The 2010 Dodd-Frank Act gave responsibility to the Financial Stability Oversight Council to identify several nonbank financial companies as systemically risky.

After missing several deadlines, regulators appear ready to name the first group of nonbank financial firms.

The FSOC will meet Monday and is expected to vote on designating at least three firms as systemically important financial institutions. The council, headed by Treasury Secretary Jacob Lew, will be joined by 15 members of the interagency group, including Federal Reserve Board Council Chairman Ben Bernanke and Federal Deposit Insurance Corp. Chairman Martin Gruenberg.

The council is being cautious with their designations and wants to ensure that they are legally binding and cannot be successfully challenged in court.

"For it to have taken three years to reach this uncertain stage of finalizing one of the most important planks of Dodd-Frank undermines the framework," said Karen Shaw Petrou, a managing partner at Federal Financial Analytics Inc. "The cost of caution has been very high."

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