Moments ago, the Senate Banking Committee passed, by party line vote of 13-10, the Restoring American Financial Stability Act of 2010, and the accompanying manager's amendment incorporating a few of the several hundred amendments provided by Democratic and Republican Committee members. Chairman Dodd indicated that Senators will have the opportunity to have their amendments debated when the bill is considered by the full Senate. Ranking Member Richard Shelby (R-AL) acknowledged Chairman Dodd's efforts to craft financial regulatory reform legislation, but noted that "it still falls short of ending bailouts and the associated moral hazards."

Treasury Secretary Geithner commended Chairman Dodd for "his leadership over the past year and his Committee, which today voted a strong reform bill to the floor," and indicated that Treasury "look[s] forward to working with the full Senate to pass a bill that provides strong protection for consumers, strong constraints on risk taking by large institutions, and strong tools to protect the economy and taxpayers from future crises."  

Update: Alston & Bird has prepared an advisory that notes the more important changes to the Dodd bill that were made by the manager’s amendment and highlights the broader issues that will have to be resolved if the Senate is to approve a bill.