PDA

View Full Version : John McCain’s Warning About Fannie Mae



LibraryLady
10-11-2008, 04:19 PM
John McCain’s Warning About Fannie Mae (http://sweetness-light.com/archive/behold-mccains-warning-about-fannie-mae#comments)


United States Senate
WASHINGTON, DC 20510
May 5, 2006

The Honorable William H. Frist, MD Majority Leader
United States Senate
Washington, DC 20510

The Honorable Richard C. Shelby
Chairman, Banking, Housing and Urban Affairs Committee United States Senate
Washington, DC 20510

Dear Majority Leader Frist and Chairman Shelby,

We are concerned that if effective regulatory reform legislation for the housing-finance government sponsored enterprises (GSEs) is not enacted this year, American taxpayers will continue to.be exposed to the enormous risk that Fannie Mae and Freddie Mac pose to the housing market, the overall financial system, and the economy as a whole. Therefore, we offer you our support in bringing the Federal Housing Enterprise Regulatory Reform Act (S. 190) to the floor and allowing the Senate to debate the merits of this bill, which was passed by the Senate Banking Committee.

Congress chartered Fannie and Freddie to provide access to home financing by maintaining liquidity in the secondary mortgage market. Today, almost half of all mortgages in the U.S. are owned or guaranteed by these GSEs. They are mammoth financial institutions with almost $1.5 Trillion of debt outstanding between them. With the fiscal challenges facing us today (deficits, entitlements, pensions and flood insurance), Congress must ask itself who would actually pay this debt if Fannie or Freddie could not?

Substantial testimony calling for improved regulation of the GSEs has been provided to the Senate by the Treasury, Federal Reserve, HUD, GAO, CBO, and others. Congress has the opportunity to recommit itself to the housing mission of the GSEs while at the same time making sure the GSEs operate in a manner that does not expose our financial system, or taxpayers, to unnecessary risk. It is vitally important that Congress take the necessary steps to ensure that these institutions benefit from strong and independent regulatory supervision, operate in a safe and sound manner, and are primarily focused on their statutory mission. More importantly, Congress must ensure that the American taxpayer is protected in the event either GSE should fail. We strongly support an effort to schedule floor time this year to debate GSE regulatory reform.

Sincerely,

(signed)

John McCain

et alia

JB
10-11-2008, 05:30 PM
Must. Kick. Thread.

Bubba Dawg
10-12-2008, 11:26 AM
Dated May 5 2006.

LibraryLady
10-12-2008, 11:27 AM
He needs to get this in the media.

Bubba Dawg
10-12-2008, 11:45 AM
He needs to get this in the media.

True, but many in teh media would probably ignore it.

LibraryLady
10-12-2008, 11:46 AM
At least it did make Drudge today.

Constitutionally Speaking
10-12-2008, 11:23 PM
At least it did make Drudge today.


This HAS been out there for a while - that is what is so maddening. McCain HAS mentioned it in the Debates and in his speeches but the Media is too busy playing Obama's talking points on the issue.

JB
10-15-2008, 06:42 PM
What did O'Bomber say when he saw this? Present?

BadCat
10-15-2008, 06:49 PM
What did O'Bomber say when he saw this? Present?

He said he also wrote a letter.

Like his bracelet, he doesn't know what it said.

JB
10-15-2008, 07:01 PM
He said he also wrote a letter.

Like his bracelet, he doesn't know what it said.It's probably in a lockbox with the ten thousand other documents he refuses to release.

LibraryLady
10-15-2008, 07:10 PM
What did O'Bomber say when he saw this? Present?


Are you psychic???

Barack Obama has claimed that he foresaw the subprime mortgage collapse and took steps to warn the Treasury — by writing a letter. That claim has come in two presidential debates. Peter Wallison reminds Wall Street Journal readers of the obvious in pointing out that Obama serves as a Senator and had the power to draft legislation, not letters, to prevent the collapse. Instead, Obama voted present: (http://hotair.com/archives/2008/10/15/obama-voted-present-on-fanniefreddie-reform/)


Finally, on the matter of deregulation and the financial crisis, Sen. Obama should consider his own complicity in the failure of Congress to adopt legislation that might have prevented the subprime meltdown.

In the summer of 2005, a bill emerged from the Senate Banking Committee that considerably tightened regulations on Fannie and Freddie, including controls over their capital and their ability to hold portfolios of mortgages or mortgage-backed securities. All the Republicans voted for the bill in committee; all the Democrats voted against it. To get the bill to a vote in the Senate, a few Democratic votes were necessary to limit debate. This was a time for the leadership Sen. Obama says he can offer, but neither he nor any other Democrat stepped forward.

Instead, by his own account, Mr. Obama wrote a letter to the Treasury Secretary, allegedly putting himself on record that subprime loans were dangerous and had to be dealt with. This is revealing; if true, it indicates Sen. Obama knew there was a problem with subprime lending — but was unwilling to confront his own party by pressing for legislation to control it. As a demonstration of character and leadership capacity, it bears a strong resemblance to something else in Sen. Obama’s past: voting present.
I mentioned this in an earlier debate analysis. It demonstrates a key difference between Obama and John McCain. When McCain saw the potential for crisis, he took action by co-sponsoring Chuck Hagel’s Fannie/Freddie reform bill that would have increased regulation on the two GSEs. He spoke in the Senate for its passage.

What did Barack Obama do? He wrote a letter. He didn’t bother to co-sponsor the bill that could have prevented this year’s financial collapse, or to even allow it to come to a vote. Obama talked (allegedly — we have yet to see this letter) while McCain took action.

JB
10-15-2008, 07:21 PM
Are you psychic???Not really. By saying Obama "voted present", the odds were overwhelmingly in my favor that I would be correct.

Besides, all I really wanted to do was kick the thread because the CU libs have been mysteriously absent from this thread. ;)

PoliCon
10-15-2008, 08:43 PM
The press is not about to do anything to damage their m0ssiah unless they are forced so to do. I mean if they do - he might not let them blow him any more.

BadCat
10-15-2008, 08:48 PM
The press is not about to do anything to damage their m0ssiah unless they are forced so to do. I mean if they do - he might not let them blow him any more.

This is the last "hurrah" for the American press. They have completely and unabashedly sold their souls to Hussien Obama. They are banking everything on his win, they no longer care about integrity or accountability.

Even an old moonbat like Walter Cronkite is kicking in his grave.

LibraryLady
10-15-2008, 10:23 PM
Even an old moonbat like Walter Cronkite is kicking in his grave.

He's still alive

PoliCon
10-15-2008, 10:25 PM
He's still aliveare you sure? I mean they could just be propping him up for a weekend at bernies . . . .

BadCat
10-15-2008, 10:37 PM
He's still alive


He is?
Damn, coulda fooled me.