Wednesday, October 15, 2008

Conaway Supports Taxpayer Funded Wall Street Bailout & Citizens Paying More for Health Care


Rep. Mike Conaway starred in West Texas newspaper and television pieces. Today's San Angelo Standard Times reported on Conaway's hosting of President Bush at a "Republican Trust" fundraiser. It stated:

Tom Green County Republican Party Chairman Russ Duerstine was among a small group of Concho Valley residents who attended a Bush fundraiser at Conaway's home Oct. 4 in Midland.

Duerstine's opposition to the $700 billion bailout plan melted after listening to explanations from both Conaway and President Bush.


"I felt like it was a necessary, painful step we needed to take," Duerstine said.

Funneling taxpayer dollars into free markets goes against Republican instincts, he said. But Bush explained at Conaway's home that the government is the only entity that can buy the toxic loans and sit on them long enough so that they could mature properly, Duerstine said.

The economic rescue plan gives U.S. Treasury Secretary Henry Paulson authority to buy soured assets backed by mortgages. The aim is to get credit markets moving again for a healthy economy. Congress approved the rescue plan and Bush signed it into law Oct. 3.

Duerstine was opposed to the bailout until he heard explanations, and Bush's was a highlight of the fundraiser.

I have several reactions. First, when did Republican prinicples get reduced to instincts? Two, the bailout allows the Treasury to buy "mortgage related assets" which include credit derivatives known as credit default swaps, commercial mortgage debt obligations, student loans, and credit card debt.

Three, why didn't the people, i.e. taxpayers footing the bill, get that same compelling explanation Russ received? Mike Conaway, CPA shared few specifics on the financial meltdown.

What happened while our financially literate Congressman stayed silent? The big money men's wish list continued to grow, and Treasury kept delivering. After Bush raised over $500,000 at Mike's house, the federal government promised to fund short term commercial paper, as much as $1.3 trillion. That brought the total to $3 trillion from all the announced interventions. Yet, the jury is out on credit easing.

Mike's other media appearance came on Midland-Odessa's local CBS 7 affiliate. Their piece stated:

Congressman Mike Conaway told hospital groups in Odessa and Midland today that government reimbursement for health care is going down, and they are needed to help control costs.

Conaway said one of the biggest problems will continue to be finding insurance coverage for the 47 million Americans who do not have it. And he said, neither presidential candidate has a clue how to fix that.

Pardon me Mike, but isn't that your job? Isn't that why you were elected, to analyze and fix problems? But he said more at his hospital talk, according to the Midland Reporter-Telegram:

People should set aside funds they will need later for health care, as they would for auto maintenance.

"Our system today works because we continue to Band-Aid it. ... That can only go for so long. Personally, I think we're reaching the end of the ability to continue to Band-Aid fixes," he said.

If that's the assessment, then fundamental change is needed. Yet again, Mike Conaway is AWOL. The McCain/Palin/Conaway plan is to shift the burden of health insurance to the individual. John McCain's plan is projected to increase the number of uninsured by 20 million people. Mike won't explain that, and neither will area media outlets. Why is government the only entity to save a critically ill financial system, but not citizen's health?

No comments: