Dodd Declines Kennedy's Committee, Stays as Chairman of Banking

Sen. Chris Dodd announced he won't be stepping into the Health, Education, Labor and Pensions Committee chairmanship vacated when Sen. Edward Kennedy died of cancer.

Instead, Dodd, D-Conn., will keep his job at the helm of the Senate's Banking, Housing and Urban Affairs Committee as it digs further into financial reform efforts in this session.

"I have had the opportunity this year to work on two issues that are both close to my heart and critical to the people of Connecticut: reforming our health care system and helping our nation recover from this economic crisis," Dodd said in a statement. He said the banking committee's work is of "vital importance" to his state. "Under my chairmanship, we have worked to protect consumers from greedy credit card companies and sleazy lenders -- and we have more work to do, to create an independent consumer financial protection agency."

As the now-senior senator on the health panel, Dodd had the option to replace his closest Senate friend, Kennedy, D-Mass. In the past, Dodd has talked about that committee's work being closest to his heart. But he instead elected to continue running the banking panel, which he took over two years ago. The banking committee is the oversight committee for congressional regulation of the insurance industry.

"Both he and his staff have a strong working knowledge of the issues and challenges facing our industry, and this choice demonstrates his commitment to delivering meaningful reform," Leigh Ann Pusey, president and chief executive officer of the American Insurance Association, said in a statement after the announcement.

The health committee will instead be led by Sen. Tom Harkin, D-Iowa, who will give up his post as chairman of the Agriculture, Nutrition and Forestry Committee. However, Dodd is expected to remain at the center of the health care debate in the Senate, still shepherding the reform bill that Kennedy authored. Kennedy had asked Dodd to handle the bill in his absence as he sought treatment for a brain tumor.

"We all had hoped that Teddy would be able to come back to see this through," Dodd said. "Unfortunately, that wasn't possible. But I intend to keep the promise I made. And so, I am pleased that I will be able to continue the role he asked me to take on as the HELP Committee?s leader on health care reform." The senator -- who is also approaching a difficult 2010 re-election campaign under the shadow of headlines in recent month about his personal financial dealings -- said he would be facing "well-financed special interests fighting for the status quo."

Dodd has also suffered from his own medical issues. He recently underwent surgery to treat prostate cancer.