Serrano statement at subcommittee markup of 2017 Financial Services & General Government Appropriations bill

May 25, 2016
Press Release

Thank you, Mr. Chairman.

 

A few weeks ago, I was saddened to learn that this will be Chairman Crenshaw’s last term in Congress, and his last year in charge of this subcommittee, so let me begin by thanking you for the partnership we have had on this subcommittee over the years.  Although we don’t agree on everything, you have always been fair, direct, and honest with our side in the way you have conducted this subcommittee.  You have tried to find common ground and to accommodate us when you are able. We may disagree on some of the priorities of this subcommittee, but we have never been disagreeable. 

 

 This good will and evenhandedness is something that I would like to compliment the staff on both sides for as well.  Many people here realize just how important staff is in creating the bill and report before us today.  They have spent many long nights and weekends preparing us for today, and I know all the Members on my side are thankful.

 

Given this, it pains me to oppose the product before us today.  This bill inadequately funds agencies vitally important to the American people.  The overall funding level in the bill is $21.735 billion, which is $1.5 billion, or 6 percent below last year’s level, and 11 percent below the President’s request.  The bill is loaded down with dozens of riders that are divisive and partisan. 

 

That said, there are a few areas where I want to commend the majority.  The Community Development Financial Institutions Fund is funded at $250 million, $16.5 million above the enacted level, and $4 million above the President’s request.  CDFI provides significant economic development and investment in underserved areas like my district in the Bronx, and there is bipartisan support for its work. The Small Business Administration is also well-funded, including Microloans, PRIME, Small Business Development Centers and Women's Business Centers.  The 7(a) loan authorization limit is also increased. The Federal Judiciary is well funded, ensuring that the 3rd Branch’s constitutional obligations can be met. 

 

Unfortunately, numerous agencies are woefully underfunded. 

 

The IRS is cut $236 million from FY 16.  From 2010 to 2015, budget cuts have forced the IRS to cut its workforce by 18 percent.  This harms honest taxpayers who need help. And frankly, it helps those who wish to cheat the government out of the taxes they owe. 

 

The Securities and Exchange Commission is funded at $226 million below the President's request, and $50 million below enacted.  We should not be cutting funding for the agency primarily responsible for preventing the abuses that caused our financial meltdown.  Riders that are harmful to the Consumer Financial Protection Bureau, an entity charged with protecting consumers from unfair, deceptive, or abusive financial practices, are included as well.

 

The Federal Communications Commission is cut by $69 million below enacted, and $43 million below the President’s request. The Office of Management and Budget is funded at $10 million below the President’s request. 

 

The bill also includes dozens of unnecessary partisan riders and entire bills that make compromise next to impossible.  Given the amount of authorizing language that has been attached to the bill, we could argue that this is not even an appropriations bill, but an authorizing one. 

 

The FCC is subject to numerous riders that restrict both implemented and proposed rules. Once again, the majority attempts to stop the FCC’s net neutrality rule.  None of the fears that opponents of the rule advanced in the lead up to its implementation have come to pass- there has been increased investment, continued expansion, and increased profits for internet service providers.  There is no reason to continue the crusade against this rule.

 

In addition to budget cuts, the IRS is once again subject to a number of policy riders, aimed at the Republicans’ twin obsessions of the Affordable Care Act and 501(c)(4) reform.  The agency is prevented from implementing the individual mandate, as well as transfers from the Department of Health and Human Services.  They are also prevented from addressing the 501(c)(4) regulations which have been open to confusion, and in some cases abuse, by non-profit groups.  These are unnecessary and counterproductive- the inclusion of the individual mandate rider would actually ensure that there would be a serious loss of revenue by the government.

 

Additionally, the bill attempts to limit transparency in government by including two riders to restrict the public’s ability to know who corporations, and in particular federal contractors, are giving political donations to.  The bill also includes a number of riders limiting women’s health choices, both in federal health plans and in the District of Columbia, which is once again prevented from using its own dollars to provide legal abortion services to low-income women.  The bill includes further interference in the District of Columbia’s local affairs by repealing the locally passed law allowing the District to use its own local funds without the approval of Congress, even though courts have ruled in the District’s favor in recent court cases.  And the bill includes several provisions attempting to stop the President’s continued engagement with Cuba.  They seek to reinstitute the failed policies of the past 50 years and should be removed.

 

In particular, I find it troubling that at a time when we are trying to find solutions to Puerto Rico’s fiscal crisis, including allowing for restructuring of its debt, that instead of addressing that issue, this bill includes language on corporate bankruptcy.  It just goes to show where our nation’s priorities lie when it comes to the territories.

 

These riders inject a level of partisan politics that is unnecessary, unwarranted, and unhelpful.  For all of the talk of returning to regular order, both sides of the aisle know it will be near impossible to so with the inclusion of these veto bait provisions.  Many are simply retreads of failed efforts from previous years.  They are an effort to appease the right wing of the right wing.  The result is that we will simply end up with a CR, or worse.  

 

I hope we can find the common ground necessary to have a good bill that helps the American people.  But the bill before us today contains no such compromise, and I cannot support it.

 

Thank you Mr. Chairman.

114th Congress