Yesterday, Senator Christopher Dodd (D-CT), Chairman of the Senate Committee on Banking, Housing, and Urban Affairs, issued "comprehensive" draft financial regulatory reform legislation entitled the Restoring American Financial Stability Act of 2010 and an accompanying summary. The draft legislation is offered as "a substitute" to the Restoring American Financial Stability Act of 2009 Senator Dodd unveiled this past November, and is an attempt to "restore responsibility and accountability in the financial system to give Americans confidence that there is a system in place that works for and protects them." Senator Dodd had been negotiating directly with Senator Bob Corker (R-TN) on various central pieces of the legislation, following a breakdown in negotiations with Senate Banking Committee Republicans, however, Senator Dodd determined that the time had come to "bring[ing] the bill to the full committee", albeit without Republican support.

The draft legislation, which contains eleven separate titles, reworks many of the provisions in last November's draft and further includes many of the elements embodied in The Wall Street Reform and Consumer Protection Act of 2009 (H.R. 4173) passed by the House of Representatives this past December. The Dodd draft legislation was lauded by President Obama, Treasury Secretary Geithner, and House Financial Services Committee Chairman Barney Frank (D-MA). Chairman Frank noted that while there "are some differences" between the House-passed bill and Senator Dodd's draft legislation, they are "more alike than they are different," and that the House and Senate "will be able to work constructively together to meet the public need for a tough, comprehensive bill."

Update: Alston & Bird has prepared the following executive summary of the key differences between the Dodd legislation and the recent House-passed bill. Chairman Dodd has tentaively scheduled an executive session to mark up the draft legislation on March 22, however Committee Republicans have expressed concern over the short time table given that a "markup scheduled in haste" would "certainly" prevent the Committee from "finding common ground" on bipartisan legislation.