Test vote today in the U.S. Senate for financial services regulatory reform

Posted by AzBlueMeanie:

Comedian Will Durst captured the Republicans' bipolar response to financial services regulatory reform perfectly. Will Durst's response to 'Open Mike, April 24-25':

Hard to feel much sympathy for the Republicans and the sloppy pool of tizzy they high-dived into. Perplexed as how to combat financial regulatory legislation, they are bouncing back and forth between a filibuster and a compromise like a ping-pong ball in a stainless steel shower stall. Their banker buddies have pushed hard to oppose any and all restrictions, placing the GOP in the unenviable position of having to defend Wall Street during an election year. Might want to practice by going to Sea World and rooting for the sharks to eat the dolphins in front of your kids.

Senate Majority Leader Harry Reid has scheduled a test vote today on a motion to proceed with financial services regulatory reform. We already know that Arizona's twin embarrassments, Senator Obstruction, Jon Kyl, and Senator McNasty, John McCain, will vote with their banker buddies on Wall Street and for obstruction of banking reform in the Senate. But are there one or two Republicans with a conscience and a soul left to vote to proceed and break Senate Minority Leader Mitch McConnell's filibuster?

Blogger mcjoan at Daily Kos has the pregame commentary. Reid Going Forward with Financial Reform: 

As of yesterday, Republicans were still saying they would block financial reform, but the cloture motion to proceed vote still goes forward today.

Senators will face a crucial test vote Monday that could clear the way for debate on far-reaching legislation to overhaul the nation's financial regulatory system — or end in a partisan standoff — as Wall Street once again takes center stage on Capitol Hill….

Senate Republicans said Sunday they plan to block efforts to move forward with an overhaul bill unless Democrats alter central elements of the legislation. Meanwhile, Democrats and Obama administration officials spent much of the day finalizing strict new rules to rein in the huge derivatives trade, including measures that could threaten profits at some of the biggest banks.

Despite optimism on both sides that a bipartisan compromise will emerge, the lack of a deal has increased the chances of at least a temporary showdown between the two parties.

Democrats need support from at least one Republican to reach the 60 votes required to overcome a filibuster and proceed with formal debate on the bill. Republicans angling for changes do not appear ready to relinquish that bargaining chip.

The bill will include most of the provisions from the Lincoln derivatives bill, and "could dramatically reshape several critical markets and deprive large financial firms of a major source of revenue. The source said a controversial provision to ban big Wall Street banks from trading in derivatives would remain, despite initial objections from administration officials."

According to Robert Kuttner, a bipartisan deal has been discouraged by both House Financial Services Chair Barney Frank, and by President Obama.

Although Senate Banking Committee Chair Chris Dodd and his sometime Republican ally Richard Shelby continued to make noises on the Sunday talk shows about a possible bipartisan deal, both President Obama and House Financial Services Chairman Barney Frank have personally urged Dodd not to cut a deal with Republicans. I asked Frank point blank why Dodd would want such a deal, and he said–on the record–"I have no idea, but both President Obama and I have urged him not to."

This is a welcome sign that Obama realizes that public opinion is moving in the direction of tougher banking reform, and that he learned from the health debate that bipartisan compromise on key reform issues is a snare and a delusion. Kudos to Chairman Frank and to the President….

If Dodd avoids such a deal, my hunch is that several Republicans will not support the filibuster and that debate will proceed. And once it does, there will be several votes on key strengthening amendments. These will also put Republicans in a bind.

Senator Chuck Grassley supported the Lincoln bill in the Agriculture Committee. Will he now join Snowe and vote to add it to the reform bill? How could Grassley vote to strengthen the derivatives position, but vote to block taking up the whole bill?

We'll find out today.

Game on.

UPDATE: A new ABC News/Washington Post poll suggests that Democrats can move forward on financial reform with the confidence that the public stands behind them.

Sixty-five percent of respondents said they support "stricter federal regulations on
the way banks and other financial institutions conduct their business."

The public seems to have made up its mind about who to trust on
reform: 52% say they trust President Obama to reform the system, while
just 35% say they trust the Republicans in Congress to do a better job.

The Democratic advantage extends to the all-important independent
voting bloc. Independents said they trust Obama over the GOP on
financial reform by a margin of 47-35, with 16% saying they trusted
neither side to handle the issue.

The poll shows majorities of all voters support the specifics of the
Democratic proposals, including the plan for a bank-funded fund to pay
for breaking up failing banks in the future as well as proposals to add
government oversight of how banks award loans to customers.

The poll of 1,001 Americans was conducted Apr. 22-25 by telephone, and has a 3% margin of error.