Senate Approves Altered $700 Billion Packageby Tim Manni
In a 74-25 vote, the US Senate approved their version of the $700 billion plan. New key components of the Senate’s plan include an increase to the FDIC’s insurance limits, a change to fair-value accounting rules, and a 10 year, $150.50 billion package of “unrelated and personal tax cuts:”
The 10-year, $150.5 billion package of tax proposals includes a measure to ease the bite of the alternative minimum tax, as well as research-and-development tax credits coveted by high-tech companies and drug makers. Its addition is designed to secure the support of Republicans, who were overwhelmingly opposed in the House. But it could irk conservative House Democrats because the measure will add to the deficit.
The main thrust of the Bush administration’s original legislation has remained untouched. The bill’s main design is to still buy up hundreds of billions in bad debt that have thrown a debilitating monkey wrench into the financial system.