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[House Report 112-109]
[From the U.S. Government Printing Office]


112th Congress                                            Rept. 112-109
                        HOUSE OF REPRESENTATIVES
 1st Session                                                     Part 1

======================================================================


 
TO FACILITATE IMPLEMENTATION OF TITLE VII OF THE DODD-FRANK WALL STREET 
 REFORM AND CONSUMER PROTECTION ACT, PROMOTE REGULATORY COORDINATION, 
                      AND AVOID MARKET DISRUPTION

                                _______
                                

 June 16, 2011.--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

                             together with

                             MINORITY VIEWS

                        [To accompany H.R. 1573]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Financial Services, to whom was referred 
the bill (H.R. 1573) to facilitate implementation of title VII 
of the Dodd-Frank Wall Street Reform and Consumer Protection 
Act, promote regulatory coordination, and avoid market 
disruption, having considered the same, report favorably 
thereon with an amendment and recommend that the bill as 
amended do pass.
    The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. EFFECTIVE DATES.

  Section 712(f) of the Dodd-Frank Wall Street Reform and Consumer 
Protection Act (Public Law 111-203; 15 U.S.C. 8302(f)) is amended to 
read as follows:
  ``(f) Rules and Registration Before Final Effective Dates.--
          ``(1) In general.--Beginning on the date of enactment of this 
        Act and notwithstanding the effective date of any provision of 
        this Act, the Commodity Futures Trading Commission and the 
        Securities and Exchange Commission may, in order to prepare for 
        the effective dates of the provisions of this Act--
                  ``(A) promulgate rules, regulations, or orders 
                permitted or required by this Act;
                  ``(B) conduct studies and prepare reports and 
                recommendations required by this Act;
                  ``(C) register persons under the provisions of this 
                Act; and
                  ``(D) exempt persons, agreements, contracts, or 
                transactions from provisions of this Act, under the 
                terms contained in this Act.
          ``(2) Effective date.--(A) Notwithstanding paragraph (1), an 
        action by the Commodity Futures Trading Commission or the 
        Securities and Exchange Commission described in paragraph (1) 
        shall not become effective before the effective date applicable 
        to the action under this Act, except as provided in paragraph 
        (3).
          ``(B) Notwithstanding any provision of this Act (other than 
        paragraph (3)), this title and the regulations under this title 
        shall become effective on the latest of--
                  ``(i) September 30, 2012;
                  ``(ii) 90 days after the publication of the relevant 
                final rule or regulation in the Federal Register or 
                such later date as may be specified in the final rule 
                or regulation; or
                  ``(iii) the effective date otherwise applicable to 
                this title.
          ``(3) Exceptions.--
                  ``(A) Certain definitions.--Notwithstanding any other 
                provision of this Act, in order to assist persons 
                subject to this title in coming into compliance with 
                the provisions of this title on a timely basis, the 
                Commodity Futures Trading Commission and the Securities 
                and Exchange Commission, in consultation with the Board 
                of Governors, shall adopt definitions further defining 
                the terms specified in subsection (d)(1) not later than 
                360 days after the date of the enactment of this Act. 
                Such definitions shall become effective 90 days after 
                their publication in the Federal Register.
                  ``(B) Regulatory reporting.--
                          ``(i) Swap data reporting.--Sections 2(h)(5) 
                        and 4r of the Commodity Exchange Act and the 
                        rules and regulations of the Commodity Futures 
                        Trading Commission issued under such sections 
                        shall become effective on the later of--
                                  ``(I) 90 days after the publication 
                                of the relevant final rule or 
                                regulation in the Federal Register, or 
                                such later date as may be specified in 
                                the final rule or regulation; or
                                  ``(II) the effective date otherwise 
                                applicable to such sections.
                          ``(ii) Security-based swap data reporting.--
                        Sections 3C(e) and 13A(a) of the Securities 
                        Exchange Act of 1934 and the rules and 
                        regulations of the Securities and Exchange 
                        Commission issued under such sections shall 
                        become effective on the later of--
                                  ``(I) 90 days after the publication 
                                of the relevant final rule or 
                                regulation in the Federal Register, or 
                                such later date as may be specified in 
                                the rule or regulation; or
                                  ``(II) the effective date otherwise 
                                applicable to such sections.
                          ``(iii) Swap data repositories.--To 
                        facilitate compliance, before September 30, 
                        2012, with the regulatory reporting provisions 
                        of this section, the Commodity Futures Trading 
                        Commission and the Securities and Exchange 
                        Commission may authorize the reporting of swap 
                        data and security-based swap data to any person 
                        then conducting the business described in 
                        section 1a(48) of the Commodity Exchange Act (7 
                        U.S.C. 1a(48)) or section 3(a)(75) of the 
                        Securities Exchange Act of 1934 (15 U.S.C. 
                        78m), respectively, who has--
                                  ``(I) provided notice to the relevant 
                                Commission of its intention to register 
                                as a swap data repository or security-
                                based swap data repository, as 
                                applicable; and
                                  ``(II) made such undertakings to the 
                                relevant Commission as such Commission 
                                has determined to be appropriate and in 
                                the public interest, consistent with 
                                this title.
                  ``(C) Certain clearing provisions.--Section 3C of the 
                Securities Exchange Act of 1934 (15 U.S.C. 78c-3) 
                (except for subsections (e) and (h) of such section) 
                and the rules and regulations of the Securities and 
                Exchange Commission under such section shall take 
                effect on the date otherwise applicable to such 
                section.
                  ``(D) Authority relating to speculative trading.--
                Notwithstanding any other provision of this Act, this 
                subsection shall not delay the use of any authority 
                granted to the Securities and Exchange Commission and 
                the Commodity Futures Trading Commission to address 
                speculative trading, including the impact of such 
                trading on the markets, users, or investors and 
                consumers. The Commissions shall report to the 
                appropriate committees of Congress on the use of such 
                authority.
                  ``(E) Prohibition on federal bailouts.--
                Notwithstanding paragraph (2), section 716 of this Act 
                shall take effect on the date provided for in such 
                section.''.

SEC. 2. IMPLEMENTATION ANALYSIS.

  Section 712 of the Dodd-Frank Wall Street Reform and Consumer 
Protection Act (Public Law 111-203; 15 U.S.C. 8302), as amended by 
section 1 of this Act, is amended by adding at the end the following:
  ``(g) Implementation Analysis.--Notwithstanding any other provision 
of this title, the Commodity Futures Trading Commission and the 
Securities and Exchange Commission shall, before prescribing final 
rules and regulations under this title--
          ``(1) conduct public hearings and roundtables and take 
        testimony of affected market participants, experts and other 
        interested parties, and solicit public comment, regarding--
                  ``(A) the time and resources that would be required 
                of affected parties in order to develop systems and 
                infrastructure necessary to comply with any rules and 
                regulations proposed or then contemplated by the 
                relevant Commission;
                  ``(B) any alternative approaches capable of 
                accomplishing the relevant Commission's rulemaking 
                objectives; and
                  ``(C) the time and resources that would be required 
                of affected parties in order to develop policies and 
                procedures designed to comply with any rules and 
                regulations proposed or then contemplated by the 
                relevant Commission, and
          ``(2) take such testimony and comment into account in--
                  ``(A) performing the cost-benefit analysis required 
                under Federal law in connection with its adoption of 
                the relevant final rules and regulations; and
                  ``(B) determining the effective date of the relevant 
                final rules and regulations.''.

SEC. 3. REGULATORY COORDINATION.

  (a) Commodity Futures Trading Commission.--Section 2(a)(1) of the 
Commodity Exchange Act (7 U.S.C. 2(a)(1)) is amended by adding at the 
end the following:
                  ``(J)(i) Notwithstanding any other provision of this 
                Act, the Commission may exempt, in whole or in part, a 
                person from the registration and related regulatory 
                requirements of this Act that were added by title VII 
                of the Dodd-Frank Wall Street Reform and Consumer 
                Protection Act if and to the extent that the Commission 
                determines that--
                          ``(I) the person is subject to comprehensive 
                        supervision and regulation under a regulatory 
                        scheme administered by another regulatory 
                        authority or the appropriate governmental 
                        authorities in the person's home country that 
                        is comparable to the relevant provisions of 
                        this Act,
                          ``(II) adequate information-sharing 
                        arrangements are in effect between the 
                        Commission and the other regulatory authority, 
                        and
                          ``(III) the exemption would be consistent 
                        with the public interest.
                  ``(ii) The Commission may condition any such 
                exemption on compliance with all or any part of the 
                alternate regulatory scheme, and on such other terms as 
                the Commission determines appropriate, and may deem any 
                noncompliance with the alternate regulatory scheme or 
                other terms a violation of the corresponding provisions 
                of this Act.''.
  (b) Securities and Exchange Commission.--The Securities Exchange Act 
of 1934 (15 U.S.C. 78m) is amended by inserting after section 4E the 
following:

``SEC. 4F. EXEMPTIVE AUTHORITY.

  ``(a) In General.--Notwithstanding any other provision of this Act, 
the Commission may exempt, in whole or in part, a person from the 
registration and related regulatory requirements of this Act that were 
added by title VII of the Dodd-Frank Wall Street Reform and Consumer 
Protection Act if and to the extent that the Commission determines 
that--
          ``(1) the person is subject to comprehensive supervision and 
        regulation under a regulatory scheme administered by another 
        regulatory authority or the appropriate governmental 
        authorities in the person's home country that is comparable to 
        the relevant provisions of this Act;
          ``(2) adequate information-sharing arrangements are in effect 
        with the other regulatory authority; and
          ``(3) the exemption would be consistent with the protection 
        of investors.
  ``(b) Condition on Compliance.--The Commission may condition any such 
exemption on compliance with all or any part of the alternate 
regulatory scheme, and such other terms as the Commission determines 
appropriate, and may deem any noncompliance with the alternate 
regulatory scheme or other terms a violation of the corresponding 
provisions of this Act.''.

                          Purpose and Summary

    H.R. 1573, To facilitate implementation of title VII of the 
Dodd-Frank Wall Street Reform and Consumer Protection Act, 
promote regulatory coordination, and avoid market disruption, 
would extend the statutory deadline for the implementation of 
most provisions of Title VII of the Wall Street Reform and 
Consumer Protection Act (P.L. 111-203) by 15 months. The bill 
would not extend the deadline for the Commodity Futures Trading 
Commission (CFTC) and the Securities and Exchange Commission 
(SEC) to issue final rules defining key terms, such as swap, 
security based swap, swap dealer, security-based swap dealer, 
major swap participant, major security-based swap participant 
and eligible contract participant. The bill also would not 
extend the deadline for the reporting requirements in Sections 
2(h)(5) and 4r of the Commodity Exchange Act and Sections 3C(e) 
and 13A(a) of the Securities Exchange Act of 1934. The bill 
would require the SEC to follow the original Dodd-Frank 
timeline to complete the rules to allow clearing of security-
based swaps. To facilitate the reporting of swap data, the bill 
would give the CFTC and the SEC interim authority to designate 
swap data repositories that meet certain criteria. The bill 
also would not delay the use of any authority granted to the 
SEC and the CFTC to address speculative trading. In addition, 
the bill would require the CFTC and SEC, prior to prescribing 
any final rules required under Title VII, to hold roundtables 
and public hearings to receive testimony and factor it into the 
rule proposals. Lastly, H.R. 1573 would give the CFTC and SEC 
authority to exempt certain persons under the authority 
established in Title VII of the Dodd-Frank Act from 
registration or related regulatory requirements if they are 
subject to comparable regulation by a U.S. or foreign 
regulatory authority.

                  Background and Need for Legislation

    H.R. 1573 was introduced by Chairman Bachus and 
Representatives Lucas, Garrett and Conaway to extend the 
statutory deadline for the implementation of most provisions of 
Title VII to provide regulators with sufficient time to develop 
rules to reform the U.S. derivatives marketplace and avoid 
placing U.S. markets at a competitive disadvantage with the 
rest of the world. The Committee held hearings on February 15 
and March 16, 2011 examining the implementation of Title VII of 
the Dodd-Frank Act. The Committee received testimony from a 
broad spectrum of witnesses, including regulators, end-users, 
and financial market participants. An overwhelming majority of 
witnesses expressed concerns that the compressed statutory 
deadlines and sheer volume of regulations mandated by Title VII 
were having a negative impact on the implementation process at 
the SEC and CFTC. The witnesses were concerned that the 
statutory deadlines forced the agencies to prioritize speed 
over deliberation, making it difficult for stakeholders to 
comment and calling into question the economic analysis 
associated with each proposed rule. Witnesses also expressed 
concerns that many of the SEC and CFTC's rule proposals exceed 
or conflict with congressional intent, are inconsistent with 
proposals from other regulatory agencies, and may be 
detrimental to U.S. businesses, financial markets, and the 
overall economy.
    The Dodd-Frank implementation deadlines are also out of 
step with the derivatives reform efforts taking place in the 
rest of the world. In September of 2009, the leaders of the G-
20 Nations agreed to implement certain over the counter (OTC) 
derivatives reforms by the end of December of 2012. Many of the 
witnesses at the hearings, along with a broad cross-section of 
industry and academic commentators, have cited concerns about 
the U.S. moving on a much faster timetable than the European 
Union (EU) or Asian regulators, creating the potential for 
regulatory arbitrage and negative consequences to the 
competitiveness of U.S. businesses. The expedited pace of 
rulemaking diminishes the opportunity for regulators to 
coordinate and harmonize international regulatory regimes, 
creates opportunities for regulatory arbitrage, and gives 
foreign countries a ``learn from our mistakes'' advantage. 
While it would not be possible or wise to tie the timing of our 
regulatory reforms to unpredictable deadlines of the EU and 
other jurisdictions, slowing the process down would enhance the 
opportunity for coordination and greater consistency among 
regulatory regimes.
    H.R. 1573 would give the regulatory agencies an additional 
15 months to promulgate most rules required by Title VII. A 
common concern, particularly among market participants, was 
that the sequence of rule proposals made it difficult for them 
to comment meaningfully. For example, one of the last rules 
proposed by the CFTC in its initial rulewriting phase was the 
definition of ``swap arguably the building block for the entire 
title. Thus, stakeholders were asked to comment on each rule 
prescribing a regulatory regime without clarification regarding 
the scope of the products impacted. In addition, the CFTC 
proposed rules to govern ``major swap participants'' and ``swap 
dealers'' before a rule had been proposed to actually define 
who qualifies as a major swap participant and swap dealer. To 
provide for a more rational sequence of rule proposals, H.R. 
1573 would not extend the deadline for the definitions required 
under Section 712(d)(1) to provide clarity to market 
participants about their regulatory status, and to facilitate 
constructive public comment on the succeeding rules prescribing 
the relevant regulatory requirements.
    H.R. 1573 also would not extend the deadline for the 
regulatory reporting requirements applicable to swaps and 
security-based swaps. This provision will ensure that 
transparency and reporting of all swap transactions is not 
delayed, thereby providing the regulatory agencies access to 
market data to monitor for systemic risk and to further inform 
the rulemaking process by providing swap market data that the 
agencies currently do not have. To facilitate the reporting of 
swap data and encourage further development of swap data 
repositories, H.R. 1573 would give the regulatory agencies 
interim authority to designate swap data repositories during 
the period in which the regulations governing swap data 
repositories are being finalized.
    The bill also would require the CFTC and the SEC to hold 
additional public roundtables and hearings to take testimony 
from affected market participants prior to the finalization of 
any rules. Providing stakeholders additional time to offer 
input will help to mitigate unintended consequences of poorly 
vetted proposals, and permit comment once all rules have been 
proposed and can be considered in light of their 
interdependence and cumulative impact on the markets.

                                Hearings

    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, U.S. 
Securities and Exchange Commission
     The Honorable Gary Gensler, Chairman, U.S. 
Commodity Futures Trading Commission
     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, 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)
     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 hearing entitled 
``Legislative Proposals to Promote Job Creation, Capital 
Formation, and Market Certainty.''
Witnesses included:
     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
     Mr. Damon Silvers, Policy Director and Special 
Counsel, AFL-CIO

                        Committee Consideration

    The Committee on Financial Services met in open session on 
May 24, 2011 and ordered H.R. 1573, To facilitate 
implementation of title VII of the Dodd-Frank Wall Street 
Reform and Consumer Protection Act, as amended, favorably 
reported to the House by a record vote of 30 yeas and 24 nays 
(Record vote no. FC-42).

                            Committee Votes

    Clause 3(b) of rule XIII of the Rules of the House of 
Representatives requires the Committee to list the record votes 
on the motion to report legislation and amendments thereto. A 
motion by Chairman Bachus to report the bill, as amended, to 
the House with a favorable recommendation was agreed to by a 
record vote of 30 yeas and 24 nays (Record vote no. FC-42). The 
names of Members voting for and against follow:

                                                                  RECORD VOTE NO. FC-42
--------------------------------------------------------------------------------------------------------------------------------------------------------
                 Representative                     Aye       Nay     Present             Representative                  Aye           Nay     Present
--------------------------------------------------------------------------------------------------------------------------------------------------------
Mr. Bachus.....................................        X   ........  .........  Mr. Frank (MA)....................  ...............        X   .........
Mr. Hensarling.................................        X   ........  .........  Ms. Waters........................  ...............        X   .........
Mr. King (NY)..................................  ........  ........  .........  Mrs. Maloney......................  ...............        X   .........
Mr. Royce......................................        X   ........  .........  Mr. Gutierrez.....................  ...............        X   .........
Mr. Lucas......................................        X   ........  .........  Ms. Velazquez.....................  ...............        X   .........
Mr. Paul.......................................        X   ........  .........  Mr. Watt..........................  ...............        X   .........
Mr. Manzullo...................................        X   ........  .........  Mr. Ackerman......................  ...............  ........  .........
Mr. Jones......................................  ........  ........  .........  Mr. Sherman.......................  ...............  ........  .........
Mrs. Biggert...................................        X   ........  .........  Mr. Meeks.........................  ...............        X   .........
Mr. Gary G. Miller (CA)........................        X   ........  .........  Mr. Capuano.......................  ...............        X   .........
Mrs. Capito....................................        X   ........  .........  Mr. Hinojosa......................  ...............        X   .........
Mr. Garrett....................................        X   ........  .........  Mr. Clay..........................  ...............        X   .........
Mr. Neugebauer.................................        X   ........  .........  Mrs. McCarthy (NY)................  ...............  ........  .........
Mr. McHenry....................................  ........  ........  .........  Mr. Baca..........................  ...............        X   .........
Mr. Campbell...................................        X   ........  .........  Mr. Lynch.........................  ...............        X   .........
Mrs. Bachmann..................................        X   ........  .........  Mr. Miller (NC)...................  ...............        X   .........
Mr. McCotter...................................        X   ........  .........  Mr. David Scott (GA)..............  ...............        X   .........
Mr. McCarthy (CA)..............................        X   ........  .........  Mr. Al Green (TX).................  ...............        X   .........
Mr. Pearce.....................................        X   ........  .........  Mr. Cleaver.......................  ...............        X   .........
Mr. Posey......................................        X   ........  .........  Ms. Moore.........................  ...............        X   .........
Mr. Fitzpatrick................................        X   ........  .........  Mr. Ellison.......................  ...............        X   .........
Mr. Westmoreland...............................        X   ........  .........  Mr. Perlmutter....................  ...............        X   .........
Mr. Luetkemeyer................................        X   ........  .........  Mr. Donnelly......................  ...............        X   .........
Mr. Huizenga...................................        X   ........  .........  Mr. Carson........................  ...............        X   .........
Mr. Duffy......................................        X   ........  .........  Mr. Himes.........................  ...............        X   .........
Ms. Hayworth...................................        X   ........  .........  Mr. Peters........................  ...............        X   .........
Mr. Renacci....................................        X   ........  .........  Mr. Carney........................  ...............        X   .........
Mr. Hurt.......................................        X   ........  .........
Mr. Dold.......................................  ........  ........  .........
Mr. Schweikert.................................        X   ........  .........
Mr. Grimm......................................        X   ........  .........
Mr. Canseco....................................        X   ........  .........
Mr. Stivers....................................        X   ........  .........
Mr. Fincher....................................        X   ........  .........
--------------------------------------------------------------------------------------------------------------------------------------------------------

    During consideration of H.R. 1573, the following amendments 
were considered:
    1. An amendment offered by Ms. Velazquez, no. 6, to require 
the CFTC and the SEC to invite small business and consumer 
protection advocates to roundtables and to expand the SEC's and 
CFTC's jurisdiction to evaluate the impact on small businesses 
and consumers of financial products caused by postponements of 
and exemptions from rules and regulations under title VII of 
the Dodd-Frank Act, was not agreed to by a record vote of 23 
yeas and 30 nays (Record vote no. FC-40).

                                              RECORD VOTE NO. FC-40
----------------------------------------------------------------------------------------------------------------
         Representative             Aye       Nay     Present     Representative      Aye       Nay     Present
----------------------------------------------------------------------------------------------------------------
Mr. Bachus.....................  ........        X   .........  Mr. Frank (MA)...        X   ........  .........
Mr. Hensarling.................  ........        X   .........  Ms. Waters.......        X   ........  .........
Mr. King (NY)..................  ........  ........  .........  Mrs. Maloney.....        X   ........  .........
Mr. Royce......................  ........        X   .........  Mr. Gutierrez....        X   ........  .........
Mr. Lucas......................  ........        X   .........  Ms. Velazquez....        X   ........  .........
Mr. Paul.......................  ........        X   .........  Mr. Watt.........        X   ........  .........
Mr. Manzullo...................  ........        X   .........  Mr. Ackerman.....  ........  ........  .........
Mr. Jones......................  ........  ........  .........  Mr. Sherman......  ........  ........  .........
Mrs. Biggert...................  ........        X   .........  Mr. Meeks........        X   ........  .........
Mr. Gary G. Miller (CA)........  ........        X   .........  Mr. Capuano......        X   ........  .........
Mrs. Capito....................  ........        X   .........  Mr. Hinojosa.....        X   ........  .........
Mr. Garrett....................  ........        X   .........  Mr. Clay.........        X   ........  .........
Mr. Neugebauer.................  ........        X   .........  Mrs. McCarthy      ........  ........
                                                                 (NY).
Mr. McHenry....................  ........  ........  .........  Mr. Baca.........        X   ........  .........
Mr. Campbell...................  ........        X   .........  Mr. Lynch........        X   ........  .........
Mrs. Bachmann..................  ........        X   .........  Mr. Miller (NC)..        X   ........  .........
Mr. McCotter...................  ........        X   .........  Mr. David Scott          X   ........  .........
                                                                 (GA).
Mr. McCarthy (CA)..............  ........        X   .........  Mr. Al Green (TX)        X   ........  .........
Mr. Pearce.....................  ........        X   .........  Mr. Cleaver......        X   ........  .........
Mr. Posey......................  ........        X   .........  Ms. Moore........  ........  ........  .........
Mr. Fitzpatrick................  ........        X   .........  Mr. Ellison......        X   ........  .........
Mr. Westmoreland...............  ........        X   .........  Mr. Perlmutter...        X   ........  .........
Mr. Luetkemeyer................  ........        X   .........  Mr. Donnelly.....        X   ........  .........
Mr. Huizenga...................  ........        X   .........  Mr. Carson.......        X   ........  .........
Mr. Duffy......................  ........        X   .........  Mr. Himes........        X   ........  .........
Ms. Hayworth...................  ........        X   .........  Mr. Peters.......        X   ........  .........
Mr. Renacci....................  ........        X   .........  Mr. Carney.......        X   ........  .........
Mr. Hurt.......................  ........        X   .........
Mr. Dold.......................  ........  ........
Mr. Schweikert.................  ........        X   .........
Mr. Grimm......................  ........        X   .........
Mr. Canseco....................  ........        X   .........
Mr. Stivers....................  ........        X   .........
Mr. Fincher....................  ........        X   .........
----------------------------------------------------------------------------------------------------------------

    2. An amendment offered by Ms. Velazquez, no. 7, to require 
the SEC and the CFTC to consider consumer protection and to 
provide notice and opportunity for comment when exercising 
their exemptive authorities, was not agreed to by a record vote 
of 24 yeas and 30 nays (Record vote no. 41).

                                              RECORD VOTE NO. FC-41
----------------------------------------------------------------------------------------------------------------
         Representative             Aye       Nay     Present     Representative      Aye       Nay     Present
----------------------------------------------------------------------------------------------------------------
Mr. Bachus.....................  ........        X   .........  Mr. Frank (MA)...        X   ........  .........
Mr. Hensarling.................  ........        X   .........  Ms. Waters.......        X   ........  .........
Mr. King (NY)..................  ........  ........  .........  Mrs. Maloney.....        X   ........  .........
Mr. Royce......................  ........        X   .........  Mr. Gutierrez....        X   ........  .........
Mr. Lucas......................  ........        X   .........  Ms. Velazquez....        X   ........  .........
Mr. Paul.......................  ........        X   .........  Mr. Watt.........        X   ........  .........
Mr. Manzullo...................  ........        X   .........  Mr. Ackerman.....  ........  ........  .........
Mr. Jones......................  ........  ........  .........  Mr. Sherman......  ........  ........  .........
Mrs. Biggert...................  ........        X   .........  Mr. Meeks........        X   ........  .........
Mr. Gary G. Miller (CA)........  ........        X   .........  Mr. Capuano......        X   ........  .........
Mrs. Capito....................  ........        X   .........  Mr. Hinojosa.....        X   ........  .........
Mr. Garrett....................  ........        X   .........  Mr. Clay.........        X   ........  .........
Mr. Neugebauer.................  ........        X   .........  Mrs. McCarthy      ........  ........  .........
                                                                 (NY).
Mr. McHenry....................  ........  ........  .........  Mr. Baca.........        X   ........  .........
Mr. Campbell...................  ........        X   .........  Mr. Lynch........        X   ........  .........
Mrs. Bachmann..................  ........        X   .........  Mr. Miller (NC)..        X   ........  .........
Mr. McCotter...................  ........        X   .........  Mr. David Scott          X   ........  .........
                                                                 (GA).
Mr. McCarthy (CA)..............  ........        X   .........  Mr. Al Green (TX)        X   ........  .........
Mr. Pearce.....................  ........        X   .........  Mr. Cleaver......        X   ........  .........
Mr. Posey......................  ........        X   .........  Ms. Moore........        X   ........  .........
Mr. Fitzpatrick................  ........        X   .........  Mr. Ellison......        X   ........  .........
Mr. Westmoreland...............  ........        X   .........  Mr. Perlmutter...        X   ........  .........
Mr. Luetkemeyer................  ........        X   .........  Mr. Donnelly.....        X   ........  .........
Mr. Huizenga...................  ........        X   .........  Mr. Carson.......        X   ........  .........
Mr. Duffy......................  ........        X   .........  Mr. Himes........        X   ........  .........
Ms. Hayworth...................  ........        X   .........  Mr. Peters.......        X   ........  .........
Mr. Renacci....................  ........        X   .........  Mr. Carney.......        X   ........  .........
Mr. Hurt.......................  ........        X   .........
Mr. Dold.......................  ........  ........  .........
Mr. Schweikert.................  ........        X   .........
Mr. Grimm......................  ........        X   .........
Mr. Canseco....................  ........        X   .........
Mr. Stivers....................  ........        X   .........
Mr. Fincher....................  ........        X   .........
----------------------------------------------------------------------------------------------------------------

    The following amendments and motion were also considered by 
the Committee:
    1. An amendment offered by Mr. Bachus, no. 1, to require 
SEC to promulgate rules to allow clearing of securities-based-
swaps within the original Dodd Frank Act timeline, was agreed 
to by voice vote.
    2. An amendment offered by Mr. Lynch, no. 2, to allow the 
CFTC and the SEC to address speculative trading and require 
them to report to Congress on the use of such authority, was 
agreed to by voice vote.
    3. An amendment offered by Mr. Garrett, no. 3, to change 
the effective date of title VII of the Dodd-Frank Act to 
September 30, 2012, was agreed to by voice vote.
    4. An amendment offered by Mr. Lynch, no. 4, to keep the 
effective date of Section 716 of the Dodd-Frank Act as July 21, 
2012, was agreed to by voice vote.
    5. An amendment offered by Mr. Lynch, no. 5, to limit the 
SEC and CFTC's exemptive authority as originally provided for 
in title VII of the Dodd-Frank Act, was agreed to by voice 
vote.
    6. A motion offered by Mr. Bachus to move the previous 
question on H.R. 1573, was agreed to by voice vote.

                      Committee Oversight Findings

    Pursuant to clause 3(c)(1) of rule XIII of the Rules of the 
House of Representatives, the Committee has held hearings and 
made findings that are reflected in this report.

                    Performance Goals and Objectives

    Pursuant to clause 3(c)(4) of rule XIII of the Rules of the 
House of Representatives, the Committee establishes the 
following performance related goals and objectives for this 
legislation:
    The purposes of H.R. 1573 is to: (1) extend the statutory 
deadline for the implementation of most provisions of Title VII 
of the Wall Street Reform and Consumer Protection Act (P.L. 
111-203) by 15 months, except the deadline for the CFTC and the 
SEC's authorities to issue final rules defining key terms, such 
as swap, security based swap, swap dealer, security-based swap 
dealer, major swap participant, major security-based swap 
participant and eligible contract participant; (2) extend the 
deadline for the reporting requirements in Sections 2(h)(5) and 
4r of the Commodity Exchange Act and Sections 3C(e) and 13A(a) 
of the Securities Exchange Act of 1934; (3) require the SEC to 
follow the original Dodd-Frank timeline to complete the rules 
to allow clearing of security-based swaps; (4) give the CFTC 
and the SEC interim authority to designate swap data 
repositories that meet certain criteria; (5) delay the use of 
any authority granted to the SEC and the CFTC to address 
speculative trading; (6) require the CFTC and SEC, prior to 
prescribing any final rules required under Title VII, to hold 
additional roundtables and public hearings to receive testimony 
and factor it into the rule proposals; and (7) give the CFTC 
and SEC authority to exempt certain persons under the authority 
established in Title VII of Dodd-Frank from registration or 
related regulatory requirements if they are subject to 
comparable regulation by a U.S. or foreign regulatory 
authority.

   New Budget Authority, Entitlement Authority, and Tax Expenditures

    In compliance with clause 3(c)(2) of rule XIII of the Rules 
of the House of Representatives, the Committee adopts as its 
own the estimate of new budget authority, entitlement 
authority, or tax expenditures or revenues contained in the 
cost estimate prepared by the Director of the Congressional 
Budget Office pursuant to section 402 of the Congressional 
Budget Act of 1974.

                        Committee Cost Estimate

    The Committee adopts as its own the cost estimate prepared 
by the Director of the Congressional Budget Office pursuant to 
section 402 of the Congressional Budget Act of 1974.

                 Congressional Budget Office Estimates

    Pursuant to clause 3(c)(3) of rule XIII of the Rules of the 
House of Representatives, the following is the cost estimate 
provided by the Congressional Budget Office pursuant to section 
402 of the Congressional Budget Act of 1974:

                                     U.S. Congress,
                               Congressional Budget Office,
                                      Washington, DC, May 26, 2011.
Hon. Spencer Bachus,
Chairman, Committee on Financial Services,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 1573, a bill to 
facilitate implementation of title VII of the Dodd-Frank Wall 
Street Reform and Consumer Protection Act, promote regulatory 
coordination, and avoid market disruption.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Susan Willie.
            Sincerely,
                                              Douglas W. Elmendorf.
    Enclosure.

H.R. 1573--A bill 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 would extend the effective date for certain 
regulations that are being developed by the Commodity Futures 
Trading Commission (CFTC) and the Securities and Exchange 
Commission (SEC); those regulations relate to entities that 
trade in, or assist in the trading of, financial instruments 
known as over-the-counter derivatives. The bill also would 
require the agencies to solicit comments from the public 
regarding implementation of proposed regulations and to 
consider that information when analyzing costs and benefits of 
the final regulations. Finally, the bill would authorize the 
agencies to exempt certain entities from regulation if those 
entities are subject to comparable requirements of another 
financial regulator in the United States or in the entity's 
home country.
    Based on information from the CFTC and the SEC, CBO 
estimates that implementing the provisions of H.R. 1573 would 
not significantly affect the staffing levels or spending of 
either agency. Enacting H.R. 1573 would not affect direct 
spending or revenues; therefore, pay-as-you-go procedures do 
not apply.
    H.R. 1573 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act and 
would impose no costs on state, local, or tribal governments.
    On May 11, 2011, CBO transmitted an estimate for H.R. 1573, 
as ordered reported by the House Committee on Agriculture on 
May 4, 2011. The bills have some differences but because those 
differences would not affect the agencies' implementation 
costs, the CBO cost estimates for both versions of H.R. 1573 
are the same.
    The CBO staff contact for this estimate is Susan Willie. 
The estimate was approved by Theresa Gullo, Deputy Assistant 
Director for Budget Analysis.

                       Federal Mandates Statement

    The Committee adopts as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act.

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act were created by this 
legislation.

                  Applicability to 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 the section 
102(b)(3) of the Congressional Accountability Act.

                         Earmark Identification

    H.R. 1573 does not contain any congressional earmarks, 
limited tax benefits, or limited tariff benefits as defined in 
clause 9 of rule XXI.

             Section-by-Section Analysis of the Legislation


Section 1. Effective dates

    This section would extend the statutory deadline for the 
implementation of certain provisions of Title VII of the Wall 
Street Reform and Consumer Protection Act (P.L. 111-203) to 
September 30, 2011. This section would not extend the deadline 
for the CFTC and the SEC to issue final rules further defining 
key terms in Section 712(d)(1) of the Title, including: swap, 
security based swap, swap dealer, security-based swap dealer, 
major swap participant, major security-based swap participant 
and eligible contract participant.
    This section also would not extend the deadline for the 
swap and security-based swap data reporting requirements in 
Sections 2(h)(5) and 4r of the Commodity Exchange Act and 
Sections 3C(e) and 13A(a) of the Securities Exchange Act of 
1934. To facilitate the reporting of swaps data, this section 
would give the CFTC and the SEC interim authority to designate 
swap data repositories that meet certain criteria. This section 
also would require the SEC to follow the original Dodd-Frank 
timeline to complete the rules to allow clearing of security-
based swaps. Finally, this section would not delay the use of 
any authority granted to the SEC and the CFTC to address 
speculative trading, and also provides that Section 716 of the 
Act will take effect on July 16, 2012.

Section 2. Implementation analysis

    This section would require the CFTC and the SEC to hold 
additional public roundtables and hearings to take testimony 
from affected market participants related to: (a) the time and 
resources that would be required to develop systems and 
infrastructure necessary to comply with any rules or 
regulations proposed; (b) any alternative approach to 
accomplish the rulemaking objectives; and (c) the time and 
resources that would be required to develop policies and 
procedures designed to comply with proposed rules and 
regulations prior to the finalization of any rules.

Section 3. Regulatory coordination

    This section would provide the CFTC and SEC with authority 
to exempt, in whole or in part, a person from the registration 
and related regulatory requirements that were added by Title 
VII of the Dodd-Frank Act if the CFTC and SEC determine that: 
the person is subject to comprehensive supervision under a 
comparable regulatory scheme in another country; adequate 
information-sharing arrangements are in effect between the 
agencies and foreign regulator; and that the exemption is 
consistent with the public interest.

         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 (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

       DODD-FRANK WALL STREET REFORM AND CONSUMER PROTECTION ACT




           *       *       *       *       *       *       *
TITLE VII--WALL STREET TRANSPARENCY AND ACCOUNTABILITY

           *       *       *       *       *       *       *


        Subtitle A--Regulation of Over-the-Counter Swaps Markets

PART I--REGULATORY AUTHORITY

           *       *       *       *       *       *       *


SEC. 712. REVIEW OF REGULATORY AUTHORITY.

  (a) * * *

           *       *       *       *       *       *       *

  [(f) Rules and Registration Before Final Effective Dates.--
Beginning on the date of enactment of this Act and 
notwithstanding the effective date of any provision of this 
Act, the Commodity Futures Trading Commission and the 
Securities and Exchange Commission may, in order to prepare for 
the effective dates of the provisions of this Act--
          [(1) promulgate rules, regulations, or orders 
        permitted or required by this Act;
          [(2) conduct studies and prepare reports and 
        recommendations required by this Act;
          [(3) register persons under the provisions of this 
        Act; and
          [(4) exempt persons, agreements, contracts, or 
        transactions from provisions of this Act, under the 
        terms contained in this Act,
provided, however, that no action by the Commodity Futures 
Trading Commission or the Securities and Exchange Commission 
described in paragraphs (1) through (4) shall become effective 
prior to the effective date applicable to such action under the 
provisions of this Act.]
  (f) Rules and Registration Before Final Effective Dates.--
          (1) In general.--Beginning on the date of enactment 
        of this Act and notwithstanding the effective date of 
        any provision of this Act, the Commodity Futures 
        Trading Commission and the Securities and Exchange 
        Commission may, in order to prepare for the effective 
        dates of the provisions of this Act--
                  (A) promulgate rules, regulations, or orders 
                permitted or required by this Act;
                  (B) conduct studies and prepare reports and 
                recommendations required by this Act;
                  (C) register persons under the provisions of 
                this Act; and
                  (D) exempt persons, agreements, contracts, or 
                transactions from provisions of this Act, under 
                the terms contained in this Act.
          (2) Effective date.--(A) Notwithstanding paragraph 
        (1), an action by the Commodity Futures Trading 
        Commission or the Securities and Exchange Commission 
        described in paragraph (1) shall not become effective 
        before the effective date applicable to the action 
        under this Act, except as provided in paragraph (3).
          (B) Notwithstanding any provision of this Act (other 
        than paragraph (3)), this title and the regulations 
        under this title shall become effective on the latest 
        of--
                  (i) September 30, 2012;
                  (ii) 90 days after the publication of the 
                relevant final rule or regulation in the 
                Federal Register or such later date as may be 
                specified in the final rule or regulation; or
                  (iii) the effective date otherwise applicable 
                to this title.
          (3) Exceptions.--
                  (A) Certain definitions.--Notwithstanding any 
                other provision of this Act, in order to assist 
                persons subject to this title in coming into 
                compliance with the provisions of this title on 
                a timely basis, the Commodity Futures Trading 
                Commission and the Securities and Exchange 
                Commission, in consultation with the Board of 
                Governors, shall adopt definitions further 
                defining the terms specified in subsection 
                (d)(1) not later than 360 days after the date 
                of the enactment of this Act. Such definitions 
                shall become effective 90 days after their 
                publication in the Federal Register.
                  (B) Regulatory reporting.--
                          (i) Swap data reporting.--Sections 
                        2(h)(5) and 4r of the Commodity 
                        Exchange Act and the rules and 
                        regulations of the Commodity Futures 
                        Trading Commission issued under such 
                        sections shall become effective on the 
                        later of--
                                  (I) 90 days after the 
                                publication of the relevant 
                                final rule or regulation in the 
                                Federal Register, or such later 
                                date as may be specified in the 
                                final rule or regulation; or
                                  (II) the effective date 
                                otherwise applicable to such 
                                sections.
                          (ii) Security-based swap data 
                        reporting.--Sections 3C(e) and 13A(a) 
                        of the Securities Exchange Act of 1934 
                        and the rules and regulations of the 
                        Securities and Exchange Commission 
                        issued under such sections shall become 
                        effective on the later of--
                                  (I) 90 days after the 
                                publication of the relevant 
                                final rule or regulation in the 
                                Federal Register, or such later 
                                date as may be specified in the 
                                rule or regulation; or
                                  (II) the effective date 
                                otherwise applicable to such 
                                sections.
                          (iii) Swap data repositories.--To 
                        facilitate compliance, before September 
                        30, 2012, with the regulatory reporting 
                        provisions of this section, the 
                        Commodity Futures Trading Commission 
                        and the Securities and Exchange 
                        Commission may authorize the reporting 
                        of swap data and security-based swap 
                        data to any person then conducting the 
                        business described in section 1a(48) of 
                        the Commodity Exchange Act (7 U.S.C. 
                        1a(48)) or section 3(a)(75) of the 
                        Securities Exchange Act of 1934 (15 
                        U.S.C. 78m), respectively, who has--
                                  (I) provided notice to the 
                                relevant Commission of its 
                                intention to register as a swap 
                                data repository or security-
                                based swap data repository, as 
                                applicable; and
                                  (II) made such undertakings 
                                to the relevant Commission as 
                                such Commission has determined 
                                to be appropriate and in the 
                                public interest, consistent 
                                with this title.
                  (C) Certain clearing provisions.--Section 3C 
                of the Securities Exchange Act of 1934 (15 
                U.S.C. 78c-3) (except for subsections (e) and 
                (h) of such section) and the rules and 
                regulations of the Securities and Exchange 
                Commission under such section shall take effect 
                on the date otherwise applicable to such 
                section.
                  (D) Authority relating to speculative 
                trading.--Notwithstanding any other provision 
                of this Act, this subsection shall not delay 
                the use of any authority granted to the 
                Securities and Exchange Commission and the 
                Commodity Futures Trading Commission to address 
                speculative trading, including the impact of 
                such trading on the markets, users, or 
                investors and consumers. The Commissions shall 
                report to the appropriate committees of 
                Congress on the use of such authority.
                  (E) Prohibition on federal bailouts.--
                Notwithstanding paragraph (2), section 716 of 
                this Act shall take effect on the date provided 
                for in such section.
  (g) Implementation Analysis.--Notwithstanding any other 
provision of this title, the Commodity Futures Trading 
Commission and the Securities and Exchange Commission shall, 
before prescribing final rules and regulations under this 
title--
          (1) conduct public hearings and roundtables and take 
        testimony of affected market participants, experts and 
        other interested parties, and solicit public comment, 
        regarding--
                  (A) the time and resources that would be 
                required of affected parties in order to 
                develop systems and infrastructure necessary to 
                comply with any rules and regulations proposed 
                or then contemplated by the relevant 
                Commission;
                  (B) any alternative approaches capable of 
                accomplishing the relevant Commission's 
                rulemaking objectives; and
                  (C) the time and resources that would be 
                required of affected parties in order to 
                develop policies and procedures designed to 
                comply with any rules and regulations proposed 
                or then contemplated by the relevant 
                Commission, and
          (2) take such testimony and comment into account in--
                  (A) performing the cost-benefit analysis 
                required under Federal law in connection with 
                its adoption of the relevant final rules and 
                regulations; and
                  (B) determining the effective date of the 
                relevant final rules and regulations.

           *       *       *       *       *       *       *

                              ----------                              


                         COMMODITY EXCHANGE ACT



           *       *       *       *       *       *       *
SEC. 2. JURISDICTION OF COMMISSION; LIABILITY OF PRINCIPAL FOR ACT OF 
                    AGENT; COMMODITY FUTURES TRADING COMMISSION; 
                    TRANSACTION IN INTERSTATE COMMERCE.

  (a) Jurisdiction of Commission; Commodity Futures Trading 
Commission.--
          (1) Jurisdiction of commission.--
                  (A) * * *

           *       *       *       *       *       *       *

                  (J)(i) Notwithstanding any other provision of 
                this Act, the Commission may exempt, in whole 
                or in part, a person from the registration and 
                related regulatory requirements of this Act 
                that were added by title VII of the Dodd-Frank 
                Wall Street Reform and Consumer Protection Act 
                if and to the extent that the Commission 
                determines that--
                          (I) the person is subject to 
                        comprehensive supervision and 
                        regulation under a regulatory scheme 
                        administered by another regulatory 
                        authority or the appropriate 
                        governmental authorities in the 
                        person's home country that is 
                        comparable to the relevant provisions 
                        of this Act,
                          (II) adequate information-sharing 
                        arrangements are in effect between the 
                        Commission and the other regulatory 
                        authority, and
                          (III) the exemption would be 
                        consistent with the public interest.
                  (ii) The Commission may condition any such 
                exemption on compliance with all or any part of 
                the alternate regulatory scheme, and on such 
                other terms as the Commission determines 
                appropriate, and may deem any noncompliance 
                with the alternate regulatory scheme or other 
                terms a violation of the corresponding 
                provisions of this Act.

           *       *       *       *       *       *       *

                              ----------                              


                    SECURITIES EXCHANGE ACT OF 1934

TITLE I--REGULATION OF SECURITIES EXCHANGES

           *       *       *       *       *       *       *


SEC. 4F. EXEMPTIVE AUTHORITY.

  (a) In General.--Notwithstanding any other provision of this 
Act, the Commission may exempt, in whole or in part, a person 
from the registration and related regulatory requirements of 
this Act that were added by title VII of the Dodd-Frank Wall 
Street Reform and Consumer Protection Act if and to the extent 
that the Commission determines that--
          (1) the person is subject to comprehensive 
        supervision and regulation under a regulatory scheme 
        administered by another regulatory authority or the 
        appropriate governmental authorities in the person's 
        home country that is comparable to the relevant 
        provisions of this Act;
          (2) adequate information-sharing arrangements are in 
        effect with the other regulatory authority; and
          (3) the exemption would be consistent with the 
        protection of investors.
  (b) Condition on Compliance.--The Commission may condition 
any such exemption on compliance with all or any part of the 
alternate regulatory scheme, and such other terms as the 
Commission determines appropriate, and may deem any 
noncompliance with the alternate regulatory scheme or other 
terms a violation of the corresponding provisions of this Act.

           *       *       *       *       *       *       *


                             MINORITY VIEWS

    H.R. 1573 is a first step in the Republican plan to re-
deregulate the financial practices that led to the economic 
crisis that began in 2008. And the effort begins with one of 
the areas where abuses were most widespread and damaging--
derivatives.
    H.R. 1573 does not merely ``give the agencies more time to 
adopt derivatives rules,'' it explicitly prevents the agencies 
from making any rules effective before October of 2012, almost 
two and a half years after enactment of financial reform 
legislation. Moving the effective date provided by the bill 
from December 31, 2012, to September 30, 2012, does not change 
that reality.
    Moreover, H.R. 1573 as introduced and as proposed by the 
Agriculture Committee also defers the effective date for the 
CFTC's expanded authority to establish position limits in 
derivatives related to the commodity markets. However, because 
of the efforts of Committee Democrats led by Congressman Lynch, 
and supported by Chairman Bachus, over the objection of most 
Committee Republicans, this was modified in Committee. However, 
we anticipate when this bill comes to the floor, leadership 
will push for the Agriculture Committee version, which would 
suspend the CFTC's pending efforts to deal with this issue. 
With prominent market participants and analysts estimating that 
speculative trading adds as much as $20 to $30 to the price of 
a barrel of oil, we do not have the luxury of waiting another 
year and half before the CFTC can adopt position limits that 
will cover all of the commodity derivatives markets in the 
energy sector.
    Both the CFTC and the SEC have a heavy task ahead of them 
in building a new system to regulate the swaps markets for the 
first time. This is particularly the case given the scant 
resources they have received as a result of Republican efforts 
to cut the budgets of both agencies. Time spent on bills of 
this sort takes scarce resources away from where they should be 
focused--establishing rules to help us avoid repeating the 
mistakes that led our economy to the brink of collapse and led 
to the deepest recession in seven decades.
                                   Barney Frank.
                                   Emanuel Cleaver.
                                   Keith Ellison.
                                   Luis V. Gutierrez.
                                   Wm. Lacy Clay.
                                   Ruben Hinojosa.
                                   Stephen F. Lynch.
                                   Ed Perlmutter.
                                   Joe Donnelly.
                                   Brad Miller.
                                   Gary L. Ackerman.
                                   Maxine Waters.
                                   Melvin L. Watt.
                                   Gary C. Peters.
                                   John C. Carney.
                                   Carolyn B. Maloney.
                                   Andre Carson.
                                   Michael E. Capuano.
                                   Carolyn McCarthy.
                                   Brad Sherman.
                                   Jim Himes.
                                   Gregory W. Meeks.

                                  
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