Financial “deform” bill UPDATE: Democrats trying to get GOP Senators back on board.
Oh, how things can change in a few days. With the passing of Robert Byrd and Scott Brown a resounding “NO”, Harry Reid and Chris Dodd are scurrying to save their Wall Street power grab and bigger taxes legislation. It is funny to see how the AP omitted that Russ Finegold has said he is still a NO vote on the legislation as well. This isn’t because he is unhappy that the bill doesn’t go far enough. It is because he is in mortal danger of having his political career ended in November given the latest polling from Democratic pollster PPP. He only holds a 45-43 lead over Rob Johnson and a 45-38 lead over Doug Westlake. Assuming Johnson wins the GOP primary, Feingold is going to be in the fight for his life with having to defend his Cap and Trade and Obamacare votes. He can’t afford to give his GOP opponent anymore ammunition to hit him with. On top of that, Susan Collins and Olympia Snowe are suddenly having a change of heart as well. Chuck Grassley of Iowa isn’t saying if he will vote for cloture either. Personally, I really hope Mitch McConnell sticks a dagger in this legislation by holding his caucus together. If he does, financial reform legislation is dead. I would like to highlight one trick the Democrats are trying which made me laugh:
LOOKING FOR MONEY
The tax was added to ensure that the bill does not add to the government’s ballooning budget deficit. The nonpartisan Congressional Budget Office estimated on Monday that the legislation would be deficit-neutral with the tax provision.
If the tax is removed from the bill, lawmakers may propose tapping the $700 billion bank bailout fund and banks’ deposit insurance fees, sources said.
One memo being circulated on Tuesday showed Dodd was considering a proposal to raise the Federal Deposit Insurance Corp premium ratio to 1.35.
Currently the FDIC by law must maintain the insurance fund at 1.15 percent of banks’ covered deposits. The increase in the premium ratio would result in a rate hike on banks.
If negotiators agree on a solution, the House could vote on the measure on Wednesday. That conceivably could give the Senate enough time to approve it and send it to Obama by July 4.
This attempt is comical. Okay, we’ll strip out the tax hike now require banks pay higher premiums into the FDIC. I can just hear the Democrats now. “It’s not a tax, its a raise in insurance premiums.” What a joke. Their appetite for bigger government and bigger taxes is insatiable.
The reasons for this push are simple. Obama and the Congressional Democratic leadership realize they are facing astronomical losses in November and are doing everything they can to push through as much socialistic trash legislation. They really want to get this out of the way and move onto Cap and Trade or worse, the DISCLOSE Act which they would try to coddle GOP Senators like John McCain to forfeit the obvious advantage the GOP gained with the Citizens United SCOTUS decision. Personally, I have one word to the Senate GOP: Gridlock. Don’t let any legislation go through until the next Congress is sworn into office in January. By then, their negotiating position will at the least be much stronger or better, they might have control of the Senate. Election Night is a little over 4 months away. With the Kagan hearings, Independence Day recess on tap, and campaigns ramping up, it’s time to permanently close the window to the damage that the Democratic Party has inflicted on the country since Obama was inaugurated.
GRIDLOCK IS A GOOD THING