FOX News has just obtained a "roadmap" for how the financial crisis bill will move through the House.
The highlights of the House Financial Services document are that the bill will not go through the regular legislative path. Federal Reserve Chairman Ben Bernanke and Treasury Secretary Henry Paulson will testify at a "marquee" hearing before the House Financial Services Committee Tuesday.
Here is the "roadmap" ...
(1) Bernanke and Paulson will now be testifying this Wednesday on their intervention and treasury proposal. Thursday’s hearing will still be on Fan/Fred Conservatorship but will only feature HUD, 2 new CEOs, and Lockhart. Bernanke and Paulson will testify before the Senate on Tuesday on intervention and treasury proposal.
(2) We will not mark-up new legislative proposal – it will most likely be a part of the CR.
(3) Proposed legislation: will purchase illiquid financial assets that are clogging institutions – will not be limited to MBS and will be done through reverse auction process.
(4) The duration of window opening for bidding will be short, while the duration that the government will hold on to these securities will most likely be relatively long so we can maximize returns to taxpayers.
(5) Dem and Rep leadership have agreed to move quickly on legislation and in a bipartisan way.
(6) This is a global problem that we must solve with governments all over the world – must deal with root-cause and not continue to patch problems as we have been doing.
(7) There will be no add-ons to legislation a.k.a. amendments.
(8) Do not expect the authority to be much broader than purchasing securities.
(9) REP leadership and RM: let’s not seek political leverage, let’s get our economy back on track.
(10) Dem/Rep FSC Staff expect to get Treasury proposed legislation late this evening or late tomorrow evening. It will be the starting point – if Frank/Dodd are not happy they hope to negotiate over the weekend.
(11) Bernanke and Paulson came to Congress because they believe that they need Congressional authority to do this.
(12) As far as budgetary concerns – they are already working with CBO. Note - - these are appropriated funds we will be approving. There will be a CBO score, but naturally they have to wait for legislative language. However, CBO must take into consideration expenditure vs. purchase and assets.
FOX News' Chad Pergram contributed to this report.