June 13, 1979
Page 14569
Mr. MUSKIE. Mr. President, I support the bill brought before the Senate by the distinguished Senator from Colorado, Mr. HART. I applaud his efforts to revise the stockpile act as part of a thorough congressional evaluation of our national defense needs and priorities confronting us over the remaining years of this century.
However, Mr. President, section 9 of the proposed bill contains a provision which concerns me from the standpoint of sound budgetary practice. I would like to address my concerns to my good friend at this time.
Section 9 of the bill provides that a separate fund be established within the Treasury for receipts and expenditures relating to stockpile transactions which would insure that for a specific period of time stockpile receipts would be made available only for appropriations to acquire needed stockpile materials. I do not believe it is in the Congress' interest or the administration's interest to establish special accounts or funds within the Treasury, particularly in cases such as this where the amount of receipts that may be received bear no particular relationship to the dollar requirements that may need to be funded. As a general rule, I believe it is much better simply to deposit such receipts in the Treasury along with all other receipts, to be appropriated for such purposes as the Congress may direct.
I realize that H.R. 2154, as reported in the Senate, limits the placement of stockpile receipts in the fund for 3 fiscal years after the fiscal year in which the moneys are placed in the fund. I also realize that none of these receipts can be used for stockpile acquisitions unless appropriated through normal processes.
I wonder if my good friend could comment on why he believes establishment of such a fund is necessary.
Mr. HART. Mr. President, I will be most happy to respond to the Senator from Maine, Mr, MUSKIE. First, I want him to know I appreciate his support of my efforts in this endeavor, and I am equally concerned that sound fiscal policies be maintained in the management of the Federal budget.
I feel that there are several reasons why a separate fund tracking stockpile transactions may be necessary at this time.
Both the Ford and Carter administrations have evaluated the needs of the strategic stockpile. The results of those evaluations indicate that of the 93 materials in the stockpile, 40 exceed requirements and 53 fall short of requirements. The administration is currently developing plans to alleviate this situation.
I anticipate a great deal of activity in the stockpile over the next decade, both disposals and acquisitions. By establishing a separate fund within the Treasury for these transactions, we will have a continuing accountability of. the stockpile and complete auditability of all actions. Visibility of the stockpile is a major goal of the legislation.
I would also stress that the legislation before us provides that stockpile acquisitions must be authorized. That is currently not required. And, as my good friend has noted, funds for all acquisitions would have to be appropriated.
Regarding the 3-year provision for holding moneys in the fund before they are placed in the general Treasury, it is something I have pushed for and something the administration fully supports. The House-passed bill would hold the moneys in the fund for an indefinite period of time which the administration opposes. I originally proposed the 3-year provision because I believe it is a reasonable compromise between two alternative positions: one that would not provide for a special fund, which I believe is necessary, and a second, which is the House proposal of retaining the receipts in the fund indefinitely.
Mr. MUSKIE. Mr. President, I say to the Senator that I understand the situation. I would like the record to show that as chairman of the Budget Committee, I am concerned about any attempts to create special funds in the budget. It is not a good practice. But I will address each such proposal on its merits.
In this case, I recognize the urgency and priority of managing this strategic stockpile clearly and carefully and in a manner that meets our national needs. I also recognize that by requiring authorization of all stockpile acquisitions and disposals, and by requiring appropriations for stockpile acquisitions, the Congress maintains a grip on the fund to be established by this legislation.
I think it is absolutely necessary that the Senate provision that any unused moneys be passed to the general Treasury at the end of the third fiscal year after they are received be retained in conference. I wonder if the Senator might address this point.
Mr. HART. Mr. President, I concur with everything the Senator has stated. I assure him that the administration supports the Senate position on this issue and opposes the House position. The Senate position will be our firm position in conference.
Mr. MUSKIE. Mr. President, I thank my good friend for this assurance.
Mr. HART. Mr. President, I thank the able Senator from Maine for expressing his position on this matter. I believe it strengthens the Senate's hand in our forthcoming conference.