This vote was on passing a bill that would set additional conditions on the use of the second $350 billion installment of funding provided by a 2008 law.  The law, which doled out a total of $700 billion in two increments, was originally intended to help stabilize business and credit markets by purchasing troubled mortgage assets, thereby taking them off the accounting books of banks and businesses.  But Bush administration Treasury secretary Henry M. Paulson Jr. soon shifted the focus to making massive direct investments in banks without the sort of restrictions lawmakers said were needed to ensure taxpayers’ money was wisely spent; this bill was in part an attempt to impose some of those restrictions on the funds that had already been spent, as well as any future bailout funding.

The measure would require the Treasury Department to spend between $40 billion and $100 billion for helping mitigate the effects of home foreclosures.  It also would authorize Treasury to use portions of the approved funding to help domestic automobile manufacturers.  Additionally, it stipulates that executive compensation restrictions can be applied retroactively to businesses that have already received assistance under the program.  It also institutes a number of reporting requirements that were not previously in place.

Barney Frank, D-Mass., said the bill was largely symbolic because he did not believe the Senate will pass it.  However, he said the measure sets a marker of House sentiment, and will “strengthen our hand in making sure that Treasury does what we think is necessary — even if it doesn’t become law.” 

Republicans spent much of the time railing against the 2008 bailout law and making unsuccessful attempts to divert the money to other programs, or defund what was left. 

By a vote of 260-166, the House passed the bill.  Of Republicans present, 18 voted for the bill and 156 voted against it.  Of Democrats present, 242 voted for the bill and 10 voted against it.  The end result is that the House passed a bill that would set new conditions on $350 billion in financial bailout money and sent it to the Senate for its consideration.