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Congressional Record, Senate, August 4, 2020 — SMART Act State and Local Relief

Summary

Page S4706 of the Senate section of the Congressional Record for August 4, 2020, headed SMART Act State and Local Relief, in interleaved columns. A Louisiana speaker says the State is facing serious shortfalls, a second wave of COVID cases and a phase 2 lockdown, and says he and Senator Menendez offered a bipartisan proposal called the SMART Act, which are his claims. Another speaker says his State created a rainy day fund and fully amortized its pension fund, while income tax revenues fell and unemployment rose. A remark about a pitcher who struck out the first nine batters closes the page.

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“Congressional Record, Senate, August 4, 2020 — SMART Act State and Local Relief.” Original at www.govinfo.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/crec-crec-2020-08-04-crec-2020-08-04-pt1-pgs4706-35be8e4b7e/, SHA-256 acdc70f35418b63faa8886590f2c3b758d3e17b6723c94b95b6887b53d3f0eb7.

Full text

                                               S4706                                             CONGRESSIONAL RECORD — SENATE                                                        August 4, 2020
                                               when the food chain in rural America                    clude additional relief for State and                    As I mentioned before, Louisiana, my
                                               goes bust—because that is what we are                   local communities in this relief pack-                 State, is facing serious shortfalls. We
                                               on the verge of—this whole country                      age.                                                   are still struggling with a second wave
                                               will be diminished by that.                               Senator BOB MENENDEZ—and his staff                   of COVID cases. Yesterday, we had the
                                                 So it is important that my colleagues                 has been a wonderful team to work                      No.    1   per   capita   incidence   of
                                               here in the Senate work with Senator                    with—and I have offered a bipartisan                   coronavirus. The State is having to
                                               GRASSLEY and me to fix this problem.                    proposal called the SMART Act to help                  continue in a phase 2 lockdown, which
                                               It will not be fixed by not doing the                   communities through this pandemic. I                   strains not only my folks in Louisiana
                                               things we need to do in this body. Sen-                 am privileged to be joined today by                    but also the revenue of the local com-
                                               ator GRASSLEY and I have a bill, and                    Senator MENENDEZ and Senator COL-                      munities where they would otherwise
                                               Senators ROUNDS and KING have a bill,                   LINS to speak on its behalf.                           spend their money.
                                               and we need to get those two bills                        The SMART Act calls for $500 billion                   Folks back home know the con-
                                               passed and move on to ensure fairness                   in funding for State and local govern-                 sequences if they don’t receive support.
                                               in the marketplace.                                     ments, and it would be dispersed in                    There were 22 parish presidents who
                                                 I yield the floor.                                    thirds. One-third is based on a State’s                signed a letter supporting the SMART
                                                 The PRESIDING OFFICER. The Sen-                       population. Clearly, California needs                  Act. They wrote:
                                               ator from Louisiana.                                    more than Alaska. One-third is based                     As elected leaders with parish populations
                                                                                                       upon the COVID–19 impact. My State                     ranging from over 400,000 to 18,000, the
                                                                f                                                                                             COVID–19 pandemic has created unprece-
                                                                                                       has had one of the highest per capita
                                                           CORONAVIRUS                                 incidences of coronavirus infection. We                dented challenges for all local governments
                                                                                                       have been terribly impacted. One-third                 not only within Louisiana, but nationally.
                                                 Mr. CASSIDY. Madam President, I                                                                              The extreme loss of tax revenues, which pro-
                                               rise to address the issues regarding the                is based upon revenue lost, which,                     vide for essential services, coupled with un-
                                               COVID crisis. Now, as we know, the                      again, my State, as well as the States                 foreseen costs brought onto us by the re-
                                               COVID crisis is a public health crisis                  of my colleagues, has been very im-                    sponse to COVID–19 pandemic, has the poten-
                                               which has led to an economic crisis                     pacted. It is a fair formula that                      tial to have an extremely detrimental effect
                                                                                                       prioritizes funding to the hardest hit.                on our role to provide for the citizens of our
                                               and, in turn, an educational crisis.                                                                           parishes.
                                                 Today, I am going to speak about an                     The need is great. S&P Global re-
                                               aspect of the economic crisis—specifi-                  leased a report detailing the State sus-                 I received a letter from more than 80
                                               cally State and local governments,                      ceptibility to fiscal distress in a                    mayors across my State giving ‘‘their
                                                                                                       COVID–19 recession. There were 38                      strong support and thanks’’ for efforts
                                               which have had to shut down their
                                                                                                       States that had a high or very high                    to pass the SMART Act because they
                                               economy and, in turn, have lost all the
                                                                                                       risk of economic exposure. S&P’s find-                 know I am working to deliver the sup-
                                               tax revenue they otherwise would re-
                                                                                                       ings echo a Moody’s report that also                   port they need for their communities
                                               ceive and, because they have lost that
                                                                                                       predicted dire effects to States and cit-              or mutual constituents. And mayors
                                               tax revenue, have put the jobs of fire-                                                                        ranging from cities as large as Shreve-
                                                                                                       ies if nothing is done. Moody’s found
                                               fighters, police officers, teachers, sani-                                                                     port to as small as Glenmora and Ath-
                                                                                                       that 34 States will see tax revenue fall
                                               tation workers, and other essential                                                                            ens wrote:
                                                                                                       by double-digit percentage points, the
                                               frontline workers at risk. So let me
                                                                                                       worst of which are Alaska falling 80                     The SMART Act would provide funding for
                                               proceed.                                                                                                       municipal economic recovery that will sup-
                                                                                                       percent, Louisiana at 46 percent, and
                                                 Senate Republicans have unveiled a                                                                           port the reopening of businesses and allow
                                                                                                       North Dakota at 44 percent.
                                               proposal for a second line of support for                 According to the National Associa-                   Louisiana to move forward. We are grateful
                                               American families and small busi-                       tion of Counties, local communities—
                                                                                                                                                              for Senator CASSIDY’s bipartisan efforts and
                                               nesses as our Nation continues to com-                                                                         for his longstanding partnership with Louisi-
                                                                                                       not States; local communities—antici-                  ana’s governments.
                                               bat the COVID–19 pandemic. The virus                    pate a $202 billion impact to budgets
                                               is an unprecedented challenge, but we                                                                            The same sentiments have been
                                                                                                       through 2021. Their report shows that                  echoed by Louisiana’s Chamber of
                                               shall overcome, and the HEALS Act at-                   71 percent of counties have delayed
                                               tempts to do that.                                                                                             Commerce.
                                                                                                       capital investments, including infra-                    I understand concerns about spending
                                                 The introduction of this proposal sig-                structure and economic development
                                               nals Republicans’ commitment to see-                                                                           money on State and local government.
                                                                                                       projects; 68 percent have cut or delayed               Some are worried the money will be
                                               ing America through this challenging                    county services—or parish services in
                                               time, as was with the CARES Act. The                                                                           used to bail out poor management deci-
                                                                                                       the case of Louisiana—human services,                  sions and overly generous and un-
                                               ultimate safety of the people of Lou-                   public safety, and community develop-
                                               isiana and the United States are my                                                                            funded pension plans. I share those
                                                                                                       ment support; and 25 percent have cut                  concerns, which is why the SMART Act
                                               top priority, and the HEALS Act, as                     the county workforce. Moody’s esti-                    includes specific provisions prohibiting
                                               with all major bills, is a starting point               mates that 1.3 million have already                    spending in those areas. The SMART
                                               of negotiations to build consensus                      been laid off, and an estimated 1.4 mil-               Act money replaces lost revenue
                                               among Members of both parties for the                   lion more State and parish county                      caused by COVID–19 and nothing more.
                                               best path forward.                                      workers and municipal workers will be                  A city or parish or county would have
                                                 The HEALS Act includes stimulus                       laid off in the coming fiscal year.                    to show their books and show that they
                                               checks for Americans, support for                       Sixty-six percent of counties receiving                have lost revenue relative to a year ago
                                               small businesses, and billions to help                  CARES Act coronavirus relief indicate                  before they would be eligible to receive
                                               schools reopen. While these are criti-                  that the funding will not cover the                    funding from this.
                                               cally important to economic recovery,                   COVID–19 budget or they are uncertain                    I understand concerns about spend-
                                               so, too, are the essential services pro-                if the budgetary impacts will be cov-                  ing, but the cost of doing nothing is
                                               vided by States and local communities.                  ered. This is the impact of what has                   worse. Federal Reserve Chairman Je-
                                               I am talking about police officers, fire-               happened.                                              rome Powell spoke on the State and
                                               fighters, teachers, sanitation workers,                   By the way, we spoke earlier of $202                 local funding needs, saying that while
                                               and other municipal workers. Because                    billion, and this is how the breakdown                 costly, it would be ‘‘worth it if it helps
                                               of this economic lockdown, State and                    is in terms of lost revenue and lost                   avoid long-term damage and leaves us
                                               local governments have seen their tax                   State funding, et cetera. The impact                   with a stronger economy.’’
                                               base erode, which threatens their abil-                 upon State and county and municipal                      Congress should not allow police offi-
                                               ity to keep these very people we need




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                                                                                                       governments is huge. All told, the Na-                 cers, firefighters, first responders,
                                               employed—these people who keep our                      tional Association of Counties predicts                teachers, sanitation workers, and oth-
                                               communities running.                                    a loss of 4.9 million jobs and $344 billion            ers to lose their jobs by the millions at
                                                 I don’t want to see, for example, a                   lost in GDP. It does not have to be that               a time when our country needs them
                                               situation where cities slash police                     way. We can save jobs for police offi-                 most. The United States cannot fully
                                               budgets and force layoffs of those who                  cers, firefighters, teachers, and others               recover economically if local commu-
                                               put their lives on the line to keep us                  by including State and local support in                nities cannot provide basic services, al-
                                               safe. That is why Congress should in-                   the act we are considering.                            lowing commerce to flow.



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                                               August 4, 2020                                    CONGRESSIONAL RECORD — SENATE                                                                 S4707
                                                 As I end, I commend my colleagues                     coast, flooding inundated communities                  running out of money to maintain the
                                               on the work thus far on the HEALS                       along     the   Mississippi   River,  or               services our residents and businesses
                                               Act. More work is left to be done, and                  wildfires raged in the West, I have                    depend upon. They are running out of
                                               I look forward to working with others                   never hesitated to act and cast my vote                money to pay our first responders: po-
                                               in this Chamber in the coming days to                   to help my fellow Americans. I have                    lice, firefighters, paramedics, and
                                               strengthen this bill even further and                   never asked how many New Jerseyans                     emergency personnel. They are running
                                               finding a common path forward with                      were affected or how this would impact                 out of money to make sure that there
                                               our Democratic colleagues. We cannot                    my State. But some in this body have                   are teachers in the classrooms when
                                               let Americans down in this time of tre-                 chosen to undermine that unity and to,                 our kids can safely head back to school
                                               mendous need. By working together,                      instead, pit Americans in one State                    and nurses in our hospitals when a sick
                                               we can deliver the support they need,                   versus their fellow citizens in another.               patient is brought in. They are running
                                               and we will be stronger as a nation for                 They have derided Senator CASSIDY’s                    out of money to make sure the trash
                                               having done so.                                         and my efforts to avoid millions of lay-               gets picked up, the buses and trains
                                                 I yield the floor.                                    offs of essential workers as a ‘‘Blue                  run on time, and the lights stay on at
                                                 The PRESIDING OFFICER (Mrs.                           State Bailout.’’                                       City Hall.
                                               BLACKBURN). The Senator from New                           For example, the junior Senator from                  They have been squeezed on both
                                               Jersey.                                                 Florida has said he refuses to support                 sides of the ledger, spending billions of
                                                 Mr. MENENDEZ. Madam President, I                      assistance because it will go to pro-                  dollars in unforeseen costs on emer-
                                               rise today to join my Republican col-                   gressive States like New Jersey, New                   gency response while watching reve-
                                               leagues from Louisiana and Maine to                     York, and California. He spreads false-                nues dry up due to the slowing econ-
                                               make a plea for us to break any par-                    hoods about States carrying over large                 omy and necessary orders to contain
                                               tisan logjam and support bipartisan,                    annual budget deficits, even though he                 the virus.
                                               commonsense solutions. I want to espe-                  must be well aware that States, unlike                   Without help from Washington, our
                                               cially commend Senator CASSIDY, who                     the Federal Government, must balance                   States, counties, and municipalities
                                               from the beginning has joined me in                     their budgets according to their State                 will have to swallow a toxic cocktail of
                                               this effort and has been true to his                    Constitution.                                          tax hikes, service cuts, and layoffs that
                                               commitment to the issue and to his                         He has the gall to chide other States               will only poison our economic recov-
                                               work. We have engaged in a series of                    about taking from Florida, even as his                 ery.
                                               conferences with major national orga-                   own State is the second largest                          It would be the height of irony—and
                                               nizations in support of the legislation,                ‘‘taker’’ State in the entire country.                 a horrible one at that—for the men and
                                               and I appreciate his leadership in this                 Indeed, according to the latest esti-                  women we have needed the most to be
                                               regard. I also appreciate Senator COL-                  mates, Florida receives about $45 bil-                 the ones fired as a result of the eco-
                                               LINS, who joined us from the very be-                   lion more from the Federal Govern-                     nomic distress that the virus has cre-
                                               ginning in this effort.                                 ment than it pays each and every year.                 ated. We need our essential workers on
                                                 Exactly 76 days ago—yes, 2.5 months                   By comparison, New Jersey actually                     the job dealing with the pandemic, not
                                               ago—Senator CASSIDY and I stood here                    pays about $21 billion more each year                  on the unemployment line.
                                               on the floor of the Senate with our col-                to the Federal Government than it re-                    Already, nearly 1.5 million State and
                                               leagues Senator COLLINS and BOOKER to                   ceives. Let me say that again. Florida                 local workers have been furloughed or
                                               talk about the challenges facing our                    takes $45 billion more per year out of                 laid off—and that is only since Feb-
                                               State and local governments and the                     the Federal coffers than they put in.                  ruary—and double the total local pub-
                                               need for Congress to deliver robust,                    New Jersey puts $21 billion back in.                   lic sector jobs we lost during the entire
                                               flexible assistance to help them deal                      To my colleague from Florida: You
                                                                                                                                                              great recession of a decade ago.
                                               with the pandemic and economic fall-                    are welcome.
                                               out.                                                       Why is New Jersey a donor or                          If we fail to deliver the robust, flexi-
                                                 In 76 days, we have seen COVID–19                     ‘‘maker’’ State while Florida is a                     ble funding our States and commu-
                                               sweep across our land. The virus is                     ‘‘taker’’ State? Quite simply, it is be-               nities need, we will effectively be send-
                                               surging in States coast to coast. From                  cause we invest in our people and in                   ing pink slips to millions of Americans.
                                               the Deep South to the Upper Midwest,                    our communities. New Jersey has the                    We will be saying to all of them: You
                                               no community has been spared.                           best public schools in the country,                    are fired.
                                                 America is no stranger to tough                       ranking No. 1 in Education Week’s 2019                   That will be millions more who
                                               times. In just the past 100 years, we                   report. Florida, well, it ranked in the                aren’t collecting a paycheck, millions
                                               have fought two World Wars. We have                     bottom half of the States.                             who can’t afford to shop at our stores,
                                               faced a Great Depression. We have con-                     A better education leads to a better                eat at our restaurants, pay their rent,
                                               fronted a nuclear-armed Soviet Union.                   economy with higher paying jobs, so it                 or their mortgage.
                                               We have faced calamitous disasters,                     is no surprise that New Jersey also has                  Leading economists respected by
                                               both natural and manmade, from Hur-                     the highest per capita income among                    both parties predict it would decimate
                                               ricanes Katrina and Sandy to the ter-                   States at over $110,000 per year. By                   our economy and send us on the path
                                               rorist attacks on 9/11. We have lived                   comparison, Florida’s per capita in-                   to another Great Depression. We can’t
                                               through many dark days of our history,                  come is almost $35,000 less, which puts                allow that to happen.
                                               but no matter how steep the challenge,                  it, once again, in the bottom half of                    That is why Senator CASSIDY, Sen-
                                               no matter how hopeless things ap-                       States.                                                ator COLLINS, Senator HYDE-SMITH, and
                                               peared at the moment, we always came                       So if you want your children to have                I came together. We saw early on the
                                               together as a country, and we saw our-                  a quality education, if you want to                    impact COVID–19 was having on our
                                               selves as Americans above all else.                     work in a vibrant economy that cre-                    home States and constituents, so we
                                                 I am proud to be a New Jerseyan. I                    ates high-paying jobs, you should live                 came up with the State and Municipal
                                               am proud to be from a State that in-                    in a State like New Jersey. But New                    Assistance for Recovery and Transi-
                                               vests in its people, has a great edu-                   Jersey, like all States—and through no                 tion, or the SMART Act.
                                               cational system, and has an innovative                  fault of our own—is facing a health and                  As Senator CASSIDY says, it delivers
                                               economy. But when my parents fled                       fiscal crisis of historic magnitude. And               $500 billion in flexible funding to front-
                                               tyranny in Cuba, their dream wasn’t to                  because here in Washington we have                     line States, counties, and municipali-
                                               move to any one State. No, they                         failed to implement a national re-                     ties. It targets areas with the greatest




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                                               dreamed of moving to the United                         sponse to a national emergency, our                    need based on infection rate and lost
                                               States of America to give me and my                     local towns, cities, counties, and                     revenues. Unfortunately, from when we
                                               siblings the opportunity they never                     States have to deal with this crisis                   started this, that is a growing reality
                                               had.                                                    alone rather than united as a nation,                  across the country. Every single town,
                                                 We are not a collection of 50 separate                and they are running out of money.                     city, and county, regardless of its size,
                                               States. No, we are one Nation, indivis-                    They are running out of money to                    would qualify for direct funding. No
                                               ible. When hurricanes hit the gulf                      combat this deadly disease. They are                   one is left out.



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                                               S4708                                             CONGRESSIONAL RECORD — SENATE                                                      August 4, 2020
                                                 We immediately built a bipartisan                       I hear some of my colleagues speak                   ices are vitally needed. They are the
                                               coalition with Senators COLLINS, BOOK-                  from this floor, calling not for unity                 people who make our communities op-
                                               ER,     HYDE-SMITH,       MANCHIN,     and              but for division. They callously ignore                erate, who make them livable. We need
                                               SINEMA—Republicans and Democrats                        the pleas for help from the fellow                     them.
                                               from all walks of life, cutting across                  Americans, comforted by the selfish                      We already know about the stresses
                                               the political and geographic spectrum.                  but mistaken belief their communities                  our schools are undergoing. Do we real-
                                                 We knew the assistance Congress pro-                  are immune to the fiscal Armageddon                    ly want school budgets to be cut and
                                               vided our State and local governments                   facing our communities.                                educators laid off at this important
                                               in the CARES Act wasn’t enough to                         Let me be clear. It doesn’t really                   time?
                                               deal with the growing need, and we                      matter how fiscally responsible or con-                  The CARES Act did provide $150 bil-
                                               warned our colleagues—each and every                    servative your State budget has been                   lion to our States and to very large
                                               one—that what was happening in New                      when your revenue drops 30 percent                     communities, but those funds came
                                               Jersey, Louisiana, and elsewhere would                  overnight. It is not a random blue                     with restrictions, and they did not re-
                                               eventually come to their State if we                    State issue; it is an American priority.               quire direct distributions to munici-
                                               didn’t get this pandemic under control.                   I believe that history will look kind-               palities with populations under 500,000.
                                               Well, we haven’t, and it is raging. Our                 ly upon those who stood up for some                    There is not a single county in Maine,
                                               fellow Americans are suffering, and too                 unity and compromise over dema-                        much less a city or town, that has a
                                               many of them are dying.                                 goguery and obstinacy, those who put                   population of that level.
                                                 We have waited for 76 days. What is                   the well-being of the country over scor-                 The National Governors Association
                                               now being offered is wholly inadequate                  ing partisan points, those who stuck                   has called for $500 billion in assistance
                                               to address the needs of the American                    their necks out and took a political                   to aid our Nation’s recovery. Organiza-
                                               people. In Colorado, for example, the                   risk for no reason other than it was the               tions supporting our towns and our cit-
                                               estimated State and local shortfall due                 right thing to do. That is what I be-                  ies and our counties have all endorsed
                                               to the pandemic is $10 billion, and                     lieve we are doing on the floor right                  the SMART Act.
                                                                                                                                                                Moody’s Analytics warns that failing
                                               counting, through 2022. In Alaska, it is                now—the right thing.
                                                                                                                                                              to act could shave 3 percentage points
                                               expected to exceed $4 billion. In Geor-                   With that, I am happy to turn to my
                                                                                                                                                              from real GDP, from our economic
                                               gia, it will be $2.5 billion in 2021 alone.             friend Senator COLLINS.
                                                                                                         The PRESIDING OFFICER. The Sen-                      growth, and result in the loss of 4 mil-
                                               Kentucky could see nearly a 20-percent
                                                                                                       ator from Louisiana.                                   lion jobs. That is the worst thing to
                                               drop in its revenues in 2021, at a time
                                                                                                         The PRESIDING OFFICER. The Sen-                      happen at this time.
                                               when the State’s fiscal house is already                                                                         This week, the Maine Municipal As-
                                               in disorder. But we are being offered                   ator from Maine.
                                                                                                                                                              sociation released projections antici-
                                               not a dime—zero—to help our cities,                       Ms. COLLINS. Madam President, I
                                                                                                                                                              pating a combined $146 million in lost
                                               counties, and States confront this chal-                have listened to the presentations of
                                                                                                                                                              revenue from Maine cities and towns
                                               lenge—zero, nothing. That is not some-                  my two colleagues, Senator CASSIDY
                                                                                                                                                              by the end of this year alone. We know
                                               thing that is acceptable.                               and Senator MENENDEZ, and I could not
                                                                                                                                                              that the revenues are going to take a
                                                 That is the problem when we ignore                    agree with them more. We have an op-
                                                                                                                                                              while to recover and are going to affect
                                               regular order and let leadership hijack                 portunity to solve a problem that is af-
                                                                                                                                                              next year as well.
                                               the legislative process: We lose our                    fecting each and every community in                      This builds on Maine’s Revenue Fore-
                                               voice, and the needs of our constitu-                   our country.                                           casting Committee, which expects a
                                               ents are left out.                                        With the COVID–19 pandemic con-
                                                                                                                                                              $1.4 billion State budget shortfall from
                                                 I, for one, didn’t come to Washington                 tinuing to devastate our public health
                                                                                                                                                              lost sales and income tax revenues over
                                               to sit on the sidelines and wait for a                  and our economy, towns and cities
                                                                                                                                                              the next 3 years.
                                               handful of people to reach a deal be-                   across our country are facing increas-                   As people are driving less, we are also
                                               hind closed doors, forced to vote on a                  ingly significant new challenges and                   seeing our gas tax revenues plummet.
                                               1,000-page bill within an hour of seeing                plummeting revenues at the exact                         I have talked with town and city
                                               it. But that is exactly what we have                    same time. I urge my colleagues to be                  managers, with mayors and members
                                               been doing here for far too long.                       problem-solvers, to address this crisis                of town councils, selectmen and
                                                 We need to end this high-stakes game                  as part of the relief package that is                  -women, all across the State of Maine
                                               of closed-door posturing and restore                    now being negotiated. We cannot wait.                  about the difficult decisions they are
                                               the Senate back to the foundation as                      I have joined with Senators MENEN-                   facing as they attempt to balance their
                                               the greatest deliberative body in the                   DEZ and CASSIDY and others in this                     budgets.
                                               world.                                                  Chamber in introducing the SMART                         These cuts are not theoretical. The
                                                 It would have been easier for me just                 Act. It would provide much needed fi-                  harm is not just possible; it is occur-
                                               to embrace the $900 billion for fiscal re-              nancial assistance to State and local                  ring today. Let’s look briefly at what
                                               lief in the Heroes Act. It would have                   governments while providing safe-                      some Maine communities are already
                                               been easier for Senators CASSIDY, COL-                  guards to prevent wasteful spending.                   having to do.
                                               LINS, and HYDE-SMITH to just toe the                      It is a lifeline to our communities,                   The city of Westbrook has announced
                                               party line, but we all knew that stick-                 just as the Paycheck Protection Pro-                   a hiring freeze affecting all city depart-
                                               ing to our respective corners wasn’t                    gram has been a lifeline to our small                  ments, including the police depart-
                                               going to help a single one of our con-                  businesses and their employees.                        ment. Well, that police department has
                                               stituents.                                                The consequences of local govern-                    five open positions that it needs to fill
                                                 It is not too late for the Senate to                  ment shortfalls are dire. Without our                  and cannot do so.
                                               get back on track. Let’s do our jobs.                   providing them relief, communities                       Auburn, a city in Androscoggin
                                               Let’s work together on a bipartisan so-                 face having to lay off essential employ-               County, has had to freeze six vacant
                                               lution that delivers the Federal sup-                   ees and reduced services at the worst                  positions because of expected revenue
                                               port our States, counties, and cities on                possible time for working families.                    losses—again, vital positions: two fire-
                                               the frontlines of this pandemic need to                   What is their alternative? They can-                 fighters, a police officer, and three pub-
                                               defeat COVID–19 and serve the Amer-                     not raise taxes. That would be the                     lic works employees. These cuts come
                                               ican people.                                            worst thing for them to do. Municipali-                as the city of Auburn has spent more
                                                 Let’s bring the SMART Act up in                       ties are already scaling back their                    than $200,000 in new expenses to re-
                                               committee, allow Members on both                        budgets, furloughing workers, and




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                                                                                                                                                              spond to the virus.
                                               sides of the aisle to offer amendments                  postponing     needed   purchases   and                  The town of Falmouth has elimi-
                                               to make the legislation even better.                    projects.                                              nated four open positions, including a
                                               You all know what our State and local                     These cuts threaten the jobs of our                  police officer, and can no longer go
                                               governments will get if we leave it up                  police officers, our firefighters, our                 ahead with the purchase of a much
                                               to the present status—absolutely noth-                  EMS personnel, our dispatchers, our                    needed new firetruck.
                                               ing. Good luck explaining that to the                   sanitation crews, and our public works                   The town of Windham has kept seven
                                               people back at home.                                    employees at the time when their serv-                 needed positions open. These are not



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                                               August 4, 2020                                    CONGRESSIONAL RECORD — SENATE                                                                 S4709
                                               large communities. This is a large                        So, as we gather here today to figure                had no pension fund. We fully amor-
                                               number of positions. Five of these are                  out how to get out of this mess, his job               tized it within about 10 years. We did
                                               public works positions, without which,                  that day was to try to figure out how                  all kinds of things, all kinds of budget
                                               how is the plowing going to be done                     to get out of another mess, and my                     reforms in order to get us on the right
                                               this winter to keep the roads safe and                  hope is that our efforts here in the Sen-              track.
                                               clear?                                                  ate, the House, and the White House                      Now, I have heard some of my col-
                                                 The town has also postponed $1.6 mil-                 will be as successful as were his.                     leagues say the States got themselves
                                               lion in capital projects. That has a rip-                 I am happy to follow today our friend                in a mess and they are going to have to
                                               ple effect on the local economy. It                     from Maine; our colleague from New                     get out of it. They said they can file for
                                               means the contractor is neither buying                  Jersey; and you, Mr. President, as the                 bankruptcy; they are badly managed.
                                               supplies nor hiring employees at this                   Senator from Louisiana, in actually                      Let me just say, my State is a AAA
                                               time.                                                   pointing to something we can agree on.                 State. We got a AAA rating when I was
                                                 In northern Maine, in the northern                    People are always saying to me and, I                  Governor, and we never lost it to this
                                               Maine city of Madawaska, the town                       know, to my colleagues when we go                      day.
                                               manager has shared with my office                       home: Can’t you guys and gals ever                       Most States are better run fiscally
                                               that the town has had to scrap a $3 mil-                agree on anything?                                     than the Federal Government. You
                                               lion road-paving project and will have                    Well, as it turns out, a number of us                only have to look at the way we spend
                                               to keep at least three positions vacant.                agree that States and local govern-                    money around here—not just in the
                                                 This is what they are doing already.                  ments could use some help—some addi-                   middle of a pandemic. Look at the year
                                               It is only going to get worse for these                 tional help beyond that which we have                  before the pandemic, at how much our
                                               towns and cities as revenues continue                   already provided. That is a good thing.                Nation’s deficit and debt increased. But
                                               to plummet.                                             We don’t have to pit blue States                       even fiscally responsible, well-managed
                                                 Senator MENENDEZ made a very im-                      against red States. We can actually                    States like Delaware and some other
                                               portant point that I want to reiterate,                 work together, and in this case we are.                States that are represented on this
                                               and that is, the way our bill is struc-                   Very few of us actually come here                    floor right here are finding themselves
                                               tured, every city, every town, regard-                  and start our first elected job being in               in a situation that one could not have
                                               less of size, will receive direct assist-               the U.S. Senate—some, but not a lot. A                 imagined just a few months ago. That
                                               ance. Every county will receive direct                  number of people are former mayors,                    is especially true when we have an ad-
                                               assistance. They will not be dependent                  former Governors, former Representa-                   ministration that is simultaneously
                                               on the largesse of the State. The                       tives. But every now and then, some-                   asking State and local governments to
                                               money will go to them to meet these                     body slips through without ever having                 shoulder the burden of responding to
                                               essential needs.                                        run for elected office.                                the coronavirus.
                                                 It is common sense to provide the re-                   I am a former State treasurer. People                  Leader MCCONNELL and Secretary
                                               lief needed to avoid these widespread                   call me a recovering Governor, but I                   Mnuchin say that States don’t need
                                               layoffs and cuts to essential services at               am really a recovering State treasurer.                more money because they haven’t used
                                               the local level, where they often are                   I was elected State treasurer when I                   the coronavirus relief funds that Con-
                                               most often needed. These are the public                 was 29. When I was elected State treas-                gress provided in the CARES Act. Well,
                                               servants who keep our communities                       urer and took my oath, our State had                   unfortunately, that is just not true. A
                                               and our citizens safe. They are the pub-                the worst credit rating in the country.                survey conducted by the National As-
                                               lic servants who keep our communities                     I was elected in 1976—the same year                  sociation of State Budget Officers
                                               and our citizens healthy. They are the                  that a Republican named Pete du Pont                   shows that States have already allo-
                                               public servants who keep our commu-                     was elected Governor of our State. He                  cated nearly 75 percent of these funds
                                               nities and our citizens educated. They                  turned out to be a terrific Governor at                already to fight the pandemic and help
                                               are the ones who are plowing our roads                  a time when we needed one. He was a                    struggling families and small busi-
                                               and repairing our bridges. They are the                 good mentor for me and someone I al-                   nesses through this crisis.
                                               ones who make our towns, our cities,                    ways looked up to, and I hope I was a                    If States across this country see a re-
                                               our neighborhoods livable.                              good partner to him and Democrats                      surgence in infection rates, the cost of
                                                 Congress must act to provide assist-                  and Republicans in the legislature to                  addressing the health and economic
                                               ance to every community. This is a                      pull our State out of a real mess.                     crisis is not going down; it is going up.
                                               problem we can solve. Let’s enact the                     Not only did we have the worst credit                  At the same time that the cost of ad-
                                               SMART Act as part of the next                           rating in the country that year—1977,                  dressing this pandemic has sky-
                                               coronavirus package.                                    actually—we had the worst credit rat-                  rocketed, businesses are shuttered, and
                                                 The PRESIDING OFFICER (Mr. CAS-                       ing, we had no pension fund, we had no                 tourism and commerce have come, in
                                               SIDY). The Senator from Delaware.                       rainy day fund, and we had the lowest                  many places, to a standstill. That
                                                                f                                      start rate of new businesses of any                    means that hundreds of billions of dol-
                                                                                                       State in America.                                      lars in lost revenues for States and
                                                            CORONAVIRUS                                  We couldn’t balance our budgets if we                local governments have occurred.
                                                 Mr. CARPER. Mr. President, I am                       had to. In order to actually have                        Delaware is certainly not alone. So
                                               going to briefly remove my mask.                        money to spend, we issued revenue an-                  let me be very clear. This is not a red
                                                 We are about 1 week into baseball                     ticipation notes.                                      State or a blue State problem; it is a
                                               season. I will lighten this up a little                   When I got to the State treasurer’s                  United States problem. It is not a con-
                                               bit. We are 1 week into baseball season.                office, I said: What is a revenue antici-              sequence of poor management either.
                                               Some of us here are huge baseball fans.                 pation note?                                             Over the past couple months, weeks,
                                               This is the home of the Nationals—                        They said: That is the way the State                 I have had conversations, as my col-
                                               home of the world championship Wash-                    borrows money until tax monies come                    leagues know, with dozens of them on
                                               ington Nationals. The best two pitch-                   in the following April, so that we can                 both sides of the aisle about what
                                               ers come from the Detroit Tigers, my                    actually pay payroll and pensions and                  States and local communities across
                                               favorite team.                                          stuff like that.                                       our country are facing as a result of
                                                 For those who might not have been                       I said: You are kidding.                             COVID–19. In those conversations with
                                               watching baseball over the weekend,                       They said: No, we are not.                           my Democratic and Republican col-
                                               there is a young guy who is a relief                      That was then; this is now. When                     leagues, time and again I have heard a




SSpencer on DSK126QN23PROD with SENATE
                                               pitcher for the Tigers. His name is                     Pete du Pont was our Governor and I                    familiar refrain: The pandemic has
                                               Tyler Alexander. He was brought in in                   was treasurer, we had a bipartisan leg-                caused State and local government rev-
                                               relief in the second or third inning and                islature. The house and senate were                    enues to plummet in a way that none
                                               struck out nine straight bats. He                       split between Democrats and Repub-                     of us have ever experienced or would
                                               struck out the first nine batters he                    licans. But we created a rainy day fund                have or could have foreseen.
                                               faced. I think one other person has                     and never invaded it. We created and                     Income tax revenues have fallen and
                                               done that in Major League history.                      fully amortized our pension fund. We                   unemployment numbers have reached



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