WASHINGTON — In a surprise bipartisan development, Senate lawmakers announced Wednesday evening that they would begin to debate financial regulatory reform legislation on the Senate floor by unanimous consent, a method that allows the bill to proceed without a cloture vote to limit debate on the measure.
The agreement came after Democrats agreed to allow an open amendment process, allowing for a full debate on the bill by lawmakers from both parties.
“I encourage our colleagues who have ideas...to come forward,” said Senate Banking Committee chairman Christopher Dodd, D-Conn. “We’re going to set up shop over the weekend.”
The agreement was a surprise because earlier in the day, Democrats failed for the third time in as many days to muster the 60 votes needed to move the bill forward for debate in the full chamber, as Republicans sought to negotiate a stronger reform bill prior to debating it on the floor.
In addition, Sen. Richard Shelby of Alabama, the ranking Republican on the Banking Committee, had issued a statement saying that bipartisan negotiations had reached an impasse.
“It’s time to move this debate from the sidelines to the playing field,” said Senate Majority Leader Harry Reid, D-Nev.
Reid said that tomorrow Democrats will offer a substitute derivatives amendment agreed to earlier this week by Senate Agriculture Committee chairman Blanche Lincoln, D-Ark., and Dodd. The amendment merges language approved by both Lincoln and Dodd’s committees.
It includes language that would impose a fiduciary duty on swap dealers when they advise, pitch or enter into derivatives contracts with public entities.
