{"id":521,"date":"2008-09-28T10:36:41","date_gmt":"2008-09-28T14:36:41","guid":{"rendered":"http:\/\/www.jasetaro.com\/blog\/?p=521"},"modified":"2008-09-28T19:01:06","modified_gmt":"2008-09-28T23:01:06","slug":"bailout-deal-reached","status":"publish","type":"post","link":"https:\/\/www.jasetaro.com\/blog\/2008\/09\/28\/bailout-deal-reached\/","title":{"rendered":"Bailout Deal Reached?"},"content":{"rendered":"

The Wall Street Journal is reporting<\/a> that lawmakers reached a tentative bailout deal overnight:<\/p>\n

Top U.S. policy makers emerged from hours of tense negotiations with a clear message just after midnight Sunday morning: A deal to bailout U.S. financial markets has been agreed on and all that remains to be done is to commit the legislation to paper.<\/p>\n

Treasury Secretary Henry Paulson, House Speaker Nancy Pelosi (D., Calif.), and Senate Majority Leader Harry Reid (D.), were flanked by key negotiators in the Capitol as they announced that a $700 billion plan to have Treasury buy up toxic assets had been all but finalized after hours of exhausting negotiations.<\/p>\n

“I think we’re there,” an exhausted Mr. Paulson said, a sentiment echoed in the statements of negotiators such as House Financial Services Chairman Barney Frank (D., Mass.) and Senate Banking Committee head Christopher Dodd (D., Conn.).<\/p>\n

Those present said the bailout plan still needs to be drafted in its final form, a process staff members were expected to continue throughout the night in what one aide called a “marathon drafting session” in Ms. Pelosi’s office just off the rotunda in the Capitol building. A formal announcement is scheduled for some time Sunday, though an exact time and location were not immediately available.<\/p>\n

A summary of the tentative agreement released by Ms. Pelosi’s office said the plan “gives taxpayers an ownership stake and profit-making opportunities with participating companies; puts taxpayers first in line to recover assets if a participating company fails; (and) guarantees taxpayers are repaid in full — if other protections have not actually produced a profit.” (See Ms. Pelosi’s summary.)<\/p>\n

Additionally, the summary said the legislation will expand the range of firms that can sell troubled assets to the government to include pension plans, local governments and community banks serving “low- and middle-income families.”<\/p>\n

A House Democratic aide said the government would be able to receive warrants it could hold until maturity from financial firms on assets received either through auctions or through direct purchases.<\/p><\/blockquote>\n

I’ll reserve comment until I see a markup of the final bill.<\/p>\n

Update:<\/strong> Ed Morrissey has more at Hot Air<\/a>… It looks like House Republicans were able to get most of the pork removed from the bill.<\/p>\n

Update <\/strong>(1:50 p.m. eastern):<\/strong> House Republican Whip Roy Blunt’s office has released a side by side comparison<\/a> of the new bill versus the Paulson Plan and the Frank-Dodd bill.<\/p>\n

The new bill does look more palatable but the devil’s in the details… I what to see the final bill and the conference report before I say yea or nay.<\/p>\n

Update <\/strong>(4:10 p.m. eastern):<\/strong> N.Z. Bear @ Porkbusters has the draft bill<\/a>… (H\/T: MM<\/a>)<\/p>\n

Update <\/strong>(6:40 p.m. eastern):<\/strong> Michelle Malkin has an updated draft and a quick and dirty analisys of the bill<\/a>.<\/p>\n

This thing stinks to high heaven<\/a>… Unfortunately I think this bailout has become a necessary evil – the Bush Administration, Congress and the media have painted us into a corner and if this bill doesn’t pass Secretary Paulson’s dire warnings will ultimately become a self-fulfilling prophecy.<\/p>\n","protected":false},"excerpt":{"rendered":"

The Wall Street Journal is reporting that lawmakers reached a tentative bailout deal overnight: Top U.S. policy makers emerged from hours of tense negotiations with a clear message just after midnight Sunday morning: A deal to bailout U.S. financial markets has been agreed on and all that remains to be done is to commit the […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","advanced_seo_description":"","jetpack_seo_html_title":"","jetpack_seo_noindex":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[26,7],"tags":[174,129,161,158,131,175],"class_list":{"0":"post-521","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-economy","7":"category-politics","8":"tag-bailout-plan","9":"tag-credit-crisis","10":"tag-harry-reid","11":"tag-henry-paulson","12":"tag-nancy-pelosi","13":"tag-roy-blunt","14":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/pfpI7-8p","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":490,"url":"https:\/\/www.jasetaro.com\/blog\/2008\/09\/25\/bailing-on-the-bailout\/","url_meta":{"origin":521,"position":0},"title":"Bailing on the Bailout?","author":"Jeff","date":"September 25, 2008","format":false,"excerpt":"It looks like the bailout deal, if there ever was one, is collapsing... Democrats and Paulson are whining. ABC News' George Stephanopoulos Reports: Treasury Secretary Henry Paulson fears the Wall Street bailout deal is falling apart after a chaotic White House meeting, sources say. Paulson walked into the room where\u2026","rel":"","context":"In "Economy"","block_context":{"text":"Economy","link":"https:\/\/www.jasetaro.com\/blog\/category\/economy\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":573,"url":"https:\/\/www.jasetaro.com\/blog\/2008\/10\/01\/senate-passes-crap-sandwich-20-74-25\/","url_meta":{"origin":521,"position":1},"title":"Senate Passes Crap Sandwich 2.0 74-25","author":"Jeff","date":"October 1, 2008","format":false,"excerpt":"From the Wall Street Journal: Senate Passes Bailout Package House Passage Remains Less Certain WASHINGTON -- The Senate's revamped bailout package drew support from 74 lawmakers in a roll call vote Wednesday evening, and the measure will now return to the balky House of Representatives for another vote following its\u2026","rel":"","context":"In "Economy"","block_context":{"text":"Economy","link":"https:\/\/www.jasetaro.com\/blog\/category\/economy\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1051,"url":"https:\/\/www.jasetaro.com\/blog\/2008\/11\/24\/creeping-socialism-bush-defends-citigroup-bailout\/","url_meta":{"origin":521,"position":2},"title":"Creeping Socialism: Bush Defends Citigroup Bailout","author":"Jeff","date":"November 24, 2008","format":false,"excerpt":"I'm at a loss for words here... From the AP via Michelle Malkin: President Bush argued Monday that the government\u2019s dramatic rescue of Citigroup was necessary to \u201csafeguard the financial system\u201d and help the economy recover, and he said there could be more such moves if other institutions need help.\u2026","rel":"","context":"In "Economy"","block_context":{"text":"Economy","link":"https:\/\/www.jasetaro.com\/blog\/category\/economy\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":472,"url":"https:\/\/www.jasetaro.com\/blog\/2008\/09\/25\/a-failure-of-leadership\/","url_meta":{"origin":521,"position":3},"title":"A Failure of Leadership","author":"Jeff","date":"September 25, 2008","format":false,"excerpt":"What I said yesterday about McCain and leadership... Scratch that. My first reaction to John McCain's announcement that he was suspending his campaign and returning Washington to help craft a financial bailout plan was positive. I though it was bold move that could pay huge dividends down the road. This\u2026","rel":"","context":"In "Economy"","block_context":{"text":"Economy","link":"https:\/\/www.jasetaro.com\/blog\/category\/economy\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":580,"url":"https:\/\/www.jasetaro.com\/blog\/2008\/10\/02\/ouch-someones-not-happy\/","url_meta":{"origin":521,"position":4},"title":"Ouch… Someone’s Not Happy","author":"Jeff","date":"October 2, 2008","format":false,"excerpt":"Someone's not happy about the Bush\/Paulson\/Bernanky bailout plan. H\/T: Kathryn Jean Lopez.","rel":"","context":"In "Politics"","block_context":{"text":"Politics","link":"https:\/\/www.jasetaro.com\/blog\/category\/politics\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.jasetaro.com\/blog\/wp-content\/uploads\/2008\/10\/strategerycapital-300x205.jpg?resize=350%2C200","width":350,"height":200},"classes":[]},{"id":477,"url":"https:\/\/www.jasetaro.com\/blog\/2008\/09\/25\/newsflash-wall-street-journal-reporting-agreement-in-principle-is-reached-on-700-billion-bailout\/","url_meta":{"origin":521,"position":5},"title":"Newsflash: Wall Street Journal Reporting Agreement in Principle Is Reached on $700 Billion Bailout","author":"Jeff","date":"September 25, 2008","format":false,"excerpt":"From the Wall Street Journal: Congress reached an agreement in principle on a $700 billion package to bail out the financial industry, leaders from both parties said Thursday. They plan to present the deal to the White House later Thursday, hoping for a vote within days. Lawmakers said there were\u2026","rel":"","context":"In "Economy"","block_context":{"text":"Economy","link":"https:\/\/www.jasetaro.com\/blog\/category\/economy\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/posts\/521","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/comments?post=521"}],"version-history":[{"count":0,"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/posts\/521\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/media?parent=521"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/categories?post=521"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/tags?post=521"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}