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Sen. Chuck Grassley, (R-Iowa), on the debate over how to pay for the extension of student loan interest rate.
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-- Chuck Grassley of Iowa joins me now.
Welcome to the -- senator pat tell me what you make -- this vote Republicans taking a lot of heat for at this afternoon.
Well first of all you gotta understand that there's big.
Agreement between the White House and the democratic leadership.
On the senate that once.
Every week we're -- have a new crisis we have to deal with so don't forget.
That that this is not a crisis because there's still another two months to work on this but they want to make a crisis out of it.
So first of all let's start out -- where you're absolutely right -- absolutely right.
That there's a bipartisan agreement.
On the fact that interest rates should stay where they are.
And the only disagreement is how you pay for.
So obviously like Democrats like to do they always want to increase taxes and particularly -- you don't increase taxes during a recession.
And secondly.
You don't.
You can -- you shouldn't increase taxes on small business and that's what their proposal does.
So then you look at rationale behind.
The Republican.
Proposal and that is that we take the money that's a profit.
From the Obama administration.
A federalizing student loans and that profit.
You'd think it would go to help students right -- -- three years ago it went to pay for obamacare.
And we feel that students should not be paying more.
For there are guaranteed student loan.
So that it can be used to fund obamacare shall work take that money back well for Obama -- -- curious about.
For that so let me get -- spotted something senator Harry Reid said on the very point that you're making here's Carrie Lee.
While we do not support Republicans plan to cut programs to combat diabetes heart disease cancer are happy if they want.
-- on some alternative.
But let us get on spell.
Republicans but stop filibustering our legislation.
And in this instance to keep student loan interest rates low.
They want some other way to -- part let's take a look at a couple of months that.
Stakes in this -- are too high to let partisanship get in the way.
So -- is saying that you guys just don't want to pay for these health care programs.
How do you respond.
Well you know it's a little intellectually dishonest for them to take that approach.
Because they had another program.
A few months -- all where they took money from the very same.
Part of obamacare.
To pay for -- program -- don't you think it's a little -- intellectually dishonest for them to say it's okay for Democrats -- it.
But it's not okay for the Republicans to -- And besides you get back to a very basic principle why should do at the very students that we're trying to help.
Keep interest rates down for their student loan.
Why should the federal government have a profit from those very same students that go to pay for health care why shouldn't have profit beat.
Gold to make education cost a little more.
Well at and I think that's a great point because here's what we're talking about the current rate is 3.4 percent will cost six billion dollars.
To keep those rates there that otherwise they reset to six point 8%.
But senator I think you understand very well that the more money we throw at this loan program the more we subsidize the more we forgive debt and we do a lot of that.
The -- we increase cost them more tuition goes up it's a vicious circle what do you set.
OK well that's a very simple answer to your question because don't forget.
That over -- three year period of time it gradually went down.
Two from six point eight.
To five to four to -- three something.
And it's only been there for a year and this is just continuing for one more year and there's no policy here that's going to keep -- -- forever.
Because it has it has the -- all only -- short period of time.
What are the chances that you guys will actually be successful and get those rates cut.
I think will be very successful because we've got bipartisan agreement on the rates are staying the same.
There's only a disagreement how to pay for.
Neither party wants to add to the national debt.
So we're just you you get back to something very basic types had you shouldn't increase taxes when you have -- employment and eight point 1%.
And you shouldn't increase taxes on small business.
All right I want to switch up bag gears here for just a second you've written a letter to the IRS and secretary Tim Geithner.
About with served whistle blowers in the -- as -- feel like they're not getting at fair shake we think needs to happen -- what is the problem.
Where you understand I wrote the legislation.
That provided for whistle blowers if they report.
Money not being paid that they get a percentage of it as an incentive and that is an an idea.
Original.
-- just with a higher house you've got to remember that in 1986 I got the false claims act.
-- so whistle blowers that found -- giving you some money.
Taxpayers' money could report it and if they wanted if it was true that they did and they -- the case.
That that they would get an award for doing -- so that's brought thirty billion dollars back to the federal treasury.
Well we've had won an award given in five years that's a problem there should be lots of awards given over the past five years.
But just that one award -- show you that this is a workable program and going to help fight the tax gap.
-- and twenty million dollars to the federal treasury from one company in Philadelphia that was -- the taxpayers.
And the federal government of that money and saw that award was given.
But why aren't other awards given us why I wrote the latter because there were nineteen employees in this division -- -- -- Down -- rich power of -- in and out in Florida.
A holding up fancy meeting.
When they why shouldn't they be used in all three sources.
To make sure that these awards are granted because there's thousands of -- borders that that every quarter -- That money not being pay has added they responded to your letters -- No they have not respond -- the -- but I had an opportunity to bring it up.
To the assistant.
The nominee to be assistant.
Secretary of the treasury today and finance and I said he said he's -- work out.
But I said you know you don't need to work on it we've got proven evidence in at least one case that this legislation works is brought in twenty million to that.
Federal treasury that nobody in the IRS would have known about without a whistle more reporting that.
And all it takes to get these awards given because there's thousands of -- just sit on somebody's desk.
To make it leasing agent all you gotta do -- have the secretary of -- treasury and the commissioner of internal revenue.
Sit down and decide if these -- are legitimate but -- they're very legitimate if you got money you wouldn't otherwise -- so there should be.
Pro forma decision to pay these -- -- you know I can only imagine how much money we get if whistle blowers really felt comfortable with we've already seen a lot of embarrassments.
For federal agencies this year for miss spending misappropriating.
And misdeeds senator Grassley thanks for coming on the show tonight.
