news-record.com

RALEIGH - North Carolina's 13 House members split on the proposed financial industry bailout bill that failed Monday, with four backing the doomed package.

"I'm voting for it because I don't feel like I have a choice," said Rep. Mel Watt, a Charlotte Democrat who represents parts of Greensboro and Davidson County. "We were told a week ago Thursday by Secretary (Henry) Paulson, and (Fed Chairman) Ben Bernanke, that the consequences of not doing something would be catastrophic, probably worse than the Great Depression."

But a combination of economic philosophy, partisan haggling and constituent ire combined to kill the bill, at least for now, according to those interviewed Monday afternoon.

"You can't turn a deaf ear to constituents who called us continually," said Rep. Howard Coble, a Greensboro Republican who said phone messages from voters ran "90 to 95 percent against" the package. That only reinforced his original instincts about the deal, Coble said.

"I never did believe that the rush to judgment that Secretary Paulson presented to us was as vital as he presented," Coble said. "I just don't believe the sky is going to fall."

Republican Virginia Foxx, whose district includes Winston-Salem, said that she, too, was unconvinced by the administration's dire warnings.

"Paulson and Bernanke have given us one choice, and it's a false choice," Foxx said. "I believe things need to be done, but what they're doing is making the situation worse, not better. There are alternatives to this."

If Democrats had held together, they could have passed the legislation without the support of Republicans in the House. But 95 Democrats voted against the bill, including three from North Carolina.

Rep. Brad Miller, a Raleigh Democrat who represents parts of Greensboro, called the bill a "bitter pill" but voted for it.

"I do think we are in a worsening financial crisis that will affect ordinary Americans, not just financial institutions," Miller wrote in an e-mail. "The economy will slow dramatically if every business and every American family has to operate on cash."

The bill's failure sparked a round of partisan finger-pointing, with Republicans crowing that Democratic leaders who control the House were unable to keep their members in line. Democrats pointed out that Republican leaders in the House and President Bush, a Republican, had called for its passage.

"The problem is the president has neither the communication skills nor the credibility to convince the American people," Watt said. "Only the president has that kind of pulpit and he failed woefully when he went out there and tried to make the case."

Contact Mark Binker at (919) 832-5549 or mark. binker@news-record.com