An amendment offered by Senator Chris Dodd (D-CT) to the Restoring American Financial Stability Act (S. 3217) has been adopted by a vote of 63-36.
It would require “the Secretary of the Treasury to conduct a study on ending the conservatorship of Fannie Mae and Freddie Mac,” according to the Senate Periodical Press Gallery.
An amendment offered by Senator John McCain (R-AZ) was defeated by a vote of 43-56.
It would put in place “an orderly transition period to end the conservatorship of both Fannie Mae and Freddie Mac and eventually requires each to operate – without government subsidies – in a fair and equitable manner with private sector competitors,” according to a press release.
Read more about what the “conservatorship” term means for these two entities here.
(credit image – obx market report)