December 15th, 2008
01:48 PM ET

What if Congress doesn't like Bush's auto bailout?

[cnn-photo-caption image=http://i2.cdn.turner.com/cnn/2008/images/12/15/art.auto.bailout.jpg]

Deirdre Walsh
CNN Congressional Producer

If Treasury Secretary Paulson wants to draw down the second $350 billion, the TARP law requires that Congress be notified within three days. It then has the ability to offer a resolution of disapproval to block the money.

The resolution would have to get a majority in the House and Senate. The President could veto it – if that happens, Congress would need 2/3 majority vote to override the veto.

On December 3rd, an aide to House GOP Leader John Boehner says Boehner talked to Paulson and that “Boehner told him the votes weren't there on the Republican side to get the second installment so basically they would have to rely on Democrats for support.”

Here's the bill.

Filed under: Bailout Turmoil • Economy
soundoff (4 Responses)
  1. jim

    This is the perfect time to put the Democrats in their place. President Bush should give a bridge loan to the auto companies with no questions asked . After all the Democrat congress gave the financial institutions a 700 billion dollar bail out with NO QUESTIONS asked.. Now is the time to get even with them for playing hardball with the Big 3. . It is unfortunate he can't put the condition that the union be eliminated. They have been mostly responsible for the loss of auto sales to foreign carmakers int the past 20 years.

    December 15, 2008 at 6:58 pm |
  2. shawn poole

    It is very sad to me, to see this country in the shape that it is in and how politicans have put us here by special interest groups and lobbist and that greed took over, how can people justify spending hundreds of millions of dollars on presidental race when the job doesnt pay but 400,000.00 per year could that possibly mean that maybe promises were made. it is also sad to me to see our men and women who put there life on the line every day for there country and there country does not for them the politians need to be held acountible for there decisions and there actions and i think that the public needs to vote on everything that has to do with there future because we have already have found out that what the politians are doing is not even close to working for us

    December 15, 2008 at 6:05 pm |
  3. Annie Kate

    Am I interpreting this right? The President notifies Congress of his intention to draw on the TARP money. The Congress can file a motion of disapproval or they can do nothing. If they do nothing then the President can go ahead? If they file the disapproval they have to have a majority to pass it – so in order to stop it they would need everyone in the Senate who voted no to the Congressional bailout to vote for the disapproval. Since there were only 34 or so votes against the Congressional resolution then it does not seem that Congress has the majority to block it anymore than they had the majority to pass their own. If they did block it then the President can veto it.....and Congress has to have 2/3rds to override that – not very likely. If all of this is right then Bush should be able to do the bailout, correct? Where is John King and Jeff Toobin when you need an explanation??

    Annie Kate
    Birmingham AL

    December 15, 2008 at 4:29 pm |
  4. LyonsPhilly

    I say give each taxpaying American with a valid drivers licenses and $5K voucher to purchase a vehicle from the three automakers. Taxpayers would be happy and there would be no need for a bailout and folks can keep their jobs.

    December 15, 2008 at 1:52 pm |