Debate limited to 10 30 eastern today and now to live coverage of the u. S. Senate here on cspan2. The presiding officer the senate will come to order. The chaplain will lead the senate in prayer. The chaplain let us pray. Almighty god, the foundation of true wisdom, you extend your powerful dominion over the universe. Stand by our lawmakers and protect them with your might. Lord, refresh them with your wisdom, as you prepare them not only for time but eternity. Lord, we praise you for ethi ethically congruent lawmakers who in their innermost beings are true and honest. Give us more senators who are true to duty as the needle to the pole. Give us more legislators who are not afraid to call sin by its right name. Lord, provide us with more patriots who will stand for right, regardless of the consequences. We pray in your sovereign name. Amen. The presiding officer please join me in reciting the pledge of allegiance to our flag. I pledge allegiance to the flag of the United States of america, and to the republic for which it stands, one nation under god, indivisible, with liberty and justice for all. The presiding officer the clerk will read a communication to the senate. The clerk washington, d. C. , october 25, 2017. To the senate under the provisions of rule 1, paragraph 3, of the standing rules of the senate, i hereby appoint the honorable rand paul, a senator from the commonwealth of kentucky, to perform the duties of the chair. Signed orrin g. Hatch, president pro tempore. The presiding officer under the previous order, the leadership time is reserved. Morning business is closed. Under the previous order, the senate will proceed to executive session and resume consideration of the palk nomination, which the clerk will report. The clerk nomination, the judiciary. Scott l. Palk of oklahoma, to be United States district judge for the Western District of oklahoma. The presiding officer under the previous order, the time until 10 30 a. M. Will be equally divided between the two leaders or their designees. Mr. Mcconnell mr. President , are we in a quorum call . The presiding officer we are not. The majority leader. Mr. Mcconnell Senate Republicans had a productive discussion with President Trump yesterday about our shared agenda. We were particularly focused on how to bring tax relief, Economic Growth, and jobs to the middle class through tax reform. Its clear we share a lot of the same goals. Its clear that were united in an effort to take more money out of washingtons pockets and put it more in middleclass pockets. Its also clear that were excited about this onceinageneration opportunity to get america going again and growing again and so were watching our friends in the house with anticipation as they consider the comprehensive, responsible budget that cleared the senate last week. We anticipate theyll pass it by the end of the week. Once they do, well have important legislative tools to move tax reform forward. Thats something everyone can look forward to. More importantly, thats something the American People deserve, especially after so many years of an economy that failed to reach its potential, an economy that so often failed them. Tax reform represents the singlemost important thing we can do today to get the economy reaching for its full potential. Were looking afford to taking were look forward to taking the next steps very soon to get to done. Now, on another matter, id like to again commend President Trump for the outstanding judicial nominees hes sent us this year. So far every nominee weve brought to the floor has been confirmed by a majority vote here in the senate. In some cases, those majority votes have been bipartisan and massive, like 951, like 990 970. Almost every time a judicial nominee is brought to the floor, even nominees like folks like these, nominees that both parties support, democrats three up roadblocks. For what reason . Certainly not to change the outcome. No. Like i said in many cases democrats actually support the nominees. Theyre just wasting more of the senates time because they can. Theyre doing it again now. Take the two judicial nominees currently before the senate. First, theres scott palk. After nearly two decades as a state and federal prosecutor, mr. Palk has the legal skill and Community Support to excel as a u. S. District judge for the Western District of oklahoma. The Senate JudiciaryCommittee Approved his nomination by a bipartisan vote of 173. Then theres trevor mcfadden. Mr. Mcfaddens Sterling Record of Public Service makes him an ideal candidate for the u. S. District court for the district of columbia. Not a Single Member not one of either party opposed him. Both of these nominees should have sailed to confirmation yesterday. Instead, democrats are forcing us to waste time so we can again arrive at the exact same conclusion but simply later this week. Now, this really has got to stop. In president obamas first year in office, republicans forced this procedural hurdle for a single judicial nominee, and it was a controversial one. Let me say that again. In president obamas first year in office, republicans forced the procedural hurdle weve had to endure many times for one nominee, and that nominee was controversial. In President Trumps first year in office, democrats have forced this procedural hurdle for every single judicial nominee except one. Even if they actually supported him or her in the end, this is just the kind of partisan game that americans are so sick of. President trump should be commended for his strong judicial picks. The senates going to keep working hard to confirm them, and were going to succeed. The only question is whether democrats are going to keep wasting more of the senates time getting there. I hope they wont. I hope they will end these pointless games so the senate can keep its time and its focus where it belongs. The presiding officer the clerk will call the roll. Quorum call mr. Schumer mr. President. The presiding officer the democrat leader. Mr. Schumer i ask unanimous consent the quorum be dispensed with. The presiding officer without objection. Mr. Schumer good morning, mr. President. Now, yesterday, we all learned that our colleague, senator flake, would be retiring at the end of his term. After senator corkers announcement a few weeks ago, this was a blow, another blow to this body. Senators flake and corker are both men of principle, decency, conscience. In his address here on the floor shortly after this announcement, senator flake alluded to the great figures of history who toiled at these desks to remind us that our time here is only temporary. He is certainly right. It should comfort him, however, that history will judge senator flake and senator corker as two men of the greatest conscience to have graced this chamber on either side of the aisle in a long time. This senate will be much poorer for their departures. Now, on taxes, mr. President , last week, the Senate Passed one of the worst budgets in our nations history. It excuses one of the most massive expansions of the National Debt ever, 1. 5 trillion. It directs the committees to take a sledgehammer to medicare and medicaid, again to the tune of 1. 5 trillion, and it sets up the same awful partisan process that republicans used to try to jam health care through for tax cuts. The budgets now before the house. I hope every house member is taking a close look at it, and republican members who come from states like new york and new jersey, washington, california, pennsylvania, virginia, illinois, minnesota, should pay particular attention to the issue of state and local deductibility. No doubt the elimination of state and local affects states in congressional districts over the entire country. Dolphins, one of the states that pays the highest that gets the highest break tax break from state and local is utah. 35 of utahans take it because such a large percentage tithe and they dont use the standard deduction. It affects middleclass families in every state. The state that has the lowest effect on, west virginia, it still affects 17 of families. I dont have the numbers in front of me, but my guess is in kentucky, the home state of our president for the moment, president of the senate, presiding officer at the moment, is probably in the 20s. But in many states, the state and local deduction is claimed by over a third of taxpayers and amounts to tens of thousands of dollars a year in deductions. In california, 34 of taxpayers take the deduction for an average of 18,400. In new jersey, 41 of taxpayers claim state and local with an average deduction of 17,850. Well, faced with this, some of our colleagues are looking for a compromise. They say, well, lets just take away the deduction for people above 100,000, 200,000, even 400,000. Or they say you can choose between taking the state and local deduction or the mortgage deduction. That ones like saying taxpayer, well chop your right hand off or your left hand off. Were giving you the choice. But even without the mortgage trade, a compromise doesnt work. Doesnt work for a few reasons. Number one, it is double taxation. You are being taxed on paying a tax. Number two, for states like new york and particularly my upstate colleagues, it chases away businesses. Companies dont want to locate in a place where their top executives are going to pay a lot more because they cant deduct their taxes. And third, it lowers state income so that whether you use the state and local deduction or not, your school board, your old building, your police, your fire will be hurt as they will be hurt by creating a huge deficit. So compromise doesnt work here. And some of i have named some of my republican colleagues in new york. One of them got very mad yesterday. All i would say is this. In 1986, there was a democratic reform bill led by senator bradley and congressman gephardt. I had the same i have had the same conviction and with the same strength and velocity opposed them taking away state and local, even though they were of my own party. And we worked hard and succeeded. Tax reform passed in 1986 with Ronald Reagans blessing. I supported it. It was real tax reform where you closed loopholes and lowered rates, not just gave massive tax breaks and let the deficit go up. But state and local was removed, was removed. And the bill still passed. So i would simply ask my colleagues, republican, to oppose their Party Leadership when it hurts their states and their constituent sis, as i do. Back in 1986 when i was a thirdterm fourthterm congress member. Now, a few members of the new york and new jersey delegation, a whole bunch in new york have come out against the elimination of state and local deductibility. I salute them. They have done what they should do. In the eyes of the founding fathers, they have represented their states and their constituents. They have not represented these hard right corporate interests, wealthy interests who just want their taxes reduced. Now, are the remaining members of the republican delegation from new york and new jersey, as well as members from Washington State and california, pennsylvania, virginia, minnesota, illinois, and all the other states going to stand up because they know this hurts middleclass constituents . This is not a tax break for the rich. The rich have lots of other big tax breaks. And the property tax that they pay is not that much in terms of their income. And by the way, so hope they will stand up like some of my courageous colleagues have in new york state and in new jersey. Now, a recent study gives another reason that we dont want to eliminate the state and local deduction. A recent study by pricewaterhousecoopers found that under the republican tax plan, any income, any homeowner with an income of between 50,000 and 200,000 would see an average annual increase of 815. But here is the amazing part of their study. They thought home prices would fall 10 , 10. 2 . That makes sense. When youre a new homeowner or buying another home, you calculate how much is my mortgage, how much are my property taxes, what deductions will i get. If you dont get the deduction, you have less money to pay the mortgage because youre paying higher taxes. So the value of demand on homes goes down. The price new home buyers are trade or tradeing home buyers are willing to pay is less and home prices go down. So my republican colleagues, particularly those in the house who have to vote on this bill tomorrow, youre going to hit your constituents, your middleclass and upper middleclass constituents with a double whammy if you vote for this bill. They will pay more taxes and their home values will go down. And home values are the rock of the middle class. Thats what people work for their whole lives. The happiness someone 45 or 50 years old has they pay off their mortgage and their home is theirs is great. Why delay why delay that. Why impede that . Why impugn that . So our republican colleagues are willing to go home and explain to their middle class constituents why their taxes are going up and their home values are going down because if theyre not willing to confront that, they shouldnt vote for this bill. Now, the budget is a betrayal of the middle class men and women who sent house members to congress, who sent all of us to the senate and the house. For many in the middle class, as i said, it raises taxes, erodes property values. And why . To lavish tax breaks for big corporations and the super rich. Its its main focus is to give a tax cut to corporations and the top 1 . I would say to the average american, is your number one goal reducing taxes on big corporations and the richest in america . Well, thats the Republican Partys goal. They say they must have tax reform. Its their number one priority. And this bill, the core of it, is to cut taxes on big corporations and the wealthiest people. Again, to the American People, is your number one goal the same as the Republican Party here in the senate and in the house . To cut taxes on the richest corporations, to cut taxes on the wealthiest individuals . I dont think so. Do you, mr. And mrs. American, think that thats what congress should be gearing up to do when its done so little . I dont think so. The Republican Party is making a huge mistake. Its not that there shouldnt be tax reform. There should be, but its real reform. Big corporations pay a real rate of 16 . If we were to lower those rates and close loopholes, wed be doing the economy a favor. As i said, i helped pass that in 1986 once they banned state and local deductibility. If its simply to give a huge tax cut to the wealthiest people and biggest corporations, the recent polling data has shown the vast majority of americans are against it. They even say a majority of americans say if it means a small tax break for me and a big tax break for the wealthiest, im not for it. So im going to challenge my republican colleagues. Go out there and speak plainly and honestly about your plan. Dont hide behind fake talking points and fake math. Its a massive tax cut for corporations and the wealthy. Defend it. Why you think its a good idea. Now, i know some of you truly believe, the senator from pennsylvania, a republican, has spent his lifetime when he was at the club for growth advocating that cutting taxes on the biggest corporations, wealthiest individuals fuels the economy. Talk directly about it. I hear the word middle class coming out of our republican colleagues mouths but not wealthy or big corporations. And let me just say it doesnt prove to be true. Corporate tax rate was much lower than the official tax rate. According to goldman sachs, our big corporations have more money than theyve ever had and are paying a lower tax rate than they ever had and theyre not creating jobs. Give me one reason why giving them a tax break will now have them start to create jobs when theyre already flushed with cash. How about the example of kansas . And i say this particularly to my two friends, both are my friends when i see them both in the gym, i used to play basketball with them. My two friends, the senators from kansas. Look at what happened to your home state, the home of charles koch. Big tax breaks, huge tax breaks will make kansas the Growth Center of america. What happened . They did huge tax breaks. They predicted that income would go up in the kansas state treasury by 300 million. It went down by 700 million. They had to actually consider schools from going five to four days. And job growth . This great engine of job growth . Kansas grew last year by. 2 . The American Economy grew by 1. 6 . It was a total flop. Kansas not only rejected the proposal by raising taxes after they had cut them so deeply, but they threw out a lot of the more conservative republicans, and there was a rebellion within the Republican Party itself. So, again, trading middle class deductions for a tax cut for the rich is not a fair trade. Raising taxes on so many middle class people so you can pay for tax cuts to the rich makes no sense and it makes no sense particularly now that the scales are tipped more in favor of the wealthy and powerful than ever before. So thats why the American People are now that they realize were getting close here and despite all the distracting issues that the president tweets about by the way, i hear in the Republican Caucus he talked about no details in the tax plan. Just said get it done. No details. I know why. Theyre afraid to talk about it. The president may not know the details, but our republican colleagues do. And theyre afraid to talk about the details in public. So bottom line, the American People are learning what this plan is about and they dont like what they see. In a recent Reuters Ipsos poll, fewer than a third of americans supported it. Just like health care, i believe that the more americans learn about the plan, the less they will like it. The number low enough as it is in support of the trump tax plan will get lower. And listen to this. In the same