Reid has set up another vote for the tax extenders bill, which includes an extension of unemployment insurance.

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The Disclose Act that requires chief political backers to reveal contributions to campaign ads has prompted a diverse set of groups to oppose the bill. 

The right-leaning U.S. Chamber of Commerce and the left-leaning American Civil Liberties Union, normally on opposite sides of just about any debate, have both come out opposing the bill because they contend it tramples First Amendment rights. 

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Don't expect lawmakers to make significant changes to the financial regulatory reform bill, a senior Republican senator said Thursday. 

House and Senate lawmakers are negotiating the final terms of the bill in a conference committee, but Sen. Judd Gregg (R-N.H.), a member of the Senate Banking Committee, said that the fundamental language is probably set despite squabbles some lawmakers have with the final product. 

"Well, there are a lot but they're not going to happen," he told CNBC when asked if more changed need to be made. "This bill is pretty much locked in place, it's going forward."

Gregg's comments come as Democrats are trying to bridge a party divide over strict derivatives language included in the bill by Sen. Blanche Lincoln (D-Ark.) that would restrict trading of the financial products many blame for the 2008 financial meltdown. 

Centrist and New York House Democrats have expressed reservations with the language and plan to negotiate with Lincoln, despite warnings from House Financial Services Committee Chairman Barney Frank (D-Mass.) that the problems do not endanger the bill's chances of passing.  

Democratic leaders, however, want to complete work on the bill and present it to President Barack Obama before the fast-approaching July 4 recess. 

In order to do so, Democrats have reached out to Republican lawmakers for their support. No House Republicans backed the bill but four Senate Republicans helped pass the upper chamber's version in March. 

But Gregg, who voted against the bill, said that the bill has a number of significant problems. 

"It's a bill which not only has the derivatives problems, it has the problems related to capital adequacy, the Volcker rule, which is conceptually an excellent idea, [but] executing that rule is going to cause incredible disruption in the credit markets," he said.

The Senate's tax extenders bill, which includes an extension of unemployment benefits, appears on death's door.

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Senate Democratic leaders have returned the doc fix provision to the tax extenders bill they're trying to push through the upper chamber this week.

The provision, which the Senate passed as a stand-alone bill last Friday, would temporarily reverse a 21 percent pay cut for doctors treating Medicare patients, which took effect this month, replacing it with a 2.2 percent pay hike through November. 

House Democratic leaders have been sitting on the bill in order to pressure Senate centrists to pass the tax package. 

The original doc-fix proposal paid the roughly $6 billion tab by scaling back some hospital reimbursements and allowing businesses to delay payments to pension funds. 

We're waiting to hear from Democratic leaders if those pay-fors have been altered in the latest version of the bill. 

Cross-posted from Healthwatch.

New jobless claims dropped by 19,000 last week, on par with expectations and the largest amount in two months but still not reflecting an improving job market. 

Claims decreased to a seasonally adjusted 457,000 for the week ending June 19, a drop from the previous week's revised figure of 476,000, according to Labor Department figures released Thursday. 

The 4-week moving average, which smooths out the volatility of the weekly number, dropped 1,500 to 462,750, from the previous week's revised average of 464,250.

The advance number for seasonally adjusted insured unemployment during the week ending June 12 was 4.55 million, a decrease of 45,000 from the preceding week's revised level of 4.59 million. 

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If Senator Majority Leader Harry Reid (D-Nev.) cannot get the 60 votes he needs to advance the so-called tax extenders bill, he is expected to bring up a small business package containing loan provisions and tax breaks, sources told The Hill. 

"Our package is being finalized as we speak," a Senate Small Business spokesperson told The Hill. "We're making some last minute adjustments to it working with Senator Snowe... We're hoping to have a final package by the end of the week." 

So far, it remains unclear if Reid will have the votes he needs to move the extender bill, several sources told The Hill. 

The small business bill that is expected to be brought forward will include several provisions expanding Small Business Administration loans. Tax provisions created by the Senate Finance Committee are expected to be merged into the package. Some provisions in the failed extender bill could also be included. 

House lawmakers are pushing hard to include Fannie Mae and Freddie Mac in the Wall Street overhaul bill's definition of companies covered by a new system to wind down failing firms.

In a series of debates between the House and the Senate, lawmakers on the House side are insisting that the two mortgage giants fall under the list of covered financial companies that could be put through a new liquidation system. 

The section of the bill also sets up a system for the Federal Deposit Insurance Corporation (FDIC) to move in as a receiver of troubled companies. The two mortgage giants were bailed out in 2008 and continue to rely on hundreds of billions of dollars in taxpayer aid.

Congressional lawmakers and the Obama administration have not yet detailed new plans for the two companies, and it is unclear what their possible classification as financial companies under this part of the Wall Street bill would mean for their future.

House lawmakers on the conference committee proposed first to add Fannie and Freddie to the list of covered companies. Senators on the committee rejected that push earlier this week.

On Wednesday afternoon, the House side pushed again to include the two firms as part of the list of covered companies.

It was unclear late on Wednesday how the issue would be resolved.

The provision was supported by House Republicans and adopted by the full House side. Rep. Jeb Hensarling (R-Texas) supported the amendment as an effort to treat Fannie and Freddie in similar ways as other financial companies, his spokesman said.

On Thursday, Rep. Barney Frank (D-Mass.) said he was concerned about the impact of the provision, which appeared likely to be removed.

"We have since heard a great deal of distress from our major financial institutions," Frank said. "I think it's a legitimate concern."

Frank said the amendment could lead to perceptions in the market that banks would be on the hook for Fannie and Freddie support.

This post was updated at 9:38 a.m and 10:30 a.m.

Democrats finalizing a 2,000-page bill that would overhaul Wall Street are moving to satisfy a handful of Republican senators.

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