Senate OKs bailout; Bingaman, Domenici support it

This article has been updated.

As expected, New Mexico’s U.S. senators were among the 74 who voted to approve the $700 billion financial bailout bill this evening.

U.S. Sens. Pete Domenici and Jeff Bingaman had announced their support for the legislation before this evening’s vote. Only 25 members of the Senate voted against the measure.

In explaining his vote in a news release sent after the Senate passed the bill, Bingaman said the financial crisis has made it more difficult for individuals and businesses to borrow money. In addition, many Americans have lost at least a portion of their life savings.

“These challenges come at a time when America is hardly in the position to weather a storm. To take just a few indicators: One in 11 mortgages is delinquent or in foreclosure, credit card defaults have increased by 15 percent from 2001, and more than half of our states have moved to cut spending, use reserves or raise revenues to address funding shortfalls,” Bingaman said. “Based on this evidence, I have concluded that Congress faces an imperative to act. Of course, in doing so, we must be responsive and politically realistic. The plan before us did not represent the best possible solution — but it is a responsive and realistic one.”

The bill also included mental health parity legislation Domenici has pushed for years, and, as the New Mexico Independent is reporting, minutes before tonight’s vote Senate Majority Leader Harry Reid singled out Domenici, saying approving the legislation would be “a fitting tribute” to the retiring senator.

The bill was expected to pass the Senate easily after the mental health legislation and a number of tax cuts were added to it. House members who voted on Monday against the bailout bill are under heavy pressure to approve this new bill. A vote has been scheduled for Friday, but there’s no certainty it will pass.

Rep. Heather Wilson voted for the previous bill, while Reps. Steve Pearce and Tom Udall joined the majority in voting against it. Spokesman for Pearce and Udall told the Albuquerque Journal today that the two congressmen haven’t decided how they’ll vote on Friday. Wilson’s office told the newspaper she’s leaning toward supporting the bill.

Update, Oct. 2, 8 a.m.

Click here to listen to audio of Domenici explaining his support for the bill.