Local Congressional Delegation Opposed To Failed Bailout Plan

The bulk of San Diego's congressional delegation voted today against the proposed $700 billion bailout of U.S. financial institutions, but agreed that lawmakers need to work fast to come up with an alternative now that the House has rejected the plan.

Rep. Darrell Issa, R-Vista, opposed the plan as a "bad deal for taxpayers."

"The American people spoke clearly and forcefully against this bailout scheme, which was crafted by a privileged few meeting behind closed doors," Issa said.

"During the last week, members of Congress have been meeting with economic experts outside the government and have heard many alternatives that are less costly and worthy of consideration," he said. "It's now time for Congress to open up the process and weigh other ideas for getting our economy on the right track. The real effort to fix our economy starts now."

Also voting against the proposal was Rep. Brian Bilbray, R-Carlsbad.

"It is not the responsibility of the American taxpayers to foot a $700 billion bill for the irresponsible actions of Wall Street and borrowers," Bilbray said. "I am not opposed to appropriate government intervention, but socializing the capital market is wrong."

He called on Congress to stay in session until a "responsible proposal" is crafted to address the problem and its root causes.

The proposal by the federal government to assume as much as $700 billion in bad debt held by the nation's financial institutions in order to shore up Wall Street was backed by President Bush at the urging of Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben Bernanke.

The House voted 228 to 205 to reject the plan. While opposing votes were recorded on both sides of the isle, a majority of Republicans were opposed, while most Democrats supported the bill.

The Dow closed down 777 points following the vote, the largest single-day point decline ever.

http://www.cbs8.com/stories/story.141863.html