WASHINGTON—Senate hopefuls Mark Udall and Bob Schaffer accused each other of sharing the blame for the financial industry meltdown that has triggered negotiations of a $700 billion bailout.
In a nationally televised debate that at times became heated, Udall, a Democratic congressman, accused Schaffer on NBC’s “Meet the Press” Sunday of supporting the policies that have led to the economic crisis. Schaffer, a former Republican congressman, responded by saying Udall has voted against having more regulation for companies like Fannie Mae and Freddie Mac, the mortgage giants that were recently taken over by the federal government.
“This is the result of years and years of Republican leadership, or lack thereof, in Washington,” Udall said. “Tax cuts for those who don’t need it, tax cuts for the oil companies.”
The comment prompted a quick response by Schaffer, who said, “Mark, I’ve been out of Congress for six years. You’ve been there for 10. Tell us what you’ve done.”
After leaving Congress, Schaffer lost a 2004 bid for the Senate seat now held by Democrat Ken Salazar. Schaffer and Udall are running for the U.S. Senate seat being vacated by Colorado Republican Wayne Allard.
The conversation between the candidates became fervent at one point, each characterizing the other as someone who failed to do enough to prevent Wall Street’s economic meltdown.
“I would tell you what we can’t do, though, and that’s return to the policies that (former) Congressman Schaffer supported and supports today, which are tax breaks for CEOs, tax breaks for companies that offshore jobs, tax breaks for the wealthiest among us,” Udall said, before being interrupted by Schaffer.
“That’s not true Mark,” he said.
Schaffer said it was Udall who opposed passing legislation that included accountability provisions for mortgage companies. Schaffer said the failure of such legislation is what “led to the immediate excesses that you began to see over the last three years.”
Udall says the bailout plan is not supported by his constituents.
“People are mad. People are upset,” Udall said. “My calls are mixed between people who say no and people who say hell, no. This is a real crisis that we face.”
Schaffer said the rescue plan is necessary, but said it was “essentially a tax.”
“There’s nothing to like about the notion that there is a $700 billion fix needed with respect to a collapse on Wall Street,” Schaffer said.
After the debate, Udall spokeswoman Tara Trujillo acknowledged Udall was among a majority of lawmakers voting against a 2005 proposal that would have established minimum capital levels for Fannie Mae and Freddie Mac, but she said Udall did vote in favor of bills that supported creating a federal agency to regulate both companies.
