[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2441 Reported in House (RH)]






                                                 Union Calendar No. 596
106th CONGRESS
  2d Session
                                H. R. 2441

                         [Report No. 106-1034]

    To amend the Securities Exchange Act of 1934 to reduce fees on 
                        securities transactions.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              July 1, 1999

Mr. Lazio (for himself, Mr. Reynolds, Mr. Towns, Mr. Cook, Mr. Forbes, 
   Mr. Bilbray, Mr. Largent, Mrs. Kelly, Mr. Baker, Mr. Sweeney, Mr. 
 Engel, Mr. Crowley, Mr. Sessions, Mr. Barton of Texas, Mr. Schaffer, 
Mr. Deal of Georgia, Mr. Riley, Mr. Gillmor, Mrs. Maloney of New York, 
 Mr. Bryant, Mr. DeLay, Mr. Shays, Mr. Meeks of New York, Mr. Pallone, 
  Mr. Burr of North Carolina, Mr. Armey, Mr. Tauzin, and Mr. Hall of 
    Texas) introduced the following bill; which was referred to the 
                         Committee on Commerce

                           December 15, 2000

 Additional sponsors: Mr. Hill of Montana, Mr. Buyer, Mr. Cunningham, 
 Mr. Gekas, Mr. Calvert, Mr. Upton, Mr. Cox, Mr. Owens, Mr. Barrett of 
 Wisconsin, Mr. Barr of Georgia, Mr. Sam Johnson of Texas, Mr. Coburn, 
                 Mr. Rush, and Mr. Franks of New Jersey

                           December 15, 2000

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL


 
    To amend the Securities Exchange Act of 1934 to reduce fees on 
                        securities transactions.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Fairness in Securities 
Transactions Act''.</DELETED>

<DELETED>SEC. 2. FEE REDUCTION.</DELETED>

<DELETED>    (a) Reductions of Fees.--Section 31 of the Securities 
Exchange Act of 1934 (15 U.S.C. 78ee) is amended by striking ``1/300 of 
one percent'' each place it appears and inserting ``1/500 of one 
percent''.</DELETED>
<DELETED>    (b) Prevention of Shortfalls in Commission 
Appropriations.--Section 31 of the Securities Exchange Act of 1934 is 
further amended by adding at the end the following new 
subsection:</DELETED>
<DELETED>    ``(h) Insufficient Fees.--In any year in which the total 
amount of fees collected under this section and section 6(b) of the 
Securities Act of 1933 (including any balance in the account providing 
appropriations to the Commission) are insufficient to provide for the 
Commission's budget authority as provided by an appropriations Act, 
such appropriations Act may provide that the fee under this section 
shall be increased, with all such increased amounts deposited and 
credited as offsetting collections to the account providing 
appropriations to the Commission.''.</DELETED>

<DELETED>SEC. 3. REVISION OF SECURITIES TRANSACTION FEE 
              PROVISIONS.</DELETED>

<DELETED>    (a) Amendments.--Section 31 of the Securities Exchange Act 
of 1934 (15 U.S.C. 78ee) is amended--</DELETED>
        <DELETED>    (1) in the last sentence of subsection (b), by 
        inserting before the period the following: ``, except that 10 
        percent of such fees shall be deposited and credited as 
        offsetting collections to the account providing appropriations 
        to the Commission'';</DELETED>
        <DELETED>    (2) in the last sentence of subsection (c), by 
        inserting before the period the following: ``, except that 10 
        percent of such fees shall be deposited and credited as 
        offsetting collections to the account providing appropriations 
        to the Commission''; and</DELETED>
        <DELETED>    (3) in subsection (d), by striking paragraphs (2) 
        and (3) and inserting the following:</DELETED>
        <DELETED>    ``(2) Deposit of fees.--Fees collected pursuant to 
        this subsection shall be deposited and collected as general 
        revenue of the Treasury, except that 10 percent of such fees 
        shall be deposited and credited as offsetting collections to 
        the account providing appropriations to the 
        Commission.''.</DELETED>

<DELETED>SEC. 4. EFFECTIVE DATE.</DELETED>

<DELETED>    The amendments made by this Act--</DELETED>
        <DELETED>    (1) shall take effect on October 1, 1999; 
        and</DELETED>
        <DELETED>    (2) shall cease to be effective on October 1, 
        2007.</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Fairness in Securities Transactions 
Act''.

SEC. 2. FEE REDUCTION.

    (a) Reductions of Fees.--Section 31 of the Securities Exchange Act 
of 1934 (15 U.S.C. 78ee) is amended by striking ``\1/300\ of one 
percent'' each place it appears and inserting ``\1/500\ of one 
percent''.
    (b) Prevention of Shortfalls in Commission Appropriations.--Section 
31 of the Securities Exchange Act of 1934 is further amended by adding 
at the end the following new subsection:
    ``(h) Insufficient Fees.--In any year in which the total amount of 
fees collected under this section and section 6(b) of the Securities 
Act of 1933 (including any balance in the account providing 
appropriations to the Commission) are insufficient to provide for the 
Commission's budget authority as provided by an appropriation Act, such 
appropriation Act may provide that the fee under this section shall be 
increased, with all such increased amounts deposited and credited as 
offsetting collections to the account providing appropriations to the 
Commission.''.

SEC. 3. REVISION OF SECURITIES TRANSACTION FEE PROVISIONS.

    Section 31 of the Securities Exchange Act of 1934 (15 U.S.C. 78ee) 
is further amended--
            (1) in subsection (b), by striking the last sentence;
            (2) in subsection (c), by striking the last sentence;
            (3) in subsection (d)--
                    (A) by striking paragraphs (2) and (3); and
                    (B) by striking the following:
    ``(d) Off-Exchange Trades of Last-Sale-Reported Securities.--
            ``(1) Covered transactions.--Each national securities'' and 
        adding the following:
    ``(d) Off-Exchange Trades of Last-Sale-Reported Securities.--Each 
national securities''; and
            (4) by adding after subsection (h) (as added by section 
        2(b) of this Act) the following new subsections:
    ``(i) Deposit of Fees.--
            ``(1) General revenues.--Fees collected pursuant to 
        subsections (b), (c), and (d) shall be deposited and collected 
        as general revenue of the Treasury, except that the amount 
        deposited and collected as general revenues for any fiscal year 
        shall not exceed the baseline amount for such fiscal year.
            ``(2) Offsetting collections.--Fees collected pursuant 
        subsections (b), (c) and (d) for any fiscal year in excess of 
        the baseline amount for such fiscal year--
                    ``(A) shall not be collected or spent for any 
                fiscal year except to the extent provided in advance in 
                appropriation Acts; and
                    ``(B) shall be deposited and credited as offsetting 
                collections to the account providing appropriations to 
                the Commission.
            ``(3) Baseline amount.--For purposes of this subsection, 
        the baseline amount for any fiscal year is the amount projected 
        by the Congressional Budget Office pursuant to section 257 the 
        Balanced Budget and Emergency Deficit Control Act of 1985, in 
        its most recently published report of its baseline projection 
        before the date of enactment of the Fairness in Securities 
        Transactions Act, to be collected and deposited as general 
        revenues pursuant to subsections (b) and (c) of this section as 
        in effect on the day before the date of enactment of such Act.
    ``(j) Lapse of Appropriation.--If on the first day of a fiscal year 
a regular appropriation to the Commission has not been enacted, the 
Commission shall continue to collect fees under subsections (b), (c), 
and (d) at the rate in effect during the preceding fiscal year, until 
such a regular appropriation is enacted.''.

SEC. 4. EFFECTIVE DATE.

    The amendments made by this Act--
            (1) shall take effect on October 1, 2000; and
            (2) shall cease to be effective on October 1, 2006.
                                                 Union Calendar No. 596

106th CONGRESS

  2d Session

                               H. R. 2441

                         [Report No. 106-1034]

_______________________________________________________________________

                                 A BILL

    To amend the Securities Exchange Act of 1934 to reduce fees on 
                        securities transactions.

_______________________________________________________________________

                           December 15, 2000

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed