In the spotlight: Walz listens to constituents about financial rescue

Update: The Mankato Free Press looks at the story in Walz hears from constituents: People angry, confused about bailout:

. . .Others that Walz talked to on a tour of several businesses in downtown Mankato may not yet have felt the direct financial repercussions of the credit crisis. But the animosity toward the East Coast firms at the heart of the turmoil was unanimous. So was a deep distaste for using taxpayer dollars to help the companies recover.

“I’m just a consumer, just a taxpayer,” Pat Ellis, a Mankato native and retiree, told Walz at the Hy-Vee Food Store on Riverfront Drive. “I believe the people should come first, not the fat cats. The fat cats are getting way too fat.” . . .

The MFP also reports Walz says a plan must pass. The trick is in getting it right.

The Star Tribune reports in Minnesotans who voted no in spotlight:

Sisters Emily Green and Alissa Witte of Mankato were waiting for lunch at the Wagon Wheel Cafe on Wednesday when U.S. Rep. Tim Walz stopped by, dropped to one knee and then explained why he ignored pleas from President Bush and his own Democratic Party leaders and voted against the government's $700 billion rescue of the financial industry.

Said Green, 24, a cosmetologist with $12,000 in student loans to repay: "I'm thinking, why isn't all of that money going to homeowners?"

Between late last week and Wednesday, Walz's office received 1,200 e-mails about the bailout, enough to repeatedly crash his House website.

"This is by far bigger than anything we've had: the war, the flooding," Walz said of constituents' reactions. "More personal. Much more engaged."

The eyes of Wall Street and the country are on House members like Walz, a first-term representative from Mankato, as they prepare to return to Washington and vote again on a modified rescue plan the Senate approved Wednesday night. Whether enough of them change their minds to pass a bill could determine the length and severity of the worst financial panic in decades.

"We are walking the tightrope without a net underneath," Walz said.

* * * *

Walz has spent the past few days debating the Wall Street mess with everyone from passersby on Main Street in the largely rural First District he represents to House Majority Leader Steny Hoyer, D-Md.

A stop for gas led to an impromptu hourlong conversation. A bicycle workout at the gym produced another. When a resident e-mailed saying he was frustrated with Walz's no vote and was ambivalent about keeping his yard sign supporting Walz's reelection bid, the congressman called him up.

Despite voting against the majority of Democrats, Walz said he hasn't heard from Speaker Nancy Pelosi, D-Calif., or the four members of the Minnesota delegation who voted for the proposal. Walz said he is working with Democratic Rep. Collin Peterson of Minnesota's Seventh District to reach a deal. Peterson also voted no, as did Republican Jim Ramstad. Minnesota Democrats Betty McCollum, Keith Ellison and Jim Oberstar and Republican John Kline voted for it.

Democratic presidential nominee Barack Obama was rumored to be calling Democrats who voted against the proposal. Walz said he didn't get a call. He said he expected more pressure.

* * *
About 30 percent of those who e-mailed Walz urged him to vote for a bailout, said Meredith Salisbury, his communications director. The rest either were against a bailout of any kind or reluctantly endorsed one with a litany of changes.

The dozens of residents Walz met with Wednesday on a walking tour of grocery stores and cafes mostly listened without urging him in either direction on the proposal.

"You're on the line for the money," Walz told Green and Witte at the Wagon Wheel. "What I asked them is to give us a guarantee."

"We're all struggling already," Witte said.

At Pagliai's Pizza, Walz spoke with a pair of self-employed business owners who lamented giving money to rich CEOs who led failing firms.

"This can't be on the honor system," said Vilia Bloom of Minneapolis, who does business in the Mankato area. "They let the kids into the candy store, and the kids ate all the candy."

Struggled with decision

Before Monday's vote, Walz said he called economists and spoke with more than 100 constituents in his district, including bankers and business leaders. He said he struggled with his decision up to the last minute, leaning toward "no" on Sunday night and convinced by Monday.

Walz said he voted against the proposal because it failed to ensure that taxpayers wouldn't have to rescue Wall Street again.

The proposal needs to include more explicit language that will require Wall Street to bail itself out if the proposal isn't successful in five years, Walz said.

"I'm not going to put any risk, no matter how small, back on the taxpayer for something they did not do," he said. "This is not a vote to prop up Wall Street for one or two days. This is a generational type of bill. We're looking to get this right for our grandchildren."

KEYC-TV reports on the story in Walz Gets Citizen Feedback About Bailout Bill. The Times if London reports in  Middle Americans unite against the great bank rescue:

“I literally had thousands of e-mails asking me to vote no on this,” said Congressman Tim Walz of Minnesota, one of 95 Democrats who opposed the Bill on Monday. “I've never seen anything like it in my two years of Congress. Folks just didn't want it.” . . .

A friend in the district who has been in contact with the congressional office about ag and energy policy in the past sent us a note that read in part:

  Tim and the people in his office are pretty amazing -- i.e. asking us in the boondocks about what we recommend be in a bailout bill that will make a real difference to us . . .

She forwarded the email asking for her opinion. An excerpt:

. . .The bail out plan we voted down was written with lots of input from people who work on Wall Street, but not much from the people like you on Main Street, which is why I want to hear from you.  . . .

. . .As we begin to work on a new financial rescue plan, I view my role as a Member of Congress to drive a hard bargain on behalf of ordinary Americans and to reach a deal that is in the best interest of the taxpayer.   

How you can help.

Attached is the summary of the bail out bill that failed in the U.S. House yesterday.   A copy of HR 3997, the Emergency Economic Stabilization Act can be found here: http://www.speaker.gov/newsroom/pressreleases?id=0847

Please take a moment to read this $700 billion package and give me your input . . .

Update: A Ron Paul supporter from the district has posted the request to a forum here. [end update]

The server may hiccup, but Congressman Walz is out seeking the views of the people he represents. Let him know what you think. What a concept.

Photo: The Mankato Free Press captured Congressman Walz hearing about the bailout from citizens in the local Hyvee.

Note: Bluestem Prairie is a personal website run by a private individual. We do not forward messages to the congressional office.  To get a message to Congressman Walz, call 1-800-TIM WALZ or email the congressional office.