Tom Petri

Mr. PETRI

Mr. PETRI. Mr. Speaker, today, I have introduced legislation to authorize a deduction from corporate income for dividends paid to stockholders. The stock market's continued sluggish performance makes this bill particularly timely. The Dividend Payment Incentive Act of 2002 will help to boost overall stock market performance by providing a very real incentive for investors to put their hard earned money back into the stock market. Allowing corporations a deduction for dividends paid is important for many reasons, including: This legislation will end the double taxation of dividends. Today, there is a 35 percent tax on corporate income and then stockholders also pay regular income tax on dividends received. An investor in the 27 percent tax bracket receives less than 48 cents for each dollar of earnings a corporation designates for dividend payments. Current tax policy provides a disincentive for corporations to transfer earnings to shareholders, and dividend payments have declined significantly. In fact, many corporations make no dividend distributions. My legislation will help to reverse this trend. Clearly, the expectation of receiving regular dividend payments from profitable companies can persuade investors to return their money to our equity markets. Investors relying solely on capital gains may find little reason to purchase stocks. Moreover, it has been estimated that dividends comprised half of the average return to shareholders in the decades before 1990. Without dividend payments, and few reliable capital gains, investors will remain on the sidelines. An increasing number of Americans have come to equate their financial well-being with the health of the stock market. The growth of stock investments held in retirement savings accounts makes it clear that this link is real. Encouraging the regular payment of dividends by ending this double taxation will have a strong positive impact on the retirement prospects of many people. There are a number of different ways to eliminate the double taxation of dividends, and some of these proposals have been introduced by some of our colleagues. Whatever the merits of those other proposals, none will have as direct an impact on the health of America's stock markets. Allowing the deduction of dividends from corporate income will provide a strong incentive to corporations to return to the practice of making regular dividend payments. In turn, these dividends will provide a positive reason for investors to come back to the market. The time has come to enact this important tax reform.

Mr. PETRI

Mr. PETRI. Mr. Speaker, today I am introducing legislation to help get our economy going again, to get people investing again and to strengthen America's retirement. My bill will help to boost stock market performance by providing a real incentive for investors to keep their hard-earned money in the market. This bill will achieve that goal by ending the double taxation of dividends. Currently dividend income is taxed twice, first as corporate income and again as personal income. This tax policy diminishes the value to shareholders of dividend-paying stocks. By treating dividend payments differently from interest, we are providing a disincentive for corporations to return earnings to shareholders. Not surprisingly, dividend payments have declined in recent years. Encouraging the regular payment of dividends by ending their double taxation will attract new investors and help to stop the slide of the stock market.

Mr. PETRI

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

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

Mr. PETRI. Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 5157) to amend section 5307 of title 49, United States Code, to allow transit systems in urbanized areas that, for the first time, exceeded 200,000 in population according to the 2000 census to retain flexibility in the use of Federal transit formula grants in fiscal year 2003, and for other purposes.

Mr. PETRI. Mr. Speaker, I yield myself such time as I may consume. The Transit Operating Flexibility Act, the bill before us, is bipartisan legislation that will allow the transit systems in 52 communities that grew to more than 200,000 in population as defined by the 2000 census to retain flexibility in the use of their Federal transit formula grants in budget year 2003. H.R. 5157 was favorably reported without amendment by the Committee on Transportation and Infrastructure on July 24 of this year. The bill now has a total of 45 original cosponsors. Legislation was developed with the assistance and cooperation of the Federal Transit Administration, and has been endorsed by the American Public Transportation Association. The 2000 census made wholesale changes in urbanized area designations. Some of the communities that are crossing 200,000 in population simply grew since 1990. Others were absorbed into nearby major metropolitan areas. Yet others were combined with another nearby small city. Many of these communities were not aware they were going to cross 200,000 until the final urbanized area notice was published in the Federal Register in May of 2002. Under current Federal transit law, areas of more than 200,000 cannot use Federal formula grant funds to pay for transit operating expenses. The Transit Operating Flexibility Act will allow the 52 communities affected by the 2000 census change to retain their operating flexibility in budget year 2003 to the same extent that they did in fiscal year 2002. Without this legislation, some transit operators in the affected areas may be so strapped for resources that they will have to drastically reduce service or even shut their doors. We cannot allow a change in census definition to result in a loss of public transportation services. This bill does not change the amount of transit formula funding that these communities or any other community will receive under TEA-21 in fiscal year 2003. The Federal Transit Administration will apportion formula grant funds to its grantees according to the 2000 census numbers as they are required by law to do. H.R. 5157 gives these 52 communities some breathing room to adjust to their new urbanized area status as they plan how to fund these transit services under their new urbanized area designation. I urge that the House pass the bill that is before us, H.R. 5157. Mr. Speaker, I reserve the balance of my time.

Mr. PETRI

Mr. PETRI. Mr. Speaker, I move to suspend the rules and agree to the concurrent resolution (H. Con. Res. 401) recognizing the heroism and courage displayed by airline flight attendants each day, as amended.

Mr. PETRI. Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, I rise today in strong support of House Concurrent Resolution 401, honoring the over 100,000 men and women who serve as flight attendants. As we near the final anniversary of the September 11 attacks, I think it is appropriate that we stop to recognize these everyday heroes. America's flight attendants dedicated their lives to ensuring the safety and the security of their passengers. There are over 20,000 commercial airline flights each day, and on these flights, flight attendants put the well-being of each of their passengers ahead of their own. They are the first responders to all emergencies in the cabin of an aircraft. They provide in-flight medical assistance to passengers in need. They may be the only line of defense should terrorists once again attempt to take control of an airplane. It was the flight attendants who subdued attempted shoe-bomber Richard Reid aboard American Flight 63 last September. Last year, 23 flight attendants lost their lives aboard the four hijacked flights on September 11. In recognition of their important role, the House overwhelmingly passed legislation that would significantly increase self-defense and situational training to aid flight attendants in the case of another terrorist hijacking. I would like to express my profound gratitude for all airline flight attendants for their daily service to make air travel safe and secure, and urge the passage of this resolution. Mr. Speaker, I reserve the balance of my time.

Mr. PETRI. Mr. Speaker, I have no further requests for time, and I yield back the balance of my time.

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

Mr. PETRI

Mr. PETRI. Mr. Speaker, I move to suspend the rules and agree to the concurrent resolution (H. Con. Res. 442) recognizing the American Road and Transportation Builders Association for reaching its 100th Anniversary and for the many vital contributions of its members in the transportation construction industry to the American economy and quality of life through the multi-modal transportation infrastructure network its members have designed, built, and managed over the past century.

Mr. PETRI. Mr. Speaker, I have no further requests for time, and I yield back the balance of my time.

Mr. PETRI. Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, the American Road and Transportation Builders Association is the Nation's oldest national association exclusively representing the transportation construction industry. I have worked with ARTBA on many legislative issues, and they have played and will continue to play a large role in the development of our country's transportation infrastructure. Founded by Horatio Earle, ARTBA has consistently advocated a strong Federal investment in our transportation network and has played an integral role in the development of the Dwight David Eisenhower System of Interstate and Defense Highways, known as our interstate system. Under the leadership of ARTBA, the transportation construction industry maintains the highest standards of excellence to ensure the public safety and welfare of those traveling throughout these United States. I look forward to working with ARTBA as Congress moves forward with reauthorization of TEA 21 next year. I urge the Congress to join me in commending ARTBA and its members for their 100 years of service to the construction industry and the important work they do every day in building America. Mr. Speaker, I reserve the balance of my time.

Mr. PETRI

Mr. PETRI. Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days within which to revise and extend their remarks and to include extraneous material on H.R. 5157, H. Con. Res. 402, and H. Con. Res. 442.

Mr. PETRI

Mr. PETRI. Mr. Speaker, today I have introduced the Defense of Freedom Education Act, legislation which is designed to create new, and strengthen existing, post-secondary education programs which teach the nature, history, and philosophy of free institutions, Western Civilization, and the threats to freedom from totalitarianism and fanaticism. In order to sustain freedom and civilization, it is imperative that every generation be taught to understand their full significance and value, and the threats with which they are faced. However, in almost all of our institutions of higher education today, the study of American history and Western Civilization has been systematically de- emphasized. For a variety of reasons, these subject areas have fallen into disfavor on college campuses, to the point that it is possible at many leading universities to get a liberal arts degree without having taken one course in history or Western Civilization. This perpetuation of ignorance about the philosophical underpinnings of our nation can only have baleful consequences for the future. To see that this de-emphasis is already having an effect, one must only examine the stunning ignorance about basic facts of American history among recent college graduates, as detailed in a 2000 study conducted by the American Council of Trustees and Alumni. To cite just one of the many horrifying examples from that report, while 99 percent of the 556 college seniors tested at 55 leading colleges and universities (including Harvard and Princeton) correctly identified Beavis and Butthead as popular cartoon characters, just 23 percent had any idea who James Madison was. The questions used in this study appear in the Congressional Record for July 10, 2000 (page H5662-H5663). These multiple-choice questions, which, in truth, a well-educated ninth-grader should be able to breeze through, are increasingly over the heads of college graduates (the average score in the study was 53 percent). Two years ago, I was very involved in a congressional effort to highlight this appalling situation. This effort led to the unanimous, bicameral passage of a concurrent resolution (S. Con. Res. 129) which stated, in part, that ``the historical illiteracy of America's college and university graduates is a serious problem that should be addressed by the Nation's higher education community.'' The nonbinding resolution urged colleges and universities to review their curriculum and add requirements for American history courses. However, perhaps it is time for Congress to take a more active role in trying to reverse this continuing loss of our collective civic memory. To that end, the Defense of Freedom Education Act would offer grants to institutions of higher education, specific centers within such an institution, or associated nonprofit foundations. These grants would be used to establish courses at both the undergraduate and graduate levels which teach any or all of the following concepts, which bear both on American history directly and the ideas that serve as America's foundation: The concepts, personalities and major events surrounding the founding of America. This includes the philosophical background behind the Declaration of Independence, the Constitution, and the free institutions which we take for granted today. Earlier generations were taught these subjects as a matter of course, but we are increasingly moving towards a time where Americans will think of the 4th of July as simply a day when we shoot off fireworks and hold picnics. Western Civilization and the defining features of human progress which it embodies. These include democracy, universalism, individual rights, market economies, religious freedom, advanced science, and efficient technology. Programs of study funded under this bill can also examine the impact of the West on other civilizations, the Western debt to other civilizations, the comparative study of high civilization, and the process by which Western and other civilizations may be gradually evolving into a world civilization. Threats to free institutions. Some of these threats emerge from philosophical systems such as Communism, Fascism, Nazism, and totalitarian thinking in all its guises. Others emerge from widespread human predilections subversive of tolerance, individual rights, and civil society, such as racism, caste consciousness, and zealotry. Some are the products of perverse ambition such as autocracy, despotism and militarism. All threaten freedom, provoke war, and induce terrorism. While we who lived through the 20th Century are painfully aware of the depredations caused by ideologies such as Communism, future generations will not have the benefit of such first-hand experience. Projects supported under this program could include the design and implementation of courses, the development of centers devoted to the ends of this bill, research and publication costs of relevant readers and other course materials, and other clearly related activities. Support will also be given to professional development projects designed to help improve the content and quality of education about the founding and the history of free government at the K-12 level. (After all, a huge part of the problem is the awful quality of American history instruction provided by many school systems. A student really shouldn't have to reach the university level before finding out who James Madison was and why he was important to our country.) While I don't always see the creation of a new government program as the best way to solve pressing societal problems, there are several precedents in the area of higher education. It seems to me that it is a worthy use of government funds to try and arrest the progressive deterioration of America's collective memory which is now occurring. I encourage my colleagues to join in cosponsoring this bill and advancing this effort.

Mr. PETRI

Mr. PETRI. Mr. Speaker, first the good news. I am pleased that this conference report includes language that provides that adjustments in obligation authority for the federal highway program due to the Revenue Aligned Budget Authority (RABA) calculation will be zero for fiscal year 2003. This will ensure that the obligation levels behind the budget firewall for fiscal year 2003 will be at TEA 21 estimated levels for the year ($27.7 billion) and about $4.4 billion over what was included in the President's budget. The lower budget number in the President's budget was a result of adjustments made to correct previous overestimates for 2001 revenues and lower estimates for future revenues. However, it is important to note that there is no reason why Congress cannot provide funding in addition to this ``minimum'' guaranteed level of funding and, indeed, the Highway Trust Fund can support additional funding. This provision is identical to what was approved by the House earlier this year when H.R. 3694, the Highway Funding Restoration Act, was passed by a vote of 410-5 and will provide for more stable highway funding for the states. Now, the bad news. In an unprecedented move, the conferees have included a Senate provision that rescinds $320 million in contract authority from the Highway Trust Fund that has already been distributed to the states. In my more than 20 years here in the House, I cannot remember a time when states have had to give back federal highway apportionments. Mr. Speaker, this move is objectionable on many levels. Contract authority from the Highway Trust Fund is under the exclusive jurisdiction of the Transportation and Infrastructure Committee. It is not the place of the Appropriations Committee to rescind contract authority. Under the Rules of the House, this is a violation and would be considered legislating on an appropriations bill. It should be of grave concern to all those Members who are not on the Appropriations Committee--which is about 85 percent of us--to see the continued usurpation of authorizer's authority and the long arm of the appropriators reaching beyond their legitimate powers and authorities. In addition, this is a terrible precedent. For decades, the Public Works and Transportation Committee, as our Committee was known back then, worked diligently in support of efforts to take the Aviation and Highway Trust Funds off-budget. And it was just because of budget games such as this that were played with Trust Funds that spurred that effort. We made real progress in TEA 21 where, for the first time, highway spending levels are linked to revenues coming into the Trust Fund. If the Appropriators are able to use the Trust Fund for budget gimmicks today, what is to stop them from doing so again in the future. Perhaps we should be thankful that the rescission in this bill is ``only'' $320 million, when, I understand, it could have been a lot more. But we must stop manipulating the Trust Fund and the highway program for illusory budget reasons. But perhaps most important is the impact on state transportation plans and programs. States receive contact authority each year in accordance with TEA 21 in the various highway program categories. They are able to target obligation authority (which is typically less than contract authority) received each year among the various programs to meet specific transportation priorities and needs. This flexibility is needed by the states to properly manage and plan to ensure the most efficient and effective highway program. If suddenly a state must give back contract authority (and I understand DOT will require an across the board return of contract authority from among the various funding categories), states lose this vital flexibility. And some states may have large amounts of contract authority in only a few categories, so that impact would be felt more deeply in other programs. I understand this rescission has been justified on the basis of budget authority ``savings'' that were necessary to meet target spending levels. It is distressing that the Transportation Committee offered up over $1 billion in savings from the loan guarantee program under the Air Transportation Safety and System Stabilization Act of reducing the outstanding loan authority down to the value of all pending loan applications. However, conferees did not avail themselves of this option and instead chose to focus on the highway program. The proper course of action to take would be to restore this contract authority as we continue the appropriations process for fiscal year 2003. I trust the appropriators and leadership will work with us to ensure this correction is made. Mr. Speaker, we simply cannot begin to play with the highway contract authority given to the states. We have never required them to ``give back'' contract authority already distributed. This is a very dangerous precedent and I trust we will go no further down this road in the future.

Mr. PETRI

Mr. PETRI. Mr. Speaker, I rise in support of the bill before us and urge my colleagues to vote in favor of this worthwhile legislation. I would like to take a minute to commend the leadership of the Committee on Transportation and Infrastructure and of the Committee on Energy and Commerce for reaching this agreement, particularly the gentleman from Alaska (Mr. Young), the gentleman from Minnesota (Mr. Oberstar), the gentleman from Louisiana (Mr. Tauzin), and the gentleman from Michigan (Mr. Dingell). The bill will require a more frequent inspection and reinspection schedule for pipelines, in particular problem pipelines. It will ensure that individuals who work on pipelines are properly trained. The bill also includes a permanent streamlining provision that will enable pipeline operators to make repairs within the time limits set forth by the Department of Transportation. H.R. 3609 includes whistleblower provisions to protect employees who report problems that may endanger the lives of fellow workers and those living near the facilities. Finally, the bill will require every pipeline operator to develop and to implement a terrorism security program approved by the Secretary. Mr. Speaker, this is a bill that will increase the safety and security of our Nation's pipelines. I urge its adoption.

Mr. PETRI

Mr. PETRI. Mr. Speaker, the debate on this bill provides a perfect example of why it is so much harder to pass legislation than it is to defeat it. Here is a piece of legislation coming to the floor of this House that was worked on in the spirit of bipartisanship with total cooperation between the parties, but because some Members are not satisfied that everything that they want is included, they are going to vote against it, even though not a single word has been spoken on the floor against any provision in the bill that is before us. It is a good bill and it should pass on its merits, but Members would like to add more and do it their way. We cannot do it everybody's way and get anything done. It is easier to stop things than to pass it. Mr. Speaker, I rise in strong support of a good bill. I would like to speak very briefly about a provision in the bill that makes a minor change to the statute governing the Federal TRIO programs in a way that will end the unfair disadvantages faced by the University of Wisconsin's 2-year colleges in applying for student support services grants. The provision will override a Department of Education regulation that was preventing my State's 13 2-year college campuses, known as the UW college system, from applying for more than just one student support services grant. It is a good concrete example of a burdensome regulation that is preventing the proper functioning of a higher education program and making thousands of students ineligible for the benefits of the TRIO program. The regulation in question sets criteria for what constitutes a ``different population'' served and ``different campus'' in such a way that, while almost every other State's 2-year college systems are treated as separate campuses for this purpose, those of Wisconsin and New Mexico are considered as one campus, even though they are scattered all over the State, serving demonstrably different populations, and independent of each other in every relevant respect. In fact, UW colleges are allowed to apply for separate grants for every other TRIO program except the student support services program. Mr. Speaker, I urge Members to support this legislation.

Mr. PETRI

Mr. PETRI. Mr. Speaker, I want to pay tribute to Phil Scherer upon his retirement as Executive Director of the Transportation Development Association of Wisconsin. Phil has been with TDA for just over 15 years, and during that time he has been an effective leader in bringing together varied transportation interests in the State of Wisconsin to work toward the common goal of improving transportation for all the citizens of our state. TDA's goal is the ``establishment and maintenance of a balanced transportation network that meets Wisconsin's present and future mobility needs in an efficient and effective manner.'' Members include representatives from both the private and public sector who are involved in all modes of transportation so that it really provides a well-balanced, thoughtful perspective on the many transportation challenges we face. Needless to say, it takes a unique person who can work effectively and cooperatively with these various interests to pull together a coherent policy and action plan that makes sense. And Phil has been up to the task. I think I can safely say that all of us in government-- whether at the federal, state, or local level--have come to rely on Phil and his organization over the years as we debate the transportation issues of the day. Phil obviously has been well-served by his extensive background in the area of transportation and planning. Prior to coming to TDA, he served for 12 years as the Lead Senior Planner for the Northwest Regional Planning Commission where he had responsibility for the 10- county commission's transportation planning program. In addition, he has worked as a senior planner for a national architectural, engineering and planning firm in Milwaukee and also as an Associate Planner for the City of Racine. Throughout his career, Phil has served on many state and local committees, advisory boards and commissions. In 1989 he served as the Chairman of the Better Roads & Transportation Council of America where he received its highest award for excellence in public education efforts relating to transportation. The National Association of Development Organizations recognized Phil for his groundbreaking work on development of a system to aid local officials in managing their roadways that is now utilized by over 100 communities in our state. Phil recognizes the role that an efficient transportation network plays in a strong economy and improving the standard of living for every Wisconsin resident. He has been an effective leader who has played a critical role in transportation issues at every level. We all owe him a debt of gratitude for his selfless and dedicated efforts advocating a first-class transportation system in Wisconsin. I want to commend Phil for his stellar leadership at TDA and wish him all the best upon his retirement.

Mr. PETRI

Mr. PETRI. Mr. Speaker, on May 1, 2002, Ruth Ann Strozinsky of Tomah, Wisconsin, retired after serving the State of Wisconsin for 21 years as a member of the Board on Aging and Long Term Care. During this time, Ruth Ann worked diligently to protect and preserve the rights of the elderly and disabled consumers as she strived to assure that they have the knowledge and support necessary for them to make informed long term care choices. She has upheld the spirit and intent of the Older Americans Act as well as the public policy of the State of Wisconsin. She has been a leader in contributing to the success of the Long Term Care Ombudsman Program and the Medigap Helpline Program as they continue to meet the ever-increasing public need for information and advocacy services. Ruth Ann has provided leadership and direction to officials at every level of municipal, county and state government on issues of importance to Wisconsin's senior citizens. She is a member of the Monroe County Services for the Elderly, has served as President of the Western Wisconsin Area Agency on Aging, and is a member of the governing board of the Coalition of Wisconsin Aging Groups. She has assisted in the development of legislative and regulatory proposals to identify and improve important public policy issues. In 1995, she was appointed by Governor Tommy Thompson as a Wisconsin delegate to the White House Conference on Senior Citizens and Aging. This was her second appointment to the Conference, the first being in 1981. In addition to serving the elderly, she is an active member of her church, a life member of the National Education Association, a member of the Monroe County Teachers Association, a charter member of the Tomah Business and Professional Women's Club, and has served many years on the Tomah Housing Authority and Community Block Grant Committee. Ruth Ann does not tell her age, although it is believed that she is close to 100 years old. She believes it isn't how old you are but what you accomplish in your life that counts. She has certainly made her life count. She is a retired high school English teacher who still gives of her time to help students earn their high school diplomas. Ruth Ann has also taught foreign students to improve their communication skills while they are in the United States. She has no children of her own, but has ``adopted'' many over the years--neighborhood children, her students and children from her church. She has shown a great love and concern for all these children. Ruth Ann Strozinsky is a remarkable lady who is greatly admired by her colleagues and the people she serves. Her energy and caring efforts have been an inspiration to many. I consider it an honor and a privilege to know her. It is fitting that she receives recognition and praise for her achievements and successes and for the service she has rendered to her community and the State of Wisconsin.

Mr. PETRI

Mr. PETRI. Mr. Speaker, yesterday, I introduced, along with our colleague Paul Kanjorski of Pennsylvania, H.R. 4980, the Citizen Involvement in Campaigns Act (or the CIVIC Act). This bill is designed to encourage Americans who ordinarily do not get involved in politics beyond casting a vote every two or four years (that is, if they bother to vote at all) to become more active participants in our political process. Most would agree that the ideal way to finance political campaigns is through a broad base of donors. But, as we are all painfully aware, the economic realities of modern-day campaigning virtually oblige many candidates to focus most of their efforts toward collecting funds from a few large donors. This reality alienates many Americans from our political system and opens us up to the now-familiar charge that we are ``bought and paid for'' by special interests. While recent campaign finance reform efforts have focused on limiting the impact of large contributions, past reforms have been designed to enfranchise small donors. For example, from 1972 to 1986, the federal government offered a tax credit for small political contributions. This offered an incentive for average Americans to contribute to campaigns in small amounts while simultaneously encouraging politicians to solicit donations from a larger pool of contributors. Additionally, six geographically and politically diverse states currently offer their own tax credits for political contributions. These state-level credits differ in many respects, but all share the same goal of encouraging average Americans to provide a counterweight against the influence, real or perceived, of big-money special interests. The CIVIC Act will reestablish and update this old tax credit program. Taxpayers can choose between a 100 percent tax credit for political contributions to federal candidates or parties (limited to $200 per taxable year) or a 100 percent tax deduction (limited to $600 per taxable year). Both limits, of course, are doubled for joint returns. As long as political parties and candidates promote the existence of these credits, the program would have a real impact and aid in making elections at all levels more grassroots affairs than they are now. This is a limited tax credit for political contributions that can be a cost-efficient method for helping balance the influence of large donors in the American electoral process. Instead of driving away most Americans from participation in political life, we can invite them in. I encourage you to cosponsor my bill and join in this worthwhile effort.

Mr. PETRI

Mr. PETRI. Mr. Chairman, I move to strike the last word. Mr. Chairman, I rise to point out that under the protocols established by the majority leader, the Committee on Rules of this House, when it brought rules forward, was to allow committees that are authorizing committees if they notified the Committee on Rules of concerns they had that represented appropriation that was unauthorized on a bill of this sort, that they would be subject to a point of order. Unfortunately, that has not been done in a number of cases where things that are amounts of money that are not authorized are in fact being appropriated out of the Highway Trust Fund. We have worked very hard in this body over the last several Congresses to reestablish the concept of a Highway Trust Fund; to reestablish trust, put trust back in the Highway Trust Fund. And yet the legislation, unfortunately, would provide for funding some $19.3 million for border enforcement activities; a very good program, but one that is not authorized from the trust fund. That will mean less money available for important transportation needs in our country. It is something that should be done out of our general revenue, not out of the Highway Trust Fund without an authorization. The second thing I would like to point out is that the legislation does provide for some $5 million for the Safety Permitting Program to come from the Highway Trust Fund. Again, the Safety Permitting Program is under the Hazardous Material Program. The HAZMAT Program is funded from general funds and is funded out of registration fees. This is something that again will result in less money available for transportation needs in this country and will free up funds for other programs. I understand the problems that we have, but this is not a proper use of the highway trust fund. In addition, there are over $4 million being provided for background security checks, again out of the highway trust fund. This is not something that was contemplated, it has not been authorized, and it should not have been done; and I regret it. I want to call it to the attention of the Members as this legislation moves forward through the process, which I am confident it will do, so that we can, as we refine this legislation in conference and it comes back to the floor, maintain the principle of integrity of the transportation trust fund that we have all worked so hard, really all of us have worked so hard to establish.

Mr. PETRI

Mr. PETRI. Mr. Speaker, I rise today in support of this bill, which will build upon the tremendous successes of the 1996 welfare reforms. When those reforms were enacted, opponents predicted apocalyptic scenes of poverty and suffering among America's low-income families. Time has proven, however, that those reforms were right. Child poverty is at its lowest level in 25 years and poverty among African-American children is at its lowest level in history. By requiring welfare beneficiaries to work and engage in productive activities, Congress helped change society. Former welfare beneficiaries now testify that by being pushed into work activities, they are now better members of society and better parents to their children. Although we have moved millions of families off welfare and into work, the road to advancement and self-sufficiency remains a difficult challenge. For a longtime I have been concerned by the disincentives to working hard, earning more money, and marriage that we have created over time. The lack of coordination between federal programs directed towards low-income families has resulted in what I call ``The Poverty Trap.'' As the earnings of low-income families increase, most of their benefits, such as housing, food-stamps, child-care co-payments, and the Earned Income Tax Credit, phase-out in a manner that discourages working harder and advancing in a job. In some cases a pay raise of a dollar an hour can mean the loss of benefits at a rate that exceeds that raise. This effective marginal tax can exceed 100 percent and trap families in poverty. I am pleased that this bill requires the General Accounting Office to undertake a comprehensive study of the obstacles created by the combined phase-outs of low-income support programs and recommend ways to coordinate and reform these programs. Because of this ``Poverty Trap,'' I also enthusiastically support provisions within this bill which provide states and local governments with the flexibility to implement demonstration projects that coordinate multiple low-income support programs. Under these provisions states can integrate eligible programs as long as those projects serve the populations and achieve the purposes of the underlying programs. This requirement further ensures that beneficiaries of these underlying programs are going to gain, not lose, as a result of these demonstration projects. While I wish these flexibility provisions went further, they are an important step that will enable needed innovation at the state and local level to help families escape poverty. The states have proven to be the laboratories for successful change in our welfare system, and this flexibility will enhance their capabilities. As a recent Wall Street Journal editorial said, the state flexibility provisions help get Washington out of the way of local progress. I urge all my colleagues who want to help low-income families leave welfare and achieve self-sufficiency to support this bill and the state and local flexibility provisions within it.

Mr. PETRI

Mr. PETRI. Mr. Speaker, I rise in support of the bill before us, H.R. 3694, the Highway Funding Restoration Act. It is a bipartisan bill as we have heard, and I look forward to its passage this afternoon. We are moving this bill today as part of an agreement with the leadership in the Committee on Appropriations to ensure proper levels of highway spending under the budget firewalls in the coming year. The supplemental appropriations bill that will soon be considered by the House will also include language addressing the guaranteed levels of spending as agreed to by the two committees. By declaring the revenue aligned budget authority, which is in the committee known as RABA, calculation for budget year 2003 to be zero, H.R. 3694 restores not less than $4.4 billion for the Federal aid highway program. This is consistent with funding levels that were contemplated when TEA 21 was passed back in 1998, and it ensures that the funding will be spent according to the rules set forth in the Transportation Equity Act for the 21st century, TEA 21. With 317 co-sponsors in the House and 74 of the companion bill in the Senate, H.R. 3694 has strong bipartisan support. The administration's 2003 budget proposal cut funding for the highway program by 27 percent. State highway programs cannot absorb a cut of this significance, nor can the economy of our country. The potential employment loss created by a cut of this magnitude could be as high as 180,000 family-wage jobs. As the economy climbs out of this short recession, the loss of this many jobs is unacceptable. And it is important to note that the highway trust fund with a cash balance of $20 billion can sustain this spending. The trust fund is comprised of dedicated revenues paid by highway users that can only be used for highway and transit projects. Finally, as part of the agreement between the two committees, we have agreed to include technical changes requested by the Committee on Appropriations regarding project funding. Certain projects from the budget year 2002 Transportation Appropriations Act have been found by the Department of Transportation to be ineligible for funding under Federal aid highway guidelines. As Members may know, I was one who was very concerned by the actions of the Committee on Appropriations last year and trusts that we will not see a repeat this year. But in the spirit of the agreement and securing the additional needed funds, a provision making those projects eligible is included here today. Mr. Speaker, restoring the highway funds under the firewall is supported by our Nation's governors, our mayors, industry and labor interests alike. I join with our chairman, the gentleman from Alaska (Mr. Young), full committee ranking member, the gentleman from Minnesota (Mr. Oberstar), the Subcommittee on Highways and Transit committee ranking member, the gentleman from Pennsylvania (Mr. Borski), and the more than 300 co-sponsors and supporting H.R. 3694, and I urge its immediate passage.

Mr. PETRI

Mr. PETRI. Mr. Speaker, I am pleased to speak in support of this resolution, as it once again recognizes the charter school movement for its contribution to improving America's schools. Although Congress has been supporting the growth of charter schools for almost 10 years now, we should remember that this is, in fact, a grassroots movement. The movement was really started in the early 1990s by concerned parents and frustrated teachers who were fed up with the status quo, weary of fighting the bureaucracy that defeats innovation, and tired of seeing their children consigned to mediocrity and to failure. In my State of Wisconsin, I am proud to say that we have a strong charter school program that was one of the first in the Nation to be established. I recently participated in the charter school conference held near my district. I was excited to learn of the innovation going on in my State. For example, Wisconsin will soon have two virtual charter schools, which are public charter schools that conduct classes online. Thanks to Wisconsin's open enrollment law, children from anywhere in the State can apply to enroll in these schools. These virtual charter schools will provide a computer and Internet access to the enrolled children. In these virtual schools, the parents have great control, and the parents make final decisions as to their child's personalized learning plan while still having full access to professionally-prepared curriculum and teacher support. Thus, this approach utilizes the advantages of home schooling, charters, and public school choice to create a unique educational experience. I would like to thank my colleague, the gentleman from Florida (Mr. Keller) for bringing forward this resolution. I appreciate the opportunity to speak in its support, and I urge my colleagues to support a National Charter Schools Week, and to continue to encourage the growth of this important and successful reform movement.