Bailout

(Community Matters) I’m going to stay optimistic, though admittedly we’re pretty liquid so easier to be calm. Two things: 1) this morning I was made aware of not so attractive provisions in the bailout bill about earmarking 20% of repayments to Treasury for housing funds and other special accounts. This sounds like bullshit to me. Repay Treasury and run appropriations through the open process. And, 2) a Republican administration asked for and recommended this bailout. No one disputes that at least 3 of the 4 principles Obama and House/Senate members put forward (equity, oversight and CEO comp) improved the final bill. I don’t mind traunches either. The Democrats delivered more than half of their votes. The Republicans had that responsibility as well. If they obstruct the bailout/rescue and their opposition proves correct, we’ll need to acknowledge their courage and foresight. If it spirals downward, then they’ll own not only 8 years of the problem but the failure to act as well.

I’d prefer to think even better changes will be made to the bill and it’ll pass on Wednesday. If McCain believes it is critical as he said on Friday and Sunday morning news shows, he should be pressing his colleagues and delivering. Bush and Paulson too.