Hulshof votes against bailout bill

On a vote of 228-205, the U.S. House on Monday defeated a $700 billion emergency rescue for the nation’s financial system. Prior to the vote, President Bush and congressional leaders of both parties warned of an economic nosedive if the bill was not passed.
More than two-thirds of Republicans and 40 percent of Democrats opposed the bill.
Among those opposing the Emergency Economic Stabilization Act was Republican Rep. Kenny Hulshof from Missouri’s Ninth District. In a statement, Hulshof said the bill voted on Monday was “flawed in several respects.”
“First, the bill is silent on changing ‘mark to market’ rules, which were a factor in exacerbating the current crisis,” he said. “The bill also contains no regulatory corrections to naked short selling. A short-term ban has been in effect since Sept. 19, aimed at curtailing this practice. However, that ban expires on Oct. 2, and this bill does nothing to address any of the long-term ramifications of this practice.
“Additionally, Congress should be required to proactively authorize additional loan authority for the treasury secretary. The current bill only allows Congress to retroactively ‘veto’ actions by the Administration.
“The price tag of this bill is excessive.
“Finally, the current bill gives the treasury secretary complete discretion whether to utilize the market-based option of insuring the assets of troubled institutions. Given the secretary’s outspoken opposition to this proposal, I fear this innovative solution, which truly protects America’s taxpayers, will be disregarded outright.”

(The Associated Press contributed to this story.)Hulshof votes against bailout bill

DANNY HENLEY
danny.henley@courierpost.com

WASHINGTON - On a vote of 228-205, the U.S. House on Monday defeated a $700 billion emergency rescue for the nation’s financial system. Prior to the vote, President Bush and congressional leaders of both parties warned of an economic nosedive if the bill was not passed.
More than two-thirds of Republicans and 40 percent of Democrats opposed the bill.
Among those opposing the Emergency Economic Stabilization Act was Republican Rep. Kenny Hulshof from Missouri’s Ninth District. In a statement, Hulshof said the bill voted on Monday was “flawed in several respects.”
“First, the bill is silent on changing ‘mark to market’ rules, which were a factor in exacerbating the current crisis,” he said. “The bill also contains no regulatory corrections to naked short selling. A short-term ban has been in effect since Sept. 19, aimed at curtailing this practice. However, that ban expires on Oct. 2, and this bill does nothing to address any of the long-term ramifications of this practice.
“Additionally, Congress should be required to proactively authorize additional loan authority for the treasury secretary. The current bill only allows Congress to retroactively ‘veto’ actions by the Administration.
“The price tag of this bill is excessive.
“Finally, the current bill gives the treasury secretary complete discretion whether to utilize the market-based option of insuring the assets of troubled institutions. Given the secretary’s outspoken opposition to this proposal, I fear this innovative solution, which truly protects America’s taxpayers, will be disregarded outright.”

(The Associated Press contributed to this story.)