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Dems Want TARP Cash For Pet Projects

From the Politico:

Dems fight over funds left from bailout

Victoria Mcgrane Fri Nov 20

Congressional Democrats could be careening toward a head-on collision with the White House over $200 billion in leftover bailout money — money that Republicans think should simply be returned to taxpayers.

The Treasury Department is pushing for fiscal prudence and wants to use the money to pay down the deficit and keep a small rainy-day fund in case of economic catastrophe.

But Democrats are salivating over the possibility of $200 billion in unspent money.

House Democratic Caucus Chairman John Larson of Connecticut wants dough to fund job-creation legislation. Massachusetts Rep. Barney Frank, the powerful chairman of the House Financial Services Committee, wants to direct $2 billion of repaid Troubled Asset Relief Program funds to loans for unemployed homeowners so they can avoid foreclosure. House Speaker Nancy Pelosi of California admits that “there’s a good bit of interest” in spreading the money around to various economic projects.

And Senate Democrats want to put a big chunk — say, $40 billion — toward loans to small businesses.

Republicans, who regret ever voting for the $700 billion bailout in the first place, are moving in for the kill, convinced that a deficit-weary nation would thank them for pulling the plug on the great bank bailout of 2008.

“We don’t need it anymore, and the American people never liked it. Let’s just do away with it,” Rep. Michael Burgess (R-Texas) told Treasury Secretary Timothy Geithner during a hearing Thursday.

The White House realizes its goals clash with Democrats in Congress.

“As people on the Hill realize that there was money allocated and not spent, it becomes attractive. We need to find ways to make that less attractive,” said a senior administration official.

News reports in recent weeks and sources close to Treasury indicate that Geithner and his team are leaning toward extending the bailout fund beyond its Dec. 31 expiration date while putting some of the funds toward the deficit. But administration officials pushed back against those reports Thursday, stressing that no decisions have been made and that an announcement on the issue is far from imminent…

Gee, we didn’t see this coming.

When have Democrats ever allowed any excess money to be ‘returned to the US taxpayers.’ (Hint: never.)

And, of course, after a pretense of strenuously objecting, Mr. Obama will let Frank and Pelosi have their way.

In fact, we are probably already seeing that this is in the works:

News reports in recent weeks and sources close to Treasury indicate that Geithner and his team are leaning toward extending the bailout fund beyond its Dec. 31 expiration date while putting some of the funds toward the deficit. But administration officials pushed back against those reports Thursday, stressing that no decisions have been made and that an announcement on the issue is far from imminent.

Note how suddenly it is just “putting some of the money towards the deficit.” And, worse still, they are stressing that no decision has been made. Nor will it be made anytime soon.

Now that Mr. Obama is back from China, he no longer has to pretend to be serious about lowering the deficit.

This article was posted by Steve on Friday, November 20th, 2009. Comments are currently closed.

8 Responses to “Dems Want TARP Cash For Pet Projects”

  1. Tater Salad says:

    Barney also wants TARP funds to “expand his backyard”.

  2. Chuckk says:

    “When have Democrats, OR REPUBLICANS, ever allowed any excess money to be ‘returned to the US taxpayers.’ (Hint: never.)”

  3. MinnesotaRush says:

    “Congressional Democrats could be careening toward a head-on collision with the White House over $200 billion in leftover bailout money”

    “Leftover bailout money”???? .. how ’bout “left over TAXPAYER money” ..

    These dems/libs are unconciable thieves!!!

  4. retire05 says:

    “Massachussets Rep. Barney Frank wants to spend $2 billion to help people avoid forclosure.

    WTF? What happened to the $300 million that was appropriated by the Congress in 2008 to help people avoid forclosure? Why don’t we ever hear of those successful stories, how poor Jane and John Doe were saved from the evil repo man?

    Maybe someone could do some research on THAT money the taxpayers were put on the hook for?

  5. Confucius says:

    RETURN THE WEALTH! RETURN THE WEALTH!

    RETURN THE WEALTH TO ITS RIGHTFUL OWNERS!

  6. Enthalpy says:

    Dispense with all or most of them and begin again.


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