Consumer Interests Drowning Under Wave of Corporate Money

Although health care reform has eclipsed most other issues this year, Congress is in the midst of overhauling regulations of financial companies after poor oversight led to the financial meltdown last year. Like health care, the industry is fiercely opposed to the most significant reforms, and is spending millions to stop it.

Commercial banks and finance and credit companies have donated more than $5.3 million to the campaigns of House Financial Services Committee members during the last election and so far this year. Commercial banks have spent an additional $25 million in 2009 on lobbying. Finance and credit companies have spent $16.7 million on lobbying this year. Combined, they have spent nearly $42 million on lobbying during the first six months of 2009, about $1.6 million a week, or $229,415 a day.

Legislation under consideration would create a new federal agency called the Consumer Financial Protection Agency (CFPA), which would have power over a wide range of products, including credit cards and home loans. However, the House Financial Services Committee last week passed an amendment on voice vote that would scale back the proposed agency’s examination powers over small banks and credit unions.

“In the wake of the collapse of the economy that was due in part to a lack of government oversight, one would think that Congress would be more willing to perform its job here and represent the public interest,” said Common Cause President Bob Edgar. “But once again, Members appear to be bowing to the wishes of their special-interest contributors.”

Elizabeth Warren, chairwoman of the Congressional Oversight Panel and a professor at Harvard University, has been the leading advocate in favor of the CFPA. “At the end of the day, industry lobbyists try hard to invent myths and make things sound confusing to intimidate the public and to keep policymakers from acting,” said Warren. “The CFPA would put someone in Washington – someone with real power – who cares about customers.”

Common Cause continues to work to pass the Fair Elections Now Act (H.R. 1826 / S.752) as the comprehensive solution to pay-to-play politics. The bill, with 109 co-sponsors in the House, would allow candidates to run campaigns on unlimited small donations and public funds.

Below is chart looking at campaign contributions by commercial banks and finance and credit companies to members of the House Financial Services Committee:

Member

Commercial Banks

Finance / Credit Companies

Total

2008

2010

2008

2010

Ackerman, Gary (D-NY)

$26,800

$8,500

$5,500

$40,800

Adler, John H (D-NJ)

$10,200

$4,500

$1,750

$4,900

$21,350

Baca, Joe (D-CA)

$11,000

$6,000

$8,500

$5,500

$31,000

Bachmann, Michele (R-MN)

$57,450

$8,500

$24,800

$2,000

$92,750

Bachus, Spencer (R-AL)

$193,300

$11,800

$76,700

$23,000

$304,800

Bean, Melissa (D-IL)

$74,850

$28,150

$69,800

$13,500

$186,300

Biggert, Judy (R-IL)

$63,689

$19,850

$40,879

$7,000

$131,418

Campbell, John (R-CA)

$36,350

$5,500

$4,000

$2,000

$47,850

Capito, Shelley Moore (R-WV)

$86,949

$4,500

$6,000

$1,000

$98,449

Carson, Andre (D-IN)

$26,900

$8,100

$10,250

$3,500

$48,750

Castle, Michael N (R-DE)

$92,729

$18,000

$62,200

$16,000

$188,929

Childers, Travis W (D-MS)

$33,800

$11,500

$8,500

$6,872

$60,672

Clay, William L Jr (D-MO)

$20,250

$4,000

$19,000

$17,600

$60,850

Cleaver, Emanuel (D-MO)

$13,500

$3,000

$5,000

$1,000

$22,500

Donnelly, Joe (D-IN)

$42,172

$8,500

$18,500

$2,000

$71,172

Driehaus, Steve (D-OH)

$6,800

$6,300

$3,400

$16,500

Ellison, Keith (D-MN)

$21,467

$11,000

$1,250

$1,000

$34,717

Foster, Bill (D-IL)

$38,000

$5,850

$8,000

$9,000

$60,850

Frank, Barney (D-MA)

$121,200

$24,800

$49,500

$8,000

$203,500

Garrett, Scott (R-NJ)

$45,250

$5,650

$16,500

$7,000

$74,400

Gerlach, Jim (R-PA)

$60,800

$9,500

$8,150

$2,500

$80,950

Grayson, Alan (D-FL)

$1,000

$1,000

$1,000

$4,000

$7,000

Green, Al (D-TX)

$26,250

$2,000

$9,000

$2,000

$39,250

Gutierrez, Luis V (D-IL)

$6,500

$15,500

$30,900

$4,000

$56,900

Hensarling, Jeb (R-TX)

$110,745

$32,550

$78,800

$20,000

$242,095

Himes, Jim (D-CT)

$75,300

$21,200

$6,300

$11,000

$113,800

Hinojosa, Ruben (D-TX)

$29,800

$6,300

$12,500

$48,600

Jenkins, Lynn (R-KS)

$77,600

$18,468

$34,800

$14,300

$145,168

Kanjorski, Paul E (D-PA)

$82,350

$23,000

$97,696

$14,500

$217,546

Kilroy, Mary Jo (D-OH)

$13,600

$6,250

$2,000

$21,850

King, Pete (R-NY)

$19,600

$7,500

$15,500

$2,000

$44,600

Klein, Ron (D-FL)

$51,950

$13,700

$34,300

$3,000

$102,950

Kosmas, Suzanne (D-FL)

$9,400

$1,250

$1,000

$6,000

$17,650

Lance, Leonard (R-NJ)

$10,750

$7,500

$1,000

$2,000

$21,250

Lee, Christopher J (R-NY)

$23,400

$6,500

$3,000

$8,000

$40,900

Lucas, Frank D (R-OK)

$32,860

$7,500

$1,000

$41,360

Maffei, Dan (D-NY)

$23,300

$13,000

$3,500

$8,000

$47,800

Maloney, Carolyn B (D-NY)

$62,900

$14,250

$46,893

$25,700

$149,743

Manzullo, Don (R-IL)

$59,661

$5,350

$10,000

$1,000

$76,011

Marchant, Kenny (R-TX)

$50,194

$3,000

$13,100

$1,000

$67,294

McCarthy, Carolyn (D-NY)

$28,450

$5,000

$12,500

$3,000

$48,950

McCarthy, Kevin (R-CA)

$39,250

$9,500

$17,000

$5,500

$71,250

McCotter, Thad (R-MI)

$45,000

$5,000

$29,500

$5,000

$84,500

McHenry, Patrick (R-NC)

$57,150

$15,900

$40,800

$9,000

$122,850

Meeks, Gregory W (D-NY)

$67,400

$18,500

$37,000

$26,055

$148,955

Miller, Brad (D-NC)

$19,000

$5,500

$1,000

$25,500

Miller, Gary (R-CA)

$8,500

$4,500

$6,100

$19,100

Minnick, Walter Clifford (D-ID)

$14,300

$19,000

$1,300

$8,500

$43,100

Moore, Dennis (D-KS)

$69,500

$11,000

$105,570

$32,900

$218,970

Moore, Gwen (D-WI)

$43,379

$11,000

$10,000

$1,000

$65,379

Neugebauer, Randy (R-TX)

$70,150

$32,900

$19,500

$10,500

$133,050

Paulsen, Erik (R-MN)

$78,100

$18,550

$7,250

$5,000

$108,900

Perlmutter, Edwin G (D-CO)

$72,300

$15,500

$33,500

$7,500

$128,800

Peters, Gary (D-MI)

$6,750

$8,500

$4,500

$19,750

Posey, Bill (R-FL)

$23,900

$6,500

$500

$3,000

$33,900

Price, Tom (R-GA)

$39,275

$13,750

$37,787

$17,500

$108,312

Royce, Ed (R-CA)

$30,500

$14,800

$41,858

$16,000

$103,158

Scott, David (D-GA)

$75,107

$2,000

$40,757

$1,500

$119,364

Sherman, Brad (D-CA)

$16,000

$6,500

$8,000

$8,000

$38,500

Speier, Jackie (D-CA)

$4,750

$1,000

$1,000

$5,000

$11,750

Velazquez, Nydia M (D-NY)

$66,500

$11,000

$27,500

$2,500

$107,500

Watt, Melvin L (D-NC)

$41,500

$14,000

$24,000

$2,000

$81,500

Wilson, Charlie (D-OH)

$52,650

$19,150

$7,000

$2,000

$80,800

Totals

$2,820,027

$682,868

$1,360,990

$440,227

$5,304,112

Source: Center for Responsive Politics (www.opensecrets.org)

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