Democrats Attempt To Shut Down Reforms to Fannie Mae and Freddie Mac

Cmte Financial Services (R)
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Democrats Attempt To Shut Down Reforms to Fannie Mae and Freddie Mac

Democrats on the Financial Services Committee, who blocked Republican efforts to reform Fannie Mae and Freddie Mac during debate over financial regulatory reform in 2009 and 2010, on Tuesday used delaying tactics and obstructionist parliamentary maneuvers in an attempt to stall progress on eight Republican bills to bring needed reforms to the bailed out mortgage giants.

The Capital Markets and Government Sponsored Enterprises Subcommittee began meeting at 10 a.m. on Tuesday. Throughout the day and into the evening, Democrats on the Subcommittee used delaying tactics to try to stop the reforms and shut down the mark up of bills. One of the Democrats’ favorite delaying tactics was to demand a quorum call and then leave the committee hearing room in an attempt to deprive the Committee of a quorum.

Subcommittee Chairman Scott Garrett said, “Americans have seen Democrats flee certain states and now we’re seeing Democrats in Congress use the same ploy. Republicans are working to end the bailout of Fannie Mae and Freddie Mac, which has already cost taxpayers $150 billion. The American people want us to end the bailouts, and we hope the Democrats on the Committee will start taking this issue – and their responsibilities as legislators – seriously.”

Financial Services Committee Chairman Spencer Bachus said, “Everyone agrees that reckless housing finance practices were at the core of the financial crisis. Fannie Mae and Freddie Mac are the poster child for the failed government policies that triggered that crisis. Tonight we made good progress towards preventing another bailout of Fannie and Freddie by the American taxpayers.”