[Congressional Record Volume 155, Number 130 (Tuesday, September 15, 2009)]
[House]
[Pages H9524-H9526]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




            SECURITIES LAW TECHNICAL CORRECTIONS ACT OF 2009

  Mr. MOORE of Kansas. Mr. Speaker, I move to suspend the rules and 
pass the bill (H.R. 2947) to amend the Federal securities laws to make 
technical corrections and to make conforming amendments related to the 
repeal of the Public Utility Holding Company Act of 1935.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 2947

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

     SECTION 1. SHORT TITLE.

         This Act may be cited as the ``Securities Law Technical 
     Corrections Act of 2009''.

     SEC. 2. TECHNICAL CORRECTIONS.

         (a) Securities Act of 1933.--The Securities Act of 1933 
     (15 U.S.C. 77a et seq.) is amended--
         (1) in section 3(a)(4) (15 U.S.C. 77c(a)(4)), by striking 
     ``individual;'' and inserting ``individual,'';
         (2) in section 18(b)(1)(C) (15 U.S.C. 77r(b)(1)(C)), by 
     striking ``is a security'' and inserting ``a security'';
         (3) in section 18(c)(2)(B)(i) (15 U.S.C. 
     77r(c)(2)(B)(i)), by striking ``State, or'' and inserting 
     ``State or'';
         (4) in section 19(d)(6)(A) (15 U.S.C. 77s(d)(6)(A)), by 
     striking ``in paragraph (1) of (3)'' and inserting ``in 
     paragraph (1) or (3)''; and
         (5) in section 27A(c)(1)(B)(ii) (15 U.S.C. 77z-
     2(c)(1)(B)(ii)), by striking ``business entity;'' and 
     inserting ``business entity,''.
         (b) Securities Exchange Act of 1934.--The Securities 
     Exchange Act of 1934 (15 U.S.C. 78 et seq.) is amended--
         (1) in section 2(1)(a) (15 U.S.C. 78b(1)(a)), by striking 
     ``affected'' and inserting ``effected'';
         (2) in section 3(a)(55)(A) (15 U.S.C. 78c(a)(55)(A)), by 
     striking ``section 3(a)(12) of the Securities Exchange Act of 
     1934'' and inserting ``section 3(a)(12) of this Act'';
         (3) in section 3(g) (15 U.S.C. 78c(g)), by striking 
     ``company, account person, or entity'' and inserting 
     ``company, account, person, or entity'';
         (4) in section 10A(i)(1)(B)(i) (15 U.S.C. 78j-
     1(i)(1)(B)(i)), by striking ``nonaudit'' and inserting ``non-
     audit'';
         (5) in section 13(b)(1) (15 U.S.C. 78m(b)(1)), by 
     striking ``earning statement'' and inserting ``earnings 
     statement'';
         (6) in section 15(b)(1) (15 U.S.C. 78o(b)(1))--
         (A) by striking the sentence beginning ``The order 
     granting'' and ending ``from such membership.'' in 
     subparagraph (B); and
         (B) by inserting such sentence in the matter following 
     such subparagraph after ``are satisfied.'';
         (7) in section 15 (15 U.S.C. 78o), by redesignating 
     subsection (i), as added by section 303(f) of the Commodity 
     Futures Modernization Act of 2000 (114 Stat. 2763A-455), as 
     subsection (j);
         (8) in section 15C(a)(2) (15 U.S.C. 78o-5(a)(2))--
         (A) by redesignating clauses (i) and (ii) as 
     subparagraphs (A) and (B), respectively;
         (B) by striking the sentence beginning ``The order 
     granting'' and ending ``from such membership.'' in such 
     subparagraph (B), as redesignated; and
         (C) by inserting such sentence in the matter following 
     such redesignated subparagraph after ``are satisfied.'';
         (9) in section 16(a)(2)(C) (15 U.S.C. 78p(a)(2)(C)), by 
     striking ``section 206(b)'' and inserting ``section 206B'';
         (10) in section 17(b)(1)(B) (15 U.S.C. 78q(b)(1)(B)), by 
     striking ``15A(k) gives'' and inserting ``15A(k), give''; and
         (11) in section 21C(c)(2) (15 U.S.C. 78u-3(c)(2)), by 
     striking ``paragraph (1) subsection'' and inserting 
     ``Paragraph (1)''.
         (c) Trust Indenture Act of 1939.--The Trust Indenture Act 
     of 1939 (15 U.S.C. 77aaa et seq.) is amended--
         (1) in section 304(b) (15 U.S.C. 77ddd(b)), by striking 
     ``section 2 of such Act'' and inserting ``section 2(a) of 
     such Act'';
         (2) in section 313(a)(4) (15 U.S.C. 77mmm(a)(4)) by 
     striking ``subsection 311'' and inserting ``section 311(b)''; 
     and
         (3) in section 317(a)(1) (15 U.S.C. 77qqq(a)(1)), by 
     striking ``(1),'' and inserting ``(1)''.
         (d) Investment Company Act of 1940.--The Investment 
     Company Act of 1940 (15 U.S.C. 80a-1 et seq.) is amended--
         (1) in section 2(a)(19) (15 U.S.C. 80a-2(a)(19)) by 
     striking ``clause (vi)'' both places it appears in the last 
     two sentences and inserting ``clause (vii)'';
         (2) in section 9(b)(4)(B) (15 U.S.C. 80a-9(b)(4)(B)), by 
     inserting ``or'' after the semicolon at the end;
         (3) in section 12(d)(1)(J) (15 U.S.C. 80a-12(d)(1)(J)), 
     by striking ``any provision of this subsection'' and 
     inserting ``any provision of this paragraph'';
         (4) in section 13(a)(3) (15 U.S.C. 80a-13(a)(3)), by 
     inserting ``or'' after the semicolon at the end;
         (5) in section 17(f)(4) (15 U.S.C. 80a-17(f)(4)), by 
     striking ``No such member'' and inserting ``No member of a 
     national securities exchange'';
         (6) in section 17(f)(6) (15 U.S.C. 80a-17(f)(6)), by 
     striking ``company may serve'' and inserting ``company, may 
     serve''; and
         (7) in section 61(a)(3)(B)(iii) (15 U.S.C. 80a-
     60(a)(3)(B)(iii))--
         (A) by striking ``paragraph (1) of section 205'' and 
     inserting ``section 205(a)(1)''; and
         (B) by striking ``clause (A) or (B) of that section'' and 
     inserting ``section 205(b)(1) or (2)''.

[[Page H9525]]

         (e) Investment Advisers Act of 1940.--The Investment 
     Advisers Act of 1940 (15 U.S.C. 80b-1 et seq.) is amended--
         (1) in each of the following sections, by striking 
     ``principal business office'' or ``principal place of 
     business'' (whichever and wherever it appears) and inserting 
     ``principal office and place of business'': sections 
     203(c)(1)(A), 203(k)(4)(B), 213(a), 222(b), and 222(c) (15 
     U.S.C. 80b-3(c)(1)(A), 80b-3(k)(4)(B), 80b-13(a), 80b-18a(b), 
     and 80b-18a(c)); and
         (2) in section 206(3) (15 U.S.C. 80b-6(3)), by inserting 
     ``or'' after the semicolon at the end.

     SEC. 3. CONFORMING AMENDMENTS FOR THE REPEAL OF THE PUBLIC 
                   UTILITY HOLDING COMPANY ACT OF 1935.

         (a) Securities Exchange Act of 1934.--The Securities 
     Exchange Act of 1934 (15 U.S.C. 78 et seq.) is amended--
         (1) in section 3(a)(47) (15 U.S.C. 78c(a)(47)), by 
     striking ``the Public Utility Holding Company Act of 1935 (15 
     U.S.C. 79a et seq.),''; and
         (2) in section 12(k) (15 U.S.C. 78l(k)), by amending 
     paragraph (7) to read as follows:   
         ``(7) Definition.--For purposes of this subsection, the 
     term `emergency' means--
         ``(A) a major market disturbance characterized by or 
     constituting--
         ``(i) sudden and excessive fluctuations of securities 
     prices generally, or a substantial threat thereof, that 
     threaten fair and orderly markets; or
         ``(ii) a substantial disruption of the safe or efficient 
     operation of the national system for clearance and settlement 
     of transactions in securities, or a substantial threat 
     thereof; or
         ``(B) a major disturbance that substantially disrupts, or 
     threatens to substantially disrupt--
         ``(i) the functioning of securities markets, investment 
     companies, or any other significant portion or segment of the 
     securities markets; or
         ``(ii) the transmission or processing of securities 
     transactions.''.
         (3) in section 21(h)(2) (15 U.S.C. 78u(h)(2)), by 
     striking ``section 18(c) of the Public Utility Holding 
     Company Act of 1935,''.
         (b) Trust Indenture Act of 1939.--The Trust Indenture Act 
     of 1939 (15 U.S.C. 77aaa et seq.) is amended--
         (1) in section 303 (15 U.S.C. 77ccc), by amending 
     paragraph (17) to read as follows:
         ``(17) The terms `Securities Act of 1933' and `Securities 
     Exchange Act of 1934' shall be deemed to refer, respectively, 
     to such Acts, as amended, whether amended prior to or after 
     the enactment of this title.'';
         (2) in section 308 (15 U.S.C. 77hhh), by striking 
     ``Securities Act of 1933, the Securities Exchange Act of 
     1934, or the Public Utility Holding Company Act of 1935'' 
     each place it appears and inserting ``Securities Act of 1933 
     or the Securities Exchange Act of 1934'';
         (3) in section 310 (15 U.S.C. 77jjj), by striking 
     subsection (c) (including the preceding heading);
         (4) in section 311 (15 U.S.C. 77kkk) by striking 
     subsection (c);
         (5) in section 323(b) (15 U.S.C. 77www(b)), by striking 
     ``Securities Act of 1933, or the Securities Exchange Act of 
     1934, or the Public Utility Holding Company Act of 1935'' and 
     inserting ``Securities Act of 1933 or the Securities Exchange 
     Act of 1934''; and
         (6) in section 326 (15 U.S.C. 77zzz), by striking 
     ``Securities Act of 1933, or the Securities Exchange Act of 
     1934, or the Public Utility Holding Company Act of 1935,'' 
     and inserting ``Securities Act of 1933 or the Securities 
     Exchange Act of 1934''.
         (c) Investment Company Act of 1940.--The Investment 
     Company Act of 1940 (15 U.S.C. 80a-1 et seq.) is amended--
         (1) in section 2(a)(44) (15 U.S.C. 80a-2(a)(44)), by 
     striking ``Public Utility Holding Company Act of 1935,'';
         (2) in section 3(c) (15 U.S.C. 80a-3(c)), by amending 
     paragraph (8) to read as follows:
         ``(8) [Repealed]'';
         (3) in section 38(b) (15 U.S.C. 80a-37(b)), by striking 
     ``the Public Utility Holding Company Act of 1935,''; and
         (4) in section 50 (15 U.S.C. 80a-49), by striking ``the 
     Public Utility Holding Company Act of 1935,''.
         (d) Investment Advisers Act of 1940.--Section 202(a)(21) 
     of the Investment Advisers Act of 1940 (15 U.S.C. 80b-
     2(a)(21)) is amended by striking ``Public Utility Holding 
     Company Act of 1935,''.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Kansas (Mr. Moore) and the gentleman from California (Mr. Gary G. 
Miller) each will control 20 minutes.
  The Chair recognizes the gentleman from Kansas.


                             General Leave

  Mr. MOORE of Kansas. Mr. Speaker, I ask unanimous consent that all 
Members have 5 legislative days in which to revise and extend their 
remarks on this legislation.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Kansas?
  There was no objection.
  Mr. MOORE of Kansas. Mr. Speaker I yield myself such time as I may 
consume.
  I rise today in support of H.R. 2947, the Securities Law Technical 
Corrections Act of 2009, drafted by my colleague from Kansas, 
Congresswoman Lynn Jenkins. I commend her work on this bill, Mr. 
Speaker.
  During the 110th Congress, a nearly identical bill, H.R. 3505, 
sponsored by Congressman Peter Roskam of Illinois, passed the House by 
a vote of 396-0. The Senate never acted on the measure.
  This bill would effectively exclude companies that were subject to 
regulation under the Public Utility Holding Company Act of 1935, which 
was repealed in 2005, from the definition of investment company and 
from the definition of securities laws.
  Again, I commend Congresswoman Jenkins for sponsoring this 
legislation, and I urge my colleagues to support it.
  I reserve the balance of my time.
  Mr. GARY G. MILLER of California. Mr. Speaker, I rise in support of 
this bill. I commend Mr. Moore for bringing it forward. This has passed 
Congress twice in the last Congress. It's been noncontroversial. It 
amends the Federal securities laws to make technical corrections and 
make conforming amendments related to the repeal of the Public Utility 
Holding Company Act of 1935.
  It's a reasonable approach. I don't know of any controversy or any 
opposition to this.
  I reserve the balance of my time.

                              {time}  1515

  Mr. MOORE of Kansas. Mr. Speaker, I yield 2 minutes to the 
gentlewoman from New York (Mrs. Maloney).
  (Mrs. MALONEY asked and was given permission to revise and extend her 
remarks.)
  Mrs. MALONEY. I thank the gentlemen for their leadership on this 
bill, and I rise in support of it.
  Also, I just missed the FHA Multifamily Loan Limit Adjustment Act of 
2009. This would create jobs, address the issue of affordable rental 
housing, and fix the lingering problems with better financing and 
liquidity. It would turn the hopes of homeownership into a reality and 
raise the limits on FHA loans that will help build more housing.
  I rise today in support of a bill that will: Help create jobs in the 
hard-hit construction trades; address the longstanding issue of 
affordable rental housing in major urban and rural centers; and help 
fix lingering problems with better financing and liquidity.
  H.R. 3527, the FHA Multifamily Loan Limit Adjustment Act of 2009 does 
all that and more, so I am proud to be a cosponsor along with my 
colleagues, Representatives Weiner, Miller and Frank.
  The FHA's current limits on multifamily loans were certainly well 
intentioned, but they significantly restrict the ability of developers 
to use FHA insurance programs to finance badly needed affordable rental 
housing in high-cost areas such as New York City and State. In 2007 and 
2008, HUD data shows that only 3 non-subsidized high rise construction 
or rehabilitation projects received FHA insurance approval in the whole 
country!
  That's in part because the current FHA multifamily loan maximum of 
$68,070 per two-bedroom unit is simply not high enough in high-cost 
areas. This puts a damper on new construction and badly needed 
rehabilitation in urban and suburban areas--where construction costs 
are higher.
  But by simply increasing the loan limit as this bill does to $93,029, 
FHA can facilitate construction and rehabilitation of apartments where 
financing is not available. I am told that there are currently 11,000 
units in elevator structures across the country on hold with a combined 
mortgage amount of more than $3 billion. In New York City, there are a 
total of 14 projects worth $628 million stalled in NYC. This would 
build 2088 rental units in Brooklyn, Manhattan, and Queens.
  When this bill becomes law these construction projects can move 
forward, create jobs and build new and more affordable homes.
  In order to thrive our major cities depend on a supply of decent 
rental housing in buildings that are well maintained. Let's give the 
FHA the tools they need to move forward and enable these projects, 
these jobs, these American dreams.
  I urge my colleagues to support this important legislation.
  Mr. GARY G. MILLER of California. I want to thank Mrs. Maloney for 
coming forward late, but she is my dear friend, and we have worked for 
years on issues together, and this is one of them. She has always been 
diligent about recognizing the errors that might exist in this country 
and how we could be more productive and be fair to everybody on these 
issues. I applaud you for your efforts and for being my colleague.
  Mr. Speaker, I reserve the balance of my time.
  Mr. MOORE of Kansas. Mr. Speaker, I reserve the balance of my time.

[[Page H9526]]

  Mr. GARY G. MILLER of California. Mr. Speaker, I ask unanimous 
consent that the gentlewoman from Kansas (Ms. Jenkins) may be able to 
control my time and may be able to yield time, as required.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from California?
  There was no objection.
  Ms. JENKINS. Mr. Speaker, I claim time in opposition to the bill, 
although I am not opposed.
  The SPEAKER pro tempore. The gentlewoman from Kansas is recognized.
  Ms. JENKINS. Mr. Speaker, I yield myself such time as I may consume, 
and I rise today in support of H.R. 2947, the Securities Law Technical 
Corrections Act. This legislation, which passed the House under 
suspension last year, makes technical corrections to various securities 
laws, and I thank Mr. Kanjorski for his support on the measure.
  This body passed identical legislation last year 404-0. In the 
aftermath of the stock market crash of 1929, Congress enacted the 
Federal securities laws of the 1930s and the 1940s. Over the decades 
since that time, Congress has amended these laws to adapt to a rapidly 
changing securities industry.
  Congressional intent for these laws is to protect investors and 
maintain orderly and efficient markets. As Members of Congress, we have 
a responsibility to review laws from time to time to ensure that they 
are up-to-date so as to reduce unnecessary confusion to market 
participants. H.R. 2947 makes necessary technical corrections to the 
Federal securities laws that the Securities and Exchange Commission 
supports, including punctuation errors, spelling inaccuracies, and 
references to statutes which Congress previously repealed.
  Again, I thank my colleague, Mr. Kanjorski, along with Ranking Member 
Bachus and Chairman Frank, for their support of this bill and I urge 
all of my colleagues to support it.
  Mr. Speaker, I yield back the balance of my time.
  Mr. MOORE of Kansas. Mr. Speaker, I urge my colleagues to support 
H.R. 2947.
  Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Kansas (Mr. Moore) that the House suspend the rules and 
pass the bill, H.R. 2947.
  The question was taken; and (two-thirds being in the affirmative) the 
rules were suspended and the bill was passed.
  A motion to reconsider was laid on the table.

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