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Members of Oklahoma's House Delegation Split on Bailout Bill

By Jim Myers

September 29, 2008

WASHINGTON – The U.S. House narrowly defeated an unprecedented bill Monday to spend up to $700 billion to bail out troubled financial firms and, as President Bush urged, to keep a credit crisis from spreading throughout the nation's economy.

Despite such warnings from Bush and other supporters of the measure, it was rejected by a 205 to 228 vote.

Members of Oklahoma's House delegation split on the bill with Republicans John Sullivan, Frank Lucas and Mary Fallin voting against it and Republican Tom Cole and Democrat Dan Boren voting for it.

"It is a pretty serious situation," Sullivan said following the vote.

As he had earlier, Sullivan said he remained open to government intervention to protect Americans' homes, pensions and investments.

He ticked off a number of provisions he would like to see addressed such as temporary suspension of capital gains taxes, converting government-backed mortgage entities to the private market and higher deposit insurance for community banks.

"I want to support something," Sullivan said.

Boren said he wanted to see stronger provisions on limiting executive pay for Wall Street firms that benefit from the package and making sure taxpayer funds are paid back.

Still, he said the risks were too high to do nothing.

"This has real consequences not just for people in New York. It has consequences for people in my district," Boren said.

He said average Americans could begin feeling the economic impact fairly soon, citing the lack of credit for new car loans as an example of that.

"I think you are going to see some real shaky markets," Boren said.

Lucas, who earlier had said he would not stand by and allow economic turmoil to occur on his watch, cited the opposition expressed by voters.

"I am concerned about the current state of our financial system," he said.

"However, the constituents of the 3rd congressional district spoke loud and clear over the last week in opposition to the proposed rescue plan, and I am here to represent their voice in Congress."

Bush had kicked off the day with an early morning statement at the White House.

"Every member of Congress and every American should keep in mind: A vote for this bill is a vote to prevent economic damage to you and your community," the president said.

Conceding the vote was difficult, Bush also commented on Americans' concerns about the effort's $700 billion price tag.

He echoed assurances from others that that money could be paid back.

Even if the unprecedented package becomes law, Bush also served notice it will not solve the nation's financial woes.

"The impact of the credit crisis and the housing correction will continue to pressure our financial system and impact the growth of our economy for some time," he said.

Details of the package were revealed Sunday after days of intense negotiations framed by dramatic politics as Republican presidential nominee John McCain temporarily suspended his campaign to help out.

Democratic presidential nominee Barack Obama attended a White House meeting on Thursday that made it clear a deal was still days away.

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