Washington, D.C. – U.S. Representative Charles W. Boustany, Jr., (R-Southwest Louisiana), today voted to approve the Emergency Economic Stabilization Package, a compromise bill designed to maintain credit markets for responsible borrowers.

“The economic downturn America is beginning to realize is a result of greed and irresponsibility, and now, small businesses, responsible homeowners and Southwest Louisiana families suffer because of reckless decisions by Wall Street,” Boustany said.  “After reading this legislation and talking with experts and people across my district, I am convinced inaction at this time would hurt middle-class families.  An increase in guaranteed limits for the Federal Deposit Insurance Corporation will help restore public confidence in the safety of their bank deposits, and it is one important change from previous versions of this bill.  People are anxious about banks being able to honor their commitments, and I acted to provide confidence.  Strong oversight of Treasury and sound safeguards will help taxpayers recoup this loan over time; this is a necessary start.  While not perfect, this is a better bill that will help Southwest Louisiana keep jobs.”

Carole Horn, a Lafayette realtor said, “The credit crunch is already occurring in Lafayette as evidenced by the postponed Lafayette Parish bond, which would have provided low-interest loans to spur our real estate market.  Responsible buyers and sellers with good credit are unable or unwilling to take any risk because of the uncertainty, and I fear rebounding from this slow down will only take longer if nothing is done to correct it.”

The Emergency Economic Stabilization Package, H.R. 1424, passed with a bi-partisan vote of 263-171.  The bill passed the Senate overwhelmingly on Wednesday.  Additions to the bill include further GO Zone bonds and extensions of the GO Zone rehabilitation tax credit through December 31, 2009.  The bill establishes a bi-partisan, independent oversight board that will report to Congress monthly and a special Inspector General to ensure integrity of the new program.  Oversight protections include review by the US Comptroller General and the General Accountability Office.

Small business owner Wayne Segrera of Vermilion Gator Farm, Inc. described the need for credit to rebuild following Hurricane Ike.  “We are still putting our business back together after Ike, and we need to repair our buildings to get operational again – that takes loans and credit.  The small business owners in our area are self-sufficient, but after a big storm, a boost is critical.”

Boustany continued, “I will continue to press the Treasury Secretary and the President to use this legislation to address the problems we confront in a responsible way.  Southwest Louisiana businesses and families must have access to credit as we rebuild from hurricanes Gustav and Ike.”

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