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<div class="">August 17, 2013</div>
<h1>The Cash Committee</h1>
<h6 class="">By
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<a href="http://www.nytimes.com/interactive/opinion/editorialboard.html" rel="author" title="More Articles by THE EDITORIAL BOARD"><span>THE EDITORIAL BOARD</span></a></span></h6>
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<p>
The House Financial Services Committee has grown so large that a highly
unusual fourth row of seats had to be installed in the committee room.
Every term, scores of members, particularly freshmen, demand a seat on
the panel — not because they have a burning interest in regulating banks
and Wall Street, but because they know that they will be able raise
much more money if one of the 61 seats has their name on it. </p>
<p>
As <a href="http://www.nytimes.com/2013/08/11/us/politics/for-freshmen-in-the-house-seats-of-plenty.html?ref=todayspaper&pagewanted=all">Eric Lipton recently explained in The Times</a>,
Financial Services has become known as “the cash committee” because
interest groups donate more money to its members than to those of any
other House committee. <a href="http://www.politicalmoneyline.com/tr/tr_MG_SCC.aspx?&td=4_0">More than $10 million</a>
has been given to its members just this year, and most of it has come
from the big names the committee oversees. Contributors included
employees of Goldman Sachs, Bank of America, the Credit Union National
Association, the Investment Company Institute, Wells Fargo and many of
the biggest accounting firms and insurance companies. </p>
<p>
Committee members don’t seem particularly ashamed of the favors they do
for those providing the cash. Andy Barr, a freshman Republican from
Kentucky, promised to protect a tax break worth $500 million to credit
unions. (They gave him $15,000.) And he introduced a bill that would
allow banks to give mortgages to people who cannot afford them, undoing a
federal rule at the request of the big banks’ lobbyists. (Banks have
given him at least $47,000.) </p>
<p>
That’s a lot of money for a little-known freshman. In fact, the $150,000
he has taken in from the financial sector in the last six months is
almost as much as those interests gave Speaker John Boehner and other
leaders. It’s the banks’ way of saying, welcome to the committee and our
culture, we hope we can continue to do business. “We make an
investment, and we are hopeful that investment produces a return,” an
industry lobbyist told Mr. Lipton. </p>
<p>
Many Democrats on the panel are just as eager to join the feeding line,
but the biggest hypocrites are the Tea Party members who claim to be
populists. Tom Cotton, a rising Republican on the committee from
Arkansas, recently announced that he would run for the Senate next year <a href="http://www.tomcotton.com/2013/08/tom-cotton-announces-u-s-senate-campaign/">because he was sick of seeing favors handed out</a>
“to the politically connected and the crony capitalists who bend the
power of government for their own private gain.” But that didn’t stop
him from accepting $381,000 so far this year from political action
committees, mostly from finance and insurance interests with business
before his panel. </p>
<p>
The sleazy flow of cash cries out for a public financing system for
Congressional elections that would give more power to small donors,
along the lines of <a href="http://www.democracy21.org/archives/whats-new/democracy-21-endorses-the-empowering-citizens-act-introduced-by-representatives-david-price-and-chris-van-hollen/">the Empowering Citizens Act</a>,
introduced by two Democrats, David Price of North Carolina and Chris
Van Hollen of Maryland. But the bill, opposed by Republicans, is going
nowhere. At a minimum, committee members should be required to disclose
every time they vote on an issue that affects donors from which they
have accepted campaign cash. Voters, at least, should know why their
lawmakers are so eager to make friends with the banks. </p><br clear="all"></div><br>-- <br>Art Deco (Wayne A. Fox)<br><a href="mailto:art.deco.studios@gmail.com" target="_blank">art.deco.studios@gmail.com</a><br>
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