Klobuchar Statement on the Emergency Economic Stabilization Act of 2008

Statement

Klobuchar Statement on the Emergency Economic Stabilization Act of 2008

U.S. Senator Amy Klobuchar released the following statement regarding tonight's vote on the Emergency Economic Stabilization Act of 2008:

"I support this legislation to stabilize our economy with many reservations. I do not support it to rescue Wall Street. I support it to protect Main Street by averting an economic catastrophe that would otherwise force millions of Americans to lose their jobs, their homes and their retirement savings.

"This financial crisis should never have happened. It is an indictment of eight years of failed economic policies in Washington and irresponsible business practices on Wall Street. The administration allowed Wall Street to operate like a Wild West gambling hall awash in funny money. At the 11th hour, Fed Chairman Ben Bernanke and Treasury Secretary Henry Paulson have had to step in as the house managers to shut the game down.

"Now the American people have to clean up the damage or else suffer even worse economic consequences. In just the last few weeks, we already see the signs of credit problems for average Americans and small businesses.

"I made it clear from the beginning that I opposed the Administration's 3-page plan and I have long advocated for better regulation of risky business practices, speculation, and price gouging and will continue to do so to protect middle class families. During the past week after we got the initial plan, I worked with my colleagues to strengthen the proposal with more protections for taxpayers and more limits on Wall Street.

"The revised plan addresses many of my concerns. It commits less taxpayer money by releasing funds only in installments; it has stronger oversight and transparency requirements to protect taxpayer money; it limits executive compensation; and provides the opportunity for taxpayers to share in any gains and to make sure that they're whole before the bondholders, the shareholders, and the executives.

"The legislation also includes a requirement for a Congressional proposal for new financial regulations by January 20th to protect the American people against another financial crisis in the future, by closing the regulatory loopholes on Wall Street. This will be a top priority for me in the coming months.

"I also voted for this legislation because it includes three other provisions that are very important to Minnesota. First, it extends the tax incentives that promote investment in renewable energy. These incentives have been essential to the rapid growth of Minnesota's homegrown energy, including wind, solar, and biofuels. Second, it revises the tax code to directly benefit the middle class; and finally, the legislation establishes parity in insurance coverage for mental health benefits, a matter of fairness and dignity that Paul Wellstone long fought for.

"I know that people in our state have strong feelings about this economic stabilization plan and I'm looking forward to going home to talk with all of you about it. But for now I felt while this is a sad day for this country that we got to this point, that we must avert an economic crisis and I continue to be humbled to be your Senator."

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