Spencer Bachus

Mr. BACHUS

Mr. BACHUS. Mr. Speaker, I want to add these comments regarding Section 913 of the Report calling for a review by the Securities and Exchange Commission, SEC, of the current regulation of investment advisers and broker-dealers. The Conference Report on H.R. 4173 directs the SEC to conduct a study to evaluate the effectiveness of current standards--both at the state and federal levels--with respect to investment advisers and broker- dealers when providing personalized investment advice and recommendations about securities to retail customers. Before the SEC proceeds with any new rules and regulations in this area, it is critically important that the unique roles of different financial professionals, their distinct relationships with their customers, and the nature of the services and disclosures they provide be fully examined and well understood. These definitive factors should provide information to guide the SEC in determining if any new rules and regulations are needed and defining the details of any such measures that might be proposed. The conferees included the requirement for a comprehensive study for these purposes, and I anticipate that the SEC will follow the intent of Congress with a thorough and objective analysis in this regard.

Mr. BACHUS. Mr. Speaker, I have a motion to recommit with instructions at the desk.

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 also remember and cherish the contributions 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. Speaker, I have a motion at the desk.

Mr. BACHUS. Mr. Speaker, I yield myself such time as I may consume. This motion to instruct directs the conferees to insist that this legislation end the possibility of taxpayer-funded bailouts once and for all by stipulating that bankruptcy is the only available option for liquidating a failed financial firm. The motion also requires that the conferees and the public, by extension, have at least 72 hours to review the contents of the conference report before its final approval. We've heard time and time again that the Democrats ``resolution authority'' to wind down systemically significant financial institutions ends the too-big-to-fail doctrine and protects taxpayers. That's an outrageous and false claim. Read the bills. Both the House and the Senate let the FDIC do the following: lend to a failing firm, purchase the assets of a failing firm, guarantee its obligations to creditors, take a security interest in its assets, and even sell or transfer assets that the FDIC acquired from it. And while the House establishes a $150 billion bailout fund to pay for the resolution of a failing firm, with an extra $50 billion line of credit with the Treasury if the original $150 billion is exhausted and cannot fully fund the bailout, the Senate approach is no better. The Senate would allow the FDIC to potentially provide trillions of dollars from the Treasury in order to pay off a failed firm's creditors and counterparties in the aftermath of its failure with the hopes that the funds can be recouped at some later date. But only a hope. The Senate bill institutionalizes backdoor bailouts that have so infuriated the American people by conferring on the FDIC the exact same tools that were used to rescue the creditors of Bear Stearns, AIG, Fannie Mae, and Freddie Mac with the taxpayer price tag today of over a trillion dollars. This would continue the misguided too-big-to-fail bailouts that allowed U.S. regulators to pay Goldman Sachs and other large European banks 100 cents on the dollar at the expense of hundreds of smaller institutions and companies which were considered too insignificant or small to save or to pay. The Democrats like to call their plan a ``death panel'' for large financial firms, but if you read the bill, in reality, it is nothing less than the taxpayer-funded life support to pay off the creditors of the failed institutions but not necessarily all of the creditors. They could pay some of the creditors and let others hang out to dry. We saw that with AIG and other bailouts. And don't forget the so-called too-big-to-fail institutions have only grown larger and more dominant through the regulator-directed but taxpayer-funded bailout process, a process this legislation institutionalizes. The better, more equitable approach to dealing with failed nonbank financial institutions--the only way to make sure taxpayers are protected from paying for Wall Street mistakes--is bankruptcy, first proposed by House Republicans. Unlike the FDIC, which can funnel unlimited amounts of taxpayer cash to a failing firm's creditors as part of a so-called resolution, a bankruptcy court has neither the authority nor the funds to make creditors whole. Bankruptcy is an open, transparent process administered according to clear rules and settled precedent and preferences, preferences that, in this bill, could be disregarded. By contrast, the resolution authority proposed by the Democrats would be carried out entirely behind closed doors with no guarantee of adequate stakeholder participation and protection and without a bankruptcy judge to ensure a fair and equitable outcome. The Democrats have been careful to include in their bill a provision that explicitly states that taxpayers will bear no losses from the government's exercise of resolution authority. But that promise, like the promise we heard in Fannie and Freddie, is an empty one, not worth the paper it is printed on. You will remember, on this floor we heard the Secretary of the Treasury say, $300 billion that will never be used. It was used, and almost another trillion dollars more was guaranteed. The only way to ensure that the pockets of taxpayers will not again be picked by Wall Street and government bureaucrats with the help of this Congress--a coalition which sometimes I refer to as the reckless and the clueless--is to insist that failing firms be resolved through bankruptcy. In conclusion, let me remind my colleagues that for 99.9 percent of core companies and all individuals who find themselves unable to meet their obligations or their creditors, bankruptcy--not a government bailout--is the only alternative. It ought to be the alternative for failing too-big-to-save corporations as well. This motion to instruct would eliminate the two big to fail/too small to save double standard in the Democrat bill that has so infuriated the American people and makes bankruptcy the only option for the systemically significant firms, many of which created the crisis our economy and the American people face today. I urge my colleagues to support it. I reserve the balance of my time.

Mr. BACHUS. Mr. Speaker, at this time I yield 4 minutes to the gentleman from Texas (Mr. Hensarling).

Mr. BACHUS. Mr. Speaker, I yield 4 minutes to another gentleman from Texas (Mr. Paul). (Mr. PAUL asked and was given permission to revise and extend his remarks.)

Mr. BACHUS. Mr. Speaker, I yield 3 minutes to the ranking member of the Government Oversight Committee from California (Mr. Issa).

Mr. BACHUS. At this time, Mr. Speaker, I yield 4 minutes to the vice ranking member of the Financial Services Committee, the gentleman from Texas (Mr. Neugebauer).

Mr. BACHUS. Mr. Speaker, may I inquire as to the time left on both sides, knowing that I have the right to close.

Mr. BACHUS. Mr. Speaker, we heard the gentleman from Pennsylvania say that there were really no bailouts. I think, if you submit that statement to the American people, they would tell you that there were bailouts because, in fact, there were bailouts. The majority has made a statement on the floor of the House in defense of this bill that it has all been paid back. Well, in fact, it has not all been paid back, and I think, on further examination, Mr. Speaker, we would all have to remember the inconvenient fact that AIG still owes the American people about $150 billion and that Freddie and Fannie not only owe hundreds of billions of dollars but that the President, back on December 25, guaranteed their obligations, which could run in the trillions. Now, in addition to all of that, a few statements by the chairman, Mr. Speaker. The chairman says that they have to be troubled, that instead of going through bankruptcy, they will go through this thing where you can guarantee their obligations, where you can take a security interest in them, where you can purchase their assets, where you can lend money to them. They have to be troubled. Well, who decides that? Well, according to the bill, the Secretary of the Treasury sits at the head of a small group. I think the Senate bill includes Ms. Elizabeth Warren, but it includes the OCC.

Mr. BACHUS. Yes, I will yield.

Mr. BACHUS. Well, I will withdraw that statement. I am glad to hear that it does not. Now, let me ask you this. This bill, and I'm going to quote from section 210, it says that the FDIC is authorized to borrow up to 90 percent of the fair value of the failed firm's total consolidated assets. Ninety percent of the total consolidated assets. Now, Mr. Speaker, I would ask the chairman, maybe he can give us this figure or review my figures. But the largest corporation in America, Bank of America, which would qualify under this program has total assets of $2.34 trillion. That means that the FDIC could borrow $2 trillion. Now, I would ask this: Where do they borrow it from? But, more importantly, if they borrow $2 trillion to allow Bank of America to go into this process, if they are not paid back, who pays it? And the answer is: the taxpayers, a $2 trillion investment right there.

Mr. BACHUS. Mr. Speaker, on that I demand the yeas and nays.

Mr. BACHUS. May I inquire of the Speaker as to how much time is remaining on each side.

Mr. BACHUS. Madam Speaker, I yield 4 minutes to the very able ranking member of the Oversight Committee, Mrs. Judy Biggert.

Mr. BACHUS. Mr. Speaker, at this time I yield 3 minutes to the ranking member of the Capital Markets Subcommittee, the gentleman from New Jersey (Mr. Garrett).

Mr. BACHUS. I yield the gentleman 1 additional minute.

Mr. BACHUS

Mr. BACHUS. Madam Speaker, as we prepare to honor our veterans this Memorial Day, it is an appropriate time to recognize the service of Lieutenant Colonel Alan L. Hinson for his dedicated work as the Executive Director of Operation Grateful Heart in Alabama. Alabama has a proud heritage of supporting our troops in uniform and our returning veterans. Lieutenant Colonel Alan Hinson upheld this tradition when he was appointed by Governor Bob Riley to serve as the Executive Director of Operation Grateful Heart. He has been responsible for ensuring that all military personnel and their families receive appropriate recognition, tangible support, and neighborly care. The program provides caring assistance for our troops, both as they fight terrorism and defend freedom overseas and when they return home and require employment and veterans services in their communities. Lieutenant Colonel Alan Hinson's concern and compassion have come from his own experiences. He served in the U.S. Army from January 1969 until June 1991. He was a helicopter pilot during the Vietnam War, flying combat aerial missions for the 145th Combat Aviation Battalion, as well as direct support missions in support of ground troops in the III Corps and V Corps regions of South Vietnam. He also served several tours of duty at Fort Rucker, Alabama as both a flight and ground instructor. Later in his career, he returned to his basic branch of Field Artillery, where he served with the 2nd Infantry Division in Korea, 3rd Armored Division in Germany, 2nd Army in Atlanta, and Army Forces Command in Atlanta. In 1995, Lieutenant Colonel Alan Hinson returned to Alabama, where he served military veterans and their families for nine and a half years as counselor and case manager with the Alabama Intensive Veterans Employment (ALIVE) Program. The ALIVE program helped veterans encountering employment barriers return to the workforce by providing vocational assistance, job-specific training, work experience, and other supportive services. From 2005 through April 2007, Lieutenant Colonel Alan Hinson supplied assistance to Alabama citizens who had lost their jobs either from trade-related layoffs or as a result of disasters such as Hurricane Katrina. Lieutenant Colonel Alan Hinson is married to the former Celia Marie Sullivan of Troy, Alabama. They have one daughter, Rochelle Hughes, a nursing instructor at Mississippi University for Women in Columbus, Mississippi; one son, Chief Warrant Officer Scott Hinson, currently serving with the 3rd Infantry Division at Forward Operating Base Falcon in Iraq; and five grandchildren. Lieutenant Colonel Alan Hinson has devoted his life to his family, his country, and our brave men and women in uniform. As he retires from his service as Executive Director of Operation Grateful Heart, it is now our welcome opportunity to salute him for his dedication to the United States of America and to the well-being of our troops and veterans.

Mr. BACHUS

Mr. BACHUS. Madam Speaker, when it comes to supporting our troops, it is essential that we as Americans unite as one community. Our brave men and women in uniform need our support. And so do their families, who live daily with the knowledge that a loved one may be put in harm's way in the defense of freedom. Since World War I, the Blue Star and Gold Star banners have been a way for families--and the communities they live in--to show their consideration and respect for our troops in the field. My home State of Alabama has very active Blue Star and Gold Star programs. Glenn Nivens of Blue Star Salute in Alabama, Rachel Clinkscale of Gold Star Wives of America, and Marynell Winslow of Alabama Gold Star families represent, as leaders of their respective organizations, the many citizens of Alabama who are tireless in their support of our troops and their families. Whenever I see those powerful banners--and in fact, I've had the honor of being presented with a Blue Star banner which I proudly display in my office--I always reflect on what it takes to keep America free. This has been the case for generations of Americans. There should never be an impediment to displaying the Blue Star and Gold Star banners, whether it is in the window of a house, a business, or in the case of this legislation, a condominium unit. Some of my colleagues may remember that in 2005, we passed similar legislation also referred to the Financial Services Committee that protected the display of the U.S. flag. If anything, we should be promoting greater participation in the Blue Star and Gold Star programs as a way to show appreciation for our troops and our solidarity with their families. The Sixth Annual Blue Star Salute will be held at the American Village in Montevallo in my district on Memorial Day. It would be a great pleasure to report to them that the House of Representatives has voted strongly to support the freedom of our families to proudly display the Blue Star and Gold Star banners.

Mr. BACHUS

Mr. BACHUS. I thank the gentleman from Utah for yielding. Madam Speaker, I wish to speak on this bill and also on the coin bill. There is a bond between mothers and their children that words cannot describe. For the lucky ones among us, the more fortunate ones, a mother, our mother or someone else's mother, or a mother figure such as a grandmother, has made all the difference in the world in our lives. The tender care, the unending support, and the unconditional love of a mother truly are life's greatest blessings for a child. Every year on the second Sunday in May, this Nation honors its mothers. It will do so again this Sunday. We seek to acknowledge their tireless support and their enduring love. Few of us realize how the tradition began. As Mrs. Capito said, it began through the efforts of one lady in 1868 at the end of the Civil War. Her name was Anna Jarvis, and she dreamed of an annual Mother's Day. However, she didn't live to see that, but her daughter did. On May 9, 1907, the second anniversary of Mrs. Jarvis's death, her daughter organized a group of friends, and within a year they began having church services on the second Sunday of May throughout West Virginia. It spread to Philadelphia. And then in 1910, the Governor of West Virginia, Governor William Glassock, issued a Mother's Day proclamation. The next year Mother's Day services were held in all the States. And later that year, President Woodrow Wilson, responding to a joint resolution of Congress, issued a proclamation setting aside the second Sunday of each May for displaying the American flag as a public expression of our love and reverence for our mothers. The mothers of our country. Today that celebration has spread throughout the world. It began in West Virginia and here in the United States, another thing we as Americans can be proud of as we honor our mothers this Sunday.

Mr. BACHUS

Mr. BACHUS. Madam Speaker, as a parent myself, I know that there is nothing more important than the well-being of a child to a parent. When there is a change in a child's behavior and when the parents or grandparents notice that something is wrong, they are the first to notice, and they are also the first to want answers. Often those answers are that the child has autism or is on the autism spectrum. I also join in commending Mike Doyle and Chris Smith for their long labors on this issue, and I would like to associate myself with the remarks of Mr. Towns and of others. Autism has always been a challenging diagnosis. There is an increased instance of autism spectrum disorder. It is quite a phenomenon. As of yet, it hasn't really been explained, but it is something that children, families, and siblings will have to deal with their entire lives. There are two very important things that we now know about autism: The first is that awareness is critical, so I commend Mr. Reichert and Mr. Gerlach, along with Mr. Pitts and the other speakers today. That's what makes the designation of April as National Autism Awareness Month so significant. The sooner an autism spectrum disorder is identified, the sooner a child can receive specialized treatment. The second thing we know is that early intervention programs can make an exceptional difference in the quality of life for these precious children. This has been proven not just by studies but by the personal stories told by individual families. They've seen their young people literally blossom in front of their eyes as a result of early treatment. The Birmingham area, from which I hail, has an innovative center called Mitchell's Place. It's named for Mitchell, who is the son of the two founders, the Meislers. It is a model for autism services, not just for Alabama but for the entire country. Mitchell's Place combines the latest in behavioral and developmental research on autism with a structured and caring environment. When you walk through the doors of the center, which is bright and nurturing, you can feel the love for the children, and they respond. There are many promising developments to report to families living with autism. Recently, I and Congressman Mike Doyle, who is the chairman of the Congressional Autism Council, hosted a briefing at which we heard from the Director of the National Institutes of Health, Dr. Thomas Insel. He told us about exciting research which is progressing in a number of areas. Expert researchers are studying causes, early intervention programs, strategies for older individuals with autism, and even potential cures. In my State, thanks to the efforts of State Representative Cam Ward, we now have an Autism Task Force which is coordinating our State resources, and I know we patterned that after Pennsylvania, Congressman Gerlach. In conclusion, it's an honor to speak on behalf this resolution and of the children and parents and grandparents and loved ones of those with autism. It's a pleasure to work with many Members of Congress who care so deeply about this issue, including the lead cosponsors, Congressmen Reichert and Gerlach, along with Mr. Pitts from Pennsylvania, Mr. Smith, and Mr. Doyle. Today's resolution has great meaning to millions of families across America affected by autism spectrum disorder.

Mr. BACHUS. If it encourages parents to be more attentive to the symptoms of autism and to get early treatment for their children, we will have done a great service for their families.

Mr. BACHUS

Mr. BACHUS. Madam Speaker, it is an honor to bring to the attention of my colleagues the heroism of a constituent, Derek J. Creel of Warrior, Alabama. Guided by his faith, Derek put his own life at risk to save the life of a young child during a tragic outing on raging waters. In recognition of his courageous and selfless action, Derek has been awarded the Carnegie Medal by the Carnegie Hero Fund Commission. The criteria for this prestigious award was established by the philanthropist Andrew Carnegie in 1904, when he wrote on the Commission's founding Deed of Trust that, ``We live in a heroic age. Not seldom are we thrilled by deeds of heroism where men or women are injured or lose their lives in attempting to preserve or rescue their fellows.'' Derek Creel displayed extraordinary heroism in swimming to a father and son who had been overtaken by a strong current in the Black Warrior River on March 27, 2009. Excruciatingly, he could not save the father from the cold and swift waters. But he both saved and comforted the frightened young boy while rescue help arrived. Derek's spiritual strength was every bit as important to their survival during that challenging time as his physical strength. Warrior Police Chief Raymond Horn, who was at the scene, wrote a gripping account of Derek's heroism in nominating him for the Carnegie Medal. It is a description of an exceptional action by a prayerful man that I commend to your reading. On 03/27/09 the Warrior River, Locust Branch, was well above normal depth from recent rain storms. The currents were very strong and swift with a lot of debris, i.e.; stumps, trees and rocks in this river. There were more storms moving into the area later that night with flash flood warnings being posted. The rescuer, Derek Creel, was at the river fishing. He witnessed a canoe, with an adult male and a male child, capsized. The two victims were caught in the swift currents and very rapidly being pulled down stream while holding onto the canoe. At this point Derek Creel with total disregard for his own life or safety jumped into the cold water and swam towards the victims. After reaching the victims and the canoe he attempted to get them to the shore, but the currents were too strong and they were washed down river about half a mile from the boat launch. At this point Derek was able to steer the canoe into a downed tree in the river. He then had to physically hold onto both victims. He soon became exhausted and had to make a very difficult decision. Let one victim go and save the child and himself. The father, Tim Sagafoose was injured and was unable to help or respond. Derek was unable to hold onto the father any longer and turned him loose into the current. Derek then had to calm the young boy and explain what he had to just do. He had the presence of mind to witness to the young boy about God and salvation, all while holding onto him in the cold swift water for over for over thirty minutes before they were rescued by Warrior Firefighters Lee Kilgore and Luke Ahl. I personally spoke with Derek at the scene and he was visibly shaken, and extremely apologetic about not being able to save the father. And he was very humble about his rescue efforts on this night. After days of refusing media interviews, he finally did an interview on the day Tim Sagafoose's body was recovered. During this interview, Derek credited his actions to God and his Savior Jesus Christ for putting him there that day and giving him the strength to hold on. After 34 years of Law Enforcement experience I walked away from this incident with not only amazement at the actions of Derek Creel, but true respect for him. He is a remarkable young man with strength and conviction and truly humble demeanor. I am very proud of Derek for not only his heroism, but his witness of the Lord in this difficult moment. He is truly a hero in my opinion in more ways than one. In closing, I congratulate Derek and the entire Creel family.

Mr. BACHUS

Mr. BACHUS. Mr. Speaker, in our Declaration of Independence, our forefathers declared that we are endowed by our Creator with certain inalienable rights. The first was life, yet this bill would permit the public funding of abortions in a number of programs that would take an innocent life formed by that Creator within a matter of months, if not weeks or days. The very first act of our government on this innocent and defenseless life would be to end it. Our forefathers could not comprehend such an outrageous act. Let me close by saying that on this very day, March 21, exactly 61 years ago, Chaplain Peter Marshall prayed on the floor of the Senate: Lord, our God, help us to stand up for the inalienable rights of mankind, knowing that Thy power and Thy blessings will be upon us only when we do what is right. May we so speak, vote and live as to merit thy blessing.