Will Warren Have Power?

[cal04]

by Stephanie Taylor
http://www.dailykos.com/storyonly/2010/9/15/902313/-Will-Warren-Have-Power

Possibly yet another victory tonight for progressives, as word leaks that the White House will be appointing Elizabeth Warren as a temporary head of the Consumer Bureau. Now we just need to hope she'll have real power.

The Huffington Post and other outlets are reporting that Obama will appoint Elizabeth Warren to...something at least:

The White House will tap Elizabeth Warren to be a special adviser to both the president and Treasury Department. The move allows her to act as an interim head of the CFPB and will enable her to begin setting up the agency immediately and prevent the GOP from filibustering her nomination. Warren could serve until Obama nominates a permanent director -- a nomination he's not required to make. Obama could also nominate her as the permanent director in the near future...

So it's clear Warren will have a seat at the table that makes economic policy in the White House, giving the middle class a voice where it's been sorely lacking. That's a victory. And it also seems clear Warren will have at least some hand in setting up and/or running the new Consumer Financial Protection Bureau to protect Main Street from Wall Street's greed. That's also good.

But the details matter. Will she serve as the "interim head" and will Obama potentially "nominate her as the permanent director" -- or is she really just "setting up" the agency with an understanding that Obama will not fight for her to lead it. I issued this statement tonight to the media in response:

"This news shows that consumers have momentum and are on the verge of winning. If Elizabeth Warren is given full power to run the new consumer protection bureau and hold Wall Street accountable, it will mean real change -- and voters will know that going into November's election. If this appointment is window dressing and Tim Geithner controls the show, it would be a big disappointment and a victory for Wall Street. President Obama should make clear that this appointment gives Elizabeth Warren real power to fight for consumers."

The Progressive Change Campaign Committee, along with our partners at CREDO Action, have been a leading voice for Warren:

We've collected over 200,000 petition signatures supporting Warren
http://wesupportwarren.org/sign/senate/?source=media

In the last week, PCCC has run online ads in DC and in New York (hitting Wall Street), urging President Obama to appoint Warren now

PCCC members made over 5,500 phone calls to key senators supporting Warren

PCCC partnered with Sen. Al Franken on a "whip count" that now lists 19 senators on the record. Jack Conway from Kentucky announced his support for Warren on PCCC's website.

The public has done a great job keeping Elizabeth Warren's possible nomination alive. But the next few days will be very important to make sure she has real power.

[snot]

1. I want more than for Obama to say the words, "she has real power." I want

her to have hiring and firing authority and control over the agency budget.

[DJ13]

2. The term 'advisor' worries me

That usually denotes someone with no real authority as far as I've understood the term.

A recess appointment as director would have had greater meaning.

[peacebird]

3. my fears exactly.

[notesdev]

4. She's being purposely sidelined

She'll be reporting to Geithner. Guess how far her advice will go.

[FrenchieCat]

5. This Agency was always to report to the Feds and to Geithner.......

Be she the one running it while it is being formed, or after it is operating, etc....

The good part is that she will also be reporting straight to the President as well......
as her classification as an "Advisor" directly to the President is the same
as Rahm's "Advisor" directly to the President. This means Geithner won't be able
do any run around her, as she has a direct line to the President.

[yurbud]

10. Larry Summers and Robert Rubin exercise ridiculous amounts of influence as ''advisors''

[northernlights]

6. no.

Her temp job is the crumb I anticipated with Kaine's promise of a reeeeelly big announcement.

But it's not even really a crumb. It's a bone with a string attached, hoping we'll show up to vote and then he can pull the bone back and give it back to somebody less threatening to Timmeh.

[KoKo]

7. That's what I fear. She's window dressing, to appease those who worked to support her..but

will have no real power. Like when Volker was put on Obama's Economic Advisory Team but then was marginalized. He was put there just for "window dressing." He wanted to reinstate "Glass-Steagall" to separate banking and investment banking but Summers and Geithner and the rest were against it.

[jotsy]

8. I tend to doubt that will be the case.

I'm not sure the teeth necessary to see the job done will be offered as part of what ever package she's offered in terms of structural bodies with any true authority or potential to enforce policy as it develops. The public has been and continues to be fleeced by financial giants who don't believe accountability applies to the privileged.

As I understand the framework of the finreg package, not much change is to be expected as a result, according to Richard Wolff, economics professor from UMASS.

<http://www.youtube.com/watch?v=SXbSNs33b48>

This organization to protect consumers is going to require autonomy to be a success, and I don't see the chances of that being made the case as good.

I rec'd your post anyway. One of those 'it's the thought that counts' kind of thing.

[Dr.Phool]

9. Only if she pays her electric bill.

They were looking for a way to marginalize her, but they didn't want to upset people. So, they came up with their usual half-assed, self-serving solution.