[House Report 119-124]
[From the U.S. Government Publishing Office]
119th Congress } { Report
HOUSE OF REPRESENTATIVES
1st Session } { 119-124
======================================================================
NATIONAL SENIOR INVESTOR INITIATIVE ACT OF 2025
_______
June 3, 2025.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Hill of Arkansas, from the Committee on Financial Services,
submitted the following
R E P O R T
[To accompany H.R. 1469]
The Committee on Financial Services, to whom was referred
the bill (H.R. 1469) to create an interdivisional taskforce at
the Securities and Exchange Commission for senior investors,
having considered the same, reports favorably thereon with an
amendment and recommends that the bill as amended do pass.
CONTENTS
Page
Purpose and Summary.............................................. 4
Background and Need for Legislation.............................. 4
Committee Consideration.......................................... 4
119th Congress................................................... 5
Related Hearings................................................. 5
Committee Votes.................................................. 6
Committee Oversight Findings..................................... 8
Performance Goals and Objectives................................. 8
Committee Cost Estimate.......................................... 8
New Budget Authority and CBO Cost Estimate....................... 8
Unfunded Mandates Statement...................................... 8
Earmark Statement................................................ 8
Federal Advisory Committee Act Statement......................... 8
Applicability to the Legislative Branch.......................... 9
Duplication of Federal Programs.................................. 9
Section-by-Section Analysis of the Legislation................... 9
Changes in Existing Law Made by the Bill, as Reported............ 9
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``National Senior Investor Initiative
Act of 2025'' or the ``Senior Security Act of 2025''.
SEC. 2. SENIOR INVESTOR TASKFORCE.
Section 4 of the Securities Exchange Act of 1934 (15 U.S.C. 78d) is
amended by adding at the end the following:
``(l) Senior Investor Taskforce.--
``(1) Establishment.--There is established within the
Commission the Senior Investor Taskforce (in this subsection
referred to as the `Taskforce').
``(2) Director of the taskforce.--The head of the Taskforce
shall be the Director, who shall--
``(A) report directly to the Chairman; and
``(B) be appointed by the Chairman, in consultation
with the Commission, from among individuals--
``(i) currently employed by the Commission or
from outside of the Commission; and
``(ii) having experience in advocating for
the interests of senior investors.
``(3) Staffing.--The Chairman shall ensure that--
``(A) the Taskforce is staffed sufficiently to carry
out fully the requirements of this subsection; and
``(B) such staff shall include individuals from the
Division of Enforcement, Office of Compliance
Inspections and Examinations, and Office of Investor
Education and Advocacy.
``(4) No compensation for members of taskforce.--All members
of the Taskforce appointed under paragraph (2) or (3) shall
serve without compensation in addition to that received for
their services as officers or employees of the United States.
``(5) Minimizing duplication of efforts.--In organizing and
staffing the Taskforce, the Chairman shall take such actions as
may be necessary to minimize the duplication of efforts within
the divisions and offices described under paragraph (3)(B) and
any other divisions, offices, or taskforces of the Commission.
``(6) Functions of the taskforce.--The Taskforce shall--
``(A) identify challenges that senior investors
encounter, including problems associated with financial
exploitation and cognitive decline;
``(B) identify areas in which senior investors would
benefit from changes in the regulations of the
Commission or the rules of self-regulatory
organizations;
``(C) coordinate, as appropriate, with other offices
within the Commission, other taskforces that may be
established within the Commission, self-regulatory
organizations, and the Elder Justice Coordinating
Council; and
``(D) consult, as appropriate, with State securities
and law enforcement authorities, State insurance
regulators, and other Federal agencies.
``(7) Report.--The Taskforce, in coordination, as
appropriate, with the Office of the Investor Advocate and self-
regulatory organizations, and in consultation, as appropriate,
with State securities and law enforcement authorities, State
insurance regulators, and Federal agencies, shall issue a
report every 2 years to the Committee on Banking, Housing, and
Urban Affairs and the Special Committee on Aging of the Senate
and the Committee on Financial Services of the House of
Representatives, the first of which shall not be issued until
after the report described in section 3 of the National Senior
Investor Initiative Act of 2025 has been issued and considered
by the Taskforce, containing--
``(A) appropriate statistical information and full
and substantive analysis;
``(B) a summary of recent trends and innovations that
have impacted the investment landscape for senior
investors;
``(C) a summary of regulatory initiatives that have
concentrated on senior investors and industry practices
related to senior investors;
``(D) key observations, best practices, and areas
needing improvement, involving senior investors
identified during examinations, enforcement actions,
and investor education outreach;
``(E) a summary of the most serious issues
encountered by senior investors, including issues
involving financial products and services;
``(F) an analysis with regard to existing policies
and procedures of brokers, dealers, investment
advisers, and other market participants related to
senior investors and senior investor-related topics and
whether these policies and procedures need to be
further developed or refined;
``(G) recommendations for such changes to the
regulations, guidance, and orders of the Commission and
self-regulatory organizations and such legislative
actions as may be appropriate to resolve problems
encountered by senior investors; and
``(H) any other information, as determined
appropriate by the Director of the Taskforce.
``(8) Request for reports.--The Taskforce shall make any
report issued under paragraph (7) available to a Member of
Congress who requests such a report.
``(9) Sunset.--The Taskforce shall terminate after the end of
the 10-year period beginning on the date of the enactment of
this subsection.
``(10) Senior investor defined.--In this subsection, the term
`senior investor' means an investor over the age of 65.
``(11) Use of existing funds.--The Commission shall use
existing funds to carry out this subsection.''.
SEC. 3. GAO STUDY.
(a) Study.--Not later than 2 years after the date of enactment of
this Act, the Comptroller General of the United States shall submit to
Congress and the Senior Investor Taskforce the results of a study of
financial exploitation of senior citizens.
(b) Contents.--The study required under subsection (a) shall include
information with respect to--
(1) economic costs of the financial exploitation of senior
citizens--
(A) associated with losses by victims that were
incurred as a result of the financial exploitation of
senior citizens;
(B) incurred by State and Federal agencies, law
enforcement and investigatory agencies, public benefit
programs, public health programs, and other public
programs as a result of the financial exploitation of
senior citizens;
(C) incurred by the private sector as a result of the
financial exploitation of senior citizens; and
(D) any other relevant costs that--
(i) result from the financial exploitation of
senior citizens; and
(ii) the Comptroller General determines are
necessary and appropriate to include in order
to provide Congress and the public with a full
and accurate understanding of the economic
costs resulting from the financial exploitation
of senior citizens in the United States;
(2) frequency of senior financial exploitation and correlated
or contributing factors--
(A) information about percentage of senior citizens
financially exploited each year; and
(B) information about factors contributing to
increased risk of exploitation, including such factors
as race, social isolation, income, net worth, religion,
region, occupation, education, home-ownership, illness,
and loss of spouse; and
(3) policy responses and reporting of senior financial
exploitation--
(A) the degree to which financial exploitation of
senior citizens unreported to authorities;
(B) the reasons that financial exploitation may be
unreported to authorities;
(C) to the extent that suspected elder financial
exploitation is currently being reported--
(i) information regarding which Federal,
State, and local agencies are receiving
reports, including adult protective services,
law enforcement, industry, regulators, and
professional licensing boards;
(ii) information regarding what information
is being collected by such agencies; and
(iii) information regarding the actions that
are taken by such agencies upon receipt of the
report and any limits on the agencies' ability
to prevent exploitation, such as jurisdictional
limits, a lack of expertise, resource
challenges, or limiting criteria with regard to
the types of victims they are permitted to
serve;
(D) an analysis of gaps that may exist in empowering
Federal, State, and local agencies to prevent senior
exploitation or respond effectively to suspected senior
financial exploitation; and
(E) an analysis of the legal hurdles that prevent
Federal, State, and local agencies from effectively
partnering with each other and private professionals to
effectively respond to senior financial exploitation.
(c) Senior Citizen Defined.--In section, the term ``senior citizen''
means an individual over the age of 65.
Purpose and Summary
H.R. 1469, the Senior Security Act of 2025, was introduced
on February 21, 2025, by Representative Josh Gottheimer (NJ-
05). H.R. 1469 establishes the Senior Investor Taskforce within
the Securities and Exchange Commission (SEC). The Taskforce
must report on topics relating to investors over the age of 65,
including industry trends and serious issues impacting such
investors, and make recommendations for legislative or
regulatory actions to address problems encountered by senior
investors. The bill also requires the Government Accountability
Office to report on the financial exploitation of senior
citizens.
Background and Need for Legislation
Fraud and exploitation of any kind in our capital markets
threaten their integrity. They harm investors seeking to save
for retirement or for major expenses like a child's tuition or
buying a home. It is especially problematic when such fraud
targets senior investors. This bill supports and enhances the
SEC's current efforts to protect against the increasing
instances of financial exploitation against senior investors.
Committee Consideration
115TH CONGRESS
On July 10, 2017, Representative Josh Gottheimer (D-NJ)
introduced H.R. 6323, the Senior Security Act of 2018, with
Representatives Trey Hollingsworth (R-IN) and Kyrsten Sinema
(D-AZ) as original cosponsors. The bill is an earlier iteration
of H.R. 1469. The bill was referred solely to the Committee on
Financial Services. On July 11, 2018, the Committee on
Financial Services ordered H.R. 6323 to be reported favorably
to the House of Representatives, as amended, by voice vote.
116TH CONGRESS
On March 26, 2019, Representative Gottheimer introduced
H.R. 1876, the Senior Security Act of 2019, with Representative
Hollingsworth as original cosponsor. Representatives Brian
Fitzpatrick (R-PA), Van Taylor (R-TX), Abby Finkenauer (D-VA),
Vincente Gonzalez (D-TX), and Sean Casten (D-IL) were added
subsequently as cosponsors. The bill is an earlier iteration of
H.R. 1469. The bill was referred solely to the Committee on
Financial Services. On April 30, 2019, the House suspended the
rules and passed the bill by a recorded vote of 392-20. It was
received in the Senate and referred to the Committee on
Banking, Housing, and Urban Affairs. In addition, Senator
Kyrsten Sinema (D-AZ) introduced S. 1719, a companion bill to
H.R. 1876.
117TH CONGRESS
On March 3, 2021, Representative Gottheimer introduced H.R.
1565, the Senior Security Act of 2021, with Representatives
Hollingsworth, Gonzalez, Casten, and Fitzpatrick as original
cosponsors. Representatives Nikema Williams (D-GA) and Taylor
were added subsequently as cosponsors. The bill is an earlier
iteration of H.R. 1469. The bill was referred solely to the
Committee on Financial Services. On April 19, 2021, the House
suspended the rules and passed the bill by voice vote. It was
received in the Senate and referred to the Committee on
Banking, Housing, and Urban Affairs. In addition, Senator
Sinema introduced S. 856, a companion bill to H.R. 1565.
118TH CONGRESS
On April 13, 2023, Representative Gottheimer introduced
H.R. 2593, the National Senior Investor Initiative Act of 2023,
with Representative Ann Wagner (R-MO) as original cosponsor.
Representative Mike Lawler (R-NY) was subsequently added as a
cosponsor. This bill is an earlier iteration of H.R. 1469. The
bill was referred solely to the Committee on Financial
Services. On April 19, 2023, the Subcommittee on Capital
Markets of the Committee on Financial Services held a hearing
entitled ``A Roadmap for Growth: Reforms to Encourage Capital
Formation and Investment Opportunities for All Americans'' to
examine matters relating to H.R. 2593. On April 26, 2023, the
Committee ordered H.R. 2593, as amended, to be reported
favorably to the House of Representatives by a vote of 49-0. On
June 5, 2023, the House suspended the rules and passed the bill
by voice vote. It was received in the Senate and referred to
the Committee on Banking, Housing, and Urban Affairs. In
addition, Senator Sinema introduced S. 955, a companion bill to
H.R. 2593.
119TH CONGRESS
On February 21, 2025, Representative Gottheimer introduced
H.R. 1469, the Senior Security Act of 2025, with Representative
Wagner as an original cosponsor. Representative Zach Nunn (R-
IA) was added subsequently as a cosponsor. The bill was
referred solely to the Committee on Financial Services. The
bill was attached to the February 26, 2025, hearing titled
``The Future of American Capital: Strengthening Public and
Private Markets by Increasing Investor Access and Facilitating
Capital Formation'' and the March 25, 2025, hearing titled,
``Beyond Silicon Valley: Expanding Access to Capital Across
America.''
On May 20, 2025, the Committee met in open session to
consider, among others, H.R. 1469. The Committee ordered H.R.
1469, as amended, to be reported favorably to the House of
Representatives.
Related Hearings
Pursuant to clause 3(c)(6) of rule XIII of the Rules of the
House of Representatives, the following hearings were used to
develop H.R. 1469:
The Capital Markets Subcommittee of the Committee on
Financial Services held a February 26, 2025, hearing titled
``The Future of American Capital: Strengthening Public and
Private Markets by Increasing Investor Access and Facilitating
Capital Formation'' and the Full Committee held a March 25,
2025, hearing titled, ``Beyond Silicon Valley: Expanding Access
to Capital Across America.'' A discussion draft version of the
bill was attached to both hearings. The following witnesses
testified at the February 26, 2025, hearing: Mr. Andrew
Barnell, CEO and Co-Founder, Geneoscopy; Mr. McKeever Conwell,
Founder and Managing Partner, RareBreed Ventures; Ms. Rebecca
Kacaba, CEO and Co-Founder, DealMaker; Ms. Anna Pinedo,
Partner, Mayer Brown; and Ms. Alexandra Thornton, Senior
Director, Financial Regulation, Center for American Progress.
The following witnesses testified at the March 25, 2025,
hearing: Mr. Steve Case, Chairman and CEO, Revolution LLC; Mr.
Bill Newell, Senior Business Advisor & Former CEO, Sutro
Biopharma; Ms. Candice Matthews Brackeen, General Partner,
Lightship Capital; Mr. Joel Trotter, Partner, Latham & Watkins
LLP; and Ms. Amanda Senn, Director of the Alabama Securities
Commission.
Committee Votes
Clause 3(b) of rule XIII of the Rules of the House of
Representatives requires the Committee Report to include for
each record vote on a motion to report the measure or matter
and on any amendments offered to the measure or matter the
total number of votes for and against and the names of the
Members voting for and against.
On May 20, 2025, the Committee ordered H.R. 1469, as
amended, to be reported favorably to the House by a recorded
vote of 51 yeas and 0 nays, a quorum being present. (Record
Vote No. FC-120).
Before the question to report was called, the Committee
adopted an amendment in the nature of a substitute, designated
GOTTHE_064, which made minor edits and technical changes,
offered by Representative Gottheimer. The amendment was adopted
by voice vote, a quorum being present.
Committee Oversight Findings
Pursuant to clause 3(c) of rule XIII of the Rules of the
House of Representatives, the findings and recommendations of
the Committee, based on oversight activities under clause
2(b)(1) of rule X of the Rules of the House of Representatives,
are incorporated in the descriptive portions of this report.
Performance Goals and Objectives
Pursuant to clause 3(c)(4) of rule XIII of the Rules of the
House of Representatives, the goal of H.R. 1469 is to create an
interdivisional taskforce at the Securities and Exchange
Commission for senior investors.
Committee Cost Estimate
Clause 3(d)(1) of rule XIII of the Rules of the House of
Representatives requires an estimate and a comparison of the
costs that would be incurred in carrying out H.R. 1469. The
Committee has requested but not received a cost estimate from
the Director of the Congressional Budget Office. However,
pursuant to clause 3(d)(1) of rule XIII, the Committee will
adopt as its own the cost estimate by the Director of the
Congressional Budget Office once it has been prepared.
New Budget Authority and CBO Cost Estimate
With respect to the requirements of clause 3(c)(2) of rule
XIII of the Rules of the House of Representatives and section
308(a) of the Congressional Budget Act of 1974 and with respect
to requirements of clause 3(c)(3) of rule and section 402 of
the Congressional Budget Act of 1974, a cost estimate was not
made available to the Committee in time for the filing of this
report. The Chairman of the Committee shall cause such estimate
to be printed in the Congressional Record upon its receipt by
the Committee.
Unfunded Mandates Statement
The Committee has requested but not received from the
Director of the Congressional Budget Office an estimate of the
Federal mandates pursuant to section 423 of the Unfunded
Mandates Reform Act. The Committee will adopt the estimate once
it has been prepared by the Director.
Earmark Statement
With respect to clause 9 of rule XXI of the Rules of the
House of Representatives, the Committee has carefully reviewed
the provisions of the resolution and states that the provisions
of the bill do not contain any congressional earmarks, limited
tax benefits, or limited tariff benefits within the meaning of
the rule.
Federal Advisory Committee Act Statement
No advisory committees within the meaning of section 5(b)
of the Federal Advisory Committee Act were created by this
legislation.
Applicability to the Legislative Branch
The Committee finds that the legislation does not relate to
the terms and conditions of employment or access to public
services or accommodations within the meaning of section
102(b)(3) of the Congressional Accountability Act.
Duplication of Federal Programs
Pursuant to clause 3(c)(5) of rule XIII of the Rules of the
House of Representatives, the Committee states that no
provision of the bill establishes or reauthorizes a program of
the Federal Government known to be duplicative of another
Federal program, including any program that was included in a
report to Congress pursuant to section 21 of the Public Law
111-139 or the most recent Catalog of Federal Domestic
Assistance.
Section-by-Section Analysis of the Legislation
Section 1. Short title
This section cites H.R. 1469 as the ``National Senior
Investor Initiative Act of 2025'' or the ``Senior Security Act
of 2025.''
Section 2. Senior Investor Taskforce
This section establishes a Senior Investor Taskforce within
the Securities and Exchange Commission (SEC), charged with
identifying and addressing issues affecting investors over the
age of 65, including financial exploitation and cognitive
decline. The section requires the Taskforce to be staffed by
existing SEC personnel and to coordinate with other internal
and external entities such as self-regulatory organizations and
state and federal authorities. This section also mandates the
Taskforce to produce a detailed report every two years for
Congress, analyzing trends, regulatory initiatives, challenges
and best practices related to senior investors, and may
recommend legislative or regulatory changes. The section also
sunsets the Taskforce ten years after the enactment of this
bill.
Section 3. GAO study
This section requires the Comptroller General of the United
States to conduct and submit a comprehensive study on the
financial exploitation of senior citizens to Congress and the
Senior Investor Taskforce within two years of bill's enactment.
This section mandates that the study must assess the
economic costs of such exploitation to victims, government
programs, and the private sector, and identify additional
relevant financial impacts. It must also evaluate the frequency
of exploitation and analyze contributing risk factors, such as
age, race, income, education, and social isolation.
Additionally, the study must examine how often financial abuse
goes unreported, why it may not be reported, and how current
reports are handled by agencies.
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (new matter is
printed in italics and existing law in which no change is
proposed is shown in roman):
SECURITIES EXCHANGE ACT OF 1934
TITLE I--REGULATION OF SECURITIES EXCHANGES
* * * * * * *
securities and exchange commission
Sec. 4. (a) There is hereby established a Securities and
Exchange Commission (hereinafter referred to as the
``Commission'') to be composed of five commissioners to be
appointed by the President by and with the advice and consent
of the Senate. Not more than three of such commissioners shall
be members of the same political party, and in making
appointments members of different political parties shall be
appointed alternately as nearly as may be practicable. No
commissioner shall engage in any other business, vocation, or
employment than that of serving as commissioner, nor shall any
commissioner participate, directly or indirectly, in any stock-
market operations or transactions of a character subject to
regulation by the Commission pursuant to this title. Each
commissioner shall hold office for a term of five years and
until his successor is appointed and has qualified, except that
he shall not so continue to serve beyond the expiration of the
next session of Congress subsequent to the expiration of said
fixed term of office, and except (1) any commissioner appointed
to fill a vacancy occurring prior to the expiration of the term
for which his predecessor was appointed shall be appointed for
the remainder of such term, and (2) the terms of office of the
commissioners first taking office after the enactment of this
title shall expire as designated by the President at the time
of nomination, one at the end of one year, one at the end of
two years, one at the end of three years, one at the end of
four years, and one at the end of five years, after the date of
the enactment of this title.
(b) Appointment and Compensation of Staff and Leasing
Authority.--
(1) Appointment and compensation.--The Commission
shall appoint and compensate officers, attorneys,
economists, examiners, and other employees in
accordance with section 4802 of title 5, United States
Code.
(2) Reporting of information.--In establishing and
adjusting schedules of compensation and benefits for
officers, attorneys, economists, examiners, and other
employees of the Commission under applicable provisions
of law, the Commission shall inform the heads of the
agencies referred to under section 1206 of the
Financial Institutions Reform, Recovery, and
Enforcement Act of 1989 (12 U.S.C. 1833b) and Congress
of such compensation and benefits and shall seek to
maintain comparability with such agencies regarding
compensation and benefits.
(3) Leasing authority.--Nothwithstanding any other
provision of law, the Commission is authorized to enter
directly into leases for real property for office,
meeting, storage, and such other space as is necessary
to carry out its functions, and shall be exempt from
any General Services Administration space management
regulations or directives.
(c) Notwithstanding any other provision of law, in accordance
with regulations which the Commission shall prescribe to
prevent conflicts of interest, the Commission may accept
payment and reimbursement, in cash or in kind, from non-Federal
agencies, organizations, and individuals for travel,
subsistence, and other necessary expenses incurred by
Commission members and employees in attending meetings and
conferences concerning the functions or activities of the
Commission. Any payment or reimbursement accepted shall be
credited to the appropriated funds of the Commission. The
amount of travel, subsistence, and other necessary expenses for
members and employees paid or reimbursed under this subsection
may exceed per diem amounts established in official travel
regulations, but the Commission may include in its regulations
under this subsection a limitation on such amounts.
(d) Notwithstanding any other provision of law, former
employers of participants in the Commission's professional
fellows programs may pay such participants their actual
expenses for relocation to Washington, District of Columbia, to
facilitate their participation in such programs, and program
participants may accept such payments.
(e) Notwithstanding any other provision of law, whenever any
fee is required to be paid to the Commission pursuant to any
provision of the securities laws or any other law, the
Commission may provide by rule that such fee shall be paid in a
manner other than in cash and the Commission may also specify
the time that such fee shall be determined and paid relative to
the filing of any statement or document with the Commission.
(f) Reimbursement of Expenses for Assisting Foreign
Securities Authorities.--Notwithstanding any other provision of
law, the Commission may accept payment and reimbursement, in
cash or in kind, from a foreign securities authority, or made
on behalf of such authority, for necessary expenses incurred by
the Commission, its members, and employees in carrying out any
investigation pursuant to section 21(a)(2) of this title or in
providing any other assistance to a foreign securities
authority. Any payment or reimbursement accepted shall be
considered a reimbursement to the appropriated funds of the
Commission.
(g) Office of the Investor Advocate.--
(1) Office established.--There is established within
the Commission the Office of the Investor Advocate (in
this subsection referred to as the ``Office'').
(2) Investor advocate.--
(A) In general.--The head of the Office shall
be the Investor Advocate, who shall--
(i) report directly to the Chairman;
and
(ii) be appointed by the Chairman, in
consultation with the Commission, from
among individuals having experience in
advocating for the interests of
investors in securities and investor
protection issues, from the perspective
of investors.
(B) Compensation.--The annual rate of pay for
the Investor Advocate shall be equal to the
highest rate of annual pay for other senior
executives who report to the Chairman of the
Commission.
(C) Limitation on service.--An individual who
serves as the Investor Advocate may not be
employed by the Commission--
(i) during the 2-year period ending
on the date of appointment as Investor
Advocate; or
(ii) during the 5-year period
beginning on the date on which the
person ceases to serve as the Investor
Advocate.
(3) Staff of office.--The Investor Advocate, after
consultation with the Chairman of the Commission, may
retain or employ independent counsel, research staff,
and service staff, as the Investor Advocate deems
necessary to carry out the functions, powers, and
duties of the Office.
(4) Functions of the investor advocate.--The Investor
Advocate shall--
(A) assist retail investors in resolving
significant problems such investors may have
with the Commission or with self-regulatory
organizations;
(B) identify areas in which investors would
benefit from changes in the regulations of the
Commission or the rules of self-regulatory
organizations;
(C) identify problems that investors have
with financial service providers and investment
products;
(D) analyze the potential impact on investors
of--
(i) proposed regulations of the
Commission; and
(ii) proposed rules of self-
regulatory organizations registered
under this title; and
(E) to the extent practicable, propose to the
Commission changes in the regulations or orders
of the Commission and to Congress any
legislative, administrative, or personnel
changes that may be appropriate to mitigate
problems identified under this paragraph and to
promote the interests of investors.
(5) Access to documents.--The Commission shall ensure
that the Investor Advocate has full access to the
documents of the Commission and any self-regulatory
organization, as necessary to carry out the functions
of the Office.
(6) Annual reports.--
(A) Report on objectives.--
(i) In general.--Not later than June
30 of each year after 2010, the
Investor Advocate shall submit to the
Committee on Banking, Housing, and
Urban Affairs of the Senate and the
Committee on Financial Services of the
House of Representatives a report on
the objectives of the Investor Advocate
for the following fiscal year.
(ii) Contents.--Each report required
under clause (i) shall contain full and
substantive analysis and explanation.
(B) Report on activities.--
(i) In general.--Not later than
December 31 of each year after 2010,
the Investor Advocate shall submit to
the Committee on Banking, Housing, and
Urban Affairs of the Senate and the
Committee on Financial Services of the
House of Representatives a report on
the activities of the Investor Advocate
during the immediately preceding fiscal
year.
(ii) Contents.--Each report required
under clause (i) shall include--
(I) appropriate statistical
information and full and
substantive analysis;
(II) information on steps
that the Investor Advocate has
taken during the reporting
period to improve investor
services and the responsiveness
of the Commission and self-
regulatory organizations to
investor concerns;
(III) a summary of the most
serious problems encountered by
investors during the reporting
period;
(IV) an inventory of the
items described in subclause
(III) that includes--
(aa) identification
of any action taken by
the Commission or the
self-regulatory
organization and the
result of such action;
(bb) the length of
time that each item has
remained on such
inventory; and
(cc) for items on
which no action has
been taken, the reasons
for inaction, and an
identification of any
official who is
responsible for such
action;
(V) recommendations for such
administrative and legislative
actions as may be appropriate
to resolve problems encountered
by investors; and
(VI) any other information,
as determined appropriate by
the Investor Advocate.
(iii) Independence.--Each report
required under this paragraph shall be
provided directly to the Committees
listed in clause (i) without any prior
review or comment from the Commission,
any commissioner, any other officer or
employee of the Commission, or the
Office of Management and Budget.
(iv) Confidentiality.--No report
required under clause (i) may contain
confidential information.
(7) Regulations.--The Commission shall, by
regulation, establish procedures requiring a formal
response to all recommendations submitted to the
Commission by the Investor Advocate, not later than 3
months after the date of such submission.
(8) Ombudsman.--
(A) Appointment.--Not later than 180 days
after the date on which the first Investor
Advocate is appointed under paragraph
(2)(A)(i), the Investor Advocate shall appoint
an Ombudsman, who shall report directly to the
Investor Advocate.
(B) Duties.--The Ombudsman appointed under
subparagraph (A) shall--
(i) act as a liaison between the
Commission and any retail investor in
resolving problems that retail
investors may have with the Commission
or with self-regulatory organizations;
(ii) review and make recommendations
regarding policies and procedures to
encourage persons to present questions
to the Investor Advocate regarding
compliance with the securities laws;
and
(iii) establish safeguards to
maintain the confidentiality of
communications between the persons
described in clause (ii) and the
Ombudsman.
(C) Limitation.--In carrying out the duties
of the Ombudsman under subparagraph (B), the
Ombudsman shall utilize personnel of the
Commission to the extent practicable. Nothing
in this paragraph shall be construed as
replacing, altering, or diminishing the
activities of any ombudsman or similar office
of any other agency.
(D) Report.--The Ombudsman shall submit a
semiannual report to the Investor Advocate that
describes the activities and evaluates the
effectiveness of the Ombudsman during the
preceding year. The Investor Advocate shall
include the reports required under this section
in the reports required to be submitted by the
Inspector Advocate under paragraph (6).
(h) Examiners.--
(1) Division of trading and markets.--The Division of
Trading and Markets of the Commission, or any successor
organizational unit, shall have a staff of examiners
who shall--
(A) perform compliance inspections and
examinations of entities under the jurisdiction
of that Division; and
(B) report to the Director of that Division.
(2) Division of investment management.--The Division
of Investment Management of the Commission, or any
successor organizational unit, shall have a staff of
examiners who shall--
(A) perform compliance inspections and
examinations of entities under the jurisdiction
of that Division; and
(B) report to the Director of that Division.
(i) Securities and Exchange Commission Reserve Fund.--
(1) Reserve fund established.--There is established
in the Treasury of the United States a separate fund,
to be known as the ``Securities and Exchange Commission
Reserve Fund'' (referred to in this subsection as the
``Reserve Fund'').
(2) Reserve fund amounts.--
(A) In general.--Except as provided in
subparagraph (B), any registration fees
collected by the Commission under section 6(b)
of the Securities Act of 1933 (15 U.S.C.
77f(b)) or section 24(f) of the Investment
Company Act of 1940 (15 U.S.C. 80a-24(f)) shall
be deposited into the Reserve Fund.
(B) Limitations.--For any 1 fiscal year--
(i) the amount deposited in the Fund
may not exceed $50,000,000; and
(ii) the balance in the Fund may not
exceed $100,000,000.
(C) Excess fees.--Any amounts in excess of
the limitations described in subparagraph (B)
that the Commission collects from registration
fees under section 6(b) of the Securities Act
of 1933 (15 U.S.C. 77f(b)) or section 24(f) of
the Investment Company Act of 1940 (15 U.S.C.
80a-24(f)) shall be deposited in the General
Fund of the Treasury of the United States and
shall not be available for obligation by the
Commission.
(3) Use of amounts in reserve fund.--The Commission
may obligate amounts in the Reserve Fund, not to exceed
a total of $100,000,000 in any 1 fiscal year, as the
Commission determines is necessary to carry out the
functions of the Commission. Any amounts in the reserve
fund shall remain available until expended. Not later
than 10 days after the date on which the Commission
obligates amounts under this paragraph, the Commission
shall notify Congress of the date, amount, and purpose
of the obligation.
(4) Rule of construction.--Amounts collected and
deposited in the Reserve Fund shall not be construed to
be Government funds or appropriated monies and shall
not be subject to apportionment for the purpose of
chapter 15 of title 31, United States Code, or under
any other authority.
(j) Office of the Advocate for Small Business Capital
Formation.--
(1) Office established.--There is established within
the Commission the Office of the Advocate for Small
Business Capital Formation (hereafter in this
subsection referred to as the ``Office'').
(2) Advocate for small business capital formation.--
(A) In general.--The head of the Office shall
be the Advocate for Small Business Capital
Formation, who shall--
(i) report directly to the
Commission; and
(ii) be appointed by the Commission,
from among individuals having
experience in advocating for the
interests of small businesses and
encouraging small business capital
formation.
(B) Compensation.--The annual rate of pay for
the Advocate for Small Business Capital
Formation shall be equal to the highest rate of
annual pay for other senior executives who
report directly to the Commission.
(C) No current employee of the commission.--
An individual may not be appointed as the
Advocate for Small Business Capital Formation
if the individual is currently employed by the
Commission.
(3) Staff of office.--The Advocate for Small Business
Capital Formation, after consultation with the
Commission, may retain or employ independent counsel,
research staff, and service staff, as the Advocate for
Small Business Capital Formation determines to be
necessary to carry out the functions of the Office.
(4) Functions of the advocate for small business
capital formation.--The Advocate for Small Business
Capital Formation shall--
(A) assist small businesses and small
business investors in resolving significant
problems such businesses and investors may have
with the Commission or with self-regulatory
organizations;
(B) identify areas in which small businesses
and small business investors would benefit from
changes in the regulations of the Commission or
the rules of self-regulatory organizations;
(C) identify problems that small businesses
have with securing access to capital, including
any unique challenges to minority-owned small
businesses, women-owned small businesses, and
small businesses affected by hurricanes or
other natural disasters;
(D) analyze the potential impact on small
businesses and small business investors of--
(i) proposed regulations of the
Commission that are likely to have a
significant economic impact on small
businesses and small business capital
formation; and
(ii) proposed rules that are likely
to have a significant economic impact
on small businesses and small business
capital formation of self-regulatory
organizations registered under this
title;
(E) conduct outreach to small businesses and
small business investors, including through
regional roundtables, in order to solicit views
on relevant capital formation issues;
(F) to the extent practicable, propose to the
Commission changes in the regulations or orders
of the Commission and to Congress any
legislative, administrative, or personnel
changes that may be appropriate to mitigate
problems identified under this paragraph and to
promote the interests of small businesses and
small business investors;
(G) consult with the Investor Advocate on
proposed recommendations made under
subparagraph (F); and
(H) advise the Investor Advocate on issues
related to small businesses and small business
investors.
(5) Access to documents.--The Commission shall ensure
that the Advocate for Small Business Capital Formation
has full access to the documents and information of the
Commission and any self-regulatory organization, as
necessary to carry out the functions of the Office.
(6) Annual report on activities.--
(A) In general.--Not later than December 31
of each year after 2015, the Advocate for Small
Business Capital Formation shall submit to the
Committee on Banking, Housing, and Urban
Affairs of the Senate and the Committee on
Financial Services of the House of
Representatives a report on the activities of
the Advocate for Small Business Capital
Formation during the immediately preceding
fiscal year.
(B) Contents.--Each report required under
subparagraph (A) shall include--
(i) appropriate statistical
information and full and substantive
analysis;
(ii) information on steps that the
Advocate for Small Business Capital
Formation has taken during the
reporting period to improve small
business services and the
responsiveness of the Commission and
self-regulatory organizations to small
business and small business investor
concerns;
(iii) a summary of the most serious
issues encountered by small businesses
and small business investors, including
any unique issues encountered by
minority-owned small businesses, women-
owned small businesses, and small
businesses affected by hurricanes or
other natural disasters and their
investors, during the reporting period;
(iv) an inventory of the items
summarized under clause (iii)
(including items summarized under such
clause for any prior reporting period
on which no action has been taken or
that have not been resolved to the
satisfaction of the Advocate for Small
Business Capital Formation as of the
beginning of the reporting period
covered by the report) that includes--
(I) identification of any
action taken by the Commission
or the self-regulatory
organization and the result of
such action;
(II) the length of time that
each item has remained on such
inventory; and
(III) for items on which no
action has been taken, the
reasons for inaction, and an
identification of any official
who is responsible for such
action;
(v) recommendations for such changes
to the regulations, guidance and orders
of the Commission and such legislative
actions as may be appropriate to
resolve problems with the Commission
and self-regulatory organizations
encountered by small businesses and
small business investors and to
encourage small business capital
formation; and
(vi) any other information, as
determined appropriate by the Advocate
for Small Business Capital Formation.
(C) Confidentiality.--No report required by
subparagraph (A) may contain confidential
information.
(D) Independence.--Each report required under
subparagraph (A) shall be provided directly to
the committees of Congress listed in such
subparagraph without any prior review or
comment from the Commission, any commissioner,
any other officer or employee of the
Commission, or the Office of Management and
Budget.
(7) Regulations.--The Commission shall establish
procedures requiring a formal response to all
recommendations submitted to the Commission by the
Advocate for Small Business Capital Formation, not
later than 3 months after the date of such submission.
(8) Government-business forum on small business
capital formation.--The Advocate for Small Business
Capital Formation shall be responsible for planning,
organizing, and executing the annual Government-
Business Forum on Small Business Capital Formation
described in section 503 of the Small Business
Investment Incentive Act of 1980 (15 U.S.C. 80c-1).
(9) Rule of construction.--Nothing in this subsection
may be construed as replacing or reducing the
responsibilities of the Investor Advocate with respect
to small business investors.
(k) Open Data Publication.--All public data assets published
by the Commission under the securities laws and the Dodd-Frank
Wall Street Reform and Consumer Protection Act (Public Law 111-
203; 124 Stat. 1376) shall be--
(1) made available as an open Government data asset
(as defined in section 3502 of title 44, United States
Code);
(2) freely available for download;
(3) rendered in a human-readable format; and
(4) accessible via application programming interface
where appropriate.
(l) Senior Investor Taskforce.--
(1) Establishment.--There is established within the
Commission the Senior Investor Taskforce (in this
subsection referred to as the ``Taskforce'').
(2) Director of the taskforce.--The head of the
Taskforce shall be the Director, who shall--
(A) report directly to the Chairman; and
(B) be appointed by the Chairman, in
consultation with the Commission, from among
individuals--
(i) currently employed by the
Commission or from outside of the
Commission; and
(ii) having experience in advocating
for the interests of senior investors.
(3) Staffing.--The Chairman shall ensure that--
(A) the Taskforce is staffed sufficiently to
carry out fully the requirements of this
subsection; and
(B) such staff shall include individuals from
the Division of Enforcement, Office of
Compliance Inspections and Examinations, and
Office of Investor Education and Advocacy.
(4) No compensation for members of taskforce.--All
members of the Taskforce appointed under paragraph (2)
or (3) shall serve without compensation in addition to
that received for their services as officers or
employees of the United States.
(5) Minimizing duplication of efforts.--In organizing
and staffing the Taskforce, the Chairman shall take
such actions as may be necessary to minimize the
duplication of efforts within the divisions and offices
described under paragraph (3)(B) and any other
divisions, offices, or taskforces of the Commission.
(6) Functions of the taskforce.--The Taskforce
shall--
(A) identify challenges that senior investors
encounter, including problems associated with
financial exploitation and cognitive decline;
(B) identify areas in which senior investors
would benefit from changes in the regulations
of the Commission or the rules of self-
regulatory organizations;
(C) coordinate, as appropriate, with other
offices within the Commission, other taskforces
that may be established within the Commission,
self-regulatory organizations, and the Elder
Justice Coordinating Council; and
(D) consult, as appropriate, with State
securities and law enforcement authorities,
State insurance regulators, and other Federal
agencies.
(7) Report.--The Taskforce, in coordination, as
appropriate, with the Office of the Investor Advocate
and self-regulatory organizations, and in consultation,
as appropriate, with State securities and law
enforcement authorities, State insurance regulators,
and Federal agencies, shall issue a report every 2
years to the Committee on Banking, Housing, and Urban
Affairs and the Special Committee on Aging of the
Senate and the Committee on Financial Services of the
House of Representatives, the first of which shall not
be issued until after the report described in section 3
of the National Senior Investor Initiative Act of 2025
has been issued and considered by the Taskforce,
containing--
(A) appropriate statistical information and
full and substantive analysis;
(B) a summary of recent trends and
innovations that have impacted the investment
landscape for senior investors;
(C) a summary of regulatory initiatives that
have concentrated on senior investors and
industry practices related to senior investors;
(D) key observations, best practices, and
areas needing improvement, involving senior
investors identified during examinations,
enforcement actions, and investor education
outreach;
(E) a summary of the most serious issues
encountered by senior investors, including
issues involving financial products and
services;
(F) an analysis with regard to existing
policies and procedures of brokers, dealers,
investment advisers, and other market
participants related to senior investors and
senior investor-related topics and whether
these policies and procedures need to be
further developed or refined;
(G) recommendations for such changes to the
regulations, guidance, and orders of the
Commission and self-regulatory organizations
and such legislative actions as may be
appropriate to resolve problems encountered by
senior investors; and
(H) any other information, as determined
appropriate by the Director of the Taskforce.
(8) Request for reports.--The Taskforce shall make
any report issued under paragraph (7) available to a
Member of Congress who requests such a report.
(9) Sunset.--The Taskforce shall terminate after the
end of the 10-year period beginning on the date of the
enactment of this subsection.
(10) Senior investor defined.--In this subsection,
the term ``senior investor'' means an investor over the
age of 65.
(11) Use of existing funds.--The Commission shall use
existing funds to carry out this subsection.
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