Jim Bunning

Mr. BUNNING

Mr. BUNNING. Mr. President, I rise today to introduce The Working Family Tax Relief Act of 2004. I would like to thank my colleague, Senator Miller, for his support of this important legislation. His leadership has laid the foundation of bipartisan support that this critical tax bill and working American families deserve. Tax relief has contributed to economic growth throughout our economy. We have successfully encouraged companies to create more jobs and Americans to save and spend more. The President's tax cuts and our votes here in the Senate helped to revive an economy that was sagging in 2000 and shocked by the tragedies of September 11, 2001. We put a plan in place in 2001 to help the American family to keep more of the money they work so hard to earn. In 2003, Congress saw fit to accelerate the effective date of some of this family tax relief in order to give these families this help as quickly as possible. As a result, every American family who paid any income taxes during 2003 saw a reduction in their taxes and they will enjoy those lower taxes for this year as well. However, if we do not act this year, America's working families will face a tax increase next year. We cannot allow this to happen. The lowest-income Americans have benefited dramatically from the new 10 percent tax bracket. Today, thanks to this new bracket, working Americans are keeping more of their hard-earned paychecks. But if we do nothing, taxpayers with as little as $7,000 in taxable income could face a tax increase next year. My legislation proposes to keep the current 10 percent tax rate bracket in place rather than allowing it to shrink and increase taxes on the working families of America. This extension could bring relief to as many as 1.2 million people in Kentucky and millions of others throughout the country. And, if we do nothing, the child tax credit will be cut by 30 percent in 2005. We need to keep the $1,000 tax credit and not let it revert to the old $700 credit. There are over 350,000 taxpayers in Kentucky who need this tax relief and will benefit from this legislation. We can't ask millions of Americans to pay an extra $300 per child next year. Will you ask the families of this country, who have worked so hard to raise our entire economy up, to pay more in taxes simply because they have children? I know I won't, and I hope my colleagues won't either. The accelerated marriage penalty relief will also lapse after this year unless the Senate acts. I propose keeping the current tax deduction in place, which we increased to twice that of an individual taxpayer in 2003. Without this extension, married couples will see a cut in their standardized deduction--actually penalizing couples for being married. Over 465,000 Kentuckians benefits from this legislation. We need to keep this important tax relief intact. And finally we need to address an unintended consequence of the Alternative Minimum Tax. When the Senate passed the AMT, it was designed to ensure wealthier Americans paid at least some percentage of their income in taxes. Now that same AMT is hurting working families and middle-income America. In 2003, the Senate passed limited AMT relief that is now set to expire. This legislation will keep the current exemption levels of $40,250 for single and $58,000 for married taxpayers in place for 2005. If we fail to act, an additional $7,000 to $13,000 of middle-income taxpayers' income will be subject to this tax. We all know that the AMT is a serious issue and one that we must address--the limited relief contained in this bill is not a final solution to this large problem, but it will keep the problem from getting even worse. There are other important tax cuts that should be extended and there are other problems with the tax code that I would like to correct. But the four provisions addressed in this bill have to be addressed today not just to provide tax relief, but to prevent an immediate tax increase. We owe it to the working families and low-income Americans who rely on these tax cuts to act quickly and extend these four provisions--the 10 percent tax bracket, child tax credit, marriage penalty relief and AMT relief. Working American families and lower to middle-income America were hit hard with the economic downturn--that is why we passed these tax cuts in the first place. And now, just as these industrious Americans have started to find new jobs and spend a little more money to grow the economy, we cannot hold them back with a tax increase. And I can't stress this point enough. Many Americans--especially low and middle income families--will have their tax rates increased and face cuts in their deductions and credits unless we act. My bill is about extending the important tax breaks that we all agreed to in 2001 and accelerated in 2003. We made a commitment to the American family in the midst of an economic downturn--offering them tax relief to help stimulate the economy. And now that these tax cuts are starting to work, we can't afford to take them back. We must stay the course and support our Nation's families as we move the American economy forward toward renewed prosperity. I know how tight government finances are likely to be this year. And as my colleagues know, I have always taken a hard look at spending proposals. But we built about $80 billion into the Senate-passed FY 2005 Budget proposal for these tax provisions. And there are similar provisions in the House-approved budget. I am confident that we can secure the amount we will need for this proposal over the next few years. We find ourselves in a unique position--we must be proactive to protect the American family from an unjust tax increase. We need to take a stand for low and middle income America. This Bunning-Miller tax relief legislation will protect working Americans from what would be a devastating tax increase in 2005. I urge my colleagues to get behind this bipartisan legislation and support the Working Family Tax Relief Act of 2004.

Mr. BUNNING

Mr. BUNNING. Mr. President, I pay tribute and congratulate the work of Parents Anonymous of South Eastern Kentucky. Parents Anonymous was founded with the goal of preventing child abuse by engaging parents and strengthening families. Their goal is to stop child abuse by working with parents before it happens or continues to happen. The citizens of Kentucky are fortunate to have the services of Parents Anonymous of South Eastern Kentucky. This organization's example of dedication, hard work and compassion should be an inspiration to all throughout the Commonwealth. They have my most sincere appreciation for this work and I look forward to their continued service to Kentucky.

Mr. BUNNING

Mr. BUNNING. Mr. President, today I would like to take the opportunity to congratulate the leaders in Ashland, KY who contributed to the downtown revitalization of the city. Ashland was one of 31 cities in Kentucky that received national recognition for its efforts in historic preservation on Tuesday, April 20, 2004. First Lady Laura Bush presented the Preserve America recognition award to Ashland Mayor, Steve Gilmore, and Main Street Board President, Larry Jones. The initiative recognizes communities that protect and celebrate their heritage, use their historic assets for economic development and community revitalization and encourage people to experience and appreciate historic resources through education and tourism programs. Of the 65 ``Preserve America'' U.S. communities that the First Lady Laura Bush has designated, 31 are in Kentucky. In President Bush's proposed budget for fiscal year 2005, he included $10 million for Preserve America communities. Ashland will be eligible to compete for some of the money Congress appropriates. The large number of Kentucky communities honored by the First Lady shows how important preservation is in Kentucky, and I commend these communities for their hard work and dedication to the various projects. I join all Kentuckians in congratulating Mayor Gilmore and the city of Ashland on their beautiful downtown revitalization.

Mr. BUNNING

Mr. BUNNING. Mr. President, today I would like to take the opportunity to honor the service of 1LT Robert Henderson II of Alvaton, KY. His death while performing his duty to his country is a great loss to us all. On April 17, 2004, LT Henderson was leading a convoy near Diwaniyah. As they were passing through, they were ambushed and LT Henderson was wounded. He later died at a field hospital. I offer my sincerest condolences to LT Henderson's family and loved ones. His service with the Kentucky Army National Guard's 2123rd Transportation Company was exemplary and duly appreciated. Lieutenant Henderson, according to reports, showed bravery by continuing to drive his lead vehicle toward safety after he was wounded. As one of the U.S. Senators from Kentucky, I know that Lieutenant Henderson served as a fine example of what it means to be a true patriot and an American of the highest caliber. We are humbled and honored by the sacrifice Lieutenant Henderson has made. His loss reminds us of the heavy cost exacted for our freedom. We must remember that the American way of life has been made possible by the bravery of men and women like Lieutenant Henderson. When freedom has been challenged many like him have answered the call to arms. We must never forget that.

Mr. BUNNING

Mr. BUNNING. Mr. President, I would like to take a moment today to pay tribute to Mr. Tom DiBello of Covington, KY who has served with great distinction as the Executive Director of the Covington Community Center since 1995. Tom has strong roots in Covington, KY, even though he first came to the community as a 1-year VISTA, Volunteers in Service to America, worker. Mr. DiBello then worked his way through the Covington Community as an outreach worker, community organizer and program director. As he rose through the ranks, his dedication to the community and list of achievements only grew. Some of Mr. DiBello's early accomplishments include organizing grassroots efforts for welfare reform and developing the Covington Neighborhood Action Coalition, now known as the Covington Neighborhood Collaborative. Mr. DiBello is responsible for marked growth of the Community Center, transforming it from a small organization on the west side of Covington to a truly city-wide support and development organization. From developing partnerships to running a capital campaign, Tom's leadership has been integral to the success of the Covington Community Center. Congratulations again, Mr. DiBello, on your dedicated service to the Covington Community Center. You are an inspiration for all of us throughout the Commonwealth of Kentucky. We look forward to your continued success and achievement.

Mr. BUNNING

Mr. BUNNING. Madam President, today I would like to take the opportunity to remember Judge John Robert Perry. He passed away tragically last Monday at age 72 and will be greatly missed by his surviving family and all the residents he served as the 36th District Court Judge of Wyoming. Judge Perry was known in the legal community for his wit, his dedication to the law and his willingness to share his legal knowledge with up-and-coming attorneys and fellow judges. His friends considered him ``even-tempered, level-headed and down-to-earth.'' He was a shining example of what makes this country great. Judge Perry will be missed, and our hearts go out to his family during this time.

Mr. BUNNING

Mr. BUNNING. Mr. President, today I would like to take the opportunity to honor the Marshall All-Star Cheerleaders for their recent success at the national championships in Indianapolis. The Marshall All-Star Cheerleaders is made up of girls from grades 1- 12 competing in three age levels, Peewee grades 1-4, Youth 3-6, and Senior 6-12. They are from Marshall, Graves, Lyon, and McCracken counties and students at Melissa's Gymnastics in Benton, KY. The squads spent hours in preparation for the fierce competition they faced in Indianapolis. Other squads were from Indiana, Kansas, Illinois, Missouri, Tennessee, Ohio, Michigan, West Virginia, Maryland, Iowa, Wisconsin, and Kentucky. They competed in dance, cheering, and tumbling, and came out on top in the end. The Marshall All-Star Cheerleaders were the national champions in all three age levels. They are to be commended for this high honor. Their hard work and dedication paid off, and I join my fellow Kentuckians in congratulating these fine young ladies.

Mr. BUNNING

Mr. BUNNING. Mr. President, I understand that the conference report to H.R. 3108 before us today includes a provision repealing Section 809 of the Internal Revenue Code. I support repeal of this arcane provision of the tax code relating to the taxation of mutual insurance companies. I also support the repeal of another equally arcane provision of the tax code--Section 815 which affects stock insurance companies. This provision, which triggers a tax on a fictitious account under certain circumstances and unduly ties up needed capital, is unnecessarily complex and antiquated. Repeal of this provision will allow the affected companies to gain access to these idle funds and use them to expand their businesses and hire more employees. I am pleased that the JOBS Act, which we are also considering on the floor of the Senate, contains a temporary repeal of Section 815 and I urge the Senate to consider full repeal of this provision at the earliest possible opportunity.

Mr. BUNNING

Mr. BUNNING. Mr. President, today I would like to take the opportunity to honor Mrs. Alisa Barton of Hopkinsville, KY. Salvation Army welfare coordinator Alisa Barton was honored nationwide with an Award of Excellence in Social Service at the National Social Services Conference in Pittsburgh on Tuesday, March 20. As former military child and wife, Mrs. Barton knows firsthand the hardship Army families can experience, especially during times of deployment. Mrs. Barton has continuously worked to help alleviate the needs of families remaining at home while their loved ones serve this country in Afghanistan and Iraq. She developed a program called Homefront War Relief, which has received national recognition for helping the families of deployed Fort Campbell soldiers. The Homefront War Relief program, partnered with Wal-Mart, allowed the Salvation Army to assist 743 military families resulting in the largest military assistance effort the Salvation Army of Hopkinsville has ever done. Throughout 2003, 5,000 military personnel and their families received assistance in the form of comfort kits to deployed soldiers, food and clothing, holiday meals, and Bibles and inspirational books to troops. Mrs. Barton is dedicated to helping those who come to the Salvation Army in need. She began working with the Salvation Army by ringing donations bells and describes her work as a labor of love spreading the Christian faith and helping people. I ask my colleagues to join me in honoring Mrs. Barton. She is a wonderful asset to Kentucky and an inspiration to us all.

Mr. BUNNING

Mr. BUNNING. Mr. President, I pay tribute and congratulate Elsie Atherton on her reception of the 2004 Champion for the Aging award given to her by ElderServe of Louisville, KY. Ms. Atherton has dedicated herself to helping improve the lives of senior citizens in Kentucky. Her devotion to this cause was put to great work during her time at Metro United Way and United Way of Kentucky. She has done a wonderful public service through her efforts to combat elder abuse and financial exploitation of seniors. She has also been active in delivering meals to homeland senior citizens. The citizens of Kentucky are fortunate to have the leadership of Elsie Atherton. Her example of dedication, hard work and compassion should be an inspiration to all throughout the Commonwealth. She has my most sincere appreciation for this work and I look forward to her continued service to Kentucky.

Mr. BUNNING

Mr. BUNNING. Mr. President, I would like to take a moment today to congratulate Ms. Kelsey Tamayo of Radcliff, KY, for her selection to the From the Top radio showcase. Ms. Tamayo was chosen to represent the Hardin County Schools and the Commonwealth of Kentucky in this national recognition program. Though she is only 15 years old, Ms. Tamayo is an accomplished percussionist. For this showcase, she traveled to Emory University in Atlanta to tape her performance and interview along with other accomplished musicians from around the country. In November, Ms. Tamayo was named one of six winners of the Young Classical Artists Competition sponsored by the School of Music at the University of Louisville. While Ms. Tamayo plays more than 20 instruments, she choose to play the Vibraphone in both the University of Louisville competition and on the From the Top broadcast. Public Radio International's From the Top is a weekly radio series that showcases the nation's most exceptional pre-college age classical musicians. This show has been broadcast since January of 2000 and currently reaches 130 public radio stations and over 240 stations nationwide. The show's slogan is celebrating ordinary kids who do extraordinary things. I would like to congratulate the show and public radio for highlighting the musical successes of our youth. Congratulations again, Ms. Tamayo, on being selected to perform on From the Top. You are truly an inspiration for all of us throughout the Commonwealth of Kentucky. We all look forward to your continued success and achievement.

Mr. BUNNING

Mr. BUNNING. Mr. President, I rise today to pay tribute to Chad Benham of Brandenburg, KY. Recently Mr. Benham has been named as the national winner of the Agricultural Mechanics Energy Systems- Entrepreneurship/Placement Proficiency Award for the Future Farmers of America. The Proficiency Awards recognize achievement by students who have excelled in developing specialized skills that will apply toward a career goal in agriculture. The awards also consider community service and leadership activities of a student. The citizens of Brandenburg, KY are fortunate to have Mr. Benham living and learning in their community. His example of hard work and determination should be followed by all in the Commonwealth of Kentucky. I would like to congratulate Mr. Benham for his success. But also, I want to congratulate all his peers, teachers, administrators, and his parents for their support and sacrifices they have made to help Mr. Benham reach his goal and fulfill his dreams.

Mr. BUNNING

Mr. BUNNING. Mr. President, it is a pleasure to be here today with our colleagues from the House Veterans Affairs Committee and the members of the Veterans of Foreign Wars. The VFW has a rich tradition in enhancing the lives of millions through its community service programs and special projects, and I am proud to have their services in the Commonwealth of Kentucky. The work of our committees is as important as ever because of the thousands of new wartime veterans leaving the service and the increasing needs of our aging veterans. We owe all our veterans a debt of gratitude and I am committed to making sure we provide them with ample benefits and quality medical care. President Bush has proposed significant increases in spending for our veterans, but it is important to keep in mind that his budget is only a starting point. Each year he has requested increases in funding for the VA and Congress has provided even more beyond those requests. The last 2 years Congress has provided unprecedented increases in funding for VA health care. I support another substantial increase for VA health care this year and I am confident we will deliver. In fact, the budget resolution currently before the Senate provides for an extra $1.3 billion for the VA and rejects the proposed co-pay increases and enrollment fees. VA conducts some of the most specialized medical research in our Nation. That research is especially important to disabled veterans. I oppose the proposed cut in VA research. The Budget Committee rejected that cut and I added an additional $101 million for research, a 25 percent increase. Now that the CARES process is wrapping up, VA can begin new construction projects. We will be watching to make sure the Secretary carefully considers all proposed closings. I look forward to seeing new hospitals and clinics opened in Kentucky and around the Nation. Last year I told the Secretary that VA had come a long way in fixing its problems but there was still a long way to go. I am glad to say that the system is stronger this year, but we must not let up. We must keep working to make sure our veterans receive the assistance they need in a timely and convenient manner. I am committed to doing just that. Finally, I recognize all the Kentucky veterans in the hearing room. I had a good visit with some of you in my office earlier this week. Thank you for making the trip today and thank you for your service to our Nation and your fellow veterans.

Mr. BUNNING

Mr. BUNNING. Mr. President, today I take the opportunity to honor Mrs. Alisa Barton of Hopkinsville, KY. Salvation Army welfare coordinator, Alisa Barton, was honored nationwide with an Award of Excellence in Social Service at the National Social Services Conference in Pittsburgh on Tuesday, March 20th. As former military child and wife, Mrs. Barton knows first hand the hardship Army families can experience, especially during times of deployment. Mrs. Barton has continuously worked to help alleviate the needs of families remaining at home while their loved ones serve this country in Afghanistan and Iraq. She developed a program called Homefront War Relief, which has received national recognition for helping the families of deployed Fort Campbell Soldiers. The Homefront War Relief program, partnered with Wal-Mart, allowed the Salvation Army to assist 743 military families resulting in the largest military assistance effort the Salvation Army of Hopkinsville has ever done. Throughout 2003, 5,000 military personnel and their families received assistance in the form of comfort kits to deployed soldiers, food and clothing, holiday meals, and Bibles and inspirational books to troops. Mrs. Barton is dedicated to helping those who come to the Salvation Army in need. She began working with the Salvation Army by ringing donation bells and describes her work as a labor of love spreading the Christian faith and helping people. I ask my colleagues to join me in honoring Mrs. Barton. She is a wonderful asset to Kentucky and an inspiration to us all.

Mr. BUNNING

Mr. BUNNING. Mr. President, I pay tribute and congratulate Tyler Brown of Louisville, KY, on his reception of the Lyman T. Johnson Distinguished Leadership Award given to him by the Louisville Central Community Centers. This award is given to an adult and a youth for outstanding volunteer work. Tyler Brown has proven himself to be an ideal volunteer. While he is only 16 years old, he has already done more volunteer work than many people will do in their whole life. He has worked with Habit for Humanity in Colorado, Florida, and even in Canada. He is also very active in his church, Bethlehem Baptist, where he gives his time to their Dare to Care program in addition to numerous other projects. The citizens of Louisville are fortunate to have a young man like Tyler Brown in their community. His example of dedication, hard work, and compassion should be an inspiration to all throughout the entire Commonwealth. He has my most sincere appreciation for his work and I look forward to his continued service to Kentucky.

Mr. BUNNING

Mr. BUNNING. Mr. President, today I would like to take the opportunity to honor the Earle C. Clements Job Corps Center in Morganfield, KY. One of Job Corps' oldest centers, Earle C. Clements, and its dedicated staff will be marking their 39th anniversary on Wednesday, April 7. The shining record of the Earle C. Clements Job Corps Center is a strong example of the way Job Corps works. When I visited this center in August of 2002, I had the pleasure of witnessing firsthand the competent dedication with which the staff at this Job Corps Center approach the problems of men and women looking for a job and a way to better their lives. The work carried on at the center fills me with confidence that the Federal Government can rely on these men and women to train the American workforce for the needs of the economy and of the American people. The importance of Job Corps and of the Earle C. Clements Center cannot be underestimated. A skilled workforce is the key to a strong economy, to happy and prosperous citizens, to a well-run government, and to a strong nation. The men and women who make our economy work are the backbone of America. Without them our great Nation would be forced to collapse on itself. Training the workforce of America is not simply an isolated act of kindness: every worker also makes an important contribution to the United States that enables it to succeed economically. I believe that a prosperous United States is not only good for the American people but good for the world. I ask that may colleagues join me in honoring the 39 years of excellence and dedication of the Earle C. Clements Job Corps Center in Morganfield, KY. Their years of service and dedication have earned the praise and gratitude of the Senate. I hope for the very best in their continued years of service.

Mr. BUNNING

Mr. BUNNING. Mr. President, today I wish to pay tribute to Whitton Montgomery, of Louisville, KY. Recently, Ms. Montgomery has been named a State honoree for Prudential Spirit of Community Award program fro Kentucky based on her outstanding volunteer services. Prudential Spirit of Community Awards program names only one high school student and one middle-level student in each State and the District of Columbia. As an eight grader at Louisville Collegiate School, Ms. Montgomery was selected from more than 20,000 students for this honor. Ms. Montgomery received this honor because she founded ``Kids Acting Against Cancer,'' a performing arts group that has raised more than $40,000 for research and children with cancer. The citizens of Louisville, KY are fortunate to have Ms. Montgomery living and learning in their community. Her example of hard work and determination should be followed by all in the Commonwealth of Kentucky. I congratulate Ms. Montgomery for her success. But also, I congratulate all her peers, coaches, teachers, administrators, and her parents for their support and sacrifices they have made to help Ms. Montgomery reach this goal and fulfill her dreams.

Mr. BUNNING

Mr. BUNNING. Mr. President, today I wish to pay tribute to Danielle Miller, of Louisville, KY. Recently, Ms. Miller has been named a State honoree for Prudential Spirit of Community Award program for Kentucky based on her outstanding volunteer services. Prudential Spirit of Community Awards program names only one high school student and one middle-level student in each State and the District of Columbia. As a junior at Louisville's Sacred Heart Academy, Ms. Miller was selected from more than 20,000 students for this honor. Ms. Miller received this honor because she founded a service organization called the ``National Awareness Committee'' to provide clothing, books, and other needed items to members of the Lakota Sioux Nation living on reservations in South Dakota. The citizens of Louisville, KY are fortunate to have Ms. Miller living and learning in their community. Her example of hard work and determination should be followed by all in the Commonwealth of Kentucky. I congratulate Ms. Miller for her success. But also, I congratulate all her peers, coaches, teachers, administrators, and her parents for their support and sacrifices they've made to help Ms. Miller reach this goal and fulfill her dreams.

Mr. BUNNING

Mr. BUNNING. Mr. President, today I would like to take the opportunity to honor the 160th birthday of the Green Street Baptist Church in Louisville, KY. The Green Street Baptist Church is one of the oldest and most established African-American churches in Kentucky. It has served as a spiritual focal point for Louisville since it was founded as the Second African Baptist Church by nine slaves. On September 29, 1844 it was opened as the Green Street Baptist Church by pastor Brother George Wells. The Green Street Baptist Church is a historic place that has played a significant role for African-Americans in Louisville. The present church was built in 1930 by the noted African-American architect Samuel Plato. In August of 1967, with H.W. Jones as pastor, the church hosted a rally for voter registration led by Dr. Martin Luther King. As one of the U.S. Senators from Kentucky, I know how important a wonderful center like the Green Street Baptist Church can be to a community. One of the more prominent trustees and a treasurer of the church was a man named Ben Duke, who lived to be 100 years old. I have no doubt that his rewarding involvement with such a great organization like the Green Street Baptist Church contributed to his longevity. I congratulate the Green Street Baptist Church on this momentous occasion of its 160th anniversary. I hoe the church will continue to serve the Louisville community another 160 years and beyond.

Mr. BUNNING

Mr. BUNNING. Mr. President, today I would like to take the opportunity to honor U.S. Navy Airman Justin Teague of Benton, KY. Eighteen-year-old Justin Teague shipped out aboard the USS Enterprise in October of 2003 as a teenager newly graduated from high school and returned March 28, 2004, as an American soldier. The USS Enterprise was deployed October 1, 2003 and visited the northern Arabian Gulf, Afghanistan, Italy, Spain, as well as a few other countries. Teague's job on the flight deck, where he secured planes that had landed and towed them into position, is vital for the function of the carrier. Justin admits his position was stressful but the hardest thing he had to endure was losing his best friend from home in a car accident while at sea. Despite missing the funeral, he remained positive throughout his journey and hopes to make a career out of the military. Justin Teague's parents are exceedingly proud of their son, and I am proud to have him as a fellow Kentuckian. In this time of conflict, it is important to remember the young people who risk their lives to ensure our freedom. Men like Justin should be commended for their dedication and hard work in the military. We need to remember to thank our soldiers whenever the opportunity arises.

Mr. BUNNING

Mr. BUNNING. Mr. President, I am happy to join with my colleagues in offering an amendment to address the net operating loss NOL rules in the Internal Revenue Code. The NOL carryback and carryover rules are designed to allow taxpayers to ease swings in business income that result from business cycle fluctuations and unexpected financial losses. I am certain that every Senator on the floor will admit that the last few years have been difficult for many American companies. But we have finally turned the corner and are headed to economic recovery. Businesses are finally ready to reinvest in equipment and, more importantly, create new jobs. The NOL provisions increase the cash flow of many struggling American companies and help them to hire and retain workers and fund capital investments. Under current law, companies may carry back NOL for 2 years. In the Job Creation and Worker Assistance Act of 2002, however, we here in Congress recognized the difficult circumstances that many American businesses have found themselves in during recent years and have granted them temporary relief by allowing NOL to be carried back for 5 years, rather than 2. That 5-year carryback provision expired at the end of 2002. I believe that it makes sense to extend the relief we have granted in the past in the form of a 5-year NOL carryback for one additional year. While the economy started showing strong signs of economic recovery last year, there were still many taxpayers who incurred unexpected financial losses in 2003. Now is not the time to roll back important tax provisions that are among the very reasons we are now on the road to economic recovery. We need to give American companies every opportunity to expand and invest. I led the fight with my colleague, Senator Conrad, to extend the 5- year carryback provision to 2003 when we passed the bill before us out of the Finance Committee with strong bipartisan support last fall. Senator Conrad and I were able to include in the Finance Committee- approved bill a 3-year carryback for 2003. The amendment I offer with my colleagues today will expand upon what we achieved in committee by simply returning the NOL carryback rule for 2003 to the 5-year period rather than the 3-year period currently provided for in this legislation. This important amendment will give much needed relief to U.S. employers and provide an additional jump start to our economy.

Mr. BUNNING

Mr. BUNNING. Mr. President, today I would like to take the opportunity to honor the service of Mr. Jerry Brewer of Flatwoods, KY. It is wonderful to see him finally receiving the recognition for his service that he has deserved for so long. On March 6, 2004, Mr. Brewer finally received decorations for his outstanding service in combat that he performed while in the army in Vietnam. A special thanks goes out to his daughter, Ms. Melissa Ashworth, for her hard work in correcting this oversight. Mr. Brewer served in Vietnam in 1969 and 1970 as a member of the 478th Engineer Battalion of the 11th Infantry Brigade. He did receive a Purple Heart, but his other medals were unfortunately delayed for over three decades. However, last Saturday Mr. Brewer finally received the medals that he had earned. He was awarded with the Bronze Star, another Purple Heart, the Vietnam Service medal, the National Defense Service medal, the Good Conduct medal, the Republic of Vietnam Campaign medal, the Vietnam Cross of Gallantry, and the Combat Infantryman's Badge. As one of the U.S. Senators from Kentucky, I know that Mr. Jerry Brewer served as a fine example of what it means to be true patriot and an American of the highest caliber. We must remember that the American way of life has been made possible by the bravery of men and women like Mr. Brewer. When freedom has been challenged, many like him have answered the call to arms. We must never forget that.

Mr. BUNNING

Mr. BUNNING. Mr. President, my amendment provides funds to increase educational benefits for the National Guard and Reserve members under the GI bill. Currently, National Guard and Reserve members are eligible for only $282 per month under the GI bill. That is only 27 percent of the amount active-duty members can get. In 1985, Congress set educational benefits for our Guard and Reserve members at 47 percent of the active-duty benefit level. Since then, it has continued to slip to today's levels of 27 percent. My provision provides the funds needed to bring Guard and Reserve benefits back to that 40-percent mark. Today, we are using our National Guard and Reserve, as Senator Graham said, more than ever. They are being deployed away from their homes and families for longer periods of time and put in harm's way. We should provide them with educational benefits that reflect the contributions they make to our national security. I urge Members to support the Graham amendment.

Mr. BUNNING. Mr. President, I express my support for the budget resolution. We have seen tough economic times take jobs from the average American. We have seen new spending in the face of terrorism and war increase the deficit. Today we respond with a budget resolution that will set the correct tone for our country. We now see that the President's tax cuts we passed in 2001 and 2003 are jumpstarting the American economy and providing us with some positive movement in job creation. This budget will extend the tax reductions that have fueled our economy and have helped the average American worker. Thanks to this budget resolution, we will reduce the deficit by $139 billion to a total deficit of $338 billion in 2005. Our reductions follow the President's plan to cut the deficit as a percentage of our economy in half by 2006. We will hold the line with an $814 billion cap on discretionary spending and even decrease mandatory spending by $5.7 billion. This budget is a blueprint for America tomorrow that recognizes the realities of today. Those realities call for strong budgets for our military and for the State Department. There are real threats on the horizon that we cannot ignore. We must have the manpower, infrastructure, and intelligence network to protect all Americans from the threat of terrorism. We cannot afford to lose sight of the importance of these programs. Of course, spending more in the budget to protect Americans means that some other worthy programs will have to face a little belt- tightening. But as we review our spending levels, we have an opportunity to allocate some new monies and focus on new priorities. One such program is the Pell Grant program. Since 2001, Pell Grant funding has increased by 47 percent. In committee, I was able to amend the budget resolution to increase Pell Grants for students who are willing to work harder in high school. This $33 million program will allow students who participate in a ``State Scholars Program'' to receive an extra $1,000 for their college education. We will seek out those students who work harder and strive for better college preparation from their high school education and reward them with more money for college. Motivating our young Americans to learn today will create a skilled workforce tomorrow. Another area we have expanded is veteran's medical research. The Budget Committee unanimously agreed to my amendment to add $536 million in funding over 5 years for veteran's medical and prosthetic research. That is a 25 percent increase in fiscal year 2005 funding over this year's level. We owe it to the men and women of the armed forces to expand these programs. And breakthroughs in medical research funded by this program will benefit all Americans, not just those in uniform. But one of the most important provisions this budget addresses is the tax cuts we have fought so hard to enact over the last few years. We have to stop the average American from getting a tax increase next year. That is why this budget will extend several provisions that are set to expire at the end of this year, including the $1,000 per child tax credit, the 10 percent income tax bracket expansion, and marriage penalty relief. We passed these tax cuts to help the American family. And just as America is finally getting back on track and creating new jobs, we can't throw the weight of a tax increase on the shoulders of working Americans. This budget offers responsible spending, protects the tax cuts that have stimulated our economy, and cuts the deficit. We have taken a hard look at our priorities and how we can help the economy. But we're getting stiff resistance from across the aisle. They have attacked these needed tax cut extensions and sensible spending policies. But they offer no constructive criticism or alternative solutions. They just throw rocks and complain about our budget proposal. When they ran the Budget Committee, they couldn't even get a budget that could pass on the floor of the Senate. We also hear complaints about Social Security. Where is their plan to grapple with the future of Social Security? Where were they when the Clinton budgets ``spent'' the Social Security Surplus? As our Budget Committee chairman said this morning, this budget will treat Social Security exactly the same as past budgets. The trust fund balances are available for future benefit payments, just as they were described in the fiscal year 2000 Clinton budget, which said, ``they do not consist of real economic assets that can be drawn down in the future to fund benefits.'' We'll keep our Social Security money in treasury bills just as we always have and in fact, are required to do by law. I am ready to tackle the problems Social Security will face in the next several decades. I, unlike many who just complain about the problem, have spent a lot of time thinking about Social Security, particularly during my time as chairman of the Social Security subcommittee in the House. In the past, I have even drafted and introduced an option for improving the system. Very few can say that. All can complain, but few are willing to be constructive. I hope my colleagues can look past the partisan bias and rhetoric coming from some across the aisle. We drafted in the Budget Committee a serious proposal that addresses spending levels and our economy. I support this budget before us today because it recognizes the realities of our world, the necessity to limit spending, and the importance of creating jobs and keeping the average American on the road to economic recovery. I urge my colleagues to support the budget resolution before us. (At the request of Mr. Daschle, the following statement was ordered to be printed in the Record.)

Mr. BUNNING

Mr. BUNNING. Will the Senator from Utah yield?