WASHINGTON — The tidal wave of Republican victories in the midterm elections Tuesday shook up the membership of the House Financial Services Committee.
Of the 42 Democrats on the panel, 11 lost their seats, defeated by a wave of anti-incumbent sentiment and growing dissatisfaction with the state of the economy.
Among these was Rep. Paul Kanjorski, the committee’s No. 2 Democrat, who was beaten 54.5% to 45.5% by Hazelton Mayor Lou Barletta. Kanjorski, the chairman of the capital markets subcommittee, had held his seat for 26 years but had just barely won two years ago.
His loss is mixed news for the banking industry.
On the one hand, Kanjorski was often seen as a moderating influence who steadfastly supported the Federal Home Loan banks. But the Pennsylvania Democrat was also a passionate advocate for banks’ longtime competitors, credit unions.
Republicans, by contrast, had a great night. Of the 29 GOP panel members, all who sought re-election won handily.
Two races involving panel Democrats remained too close to call Wednesday afternoon. Rep. Melissa Bean, D-Ill., a top leader of the committee, was barely behind, with 48.2% of the vote compared with her opponent’s 48.6%. A victor had not officially been announced.
In New York, Rep. Dan Maffei won 50.6% of the vote but had not yet been declared the official winner.
Committee Chairman Barney Frank, meanwhile, who some conservatives had hoped would be defeated despite being ahead in the pre-election polls, won easily, defeating Sean Bielat 54% to 43%. In his victory speech, Frank vowed to defend the regulatory reform law named after him.
“I go back determined to protect the financial reform bill we put through,” he said. “We will not allow it to go back.”
Aside from Kanjorski, the other top panel Democrats faced no significant challenge. Rep. Maxine Waters, D-Calif., who now rises to the No. 2 Democratic spot on the committee, won with 79.4% of the vote. And Rep. Carolyn Maloney, D-N.Y., thumped her opponent, winning 75% of the vote.
Similarly, the Republican leadership on the panel cruised to re-election.
Rep. Spencer Bachus, who is expected to become the committee’s chairman next year, ran unopposed in his Alabama district.
Rep. Edward Royce, R-Calif., defeated Democrat Christina Avalos 67% to 33%, and Rep. Jeb Hensarling, R-Texas, beat Democrat Tom Berry 71% to 27%. Rep. Scott Garrett of New Jersey, the lead Republican on the capital markets subcommittee, beat Democrat Tod Theise 65% to 33%.
