* WASHINGTON (2/15/10)--If a regulatory reform bill is not enacted this year, Sen. Richard Shelby (R-Ala.) may lose his chance to crack down on the Federal Reserve, according to financial observers. Shelby has voiced his intent to cut the Fed “down to size,” arguing that it failed to stop the financial crisis and therefore should lose its supervisory powers, said American Banker
(Feb. 12). Sen. Christopher Dodd (D-Conn.) has been working on a reform bill with Shelby, but negotiations between Dodd and Shelby have broken down. Dodd said he will work on legislation with Sen. Bob Corker (R-Tenn.). While the Senate may support provisions to cut the central bank’s power, it’s likely the Fed’s political power will increase as the financial crisis goes away. Also, if Shelby supports a reform bill, it may be because he wants to strip the Fed of its power, Banker
said ... * WASHINGTON (2/15/10)--Calling for a ban on proprietary trading is too difficult, said Sen. Mark Warner (D-Va.). Last month, President Barack Obama proposed banning the trading, an action referred to as the Volcker Rule after former Federal Reserve Board Gov. Paul Volcker, who championed the idea (American Banker
Feb. 12). Warner is working on reform legislation with Sen. Bob Corker (R-Tenn.) He said the trading would be addressed in other legislation or through regulatory structure changes ... * WASHINGTON (2/15/10)--Credit unions interested in national disaster preparedness rules can comment on the Federal Emergency Management Agency’s draft National Disaster Recovery Framework
. The framework is intended to work with the National Response Framework to provide organizing constructs and principles focused on disaster recovery (Federal Register
Feb. 12) ...