Senate Leader Optimistic Revived Bill Will Pass... Tax Breaks, Increased Deposit Softening House GOP Opposition...
http://www.huffingtonpost.com/2008/10/01/hoyer-blunt-hopeful-of-pr_n_130769.html
Treasury Could Loan Unlimited Amounts To FDIC... White House Lobbying Hard: "Critically Important We Approve Legislation This Week"
http://online.wsj.com/article/SB122286874792094117.html
Summary Of Updated Bailout Plan
http://www.cnbc.com/id/26972719
The AP reports that Congressional leaders are optimistic the revised bill will clear both houses late this week, in large part due to the addition of tax breaks and a raise in the limit of federally insured deposits to $250,000:
The Senate pushed toward passage Wednesday of a $700 billion financial industry bailout, and opposition to the package among House Republican conservatives appeared to be softening as well, thanks partly to a provision to increase insurance for people's deposits.
Congressional leaders from both parties said they were hopeful that a new version of the rescue plan could be cleared late this week despite its stunning House defeat on Monday that sparked a historic stock sell-off. House Democratic leaders tentatively planned a Friday vote...
...The revised package to be voted on in the Senate also would add $100 billion in tax breaks for businesses and the middle class besides temporarily increasing the deposit insurance cap from the current $100,000 to $250,000. Meanwhile, the Securities and Exchange Commission has said it is easing the accounting rules in some cases.
In an extraordinary power play, the leaders of the Senate are trying to "force the House's hand' by voting on this bill even though the House rejected it earlier. It is unclear how receptive the House will be to such a move, even Democrats:
The strategy is risky because some House members might see it as a high-handed move by senators. Senate passage of a bailout measure has seemed assured all along. The showdown is in the House, but now the Senate is trying to force the House's hand.
Sen. Charles Schumer, D-N.Y., called it "a brilliant move" that will "help pick up votes on both sides of the aisle."
House Speaker Nancy Pelosi's reaction was much cooler. "The Senate has made a decision about how to proceed and what can pass that body," the California Democrat said. "The Senate will vote tomorrow night, and the Congress will work its will."
The bill that failed in the House on Monday would have passed had 12 congressman had voted the other way. About 60 percent of House Republicans voted against the bill; Politico has a rundown of 12 House GOP members who voted against the bill and what it may take to change their minds:
Rep. Rodney Frelinghuysen (R-N.J.)
According to one senior GOP aide, Frelinghuysen was a yes but reversed his vote at the last minute. Afterward, Frelinghuysen called for more hearings and debate on the bill, saying, "We have not adequately consulted, deliberated and explained this to the American public and our constituents."
Rep. Jim Ramstad (R-Minn.)
A retiring moderate Republican, Ramstad could have voted for the bill without worrying about a voter backlash in November. But he complained that the rushed debate had left "the final cost to taxpayers ... uncertain" and said he would prefer an insurance plan to a bailout.
Rep. John B. Shadegg (R-Ariz.)
Although John McCain's campaign said he was working to rally House GOP support, not a single Republican from McCain's home state voted for the bill. Shadegg wants changes in mark-to-market accounting rules and an increase in Federal Deposit Insurance Corp. limits.
Read the full list of 12 here.
The White House is lobbying furiously for the new bill's passage, and they're dire language has not softened at all: