SUBSCRIBE TO OUR FREE NEWSLETTER
Daily news & progressive opinion—funded by the people, not the corporations—delivered straight to your inbox.
5
#000000
#FFFFFF
5
#000000
#FFFFFF
Sen. Mark Warner (D-Va.) listens to testimony from Secretary of Treasury Steve Mnuchin during a Senate Finance Committee hearing concerning fiscal year 2018 budget proposals for the Department of Treasury and tax reform, on Capitol Hill, May 25, 2017 in Washington, D.C. (Photo: Drew Angerer/Getty Images)
'The Charade Is Over': CBO Reveals Democrat-Backed Bill Really Just Big Gift to Wall Street
"The Wall Street crash of 2008 showed the American people how fraudulent many of these large banks are. The last thing we should be doing is deregulating them."
Mar 06, 2018
Providing further evidence that the bank deregulation bill currently sailing through the Senate--with the essential help of 12 Democrats and Sen. Angus King (I-Maine)--is more about enriching large financial institutions than helping community banks, the Congressional Budget Office (CBO) estimated in a report unveiled late Monday that the bipartisan measure would exempt big banks from strict regulations and significantly increase the likelihood of future taxpayer bailouts.
"Any Democrat voting to advance this bill ought to just retire and start working directly as a lobbyist for the big banks."
--Kurt Walters, Rootstrikers
"A major feature of the bill is exempting about two dozen financial companies with assets between $50 billion and $250 billion from the highest levels of regulatory scrutiny from the Federal Reserve," notes the Washington Post's Jeff Stein, who first reported on the CBO's findings.
According to the CBO, such exemptions would give large institutions--including so-called "too big to fail" banks--more freedom to engage in the kind of risky behavior that led to the 2008 financial crash, thus making them more likely to collapse again.
"This banking bill is a disaster," Sen. Bernie Sanders (I-Vt.) said in a statement responding to the CBO's findings. "The Wall Street crash of 2008 showed the American people how fraudulent many of these large banks are. The last thing we should be doing is deregulating them. Why would any member of Congress vote to move us closer to another taxpayer bailout of large financial institutions?"
Sen. Sherrod Brown (D-Ohio) also seized upon the CBO's report on Monday as confirmation of what the bill's opponents have been saying for months.
The Economic Growth, Regulatory Relief, and Consumer Protection Act--or, as critics call it, the "Bank Lobbyist Act"--was introduced by Sen. Mike Crapo (R-Idaho) last November, and currently boasts 12 Democratic co-sponsors, in addition to Sen. Angus King (I-Maine): Doug Jones (Ala.), Joe Donnelly (Ind.), Heidi Heitkamp (N.D.), Jon Tester (Mont.), Mark Warner (Va.), Claire McCaskill (Mo.), Joe Manchin (W.Va.), Tim Kaine (Va.), Gary Peters (Mich.), Michael Bennet (Colo.), Chris Coons (Del.), and Tom Carper (Del.).
With the legislation scheduled for a procedural vote on Tuesday, Kurt Walters, campaign director at the advocacy group Rootstrikers, suggested in a statement on Monday that "any Democrat voting to advance this bill ought to just retire and start working directly as a lobbyist for the big banks."
"The charade is over," Walters added. "The CBO's report just destroyed any case that this bill is 'community banking' legislation. A neutral arbiter just confirmed that this bill would increase the risk of future bank bailouts and gave even odds that it would let Wall Street giants CitiBank and JPMorgan pile on more risk. In what universe does this make sense as policy? In what universe is this what voters are clamoring for?"
We are at a crossroads
This country and this world are at a monumental crossroads. US voters have an opportunity to beat back the forces of fascism and confront the billionaires who are rigging the economy, our media system, and our democracy, making it increasingly impossible for ordinary people to get by. We’re not just talking about the election. We’re talking about what must be done once these fascist elements are vanquished from power. We need a bolder set of solutions than what either major party has so far been willing to offer and a working-class movement ready to fight like hell for it. Trump didn't emerge from nowhere. The conditions that fueled MAGA authoritarianism were created by decades of radical neoliberal economic policies and a corrupt political system dominated by corporate interests. They slashed taxes on the super-rich, promising that the benefits would trickle down. They said giveaways to the corporate titans would make life more affordable for the rest of us. It was all bullshit. And when a bitter, betrayed populace searches for someone to blame, right-wing demagogues have little trouble finding scapegoats. People know when they're being lied to, but you won't hear any of this from the corporate media. Only independent journalism—powered and funded by people who believe in building a better world—can deliver truly trustworthy daily news. If you share our vision, please contribute whatever you can to sustain our work. |
Our work is licensed under Creative Commons (CC BY-NC-ND 3.0). Feel free to republish and share widely.
Providing further evidence that the bank deregulation bill currently sailing through the Senate--with the essential help of 12 Democrats and Sen. Angus King (I-Maine)--is more about enriching large financial institutions than helping community banks, the Congressional Budget Office (CBO) estimated in a report unveiled late Monday that the bipartisan measure would exempt big banks from strict regulations and significantly increase the likelihood of future taxpayer bailouts.
"Any Democrat voting to advance this bill ought to just retire and start working directly as a lobbyist for the big banks."
--Kurt Walters, Rootstrikers
"A major feature of the bill is exempting about two dozen financial companies with assets between $50 billion and $250 billion from the highest levels of regulatory scrutiny from the Federal Reserve," notes the Washington Post's Jeff Stein, who first reported on the CBO's findings.
According to the CBO, such exemptions would give large institutions--including so-called "too big to fail" banks--more freedom to engage in the kind of risky behavior that led to the 2008 financial crash, thus making them more likely to collapse again.
"This banking bill is a disaster," Sen. Bernie Sanders (I-Vt.) said in a statement responding to the CBO's findings. "The Wall Street crash of 2008 showed the American people how fraudulent many of these large banks are. The last thing we should be doing is deregulating them. Why would any member of Congress vote to move us closer to another taxpayer bailout of large financial institutions?"
Sen. Sherrod Brown (D-Ohio) also seized upon the CBO's report on Monday as confirmation of what the bill's opponents have been saying for months.
The Economic Growth, Regulatory Relief, and Consumer Protection Act--or, as critics call it, the "Bank Lobbyist Act"--was introduced by Sen. Mike Crapo (R-Idaho) last November, and currently boasts 12 Democratic co-sponsors, in addition to Sen. Angus King (I-Maine): Doug Jones (Ala.), Joe Donnelly (Ind.), Heidi Heitkamp (N.D.), Jon Tester (Mont.), Mark Warner (Va.), Claire McCaskill (Mo.), Joe Manchin (W.Va.), Tim Kaine (Va.), Gary Peters (Mich.), Michael Bennet (Colo.), Chris Coons (Del.), and Tom Carper (Del.).
With the legislation scheduled for a procedural vote on Tuesday, Kurt Walters, campaign director at the advocacy group Rootstrikers, suggested in a statement on Monday that "any Democrat voting to advance this bill ought to just retire and start working directly as a lobbyist for the big banks."
"The charade is over," Walters added. "The CBO's report just destroyed any case that this bill is 'community banking' legislation. A neutral arbiter just confirmed that this bill would increase the risk of future bank bailouts and gave even odds that it would let Wall Street giants CitiBank and JPMorgan pile on more risk. In what universe does this make sense as policy? In what universe is this what voters are clamoring for?"
Providing further evidence that the bank deregulation bill currently sailing through the Senate--with the essential help of 12 Democrats and Sen. Angus King (I-Maine)--is more about enriching large financial institutions than helping community banks, the Congressional Budget Office (CBO) estimated in a report unveiled late Monday that the bipartisan measure would exempt big banks from strict regulations and significantly increase the likelihood of future taxpayer bailouts.
"Any Democrat voting to advance this bill ought to just retire and start working directly as a lobbyist for the big banks."
--Kurt Walters, Rootstrikers
"A major feature of the bill is exempting about two dozen financial companies with assets between $50 billion and $250 billion from the highest levels of regulatory scrutiny from the Federal Reserve," notes the Washington Post's Jeff Stein, who first reported on the CBO's findings.
According to the CBO, such exemptions would give large institutions--including so-called "too big to fail" banks--more freedom to engage in the kind of risky behavior that led to the 2008 financial crash, thus making them more likely to collapse again.
"This banking bill is a disaster," Sen. Bernie Sanders (I-Vt.) said in a statement responding to the CBO's findings. "The Wall Street crash of 2008 showed the American people how fraudulent many of these large banks are. The last thing we should be doing is deregulating them. Why would any member of Congress vote to move us closer to another taxpayer bailout of large financial institutions?"
Sen. Sherrod Brown (D-Ohio) also seized upon the CBO's report on Monday as confirmation of what the bill's opponents have been saying for months.
The Economic Growth, Regulatory Relief, and Consumer Protection Act--or, as critics call it, the "Bank Lobbyist Act"--was introduced by Sen. Mike Crapo (R-Idaho) last November, and currently boasts 12 Democratic co-sponsors, in addition to Sen. Angus King (I-Maine): Doug Jones (Ala.), Joe Donnelly (Ind.), Heidi Heitkamp (N.D.), Jon Tester (Mont.), Mark Warner (Va.), Claire McCaskill (Mo.), Joe Manchin (W.Va.), Tim Kaine (Va.), Gary Peters (Mich.), Michael Bennet (Colo.), Chris Coons (Del.), and Tom Carper (Del.).
With the legislation scheduled for a procedural vote on Tuesday, Kurt Walters, campaign director at the advocacy group Rootstrikers, suggested in a statement on Monday that "any Democrat voting to advance this bill ought to just retire and start working directly as a lobbyist for the big banks."
"The charade is over," Walters added. "The CBO's report just destroyed any case that this bill is 'community banking' legislation. A neutral arbiter just confirmed that this bill would increase the risk of future bank bailouts and gave even odds that it would let Wall Street giants CitiBank and JPMorgan pile on more risk. In what universe does this make sense as policy? In what universe is this what voters are clamoring for?"
We've had enough. The 1% own and operate the corporate media. They are doing everything they can to defend the status quo, squash dissent and protect the wealthy and the powerful. The Common Dreams media model is different. We cover the news that matters to the 99%. Our mission? To inform. To inspire. To ignite change for the common good. How? Nonprofit. Independent. Reader-supported. Free to read. Free to republish. Free to share. With no advertising. No paywalls. No selling of your data. Thousands of small donations fund our newsroom and allow us to continue publishing. Can you chip in? We can't do it without you. Thank you.
To inform. To inspire. To ignite change for the common good.
News & Opinion
Trending
Common Dreams, Inc. Founded 1997. Registered 501(c3) Non-Profit
Privacy Policy