Scott Brown: A Firm ‘No’ on Wall Street Bill as it Now Stands
ABC News’ Jonathan Karl & Matthew Jaffe report:
The Wall Street reform bill is no longer the slam dunk it seemed to be just last week.
Republican Senator Scott Brown of Massachusetts has helped Democrats overcome filibusters in the past, but he is now trying to derail one of the Obama administration’s signature efforts: a bill that would be the biggest overhaul of Wall Street regulations since the Great Depression.
Brown said today he will oppose the bill unless lawmakers remove a $19 billion bank tax.
“I am writing you to express my strong opposition to the $19 billion bank tax that was included in the financial reform bill during the conference committee,” Brown said in a letter to Senate Banking Committee chairman Chris Dodd and House Financial Services Committee chairman Barney Frank. “This tax was not in the Senate version of the bill, which I supported. If the final version of this bill contains these higher taxes, I will not support it.”
The bank tax was only added in the wee hours of the final conference committee negotiations at 5am last Friday morning.
Brown’s opposition is a real blow for Democrats. Brown was one of four Republicans who supported the bill. Two of the other Republicans who backed the measure may also be wavering: Sen. Susan Collins of Maine has raised concerns similar to Brown’s and Sen. Chuck Grassley of Iowa is still reviewing the bill.
Democrats will also no longer have the “aye” vote of Sen. Robert Byrd of West Virginia, who passed away early Monday morning. In addition, two Democrats that voted against the bill the first time around appear set to do so again.
Sen. Russ Feingold of Wisconsin said Monday that he would not support the bill because it was not tough enough on Wall Street.
“My test for the financial regulatory reform bill is whether it will prevent another crisis. The conference committee’s proposal fails that test and for that reason I will not vote to advance it,” Feingold said in a statement.
Democrat Maria Cantwell of Washington state has not said how she will vote on the bill, but she did not support it in May.
With Byrd’s death and Brown’s about-face, Democrats now do not have enough votes for the measure to pass, when as recently as last week the bill appeared a sure thing.
-Jonathan Karl & Matthew Jaffe
UPDATE:
With Democrats suddenly short of the votes needed to pass
the Wall Street reform bill after the death of Sen. Robert Byrd and the
opposition of Sen. Scott Brown, House and Senate lawmakers are seriously
considering going back into conference to address a controversial $19 billion
bank tax, a Senate aide told ABC News today.
The bank tax was added when the conference committee
finished its work early last Friday morning, but Brown today said he would not
support the bill if the tax was included in it.
Now, in an effort to address concerns about the tax and win
the votes needed for passage, lawmakers are currently mulling a plan to raise
FDIC premiums and use untapped funds from the $700 billion TARP to offset the
bill’s cost, instead of using the $19 billion bank levy, the Senate aide said.
Such a move could also win Democrats the votes of the two
Republican Senators from Maine Susan Collins and Olympia Snowe, a move that
would push the majority over the 60-vote threshold needed to bring a bill to a
final vote in the Senate.
UPDATE #2:
Democrats scrambled to plan a 5pm meeting of the conference committee that hashed out the agreement on the bill last week.Their plan: offer an amendment to end the TARP program and use the proceeds to help fund the Wall Street reform bill.
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Posted by: wheresmymoney | June 29, 2010, 12:56 pm 12:56 pm
The Dems added a $19 billion tax to the bill. Is it really Brown who did an “about face”? Is he really “trying to derail” the legislation, or just objecting to the last-minute tax hike?
Posted by: Reader | June 29, 2010, 1:20 pm 1:20 pm
AWESOME!!! Shut thismost corrupt congress down until November when We The People can kick the loons to the curb!!!! Loving life.
Posted by: Tony T | June 29, 2010, 1:43 pm 1:43 pm
Come on folks. This really not hard to understand at all. He and Mr. Feingold have been “bought off” by those “big boys” who oppose this “imposition” on their greedy goals. And until we “little press the issue with ouur reps and Senators”…ain’t nothing gonna change!
Posted by: CND FOX | June 29, 2010, 1:49 pm 1:49 pm
It is taxing the banks who have paid back the money with interest,that is the problem while doing nothing to fix Fannie or Freddie,while AIG,GM and Chrysler still owe us Billions,yet they would get a free ride? Any bill with Dodd/Frank on it is going to be corrupt.
Posted by: stormerF2 | June 29, 2010, 1:51 pm 1:51 pm
What’s the problem? Wheel his casket in!
Posted by: LongT | June 29, 2010, 2:22 pm 2:22 pm
CND FOX; I don’t think it’s anything about being “bought off” at all. It’s possible Brown views it in “pragmatic” terms as a tax that would hurt any recovery? Please try and be a little more fair.
Posted by: LongT | June 29, 2010, 2:25 pm 2:25 pm
Where’s my money…you are an idiot…if he could bribe anyone…he would have done it already ….your distain is overshadowing the fact that inspite of no support from the republicans,..he has achieve much to keep us from ever having to have a recession which is the result of 8 years of nothing by the republicans. The only thing they were good at was lying us into a war in Iraq and removing any and all regulations on banks, insurance companies,etc. You and may others have short memories. Why do you think he got elected in the first place…people had had it with republicans. No matter what the talk show hosts proclaim, he is the one who cares for the little guy. Republicans are for the big business and look where that got us. As to unemployment…Bush hired 300,00 in 8 yrs and Obama in spite of the recession…hired 10,000.00 in 22 months.
Posted by: talmag | June 29, 2010, 2:36 pm 2:36 pm
red are rising…..
Posted by: Jesse | June 29, 2010, 2:48 pm 2:48 pm
corrected; red seas are rising…..
Posted by: Jesse | June 29, 2010, 2:49 pm 2:49 pm
“Long T”…I am being fair and as knowledgeably accurate as I can be and I come to that “conclusion” only because I can look at the big picture. That “tax” (WHICH IS BROWN’S SUBJECTIVE OPINION ONLY) is absolutely NOTHING in comparison to this regulation which will begin to “reign in” corporate, greedy America. Put it in “perspective” Long T…use your “common sense and logic” …and then tell me that the “big boys” didn’t get to Brown and Feingold. Unless you like the “mess” we went through in ’07 and ’08 and want to experience it again in the next decade. UNLESS the voting electorate “wakes up”…I’m telling you…NOTHING WILL EVER CHANGE!!!
Posted by: CND FOX | June 29, 2010, 2:56 pm 2:56 pm
Well, wasn’t it Obama who promised “change”?
Posted by: LongT | June 29, 2010, 3:07 pm 3:07 pm
CND FOX,,,the big boys got to FRANK and DODD thats why we had a melt down and still fannie and freddie are allowed to cause problems. by the way we are all greedy..from the illegal immigrant who wants more to the nastiest bank. im greedy and you are as well.please work on jobs .
Posted by: catman | June 29, 2010, 3:14 pm 3:14 pm
“LongT”…why is it that when people like me who can think rationally and inteligently…who can actually reason and make solid points with thoughts… get people like you “cornered”…all you can do is throw out “soundbites” (that you probably saw on “Faux News”)??? In order to “change” things in our political system it is pretty hard when the other side “lies, misinforms and obstructs” to keep the “status quo” the same.
Posted by: CND FOX | June 29, 2010, 3:14 pm 3:14 pm
cnd fox,,if you thought rationally and inteligently you would realize that this president focus should be on job creation and we are worse off this year than we were last year.carbon credit? how lame when people cant even pay for health insurance. we dont believe this prophet anymore.
Posted by: catman | June 29, 2010, 3:22 pm 3:22 pm
CND FOX; I’ve been reading your comments and posts for some time now and I’ve observed a common theme. You and people who agree with you are the only one’s that think, have a brain, or get the big picture and in general intelligent. The rest are…..well, I think you know what I’m saying.
Posted by: LongT | June 29, 2010, 3:29 pm 3:29 pm
“catman”…as I quite remember…the President has not been allowed to introduce another “stimulus” bill to get people working by creating infrastructure repair jobs. Because the opposition has “fired up” the “dumbed down electorate” with “deficit hysteria”. Even though the leading economists of the “world” said that that was what needed to be done. With 15% plus unemployment…how will the deficit ever be reduced? It is not that HARD to figure out “catman”. But when the electorate “limits their thinking” and allows the “lies and misinformation” from the “right” to become “facts…then you have a much bigger problem. And that is EXACTLY what we have currently. And the very Party that are the “obstructionists” are hoping they get “backlashed voted” back into office.
Posted by: CND FOX | June 29, 2010, 3:31 pm 3:31 pm
I sense a pseudo intellectual snob….
Posted by: LongT | June 29, 2010, 3:36 pm 3:36 pm
The bank tax is payback for the bailout…..which should NOT have been necessary in the first place, if the bankers had not been taking foolish,and greedy, risks.
I am sure however, that there are things in the bill, I would NOT support, as the Dems love to pass on the costs of their social programs to the middle class….one way or the other.
Posted by: Rick McDaniel | June 29, 2010, 3:53 pm 3:53 pm
“CND FOX; I’ve been reading your comments and posts for some time now and I’ve observed a common theme. You and people who agree with you are the only one’s that think, have a brain, or get the big picture and in general intelligent. The rest are…..well, I think you know what I’m saying.
Posted by: LongT | Jun 29, 2010 3:29:56 PM”
Well said.
Posted by: thegiggletest | June 29, 2010, 3:54 pm 3:54 pm
LongT: check out Matt Taibbi’s article The Great American Bubble Machine. It’s a long article, but the research is amazing. Truly, I challenge you to read it, then come back and comment.
Our nation has been led to this Great Recession for decades by both parties under the grip of banks and Wall Street. If we peons don’t make changes, we only agree to continue the pattern.
Posted by: CenterOne | June 29, 2010, 3:57 pm 3:57 pm
Wow! Thank you Scott Brown for READING the bill. The Dem’s sneak STUFF in when no one is reading.
Posted by: Carol in Alabama | June 29, 2010, 4:17 pm 4:17 pm
“Center One”…I have two books for you that can thoroughly talk about “how we got to this point POLITICALLY and ECONMICALLY”…They are “American Theocracy” by Kevin Phillips and “Confessions of an Economic Hitman” by John Perkins. Both are excellent, excellent books that are factual and not slanted ideaologically. They are both very instructive in how we got here and what we need to do to change for the better. And “Long T”…I am certain I read and research issues a lot more than you and your supporters do. And I am POSITIVE I question “authority figures” – especially on the RIGHT – more than you.
Posted by: CND FOX | June 29, 2010, 4:23 pm 4:23 pm
cnd fox, another stimulas? you actually think another stimulas will fix things? Come on! The first one did nothing. We don’t need another stimulas, WE CANT afford another stimulas. And you’re the one thinking?
Posted by: whatsupwiththat? | June 29, 2010, 4:27 pm 4:27 pm
CND FOX… for every book about how we got here thee is another book refuting that one and on and on.i have a b.a. and masters in economics as well as a mba in finance and have been economically fortunate. in the real world of private enterprise its tax cuts and credits that spur hiring in the private sector. unfunded mandates and tax increases do the opposite.a poor person never created a job. your a smart guy go figure out why we are in this quagmire…its government and its false reliance on acedemia. i will hire someone who has been in the trenches over someone in an ivory tower any day.
Posted by: catman | June 29, 2010, 5:05 pm 5:05 pm
whatsupwiththat? | Jun 29, 2010 4:27:50 PM posted: “We don’t need another stimulas, WE CANT afford another stimulas”. (Actually, the word is spelled stimulus.)
It is true that roughly a third of the stimulus was for job creation, so unemployment remains high. But we were faced with near total collapse of the US economy, so regardless who or what was at the root of the mess, our federal government did its job to save off collapse.
So now, the issue is: What can the federal government do more to try to get us back to “normal”. Clearly, we need to fix the banking regulations that got us here in the first place! Then what? Go back to the GW Bush economic policies? That fantasy bubble from the past 8 years was not “normal”. And, it only created a pathetic 3 Million new jobs in 8 years! It would not make a dent in the 15 Million unemployed since the beginning of this Recession.
Today more of our nation’s debt is due to reduced revenues (unemployed people not paying taxes) than borrowing. Somehow, we need to re-build Family Wage long term jobs. And that may take more government help.
Look back to the last time our nation used stimulus money during the Great Depression. Some say 7 years of war spending (1939-1945) finally ended it. Others say it was rebuilding of Europe and Asia that restored economic demand. Either way it took a long time and a huge amount of demand to end the Depression. Roll up your sleeves everybody.
Posted by: CenterOne | June 29, 2010, 5:06 pm 5:06 pm
I wouldn’t expect Senator Brown to vote yes on this bill… hes not a Marxist.
Posted by: StarveTheBeast | June 29, 2010, 5:07 pm 5:07 pm
A Republican doing what Republicans do. Obstruct.
Posted by: Mark | June 29, 2010, 5:24 pm 5:24 pm
No bill in excess of 50 pages should ever be passed.
The rationale: No Representative or senator is smart enough to read, comprehend and retain that much information (even if they bothered to read it).
Remember in November!
Posted by: Ed Taylor | June 29, 2010, 5:34 pm 5:34 pm
I read poll today saying Scott Brown is more popular in MA than Obama or Kerry. There is a good reason, he hasn’t done anything in 5 months but toe the line. I doesn’t take any courage to do that. It takes courage to go against the current. Right now, the current is to do no harm to the Fat Cats that ran financial system into the ground. Good boy Scott. Keep those guys happy and you will keep your job.
Posted by: bill | June 29, 2010, 6:15 pm 6:15 pm
of course he’s blocking this legislation – that’s what Republicans’ are all about… ABSOLUTELY NOTHING!!
Posted by: moosedog66 | June 29, 2010, 6:59 pm 6:59 pm
Characterizing the 19 billion as a tax is deceptive … it is more of an appeasement to continue the “Too Big To Fail” ideal … Since 19 billion is peanuts in the face of another banking system crash, and it comes with the understanding that the taxpayer will once again bail out a failing system once that token “fund” quickly runs dry.
Posted by: 1enghtlened | June 29, 2010, 8:57 pm 8:57 pm
Posted by: Ed Taylor | Jun 29, 2010 5:34:30 PM
How can we get the maximum pages on a bill passed? I love it!
Posted by: wheresmymoney | June 29, 2010, 9:14 pm 9:14 pm
“Catman”…just saw youir 5;05 POST AND ALL I CAN DO IS LOL. WHY? BECAUSE IT JUST PROVES TO ME THAT BEING “HIGHLY EDUCATED” and A “HAVE” IN THIS SOCIETY MAKES YOU BIASED TIO EVERY TYPE OF REFORM WE NEED FOR THIS COUNTRY. My education is solid but where I learned the most is being a hard working middle class individual. The absolute “crap” in your 5:05 post is meant for one thing and one thing only. To keep you at the top of the foodchain. Thanks for “flushing” yourself out into the open. I see what you really are.
Posted by: CND FOX | June 29, 2010, 9:21 pm 9:21 pm
Was it not suppose to be that all pieces of legislation be viewed on the internet prior to vote? That’s what Obama promised. Nothing but transparency. Oh, but wait! His first piece of legislation regarding Cap and Trade didn’t seem to make it to the internet either.
Posted by: Steve | June 29, 2010, 9:39 pm 9:39 pm
catman posted “,,the big boys got to FRANK and DODD thats why we had a melt down and still fannie and freddie are allowed to cause problems. ”
_______________________________________
Please LEARN what REALLY caused the meltdown. That Fannie/Freddie lie is really getting tired. Don’t watch that Youtube video or listen to Hannity (the two source of the Fannie/Freddie LIE); get out there and investigate for yourself. There were many causes of our meltdown.1) repeal of Glass/Steagal 2) failure to regulate derivatives 3) artificially low interest rates 4) SEC allowing the big banks “to more than double leverage they were allowed to keep on their balance sheets and remove discounts that had been applied to the assets they had been required to keep to protect them from defaults.” (from a NY Sun interview of the former leader of the SEC). 5) sub-prime loans and zero % down. The funniest thing about the Freddie/Fannie Dodd/Frank story is the fact that Fannie/Freddie was run by a Republican during the time in question. Oh, and here’s trivia for you -> Frank’s father Sam was the first degree cousin of Shemp Howard’s wife.
Posted by: Faurtz8 | June 29, 2010, 10:03 pm 10:03 pm
AMERICA, WAKE UP! SCOTT BROWN’S TRUE BELIEFS COME OUT! This thing with Scott Brown being willng to vote with the Democrats has been a scam by the Repubs all along. Look at his supposed “reach across the aisle” votes. They either meant nothing or the Democrats were going to win anyway. The Repub leadership did some mild sputtering and cried crocidile tears so the public would see him as an “indepndent” (and by golly – he drives a truck). Now when the vote would mean anything, and he relly could “reach across the aisle” he does not and only if it appears he has “won” some concessions. For the repubs and Brown, this was too much of a leadership victory for the President – and we can’t have have Obama showing any leadership, can we?? Obama has to shown continually a a weak liberal wimp so he is easy pickings for 2012. The Repub election machine is positioning Brown for a leadership run in 2012 or 2016 (President??). He’s got to appear “moderate” so the voters will vote for him. But deep down he will march lock step with the conservative wing of the party ..supporting the banks and big business…when it really matters.
Posted by: prohb | June 29, 2010, 10:04 pm 10:04 pm
Brown doesn’t want to tax the banks but rather have the money come from the taxpayer. Hey. These bankers brought the economy to it’s knees don’t you think the banks should pay?
Posted by: Doug | June 29, 2010, 10:12 pm 10:12 pm
Faurtz8…I happen to be a lender and I LOl every time I hear the ongoing “lie and misinformation” concerning “Freddie & Fannie”. Those two entities (while ill conceived) followed the “big banks AND their support system of private investors into the sub-prime mess. They were never the “instigators” of it. But those who love to spread lies and misinformation will continue to do so because they understand how pathetic the “VOTING CONSTITUENCY” has gotten with their “lack of knowledge”.
Posted by: CND FOX | June 29, 2010, 10:20 pm 10:20 pm
“These bankers brought the economy to it’s knees don’t you think the banks should pay?” First, as I understand it most or all of the big banks have already paid back the bailouts they received and an ongoing tax is little more than a punitive bill of attainder. Second, it was the unqualified borrowers who brought the economy to its knees by stampeding into the get-rich-quick house flipping craze. How much screaming about elitism and discrimination would there have been had the banks told them all to take a hike, limiting the potential profits to the monied classes?
Posted by: Publius | June 29, 2010, 10:50 pm 10:50 pm
Even Democrat Feingold says the bill won’t avoid another crisis… it also gives “regulators” too much power… which will lead to MORE opportunities for corruption!!!! —- Really bad bill… typical with this adminstration!!
Posted by: TheLoyalOpposition | June 29, 2010, 11:15 pm 11:15 pm
Publius said “don’t you think the banks should pay?” —- Wake up… banks have to make a profit… so they just pass along any new taxes, fees, charges on to their consumers… the same as ANY business!!! —- You are as bad as this administration…. you don’t know ANYTHING about running a business!!
Posted by: TheLoyalOpposition | June 29, 2010, 11:19 pm 11:19 pm
Any bill over 50 pages is suspect.
1. Because it hasn’t been read.
2. What has been read cannot be understood by politicians.
3. It was not written by those pushing it.
4. It does not accomplish what was stated.
5. The collateral damage will be significant.
6. The ultimate cost will be passed to the populace.
7. Healthcare a good example, Obama is now appointing his Rationer-in-Chief so stand by for rationing in spite of those fact-checks that called us alarmists because we read the healthcare bill!
Posted by: Ed Taylor | June 30, 2010, 1:10 am 1:10 am
They said the same thing about healthcare reform when Senator Kennedy passed away.In the end, healthcare legislation became a law. The lobbyists must be working very hard.
Posted by: what667 | June 30, 2010, 7:00 am 7:00 am
Of course Borwn is against the Financial bill. He’s a Republican and the last thing they want to do is make their buddies in the banking industry act in a moral and ethical manner. It may cut off the money flow and for the GOP….money is everything, even if it means the end of the American way of life….
Posted by: al | June 30, 2010, 7:13 am 7:13 am
Elementary school math is now in session. Liberals propose “taxing” financial institutions to pay for the cost of “taxing” financial institutions. Financial institutions will certainly pass that tax to clients in the form of increased fees in order to pay for the right to pay taxes. A couple of Democrats see this is a losing proposition in their efforts to get re-elected and join moderate Republican Brown in opposing the $19 billion in new taxes. And guess what, in order to pass this bill, “adjustments” will be made to certain sections and the new tax eliminated. The bill will pass and new restrictions will raise the cost of banking anyway and a year, 2 or 3 from now, the next party in power will be talking about reforming the reform of the reform bill…
Posted by: wantingbalance | June 30, 2010, 7:53 am 7:53 am
“Let me see if I have this straight: in the last few days members of the GOP have savagely screwed the unemployed, protected the bankstas, trashed Thurgood Marshall, implied rape and incest is part of God’s plan, defended BP, threatened to either end social security or screw over 20 million plus people who have paid into the system for at least 20 years by making them wait until age 70 to see their benefits, and screwed homeless veterans with children. That about it, or is there more?”
Posted by: pamp205 | June 30, 2010, 11:52 am 11:52 am
Throw out this piece of garbage legislation and just re-instate Glass-Stegall Act. That simple.
Posted by: InNC | June 30, 2010, 8:23 pm 8:23 pm
prohb,I totally agree with you, he’s definitely a plant,I was begining to believe I was the only one who seen him for what he is, a Republican.
Posted by: gman | July 1, 2010, 10:18 am 10:18 am
politics is’nt it great they promise no new taxes when there running for office?and that they won’t raise taxes and as soon as there elected they raise taxes are slow to respond to a crisses and they take away from the crisses by changing the subject wow god bless america we need it.
Posted by: Clay O Worth III | July 1, 2010, 11:13 am 11:13 am