24:33,001 --> 01:24:36,000 NOT ONLY DID WE WORK TOGETHER 2339 01:24:36,001 --> 01:24:40,000 FOR SENATOR BIDEN, BUT FOR THE 2340 01:24:40,001 --> 01:24:41,000 PAST 20 YEARS, WE'VE COTAUGHT A 2341 01:24:41,001 --> 01:24:44,000 COURSE ON THE CONGRESS AT THE 2342 01:24:44,001 --> 01:24:45,000 DUKE LAW 2343 01:24:45,001 --> 01:24:46,000 MANY OF THOSE YEARS WAS 2344 01:24:46,001 --> 01:24:48,000 COSPONSORED THE LAW SCHOOL 2345 01:24:48,001 --> 01:24:49,000 AND THE SANFORD SCHOOL OF PUBLIC 2346 01:24:49,001 --> 01:24:51,000 POLICY. 2347 01:24:51,001 --> 01:24:52,000 CHRIS IS CURRENTLY THE CHARLES 2348 01:24:52,001 --> 01:24:53,000 S. MURPHY PROFESSOR OF LAW AND 2349 01:24:53,001 --> 01:24:56,000 PROFESSOR OF PUBLIC POLICY 2350 01:24:56,001 --> 01:24:57,000 STUDIES AT DUKE AS WELL AS 2351 01:24:57,001 --> 01:25:00,000 DIRECTOR OF THE DUKE'S PROGRAM 2352 01:25:00,001 --> 01:25:02,000 IN PUBLIC LAW. 2353 01:25:02,001 --> 01:25:04,000 CHRIS WAS BORN IN SPRINGFIELD, 2354 01:25:04,001 --> 01:25:05,000 OHIO, RECEIVED HIS B.A. FROM 2355 01:25:05,001 --> 01:25:08,000 PRINCETON UNIVERSITY A MASTER'S 2356 01:25:08,001 --> 01:25:09,000 IN DIVINITY FROM YALE, AND HIS 2357 01:25:09,001 --> 01:25:10,000 J.D. FROM THE UNIVERSITY OF 2358 01:25:10,001 --> 01:25:12,000 CALIFORNIA AT BERKELEY, WHERE HE 2359 01:25:12,001 --> 01:25:14,000 WAS EDITOR IN CHIEF OF THE 2360 01:25:14,001 --> 01:25:16,000 CALIFORNIA LAW REVIEW. 2361 01:25:16,001 --> 01:25:18,000 HE'S MARRIED TO THE WONDERFUL 2362 01:25:18,001 --> 01:25:21,000 KATHERINE T. BARTLETT, FORMER 2363 01:25:21,001 --> 01:25:24,000 DEAN OF THE DUKE LAW SCHOOL, AND 2364 01:25:24,001 --> 01:25:26,000 CURRENTLY THE KENNETH -- A. 2365 01:25:26,001 --> 01:25:28,000 KENNETH PIE PROFESSOR AT DUKE. 2366 01:25:28,001 --> 01:25:30,000 CHRIS AND KATE HAVE THREE 2367 01:25:30,001 --> 01:25:32,000 WONDERFUL CHILDREN. 2368 01:25:32,001 --> 01:25:34,000 DURING HIS LEGAL CAREER, CHRIS 2369 01:25:34,001 --> 01:25:35,000 HAS EXCELLED IN PRIVATE PRACTICE 2370 01:25:35,001 --> 01:25:38,000 PRACTICE, GOVERNMENT SERVICE, 2371 01:25:38,001 --> 01:25:39,000 AND ACADEMICS. 2372 01:25:39,001 --> 01:25:42,000 FOLLOWING HIS GRADUATION FROM 2373 01:25:42,001 --> 01:25:45,000 LAW SCHOOL, CHRIS PRACTICED LAW 2374 01:25:45,001 --> 01:25:46,000 IN SAN FRANCISCO, GAINING 2375 01:25:46,001 --> 01:25:47,000 VALUABLE EXPERIENCE IN A WIDE 2376 01:25:47,001 --> 01:25:50,000 VARIETY OF BOTH STATE AND 2377 01:25:50,001 --> 01:25:52,000 FEDERAL PRACTICE. 2378 01:25:52,001 --> 01:25:55,000 IN 1979, HE BECAME LAW PFESSOR 2379 01:25:55,001 --> 01:25:57,000 AT DUKE, WHERE HE HAS BEEN A 2380 01:25:57,001 --> 01:26:00,000 RESPECTED AND PROLIFIC SCHOLAR 2381 01:26:00,001 --> 01:26:01,000 AND AN INVALUABLE ADMINISTRATOR, 2382 01:26:01,001 --> 01:26:04,000 AND A COMMITTED 2383 01:26:04,001 --> 01:26:05,000 TEACHER. 2384 01:26:05,001 --> 01:26:06,000 HE HAS AUTHORED AND EDITED 2385 01:26:06,001 --> 01:26:08,000 SEVERAL BOOKS, INCLUDING A 2386 01:26:08,001 --> 01:26:12,000 LEADING CASEBOOK ON 2387 01:26:12,001 --> 01:26:15,000 ENVIRONMENTAL LAW, ENVIRONMENTAL 2388 01:26:15,001 --> 01:26:16,000 REGULATION, LAW, SCIENCE AND 2389 01:26:16,001 --> 01:26:18,000 POLICY, WHICH NOW IS IN ITS 2390 01:26:18,001 --> 01:26:19,000 SIXTH EDITION. 2391 01:26:19,001 --> 01:26:22,000 HE ALSO HAS PUBLISHED COUNTLESS 2392 01:26:22,001 --> 01:26:23,000 ARTICLES IN LAW REVIEWS AND 2393 01:26:23,001 --> 01:26:24,000 JOURNALS ON AN IMPRESSIVE RANGE 2394 01:26:24,001 --> 01:26:27,000 OF TOPICS, INCLUDING 2395 01:26:27,001 --> 01:26:29,000 ENVIRONMENTAL LAW, FEDERALISM, 2396 01:26:29,001 --> 01:26:31,000 FEDERAL COURTS, EXECUTIVE AND 2397 01:26:31,001 --> 01:26:35,000 LEGISLATIVE POWER, AND NATIONAL 2398 01:26:35,001 --> 01:26:36,000 SECURITY. 2399 01:26:36,001 --> 01:26:37,000 CHRIS'S TEACHING IS JUST AS 2400 01:26:37,001 --> 01:26:38,000 BROAD AND DEEP AS HIS 2401 01:26:38,001 --> 01:26:39,000 SCHOLARSHIP. 2402 01:26:39,001 --> 01:26:42,000 OVER THE COURSE OF HIS CAREER, 2403 01:26:42,001 --> 01:26:44,000 HE HAS TAUGHT ENVIRONMENTAL LAW, 2404 01:26:44,001 --> 01:26:46,000 CONSTITUTIONAL LAW, COMPARATIVE 2405 01:26:46,001 --> 01:26:48,000 CONSTITUTIONAL LAW, 2406 01:26:48,001 --> 01:26:50,000 ADMINISTRATIVE LAW, CIVIL 2407 01:26:50,001 --> 01:26:53,000 LIBERTIES AND NATIONAL SECURITY, 2408 01:26:53,001 --> 01:26:55,000 FEDERAL POLICY MAKING, THE 2409 01:26:55,001 --> 01:26:56,000 CONGRESS, GOVERNMENT BUSINESS 2410 01:26:56,001 --> 01:26:58,000 AND PUBLIC POLICY, AND 2411 01:26:58,001 --> 01:27:00,000 ENVIRONMENTAL LITIGATION CLINIC, 2412 01:27:00,001 --> 01:27:03,000 TOXIC SUBSTANCE REGULATION, LAND 2413 01:27:03,001 --> 01:27:04,000 USE PLANNING, WATER LAW, 2414 01:27:04,001 --> 01:27:06,000 PHILOSOPHY AND ENVIRONMENTAL 2415 01:27:06,001 --> 01:27:08,000 PROTECTION, PROPERTY AND CIVIL 2416 01:27:08,001 --> 01:27:10,000 PROCEDURE. 2417 01:27:10,001 --> 01:27:12,000 CHRIS IS A TRUE RENAISSANCE MAN. 2418 01:27:12,001 --> 01:27:16,000 I CAN PERSONALLY ATTEST TO THE 2419 01:27:16,001 --> 01:27:17,000 QUALITY OF CHRIS'S TEACHING, 2420 01:27:17,001 --> 01:27:18,000 HAVING COTAUGHT WITH HIM FOR 20 2421 01:27:18,001 --> 01:27:19,000 YEARS. 2422 01:27:19,001 --> 01:27:20,000 HERE IN THIS SENATE, WE HAVE 2423 01:27:20,001 --> 01:27:22,000 MANY FORMER STUDENTS DOING 2424 01:27:22,001 --> 01:27:25,000 EXCELLENT STAFF WORK ON BOTH 2425 01:27:25,001 --> 01:27:27,000 SIDES OF THE AISLE. 2426 01:27:27,001 --> 01:27:29,000 CHRIS HAS ALSO CONTRIBUTED HIS 2427 01:27:29,001 --> 01:27:30,000 LEGAL AND POLICY EXPERTISE TO 2428 01:27:30,001 --> 01:27:32,000 PRACTICAL PROBLEMS AFFECTING THE 2429 01:27:32,001 --> 01:27:33,000 HEALTH AND SAFETY OF THE 2430 01:27:33,001 --> 01:27:34,000 COMMUNITY. 2431 01:27:34,001 --> 01:27:37,000 HE SERVED ON THE NATIONAL 2432 01:27:37,001 --> 01:27:38,000 ACADEMY OF SCIENCE AND INSTITUTE 2433 01:27:38,001 --> 01:27:40,000 OF MEDICINE COMMITTEES TO 2434 01:27:40,001 --> 01:27:41,000 EVALUATE THE USE OF HUMAN 2435 01:27:41,001 --> 01:27:44,000 INTENTIONAL DOSING STUDIES BY 2436 01:27:44,001 --> 01:27:49,000 E.P.A. AND THE ADEQUACY OF THE 2437 01:27:49,001 --> 01:27:51,000 U.S. DRUG SAF 2438 01:27:51,001 --> 01:27:53,000 DUKE HAS ALSO RECOGNIZED CHRIS'S 2439 01:27:53,001 --> 01:27:54,000 CONSIDERABLE ADMINISTRATIVE 2440 01:27:54,001 --> 01:27:55,000 SKILLS. IN ADDITION TO SERVING AS 2441 01:27:55,001 --> 01:27:57,000 COCHAIR FOR THE CENTER OF THE 2442 01:27:57,001 --> 01:27:58,000 STUDY OF THE CONGRESS WITH ME 2443 01:27:58,001 --> 01:28:00,000 AND IN THE DIRECTOR OF PROGRAM 2444 01:28:00,001 --> 01:28:02,000 AND PUBLIC LAW, CHRIS HAS 2445 01:28:02,001 --> 01:28:03,000 CHAIRED THE COMMITTEE'S 2446 01:28:03,001 --> 01:28:04,000 APPOINTMENTS COMMITTEE, SERVED 2447 01:28:04,001 --> 01:28:06,000 ON THE DEAN SELECTION COMMITTEE, 2448 01:28:06,001 --> 01:28:08,000 AND SERVED AS A MEMBER OF THE 2449 01:28:08,001 --> 01:28:11,000 UNIVERSITY'S JUDICIAL BOARD. 2450 01:28:11,001 --> 01:28:14,000 IN THE 1990'S, WHILE AT DUKE, HE 2451 01:28:14,001 --> 01:28:15,000 TOOK SEVERAL LEAVES OF ABSENCES 2452 01:28:15,001 --> 01:28:17,000 FOR POSITIONS IN PUBLIC SERVICE. 2453 01:28:17,001 --> 01:28:18,000 AS A RESULT, HE HAS CONSIDERABLE 2454 01:28:18,001 --> 01:28:21,000 EXPERIEN IN GOVERNMENT, WHICH 2455 01:28:21,001 --> 01:28:23,000 WILL STAND HIM IN 2456 01:28:23,001 --> 01:28:25,000 THE OFFICE OF LEGAL POLICY. 2457 01:28:25,001 --> 01:28:27,000 HE SERVED IN SEVERAL CAPACITIES 2458 01:28:27,001 --> 01:28:29,000 IN THE SENATE, INCLUDING SPECIAL 2459 01:28:29,001 --> 01:28:31,000 NOMINATIONS COUNSEL AND THEN HE 2460 01:28:31,001 --> 01:28:33,000 WAS THE NUMBER-ONE STAFFER ON 2461 01:28:33,001 --> 01:28:34,000 THE JUDICIARY COMMITTEE AS CHIEF 2462 01:28:34,001 --> 01:28:36,000 COUNSEL FOR THE JUDICIARY 2463 01:28:36,001 --> 01:28:37,000 COMMITTEE. 2464 01:28:37,001 --> 01:28:39,000 HE HAS ALSO SERVED IN NUMEROUS 2465 01:28:39,001 --> 01:28:40,000 POSITIONS IN THE DEPARTMENT OF 2466 01:28:40,001 --> 01:28:41,000 JUSTICE, INCLUDING COUNSELOR TO 2467 01:28:41,001 --> 01:28:43,000 THE ASSISTANT ATTORNEY GENERAL 2468 01:28:43,001 --> 01:28:44,000 OF THE OFFICE OF LEGAL COUNSEL, 2469 01:28:44,001 --> 01:28:47,000 DEPUTY ASSISTANT ATTORNEY 2470 01:28:47,001 --> 01:28:48,000 GENERAL, AND ACTING ASSISTANT 2471 01:28:48,001 --> 01:28:50,000 ATTORNEY GENERAL. 2472 01:28:50,001 --> 01:28:53,000 IN SHORT, CHRIS SCHROEDER HAS 2473 01:28:53,001 --> 01:28:55,000 THE EXPERIENCE, THE INTELLIGENT 2474 01:28:55,001 --> 01:28:56,000 ELECTRICITY, AND THE JUDGMENT -- 2475 01:28:56,001 --> 01:28:58,000 INTELLECT, AND THE JUDGMENT 2476 01:28:58,001 --> 01:29:00,000 NECESSARY TO BE A SUPERB LEADER 2477 01:29:00,001 --> 01:29:01,000 OF THE OFFICE OF LEGAL POLICY. 2478 01:29:01,001 --> 01:29:02,000 JUST AS IMPORTANT, HE HAS THE 2479 01:29:02,001 --> 01:29:04,000 CHARACTER AND INTEGRITY TO HELP 2480 01:29:04,001 --> 01:29:07,000 ATTORNEY GENERAL CONTINUE TO 2481 01:29:07,001 --> 01:29:08,000 RESTORE THE PUBLIC FAITH IN THE 2482 01:29:08,001 --> 01:29:10,000 DEPARTMENT OF JUSTICE. 2483 01:29:10,001 --> 01:29:13,000 THE OFFICE OF LEGAL POLICY, 2484 01:29:13,001 --> 01:29:16,000 O.L.P., HAS A WIDE RANGE OF IMPORTANT RESPONSIBILITIES 2485 01:29:16,001 --> 01:29:17,000 WITHIN THE DEPARTMENT JUSTICE. 2486 01:29:17,001 --> 01:29:20,000 LET ME READ FROM THE DESCRIPTION 2487 01:29:20,001 --> 01:29:22,000 ON THE DEPARTMENT OF JUSTICE WEB 2488 01:29:22,001 --> 01:29:23,000 SITE. 2489 01:29:23,001 --> 01:29:26,000 QUOTE -- "THE MAJOR FUNCTIONS OF 2490 01:29:26,001 --> 01:29:27,000 THE OFFICE OF LEGAL POLICY ARE 2491 01:29:27,001 --> 01:29:30,000 TO DEVELOP STRATEGIES AND 2492 01:29:30,001 --> 01:29:32,000 PROGRAMS TO IMPLEMENT 2493 01:29:32,001 --> 01:29:34,000 LEGISLATIVE, PROGRAMMATIC AND 2494 01:29:34,001 --> 01:29:36,000 POLICY INITIATIVES; TO SERVE AS 2495 01:29:36,001 --> 01:29:37,000 A LIAISON TO THE EXECUTIVE 2496 01:29:37,001 --> 01:29:40,000 OFFICE OF THE PRESIDENT AND 2497 01:29:40,001 --> 01:29:41,000 OTHER AGENCIES ON POLI 2498 01:29:41,001 --> 01:29:42,000 MATTERS; TO CONDUCT POLICY 2499 01:29:42,001 --> 01:29:45,000 REVIEWS OF LEGISLATION AND OTHER 2500 01:29:45,001 --> 01:29:47,000 PROPOSALS; AND SUPPORT AND 2501 01:29:47,001 --> 01:29:48,000 COORDINATE DEPARTMENTAL EFFORTS 2502 01:29:48,001 --> 01:29:51,000 TO ADVANCE THE ADMINISTRATION'S 2503 01:29:51,001 --> 01:29:53,000 LEGISLATIVE AND POLICY AGENDA. 2504 01:29:53,001 --> 01:29:55,000 TO ASSURE POLICY CONSISTENCY AND 2505 01:29:55,001 --> 01:29:56,000 COORDINATION OF DEPARTMENT 2506 01:29:56,001 --> 01:29:59,000 INITIATIVES, BRIEFING MATERIALS 2507 01:29:59,001 --> 01:30:00,000 AND POLICY STATEMENTS. 2508 01:30:00,001 --> 01:30:02,000 TO PROVIDE SUPPORT AND POLICY 2509 01:30:02,001 --> 01:30:04,000 EXPERTISE IN CONJUNCTION WITH 2510 01:30:04,001 --> 01:30:06,000 OTHER COMPONENTS TO IMPLEMENT 2511 01:30:06,001 --> 01:30:07,000 EFFECTIVELY MAJOR DEPARTMENTAL 2512 01:30:07,001 --> 01:30:09,000 AND ADMINISTRATION INITIATIVES 2513 01:30:09,001 --> 01:30:12,000 IN THE CRIMINAL AND CIVIL 2514 01:30:12,001 --> 01:30:14,000 JUSTICE AREAS. 2515 01:30:14,001 --> 01:30:17,000 TO ASSIST THE PRESIDENT AND THE 2516 01:30:17,001 --> 01:30:19,000 ATTORNEY GENERAL IN FILLING ALL 2517 01:30:19,001 --> 01:30:22,000 ARTICLE 3 AND CERTAIN ARTICLE 1 2518 01:30:22,001 --> 01:30:23,000 JUDICIAL VACANCIES. 2519 01:30:23,001 --> 01:30:25,000 TO COORDINATE REGULATY 2520 01:30:25,001 --> 01:30:26,000 DEVELOPMENT IN THE REVIEW OF ALL 2521 01:30:26,001 --> 01:30:28,000 PROPOSED AND FINAL RULES 2522 01:30:28,001 --> 01:30:29,000 DEVELOPED BY ALL DEPARTMENT 2523 01:30:29,001 --> 01:30:32,000 COMPONENTS. 2524 01:30:32,001 --> 01:30:33,000 TO SER AS LIAISON TO THE 2525 01:30:33,001 --> 01:30:36,000 OFFICE OF MANAGEMENT AND BUDGET 2526 01:30:36,001 --> 01:30:37,000 AND OTHER AGENCIES ON REGULATORY 2527 01:30:37,001 --> 01:30:39,000 MATTERS. 2528 01:30:39,001 --> 01:30:40,000 TO TRACK AND COORDINATE 2529 01:30:40,001 --> 01:30:45,000 DEPARTMENTAL AND IMPLEMENTATION 2530 01:30:45,001 --> 01:30:48,000 OF STATUTORY RESPONSIBILITIES 2531 01:30:48,001 --> 01:30:49,000 AND REPORTING REQUIREMENTS. 2532 01:30:49,001 --> 01:30:52,000 END QUOTE. 2533 01:30:52,001 --> 01:30:55,000 IN SUM, O.M.B. IS RESPONSIBLE 2534 01:30:55,001 --> 01:30:57,000 FOR DEVELOPING THE HIGH-PRIORITY 2535 01:30:57,001 --> 01:30:58,000 RESPONSIBILITY INITIATIVES FOR 2536 01:30:58,001 --> 01:31:02,000 THE DEPARTMENT OF JUSTICE. 2537 01:31:02,001 --> 01:31:03,000 THE ATTORNEY GENERAL SERVES AS 2538 01:31:03,001 --> 01:31:04,000 THE PRIMARY ADVISOR TO THE 2539 01:31:04,001 --> 01:31:06,000 ATTORNEY GENERAL. 2540 01:31:06,001 --> 01:31:11,000 O.L.P. IS THE PLACE WITHIN THE DEPARTMENT WHERE CRITICAL 2541 01:31:11,001 --> 01:31:12,000 LONG-TM PLANNING GETS DONE. 2542 01:31:12,001 --> 01:31:14,000 O.L.P. ALSO HANDLES SPECIAL 2543 01:31:14,001 --> 01:31:16,000 PROJECTS THAT IMPLICATE THE 2544 01:31:16,001 --> 01:31:18,000 INTERESTS OF MULTIPLE DEPARTMENT 2545 01:31:18,001 --> 01:31:19,000 COMPONENTS AND COORDINATES THE 2546 01:31:19,001 --> 01:31:22,000 REGULATORY DEVELOPMENT AND 2547 01:31:22,001 --> 01:31:23,000 REVIEW OF ALL PROPOSED AND FINAL 2548 01:31:23,001 --> 01:31:24,000 RULES DEVELOPED BY THE 2549 01:31:24,001 --> 01:31:27,000 DEPARTMENT. 2550 01:31:27,001 --> 01:31:28,000 FINALLY, O.L.P. ADVISES AND 2551 01:31:28,001 --> 01:31:30,000 ASSISTS THE PRESIDENT AND THE 2552 01:31:30,001 --> 01:31:32,000 ATTORNEY GENERAL IN THE 2553 01:31:32,001 --> 01:31:36,000 SELECTION AND CONFIRMATION O 2554 01:31:36,001 --> 01:31:38,000 FEDERAL JUDGES. 2555 01:31:38,001 --> 01:31:41,000 CHRIS' EXTRAORDINARY CAREER AND 2556 01:31:41,001 --> 01:31:43,000 EXEMPLARY CHARACTER RENDER HIM 2557 01:31:43,001 --> 01:31:44,000 UNIQUELY QUALIFIED TO LEAD 2558 01:31:44,001 --> 01:31:46,000 O.L.P. 2559 01:31:46,001 --> 01:31:47,000 AS WE SAW FROM HIS CONFIRMATION 2560 01:31:47,001 --> 01:31:50,000 HEARINGS IN THE JUDICIARY BACK 2561 01:31:50,001 --> 01:31:51,000 IN JUNE, CHRIS HAS EXCELLENT 2562 01:31:51,001 --> 01:31:52,000 CREDENTIALS AND BROAD EXPERIENCE 2563 01:31:52,001 --> 01:31:54,000 IN LAW AND GOVERNMENT. 2564 01:31:54,001 --> 01:31:55,000 HE FULLY UNDERSTANDS, HE FULLY 2565 01:31:55,001 --> 01:31:57,000 UNDERSTANDS THE SPECIAL ROLE AT 2566 01:31:57,001 --> 01:31:59,000 THE DEPARTMENT OFUSTICE AND IS 2567 01:31:59,001 --> 01:32:01,000 DEEPLY COMMITTED TO THE RULE OF 2568 01:32:01,001 --> 01:32:03,000 LAW, AND HE HAS BROAD SUPPORT 2569 01:32:03,001 --> 01:32:05,000 FROM LAWYERS OF ALL POLITICAL 2570 01:32:05,001 --> 01:32:09,000 AND JUDICIAL PHILOSOPHIES. 2571 01:32:09,001 --> 01:32:10,000 JUST AS AN EXAMPLE, 2572 01:32:10,001 --> 01:32:12,000 A.B.COPAHOUSE, FORMER WHITE 2573 01:32:12,001 --> 01:32:14,000 HOUSE COUNSEL TO PRESIDENT 2574 01:32:14,001 --> 01:32:17,000 REAGAN, GAVE CHRIS A RINGING 2575 01:32:17,001 --> 01:32:19,000 ENDORSEMENT, DESCRIBING HIM AS 2576 01:32:19,001 --> 01:32:21,000 HAVING -- "THE REQUISITE 2577 01:32:21,001 --> 01:32:22,000 MATURITY, EXPERIENCE, AND 2578 01:32:22,001 --> 01:32:23,000 CONFIDENCE TO WORK 2579 01:32:23,001 --> 01:32:24,000 CONSTRUCTIVELY ACROSS 2580 01:32:24,001 --> 01:32:25,000 INSTITUTIONAL, INTEREST GROUP 2581 01:32:25,001 --> 01:32:28,000 AND PARTY LINES TO ADVANCE THE 2582 01:32:28,001 --> 01:32:33,000 PUBLIC INTEREST." 2583 01:32:33,001 --> 01:32:34,000 KEN STARR, SYMPATHY 2584 01:32:34,001 --> 01:32:39,000 ENTHUSIASTIC, SAYING -- "CHRIS 2585 01:32:39,001 --> 01:32:40,000 HAS A PARTICULARLY KEEN AND 2586 01:32:40,001 --> 01:32:42,000 NUANCED SENSE OF WHAT THE 2587 01:32:42,001 --> 01:32:44,000 FOUNDING GENERATION WAS SEEK TO 2588 01:32:44,001 --> 01:32:47,000 GO ACHIEVE, BALANCED GOVERNMENT." 2589 01:32:47,001 --> 01:32:49,000 FROM BOTH CAPITAL EXPERIENCE AND 2590 01:32:49,001 --> 01:32:51,000 ENGAGED SCHOLARSHIP, HE 2591 01:32:51,001 --> 01:32:54,000 UNDERSTANDS DEEPLY THE 2592 01:32:54,001 --> 01:32:56,000 COORDINATE ROLE OF THE BRANCHES." 2593 01:32:56,001 --> 01:32:57,000 BEFORE I CONCLUDE, I'D LIKE TO 2594 01:32:57,001 --> 01:32:59,000 GIVE MY COLLEAGUES A LITTLE 2595 01:32:59,001 --> 01:33:01,000 BETTER SENSE OF CHRIS SCHROEDER 2596 01:33:01,001 --> 01:33:03,000 OUTSIDE OF HIS PROFESSIONAL LIFE 2597 01:33:03,001 --> 01:33:04,000 BECAUSE I THINK HIS MODEL 2598 01:33:04,001 --> 01:33:06,000 CHARACTER IS SOMHING WE SHOULD 2599 01:33:06,001 --> 01:33:07,000 ALL BEAR IN MIND AS WE CONSIDER 2600 01:33:07,001 --> 01:33:10,000 HIS NOMINATION. 2601 01:33:10,001 --> 01:33:11,000 CHRIS HAS DEEP ROOTS IN HIS DURHAM, NORTH CAROLINA, 2602 01:33:11,001 --> 01:33:13,000 COMMUNITY. 2603 01:33:13,001 --> 01:33:15,000 HE AND HIS WIFE KATE HAVE BEEN 2604 01:33:15,001 --> 01:33:17,000 MEMBERS OF THE PILGRIM UNITED 2605 01:33:17,001 --> 01:33:19,000 CHURCH OF CHRIST FOR 30 YEARS. 2606 01:33:19,001 --> 01:33:20,000 THIS IS A CHURCH IN WHICH 2607 01:33:20,001 --> 01:33:21,000 INDICATE -- IN WHICH KATE AND 2608 01:33:21,001 --> 01:33:22,000 CHRIS HAVE RAISED THEIR THREE 2609 01:33:22,001 --> 01:33:24,000 CHILDREN AND IT HAS BEEN AN 2610 01:33:24,001 --> 01:33:27,000 IMPORTANT PART OF THEIR FAMILY LIFE. 2611 01:33:27,001 --> 01:33:28,000 CHRIS HAS BEEN A MEMBER OF EVERY 2612 01:33:28,001 --> 01:33:31,000 ELECTORATE BOARD OR COMMITTEE OF THE CHURCH. 2613 01:33:31,001 --> 01:33:34,000 HE HAS BEEN THE CHAIRMAN OF THE 2614 01:33:34,001 --> 01:33:35,000 FELLOWSHIP COMMITTEE SEVERAL 2615 01:33:35,001 --> 01:33:36,000 TIMES, A JOB HE CHERISHES 2616 01:33:36,001 --> 01:33:38,000 BECAUSE OF THE SIMPLE PLEASURES 2617 01:33:38,001 --> 01:33:40,000 THAT COME FROM PROVIDING GOOD 2618 01:33:40,001 --> 01:33:42,000 MEALS AND HOSPITALITY AT CHURCH 2619 01:33:42,001 --> 01:33:43,000 EVENTS OF EVERY DESCRIPTION. 2620 01:33:43,001 --> 01:33:46,000 CHRIS HAS ALSO TAUGHT SUNDAY 2621 01:33:46,001 --> 01:33:47,000 SCHOOL FOR OVER 20 YEARS AT 2622 01:33:47,001 --> 01:33:48,000 PILGRIM, MOST OFTEN A BIBLE 2623 01:33:48,001 --> 01:33:49,000 STUDY CLASS. 2624 01:33:49,001 --> 01:33:51,000 CHRIS HAS ALSO BEEN A MEMBER OF 2625 01:33:51,001 --> 01:33:54,000 THE BOARD OF DIRECTORS MEALS ON 2626 01:33:54,001 --> 01:33:56,000 WHEELS PROGRAM IN DURHAM WHICH 2627 01:33:56,001 --> 01:33:57,000 SUPPLIES LUNCHES TO ELDERLY AND 2628 01:33:57,001 --> 01:33:59,000 SHUT-IN MEMBERS OF THE DURHAM 2629 01:33:59,001 --> 01:34:02,000 COMMUNITY. 2630 01:34:02,001 --> 01:34:04,000 BESIDES HAVING SERVED IN A 2631 01:34:04,001 --> 01:34:05,000 LEADERSHIP POSITION FOR MEALS ON 2632 01:34:05,001 --> 01:34:08,000 WHEELS, CHRIS AND COLLEAGUES 2633 01:34:08,001 --> 01:34:10,000 FROM DUKE UNIVERSITY AND FACULTY 2634 01:34:10,001 --> 01:34:11,000 DRIVE ONE OF THE MEALS ON WHEELS 2635 01:34:11,001 --> 01:34:12,000 ROUTES EVERY FRIDAY. 2636 01:34:12,001 --> 01:34:13,000 THEY HAVE BEEN DOING IT FOR MORE 2637 01:34:13,001 --> 01:34:15,000 THAN 20 YEARS. 2638 01:34:15,001 --> 01:34:17,000 CHRIS AND HIS CHILDREN HAVE ALSO 2639 01:34:17,001 --> 01:34:20,000 BEEN ACTIVE IN THE CROP WALK, AN 2640 01:34:20,001 --> 01:34:21,000 ANNUAL EVENT IN 2641 01:34:21,001 --> 01:34:22,000 OTHER CITIES AROUND THE COUNTRY 2642 01:34:22,001 --> 01:34:25,000 THAT RAISES FUNDS FOR LOCAL AS 2643 01:34:25,001 --> 01:34:26,000 WELL AS INTERNATIONAL FOOD 2644 01:34:26,001 --> 01:34:27,000 PROGRAMS. 2645 01:34:27,001 --> 01:34:29,000 CHRIS IS PROUD OF THE FACT THAT 2646 01:34:29,001 --> 01:34:32,000 THE PILGRIM UNITED CHURCH OF 2647 01:34:32,001 --> 01:34:34,000 CHRIST IS REGULARLY AMONG THE 2648 01:34:34,001 --> 01:34:37,000 LEADERS AMONG CHURCHES ITS SIZE 2649 01:34:37,001 --> 01:34:40,000 IN RAISING FUNDS IN THE CROP WALK. 2650 01:34:40,001 --> 01:34:43,000 IN SELECTING CHRIS SCHROEDER, 2651 01:34:43,001 --> 01:34:44,000 THE PRESIDENT HAS CHOSEN WISELY. 2652 01:34:44,001 --> 01:34:47,000 BASED ON OUR LONG ASSOCIATION, I 2653 01:34:47,001 --> 01:34:48,000 KNOW HIM TO HAVE A PIERCING 2654 01:34:48,001 --> 01:34:50,000 INTELLECT, IMPECCABLE JUDGMENT 2655 01:34:50,001 --> 01:34:51,000 AND UNPARALLELED INTEGRITY. 2656 01:34:51,001 --> 01:34:52,000 I AM PROUD TO CALL HIM MY 2657 01:34:52,001 --> 01:34:55,000 FRIEND, AND I URGE MY COLLEAGUES 2658 01:34:55,001 --> 01:34:58,000 TO CONFIRM HIM WITHOUT DELAY. 2659 01:34:58,001 --> 01:35:00,000 I ASK UNANIMOUS CONSENT THAT ANY 2660 01:35:00,001 --> 01:35:02,000 TIME IN A QUORUM CALL DURING THE 2661 01:35:02,001 --> 01:35:04,000 DEBATE ON THE SCHROEDER 2662 01:35:04,001 --> 01:35:05,000 NOMINATION BE CHARGED EQUALLY TO 2663 01:35:05,001 --> 01:35:06,000 BOTH SIDES. 2664 01:35:06,001 --> 01:35:11,000 THE PRESIDING OFFICER: WITHOUT 2665 01:35:11,001 --> 01:35:12,000 OBJECTION, IT IS SO ORDERED. 2666 01:35:12,001 --> 01:35:13,000 MR. KAUFMAN: MR. PRESIDENT, I 2667 01:35:13,001 --> 01:35:16,000 ASK UNANIMOUS CONSENT THAT FIVE 2668 01:35:16,001 --> 01:35:18,000 MINUTES BE SET ASIDE FOR THE 2669 01:35:18,001 --> 01:35:20,000 CHAIRMAN DURING THE DEBATE. 2670 01:35:20,001 --> 01:35:22,000 THE PRESIDING OFFICER: WITHOUT 2671 01:35:22,001 --> 01:35:23,000 OBJECTION, IT IS SO ORDERED. 2672 01:35:23,001 --> 01:35:27,000 MR. KAUFMAN: MR. 2673 01:35:27,001 --> 01:35:28,000 SUGGEST THE ABSENCE OF A QUORUM. 2674 01:35:28,001 --> 01:35:33,000 THE PRESIDING OFFICER: THE CLERK 2675 01:35:33,001 --> 01:50:17,000 WILL CALL THE ROLL. 2676 01:50:17,001 --> 01:50:18,000 QUORUM CALL: 2677 01:50:18,001 --> 01:50:20,000 MR. BURRIS: MR. PRESIDENT? 2678 01:50:20,001 --> 01:50:22,000 SENATOR FROM ILLINOIS. 2679 01:50:22,001 --> 01:50:23,000 MR. BURRIS: IEQUEST THAT THE 2680 01:50:23,001 --> 01:50:24,000 QUORUM CALL BE VITIATED. 2681 01:50:24,001 --> 01:50:25,000 THE PRESIDING OFFICER: WITHOUT OBJECTION. 2682 01:50:25,001 --> 01:50:26,000 MR. BURRIS: THANK YOU. 2683 01:50:26,001 --> 01:50:27,000 MR. PRESIDENT, MAY I HAVE 2684 01:50:27,001 --> 01:50:28,000 UNANIMOUS CONSENT TO SPEAK AS IF 2685 01:50:28,001 --> 01:50:29,000 IN MORNING BUSINESS. 2686 01:50:29,001 --> 01:50:30,000 THE PRESIDING OFFICER: WITHOUT OBJECTION. 2687 01:50:30,001 --> 01:50:31,000 MR. BURRIS: THANK YOU, 2688 01:50:31,001 --> 01:50:35,000 MR. PRESIDENT. 2689 01:50:35,001 --> 01:50:36,000 IN EARLY 1933, JUST AFTER 2690 01:50:36,001 --> 01:50:39,000 FRANKLIN ROOSEVELT WAS SWORN IN 2691 01:50:39,001 --> 01:50:41,000 AS PRESIDENT, THE GREAT 2692 01:50:41,001 --> 01:50:43,000 DEPRESSION WAS AT ITS WORST. 2693 01:50:43,001 --> 01:50:48,000 THE AMERICAN ECONOMY HAD BEEN 2694 01:50:48,001 --> 01:50:49,000 SHAKEN TO ITS CORE, FINANCIAL 2695 01:50:49,001 --> 01:50:51,000 INSTITUTIONS HAD CLOSED, PEOPLE 2696 01:50:51,001 --> 01:50:54,000 LIFE SAVINGS HAD EVAPORATED, AND 2697 01:50:54,001 --> 01:50:55,000 NO ONE KNEW WHERE TO TURN. 2698 01:50:55,001 --> 01:50:59,000 THAT'S WHEN THE UNTHINKABLE 2699 01:50:59,001 --> 01:51:04,000 HAPPENED, MUCH OF THE AMERICAN COMMERCIAL BANKING SYSTEM 2700 01:51:04,001 --> 01:51:06,000 COLLAPSED. 2701 01:51:06,001 --> 01:51:07,000 PRESIDENT ROOSEVELT AND HIS 2702 01:51:07,001 --> 01:51:08,000 COLLEAGUES IN THE HOUSE AND 2703 01:51:08,001 --> 01:51:12,000 SENATE SPRANG INTO ACTION. 2704 01:51:12,001 --> 01:51:14,000 CONGRESSMAN HENRY SIEGELND 2705 01:51:14,001 --> 01:51:17,000 SENATOR CARTER GLASS, BOTH 2706 01:51:17,001 --> 01:51:18,000 DEMOCRATS, WORKED PRESIDENT TO 2707 01:51:18,001 --> 01:51:19,000 WRITE SWEEPING REFORM 2708 01:51:19,001 --> 01:51:22,000 LEGISLATION THAT SET OUT TO GET 2709 01:51:22,001 --> 01:51:23,000 THE ECONOMY BACK ON THE ROAD TO 2710 01:51:23,001 --> 01:51:25,000 RECOVERY. 2711 01:51:25,001 --> 01:51:27,000 THE RESULTING LAW, KNOWN AS THE 2712 01:51:27,001 --> 01:51:29,000 GLASS-STEAGALL ACT OF 1933, 2713 01:51:29,001 --> 01:51:30,000 HELPED LAY THE FOUNDATION FOR 2714 01:51:30,001 --> 01:51:32,000 SENSIBLE BANK REGULATIONS IN 2715 01:51:32,001 --> 01:51:36,000 THIS COUNTRY. 2716 01:51:36,001 --> 01:51:37,000 IT WOULD COME TO DEFINE 2717 01:51:37,001 --> 01:51:39,000 AMERICA'S FINANCIAL LANDSCAPE IN 2718 01:51:39,001 --> 01:51:40,000 THE DECADES THAT FOLLOWED THE 2719 01:51:40,001 --> 01:51:41,000 DEPRESSION. 2720 01:51:41,001 --> 01:51:42,000 MR. PRESIDENT, IT IS IN THIS 2721 01:51:42,001 --> 01:51:45,000 SPIRIT THAT I'VE ASKED MY 2722 01:51:45,001 --> 01:51:48,000 COLLEAGUES TO JOIN ME TODAY IN 2723 01:51:48,001 --> 01:51:51,000 SUPPORTING MAJOR FINANCIAL 2724 01:51:51,001 --> 01:51:54,000 REFORM AND MAKING SURE THAT THE 2725 01:51:54,001 --> 01:51:55,000 VOLCKER RULES IS INCLUDED IN OUR 2726 01:51:55,001 --> 01:51:57,000 FINAL LEGISLATION. 2727 01:51:57,001 --> 01:51:59,000 IF WE PASS THAT BILL THAT HAS 2728 01:51:59,001 --> 01:52:00,000 BEEN INTRODUCED BY SENATOR DODD, 2729 01:52:00,001 --> 01:52:03,000 WE CAN HELP PREVENT ANOTHER 2730 01:52:03,001 --> 01:52:04,000 ECONOMIC CRISIS AND REINSTATE 2731 01:52:04,001 --> 01:52:08,000 SOME OF THE BASIC PROTECTIONS 2732 01:52:08,001 --> 01:52:10,000 INCLUDED IN GLASS-STEAGALL. 2733 01:52:10,001 --> 01:52:14,000 ALMOST 80 YEARS AGO, THIS 2734 01:52:14,001 --> 01:52:16,000 LEGISLATION ESTABLISHED THE 2735 01:52:16,001 --> 01:52:18,000 FDIC, WHICH STILL INSURE BANKS' 2736 01:52:18,001 --> 01:52:19,000 DEPOSITS, AND IT DREW A SHARP 2737 01:52:19,001 --> 01:52:21,000 DISTINCTION BETWEEN COMMERCIAL 2738 01:52:21,001 --> 01:52:22,000 BANKS AND INVESTMENT BANKS. 2739 01:52:22,001 --> 01:52:25,000 IN THE WAKE OF THE ECONOMIC 2740 01:52:25,001 --> 01:52:28,000 COLLAPSE, CONGRESS RECOGNIZED 2741 01:52:28,001 --> 01:52:30,000 THAT THESE DUELING ROLES OFTEN 2742 01:52:30,001 --> 01:52:33,000 CAME WITH MASSIVE CONFLICT OF 2743 01:52:33,001 --> 01:52:35,000 INTEREST -- INTEREST. 2744 01:52:35,001 --> 01:52:37,000 IN SOME CASES, THIS RESULTED IN 2745 01:52:37,001 --> 01:52:39,000 RISKY BEHAVIORS AND OTHERS, FRAUD. 2746 01:52:39,001 --> 01:52:41,000 SO GLASS-STEAGALL DESIGNED THEIR 2747 01:52:41,001 --> 01:52:42,000 BILL TO SET UP A BARRIER BETWEEN 2748 01:52:42,001 --> 01:52:45,000 COMMERCIAL BANKS AND INVESTMENT BANKS. 2749 01:52:45,001 --> 01:52:47,000 THE LAW PREVENTED THESE TWO 2750 01:52:47,001 --> 01:52:48,000 ACTIVES FROM MIXING AND KEPT 2751 01:52:48,001 --> 01:52:49,000 FINANCIAL PROFESSIONALS HONES 2752 01:52:49,001 --> 01:52:52,000 AND ACCOUNTABLE. 2753 01:52:52,001 --> 01:52:53,000 MUCH OF THE NEXT HALF CENTURY, 2754 01:52:53,001 --> 01:52:54,000 AS OUR ECONOMY RECOVERED FROM 2755 01:52:54,001 --> 01:52:56,000 THE GREAT DEPRESSION AND 2756 01:52:56,001 --> 01:52:59,000 PROSPERITY RETURNED TO AMERICA, 2757 01:52:59,001 --> 01:53:00,000 THE SYSTEM WORKED JUST AS IT WAS 2758 01:53:00,001 --> 01:53:02,000 INTENDED. 2759 01:53:02,001 --> 01:53:05,000 AS A FORMER BANKER, I CAN 2760 01:53:05,001 --> 01:53:06,000 PERSONALLY SPEAK TO THE 2761 01:53:06,001 --> 01:53:07,000 SIGNIFICANCE OF THE 2762 01:53:07,001 --> 01:53:10,000 GLASS-STEAGALL ACT IN HELPING TO 2763 01:53:10,001 --> 01:53:14,000 KEEP OUR FINANCIAL SYSTEM ON AN 2764 01:53:14,001 --> 01:53:15,000 EVEN KEEL. 2765 01:53:15,001 --> 01:53:16,000 THIS IMPORTANT LAW WAS 2766 01:53:16,001 --> 01:53:18,000 ESTABLISHED TO THE STABILITY OF 2767 01:53:18,001 --> 01:53:21,000 OUR ECONOMY RIGHT UP TO THE 2768 01:53:21,001 --> 01:53:22,000 MOMENT WHEN MY REPUBLICAN 2769 01:53:22,001 --> 01:53:25,000 FRIENDS REPEALED IT A LITTLE 2770 01:53:25,001 --> 01:53:27,000 MORE THAN A DECADE AGO. 2771 01:53:27,001 --> 01:53:29,000 IN 1999, THE REPUBLICAN CONGRESS 2772 01:53:29,001 --> 01:53:32,000 DECIDED THAT THERE WAS NO LONGER 2773 01:53:32,001 --> 01:53:33,000 A NEED TO KEEP COMMERCIAL AND 2774 01:53:33,001 --> 01:53:36,000 INVESTMENT BANKS SEPARATED SO 2775 01:53:36,001 --> 01:53:38,000 THEY PASSED A BILL THAT ROLLED 2776 01:53:38,001 --> 01:53:39,000 BACK KEY PORTIONS OF 2777 01:53:39,001 --> 01:53:42,000 GLASS-STEAGALL ACT. 2778 01:53:42,001 --> 01:53:44,000 UNFORTUNATELY, PRESIDENT CLINTON 2779 01:53:44,001 --> 01:53:47,000 SIGNED IT INTO LAW, AND WITH THE 2780 01:53:47,001 --> 01:53:48,000 STROKE OF A PEN, THE WALLS 2781 01:53:48,001 --> 01:53:52,000 BETWEEN COMMERCIAL BANKS AND 2782 01:53:52,001 --> 01:53:53,000 INVESTMENT BANKS WAS TORN DOWN. 2783 01:53:53,001 --> 01:53:54,000 ALMO 2784 01:53:54,001 --> 01:53:56,000 INSTITUTIONS STARTED TO MOVE 2785 01:53:56,001 --> 01:53:59,000 INTO THIS FRESH TERRITORY. 2786 01:53:59,001 --> 01:54:00,000 THEY STARTED TO UNDERITE 2787 01:54:00,001 --> 01:54:01,000 C.D.O.'S AND MORTGAGE-BACKED 2788 01:54:01,001 --> 01:54:04,000 SECURITIES. 2789 01:54:04,001 --> 01:54:05,000 THEN THEY BEGAN TO TRADE THEM. 2790 01:54:05,001 --> 01:54:06,000 MR. PRESIDENT, COMMERCIAL 2791 01:54:06,001 --> 01:54:09,000 LENDERS EVEN CREATED NEW 2792 01:54:09,001 --> 01:54:13,000 INVESTMENT VEHICLES WHICH 2793 01:54:13,001 --> 01:54:14,000 BROUGHT THESE VERY -- WHICH 2794 01:54:14,001 --> 01:54:16,000 BROUGHT THESE VERY SAME SECURITIES. 2795 01:54:16,001 --> 01:54:18,000 WITHOUT THE GLASS-STEAGALL ACT, 2796 01:54:18,001 --> 01:54:20,000 IT WAS A FREE-FOR-ALL, AND AS 2797 01:54:20,001 --> 01:54:21,000 SOON AS THE REGULATIONS WERE 2798 01:54:21,001 --> 01:54:23,000 REMOVED, BIG BANKS SWOOPED IN 2799 01:54:23,001 --> 01:54:25,000 WITHOUT REGARD TO RESPONSIBLE 2800 01:54:25,001 --> 01:54:27,000 LENDING PRACTICES. 2801 01:54:27,001 --> 01:54:29,000 CONFLICTS OF INTEREST SPRANG UP 2802 01:54:29,001 --> 01:54:30,000 EVERYWHERE, FRAUD WAS ALLEGEDLY 2803 01:54:30,001 --> 01:54:33,000 COMMITTED BY SOME OF OUR LARGEST 2804 01:54:33,001 --> 01:54:36,000 AND MOST RESPECTED INSTITUTIONS. 2805 01:54:36,001 --> 01:54:38,000 AND THEN TWO YEARS AGO, OUR 2806 01:54:38,001 --> 01:54:41,000 ECONOMY WENT INTO A MASSIVE 2807 01:54:41,001 --> 01:54:42,000 DOWNWARD SPIRAL, AND A GREAT 2808 01:54:42,001 --> 01:54:45,000 RECESSION FROM WHICH WE'RE STILL 2809 01:54:45,001 --> 01:54:46,000 TRYING TO MR. PRESIDENT. 2810 01:54:46,001 --> 01:54:47,000 THE REPEAL OF GLASS-STEAGALL 2811 01:54:47,001 --> 01:54:50,000 CERTAINLY DID NOT CAUSE THIS 2812 01:54:50,001 --> 01:54:52,000 FINANCIAL CRISIS ON ITS OWN BUT MANY BELIEVED IT WAS A 2813 01:54:52,001 --> 01:54:53,000 CONTRIBUTING FACTOR. 2814 01:54:53,001 --> 01:54:56,000 AND UNLESS WE CAN TAKE ACTION TO 2815 01:54:56,001 --> 01:54:57,000 CLOSE THIS REGULATORY GAP, THE 2816 01:54:57,001 --> 01:55:00,000 ABSENCE OF GLASS-STEAGALL WOULD 2817 01:55:00,001 --> 01:55:02,000 EXPOSE OUR ECONOMY TO MAJOR 2818 01:55:02,001 --> 01:55:04,000 SYSTEMATIC RISK IN THE FUTURE. 2819 01:55:04,001 --> 01:55:06,000 SOODAY, AS THE SENATE STANDS 2820 01:55:06,001 --> 01:55:08,000 ON THE VERGE OF CONSIDERING 2821 01:55:08,001 --> 01:55:10,000 MAJOR FINANCIAL REFORM, I WOULD 2822 01:55:10,001 --> 01:55:13,000 URGE MY COLLEAGUES TO REINSTATE 2823 01:55:13,001 --> 01:55:15,000 SOME OF THESE PROTECTIONS. 2824 01:55:15,001 --> 01:55:17,000 WE MUST PREVENT BIG BANKS FROM 2825 01:55:17,001 --> 01:55:19,000 ENGAGING IN THESE IRRESPONSIBLE 2826 01:55:19,001 --> 01:55:21,000 PRACTICES EVER AGAIN. 2827 01:55:21,001 --> 01:55:23,000 THAT IS WHY I'M PROUD TO SUPPORT 2828 01:55:23,001 --> 01:55:24,000 THE VOLCKER RULE WHICH MY 2829 01:55:24,001 --> 01:55:26,000 FRIEND, SENATOR DODD, HAS 2830 01:55:26,001 --> 01:55:27,000 INCLUDED IN HIS FINANCIAL REFORM 2831 01:55:27,001 --> 01:55:28,000 BILL. 2832 01:55:28,001 --> 01:55:30,000 THIS PROVISION WILL PREVENT 2833 01:55:30,001 --> 01:55:31,000 TRADITIONAL BANKSROM MAKING 2834 01:55:31,001 --> 01:55:33,000 PRIVATE EQUITY INVESTMENTS. 2835 01:55:33,001 --> 01:55:34,000 IT WILL STOP THEM FROM RUNNING 2836 01:55:34,001 --> 01:55:36,000 HEDGE FUNDS. 2837 01:55:36,001 --> 01:55:39,000 IT WILL HELP KEEP THEM FROM 2838 01:55:39,001 --> 01:55:41,000 PLACING BETS ON THE MARKET. 2839 01:55:41,001 --> 01:55:44,000 MR. PRESIDENT, AS A KEY PART OF 2840 01:55:44,001 --> 01:55:45,000 SENATOR DODD'S BILL, THE VOLCKER 2841 01:55:45,001 --> 01:55:47,000 RULE WOULD ESSENTIALLY SERVE AS 2842 01:55:47,001 --> 01:55:49,000 A MODERNIZED VERSION OF THE 2843 01:55:49,001 --> 01:55:50,000 GLASS-STEAGALL ACT, AND IT WOULD 2844 01:55:50,001 --> 01:55:52,000 STOP SHORT OF REINSTATING THE 2845 01:55:52,001 --> 01:55:54,000 OLD LAW OF 2846 01:55:54,001 --> 01:55:55,000 HELP TO PREVENT FRAUD, 2847 01:55:55,001 --> 01:55:56,000 DISCOURAGE CONFLICTS OF INTEREST 2848 01:55:56,001 --> 01:55:58,000 INTEREST, AND KEEP LARGE BANKS 2849 01:55:58,001 --> 01:55:59,000 FROM ENGAGING IN RECKLESS 2850 01:55:59,001 --> 01:56:00,000 BEHAVIOR. 2851 01:56:00,001 --> 01:56:01,000 IT WOULD ALSO ALLOW US TO 2852 01:56:01,001 --> 01:56:03,000 REGULATE MERGERS AMONG OUR 2853 01:56:03,001 --> 01:56:05,000 BIGGEST BANKS SO THAT WE CAN 2854 01:56:05,001 --> 01:56:07,000 PREVENT THE MARKET FROM BECOMING 2855 01:56:07,001 --> 01:56:11,000 TOO CONCENTRATED OR INCURRING 2856 01:56:11,001 --> 01:56:13,000 SYSTEMIC RISK. 2857 01:56:13,001 --> 01:56:14,000 MR. PRESIDENT, I BELIEVE THES 2858 01:56:14,001 --> 01:56:17,000 THESE -- I BELIEVE EACH OF THESE 2859 01:56:17,001 --> 01:56:19,000 KEY COMPONENTS IS A NECESSARY 2860 01:56:19,001 --> 01:56:21,000 PART OF ANY FINANCIAL REFORM BILL. 2861 01:56:21,001 --> 01:56:22,000 THAT'S WHY I'M PROUD TO JOIN 2862 01:56:22,001 --> 01:56:23,000 SENATOR DODD AS WELL AS 2863 01:56:23,001 --> 01:56:26,000 PRESIDENT OBAMA IN SUPPORTING 2864 01:56:26,001 --> 01:56:27,000 THE VOLCKER RULE. 2865 01:56:27,001 --> 01:56:30,000 COLLEAGUES, LET US LEARN FROM 2866 01:56:30,001 --> 01:56:31,000 THE EVENTS OF HISTORY. 2867 01:56:31,001 --> 01:56:32,000 LET US IMPOSE FAIR AND 2868 01:56:32,001 --> 01:56:34,000 REASONABLE REGULATIONS SO THAT A 2869 01:56:34,001 --> 01:56:36,000 HANDFUL OF BANKS WON'T BE ABLE 2870 01:56:36,001 --> 01:56:40,000 TO UNDERMINE THE AMERICAN 2871 01:56:40,001 --> 01:56:42,000 ECONOMY WITH A FEW FOOLISH DECISIONS. 2872 01:56:42,001 --> 01:56:44,000 LET US PASS FINANCIAL REFORM 2873 01:56:44,001 --> 01:56:45,000 BILL THAT INCLUDES THE VOLCKER RULE. 2874 01:56:45,001 --> 01:56:47,000 THANK YOU, MR. PRESIDENT. 2875 01:56:47,001 --> 01:56:48,000 I YIELD THE FLOOR AND SUGGEST 2876 01:56:48,001 --> 01:56:49,000 TH 2877 01:56:49,001 --> 01:56:55,000 THE PRESIDING OFFICER: THE CLERK 2878 01:56:55,001 --> 01:57:18,000 WILL CALL THE ROLL. 2879 01:57:18,001 --> 01:57:19,000 QUORUM C 2880 01:57:19,001 --> 01:57:20,000 MR. BURRIS: MR. PRESIDENT, I 2881 01:57:20,001 --> 01:57:21,000 REQUEST THAT THE QUORUM CALL BE VITIATED. 2882 01:57:21,001 --> 01:57:26,000 THE PRESIDING OFFICER: WITHOUT OBJECTION. 2883 01:57:26,001 --> 01:57:27,000 MR. BURRIS: MR. PRESINT, 2884 01:57:27,001 --> 01:57:28,000 HAVE CON 2885 01:57:28,001 --> 01:57:32,000 FLOOR HERE. 2886 01:57:32,001 --> 01:57:36,000 I HAVE NINE UNANIMOUS CONSENT 2887 01:57:36,001 --> 01:57:37,000 REQUESTS FOR COMMITTEES TO MEET 2888 01:57:37,001 --> 01:57:38,000 DURING TODAY'S SESSION OF THE SENATE. 2889 01:57:38,001 --> 01:57:39,000 THEY HAVE THE APPROVAL OF THE 2890 01:57:39,001 --> 01:57:40,000 MAJORITY AND MINORITY LEADERS. 2891 01:57:40,001 --> 01:57:41,000 I ASK UNANIMOUS CONSENT THAT 2892 01:57:41,001 --> 01:57:42,000 THESE REQUESTS BE AGREED TO AND 2893 01:57:42,001 --> 01:57:43,000 THAT THESE REQUESTS BE PRINTED 2894 01:57:43,001 --> 01:57:44,000 IN THE RECORD. 2895 01:57:44,001 --> 01:57:48,000 THE PRESIDING OFFICER: WITHOUT 2896 01:57:48,001 --> 01:57:49,000 JECTION. 2897 01:57:49,001 --> 01:57:50,000 MR. BURRIS: THANK YOU, 2898 01:57:50,001 --> 01:57:51,000 MR 2899 01:57:51,001 --> 01:57:54,000 I SUGGEST THE ABSENCE OF A QUORUM. THE PRESIDING OFFICER: THE CLERK 2900 01:57:54,001 --> 02:00:13,000 WILL CALL THE ROLL. 2901 02:00:13,001 --> 02:15:20,000 QUORUM CALL: 2902 02:15:20,001 --> 02:29:59,000 QUORUM CALL: 2903 02:29:59,001 --> 02:45:17,000 QUORUM CALL: 2904 02:45:17,001 --> 02:54:36,000 QUORUM CALL: 2905 02:54:36,001 --> 02:54:37,000 QUORUM CALL: 2906 02:54:37,001 --> 02:54:38,000 MR. FEINGOLD: MR. PRESIDENT? 2907 02:54:38,001 --> 02:54:40,000 THE PRESIDING OFFICER: IS NOT 2908 02:54:40,001 --> 02:54:41,000 FRR WISCONSIN IS RECOGNIZED. 2909 02:54:41,001 --> 02:54:42,000 MR. FEINGOLD: ARE WE IN A 2910 02:54:42,001 --> 02:54:43,000 QUOR 2911 02:54:43,001 --> 02:54:44,000 OFFICER WE'RE, SENATOR. 2912 02:54:44,001 --> 02:54:45,000 MR. FEINGOLD: I ASK THAT 2913 02:54:45,001 --> 02:54:46,000 FURTHER PROCEEDINGS UER THE 2914 02:54:46,001 --> 02:54:47,000 QUORUM CALL BE DISPENSED WITH. 2915 02:54:47,001 --> 02:54:48,000 THE PRESIDING OFFICER: WITHOUT 2916 02:54:48,001 --> 02:54:50,000 OBJECTION, SO ORDERED. 2917 02:54:50,001 --> 02:54:51,000 MR. FEINGOLD: MR. PRESIDENT -- 2918 02:54:51,001 --> 02:54:53,000 MR. PRESIDENT, I COME TO THE 2919 02:54:53,001 --> 02:54:55,000 FLOOR TO RECOGNIZE THE 40th 2920 02:54:55,001 --> 02:54:57,000 ANNIVERSARY OF EARTH DAY AND T 2921 02:54:57,001 --> 02:55:00,000 REMEMBER THE MAN WHO FOUNDED 2922 02:55:00,001 --> 02:55:03,000 EARTH DAY, THE LATE-WISCONSIN 2923 02:55:03,001 --> 02:55:04,000 GOVERNOR AND SENATOR GAYLORD NELSON. 2924 02:55:04,001 --> 02:55:07,000 BEFORE HE WAS THE FOUNDER OF 2925 02:55:07,001 --> 02:55:08,000 EARTH DAY AND ONE OF THE 2926 02:55:08,001 --> 02:55:09,000 NATION'S GREATEST 2927 02:55:09,001 --> 02:55:10,000 CONSERVATIONIST, AVENUES SON OF 2928 02:55:10,001 --> 02:55:12,000 WHICH IS WISSMENTS AVENUES YOUNG 2929 02:55:12,001 --> 02:55:14,000 BOY GROWING UP IN THE TOWN OF 2930 02:55:14,001 --> 02:55:16,000 CLEAR LAKE, WISCONSIN AMID THE 2931 02:55:16,001 --> 02:55:17,000 GREAT NATURAL BEAUTY OF OUR 2932 02:55:17,001 --> 02:55:19,000 STATE. 2933 02:55:19,001 --> 02:55:21,000 WHEN ASKED HOW HE DEVELOPED HIS 2934 02:55:21,001 --> 02:55:24,000 LIFELONG INTEREST AND DEDICATION 2935 02:55:24,001 --> 02:55:27,000 TO THE ENVIRONMENT, NELSON WOULD 2936 02:55:27,001 --> 02:55:28,000 SAY, "BY OSMOSIS" WHILE GROWING 2937 02:55:28,001 --> 02:55:30,000 UP IN CLEAR LAKE, WHICH IS WHICH. 2938 02:55:30,001 --> 02:55:32,000 HE REFLECTED THE VERY BEST OF 2939 02:55:32,001 --> 02:55:34,000 OUR STATE FROM THE BEGINNING, 2940 02:55:34,001 --> 02:55:35,000 BUILDING ON WISCONSIN'S LONG 2941 02:55:35,001 --> 02:55:37,000 TRADITION OF ENVIRONMENTAL 2942 02:55:37,001 --> 02:55:40,000 CONSERVATION. 2943 02:55:40,001 --> 02:55:43,000 OUR STATE PASSED LANDMARK FOREST 2944 02:55:43,001 --> 02:55:45,000 AND WATER POWER CONSERVATION ACT 2945 02:55:45,001 --> 02:55:48,000 ACTS DURING THE PROGRESSIVE ERA 2946 02:55:48,001 --> 02:55:50,000 AND LAYS CLAIM NOT ONLY TO 2947 02:55:50,001 --> 02:55:51,000 GAYLORD NELSON BUT TO OTHER 2948 02:55:51,001 --> 02:55:56,000 GIANTS OF THE CONSERVATION 2949 02:55:56,001 --> 02:55:59,000 MOVEMENT LIKE ALDO LEOPOLD. 2950 02:55:59,001 --> 02:56:02,000 ALL WERE INSPIRED, AS NELSON 2951 02:56:02,001 --> 02:56:03,000 WAS, BY THE BEAUTIFUL WISCONSIN 2952 02:56:03,001 --> 02:56:04,000 WILDERNESS, THE NATURAL BEAUTY 2953 02:56:04,001 --> 02:56:06,000 OF OUR STATE CHARTED THE COURSE 2954 02:56:06,001 --> 02:56:09,000 OF NELSOS LIFE FROM THE SHORES 2955 02:56:09,001 --> 02:56:11,000 OF CLEAR LAKE TO THE BANKS OF 2956 02:56:11,001 --> 02:56:13,000 THE POTOMAC WHERE HE CHANGED THE 2957 02:56:13,001 --> 02:56:15,000 WAY WE THINK ABOUT OUR PLANET 2958 02:56:15,001 --> 02:56:17,000 AND CHANGED THE LAW TO PROTECT 2959 02:56:17,001 --> 02:56:19,000 THE WATER WE DRINK AND THE AIR 2960 02:56:19,001 --> 02:56:21,000 WE BREATHE. 2961 02:56:21,001 --> 02:56:23,000 THERE ARE FEW MEMBERS OF THIS 2962 02:56:23,001 --> 02:56:26,000 BODY, PAST OR PRESENT, WHO HAVE 2963 02:56:26,001 --> 02:56:28,000 LEFT SUCH A VALUABLE LEGACY. 2964 02:56:28,001 --> 02:56:29,000 SO TODAY I'M PROUD TO HELP 2965 02:56:29,001 --> 02:56:30,000 CELEBRATE THAT LEGAC WITH A 2966 02:56:30,001 --> 02:56:32,000 RESOLUTION IN THE HOUSE AND 2967 02:56:32,001 --> 02:56:35,000 SENATE CELEBRATING THE 40th 2968 02:56:35,001 --> 02:56:37,000 ANNIVERSARY OF EARTH DAY AND ITS FOUNDER. 2969 02:56:37,001 --> 02:56:38,000 AS WE LOOK AHEAD TO THE MANY 2970 02:56:38,001 --> 02:56:40,000 CHALLENGES WE FACE, WE CAN DRAW 2971 02:56:40,001 --> 02:56:42,000 STRENGTH FROM THE EXAMPLE 2972 02:56:42,001 --> 02:56:44,000 GAYLORD SET FORS ALL. 2973 02:56:44,001 --> 02:56:46,000 HE DROVE TREMENDOUS CHANGE AND 2974 02:56:46,001 --> 02:56:47,000 WITH EARTH DAY CREATED A NEW 2975 02:56:47,001 --> 02:56:49,000 MOMENTUM THAT HAS BEEN CRITICAL 2976 02:56:49,001 --> 02:56:54,000 TO SO MANY EFFORTS TO PROTECT 2977 02:56:54,001 --> 02:56:57,000 THE HEALTH OF OUR ENVIRONMENT. 2978 02:56:57,001 --> 02:56:59,000 GAYLORD ALSO UNDERSTOOD THE 2979 02:56:59,001 --> 02:57:02,000 CONNECTION BETWEEN FISCAL 2980 02:57:02,001 --> 02:57:03,000 RESPONSIBILITY AND CONSERVATION. 2981 02:57:03,001 --> 02:57:05,000 TOO OFTEN A FEDERAL PROGRAM THAT 2982 02:57:05,001 --> 02:57:07,000 IS WASTING TAXPAYER DOLLARS IS 2983 02:57:07,001 --> 02:57:09,000 ALSO LAYING WASTE TO OUR AIR, OR 2984 02:57:09,001 --> 02:57:11,000 WATER OR OUR PUBLIC LAND. 2985 02:57:11,001 --> 02:57:13,000 THE NATION'S OUTDATED MINING 2986 02:57:13,001 --> 02:57:14,000 LAWS ARE A PERFECT EXAMPLE. 2987 02:57:14,001 --> 02:57:17,000 THESE LAWS ALLOW MINING 2988 02:57:17,001 --> 02:57:18,000 COMPANIES TO ON OUR PUBLIC 2989 02:57:18,001 --> 02:57:20,000 LANDS 2990 02:57:20,001 --> 02:57:21,000 FOR NEXT TO NOTHING AND LEAVE 2991 02:57:21,001 --> 02:57:22,000 BEHIND AN ENVIRONMENTAL MESS FOR 2992 02:57:22,001 --> 02:57:24,000 TAXPAYERS TO CLEAN UP. 2993 02:57:24,001 --> 02:57:25,000 GAYLORD FOUGHT TO CHANGE THOSE LAWS 2994 02:57:25,001 --> 02:57:27,000 AND WHEN I WAS ELECTS TO THE 2995 02:57:27,001 --> 02:57:28,000 SENATE HE ASKED ME TO TAKE UP 2996 02:57:28,001 --> 02:57:30,000 THIS FIGHT, AND I HAVE. 2997 02:57:30,001 --> 02:57:32,000 I MADE IT PART OF MY CONTROL 2998 02:57:32,001 --> 02:57:35,000 SPENDING NOW ACT, LEGISLATION TO 2999 02:57:35,001 --> 02:57:38,000 CUT THE DEFICIT BY ABOUT $500 3000 02:57:38,001 --> 02:57:40,000 BILLION OVER THE NEXT TEN YEARS. 3001 02:57:40,001 --> 02:57:43,000 MR. PRESIDENT, IF WE SCRAP THESE 3002 02:57:43,001 --> 02:57:44,000 OUTDATED MINING LAWS, WE COULD 3003 02:57:44,001 --> 02:57:46,000 SAVE TAXPAYERS HUNDREDS OF 3004 02:57:46,001 --> 02:57:47,000 MILLIONS OF DOLLARS AND PROTECT 3005 02:57:47,001 --> 02:57:50,000 THE PUBLIC LANDS THAT BELONG TO 3006 02:57:50,001 --> 02:57:53,000 THE AMERICAN PEOPLE. 3007 02:57:53,001 --> 02:57:54,000 THEY DON'T BELONG TO THE MINING COMPANIES. 3008 02:57:54,001 --> 02:57:55,000 I'M ALSO WOGGING ON ANOTHER 3009 02:57:55,001 --> 02:57:57,000 ENVIRONMENTAL ISSUE THAT HAS A 3010 02:57:57,001 --> 02:58:00,000 SPECIAL CONNECTION TO GAYLORD 3011 02:58:00,001 --> 02:58:02,000 NELSON, AND THAT'S CLEAN WATER. 3012 02:58:02,001 --> 02:58:05,000 THE MAN FROM CLEAR LAKE DID SO 3013 02:58:05,001 --> 02:58:06,000 MUCH FOR CLEAR, CLEAN WATER 3014 02:58:06,001 --> 02:58:10,000 EVERYWHERE, INCLUDING BEING A 3015 02:58:10,001 --> 02:58:14,000 CHAMPION OF THE CLEAN WATER ACT. 3016 02:58:14,001 --> 02:58:16,000 TODAY THE CLEAN WATER ACT IS 3017 02:58:16,001 --> 02:58:18,000 UNDER THREAT BECAUSE TWO RECENT 3018 02:58:18,001 --> 02:58:21,000 SUPREME COURT DECISIONS HAVE JEOPARDIZED IT. 3019 02:58:21,001 --> 02:58:22,000 THOSE DECISIONS PUT A NEARLY 20 3020 02:58:22,001 --> 02:58:25,000 MILLION ACRES OF WETLANDS 3021 02:58:25,001 --> 02:58:27,000 HABITAT AND MORE THAN 50% OF OUR 3022 02:58:27,001 --> 02:58:28,000 EXTREME MILES IN THE LOWER 48 3023 02:58:28,001 --> 02:58:30,000 STATES AT RISK. 3024 02:58:30,001 --> 02:58:33,000 THESE WATERS COULD NOW BECOME 3025 02:58:33,001 --> 02:58:36,000 POLLUTED OR WIPED OFF ALTOGETHER 3026 02:58:36,001 --> 02:58:37,000 UNLESS CONGRESS TAKES ACTION. 3027 02:58:37,001 --> 02:58:38,000 I'M WORKING TO SEE THAT CONGRESS 3028 02:58:38,001 --> 02:58:40,000 STAND UP TO THE SPECIAL 3029 02:58:40,001 --> 02:58:41,000 INTERESTS THAT WANT TO ROLL BACK 3030 02:58:41,001 --> 02:58:43,000 THE CLEAN WATER ACT'S PROTECTION 3031 02:58:43,001 --> 02:58:45,000 AND ENSURE THAT THESE BODIES OF 3032 02:58:45,001 --> 02:58:47,000 WATER CAN CONTINUE TO PROVIDE 3033 02:58:47,001 --> 02:58:49,000 DRINKING WATER, WILDLIFE 3034 02:58:49,001 --> 02:58:51,000 HABITAT, RECREATION, AND SUPPORT 3035 02:58:51,001 --> 02:58:52,000 FOR INDUSTRY AND AGRICULTURE FOR 3036 02:58:52,001 --> 02:58:54,000 GENERATIONS OF WISCONSINITES TO 3037 02:58:54,001 --> 02:58:55,000 COME. 3038 02:58:55,001 --> 02:58:58,000 SO I'VE JOINED WITH MINNESOTA 3039 02:58:58,001 --> 02:58:59,000 REPRESENTATIVE JIM OBERSTAR TO 3040 02:58:59,001 --> 02:59:00,000 INTRODUCE THE CLEAN WATER 3041 02:59:00,001 --> 02:59:02,000 RESTORATION ACT THIS. 3042 02:59:02,001 --> 02:59:04,000 BILL IS DESIGNED TO ACCOMPLISH 3043 02:59:04,001 --> 02:59:06,000 ONE BASIC AND IMPORTANT GOAL: 3044 02:59:06,001 --> 02:59:09,000 ENSURE THAT THE CLEAN WATER ACT 3045 02:59:09,001 --> 02:59:11,000 OF 1972 STAYS IN PLACE. 3046 02:59:11,001 --> 02:59:12,000 THERE ARE NO NEW REGULATIONS IN 3047 02:59:12,001 --> 02:59:14,000 OUR LEGISLATION. 3048 02:59:14,001 --> 02:59:16,000 ONLY A RETURN TO THE ORIGINAL 3049 02:59:16,001 --> 02:59:18,000 INTENT OF THE CLEAN WATER ACT, 3050 02:59:18,001 --> 02:59:20,000 WHICH HAS PROTECTED OUR WATERS 3051 02:59:20,001 --> 02:59:22,000 FOR MORE THAN 35 YEARS. 3052 02:59:22,001 --> 02:59:23,000 GAYLORD NELSON AND OTHERS HAVE 3053 02:59:23,001 --> 02:59:25,000 DONE SO MUCH TO PROTECT THE 3054 02:59:25,001 --> 02:59:26,000 HEALTH OF OUR WATERS, AND WE OWE 3055 02:59:26,001 --> 02:59:28,000 IT TO THEM AND OURSELVES TO 3056 02:59:28,001 --> 02:59:30,000 CARRY THAT LEGACY FORWARD. 3057 02:59:30,001 --> 02:59:33,000 THAT'S WHAT I SEEK TO DO IN THE 3058 02:59:33,001 --> 02:59:34,000 SENATE WITH THE CLEAN WATER 3059 02:59:34,001 --> 02:59:35,000 RESTORATION ACT. 3060 02:59:35,001 --> 02:59:38,000 NOW WE FACE MANY CHALLENGES -- 3061 02:59:38,001 --> 02:59:39,000 OTHER CHALLENGES AS WELL. 3062 02:59:39,001 --> 02:59:41,000 OF COURSE CLIMATE CHANGE LOOMS 3063 02:59:41,001 --> 02:59:43,000 LARGEST OF ALL. 3064 02:59:43,001 --> 02:59:44,000 WE NEED TO ADDRESS THE SERIOUS 3065 02:59:44,001 --> 02:59:46,000 PROBLEM OF CLIMATE CHANGE AND DO 3066 02:59:46,001 --> 02:59:48,000 SO WITHOUT UNFAIRLY HURTING 3067 02:59:48,001 --> 02:59:49,000 WISCONSIN, WHICH RELIES ON COAL 3068 02:59:49,001 --> 02:59:52,000 FOR MUCH OF ITS ENEY NEEDS. 3069 02:59:52,001 --> 02:59:54,000 IF WE DO THIS RIGHT, WE HAVE AN 3070 02:59:54,001 --> 02:59:58,000 OPPORTUNITY TO PASS LEGISLATION 3071 02:59:58,001 --> 03:00:00,000 THAT WILL REDUCE GREENHOUSE GAS 3072 03:00:00,001 --> 03:00:01,000 EMISSIONS AND CREATE ENERGY JOBS 3073 03:00:01,001 --> 03:00:02,000 IN WISCONSIN. 3074 03:00:02,001 --> 03:00:04,000 WE CAN HELP AMERICAN BUSINESSES 3075 03:00:04,001 --> 03:00:07,000 GAIN A COMPETITIVE ADVANTAGE 3076 03:00:07,001 --> 03:00:09,000 DEVELOPING NEW RENEWABLE ENERGY 3077 03:00:09,001 --> 03:00:10,000 AND ENERGY-EFFICIENCY 3078 03:00:10,001 --> 03:00:11,000 TECHNOLOGIES. 3079 03:00:11,001 --> 03:00:13,000 THE DESIRE TO PROTECT OUR AIR, 3080 03:00:13,001 --> 03:00:15,000 OUR WATER, AND OUR PLANET WILL 3081 03:00:15,001 --> 03:00:16,000 BRING PEOPLE TOGETHER TOMORROW 3082 03:00:16,001 --> 03:00:18,000 ALL AROUND THE WORLD. 3083 03:00:18,001 --> 03:00:20,000 IT WILL TALK ABOUT GLOBAL ISSUES 3084 03:00:20,001 --> 03:00:21,000 WE FACE AND THE LOCAL 3085 03:00:21,001 --> 03:00:23,000 ENVIRONMENTAL ISSUES IN THEIR 3086 03:00:23,001 --> 03:00:24,000 COMMUNITIES THAT THEY WANT TO 3087 03:00:24,001 --> 03:00:25,000 ADDRESS. 3088 03:00:25,001 --> 03:00:28,000 THEY WILL ORGANIZE, MOBILIZE, 3089 03:00:28,001 --> 03:00:31,000 AND GVANIZE NEW MOMENTUM FOR CHANGE. 3090 03:00:31,001 --> 03:00:32,000 THAT'S EXACTLY WHAT GAYLORD 3091 03:00:32,001 --> 03:00:34,000 NELSON INTENDED. 3092 03:00:34,001 --> 03:00:35,000 HE KNEW THE POWER OF PEOPLE 3093 03:00:35,001 --> 03:00:36,000 COMING TOGETHER AND WHAT THAT 3094 03:00:36,001 --> 03:00:37,000 COULD MEAN FOR THE AIR WE 3095 03:00:37,001 --> 03:00:39,000 BREATHE. 3096 03:00:39,001 --> 03:00:41,000 THE WATER WE DRINK AND THE 3097 03:00:41,001 --> 03:00:42,000 NATIONAL PARKS AND PUBLIC LANDS 3098 03:00:42,001 --> 03:00:44,000 WE ALL CHERISH. 3099 03:00:44,001 --> 03:00:46,000 HE KNEW THAT THESE NATURAL 3100 03:00:46,001 --> 03:00:47,000 RESOURCES CONNECT US ALL AND 3101 03:00:47,001 --> 03:00:49,000 THAT EAR DAY WOULD BRING US 3102 03:00:49,001 --> 03:00:52,000 TOGETH TO PROTECT THEM. 3103 03:00:52,001 --> 03:00:54,000 I AM SO GRATEFUL TO HAVE KNOWN 3104 03:00:54,001 --> 03:00:59,000 GAYLORD NELSON, AND I'M PROUD OF 3105 03:00:59,001 --> 03:01:01,000 THE LEGACY HE LEFT BEHIND. 3106 03:01:01,001 --> 03:01:02,000 THE 40th ANNIVERSARY OF EARTH 3107 03:01:02,001 --> 03:01:04,000 DAY, WE REMEMBER THE MAN FROM 3108 03:01:04,001 --> 03:01:06,000 CLEAR LAKE W CAME TO THIS BODY 3109 03:01:06,001 --> 03:01:08,000 INSPIRED BY THE BEAUTIFUL 3110 03:01:08,001 --> 03:01:10,000 WISCONSIN LANDSCAPE OF HIS 3111 03:01:10,001 --> 03:01:12,000 CHILDHOOD AND IN THE END MAD A 3112 03:01:12,001 --> 03:01:16,000 BETTER WORLD FOR US ALL. 3113 03:01:16,001 --> 03:01:17,000 MADAM CHAIR, I YIELD THE 3114 03:01:17,001 --> 03:01:18,000 A SENATOR: 3115 03:01:18,001 --> 03:01:19,000 THE PRESIDING OFFICER: THE 3116 03:01:19,001 --> 03:01:21,000 SENATOR FROMG? VERMONT. 3117 03:01:21,001 --> 03:01:24,000 MR. LEAHY: MADAM PREDENT, 3118 03:01:24,001 --> 03:01:25,000 FIRST, I WOULD SAY TO MY 3119 03:01:25,001 --> 03:01:27,000 DISTINGUISHED FRIEND FROM 3120 03:01:27,001 --> 03:01:31,000 WISCONSIN, I WAS DELIGHTED TO 3121 03:01:31,001 --> 03:01:32,000 HEAR THOSE WORDS ABOUT GAYLORD NELSON. 3122 03:01:32,001 --> 03:01:38,000 I HAD THE PRIVILEGE OF SERVING 3123 03:01:38,001 --> 03:01:42,000 FOR A TERM WITH SENATOR NELSON. 3124 03:01:42,001 --> 03:01:48,000 DOWN TO EARTH, RESPECTED BY ALL 3125 03:01:48,001 --> 03:01:53,000 IN THIS BODY, BUT A COMMITMENT 3126 03:01:53,001 --> 03:01:54,000 TO THE ENVIRONMENT RARELY EVER 3127 03:01:54,001 --> 03:01:55,000 MATCHED. 3128 03:01:55,001 --> 03:01:58,000 THE SENATOR FROM WISCONSIN HAS 3129 03:01:58,001 --> 03:02:00,000 SAID IT FAR MORE ELOQUENTLY THAN 3130 03:02:00,001 --> 03:02:03,000 I COULD, BUT I THINK HOW 3131 03:02:03,001 --> 03:02:05,000 FORTUNATE WE ARE THAT WE HAVE 3132 03:02:05,001 --> 03:02:06,000 THE, THIS THE SENATOR FROM 3133 03:02:06,001 --> 03:02:07,000 WISCONSIN WHO HAS CARRIED OUT 3134 03:02:07,001 --> 03:02:09,000 THAT COMMITMENT TO THE 3135 03:02:09,001 --> 03:02:11,000 ENVIRONMENT, THAT COMMITMENT TO 3136 03:02:11,001 --> 03:02:15,000 THE BEST IDEALS OF OUR GOVERNMENT. 3137 03:02:15,001 --> 03:02:17,000 AND I KNOW THAT OUR DEAR FRIEND, 3138 03:02:17,001 --> 03:02:19,000 DEPARTED FRIEND, GAYLORD NELSON 3139 03:02:19,001 --> 03:02:23,000 WOULD BE SO PROUD TO HAVE YOU 3140 03:02:23,001 --> 03:02:25,000 HERE IN THE SENATE REPRESENTING WISCONSIN. 3141 03:02:25,001 --> 03:02:26,000 MR. FEINGOLD: I THANK THE 3142 03:02:26,001 --> 03:02:28,000 SENATOR FROM VERMONT FOR THOSE 3143 03:02:28,001 --> 03:02:29,000 KIND WORDS, FOR HIS REMBERING 3144 03:02:29,001 --> 03:02:31,000 GAYLORD NELSON, AND OF COURSE 3145 03:02:31,001 --> 03:02:33,000 FOR HIS INCREDIBLE LEGACY OF HIS 3146 03:02:33,001 --> 03:02:34,000 OWN WITH REGARD TO THE 3147 03:02:34,001 --> 03:02:37,000 ENVIRONMENT, COMING FROM ONE OF 3148 03:02:37,001 --> 03:02:38,000 THE MOST BEAUTIFUL STATES IN 3149 03:02:38,001 --> 03:02:39,000 THIS COUNTRY: VERMONT. 3150 03:02:39,001 --> 03:02:40,000 I THANK YOU. 3151 03:02:40,001 --> 03:02:41,000 MR. LEAHY: THANK YOU. 3152 03:02:41,001 --> 03:02:48,000 MADAM PRESIDENT, TODAY THE 3153 03:02:48,001 --> 03:03:00,000 SENATE WILL FINALLY, FINALLY 3154 03:03:00,001 --> 03:03:02,000 CONFIRM SCHROEDER. 3155 03:03:02,001 --> 03:03:03,000 I SAY FINALLY BECAUSE HE WAS 3156 03:03:03,001 --> 03:03:04,000 NOMINATED BY PRESIDENT OBAMA 3157 03:03:04,001 --> 03:03:06,000 NEARLY 11 MONTHS AGO. 3158 03:03:06,001 --> 03:03:07,000 HE APPEARED BEFORE THE SENATE 3159 03:03:07,001 --> 03:03:10,000 JUDICIARY COMMITTEE LAST JUNE. 3160 03:03:10,001 --> 03:03:14,000 HE WAS REPORTED FAVORABLY LAST 3161 03:03:14,001 --> 03:03:17,000 JULY A YEAR AGO WITH NO DISSENT. 3162 03:03:17,001 --> 03:03:19,000 ALL DEMOCRATS, ALL REPUBLICANS 3163 03:03:19,001 --> 03:03:22,000 COMMITTEE, NO DISSENT. 3164 03:03:22,001 --> 03:03:25,000 BUT THEN HE SAT ON THE EXECUTIVE 3165 03:03:25,001 --> 03:03:27,000 CALENDAR FOR FIVE MONTHS BLOCKED 3166 03:03:27,001 --> 03:03:29,000 BY MYSTERIOUSOLDS FROM THE 3167 03:03:29,001 --> 03:03:30,000 REPUBLICAN SIDE. 3168 03:03:30,001 --> 03:03:33,000 THEN, MADAM PRESIDENT, AS THE 3169 03:03:33,001 --> 03:03:38,000 LAST SESSION DREW TO A CLOSE, 3170 03:03:38,001 --> 03:03:41,000 REPUBLICAN SENATORSBJECTED AND 3171 03:03:41,001 --> 03:03:43,000 CARRIED OVER PROFESSOR SCHROEDER'S NOMINATION. 3172 03:03:43,001 --> 03:03:44,000 THE PRESIDENT HAD TO RENOMINATE 3173 03:03:44,001 --> 03:03:46,000 HIM. 3174 03:03:46,001 --> 03:03:48,000 THE PRESIDENT DID THAT, TO HIS CREDIT. 3175 03:03:48,001 --> 03:03:50,000 HIS NOMINATION WAS 3176 03:03:50,001 --> 03:03:51,000 REPORTED FAVORABLY BY THE 3177 03:03:51,001 --> 03:03:53,000 JUDICIARY COMMITTEE AGAIN, A 3178 03:03:53,001 --> 03:03:55,000 ROLL CALL VOTE, A MAJORITY OF 3179 03:03:55,001 --> 03:03:58,000 THE REPUBLICANS VOTED FOR HIM. 3180 03:03:58,001 --> 03:04:01,000 AND FOR THREE MONTHS IT'S BEEN 3181 03:04:01,001 --> 03:04:03,000 BLOCKED ON THIS FLOOR AGAIN. 3182 03:04:03,001 --> 03:04:05,000 PROFESSOR SCHROEDER IS A SCHOLAR 3183 03:04:05,001 --> 03:04:07,000 AND PUBLIC SERVANT WHO HAS 3184 03:04:07,001 --> 03:04:08,000 SERVED WITH DISTINCTION ON THE 3185 03:04:08,001 --> 03:04:11,000 STAFF OF THE SENATE JUDICIARY 3186 03:04:11,001 --> 03:04:12,000 COMMITTEE AND IN THE JUSTICE 3187 03:04:12,001 --> 03:04:15,000 DEPARTMENT AND HAS SUPPORT 3188 03:04:15,001 --> 03:04:17,000 ACROSS THE POLITICAL SPECTRUM. 3189 03:04:17,001 --> 03:04:18,000 THE JUDICIARY COMMITTEE 3190 03:04:18,001 --> 03:04:20,000 RECEIVED -- AND I WILL ASK 3191 03:04:20,001 --> 03:04:21,000 CONSENT TO INCLUDE IN THE 3192 03:04:21,001 --> 03:04:24,000 RECORD -- LETTERS OF SUPPORT 3193 03:04:24,001 --> 03:04:27,000 FROM PROFESSOR SCHROEDER'S 3194 03:04:27,001 --> 03:04:32,000 NOMINATION FROM ARREST THEY ARE 3195 03:04:32,001 --> 03:04:35,000 ARE -- FROM ARTHUR 3196 03:04:35,001 --> 03:04:37,000 KEN STARR, FORMER SOLICITOR 3197 03:04:37,001 --> 03:04:40,000 GENERAL UNDER PRESIDENT GEORGE 3198 03:04:40,001 --> 03:04:46,000 H.W. BUSH, 11 HIGH-RANKING 3199 03:04:46,001 --> 03:04:47,000 DEPARTMENT OFFICIALS AND DEAN 3200 03:04:47,001 --> 03:04:49,000 LEVY OF DUKE LAW SCHOOL. 3201 03:04:49,001 --> 03:04:50,000 I ASK CONSENT TO INCLUDE THOSE 3202 03:04:50,001 --> 03:04:52,000 LETTERS IN THE 3203 03:04:52,001 --> 03:04:54,000 THE PRESIDING OFFICER: WITHOUT OBJECTION. 3204 03:04:54,001 --> 03:04:56,000 MR. LEAHY: CHRIS SCHROEDER IS 3205 03:04:56,001 --> 03:04:59,000 WELL KNOWN TO MANY OF US IN THE SENATE. 3206 03:04:59,001 --> 03:05:00,000 HE SERVED IN MANY POSITIONS, 3207 03:05:00,001 --> 03:05:01,000 INCLUDING CHIEF COUNSEL FOR THE 3208 03:05:01,001 --> 03:05:04,000 JUDICIARY COMMITTEE, WHEN THE 3209 03:05:04,001 --> 03:05:05,000 CHAIRMAN WAS THEN-SENATOR JOE 3210 03:05:05,001 --> 03:05:06,000 BIDEN. 3211 03:05:06,001 --> 03:05:08,000 HE SPENT YEARS IN PRIVATE 3212 03:05:08,001 --> 03:05:09,000 PRACTICE AS A PROFESSOR, 3213 03:05:09,001 --> 03:05:11,000 INCLUDING FOR THE LAST TEN YEARS 3214 03:05:11,001 --> 03:05:14,000 AS DIRECTOR FOR THE PROGRAM 3215 03:05:14,001 --> 03:05:15,000 PUBLIC LAW AT DUKE UNIVERSITY 3216 03:05:15,001 --> 03:05:16,000 LAW SCHOOL. 3217 03:05:16,001 --> 03:05:18,000 HE'S EXTRAORDINARILY WELL 3218 03:05:18,001 --> 03:05:19,000 PREPARED FOR THE POSITION HE'S 3219 03:05:19,001 --> 03:05:23,000 BEEN NOMINATED TO. 3220 03:05:23,001 --> 03:05:26,000 IN FACT, IN MY NEARLY 36 YEARS 3221 03:05:26,001 --> 03:05:28,000 HERE, IT'S HARD TO THINK OF 3222 03:05:28,001 --> 03:05:34,000 SOMEBODY MORE WELL QUALIFIED. 3223 03:05:34,001 --> 03:05:37,000 HE GRADUATED -- HE SERVED A 3224 03:05:37,001 --> 03:05:38,000 NUMBER OF HIGH RANKING POSITIONS 3225 03:05:38,001 --> 03:05:40,000 AT THE JUSTICE. 3226 03:05:40,001 --> 03:05:42,000 HE GRADUATED FROM PRINCETON 3227 03:05:42,001 --> 03:05:45,000 UNIVERSITY, RECEIVED HIS MASTER 3228 03:05:45,001 --> 03:05:46,000 OF DIVINITY FROM YALE DEFINITIVE 3229 03:05:46,001 --> 03:05:47,000 SCHOOL BEFORE EARNING HIS LAW 3230 03:05:47,001 --> 03:05:50,000 DEGREE FROM THE UNIVERSITY OF 3231 03:05:50,001 --> 03:05:52,000 CALIFORNIA BERKELEY IN 1974. 3232 03:05:52,001 --> 03:05:54,000 THERE'S NO QUESTION HE'S WELL 3233 03:05:54,001 --> 03:05:56,000 QUALIFIED TO RUN THE OFFICE OF 3234 03:05:56,001 --> 03:05:57,000 LEGAL POLICY. 3235 03:05:57,001 --> 03:05:59,000 AND IT 3236 03:05:59,001 --> 03:06:02,000 SOMEBODY WHO'S 3237 03:06:02,001 --> 03:06:03,000 CONFIRMED EASILY, IT SHOULDN'T 3238 03:06:03,001 --> 03:06:05,000 BE NECESSARY FOR THE MAJORITY 3239 03:06:05,001 --> 03:06:08,000 LEADER TO HAVE TO FILE CLOTURE 3240 03:06:08,001 --> 03:06:11,000 IN ORDER TO END THE REPUBLICAN 3241 03:06:11,001 --> 03:06:13,000 FILIBUSTER AND FOR THE SENATE TO 3242 03:06:13,001 --> 03:06:15,000 AT LAST HAVE AN UP-OR-DOWN VOTE 3243 03:06:15,001 --> 03:06:17,000 ON PROFESSOR SCHROEDER'S NOMINATION. 3244 03:06:17,001 --> 03:06:19,000 WHAT HAS THIS PLACE COME TO, 3245 03:06:19,001 --> 03:06:20,000 MADAM PRESIDENT, WHEN WE HAVE 3246 03:06:20,001 --> 03:06:22,000 FILIBUSTERS ON ROUTINE 3247 03:06:22,001 --> 03:06:23,000 NOMINATIONS LIKE THIS? 3248 03:06:23,001 --> 03:06:24,000 WE NEVER HAD ANYTHING LIKE THIS BEFORE. 3249 03:06:24,001 --> 03:06:29,000 I REMBER WHEN I FIRST CAME 3250 03:06:29,001 --> 03:06:31,000 HERE, PROBABLY THE BIGGEST 3251 03:06:31,001 --> 03:06:33,000 NOMINATION WE HAD BEFORE A 3252 03:06:33,001 --> 03:06:35,000 HEAVILY DEMOCRATIC-CONTROLLED 3253 03:06:35,001 --> 03:06:36,000 SENATE WAS THE NOMINATION OF A 3254 03:06:36,001 --> 03:06:39,000 CONSERVATIVE REPUBLICAN 3255 03:06:39,001 --> 03:06:42,000 PRESIDENT -- GERALD FORD -- FOR 3256 03:06:42,001 --> 03:06:44,000 THE U.S. SUPREME COURT, 3257 03:06:44,001 --> 03:06:47,000 NOMINATING A REPUBLICAN FROM 3258 03:06:47,001 --> 03:06:55,000 CHICAGO, WELL-RESPECTED BUT A 3259 03:06:55,001 --> 03:06:57,000 REPUBLICAN FROM CHICAGO, SEEN AS 3260 03:06:57,001 --> 03:06:59,000 CONSERVATIVE, JOHN PAUL STEVENS. 3261 03:06:59,001 --> 03:07:00,000 WE TOOK THAT NOMINATION TO THE 3262 03:07:00,001 --> 03:07:01,000 REPUBLICAN PRESIDENT. 3263 03:07:01,001 --> 03:07:03,000 TWO AND A HALF WEEKS AFTER THAT 3264 03:07:03,001 --> 03:07:04,000 NOMINATION ARRIVED HERE, WE ALL 3265 03:07:04,001 --> 03:07:05,000 VOTED FOR JOHN PAUL STEVE FOR 3266 03:07:05,001 --> 03:07:09,000 THE SUPREME COURT. 3267 03:07:09,001 --> 03:07:10,000 I WAS ONE OF THOSE -- IN FACT 3268 03:07:10,001 --> 03:07:11,000 ONLY ONE OF THREE SENATORS STILL 3269 03:07:11,001 --> 03:07:12,000 HERE WHO VOTED. 3270 03:07:12,001 --> 03:07:15,000 SENATOR INOUYE AND SENATOR BYRD 3271 03:07:15,001 --> 03:07:17,000 ARE THE OTHER TWO. 3272 03:07:17,001 --> 03:07:22,000 NOW WHAT HAVE WE COME TO WHEN WE 3273 03:07:22,001 --> 03:07:23,000 HAVE A NOMINATION WHO IS AS 3274 03:07:23,001 --> 03:07:26,000 EXTRAORDINARILY WELL QUALIFIED 3275 03:07:26,001 --> 03:07:29,000 AS PROFESSOR SCHROEDER, WHO IS 3276 03:07:29,001 --> 03:07:33,000 GOING TO BE CONFIRMED BUT H HAS 3277 03:07:33,001 --> 03:07:36,000 TO GET PAST A REPUBLICAN FILIBUSTER? 3278 03:07:36,001 --> 03:07:38,000 THIS IS A FAR CRY, INCIDENTALLY, 3279 03:07:38,001 --> 03:07:40,000 FROM THE WAY THE DEMOCRATS 3280 03:07:40,001 --> 03:07:41,000 TREATED THE LAST PRESIDENT, 3281 03:07:41,001 --> 03:07:44,000 PRESIDENT BUSH'S NOMINATION TO 3282 03:07:44,001 --> 03:07:47,000 RUN THE OFFICE OF LEGAL POLICY. 3283 03:07:47,001 --> 03:07:49,000 A DEMOCRATIC MAJORITY CONFIRMED 3284 03:07:49,001 --> 03:07:53,000 PRESIDENT BUSH'S FIRST NOMINEE 3285 03:07:53,001 --> 03:07:58,000 TO HEAD THAT DIVISION BY A VOTE 3286 03:07:58,001 --> 03:08:01,000 OF 96-1 ONLY ONE MONTH AFTER HE 3287 03:08:01,001 --> 03:08:02,000 WAS NOMINATED AND ONLY ONE WEEK 3288 03:08:02,001 --> 03:08:07,000 AFTER HIS NOMINATION WAS 3289 03:08:07,001 --> 03:08:12,000 REPORTED BY THE COMMITTEE. 3290 03:08:12,001 --> 03:08:15,000 THE THE THREE NOMINEES IN THAT 3291 03:08:15,001 --> 03:08:18,000 OFFICE WHO PRECEDED MR. DIN, 3292 03:08:18,001 --> 03:08:21,000 DANIEL BRYANT, ARE A WHICH HE 3293 03:08:21,001 --> 03:08:24,000 WILL BRANCH, ELIZABETH COOKS 3294 03:08:24,001 --> 03:08:26,000 WERE NOMINATED IN A SHORTER TIME. 3295 03:08:26,001 --> 03:08:27,000 NONE OF THESE NOMINATIONS WERE 3296 03:08:27,001 --> 03:08:28,000 RETURNED TO THE PRESIDENT 3297 03:08:28,001 --> 03:08:30,000 WITHOUT EXPLANATION. 3298 03:08:30,001 --> 03:08:31,000 NONE OF THEM REQUIRED CLOTURE TO 3299 03:08:31,001 --> 03:08:34,000 BE FILED BEFORE BEING CONSIDERED. 3300 03:08:34,001 --> 03:08:37,000 WHAT IS GOING ON THAT WHEN A 3301 03:08:37,001 --> 03:08:40,000 REPUBLICAN PRESIDENT IS TREATED 3302 03:08:40,001 --> 03:08:41,000 WITH FAIRNESS BUT A DEMOCRATIC 3303 03:08:41,001 --> 03:08:43,000 PRESIDENT -- PRESIDENT OBAMA -- 3304 03:08:43,001 --> 03:08:47,000 IS TREATED THIS WAY? 3305 03:08:47,001 --> 03:08:48,000 IT MAKES ME THINK OF WHEN THE 3306 03:08:48,001 --> 03:08:51,000 LEADERS OF THE REPUBLICAN PARTY 3307 03:08:51,001 --> 03:08:55,000 SAID LAST YEAR "I WANT THIS 3308 03:08:55,001 --> 03:08:57,000 PRESIDENT TO FAIL." 3309 03:08:57,001 --> 03:09:00,000 WELL, MADAM PRE 3310 03:09:00,001 --> 03:09:01,000 OBJECTIONS TO A NOMINATION, VOTE 3311 03:09:01,001 --> 03:09:03,000 AGAINST IT. 3312 03:09:03,001 --> 03:09:05,000 BUT NONE 3313 03:09:05,001 --> 03:09:06,000 WHOEVER IS THE PRESIDENT OF THE 3314 03:09:06,001 --> 03:09:08,000 UNITED STATES, TO FAIL. 3315 03:09:08,001 --> 03:09:09,000 BECAUSE IF THE PRESIDENT FAI 3316 03:09:09,001 --> 03:09:12,000 AMERICA FAILS. 3317 03:09:12,001 --> 03:09:16,000 AND WE ALL SUFFER, REPUBLICAN AND DEMOCRAT ALIKE. 3318 03:09:16,001 --> 03:09:23,000 WE HAVE TO GET OUT OF THIS 3319 03:09:23,001 --> 03:09:24,000 MIND-SET TAT -- MIND-SET THAT IF 3320 03:09:24,001 --> 03:09:25,000 PRESIDENT OBAMA IS FOR 3321 03:09:25,001 --> 03:09:26,000 SOMETHING, EVERYONE HAS TO FIND 3322 03:09:26,001 --> 03:09:28,000 WAYS TO BLOCK. 3323 03:09:28,001 --> 03:09:30,000 I AGREE WITH THE OBSERVATION 3324 03:09:30,001 --> 03:09:33,000 EARLIER THISEEK CONCERNING THE 3325 03:09:33,001 --> 03:09:34,000 SCHROEDER NOMINATION, THE REMARK 3326 03:09:34,001 --> 03:09:36,000 THAT PERHAPS REPUBLICANS WERE 3327 03:09:36,001 --> 03:09:37,000 BLOCKING THIS NOMINATION BECAUSE 3328 03:09:37,001 --> 03:09:40,000 PROFESSOR SCHROEDER HAS BEEN 3329 03:09:40,001 --> 03:09:42,000 NOMINATED TO LEAD THE OFFICE, 3330 03:09:42,001 --> 03:09:43,000 THE BEST POTENTIAL JUDICIAL 3331 03:09:43,001 --> 03:09:45,000 MINEES. 3332 03:09:45,001 --> 03:09:47,000 WELL, HE'S RIGHT, JUST AS 3333 03:09:47,001 --> 03:09:49,000 SENATOR KAUFMAN SPOKE SO 3334 03:09:49,001 --> 03:09:52,000 ELOQUENTLY ON BEHALF OF 3335 03:09:52,001 --> 03:09:55,000 PROFSOR SCHROEDER TODAY. 3336 03:09:55,001 --> 03:09:58,000 IT SEEMS THAT TO DEFLECT 3337 03:09:58,001 --> 03:10:01,000 CRITICISM FOR THE REPLICAN 3338 03:10:01,001 --> 03:10:03,000 DELAYS ON OBSTRUCTION TO 3339 03:10:03,001 --> 03:10:05,000 JUDICIAL NOMINATIO HAS LEFT 25 3340 03:10:05,001 --> 03:10:07,000 JUDICIAL NOMINATIONS LANGUISHING 3341 03:10:07,001 --> 03:10:09,000 ON THE SENATE CALENDAR. 3342 03:10:09,001 --> 03:10:14,000 SENATE REPUBLICANS HAVE TRIED TO 3343 03:10:14,001 --> 03:10:17,000 PLACE THE BLAME BY SENDING TOO 3344 03:10:17,001 --> 03:10:19,000 FEW NOMINEES TO THE 3345 03:10:19,001 --> 03:10:21,000 BY MAKING A LOSE-LOSE 3346 03:10:21,001 --> 03:10:27,000 PROPOSITION, THE SAME 3347 03:10:27,001 --> 03:10:30,000 REPUBLICANS WHO HELD UP THE 3348 03:10:30,001 --> 03:10:31,000 NOMINATION TO LEAD -- IN OTHER 3349 03:10:31,001 --> 03:10:33,000 WORDS, THEY STOPPED THE 3350 03:10:33,001 --> 03:10:35,000 WHO IS SUPPOSED TO DOHE 3351 03:10:35,001 --> 03:10:37,000 INITIAL REVIEW ON JUDICIAL 3352 03:10:37,001 --> 03:10:40,000 NOMINATIONS, AND THEN THEY SAY, 3353 03:10:40,001 --> 03:10:42,000 OH, MY GOODNESS, PRESIDENT 3354 03:10:42,001 --> 03:10:43,000 OBAMA'S NOT SENDING UP ENOUGH 3355 03:10:43,001 --> 03:10:44,000 NOMINATIONS. 3356 03:10:44,001 --> 03:10:46,000 COME ON. 3357 03:10:46,001 --> 03:10:50,000 COME ON. 3358 03:10:50,001 --> 03:10:54,000 THIS IS -- THIS IS LIKE A 3359 03:10:54,001 --> 03:10:56,000 BURGLAR SAYING "I SHOULD BE 3360 03:10:56,001 --> 03:10:58,000 EXCUSED FOR BURGLARIZING THIS 3361 03:10:58,001 --> 03:11:03,000 WAREHOUSE BECAUSE 3362 03:11:03,001 --> 03:11:06,000 NICE THINGS IN 3363 03:11:06,001 --> 03:11:07,000 IT'S YOUR FAULT FOR HAVING SUCH 3364 03:11:07,001 --> 03:11:08,000 NICE THINGS TO STEAL. 3365 03:11:08,001 --> 03:11:10,000 HOW CAN YOU BLAME ME FOR 3366 03:11:10,001 --> 03:11:12,000 STLI 3367 03:11:12,001 --> 03:11:14,000 WHAT THEY'RE SAYING IS IT'S 3368 03:11:14,001 --> 03:11:15,000 PRESIDENT OBAMA FAULT FOR NOT 3369 03:11:15,001 --> 03:11:19,000 MOVING THROUGH JUDGES WHO HAVE 3370 03:11:19,001 --> 03:11:21,000 TO BE VETTED SOMEBODY FROM VETTING THEM. 3371 03:11:21,001 --> 03:11:23,000 I KNOW THE DEPARTMENT OF JUSTICE 3372 03:11:23,001 --> 03:11:27,000 WOULD BE GRATEFUL TO HAVE 3373 03:11:27,001 --> 03:11:30,000 PROFESSOR SCHROEDER TO HELP 3374 03:11:30,001 --> 03:11:31,000 PREPARE JUDICIAL 3375 03:11:31,001 --> 03:11:34,000 AS HE EMPHASIZED IN RESPONSE TO 3376 03:11:34,001 --> 03:11:36,000 A QUESTION FROM SENATOR 3377 03:11:36,001 --> 03:11:39,000 SESSIONS, ANY INTERPRETATION OF 3378 03:11:39,001 --> 03:11:41,000 THE CONSTITUTION MUST BEGIN WITH 3379 03:11:41,001 --> 03:11:42,000 DOCUMENTS, TEXT, HISTORY, 3380 03:11:42,001 --> 03:11:43,000 STRUCTURE AND PURPOSE AS WELL AS 3381 03:11:43,001 --> 03:11:45,000 JUDICIAL PRECEDENT. 3382 03:11:45,001 --> 03:11:48,000 A FUNDAMENTAL QUALIFICATION FOR 3383 03:11:48,001 --> 03:11:49,000 ANYONE BEING CONSIDERED FOR A 3384 03:11:49,001 --> 03:11:51,000 JUDICIAL APPOINTMENT IS THAT HE 3385 03:11:51,001 --> 03:11:52,000 OR SHE UNDERSTAND THE 3386 03:11:52,001 --> 03:11:54,000 CONSTITUTION HAS BINDING FORCE 3387 03:11:54,001 --> 03:11:56,000 AND MUST BE APPLIEDAITHFULLY 3388 03:11:56,001 --> 03:11:58,000 IN CASES THAT COME BEFORE ANY 3389 03:11:58,001 --> 03:12:01,000 COURT INDEPENDENT OF HIS OR HER 3390 03:12:01,001 --> 03:12:04,000 OWN POLICY OR PREFERENCES. 3391 03:12:04,001 --> 03:12:06,000 AGAIN I THANK SENATOR KAUFMAN. 3392 03:12:06,001 --> 03:12:07,000 HE'S ONE OF THE MOST VALUED 3393 03:12:07,001 --> 03:12:09,000 MEMBERS OF THE JUDICIARY 3394 03:12:09,001 --> 03:12:13,000 COMMITTEE, SOMEBODY I AM GOING 3395 03:12:13,001 --> 03:12:14,000 TO MISS SORELY WHEN HE RETIRES 3396 03:12:14,001 --> 03:12:17,000 THIS YEAR, FOR HIS DOGGED 3397 03:12:17,001 --> 03:12:18,000 EFFORTS IN SUPPORT OF PROFESSOR 3398 03:12:18,001 --> 03:12:21,000 SCHROEDER'S NOMINATION AND FOR 3399 03:12:21,001 --> 03:12:23,000 HIS ASSTANCE IN MANAGING THE 3400 03:12:23,001 --> 03:12:25,000 DEBATES SO WELL TODAY. 3401 03:12:25,001 --> 03:12:27,000 I CONGRATULATE PROFESSOR 3402 03:12:27,001 --> 03:12:32,000 SCHROEDER AND HIS FAMILY ON HIS CONFIRMATION. 3403 03:12:32,001 --> 03:12:34,000 I HAVE EVERY CONFIDENCE HE WILL 3404 03:12:34,001 --> 03:12:37,000 BE AN EQUITYIVE, DEVOTED -- HE 3405 03:12:37,001 --> 03:12:38,000 WILL BE AN EFFECTIVE, DEVOTED 3406 03:12:38,001 --> 03:12:40,000 PUBLIC SERVANT. 3407 03:12:40,001 --> 03:12:42,000 I MIGHT NOTE -- I THINK OF THIS 3408 03:12:42,001 --> 03:12:44,000 AS I SEE THE DISTINGUISHED 3409 03:12:44,001 --> 03:12:47,000 PROFESSOR WHO IS PRESIDING OVER 3410 03:12:47,001 --> 03:12:49,000 THE SENATE TODAY, THE SENATOR 3411 03:12:49,001 --> 03:12:51,000 FROM NORTH CAROLINA. 3412 03:12:51,001 --> 03:12:54,000 AMONG THE 25 JUDICIAL NOMINEES 3413 03:12:54,001 --> 03:12:58,000 STALLED BEFORE A FINAL SENATE 3414 03:12:58,001 --> 03:12:59,000 VOTE, TWO K COURT OF APPEALS 3415 03:12:59,001 --> 03:13:01,000 NOMINEES FROM NORTH CAROLINA. 3416 03:13:01,001 --> 03:13:06,000 I KNOW THAT THE DISTINGUISHED 3417 03:13:06,001 --> 03:13:08,000 PRESIDING OFFICER TOOK A TOTALLY 3418 03:13:08,001 --> 03:13:10,000 NONPARTISAN ATTITUDE TOWARD 3419 03:13:10,001 --> 03:13:11,000 RECOMMENDING THESE JUDGES AND 3420 03:13:11,001 --> 03:13:13,000 WORKED EXTRAORDINARILY HARD, AND 3421 03:13:13,001 --> 03:13:16,000 I HOPE JUDGE WYNN AND JUDGE DIAZ 3422 03:13:16,001 --> 03:13:17,000 WILL SOON BE ALLOWED BY SENATE 3423 03:13:17,001 --> 03:13:21,000 REPUBLICANS TO BE CONSIDERED AND 3424 03:13:21,001 --> 03:13:23,000 VOTED ON. 3425 03:13:23,001 --> 03:13:24,000 THEY'RE SUPPORTED BY BOTH THE 3426 03:13:24,001 --> 03:13:28,000 DISTINGUISHED PRESIDING OFFICER, 3427 03:13:28,001 --> 03:13:29,000 SENATOR HAGAN, AND THE 3428 03:13:29,001 --> 03:13:33,000 DISTINGUISHED OTHER SENATOR FROM 3429 03:13:33,001 --> 03:13:36,000 NORTH CAROLINA, SENATOR BURR; 3430 03:13:36,001 --> 03:13:37,000 SUPPORTED BY A DEMOCRAT AND 3431 03:13:37,001 --> 03:13:40,000 REPUBLICAN. 3432 03:13:40,001 --> 03:13:42,000 INCIDENTALLY, JUDGE WYNN WAS 3433 03:13:42,001 --> 03:13:44,000 REPORTED OUT OF THE COMMITTEE 18-1. 3434 03:13:44,001 --> 03:13:47,000 MOST OF US WOULD LOVE TO WIN 3435 03:13:47,001 --> 03:13:50,000 ELECTIONS BY THAT KIND OF A MARGIN. 3436 03:13:50,001 --> 03:13:51,000 JUDGE DIAZ WAS REPORTED 3437 03:13:51,001 --> 03:13:57,000 UNANIMOUSLY THREE MONTHS AGO. 3438 03:13:57,001 --> 03:14:01,000 SO LET'S STOP THE -- LET'S 3439 03:14:01,001 --> 03:14:03,000 THIS UNPRECEDENTED KIND OF 3440 03:14:03,001 --> 03:14:06,000 STALLING, CLEAR THESE, THE 3441 03:14:06,001 --> 03:14:10,000 BACKLOG OF THESE 25 JUDICIAL 3442 03:14:10,001 --> 03:14:13,000 NOMINEES. 3443 03:14:13,001 --> 03:14:14,000 IN FACT THERE ARE 100 NOMINEES 3444 03:14:14,001 --> 03:14:15,000 OVERALL. 3445 03:14:15,001 --> 03:14:17,000 MADAM PRESIDENT, I SEE NOBODY 3446 03:14:17,001 --> 03:14:20,000 ELSE SEEKING RECOGNITION. 3447 03:14:20,001 --> 03:14:22,000 I ASK UNANIMOUS CONSENT, 3448 03:14:22,001 --> 03:14:23,000 MADAM PRESIDENT, THAT AT 3449 03:14:23,001 --> 03:14:25,000 2:15 P.M. TODAY THE SENATE 3450 03:14:25,001 --> 03:14:27,000 PROCEED TO VOTE ON CONFIRMATION 3451 03:14:27,001 --> 03:14:28,000 OF THE NOMINATION OF CHRISTOPHER 3452 03:14:28,001 --> 03:14:29,000 SCHROEDER WITH THE TIME UNTIL 3453 03:14:29,001 --> 03:14:31,000 THEN EQUALLY DIVIDED AND 3454 03:14:31,001 --> 03:14:33,000 CONTROLLED AS PREVIOUSLY ORDER. 3455 03:14:33,001 --> 03:14:34,000 FURTHER, ANY OTHER PROVISION OF 3456 03:14:34,001 --> 03:14:36,000 THE PREVIOUS ORDER WITH RESPECT 3457 03:14:36,001 --> 03:14:38,000 TO THE NOMINATION REMAINING IN EFFECT. 3458 03:14:38,001 --> 03:14:39,000 THE PRESIDING OFFICER: WITHOUT 3459 03:14:39,001 --> 03:14:40,000 OBJECTION. 3460 03:14:40,001 --> 03:14:55,000 MR. LEAHY: MADAM 3461 03:14:55,001 --> 03:30:09,000 YIELD THE FLOOR. 3462 03:30:09,001 --> 03:45:04,000 QUORUM CALL: 3463 03:45:04,001 --> 03:59:57,000 QUORUM CALL: 3464 03:59:57,001 --> 04:01:49,000 QUORUM CALL: 3465 04:01:49,001 --> 04:01:50,000 QUORUM CALL: 3466 04:01:50,001 --> 04:01:51,000 MR. LeMIEUX: MADAM PRESIDENT? 3467 04:01:51,001 --> 04:01:53,000 THE PRESIDING OFFICER: THE 3468 04:01:53,001 --> 04:01:54,000 SENATOR FROM FLORIDA. 3469 04:01:54,001 --> 04:01:55,000 MR. LeMIEUX: I ASK THAT THE 3470 04:01:55,001 --> 04:01:57,000 QUORUM CALL BE DISPENSED WITH 3471 04:01:57,001 --> 04:01:58,000 AND SPEAK AS IF BUSINE. 3472 04:01:58,001 --> 04:01:59,000 THE PRESIDING OFFICER: WITHOUT 3473 04:01:59,001 --> 04:02:01,000 OBJECTION. MR. LeMIEUX: MADAM PRESIDENT, 3474 04:02:01,001 --> 04:02:02,000 I COME TO THE FLOOR OF THE UNITED STATES SENATE TODAY -- 3475 04:02:02,001 --> 04:02:03,000 THE PRESIDING OFFICER: THE 3476 04:02:03,001 --> 04:02:04,000 SENATOR FROM FLORIDA IS 3477 04:02:04,001 --> 04:02:06,000 RECOGNIZED. MR. LeMIEUX: THANK YOU. 3478 04:02:06,001 --> 04:02:07,000 MADAM PRESIDENT, I COME TO THE 3479 04:02:07,001 --> 04:02:08,000 FLOOR OF THE UNITED STATES 3480 04:02:08,001 --> 04:02:10,000 SENATE TODAY TO TALK ABOUT THE 3481 04:02:10,001 --> 04:02:13,000 ISSUE OF FINANCIAL REGULATORY 3482 04:02:13,001 --> 04:02:14,000 REFORM, AN ISSUE THAT IS 3483 04:02:14,001 --> 04:02:16,000 CONSUMING THE GOOD EFFORTS AND 3484 04:02:16,001 --> 04:02:17,000 TIME OF MANY OF OUR COLLEAGUES 3485 04:02:17,001 --> 04:02:19,000 HERE IN THE SENATE. 3486 04:02:19,001 --> 04:02:22,000 AND IT'S AN ISSUE THAT'S VERY 3487 04:02:22,001 --> 04:02:24,000 IMPORTANT TO THE FUTURE ECONOMIC 3488 04:02:24,001 --> 04:02:26,000 HEALTH AN VIABILITY OF THIS COUNTRY. 3489 04:02:26,001 --> 04:02:28,000 YOU KNOW, AS WE GO ABOUT OUR 3490 04:02:28,001 --> 04:02:31,000 LIVES, EVEN IN THIS DIFFICULT 3491 04:02:31,001 --> 04:02:33,000 ECONOMY, I THINK IT'S EASY TO 3492 04:02:33,001 --> 04:02:36,000 FORGET HOW BAD THINGS WERE JUST 3493 04:02:36,001 --> 04:02:38,000 A COUPLE OF YEARS AGO. 3494 04:02:38,001 --> 04:02:40,000 HOW BAD THINGS WERE IN T 3495 04:02:40,001 --> 04:02:41,000 OF 2008. 3496 04:02:41,001 --> 04:02:43,000 AND IT'S IMPORTANT FOR US TO 3497 04:02:43,001 --> 04:02:47,000 REMEMBER THE SITUATION THAT WE 3498 04:02:47,001 --> 04:02:50,000 WERE PUT IN WHERE OUR STOCK 3499 04:02:50,001 --> 04:02:51,000 MARKET FELL PRECIPITOUSLY, WHERE 3500 04:02:51,001 --> 04:02:54,000 OUR FINANCIAL INSTITUTIONS WERE 3501 04:02:54,001 --> 04:02:55,000 ON THE VERGE OF COLLAPSE, WHERE 3502 04:02:55,001 --> 04:02:58,000 THE UNITED STATES CONGRESS WAS 3503 04:02:58,001 --> 04:03:01,000 FORCED TO STEP IN TO GIVE 3504 04:03:01,001 --> 04:03:03,000 BILLIONS OF DOLLARS OF 3505 04:03:03,001 --> 04:03:06,000 MONEY TO SAVE THE FINANCIAL 3506 04:03:06,001 --> 04:03:11,000 INSTITUTIONS, 3507 04:03:11,001 --> 04:03:12,000 PERCEIVED AT THE 3508 04:03:12,001 --> 04:03:14,000 WHICH HAD HAPPENED IN THE LATE 3509 04:03:14,001 --> 04:03:15,000 1920'S WHEN THE GREAT DEPRESSION 3510 04:03:15,001 --> 04:03:19,000 STARTED. 3511 04:03:19,001 --> 04:03:20,000 IT'S IMPORTANT FOR US TO 3512 04:03:20,001 --> 04:03:22,000 REMEMBER THAT TERRIBLE AND 3513 04:03:22,001 --> 04:03:24,000 CHALLENGING TIME AS WE 3514 04:03:24,001 --> 04:03:26,000 WHAT WE SHOULD DO NOW TO PREVENT 3515 04:03:26,001 --> 04:03:29,000 THAT TIME FROM 3516 04:03:29,001 --> 04:03:32,000 AND WE SHOULD BE LOOKING BACK TO 3517 04:03:32,001 --> 04:03:34,000 THE CAUSES OF THAT CRISIS IN 3518 04:03:34,001 --> 04:03:35,000 ORDER TO FIGURE OUT THE 3519 04:03:35,001 --> 04:03:37,000 SOLUTIONS THAT WE SULD 3520 04:03:37,001 --> 04:03:39,000 TODAY. 3521 04:03:39,001 --> 04:03:40,000 NOW, THERE HAS BEEN GOOD WORK 3522 04:03:40,001 --> 04:03:42,000 THAT HAS BEEN DONE BETWEEN 3523 04:03:42,001 --> 04:03:45,000 MEMBERS OF BOTH SIDES OF THE 3524 04:03:45,001 --> 04:03:47,000 AISLE, SENATOR DODD, SENATOR 3525 04:03:47,001 --> 04:03:48,000 SHELBY, SENATOR CORK HE AND 3526 04:03:48,001 --> 04:03:49,000 OTHERS, ON THE BANKING AN 3527 04:03:49,001 --> 04:03:51,000 FINANCE COMMITTEE HAVE BEEN 3528 04:03:51,001 --> 04:03:52,000 WORKING OVERTIME TO COME FORWARD 3529 04:03:52,001 --> 04:03:54,000 WITH PIECE OF LEGISLATION 3530 04:03:54,001 --> 04:03:58,000 WILL HELP PUT US IN A SITUATION 3531 04:03:58,001 --> 04:04:00,000 WHERE WE WILL NO LONGER HAVE 3532 04:04:00,001 --> 04:04:02,000 COMPANIES TOO BIG TO FAIL, 3533 04:04:02,001 --> 04:04:04,000 COULD PUT US CK TO THE 3534 04:04:04,001 --> 04:04:06,000 AMERICAN TAXPAYER, ASKING THE 3535 04:04:06,001 --> 04:04:11,000 AMERICAN TAXPAYER TO BAIL OUT 3536 04:04:11,001 --> 04:04:14,000 WALL STREET TO SAVE OUR FINANCIAL INSTITUTIONS. 3537 04:04:14,001 --> 04:04:15,000 WE SHOULD NEVER BE PUT IN THIS 3538 04:04:15,001 --> 04:04:17,000 POSITION AGAIN. 3539 04:04:17,001 --> 04:04:20,000 SO I COMMEND THE WORK THAT'S BEING DONE. 3540 04:04:20,001 --> 04:04:21,000 I AM HOPEFUL THAT WE WILL HAVE A 3541 04:04:21,001 --> 04:04:23,000 BIPARTISAN PRODUCT. 3542 04:04:23,001 --> 04:04:24,000 THERE ARE PIECES 3543 04:04:24,001 --> 04:04:28,000 LEGISLATION THAT'S 3544 04:04:28,001 --> 04:04:31,000 CONSTRUCTED WHICH GIVE CONCERN. 3545 04:04:31,001 --> 04:04:32,000 THE CAUSE OF A BAILOUT TO AGAIN 3546 04:04:32,001 --> 04:04:35,000 BE A SITUATION THAT THE UNITED 3547 04:04:35,001 --> 04:04:37,000 STATES CGRESS HAS TO ADDRESS 3548 04:04:37,001 --> 04:04:38,000 GIVES ME GREAT CONCERN. 3549 04:04:38,001 --> 04:04:40,000 THERE IS PARTICULAR LEGISLATION, 3550 04:04:40,001 --> 04:04:44,000 AS PART OF THIS PACKAGE, WHICH 3551 04:04:44,001 --> 04:04:45,000 WOULD SETUP 3552 04:04:45,001 --> 04:04:47,000 OF $50 B 3553 04:04:47,001 --> 04:04:48,000 COMPANIES DESIGNATED AS TOO BIG 3554 04:04:48,001 --> 04:04:50,000 TO FAIL. 3555 04:04:50,001 --> 04:04:52,000 I THINK THAT'S THE WRONG STRATEGY. 3556 04:04:52,001 --> 04:04:54,000 I THINK, THEREFORE, YOU'RE 3557 04:04:54,001 --> 04:04:56,000 GUARANTEEING FUTURE BAILOUTS. 3558 04:04:56,001 --> 04:04:58,000 YOU ARE SAYING TO THESE 3559 04:04:58,001 --> 04:04:59,000 COMPANIES, YOU ARE TOO BIG TO 3560 04:04:59,001 --> 04:05:01,000 FAIL, THE FEDERAL GOVERNMENT IS 3561 04:05:01,001 --> 04:05:04,000 GIVING YOU ITS BANK OF APPROVAL, 3562 04:05:04,001 --> 04:05:06,000 WE WILL COME IN AND RESCUE YOU 3563 04:05:06,001 --> 04:05:08,000 WITH TAXPAYER DOLLARS OR 3564 04:05:08,001 --> 04:05:11,000 SHAREHOLDER DOLLARS, IN THAT CASE. 3565 04:05:11,001 --> 04:05:14,000 I THINK IT SENDS THE WRONG 3566 04:05:14,001 --> 04:05:16,000 INSENTIVE AND 3567 04:05:16,001 --> 04:05:17,000 BEHAVIOR AND IT 3568 04:05:17,001 --> 04:05:19,000 UNFAIR PLAYING FIELD FOR THOSE 3569 04:05:19,001 --> 04:05:21,000 INSTITUTIONS WHICH HAVE PLAYED 3570 04:05:21,001 --> 04:05:22,000 BY THE RULES, WHICH HAVE HAD 3571 04:05:22,001 --> 04:05:24,000 SOUND FINANCIAL MANAGEMENT. 3572 04:05:24,001 --> 04:05:25,000 WE SHOULD 3573 04:05:25,001 --> 04:05:26,000 DEBATE AND DISCUSSION THAT THE 3574 04:05:26,001 --> 04:05:27,000 WAY BUSINESS IS SUPPOSED TO WORK 3575 04:05:27,001 --> 04:05:30,000 IN THIS COUNTRY IS YOU PUT 3576 04:05:30,001 --> 04:05:32,000 TOGETHER A VENTURE TO SELL A 3577 04:05:32,001 --> 04:05:35,000 PRODUCT OR A SERVICE. 3578 04:05:35,001 --> 04:05:37,000 IF YOU SUCCEED, YOU HAVE A PROFIT. 3579 04:05:37,001 --> 04:05:40,000 IF YOU FAIL, YOU GO OUT OF 3580 04:05:40,001 --> 04:05:41,000 BUSINESS. 3581 04:05:41,001 --> 04:05:45,000 THE FAILURES OF THE AMERICAN 3582 04:05:45,001 --> 04:05:48,000 ECONOMIC SYSTEM ARE, IN MANY 3583 04:05:48,001 --> 04:05:52,000 WAYS, JUST A IMPORTANT AS THE SUCCESSES. 3584 04:05:52,001 --> 04:05:54,000 WHERE WE 3585 04:05:54,001 --> 04:05:57,000 PROVED 3586 04:05:57,001 --> 04:05:58,000 SUBSIDIZED AND PREVENTED BETTER 3587 04:05:58,001 --> 04:06:00,000 TECHNOLOGIES FROM COMING FORWARD 3588 04:06:00,001 --> 04:06:01,000 IN THAT DOESN'T MAKE ANY SENSE 3589 04:06:01,001 --> 04:06:02,000 FOR CONSUMERS. 3590 04:06:02,001 --> 04:06:05,000 IT DOESN'T MAKE ANY SENSE FOR 3591 04:06:05,001 --> 04:06:07,000 WE NEED TO MAKE SURE THAT 3592 04:06:07,001 --> 04:06:08,000 BUSINESSES CAN FAIL IF THEY 3593 04:06:08,001 --> 04:06:09,000 DON'T SUCCEED. 3594 04:06:09,001 --> 04:06:16,000 WE'VE GOT A SYSTEM OF 3595 04:06:16,001 --> 04:06:18,000 IN THIS 3596 04:06:18,001 --> 04:06:21,000 TAKES COMPANIES INTO ITS 3597 04:06:21,001 --> 04:06:22,000 PROCEDURES THAT ORGANIZES THEM 3598 04:06:22,001 --> 04:06:24,000 OR LIQUIDATES THEM. 3599 04:06:24,001 --> 04:06:25,000 THAT IS HOW IT SHOULD WORK. 3600 04:06:25,001 --> 04:06:27,000 WE DO NOT WANT TO SUPPORT BAD 3601 04:06:27,001 --> 04:06:28,000 BUSINESSES WITH BAD PRACTICES 3602 04:06:28,001 --> 04:06:30,000 AND BAD IDEAS. 3603 04:06:30,001 --> 04:06:31,000 WE WANT THE GOOD BUSINESSES TO 3604 04:06:31,001 --> 04:06:33,000 SUCCEED AND WE CERTAINLY DON'T 3605 04:06:33,001 --> 04:06:35,000 WANT TO CREATE A PLAYING FIELD 3606 04:06:35,001 --> 04:06:36,000 WHERE THE GOO 3607 04:06:36,001 --> 04:06:39,000 RUN THEIR BUSINESSES THE RIGHT 3608 04:06:39,001 --> 04:06:41,000 WAY ARE AT A 3609 04:06:41,001 --> 04:06:42,000 SO I HAVE PROBLEMS WITH THAT 3610 04:06:42,001 --> 04:06:43,000 PORTION OF T 3611 04:06:43,001 --> 04:06:45,000 AND THERE ARE OTHER PORTIONS OF 3612 04:06:45,001 --> 04:06:48,000 THE BILL THAT I HAVE TROUBLE WITH. 3613 04:06:48,001 --> 04:06:51,000 CERTAINLY WE SHOULD NOT BE IN A 3614 04:06:51,001 --> 04:06:53,000 SITUATION OF MORE TAXPAYER 3615 04:06:53,001 --> 04:06:56,000 BAILOUTS OR SHAREHOLDER BA 3616 04:06:56,001 --> 04:06:59,000 TODAY ABOUT THE CAUSES OF THE 3617 04:06:59,001 --> 04:07:01,000 PRIOR CRISIS AND WHAT THIS BILL 3618 04:07:01,001 --> 04:07:02,000 NEEDS TO DO TO MAKE SURE THAT 3619 04:07:02,001 --> 04:07:04,000 THAT CRISIS DOESN'T HAPPEN 3620 04:07:04,001 --> 04:07:08,000 AGAIN. 3621 04:07:08,001 --> 04:07:12,000 IF WE GO BACK 3622 04:07:12,001 --> 04:07:14,000 WEAN SEE NOW IN HINDSIGHT WHAT 3623 04:07:14,001 --> 04:07:16,000 LED TO THIS FINANCIAL MELTDOWN. 3624 04:07:16,001 --> 04:07:17,000 IN A STATE LIKE MINE FROM 3625 04:07:17,001 --> 04:07:19,000 FLORIDA, WE HAVE BEEN 3626 04:07:19,001 --> 04:07:21,000 PARTICULARLY IMPACTED FROM THE 3627 04:07:21,001 --> 04:07:24,000 MELTDOWN THAT OCCURRED. 3628 04:07:24,001 --> 04:07:26,000 BECAUSE THE BASIS OF THIS 3629 04:07:26,001 --> 04:07:27,000 MELTDOWN WAS RESIDENTIAL 3630 04:07:27,001 --> 04:07:30,000 PROPERTY AND THE MORTGAGES THAT 3631 04:07:30,001 --> 04:07:33,000 WENT ALONG WITH THAT PROPERTY. 3632 04:07:33,001 --> 04:07:35,000 NOW IN A STATE LIKE MINE IN 3633 04:07:35,001 --> 04:07:36,000 FL 3634 04:07:36,001 --> 04:07:39,000 FORTUNATE OVER THE LAST 30 YEARS 3635 04:07:39,001 --> 04:07:41,000 OR SO, BECAUSE AS WE'VE HAD SLOWDOWNS IN OUR REAL ESTATE 3636 04:07:41,001 --> 04:07:43,000 ECONOMY, WHICH IS A 3637 04:07:43,001 --> 04:07:45,000 OF THE ECONOMY IN FRI, 3638 04:07:45,001 --> 04:07:46,000 CONSTRUCTION AND REAL ESTATE, 3639 04:07:46,001 --> 04:07:51,000 OTHER PARTS OF THE MARKET HAVE 3640 04:07:51,001 --> 04:07:52,000 BEEN ABLE TO STEP IN AND SUCCEED 3641 04:07:52,001 --> 04:07:54,000 WHEN REAL ESTATE CONSTRUCTION 3642 04:07:54,001 --> 04:07:56,000 FELL BACK. 3643 04:07:56,001 --> 04:07:59,000 NEVER BEFORE UNTIL THIS MOST 3644 04:07:59,001 --> 04:08:01,000 RECENT CRISIS WAS THE FINANCIAL 3645 04:08:01,001 --> 04:08:02,000 MARKET WHETTED TOGETHER WITH THE 3646 04:08:02,001 --> 04:08:04,000 REAL ESTATE 3647 04:08:04,001 --> 04:08:07,000 SO LET'S LOOK BACK AT THE 3648 04:08:07,001 --> 04:08:10,000 CIRC 3649 04:08:10,001 --> 04:08:13,000 SOMETIME DURING THE 3650 04:08:13,001 --> 04:08:15,000 2000'S, A PROCESS STARTED WHERE 3651 04:08:15,001 --> 04:08:16,000 BY BANKS AND LENDING 3652 04:08:16,001 --> 04:08:21,000 INSTITUTIONS WOULD GIVE 3653 04:08:21,001 --> 04:08:23,000 MORTGAGES TO PEOPLE WHO DID NOT 3654 04:08:23,001 --> 04:08:25,000 HAVE THE ABILITY IN ALL HONESTY, 3655 04:08:25,001 --> 04:08:26,000 TO AFFORD THE HOME THAT THEY 3656 04:08:26,001 --> 04:08:29,000 WERE PURCHASING. 3657 04:08:29,001 --> 04:08:31,000 THERE'S A TYPE 3658 04:08:31,001 --> 04:08:34,000 FLORIDA, AND I'M SURE IN OTHER 3659 04:08:34,001 --> 04:08:36,000 PARTS OF THE COUNTRY, CALLED THE 3660 04:08:36,001 --> 04:08:39,000 NINJA LOAN, NO INCOME, NO JOB. 3661 04:08:39,001 --> 04:08:40,000 NOW, WHY 3662 04:08:40,001 --> 04:08:42,000 INSTITUTION GIVE YOU A LOAN IF 3663 04:08:42,001 --> 04:08:43,000 YOU WERE NOT CREDIT WORTHY IN 3664 04:08:43,001 --> 04:08:45,000 ORDER TO OBTAIN THAT LOAN? 3665 04:08:45,001 --> 04:08:47,000 I HAD THE OPPORTUNITY TO 3666 04:08:47,001 --> 04:08:50,000 PURCHASE MY FIRST HOUSEACK IN 3667 04:08:50,001 --> 04:08:52,000 1995, AND WHEN I DID, I CAN ONLY 3668 04:08:52,001 --> 04:08:56,000 PUT DOWN 15%. 3669 04:08:56,001 --> 04:08:57,000 MY BANK REQUIRED 3670 04:08:57,001 --> 04:09:01,000 PURCHASE -- TO GET MORTGAGE 3671 04:09:01,001 --> 04:09:02,000 INSURANCE IN ORDER TO MAKE IT TO 3672 04:09:02,001 --> 04:09:04,000 THE 20% DEPOSIT REQUIREMENT. 3673 04:09:04,001 --> 04:09:06,000 THAT WAS THE WAY IT WAS IN THIS COUNTRY. 3674 04:09:06,001 --> 04:09:08,000 THERE WAS A TIME WHEN YOU TRIED 3675 04:09:08,001 --> 04:09:10,000 TO OBTAIN A MORTGAGE OR THE BANK 3676 04:09:10,001 --> 04:09:12,000 WAS VERY VESTED IN YOU BEING 3677 04:09:12,001 --> 04:09:14,000 ABLE TO PAY BECAUSE THEY WERE 3678 04:09:14,001 --> 04:09:17,000 HOLDING THE NOTE. 3679 04:09:17,001 --> 04:09:20,000 WELL, SOMETIME IN THE 3680 04:09:20,001 --> 04:09:22,000 2000'S, THE PROCESS STARTED 3681 04:09:22,001 --> 04:09:23,000 WHEREBY MORTGAGE BROKERS AND 3682 04:09:23,001 --> 04:09:25,000 BANKS COULD SELL OFF YOUR 3683 04:09:25,001 --> 04:09:29,000 MORTGAGE INTO THE 3684 04:09:29,001 --> 04:09:32,000 BECAUSE WE STARTED TO SECURITIZE MORTGAGES. 3685 04:09:32,001 --> 04:09:35,000 MAKE MORTGAGES TRADING INSTRUMENTS. 3686 04:09:35,001 --> 04:09:37,000 AND WHEN THAT HAPPENED, AND WHEN 3687 04:09:37,001 --> 04:09:40,000 NOW THE MORTGAGE BROKER OR THE 3688 04:09:40,001 --> 04:09:43,000 BANK 3689 04:09:43,001 --> 04:09:45,000 THE WRITING OF MORTGAGE OF 3690 04:09:45,001 --> 04:09:47,000 ITSELF, CAN TAKE THAT MORTGAGE 3691 04:09:47,001 --> 04:09:49,000 AND SEND IT OFF AND SELL IT OFF 3692 04:09:49,001 --> 04:09:51,000 TO SOMEBODY ELSE, WE CREATED A 3693 04:09:51,001 --> 04:09:53,000 BAD INCENTIVE. 3694 04:09:53,001 --> 04:09:55,000 THE BAD INCENTIVE 3695 04:09:55,001 --> 04:09:57,000 CARE ABOUT THE CREDIT WORTHINESS 3696 04:09:57,001 --> 04:09:59,000 OF THE PERSON I'M LOANING THE 3697 04:09:59,001 --> 04:10:00,000 MONEY TO, BECAUSE I NO 3698 04:10:00,001 --> 04:10:03,000 HAVE TO HOLD T MORTGAGE. 3699 04:10:03,001 --> 04:10:06,000 SO THE CREATION OF THESE 3700 04:10:06,001 --> 04:10:09,000 INSTRUMENTS TO TRADE MORTGAGES 3701 04:10:09,001 --> 04:10:10,000 CREATED THAT BAD 3702 04:10:10,001 --> 04:10:12,000 -- INCENTIVE. 3703 04:10:12,001 --> 04:10:14,000 ALL OF A SUDDEN MORTGAGES WERE 3704 04:10:14,001 --> 04:10:15,000 BEING WRITTEN TO PEOPLE WHO 3705 04:10:15,001 --> 04:10:17,000 OTHERWISE DIDN'T HAVE THE CREDIT 3706 04:10:17,001 --> 04:10:18,000 AND DIDN'T HAVE THE LIKELIHOOD 3707 04:10:18,001 --> 04:10:21,000 OF REPAYING THEM. 3708 04:10:21,001 --> 04:10:24,000 WELL, WHAT DID THAT DO? 3709 04:10:24,001 --> 04:10:26,000 EASIER MONEY MEANT PRICES BECAME INFLATED. 3710 04:10:26,001 --> 04:10:28,000 MOST FOLKS IN FLORIDA, AND ALL 3711 04:10:28,001 --> 04:10:29,000 AROUND THIS COUNTRY, DON'T LOOK 3712 04:10:29,001 --> 04:10:31,000 AT THE PRICE OF THE HOME THEY'RE 3713 04:10:31,001 --> 04:10:34,000 PURCHASING, THEY LOOK AT THEIR MONTHLY PAYMENT. 3714 04:10:34,001 --> 04:10:36,000 INTEREST RATES ARE EXTREMELY 3715 04:10:36,001 --> 04:10:38,000 LOW, MONEY WAS EASY TO GET, A 3716 04:10:38,001 --> 04:10:40,000 DOWNPAYMENT WAS NO LONGER REQUIRED. 3717 04:10:40,001 --> 04:10:42,000 THIS HELPED THE BILLING 3718 04:10:42,001 --> 04:10:43,000 BUSINESS, THE HOME CONSTRUCTION 3719 04:10:43,001 --> 04:10:46,000 BUSINESS, TO TAKE OFF. 3720 04:10:46,001 --> 04:10:49,000 MORE HOM, MORE MORTGAGES. 3721 04:10:49,001 --> 04:10:50,000 WELL, THE FINANCIAL MARKETS 3722 04:10:50,001 --> 04:10:53,000 WALL STREET FOUND 3723 04:10:53,001 --> 04:10:55,000 TOGETHER THESE MORTGAGE-BACKED 3724 04:10:55,001 --> 04:10:57,000 SECURITIES, 3725 04:10:57,001 --> 04:10:59,000 INSTRUMENTS WITH THOUSANDS -- 3726 04:10:59,001 --> 04:11:01,000 TENS OF THOUSANDS OF MORTGAGES 3727 04:11:01,001 --> 04:11:02,000 WAS VERY PROFITABLE FOR THEM. 3728 04:11:02,001 --> 04:11:05,000 THEY COULD TRADE THESE BACK AND 3729 04:11:05,001 --> 04:11:07,000 FORTH AND THEY TOO COULD RECEIVE 3730 04:11:07,001 --> 04:11:08,000 A COMMISSION ON THE SALE OF 3731 04:11:08,001 --> 04:11:10,000 THESE PRODUCTS. 3732 04:11:10,001 --> 04:11:12,000 THAT MADE THEM MONEY. 3733 04:11:12,001 --> 04:11:15,000 AND, GUESS WHAT, THE 3734 04:11:15,001 --> 04:11:16,000 RESPONSIBLE IF THEY WENT UNDER 3735 04:11:16,001 --> 04:11:18,000 EITHER. 3736 04:11:18,001 --> 04:11:21,000 NOW, IN ORDER FOR ALL OF THIS TO 3737 04:11:21,001 --> 04:11:25,000 WORK, SOMEONE HAD TO VOUCH FOR 3738 04:11:25,001 --> 04:11:26,000 THE WORTHINESS OF THESE LARGE 3739 04:11:26,001 --> 04:11:28,000 MORTGAGE-B 3740 04:11:28,001 --> 04:11:29,000 THESE TRADING INSTRUMENTS OF 3741 04:11:29,001 --> 04:11:31,000 MORTGAGES. 3742 04:11:31,001 --> 04:11:32,000 AND WALL STREET LOOKED, AS IT 3743 04:11:32,001 --> 04:11:42,000 ALWAYS HAS LOOKED, TO THESE 3744 04:11:42,001 --> 04:11:44,000 RATING FITCH. 3745 04:11:44,001 --> 04:11:46,000 THEY CAME ALONG AND ALLEGEDLY 3746 04:11:46,001 --> 04:11:48,000 LOOKED AT THESE PRODUCTS AND 3747 04:11:48,001 --> 04:11:51,000 STAMPED THEM AS BEING TRIPLE A, 3748 04:11:51,001 --> 04:11:53,000 THE HIGHEST LEVEL OF CREDIT 3749 04:11:53,001 --> 04:11:54,000 WORTHINESS, VERY UNLIKELY TO 3750 04:11:54,001 --> 04:11:57,000 HAVE ANY PROBLEMS WITH THEM 3751 04:11:57,001 --> 04:11:58,000 WHERE THE PERSON 3752 04:11:58,001 --> 04:12:00,000 SOME KIND OF INSTRUMENT ON THERE 3753 04:12:00,001 --> 04:12:01,000 WOULD NOT GET PAID LET ALONE 3754 04:12:01,001 --> 04:12:03,000 LOSE THEIR INVESTMENT. 3755 04:12:03,001 --> 04:12:04,000 THE CHALLENGE WAS IS THAT THE 3756 04:12:04,001 --> 04:12:06,000 RATING AGENCIES DIDN'T 3757 04:12:06,001 --> 04:12:08,000 UNDERSTAND THE MORTGAGES THAT 3758 04:12:08,001 --> 04:12:10,000 WERE IN THESE PRODUCTS. 3759 04:12:10,001 --> 04:12:12,000 THEY DIDN'T DO THE DUE DILIGENCE 3760 04:12:12,001 --> 04:12:14,000 AND WE PROTECT THEM BY FEDERAL 3761 04:12:14,001 --> 04:12:16,000 LAW FOR ANY RECOURSE AGAINST 3762 04:12:16,001 --> 04:12:17,000 THEM FOR THE MOST PART. 3763 04:12:17,001 --> 04:12:18,000 THEY DIDN'T HAVE ANY 3764 04:12:18,001 --> 04:12:20,000 GAME EITHER. 3765 04:12:20,001 --> 04:12:21,000 NOW YOU HAVE THE BORROWER WITH 3766 04:12:21,001 --> 04:12:23,000 NO SKIN IN THE GAME BECAUSE THEY 3767 04:12:23,001 --> 04:12:25,000 DIDN'T HAVE TO PUT ANYTHING DOWN 3768 04:12:25,001 --> 04:12:26,000 ON THEIR HOUSE. 3769 04:12:26,001 --> 04:12:28,000 THEY'RE BASICALLY 3770 04:12:28,001 --> 04:12:30,000 HAVE THE BANK AND THE MORTGAGE 3771 04:12:30,001 --> 04:12:31,000 OKER WITH NO SKIN IN THE GAME 3772 04:12:31,001 --> 04:12:32,000 BECAUSE THEY DON'T HAVE TO HOLD 3773 04:12:32,001 --> 04:12:34,000 THE MORTGAGE 3774 04:12:34,001 --> 04:12:36,000 YOU HAVE THE FINANCIAL FIRMS 3775 04:12:36,001 --> 04:12:39,000 WITH NO SKIN IN THE GAME BECAUSE 3776 04:12:39,001 --> 04:12:41,000 THEY'RE JUST TRADING THESE LARGE 3777 04:12:41,001 --> 04:12:43,000 SECURITIZED INSTRUMENTS AND, 3778 04:12:43,001 --> 04:12:46,000 WORSE STILL, THEY CREATE WHAT 3779 04:12:46,001 --> 04:12:47,000 THEY CALL SYNTHETIC INGREDIENTS 3780 04:12:47,001 --> 04:12:52,000 WHERE YOU DON'T HAVE TO HOLD ANY 3781 04:12:52,001 --> 04:12:55,000 OF THIS -- THESE MORTGAGES 3782 04:12:55,001 --> 04:12:56,000 YOURSELF, YOU'RE CREATING A 3783 04:12:56,001 --> 04:12:58,000 SHADOW INSTRUMENT THAT TRADES 3784 04:12:58,001 --> 04:13:00,000 THE SAME U 3785 04:13:00,001 --> 04:13:01,000 BUT, IN FACT, DOES NOT HOLD 3786 04:13:01,001 --> 04:13:03,000 THEM. 3787 04:13:03,001 --> 04:13:04,000 IT'S SORT OF LICK ME BETTING 3788 04:13:04,001 --> 04:13:06,000 THAT -- LIKE ME BETTING THAT 3789 04:13:06,001 --> 04:13:07,000 YOUR 3790 04:13:07,001 --> 04:13:08,000 WITHOUT ME HAVING ANY INTERES 3791 04:13:08,001 --> 04:13:10,000 IN YOUR HOUSE. 3792 04:13:10,001 --> 04:13:12,000 AND WE CREATED THIS LONG CHAIN 3793 04:13:12,001 --> 04:13:14,000 OF PEOPLE IN THIS MARKETPLACE 3794 04:13:14,001 --> 04:13:16,000 FROM THE BORROWER TO THE 3795 04:13:16,001 --> 04:13:21,000 MORTGAGE BROKER BANK TO THE 3796 04:13:21,001 --> 04:13:24,000 RATING AGENCY WHO HAD NO SKIN IN 3797 04:13:24,001 --> 04:13:26,000 THE GAME ON THESE TRANSACTIONS. 3798 04:13:26,001 --> 04:13:28,000 AND THE SALE OF THESE 3799 04:13:28,001 --> 04:13:30,000 MORTGAGE-BACKED SECURITIES AND 3800 04:13:30,001 --> 04:13:32,000 LATER THE CREDIT DEFAULT SWA 3801 04:13:32,001 --> 04:13:35,000 WHICH WAS THE INSURANCE POLICIES 3802 04:13:35,001 --> 04:13:38,000 AGAINST THEM, CREATED HE FEES 3803 04:13:38,001 --> 04:13:39,000 AND WE DID FOR THE FIRST TIME IN 3804 04:13:39,001 --> 04:13:41,000 THE HISTORY OF THIS COUNTRY 3805 04:13:41,001 --> 04:13:46,000 SOMETHING THAT WE HAD NEVER DONE BEFORE. 3806 04:13:46,001 --> 04:13:48,000 WE PUT THE PRIME ASSET OF MOST 3807 04:13:48,001 --> 04:13:52,000 AMERICANS, THEIR HOME, IN PLAY 3808 04:13:52,001 --> 04:13:54,000 ON WALL STREET. 3809 04:13:54,001 --> 04:13:58,000 AND YEAR AFTER YEAR AFTER 3810 04:13:58,001 --> 04:14:00,000 THE DEMAND FOR THESE MORTGAGES 3811 04:14:00,001 --> 04:14:03,000 DROVE THE EXCESS. 3812 04:14:03,001 --> 04:14:06,000 MORE AND MORE AND POORER AND 3813 04:14:06,001 --> 04:14:07,000 POORER MORTGAGES WRITTEN TO FEED 3814 04:14:07,001 --> 04:14:10,000 THE BEAST ON WALL STREET. 3815 04:14:10,001 --> 04:14:12,000 AND AT THE END OF THE DAY, THE 3816 04:14:12,001 --> 04:14:14,000 HOUSING MARKET COULDN'T SUSTAIN 3817 04:14:14,001 --> 04:14:16,000 ITSELF AND WHEN THE MORTGAGES 3818 04:14:16,001 --> 04:14:18,000 STARTED TO FAIL -- WHEN PEOPLE 3819 04:14:18,001 --> 04:14:22,000 STARTED TO NOT BE ABLE TO MAKE 3820 04:14:22,001 --> 04:14:24,000 INCREASE IN PROPERTY PRICES 3821 04:14:24,001 --> 04:14:25,000 COULD N INCREASE ANYMORE 3822 04:14:25,001 --> 04:14:28,000 BECAUSE GRAVITY AFFECTS 3823 04:14:28,001 --> 04:14:32,000 EVERYTHING AFTER 3824 04:14:32,001 --> 04:14:34,000 WHOLE SYSTEM IN 2007 AND THEN 3825 04:14:34,001 --> 04:14:36,000 2008 BEGAN TO FALL APART. 3826 04:14:36,001 --> 04:14:38,000 AND WEEP FOUND OUT -- AND WE 3827 04:14:38,001 --> 04:14:41,000 FOUND OUT THAT COMPANIES LIKE 3828 04:14:41,001 --> 04:14:43,000 A.I.G. WERE ALL ENTANGLED IN 3829 04:14:43,001 --> 04:14:44,000 BUYING AND SELLING INSURANCE 3830 04:14:44,001 --> 04:14:46,000 PRODUCTS ON THESE PRODUCTS. 3831 04:14:46,001 --> 04:14:52,000 THAT THEY HAD 3832 04:14:52,001 --> 04:14:53,000 THAT WALL STREET BANKS HA 3833 04:14:53,001 --> 04:14:54,000 HAD $5 BILLION, $10 BILLION, $15 HAD $5 BILLION, $10 BILLION, $15 3834 04:14:54,001 --> 04:14:55,000 BILLION OR MORE IN THESE 3835 04:14:55,001 --> 04:14:57,000 INSTITUTIONS AND SOMEF THESE 3836 04:14:57,001 --> 04:15:00,000 FINANCIAL INSTITUTIONS FAILED. 3837 04:15:00,001 --> 04:15:03,000 FIRST BOUGHT UP BY OTHER 3838 04:15:03,001 --> 04:15:05,000 BAILED OUT BY YOU, THE TAXPAYER. 3839 04:15:05,001 --> 04:15:06,000 I GO THROUGH THIS HISTORY, MADAM 3840 04:15:06,001 --> 04:15:07,000 PRESIDENT, AND EXPLAIN IT IN THE 3841 04:15:07,001 --> 04:15:12,000 BEST WAY THAT I KNOW HOW. 3842 04:15:12,001 --> 04:15:13,000 IT IS A VERY COMPLICATED 3843 04:15:13,001 --> 04:15:15,000 -- BECAUSE WHAT WE DO IN THIS 3844 04:15:15,001 --> 04:15:18,000 REFORM BILL HAS TO ADDRESS THE 3845 04:15:18,001 --> 04:15:24,000 SKIN IN THE GAME PROBLEM. 3846 04:15:24,001 --> 04:15:27,000 SO I HAVE MADE TO MY FRIENDS, 3847 04:15:27,001 --> 04:15:28,000 SENATOR CORKER, SENATOR WARNER 3848 04:15:28,001 --> 04:15:30,000 AND OTHERS WHO ARE IN THE MIDST 3849 04:15:30,001 --> 04:15:32,000 OF NEGOTIATING THE BILL THAT 3850 04:15:32,001 --> 04:15:34,000 WILL COME TO 3851 04:15:34,001 --> 04:15:36,000 HAVE MADE THREE SUGGESTIONS AS 3852 04:15:36,001 --> 04:15:38,000 TO 3853 04:15:38,001 --> 04:15:39,000 SURE THAT WE DO REPLICATE THIS 3854 04:15:39,001 --> 04:15:42,000 PROBLEM AGAIN. 3855 04:15:42,001 --> 04:15:44,000 FIRST OF ALL, THESE RATING 3856 04:15:44,001 --> 04:15:46,000 AGENCIES WHO ARE CAPTIVE TO THE 3857 04:15:46,001 --> 04:15:49,000 INVESTMENT BANKS WHOSE PRODUCTS 3858 04:15:49,001 --> 04:15:52,000 THEY RATE CAN NO 3859 04:15:52,001 --> 04:15:54,000 HARMLESS TO NOT DO THE DUE 3860 04:15:54,001 --> 04:15:55,000 DILIGENCEEQUIRED AND STAMP 3861 04:15:55,001 --> 04:16:00,000 TRIPLE-A ON PRODUCTS THAT THEY 3862 04:16:00,001 --> 04:16:03,000 DO NOT INVESTIGATE AND DO NOT UNDERSTAND. 3863 04:16:03,001 --> 04:16:04,000 BUT FOR THESE RATING AGENCIES, 3864 04:16:04,001 --> 04:16:05,000 THIS CRISIS PROBABLY WOULD NOT 3865 04:16:05,001 --> 04:16:13,000 HAVE HAPPENED. 3866 04:16:13,001 --> 04:16:15,000 BUT FOR 3867 04:16:15,001 --> 04:16:16,000 TRIPLE-A STAMP, PEOPLE WOULD NOT 3868 04:16:16,001 --> 04:16:17,000 HAVE SLEPT WELL AT NIGHT BUYING 3869 04:16:17,001 --> 04:16:18,000 A PRODUCT THEY DID NOT 3870 04:16:18,001 --> 04:16:19,000 UNDERSTAND. 3871 04:16:19,001 --> 04:16:21,000 IT IS LIKE CONSUMER REPORTS. 3872 04:16:21,001 --> 04:16:23,000 CONSUMER REPORTS SAYS, THIS IS A 3873 04:16:23,001 --> 04:16:24,000 GREAT CAR, IT'S SAFE. 3874 04:16:24,001 --> 04:16:25,000 YOU AS A CONSUMER DON'T 3875 04:16:25,001 --> 04:16:28,000 UNDERSTAND THE MODERN WORKINGS 3876 04:16:28,001 --> 04:16:29,000 OF A CAR WITH ALL ITS COMPUTER 3877 04:16:29,001 --> 04:16:30,000 TECHNOLOGY, BUT YOU BUY 3878 04:16:30,001 --> 04:16:31,000 "CONSUMER REPORTS "REQUESTS AND 3879 04:16:31,001 --> 04:16:33,000 YOU READ IT. 3880 04:16:33,001 --> 04:16:37,000 IT TELLS YOU THAT THIS IS THE 3881 04:16:37,001 --> 04:16:38,000 SAFEST CAR IN AMERICA, S SO YOU 3882 04:16:38,001 --> 04:16:39,000 FEEL SAFE PUTTING YOUR WIFE AND 3883 04:16:39,001 --> 04:16:42,000 KIDS IN THAT CAR. 3884 04:16:42,001 --> 04:16:43,000 BUT YOU DIDN'T KNOW UNDERSTAND 3885 04:16:43,001 --> 04:16:45,000 THIS CIRCUMSTANCE THAT THE VERY 3886 04:16:45,001 --> 04:16:47,000 RATING AGENCS WHO WE RATING 3887 04:16:47,001 --> 04:16:48,000 THESE 3888 04:16:48,001 --> 04:16:50,000 DUE DILIGENCE AND WERE BEING 3889 04:16:50,001 --> 04:16:52,000 PAID BY THE INVESTMENT BANKS 3890 04:16:52,001 --> 04:16:53,000 WHOSE PRODUCTS WHICH THEY WERE 3891 04:16:53,001 --> 04:16:56,000 RATING. 3892 04:16:56,001 --> 04:16:58,000 THAT'S GOT TO CHANGE. 3893 04:16:58,001 --> 04:17:02,000 SUGGESTION NUMBER TWO: 3894 04:17:02,001 --> 04:17:05,000 IN TERMSF RESIDENTIAL MORTGAGE 3895 04:17:05,001 --> 04:17:07,000 UNDERWRITING, IN A BROKER OR 3896 04:17:07,001 --> 04:17:08,000 BANK IS GOING TO WTE SOME 3897 04:17:08,001 --> 04:17:10,000 EXOTIC-TYPE MORTGAGE WHERE THERE 3898 04:17:10,001 --> 04:17:11,000 IS LITTLEO NOTHING DOWN, THEN 3899 04:17:11,001 --> 04:17:12,000 THEY SHOULD BE REQUIRED TO 3900 04:17:12,001 --> 04:17:15,000 MAINTAIN A PORTION OF THOSE 3901 04:17:15,001 --> 04:17:17,000 MORTGAGEDS ON THEIR BOOKS. 3902 04:17:17,001 --> 04:17:19,000 LET THEM BEAR THE RISK. 3903 04:17:19,001 --> 04:17:22,000 DON'T LET THE BANK SHIFT IT O 3904 04:17:22,001 --> 04:17:23,000 SO THAT IT CAN BECOME 3905 04:17:23,001 --> 04:17:25,000 SECURITIZED IN THE MARKETPLACE 3906 04:17:25,001 --> 04:17:28,000 AND TANGLE ALL OF OUR FINANCIAL 3907 04:17:28,001 --> 04:17:29,000 INSTITUTIONS AND PUT US, THE 3908 04:17:29,001 --> 04:17:31,000 TAXPAYER, AT RISK. 3909 04:17:31,001 --> 04:17:33,000 IF WE MAKE THOSE BANKS HOLD SOME 3910 04:17:33,001 --> 04:17:34,000 OF THOSE NONTRADITIONAL 3911 04:17:34,001 --> 04:17:37,000 MORTGAGES, I GUARANTEE YOU THEY 3912 04:17:37,001 --> 04:17:39,000 WILL DO A BETTER JOB OF MAKING 3913 04:17:39,001 --> 04:17:42,000 SURE THAT THE PEOPLE THEY'RE 3914 04:17:42,001 --> 04:17:43,000 LENDING MONEY TO ARE GOOD 3915 04:17:43,001 --> 04:17:44,000 CREDIT-WORTHY INVESTMENTS FOR 3916 04:17:44,001 --> 04:17:47,000 THEM. 3917 04:17:47,001 --> 04:17:51,000 THE THIRDUGGESTION IS THIS: 3918 04:17:51,001 --> 04:17:53,000 THESE ISSUERS OF 3919 04:17:53,001 --> 04:17:55,000 SECURITIZATIONS, INCLUDING THE 3920 04:17:55,001 --> 04:17:56,000 SYNTHETIC -- WHICH REALLY 3921 04:17:56,001 --> 04:17:59,000 BASICALLY MEANS MANUFACTURED, 3922 04:17:59,001 --> 04:18:00,000 NOT REAL -- COLLATERALIZED DEBT 3923 04:18:00,001 --> 04:18:03,000 OBLIGATIONS, THEY ALSO, TOO, 3924 04:18:03,001 --> 04:18:04,000 SHOULD BE REQUIRED TO MAINTAIN A 3925 04:18:04,001 --> 04:18:05,000 SUBSTANTIAL STAKE OF THE 3926 04:18:05,001 --> 04:18:06,000 INSTRUMENTS THEY MARKET. 3927 04:18:06,001 --> 04:18:08,000 THEY HAVE TO HAVE SKIN IN THE 3928 04:18:08,001 --> 04:18:10,000 GAME AS WELL, SO THAT IF THOSE 3929 04:18:10,001 --> 04:18:12,000 INSTRUMENTS FAIL, THEY ARE GOING 3930 04:18:12,001 --> 04:18:15,000 TO LOSE 3931 04:18:15,001 --> 04:18:16,000 WE HAVE GOT TO HAVE NOT ONLY IN 3932 04:18:16,001 --> 04:18:19,000 THIS DISCUSSION BUT THROUGHOUT 3933 04:18:19,001 --> 04:18:20,000 THE PROBLE 3934 04:18:20,001 --> 04:18:23,000 MADAM PRESIDENT, WE HAVE GOT TO 3935 04:18:23,001 --> 04:18:24,000 UNDERSTAND THE INCENTIVES WE'RE 3936 04:18:24,001 --> 04:18:25,000 CREATING. 3937 04:18:25,001 --> 04:18:27,000 WE CANNOT HAVE A FINANCIAL 3938 04:18:27,001 --> 04:18:32,000 MARKET SYSTEM WHEREBY THERE IS 3939 04:18:32,001 --> 04:18:33,000 NO EXPOSURE TO ME 3940 04:18:33,001 --> 04:18:34,000 THE EQUATION BECAUSE THAT'S 3941 04:18:34,001 --> 04:18:36,000 GOING TO ENCOURAGE BAD BEHAVIOR. 3942 04:18:36,001 --> 04:18:37,000 IT IS THE SAME REASON WE GOT IT 3943 04:18:37,001 --> 04:18:39,000 WRONG ON HEALTH CARE REFORM, 3944 04:18:39,001 --> 04:18:42,000 BECAUSE AS LONG AS WE HAVE 3945 04:18:42,001 --> 04:18:43,000 THIRD-PARTY PAYERS, MEDICARE, 3946 04:18:43,001 --> 04:18:44,000 MEDICAID INSURANCE COMPANIES, 3947 04:18:44,001 --> 04:18:45,000 WE, THE CONSUMER, HAVE LITTLE 3948 04:18:45,001 --> 04:18:46,000 INTEREST IN THE COST OF WHAT 3949 04:18:46,001 --> 04:18:47,000 WE'RE PAYING FOR. 3950 04:18:47,001 --> 04:18:49,000 THEREFORE, COSTS DON'T GO DOWN. 3951 04:18:49,001 --> 04:18:51,000 IT'S THE SAME BREWING PROBLEM 3952 04:18:51,001 --> 04:18:53,000 THAT WE'RE GOING TO HAVE WHEN A 3953 04:18:53,001 --> 04:18:57,000 RECENT STATISTIC SAYS THAT 47% 3954 04:18:57,001 --> 04:18:59,000 OF AMERICANS DON'T PAY TAXES. 3955 04:18:59,001 --> 04:19:01,000 IF 47% OF AMERICANS DON'T PAY 3956 04:19:01,001 --> 04:19:02,000 TAXES, DO THEY ACTUALLY CARE IF 3957 04:19:02,001 --> 04:19:03,000 THE UNITED STATES GOVERNMENT 3958 04:19:03,001 --> 04:19:04,000 DOES A GOOD JOB OF SPENDING 3959 04:19:04,001 --> 04:19:05,000 MONEY EFFTIVELY AND 3960 04:19:05,001 --> 04:19:07,000 EFFICIENTLY? 3961 04:19:07,001 --> 04:19:08,000 THE INCENTIVE IS FOR THEM NOT TO 3962 04:19:08,001 --> 04:19:10,000 CARE, BECAUSE IT'S NOT THEIR 3963 04:19:10,001 --> 04:19:12,000 MONEY. 3964 04:19:12,001 --> 04:19:14,000 WE'VE GOT TO ADDRESS THIS ISSUE 3965 04:19:14,001 --> 04:19:16,000 TODAY IN THE FINANCIAL MARKETS 3966 04:19:16,001 --> 04:19:19,000 AND TOMORROW IN ALL OF THE 3967 04:19:19,001 --> 04:19:23,000 LEGISLATIO WE PASS. 3968 04:19:23,001 --> 04:19:25,000 AMERICANS, BANKS, CONSUMERS IN 3969 04:19:25,001 --> 04:19:26,000 ALL FORMERS -- 3970 04:19:26,001 --> 04:19:27,000 HEALTH CARE SERVICES OR 3971 04:19:27,001 --> 04:19:29,000 FINANCIAL PRODUCTS, WHETHER 3972 04:19:29,001 --> 04:19:30,000 BUYING A HOME OR TRADING ON WALL 3973 04:19:30,001 --> 04:19:33,000 STREET, WE HAVE TO HAVE SKIN IN 3974 04:19:33,001 --> 04:19:35,000 THE GAME. 3975 04:19:35,001 --> 04:19:37,000 WHERE WE CREATE BAD INCENTIVE -- 3976 04:19:37,001 --> 04:19:38,000 OR WE CREATE 3977 04:19:38,001 --> 04:19:39,000 HARM OUR COUNTRY. 3978 04:19:39,001 --> 04:19:41,000 WITH THAT, MADAM PRESIDENT, I 3979 04:19:41,001 --> 04:19:42,000 CONCLUDE MY REMARKS AND SUGGEST 3980 04:19:42,001 --> 04:19:43,000 THE ABSENCE OF A QUORUM. 3981 04:19:43,001 --> 04:19:48,000 THE PRES 3982 04:19:48,001 --> 04:21:36,000 CLERK WILL CALL THE ROLL. 3983 04:21:36,001 --> 04:21:37,000 QUORUM CALL: MR. BROWN: MADAM PRESIDENT? 3984 04:21:37,001 --> 04:21:38,000 THE PRESIDING OFFICER: THE 3985 04:21:38,001 --> 04:21:40,000 SENATOR FROM OHIO. 3986 04:21:40,001 --> 04:21:42,000 MR. BROWN: I ASK UNANIMOUS 3987 04:21:42,001 --> 04:21:43,000 CONSENT TO DISPENSE WIT QUORUM. 3988 04:21:43,001 --> 04:21:44,000 TH OBJECTION. 3989 04:21:44,001 --> 04:21:46,000 MR. BROWN: AND, MADAM 3990 04:21:46,001 --> 04:21:49,000 PRESIDENT, I ASK UNANIMOUS 3991 04:21:49,001 --> 04:21:50,000 CONSENT TO SPEAK FOR UP TO FIVE 3992 04:21:50,001 --> 04:21:51,000 MINUTES. THE PRESIDING OFFICER: WITHOUT 3993 04:21:51,001 --> 04:21:53,000 OBJECTION. 3994 04:21:53,001 --> 04:21:54,000 MR. BROWN: I THANK YOU, MADAM PRESIDENT. 3995 04:21:54,001 --> 04:21:57,000 AND IF A REPUBLICAN -- I KNOW 3996 04:21:57,001 --> 04:21:58,000 THAT THE DEMOCRATS ARE A BIT 3997 04:21:58,001 --> 04:22:00,000 SHORTER THAN THAT ON TIME. 3998 04:22:00,001 --> 04:22:01,000 IF A REPUBLICAN COMES TO THE 3999 04:22:01,001 --> 04:22:02,000 FLOOR, I WILL YIELD THE FLOOR 4000 04:22:02,001 --> 04:22:03,000 MORE QUICKLY, IF THEY SCVMENT I 4001 04:22:03,001 --> 04:22:05,000 HAVE A COUPLE OF THINGS I WANT 4002 04:22:05,001 --> 04:22:06,000 TO SAIVMENT I JUST CAME EARLIER 4003 04:22:06,001 --> 04:22:09,000 FROM THE AGRICULTURE COMMITTEE 4004 04:22:09,001 --> 04:22:12,000 MEETING WHERE WE PASSED 4005 04:22:12,001 --> 04:22:13,000 LEGISLATION, BIPARTISANLY, ON -- 4006 04:22:13,001 --> 04:22:18,000 TO REGULATE DERIVATIVES. 4007 04:22:18,001 --> 04:22:21,000 IT WAS A MAJOR STEP IN FINANCIAL REFORM. 4008 04:22:21,001 --> 04:22:24,000 IT 4009 04:22:24,001 --> 04:22:26,000 DISCUSSION W 4010 04:22:26,001 --> 04:22:27,000 DISCUSSION WAS NOT REALLY 4011 04:22:27,001 --> 04:22:28,000 CONTENTIOUS BUT THERE WAS A GOOD 4012 04:22:28,001 --> 04:22:30,000 BIT OF DISAGREEMENT. 4013 04:22:30,001 --> 04:22:31,000 IN THE END, THE COMMITTEE VOTED 4014 04:22:31,001 --> 04:22:33,000 BIPARTISANLY FOR STRONGER 4015 04:22:33,001 --> 04:22:35,000 DERIVATIVE LEGISLATION. 4016 04:22:35,001 --> 04:22:37,000 ITS IT WILL PROVIDE FINANCIAL 4017 04:22:37,001 --> 04:22:38,000 STABILITY BY REQUIRE BANKS 4018 04:22:38,001 --> 04:22:40,000 PUT CAPITAL BEHIND THEIR TRADES. 4019 04:22:40,001 --> 04:22:41,000 IT WILL USE TRANSPARENCY AND 4020 04:22:41,001 --> 04:22:42,000 ACCOUNTABILITY TO PREVENT WALL 4021 04:22:42,001 --> 04:22:43,000 STREET BANKS FROM TAKING 4022 04:22:43,001 --> 04:22:44,000 ADVANTAGE OF THEIR BUSINESS 4023 04:22:44,001 --> 04:22:45,000 CUSTOMERS. 4024 04:22:45,001 --> 04:22:47,000 AND IT'LL REDUCE SPECULATION 4025 04:22:47,001 --> 04:22:49,000 THAT FUELS BUBBLES IN 4026 04:22:49,001 --> 04:22:50,000 LIKE NATURAL GASES AND 4027 04:22:50,001 --> 04:22:51,000 MORTGAGES. 4028 04:22:51,001 --> 04:22:53,000 WE NEED THAT DERIVATIVES CAN BE 4029 04:22:53,001 --> 04:22:56,000 USED RESPONSIBLY BY BUSINESSES 4030 04:22:56,001 --> 04:22:58,000 TO HEDGE COMMERCIAL 4031 04:22:58,001 --> 04:22:59,000 COMMERCIAL BUSINESSES MAKE UP A 4032 04:22:59,001 --> 04:23:00,000 RELATIVELY SMALL PART OF THE 4033 04:23:00,001 --> 04:23:02,000 DERIVATIVES BUSINESS. 4034 04:23:02,001 --> 04:23:03,000 THEY USED TO MAKE UP A MUCH, 4035 04:23:03,001 --> 04:23:05,000 MUCH LARGER PART. 4036 04:23:05,001 --> 04:23:07,000 BUT BECAUSE OF A LOT OF THE 4037 04:23:07,001 --> 04:23:09,000 SYNTHETIC C.D.O.'S AND OTHER 4038 04:23:09,001 --> 04:23:13,000 DERIVATIVES THAT HAVE BECOME WAY 4039 04:23:13,001 --> 04:23:14,000 AND WAY MORE COMMONPLACE AND, 4040 04:23:14,001 --> 04:23:16,000 PARENTHETICALLY BUT IMPORTANTLY, 4041 04:23:16,001 --> 04:23:18,000 PUT US IN THE POSITION THAT 4042 04:23:18,001 --> 04:23:19,000 WE'RE IN AS A NATION AND OUR 4043 04:23:19,001 --> 04:23:20,000 ECONOMY. 4044 04:23:20,001 --> 04:23:22,000 I NO HE THAT WALL STREET 4045 04:23:22,001 --> 04:23:24,000 EXCESSES -- THE REASON THAT THIS 4046 04:23:24,001 --> 04:23:27,000 BILL WAS SO IMPORTANT AND I 4047 04:23:27,001 --> 04:23:28,000 COMMEND SENATOR 4048 04:23:28,001 --> 04:23:31,000 ADVOCACY AND LEADERSHIP IN 4049 04:23:31,001 --> 04:23:32,000 VOTING OUT A STRONG 4050 04:23:32,001 --> 04:23:34,000 REGULATION, THE REASO 4051 04:23:34,001 --> 04:23:35,000 SO IMPORTANT IS BECAUSE WE KNOW 4052 04:23:35,001 --> 04:23:36,000 WHAT HAPPENED BECAUSE OF WALL 4053 04:23:36,001 --> 04:23:40,000 STREET EXCESS. 4054 04:23:40,001 --> 04:23:43,000 WHAT HAPPENED IS HOMEOWNERS IN 4055 04:23:43,001 --> 04:23:44,000 BRYAN, OHIO, SOME 4056 04:23:44,001 --> 04:23:47,000 HOMES. 4057 04:23:47,001 --> 04:23:54,000 WE KNOW THAT RETIREES IN RAVENA, 4058 04:23:54,001 --> 04:23:58,000 OHIO, LOST BIT OF THEIR WEALTH. 4059 04:23:58,001 --> 04:24:00,000 THAT'S REPEATED IN CHARLOTTE AND 4060 04:24:00,001 --> 04:24:01,000 RALEIGH AND ASHVILLE, 4061 04:24:01,001 --> 04:24:03,000 CAROLINA, AS IT IS TRUE IN 4062 04:24:03,001 --> 04:24:05,000 CLEVELAND AND BEDFORD, OHIO, 4063 04:24:05,001 --> 04:24:06,000 BECAUSE OF WALL STREET EXCESSES 4064 04:24:06,001 --> 04:24:07,000 TOO MANY PEOPLE LOST THEIR 4065 04:24:07,001 --> 04:24:08,000 HOMES, LOST THEIR WEALTH, LOST 4066 04:24:08,001 --> 04:24:10,000 THEIR RETIREMENT, LOST THEIR 4067 04:24:10,001 --> 04:24:12,000 JOBS OF THE AND THIS LEGISLATION 4068 04:24:12,001 --> 04:24:13,000 TODAY, COUPLED WITH SENATOR 4069 04:24:13,001 --> 04:24:15,000 DODD'S LEGISLATION COMING OUT OF 4070 04:24:15,001 --> 04:24:16,000 BANKING, THIS LEGISLATION WAS 4071 04:24:16,001 --> 04:24:18,000 BIPARTISANLY PASSED, IT WILL 4072 04:24:18,001 --> 04:24:20,000 MOVE US IN THE RIGHT DIRECTION, 4073 04:24:20,001 --> 04:24:23,000 IT 4074 04:24:23,001 --> 04:24:25,000 COMPROMISE WITH WALL STREEVMENT 4075 04:24:25,001 --> 04:24:27,000 WHEN BIPARTISAN MEANS BRING WALL 4076 04:24:27,001 --> 04:24:28,000 STREET TO THE TABLE 4077 04:24:28,001 --> 04:24:29,000 LEGISLATION, THAT'S NOT WHAT THE 4078 04:24:29,001 --> 04:24:31,000 AMERICAN PEOPLE WANT. 4079 04:24:31,001 --> 04:24:33,000 WHEN BIPARTISANSHIP MEANS THAT 4080 04:24:33,001 --> 04:24:34,000 OUR COMMITTEE WRITES STRONG 4081 04:24:34,001 --> 04:24:35,000 LANGUAGE AND REPUBLICANS AND 4082 04:24:35,001 --> 04:24:36,000 DEMOCRATS -- AT LEAST ONE 4083 04:24:36,001 --> 04:24:37,000 REPUBLICAN AND DEMOCRATS COME 4084 04:24:37,001 --> 04:24:38,000 TOGETHER, THAT'S WHAT WE OUGHT 4085 04:24:38,001 --> 04:24:39,000 TO DO. 4086 04:24:39,001 --> 04:24:41,000 THAT'S THE DIRECTION WE SHOULD 4087 04:24:41,001 --> 04:24:43,000 GO -- 4088 04:24:43,001 --> 04:24:44,000 SHOULD GO AND THAT'S WHAT 4089 04:24:44,001 --> 04:24:45,000 RESPONSIBLE GOVERN SOMETHING 4090 04:24:45,001 --> 04:24:47,000 ABOU I YIELD THE FLOOR AND SUGGEST 4091 04:24:47,001 --> 04:24:48,000 THE ABSENCE OF A QUORUM. 4092 04:24:48,001 --> 04:24:53,000 THE PRESIDING OFFICER: THE 4093 04:24:53,001 --> 04:30:06,000 CLERK WILL CALL THE 4094 04:30:06,001 --> 04:31:35,000 QUORUM CALL: 4095 04:31:35,001 --> 04:32:15,000 QUORUM CALL: 4096 04:32:15,001 --> 04:44:31,000 QUORUM CALL: 4097 04:44:31,001 --> 04:47:01,000 QUORUM CALL: 4098 04:47:01,001 --> 04:47:03,000 QUORUM CALL: 4099 04:47:03,001 --> 04:47:04,000 A SENATOR: MR. PRESIDENT? THE PRESIDING OFFICER: THE 4100 04:47:04,001 --> 04:47:05,000 SENATOR FROM WYOMING IS 4101 04:47:05,001 --> 04:47:07,000 RECOGNIZED. A SENATOR: MR. PRESIDENT, I ASK 4102 04:47:07,001 --> 04:47:08,000 THAT THE QUORUM CALL BE 4103 04:47:08,001 --> 04:47:09,000 VITIATED. THE PRESIDING OFFICER: WITHOUT 4104 04:47:09,001 --> 04:47:11,000 OBJECTION, SO ORDERED. 4105 04:47:11,001 --> 04:47:14,000 THE QUESTION IS ON EXECUTIVE 4106 04:47:14,001 --> 04:47:19,000 CA 4107 04:47:19,001 --> 04:47:21,000 MAKE OF CHRIS -- THE MOM -- 4108 04:47:21,001 --> 04:47:22,000 NOMINATION OF CHRISTOPHER 4109 04:47:22,001 --> 04:47:23,000 SCHROEDER. 4110 04:47:23,001 --> 04:47:24,000 IS THERE A SUFFICIENT SECOND? 4111 04:47:24,001 --> 04:47:26,000 THERE APPEARS TO 4112 04:47:26,001 --> 04:47:37,000 THERE IS. 4113 04:47:37,001 --> 05:02:55,000 THE CLERK WILL CALL THE ROLL. 4114 05:02:55,001 --> 05:10:49,000 VOTE 4115 05:10:49,001 --> 05:10:51,000 VOTE: 4116 05:10:51,001 --> 05:10:53,000 ANY 4117 05:10:53,001 --> 05:10:54,000 WISH TO VOTE OR TO CHANGE A 4118 05:10:54,001 --> 05:10:58,000 VOTE? 4119 05:10:58,001 --> 05:11:01,000 IF NOT, THE YEAS ARE 71, THE 4120 05:11:01,001 --> 05:11:02,000 NAYS 25, AND THE NOMINATION IS 4121 05:11:02,001 --> 05:11:03,000 CONFIRMED. 4122 05:11:03,001 --> 05:11:05,000 UNDER THE PREVIOUS ORDER, THE 4123 05:11:05,001 --> 05:11:06,000 MOTION TO RECONSIDER IS 4124 05:11:06,001 --> 05:11:07,000 CONSIDERED MADE AND LAI 4125 05:11:07,001 --> 05:11:08,000 THE TABLE. 4126 05:11:08,001 --> 05:11:10,000 THE PRESIDENT WILL IMMEDIATELY 4127 05:11:10,001 --> 05:11:12,000 BE NOTIFIED OF THE SENATE'S ACTION. 4128 05:11:12,001 --> 05:11:13,000 THE CLERK WILL REPORT THE NEXT 4129 05:11:13,001 --> 05:11:15,000 NOMINATION. 4130 05:11:15,001 --> 05:11:17,000 THE CLERK: JUDICIARY, THOMAS I. 4131 05:11:17,001 --> 05:11:18,000 VANASKIE OF PENNSYLVANIA TO BE 4132 05:11:18,001 --> 05:11:34,000 UNITED STATES CIRCUIT JUDGE FOR 4133 05:11:34,001 --> 05:11:35,000 THE THIRD CIRCUIT. 4134 05:11:35,001 --> 05:11:37,000 THE PRESIDING OFFICER: UNDER THE 4135 05:11:37,001 --> 05:11:40,000 PREVIOUS ORDER, THERE ARE THREE 4136 05:11:40,001 --> 05:11:42,000 HOURS OF DEBATE ON THIS 4137 05:11:42,001 --> 05:11:45,000 QUESTION, WITH THEM EQUALLY DIVIDED. 4138 05:11:45,001 --> 05:11:58,000 WHO YIELDS TIME? 4139 05:11:58,001 --> 05:12:01,000 WHO YIELDS TIME? 4140 05:12:01,001 --> 05:12:02,000 A SENATOR: MADAM 4141 05:12:02,001 --> 05:12:03,000 THE PRESIDING OFFICER: THE 4142 05:12:03,001 --> 05:12:04,000 SENATOR FROM NORTH CAROLINA IS 4143 05:12:04,001 --> 05:12:06,000 RECOGNIZED. 4144 05:12:06,001 --> 05:12:07,000 MRS. HAGAN: I WOULD LIKE TO ASK 4145 05:12:07,001 --> 05:12:08,000 FOR FIVE MINUTES OF SENATOR 4146 05:12:08,001 --> 05:12:10,000 LEAHY'S TIME. 4147 05:12:10,001 --> 05:12:12,000 THE PRESIDING OFFICER: WILL THE 4148 05:12:12,001 --> 05:12:13,000 SENATE COME TO ORDER? 4149 05:12:13,001 --> 05:12:15,000 WILL SENATORS PLEASE TAKE THEIR 4150 05:12:15,001 --> 05:12:18,000 CONVERSATIONS FROM THE WELL? 4151 05:12:18,001 --> 05:12:20,000 THE SENATOR FROM NORTH 4152 05:12:20,001 --> 05:12:22,000 CAROLINA -- WILL SENATORS PLEASE TAKE THEIR CONVERSATIONS FROM 4153 05:12:22,001 --> 05:12:23,000 THE WELL? 4154 05:12:23,001 --> 05:12:24,000 THE SENATOR F 4155 05:12:24,001 --> 05:12:25,000 IS RECOGNIZED. 4156 05:12:25,001 --> 05:12:26,000 MRS. HAGAN: THANK YOU, 4157 05:12:26,001 --> 05:12:29,000 MR. PRESIDENT. 4158 05:12:29,001 --> 05:12:32,000 THERE ARE TWO JUDICIAL NOMINEES 4159 05:12:32,001 --> 05:12:33,000 ON THE CALENDAR FROM NORTH 4160 05:12:33,001 --> 05:12:36,000 CAROLINA WHOM 4161 05:12:36,001 --> 05:12:40,000 CONFIRMED BY THIS BODY OVERWHELMINGLY. 4162 05:12:40,001 --> 05:12:42,000 JUDGES JIM WYNN AND AL DIAZ, 4163 05:12:42,001 --> 05:12:43,000 NOMINEES FOR THE FOURT 4164 05:12:43,001 --> 05:12:44,000 COURT OF APPEALS WERE BOTH 4165 05:12:44,001 --> 05:12:45,000 APPROVED BY THE SENATE JUDICIARY 4166 05:12:45,001 --> 05:12:47,000 COMMITTEE IN JANUARY. 4167 05:12:47,001 --> 05:12:49,000 JUDGE DIAZ HAD THE VOTE OF EVERY 4168 05:12:49,001 --> 05:12:52,000 SINGLE MEMBER OF THE COMMITTEE 4169 05:12:52,001 --> 05:12:53,000 AND JUST ONE SENATOR OPPOSED 4170 05:12:53,001 --> 05:12:55,000 JUDGE WYNN. 4171 05:12:55,001 --> 05:12:56,000 THE REALITY OF THIS SITUATION, 4172 05:12:56,001 --> 05:12:58,000 THOUGH, IS THAT NORTH CAROLINA 4173 05:12:58,001 --> 05:13:01,000 HAS BEEN WAITING FOR ONE OF 4174 05:13:01,001 --> 05:13:03,000 THESE JUDGES SINCE 1994. 4175 05:13:03,001 --> 05:13:05,000 THAT'S 1994. 4176 05:13:05,001 --> 05:13:07,000 SINCE THEN, THERE HAS BEEN ONLY 4177 05:13:07,001 --> 05:13:10,000 ONE JUDGE FROM NORTH CAROLINA ON 4178 05:13:10,001 --> 05:13:11,000 THE 15-JUDGE PANEL OF 4179 05:13:11,001 --> 05:13:13,000 CIRCUIT COURT OF APPEALS, EVEN 4180 05:13:13,001 --> 05:13:15,000 THOUGH NORTH CAROLINA IS THE 4181 05:13:15,001 --> 05:13:18,000 LARGEST AND FASTEST GROWING OF 4182 05:13:18,001 --> 05:13:19,000 THE FIVE STATES IN THE FOURTH 4183 05:13:19,001 --> 05:13:21,000 CIRCUIT. 4184 05:13:21,001 --> 05:13:23,000 PARTISAN BICKERING HAS 4185 05:13:23,001 --> 05:13:25,000 CONTINUALLY BLOCKED QUALIFIED 4186 05:13:25,001 --> 05:13:27,000 NORTH CAROLINIANS FROM 4187 05:13:27,001 --> 05:13:29,000 CONFIRMATION SINCE THE COURT'S 4188 05:13:29,001 --> 05:13:33,000 ESTABLISHMENT BACK IN 1891. 4189 05:13:33,001 --> 05:13:35,000 BUT IN CONSULTATION WITH BOTH ME 4190 05:13:35,001 --> 05:13:38,000 AND SENATOR BURR, THE PRESIDENT 4191 05:13:38,001 --> 05:13:41,000 HAS APPOINTED TWO HIGHLY 4192 05:13:41,001 --> 05:13:42,000 QUALIFIED, EXPERIENCED AND 4193 05:13:42,001 --> 05:13:45,000 FAIR-MINDED NORTH CAROLINA 4194 05:13:45,001 --> 05:13:48,000 JUDGES -- AL DIAZ AND JIM WYNN. 4195 05:13:48,001 --> 05:13:50,000 JUDGE DIAZ OF CHARLOTTE IS A 4196 05:13:50,001 --> 05:13:51,000 BUSINESS COURT JUDGE AND HANDLES 4197 05:13:51,001 --> 05:13:54,000 EXTREMELY COMPLEX BUSINESS CASES. 4198 05:13:54,001 --> 05:13:55,000 BEFORE THAT, HE WAS A STATE 4199 05:13:55,001 --> 05:13:59,000 SUPERIOR COURT JUDGE. 4200 05:13:59,001 --> 05:14:01,000 JUDGE WYNN OF CARY IS A 19-YEAR 4201 05:14:01,001 --> 05:14:02,000 VETERAOF THE NORTH CAROLINA 4202 05:14:02,001 --> 05:14:03,000 COURT OF APPEALS AND FORMALLY 4203 05:14:03,001 --> 05:14:04,000 SERVED ON THE 4204 05:14:04,001 --> 05:14:06,000 SUPREME COURT. 4205 05:14:06,001 --> 05:14:09,000 THE AMERICAN BAR ASSOCIATION HAS 4206 05:14:09,001 --> 05:14:10,000 GIVEN BOTH OF THEM ITS HIGHEST 4207 05:14:10,001 --> 05:14:12,000 POSSIBLE RATING. 4208 05:14:12,001 --> 05:14:13,000 THEY BOTH HAVE SERVED OUR 4209 05:14:13,001 --> 05:14:16,000 COUNTRY IN THE MILITARY. 4210 05:14:16,001 --> 05:14:18,000 THEY HAVE THE SUPPORT OF 4211 05:14:18,001 --> 05:14:20,000 DEMOCRATS AND REPUBLICANS, 4212 05:14:20,001 --> 05:14:21,000 INCLUDING MY NORTH CAROLINA 4213 05:14:21,001 --> 05:14:23,000 SENATE COLLEAGUE SENATOR RICHARD BURR. 4214 05:14:23,001 --> 05:14:25,000 THEY HAVE NO REAL OPPOSITION 4215 05:14:25,001 --> 05:14:29,000 THAT I AM AWARE OF. 4216 05:14:29,001 --> 05:14:32,000 FINALLY, WE HAVE NOT ONE BUT TWO 4217 05:14:32,001 --> 05:14:35,000 QUALIFIED AND BIPARTISAN 4218 05:14:35,001 --> 05:14:37,000 TO SERVE NORTH CAROLINA AND OUR 4219 05:14:37,001 --> 05:14:39,000 COUNTRY ON THE FOURTH CIRCUIT. 4220 05:14:39,001 --> 05:14:41,000 I AM HOPEFUL THAT WE ARE CLOSE, 4221 05:14:41,001 --> 05:14:43,000 CLOSE TO CONFIRMING THESE TWO 4222 05:14:43,001 --> 05:14:44,000 OUTSTANDING NOMINEES FOR THE 4223 05:14:44,001 --> 05:14:45,000 FOURTH CIRCUIT. 4224 05:14:45,001 --> 05:14:47,000 I WILL CONTINUE WORKING WITH MY 4225 05:14:47,001 --> 05:14:50,000 COLLEAGUES TO ENSURE THAT THEY 4226 05:14:50,001 --> 05:14:52,000 ARE CONFIRMED AS SWIFTLY AS 4227 05:14:52,001 --> 05:14:54,000 POSSIBLE. 4228 05:14:54,001 --> 05:14:59,000 MR. PRESIDENT, I YIELD THE 4229 05:14:59,001 --> 05:15:00,000 FLOOR. 4230 05:15:00,001 --> 05:15:01,000 MR. CASEY:R. PRESIDENT? 4231 05:15:01,001 --> 05:15:02,000 THE PRESIDING OFFICER: THE 4232 05:15:02,001 --> 05:15:04,000 SENATOR FROM PENNSYLVANIA IS RECOGNIZED. 4233 05:15:04,001 --> 05:15:05,000 MR. CASEY: MR. PRESIDENT, I RISE 4234 05:15:05,001 --> 05:15:06,000 TODAY TO SPEAK ABOUT THE 4235 05:15:06,001 --> 05:15:07,000 NOMINATION THAT WE'RE 4236 05:15:07,001 --> 05:15:09,000 CONSIDERING IN THE NEXT FEW 4237 05:15:09,001 --> 05:15:13,000 HOURS, AND THAT'S THE NOMINATION 4238 05:15:13,001 --> 05:15:15,000 OF JUDGE THOMAS I. VANASKIE. 4239 05:15:15,001 --> 05:15:17,000 I CAN'T TELL YOU HOW PROUD I AM 4240 05:15:17,001 --> 05:15:20,000 TO TALK ABOUT HIS NOMINATION. 4241 05:15:20,001 --> 05:15:22,000 I HAVE KNOWN HIM FOR A LONG, 4242 05:15:22,001 --> 05:15:23,000 LONG TIME, AND I THINK IT GOES 4243 05:15:23,001 --> 05:15:25,000 WITHOUT SAYING THAT I JOIN A LOT 4244 05:15:25,001 --> 05:15:28,000 OF PEOPLE WHO HAVE SPOKEN ABOUT 4245 05:15:28,001 --> 05:15:31,000 HIM ALREADY AND KNOW H, THAT 4246 05:15:31,001 --> 05:15:33,000 WE STRONGLY SUPPORT HIS 4247 05:15:33,001 --> 05:15:34,000 NOMINATION AND CONFIRMATION FOR 4248 05:15:34,001 --> 05:15:36,000 A SEAT ON THE UNITED STATES 4249 05:15:36,001 --> 05:15:39,000 COURT OF APPEALS FOR THE THIRD 4250 05:15:39,001 --> 05:15:41,000 CIRCUIT. 4251 05:15:41,001 --> 05:15:43,000 TOM VANASKIE IS A LEGAL SCHOLAR, 4252 05:15:43,001 --> 05:15:44,000 HE'S FAIR-MINDED, HE HAS 4253 05:15:44,001 --> 05:15:48,000 UNQUESTIONED INTEGRITY AND 4254 05:15:48,001 --> 05:15:49,000 ABILITY, HE'S AN EXPERIENCED 4255 05:15:49,001 --> 05:15:51,000 FEDERAL JUDGE SINCE HIS 4256 05:15:51,001 --> 05:15:53,000 APPOINTMENT IN 1994, AND ON TOP 4257 05:15:53,001 --> 05:15:56,000 OF ALL THAT, HE'S A DECENT, 4258 05:15:56,001 --> 05:15:57,000 COMPASSIONATE MAN. 4259 05:15:57,001 --> 05:15:59,000 TH STANDING COMMITTEE ON THE 4260 05:15:59,001 --> 05:16:02,000 FEDERAL JUDICIARY OF THE 4261 05:16:02,001 --> 05:16:03,000 AMERICAN BAR ASSOCIATION HAS 4262 05:16:03,001 --> 05:16:06,000 UNANIMOUSLY RATED JUDGE VANASKIE 4263 05:16:06,001 --> 05:16:07,000 WELL QUALIFIED TO SERVE AS A 4264 05:16:07,001 --> 05:16:10,000 JUDGE ON THE UNITED STATES COURT 4265 05:16:10,001 --> 05:16:13,000 OF APPEALS FOR THE THI CIRCUIT. 4266 05:16:13,001 --> 05:16:15,000 JUDGE VANASKIE'S BIOGRAPHY 4267 05:16:15,001 --> 05:16:18,000 HIGHLIGHTS BOTH HIS SCHOLARLY 4268 05:16:18,001 --> 05:16:20,000 AND PROFESSIONAL ACCOMPLISHMENTS 4269 05:16:20,001 --> 05:16:22,000 AND THE HIGH ESTEEM IN WHICH 4270 05:16:22,001 --> 05:16:24,000 HE'S HELD BY HIS COLLEAGUES IN 4271 05:16:24,001 --> 05:16:28,000 THEEGAL PROFESSION. 4272 05:16:28,001 --> 05:16:30,000 HE GRADUATED MAGNA CUM LAUDE 4273 05:16:30,001 --> 05:16:32,000 FROM WILLIAMSPORT COLLEGE IN 4274 05:16:32,001 --> 05:16:33,000 PENNSYLVANIA, WHERE HE WAS ALSO 4275 05:16:33,001 --> 05:16:39,000 AN HONORABLE MENTION FOOTBALL 4276 05:16:39,001 --> 05:16:40,000 PLAYER AND A FIRST-TEAM ACADEC 4277 05:16:40,001 --> 05:16:42,000 ALL AMERICAN. 4278 05:16:42,001 --> 05:16:43,000 HE WAS AN OUTSTANDING MALE 4279 05:16:43,001 --> 05:16:44,000 STUDENT ATHLETE AND THE 4280 05:16:44,001 --> 05:16:45,000 RECIPIENT OF A HIGHEST AWARD 4281 05:16:45,001 --> 05:16:48,000 GIVEN TO A GRADUATING STUDENT. 4282 05:16:48,001 --> 05:16:50,000 THEN WENT TO LAW SCHOOL AT 4283 05:16:50,001 --> 05:16:52,000 DICKINSON SCHOOL OF LAW IN 4284 05:16:52,001 --> 05:16:56,000 PENNSYLVANIA, FROM WHICH HE 4285 05:16:56,001 --> 05:16:57,000 GRADUATED CUM LAUDE IN 1978. 4286 05:16:57,001 --> 05:17:00,000 JUDGE VANASKIE SERVED AS EDITOR 4287 05:17:00,001 --> 05:17:03,000 OF THE LAW REVIEW AND RECEIVED 4288 05:17:03,001 --> 05:17:05,000 THE M. VOSTIE BURR AWARD, A 4289 05:17:05,001 --> 05:17:07,000 SCHOLARSHIP GIVEN BY THE FULTY 4290 05:17:07,001 --> 05:17:10,000 TO THE STUDENT DEEMED -- 4291 05:17:10,001 --> 05:17:11,000 QUOTE -- "MOST DESERVING." 4292 05:17:11,001 --> 05:17:13,000 AFTER GRADUATING FROM LAW 4293 05:17:13,001 --> 05:17:18,000 SCHOOL, JUDGE VANASKIE SERVED AS 4294 05:17:18,001 --> 05:17:19,000 A LAW CLERK FOR JUDGE WILLIAM 4295 05:17:19,001 --> 05:17:20,000 J.NEALON, CHIEFUDGE AT THE 4296 05:17:20,001 --> 05:17:21,000 TIME OF THE UNITED STATES 4297 05:17:21,001 --> 05:17:24,000 DISTRICT COURT FOR THE MIDDLE 4298 05:17:24,001 --> 05:17:25,000 DISTRICT OF PENNSYLVANIA. 4299 05:17:25,001 --> 05:17:27,000 JUDGE VANASKIE PRACTICED LAW FOR 4300 05:17:27,001 --> 05:17:29,000 TWO HIGHLY REGARDED PENNSYLVANIA 4301 05:17:29,001 --> 05:17:32,000 LAW FIRMS BEFORE HIS APPOINTMENT 4302 05:17:32,001 --> 05:17:34,000 TO THE UNITED STATES DISTRIC 4303 05:17:34,001 --> 05:17:36,000 COURT FOR THE MIDDLE DISTRICTF 4304 05:17:36,001 --> 05:17:37,000 PENNSYLVANIA IN 1994. 4305 05:17:37,001 --> 05:17:39,000 HE BECAME THE MIDDLE DISTRICT'S 4306 05:17:39,001 --> 05:17:42,000 CHIEF JUDGE JUST FIVE YEARS 4307 05:17:42,001 --> 05:17:43,000 LATER, IN 1999, AND COMPLETED 4308 05:17:43,001 --> 05:17:46,000 HIS SEVEN-YEAR TERM IN THAT 4309 05:17:46,001 --> 05:17:49,000 CAPACITY IN 2006. 4310 05:17:49,001 --> 05:17:51,000 HE WAS APPOINTED BY CHIEF 4311 05:17:51,001 --> 05:17:52,000 JUSTICE REHNQUIST TO THE 4312 05:17:52,001 --> 05:17:54,000 INFORMATION TECHNOLOGY COMMITTEE 4313 05:17:54,001 --> 05:17:55,000 OF THE JUDICIAL CONFERENCE OF 4314 05:17:55,001 --> 05:17:57,000 THE UNITED STATES, WHERE HE 4315 05:17:57,001 --> 05:17:58,000 SERVED AS CHAIRMAN FOR THREE 4316 05:17:58,001 --> 05:18:03,000 YEARS, AND HE ALSO PARTICIPATED 4317 05:18:03,001 --> 05:18:04,000 IN SEVERAL WORKING GROUPS OF THE 4318 05:18:04,001 --> 05:18:05,000 ADMINISTRATIVE OFFICE OF UNITED 4319 05:18:05,001 --> 05:18:11,000 STATES COURTS, MOST RECTLY ON 4320 05:18:11,001 --> 05:18:12,000 THE FUTURE OF DISTRICT CMECF 4321 05:18:12,001 --> 05:18:14,000 WORKING GROUP TASKED WITH 4322 05:18:14,001 --> 05:18:16,000 DETERMINING THE DESIGN AND 4323 05:18:16,001 --> 05:18:18,000 DEVELOPMENT OF THE NEXT 4324 05:18:18,001 --> 05:18:19,000 GENERATION OF THE FEDERAL 4325 05:18:19,001 --> 05:18:21,000 JUDICIARY'S ELECTRONIC CASE 4326 05:18:21,001 --> 05:18:24,000 FILING PROGRAM. 4327 05:18:24,001 --> 05:18:27,000 AND FINALLY, HE'S AN ADJUNCT 4328 05:18:27,001 --> 05:18:29,000 PROFESSOR AT DICKI INSON SCHOOL 4329 05:18:29,001 --> 05:18:31,000 OF LAW AND IS ACTIVE IN CIVIC 4330 05:18:31,001 --> 05:18:32,000 AND CHARITABLE ENDEAVORS IN 4331 05:18:32,001 --> 05:18:35,000 NORTHEASTERN PENNSYLVANIA. 4332 05:18:35,001 --> 05:18:37,000 LIKE ME, A NORTHEASTERN 4333 05:18:37,001 --> 05:18:41,000 PENNSYLVANIA NATIVE AND RESIDENT. 4334 05:18:41,001 --> 05:18:43,000 JUST A FEW ACCOLADES ABOUT HIS 4335 05:18:43,001 --> 05:18:44,000 SERVICE FROM A WIDE VARIETY OF PEOPLE. 4336 05:18:44,001 --> 05:18:46,000 WE COULD READ A NUMBER OF THESE. 4337 05:18:46,001 --> 05:18:48,000 I'LL JUST HIGHLIGHT A FEW. 4338 05:18:48,001 --> 05:18:50,000 LAWYERS WHO'VE APPEARED BEFORE 4339 05:18:50,001 --> 05:18:53,000 JUDGE VANASKIE HAVE EXPRESSED 4340 05:18:53,001 --> 05:18:54,000 TREMENDOUS RESPECT FOR HIS 4341 05:18:54,001 --> 05:18:56,000 INTELLECTUAL RIGOR AND THE 4342 05:18:56,001 --> 05:18:58,000 DISCIPLINED ATTENTION HE BRINGS 4343 05:18:58,001 --> 05:19:00,000 TO MATTERS BEFORE HIM. 4344 05:19:00,001 --> 05:19:02,000 ONE ATTORNEY WHO HAS TRIED OVER 4345 05:19:02,001 --> 05:19:04,000 A DOZEN CASES BEFORE JUDGE 4346 05:19:04,001 --> 05:19:08,000 VANASKIE HAS DESCRIBED HIM AS -- 4347 05:19:08,001 --> 05:19:10,000 QUOTE -- "OBJECTIVE, FAIR, 4348 05:19:10,001 --> 05:19:13,000 ANALYTICAL, DISPASSIONATE, 4349 05:19:13,001 --> 05:19:16,000 EXTRAORDINARILY CAREFUL AND VERY 4350 05:19:16,001 --> 05:19:19,000 RESPECTFUL OF APPELLATE AUTHORITY." 4351 05:19:19,001 --> 05:19:21,000 THIS SAME LAWYER, THIS SAME 4352 05:19:21,001 --> 05:19:23,000 PRACTITIONER SAID THAT HE HAD 4353 05:19:23,001 --> 05:19:26,000 NOT ALWAYS AGREED WITH JUDGE 4354 05:19:26,001 --> 05:19:28,000 ADVANCE I ASK'S DECISIONS BUT -- 4355 05:19:28,001 --> 05:19:30,000 VANASKIE'S DECISIONS BUT HE ALSO 4356 05:19:30,001 --> 05:19:31,000 FELT THAT HIS RATINGS -- I'M 4357 05:19:31,001 --> 05:19:33,000 SORRY, HIS RULINGS, REFLECTED 4358 05:19:33,001 --> 05:19:34,000 WHAT THE JUDGE CONSIDERED TO BE 4359 05:19:34,001 --> 05:19:36,000 THE MOST APPROPRIATE RESULT AND 4360 05:19:36,001 --> 05:19:38,000 THE RESULT THAT HE WAS OBLIGATED 4361 05:19:38,001 --> 05:19:40,000 TO IMPOSE UNDER THE LAW. 4362 05:19:40,001 --> 05:19:43,000 JUDGE NEALON, U.S. DISTRICT 4363 05:19:43,001 --> 05:19:45,000 COURT JUDGE WILLIAM J. NEALON, 4364 05:19:45,001 --> 05:19:47,000 FOR WHOM JUDGE VANASKIE CLERKED, 4365 05:19:47,001 --> 05:19:50,000 HAS DESCRIBED HIM AS FOLLOWS -- 4366 05:19:50,001 --> 05:19:53,000 QUOTE -- "SUPERBLY QUALIFIED, 4367 05:19:53,001 --> 05:19:55,000 HE'S OUT STAND, HE'S BRILLIANT, HE'S -- 4368 05:19:55,001 --> 05:19:56,000 HE'S OUTSTANDING, HE'S 4369 05:19:56,001 --> 05:19:57,000 BRILLIANT, HE'S OBJECTIVE, AND 4370 05:19:57,001 --> 05:19:58,000 HE IS TIRELESS." 4371 05:19:58,001 --> 05:20:00,000 JUDGE VANASKIE RECOGNIZES THAT 4372 05:20:00,001 --> 05:20:03,000 FOR MANY CITIZENS, HIS DECISIONS 4373 05:20:03,001 --> 05:20:04,000 WILL BE THE FINAL WORD ON THEIR 4374 05:20:04,001 --> 05:20:06,000 CLAIMS BEFORE THE COURT. 4375 05:20:06,001 --> 05:20:09,000 HE TREATS PEOPLE WITH RESPECT 4376 05:20:09,001 --> 05:20:10,000 AND HONORS THEIR RIGHT TO BE 4377 05:20:10,001 --> 05:20:12,000 HEARD. 4378 05:20:12,001 --> 05:20:14,000 HIS DEEP UNDERSTANDING OF AND 4379 05:20:14,001 --> 05:20:17,000 RESPECT FOR THE RULE OF LAW WILL 4380 05:20:17,001 --> 05:20:18,000 SERVE HIM WELL IN RULINGS ON 4381 05:20:18,001 --> 05:20:22,000 CASES AND AUTHORING OPINIONS 4382 05:20:22,001 --> 05:20:23,000 THAT WILL BE INFLUENTIAL IN THE 4383 05:20:23,001 --> 05:20:24,000 THIRD CIRCUIT COURT OF APPEALS 4384 05:20:24,001 --> 05:20:26,000 AND BEYOND. 4385 05:20:26,001 --> 05:20:30,000 SO FOR ALL THESE REASONS AND 4386 05:20:30,001 --> 05:20:32,000 MANY OTHERS, I'M PROUD TO -- TO 4387 05:20:32,001 --> 05:20:34,000 STAND TO SUPPORT JUDGE VANASKIE 4388 05:20:34,001 --> 05:20:36,000 AND URGE HIS CONFIRMATION TODAY. 4389 05:20:36,001 --> 05:20:38,000 AND WITH THAT, MR. PRESIDENT, I 4390 05:20:38,001 --> 05:20:39,000 WOULD YIELD THE FLOOR AND NOTE 4391 05:20:39,001 --> 05:20:40,000 THE ABSENCE OF A QUORUM. 4392 05:20:40,001 --> 05:20:48,000 THE PRESIDING OFFICER: THE CLERK 4393 05:20:48,001 --> 05:20:49,000 WILL CALL THE ROLL. 4394 05:20:49,001 --> 05:20:51,000 QUORUM CALL: 4395 05:20:51,001 --> 05:20:52,000 MR. CASEY: MR. PRESIDENT? 4396 05:20:52,001 --> 05:20:53,000 THE PRESIDING OFFICER: THE 4397 05:20:53,001 --> 05:20:54,000 SENATOR FROM PENNSYLVANIA IS RECOGNIZED. 4398 05:20:54,001 --> 05:20:55,000 MR. CASEY: I WOULD ASK THAT THE 4399 05:20:55,001 --> 05:20:58,000 QUORUM CALL BE VITIATED. 4400 05:20:58,001 --> 05:20:59,000 THE PRESIDING OFFICER: WITHOUT 4401 05:20:59,001 --> 05:21:00,000 MR. CASEY: I ASK UNANIMOUS 4402 05:21:00,001 --> 05:21:01,000 CONSENT THAT ALL QUORUM CALLS 4403 05:21:01,001 --> 05:21:03,000 DURING THE CONTROLLED TIME ON 4404 05:21:03,001 --> 05:21:05,000 THE VANASKIE NOMINATION BE 4405 05:21:05,001 --> 05:21:06,000 EQUALLY DIVIDED. 4406 05:21:06,001 --> 05:21:08,000 THE PRESIDING OFFICER: IS THERE OBJECTION? 4407 05:21:08,001 --> 05:21:09,000 WITHOUT OBJECTION, SO ORDERED. 4408 05:21:09,001 --> 05:21:10,000 MR. CASEY:ND I WOULD SUGGEST 4409 05:21:10,001 --> 05:21:11,000 THE AB 4410 05:21:11,001 --> 05:21:17,000 THE PRESIDING OFFICER: THE CLERK 4411 05:21:17,001 --> 05:22:12,000 WILL CALL THE ROLL. 4412 05:22:12,001 --> 05:22:13,000 QUORUM CALL: 4413 05:22:13,001 --> 05:22:14,000 MR. CASEY: MR. PRESIDENT? 4414 05:22:14,001 --> 05:22:15,000 THE PRESIDING OFFICER: THE SENATOR FROM PENNSYLVANIA IS 4415 05:22:15,001 --> 05:22:16,000 RECOGNIZED. 4416 05:22:16,001 --> 05:22:17,000 MR. CASEY: MR. PRESIDENT, I WOULD ASK THAT THE QUORUM CALL 4417 05:22:17,001 --> 05:22:18,000 BE VITIATED. 4418 05:22:18,001 --> 05:22:19,000 THE PRESIDING OFFICER: WITHOUT 4419 05:22:19,001 --> 05:22:20,000 OBJECTION, SO ORDERED. 4420 05:22:20,001 --> 05:22:21,000 MR. CASEY: T MR. PRESIDENT. 4421 05:22:21,001 --> 05:22:23,000 I WOULD A CONSENT THAT I BE 4422 05:22:23,001 --> 05:22:24,000 PERMITTED TO SPEAK AS IF IN 4423 05:22:24,001 --> 05:22:25,000 MORNING BUSINESS. 4424 05:22:25,001 --> 05:22:26,000 THE PRESIDING OFFICER: WITHOUT 4425 05:22:26,001 --> 05:22:28,000 OBJECTION. 4426 05:22:28,001 --> 05:22:32,000 MR. CASEY: MR. PRESIDENT, I RISE 4427 05:22:32,001 --> 05:22:36,000 TODAY TO TALK ABOUT A MAJOR 4428 05:22:36,001 --> 05:22:38,000 ISSUE THAT'S BEFORE THE SENATE 4429 05:22:38,001 --> 05:22:40,000 OR I SHOULD SAY WILL BE BEFORE 4430 05:22:40,001 --> 05:22:45,000 E SENATE VERY SHORTLY AND THAT 4431 05:22:45,001 --> 05:22:46,000 WE SPENT SOME TIME ON IN THE 4432 05:22:46,001 --> 05:22:48,000 AGRICULTURE AND ENFORCEMENT 4433 05:22:48,001 --> 05:22:49,000 COMMITTEE OVER MANY WEEKS AND 4434 05:22:49,001 --> 05:22:51,000 MANY DAYS, BUT MOST RECENTLY 4435 05:22:51,001 --> 05:22:53,000 TODAY IN A MARKUP AND I'LL TALK 4436 05:22:53,001 --> 05:22:54,000 MORE ABOUT THAT IN A COUPLE OF MOMENTS. 4437 05:22:54,001 --> 05:22:55,000 BUT IT'S NOW TIME THAT THE 4438 05:22:55,001 --> 05:22:58,000 SENATE IN THE NEXT COUPLE OF 4439 05:22:58,001 --> 05:23:00,000 DAYS AND WEEKS, REALLY, FOCUS ON 4440 05:23:00,001 --> 05:23:02,000 PASSING COMPREHENSIVE REFORM 4441 05:23:02,001 --> 05:23:06,000 MEASURES THAT WILL PUT AN END TO 4442 05:23:06,001 --> 05:23:09,000 WALL STREET'S RECKLESS 4443 05:23:09,001 --> 05:23:12,000 ENDANGERMENT OF OUR ECONOMIC SYSTEM. 4444 05:23:12,001 --> 05:23:16,000 FOR TOO LONG, IN FACT, FOR MANY 4445 05:23:16,001 --> 05:23:19,000 YEARS NOW, WE'VE ALLOWED THIS 4446 05:23:19,001 --> 05:23:22,000 SYSTEM TO BE IN PLACE WHERE 4447 05:23:22,001 --> 05:23:23,000 HIGH-RISK DEALS WERE CUT ON WALL STREET. 4448 05:23:23,001 --> 05:23:25,000 SOME PEOPLE MADE A LOT OF MONEY 4449 05:23:25,001 --> 05:23:26,000 BUT OUR ECONOMY WENT INTO THE 4450 05:23:26,001 --> 05:23:29,000 DITCH BECAUSE OF IT. 4451 05:23:29,001 --> 05:23:30,000 AND IT WN'T ALWAYS LIKE THAT, 4452 05:23:30,001 --> 05:23:31,000 BECAUSE FOR DECADES FOLLOWING 4453 05:23:31,001 --> 05:23:33,000 THE GREAT DEPRESSION, WE ENJOYED 4454 05:23:33,001 --> 05:23:35,000 A FINANCIAL SYSTEM THAT WORKED, 4455 05:23:35,001 --> 05:23:38,000 THAT WORKED FOR AMERICAN 4456 05:23:38,001 --> 05:23:39,000 FAMILIES AND SMALL BUSINESSE. 4457 05:23:39,001 --> 05:23:40,000 IT WAS PRETTY SIMPLE WHEN YOU 4458 05:23:40,001 --> 05:23:41,000 THINK ABOUT IT AND SUCCESSFUL AT 4459 05:23:41,001 --> 05:23:43,000 THE SAME TIME. 4460 05:23:43,001 --> 05:23:44,000 LOCAL BANKS OPERATING IN 4461 05:23:44,001 --> 05:23:46,000 COMMUNITIES ACROSS THE NATION 4462 05:23:46,001 --> 05:23:49,000 TOOK DEPOSITS, MADE LOANS FOR 4463 05:23:49,001 --> 05:23:50,000 HOMES AND CARS AND BUSINESSES. 4464 05:23:50,001 --> 05:23:53,000 PEOPLE KNEW THEIR BANKERS AND 4465 05:23:53,001 --> 05:23:55,000 THEIR BANKERS KNEW THEM. 4466 05:23:55,001 --> 05:23:57,000 AND EACH PARTY WAS INVESTED IN 4467 05:23:57,001 --> 05:24:00,000 THE SUCCESS OF THE OTHER. 4468 05:24:00,001 --> 05:24:01,000 DURING THIS TIME, OUR ECONOMY 4469 05:24:01,001 --> 05:24:03,000 THRIVED, IT EXPERIENCED 4470 05:24:03,001 --> 05:24:04,000 PROLONGED GROWTH AND INNOVATION, 4471 05:24:04,001 --> 05:24:07,000 AND THESE BENEFITS WERE FELT 4472 05:24:07,001 --> 05:24:08,000 ACROSS THE BOARD BY PEOPLE 4473 05:24:08,001 --> 05:24:10,000 ACROSS OUR ECONOMY, ACROSS OUR 4474 05:24:10,001 --> 05:24:11,000 COUNTRY. 4475 05:24:11,001 --> 05:24:13,000 LET'S CONTRAST THAT PERIOD OF 4476 05:24:13,001 --> 05:24:15,000 GROWTH AND SHARED PROSPERITY 4477 05:24:15,001 --> 05:24:18,000 WITH WHAT'S HAPPENED IN THE LAST 4478 05:24:18,001 --> 05:24:19,000 FEW YEARS BUT EVEN LONGER, OVER 4479 05:24:19,001 --> 05:24:20,000 THE LAST 30 YEARS. 4480 05:24:20,001 --> 05:24:23,000 THIS MORE RECENT PERIOD CAN BE 4481 05:24:23,001 --> 05:24:25,000 CHARACTERIZED BY MASSIVE GROWTH 4482 05:24:25,001 --> 05:24:29,000 OF THE FINANCIAL SECTOR. 4483 05:24:29,001 --> 05:24:32,000 IN 1978, COMMERCIAL BANKS HELD 4484 05:24:32,001 --> 05:24:35,000 $1.2 TRILLION IN ASSETS, 4485 05:24:35,001 --> 05:24:37,000 EQUIVALENT TO 53% OF GROSS 4486 05:24:37,001 --> 05:24:43,000 DOMESTIC PRODUCT. 4487 05:24:43,001 --> 05:24:45,000 BY THE END OF 2007, THAT SAME 4488 05:24:45,001 --> 05:24:46,000 MEASUREMENT, COMMERCIAL BANKS 4489 05:24:46,001 --> 05:24:49,000 HELD -- WHAT THEY HELD IN 4490 05:24:49,001 --> 05:24:52,000 ASSETS, THAT HAD GROWN TO 4491 05:24:52,001 --> 05:24:53,000 $11.8 TRILLION IN ASSETS, OR 84% 4492 05:24:53,001 --> 05:24:56,000 OF GROSS DOMESTIC PRODUCT. 4493 05:24:56,001 --> 05:25:00,000 SO THE PERCENTAGE WENT FROM 53% 4494 05:25:00,001 --> 05:25:03,000 TO 84% AND THE NUMBER WENT FROM 4495 05:25:03,001 --> 05:25:05,000 $1.2 TRILLION TO $11.8 TRILLION 4496 05:25:05,001 --> 05:25:06,000 IN ASSETS. 4497 05:25:06,001 --> 05:25:09,000 UNLIKE THE PRECEDING PERIOD, 4498 05:25:09,001 --> 05:25:10,000 IS GROWTH WAS NOT SPREAD 4499 05:25:10,001 --> 05:25:11,000 ACROSS THE REAL ECONOMY TO 4500 05:25:11,001 --> 05:25:13,000 HOUSEHOLDS AND BUSESSES. 4501 05:25:13,001 --> 05:25:15,000 INSTEAD, IT WAS EXPLICITLY 4502 05:25:15,001 --> 05:25:17,000 SHIFTED AWAY FROM FAMILIES AND 4503 05:25:17,001 --> 05:25:18,000 COMMUNITIES AND CONCENTRATED ON 4504 05:25:18,001 --> 05:25:21,000 WALL STREET. 4505 05:25:21,001 --> 05:25:23,000 THE IMPACT OF THIS CONCENTRATION 4506 05:25:23,001 --> 05:25:25,000 HAS BEEN ACUTE. 4507 05:25:25,001 --> 05:25:27,000 WHEREAS PEOPLE USED TO RELY ON 4508 05:25:27,001 --> 05:25:29,000 LOCAL INSTITUTIONS, THEY NOW 4509 05:25:29,001 --> 05:25:30,000 FACE A FINANCIAL SERVICE 4510 05:25:30,001 --> 05:25:34,000 MARKETPLACE DOMINATED BY A FEW 4511 05:25:34,001 --> 05:25:35,000 BANKS WITH RETAIL OUTPOSTS 4512 05:25:35,001 --> 05:25:37,000 SPRINKLED ACROSS THE COUNTRY. 4513 05:25:37,001 --> 05:25:38,000 INSTEAD OF SUPPORTING THE SMALL 4514 05:25:38,001 --> 05:25:41,000 BUSINESSES OR LITTLE LEAGUE 4515 05:25:41,001 --> 05:25:43,000 TEAMS OR FAMILIES, LIKE THEIR 4516 05:25:43,001 --> 05:25:46,000 LOCAL PREDECESSORS, THESE 4517 05:25:46,001 --> 05:25:47,000 MEGABANKS GATHER DEPOSITS FROM 4518 05:25:47,001 --> 05:25:49,000 MAIN STREET THEN SLICE AND DICE 4519 05:25:49,001 --> 05:25:51,000 THEM AND THEN LEVERAGE THEM TO 4520 05:25:51,001 --> 05:25:53,000 THE HILT AND USE THE HARD-EARNED 4521 05:25:53,001 --> 05:25:56,000 WAGES AND SAVINGS OF AMERICANS 4522 05:25:56,001 --> 05:25:59,000 TO MAKE A HANDFUL OF PEOPLE 4523 05:25:59,001 --> 05:26:01,000 VERY, VERY RICH. 4524 05:26:01,001 --> 05:26:04,000 AND MAKE NO MISTAKE ABOUT IT, 4525 05:26:04,001 --> 05:26:05,000 THE MEGABANKS HAVE PROFITED 4526 05:26:05,001 --> 05:26:06,000 TREMENDOUSLY FROM THIS NEW MODEL. 4527 05:26:06,001 --> 05:26:08,000 OVER THE LAST 30 YEARS, PROFITS 4528 05:26:08,001 --> 05:26:09,000 AND COMPENSATION IN THE BANKING 4529 05:26:09,001 --> 05:26:12,000 INDUSTRY HAVE SKYROCKETED. 4530 05:26:12,001 --> 05:26:14,000 FROM 1948-1979, THE AVERAGE 4531 05:26:14,001 --> 05:26:15,000 COMPENSATION IN THE BANKING 4532 05:26:15,001 --> 05:26:18,000 SECTOR WAS MORE OR LESS THE SAME 4533 05:26:18,001 --> 05:26:21,000 AS ANY OTHER JOB IN THE PRIVATE SECTOR. 4534 05:26:21,001 --> 05:26:24,000 TODAY, BANKERS EARN ON AVERAGE 4535 05:26:24,001 --> 05:26:25,000 TWO TIMES WHAT OTHER PRIVATE-SECTOR EMPLOYEES TAKE 4536 05:26:25,001 --> 05:26:27,000 HOME. 4537 05:26:27,001 --> 05:26:29,000 SIMPLY STATED, AMERICAN FAMILIE 4538 05:26:29,001 --> 05:26:31,000 AND SMALL BUSINESSES ARE NO 4539 05:26:31,001 --> 05:26:33,000 LONGER THE CUSTOMER IN THIS 4540 05:26:33,001 --> 05:26:35,000 BROKEN SYSTEM. 4541 05:26:35,001 --> 05:26:36,000 INSTEAD, THESE INSTITUTIONS 4542 05:26:36,001 --> 05:26:39,000 FUNCTION TO MAKE WEALTH FOR 4543 05:26:39,001 --> 05:26:40,000 THEMSELVES AND THEIR 4544 05:26:40,001 --> 05:26:43,000 STOCKHOLDERS. 4545 05:26:43,001 --> 05:26:45,000 CLEAR EXAMPLE OF THIS POINT 4546 05:26:45,001 --> 05:26:49,000 CAN BE FOUND IN THE RECENT NEWS STORIES DETAILING RECORD PROFITS 4547 05:26:49,001 --> 05:26:52,000 OF THESE MEGABANKS. 4548 05:26:52,001 --> 05:26:53,000 RECORD PROFITS AT A TIME OF 4549 05:26:53,001 --> 05:26:55,000 HISTORICALLY HIGH UNEMPLOYMENT 4550 05:26:55,001 --> 05:26:56,000 AND A BAD ECONOMY. 4551 05:26:56,001 --> 05:26:58,000 THESE PROFITS WERE NOT MADE 4552 05:26:58,001 --> 05:27:01,000 THROUGH SAVVY LENDING TO THEIR CUSTOMERS. 4553 05:27:01,001 --> 05:27:03,000 IN FACT, IN THE CASE OF J.P. 4554 05:27:03,001 --> 05:27:05,000 MORGAN CHASE, CITIGROUP, AND 4555 05:27:05,001 --> 05:27:08,000 BANK OF AMERICA, THREE OF OUR 4556 05:27:08,001 --> 05:27:13,000 LARGEST MEGABANKS, THEY HAVE CUT 4557 05:27:13,001 --> 05:27:15,000 LENDING, THEY HAVE CUT LENDING 4558 05:27:15,001 --> 05:27:17,000 THROUGH A KEY SMALL BUSINESS 4559 05:27:17,001 --> 05:27:20,000 ADMINISTRATION LENDING PROGRAM 4560 05:27:20,001 --> 05:27:21,000 BY BETWEEN 85% AND 90% FROM ONE 4561 05:27:21,001 --> 05:27:22,000 YEAR TO THE NEXT. 4562 05:27:22,001 --> 05:27:23,000 THESE MULTIBILLION-DOLLAR 4563 05:27:23,001 --> 05:27:26,000 PROFITS HAVE BEEN MADE THROUGH 4564 05:27:26,001 --> 05:27:27,000 HIGH-RISK TRADING OPERATIONS 4565 05:27:27,001 --> 05:27:28,000 WITH MON DEPOSITED BY FAMILIES 4566 05:27:28,001 --> 05:27:30,000 AND BUSINESSES. 4567 05:27:30,001 --> 05:27:32,000 THE BANKS ARE EXPECTING PEOPLE 4568 05:27:32,001 --> 05:27:34,000 IN OUR COMMUNITIES TO SHOULDER 4569 05:27:34,001 --> 05:27:37,000 ALL THE RISK WHILE GETTING NONE 4570 05:27:37,001 --> 05:27:41,000 OF THE UPSIDE. 4571 05:27:41,001 --> 05:27:44,000 SOMETHING HAS TO GIVE IN THIS SITUATION. 4572 05:27:44,001 --> 05:27:45,000 THESE MEGABANKS, THESE BIG 4573 05:27:45,001 --> 05:27:47,000 COMPANIES ARE ENTITLED TO MAKE 4574 05:27:47,001 --> 05:27:50,000 PROFITS BUT WE WILL NO LONGER 4575 05:27:50,001 --> 05:27:52,000 ALLOW THEM TO CONTINUE TO USE 4576 05:27:52,001 --> 05:27:57,000 THE FEDERALLY INSURED DEPOSITS 4577 05:27:57,001 --> 05:27:58,000 OF WORKING PEOPLE AS CAPITAL FOR 4578 05:27:58,001 --> 05:28:01,000 THEIR MONEY-MAKING SCHEMES. 4579 05:28:01,001 --> 05:28:04,000 WE NEED COMMONSENSE RULES THAT 4580 05:28:04,001 --> 05:28:05,000 SEPARATE CONVENTIONAL COMMERCIAL 4581 05:28:05,001 --> 05:28:08,000 BANKING OPERATIONS FROM 4582 05:28:08,001 --> 05:28:09,000 HI-RISK FINANCIAL GAMBLES. 4583 05:28:09,001 --> 05:28:11,000 IN NO AREA IS THIS NEED FOR 4584 05:28:11,001 --> 05:28:13,000 REFORM MORE APPARENT THAN IN THE 4585 05:28:13,001 --> 05:28:15,000 SO-CALLED DERIVATIVES MARKET. 4586 05:28:15,001 --> 05:28:17,000 A DERIVATIVE IS A HIGH-RISK BET 4587 05:28:17,001 --> 05:28:18,000 THAT THE VALUE OF ANOTHER 4588 05:28:18,001 --> 05:28:20,000 FINANCIAL INSTRUMENT OR 4589 05:28:20,001 --> 05:28:21,000 COMMODITY OR OTHER PRODUCT WILL 4590 05:28:21,001 --> 05:28:22,000 GO UP OR DOWN. 4591 05:28:22,001 --> 05:28:24,000 IT'S A BET. 4592 05:28:24,001 --> 05:28:26,000 FOR YEARS, WALL STREET FOUGHT 4593 05:28:26,001 --> 05:28:31,000 AND WON THE BATTLE TO KEEP 4594 05:28:31,001 --> 05:28:33,000 DERIVATIVES UNREGULATED. 4595 05:28:33,001 --> 05:28:35,000 IN THIS HIGHLY UNREGULATED 4596 05:28:35,001 --> 05:28:37,000 MARKET, WALL STREET COULD PLACE 4597 05:28:37,001 --> 05:28:38,000 BET ON BETS WITHOUT BACKING THEM UP. 4598 05:28:38,001 --> 05:28:40,000 THEREFORE, WHEN THE UNDERLYING 4599 05:28:40,001 --> 05:28:42,000 WEAKNESS OF ASSETS BECAME 4600 05:28:42,001 --> 05:28:43,000 APPARENT, THE DERIVATIVES MARKET 4601 05:28:43,001 --> 05:28:44,000 WENT BUST. 4602 05:28:44,001 --> 05:28:46,000 AND ALONG WITH IT, THE WALL 4603 05:28:46,001 --> 05:28:49,000 STREET BANKS WHO WERE PLAYING IN 4604 05:28:49,001 --> 05:28:50,000 THE MARKET, CAUSING THE NEED FOR 4605 05:28:50,001 --> 05:28:51,000 MASSIVE BAILOUT OF THESE 4606 05:28:51,001 --> 05:28:54,000 INSTITUTIONS. 4607 05:28:54,001 --> 05:28:58,000 TO PREVENT ANOTHER CATASTROPHE, 4608 05:28:58,001 --> 05:29:01,000 WE NEED A STRONG REGULATION OF 4609 05:29:01,001 --> 05:29:02,000 THE DERIVATIVE -- DERIVATIVES 4610 05:29:02,001 --> 05:29:03,000 MARKET. 4611 05:29:03,001 --> 05:29:04,000 TODAY, THE SENATE COMMITTEE OF 4612 05:29:04,001 --> 05:29:05,000 WHICH I'M A MEMBER, THE SENATE 4613 05:29:05,001 --> 05:29:09,000 COMMITTEE ON AGRICULTURE, 4614 05:29:09,001 --> 05:29:11,000 NUTRITION AND FORESTRY, HAD A MARKUP SESSION. 4615 05:29:11,001 --> 05:29:12,000 WHEN WE TALK ABOUT MARKUPS, 4616 05:29:12,001 --> 05:29:13,000 WE'RE TALKING ABOUT MEMBERS OF 4617 05:29:13,001 --> 05:29:14,000 THE COMMITTEE VOTING ON -- ON 4618 05:29:14,001 --> 05:29:15,000 AMENDMENTS AND THEN VOTING FOR 4619 05:29:15,001 --> 05:29:16,000 FINAL PASSAGE OF THE BILL OUT OF 4620 05:29:16,001 --> 05:29:19,000 COMMITTEE. 4621 05:29:19,001 --> 05:29:21,000 THAT'S WHAT WE MEAN BY MARKUP. 4622 05:29:21,001 --> 05:29:23,000 BUT WE HAD THAT MARKUP SESSION 4623 05:29:23,001 --> 05:29:24,000 TODAY ON THE WALL STREET 4624 05:29:24,001 --> 05:29:27,000 TRANSPARENCY AND ACCOUNTABILITY 4625 05:29:27,001 --> 05:29:29,000 ACT OF 2010. 4626 05:29:29,001 --> 05:29:31,000 I WANT TO APPLAUD OUR 4627 05:29:31,001 --> 05:29:33,000 CHAIRWOMAN, SENATOR LINCOLN, FOR 4628 05:29:33,001 --> 05:29:35,000 HER WORK FOR PUTTING FORTH A 4629 05:29:35,001 --> 05:29:37,000 BILL THAT CRACKS DOWN ON THE 4630 05:29:37,001 --> 05:29:38,000 RECKLESS ACTIVITIES OF WALL 4631 05:29:38,001 --> 05:29:40,000 STREET. 4632 05:29:40,001 --> 05:29:41,000 I ALSO WANT TO COMMEND HER AND 4633 05:29:41,001 --> 05:29:42,000 OTHER MEMBERS OF THE COMMITTEE 4634 05:29:42,001 --> 05:29:44,000 FOR REPORTING IT OUT OF 4635 05:29:44,001 --> 05:29:46,000 COMMITTEE SO WE CAN INCORPORATE 4636 05:29:46,001 --> 05:29:48,000 IT INTO THE BANKING COMMITTEE 4637 05:29:48,001 --> 05:29:50,000 BILL THAT WILL WE'LL BE 4638 05:29:50,001 --> 05:29:51,000 CONSIDERING ON THE FLOOR VERY SOON. 4639 05:29:51,001 --> 05:29:54,000 THE WALL STREET TRANSPARENCY AND 4640 05:29:54,001 --> 05:29:56,000 ACCOUNTABILITY ACT OF 2010 WILL 4641 05:29:56,001 --> 05:29:58,000 ADD THOSE TWO IMPORTANT WORDS TO 4642 05:29:58,001 --> 05:30:00,000 OUR FINANCIAL SYSTEM, BOTH 4643 05:30:00,001 --> 05:30:04,000 TRANSPARENCY AND ACCOUNTABILITY. 4644 05:30:04,001 --> 05:30:05,000 AND IN PARTICULAR, WE'LL ADD IT 4645 05:30:05,001 --> 05:30:06,000 TO THE -- OR IMPOSE IT, I SHOULD 4646 05:30:06,001 --> 05:30:09,000 SAY, ON THE DERIVATIVES MARKET. 4647 05:30:09,001 --> 05:30:10,000 NUMBER ONE, BY REQUIRING THAT 4648 05:30:10,001 --> 05:30:12,000 DERIVATIVE TRANSACTIONS, MOST OF 4649 05:30:12,001 --> 05:30:16,000 THEM, BE CLEARED THROUGH A 4650 05:30:16,001 --> 05:30:18,000 CENTRAL CLEARINGHOUSE. 4651 05:30:18,001 --> 05:30:20,000 AND, SECOND, REQUIRE REALTIME 4652 05:30:20,001 --> 05:30:21,000 REPORTING SIMILAR T THE STOCK 4653 05:30:21,001 --> 05:30:23,000 EXCHANGE OF TRANSACTIONS THAT 4654 05:30:23,001 --> 05:30:25,000 PARTIES ARE ENTERING INTO. 4655 05:30:25,001 --> 05:30:26,000 BESIDES A MORE TRANSPARENT 4656 05:30:26,001 --> 05:30:28,000 MARKET, THE MOST IMPORTANT 4657 05:30:28,001 --> 05:30:30,000 PROVISION IN THIS BILL IS THE 4658 05:30:30,001 --> 05:30:33,000 REQUIREMENT THAT COMMERCIAL 4659 05:30:33,001 --> 05:30:35,000 BANKS THAT HAVE FDIC-INSURED 4660 05:30:35,001 --> 05:30:36,000 ACCOUNTS CAN NO LONGER TRADE ON 4661 05:30:36,001 --> 05:30:38,000 THE DERIVATIVES MARKET. 4662 05:30:38,001 --> 05:30:41,000 THIS PROVISION WILL FORCE 4663 05:30:41,001 --> 05:30:42,000 COMMERCIAL BANKS TO REFOCUS ON 4664 05:30:42,001 --> 05:30:45,000 WHAT SHOULD BE -- WHAT SHOULD BE 4665 05:30:45,001 --> 05:30:47,000 -- THEIR NUMBER-ONE PRIORITY: 4666 05:30:47,001 --> 05:30:49,000 THE CUSTOMER INSTEAD OF JUST 4667 05:30:49,001 --> 05:30:50,000 PROFITS AND THEIR OWN 4668 05:30:50,001 --> 05:30:53,000 STOCKHOLDERS. 4669 05:30:53,001 --> 05:30:55,000 OUR CURRENT FINANCIAL SYSTEM, 4670 05:30:55,001 --> 05:30:56,000 MR. PRESIDENT, IS BROKEN AND NO 4671 05:30:56,001 --> 05:31:01,000 LONGER WORKS FOR FAMILIES AND 4672 05:31:01,001 --> 05:31:03,000 SMALL BUSINESSES SMS WH. 4673 05:31:03,001 --> 05:31:04,000 WHEN I TRAVEL ACROSS THE 4674 05:31:04,001 --> 05:31:06,000 COMMONWEALTH OF PENNSYLVANIA, I 4675 05:31:06,001 --> 05:31:07,000 OFTEN HEAR ABOUT THE FINANCIAL 4676 05:31:07,001 --> 05:31:09,000 DIFFICULTIES PEOPLE ARE EXPERIENCING. 4677 05:31:09,001 --> 05:31:11,000 WE HAVE CLOSE TO RECORD-HIGH 4678 05:31:11,001 --> 05:31:13,000 UNEMPLOYMENT, 582,000 PEOPLE OUT OF WORK. 4679 05:31:13,001 --> 05:31:15,000 A LOT OF PEOPLE LOST THEIR JOB 4680 05:31:15,001 --> 05:31:17,000 OR THEIR HOMES OR BOTH AND IN SO 4681 05:31:17,001 --> 05:31:18,000 MANY WAYS THEIR HOPES AND THEIR 4682 05:31:18,001 --> 05:31:20,000 DREAMS. 4683 05:31:20,001 --> 05:31:22,000 THEN THEY READ ABOUT IN THE 4684 05:31:22,001 --> 05:31:24,000 PAPER EVERY DAY, IT SEEMS, THEY 4685 05:31:24,001 --> 05:31:26,000 READ ABOUT RECORD PROFITS OF 4686 05:31:26,001 --> 05:31:28,000 THESE BIG MEGABANKS AND THEY 4687 05:31:28,001 --> 05:31:30,000 THINK, WHAT ABOUT ME AND MY FAMILY? 4688 05:31:30,001 --> 05:31:32,000 WHY CAN'T I GET A LN, THEY 4689 05:31:32,001 --> 05:31:34,000 WILL ASK PEOPLE LIKE ME. 4690 05:31:34,001 --> 05:31:36,000 WHY IS THE INTEREST RATE BEING 4691 05:31:36,001 --> 05:31:38,000 RAISED ON MY CREDIT CARD? 4692 05:31:38,001 --> 05:31:40,000 QUESTIONS LIKE THAT HAVE 4693 05:31:40,001 --> 05:31:42,000 PERSISTED FOR SO LONG NOW. 4694 05:31:42,001 --> 05:31:44,000 DIDN'T WE BAIL OUT THESE 4695 05:31:44,001 --> 05:31:45,000 MEGABANKS ON WALL STREET ALREADY 4696 05:31:45,001 --> 05:31:50,000 SO THEY COULD CONTINUE TO LEND 4697 05:31:50,001 --> 05:31:51,000 PEOPLE TMONEY TO PEOPLE LIKE ME? 4698 05:31:51,001 --> 05:31:53,000 THAT'S THE QUESTIONS I GET. 4699 05:31:53,001 --> 05:31:54,000 THE ANSWER TO EACH OF THESE IS 4700 05:31:54,001 --> 05:31:57,000 THE SAME: 4701 05:31:57,001 --> 05:31:59,000 THESE INSTITUTIONS HAVE FAILED THE AMERICAN PEOPLE. 4702 05:31:59,001 --> 05:32:01,000 REALLY, IT'S THAT SIMPLE. 4703 05:32:01,001 --> 05:32:03,000 AND BY EXTENSION, THEY'VE HELPED 4704 05:32:03,001 --> 05:32:05,000 TO COLLAPSE OUR COMMITMENT OF 4705 05:32:05,001 --> 05:32:08,000 THANK GOODNESS WE'RE STARTING TO 4706 05:32:08,001 --> 05:32:11,000 TURN, SEEING SOME JOB GROWTH IN 4707 05:32:11,001 --> 05:32:12,000 OUR ECONOMY. 4708 05:32:12,001 --> 05:32:14,000 BUT WE NEED FINANCIAL 4709 05:32:14,001 --> 05:32:17,000 INSTITUTIONS THAT FOCUS ON THE 4710 05:32:17,001 --> 05:32:18,000 NEEDS OF OUR FAMILIES AND OUR 4711 05:32:18,001 --> 05:32:21,000 SMALL BUSINESSES ONCE AGAIN. 4712 05:32:21,001 --> 05:32:22,000 SENATOR LINCOLN'S BILL IS A STEP 4713 05:32:22,001 --> 05:32:24,000 IN THE RIGHT DIRECTION. 4714 05:32:24,001 --> 05:32:25,000 WE'RE NOT THERE YET, BUT WITH 4715 05:32:25,001 --> 05:32:27,000 THAT BILL, WITH THE WORK WE'LL 4716 05:32:27,001 --> 05:32:29,000 DO ON THE BANKING COMMITTEE 4717 05:32:29,001 --> 05:32:31,000 BILL, WE CAN BEGIN TO RESTORE 4718 05:32:31,001 --> 05:32:33,000 NOT ONLY TRANSRENCY AND 4719 05:32:33,001 --> 05:32:35,000 ACCOUNTABILITY AND SUNLIGHT, BUT 4720 05:32:35,001 --> 05:32:37,000 I BELIEVE WE CAN RESTORE SOME 4721 05:32:37,001 --> 05:32:38,000 MEASURE OF CONFIDENCE IN OUR 4722 05:32:38,001 --> 05:32:40,000 FINANCIAL SYSTEM, MAKE IT WORK 4723 05:32:40,001 --> 05:32:41,000 BETTER FOR REAL PEOPLE, FOR 4724 05:32:41,001 --> 05:32:42,000 FAMILIES, AND FOR SMALL 4725 05:32:42,001 --> 05:32:44,000 BUSINESSES AND ALSO TO 4726 05:32:44,001 --> 05:32:46,000 STRENGTHEN OUR ECONOMY. 4727 05:32:46,001 --> 05:32:47,000 WITH THAT, MR. PRESIDENT, I 4728 05:32:47,001 --> 05:32:49,000 WOULD YIELD THE FLOOR AND NOTE 4729 05:32:49,001 --> 05:32:55,000 THE ABSENCE OF A QUORUM. THE PRESIDING OFFICER: THE 4730 05:32:55,001 --> 05:40:20,000 CLERK WILL CALL THE ROLL. 4731 05:40:20,001 --> 05:40:21,000 QUORUM CALL: 4732 05:40:21,001 --> 05:40:22,000 THE PRESIDING OFFICER: THE 4733 05:40:22,001 --> 05:40:25,000 SENATOR FROM CONNECTUT. 4734 05:40:25,001 --> 05:40:27,000 MR. DODD: I 4735 05:40:27,001 --> 05:40:28,000 CONSENT THAT THE CALL OF THE QUORUM BE RESCINDED. 4736 05:40:28,001 --> 05:40:29,000 THE PRESIDING OFFICER: WOWFNLINGS. 4737 05:40:29,001 --> 05:40:32,000 MR. DODD: I WOULD LIKE TO TAKE 4738 05:40:32,001 --> 05:40:34,000 A FEW MINUTES TO DISCUSS FURTHER 4739 05:40:34,001 --> 05:40:37,000 THE EFFORTS IN FINANCIAL 4740 05:40:37,001 --> 05:40:39,000 REGULATORY REFORM AND I'D BE 4741 05:40:39,001 --> 05:40:41,000 REMISS, MR. PRESIDENT, IF I 4742 05:40:41,001 --> 05:40:42,000 DIDN'T NOTE THE CONTRIBUTION OF 4743 05:40:42,001 --> 05:40:43,000 THE PRESIDING OFFICER TO THIS 4744 05:40:43,001 --> 05:40:44,000 EFFORT. 4745 05:40:44,001 --> 05:40:46,000 I WANT TO THANK HIM PERSONALLY 4746 05:40:46,001 --> 05:40:48,000 ONCE AGAIN AS A MEMBER OF THE 4747 05:40:48,001 --> 05:40:55,000 BANKING COMMITTEE. 4748 05:40:55,001 --> 05:40:56,000 HE HAS EXPRESSED 4749 05:40:56,001 --> 05:40:57,000 ASPECTS OF THIS. 4750 05:40:57,001 --> 05:40:59,000 I HAVE BEEN TALKING ABOUT THIS 4751 05:40:59,001 --> 05:41:01,000 BILL ON THE FLOOR EVERY DAY OF 4752 05:41:01,001 --> 05:41:04,000 THE LAST SEVERAL DAYS, DEALING 4753 05:41:04,001 --> 05:41:05,000 TH ISSUES OF THE SO-CALLED TOO 4754 05:41:05,001 --> 05:41:07,000 BIG TO FAIL, WHICH WE ADDRESSED 4755 05:41:07,001 --> 05:41:08,000 VERY AGGRESSIVELY IN OUR LEGISLATION. 4756 05:41:08,001 --> 05:41:10,000 WE'VE TALKED ABOUT T EFFORTS 4757 05:41:10,001 --> 05:41:13,000 THAT HAVE BEEN MADE TO TRY AND 4758 05:41:13,001 --> 05:41:16,000 FORGE A COMPREHENSIVE BILL, A 4759 05:41:16,001 --> 05:41:18,000 STRONG BILL WHICH WE'VE INVOLVED 4760 05:41:18,001 --> 05:41:21,000 -- INVITED VIRTUALLY EVERYONE WHO WAS INTERESTED TO 4761 05:41:21,001 --> 05:41:23,000 PARTICIPATE IN A PRODUCT AND TO 4762 05:41:23,001 --> 05:41:25,000 WHICH I'M PROUD TO SAY MANY DID 4763 05:41:25,001 --> 05:41:28,000 OFFER THEIR I 4764 05:41:28,001 --> 05:41:29,000 AS WE TRIED TO DEVELOP A 4765 05:41:29,001 --> 05:41:32,000 PROPOSAL THAT WAS NOT ONLY 4766 05:41:32,001 --> 05:41:33,000 STRONG AND BROAD-BASED BUT 4767 05:41:33,001 --> 05:41:35,000 ATTRACTED, AGAIN, A STRONG GROUP 4768 05:41:35,001 --> 05:41:36,000 OF OUR COLLEAGUES, BOTH 4769 05:41:36,001 --> 05:41:39,000 DEMOCRATS AND REPUBLICANS, TO 4770 05:41:39,001 --> 05:41:41,000 THIS EFFORT. 4771 05:41:41,001 --> 05:41:43,000 TODAY -- OVER THE DAYS WE'VE 4772 05:41:43,001 --> 05:41:45,000 SPENT A LOT OF TIME DISCUSS, OF 4773 05:41:45,001 --> 05:41:47,000 COURSE, THE IMPACT OF WALL 4774 05:41:47,001 --> 05:41:48,000 STREET ON LARGE FINANCIAL FIRMS 4775 05:41:48,001 --> 05:41:50,000 AND BIG BANKS, THE INVESTMENT 4776 05:41:50,001 --> 05:41:52,000 BANKS, THE NONBANKS AND OTHERS, 4777 05:41:52,001 --> 05:41:54,000 CORPORATE EXECUTIVES, FEDERAL 4778 05:41:54,001 --> 05:41:55,000 REGULATORS, AND OTHER POWER 4779 05:41:55,001 --> 05:41:56,000 PLAYERS IN THE FINANCIAL SECTOR. 4780 05:41:56,001 --> 05:42:00,000 THAT'S BEEN THE SUBJECT AFTER 4781 05:42:00,001 --> 05:42:01,000 GREAT DEAL OF ATTENTION AND THE 4782 05:42:01,001 --> 05:42:02,000 COMPLICATED SUBJECT OF 4783 05:42:02,001 --> 05:42:06,000 DERIVATIVES AND HOW THEY WOSH 4784 05:42:06,001 --> 05:42:07,000 AND HOW THEY APPLY AND SHADOW 4785 05:42:07,001 --> 05:42:09,000 ECONOMIES AND BLACK POOLS AND 4786 05:42:09,001 --> 05:42:11,000 SYSTEMIC RISK AND ALL OF THIS 4787 05:42:11,001 --> 05:42:12,000 LANGUAGE AND DISCUSSION THAT 4788 05:42:12,001 --> 05:42:13,000 SOMETIMES CAN LEAVE THE AVERAGES 4789 05:42:13,001 --> 05:42:15,000 CITIZEN FEELING AS THOUGH 4790 05:42:15,001 --> 05:42:17,000 THEY'RE TALKING IN A FOREIGN 4791 05:42:17,001 --> 05:42:19,000 LANGUAGE ABOUT THESE MATTERS. 4792 05:42:19,001 --> 05:42:21,000 AND THE QUESTION THEY ASK IS, 4793 05:42:21,001 --> 05:42:22,000 HOW DOES THIS AFFECT ME? 4794 05:42:22,001 --> 05:42:24,000 I'M GLAD YOU'RE GOING TO TRY TO 4795 05:42:24,001 --> 05:42:25,000 CLEAN THIS UP, BUT WHAT IS 4796 05:42:25,001 --> 05:42:27,000 HAPPENING WITH ALL OF THIS THAT 4797 05:42:27,001 --> 05:42:32,000 HAS SOME POSITIVE IMPACT ON MY 4798 05:42:32,001 --> 05:42:34,000 LIFE AS A TAXPAYER, AS A WORKING AMERICAN? 4799 05:42:34,001 --> 05:42:36,000 I'D LIKE TO KNOW WHAT'S BEING 4800 05:42:36,001 --> 05:42:37,000 DONE HERE TO SEE TO IT THAT 4801 05:42:37,001 --> 05:42:38,000 INTERESTS ARE GOING TO BE 4802 05:42:38,001 --> 05:42:40,000 CONSIDERED IF YOU'RE TRYING TO 4803 05:42:40,001 --> 05:42:42,000 RESOLVE ALL OF THESE LARGER 4804 05:42:42,001 --> 05:42:44,000 QUESTIONS THAT SOMEHOW SEEM VERY 4805 05:42:44,001 --> 05:42:46,000 DISTANT TO MY CONCERNS EVERY DAY. 4806 05:42:46,001 --> 05:42:47,000 SO TODAY I'D LIKE TO TAKE A FEW 4807 05:42:47,001 --> 05:42:49,000 MINUTES TO TALK ABOUT THEMPACT 4808 05:42:49,001 --> 05:42:51,000 OF THIS LEGISLATION ON MILLIONS 4809 05:42:51,001 --> 05:42:53,000 AND MILLIONS OF OUR FELLOW 4810 05:42:53,001 --> 05:42:54,000 CITIZENS WHO AREN'T FINANCIAL 4811 05:42:54,001 --> 05:42:57,000 WIZAS, WOULD BE THE FIRST TO 4812 05:42:57,001 --> 05:42:59,000 TELL YOU SO, THEY'RE NOT BIGWIGS 4813 05:42:59,001 --> 05:43:01,000 ON WALL STREET, MAJOR PLAYERS IN 4814 05:43:01,001 --> 05:43:02,000 LARGE BANKS OR FINANCIAL INSTITUTIONS. 4815 05:43:02,001 --> 05:43:04,000 THEY'RE PEOPLE WHO ARE JUST 4816 05:43:04,001 --> 05:43:06,000 TRYING TO BUILD A NEST EGG FOR 4817 05:43:06,001 --> 05:43:07,000 THEIR FAMILY, INVEST IN THEIR 4818 05:43:07,001 --> 05:43:10,000 FUTURES, MAYBE TAKE A LOAN OUT 4819 05:43:10,001 --> 05:43:12,000 TO BUY AN AUTOMOBILE, A HOME, 4820 05:43:12,001 --> 05:43:13,000 SEND A CHILD TO COLLEGE BECAUSE 4821 05:43:13,001 --> 05:43:15,000 THAT CHILD HAS DONE EVERYTHING 4822 05:43:15,001 --> 05:43:17,000 THEY'VE ASKED THEM TO DO OVER 4823 05:43:17,001 --> 05:43:20,000 THE YEARS AND NOW WANT TO GO ON TO THAT EDUCATIONAL OPPORTUNITY 4824 05:43:20,001 --> 05:43:21,000 AND NEED THE RESOURCES TO DO SO. 4825 05:43:21,001 --> 05:43:22,000 THE STORIES ARE MYRIAD. 4826 05:43:22,001 --> 05:43:24,000 THERE ARE MANY. 4827 05:43:24,001 --> 05:43:25,000 THE DEMANDS AND THE NEEDS ARE 4828 05:43:25,001 --> 05:43:26,000 OBVIOUSLY CLEAR. 4829 05:43:26,001 --> 05:43:29,000 UNFORTUNATELY, AS WE KNOW, AND 4830 05:43:29,001 --> 05:43:31,000 AS MANY AMERICANS HAVE FOD 4831 05:43:31,001 --> 05:43:33,000 OUT, OVER THE HARD WAY 4832 05:43:33,001 --> 05:43:34,000 PARTICULARLY IN THESE LAST 4833 05:43:34,001 --> 05:43:35,000 YEARS, OUR CURRENT FINANCIAL 4834 05:43:35,001 --> 05:43:37,000 SYSTEM LEAVES CONSUMERS TOO 4835 05:43:37,001 --> 05:43:41,000 OFTEN, MR. PRESIDENT, VULNERABLE 4836 05:43:41,001 --> 05:43:42,000 TO BEING DECEIVED INTO 4837 05:43:42,001 --> 05:43:45,000 PURCHASING RISKY FINANCIAL 4838 05:43:45,001 --> 05:43:46,000 PRODUCTS IF NOT OUTRIGHT RIPPED 4839 05:43:46,001 --> 05:43:47,000 OFF BY GREY WALL STREET FIRMS 4840 05:43:47,001 --> 05:43:49,000 AND OTHERS. 4841 05:43:49,001 --> 05:43:50,000 AFTER ALL, AT THE HEART OF THE 4842 05:43:50,001 --> 05:43:53,000 FINANCIAL CRISIS THAT HAS COST 4843 05:43:53,001 --> 05:43:55,000 OUR NATION SO DEARLY WERE THE 4844 05:43:55,001 --> 05:43:57,000 SUBPRIME MORTGAGES SOLD BY 4845 05:43:57,001 --> 05:43:59,000 UNSCRUPULOUS LENDERS TO 4846 05:43:59,001 --> 05:44:01,000 AMERICANS WHO DIDN'T UNDERSTAND 4847 05:44:01,001 --> 05:44:03,000 THEIR TERMS AND WHO NEVER, EVER, 4848 05:44:03,001 --> 05:44:04,000 EVER COULD HAVE AFFORDED THEM 4849 05:44:04,001 --> 05:44:07,000 AND THE LENDERS KNEW IT. 4850 05:44:07,001 --> 05:44:09,000 THEY KNEW IT GOING INTO IT, AND 4851 05:44:09,001 --> 05:44:10,000 YET THEY LURED THEM INTO THOSE 4852 05:44:10,001 --> 05:44:12,000 ARPGHTSES, WITH GREAT DAGE 4853 05:44:12,001 --> 05:44:13,000 DONE TO INDIVIDUALS AND THE 4854 05:44:13,001 --> 05:44:16,000 ECONOMY AS A WHOLE. 4855 05:44:16,001 --> 05:44:20,000 WALL STREET'S UNQUENCHABLE 4856 05:44:20,001 --> 05:44:22,000 THIRST FOR PROFITS AND UTTER 4857 05:44:22,001 --> 05:44:26,000 DISREGARD FOR ORDINARY CONSUMERS 4858 05:44:26,001 --> 05:44:27,000 LED TO A PATTERN OF GREED AND 4859 05:44:27,001 --> 05:44:29,000 RECKLESSNESS THAT DARN NEAR LEAD 4860 05:44:29,001 --> 05:44:30,000 TO A COMPLETE COLLAPSE OF OUR FINANCIAL ECONOMY. 4861 05:44:30,001 --> 05:44:34,000 MILLIONS OF THE AMERICANS LOST 4862 05:44:34,001 --> 05:44:38,000 THEIR JOBS WHILE MORE THAN 8.5 4863 05:44:38,001 --> 05:44:46,000 MILLION -- HOMES, SEVEN MILLION 4864 05:44:46,001 --> 05:44:48,000 HAVE GONE INTO FORECLOSURE. 4865 05:44:48,001 --> 05:44:51,000 MAYBE MORE IMPORTANTLY THAN ALL 4866 05:44:51,001 --> 05:44:53,000 OF THIS, IF 4867 05:44:53,001 --> 05:44:55,000 YOUR JOB, YOUR RETIERNTLE 4868 05:44:55,001 --> 05:44:57,000 THEY'VE LOST THEIR FAITH AND 4869 05:44:57,001 --> 05:44:58,000 THEIR SENSE OF OPTIMISM AND DMFD 4870 05:44:58,001 --> 05:44:59,000 OUR FINANCIAL SYSTEM IN THIS 4871 05:44:59,001 --> 05:45:00,000 COUNTRY. 4872 05:45:00,001 --> 05:45:03,000 AND THAT LOSS OF CONFIDENCE, 4873 05:45:03,001 --> 05:45:05,000 THAT LOSS OF OPTIMISM, THAT LOSS 4874 05:45:05,001 --> 05:45:07,000 OF B 4875 05:45:07,001 --> 05:45:10,000 MAKE A BAD BET ON A STOCK, THAT 4876 05:45:10,001 --> 05:45:11,000 THE SYSTEM WAS SOUND AND FAIR 4877 05:45:11,001 --> 05:45:12,000 AND WOULD TREAT YOU FAIRLY, THAT 4878 05:45:12,001 --> 05:45:14,000 YOU WEREN'T GOING TO GET HURT 4879 05:45:14,001 --> 05:45:18,000 BECAUSE WE HAD A GOOD SYSTEM IN 4880 05:45:18,001 --> 05:45:19,000 PLACE. THAT CONFIDENCE, THAT 4881 05:45:19,001 --> 05:45:21,000 FAITH HAS BEEN LOST. 4882 05:45:21,001 --> 05:45:22,000 AND THAT MAY BE MORE IMPORTANT 4883 05:45:22,001 --> 05:45:23,000 THAN EVERYTHING ELSE I MENTIONED 4884 05:45:23,001 --> 05:45:25,000 IN TERMS OF THE FUTURE STRGTH 4885 05:45:25,001 --> 05:45:27,000 OF OUR ECONOMY AND THE COUNTRY. 4886 05:45:27,001 --> 05:45:30,000 TO ADD INSULT TO INJURY, THOSE 4887 05:45:30,001 --> 05:45:32,000 SAME AMERICANS THEN SAW THOSE 4888 05:45:32,001 --> 05:45:35,000 SAME FIRMS COLLECTING $1 BILLION 4889 05:45:35,001 --> 05:45:37,000 BAILOUTS AT THE EXPENSE OF THE 4890 05:45:37,001 --> 05:45:38,000 TAXPAYER, PAYING $1 MILLION 4891 05:45:38,001 --> 05:45:39,000 BONUSES TO THE SAME EXECUTIVES 4892 05:45:39,001 --> 05:45:43,000 WHOSE BAD DECISIONS PUT US IN 4893 05:45:43,001 --> 05:45:45,000 THE MESS IN THE FIRST MAKERS WHO 4894 05:45:45,001 --> 05:45:46,000 WOULD HAVE BEEN -- IN THE FIRST 4895 05:45:46,001 --> 05:45:49,000 MAKERS WHO WOULD HAVE BEEN O UT 4896 05:45:49,001 --> 05:45:50,000 OUT OF A JOB HAD A BAILOUT NOT 4897 05:45:50,001 --> 05:45:52,000 OCCURRED. 4898 05:45:52,001 --> 05:45:53,000 AND THEN TURN AROUND AND THEIR 4899 05:45:53,001 --> 05:45:55,000 EXPRESSION OF GRATITUDE WAS TO 4900 05:45:55,001 --> 05:45:58,000 WRITE THEMSELVES A HUGE BONUS 4901 05:45:58,001 --> 05:46:01,000 CHECK, AND ONLY COULD DO SO 4902 05:46:01,001 --> 05:46:03,000 BECAUSE IN THIS CHAMBER WE VOTED 4903 05:46:03,001 --> 05:46:05,000 75-24 TO STABILIZE OUR 4904 05:46:05,001 --> 05:46:06,000 SYSTEM, A DECISION, 4905 05:46:06,001 --> 05:46:08,000 MR. PRESIDENT, I BELIEVE WAS THE RIGHT ONE 4906 05:46:08,001 --> 05:46:10,000 I THINK WE MADE THE RIGHT 4907 05:46:10,001 --> 05:46:12,000 IN DOING IT, AS DIFFICULT AS IT WAS. 4908 05:46:12,001 --> 05:46:14,000 BUT AT THE END OF ALL 4909 05:46:14,001 --> 05:46:17,000 YOU HAVE MAJOR EXECUTIVES IN 4910 05:46:17,001 --> 05:46:20,000 THESE COMPANIES THEN REWARD 4911 05:46:20,001 --> 05:46:24,000 THEMSELVES AS THE HEAD OF THESE 4912 05:46:24,001 --> 05:46:25,000 INSTITUTIONS BECAUSE WE AND THE 4913 05:46:25,001 --> 05:46:27,000 TAXPAYER -- MOSTLY THE TAXPAYER, 4914 05:46:27,001 --> 05:46:28,000 BY THE WAY -- HAD COME UP WITH 4915 05:46:28,001 --> 05:46:30,000 THE RESOURCES TO MAKE IT 4916 05:46:30,001 --> 05:46:31,000 POSSIBLEOR THOSE INSTITUTIONS 4917 05:46:31,001 --> 05:46:34,000 TO SURVIVE. MR. PRESIDENT,HE AMERICAN 4918 05:46:34,001 --> 05:46:36,000 PEOPLE ARE ANGRY AND WITH GOOD 4919 05:46:36,001 --> 05:46:37,000 REASON. 4920 05:46:37,001 --> 05:46:39,000 BUT THEY ARE ALSO WONDERING 4921 05:46:39,001 --> 05:46:40,000 WHO'S LOOKING OUT FOR US? 4922 05:46:40,001 --> 05:46:41,000 WHO'S JOB IS IT TO MAKE SURE 4923 05:46:41,001 --> 05:46:43,000 THIS DOESN'T HAPPEN AGAIN? 4924 05:46:43,001 --> 05:46:45,000 WHILE OUR CURRENT SYSTEM PAYS 4925 05:46:45,001 --> 05:46:47,000 LIP SERVICE TO CONSUMER 4926 05:46:47,001 --> 05:46:48,000 PROTECTION, THOSE 4927 05:46:48,001 --> 05:46:50,000 RESPONSIBILITIES ARE DIVIDED 4928 05:46:50,001 --> 05:46:51,000 AMONG SOME SEVEN DIFFERENT 4929 05:46:51,001 --> 05:46:54,000 REGULATORS FOR WHOM CONSUMER 4930 05:46:54,001 --> 05:46:55,000 PROTECTION IS JUST AN 4931 05:46:55,001 --> 05:46:58,000 AFTERTHOUGHT IN TOO MANY CASES 4932 05:46:58,001 --> 05:46:59,000 TO THE PRIMARY SAFETY AND 4933 05:46:59,001 --> 05:47:01,000 SOUNDNESS MISSIONS THEY ARE 4934 05:47:01,001 --> 05:47:02,000 RESPONSIBLE FOR AS WELL. 4935 05:47:02,001 --> 05:47:04,000 THE RESULT IS THAT REGULATORS 4936 05:47:04,001 --> 05:47:05,000 PUT THE INTEREST OF BANKS, LARGE 4937 05:47:05,001 --> 05:47:08,000 FINANCIAL INSTITUTIONS IN TOO 4938 05:47:08,001 --> 05:47:09,000 MANY CASE, BEFORE THE INTEREST 4939 05:47:09,001 --> 05:47:11,000 OF THE CONSUMERS WHO RELY ON 4940 05:47:11,001 --> 05:47:13,000 THOSE INSTITUTIONS FOR THEIR 4941 05:47:13,001 --> 05:47:16,000 LONG-TERM ECONOMIC SECURITY. 4942 05:47:16,001 --> 05:47:19,000 IF THIS SOUNDS LIKE A RECIPE FOR 4943 05:47:19,001 --> 05:47:21,000 FAILURE, THAT'S BECAUSE IT IS. 4944 05:47:21,001 --> 05:47:22,000 ASSISTANT SECRETARY OF 4945 05:47:22,001 --> 05:47:24,000 TREASURY MICHAEL BARR TESTIFIED 4946 05:47:24,001 --> 05:47:26,000 BEFORE OUR BANKING COMMITTEE NOT 4947 05:47:26,001 --> 05:47:28,000 LONG AGO, AND LET ME QUOTE HIM. 4948 05:47:28,001 --> 05:47:29,000 HE SAID TODAY'S CONSUMER 4949 05:47:29,001 --> 05:47:31,000 PROTECTION REGIME JUST 4950 05:47:31,001 --> 05:47:33,000 EXPERIENCED MASSIVE FAILURE. 4951 05:47:33,001 --> 05:47:38,000 IT COULD NOT EVEN STEM A PLAGUE 4952 05:47:38,001 --> 05:47:40,000 OF ABUSIVE AND UNAFFORDABLE 4953 05:47:40,001 --> 05:47:42,000 MORTGAGES DESPITE CLEAR WARNING SIGNS. 4954 05:47:42,001 --> 05:47:44,000 IT COST MILLIONS OF RESPONSIBLE 4955 05:47:44,001 --> 05:47:45,000 CONSUMERS THEIR HOMES, THEIR 4956 05:47:45,001 --> 05:47:47,000 SAVINGS AND THEIR DIGNITY, AND 4957 05:47:47,001 --> 05:47:49,000 IT CONTRIBUTED TO THE NEAR 4958 05:47:49,001 --> 05:47:51,000 COLLAPSE OF OUR FINANCIAL SYSTEM. 4959 05:47:51,001 --> 05:47:54,000 WE DID NOT HAVE JUST A FINANCIAL CRISIS. 4960 05:47:54,001 --> 05:47:55,000 WE HAD A CONSUMER CRISIS. 4961 05:47:55,001 --> 05:47:57,000 END OF QUOTE. 4962 05:47:57,001 --> 05:48:00,000 MR. PRESIDENT, THAT MASSIVE 4963 05:48:00,001 --> 05:48:02,000 FAILURE COULD HAPPEN AGAIN. 4964 05:48:02,001 --> 05:48:05,000 TODAY WE'RE IN NO DIFFERENT 4965 05:48:05,001 --> 05:48:07,000 POSITION THAN WE WERE IN 2007, 4966 05:48:07,001 --> 05:48:09,000 2008 AND 2009. 4967 05:48:09,001 --> 05:48:12,000 NOTHING HAS CHANGED. 4968 05:48:12,001 --> 05:48:13,000 AND YET, WE ARE ON THE BRINK OF 4969 05:48:13,001 --> 05:48:15,000 CREATING CHANGE THAT COULD MAKE 4970 05:48:15,001 --> 05:48:17,000 A DIFFERENCE IN THIS VERY AREA. 4971 05:48:17,001 --> 05:48:20,000 TODAY THOSE MASSIVE FAILURES ARE 4972 05:48:20,001 --> 05:48:23,000 STILL LURKING OUT THERE, AND THE 4973 05:48:23,001 --> 05:48:24,000 SAME CONSUMERS WHO 4974 05:48:24,001 --> 05:48:26,000 HOMES, LOST THEIR JOBS, LOST 4975 05:48:26,001 --> 05:48:28,000 THEIR RETIREMENT, LOST 4976 05:48:28,001 --> 05:48:30,000 HEALTH CARE ARE IN NO DIFFERENT 4977 05:48:30,001 --> 05:48:32,000 SITION TODAY SHOULD ANOTHER 4978 05:48:32,001 --> 05:48:34,000 CRIS HAPPEN TONIGHT OR TOMORROW. 4979 05:48:34,001 --> 05:48:36,000 IT'S EXACTLY THE SAME SYSTEM, 4980 05:48:36,001 --> 05:48:38,000 EXACTLY T SAME STRUCTURE, 4981 05:48:38,001 --> 05:48:40,000 EXACTLY THE SAME SO-CALLED 4982 05:48:40,001 --> 05:48:42,000 REGULATORS OUT THERE CHARGED 4983 05:48:42,001 --> 05:48:43,000 WITH PROTECTING CONSUMERS FROM 4984 05:48:43,001 --> 05:48:47,000 THE KIND OF PROBLEMS THAT LED US 4985 05:48:47,001 --> 05:48:49,000 TO THE DIFFICULTIES WE'RE IN TODAY. 4986 05:48:49,001 --> 05:48:51,000 WALL STREET, AGAIN, THE 4987 05:48:51,001 --> 05:48:52,000 FINANCIAL PRODUCTS AND PRACTICES 4988 05:48:52,001 --> 05:48:54,000 ARE BEING DEVISED ON WALL STREET 4989 05:48:54,001 --> 05:48:56,000 EVEN AS WE SPEAK HERE TODAY, 4990 05:48:56,001 --> 05:48:57,000 THAT WILL EVEN MAKE IT MORE 4991 05:48:57,001 --> 05:48:58,000 DIFFICULT IN MANY WAYS. 4992 05:48:58,001 --> 05:49:01,000 ARE THEY SAFE? 4993 05:49:01,001 --> 05:49:02,000 ARE THEY EXPLOITIVE? 4994 05:49:02,001 --> 05:49:04,000 TPWHAO EF IDEA. 4995 05:49:04,001 --> 05:49:06,000 NEITHER DO THE AMERICAN PEOPLE 4996 05:49:06,001 --> 05:49:07,000 BECAUSE NO ONE IS LOOKING OUT 4997 05:49:07,001 --> 05:49:09,000 FOR THEM AT THIS JUNCTURE. 4998 05:49:09,001 --> 05:49:11,000 OUR LEGISLATION ANSWERS THE 4999 05:49:11,001 --> 05:49:13,000 QUESTIONS WHO IS LOOKING OUT FOR ORDINARY AMERICANS. 5000 05:49:13,001 --> 05:49:15,000 THE BILL THAT WE'LL PRESENT HERE 5001 05:49:15,001 --> 05:49:17,000 IN A MATTER OF 5002 05:49:17,001 --> 05:49:19,000 COLLEAGUES IN THIS CHAMBER 5003 05:49:19,001 --> 05:49:21,000 CREATES AN INDEPENDENT CONSUMER 5004 05:49:21,001 --> 05:49:23,000 FINANCIAL PROTECTION BUREAU, A 5005 05:49:23,001 --> 05:49:26,000 WATCHDOG WITBARK AND WITH BITE. 5006 05:49:26,001 --> 05:49:28,000 THIS NEW BUREAU WON'T HAVE ANY 5007 05:49:28,001 --> 05:49:30,000 JOB MORE IMPORTANT THAN HELPING 5008 05:49:30,001 --> 05:49:32,000 AMERICAN CONSUMERS MAKE SMART 5009 05:49:32,001 --> 05:49:33,000 FINANCIAL DECISIONS BECAUSE 5010 05:49:33,001 --> 05:49:34,000 PROTECTING, EDUCATING AND 5011 05:49:34,001 --> 05:49:36,000 EMPOWERING AMERICAN CONSUMERS 5012 05:49:36,001 --> 05:49:38,000 WILL BE THEIR ONLY JOB. 5013 05:49:38,001 --> 05:49:40,000 IT WILL HAVE AN INDEPENDENT 5014 05:49:40,001 --> 05:49:42,000 DIRECTOR APPOINTED BY THE PRESIDENT OF THE UNITED STATES 5015 05:49:42,001 --> 05:49:45,000 AND CONFIRMED BY THE UNITED STATES SENATE. 5016 05:49:45,001 --> 05:49:46,000 IT WILL HAVE A DEDICATED 5017 05:49:46,001 --> 05:49:48,000 INDEPENDENT BUDGET PAID BY THE 5018 05:49:48,001 --> 05:49:50,000 FEDERAL RESERVE BOARD. 5019 05:49:50,001 --> 05:49:52,000 IT WILL BE EMPOWERED TO WRITE 5020 05:49:52,001 --> 05:49:53,000 CONSUMER PROTECTION RULES 5021 05:49:53,001 --> 05:49:56,000 GOVERNING ANY INSTITUTION, 5022 05:49:56,001 --> 05:49:57,000 WHETHER IT'S A BANK OR A PAYDAY 5023 05:49:57,001 --> 05:50:00,000 LENDER THAT OFFERS CONSUMER 5024 05:50:00,001 --> 05:50:01,000 FINANCIAL SERVICES OR PRODUCTS. 5025 05:50:01,001 --> 05:50:02,000 IT WILL HAVE A NEW OFFICE OF 5026 05:50:02,001 --> 05:50:04,000 FINANCIAL LITERACY TO ENSUR 5027 05:50:04,001 --> 05:50:06,000 THAT CONSUMERS ARE ABLE TO 5028 05:50:06,001 --> 05:50:07,000 UNDERSTAND THE PRODUCTS AND 5029 05:50:07,001 --> 05:50:10,000 SERVICES THAT ARE BEING OFFERED, 5030 05:50:10,001 --> 05:50:11,000 AND A NATIONAL TOLL-FREE 5031 05:50:11,001 --> 05:50:13,000 CONSUMER COMPLAINT LINE SO THAT 5032 05:50:13,001 --> 05:50:14,000 FOR THE FST TIME AMERICANS 5033 05:50:14,001 --> 05:50:16,000 HAVE SOMEWHERE TO GO WHEN THEY 5034 05:50:16,001 --> 05:50:17,000 NEED TO REPORT A PROBLEM. 5035 05:50:17,001 --> 05:50:19,000 MR. PRESIDENT, WHEN I TALK TO 5036 05:50:19,001 --> 05:50:21,000 PEOPLE BACK IN MY HOME STATE, 5037 05:50:21,001 --> 05:50:22,000 THEY UNDERSTAND THAT IT'S THEIR 5038 05:50:22,001 --> 05:50:25,000 RESPONSIBILITY TO MAKE SMART 5039 05:50:25,001 --> 05:50:26,000 DECISIONS ABOUT THEIR FAMILY 5040 05:50:26,001 --> 05:50:28,000 FINANCES, AND NOTHING IN OUR 5041 05:50:28,001 --> 05:50:29,000 BILL SUGGESTS OTHERWISE. 5042 05:50:29,001 --> 05:50:30,000 THAT'S THE FIRST LINE OF 5043 05:50:30,001 --> 05:50:32,000 DEFENSE. 5044 05:50:32,001 --> 05:50:34,000 SO WE 5045 05:50:34,001 --> 05:50:36,000 LEARN MORE, PAY ATTENTION, AND 5046 05:50:36,001 --> 05:50:38,000 UNDERSTAND THE FINANCIAL 5047 05:50:38,001 --> 05:50:40,000 ARRANGEMENTS WE'RE GETTING INTO. 5048 05:50:40,001 --> 05:50:43,000 WE'RE NOT SAYING ANYTHING DIFFERENT. 5049 05:50:43,001 --> 05:50:44,000 UNLIKE WALL STREET, THEY'RE NOT 5050 05:50:44,001 --> 05:50:45,000 LOOKING TO SHIRK THAT 5051 05:50:45,001 --> 05:50:46,000 RESPONSIBILITY. 5052 05:50:46,001 --> 05:50:47,000 THEY WELCOME THE RESPONSIBILITY. 5053 05:50:47,001 --> 05:50:48,000 THEY WOULD LIKE TO UNDERSTAND IT 5054 05:50:48,001 --> 05:50:50,000 BETTER. 5055 05:50:50,001 --> 05:50:51,000 WHAT THEY NEED IS CLEAR, 5056 05:50:51,001 --> 05:50:56,000 ACCURATE INFORMATION SO THAT 5057 05:50:56,001 --> 05:50:59,000 THEY CAN MAKE THOSE GOOD 5058 05:50:59,001 --> 05:51:01,000 DECISIONS 5059 05:51:01,001 --> 05:51:02,000 TO STOP ABUSIVE PRACTICES WHEN 5060 05:51:02,001 --> 05:51:03,000 THEY OCCUR. 5061 05:51:03,001 --> 05:51:04,000 THAT IS WHAT OUR LEGISLATION 5062 05:51:04,001 --> 05:51:05,000 DOES. 5063 05:51:05,001 --> 05:51:06,000 IT FINALLY PUTS CONSUMERS IN 5064 05:51:06,001 --> 05:51:09,000 CONTROL OF THEIR FINANCIAL LIVES 5065 05:51:09,001 --> 05:51:10,000 BY REQUIRING LARGE FINANCIAL 5066 05:51:10,001 --> 05:51:12,000 INSTITUTIONS AND CREDIT CARD 5067 05:51:12,001 --> 05:51:15,000 COMPANIES TO TELL YOU WHAT 5068 05:51:15,001 --> 05:51:18,000 THEY'RE SELLING YOU IN PLAIN ENGLISH. 5069 05:51:18,001 --> 05:51:20,000 YOU DON'T NEED A MASTER'S IN 5070 05:51:20,001 --> 05:51:22,000 BUSINESS ADMINISTRATION TO UNDERSTAND. 5071 05:51:22,001 --> 05:51:24,000 AND IT WILL FINALLY PUT AN END 5072 05:51:24,001 --> 05:51:26,000 TO THE PRACTICES THAT HAVE 5073 05:51:26,001 --> 05:51:27,000 BECOME ALMOST STANDARD OPETING 5074 05:51:27,001 --> 05:51:28,000 PROCEDURE: SKYROCKETING CREDIT 5075 05:51:28,001 --> 05:51:31,000 CARD INTEREST RATES, THE 5076 05:51:31,001 --> 05:51:34,000 EXPLOSION OF OVERDRAFT TPAOERBGS 5077 05:51:34,001 --> 05:51:36,000 PREDATORY -- FEES, PREDATORY 5078 05:51:36,001 --> 05:51:39,000 LENDING BY MORTGAGE FIRMS AND MORE. 5079 05:51:39,001 --> 05:51:43,000 THIS CONGRESS HAS TAKEN STEPS TO 5080 05:51:43,001 --> 05:51:45,000 PASSING THE CREDIT CARD ACT 5081 05:51:45,001 --> 05:51:47,000 AUTHORED BY THE MEMBERS OF OUR COMMITTEE -- I THANK THE 5082 05:51:47,001 --> 05:51:49,000 PRESIDING OFFICER FOR HAVING 5083 05:51:49,001 --> 05:51:52,000 BEEN A PART OF THAT -- FORCING 5084 05:51:52,001 --> 05:51:53,000 LARGE BANKS TO CHANGE THEIR 5085 05:51:53,001 --> 05:51:55,000 OVERDRAFT FEE POLICIES. 5086 05:51:55,001 --> 05:51:56,000 CREDIT CARD BANKS CONTINUE TO 5087 05:51:56,001 --> 05:51:57,000 LOOK FOR A WAY AROUND THE NEW 5088 05:51:57,001 --> 05:51:58,000 RULES. 5089 05:51:58,001 --> 05:52:01,000 HISTORY SHOWS THEM TO BE PRETTY 5090 05:52:01,001 --> 05:52:02,000 GOOD AT GETTING AWAY WITH IT AS 5091 05:52:02,001 --> 05:52:05,000 WELL. 5092 05:52:05,001 --> 05:52:06,000 BETWEEN 1997-2007, CREDIT CARD 5093 05:52:06,001 --> 05:52:08,000 COMPANIES ENGAGED IN A WIDE 5094 05:52:08,001 --> 05:52:10,000 VARIETY OF, FRANKLY, UNETHICAL 5095 05:52:10,001 --> 05:52:13,000 PRACTICES, SO-CALLED 5096 05:52:13,001 --> 05:52:16,000 DOUBLE-CYCLE BILLING, UNIVERSAL 5097 05:52:16,001 --> 05:52:18,000 DEFAULT, RETROACTIVE AND ASH 5098 05:52:18,001 --> 05:52:21,000 ARBITRARY TR-T HEIGHTS. 5099 05:52:21,001 --> 05:52:22,000 IN THAT ENTIRE DECADE, A DECADE 5100 05:52:22,001 --> 05:52:25,000 IN WHICH MILLIONS OF OUR FELLOW 5101 05:52:25,001 --> 05:52:27,000 CITIZENS WERE OVERCHARGED OR 5102 05:52:27,001 --> 05:52:28,000 OUTRIGHT RIPPED OFF BY THESE 5103 05:52:28,001 --> 05:52:29,000 BANKS, THERE WERE JUST NINE 5104 05:52:29,001 --> 05:52:32,000 FORMAL ENFORCEMENT ACTIONS TAKEN 5105 05:52:32,001 --> 05:52:37,000 BY THE SEVEN REGULATORS IN OUR FEDERAL GOVERNMENT. 5106 05:52:37,001 --> 05:52:40,000 LET ME REPEAT IT: IN THA 5107 05:52:40,001 --> 05:52:41,000 DECADE NOT A SINGLE CITIZEN IN 5108 05:52:41,001 --> 05:52:45,000 THIS COUNTRY COULD NOT TELL YOU 5109 05:52:45,001 --> 05:52:46,000 ABOUT ONE HORROR STORY IN THIS 5110 05:52:46,001 --> 05:52:49,000 COUNTRY, EVERY GIMMICK AND TRICK 5111 05:52:49,001 --> 05:52:52,000 WAS USED TO SQUEEZE EVERY LAST 5112 05:52:52,001 --> 05:52:54,000 NICKEL OUT OF A CONSUMER'S 5113 05:52:54,001 --> 05:52:56,000 POCKETBOOK THERE WERE ONLY NINE 5114 05:52:56,001 --> 05:52:58,000 FORMAL ENFORCEMENT ACTIONS TAKEN 5115 05:52:58,001 --> 05:53:01,000 BY THE REGULATORS AT THE NATIONAL LEVEL. 5116 05:53:01,001 --> 05:53:06,000 THEN THERE WAS THE STORY FROM 5117 05:53:06,001 --> 05:53:10,000 MARIO VIERA IN CONNECTICUT, A 5118 05:53:10,001 --> 05:53:12,000 HOME BUILDER WHO 5119 05:53:12,001 --> 05:53:14,000 OVERDREW HIS ACCOUNT BY $25. 5120 05:53:14,001 --> 05:53:17,000 MARIO, 75 YEARS OLD, A SMALL BUSINESS CONTRACTOR. 5121 05:53:17,001 --> 05:53:19,000 HE OVERDREW HIS ACCOUNT BY $2 5122 05:53:19,001 --> 05:53:21,000 AND WAS CHARGED $35. 5123 05:53:21,001 --> 05:53:23,000 THE BANK TOOK SEVERAL DAYS TO 5124 05:53:23,001 --> 05:53:26,000 NOTIFY HIM THAT THE ACCOUNT WAS OVERDRAWN. 5125 05:53:26,001 --> 05:53:27,000 IN THE MEANTIME, OF COURSE, HIS 5126 05:53:27,001 --> 05:53:29,000 ADDITIONAL MINOR PURPOSES 5127 05:53:29,001 --> 05:53:35,000 YIELDED THREE ADDITIONAL $35 5128 05:53:35,001 --> 05:53:38,000 FEES, A TOTAL OF $140 THAT MARIO 5129 05:53:38,001 --> 05:53:41,000 LIVIERI WAS CHARGED BECAUSE HE 5130 05:53:41,001 --> 05:53:43,000 WAS $2 OVERDRAWN IN HIS BANKING ACCOUNT. 5131 05:53:43,001 --> 05:53:45,000 UNFORTUNATELY THAT STORY BY THIS 5132 05:53:45,001 --> 05:53:46,000 INDIVIDUAL IN MY STATE CAN BE 5133 05:53:46,001 --> 05:53:47,000 REPEATED MILLIONS OF TIME ACROSS 5134 05:53:47,001 --> 05:53:51,000 THE COUNTRY. 5135 05:53:51,001 --> 05:53:52,000 A $2 BY A CONSCIENTIOUS 5136 05:53:52,001 --> 05:53:56,000 INDIVIDUAL THAT HE WAS MADE 5137 05:53:56,001 --> 05:53:58,000 PURCHASE HE MADE, AN ADDITIONAL 5138 05:53:58,001 --> 05:53:59,000 $35 WAS THROWN ON HIS ACCOUNT TO 5139 05:53:59,001 --> 05:54:02,000 THE POINT WHERE HE HAD A BILL 5140 05:54:02,001 --> 05:54:04,000 BEFORE HE DISCOVERED IT OF $140 5141 05:54:04,001 --> 05:54:06,000 BECAUSE OF $2 OVERDRAWN. 5142 05:54:06,001 --> 05:54:08,000 THAT WENT ON ALL THE TIME, AND 5143 05:54:08,001 --> 05:54:09,000 IN TOOFTEN CASES IT STILL 5144 05:54:09,001 --> 05:54:11,000 DOES. 5145 05:54:11,001 --> 05:54:14,000 MARIO PROTESTED, THE BANK WAIVED 5146 05:54:14,001 --> 05:54:15,000 ONE OF THE FOUR $35 CHARGES, BUT 5147 05:54:15,001 --> 05:54:17,000 THEY TOLD HIM HE COULD DO TO 5148 05:54:17,001 --> 05:54:19,000 FIGHT THE FEES BECAUSE THE 5149 05:54:19,001 --> 05:54:21,000 PRACTICE WAS PERFECTLY LEGAL. 5150 05:54:21,001 --> 05:54:22,000 AND THEN THERE ARE THE AUTO 5151 05:54:22,001 --> 05:54:23,000 DEALERS WHO HAVE BEEN SHOWN TO 5152 05:54:23,001 --> 05:54:26,000 TAKE ADVANTAGE OF MILITARY 5153 05:54:26,001 --> 05:54:27,000 SERVICEEMBERS, THE SHADY 5154 05:54:27,001 --> 05:54:28,000 PAYDAY LENDERS WHO PREY ON 5155 05:54:28,001 --> 05:54:30,000 MINORITY COMMUNITIES AND THE 5156 05:54:30,001 --> 05:54:32,000 WIDE RANGE OF OTHER MALICIOUS 5157 05:54:32,001 --> 05:54:33,000 ACTORS WHO TOOK ADVANTAGE OF 5158 05:54:33,001 --> 05:54:34,000 AMERICAN CONSUMERS. 5159 05:54:34,001 --> 05:54:36,000 THIS BILL THAT WILL BE BEFORE 5160 05:54:36,001 --> 05:54:38,000 THIS BODY THAT PASSED OUT OF OUR 5161 05:54:38,001 --> 05:54:39,000 COMMITTEE PUTS AN END TO THOSE 5162 05:54:39,001 --> 05:54:41,000 ABUSES, AND THAT'S WHY IT'S 5163 05:54:41,001 --> 05:54:42,000 SUPPORTED BY THE MILITARY 5164 05:54:42,001 --> 05:54:44,000 COALITION, CIVIL RIGHTS 5165 05:54:44,001 --> 05:54:45,000 ORGANIZATIONS, CONSUMER RIGHTS 5166 05:54:45,001 --> 05:54:47,000 GROUPS, AND MORE. 5167 05:54:47,001 --> 05:54:49,000 IT'S ALS 5168 05:54:49,001 --> 05:54:50,000 LARGE FINANCIAL INSTITUTIONS 5169 05:54:50,001 --> 05:54:52,000 WHOSE BUSINESS STRATEGIES ARE 5170 05:54:52,001 --> 05:54:55,000 BASED TOO OFTEN ON TAKING 5171 05:54:55,001 --> 05:54:57,000 ADVANTAGE OF THEIR VERY OWN CUSTOMERS. 5172 05:54:57,001 --> 05:54:59,000 LET ME TAKE A MOMENT TO PUT AN 5173 05:54:59,001 --> 05:55:00,000 END TO SOME OF THE MALARKEY 5174 05:55:00,001 --> 05:55:02,000 WE'VE BEEN HEARING FROM THE WALL 5175 05:55:02,001 --> 05:55:03,000 STREET CROWD. 5176 05:55:03,001 --> 05:55:04,000 THE LARGE BANKS ARE PAYING FOR 5177 05:55:04,001 --> 05:55:07,000 ADS NOW CLAIMING THAT THIS 5178 05:55:07,001 --> 05:55:09,000 LEGISLATION WILL IMPOSE NEW 5179 05:55:09,001 --> 05:55:11,000 RESTRICTIONS ON DENTISTS AND 5180 05:55:11,001 --> 05:55:13,000 BUTCHERS AND OTHER MAIN STREET MERCHANTS. 5181 05:55:13,001 --> 05:55:15,000 THAT'S NOT TRUE, MR. PRESIDENT. 5182 05:55:15,001 --> 05:55:18,000 YOU AND I KNOW THIS. 5183 05:55:18,001 --> 05:55:20,000 THAT KIND OF FALSEHOOD, IT GOES 5184 05:55:20,001 --> 05:55:22,000 OUT ACROSS THE COUNT HERE, IS 5185 05:55:22,001 --> 05:55:23,000 EXACTLY THE KIND OF 5186 05:55:23,001 --> 05:55:25,000 PROPAGANDIZING THAT THEY ARE 5187 05:55:25,001 --> 05:55:26,000 DETERMINED TO ENGAGE IN TO 5188 05:55:26,001 --> 05:55:28,000 UNDERMINE THIS LEGISLATION. 5189 05:55:28,001 --> 05:55:30,000 THESE RULES THAT WE CRAFTED 5190 05:55:30,001 --> 05:55:32,000 APPLY ONLY TO FIRMS ENGAGED IN 5191 05:55:32,001 --> 05:55:34,000 OFFERING CONSUMER FINANCIAL 5192 05:55:34,001 --> 05:55:39,000 SERVICES OR PRODUCTS, NOT THE 5193 05:55:39,001 --> 05:55:41,000 BUTCHER, NOT THE LAWN DID A 5194 05:55:41,001 --> 05:55:42,000 MAT -- LAUNDROMAT, NOT THE 5195 05:55:42,001 --> 05:55:44,000 DENTIST HERE AT ALL. 5196 05:55:44,001 --> 05:55:45,000 YOU HAVE TO BE ENGAGED IN 5197 05:55:45,001 --> 05:55:49,000 FINANCIAL SERVICES OR PRODUCTS. 5198 05:55:49,001 --> 05:55:51,000 JUST BECAUSE YOU'RE A BUTCHER 5199 05:55:51,001 --> 05:55:53,000 DOESN'T MEAN THESE NEW RULES 5200 05:55:53,001 --> 05:55:54,000 APPHRAOEUFPLT MOREOVER, THIS 5201 05:55:54,001 --> 05:55:55,000 LEGISLATION -- APPLY. 5202 05:55:55,001 --> 05:55:57,000 MOREOVER THIS LEGISLATION 5203 05:55:57,001 --> 05:55:58,000 DOESN'T SEEK TO STRANGLE 5204 05:55:58,001 --> 05:56:00,000 INNOVATION. 5205 05:56:00,001 --> 05:56:02,000 QUITE THE OPPOSITE. 5206 05:56:02,001 --> 05:56:04,000 WE'RE NOT DICTATING WHAT 5207 05:56:04,001 --> 05:56:06,000 PRODUCTS CAN BE OFFERED ANYMORE 5208 05:56:06,001 --> 05:56:07,000 THAN THE CONSUMER PRODUCT SAFETY 5209 05:56:07,001 --> 05:56:08,000 COMMISSION DIRECTS WHAT TOY 5210 05:56:08,001 --> 05:56:12,000 MAKERS CAN INVENT. 5211 05:56:12,001 --> 05:56:13,000 BUT JUST AS THE CONSUMER PRODUCT 5212 05:56:13,001 --> 05:56:14,000 SAFETY COMMISSION WATCHES OUT 5213 05:56:14,001 --> 05:56:16,000 FOR TOYS THAT COULD HURT YOUR 5214 05:56:16,001 --> 05:56:17,000 CHILDREN, THE INDEPENDENT 5215 05:56:17,001 --> 05:56:19,000 CONSUMER FINANCIAL PROTECTION 5216 05:56:19,001 --> 05:56:21,000 BUREAU WILL WATCH OUT FOR 5217 05:56:21,001 --> 05:56:22,000 PRODUCTS THAT CAN HURT YOUR 5218 05:56:22,001 --> 05:56:24,000 FINANCES SO THAT CUSTOMERS AND 5219 05:56:24,001 --> 05:56:25,000 CONSUMERS CAN MAKE SMART 5220 05:56:25,001 --> 05:56:27,000 DECISIONS. 5221 05:56:27,001 --> 05:56:29,000 THE LARGE FINANCIAL INSTITUTIONS 5222 05:56:29,001 --> 05:56:31,000 THAT TRIED TO PUSH THIS NOTION 5223 05:56:31,001 --> 05:56:33,000 THAT THIS LEGISLATION CREATES AN 5224 05:56:33,001 --> 05:56:35,000 ENORMOUS BURDEN ON SMALL 5225 05:56:35,001 --> 05:56:37,000 COMMUNITY BANKS, LET ME ADDRESS THAT 5226 05:56:37,001 --> 05:56:38,000 HOW NICE OF THEM TO LOOK OUT FOR 5227 05:56:38,001 --> 05:56:40,000 THEIR COMPETITORS, THE ONES THEY 5228 05:56:40,001 --> 05:56:41,000 HAVE BEEN TRYING TO DRUM OUT OF 5229 05:56:41,001 --> 05:56:43,000 BUSINESS FOR DECADES. 5230 05:56:43,001 --> 05:56:44,000 THE FACT IS THE SMALL COMMUNITY 5231 05:56:44,001 --> 05:56:47,000 BANKS WITH $10 BILLION OR LESS 5232 05:56:47,001 --> 05:56:50,000 IN ASSETS, WON'T SEE ANY REGULATORY CHANGES. 5233 05:56:50,001 --> 05:56:51,000 THEY WON'T BE CHARGED ANY FEES 5234 05:56:51,001 --> 05:56:52,000 OR ASSESSMENTS. 5235 05:56:52,001 --> 05:56:54,000 THEY'LL FOLLOW THE SAME RULES 5236 05:56:54,001 --> 05:56:57,000 THAT THEY FOLLOW TODAY. 5237 05:56:57,001 --> 05:56:58,000 AND EVEN BETTER, THE SMALL 5238 05:56:58,001 --> 05:56:59,000 COMMUNITY BANKS WILL BE ABLE TO 5239 05:56:59,001 --> 05:57:01,000 OPERATE ON A LEVEL PLAYING FIELD 5240 05:57:01,001 --> 05:57:04,000 WITHOUT THE UNFAIR COMPETION 5241 05:57:04,001 --> 05:57:06,000 FROM THE UNDERREGULATED OR 5242 05:57:06,001 --> 05:57:09,000 UNREGULATED SHADOW BANKS THAT 5243 05:57:09,001 --> 05:57:11,000 DON'T OPERATE WITH ANY RULES 5244 05:57:11,001 --> 05:57:15,000 MR. PRESIDENT, THIS LEGISLATION 5245 05:57:15,001 --> 05:57:16,000 HAS MANY IMPORTANT OBJECTIVES: 5246 05:57:16,001 --> 05:57:17,000 PREVENTING TAXPAYER BAILOUTS, 5247 05:57:17,001 --> 05:57:19,000 ESTABLISHING AN EARLY WARNING 5248 05:57:19,001 --> 05:57:21,000 SYSTEM SO FUTURE FINANCIAL 5249 05:57:21,001 --> 05:57:24,000 CRISES CAN BE NIPPED AT THE BUD 5250 05:57:24,001 --> 05:57:26,000 BEFORE THEY THREATEN OUR ENTIRE ECONOMIC SYSTEM. 5251 05:57:26,001 --> 05:57:28,000 BUT FOR MILLIONS OF AMERICANS 5252 05:57:28,001 --> 05:57:30,000 WHO DON'T PAY MUCH ATTENTION TO 5253 05:57:30,001 --> 05:57:32,000 WHAT GOESN ON WALL STREET 5254 05:57:32,001 --> 05:57:34,000 EXCEPT WHEN THEY HAVE TO WRITE A 5255 05:57:34,001 --> 05:57:35,000 CHECK TO BAIL OUT THE FIRMS THAT 5256 05:57:35,001 --> 05:57:37,000 LIVE THERE, PERHAPS NOTHING IN 5257 05:57:37,001 --> 05:57:39,000 THIS BILL WILL IMPACT THEIR 5258 05:57:39,001 --> 05:57:40,000 LIVES MORE DIRECTLY THIS BE THE 5259 05:57:40,001 --> 05:57:42,000 CONSUMER PROTECTION BUREAU. 5260 05:57:42,001 --> 05:57:43,000 FINALLY THERE WILL BE A COP ON 5261 05:57:43,001 --> 05:57:45,000 THE BEAT WATCHING OUT FOR THEM. 5262 05:57:45,001 --> 05:57:46,000 SAFETY AND SOUNDNESS OF OUR 5263 05:57:46,001 --> 05:57:47,000 FINANCIAL INSTITUTIONS IS 5264 05:57:47,001 --> 05:57:49,000 CRITICALLY IMPORTANT. 5265 05:57:49,001 --> 05:57:51,000 I'M ALL. 5266 05:57:51,001 --> 05:57:52,000 BUT THAT'S NOT THE 5267 05:57:52,001 --> 05:57:53,000 CONSIDERATION. 5268 05:57:53,001 --> 05:57:55,000 AS THIS REAL ESTATE BUBBLE WAS 5269 05:57:55,001 --> 05:57:57,000 BUILDING UP, WE WERE TOLD OVER 5270 05:57:57,001 --> 05:57:59,000 AND OVER AGAIN THAT THE SYSTEM 5271 05:57:59,001 --> 05:58:03,000 WAS SAFE AND SOUND. WHY? 5272 05:58:03,001 --> 05:58:04,000 BECAUSE PEOPLE WERE MAKING MONEY. 5273 05:58:04,001 --> 05:58:06,000 IT WAS GROWING IN PROFITS. 5274 05:58:06,001 --> 05:58:08,000 WHAT WE FAILED TO LOOK AT AND 5275 05:58:08,001 --> 05:58:11,000 UNDERSTAND WAS IT MAY HAVE BEEN 5276 05:58:11,001 --> 05:58:12,000 SAFE AND SOUND FROM THAT NARROW 5277 05:58:12,001 --> 05:58:14,000 PERSPECTIVE, BUT FOR CONSUMERS 5278 05:58:14,001 --> 05:58:16,000 RELYING ON THESE FINANCIAL 5279 05:58:16,001 --> 05:58:17,000 INSTITUTIONS, FOYER THEIR 5280 05:58:17,001 --> 05:58:19,000 ECONOMIC -- FOR THEIR ECONOMIC 5281 05:58:19,001 --> 05:58:20,000 SECURITY IT WAS ANYTHING BUT SAFE AND 5282 05:58:20,001 --> 05:58:22,000 WITH THE ESTABLISHMENT OF 5283 05:58:22,001 --> 05:58:23,000 DIVISION, OR THIS BUREAU, WE 5284 05:58:23,001 --> 05:58:25,000 WILL BE FOR THE FIRST TIME IN 5285 05:58:25,001 --> 05:58:26,000 THE HISTORY OF OUR COUNTRY 5286 05:58:26,001 --> 05:58:28,000 SAYING THAT FINANCIAL PRODUCTS 5287 05:58:28,001 --> 05:58:30,000 OUGHT TO BE NO DIFFERENT THAN 5288 05:58:30,001 --> 05:58:31,000 ANY OTHER PRODUCT THAT CONSUMERS BUY. 5289 05:58:31,001 --> 05:58:34,000 YOU OUGHT TO HAVE A PLACE YOU 5290 05:58:34,001 --> 05:58:37,000 CAN GO WHEN YOU'VE BEEN DECEIVES 5291 05:58:37,001 --> 05:58:38,000 OR DEFRAUDED IN THE USE OF THESE 5292 05:58:38,001 --> 05:58:40,000 FINANCIAL PRODUCTS. 5293 05:58:40,001 --> 05:58:42,000 IF YOUR LAWN MOWER BREAKS, YOUR 5294 05:58:42,001 --> 05:58:45,000 CARALFUNCTIONS, WE GET ALL 5295 05:58:45,001 --> 05:58:47,000 SORTS OF REPORTS, AS RECEN 5296 05:58:47,001 --> 05:58:48,000 WE'VE SEEN W-RBGS RECALLS OF 5297 05:58:48,001 --> 05:58:49,000 PRODUCTS -- WITH RECALLS OF 5298 05:58:49,001 --> 05:58:51,000 PRODUCTS BECAUSE THEY'RE UNSAFE 5299 05:58:51,001 --> 05:58:55,000 FOR THAT CONSUMER TO USE THEM. 5300 05:58:55,001 --> 05:58:57,000 WHY SHOULDN'T THAT ALSO EXIST IF 5301 05:58:57,001 --> 05:58:58,000 YOU'RE OUT THERE PURCHASING A 5302 05:58:58,001 --> 05:59:01,000 FINANCIAL PRODUCT THAT CAN PUT 5303 05:59:01,001 --> 05:59:03,000 YOU IN GREAT DANGER, IN FACT 5304 05:59:03,001 --> 05:59:04,000 BANKRUPT YOU AND RUIN YOUR LIFE 5305 05:59:04,001 --> 05:59:05,000 BECAUSE YOU'VE BEEN DRAWN INT 5306 05:59:05,001 --> 05:59:08,000 FINANCIAL ARRANGEMENT BECAUSE IT 5307 05:59:08,001 --> 05:59:10,000 WAS A QUICK PROFIT-MAKING 5308 05:59:10,001 --> 05:59:15,000 SITUATION FOR THE LENDER BUT PUT 5309 05:59:15,001 --> 05:59:17,000 YOU AT GREAT RISK AND CAUSED THE 5310 05:59:17,001 --> 05:59:18,000 ULTIMATE FINANCIAL RUIN OF 5311 05:59:18,001 --> 05:59:21,000 FAMILIES AND BUSINESSES. 5312 05:59:21,001 --> 05:59:22,000 THUS, WE HAVE ESTABLISHED A 5313 05:59:22,001 --> 05:59:26,000 PARITY BETWEEN PHYSICAL PRODUCTS 5314 05:59:26,001 --> 05:59:27,000 YOU CAN BUY AND FINANCIAL PRUCTS. 5315 05:59:27,001 --> 05:59:28,000 AMERICANS WILL BE AE TO RELY 5316 05:59:28,001 --> 05:59:30,000 ON CLEAR AND ACCURATE 5317 05:59:30,001 --> 05:59:33,000 INFORMATION ABOUT THEIR FAMIL 5318 05:59:33,001 --> 05:59:34,000 FINANCES. 5319 05:59:34,001 --> 05:59:37,000 LOOKING OUT FOR THEM, MR. PRESIDENT. 5320 05:59:37,001 --> 05:59:38,000 THERE IS NO BETT 5321 05:59:38,001 --> 05:59:39,000 RESTORE FAITH. 5322 05:59:39,001 --> 05:59:41,000 AGAIN, THE LOSS OF HOMES, THE 5323 05:59:41,001 --> 05:59:42,000 LOSS OF JOBS, THE LOSS OF 5324 05:59:42,001 --> 05:59:45,000 RETIREMENT, ALL OF WHICH HAVE 5325 05:59:45,001 --> 05:59:47,000 OCCURRED, BUT MAYBE THE GREATEST 5326 05:59:47,001 --> 05:59:48,000 TRAGEDY OF ALL IS THE LOSS OF 5327 05:59:48,001 --> 05:59:50,000 FAITH IN OUR FINANCIAL SYSTEM, 5328 05:59:50,001 --> 05:59:52,000 AND WE NEED TO RESTORE THAT. 5329 05:59:52,001 --> 05:59:53,000 THE ABSENCE OF THAT WON'T MAKE 5330 05:59:53,001 --> 05:59:55,000 THIS GET BETTER. 5331 05:59:55,001 --> 05:59:57,000 EVERY OTHER SINGLE THING WE DO 5332 05:59:57,001 --> 05:59:58,000 WILL NOT ACHIEVE ITS GOAL IF 5333 05:59:58,001 --> 06:00:00,000 AMERICANS DON'T HAVE CONFIDENCE 5334 06:00:00,001 --> 06:00:02,000 IN OUR FINANCIAL SYSTEMS, THE 5335 06:00:02,001 --> 06:00:04,000 FAITH THAT IT'S THERE, IT'S SAFE 5336 06:00:04,001 --> 06:00:05,000 THAT THEY CAN BE SECURE IN THE 5337 06:00:05,001 --> 06:00:07,000 KNOWLEDGE THAT WHEN THEY DEPOSIT 5338 06:00:07,001 --> 06:00:09,000 A HARD-EARNED PAYCHECK, WHEN 5339 06:00:09,001 --> 06:00:10,000 THEY BUY AN INSURANCE POLICY, 5340 06:00:10,001 --> 06:00:12,000 WHEN THEY BUY A STOCK, WHEN 5341 06:00:12,001 --> 06:00:14,000 ENGAGE IN A FINANCIAL ACTIVITY, 5342 06:00:14,001 --> 06:00:17,000 THE STRUCTURE, THE SYSTEM THERE 5343 06:00:17,001 --> 06:00:19,000 IS NOT UNFAIR. 5344 06:00:19,001 --> 06:00:20,000 NOT OUT THERE TO DECEIVE THEM, 5345 06:00:20,001 --> 06:00:23,000 DEFRAUD THEM, TO TAKE ADVANTAGE 5346 06:00:23,001 --> 06:00:24,000 OF THEM, BUT TO SEE TO IT THAT 5347 06:00:24,001 --> 06:00:25,000 THEY'RE PROTECTED. 5348 06:00:25,001 --> 06:00:26,000 THAT'S OUR GOAL IN THIS BILL. 5349 06:00:26,001 --> 06:00:28,000 MY HOPE IS THAT OUR COLLEAGUES 5350 06:00:28,001 --> 06:00:29,000 WILL ALLOW US TO GET TO THIS 5351 06:00:29,001 --> 06:00:30,000 DEBATE. 5352 06:00:30,001 --> 06:00:33,000 IF YOU HAVE 5353 06:00:33,001 --> 06:00:35,000 TO THIS, LET'S HAVE THAT DEBATE 5354 06:00:35,001 --> 06:00:36,000 THAT'S BEEN THE HISTORY OF THIS 5355 06:00:36,001 --> 06:00:38,000 CHAMBER ON IMPORTANT MATTERS 5356 06:00:38,001 --> 06:00:39,000 THAT HAVE COME BEFORE IT IN THE 5357 06:00:39,001 --> 06:00:40,000 PAST. 5358 06:00:40,001 --> 06:00:41,000 WE OUGHT NOT BE DENIED THAT 5359 06:00:41,001 --> 06:00:43,000 OPPORTUNITY AGAIN ON THIS BILL. 5360 06:00:43,001 --> 06:00:45,000 BUT I WANTED TO TAKE A MOMENT 5361 06:00:45,001 --> 06:00:48,000 AND TALK ABOUT THE CONSUMER PROTECTION EFFORTS OF THIS 5362 06:00:48,001 --> 06:00:49,000 LEGISLATION AND, AGAIN, I 5363 06:00:49,001 --> 06:00:50,000 COMPLIMENT MY COLLEAGUE IN THE 5364 06:00:50,001 --> 06:00:51,000 PRESIDING CHAIR. 5365 06:00:51,001 --> 06:00:54,000 I SAY TO MY COLLEAGUE BECAUSE HE 5366 06:00:54,001 --> 06:00:55,000 HAS BEEN A CHAMPION IN OUR SHORT 5367 06:00:55,001 --> 06:00:57,000 SERVICE TOGETHER IN THIS 5368 06:00:57,001 --> 06:00:59,000 COMMITTEE ON THE VERY ISSUES I ADDRESSED TODAY. 5369 06:00:59,001 --> 06:01:01,000 I WANT TO PUBLICLY THANK HIM FOR 5370 06:01:01,001 --> 06:01:02,000 HIS EFFORTS, HIS COMMITMENT AND 5371 06:01:02,001 --> 06:01:06,000 PASSION FOR THOSE ISSUES. 5372 06:01:06,001 --> 06:01:10,000 WITH THAT, MR. PRESIDENT, I 5373 06:01:10,001 --> 06:01:12,000 ARIZONA AND SO I WON'T NOTE THE 5374 06:01:12,001 --> 06:01:13,000 ABSENCE OF A QUORUM. MR. KYL: MR. PRESIDENT? 5375 06:01:13,001 --> 06:01:15,000 THE PRESIDING OFFICER: THE 5376 06:01:15,001 --> 06:01:16,000 SENATOR 5377 06:01:16,001 --> 06:01:17,000 MR. KYL: MR. PRESIDENT, I -- 5378 06:01:17,001 --> 06:01:20,000 BEFORE I AGAIN TALKING 5379 06:01:20,001 --> 06:01:22,000 THIS BILL, 5380 06:01:22,001 --> 06:01:24,000 COMPLIMENT CHAIRMAN DODD FOR THE 5381 06:01:24,001 --> 06:01:25,000 HARD WORK HE'S PUT INTO THIS MATTER. 5382 06:01:25,001 --> 06:01:27,000 I BELIEVE IT IS IMPORTANT FOR US 5383 06:01:27,001 --> 06:01:28,000 TO REACH A BIPARTISAN CONSENSUS 5384 06:01:28,001 --> 06:01:30,000 AND THAT MANY OF THE THINGS THAT 5385 06:01:30,001 --> 06:01:33,000 WERE JUST DISCUSSED ARE MATTERS 5386 06:01:33,001 --> 06:01:34,000 ON WHICH WE CAN REACH CONSENSUS. 5387 06:01:34,001 --> 06:01:36,000 THAT IS THE GOAL O REPUBLICANS. 5388 06:01:36,001 --> 06:01:39,000 I AM CONCERNED, I MUST SAY, 5389 06:01:39,001 --> 06:01:41,000 THERE HAS BEEN SOME A LITTL POLITIZATION 5390 06:01:41,001 --> 06:01:43,000 OF THIS ISSUE BY MANY OF THE 5391 06:01:43,001 --> 06:01:44,000 OTHER SIDE AND, FRANKLY, SOME IN 5392 06:01:44,001 --> 06:01:46,000 THE ADMINISTRATION. 5393 06:01:46,001 --> 06:01:48,000 I KNOW THAT SENATOR CHAMBLISS, A 5394 06:01:48,001 --> 06:01:53,000 REPUBLICAN, AND SENATOR LINK 5395 06:01:53,001 --> 06:01:57,000 ONG, A DEMOCRAT WORKED -- 5396 06:01:57,001 --> 06:01:59,000 LINCOLN, A DEMOCRAT, WORKED 5397 06:01:59,001 --> 06:02:01,000 TOGETHER AND WERE TOLD BY THE 5398 06:02:01,001 --> 06:02:02,000 WHITE HOUSE THAT IT WAS NOT 5399 06:02:02,001 --> 06:02:03,000 ACCEPTABLE AND THIS CHAIRMAN 5400 06:02:03,001 --> 06:02:05,000 LINCOLN NEED TO GO BACK AND REDO 5401 06:02:05,001 --> 06:02:08,000 IT THE WAY THAT THEY WANTED IT DONE. 5402 06:02:08,001 --> 06:02:11,000 AS A RESULT, THE BILL WAS PASSED 5403 06:02:11,001 --> 06:02:13,000 OUT OF THE BANKING COMMITTEE ON 5404 06:02:13,001 --> 06:02:15,000 AN ALMOST PARTISAN -- PARTISAN LINE. 5405 06:02:15,001 --> 06:02:16,000 AND THE SAME THING WAS TRUE OF 5406 06:02:16,001 --> 06:02:18,000 THE LEGISLATION THAT CAME OUT OF 5407 06:02:18,001 --> 06:02:19,000 THE BANKING COMMITTEE. 5408 06:02:19,001 --> 06:02:22,000 NOW, WHILE CHAIRMAN DODD IS 5409 06:02:22,001 --> 06:02:23,000 HERE, LET ME MAKE 5410 06:02:23,001 --> 06:02:25,000 HE SUGGESTED THIS MORNING THAT 5411 06:02:25,001 --> 06:02:27,000 THERE ARE REPUBLICANS WHO 5412 06:02:27,001 --> 06:02:29,000 SUPPORT THIS BILL HE KNOWS, BUT 5413 06:02:29,001 --> 06:02:30,000 THEY'RE BEING TOLD BY REPUBLICAN 5414 06:02:30,001 --> 06:02:31,000 LEADERSHIP THAT THEY CAN'T 5415 06:02:31,001 --> 06:02:32,000 SUPPORT IT. 5416 06:02:32,001 --> 06:02:34,000 NOW, MR. PRESIDENT, I WANT TO 5417 06:02:34,001 --> 06:02:36,000 MAKE IT CLEAR THAT OUR 5418 06:02:36,001 --> 06:02:37,000 LEADERSHIP DOES NOT DO IT THAT 5419 06:02:37,001 --> 06:02:39,000 WAY. 5420 06:02:39,001 --> 06:02:40,000 ONE OF THE REASONS IS I AM ONE 5421 06:02:40,001 --> 06:02:42,000 OF OUR LEADERSHIP. 5422 06:02:42,001 --> 06:02:43,000 OUR MEMBERS OF THE REPUBLICAN 5423 06:02:43,001 --> 06:02:44,000 CAUCUS THINK FOR THEMSELVES AND 5424 06:02:44,001 --> 06:02:47,000 WE CAME TO CONCLUSION 5425 06:02:47,001 --> 06:02:48,000 UNANIMOUSLY IN THE REPUBLICAN 5426 06:02:48,001 --> 06:02:49,000 CONFERENCE THAT THE PARTISAN 5427 06:02:49,001 --> 06:02:52,000 BILL THAT CAME OUT OF THE 5428 06:02:52,001 --> 06:02:54,000 BANKING COMMITTEE, AND IT WAS PARTISAN. 5429 06:02:54,001 --> 06:02:57,000 IT WAS WRITTEN BY DEMOCRATS, NOT 5430 06:02:57,001 --> 06:03:00,000 ON PARTY LINE VOTE, 5431 06:03:00,001 --> 06:03:02,000 BILL WAS NOT WAIT TO MOVE FORWARD. 5432 06:03:02,001 --> 06:03:03,000 IT WAS PARTISAN, IT WAS FLAWED. 5433 06:03:03,001 --> 06:03:06,000 AND, AMONG OTHER THINGS, IT 5434 06:03:06,001 --> 06:03:08,000 WOULD PROVIDE FOR PER PEPTAL 5435 06:03:08,001 --> 06:03:09,000 BAILOUTS AND THEREFORE DIDN'T 5436 06:03:09,001 --> 06:03:10,000 ACHIEVE THE FIRST GOAL OF THE 5437 06:03:10,001 --> 06:03:12,000 LEGISLATION WHICH WAS TO FINALLY 5438 06:03:12,001 --> 06:03:15,000 END THE 5439 06:03:15,001 --> 06:03:17,000 AND SO ALL 41 OF US WROTE TO THE 5440 06:03:17,001 --> 06:03:18,000 LEADER AND SAID WE WILL NOT VOTE 5441 06:03:18,001 --> 06:03:19,000 TO PROCEED TO THAT BILL BECAUSE 5442 06:03:19,001 --> 06:03:21,000 IT'S A PARTISAN BILL. 5443 06:03:21,001 --> 06:03:23,000 IT WOULD BE BETTER IF WE COULD 5444 06:03:23,001 --> 06:03:24,000 WORK TOGETHER IN A BIPARTISAN 5445 06:03:24,001 --> 06:03:26,000 WAY TO BRING THE BILL 5446 06:03:26,001 --> 06:03:27,000 FLOOR OF THE SENATE THAT 5447 06:03:27,001 --> 06:03:29,000 REPRESENTED NOT JUST REPUBLICAN 5448 06:03:29,001 --> 06:03:30,000 IDEAS, BUT A COMBINATION OF 5449 06:03:30,001 --> 06:03:32,000 DEMOCRAT AND REPUBLICAN IDEAS 5450 06:03:32,001 --> 06:03:33,000 THAT HAD BEEN NEGOTIATED BY THE 5451 06:03:33,001 --> 06:03:34,000 MEMBERS OF THE BANKING 5452 06:03:34,001 --> 06:03:35,000 COMMITTEE, MEMBERS OF THE 5453 06:03:35,001 --> 06:03:36,000 AGRICULTURE COMMITTEE, AND 5454 06:03:36,001 --> 06:03:37,000 OTHERS. 5455 06:03:37,001 --> 06:03:38,000 THAT WOULD ORDINARILY BE THE WAY 5456 06:03:38,001 --> 06:03:39,000 THAT WE WOULD TAKE UP A BILL 5457 06:03:39,001 --> 06:03:44,000 HERE ON THE SENATE FLOOR. 5458 06:03:44,001 --> 06:03:46,000 HAVING SAID THAT, I AM STILL 5459 06:03:46,001 --> 06:03:48,000 CONFIDENT, BASED UPON WHAT 5460 06:03:48,001 --> 06:03:49,000 SENATOR SHELBY AND OTHER 5461 06:03:49,001 --> 06:03:52,000 REPUBLICANS ON THE BANKING 5462 06:03:52,001 --> 06:03:54,000 COMMITTEE HAVE SAID, THAT IT IS 5463 06:03:54,001 --> 06:03:55,000 POSSIBLE TO REACH A BIPARTISAN 5464 06:03:55,001 --> 06:03:57,000 CONSENSUS HERE. 5465 06:03:57,001 --> 06:03:59,000 I KNOW THAT SENATOR DODD AND 5466 06:03:59,001 --> 06:04:01,000 SENATOR SHELBY HAVE BEEN 5467 06:04:01,001 --> 06:04:03,000 HARD EVERY DAY ON VARIOUS 5468 06:04:03,001 --> 06:04:04,000 ASPECTS OF THE BILL TO TRY TO 5469 06:04:04,001 --> 06:04:06,000 REACH A CONCLUSION. 5470 06:04:06,001 --> 06:04:08,000 THE SECOND POINT I WANT TO MAKE 5471 06:04:08,001 --> 06:04:09,000 HERE IS THAT ONE SHOULD NOT 5472 06:04:09,001 --> 06:04:11,000 DESCRIBE THE BILL THAT 5473 06:04:11,001 --> 06:04:13,000 OUT OF THE 5474 06:04:13,001 --> 06:04:14,000 THE END OF THE STORY AS A 5475 06:04:14,001 --> 06:04:15,000 SUCCESSFUL BILL THAT'S GOING TO 5476 06:04:15,001 --> 06:04:16,000 SOLVE ALL OF THESE 5477 06:04:16,001 --> 06:04:18,000 I DON'T THINK IT WILL. 5478 06:04:18,001 --> 06:04:19,000 IT DOESN'T END TAXPAYER 5479 06:04:19,001 --> 06:04:21,000 BAILOUTS, FORO? EXAMPLE. 5480 06:04:21,001 --> 06:04:23,000 AND AT A MINIMUM, IT SEEMS TO 5481 06:04:23,001 --> 06:04:24,000 ME, IT OUGHT TO DO THAT. 5482 06:04:24,001 --> 06:04:26,000 SO IN JUST A FEW MINUTES HERE, 5483 06:04:26,001 --> 06:04:27,000 I'D LIKE TO DESCRIBE SOME OF THE 5484 06:04:27,001 --> 06:04:29,000 THINGS THAT I THINK THE BILL 5485 06:04:29,001 --> 06:04:30,000 SHOULD ADDRESS AND THAT I HOPE 5486 06:04:30,001 --> 06:04:31,000 ARE BEING ADDRESSED IN THE 5487 06:04:31,001 --> 06:04:33,000 BIPARTISAN NEGOTIATIONS. 5488 06:04:33,001 --> 06:04:36,000 I'M SURE IT'S OBVIOUS THAT IT'S 5489 06:04:36,001 --> 06:04:38,000 VERY DIFFICULT ONCE A BILL COMES 5490 06:04:38,001 --> 06:04:39,000 TO THE FLOOR AND YOU HAVE A 5491 06:04:39,001 --> 06:04:41,000 CHAIRMAN AND LEADER SUPPORTING 5492 06:04:41,001 --> 06:04:42,000 THE BILL WITH 59 SENATORS ON 5493 06:04:42,001 --> 06:04:44,000 THEIR SIDE OF THE AISLE, IT'S 5494 06:04:44,001 --> 06:04:45,000 VERY HARD TO AMEND THAT BILL. 5495 06:04:45,001 --> 06:04:46,000 AND THAT'S ONE REASON 5496 06:04:46,001 --> 06:04:48,000 REPUBLICANS WOULD LIKE TO SEE A 5497 06:04:48,001 --> 06:04:50,000 BILL BROUGHT TO THE FLOOR THAT 5498 06:04:50,001 --> 06:04:52,000 ALREADY HAS BIPARTISAN 5499 06:04:52,001 --> 06:04:53,000 AND THEN, YES, WE CAN WORK OUR 5500 06:04:53,001 --> 06:04:54,000 WILL ON THE BILL AND MAYBE AMEND 5501 06:04:54,001 --> 06:04:56,000 IT, MAYBE NO. 5502 06:04:56,001 --> 06:04:58,000 BUT AT LEAST WE KNOW THAT IT'S 5503 06:04:58,001 --> 06:05:00,000 NOT GOING TO BE A PURELY 5504 06:05:00,001 --> 06:05:01,000 PARTISAN PROPO 5505 06:05:01,001 --> 06:05:04,000 THERE'S BEEN MUCH ATTENTION PAID 5506 06:05:04,001 --> 06:05:06,000 TO THE $50 BILLION FUND THAT'S 5507 06:05:06,001 --> 06:05:08,000 CREATED BY THIS BILL. 5508 06:05:08,001 --> 06:05:09,000 AND WHILE IT IS TRUE THAT THE 5509 06:05:09,001 --> 06:05:12,000 FINANCIAL INSTITUTIONS, OF 5510 06:05:12,001 --> 06:05:13,000 COURSE, PAY FOR THE MONEY THAT 5511 06:05:13,001 --> 06:05:15,000 GOES -- OR SUPPLY THE MONEY THAT 5512 06:05:15,001 --> 06:05:17,000 GOES INTO THAT FUND, WE ALL KNOW 5513 06:05:17,001 --> 06:05:18,000 WHERE THE MONEY EVENTUALLY IS -- 5514 06:05:18,001 --> 06:05:20,000 IS PAID. 5515 06:05:20,001 --> 06:05:22,000 THE COSTS ARE PASSED ON TO THE CONSUMERS. 5516 06:05:22,001 --> 06:05:24,000 BUT THAT'S NOT THE REAL PROBLEM HERE. 5517 06:05:24,001 --> 06:05:27,000 BECAUSE THERE ARE OTHER FUNDS IN 5518 06:05:27,001 --> 06:05:29,000 WHICH, LIKE THE FDIC FUND, FOR 5519 06:05:29,001 --> 06:05:30,000 EXAMPLE, WHICH THE BANKS 5520 06:05:30,001 --> 06:05:33,000 OBVIOUSLY PASS ON TO THEIR 5521 06:05:33,001 --> 06:05:36,000 CONSUMERS IN ORDER TO HAVE AN 5522 06:05:36,001 --> 06:05:38,000 ABILITY TO TAKE CARE OF THEIR 5523 06:05:38,001 --> 06:05:40,000 EXPENSES TO CREDITORS SHOULD 5524 06:05:40,001 --> 06:05:41,000 THEY NOT BE ABLE TO DO SO. 5525 06:05:41,001 --> 06:05:44,000 BUT WHA 5526 06:05:44,001 --> 06:05:46,000 JUST CREATE THIS $50 BILLION 5527 06:05:46,001 --> 06:05:48,000 FUND, BUT CONTINUING GOVERNMENT 5528 06:05:48,001 --> 06:05:50,000 OBLIGATIONS BEYOND THAT AND IT 5529 06:05:50,001 --> 06:05:51,000 PROVIDES NOT AN ORDERLY 5530 06:05:51,001 --> 06:05:53,000 BANKRUPTCY TYPE OF PROCEDURE FOR 5531 06:05:53,001 --> 06:05:56,000 THE RESOLUTION OF A FAILED 5532 06:05:56,001 --> 06:05:57,000 COMPANY, BUT RATHER AN AD HOC 5533 06:05:57,001 --> 06:05:59,000 PROCEDURE DETERMINED BY 5534 06:05:59,001 --> 06:06:00,000 BUREAUATS WHO ARE NOT 5535 06:06:00,001 --> 06:06:02,000 ACCOUNTABLE TO ANYBODY AND WHO 5536 06:06:02,001 --> 06:06:04,000 CAN APPLY PRETTY MUCH ANY RULE 5537 06:06:04,001 --> 06:06:06,000 THEY WANT TO THE WINDINGOWN OF THE INSTITUTION. 5538 06:06:06,001 --> 06:06:07,000 NOW, W 5539 06:06:07,001 --> 06:06:09,000 TODAY, AND FRANKLY IT'S BEEN 5540 06:06:09,001 --> 06:06:13,000 THIS WAY FOR TWO CENTURIES, WE 5541 06:06:13,001 --> 06:06:14,000 HAVE A SERIES OF LAWS THAT 5542 06:06:14,001 --> 06:06:15,000 DICTATE WHAT HAPPENS IN THE 5543 06:06:15,001 --> 06:06:16,000 EVENT OF THE FAILURE OF A 5544 06:06:16,001 --> 06:06:18,000 COMPANY. 5545 06:06:18,001 --> 06:06:19,000 PRIMARILY THESE ARE OUR 5546 06:06:19,001 --> 06:06:21,000 BANKRUPTCY LAWS. 5547 06:06:21,001 --> 06:06:22,000 AND YOU KNOW IN ADVANCE WHAT 5548 06:06:22,001 --> 06:06:23,000 HAPPENS. 5549 06:06:23,001 --> 06:06:25,000 IF YOU ARE A COMPANY THAT CAN'T 5550 06:06:25,001 --> 06:06:27,000 MAKE IT AND YOU GO BANKRUPT, 5551 06:06:27,001 --> 06:06:29,000 THERE ARE TWO BASIC WAYS THAT 5552 06:06:29,001 --> 06:06:31,000 YOU CAN 5553 06:06:31,001 --> 06:06:33,000 ONE WHERE YOU LIQUIDATE AND THE 5554 06:06:33,001 --> 06:06:35,000 OTHER WHERE YOU REORGANIZE. 5555 06:06:35,001 --> 06:06:38,000 IN THOSE TWO 5556 06:06:38,001 --> 06:06:39,000 THRIVES WHAT HAPPENS TO YOUR CREDITORS. 5557 06:06:39,001 --> 06:06:41,000 BANKRUPTCYY DEFINITION MEANS 5558 06:06:41,001 --> 06:06:42,000 YOU CAN'T PAY ALL YOUR DEBTS. 5559 06:06:42,001 --> 06:06:44,000 ALL 5560 06:06:44,001 --> 06:06:46,000 SO WHO GETS PD AND WHO DOESN'T 5561 06:06:46,001 --> 06:06:47,000 AND HOW MUCH DO 5562 06:06:47,001 --> 06:06:49,000 AND IN WHAT ORDER? 5563 06:06:49,001 --> 06:06:51,000 ALL THAT IS RESOLVED BY THE 5564 06:06:51,001 --> 06:06:53,000 BANKRUPTCY LAWS AND BY THE BODY 5565 06:06:53,001 --> 06:06:55,000 OF LAWS THAT BUILT UP AS 5566 06:06:55,001 --> 06:06:56,000 PRECEDENT IN THE BANKRUPTCY COURTS. 5567 06:06:56,001 --> 06:06:58,000 THAT'S WHY YOU KNOW 5568 06:06:58,001 --> 06:07:01,000 EITHER LEND MONEY TO AN 5569 06:07:01,001 --> 06:07:03,000 INSTITUTION OR YOU INVEST IN 5570 06:07:03,001 --> 06:07:06,000 IN EQUIT INVESTMENTS, YOU HAVE 5571 06:07:06,001 --> 06:07:08,000 AN IDEA OF WHERE YOU STAND, 5572 06:07:08,001 --> 06:07:11,000 LOAN OR INVESTMENT EQUITY STANDS 5573 06:07:11,001 --> 06:07:12,000 IN YOUR LOAN IF THE ENTITY 5574 06:07:12,001 --> 06:07:14,000 FAILS. 5575 06:07:14,001 --> 06:07:16,000 FOR EXAM, A 5576 06:07:16,001 --> 06:07:18,000 WOULD BE HIGH ON THE LIST. SECURITY MEANS YOU HAVE 5577 06:07:18,001 --> 06:07:19,000 SOMETHING TO FALL BACK ON TO 5578 06:07:19,001 --> 06:07:20,000 TAKE FROM THE COMPANY IF THEY 5579 06:07:20,001 --> 06:07:22,000 CAN'T PAY THEIR DEBT TO YOU. 5580 06:07:22,001 --> 06:07:23,000 AS A RESULT, YOU CAN 5581 06:07:23,001 --> 06:07:25,000 MONEY AT A LOWER RATE BECSE 5582 06:07:25,001 --> 06:07:26,000 YOU DON'T HAVE TO ACCOUNT FOR 5583 06:07:26,001 --> 06:07:27,000 THAT RISK WHEN YOU LEND THE 5584 06:07:27,001 --> 06:07:29,000 MONEY. 5585 06:07:29,001 --> 06:07:30,000 IT'S A GOOD WAY FOR COMPANIES TO 5586 06:07:30,001 --> 06:07:32,000 BORROW MONEY. 5587 06:07:32,001 --> 06:07:33,000 NOW, GRANTED THEY -- THEY HAVE 5588 06:07:33,001 --> 06:07:35,000 TO HAVE SOMETHING THAT BACKS IT UP. 5589 06:07:35,001 --> 06:07:37,000 SOMETIMES IT'S EVEN A PERSONAL 5590 06:07:37,001 --> 06:07:39,000 GUARANTEE OF THE C.E.O. OF COMPANY. 5591 06:07:39,001 --> 06:07:41,000 BUT YOU GET AT PRETTY CHEAP LOAN 5592 06:07:41,001 --> 06:07:42,000 THAT WAY BECAUSE THE LDER 5593 06:07:42,001 --> 06:07:43,000 KNOWS THAT HE OR IT IS GOING TO 5594 06:07:43,001 --> 06:07:46,000 GET HIS MONEY BACK. 5595 06:07:46,001 --> 06:07:48,000 BY THE SAME 5596 06:07:48,001 --> 06:07:50,000 MONEY PRETTY BADLY AND YOU DON'T 5597 06:07:50,001 --> 06:07:52,000 HAVE ANYMORE SECURITY, YOU MIGHT 5598 06:07:52,001 --> 06:07:54,000 WANT TO ASK PEOPLE TO INVEST IN 5599 06:07:54,001 --> 06:07:56,000 YOUR COMPANY OR TO BORROW MONEY 5600 06:07:56,001 --> 06:07:58,000 ON AN UNSECURED BASIS, WELL, 5601 06:07:58,001 --> 06:08:00,000 YOU'RE GOING TO GET CHARGED A 5602 06:08:00,001 --> 06:08:01,000 HIGHER RATE OF INTEREST ON THAT 5603 06:08:01,001 --> 06:08:04,000 BECAUSE THERE'S MORE RISK TO THE 5604 06:08:04,001 --> 06:08:05,000 INVESTOR OR TO THE LENDER. 5605 06:08:05,001 --> 06:08:08,000 WHERE THEY STAND IN THE EVENT 5606 06:08:08,001 --> 06:08:10,000 THAT YOU CAN'T MAKE IT OR YOU FOLD. 5607 06:08:10,001 --> 06:08:13,000 WHAT THIS BILL DOES IS TO 5608 06:08:13,001 --> 06:08:16,000 SUBSTITUTE AN UNKNOWN, 5609 06:08:16,001 --> 06:08:19,000 PROCESS FOR THE TRIED AND TRUE 5610 06:08:19,001 --> 06:08:21,000 NOW, NOBODY IS SUGGESTING THAT 5611 06:08:21,001 --> 06:08:23,000 THERE COULDN'T BE SOME 5612 06:08:23,001 --> 06:08:24,000 MODIFICATION OF THE BANKRUPTCY 5613 06:08:24,001 --> 06:08:26,000 PROCESS OR RULES THAT MIGHT 5614 06:08:26,001 --> 06:08:29,000 GOVERN THESE PARTICULAR INSTITUTIONS. 5615 06:08:29,001 --> 06:08:31,000 THEY ARE UNIQUE INSTITUTIONS 5616 06:08:31,001 --> 06:08:33,000 SOME RESPECTS AND TO THE EXTENT 5617 06:08:33,001 --> 06:08:36,000 THAT THE RULES SHOULD BE 5618 06:08:36,001 --> 06:08:37,000 TAILERRED IN ORDER TO FIT THESE 5619 06:08:37,001 --> 06:08:41,000 CIRCUMSTANCES, THEY COULD BE. 5620 06:08:41,001 --> 06:08:42,000 THIS LEGISLATION. 5621 06:08:42,001 --> 06:08:43,000 INSTEAD NEW ENTITIES ARE 5622 06:08:43,001 --> 06:08:45,000 CREATED. 5623 06:08:45,001 --> 06:08:47,000 BUREAUCRATS ARE ALLOWED TO 5624 06:08:47,001 --> 06:08:50,000 DECI 5625 06:08:50,001 --> 06:08:51,000 DESTABILIZE THE MARKETS AND, 5626 06:08:51,001 --> 06:08:54,000 THEREFORE, DECIDE WHAT TO DO ABOUT IT. 5627 06:08:54,001 --> 06:08:55,000 AND THEIR RANGE OF 5628 06:08:55,001 --> 06:08:57,000 ESSENTIALLY, UNLIMITED. 5629 06:08:57,001 --> 06:08:58,000 THE BOTTOM LINE IS THAT 5630 06:08:58,001 --> 06:09:01,000 TAXPAYERS COULD BE ON THE HOOK 5631 06:09:01,001 --> 06:09:03,000 FOR THE BAILOUT. 5632 06:09:03,001 --> 06:09:06,000 THAT'S TRUE WITH THE FDIC. 5633 06:09:06,001 --> 06:09:08,000 IT'S TRUE WITH THE FED AND THIS 5634 06:09:08,001 --> 06:09:09,000 BILL HAS SPECIFIC LANGUAGE IN I 5635 06:09:09,001 --> 06:09:11,000 THAT PROVIDES FOR T 5636 06:09:11,001 --> 06:09:13,000 THERE ARE THOSE WHO SAY WHY NOT 5637 06:09:13,001 --> 06:09:15,000 GET RID OF THE $50 BILLION FUND 5638 06:09:15,001 --> 06:09:17,000 AND THE PROBLEM WILL GO AWAY. 5639 06:09:17,001 --> 06:09:18,000 NO, THE PROBLEM DOESN'T GO AWAY 5640 06:09:18,001 --> 06:09:19,000 NOTICE YOU CORRECT THAT OTHER 5641 06:09:19,001 --> 06:09:22,000 LANGUAGE AS WELL. 5642 06:09:22,001 --> 06:09:26,000 I WILL NOT TRY TO SUBSTITUTE MY 5643 06:09:26,001 --> 06:09:28,000 JUDG 5644 06:09:28,001 --> 06:09:32,000 WE NEED THE $50 BILLION FUND. 5645 06:09:32,001 --> 06:09:35,000 I WILL SAY THAT FUND -- THAT, 5646 06:09:35,001 --> 06:09:37,000 E, WL 5647 06:09:37,001 --> 06:09:40,000 INSTABILITY IN THE MARKET. 5648 06:09:40,001 --> 06:09:41,000 HAVE AN IMPLICIT GUARANTEE FROM 5649 06:09:41,001 --> 06:09:43,000 THE FUND ARE MORE LIKELY TO 5650 06:09:43,001 --> 06:09:45,000 RECEIVE CREDIT, 5651 06:09:45,001 --> 06:09:47,000 A LOWER RATE BECAUSE THERE'S 5652 06:09:47,001 --> 06:09:50,000 MORE OF AN INSURANCE THAT THE 5653 06:09:50,001 --> 06:09:51,000 LENDER OR EQUITY INVESTOR WILL 5654 06:09:51,001 --> 06:09:53,000 GET MONEY BACK. 5655 06:09:53,001 --> 06:09:55,000 THERE ARE DOWNSIDES TO THIS FUND. 5656 06:09:55,001 --> 06:09:57,000 BUT LEAVE THOSE ASIDE IF YOU 5657 06:09:57,001 --> 06:09:59,000 WANT TO DO AWAY WITH THE FUND, OK. 5658 06:09:59,001 --> 06:10:01,000 IF YOU WANT TO KEEP THE FUND, OK. 5659 06:10:01,001 --> 06:10:03,000 BUT WHAT YOU SHOULDN'T DO IS 5660 06:10:03,001 --> 06:10:04,000 PROVIDE THAT BEYOND THAT THE 5661 06:10:04,001 --> 06:10:06,000 TAXP 5662 06:10:06,001 --> 06:10:09,000 HERE'S THE PROBLEM, LEHMAN 5663 06:10:09,001 --> 06:10:11,000 BROTHERS I'M TOLD IS WELL OVER 5664 06:10:11,001 --> 06:10:13,000 00 BILLION IN -- $600 BILLION IN 5665 06:10:13,001 --> 06:10:15,000 LIABILITIES AND 5666 06:10:15,001 --> 06:10:18,000 FUND DOES NOT GO A LONG WAY 5667 06:10:18,001 --> 06:10:21,000 TOWARD RESOLVING A $600 BILLION LIABILITY. 5668 06:10:21,001 --> 06:10:22,000 IN THE CASE OF FANNIE MAE AND 5669 06:10:22,001 --> 06:10:25,000 FREDDIE MAC WHO AREN'T EVEN 5670 06:10:25,001 --> 06:10:26,000 DEALT WITH IN THIS LEGISLATION, 5671 06:10:26,001 --> 06:10:29,000 EN THOUGH THEY WERE THE PRIME 5672 06:10:29,001 --> 06:10:30,000 CAUSES OF THIS PROBLEM -- BY THE 5673 06:10:30,001 --> 06:10:31,000 WAY THAT'S A DEFICIENCY IN THE 5674 06:10:31,001 --> 06:10:33,000 LAW THAT NEEDS TO BE CORRECTED. 5675 06:10:33,001 --> 06:10:34,000 I HOPE THESE NEGOTIATIONS WILL 5676 06:10:34,001 --> 06:10:37,000 REGARD. 5677 06:10:37,001 --> 06:10:40,000 BUT THEY HAVE NOW CREATED -- IT 5678 06:10:40,001 --> 06:10:41,000 IS ABOUT $6.3 TRILLION IN 5679 06:10:41,001 --> 06:10:44,000 OBLIGATIONS. 5680 06:10:44,001 --> 06:10:45,000 AND GUESS WHO IS ON THE HOOK FOR 5681 06:10:45,001 --> 06:10:47,000 THOSE OBLIGATIONINGS? 5682 06:10:47,001 --> 06:10:48,000 CONGRESS NEVER PASSED A LAW TO 5683 06:10:48,001 --> 06:10:50,000 SAY THAT TAXPAYERS WOULD BE ON 5684 06:10:50,001 --> 06:10:51,000 THE HOOK. 5685 06:10:51,001 --> 06:10:53,000 BUT THAT'S THE RESULT OF THE 5686 06:10:53,001 --> 06:10:54,000 ACTION TAKEN BY THE BUREAUCRATS 5687 06:10:54,001 --> 06:10:56,000 WHO DECIDE THESE MATTERS NOW. 5688 06:10:56,001 --> 06:10:58,000 I DON'T WANT TO CREATE A 5689 06:10:58,001 --> 06:11:00,000 PERPETUAL SITUATION WHERE NOT 5690 06:11:00,001 --> 06:11:01,000 CONGRESS, NOT THE COURTS, BUT 5691 06:11:01,001 --> 06:11:05,000 BUREAUCRATS -- AND, BY THE WAY, 5692 06:11:05,001 --> 06:11:06,000 I DON'T USE THAT TERM 5693 06:11:06,001 --> 06:11:08,000 PEJORATIVELY. GOVERNMENT OFFICIALS. 5694 06:11:08,001 --> 06:11:09,000 LET'S USE THAT 5695 06:11:09,001 --> 06:11:12,000 GOVERNMENT OFF 5696 06:11:12,001 --> 06:11:14,000 GIVE THE POWER TO, SIMPLY 5697 06:11:14,001 --> 06:11:16,000 DECIDES WHO GETS BAILED OUT, 5698 06:11:16,001 --> 06:11:18,000 WHEN, UNDER WHAT CIRCUMSTANCES 5699 06:11:18,001 --> 06:11:20,000 WHO GETS PAID BACK AND WHO 5700 06:11:20,001 --> 06:11:22,000 DOESN'T GET PAID AND 5701 06:11:22,001 --> 06:11:24,000 MUCH IT WILL COST THE TAXPAYERS. 5702 06:11:24,001 --> 06:11:27,000 THAT IS PROVIDED FOR I LEGISLATION. 5703 06:11:27,001 --> 06:11:29,000 SO WHEN THEY SAY THAT THIS BILL 5704 06:11:29,001 --> 06:11:31,000 NEEDS TO PASS BECAUSE IT ENDS 5705 06:11:31,001 --> 06:11:33,000 TOO BIG TO FAIL, IT DOESN'T. 5706 06:11:33,001 --> 06:11:34,000 THE TAXPAYERS ARE STILL ON THE 5707 06:11:34,001 --> 06:11:38,000 HOOK. 5708 06:11:38,001 --> 06:11:39,000 IF THOSE -- IF THAT IS FIXED, MY 5709 06:11:39,001 --> 06:11:42,000 CRITICISMS IN THAT RESPECT GOES AWAY. 5710 06:11:42,001 --> 06:11:44,000 WE HAVE NOT HEARD THAT THAT'S WHAT'S BEING DONE. 5711 06:11:44,001 --> 06:11:47,000 I TOLD MY COLLEAGUES DON'T COME 5712 06:11:47,001 --> 06:11:49,000 TO THE FLOOR THAT SAYS THIS IS A 5713 06:11:49,001 --> 06:11:50,000 GREAT BILL, IT ENDS TOO BIG TO 5714 06:11:50,001 --> 06:11:51,000 FAIL, AND THAT THERE'SOTHING 5715 06:11:51,001 --> 06:11:53,000 WRONG WITH IT. 5716 06:11:53,001 --> 06:11:54,000 THERE ARE THINGS WRONG WITH IT 5717 06:11:54,001 --> 06:11:56,000 THAT NEED TO BE FIXED. 5718 06:11:56,001 --> 06:11:58,000 I WOULD ASSUME ON A BIPARTISAN 5719 06:11:58,001 --> 06:12:00,000 BASIS IF YOU ASK THE ABSTRACT 5720 06:12:00,001 --> 06:12:02,000 QUESTION OF EVERY 100 OF THE 5721 06:12:02,001 --> 06:12:04,000 SENATORS, DO YOU THINK WE OUGHT 5722 06:12:04,001 --> 06:12:07,000 TO END TOO BIG TO FAIL. 5723 06:12:07,001 --> 06:12:09,000 YES WOULD BE THE ANSWER. 5724 06:12:09,001 --> 06:12:11,000 ASK OUR -- THE ANSWER WOULD BE YES. 5725 06:12:11,001 --> 06:12:13,000 WHAT ABOUT THE LANGUAGE IN THE 5726 06:12:13,001 --> 06:12:15,000 BILL -- QUOTE --"THE FDIC WILL 5727 06:12:15,001 --> 06:12:16,000 GUARANTEE THE OBLIGATION OF 5728 06:12:16,001 --> 06:12:17,000 BANKS UNDER CERTAIN 5729 06:12:17,001 --> 06:12:19,000 CIRCUMSTANCES. 5730 06:12:19,001 --> 06:12:23,000 THAT'S LANGUAGE THAT HAS GOT TO 5731 06:12:23,001 --> 06:12:24,000 BE CAREFULLY EITHER DEFINED, 5732 06:12:24,001 --> 06:12:26,000 LIMITED, OR ELIMINATED OR WE'RE 5733 06:12:26,001 --> 06:12:28,000 GOING TO HAVE TAXPAYERS CONTINUE 5734 06:12:28,001 --> 06:12:30,000 TO BE ON -- ON THE HOOK FOR 5735 06:12:30,001 --> 06:12:31,000 THESE OBLIGATIONS. 5736 06:12:31,001 --> 06:12:33,000 LIKE I SAID, WE HAVEN'T DONE 5737 06:12:33,001 --> 06:12:35,000 ANYTHING TO F 5738 06:12:35,001 --> 06:12:36,000 IN THE LEGISLATION AND THAT IS 5739 06:12:36,001 --> 06:12:38,000 GOING TO MEAN A CONTINUING 5740 06:12:38,001 --> 06:12:42,000 TAXPAYER OBLIGATION AS WELL. 5741 06:12:42,001 --> 06:12:43,000 AS I 5742 06:12:43,001 --> 06:12:46,000 FIRMS, THE ONES DEEMED TOO BIG 5743 06:12:46,001 --> 06:12:47,000 TO FAIL, HAVE A -- AN ADVANTAGE 5744 06:12:47,001 --> 06:12:48,000 OVER THE SMALLER BANKS, THE 5745 06:12:48,001 --> 06:12:49,000 COMMUNITY BANKS. 5746 06:12:49,001 --> 06:12:50,000 MY COLLEAGUE JUST MENTIONED 5747 06:12:50,001 --> 06:12:52,000 THOSE A MOMENT AGO. 5748 06:12:52,001 --> 06:12:53,000 WE MET WITH THE COMMUNITY BANK 5749 06:12:53,001 --> 06:12:55,000 REPRESENTATIVES IN ARIZONA, AND 5750 06:12:55,001 --> 06:12:58,000 THEY FEAR THAT THIS KIND OF 5751 06:12:58,001 --> 06:13:01,000 PROVISION WILL MAKE TM 5752 06:13:01,001 --> 06:13:03,000 UNCOMPETITIVE VIS-A-VIS THE BIG 5753 06:13:03,001 --> 06:13:05,000 BOYS AND WHAT WILL HAPPEN IS WE 5754 06:13:05,001 --> 06:13:07,000 WILL END UP WITH A FEW REALLY 5755 06:13:07,001 --> 06:13:09,000 BIG BANKS AND SOME 5756 06:13:09,001 --> 06:13:11,000 OF A MEDIUM-SIZED OPERATION AND 5757 06:13:11,001 --> 06:13:13,000 ALMOST ALL OF THE SMALLER BANKS 5758 06:13:13,001 --> 06:13:14,000 HAVING TO GO OUT OF BUSINESS 5759 06:13:14,001 --> 06:13:15,000 BECAUSE OF THIS 5760 06:13:15,001 --> 06:13:17,000 ANTICOMPETITIVENESS THAT WILL 5761 06:13:17,001 --> 06:13:19,000 RESULT FROM THE LEGISLATION. 5762 06:13:19,001 --> 06:13:20,000 NOW, ONE OF THE OTHER WAYS IN 5763 06:13:20,001 --> 06:13:23,000 WHICH WHAT I'VE BEEN 5764 06:13:23,001 --> 06:13:26,000 ABOUT OCC 5765 06:13:26,001 --> 06:13:27,000 113, THE SO-CALLED FINANCIAL 5766 06:13:27,001 --> 06:13:29,000 STABILITY OVERSIGHT COUNCIL. 5767 06:13:29,001 --> 06:13:33,000 THIS IS ONE OF THESE ENTITIES 5768 06:13:33,001 --> 06:13:36,000 THAT ALLOWS FOR BAILOUT. 5769 06:13:36,001 --> 06:13:38,000 GIVES THE AUTHORITY OF THIS 5770 06:13:38,001 --> 06:13:40,000 NEW -- 5771 06:13:40,001 --> 06:13:41,000 DEEMS TO BE A THREAT 5772 06:13:41,001 --> 06:13:43,000 STABILITY IN OUR ECONOMY. 5773 06:13:43,001 --> 06:13:45,000 THIS IS A BOARD BASED IN WASHINGTON. 5774 06:13:45,001 --> 06:13:46,000 IT DECIDES WHICH INSTITUTIONS 5775 06:13:46,001 --> 06:13:48,000 GETS SPECIAL TREATMENT. 5776 06:13:48,001 --> 06:13:50,000 IT GIVES THESE BUREAUCRATS 5777 06:13:50,001 --> 06:13:52,000 TREMENDOUS LATITUDE TO PICK 5778 06:13:52,001 --> 06:13:54,000 WINNERS AND LOSERS, AGAIN 5779 06:13:54,001 --> 06:13:55,000 RESULTING IN A COMPETITIVE 5780 06:13:55,001 --> 06:13:56,000 ADVANTAGE AND DISADVANTAGE. 5781 06:13:56,001 --> 06:13:59,000 WHAT DETERMINES WHETHER A 5782 06:13:59,001 --> 06:14:00,000 NONBANK IS A THREAT TO 5783 06:14:00,001 --> 06:14:04,000 STAIBILITIY? 5784 06:14:04,001 --> 06:14:05,000 WHAT ARE THE CRITERIA. 5785 06:14:05,001 --> 06:14:08,000 AND I QUOTE -- "ANY OTHER 5786 06:14:08,001 --> 06:14:09,000 FACTORS THAT THE COUNCIL DEEMS 5787 06:14:09,001 --> 06:14:12,000 APPROPRIATE." 5788 06:14:12,001 --> 06:14:13,000 THAT'S PRETTY MUCH AN OPEN BOOK. 5789 06:14:13,001 --> 06:14:15,000 "ANY OTHER FACTORS THAT THE 5790 06:14:15,001 --> 06:14:16,000 COUNCIL DEEMS APPROPRIATE." 5791 06:14:16,001 --> 06:14:19,000 I WOULD THINK THAT IF THE 5792 06:14:19,001 --> 06:14:20,000 CONGRESS 5793 06:14:20,001 --> 06:14:22,000 THIS VERY COMPLEX AND DIFFICULT 5794 06:14:22,001 --> 06:14:23,000 AREA, WE WOULD TRY TO GIVE VERY 5795 06:14:23,001 --> 06:14:26,000 SPECIFIC DIRECTION TO THE 5796 06:14:26,001 --> 06:14:28,000 FEDERAL AUTHORITIES TO 5797 06:14:28,001 --> 06:14:30,000 GIVE GREAT POWER AS TO HOW WE 5798 06:14:30,001 --> 06:14:33,000 WANT IT EXERCISED. 5799 06:14:33,001 --> 06:14:34,000 I DON'T THINK THIS IS IT. 5800 06:14:34,001 --> 06:14:35,000 TAKE TOWFT BUILT. 5801 06:14:35,001 --> 06:14:36,000 LET'SAVE A BIPARTISAN 5802 06:14:36,001 --> 06:14:39,000 NEGOTIATION TO DO THAT. 5803 06:14:39,001 --> 06:14:40,000 IF SOMEBODY CAN DEMONSTRATE WHY 5804 06:14:40,001 --> 06:14:41,000 THAT HAS TO BE LEFT IN, THEN 5805 06:14:41,001 --> 06:14:42,000 GREAT. 5806 06:14:42,001 --> 06:14:43,000 THESE ARE THE KIND OF THINGS 5807 06:14:43,001 --> 06:14:45,000 THAT LEAD ME TO THE CONCLUSION 5808 06:14:45,001 --> 06:14:47,000 THAT, NO, WE SHOULD NOT AGREE TO 5809 06:14:47,001 --> 06:14:49,000 CONSIDER THE BILL THAT CAME OUT 5810 06:14:49,001 --> 06:14:51,000 OF THE BANKING COMMITTEE ON A 5811 06:14:51,001 --> 06:14:53,000 PURELY PARTISAN BASIS BECAUSE 5812 06:14:53,001 --> 06:14:54,000 THERE ARE PROBLEMS IN IN IT. 5813 06:14:54,001 --> 06:14:56,000 THTHE WALL STREET JOURNAL SAY 5814 06:14:56,001 --> 06:14:58,000 THAT'S THE DODD BILL ALLOWS TOO 5815 06:14:58,001 --> 06:14:59,000 MUCH DISCRETION TO ALLOW 5816 06:14:59,001 --> 06:15:02,000 REGULATORS TO DETERMINE WHICH 5817 06:15:02,001 --> 06:15:03,000 FIRMS TO REGULATE AND HOW AND 5818 06:15:03,001 --> 06:15:04,000 WHICH CREDITORS TO REWARD AND 5819 06:15:04,001 --> 06:15:07,000 HOW. 5820 06:15:07,001 --> 06:15:08,000 EXACTLY WHAT y 5821 06:15:08,001 --> 06:15:09,000 -- WHAT I WAS JUST SAYING, 5822 06:15:09,001 --> 06:15:12,000 MR. PRESIDENT. 5823 06:15:12,001 --> 06:15:14,000 IT GOES ON TO CON CLOUD -- "THE 5824 06:15:14,001 --> 06:15:16,000 DODD BILL SUBJECT TO OTHER 5825 06:15:16,001 --> 06:15:17,000 EXECUTIVE APPROVAL, BEYOND 5826 06:15:17,001 --> 06:15:19,000 DEPOSIT-TANG INSTITUTIONS, TO 5827 06:15:19,001 --> 06:15:21,000 ANY FINANCIAL COMPANY DEEMED TO 5828 06:15:21,001 --> 06:15:24,000 BE SYSTEMICCALLY IMPORTANT, AND 5829 06:15:24,001 --> 06:15:25,000 IT GIVES THE FDIC THE DISCRETION 5830 06:15:25,001 --> 06:15:27,000 TO DISCRIMINATE AMONG CREDITORS 5831 06:15:27,001 --> 06:15:30,000 AS IT JUDGES WHO GETS?? PAID WHAT 5832 06:15:30,001 --> 06:15:32,000 AS A PART OF A RESOLUTION. 5833 06:15:32,001 --> 06:15:34,000 RECALL, THE GENERAL SAYS, HOW 5834 06:15:34,001 --> 06:15:35,000 THE WHITE HOUSE EXPLOITED ITS 5835 06:15:35,001 --> 06:15:37,000 AUTHORITY UNDER TARP TO TRASH 5836 06:15:37,001 --> 06:15:39,000 CHRYSLER'S CREDITORS AND GIVE 5837 06:15:39,001 --> 06:15:40,000 UNIONS A BETTER DEAL." 5838 06:15:40,001 --> 06:15:42,000 END OF QUOTE. 5839 06:15:42,001 --> 06:15:43,000 NOW, THAT'S NOT THE ONLY 5840 06:15:43,001 --> 06:15:44,000 SECTION. 5841 06:15:44,001 --> 06:15:47,000 SECTION 1155 OF THE BILL IS 5842 06:15:47,001 --> 06:15:48,000 ENTITLED "EMERGENCY FINANCIAL 5843 06:15:48,001 --> 06:15:50,000 STABILIZATION." 5844 06:15:50,001 --> 06:15:52,000 THIS IS ANOTHER WAY IN WHICH THE 5845 06:15:52,001 --> 06:15:54,000 BILL GUARANTEES BAILOUTS AND 5846 06:15:54,001 --> 06:15:55,000 PUTS THEM INTO THE LAW AND 5847 06:15:55,001 --> 06:15:56,000 LEAVES THE TAXPAYERS ON THE 5848 06:15:56,001 --> 06:15:58,000 HOOK. 5849 06:15:58,001 --> 06:16:00,000 UNDER THIS SECTION, THE FDIC 5850 06:16:00,001 --> 06:16:02,000 WOULD BE ALLOWED TO CREATE A NEW 5851 06:16:02,001 --> 06:16:04,000 PROGRAM OF UNLIMITED SIZE TO 5852 06:16:04,001 --> 06:16:05,000 GUARANTEE THE OBLIGATIONS OF 5853 06:16:05,001 --> 06:16:07,000 DEPOSITORIES AND HOLDING 5854 06:16:07,001 --> 06:16:09,000 COMPANIES WITH DEPOSITORIES. 5855 06:16:09,001 --> 06:16:10,000 WHAT DOES THIS MEAN? 5856 06:16:10,001 --> 06:16:11,000 SINCE THERE IS NO REQUIREMENT 5857 06:16:11,001 --> 06:16:13,000 THAT A COMPANY THAT RECEIVES 5858 06:16:13,001 --> 06:16:15,000 GUARANTEES AND DEFAULTS ON ITS 5859 06:16:15,001 --> 06:16:17,000 OBLIGATIONS BE TAKEN INTO AN 5860 06:16:17,001 --> 06:16:20,000 FDIC RECEIVERSHIP, BANKRUPTCY OR 5861 06:16:20,001 --> 06:16:21,000 RESOLUTION, THE FDIC AND 5862 06:16:21,001 --> 06:16:23,000 TREASURY CAN PROP UP WHATEVER 5863 06:16:23,001 --> 06:16:24,000 COMPANY IT CHOOSES. 5864 06:16:24,001 --> 06:16:25,000 THIS AUTHORITY CAN BE EXERCISED 5865 06:16:25,001 --> 06:16:26,000 WITHOUT CONGRESSIONAL APPROVAL. 5866 06:16:26,001 --> 06:16:27,000 IT'S ONE OF THE REASONS WHY I 5867 06:16:27,001 --> 06:16:30,000 HAVE SAID I THINK THERE NEEDS TO 5868 06:16:30,001 --> 06:16:31,000 BE SOME -- SOME ELEMENT OF 5869 06:16:31,001 --> 06:16:36,000 BANKRUPTCY OR OTHER PROCESS 5870 06:16:36,001 --> 06:16:37,000 PRIOR TO THE INSTIGATION OF THIS 5871 06:16:37,001 --> 06:16:39,000 PARTICULAR KIND OF AUTHORITY. 5872 06:16:39,001 --> 06:16:41,000 YOU CAN'T SAY THAT THIS BILL 5873 06:16:41,001 --> 06:16:43,000 ENDS TAXPAYER BAILOUTS AS LONG 5874 06:16:43,001 --> 06:16:44,000 AS YOU HAVE GOT ALL OF THESE 5875 06:16:44,001 --> 06:16:46,000 SECTIONS IN IT. 5876 06:16:46,001 --> 06:16:48,000 NOW, FINALLY, THERE IS MUCH SAID 5877 06:16:48,001 --> 06:16:49,000 ABOUT CONSUMER P 5878 06:16:49,001 --> 06:16:50,000 DOES ANYBODY KNOW ANYBODY THAT 5879 06:16:50,001 --> 06:16:51,000 DOESN'T FAVOR CONSUMER 5880 06:16:51,001 --> 06:16:52,000 OTECTION? 5881 06:16:52,001 --> 06:16:54,000 I THINK WE ALL DO. 5882 06:16:54,001 --> 06:16:55,000 THERE ARE QUESTIONS ABOUT HOW TO 5883 06:16:55,001 --> 06:16:57,000 INTELL 5884 06:16:57,001 --> 06:16:59,000 YOU CAN CREATE A LOT MORE COST 5885 06:16:59,001 --> 06:17:01,000 TO CONSUMERS IF YOU MAKE THE 5886 06:17:01,001 --> 06:17:02,000 REGULATIONS SO COSTLY AND 5887 06:17:02,001 --> 06:17:03,000 INEFFICIENT THAT THEY END UP 5888 06:17:03,001 --> 06:17:04,000 PAYING MORE MONEY THAN THEY 5889 06:17:04,001 --> 06:17:06,000 WOULD HAVE OTHERWISE, AND THAT 5890 06:17:06,001 --> 06:17:07,000 IS I FEAR WHAT COULD HPEN HERE. 5891 06:17:07,001 --> 06:17:09,000 IT HAPPENED WITH THE CREDIT CARD 5892 06:17:09,001 --> 06:17:10,000 LEGISLATION WE PASSED. 5893 06:17:10,001 --> 06:17:12,000 IT'S PREDICTED I THINK THAT IT 5894 06:17:12,001 --> 06:17:13,000 CAN HAPPEN HERE AS 5895 06:17:13,001 --> 06:17:15,000 IT COULD EASILY HAPPEN WITH 5896 06:17:15,001 --> 06:17:16,000 BUSINESSES THAT WE DON'T EVEN 5897 06:17:16,001 --> 06:17:18,000 INTEND TO COVER. 5898 06:17:18,001 --> 06:17:19,000 I KNOW I HAVE HEARD FROM DENTAL 5899 06:17:19,001 --> 06:17:21,000 OFFICES AND CAR DEALERSHIPS. 5900 06:17:21,001 --> 06:17:23,000 WHEN YOU THINK ABOUT WALL STREET 5901 06:17:23,001 --> 06:17:25,000 BAILOUTS, YOU DON'T THINK ABOUT 5902 06:17:25,001 --> 06:17:26,000 YOUR NEXT DOOR NEIGHBOR WHO 5903 06:17:26,001 --> 06:17:28,000 SELLS CARS OR MAYBE YOUR 5904 06:17:28,001 --> 06:17:30,000 NEIGHBOR WHO IS A DENTIST, BUT 5905 06:17:30,001 --> 06:17:32,000 IF THEY HAVE AN INSTALLMENT PLAN 5906 06:17:32,001 --> 06:17:34,000 WHERE IT TAKES FOUR MONTHS -- 5907 06:17:34,001 --> 06:17:36,000 WHERE YOU CAN GET UP TO FOUR 5908 06:17:36,001 --> 06:17:37,000 MONTHS TO PAY YOUR BILL TO THEM, 5909 06:17:37,001 --> 06:17:38,000 BOOM, 5910 06:17:38,001 --> 06:17:40,000 PROVISIONS HERE. 5911 06:17:40,001 --> 06:17:42,000 AND THEN ALL OF THE CONSUMER 5912 06:17:42,001 --> 06:17:43,000 PROTECTIONS APPLY AND SO ON. 5913 06:17:43,001 --> 06:17:45,000 LET'S BE CAREFUL THA IN AN 5914 06:17:45,001 --> 06:17:46,000 EFFORT TO MAKE SURE THAT WALL 5915 06:17:46,001 --> 06:17:48,000 STREET HANDLES ITS AFFAIRS 5916 06:17:48,001 --> 06:17:49,000 PROPERLY, THAT WE DON'T IMPOSE 5917 06:17:49,001 --> 06:17:51,000 CONDITIONS ON MAIN STREET, THE 5918 06:17:51,001 --> 06:17:53,000 FOLKS THAT WE WOULD LIKE TO SEE 5919 06:17:53,001 --> 06:17:55,000 THRIVE, PARTICULARLY IN TIMES OF 5920 06:17:55,001 --> 06:17:57,000 RECESSION HERE, IN A WAY THAT 5921 06:17:57,001 --> 06:17:59,000 WOULD END UP EITHER 5922 06:17:59,001 --> 06:18:02,000 MORE EXPENSES OR AT WORST EVEN 5923 06:18:02,001 --> 06:18:04,000 MAKING THEM UNCOMPETIVE WITH 5924 06:18:04,001 --> 06:18:05,000 THESE SO-CALLED BIGGER GUYS. 5925 06:18:05,001 --> 06:18:07,000 RESTRAING CREDIT IS A BIG WAY 5926 06:18:07,001 --> 06:18:10,000 TO DO THIS, REQUIRING THAT THEY 5927 06:18:10,001 --> 06:18:12,000 HAVE TO APPLY CAPITAL N TO 5928 06:18:12,001 --> 06:18:16,000 BUILDING THEIR BUSINESSES BUT 5929 06:18:16,001 --> 06:18:18,000 SOMEHOW BACKING UP 5930 06:18:18,001 --> 06:18:20,000 THEIR CREDIT ISSUANCE EVEN 5931 06:18:20,001 --> 06:18:23,000 THOUGH THAT IS NOT THE MAIN PART 5932 06:18:23,001 --> 06:18:25,000 OF THEIR BUSINESS. 5933 06:18:25,001 --> 06:18:26,000 JUST QUOTING BRIEFLY HERE FROM 5934 06:18:26,001 --> 06:18:28,000 THE "NEW YORK POST"." 5935 06:18:28,001 --> 06:18:29,000 NEW RESTRICTION CREDIT ARE 5936 06:18:29,001 --> 06:18:33,000 LIKELY TO COST OUR ECONOMY TENS 5937 06:18:33,001 --> 06:18:35,000 OF T 5938 06:18:35,001 --> 06:18:36,000 REDUCTIONS IN CREDIT WHICH WOULD 5939 06:18:36,001 --> 06:18:37,000 RESULT HERE MEANS DECLINES IN 5940 06:18:37,001 --> 06:18:41,000 JOB C 5941 06:18:41,001 --> 06:18:44,000 A LOT OF SMALL BUSINESSES USE -- 5942 06:18:44,001 --> 06:18:45,000 IN FACT, START-UPS USE HOME 5943 06:18:45,001 --> 06:18:46,000 EQUITY DEBT OR CREDIT CARDS AS 5944 06:18:46,001 --> 06:18:49,000 THEIR SOURCE OF FUNDING. 5945 06:18:49,001 --> 06:18:51,000 THERE IS NOT A LOT OF HOME 5946 06:18:51,001 --> 06:18:54,000 EQUITY DEBT TO BE HAD THESE DAYS. 5947 06:18:54,001 --> 06:18:55,000 A LOT OF OUR HOMES ARE NOT 5948 06:18:55,001 --> 06:18:56,000 MORTGAGEABLE AT THE PRESENT 5949 06:18:56,001 --> 06:18:57,000 TIME, SO CREDIT CARDS ARE MAXED 5950 06:18:57,001 --> 06:18:59,000 OUT AND SO ON. 5951 06:18:59,001 --> 06:19:00,000 THAT'S A DIFFICULT WAY TO DO IT, 5952 06:19:00,001 --> 06:19:02,000 BUT YOU HAVE TO MAKE SURE IF 5953 06:19:02,001 --> 06:19:03,000 SMALL BUSINESSES ARE DOING THIS, 5954 06:19:03,001 --> 06:19:05,000 THAT THE CREDIT FLOWS ARE NOT 5955 06:19:05,001 --> 06:19:07,000 STOPPED BECAUSE OF PROVISIONS OF THIS BILL. 5956 06:19:07,001 --> 06:19:11,000 IN AN OP-ED IN THE "NEW YORK 5957 06:19:11,001 --> 06:19:13,000 POST" TODAY, MARK CALLABRIA 5958 06:19:13,001 --> 06:19:14,000 POINTED OUT -- "THE BURSTING OF 5959 06:19:14,001 --> 06:19:16,000 THE HOUSING BUBBLE LARGELY 5960 06:19:16,001 --> 06:19:17,000 ELIMINATED THE FIRST OPTION." 5961 06:19:17,001 --> 06:19:19,000 THAT'S THE MORTGAGING OF YOUR 5962 06:19:19,001 --> 06:19:21,000 HOME TO GET ADDITIONAL CREDIT. 5963 06:19:21,001 --> 06:19:22,000 "NOW WASHINGTON IS TRYING ITS 5964 06:19:22,001 --> 06:19:24,000 BEST TO KILL THE SECOND. 5965 06:19:24,001 --> 06:19:25,000 THE DODD BILL'S PROPOSED 5966 06:19:25,001 --> 06:19:26,000 CONSUMER PROTECTIONS WOULD REACH 5967 06:19:26,001 --> 06:19:28,000 BEYOND CREDIT CARDS AND RESTRICT 5968 06:19:28,001 --> 06:19:30,000 THE AVAILABILITY 5969 06:19:30,001 --> 06:19:32,000 CREDIT WHILE RAISING COSTS." 5970 06:19:32,001 --> 06:19:33,000 END OF QUOTE. 5971 06:19:33,001 --> 06:19:34,000 NOW, MR. PRESIDENT, NOBODY 5972 06:19:34,001 --> 06:19:35,000 INTENDS THIS RESULT. 5973 06:19:35,001 --> 06:19:37,000 I DON'T THINK ANYBODY IN THIS 5974 06:19:37,001 --> 06:19:38,000 BODY WANTS TO IMPOSE ADDITIONAL 5975 06:19:38,001 --> 06:19:40,000 COSTS, ESPECIALLY ON SMALLER 5976 06:19:40,001 --> 06:19:41,000 BUSINESSES OR ON STARTER 5977 06:19:41,001 --> 06:19:42,000 BUSINESSES. 5978 06:19:42,001 --> 06:19:44,000 IT'S SIMPLY AN INEVITABLE RESULT 5979 06:19:44,001 --> 06:19:46,000 OF A POLICY THAT'S WRITTEN TOO BROADLY. 5980 06:19:46,001 --> 06:19:48,000 WE NEED TO BE CAREFUL HOW WE DO IT. 5981 06:19:48,001 --> 06:19:50,000 WE NEED TO ENSURE THAT WE DON'T 5982 06:19:50,001 --> 06:19:53,000 WRITE IT SO BROADLY THAT FRIENDS 5983 06:19:53,001 --> 06:19:54,000 WE WANT TO PROTECT HERE ARE NOT 5984 06:19:54,001 --> 06:19:55,000 ADVERSELY IMPACTED. 5985 06:19:55,001 --> 06:19:56,000 THEY HAVE BEEN COMING TO MY 5986 06:19:56,001 --> 06:19:58,000 OFFICE, FOLKS THAT YOU NEVER 5987 06:19:58,001 --> 06:19:59,000 DREAMED OF WOULD BE COVERED BY 5988 06:19:59,001 --> 06:20:01,000 THIS ACT OR COMING IN SAYING 5989 06:20:01,001 --> 06:20:03,000 HERE IS HOW THIS BILL COULD AFFECT ME. 5990 06:20:03,001 --> 06:20:04,000 PLEASE MAKE SURE THAT IT 5991 06:20:04,001 --> 06:20:05,000 DOESN'T. 5992 06:20:05,001 --> 06:20:07,000 ALL I 5993 06:20:07,001 --> 06:20:08,000 OTHER SIDE 5994 06:20:08,001 --> 06:20:11,000 TAKE THESE CONCERNS ON BOARD. 5995 06:20:11,001 --> 06:20:13,000 THEY ARE NOT PARTISAN CONCERNS. 5996 06:20:13,001 --> 06:20:15,000 AND MAKE SURE THAT WHEN THESE 5997 06:20:15,001 --> 06:20:17,000 NEGOTIATIONS FIGURE OUT HOW TO 5998 06:20:17,001 --> 06:20:18,000 AMEND THE BILL, THAT WE TAKE 5999 06:20:18,001 --> 06:20:19,000 INTO CONSIDERATION THE THINGS 6000 06:20:19,001 --> 06:20:21,000 THAT WE'RE RAISING HERE. 6001 06:20:21,001 --> 06:20:23,000 THEY 6002 06:20:23,001 --> 06:20:25,000 THEY ARE CONCERNS OF EVERYDAY 6003 06:20:25,001 --> 06:20:26,000 AMERICANS, AND WE OWE IT TO OURO? 6004 06:20:26,001 --> 06:20:28,000 CONSTITUENTS TO THINK THESE 6005 06:20:28,001 --> 06:20:29,000 THINGS THROUGH AND IF NEED BE 6006 06:20:29,001 --> 06:20:30,000 CHANGE THE BILL. 6007 06:20:30,001 --> 06:20:33,000 I'M SURE EVEN SENATOR DOD 6008 06:20:33,001 --> 06:20:34,000 SAY THE BILL IS NOT PERFECT. 6009 06:20:34,001 --> 06:20:37,000 IF THERE ARE THINGS WE NEED TO 6010 06:20:37,001 --> 06:20:38,000 THAT. 6011 06:20:38,001 --> 06:20:42,000 AND THE LAST POINT HAS TO DO 6012 06:20:42,001 --> 06:20:44,000 WITH ANOTHER ELEMENT OF CON PROTECTION. 6013 06:20:44,001 --> 06:20:45,000 A LOT OF FOLKS DO BUSINESS IN 6014 06:20:45,001 --> 06:20:47,000 MORE THAN ONE STATE. 6015 06:20:47,001 --> 06:20:50,000 IN FACT, SOME OF THE LARGER 6016 06:20:50,001 --> 06:20:51,000 COMPANIES DO BUSINESS IN ALL 6017 06:20:51,001 --> 06:20:53,000 STATES. 6018 06:20:53,001 --> 06:20:57,000 IT IS COST-EFFECTIVE FOR THEM IF 6019 06:20:57,001 --> 06:20:59,000 THERE IS ONE RULE, IF THERE IS 6020 06:20:59,001 --> 06:21:00,000 ONE REGULATOR. 6021 06:21:00,001 --> 06:21:02,000 SO THEY DON'T HAVE, FOR EXAMPLE, 6022 06:21:02,001 --> 06:21:05,000 TO FIGURE OUT WHAT EVERY SINGLE 6023 06:21:05,001 --> 06:21:07,000 STATE REQUIRES DIFFERENT CONSUMER PROTECTION OR 6024 06:21:07,001 --> 06:21:09,000 NOTICE OR WHATEVER IT M??HT BE 6025 06:21:09,001 --> 06:21:11,000 AND THEN HAVE TO COMPLY WITH ALL 6026 06:21:11,001 --> 06:21:13,000 50 STATES, SOME OF WHICH MIGHT 6027 06:21:13,001 --> 06:21:14,000 BE CONTRADICTORY AS WELL AS A 6028 06:21:14,001 --> 06:21:15,000 FEDERAL REGULATOR. 6029 06:21:15,001 --> 06:21:17,000 SO UP TO NOW, WE HAVE PRETTY 6030 06:21:17,001 --> 06:21:19,000 MUCH HAD A FEDERAL REGIME THAT 6031 06:21:19,001 --> 06:21:20,000 HAS PREEMPTED THE STATE 6032 06:21:20,001 --> 06:21:21,000 JURISDICTION IN SOME OF THESE 6033 06:21:21,001 --> 06:21:22,000 AREAS. 6034 06:21:22,001 --> 06:21:24,000 WELL, AS I UNDERSTAND IT, THE 6035 06:21:24,001 --> 06:21:26,000 LEGISLATION DOES AWAY WITH A 6036 06:21:26,001 --> 06:21:27,000 SIGNIFICANT COMPONENT OF THAT 6037 06:21:27,001 --> 06:21:29,000 AND WOULD ALLOW THE STATE 6038 06:21:29,001 --> 06:21:30,000 REGULATORS TO IMPOSE INDIVIDUAL 6039 06:21:30,001 --> 06:21:31,000 REQUIREMENTS ON THESE COMPANIES 6040 06:21:31,001 --> 06:21:33,000 TH 6041 06:21:33,001 --> 06:21:36,000 THROUGHOUT THE UNITED STATES. 6042 06:21:36,001 --> 06:21:37,000 SO YOU COULD HAVE THE ANO 6043 06:21:37,001 --> 06:21:38,000 SITUATION WHERE YOU HAVE LOTS OF 6044 06:21:38,001 --> 06:21:40,000 DIFFERENT REQREMENTS. 6045 06:21:40,001 --> 06:21:43,000 SOME OF YOU HAVE SEEN ADS ON TV, 6046 06:21:43,001 --> 06:21:45,000 AND IT SAYS CALL NOW TO GET YOUR 6047 06:21:45,001 --> 06:21:48,000 FREE -- YOUR FREE -- WELL, TO 6048 06:21:48,001 --> 06:21:49,000 GET YOUR 6049 06:21:49,001 --> 06:21:50,000 IF Y CALL RIGHT NOW, YOU WILL 6050 06:21:50,001 --> 06:21:51,000 GET ANOTHER 6051 06:21:51,001 --> 06:21:52,000 ME. 6052 06:21:52,001 --> 06:21:55,000 THE LAST TEN SECONDS OF THE AD 6053 06:21:55,001 --> 06:21:56,000 HAS SOME GUY READING VERY FAST 6054 06:21:56,001 --> 06:21:58,000 LANGUAGE, OFFER NOT VALID IN W 6055 06:21:58,001 --> 06:22:00,000 MEXICO, NEW YORK, ARIZONA, 6056 06:22:00,001 --> 06:22:01,000 TENNESSEE, OREGON AND SO ON AND 6057 06:22:01,001 --> 06:22:02,000 SO ON, AND YOU CAN'T EVEN 6058 06:22:02,001 --> 06:22:03,000 WHAT HE IS SAYING. 6059 06:22:03,001 --> 06:22:05,000 BUT THE REALITY IS THERE ARE A 6060 06:22:05,001 --> 06:22:06,000 LOT OF DIFFERENT REQUIREMENTS. 6061 06:22:06,001 --> 06:22:08,000 AND SO WHAT WE 6062 06:22:08,001 --> 06:22:10,000 TO DO IS HAVE THINGS BE AS 6063 06:22:10,001 --> 06:22:11,000 UNIFORM AS POSSIBL 6064 06:22:11,001 --> 06:22:13,000 COSTS DOWN BECAUSE THE GREATER 6065 06:22:13,001 --> 06:22:14,000 THE COSTS, THE MORE COST TO THE 6066 06:22:14,001 --> 06:22:15,000 CONSUMER. 6067 06:22:15,001 --> 06:22:18,000 UNFORTUNATELY, AS I SAID, 6068 06:22:18,001 --> 06:22:20,000 HOWEVER, THIS BILL CREATES A 6069 06:22:20,001 --> 06:22:22,000 PATCHWORK OF REGULATORY REGIMES 6070 06:22:22,001 --> 06:22:24,000 THATXPAND THE NUMBER OF 6071 06:22:24,001 --> 06:22:28,000 REGULATORS BY 50 IN CERTAIN AREAS. 6072 06:22:28,001 --> 06:22:29,000 AS A RESULT, IT'S GOING TO BE 6073 06:22:29,001 --> 06:22:31,000 MUCH MORE -- A MUCH MORE 6074 06:22:31,001 --> 06:22:33,000 DIFFICULT THING TO COMPLY WITH 6075 06:22:33,001 --> 06:22:35,000 AND MUCH MORE COSTLY. 6076 06:22:35,001 --> 06:22:36,000 IF WE BELIEVE THAT WE UNDERSTAND 6077 06:22:36,001 --> 06:22:37,000 WHAT'S NECESSARY IN CONSUMER 6078 06:22:37,001 --> 06:22:38,000 PROTECTIONS, THEN LET'S PROVIDE 6079 06:22:38,001 --> 06:22:40,000 FOR IT. 6080 06:22:40,001 --> 06:22:43,000 IF WE THINK WE DON'T, THAT WE 6081 06:22:43,001 --> 06:22:44,000 NEED TO LEAVE THIS TO A LOT OF 6082 06:22:44,001 --> 06:22:46,000 OTHER REGULATORS, THEN LET'S 6083 06:22:46,001 --> 06:22:47,000 DON'T MAKE THE RULES OURSELVES, 6084 06:22:47,001 --> 06:22:48,000 JUST LET THEM DO IT. 6085 06:22:48,001 --> 06:22:50,000 BUT YOU SHOULDN'T DO BOTH. 6086 06:22:50,001 --> 06:22:52,000 IN ADDITION TO THAT, THE 6087 06:22:52,001 --> 06:22:53,000 CHAIRMAN TALKED ABOUT SAFETY A SOUNDNESS. 6088 06:22:53,001 --> 06:22:56,000 THIS IS A TECHNICAL TERM THAT 6089 06:22:56,001 --> 06:22:58,000 ESSENTIALLY HASEGULATORS 6090 06:22:58,001 --> 06:22:59,000 REQUIRING BANKS AND OTHER 6091 06:22:59,001 --> 06:23:01,000 FINANCIAL INSTITUTIONS TO CARRY 6092 06:23:01,001 --> 06:23:03,000 A CERTAIN AMOO?T OF RESERVES SO 6093 06:23:03,001 --> 06:23:05,000 THAT IF PEOPLE WANT THEIR MONEY 6094 06:23:05,001 --> 06:23:06,000 BACK OUT OF THE BANK, THE BANK 6095 06:23:06,001 --> 06:23:07,000 HAS ENOUGH MONEY TO GIVE TO 6096 06:23:07,001 --> 06:23:10,000 THEM. 6097 06:23:10,001 --> 06:23:11,000 NO BANK BELIEVES THAT 6098 06:23:11,001 --> 06:23:15,000 HUNDRED% OF ITS DEPOSITS ARE 6099 06:23:15,001 --> 06:23:17,000 GOING TO BE CALLED BACK BY ITS DEPOSITORS. 6100 06:23:17,001 --> 06:23:18,000 BUT THEY HAVE TO HAVE A CERTAIN 6101 06:23:18,001 --> 06:23:20,000 PERCENTAGE OF THOSE FUN 6102 06:23:20,001 --> 06:23:22,000 DEPOSIT SO IF YOU GO SAY I WANT 6103 06:23:22,001 --> 06:23:23,000 MY MONEY OUT OF THE BANK, THEY 6104 06:23:23,001 --> 06:23:24,000 HAVE ENOUGH MONEY TO GIVE IT TO 6105 06:23:24,001 --> 06:23:27,000 YOU. 6106 06:23:27,001 --> 06:23:28,000 THEY HAVE ENOUGH TO CARRY THOSE 6107 06:23:28,001 --> 06:23:29,000 LOANS AND SO ON. 6108 06:23:29,001 --> 06:23:30,000 THAT'S WHAT THE SAFETY AND 6109 06:23:30,001 --> 06:23:32,000 SOUNDNESS REQUIREMENTS OF THE 6110 06:23:32,001 --> 06:23:33,000 REGULATORS DO, AND IT'S A GOOD 6111 06:23:33,001 --> 06:23:34,000 THING. 6112 06:23:34,001 --> 06:23:37,000 SEWS SAME PEOPLE CAN ALSO 6113 06:23:37,001 --> 06:23:38,000 PROVIDE FOR CONSUMER PROTECTIONS. 6114 06:23:38,001 --> 06:23:40,000 AND TO SAY LOOK, WE KNOW THAT 6115 06:23:40,001 --> 06:23:42,000 THE 6116 06:23:42,001 --> 06:23:44,000 CERTAIN AMOUNT OF MONEY, AND WE 6117 06:23:44,001 --> 06:23:45,000 ALSO KNOW CONSISTENT WITH THAT 6118 06:23:45,001 --> 06:23:46,000 THAT THEY NEED TO ENSURE THE 6119 06:23:46,001 --> 06:23:47,000 PROTECTION OF THEIR CONSUMERS IN 6120 06:23:47,001 --> 06:23:49,000 A CERTAIN WAY 6121 06:23:49,001 --> 06:23:50,000 WHAT'S DIFFICULT IS WHEN YOU 6122 06:23:50,001 --> 06:23:52,000 SEPARATE THESE TWO FUNCTIONS AS 6123 06:23:52,001 --> 06:23:53,000 THIS LEGISLATION DOES SO YOU 6124 06:23:53,001 --> 06:23:55,000 HAVE ONE GROUP SAYING TO THE 6125 06:23:55,001 --> 06:23:57,000 BANK HERE'S WHAT YOU HAVE TO DO 6126 06:23:57,001 --> 06:23:58,000 FOR SAFETY 6127 06:23:58,001 --> 06:23:59,000 PURPOSES AND YOU HAVE ANOTHER 6128 06:23:59,001 --> 06:24:01,000 TOTALLY INDEPENDENT GROUPAYING 6129 06:24:01,001 --> 06:24:02,000 WE DON'T CARE ANYTHING ABOUT 6130 06:24:02,001 --> 06:24:04,000 THAT, BUT HERE'S 6131 06:24:04,001 --> 06:24:07,000 GOT TO DO FOR CONSUMER PROTECTION. 6132 06:24:07,001 --> 06:24:08,000 YOU CAN END UP WITH DUPLICATIVE 6133 06:24:08,001 --> 06:24:10,000 OVERLAPPING, COSTLY AND 6134 06:24:10,001 --> 06:24:11,000 SOMETIMES EVEN 6135 06:24:11,001 --> 06:24:13,000 INCONSISTENT REQUIREMENTS, ALL 6136 06:24:13,001 --> 06:24:15,000 OF WHICH MAKE IT MORE DIFFICULT 6137 06:24:15,001 --> 06:24:19,000 FOR THESE INSTITUTIONS TO GIVE 6138 06:24:19,001 --> 06:24:20,000 YOU A CHEAPER PRODUCT, A BETTER 6139 06:24:20,001 --> 06:24:21,000 LOAN, 6140 06:24:21,001 --> 06:24:22,000 INTEREST AND WHATEVER IT MIGHT 6141 06:24:22,001 --> 06:24:24,000 BE. 6142 06:24:24,001 --> 06:24:25,000 AND 6143 06:24:25,001 --> 06:24:26,000 EVERYONE IS FOR CONSUMER 6144 06:24:26,001 --> 06:24:27,000 PROTECTION, EVERYBODY IS FOR 6145 06:24:27,001 --> 06:24:29,000 SAFETY AND SOUNDNESS. 6146 06:24:29,001 --> 06:24:32,000 LET'S TRY TO DO THIS IN A WAY 6147 06:24:32,001 --> 06:24:33,000 THAT 6148 06:24:33,001 --> 06:24:35,000 SUCH GREAT BURDENS, ESPECIALLY 6149 06:24:35,001 --> 06:24:37,000 ON THE SMALLER 6150 06:24:37,001 --> 06:24:39,000 ARE NOT ABLE TO BE COMPETIVE 6151 06:24:39,001 --> 06:24:40,000 AND PROVIDE THEIR CONSUMERS 6152 06:24:40,001 --> 06:24:42,000 AFTER ALL WE SHOULD BE MOSTLY 6153 06:24:42,001 --> 06:24:43,000 CONCERNED ABOUT 6154 06:24:43,001 --> 06:24:46,000 CHEAPEST PRODUCT THAT IS BACKED 6155 06:24:46,001 --> 06:24:48,000 BY THE SAFETY AND SOUNDNESS OF 6156 06:24:48,001 --> 06:24:51,000 THE INSTITUTIONS. 6157 06:24:51,001 --> 06:24:52,000 INCIDENTALLY, ON THIS LAST 6158 06:24:52,001 --> 06:24:55,000 MORE CYNICAL HAVE SAID WELL, 6159 06:24:55,001 --> 06:24:56,000 MAYBE THIS IS BEING DONE FOR A 6160 06:24:56,001 --> 06:24:57,000 MORE 6161 06:24:57,001 --> 06:24:59,000 IF EVERY SINGLE ATTORNEY GENERAL 6162 06:24:59,001 --> 06:25:01,000 IN THE COUNTRY CAN GO OUTND 6163 06:25:01,001 --> 06:25:04,000 HIRE TRIAL LAWYERS ON A 6164 06:25:04,001 --> 06:25:05,000 CONTRACT TO BRING CLASS ACTION 6165 06:25:05,001 --> 06:25:08,000 LAWSUITS BECAUSE OF VIOLATION OF 6166 06:25:08,001 --> 06:25:10,000 STATE LAWS,HEN YOU HAVE A 6167 06:25:10,001 --> 06:25:12,000 BRAND-NEW CAUSE OF ACTION FOR 6168 06:25:12,001 --> 06:25:13,000 THE TRIAL LAWYERS TO 6169 06:25:13,001 --> 06:25:14,000 BETTER THAN THEY HAVE DONE IN 6170 06:25:14,001 --> 06:25:15,000 THE 6171 06:25:15,001 --> 06:25:16,000 I'M NOT GOING TO SUGGEST THAT'S 6172 06:25:16,001 --> 06:25:18,000 THE MOTIVATION, BUT I AM GOING 6173 06:25:18,001 --> 06:25:20,000 TO SUGGEST I SEE NOTHING IN THE 6174 06:25:20,001 --> 06:25:22,000 BILL THAT WOULD PREVENT THAT. 6175 06:25:22,001 --> 06:25:24,000 AS LONG AS THAT IS A POTENTIAL, 6176 06:25:24,001 --> 06:25:26,000 THEN KATIE, BAR THE DOOR. 6177 06:25:26,001 --> 06:25:27,000 SO, AGAIN, THERE ARE MANY THINGS 6178 06:25:27,001 --> 06:25:31,000 IN THIS LEGISLATION THAT ARE NOT 6179 06:25:31,001 --> 06:25:33,000 PARTAN IN TERMS OF WE ALL WANT 6180 06:25:33,001 --> 06:25:34,000 TO PROTECT THE SAME FOLKS, BUT 6181 06:25:34,001 --> 06:25:36,000 QUESTIONS THAT HAVE BEEN RAISED 6182 06:25:36,001 --> 06:25:38,000 THAT NEED TO BE DEALT 6183 06:25:38,001 --> 06:25:41,000 AND I THINK IT WOULD BE FAR 6184 06:25:41,001 --> 06:25:42,000 BETTER TO TAKE THE TIME TO HAVE 6185 06:25:42,001 --> 06:25:44,000 REPUBLICANS AND DEMOCRATS 6186 06:25:44,001 --> 06:25:46,000 SITTING DOWN AND GOING THROUGH 6187 06:25:46,001 --> 06:25:48,000 ALL OF THESE ISSUES 6188 06:25:48,001 --> 06:25:49,000 BRIEG UP A BILL THEY CAN AGREE 6189 06:25:49,001 --> 06:25:51,000 ON, BRING THAT BILL TO THE FLOOR 6190 06:25:51,001 --> 06:25:53,000 SO THE REST OF US CAN LOOK AT 6191 06:25:53,001 --> 06:25:54,000 IT, AND HOPEFULLY WE WOULD ALL 6192 06:25:54,001 --> 06:25:55,000 SAY GEE, THAT'S A LOT BETTER 6193 06:25:55,001 --> 06:25:57,000 PRODUCT THAN WE THOUGHT. 6194 06:25:57,001 --> 06:25:59,000 IT'S NOT EXACTLY AS I WOULD HAVE DONE IT. 6195 06:25:59,001 --> 06:26:00,000 IT LOOKS LIKE THERE ARE SOME 6196 06:26:00,001 --> 06:26:01,000 COMPROMISES IN THERE, BUT AFTER 6197 06:26:01,001 --> 06:26:05,000 ALL, THAT'S WHAT THE PROCESS IS 6198 06:26:05,001 --> 06:26:07,000 WHEN YOU HAVE 6199 06:26:07,001 --> 06:26:09,000 HALF THE BODY IS ONE PARTY AND 6200 06:26:09,001 --> 06:26:10,000 LESS THAN HALF IS THE OTHER BODY. 6201 06:26:10,001 --> 06:26:13,000 THAT'S HOW YOU GET THINGS DONE. 6202 06:26:13,001 --> 06:26:14,000 I CAN JUST ASSURE YOU THIS, 6203 06:26:14,001 --> 06:26:16,000 MR. PRESIDENT, AND ASSURE MY 6204 06:26:16,001 --> 06:26:17,000 COLLEAGUES ON THE OTHER SIDE, 6205 06:26:17,001 --> 06:26:19,000 REPUBLICANS WANT TO WORK 6206 06:26:19,001 --> 06:26:20,000 OUR DEMOCRATIC FRIENDS TO GET A 6207 06:26:20,001 --> 06:26:22,000 GOOD BILL THAT ALL OF US CAN 6208 06:26:22,001 --> 06:26:23,000 SUPPORT AND THAT WILL BE GOOD 6209 06:26:23,001 --> 06:26:25,000 FOR OUR COUNTRY, AND I THINK IF 6210 06:26:25,001 --> 06:26:28,000 WE CAN WORK IN GOOD FAITH TOWARD 6211 06:26:28,001 --> 06:26:29,000 THAT END, WE'LL BE MUCHAPPIER 6212 06:26:29,001 --> 06:26:32,000 WITH THE RESULT THAN IF 6213 06:26:32,001 --> 06:26:34,000 THE RESULT OF A PARTISAN OR 6214 06:26:34,001 --> 06:26:36,000 NEAR-PARTISAN VOTE 6215 06:26:36,001 --> 06:26:37,000 AND LIKEWISE IN THE HOUSE OF REPRESENTATIVES. 6216 06:26:37,001 --> 06:26:40,000 MR. PRESIDENT, I THANK MY 6217 06:26:40,001 --> 06:26:42,000 COLLEAGUES F THEIR 6218 06:26:42,001 --> 06:26:43,000 AND I'M HAP 6219 06:26:43,001 --> 06:26:44,000 FLOOR. 6220 06:26:44,001 --> 06:26:45,000 MR. BROWN: M 6221 06:26:45,001 --> 06:26:46,000 THE PRESIDING OFFICER: THE 6222 06:26:46,001 --> 06:26:48,000 SENATOR FROM OHIO. MR. BROWN: MR. PRESIDENT, I ASK 6223 06:26:48,001 --> 06:26:49,000 UNANIMOUS CONSENT TO ENG 6224 06:26:49,001 --> 06:26:52,000 COLLOQUY WITH SENATOR KAUFMAN 6225 06:26:52,001 --> 06:26:54,000 FOR 6226 06:26:54,001 --> 06:26:55,000 TO 30 MINUTES AS IF IN MORNING BUSINESS. 6227 06:26:55,001 --> 06:26:57,000 THE PRESIDING OFFICER: IS THERE 6228 06:26:57,001 --> 06:26:58,000 AN OBJECTION? 6229 06:26:58,001 --> 06:26:59,000 HEARING 6230 06:26:59,001 --> 06:27:01,000 MR. BROWN: THANK YOU, 6231 06:27:01,001 --> 06:27:04,000 MR. PRESIDENT. 6232 06:27:04,001 --> 06:27:05,000 I -- I WANT TO BELIEVE WHAT I 6233 06:27:05,001 --> 06:27:07,000 JUST HEARD, AND I DO. 6234 06:27:07,001 --> 06:27:10,000 I BELIEVE THAT THE GENUINESS 6235 06:27:10,001 --> 06:27:12,000 AND THE SCERITY OF THE WORDS 6236 06:27:12,001 --> 06:27:14,000 OF MY COLLEAGUE FROM 6237 06:27:14,001 --> 06:27:15,000 I 6238 06:27:15,001 --> 06:27:17,000 WITH HIM, THERE ARE THINGS WE 6239 06:27:17,001 --> 06:27:18,000 NEED TO FIX IN THIS BILL. 6240 06:27:18,001 --> 06:27:21,000 THERE ALWAYS ARE, AND WE CAN 6241 06:27:21,001 --> 06:27:23,000 WORK TO IMPROVE IT. 6242 06:27:23,001 --> 06:27:25,000 I MET ONLY TWO HOURS AGO A DOZEN 6243 06:27:25,001 --> 06:27:28,000 MANUFACTURERS FROM OHIO, MOSTLY 6244 06:27:28,001 --> 06:27:30,000 METAL-WORKING COMPANIES, 6245 06:27:30,001 --> 06:27:32,000 STAMPING, BENDING METAL, ALL OF 6246 06:27:32,001 --> 06:27:33,000 THAT CAME TO SEE ME TO TALK 6247 06:27:33,001 --> 06:27:35,000 ABOUT CREDIT. 6248 06:27:35,001 --> 06:27:36,000 THEIR FRUSTRATION WITH THE 6249 06:27:36,001 --> 06:27:39,000 BANKING SYSTEM AND WITH WALL 6250 06:27:39,001 --> 06:27:41,000 STREET IS -- IS PRETTY DEEP AND 6251 06:27:41,001 --> 06:27:44,000 PRETTY INTENSE. 6252 06:27:44,001 --> 06:27:46,000 ANGER, 6253 06:27:46,001 --> 06:27:48,000 SPEAK FOR THEM TO BE SURE, BUT 6254 06:27:48,001 --> 06:27:49,000 IT'S PRETTY CLEAR THAT WALL 6255 06:27:49,001 --> 06:27:52,000 STREET HASN'T SERVED THEM WELL, 6256 06:27:52,001 --> 06:27:54,000 HASN'T SERVED THIS COUNTRY WELL. 6257 06:27:54,001 --> 06:27:56,000 AS I SAID, I KNOW WE NEED TO FIX 6258 06:27:56,001 --> 06:28:00,000 SOME THINGS ABOUT THIS BILL, BUT 6259 06:28:00,001 --> 06:28:02,000 I ALSO WATCH -- A GUY YEARS AGO 6260 06:28:02,001 --> 06:28:03,000 TOLD ME DON'T TELL ME WHAT YOU 6261 06:28:03,001 --> 06:28:04,000 BELIEVE. 6262 06:28:04,001 --> 06:28:05,000 SHOW ME WHAT YOU 6263 06:28:05,001 --> 06:28:07,000 YOU WHAT YOU BELIEVE. 6264 06:28:07,001 --> 06:28:08,000 WHEN I LISTEN TO LEADERSHIP ON 6265 06:28:08,001 --> 06:28:10,000 THE OTHER SIDE, ESPECIALLY TO 6266 06:28:10,001 --> 06:28:11,000 OUR COLLEAGUE FROM KENTUCKY, I 6267 06:28:11,001 --> 06:28:13,000 REALLY DO WATCH WHAT HE DOES, 6268 06:28:13,001 --> 06:28:15,000 NOT JUST WHAT HE SAYS. 6269 06:28:15,001 --> 06:28:18,000 I KNOW HE SAYS THIS BILL DOESN'T 6270 06:28:18,001 --> 06:28:20,000 WORK BECAUSE IT WILL MEAN MORE BAILOUTS. 6271 06:28:20,001 --> 06:28:22,000 THAT'S BATTLE TESTED, FOCUS 6272 06:28:22,001 --> 06:28:23,000 GROUP TESTED, POLL TESTED. 6273 06:28:23,001 --> 06:28:25,000 THAT'S THE RIGHT THING TO SAY TO 6274 06:28:25,001 --> 06:28:26,000 SAY YOU'RE AGAINST THE BILL. 6275 06:28:26,001 --> 06:28:28,000 BUT MORE THAN THAT, I WATCH WHAT 6276 06:28:28,001 --> 06:28:29,000 HE DOES AND I WATCH WHAT 6277 06:28:29,001 --> 06:28:33,000 REPUBLICANS HAVE DONE ON THIS BILL. 6278 06:28:33,001 --> 06:28:34,000 BACK IN DECEMBER, 100 BANK 6279 06:28:34,001 --> 06:28:35,000 LOBBYISTS MET WITH REPUBLICAN 6280 06:28:35,001 --> 06:28:38,000 LEADERSHIP IN THE HOUSE TO TALK 6281 06:28:38,001 --> 06:28:39,000 ABOUT HOW TO DEFEAT ANY KIND OF 6282 06:28:39,001 --> 06:28:42,000 WALL STREET REFORM. 6283 06:28:42,001 --> 06:28:45,000 EARLIER THIS MONTH, SENATOR 6284 06:28:45,001 --> 06:28:46,000 McCONNELL AND SENATOR 6285 06:28:46,001 --> 06:28:47,000 CORNYN -- SENATOR McCONNELL IS 6286 06:28:47,001 --> 06:28:48,000 THE REPUBLICAN LEADER. 6287 06:28:48,001 --> 06:28:50,000 SENATOR CORNYN IS HEAD OF THE 6288 06:28:50,001 --> 06:28:51,000 REPUBLICAN SENATE CAMPAIGN 6289 06:28:51,001 --> 06:28:54,000 COMMITTEE -- WENT TO NEW YORK 6290 06:28:54,001 --> 06:28:55,000 AND MET WITH 25 HEDGE FUND AND 6291 06:28:55,001 --> 06:28:56,000 OTHER WALL STREET EXECUTIVES TO 6292 06:28:56,001 --> 06:28:59,000 FIGURE OUT HOW TO DEFEAT THE 6293 06:28:59,001 --> 06:29:01,000 BILL AND TO DO WHAT YOU WOULD EXPECT. 6294 06:29:01,001 --> 06:29:03,000 THE BEST WAY TO DEFEAT THI 6295 06:29:03,001 --> 06:29:04,000 IS TO ELECT MORE REPUBLICANS, WE 6296 06:29:04,001 --> 06:29:06,000 NEED HELP, ALL OF THAT. 6297 06:29:06,001 --> 06:29:07,000 WHEN I HEAR THEM TALK ABOUT 6298 06:29:07,001 --> 06:29:08,000 BIPARTISAN, THEY WANT A 6299 06:29:08,001 --> 06:29:11,000 BIPARTISAN BILL, WHAT THEY 6300 06:29:11,001 --> 06:29:12,000 REALLY MEAN, MR. PRESIDENT -- 6301 06:29:12,001 --> 06:29:14,000 AND I KNOW SENATOR KAUFMAN AND I 6302 06:29:14,001 --> 06:29:15,000 HAVE TALKED ABOUT THIS. 6303 06:29:15,001 --> 06:29:16,000 WHAT THEY REALLY MEAN IS WE WANT 6304 06:29:16,001 --> 06:29:18,000 WALL STREET TO COME TO THE TABLE 6305 06:29:18,001 --> 06:29:20,000 AND HELP US WRITE THE BILL. 6306 06:29:20,001 --> 06:29:21,000 THE SAME WAY THE BIPARTISAN IN 6307 06:29:21,001 --> 06:29:23,000 THE HEALTH CARE BILL OF THE LAST 6308 06:29:23,001 --> 06:29:24,000 YEAR WAS WE WANT TO INVITE 6309 06:29:24,001 --> 06:29:26,000 INSURANCE COMPANIES TO THE TABLE 6310 06:29:26,001 --> 06:29:28,000 TO HAVE BILL. 6311 06:29:28,001 --> 06:29:29,000 THE PUBLIC WANTS BIPARTISAN. 6312 06:29:29,001 --> 06:29:30,000 THEY WANT US TO WORK TOGETHER. 6313 06:29:30,001 --> 06:29:32,000 THEY WANT US TO COOPERATE. 6314 06:29:32,001 --> 06:29:34,000 WE DO THAT IN A LOT OF THINGS. 6315 06:29:34,001 --> 06:29:36,000 BUT IN A BIG BILL LIKE THIS, THE 6316 06:29:36,001 --> 06:29:38,000 PUBLIC DOESN'T WANT BIPARTISAN 6317 06:29:38,001 --> 06:29:39,000 IF IT MEANS LET'S GET THE -- 6318 06:29:39,001 --> 06:29:40,000 LET'S GET WALL STREET AND THE 6319 06:29:40,001 --> 06:29:42,000 FIVE BIGGEST BANKS IN THE 6320 06:29:42,001 --> 06:29:43,000 COUNTRY TO WRITE THIS BILL AND 6321 06:29:43,001 --> 06:29:45,000 THEN WE CAN ALL BE HAPPY AND 6322 06:29:45,001 --> 06:29:46,000 LET'S GET ALONG AND LET'S HAVE 6323 06:29:46,001 --> 06:29:49,000 LEGISLATION THAT 6324 06:29:49,001 --> 06:29:53,000 I MEA IT -- AND THEN I 6325 06:29:53,001 --> 06:29:55,000 I HEAR OVER AND OVER SENATOR 6326 06:29:55,001 --> 06:29:56,000 McCONNELL, YOU KNOW, KIND OF 6327 06:29:56,001 --> 06:29:59,000 GETTING A LITTLE BIT -- THE 6328 06:29:59,001 --> 06:30:01,000 LEADER GETS A LITTLE UPSET WHEN 6329 06:30:01,001 --> 06:30:03,000 WHEN -- WHEN HE TALKS ABOUT THIS BILL. 6330 06:30:03,001 --> 06:30:05,000 IT'S A LITTLE BIT LIKE, 6331 06:30:05,001 --> 06:30:07,000 MR. PRESIDENT, WHEN YOU THROW A 6332 06:30:07,001 --> 06:30:10,000 ROCK AT A PACK OF DOGS, THE DOG 6333 06:30:10,001 --> 06:30:13,000 THAT YELPS IS T 6334 06:30:13,001 --> 06:30:15,000 THAT'S KIND 6335 06:30:15,001 --> 06:30:17,000 OF WHAT'S GOING ON HERE. 6336 06:30:17,001 --> 06:30:18,000 WHEN YOU LOOK AT THE 6337 06:30:18,001 --> 06:30:19,000 RELATIONSHIP BETWEEN FAR TOO 6338 06:30:19,001 --> 06:30:20,000 MANY SENATORS AND WALL STREET. 6339 06:30:20,001 --> 06:30:22,000 WHAT GOT US INTO THIS MESS IS 6340 06:30:22,001 --> 06:30:23,000 FOR THE LAST 10 YEARS, THE 6341 06:30:23,001 --> 06:30:24,000 DEREGULATION THAT THE BUSH 6342 06:30:24,001 --> 06:30:25,000 ADMINISTRATION DOES THE PEOPLE 6343 06:30:25,001 --> 06:30:27,000 THAT THEY APPOINTED TO WATCH -- 6344 06:30:27,001 --> 06:30:29,000 JUST LIKE THE HEAD OF MINE 6345 06:30:29,001 --> 06:30:30,000 SAFETY IN THE BUSH YEARS WAS A 6346 06:30:30,001 --> 06:30:31,000 MINING EXECUTIVE. 6347 06:30:31,001 --> 06:30:33,000 WE PAY THE PRICE FOR NAVMENT 6348 06:30:33,001 --> 06:30:35,000 PEOPLE IN MY STATE, PEOPLE OF 6349 06:30:35,001 --> 06:30:37,000 WEST VIRGINIA TOO OFTEN FAMILIES 6350 06:30:37,001 --> 06:30:39,000 PAY THE PRICE FOR A GOVERNMENT 6351 06:30:39,001 --> 06:30:40,000 NOT AGGRESSIVE ENOUGH TO 6352 06:30:40,001 --> 06:30:42,000 REGULATE MINE SAFETY. 6353 06:30:42,001 --> 06:30:43,000 WE PAY THE PRICE IN THIS COUNTRY 6354 06:30:43,001 --> 06:30:44,000 BECAUSE WE DIDN'T HAVE A 6355 06:30:44,001 --> 06:30:46,000 GOVERNMENT AGGRESSIVE ENOUGH TO 6356 06:30:46,001 --> 06:30:47,000 MAKE THE BANKS AND WALL STREET 6357 06:30:47,001 --> 06:30:48,000 BEHAVE. 6358 06:30:48,001 --> 06:30:50,000 THAT'S WHY THEY WERE ABLE TO OVERREACH. 6359 06:30:50,001 --> 06:30:52,000 THAT'S WHY THE LEGISLATION THAT 6360 06:30:52,001 --> 06:30:53,000 SENATOR KAUFMAN AND I ARE 6361 06:30:53,001 --> 06:30:55,000 INTRODUCING WITH SENATORS CASEY 6362 06:30:55,001 --> 06:30:57,000 AND WHITEHOUSE AND MERKL 6363 06:30:57,001 --> 06:30:59,000 SEVERAL OTHERS WILL ADDRESS THE 6364 06:30:59,001 --> 06:31:01,000 ISSUE OF TOO BIG TO FAIL BECAUSE 6365 06:31:01,001 --> 06:31:03,000 TOO BIG TO FAIL ALWAYS -- NOT 6366 06:31:03,001 --> 06:31:04,000 WHAT DO YOU IF THESE BANKS ARE 6367 06:31:04,001 --> 06:31:05,000 IN TROUBLE, HOW YOU PULL THEM 6368 06:31:05,001 --> 06:31:08,000 APART AND THEY'RE ABOUT TO FAIL 6369 06:31:08,001 --> 06:31:09,000 AND YOU WANT TO MAKE SURE THEY 6370 06:31:09,001 --> 06:31:11,000 DON'T -- WE DON'T SPEND TAXPAYER 6371 06:31:11,001 --> 06:31:13,000 DOLLARS TO PAIL THEM OUT AND WE 6372 06:31:13,001 --> 06:31:15,000 MAKE SURE THAT THEY DON'T HURT THE FINANCIAL SYSTEM. 6373 06:31:15,001 --> 06:31:16,000 TOO BIG TO FAIL MEANS DON'T LET 6374 06:31:16,001 --> 06:31:18,000 THEM GET TOO BIG. 6375 06:31:18,001 --> 06:31:20,000 EVEN ALAN GREENSPAN, WHO'S 6376 06:31:20,001 --> 06:31:22,000 HARDLY BEEN AN ALLY -- WHO'S 6377 06:31:22,001 --> 06:31:23,000 HARDLY DONE THE RIGHT THING IN 6378 06:31:23,001 --> 06:31:26,000 REGULATING THE BANKING SYSTEM, 6379 06:31:26,001 --> 06:31:27,000 HE SAYS EVEN, TOO BIG TO FAIL 6380 06:31:27,001 --> 06:31:30,000 MEANS TOO BIG. 6381 06:31:30,001 --> 06:31:31,000 THAT'S WHAT SENATOR KAUFMAN AND 6382 06:31:31,001 --> 06:31:33,000 I ARE ADDRESSING. 6383 06:31:33,001 --> 06:31:34,000 LET ME GIVE YOU SOME NUMBERS. 6384 06:31:34,001 --> 06:31:38,000 15 YEARS AGO THE SIX LARGEST 6385 06:31:38,001 --> 06:31:41,000 U.S. BANKS HAD ASSETS EQUAL TO 6386 06:31:41,001 --> 06:31:44,000 17%, 1-7. 6387 06:31:44,001 --> 06:31:46,000 15 YEAR, THE SIX LARGEST BANKS 6388 06:31:46,001 --> 06:31:47,000 HAD ASSETS EQUAL TO 17% OF OUR 6389 06:31:47,001 --> 06:31:50,000 OVERALL G.D.P. 6390 06:31:50,001 --> 06:31:55,000 TODAY THESE -- THE SIX LARGEST 6391 06:31:55,001 --> 06:31:59,000 BANKS, 63% TOTAL ASSETS -- 6392 06:31:59,001 --> 06:32:01,000 ASSETS ARE 63% OF OVERALL G.D.P. 6393 06:32:01,001 --> 06:32:03,000 THREE OF THESE MEGABANKS HAVE 6394 06:32:03,001 --> 06:32:06,000 CLOSE TO $2 TRILLION OF ASETTEDS 6395 06:32:06,001 --> 06:32:07,000 ON THEIR BALANCE SHEET SHEETS. 6396 06:32:07,001 --> 06:32:09,000 THAT MEANS WE'RE SETTING 6397 06:32:09,001 --> 06:32:11,000 OURSELVES UP FOR ONE MORE ROUND 6398 06:32:11,001 --> 06:32:13,000 OF SERIOUS, SERIOUS PROBLEMS. 6399 06:32:13,001 --> 06:32:15,000 THAT'S WHY HOMEOWNERS IN 6400 06:32:15,001 --> 06:32:18,000 YOUNGSTOWN, OHIO, LOST THEIR HOMES. 6401 06:32:18,001 --> 06:32:20,000 THAT'S WHY RETIREES IN SYDNEY, 6402 06:32:20,001 --> 06:32:22,000 OHIO, LOST A LOT OF THEIR WEALTH. 6403 06:32:22,001 --> 06:32:24,000 THAT'S WHY WORKERS IN NEWARK, 6404 06:32:24,001 --> 06:32:26,000 OHIO, LOST THEIR JOBS -- BECAUSE 6405 06:32:26,001 --> 06:32:29,000 WE -- BECAUSE WE HAD A BANKING 6406 06:32:29,001 --> 06:32:31,000 SYSTEM THAT WAS OVERREESMG, THAT 6407 06:32:31,001 --> 06:32:33,000 WAS EXCESSIVE, THAT GOT TOO 6408 06:32:33,001 --> 06:32:35,000 GREEDY AND WE DIDN'T DO ENOUGH ABOUT IT. 6409 06:32:35,001 --> 06:32:36,000 AND HERE'S WHAT'S HAPPENING. 6410 06:32:36,001 --> 06:32:38,000 THESE MANUFACTURERS I TALKED TO 6411 06:32:38,001 --> 06:32:39,000 THIS MORNING -- EARLY THIS 6412 06:32:39,001 --> 06:32:40,000 AFTERNOON FROM OHIO THAT ARE 6413 06:32:40,001 --> 06:32:42,000 LOOKING TO TRY TO -- THEY WANT 6414 06:32:42,001 --> 06:32:43,000 TO GROW, THEY WANT TO HIRE 6415 06:32:43,001 --> 06:32:45,000 PEOPLE, THEY'VE GOT ORDERS, 6416 06:32:45,001 --> 06:32:46,000 CAPACITY, THEY JUST CAN'T GET 6417 06:32:46,001 --> 06:32:49,000 LOANS TO DO THIS. 6418 06:32:49,001 --> 06:32:51,000 THREE OF THE LARGEST BANKS 6419 06:32:51,001 --> 06:32:52,000 SLASHED THEIR S.B.A. LENDING BY 6420 06:32:52,001 --> 06:32:55,000 86% OVER THE LAST YEAR. 6421 06:32:55,001 --> 06:32:58,000 S.B.A. LOANS WENT FROM 4,2 IN 6422 06:32:58,001 --> 06:33:00,000 2007 IN OHIO ALONE TO 2,100. 6423 06:33:00,001 --> 06:33:02,000 AT THE SAME TIME, BANKS HAVE 6424 06:33:02,001 --> 06:33:03,000 INCREAD 6425 06:33:03,001 --> 06:33:05,000 TRADING BY 23%. 6426 06:33:05,001 --> 06:33:08,000 SOMETHING WAS WRONG IN THE LAST TEN YEARS. 6427 06:33:08,001 --> 06:33:09,000 WE PAID THE PRICE THE LAST TWO 6428 06:33:09,001 --> 06:33:11,000 YEARS BUT SOMETHING'S STILL 6429 06:33:11,001 --> 06:33:12,000 WRONG WHEN THE BANKS GET BIGGER 6430 06:33:12,001 --> 06:33:14,000 AND BIGGER, THEY TRADE MORE AND 6431 06:33:14,001 --> 06:33:15,000 MORE AND THEY LEND TO MAIN 6432 06:33:15,001 --> 06:33:17,000 STREET LESS AND LESS. 6433 06:33:17,001 --> 06:33:18,000 THAT'S WHY THE LEGISLATION I'M 6434 06:33:18,001 --> 06:33:22,000 TURNING TO SENATOR KAUFMAN -- 6435 06:33:22,001 --> 06:33:23,000 THE LEGISLATION IN A H THAT HE AND 6436 06:33:23,001 --> 06:33:25,000 I INTRODUCED WITH SEVERAL OTHER 6437 06:33:25,001 --> 06:33:27,000 SENATORS TODAY SPEAKS TO THIS. 6438 06:33:27,001 --> 06:33:28,000 THAT WE NEED BANKS TO 6439 06:33:28,001 --> 06:33:29,000 COUNTRY. 6440 06:33:29,001 --> 06:33:31,000 AND ULTIMATELY IT IS WHICH SIDE ARE YOU ON? 6441 06:33:31,001 --> 06:33:33,000 ARE YOU GOING IT SIDE WITH WALL 6442 06:33:33,001 --> 06:33:35,000 STREET OR ARE YOU GOING TO SIDE 6443 06:33:35,001 --> 06:33:37,000 WITWITH MAIN STREET? 6444 06:33:37,001 --> 06:33:38,000 TODAY WE HAD REPUBLICANS AND 6445 06:33:38,001 --> 06:33:41,000 DEMOCRATS TOGETHER PASS 6446 06:33:41,001 --> 06:33:43,000 LEGI 6447 06:33:43,001 --> 06:33:46,000 TO REGULATE DERIVATIVES. 6448 06:33:46,001 --> 06:33:47,000 IT IS A GOOD BIPARTISAN STEP 6449 06:33:47,001 --> 06:33:48,000 WHERE SENATOR GRASSLEY JOINED 6450 06:33:48,001 --> 06:33:50,000 ALL OF US ON THE COMMITTEE TO 6451 06:33:50,001 --> 06:33:52,000 PASS A STRONG BILL, INTO THE 6452 06:33:52,001 --> 06:33:57,000 BILL THAT WALL STREET HELPED TO 6453 06:33:57,001 --> 06:33:59,000 WRITE BUT A BILL THATS FOR THATS -- THAT 6454 06:33:59,001 --> 06:34:01,000 WORKS FOR AMERICAN CONSUMERS AND 6455 06:34:01,001 --> 06:34:03,000 BUSINESS AND HOMEOWNERS. 6456 06:34:03,001 --> 06:34:04,000 MR. KAUFMAN: OBVIOUSLY, I 6457 06:34:04,001 --> 06:34:06,000 AGREE WITH WHAT SENATOR BROWN IS SAYI. 6458 06:34:06,001 --> 06:34:11,000 YOU KNOW, THIS A VERY, VERY COMPLEX BILL. 6459 06:34:11,001 --> 06:34:12,000 IT IS A VERY COMPLEX AREA, BUT 6460 06:34:12,001 --> 06:34:14,000 IT'S REALLY -- WHAT WE'RE 6461 06:34:14,001 --> 06:34:16,000 TALKING ABOUT IS A VERY SIMPLE 6462 06:34:16,001 --> 06:34:18,000 PROPOSITION. 6463 06:34:18,001 --> 06:34:20,000 WE CAN EITHER LIMIT THE SIZE AND 6464 06:34:20,001 --> 06:34:22,000 LEVERAGE OF TOO-BIG-TO-FAIL 6465 06:34:22,001 --> 06:34:25,000 FINANCE INSTITUTIONS, SAWCHTS 6466 06:34:25,001 --> 06:34:27,000 BILL WHICH SENATOR BROWN AND I 6467 06:34:27,001 --> 06:34:29,000 ARE OFFERING, NOW, OR I WILL 6468 06:34:29,001 --> 06:34:31,000 TELL YOU WE WILL SUFFER THE 6469 06:34:31,001 --> 06:34:33,000 ECONOMIC CONSEQUENCESF THEIR 6470 06:34:33,001 --> 06:34:38,000 POTENTIAL FAILURE LATER. 6471 06:34:38,001 --> 06:34:39,000 I BELIE PERSONALLY 6472 06:34:39,001 --> 06:34:40,000 BELIEVE BREAK APART 6473 06:34:40,001 --> 06:34:42,000 TOO-BIG-TO-FAIL BANKS IS THE 6474 06:34:42,001 --> 06:34:43,000 FIRST STEP IN PREVENT AGO 6475 06:34:43,001 --> 06:34:44,000 NOSHING PSYCHE OF BOOM, BUST, 6476 06:34:44,001 --> 06:34:47,000 AND BAILOUT. 6477 06:34:47,001 --> 06:34:49,000 EVEN IF WE DO THAT THIS BILL IS 6478 06:34:49,001 --> 06:34:50,000 REQUIRED IF WE'RE GOING TO DEAL 6479 06:34:50,001 --> 06:34:51,000 WITH TOO BIG TO FAIL. 6480 06:34:51,001 --> 06:34:52,000 THIS DEBATE IS TEST OF WHETHER 6481 06:34:52,001 --> 06:34:53,000 THE POWER THAT HAVE IDEA CAN 6482 06:34:53,001 --> 06:34:56,000 SPREAD AND GAIN SUPPORT. 6483 06:34:56,001 --> 06:34:58,000 IT IS CLEARLY THE SAFEST WAY TO 6484 06:34:58,001 --> 06:35:00,000 AVOID ANOTHER FINANCIAL CRISIS. 6485 06:35:00,001 --> 06:35:01,000 THIS IDEA, AS SENATOR BROWN 6486 06:35:01,001 --> 06:35:03,000 SAID, MUST OVERCOME TREMENDOUS 6487 06:35:03,001 --> 06:35:05,000 RESISTANCE FROM WALL STREET 6488 06:35:05,001 --> 06:35:07,000 BANKS AND THEIR POLITICALLY 6489 06:35:07,001 --> 06:35:08,000 POWERFUL CAMPAIGNS AGAINST ANY 6490 06:35:08,001 --> 06:35:10,000 KIND OF STRUCTURAL FINANCIAL 6491 06:35:10,001 --> 06:35:12,000 REFORM. 6492 06:35:12,001 --> 06:35:15,000 MOREOVER, THE IDEA MUST OVERCOME 6493 06:35:15,001 --> 06:35:17,000 THE INERTIA AND THE CAUTION IN A 6494 06:35:17,001 --> 06:35:19,000 CONGRESS DRAWN TO EASIER IDEAS 6495 06:35:19,001 --> 06:35:21,000 THAN THEY WERE. 6496 06:35:21,001 --> 06:35:23,000 BUT HOW MUCH SHOULD WE GAMBLE 6497 06:35:23,001 --> 06:35:26,000 THAT THEY WILL WORK? 6498 06:35:26,001 --> 06:35:28,000 LIMITING SIZE AND LEVERAGE ARE 6499 06:35:28,001 --> 06:35:30,000 FAIL-SAFE PROVISIONS TO PREVENT 6500 06:35:30,001 --> 06:35:32,000 A DANGEROUS OUTCOME. 6501 06:35:32,001 --> 06:35:35,000 SENATOR BROWN AND I ARE 6502 06:35:35,001 --> 06:35:36,000 PROPOSING A COMPLEMENTARY IDEA: 6503 06:35:36,001 --> 06:35:38,000 TO LIMIT THE SIZE AND LEVERAGE, 6504 06:35:38,001 --> 06:35:40,000 NOT A SUBSTITUTE FOR BREAKING 6505 06:35:40,001 --> 06:35:42,000 THE BANKS APAMPLET THE CURRENT 6506 06:35:42,001 --> 06:35:43,000 BANKING BILL HAS MANY IMPORTANT 6507 06:35:43,001 --> 06:35:47,000 PROVISIONS THAT WE SUPPORT, BUT 6508 06:35:47,001 --> 06:35:48,000 UNDER ITS APPROACH, WE MUST HOPE 6509 06:35:48,001 --> 06:35:51,000 THE FINANCIAL STABILITY 6510 06:35:51,001 --> 06:35:52,000 OVERSIGHT COUNCIL CAN IDENTIFY 6511 06:35:52,001 --> 06:35:53,000 SYSTEMIC RISKS BEFORE IT'S TOO 6512 06:35:53,001 --> 06:35:55,000 LATE. 6513 06:35:55,001 --> 06:35:58,000 WE MUST HOPE THAT REGULATORS 6514 06:35:58,001 --> 06:36:00,000 WILL BE EMBOLDENED TO ACT IN A 6515 06:36:00,001 --> 06:36:01,000 TIMELY MANNER WHEN BEFORE AND IN 6516 06:36:01,001 --> 06:36:02,000 THE RECENT PAST THEY FAILED TO 6517 06:36:02,001 --> 06:36:06,000 ACT. 6518 06:36:06,001 --> 06:36:08,000 WE MUST HOPE BETTER TRANSPARENCY 6519 06:36:08,001 --> 06:36:10,000 IN FINANCIAL DATA WILL PRODUCE 6520 06:36:10,001 --> 06:36:14,000 EARLY WARNING SIGNALS OF 6521 06:36:14,001 --> 06:36:16,000 SYSTEMIC DANGER SO CLEAR THAT A 6522 06:36:16,001 --> 06:36:18,000 COUNCIL AND PANEL OF JUDGES WILL AGREE. 6523 06:36:18,001 --> 06:36:21,000 WE MUST HOPE THAT CAPITAL 6524 06:36:21,001 --> 06:36:22,000 REQUIREMENTS WILL BE SET 6525 06:36:22,001 --> 06:36:24,000 PROPERLY IN RELATION TO RISKS 6526 06:36:24,001 --> 06:36:27,000 THAT A ALL TOO OFTEN HIDDEN FROM VIEW. 6527 06:36:27,001 --> 06:36:29,000 WE MUST HOPE THE RESOLUTION 6528 06:36:29,001 --> 06:36:31,000 AUTHORITY WILL WORK WHEN WE KNOW 6529 06:36:31,001 --> 06:36:33,000 IT HAS NO CROSS-BORDER AUTHORITY 6530 06:36:33,001 --> 06:36:34,000 TO RESOLVE GLOBAL FINANCIAL INSTITUTIONS. 6531 06:36:34,001 --> 06:36:37,000 UNDER THE CURRENT BILL WE MUST 6532 06:36:37,001 --> 06:36:40,000 HOPE ALL FUTURE PRESIDENTS WILL 6533 06:36:40,001 --> 06:36:42,000 REGULATORS AS DETERMINED 6534 06:36:42,001 --> 06:36:44,000 TO CARRY OUT THE SAME STRICT 6535 06:36:44,001 --> 06:36:45,000 MEASURES PREACHED A BY TODAY'S 6536 06:36:45,001 --> 06:36:51,000 REGULATORS WHO HAVE BEEN 6537 06:36:51,001 --> 06:36:54,000 CONVERTED BY THE TRAUMATIC FAILURES. 6538 06:36:54,001 --> 06:36:56,000 ALL RULES TO RESTRICT EXCESSIVE 6539 06:36:56,001 --> 06:36:57,000 RISK TAKING IN BANKING HAVE A 6540 06:36:57,001 --> 06:36:58,000 HALF LIFETIME THAT IS BECAUSE 6541 06:36:58,001 --> 06:37:00,000 THE FINANCIAL SECTOR IS FU OF 6542 06:37:00,001 --> 06:37:02,000 VERY, VERY, VERY SMART PEOPLE 6543 06:37:02,001 --> 06:37:04,000 WITH AN INCENTIVE TO FIND THEIR 6544 06:37:04,001 --> 06:37:07,000 WAY AROUND THE RULES, 6545 06:37:07,001 --> 06:37:09,000 PARTICULARLY TO LOAD UP ON RISK, 6546 06:37:09,001 --> 06:37:11,000 AS THIS IS WHAT PROVIDES THEM 6547 06:37:11,001 --> 06:37:14,000 THEIR EXCESSIVE PROFITS AND 6548 06:37:14,001 --> 06:37:16,000 THEIR GIGANTIC BONUSES. 6549 06:37:16,001 --> 06:37:17,000 I WOULD RATHER NOT PIN THE 6550 06:37:17,001 --> 06:37:19,000 FUTURE OF THE AMERICAN ECONOMY 6551 06:37:19,001 --> 06:37:21,000 ON SO MUCH HOPE. 6552 06:37:21,001 --> 06:37:23,000 I WOULD RATHER CONGRESS ACT NOW 6553 06:37:23,001 --> 06:37:25,000 DEFINITIVELY AND RESPOON CIVIL 6554 06:37:25,001 --> 06:37:28,000 TO END TOO BIG TO FAIL. 6555 06:37:28,001 --> 06:37:30,000 THE CHANGES AND REGULATIONS 6556 06:37:30,001 --> 06:37:31,000 ENVOITION -- ENVISIONED TODAY IN 6557 06:37:31,001 --> 06:37:33,000 THE BILL THAT WE'RE PROPOSING 6558 06:37:33,001 --> 06:37:36,000 WOULD HELP INITIALLY, 6559 06:37:36,001 --> 06:37:40,000 PARTICULARLY IN THE NEXT --ING 6560 06:37:40,001 --> 06:37:42,000 IN -- PARTICULARLY THE NEXT 6561 06:37:42,001 --> 06:37:43,000 CANED WHO AINTERPOZ REGULATORS 6562 06:37:43,001 --> 06:37:45,000 WHO ONLY BELIEVE IN SELF-RETLE. 6563 06:37:45,001 --> 06:37:46,000 THIS BILL PUTS HARD LINES. 6564 06:37:46,001 --> 06:37:48,000 ONE OF THE GREATEST THINGS IS 6565 06:37:48,001 --> 06:37:49,000 GOOD FENCES MAKE GOOD NEIGHBORS. 6566 06:37:49,001 --> 06:37:51,000 THIS BUILDS THE FENCES. 6567 06:37:51,001 --> 06:37:54,000 THEN WE LET THE REGULATORS DO IT 6568 06:37:54,001 --> 06:37:55,000 AND WE DON'T HAVE TO WORRY ABOUT 6569 06:37:55,001 --> 06:37:57,000 THE PRESIDENT PICKING THE RIGHT 6570 06:37:57,001 --> 06:37:59,000 REGULATORS. 6571 06:37:59,001 --> 06:38:01,000 OUR BILL WOULD PROVIDE A 6572 06:38:01,001 --> 06:38:03,000 LEGISLATIVE SIZE AND LEVERAGES 6573 06:38:03,001 --> 06:38:05,000 RESTRICTION THAT WOULD LAST MORE 6574 06:38:05,001 --> 06:38:07,000 LONGER THAN THE HALF-LIFE OF WHO 6575 06:38:07,001 --> 06:38:08,000 IS APPOINTED TO BE REGULATOR. 6576 06:38:08,001 --> 06:38:09,000 WE WANT THITO OPERATE FOR A 6577 06:38:09,001 --> 06:38:12,000 GENERATION. 6578 06:38:12,001 --> 06:38:13,000 IN 1933 OUR FOREBEARERS CAME 6579 06:38:13,001 --> 06:38:15,000 DOWN AND MADE HARD RULES. 6580 06:38:15,001 --> 06:38:18,000 THEY PASSED GLASS-STEAGALL, THEY 6581 06:38:18,001 --> 06:38:19,000 SET UP THE FDIC, THEY SET RULES 6582 06:38:19,001 --> 06:38:20,000 AGAINST MARGINS, THEY SET THE 6583 06:38:20,001 --> 06:38:21,000 UPTICK RULE. 6584 06:38:21,001 --> 06:38:23,000 WEERVED DO NO LESS. 6585 06:38:23,001 --> 06:38:26,000 -- WE SHOULD DO NO LESS. 6586 06:38:26,001 --> 06:38:28,000 WHEN THEY PASSED THOSE BILLS IN 6587 06:38:28,001 --> 06:38:29,000 1933, THEY HELPED US AVOID A 6588 06:38:29,001 --> 06:38:32,000 FINANCIAL CRISIS FOR ALMOST 50 6589 06:38:32,001 --> 06:38:33,000 YEARS. 6590 06:38:33,001 --> 06:38:34,000 SOME WILL ARGUE THAT WE NEED 6591 06:38:34,001 --> 06:38:35,000 MASSIVE BANKS. 6592 06:38:35,001 --> 06:38:37,000 BUT RECENT STUDIES SHOW THAT 6593 06:38:37,001 --> 06:38:38,000 OVER $100 BILLION IN ASSETS AND 6594 06:38:38,001 --> 06:38:39,000 BY THE WAY THESE -- WE HAVE 6595 06:38:39,001 --> 06:38:43,000 BANKS, AS SENATOR BROWN SAID, 6596 06:38:43,001 --> 06:38:45,000 WITH OVER $2 TRILLION WORTH OF ASSETS. 6597 06:38:45,001 --> 06:38:46,000 FINANCIAL INSTITUTIONS NO LONGER 6598 06:38:46,001 --> 06:38:49,000 ACHIEVE ADDITIONAL ECONOMIES OF 6599 06:38:49,001 --> 06:38:50,000 SCALE ABOVE $100 BILLION. 6600 06:38:50,001 --> 06:38:51,000 THEY SIMPLY BECOME DANGEROUS 6601 06:38:51,001 --> 06:38:53,000 CONCENTRATIONS OF FINANCIAL 6602 06:38:53,001 --> 06:38:54,000 POWER THAT BENEFIT FROM AN 6603 06:38:54,001 --> 06:38:58,000 IMPLICIT GOVERNMENT GUARANTEE 6604 06:38:58,001 --> 06:38:59,000 THEY WILL BE SAVED IF THEY FAIL. 6605 06:38:59,001 --> 06:39:01,000 WITH THIS IMPLICIT GUARANTEE 6606 06:39:01,001 --> 06:39:02,000 THESE FIRMS WILL CONTINUE TO 6607 06:39:02,001 --> 06:39:03,000 HAVE EVERY INCENTIVE TO USE 6608 06:39:03,001 --> 06:39:06,000 MASSIVE AMOUNTS OF SHORT-TERM 6609 06:39:06,001 --> 06:39:07,000 DEBT TO FINANCE THE PURCHASE OF 6610 06:39:07,001 --> 06:39:08,000 RISKY ASSETS. 6611 06:39:08,001 --> 06:39:10,000 THAT'S WHAT THIS BILL WOULD DEAL. 6612 06:39:10,001 --> 06:39:11,000 IT WOULD DEAL WITH THEIR ABILITY 6613 06:39:11,001 --> 06:39:12,000 TO BE ABLE TO DO THAT AND WOULD 6614 06:39:12,001 --> 06:39:14,000 STOP IT. 6615 06:39:14,001 --> 06:39:16,000 THEY WOULD GO ON AND DO THIS WITHOUT US. 6616 06:39:16,001 --> 06:39:17,000 THEY'VE DONE IT IN THE PAST AND 6617 06:39:17,001 --> 06:39:19,000 THERE'S NO REASON TO THINK THE 6618 06:39:19,001 --> 06:39:21,000 WON'T DO IT IN THE FUTURE. 6619 06:39:21,001 --> 06:39:22,000 UNTIL THEY CAUSE THE NEXT CRISIS 6620 06:39:22,001 --> 06:39:24,000 AND THE TAXPAYERS MUST BAIL THEM 6621 06:39:24,001 --> 06:39:26,000 OUT AGAIN. 6622 06:39:26,001 --> 06:39:27,000 WHILE THE $100 BILLION BANKS 6623 06:39:27,001 --> 06:39:28,000 WOULD BE SMALLER, THEY ARE NOT 6624 06:39:28,001 --> 06:39:29,000 SMALL BANKS. 6625 06:39:29,001 --> 06:39:30,000 AND SUCH BANKS WOULD HAVE NO 6626 06:39:30,001 --> 06:39:31,000 TROUBLE COMPETING AROUND THE 6627 06:39:31,001 --> 06:39:33,000 WORLD. 6628 06:39:33,001 --> 06:39:35,000 AND UNDER THIS BILL, WE WOULD 6629 06:39:35,001 --> 06:39:37,000 STILL HAVE BANKS FAR BIGGER THAN 6630 06:39:37,001 --> 06:39:38,000 EVEN THAT SIZE. 6631 06:39:38,001 --> 06:39:40,000 JUST BECAUSE -- AND PEOPLE SAY 6632 06:39:40,001 --> 06:39:41,000 TO ME, WELL, LOOK AT THE OTHER 6633 06:39:41,001 --> 06:39:43,000 COUNTRIES. 6634 06:39:43,001 --> 06:39:45,000 LOOK WHAT THER IN A DOING. 6635 06:39:45,001 --> 06:39:46,000 JUST BECAUSE OTHER LOOK WHAT THE 6636 06:39:46,001 --> 06:39:49,000 THEY'RE DOING. 6637 06:39:49,001 --> 06:39:52,000 JUST BECAUSE OTHER COUNTRIES 6638 06:39:52,001 --> 06:39:55,000 HAVE BANKS THAT COULD SEND THEIR 6639 06:39:55,001 --> 06:39:56,000 COUNTRY INTO A FINANCIAL CRISIS, 6640 06:39:56,001 --> 06:39:57,000 DOESN'T MEAN WE SHOULD DO THE 6641 06:39:57,001 --> 06:40:00,000 SAME. EVERYONE AGREES THE MOST 6642 06:40:00,001 --> 06:40:01,000 IMPORTANT THING IS TOO BIG TO FAIL. 6643 06:40:01,001 --> 06:40:02,000 HOW MUCH CAN WE RISK THAT, BY 6644 06:40:02,001 --> 06:40:04,000 DOING WHAT OTHER COUNTRIES ARE 6645 06:40:04,001 --> 06:40:05,000 DOING WHEN THEY'RE CREATING 6646 06:40:05,001 --> 06:40:08,000 BANKS THAT ARE CLEARLY TOO BIG 6647 06:40:08,001 --> 06:40:09,000 TO FAIL? 6648 06:40:09,001 --> 06:40:12,000 MOST PEOPLE IN THE OIL INDUSTRY 6649 06:40:12,001 --> 06:40:14,000 DID WELL NDERS THE BREAK -- DID 6650 06:40:14,001 --> 06:40:15,000 WELL UNDER THE BREAKUP OF 6651 06:40:15,001 --> 06:40:18,000 STANDARD OIL? 6652 06:40:18,001 --> 06:40:20,000 AND THE BREAKUP OF AT&T HELPED 6653 06:40:20,001 --> 06:40:21,000 THE TELECOM INDUSTRY BECOME MORE 6654 06:40:21,001 --> 06:40:23,000 COMPETITIVE AND PROFITABLE. 6655 06:40:23,001 --> 06:40:24,000 THE BILL CONTAINS MANY IMPORTANT 6656 06:40:24,001 --> 06:40:26,000 PROVISIONS THAT ADDRESS THE 6657 06:40:26,001 --> 06:40:28,000 CAUSES OF THE FINANCIAL CRISIS 6658 06:40:28,001 --> 06:40:29,000 BUT WHY RISK LEAVING OVERSIZE 6659 06:40:29,001 --> 06:40:32,000 INSTITUTIONS IN PLACE WHERE THEY 6660 06:40:32,001 --> 06:40:34,000 POTENTIALLY ARE TOO BIG TO FL? 6661 06:40:34,001 --> 06:40:35,000 INSTEAD, WE SHOULD MEET THE 6662 06:40:35,001 --> 06:40:38,000 CHALLENGE OF THE MOMENT AND THE 6663 06:40:38,001 --> 06:40:40,000 COURAGE TO ACT, AS IN THIS BILL, 6664 06:40:40,001 --> 06:40:43,000 TO LIMIT THE SIZE AND PRACTICES 6665 06:40:43,001 --> 06:40:44,000 OF THESE LITERALLY COLOSSAL FINANCIAL INSTITUTIONS, THE 6666 06:40:44,001 --> 06:40:47,000 STABILITY OF WHICH IS AHREAT 6667 06:40:47,001 --> 06:40:49,000 TO OUR ECONOMY. 6668 06:40:49,001 --> 06:40:50,000 THIS BILL IS THE BEST HOPE TO 6669 06:40:50,001 --> 06:40:52,000 ENSURE FUTURE DECADES OF 6670 06:40:52,001 --> 06:40:53,000 FINANCIAL STABILITY AND THE 6671 06:40:53,001 --> 06:40:55,000 LIVELIHOODS OF THE AMERICAN PEOPLE. 6672 06:40:55,001 --> 06:40:57,000 THIS BILL WOULD PUT THE DAYS OF 6673 06:40:57,001 --> 06:41:01,000 TOO BIG TO FAIL FOREVER BEHIND 6674 06:41:01,001 --> 06:41:03,000 US. 6675 06:41:03,001 --> 06:41:05,000 MR. BROWN: SENATOR, YOU KNOW, 6676 06:41:05,001 --> 06:41:07,000 THIS IS -- THIS IS -- SOME 6677 06:41:07,001 --> 06:41:09,000 PEOPLE THINK ABOUT THIS AS -- 6678 06:41:09,001 --> 06:41:10,000 IT'S A PRETTY BIG STEP TO 6679 06:41:10,001 --> 06:41:12,000 DECIDE, YOU KNOW, WE WANT TO 6680 06:41:12,001 --> 06:41:13,000 LIMIT THE SIZE OF BAIFNTLE IT'S 6681 06:41:13,001 --> 06:41:14,000 NOT SOMETHING WE LIKE TO DO. 6682 06:41:14,001 --> 06:41:16,000 WE DON'T WANT TO DO MORE 6683 06:41:16,001 --> 06:41:18,000 REGULATION THAN WE HAVE TO. 6684 06:41:18,001 --> 06:41:19,000 WE DON'T WANT TO TELL SUCCESSFUL 6685 06:41:19,001 --> 06:41:20,000 COMPANIES NOT TO GROW. 6686 06:41:20,001 --> 06:41:22,000 BUT WHEN YOU LOOK AT -- WHEN YOU 6687 06:41:22,001 --> 06:41:25,000 LOOK AT WHAT'S HAPPENED IN THE 6688 06:41:25,001 --> 06:41:27,000 PAST, YOU LOOK AT WHAT SENATOR 6689 06:41:27,001 --> 06:41:28,000 KAUFMAN SAID, THAT WE DID THIS 6690 06:41:28,001 --> 06:41:31,000 RIGHT IN THE 1930'S AND IT 6691 06:41:31,001 --> 06:41:34,000 PROTECTED OUR FINANCIAL SYSTEM, 6692 06:41:34,001 --> 06:41:35,000 WITH A FEW HICKUPS BUT WITH NO 6693 06:41:35,001 --> 06:41:37,000 SERIOUS, SERIOUS PROBLEMS UNTIL 6694 06:41:37,001 --> 06:41:39,000 THE END OF THIS LAST DECADE WHEN 6695 06:41:39,001 --> 06:41:41,000 PRESIDENT BUSH AND THE CONGRESS 6696 06:41:41,001 --> 06:41:44,000 -- STARTING WITH PRESIDENT 6697 06:41:44,001 --> 06:41:46,000 CLINTON 6698 06:41:46,001 --> 06:41:47,000 ACCELERATED IT, WEAKENED 6699 06:41:47,001 --> 06:41:48,000 REGULATION, REPEALED REGULATION 6700 06:41:48,001 --> 06:41:50,000 AND WHEN THERE WAS REGULATION 6701 06:41:50,001 --> 06:41:53,000 APPOINTED, YOU MIGHT USE THE 6702 06:41:53,001 --> 06:41:56,000 TERM "LAP DOGS" -- THAT MIGHT 6703 06:41:56,001 --> 06:41:58,000 NOT BE A SENATORIAL WORD. 6704 06:41:58,001 --> 06:42:00,000 MR. KAUFMAN: PEOPLE WHO 6705 06:42:00,001 --> 06:42:02,000 SELF-REGULATION WILL WORK. 6706 06:42:02,001 --> 06:42:03,000 ALAN GREENSPAN WAS ALSO QUOTED 6707 06:42:03,001 --> 06:42:04,000 AS SAYING THAT WE SHOULD BREAK 6708 06:42:04,001 --> 06:42:05,000 THE BANKS UP. 6709 06:42:05,001 --> 06:42:07,000 AT THE TIME HE SAID, AFTER IT 6710 06:42:07,001 --> 06:42:09,000 WAS OVER, A YEAR LATER HE GAVE A 6711 06:42:09,001 --> 06:42:10,000 PEACH AND HE SAID, LOOK, YOU 6712 06:42:10,001 --> 06:42:11,000 KNOWREALLY THOUG 6713 06:42:11,001 --> 06:42:13,000 SELF-REGULATION WOULD WORK AND 6714 06:42:13,001 --> 06:42:15,000 I'LL DISMAYED THAT IT DIDN'T. 6715 06:42:15,001 --> 06:42:17,000 AND THE WAY I PUT IT, IT WAS 6716 06:42:17,001 --> 06:42:19,000 LIKE THERE WAS A WHOLE GROUP OF 6717 06:42:19,001 --> 06:42:20,000 FOLKS -- NOT JUST 6718 06:42:20,001 --> 06:42:22,000 FINANCIAL REGULATORY, BUT ALL 6719 06:42:22,001 --> 06:42:23,000 OVER THE GOVERNMENT -- WHO 6720 06:42:23,001 --> 06:42:26,000 BASICALLY BELIEVED THE MARKETS ARE GREAT. 6721 06:42:26,001 --> 06:42:28,000 I AM A BIG BELIEVER IN MARKETS 6722 06:42:28,001 --> 06:42:29,000 BUT I ALSO LIKE FOOTBALL. 6723 06:42:29,001 --> 06:42:30,000 AND THE IDEA THAT SOMEBODY WOULD 6724 06:42:30,001 --> 06:42:34,000 SAY, FOOTBALL IS REALLY GREAT 6725 06:42:34,001 --> 06:42:35,000 BUT THE REFEREES KEEP BLOWING 6726 06:42:35,001 --> 06:42:37,000 THEIR DAMN 6727 06:42:37,001 --> 06:42:39,000 LET'S GET THE REFEREES OFF THE 6728 06:42:39,001 --> 06:42:41,000 FIELD SO FOOTBALL PLAYERS CAN BE FOOTBALL PLAYERS. 6729 06:42:41,001 --> 06:42:43,000 THAT'S WHAT WE ESSENTIALLY SAID. 6730 06:42:43,001 --> 06:42:47,000 WE KNEW WHAT WOULD HAPPEN IF YOU 6731 06:42:47,001 --> 06:42:49,000 PULLED ALL THE REFEREES OFF THE FIELD. 6732 06:42:49,001 --> 06:42:51,000 I WOULDN'T WANT TO BE IN THE PILE. 6733 06:42:51,001 --> 06:42:53,000 WE SAID 'RE GOING TO PULL THE 6734 06:42:53,001 --> 06:42:54,000 REFEREES OFF THE FIELD AND SEE 6735 06:42:54,001 --> 06:42:55,000 WHAT HAPPENS. 6736 06:42:55,001 --> 06:42:56,000 THESE WERE GOOD PEOPLE. 6737 06:42:56,001 --> 06:42:57,000 THEY JUST DIDN'T BIEVE THAT 6738 06:42:57,001 --> 06:42:59,000 THEY HAD TO REGULATE. 6739 06:42:59,001 --> 06:43:00,000 WE'RE NOW SEEING THE RESULTS. 6740 06:43:00,001 --> 06:43:03,000 AND SENATOR T, SENATOR BROWN, 6741 06:43:03,001 --> 06:43:04,000 PEOPLE SAY TO US, WHEN WE 6742 06:43:04,001 --> 06:43:07,000 PROPOSE THESE THINGS -- I'M SURE 6743 06:43:07,001 --> 06:43:09,000 YOU GET THE SAME 6744 06:43:09,001 --> 06:43:10,000 , LOOK, WHY DON'T WE JUST LEAVE 6745 06:43:10,001 --> 06:43:12,000 IT UP TO THE REGULATORS? 6746 06:43:12,001 --> 06:43:13,000 THEY CAN SET THESE NUMBERS. 6747 06:43:13,001 --> 06:43:14,000 WE SHOULDN'T SET THESE NUMBERS. 6748 06:43:14,001 --> 06:43:16,000 LET ME READ FROM A COUPLE OF 6749 06:43:16,001 --> 06:43:19,000 THINGS. 6750 06:43:19,001 --> 06:43:23,000 THE 1970 BANK HOLDING COMPANY 6751 06:43:23,001 --> 06:43:24,000 ACT AMOUN AMENDMENTS GAVE THE FED THE 6752 06:43:24,001 --> 06:43:26,000 POWER TO TERMINATE A CPS 6753 06:43:26,001 --> 06:43:27,000 AUTHORITY TO ENGAGE IN 6754 06:43:27,001 --> 06:43:28,000 NONBANKING ACTIVITIES, BASICALLY 6755 06:43:28,001 --> 06:43:30,000 DOING WHAT WE'RE TALKING ABOUT 6756 06:43:30,001 --> 06:43:32,000 DOING, IF IT FIND SUCH ACTIONS 6757 06:43:32,001 --> 06:43:33,000 NECESSARY TO PREVENT UNDUE 6758 06:43:33,001 --> 06:43:36,000 CONCENTRATION OF RESOURCES. 6759 06:43:36,001 --> 06:43:37,000 I WONDER IF THAT WENT ON 6760 06:43:37,001 --> 06:43:39,000 RECENTLY? 6761 06:43:39,001 --> 06:43:41,000 -- DRESSED OR UAIR COMPETION 6762 06:43:41,001 --> 06:43:42,000 -- ADDRESSED OR UNFAIR 6763 06:43:42,001 --> 06:43:43,000 COMPETITION -- DECREASED OR 6764 06:43:43,001 --> 06:43:46,000 UNFAIR COMPETION, CONFLICTS OF 6765 06:43:46,001 --> 06:43:47,000 INTERE, OR UNSOUND BANKING PRACTICES. 6766 06:43:47,001 --> 06:43:48,000 THEY HAD -- THE FED HAD THE 6767 06:43:48,001 --> 06:43:51,000 POWER TO DO THIS. 6768 06:43:51,001 --> 06:43:54,000 THEY DID NOT DO THIS. 6769 06:43:54,001 --> 06:43:56,000 THE FINANCIAL REFORM RECOVERY 6770 06:43:56,001 --> 06:43:59,000 ACT ALSO GAVE THEM THE POWER TO 6771 06:43:59,001 --> 06:44:00,000 RESTRICT AN INSTITUTION'S SIZE. 6772 06:44:00,001 --> 06:44:02,000 WHAT WE'RE TALKING ABOUT NOW IS 6773 06:44:02,001 --> 06:44:04,000 GIVING THE REGULATORS 6774 06:44:04,001 --> 06:44:05,000 ESSENTIALLY WHAT THEY ALREADY 6775 06:44:05,001 --> 06:44:07,000 HAVE IN THE PRESENT BILL. 6776 06:44:07,001 --> 06:44:08,000 WHAT SENATOR BROWN ANDRY SAYING 6777 06:44:08,001 --> 06:44:11,000 AND THE OTHER COSPONSORS ARE 6778 06:44:11,001 --> 06:44:13,000 SAYING IS, LOOK, THE BUCK STOPS HERE. 6779 06:44:13,001 --> 06:44:14,000 WE SHOULD TELL THE REGULATORS 6780 06:44:14,001 --> 06:44:15,000 WHAT THESE PERCENTAGES ARE GOING 6781 06:44:15,001 --> 06:44:17,000 TO BE BECAUSE IF YOU LEAVE IT UP 6782 06:44:17,001 --> 06:44:19,000 -- THIS IS VERY DIFFICULT. 6783 06:44:19,001 --> 06:44:20,000 AS SENATOR BROWN SAID, THESE ARE 6784 06:44:20,001 --> 06:44:22,000 VERY POWERFUL PEOPLE AND VERY 6785 06:44:22,001 --> 06:44:23,000 POWERFUL INSTITUTIONS. 6786 06:44:23,001 --> 06:44:24,000 AND THEY HIRE THE VERY BEST 6787 06:44:24,001 --> 06:44:25,000 PEOPLE TO COME AND MAKE THEIR 6788 06:44:25,001 --> 06:44:27,000 ARGUMENTS. 6789 06:44:27,001 --> 06:44:29,000 SO IF YOU'RE SIGNATURE THERE 6790 06:44:29,001 --> 06:44:31,000 RUNNING A REGULATORY AGENCY AND 6791 06:44:31,001 --> 06:44:33,000 YOU'RE SAY, OH, MY GOD, I DON'T 6792 06:44:33,001 --> 06:44:34,000 WANT TO DO 6793 06:44:34,001 --> 06:44:36,000 SHRINK THESE THINGS DOWNES. 6794 06:44:36,001 --> 06:44:37,000 AND REMBER ONE OTHER THING, 6795 06:44:37,001 --> 06:44:38,000 TOO. 6796 06:44:38,001 --> 06:44:40,000 AS BAD AS THINGS WERE IN THIS 6797 06:44:40,001 --> 06:44:41,000 LATEST CRISIS, THINK ABOUT 6798 06:44:41,001 --> 06:44:42,000 WHAT'S HAPPENED DURING THIS 6799 06:44:42,001 --> 06:44:44,000 CRIS. 6800 06:44:44,001 --> 06:44:47,000 THEY'VE ALL EXPLODED. 6801 06:44:47,001 --> 06:44:49,000 WHAT DID WE HAVE HAPPEN? 6802 06:44:49,001 --> 06:44:51,000 J.P. MORGAN CHASE, THEY NOW 6803 06:44:51,001 --> 06:44:52,000 INCLUDE WASHINGTON MUTUAL, ADS 6804 06:44:52,001 --> 06:44:55,000 400 BILLION BANK. 6805 06:44:55,001 --> 06:44:58,000 BANK OF THE AMERICA NOW INCLUDES 6806 06:44:58,001 --> 06:44:59,000 MERRILL LITHUANIA. 6807 06:44:59,001 --> 06:45:01,000 BANK OF 6808 06:45:01,001 --> 06:45:04,000 AMERICA NOW INCLUDES MERRILL LYNCH. 6809 06:45:04,001 --> 06:45:06,000 WELLS FARGO NOW 6810 06:45:06,001 --> 06:45:08,000 THESE WERE WERE BIG. 6811 06:45:08,001 --> 06:45:11,000 WE PUT THE REGULATION N WE 6812 06:45:11,001 --> 06:45:12,000 CHANGED THE LAWS. 6813 06:45:12,001 --> 06:45:16,000 NOW THEY ARE BIGGER. 6814 06:45:16,001 --> 06:45:17,000 AS HE SAYS, 63% -- THEIR ASSETS 6815 06:45:17,001 --> 06:45:20,000 ARE 63% OF THE GROSS DOMESTIC 6816 06:45:20,001 --> 06:45:21,000 PRODUCT OF THIS COUNTRY. 6817 06:45:21,001 --> 06:45:23,000 15 YEARS AGO THEY WERE 17% OF 6818 06:45:23,001 --> 06:45:25,000 GROSS DOMESTIC PRODUCT. 6819 06:45:25,001 --> 06:45:26,000 WHAT DO WE HAVE D.O.D. H. TO DO 6820 06:45:26,001 --> 06:45:28,000 BEFORE SOMEONE SENDS THE MESSAGE 6821 06:45:28,001 --> 06:45:29,000 THAT THESE THINGS ARE TOO BIG 6822 06:45:29,001 --> 06:45:31,000 UNDERSTAND THAT THIS CONGRESS, 6823 06:45:31,001 --> 06:45:32,000 NOT PASS THE BUCK TO THE 6824 06:45:32,001 --> 06:45:34,000 REGULATORS WHO DIDN'T DO THE JOB 6825 06:45:34,001 --> 06:45:35,000 IN THE PAST AND LET ME JUST SAY 6826 06:45:35,001 --> 06:45:36,000 THIS. 6827 06:45:36,001 --> 06:45:38,000 I THINK THE WORLD OF OUR REGULATORS NOW. 6828 06:45:38,001 --> 06:45:41,000 I DON'T THINK THEY'RE PEOPLE 6829 06:45:41,001 --> 06:45:44,000 REGULATING NOW THAT WHO BAIIVE 6830 06:45:44,001 --> 06:45:46,000 BASICALLY BELIEVE WE SHOULDN'T REGULATE. 6831 06:45:46,001 --> 06:45:47,000 WE MADE A DISHAITION HELPED US 6832 06:45:47,001 --> 06:45:49,000 THROUGH THREE GENERATION. 6833 06:45:49,001 --> 06:45:50,000 WHAT DO WE DO WITH SENATORS ON 6834 06:45:50,001 --> 06:45:52,000 THE FLOOR PASSING LEGISLATION 6835 06:45:52,001 --> 06:45:53,000 BASED ON THE FACT I TRUST MY REGULATORS NOW. 6836 06:45:53,001 --> 06:45:55,000 WHY AREN'T WE PASSING 6837 06:45:55,001 --> 06:45:56,000 LEGISLATION THAT WILL WORK OVER 6838 06:45:56,001 --> 06:45:57,000 THE NEXT TWO OR THREE 6839 06:45:57,001 --> 06:45:58,000 GENERATIONS? 6840 06:45:58,001 --> 06:45:59,000 SOMETHING THAT WILL WORK WHETHER 6841 06:45:59,001 --> 06:46:01,000 WE GET A PRESIDENT THAT 6842 06:46:01,001 --> 06:46:04,000 WE SHOULD HAVE MARKET OR NOT, 6843 06:46:04,001 --> 06:46:05,000 WHETHER WE HAVE A 6844 06:46:05,001 --> 06:46:08,000 GOOD REGULATOR OR NOT. 6845 06:46:08,001 --> 06:46:09,000 WHY SHOULDN'T THE UNITED STATES 6846 06:46:09,001 --> 06:46:10,000 DO ITS JOB AND BASICALLY 6847 06:46:10,001 --> 06:46:11,000 RESTRICTIONS OF THE KIND THAT 6848 06:46:11,001 --> 06:46:13,000 ARE IN THIS BILL SO THAT THE 6849 06:46:13,001 --> 06:46:15,000 REGULATO HAVE? THEN THEY CAN ENFORCE IT. 6850 06:46:15,001 --> 06:46:16,000 THEY CAN DO THE ENFORCEMENT, 6851 06:46:16,001 --> 06:46:17,000 WHICH IS THEIR JOB. 6852 06:46:17,001 --> 06:46:18,000 BUT WE JUST SEND A CLEAR MESSAGE 6853 06:46:18,001 --> 06:46:20,000 TO PEOPLE THAT THIS IS WHAT WE 6854 06:46:20,001 --> 06:46:21,000 HAVE TO DO. 6855 06:46:21,001 --> 06:46:22,000 MR. BROWN: EXACTLY. 6856 06:46:22,001 --> 06:46:25,000 SENATOR KAUFMAN MADE A POINT 6857 06:46:25,001 --> 06:46:27,000 MAYBE FIVE MINUTES AGO THAT -- 6858 06:46:27,001 --> 06:46:30,000 THAT SOME OF THE SMARTEST PEOPLE 6859 06:46:30,001 --> 06:46:31,000 IN THE COUNTRY ARE WORKING ON 6860 06:46:31,001 --> 06:46:33,000 WALL STREET, AND THERE IS -- 6861 06:46:33,001 --> 06:46:35,000 THERE IS HUGE INCENTIVE FOR 6862 06:46:35,001 --> 06:46:39,000 SMART PEOPLE TO GO TO WALL 6863 06:46:39,001 --> 06:46:41,000 STREET AND BE CREATIVE AND -- 6864 06:46:41,001 --> 06:46:43,000 AND INVENT NEW INSTRUMENTS AND 6865 06:46:43,001 --> 06:46:47,000 NEW FINANCIAL INSTRUMENTS AND 6866 06:46:47,001 --> 06:46:48,000 SAY IN MANY WAYS A STEP -- STAY 6867 06:46:48,001 --> 06:46:49,000 ASTEP AHEAD OF THE REGULATORS, 6868 06:46:49,001 --> 06:46:50,000 IN SOME SENSE A STEP AHEAD OF 6869 06:46:50,001 --> 06:46:52,000 THE SHERIFF, IF YOU WILL. 6870 06:46:52,001 --> 06:46:55,000 AND THOSE REGULATORS, WHO ARE 6871 06:46:55,001 --> 06:46:57,000 PAID PROBABLY 1/10th 6872 06:46:57,001 --> 06:46:58,000 1/100th -- THE REGULATORS ARE 6873 06:46:58,001 --> 06:46:59,000 PAID DECENT MIDDLE-CLASS 6874 06:46:59,001 --> 06:47:00,000 SALARIES THAT MOST AMERICANS 6875 06:47:00,001 --> 06:47:01,000 WOULD BE VERY HAPPY WITH BUT 6876 06:47:01,001 --> 06:47:03,000 SOME OF THESE VERY SMART PEOPLE 6877 06:47:03,001 --> 06:47:05,000 ON WALL STREET ARE PAID A 6878 06:47:05,001 --> 06:47:06,000 HUNDRED TIME, A THOUSAND TIMES, 6879 06:47:06,001 --> 06:47:08,000 TENS OF MILLIONS OF DOLLARS AND 6880 06:47:08,001 --> 06:47:10,000 THERE IS HUGE INCENTIVE FOR THEM 6881 06:47:10,001 --> 06:47:11,000 TO FIGURE OUT HOW TO STAY AHEAD 6882 06:47:11,001 --> 06:47:12,000 OF THE REGULATORS. 6883 06:47:12,001 --> 06:47:14,000 THAT'S WHY SO IT'S SO IMPORTANT 6884 06:47:14,001 --> 06:47:16,000 THAT WE -- WE HAVE STRONG 6885 06:47:16,001 --> 06:47:19,000 REGULATORS, WE HAVE -- WE ALWAYS WORK TO DO THAT. 6886 06:47:19,001 --> 06:47:20,000 AND WE HAVE GOOD 6887 06:47:20,001 --> 06:47:23,000 BUT -- AND IT'S IMPORTANT THAT A PRESIDENT APPOINT PEOPLE WHO 6888 06:47:23,001 --> 06:47:24,000 HAVE THE PUBLIC INTEREST IN 6889 06:47:24,001 --> 06:47:25,000 MIND, WHEN PRESIDENTS HAVEN'T 6890 06:47:25,001 --> 06:47:27,000 ALWAYS DONE IN THE LAST DECADE, 6891 06:47:27,001 --> 06:47:28,000 AND IT'S IMPORTANT THAT WE WRITE 6892 06:47:28,001 --> 06:47:29,000 DIFFERENT RULES, AND THAT'S 6893 06:47:29,001 --> 06:47:32,000 EXACTLY WHAT -- WHAT WE WANT TO 6894 06:47:32,001 --> 06:47:34,000 DO TO 6895 06:47:34,001 --> 06:47:35,000 AND WE HAD PROBLEMS WITH RATING 6896 06:47:35,001 --> 06:47:37,000 AGENCIES WHO GAMED THE SYSTEM. 6897 06:47:37,001 --> 06:47:38,000 WE HAD PROBLEMS WITH MORTGAGE BROKERS. 6898 06:47:38,001 --> 06:47:41,000 WE HAD PROBLEMS WITH WALL STREET. 6899 06:47:41,001 --> 06:47:43,000 WE HAD PROBLEMS WITH PEOPLE 6900 06:47:43,001 --> 06:47:44,000 CREATING THESE NEW C.D.O.'S AND 6901 06:47:44,001 --> 06:47:46,000 OTHER FINANCIAL INSTRUMENTS, 6902 06:47:46,001 --> 06:47:48,000 PARTICULARLY THE SO-CALLED 6903 06:47:48,001 --> 06:47:50,000 SYNTHETIC ONES THAT HAD NO REAL 6904 06:47:50,001 --> 06:47:52,000 BASIS IN ANY -- ANY WEALTH 6905 06:47:52,001 --> 06:47:54,000 CREATION FOR SOCIETY, ONLY 6906 06:47:54,001 --> 06:47:56,000 WEALTH CREATION FOR EAC OTHER. 6907 06:47:56,001 --> 06:47:57,000 AND THAT SIMPLY DOESN'T WORK FOR 6908 06:47:57,001 --> 06:47:58,000 FOR -- ULTIMATELY IT DOESN'T WORK FOR WALL STREET. 6909 06:47:58,001 --> 06:47:59,000 IT CERTAINLY DOESN'T WORK FOR 6910 06:47:59,001 --> 06:48:04,000 OUR COUNTRY. 6911 06:48:04,001 --> 06:48:06,000 SO IN 6912 06:48:06,001 --> 06:48:07,000 WILL - 6913 06:48:07,001 --> 06:48:09,000 WE'RE INTRODUCING IT TODAY, FIVE 6914 06:48:09,001 --> 06:48:10,000 OR SIX OF US WILL OFFER IT AS AN 6915 06:48:10,001 --> 06:48:12,000 AMENDMENT SOMETIME IN T NEXT WEEK OR TWO. 6916 06:48:12,001 --> 06:48:15,000 WE ASK OUR COLLEAGUES SUPPORT IT. 6917 06:48:15,001 --> 06:48:16,000 IF WE'RE GOING TO DEAL WITH 6918 06:48:16,001 --> 06:48:17,000 TOO-BIG-TO-FAIL, WE SURELY TO 6919 06:48:17,001 --> 06:48:18,000 WANT DEAL WITH IT ON THE END IF 6920 06:48:18,001 --> 06:48:21,000 THERE ARE BANKS THAT ARE ABOUT 6921 06:48:21,001 --> 06:48:24,000 TO FAIL, BUT WE NEED TO 6922 06:48:24,001 --> 06:48:25,000 SORT OF AHEAD OF TIME, 6923 06:48:25,001 --> 06:48:27,000 ANTICIPATION DEAL WITH IT BY NOT 6924 06:48:27,001 --> 06:48:29,000 LETTING THESE BANKS WHO, NO 6925 06:48:29,001 --> 06:48:31,000 MATTER HOW GOOD THE REGULATORS 6926 06:48:31,001 --> 06:48:32,000 ARE, NOT LETTING THESE BANKS GET 6927 06:48:32,001 --> 06:48:35,000 TOO BIG. 6928 06:48:35,001 --> 06:48:36,000 REGULATORS THE TOOLS THEY NEED 6929 06:48:36,001 --> 06:48:37,000 TO DO THEIR JOB AND THE -- AND 6930 06:48:37,001 --> 06:48:39,000 THE GUIDELINES BECAUSE WE KNOW 6931 06:48:39,001 --> 06:48:41,000 WHAT THESE GUIDELINES ARE. 6932 06:48:41,001 --> 06:48:43,000 THESE ARE NOT REALLY 6933 06:48:43,001 --> 06:48:44,000 TE 6934 06:48:44,001 --> 06:48:46,000 THEY'RE JUST THE ABILITY TO STOP 6935 06:48:46,001 --> 06:48:48,000 WHAT'S GOING ON NOW, TO GET 6936 06:48:48,001 --> 06:48:49,000 BANKS BACK TO THE SIZE THEY CAN 6937 06:48:49,001 --> 06:48:51,000 BE MANAGED. 6938 06:48:51,001 --> 06:48:52,000 AS SENATOR BROWN SAID, THEY -- 6939 06:48:52,001 --> 06:48:53,000 THESE BANKS HAVE A COMPETIVE 6940 06:48:53,001 --> 06:48:55,000 ADVANTAGE BECAUSE WHEN THEY'RE 6941 06:48:55,001 --> 06:48:56,000 TOO BIG TO FAIL, NOT ONLY DO WE 6942 06:48:56,001 --> 06:48:58,000 HAVE TO WORRY ABOUT BAILING THEM 6943 06:48:58,001 --> 06:48:59,000 OUT, BUT THEY GET ALL THEIR 6944 06:48:59,001 --> 06:49:00,000 INTEREST RE CHARGES ARE LOW. 6945 06:49:00,001 --> 06:49:02,000 AND WE KNOW THAT. 6946 06:49:02,001 --> 06:49:03,000 THE INTEREST RATE CHARGES ON 6947 06:49:03,001 --> 06:49:05,000 C.D.'S ON THESE MAJOR BANKS, 6948 06:49:05,001 --> 06:49:06,000 THEY GET HIGHER INTEREST RATE 6949 06:49:06,001 --> 06:49:08,000 THAN OTHER BANKS. AND IT'S UNFAIR COMPETION TO 6950 06:49:08,001 --> 06:49:10,000 ALL THE OTHER SMALL BANKS AROUND THE COUNTRY. 6951 06:49:10,001 --> 06:49:11,000 SO THIS IS NOT -- AS I SAID IN 6952 06:49:11,001 --> 06:49:12,000 THE BEGINNING OF MY REMARKS, 6953 06:49:12,001 --> 06:49:13,000 THIS IS A VERY SPLE 6954 06:49:13,001 --> 06:49:15,000 PROPOSITION, IS THE SENATE GOING 6955 06:49:15,001 --> 06:49:18,000 TO DO ITS JOB TO MAKE SURE THA 6956 06:49:18,001 --> 06:49:20,000 THAT -- THAT WE HAVE IN PLACE 6957 06:49:20,001 --> 06:49:21,000 THE ABILITY TO KEEP THESE BANKS 6958 06:49:21,001 --> 06:49:23,000 FROM BEING TOO BIG TO FAIL AND 6959 06:49:23,001 --> 06:49:26,000 SPROPG WE NEVER HAVE TO -- 6960 06:49:26,001 --> 06:49:28,000 GET TO THE RESOLUTION AUTHORITY. 6961 06:49:28,001 --> 06:49:29,000 MR. BROWN: AS 6962 06:49:29,001 --> 06:49:30,000 SAID, IF WE DO THIS RIGHT, 6963 06:49:30,001 --> 06:49:31,000 MR. PRESIDENT, IT WILL BE -- IT 6964 06:49:31,001 --> 06:49:32,000 WILL TAKE CARE OF THIS PROBLEM 6965 06:49:32,001 --> 06:49:33,000 SO IT DOESN'T HAPPEN IN THE NEXT 6966 06:49:33,001 --> 06:49:36,000 TWO O THREE GENERATIONS THE WAY 6967 06:49:36,001 --> 06:49:37,000 PEOPLE IN THE 1930'S DA, OR IF 6968 06:49:37,001 --> 06:49:40,000 WE DON'T -- DID, OR IF WE DON'T 6969 06:49:40,001 --> 06:49:41,000 DO THIS BACK, WE'RE BACK AT IT 6970 06:49:41,001 --> 06:49:43,000 IN 10 OR 15 YEARS. 6971 06:49:43,001 --> 06:49:46,000 MR. KAUFMAN: BY THE WAY, LET ME 6972 06:49:46,001 --> 06:49:47,000 SAY O 6973 06:49:47,001 --> 06:49:48,000 BUT CAN YOU IMAGINE IF WE HAVE 6974 06:49:48,001 --> 06:49:49,000 ANOTHER PROBLEM, WHAT THE 6975 06:49:49,001 --> 06:49:51,000 REGULATION WOULD BE LIKE THEN? DO YOU KNOW WHAT THE PROPOSALS 6976 06:49:51,001 --> 06:49:52,000 WOULD BE ON THIS FLOOR, IF IN 6977 06:49:52,001 --> 06:49:55,000 FACT, WE HAVE ANOTHER PROBLEM 6978 06:49:55,001 --> 06:49:56,000 1234 IT WOULD BE DRACONIAN. 6979 06:49:56,001 --> 06:49:57,000 AND THE THING THAT'S IMPORTANT 6980 06:49:57,001 --> 06:49:58,000 IS, WE WANT TO -- IT'S IMPORTANT 6981 06:49:58,001 --> 06:49:59,000 FOR ALL OF US. 6982 06:49:59,001 --> 06:50:01,000 WE ALL CARE ABOUT OUR CAPITAL MARKETS. 6983 06:50:01,001 --> 06:50:02,000 IT'S ONE OF THE THINGS THAT 6984 06:50:02,001 --> 06:50:03,000 DRIVES THIS COUNTRY, MAKES US 6985 06:50:03,001 --> 06:50:04,000 GREAT, IS THE CAPITAL MARKETS. 6986 06:50:04,001 --> 06:50:05,000 AND WE WANT TO BE CREDIBLE, WE 6987 06:50:05,001 --> 06:50:06,000 WANT TO BE FAIR AND WE WANT THEM 6988 06:50:06,001 --> 06:50:07,000 TO WORK. 6989 06:50:07,001 --> 06:50:08,000 SO WHAT WE WANT TO MAKE SURE IS 6990 06:50:08,001 --> 06:50:09,000 WE DON'T GET FACED WITH THIS, 6991 06:50:09,001 --> 06:50:10,000 AND I THINK THAT'S EXACTLY WHAT 6992 06:50:10,001 --> 06:50:12,000 SENATOR BROWN AND I ARE TRYING TO DO. 6993 06:50:12,001 --> 06:50:14,000 WE'RE TRYING TO DO A LITTLE BIT 6994 06:50:14,001 --> 06:50:17,000 OF PREVENTION HERE SO WE NEVER GET TO THAT END OF THE ROAD 6995 06:50:17,001 --> 06:50:20,000 WHERE WE HAVE TO GO TO THE RESOLUTION AUTHORITY. 6996 06:50:20,001 --> 06:50:21,000 MR. BROWN: AND 6997 06:50:21,001 --> 06:50:23,000 WELL FOR MANY YEARS AREN'T 6998 06:50:23,001 --> 06:50:24,000 OR SMALL BUSINESSES TODAY. 6999 06:50:24,001 --> 06:50:26,000 I THANK SENATOR KAUFMAN AND 7000 06:50:26,001 --> 06:50:28,000 YIELD THE FLOOR, 7001 06:50:28,001 --> 06:50:29,000 AND I SUGGEST THE ABSENCE OF A QUORUM. 7002 06:50:29,001 --> 06:53:09,000 THE PRESIDING OFFICER: THE CLERK 7003 06:53:09,001 --> 06:53:10,000 QUORUM CALL: 7004 06:53:10,001 --> 06:53:11,000 MR. SPECTER: MR. PRESIDENT? THE PRESIDING OFFICER: THE 7005 06:53:11,001 --> 06:53:12,000 SENATOR FROM PENNSYLVANIA. 7006 06:53:12,001 --> 06:53:14,000 MR. SPECTER: MR. PRESIDENT, I 7007 06:53:14,001 --> 06:53:15,000 ASK CONSENT THAT FURTHER 7008 06:53:15,001 --> 06:53:17,000 PROCEEDINGS UNDE THE QUORUM 7009 06:53:17,001 --> 06:53:18,000 CALL WITH TERMINATED. 7010 06:53:18,001 --> 06:53:19,000 THE PRESIDING OFFICER: WITHOUT 7011 06:53:19,001 --> 06:53:20,000 OBJECTION. 7012 06:53:20,001 --> 06:53:26,000 MR. SPECTER: I HAVE SOUGHT 7013 06:53:26,001 --> 06:53:33,000 RECOGNITION TO VIGOROUSLY, 7014 06:53:33,001 --> 06:53:34,000 ENTHUSIASTICALLY SUPPORT THE 7015 06:53:34,001 --> 06:53:35,000 NOMINATION OF UNITED STATES 7016 06:53:35,001 --> 06:53:36,000 DISTRICT COURT JUDGE THOMAS I. 7017 06:53:36,001 --> 06:53:39,000 VANASKIE FOR THE COURT OF 7018 06:53:39,001 --> 06:53:44,000 APPEALS FOR THE THIRD CIRCUIT. 7019 06:53:44,001 --> 06:53:46,000 JUDGE VANASKIE 7020 06:53:46,001 --> 06:53:50,000 TO ME PERSONALLY FOR THE BETTER 7021 06:53:50,001 --> 06:53:55,000 PART OF TWO, PERHAPS EVEN THREE 7022 06:53:55,001 --> 06:53:59,000 DECADES AS A PRACTICING LAWYER 7023 06:53:59,001 --> 06:54:02,000 IN PENNSYLVANIA, AS A JUDGE ON 7024 06:54:02,001 --> 06:54:04,000 THE MIDDLE DISTRICT COURT. 7025 06:54:04,001 --> 06:54:07,000 I HAD THE PRIVILEGE OF 7026 06:54:07,001 --> 06:54:11,000 RECOMMENDING HIM TO THE COURT OF 7027 06:54:11,001 --> 06:54:12,000 APPEALS FOR THE UNITED -- FOR 7028 06:54:12,001 --> 06:54:14,000 THE COURT OF APPEALS TOO BUT 7029 06:54:14,001 --> 06:54:15,000 ORIGINALLY FOR THE DISTRICT 7030 06:54:15,001 --> 06:54:18,000 COURT DURING THE CLINTON 7031 06:54:18,001 --> 06:54:21,000 ADMINISTRATION. 7032 06:54:21,001 --> 06:54:25,000 AND HAVE HAD THE PRIVILEGE OF 7033 06:54:25,001 --> 06:54:27,000 JOINING WITH SENATOR CASEY IN 7034 06:54:27,001 --> 06:54:28,000 RECOMMENDING HIM TO PRESIDENT 7035 06:54:28,001 --> 06:54:30,000 OBAMA FOR THE COURT OF APPEALS 7036 06:54:30,001 --> 06:54:36,000 FOR THE THIRD CIRCUIT. 7037 06:54:36,001 --> 06:54:40,000 JUDGE VANASKIE HAS A SPECTACULAR RECORD. 7038 06:54:40,001 --> 06:54:46,000 A GRADUATE OF LYCOMIE COLLEGE, 7039 06:54:46,001 --> 06:54:50,000 1975, B.A. DEGREE CUM LAUDE, 7040 06:54:50,001 --> 06:54:53,000 DICKINSON LAW SCHOOL, 1978, 7041 06:54:53,001 --> 06:54:59,000 MAGNA CUM LAUDE, WAS LAW CLERK 7042 06:54:59,001 --> 06:55:01,000 TO JUDGE WILLIAM NEALON FROM 7043 06:55:01,001 --> 06:55:04,000 1978-1980. 7044 06:55:04,001 --> 06:55:07,000 FOR THOSE WHO KNOW JUDGE NEALON, 7045 06:55:07,001 --> 06:55:14,000 A MASTERFUL JUDGE, A PARAGON, A 7046 06:55:14,001 --> 06:55:16,000 GREAT PERSON TO LEARN FROM. 7047 06:55:16,001 --> 06:55:19,000 AND PRIVATE PRACTICE IN SCRANTON 7048 06:55:19,001 --> 06:55:24,000 FROM 7049 06:55:24,001 --> 06:55:25,000 AND HE WAS CONFIRMED TO THE 7050 06:55:25,001 --> 06:55:27,000 UNITED STATES DISTRICT COURT FOR 7051 06:55:27,001 --> 06:55:31,000 THE MIDDLE DISTRICT OF 7052 06:55:31,001 --> 06:55:33,000 PENNSYLVANIA ON FEBRUARY 10 OF 7053 06:55:33,001 --> 06:55:38,000 1994. 7054 06:55:38,001 --> 06:55:41,000 JUDGE VANASKIE HAS BEEN A 7055 06:55:41,001 --> 06:55:44,000 CONFIRMATION FOR SOME TIME NOW. 7056 06:55:44,001 --> 06:55:45,000 HE HAS HAD HIS HEARING, WAS 7057 06:55:45,001 --> 06:55:52,000 REPORTED OUT OF THE JUDICIARY 7058 06:55:52,001 --> 06:55:58,000 COMMITTEE BY A VOTE OF 16-3. 7059 06:55:58,001 --> 06:55:59,000 A REALLY OUTSTANDING JURIST. 7060 06:55:59,001 --> 06:56:00,000 DURING THE COURSE OF THE 7061 06:56:00,001 --> 06:56:05,000 DISCUSSIONS ON THE JUDICIARY COMMITTEE, WHERE I HAVE SERVED 7062 06:56:05,001 --> 06:56:06,000 DURING ALL OF MY TENURE IN T 7063 06:56:06,001 --> 06:56:08,000 SENATE, THERE WAS NOTHING REALLY 7064 06:56:08,001 --> 06:56:13,000 SAID IN ANY WAY WHICH WAS 7065 06:56:13,001 --> 06:56:16,000 SUBSTANTIVE IN OPPOSITION. 7066 06:56:16,001 --> 06:56:18,000 CONTENTION WAS RAISED THAT HE 7067 06:56:18,001 --> 06:56:20,000 HAS CITED FOREIGN LAW, THE LAW 7068 06:56:20,001 --> 06:56:23,000 OF OTHER COUNTRIES, BUT THAT IS 7069 06:56:23,001 --> 06:56:30,000 IN KEEPING WITH THE DECISIONS OF THE SUPREME COURT OF THE UNITED 7070 06:56:30,001 --> 06:56:31,000 STATES WHICH HAVE CITED FOREIGN 7071 06:56:31,001 --> 06:56:32,000 LEGAL PRECEDENT. 7072 06:56:32,001 --> 06:56:34,000 NOT THAT THEY ARE BINDING. 7073 06:56:34,001 --> 06:56:36,000 THEY ARE NOT THE UNITED STATES CONSTITUTION. 7074 06:56:36,001 --> 06:56:37,000 THEY ARE NOT THE DECISIONS IN 7075 06:56:37,001 --> 06:56:39,000 THE UNITED STATES FEDERAL 7076 06:56:39,001 --> 06:56:41,000 JUDICIAL SYSTEM. 7077 06:56:41,001 --> 06:56:43,000 BUT THEY HAVE BEEN RECOGNIZED BY 7078 06:56:43,001 --> 06:56:46,000 THE SUPREME COURT AS WORTHY O 7079 06:56:46,001 --> 06:56:52,000 SOME C 7080 06:56:52,001 --> 06:56:53,000 IT IS 7081 06:56:53,001 --> 06:56:57,000 VANASKIE HAS BEEN CAUGHT UP IN 7082 06:56:57,001 --> 06:57:04,000 THE PARTISAN BATTLE IN THE 7083 06:57:04,001 --> 06:57:06,000 UNITED STATES SENATE. 7084 06:57:06,001 --> 06:57:08,000 THIS IS PART OF A BROADER 7085 06:57:08,001 --> 06:57:11,000 PICTURE OF GRIDLOCK OF THE 7086 06:57:11,001 --> 06:57:12,000 CONGRESS OF THE UNITED STATES AS 7087 06:57:12,001 --> 06:57:13,000 WE HAVE SEEN THE POPULARITY AND 7088 06:57:13,001 --> 06:57:18,000 APPROVAL RATING OF MEMBERS OF 7089 06:57:18,001 --> 06:57:19,000 THE HOUSE AND SENATE FALL 7090 06:57:19,001 --> 06:57:23,000 PRECIPITOUSLY BECAUSE OF WHAT 7091 06:57:23,001 --> 06:57:25,000 AMERICA IS SEEING GOING ON IN 7092 06:57:25,001 --> 06:57:28,000 THE -- IN THIS BODY AND ACROSS 7093 06:57:28,001 --> 06:57:32,000 THE ROTUNDA IN THE HOUSE O 7094 06:57:32,001 --> 06:57:33,000 REPRESENTATIVES. 7095 06:57:33,001 --> 06:57:36,000 WE SEE A STIMULUS PACKAGE WHERE 7096 06:57:36,001 --> 06:57:38,000 THERE IS VERY LITTLE WILLINGNESS 7097 06:57:38,001 --> 06:57:44,000 ON THE PART OF PEOPLE ON THE 7098 06:57:44,001 --> 06:57:45,000 OTHER SIDE OF THE AISLE TO NEGOTIATE WITH PEOPLE ON THIS 7099 06:57:45,001 --> 06:57:46,000 SIDE OF THE AISLE. 7100 06:57:46,001 --> 06:57:52,000 WE HAVE SEEN A HEALTH CARE 7101 06:57:52,001 --> 06:57:53,000 PACKAGE ENACTED INTO LAW WITHOUT 7102 06:57:53,001 --> 06:57:58,000 A SINGLE VOTE IN THE UNITED 7103 06:57:58,001 --> 06:58:00,000 STATES SENATE 7104 06:58:00,001 --> 06:58:02,000 IN THE HOUSE OF REPRESENTATIVES, 7105 06:58:02,001 --> 06:58:06,000 176 REPUBLICANS SAID NO AND ONE 7106 06:58:06,001 --> 06:58:07,000 SAID YES. 7107 06:58:07,001 --> 06:58:14,000 ON RECONCILIATION, ALL 177 SAID 7108 06:58:14,001 --> 06:58:15,000 NO AND ALL 41 IN THE UNITED 7109 06:58:15,001 --> 06:58:17,000 STATES SENATE SAID NO. 7110 06:58:17,001 --> 06:58:20,000 THERE HAS BEEN A POINT REACHED 7111 06:58:20,001 --> 06:58:21,000 WHERE THERE'S REALLY AN ISSUE OF 7112 06:58:21,001 --> 06:58:24,000 WHETHER THERE COULD BE 7113 06:58:24,001 --> 06:58:26,000 GOVERNANCE AT ALL WITH AN 7114 06:58:26,001 --> 06:58:31,000 OBSTRUCTIVE MAJORITY STANDING 7115 06:58:31,001 --> 06:58:33,000 FAST. 7116 06:58:33,001 --> 06:58:35,000 WE HAVE SEEN A SLIGHT BREAK IN 7117 06:58:35,001 --> 06:58:40,000 RANKS WHEN THE ISSUE CAME UP ON 7118 06:58:40,001 --> 06:58:42,000 THE VACATION FOR THE PAYROLL TAX 7119 06:58:42,001 --> 06:58:44,000 TAX, ONE REPUBLICAN STOOD UP AND 7120 06:58:44,001 --> 06:58:52,000 VOTED WITH DEMOCRATS AND THAT 7121 06:58:52,001 --> 06:58:54,000 LED A FEW OTHERS TO -- TO JOIN. 7122 06:58:54,001 --> 06:58:56,000 AND ON UNEMPLOYMENT COMPENSATION, AGAIN ONE 7123 06:58:56,001 --> 06:59:00,000 REPUBLICAN TOOK THE LEAD AND A 7124 06:59:00,001 --> 06:59:02,000 FEW OTHERS JOINED. 7125 06:59:02,001 --> 06:59:05,000 AND IT IS I THINK REALISTIC TO 7126 06:59:05,001 --> 06:59:08,000 CONCLUDE THAT IT'S THE PRESSURE 7127 06:59:08,001 --> 06:59:09,000 FROM BACK HOME. 7128 06:59:09,001 --> 06:59:13,000 THERE ARE SOME ON THE OTHER SIDE 7129 06:59:13,001 --> 06:59:14,000 OF THE AISLE WHO MAY SENSIBLY 7130 06:59:14,001 --> 06:59:16,000 CALCULATE -- I DON'T FAULT THEM 7131 06:59:16,001 --> 06:59:18,000 FOR THE CALCULATION -- THAT THEY 7132 06:59:18,001 --> 06:59:20,000 HAVE TO HAVE SOME FLEXIBILITY IF 7133 06:59:20,001 --> 06:59:24,000 THEY WANT RETURN TO THIS BODY. 7134 06:59:24,001 --> 06:59:25,000 WE HAVE 7135 06:59:25,001 --> 06:59:29,000 HAD CONCERNS ON WALL STREET 7136 06:59:29,001 --> 06:59:34,000 WHICH ARE OVERWHELMING WITH WHAT 7137 06:59:34,001 --> 06:59:38,000 HAS GONE ON IN THE ECONOMY. 7138 06:59:38,001 --> 06:59:40,000 THE PRECIPITOUS GREAT RECESSION 7139 06:59:40,001 --> 06:59:43,000 WHICH HAS ENGULFE AMERICA AND 7140 06:59:43,001 --> 06:59:45,000 HAS ENGULFE THE WORLD, AND FOR 7141 06:59:45,001 --> 06:59:48,000 A LENGTHY PERIOD OF TIME THERE 7142 06:59:48,001 --> 06:59:51,000 HAS BEEN RESISTANCE TO ANY REAL 7143 06:59:51,001 --> 06:59:52,000 NEGOTIATION BY THE OTHER SIDE OF 7144 06:59:52,001 --> 06:59:54,000 THE AISLE. 7145 06:59:54,001 --> 06:59:56,000 AND FINALLY WITHIN THE LAST DAY 7146 06:59:56,001 --> 07:00:02,000 OR TWO THERE HAS BEEN SOME 7147 07:00:02,001 --> 07:00:04,000 WILLINGNESS TO CONSIDER 7148 07:00:04,001 --> 07:00:05,000 LEGISLATION, ALTHOUGH WALL 7149 07:00:05,001 --> 07:00:06,000 STREET ISSUED. 7150 07:00:06,001 --> 07:00:10,000 AND I THINK THAT HAS COME ABOUT 7151 07:00:10,001 --> 07:00:14,000 AS A RESULT OF PUBLIC PRESSURE. 7152 07:00:14,001 --> 07:00:15,000 IT'S SIMPLY STATED IN POLITIC TO 7153 07:00:15,001 --> 07:00:17,000 BE AGAINST REFORM IN WALL STREET 7154 07:00:17,001 --> 07:00:22,000 CONSIDERING WHAT HAS GONE ON. 7155 07:00:22,001 --> 07:00:24,000 BUT IT WOULD BE MY HOPE THAT 7156 07:00:24,001 --> 07:00:27,000 THESE CRACKS IN THE DYE WOULD 7157 07:00:27,001 --> 07:00:31,000 LEAD TO SOME SUBSTANTIAL SHIFT 7158 07:00:31,001 --> 07:00:33,000 IN POSITION SO THAT WE COULD 7159 07:00:33,001 --> 07:00:35,000 RETURN TO A BIPARTISANSHIP WHIC 7160 07:00:35,001 --> 07:00:38,000 WAS PRESENT IN THIS BODY WHEN I 7161 07:00:38,001 --> 07:00:49,000 WAS ELECTED IN 1980. 7162 07:00:49,001 --> 07:00:51,000 AT THAT TIME WE HAD A SENATOR IN 7163 07:00:51,001 --> 07:00:53,000 MARYLAND WILLING TO CROSS THE 7164 07:00:53,001 --> 07:00:56,000 AISLE AND MARK HATFIELD IN 7165 07:00:56,001 --> 07:00:58,000 OREGON SIMILARLY AND LOWELL 7166 07:00:58,001 --> 07:01:00,000 WEIKER IN CONNECTICUT AND BOB 7167 07:01:00,001 --> 07:01:03,000 STAFFORD IN VERMONT AND JOHN 7168 07:01:03,001 --> 07:01:07,000 HEINZ IN PENNSYLVANIA AND JOHN 7169 07:01:07,001 --> 07:01:09,000 CHAFEE IN RHODE ISLAND AND BILL 7170 07:01:09,001 --> 07:01:11,000 COHEN IN MAINE. 7171 07:01:11,001 --> 07:01:13,000 SO THAT WHEN WE HAD THE 7172 07:01:13,001 --> 07:01:14,000 SO-CALLED WEDNESDAY CLUB, IT WAS 7173 07:01:14,001 --> 07:01:16,000 FULL. 7174 07:01:16,001 --> 07:01:20,000 AND THAT HAS DWINDLED SO THAT 7175 07:01:20,001 --> 07:01:21,000 THE MODERATES CAN MEET IN A 7176 07:01:21,001 --> 07:01:26,000 TELEPHONE BOOTH TODAY. 7177 07:01:26,001 --> 07:01:30,000 AND WE REALLY OUGHT TO GO BACK 7178 07:01:30,001 --> 07:01:33,000 TO THE DAYS OF JUST A LITTLE BIPARTISANSHIP. 7179 07:01:33,001 --> 07:01:35,000 WE HAD AN ENORMOUS PROBLEM IN 7180 07:01:35,001 --> 07:01:38,000 2005 WHEN THE SHOE WAS ON THE 7181 07:01:38,001 --> 07:01:42,000 OTHER FOOT, AND THE 7182 07:01:42,001 --> 07:01:44,000 FILIBUSTERING WAS BEING DONE ON 7183 07:01:44,001 --> 07:01:45,000 THIS SIDE OF THE AISLE. 7184 07:01:45,001 --> 07:01:48,000 FORTUNATELY WE WERE ABLE TO WORK 7185 07:01:48,001 --> 07:01:50,000 THROUGH THAT PROBLEM. 7186 07:01:50,001 --> 07:01:52,000 THERE WAS FLIRTATION WITH THE 7187 07:01:52,001 --> 07:01:53,000 NUCLEAR, SO-CALLED 7188 07:01:53,001 --> 07:01:56,000 CONSTITUTIONAL OPTION WHICH 7189 07:01:56,001 --> 07:01:59,000 WOULD HAVE CHANGED THE RULES ON FILIBUSTER. 7190 07:01:59,001 --> 07:02:02,000 WE PRESERVED THE PROCEDURE OF 7191 07:02:02,001 --> 07:02:03,000 THE SENATE, THE TRADITION OF THE 7192 07:02:03,001 --> 07:02:07,000 SENATE TO BE THE SAUCER WHICH 7193 07:02:07,001 --> 07:02:12,000 COOLS THE TEA, AS THE EXPRESSION 7194 07:02:12,001 --> 07:02:14,000 WAS USED DURING THE COLONIAL DAYS. 7195 07:02:14,001 --> 07:02:17,000 AND I THINK VERY IMPORTANTLY TO 7196 07:02:17,001 --> 07:02:18,000 MAINTAIN THAT TRADITION AND THAT 7197 07:02:18,001 --> 07:02:20,000 PROCEDURE. 7198 07:02:20,001 --> 07:02:22,000 IT WAS THE COOLNESS OF THE 7199 07:02:22,001 --> 07:02:25,000 SENATE WHICH SAVED THE 7200 07:02:25,001 --> 07:02:26,000 INDEPENDENCE OF THE FEDERAL 7201 07:02:26,001 --> 07:02:29,000 JUDICIARY IN THE IMPEACHMENT 7202 07:02:29,001 --> 07:02:32,000 PROCEEDING OF SUPREME COURT 7203 07:02:32,001 --> 07:02:34,000 JUSTICE CHASE IN 1805 THAT 7204 07:02:34,001 --> 07:02:36,000 PRESERVED THE INDEPENDENCE OF 7205 07:02:36,001 --> 07:02:39,000 THE PRESIDENCY AND THE ACQUITTAL 7206 07:02:39,001 --> 07:02:40,000 ON THE IMPEACHMENT PROCEEDING OF 7207 07:02:40,001 --> 07:02:42,000 ANDREW JOHNSON, WHEN A 7208 07:02:42,001 --> 07:02:44,000 CONTROVERSY AROSE WITH THE CLAIM 7209 07:02:44,001 --> 07:02:48,000 BEING MADE THAT THERE HAD TO BE 7210 07:02:48,001 --> 07:02:49,000 CONGRESSIONAL OR SENATORIAL 7211 07:02:49,001 --> 07:02:52,000 APPROVAL TO FIRE A STANDING 7212 07:02:52,001 --> 07:02:53,000 SECRETARY OF WAR BARRICADED 7213 07:02:53,001 --> 07:02:57,000 HIMSELF IN THE OFFICE. 7214 07:02:57,001 --> 07:02:58,000 PRESIDENT JOHNSON REFUSED, 7215 07:02:58,001 --> 07:02:59,000 ARTICLES OF IMPEACHMENT WERE 7216 07:02:59,001 --> 07:03:02,000 FILED AND HE WAS SAVED BY THE 7217 07:03:02,001 --> 07:03:04,000 VOTE OF A SENATOR 7218 07:03:04,001 --> 07:03:06,000 GROWING UP IN KANSAS, THERE WAS 7219 07:03:06,001 --> 07:03:09,000 GREAT PRIDE IN THE STATE ABOUT 7220 07:03:09,001 --> 07:03:13,000 THAT COURAGEOUS SENATOR WHO 7221 07:03:13,001 --> 07:03:17,000 STOOD UP AND LATER WAS DEFEATED. 7222 07:03:17,001 --> 07:03:18,000 MAYBE THAT'S -- I WON'T MAKE ANY 7223 07:03:18,001 --> 07:03:19,000 PREDICTIONS THERE -- THE COST OF 7224 07:03:19,001 --> 07:03:21,000 STANDING UP. 7225 07:03:21,001 --> 07:03:22,000 BUT IMPORTANT TO MAINTAIN THE 7226 07:03:22,001 --> 07:03:24,000 TRADITIONS OF THIS BODY. 7227 07:03:24,001 --> 07:03:29,000 BUT WE HAVE TO DO IT IN THE 7228 07:03:29,001 --> 07:03:30,000 CONTEXT OF CAPACITY TO THE 7229 07:03:30,001 --> 07:03:33,000 GOVERNMENT. 7230 07:03:33,001 --> 07:03:38,000 SUPREME COURT JUSTICE JACKSON IN 7231 07:03:38,001 --> 07:03:40,000 A SOMEWHAT DIFFERENT CONTEXT 7232 07:03:40,001 --> 07:03:41,000 SAID THE CONSTITUTION IS NOT A 7233 07:03:41,001 --> 07:03:47,000 SUICIDE PACT. 7234 07:03:47,001 --> 07:03:50,000 WHATEVER RULES WE HAVE ARE NOT 7235 07:03:50,001 --> 07:03:53,000 SUBSTITUTE FOR OUR CAPACITY TO GOVERN. 7236 07:03:53,001 --> 07:03:55,000 WE HAVE SEEN THIS PATTERN 7237 07:03:55,001 --> 07:03:58,000 ILLUSTRATED BY THE NOMINATION OF 7238 07:03:58,001 --> 07:04:01,000 BARBARA KEENAN OF VIRGINIA. 7239 07:04:01,001 --> 07:04:04,000 JUDGE KEENAN'S NOMINATION WAS 7240 07:04:04,001 --> 07:04:05,000 STALLED FOR FOUR MONTHS. 7241 07:04:05,001 --> 07:04:08,000 AFTER THE TIME-CONSUMING PROCESS 7242 07:04:08,001 --> 07:04:10,000 OF CLOTURE, HER NOMINATION WAS 7243 07:04:10,001 --> 07:04:12,000 APPROVED 99-0. 7244 07:04:12,001 --> 07:04:14,000 WELL, IF SHE CAN BE APPROVED 7245 07:04:14,001 --> 07:04:16,000 99-0, WHY REQUIRE THE FILING OF 7246 07:04:16,001 --> 07:04:18,000 A CLOTURE PETITION? 7247 07:04:18,001 --> 07:04:21,000 WHY TIE UP THIS SENATE FOR THE 7248 07:04:21,001 --> 07:04:24,000 BETTER PART OF TWO DAYS? 7249 07:04:24,001 --> 07:04:25,000 MAY THE RECORD SHOW THAT THE 7250 07:04:25,001 --> 07:04:29,000 DISTINGUISHED PRESIDING OFFICER, 7251 07:04:29,001 --> 07:04:31,000 THE JUNIOR SENATOR FROM 7252 07:04:31,001 --> 07:04:33,000 MINNESOTA, IS NODDING IN 7253 07:04:33,001 --> 07:04:37,000 REEMENT WITH MY STATEMENT 7254 07:04:37,001 --> 07:04:40,000 THAT'S A PROCEDURE WE LAWYERS 7255 07:04:40,001 --> 07:04:41,000 USED TO PERFECT THE RECORD. 7256 07:04:41,001 --> 07:04:44,000 BUT THAT HAS BEEN THE POLICY. 7257 07:04:44,001 --> 07:04:47,000 TYING UP THIS BODY, GOING TO 7258 07:04:47,001 --> 07:04:50,000 CLOTURE, THE DELAY, AND THEN 7259 07:04:50,001 --> 07:04:54,000 OVERWHELMING CONFIRMATIONS, NOT 7260 07:04:54,001 --> 07:04:57,000 ONLY UNANIMOUS, BUT VERY, VERY SUBSTANTIAL. 7261 07:04:57,001 --> 07:04:59,000 AND I PREDICT THAT IS WHAT WILL 7262 07:04:59,001 --> 07:05:01,000 HAPPEN WITH JUDGE VANASKIE HERE 7263 07:05:01,001 --> 07:05:03,000 TODAY WHEN THE ROLL IS CALLED A 7264 07:05:03,001 --> 07:05:08,000 LITTLE LATER THIS AFTERNOON. 7265 07:05:08,001 --> 07:05:09,000 ONE ADDITIONAL NOTE, TEETH 7266 07:05:09,001 --> 07:05:12,000 PROCEED -- THESE PROCEEDINGS 7267 07:05:12,001 --> 07:05:14,000 TAKE A VERY HEAVY TOLL ON THE NOMINEE. 7268 07:05:14,001 --> 07:05:16,000 JUDGE VANASKIE IS A MAN DEVOTED 7269 07:05:16,001 --> 07:05:18,000 TO PUBLIC SERVICE. 7270 07:05:18,001 --> 07:05:20,000 WHEN HE WAS PRACTICING LAW IN 7271 07:05:20,001 --> 07:05:22,000 SCRANTON, HIS PAYCHECK WAS A 7272 07:05:22,001 --> 07:05:24,000 GREAT DEAL BIGGER THAN WHEN HE 7273 07:05:24,001 --> 07:05:26,000 BECAME A FEDERAL JUDGE. 7274 07:05:26,001 --> 07:05:28,000 AND WHEN HE COMES IN TO THE 7275 07:05:28,001 --> 07:05:32,000 PROCESS OF NOMINATING PROCEDURE 7276 07:05:32,001 --> 07:05:34,000 AND HE IS QUESTIONED AND HIS 7277 07:05:34,001 --> 07:05:35,000 WRITINGS ARE IMPUGNED BECAUSE HE 7278 07:05:35,001 --> 07:05:41,000 FOLLOWS THE SUPREME COURT OF THE 7279 07:05:41,001 --> 07:05:42,000 UNITED STATES, IT'S A JOLT, AND 7280 07:05:42,001 --> 07:05:45,000 IT'S HARD ON THE VANASKIE FAMILY 7281 07:05:45,001 --> 07:05:51,000 AND IT'S HARD ON THE COMMUNITY. 7282 07:05:51,001 --> 07:05:52,000 I'VE HAD MANY CALLS FROM THE 7283 07:05:52,001 --> 07:05:54,000 PEOPLE IN JUDGE VANASKIE'S 7284 07:05:54,001 --> 07:05:55,000 COMMUNITY SAYING WHAT'S GOING ON 7285 07:05:55,001 --> 07:05:56,000 IN THE UNITED STATES SENATE? 7286 07:05:56,001 --> 07:05:58,000 WHAT IS GOING ON? 7287 07:05:58,001 --> 07:05:59,000 WHAT IS HAPPENING? 7288 07:05:59,001 --> 07:06:04,000 REPEATED CALLS. 7289 07:06:04,001 --> 07:06:09,000 SO FINALLY I DECIDED TO WRITE A 7290 07:06:09,001 --> 07:06:10,000 COLUMN FOR "THE SCRANTON TIMES TRIBUNE" EXPLAING WHAT HAPPENS 7291 07:06:10,001 --> 07:06:16,000 IN THE UNITED STATES SENATE AS 7292 07:06:16,001 --> 07:06:17,000 TO WHY THE DELAY HAS OCCURRED. 7293 07:06:17,001 --> 07:06:18,000 SO I AM GD TO SEE THIS BROUGHT 7294 07:06:18,001 --> 07:06:22,000 A CLOSE. 7295 07:06:22,001 --> 07:06:25,000 I HOPE THAT WE WILL MOVE THE 7296 07:06:25,001 --> 07:06:27,000 APPOINTMENTS OF THE PRESIDENT. 7297 07:06:27,001 --> 07:06:30,000 CONSIDERATION IS BEING GIVEN TO 7298 07:06:30,001 --> 07:06:32,000 LIMITING THE FILIBUSTER, NOT 7299 07:06:32,001 --> 07:06:34,000 HAVING IT APPLY TO MEMBERS OF 7300 07:06:34,001 --> 07:06:37,000 THE ADMINISTRATION. 7301 07:06:37,001 --> 07:06:38,000 WE ALL CONCEDE IT IS A 7302 07:06:38,001 --> 07:06:39,000 GOVERNMENTAL DOCTRINE THAT THE 7303 07:06:39,001 --> 07:06:46,000 PRESIDENT OUGHT TO HAVE THE 7304 07:06:46,001 --> 07:06:47,000 RIGHT TO NAME HIS OWN TEAM. 7305 07:06:47,001 --> 07:06:48,000 MAINTAIN THE FILIBUSTER FOR 7306 07:06:48,001 --> 07:06:50,000 JUDICIAL NOMINATIONS WHERE 7307 07:06:50,001 --> 07:06:52,000 YOU'RE TALKING ABOUT LIFETIME APPOINTMENTS. 7308 07:06:52,001 --> 07:06:55,000 BUT THIS IS A GOOD AND TRUE MAN, 7309 07:06:55,001 --> 07:06:56,000 AND HE'S BEEN SUBJECTED TO A 7310 07:06:56,001 --> 07:06:57,000 PROCESS WHICH IS FUNDAMENTALLY 7311 07:06:57,001 --> 07:06:58,000 UNFA. 7312 07:06:58,001 --> 07:07:01,000 AND I'M GLAD TO SEE IT BROUGHT 7313 07:07:01,001 --> 07:07:03,000 TO AN END THIS AFTERNOON. 7314 07:07:03,001 --> 07:07:06,000 I ASK CONSENT THAT THE COPY OF 7315 07:07:06,001 --> 07:07:09,000 THE ARTICLE WHICH I WROTE FOR 7316 07:07:09,001 --> 07:07:11,000 "THE SCRANTON TIMES TRIBUNE" 7317 07:07:11,001 --> 07:07:13,000 DATED FEBRUARY 26, 2010, BE 7318 07:07:13,001 --> 07:07:14,000 INCLUDED IN THE RECORD. 7319 07:07:14,001 --> 07:07:15,000 THE PRESIDING OFFICER: WITHOUT 7320 07:07:15,001 --> 07:07:18,000 OBJECTION, SO ORDERED. 7321 07:07:18,001 --> 07:07:44,000 MR. SPECTER: I THANK THE CHAIR 7322 07:07:44,001 --> 07:07:45,000 AND YIELD THE 7323 07:07:45,001 --> 07:07:48,000 MR. SPECTER: I SUGGEST THE 7324 07:07:48,001 --> 07:07:49,000 ABSENCE OF A 7325 07:07:49,001 --> 07:07:57,000 THE PRESIDING OFFICER: THE 7326 07:07:57,001 --> 07:10:34,000 CLERK WILL CALL THE ROLL. 7327 07:10:34,001 --> 07:10:35,000 QUORUM CALL: 7328 07:10:35,001 --> 07:10:36,000 THE PRESIDING OFFICER: THE 7329 07:10:36,001 --> 07:10:37,000 SENATOR FROM PENNSYLVANIA IS 7330 07:10:37,001 --> 07:10:39,000 RECOGNIZED. 7331 07:10:39,001 --> 07:10:41,000 MR. SPECTER: I 7332 07:10:41,001 --> 07:10:42,000 PROCEEDINGS UNDER THE QUORUM BE TERMINATED. 7333 07:10:42,001 --> 07:10:43,000 THE PRESIDING OFFICER: WITHOUT OBJECTION, SO ORDERED. 7334 07:10:43,001 --> 07:10:44,000 MR. SPECTER: I ASK UNANIMOUS 7335 07:10:44,001 --> 07:10:45,000 CONSENT THAT THE VOTE ON 7336 07:10:45,001 --> 07:10:47,000 CONFIRMATION OF THE NOMINATION 7337 07:10:47,001 --> 07:10:50,000 OF JUDGE THOMAS VANASKIE OCCUR 7338 07:10:50,001 --> 07:10:52,000 AT 5:30 P.M. TODAY WITH THEIME 7339 07:10:52,001 --> 07:10:54,000 UNTIL THEN DIVIDED AS PREVIOUSLY 7340 07:10:54,001 --> 07:10:56,000 ORDERED, AND THE REMAINING 7341 07:10:56,001 --> 07:10:57,000 PROVISIONS OF THE ORDER 7342 07:10:57,001 --> 07:10:59,000 GOVERNING CONSIDERATION OF THIS 7343 07:10:59,001 --> 07:11:00,000 NOMINATION STILL IN EFFT. 7344 07:11:00,001 --> 07:11:02,000 THE PRESIDING OFFICER: WITHOUT 7345 07:11:02,001 --> 07:11:03,000 OBJECTION, IT IS SO ORDERED. 7346 07:11:03,001 --> 07:11:06,000 MR. SPECTER: IN THE ABSENCE OF 7347 07:11:06,001 --> 07:11:08,000 ANY SENATOR 7348 07:11:08,001 --> 07:11:09,000 I SUGGEST THE ABSENCE OF A QUORUM. 7349 07:11:09,001 --> 07:14:32,000 THE PRESIDING 7350 07:14:32,001 --> 07:28:35,000 CLERK WILL CALL THE ROLL. 7351 07:28:35,001 --> 07:46:12,000 QUORUM CALL: 7352 07:46:12,001 --> 07:50:38,000 QUORUM CALL: 7353 07:50:38,001 --> 07:50:40,000 QUORUM CALL: 7354 07:50:40,001 --> 07:50:41,000 MR. SESSIONS: MR. PRESIDENT? THE PRESIDING OFFICER: THE 7355 07:50:41,001 --> 07:50:43,000 SENATOR FROM ALABAMA. 7356 07:50:43,001 --> 07:50:45,000 MR. SESSIONS: I WOULD ASK THAT 7357 07:50:45,001 --> 07:50:46,000 THE QUORUM CALL BE DISPENSED WITH. 7358 07:50:46,001 --> 07:50:47,000 THE PRESIDING OFFICER: WITHOUT OBJECTION. 7359 07:50:47,001 --> 07:50:48,000 MR. SESSIONS: MR. PRESIDENT, I 7360 07:50:48,001 --> 07:50:50,000 WOULD BRIEFLY WANT TO SHARE A 7361 07:50:50,001 --> 07:50:51,000 FEW THOUGHTS ABOUT JUDGE THOMAS 7362 07:50:51,001 --> 07:50:54,000 VANASKIE, WHO'S BEEN NOMINATED 7363 07:50:54,001 --> 07:50:55,000 FOR THE THIRD CIRCUIT COURT OF 7364 07:50:55,001 --> 07:50:56,000 POSITION. 7365 07:50:56,001 --> 07:50:57,000 HE CURRENTLY SERVES ON THE 7366 07:50:57,001 --> 07:51:00,000 DISTRICT COURT OF THE MIDDLE 7367 07:51:00,001 --> 07:51:02,000 DISTRICT OF PENNSYLVANIA, AND I 7368 07:51:02,001 --> 07:51:03,000 DO INTEND TO SUPPORT HIS 7369 07:51:03,001 --> 07:51:04,000 NOMINATION, GIVE DEFERENCE TO 7370 07:51:04,001 --> 07:51:05,000 THE PRESIDENT. 7371 07:51:05,001 --> 07:51:08,000 I'D JUST LIKE TO SHARE A THOUGHT 7372 07:51:08,001 --> 07:51:10,000 OR TWO ABOUT HIS TESTIMONY 7373 07:51:10,001 --> 07:51:14,000 BEFORE THE JUDICIARY COMMITTEE. 7374 07:51:14,001 --> 07:51:16,000 HE DID SAY HE BELIEVED THAT 7375 07:51:16,001 --> 07:51:18,000 AMERICAN COURTS SHOULD NOT USE 7376 07:51:18,001 --> 07:51:19,000 FOREIGN LAW IN INTERPRETING THE 7377 07:51:19,001 --> 07:51:22,000 CONSTITUTION BUT HE DID BELIEVE 7378 07:51:22,001 --> 07:51:26,000 THAT THE SUPREME COURT PROPEY 7379 07:51:26,001 --> 07:51:28,000 USED FOREIGN LAW IN CASES LIKE 7380 07:51:28,001 --> 07:51:34,000 LAWRENCE V. TEXAS, AND I THINK 7381 07:51:34,001 --> 07:51:38,000 THAT'S A BIT CONTRADICTORY. 7382 07:51:38,001 --> 07:51:44,000 AND IN ROPER v. SIMMONS, THE 7383 07:51:44,001 --> 07:51:48,000 SUPREME COURT ALSO CONCLUDED 7384 07:51:48,001 --> 07:51:50,000 THAT THE CONSTITUTION, BECAUSE 7385 07:51:50,001 --> 07:51:52,000 OF -- QUOTE -- "EVOLVING 7386 07:51:52,001 --> 07:51:54,000 STANDARDS OF DECENCY" WOULD NOW 7387 07:51:54,001 --> 07:51:56,000 PROHIBIT STATES FROM IMPOSING A 7388 07:51:56,001 --> 07:51:57,000 DEATH PENALTY ON JUVENILES WHO 7389 07:51:57,001 --> 07:52:00,000 COMMIT MURDER. 7390 07:52:00,001 --> 07:52:03,000 I THINK THAT IS A LEGITIMATE 7391 07:52:03,001 --> 07:52:05,000 PUBLIC POLICY ISSUE TO DISCUSS, 7392 07:52:05,001 --> 07:52:10,000 BUT THE QUESTION IS, DOES THE 7393 07:52:10,001 --> 07:52:13,000 CONSTITUTION SAY THAT A STATE IS 7394 07:52:13,001 --> 07:52:18,000 NOT ABLE TO DECIDEHAT AGE 7395 07:52:18,001 --> 07:52:20,000 PEOPLE ARE ECUTED -- ARE TO BE 7396 07:52:20,001 --> 07:52:21,000 EXECUTED. 7397 07:52:21,001 --> 07:52:23,000 HE SAID ANOTHER POINT, THAT 7398 07:52:23,001 --> 07:52:24,000 FOREIGN LAW WAS RELEVANT TO 7399 07:52:24,001 --> 07:52:27,000 DETERMING FUNDAMENTAL 7400 07:52:27,001 --> 07:52:29,000 CONSTITUTIONAL RIGHTS. 7401 07:52:29,001 --> 07:52:31,000 WELL, OUR DOCUMENT, OUR 7402 07:52:31,001 --> 07:52:35,000 CONSTITUTION IS THE ONE THAT WE 7403 07:52:35,001 --> 07:52:36,000 HAVE AND JUDGES, IF THEY'RE 7404 07:52:36,001 --> 07:52:39,000 FAITHFUL TO OUR OATH, WILL 7405 07:52:39,001 --> 07:52:41,000 ENFORCE THIS CONSTITUTION, OUR 7406 07:52:41,001 --> 07:52:42,000 CONSTITUTION, THE ONE THAT WE 7407 07:52:42,001 --> 07:52:44,000 HAVE. 7408 07:52:44,001 --> 07:52:46,000 IT'S DIFFICULT FOR ME TO 7409 07:52:46,001 --> 07:52:47,000 COMPREHEND HOW SOMEBODY COULD 7410 07:52:47,001 --> 07:52:50,000 CONCLUDE THAT A LEGAL ACTION IN 7411 07:52:50,001 --> 07:52:53,000 THE EUROPEAN UNION WOULD PROVIDE 7412 07:52:53,001 --> 07:52:54,000 ILLUMINATION TO A JUDGE ON HOW 7413 07:52:54,001 --> 07:52:56,000 TO INTERPRET OUR CONSTITUTION 7414 07:52:56,001 --> 07:53:00,000 AND WHAT IT MEANT BY THE PEOPLE 7415 07:53:00,001 --> 07:53:02,000 WHO PASSED I 7416 07:53:02,001 --> 07:53:03,000 BY THE PLAIN MEANING OF THE 7417 07:53:03,001 --> 07:53:05,000 WORDS. 7418 07:53:05,001 --> 07:53:07,000 SO I THINK THIS IS A BAD 7419 07:53:07,001 --> 07:53:11,000 PHILOSOPHY. 7420 07:53:11,001 --> 07:53:13,000 IT'S A -- EVIDENCED A 7421 07:53:13,001 --> 07:53:14,000 DETACHMENT -- EVIDENCES A 7422 07:53:14,001 --> 07:53:16,000 DETACHMENT FROM THE 7423 07:53:16,001 --> 07:53:17,000 FROM THE LIMITED ROLE THEY'RE GIVEN. 7424 07:53:17,001 --> 07:53:18,000 WE HAVE LIMITED POWERS, THE 7425 07:53:18,001 --> 07:53:20,000 PRESIDENT HAS LIMITED POWERS, 7426 07:53:20,001 --> 07:53:21,000 THE COURTS HAVE LIMITED POWERS. 7427 07:53:21,001 --> 07:53:23,000 COURTS ARE NOT EMPOWERED TO 7428 07:53:23,001 --> 07:53:25,000 REINTERPRET OUR LAWS AND OUR 7429 07:53:25,001 --> 07:53:26,000 CONSTITUTION BASED ON SOME 7430 07:53:26,001 --> 07:53:28,000 BETTER IDEA THEY THINK THEY MAY 7431 07:53:28,001 --> 07:53:30,000 FIND IN FRANCE. 7432 07:53:30,001 --> 07:53:33,000 THEY JUST ARE NOT. 7433 07:53:33,001 --> 07:53:34,000 THIS IS NOT A LITTLE-BITTY MATTER. 7434 07:53:34,001 --> 07:53:39,000 BUT IT'S A TREND THAT'S OCCURRED 7435 07:53:39,001 --> 07:53:40,000 IN OUR COURTS AND I'M 7436 07:53:40,001 --> 07:53:43,000 DISAPPOINTED THAT SEVERAL OF THE 7437 07:53:43,001 --> 07:53:45,000 PRESIDENT'S NOMINEES SEEM TO BE 7438 07:53:45,001 --> 07:53:47,000 SEDUCED BY THESE IDEAS, 7439 07:53:47,001 --> 07:53:49,000 INCLUDING SPEECHES MADE BY 7440 07:53:49,001 --> 07:53:52,000 JUSTICE SOTOMAYOR ON THE SUPREME COURT. 7441 07:53:52,001 --> 07:53:55,000 SHE TALKED ABOUT HOW SHE FAVOR 7442 07:53:55,001 --> 07:53:58,000 JUSTICE GINSBUR 7443 07:53:58,001 --> 07:54:00,000 ABOUT THAT. 7444 07:54:00,001 --> 07:54:03,000 SO I WANT TO GIVE THIS JUDGE 7445 07:54:03,001 --> 07:54:06,000 A -- THE BENEFIT OF THE. 7446 07:54:06,001 --> 07:54:08,000 HE DID SAY THAT HE DIDN'T FOLLOW 7447 07:54:08,001 --> 07:54:10,000 THIS DOCTRINE TO THE FULL EXTENT 7448 07:54:10,001 --> 07:54:11,000 OF IT, AND I'LL GIVE HIM THE 7449 07:54:11,001 --> 07:54:13,000 BENEFIT OF THE DOUBT. 7450 07:54:13,001 --> 07:54:21,000 BUT ALSO, SOME OF HIS STATEMENTS 7451 07:54:21,001 --> 07:54:27,000 INDICATE THAT HE MAY YET BE 7452 07:54:27,001 --> 07:54:30,000 SEDUCED BY THIS IDEA. 7453 07:54:30,001 --> 07:54:36,000 HE HAD DIFFICULTY ARTICULATING 7454 07:54:36,001 --> 07:54:38,000 ANY LIMIT ON THE COMMERCE POWER. 7455 07:54:38,001 --> 07:54:39,000 THE COMMERCE CLAUSE SAYS 7456 07:54:39,001 --> 07:54:42,000 CONGRESS CAN REGATE COMMERCE. 7457 07:54:42,001 --> 07:54:44,000 DOES THAT MEAN EVERYTHING? 7458 07:54:44,001 --> 07:54:48,000 COMMERCE MEAN THAT YOU CAN 7459 07:54:48,001 --> 07:54:50,000 DOWN INTO OKLAHOMA AND TELL AN 7460 07:54:50,001 --> 07:54:51,000 INDIVIDUAL FARMER YOU HAVE TO 7461 07:54:51,001 --> 07:54:53,000 HAVE INSURANCE? 7462 07:54:53,001 --> 07:54:57,000 THAT RAISES A SERIOUS QUESTION 7463 07:54:57,001 --> 07:54:59,000 OF CONSTITUTIONAL POWER. 7464 07:54:59,001 --> 07:55:00,000 AND DOES THAT 7465 07:55:00,001 --> 07:55:01,000 COMMERCE? 7466 07:55:01,001 --> 07:55:04,000 WELL, YOU COULD THEORETICALLY 7467 07:55:04,001 --> 07:55:07,000 CONJURE UP A WAY THAT IT COULD. 7468 07:55:07,001 --> 07:55:10,000 BUT I WANT TO KNOW THAT A UNDERSTANDS THERE ARE -- THERE 7469 07:55:10,001 --> 07:55:12,000 IS SOME LIMIT TO THE AMOUNT OF 7470 07:55:12,001 --> 07:55:16,000 REACH THAT THE FEDERAL 7471 07:55:16,001 --> 07:55:17,000 GOVERNMENT CAN HAVE. 7472 07:55:17,001 --> 07:55:21,000 NOW, WE'VE HAD A NUMBER OF 7473 07:55:21,001 --> 07:55:25,000 PEOPLE COMPLAIN ABOUT THE 7474 07:55:25,001 --> 07:55:29,000 PROCESS OF CONFIRMATION AND THAT 7475 07:55:29,001 --> 07:55:30,000 JUDGES ARE BEING -- ARE LANGUISH 7476 07:55:30,001 --> 07:55:32,000 LANGUISHING BEFORE THE SENATE N. 7477 07:55:32,001 --> 07:55:34,000 PARTICULAR, MY FRIEND, SENATOR 7478 07:55:34,001 --> 07:55:36,000 WHITEHOUSE, NOTED THE NOMINATION 7479 07:55:36,001 --> 07:55:38,000 OF JUDGE JAMES WINN, JUDGE 7480 07:55:38,001 --> 07:55:39,000 ALBERT DIAZ TO THE FOURTH 7481 07:55:39,001 --> 07:55:43,000 CIRCUIT. 7482 07:55:43,001 --> 07:55:47,000 SENATOR WHITEHOUSE HASN'T BEEN 7483 07:55:47,001 --> 07:55:48,000 HERE SINCE -- BUT SINCE 2006, SO 7484 07:55:48,001 --> 07:55:51,000 HE ISN'T FAMILIAR WITH SOME OF 7485 07:55:51,001 --> 07:55:53,000 THE PROCEDURES THAT HAVE GONE ON 7486 07:55:53,001 --> 07:55:57,000 IN OUR CONGRESS. 7487 07:55:57,001 --> 07:55:59,000 WYNN AND DIAZ' NOMINATIONS HAVE 7488 07:55:59,001 --> 07:56:00,000 BEEN PENDING IN THE SENATE FOR 7489 07:56:00,001 --> 07:56:03,000 ONLY 167 DAYS. 7490 07:56:03,001 --> 07:56:05,000 THAT'S HALF THE TIME -- HALF THE 7491 07:56:05,001 --> 07:56:11,000 TIME -- THAT PRESIDENT BUSH'S 7492 07:56:11,001 --> 07:56:12,000 CIRCUIT COURT NOMINEES WAITED. 350 DAYS. 7493 07:56:12,001 --> 07:56:15,000 IN FACT, FOUR OF PRESIDENT 7494 07:56:15,001 --> 07:56:17,000 BUSH'S NOMINEES TO THE FOURTH 7495 07:56:17,001 --> 07:56:21,000 CIRCUIT NEVER RECEIVED ANY 7496 07:56:21,001 --> 07:56:24,000 HEARING, AND THEY WERE HIGHLY 7497 07:56:24,001 --> 07:56:26,000 QUALIFIED NOMINEES. 7498 07:56:26,001 --> 07:56:28,000 THOSE NOMINEES, MR. STEVE 7499 07:56:28,001 --> 07:56:30,000 MATTHEWS, CHIEF JUDGE ROBERT 7500 07:56:30,001 --> 07:56:32,000 CONRAD, JUDGE GLENN CONRAD, AND 7501 07:56:32,001 --> 07:56:34,000 FORMER MARYLAND UNITED STATES 7502 07:56:34,001 --> 07:56:37,000 ATTORNEY, ROB ROWENSTEIN WERE 7503 07:56:37,001 --> 07:56:38,000 WELL QUALIFIED, HAD BIPARTISAN 7504 07:56:38,001 --> 07:56:42,000 SUPPORT OF THEIR HOME STATE 7505 07:56:42,001 --> 07:56:44,000 SENATORS, YET THEY WERE BLOCKED 7506 07:56:44,001 --> 07:56:45,000 STEADFASTLY FROM EVER MOVING 7507 07:56:45,001 --> 07:56:47,000 FORWARD 7508 07:56:47,001 --> 07:56:49,000 PRESIDENT BUSH NOMINATED STEVE 7509 07:56:49,001 --> 07:56:51,000 MATTHEWS IN SEPTEER OF 2007 TO 7510 07:56:51,001 --> 07:56:54,000 THE SAME SEAT ON THE FOURTH 7511 07:56:54,001 --> 07:56:56,000 CIRCUIT FOR WHICH JUDGE DIAZ HAS 7512 07:56:56,001 --> 07:56:58,000 NOW BEEN NOMINATED AND EXPECTS 7513 07:56:58,001 --> 07:57:00,000 TO BE CONFIRMED AND WILL BE 7514 07:57:00,001 --> 07:57:03,000 CONFIRMED, I'M SURE. 7515 07:57:03,001 --> 07:57:05,000 BUT FOR THEM -- TO HEAR WHINING 7516 07:57:05,001 --> 07:57:09,000 ABOUT HOW LONG IT TAKES JUDGE 7517 07:57:09,001 --> 07:57:12,000 DIAZ TO MOVE ALONG IN A FAIRLY 7518 07:57:12,001 --> 07:57:18,000 STEADFAST WAY, IN LIGHTF WHAT 7519 07:57:18,001 --> 07:57:19,000 WAS DONE TO MR. MATTHEWS, IS A 7520 07:57:19,001 --> 07:57:22,000 BIT MUCH, TO ME. 7521 07:57:22,001 --> 07:57:24,000 I JUST HAVE TO TELL YOU. 7522 07:57:24,001 --> 07:57:25,000 WE ALL KNOW -- YOU KNOW, THIS IS 7523 07:57:25,001 --> 07:57:27,000 A ROBUST BODY. 7524 07:57:27,001 --> 07:57:29,000 WE DON'T MIND SPEAKING OUR MINDS. 7525 07:57:29,001 --> 07:57:31,000 BUT MR. MATTHEWS HAD THE SUPPORT 7526 07:57:31,001 --> 07:57:35,000 OF HIS HOME STATE SENATORS AND 7527 07:57:35,001 --> 07:57:36,000 RECEIVED AN A.B.A. RATING 7528 07:57:36,001 --> 07:57:38,000 QUALIFIED. 7529 07:57:38,001 --> 07:57:39,000 HE WAS A GRADUATE OF YALE LAW 7530 07:57:39,001 --> 07:57:42,000 SCHOOL, HAD A DISTINGUISHED 7531 07:57:42,001 --> 07:57:45,000 CAREER IN PRIVATE PRACTICE AND 7532 07:57:45,001 --> 07:57:49,000 WAS -- WAITED -- HE WAITED 485 7533 07:57:49,001 --> 07:57:53,000 DAYS FOR A HEARING AND NEVER 7534 07:57:53,001 --> 07:57:55,000 GONE -- NEVER GOT ONE. 7535 07:57:55,001 --> 07:57:57,000 SO HIS NOMINATION WAS RETURNED, 7536 07:57:57,001 --> 07:58:03,000 EXPIRED IN JANUARY OF 2009. ANOTHER OF PRESIDENT BUSH'S 7537 07:58:03,001 --> 07:58:04,000 , CHIEF JUDGE ROBERT 7538 07:58:04,001 --> 07:58:06,000 CONRAD WAS NOMINATED TO THE SEAT 7539 07:58:06,001 --> 07:58:07,000 FOR WHICH JUDGE WYNN IS NOW 7540 07:58:07,001 --> 07:58:08,000 NOMINATED. 7541 07:58:08,001 --> 07:58:10,000 HE IS WANT SUPPORT OF HIS HOME 7542 07:58:10,001 --> 07:58:12,000 STATE SENATORS, RECEIVED AN 7543 07:58:12,001 --> 07:58:13,000 A.B.A. RATING OF UNANIMOUSLY 7544 07:58:13,001 --> 07:58:14,000 WELL QUALIFIED, THE HIGHEST YOU 7545 07:58:14,001 --> 07:58:16,000 CAN GET. 7546 07:58:16,001 --> 07:58:17,000 JUDGE CONRAD MET CHAIRMAN 7547 07:58:17,001 --> 07:58:20,000 LEAHY'S STANDARD FOR 7548 07:58:20,001 --> 07:58:21,000 NONCONTROVERSIAL, CONSENSUS NOMINEE. 7549 07:58:21,001 --> 07:58:24,000 HE HAD RECEIVED BIPARTISAN 7550 07:58:24,001 --> 07:58:26,000 APPROVAL BY THE COMMITTEE WHEN 7551 07:58:26,001 --> 07:58:28,000 HE WAS CONFIRMED BY A VOICE VOTE 7552 07:58:28,001 --> 07:58:29,000 TO BE A UNITED STATES ATTORNEY 7553 07:58:29,001 --> 07:58:30,000 AND LATER DISTRICT COURT JUDGE 7554 07:58:30,001 --> 07:58:31,000 FOR THE DISTRICT OF NORTH 7555 07:58:31,001 --> 07:58:34,000 CAROLINA. 7556 07:58:34,001 --> 07:58:37,000 HE WAS THEN CHIEF JUDGE. 7557 07:58:37,001 --> 07:58:39,000 SENATOR BURR AND DOLE SENT 7558 07:58:39,001 --> 07:58:43,000 LETTERS IN SUPPORT OF THAT 7559 07:58:43,001 --> 07:58:45,000 CONFIRMATION AND HE WAS BLOCKED. 7560 07:58:45,001 --> 07:58:47,000 I KNOW HE 7561 07:58:47,001 --> 07:58:48,000 BECAUSE, IF I'M NOT MISTAKEN, I 7562 07:58:48,001 --> 07:58:49,000 USED TO SAY HE WAS THE POINT 7563 07:58:49,001 --> 07:58:51,000 GUARD FOR THE UNIVERSITY OF 7564 07:58:51,001 --> 07:58:52,000 NORTH CAROLINA BASKETBALL TEAM. 7565 07:58:52,001 --> 07:58:54,000 I THINK THAT WAS INCORRECT. 7566 07:58:54,001 --> 07:58:55,000 I THINK IT WAS POINT GUARD AT 7567 07:58:55,001 --> 07:58:57,000 CLEMSON. 7568 07:58:57,001 --> 07:58:59,000 REGARDLESS, ANYBODY THAT CAN 7569 07:58:59,001 --> 07:59:01,000 PLAY POINT GUARD IN THE ACC CAN 7570 07:59:01,001 --> 07:59:05,000 MAKE DECISIONS. 7571 07:59:05,001 --> 07:59:08,000 HE WAS CHOSEN OUT OF ALL THE 7572 07:59:08,001 --> 07:59:10,000 ATTORNEY GENERAL JANET RENO TO 7573 07:59:10,001 --> 07:59:11,000 CONDUCT A VERY SENSITIVE 7574 07:59:11,001 --> 07:59:14,000 INVESTIGATION OF PRESIDENT 7575 07:59:14,001 --> 07:59:16,000 CLINTON WHEN HEAS ACCUSED OF 7576 07:59:16,001 --> 07:59:20,000 SOME WRONGDOING. 7577 07:59:20,001 --> 07:59:21,000 HE CONDUCTED THAT, CONCLUDED NO 7578 07:59:21,001 --> 07:59:23,000 CHARGES OUGHT TO BE BROUGHT. 7579 07:59:23,001 --> 07:59:29,000 THIS WAS A HIGHLY QUALIFIED 7580 07:59:29,001 --> 07:59:31,000 PERSON 7581 07:59:31,001 --> 07:59:36,000 SO, MR. PRESIDENT,UR TIME IS 7582 07:59:36,001 --> 07:59:38,000 OUT BUT I KNOW THAT -- THAT 7583 07:59:38,001 --> 07:59:42,000 EVERY NOMINEE DOESN'T GET TO BE 7584 07:59:42,001 --> 07:59:44,000 BROUGHT UP IMMEDIATELY WHEN 7585 07:59:44,001 --> 07:59:46,000 THEY'RE -- THEY ARE CALLED -- WHEN THEY'RE -- SOME PEOPLE 7586 07:59:46,001 --> 07:59:48,000 WOULD WANT TO CALL THEIR NOMINATION UP. 7587 07:59:48,001 --> 07:59:50,000 IT REQUIRES UNANIMOUS CONSENT TO 7588 07:59:50,001 --> 07:59:55,000 BRING UP A NOMINEE AND 7589 07:59:55,001 --> 07:59:56,000 IMMEDIATELY GET A VOTE AND 7590 07:59:56,001 --> 07:59:58,000 UNANIMOUS CONSENT ISN'T ALWAYS 7591 07:59:58,001 --> 07:59:59,000 GIVEN, SO IT SLOWS DOWN PEOPLE. 7592 07:59:59,001 --> 08:00:05,000 BUT I -- AND I DO BELIEVE WE 7593 08:00:05,001 --> 08:00:07,000 OUGHT NOT TO UNNECESSARILY DELAY 7594 08:00:07,001 --> 08:00:14,000 PERSONS, BUT I WOULD WANT TO SAY 7595 08:00:14,001 --> 08:00:16,000 TH ALACRITY BY WHICH 7596 08:00:16,001 --> 08:00:18,000 PRESIDENT OBAMA'S NOMINATIONS 7597 08:00:18,001 --> 08:00:19,000 ARE MOVING FAR SURPASSES 7598 08:00:19,001 --> 08:00:21,000 ANYTHI LIKE THE DIFFICULTIES 7599 08:00:21,001 --> 08:00:22,000 THAT PRESIDENT BUSH'S NOMINEES HAD. 7600 08:00:22,001 --> 08:00:26,000 I'VE BEEN HERE, I'VE SEEN IT, I 7601 08:00:26,001 --> 08:00:28,000 KNOW THAT TO BE A FACT, AND I 7602 08:00:28,001 --> 08:00:32,000 HOPE THAT WE CAN CREATE A 7603 08:00:32,001 --> 08:00:34,000 CLIMATE WHERE JUDGES HAVE A 7604 08:00:34,001 --> 08:00:37,000 REASONABLE TIME ON THE DOCKET, 7605 08:00:37,001 --> 08:00:38,000 THEY ARE -- HAVE HEARINGS IN 7606 08:00:38,001 --> 08:00:40,000 JUDICIARY,PPORTUNITIES ARE -- 7607 08:00:40,001 --> 08:00:42,000 TO RAISE OBJECTIONS ARE MADE, 7608 08:00:42,001 --> 08:00:43,000 THE NOMINEE COMES TO THE FLOOR 7609 08:00:43,001 --> 08:00:45,000 AND EVENTUALLY THEY CAN BE 7610 08:00:45,001 --> 08:00:46,000 BROUGHT UP FOR A NOMINATION AND 7611 08:00:46,001 --> 08:00:49,000 A -- AND A FINAL CONFIRMATION 7612 08:00:49,001 --> 08:00:51,000 VOTE. 7613 08:00:51,001 --> 08:00:54,000 THAT WOULD BE MY REQUEST, AND I 7614 08:00:54,001 --> 08:00:55,000 SEE IT'S TIME FOR THE 7615 08:00:55,001 --> 08:00:56,000 AND I WOULD YIELD THE FLOOR. 7616 08:00:56,001 --> 08:01:00,000 THE PRESIDING OFFICE 7617 08:01:00,001 --> 08:01:07,000 IS ON THE CONFIRMATION OF THE 7618 08:01:07,001 --> 08:01:08,000 NOMINATION OF THOMAS VANASKIE. 7619 08:01:08,001 --> 08:01:10,000 THE SENATOR -- IS THERE A 7620 08:01:10,001 --> 08:01:14,000 SUFFICIENT SECOND? 7621 08:01:14,001 --> 08:01:20,000 THERE APPEARS TO BE. 7622 08:01:20,001 --> 08:15:03,000 THE CLERK WILL CALL THE ROLL. 7623 08:15:03,001 --> 08:27:21,000 VOTE: 7624 08:27:21,001 --> 08:27:23,000 VOTE: THE PRESIDING OFFICER: IS 7625 08:27:23,001 --> 08:27:29,000 THERE ANY SENATOR WHO CARES TO 7626 08:27:29,001 --> 08:27:32,000 TE OR CHANGE HIS OR HER@h VOTE? 7627 08:27:32,001 --> 08:27:37,000 GUESS NOT, SO THE -- THE VOTES 7628 08:27:37,001 --> 08:27:39,000 ARE 77 AYES, 20 NOES, AND THE 7629 08:27:39,001 --> 08:27:41,000 CONFIRTION -- AND 7630 08:27:41,001 --> 08:27:42,000 NOMINATION 7631 08:27:42,001 --> 08:27:45,000 UNDER THE PREVIOUS ORDER, THE 7632 08:27:45,001 --> 08:27:47,000 TION TO CONSIDER IS CONSIDERED 7633 08:27:47,001 --> 08:27:48,000 MADE AND LAID UPON THE TABLE, 7634 08:27:48,001 --> 08:27:50,000 AND THE PRESIDENT WILL BE 7635 08:27:50,001 --> 08:27:54,000 IMMEDIATEL 7636 08:27:54,001 --> 08:27:55,000 SENATE'S ACTION. 7637 08:27:55,001 --> 08:28:01,000 THE SENATOR FROM IOWA. 7638 08:28:01,001 --> 08:28:02,000 MR. GRASSLEY: I WOULD ASK -- 7639 08:28:02,001 --> 08:28:05,000 I ASK UNANIMOUS CONSENT THAT WE 7640 08:28:05,001 --> 08:28:08,000 RETURN TO LEGISLATIVE SESSION. THE PRESIDING OFFICER: WITHOUT 7641 08:28:08,001 --> 08:28:09,000 OBJECTION, SO ORDERED. 7642 08:28:09,001 --> 08:28:10,000 THE PRESIDING OFFICER: THE 7643 08:28:10,001 --> 08:28:12,000 SETOR FROM 7644 08:28:12,001 --> 08:28:13,000 MR. GRASSLEY: COULD I HAVE 10 7645 08:28:13,001 --> 08:28:15,000 OR 12 MINUTES IN MORNING 7646 08:28:15,001 --> 08:28:16,000 THE PRESIDING OFFICER: WITHOUT 7647 08:28:16,001 --> 08:28:18,000 OBJECTION. 7648 08:28:18,001 --> 08:28:21,000 MR. GRASSLEY: MR. PRESIDENT, I 7649 08:28:21,001 --> 08:28:23,000 WANT TO ADDRESS -- 7650 08:28:23,001 --> 08:28:27,000 THE PRESIDING OFFICER: PLEASE, 7651 08:28:27,001 --> 08:28:28,000 ORDER IN THE CHAMBER, PLEASE, 7652 08:28:28,001 --> 08:28:30,000 FOR THE SENATOR FROM IA. 7653 08:28:30,001 --> 08:28:31,000 THE SENATOR FROM IOWA. 7654 08:28:31,001 --> 08:28:33,000 MR. GRASSLEY: MR. PRESIDENT, I 7655 08:28:33,001 --> 08:28:36,000 HAVEN'T LISTENED TO EVERY 7656 08:28:36,001 --> 08:28:39,000 ON THE FLOOR IN THE LAST WEEK OR 7657 08:28:39,001 --> 08:28:41,000 SO, WHETHER IT'S BEEN A LOT OF 7658 08:28:41,001 --> 08:28:42,000 TALKS ABOUT SECRET HOLDS AND 7659 08:28:42,001 --> 08:28:43,000 EVERYTHING. 7660 08:28:43,001 --> 08:28:44,000 BUT SINCE I HAVE BEEN IN THE 7661 08:28:44,001 --> 08:28:46,000 SENATEORKING WITH SENATOR 7662 08:28:46,001 --> 08:28:49,000 BIDEN OVER A COURSE OF MAYBE A 7663 08:28:49,001 --> 08:28:54,000 DECADE IN A BIPARTISAN WAY, NOT 7664 08:28:54,001 --> 08:28:59,000 TO DO AWAY WITHHOLDS BUT TO HAVE 7665 08:28:59,001 --> 08:29:01,000 A TRANSPARENCY OF HOLDS, AND 7666 08:29:01,001 --> 08:29:04,000 SEEING THOSE THINGS 7667 08:29:04,001 --> 08:29:06,000 AND THEN PARTICULARLY TO SEE 7668 08:29:06,001 --> 08:29:07,000 EXCEPTION TAKEN TO WHAT'S 7669 08:29:07,001 --> 08:29:11,000 HAPPENED WHEN THIS SIDE OF THE 7670 08:29:11,001 --> 08:29:13,000 AISLE HAS PUT HOLDS ON, AND THEN 7671 08:29:13,001 --> 08:29:14,000 CONSIDERING WHEN WE -- WHEN 7672 08:29:14,001 --> 08:29:16,000 SENATOR WYDEN AND I DID TRY TO 7673 08:29:16,001 --> 08:29:18,000 DO SOMETHING THA 7674 08:29:18,001 --> 08:29:22,000 PEOPLE ON THE OTHER SIDE OF THE 7675 08:29:22,001 --> 08:29:25,000 AISLE, I'D APPRECIATE IT IF DEMOCRATIC MEMBERS OF THE SENATE 7676 08:29:25,001 --> 08:29:28,000 WOULD LISTEN WHILE I EXPLORE 7677 08:29:28,001 --> 08:29:32,000 SOME OF THE HISTORY SO THAT THEY 7678 08:29:32,001 --> 08:29:36,000 KNOW THAT THIS BIPARTISAN 7679 08:29:36,001 --> 08:29:38,000 EFFORT, THAT IF IT HAD BEEN DONE 7680 08:29:38,001 --> 08:29:41,000 THE WAY SENATOR WYDEN AND I DID 7681 08:29:41,001 --> 08:29:47,000 IT BEFORE IT WAS GUTTED, THAT WE 7682 08:29:47,001 --> 08:29:48,000 WOULDN'T HAVE A LOT OF PROBLEMS 7683 08:29:48,001 --> 08:29:51,000 TODAY THAT WE HAVE. 7684 08:29:51,001 --> 08:29:53,000 SO I WANT TO GO INTO MY REMARKS, 7685 08:29:53,001 --> 08:29:54,000 BUT I WANT TO PREFACE IT BY 7686 08:29:54,001 --> 08:29:56,000 SAYING WHAT I JUS SAID. 7687 08:29:56,001 --> 08:29:57,000 THERE'S BEEN A LOT OF TALK 7688 08:29:57,001 --> 08:29:58,000 RECENTLY ON THE SENATE FLOOR 7689 08:29:58,001 --> 08:30:00,000 ABOUT SECRET HOLDS. 7690 08:30:00,001 --> 08:30:01,000 R A PRACTICE WITH SO MUCH 7691 08:30:01,001 --> 08:30:03,000 BIPARTISAN GUILT TO GO AROUND, 7692 08:30:03,001 --> 08:30:06,000 IT IS INTERESTING THAT THE 7693 08:30:06,001 --> 08:30:08,000 DISCUSSION HAS TAKEN ON A 7694 08:30:08,001 --> 08:30:11,000 PARTISAN TONE. 7695 08:30:11,001 --> 08:30:13,000 REPUBLICANS ARE BEING ACCUSED OF 7696 08:30:13,001 --> 08:30:16,000 BEING PARTICULARLY EGREGIOUS 7697 08:30:16,001 --> 08:30:17,000 OFFENDERS WHEN IT COMES TO 7698 08:30:17,001 --> 08:30:18,000 CIRCUMVENTING DISCLOSURE 7699 08:30:18,001 --> 08:30:19,000 REQUIREMENTS. 7700 08:30:19,001 --> 08:30:22,000 LET ME JUSTAY THAT IF ANY OF 7701 08:30:22,001 --> 08:30:24,000 MY COLLEAGUES HAVE HOLDS ON 7702 08:30:24,001 --> 08:30:26,000 EITHER SIDE OFHE AISLE, THEY 7703 08:30:26,001 --> 08:30:31,000 OUGHT TO HAVE THE GUTS TO GO 7704 08:30:31,001 --> 08:30:32,000 PUBLIC ANDING TO PUBLIC -- AND 7705 08:30:32,001 --> 08:30:34,000 TO GO PUBLIC THE MINUTE THEY PUT 7706 08:30:34,001 --> 08:30:36,000 THE HOLD ON IT. 7707 08:30:36,001 --> 08:30:38,000 NOT LIKE THIS MYSTERIOUS WAY 7708 08:30:38,001 --> 08:30:39,000 THAT IT'S DONE NOW, WHIC REALLY 7709 08:30:39,001 --> 08:30:41,000 AMOUNTS TO NOTHING. 7710 08:30:41,001 --> 08:30:44,000 IT HAS BEEN MY POLICY FOR YEARS 7711 08:30:44,001 --> 08:30:45,000 TO PLACE A BRIEF STATEMENT IN 7712 08:30:45,001 --> 08:30:48,000 THE CONGRESSIONAL RECORD EACH 7713 08:30:48,001 --> 08:30:51,000 TIME I PLACED A HOLD WITH A 7714 08:30:51,001 --> 08:30:52,000 SHORT EXPLANATION OF WHY I 7715 08:30:52,001 --> 08:30:54,000 PLACED THE HOLD. 7716 08:30:54,001 --> 08:30:57,000 AND I DID THAT BEFORE THERE WAS 7717 08:30:57,001 --> 08:31:01,000 ANY GRASSLEY-BIDEN -- I SHOULD 7718 08:31:01,001 --> 08:31:02,000 SAY GRASSLEY WYDEN OR 7719 08:31:02,001 --> 08:31:03,000 WYDEN-GRASSLEY PROPOSALS. 7720 08:31:03,001 --> 08:31:04,000 THE CURRENT DISCLOSURE 7721 08:31:04,001 --> 08:31:07,000 REQUIREMENTS FOR SECRET HOLDS 7722 08:31:07,001 --> 08:31:10,000 HAVE BEEN DISCUSSED QUITE A BIT 7723 08:31:10,001 --> 08:31:12,000 LATELY, AS HAS MY WORK IN A 7724 08:31:12,001 --> 08:31:14,000 BIPARTISAN WAY WITH SENATOR 7725 08:31:14,001 --> 08:31:16,000 WYDEN TO ADDRESS THIS ISSUE. 7726 08:31:16,001 --> 08:31:18,000 SO I THINK IT IS IMPORTANT THAT 7727 08:31:18,001 --> 08:31:21,000 I GIVE A LITTLE BACKGROUND ABOUT 7728 08:31:21,001 --> 08:31:24,000 HOW WE GOT WHERE WE ARE TODAY. 7729 08:31:24,001 --> 08:31:26,000 AFTER MANY ATTEMPTS TO WORK WITH 7730 08:31:26,001 --> 08:31:30,000 VARIOUS LEADERS OVER THE YEARS 7731 08:31:30,001 --> 08:31:32,000 ON POLICY TO MAKE ALL HOL PUBLIC, SENATOR WYDEN AND I 7732 08:31:32,001 --> 08:31:34,000 DECIDED THAT THE ONLY WAY TO 7733 08:31:34,001 --> 08:31:37,000 SETTLE THIS MATTER ONCE AND FOR 7734 08:31:37,001 --> 08:31:41,000 ALL IS FOR A FULL SENATE TO 7735 08:31:41,001 --> 08:31:45,000 ADOPT A VERY CLEAR POLICY. 7736 08:31:45,001 --> 08:31:46,000 SO IN THE 109th CONGRESS 7737 08:31:46,001 --> 08:31:48,000 SENATOR WYDEN AND I WERE 7738 08:31:48,001 --> 08:31:50,000 SUCCESSFUL IN PASSING AN 7739 08:31:50,001 --> 08:31:55,000 AMENDMENT TO THE ETHICS REFORM 7740 08:31:55,001 --> 08:31:57,000 BILL BY A VERY WIDE VOTE OF 7741 08:31:57,001 --> 08:31:59,000 84-13 TO REQUIRE PUBLIC 7742 08:31:59,001 --> 08:32:01,000 DISCLOSURES OF HOLDS. 7743 08:32:01,001 --> 08:32:04,000 THAT BILL WAS NEVER ENACTED, BUT 7744 08:32:04,001 --> 08:32:07,000 THE IDENTICAL PROVISION WAS 7745 08:32:07,001 --> 08:32:09,000 INCLUDED IN THE ETHICS BILL 7746 08:32:09,001 --> 08:32:11,000 PASSED BY THE FL SENATE AT THE 7747 08:32:11,001 --> 08:32:12,000 VERY BEGINNING OF THE 110th 7748 08:32:12,001 --> 08:32:14,000 CONGRESS. 7749 08:32:14,001 --> 08:32:17,000 YOU MAY RECALL THAT THE 7750 08:32:17,001 --> 08:32:19,000 DEMOCRATS HAD JUST SECURED A 7751 08:32:19,001 --> 08:32:20,000 MAJORITY IN BOTH HOUSES OF 7752 08:32:20,001 --> 08:32:23,000 CONGRESS. 7753 08:32:23,001 --> 08:32:25,000 THEN IN A PROCESS THAT HAS 7754 08:32:25,001 --> 08:32:28,000 BECOME ALL-TOO FAMILIAR UNDER 7755 08:32:28,001 --> 08:32:30,000 THE PAST TWO DEMOCRATIC 7756 08:32:30,001 --> 08:32:31,000 CONGRESSES, THERE WAS NO 7757 08:32:31,001 --> 08:32:34,000 CONFERENCE COMMITTEE. 7758 08:32:34,001 --> 08:32:36,000 INSTEAD IN A TWIST OF IRONY, THE 7759 08:32:36,001 --> 08:32:39,000 SO-CALLED HONEST LEADERSHIP AND 7760 08:32:39,001 --> 08:32:41,000 OPEN GOVERNMENT ACT WAS 7761 08:32:41,001 --> 08:32:44,000 REWRITTEN BEHIND CLOSED DOORS BY 7762 08:32:44,001 --> 08:32:46,000 THE DEMOCRATIC LEADERSHIP. 7763 08:32:46,001 --> 08:32:48,000 LO AND BEHOLD THE PUBLIC 7764 08:32:48,001 --> 08:32:50,000 DISCLORE PROVISION SENATOR 7765 08:32:50,001 --> 08:32:53,000 WYDEN AND I HAD WORKED SO HARD 7766 08:32:53,001 --> 08:32:56,000 ON AND WHICH THE SENATE HAD 7767 08:32:56,001 --> 08:33:00,000 OVERWHELMINGLY ADOPTED ON THAT 7768 08:33:00,001 --> 08:33:03,000 84-13 VOTE, HAD BEEN ALTERED, 7769 08:33:03,001 --> 08:33:06,000 AND ALTERED VERY SIGNIFICANTLY. 7770 08:33:06,001 --> 08:33:09,000 NOW, KEEP IN MIND THAT UNDER 7771 08:33:09,001 --> 08:33:11,000 ARTICLE 1, SECTION 5 OF THE 7772 08:33:11,001 --> 08:33:13,000 CONSTITUTION, EACH HOUSE MAY 7773 08:33:13,001 --> 08:33:16,000 DETERMINE THE RULES OF ITS PROCEEDINGS. 7774 08:33:16,001 --> 08:33:17,000 THAT MEANS THAT THE HOUSE OF 7775 08:33:17,001 --> 08:33:18,000 REPRESENTATIVES HAS NO SAY 7776 08:33:18,001 --> 08:33:20,000 WHATSOEVER ABOUT THE SENATE 7777 08:33:20,001 --> 08:33:22,000 RULES. 7778 08:33:22,001 --> 08:33:24,000 WHEN THE FULL SENATE SPEAKS ON A 7779 08:33:24,001 --> 08:33:27,000 MATTER OF SENATE PROCEDURE, THAT 7780 08:33:27,001 --> 08:33:30,000 SHOULD BE THE FINAL WORD. 7781 08:33:30,001 --> 08:33:33,000 AND PARTICULARLY IF IT'S 84-13. 7782 08:33:33,001 --> 08:33:38,000 SO I WANT TO BE VERY CLEAR THAT 7783 08:33:38,001 --> 08:33:40,000 THE CURRENT WEAK DISCLOSURE 7784 08:33:40,001 --> 08:33:42,000 REQUIREMENTS THAT WE NOW HAVE 7785 08:33:42,001 --> 08:33:44,000 ARE NOT THE ONES ORIGINALLY 7786 08:33:44,001 --> 08:33:46,000 PROPOSED BY SENATOR WYDEN AND 7787 08:33:46,001 --> 08:33:49,000 THIS SENATOR. 7788 08:33:49,001 --> 08:33:51,000 IN FACT, AT THE TIME I CAME TO 7789 08:33:51,001 --> 08:33:53,000 THE FLOOR AND CRITICIZED THE 7790 08:33:53,001 --> 08:33:57,000 SPECIFIC CHANGES BECAUSE I SAW 7791 08:33:57,001 --> 08:33:59,000 THAT THEY WOULD BE INEFFECTIVE 7792 08:33:59,001 --> 08:34:02,000 AND INEECTIVE THEY ARE. 7793 08:34:02,001 --> 08:34:03,000 SO LET ME REITERATE SOME OF 7794 08:34:03,001 --> 08:34:05,000 THOSE CRITICISMS THAT I 7795 08:34:05,001 --> 08:34:11,000 INITIALLY AIRED TO THE SENATE ON 7796 08:34:11,001 --> 08:34:13,000 TWO OCCASIONS, AUGUST 2, 2007, 7797 08:34:13,001 --> 08:34:16,000 AND SEPTEMBER 19, 2007. 7798 08:34:16,001 --> 08:34:18,000 IN THE FIRST -- IN THE VERSION 7799 08:34:18,001 --> 08:34:20,000 THE SENATE ORIGINALLY PASSED, WE 7800 08:34:20,001 --> 08:34:24,000 ALLOWED THREE DAYS OF SENATORS 7801 08:34:24,001 --> 08:34:26,000 TO SUBMIT A SIMPLE PUBLIC 7802 08:34:26,001 --> 08:34:29,000 DISCLOSURE FORM FOR THE RECORD 7803 08:34:29,001 --> 08:34:30,000 JUST LIKE ADDING YOURSELF AS A 7804 08:34:30,001 --> 08:34:33,000 COSPONSOR TO A BILL. 7805 08:34:33,001 --> 08:34:35,000 THIS WAS INTENDED SIMPLY TO GIVE 7806 08:34:35,001 --> 08:34:38,000 TIME TO PERFORM ADMINISTRATIVE 7807 08:34:38,001 --> 08:34:40,000 FUNCTIONS OF GETTING THE 7808 08:34:40,001 --> 08:34:44,000 DISCLOSURE FORM TO THE SENATE FLOOR. 7809 08:34:44,001 --> 08:34:46,000 NOT TO LEGITIMATIZE SECRECY FOR 7810 08:34:46,001 --> 08:34:50,000 THAT PERIOD OF THREE DAYS. 7811 08:34:50,001 --> 08:34:52,000 THE REWRITTEN PROVISION GIVES 7812 08:34:52,001 --> 08:34:54,000 SENATORS SIX SESSION DAYS. 7813 08:34:54,001 --> 08:34:56,000 NOW, THAT MIGHT NOT SOUND SO 7814 08:34:56,001 --> 08:34:58,000 BAD, BUT JUST WAIT TO SEE HOW 7815 08:34:58,001 --> 08:34:59,000 THAT ACTUALLY WORKS OUT IN 7816 08:34:59,001 --> 08:35:01,000 PRACTICE. 7817 08:35:01,001 --> 08:35:04,000 FIRST OF ALL, IT DOESN'T TAKE A 7818 08:35:04,001 --> 08:35:06,000 WEEK TO SEND AN INTERN DOWN TO 7819 08:35:06,001 --> 08:35:07,000 THE SENATE FLOOR WITH A SIMPLE 7820 08:35:07,001 --> 08:35:09,000 FORM SAYING THAT YOU'RE PUTTING 7821 08:35:09,001 --> 08:35:12,000 A HOLD ON A BILL. 7822 08:35:12,001 --> 08:35:15,000 THE CHANGE THAT I FIND MOST 7823 08:35:15,001 --> 08:35:17,000 TROUBLING IS THE SIX DAYS UNTIL 7824 08:35:17,001 --> 08:35:19,000 THE DISCLOSURE REQUIREMENT IS 7825 08:35:19,001 --> 08:35:22,000 TRIGGERED IN BEGINS ONLY 7826 08:35:22,001 --> 08:35:26,000 AFTER -- ONLY AFTER A UNANIMOUS 7827 08:35:26,001 --> 08:35:29,000 CONSENT REQUEST 7828 08:35:29,001 --> 08:35:30,000 OBJECTED TO ON THE SENATE FLOOR. 7829 08:35:30,001 --> 08:35:32,000 AND THAT'S TOO LATE. 7830 08:35:32,001 --> 08:35:33,000 BECAUSE I'MOING TO TELL YOU 7831 08:35:33,001 --> 08:35:36,000 HOW THAT IS INEFFECTIVE. 7832 08:35:36,001 --> 08:35:40,000 BY THAT POINT A HOLD COULD HAVE 7833 08:35:40,001 --> 08:35:42,000 EXISTED FOR QUITE SOME TIME, 7834 08:35:42,001 --> 08:35:46,000 PERHAPS WITHOUT THE SPONSOR OF 7835 08:35:46,001 --> 08:35:49,000 THE BILL EVEN REALIZING. 7836 08:35:49,001 --> 08:35:50,000 IN FACT, MOST HOLDS NEVER GET TO 7837 08:35:50,001 --> 08:35:52,000 POINT WHERE AN OBJECTION IS MADE 7838 08:35:52,001 --> 08:35:55,000 ON THE FLOOR BECAUSE THE THREAT 7839 08:35:55,001 --> 08:35:58,000 OF A HOLD PREVENTS A UNANIMOUS 7840 08:35:58,001 --> 08:35:59,000 CONSENT REQUEST FRC MADE IN 7841 08:35:59,001 --> 08:36:00,000 THE -- FROM BEING MADE IN THE 7842 08:36:00,001 --> 08:36:02,000 FIRST PLACE. 7843 08:36:02,001 --> 08:36:03,000 SO MAYBE THE SIX DAYS IS NEVER 7844 08:36:03,001 --> 08:36:07,000 EVEN TRIGGERED IN. 7845 08:36:07,001 --> 08:36:08,000 THE ORIGINAL WYDEN-GRASSLEY 7846 08:36:08,001 --> 08:36:11,000 PROVISION REQUIRED DISCLOSURE AT 7847 08:36:11,001 --> 08:36:13,000 THE TIME THE HOLD WAS PLACED. 7848 08:36:13,001 --> 08:36:14,000 AND THAT'S WHERE IT OUGHT TO BE 7849 08:36:14,001 --> 08:36:18,000 TODAY. 7850 08:36:18,001 --> 08:36:20,000 WE'VE HEARD LATELY ABOUT HOW MY 7851 08:36:20,001 --> 08:36:23,000 PARTY, THE MINORITY PARTY IN THE 7852 08:36:23,001 --> 08:36:25,000 SENATE, HAS USED THE WEAK 7853 08:36:25,001 --> 08:36:27,000 DISCLOSURE REQUIREMENTS TO AVOID 7854 08:36:27,001 --> 08:36:30,000 MAKING HOLDS PUBLIC. 7855 08:36:30,001 --> 08:36:32,000 HOWEVER, THIS CHANGE MADE IT FAR 7856 08:36:32,001 --> 08:36:35,000 LESS LIKELY THAT THE MAJORITY 7857 08:36:35,001 --> 08:36:38,000 PARTY HOLDS WOULD EVER, IN FACT, 7858 08:36:38,001 --> 08:36:39,000 EVEN BECOME PUBLIC. 7859 08:36:39,001 --> 08:36:42,000 SINCE THEAJORITY LEADER 7860 08:36:42,001 --> 08:36:44,000 COROLS THE SENATE SCHEDULE, HE 7861 08:36:44,001 --> 08:36:47,000 WOULD HARDLY OBJECT TO HIS OWN 7862 08:36:47,001 --> 08:36:49,000 REQUEST TO BRING UP A NOMINEE. 7863 08:36:49,001 --> 08:36:51,000 HE WOULD SIMPLY NOT BRING UP A 7864 08:36:51,001 --> 08:36:53,000 BILL OR NOMINEE BEING HELD UP BY 7865 08:36:53,001 --> 08:36:54,000 A MEMBER OF HIS OWN PARTY AND WE 7866 08:36:54,001 --> 08:36:57,000 MIGHT NEVER KNOW THAT ERE WAS 7867 08:36:57,001 --> 08:37:00,000 A HOLD ON IT AT ALL. 7868 08:37:00,001 --> 08:37:01,000 SO WHY WERE THESE PROVISIONS 7869 08:37:01,001 --> 08:37:03,000 CHANGED? 7870 08:37:03,001 --> 08:37:06,000 WELL, SIMPLY I DON'T KNOW. 7871 08:37:06,001 --> 08:37:08,000 I DON'T KNOW WHO DOES KNOW 7872 08:37:08,001 --> 08:37:11,000 BECAUSE I CAN'T BE SURE WHO IT 7873 08:37:11,001 --> 08:37:14,000 WAS THAT REWROTE THESE 7874 08:37:14,001 --> 08:37:15,000 PROVISIONS IN SECRECY BEHD 7875 08:37:15,001 --> 08:37:18,000 CLOSED DOORS. 7876 08:37:18,001 --> 08:37:20,000 I WILL SAY THAT THE MAJORITY 7877 08:37:20,001 --> 08:37:23,000 PARTY SHOULD BE CAREFUL NOW, AS 7878 08:37:23,001 --> 08:37:25,000 THEY COMPLAIN ABOUT REPUBLICANS 7879 08:37:25,001 --> 08:37:27,000 EXPLOITING LOOPHOLES IN THE 7880 08:37:27,001 --> 08:37:28,000 DISCLOSURE REQUIREMENTS FOR 7881 08:37:28,001 --> 08:37:31,000 HOLDS. 7882 08:37:31,001 --> 08:37:32,000 BOTH PARTIES ARE GUILTY OF USING 7883 08:37:32,001 --> 08:37:33,000 SECRET HOLDS. 7884 08:37:33,001 --> 08:37:37,000 BUT YOU CAN'T BLAME REPUBLICANS 7885 08:37:37,001 --> 08:37:39,000 FOR THE FACT THAT THE CURRENT 7886 08:37:39,001 --> 08:37:41,000 DISCLOSURE REQUIREMENTS ARE WEAK 7887 08:37:41,001 --> 08:37:43,000 AND INEFFECTIVE. 7888 08:37:43,001 --> 08:37:45,000 AGAIN, THERE'S PLENTY OF BLAME 7889 08:37:45,001 --> 08:37:46,000 TO GO AROUND WHEN IT COMES TO 7890 08:37:46,001 --> 08:37:49,000 USING SECRET HOLDS. 7891 08:37:49,001 --> 08:37:51,000 BUT I'M HOPEFUL THAT THIS RECENT 7892 08:37:51,001 --> 08:37:54,000 ATTENTION TO THE PROBLEM CAN 7893 08:37:54,001 --> 08:37:58,000 RESULT IN BIPARTISAN CONSENSUS 7894 08:37:58,001 --> 08:38:00,000 TO END SECRET HOLDS ONCE AND FOR 7895 08:38:00,001 --> 08:38:02,000 L, AND THAT'S SOMETHING THAT 7896 08:38:02,001 --> 08:38:04,000 WE HOPE -- SENATOR WYDEN AND I 7897 08:38:04,001 --> 08:38:07,000 HOPE THAT OTHER PEOPLE WILL TALK 7898 08:38:07,001 --> 08:38:10,000 TO US ABOUT. 7899 08:38:10,001 --> 08:38:13,000 WE'D LIKE TO MOVE IN THIS DIRECTION. 7900 08:38:13,001 --> 08:38:15,000 AND I, FOR ONE, AM HAPPY TO WORK 7901 08:38:15,001 --> 08:38:16,000 WITH ANYONE ON EITHER SIDE OF 7902 08:38:16,001 --> 08:38:17,000 THE AISLE TO THAT END. 7903 08:38:17,001 --> 08:38:20,000 BUT IT SHOULD BE STRESSED THAT 7904 08:38:20,001 --> 08:38:21,000 THIS HAS BEEN A BIPARTISAN EFFORT. 7905 08:38:21,001 --> 08:38:26,000 EVERYBODY IN THIS BODY TALKS 7906 08:38:26,001 --> 08:38:29,000 ABOUT BIPARTISANSHIP. 7907 08:38:29,001 --> 08:38:31,000 BUT WHEN THIS THING WAS WATERED 7908 08:38:31,001 --> 08:38:35,000 DOWN, IT WASN'T WATERED DOWN IN 7909 08:38:35,001 --> 08:38:36,000 AN ENVIRONMENT THAT I KNOW ABOUT 7910 08:38:36,001 --> 08:38:38,000 WHERE ANY REPUBLICANS WERE PRESENT. 7911 08:38:38,001 --> 08:38:40,000 I YIELD THE FLOOR. 7912 08:38:40,001 --> 08:38:41,000 MR. WYDEN: WOULD THE SENATOR 7913 08:38:41,001 --> 08:38:42,000 YIELD FOR A QUEST 7914 08:38:42,001 --> 08:38:43,000 YIELDS THE FLOOR? 7915 08:38:43,001 --> 08:38:44,000 THE ESIDING OFFICER: THE 7916 08:38:44,001 --> 08:38:46,000 SENATOR FROM OREGON. 7917 08:38:46,001 --> 08:38:48,000 WIDE WYE FIRST, LET ME -- 7918 08:38:48,001 --> 08:38:52,000 MR. WYDEN: FIRST, LET ME TELL 7919 08:38:52,001 --> 08:38:55,000 HAVE ENJOYED WORKING WITH HIM ON THIS. 7920 08:38:55,001 --> 08:38:57,000 WE HAVE, AS INCREDIBLE AS IT 7921 08:38:57,001 --> 08:38:59,000 SOUNDS, A 10-YEAR CAMPAIGN TO 7922 08:38:59,001 --> 08:39:00,000 TRY TO END SECRECY IN THE SENATE. 7923 08:39:00,001 --> 08:39:02,000 JUST SO THAT PEOPLE KNOW A 7924 08:39:02,001 --> 08:39:04,000 LITTLE BIT ABOUT IT -- BECAUSE I 7925 08:39:04,001 --> 08:39:05,000 ALWAYS THINK WHEN PEOPLE HEAR 7926 08:39:05,001 --> 08:39:07,000 ABOUT A HOLD IN THE UNITED 7927 08:39:07,001 --> 08:39:09,000 STATES SENATE, THEY PROBABLY 7928 08:39:09,001 --> 08:39:12,000 THINK IT'S A HAIR SPRAY OR A 7929 08:39:12,001 --> 08:39:14,000 WRESTLING MOVE OR SOMETHING LIKE THAT. 7930 08:39:14,001 --> 08:39:17,000 SENATOR 7931 08:39:17,001 --> 08:39:19,000 CORRECT THAT A HOLD, THE ABILITY 7932 08:39:19,001 --> 08:39:22,000 TO BLOCK A NOMINATION OR A PIECE 7933 08:39:22,001 --> 08:39:24,000 OF LEGISLATION IS ONE OF THE 7934 08:39:24,001 --> 08:39:25,000 MOST POWERFUL TOOLS THAT A 7935 08:39:25,001 --> 08:39:28,000 MEMBER OF THE UNITED STATES 7936 08:39:28,001 --> 08:39:31,000 SENATE HAS TODAY TO INFLUENCE 7937 08:39:31,001 --> 08:39:32,000 POLICY? 7938 08:39:32,001 --> 08:39:33,000 SENATOR WYDEN IS ABSOLUTELY 7939 08:39:33,001 --> 08:39:36,000 RIGHT. 7940 08:39:36,001 --> 08:39:39,000 IT IS A VERY POWFUL TOOL. 7941 08:39:39,001 --> 08:39:40,000 MR. WYDEN: AND WITH RESPECT TO 7942 08:39:40,001 --> 08:39:43,000 TRANSPARENCY, WHAT I THINK YOU 7943 08:39:43,001 --> 08:39:48,000 AND I HAVE FOCUSED ON ALL THESE 7944 08:39:48,001 --> 08:39:51,000 YOU'RE TRYING TO ABOLISH THE HOLD. 7945 08:39:51,001 --> 08:39:52,000 AND I THINK YOU AND I HAVE 7946 08:39:52,001 --> 08:39:55,000 LOOK, WE BELIEVE SENATORS OUGHT 7947 08:39:55,001 --> 08:39:56,000 TO HAVE A RIGHT TO WEIGH IN ON 7948 08:39:56,001 --> 08:39:59,000 SOMETHING IMPORTANT, BUT AT A 7949 08:39:59,001 --> 08:40:04,000 TIME WHEN THE PUBLIC WANTS 7950 08:40:04,001 --> 08:40:05,000 TRANSPARENCY, AN OPENNESS, AN 7951 08:40:05,001 --> 08:40:07,000 ACCOUNTABILITY, 7952 08:40:07,001 --> 08:40:09,000 WANTS TO USE WHAT YOU HAVE JUST 7953 08:40:09,001 --> 08:40:12,000 SAID IS AN EXTRAORDINARY POWER, 7954 08:40:12,001 --> 08:40:15,000 THE REAL PUBLIC 7955 08:40:15,001 --> 08:40:17,000 SATISFIED BY THAT SENATOR HAVING 7956 08:40:17,001 --> 08:40:19,000 TO DISCLOSE PROMPTLY THAT THEY 7957 08:40:19,001 --> 08:40:21,000 ARE IMPOSING A HOLD. 7958 08:40:21,001 --> 08:40:23,000 IS THAT A CORRECT -- 7959 08:40:23,001 --> 08:40:24,000 MR. GRASSLEY: MR. PRESIDENT, 7960 08:40:24,001 --> 08:40:27,000 SENATOR WYDEN IS CORRECT. 7961 08:40:27,001 --> 08:40:30,000 AND I WOULD ADD, SENATO WYDEN, 7962 08:40:30,001 --> 08:40:32,000 THIS POINT, THAT NOT ONLY IS IT 7963 08:40:32,001 --> 08:40:34,000 TRANSPARENCY THAT IS ESSENTIAL 7964 08:40:34,001 --> 08:40:37,000 AND IT HAPPENS THAT WAY, BUT 7965 08:40:37,001 --> 08:40:39,000 ALSO A LOT OF TIMES HOPED ARE 7966 08:40:39,001 --> 08:40:41,000 PUT ON -- A LOT OF TIMES HOLDS 7967 08:40:41,001 --> 08:40:42,000 ARE PUT ON BECAUSE PEOPLE -- 7968 08:40:42,001 --> 08:40:44,000 THERE'S SOMETHING WRONG. 7969 08:40:44,001 --> 08:40:46,000 WELL, YOU'VE GOT TO KNOW -- WHO 7970 08:40:46,001 --> 08:40:48,000 IT IS THAT THINKS SOMETHING'S 7971 08:40:48,001 --> 08:40:50,000 WRONG IF YOU'RE GOING TO WORK 7972 08:40:50,001 --> 08:40:52,000 OUT SOME SORT OF A COMPRISE. 7973 08:40:52,001 --> 08:40:53,000 MR. WYDEN: FOR ONE ADDITIONAL 7974 08:40:53,001 --> 08:40:55,000 POINT. 7975 08:40:55,001 --> 08:40:57,000 SENATOR GRASSLEY, IS IT YOUR 7976 08:40:57,001 --> 08:40:59,000 SENSE -- BECAUSE WE TALKED ABOUT 7977 08:40:59,001 --> 08:41:01,000 THIS OFT 7978 08:41:01,001 --> 08:41:04,000 WATCHING THIS SPECTACLE IN THE 7979 08:41:04,001 --> 08:41:06,000 LAST FEW WEEKS OF ALL THESE 7980 08:41:06,001 --> 08:41:08,000 SECRET HOLDS, THAT THE CENTRAL 7981 08:41:08,001 --> 08:41:11,000 PROBLEM IS 7982 08:41:11,001 --> 08:41:14,000 AND IT TAKES TOO LONG TO KICK IN. 7983 08:41:14,001 --> 08:41:15,000 IS THAT A FAIR STATEMENT OF WHAT 7984 08:41:15,001 --> 08:41:17,000 REALLY NEEDS TO BE CHANGED? 7985 08:41:17,001 --> 08:41:19,000 WE NEED TO GET THE OPENNESS EARLIER. 7986 08:41:19,001 --> 08:41:21,000 IT NEEDS TOE TRIGGERED EARLIER 7987 08:41:21,001 --> 08:41:24,000 AND IT NEEDS TO GET I 7988 08:41:24,001 --> 08:41:26,000 PUBLIC DOMAIN EARLIER. 7989 08:41:26,001 --> 08:41:27,000 IS THAT CORRECT? 7990 08:41:27,001 --> 08:41:30,000 MR. GRASSLEY: MR. PRESIDENT, THE 7991 08:41:30,001 --> 08:41:31,000 SENATOR IS CORRECT THAT THE 7992 08:41:31,001 --> 08:41:33,000 PRESENT RULES ARE NOT MUCH 7993 08:41:33,001 --> 08:41:34,000 BETTER THAN WHAT WE'VE ALWAYS 7994 08:41:34,001 --> 08:41:36,000 OPERATED UNDER. 7995 08:41:36,001 --> 08:41:38,000 SO THERE ISN'T TRANSPARENCY AND 7996 08:41:38,001 --> 08:41:40,000 IT ISN'T DONE SOON ENOUGH. 7997 08:41:40,001 --> 08:41:46,000 MR. WYDEN: I -- I JUST WANT TO 7998 08:41:46,001 --> 08:41:49,000 HIM. 7999 08:41:49,001 --> 08:41:51,000 YOU AND I HAVE PURSUED A LOT OF 8000 08:41:51,001 --> 08:41:55,000 ISSUES IN THE PAST AND VERY 8001 08:41:55,001 --> 08:41:57,000 OFTEN THOSE 8002 08:41:57,001 --> 08:41:58,000 TELEVISION, NEWS DEBATES AND THE 8003 08:41:58,001 --> 08:41:59,000 LIKE. 8004 08:41:59,001 --> 08:42:01,000 AND, OBVIOUSLY, THE SECRET HOLD 8005 08:42:01,001 --> 08:42:03,000 WOULD NOT BE SOMETHING ON MAIN 8006 08:42:03,001 --> 08:42:04,000 STREET IN DES MOINES OR PORTLAND 8007 08:42:04,001 --> 08:42:06,000 THAT PEOPLE KNOW ABOUT. 8008 08:42:06,001 --> 08:42:09,000 BUT I THINK THIS IS THE TIME TO 8009 08:42:09,001 --> 08:42:11,000 GET THIS RIGHT ONCE AND FOR ALL. 8010 08:42:11,001 --> 08:42:15,000 WE SOUGHT TO 8011 08:42:15,001 --> 08:42:18,000 A DECADE. 8012 08:42:18,001 --> 08:42:20,000 A NUMBER OF MAJORITY LEADERS, 8013 08:42:20,001 --> 08:42:21,000 DEMOCRATIC MAJORITY LEADERS, 8014 08:42:21,001 --> 08:42:23,000 REPUBLIC 8015 08:42:23,001 --> 08:42:25,000 SAID THAT THEY WANTED TO GET 8016 08:42:25,001 --> 08:42:27,000 THIS DONE. 8017 08:42:27,001 --> 08:42:29,000 YET AS OF THIS DAY I PERSONALLY 8018 08:42:29,001 --> 08:42:30,000 BELIEVE THAT IT CONTINUES TO BE 8019 08:42:30,001 --> 08:42:32,000 ABUSED AND 8020 08:42:32,001 --> 08:42:35,000 AND AT A TIME WHEN THE AMERICAN 8021 08:42:35,001 --> 08:42:36,000 PEOPLE ARE LOOKING 8022 08:42:36,001 --> 08:42:40,000 CHALLENGING ECONOMIC 8023 08:42:40,001 --> 08:42:43,000 CIRCUMSTANCES, THEY DESERVE A 8024 08:42:43,001 --> 08:42:45,000 TRULY ACCOUNTABLE, AND TRULY TRANSPARENT. 8025 08:42:45,001 --> 08:42:47,000 AND THAT HAS BEEN WHA 8026 08:42:47,001 --> 08:42:50,000 OUR BIPARTISAN EFFORTS OVER THIS 8027 08:42:50,001 --> 08:42:51,000 LAST DECADE AND I REALLY 8028 08:42:51,001 --> 08:42:52,000 APPRECIATE YOU COMING TO THE 8029 08:42:52,001 --> 08:42:54,000 FLOOR THIS EVENING. 8030 08:42:54,001 --> 08:42:56,000 THERE AREN'T THAT MANY 8031 08:42:56,001 --> 08:42:58,000 OPPORTUNITIES TO ADVANCE A TRULY 8032 08:42:58,001 --> 08:42:59,000 BIPARTISAN AGENDA 8033 08:42:59,001 --> 08:43:01,000 YOU'VE GIVEN US THE OPPORTUNITY 8034 08:43:01,001 --> 08:43:03,000 TO DOHAT TONIGHT. 8035 08:43:03,001 --> 08:43:06,000 AND IF THE SENATOR YIELDS BACK 8036 08:43:06,001 --> 08:43:08,000 HIS TIME, I'M GOING TO 8037 08:43:08,001 --> 08:43:09,000 MR. GRASSLEY: I WOULD YIELD THE FLOO 8038 08:43:09,001 --> 08:43:10,000 MR. WYDEN: AND I THANK MY 8039 08:43:10,001 --> 08:43:14,000 COLLEAGUE AND LOOK FORWARD TO 8040 08:43:14,001 --> 08:43:17,000 WORKING WITH HIM TO ONCE AND FOR 8041 08:43:17,001 --> 08:43:20,000 ALL GET SECRET HOLDS ABO 8042 08:43:20,001 --> 08:43:21,000 MR. PRESIDENT, I KNOW A NUMBER 8043 08:43:21,001 --> 08:43:23,000 OF COLLEAGUES, SENATOR 8044 08:43:23,001 --> 08:43:25,000 WHITEHOUSE, WHO HAS A GREAT 8045 08:43:25,001 --> 08:43:27,000 INTEREST IN THIS TOPIC, IS HERE AS WELL. 8046 08:43:27,001 --> 08:43:29,000 I WOULD JUST ASK UNANIMOUS 8047 08:43:29,001 --> 08:43:31,000 CONSENT TO SPEAK AT THIS TIME 8048 08:43:31,001 --> 08:43:32,000 FOR UP TO 10 MINUTES. 8049 08:43:32,001 --> 08:43:33,000 THE PRESIDING OFFICER: WITHOUT 8050 08:43:33,001 --> 08:43:35,000 OBJECTION. 8051 08:43:35,001 --> 08:43:38,000 MR. WYDEN: MR. PRESIDENT, TO 8052 08:43:38,001 --> 08:43:42,000 JUST CONTINUE THIS TOPIC, I 8053 08:43:42,001 --> 08:43:44,000 THINK WE NEED TO KIND OF PUT 8054 08:43:44,001 --> 08:43:48,000 INTO PERSPECTIVE A LITTLE BIT 8055 08:43:48,001 --> 08:43:52,000 ABOUT WHY THIS SECRET HOLD HAS 8056 08:43:52,001 --> 08:43:55,000 BECOME SUCH A DETRIMENTAL PRACTICE. 8057 08:43:55,001 --> 08:43:56,000 WHEN WILLIE SUTTON WAS ASKED WHY 8058 08:43:56,001 --> 08:43:59,000 HE ROBBED THE BANK, HE SAID 8059 08:43:59,001 --> 08:44:01,000 THAT'S WHERE THE MONEY IS. 8060 08:44:01,001 --> 08:44:03,000 WELL, SECRET HOLDS ARE WHERE THE 8061 08:44:03,001 --> 08:44:05,000 POWER IS. 8062 08:44:05,001 --> 08:44:07,000 AND SENATOR GRASSLEY AND I HAVE 8063 08:44:07,001 --> 08:44:09,000 JUST OUTLINED THE ENORMOUS 8064 08:44:09,001 --> 08:44:11,000 EFFECT THAT A SECRET 8065 08:44:11,001 --> 08:44:13,000 HAVE ON A PIECE OF LEGISLATION, 8066 08:44:13,001 --> 08:44:15,000 BUT, FRANKLY, ONE OF THE OTHER 8067 08:44:15,001 --> 08:44:16,000 POINTS THAT NEEDS TO BE 8068 08:44:16,001 --> 08:44:19,000 MENTIONED IS I HAVE LONG FELT 8069 08:44:19,001 --> 08:44:20,000 THAT A SECRET HOLD IS A VERY 8070 08:44:20,001 --> 08:44:22,000 POWERFUL WEAPON THAT'S AVAILABLE 8071 08:44:22,001 --> 08:44:26,000 TO A LOBBYIST. 8072 08:44:26,001 --> 08:44:27,000 I EXPECT 8073 08:44:27,001 --> 08:44:32,000 SENATOR'S GOTTEN A REQUEST FROM 8074 08:44:32,001 --> 08:44:36,000 A LOBBYIST ASKING IF A SENATOR 8075 08:44:36,001 --> 08:44:39,000 WOULD PUT A SECRET HOLD ON A 8076 08:44:39,001 --> 08:44:40,000 NOMINEE, AND WITHOUT THE 8077 08:44:40,001 --> 08:44:41,000 LOBBYIST'S FINGERPRINTS 8078 08:44:41,001 --> 08:44:43,000 APPEARING ANYWHERE. 8079 08:44:43,001 --> 08:44:45,000 IF YOU CAN GET A UNITED STATES 8080 08:44:45,001 --> 08:44:47,000 SENATOR PUT A HOLD ON A BILL, 8081 08:44:47,001 --> 08:44:48,000 IT'S LIKE HITTING THE LOBBYIST 8082 08:44:48,001 --> 08:44:51,000 JACKPOT. 8083 08:44:51,001 --> 08:44:53,000 NOT ONLY IS THE SENATOR 8084 08:44:53,001 --> 08:44:55,000 PROTECTED BY ANONYMITY, BUT SO 8085 08:44:55,001 --> 08:44:59,000 IS THE 8086 08:44:59,001 --> 08:45:02,000 AND A L 8087 08:45:02,001 --> 08:45:03,000 SIDES OF THE A VOTE STREET AND 8088 08:45:03,001 --> 08:45:08,000 GET -- OF THE STREET. 8089 08:45:08,001 --> 08:45:10,000 AND 8090 08:45:10,001 --> 08:45:12,000 WHERE I'VE HEARD OF LOBBYISTS 8091 08:45:12,001 --> 08:45:14,000 ASKINGOR SECRET HOLDS, I'M OF 8092 08:45:14,001 --> 08:45:20,000 THE VIEW, MR. PRESIDENT, THAT 8093 08:45:20,001 --> 08:45:23,000 SECRET HOLDS ARE A STRELTSDZ 8094 08:45:23,001 --> 08:45:27,000 EXTENSION -- STEALTH 8095 08:45:27,001 --> 08:45:30,000 OF THE LOBBYING WORLD. 8096 08:45:30,001 --> 08:45:32,000 THERE 8097 08:45:32,001 --> 08:45:35,000 WOULD BE THE HEIGHT OF IRONY IF 8098 08:45:35,001 --> 08:45:38,000 THE SENATE WERE TO ADOPT A 8099 08:45:38,001 --> 08:45:40,000 VARIETY OF CHANGES TO CURTAIL 8100 08:45:40,001 --> 08:45:43,000 LOBBYING AS WE'VE DONE IN THE 8101 08:45:43,001 --> 08:45:45,000 PAST WITHOUT DOING AWAY WITH 8102 08:45:45,001 --> 08:45:48,000 WHAT, I 8103 08:45:48,001 --> 08:45:53,000 MOST POWERFUL TOOLS THAT CAN BE 8104 08:45:53,001 --> 08:45:54,000 AVAILABLE TO LOBBYISTS. 8105 08:45:54,001 --> 08:45:56,000 THE OVERWHELMING MAJORITY OF OUR 8106 08:45:56,001 --> 08:45:57,000 CITIZENS SAY IN EVERY CORNER OF 8107 08:45:57,001 --> 08:45:59,000 THE LANDS, BE IT ALASKA OR 8108 08:45:59,001 --> 08:46:00,000 OREGON OR RHODE ISLAND, THAT 8109 08:46:00,001 --> 08:46:02,000 THEY WANT PUBLIC BUSINESS DONE 8110 08:46:02,001 --> 08:46:04,000 IN PUBLIC. 8111 08:46:04,001 --> 08:46:08,000 AND IF YOU WALK DOWN THE STREETS 8112 08:46:08,001 --> 08:46:09,000 OF THIS COUNTRY, I DON'T THINK 8113 08:46:09,001 --> 08:46:11,000 YOU COULD FIND 1 OUT OF 100 8114 08:46:11,001 --> 08:46:14,000 PEOPLE WHO'D HAVE ANY IDEA WHAT 8115 08:46:14,001 --> 08:46:16,000 A HOLD IS OR WHAT A SECRET HOLD 8116 08:46:16,001 --> 08:46:18,000 IS ALL 8117 08:46:18,001 --> 08:46:21,000 BUT THE FACT IS THAT THESE SECRET HOLDS HERE IN THE UNITED 8118 08:46:21,001 --> 08:46:23,000 STATES SENATE CAN DRAMATICALLY 8119 08:46:23,001 --> 08:46:28,000 AFFECT AND CHANGE THE LIVES OF 8120 08:46:28,001 --> 08:46:29,000 OUR CIT 8121 08:46:29,001 --> 08:46:31,000 NOT EVEN KNOW ABOUT IT. 8122 08:46:31,001 --> 08:46:33,000 THE HOLD, THE ABILITY TO BLOCK A 8123 08:46:33,001 --> 08:46:35,000 PIECE OF LEGISLATION, BLOCK A 8124 08:46:35,001 --> 08:46:39,000 NOMINATION CAN'T EVEN IN A 8125 08:46:39,001 --> 08:46:40,000 NUMBER OF INSTANCES END UP BEING 8126 08:46:40,001 --> 08:46:42,000 DISCUSSED ON THE FLOOR OF THE 8127 08:46:42,001 --> 08:46:43,000 UNITED STATES SENATE. 8128 08:46:43,001 --> 08:46:45,000 LITERALLY, THE UNITED STATES 8129 08:46:45,001 --> 08:46:48,000 SENATE WON'T EVEN GET A PEEK, 8130 08:46:48,001 --> 08:46:51,000 WON'T EVEN GET THE BRIEFEST LOOK 8131 08:46:51,001 --> 08:46:52,000 AT A PARTICULAR ISSUE THAT MAY 8132 08:46:52,001 --> 08:46:53,000 INVOLVE MILLIONS OF OUR CITIZENS 8133 08:46:53,001 --> 08:46:56,000 CITIZENS, BILLIONS OF DOLLARS 8134 08:46:56,001 --> 08:46:57,000 AND AFFECT THE CALL OF LIFE -- 8135 08:46:57,001 --> 08:46:59,000 THE QUALITY OF LIFE OF CITIZENS 8136 08:46:59,001 --> 08:47:01,000 IN EVERY CORNER OF THE LAND. 8137 08:47:01,001 --> 08:47:03,000 SO WHAT THIS IS ALL ABOUT 8138 08:47:03,001 --> 08:47:06,000 SENATOR GRASSLEY AND I HAVE BEEN 8139 08:47:06,001 --> 08:47:09,000 RKING FOR LO THIS PAST DECADE, 8140 08:47:09,001 --> 08:47:11,000 SENATOR WHITEHOUSE HAS SPOKEN 8141 08:47:11,001 --> 08:47:14,000 ELOQUENTLY ABOUT IS WE BELIEVE 8142 08:47:14,001 --> 08:47:16,000 NOW IS THE TIME ONCE AND FOR ALL 8143 08:47:16,001 --> 08:47:19,000 TO PERMANENTLY WIPE THE SECRET 8144 08:47:19,001 --> 08:47:21,000 HOLD 8145 08:47:21,001 --> 08:47:24,000 UNITED 8146 08:47:24,001 --> 08:47:27,000 IT'S ONE THING IF 8147 08:47:27,001 --> 08:47:28,000 UNITED STATES SENATOR EXERCISES 8148 08:47:28,001 --> 08:47:29,000 THE EXTRAORDINARY POWER THAT A 8149 08:47:29,001 --> 08:47:32,000 HOLD 8150 08:47:32,001 --> 08:47:34,000 IT'S QUITE ANOTHER WHEN THEY 8151 08:47:34,001 --> 08:47:36,000 CAN' 8152 08:47:36,001 --> 08:47:38,000 BECAUSE THEY EXERCISE THIS POWER 8153 08:47:38,001 --> 08:47:42,000 IN SECRET. 8154 08:47:42,001 --> 08:47:45,000 MAY NOT KNOW WHAT A SECRET HOLD 8155 08:47:45,001 --> 08:47:46,000 IS, BUT I'M VERY, VERY CERTAIN 8156 08:47:46,001 --> 08:47:50,000 THEY 8157 08:47:50,001 --> 08:47:51,000 SENATE TO DO ITS BUSINESS PUBLIC. 8158 08:47:51,001 --> 08:47:52,000 SO I WANT TO EXPECT MY 8159 08:47:52,001 --> 08:47:53,000 APPRECIATION TO SENATOR 8160 08:47:53,001 --> 08:47:55,000 GRASSLEY, WHO HAS LEFT THE 8161 08:47:55,001 --> 08:47:58,000 FLOOR, FOR WORKING WITH ME OVER 8162 08:47:58,001 --> 08:48:06,000 THIS PAST DECADE TO END WHAT I 8163 08:48:06,001 --> 08:48:08,000 THINK IS A 8164 08:48:08,001 --> 08:48:09,000 DENIAL OF THE PUBLIC'S RIGHT TO KNOW. 8165 08:48:09,001 --> 08:48:10,000 THAT'S WHAT THIS IS ESSENTIALLY 8166 08:48:10,001 --> 08:48:11,000 ABOUT. THIS IS A DENIAL OF THE PUBLIC'S 8167 08:48:11,001 --> 08:48:12,000 RIGHT TO KNOW. 8168 08:48:12,001 --> 08:48:14,000 AND WITH COLLEAGUES ON BOTH 8169 08:48:14,001 --> 08:48:17,000 SIDES OF THE AISLE, I'M 8170 08:48:17,001 --> 08:48:20,000 DETERMINED TO THIS TIME GET THIS 8171 08:48:20,001 --> 08:48:22,000 CHANGED, TO SHORTEN THE PERIOD, 8172 08:48:22,001 --> 08:48:23,000 TO MAKE IT EASIER TO TRIGGER THE 8173 08:48:23,001 --> 08:48:24,000 REQUIREMENTS OF PUBLIC 8174 08:48:24,001 --> 08:48:25,000 DISC 8175 08:48:25,001 --> 08:48:29,000 I KNOW MY COLLEAGUE FROM RHODE 8176 08:48:29,001 --> 08:48:30,000 ISLAND IS INTERESTED IN GETTING 8177 08:48:30,001 --> 08:48:31,000 IN IT ISSUE. 8178 08:48:31,001 --> 08:48:32,000 MR. PRESIDENT, I LOOK FORWARD TO 8179 08:48:32,001 --> 08:48:33,000 HIS COMMENTS AND YIELD 8180 08:48:33,001 --> 08:48:34,000 FLOOR. 8181 08:48:34,001 --> 08:48:36,000 MR. WHITEHOUSE: MR. PRESIDENT? 8182 08:48:36,001 --> 08:48:38,000 THE PRESIDING OFFICER: THE MR. WHITEHOUSE: MR. PRESIDENT, 8183 08:48:38,001 --> 08:48:40,000 MAY I ASK UNANIMOUS CONSENT TO 8184 08:48:40,001 --> 08:48:42,000 ENGAGE FOR FIVE OR TEN MINUTES 8185 08:48:42,001 --> 08:48:43,000 IN A COLLOQUY WITH THE 8186 08:48:43,001 --> 08:48:44,000 DISTINGUISHED SENATOR FROM OREGON. 8187 08:48:44,001 --> 08:48:45,000 THE PRESIDING OFFICER: WITHOUT 8188 08:48:45,001 --> 08:48:47,000 OBJECTION. 8189 08:48:47,001 --> 08:48:49,000 MR. WHITEHOUSE: I, FIRST O ALL, 8190 08:48:49,001 --> 08:48:50,000 WANT TO SALUTE SENATOR WYDEN OF 8191 08:48:50,001 --> 08:48:51,000 OREGON FOR HIS LONG WORK ON 8192 08:48:51,001 --> 08:48:52,000 THIS. 8193 08:48:52,001 --> 08:48:53,000 HE HAS BEEN WORKING ON THIS 8194 08:48:53,001 --> 08:48:56,000 SINCE BEFORE I CAME TO THE 8195 08:48:56,001 --> 08:49:00,000 SENATE, BEFORE I HAD ANY 8196 08:49:00,001 --> 08:49:02,000 EXPERIENCE OF SECRET HOLDS AND 8197 08:49:02,001 --> 08:49:04,000 SAW, AS WE ARE SEEING RIGHT NOW, 8198 08:49:04,001 --> 08:49:06,000 THEIR PERNICIOUS EFFECT IN THIS 8199 08:49:06,001 --> 08:49:08,000 BODY. 8200 08:49:08,001 --> 08:49:10,000 AT PRESENT, WE ARE LOOKING AT 8201 08:49:10,001 --> 08:49:17,000 PROBABLY A LITTLE LESS THAN 8202 08:49:17,001 --> 08:49:19,000 80 -- , 80 -- SECRET HOLDS BY 8203 08:49:19,001 --> 08:49:21,000 REPUBLICANS OF PRESIDENT OBAMA'S NOMINEES. 8204 08:49:21,001 --> 08:49:25,000 SOME EXECUTIVE -- MO 8205 08:49:25,001 --> 08:49:27,000 EXECUTIVE, SOME JUDGES. 8206 08:49:27,001 --> 08:49:28,000 AND IN THE PAST FEW DAYS, 8207 08:49:28,001 --> 08:49:31,000 SENATOR McCASKILL AND I HAVE 8208 08:49:31,001 --> 08:49:33,000 COME TO THE FLOOR TO PUSH SOME 8209 08:49:33,001 --> 08:49:34,000 OF THESE NOMINEES FORWARD, TO 8210 08:49:34,001 --> 08:49:35,000 ASK UNANIMOUS CONSENT THAT THEY 8211 08:49:35,001 --> 08:49:37,000 GO FORWARD. 8212 08:49:37,001 --> 08:49:40,000 IN ONE CASE, A NOMINEE WAS A 8213 08:49:40,001 --> 08:49:42,000 JUDGE WHO WAS SUPPORTED BY BOTH 8214 08:49:42,001 --> 08:49:46,000 A DEMOCRAT AND A REPUBLICAN 8215 08:49:46,001 --> 08:49:47,000 SENATOR FROM HIS HOME STATE, HAD 8216 08:49:47,001 --> 08:49:49,000 PASSED OUT OF THE JUDICIARY 8217 08:49:49,001 --> 08:49:54,000 COMMITTEE BY A UNANIMOUS VOTE OF 8218 08:49:54,001 --> 08:49:56,000 19-0, A ROLL CALL VOTE OF 19-0, AND THEY HAVE BEEN HELD FOR 8219 08:49:56,001 --> 08:49:57,000 MONTHS AND MONTHS AND MONTHS. 8220 08:49:57,001 --> 08:49:58,000 AND THE DISTINGUISHED SENATOR 8221 08:49:58,001 --> 08:50:02,000 FROM ARIZONA, SENATOR KYL, WAS 8222 08:50:02,001 --> 08:50:03,000 PUT IN THE UNFORTUNATE POSITION, 8223 08:50:03,001 --> 08:50:05,000 SINCE HE HAD VOTED FOR THIS 8224 08:50:05,001 --> 08:50:07,000 NOMINEE IN COMMITTEE, TO HAVE TO 8225 08:50:07,001 --> 08:50:09,000 COME TO THE FLOOR AND RAISE AN 8226 08:50:09,001 --> 08:50:12,000 OBJECTION TO THE UNANIMOUS 8227 08:50:12,001 --> 08:50:15,000 CONSENT FOR A JUDGE WHO HE'D 8228 08:50:15,001 --> 08:50:16,000 VOTED FOR IN COMMITTEE AND ONE 8229 08:50:16,001 --> 08:50:17,000 OF HIS REPUBLICAN COLLEAGUES 8230 08:50:17,001 --> 08:50:19,000 SUPPORTED, THE HOME STATE 8231 08:50:19,001 --> 08:50:21,000 SENATOR SUPPORTED, TO HAVE TO 8232 08:50:21,001 --> 08:50:22,000 OBJECT TO THAT NOMINATION GOING 8233 08:50:22,001 --> 08:50:24,000 FORWARD BECAUSE SOMEBODY HAD A 8234 08:50:24,001 --> 08:50:25,000 SECRET HOLD. 8235 08:50:25,001 --> 08:50:26,000 AND WE WENT THROUGH A GREAT DEAL 8236 08:50:26,001 --> 08:50:29,000 OF THESE. 8237 08:50:29,001 --> 08:50:30,000 I WANT TO SALUTE SENATOR McCASKILL. 8238 08:50:30,001 --> 08:50:31,000 SHE CARRIED THE GREATER PART OF THE BURDEN. 8239 08:50:31,001 --> 08:50:34,000 I ONLY MOVED A FEW. 8240 08:50:34,001 --> 08:50:36,000 I THINK SHE MOVED OVER 70 BY THE 8241 08:50:36,001 --> 08:50:38,000 TIME THE DAY WAS DONE,ND I 8242 08:50:38,001 --> 08:50:41,000 REALLY WANT TO EXTEND MY 8243 08:50:41,001 --> 08:50:42,000 APPRECIATION TO HER FOR THAT. 8244 08:50:42,001 --> 08:50:45,000 SENATOR WYDEN, AS I UNDERSTAND 8245 08:50:45,001 --> 08:50:46,000 IT, THE RULE IS THAT NOW THAT 8246 08:50:46,001 --> 08:50:53,000 THESE UNANIMOUS CONSENTS HAVE 8247 08:50:53,001 --> 08:50:54,000 BEEN MADE, THERE IS A SIX-DAY OF 8248 08:50:54,001 --> 08:50:55,000 SESSION PERIOD IN HAS NOW BEGUN 8249 08:50:55,001 --> 08:50:57,000 TO RUN, AND AT THE END OF THAT 8250 08:50:57,001 --> 08:51:01,000 SIX DAYS, OUR REPUBLICAN 8251 08:51:01,001 --> 08:51:05,000 COLLEAGUES WILL BE OBLIGED TO 8252 08:51:05,001 --> 08:51:07,000 DISCLOSE PUBLICLY THEIR HOLDS: 8253 08:51:07,001 --> 08:51:10,000 WHO'S HOLDING IT AND WHAT THEIR 8254 08:51:10,001 --> 08:51:14,000 REASON IS. 8255 08:51:14,001 --> 08:51:19,000 AND I UNDERSTAND THAT THERE IS A 8256 08:51:19,001 --> 08:51:23,000 POTENTIAL LOOPHOLE WHICH IS THAT 8257 08:51:23,001 --> 08:51:24,000 THEY COULD PULL THE OLD 8258 08:51:24,001 --> 08:51:27,000 SWITCHEROO, AND THAT AT THE END 8259 08:51:27,001 --> 08:51:28,000 OF THAT SIX-DAY PERIOD, THE 8260 08:51:28,001 --> 08:51:30,000 SENATOR OR SENATORS WITH THAT 8261 08:51:30,001 --> 08:51:32,000 HOLD COULD ALL RELEASE THEIR 8262 08:51:32,001 --> 08:51:34,000 HOLD SO AT THE END OF THE SIX 8263 08:51:34,001 --> 08:51:36,000 HOOF DAY PERIOD, THEY HAVE NO 8264 08:51:36,001 --> 08:51:38,000 HOLD -- SIX-DAY PERIOD, THAT 8265 08:51:38,001 --> 08:51:39,000 THEY HAVE NO HOLD TO DISCLOSE, 8266 08:51:39,001 --> 08:51:42,000 BUT THEY COULD CONNIVE WITH 8267 08:51:42,001 --> 08:51:43,000 ANOTHER COLLEAGUE TO PUT IN A 8268 08:51:43,001 --> 08:51:44,000 HOLD SINCE THE U.C., THE 8269 08:51:44,001 --> 08:51:45,000 UNANIMOUS CONSENT REQUEST, SO 8270 08:51:45,001 --> 08:51:46,000 THEY CAN START THE PROCESS ALL 8271 08:51:46,001 --> 08:51:47,000 OVER AND HIDE THEIR 8272 08:51:47,001 --> 08:51:48,000 ACCOUNTABILITY. 8273 08:51:48,001 --> 08:51:50,000 BUT IT STRIKES ME THAT THOSE ARE 8274 08:51:50,001 --> 08:51:52,000 REALLY THE ONLY TWO CHOICES THAT 8275 08:51:52,001 --> 08:51:54,000 OUR REPUBLICAN COLLEAGUES HAVE. 8276 08:51:54,001 --> 08:51:57,000 THEY EITHER HAVE TO DIVULGE OR 8277 08:51:57,001 --> 08:52:05,000 THEY HAVE TO ENGAGE IN A GAME OF 8278 08:52:05,001 --> 08:52:07,000 SWITCHSPUR OO CONNIVANCE, TO TRY 8279 08:52:07,001 --> 08:52:09,000 TO DUCK OUT OF THIS RULE, WHICH 8280 08:52:09,001 --> 08:52:12,000 I THINK HAD 92 -- NOT UNANIMOUS 8281 08:52:12,001 --> 08:52:13,000 BUT VERY STRONG BIPARTIN SUPPORT. 8282 08:52:13,001 --> 08:52:14,000 AND I JUST WANTED TO CLEAR THAT 8283 08:52:14,001 --> 08:52:15,000 UNDERSTANDINWITH YOU, SENATOR 8284 08:52:15,001 --> 08:52:20,000 WYDEN, SINCE YOU'RE EXPERT ON 8285 08:52:20,001 --> 08:52:21,000 THIS, THAT THE CLOCK IS RUNNING, 8286 08:52:21,001 --> 08:52:22,000 THAT THEY HAVE SIX DAYS TO COME 8287 08:52:22,001 --> 08:52:24,000 CLEAN ABOUT THIS, AND THAT THE 8288 08:52:24,001 --> 08:52:26,000 ONLY TWO WAYS OUT ARE EITHER TO 8289 08:52:26,001 --> 08:52:29,000 DIVULGE OR CONNIVE 8290 08:52:29,001 --> 08:52:31,000 SENATOR TO ENGAGE IN A LITTLE 8291 08:52:31,001 --> 08:52:32,000 SWITCHEROO. 8292 08:52:32,001 --> 08:52:34,000 MR. 8293 08:52:34,001 --> 08:52:35,000 MIGHT BE A THIRD OPTION, OF 8294 08:52:35,001 --> 08:52:36,000 COURSE, WHICH WOULD BE TO LIF 8295 08:52:36,001 --> 08:52:39,000 THE HOLD. 8296 08:52:39,001 --> 08:52:41,000 BUT THE SENATOR HAS DONE A VERY 8297 08:52:41,001 --> 08:52:43,000 CAREFUL AND THOUGHTFUL ANALYSIS 8298 08:52:43,001 --> 08:52:48,000 OF 8299 08:52:48,001 --> 08:52:49,000 PARTICULARLY THE SITUATION OF 8300 08:52:49,001 --> 08:52:51,000 WHAT SENATOR GRASSLEY AND I CAME 8301 08:52:51,001 --> 08:52:52,000 TO HOLD THE ROTATING, YOU KNOW, 8302 08:52:52,001 --> 08:52:54,000 HOLD, SIMPLY SHIFTING FROM 8303 08:52:54,001 --> 08:52:55,000 PERSON 8304 08:52:55,001 --> 08:52:58,000 DONE OFTEN, YOU KNOW, OVER THE 8305 08:52:58,001 --> 08:53:00,000 YEARS BY DEMOCRATS AND -- AND 8306 08:53:00,001 --> 08:53:01,000 REPUBLICANS, AND I THINK NOW IS 8307 08:53:01,001 --> 08:53:03,000 THE TIME TO GET THIS CHANGED. 8308 08:53:03,001 --> 08:53:06,000 I MEAN, IF YOU LOOK AT THIS IN 8309 08:53:06,001 --> 08:53:07,000 THE HISTORY --ND BY THE WAY, 8310 08:53:07,001 --> 08:53:08,000 YOU'RE ABSOLUTELY CORRECT ON THE 8311 08:53:08,001 --> 08:53:12,000 BIPARTISAN NATURE OF THE RULE CHANGE. 8312 08:53:12,001 --> 08:53:13,000 THE VOTE WAS 84-13. 8313 08:53:13,001 --> 08:53:14,000 THERE WAS OVERWHELMING 8314 08:53:14,001 --> 08:53:15,000 PARTISANUPPORT FOR IT. 8315 08:53:15,001 --> 08:53:18,000 THE LIBRARY OF CONGRESS ACTUALLY 8316 08:53:18,001 --> 08:53:20,000 HAS PUT TOGETHER A VERY 8317 08:53:20,001 --> 08:53:21,000 THOUGHTFUL HISTORICAL ANALYSIS 8318 08:53:21,001 --> 08:53:25,000 FEATURING DISCUSSION OF THINGS 8319 08:53:25,001 --> 08:53:28,000 SUCH AS THE MAY WEST HOLD, WHICH 8320 08:53:28,001 --> 08:53:30,000 CAME TO BE KNOWN AS 8321 08:53:30,001 --> 08:53:32,000 LOOK ME OVER HOLD" WHICH I 8322 08:53:32,001 --> 08:53:34,000 GATHER WASN'T A FULL-FLED 8323 08:53:34,001 --> 08:53:36,000 HOLD BUT IT MIGHT ACTUALLY BLOSSOM INTO ONE. 8324 08:53:36,001 --> 08:53:40,000 SO THE SENATOR IS ABSOL 8325 08:53:40,001 --> 08:53:42,000 RIGHT ABOUT WHAT THEHOICES ARE. 8326 08:53:42,001 --> 08:53:44,000 AND THAT'S WHY IT IS TIME ONCE 8327 08:53:44,001 --> 08:53:45,000 AND FOR ALL TO GET THIS C 8328 08:53:45,001 --> 08:53:46,000 AND I SO APPRECIATE THE SENATOR 8329 08:53:46,001 --> 08:53:49,000 AND ALSO SENATOR McCASKILL 8330 08:53:49,001 --> 08:53:52,000 FROM MISSOURI COMING AND 8331 08:53:52,001 --> 08:53:55,000 HIGHLIGHTING THE FACT THAT THIS 8332 08:53:55,001 --> 08:53:58,000 IS -- THAT THIS HAS, AGAIN, 8333 08:53:58,001 --> 08:53:59,000 GOTTEN OUT OF CONTROL. 8334 08:53:59,001 --> 08:54:00,000 THE HISTORICAL ANALYSIS O 8335 08:54:00,001 --> 08:54:01,000 HAS BEEN THAT THE HOLD WAS 8336 08:54:01,001 --> 08:54:03,000 SOMETHING THAT WOULD BE USED RARELY. 8337 08:54:03,001 --> 08:54:04,000 THE HOLD WAS SOMETHING OF GREAT 8338 08:54:04,001 --> 08:54:06,000 CONSEQUENCE, AND YET NOW IT 8339 08:54:06,001 --> 08:54:11,000 SEEMS THAT WE HAVE THESE SECRET 8340 08:54:11,001 --> 08:54:14,000 HOLDS THAT ARE SIMPLY THROWN OUT 8341 08:54:14,001 --> 08:54:15,000 FOR NOMINATIONS AND PIECES OF 8342 08:54:15,001 --> 08:54:17,000 LEGISLATION BECAUSE SOMEONE HAS 8343 08:54:17,001 --> 08:54:20,000 SOME MODEST INTEREST OR IS 8344 08:54:20,001 --> 08:54:21,000 CARRYING OUT A DIFFERENT AGENDA 8345 08:54:21,001 --> 08:54:22,000 AND I THINK THAT'S WHY THE 8346 08:54:22,001 --> 08:54:24,000 SECRECY IS SO UNFORTUNATE. 8347 08:54:24,001 --> 08:54:26,000 AND I APPRECIATE MY COLLEAGUE. 8348 08:54:26,001 --> 08:54:30,000 MR. WHITEHOUSE: SO TO HAVE 80 8349 08:54:30,001 --> 08:54:33,000 SECRET HOLDS BY ONE 8350 08:54:33,001 --> 08:54:36,000 ONCE PENDING IN THE SENATE IS 8351 08:54:36,001 --> 08:54:39,000 NOT CONSISTENT WITH THE HISTORY 8352 08:54:39,001 --> 08:54:40,000 OF THE USE OF THIS PROCEDURAL 8353 08:54:40,001 --> 08:54:44,000 TACTIC IN THIS BODY? 8354 08:54:44,001 --> 08:54:45,000 IS THAT MY UNDERSTAND -- IS MY 8355 08:54:45,001 --> 08:54:46,000 UNDERSTANDING CORRECT? 8356 08:54:46,001 --> 08:54:49,000 MR. WYDEN: THE SENATOR IS 8357 08:54:49,001 --> 08:54:53,000 ABSOLUTELY RIGHT ABOUT THE FACT 8358 08:54:53,001 --> 08:54:57,000 THAT 80 SECRET HOLDS IS CLEARLY 8359 08:54:57,001 --> 08:54:58,000 NOT WHAT SENATOR GRASSLEY AND I 8360 08:54:58,001 --> 08:54:59,000 AND REFORMERS THOUGHT WOULD 8361 08:54:59,001 --> 08:55:02,000 HAPPEN. 8362 08:55:02,001 --> 08:55:05,000 AND GIVEN ALL THESE SECRET HOLDS 8363 08:55:05,001 --> 08:55:07,000 HOLDS, YOU WOULD THINK THAT THE 8364 08:55:07,001 --> 08:55:11,000 BACK OF THE EXECUTIVE CALENDAR, 8365 08:55:11,001 --> 08:55:15,000 WHICH IS PAGE 19, IT'S ENTITLED 8366 08:55:15,001 --> 08:55:16,000 "NOTICE OF INTENT TO OBJECT TO PROCEEDING." 8367 08:55:16,001 --> 08:55:17,000 GIVEN WHAT THE DISTINGUISHED 8368 08:55:17,001 --> 08:55:19,000 SENATOR FROM RHODE 8369 08:55:19,001 --> 08:55:22,000 POINTED OUT, ONE WOULD THINK 8370 08:55:22,001 --> 08:55:24,000 THAT PAGE 19, "NOTICE OF INTENT 8371 08:55:24,001 --> 08:55:28,000 TO OBJECT TO PROCEEDING," WOULD 8372 08:55:28,001 --> 08:55:31,000 BE FILLED WITH THESE, YOU KNOW, 8373 08:55:31,001 --> 08:55:33,000 NAMES IF THE RULE WAS BEING 8374 08:55:33,001 --> 08:55:37,000 HONORED, AND BOTH YOU ANDRY 8375 08:55:37,001 --> 08:55:38,000 HOLDING UP THESE PAGE 19'S WITH 8376 08:55:38,001 --> 08:55:40,000 NARY A WORD ON THEM. 8377 08:55:40,001 --> 08:55:41,000 MR. WHITEHOUSE: LOOKING AT AN 8378 08:55:41,001 --> 08:55:46,000 EMPTY PAGE. 8379 08:55:46,001 --> 08:55:47,000 SO JUST TO SUMMARIZE, THE CLOCK 8380 08:55:47,001 --> 08:55:50,000 HAS RUN AS A RESULT OF THIS 8381 08:55:50,001 --> 08:55:51,000 SERIES OF UNANIMOUS CONSENTS 8382 08:55:51,001 --> 08:55:53,000 THAT SENATOR McCASKILL AND I 8383 08:55:53,001 --> 08:55:54,000 HAVE PUT FORWARD. 8384 08:55:54,001 --> 08:55:56,000 THE SIX DAYS HAVE BEGUN. 8385 08:55:56,001 --> 08:55:58,000 BY THE END OF THAT, ONE OF THREE 8386 08:55:58,001 --> 08:56:00,000 THINGS, AS YOU'VE CORRECTED ME, 8387 08:56:00,001 --> 08:56:02,000 WILL HAVE HAPPENED: EITHER THE 8388 08:56:02,001 --> 08:56:03,000 HOLD WILL HAVE BEEN LIFTED AND 8389 08:56:03,001 --> 08:56:05,000 THEN WE CAN MOVE TO UNANIMOUS 8390 08:56:05,001 --> 08:56:06,000 CONSENT AND CLEAR THESE 8391 08:56:06,001 --> 08:56:08,000 INDIVIDUALS WHO THE PRESIDENT 8392 08:56:08,001 --> 08:56:11,000 HAS NOMINATED AND GET THEM TO 8393 08:56:11,001 --> 08:56:13,000 WORK FOR THE AMERICAN PEOPLE, 8394 08:56:13,001 --> 08:56:15,000 OR; TWO, THE SENATOR WHO HAS THE 8395 08:56:15,001 --> 08:56:17,000 SECRET HOLD WILL HAVE TO 8396 08:56:17,001 --> 08:56:19,000 ACKNOWLEDGE PUBLICLY AND BECOME 8397 08:56:19,001 --> 08:56:21,000 TRANSPARENT AND CLEAR AND CANDID 8398 08:56:21,001 --> 08:56:26,000 WITH THE REST OF THE BODY ABOUT 8399 08:56:26,001 --> 08:56:31,000 WHO THEY'RE HOLDING AND WHY, OR 8400 08:56:31,001 --> 08:56:36,000 THEY CAN ENGAGE IN THIS RATHER 8401 08:56:36,001 --> 08:56:38,000 OBSCURE, SHALL WE SAY, GAME OF 8402 08:56:38,001 --> 08:56:39,000 ROTATING HOLDS, WHAT I CALLED 8403 08:56:39,001 --> 08:56:41,000 SWITCHEROO, DUCKING OUT BEFORE 8404 08:56:41,001 --> 08:56:43,000 THE TIME RUNS AND GETNG 8405 08:56:43,001 --> 08:56:45,000 SOMEBODY ELSE TO ACTUALLY HAVE 8406 08:56:45,001 --> 08:56:47,000 YOUR HOLD FOR YOU, BUT GET A 8407 08:56:47,001 --> 08:56:50,000 PROXY IN. 8408 08:56:50,001 --> 08:56:54,000 GIVEN THAT THIS WAS A RULE THAT 8409 08:56:54,001 --> 08:56:57,000 WAS ADOPTED WITH VERY, VERY 8410 08:56:57,001 --> 08:56:58,000 STRONG VOTE, VERY STRONG 8411 08:56:58,001 --> 08:57:03,000 BIPARTISAN VOTE AND THAT IT IS 8412 08:57:03,001 --> 08:57:04,000 NOW A RULE OF THE SENATE, WHAT 8413 08:57:04,001 --> 08:57:09,000 COMMENT WOULD THE SENATOR HAVE 8414 08:57:09,001 --> 08:57:13,000 ON THAT THIRD TACTIC IN TERMS OF 8415 08:57:13,001 --> 08:57:14,000 ITS MERIT AND APPROPRIATENESS IF 8416 08:57:14,001 --> 08:57:17,000 WE FIND THAT THAT'S BEING USED 8417 08:57:17,001 --> 08:57:19,000 AT THE END OF THE SIX DAYS AND 8418 08:57:19,001 --> 08:57:22,000 DOES THAT -- WOULD THAT SPUR THE 8419 08:57:22,001 --> 08:57:25,000 NEED FOR REFORM OF THIS RULE? 8420 08:57:25,001 --> 08:57:27,000 MR. WYDEN: IT SURELY WOULD, AND 8421 08:57:27,001 --> 08:57:28,000 I AM GRATEFUL TO THE SENATOR 8422 08:57:28,001 --> 08:57:29,000 FROM RHODE ISLAND FOR 8423 08:57:29,001 --> 08:57:30,000 PROSECUTING THE REFORM CASE. 8424 08:57:30,001 --> 08:57:32,000 I'VE TALKED WITH SENATOR 8425 08:57:32,001 --> 08:57:34,000 GRASSLEY ABOUT IT AND WITH 8426 08:57:34,001 --> 08:57:36,000 SENATOR McCASKILL AND YOU, AND 8427 08:57:36,001 --> 08:57:37,000 I THINK THIS IS THE TIME. 8428 08:57:37,001 --> 08:57:39,000 THERE ARE TWO POINTS WITH 8429 08:57:39,001 --> 08:57:41,000 RESPECT TO THE SECRET HOLD. 8430 08:57:41,001 --> 08:57:42,000 ONE AS IT RELATES TO THE 8431 08:57:42,001 --> 08:57:45,000 INSTITUTION, ONE AS IT RELATES 8432 08:57:45,001 --> 08:57:46,000 TO AN INDIVIDUAL SENATOR. 8433 08:57:46,001 --> 08:57:48,000 WITH RESPECT TO THE INSTITUTION 8434 08:57:48,001 --> 08:57:50,000 AND THIS EXAMPLE YOU'VE GIVEN OF 8435 08:57:50,001 --> 08:57:51,000 SCORES OF THESE SECRET HOLDS, I 8436 08:57:51,001 --> 08:57:55,000 THINK THIS SERVES TO UNDERMINE 8437 08:57:55,001 --> 08:57:57,000 THE CREDIBILITY OF 8438 08:57:57,001 --> 08:57:59,000 INSTITUTION AT A CRUCIAL TIME IN AMERICAN HISTORY. 8439 08:57:59,001 --> 08:58:01,000 IT IS NO SECRET THAT AMERICANS 8440 08:58:01,001 --> 08:58:02,000 ARE DIVIDED ON A HOST OF ISSUES. 8441 08:58:02,001 --> 08:58:06,000 WELL, IF THE UNITED STATES 8442 08:58:06,001 --> 08:58:08,000 SENATE INSISTS ON DOING SO MUCH 8443 08:58:08,001 --> 08:58:10,000 IMPORTANT BUSINESS IN SECRET, 8444 08:58:10,001 --> 08:58:11,000 WHICH IS WHAT HAPPENS IF YOU 8445 08:58:11,001 --> 08:58:13,000 HONOR THESE SECRET HOLDS, I 8446 08:58:13,001 --> 08:58:14,000 THINK THAT JUST UNDERMINES THE 8447 08:58:14,001 --> 08:58:16,000 INSTITUTION. 8448 08:58:16,001 --> 08:58:18,000 SO I THINK FIRST AND FOREMOST, 8449 08:58:18,001 --> 08:58:20,000 YOU'RE ABSOLUTELY RIGHT TO ZERO 8450 08:58:20,001 --> 08:58:21,000 IN RIGHT NOW WHERE WE HAVE ALL 8451 08:58:21,001 --> 08:58:22,000 THESE SECRET HOLDS. 8452 08:58:22,001 --> 08:58:25,000 SECO, WITH RESPECT TO AN 8453 08:58:25,001 --> 08:58:26,000 INDIVIDUAL SENATOR, WHAT SEEMS 8454 08:58:26,001 --> 08:58:27,000 PARTICULARLY IMPORTANT, THE 8455 08:58:27,001 --> 08:58:29,000 SENATOR AND I SHARE AN INTEREST 8456 08:58:29,001 --> 08:58:30,000 IN HEALTH CAREND A VARIETY OF 8457 08:58:30,001 --> 08:58:32,000 ECONOMIC ISSUES. 8458 08:58:32,001 --> 08:58:34,000 SUPPOSING AN INDIVIDUAL SENATOR 8459 08:58:34,001 --> 08:58:36,000 WORKS FOR YEARS AND YEARS TO TRY 8460 08:58:36,001 --> 08:58:39,000 TO BUILD A BIPARTISAN COALITION 8461 08:58:39,001 --> 08:58:42,000 ON AN ISSUE A THEN IS DONE IN 8462 08:58:42,001 --> 08:58:45,000 BY AN UNKNOWN OR SECRET 8463 08:58:45,001 --> 08:58:46,000 OPPONENT, AN UNKNOWN, UNSEEN 8464 08:58:46,001 --> 08:58:49,000 OPPONENT WHO HAS BEEN ABLE, IN 8465 08:58:49,001 --> 08:58:52,000 EFFECT, TO BLOCK ALL THAT WORK, 8466 08:58:52,001 --> 08:58:54,000 BIPARTISAN WORK, IN SECRET? 8467 08:58:54,001 --> 08:58:57,000 SO I WANT THE SENATOR TO KNOW 8468 08:58:57,001 --> 08:58:58,000 THAT I AM FOURSQUARE BEHIND HIS 8469 08:58:58,001 --> 08:58:59,000 EFFORTS TO GET THIS CHANGED. 8470 08:58:59,001 --> 08:59:00,000 SENATOR GRASSLEY AND I HAVE BEEN 8471 08:59:00,001 --> 08:59:01,000 TALKING ABOUT IT. 8472 08:59:01,001 --> 08:59:03,000 I THINK THERE'S AN OPPORTUNITY 8473 08:59:03,001 --> 08:59:05,000 TO MAKE THIS BIPARTISAN. 8474 08:59:05,001 --> 08:59:06,000 I WILL ALSO SAY, IN CLOSING -- 8475 08:59:06,001 --> 08:59:07,000 AND YOU'VE BEEN KIND TO GIVE ME 8476 08:59:07,001 --> 08:59:10,000 L THIS TIME -- I DON'T THINK 8477 08:59:10,001 --> 08:59:12,000 THE SECRET HOLD PASSES THE S 8478 08:59:12,001 --> 08:59:13,000 TEST OF OPENNESS IN AMERICAN 8479 08:59:13,001 --> 08:59:14,000 GOVERNMENT. 8480 08:59:14,001 --> 08:59:15,000 IT'S TIME TO CHANGE IT. 8481 08:59:15,001 --> 08:59:17,000 I LOOK FORWARD WORKING WITH MY 8482 08:59:17,001 --> 08:59:20,000 COLLEAGUE TO FINALLY, AFTER ALL 8483 08:59:20,001 --> 08:59:22,000 OF THESE YEARS, TO GET THIS DONE 8484 08:59:22,001 --> 08:59:24,000 AND SEND THE SECRET HOLD OFF 8485 08:59:24,001 --> 08:59:26,000 INTO THE DUST BIN OF HISTORY. 8486 08:59:26,001 --> 08:59:29,000 MR. WHITEHOUSE: WELL, THE 8487 08:59:29,001 --> 08:59:30,000 SENATORSENATOR FROM OREGON'S LEGACY ON 8488 08:59:30,001 --> 08:59:34,000 THIS OF TEN YEARS OF WORK IS 8489 08:59:34,001 --> 08:59:35,000 VERY, VERY IMPRESSIVE TO THIS 8490 08:59:35,001 --> 08:59:36,000 NEWER SENATOR AND I APPRECIATE 8491 08:59:36,001 --> 08:59:39,000 SO MUCH WHAT HE AND SENATOR 8492 08:59:39,001 --> 08:59:40,000 GRASSLEY HAVE DONE OVER THE 8493 08:59:40,001 --> 08:59:43,000 YEARS TO BEGIN TO PUT AN TONED 8494 08:59:43,001 --> 08:59:44,000 THIS PRACTICE -- PUT AN END TO 8495 08:59:44,001 --> 08:59:45,000 THIS PRACTICE. 8496 08:59:45,001 --> 08:59:48,000 I THINK THE STRAW THAT BROKE THE 8497 08:59:48,001 --> 08:59:51,000 CAMEL'S BACK, OR MAYBE THE 80 8498 08:59:51,001 --> 08:59:52,000 STRAWS THAT BROKE THE CAMEL'S 8499 08:59:52,001 --> 08:59:54,000 BACK, WAS THE ABSOLUTE AVALANCHE 8500 08:59:54,001 --> 08:59:56,000 OF SECRET HOLDS THAT HAS 8501 08:59:56,001 --> 08:59:59,000 CONFRONTED OUR NEW PRESIDENT 8502 08:59:59,001 --> 09:00:00,000 FROM THIS REPUBLICAN MINORITY. 8503 09:00:00,001 --> 09:00:02,000 AND IT HAS COME TO THE POINT 8504 09:00:02,001 --> 09:00:03,000 WHERE THE PRESIDENT I THINK 8505 09:00:03,001 --> 09:00:06,000 FAIRLY BELIEVES THAT HIS ABILITY 8506 09:00:06,001 --> 09:00:09,000 TO STAFF HIS OWN ADMINISTRATION 8507 09:00:09,001 --> 09:00:13,000 IS BEING COMPROMISED BY PEOPLE 8508 09:00:13,001 --> 09:00:14,000 WHO WON'T STAND UP AND BE 8509 09:00:14,001 --> 09:00:17,000 COUNTED AND BE ACCOUNTABLE FOR 8510 09:00:17,001 --> 09:00:19,000 THE REASON FOR THEIR OPPOSITION. 8511 09:00:19,001 --> 09:00:21,000 IT'S BEING DONE IN THE DARK, 8512 09:00:21,001 --> 09:00:25,000 SECRETLY AND WITHOUT ANY 8513 09:00:25,001 --> 09:00:26,000 ACCOUNTABILITY.? 8514 09:00:26,001 --> 09:00:27,000 AND I AGREE THAT NEEDS TO BE PUT 8515 09:00:27,001 --> 09:00:29,000 TO AN END. 8516 09:00:29,001 --> 09:00:31,000 SO I URGE PEOPLE WHO ARE 8517 09:00:31,001 --> 09:00:33,000 WATCHING THIS THE SIXTH DAY HAS 8518 09:00:33,001 --> 09:00:36,000 BEGUN -- SIX DAYS OF SESSION. 8519 09:00:36,001 --> 09:00:38,000 AT THE END, WE WILL KNOW. 8520 09:00:38,001 --> 09:00:40,000 WE WILL KNOW WHO IS DOING THIS 8521 09:00:40,001 --> 09:00:43,000 OR WE WILL BE ABLE TO CLEAR 8522 09:00:43,001 --> 09:00:44,000 THESE NOMINEES, AND WE WILL HAVE 8523 09:00:44,001 --> 09:00:46,000 BROKEN THIS UNFORTUNATE PRACTICE 8524 09:00:46,001 --> 09:00:48,000 TO A SIGNIFICANT DEGREE, OR WE 8525 09:00:48,001 --> 09:00:49,000 WILL HAVE LEARNED SOMETHING, I 8526 09:00:49,001 --> 09:00:52,000 THINK, VERY UNFORTUNATE ABOUT 8527 09:00:52,001 --> 09:00:53,000 OUR FRIENDS ON THE OTHER SIDE; 8528 09:00:53,001 --> 09:00:55,000 AND THAT IS THAT THEY HAVE 8529 09:00:55,001 --> 09:00:59,000 AGREED TO CONNIVE WITH ONE 8530 09:00:59,001 --> 09:01:01,000 ANOTHER TO PLAY A SWITCHAROO AND 8531 09:01:01,001 --> 09:01:03,000 BRING IN A NEW SENATOR TO DODGE 8532 09:01:03,001 --> 09:01:04,000 THE CLEAR, CLEAR IMPORT OF THE 8533 09:01:04,001 --> 09:01:06,000 RULE THAT YOU AND SENATOR 8534 09:01:06,001 --> 09:01:10,000 GRASSLEY WORKED ON ON A 8535 09:01:10,001 --> 09:01:11,000 BIPARTISAN BASIS TO PUT INTO 8536 09:01:11,001 --> 09:01:13,000 EFFECT IN THIS BODY AND WHICH 8537 09:01:13,001 --> 09:01:14,000 WAS APPROVED BY AN ENORMOUS 8538 09:01:14,001 --> 09:01:16,000 MAJORITY IN THIS BODY. 8539 09:01:16,001 --> 09:01:18,000 SO THE CLOCK IS RUNNING, AND WE WILL SEE. 8540 09:01:18,001 --> 09:01:20,000 WE WILL LEARN A LOT ABOUT THIS 8541 09:01:20,001 --> 09:01:21,000 INSTITUTION AND OUR COLLEAGUES 8542 09:01:21,001 --> 09:01:23,000 IN SIX DAYS. 8543 09:01:23,001 --> 09:01:24,000 AND I THANK THE SENATOR FOR HIS 8544 09:01:24,001 --> 09:01:25,000 INTENSE LEADERSHIP ON THIS 8545 09:01:25,001 --> 09:01:36,000 ISSUE. 8546 09:01:36,001 --> 09:01:37,000 I 8547 09:01:37,001 --> 09:01:42,000 I SUGGEST THE ABSENCE OF A 8548 09:01:42,001 --> 09:05:25,000 QUORUM. 8549 09:05:25,001 --> 09:05:26,000 QUORUM CALL: 8550 09:05:26,001 --> 09:05:27,000 MR. WHITEHOUSE: MR. PREDENT? 8551 09:05:27,001 --> 09:05:28,000 THE PRESIDING OFFICER: THE SENATOR FROM RHODE ISLAND. 8552 09:05:28,001 --> 09:05:31,000 MR. WHITEHOUSE: MAY I ASK THAT 8553 09:05:31,001 --> 09:05:32,000 THE PENDING QUORUM CALL BE LIFTED. THE PRESIDING OFFICER: WITHOUT 8554 09:05:32,001 --> 09:05:33,000 OBJECTION. 8555 09:05:33,001 --> 09:05:34,000 MR. WHITEHOUSE: MR. PRESIDENT, 8556 09:05:34,001 --> 09:05:35,000 I ASK UNANIMOUS CONSENT THAT THE SENATE BROAD TO A PERIOD OF 8557 09:05:35,001 --> 09:05:37,000 MORNING BUSINESS WITH SENATORS 8558 09:05:37,001 --> 09:05:38,000 PERMITTED TO SPEAK FOR UP TO 10 8559 09:05:38,001 --> 09:05:39,000 MINUTES EACH. 8560 09:05:39,001 --> 09:05:40,000 THE PRESIDING OFFICER: WITHOUT 8561 09:05:40,001 --> 09:05:42,000 OBJECTION. 8562 09:05:42,001 --> 09:05:43,000 MR. WHITEHOUSE: MR. PRESIDENT, 8563 09:05:43,001 --> 09:05:44,000 I ASK UNANIMOUS CONSENT THAT THE 8564 09:05:44,001 --> 09:05:47,000 JUDICIARY COMMITTEE BE 8565 09:05:47,001 --> 09:05:49,000 DISCHARGED FROM FURTHER 8566 09:05:49,001 --> 09:05:51,000 CONSIDERATION OF H. CON. RES. 8567 09:05:51,001 --> 09:05:52,000 222 AND THE SENATE PROCEED TO 8568 09:05:52,001 --> 09:05:53,000 ITS IMMEDIATE CONSIDERATION. 8569 09:05:53,001 --> 09:05:56,000 THE PRESIDIN 8570 09:05:56,001 --> 09:05:58,000 CL 8571 09:05:58,001 --> 09:06:00,000 THE CLERK: H. CON. RES. 222, 8572 09:06:00,001 --> 09:06:02,000 RECOGNIZE BEING THE LEADERSHIP 8573 09:06:02,001 --> 09:06:04,000 AND HISTORICAL CONTRIBUTIONS OF 8574 09:06:04,001 --> 09:06:05,000 DR. HECTOR GARCIA TO THE 8575 09:06:05,001 --> 09:06:07,000 HISPANIC COMMUNITY AND HIS 8576 09:06:07,001 --> 09:06:09,000 REMARKABLE EFFORTS TO COMBAT 8577 09:06:09,001 --> 09:06:11,000 RACIAL AND ETHNIC DISCRIMINATION 8578 09:06:11,001 --> 09:06:12,000 IN THE UNITED STATES OF AMERICA. 8579 09:06:12,001 --> 09:06:14,000 THE PRESIDING OFFICER: WITHOUT 8580 09:06:14,001 --> 09:06:17,000 OBJECTION, THE COMMITTEE IS 8581 09:06:17,001 --> 09:06:18,000 DISCHARGED AND THE SENATE WILL 8582 09:06:18,001 --> 09:06:19,000 PROCEED TO CONSIDERATION OF THE 8583 09:06:19,001 --> 09:06:20,000 MEASURE. 8584 09:06:20,001 --> 09:06:22,000 MR. WHITEHOUSE: MR. PRESIDENT, 8585 09:06:22,001 --> 09:06:24,000 I ASK UNANIMOUS CONSENT THAT THE 8586 09:06:24,001 --> 09:06:27,000 CONCURRENT RESOLUTION BE AGREED 8587 09:06:27,001 --> 09:06:28,000 TO, THE PREAMBLE BE AGREED TO, THE MOTIONS TO RECONSIDER BE 8588 09:06:28,001 --> 09:06:29,000 LAID ON THE TABLE WITH NO 8589 09:06:29,001 --> 09:06:30,000 INTERVENING ACTION OR DEBATE, 8590 09:06:30,001 --> 09:06:31,000 AND ANY STATEMENTS RELATED TO 8591 09:06:31,001 --> 09:06:33,000 THE MEASURE BE PLACED IN THE 8592 09:06:33,001 --> 09:06:34,000 RECORD AT THE APPROPRIATE PLACE 8593 09:06:34,001 --> 09:06:35,000 AS IF READ. 8594 09:06:35,001 --> 09:06:37,000 THE PRESIDING OFFICER: WITHOUT 8595 09:06:37,001 --> 09:06:38,000 OBJECTION. 8596 09:06:38,001 --> 09:06:40,000 MR. WHITEHOUSE: MR. PRESIDENT, 8597 09:06:40,001 --> 09:06:41,000 I ASK UNANIMOUS CONSENT THA THE 8598 09:06:41,001 --> 09:06:43,000 FOREIGN RELATIONS COMMITTEE BE 8599 09:06:43,001 --> 09:06:45,000 DISCHARGED FROM FURTHER 8600 09:06:45,001 --> 09:06:48,000 CONSIDERATION AND THE SENATE NOW 8601 09:06:48,001 --> 09:06:49,000 PROCEED TO S. RES. 483. 8602 09:06:49,001 --> 09:06:50,000 THE PRESIDING OFF 8603 09:06:50,001 --> 09:06:53,000 OBJECTION, THE CLERK WILL REPORT. 8604 09:06:53,001 --> 09:06:54,000 THE CLERK: S. RES. 483, 8605 09:06:54,001 --> 09:06:56,000 CONGRATULATING THE REPUBLIC OF 8606 09:06:56,001 --> 09:06:58,000 SERBIA'S APPLICATION FOR 8607 09:06:58,001 --> 09:06:59,000 EUROPEAN UNION MEMBERSHIP AND 8608 09:06:59,001 --> 09:07:01,000 RECOGNIZING SERBIA'S ACTIVE 8609 09:07:01,001 --> 09:07:03,000 EFFORTS TO INTEGRATE INTO EUROPE 8610 09:07:03,001 --> 09:07:05,000 AND THE GLOBAL COMMUNITY. 8611 09:07:05,001 --> 09:07:07,000 OBJECTION, THE COMMITTEE IS DISCHARGED. 8612 09:07:07,001 --> 09:07:08,000 THE SENATE WILL FR 8613 09:07:08,001 --> 09:07:09,000 MR. WHITEHOUSE: MR. PRESIDENT, 8614 09:07:09,001 --> 09:07:10,000 I ASK UNANIMOUS CONSENT THAT THE 8615 09:07:10,001 --> 09:07:12,000 RESOLUTION BE AGREED TO, THE 8616 09:07:12,001 --> 09:07:13,000 PREAMBLE BE AGREED 8617 09:07:13,001 --> 09:07:14,000 MOTION TO RECONSIDER 8618 09:07:14,001 --> 09:07:15,000 THE TABLE. 8619 09:07:15,001 --> 09:07:16,000 THE PRESIDING OFFICE WITHOUT 8620 09:07:16,001 --> 09:07:17,000 OBJECTION. 8621 09:07:17,001 --> 09:07:18,000 MR. WHITEHOUSE: MR. PRESIDENT, I ASK UNANIMOUS CONSENT THAT THE 8622 09:07:18,001 --> 09:07:20,000 APPOINTMENT AT THE DESK APPEAR 8623 09:07:20,001 --> 09:07:21,000 SEPARATELY IN THE RECORD AS IF MADE BY THE CHAIR. 8624 09:07:21,001 --> 09:07:32,000 THE PRESIDING OFFICER: WITHOUT 8625 09:07:32,001 --> 09:07:33,000 OBJECTION. 8626 09:07:33,001 --> 09:07:34,000 THE CHAIR SUBMITS TO THE SENATE 8627 09:07:34,001 --> 09:07:36,000 FOR PRINTING IN THE SENATE 8628 09:07:36,001 --> 09:07:42,000 JOURNAL AND THE "CONGRESSIONAL 8629 09:07:42,001 --> 09:07:45,000 RECORD" THE APPLICATION 8630 09:07:45,001 --> 09:07:49,000 ERRATA TO THE ANSWER OF JUDGE 8631 09:07:49,001 --> 09:07:51,000 THOMAS POR PORTEOUS JR. TO THE 8632 09:07:51,001 --> 09:07:53,000 ARTICLES OF IMPEACHMENT AGAINST 8633 09:07:53,001 --> 09:07:56,000 JUDGE PORTEOUS PURSUANT TO S. 8634 09:07:56,001 --> 09:07:58,000 RESOLUTION 4511 WITH APPLICATION 8635 09:07:58,001 --> 09:08:05,000 WAS RECEIVED BY THE SECRETARY OF 8636 09:08:05,001 --> 09:08:07,000 THE SENATE ON APRIL 21, 2010. 8637 09:08:07,001 --> 09:08:08,000 MR. WHITEHOUSE: MR. PRESIDENT, 8638 09:08:08,001 --> 09:08:10,000 I ASK UNANIMOUS CONSENT THAT 8639 09:08:10,001 --> 09:08:13,000 WHEN THE SENATE COMPLETES ITS 8640 09:08:13,001 --> 09:08:19,000 BUSINESS TODAY, IT ADJOURN UNTIL 8641 09:08:19,001 --> 09:08:21,000 9:30 A.M. THURSDAY, APRIL 22, PLEDGE, THE JOURNAL OF 8642 09:08:21,001 --> 09:08:22,000 PROCEEDINGS BE APPROVED TO DATE, 8643 09:08:22,001 --> 09:08:24,000 THE MORNING HOUR BE DEEMED 8644 09:08:24,001 --> 09:08:25,000 EXPIRED, THE TIME FOR THE TWO 8645 09:08:25,001 --> 09:08:28,000 LEADERS BE RESERVED FOR THEIR 8646 09:08:28,001 --> 09:08:32,000 USE LATER IN THE DAY, AND THERE 8647 09:08:32,001 --> 09:08:34,000 PERIOD OF MORNING BUSINESS 8648 09:08:34,001 --> 09:08:35,000 FOR ONE HOUR WITH SENATORS 8649 09:08:35,001 --> 09:08:36,000 ALLOWED TO SPEAK UP TO 10 8650 09:08:36,001 --> 09:08:37,000 MINUTES EACH, WITH REPUBLICANS 8651 09:08:37,001 --> 09:08:38,000 CHROMING THE FIRST 30 8652 09:08:38,001 --> 09:08:39,000 MINUTESAGED THE MAJORITY 8653 09:08:39,001 --> 09:08:40,000 CONTROLLING THE FINAL 30 8654 09:08:40,001 --> 09:08:42,000 MINUTES, THAT FOLLOWING MORNING 8655 09:08:42,001 --> 09:08:43,000 BUSINESS, THE SENATE PROCEED TO 8656 09:08:43,001 --> 09:08:46,000 EXECUTIVE SESSION TO CONSIDER 8657 09:08:46,001 --> 09:08:48,000 THE NOMINATION OF DENNY CHIN TO 8658 09:08:48,001 --> 09:08:49,000 BE UNITED STATES CIRCUIT JUDGE 8659 09:08:49,001 --> 09:08:51,000 FOR THE SECOND CIRCUIT AS 8660 09:08:51,001 --> 09:08:52,000 PROVIDED FOR UNDER THE PREVIOUS 8661 09:08:52,001 --> 09:08:53,000 OR 8662 09:08:53,001 --> 09:08:54,000 THE PRESIDING OFFICER: WITHOUT 8663 09:08:54,001 --> 09:08:55,000 OBJECTION. 8664 09:08:55,001 --> 09:08:58,000 MR. WHITEHOUSE: MR.RESIDENT, 8665 09:08:58,001 --> 09:09:00,000 THERE WILL BE UP TO ONE HOUR FOR 8666 09:09:00,001 --> 09:09:02,000 DEBATE PRIOR TO A VOTEN 8667 09:09:02,001 --> 09:09:03,000 CONFIRMATION OF THE CHIN 8668 09:09:03,001 --> 09:09:04,000 NOMINATION. 8669 09:09:04,001 --> 09:09:06,000 SENATORS WILL BE NOTIFIED WHEN 8670 09:09:06,001 --> 09:09:07,000 THE ROTE IS SCHEDULED. IF NESS NO FURTHER BUSINESS TO 8671 09:09:07,001 --> 09:09:08,000 COME BEFORE THE SENATE, I ASK 8672 09:09:08,001 --> 09:09:10,000 THAT IT ADJOURN UNDER THE 8673 09:09:10,001 --> 09:09:11,000 PREVIOUS ORDER. 8674 09:09:11,001 --> 09:09:13,000 THE PRESIDING OFFICER: THE 8675 09:09:13,001 --> 09:09:18,000 SENATE WILL STAND ADJURED UNTIL