January 10, 2009
Posted: January 10th, 2009 12:00 PM ET

From

WASHINGTON (CNN) - Congressional Democrats were notified Friday afternoon by the White House that they could get a request soon for the remaining $350 billion of funds from that massive $700 billion financial bailout package, a Democratic leadership source confirms to CNN.

According to this Democratic source, who did not want to be named because no decisions have been made, Democratic leaders are not sure if the votes would be there to block President Bush from accessing the funds.

Although there is widespread criticism of the way the Bush administration has handled the rescue program, the source said that if President-elect Obama signs onto the Bush request, it may make it easier for Democrats to vote yes.

Under the bailout legislation approved by Congress in October, the administration must inform Congress that it wants to access the second installment of $350 billion. Unless Congress passes a resolution rejecting the request within 15 days, the Treasury department can begin tapping the funds.

If Congress rejects the request, the president could veto the resolution, allowing Treasury to proceed. If the president vetoed the resolution, Congress would have to override the veto to stop the administration from accessing the money. That requires a two-thirds majority in both the House and Senate.

As congressional Democrats assess the situation, and a possible vote as early as next week, the Bush administration is sending a public warning down Pennsylvania Avenue.

"If the President does decide to notify Congress of the intention to access the second $350 billion on behalf of President-elect Obama, our shared goal (both administrations) will be to defeat a resolution of disapproval if Congress goes that route," an administration official told CNN Saturday.

White House press secretary Dana Perino said Friday that the administration has had discussions with the Obama transition team on how to proceed, "should the president-elect determine that he would like President Bush to notify Congress on his behalf of the intent to use the remaining $350 billion so that it will be available early in the new Administration."

But, she added, "No final decisions have been made."

Filed under: Congress • stimulus plan


Matt   January 10th, 2009 4:55 pm ET

One more time for Bush to make his budddies rich. I think the whole bailout was a shame and wasted tax payers money. Heck why not he wasted more than Billion in Iraq why no screw America all the way. Thanks for making us clean up your mess Bush. Hopefully you we be in jail soon.

Joe Fattal   January 10th, 2009 4:47 pm ET

Mr. Obama make sure the porno industry and Larry flint is on your top agenda for a bail out. They should have been bailed out long time ago, before the auto industry. I rather see two people riding eachother, than see a car I can't afford to buy.

bk   January 10th, 2009 4:33 pm ET

You think Bush has spent a lot of money wait until Obama gets his hands on it. We don't need another stimulus package. BALANCE THE BUDGET!

Farrell, Houston, Tx   January 10th, 2009 4:27 pm ET

WHAT IS THIS, A $350 BILLION DOLLAR BONUS PAYOUT TO BUSH?

Ryan   January 10th, 2009 4:24 pm ET

Bush shouldn't be doing anything until President-Elect Obama jump in. I mean, come on, Bush doesn't know what the heck he is doing...

ga.   January 10th, 2009 4:23 pm ET

DON'T LET BUSH AND THE REPUBLICANS GET THEIR HANDS ON ANY MORE OF OUR HARD EARNED TAX MONEY. OBAMA AND HIS TEAM WILL PUT IT WHERE IT NEEDS TO BE.

PA   January 10th, 2009 4:22 pm ET

If Congress doesn't stiff Bush for the $350 Billion they are going to reign to regret it. If the Dems don't have the votes then they need to buy them. If Blago can do it they should be able to!

Joyce Becker   January 10th, 2009 4:20 pm ET

Don't let Bush do anymore damage, just let him go quickly and quietly, by the Jan 20 and a new administration is sworn in is time enough to act. for heavens sakes, don't let the Bush administration have any control of where the remaining 350 billion goes, that's just too much money to trust to Bush and his cronies.

Larry   January 10th, 2009 4:13 pm ET

Bush-let Obama and his administration blow the next 350 billion so in a couple of years the Republicans can point out that Obama blew 350 billion in our tax money too.It may help the Republicans in the next election.

Steph   January 10th, 2009 4:04 pm ET

For the love of God, please don't let that idiot get the rest of the money! We have no idea where the first half went.

US Citizen   January 10th, 2009 3:56 pm ET

Obama supports this bailout just as much as Bush does. We're getting screwed from the left and right like A Night At The Roxbury

alvino   January 10th, 2009 3:44 pm ET

Since they have no idea where the first $350 billion went, I would not want Paulson and Bush to get any more money to throw away.

Bob Chalmers   January 10th, 2009 3:41 pm ET

I would certainly hope that congress will hold off sending any more money to the banks at this time. On January 20th we will have a new president and I don't think waiting for his thoughts on this matter would make a difference. There should also be more oversite on these funds than was demanded before. I don't believe that what has been spent so far has helped anyone on main street and that is where any recovery must begin.

Tom   January 10th, 2009 3:35 pm ET

Keep in mind all you mindless followers, that the congress was not replaced. So the do-nothing for the good of the people machine is still in place and they are busy fighting amongst themselves. Thus, no good will come now or later with the money, it should be dissolved and put back into the US Treasury where it belongs so we don't have to pay extra for it later on.

SMR   January 10th, 2009 3:19 pm ET

They need to leave that money in place till Bush is gone. Hasn't he done enough damage as it is? Another evil ploy by the WORST ADMINISTRATION IN US HISTORY.

lovable liberal   January 10th, 2009 3:16 pm ET

Congress has fifteen days to consider. I suggest that it take ten before acting, sort of a Congressional pocket veto.

Tina, NC   January 10th, 2009 3:05 pm ET

Why should they get the rest when they pretty much wasted the first half. Not one person, outside of the banks, is willing or able to tell us what happened to the first half. It sure didn't free up credit or help homeowners.

Hammer   January 10th, 2009 3:02 pm ET

Same old dog and pony show. Same lies, same corruption. Same people getting the handouts. Same old politicans singing the same old song. In the end the some old suckers that work and pay their bills and honor their commitments will be paying the way for all the slackers and hangers-on and getting nothing in return but more grief from the government and a LARGE TAX BILL.

Amber   January 10th, 2009 2:58 pm ET

You'd think that the Democrats could do what they're best at in these situations:

S T A L L .

OBAMA IS SO FULL OF IT   January 10th, 2009 2:47 pm ET

Well, of course they want to SPEND it. What did you you expect from the democrats.

lier   January 10th, 2009 2:46 pm ET

US politiicans the most corrupt in the planet either 2 party,95% co crook and lier

Texas Teacher   January 10th, 2009 2:12 pm ET

Hold off, Dems… less that a week to go and you bozos are going to let Bush push through anything? Just like the last 8 years? What are you bozos getting out of this? Oh, I forgot…. richer!

Wait a week… then Obama has the veto power over you bone heads!

sandee in Portland   January 10th, 2009 2:08 pm ET

No, no, no! The first 350 billion did not loosen up credit nor improve the economy. It should remain where it is until PE Obama takes office. Until there is more transparency and oversight, this should not be released.

SM   January 10th, 2009 2:07 pm ET

Do not give Bush access to any more taxpayer dollars! Do not!

Nick   January 10th, 2009 2:06 pm ET

About time. As sad as it is, I know that if my executives had some extra cash in their pocket, my job would be safe for awhile.
All they seemed to be concerned about around here are bonuses, new cars, fancy security systems, outdoor patios, catered lunches, all the while implementing the Christmas present of a 15% pay cut (company wide, including them, so they say).
Money hungry executives who refuse to live a different lifestyle than they are used to. Keep sacrificing the lambs of the company, and there won't be a company left to run.

Patriot   January 10th, 2009 2:00 pm ET

ALL Congress members SHOULD BE CHARGED WITH TREASON and placed in a stockade, if the Congress should allow the destructive wild bush the other $350 BILLION of the TARP money, so that the destructive devil can WASTE so much of taxpayers monies in the LAST TWO WEEKS of his destructive administration!

With just two weeks to go, it would be INSANE to allow the wild bush to waste more of taxpayers monies!

The freaking guy is a psycho, if the expects to squander $350 BILLION of taxpayers' monies IN LESS THAN TWO WEEKS!
Bush is being encouraged to getting away with murder and destruction of the US economy.

Texas Teacher   January 10th, 2009 1:57 pm ET

According to this Democratic source, who did not want to be named because no decisions have been made, Democratic leaders are not sure if the votes would be there to block President Bush from accessing the funds.

OH, REALLY?
CONGRESS HAD BETTER CONSULT WITH PE OBAMA BEFORE THEY DO SOMETHING STUPID! A NEW DAY IS HERE.... NO MORE "GIVE BUSH WHATEVER HE WANTS"... HE HAD HIS DAY... AND THAT DAY IS OVER! :(

Lilarose in Bandon, Oregon   January 10th, 2009 1:53 pm ET

Oh....

No more oversight for this second batch of monies than we got with the first.

I truly am shocked the government put out so much money to just anyone (basically) without oversight.

Naaa, I am not shocked. Sooo disappointed.

Has anyone seen Paulson?   January 10th, 2009 1:52 pm ET

Im going where ever Henry goes to hide with all the cash.He must be going to a safe zone where there is no extradition and a good off shore acct.

Simmy   January 10th, 2009 1:43 pm ET

A big NO to Pres. Bush! His hands should be busy packing up their belongings, calling old friends, thanking his staff, petting his pet, etc.; not signing anything but his personal notes.

President-Elect Obama, tell him "Thanks but no thanks, you've done enough, really. Enough is enough!"

david   January 10th, 2009 1:41 pm ET

Of that $350 billion, about $50 billion will end up in the pockets of executives and managers of banks and financial institutions if there are no in place controls, srtict oversight, and transparancy. This is another money grab by these people who say it is none of our business how they spend the money. This, like the 8 years of the Bush administration, is a horrible joke on the American people.

Tl   January 10th, 2009 1:38 pm ET

Stop Mayor Bloomberg and the MTA from increasing fares...

No 3rd term for Bloomberg!!!

California Gold   January 10th, 2009 1:37 pm ET

I have finally figured out the logo for this administration: a vacuum cleaner.

Ken in NC   January 10th, 2009 1:34 pm ET

Hold the remaining 350 billion for the incoming administration. This administration has already shown how they and Congress screwed up the first 350 billion. They do not need a second chance to screw up the second 350 billion better in just 10 days.

Proud American   January 10th, 2009 1:27 pm ET

Idiot republicans sure don't know what to do with it. What happaned to the other 350 billion?

Taxpayer   January 10th, 2009 1:21 pm ET

Hey, Bush, where is our accounting of the first $350B? Went to your cronies, eh? No wonder the economy continues to worsen. My shoes at you!

Mike Dallas   January 10th, 2009 1:20 pm ET

Do not trust Bush, even if he says he is doing it for Obama. Wait the 10 days and let Obama do the request. The world is not going to end in the next 10 days and who knows, Bush and crew if given acess to that last 350 b could run thru the last 350 billion and use it as more socialistic corporate welfare for the Wall Street fat cats and his friends.

Just let Obama ask for it himself on the 20th.

Amber   January 10th, 2009 1:14 pm ET

HOW ARE THERE NOT ENOUGH VOTES?! HOW!?!

Useless @^$%#ing Democrats!!! Get your #$&@ing act together!!!

Where would YOU want the 350 billion to go?

Into some pasty jack@$$'s trust fund account in Antigua or Switzerland, or to the following:

- new jobs to repair roads
- new jobs to build windmills
- new jobs to build better cars
- new jobs to install solar panels
- new jobs to hire more teachers
- new jobs to build more schools

I would go so far as to urge a country wide income tax BOYCOTT if these IDIOTS and CHARLATANS give a single red cent more to the outgoing Chimp!!

Mobius   January 10th, 2009 1:09 pm ET

Good grief. How much longer does this rape of our treasury have to go on before people GET IT? We're all broke enough, and God knows that the money we've given away has done nothing but line the pockets of people who didn't need it to begin with. Congress would be hard pressed to show us where ONE DOLLAR has improved ANYONE's situation – at least anyone who needed it. Enough already.

Not another dime.

Not one.

Not for Bush

Not for Obama. (he can have the CHANGE)

Not for ANYBODY.

No more.

Ronnie, CA   January 10th, 2009 12:55 pm ET

We cannot let them rob us all blind as they walk out the door!!!! Why else would they demand the money when they are all but finished? WE MUST CRY FOUL AND NOT LET THIS HAPPEN!!!!!!!!!!

John   January 10th, 2009 12:54 pm ET

Earth to Bush – "just say no"

Meka   January 10th, 2009 12:48 pm ET

WELL, YOU NEED TO MAKE A DECISSION . . . THIS ADMINISTRATION SHOULD NOT HAVE CONTROL OF THE REMAINING 350 BILLION.

THEY ARE CLUELESS AS TO WHERE THE FIRST 350 BILLION WAS SPENT!

Carlo   January 10th, 2009 12:44 pm ET

I wish Bush felt this same sense of urgency about foreclosures, lack of credit, and people losing their jobs. It goes to show you that if the right people want "welfare", the GOP is all for it.

Rae   January 10th, 2009 12:30 pm ET

I'd like to know where the first installment went. MSM...hint, hint.

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