Alfonse D’Amato

Mr. D'AMATO

Mr. D'AMATO. Mr. President, today I am introducing legislation to strengthen protections to retirees who, through no fault of their own, find themselves without a job or the pension they worked hard for because their company went under. This situation happened in 1991 when Pan Am World Airways went out of business leaving 45,000 employees--15,000 of which reside in New York State--jobless and without their promised pensions. For the last seven years these hardworking Americans have fought a losing battle with the Pension Benefits Guaranty Corporation (PBGC) to get a fair benefit calculation and appeals process. In addition to former Pan Am employees, this issue affects hundreds of thousands of former employees of companies whose pension plans have been taken over by the PBGC. Our senior citizens are a valuable resource to this country. Many of them are entitled to receive private pensions as a result of their loyal years of service to their employers. In 1974, the Employee Retirement Income Security Act (ERISA) was enacted to provide certain basic protections to retirees regarding their pensions. In general, private employers are required to act as fiduciaries with respect to most of their activities in connection with their pension plans. Those fiduciaries are prohibited from commingling plan assets, must provide regular disclosure concerning plan assets and are required to act ``solely in the interest'' of the participants. Participants may bring suit, in Federal Court, if required information is not provided within 30 days of request. A participant may seek a determination of the amount of his or her benefit, in Federal Court, if the plan fails or refuses to render a determination as to the amount of benefit the participant is entitled to receive under the plan. ERISA also created a Federal agency, the PBGC, to pay benefits to participants in pension plans who are unable to pay such benefits. PBGC functions as an insurer, collecting premiums from solvent plans and paying benefits to participants in failed plans. Since the enactment of ERISA, the PBGC has become the Trustee of plans involving more than one million participants. While the PBGC does an admirable job with respect to its obligations to continue payments to participants in terminated plans, those participants do not enjoy the same legal protections guaranteed to all plan participants under ERISA. In general, PBGC performs its functions as a government agency and not as a fiduciary. Mr. President, in plans trusteed by the PBGC, participants have no right to disclosure regarding the amount of their benefits and may not appeal an adverse determination until an appealable decision is rendered--which in many cases does not occur for more than ten years. Once issued, the PBGC decisions must be appealed within 45 days or a participant may lose all rights. If a determination is appealed, participants must follow a complicated and time consuming appeals process. Many of our senior citizens are confused and overwhelmed by this process and as a result, inadvertently surrender many valuable legal rights. In addition, under current law, the PBGC is permitted to commingle funds from all of the retirement plans that it terminates and may use those retirement funds to pay for expenses of other plans as well as its general overhead expenses. At a minimum, our senior citizens, in plans trusteed by the PBGC, need and deserve the same protections accorded to every other participant in a plan covered by ERISA. This bill restores some of those protections and requires that the PBGC issue an appealable decision within one year of the date the PBGC becomes the Trustee of a plan. The bill provides for the establishment of participants' committees to represent the interests of the participants and permits such committee to serve as Trustee of the terminated plan. Where more than one group seeks appointment as Trustee the federal courts would be required to select the Trustee that would best serve the interests of the participants. My bill also establishes a participant advocates office to assist participants with explanations, benefits disputes and, if necessary, to appeal adverse determinations by the PBGC. In addition, the bill clarifies existing law, empowering the federal courts to remove a Trustee in the event the Trustee commits any breach of it fiduciary duty. Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, today I am introducing legislation to strengthen protections to retirees who, through no fault of their own, find themselves without a job or the pension they worked hard for because their company went under. This situation happened in 1991 when Pan Am World Airways went out of business leaving 45,000 employees--15,000 of which reside in New York State--jobless and without their promised pensions. For the last seven years these hardworking Americans have fought a losing battle with the Pension Benefits Guaranty Corporation (PBGC) to get a fair benefit calculation and appeals process. In addition to former Pan Am employees, this issue affects hundreds of thousands of former employees of companies whose pension plans have been taken over by the PBGC. Our senior citizens are a valuable resource to this country. Many of them are entitled to receive private pensions as a result of their loyal years of service to their employers. In 1974, the Employee Retirement Income Security Act (ERISA) was enacted to provide certain basic protections to retirees regarding their pensions. In general, private employers are required to act as fiduciaries with respect to most of their activities in connection with their pension plans. Those fiduciaries are prohibited from commingling plan assets, must provide regular disclosure concerning plan assets and are required to act ``solely in the interest'' of the participants. Participants may bring suit, in Federal Court, if required information is not provided within 30 days of request. A participant may seek a determination of the amount of his or her benefit, in Federal Court, if the plan fails or refuses to render a determination as to the amount of benefit the participant is entitled to receive under the plan. ERISA also created a Federal agency, the PBGC, to pay benefits to participants in pension plans who are unable to pay such benefits. PBGC functions as an insurer, collecting premiums from solvent plans and paying benefits to participants in failed plans. Since the enactment of ERISA, the PBGC has become the Trustee of plans involving more than one million participants. While the PBGC does an admirable job with respect to its obligations to continue payments to participants in terminated plans, those participants do not enjoy the same legal protections guaranteed to all plan participants under ERISA. In general, PBGC performs its functions as a government agency and not as a fiduciary. Mr. President, in plans trusteed by the PBGC, participants have no right to disclosure regarding the amount of their benefits and may not appeal an adverse determination until an appealable decision is rendered--which in many cases does not occur for more than ten years. Once issued, the PBGC decisions must be appealed within 45 days or a participant may lose all rights. If a determination is appealed, participants must follow a complicated and time consuming appeals process. Many of our senior citizens are confused and overwhelmed by this process and as a result, inadvertently surrender many valuable legal rights. In addition, under current law, the PBGC is permitted to commingle funds from all of the retirement plans that it terminates and may use those retirement funds to pay for expenses of other plans as well as its general overhead expenses. At a minimum, our senior citizens, in plans trusteed by the PBGC, need and deserve the same protections accorded to every other participant in a plan covered by ERISA. This bill restores some of those protections and requires that the PBGC issue an appealable decision within one year of the date the PBGC becomes the Trustee of a plan. The bill provides for the establishment of participants' committees to represent the interests of the participants and permits such committee to serve as Trustee of the terminated plan. Where more than one group seeks appointment as Trustee the federal courts would be required to select the Trustee that would best serve the interests of the participants. My bill also establishes a participant advocates office to assist participants with explanations, benefits disputes and, if necessary, to appeal adverse determinations by the PBGC. In addition, the bill clarifies existing law, empowering the federal courts to remove a Trustee in the event the Trustee commits any breach of it fiduciary duty. Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, I ask that the Congressional Budget Office Cost Estimate for S. 2375 the ``International Anti- Bribery Act of 1998'' be printed in the Record. The cost estimate follows: Congressional Budget Office Cost Estimate international anti-bribery act of 1998 CBO estimates that implementing this legislation would not result in any significant cost to the federal government. Because enactment of the bill could affect direct spending and receipts, pay-as-you-go procedures would apply. However, CBO estimates that any impact on direct spending and receipts would not be significant. CBO has determined that this legislation is excluded from the application of the Unfunded Mandates Reform Act (UMRA) under section 4 of that act, because it would amend the Foreign Corrupt Practices Act (FCPA) in ways that are necessary to implement the Organization for Economic Cooperation and Development Convention on Combating Bribery of Foreign Public Officials in International Business Transactions. Section 4 of UMRA excludes from the application of that act any legislative provisions that are necessary for the ratification or implementation of international treaty obligations. The bill would expand the FCPA to cover additional offenses relating to corporate bribery of foreign officials. As a result, the federal government would be able to pursue cases that it otherwise would not be able to prosecute. CBO expects that the government probably would not pursue many such cases, however, so we estimate that any increase in federal costs for law enforcement, court proceedings, or prison operations would not be significant. Any such additional costs would be subject to the availability of appropriated funds. Because those prosecuted and convicted under the bill could be subject to civil and criminal fines, the federal government might collect additional fines (which are categorized as governmental receipts) if the bill is enacted. However, CBO expects that any additional fines would be negligible because of the small number of cases involved. Collections of criminal fines are deposited in the Crime Victims Fund and spent in the following year. Because any increase in direct spending would equal the fines collected with a one-year lag, the additional direct spending from the Crime Victims Fund also would be negligible. The CBO staff contact for this estimate is Mark Grabowicz, who can be reached at 226- 2860. This estimate was approved by Paul N. Van de Water, Assistant Director for Budget Analysis.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, I rise today to join with my colleagues in recognizing Harvey Finkelstein, one of New York's most beloved and esteemed health care executives, as he prepares for his retirement. In a career spanning more than three decades, Harvey Finkelstein, the President and Chief Executive Officer of the Jewish Home and Hospital, has been a pillar of New York's continuing care community. This exceptional individual has devoted his life to caring for and improving the lives of the elderly in New York. Throughout Harvey's distinguished career, he has demonstrated a great knowledge of and commitment to the field of continuing care. He has served as the President and Chief Executive Officer of the Jewish Home and Hospital since 1988. Prior to joining the Jewish Home and Hospital, Harvey was the Associate Executive Director of the Daughters of Jacob Geriatric Center and held positions with Long Island Jewish-Hillside Medical Center and the Queensboro Tuberculosis and Health Association. His sharp intellect combined with his selfless and compassionate spirit have made Harvey a unique leader who is valued and respected by all. During Harvey's tenure as President and CEO, the Jewish Home and Hospital has gained widespread recognition as an exemplary long term care organization, developing a reputation of excellence for both its extensive continuum of senior care services and its innovative geriatric education programs. Most important, it has remained ever focused on its essential mission--providing its residents with the opportunity to live lives filled with dignity, meaning, and respect. In addition to his professional responsibilities at the Jewish Home, Harvey has also made a wide range of important contributions to the New York health care community. Harvey has taught extensively on topics related to geriatrics and long term care. His teaching includes classes at the Mt. Sinai School of Medicine, the New School for Social Research, The Brookdale Center on Aging of Hunter College and New York University. Harvey has also published in Journal of Vision Rehabilitation, Contemporary Administrator, and Journal of American College of Emergency Physicians. Harvey has been an active member of several provider associations including the Greater New York Hospital Association and the National Association of Jewish Aging Services. He also advises the UJA-Federation of New York and the Council of Jewish Federations. Mr. President, as Harvey Finkelstein looks toward his retirement, I ask my colleagues to join with me in expressing their great appreciation and admiration for all of the contributions and achievements of this exceptional leader. We wish him and his family health and happiness in the upcoming years.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, today I introduce a bill with my friend and colleague, Senator Moynihan, that would eliminate a fundamental unfairness in the application of the U.S. tax law to taxpayers that have income from foreign sources. A U.S. citizen or domestic corporation that earns income from sources outside the United States generally is subject to tax by a foreign government on that income. The taxpayer also is subject to U.S. tax on that same income, even though it is earned outside the United States. Thus, the same income is subject to tax both in the country in which it is earned and in the United States. However, the United States allows taxpayers to treat the foreign taxes paid on their foreign-source income as an offset against the U.S. tax with respect to that same income. This offset is accomplished through the foreign tax credit. In other words, the foreign tax paid on foreign-source income is treated as a credit against the U.S. tax that otherwise would be payable on that same income. Although the details of the foreign tax credit rules are extraordinarily complex (as are the international provisions of the International Revenue Code generally), the basic principle is simple: to provide relief from double taxation. When it comes to the alternative minimum tax (AMT), this basic principle of providing relief from double taxation falls by the wayside. The AMT was enacted to ensure that individuals and businesses that qualify for various ``preferences'' in the tax rules nevertheless are subject to a minimum level of taxation. However, the foreign tax credit provisions of the AMT operate to ensure double taxation. Under these AMT rules, the allowable foreign tax credit is limited to 90 percent of the taxpayer's alternative minimum tax liability. Because of this limitation, income that is subject to foreign tax is subject also to the U.S. AMT. The result is double (and even triple) taxation of income that is used to support U.S. jobs, R&D and other activities. Mr. President, there is no rational basis for denying relief from double taxation to that class of taxpayers that are subject to the AMT. Accordingly, the bill Senator Moynihan and I are introducing today will eliminate the 90 percent limitation on foreign tax credits for AMT purposes. By repealing this limitation, relief from double taxation will be provided to taxpayers that are subject to the AMT in the same manner as it is provided to those taxpayers that are subject to the regular tax. I would hope that our colleagues on both sides of the aisle will join in cosponsoring this necessary legislation. I ask unanimous consent that the text of the bill be included in the Record.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, today I introduce a bill with my friend and colleague, Senator Moynihan, that would eliminate a fundamental unfairness in the application of the U.S. tax law to taxpayers that have income from foreign sources. A U.S. citizen or domestic corporation that earns income from sources outside the United States generally is subject to tax by a foreign government on that income. The taxpayer also is subject to U.S. tax on that same income, even though it is earned outside the United States. Thus, the same income is subject to tax both in the country in which it is earned and in the United States. However, the United States allows taxpayers to treat the foreign taxes paid on their foreign-source income as an offset against the U.S. tax with respect to that same income. This offset is accomplished through the foreign tax credit. In other words, the foreign tax paid on foreign-source income is treated as a credit against the U.S. tax that otherwise would be payable on that same income. Although the details of the foreign tax credit rules are extraordinarily complex (as are the international provisions of the International Revenue Code generally), the basic principle is simple: to provide relief from double taxation. When it comes to the alternative minimum tax (AMT), this basic principle of providing relief from double taxation falls by the wayside. The AMT was enacted to ensure that individuals and businesses that qualify for various ``preferences'' in the tax rules nevertheless are subject to a minimum level of taxation. However, the foreign tax credit provisions of the AMT operate to ensure double taxation. Under these AMT rules, the allowable foreign tax credit is limited to 90 percent of the taxpayer's alternative minimum tax liability. Because of this limitation, income that is subject to foreign tax is subject also to the U.S. AMT. The result is double (and even triple) taxation of income that is used to support U.S. jobs, R&D and other activities. Mr. President, there is no rational basis for denying relief from double taxation to that class of taxpayers that are subject to the AMT. Accordingly, the bill Senator Moynihan and I are introducing today will eliminate the 90 percent limitation on foreign tax credits for AMT purposes. By repealing this limitation, relief from double taxation will be provided to taxpayers that are subject to the AMT in the same manner as it is provided to those taxpayers that are subject to the regular tax. I would hope that our colleagues on both sides of the aisle will join in cosponsoring this necessary legislation. I ask unanimous consent that the text of the bill be included in the Record.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, today along with my colleague Mr. Reed of Rhode Island I introduce legislation that will require country of origin marking on imported costume jewelry in order to better inform American consumers about the country of origin of their costume jewelry purchases. The jewelry industry in the U.S. consisted of more than 3500 companies and 55,000 American workers in 1994, with sales totaling in the billions of dollars annually. In 1977 imports of costume and fine jewelry were about 14% of the jewelry sales in the U.S. By 1994 the imported costume jewelry sales reached 26% of all costume jewelry sales, and 50% of all fine jewelry sales. This increase in imports led to a decline in employment in the U.S. jewelry manufacturing industry by 26%. Of course we all favor the advantages that come from foreign competition in the marketplace. And we also favor informed consumers. Currently, imported jewelry is one of the few products that does not require a country of origin stamp. This bill will require imported costume jewelry to be stamped in English with the country of origin. This eliminates the problem of removal or loss of adhesive labels or tags that state the country of origin prior to reaching the retail store. In this way we respect the integrity of our American workers by removing any question as to the origin of any costume jewelry purchases. This bill is a reasonable and low-cost response that extends the country of origin marking law to cover a product that should be included. With the increasing wealth of our country, the sales of jewelry are increasing and those who wish to know the country of manufacture of their jewelry will be easily satisfied by a simple stamp or imprint on these items. This jewelry should be subject to same rules as all other imports. The industry trade group, The Manufacturers, Jewelers, and Silversmiths of America, also support this bill. I urge my colleagues to support this bill as well.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, today along with my colleague Mr. Reed of Rhode Island I introduce legislation that will require country of origin marking on imported costume jewelry in order to better inform American consumers about the country of origin of their costume jewelry purchases. The jewelry industry in the U.S. consisted of more than 3500 companies and 55,000 American workers in 1994, with sales totaling in the billions of dollars annually. In 1977 imports of costume and fine jewelry were about 14% of the jewelry sales in the U.S. By 1994 the imported costume jewelry sales reached 26% of all costume jewelry sales, and 50% of all fine jewelry sales. This increase in imports led to a decline in employment in the U.S. jewelry manufacturing industry by 26%. Of course we all favor the advantages that come from foreign competition in the marketplace. And we also favor informed consumers. Currently, imported jewelry is one of the few products that does not require a country of origin stamp. This bill will require imported costume jewelry to be stamped in English with the country of origin. This eliminates the problem of removal or loss of adhesive labels or tags that state the country of origin prior to reaching the retail store. In this way we respect the integrity of our American workers by removing any question as to the origin of any costume jewelry purchases. This bill is a reasonable and low-cost response that extends the country of origin marking law to cover a product that should be included. With the increasing wealth of our country, the sales of jewelry are increasing and those who wish to know the country of manufacture of their jewelry will be easily satisfied by a simple stamp or imprint on these items. This jewelry should be subject to same rules as all other imports. The industry trade group, The Manufacturers, Jewelers, and Silversmiths of America, also support this bill. I urge my colleagues to support this bill as well.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, I rise today to introduce important pro- consumer legislation to protect the privacy of confidential financial information for every American. The Financial Information Privacy Act will make it a federal crime to obtain or attempt to obtain private consumer information from our nation's financial institutions through the use of false, fictitious or fraudulent statements. Mr. President, the exploitation of personal information by unscrupulous ``information brokers'' and individuals attempting to pry into the private financial affairs of others is an issue of vital concern to every American. A flourishing industry of ``information brokers'' has emerged as detailed in hearings held just last month by the House Banking Committee. These individuals use deceptive practices, such as lying about their identity on the phone, in order to obtain personal customer information for resale. Armed with personal information such as bank account balances, account numbers and transaction activity, this information can be used to build a profile of a consumer which can be bought and sold in the marketplace. Advances in technology have enabled information brokers to inexpensively create enormous databases of individual profiles and use the Internet to market their information worldwide. Mr. President, these same techniques are used by criminals to obtain information to create fraudulent credit applications that can quickly destroy a victims credit worthiness and require months of effort to clear up. The problem is growing exponentially. One of the leading credit reporting services reports that since 1992, the number of financial fraud cases where individuals have pretended to be another person has risen from 32,000 to more than 500,000 in 1997. I believe the evidence is clear that inadequate financial privacy laws are a significant factor in this rise. Americans demand and rightfully expect the privacy of personal financial information. While existing laws do provide protection against unfair and deceptive practices, there is no federal law that expressly prohibits acquiring personal customer account information under false pretenses. Banking groups and federal regulatory agencies have all testified that this legislation would be an important tool to protect consumers from the invasive practices of information brokers. Passage of this measure will make it clear that Congress will not tolerate this invasion of privacy and will do whatever is necessary to insure that the private financial information of our citizens remains private. Mr. President, in closing I want to comment Chairman Leach for his quick action in the House to move this measure forward. Working together with our House colleagues, we have an opportunity to greatly strengthen the privacy laws that safeguard the personal financial information of every American. I urge my colleagues to vote in favor of this vital legislation. I ask unanimous consent that the full text of this bill be printed in the Record.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, I rise today to introduce important pro- consumer legislation to protect the privacy of confidential financial information for every American. The Financial Information Privacy Act will make it a federal crime to obtain or attempt to obtain private consumer information from our nation's financial institutions through the use of false, fictitious or fraudulent statements. Mr. President, the exploitation of personal information by unscrupulous ``information brokers'' and individuals attempting to pry into the private financial affairs of others is an issue of vital concern to every American. A flourishing industry of ``information brokers'' has emerged as detailed in hearings held just last month by the House Banking Committee. These individuals use deceptive practices, such as lying about their identity on the phone, in order to obtain personal customer information for resale. Armed with personal information such as bank account balances, account numbers and transaction activity, this information can be used to build a profile of a consumer which can be bought and sold in the marketplace. Advances in technology have enabled information brokers to inexpensively create enormous databases of individual profiles and use the Internet to market their information worldwide. Mr. President, these same techniques are used by criminals to obtain information to create fraudulent credit applications that can quickly destroy a victims credit worthiness and require months of effort to clear up. The problem is growing exponentially. One of the leading credit reporting services reports that since 1992, the number of financial fraud cases where individuals have pretended to be another person has risen from 32,000 to more than 500,000 in 1997. I believe the evidence is clear that inadequate financial privacy laws are a significant factor in this rise. Americans demand and rightfully expect the privacy of personal financial information. While existing laws do provide protection against unfair and deceptive practices, there is no federal law that expressly prohibits acquiring personal customer account information under false pretenses. Banking groups and federal regulatory agencies have all testified that this legislation would be an important tool to protect consumers from the invasive practices of information brokers. Passage of this measure will make it clear that Congress will not tolerate this invasion of privacy and will do whatever is necessary to insure that the private financial information of our citizens remains private. Mr. President, in closing I want to comment Chairman Leach for his quick action in the House to move this measure forward. Working together with our House colleagues, we have an opportunity to greatly strengthen the privacy laws that safeguard the personal financial information of every American. I urge my colleagues to vote in favor of this vital legislation. I ask unanimous consent that the full text of this bill be printed in the Record.

Mr. D'AMATO

Mr. D'AMATO. Mr. Chairman, I would like to join my colleague in expressing my support for the work the Appropriations Committee has done this year. It is important that we maintain our strong support for Northern Ireland and the Republic, and the funds made available to the IFI in the upcoming fiscal year are a critical step. In the wake of the passage of the Good Friday Accords, I have been working with Senator Torricelli over the past several months to determine a method that will best express the United States' support for peace in Northern Ireland. At this point in time, I would like to request your support for consideration of additional funding to the IFI, should it become available in the future.

Mr. D'AMATO

Mr. D'AMATO. I thank the chair. (The remarks of Mr. D'Amato pertaining to the introduction of S. 2419 are located in today's Record under ``Statements on Introduced Bills and Joint Resolutions.'')

Mr. D'AMATO

Mr. D'AMATO. Mr. President, I ask unanimous consent that the text of the bill, S. 2419, be printed in the Record.

Mr. D'AMATO. Mr. President, I rise with my friend and colleague, Senator Mack, to introduce the MERIT Act. The MERIT Act seeks to reward those teachers who provide, day in and day out, magic in the classrooms, to reward them with a salary to match their importance. We should develop a methodology of rewarding those truly outstanding teachers and seeing to it that we keep them, retain them. Truly outstanding teachers are the unsung heroes of our communities. Unfortunately, however, great education does not take place for every child in every classroom, and that is sad. But it is something we can strive for and work to change. The bill that Senator Mack and I introduce comes on the heels of receiving some discouraging news, news from Massachusetts where a test of prospective teachers was given and nearly 60 percent of them failed. It was a test at the eighth-grade level. I firmly believe that most New York teachers are very good. But, nonetheless, I must ask the question, Why not have the best? Why not reach out to them? Why not attract them? The Massachusetts test was a good idea, but we should also give periodic competency tests to teachers who are already in the system. Most teachers are very dedicated and highly competent, but some are not. Some teachers who are highly skilled in one or two subject areas may be forced to teach other subjects in which they lack the competence. When that happens, our children are the ones who suffer. Another desperately needed reform is merit pay for outstanding teachers. We must reward the best teachers. In most of our Nation's schools there is no financial incentive for the truly outstanding teachers. Great teachers, who help our children achieve educational excellence, should be rewarded. The measure introduced today by Senator Mack and myself, the MERIT Act, is the same measure that passed the Senate on April 21 by a vote of 63 to 35. This legislation provides incentives for States to establish periodic teacher assessments and merit rewards. Incentives are provided through the Eisenhower Professional Development Program. The measure sets aside 50 percent of the funds appropriated over the fiscal year 1999 levels in the program, and then distributes them to States that have established teacher testing and merit pay. Last year, fiscal year 1998, Congress appropriated $335 million for this program to subsidize training for teachers. That is an increase of $25 million from the year before. Should we not be able to use this program to ensure that teachers are actually improving their teaching skills, as well as substantive knowledge? Teacher testing will help accomplish that goal. But let me be clear. As the Eisenhower Professional Development Program funding increases, so will each State and local government's share, with 50 percent of the increase reserved for those States that put in place a mechanism by which to periodically measure the ability, knowledge, and skills of teachers, and implement a pay scale to reward those determined and dedicated teachers. When we look at reforming our public schools, one thing must always be kept foremost in our efforts, and that is, we must put our children first. Our children are the best and the brightest. They are our most precious resource. So, when it comes to recruiting and retaining the best young professionals, I believe, in order to do that, we are going to have to pay them adequately. We are going to have to reward their accomplishments and see to it that the truly outstanding are rewarded with merit pay so we can assure our children get that opportunity. I hope our colleagues will join in this effort to improve America's schools and help prepare our children for the 21st century.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, I rise today, pleased to urge bipartisan support for and passage of H.R. 3506, the Gerald R. and Betty Ford Congressional Gold Medal Act. Mr. President, this bill commemorates a number of anniversaries that few individuals succeed in reaching. This year is quite a milestone for our former thirty-eight President and First Lady. First and foremost, Gerald Ford celebrated his 85th birthday on July 14 and Betty Ford celebrated her 80th birthday on April 8. This October marks another anniversary well worth mentioning--the 50th wedding anniversary of Gerald and Betty Ford. In 1948, they were wed only a few weeks before Gerald Ford won his first term in the House of Representatives. The Fords returned to Washington every term thereafter until 1974. Gerald Ford served as House Minority Leader from 1965 to 1973. And finally Mr. President, this year commemorates the 25th anniversary of Gerald Ford becoming the first Vice President chosen under the terms of the Twenty-fifth Amendment. Less than a year later, he succeeded the first President ever to resign. President and First Lady Ford led our country with bravery and dignity during a time that he declared upon his inauguration, ``. . . troubles our minds and hurts our hearts.'' Gerald Ford was faced with seemingly unsurmountable tasks when he took the oath of office of the Presidency on August 9, 1974. There were the challenges of mastering inflation, reviving a depressed economy, solving chronic energy shortages, and trying to ensure world peace. For their first twenty five years in Washington, Betty Ford not only was instrumental in rearing the four Ford children, she supervised the home, did the cooking, undertook volunteer work, and took part in the ``House wives'' and ``Senate wives'' for Congressional and Republican clubs. In addition, she was an effective campaigner for her husband. In 1974, Mrs. Ford set aside personal need for privacy when she openly discussed her experience from radical surgery for breast cancer. She reassured troubled women across the country with her openness, care and bravery. H.R. 3506, a bill authorizing the President to award Gerald R. and Betty Ford the congressional gold medal, passed the House by unanimous consent on July 29, 1998. It is my sincere hope that the Senate act expeditiously on this legislation. Mr. President, this honor, the highest award bestowed by the United States Congress, is a fitting tribute to life-long public service and dedication bestowed upon the American people by the thirty-eight President and First Lady, Gerald and Betty Ford. In addition, it is a wonderful way for all of Congress to commemorate and congratulate the Fords on their fifty years of commitment to one another. On behalf of all my colleagues, I wish them many more happy years together.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, today this body formally approved the nomination of Raymond W. Kelly, of New York, to be Commissioner of Customs. I am deeply, deeply pleased and believe that we have a Customs Commissioner of whom we can be proud, who will do the kind of outstanding work that Ray Kelly has done over the years in law enforcement. He is a native New Yorker. He spent quite a bit of his time as a young man in the village of Island Park, where I live and grew up. So it is a great pleasure to see him come to this highly regarded position. I know he is going to be an outstanding Commissioner, and I look forward to working with him.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, the Committee on Banking, Housing, and Urban Affairs reported S. 1283, the ``Little Rock Nine Congressional Gold Medal Act'' on Friday, June 26, 1998. The Committee report, S. 105-245, was filed on Friday, July 10, 1998. The Congressional Budget Office cost estimate required by Senate Rule XXVI, section 11(b) of the Standing Rules of the Senate and section 403 of the Congressional Budget Impoundment and Control Act, was not available at the time of filing and, therefore, was not included in the Committee Report. Instead, the Committee indicated the Congressional Budget Office cost estimate would be published in the Congressional Record when it became available. Mr. President, I ask that the full statement and cover letter from the Congressional Budget Office regarding S. 1283 be printed in the Record. The material follows: U.S. Congress, Congressional Budget Office, Washington, DC, July 23, 1998. Hon. Alfonse M. D'Amato, Chairman, Committee on Banking, Housing, and Urban Affairs, U.S. Senate, Washington, DC. Dear Mr. Chairman: The Congressional Budget Office has prepared the enclosed cost estimate for S. 1283, an act to award congressional gold medals to the ``Little Rock Nine'' on the occasion of the 40th anniversary of the integration of the Central High School in Little Rock, Arkansas. If you wish further details on this estimate, we will be pleased to provide them. The CBO staff contact is John R. Righter. Sincerely, June E. O'Neill, Director. Enclosure. Congressional Budget Office Cost Estimate S. 1283--An act to award congressional gold medals to the ``Little Rock Nine'' on the occasion of the 40th anniversary of the integration of the Central High School in Little Rock, Arkansas S. 1283 would authorize the President to present gold medals to Jean Brown Trickey, Carlotta Walls LaNier, Melba Patillo Beals, Terrence Roberts, Gloria Ray Karlmark, Thelma Mothershed Wair, Ernest Green, Elizabeth Eckford, and Jefferson Thomas, referred to as the ``Little Rock Nine,'' on behalf of the Congress. To help recover the costs of the gold medals, the legislation would authorize the U.S. Mint to strike and sell bronze duplicates of the medals at a price that covers production costs for both the medals and the duplicates. Based on the costs of recent medals produced by the Mint, CBO estimates that authorizing the gold medals would increase direct spending from the U.S. Mint Public Enterprise Fund by about $65,000 in fiscal year 1999, largely to cover the cost of the gold for each medal. The Mint could recoup some of those costs by selling bronze duplicates to the public; however, based on the sales of duplicates in previous cases, we expect that the proceeds from the duplicates would not cover the cost of the medals. In addition to authorizing the gold medals, the legislation would allow the Mint to continue selling coins commemorating Jackie Robinson through the end of this calendar year. CBO estimates that extending the time by which the Mint can sell these coins would increase collections to the Mint by about $1 million over fiscal years 1998 and 1999. (The Mint's authority to sell the coins expired on July 1.) According to the Mint, it has close to 80,000 coins in its inventory. If the Mint were to sell all of its remaining inventory, it would generate between $3 million and $5 million in additional collections, net of surcharges that must be paid to the Jackie Robinson Foundation, a nonprofit organization. That range depends on whether the Mint would sell some or all of the coins in bulk at a discounted price. Based on the sales of previous commemorative coin programs and because the coins were available already for purchase by the public, CBO expects that the Mint would sell far less than the amount of its remaining inventory. In any event, because the Mint can retain and spend the additional collections on other commercial activities, CBO estimates that the provision would have no net budgetary impact over time. S. 1283 would affect direct spending, so pay-as-you-go procedures would apply. S. 1283 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act and would not affect the budgets of state, local, or tribal governments. The CBO staff contact is John R. Righter. This estimate was approved by Paul N. Van de Water, Assistant Director for Budget Analysis.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, I ask that the Congressional Budget Office Cost Estimate for H.R. 1151, the Credit Union Membership Access Act, be printed in the Record. The Senate completed action on H.R. 1151 on July 28, 1998. The cost estimate follows: Congressional Budget Office Cost Estimate H.R. 1151--Credit Union Membership Access Act Summary: H.R. 1151 would establish new guidelines governing eligibility for membership in credit unions; establish a framework of safety and soundness regulations for credit unions consistent with that for banks and savings and loans; and allow the National Credit Union Administration (NCUA) to increase assessments that credit unions pay into the National Credit Union Share Insurance Fund (NCUSIF) and to increase the normal operating balance of the fund. CBO estimates that implementing the act would increase net assessments paid to the NCUSIF BY $510 million over the 1999-2003 period, thereby reducing net outlays by that amount. The Joint Committee on Taxation (JCT) estimates that enacting H.R. 1151 would lead to a shift of deposits from financial institutions that pay federal income taxes to credit unions, which are not subject to federal income tax, resulting in revenue losses to the federal government totaling $143 million through 2003. Because H.R. 1151 would affect both revenues and direct spending, it would be subject to pay-as-you-go procedures. H.R. 1151 contains intergovernmental mandates as defined in the Unfunded Mandates Reform Act (UMRA) because it would, in certain circumstances, preempt state laws regulating credit unions. CBO estimates that the cost of such mandates would be minimal. Other impacts on states would also not be significant. H.R. 1151 would not impose mandates or have other budgetary impacts on local or tribal governments. H.R. 1151 would impose new private-sector mandates, as defined by UMRA, on federally insured credit unions. CBO estimates that the cost of those mandates would not exceed the statutory threshold established in UMRA ($100 million in one year, adjusted annually for inflation). Other provisions of the bill would benefit some credit unions by reversing the effects of a recent Supreme Court Decision, thus allowing federal credit unions to organize with members from unrelated occupational groups.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, I ask unanimous consent that reading of the amendment be dispensed with.

Mr. D'AMATO. Mr. President, I rise to make a few closing remarks on a job we are close to finishing--to preserve and protect the right of all Americans to join a credit union, now and into the future, and ensure that none of the 73 million Americans who are now members of credit unions have their membership status threatened in any way. credit unions work for the little guy People love their credit unions and why? Because credit unions take care of the little guy. This Senator is committed to not let these people down. We must pass this legislation and have it enacted to preserve the right of Americans to be members of a credit union. credit unions invest in people and communities when others will not For decades, the American dream has been made a reality by credit unions. These cooperatives have reached out to individuals, associations and communities that have had the door slammed in their faces by other institutions. Tens of millions of hard working people have improved their quality of life and passed the benefits along to their families, but all of that could change if we don't act. credit unions provide basic financial services without excessive fees Mr. President, I know this is a very personal issue, a pocketbook issue, for the over 70 million current members. For example, many people may not be aware that-- Credit unions have had the highest customer service and satisfaction ranking of any depository institution for the past 14 years. Credit unions offer more services at lower costs than most banks. Credit union competition is a major force keeping bank service fees and loan rates lower, and interest on savings higher. Why such amazing support for a financial institution? The answer is simple. Credit unions are for the little guy. Credit unions make a difference. credit unions put consumers first To their customers, credit unions are far more than just a safe place to put away a few dollars for tomorrow. Making a deposit or withdrawal is more than just a business transaction. A credit union has an atmosphere that says friendship and family. The elected leadership is made up of volunteers who actually listen. Tellers actually talk to their customers. With service like that, why wouldn't customers like going to their credit union? It's all about neighbors and fellow employees getting together, working together and investing together for everyone's benefit. Just ask any credit union member. Mr. President, let me emphasize that those who support credit unions are not anti-bank. After all, many credit union members also have bank accounts. And it also deserves comment that--without any cost to the taxpayer--credit unions have weathered the serious economic downturns that have affected other financial providers. And that's something to be proud of. Mr. President, the Senate should follow the House vote of 411 to 8 to act to save credit unions based on the principle that competition is beneficial. Without competition, interest rates paid to customers would be lower and loans and ATM fees would be more expensive. Congress should only act in ways that would increase competition between financial institutions. credit unions care about hard working Americans As a matter of principle, it should also be the responsibility of Congress to put the consumer first. We should pass legislation that is all about what is best for individuals, small businesses, large businesses and anyone who needs the services of a financial institution. And that means no one--no one--should be thrown out of a credit union and then forced to do business with another financial institution against their will. This Senator intends to make sure that does not happen. Mr. President, hardworking families have a right to choices and opportunities. People with savings of less than $1,000--individuals who struggle each week to pay the mortgage, put food on the table, and put something away for the future--deserve the same financial choices and opportunities that other Americans enjoy. Credit unions are good for the consumer and good for the country. Mr. President, credit unions work for working families. Mr. President, again I urge my colleagues to support this legislation and vote to pass H.R. 1151, the Credit Union Membership Access Act as our colleagues did in the House with an overwhelming vote. Mr. President, I suggest the absence of a quorum.

Mr. D'AMATO. Mr. President, I ask unanimous consent that the order for the quorum call be rescinded.

Mr. D'AMATO. Mr. President, I ask for the yeas and nays.

Mr. D'AMATO

Mr. D'AMATO. Mr. President, I ask unanimous consent that the Senate Committee on Commerce, Science, and Transportation be authorized to meet on Tuesday, July 28, 1998, at 9:30 a.m. on the nominations of Ritajean Butterworth and Diane Blair to be members of the Corporation for Public Broadcasting and Kelley Coyner to be administrator of the Research and Special Programs Administration of the Department of Transportation and immediately following a full committee hearing on cable rates.

Mr. D'AMATO. Mr. President, I ask unanimous consent that the Committee on Energy and Natural Resources be granted permission to meet during the session of the Senate on Tuesday, July 28, for purposes of conducting a full committee hearing which is scheduled to begin at 9:30 a.m. The purpose of this oversight hearing is to receive testimony on the March 31, 1998 Government Accounting Office report on the Forest Service: Review of the Alaska Region's Operating Costs.

Mr. D'AMATO. Mr. President, I ask unanimous consent that the Committee on Finance be permitted to meet Tuesday, July 28, 1998 beginning at 10:00 a.m. in room SH-215, to conduct a markup.