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OUR GREAT COUNTRY AND THE
WONDERFUL PEOPLE WHO ELECTED US,
SENT US HERE TO LEAD IT.
I THANK THE CHAIR.
I YIELD THE FLOOR, AND I SUGGEST
THE ABSENCE OF A QUORUM.
THE
CLERK WILL CALL THE ROLL.
QUORUM CALL:
A VERY
NEGATIVE IMPACT ON OUR FRAGILE
ECONOMIC RECOVERY.
ALSO, IN RURAL STATES LIKE
VERMONT AND MONTANA AND OTHER
RURAL STATES, IT IS WREAKING
REAL HARDSHIP ON WORKING PEOPLE
WHO IN MANY CASES DRIVE LONG
DISTANCES TO WORK.
IN VERMONT, CERTAINLY, IT IS NOT
UNCOMMON FOR PEOPLE TO BE
DRIVING 50 MILES TO THEIR JOB
AND 50 MILES BACK.
WHEN THE PRICE OF GAS GETS TO BE
BE $3.80 A GALLON OR $4 A
GALLON, IT REALLY HURTS.
AND WHEN WAGES ARE STAGNANT,
WHEN MANY PEOPLE HAVE SEEN A
DECLINE IN THEIR PAYCHECKS, HIGH
GAS PRICES HAVE JUST TAKEN
ANOTHER CHUNK OUT OF THEIR
LIMITED INCOME.
IT'S SOMETHING THAT AS A
ADDRESS.
CONGRESS, WE HAVE GOT TO
THE PRICE OF OIL TODAY, WHILE
DECLINING SOMEWHAT IN RECENT
WEEKS, IS STILL OVER $97 A
BARREL, AND IN VERMONT, IT IS
OVER $3.80 A GALLON AT THE PUMP.
NOW, THE THEORY BEHIND THE
SETTING OF OIL PRICES THAT WE
LEARNED IN HIGH SCHOOL IS THAT
OIL PRICES ARE SET BY SUPPLY AND
DEMAND.
WHEN THERE IS LIMITED SUPPLY AND
A LOT OF DEMAND, OIL PRICES GO
UP.
WHEN THERE IS A LOT OF SUPPLY
AND LIMITED DEMAND, OIL PRICES
SHOULD GO DOWN.
SO LET'S BE CLEAR.
THE FACT OF THE MATTER IS THAT
TODAY THERE IS MORE SUPPLY THAN
THERE WERE TWO YEARS AGO, THAT
TODAY THERE IS LESS DEMAND THAN
THERE WAS TWO YEARS AGO.
THEREFORE, OIL PRICES SHOULD BE
SUBSTANTIALLY LOWER THAN WAS THE
CASE TWO YEARS AGO.
OPPOSITE.
THE FACT, HOWEVER, IS JUST THE
IN VERMONT TODAY, GAS PRICES ARE
ARE $3.80 A GALLON.
TWO YEARS AGO, THEY WERE
APPROXIMATELY $2.44 A GALLON.
SO THE EXPLANATION OF SUPPLY AND
DEMAND IN TERMS OF WHY OIL
PRICES HAVE SOARED JUST DOESN'T
CARRY ANY WEIGHT.
MR. PRESIDENT, WHILE WE CANNOT
IGNORE THE FACT THAT BIG OIL
COMPANIES HAVE BEEN GOUGING
CONSUMERS AT THE PUMP FOR YEARS
AND HAVE MADE ALMOST $1 TRILLION
IN PROFITS OVER THE PAST DECADE,
THERE IS MOUNTING EVIDENCE THAT
THE INCREASED PRICE OF GASOLINE
AND OIL HAS NOTHING TO DO WITH
SUPPLY AND DEMAND AND EVERYTHING
TO DO WITH WALL STREET
SPECULATORS WHO ARE DOMINATING
THE OIL FUTURES MARKET AND
DRIVING PRICES UP, UP AND UP.
TEN YEARS AGO, SPECULATORS ONLY
CONTROLLED ABOUT 30% OF THAT
MARKET.
TODAY, WALL STREET SPECULATORS
CONTROL OVER 80%, OVER 80% OF
THE OIL FUTURES MARKET, AND MANY
OF THEM WILL NEVER USE ONE DROP
OF THAT OIL.
SO WE'RE NOT TALKING ABOUT
AIRLINES THAT USE GAS AND OIL.
WE'RE NOT TALKING ABOUT TRUCKING
COMPANIES, WE'RE NOT TALKING
ABOUT HOME HEATING COMPANIES.
WE'RE TALKING ABOUT SPECULATORS
WHOSE ONLY FUNCTION IN THIS
ENTIRE PROCESS IS TO MAKE AS
MUCH MONEY AS THEY CAN BY
RAISING PRICES AND THEN SELLING.
NOW, THIS IS NOT JUST SENATOR
BERNIE SANDERS MAKING THIS
POINT.
LET ME QUOTE FROM A JUNE 2
ARTICLE FROM THE "WALL STREET
JOURNAL," AND I QUOTE -- "WALL
STREET IS TAPPING A REAL GUSHER
IN 2011, AS HEIGHTENED
VOLATILITY AND HIGHER PRICES OF
OIL AND OTHER RAW MATERIALS
BOOST BANKS' PROFITS BY 55% IN
THE FIRST QUARTER."
END OF QUOTE.
BANKS' PROFITS ARE SOARING AS A
RESULT OF OIL SPECULATION.
THAT IS THE FACT.
JOURNAL."
NOT JUST "THE WALL STREET
THE C.E.O. OF EXXONMOBIL, REX
TILLERSON IN RESPONSE TO A
QUESTION AT A RECENT SENATE
HEARING ESTIMATED THAT
SPECULATION WAS DRIVING UP THE
PRICE OF A BARREL OF OIL BY AS
MUCH AS 40%.
THAT'S THE C.E.O. OF EXXONMOBIL.
YOU MIGHT KNOW SOMETHING ABOUT
THAT ISSUE.
THE GENERAL COUNSEL OF DELTA
AIRLINES, A MAJOR CONSUMER OF
FUEL, BEN HEARST AND THE EXPERTS
AT GOLDMAN SACHS HAVE ALL SAID
THAT EXCESSIVE SPECULATION IS
CAUSING OIL PRICES TO SPIKE BY
20% TO 40%.
EVEN SAUDI ARABIA, THE LARGEST
EXPORTER OF OIL IN THE WORLD,
TOLD THE BUSH ADMINISTRATION
BACK IN 2008 WHEN THE BUSH
ADMINISTRATION WENT TO THEM AND
SAID WE NEED TO DRIVE PRICES
DOWN, PRODUCE MORE OIL, SELL
MORE OIL, THEY SAID THAT IS NOT
THE PROBLEM.
SAUDI ARABIA SAID WE HAVE GOT
ALL THE OIL THAT WE NEED.
THE PROBLEM IS SPECULATION, AND
THEY ESTIMATED THAT SPECULATION
WAS -- COULD RESULT IN ABOUT $40
A BARREL.
IN OTHER WORDS, MR. PRESIDENT,
THE SAME WALL STREET SPECULATORS
WHO CAUSED THE WORST FINANCIAL
CRISIS SINCE THE 1930'S THROUGH
THEIR GREED, RECKLESSNESS AND
ILLEGAL BEHAVIOR ARE BACK AT IT
AGAIN, AND THIS TIME THEY ARE
RIPPING OFF THE AMERICAN PEOPLE
BY GAMBLING THAT THE PRICE OF
OIL AND GAS WILL CONTINUE TO GO
UP AND UP AND UP, AND IN THAT
PROCESS ARE DRIVING THE PRICE OF
GAS AND OIL UP AND UP AND UP.
SADLY, -- AND THIS IS THE
IMPORTANT POINT -- THIS SPIKE IN
OIL AND GASOLINE PRICES WAS
ENTIRELY AVOIDABLE.
THIS WAS AVOIDABLE.
THE WALL STREET REFORM ACT THAT
WE PASSED LAST YEAR, THE
DODD-FRANK LEGISLATION,
REQUIRED, UNDER LINE REQUIRED,
THE COMMODITY FUTURES TRADING
COMMISSION TO IMPOSE STRICT
LIMITS ON THE AMOUNT OF OIL THAT
WALL STREET SPECULATORS COULD
TRADE IN THE ENERGY FUTURES
MARKET BY JANUARY 17 OF THIS
YEAR.
WE PASSED LEGISLATION THAT SAID
TO THE COMMODITY FUTURES TRADING
COMMISSION THAT YOU HAVE GOT TO
PASS -- YOU HAVE GOT TO IMPOSE
RULES BY JANUARY 17 WITH STRICT
LIMITS ON EXCESSIVE OIL
SPECULATION.
MR. PRESIDENT, SIX MONTHS HAVE
COME AND GONE.
THEY HAVE NOT DONE WHAT THEY
WERE REQUIRED TO DO.
ALMOST FIVE MONTHS LATER, THE
SFTC STILL HAS NOT IMPOSED THOSE
SPECULATION LIMITS.
IN OTHER WORDS, THE SPECIFIC
REGULATOR ON OIL SPECULATION IS
CLEARLY BREAKING THE LAW AND IS
NOT DOING WHAT HE IS SUPPOSED TO
BE DOING.
LAST MONTH, MR. PRESIDENT, I
HELD A MEETING IN MY OFFICE WITH
MR. GARY GENSLER WHO IS THE
CHAIRMAN OF THE CFTC AND SIX
OTHER SENATORS.
I HAVE TO TELL YOU THAT I WAS
EXTREMELY DISAPPOINTED IN BOTH
THE TONE OF THAT MEETING AND THE
COMPLETE LACK OF URGENCY AT THE
CFTC WITH RESPECT TO CRACKING
DOWN ON OIL SPECULATORS, AS
REQUIRED BY THE LAW.
THEREFORE, TODAY I HAVE
INTRODUCED LEGISLATION ALONG
WITH SENATORS BLUMENTHAL,
MERKLEY, FRANKEN, WHITEHOUSE AND
BILL NELSON TO END EXCESSIVE
SPECULATION ONCE AND FOR ALL --
ONCE AND FOR ALL.
THE AMERICAN PEOPLE CANNOT
CONTINUE TO BE RIPPED OFF BY
WALL STREET, WHO ARE
ARTIFICIALLY DRIVING UP THE
PRICE OF OIL AND GAS.
I AM VERY PLEASED TO ALSO
ANNOUNCE THAT CONGRESSMAN
MAURICE HINCHEY WILL BE
INTRODUCING THIS PIECE OF
LEGISLATION IN THE HOUSE.
THIS LEGISLATION MANDATES THAT
THE CHAIRMAN OF THE CFTC TAKE
IMMEDIATE ACTIONS TO ELIMINATE
EXCESSIVE OIL SPECULATION WITHIN
TWO WEEKS -- TWO WEEKS.
ONE, OUR BILL REQUIRES THE
CHAIRMAN TO ESTABLISH
SPECULATIVE OIL POSITION LIMITS
EQUAL TO THE POSITION
ACCOUNTABILITY LEVELS THAT HAVE
BEEN IN PLACE AT THE NEW YORK
MERCANTILE EXCHANGE SINCE 2001
-- 2002.
2001.
THIS BILL REQUIRES THE CHAIRMAN
-- SO THAT WALL STREET
INVESTMENT BANKS BACK THEIR BETS
WITH REAL CAPITAL.
THREE, UNDER THIS BILL, GOLDMAN
SACHS, MORGAN STANLEY AND OTHER
INVESTMENT BANKS ENGAGE IN
PROPRIETARY OIL TRADING WOULD BE
CLASSIFIED AS "SPECULATORS"
INSTEAD OF BONAFIDE HEDGERS.
AND, 401(K)'S THE CHAIRMAN OF
THE CFTC WOULD BE REQUIRED,
UNDER THIS BILL, TO TAKE ANY
OTHER ACTION NECESSARY TO
ELIMINATE EXCESSIVE SPECULATION
AND ENSURE THAT THE PRICE OF OIL
ACCURATELY REFLECTS THE
FUNDAMENTALS OF SUPPLY AND
DEMAND.
MR. PRESIDENT, I AM PLEASED TO
ANNOUNCE THAT THIS LEGISLATION
ALREADY HAS THE SUPPORT OF A
VERY DIVERSE GROUP OF
BUSINESSES, FUEL DEALERS,
ORGANIZATIONS REPRESENTING SMALL
CONSUMERS, WORKERS, AIRLINES,
AND FARMERS.
AND SOME OF THOSE ORGANIZATIONS
ARE AMERICANS FOR FINANCIAL
REFORM, THE CONSUMER FEDERATION
OF AMERICA, DELTA AIRLINES, THE
GASOLINE AND AUTOMOTIVE SERVICE
DEALERS OF AMERICA, THE
INTERNATIONAL BROTHERHOOD OF
TEAMSTERS, THE MAIN STREET
ALLIANCE, THE NATIONAL FARMERS
UNION, THE NEW ENGLAND FUEL
INSTITUTE, PUBLIC CITIZEN, AND
ASSOCIATION.
THE VERMONT FUEL DEALERS
THIS IS JUST A FEW.
AND I WANT TO THANK ALL OF THOSE
ORGANIZATIONS FOR THEIR SUPPORT.
MR. PRESIDENT, THE AMERICAN
PEOPLE ARE SICK AND TIRED OF
BEING RIPPED OFF AT THE GAS
PUMP.
PEOPLE IN THE NORTHERN PART OF
THE STATE, WHETHER IT IS VERMONT
OR MINNESOTA, WORRY ABOUT WHAT
THE PRICE OF HOME HEATING OIL
WILL BE NEXT WINTER.
WHAT WE'RE SEEING NOW IN TERMS
OF EXCESSIVELY HIGH OIL AND GAS
PRICES HAS NOTHING TO DO WITH
SUPPLY AND DEMAND AND EVERYTHING
TO DO WITH WALL STREET
SPECULATION.
THIS CONGRESS HAS TOLD THE CFTC
TO ACT.
THEY HAVE FAILED TO ACT.
NOW IS THE TIME FOR US TO TELL
THANK YOU VERY MUCH,
THEM EXACTLY WHAT MUST HAPPEN.
MR. PRESIDENT.
AND, WITH THAT, I YIELD THE
FLOOR.
I SUGGEST THE ABSENCE OF A
QUORUM.
THE
CLERK WILL CALL THE ROLL.
QUORUM CALL:
ING OFFICER: THE
SENATOR FROM IOWA.
I ASK FURTHER
PROCEEDINGS UNDER THE QUORUM
CALL BE DISPENSED WITH.
WITHOUT
OBJECTION.
WHEN JERRY
COONAHAN LEAVES THE SENATE
EMPLOYMENT IN THE NEXT COUPLE OF
DAYS WE WILL LOSE ONE OF THE
MOST RESPECTED MEMBERS OF OUR
SENATE FAMILY.
DURING NEARLY TWO DECADES OF
SERVICE WITH THE SENATE, HE
EPITOMIZES DEDICATION, LOYALTY
AND INCREDIBLE WORK ETHIC OF THE
BEST STAFF MEMBERS HERE ON
CAPITOL HILL.
WE'RE SAYING FAREWELL NOT JUST
TO A WONDERFUL SENATE EMPLOY,
BUT ALSO TO A VERY GOOD FRIEND.
MR. PRESIDENT, JERRY COONAHAN
FIRST CAME TO CAPITOL HILL AS A
MEMBER OF SENATOR JOHN
McCAIN'S STAFF.
HE LATER LEFT THE SENATE FOR A
BRIEF TIME, BUT RETURNED IN 1997
AS A TOUR GUIDE IN THE CAPITOL
BUILDING WHERE HE TRULY
EXCELLED.
HISTORY HIMSELF.
IN FACT, JERRY MADE A BIT OF
HE GAVE THE FIRST PUBLIC TOUR
FOLLOWING THE FATAL SHAOFGT
TWO -- SHOOTING OF TWO CAPITOL
POLICE OFFICERS IN 1998.
WHEN THE CAPITOL REOPENED
FOLLOWING THE ATTACKS OF
SEPTEMBER 11, 2001, JERRY AGAIN
LED THE FIRST TOUR OF THE
CAPITOL.
FOUR YEARS AGO, SADLY, JERRY WAS
THE VICTIM OF A VIOLENT CRIME
AND SUSTAINED VERY GRAVE
INJURIES.
HE SPENT OVER FOUR WEEKS AT THE
NATIONAL REHABILITATION
HOSPITAL.
IT WAS A LONG AND COURAGEOUS
STRUGGLE TO LEARN TO WALK AND
SPEAK AGAIN, BUT JERRY
PERSEVERED AND SUCCEEDED.
UNFORTUNATELY, JERRY WAS NOT
ABLE TO RETURN TO HIS JOB AS A
TOUR GUIDE BECAUSE OF HIS
INJURIES.
BUT HE WAS HIRED TO WORK AS ONE
OF OUR ELEVATOR OPERATORS.
THAT'S WHERE I AND SO MANY OTHER
SENATORS HAVE HAD THE PLEASURE
OF MEETING HIM AND ENJOYING HIS
COMPANY IN RECENT YEARS.
I CAN'T TELL YOU HOW MANY TIMES
DURING LATE-NIGHT SESSIONS HE'S
BRIGHTENED OUR LIVES WITH A KIND
WORD OR BRIGHT SMILE.
I CAN'T TELL YOU HOW MANY TIMES
HE'S JEOPARDIED US INTO THE --
SHEPHERDED US INTO THE SANCTUARY
OF HIS ELEVATOR WHILE FENDING
OFF LOBBYISTS.
NO DOUBT ABOUT IT, GERRY
COUNIHAN HAS BEEN ONE OF THOSE
SPECIAL PEOPLE WHO MAKE THE
SENATE A GREAT PLACE TO WORK.
NOW, MR. PRESIDENT, GERRY IS
MOVING ON TO A NEW CAREER WITH
NEW RESPONSIBILITIES AND NEW
OPPORTUNITIES AT THE DEPARTMENT
OF HEALTH AND HUMAN SERVICES IN
ROCKVILLE, MARYLAND.
WITH HIS DEPARTURE WE'RE SAYING
GOODBYE TO A STANDOUT SENATE
STAFFER AND GREAT FRIEND.
WE WILL MISS HIM VERY MUCH.
THERE ARE NOT MANY THINGS THAT
REPUBLICANS AND DEMOCRATS AGREE
ON IN THIS BODY THESE DAYS, BUT
OUR LOVE FOR GERRY COUNIHAN IS
BIPARTISAN, AND INDEED I CAN SAY
THIS WITHOUT ANY FEAR OF
CONTRADICTION, UNANIMOUS.
THE SENATE FAMILY JOINS TOGETHER
IN WISHING GERRY HAPPINESS AND
SUCCESS IN HIS NEW CAREER.
MR. PRESIDENT, WITH THAT I YIELD
THE FLOOR AND NOTE THE ABSENCE
OF A QUORUM.
THE
CLERK WILL CALL THE ROLL.
QUORUM CALL:
I ASK UNANIMOUS CONSENT FOR THE
QUORUM CALL TO BE VAISHTED.
WITHOUT
OBJECTION, SO ORDERED.
THANK YOU.
MADAM PRESIDENT, I HAVE SIX
UNANIMOUS CONSENT REQUESTS FOR
COMMITTEES TO MEET DURING