WASHINGTON – Congresswoman Lynn Jenkins released the following statement after voting against H.R. 4173, legislation to overhaul the financial system. This bill also codifies the bailout authority given to the Treasury Department and the Federal Reserve, increases the deficit and kills jobs.  

“Instead of passing meaningful reform to restore stability in financial markets, the House today passed legislation to give the Department of the Treasury and the Federal Reserve permanent bailout authority. Congress was asked last fall to take extraordinary steps to prevent a complete financial collapse. However, the TARP bailout was never intended to be permanent. Unfortunately, the majority in Congress disagrees. Not only did my amendment to prohibit taxpayer funded bailouts fail in committee on a straight party-line vote, but the majority party refused to allow an up or down vote on my amendment on the House floor.  

“Creating jobs and reducing our nation’s deficit should be the top priority in Washington. This legislation fails on both accounts. Restricting credit, draining capital from the market, increasing compliance costs and raising taxes on small businesses is a recipe for disaster. It discourages businesses to hire employees and generate economic growth. Rather than taking steps to reduce the record deficit, H.R. 4173 will add $4.5 billion to the deficit. This is the wrong direction.

“I also supported an alternative bill to protect consumers and enact reforms to prevent future collapses in the financial industry without restricting credit or raising taxes. It’s time to jump-start our economy with smart policy and good government. Congress should not further reward bad decisions by continuing to bailout failing financial institutions.”

Click here to watch Congresswoman Jenkins speak against H.R. 4173 during debate on the House floor.