Go Back Jack, Do it Again…Another 350B…PEBO asks for TARP Tranche Two

(courtesy of Melegorm)

Finally the frakin letter itself!

To be ABSOLUTELY CLEAR HERE, LOL, this is Team PEBO, which is largely comprised of UofC (Fuhrman, Goolsbee both in the meeting with DEM Senate leadership yesterday-the bill in question is coming from the House) and moderate Capitalists (Summers et al) , certainly not economic lefties, snark..

anywho, this is an attempt to head off the legislation Barney Frank has a hearing scheduled on tomorrow. The LETTER is a loose framework of nice words and means nada, I hope Barney passes this legislation before he hands over ANOTHER 350B of the taxpayer dollars with nary a string and a handshake and a letter. He should have learned from the first tranche.

Different players, same story. They are not really that different are they? It is Geithner incoming Treasury Secretary who ran the AIG and CITI bailouts after all….

PASS THAT LEGISLATION BARNEY! Don’t give them the dough without protecting taxpayers this time!!

Update 5: The letter via WGNtv :

President-elect Barack Obama’s top economic adviser tells Congress that the need for the remaining $350 billion of the financial bailout package is “imminent and urgent.”

Larry Summers has written a letter to the bipartisan leadership of the House of Representatives and the Senate to assure lawmakers that the money will be used to help community banks, small businesses, consumers and homeowners as well as large financial institutions.

And more interesting background from KTTC Rochester (via Politico):

Emerging from a two-hour meeting in the Capitol with Obama advisers Lawrence Summers and Jason Furman, Senate Democrats praised the President-elect’s team for agreeing to make changes to its stimulus proposal based off of concerns senators raised last week at a meeting with the president-elect’s senior aides.

The Obama team told about 35 Senate Democrats gathered at Sunday’s meeting that it would grow the size of an energy-tax incentive package and modify proposed tax credits for individuals and for businesses that hire new employees, according to meeting attendees. Also, with lawmakers raising concerns that the first half of the $700 billion of the financial rescue law was badly mismanaged, Obama’s team signaled it would lay out precisely how it would spend the second half of that package, which Congress is expected to consider as soon as this week.

“It’s very clear they’ve listened, they’ve heard and that they’re moving to respond,” said Sen. Kent Conrad, chairman of the Budget Committee, who questioned previously whether the tax credits in the stimulus package were enough to encourage new jobs. “It was very, very healthy. They’re not defensive, not arguing back, they’re listening, they’re attempting to hear and they’re responding.”

Update 4: 12:48pm EST: Update on the ‘letter of understanding’ via FoxBusiness:

The letter includes provisions that would loosely commit the Obama administration to use TARP funds to help troubled homeowners avoid foreclosure; to adopt tougher executive compensation limits and corporate governance standards for firms that participate in TARP, and increase reporting, oversight and disclosure requirements in the program.

The letter would allow the president-elect and Congressional Democrats to avoid a potentially embarrassing veto fight in Mr. Obama’s first weeks in office. The Treasury has spent or committed all of the $350 billion funding in the first half of the $700 billion TARP. To get authorization for the last $350 billion, the president — Bush now, or Obama after he takes office — must submit a report to Congress outlining how the Treasury would spend the money. The funding will be authorized automatically unless Congress votes to approve a “resolution of disapproval” within 15 days of receiving the report.

But the president could veto the resolution. Then to stop the funding, Congress — controlled by the president-elect’s own party — would have to override the veto with a two-thirds vote in the House and Senate.

While sources believe the next $350 billion will come regardless of how the process unfolds, a veto and effort to override it “would set up quite a mess the first weeks in office” for Mr. Obama, a financial industry source said. “That would be a disaster politically.”

Update 3: Larry Summers sending a ‘letter’ FOX reporting -vaguely – that letter indicates they (PEBO Team?) want to get more funds to Main St…

For a GREAT piece on how liberals are viewing the recent PEBO Team activity, read Jimmy Pethokoukis’ column here:

…But it’s Obama’s $800 billion American Recovery and Reinvestment Plan that will be ground zero in this coming liberal internecine battle. “Way too much Reagan, not nearly enough FDR,” griped some key liberals about a plan that would, in addition to the tax cuts, still provide a whopping half-trillion dollars over two years in government spending for infrastructure, healthcare, education, clean energy, grants to states, and aid to lower-income and unemployed folks.

Some of their greatest hysterical hits: 1) “The economic plan he’s offering isn’t as strong as his language about the economic threat,” wrote NY Times columnist Paul Krugman. “In fact, it falls well short of what’s needed”; 2) the Center for American Progress, a liberal think tank founded by Obama transition co-chair John Podesta, said the Obama plan was chock-full of “special interest favorites” and “long-discredited conservative proposals”; 3) Sen. Tom Harkin said Obamanomics “still looks a little more to me like trickle-down,” invoking a Reagan-era economic invective that liberals love to hurl; and 4) Nancy Pelosi, who seems to actually believe the Obama campaign spin that the Bush tax cuts somehow caused the recession, blurted out this gem: “Put me down as clearly as you possibly can as one who wants to have those tax cuts for the wealthiest in America repealed.” Duly noted, Madam Speaker.


January 11, 2009. Tags: , , , , , , , , , , , , , , , , , , , , , , . Economy, Finance, Foreclosures, Housing, Obama Administration, Politics, TARP, Wall St. 1 comment.

In Support of Carolyn Maloney for NY Senate, Part Two…

As we approach Hillary’s confirmation hearing next week, and the subsequent appointment of a replacement to fulfill her term as the Junior Senator of NY, let’s see what the fabulous Rep. Carolyn Maloney (D-NY) has been up to the past few weeks, to get a further view of how very qualified and ready she is for this very important role. She is a worker and a fighter, and we have never seen her rest on her laurels.

She IS campaigning for the spot, quietly, with the people directly…


January 10, 2009. Tags: , , , , , , , , , , , , , , , . Hillary Clinton, Politics, TARP, Unemployment Statistics, Wall St. 4 comments.

More Reasons not to appoint Caroline Kennedy to HRC seat…voters won’t support her in 2010

Wake up and smell the coffee! Be Ambassador to the UK like Grandpa and be grateful for a slow entry into politics Caroline. You do NOT have the chops for NYS and this is not the time to embrace nepotism. Hillary has moxie, Caroline does not, and New Yorkers know it…

Caroline Kennedy, Oprah Winfrey

From Politico:

The poll, conducted by Public Policy Polling, suggests that Republicans would have a credible chance to win the New York Senate seat if Kennedy is appointed. Kennedy leads Republican congressman Peter King by only two points, 46 to 44 percent, in a hypothetical matchup.

Kennedy loses one quarter of the Democratic vote and trails King by 15 points among independents. Only 44 percent of New York voters view her favorably, while 40 percent view her unfavorably.

By contrast, Attorney General Andrew Cuomo – another prospective appointee – would easily be able to hold the seat against King. The poll shows Cuomo leading King by 19 points, 48 to 29 percent.

This poll comes on top of one released yesterday showing her favorability ratings POSITIVELY TANKING BY A WHOPPING 38 POINTS  (from Hot Air by way of Cuffy Meigs’  ‘Perfunction’):

According to Public Policy Polling, of Raleigh, N.C., 44 percent of New York State voters now say they have a less favorable opinion of Kennedy than they did before she started vying for the position. Thirty-three percent say it’s made no difference, and 23 percent report now having a more favorable opinion of her.

Cuomo now leads Kennedy 58-27 in a survey of the preferences of state voters. Among Democrats, Cuomo is ahead of Kennedy 54-34 percent; a month ago, the survey found Kennedy ahead of Cuomo by 44-23 percent among Democrats.

Have we mentioned Congresswoman Maloney ALSO has published a book?? Why yes she has and we love it , so tick that little fauxgressive requirement for office off the list:

(click photo for link to interview with WNYC) : When Congresswoman Carolyn Maloney (D-NY) was a young woman, her grandmother’s career advice for her was to get married. Now Rep. Maloney says that gender inequality is still a big problem in the U.S. Her new book is Rumors of Our Progress Have Been Greatly Exaggerated: Why Women’s Lives Aren’t Getting Any Easier–And How We Can Make Real Progress For Ourselves and Our Daughters.

Carolyn Maloney & her book about women's progress in WNYC studios

Carolyn Maloney & her book about women's progress in WNYC studios

Okay so to summarize, Caroline Kennedy has no practical experience in governance; she has never held a ‘real’ job (the kind where you don’t wear a ballgown and call fellow heiresses for donations;, sorry if that offends but it’s true and this is NY politics now so toughen up m’kay?);

she has zero background in economics, national security or the markets, finance or commerce, and she has a stunningly bad public presence and is in fact condescending to the media and public in a very John Kerryesque way; recall her retort to media in upstate NY:

Q: “‘where are you going?”/ A: “to the car'”

and the gem when she snarkily suggested the reporters inquiring about how she felt when she decided to run, should perhaps work for ‘women’s magazines’ (recall if you will that Glamour gave HRC Woman of the Year and had an event for HRC, Condoleeza Rice and other women; whereas TIME failed to list HRC in top 10 people of 2009 despite her being the first woman in American history to win a Presidential primary)…

We have visited the many sterling qualifications of Rep. Carolyn Maloney (D-NY) here at MiM. We would prefer to keep a woman in the Senate when we have one so imminently qualified with over 15 yrs of public service to the people of NY in the Congress; but we do admire and would also support Andrew Cuomo if we were faced with a Kennedy-Cuomo selection.

AG Cuomo has taken on the eeeeeevil Insurance Companies like nobody’s business, and is NEVER afraid of a fight.

We at MiM think Congress Critter Maloney would selectively choose fights that are more important to the people of NY, and while we are certainly not claiming she is immune to the quest for the spotlight (no pol is), we have to say we think Cuomo would pursue the big media grabbing legislation the way he does as AG.

HRC puts her nose quietly to the grindstone, which ironically hurt her as a POTUS candidate, many outside of NY had no clue of all she has accomplished for her constituents. Maloney governs in that same vein from what we have observed.

So again we prefer Maloney. But no one can say Andrew Cuomo is not qualified, and ‘you know’,  if you are going to pretend to be a monarchy at least take LOCAL ROYALTY which is what Cuomo is…

Let Teddy try to ‘bestow’ HIS seat to Caroline after she gets some time in politics as an Ambassador to a sure and certain ally like the UK….let MASS try to deal with ‘you know’ all the baggage and training issues…sorry MASS but they are your Kennedys…

New York is frankly too important to our economy, to the security of the country and to the current legislation being drafted ie TARP, financial institutions, Wall St,  Main St, immigration and Homeland Security, to install a newbie with no practical experience….

Read more about Carolyn Maloney here and here

Read more about Andrew Cuomo here

about_acuomo…Throughout 2007, Attorney General Cuomo revealed a systemic pattern of deceitful and corrupt practices within the student lending industry, compromising millions of students throughout the country who rely on loans to pay for college. As a result of this investigation, over $3 million was refunded to students and $13.7 million was allocated by lenders to the National Education Fund established by Attorney General Cuomo and dedicated to educating students and their families about how to navigate the lending industry.

Cuomo also created a student lending Code of Conduct which eventually became New York State law as the Student Lending Accountability, Transparency, and Enforcement (SLATE) Act of 2007. Proposed federal legislation regarding the student loan industry also incorporates Cuomo’s original Code of Conduct and has currently been passed by the U.S. House of Representatives and the U.S. Senate.

In 2007, Cuomo also announced an investigation into widespread appraisal fraud within the mortgage industry, examining practices used by some of the country’s largest banks of pressuring appraisers to artificially inflate the value of homes. As a result of these investigations, Fannie Mae and Freddie Mac, the largest purchasers of home loans, agreed to abide by new appraisal guidelines defined by the Attorney General and to fund an Independent Valuation Protection Institute to implement and monitor those guidelines.


January 6, 2009. Tags: , , , , , , , , , , . Economy, FDIC, Finance, Foreclosures, Healthcare, Hillary Clinton, Housing, Immigration, Labor Department, Politics, TARP, Terrorism, Unemployment Statistics, Wall St. Comments off.

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