What’s the Story with Financial Reform?

It appears that the Senate is going to wrap up it’s debate and voting on Financial Regulatory Reform this week, though that’s far from certain and observers of the institution can make a strong case that finishing up next week, with Memorial Day recess as the hammer, is likely as well. Regardless, as we head into the final stretch, it  makes sense to take stock of where the legislation lies and what’s on the horizon.

The Washington Post is reporting that the end of the debate is nigh, and that the legislation appears on track to be a major victory for Obama and appears to be very close to what the President initially requested.

Damian Paletta of the WSJ has a sharp look at some of the “high-stakes amendments” that are yet to be decided by the Senate. Here’s one that I think will be really interesting to watch:

3) Brownback: Sen. Sam Brownback (R., Kan.) is offering one of the most anxiously awaited amendments, which would prohibit a proposed Consumer Financial Protection Bureau at the Federal Reserve from enforcing new rules against auto dealers. The White House is trying to kill the amendment, but the vote is expected to be very close. Auto dealers argue the financial-overhaul bill would unfairly punish them for mistakes made by Wall Street.

It’s been fascinating to watch the gyrations over the Consumer Protection Agency thus far, but by and large the original proposal as put forward by Senator Dodd has stayed intact. There’s still much to be decided, but if the Senate bill as it currently stands is the baseline and a final compromise will live in between that version and the House version, as decided in conference, then consumers will have much to cheer from this legislation.