[Congressional Record Volume 159, Number 118 (Tuesday, September 10, 2013)]
[House]
[Pages H5443-H5449]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
NATIONAL ASSOCIATION OF REGISTERED AGENTS AND BROKERS REFORM ACT OF
2013
Mr. NEUGEBAUER. Mr. Speaker, I move to suspend the rules and pass the
bill (H.R. 1155) to reform the National Association of Registered
Agents and Brokers, as amended, and for other purposes.
The Clerk read the title of the bill.
The text of the bill is as follows:
H.R. 1155
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 ``National Association of
Registered Agents and Brokers Reform Act of 2013''.
SEC. 2. REESTABLISHMENT OF THE NATIONAL ASSOCIATION OF
REGISTERED AGENTS AND BROKERS.
(a) In General.--Subtitle C of title III of the Gramm-
Leach-Bliley Act (15 U.S.C. 6751 et seq.) is amended to read
as follows:
``Subtitle C--National Association of Registered Agents and Brokers
``SEC. 321. NATIONAL ASSOCIATION OF REGISTERED AGENTS AND
BROKERS.
``(a) Establishment.--There is established the National
Association of Registered Agents and Brokers (referred to in
this subtitle as the `Association').
``(b) Status.--The Association shall--
``(1) be a nonprofit corporation;
``(2) not be an agent or instrumentality of the Federal
Government;
``(3) be an independent organization that may not be merged
with or into any other private or public entity; and
``(4) except as otherwise provided in this subtitle, be
subject to, and have all the powers conferred upon, a
nonprofit corporation by the District of Columbia Nonprofit
Corporation Act (D.C. Code, sec. 29-301.01 et seq.) or any
successor thereto.
``SEC. 322. PURPOSE.
``The purpose of the Association shall be to provide a
mechanism through which licensing, continuing education, and
other nonresident insurance producer qualification
requirements and conditions may be adopted and applied on a
multi-state basis without affecting the laws, rules, and
regulations, and preserving the rights of a State, pertaining
to--
``(1) licensing, continuing education, and other
qualification requirements of insurance producers that are
not members of the Association;
``(2) resident or nonresident insurance producer
appointment requirements;
``(3) supervising and disciplining resident and nonresident
insurance producers;
``(4) establishing licensing fees for resident and
nonresident insurance producers so that there is no loss of
insurance producer licensing revenue to the State; and
``(5) prescribing and enforcing laws and regulations
regulating the conduct of resident and nonresident insurance
producers.
``SEC. 323. MEMBERSHIP.
``(a) Eligibility.--
``(1) In general.--Any insurance producer licensed in its
home State shall, subject to paragraphs (2) and (4), be
eligible to become a member of the Association.
``(2) Ineligibility for suspension or revocation of
license.--Subject to paragraph (3), an insurance producer is
not eligible to become a member of the Association if a State
insurance regulator has suspended or revoked the insurance
license of the insurance producer in that State.
``(3) Resumption of eligibility.--Paragraph (2) shall cease
to apply to any insurance producer if--
``(A) the State insurance regulator reissues or renews the
license of the insurance producer in the State in which the
license was suspended or revoked, or otherwise terminates or
vacates the suspension or revocation; or
``(B) the suspension or revocation expires or is
subsequently overturned by a court of competent jurisdiction.
``(4) Criminal history record check required.--
``(A) In general.--An insurance producer who is an
individual shall not be eligible to become a member of the
Association unless the insurance producer has undergone a
criminal history record check that complies with regulations
prescribed by the Attorney General of the United States under
subparagraph (K).
``(B) Criminal history record check requested by home
state.--An insurance producer who is licensed in a State and
who has undergone a criminal history record check during the
2-year period preceding the date of submission of an
application to become a member of the Association, in
compliance with a requirement to undergo such criminal
history record check as a condition for such licensure in the
State, shall be deemed to have undergone a criminal history
record check for purposes of subparagraph (A).
``(C) Criminal history record check requested by
association.--
``(i) In general.--The Association shall, upon request by
an insurance producer licensed in a State, submit
fingerprints or other identification information obtained
from the insurance producer, and a request for a criminal
history record check of the insurance producer, to the
Federal Bureau of Investigation.
``(ii) Procedures.--The board of directors of the
Association (referred to in this subtitle as the `Board')
shall prescribe procedures for obtaining and utilizing
fingerprints or other identification information and criminal
history record information, including the establishment of
reasonable fees to defray the expenses of the Association in
connection with the performance of a criminal history record
check and appropriate safeguards for maintaining
confidentiality and security of the information. Any fees
charged pursuant to this clause shall be separate and
distinct from those charged by the Attorney General pursuant
to subparagraph (I).
``(D) Form of request.--A submission under subparagraph
(C)(i) shall include such fingerprints or other
identification information as is required by the Attorney
General concerning the person about whom the criminal history
record check is requested, and a statement signed by the
person authorizing the Attorney General to provide the
information to the Association and for the Association to
receive the information.
``(E) Provision of information by attorney general.--Upon
receiving a submission under subparagraph (C)(i) from the
Association, the Attorney General shall search all criminal
history records of the Federal Bureau of Investigation,
including records of the Criminal Justice Information
Services Division of the Federal Bureau of Investigation,
that the Attorney General determines appropriate for criminal
history records corresponding to the fingerprints or other
identification information provided under subparagraph (D)
and provide all criminal history record information included
in the request to the Association.
``(F) Limitation on permissible uses of information.--Any
information provided to the Association under subparagraph
(E) may only--
``(i) be used for purposes of determining compliance with
membership criteria established by the Association;
``(ii) be disclosed to State insurance regulators, or
Federal or State law enforcement agencies, in conformance
with applicable law; or
``(iii) be disclosed, upon request, to the insurance
producer to whom the criminal history record information
relates.
``(G) Penalty for improper use or disclosure.--Whoever
knowingly uses any information provided under subparagraph
(E) for a purpose not authorized in subparagraph (F), or
discloses any such information to anyone not authorized to
receive it, shall be fined not more than $50,000 per
violation as determined by a court of competent jurisdiction.
``(H) Reliance on information.--Neither the Association nor
any of its Board members, officers, or employees shall be
liable in any action for using information provided under
subparagraph (E) as permitted under subparagraph (F) in good
faith and in reasonable reliance on its accuracy.
``(I) Fees.--The Attorney General may charge a reasonable
fee for conducting the search and providing the information
under subparagraph (E), and any such fee shall be collected
and remitted by the Association to the Attorney General.
``(J) Rule of construction.--Nothing in this paragraph
shall be construed as--
``(i) requiring a State insurance regulator to perform
criminal history record checks under this section; or
``(ii) limiting any other authority that allows access to
criminal history records.
``(K) Regulations.--The Attorney General shall prescribe
regulations to carry out this paragraph, which shall
include--
``(i) appropriate protections for ensuring the
confidentiality of information provided under subparagraph
(E); and
``(ii) procedures providing a reasonable opportunity for an
insurance producer to contest the accuracy of information
regarding the insurance producer provided under subparagraph
(E).
``(L) Ineligibility for membership.--
``(i) In general.--The Association may, under reasonably
consistently applied standards, deny membership to an
insurance producer on the basis of criminal history record
information provided under subparagraph (E), or where the
insurance producer has been subject to disciplinary action,
as described in paragraph (2).
``(ii) Rights of applicants denied membership.--The
Association shall notify any insurance producer who is denied
membership on the basis of criminal history record
information provided under subparagraph (E) of the right of
the insurance producer to--
``(I) obtain a copy of all criminal history record
information provided to the Association under subparagraph
(E) with respect to the insurance producer; and
``(II) challenge the denial of membership based on the
accuracy and completeness of the information.
``(M) Definition.--For purposes of this paragraph, the term
`criminal history record check' means a national background
check of criminal history records of the Federal Bureau of
Investigation.
``(b) Authority to Establish Membership Criteria.--The
Association may establish membership criteria that bear a
reasonable relationship to the purposes for which the
Association was established.
``(c) Establishment of Classes and Categories of
Membership.--
``(1) Classes of membership.--The Association may establish
separate classes of
[[Page H5444]]
membership, with separate criteria, if the Association
reasonably determines that performance of different duties
requires different levels of education, training, experience,
or other qualifications.
``(2) Business entities.--The Association shall establish a
class of membership and membership criteria for business
entities. A business entity that applies for membership shall
be required to designate an individual Association member
responsible for the compliance of the business entity with
Association standards and the insurance laws, standards, and
regulations of any State in which the business entity seeks
to do business on the basis of Association membership.
``(3) Categories.--
``(A) Separate categories for insurance producers
permitted.--The Association may establish separate categories
of membership for insurance producers and for other persons
or entities within each class, based on the types of
licensing categories that exist under State laws.
``(B) Separate treatment for depository institutions
prohibited.--No special categories of membership, and no
distinct membership criteria, shall be established for
members that are depository institutions or for employees,
agents, or affiliates of depository institutions.
``(d) Membership Criteria.--
``(1) In general.--The Association may establish criteria
for membership which shall include standards for personal
qualifications, education, training, and experience. The
Association shall not establish criteria that unfairly limit
the ability of a small insurance producer to become a member
of the Association, including imposing discriminatory
membership fees.
``(2) Qualifications.--In establishing criteria under
paragraph (1), the Association shall not adopt any
qualification less protective to the public than that
contained in the National Association of Insurance
Commissioners (referred to in this subtitle as the `NAIC')
Producer Licensing Model Act in effect as of the date of
enactment of the National Association of Registered Agents
and Brokers Reform Act of 2013, and shall consider the
highest levels of insurance producer qualifications
established under the licensing laws of the States.
``(3) Assistance from states.--
``(A) In general.--The Association may request a State to
provide assistance in investigating and evaluating the
eligibility of a prospective member for membership in the
Association.
``(B) Authorization of information sharing.--A submission
under subsection (a)(4)(C)(i) made by an insurance producer
licensed in a State shall include a statement signed by the
person about whom the assistance is requested authorizing--
``(i) the State to share information with the Association;
and
``(ii) the Association to receive the information.
``(C) Rule of construction.--Subparagraph (A) shall not be
construed as requiring or authorizing any State to adopt new
or additional requirements concerning the licensing or
evaluation of insurance producers.
``(4) Denial of membership.--The Association may, based on
reasonably consistently applied standards, deny membership to
any State-licensed insurance producer for failure to meet the
membership criteria established by the Association.
``(e) Effect of Membership.--
``(1) Authority of association members.--Membership in the
Association shall--
``(A) authorize an insurance producer to sell, solicit, or
negotiate insurance in any State for which the member pays
the licensing fee set by the State for any line or lines of
insurance specified in the home State license of the
insurance producer, and exercise all such incidental powers
as shall be necessary to carry out such activities, including
claims adjustments and settlement to the extent permissible
under the laws of the State, risk management, employee
benefits advice, retirement planning, and any other
insurance-related consulting activities;
``(B) be the equivalent of a nonresident insurance producer
license for purposes of authorizing the insurance producer to
engage in the activities described in subparagraph (A) in any
State where the member pays the licensing fee; and
``(C) be the equivalent of a nonresident insurance producer
license for the purpose of subjecting an insurance producer
to all laws, regulations, provisions or other action of any
State concerning revocation, suspension, or other enforcement
action related to the ability of a member to engage in any
activity within the scope of authority granted under this
subsection and to all State laws, regulations, provisions,
and actions preserved under paragraph (5).
``(2) Violent crime control and law enforcement act of
1994.--Nothing in this subtitle shall be construed to alter,
modify, or supercede any requirement established by section
1033 of title 18, United States Code.
``(3) Agent for remitting fees.--The Association shall act
as an agent for any member for purposes of remitting
licensing fees to any State pursuant to paragraph (1).
``(4) Notification of action.--
``(A) In general.--The Association shall notify the States
(including State insurance regulators) and the NAIC when an
insurance producer has satisfied the membership criteria of
this section. The States (including State insurance
regulators) shall have 10 business days after the date of the
notification in order to provide the Association with
evidence that the insurance producer does not satisfy the
criteria for membership in the Association.
``(B) Ongoing disclosures required.--On an ongoing basis,
the Association shall disclose to the States (including State
insurance regulators) and the NAIC a list of the States in
which each member is authorized to operate. The Association
shall immediately notify the States (including State
insurance regulators) and the NAIC when a member is newly
authorized to operate in one or more States, or is no longer
authorized to operate in one or more States on the basis of
Association membership.
``(5) Preservation of consumer protection and market
conduct regulation.--
``(A) In general.--No provision of this section shall be
construed as altering or affecting the applicability or
continuing effectiveness of any law, regulation, provision,
or other action of any State, including those described in
subparagraph (B), to the extent that the State law,
regulation, provision, or other action is not inconsistent
with the provisions of this subtitle related to market entry
for nonresident insurance producers, and then only to the
extent of the inconsistency.
``(B) Preserved regulations.--The laws, regulations,
provisions, or other actions of any State referred to in
subparagraph (A) include laws, regulations, provisions, or
other actions that--
``(i) regulate market conduct, insurance producer conduct,
or unfair trade practices;
``(ii) establish consumer protections; or
``(iii) require insurance producers to be appointed by a
licensed or authorized insurer.
``(f) Biennial Renewal.--Membership in the Association
shall be renewed on a biennial basis.
``(g) Continuing Education.--
``(1) In general.--The Association shall establish, as a
condition of membership, continuing education requirements
which shall be comparable to the continuing education
requirements under the licensing laws of a majority of the
States.
``(2) State continuing education requirements.--A member
may not be required to satisfy continuing education
requirements imposed under the laws, regulations, provisions,
or actions of any State other than the home State of the
member.
``(3) Reciprocity.--The Association shall not require a
member to satisfy continuing education requirements that are
equivalent to any continuing education requirements of the
home State of the member that have been satisfied by the
member during the applicable licensing period.
``(4) Limitation on the association.--The Association shall
not directly or indirectly offer any continuing education
courses for insurance producers.
``(h) Probation, Suspension and Revocation.--
``(1) Disciplinary action.--The Association may place an
insurance producer that is a member of the Association on
probation or suspend or revoke the membership of the
insurance producer in the Association, or assess monetary
fines or penalties, as the Association determines to be
appropriate, if--
``(A) the insurance producer fails to meet the applicable
membership criteria or other standards established by the
Association;
``(B) the insurance producer has been subject to
disciplinary action pursuant to a final adjudicatory
proceeding under the jurisdiction of a State insurance
regulator;
``(C) an insurance license held by the insurance producer
has been suspended or revoked by a State insurance regulator;
or
``(D) the insurance producer has been convicted of a crime
that would have resulted in the denial of membership pursuant
to subsection (a)(4)(L)(i) at the time of application, and
the Association has received a copy of the final disposition
from a court of competent jurisdiction.
``(2) Violations of association standards.--The Association
shall have the power to investigate alleged violations of
Association standards.
``(3) Reporting.--The Association shall immediately notify
the States (including State insurance regulators) and the
NAIC when the membership of an insurance producer has been
placed on probation or has been suspended, revoked, or
otherwise terminated, or when the Association has assessed
monetary fines or penalties.
``(i) Consumer Complaints.--
``(1) In general.--The Association shall--
``(A) refer any complaint against a member of the
Association from a consumer relating to alleged misconduct or
violations of State insurance laws to the State insurance
regulator where the consumer resides and, when appropriate,
to any additional State insurance regulator, as determined by
standards adopted by the Association; and
``(B) make any related records and information available to
each State insurance regulator to whom the complaint is
forwarded.
``(2) Telephone and other access.--The Association shall
maintain a toll-free number for purposes of this subsection
and, as practicable, other alternative means of communication
with consumers, such as an Internet webpage.
``(3) Final disposition of investigation.--State insurance
regulators shall provide the Association with information
regarding the final disposition of a complaint referred
pursuant to paragraph (1)(A), but nothing shall be construed
to compel a State to release confidential investigation
reports or other
[[Page H5445]]
information protected by State law to the Association.
``(j) Information Sharing.--The Association may--
``(1) share documents, materials, or other information,
including confidential and privileged documents, with a
State, Federal, or international governmental entity or with
the NAIC or other appropriate entity referred to paragraphs
(3) and (4), provided that the recipient has the authority
and agrees to maintain the confidentiality or privileged
status of the document, material, or other information;
``(2) limit the sharing of information as required under
this subtitle with the NAIC or any other non-governmental
entity, in circumstances under which the Association
determines that the sharing of such information is
unnecessary to further the purposes of this subtitle;
``(3) establish a central clearinghouse, or utilize the
NAIC or another appropriate entity, as determined by the
Association, as a central clearinghouse, for use by the
Association and the States (including State insurance
regulators), through which members of the Association may
disclose their intent to operate in 1 or more States and pay
the licensing fees to the appropriate States; and
``(4) establish a database, or utilize the NAIC or another
appropriate entity, as determined by the Association, as a
database, for use by the Association and the States
(including State insurance regulators) for the collection of
regulatory information concerning the activities of insurance
producers.
``(k) Effective Date.--The provisions of this section shall
take effect on the later of--
``(1) the expiration of the 2-year period beginning on the
date of enactment of the National Association of Registered
Agents and Brokers Reform Act of 2013; and
``(2) the date of incorporation of the Association.
``SEC. 324. BOARD OF DIRECTORS.
``(a) Establishment.--There is established a board of
directors of the Association, which shall have authority to
govern and supervise all activities of the Association.
``(b) Powers.--The Board shall have such of the powers and
authority of the Association as may be specified in the
bylaws of the Association.
``(c) Composition.--
``(1) In general.--The Board shall consist of 13 members
who shall be appointed by the President, by and with the
advice and consent of the Senate, in accordance with the
procedures established under Senate Resolution 116 of the
112th Congress, of whom--
``(A) 8 shall be State insurance commissioners appointed in
the manner provided in paragraph (2), 1 of whom shall be
designated by the President to serve as the chairperson of
the Board until the Board elects one such State insurance
commissioner Board member to serve as the chairperson of the
Board;
``(B) 3 shall have demonstrated expertise and experience
with property and casualty insurance producer licensing; and
``(C) 2 shall have demonstrated expertise and experience
with life or health insurance producer licensing.
``(2) State insurance regulator representatives.--
``(A) Recommendations.--Before making any appointments
pursuant to paragraph (1)(A), the President shall request a
list of recommended candidates from the States through the
NAIC, which shall not be binding on the President. If the
NAIC fails to submit a list of recommendations not later than
15 business days after the date of the request, the President
may make the requisite appointments without considering the
views of the NAIC.
``(B) Political affiliation.--Not more than 4 Board members
appointed under paragraph (1)(A) shall belong to the same
political party.
``(C) Former state insurance commissioners.--
``(i) In general.--If, after offering each currently
serving State insurance commissioner an appointment to the
Board, fewer than 8 State insurance commissioners have
accepted appointment to the Board, the President may appoint
the remaining State insurance commissioner Board members, as
required under paragraph (1)(A), of the appropriate political
party as required under subparagraph (B), from among
individuals who are former State insurance commissioners.
``(ii) Limitation.--A former State insurance commissioner
appointed as described in clause (i) may not be employed by
or have any present direct or indirect financial interest in
any insurer, insurance producer, or other entity in the
insurance industry, other than direct or indirect ownership
of, or beneficial interest in, an insurance policy or annuity
contract written or sold by an insurer.
``(D) Service through term.--If a Board member appointed
under paragraph (1)(A) ceases to be a State insurance
commissioner during the term of the Board member, the Board
member shall cease to be a Board member.
``(3) Private sector representatives.--In making any
appointment pursuant to subparagraph (B) or (C) of paragraph
(1), the President may seek recommendations for candidates
from groups representing the category of individuals
described, which shall not be binding on the President.
``(4) State insurance commissioner defined.--For purposes
of this subsection, the term `State insurance commissioner'
means a person who serves in the position in State
government, or on the board, commission, or other body that
is the primary insurance regulatory authority for the State.
``(d) Terms.--
``(1) In general.--Except as provided under paragraph (2),
the term of service for each Board member shall be 2 years.
``(2) Exceptions.--
``(A) 1-year terms.--The term of service shall be 1 year,
as designated by the President at the time of the nomination
of the subject Board members for--
``(i) 4 of the State insurance commissioner Board members
initially appointed under paragraph (1)(A), of whom not more
than 2 shall belong to the same political party;
``(ii) 1 of the Board members initially appointed under
paragraph (1)(B); and
``(iii) 1 of the Board members initially appointed under
paragraph (1)(C).
``(B) Expiration of term.--A Board member may continue to
serve after the expiration of the term to which the Board
member was appointed for the earlier of 2 years or until a
successor is appointed.
``(C) Mid-term appointments.--A Board member appointed to
fill a vacancy occurring before the expiration of the term
for which the predecessor of the Board member was appointed
shall be appointed only for the remainder of that term.
``(3) Successive terms.--Board members may be reappointed
to successive terms.
``(e) Initial Appointments.--The appointment of initial
Board members shall be made no later than 90 days after the
date of enactment of the National Association of Registered
Agents and Brokers Reform Act of 2013.
``(f) Meetings.--
``(1) In general.--The Board shall meet--
``(A) at the call of the chairperson;
``(B) as requested in writing to the chairperson by not
fewer than 5 Board members; or
``(C) as otherwise provided by the bylaws of the
Association.
``(2) Quorum required.--A majority of all Board members
shall constitute a quorum.
``(3) Voting.--Decisions of the Board shall require the
approval of a majority of all Board members present at a
meeting, a quorum being present.
``(4) Initial meeting.--The Board shall hold its first
meeting not later than 45 days after the date on which all
initial Board members have been appointed.
``(g) Restriction on Confidential Information.--Board
members appointed pursuant to subparagraphs (B) and (C) of
subsection (c)(1) shall not have access to confidential
information received by the Association in connection with
complaints, investigations, or disciplinary proceedings
involving insurance producers.
``(h) Ethics and Conflicts of Interest.--The Board shall
issue and enforce an ethical conduct code to address
permissible and prohibited activities of Board members and
Association officers, employees, agents, or consultants. The
code shall, at a minimum, include provisions that prohibit
any Board member or Association officer, employee, agent or
consultant from--
``(1) engaging in unethical conduct in the course of
performing Association duties;
``(2) participating in the making or influencing the making
of any Association decision, the outcome of which the Board
member, officer, employee, agent, or consultant knows or had
reason to know would have a reasonably foreseeable material
financial effect, distinguishable from its effect on the
public generally, on the person or a member of the immediate
family of the person;
``(3) accepting any gift from any person or entity other
than the Association that is given because of the position
held by the person in the Association;
``(4) making political contributions to any person or
entity on behalf of the Association; and
``(5) lobbying or paying a person to lobby on behalf of the
Association.
``(i) Compensation.--
``(1) In general.--Except as provided in paragraph (2), no
Board member may receive any compensation from the
Association or any other person or entity on account of Board
membership.
``(2) Travel expenses and per diem.--Board members may be
reimbursed only by the Association for travel expenses,
including per diem in lieu of subsistence, at rates
consistent with rates authorized for employees of Federal
agencies under subchapter I of chapter 57 of title 5, United
States Code, while away from home or regular places of
business in performance of services for the Association.
``SEC. 325. BYLAWS, STANDARDS, AND DISCIPLINARY ACTIONS.
``(a) Adoption and Amendment of Bylaws and Standards.--
``(1) Procedures.--The Association shall adopt procedures
for the adoption of bylaws and standards that are similar to
procedures under subchapter II of chapter 5 of title 5,
United States Code (commonly known as the `Administrative
Procedure Act').
``(2) Copy required to be filed.--The Board shall submit to
the President, through the Department of the Treasury, and
the States (including State insurance regulators), and shall
publish on the website of the Association, all proposed
bylaws and standards of the Association, or any proposed
amendment to the bylaws or standards of the Association,
accompanied by a concise
[[Page H5446]]
general statement of the basis and purpose of such proposal.
``(3) Effective date.--Any proposed bylaw or standard of
the Association, and any proposed amendment to the bylaws or
standards of the Association, shall take effect, after notice
under paragraph (2) and opportunity for public comment, on
such date as the Association may designate, unless suspended
under section 329(c).
``(4) Rule of construction.--Nothing in this section shall
be construed to subject the Board or the Association to the
requirements of subchapter II of chapter 5 of title 5, United
States Code (commonly known as the `Administrative Procedure
Act').
``(b) Disciplinary Action by the Association.--
``(1) Specification of charges.--In any proceeding to
determine whether membership shall be denied, suspended,
revoked, or not renewed, or to determine whether a member of
the Association should be placed on probation (referred to in
this section as a `disciplinary action') or whether to assess
fines or monetary penalties, the Association shall bring
specific charges, notify the member of the charges, give the
member an opportunity to defend against the charges, and keep
a record.
``(2) Supporting statement.--A determination to take
disciplinary action shall be supported by a statement setting
forth--
``(A) any act or practice in which the member has been
found to have been engaged;
``(B) the specific provision of this subtitle or standard
of the Association that any such act or practice is deemed to
violate; and
``(C) the sanction imposed and the reason for the sanction.
``(3) Ineligibility of private sector representatives.--
Board members appointed pursuant to section 324(c)(3) may
not--
``(A) participate in any disciplinary action or be counted
toward establishing a quorum during a disciplinary action;
and
``(B) have access to confidential information concerning
any disciplinary action.
``SEC. 326. POWERS.
``In addition to all the powers conferred upon a nonprofit
corporation by the District of Columbia Nonprofit Corporation
Act, the Association shall have the power to--
``(1) establish and collect such membership fees as the
Association finds necessary to impose to cover the costs of
its operations;
``(2) adopt, amend, and repeal bylaws, procedures, or
standards governing the conduct of Association business and
performance of its duties;
``(3) establish procedures for providing notice and
opportunity for comment pursuant to section 325(a);
``(4) enter into and perform such agreements as necessary
to carry out the duties of the Association;
``(5) hire employees, professionals, or specialists, and
elect or appoint officers, and to fix their compensation,
define their duties and give them appropriate authority to
carry out the purposes of this subtitle, and determine their
qualification;
``(6) establish personnel policies of the Association and
programs relating to, among other things, conflicts of
interest, rates of compensation, where applicable, and
qualifications of personnel;
``(7) borrow money; and
``(8) secure funding for such amounts as the Association
determines to be necessary and appropriate to organize and
begin operations of the Association, which shall be treated
as loans to be repaid by the Association with interest at
market rate.
``SEC. 327. REPORT BY THE ASSOCIATION.
``(a) In General.--As soon as practicable after the close
of each fiscal year, the Association shall submit to the
President, through the Department of the Treasury, and the
States (including State insurance regulators), and shall
publish on the website of the Association, a written report
regarding the conduct of its business, and the exercise of
the other rights and powers granted by this subtitle, during
such fiscal year.
``(b) Financial Statements.--Each report submitted under
subsection (a) with respect to any fiscal year shall include
audited financial statements setting forth the financial
position of the Association at the end of such fiscal year
and the results of its operations (including the source and
application of its funds) for such fiscal year.
``SEC. 328. LIABILITY OF THE ASSOCIATION AND THE BOARD
MEMBERS, OFFICERS, AND EMPLOYEES OF THE
ASSOCIATION.
``(a) In General.--The Association shall not be deemed to
be an insurer or insurance producer within the meaning of any
State law, rule, regulation, or order regulating or taxing
insurers, insurance producers, or other entities engaged in
the business of insurance, including provisions imposing
premium taxes, regulating insurer solvency or financial
condition, establishing guaranty funds and levying
assessments, or requiring claims settlement practices.
``(b) Liability of Board Members, Officers, and
Employees.--No Board member, officer, or employee of the
Association shall be personally liable to any person for any
action taken or omitted in good faith in any matter within
the scope of their responsibilities in connection with the
Association.
``SEC. 329. PRESIDENTIAL OVERSIGHT.
``(a) Removal of Board.--If the President determines that
the Association is acting in a manner contrary to the
interests of the public or the purposes of this subtitle or
has failed to perform its duties under this subtitle, the
President may remove the entire existing Board for the
remainder of the term to which the Board members were
appointed and appoint, in accordance with section 324 and
with the advice and consent of the Senate, in accordance with
the procedures established under Senate Resolution 116 of the
112th Congress, new Board members to fill the vacancies on
the Board for the remainder of the terms.
``(b) Removal of Board Member.--The President may remove a
Board member only for neglect of duty or malfeasance in
office.
``(c) Suspension of Bylaws and Standards and Prohibition of
Actions.--Following notice to the Board, the President, or a
person designated by the President for such purpose, may
suspend the effectiveness of any bylaw or standard, or
prohibit any action, of the Association that the President or
the designee determines is contrary to the purposes of this
subtitle.
``SEC. 330. RELATIONSHIP TO STATE LAW.
``(a) Preemption of State Laws.--State laws, regulations,
provisions, or other actions purporting to regulate insurance
producers shall be preempted to the extent provided in
subsection (b).
``(b) Prohibited Actions.--
``(1) In general.--No State shall--
``(A) impede the activities of, take any action against, or
apply any provision of law or regulation arbitrarily or
discriminatorily to, any insurance producer because that
insurance producer or any affiliate plans to become, has
applied to become, or is a member of the Association;
``(B) impose any requirement upon a member of the
Association that it pay fees different from those required to
be paid to that State were it not a member of the
Association; or
``(C) impose any continuing education requirements on any
nonresident insurance producer that is a member of the
Association.
``(2) States other than a home state.--No State, other than
the home State of a member of the Association, shall--
``(A) impose any licensing, personal or corporate
qualifications, education, training, experience, residency,
continuing education, or bonding requirement upon a member of
the Association that is different from the criteria for
membership in the Association or renewal of such membership;
``(B) impose any requirement upon a member of the
Association that it be licensed, registered, or otherwise
qualified to do business or remain in good standing in the
State, including any requirement that the insurance producer
register as a foreign company with the secretary of state or
equivalent State official;
``(C) require that a member of the Association submit to a
criminal history record check as a condition of doing
business in the State; or
``(D) impose any licensing, registration, or appointment
requirements upon a member of the Association, or require a
member of the Association to be authorized to operate as an
insurance producer, in order to sell, solicit, or negotiate
insurance for commercial property and casualty risks to an
insured with risks located in more than one State, if the
member is licensed or otherwise authorized to operate in the
State where the insured maintains its principal place of
business and the contract of insurance insures risks located
in that State.
``(3) Preservation of state disciplinary authority.--
Nothing in this section may be construed to prohibit a State
from investigating and taking appropriate disciplinary
action, including suspension or revocation of authority of an
insurance producer to do business in a State, in accordance
with State law and that is not inconsistent with the
provisions of this section, against a member of the
Association as a result of a complaint or for any alleged
activity, regardless of whether the activity occurred before
or after the insurance producer commenced doing business in
the State pursuant to Association membership.
``SEC. 331. COORDINATION WITH FINANCIAL INDUSTRY REGULATORY
AUTHORITY.
``The Association shall coordinate with the Financial
Industry Regulatory Authority in order to ease any
administrative burdens that fall on members of the
Association that are subject to regulation by the Financial
Industry Regulatory Authority, consistent with the
requirements of this subtitle and the Federal securities
laws.
``SEC. 332. RIGHT OF ACTION.
``(a) Right of Action.--Any person aggrieved by a decision
or action of the Association may, after reasonably exhausting
available avenues for resolution within the Association,
commence a civil action in an appropriate United States
district court, and obtain all appropriate relief.
``(b) Association Interpretations.--In any action under
subsection (a), the court shall give appropriate weight to
the interpretation of the Association of its bylaws and
standards and this subtitle.
``SEC. 333. FEDERAL FUNDING PROHIBITED.
``The Association may not receive, accept, or borrow any
amounts from the Federal Government to pay for, or reimburse,
the Association for, the costs of establishing or operating
the Association.
``SEC. 334. DEFINITIONS.
``For purposes of this subtitle, the following definitions
shall apply:
``(1) Business entity.--The term `business entity' means a
corporation, association,
[[Page H5447]]
partnership, limited liability company, limited liability
partnership, or other legal entity.
``(2) Depository institution.--The term `depository
institution' has the meaning as in section 3 of the Federal
Deposit Insurance Act (12 U.S.C. 1813).
``(3) Home state.--The term `home State' means the State in
which the insurance producer maintains its principal place of
residence or business and is licensed to act as an insurance
producer.
``(4) Insurance.--The term `insurance' means any product,
other than title insurance or bail bonds, defined or
regulated as insurance by the appropriate State insurance
regulatory authority.
``(5) Insurance producer.--The term `insurance producer'
means any insurance agent or broker, excess or surplus lines
broker or agent, insurance consultant, limited insurance
representative, and any other individual or entity that
sells, solicits, or negotiates policies of insurance or
offers advice, counsel, opinions or services related to
insurance.
``(6) Insurer.--The term `insurer' has the meaning as in
section 313(e)(2)(B) of title 31, United States Code.
``(7) Principal place of business.--The term `principal
place of business' means the State in which an insurance
producer maintains the headquarters of the insurance producer
and, in the case of a business entity, where high-level
officers of the entity direct, control, and coordinate the
business activities of the business entity.
``(8) Principal place of residence.--The term `principal
place of residence' means the State in which an insurance
producer resides for the greatest number of days during a
calendar year.
``(9) State.--The term `State' includes any State, the
District of Columbia, any territory of the United States, and
Puerto Rico, Guam, American Samoa, the Trust Territory of the
Pacific Islands, the Virgin Islands, and the Northern Mariana
Islands.
``(10) State law.--
``(A) In general.--The term `State law' includes all laws,
decisions, rules, regulations, or other State action having
the effect of law, of any State.
``(B) Laws applicable in the district of columbia.--A law
of the United States applicable only to or within the
District of Columbia shall be treated as a State law rather
than a law of the United States.''.
(b) Technical Amendment.--The table of contents for the
Gramm-Leach-Bliley Act is amended by striking the items
relating to subtitle C of title III and inserting the
following new items:
``Subtitle C--National Association of Registered Agents and Brokers
``Sec. 321. National Association of Registered Agents and Brokers.
``Sec. 322. Purpose.
``Sec. 323. Membership.
``Sec. 324. Board of directors.
``Sec. 325. Bylaws, standards, and disciplinary actions.
``Sec. 326. Powers.
``Sec. 327. Report by the Association.
``Sec. 328. Liability of the Association and the Board members,
officers, and employees of the Association.
``Sec. 329. Presidential oversight.
``Sec. 330. Relationship to State law.
``Sec. 331. Coordination with regulators.
``Sec. 332. Right of action.
``Sec. 333. Federal funding prohibited.
``Sec. 334. Definitions.''.
The SPEAKER pro tempore. Pursuant to the rule, the gentleman from
Texas (Mr. Neugebauer) and the gentleman from Georgia (Mr. David Scott)
each will control 20 minutes.
The Chair recognizes the gentleman from Texas.
General Leave
Mr. NEUGEBAUER. Mr. Speaker, I ask unanimous consent that all Members
have 5 legislative days in which to revise and extend their remarks and
submit extraneous materials for the Record on H.R. 1155, as amended,
currently under consideration.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Texas?
There was no objection.
Mr. NEUGEBAUER. Mr. Speaker, I yield myself such time as I may
consume.
Thank you for the opportunity to speak on this important piece of
insurance regulatory reform legislation today.
The most serious regulatory challenges facing insurance agents and
brokers are redundant, costly, and sometimes contradictory requirements
that arise when they seek licenses on a multistate basis. It has become
clear that the main cause of these problems is the failure of many
States to issue licenses on a truly reciprocal basis.
On average, multistate agents sell insurance in eight States. That
means eight different applications, eight different procedures for
admittance, eight separate background checks, and a multitude of
inconsistent standards and duplicative processes. These requirements
are not only costly and inefficient, but they hinder the ability of
insurance agents and brokers to effectively address the needs of their
consumers.
Congress recognized the need to reform the insurance industry's
licensing system back in 1999 when it incorporated the National
Association of Registered Agents and Brokers subtitle into the Gramm-
Leach-Bliley Act. The Gramm-Leach-Bliley Act did not provide for the
immediate establishment of NARAB and instead included a series of
provisions to encourage States to simplify the licensing process.
Unfortunately, the original NARAB that was passed in 1999 did not
work. National nonresident licensing reciprocity has not been achieved,
and the burden on insurance agents and brokers and the impact this
burden directly has on consumers remains. Despite the best efforts of
many stakeholders at making State-level improvements, it has become
clear that true licensing reciprocity can be achieved only through
additional congressional action.
The bill we are considering today, H.R. 1155, the NARAB Reform Act--
or as it is commonly referred, NARAB II--modifies the original NARAB
provisions in Gramm-Leach-Bliley and immediately establishes NARAB as a
private, nonprofit entity managed by a board composed of eight
insurance regulators and five marketplace representatives. NARAB II
provides for nonresident insurance agent and broker licensing while
preserving the rights of States to supervise and discipline insurance
agents and brokers. Overall, this legislation would benefit
policyholders by increasing marketplace competition and consumer
choice, and by enabling insurance producers to more quickly and
responsively serve the needs of their consumers.
I'd like to thank my colleague from Georgia (Mr. David Scott) who
introduced this piece of legislation with me earlier this year.
This bill has almost 90 bipartisan cosponsors and is supported by
groups such as the Independent Insurance Agents and Brokers of America,
the National Association of Insurance Commissioners, the National
Association of Insurance and Financial Advisors, the Council of
Insurance Agents and Brokers, and major insurance company trades. The
legislation has passed this Chamber by voice vote twice before, and the
Senate Banking Committee unanimously approved an identical companion
legislation.
I ask that my colleagues support this practical and needed insurance
regulatory reform by voting for the NARAB Reform Act.
With that, I reserve the balance of my time.
Congress of the United States,
House of Representatives,
Washington, DC, September 9, 2013.
Hon. Jeb Hensarling,
Chairman, Committee on Financial Services, Rayburn House
Office Building, Washington, DC.
Dear Chairman Hensarling, I am writing concerning H.R.
1155, the ``National Association of Registered Agents and
Brokers Reform Act,'' which was referred to your Committee.
As you know, H.R. 1155, contains provisions within the
Committee on the Judiciary's Rule X jurisdiction. As a result
of your having consulted with the Committee and in order to
expedite the House's consideration of H.R. 1155, the
Committee on the Judiciary will not assert its jurisdictional
claim over this bill by seeking a sequential referral.
However, this is conditional on our mutual understanding and
agreement that doing so will in no way diminish or alter the
jurisdiction of the Committee on the Judiciary with respect
to the appointment of conferees or to any future
jurisdictional claim over the subject matters contained in
the bill or similar legislation.
I would appreciate your response to this letter confirming
this understanding, and would request that you include a copy
of this letter and your response in the Congressional Record
during the floor consideration of this bill. Thank you in
advance for your cooperation.
Sincerely,
Bob Goodlatte
Chairman.
____
House of Representatives,
Committee on Financial Services,
Washington, DC, September 9, 2013.
Hon. Bob Goodlatte,
Chairman, Committee on the Judiciary, Rayburn House Office
Building, Washington, DC.
Dear Chairman Goodlatte: Thank you for your letter of even
date herewith regarding
[[Page H5448]]
H.R. 1155, the National Association of Registered Agents and
Brokers Reform Act.
I am most appreciative of your decision not to assert
jurisdiction over H.R. 1155 so that it may be considered
under suspension of the Rules this week on the House floor. I
acknowledge that although you are waiving formal
consideration of the bill, the Committee on the Judiciary is
in no way waiving its Rule X jurisdiction over any subject
matter contained in the bill. In addition, if a conference is
necessary on this legislation, I will support any request
that your committee be represented therein.
Finally, I shall be pleased to include your letter and this
letter in the Congressional Record during floor consideration
of H.R. 1155.
Sincerely,
Jeb Hensarling,
Chairman.
Mr. DAVID SCOTT of Georgia. Mr. Speaker, I yield myself such time as
I may consume.
First of all, Mr. Speaker, I want to just say I join many people
across this Nation and around the world who are prayerful and who are
hopeful that this breakthrough--this window of opportunity that we have
dealing with the Syrian situation--works.
Now, Mr. Speaker, I can't tell you what a great joy this is for me. I
have worked on this bill for the past 6 years. We have been dealing
with many areas to fix our financial system to make it work. We have a
very complex and complicated financial system. There is no industry
that has the challenges that are being faced today as the insurance
industry.
{time} 1230
And the economy, its demands are rapidly changing because of advances
in technology, mobility, the narrowing and making the world much
smaller.
Essentially, what we have here is a long overdue fix to help these
small business owners, because that's what our insurance agents are.
H.R. 1155, the National Association of Registered Agents and Brokers
Reform Act, or what we affectionately call NARAB, as my distinguished
colleague from Texas (Mr. Neugebauer) has just stated, is very dear to
us.
Many of us in the Financial Services Committee have spent years
toiling on this issue. So have many in the Senate. As my colleague, Mr.
Neugebauer has said, we passed one House in 1999, but look what has
happened. We've had terrorist strikes. We've had all kinds of things
that have happened. We've had an economy almost on the verge of
depression. Standing there in the middle of this storm dealing with the
wants and the needs of the American people in all the areas--property
damage, health, car insurance, you name it--has been our agents.
I want to just briefly take you through exactly what we are proposing
here. H.R. 1155, first of all, creates a streamlined agent and broker
licensing system. That's very important. That strengthens the
competitive insurance market while maintaining those ever important
consumer protection items. It strengthens the business, it strengthens
the competitive insurance market--it doesn't weaken it--and at the same
time strengthens and protects our consumers.
NARAB will allow agents and brokers to more efficiently operate on a
multistate basis. Now, that's so important. Business is no longer
conducted around the corner or down the street or just in the next
town; it is all over the country. And our insurance agents and brokers
need the flexibility and the smoothness in our system to be able to
negotiate in the best interest of not just the insurance industry but,
most importantly, for the benefit of consumers who move from State to
State to city to city.
Next, NARAB would allow our agents and brokers to also address the
increasing concern and greater importance of our technological and
mobile-connected world. As we know, we are all connected.
Next, our NARAB Reform Act will be a one-stop licensing compliance
mechanism for insurance agents and brokers operating out of their home
States. Each will have a home State. But NARAB will work as a one-place
clearinghouse to satisfy that, while at the same time preserving the
longstanding authority of States to supervise and discipline the
insurance producers.
Nothing is being taken from State control in this bill. As a matter
of fact, it strengthens State controls. That is why all of the State
insurance commissioners support this legislation.
Through a nonprofit board for insurance agents and brokers to obtain
approval to operate on a multistate basis, the NARAB Reform Act deals
only with marketplace entry and will not impact the day-to-day State
regulation of insurance agencies. We sat down, we brought the State
insurance agencies in and the commissioners to work with us so that we
could have a joint understanding on this bill.
NARAB will be governed by a board dominated by State regulators--
again, dominated by State regulators--and would establish standards for
the membership that exceed the existing requirements of any State.
Again, exceeds the requirements of any State. A prospective NARAB
member will be required to be fully licensed in his or her home State
and satisfy rigorous membership criteria. An approved NARAB member
could utilize the association to obtain the regulatory approval
necessary to operate in any other selected jurisdiction.
This is a crucial piece of legislation, an excellently drafted piece
of legislation. For those of us who are concerned about small
government, it is very important to note that NARAB would not--would
not--be a part of a report to any Federal agency and would not have any
kind of Federal regulatory power. We are out of the business. Once we
pass this bill, it is in the hands, where it belongs, of the State and
local level.
The legislation is supported by nearly the entire insurance industry,
including all the major agents and brokers associations, as well as the
major insurers associations. Additionally, the National Association of
Insurance Commissioners, NAIC, which represents all State insurance
commissioners, has formally--formally--endorsed this version of the
legislation.
The State-based reform benefits our consumers first, and that is at
the head of the line of our concerns. It benefits our consumers through
increased competition among agents and brokers and leads to greater
consumer choice at lower prices. That is what the consumer is looking
for.
This bill also will assist in an important sector of our economy--
small businesses--by streamlining nonresident licensing regulation. The
House has twice recognized the need for this commonsense reform by
passing nearly this identical legislation, as I said before, subsequent
to suspension rules.
Once again, we ask for your support.
With that, Mr. Speaker, I reserve the balance of my time.
Mr. NEUGEBAUER. Mr. Speaker, I yield 2 minutes to the gentleman from
New Jersey (Mr. Garrett), the chairman of our Capital Markets
Subcommittee.
Mr. GARRETT. Mr. Speaker, I thank the gentleman from Texas for his
leadership on this legislation today.
I rise in support of H.R. 1155, which is the National Association of
Registered Agents and Brokers Reform Act.
This bill is, as we like to say, a commonsense step that will create
a clearinghouse, if you will, for insurance agents and brokers alike to
obtain approval to operate on a multistate basis.
Under current law, an insurance agent who has clients in more than
one State has to obtain licenses in each and every one of those States.
The regulatory process, as you can imagine, varies from State to
State. Obtaining and maintaining a license is both time-consuming and
very expensive.
Having to complete this process over and over and over again
basically compounds the difficulty and often proves daunting, quite
honestly, to smaller agents who are just trying to do their job and to
serve their clients and meet their needs.
What we have here is the NARAB clearinghouse. This would allow the
agents to complete the process only twice--once in their home State and
then once again for NARAB. Then they would be eligible to sell
basically in all the States.
Here is an important point: NARAB is supported by all the
stakeholders, including, as the gentleman just said, by the State
insurance regulators. It does so because it brings much-needed
efficiency to a multistate licensing process.
While doing this, the legislation would also preserve--and to me this
is very important--State-based insurance
[[Page H5449]]
regulation and also consumer protections.
Finally, this legislation would not--as was just pointed out--create
a brand new Federal insurance regulator in its place. By law, NARAB
would not be a regulator or a part of any Federal agency. It would have
no regulatory authority.
With 56--56--different approaches to life insurance, this bipartisan
bill would reduce needless red tape and complexity that is out there,
and it would help insurance agents better serve their clients.
I urge this House to adopt this legislation today.
Mr. DAVID SCOTT of Georgia. Mr. Speaker, I reserve the balance of my
time.
Mr. NEUGEBAUER. Mr. Speaker, I yield 2 minutes to the gentleman from
Tennessee (Mr. Fincher).
Mr. FINCHER. Mr. Speaker, I rise today as a cosponsor in support of
H.R. 1155, the National Association of Registered Agents and Brokers
Reform Act of 2013.
As mentioned, this important legislation strikes the appropriate
balance between easing the licensing requirements for insurance agents
and preserving State authority to supervise and discipline insurance
producers for their actions.
Through this legislation, I hope all consumers, especially the
citizens of Tennessee, will benefit from a more competitive insurance
market. NARAB is supported by all insurance industry stakeholders,
including State insurance regulators, regional and national insurance
companies, and trade associations.
H.R. 1155 is seen as the most effective, efficient way to enable
insurance agents and brokers to be licensed on a multistate basis while
retaining State regulatory authority.
While today's legislation speaks to insurance agents and brokers,
similar issues exist for claims adjusters. To address these issues when
consumers present a claim, I have introduced the CLAIM Act, H.R. 2156,
to streamline the licensing requirements for insurance adjusters
operating outside their home States.
My bill would preserve State authority to supervise and discipline
adjusters for their actions, while streamlining State licensing
regulations.
As we join together today to support H.R. 1155, I call upon my
colleagues to similarly support and enact the CLAIM Act to ensure
consumers receive the same excellent service when they need their
insurance.
I thank the gentleman from Texas (Mr. Neugebauer) for his hard work
on this very well-thought-out legislation. I hope it will help the
citizens of this country receive excellent insurance products and
services.
Mr. DAVID SCOTT of Georgia. Mr. Speaker, I reserve the balance of my
time.
Mr. NEUGEBAUER. Mr. Speaker, I yield 1 minute to the gentleman from
Florida (Mr. Radel).
Mr. RADEL. Mr. Speaker, I rise in support of this bill introduced by
my colleague Representative Neugebauer.
This bill reduces costs for homeowners and renters not only in my
home State of Florida, but for everyone throughout the entire country.
Today, insurance brokers and agents face hurdles when they try to
work across State lines. What this bill does is make it easier and less
expensive for them to get licensed in multiple States. The best part
about this is ultimately it saves you, the consumer, money.
This legislation streamlines the Federal role in real estate
licensing while allowing States to continue setting standards for the
work that best fits their States because, after all, we know what's
best for our States and our communities.
Lowering costs for insurance agents and brokers means more options
and lower prices for consumers. I am glad to support this bipartisan
legislation.
I encourage all of my colleagues to vote for the NARAB Reform Act.
Mr. DAVID SCOTT of Georgia. Mr. Speaker, I reserve the balance of my
time.
Mr. NEUGEBAUER. Mr. Speaker, I reserve the balance of my time.
Mr. DAVID SCOTT of Georgia. If the gentleman has no more speakers, I
will close and then yield back the balance of my time.
I just want to say what a distinguished pleasure it has been to work
with the gentleman from Texas, my good friend on both the Financial
Services Committee and the Ag Committee. We do a lot of great work
together. It is a great pleasure.
I commend this bill to the full House of Representatives and hope we
have a unanimous vote.
Mr. Speaker, I yield back the balance of my time.
{time} 1245
Mr. NEUGEBAUER. I yield myself the balance of my time.
I also want to thank the gentleman from Georgia. He has worked
tirelessly on this issue.
Mr. Speaker, what I think is nice about this issue is that it's
bipartisan. It's a good piece of legislation in that it doesn't expand
government, and it doesn't cost the taxpayers any money. Ultimately, I
think it's going to bring better choices for consumers and, I hope, for
our small business people across the country. For example, in my
congressional district, it is closer to three or four other States than
it is to some of the cities that are within my State, for example, from
Walipp to within a hundred miles of Colorado and within 100 miles of
Oklahoma and Colorado and these other States. Basically, we have a lot
of insurance agencies and agents who now will have the ability to do
business in multiple States in a less cumbersome way, so I encourage
all of my colleagues to support this bill.
With that, 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 Texas (Mr. Neugebauer) that the House suspend the rules
and pass the bill, H.R. 1155, as amended.
The question was taken.
The SPEAKER pro tempore. In the opinion of the Chair, two-thirds
being in the affirmative, the ayes have it.
Mr. NEUGEBAUER. Mr. Speaker, on that I demand the yeas and nays.
The yeas and nays were ordered.
The SPEAKER pro tempore. Pursuant to clause 8 of rule XX, further
proceedings on this motion will be postponed.
____________________