The word in Washington, D.C., is that the SEC and the CFTC may not be getting the big increase in funding that politicians had promised.  Both regulators were set to receive more appropriations - $1.3 billion for the SEC, an 18% increase;  $286 million for the CFTC, up 69% - which had been earmarked for hundreds of new staff positions and technology upgrades. 

Time's running out, though, on a Senate deal to approve the increases, making it likely that both will have to "make do with" 2010-level funds.  And chances of getting the increases approved in 2011 look even worse, with Republicans taking over the House, while vowing to rein in spending.  A GOP aide said: House Republicans question whether the SEC should get more money when it failed to head off the financial crisis. 

C-I Note:  Can't say we agree with the GOP's assessment of the SEC - placing undue weight on the Commission's past failures.  After all, it's common knowledge that "past performance is no indication of future results.  And with Mary Schapiro at the helm, and a new aggressive staff in place, the SEC looks like it can reach heights it hasn't seen for years.

That said, C-I advises its members to remain calm and collected, because it's probable the regulators will get their needed funding.  Question is:  how much will the "laissez-faire" Republicans want in exchange for their support of the federal regulators, as well as others that are in line to receive government funding.   [WSJournal, 12/17]