DM&E RAILROAD LOAN REJECTED

02/26/2007

ST. PAUL (2/26/07) – Citing an unacceptable risk to federal taxpayers, the Department of Transportation Credit Council today rejected the Dakota, Minnesota & Eastern Railroad’s loan application. Minnesota DFL Chair Brian Melendez released the following statement:

“For too long, the Republican-controlled Congress in Washington refused to exercise oversight or perform due diligence before approving big-money giveaways. That lack of oversight let this budget-busting loan proposal get as far as it did. Just like the $223 million ‘Bridge to Nowhere,’ this loan was slipped into legislation in the dead of night.

“We congratulate Representative Tim Walz for making the DM&E loan a central part of his campaign and for holding the Republican leadership accountable for oversight on this critical issue. Leadership like his will curb these unacceptably risky giveaways.”