[House Report 112-559] [From the U.S. Government Publishing Office] Union Calendar No. 400 112th Congress, 2d Session - - - - - - - - - - - - House Report 112-559 THIRD SEMIANNUAL REPORT ON THE ACTIVITY OF THE COMMITTEE ON FINANCIAL SERVICES OF THE HOUSE OF REPRESENTATIVES DURING THE ONE HUNDRED TWELFTH CONGRESS PURSUANT TO Clause 1(d) Rule XI of the Rules of the House of Representatives [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] June 29, 2012.--Committed to the Committee of the Whole House on the State of the Union and ordered to be printed THIRD SEMIANNUAL REPORT ON THE ACTIVITY OF THE COMMITTEE ON FINANCIAL SERVICES FOR THE 112TH CONGRESS Union Calendar No. 400 112th Congress, 2d Session - - - - - - - - - - - - House Report 112-559 THIRD SEMIANNUAL REPORT ON THE ACTIVITY OF THE COMMITTEE ON FINANCIAL SERVICES OF THE HOUSE OF REPRESENTATIVES DURING THE ONE HUNDRED TWELFTH CONGRESS PURSUANT TO Clause 1(d) Rule XI of the Rules of the House of Representatives [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] June 29, 2012.--Committed to the Committee of the Whole House on the State of the Union and ordered to be printed ______ U.S. GOVERNMENT PRINTING OFFICE 74-880 PDF WASHINGTON : 2012 LETTER OF TRANSMITTAL ---------- House of Representatives, Committee on Financial Services, Washington, DC, June 29, 2012. Hon. Karen Lehman Haas, Clerk of the House of Representatives, Washington, DC 20515 Dear Ms. Haas: Pursuant to clause 1(d) of rule XI of the Rules of the House of Representatives for the 112th Congress, I present herewith the third report on the activity of the Committee on Financial Services for the 112th Congress, including the Committee's review and study of legislation within its jurisdiction, and the oversight activities undertaken by the Committee. Sincerely, Spencer Bachus, Chairman. C O N T E N T S ---------- Page Jurisdiction..................................................... 1 Memorandum of Understanding...................................... 2 Rules of the Committee........................................... 4 Membership and Organization...................................... 32 Legislative and Oversight Activities............................. 39 Full Committee Legislative and Oversight Activities.............. 98 Subcommittee on Capital Markets and Government Sponsored Enterprises.................................................... 147 Subcommittee on Domestic Monetary Policy and Technology.......... 187 Subcommittee on Financial Institutions and Consumer Credit....... 197 Subcommittee on Insurance, Housing and Community Opportunity..... 218 Subcommittee on International Monetary Policy and Trade.......... 236 Subcommittee on Oversight and Investigations..................... 241 Oversight Plan for the 112th Congress............................ 248 Implementation of the Oversight Plan for the 112th Congress...... 275 House Rule XI 1(d)(2)(E) Hearings................................ 343 House Resolution 72 Activity..................................... 345 Appendix I--Committee Legislation................................ 353 Part A--Committee Reports.................................... 353 Part B--Public Laws.......................................... 354 Appendix II--Committee Publications.............................. 355 Part A--Committee Hearings................................... 355 Part B--Committee Prints..................................... 358 Union Calendar No. 400 112th Congress } { Report 2d Session } HOUSE OF REPRESENTATIVES { 112-559 ======================================================================= THIRD SEMIANNUAL REPORT ON THE ACTIVITY OF THE COMMITTEE ON FINANCIAL SERVICES FOR THE 112TH CONGRESS _______ June 29, 2012.--Committed to the Committee of the Whole House on the State of the Union and ordered to be printed _______ Mr. Bachus, from the Committee on Financial Services, submitted the following R E P O R T Clause 1(d) of rule XI of the Rules of the House of Representatives for the 112th Congress requires that each standing committee, not later than the 30th day after June 1 and December 1, submit to the House a report on the activities of that committee, including separate sections summarizing the legislative and oversight activities of that committee during that Congress. JURISDICTION Rules of the House Clause 1(h) of rule X of the Rules of the House of Representatives for the 112th Congress sets forth the jurisdiction of the Committee on Financial Services as follows-- (1) Banks and banking, including deposit insurance and Federal monetary policy. (2) Economic stabilization, defense production, renegotiation, and control of the price of commodities, rents, and services. (3) Financial aid to commerce and industry (other than transportation). (4) Insurance generally. (5) International finance. (6) International financial and monetary organizations. (7) Money and credit, including currency and the issuance of notes and redemption thereof; gold and silver, including the coinage thereof; valuation and revaluation of the dollar. (8) Public and private housing. (9) Securities and exchanges. (10) Urban development. Memorandum of Understanding The Committee on Financial Services was established when the House agreed to H. Res. 5, establishing the Rules of the House of Representatives for the 107th Congress, on January 3, 2001. The jurisdiction of the Committee on Financial Services consists of the jurisdiction granted the Committee on Banking and Financial Services in the 106th Congress, along with jurisdiction over insurance generally and securities and exchanges, matters which had previously been within the jurisdiction of the Committee on Commerce in the 106th and previous congresses. On January 20, 2001,\1\ the Speaker inserted the following memorandum of understanding between the chairmen of the Committee on Financial Services and the Committee on Energy and Commerce further clarifying these jurisdictional changes? --------------------------------------------------------------------------- \1\The version of the memorandum printed in the January 20, 2001 Congressional Record contained a typographic error. A corrected version of the memorandum, which appears below, was printed in the January 30, 2001 edition of the Congressional Record. --------------------------------------------------------------------------- January 20, 2001. On January 3, 2001, the House agreed to H. Res. 5, establishing the rules of the House for the 107th Congress. Section 2(d) of H. Res. 5 contained a provision renaming the Banking Committee as the Financial Services Committee and transferring jurisdiction over securities and exchanges and insurance from the Commerce Committee to the Financial Services Committee. The Commerce Committee was also renamed the Energy and Commerce Committee. The Committee on Energy and Commerce and the Committee on Financial Services jointly acknowledge as the authoritative source of legislative history concerning section 2(d) of H. Res. 5 the following statement of Rules Committee Chairman David Dreier during floor consideration of the resolution: ``In what is obviously one of our most significant changes, Mr. Speaker, section 2(d) of the resolution establishes a new Committee on Financial Services, which will have jurisdiction over the following matters: ``(1) banks and banking, including deposit insurance and Federal monetary policy; ``(2) economic stabilization, defense production, renegotiation, and control of the price of commodities, rents, and services; ``(3) financial aid to commerce and industry (other than transportation); ``(4) insurance generally; ``(5) international finance; ``(6) international financial and monetary organizations; ``(7) money and credit, including currency and the issuance of notes and redemption thereof; gold and silver, including the coinage thereof; valuation and revaluation of the dollar; ``(8) public and private housing; ``(9) securities and exchanges; and ``(10) urban development. ``Mr. Speaker, jurisdiction over matters relating to securities and exchanges is transferred in its entirety from the Committee on Commerce, which will be redesignated under this rules change to the Committee on Energy and Commerce, and it will now be transferred from the new Committee on Energy and Commerce to this new Committee on Financial Services. This transfer is not intended to convey to the Committee on Financial Services jurisdiction currently in the Committee on Agriculture regarding commodity exchanges. ``Furthermore, this change is not intended to convey to the Committee on Financial Services jurisdiction over matters relating to regulation and SEC oversight of multi-State public utility holding companies and their subsidiaries, which remain essentially matters of energy policy. ``Mr. Speaker, as a result of the transfer of jurisdiction over matters relating to securities and exchanges, redundant jurisdiction over matters relating to bank capital markets activities generally and depository institutions securities activities, which were formerly matters in the jurisdiction of the Committee on Banking and Financial Services, have been removed from clause 1 of rule X. ``Matters relating to insurance generally, formerly within the jurisdiction of the redesignated Committee on Energy and Commerce, are transferred to the jurisdiction of the Committee on Financial Services. ``The transfer of any jurisdiction to the Committee on Financial Services is not intended to limit the Committee on Energy and Commerce's jurisdiction over consumer affairs and consumer protection matters. ``Likewise, existing health insurance jurisdiction is not transferred as a result of this change. ``Furthermore, the existing jurisdictions of other committees with respect to matters relating to crop insurance, Workers' Compensation, insurance anti-trust matters, disaster insurance, veterans' life and health insurance, and national social security policy are not affected by this change. ``Finally, Mr. Speaker, the changes and legislative history involving the Committee on Financial Services and the Committee on Energy and Commerce do not preclude future memorandum of understanding between the chairmen of these respective committees.'' By this memorandum the two committees undertake to record their further mutual understandings in this matter, which will supplement the statement quoted above. It is agreed that the Committee on Energy and Commerce will retain jurisdiction over bills dealing broadly with electronic commerce, including electronic communications networks (ECNs). However, a bill amending the securities laws to address the specific type of electronic securities transaction currently governed by a special SEC regulation as an Alternative Trading System (ATS) would be referred to the Committee on Financial Services. While it is agreed that the jurisdiction of the Committee on Financial Services over securities and exchanges includes anti-fraud authorities under the securities laws, the Committee on Energy and Commerce will retain jurisdiction only over the issue of setting of accounting standards by the Financial Accounting Standards Board. W.J. ``Billy'' Tauzin, Chairman, Committee on Energy and Commerce, Michael G. Oxley, Chairman, Committee on Financial Services. However, on the opening day of the 109th Congress (January 4, 2005), the following announcement was made by the Speaker: The SPEAKER. Based on discussions with the relevant committees, the further mutual understandings contained in the final two paragraphs of the ``Memorandum of Understanding Between Energy and Commerce Committee and Financial Services Committee'' dated January 30, 2001, shall no longer provide jurisdictional guidance. RULES OF THE COMMITTEE ON FINANCIAL SERVICES U.S. House of Representatives 112th Congress First Session ---------- Rule 1 GENERAL PROVISIONS (a) The rules of the House are the rules of the Committee on Financial Services (hereinafter in these rules referred to as the ``Committee'') and its subcommittees so far as applicable, except that a motion to recess from day to day, and a motion to dispense with the first reading (in full) of a bill or resolution, if printed copies are available, are privileged motions in the Committee and shall be considered without debate. A proposed investigative or oversight report shall be considered as read if it has been available to the members of the Committee for at least 24 hours (excluding Saturdays, Sundays, or legal holidays except when the House is in session on such day). (b) Each subcommittee is a part of the Committee, and is subject to the authority and direction of the Committee and to its rules so far as applicable. (c) The provisions of clause 2 of rule XI of the Rules of the House are incorporated by reference as the rules of the Committee to the extent applicable. Rule 2 MEETINGS Calling of Meetings (a)(1) The Committee shall regularly meet on the first Tuesday of each month when the House is in session. (2) A regular meeting of the Committee may be dispensed with if, in the judgment of the Chairman of the Committee (hereinafter in these rules referred to as the ``Chair''), there is no need for the meeting. (3) Additional regular meetings and hearings of the Committee may be called by the Chair, in accordance with clause 2(g)(3) of rule XI of the Rules of the House. (4) Special meetings shall be called and convened by the Chair as provided in clause 2(c)(2) of rule XI of the Rules of the House. Notice for Meetings (b)(1) The Chair shall notify each member of the Committee of the agenda of each regular meeting of the Committee at least three calendar days before the time of the meeting. (2) The Chair shall provide to each member of the Committee, at least three calendar days before the time of each regular meeting for each measure or matter on the agenda a copy of-- (A) the measure or materials relating to the matter in question; and (B) an explanation of the measure or matter to be considered, which, in the case of an explanation of a bill, resolution, or similar measure, shall include a summary of the major provisions of the legislation, an explanation of the relationship of the measure to present law, and a summary of the need for the legislation. (3) At least 24 hours prior to the commencement of a meeting for the markup of legislation, the Chair shall cause the text of such legislation to be made publicly available in electronic form. (4) The provisions of this subsection may be waived by a two- thirds vote of the Committee or by the Chair with the concurrence of the ranking minority member. Rule 3 MEETING AND HEARING PROCEDURES In General (a)(1) Meetings and hearings of the Committee shall be called to order and presided over by the Chair or, in the Chair's absence, by the member designated by the Chair as the Vice Chair of the Committee, or by the ranking majority member of the Committee present as Acting Chair. (2) Meetings and hearings of the committee shall be open to the public unless closed in accordance with clause 2(g) of rule XI of the Rules of the House. (3) Any meeting or hearing of the Committee that is open to the public shall be open to coverage by television broadcast, radio broadcast, and still photography in accordance with the provisions of clause 4 of rule XI of the Rules of the House (which are incorporated by reference as part of these rules). Operation and use of any Committee operated broadcast system shall be fair and nonpartisan and in accordance with clause 4(b) of rule XI and all other applicable rules of the Committee and the House. (4) Opening statements by members at the beginning of any hearing or meeting of the Committee shall be limited to 5 minutes each for the Chair or ranking minority member, or their respective designee, and 3 minutes each for all other members. (5) To the extent feasible, members and witnesses may use the Committee equipment for the purpose of presenting information electronically during a meeting or hearing provided the information is transmitted to the appropriate Committee staff in an appropriate electronic format at least one business day before the meeting or hearing so as to ensure display capacity and quality. The content of all materials must relate to the pending business of the Committee and conform to the rules of the House. The confidentiality of the material will be maintained by the technical staff until its official presentation to the Committee members. For the purposes of maintaining the official records of the committee, printed copies of all materials presented, to the extent practicable, must accompany the presentations. (6) No person, other than a Member of Congress, Committee staff, or an employee of a Member when that Member has an amendment under consideration, may stand in or be seated at the rostrum area of the Committee rooms unless the Chair determines otherwise. Quorum (b)(1) For the purpose of taking testimony and receiving evidence, two members of the Committee shall constitute a quorum. (2) A majority of the members of the Committee shall constitute a quorum for the purposes of reporting any measure or matter, of authorizing a subpoena, of closing a meeting or hearing pursuant to clause 2(g) of rule XI of the rules of the House (except as provided in clause 2(g)(2)(A) and (B)) or of releasing executive session material pursuant to clause 2(k)(7) of rule XI of the rules of the House. (3) For the purpose of taking any action other than those specified in paragraph (2) one-third of the members of the Committee shall constitute a quorum. Voting (c)(1) No vote may be conducted on any measure or matter pending before the Committee unless the requisite number of members of the Committee is actually present for such purpose. (2) A record vote of the Committee shall be provided on any question before the Committee upon the request of one-fifth of the members present. (3) No vote by any member of the Committee on any measure or matter may be cast by proxy. (4) In addition to any other requirement of these rules or the Rules of the House, including clause 2(e)(1)(B) of rule XI, the Chair shall make the record of the votes on any question on which a record vote is demanded publicly available for inspection at the offices of the Committee and in electronic form on the Committee's Web site not later than one business day after such vote is taken. Such record shall include in electronic form the text of the amendment, motion, order, or other proposition, the name of each member voting for and each member voting against such amendment, motion, order, or proposition, and the names of those members of the committee present but not voting. With respect to any record vote on any motion to report or record vote on any amendment, a record of such votes shall be included in the report of the Committee showing the total number of votes cast for and against and the names of those members of the committee present but not voting. (5) Postponed Record Votes.--(A) Subject to subparagraph (B), the Chairman may postpone further proceedings when a record vote is ordered on the question of approving any measure or matter or adopting an amendment. The Chairman may resume proceedings on a postponed request at any time, but no later than the next meeting day. (B) in exercising postponement authority under subparagraph (A), the Chairman shall take all reasonable steps necessary to notify members on the resumption of proceedings on any postponed record vote; (C) When proceedings resume on a postponed question, not-withstanding any intervening order for the previous question, an underlying proposition shall remain subject to further debate or amendment to the same extent as when the question was postponed. Hearing Procedures (d)(1)(A) The Chair shall make public announcement of the date, place, and subject matter of any committee hearing at least one week before the commencement of the hearing, unless the Chair, with the concurrence of the ranking minority member, or the Committee by majority vote with a quorum present for the transaction of business, determines there is good cause to begin the hearing sooner, in which case the Chair shall make the announcement at the earliest possible date. (B) Not less than three days before the commencement of a hearing announced under this paragraph, the Chair shall provide to the members of the Committee a concise summary of the subject of the hearing, or, in the case of a hearing on a measure or matter, a copy of the measure or materials relating to the matter in question and a concise explanation of the measure or matter to be considered. At the same time the Chair provides the information required by the preceding sentence, the Chair shall also provide to the members of the Committee a final list consisting of the names of each witness who is to appear before the Committee at that hearing. The witness list may not be modified within 24 hours of a hearing, unless the Chair, with the concurrence of the ranking minority member, determines there is good cause for such modification. (2) To the greatest extent practicable-- (A) each witness who is to appear before the Committee shall file with the Committee two business days in advance of the appearance sufficient copies (including a copy in electronic form), as determined by the Chair, of a written statement of proposed testimony and shall limit the oral presentation to the Committee to brief summary thereof; and (B) each witness appearing in a non-governmental capacity shall include with the written statement of proposed testimony a curriculum vitae and a disclosure of the amount and source (by agency and program) of any Federal grant (or subgrant hereof) or contract (or subcontract thereof) received during the current fiscal year or either of the two preceding fiscal years. Such disclosure statements, with appropriate redactions to protect the privacy of the witness, shall be made publicly available in electronic form not later than one day after the witness appears. (3) The requirements of paragraph (2)(A) may be modified or waived by the Chair when the Chair determines it to be in the best interest of the Committee. (4) The five-minute rule shall be observed in the interrogation of witnesses before the Committee until each member of the Committee has had an opportunity to question the witnesses. No member shall be recognized for a second period of five minutes to interrogate witnesses until each member of the Committee present has been recognized once for that purpose. (5) Whenever any hearing is conducted by the Committee on any measure or matter, the minority party members of the Committee shall be entitled, upon the request of a majority of them before the completion of the hearing, to call witnesses with respect to that measure or matter during at least one day of hearing thereon. Subpoenas and Oaths (e)(1) Pursuant to clause 2(m) of rule XI of the Rules of the House, a subpoena may be authorized and issued by the Committee or a subcommittee in the conduct of any investigation or series of investigations or activities, only when authorized by a majority of the members voting, a majority being present, or pursuant to paragraph (2). (2) The Chair, with the concurrence of the ranking minority member, may authorize and issue subpoenas under such clause during any period for which the House has adjourned for a period in excess of three days when, in the opinion of the Chair, authorization and issuance of the subpoena is necessary to obtain the material or testimony set forth in the subpoena. The Chair shall report to the members of the Committee on the authorization and issuance of a subpoena during the recess period as soon as practicable, but in no event later than one week after service of such subpoena. (3) Authorized subpoenas shall be signed by the Chair or by any member designated by the Committee, and may be served by any person designated by the Chair or such member. (4) The Chair, or any member of the Committee designated by the Chair, may administer oaths to witnesses before the Committee. Special Procedures (f)(1)(A) Commemorative Medals and Coins.--It shall not be in order for the Subcommittee on Domestic Monetary Policy and Technology to hold a hearing on any commemorative medal or commemorative coin legislation unless the legislation is cosponsored by at least two-thirds of the members of the House. (B) It shall not be in order for the subcommittee to approve a bill or measure authorizing commemorative coins for consideration by the full Committee which does not conform with the mintage restrictions established by section 5112 of title 31, United States Code. (C) In considering legislation authorizing Congressional gold medals, the subcommittee shall apply the following standards-- (i) the recipient shall be a natural person; (ii) the recipient shall have performed an achievement that has an impact on American history and culture that is likely to be recognized as a major achievement in the recipient's field long after the achievement; (iii) the recipient shall not have received a medal previously for the same or substantially the same achievement; (iv) the recipient shall be living or, if deceased, shall have been deceased for not less than five years and not more than twenty five years; (v) the achievements were performed in the recipient's field of endeavor, and represent either a lifetime of continuous superior achievements or a single achievement so significant that the recipient is recognized and acclaimed by others in the same field, as evidenced by the recipient having received the highest honors in the field. (2) Testimony of Certain Officials.-- (A) Notwithstanding subsection (a)(4), when the Chair announces a hearing of the Committee for the purpose of receiving-- (i) testimony from the Chairman of the Federal Reserve Board pursuant to section 2B of the Federal Reserve Act (12 U.S.C. 221 et seq.), or (ii) testimony from the Chairman of the Federal Reserve Board or a member of the President's cabinet at the invitation of the Chair, the Chair may, in consultation with the ranking minority member, limit the number and duration of opening statements to be delivered at such hearing. The limitation shall be included in the announcement made pursuant to subsection (d)(1)(A), and shall provide that the opening statements of all members of the Committee shall be made a part of the hearing record. (B) Notwithstanding subsection (a)(4), at any hearing of the Committees for the purpose of receiving testimony (other than testimony described in clause (i) or (ii) of subparagraph (A)), the Chair may, after consultation with the ranking minority member, limit the duration of opening statements to ten minutes, to be divided between the Chair and Chair of the pertinent subcommittee, or the Chair's designees, and ten minutes, to be controlled by the ranking minority member, or the ranking minority member's designees. Following such time, the duration for opening statements may be extended by agreement between the Chairman and ranking minority member, to be divided at the discretion of the Chair or ranking minority member. The Chair shall provide that the opening statements for all members of the Committee shall be made a part of the hearing record. (C) At any hearing of a subcommittee, the Chair of the subcommittee may, in consultation with the ranking minority member of the subcommittee, limit the duration of opening statements to ten minutes, to be divided between the Subcommittee Chair or Chair's designees and ten minutes, to be controlled by the ranking minority member of the Subcommittee or the ranking minority member's designees. Following such time, the duration for opening statements may be extended by agreement between the Chair of the subcommittee and ranking minority member of the subcommittee, to be divided at the discretion of the Chair of the subcommittee or ranking minority member of the subcommittee. The Chair of the subcommittee shall ensure that opening statements for all members shall be made a part of the hearing record. (D) If the Chair and ranking minority member acting jointly determine that extraordinary circumstances exist necessitating allowing members to make opening statements, subparagraphs (B) or (C), as the case may be, shall not apply to such hearing. Rule 4 PROCEDURES FOR REPORTING MEASURES OR MATTERS (a) No measure or matter shall be reported from the Committee unless a majority of the Committee is actually present. (b) The Chair of the Committee shall report or cause to be reported promptly to the House any measure approved by the Committee and take necessary steps to bring a matter to a vote. (c) The report of the Committee on a measure which has been approved by the Committee shall be filed within seven calendar days (exclusive of days on which the House is not in session) after the day on which there has been filed with the clerk of the Committee a written request, signed by a majority of the members of the Committee, for the reporting of that measure pursuant to the provisions of clause 2(b)(2) of rule XIII of the Rules of the House. (d) All reports printed by the Committee pursuant to a legislative study or investigation and not approved by a majority vote of the Committee shall contain the following disclaimer on the cover of such report: ``This report has not been officially adopted by the Committee on Financial Services and may not necessarily reflect the views of its Members.'' (e) The Chair is directed to offer a motion under clause 1 of rule XXII of the Rules of the House whenever the Chair considers it appropriate. Rule 5 SUBCOMMITTEES Establishment and Responsibilities of Subcommittees (a)(1) There shall be six subcommittees of the Committee as follows: (A) Subcommittee on Capital Markets and Government Sponsored Enterprises.--The jurisdiction of the Subcommittee on Capital Markets and Government Sponsored Enterprises includes-- (i) securities, exchanges, and finance; (ii) capital markets activities, including business capital formation and venture capital; (iii) activities involving futures, forwards, options, and other types of derivative instruments; (iv) the Securities and Exchange Commission; (v) secondary market organizations for home mortgages, including the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation, and the Federal Agricultural Mortgage Corporation; (vi) the Federal Housing Finance Agency; and (vii) the Federal Home Loan Banks. (B) Subcommittee on Domestic Monetary Policy and Technology.--The jurisdiction of the Subcommittee on Domestic Monetary Policy and Technology includes-- (i) financial aid to all sectors and elements within the economy; (ii) economic growth and stabilization; (iii) defense production matters as contained in the Defense Production Act of 1950, as amended; (iv) domestic monetary policy, and agencies which directly or indirectly affect domestic monetary policy, including the effect of such policy and other financial actions on interest rates, the allocation of credit, and the structure and functioning of domestic financial institutions; (v) coins, coinage, currency, and medals, including commemorative coins and medals, proof and mint sets and other special coins, the Coinage Act of 1965, gold and silver, including the coinage thereof (but not the par value of gold), gold medals, counterfeiting, currency denominations and design, the distribution of coins, and the operations of the Bureau of the Mint and the Bureau of Engraving and Printing; and, (vi) development of new or alternative forms of currency. (C) Subcommittee on Financial Institutions and Consumer Credit.--The jurisdiction of the Subcommittee on Financial Institutions and Consumer Credit includes-- (i) all agencies, including the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation, the Board of Governors of the Federal Reserve System and the Federal Reserve System, the Office of Thrift Supervision, and the National Credit Union Administration, which directly or indirectly exercise supervisory or regulatory authority in connection with, or provide deposit insurance for, financial institutions, and the establishment of interest rate ceilings on deposits; (ii) all matters related to the Bureau of Consumer Financial Protection; (iii) the chartering, branching, merger, acquisition, consolidation, or conversion of financial institutions; (iv) consumer credit, including the provision of consumer credit by insurance companies, and further including those matters in the Consumer Credit Protection Act dealing with truth in lending, extortionate credit transactions, restrictions on garnishments, fair credit reporting and the use of credit information by credit bureaus and credit providers, equal credit opportunity, debt collection practices, and electronic funds transfers; (v) creditor remedies and debtor defenses, Federal aspects of the Uniform Consumer Credit Code, credit and debit cards, and the preemption of State usury laws; (vi) consumer access to financial services, including the Home Mortgage Disclosure Act and the Community Reinvestment Act; (vii) the terms and rules of disclosure of financial services, including the advertisement, promotion and pricing of financial services, and availability of government check cashing services; (viii) deposit insurance; and (ix) consumer access to savings accounts and checking accounts in financial institutions, including lifeline banking and other consumer accounts. (D) Subcommittee on Insurance, Housing and Community Opportunity.--The jurisdiction of the Subcommittee on Insurance, Housing and Community Opportunity includes-- (i) insurance generally; terrorism risk insurance; private mortgage insurance; government sponsored insurance programs, including those offering protection against crime, fire, flood (and related land use controls), earthquake and other natural hazards; the Federal Insurance Office; (ii) housing (except programs administered by the Department of Veterans Affairs), including mortgage and loan insurance pursuant to the National Housing Act; rural housing; housing and homeless assistance programs; all activities of the Government National Mortgage Association; housing construction and design and safety standards; housing-related energy conservation; housing research and demonstration programs; financial and technical assistance for nonprofit housing sponsors; housing counseling and technical assistance; regulation of the housing industry (including landlord/tenant relations); and real estate lending including regulation of settlement procedures; (iii) community development and community and neighborhood planning, training and research; national urban growth policies; urban/rural research and technologies; and regulation of interstate land sales; and, (iv) the qualifications for and designation of Empowerment Zones and Enterprise Communities (other than matters relating to tax benefits). (E) Subcommittee on International Monetary Policy and Trade.--The jurisdiction of the Subcommittee on International Monetary Policy and Trade includes-- (i) multilateral development lending institutions, including activities of the National Advisory Council on International Monetary and Financial Policies as related thereto, and monetary and financial developments as they relate to the activities and objectives of such institutions; (ii) international trade, including but not limited to the activities of the Export-Import Bank; (iii) the International Monetary Fund, its permanent and temporary agencies, and all matters related thereto; and (iv) international investment policies, both as they relate to United States investments for trade purposes by citizens of the United States and investments made by all foreign entities in the United States. (F) Subcommittee on Oversight and Investigations.-- The jurisdiction of the Subcommittee on Oversight and Investigations includes-- (i) the oversight of all agencies, departments, programs, and matters within the jurisdiction of the Committee, including the development of recommendations with regard to the necessity or desirability of enacting, changing, or repealing any legislation within the jurisdiction of the Committee, and for conducting investigations within such jurisdiction; and (ii) research and analysis regarding matters within the jurisdiction of the Committee, including the impact or probable impact of tax policies affecting matters within the jurisdiction of the Committee. (2) In addition, each such subcommittee shall have specific responsibility for such other measures or matters as the Chair refers to it. (3) Each subcommittee of the Committee shall review and study, on a continuing basis, the application, administration, execution, and effectiveness of those laws, or parts of laws, the subject matter of which is within its general responsibility. Referral of Measures and Matters to Subcommittees (b)(1) The Chair shall regularly refer to one or more subcommittees such measures and matters as the Chair deems appropriate given its jurisdiction and responsibilities. In making such a referral, the Chair may designate a subcommittee of primary jurisdiction and subcommittees of additional or sequential jurisdiction. (2) All other measures or matters shall be subject to consideration by the full Committee. (3) In referring any measure or matter to a subcommittee, the Chair may specify a date by which the subcommittee shall report thereon to the Committee. (4) The Committee by motion may discharge a subcommittee from consideration of any measure or matter referred to a sub- committee of the Committee. Composition of Subcommittees (c)(1) Members shall be elected to each subcommittee and to the positions of chair and ranking minority member thereof, in accordance with the rules of the respective party caucuses. The Chair of the Committee shall designate a member of the majority party on each subcommittee as its vice chair. (2) The Chair and ranking minority member of the Committee shall be ex officio members with voting privileges of each subcommittee of which they are not assigned as members and may be counted for purposes of establishing a quorum in such subcommittees. (3) The subcommittees shall be comprised as follows: (A) The Subcommittee on Capital Markets and Government Sponsored Enterprises shall be comprised of 35 members, 20 elected by the majority caucus and 15 elected by the minority caucus. (B) The Subcommittee on Domestic Monetary Policy and Technology shall be comprised of 14 members, 8 elected by the majority caucus and 6 elected by the minority caucus. (C) The Subcommittee on Financial Institutions and Consumer Credit shall be comprised of 30 members, 17 elected by the majority caucus and 13 elected by the minority caucus. (D) The Subcommittee on Insurance, Housing and Community Opportunity shall be comprised of 18 members, 10 elected by the majority caucus and 8 elected by the minority caucus. (E) The Subcommittee on International Monetary Policy and Trade shall be comprised of 14 members 8 elected by the majority caucus and 6 elected by the minority caucus. (F) The Subcommittee on Oversight and Investigations shall be comprised of 18 members, 10 elected by the majority caucus and 8 elected by the minority caucus. Subcommittee Meetings and Hearings (d)(1) Each subcommittee of the Committee is authorized to meet, hold hearings, receive testimony, mark up legislation, and report to the full Committee on any measure or matter referred to it, consistent with subsection (a). (2) No subcommittee of the Committee may meet or hold a hearing at the same time as a meeting or hearing of the Committee. (3) The chair of each subcommittee shall set hearing and meeting dates only with the approval of the Chair with a view toward assuring the availability of meeting rooms and avoiding simultaneous scheduling of Committee and subcommittee meetings or hearings. Effect of a Vacancy (e) Any vacancy in the membership of a subcommittee shall not affect the power of the remaining members to execute the functions of the subcommittee as long as the required quorum is present. Records (f) Each subcommittee of the Committee shall provide the full Committee with copies of such records of votes taken in the subcommittee and such other records with respect to the subcommittee as the Chair deems necessary for the Committee to comply with all rules and regulations of the House. Rule 6 STAFF In General (a)(1) Except as provided in paragraph (2), the professional and other staff of the Committee shall be appointed, and may be removed by the Chair, and shall work under the general supervision and direction of the Chair. (2) All professional and other staff provided to the minority party members of the Committee shall be appointed, and may be removed, by the ranking minority member of the Committee, and shall work under the general supervision and direction of such member. (3) It is intended that the skills and experience of all members of the Committee staff be available to all members of the Committee. Subcommittee Staff (b) From funds made available for the appointment of staff, the Chair of the Committee shall, pursuant to clause 6(d) of rule X of the Rules of the House, ensure that sufficient staff is made available so that each subcommittee can carry out its responsibilities under the rules of the Committee and that the minority party is treated fairly in the appointment of such staff. Compensation of Staff (c)(1) Except as provided in paragraph (2), the Chair shall fix the compensation of all professional and other staff of the Committee. (2) The ranking minority member shall fix the compensation of all professional and other staff provided to the minority party members of the Committee. Rule 7 BUDGET AND TRAVEL Budget (a)(1) The Chair, in consultation with other members of the Committee, shall prepare for each Congress a budget providing amounts for staff, necessary travel, investigation, and other expenses of the Committee and its subcommittees. (2) From the amount provided to the Committee in the primary expense resolution adopted by the House of Representatives, the Chair, after consultation with the ranking minority member, shall designate an amount to be under the direction of the ranking minority member for the compensation of the minority staff, travel expenses of minority members and staff, and minority office expenses. All expenses of minority members and staff shall be paid for out of the amount so set aside. Travel (b)(1) The Chair may authorize travel for any member and any staff member of the Committee in connection with activities or subject matters under the general jurisdiction of the Committee. Before such authorization is granted, there shall be submitted to the Chair in writing the following: (A) The purpose of the travel. (B) The dates during which the travel is to occur. (C) The names of the States or countries to be visited and the length of time to be spent in each. (D) The names of members and staff of the Committee for whom the authorization is sought. (2) Members and staff of the Committee shall make a written report to the Chair on any travel they have conducted under this subsection, including a description of their itinerary, expenses, and activities, and of pertinent information gained as a result of such travel. (3) Members and staff of the Committee performing authorized travel on official business shall be governed by applicable laws, resolutions, and regulations of the House and of the Committee on House Administration. Rule 8 COMMITTEE ADMINISTRATION Records (a)(1) There shall be a transcript made of each regular meeting and hearing of the Committee and the transcript may be printed if the Chair decides it is appropriate or if a majority of the members of the Committee requests such printing. Any such transcripts shall be a substantially verbatim account of remarks actually made during the proceedings, subject only to technical, grammatical, and typographical corrections authorized by the person making the remarks. Nothing in this paragraph shall be construed to require that all such transcripts be subject to correction and publication. (2) The Committee shall keep a record of all actions of the Committee and of its subcommittees. The record shall contain all information required by clause 2(e)(1) of rule XI of the Rules of the House and shall be available in electronic form and for public inspection at reasonable times in the offices of the Committee. (3) All Committee hearings, records, data, charts, and files shall be kept separate and distinct from the congressional office records of the Chair, shall be the property of the House, and all Members of the House shall have access thereto as provided in clause 2(e)(2) of rule XI of the Rules of the House. (4) The records of the Committee at the National Archives and Records Administration shall be made available for public use in accordance with rule VII of the Rules of the House of Representatives. The Chair shall notify the ranking minority member of any decision, pursuant to clause 3(b)(3) or clause 4(b) of the rule, to withhold a record otherwise available, and the matter shall be presented to the Committee for a determination on written request of any member of the Committee. Committee Publications on the Internet (b) To the maximum extent feasible, the Committee shall make its publications available in electronic form. Audio and Video Coverage of Committee Hearings and Meetings (c)(1) To the maximum extent feasible, the Committee shall provide audio and video coverage of each hearing or meeting for the transaction of business in a manner that allows the public to easily listen to and view the proceedings; and, (2) maintain the recordings of such coverage in a manner that is easily accessible to the public. APPENDIX 1 Applicable Provisions of Clauses 1, 2, and 4 of Rule XI and Clauses 2 and 3 of Rule XIII of the Rules of the House of Representatives for the 112th Congress January 5, 2011 Rule XI: Procedures of Committees and Unfinished Business Clauses 1 and 2: Rules for Standing Committees In general 1. (a)(1)(A) The Rules of the House are the rules of its committees and subcommittees so far as applicable. (B) Each subcommittee is a part of its committee and is subject to the authority and direction of that committee and to its rules, so far as applicable. (2)(A) In a committee or subcommittee-- (1) a motion to recess from day to day, or to recess subject to the call of the Chair (within 24 hours), shall be privileged; and (ii) a motion to dispense with the first reading (in full) of a bill or resolution shall be privileged if printed copies are available. (B) A motion accorded privilege under this subparagraph shall be decided without debate. (b)(1) Each committee may conduct at any time such investigations and studies as it considers necessary or appropriate in the exercise of its responsibilities under rule X. Subject to the adoption of expense resolutions as required by clause 6 of rule X, each committee may incur expenses, including travel expenses, in connection with such investigations and studies. (2) A proposed investigative or oversight report shall be considered as read in committee if it has been available to the members for at least 24 hours (excluding Saturdays, Sundays, or legal holidays except when the House is in session on such a day). (3) A report of an investigation or study conducted jointly by more than one committee may be filed jointly, provided that each of the committees complies independently with all requirements for approval and filing of the report. (4) After an adjournment sine die of the last regular session of a Congress, an investigative or oversight report may be filed with the Clerk at any time, provided that a member who gives timely notice of intention to file supplemental, minority, or additional views shall be entitled to not less than seven calendar days in which to submit such views for inclusion in the report. (c) Each committee may have printed and bound such testimony and other data as may be presented at hearings held by the committee or its subcommittees. All costs of stenographic services and transcripts in connection with a meeting or hearing of a committee shall be paid from the applicable accounts of the House described in clause 1(k)( 1) of rule X. (d)(1) Not later than the 30th day after June 1 and December 1, a committee shall submit to the House a semiannual report on the activities of that committee. (2) Such report shall include-- (A) separate sections summarizing the legislative and oversight activities of that committee under this rule and rule X during the applicable period; (B) in the case of the first such report, a summary of the oversight plans submitted by the committee under clause 2(d) of rule X; (C) a summary of the actions taken and recommendations made with respect to the oversight plans specified in subdivision (B); (D) a summary of any additional oversight activities undertaken by that committee and any recommendations made or actions taken thereon; and (E) a delineation of any hearings held pursuant to clauses 2(n), (O), or (p) of this rule. (3) After an adjournment sine die of a regular session of a Congress or after December 15, whichever occurs first, the chair of a committee may file the second or fourth semiannual report described in subparagraph (1) with the Clerk at any time and without approval of the committee, provided that-- (A) a copy of the report has been available to each member of the committee for at least seven calendar days; and (B) the report includes any supplemental, minority, or additional views submitted by a member of the committee. Adoption of written rules 2. (a)(1) Each standing committee shall adopt written rules governing its procedure. Such rules-- (A) shall be adopted in a meeting that is open to the public unless the committee, in open session and with a quorum present, determines by record vote that all or part of the meeting on that day shall be closed to the public; (B) may not be inconsistent with the Rules of the House or with those provisions of law having the force and effect of Rules of the House; and (C) shall in any event incorporate all of the succeeding provisions of this clause to the extent applicable. (2) Each committee shall make its rules publicly available in electronic form and submit such rules for publication in the Congressional Record not later than 30 days after the chair of the committee is elected in each odd-numbered year. (3) A committee may adopt a rule providing that the chair be directed to offer a motion under clause 1 of rule XXII whenever the chair considers it appropriate. Regular meeting days (b) Each standing committee shall establish regular meeting days for the conduct of its business, which shall be not less frequent than monthly. Each such committee shall meet for the consideration of a bill or resolution pending before the committee or the transaction of other committee business on all regular meeting days fixed by the committee unless otherwise provided by written rule adopted by the committee. Additional and special meetings (c)(1) The chairman of each standing committee may call and convene, as the chair considers necessary, additional and special meetings of the committee for the consideration of a bill or resolution pending before the committee or for the conduct of other committee business, subject to such rules as the committee may adopt. The committee shall meet for such purpose under that call of the chairman. (2) Three or more members of a standing committee may file in the offices of the committee a written request that the chair call a special meeting of the committee. Such request shall specify the measure or matter to be considered. Immediately upon the filing of the request, the clerk of the committee shall notify the chair of the filing of the request. If the chair does not call the requested special meeting within three calendar days after the filing of the request (to be held within seven calendar days after the filing of the request) a majority of the members of the committee may file in the offices of the committee their written notice that a special meeting of the committee will be held. The written notice shall specify the date and hour of the special meeting and the measure or matter to be considered. The committee shall meet on that date and hour. Immediately upon the filing of the notice, the clerk of the committee shall notify all members of the committee that such special meeting will be held and inform them of its date and hour and the measure or matter to be considered. Only the measure or matter specified in that notice may be considered at that special meeting. Temporary absence of chair (d) A member of the majority party on each standing committee or subcommittee thereof shall be designated by the chair of the full committee as the vice chair of the committee or subcommittee, as the case may be, and shall preside during the absence of the chair from any meeting. If the chair and vice chair of a committee or subcommittee are not present at any meeting of the committee or subcommittee, the ranking majority member who is present shall preside at that meeting. Committee records (e)(1)(A) Each committee shall keep a complete record of all committee action which shall include-- (i) in the case of a meeting or hearing transcript, a substantially verbatim account of remarks actually made during the proceedings, subject only to technical, grammatical, and typographical corrections authorized by the person making the remarks involved; and (ii) a record of the votes on any question on which a record vote is demanded. (B)(i) Except as provided in subdivision (B)(ii) and subject to paragraph (k)(7), the result of each such record vote shall be made available by the committee for inspection by the public at reasonable times in its offices and also made publicly available in electronic form within 48 hours of such record vote. Information so available shall include a description of the amendment, motion, order, or other proposition, the name of each member voting for and each member voting against such amendment, motion, order, or proposition, and the names of those members of the committee present but not voting. (ii) The result of any record vote taken in executive session in the Committee on Ethics may not be made available for inspection by the public without an affirmative vote of a majority of the members of the committee. (2)(A) Except as provided in subdivision (B), all committee hearings, records, data, charts, and files shall be kept separate and distinct from the congressional office records of the member serving as its chair. Such records shall be the property of the House, and each Member, Delegate, and the Resident Commissioner shall have access thereto. (B) A Member, Delegate, or Resident Commissioner, other than members of the Committee on Ethics, may not have access to the records of that committee respecting the conduct of a Member, Delegate, Resident Commissioner, officer, or employee of the House without the specific prior permission of that committee. (3) Each committee shall include in its rules standards for availability of records of the committee delivered to the Archivist of the United States under rule VII. Such standards shall specify procedures for orders of the committee under clause 3(b)(3) and clause 4(b) of rule VII, including a requirement that nonavailability of a record for a period longer than the period otherwise applicable under that rule shall be approved by vote of the committee. (4) Each committee shall make its publications available in electronic form to the maximum extent feasible. (5) To the maximum extent practicable, each committee shall-- (A) provide audio and video coverage of each hearing or meeting for the transaction of business in a manner that allows the public to easily listen to and view the proceedings; and (B) maintain the recordings of such coverage in a manner that is easily accessible to the public. (6) Not later than 24 hours after the adoption of any amendment to a measure or matter considered by a committee, the chair of such committee shall cause the text of each such amendment to be made publicly available in electronic form. Prohibition against proxy voting (f) A vote by a member of a committee or subcommittee with respect to any measure or matter may not be cast by proxy. Open meetings and hearings (g)(1) Each meeting for the transaction of business, including the markup of legislation, by a standing committee or subcommittee thereof (other than the Committee on Standards of Official Conduct or its subcommittees) shall be open to the public, including to radio, television, and still photography coverage, except when the committee or subcommittee, in open session and with a majority present, determines by record vote that all or part of the remainder of the meeting on that day shall be in executive session because disclosure of matters to be considered would endanger national security, would compromise sensitive law enforcement information, would tend to defame, degrade, or incriminate any person, or otherwise would violate a law or rule of the House. Persons, other than members of the committee and such noncommittee Members, Delegates, Resident Commissioner, congressional staff, or departmental representatives as the committee may authorize, may not be present at a business or markup session that is held in executive session. This subparagraph does not apply to open committee hearings, which are governed by clause 4(a)(1) of rule X or by subparagraph (2). (2)(A) Each hearing conducted by a committee or subcommittee (other than the Committee on Ethics or its subcommittees) shall be open to the public, including to radio, television, and still photography coverage, except when the committee or subcommittee, in open session and with a majority present, determines by record vote that all or part of the remainder of that hearing on that day shall be closed to the public because disclosure of testimony, evidence, or other matters to be considered would endanger national security, would compromise sensitive law enforcement information, or would violate a law or rule of the House. (B) Notwithstanding the requirements of subdivision (A), in the presence of the number of members required under the rules of the committee for the purpose of taking testimony, a majority of those present may-- (i) agree to close the hearing for the sole purpose of discussing whether testimony or evidence to be received would endanger national security, would compromise sensitive law enforcement information, or would violate clause 2(k)(5); or (ii) agree to close the hearing as provided in clause 2(k)(5). (C) A Member, Delegate, or Resident Commissioner may not be excluded from nonparticipatory attendance at a hearing of a committee or subcommittee (other than the Committee on Ethics or its subcommittees) unless the House by majority vote authorizes a particular committee or subcommittee, for purposes of a particular series of hearings on a particular article of legislation or on a particular subject of investigation, to close its hearings to Members, Delegates, and the Resident Commissioner by the same procedures specified in this subparagraph for closing hearings to the public. (D) The committee or subcommittee may vote by the same procedure described in this subparagraph to close one subsequent day of hearing, except that the Committee on Appropriations, the Committee on Armed Services, and the Permanent Select Committee on Intelligence, and the subcommittees thereof, may vote by the same procedure to close up to five additional, consecutive days of hearings. (3)(A) The chair of a committee shall announce the date, place, and subject matter of-- (i) a committee hearing, which may not commence earlier than one week after such notice; or (ii) a committee meeting, which may not commence earlier than the third day on which members have notice thereof. (B) A hearing or meeting may begin sooner than specified in subdivision (A) in either of the following circumstances (in which case the chair shall make the announcement specified in subdivision (A) at the earliest possible time): (i) the chair of the committee, with the concurrence of the ranking minority member, determines that there is good cause; or (ii) the committee so determines by majority vote in the presence of the number of members required under the rules of the committee for the transaction of business. (C) An announcement made under this subparagraph shall be published promptly in the Daily Digest and made publicly available in electronic form. (D) This subparagraph and subparagraph (4) shall not apply to the Committee on Rules. (4) At least 24 hours prior to the commencement of a meeting for the markup of legislation, or at the time of an announcement under subparagraph (3)(B) made within 24 hours before such meeting, the chair of the committee shall cause the text of such legislation to be made publicly available in electronic form. (5) Each committee shall, to the greatest extent practicable, require witnesses who appear before it to submit in advance written statements of proposed testimony and to limit their initial presentations to the committee to brief summaries thereof. In the case of a witness appearing in a nongovernmental capacity, a written statement of proposed testimony shall include a curriculum vitae and a disclosure of the amount and source (by agency and program) of each Federal grant (or subgrant thereof) or contract (or subcontract thereof) received during the current fiscal year or either of the two previous fiscal years by the witness or by an entity represented by the witness. Such statements, with appropriate redactions to protect the privacy of the witness, shall be made publicly available in electronic form not later than one day after the witness appears. (6)(A) Except as provided in subdivision (B), a point of order does not lie with respect to a measure reported by a committee on the ground that hearings on such measure were not conducted in accordance with this clause. (B) A point of order on the ground described in subdivision (A) may be made by a member of the committee that reported the measure if such point of order was timely made and improperly disposed of in the committee. (7) This paragraph does not apply to hearings of the Committee on Appropriations under clause 4(a)(1) of rule X. Quorum requirements (h)(1) A measure or recommendation may not be reported by a committee unless a majority of the committee is actually present. (2) Each committee may fix the number of its members to constitute a quorum for taking testimony and receiving evidence, which may not be less than two. (3) Each committee (other than the Committee on Appropriations, the Committee on the Budget, and the Committee on Ways and Means) may fix the number of its members to constitute a quorum for taking any action other than one for which the presence of a majority of the committee is otherwise required, which may not be less than one-third of the members. (4)(A) Each committee may adopt a rule authorizing the chairman of a committee or subcommittee-- (i) to postpone further proceedings when a record vote is ordered on the question of approving a measure or matter or on adopting an amendment; and (ii) to resume proceedings on a postponed question at any time after reasonable notice. (B) A rule adopted pursuant to this subparagraph shall provide that when proceedings resume on a postponed question, notwithstanding any intervening order for the previous question, an underlying proposition shall remain subject to further debate or amendment to the same extent as when the question was postponed. Limitation on committee sittings (i) A committee may not sit during a joint session of the House and Senate or during a recess when a joint meeting of the House and Senate is in progress. Calling and questioning of witnesses (j)(1) Whenever a hearing is conducted by a committee on a measure or matter, the minority members of the committee shall be entitled, upon request to the chair by a majority of them before the completion of the hearing, to call witnesses selected by the minority to testify with respect to that measure or matter during at least one day of hearing thereon. (2)(A) Subject to subdivisions (B) and (C), each committee shall apply the five minute rule during the questioning of witnesses in a hearing until such time as each member of the committee who so desires has had an opportunity to question each witness. (B) A committee may adopt a rule or motion permitting a specified number of its members to question a witness for longer than five minutes. The time for extended questioning of a witness under this subdivision shall be equal for the majority party and the minority party and may not exceed one hour in the aggregate. (C) A committee may adopt a rule or motion permitting committee staff for its majority and minority party members to question a witness for equal specified periods. The time for extended questioning of a witness under this subdivision shall be equal for the majority party and the minority party and may not exceed one hour in the aggregate. Hearing procedures (k)(1) The chair at a hearing shall announce in an opening statement the subject of the hearing. (2) A copy of the committee rules and of this clause shall be made available to each witness on request. (3) Witnesses at hearings may be accompanied by their own counsel for the purpose of advising them concerning their constitutional rights. (4) The chair may punish breaches of order and decorum, and of professional ethics on the part of counsel, by censure and exclusion from the hearings; and the committee may cite the offender to the House for contempt. (5) Whenever it is asserted by a member of the committee that the evidence or testimony at a hearing may tend to defame, degrade, or incriminate any person, or it is asserted by a witness that the evidence or testimony that the witness would give at a hearing may tend to defame, degrade, or incriminate the witness-- (A) notwithstanding paragraph (g)(2), such testimony or evidence shall be presented in executive session if, in the presence of the number of members required under the rules of the committee for the purpose of taking testimony, the committee determines by vote of a majority of those present that such evidence or testimony may tend to defame, degrade, or incriminate any person; and (B) the committee shall proceed to receive such testimony in open session only if the committee, a majority being present, determines that such evidence or testimony will not tend to defame, degrade, or incriminate any person. In either case the committee shall afford such person an opportunity voluntarily to appear as a witness, and receive and dispose of requests from such person to subpoena additional witnesses. (6) Except as provided in subparagraph (5), the chairman shall receive and the committee shall dispose of requests to subpoena additional witnesses. (7) Evidence or testimony taken in executive session, and proceedings conducted in executive session, may be released or used in public sessions only when authorized by the committee, a majority being present. (8) In the discretion of the committee, witnesses may submit brief and pertinent sworn statements in writing for inclusion in the record. The committee is the sole judge of the pertinence of testimony and evidence adduced at its hearing. (9) A witness may obtain a transcript copy of the testimony of such witness given at a public session or, if given at an executive session, when authorized by the committee. Supplemental, minority, or additional views (l) If at the time of approval of a measure or matter by a committee (other than the Committee on Rules) a member of the committee gives notice of intention to file supplemental, minority, or additional views for inclusion in the report to the House thereon, that member shall be entitled to not less than two additional calendar days after the day of such notice (excluding Saturdays, Sundays, and legal holidays except when the House is in session on such a day) to file such views, in writing and signed by that member, with the clerk of the committee. Power to sit and act; subpoena power (m)(1) For the purpose of carrying out any of its functions and duties under this rule and rule X (including any matters referred to it under clause 2 of rule XII), a committee or subcommittee is authorized (subject to subparagraph (3)(A))-- (A) to sit and act at such times and places within the United States, whether the House is in session, has recessed, or has adjourned, and to hold such hearings as it considers necessary; and (B) to require, by subpoena or otherwise, the attendance and testimony of such witnesses and the production of such books, records, correspondence, memoranda, papers, and documents as it considers necessary. (2) The chair of the committee, or a member designated by the chair, may administer oaths to witnesses. (3)(A)(i) Except as provided in subdivision (A)(ii), a subpoena may be authorized and issued by a committee or subcommittee under subparagraph (1)(B) in the conduct of an investigation or series of investigations or activities only when authorized by the committee or subcommittee, a majority being present. The power to authorize and issue subpoenas under subparagraph (1)(B) may be delegated to the chair of the committee under such rules and under such limitations as the committee may prescribe. Authorized subpoenas shall be signed by the chair of the committee or by a member designated by the committee. (ii) In the case of a subcommittee of the Committee on Ethics, a subpoena may be authorized and issued only by an affirmative vote of a majority of its members. (B) A subpoena duces tecum may specify terms of return other than at a meeting or hearing of the committee or subcommittee authorizing the subpoena. (C) Compliance with a subpoena issuedlby a committee or subcommittee under subparagraph (1)(B) may be enforced only as authorized or directed by the House. (n)(1) Each standing committee, or a subcommittee thereof, shall hold at least one hearing during each 120-day period following the establishment of the committee on the topic of waste, fraud, abuse, or mismanagement in Government programs which that committee may authorize. (2) A hearing described in subparagraph (1) shall include a focus on the most egregious instances of waste, fraud, abuse, or mismanagement as documented by any report the committee has received from a Federal Office of the Inspector General or the Comptroller General of the United States. (o) Each committee, or a subcommittee thereof, shall hold at least one hearing in any session in which the committee has received disclaimers of agency financial statements from auditors of any Federal agency that the committee may authorize to hear testimony on such disclaimers from representatives of any such agency. (p) Each standing committee, or a subcommittee thereof, shall hold at least one hearing on issues raised by reports issued by the Comptroller General of the United States indicating that Federal programs or operations that the committee may authorize are at high risk for waste, fraud, and mismanagement, known as the ``high-risk list'' or the ``high- risk series''. Clause 4: Audio and visual coverage of committee proceedings 4.(a) The purpose of this clause is to provide a means, in conformity with acceptable standards of dignity, propriety, and decorum, by which committee hearings or committee meetings that are open to the public may be covered by audio and visual means-- (1) for the education, enlightenment, and information of the general public, on the basis of accurate and impartial news coverage, regarding the operations, procedures, and practices of the House as a legislative and representative body, and regarding the measures, public issues, and other matters before the House and its committees, the consideration thereof, and the action taken thereon; and (2) for the development of the perspective and understanding of the general public with respect to the role and function of the House under the Constitution as an institution of the Federal Government. (b) In addition, it is the intent of this clause that radio and television tapes and television film of any coverage under this clause may not be used, or made available for use, as partisan political campaign material to promote or oppose the candidacy of any person for elective public office. (c) It is, further, the intent of this clause that the general conduct of each meeting (whether of a hearing or otherwise) covered under authority of this clause by audio or visual means, and the personal behavior of the committee members and staff, other Government officials and personnel, witnesses, television, radio, and press media personnel, and the general public at the hearing or other meeting, shall be in strict conformity with and observance of the acceptable standards of dignity, propriety, courtesy, and decorum traditionally observed by the House in its operations, and may not be such as to-- (1) distort the objects and purposes of the hearing or other meeting or the activities of committee members in connection with that hearing or meeting or in connection with the general work of the committee or of the House; or (2) cast discredit or dishonor on the House, the committee, or a Member, Delegate, or Resident Commissioner or bring the House, the committee, or a Member, Delegate, or Resident Commissioner into disrepute. (d) The coverage of committee hearings and meetings by audio and visual means shall be permitted and conducted only in strict conformity with the purposes, provisions, and requirements of this clause. (e) Whenever a hearing or meeting conducted by a committee or subcommittee is open to the public, those proceedings shall be open to coverage by audio and visual means. A committee or subcommittee chair may not limit the number of television or still cameras to fewer than two representatives from each medium (except for legitimate space or safety considerations, in which case pool coverage shall be authorized). (f) Each committee shall adopt written rules to govern its implementation of this clause. Such rules shall contain provisions to the following effect: (1) If audio or visual coverage of the hearing or meeting is to be presented to the public as live coverage, that coverage shall be conducted and presented without commercial sponsor ship. (2) The allocation among the television media of the positions or the number of television cameras permitted by a committee or subcommittee chair in a hearing or meeting room shall be in accordance with fair and equitable procedures devised by the Executive Committee of the Radio and Television Correspondents' Galleries. (3) Television cameras shall be placed so as not to obstruct in any way the space between a witness giving evidence or testimony and any member of the committee or the visibility of that witness and that member to each other. (4) Television cameras shall operate from fixed positions but may not be placed in positions that obstruct unnecessarily the coverage of the hearing or meeting by the other media. (5) Equipment necessary for coverage by the television and radio media may not be installed in, or removed from, the hearing or meeting room while the committee is in session. (6)(A) Except as provided in subdivision (B), floodlights, spotlights, strobe lights, and flashguns may not be used in providing any method of coverage of the hearing or meeting. (B) The television media may install additional lighting in a hearing or meeting room, without cost to the Government, in order to raise the ambient lighting level in a hearing or meeting room to the lowest level necessary to provide adequate television coverage of a hearing or meeting at the current state of the art of television coverage. (7) If requests are made by more of the media than will be permitted by a committee or subcommittee chair for coverage of a hearing or meeting by still photography, that coverage shall be permitted on the basis of a fair and equitable pool arrangement devised by the Standing Committee of Press Photographers. (8) Photographers may not position themselves between the witness table and the members of the committee at any time during the course of a hearing or meeting. (9) Photographers may not place themselves in positions that obstruct unnecessarily the coverage of the hearing by the other media. (10) Personnel providing coverage by the television and radio media shall be currently accredited to the Radio and Television Correspondents' Galleries. (11) Personnel providing coverage by still photography shall be currently accredited to the Press Photographers' Gallery. (12) Personnel providing coverage by the television and radio media and by still photography shall conduct themselves and their coverage activities in an orderly and unobtrusive manner. Rule XIII: Calendars and Committee Reports Clause 2: Filing and printing of reports 2. (a)(1) Except as provided in subparagraph (2), all reports of committees (other than those filed from the floor) shall be delivered to the Clerk for printing and reference to the proper calendar under the direction of the Speaker in accordance with clause 1. The title or subject of each report shall be entered on the Journal and printed in the Congressional Record. (2) A bill or resolution reported adversely (other than those filed as privileged) shall be laid on the table unless a committee to which the bill or resolution was referred requests at the time of the report its referral to an appropriate calendar under clause 1 or unless, within three days thereafter, a Member, Delegate, or Resident Commissioner makes such a request. (b)(1) It shall be the duty of the chair of each committee to report or cause to be reported promptly to the House a measure or matter approved by the committee and to take or cause to be taken steps necessary to bring the measure or matter to a vote. (2) In any event, the report of a committee on a measure that has been approved by the committee shall be filed within seven calendar days (exclusive of days on which the House is not in session) after the day on which a written request for the filing of the report, signed by a majority of the members of the committee, has been filed with the clerk of the committee. The clerk of the committee shall immediately notify the chair of the filing of such a request. This subparagraph does not apply to a report of the Committee on Rules with respect to a rule, joint rule or order of business of the House, or to the reporting of a resolution of inquiry addressed to the head of an executive department. (c) All supplemental, minority, or additional views filed under clause 2(l) of rule XI by one or more members of a committee shall be included in, and shall be a part of, the report filed by the committee with respect to a measure or matter. When time guaranteed by clause 2(l) of rule XI has expired (or, if sooner, when all separate views have been received), the committee may arrange to file its report with the Clerk not later than one hour after the expiration of such time. This clause and provisions of clause 2(l) of rule XI do not preclude the immediate filing or printing of a committee report in the absence of a timely request for the opportunity to file supplemental, minority, or additional views as provided in clause 2(l) of rule XI. Clause 3: Content of reports 3. (a)(1) Except as provided in subparagraph (2), the report of a committee on a measure or matter shall be printed in a single volume that-- (A) shall include all supplemental, minority, or additional views that have been submitted by the time of the filing of the report; and (B) shall bear on its cover a recital that any such supplemental, minority, or additional views (and any material submitted under paragraph (c)(3)) are included as part of the report. (2) A committee may file a supplemental report for the correction of a technical error in its previous report on a measure or matter. A supplemental report only correcting errors in the depiction of record votes under paragraph (b) may be filed under this subparagraph and shall not be subject to the requirement in clause 4 or clause 6 concerning the availability of reports. (b) With respect to each record vote on a motion to report a measure or matter of a public nature, and on any amendment offered to the measure or matter, the total number of votes cast for and against, and the names of members voting for and against, shall be included in the committee report. The preceding sentence does not apply to votes taken in executive session by the Committee on Ethics. (c) The report of a committee on a measure that has been approved by the committee shall include, separately set out and clearly identified, the following: (1) Oversight findings and recommendations under clause 2(b)(1) of rule X. (2) The statement required by section 308(a) of the Congressional Budget Act of 1974, except that an estimate of new budget authority shall include, when practicable, a comparison of the total estimated funding level for the relevant programs to the appropriate levels under current law. (3) An estimate and comparison prepared by the Director of the Congressional Budget Office under section 402 of the Congressional Budget Act of 1974 if timely submitted to the committee before the filing of the report. (4) A statement of general performance goals and objectives, including outcome-related goals and objectives, for which the measure authorizes funding. (d) Each report of a committee on a public bill or public joint resolution shall contain the following: (1)(A) An estimate by the committee of the costs that would be incurred in carrying out the bill or joint resolution in the fiscal year in which it is reported and in each of the five fiscal years following that fiscal year (or for the authorized duration of any program authorized by the bill or joint resolution if less than five years); (B) a comparison of the estimate of costs described in subdivision (A) made by the committee with any estimate of such costs made by a Government agency and submitted to such committee; and (C) when practicable, a comparison of the total estimated funding level for the relevant programs with the appropriate levels under current law. (2)(A) In subparagraph (1) the term ``Government agency'' includes any department, agency, establishment, wholly owned Government corporation, or instrumentality of the Federal Government or the government of the District of Columbia. (B) Subparagraph (1) does not apply to the Committee on Appropriations, the Committee on House Administration, the Committee on Rules, or the Committee on Ethics, and does not apply when a cost estimate and comparison prepared by the Director of the Congressional Budget Office under section 402 of the Congressional Budget Act of 1974 has been included in the report under paragraph (c)(3). (e)(1) Whenever a committee reports a bill or joint resolution proposing to repeal or amend a statute or part thereof, it shall include in its report or in an accompanying document-- (A) the text of a statute or part thereof that is proposed to be repealed; and (B) a comparative print of any part of the bill or joint resolution proposing to amend the statute and of the statute or part thereof proposed to be amended, showing by appropriate typographical devices the omissions and insertions proposed. (2) If a committee reports a bill or joint resolution proposing to repeal or amend a statute or part thereof with a recommendation that the bill or joint resolution be amended, the comparative print required by subparagraph (1) shall reflect the changes in existing law proposed to be made by the bill or joint resolution as proposed to be amended. (f)(1) A report of the Committee on Appropriations on a general appropriation bill shall include-- (A) a concise statement describing the effect of any provision of the accompanying bill that directly or indirectly changes the application of existing law; and (B) a list of all appropriations contained in the bill for expenditures not currently authorized by law for the period concerned (excepting classified intelligence or national security programs, projects, or activities), along with a statement of the last year for which such expenditures were authorized, the level of expenditures authorized for that year, the actual level of expenditures for that year, and the level of appropriations in the bill for such expenditures. (2) Whenever the Committee on Appropriations reports a bill or joint resolution including matter specified in clause 1(b)(2) or (3) of rule X, it shall include-- (A) in the bill or joint resolution, separate headings for ``Rescissions'' and ``Transfers of Unexpended Balances''; and (B) in the report of the committee, a separate section listing such rescissions and transfers. (g) Whenever the Committee on Rules reports a resolution proposing to repeal or amend a standing rule of the House, it shall include in its report or in an accompanying document-- (1) the text of any rule or part thereof that is proposed to be repealed; and (2) a comparative print of any part of the resolution proposing to amend the rule and of the rule or part thereof proposed to be amended, showing by appropriate typographical devices the omissions and insertions proposed. (h)(1) It shall not be in order to consider a bill or joint resolution reported by the Committee on Ways and Means that proposes to amend the Internal Revenue Code of 1986 unless-- (A) the report includes a tax complexity analysis prepared by the Joint Committee on Internal Revenue Taxation in accordance with section 4022(b) of the Internal Revenue Service Restructuring and Reform Act of 1998; or (B) the chair of the Committee on Ways and Means causes such a tax complexity analysis to be printed in the Congressional Record before consideration of the bill or joint resolution. (2)(A) It shall not be in order to consider a bill or joint resolution reported by the Committee on Ways and Means that proposes to amend the Internal Revenue Code of 1986 unless-- (i) the report includes a macro-economic impact analysis: (ii) the report includes a statement from the Joint Committee on Internal Revenue Taxation explaining why a macroeconomic impact analysis is not calculable; or (iii) the chair of the Committee on Ways and Means causes a macroeconomic impact analysis to oe printed in the Congressional Record before consideration of the bill or joint resolution. (B) In subdivision (A), the term ``macroeconomic impact analysis'' means-- (i) an estimate prepared by the Joint Committee on Internal Revenue Taxation of the changes in economic output, employment, capital stock, and tax revenues expected to result from enactment of the proposal; and (ii) a statement from the Joint Committee on Internal Revenue Taxation identifying the critical assumptions and the source of data underlying that estimate. MEMBERSHIP AND ORGANIZATION OF THE COMMITTEE ON FINANCIAL SERVICES ONE HUNDRED AND TWELFTH CONGRESS COMMITTEE ON FINANCIAL SERVICES (Ratio: 34-27) SPENCER BACHUS, Alabama, Chairman JEB HENSARLING, Texas, Vice Chairman BARNEY FRANK, Massachusetts, PETER T. KING, New York Ranking Member EDWARD R. ROYCE, California MAXINE WATERS, California FRANK D. LUCAS, Oklahoma CAROLYN B. MALONEY, New York RON PAUL, Texas LUIS V. GUTIERREZ, Illinois DONALD A. MANZULLO, Illinois NYDIA M. VELAZQUEZ, New York WALTER B. JONES, North Carolina MELVIN L. WATT, North Carolina JUDY BIGGERT, Illinois GARY L. ACKERMAN, New York GARY G. MILLER, California BRAD SHERMAN, California SHELLEY MOORE CAPITO, West Virginia GREGORY W. MEEKS, New York SCOTT GARRETT, New Jersey MICHAEL E. CAPUANO, Massachusetts RANDY NEUGEBAUER, Texas RUBEN HINOJOSA, Texas PATRICK T. McHENRY, North Carolina WM. LACY CLAY, Missouri JOHN CAMPBELL, California CAROLYN McCARTHY, New York MICHELE BACHMANN, Minnesota JOE BACA, California THADDEUS G. McCOTTER, Michigan STEPHEN F. LYNCH, Massachusetts KEVIN McCARTHY, California BRAD MILLER, North Carolina STEVAN PEARCE, New Mexico DAVID SCOTT, Georgia BILL POSEY, Florida AL GREEN, Texas MICHAEL G. FITZPATRICK, EMANUEL CLEAVER, Missouri Pennsylvania GWEN MOORE, Wisconsin LYNN A. WESTMORELAND, Georgia KEITH ELLISON, Minnesota BLAINE LUETKEMEYER, Missouri ED PERLMUTTER, Colorado BILL HUIZENGA, Michigan JOE DONNELLY, Indiana SEAN P. DUFFY, Wisconsin ANDRE CARSON, Indiana NAN A. S. HAYWORTH, New York JAMES A. HIMES, Connecticut JAMES B. RENACCI, Ohio GARY C. PETERS, Michigan ROBERT HURT, Virginia JOHN C. CARNEY, Jr., Delaware ROBERT J. DOLD, Illinois DAVID SCHWEIKERT, Arizona MICHAEL G. GRIMM, New York FRANCISCO ``QUICO'' CANSECO, Texas STEVE STIVERS, Ohio STEPHEN LEE FINCHER, Tennessee\1\ SUBCOMMITTEE MEMBERSHIPS Subcommittee on Capital Markets and Government Sponsored Enterprises (Ratio: 20-15) SCOTT GARRETT, New Jersey, Chairman DAVID SCHWEIKERT, Arizona, MAXINE WATERS, California, Vice Chairman Ranking Member PETER T. KING, New York GARY L. ACKERMAN, New York EDWARD R. ROYCE, California BRAD SHERMAN, California FRANK D. LUCAS, Oklahoma RUBEN HINOJOSA, Texas DONALD A. MANZULLO, Illinois STEPHEN F. LYNCH, Massachusetts JUDY BIGGERT, Illinois BRAD MILLER, North Carolina JEB HENSARLING, Texas CAROLYN B. MALONEY, New York RANDY NEUGEBAUER, Texas GWEN MOORE, Wisconsin JOHN CAMPBELL, California ED PERLMUTTER, Colorado THADDEUS G. McCOTTER, Michigan JOE DONNELLY, Indiana KEVIN McCARTHY, California ANDRE CARSON, Indiana STEVAN PEARCE, New Mexico JAMES A. HIMES, Connecticut BILL POSEY, Florida GARY C. PETERS, Michigan MICHAEL G. FITZPATRICK, Pennsylvania AL GREEN, Texas NAN A. S. HAYWORTH, New York KEITH ELLISON, Minnesota ROBERT HURT, Virginia BARNEY FRANK, Massachusetts, ROBERT J. DOLD, Illinois ex officio MICHAEL G. GRIMM, New York STEVE STIVERS, Ohio SPENCER BACHUS, Alabama, ex officio Subcommittee on Domestic Monetary Policy and Technology (Ratio: 8-6) RON PAUL, Texas, Chairman WALTER B. JONES, North Carolina, WM. LACY CLAY, Missouri, Vice Chairman Ranking Member FRANK D. LUCAS, Oklahoma CAROLYN B. MALONEY, New York PATRICK T. McHENRY, North Carolina GREGORY W. MEEKS, New York BLAINE LUETKEMEYER, Missouri AL GREEN, Texas BILL HUIZENGA, Michigan EMANUEL CLEAVER, Missouri NAN A. S. HAYWORTH, New York GARY C. PETERS, Michigan DAVID SCHWEIKERT, Arizona BARNEY FRANK, Massachusetts, SPENCER BACHUS, Alabama, ex officio ex officio Subcommittee on Financial Institutions and Consumer Credit (Ratio: 17-13) SHELLEY MOORE CAPITO, West Virginia, Chairman JAMES B. RENACCI, Ohio, Vice CAROLYN B. MALONEY, New York, Chairman Ranking Member EDWARD R. ROYCE, California LUIS V. GUTIERREZ, Illinois DONALD A. MANZULLO, Illinois MELVIN L. WATT, North Carolina WALTER B. JONES, North Carolina GARY L. ACKERMAN, New York JEB HENSARLING, Texas RUBEN HINOJOSA, Texas PATRICK T. McHENRY, North Carolina CAROLYN McCARTHY, New York THADDEUS G. McCOTTER, Michigan JOE BACA, California KEVIN McCARTHY, California BRAD MILLER, North Carolina STEVAN PEARCE, New Mexico DAVID SCOTT, Georgia LYNN A. WESTMORELAND, Georgia NYDIA M. VELAZQUEZ, New York BLAINE LUETKEMEYER, Missouri GREGORY W. MEEKS, New York BILL HUIZENGA, Michigan STEPHEN F. LYNCH, Massachusetts SEAN P. DUFFY, Wisconsin JOHN CARNEY, JR., Delaware FRANCISCO ``QUICO'' CANSECO, Texas BARNEY FRANK, Massachusetts, MICHAEL G. GRIMM, New York ex officio STEPHEN LEE FINCHER, Tennessee SPENCER BACHUS, Alabama, ex officio Subcommittee on Insurance, Housing and Community Opportunity (Ratio: 10-8) JUDY BIGGERT, Chairman ROBERT HURT, Virginia, Vice Chairman LUIS V. GUTIERREZ, Illinois, GARY G. MILLER, California Ranking Member SHELLEY MOORE CAPITO, West Virginia MAXINE WATERS, California SCOTT GARRETT, New Jersey NYDIA M. VELAZQUEZ, New York PATRICK T. McHENRY, North Carolina EMANUEL CLEAVER, Missouri LYNN A. WESTMORELAND, Georgia WM. LACY CLAY, Missouri SEAN P. DUFFY, Wisconsin MELVIN L. WATT, North Carolina ROBERT J. DOLD, Illinois BRAD SHERMAN, California STEVE STIVERS, Ohio MICHAEL E. CAPUANO, Massachusetts SPENCER BACHUS, Alabama, BARNEY FRANK, Massachusetts, ex officio ex officio Subcommittee on International Monetary Policy and Trade (Ratio: 8-6) GARY G. MILLER, California, Chairman ROBERT J. DOLD, Illinois, Vice Chairman CAROLYN McCARTHY, New York, RON PAUL, Texas Ranking Member DONALD A. MANZULLO, Illinois GWEN MOORE, Wisconsin JOHN CAMPBELL, California ANDRE CARSON, Indiana MICHELE BACHMANN, Minnesota DAVID SCOTT, Georgia THADDEUS G. McCOTTER, Michigan ED PERLMUTTER, Colorado BILL HUIZENGA, Michigan JOE DONNELLY, Indiana SPENCER BACHUS, Alabama, BARNEY FRANK, Massachusetts, ex officio ex officio Subcommittee on Oversight and Investigations (Ratio: 10-8) RANDY NEUGEBAUER, Texas, Chairman MICHAEL G. FITZPATRICK, MICHAEL E. CAPUANO, Massachusetts, Pennsylvania, Vice Chairman Ranking Member PETER T. KING, New York STEPHEN F. LYNCH, Massachusetts MICHELE BACHMANN, Minnesota MAXINE WATERS, California STEVAN PEARCE, New Mexico JOE BACA, California BILL POSEY, Florida BRAD MILLER, North Carolina NAN A. S. HAYWORTH, New York KEITH ELLISON, Minnesota JAMES B. RENACCI, Ohio JAMES A. HIMES, Connecticut FRANCISCO ``QUICO'' CANSECO, Texas JOHN C. CARNEY, JR., Delaware STEPHEN LEE FINCHER, Tennessee BARNEY FRANK, Massachusetts, SPENCER BACHUS, Alabama, ex officio ex officio MEMBERSHIP NOTES ------ \1\Mr. Fincher was elected to the Committee on May 11, 2011, filling a vacancy created by the resignation of Mr. Marchant on March 15, 2011. Mr. Marchant had ranked immediately after Ms. Bachmann. The following members are on leave from the Committee on Financial Services: Mr. Dreier, ranking immediately before Mr. Bachus; and Mr. Sessions, ranking immediately after Dr. Paul. COMMITTEE STAFF Majority Staff James H. Clinger Staff Director and Chief Counsel Warren Tryon Deputy Staff Director Shannon Flaherty McGahn Deputy Staff Director--Strategy and Public Affairs Jeffrey W. Emerson Deputy Staff Director--Communications Natalie N. McGarry Parliamentarian/Senior Counsel Terisa L. Allison, Editor Steve F. Arauz, Assistant Systems Administrator Nicole C. Austin, Professional Staff Norman R. Bishop, Deputy Communications Director Susan Mitchell Blavin, Counsel Michael Borden, Senior Counsel E. Chase Burgess, Staff Assistant Joseph R. Clark, Counsel John W. Cole, Counsel Andrew Duke, Professional Staff Kevin R. Edgar, Senior Counsel Paul-Martin Foss, Professional Staff Emily J. Frumberg, Staff Assistant Angela S. Gambo, Administrative Assistant Marisol Garibay, Communications Director Jason M. Goggins, Counsel Lesli Gooch, Professional Staff Margaret E. Henson, Clerk Brian Johnson, Counsel Tallman Johnson, Senior Professional Staff Clinton Columbus Jones, III, General Counsel Rosemary E. Keech, Executive Staff Assistant W. Walton Liles, Senior Counsel Jonathan E. Madison, Professional Staff Samuel C. Mahler, Professional Staff Christopher J. McCaghren, Staff Assistant Kylin B. McCardle, Professional Staff Francisco A. Medina, Deputy Chief Counsel Kirsten J. Mork, Professional Staff Joe Pinder, Senior Professional Staff Aaron A. Ranck, Senior Professional Staff Clifford Roberti, Professional Staff Sergio G. Rodriguera, Jr., Professional Staff Gisele G. Roget, Senior Analyst Ryan A. Rusbuldt, Staff Assistant Christopher Y. Russell, Professional Staff Edward G. Skala, Senior Professional Staff Caleb J. Smith, Director of New Media Aaron T. Sporck, Professional Staff Michael Staley, Policy Advisor Alexander H. Teel, Professional Staff Kim Trimble, Systems Administrator Anne Marie Turner, Senior Counsel Anthony D. Walden, Staff Assistant Anna Bartlett Wright, Executive Assistant Minority Staff Jeanne M. Roslanowick Staff Director and Chief Counsel MICHAEL T. BERESIK Deputy Staff Director Meredith C. Connelly, Senior Professional Staff Member Kristofor S. Erickson, Senior Professional Staff Member Alfred J. Forman, Jr., Systems Administrator Bruno Freitas, Professional Staff Member Maria E. Giesta, Professional Staff Member Harry D. Gural, Communications Director Erika Jeffers, Senior Counsel Kellie Larkin, General Counsel and Legislative Director Gail W. Laster, Deputy Chief Counsel Patricia A. Lord, Senior Professional Staff Member Marcos F. Manosalvas, Staff Associate Kathryn J. Marks, Senior Counsel Dominique M. McCoy, Senior Counsel Daniel P. McGlinchey, Senior Professional Staff Member Eric S. Orner, Deputy Communications Director Kirk Schwarzbach, Professional Staff Member David A. Smith, Chief Economist Lawranne Stewart, Deputy Chief Counsel Adrianne G. Threatt, Senior Counsel LEGISLATIVE AND OVERSIGHT ACTIVITIES From January 1, 2011 through May 31, 2012 of the First and Second Sessions of the 112th Congress, 410 bills were referred to the Committee on Financial Services. The Committee reported to the House or was discharged from further consideration of 35 measures. During this period, the Committee did not consider any conference reports. Ten measures regarding matters within the Committee's jurisdiction was enacted into law. The following is a summary of the legislative and oversight activities of the Committee on Financial Services from January 1, 2011 to May 31, 2012 of the 112th Congress, including a summary of the activities taken by the Committee during this period to implement its Oversight Plan for the 112th Congress. COMMITTEE ON FINANCIAL SERVICES (Ratio: 34-27) SPENCER BACHUS, Alabama, Chairman JEB HENSARLING, Texas, Vice Chairman BARNEY FRANK, Massachusetts, PETER T. KING, New York Ranking Member EDWARD R. ROYCE, California MAXINE WATERS, California FRANK D. LUCAS, Oklahoma CAROLYN B. MALONEY, New York RON PAUL, Texas LUIS V. GUTIERREZ, Illinois DONALD A. MANZULLO, Illinois NYDIA M. VELAZQUEZ, New York WALTER B. JONES, North Carolina MELVIN L. WATT, North Carolina JUDY BIGGERT, Illinois GARY L. ACKERMAN, New York GARY G. MILLER, California BRAD SHERMAN, California SHELLEY MOORE CAPITO, West Virginia GREGORY W. MEEKS, New York SCOTT GARRETT, New Jersey MICHAEL E. CAPUANO, Massachusetts RANDY NEUGEBAUER, Texas RUBEN HINOJOSA, Texas PATRICK T. McHENRY, North Carolina WM. LACY CLAY, Missouri JOHN CAMPBELL, California CAROLYN McCARTHY, New York MICHELE BACHMANN, Minnesota JOE BACA, California THADDEUS G. McCOTTER, Michigan STEPHEN F. LYNCH, Massachusetts KEVIN McCARTHY, California BRAD MILLER, North Carolina STEVAN PEARCE, New Mexico DAVID SCOTT, Georgia BILL POSEY, Florida AL GREEN, Texas MICHAEL G. FITZPATRICK, Pennsylvania EMANUEL CLEAVER, Missouri LYNN A. WESTMORELAND, Georgia GWEN MOORE, Wisconsin BLAINE LUETKEMEYER, Missouri KEITH ELLISON, Minnesota BILL HUIZENGA, Michigan ED PERLMUTTER, Colorado SEAN P. DUFFY, Wisconsin JOE DONNELLY, Indiana NAN A. S. HAYWORTH, New York ANDRE CARSON, Indiana JAMES B. RENACCI, Ohio JAMES A. HIMES, Connecticut ROBERT HURT, Virginia GARY C. PETERS, Michigan ROBERT J. DOLD, Illinois JOHN C. CARNEY, Jr., Delaware DAVID SCHWEIKERT, Arizona MICHAEL G. GRIMM, New York FRANCISCO ``QUICO'' CANSECO, Texas STEVE STIVERS, Ohio STEPHEN LEE FINCHER, Tennessee\1\ [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] COMMITTEE ON FINANCIAL SERVICES Full Committee Legislative Activities CHURCH PLAN INVESTMENT CLARIFICATION ACT (H.R. 33) Summary H.R. 33, the Church Plan Investment Clarification Act, would make a technical correction to Public Law 108-359, which prevents church pension plans from investing in collective trusts. The bill would allow church pension plans to invest in collective trusts by broadening an exemption in the current law. In 2003, Congress attempted to achieve this result, but omitted a necessary exemption from the Securities Act of 1933 to provide parallel treatment for church plans with exemptions in the Investment Company Act of 1940 and the Securities Exchange Act of 1934. Without this correction, collective trusts will not accept investments from church pension plans. Legislative History H.R. 33 was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert on January 5, 2011 and referred to the Committee on Financial Services. The bill has no cosponsors. On March 10, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Oversight of the Securities and Exchange Commission's Operations, Activities, Challenges and FY 2012 Budget Request.'' The Subcommittee received testimony from the following witnesses: Mr. Robert Cook, Director, Division of Trading and Markets, Securities and Exchange Commission (SEC); Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Robert Khuzami, Director, Division of Enforcement, SEC; Ms. Eileen Rominger, Director, Division of Investment Management, SEC; and Mr. Carlo di Florio, Director, Office of Compliance Inspections and Examinations, SEC. During the hearing, Chairman Biggert asked Ms. Meredith Cross to comment on the need for legislation to modify the treatment of church pension plan investments in collective trusts. On May 3, 2011 and May 4, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill, as amended, favorably reported to the Committee by a voice vote. On June 22, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on July 1, 2011 (H. Rept. 112-131). On July 18, 2011, the House agreed to a motion to suspend the rules and pass H.R. 33, as amended, by a record vote of 310 yeas and 1 nay. FHA REFINANCE PROGRAM TERMINATION ACT (H.R. 830) Summary H.R. 830, the FHA Refinance Program Termination Act, would rescind all unobligated balances made available for the program by Title I of the Emergency Economic Stabilization Act (12 U.S.C. 5230) that have been allocated for use under the FHA Refinance Program (pursuant to Mortgagee Letter 2010-23 of the Secretary of the Department of Housing and urban Development (HuD)). The bill would also terminate the program and void the Mortgagee Letter pursuant to which it was implemented, with concessions made for current participants in the program. Legislative History On February 28, 2011, H.R. 830 was introduced by Representative Robert Dold and was referred to the Committee on Financial Services. The bill has two cosponsors. On March 2, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing on H.R. 830 and received testimony from the following witnesses: The Honorable Neil M. Barofsky, Special Inspector General for the Troubled Asset Relief Program (SIGTARP); The Honorable David Stevens, Assistant Secretary for Housing and Commissioner of the Federal Housing Administration (FHA); The Honorable Mercedes Marquez, Assistant Secretary, Community Planning and Development, HUD; Mr. Matthew J. Scire, Director, Financial Markets and Community Investment, U.S. Government Accountability Office (GAO); and Ms. Katie Jones, Analyst in Housing Policy, Congressional Research Service, Library of Congress. On March 3, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 33 yeas and 22 nays. The Committee Report was filed on March 7, 2011 (H. Rept. 112-25). On March 9, 2011, the House adopted H. Res. 150, providing for the consideration of H.R. 830 under a structured rule, by a record vote of 240 yeas and 180 nays. On March 10, 2011, the House considered H.R. 830 and passed the bill, with amendments, by a record vote of 256 yeas and 171 nays. EMERGENCY MORTGAGE RELIEF PROGRAM TERMINATION ACT (H.R. 836) Summary H.R. 836, the Emergency Mortgage Relief Program Termination Act, would rescind all unobligated balances made available for the Emergency Mortgage Relief Program under section 1496(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act (P.L. 111-203) (the Dodd-Frank Act), which was signed into law on July 21, 2010, and terminate the program. The bill also calls for a study by the HUD to identify best practices for how existing mortgage assistance programs can be applied to veterans, active duty military personnel, and their relatives. Legislative History On February 28, 2011, H.R. 836 was introduced by Representative Jeb Hensarling and was referred to the Committee on Financial Services. The bill has two cosponsors. On March 2, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing on H.R. 830 and received testimony from the following witnesses: The Honorable Neil M. Barofsky, SIGTARP; The Honorable David Stevens, Assistant Secretary for Housing and Commissioner of the FHA; The Honorable Mercedes Marquez, Assistant Secretary, Community Planning and Development, HUD; Mr. Matthew J. Scire, Director, Financial Markets and Community Investment, GAO; and Ms. Katie Jones, Analyst in Housing Policy, Congressional Research Service, Library of Congress. On March 3, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 33 yeas and 22 nays. The Committee Report was filed on March 7, 2011 (H. Rept. 112-26). On March 9, 2011, the House adopted H. Res. 151, providing for the consideration of H.R. 836 under a structured rule, by voice vote. On March 11, 2011, the House considered H.R. 836 and passed the bill, with amendments, by a record vote of 242 yeas and 177 nays. THE HAMP TERMINATION ACT OF 2011 (H.R. 839) Summary H.R. 839, the HAMP Termination Act, would terminate the authority of the Treasury Department to provide any new assistance to homeowners under the Home Affordable Modification Program (HAMP) authorized under Title I of the Emergency Economic Stabilization Act (12 U.S.C. 5230), while preserving any assistance already provided to HAMP participants on a permanent or trial basis. The bill also provides for a study by the Treasury Department to identify best practices for how existing mortgage assistance programs can be applied to veterans, active duty military personnel, and their relatives. Legislative History On February 28, 2011, H.R. 839 was introduced by Representative Patrick McHenry and was referred to the Committee on Financial Services. The bill has eight cosponsors. On March 2, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing on H.R. 830 and received testimony from the following witnesses: The Honorable Neil M. Barofsky, SIGTARP; The Honorable David Stevens, Assistant Secretary for Housing and Commissioner of the FHA; The Honorable Mercedes Marquez, Assistant Secretary, Community Planning and Development, HUD; Mr. Matthew J. Scire, Director, Financial Markets and Community Investment, GAO; and Ms. Katie Jones, Analyst in Housing Policy, Congressional Research Service, Library of Congress. On March 9, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 32 yeas and 23 nays. The Committee Report (Part 1) was filed on March 11, 2011 (H. Rept. 112-31) and Part 2 of the Committee Report was filed on March 14, 2011 (H. Rept. 112-31 Part 2). On March 16, 2011, the House adopted H. Res. 170, providing for the consideration of H.R. 839 under a structured rule, by a record vote of 241 yeas and 180 nays. On March 29, 2011, the House considered H.R. 839 and passed the bill, with amendments, by a record vote of 252 yeas and 170 nays, with 1 member voting present. NSP TERMINATION ACT (H.R. 861) Summary H.R. 861, the NSP Termination Act, would rescind all unobligated balances made available for the Neighborhood Stabilization Program (NSP) authorized by the Dodd-Frank Act and terminate the program. Legislative History On March 1, 2011, H.R. 861 was introduced by Representative Gary Miller and was referred to the Committee on Financial Services. The bill has four cosponsors. On March 2, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing on H.R. 861 and received testimony from the following witnesses: The Honorable Neil M. Barofsky, SIGTARP; The Honorable David Stevens, Assistant Secretary for Housing and Commissioner of the FHA; The Honorable Mercedes Marquez, Assistant Secretary, Community Planning and Development, HUD; Mr. Matthew J. Scire, Director, Financial Markets and Community Investment, GAO; and Ms. Katie Jones, Analyst in Housing Policy, Congressional Research Service, Library of Congress. On March 3, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 31 yeas and 24 nays. The Committee Report (Part 1) was filed on March 11, 2011 (H. Rept. 112-32), and Part 2 of the Committee Report was filed on March 14, 2011 (H. Rept. 112-32 Part 2). On March 16, 2011, the House adopted H. Res. 170, providing for the consideration of H.R. 861 under a structured rule, by a record vote of 241 yeas and 180 nays. On March 16, 2011, the House considered H.R. 861 and passed the bill, with amendments, by a record vote of 242 yeas and 182 nays. UNITED STATES MARSHALS SERVICE 225TH ANNIVERSARY COMMEMORATIVE COIN ACT (H.R. 886) Summary H.R. 886, the United States Marshals Service 225th Anniversary Commemorative Coin Act, would direct the Treasury Secretary in 2015 to mint and make available for sale no more than 100,000 $5 gold coins, 500,000 $1 silver coins, and 750,000 half-dollar ``clad'' coins in commemoration of the 225th anniversary of the establishment of the United States Marshals Service. Surcharges on coin sales would be paid to the National Center for Missing and Exploited Children, the Federal Law Enforcement Officers Association Foundation, and the National Law Enforcement Officers Memorial Fund after it raises funds from non-government sources equal to or greater than the surcharges collected. The obverse design of the coin would bear an image of the United States Marshals Service Star. The reverse would bear a design emblematic of the sacrifice and service of the men and women of the United States Marshals Service who lost their lives in the line of duty and would include the Marshals Service motto ``Justice, Integrity, Service.'' Legislative History On March 2, 2011, H.R. 886 was introduced by Representative Steve Womack and referred to the Committee on Financial Services. The bill had 301 cosponsors. On December 15, 2011, the House agreed to a motion to suspend the rules and pass H.R. 886 by a record vote of 412 yeas, 1 nay and 1 present. On March 15, the Senate considered H.R. 886 and passed the bill, with an amendment, by Unanimous Consent. On March 21, 2012, the House agreed to a motion to suspend the rules and pass H.R. 886 with the Senate amendment by a record vote of 409 yeas, 2 nays and 2 present. On April 2, 2012, H.R. 886 was signed by the President and became Public Law No. 112-104. UNITED STATES COVERED BONDS ACT OF 2011 (H.R. 940) Summary H.R. 940, the United States Covered Bonds Act of 2011, would establish the statutory framework necessary to start a covered bonds market in the United States. The bill would provide legal certainty for covered bonds in three ways: specifying the categories of eligible issuers and eligible cover-pool assets; mandating an asset coverage test for cover pools and audits by an independent asset monitor; and clarifying applicable securities and tax matters. H.R. 940 would create a separate resolution process for covered bond programs. The bill would require the Secretary of the Treasury, in consultation with applicable prudential regulators, to serve as the primary regulator of the covered bonds market. Legislative History On March 8, 2011, H.R. 940 was introduced by Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett and referred to the Committee on Financial Services and the Committee on Ways and Means. The bill has one cosponsor. On March 11, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on H.R. 940 entitled ``Legislative Proposals to Create a Covered Bond Market in the United States.'' The Subcommittee received testimony from the following witnesses: Mr. Scott Stengel, Partner, King & Spalding LLP, on behalf of the U.S. Covered Bond Council; Mr. Bert Ely, Ely & Company, Inc.; Mr. Tim Skeet, Amias Berman & Co., on behalf of the International Capital Market Association; Mr. Ralph Daloisio, Managing Director, Natixis, on behalf of the American Securitization Forum; and Mr. Stephen G. Andrews, President and Chief Executive Officer, Bank of Alameda. On May 3, 2011 and May 4, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. On June 22, 2011, the Committee met in open session and ordered H.R. 940, as amended, favorably reported to the House by a record vote of 44 yeas, 7 nays and 3 present. The Committee Report was filed on March 5, 2012 (H. Rept. 112-407, Part 1). BURDENSOME DATA COLLECTION RELIEF ACT (H.R. 1062) Summary H.R. 1062, the Burdensome Data Collection Relief Act, repeals Section 953(b) of the Dodd-Frank Act, which requires all publicly traded companies to calculate and disclose for each filing with the SEC the median annual total compensation of all employees of the company excluding the Chief Executive Officer (CEO), disclose the annual total compensation of the CEO, and calculate and disclose a ratio comparing those two numbers. Legislative History H.R. 1062 was introduced by Representative Nan Hayworth on March 14, 2011 and referred to the Committee on Financial Services. The bill has seven cosponsors. On March 16, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on a draft version of H.R. 1062 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' The Subcommittee received testimony from the following witnesses: Mr. Kenneth A. Bertsch, President and CEO, Society of Corporate Secretaries & Governance Professionals; Mr. Tom Deutsch, Executive Director, American Securitization Forum; Ms. Pam Hendrickson, Chief Operating Officer, The Riverside Company; Mr. David Weild, Senior Advisor, Grant Thornton, LLP; Mr. Luke Zubrod, Director, Chatham Financial on behalf of the Coalition for Derivatives End-Users; and Mr. Damon Silvers, Policy Director and Special Counsel, AFL-CIO. On May 3, 2011 and May 4, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill favorably reported to the Committee by a record vote of 20 yeas and 12 nays. On June 22, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 33 yeas and 21 nays. The Committee Report was filed on July 12, 2011 (H. Rept. 112-142). SMALL COMPANY CAPITAL FORMATION ACT OF 2011 (H.R. 1070) Summary H.R. 1070, the Small Company Capital Formation Act, raises the offering threshold for companies exempted from registration with the SEC under Regulation A from $5 million--the threshold set in the early 1990s--to $50 million. Raising the offering threshold helps small companies gain access to capital markets without the costs and delays associated with the full-scale securities registration process. H.R. 1070 provides the SEC with the authority to increase the threshold and requires the SEC to re-examine the threshold every two years and report to Congress on its decisions regarding adjustment of the threshold. Legislative History H.R. 1070 was introduced by Representative David Schweikert on March 14, 2011 and referred to the Committee on Financial Services. The bill has seventeen cosponsors. On March 16, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on a draft version of H.R. 1070 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' The Subcommittee received testimony from the following witnesses: Mr. Kenneth A. Bertsch, President and CEO, Society of Corporate Secretaries & Governance Professionals; Mr. Tom Deutsch, Executive Director, American Securitization Forum; Ms. Pam Hendrickson, Chief Operating Officer, The Riverside Company; Mr. David Weild, Senior Advisor, Grant Thornton, LLP; Mr. Luke Zubrod, Director, Chatham Financial on behalf of the Coalition for Derivatives End-Users; and Mr. Damon Silvers, Policy Director and Special Counsel, AFL-CIO. On May 3, 2011 and May 4, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. On June 22, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on September 14, 2011 (H. Rept. 112-206). On November 2, 2011, the House agreed to a motion to suspend the rules and pass H.R. 1070, as amended, by a record vote of 421 yeas and 1 nay. On March 7, 2012, the House adopted H. Res. 572, which provided that H.R. 3606 be amended by the Rules Committee Print 112-17, the Jumpstart Our Business Startups Act, which largely reflects the text of H.R. 3606 and H.R. 2167 as reported by the Committee on Financial Services, H.R. 1070, H.R. 2930, H.R. 2940 as passed the House, and H.R. 4088 as introduced. On March 8, 2012, the House considered H.R. 3606 and passed the bill, with amendments, by a record vote of 390 yeas and 23 nays. On March 22, 2012, the Senate considered H.R. 3606 and passed the bill, with amendments, by a record vote of 73 yeas and 26 nays. On March 27, 2012, the House considered the Senate amendment to H.R. 3606 under suspension of the rules, and agreed to the amendment by a record vote of 380 yeas and 41 nays. On April 5, 2012, H.R. 3606 was signed by the President and became Public Law No. 112-106. SMALL BUSINESS CAPITAL ACCESS AND JOB PRESERVATION ACT (H.R. 1082) Summary H.R. 1082, the Small Business Capital Access and Job Preservation Act, exempts advisers to private equity funds that have not borrowed and do not have outstanding a principal amount in excess of twice their funded capital commitments from SEC registration requirements as mandated by Title IV of the Dodd-Frank Act. Legislative History H.R. 1082 was introduced by Representative Robert Hurt on March 15, 2011 and was referred to the Committee on Financial Services. The bill has nine cosponsors. On March 16, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on H.R. 1082 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' The Subcommittee received testimony from the following witnesses: Mr. Kenneth A. Bertsch, President and CEO, Society of Corporate Secretaries & Governance Professionals; Mr. Tom Deutsch, Executive Director, American Securitization Forum; Ms. Pam Hendrickson, Chief Operating Officer, The Riverside Company; Mr. David Weild, Senior Advisor, Grant Thornton, LLP; Mr. Luke Zubrod, Director, Chatham Financial on behalf of the Coalition for Derivatives End-Users; and Mr. Damon Silvers, Policy Director and Special Counsel, AFL-CIO. On May 3, 2011 and May 4, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill favorably reported to the Committee by a record vote of 19 yeas and 13 nays. On June 22, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on July 12, 2011 (H. Rept. 112-143). RESPONSIBLE CONSUMER FINANCIAL PROTECTION REGULATIONS ACT OF 2011 (H.R. 1121) Summary H.R. 1121, the Responsible Consumer Financial Protection Regulations Act of 2011, would amend Section 1011 of the Dodd- Frank Act, by replacing the Director of the Consumer Financial Protection Bureau (CFPB) with a five-person Commission. The CFPB Commission would be empowered to prescribe regulations and issue orders to implement laws within the CFPB's jurisdiction. One of the five seats on the CFPB Commission would be filled by the Vice Chairman for Supervision of the Federal Reserve System. Each of the four remaining members of the Commission would be appointed by the President; no more than two of those four Commissioners may be from the same political party. Although the Chair of the Commission would fulfill the executive and administrative functions of the CFPB, the Chair's discretion would be bounded by policies set by the whole Commission. Legislative History On March 16, 2011, H.R. 1121 was introduced by Chairman Spencer Bachus and referred to the Committee on Financial Services. The bill has 35 cosponsors. On March 16, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing on H.R. 1121 entitled ``Oversight of the Consumer Financial Protection Bureau.'' Ms. Elizabeth Warren, Special Advisor to the Secretary of the Treasury for the CFPB, Department of the Treasury, testified. On April 6, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing on H.R. 1121 entitled ``Legislative Proposals to Improve the Structure of the Consumer Financial Protection Bureau.'' The Subcommittee received testimony from the following witnesses: Ms. Leslie R. Andersen, President and Chief Executive Officer, Bank of Bennington on behalf of the American Bankers Association; Ms. Lynette W. Smith, President and Chief Executive Officer, Washington Gas Light FCU on behalf of the National Association of Federal Credit Unions; Mr. Jess Sharp, Executive Director, Center for Capital Markets Competitiveness, U.S. Chamber of Commerce; Mr. Hilary Shelton, Director, NAACP Washington Bureau and Senior VP for Advocacy and Policy, NAACP; Mr. Noah H. Wilcox, President and Chief Executive Officer, Grand Rapids State Bank on behalf of the Independent Community Bankers of America; Mr. Rod Staatz, President and Chief Executive Officer, SECU of Maryland on behalf of the Credit Union National Association; Mr. Richard Hunt, President, Consumer Bankers Association; and Prof. Adam J. Levitin, Georgetown University Law Center. On May 4, 2011, the Subcommittee on Financial Institutions and Consumer Credit met in open session and ordered the bill favorably reported to the Committee by a record vote of 13 yeas and 7 nays. On May 12, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a record vote of 33 yeas and 24 nays. The Committee Report (Part 1) was filed on June 16, 2011 (H. Rept. 112-107), and Part 2 of the Committee Report was filed on July 19, 2011 (H. Rept. 112-107, Part 2). On July 21, 2011, the House considered the Committee Print of H.R. 1315, which included the text of H.R. 1121 and H.R. 1667, and passed the bill, with amendments, by a record vote of 241 yeas and 173 nays. STOP TRADING ON CONGRESSIONAL KNOWLEDGE ACT (H.R. 1148) Summary H.R. 1148, the Stop Trading on Congressional Knowledge Act, would amend the Securities Exchange Act of 1934 and the Commodity Exchange Act to direct both the SEC and the Commodity Futures Trading Commission (CFTC) to prohibit purchase or sale of either securities, security-based swaps, swap, or commodities for future delivery by a person in possession of material nonpublic information regarding pending or prospective legislative action if the information was obtained: (1) knowingly from a Member or employee of Congress, (2) by reason of being a Member or employee of Congress, or (3) from other federal employees and derived from their federal employment. The bill would also amend the Code of Official Conduct of the Rules of the House of Representatives to prohibit any Member, officer, or employee of the House from disclosing material nonpublic information relating to any pending or prospective legislative action relating to any publicly-traded company or to any commodity if such person has reason to believe that the information will be used to buy or sell the securities of that publicly traded company or that commodity for future delivery based on such information. H.R. 1148 would also require the House Committee on Agriculture and the Committee on Financial Services to hold hearings on the implementation by the CFTC and the SEC of such financial transaction prohibitions. The bill would also amend the Ethics in Government Act of 1978 to require formal disclosure of certain securities and commodities futures transactions to either the Clerk of the House of Representatives or the Secretary of the Senate. The bill would also amend the Lobbying Disclosure Act of 1995 to subject to its registration, reporting, and disclosure requirements, as well as requirements for identification of clients and covered legislative and executive officials, all political intelligence activities, contacts, firms, and consultants. H.R. 1148 would also require the Comptroller General to include political intelligence activities, contacts, firms, and consultants in its annual compliance audits and reports. Legislative History On March 17, 2011, H.R. 1148 was introduced by Representative Timothy Walz and referred to the Committee on Financial Services. The bill has 286 cosponsors. On December 6, 2011, the Committee held a legislative hearing on H.R. 1148 entitled ``H.R. 1148, the Stop Trading on Congressional Knowledge Act.'' The Committee received testimony from the following witnesses: Representative Walter Jones (R- NC); Representative Louise Slaughter (D-NY); Representative Tim Walz (D-MN); Mr. Robert Khuzami, Director, Division of Enforcement, SEC; Mr. Jack Maskell, Legislative Attorney, Congressional Research Service; Professor Donna Nagy, Indiana University Maurer School of Law; and Mr. Robert Walker, Of Counsel, Wiley Rein LLP. On February 9, 2012, the House agreed to a motion to suspend the rules and pass S. 2038, STOCK Act, as amended, by a record vote of 417 yeas to 2 nays. On April 4, 2012, S. 2038 was signed by the President and became Public Law 112-105. EQUITY IN GOVERNMENT COMPENSATION ACT OF 2011 (H.R. 1221) Summary H.R. 1221, the Equity in Government Compensation Act of 2011, would suspend the current compensation packages for all of Fannie Mae and Freddie Mac's senior executives and establish a compensation system for the Government Sponsored Enterprises' (GSEs') executive officers consistent with the compensation and benefits provided under the Financial Institution Reform, Recovery, and Enforcement Act of 1989 (FIRREA). The bill requires the GSEs' regulator--the Federal Housing Finance Agency (FHFA)--to adjust the salaries of Fannie Mae's and Freddie Mac's nonsupervisory employees to conform to the General Schedule, a statutory pay system that pays employees based on surveys of non-federal pay for similar work. H.R. 1221 expresses the sense of the Congress that the 2010 and 2011 pay packages for Fannie Mae's and Freddie Mac's senior executives were excessive and that the money should be returned to the Treasury to reduce the national debt. Legislative History On March 29, 2011, H.R. 1221 was introduced by Chairman Spencer Bachus and referred to the Committee on Financial Services and the Committee on Oversight and Government Reform. The bill has 19 cosponsors. On March 31, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on H.R. 1221 entitled ``Legislative Hearing on Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA, The Honorable John H. Dalton, President of the Housing Policy Council, Financial Services Roundtable; Mr. Christopher Papagianis, Managing Director, Economics21; Mr. Edward Pinto, Resident Fellow, American Enterprise Institute; Mr. Bob Nielsen, Chairman of the Board, National Association of Home Builders; and Mr. Ron Phipps, President, National Association of Realtors. On April 5, 2011 and April 6, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill, as amended, favorably reported to the Committee by a record vote of 27 yeas and 6 nays. On November 15, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a record vote of 52 yeas and 4 nays. The Committee Report was filed on January 17, 2012 (H. Rept. 112-366, Part 1). FLOOD INSURANCE REFORM ACT OF 2011 (H.R. 1309) Summary H.R. 1309, the Flood Insurance Reform Act of 2011, would reauthorize the National Flood Insurance Program (NFIP) through September 30, 2016, and amend the National Flood Insurance Act to ensure the immediate and near-term fiscal and administrative health of the NFIP. The bill would also ensure the NFIP's continued viability by encouraging broader participation in the program, increasing financial accountability, eliminating unnecessary rate subsidies, and updating the program to meet the needs of the 21st century. The key provisions of H.R. 1309 include: (1) a five-year reauthorization of the NFIP; (2) a three-year delay in the mandatory purchase requirement for certain properties in newly designated Special Flood Hazard Areas (SFHAs); (3) a phase-in of full-risk, actuarial rates for areas newly designated as Special Flood Hazard; (4) a reinstatement of the Technical Mapping Advisory Council; and (5) an emphasis on greater private sector participation in providing flood insurance coverage. Legislative History On April 1, 2011, H.R. 1309 was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert and referred to the Committee on Financial Services. The bill has nineteen cosponsors. On March 11, 2011 and April 1, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held legislative hearings entitled ``Legislative Proposals to Reform the National Flood Insurance Program,'' on a discussion draft of H.R. 1309. On March 11, 2011, the Subcommittee received written testimony from Craig Fugate, Administrator, Federal Emergency Management Agency (FEMA) and the following witnesses testified: Orice Williams Brown, Managing Director, GAO; Sally McConkey, Vice Chair, Association of State Flood Plain Managers and Manager, Coordinated Hazard Assessment and Mapping Program, Illinois State Water Survey; Sandra G. Parrillo, Chair, National Association of Mutual Insurance Companies and President and CEO of Providence Mutual; Spencer Houldin, Chair, Government Affairs Committee, Independent Insurance Agents and Brokers of America and President, Ericson Insurance Services; Steve Ellis, Vice President, Taxpayers for Common Sense, on behalf of the SmarterSafer Coalition; Donna Jallick, Vice President, Harleysville Insurance; Barry Rutenberg, First Vice Chairman, National Association of Home Builders; Frank Nutter, President, Reinsurance Association of America; Terry Sullivan, Sullivan Realty, Inc., on behalf of The National Association of Realtors; and Maurice Veissi, President-Elect, National Association of Realtors, and Principal, Veissi & Associates. On April, 1, 2011, The Honorable Craig Fugate, Administrator, FEMA, was the only witness. On April 6, 2011, the Subcommittee on Insurance, Housing and Community Opportunity met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. On May 12, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a recorded vote of 54 yeas and 0 nays. On July 12, 2011, the House considered H.R. 1309 and passed the bill, with amendments, by a record vote of 406 yeas and 22 nays. CONSUMER FINANCIAL PROTECTION SAFETY AND SOUNDNESS IMPROVEMENT ACT OF 2011 (H.R. 1315) Summary H.R. 1315, the Consumer Financial Protection Safety and Soundness Improvement Act of 2011, would amend Section 1023 of the Dodd-Frank Act to streamline the Financial Stability Oversight Council's (FSOC's) review and oversight of CFPB rules and regulations that may undermine the safety and soundness of U.S. financial institutions. The bill would make three major changes: (1) it would lower the threshold required to set aside regulations from a two-thirds vote of the FSOC's voting membership to a simple majority, excluding the CFPB Director; (2) it would clarify that the FSOC must set aside any CFPB regulation that is inconsistent with the safe and sound operations of U.S. financial institutions; and (3) it would eliminate the 45-day time limit for the FSOC to review and vote on regulations. Legislative History On April 1, 2011, H.R. 1315 was introduced by Representative Sean Duffy and was referred to the Committee on Financial Services. The bill has 4 cosponsors. On March 16, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing on a draft of H.R. 1315 entitled ``Oversight of the Consumer Financial Protection Bureau.'' Ms. Elizabeth Warren, Special Advisor to the Secretary of the Treasury for the CFPB, Department of the Treasury, testified. On April 6, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing on H.R. 1315 entitled ``Legislative Proposals to Improve the Structure of the Consumer Financial Protection Bureau.'' The Subcommittee received testimony from the following witnesses: Ms. Leslie R. Andersen, President and Chief Executive Officer, Bank of Bennington on behalf of the American Bankers Association; Ms. Lynette W. Smith, President and Chief Executive Officer, Washington Gas Light FCU on behalf of the National Association of Federal Credit Unions; Mr. Jess Sharp, Executive Director, Center for Capital Markets Competitiveness, U.S. Chamber of Commerce; Mr. Hilary Shelton, Director, NAACP Washington Bureau and Senior VP for Advocacy and Policy, NAACP; Mr. Noah H. Wilcox, President and Chief Executive Officer, Grand Rapids State Bank on behalf of the Independent Community Bankers of America; Mr. Rod Staatz, President and Chief Executive Officer, SECU of Maryland on behalf of the Credit Union National Association; Mr. Richard Hunt, President, Consumer Bankers Association; and Prof. Adam J. Levitin, Georgetown University Law Center. On May 4, 2011, the Subcommittee on Financial Institutions and Consumer Credit met in open session and ordered the bill, as amended, favorably reported to the Committee by a record vote of 13 yeas and 9 nays. On May 12, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a record vote of 35 yeas and 22 nays. The Committee Report (Part 1) was filed on May 25, 2011 (H. Rept. 112-89), and Part 2 of the Committee Report was filed on July 19, 2011 (H. Rept. 112-89, Part 2). On July 21, 2011, the House considered H.R. 1315 and passed the bill, with amendments, by a record vote of 241 yeas and 173 nays. ASSET-BACKED MARKET STABILIZATION ACT OF 2011 (H.R. 1539) Summary H.R. 1539, the Asset-Backed Market Stabilization Act of 2011, would repeal Section 939G of the Dodd-Frank Act, thereby reinstating SEC Rule 436(g). Under the Securities Act, the written consent of an ``expert''--which includes any person who prepared or certified a portion of a statement or prospectus filed with the SEC--must be included in the filing, and the consenting expert is subject to liability for misstatements in the prepared or certified portion of the registration statement or prospectus. Rule 436(g) exempted ``nationally recognized statistical rating organizations'' (NRSROs) from being considered ``experts'' if their ratings were included in a registration statement or prospectus. Rule 436(g)'s repeal in the Dodd-Frank Act prompted NRSROs to refuse to consent to the inclusion of their ratings in statements and prospectuses, causing dislocation in the asset-backed securities market. Legislative History H.R. 1539 was introduced by Representative Steve Stivers on April 14, 2011 and was referred to the Committee on Financial Services. The bill has three cosponsors. On March 16, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on a draft version of H.R. 1539 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' The Subcommittee received testimony from the following witnesses: Mr. Kenneth A. Bertsch, President and CEO, Society of Corporate Secretaries & Governance Professionals; Mr. Tom Deutsch, Executive Director, American Securitization Forum; Ms. Pam Hendrickson, Chief Operating Officer, The Riverside Company; Mr. David Weild, Senior Advisor, Grant Thornton, LLP; Mr. Luke Zubrod, Director, Chatham Financial on behalf of the Coalition for Derivatives End-Users; and Mr. Damon Silvers, Policy Director and Special Counsel, AFL-CIO. On May 3, 2011 and May 4, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill favorably reported to the Committee by a record vote of 18 yeas and 14 nays. On July 20, 2011, the Committee met in open session and ordered the bill favorably reported to the House by 31 yeas and 19 nays. The Committee Report was filed on August 12, 2011 (H. Rept. 112-196). TO FACILITATE IMPLEMENTATION OF TITLE VII OF THE DODD-FRANK WALL STREET REFORM AND CONSUMER PROTECTION ACT, PROMOTE REGULATORY COORDINATION, AND AVOID MARKET DISRUPTION (H.R. 1573) Summary H.R. 1573, a bill to facilitate implementation of Title VII of the Dodd-Frank Act, promote regulatory coordination, and avoid market disruption, would extend the statutory deadline for certain provisions of Title VII of the Dodd-Frank Act from July 2011 to September 30, 2012. The legislation provides additional time for the CFTC and the SEC to write and vet the rules to implement the derivatives title, conduct cost-benefit analysis, consider the interdependence and cumulative impact of the rules, and determine the appropriate sequencing of effective dates. The legislation realigns the United States with the G20 agreement to move to reporting and central clearing by December 2012, reducing the likelihood of divergence in international regulatory regimes and mitigating negative consequences to the competitive position of U.S. markets and market participants. H.R. 1573 maintains the current timeframe for the SEC and CFTC to issue final rules defining key terms such as swap, swap dealer, security-based swap dealer, major swap participant, major security-based swap participant and eligible contract participant, and for requiring record retention and regulatory reporting for swaps. The bill provides for interim authority to designate swap data repositories for the purposes of receiving the data. H.R. 1573 requires the SEC and CFTC to hold public hearings to take testimony and comment on proposed rules before they are made final, and factor those comments into cost-benefit analysis and the timing of effective dates. Finally, H.R. 1573 provides the SEC and CFTC authority to exempt certain persons from registration and/or other regulatory requirements if they are subject to comparable supervision by another regulatory authority, if there are information-sharing arrangements in effect between the Commissions and that regulatory authority, and if it is in the public interest. Legislative History On April 15, 2011, H.R. 1573 was introduced by Representatives Lucas, Bachus, Conaway and Garrett, and was referred to the House Financial Services and House Agriculture Committees. The bill has twenty-two cosponsors. On February 15, 2011, the Committee held an oversight hearing on the implementation of Title VII of the Dodd-Frank Act entitled, ``Assessing the Regulatory, Economic and Market Implications of the Dodd-Frank Derivatives Title.'' Witnesses included: The Honorable Mary Schapiro, Chairman, SEC; The Honorable Gary Gensler, Chairman, CFTC; The Honorable Daniel K. Tarullo, Member, Federal Reserve Board of Governors; Mr. Craig Reiners, Director of Commodity Risk Management, MillerCoors, on behalf of the Coalition for Derivatives End-Users; Mr. Donald F. Donahue, Chairman & Chief Executive Officer, The Depository Trust & Clearing Corporation (DTCC); Mr. Terry Duffy, Executive Chairman, CME Group; Mr. Don Thompson, Managing Director and Associate General Counsel, JPMorgan Chase, on behalf of the Securities Industry and Financial Markets Association (SIFMA); Mr. Jamie Cawley, Chief Executive Officer, Javelin, on behalf of the Swaps and Derivatives Market Association (SDMA); and Mr. Christopher Giancarlo, Executive Vice President, Corporate Development, GFI Group Inc. On March 16, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on related derivatives legislation where Mr. Luke Zubrod, Director, Chatham Financial, testified on behalf of the Coalition for Derivatives End-Users on the need to extend title VII's statutory deadlines for rulemaking to allow regulators sufficient time to incorporate recommendations, craft thoughtful rules, and conduct adequate cost-benefit analyses. On May 24, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a record vote of 30 yeas and 24 nays. CONSUMER RENTAL PURCHASE AGREEMENT ACT (H.R. 1588) Summary H.R. 1588, the Consumer Rental Purchase Agreement Act, would define rental purchase transactions, create uniform national disclosure standards for rent-to-own businesses, and prohibit certain practices. The bill would define a number of terms pertaining to rental purchase transactions, including a ``rental-purchase agreement,'' which excludes credit sales and consumer leases (as defined by the Truth in Lending Act). H.R. 1588 would also (1) require rent-to-own merchants to include certain disclosures about the transaction in their rental- purchase agreements; (2) specify the rights of consumers to acquire ownership of the property and request a statement of their account; (3) specify provisions that are prohibited from appearing in rental-purchase agreements; (4) include standards governing renegotiations and extensions of rental-purchase agreements; (5) mandate disclosures for both point-of-rental and advertising; (6) permit consumers to take civil action against any merchant that fails to comply with the requirements in the bill; (7) require the Federal Reserve Board to prescribe mandated regulations; (8) establish that the bill's requirements would be enforced by the Federal Trade Commission and that enforcement actions could also be brought by any state attorney general; and (9) establish criminal liability for those merchants that willfully and knowingly give false or inaccurate information or fail to make any required disclosures under the bill. The consumer protections contained in H.R. 1588 would generally exceed those contained in existing state laws, but H.R. 1588 would not preempt stronger state laws. The bill would, however, preclude states from treating rental-purchase transactions as credit sales and from requiring the disclosure of an annual percentage rate. Legislative History On April 15, 2011, H.R. 1588 was introduced by Representative Francisco ``Quico'' Canseco and was referred to the Committee on Financial Services. The bill has 112 cosponsors. On July 26, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing on H.R. 1588 entitled ``Examining Rental Purchase Agreements and the Potential Role for Federal Regulation.'' The Subcommittee received testimony from the following witnesses: Charles Harwood, Deputy Director, Bureau of Consumer Protection, Federal Trade Commission; Jim Hawkins, Assistant Professor of Law, University of Houston Law Center; Roy Soto, Owner, Premier Rental Purchase; Vivian Saunders, rent-to-own customer from Lewiston Woodville, NC; and Margot Freeman Saunders, Of Counsel, National Consumer Law Center. On November 17, 2011, the Subcommittee on Financial Institutions and Consumer Credit met in open session and ordered the bill, as amended, favorably reported to the Committee by a voice vote. On May 31, 2012, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a vote of 33 yeas and 21 nays. BUREAU OF CONSUMER FINANCIAL PROTECTION TRANSFER CLARIFICATION ACT (H.R. 1667) Summary H.R. 1667, the Bureau of Consumer Financial Protection Transfer Clarification Act, would amend Section 1062 of the Dodd-Frank Act. The Dodd-Frank Act shifts consumer protection functions to the CFPB from the Federal Reserve, the Federal Deposit Insurance Corporation (FDIC), the National Credit Union Administration (NCUA), the Office of the Comptroller of the Currency (OCC), the Office of Thrift Supervision (OTS) and the HUD. H.R. 1667 would delay any further transfer of powers until the later of the following: (1) July 21, 2011; or (2) the date on which the Director of the CFPB is confirmed by the Senate. Legislative History On May 2, 2011, H.R. 1667 was introduced by Subcommittee on Financial Institutions and Consumer Credit Chairman Shelley Moore Capito and was referred to the Committee on Financial Services. The bill has 14 cosponsors. On March 16, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing on a draft of H.R. 1667 entitled ``Oversight of the Consumer Financial Protection Bureau.'' Ms. Elizabeth Warren, Special Advisor to the Secretary of the Treasury for the CFPB, Department of the Treasury, testified. On April 6, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing on H.R. 1667 entitled ``Legislative Proposals to Improve the Structure of the Consumer Financial Protection Bureau.'' The Subcommittee received testimony from the following witnesses: Ms. Leslie R. Andersen, President and Chief Executive Officer, Bank of Bennington on behalf of the American Bankers Association; Ms. Lynette W. Smith, President and Chief Executive Officer, Washington Gas Light FCU on behalf of the National Association of Federal Credit Unions; Mr. Jess Sharp, Executive Director, Center for Capital Markets Competitiveness, U.S. Chamber of Commerce; Mr. Hilary Shelton, Director, NAACP Washington Bureau and Senior VP for Advocacy and Policy, NAACP; Mr. Noah H. Wilcox, President and Chief Executive Officer, Grand Rapids State Bank on behalf of the Independent Community Bankers of America; Mr. Rod Staatz, President and Chief Executive Officer, SECU of Maryland on behalf of the Credit Union National Association; Mr. Richard Hunt, President, Consumer Bankers Association; and Prof. Adam J. Levitin, Georgetown University Law Center. On May 4, 2011, the Subcommittee on Financial Institutions and Consumer Credit met in open session and ordered the bill favorably reported to the Committee by a record vote of 13 yeas and 8 nays. On May 12, 2011, the Committee held a markup and ordered the bill favorably reported to the House by a record vote of 32 yeas and 26 nays. The Committee Report, Part 1, was filed on May 27, 2011 (H. Rept. 112-93), and Part 2 was filed on July 19, 2011 (H. Rept. 112-93, Part 2). On July 14, 2011, the Rules Committee issued a Committee Print of H.R. 1315, which included the text of H.R. 1121 and H.R. 1667. On July 21, 2011, the House considered H.R. 1315 and passed the bill, with amendments, by a record vote of 241 yeas and 173 nays. CJ'S HOME PROTECTION ACT OF 2011 (H.R. 1751) Summary H.R. 1751, CJ's Home Protection Act of 2011, would amend the Manufactured Housing Construction and Safety Standards Act of 1974 by requiring the installation of National Oceanic & Atmospheric Administration (NOAA) weather radios in all manufactured homes made or sold in the United States. The installation standard for these weather radios--which would broadcast severe weather warnings and civil emergency messages (including tornado and flood warnings), AMBER alerts for child abductions, and chemical spill notifications--would be established by the Secretary of HUD upon recommendation of the Manufactured Housing Consensus Committee, an advisory committee which was created by the 1974 Act. Legislative History On May 5, 2011, H.R. 1751 was introduced by Chairman Spencer Bachus and was referred to the Committee on Financial Services. The bill has four cosponsors. On July 20, 2011, the Committee met in open session and ordered the bill favorably reported to the House by voice vote. The Committee Report was filed on August 1, 2011 (H. Rept. 112- 191). LENA HORNE RECOGNITION ACT (H.R. 1815) Summary H.R. 1815, the Lena Horne Recognition Act, would direct the Speaker of the House and President Pro Tempore of the Senate to make arrangements for the posthumous presentation, on behalf of Congress, of a gold medal in commemoration of Lena Horne and in recognition of her achievements and contributions to American culture and the civil rights movement. Legislative History On May 10, 2011, H.R. 1815 was introduced by Representative Alcee Hastings and referred to the Committee on Financial Services. The bill had 308 cosponsors. On April 17, 2012, the House agreed to a motion to suspend the rules and pass H.R. 1815 by a record vote of 410 yeas and 2 nays. SWAPS BAILOUT PREVENTION ACT (H.R. 1838) Summary H.R. 1838, the Swaps Bailout Prevention Act, would amend Section 716 of the Dodd-Frank Act by allowing bona fide hedging and traditional risk mitigation activities to take place within a covered depository institution. Section 716 prohibits ``federal assistance''--defined as ``the use of any advances from any Federal Reserve credit facility or discount window [or] Federal Deposit Insurance Corporation insurance or guarantees''--to ``swaps entities,'' which include swap dealers and major swap participants, securities and futures exchanges, swap-execution facilities, and clearing organizations. This provision, known as the swap desk ``push out'' or ``spin off'' provision, forces financial institutions that have swap desks to move them into an affiliate to preserve their access to Federal Reserve credit facilities and federal deposit insurance. Although the provision allows banks to continue dealing in swaps related to interest rates, foreign currency, and swaps permitted under the National Bank Act, the provision prohibits them from engaging in swaps related to commodities, equities, and credit. Legislative History On May 11, 2011, H.R. 1838 was introduced by Representative Nan Hayworth and referred to the Committee on Financial Services and the Committee on Agriculture. The bill has no cosponsors. On October 14, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on H.R. 1838 entitled ``Legislative Proposals to Bring Certainty to the Over-the-Counter Derivatives Market.'' The Subcommittee received testimony from the following witnesses: Mr. Keith Bailey, Managing Director, Fixed Income, Currencies and Commodities, Barclays Capital, on behalf of the Institute of International Bankers; Mr. Shawn Bernardo, Senior Managing Director, Tullett Prebon, on behalf of the Wholesale Market Brokers' Association Americas; Ms. Brenda Boultwood, Chief Risk Officer and Senior Vice President, CE Risk Management Division Office, Constellation Energy, on behalf of the Coalition of Derivatives End-Users; Mr. James Cawley, CEO, Javelin Capital Markets LLC; Mr. Kent Mason, Davis & Harman LLP, on behalf of the American Benefits Council and the Committee on the Investment of Employee Benefit Assets; and Mr. Conrad Voldstad, Chief Executive Officer, International Swaps and Derivatives Association. On November 15, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 1838, as amended, favorably reported to the Committee by a record vote of 21 yeas and 12 nays. On February 16, 2012, the Committee met in open session and ordered H.R. 1838, as amended, favorably reported to the House by voice vote. The Committee Report was filed on May 11, 2012 (H. Rept. 112-476, Part 1). TO AMEND THE SECURITIES LAWS TO ESTABLISH CERTAIN THRESHOLDS FOR SHAREHOLDER REGISTRATION, AND FOR OTHER PURPOSES (H.R. 1965) Summary H.R. 1965, a bill to amend the securities laws to establish certain thresholds for shareholder registration, and for other purposes, would raise the threshold for mandatory registration under the Securities Exchange Act of 1934 (the Exchange Act) from 500 shareholders to 2,000 shareholders for banks and bank holding companies. The bill would also modify the threshold for deregistration under Sections 12(g) and 15(d) of the Exchange Act for a bank or a bank holding company from 300 to 1,200 shareholders. Legislative History On May 24, 2011, H.R. 1965 was introduced by Representative James Himes and referred to the Committee on Financial Services. The bill has 18 cosponsors. On September 21, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on H.R. 1965 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' The Subcommittee received testimony from the following witnesses: Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Vincent Molinari, Founder and Chief Executive Officer, GATE Technologies LLC; Mr. Barry E. Silbert, Founder and Chief Executive Officer, SecondMarket, Inc.; Mr. Matthew H. Williams, Chairman and President, Gothenburg State Bank, on behalf of the American Bankers Association; Mr. William D. Waddill, Senior Vice President and Chief Financial Officer, OncoMed Pharmaceuticals, Inc., on behalf of the Biotechnology Industry Organization; Mr. A. Heath Abshure, Commissioner, Arkansas Securities Department on behalf of the North American Securities Administrators; and Ms. Dana Mauriello, President, ProFounder. On October 5, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. On October 26, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. On November 2, 2011, the House agreed to a motion to suspend the rules and pass H.R. 1965, as amended, by a record vote of 420 yeas and 2 nays. TO INSTRUCT THE INSPECTOR GENERAL OF THE FEDERAL DEPOSIT INSURANCE CORPORATION TO STUDY THE IMPACT OF INSURED DEPOSITORY INSTITUTION FAILURES, AND FOR OTHER PURPOSES (H.R. 2056) Summary H.R. 2056, a bill to instruct the Inspector General of the Federal Deposit Insurance Corporation (FDIC) to study the impact of insured depository institution failures, would require the FDIC's Inspector General to study issues raised by bank failures in states that have had more than ten such failures since 2008. The study would cover the following subjects: (1) the use and effect of shared loss agreements; (2) the significance of paper losses; (3) the success of FDIC field examiners in implementing FDIC guidelines regarding workouts of commercial real estate; (4) the application and impact of consent orders and cease and desist orders; (5) the impact of FDIC policies on raising capital; and (6) the FDIC's involvement in private equity investment. The bill would also instruct the GAO to study: (1) the causes of bank failures in states with 10 or more failures since 2008; (2) the procyclical impact of fair value accounting standards; (3) the causes and potential solutions for the cycle of loan write downs, raising capital, and failures; and (4) the impact of bank failures upon the community. Legislative History On May 31, 2011, H.R. 2056 was introduced by Representative Lynn Westmoreland and was referred to the Committee on Financial Services. The bill has 13 cosponsors. On July 8, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing on H.R. 2056 entitled ``Legislative Proposals Regarding Bank Examination Practices.'' The Subcommittee received testimony from the following witnesses: Mr. James H. McKillop, President and CEO, Independent Bankers Bank of Florida on behalf of the Independent Community Bankers of America; Mr. Michael Whalen, President and CEO, Heart of America Group; and Professor Simon Johnson, The Ronald A. Kurtz, Professor of Entrepreneurship at the Massachusetts Institute of Technology's Sloan School of Management; Mr. George French, Deputy Director, Division of Risk Management Supervision of the FDIC; and Ms. Jennifer Kelly, Senior Deputy Comptroller for Mid-Size/Community Bank Supervision of the OCC. On July 20, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on July 26, 2011 (H. Rept. 112-182). On July 28, 2011, the House considered H.R. 2056 under suspension of the rules, and passed the bill, as amended, by voice vote. On November 17, 2011, the Senate considered H.R. 2056 and passed the bill, with amendments, by Unanimous Consent. On December 20, 2011, the House considered the Senate amendments to H.R. 2056 under suspension of the rules, and agreed to the amendments by Unanimous Consent. On January 3, 2012, H.R. 2056 was signed by the President and became Public Law No. 112-088. SECURING AMERICAN JOBS THROUGH EXPORTS ACT OF 2011 (H.R. 2072) Summary H.R. 2072, the Securing American Jobs Through Exports Act of 2011, would amend the Export-Import Bank Act of 1945 by extending the authority of the Export-Import Bank of the United States (the Bank) for four years, from 2011 to 2015. Key provisions of H.R. 2072 include: (1) a four-year reauthorization of the Export-Import Bank charter; (2) a gradual increase in the Bank's financing authority; (3) a requirement that the Bank establish clear and comprehensive guidelines regarding the type and amount of content in a good or service eligible for Bank financing; (4) authorization for the Bank to use up to $20 million of its surplus, subject to appropriations, to upgrade its information technology system; and (5) a number of new transparency and accountability requirements for the Bank. Legislative History H.R. 2072 was introduced by Subcommittee on International Monetary Policy and Trade Chairman Gary Miller on June 1, 2011, and referred to the Committee on Financial Services. The bill has nine cosponsors. On May 24, 2011, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``Legislative Proposals on Securing American Jobs Through Exports: Export- Import Bank Reauthorization.'' The Subcommittee received testimony from the following witnesses: Mr. Fred Hochberg, Chairman and President, the Export-Import Bank of the United States; Ms. Donna K. Alexander, Chief Executive Officer, Bankers' Association for Finance and Trade--International Financial Services Association; Ms. Thea Lee, Deputy Chief of Staff, American Federation of Labor and Congress of Industrial Organizations; Mr. Osvaldo Luis Gratacos, Inspector General for the Export-Import Bank; Mr. John Hardy, President, Coalition for Employment Through Exports; and Dr. Matthew Slaughter, Associate Dean for the MBA Program, Signals Company Professor of Management, Tuck School of Business, Dartmouth College. On June 2, 2011, the Subcommittee on International Monetary Policy and Trade met in open session and ordered the bill, as amended, favorably reported to the Committee by a voice vote. On June 22, 2011, the Committee met in open session an ordered the bill, as amended, favorably reported to the House by a voice vote. The Committee Report was filed on September 8, 2011 (H. Rept. 112-201). On May 9, 2012, the House considered H.R. 2072 and passed the bill, with amendments, by a record vote of 330 yeas and 90 nays. On May 15, 2012, the Senate considered H.R. 2072 and passed the bill by a record vote of 78 yeas and 20 nays. On May 30, 2012, H.R. 2072 was signed by the President and became Public Law No. 112-122. PRIVATE COMPANY FLEXIBILITY AND GROWTH ACT (H.R. 2167) Summary H.R. 2167, the Private Company Flexibility and Growth Act, would raise the threshold for mandatory registration under the Securities Exchange Act of 1934 (the Exchange Act) from 500 shareholders to 1,000 shareholders for all companies; shareholders who received securities under employee compensation plans would not count towards the threshold. Section 12(g) of the Exchange Act requires issuers to register equity securities with the SEC if those securities are held by 500 or more holders of record and the company has total assets of more than $10 million. After a company registers under 12(g), it must comply with the Exchange Act's reporting requirements, which include filing annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, and proxy statements on Schedule 14A. The shareholder threshold has not been adjusted since it was adopted in 1964 and has become an impediment to capital formation for small startup companies. These companies often remain private to maintain greater flexibility and control, and to avoid the increased costs associated with becoming a public company. To attract employees and conserve capital for research and development, startup companies often award their employees stock options in place of higher salaries. If the company succeeds and those options vest, the holders of those options become equity holders, and they are counted against the registration threshold. Because private companies are taking longer to go public than they have in the past, employees' stock options are increasingly vesting before the companies go public. Small private companies may thus find themselves subject to the same reporting requirements as listed companies. Legislative History On June 14, 2011, H.R. 2167 was introduced by Representative David Schweikert and referred to the Committee on Financial Services. The bill has 27 cosponsors. On September 21, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on H.R. 2167 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' The Subcommittee received testimony from the following witnesses: Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Vincent Molinari, Founder and Chief Executive Officer, GATE Technologies LLC; Mr. Barry E. Silbert, Founder and Chief Executive Officer, SecondMarket, Inc.; Mr. Matthew H. Williams, Chairman and President, Gothenburg State Bank, on behalf of the American Bankers Association; Mr. William D. Waddill, Senior Vice President and Chief Financial Officer, OncoMed Pharmaceuticals, Inc., on behalf of the Biotechnology Industry Organization; Mr. A. Heath Abshure, Commissioner, Arkansas Securities Department on behalf of the North American Securities Administrators; and Ms. Dana Mauriello, President, ProFounder. On October 5, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2167, as amended, favorably reported to the Committee by voice vote. On October 26, 2011, the Committee met in open session and ordered H.R. 2167, as amended, favorably reported to the House by voice vote. The Committee Report was filed on December 12, 2011 (H. Rept. 112-327). On March 7, 2012, the House adopted H. Res. 572, which provided that H.R. 3606 would be amended by the Rules Committee Print 112-17, the Jumpstart Our Business Startups Act, which largely reflects the text of H.R. 3606 and H.R. 2167 as reported by the Committee on Financial Services, H.R. 1070, H.R. 2930, H.R. 2940 as passed the House, and H.R. 4088 as introduced. On March 8, 2012, the House considered H.R. 3606 and passed the bill, with amendments, by a record vote of 390 yeas and 23 nays. On March 22, 2012, the Senate considered H.R. 3606 and passed the bill, with amendments, by a record vote of 73 yeas and 26 nays. On March 27, 2012, the House agreed to a motion to suspend the rules and pass H.R. 3606 with the Senate amendment by a record vote of 380 yeas and 41 nays. On April 5, 2012, H.R. 3606 was signed by the President and became Public Law No. 112-106. SEC REGULATORY ACCOUNTABILITY ACT (H.R. 2308) Summary On June 23, 2011, Capital Markets and Government Sponsored Enterprises Subcommittee Chairman Garrett introduced H.R. 2308, the SEC Regulatory Accountability Act. H.R. 2308 requires the SEC to generally follow the principles set forth in Executive Order No. 13,563, which directs non-independent executive branch agencies to adopt regulations only if the benefits of the regulations justify their costs; to tailor regulations to impose the least burden on society; and to develop plans for retrospectively analyzing rules to identify those that are outmoded, ineffective, insufficient, or excessively burdensome and to modify, streamline, expand, or repeal them accordingly. H.R. 2308 also requires, in general, the SEC to identify a problem and assess its significance before the SEC issues a rule in order to determine whether regulation is warranted. The bill requires the SEC's Chief Economist to conduct a cost- benefit analysis of proposed regulations, and it requires that the benefits of proposed regulations justify their costs before the SEC can issue them. Further, the bill requires the SEC to identify and assess alternatives to regulations that it considers, and to explain why a regulation that it issues meets regulatory objectives more effectively than the alternatives. The bill requires the SEC to ensure that its regulations be accessible, consistent, written in plain language, and easy to understand, and to measure and seek to improve the results of regulatory requirements. Legislative History On June 23, 2011, H.R. 2308 was introduced by Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett and referred to the Committee on Financial Services. The bill has 19 cosponsors. On September 15, 2011, the Committee held a legislative hearing on H.R. 2308 entitled ``Fixing the Watchdog: Legislative Proposals to Improve and Enhance the Securities and Exchange Commission.'' The Committee received testimony from the following witnesses: The Honorable Mary Schapiro, Chairman, SEC; Mr. Shubh Saumya, Partner and Managing Director, Boston Consulting Group; The Honorable Paul Atkins, Visiting Scholar, American Enterprise Institute, and Former Commissioner, SEC; Mr. Stephen D. Crimmins, Partner, K&L Gates LLP, and Former Deputy Chief Litigation Counsel, Division of Enforcement, SEC; Mr. Jonathan G. ``Jack'' Katz, Former Secretary, SEC, on behalf of the U.S. Chamber of Commerce; The Honorable Harvey Pitt, Chief Executive Officer, Kalorama Partners, LLC, and Former Chairman, SEC; and Mr. J.W. Verret, Assistant Professor of Law, George Mason University School of Law. On November 15, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill, as amended, favorably reported to the Committee by a record vote of 19 yeas and 15 nays. On February 16, 2012, the Committee met in open session and ordered H.R. 2308, as amended, reported to the House by a record vote of 30 yeas and 26 nays. The Committee Report was filed on April 25, 2012 (H. Rept. 112-453). RESPA HOME WARRANTY CLARIFICATION ACT OF 2011 (H.R. 2446) Summary H.R. 2446, the RESPA Home Warranty Clarification Act of 2011, would amend current law to explicitly state that home warranties are permissible settlement services under the Real Estate Settlement Procedures Act of 1974. The bill would also require that homeowners receive a specific written notice about the payment arrangement for any individual selling, advertising, or performing a homeowner warranty inspection for the repair or replacement of home system components or appliances. Legislative History On July 7, 2011, H.R. 2446 was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert and was referred to the Committee on Financial Services. The bill has 40 cosponsors. On July 13, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing entitled ``Mortgage Origination: The Impact of Recent Changes on Homeowners and Businesses.'' This hearing examined H.R. 2446 and other issues concerning the application of mortgage origination laws and regulations that may affect consumers and mortgage industry participants. The Subcommittee received testimony from the following witnesses: the Honorable Sandra Braunstein, Director of Division of Consumer and Community Affairs for the Board of Governors of the Federal Reserve System; the Honorable Teresa Payne, HUD's Associate Deputy Assistant Secretary for Regulatory Affairs; Ms. Kelly Cochran, Deputy Assistant Director for Regulations at the Treasury Department's CFPB; Mr. James Park, Executive Director of the Appraisal Subcommittee for the Federal Financial Institutions Examination Council; Mr. William Shear, Director of Financial Markets and Community Investment, GAO; Ms. Anne Norton, Maryland Deputy Commissioner of Financial Regulation; Mr. Steve Brown, Executive Vice President at Crye-Leike; Mr. Henry Cunningham, Jr., President of Cunningham & Company; Mr. Tim Wilson, President of Affiliated Businesses for Long & Foster Companies; Ms. Anne Anastasi, President of Genesis Abstract and President of the American Land Title Association; Mr. Mike Anderson, President of Essential Mortgage; Mr. Marc Savitt, President of The Mortgage Center; Ms. Sara Stephens, President- Elect of the Appraisal Institute; Mr. Don Kelly, Executive Director of the Real Estate Valuation Advocacy Association; Ms. Janis Bowdler, Director of the Wealth-Building Policy Project, National Council of La Raza; and Mr. Ira Rheingold, Executive Director, National Association of Consumer Advocates. On December 8, 2011, the Subcommittee on Insurance, Housing and Community Opportunity met in open session and ordered H.R. 2446 favorably reported to the Committee by voice vote. On March 27, 2012, the Committee met in open session and ordered H.R. 2446, as amended, favorably reported to the House by voice vote. TO GRANT THE CONGRESSIONAL GOLD MEDAL TO THE MONTFORD POINT MARINES (H.R. 2447) Summary H.R. 2447, a bill to grant the congressional gold medal to the Montford Point Marines, would authorize the striking and award of a Congressional Gold Medal, collectively, to the nation's first African-American Marine unit, and the striking and sale of bronze duplicates of the medal. Legislative History On July 7, 2011, H.R. 2447 was introduced by Representative Corrine Brown and referred to the Committee on Financial Services. The bill has 308 cosponsors. On October 25, 2011, the House considered H.R. 2447 under suspension of the rules and passed the bill by a record vote of 422 yeas and 0 nays. On November 9, 2011, the Senate considered H.R. 2447 and passed the bill by Unanimous Consent. On November 23, 2011, H.R. 2447 was signed by the President and became Public Law No. 112-059. MARK TWAIN COMMEMORATIVE COIN ACT (H.R. 2453) Summary H.R. 2453, the Mark Twain Commemorative Coin Act, directs the Treasury Secretary in 2016 to mint and make available for sale no more than 100,000 $5 gold coins, and 350,000 $1 silver coins in commemoration of Mark Twain. Surcharges on coin sales would be paid to the Mark Twain House; the University of California, Berkeley; Elmira College, New York; and the Mark Twain Boyhood Home and Museum in Hannibal, Missouri, after it raises funds from non-government sources equal to or greater than the surcharges collected. The design of the coins is to be emblematic of the life and legacy of Mark Twain. Legislative History On July 7, 2011, H.R. 2453 was introduced by Representative Blaine Luetkemeyer and referred to the Committee on Financial Services. The bill had 298 cosponsors. On April 18, 2012, the House agreed to a motion to suspend the rules and pass H.R. 2453 by a record vote of 408 yeas, 4 nays and 2 present. NATIONAL BASEBALL HALL OF FAME COMMEMORATIVE COIN ACT (H.R. 2527) Summary H.R. 2527, the National Baseball Hall of Fame Commemorative Coin Act, would direct the Treasury Secretary in 2015 to issue no more than 50,000 $5 gold coins, 400,000 $1 silver coins, and 750,000 half-dollar ``clad'' coins in recognition of the National Baseball Hall of Fame in Cooperstown, NY. Surcharges on coin sales would be paid to the National Baseball Hall of Fame to finance its operations, after it raises funds from non- government sources equal to or greater than the surcharges collected. The obverse design of the coin would be chosen through a juried, compensated competition, and would represent the game of baseball and its place in American sports and American life. The reverse would depict a baseball as used by Major League Baseball. The bill contains a ``Sense of Congress'' calling for the coins to be minted with a convex reverse and a concave obverse. The program would be operated at no cost to the taxpayer and would be budget-neutral. Legislative History On July 14, 2011, H.R. 2527 was introduced by Representative Richard Hanna and referred to the Committee on Financial Services. The bill has 296 cosponsors. On July 20, 2011, the Committee met in open session and ordered H.R. 2167, as amended, favorably reported to the House by voice vote. On October 26, 2011, the House considered H.R. 2527 under suspension of the rules, and passed the bill, as amended, by a record vote of 416 yeas and 3 nays. SWAP EXECUTION FACILITY CLARIFICATION ACT (H.R. 2586) Summary H.R. 2586, the Swap Execution Facility Clarification Act, would direct the CFTC and the SEC to promulgate swap execution facility (SEF) rules that would effectuate Congress's intent that SEFs serve as an alternative to exchanges and provide an execution facility for illiquid or thinly-traded swaps. The Dodd-Frank Act requires that cleared swaps be executed either on exchanges or on SEFs regulated by either the CFTC or the SEC. The drafters of the Dodd-Frank Act intended for SEFs to serve as an alternative to exchanges by providing an execution facility for illiquid or thinly-traded swaps. The CFTC's and SEC's proposed rules for SEFs, however, fail to provide the flexibility necessary to execute illiquid or thinly-traded swaps, and market participants have pointed out that the proposed rules are overly prescriptive and would inhibit the execution of swap trades. H.R. 2586 directs the CFTC and SEC to promulgate SEF rules that would effectuate Congress's intent that SEFs serve as an alternative to exchanges and provide an execution facility for illiquid or thinly-traded swaps. H.R. 2586 prohibits the CFTC and the SEC from requiring a SEF to have a minimum number of participants receive bids or offers. The bill would prohibit the CFTC and SEC from requiring SEFs to display or delay bids or offers for a specific time period, which would permit the immediate execution of matched trades. The bill prohibits the CFTC or SEC from writing rules that allow only voice-based and hybrid trading models for the execution of block trades, thereby permitting market participants to continue using any means of interstate commerce to conduct swap transactions. Finally, the bill would prohibit the CFTC and SEC from requiring SEFs that operate multiple trading systems to force those systems to interact with each other to execute swap transactions. The bill would also allow market participants to use any means of interstate commerce to execute swap transactions. Legislative History On July 19, 2011, H.R. 2586 was introduced by Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett and referred to the Committee on Financial Services and the Committee on Agriculture. The bill has eight cosponsors. On October 14, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on H.R. 2586 entitled ``Legislative Proposals to Bring Certainty to the Over-the-Counter Derivatives Market.'' The Subcommittee received testimony from the following witnesses: Mr. Keith Bailey, Managing Director, Fixed Income, Currencies and Commodities, Barclays Capital, on behalf of the Institute of International Bankers; Mr. Shawn Bernardo, Senior Managing Director, Tullett Prebon, on behalf of the Wholesale Market Brokers' Association Americas; Ms. Brenda Boultwood, Chief Risk Officer and Senior Vice President, CE Risk Management Division Office, Constellation Energy, on behalf of the Coalition of Derivatives End-Users; Mr. James Cawley, CEO, Javelin Capital Markets LLC; Mr. Kent Mason, Davis & Harman LLP, on behalf of the American Benefits Council and the Committee on the Investment of Employee Benefit Assets; and Mr. Conrad Voldstad, Chief Executive Officer, International Swaps and Derivatives Association. On November 15, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill favorably reported to the Committee by voice vote. On November 30, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on December 23, 2011 (H. Rept. 112-345, Part 1). BUSINESS RISK MITIGATION AND PRICE STABILIZATION ACT OF 2011 (H.R. 2682) Summary H.R. 2682, the Business Risk Mitigation and Price Stabilization Act of 2011, would exempt end-users from the margin and capital requirements under Title VII of the Dodd- Frank Act. The diversion of capital from job creation and the drag on economic growth resulting from the imposition of margin requirements on end-users was frequently raised during Congressional debates on the Dodd-Frank Act. A colloquy among the chairmen of the four committees with primary jurisdiction over Title VII clarified congressional intent that the Dodd- Frank Act did not grant regulators the authority to impose margin requirements for end-user transactions. Legislative History On April 15, 2011, Representative Michael Grimm originally introduced an end-user exemption bill, H.R. 1610, the Business Risk Mitigation and Price Stabilization Act of 2011, a draft of which was discussed at a legislative hearing on March 16, 2011 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' On May 3, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill, as amended, favorably reported to the Committee by a vote of 19 yeas and 13 nays. On July 28, 2011, Representative Michael Grimm introduced a new bill, H.R. 2682, providing for an end user exemption. H.R. 2682 was referred to the Committee on Financial Services. The bill has seven cosponsors. On November 30, 2011, the Committee met in open session and ordered the bill favorably reported to the House by voice vote. The Committee Report was filed on December 23, 2011 (H. Rept. 112-343, Part 1). On March 26, 2012, the House agreed to a motion to suspend the rules and pass, H.R. 2682, as amended, by a record vote of 370 yeas and 24 nays. TO EXEMPT INTER-AFFILIATE SWAPS FROM CERTAIN REGULATORY REQUIREMENTS PUT IN PLACE BY THE DODD-FRANK WALL STREET REFORM AND CONSUMER PROTECTION ACT (H.R. 2779) Summary H.R. 2779, a bill to exempt inter-affiliate swaps from certain regulatory requirements put in place by the Dodd-Frank Act, would exempt inter-affiliate trades from the margin, clearing, and reporting requirements of the Dodd-Frank Act. Inter-affiliate swaps are swaps executed between entities under common corporate ownership. Inter-affiliate swaps allow corporate groups with subsidiaries and affiliates to better manage risk by transferring the risk of its affiliates to a single affiliate and then executing swaps through that affiliate. Inter-affiliate swaps do not pose a systemic risk because they do not create additional counterparty exposures or increase the interconnectedness between parties outside the corporate group. Despite the differences between inter- affiliate swaps and swaps between unrelated parties, the Dodd- Frank Act did not distinguish between such swaps. H.R. 2779 would reduce the costs of hedging for corporate groups by exempting inter-affiliate trades from the margin, clearing and reporting requirements. Legislative History On August 1, 2011, H.R. 2779 was introduced by Representative Steve Stivers and referred to the Committee on Financial Services and the Committee on Agriculture. The bill has four cosponsors. On October 14, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on H.R. 2779 entitled ``Legislative Proposals to Bring Certainty to the Over-the-Counter Derivatives Market.'' The Subcommittee received testimony from the following witnesses: Mr. Keith Bailey, Managing Director, Fixed Income, Currencies and Commodities, Barclays Capital, on behalf of the Institute of International Bankers; Mr. Shawn Bernardo, Senior Managing Director, Tullett Prebon, on behalf of the Wholesale Market Brokers' Association Americas; Ms. Brenda Boultwood, Chief Risk Officer and Senior Vice President, CE Risk Management Division Office, Constellation Energy, on behalf of the Coalition of Derivatives End-Users; Mr. James Cawley, CEO, Javelin Capital Markets LLC; Mr. Kent Mason, Davis & Harman LLP, on behalf of the American Benefits Council and the Committee on the Investment of Employee Benefit Assets; and Mr. Conrad Voldstad, Chief Executive Officer, International Swaps and Derivatives Association. On November 15, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill favorably reported to the Committee by a record vote of 23 yeas, 6 nays and 1 present. On November 30, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a record vote of 53 yeas and 0 nays. The Committee Report was filed on December 23, 2011 (H. Rept. 112-344, Part 1). On March 26, 2012, the House agreed to a motion to suspend the rules and pass H.R. 2779, as amended, by a record vote of 357 yeas and 36 nays. ENTREPRENEUR ACCESS TO CAPITAL ACT (H.R. 2930) Summary H.R. 2930, the Entrepreneur Access to Capital Act, would create a new registration exemption from the Securities Act of 1933 for securities issued through internet platforms, also known as ``crowdfunding.'' To qualify for this new exemption, the issuer's offering cannot exceed $1 million, unless the issuer provides investors with audited financial statements, in which case the offering amount may not exceed $2 million. An individual's investment must be equal to or less than the lesser of $10,000 or 10 percent of the investor's annual income. By exempting such offerings from registration with the SEC and preempting state registration laws, H.R. 2930 will enable entrepreneurs to more easily access capital from potential investors across the United States to grow their business and create jobs. H.R. 2930 would require issuers and intermediaries to fulfill a number of requirements in order to avail themselves of this new exemption. These requirements, which include notices to the SEC about the offerings and parties to the offerings that will be shared with the States, are designed to reduce the risk of fraud in these offerings and thereby protect investors. The legislation also would allow for an unlimited number of investors to invest via a crowdfunding offering and preempts state securities registration laws. However, the legislation does not restrict the States' ability to discover and stop and prosecute fraudulent offerings. Legislative History On September 14, 2011, H.R. 2930 was introduced by Representative Patrick McHenry and referred to the Committee on Financial Services. The bill has five cosponsors. On September 21, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on H.R. 2930 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' The Subcommittee received testimony from the following witnesses: Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Vincent Molinari, Founder and Chief Executive Officer, GATE Technologies LLC; Mr. Barry E. Silbert, Founder and Chief Executive Officer, SecondMarket, Inc.; Mr. Matthew H. Williams, Chairman and President, Gothenburg State Bank, on behalf of the American Bankers Association; Mr. William D. Waddill, Senior Vice President and Chief Financial Officer, OncoMed Pharmaceuticals, Inc., on behalf of the Biotechnology Industry Organization; Mr. A. Heath Abshure, Commissioner, Arkansas Securities Department on behalf of the North American Securities Administrators; and Ms. Dana Mauriello, President, ProFounder. On October 5, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2930 favorably reported to the Committee by a record vote of 18 yeas and 14 nays. On October 26, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on October 31, 2011 (H. Rept. 112-262). On November 3, 2011, the House considered H.R. 2930 and passed the bill, with amendments, by a record vote of 407 yeas and 17 nays. On March 7, 2012, the House adopted H. Res. 572, which provided that H.R. 3606 be amended by the Rules Committee Print 112-17, the Jumpstart Our Business Startups Act, which largely reflects the text of H.R. 3606 and H.R. 2167 as reported by the Committee on Financial Services, H.R. 1070, H.R. 2930, H.R. 2940 as passed the House, and H.R. 4088 as introduced. On March 8, 2012, the House considered H.R. 3606 and passed the bill, with amendments, by a record vote of 390 yeas and 23 nays. On March 22, 2012, the Senate considered H.R. 3606 and passed the bill, with amendments, by a record vote of 73 yeas and 26 nays. On March 27, 2012, the House considered the Senate amendment to H.R. 3606 under suspension of the rules, and agreed to the amendment by a record vote of 380 yeas and 41 nays. On April 5, 2012, H.R. 3606 was signed by the President and became Public Law No. 112-106. ACCESS TO CAPITAL FOR JOB CREATORS ACT (H.R. 2940) Summary H.R. 2940, the Access to Capital for Job Creators Act, would make the exemption under the SEC's Regulation D Rule 506 available to issuers even if the securities are marketed through a general solicitation or advertising so long as the purchasers are ``accredited investors.'' The legislation would allow companies greater access to accredited investors and to new sources of capital to grow and create jobs, without putting less sophisticated investors at risk. To ensure that only accredited investors purchase the securities, H.R. 2940 requires the SEC to write rules on how an issuer would verify that the purchasers of securities are accredited investors. The Securities Act of 1933 requires that any offer to sell securities must either be registered with the SEC or meet an exemption. Regulation D Rule 506 is an exemption that allows companies to raise capital as long as they do not market their securities through general solicitations or advertising. This prohibition on general solicitation and advertising has been interpreted to mean that potential investors must have an existing relationship with the company before they can be notified that unregistered securities are available for purchase. Requiring potential investors to have an existing relationship with the company significantly limits the pool of potential investors and severely hampers the ability of small companies to raise capital and create jobs. Legislative History On September 15, 2011, H.R. 2940 was introduced by Representative Kevin McCarthy and referred to the Committee on Financial Services. The bill has two cosponsors. On September 21, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on H.R. 2940 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' The Subcommittee received testimony from the following witnesses: Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Vincent Molinari, Founder and Chief Executive Officer, GATE Technologies LLC; Mr. Barry E. Silbert, Founder and Chief Executive Officer, SecondMarket, Inc.; Mr. Matthew H. Williams, Chairman and President, Gothenburg State Bank, on behalf of the American Bankers Association; Mr. William D. Waddill, Senior Vice President and Chief Financial Officer, OncoMed Pharmaceuticals, Inc., on behalf of the Biotechnology Industry Organization; Mr. A. Heath Abshure, Commissioner, Arkansas Securities Department on behalf of the North American Securities Administrators; and Ms. Dana Mauriello, President, ProFounder. On October 5, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2940, as amended, favorably reported to the Committee by voice vote. On October 26, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on October 31, 2011 (H. Rept. 112-263). On November 3, 2011, the House considered H.R. 2940 and passed the bill by a record vote of 413 yeas and 11 nays. On March 7, 2012, the House adopted H. Res. 572, which provided that H.R. 3606 be amended by the Rules Committee Print 112-17, the Jumpstart Our Business Startups Act, which largely reflects the text of H.R. 3606 and H.R. 2167 as reported by the Committee on Financial Services, H.R. 1070, H.R. 2930, H.R. 2940 as passed the House, and H.R. 4088 as introduced. On March 8, 2012, the House considered H.R. 3606 and passed the bill, with amendments, by a record vote of 390 yeas and 23 nays. On March 22, 2012, the Senate considered H.R. 3606 and passed the bill, with amendments, by a record vote of 73 yeas and 26 nays. On March 27, 2012, the House considered the Senate amendment to H.R. 3606 under suspension of the rules, and agreed to the amendment by a record vote of 380 yeas and 41 nays. On April 5, 2012, H.R. 3606 was signed by the President and became Public Law No. 112-106. RAOUL WALLENBERG CENTENNIAL CELEBRATION ACT (H.R. 3001) Summary H.R. 3001, the Raoul Wallenberg Centennial Celebration Act, directs the Speaker of the House and President Pro Tempore of the Senate to make arrangements for the presentation, on behalf of Congress, of a gold medal in recognition of the achievements and heroic actions of Raoul Wallenberg during the Holocaust. Legislative History On September 21, 2011, H.R. 3001 was introduced by Representative Gregory Meeks and referred to the Committee on Financial Services. The bill had 301 cosponsors. On April 16, 2012, the House agreed to a motion to suspend the rules and pass H.R. 3001 by a record vote of 377 yeas and 0 nays. TO AMEND THE DODD-FRANK WALL STREET REFORM AND CONSUMER PROTECTION ACT TO ADJUST THE DATE ON WHICH CONSOLIDATED ASSETS ARE DETERMINED FOR PURPOSES OF EXEMPTING CERTAIN INSTRUMENTS OF SMALLER INSTITUTIONS FROM CAPITAL DEDUCTIONS (H.R. 3128) Summary H.R. 3128, a bill to amend the Dodd-Frank Wall Street Reform and Consumer Protection Act to Adjust the Date on which Consolidated Assets are Determined for Purposes of Exempting Certain Instruments of Smaller Institutions from Capital Deductions, would amend the Dodd-Frank Act to add March 31, 2010, as a date for calculation of total consolidated assets, for purposes of exempting certain debt or equity instruments of smaller financial institutions from capital deduction requirements. Legislative History On October 6, 2011, H.R. 3128 was introduced by Representative Michael Grimm and was referred to the Committee on Financial Services. The bill has eight cosponsors. On May 18, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a hearing that discussed H.R. 3128, entitled ``The Impact of the Dodd-Frank Act: Understanding Heightened Regulatory Capital Requirements.'' The Subcommittee received testimony from Mr. Daniel McCardell, Senior Vice President and Head of Regulatory Affairs, The Clearing House, and Mr. Richard Wald, Chief Regulatory Officer, Emigrant Bank. On May 31, 2012, the Committee met in open session and ordered H.R. 3128 favorably reported to the House by a vote of 35 yeas and 15 nays. SWAP JURISDICTION CERTAINTY ACT (H.R. 3283) Summary H.R. 3283, the Swap Jurisdiction Certainty Act, would clarify Congress's intent in limiting the extraterritorial application of Title VII of the Dodd-Frank Act. H.R. 3283 would make clear that (1) Title VII's capital requirements do not apply to non-U.S. swap dealers as long as the non-U.S. swap dealer's home country is a signatory to the Basel Capital Accords; (2) swap transactions between swap dealers and their affiliates are subject only to Title VII's reporting requirements; and (3) swap transactions between non-U.S. swap dealers and non-U.S. persons are outside the scope of Title VII's transaction-level requirements. H.R. 3283 would also strengthen the anti-evasion authority of the SEC and preserves the prudential regulators' non-Title VII authority over security-based swap dealers. Legislative History On October 31, 2011, H.R. 3283 was introduced by Representative James Himes and referred to the Committee on Financial Services. The bill has 15 cosponsors. On February 8, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on H.R. 3283 entitled ``Limiting the Extraterritorial Impact of Title VII of the Dodd-Frank Act.'' The Subcommittee received testimony from the following witnesses: Mr. Chris Allen, Managing Director, Barclays Capital; Dr. Chris Brummer, Professor of Law, Georgetown University; Mr. Don Thompson, Managing Director and Associate General Counsel, JPMorgan Chase & Co.; and Mr. Luke Zubrod, Director, Chatham Financial. On March 27, 2012, the Committee met in open session and ordered H.R. 3283, as amended, favorably reported to the House by a record vote of 41 yeas and 18 nays. The Committee Report was filed on May 11, 2012 (H. Rept. 112-477, Part 1). FALLEN HEROES OF 9/11 ACT (H.R. 3421) Summary H.R. 3421, the Fallen Heroes of 9/11 Act, would authorize the design and striking of three copies of a Congressional Gold Medal ``of appropriate design in honor of the men and women who perished as a result of the terrorist attacks on the United States on September 11, 2001.'' One medal each will go to be displayed at the three attack sites: the National September 11 Memorial and Museum in New York City; the Pentagon Memorial at the Pentagon; and the Flight 93 National Memorial in Pennsylvania. The medals would be awarded on behalf of Congress by the Speaker and the President pro tempore of the Senate, and after the award ceremony, bronze duplicates of the medal would be available for purchase. Legislative History On November 14, 2011, H.R. 3421 was introduced by Representative Bill Shuster and referred to the Committee on Financial Services. The bill has 332 cosponsors. On December 14, 2011, the House considered H.R. 3421 under suspension of the rules and passed the bill by a record vote of 416 yeas and 0 nays. On December 15, 2011, the Senate considered H.R. 3421 and passed the bill by Unanimous Consent. On December 23, 2011, H.R. 3421 was signed by the President and became Public Law No. 112-076. TO AMEND THE ABRAHAM LINCOLN COMMEMORATIVE COIN ACT TO ADJUST HOW SURCHARGES ARE DISTRIBUTED (H.R. 3512) Summary H.R. 3512, a bill to amend the Abraham Lincoln Commemorative Coin Act to adjust how surcharges are distributed, revises Section 7 of the Abraham Lincoln Commemorative Coin Act to allow distribution of the surcharges collected on the sales of the coin, which was available for purchase from the U.S. Mint in 2009. The coin was issued to commemorate the bicentennial of President Lincoln's birth, during that bicentennial year. The specified recipient of the surcharges was the Abraham Lincoln Bicentennial Commission. Following the bicentennial, the Commission was changed to a foundation to continue education about President Lincoln over the longer term, necessitating the change in the name of the recipient organization. Additionally, Title 31, Section 5134(f) of the United States Code allows the recipient no more than two years from the end of the coin program--in this case, until the end of 2011--to demonstrate to the satisfaction of the Secretary of the Treasury that it has raised private funds equal to or greater than the surcharge funds, before disbursement can take place. The Foundation raised about $2 million in private funds, and thus would not by itself be able to collect the surcharges even with a name change, so the bill divides the remaining surcharges equally between the Abraham Lincoln Presidential Library and Museum, Ford's Theatre, and President Lincoln's Cottage on the grounds of the Soldier's Home in Washington, D.C., all of which are associated with the President and were sites of bicentennial events. These three organizations will each be responsible for demonstrating it has raised private matching funds equal to or greater than the amount it would receive, before funds can be disbursed. The Lincoln coin program, like all other commemorative coin programs, operated at no cost to the taxpayer and the surcharges were collected only from those who purchased the coin. Legislative History On November 29, 2011, H.R. 3512 was introduced by Representative Jerrold Nadler and was referred to the Committee on Financial Services. The bill has no cosponsors. On November 30, 2011, the Committee met in open session and ordered the bill favorably reported to the House by voice vote. REOPENING AMERICAN CAPITAL MARKETS TO EMERGING GROWTH COMPANIES ACT OF 2011 (H.R. 3606) Summary H.R. 3606, the Reopening American Capital Markets to Emerging Growth Companies Act of 2011, was introduced to promote American job creation and further economic growth by making it easier for more companies to access capital markets through the creation of a new category of issuer known as an ``Emerging Growth Company'' (EGC). An EGC will lose its status at the end of five years, or earlier if it reaches $1 billion in annual gross revenue or becomes a ``large accelerated filer,'' which is a company with over $700 million in public float. The law adapts the SEC's scaled regulations for smaller companies by more slowly phasing in regulations that impose high costs on issuers, without compromising core investor protections or disclosures. Legislative History H.R. 3606 was introduced by Representative Stephen Fincher on December 8, 2011, and referred to the Committee on Financial Services. The bill has 53 cosponsors. On December 15, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on H.R. 3606 entitled ``H.R. 3606, the Reopening American Capital Markets to Emerging Growth Companies Act of 2011.'' The Subcommittee received testimony from the following witnesses: Mr. Joseph Brantuk, Head, U.S. New Listings and IPOs & Vice President, NASDAQ OMX; Mr. Steven R. LeBlanc, Senior Managing Director of Private Markets, Teacher Retirement System of Texas; Ms. Kate Mitchell, Chair, Initial Public Offering Task Force, Former President of the National Venture Capital Association and Managing Director & Co-Founder, Scale Venture Partners; and Mr. Mike Selfridge, Head of Regional Banking, Silicon Valley Bank. On February 16, 2012, the Committee met in open session and ordered H.R. 3606, as amended, favorably reported to the House by a record vote of 54 yeas and 1 nay. The Committee report was filed on March 1, 2012 (H. Rept. 112-406) and Part 2 was filed on March 6, 2012 (H. Rept. 112-406, Part 2). On March 7, 2012, the House adopted H. Res. 572, which provided that H.R. 3606 be amended by the Rules Committee Print 112-17, the Jumpstart Our Business Startups Act, which largely reflects the text of H.R. 3606 and H.R. 2167 as reported by the Committee on Financial Services, H.R. 1070, H.R. 2930, H.R. 2940 as passed the House, and H.R. 4088 as introduced. On March 8, 2012, the House considered H.R. 3606 and passed the bill, with amendments, by a record vote of 390 yeas and 23 nays. On March 22, 2012, the Senate considered H.R. 3606 and passed the bill, with amendments, by a record vote of 73 yeas and 26 nays. On March 27, 2012, the House agreed to a motion to suspend the rules and pass H.R. 3606 with the Senate amendment to H.R. 3606 by a record vote of 380 yeas and 41 nays. On April 5, 2012, H.R. 3606 was signed by the President and became Public Law No. 112-106. TO AMEND THE FEDERAL DEPOSIT INSURANCE ACT WITH RESPECT TO INFORMATION PROVIDED TO THE BUREAU OF CONSUMER FINANCIAL PROTECTION (H.R. 4014) Summary H.R. 4014, a bill to amend the Federal Deposit Insurance Act with Respect to Information Provided to the Bureau of Consumer Financial Protection, would amend the Federal Deposit Insurance Act to make explicit that the production of privileged materials to the CFPB does not waive privilege as to third parties in order to provide certainty that the production of information compelled by the CFPB will not waive either the attorney-client privilege or work-product immunity. H.R. 4014 would amend the Federal Deposit Insurance Act to make the CFPB a ``covered agency'' that may share information with another covered agency or any other federal agency without waiving any privilege applicable to the information. The bill would prohibit the submission of information to the CFPB in the course of its supervisory or regulatory process from being construed as waiving, destroying, or affecting any privilege that may be claimed with respect to such information under federal or state law as to any person or entity other than the CFPB, another federal banking agency, a state bank supervisor, or a foreign banking authority. Legislative History On February 13, 2012, H.R. 4014 was introduced by Representative Bill Huizenga and was referred to the Committee on Financial Services. The bill has four cosponsors. On February 8, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing entitled ``Legislative Proposals to Promote Accountability and Transparency at the Consumer Financial Protection Bureau,'' which examined H.R. 3871, a bill to provide certainty to financial institutions that a production of information compelled by the CFPB would not waive attorney-client privilege or work-product immunity. The Subcommittee received testimony from the following witnesses: Mr. Michael G. Hunter, Chief Operating Officer, American Bankers Association; Mr. Andrew J. Pincus, Partner, Mayer Brown LLP on behalf of the U.S. Chamber of Commerce; Mr. Chris Stinebert, President and CEO, American Financial Services Association; and Prof. Arthur E. Wilmarth, Jr., Professor of Law, Executive Director, Center for Law, Economics & Finance, George Washington University Law School. On February 16, 2012, the Committee met in open session and ordered H.R. 4014 favorably reported to the House by voice vote. The Committee report was filed on March 20, 2012 (H. Rept. 112-417). On March 26, 2012, the House agreed to a motion to suspend the rules and pass H.R. 4014 by voice vote. TO PROVIDE FOR THE AWARD OF A GOLD MEDAL ON BEHALF OF CONGRESS TO JACK NICKLAUS IN RECOGNITION OF HIS SERVICE TO THE NATION IN PROMOTING EXCELLENCE AND GOOD SPORTSMANSHIP IN GOLF (H.R. 4040) Summary H.R. 4040, a bill to provide for the award of a gold medal on behalf of Congress to Jack Nicklaus in recognition of his service to the Nation in promoting excellence and good sportsmanship in golf, would direct the Speaker of the House and President Pro Tempore of the Senate to make arrangements for the presentation, on behalf of Congress, of a gold medal to Jack Nicklaus in recognition of his service to the Nation in promoting excellence and good sportsmanship. Legislative History On February 15, 2012, H.R. 4040 was introduced by Representative Joe Baca and referred to the Committee on Financial Services. The bill had 341 cosponsors. On April 16, 2012, the House agreed to a motion to suspend the rules and pass H.R. 4040 by a record vote of 373 yeas, 4 nays and 1 present. SWAP DATA REPOSITORY AND CLEARINGHOUSE INDEMNIFICATION CORRECTION ACT OF 2012 (H.R. 4235) Summary H.R. 4235, the Swap Data Repository and Clearinghouse Indemnification Correction Act of 2012, would repeal the indemnification provisions in Sections 725, 728, and 763 of the Dodd-Frank Act to increase market transparency, facilitate global regulatory cooperation, and ensure that U.S. regulators have access to swaps data from foreign data repositories, derivatives clearing organizations, and regulators. Legislative History On March 21, 2012, H.R. 4235 was introduced by Representative Robert Dold and referred to the Committee on Financial Services. The bill has 10 cosponsors. On March 21, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on a draft version of the bill entitled ``H.R. ___, the Swap Data Repository and Clearinghouse Indemnification Correction Act of 2012.'' The Subcommittee received testimony from the following witnesses: Mr. Ethiopis Tafara, Director, Office of International Affairs, SEC; Mr. Daniel Berkovitz, General Counsel, CFTC; and Mr. Donald Donahue, Chief Executive Officer, Depository Trust & Clearing Corporation. On March 27, 2012, the Committee met in open session and ordered H.R. 4235, as amended, favorably reported to the House by voice vote. The Committee Report was filed on May 9, 2012 (H. Rept. 112-471, Part 1). FHA EMERGENCY FISCAL SOLVENCY ACT OF 2012 (H.R. 4264) Summary H.R. 4264, the FHA Emergency Fiscal Solvency Act of 2012, would assist the FHA to shore up the Mutual Mortgage Insurance Fund (MMIF), establish minimum annual premiums for mortgage insurance, require lenders that committed fraud to pay the FHA back for mortgage-insurance losses, bar unscrupulous lenders from participating in FHA's mortgage insurance programs, and direct the FHA to implement internal fiscal oversight. In 2011, the Financial Services Committee held three hearings on the FHA that focused on its fiscal condition. By statute, the FHA is required to maintain a capital reserve ratio of 2%. In 2009, the FHA's capital reserve ratio had fallen to .53%, and in 2010 to .50%. In the FY 2011 independent actuarial review of the FHA, the FHA's required capital reserve ratio had fallen to .24%, far below the statutorily mandated reserve ratio of 2%. The FHA's deteriorating financial condition has raised concerns that the FHA may soon become insolvent and expose taxpayers to further risk of loss, just as Fannie Mae and Freddie Mac did before they were placed in conservatorship. The FY 2011 independent actuarial review also found that the economic value of the MMIF had declined more than 77 percent from the end of fiscal year 2010, from $5.16 billion to $1.19 billion. If home prices continue to fall, the MMIF's economic value could fall below zero, which in turn may prompt the HUD to draw down funds from Treasury under Treasury's ``permanent and indefinite'' appropriations authority to support the FHA fund, further exposing taxpayers to the risk of loss. Legislative History On March 27, 2012, H.R. 4264 was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert and referred to the Committee on Financial Services. The bill has no cosponsors. On May 25, 2011, the Subcommittee on Insurance, Housing and Community Development held a hearing entitled ``Legislative Proposals to Determine the Future Role of FHA, RHS and GNMA in the Single-and Multi-Family Mortgage Markets.'' The hearing focused on the FHA's and the Rural Housing Service's single- and multi-family programs and examined legislative proposals to improve the financial condition of the FHA, the RHS and Ginnie Mae and to better protect taxpayers against losses from fraudulent or poorly-underwritten loans. The Subcommittee received testimony from the following witnesses: Ms. Katherine M. Alitz, President, Council for Affordable and Rural Housing; Mr. Michael D. Berman, Chairman, Mortgage Bankers Association; Mr. Mark A. Calabria, Director of Financial Regulation Studies, Cato Institute, Washington, DC; Mr. Peter Carey, Director of Self-Help Housing Enterprises, Inc.; Mr. Brian Chappelle, Partner, Potomac Partners; Mr. Peter W. Evans, Partner, Moran and Company; Mr. Basil Petrou, Managing Partner, Federal Financial Analytics, Inc.; Mr. Ron Phipps, President, Phipps Realty; and Mr. Barry Rutenberg, First Vice Chairman, National Association of Home Builders. On September 8, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Legislative Proposals to Determine the Future Role of FHA, RHS and GNMA in the Single-and Multi-Family Mortgage Markets, Part 2.'' This hearing examined the FHA's and the RHS's single- and multi-family programs. The hearing also examined legislative proposals to improve the financial condition of the FHA, the RHS, and Ginnie Mae and to better protect taxpayers against losses from fraudulent or poorly-underwritten loans. The Subcommittee received testimony from the following witnesses: The Honorable Johnny Isakson (R-GA), United States Senate; Mrs. Carol Galante, Acting FHA Commissioner and Assistant Secretary for Housing, Department of HUD; Ms. Cheryl Cook, Deputy Under Secretary for Rural Development, Department of Agriculture; and The Honorable Theodore ``Ted'' Tozer, President, Government National Mortgage Association. On February 7, 2012, the Subcommittee on Insurance, Housing and Community Opportunity met in open session and ordered H.R. 4264, as amended, favorably reported to the Committee by voice vote. On March 27, 2012, the Committee met in open session and H.R. 4264, as amended, favorably reported to the House by voice vote. NATIONAL FLOOD INSURANCE PROGRAM EXTENSION ACT OF 2012 (H.R. 5740) Summary H.R. 5740, the National Flood Insurance Program Extension Act of 2012, would reauthorize the National Flood Insurance Program (NFIP) through June 30, 2012, and amend the National Flood Insurance Act to ensure the immediate and near-term fiscal and administrative health of the NFIP. The bill would also ensure the NFIP's continued viability by encouraging broader participation in the program, increasing financial accountability, eliminating unnecessary rate subsidies, and updating the program to meet the needs of the 21st century. The key provisions of H.R. 5740 include: (1) a 30-day extension of the NFIP; (2) a three-year delay in the mandatory purchase requirement for certain properties in newly designated Special Flood Hazard Areas (SFHAs); (3) a phase-in of full-risk, actuarial rates for areas newly designated as Special Flood Hazard; (4) a reinstatement of the Technical Mapping Advisory Council; and (5) an emphasis on greater private sector participation in providing flood insurance coverage. Legislative History On May 15, 2012, H.R. 5740 was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert and referred to the Committee on Financial Services. The bill has one cosponsor. On May 17, 2012, the House agreed to a motion to suspend the rules and pass H.R. 5740, as amended, by a record vote of 402 yeas and 18 nays. SEC MODERNIZATION ACT Summary The SEC Modernization Act of 2011 would modernize the SEC by (1) consolidating duplicative offices; (2) promoting coordination amongst employees; (3) making managerial and ethics reforms; and (4) ensuring that the inspector general and ombudsman are truly independent. After the Dodd-Frank Act is fully implemented, the SEC Chairman will have twenty-four direct reports, making it even more difficult for the Chairman to effectively manage the agency. The SEC Modernization Act would enable the SEC to better accomplish its mission of protecting investors, maintaining fair, orderly, and efficient markets, and facilitating capital formation by incorporating recommendations from the Boston Consulting Group's report issued pursuant to Section 967 of the Dodd-Frank Act as well as recommendations by GAO and the SEC's Inspector General. Legislative History On September 15, 2011, the Committee held a legislative hearing on the discussion draft of the SEC Modernization Act of 2011 entitled ``Fixing the Watchdog: Legislative Proposals to Improve and Enhance the Securities and Exchange Commission.'' The Committee received testimony from the following witnesses: The Honorable Mary Schapiro, Chairman, U.S. SEC; Mr. Shubh Saumya, Partner and Managing Director, Boston Consulting Group; The Honorable Paul Atkins, Visiting Scholar, American Enterprise Institute, and Former Commissioner, SEC; Mr. Stephen D. Crimmins, Partner, K&L Gates LLP, and Former Deputy Chief Litigation Counsel, Division of Enforcement, SEC; Mr. Jonathan G. ``Jack'' Katz, Former Secretary, SEC, on behalf of the U.S. Chamber of Commerce; The Honorable Harvey Pitt, Chief Executive Officer, Kalorama Partners, LLC, and Former Chairman, SEC; and Mr. J.W. Verret, Assistant Professor of Law, George Mason University School of Law. COMMITTEE PRINT OF BUDGET RECONCILIATION LEGISLATIVE RECOMMENDATIONS OF THE COMMITTEE ON FINANCIAL SERVICES Summary The Committee Print contained four recommendations to meet the deficit reduction targets specified in the Fiscal Year 2013 concurrent budget resolution (H. Con. Res. 112), as passed by the House on March 29, 2012 by a vote of 228 yeas to 191 nays. The budget resolution instructed six House committees-- Agriculture, Energy and Commerce, Financial Services, Judiciary, Oversight and Government Reform, and Ways and Means--to find $261 billion in savings over 10 years and to submit legislative recommendations that achieve these savings to the Budget Committee by April 27, 2012. The Committee submitted legislative recommendations that would reduce the deficit by $3 billion for fiscal years 2012 and 2013, $16.7 billion for fiscal years 2012 through 2017, and $29.8 billion for fiscal years 2012 through 2022. Specifically, the recommendation to reauthorize the NFIP would achieve a savings of $880 million for fiscal years 2012-17 and $4.9 billion for fiscal years 2012-22. The recommendation to terminate the HAMP would achieve a savings of $617 million for fiscal years 2012- 2012, $2.624 billion for fiscal years 2012-2017, and $2.839 billion for fiscal years 2012-22. The recommendation to repeal the Dodd-Frank Act's Orderly Liquidation Authority would achieve a savings of $3.418 billion for fiscal years 2012-13, $13.695 billion for fiscal years 2012-17, and $22.620 billion for fiscal years 2012-22. Lastly, the recommendation to direct funding for the Consumer Financial Protection Bureau would achieve a savings of $381 million for fiscal years 2012-13, $2.435 billion for fiscal years 2012-17, and $5.387 billion for fiscal years 2012-22. The Committee fulfilled the instructions by reporting these four legislative recommendations to the Committee on the Budget by April 27, 2012, as set forth in H. Con. Res. 112. Legislative History On April 27, 2012, the Committee met in open session and ordered the recommendations, as amended, transmitted to the Committee on the Budget by a record vote of 31 yeas and 26 nays. On May 9, 2012, Chairman Paul Ryan of the Committee on the Budget introduced H.R. 5652, a bill to provide for reconciliation pursuant to section 201 of the concurrent resolution on the budget for fiscal year 2013. H.R. 5652 contained the recommendations submitted by the Committee. On May 10, 2012, the House considered and passed H.R. 5652 by a record vote of 218 yeas, 199 nays and 1 present. Full Committee Oversight Activities ECONOMIC RECOVERY On January 26, 2011, the Committee held a hearing entitled ``Promoting Economic Recovery and Job Creation: The Road Forward.'' The purpose of this hearing was to provide leading economists, academics, business owners and citizens an opportunity to share their views about the barriers to economic growth, and to discuss macroeconomic issues and trends facing the country and affecting job creation. Witnesses discussed the effectiveness of the Federal Reserve's ``quantitative easing'' policy; the impact of regulatory uncertainty on job growth; and the consequences of federal housing policy on the economy. Witnesses also shared their views on the effect the national debt and budget deficit will have on the long-term health of the economy. The witnesses for this hearing included: Dr. William Poole of the University of Delaware; Professor John B. Taylor of Stanford University; Dr. Donald Kohn of the Brookings Institute; Professor Hal S. Scott of Harvard Law School; Mr. Eric Hoffman of Hoffman Media, LLC; Mr. Charles Maddy, III of Summit Financial Group; Mr. Andrew Bursky of Atlas Holdings, LLC; and Mr. Ken Brody of Taconic Capitol. DERIVATIVES On February 15, 2011, the Committee held a hearing entitled ``Assessing the Regulatory, Economic and Market Implications of the Dodd-Frank Derivatives Title.'' This hearing reviewed Title VII of the Dodd-Frank Act from the perspectives of both the federal regulators and market participants. Among the issues discussed were implementation timeline concerns, proposed rulemakings, and the impact on various market participants, including non-financial companies that use derivatives contracts to hedge against legitimate business risks. The Committee received testimony from the following witnesses: The Honorable Mary Schapiro, Chairman, SEC; The Honorable Gary Gensler, Chairman, CFTC; The Honorable Daniel K. Tarullo, Member, Federal Reserve Board of Governors; Craig Reiners, Director of Commodity Risk Management, MillerCoors, on behalf of the Coalition for Derivatives End-Users; Donald F. Donahue, Chairman & Chief Executive Officer, DTCC; Terry Duffy, Executive Chairman, the CME Group; Don Thompson, Managing Director and Associate General Counsel, JPMorgan, on behalf of SIFMA; Jamie Cawley, Chief Executive Officer, Javelin, on behalf of SDMA; and Christopher Giancarlo, Executive Vice President, Corporate development, the GFI Group Inc. THE FINAL REPORT OF THE FINANCIAL CRISIS INQUIRY COMMISSION On February 16, 2011, the Committee held a hearing entitled ``The Final Report of the Financial Crisis Inquiry Commission.'' This hearing was held pursuant to Section 5 of the ``Fraud Enforcement and Recovery Act of 2009'' (Public Law 111-21), which required the Committee to hold a hearing on the contents of the final report of the Financial Crisis Inquiry Commission (FCIC) within 120 days of its issuance. The FCIC was created by Congress in 2009 ``to examine the causes, domestic and global, of the current financial and economic crisis in the United States.'' The Commission issued its final report on January 27, 2011, accompanied by dissenting views filed by individual Commissioners. The hearing focused on the findings of the Commission's final report and the commissioners' assessments of the efficacy of the reforms contained in the Dodd-Frank Act. In addition, the hearing examined the reasons for the Commission's inability to reach consensus in its findings with regard to the causes of the financial crisis. The Committee received testimony from the following witnesses: The Honorable Phil Angelides, Chairman of the FCIC; The Honorable Bill Thomas, Vice Chairman of the FCIC; and four other FCIC members: Dr. Douglas Holtz-Eakin, The Honorable Brooksley Born, Mr. Peter Wallison, and Mr. Byron Georgiou. OVERSIGHT OF THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT On March 1, 2011, the Committee held a hearing entitled ``Oversight of the Department of Housing and Urban Development (HUD).'' The hearing focused on the proposed budget for HUD for fiscal year 2012. HUD Secretary Shaun Donovan was the only witness. Secretary Donovan's testimony outlined the Administration's proposal to increase HUD's budget by $747 million (1.6 percent) over fiscal year 2010, to a total of $47.8 billion for fiscal year 2012. As noted by the Committee, if adopted, the Administration's fiscal year 2012 budget request for HUD would result in a funding increase for HUD of $6.3 billion (15 percent) since President Obama took office. MORTGAGE REFORM On March 1, 2011, the Committee held a hearing entitled ``Mortgage Finance Reform: An Examination of the Obama Administration's Report to Congress.'' The Secretary of the Treasury, Timothy Geithner, was the only witness. Secretary Geithner presented the Administration's views on the future of America's housing finance system, including options for reforming the GSEs and reducing government support of the mortgage market. OVERSIGHT AND RESTRUCTURING OF THE SECURITIES AND EXCHANGE COMMISSION On September 15, 2011, the Committee held a hearing entitled ``Fixing the Watchdog: Legislative Proposals to Improve and Enhance the Securities and Exchange Commission.'' The hearing examined the recommendations set forth in the report of the Boston Consulting Group (BCG) on needed reforms at the SEC, which report was mandated by Section 967 of the Dodd-Frank Act, and examined two legislative proposals. The first proposal was a discussion draft entitled the ``SEC Modernization Act,'' which would reshape the SEC's managerial and operational structure; amend provisions of the Dodd-Frank Act regarding the creation of new SEC offices; and limit the use of the SEC Reserve Fund created in Section 991 of the Dodd- Frank Act to only technology investments. The second proposal was H.R. 2308, the ``SEC Regulatory Accountability Act,'' which would amend the Securities Exchange Act of 1934 to require the SEC, before promulgating a regulation or issuing any order, to: (1) identify the nature and significance of the problem that the proposed regulation is designed to address in order to assess whether any new regulation is warranted; (2) use the Office of the Chief Economist to assess the costs and benefits of the intended regulation and adopt it only on a determination that its benefits justify the costs; and (3) ensure that any regulation is accessible, consistent, written in plain language, and easy to understand. The Committee received testimony from the following witnesses: The Honorable Mary Schapiro, Chairman, SEC; Mr. Shubh Saumya, Partner and Managing Director, Boston Consulting Group; The Honorable Paul Atkins, Visiting Scholar, American Enterprise Institute, and Former Commissioner, SEC; Mr. Stephen D. Crimmins, Partner, K&L Gates LLP, and Former Deputy Chief Litigation Counsel, Division of Enforcement, SEC; Mr. Jonathan G. ``Jack'' Katz, Former Secretary, SEC, on behalf of the U.S. Chamber of Commerce; The Honorable Harvey Pitt, Chief Executive Officer, Kalorama Partners, LLC, and Former Chairman, SEC; and Mr. J.W. Verret, Assistant Professor of Law, George Mason University School of Law. THE DODD-FRANK WALL STREET REFORM AND CONSUMER PROTECTION ACT On June 16, 2011, the Committee held a hearing entitled ``Financial Regulatory Reform: The International Context.'' During this hearing, the Committee examined the international implications of the Dodd-Frank Act for the United States financial services industry and the United Stated economy. Specifically, the Committee considered four aspects of United States regulation that may affect the ability of United States financial institutions to compete against their foreign counterparts and impede economic recovery in the United States: capital and liquidity requirements, regulation and oversight of ``systemically significant financial institutions,'' derivatives regulation, and the regulation of proprietary trading. The Committee received testimony from the following witnesses: The Honorable Sheila C. Bair, Chairman of the FDIC; The Honorable Lael Brainard, Under Secretary of the Treasury for International Affairs; The Honorable Gary Gensler, Chairman of the CFTC; The Honorable Mary Schapiro, Chairman of the SEC; The Honorable Daniel K. Tarullo, Governor, Board of Governors of the Federal Reserve System; Mr. John Walsh, Acting Comptroller of the Currency, OCC; Mr. Stephen O'Connor, Managing Director, Morgan Stanley, and Chairman, International Swaps and Derivatives Association, on behalf of the International Swaps & Derivatives Association; Mr. Timothy Ryan, President & CEO of the Securities Industry and Financial Markets Association; Professor Hal S. Scott, Nomura Professor and Director of the Program on International Financial Systems, Harvard Law School; Mr. Barry L. Zubrow, Executive Vice President and Chief Risk Officer, JPMorgan Chase & Co.; and Mr. Damon A. Silvers, Associate General Counsel, American Federation of Labor and Congress of Industrial Organizations. HOUSING AND URBAN DEVELOPMENT, RURAL HOUSING SERVICE, NATIONAL REINVESTMENT CORPORATION On June 3, 2011, the Committee held a hearing entitled ``Oversight of HUD's HOME Program.'' This was the first in a series of hearings on allegations of waste, fraud, and abuse within the HOME program. At this hearing, the Committee examined HUD's policies and procedures for monitoring the performance of the HOME program. HUD's Office of Inspector General performed internal audits of HUD's management of the HOME program in September 2009 and November 2010 which documented problems in HUD's ability to track HOME funds and activities. The Committee received testimony from the following witnesses: the Honorable Mercedes Marquez, HUD Assistant Secretary for Community Planning and Development; and Mr. James Heist, HUD Assistant Inspector General for Audit. On December 1, 2011, the Committee held a hearing entitled ``Perspectives on the Health of the FHA Single-family Insurance Fund.'' The hearing examined the financial status of the FHA and the actuarial review of the FHA's MMIF for Fiscal Year 2011, released by HUD on November 15, 2011. The Committee received testimony from the following witnesses: The Honorable Shaun Donovan, Secretary, Department of HUD; Mr. Mathew Scire, Director, Financial Markets and Community Investment, GAO; Dr. Andrew Caplin, Professor of Economics, Department of Economics, New York University; Mr. Henry V. Cunningham, Jr., CMB, President, Cunningham and Company, on behalf of the Mortgage Bankers Association; Mr. Patrick Sinks, President and Chief Operating Officer, Mortgage Guaranty Insurance Corporation, on behalf of the Mortgage Insurance Companies of America; Mr. Moe Veissi, President, National Association of Realtors; and Ms. Sarah Rosen Wartell, Executive Vice President, Center for American Progress. LAW ENFORCEMENT EFFORTS TO SECURE PRIVATE FINANCIAL INFORMATION On June 29, 2011, the Committee held a field hearing in Hoover, Alabama, entitled ``Hacked Off: Helping Law Enforcement Protect Private Financial Information.'' The purpose of the hearing was to examine threats computer hackers pose to individuals, businesses, financial institutions and government agencies; the methods that hackers employ to breach information technology systems; and the efforts of law enforcement to foil or arrest hackers. The Committee also examined the work of the National Computer Forensics Institute (NCFI), where state and local law enforcement officers, prosecutors and judges are trained in ways to detect, prosecute and try cases involving computer-based evidence. The Committee received testimony from the following witnesses: Mr. A. T. Smith, Assistant Director, United States Secret Service; Mr. Randall I. Hillman, Executive Director, Alabama District Attorneys Association; Mr. Gary Warner, Director of Research, Computer Forensics, University of Alabama Birmingham; and Mr. Douglas ``Clay'' Hammac, Investigator, Shelby County Sheriff's Office, Columbiana, Alabama. MONETARY POLICY AND THE STATE OF THE ECONOMY On March 2, 2011, the Committee held a hearing entitled ``Monetary Policy and the State of the Economy,'' to receive the Federal Reserve Board's semi-annual report on monetary policy and the state of the economy. The Honorable Ben S. Bernanke, Chairman of the Federal Reserve Board, was the sole witness. On July 13, 2011, the Committee held a hearing entitled ``Monetary Policy and the State of the Economy.'' The purpose of this hearing was to receive the semi-annual report to Congress on monetary policy and the state of the economy, delivered by Federal Reserve Chairman Ben S. Bernanke, who was the only witness. On February 29, 2012, the Committee held a hearing entitled ``Monetary Policy and the State of the Economy.'' The purpose of this hearing was for Federal Reserve Board Chairman Ben Bernanke to deliver the Federal Reserve Board's semi-annual report to Congress on monetary policy and the state of the economy. FINANCIAL STABILITY OVERSIGHT COUNCIL On October 6, 2011, the Committee held a hearing entitled ``The Annual Report of the Financial Stability Oversight Council.'' At this hearing, the Committee received the FSOC's Annual Report and the Secretary of the Treasury's testimony on the report. The hearing focused on the FSOC's efforts to implement regulatory reforms and identify emerging threats to the nation's financial stability. The Honorable Timothy Geithner, Secretary of the Treasury, was the sole witness. REGULATORY BURDEN REDUCTION On December 5, 2011, the Committee on Financial Services held a field hearing in Chicago, Illinois, entitled ``Regulatory Reform: Examining How New Regulations are Impacting Financial Institutions, Small Businesses and Consumers in Illinois,'' to hear from representatives of Illinois-based financial institutions and businesses about the effect of new financial regulations on the ability of financial institutions to extend credit and stimulate job growth, while staying economically viable. The hearing also examined the effect of federal bank examination policies and procedures-- examinations that some financial institutions contend may be overzealous--on economic recovery. The subcommittee received testimony from the following witnesses: Mr. Greg Ohlendorf, President and CEO, First Community Bank and Trust on behalf of the Independent Community Bankers of America; Mr. William Bates, Jr., Executive Vice President and General Counsel, Seaway Bank and Trust Company on behalf of the National Bankers Association; Mr. James Roolf, Chairman, Illinois Bankers Association; Mr. James Renn, President and CEO, Lisle Savings Bank on behalf of the Illinois League of Financial Institutions; Mr. John Schmitt, President and CEO, Naperville Area Chamber of Commerce; Ms. Dory Rand, President, Woodstock Institute; and Mr. Bob Palmer, Policy Director, Housing Action Illinois. ANNUAL REPORT AND TESTIMONY BY THE SECRETARY OF THE TREASURY ON INTERNATIONAL MONETARY FUND REFORM AND THE STATE OF THE INTERNATIONAL FINANCIAL SYSTEM On March 20, 2012, the Committee held a hearing entitled ``Hearing to Receive the Annual Testimony of the Secretary of the Treasury on the State of the International Financial System,'' to receive Secretary of the Treasury Timothy Geithner's testimony on the international financial system and the International Monetary Fund. This hearing is statutorily required under 22 U.S.C. 262r-4. In his testimony, Secretary Geithner described the Eurozone crisis, the efforts made by European governments to resolve the crisis, the involvement of the International Monetary Fund (IMF) in the Eurozone crisis, and the role of the United States in resolving the crisis, both bilaterally and through the IMF. CONSUMER FINANCIAL PROTECTION BUREAU On March 29, 2012, the Committee held a hearing entitled ``The Semi-Annual Report of the Consumer Financial Protection Bureau.'' This hearing was held pursuant to Section 1016 of the Dodd-Frank Act, which requires the CFPB to prepare semi-annual reports describing its activities during the previous six months, and requires the CFPB's Director to testify before the Financial Services Committee to report its findings. The hearing focused on the CFPB's activities since it assumed rulemaking, supervisory, and examination authority over consumer financial products and services. The hearing also examined the rules, orders, and other initiatives the CFPB has planned for the next six months, most of which implement provisions of the Dodd-Frank Act aimed at the mortgage market. The Honorable Richard Cordray, Director, CFPB, was the sole witness. U.S. FINANCIAL REGULATORS' SETTLEMENT PRACTICES On May 17, 2012, the Committee held a hearing entitled ``Examining the Settlement Practices of U.S. Financial Regulators.'' This hearing examined the financial regulators' settlement policies and procedures, including their practice of entering into settlement agreements that do not require the subjects of the actions to admit wrongdoing. The Committee received testimony from the following witnesses: Mr. Scott G. Alvarez, General Counsel, Board of Governors of the Federal Reserve System; Mr. Robert Khuzami, Director, Division of Enforcement, SEC; Mr. Richard J. Osterman, Jr., Deputy General Counsel, Litigation and Resolutions Branch, FDIC; Mr. Daniel P. Stipano, Deputy Chief Counsel, OCC; The Honorable William F. Galvin, Secretary of the Commonwealth of Massachusetts; Mr. Richard W. Painter, Professor of Law, University of Minnesota Law School; and Mr. Kenneth Rosen, Professor of Law, University of Alabama School of Law. Full Committee Hearings Held ------------------------------------------------------------------------ Serial No. Title Date(s) ------------------------------------------------------------------------ 112-1................. Promoting Economic January 26, 2011 Recovery and Job Creation: The Road Forward. 112-5................. Assessing the Regulatory, February 15, 2011 Economic and Market Implications of the Dodd- Frank Derivatives Title. 112-6................. The Final Report of the February 16, 2011 Financial Crisis Inquiry Commission. 112-9................. Mortgage Finance Reform: March 1, 2011 An Examination of the Obama Administration's Report to Congress. 112-10................ Oversight of the March 1, 2011 Department of Housing and Urban Development (HUD). 112-11................ Monetary Policy and the March 2, 2011 State of the Economy. 112-36................ Oversight of HUD's HOME June 3, 2011 Program. 112-39................ Financial Regulatory June 16, 2011 Reform: The International Context. 112-43................ Hacked Off: Helping Law June 29, 2011 Enforcement Protect Private Financial Information (Field Hearing). 112-46................ Monetary Policy and the July 13, 2011 State of the Economy. 112-62................ Fixing the Watchdog: September 15, 2011 Legislative Proposals to Improve and Enhance the Securities and Exchange Commission. 112-70................ The Annual Report of the October 6, 2011 Financial Stability Oversight Council. 112-87................ Perspectives on the Health December 1, 2011 of the FHA Single-family Insurance Fund. 112-89................ Regulatory Reform: December 5, 2011 Examining How New Regulations are Impacting Financial Institutions, Small Businesses and Consumers in Illinois (Field Hearing). 112-90................ H.R. 1148, the Stop December 6, 2011 Trading on Congressional Knowledge Act. 112-103............... Monetary Policy and the February 29, 2012 State of the Economy. 112-108............... Hearing to Receive the March 20, 2012 Annual Testimony of the Secretary of the Treasury on the State of the International Financial System. 112-114............... The Semi-Annual Report of March 29, 2012 the Consumer Financial Protection Bureau. 112-128............... Examining the Settlement May 17, 2012 Practices of U.S. Financial Regulators. ------------------------------------------------------------------------ Subcommittee on Capital Markets and Government Sponsored Enterprises (Ratio: 20-15) SCOTT GARRETT, New Jersey, Chairman DAVID SCHWEIKERT, Arizona, MAXINE WATERS, California, Vice Chairman Ranking Member PETER T. KING, New York GARY L. ACKERMAN, New York EDWARD R. ROYCE, California BRAD SHERMAN, California FRANK D. LUCAS, Oklahoma RUBEN HINOJOSA, Texas DONALD A. MANZULLO, Illinois STEPHEN F. LYNCH, Massachusetts JUDY BIGGERT, Illinois BRAD MILLER, North Carolina JEB HENSARLING, Texas CAROLYN B. MALONEY, New York RANDY NEUGEBAUER, Texas GWEN MOORE, Wisconsin JOHN CAMPBELL, California ED PERLMUTTER, Colorado THADDEUS G. McCOTTER, Michigan JOE DONNELLY, Indiana KEVIN McCARTHY, California ANDRE CARSON, Indiana STEVAN PEARCE, New Mexico JAMES A. HIMES, Connecticut BILL POSEY, Florida GARY C. PETERS, Michigan MICHAEL G. FITZPATRICK, Pennsylvania AL GREEN, Texas NAN A. S. HAYWORTH, New York KEITH ELLISON, Minnesota ROBERT HURT, Virginia BARNEY FRANK, Massachusetts, ROBERT J. DOLD, Illinois ex officio MICHAEL G. GRIMM, New York STEVE STIVERS, Ohio SPENCER BACHUS, Alabama, ex officio Subcommittee Legislative Activities FANNIE MAE AND FREDDIE MAC ACCOUNTABILITY AND TRANSPARENCY FOR TAXPAYERS ACT OF 2011 (H.R. 31) Summary H.R. 31, the Fannie Mae and Freddie Mac Accountability and Transparency for Taxpayers Act of 2011, would expand the reporting requirements and enhance the authority of the FHFA's Office of Inspector General. H.R. 31 would require the FHFA Inspector General to report quarterly to Congress on the status of the conservatorships of the GSEs, Fannie Mae and Freddie Mac, including the extent of taxpayer liabilities, the GSEs' investment and foreclosure mitigation strategies, and management and personnel matters at the GSEs. H.R. 31 would require that these reports be publicly available. H.R. 31 would also grant the Inspector General additional law enforcement and personnel-hiring authorities. Legislative History H.R. 31 was introduced by Representative Judy Biggert on January 5, 2011 and referred to the Committee on Financial Services. The bill has 19 cosponsors. On March 31, 2011, the Subcommittee held a legislative hearing on H.R. 31 entitled ``Legislative Hearing on Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; The Honorable John H. Dalton, President of the Housing Policy Council, Financial Services Roundtable; Mr. Christopher Papagianis, Managing Director, Economics21; Mr. Edward Pinto, Resident Fellow, American Enterprise Institute; Mr. Bob Nielsen, Chairman of the Board, National Association of Home Builders; and Mr. Ron Phipps, President, National Association of Realtors. On April 5, 2011 and April 6, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by a voice vote. CHURCH PLAN INVESTMENT CLARIFICATION ACT (H.R. 33) Summary H.R. 33, the Church Plan Investment Clarification Act, would make a technical correction to Public Law 108-359, which prevents church pension plans from investing in collective trusts. The bill would allow church pension plans to invest in collective trusts by broadening an exemption in the current law. In 2003, Congress attempted to achieve this result, but omitted a necessary exemption from the Securities Act of 1933 to provide parallel treatment for church plans with exemptions in the Investment Company Act of 1940 and the Securities Exchange Act of 1934. Without this correction, collective trusts will not accept investments from church pension plans. Legislative History H.R. 33 was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert on January 5, 2011 and referred to the Committee on Financial Services. The bill has no cosponsors. On March 10, 2011, the Subcommittee held a hearing entitled ``Oversight of the Securities and Exchange Commission's Operations, Activities, Challenges and FY 2012 Budget Request.'' The Subcommittee received testimony from the following witnesses: Mr. Robert Cook, Director, Division of Trading and Markets, SEC; Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Robert Khuzami, Director, Division of Enforcement, SEC; Ms. Eileen Rominger, Director, Division of Investment Management, SEC; and Mr. Carlo di Florio, Director, Office of Compliance Inspections and Examinations, SEC. During the hearing, Chairman Biggert asked Ms. Meredith Cross to comment on the need for legislation to modify the treatment of church pension plan investments in collective trusts. On May 3, 2011 and May 4, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by a voice vote. On June 22, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on July 1, 2011 (H. Rept. 112-131). On July 18, 2011, the House agreed to a motion to suspend the rules and pass H.R. 33, as amended, by a record vote of 310 yeas and 1 nay. FANNIE MAE AND FREDDIE MAC TRANSPARENCY ACT OF 2011 (H.R. 463) Summary H.R. 463, the Fannie Mae and Freddie Mac Transparency Act of 2011, would make the Freedom of Information Act (FOIA) applicable to Fannie Mae and Freddie Mac while they are in federal conservatorship or receivership. FOIA is the federal law that grants the public access to information or documents controlled by the U.S. government. Members of the public may make FOIA requests for the records of any government agency. Yet despite their public charters and their management by the federal government, neither Fannie Mae nor Freddie Mac is considered a federal agency for purposes of FOIA. Without this legislation, the public cannot access the GSEs' records, even though they are overseen directly by the federal government. Legislative History On January 26, 2011, H.R 463 was introduced by Representative Jason Chaffetz and was referred to the Committee on Financial Services. The bill has eleven cosponsors. On May 25, 2011, the Subcommittee held a legislative hearing on H.R. 463 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' The Subcommittee received testimony from the following witnesses: Mr. Edward J. DeMarco, Acting Director, FHFA; Dr. Anthony Sanders, Mercatus Center Senior Scholar and Distinguished Professor of Real Estate Finance, George Mason University; Mr. David John, Senior Research Fellow in Retirement Security and Financial Institutions, The Heritage Foundation; Dr. Sheila Crowley, President, National Low Income Housing Coalition; and Mr. Kelly William Cobb, Government Affairs Manager, Americans for Tax Reform. On July 12, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. EQUITABLE TREATMENT OF INVESTORS ACT (H.R. 757) Summary H.R. 757, the Equitable Treatment of Investors Act, would amend the Securities Investor Protection Act (SIPA) in the following ways: (1) require that the Securities Investor Protection Corporation (SIPC) value a customer's claim according to the last statement the customer received from the broker-dealer; (2) prohibit SIPC trustees from suing investors who withdrew more from their accounts than they deposited to recover that difference, unless the investor knew the broker- dealer was engaged in fraud, or--if the investor is a registered broker-dealer or investment adviser--should have known the broker-dealer was engaged in fraud; and (3) modify the process for appointing the SIPA trustee and the trustee's attorneys. Legislative History On February 17, 2011, H.R. 757 was introduced by Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett and referred to the Committee on Financial Services. The bill has 13 cosponsors. On March 7, 2012, the Subcommittee held a legislative hearing on H.R. 757 entitled ``The Securities Investor Protection Corporation: Past, Present, and Future.'' The Subcommittee received testimony from the following witnesses: The Honorable David Vitter, United States Senate; Mr. Stephen Harbeck, President & Chief Executive Officer, SIPC; Ms. Sharon Bowen, Acting Chairman of the Board, SIPC; Mr. Joe Borg, Director, Alabama Securities Commission; Mr. Steven Caruso, Partner, Maddox Hargett & Caruso, P.C.; Mr. Ira Hammerman, Senior Managing Director and General Counsel, Securities Industry and Financial Markets Association; and Mr. Ron Stein, President, Network for Investor Action and Protection. UNITED STATES COVERED BONDS ACT OF 2011 (H.R. 940) Summary H.R. 940, the United States Covered Bonds Act of 2011, would establish the statutory framework necessary to start a covered bonds market in the United States. The bill would provide legal certainty for covered bonds in three ways: specifying the categories of eligible issuers and eligible cover-pool assets; mandating an asset coverage test for cover pools and audits by an independent asset monitor; and clarifying applicable securities and tax matters. H.R. 940 creates a separate resolution process for covered bond programs. The bill requires the Secretary of the Treasury, in consultation with applicable prudential regulators, to serve as the primary regulator of the covered bonds market. Legislative History H.R. 940 was introduced by Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett on March 8, 2011 and referred to the Committee on Financial Services and the Committee on Ways and Means. The bill has one cosponsor. On March 11, 2011, the Subcommittee held a hearing on H.R. 940 entitled ``Legislative Proposals to Create a Covered Bond Market in the United States.'' The Subcommittee received testimony from the following witnesses: Mr. Scott Stengel, Partner, King & Spalding LLP, on behalf of the U.S. Covered Bond Council; Mr. Bert Ely, Ely & Company, Inc.; Mr. Tim Skeet, Amias Berman & Co., on behalf of the International Capital Market Association; Mr. Ralph Daloisio, Managing Director, Natixis, on behalf of the American Securitization Forum; and Mr. Stephen G. Andrews, President and Chief Executive Officer, Bank of Alameda. On May 3, 2011 and May 4, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. On June 22, 2011, the Committee met in open session and ordered H.R. 940, as amended, favorably reported to the House by a record vote of 44 yeas, 7 nays and 3 present. BURDENSOME DATA COLLECTION RELIEF ACT (H.R. 1062) Summary H.R. 1062, the Burdensome Data Collection Relief Act, repeals Section 953(b) of the Dodd-Frank Act, which requires all publicly traded companies to calculate and disclose for each filing with the SEC the median annual total compensation of all employees of the company excluding the CEO, disclose the annual total compensation of the CEO, and calculate and disclose a ratio comparing those two numbers. Legislative History H.R. 1062 was introduced by Representative Nan Hayworth on March 14, 2011 and referred to the Committee on Financial Services. The bill has seven cosponsors. On March 16, 2011, the Subcommittee held a hearing on a draft version of H.R. 1062 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' The Subcommittee received testimony from the following witnesses: Mr. Kenneth A. Bertsch, President and CEO, Society of Corporate Secretaries & Governance Professionals; Mr. Tom Deutsch, Executive Director, American Securitization Forum; Ms. Pam Hendrickson, Chief Operating Officer, The Riverside Company; Mr. David Weild, Senior Advisor, Grant Thornton, LLP; Mr. Luke Zubrod, Director, Chatham Financial on behalf of the Coalition for Derivatives End-Users; and Mr. Damon Silvers, Policy Director and Special Counsel, AFL-CIO. On May 3, 2011 and May 4, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by a record vote of 20 yeas and 12 nays. On June 22, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 33 yeas and 21 nays. The Committee Report was filed on July 12, 2011 (H. Rept. 112-142). SMALL COMPANY CAPITAL FORMATION ACT OF 2011 (H.R. 1070) Summary H.R. 1070, the Small Company Capital Formation Act, raises the offering threshold for companies exempted from registration with the SEC under Regulation A from $5 million--the threshold set in the early 1990s--to $50 million. Raising the offering threshold helps small companies gain access to capital markets without the costs and delays associated with the full-scale securities registration process. H.R. 1070 provides the SEC with the authority to increase the threshold and requires the SEC to re-examine the threshold every two years and report to Congress on its decisions regarding adjustment of the threshold. Legislative History H.R. 1070 was introduced by Representative David Schweikert on March 14, 2011 and referred to the Committee on Financial Services. The bill has seventeen cosponsors. On March 16, 2011, the Subcommittee held a hearing on a draft version of H.R. 1070 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' The Subcommittee received testimony from the following witnesses: Mr. Kenneth A. Bertsch, President and CEO, Society of Corporate Secretaries & Governance Professionals; Mr. Tom Deutsch, Executive Director, American Securitization Forum; Ms. Pam Hendrickson, Chief Operating Officer, The Riverside Company; Mr. David Weild, Senior Advisor, Grant Thornton, LLP; Mr. Luke Zubrod, Director, Chatham Financial on behalf of the Coalition for Derivatives End-Users; and Mr. Damon Silvers, Policy Director and Special Counsel, AFL-CIO. On May 3, 2011 and May 4, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. On June 22, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on September 14, 2011 (H. Rept. 112-206). On November 2, 2011, the House agreed to a motion to suspend the rules and pass H.R. 1070, as amended, by a record vote of 421 yeas and 1 nay. On March 7, 2012, the House adopted H. Res. 572, which provided that H.R. 3606 be amended by the Rules Committee Print 112-17, the Jumpstart Our Business Startups Act, which largely reflects the text of H.R. 3606 and H.R. 2167 as reported by the Committee on Financial Services, H.R. 1070, H.R. 2930, H.R. 2940 as passed the House, and H.R. 4088 as introduced. On March 8, 2012, the House considered H.R. 3606 and passed the bill, with amendments, by a record vote of 390 yeas and 23 nays. On March 22, 2012, the Senate considered H.R. 3606 and passed the bill, with amendments, by a record vote of 73 yeas and 26 nays. On March 27, 2012, the House considered the Senate amendment to H.R. 3606 under suspension of the rules, and agreed to the amendment by a record vote of 380 yeas and 41 nays. On April 5, 2012, H.R. 3606 was signed by the President and became Public Law No. 112-106. SMALL BUSINESS CAPITAL ACCESS AND JOB PRESERVATION ACT (H.R. 1082) Summary H.R. 1082, the Small Business Capital Access and Job Preservation Act, exempts advisers to private equity funds that have not borrowed and do not have outstanding a principal amount in excess of twice their funded capital commitments from SEC registration requirements as mandated by Title IV of the Dodd-Frank Act. Legislative History H.R. 1082 was introduced by Representative Robert Hurt on March 15, 2011 and was referred to the Committee on Financial Services. The bill has nine cosponsors. On March 16, 2011, the Subcommittee held a hearing on H.R. 1082 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' The Subcommittee received testimony from the following witnesses: Mr. Kenneth A. Bertsch, President and CEO, Society of Corporate Secretaries & Governance Professionals; Mr. Tom Deutsch, Executive Director, American Securitization Forum; Ms. Pam Hendrickson, Chief Operating Officer, The Riverside Company; Mr. David Weild, Senior Advisor, Grant Thornton, LLP; Mr. Luke Zubrod, Director, Chatham Financial on behalf of the Coalition for Derivatives End-Users; and Mr. Damon Silvers, Policy Director and Special Counsel, AFL-CIO. On May 3, 2011 and May 4, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by a record vote of 19 yeas and 13 nays. On June 22, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on July 12, 2011 (H. Rept. 112-143). EQUITY IN GOVERNMENT COMPENSATION ACT OF 2011 (H.R. 1221) Summary H.R. 1221, the Equity in Government Compensation Act of 2011, would suspend the current compensation packages for all of Fannie Mae and Freddie Mac's senior executives and establish a compensation system for the GSEs' executive officers consistent with the compensation and benefits provided under FIRREA. The bill requires the GSEs' regulator--the FHFA--to adjust the salaries of Fannie Mae's and Freddie Mac's nonsupervisory employees to conform to the General Schedule, a statutory pay system that pays employees based on surveys of non-federal pay for similar work. H.R. 1221 expresses the sense of the Congress that the 2010 and 2011 pay packages for Fannie Mae's and Freddie Mac's senior executives were excessive and that the money should be returned to the Treasury to reduce the national debt. Legislative History On March 29, 2011, H.R. 1221 was introduced by Chairman Spencer Bachus and referred to the Committee on Financial Services and the Committee on Oversight and Government Reform. The bill has 19 cosponsors. On March 31, 2011, the Subcommittee held a hearing on H.R. 1221 entitled ``Legislative Hearing on Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA, The Honorable John H. Dalton, President of the Housing Policy Council, Financial Services Roundtable; Mr. Christopher Papagianis, Managing Director, Economics21; Mr. Edward Pinto, Resident Fellow, American Enterprise Institute; Mr. Bob Nielsen, Chairman of the Board, National Association of Home Builders; and Mr. Ron Phipps, President, National Association of Realtors. On April 5, 2011 and April 6, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by a record vote of 27 yeas and 6 nays. On November 15, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a record vote of 52 yeas and 4 nays. The Committee Report was filed on January 17, 2012 (H. Rept. 112-366, Part 1). GSE SUBSIDY ELIMINATION ACT OF 2011 (H.R. 1222) Summary H.R. 1222, the GSE Subsidy Elimination Act of 2011, would mandate that the FHFA gradually require Fannie Mae and Freddie Mac to increase the fees they charge for guaranteeing payments of principal and interest on mortgages that they securitize. H.R. 1222 also directs the FHFA to consider the conditions of the financial market in raising the GSEs' guarantee fees to ensure that its actions do not disrupt a housing recovery. Legislative History H.R. 1222 was introduced by Representative Randy Neugebauer on March 29, 2011 and referred to the Committee on Financial Services. The bill has six cosponsors. On March 31, 2011, the Subcommittee held a legislative hearing on H.R. 1222 entitled ``Legislative Hearing on Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; The Honorable John H. Dalton, President of the Housing Policy Council, Financial Services Roundtable; Mr. Christopher Papagianis, Managing Director, Economics21; Mr. Edward Pinto, Resident Fellow, American Enterprise Institute; Mr. Bob Nielsen, Chairman of the Board, National Association of Home Builders; and Mr. Ron Phipps, President, National Association of Realtors. On April 5, 2011 and April 6, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by a record vote of 25 yeas and 9 nays. GSE CREDIT RISK EQUITABLE TREATMENT ACT OF 2011 (H.R. 1223) Summary H.R. 1223, the GSE Credit Risk Equitable Treatment Act of 2011, would clarify that a GSE loan purchase or asset-backed security issuance would not affect the status of the underlying assets. The bill is designed to ensure that mortgages held or securitized by Fannie Mae and Freddie Mac and asset-backed securities issued by them are treated similarly as other mortgages and asset-backed securities for purposes of the credit risk retention requirements in Section 941 of the Dodd- Frank Act. Legislative History H.R. 1223 was introduced by Representative Scott Garrett on March 29, 2011 and referred to the Committee on Financial Services. The bill has three cosponsors. On March 31, 2011, the Subcommittee held a legislative hearing on H.R. 1223 entitled ``Legislative Hearing on Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA, The Honorable John H. Dalton, President of the Housing Policy Council, Financial Services Roundtable; Mr. Christopher Papagianis, Managing Director, Economics21; Mr. Edward Pinto, Resident Fellow, American Enterprise Institute; Mr. Bob Nielsen, Chairman of the Board, National Association of Home Builders; and Mr. Ron Phipps, President, National Association of Realtors. On April 5, 2011 and April 6, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by a record vote of 34 yeas and 0 nays. GSE PORTFOLIO RISK REDUCTION ACT OF 2011 (H.R. 1224) Summary H.R. 1224, the GSE Portfolio Risk Reduction Act of 2011, would accelerate and formalize the reductions in the size of the portfolios of the GSEs, by setting annual limits on the maximum size of each GSE's retained portfolio, ratcheting the limits down over five years until they reached a sustainable level. In the first year, the GSEs would have their portfolios capped at no more than $700 billion, declining to $600 billion for year two, $475 billion for year three, $350 billion for year four, and finally to $250 billion in year five. Legislative History H.R. 1224 was introduced by Representative Jeb Hensarling on March 29, 2011 and referred to the Committee on Financial Services. The bill has five cosponsors. On March 31, 2011, the Subcommittee held a legislative hearing on H.R. 1224 entitled ``Legislative Hearing on Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; The Honorable John H. Dalton, President of the Housing Policy Council, Financial Services Roundtable; Mr. Christopher Papagianis, Managing Director, Economics21; Mr. Edward Pinto, Resident Fellow, American Enterprise Institute; Mr. Bob Nielsen, Chairman of the Board, National Association of Home Builders; and Mr. Ron Phipps, President, National Association of Realtors. On April 5, 2011 and April 6, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by a record vote of 20 yeas and 14 nays. GSE DEBT ISSUANCE APPROVAL ACT OF 2011 (H.R. 1225) Summary H.R. 1225, the GSE Debt Issuance Approval Act of 2011, would require the Treasury Department to approve any new debt issuances by the GSEs. If the Treasury Department chooses to approve a debt issuance, it must explain and justify its decision to Congress and the FHFA within 7 days. Legislative History H.R. 1225 was introduced by Representative Stevan Pearce on March 29, 2011 and referred to the Committee on Financial Services. The bill has five cosponsors. On March 31, 2011, the Subcommittee held a legislative hearing on H.R. 1225 entitled ``Legislative Hearing on Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; The Honorable John H. Dalton, President of the Housing Policy Council, Financial Services Roundtable; Mr. Christopher Papagianis, Managing Director, Economics21; Mr. Edward Pinto, Resident Fellow, American Enterprise Institute; Mr. Bob Nielsen, Chairman of the Board, National Association of Home Builders; and Mr. Ron Phipps, President, National Association of Realtors. On April 5, 2011 and April 6, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by a record vote of 18 yeas, 0 nays and 1 present. GSE MISSION IMPROVEMENT ACT OF 2011 (H.R. 1226) Summary H.R. 1226, the GSE Mission Improvement Act of 2011, would repeal the GSEs' affordable housing goals. Fannie Mae and Freddie Mac, as GSEs, were vested with unique, governmentally- derived advantages. Given their dominant role in the mortgage market, Congress has required them to set minimum percentage- of-business goals for mortgage purchases. These affordable housing (or lending) goals have been designed to promote higher-risk as well as low-income lending and lending in underserved geographic areas. Legislative History H.R. 1226 was introduced by Representative Ed Royce on March 29, 2011 and referred to the Committee on Financial Services. The bill has five cosponsors. On March 31, 2011, the Subcommittee held a legislative hearing on H.R. 1226 entitled ``Legislative Hearing on Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; The Honorable John H. Dalton, President of the Housing Policy Council, Financial Services Roundtable; Mr. Christopher Papagianis, Managing Director, Economics21; Mr. Edward Pinto, Resident Fellow, American Enterprise Institute; Mr. Bob Nielsen, Chairman of the Board, National Association of Home Builders; and Mr. Ron Phipps, President, National Association of Realtors. On April 5, 2011 and April 6, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. GSE RISK AND ACTIVITIES LIMITATION ACT OF 2011 (H.R. 1227) Summary H.R. 1227, the GSE Risk and Activities Limitation Act of 2011, would prohibit the GSEs from offering, undertaking, transacting, conducting or engaging in any new business activities while in conservatorship or receivership. By preventing Fannie Mae or Freddie Mac from initiating new projects, as defined by FHFA regulation, Congress would be limiting their size and market dominance. Under current law, the FHFA Director must pre-approve a proposed GSE activity or product to determine whether it is in the public interest and consistent with the safety and soundness of the Enterprise or the financial system. Legislative History H.R. 1227 was introduced by Representative David Schweikert on March 29, 2011 and referred to the Committee on Financial Services. The bill has six cosponsors. On March 31, 2011, the Subcommittee held a legislative hearing on H.R. 1227 entitled ``Legislative Hearing on Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; The Honorable John H. Dalton, President of the Housing Policy Council, Financial Services Roundtable; Mr. Christopher Papagianis, Managing Director, Economics21; Mr. Edward Pinto, Resident Fellow, American Enterprise Institute; Mr. Bob Nielsen, Chairman of the Board, National Association of Home Builders; and Mr. Ron Phipps, President, National Association of Realtors. On April 5, 2011 and April 6, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. ASSET-BACKED MARKET STABILIZATION ACT OF 2011 (H.R. 1539) Summary H.R. 1539, the Asset-Backed Market Stabilization Act of 2011, would repeal Section 939G of the Dodd-Frank Act, thereby reinstating SEC Rule 436(g). Under the Securities Act, the written consent of an ``expert''--which includes any person who prepared or certified a portion of a statement or prospectus filed with the SEC--must be included in the filing, and the consenting expert is subject to liability for misstatements in the prepared or certified portion of the registration statement or prospectus. Rule 436(g) exempted NRSROs from being considered ``experts'' if their ratings were included in a registration statement or prospectus. Rule 436(g)'s repeal in the Dodd-Frank Act prompted NRSROs to refuse to consent to the inclusion of their ratings in statements and prospectuses, causing dislocation in the asset-backed securities market. Legislative History H.R. 1539 was introduced by Representative Steve Stivers on April 14, 2011 and was referred to the Committee on Financial Services. The bill has three cosponsors. On March 16, 2011, the Subcommittee held a legislative hearing on a draft version of H.R. 1539 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' The Subcommittee received testimony from the following witnesses: Mr. Kenneth A. Bertsch, President and CEO, Society of Corporate Secretaries & Governance Professionals; Mr. Tom Deutsch, Executive Director, American Securitization Forum; Ms. Pam Hendrickson, Chief Operating Officer, The Riverside Company; Mr. David Weild, Senior Advisor, Grant Thornton, LLP; Mr. Luke Zubrod, Director, Chatham Financial on behalf of the Coalition for Derivatives End-Users; and Mr. Damon Silvers, Policy Director and Special Counsel, AFL-CIO. On May 3, 2011 and May 4, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by a record vote of 18 yeas and 14 nays. On July 20, 2011, the Committee met in open session and ordered the bill favorably reported to the House by 31 yeas and 19 nays. The Committee Report was filed on August 12, 2011 (H. Rept. 112-196). BUSINESS RISK MITIGATION AND PRICE STABILIZATION ACT OF 2011 (H.R. 1610) Summary H.R. 1610, the Business Risk Mitigation and Price Stabilization Act of 2011, would exempt non-financial end-users of derivatives products from having to post margin as required under Title VII of the Dodd-Frank Act. Legislative History H.R. 1610 was introduced by Representative Michael Grimm on April 15, 2011 and was referred to the Committee on Financial Services and the Committee on Agriculture. The bill has ten cosponsors. On February 15, 2011, the Committee held an oversight hearing on the implementation of Title VII of the Dodd-Frank Act entitled, ``Assessing the Regulatory, Economic and Market Implications of the Dodd-Frank Derivatives Title.'' The Subcommittee received testimony from the following witnesses: The Honorable Mary Schapiro, Chairman, SEC; The Honorable Gary Gensler, Chairman, CFTC; The Honorable Daniel K. Tarullo, Member, Federal Reserve Board of Governors; Mr. Craig Reiners, Director of Commodity Risk Management, MillerCoors, on behalf of the Coalition for Derivatives End-Users; Mr. Donald F. Donahue, Chairman & Chief Executive Officer, DTCC; Mr. Terry Duffy, Executive Chairman, CME Group; Mr. Don Thompson, Managing Director and Associate General Counsel, JPMorgan Chase, on behalf of SIFMA; Mr. Jamie Cawley, Chief Executive Officer, Javelin, on behalf of SDMA; and Mr. Christopher Giancarlo, Executive Vice President, Corporate Development, GFI Group Inc. On March 16, 2011, the Subcommittee held a legislative hearing on the draft version of H.R. 1610 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' The Subcommittee received testimony from the following witnesses: Mr. Kenneth A. Bertsch, President and CEO, Society of Corporate Secretaries & Governance Professionals; Mr. Tom Deutsch, Executive Director, American Securitization Forum; Ms. Pam Hendrickson, Chief Operating Officer, The Riverside Company; Mr. David Weild, Senior Advisor, Grant Thornton, LLP; Mr. Luke Zubrod, Director, Chatham Financial on behalf of the Coalition for Derivatives End-Users; and Mr. Damon Silvers, Policy Director and Special Counsel, AFL-CIO. On May 3, 2011 and May 4, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by a record vote of 19 yeas and 13 nays. COMMUNITIES FIRST ACT (H.R. 1697) Summary H.R. 1697, the Communities First Act, would reduce regulatory, paperwork, and tax burdens on small banks. The bill would revise regulatory requirements for community banks by (1) amending the Federal Deposit Insurance Act to permit certain insured depository institutions to submit a short-form report of condition; (2) amending the Sarbanes-Oxley Act to exempt certain small-sized depository institutions from the annual management assessment of internal controls requirements; (3) amending the Truth in Lending Act to exempt from escrow or impound account requirements any loan secured by a first lien on a consumer's principal dwelling, if the loan is held by a creditor with assets of $10 billion or less; and (4) amending the Gramm-Leach-Bliley Act to exempt certain financial institutions from furnishing a mandatory annual privacy notice. The bill would also amend the Securities Exchange Act of 1934 to direct the SEC: (1) to ensure that information, documents, and reports accurately and appropriately reflect the business model of a registered security issuer; (2) to approve any new or amended generally accepted accounting principle only if it would have no negative economic impact on certain small- sized insured depository institutions; and (3) to increase the shareholder registration threshold for certain banks and bank holding companies. The bill would also amend the Dodd-Frank Act: (1) to authorize the FSOC to set aside a final regulation prescribed by the CFPB if the Council decides that it would be inconsistent with the safe and sound operation of U.S. financial institutions, or could have a disproportionate negative impact on a subset of the banking industry; and (2) to repeal the authority of the Federal Reserve Board to delegate to the CFPB its authority to examine persons for compliance with federal consumer financial laws. For the purposes of capital calculation, the bill authorizes specified institutions: (1) To amortize losses or write-downs on a quarterly basis over a 10-year period; and (2) to average, over a five-year period, the appraised value of any real estate securing a loan held by the institution. Legislative History On May 3, 2011, H.R. 1697 was introduced by Representative Blaine Luetkemeyer and was referred to the Committee on Financial Services. The bill has 55 cosponsors. On November 16, 2011, the Subcommittees on Financial Institutions and Consumer Credit and Capital Markets and Government Sponsored Enterprises held a joint legislative hearing on H.R. 1697 entitled ``H.R. 1697, The Communities First Act.'' The Subcommittees received testimony from the following witnesses: Mr. Salvatore Marranca, President and Chief Executive Officer, Cattaraugus County Bank on behalf of the Independent Community Bankers Association; Mr. O. William Cheney, President and Chief Executive Officer, Credit Union National Association; Mr. John A. Klebba, President and Chief Executive Officer, Legends Bank, on behalf of the Missouri Bankers Association; Mr. Fred Becker, Jr., President and Chief Executive Officer, National Association of Federal Credit Unions; Mr. Arthur E. Wilmarth, Jr., Professor of Law, George Washington University, Executive Director, Center for Law, Economics and Finance; Mr. Damon Silvers, Director, Policy and Special Counsel, American Federation of Labor and Congress of Industrial Organizations; and Mr. Adam J. Levitin, Professor of Law, Georgetown University Law Center. SWAPS BAILOUT PREVENTION ACT (H.R. 1838) Summary H.R. 1838, the Swaps Bailout Prevention Act, would repeal Section 716 of the Dodd-Frank Act. Section 716 prohibits ``federal assistance''--defined as ``the use of any advances from any Federal Reserve credit facility or discount window [or] Federal Deposit Insurance Corporation insurance or guarantees''--to ``swaps entities,'' which include swap dealers and major swap participants, securities and futures exchanges, swap-execution facilities, and clearing organizations. This provision, known as the swap desk ``push out'' or ``spin off'' provision, forces financial institutions that have swap desks to move them into an affiliate to preserve their access to Federal Reserve credit facilities and federal deposit insurance. Although the provision allows banks to continue dealing in swaps related to interest rates, foreign currency, and swaps permitted under the National Bank Act, it prohibits them from engaging in swaps related to commodities, equities, and credit. Legislative History On May 11, 2011, H.R. 1838 was introduced by Representative Nan Hayworth and referred to the Committee on Financial Services and the Committee on Agriculture. The bill has no cosponsors. On October 14, 2011, the Subcommittee held a hearing on H.R. 1838 entitled ``Legislative Proposals to Bring Certainty to the Over-the-Counter Derivatives Market.'' The Subcommittee received testimony from the following witnesses: Mr. Keith Bailey, Managing Director, Fixed Income, Currencies and Commodities, Barclays Capital, on behalf of the Institute of International Bankers; Mr. Shawn Bernardo, Senior Managing Director, Tullett Prebon, on behalf of the Wholesale Market Brokers' Association Americas; Ms. Brenda Boultwood, Chief Risk Officer and Senior Vice President, CE Risk Management Division Office, Constellation Energy, on behalf of the Coalition of Derivatives End-Users; Mr. James Cawley, CEO, Javelin Capital Markets LLC; Mr. Kent Mason, Davis & Harman LLP, on behalf of the American Benefits Council and the Committee on the Investment of Employee Benefit Assets; and Mr. Conrad Voldstad, Chief Executive Officer, International Swaps and Derivatives Association. On November 15, 2011, the Subcommittee met in open session and ordered H.R. 1838, as amended, favorably reported to the Committee by a record vote of 19 yeas and 14 nays. TO AMEND THE SECURITIES LAWS TO ESTABLISH CERTAIN THRESHOLDS FOR SHAREHOLDER REGISTRATION, AND FOR OTHER PURPOSES (H.R. 1965) Summary H.R. 1965, a bill to amend the securities laws to establish certain thresholds for shareholder registration, and for other purposes, would raise the threshold for mandatory registration under the Securities Exchange Act of 1934 (the Exchange Act) from 500 shareholders to 2,000 shareholders for banks and bank holding companies. The bill would also modify the threshold for deregistration under Sections 12(g) and 15(d) of the Exchange Act for a bank or a bank holding company from 300 to 1,200 shareholders. Legislative History On May 24, 2011, H.R. 1965 was introduced by Representative James Himes and referred to the Committee on Financial Services. The bill has 18 cosponsors. On September 21, 2011, the Subcommittee held a hearing on H.R. 1965 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' The Subcommittee received testimony from the following witnesses: Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Vincent Molinari, Founder and Chief Executive Officer, GATE Technologies LLC; Mr. Barry E. Silbert, Founder and Chief Executive Officer, SecondMarket, Inc.; Mr. Matthew H. Williams, Chairman and President, Gothenburg State Bank, on behalf of the American Bankers Association; Mr. William D. Waddill, Senior Vice President and Chief Financial Officer, OncoMed Pharmaceuticals, Inc., on behalf of the Biotechnology Industry Organization; Mr. A. Heath Abshure, Commissioner, Arkansas Securities Department, on behalf of the North American Securities Administrators; and Ms. Dana Mauriello, President, ProFounder. On October 5, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. On October 26, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. On November 2, 2011, the House considered H.R. 1965 under suspension of the rules, and passed the bill, as amended, by a record vote of 420 yeas and 2 nays. PONZI SCHEME INVESTOR PROTECTION ACT OF 2011 (H.R. 1987) Summary H.R. 1987, the Ponzi Scheme Investor Protection Act of 2011, would amend the SIPA in the following ways: (1) Prohibit SIPC trustees from suing direct investors in a Ponzi scheme who withdrew more from their accounts than they deposited to recover that difference unless the investor was complicit in the fraud, or is a registered broker-dealer or investment adviser; (2) extend SIPC coverage to indirect investors up to $100,000; (3) require that a customer's net equity be adjusted for inflation as measured by the Consumer Price Index; (4) reduce the amount of deference that a bankruptcy judge must give to SIPC's recommendation on trustee fees; and (5) mandate annual audits of SIPC trustees in cases which SIPC has no reasonable expectation that it will recoup the fees paid to the trustee. Legislative History On May 25, 2011, H.R. 1987 was introduced by Representative Gary Ackerman and referred to the Committee on Financial Services. The bill has eight cosponsors. On March 7, 2012, the Subcommittee held a legislative hearing on H.R. 1987 entitled ``The Securities Investor Protection Corporation: Past, Present, and Future.'' The Subcommittee received testimony from the following witnesses: The Honorable David Vitter, United States Senate; Mr. Stephen Harbeck, President & Chief Executive Officer, Securities Investor Protection Corporation; Ms. Sharon Bowen, Acting Chairman of the Board, Securities Investor Protection Corporation; Mr. Joe Borg, Director, Alabama Securities Commission; Mr. Steven Caruso, Partner, Maddox Hargett & Caruso, P.C.; Mr. Ira Hammerman, Senior Managing Director and General Counsel, Securities Industry and Financial Markets Association; and Mr. Ron Stein, President, Network for Investor Action and Protection. PRIVATE COMPANY FLEXIBILITY AND GROWTH ACT (H.R. 2167) Summary H.R. 2167, the Private Company Flexibility and Growth Act, would raise the threshold for mandatory registration under the Securities Exchange Act of 1934 (the Exchange Act) from 500 shareholders to 1,000 shareholders for all companies; shareholders who received securities under employee compensation plans would not count towards the threshold. Section 12(g) of the Exchange Act requires issuers to register equity securities with the SEC if those securities are held by 500 or more holders of record and the company has total assets of more than $10 million. After a company registers under 12(g), it must comply with the Exchange Act's reporting requirements, which include filing annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, and proxy statements on Schedule 14A. The shareholder threshold has not been adjusted since it was adopted in 1964 and has become an impediment to capital formation for small startup companies. These companies often remain private to maintain greater flexibility and control, and to avoid the increased costs associated with becoming a public company. To attract employees and conserve capital for research and development, startup companies often award their employees stock options in place of higher salaries. If the company succeeds and those options vest, the holders of those options become equity holders, and they are counted against the registration threshold. Because private companies are taking longer to go public than they have in the past, employees' stock options are increasingly vesting before the companies go public. Small private companies may thus find themselves subject to the same reporting requirements as listed companies. Legislative History On June 14, 2011, H.R. 2167 was introduced by Representative David Schweikert and referred to the Committee on Financial Services. The bill has 27 cosponsors. On September 21, 2011, the Subcommittee held a hearing on H.R. 2167 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' The Subcommittee received testimony from the following witnesses: Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Vincent Molinari, Founder and Chief Executive Officer, GATE Technologies LLC; Mr. Barry E. Silbert, Founder and Chief Executive Officer, SecondMarket, Inc.; Mr. Matthew H. Williams, Chairman and President, Gothenburg State Bank, on behalf of the American Bankers Association; Mr. William D. Waddill, Senior Vice President and Chief Financial Officer, OncoMed Pharmaceuticals, Inc., on behalf of the Biotechnology Industry Organization; Mr. A. Heath Abshure, Commissioner, Arkansas Securities Department on behalf of the North American Securities Administrators; and Ms. Dana Mauriello, President, ProFounder. On October 5, 2011, the Subcommittee met in open session and ordered H.R. 2167, as amended, favorably reported to the Committee by voice vote. On October 26, 2011, the Committee met in open session and ordered H.R. 2167, as amended, favorably reported to the House by voice vote. The Committee Report was filed on December 12, 2011 (H. Rept. 112-327). On March 7, 2012, the House adopted H. Res. 572, which provided that H.R. 3606 would be amended by the Rules Committee Print 112-17, the Jumpstart Our Business Startups Act, which largely reflects the text of H.R. 3606 and H.R. 2167 as reported by the Committee on Financial Services, H.R. 1070, H.R. 2930, H.R. 2940 as passed by the House, and H.R. 4088 as introduced. On March 8, 2012, the House considered H.R. 3606 and passed the bill, with amendments, by a record vote of 390 yeas and 23 nays. On March 22, 2012, the Senate considered H.R. 3606 and passed the bill, with amendments, by a record vote of 73 yeas and 26 nays. On March 27, 2012, the House agreed to a motion to suspend the rules and pass H.R. 3606 with the Senate amendment by a record vote of 380 yeas and 41 nays. On April 5, 2012, H.R. 3606 was signed by the President and became Public Law No. 112-106. SEC REGULATORY ACCOUNTABILITY ACT (H.R. 2308) Summary On June 23, 2011, Capital Markets and Government Sponsored Enterprises Subcommittee Chairman Garrett introduced H.R. 2308, the SEC Regulatory Accountability Act. H.R. 2308 requires the SEC to generally follow the principles set forth in Executive Order No. 13,563, which directs non-independent executive branch agencies to adopt regulations only if the benefits of the regulations justify their costs; to tailor regulations to impose the least burden on society; and to develop plans for retrospectively analyzing rules to identify those that are outmoded, ineffective, insufficient, or excessively burdensome and to modify, streamline, expand, or repeal them accordingly. H.R. 2308 also requires, in general, the SEC to identify a problem and assess its significance before the SEC issues a rule in order to determine whether regulation is warranted. The bill requires the SEC's Chief Economist to conduct a cost- benefit analysis of proposed regulations, and it requires that the benefits of proposed regulations justify their costs before the SEC can issue them. Further, the bill requires the SEC to identify and assess alternatives to regulations that it considers, and to explain why a regulation that it issues meets regulatory objectives more effectively than the alternatives. The bill requires the SEC to ensure that its regulations be accessible, consistent, written in plain language, and easy to understand, and to measure and seek to improve the results of regulatory requirements. Legislative History On June 23, 2011, H.R. 2308 was introduced by Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett and referred to the Committee on Financial Services. The bill has 19 cosponsors. On September 15, 2011, the Committee held a legislative hearing on H.R. 2308 entitled ``Fixing the Watchdog: Legislative Proposals to Improve and Enhance the Securities and Exchange Commission.'' The Committee received testimony from the following witnesses: The Honorable Mary Schapiro, Chairman, SEC; Mr. Shubh Saumya, Partner and Managing Director, Boston Consulting Group; The Honorable Paul Atkins, Visiting Scholar, American Enterprise Institute, and Former Commissioner, SEC; Mr. Stephen D. Crimmins, Partner, K&L Gates LLP, and Former Deputy Chief Litigation Counsel, Division of Enforcement, SEC; Mr. Jonathan G. ``Jack'' Katz, Former Secretary, SEC, on behalf of the U.S. Chamber of Commerce; The Honorable Harvey Pitt, Chief Executive Officer, Kalorama Partners, LLC, and Former Chairman, SEC; and Mr. J.W. Verret, Assistant Professor of Law, George Mason University School of Law. On November 15, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by a record vote of 19 yeas and 15 nays. On February 16, 2012, the Committee met in open session and ordered H.R. 2308, as amended, reported to the House by a record vote of 30 yeas and 26 nays. The Committee Report was filed on April 25, 2012 (H. Rept. 112-453). GSE LEGAL FEE REDUCTION ACT OF 2011 (H.R. 2428) Summary H.R. 2428, the GSE Legal Fee Reduction Act of 2011, would limit the indemnification of former executives of the GSEs Fannie Mae and Freddie Mac and set standards for advancing indemnification payments. Under the bill, the FHFA would have the authority to set criteria for indemnification and may require executives or directors to post bond as a condition of receiving indemnification advances. FHFA would be required to prohibit the GSEs from using Treasury funds to satisfy any settlement, judgment, order, or penalty. Legislative History On July 6, 2011, H.R. 2428 was introduced by Subcommittee on Oversight and Investigations Chairman Randy Neugebauer and referred to the Committee on Financial Services. The bill has five cosponsors. On May 25, 2011, the Subcommittee held a legislative hearing on a draft version of H.R. 2428 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; Dr. Anthony Sanders, Mercatus Center Senior Scholar and Distinguished Professor of Real Estate Finance, George Mason University; Mr. David John, Senior Research Fellow in Retirement Security and Financial Institutions, The Heritage Foundation; Dr. Sheila Crowley, President, National Low Income Housing Coalition; and Mr. Kelly William Cobb, Government Affairs Manager, Americans for Tax Reform. FANNIE MAE AND FREDDIE MAC TAXPAYER PAYBACK ACT OF 2011 (H.R. 2436) Summary H.R. 2436, the Fannie Mae and Freddie Mac Taxpayer Payback Act of 2011, would prohibit any reduction in the dividend rate paid to the Secretary of the Treasury on the senior preferred stock of Fannie Mae and Freddie Mac. The bill would codify the September 2008 agreement between the Treasury Department and the GSEs Fannie Mae and Freddie Mac, thus guaranteeing that taxpayers' investment in Fannie Mae and Freddie Mac will be repaid. As part of the government takeover of Fannie Mae and Freddie Mac, the Treasury Department provided both firms with capital in return for senior preferred stock that pays a 10 percent quarterly dividend to the Treasury. Although the dividend may be changed at any time by agreement between the FHFA and Treasury Department, the 10 percent dividend was designed to guarantee that taxpayers would be fully repaid and that Fannie Mae and Freddie Mac would not be reincorporated after their conservatorship as private companies with public charters and missions. Some critics of the 10 percent dividend have argued that it forces the GSEs to borrow even more from the Treasury Department to repay what it has already borrowed plus the dividend, and thus serves no purpose. Legislative History On July 7, 2011, H.R. 2436 was introduced by Representative Donald Manzullo and referred to the Committee on Financial Services. The bill has four cosponsors. On May 25, 2011, the Subcommittee held a legislative hearing on a draft version of H.R. 2436 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; Dr. Anthony Sanders, Mercatus Center Senior Scholar and Distinguished Professor of Real Estate Finance, George Mason University; Mr. David John, Senior Research Fellow in Retirement Security and Financial Institutions, The Heritage Foundation; Dr. Sheila Crowley, President, National Low Income Housing Coalition; and Mr. Kelly William Cobb, Government Affairs Manager, Americans for Tax Reform. On July 12, 2011, the Subcommittee met in open session and ordered H.R. 2436 favorably reported to the Committee by voice vote. REMOVING GSES CHARTERS DURING RECEIVERSHIP ACT OF 2011 (H.R. 2439) Summary H.R. 2439, the Removing GSEs Charters During Receivership Act of 2011, would authorize the FHFA to revoke the charters of Fannie Mae and Freddie Mac, and require the FHFA to revoke the charter when a successor, limited-life entity is dissolved. The bill would also require the Director of the FHFA to submit a report to Congress analyzing the economic impact of privatizing the secondary mortgage market and detailing the costs of maintaining a government guarantee. The bill would also require the Director of the FHFA to make quarterly determinations for five years regarding whether $250 billion of residential mortgage loans were sold and securitized in the private, secondary mortgage market. Legislative History On July 7, 2011, H.R. 2439 was introduced by Representative Steve Stivers and referred to the Committee on Financial Services. The bill has two cosponsors. On May 25, 2011, the Subcommittee held a legislative hearing on a draft version of H.R. 2439 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; Dr. Anthony Sanders, Mercatus Center Senior Scholar and Distinguished Professor of Real Estate Finance, George Mason University; Mr. David John, Senior Research Fellow in Retirement Security and Financial Institutions, The Heritage Foundation; Dr. Sheila Crowley, President, National Low Income Housing Coalition; and Mr. Kelly William Cobb, Government Affairs Manager, Americans for Tax Reform. On July 12, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. MARKET TRANSPARENCY AND TAXPAYER PROTECTION ACT OF 2011 (H.R. 2440) Summary H.R. 2440, the Market Transparency and Taxpayer Protection Act of 2011, would direct Fannie Mae and Freddie Mac to report to the FHFA on the assets they own within 180 days of the bill's enactment. The bill would also require the FHFA to identify the GSEs Fannie Mae and Freddie Mac assets that are not critical to the GSEs' missions, and direct the FHFA's director to establish annual plans for the GSEs to sell or dispose of these assets. The bill would also give the GSEs three years to dispose of these assets, and require the FHFA to report annually to Congress on the disposition of these assets. Legislative History On July 7, 2011, H.R. 2440 was introduced by Representative Robert Hurt and referred to the Committee on Financial Services. The bill has three cosponsors. On May 25, 2011, the Subcommittee held a legislative hearing on a draft version of H.R. 2440 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; Dr. Anthony Sanders, Mercatus Center Senior Scholar and Distinguished Professor of Real Estate Finance, George Mason University; Mr. David John, Senior Research Fellow in Retirement Security and Financial Institutions, The Heritage Foundation; Dr. Sheila Crowley, President, National Low Income Housing Coalition; and Mr. Kelly William Cobb, Government Affairs Manager, Americans for Tax Reform. On July 12, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. HOUSING TRUST FUND ELIMINATION ACT OF 2011 (H.R. 2441) Summary H.R. 2441, the Housing Trust Fund Elimination Act of 2011, would abolish the Affordable Housing Trust Fund. Created as part of the Housing and Economic Recovery Act of 2008 (HERA), the Affordable Housing Trust Fund was intended to serve as a permanent off-budget source of revenue dedicated to building, preserving, and rehabilitating housing for extremely and very low-income families. However, the Affordable Housing Trust Fund has never been capitalized. The cost of the Affordable Housing Trust Fund was estimated to be more than $4.5 billion over 5 years, and it was to have been funded by Fannie Mae and Freddie Mac. When the FHFA placed the GSEs Fannie Mae and Freddie Mac into conservatorship in September 2008, FHFA suspended the GSEs' contributions to the Housing Trust Fund. Legislative History On July 7, 2011, H.R. 2441 was introduced by Representative Edward Royce and referred to the Committee on Financial Services. The bill has two cosponsors. On May 25, 2011, the Subcommittee held a legislative hearing on a draft version of H.R. 2441 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; Dr. Anthony Sanders, Mercatus Center Senior Scholar and Distinguished Professor of Real Estate Finance, George Mason University; Mr. David John, Senior Research Fellow in Retirement Security and Financial Institutions, The Heritage Foundation; Dr. Sheila Crowley, President, National Low Income Housing Coalition; and Mr. Kelly William Cobb, Government Affairs Manager, Americans for Tax Reform. On July 12, 2011, the Subcommittee met in open session and ordered H.R. 2441, as amended, favorably reported to the Committee by a record vote of 18 yeas and 14 nays. CAP THE GSE BAILOUT ACT OF 2011 (H.R. 2462) Summary H.R. 2462, the Cap the GSE Bailout Act of 2011, would limit outlays to Fannie Mae or Freddie Mac to the larger of the net amounts Fannie Mae and Freddie Mac have received from the Treasury Department from 2010 to 2012 or $200 billion. In September 2008, when Fannie Mae and Freddie Mac were placed into conservatorship, the Treasury Department entered into an agreement to purchase up to $100 billion in senior preferred stock of each of the GSEs. In February 2009, the Treasury Department increased this level to up to $200 billion for each of the GSEs. In December 2009, the Treasury Department announced that it had raised the total limit for each GSE to the greater of $200 billion or $200 billion plus any additional payments made in calendar years 2010 through 2012, less any surplus amount as of December 31, 2012. H.R. 2462 codifies the December 2009 agreement. H.R. 2462 would cap the GSE bailout to provide certainty that government assistance is limited and will end. Legislative History On July 8, 2011, H.R. 2462 was introduced by Representative Michael Fitzpatrick and referred to the Committee on Financial Services. The bill has three cosponsors. On May 25, 2011, the Subcommittee held a legislative hearing on a draft version of H.R. 2462 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director of the FHFA; Dr. Anthony Sanders, Mercatus Center Senior Scholar and Distinguished Professor of Real Estate Finance, George Mason University; Mr. David John, Senior Research Fellow in Retirement Security and Financial Institutions, The Heritage Foundation; Dr. Sheila Crowley, President, National Low Income Housing Coalition; and Mr. Kelly William Cobb, Government Affairs Manager, Americans for Tax Reform. On July 12, 2011, the Subcommittee met in open session and ordered H.R. 2462, as amended, favorably reported to the Committee by voice vote. WHISTLEBLOWER IMPROVEMENT ACT OF 2011 (H.R. 2483) Summary H.R. 2483, the Whistleblower Improvement Act of 2011, would amend the Securities Exchange Act of 1934 and the Commodity Exchange Act to require a whistleblower employee, as a prerequisite to eligibility for a whistleblower award, to (1) first report information relating to misconduct to his or her employer before reporting it to the SEC, and (2) report such information to the SEC within 180 days after reporting it to the employer. A whistleblower would still be eligible for an award even if the whistleblower fails to report the relevant information to his or her employer if (1) the employer lacks either a policy prohibiting retaliation for reporting potential misconduct or an internal reporting system allowing for anonymous reporting, or (2) the SEC determines that internal reporting was not a viable option. H.R. 2483 would also prohibit a whistleblower award to any whistleblower who has legal or compliance responsibilities and a fiduciary or contractual obligation to investigate internal reports of misconduct or violations under certain circumstances. H.R. 2483 would also (1) make whistleblower awards discretionary instead of mandatory, (2) repeal the minimum award requirement, and (3) prohibit an award to a whistleblower who is found civilly liable or is determined by the SEC to have been complicit in misconduct related to the pertinent violation. H.R. 2483 would also require the SEC to notify the pertinent entity before commencing any enforcement action relating to information reported by a whistleblower, unless notification would jeopardize investigative measures and impede the gathering of relevant facts. Finally, the bill would require the GAO to study the effects of whistleblower reward programs on shareholder value and report to Congress on those effects within 18 months of the bill's enactment. Legislative History H.R. 2483 was introduced by Representative Grimm on July 11, 2011, and referred to the Committee on Financial Services. The bill has five cosponsors. On May 11, 2011, the Subcommittee held a legislative hearing on a draft version of H.R. 2483 entitled ``Legislative Proposals to Address the Negative Consequences of the Dodd- Frank Whistleblower Provisions.'' The Subcommittee received testimony from the following witnesses: Mr. Robert J. Kueppers, Deputy Chief Executive Officer, Regulatory and Public Policy and Vice Chairman, Deloitte LLP; Ms. Marcia Narine, on behalf of the U.S. Chamber of Commerce; Mr. Kenneth Daly, President and CEO, National Association of Corporate Directors; Mr. Douglas Lankler, Executive Vice President and Chief Compliance Officer, Pfizer, Inc, on behalf of the Society of Corporate Secretaries and Governance Professionals; and Professor Geoffrey Rapp, Professor of Law, University of Toledo College of Law. On December 14, 2011, the Subcommittee met in open session and ordered H.R. 2483, as amended, favorably reported to the Committee by a record vote of 19 yeas and 14 nays. SWAP EXECUTION FACILITY CLARIFICATION ACT (H.R. 2586) Summary H.R. 2586, the Swap Execution Facility Clarification Act, would direct the CFTC and the SEC to promulgate SEF rules that would effectuate Congress's intent that SEFs serve as an alternative to exchanges and provide an execution facility for illiquid or thinly-traded swaps. The Dodd-Frank Act requires that cleared swaps be executed either on exchanges or on SEFs regulated by either the CFTC or the SEC. The drafters of the Dodd-Frank Act intended for SEFs to serve as an alternative to exchanges by providing an execution facility for illiquid or thinly-traded swaps. The CFTC's and SEC's proposed rules for SEFs, however, fail to provide the flexibility necessary to execute illiquid or thinly-traded swaps, and market participants have pointed out that the proposed rules are overly prescriptive and would inhibit the execution of swap trades. H.R. 2586 would prohibit the CFTC and the SEC from requiring SEFs to have a minimum number of participants receive bids or offers; to have market participants request or receive more than one quote; to display or delay bids or offers for a specific time period; and to allow only voice-based and hybrid trading models for the execution of block trades. The bill would also allow market participants to use any means of interstate commerce to execute swap transactions. Legislative History On July 19, 2011, H.R. 2586 was introduced by Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett and referred to the Committee on Financial Services and the Committee on Agriculture. The bill has seven cosponsors. On October 14, 2011, the Subcommittee held a hearing on H.R. 2586 entitled ``Legislative Proposals to Bring Certainty to the Over-the-Counter Derivatives Market.'' The Subcommittee received testimony from the following witnesses: Mr. Keith Bailey, Managing Director, Fixed Income, Currencies and Commodities, Barclays Capital, on behalf of the Institute of International Bankers; Mr. Shawn Bernardo, Senior Managing Director, Tullett Prebon, on behalf of the Wholesale Market Brokers' Association Americas; Ms. Brenda Boultwood, Chief Risk Officer and Senior Vice President, CE Risk Management Division Office, Constellation Energy, on behalf of the Coalition of Derivatives End-Users; Mr. James Cawley, CEO, Javelin Capital Markets LLC; Mr. Kent Mason, Davis & Harman LLP, on behalf of the American Benefits Council and the Committee on the Investment of Employee Benefit Assets; and Mr. Conrad Voldstad, Chief Executive Officer, International Swaps and Derivatives Association. On November 15, 2011, the Subcommittee on met in open session and ordered the bill favorably reported to the Committee by voice vote. On November 30, 2011, the Committee met in open session and ordered the bill favorably reported to the House by voice vote. TO EXEMPT INTER-AFFILIATE SWAPS FROM CERTAIN REGULATORY REQUIREMENTS PUT IN PLACE BY THE DODD-FRANK WALL STREET REFORM AND CONSUMER PROTECTION ACT (H.R. 2779) Summary H.R. 2779, a bill to exempt inter-affiliate swaps from certain regulatory requirements put in place by the Dodd-Frank Wall Street Reform and Consumer Protection Act, would exempt inter-affiliate trades from the margin, clearing, and reporting requirements of the Dodd-Frank Act. Inter-affiliate swaps are swaps executed between entities under common corporate ownership. Inter-affiliate swaps allow corporate groups with subsidiaries and affiliates to better manage risk by transferring the risk of its affiliates to a single affiliate and then executing swaps through that affiliate. Inter- affiliate swaps do not pose a systemic risk because they do not create additional counterparty exposures or increase the interconnectedness between parties outside the corporate group. Despite the differences between inter-affiliate swaps and swaps between unrelated parties, the Dodd-Frank Act did not distinguish between such swaps. H.R. 2779 would reduce the costs of hedging for corporate groups by exempting inter- affiliate trades from the margin, clearing and reporting requirements. Legislative History On August 1, 2011, H.R. 2779 was introduced by Representative Steve Stivers and referred to the Committee on Financial Services and the Committee on Agriculture. The bill has two cosponsors. On October 14, 2011, the Subcommittee a hearing on H.R. 2779 entitled ``Legislative Proposals to Bring Certainty to the Over-the-Counter Derivatives Market.'' The Subcommittee received testimony from the following witnesses: Mr. Keith Bailey, Managing Director, Fixed Income, Currencies and Commodities, Barclays Capital, on behalf of the Institute of International Bankers; Mr. Shawn Bernardo, Senior Managing Director, Tullett Prebon, on behalf of the Wholesale Market Brokers' Association Americas; Ms. Brenda Boultwood, Chief Risk Officer and Senior Vice President, CE Risk Management Division Office, Constellation Energy, on behalf of the Coalition of Derivatives End-Users; Mr. James Cawley, CEO, Javelin Capital Markets LLC; Mr. Kent Mason, Davis & Harman LLP, on behalf of the American Benefits Council and the Committee on the Investment of Employee Benefit Assets; and Mr. Conrad Voldstad, Chief Executive Officer, International Swaps and Derivatives Association. On November 15, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by a record vote of 23 yeas, 6 nays and 1 present. On November 30, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 53 yeas and 0 nays. ENTREPRENEUR ACCESS TO CAPITAL ACT (H.R. 2930) Summary H.R. 2930, the Entrepreneur Access to Capital Act, would create a new registration exemption from the Securities Act of 1933 for securities issued through internet platforms, also known as ``crowdfunding.'' To qualify for this new exemption, the issuer's offering cannot exceed $1 million, unless the issuer provides investors with audited financial statements, in which case the offering amount may not exceed $2 million. An individual's investment must be equal to or less than the lesser of $10,000 or 10 percent of the investor's annual income. By exempting such offerings from registration with the SEC and preempting state registration laws, H.R. 2930 will enable entrepreneurs to more easily access capital from potential investors across the United States to grow their business and create jobs. H.R. 2930 would require issuers and intermediaries to fulfill a number of requirements in order to avail themselves of this new exemption. These requirements, which include notices to the SEC about the offerings and parties to the offerings that will be shared with the States, are designed to reduce the risk of fraud in these offerings and thereby protect investors. The legislation also would allow for an unlimited number of investors to invest via a crowdfunding offering and preempts state securities registration laws. However, the legislation does not restrict the States' ability to discover and stop and prosecute fraudulent offerings. Legislative History On September 14, 2011, H.R. 2930 was introduced by Representative Patrick McHenry and referred to the Committee on Financial Services. The bill has five cosponsors. On September 21, 2011, the Subcommittee held a hearing on H.R. 2930 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' The Subcommittee received testimony from the following witnesses: Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Vincent Molinari, Founder and Chief Executive Officer, GATE Technologies LLC; Mr. Barry E. Silbert, Founder and Chief Executive Officer, SecondMarket, Inc.; Mr. Matthew H. Williams, Chairman and President, Gothenburg State Bank, on behalf of the American Bankers Association; Mr. William D. Waddill, Senior Vice President and Chief Financial Officer, OncoMed Pharmaceuticals, Inc., on behalf of the Biotechnology Industry Organization; Mr. A. Heath Abshure, Commissioner, Arkansas Securities Department on behalf of the North American Securities Administrators; and Ms. Dana Mauriello, President, ProFounder. On October 5, 2011, the Subcommittee met in open session and ordered H.R. 2930 favorably reported to the Committee by a record vote of 18 yeas and 14 nays. On October 26, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on October 31, 2011 (H. Rept. 112-262). On November 3, 2011, the House considered H.R. 2930 and passed the bill, with amendments, by a record vote of 407 yeas and 17 nays. On March 7, 2012, the House adopted H. Res. 572, which provided that H.R. 3606 be amended by the Rules Committee Print 112-17, the Jumpstart Our Business Startups Act, which largely reflects the text of H.R. 3606 and H.R. 2167 as reported by the Committee on Financial Services, H.R. 1070, H.R. 2930, H.R. 2940 as passed the House, and H.R. 4088 as introduced. On March 8, 2012, the House considered H.R. 3606 and passed the bill, with amendments, by a record vote of 390 yeas and 23 nays. On March 22, 2012, the Senate considered H.R. 3606 and passed the bill, with amendments, by a record vote of 73 yeas and 26 nays. On March 27, 2012, the House considered the Senate amendment to H.R. 3606 under suspension of the rules, and agreed to the amendment by a record vote of 380 yeas and 41 nays. On April 5, 2012, H.R. 3606 was signed by the President and became Public Law No. 112-106. ACCESS TO CAPITAL FOR JOB CREATORS ACT (H.R. 2940) Summary H.R. 2940, the Access to Capital for Job Creators Act, would make the exemption under the SEC's Regulation D Rule 506 available to issuers even if the securities are marketed through a general solicitation or advertising so long as the purchasers are ``accredited investors.'' The legislation would allow companies greater access to accredited investors and to new sources of capital to grow and create jobs, without putting less sophisticated investors at risk. To ensure that only accredited investors purchase the securities, H.R. 2940 requires the SEC to write rules on how an issuer would verify that the purchasers of securities are accredited investors. The Securities Act of 1933 requires that any offer to sell securities must either be registered with the SEC or meet an exemption. Regulation D Rule 506 is an exemption that allows companies to raise capital as long as they do not market their securities through general solicitations or advertising. This prohibition on general solicitation and advertising has been interpreted to mean that potential investors must have an existing relationship with the company before they can be notified that unregistered securities are available for purchase. Requiring potential investors to have an existing relationship with the company significantly limits the pool of potential investors and severely hampers the ability of small companies to raise capital and create jobs. Legislative History On September 15, 2011, H.R. 2940 was introduced by Representative Kevin McCarthy and referred to the Committee on Financial Services. The bill has two cosponsors. On September 21, 2011, the Subcommittee held a hearing on H.R. 2940 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' The Subcommittee received testimony from the following witnesses: Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Vincent Molinari, Founder and Chief Executive Officer, GATE Technologies LLC; Mr. Barry E. Silbert, Founder and Chief Executive Officer, SecondMarket, Inc.; Mr. Matthew H. Williams, Chairman and President, Gothenburg State Bank, on behalf of the American Bankers Association; Mr. William D. Waddill, Senior Vice President and Chief Financial Officer, OncoMed Pharmaceuticals, Inc., on behalf of the Biotechnology Industry Organization; Mr. A. Heath Abshure, Commissioner, Arkansas Securities Department on behalf of the North American Securities Administrators; and Ms. Dana Mauriello, President, ProFounder. On October 5, 2011, the Subcommittee met in open session and ordered H.R. 2940, as amended, favorably reported to the Committee by voice vote. On October 26, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on October 31, 2011 (H. Rept. 112-263). On November 3, 2011, the House considered H.R. 2940 and passed the bill by a record vote of 413 yeas and 11 nays. On March 7, 2012, the House adopted H. Res. 572, which provided that H.R. 3606 be amended by the Rules Committee Print 112-17, the Jumpstart Our Business Startups Act, which largely reflects the text of H.R. 3606 and H.R. 2167 as reported by the Committee on Financial Services, H.R. 1070, H.R. 2930, H.R. 2940 as passed the House, and H.R. 4088 as introduced. On March 8, 2012, the House considered H.R. 3606 and passed the bill, with amendments, by a record vote of 390 yeas and 23 nays. On March 22, 2012, the Senate considered H.R. 3606 and passed the bill, with amendments, by a record vote of 73 yeas and 26 nays. On March 27, 2012, the House considered the Senate amendment to H.R. 3606 under suspension of the rules, and agreed to the amendment by a record vote of 380 yeas and 41 nays. On April 5, 2012, H.R. 3606 was signed by the President and became Public Law No. 112-106. RETIREMENT INCOME PROTECTION ACT OF 2011 (H.R. 3045) Summary H.R. 3045, the Retirement Income Protection Act of 2011, would ensure that swap dealers and Employee Retirement Income Security Act of 1978 (ERISA) benefit plans can engage in swap transactions without swap dealers becoming ``fiduciaries'' to ERISA plans. Employee benefit plans subject to the ERISA regularly engage in swap transactions to hedge against market risks, reduce volatility, and make funding obligations more predictable. Under Title VII of the Dodd-Frank Act, an ERISA employee benefit plan is deemed a ``special entity,'' and requires certain business conduct standards when transacting with swap dealers. Specifically, swap dealers have a duty to act in the ``best interests'' of special entities if they act as an advisor to the special entity. Because ERISA prohibits transactions between fiduciaries and ERISA plan sponsors, Title VII could forbid swap dealers from entering into swaps with ERISA plans, which would make it impossible for ERISA plans to engage in swap transactions. H.R. 3045 would amend ERISA so that registered swap dealers or security-based swap dealers will not be considered fiduciaries to employee benefit plans by performing acts or services for that plan, and would remove employee benefit plans from the definition of ``special entity'' in Title VII of the Dodd-Frank Act. The bill would clarify the definition of ``investment advisor'' by setting a standard for an entity to be ``independent'' and therefore able to serve as an advisor to a special entity. H.R. 3045 would also make clear that the duty of the swap dealer to act in the ``best interests'' of a special entity does not create a fiduciary duty. Legislative History On September 23, 2011, H.R. 3045 was introduced by Representative Francisco ``Quico'' Canseco and referred to the Committee on Financial Services, the Committee on Agriculture, and the Committee on Education and the Workforce. The bill has one cosponsor. On October 14, 2011, the Subcommittee held a legislative hearing on H.R. 3045 entitled ``Legislative Proposals to Bring Certainty to the Over-the-Counter Derivatives Market.'' The Subcommittee received testimony from the following witnesses: Mr. Keith Bailey, Managing Director, Fixed Income, Currencies and Commodities, Barclays Capital, on behalf of the Institute of International Bankers; Mr. Shawn Bernardo, Senior Managing Director, Tullett Prebon, on behalf of the Wholesale Market Brokers' Association Americas; Ms. Brenda Boultwood, Chief Risk Officer and Senior Vice President, CE Risk Management Division Office, Constellation Energy, on behalf of the Coalition of Derivatives End-Users; Mr. James Cawley, CEO, Javelin Capital Markets LLC; Mr. Kent Mason, Davis & Harman LLP, on behalf of the American Benefits Council and the Committee on the Investment of Employee Benefit Assets; and Mr. Conrad Voldstad, Chief Executive Officer, International Swaps and Derivatives Association. On November 15, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by a record vote of 19 yeas and 14 nays. SMALL COMPANY JOB GROWTH AND REGULATORY RELIEF ACT OF 2011 (H.R. 3213) Summary H.R. 3213, the Small Company Job Growth and Regulatory Relief Act of 2011, would expand the exemption from Section 404(b) of the Sarbanes-Oxley Act. Section 404(b) of the Sarbanes-Oxley Act requires that the auditor of a publicly-held company attest to and report on management's assessment of its internal controls. In 2007, the SEC provided ``smaller reporting companies'' with exemptions from (or alternatives to) Section 404(b). A ``public'' company qualifies as a ``smaller reporting company'' if its market capitalization is less than $75 million, or--if its market capitalization cannot be determined--less than $50 million in revenue. H.R. 3213 would increase the market capitalization threshold for a full 404(b) exemption from $75 million to $350 million. Legislative History On October 14, 2011, H.R. 3213 was introduced by Representative Stephen Fincher and referred to the Committee on Financial Services. The bill has 17 cosponsors. On September 21, 2011, the Subcommittee held a legislative hearing on a draft version of H.R. 3213 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' The Subcommittee received testimony from the following witnesses: Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Vincent Molinari, Founder and Chief Executive Officer, GATE Technologies LLC; Mr. Barry E. Silbert, Founder and Chief Executive Officer, SecondMarket, Inc.; Mr. Matthew H. Williams, Chairman and President, Gothenburg State Bank, on behalf of the American Bankers Association; Mr. William D. Waddill, Senior Vice President and Chief Financial Officer, OncoMed Pharmaceuticals, Inc., on behalf of the Biotechnology Industry Organization; Mr. A. Heath Abshure, Commissioner, Arkansas Securities Department on behalf of the North American Securities Administrators; and Ms. Dana Mauriello, President, ProFounder. On October 5, 2011, the Subcommittee met in open session and ordered the draft version of H.R. 3213, as amended, favorably reported to the Committee by a record vote of 18 yeas and 14 nays. SWAP JURISDICTION CERTAINTY ACT (H.R. 3283) Summary H.R. 3283, the Swap Jurisdiction Certainty Act, would clarify Congress's intent in limiting the extraterritorial application of Title VII of the Dodd-Frank Act. H.R. 3283 would make clear that (1) Title VII's capital requirements do not apply to non-U.S. swap dealers as long as the non-U.S. swap dealer's home country is a signatory to the Basel Capital Accords; (2) swap transactions between swap dealers and their affiliates are subject only to Title VII's reporting requirements; and (3) swap transactions between non-U.S. swap dealers and non-U.S. persons are outside the scope of Title VII's transaction-level requirements. H.R. 3283 would also strengthen the anti-evasion authority of the SEC and preserves the prudential regulators' non-Title VII authority over security-based swap dealers. Legislative History On October 31, 2011, H.R. 3283 was introduced by Representative James Himes and referred to the Committee on Financial Services. The bill has 15 cosponsors. On February 8, 2012, the Subcommittee held a legislative hearing on H.R. 3283 entitled ``Limiting the Extraterritorial Impact of Title VII of the Dodd-Frank Act.'' The Subcommittee received testimony from the following witnesses: Mr. Chris Allen, Managing Director, Barclays Capital; Dr. Chris Brummer, Professor of Law, Georgetown University; Mr. Don Thompson, Managing Director and Associate General Counsel, JPMorgan Chase & Co.; and Mr. Luke Zubrod, Director, Chatham Financial. On March 27, 2012, the Committee met in open session and ordered H.R. 3283, as amended, favorably reported to the House by a record vote of 41 yeas and 18 nays. The Committee Report was filed on May 11, 2012 (H. Rept. 112-477, Part 1). REOPENING AMERICAN CAPITAL MARKETS TO EMERGING GROWTH COMPANIES ACT OF 2011 (H.R. 3606) Summary H.R. 3606, the Reopening American Capital Markets to Emerging Growth Companies Act of 2011, was introduced to promote American job creation and further economic growth by making it easier for more companies to access capital markets through the creation of a new category of issuer known as an EGC. An EGC will lose its status at the end of five years, or earlier, if it reaches $1 billion in annual gross revenue or becomes a ``large accelerated filer,'' which is a company with over $700 million in public float. The law adapts the SEC's scaled regulations for smaller companies by more slowly phasing in regulations that impose high costs on issuers, without compromising core investor protections or disclosures. Legislative History H.R. 3606 was introduced by Representative Stephen Fincher on December 8, 2011 and referred to the Committee on Financial Services. The bill has 53 cosponsors. On December 15, 2011, the Subcommittee held a legislative hearing on H.R. 3606 entitled ``H.R. 3606, the Reopening American Capital Markets to Emerging Growth Companies Act of 2011.'' The Subcommittee received testimony from the following witnesses: Mr. Joseph Brantuk, Head, U.S. New Listings and IPOs & Vice President, NASDAQ OMX; Mr. Steven R. LeBlanc, Senior Managing Director of Private Markets, Teacher Retirement System of Texas; Ms. Kate Mitchell, Chair, Initial Public Offering Task Force, Former President of the National Venture Capital Association; and Managing Director & Co-Founder, Scale Venture Partners; and Mr. Mike Selfridge, Head of Regional Banking, Silicon Valley Bank. On February 16, 2012, the Committee met in open session and ordered H.R. 3606, as amended, favorably reported to the House by a record vote of 54 yeas and 1 nay. The Committee report was filed on March 1, 2012 (H. Rept. 112-406) and Part 2 was filed on March 6, 2012 (H. Rept. 112-406, Part 2). On March 7, 2012, the House adopted H. Res. 572, which provided that H.R. 3606 be amended by the Rules Committee Print 112-17, the Jumpstart Our Business Startups Act, which largely reflects the text of H.R. 3606 and H.R. 2167 as reported by the Committee on Financial Services, H.R. 1070, H.R. 2930, H.R. 2940 as passed the House, and H.R. 4088 as introduced. On March 8, 2012, the House considered H.R. 3606 and passed the bill, with amendments, by a record vote of 390 yeas and 23 nays. On March 22, 2012, the Senate considered H.R. 3606 and passed the bill, with amendments, by a record vote of 73 yeas and 26 nays. On March 27, 2012, the House agreed to a motion to suspend the rules and pass H.R. 3606 with the Senate amendment by a record vote of 380 yeas and 41 nays. On April 5, 2012, H.R. 3606 was signed by the President and became Public Law No. 112-106. PRIVATE MORTGAGE MARKET INVESTMENT ACT\1\ --------------------------------------------------------------------------- \1\Previously listed as a discussion draft entitled ``Private Mortgage Market Investment Act.'' --------------------------------------------------------------------------- (H.R. 3644) Summary H.R. 3644, the Private Mortgage Market Investment Act, would establish uniform securitization standards to help create a new securitization market to replace the secondary-mortgage market dominated by the GSEs Fannie Mae and Freddie Mac. The uniform securitization standards set forth in the bill would foster transparency and legal certainty, attracting investors to the U.S. mortgage market without creating a government guarantee that puts taxpayers at risk for bailing out investors in the multi-trillion dollar mortgage market. Legislative History On December 13, 2011, H.R. 3644 was introduced by Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett and referred to the Committee on Financial Services. The bill has six cosponsors. On November 3, 2011, the Subcommittee held a legislative hearing on a draft of the bill entitled ``H.R.___, the Private Mortgage Market Investment Act.'' The Subcommittee received testimony from the following witnesses: Mr. Edward J. DeMarco, Acting Director, Federal Housing Finance Administration; Mr. Tom Deutsch, Director, American Securitization Forum; Mr. Martin Hughes, President and Chief Executive Officer, Redwood Trust, Inc.; Ms. Janneke Ratcliffe, Executive Director, Center for Community Capital, University of North Carolina at Chapel Hill; and Mr. Peter Wallison, Arthur Burns Fellow in Financial Policy Studies, American Enterprise Institute. On December 7, 2011, the Subcommittee held a legislative hearing on a draft of the bill entitled ``H.R.___, the Private Mortgage Market Investment Act, Part 2.'' The Subcommittee received testimony from the following witnesses: Mr. Chris Katopis, Executive Director, Association of Mortgage Investors; Dr. Mark Calabria, Director of Financial Regulation Studies, Cato Institute; Mr. Mark Fleming, Chief Economist, CoreLogic; Mr. David H. Stevens, President and CEO, Mortgage Bankers Association; Mr. Tom Salomone, Real Estate II, Inc., on behalf of the National Association of Realtors; and Dr. William Poole, Distinguished Fellow in Residence, University of Delaware. On December 14, 2011, the Subcommittee met in open session and ordered a discussion draft of H.R. 3644, as amended, favorably reported to the Committee by a record vote of 18 yeas and 15 nays. IMPROVING SECURITY FOR INVESTORS AND PROVIDING CLOSURE ACT OF 2012 (H.R. 4002) Summary H.R. 4002, the Improving Security for Investors and Providing Closure Act of 2012, would amend the SIPA to authorize the SIPC to propose a settlement to investors in cases in which the SEC and SIPC disagree on whether coverage under the SIPA is appropriate. The settlement offer cannot be greater than SIPA's $500,000 protection limit, and the settlement offer must be uniform for all investors, regardless of the size of their claims. Investors would have 180 days to individually accept the settlement offered by SIPC. Investors who settle with SIPC would be prohibited from making further claims against SIPC. Legislative History On February 9, 2012, H.R. 4002 was introduced by Representative Bill Cassidy and referred to the Committee on Financial Services. The bill has 12 cosponsors. On March 7, 2012, the Subcommittee held a legislative hearing on H.R. 4002 entitled ``The Securities Investor Protection Corporation: Past, Present, and Future.'' The Subcommittee received testimony from the following witnesses: The Honorable David Vitter, United States Senate; Mr. Stephen Harbeck, President & Chief Executive Officer, Securities Investor Protection Corporation; Ms. Sharon Bowen, Acting Chairman of the Board, Securities Investor Protection Corporation; Mr. Joe Borg, Director, Alabama Securities Commission; Mr. Steven Caruso, Partner, Maddox Hargett & Caruso, P.C.; Mr. Ira Hammerman, Senior Managing Director and General Counsel, Securities Industry and Financial Markets Association; and Mr. Ron Stein, President, Network for Investor Action and Protection. TO AMEND THE SECURITIES EXCHANGE ACT OF 1934 AND THE COMMODITY EXCHANGE ACT TO REPEAL THE INDEMNIFICATION REQUIREMENTS FOR REGULATORY AUTHORITIES TO OBTAIN ACCESS TO SWAP DATA REQUIRED TO BE PROVIDED BY SWAPS ENTITIES UNDER SUCH ACTS (H.R. 4235) Summary H.R. 4235, a bill to amend the Securities Exchange Act of 1934 and the Commodity Exchange Act to repeal the indemnification requirements for regulatory authorities to obtain access to swap data required to be provided by swaps entities under such Acts, would repeal the indemnification provisions in Sections 725, 728, and 763 of the Dodd-Frank Act to increase market transparency, facilitate global regulatory cooperation, and ensure that U.S. regulators have access to necessary swaps data from foreign data repositories, derivatives clearing organizations, and regulators. Legislative History On March 21, 2012, H.R. 4235 was introduced by Representative Robert Dold and referred to the Committee on Financial Services. The bill has eight cosponsors. On March 21, 2012, the Subcommittee held a legislative hearing on a draft of the bill entitled ``H.R. ___, the Swap Data Repository and Clearinghouse Indemnification Correction Act of 2012.'' The Subcommittee received testimony from the following witnesses: Mr. Ethiopis Tafara, Director, Office of International Affairs, SEC; Mr. Daniel Berkovitz, General Counsel, CFTC; and Mr. Donald Donahue, Chief Executive Officer, The Depository Trust & Clearing Corporation. On March 27, 2012, the Committee met in open session and ordered H.R. 4235, as amended, favorably reported to the House by voice vote. The Committee Report was filed on May 9, 2012 (H. Rept. 112-471, Part 1). INVESTMENT ADVISER OVERSIGHT ACT Summary A discussion draft offered by Chairman Spencer Bachus, the Investment Adviser Oversight Act, would adopt one of the three options presented to Congress by the SEC to improve the SEC's ability to examine registered investment advisers. The three options were presented to Congress as part of a study mandated by Section 914 of the Dodd-Frank Act, which required the SEC to study ``the need for enhanced examination and enforcement resources for investment advisers'' and report its findings to the House Financial Services and Senate Banking Committees. The discussion draft would amend the Investment Advisers Act of 1940 (Advisers Act) to provide for the creation of national investment adviser associations (NIAAs), registered with and overseen by the SEC. Investment advisers that conduct business with retail customers would have to become members of a registered NIAA. The SEC would have the authority to approve the registration of any NIAA, and the SEC would be required to determine whether an NIAA has the capacity to carry out the purposes of the Advisers Act and to enforce compliance by its members and their employees with the Advisers Act, the SEC's rules under the Act, and the NIAA's rules before the investment advisers association can register as a NIAA. Legislative History On September 13, 2011, the Subcommittee held a legislative hearing on the discussion draft, entitled ``Ensuring Appropriate Regulatory Oversight of Broker-Dealers and Legislative Proposals to Improve Investment Adviser Oversight.'' The Subcommittee received testimony from the following witnesses: Mr. William E. Dwyer III, Chairman, Financial Services Institute; Mr. Ken Ehinger, President and Chief Executive Officer, M Holdings Securities, Inc., on behalf of the Association for Advanced Life Underwriting; Mr. Terry Headley, President, National Association of Insurance and Financial Advisors; Mr. Steven D. Irwin, Commissioner, Pennsylvania Securities Commission, on behalf of the North American Securities Administrators Association; Mr. Richard G. Ketchum, Chairman and Chief Executive Officer, Financial Industry Regulatory Authority; Ms. Barbara Roper, Director of Investor Protection, Consumer Federation of America; Mr. John G. Taft, Chief Executive Officer, RBC Wealth Management, on behalf of the Securities Industry and Financial Markets Association; and Mr. David Tittsworth, Executive Director/ Executive Vice President, Investment Adviser Association. TO AMEND THE SARBANES-OXLEY ACT OF 2002 TO PROHIBIT THE PUBLIC COMPANY ACCOUNTING OVERSIGHT BOARD FROM REQUIRING PUBLIC COMPANIES TO USE SPECIFIC AUDITORS OR REQUIRE THE USE OF DIFFERENT AUDITORS ON A ROTATING BASIS Summary The draft bill would amend the Sarbanes-Oxley Act to prohibit the Public Company Accounting Oversight Board from requiring public companies to rotate their audit firms. Legislative History On March 28, 2012, the Subcommittee held a legislative hearing on the discussion draft entitled ``Accounting and Auditing Oversight: Pending Proposals and Emerging Issues Confronting Regulators, Standard Setters and the Economy.'' The Subcommittee received testimony from the following witnesses: Mr. James L. Kroeker, Chief Accountant, SEC; Mr. James R. Doty, Chairman, Public Company Accounting Oversight Board; Ms. Leslie Seidman, Chairman, Financial Accounting Standards Board; Mr. Robert Attmore, Chairman, Governmental Accounting Standards Board; Mr. Joseph Carcello, Professor, Department of Accounting and Information Management, The University of Tennessee; Mr. Gary R. Kabureck, Vice President and Chief Accounting Officer, Xerox Corporation, on behalf of Financial Executives International; Mr. Barry Melancon, President and Chief Executive Officer, American Institute of CPAs; and Mr. Tom Quaadman, Vice President, Center for Capital Markets Competitiveness, U.S. Chamber of Commerce. Subcommittee Oversight Activities GOVERNMENT SPONSORED ENTERPRISES On February 9, 2011, the Subcommittee held a hearing entitled ``GSE Reform: Immediate Steps to Protect Taxpayers and End the Bailout.'' The hearing examined proposals for reforming the housing finance system and reducing the role of government in subsidizing the mortgage market. The Subcommittee received testimony from the following witnesses: Mr. Mark Calabria, Director of Financial Regulation Studies, Cato Institute; Mr. Anthony Randazzo, Director, Economic Research, Reason Foundation; Mr. Alex Pollock, Resident Fellow, American Enterprise Institute; and Ms. Sarah Wartell, Executive Vice President, Center for American Progress. SECURITIZATION AND RISK RETENTION On April 14, 2011, the Subcommittee held a hearing entitled ``Understanding the Implications and Consequences of the Proposed Rule on Risk Retention.'' The hearing focused on the proposed rule to implement Section 941 issued by HUD, the FDIC, the Federal Reserve Board, the SEC, the FHFA, and the OCC in March 2011, particularly its implications for the availability of affordable mortgage credit and the impact the proposed rule would have on other asset classes that did not contribute to the financial crisis. The Subcommittee received testimony from the following witnesses: Mr. Scott Alvarez, General Counsel, Federal Reserve Board; Ms. Meredith Cross, Director of the Division of Corporation Finance, SEC; Mr. Michael Krimminger, General Counsel, FDIC; Ms. Julie Williams, First Senior Deputy Comptroller and Chief Counsel, OCC; Mr. Bob Ryan, Acting Commissioner, FHA; Mr. Patrick Lawler, Chief Economist and Associate Director, Office of Policy Analysis and Research, FHFA; Mr. Henry V. Cunningham, Jr., President, Cunningham & Company, on behalf of the Mortgage Bankers Association; Mr. Tom Deutsch, Executive Director, American Securitization Forum; Mr. J. Christopher Hoeffel, Managing Director, Investcorp International Inc., on behalf of the CRE Finance Council; Mr. Kevin D. Schneider, President & CEO, U.S. Mortgage Insurance, Genworth Financial, on behalf of the Mortgage Insurance Companies of America; Mr. Bram Smith, Executive Director, Loan Syndications and Trading Association; and Ms. Ellen Harnick, Senior Policy Counsel, Center for Responsible Lending. OVERSIGHT AND RESTRUCTURING OF THE SECURITIES AND EXCHANGE COMMISSION On March 10, 2011, the Subcommittee held a hearing entitled ``Oversight of the Securities and Exchange Commission's Operations, Activities, Challenges and FY 2012 Budget Request.'' The Subcommittee received testimony from the following witnesses: Mr. Robert Cook, Director, Division of Trading and Markets, SEC; Ms. Meredith Cross, Director, Division of Corporation Finance, SEC; Mr. Robert Khuzami, Director, Division of Enforcement, SEC; Ms. Eileen Rominger, Director, Division of Investment Management, SEC; and Mr. Carlo di Florio, Director, Office of Compliance Inspections and Examinations, SEC. On June 24, 2011, the Subcommittee held a hearing entitled ``Oversight of the Mutual Fund Industry: Ensuring Market Stability and Investor Confidence.'' The hearing examined the SEC's regulation of the mutual fund industry; the SEC's response to the financial crisis and the impact of the crisis on money market mutual funds; proposals to change the valuation of money market mutual funds; the SEC's proposal to improve distribution fees, also known as ``12b-1 fees;'' and the impact of the SEC's proxy rules adopted in 2010, which would permit shareholders to place nominees for directors on a company's proxy statement; and other issues of interest to mutual fund providers. The Subcommittee received testimony from the following witnesses: Mr. Mercer Bullard, Associate Professor, University of Mississippi School of Law; Mr. Andrew ``Buddy'' Donohue, Partner, Morgan Lewis & Bockius LLP; Mr. Scott Goebel, Senior Vice President, Secretary, and General Counsel, Fidelity Management & Research Company; Ms. Heidi Stam, Managing Director and General Counsel, The Vanguard Group; Mr. Paul Schott Stevens, President & CEO, Investment Company Institute; and Mr. Rene Stulz, Everett D. Reese Chair of Banking and Monetary Economics, The Ohio State University. On April 25, 2012, the Subcommittee held a hearing entitled ``Oversight of the U.S. Securities and Exchange Commission.'' This hearing examined the following topics: the regulatory priorities for the SEC in 2012; the SEC's FY 2013 budget request; the SEC's ongoing efforts to comply with Section 967 of the Dodd-Frank Act, relating to organizational reform of the SEC; the most recent report issued by GAO, GAO-12-424R, entitled, ``Management Report: Improvements Needed in SEC's Internal Controls and Accounting Procedures''; pending SEC rule proposals mandated by the Dodd-Frank Act; the SEC's plans to propose new rules for money market mutual funds; and the SEC's equity and options market structure initiatives. The Subcommittee received testimony from the Honorable Mary Schapiro, Chairman of the SEC, who was the hearing's sole witness. MORTGAGE BACKED SECURITIES MARKET On September 7, 2011, the Subcommittee held a field hearing in New York, New York entitled ``Facilitating Continued Investor Demand in the U.S. Mortgage Market Without a Government Guarantee.'' The hearing examined the conditions necessary for a private sector mortgage market to develop and thrive in the United States. Proposals to facilitate investor demand for private-label residential mortgage backed securities were also considered. The Subcommittee received testimony from the following witnesses: Mr. Martin Hughes, President and CEO, Redwood Trust, Inc.; Mr. Chris Katopis, Executive Director, Association of Mortgage Investors; Mr. Joshua Rosner, Managing Director, Graham Fisher & Co.; and Mr. Ajay Rajadhyaksha, Managing Director, Barclays Capital. VOLCKER RULE On January 18, 2012, the Subcommittee on Financial Institutions and Consumer Credit and the Subcommittee on Capital Markets and Government Sponsored Enterprises held a joint hearing entitled ``Examining the Impact of the Volcker Rule on Markets, Businesses, Investors and Job Creation.'' The hearing examined regulators' efforts to implement Section 619 of the Dodd-Frank Act, popularly known as the Volcker Rule, and the effect of the Volcker Rule on the U.S. economy, jobs, businesses and investors. The Volcker Rule directs regulators to promulgate rules prohibiting bank holding companies and their affiliates from engaging in proprietary trading and sponsoring and investing in hedge funds and private equity funds. The Subcommittee received testimony from the following witnesses: The Honorable Daniel K. Tarullo, Governor, Board of Governors of the Federal Reserve System; The Honorable Mary Schapiro, Chairman, SEC; The Honorable Gary Gensler, Chairman, CFTC; The Honorable Martin J. Gruenberg, Acting Chairman, FDIC; Mr. John Walsh, Acting Comptroller of the Currency, OCC; Mr. Anthony J. Carfang, Partner, Treasury Strategies, on behalf of the U.S. Chamber of Commerce; Mr. Douglas J. Elliott, Fellow, Economic Studies, The Brookings Institution; Mr. Scott Evans, Executive Vice President, President of Asset Management, TIAA- CREF; Prof. Simon Johnson, Ronald A. Kurtz (1954) Professor of Entrepreneurship, MIT Sloan School of Management; Mr. Alexander Marx, Head of Global Bond Trading, Fidelity Investments; Mr. Douglas J. Peebles, Chief Investment Officer and Head of Fixed Income, AllianceBernstein, on behalf of the Securities Industry and Financial Markets Association Asset Management Group; Mr. Mark Standish, President and Co-CEO, RBC Capital Markets, on behalf of the Institute of International Bankers; and Mr. Wallace Turbeville, on behalf of the Americans for Financial Reform. SECURITIES INVESTOR PROTECTION CORPORATION On March 7, 2012, the Subcommittee held a hearing entitled ``The Securities Investor Protection Corporation: Past, Present, and Future.'' This hearing examined pending and potential liquidations by the SIPC, as well as the Report and Recommendations of the SIPC Modernization Task Force, which was created by SIPC in 2010 to review the SIPA, assess SIPC's operations and policies, and propose reforms to modernize the SIPA and the SIPC. The Subcommittee received testimony from the following witnesses: The Honorable David Vitter, United States Senator; Mr. Stephen Harbeck, President & CEO, Securities Investor Protection Corporation; Ms. Sharon Bowen, Acting Chairman of the Board, Securities Investor Protection Corporation; Mr. Joe Borg, Director, Alabama Securities Commission; Mr. Steven Caruso, Partner, Maddox Hargett & Caruso, P.C.; Mr. Ira Hammerman, Senior Managing Director and General Counsel, Securities Industry and Financial Markets Association; and Mr. Ron Stein, President, Network for Investor Action and Protection. OVERSIGHT OF THE ACCOUNTING AND AUDITING INDUSTRY On March 28, 2012, the Subcommittee held a hearing entitled ``Accounting and Auditing Oversight: Pending Proposals and Emerging Issues Confronting Regulators, Standard Setters and the Economy.'' This hearing examined the state of the accounting and auditing profession, including the activities and agendas of the SEC, the Public Company Accounting Oversight Board (PCAOB), the Financial Accounting Standards Board (FASB), and the Governmental Accounting Standards Board (GASB). The Subcommittee received testimony from the following witnesses: Mr. James L. Kroeker, Chief Accountant, SEC; Mr. Robert Attmore, Chairman, Governmental Accounting Standards Board; Mr. James R. Doty, Chairman, Public Company Accounting Oversight Board; Ms. Leslie Seidman, Chairman, Financial Accounting Standards Board; Mr. Joseph Carcello, Professor, Department of Accounting and Information Management, The University of Tennessee; Mr. Gary R. Kabureck, VP & Chief Accounting Officer, Xerox Corporation; Mr. Barry Melancon, President & CEO, American Institute of CPAs; and Mr. Thomas Quaadman, Vice President, Center for Capital Markets Competitiveness, U.S. Chamber of Commerce. FEDERAL HOUSING FINANCE AGENCY'S REAL ESTATE OWNED PILOT PROGRAM On May 7, 2012, the Subcommittee held a field hearing in Chicago, Illinois, entitled ``An Examination of the Federal Housing Finance Agency's Real Estate Owned (REO) Pilot Program.'' The hearing examined the pilot program recently announced by the FHFA to dispose of REO properties. The Subcommittee received testimony from the following witnesses: Ms. Meg Burns, Senior Associate Director, Office of Housing and Regulatory Policy, FHFA; Mr. Michael Stegman, Counselor to the Secretary of the Treasury for Housing Policy, Department of the Treasury; Mr. Sean Dobson, Chairman and Chief Executive Officer, Amherst Holdings; Mr. Robert Grossinger, Vice President, Community Revitalization, Enterprise Community Partners, Inc.; Ms. Mary Kenney, Executive Director, Illinois Housing Development Authority; and Mr. Dick Pruess, Community Associations Institute. Subcommittee Hearings Held ------------------------------------------------------------------------ Serial No. Title Date(s) ------------------------------------------------------------------------ 112-2................. GSE Reform: Immediate February 9, 2011 Steps to Protect Taxpayers and End the Bailout. 112-14................ Oversight of the March 10, 2011 Securities and Exchange Commission's Operations, Activities, Challenges and FY 2012 Budget Request. 112-17................ Legislative Proposals to March 11, 2011 Create a Covered Bond Market in the United States. 112-19................ Legislative Proposals to March 16, 2011 Promote Job Creation, Capital Formation, and Market Certainty. 112-22................ Legislative Hearing on March 31, 2011 Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac. 112-27................ Understanding the April 14, 2011 Implications and Consequences of the Proposed Rule on Risk Retention. 112-29................ Legislative Proposals to May 11, 2011 Address the Negative Consequences of the Dodd- Frank Whistleblower Provisions. 112-33................ Transparency, Transition May 25, 2011 and Taxpayer Protection: More Steps to End the GSE Bailout. 112-42................ Oversight of the Mutual June 24, 2011 Fund Industry: Ensuring Market Stability and Investor Confidence. 112-56................ Facilitating Continued September 7, 2011 Investor Demand in the U.S. Mortgage Market Without a Government Guarantee (Field Hearing). 112-58................ Ensuring Appropriate September 13, 2011 Regulatory Oversight of Broker-Dealers and Legislative Proposals to Improve Investment Adviser Oversight. 112-63................ Legislative Proposals to September 21, 2011 Facilitate Small Business Capital Formation and Job Creation. 112-75................ Legislative Proposals to October 14, 2011 Bring Certainty to the Over-the-Counter Derivatives Market. 112-82................ H.R.___, the Private November 3, 2011 Mortgage Market Investment Act. 112-85................ H.R. 1697, The Communities November 16, 2011 First Act (Joint Hearing with Financial Institutions). 112-91................ H.R.___, the Private December 7, 2011 Mortgage Market Investment Act, Part 2. 112-92................ H.R. 3606, the `Reopening December 15, 2011 American Capital Markets to Emerging Growth Companies Act of 2011. 112-95................ Joint hearing with the January 18, 2012 Subcommittee on Financial Institutions and Consumer Credit entitled ``Examining the Impact of the Volcker Rule on Markets, Businesses, Investors and Job Creation''. 112-100............... Limiting the February 8, 2012 Extraterritorial Impact of Title VII of the Dodd- Frank Act. 112-105............... The Securities Investor March 7, 2012 Protection Corporation: Past, Present, and Future. 112-109............... H.R.___, the Swap Data March 21, 2012 Repository and Clearinghouse Indemnification Correction Act of 2012. 112-112............... Accounting and Auditing March 28, 2012 Oversight: Pending Proposals and Emerging Issues Confronting Regulators, Standard Setters and the Economy. 112-119............... Oversight of the U.S. April 25, 2012 Securities and Exchange Commission. 112-120............... An Examination of the May 7, 2012 Federal Housing Finance Agency's Real Estate Owned (REO) Pilot Program (Field Hearing). ------------------------------------------------------------------------ Subcommittee on Domestic Monetary Policy and Technology (Ratio: 8-6) RON PAUL, Texas, Chairman WALTER B. JONES, North Carolina, WM. LACY CLAY, Missouri, Vice Chairman Ranking Member FRANK D. LUCAS, Oklahoma CAROLYN B. MALONEY, New York PATRICK T. McHENRY, North Carolina GREGORY W. MEEKS, New York BLAINE LUETKEMEYER, Missouri AL GREEN, Texas BILL HUIZENGA, Michigan EMANUEL CLEAVER, Missouri NAN A. S. HAYWORTH, New York GARY C. PETERS, Michigan DAVID SCHWEIKERT, Arizona BARNEY FRANK, Massachusetts, SPENCER BACHUS, Alabama, ex officio ex officio Subcommittee Legislative Activities TO AMEND THE FEDERAL RESERVE ACT TO REMOVE THE MANDATE ON THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM AND THE FEDERAL OPEN MARKET COMMITTEE TO FOCUS ON MAXIMUM EMPLOYMENT (H.R. 245) Summary H.R. 245, a bill to amend the Federal Reserve Act to remove the mandate on the Board of Governors of the Federal Reserve System and the Federal Open Market Committee to focus on maximum employment, would amend the Federal Reserve Act to remove the full employment mandate. Legislative History On January 7, 2011, H.R. 245 was introduced by Representative Mike Pence and referred to the Committee on Financial Services. The bill has four cosponsors. On May 8, 2012, the Subcommittee held a legislative hearing on several bills, including H.R. 245 entitled ``Improving the Federal Reserve System: Examining Legislation to Reform the Fed and Other Alternatives.'' The Subcommittee received testimony from the following witnesses: Representative Kevin Brady (R- TX); Representative Barney Frank (D-MA); Dr. Jeffrey M. Herbener, Chairman, Economics Department, Grove City College, Pennsylvania; Dr. Peter G. Klein, Associate Professor, Applied Social Sciences and Director, McQuinn Center for Entrepreneurial Leadership, University of Missouri; Dr. John B. Taylor, Mary and Robert Raymond Professor of Economics, Stanford University and George P. Schultz Senior Fellow in Economics, Hoover Institution; Dr. James K. Galbraith, Lloyd M. Bentsen, Jr. Chair in Government/Business Relations, LBJ School of Public Affairs, University of Texas at Austin; and Dr. Alice Rivlin, Senior Fellow, Economic Studies, Brookings Institution. FEDERAL RESERVE BOARD ABOLITION ACT (H.R. 1094) Summary H.R. 1094, the Federal Reserve Board Abolition Act, would abolish the Board of Governors of the Federal Reserve System and the regional Federal Reserve Banks, and repeal the Federal Reserve Act one year after enactment of the bill, during which time the affairs of the Board and the Reserve Banks would be wound down. All remaining assets and liabilities of the Federal Reserve System would then be transferred to the Department of Treasury. Legislative History On March 15, 2011, H.R. 1094 was introduced by Subcommittee on Domestic Monetary Policy and Technology Chairman Ron Paul and referred to the Committee on Financial Services. The bill has no cosponsors. On May 8, 2012, the Subcommittee held a legislative hearing on several bills, including H.R. 1094 entitled ``Improving the Federal Reserve System: Examining Legislation to Reform the Fed and Other Alternatives.'' The Subcommittee received testimony from the following witnesses: Representative Kevin Brady (R- TX); Representative Barney Frank (D-MA); Dr. Jeffrey M. Herbener, Chairman, Economics Department, Grove City College, Pennsylvania; Dr. Peter G. Klein, Associate Professor, Applied Social Sciences and Director, McQuinn Center for Entrepreneurial Leadership, University of Missouri; Dr. John B. Taylor, Mary and Robert Raymond Professor of Economics, Stanford University and George P. Schultz Senior Fellow in Economics, Hoover Institution; Dr. James K. Galbraith, Lloyd M. Bentsen, Jr. Chair in Government/Business Relations, LBJ School of Public Affairs, University of Texas at Austin; and Dr. Alice Rivlin, Senior Fellow, Economic Studies, Brookings Institution. FREE COMPETITION IN CURRENCY ACT OF 2011 (H.R. 1098) Summary H.R. 1098, the Free Competition in Currency Act of 2011, would repeal the federal law establishing U.S. coins, currency, and Federal Reserve Notes as legal tender for all debts; prohibit the imposition of taxes on coins, medals, tokens, or gold, silver, platinum, palladium, or rhodium bullion issued by a state, the United States, a foreign government, or any other person; prohibit states from assessing any tax or fee on any currency or other monetary instrument that is used in interstate or foreign commerce and that has legal tender status under the Constitution; and repeal provisions of the federal criminal code relating to circulating coins of gold, silver, or other metal for use as current money and making or possessing likenesses of such coins; and abate any current prosecution under such provisions and nullify any previous convictions. Legislative History On March 15, 2011, H.R. 1098 was introduced by Subcommittee on Domestic Monetary Policy and Technology Chairman Ron Paul and was referred to the Committee on Financial Services, the Committee on Ways and Means, and the Committee on the Judiciary. The bill has no cosponsors. On September 13, 2011, the Subcommittee held a hearing entitled ``Road Map to Sound Money: A Legislative Hearing on H.R. 1098 and Restoring the Dollar.'' The Subcommittee received testimony from the following witnesses: Dr. Lawrence M. Parks, Ph.D., Executive Director, Foundation for the Advancement of Monetary Education; and Dr. Lawrence H. White, Ph.D., Professor of Economics, Department of Economics, George Mason University. DEMOCRATIZING THE FEDERAL RESERVE SYSTEM ACT OF 2011 (H.R. 1401) Summary H.R. 1401, the Democratizing the Federal Reserve System Act of 2011, would reduce the terms of the members of the Federal Reserve Board of Governors from 14 years to seven years. The regional Federal Reserve Banks' representation on the Federal Open Market Committee (FOMC) would be increased from five to six members, and the rotation schedule would be revised to ensure that each Reserve Bank president serves on the FOMC every other year, with the president of the Federal Reserve Bank of New York no longer holding a permanent seat on the FOMC. The Vice Chairman of the Board of Governors would be chosen from a member currently on the Board who has served at least one year on the Board. The Chairman would be chosen in the same manner, but must have served at least two years on the Board. Legislative History On April 6, 2011, H.R. 1401 was introduced by Representative Marcy Kaptur and referred to the Committee on Financial Services. The bill has two cosponsors. On May 8, 2012, the Subcommittee held a legislative hearing on several bills, including H.R. 1401 entitled ``Improving the Federal Reserve System: Examining Legislation to Reform the Fed and Other Alternatives.'' The Subcommittee received testimony from the following witnesses: Representative Kevin Brady (R- TX); Representative Barney Frank (D-MA); Dr. Jeffrey M. Herbener, Chairman, Economics Department, Grove City College, Pennsylvania; Dr. Peter G. Klein, Associate Professor, Applied Social Sciences and Director, McQuinn Center for Entrepreneurial Leadership, University of Missouri; Dr. John B. Taylor, Mary and Robert Raymond Professor of Economics, Stanford University and George P. Schultz Senior Fellow in Economics, Hoover Institution; Dr. James K. Galbraith, Lloyd M. Bentsen, Jr. Chair in Government/Business Relations, LBJ School of Public Affairs, University of Texas at Austin; and Dr. Alice Rivlin, Senior Fellow, Economic Studies, Brookings Institution. GOLD RESERVE TRANSPARENCY ACT OF 2011 (H.R. 1495) Summary H.R. 1495, the Gold Reserve Transparency Act of 2011, would direct the Secretary of the Treasury to conduct a full assay, inventory, and audit of federal gold reserves, including an analysis of the sufficiency of the measures taken for their security. The bill would also direct the GAO to review the results of the assay, inventory, audit, and analysis. Legislative History On April 12, 2011, H.R. 1495 was introduced by Subcommittee on Domestic Monetary Policy and Technology Chairman Ron Paul and was referred to the Committee on Financial Services. The bill has no cosponsors. On June 23, 2011, the Subcommittee held a legislative hearing entitled ``Investigating the Gold: H.R. 1495, the Gold Reserve Transparency Act of 2011 and the Oversight of United States Gold Holdings.'' The Subcommittee received testimony from the following witnesses: Mr. Gary T. Engel, Director of Financial Management and Assurance, GAO; and The Honorable Eric M. Thorson, Inspector General, Department of Treasury. NATIONAL EMERGENCY EMPLOYMENT DEFENSE ACT OF 2011 (H.R. 2990) Summary H.R. 2990, the National Emergency Employment Defense Act of 2011, would replace the Federal Reserve Note with United States Money (USM), which would be legal tender. The bill would also criminalize the creation of USM through fractional reserve banking and prohibit borrowing by the Treasury Secretary or by any federal agency or department from any source other than the Secretary. H.R. 2990 would also require any funding shortfalls to be met with the issuance of USM and all U.S. debt instruments to be retired by redeeming them with USM. The bill would instruct the Treasury Secretary to purchase all net assets in the Federal Reserve System, create a new Monetary Authority within the Treasury Department to establish monetary supply policy and monitor the nation's monetary status, and create a Bureau of the Federal Reserve within the Treasury Department to administer the origination and circulation of USM. H.R. 2990 would also require the Monetary Authority to instruct the Treasury Secretary to disburse monetary grants to states for public infrastructure, education, health care and rehabilitation, pensions, and paying for unfunded federal mandates, and set a ceiling on interest rates. Legislative History On September 21, 2011, H.R. 2990 was introduced by Representative Dennis Kucinich and referred to the Committee on Financial Services. The bill has one cosponsor. On May 8, 2012, the Subcommittee held a legislative hearing on several bills, including H.R. 2990 entitled ``Improving the Federal Reserve System: Examining Legislation to Reform the Fed and Other Alternatives.'' The Subcommittee received testimony from the following witnesses: Representative Kevin Brady (R- TX); Representative Barney Frank (D-MA); Dr. Jeffrey M. Herbener, Chairman, Economics Department, Grove City College, Pennsylvania; Dr. Peter G. Klein, Associate Professor, Applied Social Sciences and Director, McQuinn Center for Entrepreneurial Leadership, University of Missouri; Dr. John B. Taylor, Mary and Robert Raymond Professor of Economics, Stanford University and George P. Schultz Senior Fellow in Economics, Hoover Institution; Dr. James K. Galbraith, Lloyd M. Bentsen, Jr. Chair in Government/Business Relations, LBJ School of Public Affairs, University of Texas at Austin; and Dr. Alice Rivlin, Senior Fellow, Economic Studies, Brookings Institution. TO AMEND THE FEDERAL RESERVE ACT TO REPLACE THE FEDERAL OPEN MARKET COMMITTEE MEMBERS REPRESENTING THE FEDERAL RESERVE BANKS WITH ADDITIONAL MEMBERS APPOINTED BY THE PRESIDENT, AND FOR OTHER PURPOSES. (H.R. 3428) Summary H.R. 3428, a bill to amend the Federal Reserve Act to replace the Federal Open Market Committee members representing the Federal Reserve banks with additional members appointed by the President, and for other purposes, would replace the five Reserve Bank presidents who sit on the FOMC with FOMC members appointed by the President and confirmed by the Senate. FOMC members would be selected with due regard to a fair representation of the financial, agricultural, industrial, commercial, consumer, and labor interests, and geographical diversity of the U.S. No more than one additional member would be allowed to be appointed from any particular Federal Reserve district. Legislative History On November 15, 2011, H.R. 3428 was introduced by Representative Barney Frank and referred to the Committee on Financial Services. The bill has no cosponsors. On May 8, 2012, the Subcommittee held a legislative hearing on several bills, including H.R. 3428 entitled ``Improving the Federal Reserve System: Examining Legislation to Reform the Fed and Other Alternatives.'' The Subcommittee received testimony from the following witnesses: Representative Kevin Brady (R- TX); Representative Barney Frank (D-MA); Dr. Jeffrey M. Herbener, Chairman, Economics Department, Grove City College, Pennsylvania; Dr. Peter G. Klein, Associate Professor, Applied Social Sciences and Director, McQuinn Center for Entrepreneurial Leadership, University of Missouri; Dr. John B. Taylor, Mary and Robert Raymond Professor of Economics, Stanford University and George P. Schultz Senior Fellow in Economics, Hoover Institution; Dr. James K. Galbraith, Lloyd M. Bentsen, Jr. Chair in Government/Business Relations, LBJ School of Public Affairs, University of Texas at Austin; and Dr. Alice Rivlin, Senior Fellow, Economic Studies, Brookings Institution. CENTS AND SENSIBILITY ACT (H.R. 3693) Summary H.R. 3693, the Cents and Sensibility Act, would require pennies to be made primarily from steel and to be copper- colored so that pennies would resemble one-cent coins currently in use. The bill also directs that the steel used to make these coins be produced in the United States, unless U.S.-produced steel is not available in sufficient and reasonably available quantities. Legislative History On December 15, 2011, H.R. 3693 was introduced by Representative Steve Stivers and referred to the Committee on Financial Services. The bill has two cosponsors. On April 17, 2012, the Subcommittee held a legislative hearing on H.R. 3693 entitled ``The Future of Money: Coinage Production.'' The Subcommittee received testimony from the following witnesses: Mr. John Blake, Executive Vice President of Engineering, Cummins Allison Corporation; Mr. Rodney J. Bosco, Director, Disputes and Investigations, Navigant Consulting, Inc.; and Mr. Dennis Weber, coin industry consultant. SAVING TAXPAYER EXPENDITURES BY EMPLOYING LESS IMPORTED NICKEL ACT (H.R. 3694) Summary H.R. 3694, the Saving Taxpayer Expenditures by Employing Less Imported Nickel Act, would require that nickels be made primarily of steel and that they have a color similar to the current five-cent coin. The bill would also direct that the steel used to make these coins be produced in the United States, unless U.S.-produced steel is not available in sufficient quantities. H.R. 3694 would prohibit the Secretary of the Treasury from choosing a specification that would require more than one change to coin-accepting and coin- handling equipment to accommodate coins produced under the Act. The bill would also prohibit the Secretary from choosing a composition that would permit a foreign coin with a lesser value, or any token or any other metal device of minimal value, to be used in place of the new coin. Legislative History On December 15, 2011, H.R. 3694 was introduced by Representative Steve Stivers and referred to the Committee on Financial Services. The bill has two cosponsors. On April 17, 2012, the Subcommittee held a legislative hearing on H.R. 3694 entitled ``The Future of Money: Coinage Production.'' The Subcommittee received testimony from the following witnesses: Mr. John Blake, Executive Vice President of Engineering, Cummins Allison Corporation; Mr. Rodney J. Bosco, Director, Disputes and Investigations, Navigant Consulting, Inc.; and Mr. Dennis Weber, coin industry consultant. SOUND DOLLAR ACT OF 2012 (H.R. 4180) Summary H.R. 4180, the Sound Dollar Act of 2012, would establish the long-term price stability as the Federal Reserve's single mandate, direct the Federal Reserve Board and the FOMC to define long-term price stability, and establish metrics by which to measure the achievement of long-term price stability-- in consideration of or with respect to various indices and asset prices. The bill would also require the Federal Reserve to establish a clear lender of last resort policy, expand voting membership of the FOMC to include a representative from each of the 12 regional Federal Reserve Banks, and direct the FOMC to release meeting transcripts no later than three years after each meeting. H.R. 4180 would (1) limit asset purchases by the Federal Reserve to government bonds only, with a maturity of less than six months, (2) permit other assets to be purchased in unusual and exigent circumstances upon a vote of two-thirds of the FOMC members, (3) divest the Exchange Stabilization Fund of all non-Special Drawing Right (SDR) assets so that it holds only SDRs and no other assets for foreign exchange, and (4) subject the CFPB to the Congressional appropriations process. Legislative History On March 8, 2012, H.R. 4180 was introduced by Representative Kevin Brady and referred to the Committee on Financial Services. The bill has 39 cosponsors. On May 8, 2012, the Subcommittee held a legislative hearing on H.R. 4180 entitled ``Improving the Federal Reserve System: Examining Legislation to Reform the Fed and Other Alternatives.'' The Subcommittee received testimony from the following witnesses: Representative Kevin Brady (R-TX); Representative Barney Frank (D-MA); Dr. Jeffrey M. Herbener, Chairman, Economics Department, Grove City College, Pennsylvania; Dr. Peter G. Klein, Associate Professor, Applied Social Sciences and Director, McQuinn Center for Entrepreneurial Leadership, University of Missouri; Dr. John B. Taylor, Mary and Robert Raymond Professor of Economics, Stanford University and George P. Schultz Senior Fellow in Economics, Hoover Institution; Dr. James K. Galbraith, Lloyd M. Bentsen, Jr. Chair in Government/Business Relations, LBJ School of Public Affairs, University of Texas at Austin; and Dr. Alice Rivlin, Senior Fellow, Economic Studies, Brookings Institution. Subcommittee Oversight Activities THE ECONOMY AND JOBS On February 9, 2011, the Subcommittee held a hearing entitled ``Can Monetary Policy Really Create Jobs?'' The focus of the hearing was the effectiveness of Federal Reserve policy in creating jobs. The purpose of the hearing was twofold: first, to examine whether the Federal Reserve is meeting, or ever could meet, its mandates of maintaining stable prices and high employment when prices and employment rates are high; and second, to examine whether the Fed's accommodative monetary policy has implications for long-term employment prospects. The Subcommittee received testimony from the following witnesses: Dr. Thomas J. DiLorenzo, Professor of Economics, Sellinger School of Business, Loyola University; Dr. Richard Vedder, Professor of Economics, Ohio University; and Dr. Josh Bivens, Economic Policy Institute, Washington, D.C. MONETARY POLICY AND RISING PRICES On March 17, 2011, the Subcommittee held a hearing entitled ``The Relationship of Monetary Policy and Rising Prices.'' The purpose of the hearing was to examine whether the stimulative monetary policy the Federal Reserve has recently engaged in will trigger inflation. The Subcommittee received testimony from the following witnesses: Mr. Lewis E. Lehrman, Senior Partner, L.E. Lehrman & Co; Mr. James Grant, Editor, Grant's Interest Rate Observer; and Professor Joseph T. Salerno, Pace University. BULLION COIN PROGRAMS On April 7, 2011, the Subcommittee held a hearing entitled ``Bullion Coin Programs of the United States Mint: Can They Be Improved?'' The purpose of the hearing was to examine possible improvements to the Mint's bullion programs. The Subcommittee received testimony from the following witnesses: Beth Deisher, Editor, Coin World Magazine; Terrence Hanlon, President, Dillon Gage Metals Division; Ross Hansen, Founder, Northwest Territorial Mint; and Raymond Nessim, Chief Executive Officer, Manfra, Tordella & Brookes, Inc. MONETARY POLICY AND THE DEBT CEILING On May 11, 2011, the Subcommittee held a hearing entitled ``Monetary Policy and the Debt Ceiling: Examining the Relationship between the Federal Reserve and Government Debt.'' The purpose of the hearing was to examine the role that the federal government's debt plays in the central bank's monetary policy decision making and the effect of that role on the budget deficit. The hearing focused on examining the link between the Federal Reserve and government debt, including whether the Treasury Department can increase the government debt as the Federal Reserve increases the monetary base; how the Federal Reserve purchases government debt to conduct monetary policy; the role of the Federal Reserve in financing government budget deficits; the impact of current monetary and fiscal policy on the cost of financing the government's debt; and the issue of raising the debt ceiling. The Subcommittee received testimony from the following witnesses: Dr. Richard Ebeling, Professor of Economics, Northwood University; Mr. Bert Ely, Ely & Company, Inc.; and Dr. Matthew J. Slaughter, Dean, Tuck School of Business, Dartmouth College. GENERAL OVERSIGHT OF THE FEDERAL RESERVE SYSTEM On June 1, 2011, the Subcommittee held a hearing entitled ``Federal Reserve Lending Disclosure: FOIA, Dodd-Frank, and the Data Dump.'' The hearing examined information disclosed by the Federal Reserve in compliance with the Dodd-Frank Act and the FOIA. The Subcommittee received testimony from the following witnesses: Mr. Scott G. Alvarez, General Counsel, Board of Governors of the Federal Reserve System; and Mr. Thomas C. Baxter, Jr., General Counsel, Federal Reserve Bank of New York. On October 4, 2011, the Subcommittee held a hearing entitled ``Audit the Fed: Dodd-Frank, QE3, and Federal Reserve Transparency.'' The purpose of this hearing was to examine the results of the audits of the Federal Reserve by the GAO mandated by the Dodd-Frank Act; earlier legislative efforts to audit the Federal Reserve; current Federal Reserve audit and data disclosure requirements; and Federal Reserve transparency. The Subcommittee received testimony from the following witnesses: Ms. Orice Williams Brown, Managing Director, Financial Markets and Community Investment, GAO; Dr. Robert D. Auerbach, Professor of Public Affairs, Lyndon B. Johnson School of Public Affairs, University of Texas, Austin; and Dr. Mark A. Calabria, Director of Financial Regulation Studies, Cato Institute. CONDUCT OF MONETARY POLICY BY THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM On July 26, 2011, the Subcommittee held a hearing entitled ``Impact of Monetary Policy on the Economy: A Regional Fed Perspective on Inflation, Unemployment, and QE3.'' The purpose of the hearing was to receive a regional Federal Reserve Bank perspective on inflation, unemployment, monetary policy actions and the possibility of further liquidity operations. The Subcommittee received testimony from Federal Reserve Bank of Kansas City President Thomas Hoenig, who was the sole witness. On March 27, 2012, the Subcommittee held a hearing entitled ``Federal Reserve Aid to the Eurozone: Its Impact on the U.S. and the Dollar.'' The Subcommittee received testimony from the following witnesses: Mr. William C. Dudley, President and Chief Executive Officer, Federal Reserve Bank of New York; and Dr. Steven B. Kamin, Director, Division of International Finance, Board of Governors of the Federal Reserve System. This hearing was held to identify any Federal Reserve assistance to the Eurozone during its sovereign debt crisis. The primary focus of the hearing was on reciprocal currency swap arrangements with the central banks of Europe, England, Switzerland, Japan, and Canada that the Federal Reserve entered into in an effort to alleviate liquidity pressures. The witnesses also discussed their views on the effects these swap lines have had on both the U.S. and EU economies. Subcommittee Hearings Held ------------------------------------------------------------------------ Serial No. Title Date(s) ------------------------------------------------------------------------ 112-3................. Can Monetary Policy Really February 9, 2011 Create Jobs?. 112-20................ The Relationship of March 17, 2011 Monetary Policy and Rising Prices. 112-25................ Bullion Coin Programs of April 7, 2011 the United States Mint: Can They Be Improved?. 112-28................ Monetary Policy and the May 11, 2011 Debt Ceiling: Examining the Relationship Between the Federal Reserve and Government Debt. 112-35................ Federal Reserve Lending June 1, 2011 Disclosure: FOIA, Dodd- Frank, and the Data Dump. 112-41................ Investigating the Gold: June 23, 2011 H.R. 1495, the Gold Reserve Transparency Act of 2011 and the Oversight of the United States Gold Holdings. 112-50................ Impact of the Monetary July 26, 2011 Policy on the Economy: A Regional Fed Perspective on Inflation, Unemployment, and QE3. 112-59................ Road Map to Sound Money: A September 13, 2011 Legislative Hearing on H.R. 1098 and Restoring the Dollar. 112-67................ Audit the Fed: Dodd-Frank, October 4, 2011 QE3, and Federal Reserve Transparency. 112-111............... Federal Reserve Aid to the March 27, 2012 Eurozone: Its Impact on the U.S. and the Dollar. 112-117............... The Future of Money: April 17, 2012 Coinage Production. 112-121............... Improving the Federal May 8, 2012 Reserve System: Examining Legislation to Reform the Fed and Other Alternatives. ------------------------------------------------------------------------ Subcommittee on Financial Institutions and Consumer Credit (Ratio: 17-13) SHELLEY MOORE CAPITO, West Virginia, Chairman JAMES B. RENACCI, Ohio, Vice Chairman CAROLYN B. MALONEY, New York, EDWARD R. ROYCE, California Ranking Member DONALD A. MANZULLO, Illinois LUIS V. GUTIERREZ, Illinois WALTER B. JONES, North Carolina MELVIN L. WATT, North Carolina JEB HENSARLING, Texas GARY L. ACKERMAN, New York PATRICK T. McHENRY, North Carolina RUBEN HINOJOSA, Texas THADDEUS G. McCOTTER, Michigan CAROLYN McCARTHY, New York KEVIN McCARTHY, California JOE BACA, California STEVAN PEARCE, New Mexico BRAD MILLER, North Carolina LYNN A. WESTMORELAND, Georgia DAVID SCOTT, Georgia BLAINE LUETKEMEYER, Missouri NYDIA M. VELAZQUEZ, New York BILL HUIZENGA, Michigan GREGORY W. MEEKS, New York SEAN P. DUFFY, Wisconsin STEPHEN F. LYNCH, Massachusetts FRANCISCO ``QUICO'' CANSECO, Texas JOHN CARNEY, Jr., Delaware MICHAEL G. GRIMM, New York BARNEY FRANK, Massachusetts, STEPHEN LEE FINCHER, Tennessee ex officio SPENCER BACHUS, Alabama, ex officio Subcommittee Legislative Activities RESPONSIBLE CONSUMER FINANCIAL PROTECTION REGULATIONS ACT OF 2011 (H.R. 1121) Summary H.R. 1121, the Responsible Consumer Financial Protection Regulations Act of 2011, would amend Section 1011 of the Dodd- Frank Act, by replacing the Director of the CFPB with a five- person Commission. The CFPB Commission would be empowered to prescribe regulations and issue orders to implement laws within the CFPB's jurisdiction. One of the five seats on the CFPB Commission would be filled by the Vice Chairman for Supervision of the Federal Reserve System. Each of the four remaining members of the Commission would be appointed by the President; no more than two of those four Commissioners may be from the same political party. Although the Chair of the Commission would fulfill the executive and administrative functions of the CFPB, the Chair's discretion would be bounded by policies set by the whole Commission. Legislative History On March 16, 2011, H.R. 1121 was introduced by Chairman Spencer Bachus and referred to the Committee on Financial Services. The bill has 35 cosponsors. On March 16, 2011, the Subcommittee held a legislative hearing on H.R. 1121 entitled ``Oversight of the Consumer Financial Protection Bureau.'' Ms. Elizabeth Warren, Special Advisor to the Secretary of the Treasury for the CFPB, Department of the Treasury, testified. On April 6, 2011, the Subcommittee held a legislative hearing on H.R. 1121 entitled ``Legislative Proposals to Improve the Structure of the Consumer Financial Protection Bureau.'' The Subcommittee received testimony from the following witnesses: Ms. Leslie R. Andersen, President and Chief Executive Officer, Bank of Bennington on behalf of the American Bankers Association; Ms. Lynette W. Smith, President and Chief Executive Officer, Washington Gas Light FCU on behalf of the National Association of Federal Credit Unions; Mr. Jess Sharp, Executive Director, Center for Capital Markets Competitiveness, U.S. Chamber of Commerce; Mr. Hilary Shelton, Director, NAACP Washington Bureau and Senior VP for Advocacy and Policy, NAACP; Mr. Noah H. Wilcox, President and Chief Executive Officer, Grand Rapids State Bank on behalf of the Independent Community Bankers of America; Mr. Rod Staatz, President and Chief Executive Officer, SECU of Maryland on behalf of the Credit Union National Association; Mr. Richard Hunt, President, Consumer Bankers Association; and Prof. Adam J. Levitin, Georgetown University Law Center. On May 4, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by a record vote of 13 yeas and 7 nays. On May 12, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a record vote of 33 yeas and 24 nays. The Committee Report (Part 1) was filed on June 16, 2011 (H. Rept. 112-107), and Part 2 of the Committee Report was filed on July 19, 2011 (H. Rept. 112-107, Part 2). On July 21, 2011, the House considered the Committee Print of H.R. 1315, which included the text of H.R. 1121 and H.R. 1667, and passed the bill, with amendments, by a record vote of 241 yeas and 173 nays. CONSUMER FINANCIAL PROTECTION SAFETY AND SOUNDNESS IMPROVEMENT ACT OF 2011 (H.R. 1315) Summary H.R. 1315, the Consumer Financial Protection Safety and Soundness Improvement Act of 2011, would amend Section 1023 of the Dodd-Frank Act to streamline the FSOC's review and oversight of CFPB rules and regulations that may undermine the safety and soundness of U.S. financial institutions. The bill would make three major changes: (1) it would lower the threshold required to set aside regulations from a two-thirds vote of the FSOC's voting membership to a simple majority, excluding the CFPB Director; (2) it would clarify that the FSOC must set aside any CFPB regulation that is inconsistent with the safe and sound operations of U.S. financial institutions; and (3) it would eliminate the 45-day time limit for the FSOC to review and vote on regulations. Legislative History On April 1, 2011, H.R. 1315 was introduced by Representative Sean Duffy and was referred to the Committee on Financial Services. The bill has 4 cosponsors. On March 16, 2011, the Subcommittee held a legislative hearing on a draft of H.R. 1315 entitled ``Oversight of the Consumer Financial Protection Bureau.'' Ms. Elizabeth Warren, Special Advisor to the Secretary of the Treasury for the CFPB, Department of the Treasury, testified. On April 6, 2011, the Subcommittee held a legislative hearing on H.R. 1315 entitled ``Legislative Proposals to Improve the Structure of the Consumer Financial Protection Bureau.'' The Subcommittee received testimony from the following witnesses: Ms. Leslie R. Andersen, President and Chief Executive Officer, Bank of Bennington on behalf of the American Bankers Association; Ms. Lynette W. Smith, President and Chief Executive Officer, Washington Gas Light FCU on behalf of the National Association of Federal Credit Unions; Mr. Jess Sharp, Executive Director, Center for Capital Markets Competitiveness, U.S. Chamber of Commerce; Mr. Hilary Shelton, Director, NAACP Washington Bureau and Senior VP for Advocacy and Policy, NAACP; Mr. Noah H. Wilcox, President and Chief Executive Officer, Grand Rapids State Bank on behalf of the Independent Community Bankers of America; Mr. Rod Staatz, President and Chief Executive Officer, SECU of Maryland on behalf of the Credit Union National Association; Mr. Richard Hunt, President, Consumer Bankers Association; and Prof. Adam J. Levitin, Georgetown University Law Center. On May 4, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by a record vote of 13 yeas and 9 nays. On May 12, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a record vote of 35 yeas and 22 nays. The Committee Report (Part 1) was filed on May 25, 2011 (H. Rept. 112-89), and Part 2 of the Committee Report was filed on July 19, 2011 (H. Rept. 112-89, Part 2). On July 21, 2011, the House considered H.R. 1315 and passed the bill, with amendments, by a record vote of 241 yeas and 173 nays. BUREAU OF CONSUMER FINANCIAL PROTECTION ACCOUNTABILITY AND TRANSPARENCY ACT OF 2011 (H.R. 1355) Summary H.R. 1355, the Bureau of Consumer Financial Protection Accountability and Transparency Act of 2011, would amend the Dodd-Frank Act to make the funding of the CFPB more transparent and to make the CFPB accountable to Congress and the President for its spending. H.R. 1355 would (1) move the CFPB from the Federal Reserve System to the Department of the Treasury, where it would no longer be an agency autonomous from the executive branch; (2) place the CFPB's compensation structure under the federal government's General Schedule; (3) revoke the automatic and unreviewable annual funding of the CFPB by the Federal Reserve Board; (4) subject the CFPB to the regular authorization, budget, and appropriations process of the Department of the Treasury; and (5) repeal the establishment of the Consumer Financial Protection Fund and the Consumer Financial Civil Penalty Fund. Legislative History On April 4, 2011, H.R. 1355 was introduced by Subcommittee on Oversight and Investigations Chairman Randy Neugebauer and referred to the Committee on Financial Services. The bill has two cosponsors. On February 8, 2012, the Subcommittee held a legislative hearing on H.R. 1355 entitled ``Legislative Proposals to Promote Accountability and Transparency at the Consumer Financial Protection Bureau.'' The Subcommittee received testimony from the following witnesses: Mr. Michael J. Hunter, Chief Operating Officer, American Bankers Association; Mr. Andrew J. Pincus, Partner, Mayer Brown LLP, on behalf of the U.S. Chamber of Commerce; Mr. Chris Stinebert, President and Chief Executive Officer, American Financial Services Association; and Mr. Arthur E. Wilmarth, Jr., Professor of Law, The George Washington University. SMALL BUSINESS LENDING ENHANCEMENT ACT OF 2011 (H.R. 1418) Summary H.R. 1418, the Small Business Lending Enhancement Act of 2011, would raise the cap on member business lending for qualified credit unions to 27.5 percent of the credit union's total assets. To qualify, a credit union would be required to: (1) Have member business loans outstanding at the end of each of the four consecutive quarters preceding application, in a total amount of not less than 80 percent of the statutory limit; (2) be well-capitalized; (3) demonstrate five years' experience of sound underwriting and servicing of member business loans; (4) have experience in managing member business loans; and (5) satisfy standards for safe and sound operations. The bill also would require the NCUA to develop a tiered approval process within six months of the legislation's enactment under which insured credit unions issuing member business loans are restricted from increasing their lending by more than 30 percent per year. H.R. 1418 would also require two studies. It would direct the NCUA to study the types of credit unions that engage in member business lending, the characteristics of these loans, and the types of businesses that benefit from them, and report its findings to Congress. The NCUA would also be required to analyze the effect of expanded business lending on the safety and soundness of the National Credit Union Share Insurance Fund and the credit union system. H.R. 1418 would also direct the GAO to study member business lending, including trends, types, and amounts of loans as well as the effects of H.R. 1418 on small business lending. The GAO would be required to report its findings to Congress within three years, along with any legislative recommendations. Legislative History On April 7, 2011, H.R. 1418 was introduced by Representative Edward Royce and was referred to the Committee on Financial Services. The bill has 104 cosponsors. On October 12, 2011, the Subcommittee held a legislative hearing on H.R. 1418 entitled ``H.R. 1418: The Small Business Lending Enhancement Act of 2011.'' The Subcommittee received testimony from the following witnesses: The Honorable Deborah Matz, Chairman, National Credit Union Administration; Mr. Sal Marranca, President and Chief Executive Officer, Cattaraugus County Bank, on behalf of the Independent Community Bankers of America; Mr. Albert C. Kelly, Jr., President and Chief Executive Officer, SpiritBank; Chairman-Elect, American Bankers Association; Mr. Gary Grinnell, President and Chief Executive Officer, Corning Credit Union, on behalf of the National Association of Federal Credit Unions; Mr. Jeff York, President and Chief Executive Officer, Coasthills Federal Credit Union, on behalf of the Credit Union National Association; and Mr. Mike Hanson, President and Chief Executive Officer, Massachusetts Credit Union Share Insurance Corporation. CONSUMER RENTAL PURCHASE AGREEMENT ACT (H.R. 1588) Summary H.R. 1588, the Consumer Rental Purchase Agreement Act, would define rental purchase transactions, create uniform national disclosure standards for rent-to-own businesses, and prohibit certain practices. The bill would define a number of terms pertaining to rental purchase transactions, including a ``rental-purchase agreement,'' which exclude credit sales and consumer leases (as defined by the Truth in Lending Act). H.R. 1588 would also (1) require rent-to-own merchants to include certain disclosures about the transaction in their rental- purchase agreements; (2) specify the rights of consumers to acquire ownership of the property and request a statement of their account; (3) specify provisions that are prohibited from appearing in rental-purchase agreements; (4) include standards governing renegotiations and extensions of rental-purchase agreements; (5) mandate disclosures for both point-of-rental and advertising; (6) permit consumers to take civil action against any merchant that fails to comply with the requirements in the bill; (7) require the Federal Reserve Board to prescribe mandated regulations; (8) establish that the bill's requirements would be enforced by the Federal Trade Commission and that enforcement actions could also be brought by any state attorney general; and (9) establish criminal liability for those merchants that willfully and knowingly give false or inaccurate information or fail to make any required disclosures under the bill. The consumer protections contained in H.R. 1588 would generally exceed those contained in existing state laws, but H.R. 1588 would not preempt stronger state laws. The bill would, however, preclude states from treating rental-purchase transactions as credit sales and from requiring the disclosure of an annual percentage rate. Legislative History On April 15, 2011, H.R. 1588 was introduced by Representative Francisco ``Quico'' Canseco and was referred to the Committee on Financial Services. The bill has 112 cosponsors. On July 26, 2011, the Subcommittee held a legislative hearing on H.R. 1588 entitled ``Examining Rental Purchase Agreements and the Potential Role for Federal Regulation.'' The Subcommittee received testimony from the following witnesses: Charles Harwood, Deputy Director, Bureau of Consumer Protection, Federal Trade Commission; Jim Hawkins, Assistant Professor of Law, University of Houston Law Center; Roy Soto, Owner, Premier Rental Purchase; Vivian Saunders, rent-to-own customer from Lewiston Woodville, NC; and Margot Freeman Saunders, Of Counsel, National Consumer Law Center. On November 17, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by a voice vote. On May 31, 2012, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a vote of 33 yeas and 21 nays. BUREAU OF CONSUMER FINANCIAL PROTECTION TRANSFER CLARIFICATION ACT (H.R. 1667) Summary H.R. 1667, the Bureau of Consumer Financial Protection Transfer Clarification Act, would amend Section 1062 of the Dodd-Frank Act. The Dodd-Frank Act shifts consumer protection functions to the CFPB from the Federal Reserve, the FDIC, the NCUA, the OCC, the OTS and HUD. H.R. 1667 would delay any further transfer of powers until the later of the following: (1) July 21, 2011; or (2) the date on which the Director of the CFPB is confirmed by the Senate. Legislative History On May 2, 2011, H.R. 1667 was introduced by Subcommittee on Financial Institutions and Consumer Credit Chairman Shelley Moore Capito and was referred to the Committee on Financial Services. The bill has 14 cosponsors. On March 16, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing on a draft of H.R. 1667 entitled ``Oversight of the Consumer Financial Protection Bureau.'' Ms. Elizabeth Warren, Special Advisor to the Secretary of the Treasury for the CFPB, Department of the Treasury, testified. On April 6, 2011, the Subcommittee held a legislative hearing on H.R. 1667 entitled ``Legislative Proposals to Improve the Structure of the Consumer Financial Protection Bureau.'' The Subcommittee received testimony from the following witnesses: Ms. Leslie R. Andersen, President and Chief Executive Officer, Bank of Bennington on behalf of the American Bankers Association; Ms. Lynette W. Smith, President and Chief Executive Officer, Washington Gas Light FCU on behalf of the National Association of Federal Credit Unions; Mr. Jess Sharp, Executive Director, Center for Capital Markets Competitiveness, U.S. Chamber of Commerce; Mr. Hilary Shelton, Director, NAACP Washington Bureau and Senior VP for Advocacy and Policy, NAACP; Mr. Noah H. Wilcox, President and Chief Executive Officer, Grand Rapids State Bank on behalf of the Independent Community Bankers of America; Mr. Rod Staatz, President and Chief Executive Officer, SECU of Maryland on behalf of the Credit Union National Association; Mr. Richard Hunt, President, Consumer Bankers Association; and Prof. Adam J. Levitin, Georgetown University Law Center. On May 4, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by a record vote of 13 yeas and 8 nays. On May 12, 2011, the Committee held a markup and ordered the bill favorably reported to the House by a record vote of 32 yeas and 26 nays. The Committee Report, Part 1, was filed on May 27, 2011 (H. Rept. 112-93), and Part 2 was filed on July 19, 2011 (H. Rept. 112-93, Part 2). On July 14, 2011, the Rules Committee issued a Committee Print of H.R. 1315, which included the text of H.R. 1121 and H.R. 1667. On July 21, 2011, the House considered H.R. 1315 and passed the bill, with amendments, by a record vote of 241 yeas and 173 nays. COMMUNITIES FIRST ACT (H.R. 1697) Summary H.R. 1697, the Communities First Act, would reduce regulatory, paperwork, and tax burdens on small banks. The bill would revise regulatory requirements for community banks by (1) amending the Federal Deposit Insurance Act to permit certain insured depository institutions to submit a short-form report of condition; (2) amending the Sarbanes-Oxley Act to exempt certain small-sized depository institutions from the annual management assessment of internal controls requirements; (3) amending the Truth in Lending Act to exempt from escrow or impound account requirements any loan secured by a first lien on a consumer's principal dwelling, if the loan is held by a creditor with assets of $10 billion or less; and (4) amending the Gramm-Leach-Bliley Act to exempt certain financial institutions from furnishing a mandatory annual privacy notice. The bill would also amend the Securities Exchange Act to direct the SEC: (1) to ensure that information, documents, and reports accurately and appropriately reflect the business model of a registered security issuer; (2) to approve any new or amended generally accepted accounting principle only if it would have no negative economic impact on certain small-sized insured depository institutions; (3) to increase the shareholder registration threshold for certain banks and bank holding companies. The bill would also amend the Dodd-Frank Act: (1) to authorize the FSOC to set aside a final regulation prescribed by the CFPB if the Council decides that it would be inconsistent with the safe and sound operation of U.S. financial institutions, or could have a disproportionate negative impact on a subset of the banking industry; and (2) to repeal the authority of the Federal Reserve Board to delegate to the CFPB its authority to examine persons for compliance with federal consumer financial laws. For the purposes of capital calculation, the bill authorizes specified institutions: (1) To amortize losses or write-downs on a quarterly basis over a 10-year period; and (2) to average, over a five-year period, the appraised value of any real estate securing a loan held by the institution. Legislative History On May 3, 2011, H.R. 1697 was introduced by Representative Blaine Luetkemeyer and was referred to the Committee on Financial Services. The bill has 55 cosponsors. On November 16, 2011, the Subcommittees on Financial Institutions and Consumer Credit and Capital Markets and Government Sponsored Enterprises held a joint legislative hearing on H.R. 1697 entitled ``H.R. 1697, The Communities First Act.'' The Subcommittees received testimony from the following witnesses: Mr. Salvatore Marranca, President and Chief Executive Officer, Cattaraugus County Bank on behalf of the Independent Community Bankers Association; Mr. O. William Cheney, President and Chief Executive Officer, Credit Union National Association; Mr. John A. Klebba, President and Chief Executive Officer, Legends Bank, on behalf of the Missouri Bankers Association; Mr. Fred Becker, Jr., President and Chief Executive Officer, National Association of Federal Credit Unions; Mr. Arthur E. Wilmarth, Jr., Professor of Law, George Washington University, Executive Director, Center for Law, Economics and Finance; Mr. Damon Silvers, Director, Policy and Special Counsel, American Federation of Labor and Congress of Industrial Organizations; and Mr. Adam J. Levitin, Professor of Law, Georgetown University Law Center. COMMONSENSE ECONOMIC RECOVERY ACT OF 2011 (H.R. 1723) Summary H.R. 1723, the Common Sense Economic Recovery Act of 2011, would allow financial institutions to treat certain loans that would have otherwise been classified on a nonaccrual basis as ``accrual loans.'' In contrast to the subjective standards examiners rely on, the bill would allow a bank to classify loans, including modified mortgages, as accrual loans if they meet the following criteria: (1) The loans are current; (2) no payments were more than 30 days delinquent during the last six months; (3) the loans are amortizing; and (4) payments are not being made through an interest reserve account. The bill would forbid banking regulators from imposing additional capital requirements on loans that would be treated as accrual loans under this bill. The bill would require the FSOC to study the issue of any contradictory guidance from federal banking agencies on loan classification and capital requirements. The bill would sunset two years after the date of enactment. Legislative History On May 4, 2011, H.R. 1723 was introduced by Representative Bill Posey and was referred to the Committee on Financial Services. The bill has 52 cosponsors. On July 8, 2011, the Subcommittee held a hearing on H.R. 1723 entitled ``Legislative Proposals Regarding Bank Examination Practices.'' The Subcommittee received testimony from the following witnesses: Mr. James H. McKillop, President and CEO, Independent Bankers Bank of Florida on behalf of the Independent Community Bankers of America; Mr. Michael Whalen, President and CEO, Heart of America Group; Professor Simon Johnson, The Ronald A. Kurtz, Professor of Entrepreneurship at the Massachusetts Institute of Technology's Sloan School of Management; Mr. George French, Deputy Director, Division of Risk Management Supervision of the FDIC; and Ms. Jennifer Kelly, Senior Deputy Comptroller for Mid-Size/Community Bank Supervision of the OCC. On November 17, 2011, the Subcommittee met in open session to consider H.R. 1723. The motion to favorably report H.R. 1723, as amended, to the Committee was not agreed to and the Committee did not order the bill, as amended, favorably reported to the Committee by a record vote of 8 yeas and 10 nays. TO AMEND THE FEDERAL DEPOSIT INSURANCE ACT TO REPLACE THE DIRECTOR OF THE BUREAU OF CONSUMER FINANCIAL PROTECTION WITH THE CHAIRMAN OF THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM AS A MEMBER OF THE BOARD OF DIRECTORS OF THE FEDERAL DEPOSIT INSURANCE CORPORATION (H.R. 2081) Summary H.R. 2081, a bill to amend the Federal Deposit Insurance Act to replace the Director of the Bureau of Consumer Financial Protection with the Chairman of the Board of Governors of the Federal Reserve System as a member of the Board of Directors of the Federal Deposit Insurance Corporation, would amend the Federal Deposit Insurance Act and replace the Director of the CFPB with the Chairman of the Board of Governors of the Federal Reserve System as a member of the FDIC's Board of Directors. Legislative History On June 1, 2011, H.R. 2081 was introduced by Representative James Renacci and referred to the Committee on Financial Services. The bill has 11 cosponsors. On February 8, 2012, the Subcommittee held a legislative hearing on H.R. 2081 entitled ``Legislative Proposals to Promote Accountability and Transparency at the Consumer Financial Protection Bureau.'' The Subcommittee received testimony from the following witnesses: Mr. Michael J. Hunter, Chief Operating Officer, American Bankers Association; Mr. Andrew J. Pincus, Partner, Mayer Brown LLP, on behalf of the U.S. Chamber of Commerce; Mr. Chris Stinebert, President and Chief Executive Officer, American Financial Services Association; and Mr. Arthur E. Wilmarth, Jr., Professor of Law, The George Washington University. TO INSTRUCT THE INSPECTOR GENERAL OF THE FEDERAL DEPOSIT INSURANCE CORPORATION TO STUDY THE IMPACT OF INSURED DEPOSITORY INSTITUTION FAILURES, AND FOR OTHER PURPOSES (H.R. 2056) Summary H.R. 2056, a bill to instruct the Inspector General of the Federal Deposit Insurance Corporation (FDIC) to study the impact of insured depository institution failures, would require the FDIC's Inspector General to study issues raised by bank failures in states that have had more than ten such failures since 2008. The study would cover the following subjects: (1) The use and effect of shared loss agreements; (2) the significance of paper losses; (3) the success of FDIC field examiners in implementing FDIC guidelines regarding workouts of commercial real estate; (4) the application and impact of consent orders and cease and desist orders; (5) the impact of FDIC policies on raising capital; and (6) the FDIC's involvement in private equity investment. The bill would also instruct the GAO to study: (1) the causes of bank failures in states with 10 or more failures since 2008; (2) the procyclical impact of fair value accounting standards; (3) the causes and potential solutions for the cycle of loan write downs, raising capital, and failures; and (4) the impact of bank failures upon the community. Legislative History On May 31, 2011, H.R. 2056 was introduced by Representative Lynn Westmoreland and was referred to the Committee on Financial Services. The bill has 13 cosponsors. On July 8, 2011, the Subcommittee held a hearing on H.R. 2056 entitled ``Legislative Proposals Regarding Bank Examination Practices.'' The Subcommittee received testimony from the following witnesses: James H. McKillop, President and CEO, Independent Bankers Bank of Florida on behalf of the Independent Community Bankers of America; Michael Whalen, President and CEO, Heart of America Group; and Professor Simon Johnson, The Ronald A. Kurtz, Professor of Entrepreneurship at the Massachusetts Institute of Technology's Sloan School of Management; George French, Deputy Director, Division of Risk Management Supervision of the FDIC; and Jennifer Kelly, Senior Deputy Comptroller for Mid-Size/Community Bank Supervision of the OCC. On July 20, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on July 26, 2011 (H. Rept. 112-182). On July 28, 2011, the House considered H.R. 2056 under suspension of the rules, and passed the bill, as amended, by voice vote. On November 17, 2011, the Senate considered H.R. 2056 and passed the bill, with amendments, by Unanimous Consent. On December 20, 2011, the House considered the Senate amendments to H.R. 2056 under suspension of the rules, and agreed to the amendments by Unanimous Consent. On January 3, 2012, H.R. 2056 was signed by the President and became Public Law No. 112-088. TO AMEND THE DODD-FRANK WALL STREET REFORM AND CONSUMER PROTECTION ACT TO ADJUST THE DATE ON WHICH CONSOLIDATED ASSETS ARE DETERMINED FOR PURPOSES OF EXEMPTING CERTAIN INSTRUMENTS OF SMALLER INSTITUTIONS FROM CAPITAL DEDUCTIONS (H.R. 3128) Summary H.R. 3128, a bill to amend the Dodd-Frank Wall Street Reform and Consumer Protection Act to Adjust the Date on which Consolidated Assets are Determined for Purposes of Exempting Certain Instruments of Smaller Institutions from Capital Deductions, would amend the Dodd-Frank Act to add March 31, 2010, as a date for calculation of total consolidated assets, for purposes of exempting certain debt or equity instruments of smaller financial institutions from capital deduction requirements. Legislative History On October 6, 2011, H.R. 3128 was introduced by Representative Michael Grimm and was referred to the Committee on Financial Services. The bill has eight cosponsors. On May 18, 2012, the Subcommittee held a hearing that discussed H.R. 3128, entitled ``The Impact of the Dodd-Frank Act: Understanding Heightened Regulatory Capital Requirements.'' The Subcommittee received testimony from Mr. Daniel McCardell, Senior Vice President and Head of Regulatory Affairs, The Clearing House, and Mr. Richard Wald, Chief Regulatory Officer, Emigrant Bank. On May 31, 2012, the Committee met in open session and ordered the bill favorably reported to the House by a vote of 35 yeas and 15 nays. FINANCIAL INSTITUTIONS EXAMINATION FAIRNESS AND REFORM ACT (H.R. 3461) Summary H.R. 3461, the Financial Institutions Examination and Fairness and Reform Act, would amend the Federal Financial Institutions Examination Council Act of 1978 to require federal financial institution regulatory agencies to make a final examination report to a financial institution within 60 days of the later of: (1) The exit interview for an examination of the institution or (2) the provision of additional information by the institution relating to the examination. The bill would set a deadline for the exit interview if a financial institution is not subject to a resident examiner program. H.R. 3461 would set forth examination standards for financial institutions. It would prohibit federal financial institution regulatory agencies from requiring well capitalized financial institutions to raise additional capital in lieu of an action prohibited by the examination standards. The bill would also establish an Office of Examination Ombudsman within the Federal Financial Institutions Examination Council. H.R. 3461 would grant a financial institution the right to appeal a material supervisory determination contained in a final report of examination. The bill would require the Ombudsman to determine the merits of the appeal on the record, after an opportunity for a hearing before an independent administrative law judge. It would declare the decision by the Ombudsman on an appeal to be the final agency action, and bind the agency whose supervisory determination was the subject of the appeal and the financial institution making the appeal. H.R. 3461 would amend the Riegle Community Development and Regulatory Improvement Act of 1994 to require: (1) the CFPB to establish an independent intra-agency appellate process in connection with the regulatory appeals process; and (2) appropriate safeguards to protect an insured depository institution or insured credit union from retaliation by the CFPB, the NCUA Board, or any other federal banking agency for exercising its rights. Legislative History On November 17, 2011, H.R. 3461 was introduced by Subcommittee on Financial Institutions and Consumer Credit Chairman Shelley Moore Capito and referred to the Committee on Financial Institutions. The bill has 169 cosponsors. On February 1, 2012, the Subcommittee held a legislative hearing on H.R. 3461 entitled ``H.R. 3461, the Financial Institutions Examination Fairness and Reform Act.'' The Subcommittee received testimony from the following witnesses: Mr. Kevin M. Bertsch, Associate Director of the Division of Banking Supervision and Regulation, Board of Governors of the Federal Reserve System; Ms. Sandra L. Thompson, Director of the Division of Risk Management Supervision, FDIC; Mr. David M. Marquis, Executive Director, National Credit Union Administration; Ms. Jennifer Kelly, Senior Deputy Comptroller for Mid-Size/Community Bank Supervision, OCC; Mr. Albert C. Kelly, Jr., President and CEO, SpiritBank on behalf of the American Bankers Association; Mr. Kenneth Watts, President and CEO, West Virginia Credit Union League on behalf of the Credit Union National Association; Mr. Noah Wilcox, President and CEO, Grand Rapids State Bank on behalf of the Independent Community Bankers of America; Ms. Jeanne Kucey, President and CEO, JetStream Federal Credit Union on behalf of the National Association of Federal Credit Unions; and Mr. Eugene Ludwig, Founder and Chief Executive Officer, Promontory Financial Group, LLC. PROPRIETARY INFORMATION PROTECTION ACT OF 2012 (H.R. 3871) Summary H.R. 3871, the Proprietary Information Protection Act of 2012, would amend the Federal Deposit Insurance Act to provide certainty to financial institutions that a production of information compelled by the CFPB will not waive either the attorney-client privilege or work-product immunity. In addition, H.R. 3871 would provide that any privileged material that the CFPB shares with other federal agencies remains privileged. Legislative History On February 1, 2012, H.R. 3871 was introduced by Representative Bill Huizenga and referred to the Committee on Financial Services. The bill has 4 cosponsors. On February 8, 2012, the Subcommittee held a legislative hearing on H.R. 3871 entitled ``Legislative Proposals to Promote Accountability and Transparency at the Consumer Financial Protection Bureau.'' The Subcommittee received testimony from the following witnesses: Mr. Michael J. Hunter, Chief Operating Officer, American Bankers Association; Mr. Andrew J. Pincus, Partner, Mayer Brown LLP, on behalf of the US Chamber of Commerce; Mr. Chris Stinebert, President and Chief Executive Officer, American Financial Services Association; and Mr. Arthur E. Wilmarth, Jr., Professor of Law, The George Washington University. TO AMEND THE FEDERAL DEPOSIT INSURANCE ACT WITH RESPECT TO INFORMATION PROVIDED TO THE BUREAU OF CONSUMER FINANCIAL PROTECTION (H.R. 4014) Summary To provide certainty that the production of information compelled by the CFPB will not waive either the attorney-client privilege or work-product immunity, H.R. 4014 would amend the Federal Deposit Insurance Act to make explicit that the production of privileged materials to the CFPB does not waive these privileges as to third parties. H.R. 4014 would amend the Federal Deposit Insurance Act to make the CFPB a ``covered agency'' that may share information with another covered agency or any other federal agency without waiving any privilege applicable to the information. The bill would prohibit the submission of information to the CFPB in the course of its supervisory or regulatory process from being construed as waiving, destroying, or affecting any privilege that may be claimed with respect to such information under federal or state law as to any person or entity other than the CFPB, another federal banking agency, a state bank supervisor, or a foreign banking authority. Legislative History On February 13, 2012, H.R. 4014 was introduced by Representative Bill Huizenga and was referred to the Committee on Financial Services. The bill has four cosponsors. On February 8, 2012, the Subcommittee held a legislative hearing entitled ``Legislative Proposals to Promote Accountability and Transparency at the Consumer Financial Protection Bureau'' which examined a version of a bill, H.R. 3871, to provide certainty to financial institutions that a production of information compelled by the CFPB will not waive attorney-client privilege or work-product immunity. The Subcommittee received testimony from the following witnesses: Mr. Michael G. Hunter, Chief Operating Officer, American Bankers Association; Mr. Andrew J. Pincus, Partner, Mayer Brown LLP on behalf of the US Chamber of Commerce; Mr. Chris Stinebert, President and CEO, American Financial Services Association; and Prof. Arthur E. Wilmarth, Jr., Professor of Law, Executive Director, Center for Law, Economics & Finance, George Washington University Law School. On February 16, 2012, the Committee met in open session and ordered the bill favorably reported to the House by voice vote. The Committee report was filed on March 20, 2012 (H. 112-417). On March 26, 2012, the House agreed to a motion to suspend the rules and pass H.R. 4014 by voice vote. Subcommittee Oversight Activities INTERCHANGE FEES On February 17, 2011, the Subcommittee held a hearing entitled ``Understanding the Federal Reserve's Proposed Rule on Interchange Fees: Implications and Consequences of the Durbin Amendment.'' The hearing examined the Federal Reserve Board's December 16, 2010 proposed rule to implement Section 1075 of the Dodd-Frank Act, relating to the fees charged to merchants when processing debit card transactions. The Subcommittee received testimony from the following witnesses: Sarah Raskin, Member, Federal Reserve Board of Governors; Frank Michael, President and CEO of Allied Credit Union on behalf of the Credit Union National Association; David Kemper, Chairman, President & CEO of Commerce Bank on behalf of the American Bankers Association and the Consumer Bankers Association; Doug Kantor, Partner, Steptoe & Johnson on behalf of the Merchant Payments Coalition; Josh Floum, General Counsel, Visa; and David Seltzer, Vice President and Treasurer of 7-Eleven on behalf of the Retail Industry Leaders Association. REGULATORY BURDEN REDUCTION On March 2, 2011, the Subcommittee held a hearing entitled ``The Effect of Dodd-Frank on Small Financial Institutions and Small Businesses,'' to address the challenges faced by community-based financial institutions and their small business clientele from the implementation of the Dodd-Frank Act. The hearing focused on the effectiveness of the Dodd-Frank Act's exemptions for institutions with less than $10 billion in assets, particularly the exemption from the CFPB's examination and enforcement authority. In addition, the hearing examined the link between the effects of the Dodd-Frank Act on small institutions and the ability of small businesses to secure loans. The Subcommittee received testimony from the following witnesses: Albert C. Kelly, Jr., President and Chief Executive Officer, Spirit Bank, on behalf of the American Bankers Association; John Buckley, President and Chief Executive Officer, Gerber Federal Credit Union on behalf of the National Association of Federal Credit Unions; O. William Cheney, President and Chief Executive Officer, Credit Union National Association; Chris Stinebert, President and Chief Executive Officer, American Financial Services Association; James D. MacPhee, Chairman, Independent Community Bankers of America; Peter Skillern, Executive Director, Community Reinvestment Association of North Carolina; Jess Sharp, Executive Director, Center for Capital Markets Competiveness, U.S. Chamber of Commerce; Robert Nielsen, Chairman of the Board, National Association of Home Builders; John M. Schaible, Chairman, Atlas Federal; and David Borris, Main Street Alliance. On March 1, 2012, the Subcommittee held a hearing entitled ``Understanding the Effects of the Repeal of Regulation Q on Financial Institutions and Small Businesses.'' The hearing examined the effect of Regulation Q's repeal on the funding costs of banks, the demand for interest-bearing checking accounts, the ability of smaller banks to compete for deposits against larger ones, and the credit costs for businesses and consumers. The Subcommittee received testimony from Mr. Cliff McCauley, Senior Executive Vice President of Frost Bank, and Mr. Alex J. Pollock, Resident Fellow at the American Enterprise Institute. On March 14, 2012, the Subcommittee held a field hearing in San Antonio, Texas, entitled ``An Examination of the Challenges Facing Community Financial Institutions in Texas,'' to examine the effect of new financial regulations on the ability of financial institutions to extend credit and stimulate job growth. The hearing also examined the effects of excessively stringent federal bank examinations on the economic recovery. The Subcommittee received testimony from the following witnesses: Mr. Robert Glenn, President and Chief Executive Officer, Air Force Federal Credit Union; Mr. George Hansard, President, Pecos County State Bank; Ms. Maria Martinez, President and Chief Executive Officer, Border Federal Credit Union; Mr. Cliff McCauley, Senior Executive Vice President, Frost Bank; Mr. Les Parker, Chairman, President and Chief Executive Officer, United Bank of El Paso de Norte; Mr. Ignacio Urrabazo, Jr., President, Commerce Bank; and Ms. Janie Barrera, President and Chief Executive Officer, Accion Texas Inc. On April 16, 2012, the Subcommittee held a field hearing in Cleveland, Ohio, entitled ``An Examination of the Challenges Facing Community Financial Institutions in Ohio,'' to hear from representatives from Ohio-based financial institutions about the effect of new financial regulations on their ability to extend credit and stimulate job growth, while staying economically viable. The hearing also examined the effect of federal bank examination policies and procedures--examinations that some financial institutions contend may be overzealous--on economic recovery. The Subcommittee received testimony from the following witnesses: Mr. Stan Barnes, Chief Executive Officer, CSE Federal Credit Union; Mr. Bill Blake, Senior Vice President and Associate General Counsel, KeyBank; Mr. G. Courtney Haning, Chairman, President and Chief Executive Officer, Peoples National Bank; Mr. Steven Fireman, President and General Counsel, Economic and Community Development Institute; and Mr. Martin Cole, President and Chief Executive Officer, Andover Bank. On May 9, 2012, the Subcommittee held a hearing entitled ``Rising Regulatory Compliance Costs and Their Impact on the Health of Small Financial Institutions.'' The hearing examined the efforts of prudential regulators to ensure that new regulations do not unnecessarily constrain the financial services industry, as well as the plans of financial institutions for remaining viable in the face of rising regulatory costs. The Subcommittee received testimony from the following witnesses: Mr. William Grant, Chairman, President and Chief Executive Officer, First United Bank & Trust; Mr. Ed Templeton, President and Chief Executive Officer, SRP Federal Credit Union; Mr. Samuel Vallandingham, Vice President and Chief Information Officer, First State Bank; Mr. Terry West, President and Chief Executive Officer, VyStar Credit Union; Mr. Adam Levitin, Professor of Law, Georgetown University Law Center; and Mr. Mike Calhoun, President, Center of Responsible Lending. FDIC OVERSIGHT On May 26, 2011, the Subcommittee held a hearing entitled ``FDIC Oversight: Examining and Evaluating the Role of the Regulator during the Financial Crisis and Today.'' The Honorable Sheila C. Bair, Chairman of the FDIC, was the only witness. The hearing focused on issues pertaining to the Deposit Insurance Fund, bank capital requirements, consumer financial protection initiatives, debit interchange fees, the designation of systemically important financial institutions, the authority to resolve failed financial institutions, the Dodd-Frank Act's regulatory impact on financial institutions of varying sizes, and mortgage servicing practices. ``TOO BIG TO FAIL'' On June 14, 2011, the Subcommittee held a hearing entitled ``Does the Dodd-Frank Act End `Too Big to Fail?''' The purpose of the hearing was to learn more about whether the FDIC's Orderly Liquidation Authority, as created by the Dodd-Frank Act, is appropriately structured to end taxpayer bailouts for the largest financial institutions. The Subcommittee received testimony from the following witnesses: Mr. Michael H. Krimminger, General Counsel of the FDIC; Ms. Christy Romero, Acting Special Inspector General, Office of the Special Inspector General for TARP; Mr. Stephen J. Lubben, Daniel J. Moore Professor of Law, Seton Hall University School of Law; and Mr. Michael Barr, Professor of Law, University of Michigan Law School. MORTGAGE SERVICING STANDARDS On July 7, 2011, the Subcommittees on Financial Institutions and Consumer Credit and Oversight and Investigations held a joint hearing entitled ``Mortgage Servicing: An Examination of the Role of Federal Regulators in Settlement Negotiations and the Future of Mortgage Servicing Standards.'' The purpose of the hearing was to review the role of Federal regulators in the ongoing mortgage servicing settlement negotiations and the development of new mortgage servicing standards. The Subcommittees received testimony from the following witnesses: Ms. Julie Williams, First Senior Deputy Comptroller and Chief Counsel of the OCC; Mr. Mark Pearce, Director, Division of Depositor and Consumer Protection at the FDIC; Mr. Raj Date, Associate Director of Research, Markets and Regulations, CFPB, U.S. Department of the Treasury; the Honorable Luther Strange, Alabama Attorney General; Mr. David Stevens, President, Mortgage Bankers Association; and Mr. Michael Calhoun, President, Center for Responsible Lending. On March 15, 2012, the Subcommittee held a field hearing in Las Vegas, Nevada, entitled ``An Examination of Potential Private Sector Solutions to Mitigate Foreclosures in Nevada.'' This hearing examined potential private-sector solutions to mitigate the wave of foreclosures that have hit the state of Nevada, which has had the nation's highest state foreclosure rate for five consecutive years. The Subcommittee received testimony from the following witnesses: Ms. Verise Campbell, Deputy Director, The State of Nevada Foreclosure Mediation Program; Mr. Leonard Chide, President/Executive Director, Neighborhood Housing Services of Southern Nevada; Ms. Janis Grady, Treasurer and Director, Nevada Association of Mortgage Professionals; Ms. Sue Longson, President and CEO, SONEPCO Federal Credit Union; and Mr. Keith Lynam, REALTOR/Sales Associate, Windermere Prestige Properties. BANK EXAMINATION STANDARDS On August 16, 2011, the Subcommittee held a field hearing in Newnan, Georgia, entitled ``Potential Mixed Messages: Is Guidance from Washington Being Implemented by Federal Bank Examiners?'' The purpose of the hearing was to assess whether or not federal bank examination standards are overly stringent and impeding an economic recovery. The hearing focused on H.R. 2056, which was introduced by Representative Lynn Westmoreland on May 31, 2011. H.R. 2056 would instruct the Inspector General of the FDIC to study the impact of insured depository institution failures and closely examine the agency's bank closure procedures. The Subcommittee received testimony from the following witnesses: Mr. Bret D. Edwards, Director, Division of Resolutions and Receiverships for the Federal Deposit Insurance Corporation; Mr. Christopher J. Spoth, Senior Deputy Director, Division of Risk Management Supervision for the Federal Deposit Insurance Corporation; Mr. Gil Barker, Southeast District Deputy Comptroller for the OCC; Mr. Kevin M. Bertsch, Associate Director, The Board of Governors of the Federal Reserve System; Mr. Chuck Copeland, CEO, First National Bank of Griffin; Mr. Michael Rossetti, President, Ravin Homes; Mr. Jim Edwards, CEO, United Bank; and Mr. Gary Fox, Former CEO, Bartow County Bank. CYBERSECURITY On September 14, 2011, the Subcommittee held a hearing entitled ``Cybersecurity: Threats to the Financial Sector.'' The purpose of the hearing was to examine the threats computer hackers pose to financial institutions and government agencies; the methods used by hackers to breach information-technology systems; and the cooperation among government agencies and the private sector to thwart hackers. The Subcommittee received testimony from the following witnesses: Mr. A.T. Smith, Assistant Director, United States Secret Service; Mr. Gordon Snow, Assistant Director of the Federal Bureau of Investigation; Mr. Greg Schaffer, Acting Deputy Under Secretary, Department of Homeland Security; Mr. William B. Nelson, President and CEO, Financial Services--Information Sharing and Analysis Center; Mr. Bryan Sartin, Director, Investigative Response, Verizon; Mr. Brian Tillett, Chief Security Strategist, Symantec; Mr. Greg Garcia, Partnership Executive for Cybersecurity and Identity Management, Bank of America; Dr. Greg Shannon, Chief Scientist, Carnegie Mellon University's Software Engineering Institute CERT Liaison Program; and Mr. Marc Rotenberg, President, Electronic Privacy Information Center. AVAILABILITY OF SHORT-TERM CREDIT On September 22, 2011, the Subcommittee held a hearing entitled ``An Examination of the Availability of Credit for Consumers.'' The purpose of the hearing was to explore the capacity of banking institutions to address the credit needs of low- and middle-income consumers. The hearing also examined alternatives to traditional banking services, including check cashing and payday lending services. The Subcommittee received testimony from the following witnesses: Mr. Barry Wides, Deputy Comptroller for Community Affairs, OCC; Mr. Robert Mooney, Deputy Director for Consumer Protection and Community Affairs, FDIC; Mr. David M. Marquis, Executive Director, National Credit Union Administration; Ms. Gerri Guzman, Executive Director, Consumer Rights Coalition; Ms. Melissa Koide, Vice President of Policy, Center for Financial Services Innovation; Mr. Ryan Gilbert, Chief Executive Officer, BillFloat; Mr. Michael Grant, President, National Bankers Association; Dr. Kimberly Manturuk, Research Associate, University of North Carolina Center for Community Capital; and Ms. Ida Rademacher, Vice President, Policy and Research, CFED--Expanding Economic Opportunity. NONRESIDENT ALIEN DEPOSIT INTEREST INCOME REPORTING On October 27, 2011, the Subcommittee held a hearing entitled ``Proposed Regulations to Require Reporting of Nonresident Alien Deposit Interest Income.'' The purpose of the hearing was to review the impact of a proposed regulation that would require financial institutions to report annually to the Internal Revenue Service the amount of interest earned by nonresident aliens on their U.S. bank deposits. In particular, the hearing considered the potential effects of the proposed regulation on nonresident alien deposits held in U.S. financial institutions and on the safety and soundness of financial institutions that hold significant amounts of these deposits. The Subcommittee received testimony from the following witnesses: Mr. J. Thomas Cardwell, Former Commissioner, Florida Office of Financial Regulation; Mr. Alejandro ``Alex'' Sanchez, President and Chief Executive Officer, Florida Bankers Association; Mr. Gerry Schwebel, Executive Vice President, International Bancshares Corporation; and Ms. Rebecca J. Wilkins, Senior Counsel, Federal Tax Policy, Citizens for Tax Justice. IMPACT OF REGULATORY REFORM On October 31, 2011, the Subcommittee held a field hearing in Wausau, Wisconsin, entitled ``Regulatory Reform: Examining How New Regulations are Impacting Financial Institutions, Small Businesses and Consumers.'' The purpose of the hearing was to assess how new financial regulations are affecting the ability of financial institutions to extend credit and stimulate job growth. The hearing examined whether bank examination practices are excessively stringent and impeding economic recovery. The Subcommittee received testimony from the following witnesses: The Honorable Al Erickson, Mayor of Mosinee, WI; Mr. Marty Reinhart, President, Heritage Bank; Mr. Todd Nagel, President, River Valley Bank; Mr. Pat Wesenberg, President and Chief Executive Officer, Central City Credit Union; Mr. Mark Willer, Chief Operating Officer, Royal Credit Union; Mr. Mark Matthiae, President, Crystal Finishing Systems; Mr. Kurt Bauer, President, Wisconsin Manufacturers and Commerce; and Ms. Bethany Sanchez, Director of Community Development, Metropolitan Milwaukee Fair Housing Council. CONSUMER FINANCIAL PROTECTION BUREAU On November 2, 2011, the Subcommittee held a hearing entitled ``The Consumer Financial Protection Bureau: The First 100 Days.'' The purpose of the hearing was to review the CFPB's budgeting, staffing, rule-writing initiatives, and the current and potential challenges facing the Bureau as well as the entities it regulates. Mr. Raj Date, Special Advisor to the Secretary of the Treasury, CFPB, was the sole witness. VOLCKER RULE On January 18, 2012, the Subcommittee on Financial Institutions and Consumer Credit and the Subcommittee on Capital Markets and Government Sponsored Enterprises held a joint hearing entitled ``Examining the Impact of the Volcker Rule on Markets, Businesses, Investors and Job Creation.'' The hearing evaluated the rule to implement Section 619 of the Dodd-Frank Act, known as the Volcker Rule, and its impact on the economy, jobs, businesses and investors. The Volcker Rule directs regulators to write and issue rules prohibiting bank holding companies and their affiliates from engaging in proprietary trading and sponsoring and investing in hedge funds and private equity funds. The subcommittee received testimony from the following witnesses: The Honorable Daniel K. Tarullo, Governor, Board of Governors of the Federal Reserve System; The Honorable Mary Schapiro, Chairman, SEC; The Honorable Gary Gensler, Chairman, CFTC; The Honorable Martin J. Gruenberg, Acting Chairman, FDIC; Mr. John Walsh, Acting Comptroller of the Currency, OCC; Mr. Anthony J. Carfang, Partner, Treasury Strategies, on behalf of the U.S. Chamber of Commerce; Mr. Douglas J. Elliott, Fellow, Economic Studies, The Brookings Institution; Mr. Scott Evans, Executive Vice President, President of Asset Management, TIAA-CREF; Prof. Simon Johnson, Ronald A. Kurtz (1954) Professor of Entrepreneurship, MIT Sloan School of Management; Mr. Alexander Marx, Head of Global Bond Trading, Fidelity Investments; Mr. Douglas J. Peebles, Chief Investment Officer and Head of Fixed Income, AllianceBernstein, on behalf of the Securities Industry and Financial Markets Association Asset Management Group; Mr. Mark Standish, President and Co-CEO, RBC Capital Markets, on behalf of the Institute of International Bankers; and Mr. Wallace Turbeville, on behalf of the Americans for Financial Reform. PAYMENT SYSTEM INNOVATIONS On March 22, 2012, the Subcommittee held a hearing entitled ``The Future of Money: How Mobile Payments Could Change Financial Services,'' to examine the technology used to conduct mobile payments, identify potential security problems, and consider whether statutory changes are necessary as mobile payment systems become more widely available. The Subcommittee received testimony from the following witnesses: Mr. Richard Oliver, co-author of the Mobile Payments in the United States-- Mapping out the Road Ahead, published by the Federal Reserve Bank of Atlanta; Mr. Troy Leach, Chief Technology Officer, PCI Security Standards Council; Mr. Ed McLaughlin, Chief Emerging Payments Officer, Global Products & Solutions, MasterCard Worldwide; Mr. Randy Vanderhoof, Executive Director, Smart Card Alliance; and Ms. Suzanne Martindale, Attorney, Consumers Union. FINANCIAL SUPERVISION On May 16, 2012, the Subcommittee held a hearing entitled ``The Impact of the Dodd-Frank Act: What It Means to be a Systemically Important Financial Institution.'' This hearing examined how the Financial Stability Oversight Council arrived at its final rule on designating companies as ``systemically important,'' and whether the designation provides firms with an advantage over their competitors. The hearing also examined the Federal Reserve's proposed rule that would apply enhanced prudential standards to designated nonbank financial companies and bank holding companies with assets of $50 billion or more. The Subcommittee received testimony from the following witnesses: Mr. Lance Auer, Deputy Assistant Secretary for Financial Institutions, Department of the Treasury; Mr. Michael Gibson, Director, Division of Banking Supervision and Regulation, Board of Governors of the Federal Reserve System; Mr. Scott Harrington, Alan B. Miller Professor, Wharton School, University of Pennsylvania; Mr. Thomas Quaadman, Vice President, Center for Capital Markets Competitiveness, U.S. Chamber of Commerce; Mr. William J. Wheeler, President, Americas, MetLife; and Mr. Douglas Elliott, Fellow, The Brookings Institution. Subcommittee Hearings Held ------------------------------------------------------------------------ Serial No. Title Date(s) ------------------------------------------------------------------------ 112-8................. Understanding the Federal February 17, 2011 Reserve's Proposed Rule on Interchange Fees: Implications and Consequences of the Durbin Amendment. 112-12................ The Effect of Dodd-Frank March 2, 2011 on Small Financial Institutions and Small Businesses. 112-18................ Oversight of the Consumer March 16, 2011 Financial Protection Bureau. 112-24................ Legislative Proposals to April 6, 2011 Improve the Structure of the Consumer Financial Protection Bureau. 112-34................ FDIC Oversight: Examining May 26, 2011 and Evaluating the Role of the Regulator During the Financial Crisis and Today. 112-37................ Does the Dodd-Frank Act June 14, 2011 End `Too Big to Fail?'. 112-44................ Mortgage Servicing: An July 7, 2011 Examination of the Role of Federal Regulators in Settlement Negotiations and the Future of Mortgage Servicing Standards (Joint Hearing with Oversight). 112-45................ Legislative Proposals July 8, 2011 Regarding Bank Examination Practices. 112-49................ Examining Rental Purchase July 26, 2011 Agreements and the Potential Role for Federal Regulation. 112-54................ Potential Mixed Messages: August 16, 2011 Is Guidance from Washington Being Implemented by Federal Bank Examiners? (Field Hearing). 112-60................ Cybersecurity: Threats to September 14, 2011 the Financial Sector. 112-65................ An Examination of the September 22, 2011 Availability of Credit for Consumers. 112-72................ H.R. 1418: The Small October 12, 2011 Business Lending Enhancement Act of 2011. 112-78................ Proposed Regulations to October 27, 2011 Require Reporting of Nonresident Alien Deposit Interest Income. 112-79................ Regulatory Reform: October 31, 2011 Examining How New Regulations are Impacting Financial Institutions, Small Businesses and Consumers (Field Hearing). 112-80................ The Consumer Financial November 2, 2011 Protection Bureau: The First 100 Days. 112-85................ H.R. 1697, The Communities November 16, 2011 First Act (Joint Hearing with Capital Markets). 112-95................ Joint hearing with the January 18, 2012 Subcommittee on Capital Markets and Government Sponsored Enterprises entitled ``Examining the Impact of the Volcker Rule on Markets, Businesses, Investors and Job Creation''. 112-97................ H.R. 3461: the Financial February 1, 2012 Institutions Examination Fairness and Reform Act. 112-99................ Legislative Proposals to February 8, 2012 Promote Accountability and Transparency at the Consumer Financial Protection Bureau. 112-104............... Understanding the Effects March 1, 2012 of the Repeal of Regulation Q on Financial Institutions and Small Businesses. 112-106............... An Examination of the March 14, 2012 Challenges Facing Community Financial Institutions in Texas (Field Hearing). 112-107............... An Examination of March 15, 2012 Potential Private Sector Solutions to Mitigate Foreclosures in Nevada (Field Hearing). 112-110............... The Future of Money: How March 22, 2012 Mobile Payments Could Change Financial Services. 112-116............... An Examination of the April 16, 2012 Challengers Facing Community Financial Institutions in Ohio. 112-122............... Rising Regulatory May 9, 2012 Compliance Costs and Their Impact on the Health of Small Financial Institutions. 112-125............... The Impact of the Dodd- May 16, 2012 Frank Act: What It Means to be a Systemically Important Financial Institution. 112-130............... The Impact of the Dodd- May 18, 2012 Frank Act: Understanding Heightened Regulatory Capital Requirements. ------------------------------------------------------------------------ Subcommittee on Insurance, Housing and Community Opportunity (Ratio: 10-8) JUDY BIGGERT, Chairman ROBERT HURT, Virginia, Vice Chairman LUIS V. GUTIERREZ, Illinois, GARY G. MILLER, California Ranking Member SHELLEY MOORE CAPITO, West Virginia MAXINE WATERS, California SCOTT GARRETT, New Jersey NYDIA M. VELAZQUEZ, New York PATRICK T. McHENRY, North Carolina EMANUEL CLEAVER, Missouri LYNN A. WESTMORELAND, Georgia WM. LACY CLAY, Missouri SEAN P. DUFFY, Wisconsin MELVIN L. WATT, North Carolina ROBERT J. DOLD, Illinois BRAD SHERMAN, California STEVE STIVERS, Ohio MICHAEL E. CAPUANO, Massachusetts SPENCER BACHUS, Alabama, ex officio BARNEY FRANK, Massachusetts, ex officio Subcommittee Legislative Activities HOMELESS CHILDREN AND YOUTH ACT OF 2011 (H.R. 32) Summary H.R. 32, the Homeless Children and Youth Act of 2011, would amend the definition of ``homeless person'' in Title I of the McKinney-Vento Homeless Assistance Act (Public Law 107-110) to include children and youth who are verified as homeless by local educational agencies or social service agencies that receive federal funding. On December 15, 2011, the Subcommittee held a hearing on the inconsistent definitions of ``homeless person'' used by different federal agencies. These inconsistent definitions make it difficult for federal agencies--most notably HUD--to accurately estimate the number of homeless persons. H.R. 32 would harmonize these definitions, which would allow HUD to better estimate the number of homeless persons who need housing assistance and services. A consistent definition of ``homeless person'' among the federal agencies would also allow more children and youth to receive housing assistance and services. Legislative History On January 5, 2011, H.R. 32 was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert and referred to the Committee on Financial Services. The bill has 29 cosponsors. On December 15, 2011, the Subcommittee held a legislative hearing on H.R. 32 entitled ``The Homeless Children and Youth Act of 2011: Proposals to Promote Economic Independence for Homeless Children and Youth.'' The Subcommittee received testimony from the following witnesses: Mr. Brandon Dunlap, Chicago, IL; Mr. Rumi Khan, 6th Grade, Lamberton Middle School, Carlisle, PA; Ms. Brittany Amber Koon, PFC, Ft. Hood, TX; Ms. Brooklyn Pastor, 7th Grade, William Paca Middle School, Shirley, NY; Ms. Destiny Raynor, 9th Grade, Winter Springs High School, Sanford, FL; Ms. Starnica Rodgers, Truman College, Chicago, IL; Ms. Alicia Puente Cackley, Director, Financial Markets and Community Investment, GAO; Mr. Seth Diamond, Commissioner, New York City Department of Homeless Services; Ms. Maria Estella Garza, Homeless Liaison, San Antonio Independent School District; Mr. Mark Johnston, Deputy Assistant Secretary for Special Needs, Office of Community Planning and Development, HUD; Ms. Barbara Poppe, Executive Director, U.S. Interagency Council on Homelessness; and Dr. Grace Whitney, PhD, MPA, IMH-E(IV), Director, Connecticut Head Start State Collaboration Office, Connecticut State Department of Education. On February 7, 2012, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. FHA REFINANCE PROGRAM TERMINATION ACT (H.R. 830) Summary H.R. 830, the FHA Refinance Program Termination Act, would rescind all unobligated balances made available for the program by Title I of the Emergency Economic Stabilization Act (12 U.S.C. 5230) that have been allocated for use under the FHA Refinance Program (pursuant to Mortgagee Letter 2010-23 of the Secretary of HUD). The bill would also terminate the program and void the Mortgagee Letter pursuant to which it was implemented, with concessions made for current participants in the program. Legislative History On February 28, 2011, H.R. 830 was introduced by Representative Robert Dold and was referred to the Committee on Financial Services. The bill has two cosponsors. On March 2, 2011, the Subcommittee held a legislative hearing on H.R. 830 and received testimony from the following witnesses: The Honorable Neil M. Barofsky, SIGTARP; The Honorable David Stevens, Assistant Secretary for Housing and Commissioner of the FHA; The Honorable Mercedes Marquez, Assistant Secretary, Community Planning and Development, HUD; Mr. Matthew J. Scire, Director, Financial Markets and Community Investment, U.S. GAO; and Ms. Katie Jones, Analyst in Housing Policy, Congressional Research Service, Library of Congress. On March 3, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 33 yeas and 22 nays. The Committee Report was filed on March 7, 2011 (H. Rept. 112-25). On March 9, 2011, the House adopted H. Res. 150, providing for the consideration of H.R. 830 under a structured rule, by a record vote of 240 yeas and 180 nays. On March 10, 2011, the House considered H.R. 830 and passed the bill, with amendments, by a record vote of 256 yeas and 171 nays. EMERGENCY MORTGAGE RELIEF PROGRAM TERMINATION ACT (H.R. 836) Summary H.R. 836, the Emergency Mortgage Relief Program Termination Act, would rescind all unobligated balances made available for the Emergency Mortgage Relief Program under section 1496(a) of the Dodd-Frank Act, which was signed into law on July 21, 2010, and terminate the program. The bill also calls for a study by HUD to identify best practices for how existing mortgage assistance programs can be applied to veterans, active duty military personnel, and their relatives. Legislative History On February 28, 2011, H.R. 836 was introduced by Representative Jeb Hensarling and was referred to the Committee on Financial Services. The bill has two cosponsors. On March 2, 2011, the Subcommittee held a legislative hearing on H.R. 830 and received testimony from the following witnesses: The Honorable Neil M. Barofsky, SIGTARP; The Honorable David Stevens, Assistant Secretary for Housing and Commissioner of the FHA; The Honorable Mercedes Marquez, Assistant Secretary, Community Planning and Development, HUD; Mr. Matthew J. Scire, Director, Financial Markets and Community Investment, U.S. GAO; and Ms. Katie Jones, Analyst in Housing Policy, Congressional Research Service, Library of Congress. On March 3, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 33 yeas and 22 nays. The Committee Report was filed on March 7, 2011 (H. Rept. 112-26). On March 9, 2011, the House adopted H. Res. 151, providing for the consideration of H.R. 836 under a structured rule, by voice vote. On March 11, 2011, the House considered H.R. 836 and passed the bill, with amendments, by a record vote of 242 yeas and 177 nays. THE HAMP TERMINATION ACT OF 2011 (H.R. 839) Summary H.R. 839, the HAMP Termination Act of 2011, would terminate the authority of the Treasury Department to provide any new assistance to homeowners under HAMP authorized under Title I of the Emergency Economic Stabilization Act (12 U.S.C. 5230), while preserving any assistance already provided to HAMP participants on a permanent or trial basis. The bill also provides for a study by the Treasury Department to identify best practices for how existing mortgage assistance programs can be applied to veterans, active duty military personnel, and their relatives. Legislative History On February 28, 2011, H.R. 839 was introduced by Representative Patrick McHenry and was referred to the Committee on Financial Services. The bill has eight cosponsors. On March 2, 2011, the Subcommittee held a legislative hearing on H.R. 830 and received testimony from the following witnesses: The Honorable Neil M. Barofsky, SIGTARP; The Honorable David Stevens, Assistant Secretary for Housing and Commissioner of the FHA; The Honorable Mercedes Marquez, Assistant Secretary, Community Planning and Development, HUD; Mr. Matthew J. Scire, Director, Financial Markets and Community Investment, U.S. GAO; and Ms. Katie Jones, Analyst in Housing Policy, Congressional Research Service, Library of Congress. On March 9, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 32 yeas and 23 nays. The Committee Report (Part 1) was filed on March 11, 2011 (H. Rept. 112-31) and Part 2 of the Committee Report was filed on March 14, 2011 (H. Rept. 112-31 Part 2). On March 16, 2011, the House adopted H. Res. 170, providing for the consideration of H.R. 839 under a structured rule, by a record vote of 241 yeas and 180 nays. On March 29, 2011, the House considered H.R. 839 and passed the bill, with amendments, by a record vote of 252 yeas and 170 nays, with 1 member voting present. NSP TERMINATION ACT (H.R. 861) Summary H.R. 861, the NSP Termination Act, would rescind all unobligated balances made available for NSP authorized by the Dodd-Frank Act and terminate the program. Legislative History On March 1, 2011, H.R. 861 was introduced by Representative Gary Miller and was referred to the Committee on Financial Services. The bill has four cosponsors. On March 2, 2011, the Subcommittee held a legislative hearing on H.R. 830 and received testimony from the following witnesses: The Honorable Neil M. Barofsky, SIGTARP; The Honorable David Stevens, Assistant Secretary for Housing and Commissioner of the FHA; The Honorable Mercedes Marquez, Assistant Secretary, Community Planning and Development, HUD; Mr. Matthew J. Scire, Director, Financial Markets and Community Investment, GAO; and Ms. Katie Jones, Analyst in Housing Policy, Congressional Research Service, Library of Congress. On March 3, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 31 yeas and 24 nays. The Committee Report (Part 1) was filed on March 11, 2011 (H. Rept. 112-32), and Part 2 of the Committee Report was filed on March 14, 2011 (H. Rept. 112-32 Part 2). On March 16, 2011, the House adopted H. Res. 170, providing for the consideration of H.R. 861 under a structured rule, by a record vote of 241 yeas and 180 nays. On March 16, 2011, the House considered H.R. 861 and passed the bill, with amendments, by a record vote of 242 yeas and 182 nays. FLOOD INSURANCE REFORM ACT OF 2011 (H.R. 1309) Summary H.R. 1309, the Flood Insurance Reform Act of 2011, would reauthorize the NFIP through September 30, 2016, and amend the National Flood Insurance Act to ensure the immediate and near- term fiscal and administrative health of the NFIP. The bill would also ensure the NFIP's continued viability by encouraging broader participation in the program, increasing financial accountability, eliminating unnecessary rate subsidies, and updating the program to meet the needs of the 21st century. The key provisions of H.R. 1309 include: (1) a five-year reauthorization of the NFIP; (2) a three-year delay in the mandatory purchase requirement for certain properties in newly designated SFHAs; (3) a phase-in of full-risk, actuarial rates for areas newly designated as Special Flood Hazard; (4) a reinstatement of the Technical Mapping Advisory Council; and (5) an emphasis on greater private sector participation in providing flood insurance coverage. Legislative History On April 1, 2011, H.R. 1309 was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert and referred to the Committee on Financial Services. The bill has nineteen cosponsors. On March 11, 2011 and April 1, 2011, the Subcommittee held legislative hearings entitled ``Legislative Proposals to Reform the National Flood Insurance Program,'' on a discussion draft of H.R. 1309. On March 11, 2011, the Subcommittee received written testimony from Craig Fugate, Administrator, FEMA and the following witnesses testified: Orice Williams Brown, Managing Director, GAO; Sally McConkey, Vice Chair, Association of State Flood Plain Managers and Manager, Coordinated Hazard Assessment and Mapping Program, Illinois State Water Survey; Sandra G. Parrillo, Chair, National Association of Mutual Insurance Companies and President and CEO of Providence Mutual; Spencer Houldin, Chair, Government Affairs Committee, Independent Insurance Agents and Brokers of America and President, Ericson Insurance Services; Steve Ellis, Vice President, Taxpayers for Common Sense, on behalf of the SmarterSafer Coalition; Donna Jallick, Vice President, Harleysville Insurance; Barry Rutenberg, First Vice Chairman, National Association of Home Builders; Frank Nutter, President, Reinsurance Association of America; Terry Sullivan, Sullivan Realty, Inc., on behalf of The National Association of Realtors; and Maurice Veissi, President-Elect, National Association of Realtors, and Principal, Veissi & Associates. On April, 1, 2011, The Honorable Craig Fugate, Administrator, FEMA, was the only witness. On April 6, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. On May 12, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by a recorded vote of 54 yeas and 0 nays. On July 12, 2011, the House considered H.R. 1309 and passed the bill, with amendments, by a record vote of 406 yeas and 22 nays. RESPA HOME WARRANTY CLARIFICATION ACT OF 2011 (H.R. 2446) Summary H.R. 2446, the RESPA Home Warranty Clarification Act of 2011, would amend current law to explicitly state that home warranties are permissible settlement services under the Real Estate Settlement Procedures Act of 1974. The bill would also require that homeowners receive a specific written notice about the payment arrangement for any individual selling, advertising, or performing a homeowner warranty inspection for the repair or replacement of home system components or appliances. Legislative History On July 7, 2011, H.R. 2446 was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert and was referred to the Committee on Financial Services. The bill has 40 cosponsors. On July 13, 2011, the Subcommittee held a legislative hearing entitled ``Mortgage Origination: The Impact of Recent Changes on Homeowners and Businesses.'' The purpose of the hearing was to examine H.R. 2446 and other issues concerning the application of mortgage origination laws and regulations which may impact consumers and mortgage industry participants. The Subcommittee received testimony from the following witnesses: the Honorable Sandra Braunstein, Director of Division of Consumer and Community Affairs for the Board of Governors of the Federal Reserve System; the Honorable Teresa Payne, HUD's Associate Deputy Assistant Secretary for Regulatory Affairs; Ms. Kelly Cochran, Deputy Assistant Director for Regulations at the Treasury Department's CFPB; Mr. James Park, Executive Director of the Appraisal Subcommittee for the Federal Financial Institutions Examination Council; Mr. William Shear, Director of Financial Markets and Community Investment for the GAO; and Ms. Anne Norton, Maryland Deputy Commissioner of Financial Regulation; Mr. Steve Brown, Executive Vice President at Crye-Leike; Mr. Henry Cunningham, Jr., President of Cunningham & Company; Mr. Tim Wilson, President of Affiliated Businesses for Long & Foster Companies; Ms. Anne Anastasi, President of Genesis Abstract and President of the American Land Title Association; Mr. Mike Anderson, President of Essential Mortgage; Mr. Marc Savitt, President of The Mortgage Center; Ms. Sara Stephens, President-Elect of the Appraisal Institute; Mr. Don Kelly, Executive Director of the Real Estate Valuation Advocacy Association; Ms. Janis Bowdler, Director of the Wealth-Building Policy Project Office of Research, Advocacy, and Legislation; and Mr. Ira Rheingold, Executive Director, National Association of Consumer Advocates. On December 8, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by voice vote. On March 27, 2012, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. HOMES FOR HEROES ACT OF 2011 (H.R. 3298) Summary H.R. 3298, the Homes for Heroes Act of 2011, would establish the position of Special Assistant for Veterans Affairs within HUD to coordinate services provided to homeless veterans and to serve as HUD's liaison to the Department of Veterans Affairs, the U.S. Interagency Council on Homelessness, state and local officials, and nonprofit service organizations. H.R. 3298 would also require HUD to submit a comprehensive annual report to Congress on the housing needs of homeless veterans and the steps undertaken by HUD to meet those needs. Legislative History On November 1, 2011, H.R. 3298 was introduced by Representative Al Green and referred to the Committee on Financial Services. The bill has 9 cosponsors. On December 8, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by voice vote. On March 27, 2012, the House agreed to a motion to suspend the rules and pass H.R. 3298 by a record vote of 414 yeas and 5 nays. INSURANCE DATA PROTECTION ACT\2\ --------------------------------------------------------------------------- \2\Previously listed as a discussion draft entitled ``To prohibit the Federal Insurance Office of the Department of the Treasury and other financial regulators from collecting data directly from insurers.'' --------------------------------------------------------------------------- (H.R. 3559) Summary H.R. 3559, the Insurance Data Protection Act, would prohibit the Federal Insurance Office (FIO) and other financial regulators from collecting data directly from insurers. Currently, Section 313 of the Dodd-Frank Act authorizes the FIO to issue subpoenas to insurance companies to produce data, and Section 153 authorizes the Office of Financial Research (OFR) to issue subpoenas to financial companies, including insurance companies, to produce data to the OFR. The draft legislation would revoke the authority of the FIO and the OFR to subpoena information from insurance companies. It would also amend the Dodd-Frank Act to require the FIO, the OFR, the FSOC, and any other federal entity seeking data about insurance companies to obtain that data through the insurance company's state regulator, another federal agency, or public source. Finally, the draft legislation would require these federal entities, as well as state regulators, to maintain the confidentiality of nonpublic data obtained from or shared with other federal and state regulators. Legislative History On December 5, 2011, H.R. 3559 was introduced by Representative Steve Stivers and referred to the Committee on Financial Services. The bill has 3 cosponsors. On November 16, 2011, the Subcommittee held a legislative hearing entitled ``Insurance Oversight and Legislative Proposals'' to examine a draft version of H.R. 3559 as well as the effect of the Dodd-Frank Act's changes to the regulation of insurance. The Subcommittee heard testimony from the following witnesses: Mr. Joseph Torti, III, Deputy Director and Superintendent of Insurance and Banking for the State of Rhode Island; Mr. Michael Lanza, Executive Vice President and General Counsel of the Selective Insurance Group, Inc.; Mr. Steven Monroe, Chief Compliance Officer for the U.S. and Canada for Marsh, Inc.; and Mr. Daniel Schwarcz, Associate Professor at the University of Minnesota Law School. On December 8, 2011, the Subcommittee met in open session and ordered the bill favorably reported to the Committee by a record vote of 7 yeas and 5 nays. FHA EMERGENCY FISCAL SOLVENCY ACT OF 2012\3\ --------------------------------------------------------------------------- \3\Previously listed as a discussion draft entitled ``FHA-Rural Regulatory Improvement Act of 2011.'' --------------------------------------------------------------------------- (H.R. 4264) Summary H.R. 4264, the FHA Emergency Fiscal Solvency Act of 2012, would (1) assist the FHA to shore up the MMIF, (2) establish minimum annual premiums for mortgage insurance, (3) require lenders that committed fraud to pay the FHA back for mortgage- insurance losses, (4) bar unscrupulous lenders from participating in FHA's mortgage insurance programs, and (5) direct the FHA to implement internal fiscal oversight. In 2011, the Financial Services Committee held three hearings on the FHA that focused on its fiscal condition. By statute, the FHA is required to maintain a capital reserve ratio of 2%. In 2009, the FHA's capital reserve ratio had fallen to .53%, and in 2010 to .50%. In the FY 2011 independent actuarial review of the FHA, the FHA's required capital reserve ratio had fallen to .24%, far below the statutorily mandated reserve ratio of 2%. The FHA's deteriorating financial condition has raised concerns that the FHA may soon become insolvent and expose taxpayers to further risk of loss, just as Fannie Mae and Freddie Mac did before they were placed in conservatorship. The FY 2011 independent actuarial review also found that the economic value of the MMIF had declined more than 77 percent from the end of fiscal year 2010, from $5.16 billion to $1.19 billion. If home prices continue to fall, the MMIF's economic value could fall below zero, which in turn may prompt HUD to draw down funds from Treasury under the Treasury's ``permanent and indefinite'' appropriations authority to support the FHA fund, further exposing taxpayers to the risk of loss. Legislative History On March 27, 2012, H.R. 4264 was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert and was referred to the Committee on Financial Services. The bill has no cosponsors. On May 25, 2011, the Subcommittee held a hearing entitled ``Legislative Proposals to Determine the Future Role of FHA, RHS and GNMA in the Single-and Multi-Family Mortgage Markets.'' The hearing focused on the FHA's and Rural Housing Service's single- and multi-family programs and examined legislative proposals to improve the financial condition of the FHA, the RHS and Ginnie Mae and to better protect taxpayers against losses from fraudulent or poorly-underwritten loans. The Subcommittee received testimony from the following witnesses: Ms. Katherine M. Alitz, President, Council for Affordable and Rural Housing; Mr. Michael D. Berman, Chairman, Mortgage Bankers Association; Mr. Mark A. Calabria, Director of Financial Regulation Studies, Cato Institute; Mr. Peter Carey, Director of Self-Help Housing Enterprises, Inc.; Mr. Brian Chappelle, Partner, Potomac Partners; Mr. Peter W. Evans, Partner, Moran and Company; Mr. Basil Petrou, Managing Partner, Federal Financial Analytics, Inc.; Mr. Ron Phipps, President, Phipps Realty; and Mr. Barry Rutenberg, First Vice Chairman, National Association of Home Builders. On September 8, 2011, the Subcommittee held a hearing entitled ``Legislative Proposals to Determine the Future Role of FHA, RHS and GNMA in the Single- and Multi-Family Mortgage Markets, Part 2.'' This hearing examined the single- and multi- family programs of the FHA and the RHS. The hearing also examined legislative proposals to improve the financial condition of the FHA, the RHS, and Ginnie Mae and to better protect taxpayers against losses from fraudulent or poorly- underwritten loans. The Subcommittee received testimony from the following witnesses: The Honorable Johnny Isakson (R-GA), United States Senate; Mrs. Carol Galante, Acting FHA Commissioner and Assistant Secretary for Housing, HUD; Ms. Cheryl Cook, Deputy Under Secretary for Rural Development, Department of Agriculture; and The Honorable Theodore ``Ted'' Tozer, President, Government National Mortgage Association. On February 7, 2012, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. On March 27, 2012, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. THE AFFORDABLE HOUSING AND SELF SUFFICIENCY ACT OF 2012\4\ --------------------------------------------------------------------------- \4\Previously listed as a discussion draft entitled ``Section 8 Savings Act of 2011.'' --------------------------------------------------------------------------- (Section 8 Savings Act of 2011) Summary The Affordable Housing and Self Sufficiency Improvement Act of 2012 would expand opportunities for low-income families that receive housing assistance to achieve self-sufficiency, and reduce the costs of the HUD's affordable housing programs. The bill would implement proposals examined at three Subcommittee hearings in 2011 that would streamline duplicative or onerous regulations and help foster self-sufficiency among recipients of housing assistance. The bill would also implement a proposal put forth by the Administration known as the Rental Assistance Demonstration (RAD), which would allow public housing authorities to preserve affordable housing stock by converting public housing units to long-term Section 8 contracts. The bill would help improve the delivery of services to participants in affordable housing programs (such as public housing and housing-choice voucher programs) and the administrators of these programs. Legislative History On June 23, 2011, the Subcommittee held a hearing on the Affordable Housing and Self Sufficiency Improvement Act entitled ``Legislative Proposals to Reform the Housing Choice Voucher Program.'' The Subcommittee received testimony from the following witnesses: The Honorable Sandra B. Henriquez, Assistant Secretary, Office of Public and Indian Housing, HUD; Mr. Tony G Bazzie, Executive Director, Housing Authority of Raleigh County, WV, on behalf of the National Association of Housing and Redevelopment Officials; Ms. Linda Couch, Senior Vice President for Policy, National Low Income Housing Coalition, Washington, DC; Ms. Roberta Graham, Vice President, Housing Choice Voucher Services, Quadel Consulting, Washington, DC.; Mr. Tory Gunsolley, President/CEO, Housing Authority of the City of Houston, TX, on behalf of the Council of Large Public Housing Authorities; Mr. P. Curtis Hiebert, Chief Executive Officer, Keene, NH Housing Authority on behalf of the Public Housing Authorities Directors Association; Mr. Alex Sanchez, Executive Director, Housing Authority of the County of Santa Clara, CA on behalf of the National Leased Housing Association; and Ms. Barbara Sard, Vice President for Housing Policy, Center on Budget and Policy Priorities, Washington, DC. The focus of the hearing was a discussion draft of legislation intended to improve HUD's Housing Choice Voucher Program by reducing and streamlining duplicative or onerous regulations. The discussion draft included provisions previously considered and adopted by the Committee to reduce the Section 8 program's costs, more efficiently serve program participants, and enable public housing authorities and property owners and managers to reduce regulatory burdens. On October 13, 2011, the Subcommittee held a hearing entitled ``The Section 8 Savings Act of 2011: Proposals to Promote Economic Independence for Assisted Families.'' The Subcommittee received testimony from the following witnesses: Mrs. Hope C. Boldon, President and Chief Operating Officer, Human Development Division, The Integral Group LLC; Mr. Larry Woods, Chief Executive Officer, Housing Authority of Winston- Salem; Ms. Kris Warren, Chief Operating Officer, Chicago Housing Authority; Mr. Will Fischer, Senior Policy Analyst, Center on Budget and Policy Priorities; and Mr. Greg Russ, Executive Director, Chief Operating Officer, Cambridge Housing Authority. The hearing examined revisions to a discussion draft of the ``Section 8 Savings Act of 2011 (SESA),'' which was distributed on June 16, 2011. The revisions were designed to foster self- sufficiency among recipients of housing assistance by linking housing assistance to job training, financial literacy, and educational opportunities. On November 3, 2011, the Subcommittee held a hearing entitled ``The Obama Administration's Rental Assistance Demonstration Proposal.'' The Subcommittee received testimony from the following witnesses: The Honorable Sandra B. Henriquez, Assistant Secretary, Public and Indian Housing, HUD; Mr. Ismael Guerrero, Executive Director, Housing Authority, City and County of Denver; Mr. Steven C. Hydinger, Managing Director, BREC Development, LLC; and Mr. Charles Elsesser, Community Justice Project, Florida Legal Services. The hearing examined a proposal made by the Administration--the Rental Assistance Demonstration--that would allow public housing authorities to preserve their affordable housing stock by converting public housing units to long-term Section 8 contracts. On February 7, 2012, the Subcommittee met in open session and ordered the discussion draft favorably reported to the Committee by voice vote. TO EXCLUDE INSURANCE COMPANIES FROM THE FEDERAL RESERVE'S LEVERAGE CAPITAL REQUIREMENTS, RISK-BASED CAPITAL REQUIREMENTS, AND ACCOUNTING STANDARDS Summary This draft legislation would exclude insurance companies from the Federal Reserve's leverage capital requirements, risk- based capital requirements, and accounting standards, and prohibit the Federal Reserve Board from subjecting insurance companies that are currently regulated by state insurance regulators and subject to capital requirements, risk-based capital requirements, and accounting standards set by those state regulators to heightened prudential standards in these areas. Currently, Section 115 of the Dodd-Frank Act authorizes the Federal Reserve to subject certain large, interconnected financial institutions to heightened prudential standards and Federal Reserve supervision, while Section 171 allows the Federal Reserve to impose heightened leverage and risk-based capital requirements on certain depository institution holding companies, including insurance companies. Legislative History On November 16, 2011, the Subcommittee held a legislative hearing entitled ``Insurance Oversight and Legislative Proposals.'' The focus of the hearing was the impact of changes made to the regulation of insurance by the Dodd-Frank Act and the draft legislation. The Subcommittee heard testimony from the following witnesses: Mr. Joseph Torti, III, Deputy Director and Superintendent of Insurance and Banking for the State of Rhode Island; Mr. Michael Lanza, Executive Vice President and General Counsel of the Selective Insurance Group, Inc.; Mr. Steven Monroe, Chief Compliance Officer for the U.S. and Canada for Marsh, Inc.; and Mr. Daniel Schwarcz, Associate Professor at the University of Minnesota Law School. TO EXCLUDE INSURANCE COMPANIES FROM THE FDIC'S ``ORDERLY LIQUIDATION AUTHORITY'' Summary This draft legislation would explicitly exclude insurance companies from the FDIC's Orderly Liquidation Authority to liquidate failing financial companies that pose a significant risk to the financial stability of the United States, as established under Section 204 of the Dodd-Frank Act. The draft legislation would also prohibit the FDIC from counting the insurance assets, liabilities, or revenues of an eligible financial company in its assessments to fund its Orderly Liquidation Fund, as established by Section 210 of the Dodd- Frank Act, to be used to finance the liquidation of failed financial companies. Legislative History On November 16, 2011, the Subcommittee held a legislative hearing on the impact of changes made to the regulation of insurance by the Dodd-Frank Act entitled ``Insurance Oversight and Legislative Proposals'' where the draft legislation was discussed. The Subcommittee received testimony from the following witnesses: Mr. Joseph Torti, III, Deputy Director and Superintendent of Insurance and Banking for the State of Rhode Island; Mr. Michael Lanza, Executive Vice President and General Counsel of the Selective Insurance Group, Inc.; Mr. Steven Monroe, Chief Compliance Officer for the U.S. and Canada for Marsh, Inc.; and Mr. Daniel Schwarcz, Associate Professor at the University of Minnesota Law School. MOVING TO WORK IMPROVEMENT, EXPANSION, AND PERMANENCY ACT Summary Draft legislation entitled the ``Moving to Work Improvement, Expansion, and Permanency Act'' would strike all references to ``demonstration'' in the Moving to Work (MTW) statute to designate MTW as a program of HUD, remove the arbitrary cap set in statute placed on the number of public housing authorities (PHAs) considered or admitted for MTW status, and enhance MTW's focus on activities promoting economic, flexibility and cost effectiveness, and housing choice. The draft would impose reporting requirements for MTW PHAs, including an annual analysis of the efforts each PHA has undertaken to achieve the purposes of the program. Additionally, the draft legislation would give HUD the discretion to terminate MTW contracts in the event that PHAs are found to be in material default of the conditions and obligations of their agreement, are found to have misused or misappropriated funds without taking appropriate steps to address those misdeeds, or become negligent in their effort to advance the goals of MTW. Legislative History On June 23, 2011, the Subcommittee held a legislative hearing on the draft legislation entitled ``Legislative Proposals to Reform the Housing Choice Voucher Program'' where the Subcommittee received testimony from the following witnesses: the Honorable Sandra Henriquez, HUD's Assistant Secretary for the Office of Public and Indian Housing; Mr. Tony Bazzie, Executive Director of the Housing Authority of Raleigh County, WV; Ms. Linda Couch, Senior Vice President for Policy at the National Low Income Housing Coalition; Ms. Roberta Graham, Vice President at Quadel Consulting; Mr. Tory Gunsolley, President/CEO of the Housing Authority of the City of Houston; Mr. P. Curtis Hiebert, CEO of the Keene, NH Housing Authority; Mr. Alex Sanchez, Executive Director of the Housing Authority of the County of Santa Clara, CA; and Ms. Barbara Sard, Vice President for Housing Policy at the Center on Budget and Policy Priorities. On October 13, 2011, the Subcommittee held a legislative hearing entitled ``The Section 8 Savings Act of 2011: Proposals to Promote Economic Independence for Assisted Families'' on the Moving to Work Improvement, Expansion, and Permanency Act discussion draft. The Subcommittee received testimony from the following witnesses: Ms. Hope Boldon, President and COO of The Integral Group LLC; Mr. Larry Woods, CEO of the Housing Authority of Winston-Salem, NC; Ms. Kris Warren, COO of the Chicago Housing Authority; Mr. Will Fischer, Senior Policy Analyst at the Center on Budget and Policy Priorities; and Mr. Greg Russ, Executive Director and COO of the Cambridge Housing Authority. HOUSING COUNSELING TRANSPARENCY AND FAIRNESS ACT OF 2011 Summary Draft legislation entitled the ``Housing Counseling Transparency and Fairness Act of 2011'' would grant HUD new oversight and regulatory authority over all housing counseling activities of NeighborWorks, as well as provide the HUD Inspector General with authority to monitor NeighborWorks' housing counseling functions and activities. Legislative History On September 14, 2011, the Subcommittee held a legislative hearing entitled ``HUD and NeighborWorks Housing Counseling Oversight.'' The hearing focused on the draft legislation and examined the allocation and disbursement of federal housing counseling funds through the NeighborWorks America (NeighborWorks) nonprofit housing agency. The Subcommittee received testimony from the following witnesses: Ms. Deborah Holston, HUD's Acting Deputy Assistant Secretary for Single Family Housing; Ms. Eileen Fitzgerald, Chief Executive Officer of NeighborWorks America; Ms. Alicia Puente Cackley, Director, Financial Markets and Community Investment for GAO; Mr. Peter Bell, President of the National Reverse Mortgage Lenders Association; Ms. Candy Hill, Senior Vice President of Catholic Charities USA; Ms. Debra Olson, Interim Executive Director of the DuPage Homeownership Center and DuPage County Board Member; and Mr. Raul Raymundo, Chief Executive Officer of The Resurrection Project. Subcommittee Oversight Activities THE FUTURE OF HOUSING FINANCE On February 16, 2011, the Subcommittee held a hearing entitled ``Are there Government Barriers to the Housing Recovery?'' The hearing focused on the current state of the housing finance market and how to facilitate the return of private sector capital into the mortgage markets. The hearing included testimony from the following witnesses: David Stevens, Assistant Secretary for Housing and Commissioner of the FHA, HUD; Theodore ``Ted'' Tozer, President, Government National Mortgage Association (GNMA); Phyllis Caldwell, Chief, Homeownership Preservation Office, U.S. Department of Treasury; Douglas Holtz-Eakin, President, American Action Forum and former director of the Congressional Budget Office; Michael A. J. Farrell, Chairman, President & CEO, Annaly Capital Management, Inc.; Faith Schwartz, Executive Director, HOPE Now; and Julia Gordon, Senior Policy Counsel, Center for Responsible Lending. On May 25, 2011, the Subcommittee held a hearing entitled ``Legislative Proposals to Determine the Future Role of FHA, RHS and GNMA in the Single-and Multi-Family Mortgage Markets.'' The hearing focused on HUD's FHA and USDA's Rural Housing Service (RHS) single- and multi-family programs. The hearing also examined legislative proposals to improve the financial condition of FHA, RHS and the GNMA, the agency of HUD that guarantees the timely payment of principal and interest on securities backing mortgages insured by FHA and other government agencies. The Subcommittee received testimony from the following witnesses: Katie Alitz, President, Council for Affordable and Rural Housing; Michael D. Berman, Chairman, Mortgage Bankers Association; Mark A. Calabria, Director of Financial Regulation Studies, Cato Institute; Peter Carey, President and CEO, Self-Help Housing Enterprises, Inc.; Brian Chappelle, Partner, Potomac Partners; Peter W. Evans, Partner, Moran and Company; Basil Petrou, Managing Partner, Federal Financial Analytics, Inc.; Ron Phipps, President, Phipps Realty; and Barry Rutenberg, First Vice Chairman, National Association of Home Builders. FEDERAL LAWS AFFECTING INSURANCE REGULATION On July 28, 2011, the Subcommittee held a hearing entitled ``Insurance Oversight: Policy Implications for U.S. Consumers, Businesses and Jobs.'' The hearing focused on the current status of the insurance industry and the impact of changes made to the regulation of insurance by the Dodd-Frank Act. The Subcommittee received testimony from the following witnesses: Mr. John Huff, Director of the Missouri Department of Insurance, Financial Institutions, and Professional Registration; Ms. Susan Voss, Commissioner of the Iowa Insurance Division and President of the National Association of Insurance Commissioners; Mr. Greg Wren, Treasurer of the National Conference of Insurance Legislators; Mr. Clay Jackson, Senior Vice President and Regional Agency Manager of BB&T Cooper, Love, Jackson, Thornton & Harwell; Mr. Andrew Furgatch, Chairman and CEO of Magna Carta Companies; Ms. Leigh Ann Pusey, President and CEO of the American Insurance Association; Mr. Birny Birnbaum, Executive Director of the Center for Economic Justice; Ms. Letha Heaton, Vice President of the Admiral Insurance Company; Mr. Gary Hughes, Executive Vice President & General Counsel of the American Council of Life Insurers; and Mr. Eric Smith, President and CEO Americas of Swiss Re. On October 25, 2011, the Subcommittee held a hearing entitled ``Insurance Oversight: Policy Implications for U.S. Consumers, Businesses and Jobs, Part 2.'' The hearing focused on the goals and implementation of the newly created FIO. The Honorable Michael McRaith, Director of the FIO, was the sole witness. GOVERNMENT FORECLOSURE MITIGATION PROGRAMS On October 6, 2011, the Subcommittee held a hearing entitled ``The Obama Administration's Response to the Housing Crisis.'' This hearing examined the Administration's initiatives for refinancing underwater and delinquent mortgages, foreclosure mitigation, and other housing revitalization efforts. The hearing also focused on ideas outlined by President Obama in his September 8, 2011, address to a Joint Session of Congress, including a $15 billion community redevelopment grant initiative called ``Project Rebuild'' and proposed modifications to the existing Home Affordable Refinance Program (HARP). The Subcommittee received testimony from the following witnesses: Ms. Tammye Trevino, Administrator of Housing and Community Facilities Programs for the Department of Agriculture's Rural Development Agency; Ms. Carol Galante, HUD's Acting FHA Commissioner and Assistant Secretary for Housing; Mr. Darius Kingsley, Deputy Chief of the Department of the Treasury's Homeownership Preservation Office; Mr. Neil Barofsky, Senior Fellow at the New York University School of Law; Dr. Mark Calabria, Director of Financial Regulation Studies for the Cato Institute; Ms. Laurie Goodman, Senior Managing Director at Amherst Securities Group LP; and Mr. Andrew Jakabovics, Senior Director of Policy Development and Research for Enterprise Community Partners. HUD'S HOME INVESTMENT PARTNERSHIPS PROGRAM On November 2, 2011, the Subcommittee held a joint hearing with the Oversight and Investigations Subcommittee entitled ``Fraud in the HUD HOME Program.'' The hearing focused on allegations of waste, fraud, and abuse within HUD's HOME Investment Partnerships Program (HOME) and whether HUD has implemented appropriate policies, procedures, and internal controls to monitor the performance of the HOME program. The Subcommittee received testimony from the following witnesses: Mr. Timothy Truax, who was convicted of defrauding organizations that received funds from the HOME program; Ms. ``Jane Smith,'' an inmate in federal prison convicted of defrauding organizations that received funds from the HOME program; Mr. John McCarty, Acting Deputy Inspector General for HUD; Mr. Kenneth Donohue, former Inspector General for HUD; Mr. James Beaudette, Deputy Director for HUD's Departmental Enforcement Center; and Mr. Ethan Handelman, Vice President for Policy and Advocacy for the National Housing Conference. MANUFACTURED HOUSING On November 29, 2011, the Subcommittee held a field hearing in Danville, Virginia entitled ``The State of Manufactured Housing.'' The hearing served as a general overview of manufactured housing and how stricter lending standards have affected borrowers seeking to purchase manufactured homes. In addition, the hearing examined how HUD monitors and enforces its federal standards for the construction and safety of manufactured homes. The Subcommittee received testimony from the following witnesses: Mr. Henry Czauski, HUD's Acting Deputy Administrator for Manufactured Housing Program; Mr. Kevin Clayton, President and CEO of Clayton Homes; Mr. Tyler Craddock, Executive Director of the Virginia Manufactured and Modular Housing Association; Mr. Stan Rush, Account Representative for Haylor, Freyer and Coon, Inc.; Mr. J. Scott Yates, President of Yates Homes; Mr. Adam Rust, Research Director for the Community Reinvestment Association of North Carolina; and Ms. Carla Burr, a resident of manufactured housing. On February 1, 2012, the Subcommittee held a hearing entitled ``Implementation of the Manufactured Housing Improvement Act.'' This hearing examined the manufactured housing industry and the efforts of HUD to implement the Manufactured Housing Improvement Act of 2000. The Subcommittee received testimony from the following witnesses: Mr. Henry S. Czauski, Acting Deputy Administrator for Manufactured Housing Programs, HUD; Mr. John Bostick, Chairman, Manufactured Housing Association for Regulatory Reform; Ms. Ishbel Dickens, Executive Director, Manufactured Home Owners Association of America; Mr. Edward Hussey, Immediate-Past Chairman, Manufactured Housing Association for Regulatory Reform; Mr. Dana Roberts, Past Chairman, Manufactured Housing Consensus Committee; Mr. Manuel Santana, Director of Engineering, Cavco Industries, Inc., on behalf of the Manufactured Housing Institute. RENTAL ASSISTANCE DEMONSTRATION On November 3, 2011, the Subcommittee held a hearing entitled ``The Obama Administration's Rental Assistance Demonstration Proposal.'' The purpose of the hearing was to review the Obama Administration's RAD proposal, which would allow for the voluntary conversion of units in public housing to long-term project-based Section 8 contracts in order to access private capital for preservation and redevelopment activities. The Subcommittee received testimony from the following witnesses: The Honorable Sandra Henriquez, HUD's Assistant Secretary for Public and Indian Housing; Mr. Ismael Guerrero, Executive Director of the City and County of Denver's Housing Authority; Mr. Steven Hydinger, Managing Director of BREC Development, LLC; and Mr. Charles Elsesser, of Florida Legal Services. HOUSING AND URBAN DEVELOPMENT, RURAL HOUSING SERVICE, NATIONAL REINVESTMENT CORPORATION On February 28, 2012, the Subcommittee held a hearing entitled ``Oversight of the Department of Housing and Urban Development.'' This hearing examined the proposed Fiscal Year 2013 budget for HUD. The Subcommittee received testimony from the following witnesses: The Honorable Raphael Bostic, Assistant Secretary for Policy Development and Research; Ms. Carol Galante, Acting FHA Commissioner; The Honorable Sandra Henriquez, Assistant Secretary for Public and Indian Housing; The Honorable Mercedes Marquez, Assistant Secretary for Community Planning and Development; and The Honorable John Trasvina, Assistant Secretary for Fair Housing and Equal Opportunity. On April 14, 2012 the Subcommittee held a field hearing entitled ``The Impact of Overhead High Voltage Transmission Towers and Lines on Eligibility for Federal Housing Administration (FHA) Insured Mortgage Programs.'' This hearing examined the FHA's guidelines for homes located near overhead high voltage transmission towers and lines. The Subcommittee received testimony from the following witnesses: The Honorable Art Bennett, Mayor, Chino Hills, California; Mr. Robert Goodwin, President, Hope for the Hills; Mrs. Joanne Genis, Chino Hills Resident; Ms. Bobbi Borland, Acting Branch Chief, Santa Ana Homeownership Center, HUD; Mr. Paul Clanon, Executive Director, California Public Utilities Commission; Representative from Southern California Edison; Mr. Fred Kreger, CMC, President-Elect and Government Affairs Committee Chairman, California Association of Mortgage Professionals, Branch Manager at American Family Funding on behalf of the California Association of Mortgage Professionals; Mrs. Marion Proffitt, Past President of Tri-Counties Association of REALTORS, California Association of REALTORS, Director, National Association of REALTORS, Director, Broker Associate at ERA Prime Properties on behalf of the California Association of REALTORS; and Mr. James L. Henderson, SRA, J. L. Henderson & Company, on behalf of the Appraisal Institute. On May 9, 2012, the Subcommittee held a hearing entitled ``Oversight of the FHA Reverse Mortgage Program for Seniors.'' This hearing examined the FHA's Home Equity Conversion Mortgage program. The Subcommittee received testimony from the following witnesses: Mr. Charles Coulter, Deputy Assistant Secretary for Single Family Programs, Office of Housing, FHA; Mr. Peter H. Bell, President & CEO, National Reverse Mortgage Lenders Association; Mr. Daniel Fenton, Housing Director, Money Management International; Mr. Jeffrey M. Lewis, CEO & Chairman, Generation Mortgage Company; Dr. Anthony Sanders, Distinguished Professor of Real Estate Finance, Senior Scholar, Mercatus Center at George Mason University; Professor Houman Shadab, Associate Professor of Law, New York Law School; Dr. Barbara R. Stucki, Vice President, Home Equity Initiatives, National Council on Aging; and Dr. Lori A. Trawinski, Senior Strategic Policy Advisor, Consumer and State Affairs Team, AARP Public Policy Institute. INSURANCE OVERSIGHT On May 17, 2012, the Subcommittee held a hearing entitled ``U.S. Insurance Sector: International Competitiveness and Jobs.'' This hearing examined the international competitiveness of U.S.-domiciled insurance and reinsurance companies and their ability to create jobs. The Subcommittee received testimony from the following witnesses: The Honorable Michael McRaith, Director, Federal Insurance Office, U.S. Department of the Treasury; Mr. Kevin McCarty, Insurance Commissioner, Florida Office of Insurance Regulation, on behalf of the National Association of Insurance Commissioners; Mr. Steve Bartlett, President and CEO, The Financial Services Roundtable; Mr. Peter Ralph Kochenburger, Executive Director of the Insurance Law Center and Associate Clinical Professor of Law and Director of Graduate Programs, University of Connecticut School of Law; Mr. Allan E. O'Bryant, Executive Vice President--Head of International Markets and Operations, Reinsurance Group of America, Inc.; Mr. Michael C. Sapnar, President and Chief Executive Officer, Transatlantic Reinsurance Company, Inc.; Mr. William Toppeta, Vice Chairman, MetLife, Inc.; and Mr. J. Robert Vastine, President, The Coalition of Service Industries. Subcommittee Hearings Held ------------------------------------------------------------------------ Serial No. Title Date(s) ------------------------------------------------------------------------ 112-7................. Are There Government February 16, 2011. Barriers to the Housing Market Recovery?. 112-13................ Legislative Proposals to March 2, 2011. End Taxpayer Funding for Ineffective Foreclosure Mitigation Programs. 112-16................ Legislative Proposals to March 11, 2011. Reform the National Flood Insurance Program, Part I. 112-23................ Legislative Proposals to April 1, 2011. Reform the National Flood Insurance Program, Part II. 112-32................ Legislative Proposals to May 25, 2011. Determine the Future Role of FHA, RHS and GNMA in the Single-and Multi- Family Mortgage Markets. 112-40................ Legislative Proposals to June 23, 2011. Reform the Housing Choice Voucher Program. 112-47................ Mortgage Origination: The July 13, 2011. Impact of Recent Changes on Homeowners and Businesses. 112-53................ Insurance Oversight: July 28, 2011. Policy Implications for U.S. Consumers, Businesses, and Jobs. 112-57................ Legislative Proposals to September 8, 2011. Determine the Future Role of FHA, RHS and GNMA in the Single- and Multi- Family Mortgage Markets, Part 2. 112-61................ HUD and NeighborWorks September 14, 2011. Housing Counseling Oversight. 112-69................ The Obama Administration's October 6, 2011. Response to the Housing Crisis. 112-74................ The Section 8 Savings Act October 13, 2011. of 2011: Proposals to Promote Economic Independence for Assisted Families. 112-77................ Insurance Oversight: October 25, 2011. Policy Implications for U.S. Consumers, Businesses, and Jobs, Part 2. 112-81................ Fraud in the HUD Home November 2, 2011. Program (Joint Hearing with Oversight). 112-83................ The Obama Administration's November 3, 2011. Rental Assistance Demonstration Proposal. 112-84................ Insurance Oversight and November 16, 2011. Legislative Proposals. 112-86................ The State of Manufactured November 29, 2011. Housing (Field Hearing). 112-93................ The Homeless Children and December 15, 2011. Youth Act of 2011: Proposals to Promote Economic Independence for Homeless Children and Youth. 112-96................ Implementation of the February 1, 2012. Manufactured Housing Improvement Act of 2000. 112-102............... Oversight of the February 28, 2012. Department of Housing and Urban Development. 112-115............... The Impact of Overhead April 14, 2012. High Voltage Transmission Towers and Lines on Eligibility for Federal Housing Administration (FHA) Insured Mortgage Programs (Field Hearing). 112-123............... Oversight of the Federal May 9, 2012. Housing Administration's Reverse Mortgage Program for Seniors. 112-129............... U.S. Insurance Sector: May 17, 2012. International Competitiveness and Jobs. ------------------------------------------------------------------------ Subcommittee on International Monetary Policy and Trade (Ratio: 8-6) GARY G. MILLER, California, Chairman ROBERT J. DOLD, Illinois, Vice Chairman CAROLYN McCARTHY, New York, RON PAUL, Texas Ranking Member DONALD A. MANZULLO, Illinois GWEN MOORE, Wisconsin JOHN CAMPBELL, California ANDRE CARSON, Indiana MICHELE BACHMANN, Minnesota DAVID SCOTT, Georgia THADDEUS G. McCOTTER, Michigan ED PERLMUTTER, Colorado BILL HUIZENGA, Michigan JOE DONNELLY, Indiana SPENCER BACHUS, Alabama, ex officio BARNEY FRANK, Massachusetts, ex officio Subcommittee Legislative Activities SECURING AMERICAN JOBS THROUGH EXPORTS ACT OF 2011 (H.R. 2072) Summary H.R. 2072, the Securing American Jobs Through Exports Act of 2011, would amend the Export-Import Bank Act of 1945 by extending the authority of the Export-Import Bank of the United States (the Bank) for four years, from 2011 to 2015. Key provisions of H.R. 2072 include: (1) a four-year reauthorization of the Export-Import Bank charter; (2) a gradual increase in the Bank's financing authority; (3) a requirement that the Bank establish clear and comprehensive guidelines regarding the type and amount of content in a good or service eligible for Bank financing; (4) authorization for the Bank to use up to $20 million of its surplus, subject to appropriations, to upgrade its information technology system; and (5) a number of new transparency and accountability requirements for the Bank. Legislative History H.R. 2072 was introduced by Subcommittee on International Monetary Policy and Trade Chairman Gary Miller on June 1, 2011, and referred to the Committee on Financial Services. The bill has nine cosponsors. On March 10, 2011, the Subcommittee held a hearing entitled ``The Role of the Export-Import Bank in U.S. Competitiveness and Job Creation.'' The purpose of the hearing was to examine the role of the Export-Import Bank in fostering job growth by helping U.S. companies compete in the international export market. The hearing focused on how to improve the operations of the Export-Import Bank in supporting U.S. companies as they export to international markets. The Subcommittee received testimony from the following witnesses: Mr. Karan Bhatia, Vice President and Senior Counsel, General Electric; Mr. Scott Scherer, Senior Vice President, Boeing Capital Corporation; Mr. David Ickert, Vice President of Finance, Air Tractor, Inc.; and Mr. Kevin Law, President & CEO, Long Island Association. On May 24, 2011, the Subcommittee held a hearing entitled ``Legislative Proposals on Securing American Jobs Through Exports: Export-Import Bank Reauthorization.'' The Subcommittee received testimony from the following witnesses: Mr. Fred Hochberg, Chairman and President, the Export-Import Bank of the United States; Ms. Donna K. Alexander, Chief Executive Officer, Bankers' Association for Finance and Trade--International Financial Services Association; Ms. Thea Lee, Deputy Chief of Staff, American Federation of Labor and Congress of Industrial Organizations; Mr. Osvaldo Luis Gratacos, Inspector General for the Export-Import Bank; Mr. John Hardy, President, Coalition for Employment Through Exports; and Dr. Matthew Slaughter, Associate Dean for the MBA Program, Signals Company Professor of Management, Tuck School of Business, Dartmouth College. On June 2, 2011, the Subcommittee met in open session and ordered the bill, as amended, favorably reported to the Committee by a voice vote. On June 22, 2011, the Committee met in open session an ordered the bill, as amended, favorably reported to the House by a voice vote. The Committee Report was filed on September 8, 2011 (H. Rept. 112-201). On May 9, 2012, the House considered H.R. 2072 and passed the bill, with amendments, by a record vote of 330 yeas and 90 nays. On May 15, 2012, the Senate considered H.R. 2072 and passed the bill by a record vote of 78 yeas and 20 nays. On May 30, 2012, H.R. 2072 was signed by the President and became Public Law No. 112-122. SUPPORTING ECONOMIC AND NATIONAL SECURITY BY MAINTAINING U.S. LEADERSHIP IN MULTILATERAL DEVELOPMENT BANKS ACT (H.R. 3188) Summary H.R. 3188, the Supporting Economic and National Security by Maintaining U.S. Leadership in Multilateral Development Banks Act, would amend the Bretton Woods Agreements Act to allow for general capital increases at the International Bank for Reconstruction and Development (IBRD), the Inter-American Development Bank (IDB), the African Development Bank, and the European Bank for Reconstruction and Development. In addition to the general capital increases, this bill also has provisions to fight corruption, promote transparency and accountability at these institutions, promote strong procurement standards, and to urge Argentina to settle its debts with its public and private creditors. Legislative History On October 13, 2011, H.R. 3188 was introduced by Representative Robert Dold, and referred to the Committee on Financial Services. The bill has no cosponsors. On June 14, 2011, the Subcommittee held a legislative hearing entitled ``The Role of the U.S. in the World Bank and Multilateral Development Banks: Bank Oversight and Requested Capital Increases.'' The Subcommittee received testimony from The Honorable Lael Brainard, Under Secretary for International Affairs, Department of the Treasury. On July 27, 2011, the Subcommittee held a legislative hearing entitled ``The Impact of the World Bank and Multilateral Development Banks on U.S. Job Creation.'' The Subcommittee received testimony from the following witnesses: The Honorable James T. Kolbe, former Member of Congress, Senior Transatlantic Fellow, German Marshall Fund of the United States; Mr. Robert Mosbacher, Jr., Chairman, Mosbacher Energy Company, Past-President and CEO, Overseas Private Investment Corporation; Mr. James A. Harmon, Chairman, Caravel Management, LLC, Past-President and CEO, Export-Import Bank of the United States; Mr. Benjamin Leo, Research Fellow, Center for Global Development, Former Treasury Department and National Security Council Official; and Mr. John Hardy, President, Coalition for Employment through Exports. On September 21, 2011, the Subcommittee held a legislative hearing entitled ``The Impact of the World Bank and Multilateral Development Banks on National Security.'' The Subcommittee received testimony from the following witnesses: The Honorable Marisa Lago, Assistant Secretary for International Markets and Development, U.S. Department of the Treasury; and Rear Admiral Michelle Howard, chief of Staff to the Director, Strategic Plans and Policy, J5, the Joint Staff. On October 4, 2011, the Subcommittee held a legislative hearing on a discussion draft entitled ``The World Bank and Multi Lateral Development Banks' Authorization.'' The Subcommittee received testimony from the following witnesses: The Honorable Mark Green, Former U.S. Ambassador to Tanzania, Former U.S. Representative (R-WI), Senior Director, U.S. Global Leadership Coalition; The Honorable Eli Whitney Debevoise, II, Former U.S. Executive Director, The World Bank Group, Senior Partner, Arnold & Porter LLP; Mr. Daniel F. Runde, Director of the Project on Prosperity and Development, William A. Schreyer Chair in Global Analysis, Center for Strategic and International Studies; Mr. John Murphy, Vice President for International Affairs, U.S. Chamber of Commerce. On October 12, 2011, the Subcommittee met in open session and ordered the discussion draft, as amended, reported favorably to the Committee by a voice vote. Subcommittee Oversight Activities GLOBAL CAPITAL FLOWS On October 13, 2011, the Subcommittee held a hearing entitled ``The U.S. Housing Finance System in the Global Context: Structure, Capital Sources, and Housing Dynamics.'' The U.S. securitization process has facilitated the flow of private investment capital from investors around the world to fund U.S. home mortgages. This hearing focused on the relationship between the health of the U.S. housing finance system and global financial stability, including foreign involvement in the U.S. housing finance system and the motivations of foreign investors to purchase residential mortgage-backed securities. The Subcommittee received testimony from the following witnesses: Mr. Michael A. J. Farrell, Chairman, CEO and President, Annaly Capital Management, Inc.; Mr. Richard Dorfman, Managing Director and Head of Securitization Group, Securities Industry and Financial Markets Association; Mr. Moe Veissi, 2011 President-Elect, National Association of Realtors; and Dr. Susan M. Wachter, Richard B. Worley Professor of Financial Management, The Wharton School, University of Pennsylvania. EUROZONE DISTRESS On October 25, 2011, the Subcommittee held a hearing entitled ``The Eurozone Crisis and Implications for the United States.'' The purpose of the hearing was to examine the potential effects of Europe's economic problems on the U.S. economy, particularly on trade and employment. The hearing also examined European policy options under consideration for containing the crisis and the role of the U.S. in these decisions. The Subcommittee received testimony from the following witnesses: The Honorable Charles Collyns, Assistant Secretary for International Finance, U.S. Department of the Treasury; Mr. Peter S. Rashish, Vice President, Europe & Eurasia, U.S. Chamber of Commerce; Dr. Desmond Lachman, Resident Fellow, American Enterprise Institute; and Mr. Douglas J. Elliott, Fellow of Economic Studies, Initiative on Business and Public Policy, Brookings Institution. EXTRACTIVE INDUSTRIES On May 10, 2012, the Subcommittee held a hearing entitled ``The Costs and Consequences of Dodd-Frank Section 1502: Impacts on America and the Congo.'' This hearing examined the effect of Section 1502 of the Dodd-Frank Act on Congolese residents and the U.S. businesses that must comply with Section 1502's requirements relating to conflict minerals originating in the Democratic Republic of Congo. The Subcommittee received testimony from the following witnesses: Mr. Mvemba Dizolele, Distinguished Visiting Fellow, The Hoover Institution at Stanford University; Dr. Laura E. Seay, Assistant Professor of Political Science, Morehouse College; Mr. Frank Vargo, Vice President, International Economic Affairs Policy, National Association of Manufacturers; Mr. Steve Pudles, Chairman, Board of Directors, IPC--Association of Connecting Electronics Industries, and Chief Executive Officer, Spectral Response, LLC; Mr. Stephen Lamar, Executive Vice President, American Apparel & Footwear Association; The Most Reverend Nicolas Djomo Lola, Bishop of Tshumbe, President, National Bishops Conference, Democratic Republic of Congo; and Mr. Bruce Calder, Vice President, Claigan Environmental, Inc. MARKET ACCESS On May 16, 2012, the Subcommittee held a hearing entitled ``Increasing Market Access for U.S. Financial Firms in China: Update on Progress of the S&ED.'' This hearing examined the access of U.S. financial firms to the market for financial services in China as well as the latest developments in the Strategic and Economic Dialogue between the U.S. and China. The Subcommittee received testimony from the following witnesses: The Honorable Lael Brainard, Under Secretary, International Affairs, U.S. Department of the Treasury; The Honorable Rob Nichols, Chairman, Engage China Coalition; Mr. David Strongin, Managing Director, International Policy, Securities Industry and Financial Markets Association; The Honorable Clay Lowery, Vice President, Rock Creek Global Advisors; and Mr. Nicholas R. Lardy, Anthony M. Solomon Senior Fellow, Peterson Institute for International Economics. Subcommittee Hearings Held ------------------------------------------------------------------------ Serial No. Title Date(s) ------------------------------------------------------------------------ 112-15................ The Role of the Export- March 10, 2011. Import Bank in U.S. Competitiveness and Job Creation. 112-31................ Legislative Proposals on May 24, 2011. Securing American Jobs Through Exports: Export- Import Bank Reauthorization. 112-38................ The Role of the U.S. in June 14, 2011. the World Bank and Multilateral Development Banks: Bank Oversight and Requested Capital Increases. 112-52................ The Impact of the World July 27, 2011. Bank and Multi-Lateral Development Banks on U.S. Job Creation. 112-64................ The Impact of the World September 21, 2011. Bank and Multi-Lateral Development Banks on National Security. 112-68................ The World Bank and Multi October 4, 2011. Lateral Development Banks' Authorization. 112-73................ The U.S. Housing Finance October 13, 2011. System in the Global Context: Structure, Capital Sources and Housing Dynamics. 112-76................ The Eurozone Crisis and October 25, 2011. Implications for the United States. 112-124............... The Costs and Consequences May 10, 2012. of Dodd-Frank Section 1502: Impacts on America and the Congo. 112-126............... Increasing Market Access May 16, 2012. for U.S. Financial Firms in China: Update on Progress of the Strategic & Economic Dialogue. ------------------------------------------------------------------------ Subcommittee on Oversight and Investigations (Ratio: 10-8) RANDY NEUGEBAUER, Texas, Chairman MICHAEL G. FITZPATRICK, MICHAEL E. CAPUANO, Massachusetts, Pennsylvania, Vice Chairman Ranking Member PETER T. KING, New York STEPHEN F. LYNCH, Massachusetts MICHELE BACHMANN, Minnesota MAXINE WATERS, California STEVAN PEARCE, New Mexico JOE BACA, California BILL POSEY, Florida BRAD MILLER, North Carolina NAN A. S. HAYWORTH, New York KEITH ELLISON, Minnesota JAMES B. RENACCI, Ohio JAMES A. HIMES, Connecticut FRANCISCO ``QUICO'' CANSECO, Texas JOHN C. CARNEY, Jr., Delaware STEPHEN LEE FINCHER, Tennessee BARNEY FRANK, Massachusetts, SPENCER BACHUS, Alabama, ex officio ex officio Subcommittee Oversight Activities GSE LEGAL FEES On February 15, 2011, the Subcommittee held a hearing entitled ``An Analysis of the Post-Conservatorship Legal Expenses of Fannie Mae and Freddie Mac.'' The hearing explored issues related to the FHFA's oversight of legal fees incurred by Fannie Mae and Freddie Mac since the companies' entry into conservatorship in September 2008. FHFA disclosed at the hearing that taxpayers have spent more than $162 million defending Fannie Mae and Freddie Mac and their former top executives in civil lawsuits accusing them of fraud. The Subcommittee received testimony from the following witnesses: Mr. Edward DeMarco, Acting Director, FHFA; Mr. Alfred Pollard, General Counsel, FHFA; Mr. Michael Williams, Chief Executive Officer, Fannie Mae; Mr. Timothy J. Mayopoulos, General Counsel, Fannie Mae; and the Honorable Mike DeWine, Attorney General of Ohio. COSTS OF THE DODD-FRANK ACT On March 30, 2011, the Subcommittee held a hearing on ``The Costs of Implementing the Dodd-Frank Act: Budgetary and Economic.'' The Subcommittee received testimony from the following witnesses: the Honorable Jill E. Sommers, Commissioner, CFTC; Mr. Douglas W. Elmendorf, Director, Congressional Budget Office (CBO); Mr. Jeffrey Lacker, President, Federal Reserve Bank of Richmond; Douglas Holtz- Eakin, Ph.D., President, American Action Forum; James Angel, Ph.D., CFA, Associate Professor of Finance, McDonough School of Business, Georgetown University; James Overdahl, Ph.D., Vice President NERA Economic Consulting, former Chief Economist for the SEC; and David Min, Associate Director of Financial Markets Policy, Center for American Progress. SECURITIES FRAUD On May 13, 2011, the Subcommittee held a hearing entitled ``The Stanford Ponzi Scheme: Lessons for Protecting Investors from the Next Securities Fraud.'' This hearing reviewed the failure of the SEC and the Financial Industry Regulatory Authority (FINRA) to uncover a Ponzi scheme allegedly orchestrated by Houston businessman Allen Stanford that defrauded thousands of U.S. investors. The hearing also focused on what steps the SEC and FINRA could take to prevent similar securities frauds in the future. The Subcommittee received testimony from the following witnesses: Mr. David Kotz, Inspector General, SEC; Mr. Robert Khuzami, Director of the Division of Enforcement, SEC; Mr. Carlo di Florio, Director of Office of Compliance Inspections and Examinations, SEC; Mr. Richard Ketchum, Chief Executive Officer, FINRA; Ms. Julie Preuitt, Assistant Regional Director, SEC Fort Worth Regional Office; Mr. Charles Rawl, a former Stanford Group Company employee and whistleblower; and Mr. Stanford Kauffman, a victim of the Stanford fraud. MORTGAGE SERVICING STANDARDS On July 7, 2011, the Subcommittees on Financial Institutions and Consumer Credit and Oversight and Investigations held a joint hearing entitled ``Mortgage Servicing: An Examination of the Role of Federal Regulators in Settlement Negotiations and the Future of Mortgage Servicing Standards.'' The purpose of the hearing was to review the role of Federal regulators in the ongoing mortgage servicing settlement negotiations and the development of new mortgage servicing standards. The Subcommittees heard testimony from the following witnesses: Ms. Julie Williams, First Senior Deputy Comptroller and Chief Counsel of the OCC; Mr. Mark Pearce, Director, Division of Depositor and Consumer Protection at the FDIC; Mr. Raj Date, Associate Director of Research, Markets and Regulations, CFPB, U.S. Department of the Treasury; the Honorable Luther Strange, Alabama Attorney General; Mr. David Stevens, President, Mortgage Bankers Association; and Mr. Michael Calhoun, President, Center for Responsible Lending. OVERSIGHT OF THE FINANCIAL STABILITY OVERSIGHT COUNCIL On April 14, 2011, the Subcommittee held a hearing on ``Oversight of the Financial Stability Oversight Council.'' The hearing focused on the efforts of the FSOC, an inter-agency body established under the Dodd-Frank Act to monitor and contain risk to the financial system, to implement Title I of the Act. In particular, the hearing examined the FSOC's execution of its mandate to identify financial institutions that will be subject to enhanced supervision and prudential standards; the FSOC's coordination of rulemaking among financial regulatory agencies; the FSOC's studies on regulations that might affect the competitiveness of U.S. financial institutions in the global market for financial services; and the FSOC's efforts to monitor insurance on the federal level. The Subcommittee received testimony from the following witnesses: Gary Gensler, Chairman, CFTC; Jeffrey A. Goldstein, Under Secretary for Domestic Finance, Treasury Department; John Huff, Director, Missouri Department of Insurance, Financial Institutions, and Professional Registration; J. Nellie Liang, Director, Office of Financial Stability Policy and Research, Federal Reserve Board; Robert W. Cook, Director of Division of Trading and Markets, SEC; Arthur J. Mutton, Director, Division of Insurance and Research, FDIC; and Tim Long, Chief National Bank Examiner and Senior Deputy Comptroller for Regulatory Policy, OCC. On July 14, 2011, the Subcommittee held a hearing entitled ``Oversight of the Office of Financial Research and the Financial Stability Oversight Council.'' The hearing addressed the efforts to organize and standup the OFR, coordination between the FSOC, OFR and other regulators, and data security issues at OFR. The Subcommittee received testimony from the following witnesses: The Honorable Richard Berner, Counselor to the Secretary of the Treasury; Dr. Nassim N. Taleb, Distinguished Professor, New York University Polytechnic Institute; Mr. Dilip Krishna, Vice President of Financial Services, Teradata Corporation; Mr. Alan Paller, Director of Research, SANS Institute; and Dr. John Lietchy, Professor of Marketing and Statistics, Director of the Center for the Study of Global Financial Stability, Pennsylvania State University. OVERSIGHT OF THE CREDIT RATING AGENCIES POST-DODD FRANK On July 27, 2011, the Subcommittee held a hearing entitled ``Oversight of the Credit Rating Agencies Post Dodd-Frank.'' The hearing examined how federal regulation and operations of the credit rating agencies have changed since the financial crisis and following enactment of the Dodd-Frank Act. The hearing reviewed the progress of federal agencies in striking references to ratings agencies in their regulations and addressed investor over-reliance on the ratings opinions of the three leading ratings agencies, Standard & Poor's, Moody's Investor Service and Fitch Ratings. The Subcommittee received testimony from the following witnesses: Mr. John Ramsay, Deputy Director, Division of Trading and Markets, U.S. Securities Exchange Commission; Mr. Mark Van Der Weide, Senior Associate Director, Division of Banking Supervision and Regulation, Federal Reserve Board; Mr. David Wilson, Senior Deputy Comptroller and Chief National Bank Examiner, OCC; Mr. Deven Sharma, President, Standard & Poor's; Mr. Michael Rowan, Global Managing Director, Commercial Group, Moody's Investors Service; Mr. James Gellert, Chief Executive Officer, Rapid Ratings; Mr. Jules Kroll, Chairman and CEO, Kroll Bond Rating Agency; Mr. Larry White, Robert Kavesh Professor of Economics, Stern School of Business, New York University; and Mr. Gregory Smith, Chief Operating Officer and General Counsel, Colorado Public Employees' Retirement Association. OVERSIGHT OF THE OFFICE OF TERRORISM AND FINANCIAL INTELLIGENCE POST-9/ 11 On September 6, 2011, the Subcommittee held a field hearing in New York City entitled ``Combating Terror Post-9/11: Oversight of the Office of Terrorism and Financial Intelligence.'' The hearing reviewed the activities of the Treasury Department's Office of Terrorism and Financial Intelligence to safeguard the integrity of the nation's financial system and to fight terrorist facilitators, money launderers, and other threats to national security. The Honorable Daniel Glaser, Assistant Secretary for Terrorist Financing, Department of the Treasury, was the sole witness. POTENTIAL CONFLICTS OF INTEREST AT THE SEC On September 22, 2011, the Subcommittee held a joint hearing with the Committee on Oversight and Government Reform's Subcommittee on TARP, Financial Services and Bailouts of Public and Private Programs, entitled ``Potential Conflicts of Interest at the SEC: The Becker Case.'' The hearing examined how the SEC handled potential conflicts of interest involving David Becker, a former SEC general counsel who financially benefited from the Bernard Madoff Ponzi scheme. The Subcommittees received testimony from the following witnesses: the Honorable Mary Schapiro, Chairman, SEC; Mr. H. David Kotz, Inspector General, SEC; and Mr. David M. Becker, Former General Counsel, SEC. OVERSIGHT OF THE FEDERAL HOME LOAN BANKS On October 12, 2011, the Subcommittee held a hearing entitled ``Oversight of the Federal Home Loan Bank System.'' The hearing examined the capital requirements, financial health, and stability of the Federal Home Loan Bank System, as well as the Federal Home Loan Bank System's ability to fulfill its housing mission and provide liquidity to the cooperative's member banks in a safe and sound manner. Subcommittee received testimony from the following witnesses: Mr. Anthony P. Costa, Chairman and co-CEO, Empire State Bank, on behalf of the American Bankers Association; Mr. Lee R. Gibson, Chairman of the Federal Home Loan Bank of Dallas and Chairman of the Council of Federal Home Loan Banks; Mr. Tim Zimmerman, President/CEO, Standard Bank, PaSB, on behalf of the Independent Community Bankers of America; and the Honorable Bruce Morrison, former Director of the Federal Housing Finance Board. OVERSIGHT OF THE HUD HOME PROGRAM On November 2, 2011, the Subcommittee held a joint hearing with the Oversight and Investigations Subcommittee entitled ``Fraud in the HUD HOME Program.'' The hearing focused on allegations of waste, fraud, and abuse within HUD's HOME and whether HUD has implemented appropriate policies, procedures, and internal controls to monitor the performance of the HOME program. The Subcommittee received testimony from the following witnesses: Mr. Timothy Truax, who was convicted of defrauding organizations that received funds from the HOME program; Ms. ``Jane Smith,'' an inmate in federal prison convicted of defrauding organizations that received funds from the HOME program; Mr. John McCarty, Acting Deputy Inspector General for HUD; Mr. Kenneth Donohue, former Inspector General for HUD; Mr. James Beaudette, Deputy Director for HUD's Departmental Enforcement Center; and Mr. Ethan Handelman, Vice President for Policy and Advocacy for the National Housing Conference. On May 16, 2012, the Subcommittee met in open session for the purpose of authorizing and issuing a subpoena duces tecum to compel the production of records from HUD related to its oversight and administration of the HOME Investment Partnerships Program. Because Subcommittee Chairman Randy Neugebauer and Subcommittee Ranking Member Michael E. Capuano reached an agreement under which HUD would voluntarily produce records to the Subcommittee, the question on adopting the resolution to authorize and issue a subpoena duces tecum was never posed to the Subcommittee. The agreement was memorialized in a May 22, 2012 letter from Chairman Neugebauer and Ranking Member to HUD Secretary Shaun Donovan. FEDERAL HOUSING FINANCE AGENCY On December 1, 2011, the Subcommittee held a hearing entitled ``Oversight of the Federal Housing Finance Agency.'' The hearing examined the performance of the FHFA in its dual roles as regulator and conservator of the GSEs Fannie Mae and Freddie Mac. The hearing also considered the challenges that FHFA faces, including its efforts to mitigate taxpayer exposure to continuing GSE losses. The Subcommittee received testimony from the following witnesses: Mr. Edward J. DeMarco, Acting Director, FHFA; Mr. Charles E. Haldeman, Jr., Chief Executive Officer, Freddie Mac; and Mr. Michael J. Williams, President and Chief Executive Officer, Fannie Mae. THE COLLAPSE OF MF GLOBAL On December 7, 2011, the Subcommittee met in open session to authorize and issue a subpoena ad testificandum for the appearance of The Honorable Jon Corzine at a hearing scheduled for December 15, 2011. The Subcommittee adopted a resolution to authorize and issue the subpoena by a recorded vote of 15 yeas and 0 nays. On December 15, 2011, the Subcommittee held a hearing entitled ``The Collapse of MF Global.'' The hearing examined the collapse of MF Global, its oversight by regulators and self-regulatory organizations, and the consequences of its collapse on customers. The hearing also examined the decision by the Federal Reserve Bank of New York in early 2011 to approve MF Global's application to become a primary dealer. The Subcommittee received testimony from the following witnesses: The Honorable Jon Corzine, former Chief Executive Officer, MF Global; Mr. Bradley Abelow, Chief Operating Officer, MF Global; Mr. Dan M. Berkovitz, General Counsel, CFTC; Mr. Robert Cook, Director, Division of Trading and Markets, SEC; Mr. Terrence A. Duffy, Executive Chairman, CME Group Inc., Mr. Richard Ketchum, President, Chairman and Chief Executive Officer, Financial Industry Regulatory Authority; Mr. James Kobak, Jr., Chief Counsel to Mr. James Giddens, Bankruptcy Trustee for MF Global Inc.; and Mr. Thomas C. Baxter, Jr., General Counsel, Federal Reserve Bank of New York, CME Group Response (submitted for the record). On February 2, 2012, the Subcommittee held a hearing entitled ``The Collapse of MF Global: Part 2.'' The hearing examined the decisions and events leading to the collapse of MF Global, focusing particularly on (1) MF Global's internal risk management policies and procedures and (2) the provision of credit rating services to MF Global in the period preceding its collapse. The Subcommittee received testimony from the following witnesses: Mr. Michael Roseman, former Global Chief Risk Officer, MF Global Holdings Ltd; Mr. Michael Stockman, Global Chief Risk Officer, MF Global Holdings Ltd; Mr. Craig Parmelee, Managing Director, Corporate and Government Ratings Division, Standard & Poor's Rating Services; Mr. Richard Cantor, Chief Credit Officer, Moody's Investors Service; and Mr. James Gellert, President and Chief Executive Officer, Rapid Ratings International, Inc. On March 21, 2012, the Subcommittee met in open session to authorize and issue a subpoena ad testificandum for the appearance of Ms. Edith O'Brien in conjunction with the March 28, 2012, hearing to examine the events that took place during the final week of MF Global's operations. The Subcommittee adopted a resolution to authorize and issue the subpoena by voice vote. On March 28, 2012, the Subcommittee held a hearing entitled ``The Collapse of MF Global: Part 3.'' The hearing examined the events that took place during the final week of MF Global's operations before the firm filed for bankruptcy on October 31, 2011. The Subcommittee received testimony from the following witnesses: Ms. Laurie Ferber, General Counsel, MF Global Holdings Ltd; Mr. Henri Steenkamp, Chief Financial Officer, MF Global Holdings Ltd; Ms. Christine Serwinski, Chief Financial Officer for North America, MF Global Inc., Ms. Diane M. Genova, Deputy General Counsel, JPMorgan Chase & Co.; Mr. Daniel J. Roth, President and Chief Executive Officer, National Futures Association; and Ms. Susan M. Cosper, Technical Director, Chairman, Emerging Issues Task Force, Financial Accounting Standards Board. Ms. Edith O'Brien, Assistant Treasurer, MF Global Inc., was present and was dismissed because she invoked her 5th Amendment right against self-incrimination. OVERSIGHT OF THE CONSUMER FINANCIAL PROTECTION BUREAU On February 15, 2012, the Subcommittee held a hearing entitled ``Budget Hearing--Consumer Financial Protection Bureau.'' The hearing examined the budget of the Consumer Financial Protection Bureau (CFPB) for fiscal years 2011 through 2013. The Dodd-Frank Act created the CFPB and funded it through transfers from the Federal Reserve System, outside the Congressional appropriations process. The Federal Reserve is required to transfer to the CFPB an amount determined by the Director to be reasonably necessary to carry out the authorities of the Bureau under Federal consumer law, but not to exceed fixed percentages of the Federal Reserve System's 2009 operating expenses, including: 11 percent in fiscal year 2012, or $547.8 million; 12 percent in fiscal year 2013, or $597.6 million; and 12 percent each fiscal year thereafter, subject to annual adjustments for inflation. If the CFPB determines that it needs additional funding, it may request from Congress an additional $200 million through fiscal year 2014, subject to the appropriations process. The Subcommittee received testimony from the sole witness: The Honorable Richard Cordray, Director, CFPB. OVERSIGHT OF THE OFFICE OF FINANCIAL RESEARCH On April 19, 2012, the Subcommittee held a hearing entitled ``Budget Hearing--the Office of Financial Research.'' The hearing examined the budget and funding of the OFR, which was created by the Dodd-Frank Act. For two years following the Dodd-Frank Act's enactment, the OFR is funded by the Federal Reserve. In July 2012, the OFR will begin funding itself by levying assessments on bank holding companies with total consolidated assets of $50 billion or more and nonbank financial companies supervised by the Federal Reserve. The Subcommittee received testimony from the sole witness: Ms. Michelle Shannon, Chief Operating Officer, OFR, U.S. Department of the Treasury. FDIC STRUCTURED TRANSACTION PROGRAM On May 16, 2012, the Subcommittee held a hearing entitled ``Oversight of the Federal Deposit Insurance Corporation's Structured Transaction Program.'' The hearing examined the use of structured transaction sales by the FDIC in which the FDIC partners with private-sector entities to dispose of some of the assets that the FDIC acquires when it resolves a failed bank. The hearing examined whether the FDIC's structured transactions program maximizes the value of the assets sold in these transactions and whether these sales affect the FDIC's Deposit Insurance Fund. The Subcommittee received testimony from the following witnesses: Mr. Bret D. Edwards, Director, Division of Resolutions and Receiverships, FDIC; The Honorable Jon T. Rymer, Inspector General, Office of the Inspector General, FDIC; Mr. Stuart A. Miller, Chief Executive Officer, Lennar Corporation; Mr. Scott Leventhal, President, Tivoli Properties, Inc.; and Mr. Ed Fogg, Owner, Fogg Construction Inc. Subcommittee Hearings Held ------------------------------------------------------------------------ Serial No. Title Date(s) ------------------------------------------------------------------------ 112-4................. An Analysis of the Post- February 15, 2011 Conservatorship Legal Expenses of Fannie Mae and Freddie Mac. 112-21................ The Costs of Implementing March 30, 2011 the Dodd-Frank Act: Budgetary and Economic. 112-26................ Oversight of the Financial April 14, 2011 Stability Oversight Council. 112-30................ The Stanford Ponzi Scheme: May 13, 2011 Lessons for Protecting Investors from the Next Securities Fraud. 112-44................ Mortgage Servicing: An July 7, 2011 Examination of the Role of Federal Regulators in Settlement Negotiations and the Future of Mortgage Servicing Standards (Joint Hearing with Financial Institutions). 112-48................ Oversight of the Office of July 14, 2011 Financial Research and the Financial Stability Oversight Council. 112-51................ Oversight of the Credit July 27, 2011 Rating Agencies Post Dodd- Frank. 112-55................ Combating Terror Post 9/ September 6, 2011 11: Oversight of the Office of Terrorism and Financial Intelligence (Field Hearing). 112-66................ Potential Conflicts of September 22, 2011 Interest at the SEC: The Becker Case (Joint Hearing with Subcommittee on TARP, Financial Services and Bailouts of Public and Private Programs of the Committee on Oversight and Government Reform). 112-71................ Oversight of the Federal October 12, 2011 Home Loan Bank System. 112-81................ Fraud in the HUD HOME November 2, 2011 Program (Joint Hearing with Housing). 112-88................ Oversight of the Federal December 1, 2011 Housing Finance Agency. 112-94................ The Collapse of MF Global. December 15, 2011 112-98................ The Collapse of MF Global: February 2, 2012 Part 2. 112-101............... Budget Hearing--Consumer February 15, 2012 Financial Protection Bureau. 112-113............... The Collapse of MF Global: March 28, 2012 Part 3. 112-118............... Budget Hearing--the Office April 18, 2012 of Financial Research. 112-127............... Oversight of the Federal May 16, 2012 Deposit Insurance Corporation's Structured Transaction Program. ------------------------------------------------------------------------ OVERSIGHT PLAN FOR THE 112TH CONGRESS Clause 2(d) of rule X of the Rules of the House of Representatives for the 112th Congress requires that each standing committee in the first session of a congress adopt an oversight plan for the two-year period of the Congress and submit the plan to the Committee on Oversight and Government Reform and the Committee on House Administration. Clause 1(d)(1) of rule XI requires each committee to submit to the House not later than the 30th day after June 1 and December 1 a semiannual report on the activities of that committee under rules X and XI during the Congress of such year. Clause 1(d)(2)(B) of rule XI also requires that the report include a summary of the oversight plans submitted pursuant to clause 2(d) of rule X; a summary of the actions taken and recommendations made with respect to such plan; and a summary of any additional oversight activities undertaken by the committee and any recommendations made or actions taken thereon. Part A of this section contains the Oversight Plan of the Committee on Financial Services for the One Hundred Twelfth Congress, which the Committee considered and adopted on February 10, 2011. Part B of this section contains a summary of the actions taken to implement that plan and the recommendations made with respect to the plan. Additional oversight activities undertaken by the Committee, and the recommendations made or actions taken thereon, are contained in the specific sections relating to the activities of the Committee and each of the subcommittees. Part A OVERSIGHT PLAN OF THE COMMITTEE ON FINANCIAL SERVICES FOR THE ONE HUNDRED TWELFTH CONGRESS February 10, 2011.--Approved by the Committee on Financial Services ---------- Mr. BACHUS, from the Committee on Financial Services, submitted to the Committee on Oversight and Government Reform and the Committee on House Administration the following R E P O R T Clause 2(d)(1) of rule X of the Rules of the House of Representatives for the 112th Congress requires each standing committee, not later than February 15 of the first session, to adopt an oversight plan for the 112th Congress. The oversight plan must be submitted simultaneously to the Committee on Oversight and Government Reform and the Committee on House Administration. The following agenda constitutes the oversight plan of the Committee on Financial Services for the 112th Congress. It includes areas in which the Committee and its subcommittees expect to conduct oversight during this Congress, but does not preclude oversight or investigation of additional matters or programs as they arise. Any areas mentioned in the oversight plan may be considered by the Financial Services Committee, the five subcommittees of jurisdiction or the Subcommittee on Oversight and Investigations. The Committee will consult, as appropriate, with other committees of the House that may share jurisdiction on any of the subjects listed below. The Dodd-Frank Wall Street Reform and Consumer Protection Act Enacted in response to the financial crisis of 2008 and the bail-outs of large Wall Street firms at taxpayer expense, the Dodd-Frank Act (P.L. 111-203) represents the most extensive change in the regulation of financial institutions since the Great Depression. The Dodd-Frank Act requires federal regulators to undertake more than 240 rule-makings and to carry out over 60 studies. The implementation of the Dodd-Frank Act will affect not only every financial institution that does business in the United States but also non-financial institutions and consumers as well. The Dodd-Frank Act holds out the promise that it will ``promote the financial stability of the United States by improving accountability and transparency in the financial system,'' ``end `too big to fail,''' ``protect the American taxpayer by ending bailouts,'' and ``protect consumers from abusive financial services practices.'' One of the primary tasks of the Committee in the 112th Congress will therefore be to oversee the implementation of the Dodd-Frank Act to ensure that these objectives are being met. The Committee will conduct careful oversight and monitoring of the financial regulators charged with implementing the Dodd-Frank Act to ensure that they prudently exercise the new authority conferred upon them under the Act without unduly hampering the ability of consumers and businesses to obtain credit, or the ability of capital market participants to allocate capital to productive uses, mitigate risk, and grow the economy. In particular, the Committee will seek to ensure that regulators carefully and transparently assess the costs and benefits of regulations called for by the Dodd-Frank Act in order to strike an appropriate balance between prudent regulation and economic growth. The Committee will assess the results of the implementation of the Dodd-Frank Act in order to improve those parts of the Act that work well while changing those parts that do not, and to identify and remedy unintended consequences, such as restrictions of access to credit by consumers and businesses, impediments to investment and job creation, or higher costs of doing business that will be passed on to consumers. The Committee will also examine the international response to the Dodd-Frank Act to determine if the law could place the United States financial services industry at a competitive disadvantage. Specific Dodd-Frank Oversight Matters Financial Stability Oversight Council (FSOC). The Dodd- Frank Act creates an interagency body--the Financial Stability Oversight Council--charged with identifying, monitoring and addressing potential threats to U.S. financial stability. The Dodd-Frank Act requires the FSOC to report annually to Congress, to be followed by testimony by the Secretary of the Treasury in his capacity as FSOC Chairman. The Committee will conduct significant oversight over the FSOC, monitoring among other things the extent to which its designation of ``systemically significant'' firms may create an expectation among market participants that the government will not permit these firms to fail, as well as the effectiveness of the FSOC in making financial markets more stable and resilient. Office of Financial Research (OFR). The Dodd-Frank Act creates a new ``Office of Financial Research'' housed within the Department of the Treasury and grants it broad powers to compel the production of information and data from financial market participants. The OFR is to use this information to conduct research designed to improve the quality of financial regulation, and to monitor and report on systemic risk. Section 153 of the Dodd-Frank Act requires the OFR to report annually to Congress on the state of the U.S. financial system, and requires the Director of the OFR to testify annually before the Committee on the OFR's activities and its assessment of systemic risk. The Committee will conduct oversight of the OFR to ensure that the OFR's requests for data are not unduly burdensome or costly and that the confidentiality of the data that it collects is strictly maintained. The Committee will also assess whether the OFR duplicates data collection efforts already being undertaken by other regulatory bodies. Volcker Rule. On January 22, 2011, the Financial Stability Oversight Council issued recommendations on the implementation of Section 619 of the Dodd-Frank Act--the so-called Volcker Rule--which bars bank holding companies from engaging in proprietary trading and severely limits their ability to sponsor and invest in hedge funds and private equity. The Federal regulators have nine months to promulgate regulations based upon the FSOC's recommendations. The Committee will oversee the regulators' implementation of the Volcker Rule to ensure that it does not result in unintended consequences for U.S. economic competitiveness and job creation, or for the liquidity and efficiency of U.S. capital markets. Capital Markets Oversight and Restructuring of the Securities and Exchange Commission (SEC). The Committee will monitor all significant aspects of the SEC's operations to ensure that it fulfills its Congressional mandate. The Committee will carefully examine the SEC's budget requests to ensure that the agency deploys its resources effectively. The Committee will carefully examine the operations and organizational structure of the SEC, placing an emphasis on its supervisory and inspection functions. The Committee will also consider the impact of separating the SEC's examination and policy functions and whether such functions should be consolidated. The Committee will review the various reports and studies of the organizational structure and management of the SEC mandated by the Dodd-Frank Act, including the study being conducted by the Boston Consulting Group, to determine whether legislative reforms are needed to address the SEC's organizational structure and ensure that the SEC efficiently and effectively fulfills its investor protection mission. The Committee will also monitor steps taken by the SEC in response to findings by the Government Accountability Office that the SEC failed to maintain effective internal controls over its financial reporting, due to material weaknesses involving SEC's internal control over information systems and its financial reporting and accounting processes. Derivatives. The Committee will examine the operations, growth and structure of the over-the-counter (OTC) derivatives market. The Committee will explore how the Dodd-Frank Act fundamentally reforms the use of OTC derivatives and how the SEC, the Commodity Futures Trading Commission (CFTC), the Federal Reserve, and the Department of Treasury are implementing new rules required by the Dodd-Frank Act to govern the OTC marketplace. The Committee will review whether the pace and breadth of rulemaking required by the Dodd-Frank Act may lead to unintended consequences in the area of jobs, the economy, the proper functioning of U.S. capital markets, international competitiveness, and appropriate risk mitigation. The Committee will examine all facets of the derivatives market, including clearing, exchange or swap execution facility trading; the roles of dealers, inter-dealer brokers, data repositories, clearinghouses, and end-users; trade and price reporting; and ownership and governance restrictions. The Committee will examine any requirements that federal regulators impose on ``end-users'' who use swaps to hedge against or mitigate risks. The Committee will examine transparency and clarity for the derivatives markets. The Committee will closely monitor Dodd-Frank implementation so that the new regulations foster market efficiency, provide market participants with important market information, and provide price transparency through the increased use of swap execution facilities and clearing organizations, when appropriate. The Committee will also examine the Dodd-Frank Act's prohibition of federal assistance to a ``swaps entity,'' which includes swap dealers and major swap participants (and the equivalents in security- based swaps), securities and futures exchanges, swap execution facilities (SEFs), and clearing organizations registered with the CFTC, the SEC, or any other federal or state agency. This prohibition will be examined against other provisions of the Dodd-Frank Act which allow for ``financial market utilities'' to have access to the Federal Reserve discount window in times of crisis. Credit Rating Agencies. The Committee will examine the continuing role that credit rating agencies, also known as Nationally Recognized Statistical Ratings Organizations (NRSROs), play in the United States financial markets, the SEC's oversight of NRSROs, how NRSROs are compensated, and whether their methodologies accurately reflect the risks associated with different debt instruments. The Committee will examine the impact of the Dodd-Frank Act on competition among current NRSROs, and on new and prospective NRSRO entrants. The Committee will examine the effect of the repeal of Rule 436(g) under the Securities Act of 1933, which resulted in significant disruption in the asset-backed securities marketplace. The Committee will examine the implementation by federal regulators of provisions in the Dodd-Frank Act requiring them to establish new standards for evaluating credit-worthiness that do not include references to ratings issued by NRSROs. Securitization and Risk Retention. The Committee will monitor the joint risk retention rulemaking pursuant to Section 941 of the Dodd-Frank Act to ensure that the development and implementation of the risk retention rules promote sound underwriting practices without constricting the flow of credit and destabilizing an already fragile housing market, and that those rules appropriately differentiate among multiple asset classes. The Committee will focus particular attention on the joint rulemaking to define a class of ``qualified residential mortgages'' (QRMs) that will be exempt from risk retention requirements. The Committee will also comprehensively examine the asset backed securities market, the securitization of mortgages and issues related to the assignment and servicing of securitized mortgages. Regulation and Oversight of Broker-Dealers and Investment Advisers. The Committee will examine the study mandated by Section 913 of the Dodd-Frank Act, which requires the SEC to review the effectiveness of the legal and regulatory standards of care applicable to broker-dealers and investment advisers when providing personalized investment advice to retail customers. The Committee will also examine the study mandated by Section 914 of the Dodd-Frank Act, which requires the SEC to report on the need for enhanced examination and enforcement resources for investment advisers, and on whether self- regulatory organizations or user fees should be used to augment SEC and state oversight of investment advisers. Advisers to Private Funds. The Committee will examine the functions served by advisers to private funds, including hedge funds, private equity funds, and venture capital funds in the United States financial marketplace. The Committee will review the role hedge funds and private pools of capital serve in the capital markets, and their interaction with investors, financial intermediaries, and public companies. The Committee will examine the Dodd-Frank Act's mandate that advisers to private funds with more than $150 million in assets under management register with the SEC under the Investment Advisers Act of 1940. Securities Investor Protection Corporation (SIPC). The Committee will review the operations, initiatives, and activities of the Securities Investor Protection Corporation, as well as the application of the Securities Investor Protection Act (SIPA). In light of SIPC's exposure to the failures of Bernard L. Madoff Investment Securities and Lehman Brothers, the Committee will examine SIPC's existing reserves, member broker-dealer assessments, access to private and public lines of credit, and coverage levels, as well as proposals to improve SIPC's operations and management. The Committee will also review the impact of the provisions of the Dodd-Frank Act that amend the Securities Investor Protection Act, and the work and recommendations of the SIPC Modernization Task Force. Municipal Securities. In light of concerns over potential defaults by state, county, city, and local governments, the Committee will monitor the health of the United States municipal securities markets and consider reforms to increase transparency in that segment of the capital markets. The Committee will also consider the apparent trend in the municipal bond market away from the issuance of general obligation bonds toward revenue bonds, and the implications of that trend on the possibility of defaults. The Committee will also consider the possible consequences of state and municipal budget shortfalls and possible defaults on the municipal debt markets and the U.S. financial system. The Committee will also examine provisions of the Dodd-Frank Act designed to strengthen the oversight of the municipal securities industry and broaden municipal securities market protections to cover unregulated market participants and their financial transactions with municipal entities. Municipal Securities Rulemaking Board (MSRB). The Committee will review the operations, initiatives and activities of the Municipal Securities Rulemaking Board. The Committee will review the changes imposed by the Dodd-Frank Act, which altered the MSRB's governance to include the protection of state and local government issuers, public pension plans, and others whose credit stands behind municipal bonds, in addition to protecting investors and the public interest. The Committee will also review the MSRB's regulation of municipal advisors. Capital Formation. The Committee will survey regulatory impediments to capital formation and seek both regulatory and market-based incentives to increase access to capital, particularly for those small companies contemplating an initial public offering. The Committee will also examine the SEC's efforts to fulfill its Congressional mandate of promoting capital formation. Equity/Option Market Structure. The Committee will review recent developments in the United States equity and option markets and the SEC's response to those developments. The Committee will closely monitor the SEC to ensure that the Commission follows its mandate to promote fair, orderly and efficient markets, and that any new regulations foster market efficiency, competition and innovation, and are based on economic and empirical market data. The Committee will also monitor the work of the Joint CFTC-SEC Advisory Committee on Emerging Regulatory Issues, as it develops regulatory or legislative recommendations that attempt to respond to the extraordinary market movements on May 6, 2010. Covered Bonds. The Committee will review the potential for covered bonds to increase mortgage and broader asset class financing, improve underwriting standards, and strengthen United States financial institutions by providing a new funding source with greater transparency, thereby fostering increased liquidity in the capital markets. The Committee will also review whether existing regulatory initiatives, including the Department of the Treasury's ``Best Practices for Residential Covered Bonds'' and the FDIC's covered bond policy statement to ``facilitate the prudent and incremental development of the U.S. covered bond market'' are sufficient to foster the creation of a covered bond market in the United States, or whether additional regulatory or legislative initiatives are necessary. Corporate Governance. The Committee will review developments and issues concerning corporate governance at public companies. The Committee will examine how the Dodd-Frank Act will impact the corporate governance practices of all issuers, particularly small public companies. The Committee will also examine the services provided by proxy advisory firms to shareholders and issuers and will consider current SEC proposals that seek to modernize corporate governance practices. The Committee will continue to monitor the effect that the Sarbanes-Oxley Act of 2002 has on the capital markets; the impact of the permanent exemption from Section 404(b) for public companies with less than $75 million in market capitalization included in Dodd-Frank; and proposals to further modify this exemption. Employee Compensation. The Committee will monitor the implementation of provisions in the Dodd-Frank Act governing the compensation practices at public companies and financial institutions. Among the issues to be examined are the independent compensation committee requirement; the required disclosure and compilation of data to compare the pay of the CEO with the median pay of all employees of every public company; the clawback of erroneously awarded employee compensation; and the authority given to federal regulators to prohibit incentive-based compensation structures that encourage ``inappropriate risks'' at financial institutions with more than $1 billion in assets. Securities Litigation. The Committee will examine the effectiveness of the Private Securities Litigation Act of 1995 in protecting issuers from frivolous lawsuits while preserving the ability of investors to pursue legitimate actions. Securities Arbitration. The Committee will examine developments in securities arbitration, including the impact of the arbitration-related provisions contained in the Dodd-Frank Act, specifically Section 921, which provide the SEC with the authority to restrict mandatory pre-dispute arbitration, and the impact that the exercise of that authority could have on existing arbitration agreements and on issuers and investors generally. Securities Fraud. The Committee will review the SEC's compliance, inspections, examinations, and enforcement functions to ensure that adequate mechanisms exist to prevent and detect securities fraud. The Committee will also monitor the SEC's implementation and adherence to the reforms recommended by the SEC's Office of Inspector General resulting from the Commission's failure to detect either the Bernard Madoff or Allen Stanford Ponzi schemes. Mutual Funds. The Committee will examine the state and operation of the U.S. mutual fund industry. This examination will include reviewing the SEC's regulation of money market mutual funds, and any proposed changes to the calculation of a money market funds' ``net asset value'' (NAV). The Committee will also review any proposals by the Financial Stability Oversight Council to designate non-bank financial institutions such as mutual funds as ``Systemically Important Financial Institutions.'' Public Company Accounting Oversight Board (PCAOB). The Committee will review the operations, initiatives and activities of the PCAOB. The Committee will also monitor the PCAOB's exercise of its new authority to register, inspect and discipline the auditors of broker-dealers, and the impact that this increased oversight may have on the PCAOB's operations. The Committee will also review the extent to which the PCAOB's new authority to share information with its foreign counterparts is sufficient to permit PCAOB inspectors to examine non-U.S. auditors. The Committee will also monitor the PCAOB's oversight of the auditors of financial statements of Chinese companies that register and trade their securities in the United States. Financial Accounting Standards Board (FASB). The Committee will review the initiatives of the Financial Accounting Standards Board (FASB) and its responsiveness to all segments of the capital markets; the FASB's relationship with the SEC; and proposals to enhance Congressional oversight of the FASB. The Committee will monitor and review the FASB's specific projects, including but not limited to fair value accounting for financial instruments, particularly as it affects small community banks; multi-employer pension plans; loss contingencies; and lease accounting, to ensure that any revisions provide useful information to investors without disrupting the capital markets or improperly burdening issuers and preparers. Government Accounting Standards Board (GASB). The Committee will review the role of the Government Accounting Standards Board (GASB), which formulates accounting standards for the voluntary use of state and local governments that issue securities. The Committee will review the implementation of Section 978 of the Dodd-Frank Act, which directs the SEC to require the Financial Industry Regulatory Authority (FINRA) to collect fees from its members (broker-dealers and other securities professionals) and to remit such fees to the Financial Accounting Foundation, GASB's parent organization. Convergence of International Accounting Standards. The Committee will review efforts by the SEC, the FASB, and the International Accounting Standards Board to achieve robust, uniform international accounting standards. The Committee will also monitor the SEC's plans to incorporate those standards as part of United States financial reporting requirements. Business Continuity Planning. The Committee will continue its oversight of the implementation of disaster preparedness and business continuity measures by the financial services industry in order to minimize the disruptions of critical operations in the United States financial system in the event of natural disasters, terrorist attacks, or pandemics. Government Sponsored Enterprises Charter Restructuring for Government Sponsored Enterprises (GSEs). On September 7, 2008, the Federal Housing Finance Agency (FHFA) placed Fannie Mae and Freddie Mac into conservatorship. To date, Fannie Mae has tapped $88 billion and Freddie Mac has used nearly $63 billion in taxpayer funds, making the GSE conservatorship the costliest of all the taxpayer bail-outs carried out over the past three years. The decision to bail out Fannie Mae and Freddie Mac and place them in conservatorship has raised fundamental questions about the viability of their public-private organizational structure. The Committee will examine proposals to modify or terminate Fannie Mae's and Freddie Mac's statutory charters. GSE Regulatory Reform. The Committee will monitor the activities of the Federal Housing Finance Agency, which was established in 2008 to oversee Fannie Mae, Freddie Mac and the Federal Home Loan Banks, and will consider its effectiveness. The Committee will also consider the appropriate role, if any, for the Federal government in the secondary mortgage market. Federal Home Loan Bank (FHLB) System. The Committee will monitor the capital requirements, financial health, and stability of the FHLB System, as well as the FHLB System's ability to fulfill its housing mission and provide liquidity to the cooperative's member banks in a safe and sound manner. The Committee will pay particular attention to recent reports that some of the Federal Home Loan Banks may fall below required capital levels. FHLB Community and Economic Development. The Committee will review efforts to advance community and economic development within the FHLB System, including the implementation of the enhanced targeted economic development lending for small business, small farms, and small agri-businesses allowed under the Gramm-Leach-Bliley Act, and the performance of the FHLBs in implementing the community investment cash advance regulation. Resolution Funding Corporation (REFCorp) Payments. The Committee will monitor the efforts of the housing GSEs to pay the obligations of REFCorp, which was established to cover the costs of resolving the savings-and-loan crisis and the policy implications for the GSEs upon the satisfaction of the remaining REFCorp debts. Legal Fees. The Committee will examine the expenditure of more than $160 million in federal funds to defend Fannie Mae, Freddie Mac and their top executives in lawsuits since the GSE conservatorship began in September 2008. The Committee will consider ways to limit further taxpayer exposure. GSE Contracting with Non-Profits. To ensure that the GSEs are not engaging in risky activities that undermine the conservatorships, the Committee will examine the relationships that Fannie Mae and Freddie Mac maintain with non-profit organizations that provide services, including housing counseling, to potential homeowners. The Committee will also examine whether the payments non-profits receive for services provided to the GSEs are appropriate; whether GSE funds provided to non-profits are used for political activities; and whether adequate procedures are in place to protect the GSEs from fraud. GSE Foreclosure and Loan Modification Protocols. The Committee will review Fannie Mae's and Freddie Mac's guidance to mortgage servicers and participation in government mortgage modification programs generally to ensure that undue political influence does not result in even greater losses to taxpayers from the GSE conservatorships. Mortgage Putbacks and Repurchase Agreements. The Committee will monitor Fannie Mae's and Freddie Mac's mortgage putback and repurchase agreements with loan originators to ensure that these agreements are consistent with market practice and the FHFA's conservatorship responsibilities. Financial Institutions and Consumer Credit Bureau of Consumer Financial Protection (CFPB). The Committee will oversee the establishment, operations, and activities of the new Bureau of Consumer Financial Protection established under title X of the Dodd-Frank Act. Under the Act, the CFPB is to begin operations on or before July 21, 2011, when the consumer protection functions and rule-writing authority of other Federal financial regulators will transfer to the new agency. The Committee will seek to ensure that the CFPB's rules and enforcement initiatives protect consumers against unfair and deceptive practices without stifling economic growth, job creation, or reasonable access to credit. The Committee will examine whether the CFPB's budget is appropriate and will ask whether the CFPB's budget should be subject to Congressional appropriations. The Committee will evaluate the powers of its presidentially-appointed director to write rules, supervise compliance, and enforce consumer protection laws. The Committee will monitor the impact of CFPB rules on small businesses and on financial institutions with fewer than $10 billion of assets. The Committee will receive the statutorily required semi-annual testimony of the Director, once he or she is nominated and confirmed. Troubled Asset Relief Program (TARP) and other Initiatives to Stabilize the Financial System. The Committee will continue to examine closely the operation of the TARP authorized by the Emergency Economic Stabilization Act (EESA). This oversight will include working with the Government Accountability Office, the Congressional Oversight Panel, and the Special Inspector General for TARP to ensure that the program adequately protects taxpayer interests and that its operations are transparent and accountable. The Committee will also ensure that Treasury regularly reports to the Committee on matters of lending, liquidity, and safety and soundness related to those financial institutions receiving TARP funds or guarantees. The Committee will also examine carefully whether the recipients of TARP funds are spending the money appropriately, with special attention paid to any instances of waste, fraud, and abuse. The Committee will concentrate on issues related to the distortion of TARP fund distribution caused by political pressure and interference rather than the judgment of the regulators. The Committee will carefully analyze the unwinding of TARP facilities and programs to ensure that taxpayer recoveries are maximized and remaining funds are used for deficit reduction, as contemplated by EESA. ``Too Big to Fail.'' The Committee also will examine the application by Federal regulators of the ``too big to fail'' doctrine and the designation of ``systemically significant'' institutions to determine if these are effective, fair or rational public policy distinctions. The Committee will also consider whether the Dodd-Frank Act and the ``orderly resolution authority'' set forth in Title II of the Act provide an effective mechanism for imposing market discipline and promoting financial stability. The Committee will ask whether government actions to prop up large, complex financial institutions imply that other institutions are ``too small to save,'' and if recent interventions by the Treasury Department and Federal Reserve have prejudiced local and community banks and credit unions at the expense of institutions the regulators believe are ``too big to fail.'' As part of that review, the Committee will study the ways that financial institutions have expanded and the incentives that drove them to grow. Attention will be given to the conversion of investment banks to bank holding companies during the financial crisis and their long- term impact on the U.S. economy and regulatory structure. The Committee will closely evaluate the government agencies and offices which are now responsible for the supervision and potential resolution of ``systemically significant'' financial institutions. In examining the ``too big to fail'' issue, the bailout of the American International Group (AIG) will be carefully reviewed to determine whether the disparate treatment of large creditors and small creditors was consistent with the American expectation of equal treatment of all by government agencies. Financial Supervision. The Committee will continue to examine Federal regulators' safety and soundness supervision of the banking, thrift and credit union industries, to ensure that systemic risks or other structural weaknesses in the financial sector are identified and addressed promptly. The Committee may also ask each financial regulatory agency to review its promulgated rules and identify those which may be unnecessarily burdensome or outdated. Additionally, the Committee's examination of the regulatory system will encompass the trend toward consolidation in the banking industry, which requires Federal regulators to maintain the expertise and risk evaluation systems necessary to oversee the activities of the increasingly complex institutions under their supervision. As an extension of this examination, the Committee will assess the degree to which the increasing concentration of bank assets in the largest institutions may contribute to a regulatory environment that discriminates against the smaller, but much more numerous community banks. The Committee will review the ``Interagency Statement on Meeting the Credit Needs of Creditworthy Small Business Borrowers'' issued by the federal financial institutions regulatory agencies and the state supervisors on February 10, 2010, to ensure that the policy is being appropriately implemented by examiners in the field. Basel III. The Committee will examine new global bank capital and liquidity rules being developed by the Basel Committee on Banking Supervision, paying particular attention to implementation, compliance burdens and global coordination. Interchange Fees. The Committee will examine general issues involving the setting of interchange fees. In particular, the Committee will evaluate the Federal Reserve's rulemaking under Section 1075 of the Dodd-Frank Act and its effect on merchants, banks, credit unions, consumers, and the payment processing networks. Section 1075 requires the Federal Reserve to establish, by July 2011, a price cap for debit card interchange fees, mandating that the fee be ``reasonable and proportional'' to the cost incurred by the issuing bank. Financial Crisis Inquiry Commission (FCIC). The Financial Crisis Inquiry Commission was created by Congress in 2009 to ``examine the causes, domestic and global, of the current financial and economic crisis in the United States'' (P.L. 111- 21). The Commission issued its final report on January 27, 2011, accompanied by dissenting views filed by individual Commissioners. The statute creating the FCIC requires that its chairperson appear before the Committee to present its findings not later than 120 days after the issuance of its final report. Mortgage Servicing. The Committee will continue its review of deficiencies in mortgage servicing practices, including irregularities in the foreclosure documentation process. This review will encompass recent reports that active-duty military families have been overcharged on their mortgages or have faced wrongful foreclosures. The Committee will assess whether comprehensive national servicing standards are necessary and appropriate, and if so, how such standards should be implemented. To the extent the regulatory agencies seek to implement national mortgage servicing standards, the Committee will review those standards to ensure that proper authority exists for such regulations and that deficient practices are adequately addressed without unduly increasing the cost of mortgage financing. Small Business Lending Fund and the State Small Business Credit Initiative. The Committee will examine the Treasury Department's implementation of the Small Business Jobs Act of 2010, with a specific focus on the Small Business Lending Fund (SBLF). The Committee will evaluate the program's effectiveness at encouraging new lending to small business and protecting taxpayers from losses on the government's injections of capital in banks. Deposit Insurance. The Committee will monitor the solvency of the Deposit Insurance Fund and changes to the assessments charged by the FDIC as mandated by the Dodd-Frank Act to ensure that deposit insurance continues to serve its historic function as a source of stability in the banking system and a valued safety net for depositors. Bank Failures. The Committee will examine the process the FDIC uses to supervise and, if necessary, resolve community banks and the procedures followed by the FDIC and other bank supervisors in making this determination. Some observers have noted there are inconsistencies in the application of FDIC practices as a bank moves into prompt corrective action and towards a failure. Further, the Committee will study the costs and benefits of loss share agreements to the deposit insurance fund and the American taxpayer. The Committee will also study how the FDIC's resolution procedures, including but not limited to loss share agreements, affect access to credit for small business customers of a failed bank. The Committee will examine the effectiveness of FDIC guidance and its subsequent application in the FDIC's supervision of community banks, particularly as it relates to appraisals of real estate assets. Credit Unions. The Committee will review issues relating to the safety and soundness and regulatory treatment of the credit union industry. In particular, the Committee will examine the failures in the corporate credit union system and evaluate possible reforms to the system and to the National Credit Union Administration (NCUA). Regulatory Burden Reduction. The Committee will continue to review the current regulatory burden on banks, thrifts, and credit unions with the goal of reducing unnecessary, duplicative, or overly burdensome regulations, consistent with consumer protection and safe and sound banking practices. Credit Scores and Credit Reports. The Committee will continue to monitor the accuracy and use of credit reports and credit scores with a specific focus on their impact on the availability of consumer credit. Internet Gambling. The Committee will continue to oversee the implementation of the Unlawful Internet Gambling Enforcement Act (UIGEA) and whether the final regulations drafted by the Treasury Department and Federal Reserve, in consultation with the Justice Department, will effectively curtail illegal Internet gambling. Access to Financial Services. The Committee will continue to explore ways to expand access to mainstream financial services by traditionally underserved segments of the U.S. population, particularly those without any prior banking history (commonly referred to as ``the unbanked''). Credit Card Regulation. The Committee will continue its review of credit card industry practices, particularly those relating to marketing, fees and disclosures. The Committee will monitor the implementation of recent Federal Reserve regulations (i) defining unfair and deceptive credit card industry practices and (ii) making the format and content of credit card disclosures required by Truth in Lending more effective. The Committee will also continue to evaluate the impact of the Credit CARD Act of 2009 (Public Law 111-24) on credit availability to consumers and small businesses alike and will study whether the rules have led to higher consumer costs for other financial products. Community Development Financial Institution Fund. The Committee will continue to oversee the operations of the Community Development Financial Institutions Fund (CDFI Fund) which was created in 1994 to promote economic revitalization and community development. The Committee will examine the CDFI Fund's contributions to community revitalization and measure its impact on efforts in rural, urban, suburban, and Native American communities. The Committee will also monitor the CDFI Fund's administration of the New Markets Tax Credit program (NMTC), including reviewing the efforts being taken by the Fund to assist minority- owned community development entities to effectively compete for allocations under the NMTC program. Community Reinvestment Act of 1977. The Committee will continue to review developments and issues related to the Community Reinvestment Act of 1977 (CRA). The Committee will also explore recommendations for updating or eliminating CRA requirements in light of changes in the financial services sector. Credit Counseling. The Committee will continue to review the credit counseling industry, which provides financial education and debt management services to consumers seeking to address excessive levels of personal indebtedness. Financial Literacy. The Committee will continue its efforts to promote greater financial literacy and awareness among investors, consumers, and the general public. As part of these efforts, the Committee will monitor the operations, and evaluate the efficacy, of the Financial Literacy and Education Commission. The Commission was established to coordinate efforts of the Federal government and encourage government and private sector initiatives to promote financial literacy. Discrimination in Lending. The Committee will examine the effectiveness of Federal fair lending oversight and enforcement efforts. Diversity in Financial Services. The Committee will continue to explore the financial services industry's efforts to attract and retain a diverse workforce. The Committee will also review the policies, programs, and initiatives of the Federal financial regulators to promote, obtain, and report on supplier diversity, particularly with the use of asset managers, investment bankers, and other providers of professional services under any programs to assist troubled financial institutions. The Committee will continue to monitor Federal regulators' efforts to implement the diversity requirements of the Dodd-Frank Act. Money Laundering and the Financing of Terrorism. The Committee will review the enforcement of anti-money laundering and counter-terrorist financing laws and regulations. The Committee's work in this area will include an examination of (1) the costs and benefits of ongoing regulatory and filing requirements, and (2) opportunities to decrease the burden of complying with these and similar statutes without impairing the operations of law enforcement. The Committee will examine emerging threats in the financing of terrorist activities and the use of informal methods of transferring value, while keeping in consideration the fact that these services are lifelines for some immigrants' families overseas. The Committee will also monitor the practice of data mining and examination of personal financial information conducted by government agencies, to ensure that an appropriate balance is struck between law enforcement priorities and the protection of civil liberties. Data Security and Identity Theft. Building on the Committee's long-standing role in developing laws governing the handling of sensitive personal financial information about consumers, including the Gramm-Leach-Bliley Act and the Fair and Accurate Credit Transactions Act (FACT Act), the Committee will continue to evaluate the need for legislation that better protects the security and confidentiality of such information from any loss, unauthorized access, or misuse. The scope of this review will encompass the data security policies and protocols of the Federal agencies within the Committee's jurisdiction. The Committee will also examine the threats of cyber crime against individuals, businesses and financial institutions to identify best practices that can protect against identify theft and related cyber crimes. Money Services Businesses' Access to Banking Services. The Committee will examine the availability of account services to Money Services Businesses (MSBs) and assess the effectiveness of the Financial Crimes Enforcement Network (FinCEN) and Internal Revenue Service regulation of MSBs, and of FinCEN regulatory guidance to both MSBs and financial institutions. The Committee will review steps that could be taken to provide MSBs with appropriate access to the banking system. Appraisals. The Committee will examine reports of appraisal fraud and the effectiveness of the Appraisal Subcommittee of the Federal Financial Institutions Examination Council in overseeing State-based appraisal enforcement and licensing programs, and the need for appraisal regulatory reform. The Committee will also explore the implementation of the appraisal independence standards adopted by the Federal Reserve in its 2008 rulemaking under the Home Ownership and Equity Protection Act. Transaction Account Guarantee Program: Section 343 of the Dodd-Frank Act extends the Transaction Account Guarantee Program (originally set to expire on December 31, 2010), pursuant to which the FDIC guarantees all funds held in qualifying noninterest-bearing accounts at insured depository institutions, for an additional two years. The Committee will monitor the program to ensure that taxpayers are adequately protected from losses. Insurance National Flood Insurance Program (NFIP). The Committee will review and consider proposed reforms to the National Flood Insurance Program, which is currently authorized through September 30, 2011. Since 2006, the Government Accountability Office has designated the NFIP as a high-risk program because of its potential to incur billions of dollars in losses and because the program faces serious financial, structural, and managerial challenges. Due to extraordinary losses incurred following the hurricanes in 2005, the program carries a debt of $17.5 billion as of December 31, 2010. Federal Insurance Office (FIO). The Committee will monitor the establishment of the new Federal Insurance Office created under Title V of the Dodd-Frank Act, paying particular attention to the FlO's limited scope of authority and specific functions. The Committee will work to ensure that the new office is focused on developing expertise on insurance matters and does not impose unwarranted or excessive data collection burdens on the insurance sector or on small insurers in particular. The Committee will also monitor implementation of the FlO's authority to coordinate policy and represent the U.S. on international insurance issues, as well as implementation of new joint authority for Treasury and the U.S. Trade Representative to negotiate international agreements on insurance measures. The Committee will also examine recommendations on improving U.S. insurance regulation made by the director of the Federal Insurance Office, which must be submitted to Congress by January of 2012. State-Based Insurance Reforms. The Committee will monitor the implementation of provisions included in Title V of the Dodd-Frank Act to streamline the regulation of non-admitted (surplus lines) insurance and reinsurance. In monitoring these and other state-based insurance regulatory reform efforts, the Committee will seek to assess whether they are achieving uniform standards to enhance the efficiency and effectiveness of state insurance and reinsurance regulation. Impact of Dodd-Frank Act Implementation on the Insurance Sector. The Committee will monitor implementation of various provisions in the Dodd-Frank Act for their potential impact on the insurance sector--including but not limited to the new Financial Stability Oversight Council, the new Orderly Liquidation Authority, the new Office of Financial Research, and the new Consumer Financial Protection Bureau, as well as new restrictions on proprietary trading and investments (Volcker Rule), revised capital standards for bank and thrift holding companies (the Collins Amendment), and new rules for swaps and derivatives that affect end users--to ensure that new regulations do not impose unwarranted or excessive burdens on the insurance sector that might result in higher costs for individuals or businesses that purchase insurance products and services or result in unintended consequences for U.S. economic competitiveness and job creation. State Insurance Guaranty Funds. The Committee will monitor the capacity and effectiveness of State Insurance Guaranty Funds to enhance stability in the insurance sector and to ensure that the financial interests of insurance policyholders are sufficiently protected in cases where insurance companies become insolvent. Terrorism Risk Insurance Program. The Committee will review the Terrorism Risk Insurance Program, which expires on December 31, 2014, for its ongoing impact on the private commercial property insurance market and economic stability. Housing Housing and Urban Development, Rural Housing Service, National Reinvestment Corporation. The Committee will review the Department of Housing and Urban Development (HUD) budget. The Department's budget has increased steadily in recent years, from $31.92 billion in fiscal year 2005 to $46.998 billion in fiscal year 2010. The Committee will also review current HUD programs with the goal of identifying program spending cuts or eliminating inefficient and duplicative programs. Given the continued rise in HUD discretionary spending levels, the Committee will review unauthorized programs to determine whether they should continue to receive funding. The Committee will review and hear testimony from the Administration on those budgets under its jurisdiction. Testimony is expected from HUD, the Rural Housing Service, and the National Reinvestment Corporation. HUD Inspector General Reports. The Committee has received multiple reports from the HUD Inspector General outlining improper implementation, poor oversight, and misuse of funds in several of HUD's programs. The Committee will conduct a hearing with the HUD Inspector General in an effort to better understand the program deficiencies outlined in these reports. Federal Housing Administration (FHA)--Single Family. Increased delinquencies and foreclosures across the nation have had a detrimental effect on the financial health of the FHA program. The most recent actuarial report for fiscal year 2010, released in November, found that the capital reserve ratio for the Mutual Mortgage Insurance Fund (MMIF) was 0.50 percent, well below the statutorily mandated level of 2 percent. This is particularly troubling at a time when FHA's share of the single family mortgage market continues to increase. The Committee will examine the appropriate role for the FHA program in the mortgage finance system, and the ability of the FHA to manage its mortgage portfolio and mitigate its risk. Federal Housing Administration (FHA)--Multi-Family. The FHA Multi-family program offers loan guarantees to address specialized mortgage financing needs, such as mortgage insurance for rehabilitating, developing, and refinancing apartment buildings, nursing home facilities, and nonprofit hospitals. The Committee will exercise oversight of the FHA's General Risk and Special Risk Insurance fund to ensure that losses to the fund will not expose taxpayers to loss. Government Foreclosure Mitigation Programs. The Committee will review the Obama Administration's well-intentioned but unsuccessful foreclosure mitigation initiatives, including the Making Home Affordable Program (HAMP). The Administration predicted that HAMP would keep some 3 to 4 million families at risk of foreclosure in their homes. Nearly two years after the program's inception, it has fallen far short of those goals: last December, the Congressional Oversight Panel estimated that HAMP would ultimately prevent only 700,000 to 800,000 foreclosures. The Administration's foreclosure mitigation initiatives--including those administered by Fannie Mae and Freddie Mac--have been characterized by persistently high rates of redefault, and the hundreds of thousands of homeowners who have failed trial modifications are often left worse off than if they had never participated in the programs. Though the Administration has attempted to fix its foreclosure mitigation initiatives--making hundreds of programmatic changes over the course of the last two years--the Committee will examine the reasons these programs remain a failure; whether they can ever be successful; and whether there are better ways to spend the public's money. The Committee will also consider possible unintended consequences of foreclosure mitigation programs, including delays in the foreclosure process caused by strategic defaulters who seek mortgage modifications with no intention of complying with the modified terms; losses resulting from such strategic defaults that are borne by neighborhoods, investors, and taxpayers; and the impediments such strategic defaults pose to the stabilization of home prices and housing market recovery. Section 8 Housing Choice Voucher Program. The Committee will continue its effort to reform HUD's largest rental assistance program. The Committee will review the rising costs of the Section 8 program. Funding for the Section 8 program in fiscal year 2009 was $16.817 billion and rose to $18.184 in fiscal year 2010. The Committee will review changes that can be made to the voucher program and assess the needs of the administrators of the voucher program as well as the voucher recipients. Housing Counseling. Between HUD and NeighborWorks, housing counseling programs have received $475 million since 2008. This is a substantial commitment of Federal dollars, and many of these counseling programs receive funding with little oversight or accountability. Accordingly, the Committee will conduct a comprehensive review of current housing counseling programs within HUD and NeighborWorks. The review will encompass Federal, State, private and non-profit efforts to use housing counseling funds with the goal of reducing or eliminating funding that is duplicative or ineffective. Government National Mortgage Association (GNMA). The Committee will conduct a comprehensive review of GNMA to determine whether its mission and/or authority meets contemporary housing needs that promote affordable housing. The Committee has requested that the Government Accountability Office review GNMA, focusing on the agency's solvency and its capacity to handle its increased market share. HOPE VI. The HOPE VI program provides grants to public housing authorities (PHAs) to demolish severely distressed public housing units and replace them with mixed-income developments. Previous Administrations have proposed eliminating funding for HOPE VI in their budget proposals because of delays and inefficiencies in the program. The Committee will review the effectiveness of HOPE VI, the reasons for the backlog of unspent funds, and whether the program has met its initial objectives. Public Housing. The Committee will review HUD's public housing programs. The spend-out rate for public housing funds continues to be slow and inefficient, and billions of dollars that have been committed remain unspent. Mortgage Broker Licensing and Oversight. The Committee will monitor implementation of the S.A.F.E. Mortgage Licensing Act of 2008, which established a mortgage originator licensing system and registry to better protect homebuyers. Loan Originator Compensation. The Committee will examine the implementation of proposed rules issued by the Federal Reserve governing mortgage origination compensation, which are scheduled to become effective April 1, 2011. The Committee is concerned that the rules may have an adverse impact on the ability of small businesses that originate mortgages to remain in business. The Committee will also review the interaction of existing real estate settlement rules with rules mandated by the Dodd-Frank Act. Homelessness. Currently, programs at seven different Federal agencies address homelessness, including HUD, the Department of Education (DOE), the Department of Veterans Affairs (VA), the Department of Justice (DOJ), and the Department of Health & Human Services (HHS). The Committee will consider alternatives to this fragmented structure, including improving coordination or consolidating Federal homelessness programs in order to reduce costs and improve oversight and transparency. The Committee will review the effectiveness of HUD programs and services for homeless veterans, children, youth, and families. Review of the Manufactured Housing Improvement Act. In 2000, the Manufactured Housing Improvement Act was signed into law with the goals of improving the process and standards under which manufactured homes are built; establishing a private sector consensus committee that would make recommendations to the Secretary of the Department of Housing and Urban Development (HUD) at least every two years on ways to keep the HUD code up to date; and clarifying the scope of Federal preemption and providing HUD with additional staff and resources. The Committee will review the implementation of this law to date, and consider complaints that certain aspects of the law have not been fully or properly implemented by HUD. International Monetary Policy and Trade Job Creation and U.S. Competitiveness. The Committee will examine United States international monetary and trade policies with an eye toward ensuring that those policies support the ability of U.S. companies to be competitive in the international marketplace, thereby promoting domestic job creation and economic opportunity. China. The Committee will monitor the implications of China's economic growth and policies on the U.S. and global economy. As China's economy and footprint expands, the degree to which it adopts responsible policies and practices that do not distort global markets or unfairly disadvantage its trading partners will be examined. Principal areas that the Committee will assess are currency exchange rates, China's role in multilateral bodies, and foreign access to China's domestic market. Export-Import Bank of the United States. The Export-Import Bank (Ex-Im Bank) is chartered by Congress to contribute to the employment of U.S. workers through financing exports of U.S. manufactured goods and services. The charter under which the Ex-Im Bank operates expires on September 30, 2011, and the Committee will therefore consider the Bank's reauthorization. The Ex-Im Bank has been a self-sustaining agency funded by the income it receives through its financing programs. The Committee will examine the Bank's policies and programs to ensure the continued fiscal soundness of the Bank. In addition, as part of the reauthorization process, the Committee plans to review the effectiveness of the Bank's financing programs in supporting the global competitiveness of U.S. companies, small and large, particularly given the liquidity challenges American businesses currently face. The Committee will also consider how the Bank can better compete with foreign credit export agencies to ensure that U.S. firms are not operating at a disadvantage against their foreign counterparts. International Trade. The Committee recognizes that American jobs are supported by U.S. exports, U.S. companies operating abroad, and foreign firms operating in the United States. The Committee will oversee existing trade programs, and consider policies within the Committee's jurisdiction to promote U.S. international trade so that American companies are globally competitive. The Committee will oversee the progress of the National Export Initiative and other Administration proposals to increase U.S. exports and create jobs in the United States. The Committee will remain active in the oversight of trade negotiations as they relate to the global competitiveness of the American financial services sector, to ensure such agreements improve access to foreign markets, increase trade opportunities for American businesses, and create jobs domestically. The Committee will consider the impacts of the recently agreed to U.S.-South Korea Free Trade Agreement and the pending U.S. Free Trade Agreements with Panama and Colombia and other agreements. Market Access. The Committee will assess opportunities to expand market access for U.S. companies and the financial services sector, and to promote policies that can bring about reciprocal market access with developing nations that currently limit or prevent U.S. firms from entering and operating within their national borders. In particular, the Committee will examine market access issues with regard to nations with which the U.S. has entered into free trade agreements. Extractive Industries and Conflict Materials. The Committee will monitor the implementation of provisions in title XV of the Dodd-Frank Act imposing new disclosure requirements relating to so-called conflict minerals and extractive industries, to ensure that the underlying objectives of the provisions are met but that unnecessary compliance burdens for U.S. firms are minimized. Annual Report and Testimony by the Secretary of the Treasury on International Monetary Fund Reform and the State of the International Financial System. The Committee will review and assess the annual report to Congress from the Secretary of the Treasury on the state of the international financial system and the International Monetary Fund (IMF). Pursuant to Section 613 of Public Law 105-277, the Committee will hear annual testimony from the Secretary of the Treasury on (1) progress made in reforming the IMF; (2) the status of efforts to reform the international financial system; (3) compliance by borrower countries with the terms and conditions of IMF assistance; and (4) the status of implementation of anti-money laundering and counterterrorism financing standards by the IMF, the multilateral development banks, and other multilateral financial policymaking bodies. The Committee is interested in hearing from the Secretary of the Treasury on international exchange rate policies and practices; the U.S. trade deficit; the implications of the accumulation of U.S. debt instruments in the accounts of its largest trading partners; and how U.S. international monetary policies and programs are promoting U.S. global competitiveness and contributing to the success of American businesses. Conduct of the International Financial Institutions (IFIs) and Possible U.S. Contributions. The Committee will consider any Administration request that the U.S. contribute to the replenishment of the concessional lending windows at the World Bank, the African Development Bank, and the Asian Development Bank. Concessional windows provide grants and below market-rate financing to the world's poorest nations; because the financing terms are discounted, the lending vehicles are not self- sustaining and require contributions from wealthier member nations. During consideration of any such request, the Committee will assess the effectiveness of these lending facilities in achieving economic development and promoting global economic stability. In addition, the Committee will consider the policies of the IFIs to ensure effective use of resources and appropriate alignment with U.S. interests in promoting economic growth and stability. Additionally, the Administration is expected to request that the Committee authorize funding for the U.S. share of the general capital increase (GCI) for the World Bank (International Bank for Reconstruction and Development), the Inter-American Development Bank, the Asian development Bank, the African Development Bank, the European Bank for Reconstruction and Development, and the International Finance Corporation. In examining such authorization requests, the Committee will consider the reforms each institution has agreed to make, as well as the missions and comparative strengths of each institution. Haiti. The Committee will continue to closely monitor the dire economic situation facing the people of Haiti and examine appropriate policy responses to help alleviate one of the worst cases of human misery in the hemisphere. The Committee will also consider the impact of the Inter-American Development Bank's capital increase proposal on Haiti over the next decade. International Monetary Fund (IMF). The Committee will assess the IMF's actions during and after the financial crisis to determine how best to leverage U.S. resources through this multilateral institution. This examination will center on the IMF's lending policies, its surveillance programs, and its reform efforts related to member-nation representation. Iran Sanctions. The Committee will monitor the implementation of the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 (Public Law 111- 195). Particular focus will be placed on whether financial services-related aspects of the law have been executed in accordance with the law's intent, and what the impact of such policies has been. Eurozone Distress. The Committee will monitor the economic distress in the Eurozone, which stems from unsustainable levels of sovereign debt in several European countries, and its impact on the U.S. and global economy. Further deterioration in the Eurozone's fiscal health may have implications beyond the continent's borders. Consequently, the Committee will examine actions taken by the IMF, the European Union and other nations to address the sovereign debt issues in the Eurozone. The Committee will also explore how best to protect U.S. interests while also ensuring that taxpayer dollars are not used to bail out foreign governments that have followed reckless fiscal paths. Global Capital Flows. The Committee will monitor the flow of capital globally. The buildup of large currency reserves in surplus nations can lead to imbalances in capital allocations and asset bubbles that threaten global economic stability. The Committee will assess the implications of the investment of these reserves on global financial stability. Domestic Monetary Policy and Technology The Economy and Jobs. In light of efforts to stimulate the economy through increased spending and accommodative Federal Reserve policies, the Committee will examine the extent to which changes in the economy, particularly those resulting from the economic crisis, have challenged assumptions about the relationship between monetary policy, government expenditures, deficits, employment, and economic growth. The Committee will examine the effectiveness and consequences of the extraordinary and simultaneous measures undertaken by the Federal Reserve and the executive branch on economic growth and employment. The Committee also will examine the effects of mounting Federal debt and annual Federal budget deficits on economic recovery and long-term economic growth. Conduct of Monetary Policy by the Board of Governors of the Federal Reserve System. The Committee will thoroughly examine the process by which the Federal Reserve sets and executes its monetary policy goals, while respecting the independence of the Federal Reserve's decision-making. The Committee will review the recent history of monetary policy decisions and examine the Federal Reserve's plan for removing excess liquidity from the economy after recovery is firmly established to prevent inflation. The Committee will examine the quality of economic data the Federal Reserve uses to make its decisions, the accuracy and utility of the Federal Reserve's econometric models, and the effect of the Federal Reserve's legislative mandates on its decisions. The Committee will pay particular attention to the upcoming Government Accountability Office audit of the Federal Reserve and seek further audits to ensure that the Federal Reserve's monetary policy decisions are based on the best data and models, and that it successfully executes open market operations to reach its goals. Of particular interest to the Committee will be the second round of quantitative easing undertaken by the Federal Reserve. As part of this review, the Committee will hold hearings to receive the Chairman of the Board of Governors of the Federal Reserve System's semi-annual reports on the conduct of monetary policy and the state of the economy. General Oversight of the Federal Reserve System. The Committee will conduct oversight of the operations of the Federal Reserve Board of Governors and the Federal Reserve System, including management structure, organizational changes mandated by the Dodd-Frank Act, and the role of the Federal Reserve in the supervision of systemically significant banks and non-bank financial institutions. As part of this review, the Committee will hold statutorily required semi-annual hearings to receive testimony from the Federal Reserve's Vice Chairman for Supervision, a position created by Section 1108 of the Dodd-Frank Act that the Obama Administration has not yet filled. Defense Production Act. The Committee will continue to monitor the effectiveness of the Defense Production Act and its individual authorities in promoting national security. Committee on Foreign Investment in the United States (CFIUS). The Committee will continue to monitor the implementation of the Foreign Investment and National Security Act of 2007, which reformed the Committee on Foreign Investment in the United States (CFIUS). The Committee will seek to ensure that CFIUS fulfills its statutory mandate to identify and address those foreign investments that pose legitimate threats to national security. The Committee will also monitor the extent to which the United States maintains a policy of openness toward foreign investment, so that investments that pose no threat to national security are able to proceed. Activities of the U.S. Mint and the Bureau of Engraving and Printing. The Committee will conduct oversight of the activities of these Treasury bureaus as they relate to the printing and minting of U.S. currency and coins, and of the operation of U.S. Mint programs for producing Congressionally authorized commemorative coins and Congressional gold medals. The Committee will examine methods to reduce the cost of minting coins. The Committee will examine efforts to make currency more accessible to the visually impaired. The Committee will continue its review of efforts to detect and combat the counterfeiting of U.S. coins and currency in the United States and abroad, and will examine the counterfeiting of rare or investment-grade coins, U.S.-made and otherwise. The Committee will examine the difficulties the Bureau of Engraving and Printing has experienced in producing the newest series of $100 bills, as well as the difficulties the U.S. Mint has experienced in meeting investor and collector demand for bullion coin products. The Committee also will begin an examination of the long-term demand for circulating coins and banknotes, and consider appropriate measures to maintain an adequate supply of each, while controlling costs to the taxpayer. The Financial Crimes Enforcement Network (FinCEN). The Committee will examine the operations of FinCEN and its ongoing efforts to implement its regulatory mandates pursuant to the Bank Secrecy Act (BSA), to combat money laundering and terrorist financing activities. The Committee will examine means to reduce the burden on financial institutions in complying with BSA regulations, while maintaining the utility of the filings required by the BSA to law enforcement. The Committee will examine the confidentiality of BSA reports and examine the guidance issued by FinCEN to BSA examiners to foster more uniform examination and enforcement practices. The Office of Foreign Asset Control (OFAC). The Committee will continue to monitor the functions of OFAC as its workload increases, and study ways of improving its working relationship with financial institutions. Payment System Innovations. The Committee will review government and private sector efforts to achieve greater innovations and efficiencies in the payments system. The Committee will examine payment system alternatives, including prepaid credit cards, the use of mobile devices to transfer and store value, web-based value-transfer systems, remote check deposit, and informal money transfer systems, businesses or networks, to determine both the efficiencies they can provide to customers, businesses and financial institutions, and their susceptibility to money laundering and terrorism financing, and other financial crimes. Clause 2(d)(1)(F) of Rule X of the House on Proposed Cuts Clause 2(d)(1)(F) of rule X of the Rules of the House of Representatives for the 112th Congress requires each standing committee to include in its oversight plan proposals to cut or eliminate programs, including mandatory spending programs, that are inefficient, duplicative, outdated, or more appropriately administered by State or local governments. The unsustainable Federal deficit caused by unchecked spending remains the most daunting challenge facing the U.S. economy. The deficit has created uncertainty among families, investors, and small business owners who do not know whether the value of saving and investment undertaken today will be eroded through inflation and higher taxes in the years ahead resulting from ever-increasing Federal deficits. Last month, the Congressional Budget Office issued its ten-year ``Budget and Economic Outlook,'' in which it estimated that the fiscal 2011 federal deficit will reach a record level of $1.48 trillion. The CBO's analysis confirms that the nation's current fiscal path is unsustainable. Only by making the difficult choices that are necessary to put the nation's fiscal house in order can the 112th Congress lay the groundwork for ensuring America's prosperity for future generations. The following are Federal programs under the jurisdiction of the Committee on Financial Services that will be reviewed for possible cuts, elimination, or consolidation into other Federal programs. HOPE VI/Choice Neighborhoods. The Hope VI Program was established to convert public housing developments that were distressed or dangerous into mixed-use, more viable housing. Both the Bush and the Obama Administrations have recommended eliminating HOPE VI funding in their budget proposals. The Obama Administration proposed replacing the HOPE VI program with a new Choice Neighborhoods Initiative. However, rather than eliminating HOPE VI and replacing the program with Choice Neighborhoods, both were funded in the FY 2010 budget. The HOPE VI program received $200 million in the fiscal year 2010 budget, with $60 million going to Choice Neighborhoods. Current unobligated funds for fiscal year 2010 total $198 million. The Committee recommends that the HOPE VI program be eliminated. Community Development Block Grants (CDBG). The CDBG program provides federal funds to cities and localities to help them address housing and community development. Rather than building communities, however, the CDBG program operates like a revenue sharing program for the states and localities. CDBG funds are allocated by a formula through which 70 percent of the funds are directed to ``entitlement communities''--which are central cities of metropolitan areas, cities with populations of 50,000 or more, and urban counties--and the remaining 30 percent is directed to states for use in small, non-entitlement communities. The fiscal year 2010 budget included $4.45 billion for the program. The Committee will consider ways to scale back the CDBG program, including but not limited to changes in the current distribution of CDBG formula funds. In addition, the Committee will review the eligible activities and oversight and administration of the program with the aim of ensuring that funds are used in an appropriate manner and with the express purpose of reducing the cost of the program. Brownfields Economic Development Initiative (BEDI). The BEDI program offers grants to localities for the redevelopment of abandoned, idled and underused industrial and commercial facilities where expansion and redevelopment is burdened by real or potential environmental contamination. BEDI is a competitive grant program whose purposes are served through much larger and more flexible Federal programs. Fiscal year 2010 funding was $18 million. The BEDI program is duplicative of other programs administered by the Environmental Protection Agency, and the Committee recommends that it be eliminated. Rural Housing and Economic Development (RHED). The RHED program provides grants to non-profits for capacity building at the state and local level for rural housing and economic development. This program is duplicative of other rural development funding programs administered by the Department of Agriculture. It was zeroed out by both the Bush and Obama Administrations in their budgets. Fiscal year 2010 funding for this program was $25 million. The Committee recommends that it be eliminated. Neighborhood Stabilization Program (NSP). Authorized under the American Recovery and Reinvestment Act of 2009, the NSP allocates federal financial assistance to states and local governments with high concentrations of foreclosed homes, subprime mortgage loans, and delinquent home mortgages. Two rounds of NSP funding have already been provided to states and localities, and the Dodd-Frank Act provided for a third round of grants to local governments and states to purchase and rehabilitate vacant and foreclosed properties. As a result, Federal funds continue to be directed to a program whose effectiveness has been questioned. For example, HUD Secretary Shaun Donovan announced in May 2010 that HUD would likely recapture and redistribute approximately $1 billion in unobligated NSP funds. In light of current budget deficits and the concerns raised regarding the administration and oversight of this program, the Committee recommends that the $1 billion in unobligated NSP funds be rescinded and that the program be eliminated. Sustainable Communities. In the 2010 Consolidated Appropriations Act (Public Law 111-117), Congress provided a total of $150 million to HUD for a Sustainable Communities initiative. The goal of this grant program is to improve regional planning efforts that integrate housing and transportation decisions, and increase state, regional, and local capacity to incorporate livability, sustainability, and social equity values into land use plans and zoning. While the goals of the program have merit, the nation cannot afford another new program and the Committee believes that these decisions are best left to state and local governments and zoning boards. The Sustainable Communities program has yet to be authorized, and the Committee recommends that it be eliminated. Public Housing Capital Fund. In fiscal year 2009, Congress approved $2.45 billion for the Public Housing Capital Fund, which funds large capital projects and modernization projects. However, the spend-out rate for these funds continues to be slow and inefficient. Billions of committed dollars remain unexpended: in fact, HUD has only just recently awarded the $4 billion in public housing capital funds included in the 2009 Economic Stimulus. The Committee therefore recommends rescinding unobligated capital fund balances after 36 months. FHA Refinance Program. On March 26, the Administration announced a new FHA Refinance Program for underwater homeowners. Treasury indicated that the program would be funded with $8 billion in TARP funds that had originally been set aside for HAMP. The program was implemented on September 7, 2010, and will continue until December 31, 2012. According to a December 13, 2010, report by the Congressional Research Service, FHA had received only 35 applications as of the end of October 2010. Rather than funding another ineffective foreclosure mitigation program, the Committee recommends that the $8 billion in TARP funds that has been set aside for this program be returned to the taxpayer. Making Home Affordable Programs. On February 18, 2009, President Obama announced a three-part ``Making Home Affordable Program'' with the stated goal of helping 9 million borrowers at risk of foreclosure or seeking to refinance high-cost mortgages. The plan included (1) a refinancing program for mortgages owned by Fannie Mae or Freddie Mac (known as the Home Affordable Refinance plan); (2) a $75 billion loan modification program (known as the Home Affordable Modification plan); and (3) a commitment of $200 billion to purchase Fannie and Freddie preferred stock. Funding for the modification plan is derived from the Troubled Asset Relief Program (TARP) and the Government Sponsored Enterprises (GSEs), and the GSE preferred stock purchases drew from funds authorized by the Housing and Economic Recovery Act of 2008 (HERA). As described in more detail earlier in this Oversight Plan, HAMP has not met the goals set for it. HAMP's foreclosure mitigation initiatives have failed to help a sufficient number of distressed homeowners to justify the program's cost. Accordingly, the Committee recommends rescinding unspent and unobligated balances currently committed to these programs. NeighborWorks America. NeighborWorks is a government- chartered, nonprofit corporation with a national network of affiliated organizations that engage in community reinvestment activities, such as generating investment and providing training and technical assistance related to affordable housing. NeighborWorks has received congressional appropriations to provide grants, training, and technical assistance, and last year received $133 million in its base appropriation and $65 million through the National Foreclosure Mitigation Counseling Program. However, HUD has multiple counseling programs, and the Dodd-Frank Act established a new Office of Housing Counseling to coordinate housing counseling programs. The Committee recommends that the counseling operations under NeighborWorks be moved to HUD's new Housing Counseling Office. Consolidating counseling programs under HUD in the newly established office will eliminate overlapping and duplicative functions, and allow for better oversight of funds spent on housing counseling. Moreover, many of the tasks that NeighborWorks currently performs are duplicative of existing HUD programs and can be consolidated, which could eliminate the need for the annual appropriation for NeighborWorks. Legal Assistance. The Dodd-Frank Act authorized $35 million for grants to organizations that offer legal assistance to low- and moderate-income homeowners and tenants for home ownership preservation, foreclosure prevention and tenancy-related home foreclosures. The Committee recommends that unexpended and unobligated amounts be reviewed. Emergency Homeowner Relief Fund. The Dodd-Frank Act established a $1 billion Emergency Homeowner Relief Fund, which provides loans or credit advances to borrowers who cannot pay their mortgages because of unemployment or reduction in income. Administered by HUD, emergency mortgage relief payments may be provided for up to twelve months and extended once for up to twelve additional months. Because these loans increase the amount of the borrower's indebtedness, the borrower is not likely to pay back either the original amount of principal or the additional loans made under the program. The borrower thus derives no benefit from the program, and the government suffers a loss from the eventual default. The Committee therefore recommends that the unexpended and unobligated amounts be rescinded. Part B IMPLEMENTATION OF THE OVERSIGHT PLAN OF THE COMMITTEE ON FINANCIAL SERVICES FOR THE ONE HUNDRED TWELVE CONGRESS The Dodd-Frank Wall Street Reform and Consumer Protection Act The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to oversee the implementation of the Dodd-Frank Wall Street Reform and Consumer Protection Act (P.L. 111-203) (the Dodd-Frank Act) to ensure that the promise to ``promote the financial stability of the United States by improving accountability and transparency in the financial system,'' ``end `too big to fail,''' ``protect the American taxpayer by ending bailouts,'' and ``protect consumers from abusive financial services practices'' is being upheld. On June 16, 2011, the Committee held a hearing entitled ``Financial Regulatory Reform: The International Context.'' During this hearing, the Committee examined the international implications of the Dodd-Frank Act for the United States financial services industry and the United States economy. Specifically, the Committee considered four aspects of United States regulation that may affect the ability of United States financial institutions to compete against their foreign counterparts and impede economic recovery in the United States. The regulations discussed were capital and liquidity requirements, regulation and oversight of ``systemically significant financial institutions,'' derivatives regulation, and the regulation of proprietary trading. Specific Dodd-Frank Oversight Matters Financial Stability Oversight Council (FSOC) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the structure of the FSOC, an interagency body created by the Dodd- Frank Act to identify, monitor, and address potential threats to the U.S. financial system. The Dodd-Frank Act requires the FSOC to report annually to Congress, to be followed by testimony by the Secretary of the Treasury in his capacity as FSOC Chairman. On April 14, 2011, the Subcommittee on Oversight and Investigations held a hearing entitled ``Oversight of the Financial Stability Oversight Council.'' Witnesses included Chairman Gary Gensler of the Commodity Futures Trading Commission (CFTC) and Treasury Under Secretary for Domestic Finance Jeffrey A. Goldstein, as well as representatives of other agencies serving on the panel including the National Association of Insurance Commissioners designee to the Council, the Federal Reserve, the Securities Exchange Commission (SEC), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC). The hearing examined the performance of the Council's statutory responsibilities, especially the mandate in Section 113 of the Dodd-Frank Act to identify financial institutions that will be subject to enhanced supervision by the Federal Reserve and heightened prudential standards. During the hearing, Members from both the majority and minority expressed concern about the lack of transparency in the rulemaking process for Section 113 designations. Members likewise expressed disappointment that the Administration had yet to nominate a voting Council member having insurance expertise pursuant to Section 111, and about the Council's reported failure to provide or clear staff to assist the non-voting insurance representative selected by the National Association of Insurance Commissioners. On May 4, 2011, as a follow-up to the April 14 hearing, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer and Ranking Member Michael Capuano sent a letter to the member agencies of the FSOC requesting that they resubmit the rule on the ``Authority to Require Supervision and Regulation of Certain Nonbank Financial Companies'' for another round of notice and comment, and include in the revised proposal a more detailed description of the decision-making criteria and metrics that are contemplated for the final rule. On May 26, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``FDIC Oversight: Examining and Evaluating the Role of the Regulator during the Financial Crisis and Today.'' In her testimony, FDIC Chairman Sheila Bair discussed the criteria for determining whether a non-bank financial institution should be deemed systemically important, and fielded questions about the impact that designating financial institutions as systemically important could have on consolidation in the banking industry and on borrowing costs. On June 22, 2011, Chairman Spencer Bachus and Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to Comptroller General Gene Dodaro requesting a Government Accountability Office (GAO) audit of the FSOC, pursuant to Section 122 of the Dodd-Frank Act. In his July 6, 2011 response, Comptroller General Dodaro stated ``the GAO accepted the request, with clarification, as work that is within the scope of its authority.'' On June 24, 2011, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer and Subcommittee Ranking Member Michael Capuano sent a letter to Treasury Secretary Timothy Geithner seeking clarification of public statements made by members of the FSOC regarding plans to seek public comment on additional guidance designating non-bank financial companies for enhanced supervision and regulation by the Board of Governors of the Federal Reserve. In the letter, they asked the Secretary to distinguish the difference between issuing guidance and issuing an amended rule and provide details of the timeline for comments from the general public. On July 14, 2011, the Subcommittee on Oversight and Investigations held a hearing entitled ``Oversight of the Office of Financial Research and the Financial Stability Oversight Council.'' The hearing addressed the efforts to organize and stand up the Office of Financial Research (OFR), established by Section 152 of the Dodd-Frank Act; coordination between the FSOC, OFR and other regulators; and data security issues at OFR. On September 8, 2011, Chairman Spencer Bachus and other Members of the Committee sent a letter to Treasury Secretary Timothy Geithner expressing concern about the fulfillment of the FSOC's pledge to eliminate unnecessary or duplicative regulatory burdens on the financial system, namely on small community banks and credit unions. Additionally, the letter requested a status report from the Secretary on his efforts to ``streamline and simplify'' the regulatory environment. Secretary Geithner responded on October 5, stating that ``as agencies move forward with implementation of the Dodd-Frank Act, I will continue to encourage, as a top priority, inter- agency coordination and the development of rules that strike the right balance between financial stability and innovation.'' On October 6, 2011, the Committee held a hearing entitled ``The Annual Report of the Financial Stability Oversight Council'' to receive the FSOC's Annual Report and the testimony of the Secretary of the Treasury. The hearing focused on the Council's efforts to implement regulatory reforms and identify emerging threats to the nation's financial stability. Office of Financial Research (OFR) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to conduct oversight of the OFR to ensure that the OFR's requests for data are not unduly burdensome or costly and that the confidentiality of the data that it collects is strictly maintained. On March 29, 2012, the House passed the concurrent budget resolution on the budget for fiscal year 2013, H. Con. Res. 112, by a vote of 228 yeas and 191 nays. The budget instructed the Committee on Financial Services to submit legislative recommendations that reduce the deficit by $3 billion for fiscal years 2012 and 2013, $16.7 billion for fiscal years 2012 through 2017, and $29.8 billion for fiscal years 2012 through 2022. On April 18, 2012, the Committee met in open session to consider the Committee's legislative recommendations to the Committee on Budget. During the markup, an amendment to repeal Title I, Subtitle B of the Dodd-Frank Act, which created the OFR, was offered by Representative Canseco and agreed to by voice vote. According to the Congressional Budget Office (CBO), repealing the OFR would achieve savings for the purposes of deficit reduction of approximately $270 million over the next ten years. The Committee ordered the legislative recommendations for the budget reconciliation to be transmitted to the Committee on the Budget by a record vote of 31 yeas and 26 nays. On April 18, 2012, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to Treasury Secretary Timothy Geithner asking why the Department of the Treasury refused to provide Richard Berner as a witness for the Subcommittee's hearing to examine the Office of Financial Research's operations and budget. On April 19, 2012, the Subcommittee on Oversight and Investigations held a hearing entitled ``Budget Hearing--the Office of Financial Research.'' The hearing examined the budget and funding of OFR. For the two years following the enactment of the Dodd-Frank Act, the OFR is funded by the Federal Reserve. In July 2012, OFR will begin to fund itself by levying assessments on bank holding companies with total consolidated assets of $50 billion or more and nonbank financial companies supervised by the Federal Reserve. On May 9, 2012, Chairman Spencer Bachus and Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to Dr. Richard Berner at the Department of the Treasury requesting information on the OFR's conference planning policies and expenditures related to conferences held by OFR. Volcker Rule The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to oversee the regulators' implementation of the Volcker Rule to ensure that it does not result in unintended consequences for U.S. economic competitiveness and job creation, or for the liquidity and efficiency of U.S. capital markets. On January 22, 2011, the FSOC issued recommendations to the agencies charged with promulgating regulations to implement the Volcker Rule. On January 26, the Volcker Rule was the subject of discussion at a Committee hearing entitled ``Promoting Economic Recovery and Job Creation: The Road Forward.'' Witnesses, including academics and business owners, expressed concerns that the Volcker Rule could compromise international competitiveness, undermine the safety and soundness of financial institutions and limit investment capital for businesses, including small businesses. During the hearing Professor Hal S. Scott of Harvard Law School stated that there should be no Volcker Rule. On March 15, 2011, Chairman Bachus and Oversight and Investigations Subcommittee Chairman Neugebauer wrote the member agencies of the FSOC requesting information about the use and application of comments submitted to the FSOC regarding its study prepared under Section 619 of Dodd-Frank. The letter requested the production of materials used by the Council to develop its approach to implementing the Volcker Rule. In response to this request, a letter dated June 10, 2011 and signed by Treasury Secretary Timothy Geithner referred Chairman Bachus and Subcommittee Chairman Neugebauer to FSOC's study mandated by the Dodd-Frank Act on Volcker Rule implementation. On June 16, 2011, the Committee held a hearing entitled ``Financial Regulatory Reform: The International Context.'' During this hearing, the Committee examined the international implications of the Dodd-Frank Act for the United States financial services industry and the United States economy. Specifically, the Committee considered four aspects of United States regulation that may affect the ability of United States financial institutions to compete against their foreign counterparts and impede economic recovery in the United States. The regulations discussed were capital and liquidity requirements, regulation and oversight of ``systemically significant financial institutions,'' derivatives regulation, and the regulation of proprietary trading. On October 19, 2011, the Committee held a joint House- Senate briefing at which representatives from the Department of the Treasury, the Federal Reserve, the SEC, the CFTC, the FDIC and the OCC discussed their proposed regulation to implement Section 619 of the Dodd-Frank Act, the Volcker Rule. On January 18, 2012, the Subcommittee on Financial Institutions and Consumer Credit and the Subcommittee on Capital Markets and Government Sponsored Enterprises held a joint hearing entitled ``Examining the Impact of the Volcker Rule on Markets, Businesses, Investors and Job Creation.'' The purpose of the hearing was to evaluate the regulators' efforts to implement the Volcker Rule and the effect of the Volcker Rule on the economy, jobs, businesses, and investors. The Volcker Rule directs regulators to write and issue rules prohibiting bank holding companies and their affiliates from engaging in proprietary trading and sponsoring and investing in hedge funds and private equity funds. The hearing examined whether an overly restrictive Volcker Rule would increase borrowing costs for large corporations, small businesses and consumers. It also provided a forum for examining whether the value of assets held by large pension funds, mutual funds, and insurance companies--assets which represent the savings of small investors--will decline as those assets become harder to trade. The consequences of higher costs could be significant: if businesses find it harder to borrow, it will be harder for them to conduct research and development, make capital investments, and create jobs; if consumers have less access to credit, it will be harder to buy a home or a car or pay for college; if the value of the assets held by savers and investors declines, people will find it harder save for the down payment to purchase a homes, or to save for college or retirement. Capital Markets and Government Sponsored Enterprises Oversight and Restructuring of the Securities and Exchange Commission (SEC) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor and review all aspects of the SEC's budget, operations, structure and fulfillment of its Congressional mandate. On March 10, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Oversight of the Securities and Exchange Commission's Operations, Activities, Challenges and FY 2012 Budget Request.'' The hearing provided broad oversight of the SEC, including its FY 2012 budget request, the implementation of various provisions mandated by the Dodd-Frank Act, and a review of SEC regulatory initiatives beyond the Dodd-Frank Act. Chairman Spencer Bachus and Representatives Garrett, Hensarling, and Neugebauer sent SEC Chairman Schapiro two letters--one on February 24, 2011 and one on February 28, 2011--expressing concerns regarding the SEC's General Counsel, David Becker, having participated in matters related to the Bernard L. Madoff Investment Securities fraud despite having inherited and liquidated his mother's Madoff account. On March 15, 2011, Chairman Spencer Bachus and Representative Randy Neugebauer sent Chairman Schapiro a letter inquiring about the SEC's involvement in a study of the SEC's organizational structure that was mandated by Section 967 of the Dodd-Frank Act and was completed by the Boston Consulting Group and submitted to Congress on March 10, 2011. On June 23, 2011, H.R. 2308, the SEC Regulatory Accountability Act, was introduced by Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett and referred to the Committee on Financial Services. The Committee held a legislative hearing on H.R. 2308 on September 15, 2011 entitled ``Fixing the Watchdog: Legislative Proposals to Improve and Enhance the Securities and Exchange Commission.'' The Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session on November 15, 2011, and ordered H.R. 2308, as amended, favorably reported to the Committee by a record vote of 14 yeas and 19 nays. On June 24, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Oversight of the Mutual Fund Industry: Ensuring Market Stability and Investor Confidence.'' The hearing examined the SEC's regulation of the mutual fund industry; the SEC's response to the financial crisis and the impact of the crisis on money market mutual funds; proposals to change the valuation of money market mutual funds; the SEC's proposal to improve distribution fees, also known as ``12b-1 fees,''; the impact of the SEC's proxy access rules adopted in 2010, which would permit shareholders to place nominees for directors on a company's proxy statement; and other issues of interest to mutual fund providers. On July 28, 2011, Vice Chairman Jeb Hensarling, Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett, and Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to SEC Chairman Mary Schapiro requesting information on the SEC-staff labor hours and dollar amount associated with the Commission's proxy access rulemaking, the final promulgation of the rule, and the legal challenge of the rule. On July 28, 2011, Chairman Spencer Bachus, Subcommittee on International Monetary Policy and Trade Chairman Gary Miller, Representative Robert Dold, and Representative Steve Stivers sent a letter to SEC Chairman Mary Schapiro addressing the effect on U.S. companies' competitiveness in the global marketplace of Section 1502 of the Dodd-Frank Act, which requires publicly traded U.S. companies to report annually on on their efforts to verify that minerals used in their products were not taxed or controlled by rebel groups in the Democratic Republic of Congo, and suggesting an alternative method to mitigate the financial and administrative burden of Section 1502 on U.S. companies. On September 22, 2011, the Subcommittee on Oversight and Investigations held a joint hearing with the Committee on Oversight and Government Reform's Subcommittee on TARP, Financial Services and Bailouts of Public and Private Programs, entitled ``Potential Conflicts of Interest at the SEC: The Becker Case.'' The hearing examined how the SEC handled potential conflicts of interest involving David Becker, a former SEC general counsel who financially benefited from the Bernard Madoff Ponzi scheme. On December 7, 2011, Chairman Spencer Bachus, Vice Chairman Jeb Hensarling, Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett, and Subcommittee on Financial Institutions and Consumer Credit Chairman Shelley Moore Capito wrote to the chairmen of the Federal Reserve, the FDIC, and the CFTC, and the Comptroller of the Currency to ask them to testify about their joint proposal to implement the Volcker Rule and to extend the comment period by at least thirty days. On January 18, 2012, the Subcommittee on Financial Institutions and Consumer Credit and the Subcommittee on Capital Markets and Government Sponsored Enterprises held a joint hearing entitled ``Examining the Impact of the Volcker Rule on Markets, Businesses, Investors and Job Creation.'' The purpose of the hearing was to evaluate the regulators' efforts to implement the Volcker Rule and the effect of the Volcker Rule on the economy, jobs, businesses, and investors. The Volcker Rule directs regulators to write and issue rules prohibiting bank holding companies and their affiliates from engaging in proprietary trading and sponsoring and investing in hedge funds and private equity funds. The hearing examined whether an overly restrictive Volcker Rule would increase borrowing costs for large corporations, small businesses and consumers. It also provided a forum for examining whether the value of assets held by large pension funds, mutual funds, and insurance companies--assets which represent the savings of small investors--will decline as those assets become harder to trade. The consequences of higher costs could be significant: if businesses find it harder to borrow, it will be harder for them to conduct research and development, make capital investments, and create jobs; if consumers have less access to credit, it will be harder to buy a home or a car or pay for college; if the value of the assets held by savers and investors declines, people will find it harder save for the down payment to purchase a homes, or to save for college or retirement. On February 8, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Limiting the Extraterritorial Impact of Title VII of the Dodd-Frank Act.'' This hearing examined the application of Title VII to institutions and activities outside the U.S. and to foreign institutions that do business within the U.S.; considered the effect of Title VII's extra-territorial application on the competitiveness of U.S. financial institutions and the U.S. economy; and examined the consequences of Title VII's extra-territorial reach on the stability and liquidity of global financial markets. On March 21, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``H.R. ___, the Swap Data Repository and Clearinghouse Indemnification Correction Act of 2012.'' The hearing examined draft legislation to repeal the indemnification provisions in Sections 725, 728, and 763 of the Dodd-Frank Act to increase market transparency, facilitate global regulatory cooperation, and ensure that U.S. regulators have access to necessary swaps data from foreign data repositories, derivatives clearing organizations, and regulators. On March 28, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Accounting and Auditing Oversight: Pending Proposals and Emerging Issues Confronting Regulators, Standard Setters and the Economy.'' This hearing examined the state of the accounting and auditing profession, including the activities and agendas of the Office of the SEC's Chief Accountant, the Public Company Accounting Oversight Board, the Financial Accounting Standards Board, and the Governmental Accounting Standards Board. On April 25, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Oversight of the U.S. Securities and Exchange Commission.'' This hearing examined the following topics: the priorities for the SEC in 2012; the SEC's FY 2013 budget request; the SEC's ongoing efforts to comply with Section 967 of the Dodd-Frank Act, regarding organizational reforms of the SEC; the most recent report issued by GAO, GAO-12-424R, entitled, ``Management Report: Improvements Needed in SEC's Internal Controls and Accounting Procedures''; pending SEC rule proposals mandated by the Dodd-Frank Act; the SEC's plans to propose new rules regarding money market mutual funds; and the SEC's equity and options market structure initiatives. On May 9, 2012, Chairman Spencer Bachus and Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to Chairman Mary Schapiro of the SEC requesting information on SEC's conference planning policies and expenditures related to conferences held by SEC. On May 17, 2012, the Committee held a hearing entitled ``Examining the Settlement Practices of U.S. Financial Regulators.'' The hearing examined the settlement practices of the Board of Governors of the Federal Reserve System, the FDIC, the OCC, and the SEC. Derivatives The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the operations, growth and structure of the over-the-counter (OTC) derivatives market, and the implementation of new rules required by the Dodd-Frank Act to govern the OTC marketplace. On February 15, 2011, the Committee held a hearing entitled ``Assessing the Regulatory, Economic and Market Implications of the Dodd-Frank Derivatives Title.'' This hearing provided broad oversight of Title VII of the Dodd-Frank Act from the perspectives of both the federal regulators and market participants. The hearing examined the implementation timeline for the SEC and CFTC to complete the rules mandated by Title VII, substantive questions about the proposed rulemakings, and the impact on various market participants, including the potential negative impact on non-financial companies that use derivatives contracts to hedge against legitimate business risks. On March 16, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' One of the legislative proposals discussed during that hearing was a draft bill to amend the definitions of ``major swap participant'' and ``major security-based swap participant'' in the Commodity Exchange Act and the Securities Exchange Act of 1934 (the Exchange Act), respectively. Based on the testimony received at that hearing, Representative Grimm introduced H.R. 1610, the Business Risk Mitigation and Price Stabilization Act of 2011, on April 15, 2011, which would exempt derivatives end-users from having to post margin as required under Title VII of the Dodd-Frank Act. On April 6, 2011, Chairman Spencer Bachus, Agriculture Committee Chairman Frank Lucas and Senators Stabenow and Johnson wrote to the Secretary of the Treasury and the Chairmen of the SEC, CFTC and Federal Reserve about the importance of establishing a regulatory regime that will not create economic disincentives for end-users to access the derivatives markets. The letter urged the regulators to exempt end-users from margin requirements and seek to limit other regulatory burdens that could have the unintended effect of driving up costs for end users. The letter also stressed the importance of national and international regulatory coordination to avoid regulatory arbitrage and competitive disadvantages for U.S. companies. On April 15, 2011, Representatives Lucas, Bachus, Conaway, and Garrett introduced H.R. 1573, which would extend the deadline for implementing Title VII of the Dodd-Frank by 18 months, which realigns the United States with the G20 agreement to move to reporting and central clearing by December 2012. H.R. 1573 maintains the current timeframe for the SEC and CFTC to issue final rules defining key terms and maintains the current timeframe for the rules requiring record retention and regulatory reporting for swaps. H.R. 1573 also requires the SEC and CFTC to hold public hearings to take testimony and comment on proposed rules before they are made final, and factor those comments into cost-benefit analysis and the timing of effective dates. Finally, H.R. 1573 provides the SEC and CFTC authority to exempt certain persons from registration and/or other regulatory requirements if they are subject to comparable supervision by another regulatory authority, if there are information sharing arrangements in effect between the Commissions and that regulatory authority, and if it is in the public interest. On October 14, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing entitled ``Legislative Proposals to Bring Certainty to the Over-the-Counter Derivatives Market.'' The hearing examined four legislative proposals that would amend provisions in Title VII of the Dodd-Frank Act that could negatively affect the United States economy. On May 11, 2011, H.R. 1838, a bill to repeal a provision of the Dodd-Frank Wall Street Reform and Consumer Protection Act prohibiting any Federal bailout of swap dealers or participants, was introduced by Representative Nan Hayworth and referred to the Committee on Financial Services and the Committee on Agriculture. On October 14, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on H.R. 1838 entitled ``Legislative Proposals to Bring Certainty to the Over-the-Counter Derivatives Market.'' On November 15, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 1838, as amended, favorably reported to the Committee by a record vote of 21 yeas and 12 nays. On July 19, 2011, H.R. 2586, the Swap Execution Facility Clarification Act, was introduced by Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett and referred to the Committee on Financial Services and the Committee on Agriculture. On October 14, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on H.R. 2586 entitled ``Legislative Proposals to Bring Certainty to the Over-the- Counter Derivatives Market.'' On November 15, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2586 favorably reported to the Committee by voice vote. On August 1, 2011, H.R. 2779, a bill to exempt inter- affiliate swaps from certain regulatory requirements put in place by the Dodd-Frank Wall Street Reform and Consumer Protection Act, was introduced by Representative Steve Stivers and referred to the Committee on Financial Services and the Committee on Agriculture. On October 14, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on H.R. 2779 entitled ``Legislative Proposals to Bring Certainty to the Over-the-Counter Derivatives Market.'' On November 15, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2779 favorably reported to the Committee by a record vote of 23 yeas, 6 nays and 1 present. On September 23, 2011, H.R. 3045, the Retirement Income Protection Act of 2011, was introduced by Representative Francisco ``Quico'' Canseco and referred to the Committee on Financial Services, the Committee on Agriculture, and the Committee on Education and the Workforce. The bill has one cosponsor. On October 14, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on H.R. 3045 entitled ``Legislative Proposals to Bring Certainty to the Over-the-Counter Derivatives Market.'' On November 15, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 3045 favorably reported to the Committee by a record vote of 19 yeas and 14 nays. On June 7, 2011, the Committee hosted a briefing on swaps clearing, at which industry representatives discussed implementation of provisions in the Dodd-Frank Act, with a focus on how or whether clearing provisions need to be phased in; segregation and protection of cleared swaps customer collateral; central clearinghouse ownership, governance, and membership issues; and the New York Federal Reserve's ongoing role on clearing issues and how it relates to the Dodd-Frank Act's rulemaking process. On August 2, 2011, Chairman Spencer Bachus wrote to Treasury Secretary Timothy Geithner expressing concerns about the extraterritorial reach and impact of Title VII of the Dodd- Frank Act on the U.S. derivatives marketplace and the U.S. economy. On February 8, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Limiting the Extraterritorial Impact of Title VII of the Dodd-Frank Act.'' This hearing examined the application of Title VII to institutions and activities outside the U.S. and to foreign institutions that do business within the U.S.; considered the effect of Title VII's extra-territorial application on the competitiveness of U.S. financial institutions and the U.S. economy; and examined the consequences of Title VII's extra-territorial reach on the stability and liquidity of global financial markets. On March 21, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing on ``H.R. ___, the Swap Data Repository and Clearinghouse Indemnification Correction Act of 2012.'' This hearing examined draft legislation to repeal the indemnification provisions in Sections 725, 728, and 763 of the Dodd-Frank Act to increase market transparency, facilitate global regulatory cooperation, and ensure that U.S. regulators have access to necessary swaps data from foreign data repositories, derivatives clearing organizations, and regulators. Credit Rating Agencies The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to examine credit rating agencies, or ``nationally recognized statistical rating organizations'' (NRSROs), in the United States financial markets and specifically, the impact of the Dodd-Frank Act on NRSROs and the repeal if Rule 436(g) under the Securities Act of 1933. On April 14, 2011, H.R. 1539, the Asset-Backed Market Stabilization Act of 2011, was introduced by Representative Steve Stivers. The bill would repeal section 939G of the Dodd- Frank Act, which repealed the SEC rule 436(g). On March 16, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on the draft version of H.R. 1539 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' On May 3, 2011 and May 4, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill favorably reported to the Committee by a record vote of 18 yeas and 14 nays. On July 20, 2011, the Committee met in open session and ordered the bill favorably reported to the House by 31 yeas and 19 nays. The Committee Report was filed on August 12, 2011 (H. Rept. 112- 196). On July 27, 2011, the Subcommittee on Oversight and Investigations held a hearing entitled ``Oversight of the Credit Rating Agencies Post Dodd-Frank.'' The hearing examined how federal regulation and operations of the credit rating agencies have changed since the financial crisis and following enactment of the Dodd-Frank Act. The hearing reviewed the progress of federal agencies in striking references to ratings agencies in their regulations and addressed investor over- reliance on the ratings opinions of the three leading ratings agencies, Standard & Poor's, Moody's Investor Service and Fitch Ratings. On April 30, 2012, Chairman Spencer Bachus and Subcommittee on Capital Markets and Government Sponsored Enterprises Subcommittee Chairman Scott Garrett wrote to the prudential regulators about their proposed rule to implement Section 939A of the Dodd-Frank Act, which requires the removal of references to credit ratings in federal law. Securitization and Risk Retention The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review regulatory implementation of Section 941 of the Dodd-Frank Act, establishing new risk retention standards for securitizations of mortgages and other assets. On April 14, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Understanding the Implications and Consequences of the Proposed Rule on Risk Retention.'' The hearing focused on the proposed rule to implement Section 941 issued by the Department of Housing and Urban Development (HUD), the FDIC, the Federal Reserve Board, the SEC, the Federal Housing Finance Agency (FHFA), and the OCC in March 2011, particularly its implications for the availability of affordable mortgage credit. In addition, on February 10, 2011, Chairman Spencer Bachus sent a letter to the six Federal agencies charged with promulgating the risk retention rules for residential mortgage- backed securities, asking that ``qualified residential mortgages'' (QRMs) exempt from the risk retention requirements be defined with sufficient flexibility so as to reduce reliance upon the Federal Housing Administration's (FHA's) mortgage insurance program, thereby limiting taxpayer exposure. On August 2, 2011, Chairman Spencer Bachus and Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett wrote to the Secretary of HUD, the Chairman of the Federal Reserve, the Acting Director of the FHFA, the Acting Chairman of the FDIC, the Chairman of the SEC, and the Acting Comptroller of the Currency expressing concern about a provision issued by their agencies requiring securitizers to set aside the premium from sales of securities in ``premium capture cash reserves,'' and prevent securitizers from collecting a profit until up to ten years later when the security matures. On September 7, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a field hearing in New York, New York entitled ``Facilitating Continued Investor Demand in the U.S. Mortgage Market Without a Government Guarantee.'' This hearing examined the conditions necessary to facilitate investor demand for private-label residential mortgage backed securities. In particular, the hearing focused on proposals to (1) provide greater transparency about residential mortgage-backed securities; (2) facilitate standardization; and (3) provide greater certainty that the terms of residential mortgage-backed securities will be enforced. In addition, the witnesses discussed the need for clarification regarding the risk retention rules, as well as their views on whether increased transparency and representations and warranties could serve as a viable alternative to risk retention. On November 3, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing entitled ``H.R. ___, the Private Mortgage Market Investment Act.'' This hearing examined the Private Mortgage Market Act (PMMI), which would establish uniform standards that would lay the foundation for a new securitization market that would replace the secondary-mortgage market now dominated by the GSEs Fannie Mae and Freddie Mac. The PMMI also strikes Section 941 of the Dodd-Frank Act based on the belief that the goals of risk retention--better underwriting and fewer loans made to borrowers who cannot afford them--can be better achieved through standardized underwriting requirements and clarity and consistency about issuer representations and warranties. During this hearing, the witnesses expressed their views about how to fix the private-label securitization market and their opinions of the PMMI, including whether the PMMI provides a viable alternative to risk retention through standardization, transparency, and representations and warranties. On December 7, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled, ``H.R. ___, the Private Mortgage Market Investment Act, Part 2.'' The hearing examined draft legislation seeking to establish uniform standards to lay the foundation for a new securitization market to replace the secondary-mortgage market dominated by the GSEs Fannie Mae and Freddie Mac. On March 26, 2012, Chairman Spencer Bachus and Subcommittee on Capital Markets and Government Sponsored Enterprises Subcommittee Chairman Scott Garrett wrote to the prudential and market regulators and HUD about the risk retention proposal issued pursuant to Section 941 of the Dodd-Frank Act, which contained a requirement that securitizers set aside the profits from sales of securities in ``premium capture cash reserve accounts.'' On May 7, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a field hearing in Chicago, Illinois entitled ``An Examination of the Federal Housing Finance Agency's Real Estate Owned (REO) Pilot Program.'' The hearing examined the pilot program recently announced by the FHFA to dispose of REO properties. Regulation and Oversight of Broker-Dealers and Investment Advisers The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the study mandated by Sections 913 and 914 of the Dodd-Frank Act, relating to the duties of care owed to investors by broker- dealers and investment advisers. Section 913 of the Dodd-Frank Act requires the SEC to evaluate existing standards for personalized investment advice to retail investors and to promulgate regulations based upon the findings of the study. The SEC released the study mandated by Section 913 on January 21, 2011. On March 15, 2011, Chairman Bachus, Education and the Workforce Committee Chairman Kline, and Agriculture Committee Chairman Frank Lucas sent a letter to Secretary of Labor Hilda Solis, SEC Chairman Mary Schapiro, and CFTC Chairman Gary Gensler, expressing concern that uncoordinated rulemaking on the fiduciary duty owed by investment professionals could lead to market confusion and economic disruption. On March 17, 2011, the Republican Members of the Subcommittee on Capital Markets and Government Sponsored Enterprises sent a letter to SEC Chairman Schapiro regarding the SEC staff study on the regulatory regime for broker-dealers and investment advisers conducted pursuant to Section 913 of the Dodd-Frank Act. The letter requested that the SEC gather stronger analytical and empirical information, including an assessment of the impact throughout the entire financial marketplace and consideration of related oversight, examination and enforcement programs, before moving forward with the rulemaking mandated by Section 913. On August 2, 2011, Chairman Spencer Bachus sent a letter to SEC Chairman Mary Schapiro regarding the SEC's rulemaking authority under Section 913 of the Dodd-Frank Act and urged SEC to consider the appropriateness and necessity of adjusting the standard of care for broker-dealers prior to performing an analysis of the harm to retail customers of a broker-dealer. On September 13, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing entitled ``Ensuring Appropriate Regulatory Oversight of Broker- Dealers and Legislative Proposals to Improve Investment Oversight.'' Section 913 of the Dodd-Frank Act required the SEC to report to the Committee on the standards of care applicable to broker-dealers and investment advisers when providing personalized investment advice to customers, and the SEC presented the findings of its report at this hearing. The hearing also examined a legislative proposal by Chairman Spencer Bachus entitled the ``Investment Adviser Oversight Act of 2011,'' which adopts an alternative outlined by the SEC in a study required by Section 914 of the Dodd-Frank Act, and would amend the Investment Advisers Act of 1940 to provide for the creation of national investment adviser associations (NIAAs) registered with and overseen by the SEC. On November 18, 2011, the Committee hosted a briefing for staff on the MF Global bankruptcy and liquidation proceedings. Representatives of the CME Group provided an overview of how broker-dealers and futures commission merchants (FCMs) segregate customer assets; the role of self-regulatory organizations in ensuring that their members do not impose systemic risk on a clearinghouse; the purpose of a clearinghouse guaranty fund; the role of the CME Group in the bankruptcy of an FCM; the transfer of customer accounts from a failed FCM; and the interaction and coordination of Federal regulatory agencies and the self-regulatory organizations. Advisers to Private Funds The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the functions served by advisers to private funds, including hedge funds, private equity funds, and venture capital funds, in the United States financial marketplace. On March 15, 2011, H.R. 1082, the Small Business Capital Access and Job Preservation Act, was introduced by Representative Robert Hurt. The bill would exempt advisers to private equity funds from SEC registration requirements as mandated by Title IV of the Dodd-Frank Act. On March 16, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on H.R. 1082 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' On May 3, 2011 and May 4, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill favorably reported to the Committee by a record vote of 19 yeas and 13 nays. On June 22, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on July 12, 2011 (H. Rept. 112-143). Securities Investor Protection Corporation (SIPC) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the operations, initiatives, and activities of the SIPC, as well as the application of the Securities Investor Protection Act (SIPA), examine the SIPC's existing reserves, member broker- dealer assessments, access to private and public lines of credit, and coverage levels, proposals to improve SIPC's operations and management and review the impact of the provisions of the Dodd-Frank Act that amend the SIPA, and the work and recommendations of the SIPC Modernization Task Force. On March 7, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``The Securities Investor Protection Corporation: Past, Present, and Future.'' The hearing examined SIPC's role in reimbursing the customers of failed broker-dealers and the recommendations of the SIPC Modernization Task Force to amend SIPA and modernize SIPC's operations. The hearing also examined three legislative proposals to amend SIPA: H.R. 757, the Equitable Treatment of Investors Act; H.R. 1987, the Ponzi Scheme Investor Protection Act of 2011; and H.R. 4002, the Improving SIPC Act of 2012. Municipal Securities The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the U.S. municipal securities markets and consider reforms to increase transparency in that segment of the capital markets. On February 23, 2011, Chairman Spencer Bachus sent a letter to SEC Chairman Schapiro about the SEC's proposed rule to implement Section 975 of the Dodd-Frank Act governing the oversight of municipal advisers. Capital Formation The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review regulatory impediments to capital formation and consider both regulatory and market-based incentives to increase access to capital. On March 16, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' One of the legislative proposals discussed during that hearing was H.R. 1070, the Small Company Capital Formation Act of 2011, which was introduced by Representative Schweikert on March 14, 2011. H.R. 1070 would increase the offering threshold for companies exempted from registration under SEC Regulation A from $5 million to $50 million. The bill also requires the SEC to re- examine the threshold every two years and report to Congress on decisions regarding the adjustment of the threshold. On May 3, 2011 and May 4, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. On June 22, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on September 14, 2011 (H. Rept. 112-206). On November 2, 2011, the House agreed to a motion to suspend the rules and pass H.R. 1070, as amended, by a record vote of 421 yeas and 1 nay. On September 21, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation,'' to examine legislative proposals to encourage capital formation and job creation. Specifically, the proposals were to amend the Securities Act of 1933, the Exchange Act and the Sarbanes-Oxley Act of 2002. On June 14, 2011, H.R. 2167, the Private Company Flexibility and Growth Act, was introduced by Representative David Schweikert. The bill would raise the threshold for mandatory registration under the Exchange Act from 500 shareholders to 1,000 shareholders for all companies; shareholders who received securities under employee compensation plans would not count towards the threshold. On September 21, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on H.R. 2167 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' On October 5, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2167, as amended, favorably reported to the Committee by voice vote. On October 26, 2011, the Committee met in open session and ordered H.R. 2167, as amended, favorably reported to the House by voice vote. On September 14, 2011, H.R. 2930, the Entrepreneur Access to Capital Act, was introduced by Representative Patrick McHenry. The bill would create an exemption from SEC registration for ``crowdfunding'' for offerings up to $1 million so long as the individual's investment is no more than the lesser of $10,000 or 10% of the investor's annual income, and offerings up to $2 million if the issuer provides audited financial statements. On September 21, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on H.R. 2930 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' On October 5, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2930 favorably reported to the Committee by a record vote of 18 yeas and 14 nays. On October 26, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on October 31, 2011 (H. Rept. 112-262). On November 3, 2011, the House considered H.R. 2930 and passed the bill, as amended, by a record vote of 407 yeas and 17 nays. On September 15, 2011, H.R. 2940, the Access to Capital for Job Creators Act, was introduced by Representative Kevin McCarthy. The bill would make the exemption under Regulation D Rule 506 available to companies even if their securities are marketed through a general solicitation or advertising so long as purchasers are ``accredited investors.'' On September 21, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on H.R. 2940 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' On October 5, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2940, as amended, favorably reported to the Committee by voice vote. On October 26, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. The Committee Report was filed on October 31, 2011 (H. Rept. 112-263). On November 3, 2011, the House considered H.R. 2940 and passed the bill by a record vote of 413 yeas and 11 nays. On May 24, 2011, H.R. 1965, a bill to amend the securities laws to establish certain thresholds for shareholder registration, and for other purposes, was introduced by Representative James Himes. The bill would raise the threshold for mandatory registration under the Exchange Act from 500 shareholders to 2,000 shareholders for banks or bank holding companies, and modify the threshold for deregistration under Sections 12(g) and 15(d) of the Exchange Act for a bank or a bank holding company from 300 to 1,200 shareholders. On September 21, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on H.R. 1965 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' On October 5, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill, as amended, favorably reported to the Committee by voice vote. On October 26, 2011, the Committee met in open session and ordered the bill, as amended, favorably reported to the House by voice vote. On November 2, 2011, the House agreed to a motion to suspend the rules and pass H.R. 1965, as amended, by a record vote of 420 yeas and 2 nays. On October 14, 2011, H.R. 3213, the Small Company Job Growth and Regulatory Relief Act of 2011, was introduced by Representative Stephen Fincher. The bill would expand the exemption from Section 404(b) of the Sarbanes-Oxley Act, and increase the market capitalization threshold for a full 404(b) exemption from $75 million to $350 million. On September 21, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on the discussion draft of H.R. 3213 entitled ``Legislative Proposals to Facilitate Small Business Capital Formation and Job Creation.'' On October 5, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the draft version of H.R. 3213, as amended, favorably reported to the Committee by a record vote of 18 yeas and 14 nays. On December 15, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``H.R. 3606, the Reopening American Capital Markets to Emerging Growth Companies Act of 2011.'' The hearing examined legislative and other proposals to revitalize the initial public offering marketplace in the United States and focused on H.R. 3606, which would establish a new class of issuers known as ``Emerging Growth Companies.'' Equity/Option Market Structure The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to ensure that the SEC follows its mandate to promote fair, orderly and efficient markets, and that any new regulations foster market efficiency, competition and innovation, and are based on economic and empirical market data. The Committee is also called upon to monitor the work of the Joint CFTC-SEC Advisory Committee on Emerging Regulatory Issues, as it develops regulatory or legislative recommendations that attempt to respond to the extraordinary market movements on May 6, 2010. On August 1, 2011, the Committee hosted a briefing on ``Options Fundamentals.'' Mr. Alan Grigoletto, the Director of OIC Education for the Options Clearing Corporation, provided an introduction to the basic concepts of exchange traded and centrally cleared options contracts. The terminology and mechanics for call and put options were explained in conjunction with the risk characteristics and rewards for both the buyer and seller of these instruments. Covered Bonds The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review whether the existing statutory and regulatory framework is sufficient to foster the creation of a covered bond market in the U.S. or whether additional regulatory or legislative initiatives are necessary. On March 11, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Legislative Proposals to Create a Covered Bond Market in the United States.'' The hearing focused on H.R. 940, the United States covered Bonds Act of 2011, which was introduced by Representative Garrett on March 8, 2011. The hearing also examined perspectives on how the United States could enact legislation to provide a legal framework to allow covered bonds to be issued in the United States. Corporate Governance The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review developments and issues relating to corporate governance at public companies. On May 11, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Legislative Proposals to Address the Negative Consequences of the Dodd-Frank Whistleblower Provisions.'' The hearing focused on a legislative proposal by Representative Michael Grimm that would amend the whistleblower provisions of the Dodd-Frank Act, in particular Section 922, by preserving the viability of internal reporting regimes established by the Sarbanes-Oxley Act of 2002 and preventing employees who are responsible for wrongful acts from receiving an award from the bounty program established by Section 922. On July 7, 2011, H.R. 2483, the Whistleblower Improvement Act of 2011, was introduced by Representative Michael Grimm and referred to the Committee on Financial Services. On December 15, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``H.R. 3606, the Reopening American Capital Markets to Emerging Growth Companies Act of 2011.'' The hearing examined legislative and other proposals to revitalize the initial public offering marketplace in the United States and focused on H.R. 3606, which would establish a new class of issuers known as ``Emerging Growth Companies.'' Employee Compensation The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the implementation of the provisions of the Dodd-Frank Act governing compensation practices at public companies and financial institutions. On March 14, 2011, H.R. 1062, the Burdensome Data Collection Relief Act, was introduced by Representative Nan Hayworth. H.R. 1062 would repeal Section 953(b) of the Dodd- Frank Act, which requires publicly traded companies to disclose the median of the annual total compensation of all employees of the company (other than the CEO), the annual total compensation of the CEO, and a ratio comparing those two numbers. On March 16, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on the draft version of H.R. 1062 entitled ``Legislative Proposals to Promote Job Creation, Capital Formation, and Market Certainty.'' On May 3, 2011 and May 4, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered the bill favorably reported to the Committee by a record vote of 20 yeas and 12 nays. On June 22, 2011, the Committee met in open session and ordered the bill favorably reported to the House by a record vote of 33 yeas and 21 nays. The Committee Report was filed on July 12, 2011 (H. Rept. 112-142). Securities Fraud The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the SEC's compliance, inspections, examinations, and enforcement functions to ensure that adequate mechanisms exist to prevent and detect securities fraud. On May 13, 2011, the Subcommittee on Oversight and Investigations held a hearing entitled ``The Stanford Ponzi Scheme: Lessons for Protecting Investors from the Next Securities Fraud.'' This hearing reviewed the failure of the SEC and the Financial Industry Regulatory Authority (FINRA) to uncover the Stanford Ponzi scheme. The hearing also focused on what steps the SEC and FINRA could take to prevent similar securities frauds in the future. On December 2, 2011, Subcommittee on Oversight and Investigations Subcommittee Chairman Randy Neugebauer sent a letter to SEC Chairman Mary Schapiro requesting SEC-records related to its oversight of MF Global and its coordination with other regulators and with self-regulatory organizations. On December 6, 2011, the Committee held a legislative hearing entitled ``H.R. 1148, the Stop Trading on Congressional Knowledge Act.'' The hearing examined the law of insider trading, the SEC's ability to file civil charges against Members of Congress and Congressional staff and employees alleging insider trading violations, and the need for legislation to clarify the duty of care to applicable to Members of Congress and their staff under the federal securities laws. On May 17, 2012, the Committee held a hearing entitled ``Examining the Settlement Practices of U.S. Financial Regulators.'' The hearing examined the settlement practices of the Board of Governors of the Federal Reserve System, the FDIC, the OCC, and the SEC. Mutual Funds The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to examine the state and operation of the U.S. mutual fund industry, and to review the SEC's regulation of money market mutual funds, and any proposed changes to the calculation of a money market funds' ``net asset value'' (NAV), and any proposals by the FSOC to designate non-bank financial institutions such as mutual funds as ``Systemically Important Financial Institutions.'' On June 24, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Oversight of the Mutual Fund Industry: Ensuring Market Stability and Investor Confidence.'' This was the first Financial Services Committee hearing on the mutual fund industry since May 2005. The hearing addressed current issues in mutual fund industry regulation, including distribution fees, or Rule ``12b-1 fees,'' on which the SEC voted to propose measures to improve regulation in July 2010. The hearing also examined the proxy access rules that the SEC adopted in 2010 that would permit shareholders to place nominees for directors on a company's proxy statement. The Subcommittee reviewed the impact on the mutual fund industry of Section 113 of the Dodd- Frank Act, which directs the FSOC to select nonbank financial companies for heightened supervision, and Section 918, which requires the GAO to conduct a study on mutual fund advertising. On August 12, 2011 Chairman Spencer Bachus, Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett and other Republican Members of the Committee wrote to SEC Chairman Mary Schapiro requesting more information on the Commission's plans to potentially require money market mutual funds to float its net asset value; and the impact of the SEC's rules adopted in 2010 to strengthen the resiliency of money market mutual funds. On April 17, 2012, Chairman Spencer Bachus and Vice Chairman Jeb Hensarling wrote to the SEC about its plans to propose new rules governing the operations of money market funds. Public Company Accounting Oversight Board (PCAOB) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the PCAOB's exercise of its new authority under Section 982 of the Dodd-Frank Act to register, inspect and discipline the auditors of brokers-dealers, and the impact that this increased oversight may have on the PCAOB's operations. On May 27, 2011, Chairman Bachus and Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Garrett sent a letter to PCAOB Chairman James Doty regarding the PCAOB's proposed interim rule to implement Section 982, particularly as it relates to the costs and benefits of applying that rule to the auditors of introducing broker- dealers. On March 28, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Accounting and Auditing Oversight: Pending Proposals and Emerging Issues Confronting Regulators, Standard Setters and the Economy.'' This hearing examined the state of the accounting and auditing profession, including the activities and agendas of the Office of the SEC's Chief Accountant, the PCAOB, the Financial Accounting Standards Board (FASB), and the Governmental Accounting Standards Board (GASB). Financial Accounting Standards Board (FASB) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the initiatives of the FASB and its responsiveness to all segments of the capital markets; the FASB's relationship with the SEC; and proposals to enhance Congressional oversight of the FASB. On March 28, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Accounting and Auditing Oversight: Pending Proposals and Emerging Issues Confronting Regulators, Standard Setters and the Economy.'' This hearing examined the state of the accounting and auditing profession, including the activities and agendas of the Office of the SEC's Chief Accountant, the PCAOB, the FASB, and the GASB. Government Accounting Standards Board (GASB) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the role of the GASB and the implementation of Section 978 of the Dodd-Frank Act, which directs the SEC to require the FINRA to collect fees from its members (broker-dealers and other securities professionals) and to remit such fees to the Financial Accounting Foundation, GASB's parent organization. On March 28, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Accounting and Auditing Oversight: Pending Proposals and Emerging Issues Confronting Regulators, Standard Setters and the Economy.'' This hearing examined the state of the accounting and auditing profession, including the activities and agendas of the Office of the SEC's Chief Accountant, the PCAOB, the FASB, and the GASB. Convergence of International Accounting Standards The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the efforts by the SEC, the FASB, and the International Accounting Standards Board to achieve robust, uniform international accounting standards. The Committee will also monitor the SEC's plans to incorporate those standards as part of United States financial reporting requirements. On March 28, 2012, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing entitled ``Accounting and Auditing Oversight: Pending Proposals and Emerging Issues Confronting Regulators, Standard Setters and the Economy.'' This hearing examined the state of the accounting and auditing profession, including the activities and agendas of the Office of the SEC's Chief Accountant, the PCAOB, the FASB, and the GASB. Business Continuity Planning The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the implementation of disaster preparedness and business continuity measures by the financial services industry in order to minimize the disruptions of critical operations in the U.S. financial system in the event of natural disasters, terrorist attacks, or pandemics. On February 8, 2011, Chairman Bachus and Representative Garrett sent a letter to federal regulators and executives at exchanges and clearinghouses seeking information about computer-network security in response to reports that the NASDAQ Stock Market's computer network had been compromised. The purpose of the letter was to ensure that the regulators and exchanges and clearinghouses were doing all in their power to ensure the ongoing integrity and security of exchange trading systems and clearinghouses. In addition to the SEC and CFTC, the letter was sent to executives from BATS Global Markets, the Chicago Board Options Exchange, the CME Group, the Depository Trust & Clearing Corporation, Direct Edge, the International Securities Exchange, IntercontinentalExchange, the NASDAQ Stock Market, NYSE Euronext, and the Options Clearing Corporation. Government Sponsored Enterprises Charter Restructuring for GSEs The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to examine proposals to modify or terminate Fannie Mae's and Freddie Mac's statutory charters. On July 7, 2011, H.R. 2436, the Fannie Mae and Freddie Mac Taxpayer Payback Act of 2011, was introduced by Representative Donald Manzullo. The bill would prohibit any reduction in the dividend rate paid to the Secretary of the Treasury on the senior preferred stock of Fannie Mae and Freddie Mac. On May 25, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on the discussion draft of H.R. 2436 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' On July 12, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2436 favorably reported to the Committee by voice vote. On July 7, 2011, H.R. 2439, the Removing GSEs Charters During Receivership Act of 2011, was introduced by Representative Steve Stivers. The bill would authorize the FHFA to revoke the charters of Fannie Mae and Freddie Mac, and require the FHFA to revoke the charter when a successor, limited-life entity is dissolved. On May 25, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on the discussion draft of H.R. 2439 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' On July 12, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2439, as amended, favorably reported to the Committee by voice vote. On July 8, 2011, H.R. 2462, the Cap the GSE Bailout Act of 2011, was introduced by Representative Michael Fitzpatrick. The bill would limit outlays to Fannie Mae or Freddie Mac to the larger of (a) net amounts Fannie and Freddie have received from 2010 to 2012 or (b) $200 billion. On May 25, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on the discussion draft of H.R. 2462 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' On July 12, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2462, as amended, favorably reported to the Committee by voice vote. GSE Regulatory Reform The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor the activities of the FHFA and consider the appropriate role, if any, for the Federal government in the secondary mortgage market. From January through May 2011, the Committee held two hearings to examine government sponsored enterprise (GSE) reform proposals; the Subcommittee on Capital Markets and Government Sponsored Enterprises held three hearings, two of which focused on 15 different bills and legislative ideas; and the Subcommittee held one markup. On April 5, 2011, the Subcommittee overwhelmingly passed with bipartisan support eight legislative measures designed to scale back the role played by the GSEs in the U.S. mortgage market and limit further taxpayer exposure. On January 26, 2011, the Committee held a hearing titled ``Promoting Economic Recovery and Job Creation: The Road Forward.'' The hearing broadly examined the health of the United States economy, impediments to job growth and ways to address the nation's budget challenges. John Taylor of Stanford University also argued during the hearing that GSE reform is necessary. On February 9, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a hearing titled ``GSE Reform: Immediate Steps to protect Taxpayers and End the Bailout.'' Four scholars offered suggestions for reforms, debated the merits of government guarantees, and examined ways to transition Fannie Mae and Freddie Mac from a Federal conservatorship. On March 1, 2011, the Committee held a hearing titled ``Mortgage Finance Reform: An Examination of the Obama Administration's Report to Congress,'' at which Treasury Secretary Timothy Geithner presented the Obama Administration's options for GSE reform. Section 1074 of the Dodd-Frank Act required the Treasury Department to ``conduct a study of and develop recommendations regarding the options for ending the [GSE] conservatorship.'' The Treasury Department and the Department of HUD submitted a 31-page white paper on February 11, 2011, titled ``Reforming America's Housing Finance Market: A Report to Congress.'' Secretary Geithner listed a series of short-term steps that the Administration intends to take that it believes will help attract private capital into the mortgage market and reduce the ``unfair capital advantages that Fannie Mae and Freddie Mac previously enjoyed,'' and he outlined three options for long-term change. He did not endorse any of the options. Option One would place the mortgage market in the hands of the private sector and limit the government's insurance role to narrowly-targeted groups of borrowers through the FHA, the United States Department of Agriculture (USDA) and the Department of Veterans' Affairs. The middleman role currently played by Fannie and Freddie would disappear. Option Two would also create a more private market, narrowly targeting government assistance in programs for low- and moderate-income borrowers. Under this proposal, the government would also develop a backstop mechanism to ensure access to credit during a housing crisis. Option Three envisions a system based on an explicit guarantee of catastrophic risks. Under this proposal, a group of private mortgage guarantor companies would provide guarantees for mortgage-backed securities that meet certain underwriting standards. A government reinsurer would then provide reinsurance to the holders of these securities, which would be paid out only if shareholders of the private mortgage guarantors have been entirely wiped out. The government would price and issue the catastrophic guarantee, collect a premium for the guarantee, and administer the program. On March 31, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing titled ``Legislative Hearing on Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac.'' The two-panel hearing focused on eight bills designed to scale back the role played by the GSEs in the U.S. mortgage market and limit further taxpayer exposure. The bills would (1) expand the reporting requirements and enhance the authority of the FHFA's Inspector General; (2) suspend the current compensation packages for all wage grade employees at Fannie Mae and Freddie Mac and establish a compensation system for the executive officers that is consistent with that of the Executive Schedule and the Senior Executive Service of the Federal Government and for all other employees that is in accordance with the General Schedule; (3) mandate that the FHFA gradually require higher guarantee fees at Fannie Mae and Freddie Mac over the next two years while requiring the FHFA to consider the conditions of the financial market in raising the GSEs' guarantee fees to ensure that its actions do not disrupt a housing recovery; (4) prohibit the GSEs from offering, undertaking, transacting, conducting or engaging in any new business activities while in conservatorship or receivership; (5) require the Treasury Department to approve any new debt issuances by the GSEs; (6) eliminate any advantages that the new Qualified Residential Mortgage definition might confer on the GSEs; (7) repeal the GSEs' affordable housing goals; and (8) accelerate and formalize the reductions in the size of the GSEs' portfolios, by setting annual limits on the maximum size of each GSE's retained portfolio, ratcheting the limits down over five years until they reach $250 billion. On May 25, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing titled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout'' to consider seven additional GSE reform proposals. This two-panel hearing focused on seven legislative proposals primarily designed to scale back the role played by the GSEs in the U.S. mortgage market and limit further taxpayer exposure. Mr. Edward DeMarco, Acting Director of the FHFA, testified, as did noted GSE analysts and housing reform advocates. On July 7, 2011, H.R. 2440, the Market Transparency and Taxpayer Protection Act of 2011, was introduced by Representative Robert Hurt. The bill would direct Fannie Mae and Freddie Mac to report to the FHFA on the assets they own within 180 days of the bill's enactment, which would incrementally reduce the government's role in the secondary mortgage market. On May 25, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on the discussion draft of H.R. 2440 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' On July 12, 2011, the Subcommittee on Capital Markets and Government Sponsored Enterprises met in open session and ordered H.R. 2440, as amended, favorably reported to the Committee by voice vote. On June 29, 2011, Chairman Spencer Bachus, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer, Vice Chairman Jeb Hensarling, Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert, Subcommittee on Financial Institutions and Consumer Credit Chairman Shelley Moore Capito, and Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett sent a letter to Treasury Secretary Timothy Geithner and Acting Director of the FHFA Edward DeMarco to express concern regarding Fannie Mae's and Freddie Mac's potential expansion into new products and new lines of business, as a provision of the Small Business Jobs Act of 2010 seemingly provides an opportunity for the GSEs to contract with the Department of Treasury to administer a new bond program. The letter raises concerns that any such GSE action would directly contradict the goals of the GSEs' conservatorship. On October 13, 2011, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to Acting Director of the FHFA Edward DeMarco expressing concerns that expenditures that Freddie Mac and Fannie Mae made in connection with an industry conference hosted by the Mortgage Bankers Association may have had no relation to furthering the purposes of their conservatorships. On October 21, 2011, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to Acting Director of the FHFA Edward DeMarco expressing concern that Fannie Mae and Freddie Mac could incur substantial costs in connection with implementing the Obama Administration's Home Affordable Refinance Program (HARP). On November 2, 2011, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to Acting Director of the FHFA Edward DeMarco requesting information on Fannie Mae's yearly operating expenses and questioning whether those expenses furthered the purpose of conservatorship. On November 7, 2011, Chairman Spencer Bachus, Vice Chairman Jeb Hensarling, Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert, Subcommittee on Financial Institutions and Consumer Credit Chairman Shelley Moore Capito, Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer, and Subcommittee on Domestic Monetary Policy and Trade Chairman Ron Paul sent a letter to the Honorable Hal Rogers, the Honorable C. W. Bill Young, the Honorable Jack Kingston, the Honorable Robert Aderholt, the Honorable John Abney Culberson, the Honorable Steven C. LaTourette, the Honorable Jerry Lewis, the Honorable Frank R. Wolf, the Honorable Tom Latham, the Honorable JoAnn Emerson, and the Honorable John R. Carter, conferees appointed to the conference committee for H.R. 2112, the Consolidated and Further Continuing Appropriations Act in opposition to conference report language to increase the loan limits for mortgages insured by the federal government through the FHA or guaranteed by the GSEs, Fannie Mae and Freddie Mac. On November 18, 2011, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to Acting Director of the FHFA Edward DeMarco requesting information on Freddie Mac's yearly operating expenses and questioning whether those expenses furthered the purpose of conservatorship. On November 18, 2011, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to Acting Director of the FHFA Edward DeMarco regarding the GSEs' core activities, strategic planning, decision making, staffing, loan level data and guarantee fees, and on FHFA operations generally. On May 1, 2012, Chairman Spencer Bachus, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer, Vice Chairman Jeb Hensarling, Subcommittee on Insurance, Housing, and Community Opportunity Chairman Judy Biggert, Subcommittee on Financial Institutions and Consumer Credit Chairman Shelley Moore Capito, Subcommittee on Capital Markets and Government Sponsored Enterprise Chairman Scott Garrett, Subcommittee on International Monetary Policy and Trade Chairman Gary Miller, and Subcommittee on Domestic Monetary Policy and Technology Chairman Ron Paul sent a letter to the Acting Director of the FHFA, Edward DeMarco, questioning whether FHFA can, and should, authorize Freddie Mac and Fannie Mae to forgive a portion of the outstanding principal on mortgages that qualify for relief through the Home Affordable Modification Program. Federal Home Loan Bank (FHLB) System The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor the capital requirements, financial health, and stability of the FHLB System, as well as the FHLB System's ability to fulfill its housing mission and provide liquidity to the cooperative's member banks in a safe and sound manner. On March 1, 2011, during a Committee hearing titled ``Mortgage Finance Reform: An Examination of the Obama Administration's Report to Congress,'' Treasury Secretary Timothy Geithner discussed ways to strengthen the FHLB System, including enhancing regulatory oversight and limiting FHLB portfolios to reduce systemic risks. On July 7, 2011, Chairman Spencer Bachus sent a letter to Acting Director of the FHFA Edward DeMarco regarding the Advance Notice of Proposed Rulemaking (ANPR) issued on December 27, 2010, that could substantially limit membership in the FHLB system, affecting existing members and many potential applicants. Given that the ANPR could fundamentally change how financial institutions do business, Chairman Spencer Bachus urged that the Acting Director use caution in moving forward with the proposal. On October 12, 2011, the Subcommittee on Oversight and Investigations held a hearing entitled ``Oversight of the Federal Home Loan Bank System.'' The purpose of the hearing was to examine the financial health and stability of the Federal Home Loan Bank System, as well as the Federal Home Loan Bank System's ability to fulfill its housing mission and provide liquidity to the cooperative's member banks in a safe and sound manner. The hearing particularly considered the extent to which the Home Loan Banks' policies with respect to investments and the making of advances--especially in light of the recent financial crises--effectively further their mission. Legal Fees The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to examine the expenditure of federal funds to defend Fannie Mae and Freddie Mac and their top executives in lawsuits since 2008 and consider ways to limit further taxpayer exposure. On February 15, 2011, the Subcommittee on Oversight and Investigations held a hearing entitled ``An Analysis of the Post-Conservatorship Legal Expenses of Fannie Mae and Freddie Mac.'' Witnesses at the hearing included the Acting FHFA Director, Edward DeMarco, and the current CEO of Fannie Mae. In both his oral and written testimony, Acting Director DeMarco stated that FHFA had determined that cancelling the indemnification contracts of the GSEs' senior executives would have been subject to legal challenge and made it more difficult to attract skilled professionals to work at the companies. Both majority and minority members challenged this position. On July 6, 2011, H.R. 2428, the GSE Legal Fee Reduction Act of 2011, was introduced by Subcommittee on Oversight and Investigations Chairman Randy Neugebauer. The bill would limit the indemnification of former GSE executives and set standards for advancing indemnification payments. The Subcommittee on Capital Markets and Government Sponsored Enterprises held a legislative hearing on the discussion draft of H.R. 2440 on May 25, 2011 entitled ``Transparency, Transition and Taxpayer Protection: More Steps to End the GSE Bailout.'' On December 20, 2011, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer, Subcommittee on Insurance, Housing, and Community Opportunity Chairman Judy Biggert, Subcommittee on Financial Institutions and Consumer Credit Chairman Shelley Moore Capito, and Representative Edward Royce, sent a letter to the Acting Director of the FHFA, Edward DeMarco, expressing concern about costs incurred by Freddie Mac and Fannie Mae arising from the legal expenses of certain former employees, and asking that the FHFA take steps to limit the costs of such expenses. GSE Foreclosures and Loan Modification Protocols The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review Fannie Mae's and Freddie Mac's guidance to mortgage servicers and participations in government mortgage modification programs generally to ensure that undue political influence does not result in even greater losses to taxpayers from the GSE conservatorships. On December 1, 2011, the Subcommittee on Oversight and Investigations held a hearing entitled ``Oversight of the Federal Housing Finance Agency.'' The hearing examined the performance of the FHFA in its dual roles as regulator and conservator of the GSEs Fannie Mae and Freddie Mac. The hearing also considered the challenges that FHFA faces, including its efforts to mitigate taxpayer exposure to continuing GSE losses. Financial Institutions and Consumer Credit Bureau of Consumer Financial Protection (CFPB) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the powers of the CFPB to write rules, supervise compliance, and enforce consumer protection laws, and the impact of CFPB rules on small businesses and on financial institutions with fewer than $10 billion in assets. On March 2, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``The Effect of Dodd-Frank on Small Financial Institutions and Small Businesses.'' Witnesses, including representatives of community banks and credit unions, small business owners, and representatives of advocacy groups, addressed the challenges faced by small institutions as a result of the Dodd-Frank Act. The hearing focused on the effectiveness of Dodd-Frank's exemptions for institutions with less than $10 billion in assets, particularly the exemption from the CFPB's examination and enforcement authority. On March 16, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``Oversight of the Consumer Financial Protection Bureau.'' The hearing reviewed the Administration's progress in establishing the Bureau and addressed the CFPB's initial regulatory priorities. At the hearing, Elizabeth Warren, Special Advisor to the Secretary of the Treasury for the CFPB, testified on the Bureau's budget and staffing, the Bureau's organizational structure, and on interactions of Bureau staff with other federal agencies. Ms. Warren also addressed the Bureau's status in the event no Director has been appointed and confirmed by the designated transfer date of July 21, 2011. The hearing included questioning on the CFPB's participation in federal agencies' settlement negotiations with mortgage servicers. On April 6, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing entitled ``Legislative Proposals to Improve the Structure of the Consumer Financial Protection Bureau.'' The purpose of the hearing was to examine three bills amending Title X of the Dodd-Frank Act: (1) H.R. 1121, the Responsible Consumer Financial Protection Regulations Act of 2011, to change the leadership structure of the CFPB, replacing the Director of the CFPB with a five-person commission; (2) H.R. 1315, the Consumer Financial Protection Safety and Soundness Improvement Act of 2011, to modify the standards for review by the FSOC of proposed CFPB regulations; and (3) H.R. 1667, the Bureau of Consumer Financial Protection Transfer Clarification Act, to delay the transfer of certain powers to the CFPB until a Director is appointed by the President and confirmed by the Senate. On May 4, 2011, the Subcommittee on Financial Institutions and Consumer Credit met in open session and ordered the three bills favorably reported to the Committee. On May 12, 2011, the Committee met in open session and ordered the bills favorably reported to the House. H.R. 1121 and H.R. 1667 were included in the Rules Committee print for H.R. 1315, which was passed by the House on July 21, 2011. On May 24, 2011, Chairman Spencer Bachus sent a letter to Secretary Timothy Geithner regarding Section 1016A of the Department of Defense and Full-Year Continuing Appropriations Act (P.L. 112-10). In his letter, Chairman Bachus stressed the importance of ensuring that the annual independent audit of the CFPB's operations and budget is conducted in accordance with generally accepted government auditing standards (GAGAS). On October 26, Chairman Spencer Bachus sent a letter to Mr. Raj Date, the Special Advisor to the Secretary of the Treasury for the CFPB to verify the CFPB's position on implementing Regulation E of the Electronic Funds Transfer Act, which requires ATM operators to display prominent notices that consumers will be assessed a fee for making cash withdrawals from the machine. On November 2, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``The Consumer Financial Protection Bureau: The First 100 Days.'' The purpose of the hearing was to review the CFPB's budgeting, staffing, rule-writing initiatives, and the current and potential challenges facing the Bureau as well as the entities it regulates. Mr. Raj Date, Special Advisor to the Secretary of the Treasury, CFPB, was the sole witness. On January 6, 2012, Chairman Spencer Bachus sent a letter to Attorney General Eric Holder regarding the constitutionality and legality of President Obama's appointment of Richard Cordray as the Director of the CFPB, during a period in which the Senate was not in recess. On January 30, 2012, Chairman Spencer Bachus and Subcommittee on Financial Institutions and Consumer Credit Subcommittee Chairman Shelley Moore Capito sent a letter to Richard Cordray regarding an omission in the Dodd-Frank Act that could result in regulated institutions waiving privileges against third parties when they provide privileged information to the CFPB. In the letter, Chairman Bachus expressed the need for legislation to ensure that privileged information remains privileged for financial institutions. On February 8, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing entitled ``Legislative Proposals to Promote Accountability and Transparency at the Consumer Financial Protection Bureau'' to examine the following bills: (1) H.R. 1355, the Bureau of Consumer Financial Protection Accountability and Transparency Act of 2011, to make the CFPB accountable to Congress and the president for its spending; (2) H.R. 2081, a bill to amend the Federal Deposit Insurance Act to replace the Director of the Bureau of Consumer Financial Protection with the Chairman of the Board of Governors of the Federal Reserve System as a member of the Board of Directors of the FDIC; and (3) H.R. 3871, the Proprietary Information Protection Act of 2012, to provide certainty to financial institutions that the production of information compelled by the CFPB will not waive attorney- client privilege or work-product immunity and to provide that any privileged material that the CFPB shares with other federal agencies remains privileged. On February 16, 2012, the Committee met in open session and ordered H.R. 4014, a bill related to H.R. 3871, favorably reported to the House by voice vote. On February 15, 2015, the Subcommittee on Oversight and Investigations held a hearing entitled, ``Budget Hearing-- Consumer Financial Protection Bureau,'' which examined the CFPB's budget for the fiscal years 2011 through 2013. The Dodd- Frank Act provided that the CFPB would be funded from transfers from the Federal Reserve System, outside of the Congressional appropriations process. The Subcommittee received testimony from the Honorable Richard Cordray, Director of the CFPB. On February 16, 2012, Chairman Spencer Bachus sent a letter to Richard Cordray to urge the CFPB to clarify whether states may, consistent with the Secure and Fair Enforcement for Mortgage Licensing Act Mortgage Licensing (SAFE) Act of 2008 (P.L. 110-289) (the SAFE Act), permit transitional licensing of mortgage loan originators. In the letter, Chairman Bachus stressed the importance for the CFPB to make the efficient implementation of the SAFE Act a high priority. On February 22, 2012, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer and Representatives Mike Fitzpatrick and James Renacci sent a letter to CFPB Director Richard Cordray asking that the CFPB: (1) provide Congress access to certain forward-looking budget planning information; (2) provide a more detailed budget justification for Fiscal Year 2013; (3) include a meaningful performance plan within its budget justification; (4) make its requests for transfers from the Federal Reserve Board of Governors publicly available 48 hours before making any request; and (5) provide guidance on the hiring process of its staff and projection of the number of total employees necessary. On March 29, 2012, the Committee held a hearing entitled ``The Semi-Annual Report of the Consumer Financial Protection Bureau.'' This hearing was held pursuant to Section 1016 of the Dodd-Frank Act, which requires the CFPB to prepare semi-annual reports describing its activities during the previous six months, and the CFPB's Director to testify before the Committee on Financial Services to report its findings. The hearing focused on the CFPB's activities since it assumed rulemaking, supervisory, and examination authorities over consumer financial products and services. In addition, the hearing examined the rules, orders, and other initiatives the CFPB has planned for the next six months, most of which implement provisions of the Dodd-Frank Act aimed at the mortgage market. The Honorable Richard Cordray was the sole witness. On March 29, 2012, the Subcommittee on Oversight and Investigations Chairman Randy Neugebauer and Subcommittee on Financial Institutions and Consumer Credit Chairman Shelley Moore Capito sent a letter to CFPB Director Richard Cordray requesting an itemization of the economic and compliance costs that will result from the CFPB's rule making. On March 29, 2012, the House passed the concurrent budget resolution on the budget for fiscal year 2013, H. Con. Res. 112, by a vote of 228 yeas and 191 nays. The budget instructed the Committee on Financial Services to submit legislative recommendations that reduce the deficit by $3 billion for fiscal years 2012 and 2013, $16.7 billion for fiscal years 2012 through 2017, and $29.8 billion for fiscal years 2012 through 2022. On April 18, 2012, the Committee met in open session to consider the Committee's legislative recommendations to the Committee on Budget. The budget reconciliation recommendations included a provision that would repeal direct funding for the CFPB, which was mandated by Title X of the Dodd-Frank Act. Repealing direct funding for the CFPB would achieve savings for the purposes of deficit reduction of $381 million in FY 2012- 13, $2.435 billion in FY 2012-17, and $5.387 billion in FY 2012-22, according to the Congressional Budget Office. The Committee ordered the legislative recommendations for the budget reconciliation to be transmitted to the Committee on the Budget by a record vote of 31 yeas and 26 nays. On May 2, 2012, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer and Representatives Mike Fitzpatrick and James Renacci sent a letter to CFPB Director Richard Cordray requesting detailed information regarding the CFPB's Fiscal Year 2013 budget, hiring process, and transfer requests from the Federal Reserve Board of Governors that the CFPB did not provide in its response to the Members' February 22, 2012 letter. On May 9, 2012, Chairman Spencer Bachus and Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to CFPB Director Richard Cordray requesting information on the CFPB's conference planning policies and expenditures related to conferences held by the CFPB. ``Too Big to Fail'' The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review whether the ``orderly liquidation authority'' created by Title II of the Dodd-Frank Act to resolve large, complex financial institutions whose failure could threaten the United States economy provides an effective mechanism for imposing market discipline and promoting financial stability. On May 26, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``FDIC Oversight: Examining and Evaluating the Role of the Regulator during the Financial Crisis and Today.'' A primary focus of the hearing, which featured testimony by FDIC Chairman Sheila Bair, was the FDIC's implementation of Title II and efforts to structure the orderly liquidation authority to instill greater market discipline and prevent future bail-outs of large financial firms. On June 14, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``Does the Dodd-Frank Act End `Too Big to Fail'?'' The purpose of the hearing was to learn more about whether the FDIC's Orderly Liquidation Authority--created by the Dodd-Frank Act--is appropriately structured to end taxpayer bailouts for the largest financial institutions. On March 29, 2012, the House passed the concurrent budget resolution on the budget for fiscal year 2013, H. Con. Res. 112, by a vote of 228 yeas and 191 nays. The budget instructed the Committee on Financial Services to submit legislative recommendations that reduce the deficit by $3 billion for fiscal years 2012 and 2013, $16.7 billion for fiscal years 2012 through 2017, and $29.8 billion for fiscal years 2012 through 2022. On April 18, 2012, the Committee met in open session to consider the Committee's legislative recommendations to the Committee on Budget. The budget reconciliation included a provision that would repeal Title II of the Dodd-Frank Act. Repealing Title II would relieve taxpayers of the burden of bailing out large financial institutions or their creditors, and, according to the Congressional Budget Office, would achieve savings for the purposes of deficit reduction of $3.383 billion in FY 2012-13, $13.585 billion in FY 2012-17, and $22 billion in FY 2012-22. The Committee ordered the legislative recommendations for the budget reconciliation to be transmitted to the Committee on the Budget by a record vote of 31 yeas and 26 nays. On May 16, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``The Impact of the Dodd-Frank Act: What It Means to be a Systemically Important Financial Institution.'' The hearing examined how the FSOC arrived at its final rule on designating companies as ``systemically important,'' and whether the designation provides firms with an advantage over their competitors. Financial Supervision The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to examine Federal regulators' safety and soundness supervision of the banking, thrift, and credit union industries, and to ensure that systemic risks or other structural weaknesses in the financial sector are identified and addressed promptly. On April 14, 2011, the Oversight and Investigations Subcommittee held a hearing entitled ``Oversight of the Financial Stability Oversight Council.'' The hearing focused on the activities and regulatory initiatives of the FSOC, the interagency body created by the Dodd-Frank Act to identify, monitor, and address potential threats to the U.S. financial system. The Subcommittee received testimony from representatives of the Treasury Department, the CFTC, the Federal Reserve, the SEC, the FDIC, and the OCC. On May 26, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``FDIC Oversight: Examining and Evaluating the Role of the Regulator during the Financial Crisis and Today.'' FDIC Chairman Sheila Bair's testimony contained an overview of the FDIC's supervisory program, which has included a broad spectrum of guidance to insured depository institutions to establish, and clearly reaffirm, safety and soundness expectations. This guidance dealt with significant risk management issues that became central themes during the financial crisis, such as subprime and non-traditional mortgage lending. In addition, Chairman Bair testified that the FDIC has increased the frequency of its examinations and hired additional examiners to achieve the goals of its supervisory mission. On June 14, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``Does the Dodd-Frank Act End `Too Big to Fail'?'' The purpose of the hearing was to learn more about whether the FDIC's Orderly Liquidation Authority--created by the Dodd-Frank Act--is appropriately structured to end taxpayer bailouts for the largest financial institutions. On June 16, 2011, the Committee held a hearing entitled ``Financial Regulatory Reform: The International Context.'' During this hearing, the Committee examined the international implications of the Dodd-Frank Act for the United States financial services industry and the United States economy. Specifically, the Committee considered four aspects of United States regulation that may affect the ability of United States financial institutions to compete against their foreign counterparts and impede economic recovery in the United States. The regulations discussed were capital and liquidity requirements, regulation and oversight of ``systemically significant financial institutions,'' derivatives regulation, and the regulation of proprietary trading. On July 8, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing entitled ``Legislative Proposals Regarding Bank Examination Practices'' to examine H.R. 1723, the Common Sense Economic Recovery Act of 2011, introduced by Representative Bill Posey on May 4, 2011, and H.R. 2056, a bill to instruct the Inspector General of the FDIC to study the impact of insured depository institution failures, introduced by Representative Lynn Westmoreland on May 31, 2011. H.R. 1723 would permit certain current loans that would otherwise be treated as nonaccrual loans as accrual loans. H.R. 2056 would instruct the Inspector General of the FDIC to study the impact of insured depository institution failures and closely examine the FDIC's bank closure procedures. On July 20, 2011, the Committee met in open session and favorably reported H.R. 2056 to the House. On July 28, 2011, the House considered H.R. 2056 under suspension of the rules, and passed the bill, as amended, by voice vote. On November 17, 2011, the Subcommittee met in open session and did not order H.R. 1723 favorably reported to the Committee by a record vote of 8 yeas and 10 nays. On August 16, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a field hearing in Newman, Georgia entitled ``Potential Mixed Messages: Is Guidance from Washington Being Implemented by Federal Bank Examiners?'' The purpose of the hearing was to assess whether or not federal bank examination standards are overly stringent and impeding an economic recovery. On October 27, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``Proposed Regulations to Require Reporting of Nonresident Alien Deposit Interest Income.'' The purpose of the hearing was to review the impact of a proposed regulation that would require financial institutions to report annually to the Internal Revenue Service the amount of interest earned by nonresident aliens on their U.S. bank deposits. The hearing considered the potential effects of the proposed regulation on nonresident alien deposits held in U.S. financial institutions and on the safety and soundness of financial institutions that hold significant amounts of these deposits. On October 31, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a field hearing in Wausau, Wisconsin, entitled ``Regulatory Reform: Examining How New Regulations are Impacting Financial Institutions, Small Businesses and Consumers.'' The purpose of the hearing was to assess how new financial regulations are affecting the ability of financial institutions to extend credit and stimulate job growth. The hearing examined whether bank examination practices are excessively stringent and impeding economic recovery. On November 2, 2011, the Subcommittee on Financial Institutions and Consumer Credit and the Subcommittee on Capital Markets and Government Sponsored Enterprises held a joint hearing entitled ``H.R. 1697: The Communities First Act.'' The purpose of the hearing was to consider H.R. 1697, the Communities First Act, which was introduced by Representative Blaine Luetkemeyer on May 3, 2011. H.R. 1697 would reduce regulatory, paperwork, and tax burdens on small banks. The Subcommittee examined whether H.R. 1697 would help community banks foster economic growth and better serve their communities. On January 12, 2012, Chairman Spencer Bachus sent a letter to John Walsh, Acting Comptroller of the Currency, requesting access to un-redacted engagement letters submitted by independent consultants that were retained by federal savings association mortgage servicers. These letters would have been sent as a result of April 2011 consent orders issued by the OCC concerning deficient and unsafe or unsound foreclosure practices. In the letter, Chairman Bachus gave assurances that the information disclosed within the documents would be protected from unauthorized public disclosure during the Congressional review process. On February 1, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing entitled ``H.R. 3461: the Financial Institutions Examination Fairness and Reform Act.'' The hearing examined H.R. 3461, a bill to amend the Federal Financial Institutions Examination Council Act of 1978 to set new examination standards for financial institutions and their regulators. On May 16, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``The Impact of the Dodd-Frank Act: What It Means to be a Systemically Important Financial Institution,'' to examine how the FSOC arrived at its final rule on designating companies as ``systemically important,'' and whether the designation provides firms with an advantage over their competitors. Basel III The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review new global bank capital and liquidity rules being developed by the Basel Committee on Banking Supervision (known as Basel III), paying particular attention to implementation, compliance burdens and global coordination. On May 26, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``FDIC Oversight: Examining and Evaluating the Role of the Regulator during the Financial Crisis and Today.'' FDIC Chairman Sheila Bair's testimony included an update on the Basel III process and efforts by regulators to achieve international harmonization of capital and liquidity standards and thereby avoid opportunities for regulatory arbitrage. On June 16, 2011, the Committee held a hearing entitled ``Financial Regulatory Reform: The International Context.'' During this hearing, the Committee examined the international implications of the Dodd-Frank Act for the United States financial services industry and the United States economy. The regulations discussed were capital and liquidity requirements, regulation and oversight of ``systemically significant financial institutions,'' derivatives regulation, and the regulation of proprietary trading. Basel III was a focus of much of the testimony at the hearing. Interchange Fees The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the implementation of Section 1075 of the Dodd-Frank Act, which directs the Federal Reserve Board to set a ``reasonable and proportional'' interchange fee for debit card transactions, and consider its effect on merchants, banks, credit unions, consumers, and the payment processing networks. On February 17, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``Understanding the Federal Reserve's Proposed Rule on Interchange Fees: Implications and Consequences of the Durbin Amendment.'' Federal Reserve Board Governor Sarah Raskin, representatives of small financial institutions and merchant groups, and the general counsel of Visa presented their views on the merits of the Federal Reserve's proposal for implementing Section 1075. On March 15, 2011, Subcommittee on Financial Institutions and Consumer Credit Chairman Shelley Moore Capito introduced H.R. 1081, the Consumers Payment System Protection Act. The bill calls for a one-year delay of implementation of section 1075 of the Dodd-Frank Act. During the first eight months of the delay, the following three studies are to be conducted: (1) a study of all of the costs associated with debit transactions; (2) an impact study on the effect of the Federal Reserve's proposed rule on consumers, debit card issuers, merchants; and (3) an impact study on network exclusivity and routing provisions. The Federal Reserve will be able to utilize the final four months of the extended time period to re-write the rule and submit it for public comment. Financial Crisis Inquiry Commission (FCIC) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to conduct a statutorily required review of the FCIC's final report issued on January 27, 2011. The FCIC was created by Congress in 2009 ``to examine the causes, domestic and global, of the current financial and economic crisis in the United States'' (P.L. 111- 21). The Commission issued its final report on January 27, 2011, accompanied by dissenting views filed by individual Commissioners. The chairperson of the FCIC was required to appear before the Committee to present its findings not later than 120 days after the issuance of the final report. On February 16, 2011, the Committee held a hearing entitled ``The Final Report of the Financial Crisis Inquiry Commission.'' The Chairman and Vice Chairman of the FCIC testified, along with four other commissioners, two of whom dissented from the Commission's majority report. The hearing focused on the findings of the Commission's final report and the commissioners' assessments of the Dodd-Frank Act in light of the Commission's findings. In addition, the hearing addressed the reasons for the Commission's inability to reach consensus in its findings with regard to the causes of the financial crisis. Mortgage Servicing The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review standards proposed by regulatory agencies on mortgage servicing in order to ensure that proper authority exists for such regulations and that deficient practices are adequately addressed without unduly increasing the cost of mortgage financing. In the wake of the ``robo-signing'' controversy involving irregularities in the foreclosure documentation process, five of the nation's largest mortgage servicers received a draft settlement term sheet on March 3, 2011, from the U.S. Department of Justice on behalf of other federal and state agencies to resolve outstanding enforcement actions against the firms. On March 9, 2011, Chairman Spencer Bachus and other Members of the Committee sent a letter to Secretary Timothy Geithner asking a number of legal and public policy questions about the settlement term sheet. On March 16, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``Oversight of the Consumer Financial Protection Bureau.'' At the hearing, Members questioned Treasury Special Assistant Elizabeth Warren about the CFPB's participation in federal agencies' and State Attorneys General's settlement negotiations with mortgage servicers. As a follow-up to Ms. Warren's responses at the March 16th hearing, on March 30, 2011, Chairman Bachus and Financial Institutions and Consumer Credit Subcommittee Chairman Capito sent a letter to Ms. Warren inviting her to clarify her statements during the hearing regarding the CFPB's involvement in the mortgage servicing settlement negotiations. In her April 4, 2011 response, Ms. Warren stated that ``we have been an active participant in inter-agency discussions, sharing our analysis and recommendations in support of a resolution that would hold accountable any servicers that violated the law. . .While we have provided advice to government officials, it bears emphasizing that the consumer agency is not conducting settlement negotiations with mortgage servicers.'' On May 6, 2011, Representatives Neugebauer, Capito, Garrett, and McHenry sent a follow-up letter to the above- referenced March 16, 2011 letter to Secretary Geithner seeking specific documents and records related to the CFPB's involvement in the mortgage servicing settlement negotiations. On June 20, 2011, Chairman Spencer Bachus and other Members of the Committee sent a letter to Treasury Secretary Timothy Geithner seeking specific documents and records related to the CFPB's involvement in mortgage servicing settlement negotiations. On July 7, 2011, the Subcommittee on Financial Institutions and Consumer Credit and the Subcommittee on Oversight and Investigations held a joint hearing entitled ``Mortgage Servicing: An Examination of the Role of Federal Regulators in Settlement Negotiations and the Future of Mortgage Servicing Standards.'' The purpose of the hearing was to review the role of Federal regulators in the ongoing mortgage servicing settlement negotiations and the development of new mortgage servicing standards. On March 15, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a field hearing in Las Vegas, Nevada, entitled ``An Examination of Potential Private Sector Solutions to Mitigate Foreclosures in Nevada.'' This hearing examined potential private sector solutions to mitigate the wave of foreclosures that have hit the state of Nevada, which has held the nation's highest state foreclosure rate for five consecutive years. Deposit Insurance The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the solvency of the Deposit Insurance Fund (DIF) and changes to the assessments charged by the FDIC as mandated by the Dodd-Frank Act, to ensure that deposit insurance continues to serve its historic function as a source of stability in the banking system and a valued safety net for depositors. On May 26, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``FDIC Oversight: Examining and Evaluating the Role of the Regulator during the Financial Crisis and Today.'' One of the issues addressed in FDIC Chairman Bair's testimony and in questioning by Members was the current status of the DIF and the FDIC's implementation of the above-referenced changes to the system for assessing premiums on insured depository institutions. Bank Failures The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the process the FDIC uses to supervise and resolve failed community banks, as well as studying the costs and benefits of loss share agreements to the Deposit Insurance Fund and the American taxpayer. On May 26, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``FDIC Oversight: Examining and Evaluating the Role of the Regulator during the Financial Crisis and Today.'' In her testimony, FDIC Chairman Bair was questioned by several Members of the Subcommittee on the FDIC's policies and procedures for resolving failed institutions, which include offering loss sharing and structured transactions, as well as securitizations of failed bank assets. On June 14, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``Does the Dodd-Frank Act End `Too Big to Fail'?'' The purpose of the hearing was to learn more about whether the FDIC's Orderly Liquidation Authority--created by the Dodd-Frank Act--is appropriately structured to end taxpayer bailouts for the largest financial institutions. On July 8, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing entitled ``Legislative Proposals Regarding Bank Examination Practices'' to examine H.R. 1723, the Common Sense Economic Recovery Act of 2011, introduced by Representative Bill Posey on May 4, 2011, and H.R. 2056, a bill to instruct the Inspector General of the FDIC to study the impact of insured depository institution failures, introduced by Representative Lynn Westmoreland on May 31, 2011. H.R. 1723 would permit certain current loans that would otherwise be treated as nonaccrual loans as accrual loans. H.R. 2056 would instruct the Inspector General of the FDIC to study the impact of insured depository institution failures and closely examine the FDIC's bank closure procedures. On July 20, 2011, the Committee met in open session and favorably reported H.R. 2056 to the House. On July 28, 2011, the House considered H.R. 2056 under suspension of the rules, and passed the bill, as amended, by voice vote. On November 17, 2011, the Subcommittee on Financial Institutions and Consumer Credit met in open session and did not order H.R. 1723 favorably reported to the Committee by a record vote of 8 yeas and 10 nays. On August 16, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a field hearing in Newman, Georgia entitled ``Potential Mixed Messages: Is Guidance from Washington Being Implemented by Federal Bank Examiners?'' The purpose of the hearing was to assess whether or not federal bank examination standards are overly stringent and impeding an economic recovery. A primary focus of the hearing was the causes and consequences of the elevated level of bank failures in the State of Georgia. On May 16, 2012, the Subcommittee on Oversight and Investigations held a hearing entitled ``Oversight of the Federal Deposit Insurance Corporation's Structured Transaction Program.'' The hearing examined the use of structured transaction sales by the FDIC in which the FDIC partners with private-sector entities to dispose of some of the assets acquired by the FDIC when it resolves a failed bank. The hearing further explored whether the FDIC's structured transactions program maximizes the value of the assets sold in these transactions and whether these sales affect the FDIC's Deposit Insurance Fund. Credit Unions The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review issues relating to the safety and soundness and regulatory treatment of the credit union industry. In particular, the Committee will examine the failures in the corporate credit union system and evaluate possible reforms to the system and to the National Credit Union Administration (NCUA). On October 12, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing entitled ``H.R. 1418: The Small Business Lending Enhancement Act of 2011.'' The purpose of the hearing was to discuss credit union member business lending. The hearing considered H.R. 1418, the Small Business Lending Enhancement Act of 2011, was introduced by Representatives Edward Royce and Carolyn McCarthy on April 7, 2011. H.R. 1418 provides exceptions to caps contained in the Federal Credit Union Act of 1934 on the amounts that credit unions can lend to their members' businesses. H.R. 1418 also requires both the NCUA and GAO to study member business loans made by credit unions, as well as recent trends in credit union lending. Regulatory Burden Reduction The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to conduct an ongoing review of the current regulatory burden on banks, thrifts, and credit unions, with the goal of reducing unnecessary, duplicative, or overly burdensome regulations, consistent with consumer protection and safe and sound banking practices. On January 26, 2011, the Committee held a hearing entitled ``Promoting Economic Recovery and Job Creation: The Road Forward.'' The purpose of this hearing was to provide leading economists, academics, business-owners and citizens an opportunity to share their views about the barriers to economic growth. The hearing gave witnesses an opportunity to discuss macroeconomic issues and trends facing the country and affecting job creation. Among other issues, witnesses discussed and evaluated the impact of regulatory uncertainty on job growth. On March 2, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``The Effect of Dodd-Frank on Small Financial Institutions and Small Businesses.'' Witnesses, including representatives of community banks and credit unions, small business owners, and advocacy groups, addressed the challenges faced by small institutions as a result of the Dodd-Frank Act. On March 9, 2011, Chairman Spencer Bachus and the other Republican Members of the Committee sent a letter to financial regulators expressing a number of concerns regarding the implementation of Dodd-Frank. The letter requested that the agencies (1) provide comment periods sufficient to address the number of proposed rules and breadth of issues addressed by the rules, (2) ensure consistency across agencies, and (3) provide regulatory flexibility for small entities. On September 8, 2011, Chairman Spencer Bachus and other Members of the Committee sent a letter to Secretary of the Department of Treasury Timothy Geithner expressing concerns about the fulfillment of the FSOC's pledge to eliminate unnecessary or duplicative regulatory burdens on the financial system, namely on small community banks and credit unions. Additionally, the letter requested a status report from the Secretary on his efforts to ``streamline and simplify'' the regulatory environment. Secretary Geithner responded on October 5, stating that ``as agencies move forward with implementation of the Dodd-Frank Act, I will continue to encourage, as a top priority, inter-agency coordination and the development of rules that strike the right balance between financial stability and innovation.'' On October 31, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a field hearing in Wausau, Wisconsin, entitled ``Regulatory Reform: Examining How New Regulations are Impacting Financial Institutions, Small Businesses and Consumers.'' The purpose of the hearing was to assess how new financial regulations are affecting the ability of financial institutions to extend credit and stimulate job growth. The hearing examined whether bank examination practices are excessively stringent and impeding economic recovery. On November 2, 2011, the Subcommittee on Financial Institutions and Consumer Credit and the Subcommittee on Capital Markets and Government Sponsored Enterprises held a joint hearing entitled ``H.R. 1697: The Communities First Act.'' The purpose of the hearing was to consider H.R. 1697, the Communities First Act, which was introduced by Representative Blaine Luetkemeyer on May 3, 2011. H.R. 1697 would reduce regulatory, paperwork, and tax burdens on small banks. The Subcommittees examined whether H.R. 1697 would help community banks foster economic growth and better serve their communities. On February 1, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing entitled ``H.R. 3461: the Financial Institutions Examination Fairness and Reform Act.'' The hearing examined H.R. 3461, a bill to amend the Federal Financial Institutions Examination Council Act of 1978 to set new examination standards for financial institutions and their regulators. On March 1, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``Understanding the Effects of the Repeal of Regulation Q on Financial Institutions and Small Businesses.'' The hearing examined the effect of Regulation Q's repeal on the funding costs of banks, the demand for interest-bearing checking accounts, the ability of smaller banks to compete for deposits against larger ones, and the credit costs for businesses and consumers. On March 14, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a field hearing in San Antonio, Texas, entitled ``An Examination of the Challenges Facing Community Financial Institutions in Texas.'' The hearing examined the effect of new financial regulations on the ability of financial institutions to extend credit and stimulate job growth. In addition, the hearing examined the effects of excessively stringent federal bank examinations on the economic recovery. On April 16, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a field hearing in Cleveland, Ohio, entitled ``An Examination of the Challenges Facing Community Financial Institutions in Ohio.'' The hearing examined how new financial regulations are affecting the ability of Ohio-based financial institutions to extend credit and stimulate job growth, while staying economically viable. The hearing also addressed the effect of stringent federal bank examinations--examinations that some financial institutions contend may be overzealous--during an economic recovery. On May 9, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``Rising Regulatory Compliance Costs and Their Impact on the Health of Small Financial Institutions.'' The purpose of this hearing was to assess the efforts of prudential regulators to ensure that new regulations do not unnecessarily constrain the financial services industry, and to learn the plans of financial institutions to remain viable in the face of these rising costs. On May 18, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``The Impact of the Dodd-Frank Act: Understanding Heightened Regulatory Capital Requirements.'' The purpose of this hearing was to assess the effects of prohibiting bank holding companies from using trust preferred securities to meet Tier 1 capital requirements. Access to Financial Services The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to explore ways to expand access to mainstream financial services by traditionally underserved segments of the U.S. population, particularly those without any prior banking history (commonly referred to as ``the unbanked''). On July 26, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``Examining Rental Purchase Agreements and the Potential Role for Federal Regulation,'' to discuss a proposal for improving the oversight and transparency of the rent-to-own industry. The hearing focused on H.R. 1588, the Consumer Rental Purchase Act, which was introduced by Representative Francisco ``Quico'' Canseco on April 15, 2011. H.R. 1588 would define rental purchase transactions, create uniform national disclosure standards for rent-to-own businesses, and prohibit certain practices. This legislation was designed to be a federal floor for regulation of the rent-to-own industry, leaving intact the rights of states to go beyond these regulations, so long as those states do not define rental purchase transactions as a credit sale or require the disclosure of an annual percentage rate. On November 17, 2011, H.R. 1588, as amended, was ordered favorably reported to the Committee by voice vote. On May 31, 2012, the Committee met in open session and favorably reported H.R. 1588, as amended, to the House by a vote of 33 yeas and 21 nays. On September 22, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``An Examination of the Availability of Credit for Consumers.'' The purpose of the hearing was to explore the capacity of banking institutions to address the credit needs of low- and middle- income consumers. The hearing also examined alternatives to traditional banking services, including check cashing and payday lending services. Data Security and Identity Theft The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to build on the Committee's long-standing role in developing laws governing the handling of sensitive personal financial information about consumers, (including the Gramm-Leach-Bliley Act and the Fair and Accurate Credit Transactions Act (FACT Act)); to evaluate the need for legislation that better protects the security and confidentiality of such information from any loss, unauthorized access, or misuse; to examine the threats of cyber crime against individuals, businesses and financial institutions; and to identify best practices that can protect against identify theft and related cyber crimes. On June 29, 2011, the Committee held a field hearing in Hoover, Alabama, entitled ``Hacked Off: Helping Law Enforcement Protect Private Financial Information.'' The hearing examined threats that computer hackers pose to individuals, businesses, financial institutions and government agencies; the methods that hackers employ to breach information technology systems; and the efforts of law enforcement to foil or arrest hackers. It also examined the work of the National Computer Forensics Institute, where state and local law enforcement officers, prosecutors and judges are trained in ways to detect, prosecute and try cases involving computer-based evidence. On September 14, 2011, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``Cybersecurity: Threats to the Financial Sector.'' The purpose of the hearing was to examine the threats that computer hackers pose to financial institutions and government agencies; the methods used by hackers to breach information-technology systems; and the cooperation among government agencies and the private sector to thwart hackers. On May 31, 2012, the Committee hosted the Symantec Corporation for a bipartisan House-wide briefing on its 2011 Internet Security Threat Report. The report is based on data from Symantec's Global Intelligence Network, which Symantec's analysts use to identify, analyze, and provide commentary on emerging trends in attacks, malicious code activity, ``phishing,'' and e-mail spam. Money Laundering and the Financing of Terrorism The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the enforcement of anti-money laundering and counter-terrorist financing laws and regulations. On September 6, 2011, the Subcommittee on Oversight and Investigations held a field hearing in New York, New York entitled ``Combating Terror Post-9/11: Oversight of the Office of Terrorism and Financial Intelligence.'' The hearing reviewed the activities of the Treasury Department's Office of Terrorism and Financial Intelligence to safeguard the integrity of the nation's financial system and to fight terrorist facilitators, money launderers, and other threats to national security. The Honorable Daniel Glaser, Assistant Secretary for Terrorist Financing, Department of the Treasury, was the sole witness. Insurance National Flood Insurance Program (NFIP) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review proposed reforms to the NFIP which is currently authorized through September 30, 2011. On March 11, 2011 and April 1, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held legislative hearings entitled ``Legislative Proposals to Reform the National Flood Insurance Program.'' The hearings focused on legislation introduced by Subcommittee Chairman Biggert (H.R. 1309) which included the following reforms: (1) a five-year reauthorization of the NFIP; (2) a three-year delay in the mandatory purchase requirement for certain properties in newly designated Special Flood Hazard Areas (SFHAs); (3) a phase-in of full-risk, actuarial rates for areas newly designated as Special Flood Hazard; (4) a reinstatement of the Technical Mapping Advisory Council; and (5) an emphasis on greater private sector participation in providing flood insurance coverage. On February 23, 2012, the Federal Emergency Management Agency (FEMA) conducted a bipartisan briefing on the NFIP's FY 2013 budget proposal for Committee staff. On May 16, 2012, Chairman Spencer Bachus sent a joint letter with Ranking Member Barney Frank to Senator Harry Reid, Senator Mitch McConnell, Senator Tim Johnson, and Senator Richard Shelby expressing concerns about the potential lapse of NFIP if Congress failed to reauthorize the program by May 31, 2012. Chairman Bachus and Ranking Member Frank urged the enactment of a long-term NFIP reauthorization bill. Federal Insurance Office (FIO) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor the establishment and implementation of the FIO. The Oversight Plan calls for the Committee to pay particular attention to the FlO's limited scope of authority and to work to ensure that FIO does not impose unwarranted or excessive data collection burdens on the insurance sector. On October 25, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Insurance Oversight: Policy Implications for U.S., Consumers, Businesses and Jobs, Part 2.'' This was the second in a series of hearings on the status of the insurance industry that began on July 28, 2011. The purpose of these hearings was to review the effect of the Dodd-Frank Act and other recent domestic and international regulatory changes on the insurance industry, consumers, and jobs. This hearing specifically examined the actions undertaken by the first Director of the FIO and his plans to fulfill FlO's mandate as set forth in the Dodd-Frank Act. On December 20, 2011, Chairman Spencer Bachus sent a joint letter with Ranking Member Barney Frank to the Secretary of the Treasury, Timothy Geithner, expressing concerns raised by domestic institutions about the procedures of the Financial Stability Board (FSB) for designating ``global systemically important financial institutions,'' or G-SIFIs. U.S. domiciled institutions raised concerns that the FSB's reach over large institutions could result in duplicative regulatory efforts that might inhibit a robust market. On May 17, 2012, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``U.S. Insurance Sector: International Competitiveness and Jobs.'' This hearing examined the international competitiveness of U.S.-domiciled insurance and reinsurance companies and their ability to create jobs. State-Based Insurance Reforms The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor developments in the state regulatory regime for insurance to see if the states are progressing in achieving uniform standards to enhance the efficiency and effectiveness of insurance and reinsurance regulation, particularly in the regulation of non-admitted (surplus lines) insurance. On July 28, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing on ``Insurance Oversight: Policy Implications for U.S., Consumers, Businesses and Jobs.'' The purpose of this hearing was to receive an update on ongoing challenges in the regulation of the insurance industry and in particular the related implementation of the Dodd-Frank Act. This hearing also reviewed other domestic and international insurance initiatives that affect consumers, the insurance industry, and jobs, and explored insurance reforms that might be considered by Congress, federal agencies, or the states. Impact of Dodd-Frank Act Implementation on the Insurance Sector The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor the implementation of various provisions in the Dodd-Frank Act for their potential impact on the insurance sector. The Dodd-Frank Act provides for three representatives on the FSOC to have specific expertise in the insurance area. On February 10, 2011 Chairman Spencer Bachus, Subcommittee on Insurance, Housing and Community Opportunity Chairwoman Judy Biggert, Ranking Member Barney Frank, and Subcommittee Ranking Member Luis Gutierrez sent a letter to Treasury Secretary Geithner expressing concern that the FSOC, contrary to the intent of the Dodd-Frank Act, was proceeding with discussions on major issues affecting the insurance sector without the benefit of a full complement of insurance expertise. On April 14, 2011, the Subcommittee on Oversight and Investigations held a hearing entitled ``Oversight of the Financial Stability Oversight Council.'' Representatives from the regulators serving on the FSOC testified at the hearing, including John Huff, the designated state insurance commissioner and one of the three FSOC members with insurance expertise. In written and oral testimony, Mr. Huff expressed frustration with his inability to use resources available from the National Association of Insurance Commissioners to assist him with his work on the Council. Treasury Undersecretary for Domestic Finance Jeffrey Goldstein offered assurances at the hearing that Mr. Huffs concerns would be addressed. On July 28, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing on ``Insurance Oversight: Policy Implications for U.S., Consumers, Businesses and Jobs.'' The purpose of this hearing was to receive an update on ongoing challenges in the regulation of the insurance industry and in particular the related implementation of the Dodd-Frank Act. This hearing also reviewed other domestic and international insurance initiatives that affect consumers, the insurance industry, and jobs, and explored insurance reforms that might be considered by Congress, federal agencies, or the states. On November 16, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Insurance Oversight and Legislative Proposals.'' This hearing examined three legislative discussion drafts that amend provisions of the Dodd-Frank Act that some argue would create regulatory uncertainty for the insurance industry, and thereby have negative consequences for U.S. consumers, businesses, and jobs. Witnesses at the hearing also discussed the strengths and weaknesses of the state insurance guaranty fund system in handling insurance company failures and curtailing systemic risk in the domestic insurance industry. State Insurance Guaranty Funds The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor the capacity and effectiveness of State Insurance Guaranty Funds to enhance stability in the insurance sector. On November 16, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Insurance Oversight and legislative Proposals.'' This hearing examined three legislative discussion drafts that amend provisions of the Dodd-Frank Act that some argue would create regulatory uncertainty for the insurance industry, and thereby have negative consequences for U.S. consumers, businesses, and jobs. Witnesses at the hearing also discussed the strengths and weaknesses of the state insurance guaranty fund system in handling insurance company failures and curtailing systemic risk in the domestic insurance industry. Housing Neighborhood Stabilization Program (NSP) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to rescind the $1 billion in unobligated funds for NSP and eliminate the program. On March 1, 2011, Representative Gary Miller introduced H.R. 861, the NSP Termination Act, which would rescind all unobligated balances made available for the NSP authorized by the Dodd-Frank Act and terminate the program. The NSP is a federal grant program which provides funding for emergency assistance to state and local governments to acquire, develop, redevelop, or demolish foreclosed homes. On March 2, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing on H.R. 861. H.R. 861 was ordered favorably reported by the Committee on March 3, 2011, and passed the House on March 16, 2011. Housing and Urban Development, Rural Housing Service, National Reinvestment Corporation The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review HUD's budget and current programs with the goal of identifying program spending cuts or eliminating inefficient and duplicative programs. On March 1, 2011, the Committee held a hearing entitled ``Oversight of the Department of Housing and Urban Development.'' The hearing focused on the proposed budget for HUD for fiscal year 2012, and featured testimony by HUD Secretary Shaun Donovan. On May 25, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Legislative Proposals to Determine the Future Role of FHA, RHS and GNMA in the Single- and Multi-Family Mortgage Markets.'' The hearing focused on HUD's FHA and USDA's Rural Housing Service (RHS) single- and multi-family programs. The hearing also examined legislative proposals to improve the financial condition of FHA, RHS and the Government National Mortgage Association (GNMA), the agency of HUD that guarantees the timely payment of principal and interest on securities backing mortgages insured by FHA and other government agencies. These proposals were designed to increase the current FHA down payment requirements, simplifying the FHA's loan limit calculation formula, and transferring RHS's current functions into FHA to be run by a new Deputy Assistant Secretary. On June 3, 2011, the Committee held a hearing entitled ``Oversight of HUD's HOME Program.'' This was the first in a series of hearings on allegations of waste, fraud, and abuse within the HOME program. In this hearing, the Committee examined HUD's policies and procedures for monitoring the performance of the HOME program. The hearing investigated several of the mismanagement allegations raised by the HUD Office of Inspector General and a series of journalistic exposes in The Washington Post. On June 8, 2011, Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert and Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to Mercedes Marquez, HUD's Assistant Secretary of the Office of Community Planning and Development. The letter expressed the need for assurances from HUD that every dollar spent on the HOME Investment Partnership Initiative program, the formula-based grant program for states and localities administered by HUD, goes to fulfill the program's mission to provide affordable housing to low-income families. On September 21, 2011, Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert and Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to Peter Kovar, HUD's Assistant Secretary for Congressional and Intergovernmental Relations. The letter specifically requested that HUD provide address information for both single-family projects and multi-family projects funded with HOME Investment Partnership Program funds in order to ensure that HUD was keeping an accurate database of past and current development projects. On November 2, 2011, the Subcommittee on Oversight and Investigations and the Subcommittee on Insurance, Housing and Community Opportunity held a joint hearing entitled ``Fraud in the HUD HOME Program.'' This was the second in a series of hearings on allegations of waste, fraud, and abuse within the HOME program. HUD's Office of Inspector General (HUD OIG) performed internal audits of HUD's management of the HOME program in September 2009 and November 2010 which documented problems in HUD's ability to track HOME funds and activities. The subcommittees received testimony from the HUD OIG, HUD, and others, including individuals convicted of defrauding the HOME program, on HUD's failure to properly oversee participating jurisdictions that received HOME funds. On February 13, 2012, HUD conducted a bipartisan briefing on its FY 2013 budget proposal for Committee staff. On February 28, 2012, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing on ``Oversight of the Department of Housing and Urban Development.'' This hearing examined the HUD's proposed Fiscal Year 2013 budget. On March 29, 2012, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to HUD Secretary Shaun Donovan requesting documents from HUD's headquarters and some of HUD's Office of Community Planning and Development field office directors to assist the Subcommittee in conducting oversight of HUD's management of its HOME program. On April 30, 2012, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to HUD Secretary Shaun Donovan, informing HUD that its document production was not fully responsive to the Subcommittee's March 29, 2012 request for HOME program documents. On May 9, 2012, Chairman Spencer Bachus and Subcommittee on Oversight and Investigations Chairman Randy Neugebauer sent a letter to HUD Secretary Shaun Donovan, requesting information on HUD's conference planning policies and expenditures related to conferences held by HUD. On May 16, 2012, the Subcommittee on Oversight and Investigations met in open session for the purpose of authorizing and issuing a subpoena duces tecum to compel the production of records from HUD related to its oversight and administration of the HOME Investment Partnerships Program. Because Subcommittee Chairman Randy Neugebauer and Subcommittee Ranking Member Michael E. Capuano agreed that HUD would voluntarily produce records to the Subcommittee, the question on adopting the resolution to authorize and issue a subpoena duces tecum was never posed to the Subcommittee. The agreement was memorialized in a May 22, 2012 letter from Subcommittee Chairman Neugebauer and Ranking Member Capuano to HUD Secretary Shaun Donovan. Federal Housing Administration (FHA)--Single Family The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to examine the appropriate role for the FHA in the mortgage finance system, and the ability of the FHA to manage its mortgage portfolio and mitigate its risk. On February 16, 2011 the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Are There Government Barriers to the Housing Recovery?'' The hearing focused on the current state of the housing finance market and how to facilitate the return of private sector capital into the mortgage markets. FHA Director David Stevens testified on the current role of FHA in the single family mortgage market, and presented his views on the appropriate role for FHA in the future. On March 2, 2011 the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Legislative Proposals to End Taxpayer Funding for Ineffective Foreclosure Mitigation Programs.'' The hearing featured discussion of H.R. 830, the FHA Refinance Program Termination Act, a bill to rescind all unobligated balances made available for use under the FHA Refinance Program (pursuant to Mortgagee Letter 2010-23 of the Secretary of HUD). On May 25, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Legislative Proposals to Determine the Future Role of FHA, RHS and GNMA in the Single-and Multi-Family Mortgage Markets.'' The hearing focused on HUD's FHA and USDA's RHS single- and multi-family programs. The hearing also examined legislative proposals to improve the financial condition of FHA, RHS and the GNMA, the agency of HUD that guarantees the timely payment of principal and interest on securities backing mortgages insured by FHA and other government agencies. These proposals were designed to increase the current FHA down payment requirements, simplifying the FHA's loan limit calculation formula, and transferring RHS's current functions into FHA to be run by a new Deputy Assistant Secretary position. On September 8, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Legislative Proposals to Determine the Future Role of FHA, RHS and GNMA in the Single- and Multi-Family Mortgage Markets, Part 2.'' The hearing examined the single- and multi-family programs of the FHA and the RHS. The hearing also examined legislative proposals to improve the financial condition of FHA, RHS, and Ginnie Mae and to better protect taxpayers against losses from fraudulent or poorly-underwritten loans. In addition, witnesses discussed the proposed rule on QRMs and the effect that the rule will have on FHA, RHS, and Ginnie Mae. On November 7, 2011, Chairman Spencer Bachus along with Vice Chairman Jeb Hensarling, Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert, Subcommittee on Financial Institutions and Consumer Credit Chairman Shelley Moore Capito, Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer, and Subcommittee on Domestic Monetary Policy and Trade Chairman Ron Paul sent a letter to the conferees appointed to the conference committee for H.R. 2112, the Consolidated and Further Continuing Appropriations Act, expressing their strong opposition to the inclusion of any provisions in the H.R. 2112 conference report to increase the loan limits for mortgages insured by the federal government through the FHA or guaranteed by the GSEs, Fannie Mae and Freddie Mac. On December 1, 2011, the Committee held a hearing entitled ``Perspectives on the Health of the FHA Single-family Insurance Fund'' to examine the FHA's financial status and the actuarial review of the FHA's Mutual Mortgage Insurance Fund (MMIF) for Fiscal Year 2011, released by HUD on November 15, 2011. On May 9, 2012, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Oversight of the FHA Reverse Mortgage Program for Seniors'' to examine the FHA's Home Equity Conversion Mortgage program. Federal Housing Administration (FHA)--Multi-Family The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to exercise its oversight authority on the FHA's General Risk and Special Risk Insurance fund to ensure that the fund does not expose taxpayers to loss. On February 16, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Are There Government Barriers to the Housing Recovery?'' The hearing focused on the current state of the housing finance market and on how to facilitate the return of private sector capital into the mortgage markets. On May 25, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Legislative Proposals to Determine the Future Role of FHA, RHS and GNMA in the Single-and Multi-Family Mortgage Markets.'' The hearing focused on HUD's FHA and USDA's RHS single- and multi-family programs. The hearing also examined legislative proposals to improve the financial condition of FHA, RHS and the GNMA, the agency of HUD that guarantees the timely payment of principal and interest on securities backing mortgages insured by FHA and other government agencies. These proposals were designed to increase the current FHA down payment requirements, simplifying the FHA's loan limit calculation formula, and transferring RHS's current functions into FHA to be run by a new Deputy Assistant Secretary position. On September 8, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Legislative Proposals to Determine the Future Role of FHA, RHS and GNMA in the Single-and Multi-Family Mortgage Markets, Part 2.'' The hearing examined the single- and multi-family programs of the FHA and the RHS. The hearing also examined legislative proposals to improve the financial condition of FHA, RHS, and Ginnie Mae and to better protect taxpayers against losses from fraudulent or poorly-underwritten loans. In addition, witnesses discussed the proposed rule on QRMs and the effect that the rule will have on FHA, RHS, and Ginnie Mae. Government Foreclosure Mitigation Programs The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to rescind any unspent and unobligated balances currently committed to the Making Home Affordable Programs. On February 16, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Are there Government Barriers to the Housing Recovery?'' The hearing focused on the current state of the housing finance market and how to facilitate the return of private sector capital into the mortgage markets. An issue Members raised during the hearing was the extended time periods needed to complete foreclosure proceedings, and the effect of such prolonged foreclosures on the housing recovery. On February 28, 2011, Representative Patrick McHenry introduced H.R. 839, the HAMP Termination Act, which would terminate the authority of the Treasury Department to provide any new assistance to homeowners under the Home Affordable Modification Program (HAMP) under the Emergency Economic Stabilization Act of 2008, while preserving any assistance already provided to HAMP participants on a permanent or trial basis. The ``Making Home Affordable'' initiative is a collection of programs designed by the Obama Administration to assist at-risk homeowners facing difficulty paying their mortgages. The signature piece of the Administration's overall ``Making Home Affordable'' initiative on foreclosure prevention is HAMP, which is a federally funded mortgage modification program that provides financial incentives to participating mortgage servicers to modify the mortgages of eligible homeowners. On March 2, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing on H.R. 839. The bill was ordered favorably reported by the Committee on March 9, 2011, and passed the House on March 29, 2011. On August 11, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a briefing for Committee staff with representatives from HUD on the status of the Emergency Homeowners' Loan Program (EHLP). The Dodd-Frank Act authorized $1 billion for EHLP to provide zero-interest loans of up to $50,000 to borrowers who cannot pay their mortgages because of unemployment or a reduction in income. HUD's representatives provided an update on the status of EHLP's implementation and the number of applicants to the program before the program's September 30, 2011 application deadline. On October 5, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a briefing for Committee staff with representatives from HUD on the EHLP. HUD's representatives provided an update on the number of applicants to the program before the application period closed on September 30, 2011, and the expected costs and success rates for those applications. On October 6, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``The Obama Administration's Response to the Housing Crisis.'' This hearing examined the Administration's initiatives for refinancing underwater and delinquent mortgages, foreclosure mitigation, and other housing revitalization efforts. The hearing also focused on ideas outlined by President Obama in his September 8, 2011, address to a Joint Session of Congress, including a $15 billion community redevelopment grant initiative called ``Project Rebuild'' and proposed modifications the existing HARP. Witnesses testified on the successes and failures of these government-funded initiatives, and on how to promote the return of private sector capital into the housing market. Section 8 Housing Choice Voucher Program The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the rising costs of the Section 8 program, review changes that can be made to the program, and assess the needs of the administrators in operating the program as well as the needs of voucher recipients. On June 23, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Legislative Proposals to Reform the Housing Choice Voucher Program.'' This hearing focused on a legislative proposal aimed at making improvements to HUD's Housing Choice Voucher Program that reduce or streamline duplicative or onerous regulations. The hearing also examined ways in which the program can be improved to reduce costs, better serve more participants, and enable Public Housing Agencies and property owners/managers to reduce unnecessary burdens associated with the program. On October 13, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``The Section 8 Savings Act of 2011: Proposals to Promote Economic Independence for Assisted Families.'' The hearing focused on revisions to the Section 8 reform legislation discussed at a previous Subcommittee hearing on June 23, 2011. The revised language seeks to link housing assistance with supportive services for residents such as job training, financial literacy, and educational opportunities in order to encourage self-sufficiency. On November 3, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``The Obama Administration's Rental Assistance Demonstration Proposal.'' This topic of the hearing was the Obama Administration's Rental Assistance Demonstration (RAD) proposal, which would allow for the voluntary conversion of units in public housing to long- term project-based Section 8 contracts in order to access private capital for preservation and redevelopment activities. Housing Counseling The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to conduct a comprehensive review of current housing counseling programs within HUD and NeighborWorks, including how Federal, State, private and non-profit use housing counseling funds. On September 14, 2011, Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``HUD and NeighborWorks Housing Counseling Oversight.'' The hearing reviewed HUD and NeighborWorks' federal housing counseling programs, as well as funding and reform measures, including implementation of the housing counseling provisions of the Dodd-Frank Act. Government National Mortgage Association The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the GNMA to determine whether its mission and/or authority meets contemporary housing needs that promote affordable housing. On September 8, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Legislative Proposals to Determine the Future Role of FHA, RHS and GNMA in the Single-and Multi-Family Mortgage Markets, Part 2.'' The hearing examined the single- and multi-family programs of the FHA and the RHS. The hearing also examined legislative proposals to improve the financial condition of FHA, RHS, and Ginnie Mae and to better protect taxpayers against losses from fraudulent or poorly-underwritten loans. In addition, witnesses discussed the proposed rule on QRMs and the effect that the rule will have on FHA, RHS, and Ginnie Mae. Public Housing The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review HUD's public housing programs with the goal of increasing their efficiency. On November 3, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``The Obama Administration's Rental Assistance Demonstration Proposal.'' The topic of the hearing was the Obama Administration's RAD proposal, which would allow for the voluntary conversion of units in public housing to long-term project-based Section 8 contracts in order to access private capital for preservation and redevelopment activities. Mortgage Broker Licensing and Oversight The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor implementation of the SAFE Act and other changes made to the mortgage originator licensing and registry system with the goal of enhancing homebuyer protections. On July 13, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Mortgage Origination: The Impact of Recent Changes on Homeowners and Businesses.'' This hearing examined a range of mortgage origination laws and regulations that impact consumers and mortgage industry participants as well as related reforms for consideration by Congress, federal agencies, or states. The hearing also examined legislative proposals to clarify the application of the Real Estate Settlement Procedures Act (RESPA), particularly as applied to the payment of fees to real estate brokers and agents by home warranty companies, including H.R. 2446, the RESPA Home Warranty Clarification Act of 2011, which was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert on July 7, 2011. H.R. 2446 would amend current law to explicitly state that home warranties are permissible RESPA settlement services. On June 28, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a briefing for Committee staff with representatives from HUD on the implementation of the final rule for the SAFE Act's minimum standards for the state licensing and registration of residential mortgage loan originators and the requirements for operating the Nationwide Mortgage Licensing System and Registry (NMLSR). The final rule was published in Federal Register on June 30, 2011. Loan Originator Compensation The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to examine the implementation of proposed rules issued by the Federal Reserve governing mortgage origination compensation, as well as the interaction of existing real estate settlement rules with rules mandated by the Dodd-Frank Act. On July 13, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Mortgage Origination: The Impact of Recent Changes on Homeowners and Businesses.'' This hearing examined a range of mortgage origination laws and regulations that impact consumers and mortgage industry participants as well as related reforms for consideration by Congress, federal agencies, or states. The hearing also examined legislative proposals to clarify the application of the RESPA, particularly as applied to the payment of fees to real estate brokers and agents by home warranty companies, including H.R. 2446, the RESPA Home Warranty Clarification Act of 2011, which was introduced by Subcommittee on Insurance, Housing and Community Opportunity Chairman Judy Biggert on July 7, 2011. H.R. 2446 would amend current law to explicitly state that home warranties are permissible RESPA settlement services. Homelessness The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to consider alternatives to improve coordination or consolidate Federal homelessness programs in order to reduce costs and improve oversight and transparency. The Committee will review the effectiveness of HUD programs and services for homeless veterans, children, youth, and families. On December 15, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``The Homeless Children and Youth Act of 2011: Proposals to Promote Economic Independence for Homeless Children and Youth.'' H.R. 32 would amend the definition of ``homeless person'' in Title I of the McKinney-Vento Homeless Assistance Act (P.L. 107-110) to include children and youth who are verified as homeless by local educational agencies or social service agencies that receive federal funding. Inconsistent definitions of ``homeless person'' make it difficult for federal agencies--most notably HUD--to accurately estimate the number of homeless persons. H.R. 32 would harmonize these definitions, which would allow HUD to better estimate the number of homeless persons who need housing assistance and services. A consistent definition of ``homeless person'' among federal agencies would also allow more children and youth to receive housing assistance and services. Review of the Manufactured Housing Improvement Act The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the federal laws and regulations in place governing the processes and standards under which manufactured homes are built and maintained to ensure that all aspects of the law are being fully and properly implemented by HUD. On November 29, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a field hearing in Danville, Virginia entitled, ``The State of Manufactured Housing.'' The hearing provided a general overview of manufactured housing and examined how tighter lending standards have affected borrowers seeking to purchase manufactured homes. In addition, the hearing examined how HUD monitors and enforces its federal standards for the construction and safety of manufactured homes. On February 1, 2012, the Subcommittee on Insurance, Housing and Community Opportunity held a hearing entitled ``Implementation of the Manufactured Housing Improvement Act'' to examine the manufactured housing industry and HUD's efforts to implement the Manufactured Housing Improvement Act of 2000. FHA Refinance Program The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to return to taxpayer the $8 billion in Troubled Asset Relief Program (TARP) funds that has been set aside for the FHA Refinance Program. On February 28, 2011, Representative Robert Dold introduced H.R. 830, the FHA Refinance Program Termination Act. The legislation would rescind all unobligated balances made available for the program by Title I of the Emergency Economic Stabilization Act (P.L. 110-343) that have been allocated for use under the FHA Refinance Program (pursuant to Mortgagee Letter 2010-23 of the Secretary of HUD). The bill would also terminate the program and void the Mortgagee Letter pursuant to which it was implemented, with concessions made for current participants in the program. The FHA Refinance Program provides refinancing options through the FHA mortgage insurance program to homeowners who owe more in mortgage principal than their property's current value. On March 2, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing on H.R. 830. The bill was ordered favorably reported by the Committee on March 3, 2011, and passed the House on March 10, 2011. Emergency Homeowner Relief Fund The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to rescind the unexpended and unobligated amounts dedicated to the Emergency Homeowner Relief Fund. On February 17, 2011, Chairman Spencer Bachus and Subcommittee on Insurance, Housing and Community Opportunity Chairwoman Judy Biggert sent a letter to the HUD regarding HUD's proposed Interim Rule on the EHLP (Docket No. FR-5470-J- OI). The letter expressed concern that the underlying program was an unwise expansion of government's role in the housing market that is both costly to taxpayers and potentially injurious to the at-risk homeowners it purports to help. The letter also noted that the EHLP does nothing to address the underlying problem these at-risk homeowners face--the loss of or inability to find a job--and therefore does not help get our economy back on track. Further, the letter indicated Chairman Bachus and Chairwoman Biggert's intention that Congress take action this calendar year to repeal the EHLP's reauthorization and rescind any unobligated balances for the program, and thus recommended that work on the proposed Interim Rule for EHLP not be finalized while Congress pursues these important taxpayer protection goals. On February 28, 2011, Representative Jeb Hensarling introduced H.R. 836, the Emergency Mortgage Relief Program Termination Act, to rescind all unobligated balances made available for the Emergency Mortgage Relief Program and terminate the program. The Emergency Homeowner Relief Fund was established under Section 1496 of the Dodd-Frank Act to provide loans or credit advances to borrowers who cannot pay their mortgages because of unemployment or reduction in income. On March 2, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing on H.R. 836. On March 3, 2011, the Committee ordered the bill favorably reported, and on March 11, 2011, the bill was approved by the House. International Monetary Policy and Trade Job Creation and U.S. Competitiveness The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to examine United States international monetary and trade policies to ensure that those policies support the ability of U.S. companies to be competitive in the international marketplace, thereby promoting domestic job creation and economic opportunity. On July 27, 2011, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``The Impact of the World Bank and Multilateral Development Banks on U.S. Job Creation.'' This hearing examined how Multilateral Development Bank (MDB) assistance to developing nations prevents the proliferation of terrorism and instability while contributing to national economic growth through infrastructure projects and increased employment. The hearing also explored how MDB assistance helps developing nations to transition into emerging markets, at which time they become open economies full of opportunities for U.S. exports and other consumer services. Export-Import Bank of the United States The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to consider the reauthorization of the Export-Import Bank and examine its policies and programs in supporting the global competitiveness of U.S. companies, small and large, particularly given the liquidity challenges American businesses currently face. On March 10, 2011, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``The Role of the Export-Import Bank in U.S. Competitiveness and Job Creation.'' The purpose of the hearing was to examine the role of the Export-Import Bank in fostering job growth by helping U.S. companies compete in the international export market. The hearing focused on how to improve the operations of the Export- Import Bank to foster job growth by supporting U.S. companies as they export to international markets. On March 10, 2011, Chairman Spencer Bachus and Subcommittee on International Monetary Policy and Trade Chairman Gary Miller sent a letter to President Obama urging him to submit nominations to the Senate to fill two vacancies on the Export- Import Bank Board of Directors. On July 20, 2011, an automatic six-month extension of these board seats will lapse, and the Board of Directors will not be able to achieve a quorum, precluding the Export-Import Bank from approving any transactions. On April 9, 2011, Chairman Spencer Bachus, Subcommittee on International Monetary Policy and Trade Chairman Gary Miller, Ranking Member Barney Frank, and Subcommittee Ranking Member Carolyn McCarthy sent a letter to Secretary Geithner asking him to use Treasury's authority under section 635(a)(3) of the Export-Import Bank Charter to match foreign financing when foreign sales to the United States are being supported by official export credit through a foreign Export Credit Agency (ECA). On May 24, 2011, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``Legislative Proposals on Securing American Jobs Through Exports: Export- Import Bank Reauthorization.'' This hearing examined a discussion draft of legislation to reauthorize the charter of the Export-Import Bank of the United States. On June 1, 2011, the discussion draft was introduced by Subcommittee on International Monetary Policy and Trade Chairman Gary Miller as H.R. 2072. On June 2, 2011, the Subcommittee on International Monetary Policy and Trade met in open session and ordered H.R. 2072, as amended, favorably reported to the Committee by a voice vote. On June 22, 2011, the Committee met in open session an ordered H.R. 2072, as amended, favorably reported to the House by a voice vote. International Trade The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to oversee existing trade programs, and consider policies within the Committee's jurisdiction to promote U.S. international trade so that American companies are globally competitive. On January 25, 2012, Chairman Spencer Bachus and Subcommittee on International Monetary Policy and Trade Chairman Gary Miller sent a letter to President Obama on the Administration's proposal to consolidate the trade-related functions of several federal agencies. On April 27, 2012, Chairman Spencer Bachus sent a letter to Treasury Secretary Geithner asking that the Administration urge the government of Egypt to reconsider actions that could have a negative impact on foreign direct investment in Egypt and cause substantial harm to relations between the U.S. and Egypt as well as relations between Egypt and Israel. Market Access The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to assess opportunities to expand market access for U.S. companies and the financial services sector, and to promote policies that can bring about reciprocal market access with developing nations that currently limit or prevent U.S. firms from entering and operating within their national borders. On February 25, 2011, the Engage China Coalition, comprising twelve financial services trade associations, briefed bipartisan Committee staff on the Coalition's efforts to improve access to the Chinese financial services market. China's population represents a growing consumer base for financial services firms. However, various restrictions prevent the level of access that would allow U.S. firms to effectively serve this growing segment. On April 26, 2012, the Subcommittee on International Monetary Policy and Trade held a bipartisan staff briefing with the Treasury Department on the upcoming Strategic and Economic Dialogue between the U.S. and China. On May 16, 2012, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``Increasing Market Access for U.S. Financial Firms in China: Update on Progress of the Strategic & Economic Dialogue'' to examine the access that U.S. financial firms have to Chinese financial markets and to provide an update on the Strategic and Economic Dialogue. Extractive Industries and Conflict Minerals The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor the implementation of provisions in title XV of the Dodd-Frank Act imposing new disclosure requirements relating to so-called ``conflict minerals'' and ``extractive industries,'' to ensure that the underlying objectives of the provisions are met but that unnecessary compliance burdens for U.S. firms are minimized. On January 25, 2011, Chairman Spencer Bachus sent a letter to SEC Chairman Mary Schapiro requesting that the SEC consider extending the public comment period for the proposed rule to implement Section 1502 of the Dodd-Frank Act, which requires U.S.-listed companies to disclose to the SEC any use of minerals that originated in the Democratic Republic of Congo and neighboring countries. The SEC ultimately extended the comment period for thirty days. On March 4, 2011, Chairman Spencer Bachus and Subcommittee on International Monetary Policy and Trade Chairman Gary Miller sent a letter to SEC Chairman Schapiro expressing concerns about the implementation of Section 1504 of the Dodd-Frank Act. Section 1504 requires the disclosure of certain payments made by natural resource companies to governments for the commercial development of oil, natural gas or minerals. The letter expressed concerns that if not implemented properly, Section 1504 could disadvantage U.S.-listed companies when they compete for extractive industry contracts. The letter asked the SEC to consider using its general exemptive authority under Section 36 of the Exchange Act to exempt reporting of payments when disclosure of such information would violate foreign law. On July 28, 2011, Chairman Spencer Bachus, along with Subcommittee on International Monetary Policy and Trade Chairman Gary Miller, Subcommittee on International Monetary Policy and Trade Vice Chairman Robert Dold, and Representative Steve Stivers sent a letter to SEC Chairman Mary Schapiro requesting a phased implementation of regulations effectuating Section 1502 of the Dodd-Frank, which requires publicly traded U.S. companies to report annually on their efforts to verify that minerals used in their products were not taxed or controlled by rebel groups in the Democratic Republic of Congo, Act. The purpose of this letter was to ensure that U.S. companies are able to comply and are not competitively disadvantaged in the global marketplace. On May 10, 2012, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``The Costs and Consequences of Dodd-Frank Section 1502: Impacts on America and the Congo.'' This hearing examined the effects of the conflict minerals provisions of the Dodd-Frank Act on Congolese citizens and U.S. businesses. Annual Report and Testimony by the Secretary of the Treasury on International Monetary Fund Reform and the State of the International Financial System The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review and assess the annual report to Congress from the Secretary of the Treasury on the state of the international financial system and the International Monetary Fund (IMF). On March 15, 2012, the Subcommittee on International Monetary Policy and Trade held a bipartisan staff briefing with the Congressional Research Service on the Eurozone crisis and the role of the IMF. This briefing was in preparation for Treasury Secretary Timothy Geithner's annual testimony on the state of the international financial system. On March 20, 2012, the Committee held a hearing entitled ``Hearing to Receive the Annual Testimony of the Secretary of the Treasury on the State of the International Financial System.'' At this hearing, Secretary Geithner delivered his testimony on the state of the international financial system. Secretary Geithner focused his testimony on the Eurozone crisis, the efforts made by Europeans to resolve the crisis, the efforts of the IMF to mitigate the crisis, and the role of the United States in resolving the crisis both bilaterally and through the IMF. Conduct of the International Financial Institutions (IFIs) and Possible U.S. Contributions The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review any Administration request that the U.S. contribute to the general capital increases of the World Bank, Inter-American Development Bank, Asian Development Bank, African Development Bank, European Bank for Reconstruction and Development, and the International Finance Corporation. On February 18, 2011, representatives of the Department of Treasury's Office of International Affairs briefed bipartisan Committee staff on the Administration's FY 2012 budget proposal for Treasury's International portfolio. In its FY2012 budget, the Administration requested that the Committee authorize funding for the U.S. commitment to replenish the concessional loan windows at the multilateral development banks and to fund a capital increase at these institutions. On May 26, 2011, representatives from the African Development Bank (AfDB) held a roundtable discussion with members of the International Monetary Policy and Trade Subcommittee. The discussion was sponsored by International Monetary Policy and Trade Subcommittee Chairman Gary Miller, Subcommittee Vice Chairman Robert Dold, and Ranking Member Carolyn McCarthy. The purpose of the roundtable was to discuss the general capital increase request for the African Development Bank as well as AfDB President Kaberuka's efforts to improve transparency and accountability at the Bank. On June 14, 2011, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``The Role of the U.S. in the World Bank and Multilateral Development Banks: Bank Oversight and Requested Capital Increases.'' This hearing examined the role of the U.S. in the multilateral development banks and the benefits of its participation. It also examined the mission and operations of the multilateral development banks, Treasury's oversight of these institutions, and the Administration's request to fund the U.S. contribution to these institutions. On July 27, 2011, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``The Impact of the World Bank and Multilateral Development Banks on U.S. Job Creation.'' The hearing focused on how Multilateral Development Bank lending and assistance to middle-income and poor countries around the world contributes to the U.S. employment base. The hearing also explored how MDB assistance helps developing nations to transition into emerging markets, at which time they become open economies and promising markets for U.S. exports and other consumer services. On September 21, 2011, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``The Impact of the World Bank and Multilateral Development Banks on National Security.'' This hearing examined the effect on U.S. national security of lending and grants provided by Multilateral Development Banks to middle-income and poor countries, and how that assistance helps developing countries become stable nations that can help counteract the proliferation of terrorism and other threats to U.S. national security. On October 4, 2011, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``The World Bank and Multi Lateral Development Banks'' Authorization.'' This hearing examined a discussion draft of legislation to authorize general capital increases for the International Bank for Reconstruction and Development, the Inter-American Development Bank, the African Development Bank, and the European Bank for Reconstruction and Development. On October 12, 2011, the Subcommittee on International Monetary Policy and Trade met in open session and ordered the discussion draft of H.R. 3188, as amended, favorably to the Committee by a voice vote. On October 13, 2011, the discussion draft was introduced by Representative Robert Dold as H.R. 3188. On December 12, 2011, the Subcommittee on International Monetary Policy and Trade held a bipartisan staff briefing with the Treasury Department on legislative mandates relating to Myanmar. On January 17, 2012, the Subcommittee on International Monetary Policy and Trade held a bipartisan staff briefing with the Treasury Department on a new World Bank financing instrument known as ``Program for Results.'' On February 15, 2012, the Subcommittee on International Monetary Policy and Trade held a bipartisan staff briefing with the Treasury Department on the President's budget request for international programs. On February 21, 2012, the Subcommittee on International Monetary Policy and Trade held a bipartisan staff briefing with the Treasury Department on the Office of Technical Assistance and its agenda for 2012. On May 23, 2012, the Subcommittee on International Monetary Policy and Trade held a bipartisan staff briefing with Rajat Nag, Managing Director of the Asian Development Bank, on the Asian Development Bank's activities. On March 28, 2012, the Subcommittee on International Monetary Policy and Trade held a bipartisan staff briefing with Emmanuel Mbi, Chief Operating Officer of the African Development Bank, on the African Development Bank's activities. International Monetary Fund (IMF) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to assess the IMF's actions during and after the financial crisis to determine how best to leverage U.S. resources through this multilateral institution. On March 6, 2012, the Subcommittee on International Monetary Policy and Trade held a bipartisan Member briefing with Madame Christine Lagarde, Managing Director of the IMF, on the IMF's activities during the Eurozone crisis. Eurozone Distress The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor the economic distress in the Eurozone stemming from unsustainable sovereign debt in several European countries, and its impact on the United States and the global economy. It further calls on the Committee to examine actions taken by the IMF, the European Union, and other nations to address the sovereign debt issues in the Eurozone. On October 25, 2011, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``The Eurozone Crisis and Implications for the United States.'' The purpose of the hearing was to examine the effect that Europe's economic problems may have on the U.S. economy; in particular, the effect of those problems on trade and employment. The hearing also examined European policy options under consideration for containing the crisis and the role of the U.S. in these decisions. On December 9, 2011, the Subcommittee on International Monetary Policy and Trade held a bipartisan staff briefing with the Congressional Research Service on the Eurozone crisis. This briefing was in advance of a bipartisan Member briefing on the same topic with Lael Brainard, Under Secretary for International Affairs, Department of the Treasury. On December 14, 2011, the Subcommittee on International Monetary Policy and Trade held a bipartisan Member briefing with Under Secretary of the Treasury for International Affairs Lael Brainard on the Eurozone crisis. On April 11, 2012, the Subcommittee on International Monetary Policy and Trade held a bipartisan staff briefing with Charles Collyns, Assistant Secretary of the Treasury, on the Eurozone crisis and the role of the IMF. Global Capital Flows The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor the flow of capital globally and the implications to the United States of factors that threaten global economic stability. On October 13, 2011, the Subcommittee on International Monetary Policy and Trade held a hearing entitled ``The U.S. Housing Finance System in the Global Context: Structure, Capital Sources, and Housing Dynamics.'' The U.S. securitization process has facilitated the flow of private investment capital from investors around the world to fund U.S. home mortgages. This hearing focused on the relationship between the health of the U.S. housing finance system and global financial stability, including foreign involvement in the U.S. housing finance system and the motivations of foreign investors to purchase residential mortgage-backed securities. Domestic Monetary Policy The Economy and Jobs The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review changes in the economy that affect the relationship between monetary policy, government expenditures, deficits, employment, and economic growth, and to examine the effectiveness and consequences of measures undertaken by the Federal Reserve and the executive branch on economic growth and employment. On January 26, 2011, the Committee held a hearing entitled ``Promoting Economic Recovery and Job Creation: The Road Forward.'' The hearing examined potential barriers to job creation and economic growth erected by the Dodd-Frank Act. At the hearing, academics and business owners testified as to how the Volcker Rule could adversely affect the availability of investment capital and impede job growth and, more generally, how the Act could harm the competitiveness of the U.S. financial markets. On February 9, 2011, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``Can Monetary Policy Really Create Jobs?'' The hearing examined whether the Federal Reserve's policies have been effective in creating jobs and stabilizing the economy. On March 30, 2011, the Subcommittee on Oversight and Investigations held a hearing on ``The Costs of Implementing the Dodd-Frank Act: Budgetary and Economic.'' The hearing reviewed the direct cost to the federal government of implementing the Dodd-Frank Act, as well as the Act's impact on job creation, capital formation and compliance costs for regulated entities. Testimony was received from regulators, academics and the Congressional Budget Office (CBO). On April 14, 2011, the Subcommittee on Oversight and Investigations held a hearing entitled ``Oversight of the Financial Stability Oversight Council.'' Witnesses from the CFTC, Treasury Department, National Association of Insurance Commissioners (NAIC), Federal Reserve, SEC, FDIC, and OCC testified on their respective agencies' role on the Council, and regulatory activities related to Dodd-Frank implementation. Members voiced concerns that a failure to sequence and coordinate U.S. regulatory action with efforts in other nations could adversely affect the ability of U.S. financial institutions to compete, negatively affecting economic growth and job creation. On July 12, 2011, the Congressional Research Service briefed bipartisan Committee staff on the state of the U.S. economy and the conduct of monetary policy in preparation for the hearing the next day at which Federal Reserve Board Chairman Ben Bernanke presented the Board's semi-annual report on those subjects. On July 13, 2011, the Committee held a hearing with Federal Reserve Chairman Ben Bernanke entitled ``Monetary Policy and the State of the Economy.'' The purpose of this hearing was to receive the semi-annual report to Congress on monetary policy and the state of the economy. Conduct of Monetary Policy by the Board of Governors of the Federal Reserve System The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to perform its statutory responsibility in overseeing the Federal Reserve Board's conduct of monetary policy. On February 9, 2011, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``Can Monetary Policy Really Create Jobs?'' The hearing examined whether the Federal Reserve's policies have been effective in creating jobs and stabilizing the economy. On March 2, 2011, the Committee held a hearing entitled ``Monetary Policy and the State of the Economy,'' to receive Federal Reserve Board Chairman Ben Bernanke's semi-annual report to Congress on monetary policy and the state of the economy. Chairman Bernanke described an economy that is growing slowly, with unemployment remaining high, and inflation expectations remaining low. In the monetary policy overview, Chairman Bernanke detailed the Fed's decision to engage in ``quantitative easing'' as a tool for conducting monetary policy when the Fed funds rate is effectively at zero. On March 17, 2011, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``The Relationship of Monetary Policy and Rising Prices.'' The hearing examined the role that an overly accommodative Federal Reserve monetary policy can have in fueling inflationary pressures. On July 26, 2011, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``Impact of Monetary Policy on the Economy: A Regional Fed Perspective on Inflation, Unemployment, and QE3.'' The purpose of this hearing was to receive a regional Federal Reserve Bank perspective on inflation, unemployment, monetary policy actions and the possibility of further liquidity operations. On September 28, 2011, the Federal Reserve briefed bipartisan Committee staff on two issues: its recently announced program to buy long-term Treasuries in an attempt to decrease long-term interest rates; and its dollar liquidity swap lines executed with foreign central banks. On February 28, 2012, the Congressional Research Service held a bipartisan staff briefing on the state of the U.S. economy and the conduct of monetary policy. The briefing was held in preparation for the hearing at which the Federal Reserve Chairman testified on the state of the economy and the Federal Reserve Board's conduct of monetary policy. On February 29, 2012, the Committee held a hearing entitled ``Monetary Policy and the State of the Economy,'' to receive Federal Reserve Chairman Ben Bernanke's semi-annual report to Congress on monetary policy and the state of the economy. In his testimony on the state of the economy Chairman Bernanke detailed the economy's slow rate of growth, high unemployment, and low inflation expectations. In the monetary policy overview, Chairman Bernanke explained the Federal Open Market Committee's decision to provide additional monetary accommodation over the past six months, including changes to its forward-rate guidance and adjustments to the Federal Reserve's holding of Treasury and other agency securities. On March 23, 2012, the Congressional Research Service held a bipartisan staff briefing on the Federal Reserve's response to the Eurozone debt crisis, and, in particular, the Federal Reserve's liquidity swaps with foreign central banks. On March 27, 2012, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``Federal Reserve Aid to the Eurozone: Its Impact on the U.S. and the Dollar'' to identify whether the Federal Reserve had provided assistance to the Eurozone during its sovereign debt crisis. On May 8, 2012, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``Improving the Federal Reserve System: Examining Legislation to Reform the Fed and Other Alternatives,'' to examine six legislative proposals to either reform or abolish the Federal Reserve System. General Oversight of the Federal Reserve System The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to conduct oversight of the operations of the Federal Reserve Board of Governors and the Federal Reserve System, including its management structure, organizational changes mandated by the Dodd-Frank Act, and the role of the Federal Reserve in the supervision of systemically significant banks and non-bank financial institutions. On March 2, 2011, the Committee held a hearing entitled ``Monetary Policy and the State of the Economy,'' to receive Federal Reserve Board Chairman Ben Bernanke's semi-annual report to Congress on monetary policy and the state of the economy. On May 3, 2011, the Subcommittee on Domestic Monetary Policy and Technology held a bipartisan staff briefing with Federal Reserve staff to discuss the content of the data released in December 2010, and the data released in March 2011 as a result of Freedom of Information Act (FOIA) lawsuits by the news organizations Bloomberg and Fox News, detailing the use of various emergency lending facilities established by the Federal Reserve during the financial crisis. Fed officials gave a brief summary of the difference between normal discount window operations and the emergency lending authorities, and discussed the differences between the disclosures required by the Dodd-Frank Act and those made pursuant to the FOIA requests. On May 11, 2011, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``Monetary Policy and the Debt Ceiling: Examining the Relationship between the Federal Reserve and Government Debt.'' The hearing focused on the link between Federal Reserve monetary policy and government debt, specifically how the Federal Reserve purchases government debt to conduct monetary policy, the role of the Federal Reserve in financing government budget deficits, and the separation between the Federal Reserve and Treasury. On June 1, 2011, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``Federal Reserve Lending Disclosure: FOIA, Dodd-Frank, and the Data Dump.'' The hearing examined information disclosed by the Federal Reserve in compliance with the Dodd-Frank Act and the FOIA requests made by Bloomberg and Fox News. On June 8, 2011, Federal Reserve Board of Governors briefed bipartisan Committee staff on its single-tranche open market operations detailed in a press account on May 26, 2011. Fed officials gave a brief summary of the single-tranche open market operation program that began in early March, 2008, and discussed the Bloomberg article entitled ``Fed Gave Banks Crisis Gains on $80 Billion Secretive Loans as Low as 0.01%.'' On September 26, 2011, GAO briefed bipartisan Committee staff on the audit of the Federal Reserve emergency facilities required by Section 1109 of the Dodd-Frank Act. On October 4, 2011, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``Audit the Fed: Dodd-Frank, QE3, and Federal Reserve Transparency.'' This hearing examined the results of the audits of the Federal Reserve by GAO mandated by the Dodd-Frank Act; earlier legislative efforts to audit the Federal Reserve; current Federal Reserve audit and data disclosure requirements; and Federal Reserve transparency. Activities of the U.S. Mint and the Bureau of Engraving and Printing The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to review the activities of the U.S. Mint and the Bureau of Engraving and Printing as they relate to the printing and minting of U.S. currency and coins and the production of congressionally authorized commemorative coins and Congressional gold medals. On April 7, 2011, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``Bullion Coin Programs of the United States Mint: Can They Be Improved?'' The focus of the hearing was on possible improvements to the U.S. Mint's bullion programs, and whether the Mint is capable of meeting growing demand for bullion coins. The recent recession was accompanied by increased demand for bullion coins as a way to hedge against inflation. Witnesses suggested one cause for the shortfall might be the lack of suppliers to the Mint, and advocated an expansion of the relevant supply chains to ensure that the Mint can meet growing demand for bullion coins. On June 9, 2011, the Office of the Inspector General for the Department of Treasury (Treasury OIG) briefed bipartisan Committee staff on United States government gold holdings in the custody of the Treasury Department, and the Treasury OIG's audit of that gold. Treasury OIG staff gave an overview of how the gold holdings at Treasury were counted, audited, and placed in sealed compartments in the period before the Treasury OIG began performing the audits. They also discussed current procedures for performing an audit, changing the seal on a gold compartment, and the maintenance of a compartment when it involves breaking the seal. On June 20, 2011, the United States Mint briefed bipartisan Committee staff on U.S. government gold holdings, for which the Mint is the custodian. The U.S. Mint staff gave an overview of the government's gold holdings, including a discussion of the manner in which the gold is stored, inventoried, and assayed. Also discussed was the frequency of audits and procedures for auditing the gold holdings. On June 23, 2011, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``Investigating the Gold: H.R. 1495, the Gold Reserve Transparency Act of 2011 and the Oversight of United States Gold Holdings.'' The purpose of the hearing was to discuss H.R. 1495, the Gold Reserve Transparency Act of 2011, as well as examine previous audits of U.S. gold holdings, the current condition of U.S. gold reserves, and the methodology for conducting the audit called for in H.R. 1495. On September 13, 2011, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``Road Map to Sound Money: A Legislative Hearing on H.R. 1098 and Restoring the Dollar.'' The purpose of this hearing was to examine the role of ``sound money'' in the economy as well as H.R. 1098, the ``Free Competition in Currency Act of 2011.'' On April 17, 2012, the Subcommittee on Domestic Monetary Policy and Technology held a hearing entitled ``The Future of Money: Coinage Production.'' This hearing examined legislation that directs the Treasury Secretary to change the metallic content of one-cent and five-cent circulating coins from their current content to reduce production costs. The Financial Crimes Enforcement Network (FinCEN) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to examine the operations of FinCEN and its ongoing efforts to implement its regulatory mandates pursuant to the Bank Secrecy Act (BSA), to combat money laundering and terrorist financing activities. On November 9, 2011, Undersecretary of the Office of Terrorism and Financial Intelligence at the Department of Treasury David Cohen briefed bipartisan Committee staff on a proposal to reorganize the Office of Terrorism and Financial Intelligence. The Office of Foreign Asset Control The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to monitor the functions of the Office of Foreign Asset Control and study ways of improving its working relationship with financial institutions. On November 15, 2011, Chairman Spencer Bachus sent a letter to Secretary of the Department of Treasury Timothy Geithner requesting that the Office of Foreign Asset Control consider blocking funds held by Clearstream Banking S.A. on behalf of the government of Iran, until all court cases are concluded and all claims against the funds are adjudicated. Payment System Innovations The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to examine payment system alternatives, including prepaid credit cards, the use of mobile devices to transfer and store value, web- based value-transfer systems, remote check deposit, and informal money transfer systems, businesses or networks, to determine both the efficiencies they can provide to customers, businesses and financial institutions, and their susceptibility to money laundering, terrorism financing, and other financial crimes. On March 22, 2012, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled ``The Future of Money: How Mobile Payments Could Change Financial Services.'' This hearing examined the technology used to conduct mobile payments, identified potential security problems, and considered whether statutory changes were necessary as mobile payment systems become more widely available. Clause 2(d)(1)(F) of Rule X of the House on Proposed Cuts Neighborhood Stabilization Program (NSP) The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to rescind the $1 billion in unobligated funds for NSP and eliminate the program. On March 1, 2011, Representative Gary Miller introduced H.R. 861, the NSP Termination Act, which would rescind all unobligated balances made available for the NSP authorized by the Dodd-Frank Act and terminate the program. The NSP is a federal grant program which provides funding for emergency assistance to state and local governments to acquire, develop, redevelop, or demolish foreclosed homes. On March 2, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing on H.R. 861. H.R. 861 was ordered favorably reported by the Committee on March 3, 2011, and passed the House on March 16, 2011. FHA Refinance Program The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to return to taxpayer the $8 billion in TARP funds that has been set aside for the FHA Refinance Program. On February 28, 2011, Representative Robert Dold introduced H.R. 830, the FHA Refinance Program Termination Act. The legislation would rescind all unobligated balances made available for the program by Title I of the Emergency Economic Stabilization Act (P.L. 110-343) that have been allocated for use under the FHA Refinance Program (pursuant to Mortgagee Letter 2010-23 of the Secretary of HUD). The bill would also terminate the program and void the Mortgagee Letter pursuant to which it was implemented, with concessions made for current participants in the program. The FHA Refinance Program provides refinancing options through the FHA's mortgage insurance program to homeowners who owe more in mortgage principal than their property's current value. On March 2, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing on H.R. 830. The bill was ordered favorably reported by the Committee on March 3, 2011, and passed the House on March 10, 2011. Emergency Homeowner Relief Fund The Oversight Plan of the Committee on Financial Services for the 112th Congress calls upon the Committee to rescind the unexpended and unobligated amounts dedicated to the Emergency Homeowner Relief Fund. On February 17, 2011, Chairman Spencer Bachus and Subcommittee on Insurance, Housing and Community Opportunity Chairwoman Judy Biggert sent a letter to the HUD regarding HUD's proposed Interim Rule on the EHLP (Docket No. FR-5470-J- OI). The letter expressed concern that the underlying program was an unwise expansion of government's role in the housing market that is both costly to taxpayers and potentially injurious to the at-risk homeowners it purports to help. The letter also noted that the EHLP does nothing to address the underlying problem these at-risk homeowners face--the loss of or inability to find a job--and therefore does not help get our economy back on track. Further, the letter indicated Chairman Bachus and Chairwoman Biggert's intention that Congress take action this calendar year to repeal the EHLP's reauthorization and rescind any unobligated balances for the program, and thus recommended that work on the proposed Interim Rule for EHLP not be finalized while Congress pursues these important taxpayer protection goals. On February 28, 2011, Representative Jeb Hensarling introduced H.R. 836, the Emergency Mortgage Relief Program Termination Act, to rescind all unobligated balances made available for the Emergency Mortgage Relief Program and terminate the program. The Emergency Homeowner Relief Fund was established under Section 1496 of the Dodd-Frank Act to provide loans or credit advances to borrowers who cannot pay their mortgages because of unemployment or reduction in income. On March 2, 2011, the Subcommittee on Insurance, Housing and Community Opportunity held a legislative hearing on H.R. 836. On March 3, 2011, the Committee ordered the bill favorably reported, and on March 11, 2011, the bill was approved by the House. Hearings Held Under House Rule XI (1)(d)(2)(E) ---------- Rule XI (1)(d)(2)(E) of the Rules of the House, adopted January 5, 2011, requires committees, or their subcommittees, to: (1) Hold at least one hearing during each 120-day period on the topic of waste, fraud, abuse, or mismanagement in Government programs which that committee may authorize. Such hearing shall include a focus on the most egregious instances of waste, fraud, abuse, or mismanagement as documented by any report the committee has received from a Federal Office of the Inspector General or the Comptroller General of the United States. (2) Hold at least one hearing in any session in which the committee has received disclaimers of agency financial statements from auditors of any Federal agency that the committee may authorize to hear testimony on such disclaimers from representatives of any such agency. (3) Hold at least one hearing on issues raised by reports issued by the Comptroller General of the United States indicating that Federal programs or operations that the committee may authorize are at high risk for waste, fraud, and mismanagement. Under Rule XI(1)(d)(2)(E), the hearings held pursuant to this rule must be delineated in the Activity Report. During the 112th Congress, the following hearings were held in compliance with the Rule: ------------------------------------------------------------------------ Serial No. Title & Subcommittee Date(s) ------------------------------------------------------------------------ 112-4................. An Analysis of the Post- February 15, 2011 Conservatorship Legal Expenses of Fannie Mae and Freddie Mac (Oversight). 112-13................ Legislative Proposals to March 2, 2011 End Taxpayer Funding for Ineffective Foreclosure Mitigation Programs (Housing). 112-14................ Oversight of the March 10, 2011 Securities and Exchange Commission's Operations, Activities, Challenges and FY 2012 Budget Request (Capital Markets). 112-16................ Legislative Proposals to March 11, 2011 Reform the National Flood Insurance Program (Housing). 112-23................ Legislative Proposals to April 1, 2011 Reform the National Flood Insurance Program, Part II (Housing). 112-36................ Oversight of HUD's HOME June 3, 2011 Program (Full Committee). 112-48................ Oversight of the Office of July 14, 2011 Financial Research and the Financial Stability Oversight Council (Oversight). 112-55................ Field hearing entitled September 6, 2011 ``Combating Terror Post-9/ 11: Oversight of the Office of Terrorism and Financial Intelligence'' (Oversight). 112-57................ Legislative Proposals to September 8, 2011 Determine the Future Role of FHA, RHS and GNMA in the Single- and Multi- Family Mortgage Markets, Part 2 (Housing). 112-66................ Joint Hearing with the September 22, 2011 Subcommittee on TARP, Financial Services and Bailouts of Public and Private Programs of the Committee on Oversight and Government Reform entitled ``Potential Conflicts of Interest at the SEC: The Becker Case'' (Oversight). 112-71................ Oversight of the Federal October 12, 2011 Home Loan Bank System (Oversight). 112-81................ Joint Hearing entitled November 2, 2011 ``Fraud in the HUD HOME Program'' (Oversight/ Housing). 112-87................ Perspectives on the Health December 1, 2011 of the FHA Single-family Insurance Fund (Full Committee). 112-88................ Oversight of the Federal December 1, 2011 Housing Finance Agency (Oversight). 112-101............... Budget Hearing--Consumer February 15, 2012 Financial Protection Bureau (Oversight). 112-102............... Oversight of the February 28, 2012 Department of Housing and Urban Development (Housing). 112-117............... The Future of Money: April 17, 2012 Coinage Production (Domestic Monetary Policy). 112-118............... Budget Hearing--the Office April 18, 2012 of Financial Research (Oversight). 112-119............... Oversight of the U.S. April 25, 2012 Securities and Exchange Commission (Capital Markets). 112-123............... Oversight of the FHA May 9, 2012 Reverse Mortgage Program for Seniors (Housing). 112-127............... Oversight of the Federal May 16, 2012 Deposit Insurance Corporation's Structured Transaction Program (Oversight). ------------------------------------------------------------------------ House Resolution 72 ---------- On February 8, 2011, the House adopted House Resolution 72, amending the rules of the House to require certain designated committees to inventory and review regulations, executive and agency orders, and other administrative actions or procedures that: (1) Impede private-sector job creation; (2) Discourage innovation and entrepreneurial activity; (3) Hurt economic growth and investment; (4) Harm the Nation's global competitiveness; (5) Limit access to credit and capital; (6) Fail to utilize or apply accurate cost-benefit analysis; (7) Create additional economic uncertainty; (8) Are promulgated in such a way as to limit transparency and the opportunity for public comment, particularly by affected parties; (9) Lack specific statutory authorization; (10) Undermine labor-management relations; (11) Result in large-scale unfunded mandates on employers without due cause; (12) Impose undue paperwork and cost burdens on small businesses; or (13) Prevent the United States from becoming less independent on foreign energy sources. The resolution requires the Committee to identify any oversight and legislative activity in support of, or as a result of, such inventory and review. From January 1, 2011 to May 31, 2012, the following hearings were held in compliance with the resolution: ------------------------------------------------------------------------ Serial No. Title & Subcommittee Date(s) ------------------------------------------------------------------------ 112-1............... Promoting Economic January 26, 2011 Recovery and Job Creation: The Road Forward (Full Committee). 112-3............... Can Monetary Policy Really February 9, 2011 Create Jobs? (Domestic Monetary Policy). 112-5............... Assessing the Regulatory, February 15, 2011 Economic and Market Implications of the Dodd- Frank Derivatives Title (Full Committee). 112-7............... Are There Government February 16, 2011 Barriers to the Housing Market Recovery? (Housing). 112-8............... Understanding the Federal February 17, 2011 Reserve's Proposed Rule on Interchange Fees: Implications and Consequences of the Durbin Amendment (Financial Institutions). 112-12.............. The Effect of Dodd-Frank on March 2, 2011 Small Financial Institutions and Small Businesses (Financial Institutions). 112-14.............. Oversight of the March 10, 2011 Securities and Exchange Commission's Operations, Activities, Challenges, and FY 2012 Budget Request (Capital Markets). 112-18.............. Oversight of the Consumer March 16, 2011 Financial Protection Bureau (Financial Institutions). 112-19.............. Legislative Proposals to March 16, 2011 Promote Job Creation, Capital Formation, and Market Certainty (Capital Markets). 112-21.............. The Costs of Implementing March 30, 2011 the Dodd-Frank Act: Budgetary and Economic (Oversight). 112-24.............. Legislative Proposals to April 6, 2011 Improve the Structure of the Consumer Financial Protection Bureau (Financial Institutions). 112-26.............. Oversight of the Financial April 14, 2011 Stability Oversight Council (Oversight). 112-27.............. Understanding the April 14, 2011 Implications and Consequences of the Proposed Rule on Risk Retention. 112-29.............. Legislative Proposals to May 11, 2011 Address the Negative Consequences of the Dodd- Frank Whistleblower Provisions (Capital Markets). 112-36.............. Oversight of HUD's HOME June 3, 2011 Program (Full Committee). 112-37.............. Does the Dodd-Frank Act June 14, 2011 End `Too Big to Fail' (Financial Institutions). 112-39.............. Financial Regulatory June 16, 2011 Reform: The International Context (Full Committee). 112-42.............. Oversight of the Mutual Fund Industry: Ensuring Market Stability and Investor Confidence (Capital Markets). 112-44.............. Joint Hearing entitled ``Mortgage Servicing: An Examination of the Role of Federal Regulators in Settlement Negotiations and the Future of Mortgage Servicing Standards'' (Financial Institutions/ Oversight). 112-45.............. Legislative Proposals July 8, 2011 Regarding Bank Examination Practices (Financial Institutions). Mortgage Origination: The July 13, 2011 Impact of Recent Changes on Homeowners and Businesses (Housing). 112-48.............. Oversight of the Office of July 14, 2011 Financial Research and the Financial Stability Oversight Council (Oversight). 112-51.............. Oversight of the Credit July 27, 2011 Rating Agencies Post Dodd- Frank (Oversight). 112-53.............. Insurance Oversight: July 28, 2011 Policy Implications for U.S. Consumers, Businesses and Jobs (Housing). 112-54.............. Field hearing entitled August 16, 2011 ``Potential Mixed Messages: Is Guidance from Washington Being Implemented by Federal Bank Examiners?'' (Financial Institutions). 112-55.............. Field hearing entitled September 6, 2011 ``Combating Terror Post-9/ 11: Oversight of the Office of Terrorism and Financial Intelligence'' (Oversight). 112-62.............. Fixing the Watchdog: September 15, 2011 Legislative Proposals to improve and Enhance the Securities and Exchange Commission (Full Committee). 112-63.............. Legislative Proposals to September 21, 2011 Facilitate Small Business Capital Formation and Job Creation (Capital Markets). 112-66.............. Joint Hearing with the September 22, 2011 Subcommittee on TARP, Financial Services and Bailouts of Public and Private Programs of the Committee on Oversight and Government Reform entitled ``Potential Conflicts of Interest at the SEC: The Becker Case'' (Oversight). 112-65.............. An Examination of the September 22, 2011 Availability of Credit for Consumers (Financial Institutions). 112-69.............. The Obama Administration's October 6, 2011 Response to the Housing Crisis (Housing). 112-71.............. Oversight of the Federal October 12, 2011 Home Loan Bank System (Oversight). 112-73.............. H.R. 1418: The Small October 12, 2011 Business Lending Enhancement Act of 2011 (Financial Institutions). 112-75.............. Legislative Proposals to October 14, 2011 Bring Certainty to the Over-the-Counter Derivatives Market (Capital Markets). 112-77.............. Insurance Oversight: October 25, 2011 Policy Implications for U.S. Consumers, Businesses and Jobs, Part 2 (Housing). 112-78.............. Proposed Regulations to October 27, 2011 Require Reporting of Nonresident Alien Deposit Interest Income (Financial Institutions). 112-79.............. Field Hearing entitled October 31, 2011 ``Regulatory Reform: Examining How New Regulations are Impacting Financial Institutions, Small Businesses and Consumers'' (Financial Institutions). 112-81.............. Joint Hearing entitled November 2, 2011 ``Fraud in the HUD HOME Program'' (Oversight/ Housing). 112-80.............. The Consumer Financial November 2, 2011 Protection Bureau: The First 100 Days (Financial Institutions). 112-85.............. Joint Hearing entitled November 16, 2011 ``H.R. 1697, The Communities First Act'' (Capital Markets/Financial Institutions. 112-88.............. Oversight of the Federal December 1, 2011 Housing Finance Agency (Oversight). 112-92.............. H.R. 3606, the Reopening December 15, 2011 American Capital Markets to Emerging Growth Companies Act of 2011 (Capital Markets). 112-95.............. Examining the impact of January 18, 2012 the Volcker Rule on Markets, Businesses, Investors and Job Creation (Capital Markets/Financial Institutions). 112-97.............. H.R. 3461: the Financial February 1, 2012 Institutions Examination Fairness and Reform Act (Financial Institutions). 112-99.............. Legislative Proposals to February 8, 2012 Promote Accountability and Transparency at the Consumer Financial Protection Bureau (Financial Institutions). 112-100............ Limiting the February 8, 2012 Extraterritorial Impact of Title VII of the Dodd- Frank Act (Capital Markets). 112-101............ Budget Hearing--Consumer February 15, 2012 Financial Protection Bureau (Oversight). 112-104............ Understanding the Effects March 1, 2012 of the Repeal of Regulation Q on Financial Institutions and Small Businesses (Financial Institutions). 112-106............ An Examination of the March 14, 2012 Challenges Facing Community Financial Institutions in Texas (Financial Institutions). 112-109............ ``H.R. ____, the Swap Data Repository and Clearinghouse Indemnification Correction Act of 2012'' (Capital Markets). 112-112............ Accounting and Auditing March 28, 2012 Oversight: Pending Proposals and Emerging Issues Confronting Regulators, Standard Setters and the Economy (Capital Markets). 112-116............ An Examination of the April 16, 2012 Challenges Facing Community Financial Institutions in Ohio (Financial Institutions). 112-118............ Budget Hearing--the Office April 18, 2012 of Consumer Financial Protection Bureau (Oversight). 112-119............ Oversight of the U.S. April 25, 2012 Securities and Exchange Commission (Capital Markets). 112-122............ Rising Regulatory May 9, 2012 Compliance Costs and Their Impact on the Health of Small Financial Institutions (Financial Institutions). 112-125............ The Impact of the Dodd- May 16, 2012 Frank Act: What It Means to be a Systemically Important Financial Institution (Financial Institutions). 112-127............ Oversight of the Federal May 16, 2012 Deposit Insurance Corporation's Structured Transaction Program (Oversight). 112-129............ U.S. Insurance Sector: May 17, 2012 International Competitiveness and Jobs (Housing). 112-130............ The Impact of the Dodd e- May 18, 2012 Frank Act: Understanding Heightened Regulatory Capital Requirements (Financial Institutions). ------------------------------------------------------------------------ From January 1, 2011 to May 31, 2012, the following letters sent from the Committee comply with the resolution: ------------------------------------------------------------------------ Date Correspondence Subject Matter ------------------------------------------------------------------------ January 25, 2011.............. From Chairman Spencer Request for an Bachus to The extension for Honorable Mary public comment Schapiro, Chairman, for the SEC. proposed rule under section 1502 of the Dodd-Frank Act. February 10, 2011............. From Chairman Spencer Qualified Bachus to The Residential Honorable Shaun Mortgage aspect Donovan, Secretary, of the risk HUD; The Honorable retention rule Sheila Bair, in section 941 Chairman, FDIC; The of the Dodd- Honorable Ben Frank Act. Bernanke, Chairman, Federal Reserve Board; The Honorable Mary Schapiro, Chairman, SEC; Mr. Edward DeMarco, Acting Director, FHFA; and Mr. John Walsh, Acting Comptroller, OCC. February 23, 2011............. From Chairman Spencer SEC proposed Bachus to The rule on Honorable Mary municipal Schapiro, Chairman, advisors under SEC. Dodd-Frank Act section 975. March 4, 2011................. From Chairman Spencer The implication Bachus and of section 1504 Subcommittee on of the Dodd- International Frank Act on Monetary Policy and U.S.-listed Trade Chairman Gary companies. G. Miller to The Honorable Mary Schapiro, Chairman, SEC. March 9, 2011................. From Chairman Spencer Volume and pace Bachus and Republican of rulemakings Members of the under the Dodd- Committee to The Frank Act. Honorable Timothy Geithner, Secretary, U.S. Department of the Treasury; The Honorable Ben Bernanke, Chairman, Federal Reserve Board; The Honorable Gary Gensler, Chairman, CFTC; The Honorable Mary Schapiro, Chairman, SEC; The Honorable Sheila Bair, Chairman, FDIC; and Mr. John Walsh, Acting Comptroller, OCC. March 15, 2011................ From Chairman Spencer SEC, CFTC, and Bachus, Committee on Department of Education and the Labor Workforce Chairman rulemaking John Kline, and under the Dodd- Committee on Frank Act. Agriculture Chairman Frank Lucas to The Honorable Hilda Solis, Secretary, U.S. Department of Labor; The Honorable Mary Schapiro, Chairman, SEC; and The Honorable Gary Gensler, Chairman, CFTC. March 15, 2011................ From Chairman Spencer Study prepared Bachus and under section Subcommittee on 619 of the Dodd- Oversight and Frank Act. Investigations Chairman Randy Neugebauer to members of the FSOC in the care of The Honorable Timothy Geithner, Secretary, U.S. Department of the Treasury. March 17, 2011................ From Republican SEC staff study Members of the on regulations Subcommittee on for broker- Capital Markets and dealers and Government Sponsored investment Enterprises to The advisors. Honorable Mary Schapiro, Chairman, SEC. May 4, 2011................... From Subcommittee on Request for Oversight and further notice, Investigations comment, and Chairman Randy description for Neugebauer and the ``Authority Subcommittee on to Require Oversight and Supervision and Investigations Regulation of Ranking Member Certain Nonbank Michael Capuano to Financial members of the FSOC. Companies'' rule. May 6, 2011................... From Subcommittee on CFPB's Oversight and involvement in Investigations the mortgage Chairman Randy servicing Neugebauer, settlement Subcommittee on negotiations. Financial Institutions and Consumer Credit Chairman Shelley Moore Capito, Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett, and Representative Patrick McHenry to The Honorable Timothy Geithner, Secretary, U.S. Department of the Treasury. May 27, 2011.................. From Chairman Spencer The implication Bachus and of proposed Subcommittee on interim rule Capital Markets and under section Government Sponsored 982 of the Dodd- Enterprises Chairman Frank Act to Scott Garrett to Mr. the auditors of James Doty, Chairman, introducing PCAOB. broker-dealers. June 8, 2011.................. From Subcommittee on Expressing the Oversight and need for Investigations assurances from Chairman Randy HUD that every Neugebauer and dollar spent on Subcommittee on the HOME Insurance, Housing Investment and Community Partnership Opportunity Chairman Initiative Judy Biggert to program goes to Assistant Secretary fulfill the of the Office of program's Community Planning mission to and Development for provide HUD, Mercedes Marquez. affordable housing to low- income families. June 20, 2011................. From Chairman Spencer Request for Bachus, Subcommittee specific on Financial documents and Institutions and records related Consumer Credit to the CFPB's Chairman Shelley involvement in Moore Capito, mortgage Subcommittee on servicing Capital Markets and settlement Government Sponsored negotiations. Enterprises Chairman Scott Garrett, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer, Representative Patrick McHenry and Representative Darrell Issa to The Honorable Timothy Geithner, Secretary, U.S. Department of the Treasury. June 22, 2011................. From Chairman Spencer Request for a Bachus and General Subcommittee on Accountability Oversight and Office audit of Investigations the FSOC. Chairman Randy Neugebauer to The Honorable Gene Dodaro, Comptroller General, GAO. June 24, 2011................. From Subcommittee on Public Oversight and statements made Investigations by members of Chairman Randy the FSOC Neugebauer and regarding plans Subcommittee on to seek public Oversight and comment on Investigations additional Ranking Member guidance Michael Capuano to designating non- The Honorable Timothy bank financial Geithner, Secretary, companies for U.S. Department of enhanced the Treasury. supervision and regulation by the Federal Reserve. July 1, 2011.................. From Subcommittee on Expressing Oversight and concern for the Investigations Treasury Chairman Randy Department's Neugebauer to The influence on Honorable Timothy OCC Geithner, Secretary, rulemakings. U.S. Department of the Treasury. July 14, 2011................. From Chairman Spencer The Federal Bachus to The Trade Honorable Jon Commission's Leibowitz, Chairman, enforcement of Federal Trade the Credit Commission. Repair Organizations Act (CROA) and the risks that implementation could pose in putting legitimate credit repair organizations out of business. July 28, 2011................. From Chairman Spencer Request for a Bachus, along with phased Subcommittee on implementation International of regulations Monetary Policy and concerning Trade Chairman Gary Section 1502 of Miller, Subcommittee the Dodd-Frank on International Act. Monetary Policy and Trade Vice Chairman Robert Dold, and Representative Steve Stivers to The Honorable Mary Schapiro, Chairman, SEC. July 28, 2011................. From Chairman Spencer Request for Bachus, Vice Chairman information on Jeb Hensarling, the SEC-staff Subcommittee on labor hours and Capital Markets and amount spent Government Sponsored associated with Enterprises Chairman the labor Scott Garrett, dedicated to Subcommittee on the proxy Oversight and access Investigations rulemaking Chairman Randy process, the Neugebauer to The final Honorable Mary promulgation of Schapiro, Chairman, the rule, the SEC. litigation of the rule, and total fund spent on outside counsel related. August 2, 2011................ From Chairman Spencer A provision Bachus and issued by their Subcommittee on agencies Capital Markets and requiring Government Sponsored securitizers to Enterprises Chairman set aside the Scott Garrett to premium from Secretary of HUD, the sales of Chairman of the securities in Federal Reserve, the ``premium Acting Director of capture cash the FHFA, the Acting reserves,'' and Chairman of the FDIC, prevent the Chairman of the securitizers SEC, and the Acting from collecting Comptroller of the a profit until Currency. up to ten years later when the security matures. August 2, 2011................ From Chairman Spencer The SEC's Bachus to The rulemaking Honorable Mary authority under Schapiro, Chairman, Section 913 of SEC. the Dodd-Frank Act. August 12, 2011............... From Chairman Spencer The SEC's Bachus, Subcommittee discussion to on Capital Markets require money and Government market mutual Sponsored Enterprises funds to have Chairman Scott floating net Garrett and asset values. Republican Members of the Committee to The Honorable Mary Schapiro, Chairman, SEC. August 31, 2011............... From Chairman Spencer The Federal Bachus to The Reserve's Honorable Ben decision to Bernanke, Chairman, extend the Federal Reserve Board. comment period for Capital One Financial Corporation's acquisition of ING Direct. September 8, 2011............. From Chairman Spencer The FSOC's Bachus and Republican efforts to Members of the eliminate Committee to The unnecessary or Honorable Timothy duplicative Geithner, Secretary, regulatory U.S. Department of burdens on the the Treasury. financial system. September 14, 2011............ From Subcommittee on Requesting that Insurance, Housing HUD provide and Community address Opportunity Chairman information for Judy Biggert and both single- Subcommittee on family projects Oversight and and multi- Investigations family projects Chairman Randy funded with Neugebauer to HOME Investment Assistant Secretary Partnership for Congressional and Program funds Intergovernmental in order to Relations at HUD ensure that HUD Peter Kovar. is keeping an accurate database of past and current development projects. October 13, 2011.............. From Subcommittee on Expressing Oversight and concerns about Investigations expenditures Chairman Randy that Freddie Neugebauer to Mr. and Fannie made Edward DeMarco, in connection Acting Director, FHFA. with the Mortgage Bankers Association Conference that had no relation to furthering the actual purposes of the conservatorship . October 21, 2011.............. From Oversight and Expressing Investigations concern that Subcommittee Chairman Fannie Mae and Randy Neugebauer to Freddie Mac Mr. Edward DeMarco, could incur Acting Director, FHFA. substantial costs in connection with implementing President Obama's refinancing plan entitled ``The American Jobs Act.'' October 26, 2011.............. From Chairman Spencer The CFPB's Bachus to Mr. Raj position on Date, Special Advisor implementing to the Secretary of Regulation E. the Treasury, CFPB. November 7, 2011.............. From Chairman Spencer Opposition to Bachus, Vice Chairman conference Jeb Hensarling, report language Subcommittee on to increase the Insurance, Housing loan limits for and Community mortgages Opportunity Chairman insured by the Judy Biggert, federal Subcommittee on government Financial through the FHA Institutions and or guaranteed Consumer Credit by the GSEs, Chairman Shelley Fannie Mae and Moore Capito, Freddie Mac. Subcommittee on Capital Markets and Government Sponsored Enterprises Chairman Scott Garrett, Subcommittee on Oversight and Investigations Chairman Randy Neugebauer, and Subcommittee on Domestic Monetary Policy and Trade Chairman Ron Paul to The Honorable Hal Rogers, The Honorable C. W. Bill Young, The Honorable Jack Kingston, The Honorable Robert Aderholt, The Honorable John Abney Culberson, The Honorable Steven C. LaTourette, The Honorable Jerry Lewis, The Honorable Frank R. Wolf, The Honorable Tom Latham, The Honorable JoAnn Emerson, and The Honorable John R. Carter, conferees appointed to the conference committee for H.R. 2112, the Consolidated and Further Continuing Appropriations Act. November 9, 2011.............. From Oversight and Requesting a Investigations detailed Subcommittee Chairman account of how Randy Neugebauer to the Office of Counsel to the Financial Secretary at the Research spent Department of the the $20.5 Treasury Richard million that Berner. had been transferred to it from the operating revenues of the Federal Reserve. November 15, 2011............. From Oversight and Requesting Investigations supplemental Subcommittee Chairman documents Randy Neugebauer to pertaining to The Honorable Shaun the HOME Donovan, Secretary, Investment HUD. Partnership Initiative Program administered by HUD. November 18, 2011............. From Oversight and Requesting Investigations information on Subcommittee Chairman Freddie Mac's Randy Neugebauer to yearly Mr. Edward DeMarco, operating Acting Director, expenses and FHFA.. questioning whether those expenses furthered the purpose of conservatorship . November 18, 2011............. From Oversight and Enterprise core Investigations activities, Subcommittee Chairman strategic Randy Neugebauer to planning, Mr. Edward DeMarco, decision Acting Director, FHFA. making, staffing, loan level data and G-fees, and on FHFA operations generally. December 2, 2011.............. From Subcommittee on Requesting SEC Oversight and records related Investigations to the Chairman Randy Commission's Neugebauer to The oversight of MF Honorable Mary Global and its Schapiro, Chairman, coordination SEC. with other regulators and with self- regulatory organizations. December 6, 2011.............. From Subcommittee on Requesting a Insurance, Housing study of issues and Community surrounding Opportunity Chairman foreclosed Judy Biggert to The residential Honorable Gene properties Dodaro, Comptroller owned or General, GAO. controlled by the Federal Government through the FHA or the GSEs Fannie Mae and Freddie Mac. December 20, 2011............. From Chairman Spencer Expressing Bachus and Ranking concerns that Member Barney Frank were raised by to The Honorable domestic Timothy Geithner, institutions Secretary, U.S. about the Department of the Financial Treasury. Stability Board's (FSB) procedures for designating ``global systemically important financial institutions'' or G-SIFIs. December 20, 2011............. From Subcommittee on Expressing Oversight and concern about Investigations the cost Chairman Randy incurred by Neugebauer, Freddie Mac and Subcommittee on Fannie Mae in Insurance, Housing, connection with and Community paying for the Opportunity Chairman legal expenses Judy Biggert, of certain Subcommittee on former Financial employees, and Institutions and asking that the Subcommittee on Agency take Financial steps to limit Institutions and the costs of Consumer Credit such expenses. Chairman Shelley Moore Capito, and Representative Edward Royce to Mr. Edward DeMarco, Acting Director, FHFA. January 6, 2012............... From Chairman Spencer Seeking Bachus to The clarification Honorable Eric about the Holder, Attorney legality and General, U.S. constitutionali Department of Justice. ty of President Obama's recess appointment of Richard Cordray as Director of the CFPB. January 12, 2012.............. From Chairman Spencer Requesting Bachus to Mr. John access to un- Walsh, Acting redacted Comptroller of the engagement Currency, OCC. letters submitted by independent consultants that have been retained by federal savings association mortgage servicers in their compliance with consent orders issued by the OCC in April 2011 to correct deficient and unsafe or unsound foreclosure practices. January 30, 2012.............. From Chairman Spencer Addressing Bachus to Chairman of concerns about the Committee on the CDBG Foreign Affairs program and Ileana Ros-Lehtinen. potentially holding a hearing on H.R. 2183, the CDBG Public Services Flexibility Act. January 30, 2012.............. From Chairman Spencer Seeking Bachus and Financial clarification Institutions and about an Consumer Credit omission in the Subcommittee Chairman Dodd-Frank Act Shelley Moore Capito that could to The Honorable result in Richard Cordray, regulated Director, CFPB. institutions waiving privileges against third parties when they provide privileged information to the CFPB. February 9, 2012.............. From Subcommittee on Requesting HUD Oversight and to state why a Investigations $760,000 cost- Chairman Randy estimate Neugebauer to The regarding the Honorable Shaun Subcommittee's Donovan, Secretary, November 15, HUD. 2011 production request for HOME program documents was accurate in light of concerns raised by GAO. February 10, 2012............. From Chairman Spencer Expressing Bachus to Chairman of support for the the Committee on Ways inclusion of a and Means Dave Camp. provision in the conference report designed to shore up the FHA's MMIF and provide the FHA with additional tools to manage its risk. February 15, 2012............. From Chairman Spencer Addressing the Bachus to financial Representative Jeff condition of Fortenberry. the USDA's housing programs, which are administered by RHS, and potentially holding a hearing on H.R. 273, the Rural Housing Preservation Act. February 16, 2012............. From Chairman Bachus Stressing the to The Honorable importance for Richard Cordray, the CFPB to Director, CFPB. make the efficient implementation of the SAFE Act a high priority. February 22, 2012............. From Representatives Requesting Neugebauer, additional Fitzpatrick, and information Renacci to The regarding the Honorable Richard CFPB's future Cordray, Director, budgetary plans CFPB. and reaffirming the need for clarity and transparency in CFPB operations. March 29, 2012................ From Subcommittee on Requesting Oversight and documents from Investigations select HUD Chairman Randy headquarters Neugebauer to The and Office of Honorable Shaun Community Donovan, Secretary, Planning and HUD. Development field office directors to assist the Subcommittee in conducting oversight of HUD's management of its HOME program. March 29, 2012................ From Subcommittee on Regarding the Oversight and economic and Investigations compliance Chairman Randy costs the Neugebauer and American people Subcommittee on will bear as a Financial result of Institutions and CFPB's rule Consumer Credit making. Chairman Shelley Moore Capito to The Honorable Richard Cordray, Director, CFPB. April 18, 2012................ From Subcommittee on Questioning the Oversight and OFR's ability Investigations to properly Chairman Randy testify to its Neugebauer to The operations and Honorable Timothy budget, as the Geithner, Secretary, individual U.S. Department of designated by the Treasury. the Secretary to oversee the stand up of OFR refuses to appear before the Subcommittee. April 30, 2012................ From Subcommittee on Rejecting HUD's Oversight and truncated Investigations document Chairman Randy projection as Neugebauer to The being fully Honorable Shaun responsive to Donovan, Secretary, the HUD. Subcommittee's March 29, 2012 request for HOME program documents. May 1, 2012................... From Chairman Spencer Questioning Bachus, Subcommittee whether FHFA on Oversight and can, and Investigations should, Chairman Randy authorize Neugebauer, Vice Freddie Mac and Chairman Jeb Fannie Mae to Hensarling, forgive a Subcommittee on portion of the Insurance, Housing, outstanding and Community principal on Opportunity Chairman mortgages that Judy Biggert, qualify for Subcommittee on relief through Financial the Home Institutions and Affordable Consumer Credit Modification Chairman Shelley Program. Moore Capito, Subcommittee on Capital Markets and Government Sponsored Enterprise Chairman Scott Garrett, Subcommittee on International Monetary Policy and Trade Chairman Gary Miller, and Subcommittee on Domestic Monetary Policy and Technology Chairman Ron Paul to Mr. Edward DeMarco, Acting Director, FHFA. May 2, 2012................... From Subcommittee on Requesting Oversight and detailed Investigations information Chairman Randy regarding Neugebauer, CFPB's Fiscal Subcommittee on Year 2013 Oversight and budget, hiring Investigations Vice process, and Chairman Mike transfer Fitzpatrick, and requests from Representative James the Federal Renacci to The Reserve Board Honorable Richard of Governors Cordray, Director, that CFPB did CFPB. not provide in its response to the Members' February 22, 2012 letter. May 9, 2012................... From Chairman Spencer Requesting Bachus and information on Subcommittee on CFPB's Oversight and conference Investigations planning Chairman Randy policies and Neugebauer to The expenditures Honorable Richard related to Cordray, Director, conferences CFPB. held by CFPB. May 9, 2012................... From Chairman Spencer Requesting Bachus and information on Subcommittee on FDIC's Oversight and conference Investigations planning Chairman Randy policies and Neugebauer to The expenditures Honorable Martin related to Gruenberg, Acting conferences Chairman, FDIC. held by FDIC. May 9, 2012................... From Chairman Spencer Requesting Bachus and information on Subcommittee on SEC's Oversight and conference Investigations planning Chairman Randy policies and Neugebauer to The expenditures Honorable Mary related to Schapiro, Chairman, conferences SEC. held by SEC. May 9, 2012................... From Chairman Spencer Requesting Bachus and information on Subcommittee on HUD's Oversight and conference Investigations planning Chairman Randy policies and Neugebauer to The expenditures Honorable Shaun related to Donovan, Secretary, conferences HUD. held by HUD. May 9, 2012................... From Chairman Spencer Requesting Bachus and information on Subcommittee on CFTC's Oversight and conference Investigations planning Chairman Randy policies and Neugebauer to The expenditures Honorable Gary related to Gensler, Chairman, conferences CFTC. held by CFTC. May 9, 2012................... From Chairman Spencer Requesting Bachus and information on Subcommittee on OCC's Oversight and conference Investigations planning Chairman Randy policies and Neugebauer to The expenditures Honorable Thomas J. related to Curry, Comptroller of conferences the Currency, Office held by OCC. of Comptroller of the Currency. May 9, 2012................... From Chairman Spencer Requesting Bachus and information on Subcommittee on the OFR's Oversight and conference Investigations planning Chairman Randy policies and Neugebauer to Dr. expenditures Richard Berner, related to Department of the conferences Treasury. held by OFR. May 9, 2012................... From Chairman Spencer Requesting Bachus and information on Subcommittee on Treasury's Oversight and conference Investigations planning Chairman Randy policies and Neugebauer to The expenditures Honorable Timothy related to Geithner, Secretary, conferences Department of the held by Treasury. Treasury. May 16, 2012.................. From Chairman Spencer Expressing Bachus and Ranking concerns about Member Barney Frank the potential to Senator Harry lapse of the Reid, Senator Mitch NFIP if McConnell, Senator Congress did Tim Johnson, and not take action Senator Richard to reauthorize Shelby.. the program by May 31, 2012. May 22, 2012.................. From Subcommittee on Memorializing in Oversight and writing the May Investigations 16, 2012 Chairman Randy agreement Neugebauer and between the Ranking Member Chairman, Michael Capuano to Ranking Member, The Honorable Shaun and HUD for HUD Donovan, Secretary, to produce HUD. records related to the HOME program. May 24, 2012.................. From Subcommittee on Regarding Oversight and Supplemental Investigations Notice of Chairman Randy Proposed Neugebauer to The Rulemaking for Honorable Ben determining Bernanke, Chairman, whether a Federal Reserve Board. company is ``predominately engaged in financial activities'' misinterprets key provisions of Dodd-Frank. ------------------------------------------------------------------------ APPENDIX I--COMMITTEE LEGISLATION Part A--Committee Reports REPORTS FILED BY THE COMMITTEE ON FINANCIAL SERVICES WITH THE HOUSE ------------------------------------------------------------------------ Bill No. H. Rept. No. Title ------------------------------------------------------------------------ H. R. 830...................... 112-25............ FHA Refinance Program Termination Act H.R. 836....................... 112-26............ Emergency Mortgage Relief Program Termination Act H.R. 839....................... 112-31............ 1The HAMP Termination Act of 2011 112-31, Part II... The HAMP Termination Act of 2011 H.R. 861....................... 112-32............ NSP Termination Act 112-32, Part II... NSP Termination Act H.R. 1315...................... 112-89............ Consumer Financial Protection Safety and Soundness Improvement Act of 2011 112-89, Part II... Consumer Financial Protection Safety and Soundness Improvement Act of 2011 H.R. 1667...................... 112-93............ Bureau of Consumer Financial Protection Transfer Clarification Act 112-93, Part II... Bureau of Consumer Financial Protection Transfer Clarification Act H.R. 1309...................... 112-102........... Flood Insurance Reform Act of 2011 H.R. 1121...................... 112-107........... Responsible Consumer Financial Protection Regulations Act of 2011 112-107, Part II.. Responsible Consumer Financial Protection Regulations Act of 2011 H.R. 1573...................... 112-109........... To facilitate implementation of Title VII of The Dodd-Frank Wall Street Reform and Consumer Financial Protection Act, promote regulatory coordination, and avoid market disruption. 112-121........... Of the Committee on Financial Services of the House of Representative during the One Hundred Twelfth Congress pursuant to Clause 1(D) Rule XI of the Rules of the House of Representatives. H.R. 33........................ 112-131........... Church Plan Investment Clarification Act H.R. 1062...................... 112-142........... Burdensome Data Collection Relief Act H.R. 1082...................... 112-143........... Small Business Capital Access and Job Preservation Act H.R. 2056...................... 112-182........... To instruct the Inspector General of the Federal Deposit Insurance Corporation to study the impact of the insured depository institution failures, and for other purposes. H.R. 1751...................... 112-191........... CJ's Home Protection Act of 2011 H.R. 1539...................... 112-196........... Asset-Backed Market Stabilization Act of 2011 H.R. 2072...................... 112-201........... Securing Jobs through Exports Act of 2011 H.R. 1070...................... 112-206........... Small Company Capital Formation Act of 2011 H.R. 2930...................... 112-262........... Entrepreneur Access to Capital Act H.R. 2940...................... 112-263........... Access to Capital for Job Creators Act H.R. 2167...................... 112-327........... Private Company Flexibility and Growth Act H.R. 2682...................... 112-343........... Business Risk Mitigation and Price Stabilization Act of 2011 H.R. 2779...................... 112-344........... To exempt inter- affiliate swaps from certain regulatory requirements put in place by the Dodd-Frank Wall Street Reform and Consumer Protection Act. H.R. 2586...................... 112-345........... Swap Execution Facility Clarification Act 112-355........... Of the Committee on Financial Services of the House of Representatives during the One Hundred Twelfth Congress pursuant to Clause 1(D) Rule XI of the Rules of the House of Representatives. H.R. 1221...................... 112-366........... Equity in Government Compensation Act of 2011 H.R. 3606...................... 112-406........... Reopening American Capital Markets to Emerging Growth Companies Act of 2011 112-406, Part II.. Reopening American Capital Markets to Emerging Growth Companies Act of 2011 H.R. 940....................... 112-407........... United States Covered Bond Act of 2011 H.R. 4014...................... 112-417........... To amend the Federal Deposit Insurance Act with respect to information provided to the Bureau of Consumer Financial Protection. H.R. 2308...................... 112-453........... SEC Regulatory Accountability Act H.R. 4235...................... 112-471........... Swap Data Repository and Clearinghouse Indemnification Correction Act of 2012 H.R. 1838...................... 112-476........... Swaps Bailout Prevention Act H.R. 3283...................... 112-477........... Swap Jurisdiction Certainty Act ------------------------------------------------------------------------ Part B--Public Laws This table lists measures which contained matters within the jurisdiction of the Committee on Financial Services which were enacted into law between January 1, 2011 and May 31, 2012. ------------------------------------------------------------------------ Public Law No. Bill No. Title ------------------------------------------------------------------------ 112-059....................... H.R. 2447........ To grant the congressional gold medal to the Montford Point Marines. 112-076....................... H.R. 3421........ Fallen Heroes of 9/11 Act 112-078....................... H.R. 3765........ Temporary Payroll Tax Cut Continuation Act of 2011 112-082....................... H.R. 515......... Belarus Democracy and Human Rights Act of 2011 112-088....................... H.R. 2056........ To instruct the Inspector General of the Federal Deposit Insurance Corporation to study the impact of insured depository institution failures, and for other purposes. 112-096....................... H.R. 3630........ Middle Class Tax Relief and Job Creation Act of 2012 112-104....................... H.R. 886......... United States Marshals Service 225th Anniversary Commemorative Coin Act 112-106....................... H.R. 3606........ Jumpstart Our Business Startups 112-122....................... H.R. 2072........ Export-Import Bank Reauthorization Act of 2012 112-123....................... H.R. 5740........ National Flood Insurance Program Extension Act ------------------------------------------------------------------------ APPENDIX II--COMMITTEE PUBLICATIONS Part A--Committee Hearings ------------------------------------------------------------------------ Serial No. Title & Subcommittee Date(s) ------------------------------------------------------------------------ 112-1............... Promoting Economic Recovery January 26, 2011 and Job Creation: The Road Forward (Full Committee). 112-2............... GSE Reform: Immediate Steps February 9, 2011 to Protect Taxpayers and End the Bailout (Capital Markets). 112-3............... Can Monetary Policy Really February 9, 2011 Create Jobs? (Domestic Monetary Policy). 112-4............... An Analysis of the Post- February 15, 2011 Conservatorship Legal Expenses of Fannie Mae and Freddie Mac (Oversight). 112-5............... Assessing the Regulatory, February 15, 2011 Economic and Market Implications of the Dodd- Frank Derivatives Title (Full Committee). 112-6............... The Final Report of the February 16, 2011 Financial Crisis Inquiry Commission (Full Committee). 112-7............... Are There Government February 16, 2011 Barriers to the Housing Market Recovery? (Housing). 112-8............... Understanding the Federal February 17, 2011 Reserve's Proposed Rule on Interchange Fees: Implications and Consequences of the Durbin Amendment (Financial Institutions). 112-9............... Mortgage Finance Reform: An March 1, 2011 Examination of the Obama Administration's Report to Congress (Full Committee). 112-10.............. Oversight of the Department March 1, 2011 of Housing and Urban Development (HUD) (Full Committee). 112-11.............. Monetary Policy and the March 2, 2011 State of the Economy (Full Committee). 112-12.............. The Effect of Dodd-Frank on March 2, 2011 Small Financial Institutions and Small Businesses (Financial Institutions). 112-13.............. Legislative Proposals to March 2, 2011 End Taxpayer Funding for Ineffective Foreclosure Mitigation Programs (Housing). 112-14.............. Oversight of the Securities March 10, 2011 and Exchange Commission's Operations, Activities, Challenges, and FY 2012 Budget Request (Capital Markets). 112-15.............. The Role of the Export- March 10, 2011 Import Bank in U.S. Competitiveness and Job Creation (International Monetary Policy). 112-16.............. Legislative Proposals to March 11, 2011 Reform the National Flood Insurance Program, Part I (Housing). 112-17.............. Legislative Proposals to March 11, 2011 Create a Covered Bond Market in the United States (Capital Markets). 112-18.............. Oversight of the Consumer March 16, 2011 Financial Protection Bureau (Financial Institutions). 112-19.............. Legislative Proposals to March 16, 2011 Promote Job Creation, Capital Formation, and Market Certainty (Capital Markets). 112-20.............. The Relationship of March 17, 2011 Monetary Policy and Rising Prices (Domestic Monetary Policy). 112-21.............. The Costs of Implementing March 30, 2011 the Dodd-Frank Act: Budgetary and Economic (Oversight). 112-22.............. Legislative Hearing on March 31, 2011 Immediate Steps to Protect Taxpayers from the Ongoing Bailout of Fannie Mae and Freddie Mac (Capital Markets). 112-23.............. Legislative Proposals to April 1, 2011 Reform the National Flood Insurance Program, Part II (Housing). 112-24.............. Legislative Proposals to April 6, 2011 Improve the Structure of the Consumer Financial Protection Bureau (Financial Institutions). 112-25.............. Bullion Coin Programs of April 7, 2011 the United States Mint: Can They Be Improved? (Domestic Monetary Policy). 112-26.............. Oversight of the Financial April 14, 2011 Stability Oversight Council (Oversight). 112-27.............. Understanding the April 14, 2011 Implications and Consequences of the Proposed Rule on Risk Retention (Capital Markets). 112-28.............. Monetary Policy and the May 11, 2011 Debt Ceiling: Examining the Relationship Between the Federal Reserve and Government Debt (Domestic Monetary Policy). 112-29.............. Legislative Proposals to May 11, 2011 Address the Negative Consequences of the Dodd- Frank Whistleblower Provisions (Capital Markets). 112-30.............. The Stanford Ponzi Scheme: May 13, 2011 Lessons for Protecting Investors from the Next Securities Fraud (Oversight). 112-31.............. Legislative Proposals on May 24, 2011 Securing American Jobs Through Exports: Export- Import Bank Reauthorization (International Monetary Policy). 112-32.............. Legislative Proposals to May 25, 2011 Determine the Future Role of FHA, RHS and GNMA in the Single-and Multi- Family Mortgage Markets (Housing). 112-33.............. Transparency, Transition May 25, 2011 and Taxpayer Protection: More Steps to End the GSE Bailout (Capital Markets). 112-34.............. FDIC Oversight: Examining May 26, 2011 and Evaluating the Role of the Regulator During the Financial Crisis and Today (Financial Institutions). 112-35.............. Federal Reserve Lending June 1, 2011 Disclosure: FOIA, Dodd- Frank, and the Data Dump (Domestic Monetary Policy). 112-36.............. Oversight of HUD's HOME June 3, 2011 Program (Full Committee). 112-37.............. Does the Dodd Frank Act End June 14, 2011 `Too Big to Fail'? (Financial Institutions). 112-38.............. The Role of the U.S. in the June 14, 2011 World Bank and Multilateral Development Banks: Bank Oversight and Requested Capital Increases (International Monetary Policy). 112-39.............. Financial Regulatory June 16, 2011 Reform: The International Context (Full Committee). 112-40.............. Legislative Proposals to June 23, 2011 Reform the Housing Choice Voucher Program (Housing). 112-41.............. Investigating the Gold: June 23, 2011 H.R. 1495, the Gold Reserve Transparency Act of 2011 and the Oversight of United States Gold Holdings (Domestic Monetary Policy). 112-42.............. Oversight of the Mutual June 24, 2011 Fund Industry: Ensuring Market Stability and Investor Confidence (Capital Markets). 112-43.............. Field Hearing entitled June 29, 2011 ``Hacked Off: Helping Law Enforcement Protect Private Financial Information'' (Full Committee). 112-44.............. Joint Hearing entitled July 7, 2011 ``Mortgage Servicing: An Examination of the Role of Federal Regulators in Settlement Negotiations and the Future of Mortgage Servicing Standards'' (Financial Institutions/ Oversight). 112-45.............. Legislative Proposals July 8, 2011 Regarding Bank Examination Practices (Financial Institutions). 112-46.............. Monetary Policy and the July 13, 2011 State of the Economy (Full Committee). 112-47.............. Mortgage Origination: The July 13, 2011 Impact of Recent Changes on Homeowners and Businesses (Housing). 112-48.............. Oversight of the Office of July 14, 2011 Financial Research and the Financial Stability Oversight Council (Oversight). 112-49.............. Examining Rental Purchase July 26, 2011 Agreements and the Potential Role for Federal Regulation (Financial Institutions). 112-50.............. Impact of Monetary Policy July 26, 2011 on the Economy: A Regional Fed Perspective on Inflation, Unemployment, and QE3 (Domestic Monetary Policy). 112-51.............. Oversight of the Credit July 27, 2011 Rating Agencies Post Dodd- Frank (Oversight). 112-52.............. The Impact of the World July 27, 2011 Bank and Multilateral Development Banks on U.S. Job Creation (International Monetary Policy). 112-53.............. Insurance Oversight: Policy July 28, 2011 Implications for U.S. Consumers, Businesses and Jobs (Housing). 112-54.............. Potential Mixed Messages: August 16, 2011 Is Guidance from Washington Being Implemented by Federal Bank Examiners? (Financial Institutions). 112-55.............. Field hearing entitled September 6, 2011 ``Combating Terror Post-9/ 11: Oversight of the Office of Terrorism and Financial Intelligence'' (Oversight). 112-56.............. Field hearing entitled September 7, 2011 ``Facilitating Continued Investor Demand in the U.S. Mortgage Market Without a Government Guarantee'' (Capital Markets). 112-57.............. Legislative Proposals to September 8, 2011 Determine the Future Role of FHA, RHS and GNMA in the Single- and Multi- Family Mortgage Markets, Part 2 (Housing). 112-58.............. Ensuring Appropriate September 13, 2011 Regulatory Oversight of Broker-Dealers and Legislative Proposals to Improve Investment Adviser Oversight (Capital Markets). 112-59.............. Road Map to Sound Money: A September 13, 2011 Legislative Hearing on H.R. 1098 and Restoring the Dollar (Domestic Monetary Policy). 112-60.............. Cybersecurity: Threats to September 14, 2011 the Financial Sector (Financial Institutions). 112-61.............. HUD and NeighborWorks September 14, 2011 Housing Counseling Oversight (Housing). 112-62.............. Fixing the Watchdog: September 15, 2011 Legislative Proposals to Improve and Enhance the Securities and Exchange Commission (Full Committee). 112-63.............. Legislative Proposals to September 21, 2011 Facilitate Small Business Capital Formation and Job Creation (Capital Markets). 112-64.............. The Impact of the World September 21, 2011 Bank and Multilateral Development Banks on National Security (International Monetary Policy). 112-65.............. An Examination of the September 22, 2011 Availability of Credit for Consumers (Financial Institutions). 112-66.............. Joint Hearing with the September 22, 2011 Subcommittee on TARP, Financial Services and Bailouts of Public and Private Programs of the Committee on Oversight and Government Reform entitled ``Potential Conflicts of Interest at the SEC: The Becker Case'' (Oversight). 112-67.............. Audit the Fed: Dodd-Frank, October 4, 2011 QE3, and Federal Reserve Transparency (Domestic Monetary Policy). 112-68.............. The World Bank and October 4, 2011 Multilateral Development Banks' Authorization (International Monetary Policy). 112-69.............. The Obama Administration's October 6, 2011 Response to the Housing Crisis (Housing). 112-70.............. The Annual Report of the October 6, 2011 Financial Stability Oversight Council (Full Committee). 112-71.............. Oversight of the Federal October 12, 2011 Home Loan Bank System (Oversight). 112-72.............. H.R. 1418: The Small October 12, 2011 Business Lending Enhancement Act of 2011 (Financial Institutions). 112-73.............. The U.S. Housing Finance October 13, 2011 System in the Global Context: Structure, Capital Sources, and Housing Dynamics (International Monetary Policy). 112-74.............. The Section 8 Savings Act October 13, 2011 of 2011: Proposals to Promote Economic Independence for Assisted Families (Housing). 112-75.............. Legislative Proposals to October 14, 2011 Bring Certainty to the Over-the-Counter Derivatives Market (Capital Markets). 112-76.............. The Eurozone Crisis and October 25, 2011 Implications for the United States (International Monetary Policy and Trade). 112-77.............. Insurance Oversight: Policy October 25, 2011 Implications for U.S. Consumers, Businesses and Jobs, Part 2 (Housing). 112-78.............. Proposed Regulations to October 27, 2011 Require Reporting of Nonresident Alien Deposit Interest Income (Financial Institutions). 112-79.............. Field Hearing entitled October 31, 2011 ``Regulatory Reform: Examining How New Regulations are Impacting Financial Institutions, Small Businesses and Consumers'' (Financial Institutions). 112-80.............. The Consumer Financial November 2, 2011 Protection Bureau: The First 100 Days (Financial Institutions). 112-81.............. Joint Hearing entitled November 2, 2011 ``Fraud in the HUD HOME Program'' (Oversight/ Housing). 112-82.............. H.R. __, the Private November 3, 2011 Mortgage Market Investment Act (Capital Markets). 112-83.............. The Obama Administration's November 3, 2011 Rental Assistance Demonstration Proposal (Housing). 112-84.............. Insurance Oversight and November 16, 2011 Legislative Proposals (Housing). 112-85.............. Joint Hearing entitled November 16, 2011 ``H.R. 1697, The Communities First Act'' (Capital Markets/Financial Institutions). 112-86.............. Field hearing entitled November 29, 2011 ``The State of Manufactured Housing'' (Housing). 112-87.............. Perspectives on the Health December 1, 2011 of the FHA Single-family Insurance Fund (Full Committee). 112-88.............. Oversight of the Federal December 1, 2011 Housing Finance Agency (Oversight). 112-89.............. Field Hearing entitled December 5, 2011 ``Regulatory Reform: Examining How New Regulations are Impacting Financial Institutions, Small Businesses and Consumers in Illinois'' (Full Committee). 112-90.............. H.R. 1148, the Stop Trading December 6, 2011 on Congressional Knowledge Act (Full Committee). 112-91.............. H.R. __, the Private December 7, 2011 Mortgage Market Investment Act, Part 2 (Capital Markets). 112-92.............. ``H.R. 3606, the December 15, 2011 ``Reopening American Capital Markets to Emerging Growth Companies Act of 2011'' (Capital Markets). 112-93.............. ``The Homeless Children and December 15, 2011 Youth Act of 2011: Proposals to Promote Economic Independence for Homeless Children and Youth'' (Housing). 112-94.............. ``The Collapse of MF December 15, 2011 Global'' (Oversight). 112-95.............. Joint hearing entitled January 18, 2012 ``Examining the Impact of the Volcker Rule on Markets, Businesses, Investors and Job Creation'' (Capital Markets/Financial Institutions). 112-96.............. ``Implementation of the February 1, 2012 Manufactured Housing Improvement Act of 2000'' (Housing). 112-97.............. ``H.R. 3461: the Financial February 1, 2012 Institutions Examination Fairness and Reform Act'' (Financial Institutions). 112-98.............. ``The Collapse of MF February 2, 2012 Global: Part 2'' (Oversight). 112-99.............. ``Legislative Proposals to February 8, 2012 Promote Accountability and Transparency at the Consumer Financial Protection Bureau'' (Financial Institutions). 112-100............. ``Limiting the February 8, 2012 Extraterritorial Impact of Title VII of the Dodd- Frank Act'' (Capital Markets). 112-101............. ``Budget Hearing--Consumer February 15, 2012 Financial Protection Bureau'' (Oversight). 112-102............. ``Oversight of the February 28, 2012 Department of Housing and Urban Development'' (Housing). 112-103............. ``Monetary Policy and the February 29, 2012 State of the Economy'' (Full Committee). 112-104............. ``Understanding the Effects March 1, 2012 of the Repeal of Regulation Q on Financial Institutions and Small Businesses'' (Financial Institutions). 112-105............. ``The Securities Investor March 7, 2012 Protection Corporation: Past, Present, and Future'' (Capital Markets). 112-106............. Field hearing entitled ``An March 14, 2012 Examination of the Challenges Facing Community Financial Institutions in Texas'' (Financial Institutions). 112-107............. Field hearing entitled ``An March 15, 2012 Examination of Potential Private Sector Solutions to Mitigate Foreclosures in Nevada'' (Financial Institutions). 112-108............. ``Hearing to Receive the March 20, 2012 Annual Testimony of the Secretary of the Treasury on the State of the International Financial System'' (Full Committee). 112-109............. ``H.R. __, the Swap Data March 21, 2012 Repository and Clearinghouse Indemnification Correction Act of 2012'' (Capital Markets). 112-110............. ``The Future of Money: How March 22, 2012 Mobile Payments Could Change Financial Services'' (Financial Institutions). 112-111............. ``Federal Reserve Aid to March 27, 2012 the Eurozone: Its Impact on the U.S. and the Dollar'' (Domestic Monetary Policy). 112-112............. ``Accounting and Auditing March 28, 2012 Oversight: Pending Proposals and Emerging Issues Confronting Regulators, Standard Setters and the Economy'' (Capital Markets). 112-113............. ``The Collapse of MF March 28, 2012 Global: Part 3'' (Oversight). 112-114............. ``The Semi-Annual Report of March 29, 2012 the Consumer Financial Protection Bureau'' (Full Committee). 112-115............. Field hearing entitled April 14, 2012 ``The Impact of Overhead High Voltage Transmission Towers and Lines on Eligibility for Federal Housing Administration (FHA) Insured Mortgage Programs'' (Housing). 112-116............. Field hearing entitled ``An April 16, 2012 Examination of the Challenges Facing Community Financial Institutions in Ohio'' (Financial Institutions). 112-117............. ``The Future of Money: April 17, 2012 Coinage Production'' (Domestic Monetary Policy). 112-118............. ``Budget Hearing--the April 18, 2012 Office of Financial Research'' (Oversight). 112-119............. ``Oversight of the U.S. April 25, 2012 Securities and Exchange Commission'' (Capital Markets). 112-120............. Field hearing entitled ``An May 7, 2012 Examination of the Federal Housing Finance Agency's Real Estate Owned (REO) Pilot Program'' (Capital Markets). 112-121............. ``Improving the Federal May 8, 2012 Reserve System: Examining Legislation to Reform the Fed and Other Alternatives'' (Domestic Monetary Policy). 112-122............. ``Rising Regulatory May 9, 2012 Compliance Costs and Their Impact on the Health of Small Financial Institutions'' (Financial Institutions). 112-123............. ``Oversight of the Federal May 9, 2012 Housing Administration's Reverse Mortgage Program for Seniors'' (Housing). 112-124............. ``The Costs and May 10, 2012 Consequences of Dodd-Frank Section 1502: Impacts on America and the Congo'' (International Monetary Policy). 112-125............. ``The Impact of the Dodd- May 16, 2012 Frank Act: What It Means to be a Systemically Important Financial Institution'' (Financial Institutions). 112-126............. ``Increasing Market Access May 16, 2012 for U.S. Financial Firms in China: Update on Progress of the Strategic & Economic Dialogue'' (International Monetary Policy). 112-127............. ``Oversight of the Federal May 16, 2012 Deposit Insurance Corporation's Structured Transaction Program'' (Oversight). 112-128............. ``Examining the Settlement May 17, 2012 Practices of U.S. Financial Regulators'' (Full Committee). 112-129............. ``U.S. Insurance Sector: May 17, 2012 International Competitiveness and Jobs'' (Housing). 112-130............. ``The Impact of the Dodd- May 18, 2012 Frank Act: Understanding Heightened Regulatory Capital Requirements'' (Financial Institutions). ------------------------------------------------------------------------ Part B--Committee Prints ------------------------------------------------------------------------ Serial No. Title Date ------------------------------------------------------------------------ 112-A................. Rules for the Committee on March 2011 Financial Services for the 112th Congress. ------------------------------------------------------------------------