Politics on the Hudson

WASHINGTON – Sen. Hillary Rodham Clinton supports a possible Wednesday vote by the Senate to approve the $700 billion bailout plan for Wall Street if that helps build momentum for the legislation defeated Monday in the House.

Senate Majority Leader Harry Reid, D-Nev., has indicated the Senate has enough votes for passage.

In a conference call with reporters, Clinton said she favors adding language that would allow bankruptcy judges to rewrite the terms of mortgages, but “the Republicans tell us it is a deal breaker.’’

Clinton said negotiators who make further changes to the plan to gain additional votes must be careful to not lose the support of other lawmakers with their changes.

One change that might gain votes: increasing the limits on FDIC insured accounts from $100,000 to $250,000.

The credit crisis already has spread to other sectors of the New York economy.

Clinton said she’s been told by one unidentified home builder he’s laid off 2,000 employees. She also pointed to a seasonal business in Westchester County that hasn’t been able to obtain the credit needed for its Christmas inventory.

“I’m really worried about the overall economy,’’ she said, adding, “We are facing a very serious economic slowdown.’‘

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