Advertisement
YOU ARE HERE: LAT HomeCollectionsBusiness

Approval of bailout comes amid signs that a steep recession is just beginning

Despite anger at 'pigs on Wall Street,' many in House change their votes to yes

FINANCIAL CRISIS: A HARD VOTE AND A COMPLEX TASK

October 04, 2008|Richard Simon and Nicole Gaouette, Times Staff Writers

In Monday's vote, Democrats voted 140-95 in favor while Republicans voted 133-65 against. Between the two votes, 33 Democrats switched their votes to "yes," while one Democrat changed his vote from "yes" to "no."

Twenty-five Republicans switched to "yes," and one other Republican voted "yes" Friday after missing Monday's vote.


Advertisement

For many California lawmakers, the state's credit crisis amounted to a tipping point. "California now faces a budgetary situation so perilous that our public services are now threatened," said Rep. Lynn Woolsey (D-Petaluma), who opposed the bill Monday but supported it Friday.

--

Lobbying lawmakers

The presidential candidates -- Democratic Sen. Barack Obama and Republican Sen. John McCain -- took part in a broad-based effort to lobby lawmakers, joined by outside groups and Schwarzenegger, who phoned California members of the House.

"I never talked to so many bank presidents in my life," said Rep. Joe Knollenberg (R-Mich.), a convert to the "yes" camp Friday. He also received a call from General Motors Corp. Chairman Rick Wagoner

The mood on the floor of the chamber was markedly more relaxed Friday than it had been Monday, reflecting expectations of passage.

House Speaker Nancy Pelosi (D-San Francisco), who on Monday riled Republicans by criticizing Bush's economic policies in a floor speech before the vote, softened her rhetoric Friday. Minority Leader John Boehner (R-Ohio), who denigrated the earlier version of the measure, urged Republicans to help pass its successor Friday.

"Let's not kid ourselves. We're in the midst of a recession," Boehner said. "It's going to be a rough ride. But it will be a whole lot rougher ride if we don't pass this bill."

To demonstrate concern for Main Street, the House approved a separate measure to extend unemployment benefits. That bill needs Senate approval.

The bailout vote divided members of the same party, and, in one case, a husband and wife.

Rep. Connie Mack (R-Fla.) said the vote would go down in history as "the day Congress killed the free market." His wife, Rep. Mary Bono Mack (R-Palm Springs), voted for the bill.

Despite the political shift in support, some opponents remained steadfast, encompassing an odd-fellows coalition of liberals and conservatives.

"This is not a time for panic," said Rep. Devin Nunes (R-Tulare). "Why do we need to give $700 billion to one man to play hedge-fund god from the gilded offices of the United States Treasury?"

Los Angeles Times Articles
|