history will show whether republicans like richard shelby were right to warn the bill will cut off credit when the economy needed it most. >> this bill, i believe, is a job killer and will saddle americans with billions of dollars in hidden taxes and fees. >> reporter: the dodd-frank bill changes the way wall street does business, limiting risky trading, bringing more transparency and oversight to complex financial contracts known as derivatives. it also empowers regulators to step in earlier, to close down failing banks, and to police risk across the entire financial system. consumer activist travis plunkett says the new consumer financial protection bureau will become a household name. >> they're going to be out there stopping scams, stopping abusive practices, educating consumers, handling complaints, talking to the public, talking to the media about the latest problems in the financial services marketplace. >> reporter: some analysts argue this bill also marks a turning point away from an economy driven by finance to one that is more focused on making things. but to do that, regulator

. >> richard shelby, the senior republican on the banking committee thinks differently. >> it creates vast new bureaucracy with little accountability and seriously, i believe underminds the competitiveness of the american economy. >> wall street has been under a cloud of uncertainty for about three years. does the dodd, frank financial overhaul dispel that cloud? >> no, it doesn't, john. they didn't deal with too big to fail. they didn't really get the casinos out of the banks. ey got an enormous number of new regulations. the thing is half the size of the king james bible. it is confusing. businesses are upset about it. it's on core with obama care. it's online with that, which is a gigantic increase in the power and control of government and i don't think people think it's going to do anything good. >> how many new regulations? >> thousands. >> 243. how big are they? >> how big are they? >> yes. >> they're big. >> some of them are hundreds of pages in length. >> read it before you condemn it. eleanor. >> it's a big country, you need a lot of regulations. you need a list, and you hav

. >> reporter: one of the biggest critics was republican richard shelby. today, he still thinks the out was a s a mistake. >> the american taxpayers are still on the hook, will always be on the hook. still on the h a lot of this money will never this money w >> reporter: he's actually right about that. the bush administration gave the bu n, nothan $25 billion, no strings attached, to bailout gm and chrysler. and and nobody expects that money to torepaid. st they have already started repaying some of the $60 billion from the obama administration's administration's x payerstreasury department says backyers will get back every penny of that money, eventually. t the gm plant today, the president took a little drive in a soon to be released $41,000 .hevy volt. t?d why not? he is, after all, the company's eholder.shareholder. t is at is a dirty word these ays, but this is one bailout the white house makes no nologies for. ,n fact, next week, the president will visit yet another uto plant, and diane, take credit for more jobs, he says, jobs, hve been saved. you,

nonetheless, richard shelby -- this has been his argument for a couple weeks -- that there could have been a bill that would have gotten 80 votes. it would of been more bipartisan. there was a time when we thought this would be the one issue where this would be bipartisan support. it did not turn out that way. dick shelby is the one who has been boasting that most frequently lately -- voicing that most frequently lately. he held up that hope. >> what is next for the administration or democrats in congress in terms of financial legislation of any kind? what is on their radar screen? >> they are looking toward housing, housing policy, and looking at fannie mae and freddie mac. the two housing giants that were not dealt with in this bill. you have the deputy treasury secretary alluded to an upcoming -- to fix those two agencies. that is something that republicans really pushed for throughout this process. there were very upset that those mortgage companies were not addressed, their housing practices, saying that was at the root of the current economic crisis. i think we are looking forwa

. >>> we're going to turn to financial reform legislation to senator richard shelby. he is coming to us from london this morning. he missed the uake senator, ye y this bill is a 2,page legislative monster. does that mean that you, like the house republicalead, john bner, to t? >> we would like to repeal it. but i think what we have to do now is change the political landscape. and that will probably begin in november, george. we have to wait and see. but this is not a big victory for the american people. this bill is not real reform because we ignored the reform of fannie mae and freddie mac. we did not do very much of anything, to speak of, dealing with the rating agencies. we have empowered a lot of the regulatory bodies that failed us before. and the question is, what have they learned? and it's not going to create jobs, which we desperately need. it's going to cost jobs. it's going to hurt the economy, not help. >> you say it's going to hurt the economy. president obama said yesterday, unless your business depends on cutting corners or bilking customers, you have n

. >> senators christopher dodd and richard shelby's debate on the immigratiosenate finance bill on thursday. we will talk about worker safety and the administration's new plan to combat hiv aids. live at 10:30 eastern, a brookings institution discussion by u.s.-israel security and cooperation. the senate yesterday passed the financial regulations overhaul bill, 60-39. the bill's supporters said but restricting certain practices and expanding consumer protection it will prevent another economic meltdown. part of the debate included comments from banking committee leaders. this is a half an hour. dispensed with. the presiding officer: without objection. mr. shelby: madam president, i rise today to offer some remarks on the dodd-frank regulation conference report which is now before the senate. madam president, nearly two years ago, the financial crisis exposed massive deficiencies in the structure and the culture of our financial regulatory system. years of technological advances, product development, and the advent of global capital markets rendered the system ill-suited to achieve its missi

senators chris dodd and richard shelby. the senate judiciary committee votes on the supreme court nomination of elena kagan next thursday. members were scheduled to consider the nomination this week, but committee republicans asked for a week's delay. live coverage on c-span 3 at 10:00 a.m. eastern. . . >> good morning, everybody. we have been advised by the floor that there will be of vote on financial reform legislation. so while we are awaiting the arrival of lisa jackson, i am going to move ahead with the hearing. we are so pleased that dr. barry robinson is here from noaa. when he concludes, hopefully ms. jackson is here. if not, we will go forward to hearing our very able administrator from epa, whom i traveled to the golf with. this hearing will mel come to order. it is the official hearing of the commerce -- in this hearing will come to order. the purpose of the hearing is to determine what is it that we dispersants.is perso what is the impact is having on people, on real life, and on communities. what do we know it

thanks to oppositionç from richard shelby, the ranking member on the senate banking committee, thereailout. but that is just emblematic of the haste with which this legislation was drawn together, and i think this legislation, if they took more time on that, see further improvements. host: next call, sarasota, florida. republican line, greg. guest: i just wonder what you thought the fairness act effect was on the financial meltdown. guest: this was a law that required -- i should not say required, but strongly encouraged banks to make loans to increase loans to low income communities, to maintain as a percentage of their portfolio such loans. and the question is whether or not that encouraged banks to lower their living standards, to make home loans, for instance, to people that might not have been the best credit risks. i think the cre was a contributing factor but i do not think it was the primary factor. it worked in concert with a number of other regulations and government efforts to subsidize home ownership that fueled the deterioration of lending standards that led to so many b

thanks to oppositionç from richard shelby, the ranking member on the senate banking committee, there, to maintain as a percentage of their portfolio such loans. the question is whether or not that encouraged banks to lower their lending standards to make home loans, for instance, to people that might not have been the best credit risks. i think the cra was a contributing factor but not a primary factor. i think it worked in concert with a number of other regulations and government efforts to subsidize home ownership that fuelled the deterioration of lending standards that led to so many bad loans being made. i think almost more important than the community reinvestment act is we go back and look at some of the things the clinton administration was doing with respect to fannie mae and freddie mac. pushing the two to make homeownership and particularly low income home ownership a bigger part of their portfolio, pushing them to lower their standards so that more low income people could qualify for loans. discontinued -- the bush administration was also guilty of this. --- this continued

let's take a look at what richard shelby had to say about it. he is the top republican on the senate banking committee. >> banks would generally pay dividends on the government equity investments at rates ranging from 1% to 5%. the current market yield on such investment hires is between 7% and 8%. is anybody, madame president, that find themselves nabhan participating could be at a disadvantage. -- not participating could be at a disadvantage. in effect, we are taxing small business owners to pay banks to lend to small businesses. even worse, madame president, the government's equity in president -- equity investments would be subordinated to all existing debt. and if the bank fails, existing creditors would get paid before the government and taxpayers would again take a hit. i believe the american taxpayers have lost their appetite for bank bailouts. host: senator shelby on the floor last week. steve verdier, the executive vice president of the independent community bankers association. what is your reaction? guest: he covered an awful lot of

thanks to oppositionç from richard shelby, the ranking member on the senate banking committee, theref the haste in which this legislation was thrown to get there. if they took more time on the legislation, it could see further improvement. host: next call on the republican line. >> i was wondering what effect is of fairness and housing act have on the financial meltdown. guest: what you are referring to is something called the community reinvestment act. is it similar to that? host: i did that his point. guest: -- i think that is his point. guest: this law strongly encourage banks to make loans to increase loans to low-income communities to maintain as a percentage of their portfolio such loans. the question is whether or not that encouraged banks to lower their lending standards and make home loans, for instance, to people who might not have been the best credit risks. i think the cra was a contributing factor but not a primary factor. it worked in consort with a number of other regulations and government efforts to subsidize home ownership that fueled the deterioration of lending s

ranking member, richard shelby, took the floor to discuss the bill. this is just under 30 minutes. on the dodd-frank regulation conference report which is now before the senate. madam president, nearly two years ago, the financial crisis exposed massive deficiencies in the structure and the culture of our financial regulatory system. years of technological advances, product development, and the advent of global capital markets rendered the system ill-suited to achieve its mission in the modern economy. madam president, decades of insulation from accountability distracted regulators from focusing on that mission. instead of acting to preserve safe and sound markets, the regulators primarily became focused on expanding the scope of their bureaucratic reach. and after the crisis which cost trillions of dollars and millions of jobs, it was clear that significant reform was necessary. but despite broad agreement on the need for reform, the majority decided it would rather move forward with a partisan bill. the result is a 2,300-page legislative monster i believe before us that expands t