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Geithner's Understaffed Treasury Is Stalled

Geithner's undermanned department struggles to execute plans

By Jason Farago, Newser Staff

Posted May 18, 2009 5:56 AM CDT

(Newser) – Nearly two months ago the Treasury announced it was booting Rick Wagoner as CEO of General Motors. But he's still technically on the payroll—because Treasury officials continue to debate whether he should receive the $20 million severance package he was promised. It's only one of many key decisions that have been put on hold at Tim Geithner's overstressed, understaffed Treasury, reports the Washington Post.

Vacancies at the top of the Treasury are holding up major initiatives, including cleaning up toxic assets and expanding credit for small businesses. But a personnel shortage isn't the only problem; frequent White House intervention has confused traditional roles, and several officials say Geithner has yet to define the responsibilities of his top advisers. "Tim's nature is to be very inclusive," said one, "but there are too many decisions to make with 20 guys around his table."

[Images (3)]

[Quotes (1)]

Tim Geithner listens at a news conference at the Treasury Department in Washington, Tuesday, May 12, 2009. (AP Photo/Alex Brandon)

President Barack Obama and Treasury Secretary Timothy Geithner make statements on tax reform, Monday, May 4, 2009, in the Grand Foyer of the White House in Washington. (AP Photo/Ron Edmonds)

The name plate on the wall to the office of Timothy Geithner at the Treasury Department in Washington Saturday, April 25, 2009. (AP Photo/Alex Brandon)

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People think he's very, very smart, but he has not exerted a management presence yet. Geithner's being stretched in a thousand directions, but I don't know if that absolves him of responsibility for management. - A source inside the Treasury

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COMMENTS

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Showing 3 of 4 comments

uplink

May 18, 2009 11:53 AM CDT

the less geithner does the better off we will be. what has he done except bend over for the zombie banks? obama made some incredibly bad choices in his cabinet, with geithner being the standout bad choice. obama has not kept his campaign promises and now seems ready to reverse any decision that is uncomfortable to the bush criminals.

ClingingToHope

May 18, 2009 4:06 AM CDT

So passing spending bills which no one read is a better deal? Promising to end "unnecessary" wars and not doing so is a better deal? "The worst financial crisis since the Depression" is the fault of the Democrat party who insisted that FannieMae and FreddieMac make loans to those who could not afford it. Unfortunately, the Republican president at the time was not CONSERVATIVE ENOUGH!

Robert_Dada

May 18, 2009 2:43 AM CDT

Debatably kept us safe while costing us billions we cannot afford in unnecessary wars, not to mention the lives lost. In addition, they presided over, long ignored and then ineptly responded to the worst financial crisis since the Depression. The previous administration has nothing but shame and ineptitude in its legacy.

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Politics • Money

General Motors • Treasury Department • Rick Wagoner • Treasury secretary • Timothy Geithner • job vacancies

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Geithner's Understaffed Treasury Is Stalled