Fannie and Freddie, Saved But Still Loathed (By Some)
Fannie and Freddie are becoming the most unpopular couple on the Washington party circuit, at least in certain circles.
Conservatives on Capitol Hill are exceedingly irate that, in the face of a massive congressional rescue of the twin mortgage giants, Fannie Mae and Freddie Mac plan to host posh receptions at both the Democratic and Republican national conventions this summer. (Click here to read our original posting on the parties.)
Rep. Jeb Hensarling (R-Texas), chairman of the Republican Study Committee, a group of House fiscal conservatives, tells the Sleuth he certainly won't be attending the Fannie-Freddie bash at the GOP convention in Minneapolis-St. Paul.
"I guess they have reason to celebrate," he snarled in a phone interview. "They got Congress hoodwinked into guaranteeing up to $5 trillion worth of their debt." (No matter that the Congressional Budget Office estimates a less than five percent chance that the bailout will cost as much as $100 billion.)
Still, $5 trillion, which is the total value of the mortgages Fannie and Freddie hold, is the figure Hensarling is fixated on. "I've never been invited to a $5 trillion party before," he says. And given that he's been one of the more outspoken critics of Fannie and Freddie, Hensarling adds, "I don't think I'd be at the top of their [invite] list."
Actually, as it turns out, Hensarling was invited to the party. His spokesman, Brad Dayspring, says the office scheduler found the invitation in a pile of other convention-related invitations the congressman has yet to open.
Hensarling voted against the massive housing bill approved by the House Wednesday, and says he plans to introduce legislation moving Fannie Mae and Freddie Mac "toward privatization so they can't do this again."
Mary Ann Akers
July 23, 2008; 6:17 PM ET
Save & Share: Previous: Richard Simmons Gets Congress Sweatin' to the Oldies
Next: Rudy Giuliani's Son Files Suit Against Duke
Posted by: Don Newman | July 24, 2008 11:14 AM | Report abuse
Posted by: Robert Foss | July 24, 2008 11:22 AM | Report abuse
Posted by: Lloyd Shellhaammer | July 24, 2008 4:04 PM | Report abuse
Posted by: PragmaticallyPolitical | July 24, 2008 5:37 PM | Report abuse
Posted by: Ed Sauer | July 24, 2008 10:09 PM | Report abuse
The comments to this entry are closed.