Emanuel Cleaver, II is now serving his ninth term representing Missouri's Fifth Congressional District, the home district of President Harry Truman. He is a member of the House Committee on Financial Services; Chair of the Subcommittee on Housing, Community Development, and Insurance; member of Subcommittee on Investor Protection, Entrepreneurship, and Capital Markets; member of Subcommittee on Oversight and Investigations; member of the House Committee on Homeland Security; member of the Subcommittee on Border Security, Facilitation, and Operations; and member of the Select Committee on the Modernization of Congress.
Having served for twelve years on the city council of Missouri's largest municipality, Kansas City, Cleaver was elected as the city's first African American Mayor in 1991.
When someone starts to talk to me about the Farm Bill, I tell them that it is really a Food Bill. It is not just about farmers but about feeding America - and should be of interest to all Americans. Farm policy ensures that farmers and ranchers have the tools they need to produce an abundant food supply and consumers nationwide have access to healthy, affordable food. The Farm Bill provides financial help for farmers when times are tough, continues agriculture’s longstanding interest in stewardship and conservation, and encourages and promotes continued expanded trade. On September 30, 2013 the original Farm Bill expired leaving many farmers, ranchers and 5th Congressional District constituents in limbo as they tried to plan for the future. Fortunately, after extended negotiations, the uncertainty that many Americans were forced to endure came to an end. On January 29, 2014 the House of Representatives voted 251-166 to pass a reauthorization of the Farm Bill with my support, and the President signed the bill into law on February 7th, 2014. This Farm Bill includes Supplemental Livestock Disaster Programs to protect farmers and ranchers facing numerous difficulties outside their control, trade promotion programs, increased access to healthy and local foods and funding for the Supplemental Nutrition Assistance Program to put food on the table for many low-income families.
Our democracy was built on compromise. While I would have preferred it to come sooner, I am glad that my colleagues and I were able to come to a bipartisan solution to this problem that affected millions of Americans in a multitude of ways. The Farm Bill reauthorization included funding for the Supplemental Nutrition Assistance Program (SNAP), giving certainty to the many families who worried about where they would find their next meal. Funding for SNAP programs, food banks, and the Farmers Market and Local Food Promotion Program will expand efforts to increase access to fruits and vegetables for seniors, students, and families struggling to put food on the table.
In 2012, Missouri farmers were devastated by drought, losing much of their livestock and forage crops. I introduced a bill, H.R. 1454, to provide them with retroactive disaster assistance. Thankfully the Agriculture Committees heard the concerns that I, and other Midwestern lawmakers raised on this issue. For the first time, the Farm Bill provides a permanent baseline for livestock disaster programs, and makes that assistance retroactive to 2011. These and many other provisions will help ensure future stability in American communities.
Anti-Hunger Programs
According to the Census Bureau, nearly 50 million Americans lived in poverty in 2010. Most importantly, this means that 13.6 million children and 6.2 million seniors are struggling to exist on a daily basis. It is imperative that we not take nutrition benefits from Americans that are struggling to stay out of poverty and to feed themselves and their family. Additionally, nearly 46 million Americans rely on the Supplemental Nutritional Assistance Program (SNAP). Programs such as SNAP and the Supplemental Nutrition Program for Women, Infants, and Children (WIC) stimulate local economies while keeping American citizens nourished and out of poverty. Every $1.00 of federal SNAP benefits generates nearly double that amount in local economic activity. I will continue to fight for the well-being of American citizens, so I support continued funding for such programs in the Farm Bill and in yearly appropriations.
Agriculture Disaster Assistance
I am proud to have introduced new legislation (H.R. 1454) to help area farmers, ranchers, and producers recover from last year’s record drought. This legislation would make critically important supplemental agriculture disaster assistance available. The 2012 drought in Missouri, and much of the nation, was devastating for livestock producers, forage producers, and tree and specialty crop farmers, and was compounded by the expiration of the USDA agriculture disaster programs. My legislation would provide retroactive relief for those producers. I am thankful that the Agriculture Committee heard my and other Midwestern lawmakers’ concerns and included language in the farm bill reauthorization to solve this problem.
Local & Regional Food Systems & Food Deserts
Local food systems have the potential to yield significant benefits to the economy and create jobs. According to a recent study by the Union of Concerned Scientists, a modest amount of public funding for between 100-500 farmers markets could create as many as 13,500 jobs over a five-year period. By providing further investment in local and regional food systems, we can bolster agriculture and put people back to work.
According to the Department of Agriculture, more than 13.5 million people live in a food desert; they live more than a mile from a grocery store or large supermarket in an urban area or more than 10 miles away in a rural area. With support for local and regional food systems and programs such as the Healthy Food Financing Initiative and the Let’s Move Campaign, we can support local farmers, provide healthy food choices for families, and help our children grow up healthier.
It continually humbles me when I interact with our brave soldiers. The men and women who risk their lives for our country deserve the best our nation can offer. I feel a duty to protect not only the rights of active duty servicemen and women, but also the rights of those who served before them.
I strongly believe funding for the military is imperative, and supporting our troops at home and abroad is fundamental. To effectively advance our nation’s security goals, we must be able to objectively assess our security challenges and adapt accordingly. It is important to remember that the challenges we face today are not the challenges we will face tomorrow. And unless we plan for those challenges today, we will not be able to successfully and peacefully overcome them.
Given our current economic climate, and the mounting national debt, it is imperative that Congress take appropriate action to protect future generations. This is an ongoing debate that requires the cooperation of both parties. I remain committed to responsibly reducing the deficit, but not at the cost of critical programs that support our most vulnerable communities. We cannot only rely on hard working American families to continue making the majority of the sacrifices. Irresponsible cuts not only weaken our nation's full recovery, but also weaken our ability to create jobs. We must address our growing deficit in a strategic and comprehensive manner.
Many proposals to change our federal budget and our tax code have been offered recently. Last year, I voted in favor of H.R. 8, the American Taxpayer Relief Act of 2012, also known as the legislation to avert the fiscal cliff. This bill, now law, was not perfect, but I believe it is in reaching out and finding compromise that we find a way to move forward, keep our economy on the right track, and increase employment for hard-working people in Missouri’s Fifth District.
This law permanently extended tax cuts for the middle-class, extended credit for working families, and provided additional measures to protect families and promote economic growth. The law required millionaires and billionaires to pay their fair share to reduce the deficit, through a combination of permanent tax rate increases and reduced tax benefits. And this agreement ensured that we can continue to make investments in education, clean energy, and manufacturing that create jobs and strengthen the middle class. While these are broad and complex issues, ultimately I believe we need to create jobs, reduce the deficit, help small businesses grow, and support the middle-class. I support closing loopholes that help companies ship jobs overseas, encouraging businesses to keep and create well-paying jobs here, and investing in our country’s infrastructure and education.
I support ending the damaging sequester, and I have opposed sequestration since it first came before the House Floor for a vote. As you may know, sequestration is a process of automatic, largely across-the-board spending reductions. Sequestration has its origins in the Budget Control Act, which I did not support. It has always been avoidable, and in fact was created to be so awful and disastrous that it would encourage Congress to come together to avoid it. Our economy is still recovering, and these drastic and dangerous cuts have hurt children, seniors, small businesses, public servants, and men and women who so proudly and selflessly wear a uniform to protect our country. We need to replace these arbitrary, unnecessary cuts and enact legislation to create jobs, strengthen the middle class, grow the economy, and responsibly reduce the deficit. I have – and I will continue – to call on all of my colleagues to do what is right for our nation’s economy, and for the hardworking families in my district.
Overall, we must expand economic growth for all, make critical investments in our future, and reduce the deficit. We must put forth a budget which does not provide for tax breaks for the wealthy and big business on the backs of hard working American families and our most vulnerable communities.
I first came to Kansas City to establish a new chapter of the Southern Christian Leadership Conference in support of the local and national Civil Rights Movement as it moved to the forefront of public conversation. Decades later, as a Member of Congress, a primary role of mine is to defend the Constitution and the rights it guarantees to each and every citizen of our nation. While we have come a long ways since the days of SCLC establishment there are many civil rights issues still challenging us today.
Voting Rights Act and Supreme Court Decision
As many of you know, the Supreme Court recently overturned key provisions of The Voting Rights Act of 1965. The ability of our citizens to exercise their right to vote is a critical act that defines the United States as a constitutional democracy. This recent decision threatens that ability, especially for groups of voters that are most likely to become disenfranchised. I strongly disagree with the Supreme Court on this decision, but I believe Congress has a unique opportunity to make things right. I hope to continue the fight for voting rights for all and believe that the good and decent people of this country need to speak out.
EASY (Equal Access to Support Youth) Voting Act
The most important protection for our democracy’s future is the involvement of our future leaders. Engaging our youth in the electoral process is critical. Recognizing this, I introduced the EASY Voting Act during the 112th Congress that would prohibit efforts to discourage voter registration and electoral participation of students at institutes of higher education. Key provisions would allow students to utilize a school-issued ID for in states that require photo identification and stop the dissemination of false information about the registration process. My intention is to re-introduce this bill to the 113th Congress with the hope that Congress will pass these key provisions to protect and encourage our youth’s civic spirit.
Equal Pay for Equal Work
Fifty years ago, President Kennedy signed the Equal Pay Act into law that required employers to give women working in the same jobs as men equal pay to their male counterparts. This legislation was monumental in the women’s rights movement but unfortunately women all across our nation are still making thousands less than their male colleagues. This reality is more than just a moral failure; it is an economic one as well. This income disparity, like any other income inequality, undermines the economic security of our families and falls short of the economic promise our nation makes to all. My hope is to seek and promote any opportunity, legislative or otherwise, available to remedy this problem.
It is no secret that Congress faces a political climate full of frustration and hostility. Our failure to come together to solve our nation's problems continues to put our shared future in jeopardy.
We have come to think about compromise as capitulation. Some even see free speech as a tactic to suppress their outrage at government recklessness, rather than a reasonable approach to cordially debating our differences. One thing I've learned—and I have said this to Republicans and Democrats and everyone in between—is, bees cannot sting and make honey at the same time. They have to make a choice. Either they can sting other bees, or they can make honey with other bees. You cannot do both.
Unfortunately, Congress spends too much time fighting itself and too little time fighting for our constituents and the issues we believe in. We are a better, more compassionate, and caring nation than our current behavior portrays. We must be able to discuss our disagreements without allowing our discourse to deteriorate into this habit of hostility. While partisanship is a vital component of democracy, only healthy disagreement can propel us forward, to better ideas and better days. Embracing a civil exchange of ideas and respectful differences of opinion fosters real debate, and allows our best ideas to thrive.
That is why I have formed the Working Group for a Working Congress with my good friend and colleague, Congresswoman Kay Granger. This working group is comprised of Democrats and Republicans, and will work to demonstrate how we can be ardent in our advocacy without the cantankerous tone that is all too common. We will focus both on relationship building with lawmakers themselves and examine the committee process to create opportunities for bipartisan work on a small scale, and advocate for a return to regular order on a large one.
The founders designed our American Government anticipating partisanship. It is embedded in our country’s DNA, the Constitution. We thrive on our differences and on our diversity. But our differences only become virtuous when we discuss them with civility and statesmanship. When we allow hyper-partisanship to control the conversation, what once was a virtue becomes the downfall of a divided nation.
You can keep up with my weekly civility messages below, or by clicking Civility Message. You may also follow me on Twitter @repcleaver. Every Friday, I tweet a series of civility-themed messages. I encourage you to follow along, retweet, and share your own thoughts.
Information related to issues within our community
As inequality and outsize income gains at the top continue to rise, most of the new jobs created in this country pay very low wages. Consequently, 46.5 million Americans live in poverty and 1 in 3 Americans teeter on its brink because our economy isn’t working for them. The real challenge today is that there aren’t enough good paying jobs for families to live on and the cost of housing, child care, and other basic needs is far too high. Those at the very top of the income ladder seem to be only ones benefitting from economic growth. With unemployment high and wages down, too many lower- and middle-income Americans are still living in the recession.
The American people do not deserve this. Instead they deserve good jobs to care for their families. They deserve educational opportunities for their children. They deserve retirement security and access to affordable healthcare for their families. Instead of reckless cuts to programs that support Americans who are struggling, we need to focus our attention on rebuilding an economy that works for everyone, including investments in job creation, education, and policies that provide a hand up to struggling families.
We should start by ensuring that every worker earns a living wage. Workers should be able to earn enough to support their families. Corporations need to pay their employees decent wages and adequate benefits. And, all levels of government should pay a living wage to their employees and should require living wages of government contractors.
We need to raise the minimum wage and tie it to inflation so that a family breadwinner’s pay keeps up with the rising costs of housing and other basic needs. The minimum wage of $1.60 an hour in 1968 would be $10.56 today when adjusted for inflation. 80 percent of Americans—and majorities of Democrats and Republicans-- support an increase in the minimum wage. People working full time jobs should not have to raise their families in poverty. I continue to fight hard in Washington to bring the issue of raising the minimum wage to the House Floor for a vote.
Why?
The average minimum wage worker is 35 years old and is responsible for half of their family’s total income. More than half of all minimum wage earners are women. In Missouri, more than two-thirds of minimum wage workers are women. The hardworking men and women in Missouri’s Fifth District are long overdue for a pay raise. A hard day’s work should result in earning a decent day’s pay. It is time.
Our safety net is working overtime to make up for those who have fallen behind. When families fall on tough times due to job loss, unexpected medical costs and other challenges, programs like unemployment insurance, Medicaid, nutrition, housing, and child care assistance keep families on their feet. I remain committed to working together with my colleagues across the aisle to extend unemployment insurance benefits, payroll tax cuts, and infrastructure investments to help the middle class in the Fifth District and across the country. From the American Jobs Act to the Farm Bill, there are plenty of things we in Congress can do to help spur the economy and create jobs. If Congress could come together to pass the entire American Jobs Act, which includes further investment in infrastructure to rebuild our Nation’s ports, roads and highways, and assistance to state and local governments to prevent layoffs and to enable them to rehire hundreds of thousands of teachers and first responders, then we could create more than a million jobs.
As you know better than anyone, there is more work that remains to be done. Congress remains trapped by crises of its own making, but I am ready to work together again and soon, to address high poverty rates, a depressed housing market, and large household debt burdens experienced by all too many. Most of all, we must create jobs, restore confidence in our economy, and rebuild the middle-class. I will continue to focus my efforts on creating jobs and keeping our economy moving in the right direction. It is what is necessary – and what is right for the people of Missouri’s Fifth District.
There is no question that our educational system faces significant challenges that we must address in a comprehensive fashion, and to do so we must be willing to invest in public education. Unfortunately, schools and districts across the nation are struggling due to cuts made in the Budget Control Act, known as “sequestration.”
We must foster a collaborative relationship between local education agencies, states, and the federal government. States agree to implement federal law with the understanding that the federal government will provide a share of the funding. When Congress and the administration fail to fund programs adequately, we may harm that relationship and limit the potential for success.
Most in Congress agree that aspects of “No Child Left Behind” were problematic for schools and districts; we should be properly supporting our schools, promoting local control, and ensuring success for all students. However, I believe we can make these changes without draconian cuts to our children’s future. As we work to rebuild our economy, there can be no greater investment than in our children. Hardworking families throughout Missouri’s Fifth District deserve better. Halfhearted action from Congress puts the American Dream out of reach for millions of students, undermining our economy and weakening our middle class. A reauthorization of ESEA is long overdue; Congress must put aside its partisan bickering and pass a comprehensive bill.
It is my hope that we can continue to make progress in education, so that states are able to devote sufficient resources to train teachers, meet the academic needs of students with diverse learning requirements, implement better assessments that truly measure student performance, help struggling schools, and work to narrow the achievement gap to ensure that every student has equal opportunity to succeed. Not only is education an investment in the future of our children and our country, it generates the knowledge and innovation that will spark future economic growth and prepares our citizenry to participate in our democracy and compete globally.
Energy security is an economic, national security, environmental, and health concern that touches all Americans. The United States has less than 5% of the world’s population, but we consume nearly one quarter of the world’s produced oil. We depend on energy to light our homes and businesses, natural gas to heat them, and gasoline to power the cars and trucks that carry us to work and transport our goods. As other nations continue to develop and the global demand for energy rises, we must work to ensure reliable energy sources so our children and grandchildren can enjoy the same quality of life that we do.
Many Americans are experiencing a home-energy challenge. During peak winter and summer months, energy bills can reach up to 30 percent of a low-income household’s monthly income. Families should not have to choose between heating their homes and putting food on the table; that is why I have continually supported the Low Income Home Energy Assistance Program (LIHEAP). LIHEAP provides assistance for heating and cooling to almost 9 million households.
As early as 1859, British scientist John Tyndall discovered that carbon dioxide (CO2) can trap heat. Since Charles Keeling began measuring atmospheric CO2 in the late 1950s, scientists have accumulated a wealth of evidence documenting the increase of greenhouse gasses in the atmosphere, the rise of global average temperature and the influenace of human activities on the Earth’s climate.
I was proud to be chosen to serve on the Select Committee on Energy Independence and Global Warming. From 2007-2010, my colleagues and I held over 50 hearings on the security, economic and environmental threats posed by global warming and investigated policy options and technologies to conserve energy and reduce greenhouse gases in the atmosphere. The Committee also worked to communicate these issues directly with the American public.
Over 70 percent of electricity in the U.S. is generated from non-renewable sources, and coal is used to generate almost half of our total domestic energy. However, electricity use is expected to increase 40% over the next 20 years. With the U.S. holding less than 2 percent of the world’s oil reserves, we need to develop alternative sources of energy. We must invest in clean-energy generating technologies such as solar, wind, geothermal and hydropower as part of a long-term, ecologically sound energy strategy. Devastation wrought by the BP Deepwater Horizon oil spill should be a wake-up call for our country to re-examine our energy strategy.
As a member of the House Sustainable Energy & Environment Coalition, I will continue to advocate policies that promote clean energy technology and domestic manufacturing, develop renewable energy resources, and create green collar jobs throughout the supply chain. To learn more about the Sustainable Energy & Environment Coalition (SEEC), click here.
About 30% of the energy used in commercial and industrial buildings is used inefficiently or unnecessarily. Investing in the research and development of technologies that will curtail some of our energy demand is vital. More efficient appliances, automobiles and manufacturing processes will go a long way in reducing emissions and will aid greatly in creating a cleaner environment. That is why last Congress I introduced H.R. 627, the Home Energy Loss Prevention Act, which would require an energy audit be done within the last 5 years of a house being sold. I also support continued funding for home weatherization, through tax credits or assistance to low-income households.
Natural gas has the potential to help our nation bridge from traditional fossil fuels to cleaner, renewable sources of energy. Just one trillion cubic feet of natural gas is enough to heat 15 million homes for one year. However, we must ensure that it is produced safely and responsibly. Because the use of hydraulic fracturing is increasing, Congress must require that companies disclose the chemicals that are injected into the ground and conduct monitoring to ensure that the wells do not pollute the surrounding air or water.
Nuclear energy is a large part of our nation’s current energy supply. However, the crisis at Japan’s Fukushima nuclear power plant last year has revived concerns about the safety of nuclear power plants and the management of radioactive spent fuel produced at the plants. The construction of additional nuclear reactors in the United States could allow for greater energy independence; however, the potential consequences of such a commitment must also be considered. Safety must be paramount.
I am a firm supporter of alternative energy sources that are renewable and produced in a method that are ecologically and socially responsible. Biofuels have several potential benefits relative to our current petroleum-based fuels. The use of biofuels can reduce emissions of some pollutants relative to gasoline or diesel fuel.
Since coming to Congress, I have been an outspoken supporter of policies that protect our environment. As my family will tell you, when I am home I can most often be found watching the National Geographic channel or Planet Earth DVDs. Preserving our public lands, protecting the quality of our air and water, and developing sustainably are vital to preserve our planet for grandchildren and their grandchildren.
Since 1970, the Clean Air Act has reduced key air pollutants by 60%, while at the same time the economy grew by over 200%. Too often we take the very air we breathe for granted. We are responsible for the condition and quality of the air that we leave for our children and grandchildren who will inherit this world after us. I was proud to be one of over 89 Members of the House to sign a letter to House leadership asking them to protect the Clean Air Act, and will continue to support efforts to protect our air quality.
Clean water is a necessary resource used by all Americans. I believe that our country’s waters should be protected for the wellbeing of Americans and our environment. Although they are out of sight and out of mind except when they spring a leak, water and sewer systems are more vital to civilized society than any other aspect of infrastructure. Our nation’s water infrastructure is out of date and in urgent need of repair and replacement. It is estimated that on average, 25 percent of drinking water leaks from water system pipes before it reaches the faucet.
Green infrastructure can save money and improve our water infrastructure systems. Kansas City is ahead of the curve in incorporating green infrastructure into its water and sewer overflow control plan. That is why last Congress I cosponsored H.R. 2030, the Green Infrastructure for Clean Water Act. H.R. 2030 would provide grants to develop green infrastructure centers of excellence to research and develop methods and best practices, provide training and technical assistance so that communities of all sizes and resources can incorporate green infrastructure.
More than 97 percent of the nation’s 160,000 public water systems serve fewer than 10,000 people. These systems face unique challenges in providing affordable drinking water and wastewater services. Many of these systems lack financial resources, long-term planning activities, and the ability to attract qualified and certified operators. Investments in small system infrastructure ensure rural communities have the basic infrastructure to become sustainable and protect the rural economy and public health. Programs such as the Grassroots Source Water Protection Program, the EPA Technical Assistance Competitive Grant Program and the Circuit Rider Program within the EPA and the Department of Agriculture provide training and technical assistance to rural communities to help them properly manage, operate, and maintain their water systems.
Every community in America – regardless of its size, geographic location, demographic composition, or economic base -- aspires to become a place where families are safe, enjoy personal and environmental health, can select from a range of housing and transportation choices, and have access to educational and economic opportunities. These are the building blocks of livable communities. I am proud of the work that is being done to make the Green Impact Zone, and Kansas City, livable communities. I support community efforts to promote this sustainable development and efforts in Congress to fund and expand federal programs, such as the Partnership for Sustainable Communities at Housing and Urban Development (HUD), Department of Transportation (DOT) and the Environmental Protection Agency (EPA). Kansas City has benefited from several Partnership for Sustainable Communities grants, and I will continue to support funding for these programs in Congress. As a member of the Livable Communities Task Force, I have championed smart federal policies that can affect community livability through housing and transportation choices, enhancing economic competitiveness, and reinvest in existing communities. To learn more about the Livable Communities Task Force, click here.
As a Member of the exclusive House Committee on Financial Services, I play a part in reviewing and exercising jurisdiction over such wide ranging issues as securities, insurance, banking, and housing. The Committee also oversees the work of the Federal Reserve Bank, the U.S. Treasury, the Securities Exchange Commission, and other financial services regulators. I am also a Member of the Subcommittee on Housing and Community Opportunity as well as the Subcommittee on Oversight and Investigations.
In the recent past, Americans have faced the worst financial crisis since the Great Depression. Millions have lost their jobs, businesses have failed, housing prices have dropped, and savings were wiped out. The failures that led to this crisis require bold action. On Wednesday July 20, 2010 President Obama signed the Dodd-Frank Wall Street Reform and Consumer Protection Act into law. I believe this law goes a long way toward restoring responsibility and accountability in our financial system and gives Americans confidence that there is a system in place that works for and protects them. After years of work, this lawcreates a sound foundation to grow the economy and create jobs.
The Dodd-Frank Wall Street Reform and Consumer Protection Act holds Wall Street responsible in the first major regulatory response to the banking crisis of 2008. This legislation addresses three major components thought to be most critical in our financial crisis: systemic risk, consumer protections, and derivative regulation. Years without accountability for Wall Street and big banks brought us the worst financial crisis since the Great Depression, the loss of 8 million jobs, failed businesses, a drop in housing prices, and wiped out personal savings.
The failures that led to this crisis require bold action. We must restore responsibility and accountability in our financial system to give Americans confidence that there is a system in place that works for and protects them. We must create a sound foundation to grow the economy and create jobs.
HIGHLIGHTS OF THE LEGISLATION
Perhaps the major issue in financial reform has been how to address the systemic fragility that was revealed by the crisis. The Dodd-Frank Act creates a new regulatory umbrella group chaired by the Treasury Secretary—the Financial Stability Oversight Council—with authority to designate certain financial firms as "systemically significant" and subjecting them to increased prudential regulation, including limits on leverage, heightened capital standards, and restrictions on certain forms of risky trading. These firms will also be subject to a special resolution process similar to that used in the past to address failing depository institutions.
As a former Mayor, I know firsthand the importance of remaining competitive or risking the loss of jobs and industry. I believe we have to continue to implement Dodd-Frank capably, carefully, and with great consideration of the many American households in Missouri’s Fifth District and around the country, who suffered as a result of falling asset prices, tightening credit, and increasing unemployment.
Other aspects of financial reform address particular sectors of the financial system or selected classes of market participants. The Dodd-Frank Act consolidates consumer protection responsibilities in a new Bureau of Consumer Financial Protection within the Federal Reserve. The act consolidates bank regulation by merging the Office of Thrift Supervision (OTS) into the Office of the Comptroller of the Currency (OCC). It requires more derivatives to be cleared and traded through regulated exchanges, and it mandates reporting for derivatives that remain in the over-the-counter market. Hedge funds have new reporting and registration requirements. Credit rating agencies are subject to greater disclosure and legal liability provisions, and references to credit ratings will be removed from statute and regulation. A federal office is created to collect insurance information. Executive compensation and securitization reforms attempt to reduce incentives to take excessive risks. Intermediaries who provide investment advice to retail investors and municipalities may be subject to a fiduciary duty. The Federal Reserve's emergency authority is amended and its activities are subject to greater public disclosure and oversight by the Government Accountability Office (GAO).
The Volcker Rule
The concept of the Volcker Rule is simple: loan-making, deposit-taking banks should not engage in speculative trading or investing in hedge funds. Doing so threatens the safety and soundness of the financial system and harms taxpayers. According to the GAO, the global financial crisis wiped out $9 trillion in assets and reduced economic output by $12 trillion. Proprietary trading by big banks – which occurs when a firm trades financial instruments using its own money – was one cause.
The Volcker Rule’s detractors contend that prop. trading played little to no part in causing the 2008 financial crisis. They also argue that drawing a line between “prop. trading” and permissible market-making activity is oh-so challenging—if not impossible—making the Volcker Rule unworkable and potentially harmful to our capital markets. I disagree.
The Volcker Rule does not outlaw proprietary trading outright – it merely says that it must be done outside the bounds of the “federal safety net.” In other words, it keeps taxpayers off the hook. When banks engage in “prop. trading,” they are essentially gambling for their own profit – instead of serving the needs of their customers. The Volcker Rule will refocus banks’ attention off proprietary trading and back where it should be: trading on behalf of their clients. The Volcker Rule makes sense for consumers and makes sense for our financial system. Losses from proprietary trading required taxpayers to step in to bailout the system. The Volcker rule will ensure federal dollars are not used to protect this type of risky trading. Doing so will protect the U.S. economy from suffering another debilitating financial crisis and will ensure taxpayer dollars are never again used to rescue failed financial firms.
The Federal Reserve
In the midst of the worst crisis since the Great Depression, the Federal Reserve put the U.S. economy and the financial sector back on a stable path toward recovery. From the beginnings of the financial crisis, the Federal Reserve played a critically important role in stabilizing the financial sector so it could support a recovery. Having learned important lessons from the Great Depression, the Fed swiftly took action when the first signs of crisis emerged in 2007.
The Fed initially cut its discount rate for loans, extended credit to banks, and brought down the interest rate for depository institutions. When this wasn’t enough, the Fed took extraordinary steps to provide emergency funds directly to institutions and foreign central banks that desperately needed it. The severity of the crisis and its impact on millions of Americans also forced the Fed to enter unchartered territory, engaging in large-scale financial asset purchases that lowered long-term interest rates. This policy – known as “quantitative easing” – has provided a significant boost to our recovery.
Quantitative Easing (QE) has spurred economic growth and helped to create millions of jobs. QE has been successful in boosting economic growth. The effectiveness of QE speaks for itself, as Treasury yields and mortgage rates remain at historic lows. And the drop in interest rates triggered by QE has led to improvements in the housing sector and, by extension, the larger economy. Lowering mortgage rates beyond where they would have been stimulated a housing recovery, spurring home sales and boosting home construction. The result was a rise in home prices, leading to fewer borrowers underwater on their mortgages and an increased number of homeowners who are eligible to refinance. Given the meager improvement in the labor market, it is expected that the Fed will likely begin to taper its asset purchases in the next few months. Although QE cannot fully offset the contractionary effects of cuts to federal spending, I join with many economists in my belief that QE has boosted economic growth. I know the Fed continues to monitor the relevant data
Importantly, the Federal Reserve’s policies have created jobs and an economic turnaround that was otherwise impossible. And as the Fed weighs the need for further large-scale asset purchases, the Federal Open Market Committee should take into account the ongoing impact of the long-term unemployment crisis is having on millions of American families. The Federal Reserve’s dual mandate of high employment and low inflation is complimentary – and critically important. We must preserve it to ensure job creation over the long term.
The policies of the Federal Reserve are helping the economy, which in turn benefits the middle class struggling to recover from the recession. While we have made progress, more needs to be done to address the long-term unemployment crisis. With nearly 4 million Americans out of work for 27 weeks or more, further delay could permanently damage the labor force and slow long-term economic growth.
The Consumer Financial Protection Bureau
Since its inception, the CFPB has been hard at work standing up for consumers and service members who have been subject to the deceptive practices of unscrupulous corporations and financial institutions. The purpose of the CFPB, as you know, is to implement and enforce federal consumer financial laws while ensuring that consumers can access financial products and services. The CFPB is tasked with ensuring that the markets for consumer financial services and products are fair, transparent, and competitive. It is truly a consumer ally.
In just over two years, CFPB’s enforcement actions have resulted in over $3 billion directly refunded to more than 9.7 million consumers and service members. In addition, the CFPB has also helped solve tens of thousands of individual consumer problems.
In Missouri alone, CFPB has addressed 3,858 total complaints.
And more. The CFPB continues to go after institutions and industries that, for years, have abused our nation’s consumers without consequence.
In implementing the Dodd-Frank Act, the CFPB has followed many special and unprecedented procedures to ensure that smaller financial institutions do not face an undue regulatory burden. These smaller institutions, many of whom play an important role in Missouri’s Fifth District, have been granted safeguards, exemptions, and benefits designed to allow them to profit and thrive. While I have not agreed with every decision the CFPB has made, I have been impressed and encouraged by their ability to educate, regulate, and accommodate different constituencies and interests.
For example, I have met with local bankers around Missouri's Fifth District to get their input on a number of issues, and listen to concerns. Many shared with me the negative impact a particular regulation, the Qualified Mortgage/Ability-To-Repay rule is having on rural banks.
It started as a well-intentioned rule, but was combined with an exception that was too narrow. And to top it off, a dose of worrisome execution was then thrown in. The intent behind the rule was good. It was meant to make sure consumers get a fair shake, banks are able to work with families buying their first home, and entrepreneurs wanting to expand can access capital. But the exemption relied upon a narrow definition that treated our thriving rural communities as mere suburbs of Kansas City--something that may mean little to those of us in Washington, D.C., but meaning much to me and my constituents.
Immediately following this meeting with bankers, I wrote a letter to Director Richard Cordray. I explained my opinion that the rule should be re-evaluated and a more expansive definition of rural should be put into place. I followed my letter with a phone call to Director Cordray. I was not alone in my concerns, and Director Cordray was very sympathetic and understood my communication. In response to these concerns, the Bureau recently amended the rule to provide a two-year transition period which will allow time for review. I look forward to continuing to work with this valuable and fundamentally consumer-oriented organization.
As a world leader we must shed light on issues such as global poverty, genocide and discrimination and take steps to alleviate them. International leadership is not easy, but we must not step back from this duty. I believe this responsibility is also an opportunity to assist developing countries as they build their economic and societal infrastructure.
Through our leadership we must respect other nations and encourage self-determination, democracy, human rights, economic development, and greater access to education, health care, and jobs.
The U.S. is a melting pot of ethnicities and religions fashioned by immigrants from all corners of the globe. I am proud that my congressional district is home to a diverse population of people who can trace their ancestries to all parts of the world.
Serbian Caucus
I am honored to serve as Co-Chair to the Serbian Caucus here in Congress. In Missouri’s Fifth District, we have a robust Serbian population, with multiple annual festivals to celebrate and embrace the culture.
As Co-Chair to the Serbian Caucus, I have been very pleased that the cooperation between our two countries has been steadfastly improving and continuing to develop over the past decade. Our Caucus was established in 2004 with the express goal of improving communication, raising awareness for issues of concern for Serbian-Americans, and increasing friendly relations between our two countries. I have no doubt that the relationship will only continue to grow in the future.
Because of healthcare reform, millions of seniors are getting free preventive services, children are not being denied coverage, and young adults are covered under their parents' plan. These are big and important differences helping millions of Americans focus on their jobs and quality of life, instead of worrying about what will happen if they and their family members get injured or sick.
Under the Affordable Care Act, Medicaid, the government run program that provides health insurance for low income and disabled individuals, was expanded to include more people. The Supreme Court decided that Congress did not have the power to penalize states that did not want to expand their Medicaid programs by cutting of funding for existing Medicaid programs. The Missouri Legislature has not taken action to expand Medicaid in Missouri. Medicaid reform and expansion would bring federal dollars that Missourians send to Washington, $2 billion a year, back to the state to provide health care coverage to an additional 300,000 working Missourians. These families make no more than $32,913 a year -- for a family of four.
Under the Affordable Care Act, Medicaid expansion was also meant to compensate for payment cuts to hospitals and health care providers. Even though Missouri did not expand Medicaid, many of those payment cuts are still taking effect. A recent survey by the Missouri Chamber and MHA has shown that these cuts have forced many hospitals to reduce staff and services.
For all Americans, Republicans and Democrats, the states and the federal government must continue to work together to make sure healthcare is functional, full, and fair.
HEALTH CARE BY THE NUMBERS
HEALTH CARE COST GROWTH IS LOWEST IN DECADES
THE SECURITY OF HEALTH INSURANCE FOR MILLIONS OF MIDDLE CLASS FAMILIES
As you know, the threats we face continue to grow in number and complexity. Our law enforcement officers and first responders are doing all they can to be prepared, and we must do all we can to fight for them.
Securing Urban Area Security Initiative (UASI) funds along with other federal funding to keep the metropolitan area at the forefront of emergency preparedness is critical. We need to make sure we are equipped with the best talent, training, and techniques, if disaster should strike.
I will continue to work to make sure we get what we need to help, not hamstring, our police officers, firefighters, first responders, and all others dedicating themselves to these unbelievably challenging jobs. They must be armed with the best to help get us through the worst.
The American Dream, to most Americans, is a simple one. Many tire and toil just to have an opportunity to raise a family in a place they can call their very own home. This dream is one that I am very familiar with. As a young man in Waxahachie, TX I lived in public housing and watched my father work three jobs so that he could eventually buy the home he still resides in today. My family’s story is one of uplifting success. Unfortunately, many others in our nation have not realized the same dream.
As a Member of the Financial Services Housing Subcommittee, it is my goal to work to ensure constituents in the 5th district have access to quality and affordable housing. We are now, slowly but steadily, making our way out of the worst recession since the Great Depression. Home prices are rising, construction on new homes has surged to its highest levels since 2008, and foreclosure filings are at a five-year low. These are victories not only to applaud, but to build upon.
One of my proudest accomplishments as Representative for the 5th District of Missouri has been my involvement in the creation of the Green Impact Zone in Kansas City. This area encompassing major parts of Kansas City’s urban core has become a national model for providing affordable and quality housing to those who previously lacked the ability to afford a home. With the help of federal grants and other funding, we have created a neighborhood initiative that has overhauled a number of dilapidated houses and neighborhoods and turned them into affordable, family housing. These houses set the standard for energy and cost-efficient homes that effectively utilize renewable energy sources and provide tools for residential control over energy consumption. Furthermore, existing homes in the area have been retrofitted with solar panels and in-home energy meters that help cut costs, increase energy efficiency and empower Kansas City families as homeowners. All of these efforts have attracted new business to forgotten neighborhoods in Kansas City contributing to a revival of our most historic districts. Simply put, efforts to promote home-ownership have set off a chain of events that have completely renewed the vitality of Kansas City.
The Fifth District of Missouri spans well beyond the confines of Kansas City, well into the rural counties of Central Missouri. As such, many of my constituents face very different housing issues compared to the urban housing issues that many automatically picture. While space is not an issue in places like Lafayette, Saline or Ray County, the number of affordable housing choices can be a challenge. Luckily, the U.S Department of Agriculture has an entire division devoted to addressing the specific issues facing rural communities. The Rural Development office works specifically for the men and women who live, work, and raise their families in America’s rural communities. By working with the Department of Agriculture and business leaders in the rural areas of our district, I hope to expand credit options and promote economic development for these constituents. The central focus of USDA - Rural Development's work is serving the men and women who live, work, and raise their families in America's rural communities. They know how — they have been doing it for 150 years. One woman in Missouri, the late Elvira Metz, began working for USDA-RD from the beginning in Benton, and later Sikeston, in 1935. The first office of USDA she worked in was in the basement of a courthouse, full of makeshift cardboard boxes used as furniture, an old-fashioned typewriter, and one bare light bulb hanging from the ceiling. At that time there were no rural housing loans or any of the other forty programs now delivered by the USDA. The beginning loans that were made at that time were to purchase and operate farms. All farm ownership loans included an extra $25.00 for construction of a sanitary privy for the farmhouse. One borrower, she remembered, insisted that the privy be constructed in his front yard as he had never had anything so grand and wanted to show it off to all who passed by!
Things have changed since then, and the USDA, through Rural Development, has adapted, becoming a part of a community that understands issues and complexities that occur in a rural landscape. The USDA provides housing options that do not exist outside of rural America. The guaranteed loan program, which offers borrowers an opportunity for homeownership with no money down, keeps rural families where they want to be — in rural America. In my own district, 346 loans were administered in FY13. Missouri ranked as 7th in the nation in administering Guaranteed Rural Housing Loans. The Direct Loan Program is the only program in the nation specifically targeted to low and very low income rural families. Given the lack of credit options, the high rates of poverty, and the limited housing choices facing many in our rural areas, we must continue to keep USDA housing programs well-funded and productive.
The Homelessness Epidemic
Many might say “epidemic” is an overstatement, but in reality 1 in every 200 people became homeless at some during the past year. This number is considered a low estimation due to the difficulty in identifying each and every individual that is homeless. In Missouri, homelessness increased in each subsequent year between 2007 and 2011—a clear indicator that the problem deserves our attention. Homelessness not only affects a high number of people, but also a wide-range of people. Members of minority groups are at greatest risk of becoming homeless (1 in 128), and the likelihood of a member of a minority group becoming homeless is nearly double that of their risk of being diagnosed with cancer. Our returning veterans are just as susceptible to homelessness, with 1 in every 154 of our former servicemen and women needlessly suffering. I often say that our federal budget is a moral document, one that should reflect that needs of our society, and at a time like this, when unemployment is still over 7%, I am here to fight for those who cannot always fight for themselves.
Strong government oversight strengthens our political process and improves the function of our government. It is important that the citizens of our nation always hold our government responsible for its actions, whether they are positive or negative. My duty as your Congressman is to represent you, my constituents, and your concerns. I understand that Congress's current situation can be frustrating. While partisan politics can be detrimental in some cases, strong differences of opinion have made our nation great, cultivating and nurturing different viewpoints. It is only through a respectful exchange of these ideas that we can truly engender a thriving and strong democracy.
An ethical and accountable government is imperative to keeping our country great. Transparency and strong whistleblower protection are both important in a well-functioning government.
Science and technology issues affect us all and determining the best means of addressing them is an important part of my work in Congress.
Social Security recently celebrated its 78th Anniversary of being signed into law by President Franklin D. Roosevelt. Before Social Security, most working Americans retired into poverty. Today, more than 160 million workers are building toward a more secure retirement for themselves and their families through their contributions, and 58 million seniors, disabled workers, widows and children currently rely on it for economic security each month. Over its 78 year history, and through 13 recessions, Social Security has never failed to pay on time and in full, and has never added a penny to the nation’s deficit or debt. Click here to see a timeline of Social Security through the years.
In the midst of attempts to radically reform our social safety net, I will continue to work to ensure that Social Security remains a strong and stable program. We must not balance the budget on the backs of our seniors. My father turned 90 years old last summer, and he worked all his life so that he could proudly send all four children to college without ever making more than $25,000 a year. It would be unconscionable to take away Medicare and Social Security benefits from seniors - like my father - who contributed to these programs all their lives. Seniors have earned it with a lifetime of hard work, and it should be there now and for future generations. I vow to continue to fight to preserve these programs for the next generation.
Creating jobs and boosting our economy is of paramount importance if we are to keep building on the slow rebound our country is now seeing. This is not a Republican or a Democratic goal, but one we all share.
Every dollar invested in Missouri transportation generates four dollars of new economic activity. And the Federal Highway Administration estimates for every billion dollars spent on transportation, 34,000 direct and indirect jobs are generated. That is why I take every opportunity to fight for the improvement of roads, bridges and waterways in my district. Bridge after bridge after bridge is in danger. Highways are crumbling. And we cannot sit by and play partisan politics and argue while our infrastructure continues to deteriorate.
Unfortunately, the most recent transportation proposal by the House majority made sweeping cuts to our investment in transportation, billions cut from last year’s levels. Vital programs such as the Transportation Investment Generating Economic Recovery (TIGER) Grant, from which Kansas City has benefited greatly, were eliminated entirely.
Congress must pass a robust transportation bill, not one that eliminates this crucial investment. It must do its job to create jobs, help businesses, and make travel more efficient and safe.
There are many challenges ahead. Working together in a civil and respectful way is imperative as we navigate these issues and find solutions that will best serve hardworking Americans. I know in Missouri’s Fifth District transportation and infrastructure are too important to let politics and partisan games get in the way.
Democrats and Republicans all use the same roads, bridges and highways. Businesses need a solid and safe infrastructure to get products where they need to be. Killing jobs at a time when the economy is making a slow, but sure, rebound is unfathomable. We can no longer kick the can down the road. Billions of dollars and millions of jobs are on the line.
The wars in Iraq and Afghanistan have brought renewed attention to the needs of veterans and the ways in which we, as a nation, care for them upon their return home. It is our responsibility to provide these service members and their families with the care and benefits they have earned as they transition from active duty to civilian life.
Homelessness
Several issues regarding veterans and homelessness have become prominent, in part because of the Iraq and Afghanistan wars. In November 2009, the VA announced a plan to end homelessness within five years. Both the VA and HUD have taken steps to increase housing and services for homeless veterans. Funding for VA programs has increased in recent years and Congress has appropriated funds to increase available units of permanent supportive housing through the HUD-VASH program. We have seen a steady decline in the number of homeless veterans since 2009, but even one homeless veteran is too many and our work must continue in ending homelessness among veterans.
Employment
The unemployment rate for veterans who served after September 2001 is higher than the unemployment rate for nonveterans. While this is an unacceptable statistic there are a number of federal programs that have been created to assist veterans in developing job skills and securing civilian employment. Broadly speaking, these programs can be divided into (1) general veterans’ programs, (2) programs that target veterans with service-connected disabilities, and (3) competitive grant programs that offer supplemental services but may not be available to veterans in all areas. While the various transition programs for veterans have proven successful it is important for us to continually monitor their success and seek ways to improve in order to get more people back to work.
Healthcare
The Veterans Health Administration (VHA), within the Department of Veterans Affairs (VA), operates the nation's largest integrated health care delivery system, providing care to approximately 5.75 million unique veteran patients, and employs more than 270,000 full-time equivalent employees. Contrary to claims concerning promises of "free health care for life," not every veteran is automatically entitled to medical care from the VA. Eligibility for VA health care is based primarily on veteran status resulting from military service. All enrolled veterans are offered a standard medical benefits package, which includes (but is not limited to) inpatient and outpatient medical services, pharmaceuticals, durable medical equipment, and prosthetic devices.
Opening in 1952, the Kansas City Veterans Affairs Medical Center provides quality care to the men and women who have proudly served our nation. The medical center provides high quality, comprehensive primary and tertiary healthcare to Veterans in our area.
WWI
Memorializing WWI has been a passion of mine since before the days I was mayor of Kansas City. As you may know, during the war millions of soldiers passed through Kansas City via Union Station on their way to serve in the war.
The bluff that overlooks the train station that transported so many of our soldiers in those days was the perfect place to set up a memorial to honor them. In 1919, as the war was coming to an end work began to create the Liberty Memorial. The dedication ceremony that followed was the only event ever attended by all of the supreme allied leaders. It is a place that inspires reflection and offers a chance to experience WWI in a way that is not found anywhere else in the country.
In 1998, a project to revitalize the memorial was created that would also expand the site by building a museum to better showcase WWI-related objects and documents. In 2004, legislation was introduced to designate the museum as the official National WWI Museum.
I continue to work for national and international recognition of the Liberty Memorial, and all of the World War I veterans it honors. Recently in 2013, I helped create the WWI Centennial Commission that was established by Congress to plan, develop, and execute programs, projects and activities to commemorate the centennial of World War I. The commission will provide opportunities for people to learn about the history of WWI, the U.S.’s involvement in that war, and the war’s effects on the remainder of the 20th century.