[Congressional Record Volume 158, Number 62 (Friday, April 27, 2012)]
[Extensions of Remarks]
[Pages E696-E697]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                 SMALL BUSINESS CREDIT AVAILABILITY ACT

                                 ______
                                 

                               speech of

                          HON. BETTY McCOLLUM

                              of minnesota

                    in the house of representatives

                       Wednesday, April 25, 2012

  Ms. McCOLLUM. Madam Speaker, I rise in opposition to H.R. 3336. This 
misguided bill would remove crucial oversight of the trillion

[[Page E697]]

dollar derivatives market and strip away key reforms contained in the 
Dodd-Frank Wall Street Reform law.
  Although the stated intent of H.R. 3336 is to increase credit 
availability to small businesses, it would do nothing more than provide 
a loophole for participants in the derivatives market to escape 
oversight and evade accountability. For the past two years, the CFTC 
and other government regulators of Wall Street have accepted public 
comments and participated in public hearings in an effort to implement 
sensible regulations that do not constrain credit lending to small 
businesses. Furthermore, the Dodd-Frank law already contains 
protections for small financial institutions, commercial businesses, 
and investors that use derivatives for legitimate hedging of risk.
  H.R. 3336 would exempt large financial institutions with up to $200 
billion in credit derivatives exposure from CFTC oversight. In 
addition, the bill could also exempt major oil companies such as Shell 
Oil and Koch Trading from oversight for their swaps dealing activities 
in the energy market, allowing for more financial speculation that 
drives up the price of gasoline. Given the crucial role of derivatives 
in the 2008 financial crisis, eliminating these important CFTC 
protections would jeopardize investor confidence and threaten the 
stability of our financial sector.
  I urge my colleagues to oppose H.R. 3336.

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