More details as we get them, obviously.
WASHINGTON (AP) – Warned that time was running short to bolster the distressed economy, congressional Republicans and Democrats reported agreement in principle Thursday on a $700 billion bailout of the financial industry, and said they would present it to the Bush administration in hopes of a vote within days. UPDATE: Via Jake Tapper and Hot Air, some tentative details:
The group broadly agreed there was a need for:
1) a panel to conduct oversight of how the vast sums of taxpayer cash are spent; 2) taxpayer protections — a way for taxpayers to receive some equity, through warrants, in the companies receiving government aid; 3) limits on executive compensation for officers of the companies receiving government aid — regarding golden parachutes, bonuses based on erroneous earnings (or “clawback”), and tax deductions for bonuses; 4) but a source tells ABC News that there was a problem resolving the issue of how to help homeowners facing foreclosure. Democrats want to re-write bankruptcy laws to enable judges to re-negotiate mortgages; Republicans do not.
I fully expect the Democrats to win on 4): politically speaking, it’s a gold mine, or maybe a vote mine. It’ll also result in lawsuits by homeowners who aren’t in bankruptcy but who would like a judge to give them a mulligan on their mortgage terms, but that’s going to be a fun topic for 2011. Anyway, this will go to Paulson, and then we’ll see what’s what.
[ANOTHER UPDATE]: Boehner’s making waves.
House Minority Leader John A. Boehner , R-Ohio, bristled early in the day at suggestions a deal was at hand. “As I told our Conference this morning, there is no bipartisan deal at this time,” he said. “There may be a deal among some Democrats, but House Republicans are not a part of it.”
By midday, however, Boehner’s tone had moderated. “The Speaker and I have worked together to try and craft a bipartisan plan that will pass the House,” Boehner said.