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“UNFUNDED MANDATE REFORM ACT OF 1995” published by Congressional Record on Jan. 11, 1995

Volume 141, No. 6 covering the 1st Session of the 104th Congress (1995 - 1996) was published by the Congressional Record.

The Congressional Record is a unique source of public documentation. It started in 1873, documenting nearly all the major and minor policies being discussed and debated.

“UNFUNDED MANDATE REFORM ACT OF 1995” mentioning the Environmental Protection Agency was published in the House of Representatives section on pages H188-H189 on Jan. 11, 1995.

The publication is reproduced in full below:

UNFUNDED MANDATE REFORM ACT OF 1995

The SPEAKER pro tempore. Under a previous order of the House, the gentleman from Indiana [Mr. McIntosh] is recognized for 5 minutes.

Mr. McINTOSH. Mr. Speaker, I rise today to talk about a critical issue that must be addressed as we address the balanced budget at the Federal level, it is very important that we also protect the taxpayer at the local level. So I wish to indicate my support for the unfunded mandates bill and the need for liberalizing the rules governing privatization of Federal infrastructure assets by State and local governments.

Yesterday, the House Committee on Government Reform and Oversight completed its markup of H.R. 5 the Unfunded Mandate Reform Act of 1995. Chairman Bill Clinger showed tremendous leadership on the first day of committee business by moving the bill so quickly. I strongly support House passage of the Unfunded Mandate Reform Act.

The Unfunded Mandate Reform Act of 1995 is an important first step in right-sizing the Federal Government. The November 8 election sent Washington a clear message--the American people want smaller, less intrusive government. Unfunded Federal mandates is one costly example of Federal Government overreach.

The Federal Government taxes gasoline, cigarettes, payroll for Social Security, and of course, income. But that is not all. Washington also taxes the American people through costly regulations placed on State and local governments and the private sector. The cost of Federal regulations are hidden in increased property and sales taxes, higher fees on services that show up in water and sewer bills, and more expensive goods and services. In addition, these Federal mandates infringe upon the freedom of communities to order their public lives. In short, the Federal Government compels taxpayers of both State and local governments and the private sector, either by force of law or the power of the purse, to pay for its policies. The America people want relief.

The mayor of Richmond, IN, Steve Cornett has indicated that unfunded Federal mandates have prevented that municipality from improving vital public safety and infrastructure. The Environmental Protection Agency compels this community to fit its landfill with a $1 million liner, even though the landfill is clay and not prone to leeching. The city also had to use scarce resources to dig up empty storage tanks

[[Page H189]] in a remote area near the Richmond Municipal Airport. According to Mayor Cornett, the opportunity costs of this Federal meddling is high. The city wants to update fire department equipment, but is strapped for the funding. Curbs, sidewalks and streets need repairs, but the demands of the Federal regulations come first. The city of Richmond is not unique in this regard. The U.S. Conference of Mayors with the firm of Price Waterhouse assessed the cost of 10 unfunded Federal mandates and found that they consumed 11.7 percent of local revenue--(August and September 1993).

As I stated, the Unfunded Mandate Reform Act of 1995 is an important first step. To do the full work of right-sizing the Federal Government, this Congress must also: First, address existing unfunded mandates--

H.R. 5 directly addresses only prospective mandates; Second, level the playing field between public and private entities--that is to say, private sector entities that provide services such as utilities should receive the same relief from regulation as publicly held entities; and

third, reduce barriers to privatization. With regard to the last--

privatization--I hope to introduce an amendment to H.R. 5 to reduce barriers to the privatization of federally financed infrastructure assets by State and local governments.

State and local governments should have greater control over infrastructure decisions, on roads, utilities, and airports. Current Federal policy greatly restricts the options available to those governments to manage infrastructure assets with little regard to local priorities.

My amendment would allow State and local governments to transfer Federal-aid facilities to the private sector--either by sale or long-

term lease--without repayment of Federal grants, provided the facility continues to be used for its original purpose. This legislation is an extension of Executive Order 12803 on Privatization that President Bush signed in 1992. It would not interfere with any contractural obligations agreed to by local government owners in connection with previous grants.

In my home district, the Second Congressional District of Indiana, there are many examples of successful privatization efforts. Two in particular are the Muncie Youth Opportunity Center and the Anderson Community Hospital Pregnancy Plus Program. The Muncie Youth Opportunity Center is a home for disadvantaged young people privatized and supported by private donations under the very able leadership of Judge Steven Caldemeyer. The center was previously administered by Delaware County and since its privatization, the center has renovated its facilities and begun to serve more needy children in my hometown. The Anderson Community Hospital Pregnancy Plus Program offers prenatal care to women of limited means. Previously run by the Madison County Department of Health, since privatization, the program has nearly doubled the number of women who have access to prenatal care in this program and expanded to provide post-natal care.

Just adjacent to my district, the city of Indianapolis is a leader in privatization. Indianapolis Mayor Steve Goldsmith has moved 50 public services into the private sector by way of competitive bidding, at a savings of $115 million.

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Mr. Speaker, I urge passage of the bill and support for my amendment.

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SOURCE: Congressional Record Vol. 141, No. 6