LEGISLATIVE UPDATES

9/21/00

Democrats Respond to GOP Bankruptcy Reform Legislation

Yesterday, Democrats criticized Senate Majority Leader Lott's recently introduced bankruptcy reform legislation (S. 3046), which is, in essence, S. 625 minus the minimum wage and increase in tax breaks. Senator Wellstone (D-MN) and Representatives Nadler (D-NY), Jackson-Lee (D-TX) and Scott (D-VA) called the bill abusive and punitive, amongst other things, and stated it is one sided and is detrimental to consumers.  (In fact, Jackson-Lee called Lott's bill "child abuse".)  

      Wellstone went further and indicated he foresees at least five opportunities, which would total 450 hours, to filibuster during the remainder of the second session. Wellstone guaranteed he would use that avenue and any other means to ensure the death of the bill.

       On another front, Senate Minority Leader Daschle (D-SD), who previously had been a supporter of Senator Lott's bankruptcy movement attempts, expressed concern, confusion and "mystification" over Lott's bill and the fact that he did not notify his staff as well as Judiciary Subcommittee Chair Grassley (R-Iowa).

       In a written statement submitted to the Hill, Consumers Union called Senator Lott's bill, "a bad sequel to a bill that was a box-office bomb for working families." It went on to say, "bankruptcy bills 1 and 2 were written, produced and directed by the special-interest credit card lobby."

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TMA is committed to providing the most recent legislative actions affecting the corporate renewal industry. The following updates are provided by TMA's Legislative Consultant, David P. Goch, of Webster, Chamberlain & Bean in Washington, DC. Please contact David at dgoch@wc-b.com or (202) 785-9500 for more information or specific questions about the legislative information provided below.