John Thune

Posted: June 11th 2009

From the Rapid City Journal:

U.S. Sen. John Thune and a number of fellow Senate Republicans introduced a bill Thursday that would set a July 2010 deadline for the government to sell its stake in financial institutions and automakers.

"We think the federal government needs an exit strategy, needs a plan," the South Dakota Republican said. The government is expected to own 60 percent of the new General Motors, 8 percent of the new Chrysler, and stakes in a number of financial institutions.

"I think it's better, particularly in the case of the auto manufacturers, that we exit the scene as quickly as possible," Thune said.

The legislation would require the Obama administration to end sells its stakes by July 1, 2010, in businesses acquired using money from the Troubled Asset Relief Program.

The bill would also prohibit the government from buying any new stakes in private companies and restricts the Obama administration from making management decisions at companies in which it has ownership.

The legislation, which is currently co-sponsored by six Republican senators, would allow the secretary of the Treasury Department to delay selling off government-owned assets for up to one year if there is a "reasonable chance" the assets will regain their original purchase price in the near term. If and when the government would sell off its assets, the bill would require that money go toward paying down the national debt.

"In other words, it can't be recycled," Thune said

The bill would also require the Treasury Department to report to Congress the government's holdings in private business and provide details of loans or loan guarantees made by the Federal Reserve.

In a Thursday morning press conference, Thune also said he was afraid government ownership of private companies was a "gateway drug" to a deepening involvement in the health care industry.

Obama and congressional Democrats are engaged in an attempt to remake the health care system. Obama has signaled support for a government-backed insurance option, which opponents say would put the government in competition with private industry. ...