We already knew confirming Scott Garrett to lead the U.S. Export-Import (Ex-Im) Bank would be a terrible trade deal for American manufacturing workers. But now we’re learning even before he has had his nomination voted on in committee, Garrett is already causing problems for the agency and potentially putting taxpayers on the hook, too. As The Wall Street Journal reports today:
C.J. Hall, the government agency’s acting chairman, who is stepping down Saturday, said in an interview that the bank will likely become a drain on U.S. taxpayers next year if the Senate doesn’t act to fill its board, because it has stopped bringing in enough revenue through the fees it charges to guarantee financing deals for U.S. exporters.
The negative fiscal impact of not having a fully functioning Ex-Im Bank is deeply concerning and underscores why the agency cannot be led by someone like Garrett, who spent years trying to shut the bank down. The Wall Street Journal report also notes that Garrett currently does not have the votes to advance his nomination. So here’s the bottom line: Garrett’s toxicity is holding the confirmation process up and literally exposing taxpayers to increased federal deficits.
Given this fiscal reality and the apparent lack of votes to get Garrett’s nomination out of committee, it’s time for a new nominee to lead the Ex-Im Bank who believes in the agency’s mission and can rightfully earn senators’ support.
We need to have a stable, fully functioning Ex-Im Bank and the jobs and revenue that come along with it. A fully functioning Ex-Im Bank is good for manufacturers, good for workers and good for American global competitiveness. When fully functional, the Ex-Im Bank is a model agency that actually returns a surplus to the U.S. Treasury. As The Wall Street Journal notes:
The bank’s revenue comes primarily from its largest deals. If no such new deals are approved, the bank likely won’t be able to cover all of its expenses. Without a quorum, taxpayers also could lose out on about $492 million in surplus funds the bank projected it would otherwise send to Treasury.
That’s why the National Association of Manufacturers has steadfastly opposed Garrett’s nomination from the start and has also supported the president’s other four nominations to the Ex-Im Bank, who share the administration’s vigorous and outspoken support of American manufacturing workers and the agency.
Click here to learn more about Garrett’s reckless opposition to the Ex-Im Bank that has put manufacturing jobs in America at risk.