Senate Adds Deposit Insurance Amendment to Financial Reform Bill

The US Senate added several amendments to S 3217, the Restoring American Financial Stability Act, that raise the deposit insurance fees levied on some banks and provide greater authority and protection in the financial markets.

As Congress continues to review financial regulatory reform amendments, certain other proposals are being left on the cutting room floor. The Senate resumed consideration of the bill this week — adding a handful of amendments — after Senate Republicans blocked debate for several days.

Senators passed an amendment Thursday that requires the Federal Deposit Insurance Corp. (FDIC) to alter its definition of the assessment base for FDIC insurance premiums. Under the amendment, financial institutions would calculate insurance premium based on assets, rather than deposits, meaning larger firms with more assets would be required to pay more in premiums.

Senators also passed by voice votes amendments to provide the Commodity Futures Trading Commission with “clear antimarket manipulation authority” and to provide “whistleblower protections for employees of nationally recognized statistical ratings organizations,” according to a statement.

Senators shot down, by a 38-61 vote, an amendment sponsored by Sen Richard Shelby (R-AL) that would establish a Division of Consumer Financial Protection within the FDIC.

Sen. Harry Reid (D-NV), in a statement on the vote, said the amendment “would have gutted consumer protections and carved out exemptions for virtually all of Wall Street.”

The Senate also barred an amendment that would have changed the definition of the term “financial company” for purposes of limiting non-deposit liabilities, as well as an amendment that would have imposed leverage and liability limits on bank holding companies and financial firms. Essentially, this amendment would have capped the size of banks.

They've now attached 246 amendments!!

http://www.govtrack.us/congress/bill.xpd?bill=s111-3217&tab=amendments

From a simple search the following three links:

Senate Adds Deposit Insurance Amendment to Financial Reform Bill

http://www.housingwire.com/2010/05/07/senate-adds-deposit-insurance-amendment-to-financial-reform-bill/

NPA Urges Senate Not to Expand FTC Authority

http://www.naturalproductsmarketplace.com/news/2010/04/npa-urges-senate-not-to-expand-ftcs-authority.aspx

Financial Reform Bill Contains Say-on-Pay Provisions

http://www.dcemploymentlawupdate.com/2010/04/articles/executive-compensation/financial-reform-bill-contains-sayonpay-provisions/

Nothing described about S.510 (FOOD BILL) yet.

S 3217 Finance Reform bill hasn't yet passed the Senate, but there's a little more info on a few of the 246 amendments that are attached to it. Take a look at item 110 about Fannie & Freddie (it was rejected), then look at item 206 - It's from Dodd, it's accepted, and puts Geithner in charge of the study (like we need more studies - but I'll bet you it'll be a power play and they'll "reform" the housing finance system as a redistribution of wealth for those who cannot afford to buy homes, while charging more to those who can afford to buy a home - more of the CRA that got us into the mess, only worse !

(206) S.Amdt. 3938 by Sen. Dodd [D-CT]

To require the Secretary of the Treasury to conduct a study on ending the conservatorship of Fannie Mae and Freddie Mac, and reforming the housing finance system. Proposed: May 11, 2010. Accepted: May 11, 2010. May 11, 2010. Amendment SA 3938 agreed to in Senate by Yea-Nay Vote. 63 - 36. Record Vote Number: 139.

And not one for the source of the problem, Fannie, Freddie and repeal of Glass-Stegal — I wonder why they are adverse to talking about what caused the problem.

Glass-Stegal repeal is what allowed Banks to get involved with selling crap to the world.

Fannie and Freddie stamped the sub-prime mortgages full faith and credit of the USA.

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