Senate To Vote Wednesday On Revised Rescue Plan

Tue. September 30, 2008; Posted: 09:06 PM

Aides said Republican and Democratic leaders agreed to bring the package, which includes an increase in the amount of bank deposits insured by the Federal Deposit Insurance Corporation (FDIC | Quote | Chart | News | PowerRating) to $250,000 from the current $100,000, to a Senate vote.

The package would give the Treasury Department authorization to buy questionable mortgage-related assets from banks in hopes of bringing liquidity back into the credit markets.

In a procedural move, Senate leaders attached the rescue package to a renewable energy business tax credit program that was already on the agenda in the upper chamber.

The package was scheduled to come to a vote at 7:30 PM Eastern Time.

Spokesmen for the John McCain and Barack Obama presidential campaigns said both candidates would return to the Capitol from the campaign trail for the vote.

Approval of a rescue plan has been termed critical by the White House and numerous public and private sector sources for keeping the American economy from sinking into a deep recession and taking many economies around the world with it.

The initial $700 billion rescue plan was rejected by the House of Representatives on Monday, a move that sent U.S. stock markets tumbling. The Dow Jones Industrial Average fell more than 770 points on the news. The Dow recovered somewhat on Tuesday, closing with a gain of 485 points.

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