Officials, others react to "rescue" bill

The U.S. Senate and House of Representatives passed a “financial rescue” bill the second time around, made official by President George W. Bush signing it into law Friday afternoon.

The bailout bill, as it is also referred to, passed the Senate by a wide majority with 74 votes for it and 25 against. U.S. Sens. Mary Landrieu and David Vitter both voted against the bill Wednesday evening.

Landrieu, a Democrat from New Orleans, said she believes the people of Louisiana have learned “throwing money at a disaster doesn’t fix the problem.

“Significant improvements have certainly been made since the audacious first draft of the bailout plan,” she said. “But, in its current form, it falls too short of having the safeguards needed to ensure American taxpayers aren’t left shouldering the burden of problems left uncorrected.”

Vitter, a Republican from Metairie, said if the bailout bill passed there would be an “unprecedented expansion of government power and discretion.”

He also said he voted no to the bill after listening to many Louisianians he deeply respects.

“A week ago, I may have voted no in anger,” Vitter said. “Although that is still there, I act with a profound sense of sadness and disappointment — because this unprecedented expansion of government intervention at taxpayer expense is the product of an appalling lack of political leadership. First, crying fire in a crowded movie theater. Then, demanding that the only escape is to take dangerous action like tearing down the walls, though there are plenty of exit doors in sight.”

The House had a large amount of support for the bill that passed there with 263 votes for to 171.

Rep. Charlie Melancon, D-Napoleonville, voted for the rescue bill and said it was one of the most difficult votes during his time in office thus far.

“I have heard from my constituents, and I think they made it clear what they want,” he said. “They don’t want to bail out greedy Wall Street executives, and they don’t want to bail out people who took irresponsible loans. However, when I look at the best way to protect Louisianian’s retirement pensions, small business payrolls and home values, this bill is necessary.”

Those were the sentiments on Main Street Friday as Teche Area residents went about their business in New Iberia.

Kendra Francois, 21, of New Iberia, said the bailout bill was “b.s.”

“They got themselves into this mess they should have to get themselves out,” Francois said.

“This money could go toward something good or to help someone out there that needs help.”

Sarah Jones, 28, said while the bailout bill is good for her company stocks, she thinks the CEOs should have to give back some of their big bonuses.

Many people on Main Street believe someone on Wall Street should have to pay. Renee Prather, 26, said what is happening with the bailout is just not fair.

“Normal people got taken advantage of,” she said. “I think the people that took advantage of them should be the ones paying.”

Mark Stambler, 55, visiting the Teche Area from Los Angeles, said on one hand the bail out angers him because for many invested in the stock market “people took their money and made out like bandits.”

On the other hand, he said “the government had to do something to ensure the economy didn’t fold like a house of cards.”

Joyce Landry, 55, of New Iberia, said she disagrees with the bailout plan.

“They got themselves into this, they should get themselves out,” she said. “And, I don’t think they should get off scot-free either.”

Thirty-year-old Kevin Berkert of Hot springs, Ark., said he believes the government is getting involved in things it probably should not be.

“I think that the government needs to do something, but a lot of people are getting bailed out that shouldn’t be,” he said.

Kevin’s dad George Berkert, 65, said he does not like this mess a bit.

“I don’t think this whole bill is really geared to the man on the street,” he said.

Whether those on Main Street are for the bail out or oppose it, the new law provides Treasury Secretary Henry Paulson to buy up $700 billion of mortgage related securities and bad assets.

Friday’s bill also provides for an increase in the Federal Deposit Insurance Corp. cap to $250,000.