Mitch McConnell has spoken. And now it looks like the auto bailout is dead….for now. It’s not a good day for the White House when the leader of the Republicans in the senate comes out against YOUR agreement.
Read below from Politico:
Senate Minority Leader Mitch McConnell broke with the White House Thursday over a proposed $14 billion loan package for ailing automakers, all but assuring its defeat this week and forcing the administration to consider other emergency steps to avert bankruptcies among Detroit’s Big Three this winter.
The Kentucky Republican, with a large auto presence in his state, had been seen as a potential ally for the industry, and he provided crucial support for the Treasury Department’s financial markets rescue fund this fall. But he has since endured a punishing reelection fight. And faced with strong resistance in his caucus, he said that the bill "isn't nearly tough enough” and that he could not ask taxpayers to “subsidize failure.”
McConnell’s floor speech follows Wednesday night’s House vote approving the bill 237-170, with 32 Republicans supporting the administration. House Financial Services Committee Chairman Barney Frank (D-Mass.) had hoped the better-than-expected margin could help tip the scale in the Senate, but Speaker Nancy Pelosi didn’t hide her unhappiness with the lack of Republican support — a harbinger of the Senate situation.
“To have just 32 Republicans, you think, ‘Why don’t we write our own bill?’” she told Politico, citing the concessions she made to the White House . And the California Democrat said this could mean that Treasury Secretary Henry Paulson will have to do what he hasn’t wanted: tap financial rescue funds to keep General Motors Corp from falling into bankruptcy in President Bush’s last weeks in office.
“He may. He may,” Pelosi said.
More here.
My goodness. The White House can't even muster up 10-15 Republicans in the Senate? Take an Excedrin.
These tussles between Senate and House Republicans and the White House are getting all too commonplace. Look folks, the relationship hasn’t been all that great for awhile now. Limited government Republicans are simply tired of the big government mentality of this White House. You can point to No Child Left Behind or the Medicare bill or the huge increase in government spending. You name it. This frustration has been building for awhile now and now you’ve got this $700 billion dollar financial bailout plus billions for the car companies. It’s too much for these limited government Republicans to handle especially because they already see additional problems inside this auto bailout bill.
Back to the drawing board. Good luck. I’ll be at Starbucks. No pun intended.