Spencer Bachus

Mr. BACHUS

Mr. BACHUS. I yield myself such time as I may consume. Mr. Speaker, I rise to address H.R. 3421. Credit scores and the evolution of a robust credit reporting system have done much to improve access to credit for millions of Americans, and they are an integral component of our economy. Information found in credit reports and captured by credit scores is used in today's economy for much more than for just making credit decisions. A well-functioning national credit reporting system helps those deciding whether to extend credit to properly manage the associated risk, which in turn helps keep the cost of credit lower for those who wish to borrow. Anything that undermines the reliability or integrity of a consumer credit report is likely to result in less credit being available to average Americans. The question before us today is whether Congress should micromanage the credit reporting system and restrict the ability of businesses and creditors to review information about the credit history of a customer. When evaluating H.R. 3421, it is important to remember that the right to credit is not a right guaranteed by the government. It is made available by lenders, and I think lenders have a right to all the information about the borrower in making those decisions. Government micromanagement of a consumer credit file could misallocate credit and distort lending practices--two serious causes of the economic crisis we are still struggling to escape. Congresswoman Kilroy mentioned certain situations, and I certainly sympathize with those situations. There may be other situations, though, that we could imagine in which that information would indicate something else. It may indicate an inability to pay on a loan that someone was getting. As we consider proposals such as the one the gentlewoman brings to us in dealing with the use of credit reports, we must consider that, in certain cases, unintended consequences may result from a less than complete picture of a prospective borrower, and it may result in losses by the lender. This is something we can't just totally block out. Mr. Speaker, I reserve the balance of my time.

Mr. BACHUS. Mr. Speaker, the gentlewoman talked about certain situations. Let me say that I am sympathetic to the purpose of this bill. You will see there are three Republican cosponsors on the bill. What I'm saying and what, I think, the American people are beginning to say pretty loudly is that they are uncomfortable with the government's making these decisions as to what will be disclosed and what will be withheld. I think the American people are sympathetic. I don't know of a family in America who has not faced a medical emergency or who has not faced a relative or a family member who has had a large medical bill. So it sounds like something that would benefit people who have gone through medical crises. With each example of that, you could select another example of someone, let's say, who had had elective surgery or a type of plastic surgery who then had just not paid his bills for a few years. That might be an example to which we would all say, well, that wasn't intended, and that information would not be shared with lenders or with a landlord or whomever. As I say, I think that this is something Congress can decide, and you obviously have some bipartisan support for this bill.

Mr. BACHUS. I yield back the balance of my time.

Mr. BACHUS. Mr. Speaker, I object to the vote on the ground that a quorum is not present and make the point of order that a quorum is not present.

Mr. BACHUS

Mr. BACHUS. Let me say this to both gentlemen offering this legislation: As the father of a marine, I want to commend you for doing this. These young men and women are our true heroes of today, and their families face many hardships, many challenges, and this ought to be a priority. It's something that everyone in this body should embrace, and I'd like to commend you for standing up for our men and women in uniform and their families. Thank you very much.

Mr. BACHUS

Mr. BACHUS. Madam Speaker, I yield 2 minutes to the gentleman from Hawaii (Mr. Djou).

Mr. BACHUS. Madam Speaker, I yield myself such time as I may consume. I rise in support of S. 1055, sponsored by Senator Boxer and recently passed by the Senate. At this time I want to say to Congressman Carson that I have many fond memories of his grandmother. Julia Carson and I served as cochairmen of the Zoo and Aquarium Caucus. She was a real lady, and I know she is very proud that you have taken her place representing the good citizens of Indianapolis. I would just like to acknowledge what a fine lady she was, and that's a heritage you can be proud of. This legislation, as Congressman Carson said, would award a Congressional Gold Medal collectively to the United States Army's 100th Infantry Battalion and the 442nd Regimental Combat Team in recognition of their exemplary service during World War II. This bill makes minor additions to its House companion bill that Mr. Carson mentioned by adding language in the findings and the existing Sense of Congress section that points out the contributions made by the Military Intelligence Service, which was made up of 6,000 Japanese American soldiers. The House bill was cosponsored by 296 Members and agreed to by this Chamber in May of last year. I urge my colleagues to again support this legislation. As we all know, the world changed instantly after the dreadful attack on Pearl Harbor on December 7, 1941. I think for the first time, on 9/ 11, many Americans could get some sense of what it must have been like to have lived during those times. And though its impact was felt by every American, Japanese Americans were hit particularly hard. Six weeks after the attack, the U.S. Army discharged all Japanese Americans in the Reserve Officers Training Corps and changed their draft status to ``enemy alien.'' Active military Japanese Americans were segregated out of their units. We all know what happened afterwards. The U.S. and Canadian Governments gathered Japanese Americans in all the Western States and moved them to internment camps. In June of 1942, the 1,400 members of the Hawaii Provisional Infantry Battalion were shipped from the Islands to Oakland and formed into the 100th Infantry Battalion, and then they were shipped to Wisconsin by train for training. Eight months later, based on the battalion's excellent training record, the President and War Department agreed to let second-generation Japanese Americans into the service, and they were formed into the 442nd Regimental. Madam Speaker, the 100th Infantry Battalion was deployed the next year to the Italian front in September 1943, and while it encountered heavy fighting, it handled itself so well that its members earned six Distinguished Service Crosses in their first 2 months of action. The 442nd arrived in Italy 9 months later, after which the two units joined forces, fighting with distinction in Italy, France, and Germany to the war's conclusion. Together, they received seven Presidential Unit Citations, 21 Medals of Honor, 29 Distinguished Service Crosses, 560 Silver Stars with 28 Oak Leaf Clusters, 4,000 Bronze Stars with 1,200 Oak Leaf Clusters, and more than 9,000 Purple Hearts. This bill recognizes their service and appropriately provides for the collective awarding of a Congressional Gold Medal. It would be given to the Smithsonian Institution for display and for research purposes. Madam Speaker, this award is long overdue. I urge its immediate passage. I yield back the balance of my time.

Mr. BACHUS. Madam Speaker, I ask unanimous consent to reclaim my time.

Mr. BACHUS. Madam Speaker, I yield the gentleman such additional time as he may consume.

Mr. BACHUS. Madam Speaker, I will make the offer that if additional time is needed on the majority side, I would be willing to yield time to Mr. McDermott or to others. I reserve the balance of my time.

Mr. BACHUS. I yield to the gentleman such time as he may consume.

Mr. BACHUS. Madam Speaker, I yield 9 minutes to the gentleman from Rhode Island (Mr. Kennedy).

Mr. BACHUS

Mr. BACHUS. Madam Speaker, I yield myself such time as I may consume. Madam Speaker, I rise in support of S. 3717. At the risk of some political damage, I associate myself with the remarks of Chairman Frank.

Mr. BACHUS. I yield to the gentleman.

Mr. BACHUS. I thank the chairman. This amendment repeals section 929I of the Dodd-Frank bill that grants the Securities and Exchange Commission a broad exemption for disclosure under the Freedom of Information Act. A hearing that the Financial Services Committee held on this provision last week yielded a bipartisan agreement that the section needed to be tailored more narrowly. And this was consistent with what Chairman Ed Towns and Ranking Member Darrell Issa had determined in the Oversight and Government Reform Committee. I want to commend Chairman Towns and Ranking Member Darrell Issa for their leadership on this matter and for their draftsmanship on amendments which we think are actually more proper than the Senate amendment. But as Chairman Frank said, the Senate amendment is an improvement over the existing provision. I think it merits bipartisan support. Additionally, I want to thank SEC Chairman Mary Schapiro, who expressed her willingness early on to work with the committee in a spirit of cooperation to address the concerns that we had raised about the section. Madam Speaker, the Dodd-Frank Act confers significant new supervisory, rulemaking, and investigative powers on the SEC. Combining these broad powers with the existing powers, and then with the provision that appears to insulate the SEC, or could be interpreted as insulating the SEC, from public scrutiny has caused an understandable alarm and angst among Members on both sides of the aisle. Congress must support a legislative fix; but as Chairman Frank said, they must support one that not only ensures proper accountability at the SEC, but also doesn't undermine the agency's ability to effectively exercise supervision over the thousands of companies that it's responsible for overseeing in a post-Dodd-Frank world. Now, someone might ask, well, why wouldn't they disclose all information? To give you an example a little closer to home, the IRS requires us to file documentation every year, our income tax returns, and they have a proper motive behind that. But, obviously, I think most of us would agree that the general public does not have a right to that information in a carte blanche way. That's also true of our health records. We place great value on the confidentiality and our privilege that our health records won't be disclosed. And we have faced those matters before in this House. And that's true of companies that have confidential, proprietary, or sensitive information, that they have some assurance that that information will not be shared. Because the purpose of the SEC is not to share that information. The purpose is to investigate and enforce their rules. To her credit, as I said, Chairman Schapiro has been forthright with Congress and the American people in acknowledging past failures at the SEC in protecting investors and regulating large investment banks. We can all agree that the agency that presided over the collapse of some of the largest financial institutions on Wall Street and allowed Bernie Madoff to perpetrate the largest financial fraud in American history must be fully transparent in its operations, and that any statutory departures from that general rule of openness must be narrowly defined because they should be accountable to the American people, and also to scrutiny of the media and the press, which can be an important governor or safeguard. While this bill coming over from the Senate makes some improvements to section 929I, it's not a perfect solution. As I said, we would have preferred something more in line with what Chairman Towns and in my mind Ranking Member Issa have proposed; and we look forward to working with Chairman Frank and Chairman Schapiro of the SEC as well as Chairman Towns. However, we are sensitive to the fact that an outright repeal of the section could result in the SEC being compelled to release proprietary information in response to subpoenas issued in litigation to which the commission is not a party; and as Chairman Frank said, it could actually result in an increase in litigation of companies not willing to disclose certain information or gaining injunctions by courts, and there would be some basis without some information being privileged. I commend Chairman Frank for also acknowledging their legitimate concern, and that is the SEC's legitimate concern during the committee's hearing on the issue last week when he stated that whatever amendment we propose for section 929I should not provide an opportunity for third parties to engage in an SEC ``fishing expedition'' seeking a company's proprietary information; and I think that was a very succinct description of what we want to avoid. In closing, Madam Speaker, the challenge for this Congress is to strike a proper balance, one that ensures that the SEC has real-time access to the kind of sensitive, proprietary information it needs to catch the next Bernie Madoff, while also giving the public the tools it needs to hold the agency accountable when it fails to fulfill its mission of protecting investors and policing our financial markets. Acknowledging the amendment we are considering is an important and significant improvement over the status quo--and as Chairman Frank we are actually very encouraged that our colleagues on the other side of this Capitol have acted in a speedy manner--it will still be necessary to revisit this issue. With Chairman Schapiro's cooperation, I am confident that we, working in a bipartisan way, can arrive at a solution that achieves a proper balance between disclosure and protection of sensitive proprietary information in the next Congress. The American people, and those dealing with the SEC, deserve nothing less. I reserve the balance of my time.

Mr. BACHUS. Madam Speaker, I yield such time as he may consume to the very capable ranking member of the Oversight and Government Reform Committee, the gentleman from California (Mr. Issa).

Mr. BACHUS. I yield back the balance of my time.

Mr. BACHUS

Mr. BACHUS. Madam Speaker, I yield back the balance of my time.

Mr. BACHUS. Madam Speaker, I yield myself such time as I may consume. Madam Speaker, I rise today in support of S. 846, a bill that would authorize the award of a Congressional Gold Medal to one of the great humanitarians of our time, Dr. Muhammad Yunus. Over the last couple of years, we have talked on the floor of this Chamber and in committees about the effects of the recent economic crisis and how it has limited our ability to procure loans in this country. We all know that credit is the lifeblood of both business and daily life and that businesses need capital to invest in tools, labor, and raw materials, and that individuals need credit for both short-term needs and long-term investments such as college educations or to buy a house or a car. The need to free up credit in the United States is important, but in this great country that offers so much for us to enjoy, it is easy to lose sight of how serious the need for credit is elsewhere. There it's sometimes a matter of surviving or being able to eke out a living. Americans may need a loan to purchase a new car, whereas a person in Bangladesh may need a loan to merely survive. Madam Speaker, it is a testament to a man we honor today that he both recognized the needs of many for loans of very small amounts of money and devised a system, a system that can be replicated anywhere, to address that need. Dr. Yunus, born in Bangladesh and the holder of a doctorate from Vanderbilt, made his first step toward solving this problem in 1976 in his native country--and Mr. Carson mentioned this--when he loaned an equivalent of $27 to 42 women and made each a co-guarantor with the responsibility of ensuring that the money was paid back in full. These women then used the money to make bamboo furniture. Previously to buy bamboo, they had been forced to borrow at interest rates that we would consider criminal and certainly usurious. With the loans, they were able to make furniture at a small profit. Soon, with a small grant from the government of his newly independent country, Dr. Yunus founded what became the Grameen Bank, and lenders, using that model, have made billions of dollars of so-called microloans to millions of people. I know Chairman Waters has spoken about this and many other Members as to what this has meant to men and women in poor countries around the world. More than 90 percent of the borrowers are said to have been women. In the year since the founding of the bank, the Grameen model has blossomed, spawning variations that include nonprofits and for-profit investments in projects ranging from information technology and communications to food production with partners ranging from small local companies to giant multinationals. One project has funded the installation of nearly half a million small solar electrical plants producing power for off-the-grid people in Bangladesh. I remember reading Robert Caro's book about Lyndon Johnson and what electricity meant to the hill country of Texas. The miracle that we saw in America a century ago is being repeated in these countries now--the miracle of electricity. But this microlending model is not confined to small, poor, developing countries. It's found its way to Canada and even to the United States. Dr. Yunus holds out the possibility that another offshoot he calls ``social business'' might be a way to help redevelop Haiti and bring its people out of poverty, as well as in developed countries to provide a path to help the poor become self-supporting without the need for welfare. Through all of this, Dr. Yunus has been not only a visionary innovator but a tireless advocate for the model that he believes can ease and even end poverty. For this he's been recognized several times and in many ways. He and the Grameen Bank were co-recipients of the Nobel Peace Prize in 2006. And in 2009, Dr. Yunus received the Presidential Medal of Freedom from President Obama. It is now time that Congress in a bipartisan way honors such a devoted and selfless individual. And that's what we do today with 296 cosponsors. I commend Senator Durbin for introducing this bill. I commend the gentleman from New Jersey (Mr. Holt), who introduced the House companion bill, H.R. 2000. With passage today, this bill will go directly to the President's desk. This is just one of many examples of how a small amount of money changed the lives and the fortunes and the futures of families in countries around this world. I think of a book I just completed in the last year, Greg Mortenson's ``Three Cups of Tea,'' where a gentleman from California went to really the tribal areas of Pakistan and helped build a school and educate children for just, what we would call an insignificant amount. And it truly is, I think, an inspiring thing to read of people of this character and this commitment. Madam Speaker, let me close by saying this is an overdue recognition of a vastly important concept and the man who devised it. I urge immediate passage. I reserve the balance of my time.

Mr. BACHUS

Mr. BACHUS. Madam Speaker, September 17th is Constitution Day, a time to show appreciation for the foundational and supreme law of our land that deserves special attention this year. The principles of the U.S. Constitution have successfully guided our Nation through times of both prosperity and challenge. The genius of our Constitution rests in the Founding Fathers' intricate system of checks and balances and the division of powers between the states and the national government. This has helped ensure that the people are the masters of their government, rather than its servants. The 10th Amendment was particularly prescient in recognizing that the most effective, responsive, and representative government is that which is closest to its citizens. It has long been my practice to distribute copies of the Constitution to the school groups with whom I meet, and I am greatly encouraged by the millions of patriotic Americans who are now dedicating themselves to reaffirming and restoring the principles of limited government and personal freedom. Public and personal readings of the Constitution are taking place throughout Alabama and our country in recognition of Constitution Day. All Americans should reflect on an enduring document that has given us the magnificent gifts of democracy and freedom and remained relevant to providing guidance for our government despite the passage of more than two centuries.

Mr. BACHUS

Mr. BACHUS. Mr. Speaker, I rise today in support of H. Res. 1595, a resolution introduced by my colleagues Representatives Levin and Camp, to commemorate the 50th anniversary of the establishment of real estate investment trusts, or REITs. Prior to 1960, access to the returns for investments in high-quality commercial real estate assets was limited to institutions and individuals with significant financial resources. To remedy this, Congress adopted legislation establishing REITs to make it easier for small investors to invest in commercial properties, similar to mutual funds, by pooling their resources. President Eisenhower signed the legislation into law on September 14, 1960, fifty years ago today. As my colleagues know, REITs are companies dedicated to owning and operating income-producing real estate, such as apartments, shopping centers, regional malls, office buildings, industrial warehouses, hotels and lodging, health care facilities, and self-storage buildings. Federal tax law requires that REITs meet specific tests regarding the composition of their gross income and assets, but the key feature of a REIT is the requirement that at least 95 percent of a REIT's taxable income be returned to its shareholders every year. For example, in 2008, REITs returned approximately $17.8 billion to shareholders in the form of dividends. These income returns have been one of the primary reasons why the industry has performed so well over the years. In addition, REITs have been recognized for the diversification benefits they bring to individual portfolios, the efficiency of their liquidity attributes, and the professional management practices they bring to the table. Congress created the path for REITs to exist 50 years ago today, and Congress has continued to preserve and perfect the REIT method of real estate investing through the adoption of targeted legislation that has mirrored the changing investment marketplace. I want to congratulate the REIT industry on this important milestone and I hope that the REIT method of investing continues to be strong, efficient and effective in today's economy.

Mr. BACHUS

Mr. BACHUS. Madam Speaker, the August work period is a time for Members of the House to listen to their constituents back home. Last year, I was greatly inspired by the many people in Alabama and throughout our country who came out to publicly express their views on health care and other pressing national issues. It is my hope that the people will be just as engaged this year. During the America Speaking Out meetings I held in Alabama last week, my constituents shared their concerns about the weak economy and the direction that Washington is headed with excessive spending and borrowing, high taxes, and dangerous deficits. My constituents know that our nation is on an unsustainable path and are worried about what that means for their children and grandchildren. This month, we all need to listen closely to what the American people are saying in town halls, corner cafes, and online democracy initiatives like America Speaking Out. The strength of our country has always been our people, and we in Congress would be wise to listen and learn in order to guide our proceedings when the session resumes.

Mr. BACHUS

Mr. BACHUS. Madam Speaker, it is my honor to express strong support for the Spirit of '45 Day celebrations that will be occurring throughout our country, including at the Alabama National Cemetery in my district. On August 14, 1945, World War II officially ended, marking a victory for the cause of freedom over tyranny in the world. The Americans who served us on both the battlefield and the home front deserve our lasting gratitude. History will forever celebrate the men and women of the ``Greatest Generation'' who endured the Great Depression, preserved democracy, and rebuilt the postwar world, creating examples of service that continue to inspire and sustain our nation. Keep the Spirit of '45 Alive is a non-profit grassroots campaign to encourage Americans to commemorate the 65th Anniversary of the end of World War II by holding events and inspiring young children to gather personal recollections of August 14, 1945 from family members and friends. Their goal is to establish a permanent National Day of Remembrance to the legacy of service of the greatest generation so that their example of commitment to community and country will continue to provide inspiration now and in the future. This commemoration will encourage our young people to learn valuable lessons from their elders about overcoming adversity through self- sacrifice, courage, perseverance and service to others. During my meetings, soldiers from Iraq and Afghanistan have often told me how they were inspired by the service of their fathers and grandfathers. It is my hope that Keep the Spirit of '45 Alive will serve as an example to Americans of how we always come together with a shared sense of national unity and purpose during challenging times in our nation's history. Therefore, I would like to provide my heartfelt endorsement for the Spirit of '45 Day celebration at the Alabama National Veterans Cemetery on Saturday, August 14, 2010.

Mr. BACHUS

Mr. BACHUS. Madam Speaker, in the music world, it is challenging enough for a band to record one hit song, much less become a voice for an entire region and a true icon. That is why Congressman Connie Mack and I are pleased to jointly recognize the accomplishments and patriotic spirit of the legendary Lynyrd Skynyrd. From humble beginnings, Lynyrd Skynyrd has become one of the most revered and accomplished bands in the history of music, having sold nearly 30 million records worldwide in the last four decades. Through their live performances and the music and songs still played on radio stations around the world every day, the members of Lynyrd Skynyrd have established themselves as timeless artists who transcend any one musical era or generation. As validated by their induction into the Rock and Roll Hall of Fame in 2006, Lynyrd Skynyrd has had a seminal impact on the development of rock and country music and a profound influence on the career development of many artists who followed in their creative footsteps. Through their collective voices, the band has become a beacon for regional identity and pride in the American South. This is perhaps best epitomized by the song ``Sweet Home Alabama,'' an anthem so universally identified with the state of Alabama that it is the official motto displayed on license plates. Since their start in Jacksonville, Florida in the late 1960s, Lynyrd Skynyrd has been a spokesman for the everyday working man and woman, the friends and neighbors of their formative years. Their ability to capture a unique part of the American spirit has given their music emotional meaning to many fans and built a legacy that continues to grow year after year. Amid triumph and loss, these sons of the south have evolved from band to close-knit family. A tragic airplane crash in 1977 claimed original members Steve Gaines, Cassie Gaines, and lead singer Ronnie Van Zant, but Ronnie's brother Johnny carried on the tradition as the new vocalist. Devoted fans cherish the contributions of Bob Burns, Ed King, and Artimus Pyle and remember the legacy of Allen Collins, Leon Wilkeson, Billy Powell, and Ean Evans. Today, led by core members Johnny Van Zant, Gary Rossington, Rickey Medlock, and Michael Cartellone, Lynyrd Skynyrd continues to share an unbreakable bond with the fans they count as family as well. Lynyrd Skynyrd has been a generous supporter of our men and women in the armed forces for many years. The band has long understood that our military personnel bravely and unselfishly stand guard over our everyday security and freedom. They have enthusiastically raised money for military families and played countless shows for our service members in uniform. Their song ``Red, White, and Blue'' was written as a tribute to the men and women who serve in the defense of freedom. As representatives of timeless American values and champions of working class heroes, Lynyrd Skynyrd continues to entertain and inspire millions of fans across the world. Along with Congressman Mack, I find it highly appropriate that the people's House takes time to recognize this classic band for lasting contributions not just to the world of music, but to American popular culture as a whole.

Mr. BACHUS

Mr. BACHUS. Mr. Chair, on July 15, 2010, I missed rollcall vote No. 445. Had I been present, I would have voted ``aye.''