It's been in the works for over a week now, but it's now official. Senate Banking Committee Chairman Chris Dodd and his Republican counterpart Richard Shelby have agreed to final language on a section of financial reform legislation regarding the unwinding of failed firms. The development could speed up progress on financial reform legislation, which had slowed to a crawl as Republicans awaited a final announcement.
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The deal does away with a proposed $50 billion fund, raised by assessing a fee on big financial institutions, which would have been used to help liquidate systemically significant, insolvent firms.
That fund, as Dodd said on the floor this afternoon, "was opposed by the Obama Administration."