Proposal The SEC floats a plan in June to inspect rating company procedures.
Pushback Each of the rating agencies questions the proposal in comments filed with the SEC. Fitch’s general counsel writes that “any oversight should be narrowly tailored so as to recognize the constitutional rights of the rating agencies, which function as journalists.” The year before, Fitch's president told the SEC that “rating agencies are part of the financial media.”
Result The SEC never acts on its idea.

Proposal The SEC explores a voluntary oversight program.
Pushback The rating companies are initially receptive, but balk when the SEC expresses interest in reviewing their internal files, according to Jerome Fons, a former Moody's managing director.
Result The SEC abandons the idea.

Proposal The SEC proposes formal qualifications for becoming a rating agency.
Pushback S&P's president files a comment with the SEC, saying parts of the plan "intrude upon the editorial control that is vital to the independence and creativity of Ratings Services." Fitch’s general counsel files a comment, saying one proposal raises “significant and in our view insurmountable issues of the constitutionality of such an approach.”
Result The SEC never adopts the proposed regulation.

Proposal Rep. Michael G. Fitzpatrick (R-Pa.) champions a bill that would allow the SEC to “take action against” companies that issue ratings in violation of their own internal standards.
Pushback Rating companies object to the proposal-- so do Sen. Charles E. Schumer (D-N.Y.) and Rep. Paul E. Kanjorski (D-Pa.).
Result President Bush signs a compromise bill on Sept. 29, 2006, preventing the SEC from regulating the substance of credit ratings.

Proposal Rep. Barney Frank (D-Ma.) introduces a bill that would require credit ratings to reflect the risk an investor will not be repaid.
Pushback Some rating companies dispatch their lobbyists to discuss the bill. Floyd Abrams, S&P's lawyer, calls the plan “constitutionally impermissible.”
Result Distracted by the $700 billion financial bailout, lawmakers let the bill die. In October 2009, the House Financial Services Committee approves a bill that revived Frank’s plan.  

Proposal SEC wants to require rating companies to disclose more information about how they rate mortgage-backed bonds.
Pushback The rating companies partially object. S&P’s executive vice president files a comment with the SEC, saying one of the commission's proposals "not only violates the commands of Congress, but also well-settled First Amendment protections.”
Result The SEC adopts some of its proposals, but, in the face of complaints, drops others.