Update: On October 14th, twenty-six of my colleagues and I sent a letter to Financial Services Committee Chairman Barney Frank regarding the upcoming hearing on restructuring and reform of the financial system, scheduled for October 21st.
In the letter, we request that Chairman Frank ensure that executives and representatives from Fannie May and Freddie Mac are included in the hearing to answer questions about their role in the current economic crisis. It is important that we understand all the root causes of the financial meltdown in order to determine the best way to reinvigorate our economy. In addition, the letter calls for immediate hearings into the allegations of improper voter registration activity by ACORN. You can read the full text of our letter HERE.
As a member of the Financial Services Committee, I serve on the following subcommittees:
The Financial Services Committee is responsible for overseeing all aspects of America’s financial services sectors, including banking, insurance, real estate, public and assisted housing, and securities.
The recent crises in America’s financial and credit markets has focused particular attention on the Financial Services committee.
I opposed the bailouts of Bear Stearns, Fannie Mae, Freddie Mac and AIG. In addition, I voted against both versions of the Emergency Economic Stabilization Act (H.R.3997 and H.R. 1424). You can read more about my positions of these recent issues by clicking on the recent press releases and columns listed below.
During consideration of the Emergency Economic Stabilization Act Secretary of the Treasury Hank Paulson, Federal Reserve Chairman Ben Bernanke, and Securities and Exchange Commission Chairman Chris Cox testified before the full committee. You can watch that hearing and related financial services hearings HERE.
Our nation needs stronger and more efficient regulation of our financial institutions, especially government sponsored enterprises like Fannie Mae and Freddie Mac. Taxpayers should not be held hostage by bad lending practices and greed on Wall Street.
I am very disappointed that the other viable options proposed by economists and my colleagues were not given more thoughtful consideration. A variety of alternative solutions to our economic problems, including a government insurance or loan program for troubled assets, temporary suspension of capital gains taxes, suspension or revision of mark-to-market accounting principles, or other tax provisions, would have encouraged banks, businesses and investors to inject liquidity into the credit markets, but these options were not given proper consideration in Congress.