Category: US Senator Mike Rounds

Introducing the Payments Innovation Caucus
By Senator Mike Rounds
April 9, 2015

In 1914, Western Union began issuing metal cards to the company’s top customers. For a subscription fee, “preferred” customers could use their “metal money” to defer payments on various goods and services. This was the first step in a series of monetary advances which revolutionized access to capital and credit. It has significantly changed the way commerce is conducted around the globe today. In the 101 years since metal money was first distributed, the credit card – and now the payments industry – has moved from metal to plastic to virtual transactions. Today, payments can be made with the simple tap of a smartphone.

South Dakota has been a leader and an innovator in the payments industry. As technology has expanded the reach of mobile payments, South Dakota’s role in this world economy has grown substantially. To help educate the Senate and others about the enormous potential of this industry and the dangers that could result if it is compromised, I have partnered with Senator Gary Peters from Michigan to form the bipartisan Senate Payments Innovation Caucus. The caucus is an opportunity for the Senate to understand the critical nature of the payments industry, to see what the industry has done for our state and to make certain South Dakotans have a voice in any changes to the industry moving forward.

The payments industry is growing at lightning speed. Last year, the Boston Consulting Group found that by 2023, the total world volume of electronic payments would hit an astonishing $780 trillion in transactions worldwide. These electronic payments already allow us to click, swipe or tap to purchase countless items. Yet the industry continues to grow. New technologies such as the Starbucks app and ApplePay make it easier than ever before to purchase goods and services.

But mobile transactions have benefits far beyond simplifying our lives. They can be important tools for facilitating economic development throughout the world that can help lift nations out of poverty. Take Kenya for example. Today, 25 percent of the nation’s gross national product flows through mobile payment networks. These networks help Kenyans transfer money quickly, safely and with little cost. When Kenya was engulfed in violence after the 2008 election, mobile payments played a critical role, helping Kenyans trapped by rioting access cash to buy needed food and supplies.

While we should celebrate the many benefits of mobile purchases, the larger and more interconnected the industry becomes, the more our enemies seek to attack it. Already, cyber hackers have attacked banks, merchants and payment intermediaries causing billions of dollars in damages, threatening our national security. To help keep these networks safe and reliable, it is important for Congress to take these threats seriously and understand how to best protect consumer financial data amid ever-changing technologies.

Payments innovation is a diverse industry that continues to grow and change each day. I’m proud of South Dakota’s leading role in it and look forward to working on the Payments Innovation Caucus to inform others of its needs and keep consumer data safe from hackers.
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Weekly Column
Keeping America Safe
By Senator Mike Rounds
April 6, 2015

Protecting our nation through a strong defense system is a fundamental role of the federal government. As ever-growing threats emerge, we must remain diligent in our abilities to protect our nation and our allies. As a member of the Senate Armed Services Committee, which has oversight of our nation’s military and the Department of Defense, I am committed to making sure our men and women in uniform are equipped with adequate funding. They put everything on the line to protect our freedoms; we owe it to them to provide these heroes with the proper tools and resources to successfully complete their missions.

Since taking office in January, one issue that has been at the forefront of the committee throughout hearings and briefings is what is commonly known as “sequestration.” Sequestration was implemented in a 2011 law called the Budget Control Act (BCA). BCA was the result of a previous Congress’ failure to agree on a federal budget that arbitrarily cut nearly $1 trillion from the Defense Department’s budget over the course of ten years. The intent of BCA was to chip away at federal spending, but it failed to address the largest piece of federal spending – entitlements. Instead, BCA unfairly made cuts to defense spending, which is not to blame for our runaway debt, threatening military readiness and capabilities.

From the border battle in Ukraine and enhanced Chinese coercion in Asia to the growing prowess of the Islamic State of Iraq and the Levant (ISIL) in the Middle East, new threats have emerged around the globe since sequestration was signed into law. Yet sequestration is still in place. Our military budget continues to be squeezed. It’s time for both parties to work together to eliminate sequestration and provide our military with the funding levels needed to keep our nation safe from our enemies.

On the Senate Armed Services Committee, I applaud Chairman John McCain (R-Ariz.) and Ranking Member Jack Reed (D-R.I.) for being leaders on this issue. We have heard over and over from leaders from throughout the Defense Department about the devastating impacts accompanying sequestration. Like me, many of these military leaders believe that sequestration is a part of a larger threat to our overall defense. Without adequate funding, our entire national security strategy is threatened, both overseas and here at home.

The Senate Budget Resolution that recently passed provided a path to address these cuts to defense spending. While it is not a perfect solution, it is substantially better than the alternative. Our budget resolution offers a short-term patch for the upcoming fiscal year. But a long-term solution is desperately needed. The men and women in uniform who risk their lives to keep us safe should not be continually asked to do more with less. Ending sequestration permanently remains one of my top priorities on the Armed Services Committee.

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Rounds Announces South Dakota Photo Contest

WASHINGTON – U.S. Sen. Mike Rounds (R-S.D.) today announced his office is hosting a photo contest. He is seeking photos from across the state that highlight the unique scenery and landscape South Dakota has to offer. The top photo submissions will be featured on Rounds’ social media pages and website.

“From rolling hills and canyons to fertile river beds and prairies, our state has some of the most unique and diverse landscape in the country,” said Rounds. “I look forward to showcasing some of South Dakota’s natural beauty and sharing your work with others.”

Photo submissions, along with the photographers name, hometown and a brief description of the picture can be sent to [email protected]. By submitting a photo, the photographer grants permission to use the photo online.

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Spending Responsibly
By Senator Mike Rounds
March 27, 2015

The mindset in Washington for far too long has been “spend now, pay later,” leaving our children and grandchildren to pick up the tab. This has led to a national debt of more than $18 trillion that threatens future economic growth. When Republicans took over the Senate this year, we promised to put an end to this kind of reckless spending. The budget we passed in the Senate offers a robust plan to not only rein in spending, but also grow the economy, repeal Obamacare and protect Americans from new tax burdens.

Balancing our budget is not new to South Dakotans. Our state leaders balance the budget every single year, which helps keep South Dakota’s economy strong and unemployment low. In addition, balancing the budget helps keep government accountable to taxpayers and makes sure their money is being spent wisely. The Senate budget resolution we passed would help accomplish all of these things. It would balance the budget over the course of ten years – without any additional taxes. The Congressional Budget Office (CBO), which provides nonpartisan legislative analysis, estimates that by 2025 the spending reductions in the resolution alone will grow the economy 1.5 percent per person, providing them an additional $1,200 dollars in income annually.

In addition to controlling spending, our budget offers the best path to repeal Obamacare, increases defense spending and encourages domestic energy production so we can become energy independent. It reforms welfare and Medicaid programs by providing states with the resources and flexibility necessary to care for their residents’ needs while protecting our most vulnerable citizens. This is a stark contrast to the policies promulgated by the President and Senate Democrats, and one we believe will get us on the right economic path.

I was pleased to offer a number of amendments to the budget resolution that were included in the final package. One of my amendments would open up mortgage options in rural areas to make it easier for families to purchase a home. Another amendment I offered seeks to eliminate waste, fraud and abuse within federal agencies. Overall, 53 amendments were voted on during debate, and dozens more adopted in the final budget resolution that was passed, giving all Senators a chance to offer their ideas.

Now that the budget resolution has passed, the Senate can begin to tackle chronic overspending and waste in government. We now have twelve opportunities in twelve separate appropriation bills in which we can impact how money at the federal level is being spent. When I was elected to the Senate, I promised South Dakotans that I would come to Washington to get things done. I intend to make good on that promise. Passing the budget resolution will give us the tools to start the real work of appropriating taxpayer’s hard earned  dollars in a meaningful and responsible way.

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Rounds Cosponsors Bill to Repeal Death Tax

WASHINGTON—U.S. Sen. Mike Rounds (R-S.D.) today joined U.S. Senator John Thune (R-S.D.) and 25 colleagues in introducing legislation to permanently repeal the federal estate tax, which will bring tax relief to farmers, ranchers and small business owners.

“Currently, 70 percent of family businesses do not survive to the second generation, in part because of this additional tax which may force the sale of a family business upon the death of one of the owners,” said Rounds.

A similar bill was introduced in the House of Representatives with more than 100 cosponsors.

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Rounds, Freshmen Senators Hold Press Conference to Address Obamacare’s Five-Year Anniversary

WASHINGTON—U.S. Senator Mike Rounds (R-S.D.) joined fellow freshmen members of the Senate in a press conference today to address the future of health care on the five-year anniversary of Obamacare.

“We’re not going to stop until we fix a lot of the problems that we find within the health care industry,” said Rounds at the conference. “What we can do to start is pass a budget resolution that provides tools for us in which to impact the implementation of health care. And it provides us something else: twelve opportunities in twelve separate appropriation bills in which we can impact how money at the federal level is being spent.”

A budget resolution for fiscal year 2016 is currently being considered on the Senate floor. The budget resolution will provide the procedural tools – via budget reconciliation– to repeal Obamacare. It is expected to pass later this week, which then allows the Senate to begin the appropriations process. Rounds was joined today by Sens. Bill Cassidy (R-La.), Cory Gardner (R-Colo.), Tom Cotton (R-Ark.), James Lankford (R-Okla.) and Steve Daines (R-Mont.).

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Obamacare’s Five Year Anniversary: More Money, More Problems
By Senator Mike Rounds
March 20, 2015

It has been five years since the Affordable Care Act (ACA), commonly known as Obamacare, was rushed through Congress on a partisan vote and forced upon the American people. Since becoming law, it has been plagued with lawsuits, website glitches, cancelled policies, unworkable provisions, delays and repeals. Premiums are skyrocketing for many South Dakota families, and small businesses are spending thousands of dollars to comply with new paperwork mandates. And that is just the first five years. As we look ahead, we can foresee more problems and uncertainty.

The ACA subsidies are currently under review in the United State Supreme Court in the case of King v. Burwell. The court will determine whether the law only allows individuals who enroll through state-run exchanges to receive health care tax credits. If the court rules in favor of the plaintiff, residents in 34 states, including South Dakota, are at risk of losing the tax credits they have been receiving through federal exchanges. Without these credits, close to 10 million Americans will be confronted with ACA’s true cost, facing much higher premiums. Despite a ruling expected in June 2015, the Obama Administration has said it has no contingency plans to help these Americans if the provision is overturned. Obamacare is a mess, plain and simple.

Small businesses have also felt the adverse effects of the ACA. A recent report from the National Small Business Association found that on average, small business will have to spend $15,000 annually to comply with all the paperwork issued in Obamacare. Another study of small businesses found that Obamacare has lowered employment by 350,000 and reduced workers’ wages by approximately $1,000 annually. Small businesses are the backbone of our economy. This government-imposed obstacle to growth will be felt in every community in America.

As a small business owner working in the insurance industry, my ideas for healthcare reform are very different from Obamacare.  First, I support a market-based, patient-centered approach that is truly affordable for families. I believe this can be achieved by enacting transparent, step-by-step reforms, rather than a 2,700 page bill written behind closed doors.  I support common-sense initiatives, like expanding Health Savings Accounts and creating pools, such as the Multiple Employers Welfare Trust, in which small businesses can unite to secure better rates.

I also believe we must eliminate the employer mandate, the individual mandate, and the Independent Payment Advisory Board. Additionally, we can cut health care costs by reforming medical liability laws.  Our current system encourages frivolous lawsuits which come at a high cost to doctors, taxpayers, and truly injured patients who deserve timely compensation.  We can also protect consumers and hold insurance companies more accountable by increasing transparency, standardizing paperwork, and helping those with pre-existing conditions maintain access to care.

As Obamacare reaches the five-year mark, South Dakota families and business owners have been riddled with confusion, premium increases, lost coverages and fewer choices when it comes to health care. I will continue to work with my colleagues to repeal Obamacare and replace it with a market-based solution that gives families the power to choose the plan that best fits their needs and budget.

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Rounds to Administration: Act Quickly To Protect
South Dakota Tourism and Construction Industries

WASHINGTON – U.S. Sen. Mike Rounds (R-S.D.) today wrote a letter to Department of Labor (DOL) encouraging the agency to act quickly to find a long-term solution for issuing temporary, seasonal employment visas (H-2B) that are critical for a number of industries in South Dakota. Earlier this month, DOL stopped processing H-2B visas following an injunction by a federal court. Today, a judge granted stay that would allow DOL to continue issuing H-2B visas while a long-term solution is established.

“I’m pleased the Administration finally took the steps necessary to get this important program moving again,” said Rounds. “South Dakota tourism and construction industries rely on this temporary work program to fully operate. Now, it’s imperative DOL works quickly to find a long-term solution so that our businesses have both the certainty and labor force they need to be successful.”

The motion to stay runs until April 15, 2015. Last week, DOL and the Department of Homeland Security announced on they intend to issue an interim final rule by April 30th, 2015. This could leave a two-week gap between the stay and the final interim ruling in which H-2B visas may not be issued.

Text of the letter can be found below:

March 17, 2015

The Honorable Thomas Perez
Secretary of Labor
Office of the Secretary
U.S. Department of Labor
200 Constitution Avenue, NW, Room S-2018
Washington, DC 20210

Dear Secretary Perez:

When the Northern District Court of Florida vacated the Department of Labor’s H-2B regulations on March 4, 2015, in Perez v. Perez, No. 3:14-cv-682, this caused great concern and adverse consequences for several businesses in our States. While the District Court today has stayed this action and allowed visa applications to be processed, it is critical that the ramifications of this court decision be addressed as soon as possible and that the Department find a definitive solution to this problem.

Seasonal industries make staffing and capital expenditure decisions months in advance. Without certainty, they cannot make these critical decisions. Due to the Federal District Court’s ruling that the Department of Labor’s H-2B rules are not compliant, seasonal businesses are left without a clear path forward through some of the most important months of the year. We urge you to act as expeditiously as you can to solve this problem, by the end of the stay.

While we realize that the Department of Labor overstepped its bounds in issuing these regulations, we believe that something must be done to remedy the problem that has arisen as a result. We understand that in response to some of our colleagues that the Departments of Labor and Homeland Security are working to issue a joint Interim Final Rule and do so by April 30, 2015. We urge you to act sooner by April 15th, the end of this stay. Businesses cannot wait these extra weeks until your Department acts.

Sincerely,

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Helping South Dakotans Navigate Federal Agencies
By Senator Mike Rounds
March 13, 2015

Part of my job as a United States Senator is to provide assistance to South Dakotans who are having trouble dealing with a federal agency. In fact, it is the primary focus in my state offices. Members of my staff in South Dakota are specially trained to help constituents navigate the federal maze. We work with our fellow South Dakotans on a daily basis, addressing their concerns and issues related to the federal government.  Sometimes, we even work to remind the federal government it’s the citizens for whom they are employed to serve. Whether a constituent is having trouble handling a VA claim, accessing social security benefits, filing taxes or obtaining a visa, my staff and I are here to help. Already, we have successfully assisted many South Dakotans by expediting passports that were delayed and helping veterans obtain additional benefits which they have been promised.  I’m proud of the work we are doing and we are honored to help.

South Dakotans needing help dealing with a federal agency should contact one of my state offices. We are located in Pierre, Rapid City, Sioux Falls, Huron and Aberdeen. One of my staff members will also hold office hours in Mitchell every other Tuesday starting March 10, 2015, from 10 a.m. to 2 p.m. at City Hall in the Council Chambers, in Watertown every other Thursday as of March 26, 2015, from 10 a.m. to 2 p.m. at the Watertown Regional Library and in Huron every Monday from 10 a.m. to 2 p.m. at the Huron Public Library. My Aberdeen office will be open Wednesdays and Fridays from 10 a.m. to 3 p.m.

Office locations and phone numbers are listed on my website, www.rounds.senate.gov, under the “Contact” tab. South Dakotans should feel free to call any of my offices for assistance. Because my team works closely together across the state and in Washington, we strive to provide a timely response to each person contacting us.

My state offices in Pierre, Rapid City and Sioux Falls are open every week day from 8 a.m. to 5 p.m. and I would encourage anyone who has questions or issues with a federal agency to call, send a letter or simply stop in. I understand how frustrating it can be to have an issue with the government and not know the best way to resolve it. The federal agencies have lists of complex and often confusing rules. Navigating them alone can seem daunting. We understand that, and we are here to help.

One of the most important parts of my job as a Senator is acting on behalf of my constituents during times of need. I have highly qualified, talented individuals on staff, many of whom have years of experience dealing with casework on both the state and federal level. Whether we are the first call someone makes when dealing with a federal agency or their last call when they feel as if they can no longer fight the government on their own, we are here. My team and I look forward to serving the people of South Dakota any way we can.

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