Sen. Christopher Dodd's proposal to revamp financial market regulation includes provisions that would change the way the Federal Reserve chooses directors at the central bank's 12 regional banks, putting more power in Washington and giving the White House and Senate a say in who runs those banks.

The Fed could fight hard against the provisions, which rewrite the 1913 Federal Reserve Act which gave birth to the modern central bank and subsequent rewrites in the 1930s.

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