THE HOUSE : Banking Issue

On a vote of 200 to 216, the House refused to strip a banking reform bill of a section permitting banks to market stocks and other financial instruments through affiliates. The bill (HR 6), the first overhaul of banking laws since the 1930s, remained in debate.

Primarily at issue was tighter regulation that would accompany the repeal of the 1933 Glass-Steagall Act’s ban on banks selling securities. The Administration and the American Bankers Assn. saw the increased scrutiny as excessive and stifling. Democratic authors of the language argued that banks must be more closely monitored if they are to take on more risk.

A yes vote was to remove the disputed section from the bill.

How They Voted

Rep. Moorhead (R): Yea

Rep. Roybal (D): Nay

Rep. Waxman (D): Nay

Bank Bill Amendment

By a vote of 106 to 312, the House rejected an amendment to HR 6 (above) limiting both the interest rates that banks could pay for deposits and the amount of taxpayer-insured deposits they could lend to a single borrower. Limits were to have been phased in over several years and pegged to the bank’s capitalization level and general economic conditions.

Sponsor Charles E. Schumer (D-N.Y.) said his amendment would prevent “what we did during the S&L; crisis . . . use insured dollars for risky activities.”

Opponent Jim Leach (R-Iowa) said the “very dangerous” amendment would “take over $1 trillion out of the banking system at a time when the economy needs more credit.”

A yes vote supported the amendment.

How They Voted

Rep. Moorhead (R): Nay

Rep. Roybal (D): Yea

Rep. Waxman (D): Yea

Foreign Aid

By a vote of 159 to 262, the House rejected the conference report on legislation (HR 2508) authorizing about $25 billion in foreign aid in fiscal 1992-93. Some critics objected to sending money abroad during a recession at home. Others disliked the bill funding private organizations that promote family planning with their own money. Despite this vote, foreign aid will continue to flow under terms of a 1992 continuing resolution already approved by Congress.

A yes vote supported the foreign aid authorization bill.

How They Voted

Rep. Moorhead (R): Nay

Rep. Roybal (D): Yea

Rep. Waxman (D): Yea

Source: Roll Call Report Syndicate