On the Bailout: My Representative Rocks

[livingdeb]

I didn't make keeping up with the news a priority on my trip to Oklahoma, but I was wondering about that bailout bill. I was happy when it failed because a) I'd rather we strengthen the safety nets we already have in place (such as unemployment insurance) and b) if we're using a bailout strategy we should have a lot more oversight and also the head of the companies that we bail out should either be fired or laid off, not given a severance package several times the size of what my entire lifetime of earnings will be.

When it passed the second time, I was hoping that meant that some of my concerns were addressed. But no, the second version was even worse because it was just the same but with pork bribes added to it so it would pass.

I've since heard it's not as bad as I feared or at least that it's still possible for it to be a good thing. I guess we'll see.

I looked up my representatives to see if they had voted for the bailout. Both of my Senators had, (of course) but my Representative did not. Either time. I never did write to him in time to tell him how I'd like him to vote, but I did write to him when I got back to thank him.

Here are some articles he sent in his reply e-mail:

This Bill is Fueled by Fear and Hinges on Haste
September 29, 2008

Like the Iraq war and the Patriot Act, this bill is fueled by fear and hinges on haste. So much is missing. There is:

* No requirement that Wall Street pay a dime for the damage caused or the clean-up; though a future President can request Congress do what it declines to do today.
* No meaningful limitation on outrageous executive pay; like the war, there is no shared sacrifice; only rewards for the greedy and burdens for the needy.
* No bar on American taxpayers having to bail out the Bank of China-and the entire world;
* No guarantee taxpayers will not be overcharged for buying toxic debts that no one else wants; and
* No guarantee taxpayers really share in future profits of those bailed out.

Yes, every one of these concerns gets cosmetic mention. Not even Avon and Mary Kay can compete with the cosmetics in this bill. This 100 page bill-three pages of what Secretary Paulson would do; 97 pages of what he could do, plus excuses for approving the first three pages. It aspires, but it seldom requires.

"Why Should Taxpayers Get the Leftovers?"
October 2, 2008

I commend Warren Buffet on his confidence in American business, but you know his recent, combined investment of $8 billion in General Electric and Goldman Sachs was not a charitable donation. He is not purchasing toxic securities that nobody wants; he is buying preferred stock. Why should American taxpayers get anything less? Why should he buy the preferred, while we get the leftovers?

I share my neighbors' concerns with how their retirement security, their home, or their business is impacted when some in Washington hit the panic button. When markets are poisoned, we should seek the best antidote. Not yield to another of President Bush's "take it or leave it" demands.

"The biggest subprime loan in American history"
October 3, 2008

Listening carefully to neighbors concerned about their retirement, their home, or their small business when some in Washington repeatedly hit the panic button, I recognize the need for a swift response.

But when asked for $700 billion in taxpayers' dollars almost overnight, we have a duty to secure a responsible plan. What Bush demands on this subprime lending debacle is for taxpayers to reward Wall Street with what is essentially the biggest subprime loan in American history.

We cannot afford to give almost unlimited discretion to one man to determine what toxic securities to buy and on what terms - and we should not bail out the entire world.

I will not be stampeded into voting "yes" when President Bush employs his standard "my bill or no bill" approach. Today, we must draw the line, so tomorrow other irresponsible actors will not be in line asking for a handout.

Yes, he's a little vitriolic, but for a politician, he's wonderfully reasonable, sane, and unafraid of common sense. And, you know, not a complete moron, at least on the biggest, scariest issues. For example, he actually voted against the war in Iraq and against the Patriot Act. I'm totally not embarrassed to have him as my Representative, which is so lovely compared to how I feel about my President and Senators.

Blog entry of the day - Bailout breaks for you and me! on Don't Mess with Taxes - A thorough review of (completely unrelated) tax updates that were patched onto the bailout. They are good to know. She's in fine form, too. Here's my favorite quote:

Compounding the irritation are the add-ons, amounting to an extra $150 billion, to the bailout package. Supporters called them sweeteners. Opponents denounce them as pork.

[snip]
Extenders: You know these by heart now. These are the tax breaks that, for budgetary reasons, are temporary. There's always the possibility that Congress could decide to save some money and deny them one year. When that happens, we'll see another kind of pork on Capitol Hill -- flying pigs.

You've heard of "the other white meat"? Now you can also talk about "the other kind of pork."