Treasury Secretary Timothy Geithner said the U.S.’s $700 billion financial rescue package can’t be used to aid
Lehman Brotherscities and states facing budget crises.
The law “does not appear to us to provide a viable way of responding tothe issues that Lehman Brothers facesthat challenge,” Geithner told a House Appropriations subcommittee in Washington today. Among the hurdles: Money from the Troubled Asset Relief Program is reserved for financial companies, he said.
The Treasury chief said he will work with Congress to helpinvestment banksstates such as California that have been battered by the credit crunch and are struggling to arrange backing for municipal bonds and short-term debt.
Geithner Says TARP Can’t Help U.S. States Solve Budget Crises [Bloomberg]
I love it, the 2 most liberal states in the union impoly tax and spend policy “raise taxes on the rich and spend it on bullshit”
Now they have to ask their own Dem president for a bail out because the policy doesnt work and they are broke. Then he tells them to fuck off so he can imply the exact same policy…
Hey Obama if it doesnt work in CA and NY it anit going to work on a national level either. They make Pelosi look smart.
Makes you wonder though why those same states are so wealthy, have the most qualified workers, the best jobs. Along with other offenders like NJ, CT, MD. Exacerbating the problem is the fact that those very same states are the ones that consistently send far more to the fed govt than they get back.
If CA is the new PR, does that mean we can boot their congresscritters and strip them of their electoral votes?
What he really said:
We don’t want anyone to see us responding to you annoying solicitors.
If you need a bailout — don’t ring the front door. Go to the service entrance and we’ll be there with some “stimulus” money.
@2 Doesnt really make you wonder too hard given the geography of those states and the country’s history of setteling. I think you are getting too deep.
Its simple, you have 1% of NY & CA pop paying for the other 99% of the pop. Thats why they are broke. Doesnt take much to figure this out.
Now add to that fact that the rich has vastly shrunk in those states a’ la Madoff, housing and WS. How did those states answer that issue of a shrinking upper class (the 1%)?
THEY RAISED TAXES TO PAY FOR THINGS THAT DONT DIRECTLY HELP THE ECONOMY OF THE STATES!
if this sounds familiar its becuase its Obama’s big plan for the country!
i didnt vote for him, dont blame me.
It can’t be used for that because it’s almost empty and, you know, Goldman might hit a snag.
Once Chrysler became a Financial Institution (not Chrysler Finance, *Chrysler,*) that particular excuse went out the window.
Hey maybe California can become a bank holding company and get some TARP funds.
Or maybe like the fed used JPM to funnel funds to BSC, California can apply to GMAC for a loan.
Way too serious in here.
We need a new governor model. How bout the T1000? That model has a USD printing press in it’s mouth.
So the solution for California is to become a bank?
I see CA more like a bigger version of New Orleans after Katrina.
Where is Oprah, Sean Penn, Jane Fonda, Tim Robbins and Susan Serandin when we need them?
Oh wait, they already live in CA. They only care about shit when they dont have to actualy pay for it…
Geith to Cali: Drop Dead