United States Congress
Washington, DC 20515
Dear Member of Congress:
On behalf of the millions of taxpaying citizens represented by the public interest organizations below, we write to strongly encourage you to swiftly pass a notice of disapproval on releasing the remaining $350 billion in Troubled Asset Relief Program (TARP) funds.
From the beginning, the TARP plan was questionable, but a number of Members nonetheless resolved to support it. It should be clear now that this was a mistake.
The stated purpose of the TARP was to purchase toxic mortgage assets. Secretary Paulson abandoned this concept immediately after the signing ceremony. The TARP was also designed to reintroduce the flow of credit into the market and help stabilize Wall Street. To date, neither has been accomplished.
In addition to misleading Congress about his intent on the use of TARP funds, Secretary Paulson has invaded the free market, propping up some companies to the detriment of others and purchasing stock in banks without requiring accountability or transparency about the use of taxpayer funds.
The TARP legislation specifically requires that before the second half of the $700 billion is released, the President provide Congress with a written report detailing how the additional funds are to be used. A request to spend the second half of the funds without restraint does not meet the requirements set forth in the bill. In addition to requiring this detailed plan, Congress should require an accounting and detailed explanation on how the initial TARP funds have been used and the prospect of a taxpayer recovery of these funds.
Congress now has an opportunity to preserve some of the taxpayers’ assets and should spend the necessary time studying the underlying causes of the economic down-turn by passing a TARP disapproval resolution. We encourage you to take such action.
African American Republican Leadership Council Alex-St. James, Chairman
American Shareholders Association Ryan Ellis, Executive Director
Americans for Limited Government William Wilson, President
Americans for Tax Reform Grover Norquist, President
Americans for the Preservation of Liberty Mark Chmura, Executive Director
America’s Survival, Inc. Cliff Kincaid, President
Center for Fiscal Accountability Sandra Fabry, Executive Director
Center for Investors and Entrepreneurs John Berlau, Director
Citizens United David N. Bossie, President
Coalition for a Conservative Majority Ken Blackwell, Chairman
Competitive Enterprise Institute Fred L. Smith, Jr., President
Council for America Ron Pearson, President
Council for Citizens Against Government Waste Thomas Schatz, President
Family Research Council Thomas McClusky, VP for Government Affairs
Federal Intercessors Mark Williamson, President and Founder
Free Market Foundation Kelly Shackelford, Esq., President
FRC Action Connie Mackey, Senior VP
Maryland Center-Right Coalition Richard W. C. Falknor, Chairman
Minuteman Civil Defense Corps. Carmen Mercer, Vice President
Minuteman Foundation Carmen Mercer, President
National Center for Public Policy Research Amy Ridenour, Chairman
National Taxpayers Union Duane Parde, President
RedState.com Erick Erickson, Editor
RightMarch.com Dr. William Greene, President
The FlashReport Website on CA Politics Jon Fleischman, Founder
The Inspiration Networks Ron Shuping, Executive VP of Programming