Senate leaders were expected to vote Wednesday evening on their version of the $700 billion financial bailout package after compromising on a series of tax breaks and increasing the limit on insured bank deposits.
The Senate model of the Wall Street rescue plan included a $250,000 cap on FDIC-insured bank accounts, up from its previous level of $100,000. Toward that end, the Senate bill would allow the FDIC to borrow unlimited amounts of money from the Treasury in connection with the larger deposit coverage that would extend until the end of next year.
The vote will also include the Senate’s version of an extension to a series of renewable energy and other business tax credits.
In addition, the bill includes relief from the Alternative Minimum Tax, and a "Mental Health Parity" provision, which would require health insurance companies to cover mental illness at parity with physical illness.
The add-ons are intended to gain more votes in the House, which defeated an earlier version of the bailout on Monday by a 228-205 margin. Roughly two-thirds of the House Republicans rejected the bailout.
Should it pass it in the Senate, the bill will mostly like go for another House vote in an effort to send the legislation to President Bush by Friday.
As press time, the vote was to be held at after sunset at approximately 7:30 in observance of Rosh Hashanah.
