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Showing posts with label Senate. Show all posts

North Dakota Senate approves "heartbeat" abortion ban


BISMARCK, North Dakota | Fri Mar 15, 2013 7:42pm EDT


BISMARCK, North Dakota (Reuters) - The North Dakota Senate approved what would be the most restrictive abortion law in the United States on Friday, a measure banning the procedure in most cases once a fetal heartbeat can be detected, as early as six weeks.


Senators also approved a second bill on Friday that bans abortions based solely on genetic abnormalities, the first state ban of its kind if signed into law. The bill would also ban abortions based on the gender of the fetus, which would make North Dakota the fourth state to ban sex-selection based abortions.


The bills, which passed the state House of Representatives last month, now head to Republican Governor Jack Dalrymple, who has not indicated whether he would sign them into law. He is expected to receive the bills on Monday.


The "heartbeat" bill provides exceptions if an abortion would prevent the death or irreversible impairment of a pregnant woman but no exceptions for rape. It sets up a direct challenge to the Supreme Court's decision in Roe v. Wade that legalized abortion in 1973.


Several states ban most abortions after 20 weeks of pregnancy. Arkansas lawmakers earlier in March approved a ban on most abortions after 12 weeks of pregnancy that could take effect in August if it survives expected legal challenges.


Republican state Senator Spencer Berry, a bill sponsor, said 40 years of medical advancements should not be ignored.


"The images and heartbeat from the womb provide strong and overwhelming evidence of - at the very least - potential life," Berry said. "And we have been instructed by the Supreme Court to protect that very potential."


At six weeks, the ban would take effect before many women would know they were pregnant, said the Center for Reproductive Rights, which represents North Dakota's only clinic that provides abortions, the Red River Women's Clinic in Fargo.


"The passage of this law is nothing short of a frontal assault on the U.S. Constitution, 40 years of Supreme Court precedent, and the health and fundamental rights of women," said Nancy Northup, the center's president and CEO.


The center and Planned Parenthood urged Dalrymple to veto both bills. More than half of the patients at a Planned Parenthood clinic across the border from Fargo in Moorhead, Minnesota, are North Dakota residents.


"With this vote, politicians in North Dakota have proven their disregard for a woman's personal medical decision-making," Sarah Stoesz, president and CEO of Planned Parenthood Minnesota, North Dakota, South Dakota, said in a statement.


North Dakota lawmakers have several other bills still under consideration that would put restrictions on abortion including a proposed amendment to the state constitution that declares that life begins at conception. That would be put before voters in November 2014 if the state House approves the provision.


Statehouses across the nation approved a record 92 restrictions on abortion in 2011 and another 43 in 2012, which was the second-highest figure on record, according to the Guttmacher Institute, a research group that supports abortion rights.


(Reporting by Dave Thompson in Bismarck and David Bailey in Minneapolis; Editing by Paul Thomasch, Leslie Gevirtz and Lisa Shumaker)


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Republicans seek three-month debt limit increase, Senate budget

U.S. House Speaker John Boehner (R-OH) arrives to speak to the media on the ''fiscal cliff'' on Capitol Hill in Washington, December 21, 2012. REUTERS/Yuri Gripas

U.S. House Speaker John Boehner (R-OH) arrives to speak to the media on the ''fiscal cliff'' on Capitol Hill in Washington, December 21, 2012.

Credit: Reuters/Yuri Gripas

WILLIAMSBURG, Virginia | Fri Jan 18, 2013 2:59pm EST

WILLIAMSBURG, Virginia (Reuters) - House Republican leaders on Friday said they would seek to pass a three-month extension of federal borrowing authority next week to buy time - on pain of losing their own paychecks - for the Democratic-controlled Senate to pass a budget plan that shrinks budget deficits.

The plan, hatched at a House Republican retreat, marks a new strategy from the party to break a budget deadlock by forcing the Senate to act first.

The Treasury needs congressional authorization to raise the current $16.4 trillion limit on U.S. debt sometime between mid-February and early March.

The Senate has not passed a formal budget resolution in nearly four years, while the House has passed budgets that have died in the Senate.

Under the planned legislation, House Majority Leader Eric Cantor said if the Senate or the House fail to pass a budget by April 15, lawmakers' pay would be withheld.

"Next week, we will authorize a three-month temporary debt limit increase to give the Senate and House time to pass a budget," Cantor said in an emailed statement.

"If the Senate or House fails to pass a budget in that time, members of Congress will not be paid by the American people for failing to do their job. No budget, no pay," he said on the last day of a House Republican retreat in Williamsburg.

U.S. House Speaker John Boehner said there should be no long-term increase in the federal debt limit until the Senate passes a budget, and House Republicans will try to force the Senate into action to cut spending.

"We are going to pursue strategies that will obligate the Senate to finally join the House in confronting the government's spending problem. The principle is simple: no budget, no pay," Boehner said in excerpts of his closing remarks to the retreat at a golf resort in Williamsburg.

Adam Jentleson, a spokesman for Senate Majority Leader Harry Reid, said the Senate would consider the increase if it was "clean."

"It is reassuring to see Republicans beginning to back off their threat to hold our economy hostage," Jentleson said in an emailed statement. "If the House can pass a clean debt ceiling increase to avoid default and allow the United States to meet its existing obligations, we will be happy to consider it."

Congress has relied largely on stop-gap funding measures to keep government agencies and programs running.

A House Republican leadership aide said it was not currently anticipated that the three-month debt limit increase legislation would include spending cuts. Although Boehner has previously sought at least $1 in long-term spending cuts for every dollar of debt limit increase, the aide said that the reforms associated with requiring budgets from both chambers would meet the speaker's requirements.

Spending cuts would be demanded of any longer term debt limit increase, the aide said, and Congress would still have to continue dealing with two other fiscal deadlines, the March 1 launch of automatic spending cuts, and government funding legislation that is needed by March 27.

(Reporting by David Lawder; Editing by Jackie Frank)


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Massachusetts Congressman Lynch seeks Kerry's Senate seat

U.S. Representative Stephen Lynch (D-MA) meets with officials at the Iraqi Foreign Ministry during his visit to Baghdad July 26, 2009. REUTERS/Hadi Mizban/Pool

U.S. Representative Stephen Lynch (D-MA) meets with officials at the Iraqi Foreign Ministry during his visit to Baghdad July 26, 2009.

Credit: Reuters/Hadi Mizban/Pool



BOSTON | Thu Jan 31, 2013 4:19pm EST


BOSTON (Reuters) - Representative Stephen Lynch, a Massachusetts Democrat who has represented Boston and its surrounding since 2001, on Thursday formally launched a bid for the U.S. Senate, seeking the seat being vacated by John Kerry following his confirmation as the new U.S. secretary of state.


Lynch, a former ironworker, will face off against fellow House of Representatives member Edward Markey in an April 30 primary, ahead of a June 25 special election to choose a permanent successor to Kerry.


Lynch announced his candidacy with a speech in the headquarters of the ironworkers union he once ran - a site chosen to play up his working-class background.


After a series of appearances in Worcester and Framingham, the state's second- and third-most populous cities, Lynch told a crowd of supporters in Boston about his experience losing a job during a mass layoff at a nearby shipyard.


"I know what it's like to stand in an unemployment line. It's something you never forget," Lynch said, according to a text of his prepared remarks. "I learned that in severe economic downturns, that sometimes the only force that can correct that inequity ... is the government."


Lynch faces an uphill battle against Markey, who has held his seat in Congress since 1976, according to recent polls.


In a primary contest, 52 percent of voters would support Markey and just 19 percent Lynch, according to a Public Policy Polling study of 404 likely primary voters released on Wednesday.


No prominent Republicans have said if they will run for the seat, and observers wonder whether former Republican Senator Scott Brown will seek a return to Washington.


Brown stunned the liberal state's Democratic establishment in 2010 when he won a special election to fill the U.S. Senate seat left vacant with the death of Edward Kennedy.


Brown lost a re-election bid last year to Democrat Elizabeth Warren.


Massachusetts Governor Deval Patrick, a Democrat, on Wednesday named his former chief of staff, William Cowan, to hold the U.S. Senate seat until a successor is elected.


Cowan told reporters he viewed the appointment as temporary and had no plans to run in the special election.


(Editing by Leslie Adler)


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Massachusetts Congressman Lynch seeks Kerry's Senate seat

U.S. Representative Stephen Lynch (D-MA) meets with officials at the Iraqi Foreign Ministry during his visit to Baghdad July 26, 2009. REUTERS/Hadi Mizban/Pool

U.S. Representative Stephen Lynch (D-MA) meets with officials at the Iraqi Foreign Ministry during his visit to Baghdad July 26, 2009.

Credit: Reuters/Hadi Mizban/Pool



BOSTON | Thu Jan 31, 2013 4:19pm EST


BOSTON (Reuters) - Representative Stephen Lynch, a Massachusetts Democrat who has represented Boston and its surrounding since 2001, on Thursday formally launched a bid for the U.S. Senate, seeking the seat being vacated by John Kerry following his confirmation as the new U.S. secretary of state.


Lynch, a former ironworker, will face off against fellow House of Representatives member Edward Markey in an April 30 primary, ahead of a June 25 special election to choose a permanent successor to Kerry.


Lynch announced his candidacy with a speech in the headquarters of the ironworkers union he once ran - a site chosen to play up his working-class background.


After a series of appearances in Worcester and Framingham, the state's second- and third-most populous cities, Lynch told a crowd of supporters in Boston about his experience losing a job during a mass layoff at a nearby shipyard.


"I know what it's like to stand in an unemployment line. It's something you never forget," Lynch said, according to a text of his prepared remarks. "I learned that in severe economic downturns, that sometimes the only force that can correct that inequity ... is the government."


Lynch faces an uphill battle against Markey, who has held his seat in Congress since 1976, according to recent polls.


In a primary contest, 52 percent of voters would support Markey and just 19 percent Lynch, according to a Public Policy Polling study of 404 likely primary voters released on Wednesday.


No prominent Republicans have said if they will run for the seat, and observers wonder whether former Republican Senator Scott Brown will seek a return to Washington.


Brown stunned the liberal state's Democratic establishment in 2010 when he won a special election to fill the U.S. Senate seat left vacant with the death of Edward Kennedy.


Brown lost a re-election bid last year to Democrat Elizabeth Warren.


Massachusetts Governor Deval Patrick, a Democrat, on Wednesday named his former chief of staff, William Cowan, to hold the U.S. Senate seat until a successor is elected.


Cowan told reporters he viewed the appointment as temporary and had no plans to run in the special election.


(Editing by Leslie Adler)


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Senator Rockefeller to announce retirement: Senate source

Senator Jay Rockefeller (D-WV) gestures at the podium of the 2008 Democratic National Convention in Denver, Colorado, August 27, 2008. REUTERS/Mike Segar

Senator Jay Rockefeller (D-WV) gestures at the podium of the 2008 Democratic National Convention in Denver, Colorado, August 27, 2008.

Credit: Reuters/Mike Segar

WASHINGTON | Fri Jan 11, 2013 10:24am EST

WASHINGTON (Reuters) - Democratic Senator Jay Rockefeller of West Virginia will announce later on Friday that he will not seek a sixth term in the Senate in 2014, according to a Senate Democratic source.

Rockefeller, 75, is chairman of the Senate Commerce, Science and Transportation Committee. He is scheduled to make an announcement at 11 a.m. EST (1600 GMT) in Charleston, West Virginia, about his future plans, according to his office.

The liberal Democrat, whose full name is John D. Rockefeller IV, is the great-grandson of the famous oil tycoon who became a billionaire in the late 1800s.

Senator Rockefeller has been a strong supporter of organized labor and was an active participant in healthcare reform initiatives, including President Barack Obama's successful effort in 2010.

Rockefeller also has been a protector of West Virginia's coal industry, an important economic force in his impoverished state. In 2009 and 2010, Rockefeller urged the Senate to take a careful approach to climate change legislation that would have aimed to reduce the use of carbon-emitting fossil fuels, such as coal, over the long-term.

That legislative effort ultimately sputtered in the Senate.

Instead, Rockefeller promoted a system that would have permanently stored carbon dioxide industrial emissions underground - a commercially unproven technology.

Republican Representative Shelley Moore Capito has been weighing a run for Rockefeller's Senate seat for a while.

(Reporting by Richard Cowan; Editing by Vicki Allen)


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Senate panel to examine CIA contacts with "Zero Dark Thirty" filmmakers

Screenwriter Mark Boal and Director Kathryn Bigelow pose for photos for their new film 'Zero Dark Thirty' in New York December 4, 2012. REUTERS/Andrew Kelly

Screenwriter Mark Boal and Director Kathryn Bigelow pose for photos for their new film 'Zero Dark Thirty' in New York December 4, 2012.

Credit: Reuters/Andrew Kelly



WASHINGTON | Wed Jan 2, 2013 7:13pm EST


WASHINGTON (Reuters) - After the Senate Intelligence Committee's chairwoman expressed outrage over scenes that imply "enhanced interrogations" of CIA detainees produced a breakthrough in the hunt for Osama bin Laden, the panel has begun a review of contacts between the makers of the film "Zero Dark Thirty" and CIA officials.


In the latest controversy surrounding the film, Reuters has learned that the committee will examine records charting contacts between intelligence officials and the film's director Kathryn Bigelow and screenwriter Mark Boal.


Investigators will examine whether the spy agency gave the filmmakers "inappropriate" access to secret material, said a person familiar with the matter. They will also probe whether CIA personnel are responsible for the portrayal of harsh interrogation practices, and in particular the suggestion that they were effective, the person said.


The intelligence committee's Democrats contend that is factually incorrect.


Zero Dark Thirty is a dramatized account of the hunt for al Qaeda leader bin Laden and the May 2011 U.S. Navy SEAL raid in which he was killed. Government e-mails and memoranda released to the conservative group Judicial Watch show that both the CIA and Pentagon gave the filmmakers extensive access.


But the film has also produced a series of awkward political headaches for President Barack Obama. Early on, Obama's Republican critics suggested it was a gimmick to boost his re-election campaign. But now, some of Obama's liberal supporters are attacking the film and officials who cooperated with its creators for allegedly promoting the effectiveness of torture.


The CIA had no comment on the latest congressional inquiry regarding the film.


One of the intelligence officials whom the documents show as having met with the filmmakers is Michael Morell, the CIA's deputy director at the time and now the agency's acting chief.


Current and former national security officials have said Morell, a highly regarded agency veteran, is a favorite to succeed retired Gen. David Petraeus as the agency's director.


CLOUD OVER MORELL?


But some of the same officials now say the controversy over the film's content has cast a cloud over Morell's prospects.


Last month, Intelligence Committee chairwoman Sen. Dianne Feinstein joined Michigan Sen. Carl Levin, chairman of the Senate Armed Services Committee, and former Republican Presidential candidate Sen. John McCain in sharply condemning what they described as "particularly graphic scenes of CIA officers torturing detainees" in Zero Dark Thirty.


The film has been screened in New York and Los Angeles but does not premiere nationwide until January 11.


In a December 19 letter to the chairman and CEO of Sony Pictures Entertainment, which produced the film, the senators alleged it was "grossly inaccurate and misleading in its suggestion that torture resulted in information that led to the location" of bin Laden.


The three senators claim Zero Dark Thirty "clearly implies that the CIA's coercive interrogation techniques were effective in eliciting important information related to a courier" for bin Laden, who would unknowingly lead the agency to his compound in Abbottabad, Pakistan.


The senators assert, however, that their own review of CIA records proves that the story told in the film is "incorrect" and "the CIA learned of the existence of the courier, his true name and location through means unrelated to the CIA detention and interrogation program."


Sony, in response, released a statement from Bigelow and Boal, which said in part: "We depicted a variety of controversial practices and intelligence methods that were used in the name of finding bin Laden.


"The film shows that no single method was necessarily responsible for solving the manhunt, nor can any single scene taken in isolation fairly capture the totality of efforts the film dramatizes."


Boal said in an email that he was unaware of the Senate committee's interest and had had no contact with the panel.


The person familiar with the committee's plan to review administration dealings with the filmmakers said initially this would involve reviewing uncensored copies of CIA records regarding the film. The committee presently does not plan to contact the filmmakers directly, the source said.


A 'DRAMATIZATION'


Last year, the CIA and Pentagon, in response to a freedom of information request from Judicial Watch, released hundreds of pages of internal documents discussing the agencies' arrangements for dealing with Bigelow and Boal.


The documents, many heavily redacted, show that top CIA and Pentagon officials, including Morell and Michael Vickers, now the Pentagon's intelligence chief, talked to the filmmakers.


One Pentagon email exchange with Ben Rhodes, a senior White House national security aide, said Boal had been briefed by CIA officials "with the full knowledge and full approval/support" of Leon Panetta, who served as CIA director and then Secretary of Defense while the film was being prepared.


A second person familiar with the matter said the committee had acquired copies of the CIA records last year.


The committee originally obtained the uncensored records at the request of Republicans, who were looking for evidence that intelligence or Pentagon personnel inappropriately shared classified information with the filmmakers, this source said.


Other Congressional Republicans, most notably Representative Peter King, outgoing chairman of the House Committee on Homeland Security, complained loudly about dealings between the Obama administration and the filmmakers following reports it would be released shortly before the 2012 Presidential election. Ultimately, the film was not released until after the election.


Two days after the Senators made public their letter to Sony, the CIA released a statement by Morell, who said that Zero Dark Thirty was a "dramatization, not a realistic portrayal of the facts," and that while the agency had "interacted" with the filmmakers, it did not "control the final product."


Morell's statement was equivocal on whether "enhanced interrogations" had produced information critical to finding bin Laden.


"Whether enhanced interrogation techniques were the only timely and effective way to obtain information from those detainees, as the film suggests, is a matter of debate that cannot and never will be definitively resolved," Morell added.


(Editing by Warren Strobel and Todd Eastham)


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Senate leaders still have no fiscal cliff deal, time running out: senior aide

n">(Reuters) - Senate leaders have not yet been able to reach a deal to a avert a "fiscal cliff," and with time running out, it is uncertain if they will get one, a senior Senate aide said on Sunday.

Senate Majority Leader Harry Reid and Senate Minority Leader Mitch McConnell have been aiming to reach an agreement by 3 p.m. EST (2000 GMT) so that they can present it to previously scheduled closed-door meetings of their respective Democratic and Republican colleagues in an attempt to beat a New Year's Day deadline.

However, at this point, they still do not have an agreement, the aide said, speaking on condition of anonymity. (Writing by Thomas Ferraro; Editing by David Brunnstrom)


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Senate, House agriculture committees in deal to avert milk price spike


WASHINGTON | Sun Dec 30, 2012 10:19pm EST


WASHINGTON (Reuters) - Farm-state lawmakers have agreed to a one-year extension of the expiring U.S. farm law that, if enacted, would head off a possible doubling of retail milk prices to $7 or more a gallon in early 2013.


The extension would end a 32-month attempt to update farm subsidies dating from the Depression era, when farmers were crushed by low prices and huge crop surpluses, to meet today's high-wire challenges of tight food supplies, high operating costs and volatile markets.


House Agriculture Committee Chairman Frank Lucas, an Oklahoma Republican, said on Sunday he hoped the legislation would be passed by Congress and signed by President Barack Obama by Tuesday to avoid higher prices for milk in grocery stores.


The bill was listed among measures that could be called for a vote on Monday in the House of Representatives although action was not guaranteed.


Despite consensus on the need to extend the farm bill, lawmakers continue to discuss how long the extension should be.


Representative Tom Cole, an Oklahoma Republican, told reporters late on Sunday a nine-month farm bill extension was being considered as part of deal being crafted in the Senate to stave off the "fiscal cliff" of automatic tax hikes and spending cuts that begin kicking in on January 1.


"There's good chance that if there is a package out of the Senate, it will include something on the farm bill. The easiest thing to get done would be nine months of current law," Cole said.


A second Republican, Representative Steven LaTourette, said a nine-month extension could be part of the fiscal cliff package or could move separately if the fiscal talks fail.


House Republican leaders refused to call a vote during the fall on a full-scale, $500 billion farm bill on grounds it might fail because it did not cut spending enough.


Grain, soybean and cotton growers would get another round of the $5 billion "direct payment" subsidy that all sides agreed to kill in a new farm bill. The payments are made regardless of need. Reformers say the payments are unjustified when crop prices and farm income are at near-record levels.


DISASTER MONEY AND A NEW DAIRY PROGRAM


Also in the extension, lawmakers would revive agricultural disaster-relief programs that ran out of money a year ago and create a new dairy subsidy program. It would compensate dairy farmers whenever milk prices are low and feed prices are high. The so-called margin protection program would require farmers to limit production to avert a long run of low dairy prices.


Traditionally, the dairy program sets a minimum price for milk through government purchase of butter, cheese and dry milk. If Congress does not act, the dairy support price will revert on Tuesday to the level dictated by an outmoded 1949 law and which is roughly double the price now paid to farmers.


The potential retail milk price has been estimated at $6 to $8 a gallon versus current levels near $3.50.


Agriculture Secretary Tom Vilsack, during an interview broadcast by CNN, said higher milk prices - if it comes to that - would ripple throughout all commodities "if this thing goes on for an extended period of time."


Senator Debbie Stabenow, chairwoman of the Senate Agriculture Committee, said the "responsible short-term farm bill extension ... not only stops milk prices from spiking, but also prevents eventual damage to our entire agriculture economy."


TWO FALLBACKS IF EXTENSION FALTERS


House Republican leaders readied two alternatives, if needed, to the one-year extension. One was a one-month extension of the now-expired 2008 farm law without disaster funds or the new dairy program and the other was a one-month suspension of the dairy provisions of the 1949 law.


It was not clear which bill would be called for debate, a farm lobbyist said on Sunday. A small-farm activist said any package passed by Congress must include rural economic development funds and money for soil conservation on "working lands," the largest of USDA's conservation programs.


"If a new farm bill doesn't pass this Congress, we'll soon hold another mark-up and just keep working until one is enacted next year," said Stabenow, a Michigan Democrat.


It would be the first time on record that Congress began drafting a farm bill during a two-year session and had to carry it into the following session, congressional researchers said. Hearings on the new farm bill began April 21, 2010.


HOUSE, SENATE DISPUTE ON BIG CUTS


While dairy producers generally support the so-called margin-protection program as the answer to high feed costs, processors and foodmakers oppose it. They say it is wrong-minded in its premise of curtailing production when prices are low, and it will destroy a healthy export market for dairy products.


The rejuvenated disaster programs would cover losses from this year's widespread drought, especially for livestock producers, although tree farmers, honey bees and farm-raised fish are also covered. Maximum payment would be $100,000.


Senators passed a farm bill in June estimated to save $23 billion over 10 years, with most of the cuts in crop subsidies and conservation programs. The House Agriculture Committee approved a bill with $35 billion in cuts in July, half of it in food stamps for the poor - the biggest cut in food stamps in a generation.


Fiscally conservative House Republicans have called for larger cuts in farm subsidies and food stamps while some House Democrats opposed any food stamp cuts.


(Additional reporting by Charles Abbott, David Lawder and Richard Cowan; Editing by Ros Krasny, Maureen Bavdek, Jan Paschal and Eric Walsh)


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Senate approves Baer to head Justice Department's antitrust team

WASHINGTON | Sun Dec 30, 2012 9:13pm EST

WASHINGTON (Reuters) - The U.S. Senate on Sunday approved prominent antitrust attorney William Baer to head the Justice Department's Antitrust Division 10 months after he was tapped by President Barack Obama.

The Senate voted 64-26 to approve Baer's nomination, which ran into problems with some Republicans because of secret information in an FBI background report.

Baer, an antitrust and white collar criminal defense attorney with the law firm Arnold & Porter LLP, has worked in the past for the U.S. Federal Trade Commission (FTC).

"Bill is a highly-skilled and well-respected antitrust lawyer who understands the importance of promoting competition in order for consumers to reap the benefits of lower prices and better quality products and services," Attorney General Eric Holder said in a statement welcoming the Senate vote.

The Justice Department's Antitrust Division, along with the FTC, reviews mergers to ensure they comply with antitrust law and prosecutes price-fixing and other antitrust violations.

Baer first joined FTC as a young attorney just out of law school and returned later to head its antitrust office.

At his confirmation hearing in July, Baer urged careful monitoring of powerful companies willing to flex their muscles to push aside rivals.

Obama nominated Baer in February to fill the post vacated by Christine Varney in mid-2011. James Wayland most recently served as acting head of the Antitrust Division, but left in November.

The Senate Judiciary Committee approved the nomination in September on a 12-5 vote, with the panel's top Republican, Mike Lee of Utah, joining the Democratic majority in support.

But Senator Charles Grassley, an Iowa Republican, said during that meeting he opposed Baer's nomination for reasons that he could not give in an open session.

Grassley and 25 other Republicans voted against Baer on Sunday while 14 Republicans voted for him.

(Reporting By Doug Palmer; Editing by Eric Walsh)


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Senate confirms Galante as FHA chief despite losses


WASHINGTON | Sun Dec 30, 2012 5:02pm EST


WASHINGTON (Reuters) - The Senate on Sunday confirmed the head of the Federal Housing Administration in her position despite mounting losses the mortgage funding agency that some fear could eventually lead to a taxpayer bailout.


In a 69-24 vote, the Senate confirmed Carol Galante as an assistant secretary of the Department of Housing and Urban Development. Galante, a former affordable housing developer in San Francisco, had been running the FHA in an acting capacity since July 2011.


The FHA, a key source of mortgage funding for first-time home buyers and those with modest incomes, backs $1.1 trillion in U.S. home mortgages. Last month it reported a projected shortfall of $16.3 billion due to souring loans that it insured during the housing market downturn during the past several years.


An independent audit suggested that the FHA would require taxpayer funding for the first time in its 78 years, though that won't be decided until February when the Obama administration releases its next budget proposal.


In response to the shortfall, the agency raised the premiums it charges on guaranteed loans by one-tenth of a percentage point, adding, on average, about $13 to a borrower's monthly mortgage payment.


Senator Tim Johnson, the Democrat who heads the Senate Banking Committee, said Galante was "highly qualified" and attributed the FHA's problems to legacy loans that were still threatening the agency's finances.


"It is important that the FHA have a confirmed management team in place to continue oversight of these legacy loans," Johnson said prior to the vote.


Following the collapse of the private subprime mortgage market during the 2007-2009 financial crisis, FHA-backed loans took over as the sole financing source for nearly all of the lower end of the U.S. housing market, which has continued to struggle.


The deteriorated finances had caused some Senate Republicans not to support Galante, who prior to her current position ran multifamily housing programs for HUD.


She joined the agency in 2009 after serving as president of Bridge Housing Corp, the largest non-profit developer of affordable housing in California.


But Republican Senator Bob Corker, who had been one of her biggest critics, publicly dropped his opposition to her confirmation after she sent him a letter pledging to take certain steps to improve the agency's finances, including tightening lending standards for buyers with lower credit scores and limiting the amount of money that could be borrowed in the FHA's reverse-mortgage program.


(Additional reporting by Margaret Chadbourn; Editing by Eric Walsh)


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Newark Mayor Cory Booker exploring Senate bid in New Jersey

Mayor of Newark, New Jersey, Cory A. Booker reacts during the first day of the Democratic National Convention in Charlotte, North Carolina September 4, 2012.

Credit: Reuters/Jim Young


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Senate won't consider alternative fiscal plan from Republicans

Senate Majority Leader Harry Reid (D-NV) speaks to the media about the ''fiscal cliff'' on Capitol Hill in Washington December 18, 2012.

Credit: Reuters/Yuri Gripas


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U.S. Senate fails to move cybersecurity bill forward

WASHINGTON | Thu Aug 2, 2012 11:41am EDT

Senate Majority Leader Harry Reid failed to come up with the 60 votes needed to cut off debate on cybersecurity legislation, dimming hopes for passing the bill this year.


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Senate fails to move cybersecurity bill forward

A computer keyboard is seen in Bucharest April 3, 2012.

Credit: Reuters/Bogdan Cristel

Sorry, I could not read the content fromt this page.

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