U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON : 

1 

45–925 

" ! HOUSE OF REPRESENTATIVES 110TH CONGRESS

2d Session 

REPORT

2009

110–929 

Union Calendar No. 602 

REPORT ON THE ACTIVITY 

OF THE

COMMITTEE ON FINANCIAL SERVICES 

FOR THE

ONE HUNDRED TENTH CONGRESS 

JANUARY 2, 2009.—Committed to the Committee of the Whole House on 

the State of the Union and ordered to be printed 


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LETTER OF TRANSMITTAL 

HOUSE OF REPRESENTATIVES, 

COMMITTEE ON FINANCIAL SERVICES, 

Washington, DC, January 2, 2009. 

Hon. LORRAINE MILLER, Clerk, 

House of Representatives, 

Washington, DC. 

DEAR MS. MILLER: Pursuant to clause 1(d) of rule XI of the Rules 

of the House of Representatives for the 110th Congress, I present 

herewith a report on the activity of the Committee on Financial 

Services for the 110th Congress, including the Committee’s review 

and study of legislation within its jurisdiction, and the oversight 

activities undertaken by the Committee. 

Sincerely, 

BARNEY FRANK, 

Chairman. 


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C O N T E N T S 

Page 

Letter of Transmittal ............................................................................................... III 

Jurisdiction ............................................................................................................... 1 

Rules of the Committee ........................................................................................... 4 

Membership and Organization ............................................................................... 16 

Legislative and Oversight Activities ...................................................................... 23 

Full Committee ........................................................................................................ 69 

Subcommittee on Capital Markets, Insurance, and Government Sponsored 

Enterprises ........................................................................................................... 88 

Subcommittee on Domestic and International Monetary Policy, Trade, and 

Technology ............................................................................................................ 101 

Subcommittee on Financial Institutions and Consumer Credit .......................... 108 

Subcommittee on Housing and Community Opportunity .................................... 115 

Subcommittee on Oversight and Investigations .................................................... 121 

Oversight Plan for the 110th Congress .................................................................. 129 

Implementation of the Oversight Plan for the 110th Congress ........................... 153 

Appendix I—Committee Legislation: Committee Reports and Public Laws ....... 191 

Appendix II—Committee Publications: Committee Hearings and Committee 

Prints ..................................................................................................................... 193


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Union Calendar No. 602 

110TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 2d Session 110–929 

REPORT ON THE ACTIVITY OF THE COMMITTEE ON 

FINANCIAL SERVICES FOR THE 110TH CONGRESS 

JANUARY 2, 2009.—Committed to the Committee of the Whole House on the 

Statement of the Union and ordered to be printed 

Mr. FRANK of Massachusetts, from the Committee on Financial 

Services, submitted the following 

R E P O R T 

Clause 1(d) of rule XI of the Rules of the House of Representatives for the 110th Congress requires that each standing committee, not later than January 2 of each odd-numbered year, submit to the House a report on the activities of that committee, including separate sections summarizing the legislative and oversight 

activities of that committee during that congress. 

JURISDICTION 

RULES OF THE HOUSE

Clause 1(g) of rule X of the Rules of the House of Representatives 

for the 110th Congress sets forth the jurisdiction of the Committee 

on Financial Services as follows— 

(1) Banks and banking, including deposit insurance and Federal 

monetary policy. 

(2) Economic stabilization, defense production, renegotiation, and 

control of the price of commodities, rents, and services. 

(3) Financial aid to commerce and industry (other than transportation). 

(4) Insurance generally. 

(5) International finance. 

(6) International financial and monetary organization. 

(7) Money and credit, including currency and the issuance of 

notes and redemption thereof; gold and silver, including the coinage thereof; valuation and revaluation of the dollar. 

(8) Public and private housing. 

(9) Securities and exchanges. 


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1The version of the memorandum printed in the January 20, 2001 Congressional Record contained a typographic error. A corrected version of the memorandum, which appears below, was 

printed in the January 30, 2001 edition of the Congressional Record. 

(10) Urban development. 

MEMORANDUM OF UNDERSTANDING

The Committee on Financial Services was established when the 

House agreed to H. Res. 5, establishing the Rules of the House of 

Representatives for the 107th Congress, on January 3, 2001. The 

jurisdiction of the Committee on Financial Services consists of the 

jurisdiction granted the Committee on Banking and Financial Services in the 106th Congress, along with jurisdiction over insurance 

generally and securities and exchanges, matters which had previously been within the jurisdiction of the Committee on Commerce 

in the 106th and previous congresses. On January 20, 2001,1 the 

Speaker inserted the following memorandum of understanding between the chairmen of the Committee on Financial Services and 

the Committee on Energy and Commerce further clarifying these 

jurisdictional changes— 

JANUARY 20, 2001

On January 3, 2001, the House agreed to H. Res. 5, establishing 

the rules of the House for the 107th Congress. Section 2(d) of H. 

Res. 5 contained a provision renaming the Banking Committee as 

the Financial Services Committee and transferring jurisdiction over 

securities and exchanges and insurance from the Commerce Committee to the Financial Services Committee. The Commerce Committee was also renamed the Energy and Commerce Committee. 

The Committee on Energy and Commerce and the Committee on 

Financial Services jointly acknowledge as the authoritative source 

of legislative history concerning section 2(d) of H. Res. 5 the following statement of Rules Committee Chairman David Dreier during floor consideration of the resolution: 

‘‘In what is obviously one of our most significant changes, Mr. 

Speaker, section 2(d) of the resolution establishes a new Committee 

on Financial Services, which will have jurisdiction over the following matters: 

‘‘(1) banks and banking, including deposit insurance and Federal 

monetary policy; 

‘‘(2) economic stabilization, defense production, renegotiation, and 

control of the price of commodities, rents, and services; 

‘‘(3) financial aid to commerce and industry (other than transportation); 

‘‘(4) insurance generally; 

‘‘(5) international finance; 

‘‘(6) international financial and monetary organizations; 

‘‘(7) money and credit, including currency and the issuance of 

notes and redemption thereof; gold and silver, including the coinage thereof; valuation and revaluation of the dollar; 

‘‘(8) public and private housing; 

‘‘(9) securities and exchanges; and 

‘‘(10) urban development. 

‘‘Mr. Speaker, jurisdiction over matters relating to securities and 

exchanges is transferred in its entirety from the Committee on 

Commerce, which will be redesignated under this rules change to 


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the Committee on Energy and Commerce, and it will now be transferred from the new Committee on Energy and Commerce to this 

new Committee on Financial Services. This transfer is not intended 

to convey to the Committee on Financial Services jurisdiction currently in the Committee on Agriculture regarding commodity exchanges. 

‘‘Furthermore, this change is not intended to convey to the Committee on Financial Services jurisdiction over matters relating to 

regulation and SEC oversight of multi-State public utility holding 

companies and their subsidiaries, which remain essentially matters 

of energy policy. 

‘‘Mr. Speaker, as a result of the transfer of jurisdiction over matters relating to securities and exchanges, redundant jurisdiction 

over matters relating to bank capital markets activities generally 

and depository institutions securities activities, which were formerly matters in the jurisdiction of the Committee on Banking and 

Financial Services, have been removed from clause 1 of rule X. 

‘‘Matters relating to insurance generally, formerly within the jurisdiction of the redesignated Committee on Energy and Commerce, 

are transferred to the jurisdiction of the Committee on Financial 

Services. 

‘‘The transfer of any jurisdiction to the Committee on Financial 

Services is not intended to limit the Committee on Energy and 

Commerce’s jurisdiction over consumer affairs and consumer protection matters. 

‘‘Likewise, existing health insurance jurisdiction is not transferred as a result of this change. 

‘‘Furthermore, the existing jurisdictions of other committees with 

respect to matters relating to crop insurance, Workers’ Compensation, insurance anti-trust matters, disaster insurance, veterans’ life 

and health insurance, and national social security policy are not affected by this change. 

‘‘Finally, Mr. Speaker, the changes and legislative history involving the Committee on Financial Services and the Committee on Energy and Commerce do not preclude future memorandum of understanding between the chairmen of these respective committees.’’ 

By this memorandum the two committees undertake to record 

their further mutual understandings in this matter, which will supplement the statement quoted above. 

It is agreed that the Committee on Energy and Commerce will 

retain jurisdiction over bills dealing broadly with electronic commerce, including electronic communications networks (ECNs). However, a bill amending the securities laws to address the specific 

type of electronic securities transaction currently governed by a 

special SEC regulation as an Alternative Trading System (ATS) 

would be referred to the Committee on Financial Services. 

While it is agreed that the jurisdiction of the Committee on Financial Services over securities and exchanges includes anti-fraud 

authorities under the securities laws, the Committee on Energy 

and Commerce will retain jurisdiction only over the issue of setting 

of accounting standards by the Financial Accounting Standards 

Board. 

W.J. ‘‘BILLY’’ TAUZIN, 

Chairman, Committee on 

Energy and Commerce, 


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MICHAEL G. OXLEY, 

Chairman, Committee on Financial Services 

However, on the opening day of the 109th Congress (January 4, 

2005), the following announcement was made by the Speaker: 

The SPEAKER. Based on discussions with the relevant committees, the further mutual understandings contained in the final two 

paragraphs of the ‘‘Memorandum of Understanding Between Energy and Commerce Committee and Financial Services Committee’’ 

dated January 30, 2001, shall no longer provide jurisdictional guidance. 

RULES OF THE COMMITTEE ON FINANCIAL SERVICES FOR 

THE ONE HUNDRED TENTH CONGRESS 

RULE 1 

GENERAL PROVISIONS

(a) The rules of the House are the rules of the Committee on Financial Services (hereinafter in these rules referred to as the ‘‘Committee’’) and its subcommittees so far as applicable, except that a 

motion to recess from day to day, and a motion to dispense with 

the first reading (in full) of a bill or resolution, if printed copies are 

available, are privileged motions in the Committee and shall be 

considered without debate. A proposed investigative or oversight 

report shall be considered as read if it has been available to the 

members of the Committee for at least 24 hours (excluding Saturdays, Sundays, or legal holidays except when the House is in session on such day). 

(b) Each subcommittee is a part of the Committee, and is subject 

to the authority and direction of the Committee and to its rules so 

far as applicable. 

(c) The provisions of clause 2 of rule XI of the Rules of the House 

are incorporated by reference as the rules of the Committee to the 

extent applicable. 

RULE 2 

MEETINGS

Calling of Meetings 

(a)(1) The Committee shall regularly meet on the first Tuesday 

of each month when the House is in session. 

(2) A regular meeting of the Committee may be dispensed with 

if, in the judgment of the Chairman of the Committee (hereinafter 

in these rules referred to as the ‘‘Chair’’), there is no need for the 

meeting. 

(3) Additional regular meetings and hearings of the Committee 

may be called by the Chair, in accordance with clause 2(g)(3) of 

rule XI of the rules of the House. 

(4) Special meetings shall be called and convened by the Chair 

as provided in clause 2(c)(2) of rule XI of the Rules of the House. 


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Notice for Meetings 

(b)(1) The Chair shall notify each member of the Committee of 

the agenda of each regular meeting of the Committee at least two 

calendar days before the time of the meeting. 

(2) The Chair shall provide to each member of the Committee, at 

least two calendar days before the time of each regular meeting for 

each measure or matter on the agenda a copy of— 

(A) the measure or materials relating to the matter in question; and 

(B) an explanation of the measure or matter to be considered, which, in the case of an explanation of a bill, resolution, 

or similar measure, shall include a summary of the major provisions of the legislation, an explanation of the relationship of 

the measure to present law, and a summary of the need for the 

legislation. 

(3) The agenda and materials required under this subsection 

shall be provided to each member of the Committee at least three 

calendar days before the time of the meeting where the measure 

or matter to be considered was not approved for full Committee 

consideration by a subcommittee of jurisdiction. 

(4) The provisions of this subsection may be waived by a twothirds vote of the Committee, or by the Chair with the concurrence 

of the ranking minority member. 

RULE 3 

MEETING AND HEARING PROCEDURES

In General 

(a)(1) Meetings and hearings of the Committee shall be called to 

order and presided over by the Chair or, in the Chair’s absence, by 

the member designated by the Chair as the Vice Chair of the Committee, or by the ranking majority member of the Committee 

present as Acting Chair. 

(2) Meetings and hearings of the committee shall be open to the 

public unless closed in accordance with clause 2(g) of rule XI of the 

Rules of the House. 

(3) Any meeting or hearing of the Committee that is open to the 

public shall be open to coverage by television broadcast, radio 

broadcast, and still photography in accordance with the provisions 

of clause 4 of rule XI of the Rules of the House (which are incorporated by reference as part of these rules). Operation and use of 

any Committee operated broadcast system shall be fair and nonpartisan and in accordance with clause 4(b) of rule XI and all other 

applicable rules of the Committee and the House. 

(4) Opening statements by members at the beginning of any 

hearing or meeting of the Committee shall be limited to 5 minutes 

each for the Chair or ranking minority member, or their respective 

designee, and 3 minutes each for all other members. (5) No person, 

other than a Member of Congress, Committee staff, or an employee 

of a Member when that Member has an amendment under consideration, may stand in or be seated at the rostrum area of the Committee rooms unless the Chair determines otherwise. 


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Quorum 

(b)(1) For the purpose of taking testimony and receiving evidence, two members of the Committee shall constitute a quorum. 

(2) A majority of the members of the Committee shall constitute 

a quorum for the purposes of reporting any measure or matter, of 

authorizing a subpoena, of closing a meeting or hearing pursuant 

to clause 2(g) of rule XI of the rules of the House (except as provided in clause 2(g)(2)(A) and (B)) or of releasing executive session 

material pursuant to clause 2(k)(7) of rule XI of the rules of the 

House. 

(3) For the purpose of taking any action other than those specified in paragraph (2) one-third of the members of the Committee 

shall constitute a quorum. 

Voting 

(c)(1) No vote may be conducted on any measure or matter pending before the Committee unless the requisite number of members 

of the Committee is actually present for such purpose. 

(2) A record vote of the Committee shall be provided on any question before the Committee upon the request of one-fifth of the 

members present. 

(3) No vote by any member of the Committee on any measure or 

matter may be cast by proxy. 

(4) In accordance with clause 2(e)(1)(B) of rule XI, a record of the 

vote of each member of the Committee on each record vote on any 

measure or matter before the Committee shall be available for public inspection at the offices of the Committee, and, with respect to 

any record vote on any motion to report or on any amendment, 

shall be included in the report of the Committee showing the total 

number of votes cast for and against and the names of those members voting for and against. 

(5) POSTPONED RECORD VOTES.— (A) Subject to subparagraph (B), the Chairman may postpone 

further proceedings when a record vote is ordered on the question of approving any measure or matter or adopting an 

amendment. The Chairman may resume proceedings on a postponed request at any time, but no later than the next meeting 

day. 

(B) In exercising postponement authority under subparagraph (A), the Chairman shall take all reasonable steps necessary to notify members on the resumption of proceedings on 

any postponed record vote; 

(C) When proceedings resume on a postponed question, notwithstanding any intervening order for the previous question, 

an underlying proposition shall remain subject to further debate or amendment to the same extent as when the question 

was postponed. 

Hearing Procedures 

(d)(1)(A) The Chair shall make public announcement of the date, 

place, and subject matter of any committee hearing at least one 

week before the commencement of the hearing, unless the Chair, 

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of business, determines there is good cause to begin the hearing 

sooner, in which case the Chair shall make the announcement at 

the earliest possible date. 

(B) Not less than three days before the commencement of a hearing announced under this paragraph, the Chair shall provide to the 

members of the Committee a concise summary of the subject of the 

hearing, or, in the case of a hearing on a measure or matter, a copy 

of the measure or materials relating to the matter in question and 

a concise explanation of the measure or matter to be considered. 

(2) To the greatest extent practicable— 

(A) each witness who is to appear before the Committee shall 

file with the Committee two business days in advance of the 

appearance sufficient copies (including a copy in electronic 

form), as determined by the Chair, of a written statement of 

proposed testimony and shall limit the oral presentation to the 

Committee to brief summary thereof; and 

(B) each witness appearing in a non-governmental capacity 

shall include with the written statement of proposed testimony 

a curriculum vitae and a disclosure of the amount and source 

(by agency and program) of any Federal grant (or subgrant 

thereof) or contract (or subcontract thereof) received during the 

current fiscal year or either of the two preceding fiscal years. 

(3) The requirements of paragraph (2)(A) may be modified or 

waived by the Chair when the Chair determines it to be in the best 

interest of the Committee. 

(4) The five-minute rule shall be observed in the interrogation of 

witnesses before the Committee until each member of the Committee has had an opportunity to question the witnesses. No member shall be recognized for a second period of five minutes to interrogate witnesses until each member of the Committee present has 

been recognized once for that purpose. 

(5) Whenever any hearing is conducted by the Committee on any 

measure or matter, the minority party members of the Committee 

shall be entitled, upon the request of a majority of them before the 

completion of the hearing, to call witnesses with respect to that 

measure or matter during at least one day of hearing thereon. 

Subpoenas and Oaths 

(e)(1) Pursuant to clause 2(m) of rule XI of the Rules of the 

House, a subpoena may be authorized and issued by the Committee 

or a subcommittee in the conduct of any investigation or series of 

investigations or activities, only when authorized by a majority of 

the members voting, a majority being present, or pursuant to paragraph (2). 

(2) The Chair, with the concurrence of the ranking minority 

member, may authorize and issue subpoenas under such clause 

during any period for which the House has adjourned for a period 

in excess of 3 days when, in the opinion of the Chair, authorization 

and issuance of the subpoena is necessary to obtain the material 

or testimony set forth in the subpoena. The Chair shall report to 

the members of the Committee on the authorization and issuance 

of a subpoena during the recess period as soon as practicable, but 

in no event later than one week after service of such subpoena. 


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(3) Authorized subpoenas shall be signed by the Chair or by any 

member designated by the Committee, and may be served by any 

person designated by the Chair or such member. 

(4) The Chair, or any member of the Committee designated by 

the Chair, may administer oaths to witnesses before the Committee. 

Special Procedures 

(f)(1)(A) COMMEMORATIVE MEDALS AND COINS.—It shall not be in 

order for the Subcommittee on Domestic and International Monetary Policy, Trade, and Technology to hold a hearing on any commemorative medal or commemorative coin legislation unless the 

legislation is cosponsored by at least two-thirds of the members of 

the House. 

(B) It shall not be in order for the subcommittee to approve a bill 

or measure authorizing commemorative coins for consideration by 

the full Committee which does not conform with the mintage restrictions established by section 5112 of title 31, United States 

Code. 

(C) In considering legislation authorizing Congressional gold 

medals, the subcommittee shall apply the following standards— 

(i) the recipient shall be a natural person; 

(ii) the recipient shall have performed an achievement that 

has an impact on American history and culture that is likely 

to be recognized as a major achievement in the recipient’s field 

long after the achievement; 

(iii) the recipient shall not have received a medal previously 

for the same or substantially the same achievement; 

(iv) the recipient shall be living or, if deceased, shall have 

been deceased for not less than 5 years and not more than 25 

years; 

(v) the achievements were performed in the recipient’s field 

of endeavor, and represent either a lifetime of continuous superior achievements or a single achievement so significant that 

the recipient is recognized and acclaimed by others in the same 

field, as evidenced by the recipient having received the highest 

honors in the field. 

(2) TESTIMONY OF CERTAIN OFFICIALS.— (A) Notwithstanding subsection (a)(4), when the Chair announces a hearing of the Committee for the purpose of receiving— 

(i) testimony from the Chairman of the Federal Reserve 

Board pursuant to section 2B of the Federal Reserve Act 

(12 U.S.C. 221 et seq.), or 

(ii) testimony from the Chairman of the Federal Reserve 

Board or a member of the President’s cabinet at the invitation of the Chair, the Chair may, in consultation with the 

ranking minority member, limit the number and duration 

of opening statements to be delivered at such hearing. The 

limitation shall be included in the announcement made 

pursuant to subsection (d)(1)(A), and shall provide that the 

opening statements of all members of the Committee shall 

be made a part of the hearing record. 

(B) Notwithstanding subsection (a)(4), at any hearing of the 

Committee for the purpose of receiving testimony (other than 


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testimony described in clause (i) or (ii) of subparagraph (A)), 

the Chair may, in consultation with the ranking minority 

member, limit the duration of opening statements to ten minutes, to be divided between the Chair and Chair of the pertinent subcommittee, or the Chair’s designee, and ten minutes, 

to be controlled by the ranking minority member, or his designee. Following such time, the duration for opening statements may be extended by either the Chair or ranking minority member for an additional ten minutes each, to be divided 

at the discretion of the Chair or ranking minority member. The 

Chair shall provide that the opening statements for all members of the Committee shall be made a part of the hearing 

record. 

(C) At any hearing of a subcommittee, the Chair of the subcommittee may, in consultation with the ranking minority 

member of the subcommittee, limit the duration of opening 

statements to ten minutes, to be divided between the majority 

and minority. Following such time, the duration for opening 

statements may be extended by either the Chair of the subcommittee or ranking minority member of the subcommittee 

for an additional ten minutes each, to be divided at the discretion of the Chair of the subcommittee or ranking minority 

member of the subcommittee. The Chair of the subcommittee 

shall ensure that opening statements for all members be made 

part of the hearing record. 

(D) If the Chair and ranking minority member acting jointly 

determine that extraordinary circumstances exist necessitating 

allowing members to make opening statements, subparagraphs 

(B) or (C), as the case may be, shall not apply to such hearing. 

RULE 4 

PROCEDURES FOR REPORTING MEASURES OR MATTERS

(a) No measure or matter shall be reported from the Committee 

unless a majority of the Committee is actually present. 

(b) The Chair of the Committee shall report or cause to be reported promptly to the House any measure approved by the Committee and take necessary steps to bring a matter to a vote. 

(c) The report of the Committee on a measure which has been approved by the Committee shall be filed within seven calendar days 

(exclusive of days on which the House is not in session) after the 

day on which there has been filed with the clerk of the Committee 

a written request, signed by a majority of the members of the Committee, for the reporting of that measure pursuant to the provisions 

of clause 2(b)(2) of rule XIII of the Rules of the House. 

(d) All reports printed by the Committee pursuant to a legislative 

study or investigation and not approved by a majority vote of the 

Committee shall contain the following disclaimer on the cover of 

such report: ’’This report has not been officially adopted by the 

Committee on Financial Services and may not necessarily reflect 

the views of its Members.’’ 

(e) The Chair is directed to offer a motion under clause 1 of rule 

XXII of the Rules of the House whenever the Chair considers it appropriate. 


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RULE 5 

SUBCOMMITTEES

Establishment and Responsibilities of Subcommittees 

(a)(1) There shall be 5 subcommittees of the Committee as follows: 

(A) SUBCOMMITTEE ON CAPITAL MARKETS, INSURANCE, AND

GOVERNMENT SPONSORED ENTERPRISES.—The jurisdiction of 

the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises includes— 

(i) securities, exchanges, and finance; 

(ii) capital markets activities, including business capital 

formation and venture capital; 

(iii) activities involving futures, forwards, options, and 

other types of derivative instruments; 

(iv) the Securities and Exchange Commission; 

(v) secondary market organizations for home mortgages, 

including the Federal National Mortgage Association, the 

Federal Home Loan Mortgage Corporation, and the Federal Agricultural Mortgage Corporation; 

(vi) the Office of Federal Housing Enterprise Oversight; 

(vii) the Federal Home Loan Banks; 

(viii) the Federal Housing Finance Board; 

(ix) terrorism risk insurance; and 

(x) insurance generally. 

(B) SUBCOMMITTEE ON DOMESTIC AND INTERNATIONAL MONETARY POLICY, TRADE, AND TECHNOLOGY.—The jurisdiction of 

the Subcommittee on Domestic and International Monetary 

Policy, Trade, and Technology includes— 

(i) financial aid to all sectors and elements within the 

economy; 

(ii) economic growth and stabilization; 

(iii) defense production matters as contained in the Defense Production Act of 1950, as amended; 

(iv) domestic monetary policy, and agencies which directly or indirectly affect domestic monetary policy, including the effect of such policy and other financial actions on 

interest rates, the allocation of credit, and the structure 

and functioning of domestic financial institutions; 

(v) coins, coinage, currency, and medals, including commemorative coins and medals, proof and mint sets and 

other special coins, the Coinage Act of 1965, gold and silver, including the coinage thereof (but not the par value of 

gold), gold medals, counterfeiting, currency denominations 

and design, the distribution of coins, and the operations of 

the Bureau of the Mint and the Bureau of Engraving and 

Printing; 

(vi) development of new or alternative forms of currency; 

(viii) multilateral development lending institutions, including activities of the National Advisory Council on International Monetary and Financial Policies as related thereto, and monetary and financial developments as they relate to the activities and objectives of such institutions; 


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(viii) international trade, including but not limited to the 

activities of the Export-Import Bank; 

(ix) the International Monetary Fund, its permanent and 

temporary agencies, and all matters related thereto; and 

(x) international investment policies, both as they relate 

to United States investments for trade purposes by citizens 

of the United States and investments made by all foreign 

entities in the United States. 

(C) SUBCOMMITTEE ON FINANCIAL INSTITUTIONS AND CON- SUMER CREDIT.—The jurisdiction of the Subcommittee on Financial Institutions and Consumer Credit includes— 

(i) all agencies, including the Office of the Comptroller of 

the Currency, the Federal Deposit Insurance Corporation, 

the Board of Governors of the Federal Reserve System and 

the Federal Reserve System, the Office of Thrift Supervision, and the National Credit Union Administration, 

which directly or indirectly exercise supervisory or regulatory authority in connection with, or provide deposit insurance for, financial institutions, and the establishment 

of interest rate ceilings on deposits; 

(ii) the chartering, branching, merger, acquisition, consolidation, or conversion of financial institutions; 

(iii) consumer credit, including the provision of consumer 

credit by insurance companies, and further including those 

matters in the Consumer Credit Protection Act dealing 

with truth in lending, extortionate credit transactions, restrictions on garnishments, fair credit reporting and the 

use of credit information by credit bureaus and credit providers, equal credit opportunity, debt collection practices, 

and electronic funds transfers; 

(iv) creditor remedies and debtor defenses, Federal aspects of the Uniform Consumer Credit Code, credit and 

debit cards, and the preemption of State usury laws; 

(v) consumer access to financial services, including the 

Home Mortgage Disclosure Act and the Community Reinvestment Act; 

(vi) the terms and rules of disclosure of financial services, including the advertisement, promotion and pricing of 

financial services, and availability of government check 

cashing services; 

(vii) deposit insurance; and 

(viii) consumer access to savings accounts and checking 

accounts in financial institutions, including lifeline banking and other consumer accounts. 

(D) SUBCOMMITTEE ON HOUSING AND COMMUNITY OPPORTUNITY.—The jurisdiction of the Subcommittee on Housing and 

Community Opportunity includes— 

(i) housing (except programs administered by the Department of Veterans Affairs), including mortgage and 

loan insurance pursuant to the National Housing Act; 

rural housing; housing and homeless assistance programs; 

all activities of the Government National Mortgage Association; private mortgage insurance; housing construction 

and design and safety standards; housing-related energy 

conservation; housing research and demonstration proVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00017 Fmt 6659 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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grams; financial and technical assistance for nonprofit 

housing sponsors; housing counseling and technical assistance; regulation of the housing industry (including landlord/tenant relations); and real estate lending including 

regulation of settlement procedures; 

(ii) community development and community and neighborhood planning, training and research; national urban 

growth policies; urban/rural research and technologies; and 

regulation of interstate land sales; 

(iii) government sponsored insurance programs, including those offering protection against crime, fire, flood (and 

related land use controls), earthquake and other natural 

hazards, but not including terrorism risk insurance; and 

(iv) the qualifications for and designation of Empowerment Zones and Enterprise Communities (other than matters relating to tax benefits). 

(E) SUBCOMMITTEE ON OVERSIGHT AND INVESTIGATIONS.— 

The jurisdiction of the Subcommittee on Oversight and Investigations includes— 

(i) the oversight of all agencies, departments, programs, 

and matters within the jurisdiction of the Committee, including the development of recommendations with regard 

to the necessity or desirability of enacting, changing, or repealing any legislation within the jurisdiction of the Committee, and for conducting investigations within such jurisdiction; and 

(ii) research and analysis regarding matters within the 

jurisdiction of the Committee, including the impact or 

probable impact of tax policies affecting matters within the 

jurisdiction of the Committee. 

(2) In addition, each such subcommittee shall have specific responsibility for such other measures or matters as the Chair refers 

to it. 

(3) Each subcommittee of the Committee shall review and study, 

on a continuing basis, the application, administration, execution, 

and effectiveness of those laws, or parts of laws, the subject matter 

of which is within its general responsibility. 

Referral of Measures and Matters to Subcommittees 

(b)(1) The Chair shall regularly refer to one or more subcommittees such measures and matters as the Chair deems appropriate 

given its jurisdiction and responsibilities. In making such a referral, the Chair may designate a subcommittee of primary jurisdiction and subcommittees of additional or sequential jurisdiction. 

(2) All other measures or matters shall be subject to consideration by the full Committee. 

(3) In referring any measure or matter to a subcommittee, the 

Chair may specify a date by which the subcommittee shall report 

thereon to the Committee. 

(4) The Committee by motion may discharge a subcommittee 

from consideration of any measure or matter referred to a subcommittee of the Committee. 


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Composition of Subcommittees 

(c)(1) Members shall be elected to each subcommittee and to the 

positions of chair and ranking minority member thereof, in accordance with the rules of the respective party caucuses. The Chair of 

the Committee shall designate a member of the majority party on 

each subcommittee as its vice chair. 

(2) The Chair and ranking minority member of the Committee 

shall be ex officio members with voting privileges of each subcommittee of which they are not assigned as members and may be 

counted for purposes of establishing a quorum in such subcommittees. 

(3) The subcommittees shall be comprised as follows: 

(A) The Subcommittee on Capital Markets, Insurance, and 

Government Sponsored Enterprises shall be comprised of 49 

members, 26 elected by the majority caucus and 23 elected by 

the minority caucus. 

(B) The Subcommittee on Domestic and International Monetary Policy, Trade, and Technology shall be comprised of 26 

members, 14 elected by the majority caucus and 12 elected by 

the minority caucus. 

(C) The Subcommittee on Financial Institutions and Consumer Credit shall be comprised of 47 members, 25 elected by 

the majority caucus and 22 elected by the minority caucus. 

(D) The Subcommittee on Housing and Community Opportunity shall be comprised of 26 members, 14 elected by the majority caucus and 12 elected by the minority caucus. 

(E) The Subcommittee on Oversight and Investigations shall 

be comprised of 20 members, 11 elected by the majority caucus 

and 9 elected by the minority caucus. 

Subcommittee Meetings and Hearings 

(d)(1) Each subcommittee of the Committee is authorized to 

meet, hold hearings, receive testimony, mark up legislation, and report to the full Committee on any measure or matter referred to 

it, consistent with subsection (a). 

(2) No subcommittee of the Committee may meet or hold a hearing at the same time as a meeting or hearing of the Committee. 

(3) The chair of each subcommittee shall set hearing and meeting 

dates only with the approval of the Chair with a view toward assuring the availability of meeting rooms and avoiding simultaneous 

scheduling of Committee and subcommittee meetings or hearings. 

Effect of a Vacancy 

(e) Any vacancy in the membership of a subcommittee shall not 

affect the power of the remaining members to execute the functions 

of the subcommittee as long as the required quorum is present. 

Records 

(f) Each subcommittee of the Committee shall provide the full 

Committee with copies of such records of votes taken in the subcommittee and such other records with respect to the subcommittee 

as the Chair deems necessary for the Committee to comply with all 

rules and regulations of the House. 


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RULE 6 

STAFF

In General 

(a)(1) Except as provided in paragraph (2), the professional and 

other staff of the Committee shall be appointed, and may be removed by the Chair, and shall work under the general supervision 

and direction of the Chair. 

(2) All professional and other staff provided to the minority party 

members of the Committee shall be appointed, and may be removed, by the ranking minority member of the Committee, and 

shall work under the general supervision and direction of such 

member. 

(3) It is intended that the skills and experience of all members 

of the Committee staff be available to all members of the Committee. 

Subcommittee Staff 

(b) From funds made available for the appointment of staff, the 

Chair of the Committee shall, pursuant to clause 6(d) of rule X of 

the Rules of the House, ensure that sufficient staff is made available so that each subcommittee can carry out its responsibilities 

under the rules of the Committee and that the minority party is 

treated fairly in the appointment of such staff. 

Compensation of Staff 

(c)(1) Except as provided in paragraph (2), the Chair shall fix the 

compensation of all professional and other staff of the Committee. 

(2) The ranking minority member shall fix the compensation of all 

professional and other staff provided to the minority party members of the Committee. 

RULE 7 

BUDGET AND TRAVEL

Budget 

(a)(1) The Chair, in consultation with other members of the Committee, shall prepare for each Congress a budget providing 

amounts for staff, necessary travel, investigation, and other expenses of the Committee and its subcommittees. 

(2) From the amount provided to the Committee in the primary 

expense resolution adopted by the House of Representatives, the 

Chair, after consultation with the ranking minority member, shall 

designate an amount to be under the direction of the ranking minority member for the compensation of the minority staff, travel expenses of minority members and staff, and minority office expenses. All expenses of minority members and staff shall be paid 

for out of the amount so set aside. 

Travel 

(b)(1) The Chair may authorize travel for any member and any 

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ject matters under the general jurisdiction of the Committee. Before such authorization is granted, there shall be submitted to the 

Chair in writing the following: 

(A) The purpose of the travel. 

(B) The dates during which the travel is to occur. 

(C) The names of the States or countries to be visited and 

the length of time to be spent in each. 

(D) The names of members and staff of the Committee for 

whom the authorization is sought. 

(2) Members and staff of the Committee shall make a written report to the Chair on any travel they have conducted under this 

subsection, including a description of their itinerary, expenses, and 

activities, and of pertinent information gained as a result of such 

travel. 

(3) Members and staff of the Committee performing authorized 

travel on official business shall be governed by applicable laws, resolutions, and regulations of the House and of the Committee on 

House Administration. 

RULE 8 

COMMITTEE ADMINISTRATION

Records 

(a)(1) There shall be a transcript made of each regular meeting 

and hearing of the Committee, and the transcript may be printed 

if the Chair decides it is appropriate or if a majority of the members of the Committee requests such printing. Any such transcripts 

shall be a substantially verbatim account of remarks actually made 

during the proceedings, subject only to technical, grammatical, and 

typographical corrections authorized by the person making the remarks. Nothing in this paragraph shall be construed to require 

that all such transcripts be subject to correction and publication. 

(2) The Committee shall keep a record of all actions of the Committee and of its subcommittees. The record shall contain all information required by clause 2(e)(1) of rule XI of the Rules of the 

House and shall be available for public inspection at reasonable 

times in the offices of the Committee. 

(3) All Committee hearings, records, data, charts, and files shall 

be kept separate and distinct from the congressional office records 

of the Chair, shall be the property of the House, and all Members 

of the House shall have access thereto as provided in clause 2(e)(2) 

of rule XI of the Rules of the House. 

(4) The records of the Committee at the National Archives and 

Records Administration shall be made available for public use in 

accordance with rule VII of the Rules of the House of Representatives. The Chair shall notify the ranking minority member of any 

decision, pursuant to clause 3(b)(3) or clause 4(b) of the rule, to 

withhold a record otherwise available, and the matter shall be presented to the Committee for a determination on written request of 

any member of the Committee. 

Committee Publications on the Internet 

(b) To the maximum extent feasible, the Committee shall make 

its publications available in electronic form. 


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MEMBERSHIP AND ORGANIZATION OF THE COMMITTEE ON 

FINANCIAL SERVICES 

ONE HUNDRED TENTH CONGRESS

COMMITTEE ON FINANCIAL SERVICES 

(Ratio: 37–33) 

BARNEY FRANK, Massachusetts, Chairman 

PAUL E. KANJORSKI, Pennsylvania 

MAXINE WATERS, California 

CAROLYN B. MALONEY, New York 

LUIS V. GUTIERREZ, Illinois 

NYDIA M. VELA ́ ZQUEZ, New York 

MELVIN L. WATT, North Carolina 

GARY L. ACKERMAN, New York 

BRAD SHERMAN, California 

GREGORY W. MEEKS, New York 

DENNIS MOORE, Kansas 

MICHAEL E. CAPUANO, Massachusetts 

RUBE ́ N HINOJOSA, Texas 

WM. LACY CLAY, Missouri 

CAROLYN MCCARTHY, New York 

JOE BACA, California 

STEPHEN F. LYNCH, Massachusetts 

BRAD MILLER, North Carolina 

DAVID SCOTT, Georgia 

AL GREEN, Texas 

EMANUEL CLEAVER, Missouri 

MELISSA L. BEAN, Illinois 

GWEN MOORE, Wisconsin 

LINCOLN DAVIS, Tennessee 

PAUL W. HODES, New Hampshire 

KEITH ELLISON, Minnesota 

RON KLEIN, Florida 

TIM MAHONEY, Florida 

CHARLES A. WILSON, Ohio 

ED PERLMUTTER, Colorado 

CHRISTOPHER S. MURPHY, Connecticut 

JOE DONNELLY, Indiana 

BILL FOSTER, Illinois 1

ANDRE CARSON, Indiana 2

JACKIE SPEIER, California 3

DON CAZAYOUX, Louisiana 3

TRAVIS CHILDERS, Mississippi 3

SPENCER BACHUS, Alabama 

DEBORAH PRYCE, Ohio 

MICHAEL N. CASTLE, Delaware 

PETER KING, New York 

EDWARD R. ROYCE, California 

FRANK D. LUCAS, Oklahoma 

RON PAUL, Texas 

STEVEN C. LATOURETTE, Ohio 

DONALD A. MANZULLO, Illinois 

WALTER B. JONES, JR., North Carolina 

JUDY BIGGERT, Illinois 

CHRISTOPHER SHAYS, Connecticut 

GARY G. MILLER, California 

SHELLEY MOORE CAPITO, West Virginia 

TOM FEENEY, Florida 

JEB HENSARLING, Texas 

SCOTT GARRETT, New Jersey 

GINNY BROWN-WAITE, Florida 

J. GRESHAM BARRETT, South Carolina 

JIM GERLACH, Pennsylvania 

STEVAN PEARCE, New Mexico 

RANDY NEUGEBAUER, Texas 

TOM PRICE, Georgia 

GEOFF DAVIS, Kentucky 

PATRICK T. MCHENRY, North Carolina 

JOHN CAMPBELL, California 

ADAM H. PUTNAM, Florida 

MICHELE BACHMANN, Minnesota 

PETER J. ROSKAM, Illinois 

KENNY MARCHANT, Texas 4

THADDEUS MCCOTTER, Michigan 5

KEVIN MCCARTHY, California 6

DEAN HELLER, Nevada 7


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SUBCOMMITTEE MEMBERSHIPS 

SUBCOMMITTEE ON CAPITAL MARKETS, INSURANCE, AND GOVERNMENT SPONSORED

ENTERPRISES

(Ratio: 26–23) 

PAUL E. KANJORSKI, Pennsylvania, Chairman 

GARY L. ACKERMAN, New York 

BRAD SHERMAN, California 

GREGORY W. MEEKS, New York 

DENNIS MOORE, Kansas 

MICHAEL E. CAPUANO, Massachusetts 

RUBE ́ N HINOJOSA, Texas 

CAROLYN MCCARTHY, New York 

JOE BACA, California 

STEPHEN F. LYNCH, Massachusetts 

BRAD MILLER, North Carolina 

DAVID SCOTT, Georgia 

NYDIA M. VELAZQUEZ, New York 

MELISSA L. BEAN, Illinois 

GWEN MOORE, Wisconsin 

LINCOLN DAVIS, Tennessee 

PAUL W. HODES, New Hampshire 

RON KLEIN, Florida 

TIM MAHONEY, Florida 

ED PERLMUTTER, Colorado 

CHRISTOPHER S. MURPHY, Connecticut 

JOE DONNELLY, Indiana 

ANDRE CARSON, Indiana 

JACKIE SPEIER, California 

DON CAZAYOUX, Louisiana 

TRAVIS CHILDERS, Mississippi 

BARNEY FRANK, Massachusetts, ex officio 

DEBORAH PRYCE, Ohio 

JEB HENSARLING, Texas 

CHRISTOPHER SHAYS, Connecticut 

MICHAEL N. CASTLE, Delaware 

PETER KING, New York 

FRANK. D. LUCAS, Oklahoma 

DONALD A. MANZULLO, Illinois 

EDWARD R. ROYCE, California 

STEVEN C. LATOURETTE, Ohio 

SHELLEY MOORE CAPITO, West Virginia 

ADAM PUTNAM, Florida 

J. GRESHAM BARRETT, South Carolina 

GINNY BROWN-WAITE, Florida 

TOM FEENEY, Florida 

SCOTT GARRETT, New Jersey 

JIM GERLACH, Pennsylvania 

TOM PRICE, Georgia 

GEOFF DAVIS, Kentucky 

JOHN CAMPBELL, California 

MICHELE BACHMANN, Minnesota 

PETER J. ROSKAM, Illinois 

KENNY MARCHANT, Texas 

THADDEUS MCCOTTER, Michigan 

SPENCER BACHUS, Alabama, ex officio 


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SUBCOMMITTEE ON DOMESTIC AND INTERNATIONAL MONETARY POLICY, TRADE, AND

TECHNOLOGY

(Ratio: 14–12) 

LUIS V. GUTIERREZ, Illinois, Chairman 

CAROLYN B. MALONEY, New York 

MAXINE WATERS, California 

PAUL E. KANJORSKI, Pennsylvania 

GWEN MOORE, Wisconsin 

GREGORY W. MEEKS, New York 

DENNIS MOORE, Kansas 

WILLIAM LACY CLAY, Missouri 

BILL FOSTER, Illinois 

ANDRE CARSON, Indiana 

MELVIN L. WATT, North Carolina 

BRAD SHERMAN, California 

KEITH ELLISON. Minnesota 

TRAVIS CHILDERS, Mississippi 

BARNEY FRANK, Massachusetts, ex officio 

RON PAUL, Texas 

MICHAEL N. CASTLE, Delaware 

FRANK D. LUCAS, Oklahoma 

DONALD A. MANZULLO, Illinois 

WALTER B. JONES, North Carolina 

JEB HENSARLING, Texas 

TOM PRICE, Georgia 

PATRICK T. MCHENRY, North Carolina 

MICHELE BACHMANN, Minnesota 

PETER J. ROSKAM, Illinois 

KENNY MARCHANT, Texas 

DEAN HELLER, Nevada 

SPENCER BACHUS, Alabama, ex officio 


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SUBCOMMITTEE ON FINANCIAL INSTITUTIONS AND CONSUMER CREDIT

(Ratio: 25–22) 

CAROLYN B. MALONEY, New York, Chair 

MELVIN L. WATT, North Carolina 

GARY L. ACKERMAN, New York 

BRAD SHERMAN, California 

LUIS V. GUTIERREZ, Illinois 

DENNIS MOORE, Kansas 

PAUL E. KANJORSKI, Pennsylvania 

MAXINE WATERS, California 

RUBE ́ N HINOJOSA, Texas 

CAROLYN MCCARTHY, New York 

JOE BACA, California 

AL GREEN, Texas 

WM. LACY CLAY, Missouri 

BRAD MILLER, North Carolina 

DAVID SCOTT, Georgia 

EMANUEL CLEAVER, Missouri 

MELISSA BEAN, Illinois 

LINCOLN DAVIS, Tennessee 

PAUL W. HODES, New Hampshire 

KEITH ELLISON, Minnesota 

RON KLEIN, Florida 

CHARLES A. WILSON, Ohio 

GREGORY W. MEEKS, New York 

BILL FOSTER, Illinois 

ED PERLMUTTER, Colorado 

BARNEY FRANK, Massachusetts, ex officio 

JUDY BIGGERT, Illinois 

TOM PRICE, Georgia 

DEBORAH PRYCE, Ohio 

MICHAEL N. CASTLE, Delaware 

PETER KING, New York 

EDWARD R. ROYCE, California 

STEVEN C. LATOURETTE, Ohio 

WALTER B. JONES, North Carolina 

SHELLEY MOORE CAPITO, West Virginia 

TOM FEENEY, Florida 

JEB HENSARLING, Texas 

SCOTT GARRETT, New Jersey 

GINNY BROWN-WAITE, Florida 

J. GRESHAM BARRETT, South Carolina 

JIM GERLACH, Pennsylvania 

STEVAN, PEARCE, New Mexico 

RANDY NEUGEBAUER, Texas 

GEOFF DAVIS, Kentucky 

PATRICK T. MCHENRY, North Carolina 

JOHN CAMPBELL, California 

KEVIN MCCARTHY, California 

DEAN HELLER, Nevada 

SPENCER BACHUS. Alabama ex officio 

SUBCOMMITTEE ON HOUSING AND COMMUNITY OPPORTUNITY

(Ratio: 14–12) 

MAXINE WATERS, California, Chairwoman 

NYDIA M. VELAZQUEZ, New York 

STEPHEN F. LYNCH, Massachusetts 

EMANUEL CLEAVER, Missouri 

AL GREEN, Texas 

WILLIAM LACY CLAY, Missouri 

CAROLYN B. MALONEY, New York 

GWEN MOORE, Wisconsin 

KEITH ELLISON, Minnesota 

CHRISTOPHER S. MURPHY, Connecticut 

JOE DONNELLY, Indiana 

MICHAEL E. CAPUANO, Massachusetts 

CHARLES A. WILSON, Ohio 

DON CAZAYOUX, Louisiana 

BARNEY FRANK, Massachusetts, ex officio 

SHELLEY MOORE CAPITO, West Virginia 

STEVAN PEARCE, New Mexico 

PETER KING, New York 

JUDY BIGGERT, Illinois 

CHRISTOPHER SHAYS, Connecticut 

GARY G. MILLER, California 

SCOTT GARRETT, New Jersey 

RANDY NEUGEBAUER, Texas 

GEOFF DAVIS, Kentucky 

JOHN CAMPBELL, California 

THADDEUS MCCOTTER, Michigan 

KEVIN MCCARTHY, California 

SPENCER BACHUS, Alabama, ex officio 


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SUBCOMMITTEE ON OVERSIGHT AND INVESTIGATIONS

(Ratio: 11–9) 

MELVIN L. WATT, North Carolina, Chairman 

LUIS V. GUTIERREZ, Illinois 

MAXINE WATERS, California 

STEPHEN F. LYNCH, Massachusetts 

EMANUEL CLEAVER, Missouri 

MICHAEL E. CAPUANO, Massachusetts 

AL GREEN, Texas 

RON KLEIN, Florida 

TIM MAHONEY, Florida 

ED PERLMUTTER, Colorado 

JACKIE SPEIER, California 

BARNEY FRANK, Massachusetts, ex officio 

GARY G. MILLER, California 

PATRICK T. MCHENRY, North Carolina 

EDWARD R. ROYCE, California 

RON PAUL, Texas 

STEVEN C. LATOURETTE, Ohio 

J. GRESHAM BARRETT, South Carolina 

MICHELE BACHMANN, Minnesota 

PETER J. ROSKAM, Illinois 

KEVIN MCCARTHY, California 

SPENCER BACHUS, Alabama, ex officio 

MEMBERSHIP NOTES 

1Mr. Foster was elected to the Committee on April 1, 2008, filling a vacancy created by 

the death of Mrs. Julia Carson on December 15, 2007. Mrs. Carson had ranked immediately 

after Mr. Ackerman. 2Mr. Andre Carson was elected to the Committee on April 1, 2008, filling a vacancy created 

by the resignation of Mr. Sires on March 11, 2008. Mr. Sires had ranked immediately after 

Mr. Davis of Tennessee. 3Ms. Speier, Mr. Cazayoux and Mr. Childers were elected to the Committee on June 10, 

2008, filling vacancies created by the resignations of Mr. Wexler on June 9, 2008, Mr. Marshall 

on June 10, 2008, and Mr. Boren on June 9, 2008. Messrs. Wexler, Marshall and Boren 

had ranked immediately after Mr. Donnelly. 4Mr. Marchant was elected to the Committee on March 12, 2007, filling a vacancy created 

by the resignation of Mrs. Blackburn from the Committee on March 12, 2007. Mrs. Blackburn 

had ranked immediately after Mr. Putnam. 5Mr. McCotter was elected to the Committee on May 10, 2007, filling a vacancy created 

by the resignation of Mr. Renzi from the Committee on April 25. 2007. Mr. Renzi had ranked 

immediately after Mr. Barrett of South Carolina. 6Mr. McCarthy of California was elected to the Committee on October 2, 2007, filling a 

vacancy created by the death of Mr. Gillmor on September 5, 2007. Mr. Gillmor had ranked 

immediately after Mr. Paul. 7Mr. Heller was elected to the Committee on February 26, 2008, filling a vacancy created 

by the resignation of Mr. Baker from the House on February 2, 2008. Mr. Baker had ranked 

immediately after Mr. Bachus. 


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COMMITTEE STAFF 

MAJORITY STAFF

JEANNE ROSLANOWICK, Staff Director and Chief Counsel 

STEVEN ADAMSKE, Communications Director 

SANDERS ADU, Counsel 

TERRIE ALLISON, Editor/Document Clerk 

STEVE ARAUZ, Assistant System Administrator 

MICHAEL BERESIK, Senior Policy Director 

JEAN CARROLL, Staff Associate 

MEREDITH CONNELLY, Professional Staff 

ELENI CONSTANTINE, Counsel 

RICARDO DELFIN, SeniorCounsel 

THOMAS DUNCAN, General Counsel 

ERIC EDWARDS, Counsel 

ALFRED FORMAN, System Administrator 

THOMAS GLASSIC, Counsel 

TODD HARPER, Professional Staff 

JOHN HUGHES, Counsel 

ERIKA JEFFERS, Counsel 

BRIAN KELLY, Staff Associate 

KELLIE LARKIN, Counsel 

GAIL LASTER, Deputy Chief Counsel 

PATTY LORD, Professional Staff 

MANOS MANOSALVAS, Staff Associate 

RICK MAURANO, Senior Professional Staff 

DOMINIQUE MCCOY, Counsel 

DANIEL MCGLINCHEY, Professional Staff 

KATHLEEN MELLODY, Counsel 

SCOTT MORRIS, Chief Economist 

JONATHAN OBEE, Professional Staff 

SCOTT OLSON, Professional Staff 

CHARLA OUERTATANI, Professional Staff 

JASON PITCOCK, Counsel 

LOIS RICHERSON, Clerk 

PETER ROBERSON, Professional Staff Member 

GARETT ROSE, Staff Asssociate 

DENNIS SHAUL, Professional Staff 

DEBORAH SILBERMAN, Senior Counsel 

PATIENCE SINGLETON, Counsel 

DAVID SMITH, Chief Economist 

LAWRANNE STEWART, Deputy Chief Counsel 

HEATHER WONG, Press Secretary 

CHARLES YI, Counsel 


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MINORITY STAFF

LARRY C. LAVENDER 

Chief of Staff 

WARREN TRYON 

Deputy Chief of Staff 

JAMES H. CLINGER 

Chief Counsel 

CLINTON JONES 

General Counsel 

NICOLE C. AUSTIN, Professional Staff 

MICHAEL BORDEN, Senior Counsel 

CINDY VOSPER CHETTI, Senior Professional Staff 

ANTHONY J. CIMINO, Professional Staff 

KEVIN R. EDGAR, Senior Counsel 

PAUL-MARTIN FOSS, Professional Staff 

PETER FREEMAN, Professional Staff 

ANGELA S. GAMBO, Administrative Assistant 

MARISOL GARIBAY, Communications Director 

TALLMAN JOHNSON, Senior Professional Staff Member 

ROSEMARY KEECH, Executive Staff Assistant 

FRANCISCO A. MEDINA, Senior Counsel 

DAVID OXNER, Professional Staff 

JOE PINDER, Senior Professional Staff 

GISELE G. ROGET, Staff Assistant 

JASON SPENCE, Senior Counsel 

AARON T. SPORCK, Professional Staff 

ERIC J. THOMPSON, Professional Staff 

LAUREN E. TODOROVICH, Professional Staff 

KIM TRIMBLE, Systems Administrator 


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LEGISLATIVE AND OVERSIGHT ACTIVITIES 

During the 110th Congress, 521 bills were referred to the Committee on Financial Services. The full Committee reported to the 

House or was discharged from the further consideration of 61 

measures, not including conference reports. Twenty-nine measures 

regarding matters within the Committee’s jurisdiction were enacted into law. 

The following is a summary of the legislative and oversight activities of the Committee on Financial Services during the 110th 

Congress, including a summary of the activities taken by the Committee to implement its Oversight Plan for the 110th Congress. 


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COMMITTEE ON FINANCIAL SERVICES 

(Ratio: 37–33) 

BARNEY FRANK, Massachusetts, Chairman 

PAUL E. KANJORSKI, Pennsylvania 

MAXINE WATERS, California 

CAROLYN B. MALONEY, New York 

LUIS V. GUTIERREZ, Illinois 

NYDIA M. VELÉQUEZ, New York 

MELVIN L. WATT, North Carolina 

GARY L. ACKERMAN, New York 

BRAD SHERMAN, California 

GREGORY W. MEEKS, New York 

DENNIS MOORE, Kansas 

MICHAEL E. CAPUANO, Massachusetts 

RUBE ́ N HINOJOSA, Texas 

WM. LACY CLAY, Missouri 

CAROLYN MCCARTHY, New York 

JOE BACA, California 

STEPHEN F. LYNCH, Massachusetts 

BRAD MILLER, North Carolina 

DAVID SCOTT, Georgia 

AL GREEN, Texas 

EMANUEL CLEAVER, Missouri 

MELISSA L. BEAN, Illinois 

GWEN MOORE, Wisconsin 

LINCOLN DAVIS, Tennessee 

PAUL W. HODES, New Hampshire 

KEITH ELLISON, Minnesota 

RON KLEIN, Florida 

TIM MAHONEY, Florida 

CHARLES A. WILSON, Ohio 

ED PERLMUTTER, Colorado 

CHRISTOPHER S. MURPHY, Connecticut 

JOE DONNELLY, Indiana 

BILL FOSTER, Illinois 

ANDRE CARSON, Indiana 

JACKIE SPEIER, California 

DON CAZAYOUX, Louisiana 

TRAVIS CHILDERS, Missouri 

SPENCER BACHUS, Alabama 

DEBORAH PRYCE, Ohio 

MICHAEL N. CASTLE, Delaware 

PETER KING, New York 

EDWARD R. ROYCE, California 

FRANK D. LUCAS, Oklahoma 

RON PAUL, Texas 

STEVEN C. LATOURETTE, Ohio 

DONALD A. MANZULLO, Illinois 

WALTER B. JONES, JR., North Carolina 

JUDY BIGGERT, Illinois 

CHRISTOPHER SHAYS, Connecticut 

GARY G. MILLER, California 

SHELLEY MOORE CAPITO, West Virginia 

TOM FEENEY, Florida 

JEB HENSARLING, Texas 

SCOTT GARRETT, New Jersey 

GINNY BROWN-WAITE, Florida 

J. GRESHAM BARRETT, South Carolina 

JIM GERLACH, Pennsylvania 

STEVAN PEARCE, New Mexico 

RANDY NEUGEBAUER, Texas 

TOM PRICE, Georgia 

GEOFF DAVIS, Kentucky 

PATRICK T. MCHENRY, North Carolina 

JOHN CAMPBELL, California 

ADAM H. PUTNAM, Florida 

MICHELE BACHMANN, Minnesota 

PETER J. ROSKAM, Illinois 

KENNY MARCHANT, Texas 

THADDEUS MCCOTTER, Mississippi 

KEVIN MCCARTHY, California 

DEAN HELLER, Nevada 


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FULL COMMITTEE OVERSIGHT ACTIVITIES

EMERGENCY ECONOMIC STABILIZATION ACT/2008 MARKET CRISIS

Since the collapse of Lehman Brothers in September 2008 and 

the subsequent acceleration of the ongoing market crisis, the Committee has held three hearings on the crisis and the Emergency 

Economic Stabilization Act of 2008 (EESA), the Federal Government’s primary response to the crisis. 

The first hearing in this group was held on September 24, 2008, 

before the passage of the EESA, and entitled, ‘‘The Future of Financial Services: Exploring Solutions for the Market Crisis.’’ This 

hearing primarily focused on the current turmoil in the credit markets and recent steps taken by the U.S. Department of the Treasury and the Federal Reserve. Additionally, the hearing dealt with 

the then-pending Treasury proposal that aimed to stabilize the 

economy and the anticipated impact of that proposal on the nation’s economy. Witnesses included: Members of Congress; Ben 

Bernanke, Federal Reserve Chairman; and Henry Paulson, Secretary of the Treasury. The EESA was enacted on October 3, 2008, 

as Public Law 110–343. 

The second hearing, held on November 18, 2008, and entitled, 

‘‘Oversight of Implementation of the Emergency Economic Stabilization Act of 2008 and of Government Lending and Insurance 

Facilities: Impact on Economy and Credit Availability,’’ dealt directly with the programs provided for by the EESA. This hearing 

focused on the programs established by Treasury, the Federal Reserve Board, and the Federal Deposit Insurance Corporation 

(FDIC) under the Emergency Economic Stabilization Act of 2008 

(EESA) or other pre-existing authority to address the problems in 

the credit and financial markets; and on the impact those programs 

are having on the availability of credit and on the economy generally. The regulatory witnesses were asked to discuss the decisionmaking process concerning use of funds under the Troubled Asset 

Relief (TARP) program and the metrics being used to evaluate the 

impact or success of the programs in achieving the objectives. Witnesses also were asked to comment generally on how the programs 

are working, to describe any unintended consequences of the facilities established to date and how those consequences are being addressed, and to identify any additional measure or authorities that 

might be necessary. Witnesses included: Henry Paulson, Secretary 

of the Treasury; Ben Bernanke, Federal Reserve Chairman; Sheila 

Bair, Federal Deposit Insurance Corporation Chairman; and representatives of the financial services industry. 

The third hearing was held on December 10, 2008 and was entitled, ‘‘Oversight Concerns Regarding Treasury Department Conduct of the Troubled Assets Relief Program.’’ This hearing focused 

on a December report that the Government Accountability Office 

(GAO) released critiquing Treasury’s execution of the Troubled 

Asset Relief Program (TARP). The report concluded that while 

Treasury had taken a number of steps to stabilize U.S. financial 

markets and the banking system, it had yet to fulfill key parts of 

the program. Through the capital purchase program (CPP)-a preferred stock and warrant purchase program-Treasury provided 

more than $150 billion in capital to 52 institutions as of November 


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25, 2008. However, Treasury had yet to address a number of critical issues, including determining how it will ensure that CPP is 

achieving its intended goals and monitoring compliance with limitations on executive compensation and dividend payments. Moreover, the report recommended that further actions are needed to 

formalize transition planning efforts and establish an effective 

management structure and an essential system of internal control. 

The GAO was asked to discuss its key findings, conclusions and 

recommendations. The Treasury Department was asked to explain 

its disagreement with the GAO’s recommendations for monitoring 

the use of TARP funds by participating institutions, and to address 

in detail its plans to quickly and completely implement the recommendations in the report. Finally, the Congressional Oversight 

Panel provided its findings and views to date regarding the TARP 

and on the key findings, conclusions and recommendations in the 

GAO report. Witnesses included: Neel Kashkari, Interim Assistant 

Secretary for Financial Stability and Assistant Secretary for International Affairs at the Treasury Department; Gene Dodaro, Acting 

Comptroller of the Government Accountability Office; Representative Jeb Hensarling, member of the Congressional Oversight Panel 

for the EESA; and Elizabeth Warren, Chair of the Congressional 

Oversight Panel for the EESA. 

AUTOMOBILE INDUSTRY STABILIZATION

The Committee has held two hearings regarding potential Federal stabilization plans for the U.S. auto industry. 

The first hearing, entitled, ‘‘Stabilizing the Financial Condition of 

the American Automobile Industry,’’ was held on November 19, 

2008. This hearing focused on the situation in the U.S. automobile 

industry, including impact of current credit markets and economic 

conditions, and implications for future viability of the industry. 

Witnesses were asked to discuss the potential consequences for the 

industry and the overall economy if the Federal Government takes 

no action. Witnesses also addressed, if the Federal Government 

does take action, how assistance should be structured, what conditions should attach, and how energy efficiency standards should be 

integrated into recovery plans to result in a viable industry model. 

Witnesses included: Richard Wagoner, CEO of General Motors; 

Robert Nardelli, CEO of Chrysler; Alan Mulally, CEO of Ford; Ron 

Gettelfinger, United Auto Workers President; and representatives 

from a variety of interested parties. 

The second hearing was held on December 5, 2008, and was entitled, ‘‘Review of Industry Plans to Stabilize the Financial Condition 

of the American Automobile Industry.’’ This hearing focused on the 

business plans submitted by Chrysler, Ford Motor Company, and 

General Motors (GM) in response to a request from House Speaker 

Nancy Pelosi and Senate Majority Leader Harry Reid. Auto maker 

witnesses were asked to address their business plans, including 

concrete steps to achieve long-term viability, planned use of any 

government funds, conditions that should attach to such funds, and 

commitment to achieve or exceed fuel efficiency requirements. The 

union witness discusses the impact of those plans on U.S. auto 

workers and any plans the UAW has to help the U.S. auto industry 

achieve long-term viability. Witnesses provided perspective on the 


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plans, particularly in light of prior efforts providing government aid 

to achieve similar results. An environmental witness discussed the 

purposes of section 136 of EESA in facilitating long term investments in technology and retooling to achieve improved fuel efficiency, and the role that such investment plays in ensuring the 

long term viability of domestic automakers. Finally, the Government Accountability Office (GAO) provided a framework for restructuring by describing elements essential for the success of government aid in such circumstances, and lessons learned from prior 

efforts. Witnesses included: Richard Wagoner, CEO of General Motors; Robert Nardelli, CEO of Chrysler; Alan Mulally, CEO of Ford; 

Ron Gettelfinger, United Auto Workers President; Gene Dodaro, 

Acting Comptroller General of the GAO; and a number of economists and representatives of other interested parties. 

H.R. 7321, the Auto Industry Financing and Restructuring Act, 

passed the House on December 10, 2008, by a 237–170–1 vote. No 

further action occurred on this legislation in the 110th Congress. 

ABUSIVE MORTGAGE LENDING PRACTICES

On October 24, 2007, the Committee held a hearing entitled, 

‘‘Legislative Proposals on Reforming Mortgage Practices,’’ including 

H.R. 3915, the Mortgage Reform and Anti-Predatory Lending Act 

of 2007. This legislation would: (1) establish a Federal duty of care 

for mortgage loan originators; (2) prohibit steering any borrower to 

a predatory mortgage and prime borrowers to subprime mortgages; 

(3) set a minimum standard for all mortgages that borrowers must 

have a reasonable ability to repay; (4) attach limited liability to 

secondary market securitizers who package and sell interest in 

home mortgage loans outside of these standards; (5) expand consumer protections for ‘‘high-cost loans’’ under the Home Ownership 

and Equity Protection Act; (6) require that all mortgage originators, including mortgage brokers and banks that originate mortgages, be licensed and registered pursuant to qualifying State license law, equivalent Federal banking regime, or HUD licensing 

and registration regime; (7) require additional disclosures to borrowers; (8) establish within HUD an Office of Housing Counseling; 

and (9) include protections for renters of foreclosed homes. Witnesses included Federal banking regulators, consumer advocates, 

and industry representatives. H.R. 3915 was ordered reported by 

the Committee on November 6, 2007. The Committee filed its report on November 9, 2007 (H.Rept. 110–441). The bill passed the 

House on November 15, 2007. 

INDUSTRIAL LOAN COMPANIES

On April 25, 2007, the House Financial Services Committee held 

a hearing entitled, ‘‘H.R. 698: The Industrial Bank Holding Company Act of 2007.’’ Witness testimony included banking regulators 

and industry representatives. On May 2, 2007, H.R. 698 was ordered reported from the Committee. The Committee filed its report 

on May 16, 2007 (H.Rept. 110–155). The bill passed the House on 

May 21, 2007. No further action occurred on this legislation in the 

110th Congress. 


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INTERNET GAMBLING

On June 8, 2007, the Committee held a hearing entitled, ‘‘Can 

Internet Gambling Be Effectively Regulated to Protect Consumers 

and the Payments System?’’ Testimony was heard from the private 

sector witnesses. 

On December 7, 2007, Ranking Member Bachus, along with Representatives Goodlatte, Lamar Smith and Forbes, sent a letter to 

the Federal Trade Commission requesting an investigation into the 

practices of some Internet gambling companies who were purported 

to be publishing false information about the recently enacted Unlawful Internet Gambling Enforcement Act (UIGEA), leading U.S. 

citizens to believe that those online companies can still operate legally. 

On March 14, 2008, Chairman Barney Frank and Rep. Ron Paul 

sent a letter to U.S. Trade Representative Susan Schwab requesting the details of a trade agreement between the United States and 

the European Union, Japan, and Canada to compensate nations for 

withdrawing from the GATS gambling commitment. 

On April 21, 2008, Chairman Barney Frank, Subcommittee on 

Domestic and International Monetary Policy Chairman Luis V. 

Gutierrez and Ranking Member Ron Paul, and Rep. Peter King, 

sent a letter to Treasury Secretary Henry Paulson, and Federal Reserve Chairman Ben S. Bernanke, asking them to suspend the regulations of the Unlawful Internet Gambling Enforcement Act 

(UIGEA). The Members wrote it would be imprudent to devote 

agency resources to the rulemaking process, especially in light of 

likely legislation to prevent their implementation. 

On May 5, 2008, Ranking Member Bachus, along with Senator 

Jon Kyl, wrote letters to Treasury Secretary Henry Paulson and 

Federal Reserve Chairman Ben Bernanke urging the Department 

and the Federal Reserve to fulfill their statutory obligations by 

issuing and implementing final regulations implementing UIGEA. 

On November 10, 2008, Chairman Barney Frank sent letters to 

Secretary Henry Paulson and Ben Bernanke asking them to postpone issuing regulations pursuant to the UIGEA. The letter expressed disappointment in issuing the regulations so late in the administration’s term would tie the hands of the incoming administration and burden the industry at a time of economic crisis, contrary to the intent of the Committee. 

GARNISHMENT OF FEDERAL BENEFITS

Chairman Barney Frank sent a letter to financial regulators on 

June 21, 2007, to inquire what actions their respective agency have 

taking to ensure that the financial institutions have complied with 

the Social Security Act’s prohibition on the garnishment of Federal 

benefits to veterans, the elderly and the disabled. The Chairman 

wrote the letter in light of news that some debt collectors have 

made use of the national banking system to circumvent State and 

Federal law protecting consumers. 

CREDIT UNION OVERSIGHT

On March 6, 2008, the Committee held a hearing on the need for 

credit union regulatory relief and improvements to examine the 


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need for regulatory relief among credit unions, including the Credit 

Union Regulatory Improvements Act, as well as other issues within 

the industry. Witnesses included: The Honorable JoAnn M. Johnson, Chairman, National Credit Union Administration, Mr. George 

Reynolds, Senior Deputy Commissioner, Georgia Department of 

Banking and Finance on behalf of the National Association of State 

Credit Union Supervisors , and a number of industry witnesses. 

CREDIT MONITORING

On May 20, 2008, the Committee held a hearing to examine H.R. 

2885, the Credit Monitoring Clarification Act, focusing on the 

growth and use of credit monitoring services. Industry and consumer witness testimony concentrated on the need to clarify the 

treatment of these services under the Credit Repair Organizations 

Act (CROA), while still providing adequate protections for consumers. 

HOUSING PRODUCTION

On July 19, 2007, the Committee held a hearing on H.R. 2895, 

The Affordable Housing Trust Fund Act of 2007, which would establish a national affordable housing trust fund, with dedicated 

sources of revenue for the production and preservation of affordable 

housing for people with the most serious housing problems. Witnesses included representatives from HUD, affordable housing advocacy groups and the industry. The hearing examined, among 

other things, how both non-profit and for-profit organizations can 

participate in production programs, the extent to which the existing housing stock meets the demand for affordable housing by lowincome families, seniors, and disabled persons; and strategies for 

developing additional affordable housing units. H.R. 2895 was reported out of Committee on July 31, 2007. 

REHABILITATION OF FORECLOSED PROPERTIES

H.R. 5818, the Neighborhood Stabilization Act of 2008.’’ directed 

HUD to establish a $15 billion loan and grant program to help 

States and local governments to purchase and rehabilitate owneroccupied foreclosed homes, prioritizing areas by need. The Act further provided incentives for States and local governments to stabilize as many properties as possible and to provide housing for 

families and individuals who lost homes to foreclosure. On April 9 

and 10, 2008, the Committee held a two-day hearing on ‘Using the 

FHA for Housing Stabilization and Homeownership Retention.’ 

This hearing examined a discussion draft of the Housing Stabilization and Homeownership Retention Act. The second day of the 

hearings (April 10th) focused on Title III of the discussion draft, 

which became the basis for H.R. 5818. Witnesses on that date included representatives of State and local governments, housing advocacy groups and minority advocacy groups. The Committee ordered reported H.R. 5818 on April 23, 2008, and the bill passed the 

House on May 8, 2008. 


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FEDERAL HOUSING ADMINISTRATION MODERNIZATION

On May 1, 2007, the Committee reported out H.R. 1852, the ‘‘Expanding American Homeownership Act of 2007,’’ a bill that includes a number of changes to FHA single- and multifamily loan 

programs, including changes to FHA loan limits and down payment 

requirements, authorizing risk-based premiums for FHA loans, reforms to the FHA HECM reverse mortgage loan program, and authorization of funding for affordable housing fund grants based on 

net savings from bill changes to the FHA loan programs. 

FHA HOUSING STABILIZATION AND HOMEOWNER RETENTION ACT

On April 9 and 10, 2008, the Committee held hearings on using 

FHA for housing stabilization and homeowners retention, highlighting a draft proposal which ultimately became the basis for 

H.R. 5830, the ‘‘FHA Housing Stabilization and Homeowner Retention Act.’’ On April 24, April 30, and May 1, 2008, the Committee 

held three days of markup on H.R. 5830, ultimately reporting out 

that bill on May 1st. The bill creates a special FHA single family 

loan program to refinance existing mortgages for borrowers at risk 

of foreclosure. 

NATIVE AMERICAN HOUSING

The Committee favorably reported legislation to reauthorize the 

Native American Housing Assistance Self Determination Act (H.R. 

2786) to the House on August 3, 2007. 

EMERGENCY NEEDS ON THE GULF COAST

On February 6, 2007, the Committee held a hearing entitled, 

‘‘Federal Housing Response to Hurricane Katrina.’’ The hearing focused on the loss of affordable rental housing units in the Gulf 

Coast as a result of Hurricane Katrina. Specifically, it examined 

the commitments that were made early on to rebuild such housing, 

and the results to date in the actual restoration or rebuilding of 

lost housing units. The hearing also focused on efforts to provide 

grants and loans to homeowners to help them repair homes, and 

reviewed the Federal response in providing rental housing assistance to displaced families and individuals. 

On April 26, 2007, Chairman Barney Frank, with Subcommittee 

Chairwoman Maxine Waters wrote to Secretary of the Department 

of Housing and Urban Development (HUD) Alphonso Jackson regarding the Committee’s intent to continue to monitor the status 

of public housing and its repair and replacement through Committee hearings. 

On May 14, 2007, Chairman Frank, with Subcommittee Chairwoman Waters and Congressman Al Green wrote to Acting Assistant Administrator of the Disaster Assistance Directorate of the 

Federal Emergency Management Agency (FEMA) David Garratt 

regarding the eligibility certification of families continuing to receive housing assistance as a result of being displaced by the 2005 

hurricanes. The letter emphasized the need for FEMA to ensure 

that eligible families were not eliminated from the assistance program erroneously. 


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On June 12, 2007, Chairman Frank wrote to FEMA Administrator R. David Paulison regarding the Memorandum of Understanding between FEMA and HUD for the funding of rebuilding 

and repairing of public housing units damaged or destroyed by natural disasters. 

On June 29, 2007, Chairman Frank and Subcommittee Chairwoman Waters wrote to Acting Assistant Administrator of the Disaster Assistance Directorate of FEMA David Garratt urging FEMA 

not to terminate families from FEMA’s housing assistance program 

due to difficulties in the eligibility recertification process to ensure 

that eligible families were not further displaced. 

On October 17, 2007 and January 23, 2008, Chairman Frank, 

with Subcommittee Chairwoman Waters wrote to Secretary of the 

Department of Housing and Urban Development (HUD) Alphonso 

Jackson urging the Secretary to deny a request from the State of 

Mississippi to redirect the use of Mississippi’s CDBG disaster recovery funds away from the production and repair of affordable 

housing. 

On December 3, 2007, Chairman Frank wrote to FEMA Administrator R. David Paulison urging FEMA not to evict families living 

in trailers until such time as they can secure safe, affordable, alternative housing. 

REAUTHORIZATION OF MCKINNEY-VENTO HOMELESS PROGRAM

On July 30, 2008, the Committee reported out H.R. 840, the 

‘‘Homeless Emergency Assistance and Rapid Transition to Housing 

Act’’ (the ‘‘HEARTH’’ Act), a bill that reauthorizes and makes a 

number of changes to the McKinney-Vento homeless prevention 

program, including expanding flexibility to assist families with children by expanding the definition of ‘‘homeless’’ and giving localities 

more flexibility to serve such families; providing more funding 

flexibility to prevent homelessness; and codification and modifications of the continuum or care funding process. 

SECTION 8 VOUCHER REFORM

On May 23, 2007, the Committee reported out H.R. 1851, the 

‘‘Section 8 Voucher Reform Act of 2007,’’ a bill that makes number 

of changes to the Section 8 voucher program, including reforms to 

rent policy, inspections, income targeting, and use of project-based 

vouchers, and expansion, reform and re-naming of the ‘‘Moving to 

Work’’ program 

SUPPORTIVE HOUSING

H.R. 2930, Section 202 Supportive Housing for the Elderly Act of 

2007 addresses the current structure of the Section 202 Supportive 

Housing for Persons with disabilities and the modernization of the 

program. The Committee reported the bill favorably on September 

25, 2007. 

H.R. 5772, the Frank Melville Supportive Housing Investment 

Act of 2008 concerns the modernization of the Section 811 Supportive Housing for Persons with Disabilities program. The Committee reported the bill favorably on July 30, 2008. 


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PUBLIC HOUSING

The Committee reviewed the state of public housing programs, 

including the impact of cuts to the public housing operating and 

capital funds and to the HOPE VI program, in the context of hearings on the President’s Fiscal Year 2008 and 2009 budgets. The 

Committee held a briefing on HUD’s transition to asset based accounting and management, including the impact that conversion to 

asset-based management is having on public housing agencies in 

light of severe funding shortfalls for the public housing operating 

and capital fund programs. The Committee considered proposals to 

eliminate the Community Service requirement and to restore the 

Public Housing Drug Elimination program. Subsequently, the Committee favorably reported out legislation (the Public Housing Asset 

Management Improvement Act of 2008; H.R. 3521, H.R. 5928, H.R. 

6216) that addressed HUD’s implementation of the Quality Housing Work Responsibility Act of 1998. In addition, the Committee 

considered changes to the Moving to Work program as part of the 

Section 8 Voucher Reform Bill (H.R. 1851), which was approved by 

the Committee on May 23, 2007. 

HOPE VI

The HOPE VI program provides assistance to public housing 

agencies to improve the living environment for residents of severely 

distressed public housing projects. The Committee held several 

meetings throughout 2008 with HUD staff, including the HUD Secretary, to review ongoing efforts HUD efforts to work with certain 

public housing authorities that were scheduled to have remaining 

HOPE VI grant funds eliminated by September 30, 2008. The Committee also reported legislation (H.R. 3524) to re-authorize and 

modify the HOPE VI program. The bill includes a number of important reforms to the program including, expanding the number of replacement housing units; ensuring that residents have access to revitalized sites; requiring monitoring and tracking of displaced residents; and greater resident involvement in the planning and re-development process. The bill also establishes green development 

standards for HOPE VI revitalizations activities. 

MILITARY HOUSING

H.R. 3329, the Homes for Heroes Act of 2008, adds additional 

veterans housing protections to HUD’s portfolio. The legislation 

was favorably reported out of the Committee on June 24, 2008. 

HOUSING COUNSELING

The Committee reviewed current housing counseling programs, 

to determine whether current funding levels are adequate to meet 

need, and whether improvements could be made to enhance consumer education as well as prevent abusive lending practices. This 

review encompassed Federal, State, private and non-profit efforts 

to use homeownership counseling as a tool to prevent defaults and 

foreclosures in the mortgage markets. 


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NATIONAL FLOOD INSURANCE PROGRAM EXTENSION AND REFORM

H.R. 3121, the Flood Insurance Reform and Modernization Act of 

2007, was reported out of the Committee on July 26, 2007. The bill 

was a combination of the provisions contained in H.R. 1682, The 

Flood Insurance Reform and Modernization Act of 2007 and H.R. 

920, the Multiple Peril Insurance Act of 2007. 

NATURAL DISASTER INSURANCE

H.R. 3355, the Homeowners Defense Act of 2007, passed the 

Committee on September 26, 2007. The bill would provide Federal 

encouragement for States to develop State-sponsored reinsurance 

programs designed to enhance the efficiency by which catastrophic 

risks are transferred into the capital markets. H.R. 3355 would 

also assist homeowners in preparing for and recovering from damage caused by natural catastrophes. 

FHA SELLER-FINANCED DOWNPAYMENT REFORM AND RISK-BASED

PRICING AUTHORIZATION ACT OF 2008

On September 16, 2008, the Committee reported out H.R. 6694, 

the ‘‘FHA Seller-Financed Downpayment Reform and Risk-based 

Pricing Act of 2008.’’ The bill would reinstate the FHA seller-financed gift downpayment borrowers for more creditworthy borrowers and would permit risk-based pricing for FHA loans for borrowers below a certain credit score threshold. 

PROJECT BASED SECTION 8

The Housing and Community Opportunity Subcommittee held a 

hearing on October 17, 2007 to review the timeliness of Housing 

Assistance Payments (HAP) for project-based Section 8 properties. 

The Committee worked with the Committee on Appropriations to 

enact legislation to convert expiring project-based Section 8 certificates to project-based vouchers. 

ENERGY EFFICIENCY

On June 11, 2008, the Committee held a hearing entitled, ‘‘H.R. 

6078, the Green Resources for Energy Efficient Neighborhoods 

(GREEN) Act.’’ The Committee heard testimony from HUD, the 

Government Sponsored Enterprises, the Office of Federal Housing 

Enterprise Oversight, and a variety of housing groups. The hearing 

examined current Federal efforts to promote green development, 

and also focused on a legislative proposal to promote green development. The Committee met with HUD staff to review a proposal to 

extend the term of existing energy performance contracts from 12 

to 20 years. 

HOUSING PRESERVATION

The Committee held a hearing on June 19, 2008, entitled, ‘‘Affordable Housing Preservation and Protection of Tenants.’’ The 

Committee held several hearings on the renewal of project-based 

voucher contracts in light of HUD’s decision to change how it funds 

the renewal of Section 8 HAP contracts. In addition, the Committee 

held a hearing on October 23, 2007 on legislation to improve HUD’s 


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Mark to Market program. On October 31, 2007, the Committee ordered the legislation reported (H.R. 3965). 

RURAL HOUSING

The Committee held a hearing on May 8, 2007, to review the 

President’s proposed Fiscal Year 2008 budget for rural housing programs and to review a proposal to establish a revitalization program at the Rural Housing Service to preserve and rehabilitate affordable housing under the Section 514, 515, and 516 multifamily 

housing programs. 

IMPACT ON HOMEBUYERS AND HOUSING MARKETS OF CONFORMING

LOAN LIMIT INCREASE

On May 22, 2008, the Committee held a hearing on the impact 

of the conforming loan limit increase temporarily put in place 

under the stimulus bill enacted earlier in the year. Witnesses included representatives from organizations in the real estate industry affected by the loan limit increases. 

LIMITED ENGLISH PROFICIENCY

The Committee reviewed HUD’s final guidance on Limited 

English Proficiency, published pursuant to Executive Order 13166 

and worked with HUD and stakeholders to develop legislation regarding the implementation of HUD’s guidance. An amendment 

was offered to the Section 8 Voucher Reform bill (H.R. 1851) to authorize funds for additional translation services, including a tollfree hotline, and to identify additional documents that were viewed 

as vital. The Committee also worked with the Committee on Appropriations and the Senate regarding appropriations to carry out the 

provisions of the amendment. 

FAIR HOUSING

On April 11, 2008, the Committee submitted a letter to the GAO 

requesting the agency to conduct a comprehensive review of the 

current state of Federal enforcement of the Fair Housing Act and 

other fair lending statutes. The Committee also reviewed the adequacy of resources and staffing levels as part of the hearing on the 

President’s Fiscal Year 2008 and 2009 budget recommendations for 

the Department. 

HUD MISSION, MANAGEMENT REFORM AND STAFFING

The Committee reviewed the overall mission, organization, 

human resources and information technology capabilities of the Department of Housing and Urban Development to determine whether the Department is meeting and addressing housing issues in the 

most efficient manner. This review was not only a part of the annual budget process and hearings, but also involved legislation to 

modernize HUD’s Federal Housing Administration (H.R. 1852). 

TERRORISM INSURANCE

H.R. 2761, the Terrorism Risk Insurance Revision and Extension 

Act of 2007, was passed by the Committee on August 1, 2007. The 

bill extends the Terrorism Risk Insurance Act of 2002 (TRIA) for 


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a second time to ensure the continued availability of terrorism insurance coverage, limit market disruptions, encourage economic development and growth, and maintain the economic security of the 

United States. This bill was signed into law on December 26, 2007 

(Public Law 110-160). 

HOLOCAUST-ERA INSURANCE RESTITUTION

On February 7, 2008, the Committee held a hearing entitled, 

‘‘The Holocaust Insurance Accountability Act of 2007 (H.R. 1746): 

Holocaust Era Insurance Restitution After ICHEIC, the International Commission on Holocaust Era Insurance Claims.’’ As introduced, H.R. 1746 required that insurance companies doing business in the United States file certain disclosures of Holocaust-era 

insurance policies for publication by the Archivist of the United 

States in a Holocaust Insurance Registry. H.R. 1746 also created 

a Federal cause of action for claims arising from out of Holocaustera insurance policies. The hearing was held to determine whether 

the bill, as introduced, provided the most effective way to address 

unpaid claims arising from Holocaust-era insurance policies. To 

this end, representatives of Holocaust survivors and survivor 

groups, former ICHEIC personnel, a representative of the Archivist’s office and a State Department representative testified before 

the Committee. H.R. 1746 was passed by the Committee, as 

amended, on June 25, 2008. 

BOND INSURANCE

On March 12, 2008, the House Committee on Financial Services 

held a hearing entitled, ‘‘Municipal Bond Turmoil: Impact on Cities, Towns, and States.’’ While the main purpose of this hearing 

was to examine the impact on State and local governments and 

other municipal bond issuers as the credit crisis worsened, the 

Committee also examined the extent to which the bond insurance 

industry contributed to the collapse of the auction-rate securities 

market. Witnesses included a cross-section of representatives from 

different entities hit by the municipal bond crisis. These entities included States, Federal agencies, and private groups. 

H.R. 6308, the Municipal Bond Fairness Act, was passed by the 

Committee on July 30, 2008. The bill was intended to address 

issues that prevent the efficient functioning of the municipal securities market. The bill would do this by improving the consistency 

and comparability of credit ratings for all securities and money 

market instruments and by directing the Treasury Department to 

collect information on the municipal bond insurance industry and 

report its findings to Congress. 

THE CONDUCT OF MONETARY POLICY AND THE STATE OF THE

ECONOMY

On February 15 and 16, 2007, July 17 and 18, 2007, February 

26 and 27, 2008, and July 16, 2008, the Committee held hearings 

on the conduct of monetary policy and the state of the economy 

pursuant to the statutory requirements of the Federal Reserve Act. 

The statutory basis for these hearings was first established in the 

1978 Humphrey-Hawkins Act, and the hearings have subsequently 


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been known informally as the Humphrey-Hawkins hearings. The 

Committee received the semi-annual testimony and report from the 

Chairman of the Federal Reserve, Ben S. Bernanke, on these four 

occasions and also received testimony from additional witnesses 

with expertise on the economy and particularly on the condition of 

labor markets in the economy. 

On March 23, 2008, the Committee held a hearing on ‘‘The Role 

of Public Investment in Promoting Economic Growth.’’ The Committee heard from expert witnesses on the need for new public investment to meet critical needs in the United States, both in terms 

of traditional areas of infrastructure such as roads and bridges, as 

well as broader categories of investment such as technology, education, and health. The hearing also considered the economic basis 

for public investments as a source of productivity enhancement and 

growth in the economy—the ‘‘market failure’’ basis for a public role, 

and the evidence on the role that public investments have played 

in economic growth historically. 

FOREIGN INVESTMENT IN THE UNITED STATES

On February 7, 2007, the Committee held a hearing entitled, 

‘‘The Committee on Foreign Investment in the United States 

(CFIUS), One Year After Dubai Ports World.’’ The hearing considered CFIUS activities during the 12 months that followed the 

Dubai Ports World controversy, assessed the continuing need for 

legislative reform, and considered appropriate measures for a legislative reform package. Witnesses included the Honorable Clay Lowery, Assistant Secretary of the Treasury for International Affairs, 

industry representatives, and national security experts. 

Subsequent to passage of CFIUS reform legislation, Chairman 

Frank and Representatives Maloney and Gutierrez wrote to Treasury Secretary Paulson on March 13, 2008, highlighting a number 

of issues for consideration as Treasury was in the process of drafting the implementing regulations. The comment letter addressed 

issues relating to foreign government investment in the United 

States as well as the definition of ‘‘control’’ to be used in the new 

regulations. 

On May 6, 2008, Chairman Frank and Ranking Member Bachus 

wrote to Federal Reserve Chairman Ben Bernanke asking for clarification of the Federal Reserve’s distinction between sovereign 

wealth funds and foreign government investors for purposes of determining whether an investor will be designated a bank holding 

company when it invests in a U.S. bank. 

THE U.S.-CHINA TRADE RELATIONSHIP IN FINANCIAL SERVICES

On June 6, 2007, the Committee held a hearing entitled, ‘‘U.S. 

Interests in Reform of China’s Financial Sector.’’ Witnesses included representatives of U.S. financial services firms seeking to do 

business in China as well as economic experts. The hearing examined barriers to doing business in China faced by U.S. firms and 

the broader financial market reforms being pursued in China. 

Findings from this hearing were the basis for a subsequent House 

resolution passed by the House of Representatives on September 5, 

2007, calling on the Chinese government to eliminate discriminatory barriers to entry for U.S. and other foreign financial firms. 


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On November 26, 2007, staff of the Committee traveled to China 

in advance of the U.S.-China Strategic Economic Dialogue meetings 

to meet with senior officials from key regulatory agencies including 

the central bank, the securities and banking regulators, and the 

newly established China Investment Corporation. The delegation 

raised issues of concern in the U.S.-China economic and financial 

services trade relationship and assessed the progress China has 

made to date in the implementation of financial market reforms. 

On December 5, 2007, Chairman Frank and Ranking Member 

Bachus wrote a letter to Treasury Secretary Paulson urging him to 

make financial services market access issues a priority in his discussions with Chinese officials under the auspices of the U.S.- 

China Strategic Economic Dialogue. 

U.S.-RUSSIA ECONOMIC RELATIONSHIP

On February 12, 2008, Chairman Frank and Rep. Gutierrez 

wrote to Secretary of State Condoleezza Rice, asking her to consider the foreign policy implications of approval of U.S. Export-Import Bank assistance for an energy project in Russia’s Sakhalin Islands. The letter raised concerns about the use of tax dollars for 

such a project in light of the Russian government’s activities in the 

energy sector, and particularly the Russian government’s treatment 

of U.S. investors in the Yukos case, a bankrupt Russian petroleum 

company. 

EXCHANGE RATES AND ENERGY PRICES

On July 24, 2008, the Committee held a hearing entitled, ‘‘Implications of a Weaker Dollar for Oil Prices and the U.S. Economy.’’ 

The Committee heard from a panel of economists on the role that 

the dollar’s decline was playing on rising energy prices in the 

United States. The hearing also considered the broader impact that 

changes in the value of the dollar could have on the economy going 

forward. 

THE STATE OF THE INTERNATIONAL FINANCIAL SYSTEM

On June 20, 2007, the Committee held a hearing to receive the 

testimony of Treasury Secretary Henry Paulson on the ‘‘State of 

the International Financial System.’’ The hearing considered the 

impact of global economic imbalances on the U.S. economy, the role 

currency misalignments were playing in these imbalances, the 

state of IMF reform, and priorities for multilateral development assistance. 

INTERNATIONAL FINANCE

On January 24, 2007, Chairman Frank wrote to Treasury Secretary Paulson expressing concern over the fact that a disproportionate share of IFC private equity and investment funds were concentrated in countries that were already attracting private capital, 

with no IFC equity investment activity in Central America, and 

very little in Latin America or in smaller African countries. 

On May 22, 2007, the Committee held a hearing entitled, ‘‘The 

Role and Effectiveness of the World Bank in Combating Global 

Poverty.’’ The hearing focused on the importance of governance, 


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transparency and accountability at the World Bank n order to 

maximize our ability to wage an effective fight against world poverty. Witnesses discussed the governance and democratic practices 

within the Bank; the Bank’s anti-poverty activities and programs, 

including the conditions the Bank places on countries in which it 

is active; and the degree to which some of the Bank’s development 

strategies might run counter to sustainable development goals. The 

Committee heard testimony from Dr. Joseph E. Stiglitz, University 

Professor at Columbia University and Chair of Columbia University’s Committee on Global Thought; Dr. Robert Hunter Wade, Professor of Political Economy at the Development Studies Institute, 

London School of Economics and Political Science; Mr. David Beckmann, President, Bread for the World; and Ambassador Stuart E. 

Eizenstat, Co-Chair of the Atlantic Council Commission on Transatlantic Leadership for a New Global Economy. 

On May 24, 2007, Chairman Frank and three other House committee chairmen sent a letter requesting President Bush seek a replacement for World Bank president from a global pool of candidates in order to send a signal of the commitment of the United 

States to the Bank’s core anti-poverty mission. 

On July 13, 2007, Chairman Frank sent a letter to World Bank 

President Robert Zoellick urging the release of the draft report on 

the effects of pollution problems in China. 

On August 30, 2007, Chairman Frank, Ranking Member Bachus, 

Rep. Waters, Rep. Gutierrez, Rep. Payne, and Rep. Lee wrote to 

the Government Accountability Office requesting a report to address the issue of how much funding from the international financial institutions and donor governments will be required to fulfill 

the commitments of the Multilateral Debt Relief Initiative and 

what policy conditions countries will be required to implement to 

qualify for debt relief. 

On October 3, 2007, the Committee held a hearing entitled, ‘‘The 

Fight Against Global Poverty and Inequality: the World Bank’s Approach to Core Labor Standards and Employment Creation.’’ The 

hearing focused on the role of core labor standards in the fight 

against global poverty and in particular on the World Bank’s attention to and promotion of core labor standards in its operational and 

lending policies. During the hearing, the witnesses shared with the 

Committee their views on the World Bank’s annual ‘‘Doing Business’’ report; the role of unions in developing countries; the Equator 

Principles, which have been adopted by over 50 private banks involved in development financing; and what role they believe the 

World Bank should be playing in helping to advance or promote 

worker rights internationally. The Committee heard testimony 

from Mr. Peter Bakvis, Director of the Washington Office of the 

International Trade Union Confederation/Global Unions; Mr. Eric 

Miller, President, Millers Rock Consulting, LLC; Ms. Sandra 

Polaski, Senior Associate and Director of the Trade, Equity and Development Program, Carnegie Endowment for International Peace; 

Ms. Thea M. Lee, Policy Director, AFL–CIO; Dr. Ngozi OkonjoIweala, Distinguished Fellow, Global Economy and Development 

Program, The Brookings Institution; and Ms. Suellen Lazarus, Senior Adviser, ABN–AMRO. 


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On October 25, 2007, the Committee held a hearing entitled, 

‘‘Transparency of Extractive Industries: High Stakes for ResourceRich Countries, Citizens and International Business,’’ which examined the development phenomenon known as the ‘‘resource curse,’’ 

whereby many developing countries rich in oil, gas and mineral resources are more likely to become authoritarian and corrupt, and 

experience greater poverty, slower growth, and slower development 

than non-resource rich countries, with many ranking near the bottom of most measures of human development. The hearing focused 

on the causes and effects of the ‘‘resource curse’’; the responses of 

the international community, including the voluntary Extractive 

Industries Transparency Initiative, its progress and its limitations; 

the role of the international financial institutions in the extractive 

industries of developing countries; and what more could be done 

both bilaterally and multilaterally to better combat this complex 

problem. The expert civil society and academic witnesses at the 

hearing stressed the importance of going beyond the voluntary approach of the Extractive Industries Transparency Initiative and focused largely on the need for Congressional legislation to make revenue disclosure a mandatory reporting requirement. The Committee heard testimony from Professor Terry Lynn Karl, Professor 

of Political Science; Gildred Professor of Latin American Studies, 

Stanford University; Mr. Ian Gary, Senior Policy Advisor for Extractive Industries, Oxfam America; Father Patrick Lafon, former 

Secretary General of the Catholic Bishops Conference of Cameroon; 

Mr. David A. Baker, Vice President, Environment and Social Responsibility, Newmont Mining Corporation; and Mr. Paul Mitchell, 

President, International Council on Mining and Metals. 

On November 8, 2007, the Committee held a hearing on ‘‘H.R. 

2634, the Jubilee Act for Responsible Lending and Expanded Debt 

Cancellation of 2007.’’ This hearing focused on the policy provisions 

contained in H.R. 2634, the effects this legislation would have on 

the world’s poorest countries that continue to suffer under crushing 

debt burdens. The hearing also explored the kinds of conditions 

that would attach to the additional debt relief provided through the 

bill, and to which countries, and discussed the cost of such aid and 

the possible sources of funding. The hearing also looked at the status, the progress, and the shortcomings of the two current debt relief programs—the Highly Indebted Poor Countries (HIPC) Initiative and the Multilateral Debt Relief Initiative (MDRI). The issue 

of responsible future lending and borrowing was also discussed, 

along with the problem of so-called ‘‘vulture funds.’’ The Committee 

heard testimony from Mr. Neil Watkins, National Coordinator, Jubilee USA Network; Ms. Emira Woods, Co-Director, Foreign Policy 

in Focus, Institute for Policy Studies; Mr. Gerald F. Flood, Counselor, Office of International Justice and Peace, U.S. Conference of 

Catholic Bishops; and Mr. Aldo Caliari, Director, Rethinking 

Bretton Woods Project, Center of Concern. 

On February 8, 2008, the Committee held a hearing titled ‘‘Negative Implications of the President’s Signing Statement on the 

Sudan Accountability and Divestment Act.’’ When President Bush 

signed the ‘‘Sudan Accountability and Divestment Act of 2007’’ into 

law, his signature came with a signing statement that asserted the 

Executive Branch as the arbiter of U.S. foreign policy. The purpose 


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of this hearing was to review the ongoing deterioration of the situation in Darfur and to examine the purpose, meaning, and intent of 

the President’s signing statement on the ‘‘Sudan Accountability and 

Divestment Act of 2007,’’ and its potential effect, if any, on actions 

authorized by the Act. The Committee heard testimony from Mr. 

Jerry Fowler, Executive Director, Save Darfur Coalition; The Honorable Patricia M. Wald, Former Judge and Chief Judge of the 

United States Court of Appeals for the District of Columbia Circuit; 

Mr. Paul H. Schwartz, Esq., Partner, Cooley Godward Kronish, 

LLP; and the Honorable Frank T. Caprio, General Treasurer, Office of the Rhode Island General Treasurer. 

In March 2008, Chairman Frank led a bipartisan Congressional 

delegation to the African countries of Cape Verde, South Africa and 

Ghana to meet with government officials, civil society leaders, and 

representatives of the private sector to discuss issues of economic 

development, impediments to poverty reduction and the role of the 

international financial institutions in these countries. In Cape 

Verde, members were given a first-hand look at the remarkable 

progress Cape Verde, one of the first countries to receive a Millennium Challenge Account (MCA) grant, has been making under its 

MCA compact. Cape Verde government also expressed concerns 

that because of some legislative rules under which the MCC currently operates, it is possible that Cape Verde might not be able 

to realize the full benefit of the program. 

On April 8, 2008, Chairman Frank wrote to the President of the 

National Academy of Sciences to request the National Research 

Council to organize a workshop to examine the impacts of the 

World Bank’s labor policies on poverty reduction and inequality, 

the creation of decent jobs, formalization of the large informal 

economies, and the protection of workers. 

On May 14, 2008, the Committee held a hearing entitled, ‘‘Contributing Factors and International Responses to the Global Food 

Crisis’’ that examined the underlying causes of the current intense 

pressures on the world’s food system and looked at the immediate 

and urgent short-term humanitarian challenges to the crisis. The 

hearing focused on the particular kind of trade policies and other 

interventions by governments, aid agencies, and international institutions—including the World Bank, the IMF, and International 

Fund for Agricultural Development—that would be most effective 

in establishing a sustainable and secure food system that meets the 

basic food needs of all people. The Committee heard testimony from 

Dr. Robert Watson, Director, International Assessment of Agricultural Knowledge, Science and Technology for Development; The 

Honorable Eva Clayton, Former Special Adviser to the DirectorGeneral, Food and Agriculture Organization at the United Nations; 

Dr. Raj Patel, Political Economist and Visiting Scholar at Center 

for African Studies, University of California, Berkeley; The Honorable Andrew Natsios, Former Administrator, U.S. Agency for International Development; and Arvind Subramanian, Senior Fellow, 

the Peterson Institute for International Economics and the Center 

for Global Development. 

On May 22, 2008, Chairman Frank and Rep. Patrick Kennedy 

wrote to Foreign Affairs Committee Chairman Howard Berman requesting his support for some legislative changes to the Millennium 


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Challenge Account program in order to allow some flexibility, at 

the discretion of the Board, to extend the five-year limit on MCA 

compact implementation in particular cases; authorize the possibility of concurrent or subsequent compacts in a given country; and 

allow the MCC to enter into compacts on a regional basis when 

doing so would likely produce more effective developmental outcomes. 

On June 18, 2008, the Committee held a hearing titled ‘‘The 15th 

Replenishment of the International Development Association and 

the 11th Replenishment of the African Development Fund.’’ With 

the multilateral negotiations to replenish the concessional facilities 

of the International Development Association and the African Development Fund concluded, the Committee heard testimony from 

the Honorable Clay Lowrey, Assistant Secretary for International 

Affairs, U.S. Department of Treasury, discussing the key objectives 

secured by the U.S. in both replenishment agreements, including 

more effective engagement in fragile states; improving results 

measurement of projects and using the information as a management tool; and strengthening debt sustainability in countries receiving debt relief. The Committee also heard testimony from Mr. 

David Beckmann, President, Bread for the World & Bread for the 

World Institute; Ms. Nuria Molina-Gallart, Policy and Advocacy Officer, European Network on Debt and Development; Mr. Edward 

Bell, Senior Program Advisor, International Alert; and Ms. Lori 

Udall, Senior Advisor, The Bank Information Center. 

On June 26, 2008, the Committee held a legislative hearing on 

H.R. 6066, the Extractive Industries Transparency Disclosure Act. 

The legislation would require oil, gas, and mining companies listed 

on U.S. exchanges to publicly disclose the payments they make to 

the governments of the countries from which those resources are 

extracted. This disclosure requirement would allow shareholders to 

make better informed assessments of opportunity costs, threats to 

corporate reputation, comparative extraction costs, and long-term 

prospects of the companies in which they invest. Resource revenue 

transparency is also necessary in order for citizens—the true owners of their country’s natural wealth—to be able to demand greater 

accountability from their governments for spending that serves the 

public interest. This form of transparency, in conjunction with an 

increasing active civil society, also promises to help create more 

stable, democratic governments. The Committee heard testimony 

from Ms. Karin Lissakers, Director, Revenue Watch Institute; Ms. 

Faith Stevelman, Professor of Law, New York Law School; Mr. 

Robert Jenkins, Chairman, F&C Asset Management; and Mr. Alan 

Detheridge, former Vice President for External Affairs, Royal 

Dutch Shell Group. 

On July 1, 2008, Chairman Frank wrote to Treasury Secretary 

Paulson urging the United States to significantly increase the U.S. 

contribution to the International Fund for Agricultural Development (IFAD) to better support its critical work in enabling the poor 

to overcome poverty through an effective focus on increasing agricultural productivity. 


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FULL COMMITTEE HEARINGS HELD

Serial No. Title Date(s) 

110–1 .................... Federal Housing Response to Hurricane Katrina ................................................... February 6, 2007 

110–2 .................... Committee on Foreign Investment in The United States (CFIUS), One Year After 

Dubai Ports World.

February 7, 2007 

110–3 .................... Monetary Policy and the State of the Economy, Part I .......................................... February 15, 2007 

110–4 .................... Monetary Policy and the State of the Economy, Part II ......................................... February 16, 2007 

110–10 .................. Empowering Shareholders on Executive Compensation: H.R. v1257, the Shareholder Vote on Executive Compensation Act.March 8, 2007 

110–13 .................. Hedge Funds and Systemic Risk in the Financial Markets ................................... March 13, 2007

110–14 .................. U.S. Department of Housing and Urban Development’s Fiscal Year 2008 Budget 

March 14, 2007.

110–15 .................. Legislative Proposals On Government-Sponsored Enterprise (GSE) Reform .......... March 15, 2007 

110–17 .................. The Role of Public Investment in Promoting Economic Growth ............................ March 23,2007 

110–20 .................. Household Incomes and Housing Costs: A New Squeeze for American Families 

(Field hearing).

April 4, 2007 

110–25 .................. H.R. 698, The Industrial Bank Holding Company Act of 2007 .............................. April 26, 2007 

110–31 .................. Private Equity’s Effects on Workers and Firms ...................................................... May 16, 2007 

110–33 .................. The Role and Effectiveness of the World Bank in Combating Global Poverty ...... May 22, 2007 

110–35 .................. U.S. Interests in the Reform of China’s Financial Services Sector ....................... June 6, 2007 

110–37 .................. Can Internet Gambling be Effectively Regulated to Protect Consumers and the 

Payments System?.

June 8, 2007 

110–40 .................. Improving Federal Consumer Protection in Financial Services .............................. June 13, 2007 

110–41 .................. Credit Reports: Consumers’ Ability to Dispute and Change Inaccurate Information.June 19, 2007 

110–42 .................. The State of the International Financial System ................................................... June 20, 2007 

110–46 .................. Review of Investor Protection and Market Oversight with the Five Commissioners of the Securities and Exchange Commission.June 26, 2007 

110–48 .................. Hedge Funds and Systemic Risk: Perspectives of the President’s Working Group 

on Financial Markets.

July 11, 2007 

110–51 .................. Monetary Policy and the State of the Economy, Part I .......................................... July 17, 2007 

110–52 .................. Monetary Policy and the State of the Economy, Part II ......................................... July 18, 2007 

110–53 .................. H.R. 2895, The National Affordable Housing Trust Fund Act of v2007 ................ July 19, 2007 

110–55 .................. Improving Federal Consumer Protection in Financial Services—Consumer and 

Industry Perspectives.

July 25, 2007 

110–57 .................. The Effect of Predatory Lending and the Foreclosure Crisis on Twin Cities’ 

Communities and Neighborhoods (Field hearing).

August 9, 2007 

110–58 .................. Recent Events in the Credit and Mortgage Markets and Possible Implications 

for U.S. Consumers and the Global Economy.

September 5, 2007 

110–61 .................. Legislative and Regulatory Options for Minimizing and Mitigating Mortgage 

Foreclosures.

September 20, 

2007 

110–63 .................. SEC Proxy Access Proposals: Implications for Investors ........................................ September 27, 

2007 

110–65 .................. Systemic Risk: Examining Regulators’ Ability to Respond to Threats to the Financial System.October 2, 2007 

110–67 .................. The Fight Against Global Poverty and Inequality: The World Bank’s Approach to 

Core Labor Standards and Employment Creation Mort.

October 3, 2007 

110–69 .................. Mortgage Lending Discrimination ........................................................................... October 15, 2007 

110–74 .................. Legislative Proposals on Reforming Mortgage Practices ....................................... October 24, 2007 

110–75 .................. Transparency of Extractive Industries: High Stakes for Resource-Rich Countries, 

Citizens, and International Business.

October 25, 2007 

110–79 .................. Progress in Administration and Other Efforts to Coordinate and Enhance Mortgage Foreclosure.November 2, 2007 

110–80 .................. H.R. 2634, The Jubilee Act for Responsible Lending and Expanded Debt Cancellation of 2007.November 8, 2007 

110–83 .................. Accelerating Loan Modifications, Improving Foreclosure vPrevention, and Enhancing Enforcement.December 6, 2007 

110–85 .................. The Holocaust Insurance Accountability Act of 2007 (H.R. 1746): Holocaust Era 

Insurance Restitution After ICHEIC, the International Commission on Holocaust Era Insurance Claims.

February 7, 2008 

110–87 .................. Negative Implications of the President’s Signing Statement on the Sudan Accountability and Divestment Act.February 8, 2008 

110–90 .................. The Community Reinvestment Act: Thirty Years of Accomplishments, but Challenges Remain.February 13, 2008 

110–92 .................. Monetary Policy and the State of the Economy, Part I .......................................... February 26, 2008 

110–93 .................. Monetary Policy and the State of the Economy, Part II ......................................... February 27, 2008 


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Serial No. Title Date(s) 

110–95 .................. The Need for Credit Union Regulatory Relief and Improvement ............................ March 6, 2008 

110–97 .................. Oversight of The Department of Housing And Urban Development ...................... March 11, 2008 

110–99 .................. Municipal Bond Turmoil: Impact on Cities, Towns, and States ............................ March 12, 2008 

110–103 ................ Using FHA for Housing Stabilization and Homeownership Retention, Part I ........ April 9, 2008 

110–104 ................ Using FHA for Housing Stabilization and Homeownership Retention, Part II ....... April 10, 2008 

110–105 ................ Financial Literacy and Education: The Effectiveness of Governmental and Private Sector Initiatives.April 15, 2008 

110–111 ................ Contributing Factors and International Responses to the Global Food Crisis ...... May 14, 2008 

110–112 ................ Examining the Need for H.R. 2885, the Credit Monitoring Clarification Act ........ May 20, 2008 

110–114 ................ Targeting Federal Aid to Neighborhoods Distressed by the Subprime Mortgage 

Crisis.

May 22, 2008 

110–119 ................ H.R. 6078, The Green Resources for Energy Efficient Neighborhoods Act of 2008 June 11, 2008 

110–121 ................ The 15th Replenishment of the International Development Association (IDA) and 

the 11th Replenishment of the African Development Fund (AfDF).

June 18, 2008 

110–122 ................ Affordable Housing Preservation and Protection of Tenants ................................. June 19, 2008 

110–124 ................ H.R. 6066, Extractive Industries Transparency Disclosure Act .............................. June 26, 2008 

110–127 ................ Systemic Risk and the Financial Markets .............................................................. July 10, 2008 

110–128 ................ Monetary Policy and the State of the Economy ..................................................... July 16, 2008 

110–130 ................ Systemic Risk and the Financial Markets .............................................................. July 24, 2008 

110–131 ................ Implications of a Weaker Dollar for Oil Prices and the U.S. Economy ................. July 24, 2008 

110–132 ................ A Review of Mortgage Servicing Practices and Foreclosure Mitigation ................ July 25, 2008 

110–136 ................ The Effects of the Foreclosure Crisis on Neighborhoods in California’s Central 

Valley: Challenges and Solutions (Field hearing).

September 6, 2008 

110–139 ................ The Implementation of the Hope for Homeowners Program and A Review of 

Foreclosure Mitigation Efforts.

September 17, 

2008 

110–140 ................ Auction Rate Securities Market: A Review of Problems and Potential Resolutions September 18, 

2008 

110–141 ................ The Future of Financial Services: Exploring Solutions for the Market Crisis ........ September 24, 

2008 

110–142 ................ Oversight Hearing to Examine Recent Treasury and FHFA Actions Regarding the 

Housing GSEs.

September 25, 

2008 

110–143 ................ The Future of Financial Services Regulation ......................................................... October 21, 2008 

110–144 ................ Private Sector Cooperation with Mortgage Modifications: Ensuring That Investors, Servicers, and Lenders Provide Real Help for Troubled Homeowners.November 12, 2008 

110–145 ................ Oversight of Implementation of the Emergency Economic Stabilization Act of 

2008 and of Government Lending and Insurance Facilities: Impact on Economy and Credit Availability.

November 18, 2008 

110–146 ................ Stabilizing the Financial Condition of the American Automobile Industry ............ November 19, 2008 

110–147 ................ Review of Industry Plans to Stabilize the Financial Condition of the American 

Automobile Industry.

December 5, 2008 

110–148 ................ Oversight Concerns Regarding Treasury Department Conduct of the Troubled 

Assets Relief Program.

December 10, 2008 


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SUBCOMMITTEE ON CAPITAL MARKETS, INSURANCE, AND

GOVERNMENT SPONSORED ENTERPRISES

(Ratio: 26–23) 

PAUL E. KANJORSKI, Pennsylvania, Chairman 

GARY L. ACKERMAN, New York 

BRAD SHERMAN, California 

GREGORY W. MEEKS, New York 

DENNIS MOORE, Kansas 

MICHAEL E. CAPUANO, Massachusetts 

RUBE ́ N HINOJOSA, Texas 

CAROLYN MCCARTHY, New York 

JOE BACA, California 

STEPHEN F. LYNCH, Massachusetts 

BRAD MILLER, North Carolina 

DAVID SCOTT, Georgia 

NYDIA M. VELAZQUEZ, New York 

MELISSA L. BEAN, Illinois 

GWEN MOORE, Wisconsin 

LINCOLN DAVIS, Tennessee 

PAUL W. HODES, New Hampshire 

RON KLEIN, Florida 

TIM MAHONEY, Florida 

ED PERLMUTTER, Colorado 

CHRISTOPHER S. MURPHY, Connecticut 

JOE DONNELLY, Indiana 

ANDRE CARSON, Indiana 

JACKIE SPEIER, California 

DON CAZAYOUX, Louisiana 

TRAVIS CHILDERS, Mississippi 

BARNEY FRANK, Massachusetts, ex officio 

DEBORAH PRYCE, Ohio 

JEB HENSARLING, Texas 

CHRISTOPHER SHAYS, Connecticut 

MICHAEL N. CASTLE, Delaware 

PETER KING, New York 

FRANK. D. LUCAS, Oklahoma 

DONALD A. MANZULLO, Illinois 

EDWARD R. ROYCE, California 

STEVEN C. LATOURETTE, Ohio 

SHELLEY MOORE CAPITO, West Virginia 

ADAM PUTNAM, Florida 

J. GRESHAM BARRETT, South Carolina 

GINNY BROWN-WAITE, Florida 

TOM FEENEY, Florida 

SCOTT GARRETT, New Jersey 

JIM GERLACH, Pennsylvania 

TOM PRICE, Georgia 

GEOFF DAVIS, Kentucky 

JOHN CAMPBELL, California 

MICHELE BACHMANN, Minnesota 

PETER J. ROSKAM, Illinois 

KENNY MARCHANT, Texas 

THADDEUS MCCOTTER, Michigan 

SPENCER BACHUS, Alabama, ex officio 

SUBCOMMITTEE LEGISLATIVE ACTIVITIES

TERRORISM RISK INSURANCE PROGRAM REAUTHORIZATION ACT

(H.R. 2761) 

Summary 

As introduced, H.R. 2761 amends the Terrorism Risk Insurance 

Act by revising the requirements for (1) insurer deductible; (2) insured loss shared compensation; (3) industry insured losses that 

trigger the program; (4) recoupment of the Federal share; (5) certification prerequisites regarding an act of terrorism; (6) mandatory 

availability of program coverage; and (7) rate and form filings for 

coverage. The legislation also provides for coverage of group life insurance, and revises requirements for: (1) insurer copayment and 

Federal share of compensation; (2) post-event reset for previously 

impacted areas; and (3) mandatory availability of life insurance 

that does not preclude future lawful travel. 

Legislative History 

H.R. 2761, the Terrorism Risk Insurance Program Reauthorization Act, was introduced on June 18, 2007 by Mr. Capuano and 23 

original co-sponsors. 

On June 21, 2007 the Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises held a hearing entitled, ‘‘Examining a Legislative Solution to Extend and Revise the 

Terrorism Risk Insurance Act.’’ The hearing focused on H.R. 2761. 

This legislation extended the Terrorism Insurance Program beyond 


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89 

its current expiration date of December 31, 2007. TRIREA also 

made several revisions to the existing program, such as expanding 

the availability of insurance to protect against nuclear, chemical, 

biological and radiological (NBCR) events; adding group life as a 

line covered by the program; covering domestic terrorism events to 

$50 million; adjusting event trigger levels; and improving program 

administration. Witnesses included David Nason, Assistant Secretary for Financial Institutions, U.S. Department of the Treasury; 

Eric Dinallo, the Superintendent of the New York Insurance Department; and representatives from a wide variety of private entities. 

On July 24, 2007, the Subcommittee considered H.R. 2761 and 

forwarded the bill, as amended, to the Full Committee with a favorable recommendation by a record vote of 26 yeas and 17 nays. 

On August 1, 2007, the Committee on Financial Services considered H.R. 2761 and ordered the bill, as amended, reported to the 

House with a favorable recommendation by a record vote of 49 yeas 

and 20 nays. 

On September 6, 2007, the Committee filed its report on the bill 

(H. Rept. 110–318). 

On September 19, 2007, the House passed the bill, as amended, 

by a yea and nay vote of 312–110. 

On November 16, 2007, the bill passed the Senate, as amended, 

by unanimous consent. 

On December 18, 2007, the House concurred in the Senate 

amendment under suspension of the rules by a 360–53 vote. 

On December 26, 2007, the President signed the bill, becoming 

Public Law 110–160. 

HOMEOWNERS DEFENSE ACT OF 2007

(H.R. 3355) 

Summary 

As introduced H.R. 3355 provided Federal encouragement for 

States to develop State-sponsored reinsurance programs designed 

to enhance the efficiency by which catastrophic risks are transferred into the capital markets. 

Legislative History 

H.R. 3355, the Homeowners Defense Act of 2007, was introduced 

on August 3, 2007 by Mr. Klein and one original cosponsor. On 

September 5, 2007, the bill was referred to the Subcommittee on 

Capital Markets, Insurance and Government Sponsored Enterprises and to the Subcommittee on Housing and Community Opportunity. On September 6, 2007, the two subcommittees held a 

joint hearing entitled, ‘‘H.R. 3355, the Homeowners Defense Act of 

2007.’’ 

On September 26, 2007, H.R. 3355 was considered by the Committee on Financial Services, and on September 27, 2007, the Committee ordered the bill, as amended, reported to the House with a 

favorable recommendation by a record vote of 36 yeas and 27 nays. 

On October 31, 2007, the Committee filed its report on the bill 

(H. Rept. 110–419). 


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On November 8, 2007, H.R. 3355, as amended, passed the House 

by a vote of 258–155. 

On November 13, 2007, H.R. 3355 was referred to the Senate 

Committee on Banking, Housing, and Urban Affairs. 

No further legislative activity on H.R. 3355 occurred in the 110th 

Congress. 

EMERGENCY MORTGAGE LOAN MODIFICATION ACT OF 2008

(H.R. 5579) 

Summary 

As introduced, H.R. 5579 clarifies certain responsibilities of and 

provides a safe harbor from legal liability for mortgage servicers 

who engage in specified loan modifications and workouts. 

Legislative History 

H.R. 5579, the Emergency Mortgage Loan Modification Act of 

2008, was introduced on March 11, 2008 by Mr. Castle and an 

original cosponsor. On April 15, 2008, the bill was referred to the 

Subcommittee on Capital Markets, Insurance and Government 

Sponsored Enterprises. 

On April 15, 2008, the Capital Markets Subcommittee held a 

hearing entitled, ‘‘H.R. 5579, the Emergency Mortgage Loan Modification Act of 2008’’. 

On April 23, 2008, the Committee on Financial Services considered the legislation and ordered the bill, as amended, favorably reported to the House with a favorable recommendation by a voice 

vote. 

On May 1, 2008, the Committee filed its report on the bill (H. 

Rept. 110–615). 

No further activity on H.R. 5579 occurred in the 110th Congress. 

See also H.R. 3915. 

INSURANCE INFORMATION ACT OF 2008

(H.R. 5840) 

Summary 

As introduced, H.R. 5840 would establish within the Department 

of the Treasury the Office of Insurance Information, headed by a 

Deputy Assistant Secretary, to: (1) collect, analyze, and disseminate information and issue reports regarding all lines of insurance 

except health insurance; (2) establish Federal policy on international insurance matters and ensure that State insurance laws 

are consistent with agreements between the United States and a 

foreign government or regulatory entity; and (3) advise the Secretary on major domestic and international insurance policy issues. 

Legislative Activity 

H.R. 5840, the Insurance Information Act of 2008, was introduced on April 17, 2008, by Mr. Kanjorski and four original cosponsors. 


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On June 10, 2008, the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises held a hearing entitled, ‘‘H.R. 5840, the Insurance Information Act of 2008.’’ 

On July 9, 2008, the Capital Markets Subcommittee considered 

the bill and ordered H.R. 5840 forwarded to the Full Committee 

with a favorable recommendation by a voice vote. 

No further activity on H.R. 5840 occurred in the 110th Congress. 

INCREASING INSURANCE COVERAGE OPTIONS FOR CONSUMERS ACT OF

2008

(H.R. 5792) 

Summary 

H.R. 5792, as introduced, amends the Liability Risk Retention 

Act of 1986 to cover risk retention groups offering commercial property insurance. It also applies the exemption of purchasing groups 

from State law to commercial property insurance. 

Legislative Activity 

H.R. 5792, the Increasing Insurance Coverage Options for Consumers Act of 2008, was introduced by Mr. Dennis Moore of Kansas and three original cosponsors on April 15, 2008. 

On April 16, 2008, H.R. 5792 was discussed at a Subcommittee 

on Capital Markets, Insurance, and Government Sponsored Enterprises hearing entitled, ‘‘Examining Proposals on Insurance Regulatory Reform.’’ On July 9, 2008, the bill was referred to the Subcommittee. 

On July 9, 2008, the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises considered the bill 

and forwarded H.R.5792 to the Full Committee with a favorable 

recommendation by a voice vote. 

No further legislative activity on H.R. 5792 occurred in the 110th 

Congress. 

NATIONAL ASSOCIATION OF REGISTERED AGENTS AND BROKERS

REFORM ACT OF 2008

(H.R. 5611) 

Summary 

H.R. 5611, as introduced, amends the Gramm-Leach-Bliley Act to 

reestablish the National Association of Registered Agents and Brokers as a nonprofit corporation whose purpose is to provide a mechanism through which licensing, continuing education, and other insurance producer qualification requirements and conditions can be 

adopted and applied on a multi-State basis, while preserving the 

right of States to: (1) license, supervise, and discipline insurance 

producers; and (2) prescribe and enforce laws and regulations regarding insurance-related consumer protection and unfair trade 

practices. 


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Legislative History 

H.R. 5611, the National Association of Registered Agents and 

Brokers Reform Act of 2008 was introduced by Mr. David Scott of 

Georgia and thirteen original cosponsors on March 13, 2008. 

On April 16, 2008, H.R. 5611 was discussed at a Subcommittee 

on Capital Markets, Insurance, and Government Sponsored Enterprises hearing entitled, ‘‘Examining Proposals on Insurance Regulatory Reform.’’ On July 9, 2008, the bill was referred to the Subcommittee. 

On July 9, 2008, the Capital Markets Subcommittee considered 

the bill and forwarded the legislation, as amended, to the Full 

Committee with a favorable recommendation by a voice vote. 

On September 17, 2008, the House considered the bill under a 

motion to suspension the rules and passed the bill by a voice vote. 

On October 2, 2008, H.R. 5611 was referred to the Senate Committee on Banking, Housing, and Urban Affairs. 

No further activity on H.R. 5611 occurred in the 110th Congress. 

H.R. 6513, SECURITIES ACT OF 2008

(H.R. 6513) 

Summary 

H.R. 6513, as introduced, amends the Securities Act of 1933, the 

Securities Exchange Act of 1934, the Investment Advisers Act of 

1940, and the Investment Company Act of 1940 to authorize the 

Securities and Exchange Commission (SEC) to assess and impose 

civil penalties in a cease and desist proceeding. 

Legislative History 

On July 9, 2008, the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises considered and favorably forwarded a Committee Print, Securities Act of 2008, to the 

Full Committee by a voice vote. 

On July 16, 2008, H.R. 6513, the Securities Act of 2008 was introduced by Mr. Kanjorski and fifteen original cosponsors. 

On September 9, 2008, H.R. 6513 is considered in the House on 

a motion to suspend the rules and pass the bill as amended. On 

September 11, 2008, the motion is agreed to by a voice vote. 

On September 12, 2008, H.R. 6513 is referred to the Senate Committee on Banking, Housing, and Urban Affairs. 

No further activity on H.R. 6513 occurred in the 110th Congress. 

SUBCOMMITTEE OVERSIGHT ACTIVITIES 

INSURANCE REGULATORY REFORM

The Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises led the Congress’ efforts on insurance 

regulatory reform in the 110th Congress. The Subcommittee initiated a series of hearings on insurance regulatory reform and heard 

from a variety of regulators, consumer groups, and industry market 

participants. Hearings were held on October 3, 2007, October 30, 

2007, and April 16, 2008. Additionally, the Subcommittee held detailed meetings with the Congressional Research Services, the GovVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00098 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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ernment Accountability Office, State insurance commissioners, representatives of the U.S. Department of the Treasury, consumer 

groups, and market participants to examine and review insurance 

regulatory matters. 

Legislation developed from the information gathering, meetings, 

and hearings includes H.R. 5840, the Insurance Information Act of 

2008; H.R. 5611, the National Association of Registered Agents and 

Brokers; and H.R. 5792, the Increasing Insurance Coverage Options for Consumers Act of 2008. Each of these legislative efforts 

were consensus-driven. 

On June 10, 2008, the Subcommittee held a hearing entitled, 

‘‘H.R. 5840, the Insurance Information Act of 2008.’’ H.R. 5840 

would create a Federal Office of Insurance Information within the 

Treasury Department to provide advice and expertise on insurance 

policy to the Administration and to the Congress. The purpose of 

the hearing was to examine and solicit comment on this bill. 

The Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises reviewed H.R. 5611 and H.R. 5792 at 

an insurance regulatory reform hearing on April 16, 2008, entitled, 

‘‘Examining Proposals for Insurance Regulatory Reform.’’ H.R. 5611 

would establish a reciprocal licensing process for insurance agents 

and brokers in the various States. H.R. 5792 would reform and expand the Product Liability Risk Retention Act of 1986 by allowing 

Risk Retention Groups (RRGs) to provide commercial property insurance to their members and require all RRGs to implement minimum corporate governance, disclosure, and financial reporting 

standards. 

The Subcommittee marked up and favorably reported H.R. 5840, 

H.R. 5611, and H.R. 5792 on July 9, 2008. The full House passed 

H.R. 5611 on September 17, 2008. 

Additionally, in October 2007, Subcommittee Chairman Kanjorski and Ranking Member Pryce, along with full Committee 

Ranking Member Bachus, initiated a review by the Government 

Accountability Office regarding the status of previous key GAO recommendations related to improving the regulation of insurance. 

BOND INSURANCE AND MUNICIPAL FINANCE

The Capital Markets Subcommittee was the first to recognize the 

potential systemic risk problems and market disruptions that a 

failure on the part of bond insurers could have. As early as late 

2007, Subcommittee staff participated in meetings with State and 

Federal regulators regarding the bond insurance industry. Staff 

also met with credit rating agencies and bond insurers. 

On January 24, 2008, Subcommittee Chairman Kanjorski wrote 

to Federal and State regulators, initiating an examination of the 

bond insurance industry, focusing on its strength, the resulting implications for the financial marketplace and municipalities of ratings downgrades, and the potential need for regulatory reforms. 

The letters were sent to Federal Reserve; the Federal Reserve 

Bank of New York; the Office of the Comptroller of the Currency; 

the Securities and Exchange Commission; the National Association 

of Insurance Commissioners; and insurance regulators in Maryland, New York, and Wisconsin (the three States with the most experience in regulating bond insurers). 


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On February 13, 2008, the Subcommittee held a hearing entitled, 

‘‘The State of the Bond Insurance Industry.’’ The purpose of this 

hearing was to discuss the implications of recent bond insurers’ 

ratings downgrades and implications for the stability of our nation’s financial sector and the broader economy. The hearing also 

examined the potential consequences for many participants in the 

financial marketplace of bond insurer credit downgrades (especially 

municipalities), the existing regulatory system, and the need for reform. The Subcommittee’s hearing also laid the groundwork for the 

Committee’s hearing entitled, ‘‘Municipal Bond Turmoil: Impact on 

Cities, Towns, and States’’ on March 12, 2008. 

The Subcommittee’s findings on bond insurance from this hearing were incorporated into H.R. 6308, Municipal Bond Fairness 

Act, which was passed by the Committee on July 30, 2008. Additionally, as a result of recommendations made at the hearing, Capital Markets Subcommittee Chairman Kanjorski and Ranking 

Member Pryce circulated a letter signed by 41 Members of the Financial Services Committee to the leadership of the Ways and 

Means Committee urging consideration of H.R. 2091, to permit 

Federal Home Loan Banks to provide letters of credit to municipalities in lieu of purchasing bond insurance. The Congress incorporated H.R. 2091 into section 3023 of H.R. 3221, the Housing and 

Economic Recovery Act. 

Finally, Chairman Kanjorski also wrote to the Treasury Department and the Federal Reserve to urge them to assist States and 

localities during the credit crisis because of ongoing municipal borrowing difficulties. 

TERRORISM INSURANCE

Because the Terrorism Risk Insurance Program was set to expire 

on December 31, 2007, the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises focused much of 

its initial work in the 110th Congress on reviewing this law, considering an extension of it, and reviewing statutory changes. On 

March 5, 2007, the Capital Markets Subcommittee held a hearing 

entitled, ‘‘The Need to Extend the Terrorism Risk Insurance Act,’’ 

in the City Council Chambers, New York City Hall. The hearing 

focused on the present availability of terrorism insurance in the 

private market. It also explored the need to extend the Terrorism 

Risk Insurance Act (TRIA) as amended by Terrorism Risk Insurance Extension Act and whether Congress should consider any 

modifications to the law. Witnesses included Senator Charles Schumer, New York City Mayor Michael Bloomberg, and representatives from entities directly impacted by any extension of TRIA, including insurance and real estate groups. 

On April 24, 2007, the Subcommittee held a hearing entitled, 

‘‘Policy Options for Extending the Terrorism Risk Insurance Act.’’ 

This hearing examined the policy options that Congress could consider in the coming months during the debates on extending the 

Terrorism Risk Insurance Program for a second time. Witnesses included representatives from a number of private entities. 

On June 21, 2007, the Subcommittee convened a hearing entitled, ‘‘Examining a Legislative Solution to Extend and Revise the 

Terrorism Risk Insurance Act.’’ The hearing focused on H.R. 2761, 


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the Terrorism Risk Insurance Revision and Extension Act of 2007. 

This legislation extended the Terrorism Insurance Program beyond 

its current expiration date of December 31, 2007. TRIREA also revised the existing program in several ways, including expanding 

the availability of insurance to protect against nuclear, chemical, 

biological and radiological (NBCR) events; adding group life as a 

line covered by the program; covering domestic terrorism events; 

adjusting event trigger levels to $50 million; and improving program administration. Witnesses included David Nason, Assistant 

Secretary for Financial Institutions, U.S. Department of the Treasury; Eric Dinallo, the Superintendent of the New York Insurance 

Department; and representatives from a wide variety of private entities. 

On July 24, 2007, the Subcommittee considered and favorably 

forwarded H.R. 2761 to the full Committee. The full Committee 

and the House subsequently passed H.R. 2761, which became Public Law 110–160 and is now known as the Terrorism Risk Insurance Program Reauthorization Act of 2007. 

Subsequent to enactment of the new law, Subcommittee staff 

participated in Government Accountability Office (GAO) briefings 

on reports required pursuant to the statute. GAO briefed staff on 

February 29, 2008, April 8, 2008, and October 15, 2008 regarding 

insurance coverage for nuclear, biological, chemical and radiological 

attacks and insurance coverage in high-risk areas. 

NATURAL DISASTER INSURANCE

On September 6, 2007, the Subcommittee held a joint hearing 

with the Subcommittee on Housing and Community Opportunity 

entitled, ‘‘H.R. 3355, the Homeowners Defense Act of 2007.’’ H.R. 

3355 provided Federal encouragement for States to develop Statesponsored reinsurance programs designed to enhance the efficiency 

by which catastrophic risks are transferred into the capital markets. Witnesses included several representatives from both the 

State and Federal government and representatives from several insurance and disaster mitigation trade organizations. 

The full Committee favorably reported H.R. 3355 on September 

26, 2007 and the full House passed the legislation on November 8, 

2007. 

REGULATION OF GOVERNMENT SPONSORED ENTERPRISES

On March 12, 2007, the Subcommittee held a hearing entitled, 

‘‘Legislative Proposals on GSE Reform.’’ The hearing focused on 

GSE regulatory reform proposals, including H.R. 1427, the Federal 

Housing Finance Reform Act of 2007. In general, H.R. 1427 sought 

to establish a new independent agency—the Federal Housing Finance Agency—to regulate Fannie Mae, Freddie Mac, and the Federal Home Loan Bank System. This new regulator would have powers to regulate safety and soundness of the GSEs on par with other 

Federal banking regulators, as well as mission oversight powers. 

The hearing also focused on policy issues related to the Federal 

Home Loan Banks. Witnesses included officers from Federal Home 

Loan Banks, several trade associations in the financial industry, 

and financial experts. 


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In late March 2007, the Committee considered and voted to favorably report H.R. 1427. The House then approved the legislation 

on May 22, 2007. The text of H.R. 1427 was subsequently incorporated into H.R. 3221, the Housing and Economic Recovery Act of 

2008, which became law on July 30, 2008. 

FEDERAL HOME LOAN BANK ECONOMIC DEVELOPMENT ACTIVITIES

The Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises initiated a review of the community 

and economic development activities of the Federal Home Loan 

Banks authorized by the Gramm-Leach-Bliley Act of 1999. An initial review determined that in 2007, the Federal Home Loan Banks 

had advances of more than $7.3 billion secured by community development, small business, and small agribusiness loans. On June 

18, 2008, Subcommittee Chairman Paul E. Kanjorski wrote to the 

Government Accountability Office to request a study of the community and economic development activities of the Federal Home 

Loan Banks. This study is now in progress. 

GOVERNMENT SPONSORED ENTERPRISES AND APPRAISALS

The Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises reviewed and monitored developments 

related to the Home Valuation Code of Conduct agreements 

reached between New York Attorney General Andrew Cuomo with 

Fannie Mae and Freddie Mac in March 2008, and the draft agreement’s interplay with the appraisal independence requirements 

contained in H.R. 3837, the Escrow, Appraisal and Mortgage Servicing Improvements Act. The staff-level activity included meetings 

with State and Federal regulators, representatives of the housing 

finance industry, appraisers, and other interested parties. 

CREDIT RATING AGENCIES

The Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises monitored and reviewed the implementation of the Credit Rating Agency Reform Act of 2006 via staff 

meetings and briefings with the Securities and Exchange Commission, ratings agencies, and other interested parties. The Capital 

Markets Subcommittee also examined how the credit rating agencies contributed to the credit crises at a hearing entitled, ‘‘The Role 

of Credit Rating Agencies in the Structured Finance Market’’ held 

on September 27, 2007. Witnesses at this hearing included investors, securitizers, ratings agency executives, and academics. The 

Subcommittee’s findings at this hearing were incorporated into provisions contained in H.R. 6308, Municipal Bond Fairness Act, 

which the Committee approved on July 30, 2008. 

EMERGENCY ECONOMIC STABILIZATION ACT OF 2008

The Subcommittee participated in legislative and hearing preparation in conjunction with the full Committee on the credit crisis 

and related economic turmoil. The Subcommittee also provided 

input and leadership to each of the following full Committee hearings: ‘‘The Future of Financial Services: Exploring Solutions for the 

Market Crisis’’ on September 24, 2008; ‘‘Oversight Hearing to ExVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00102 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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amine Recent Treasury and FHFA Actions Regarding the House 

GSEs’’ on September 25, 2008; ‘‘The Future of Financial Services 

Regulation’’ on October 21, 2008; ‘‘Oversight of Implementation of 

the Emergency Economic Stabilization Act of 2008 and of Government Lending and Insurance Facilities; Impact on Economy and 

Credit Availability’’ on November 18, 2008; and ‘‘Oversight Concerns Regarding Treasury Department Conduct of the Troubled Assets Relief Program’’ on December 10, 2008. 

The Subcommittee also focused its oversight on the implementation of H.R. 1424, the Emergency Economic Stabilization Act of 

2008, which became law in October 2008, and other existing Federal Government authorities used to help stem the economic crisis, 

especially those related to Federal aid provided to American International Group (AIG). Subcommittee Chairman Kanjorski sent inquiries to the Chairman of the Federal Reserve after press reports 

that AIG had paid for trips to resorts after receiving Federal funds. 

The letters also inquired about executive compensation and corporate governance reforms. 

LOAN MODIFICATIONS

On April 15, 2008, the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises held a hearing entitled, ‘‘H.R. 5579, the Emergency Mortgage Loan Modification Act.’’ 

H.R. 5579 would provide a safe harbor from investor lawsuits for 

mortgage servicers who engage in loan modification activities. The 

bill, introduced on March 11, 2008, would also establish that mortgage servicers who engage in loan modifications act in the best interest of pooled mortgages when doing so. The purpose of the hearing was to examine and solicit comment on this bill. On April 23, 

2008, the Committee marked up and favorably reported the bill by 

a voice vote. 

MARKET DATA

On December 17, 2007, Subcommittee Chairman Kanjorski wrote 

a letter to Securities and Exchange Commission Chairman Cox regarding market data. Chairman Kanjorski expressed concerns in 

the letter about the Commission’s course of action on this issue, 

urging the exploration other policy options that would better promote fairness and equity. Additionally, Subcommittee staff conducted a number of meetings with interested parties, including 

those for and those against the proposal. 

SOVEREIGN WEALTH FUNDS

On March 5, 2008, the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises along with the Subcommittee on Domestic and International Monetary Policy held a 

joint hearing entitled, ‘‘Foreign Government Investment in the U.S. 

Economy and Financial Sector.’’ Sovereign wealth funds—investment funds owned by national governments—are the most visible 

source of foreign government investment in the United States at 

present. Because these funds have increasingly made investments 

in U.S-owned banks, private companies, equity funds, and real 

property, among other assets, the Subcommittees held a hearing to 


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examine the implications for the U.S. financial system. Witnesses 

from the Federal Reserve, the Securities and Exchange Commission, and the Department of the Treasury, along with executives 

from some of the foreign sovereign wealth funds, appeared at the 

hearing. 

SECURITIES ACT OF 2008

During 2007 and early 2008, the staff of the Subcommittee on 

Capital Markets, Insurance, and Government Sponsored Enterprises reviewed recommendations made by the Securities and Exchange Commission to refine its authorities, enhance its oversight, 

and improve enforcement. On July 16, 2008, Subcommittee Chairman Kanjorski introduced H.R. 6513, the Securities Act of 2008, 

along with Subcommittee Ranking Member Pryce, Chairman 

Frank, and Ranking Member Bachus. On September 11, 2008, the 

House passed this bill under suspension of the rules. The Securities 

Act would amend the Federal securities laws to enhance the effectiveness of the Securities and Exchange Commission’s enforcement, 

corporation finance, trading and markets, investment management, 

and examination programs, and promote other purposes. The bill 

would also ensure that U.S. exchanges could compete on a level 

playing field with their foreign counterparts by modernizing portfolio-based margining requirements for the customers of brokerdealers. 

DERIVATIVES AND CREDIT DEFAULT SWAPS

The rapid growth of structured financial products, along with 

their complexity and lack of transparency, has raised concerns 

about the risks they pose to individual financial institutions and to 

the entire financial system. To address these concerns, Subcommittee Chairman Kanjorski on July 22, 2008, requested a review by the Government Accountability Office of a number of 

issues related to derivatives and credit default swaps, and subsequently full Committee Ranking Member Bachus joined the request. In light of the role that credit default swaps played in the 

downfall of American International Group and the intervention by 

the Federal Reserve, GAO was asked to expedite its work about the 

degree of oversight these products receive from financial market 

regulators and to make recommendations for regulatory reform. 

In addition to this request of the GAO, Subcommittee staff participated in numerous meetings and briefings throughout the 110th 

Congress with a number of parties involved in derivatives markets, 

from issuers to regulators. It focused much of its attention during 

the second half of 2008 on efforts by the New York Federal Reserve 

to improve transparency for credit default swaps by establishing a 

clearinghouse. 

HEDGE FUNDS

On January 24, 2008, the Government Accountability Office—at 

the request of Chairman Kanjorski, Chairman Frank, and Congressman Capuano—issued a report entitled, ‘‘Hedge Funds: Regulators and Market Participants Are Taking Steps to Strengthen 

Market Discipline, but Continued Attention Is Needed.’’ The report 


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highlighted the potential systemic risk hedge funds carry, examined what kind of regulation is already in place, and noted the 

progress that has been made toward imposing market discipline on 

hedge funds. Chairman Kanjorski, Chairman Frank, and Congressman Capuano wrote a follow-up letter on March 14, 2008 to Acting 

Comptroller Dodaro requesting further study and a follow-up report. 

On August 14, 2008, the Government Accountability Office 

issued a second report requested by Subcommittee Chairman Kanjorski, Chairman Frank, Congressman Capuano, and others entitled, ‘‘Defined Benefit Pension Plans: Guidance Needed to Better 

Inform Plans of the Challenges and Risks of Investing in Hedge 

Funds and Private Equity.’’ The report examined the increasing 

levels of investment by private pension plans in hedge funds and 

private equity funds. It concluded that those investment vehicles 

have lower levels of liquidity, less transparency, are more financially unpredictable, and have greater levels of risk than traditional investments. The report suggested that the Secretary of 

Labor—currently charged with monitoring the investments and 

other aspects of pension plans—provide more guidance in the area 

of investments in hedge and equity funds by pension plans. 

AUCTION RATE SECURITIES

In early 2008, the credit crisis resulted in illiquid markets for 

auction rate securities and auction rate preferred securities. The 

Subcommittee staff reviewed these developments with regulators, 

market participants, and investors. 

On February 28, 2008, Subcommittee Chairman Kanjorski, 

Chairman Frank, and Ranking Member Bachus wrote to the Securities and Exchange Commission urging that issuers be permitted 

to bid in auctions for their own securities. The Commission responded favorably permitting many hospitals and universities to 

lower their financing costs significantly. 

On April 21, 2008, Subcommittee Chairman Kanjorski and 

Chairman Frank also wrote to the Commission urging fast action 

on pending requests from mutual funds seeking regulatory clearance to issue new securities that could facilitate the redemption of 

auction rate preferred securities. Ranking Member Bachus wrote a 

similar letter independently. The Commission responded on June 

13, 2008, with a no-action letter to allow the mutual fund companies to move forward. 

Despite these efforts, many retail investors during the summer 

of 2008 remain trapped in frozen auction rate securities and unable 

to sell them. Additionally, student loan originators that relied on 

auction rate securities to finance their operations also continued to 

experience difficulties. To examine these issues, the staff of the 

Subcommittee worked with the full Committee to prepare for the 

September 18, 2008 hearing on ‘‘Auction Rate Securities Market: A 

Review of Problems and Potential Resolutions.’’ 


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SUBCOMMITTEE HEARINGS HELD

Serial No. Title Date(s) 

110–8 .................... The Need to Extend the Terrorism Risk Insurance Act .......................................... March 5, 2007 

110–12 .................. Legislative Proposals on GSE Reform .................................................................... March 12, 2007 

110–24 .................. Policy Options for Extending the Terrorism Risk Insurance Act (TRIA) ................. April 24, 2007 

110–43 .................. Examining A Legislative Solution to Extend and Revise the Terrorism Risk Insurance Act (TRIA).June 21, 2007 

110–60 .................. H.R. 3355, the Homeowners Defense Act of 2007 (Joint Hearing with Subcommittee on Housing and Community Opportunity).September 6, 2007 

110–62 .................. The Role of Credit Rating Agencies in the Structured Finance Market ................ September 27, 

2007 

110–66 .................. The Need for Insurance Regulatory Reform ........................................................... October 3, 2007 

110–77 .................. Additional Perspectives on the Need for Insurance Regulatory Reform ................ October 30, 2007 

110–91 .................. The State of the Bond Insurance Industry ............................................................. February 14, 2008 

110–94 .................. Foreign Government Investment in the U.S. Economy and Financial Sector (Joint 

Hearing with Subcommittee on Domestic and International Monetary Policy, 

Trade, and Technology).

March 5, 2008 

110–106 ................ H.R. 5579, the Emergency Mortgage Loan Modification Act of 2008 ................... April 15, 2008 

110–107 ................ Examining Proposals on Insurance Regulatory Reform ......................................... April 16, 2008 

110–118 ................ H.R. 5840, The Insurance Information Act of 2008 ............................................... June 10, 2008 


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SUBCOMMITTEE ON DOMESTIC AND INTERNATIONAL MONETARY

POLICY, TRADE, AND TECHNOLOGY

(Ratio: 14–12) 

Luis V. Gutierrez, Illinois, Chair 

CAROLYN B. MALONEY, NEW YORK 

MAXINE WATERS, CALIFORNIA 

PAUL E. KANJORSKI, PENNSYLVANIA 

GWEN MOORE, WISCONSIN 

GREGORY W. MEEKS, NEW YORK 

DENNIS MOORE, KANSAS 

WILLIAM LACY CLAY, MISSOURI 

BILL FOSTER, ILLINOIS 

ANDRE CARSON, INDIANA 

MELVIN L. WATT, NORTH CAROLINA 

BRAD SHERMAN, CALIFORNIA 

KEITH ELLISON. MINNESOTA 

TRAVIS CHILDERS, MISSISSIPPI 

BARNEY FRANK, MASSACHUSETTS, ex 

officio 

RON PAUL, TEXAS 

MICHAEL N. CASTLE, DELAWARE 

FRANK D. LUCAS, OKLAHOMA 

DONALD A. MANZULLO, ILLINOIS 

WALTER B. JONES, NORTH CAROLINA 

JEB HENSARLING, TEXAS 

TOM PRICE, GEORGIA 

PATRICK T. MCHENRY, NORTH 

CAROLINA 

MICHELE BACHMANN, MINNESOTA 

PETER J. ROSKAM, ILLINOIS 

KENNY MARCHANT, TEXAS 

DEAN HELLER, NEVADA 

SPENCER BACHUS, ALABAMA, ex officio 

SUBCOMMITTEE LEGISLATIVE ACTIVITIES

FOREIGN DIVESTMENT STRATEGY

On March 20, 2007, the Subcommittee on Domestic and International Monetary Policy, Trade and Technology held a legislative 

hearing entitled, ‘‘H.R. 180, The Darfur Accountability and Divestment Act.’’ The Subcommittee discussed the merits of legislation 

requiring the U.S. Treasury Secretary to establish a list of companies whose business activities in Sudan directly support the genocidal practices of the regime in Khartoum. The members also discussed granting authority to State and local governments who 

choose to divest their pension fund holdings from companies on the 

list and establishing a ‘‘safe harbor’’ for managers of mutual funds 

and corporate pension managers who choose to do the same. The 

Subcommittee also debated a measure in H.R. 180 to ban U.S. Government procurement contracts with companies on the Treasury 

list and authorizes the prohibition of these types of contracts at the 

State and local level. The Subcommittee heard testimony from the 

sponsor of the legislation, Rep. Barbara Lee, and from Rep. Frank 

Wolf, Rep. Donald M. Payne and Senator Sam Brownback. The 

Subcommittee also received testimony from Mr. Omer Ismail, Fellow, Kennedy School of Government at Harvard’s Carr Center for 

Human Rights Policy, Mr. John Prendergast, Senior Adviser, International Crisis Group, Mr. Michael L. Williams, Commissioner, 

Railroad Commission of Texas, Mr. Kenneth Bacon, President, Refugees International, Mr. Adam Sterling, Director, Sudan Divestment Task Force, and Mr. J. Stephen Morrison, Director, Africa 

Program, Center for Strategic & International Studies. 

COINS AND CURRENCY

On March 11, 2008, the Subcommittee on Domestic and International Monetary Policy, Trade, and Technology held a legislative 

hearing entitled, ‘‘H.R. 5512, the Coin Modernization and Taxpayer 

Savings Act.’’ The Subcommittee addressed the U.S. Mint’s concerns that pennies and nickels cost more to produce than their face 

value due to rising prices of copper and zinc. The U.S. Mint and 


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related industry representatives testified on the proposal to alter 

the metallic composition of pennies and nickels as a way to reduce 

production costs. The Subcommittee heard testimony from Honorable Edmund C. Moy, Director, U.S. Mint, The Honorable Jay W. 

Johnson, Consultant, Collector’s Universe, Former Director of the 

U.S. Mint, Former Member of Congress, Mr. Richard M. Geerdes, 

President & Chief Executive Officer, National Automatic Merchandising Association , and Mr. Michael J. Brown, Vice President of 

U.S. Public Affairs, Barrick Gold Corporation. 

SUBCOMMITTEE OVERSIGHT ACTIVITIES

INTERNATIONAL MONEY TRANSFERS

On March 7, 2007, the Subcommittee on Domestic and International Monetary Policy, Trade and Technology held a hearing entitled, ‘‘The Role of Remittances in Leveraging Sustainable Development in Latin America and the Caribbean.’’ The hearing focused 

on the increasing sums of remittances flowing into Latin America 

and the Caribbean from the U.S. and around the world, and discussed how these remittances can be leveraged by individuals, communities, banks, credit unions, international institutions, governments and NGOs and used for long-term development opportunities in the region. The Subcommittee heard testimony from Sergio 

Bendixen, President, Bendixen and Associates, Dr. Manuel Orozco, 

Remittances and Development Program, Inter-American Dialogue. 

Dr. Elisabeth Rhyne Senior Vice President, ACCION International, 

Ms. Nitza Segui Albino, International Migrants’ Development 

Fund, and Mr. Bruce McNamer President & CEO, TechnoServe, 

Inc. 

On May 17, 2007, the Subcommittee on Domestic and International Monetary Policy, Trade and Technology held a hearing entitled, ‘‘Remittances: Access, Transparency and Market Efficiency— 

A Progress Report.’’ The hearing examined consumer access to remittance transfer outlets, the costs associated with sending remittances, current levels of transparency regarding fees and exchange 

rates, and the effect of competition in the market place. The Subcommittee focused on the progress made by the industry in reducing consumer fees over the last several years, and explored whether these improvements are due primarily to increased competition 

in the market place, pressure from legislators or a combination of 

the two. The Subcommittee heard testimony from Ms. Annette 

LoVoi, Field Director, Appleseed, Ms. Beatriz Ibarra, Assets Policy 

Analyst, National Council of La Raza, Mr. David Grace, Vice President, Association Services, World Council of Credit Unions, Mr. 

Tom Haider, Vice President Government Affairs, Associate General 

Counsel and Chief Compliance Officer, MoneyGram International, 

Mr. Mark A. Thompson, Associate General Counsel, The Western 

Union Company, and Mr. James C. Orr, Chairman, Microfinance 

International Corporation 

TERRORIST FINANCING

On April 18, 2007, the Subcommittee on Domestic and International Monetary Policy, Trade and Technology held a joint hearing with the Subcommittee on Terrorism Nonproliferation, and 


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Trade of the Committee on Foreign Affairs, entitled, ‘‘Isolating 

Proliferators and Sponsors of Terror: The Use of Sanctions and the 

International Financial System to Change Regime Behavior.’’ The 

subcommittees discussed methods of discouraging private and public sector investments in Iran. Among the issues considered was 

legislation to require the U.S. Treasury Secretary to create a list 

of companies that invest over certain dollar amount thresholds in 

the Iranian energy sector. The subcommittees also discussed legislation allowing State and local pension funds to divest from Iran, 

should they choose to do so, and creating a ‘‘safe harbor’’ for mutual fund managers and private pension managers who wish to divest from Iran. The subcommittees received testimony from Ms. 

Patricia McNerney, Principal Deputy Assistant Secretary, Bureau 

of International Security and Nonproliferation, U.S. Department of 

State, Mr. Paul E. Simons, Deputy Assistant Secretary, Bureau of 

Economic, Energy, and Business Affairs, U.S. Department of State, 

Mr. Adam J. Szubin, Director, Office of Foreign Assets Control, 

U.S. Department of the Treasury, Mr. Daniel Glaser, Bureau of 

Terrorist Financing and Financial Crimes, Deputy Assistant Secretary, U.S. Department of the Treasury, The Honorable Sarah 

Steelman, Treasurer, State of Missouri, Mr. Roger W. Robinson, 

Jr., President and Chief Executive Officer, Conflict Securities Advisory Group, Mr. Jack Blum, Counsel, Baker Hostetler (former Special Counsel for Senate Foreign Relations Subcommittee on Terrorism, Narcotics, and International Operations), David L. Asher, 

Ph.D., Senior Associate Fellow, The Heritage Foundation, and Mr. 

Victor Comras, The Eren Law Firm (Former member of the United 

Nations al-Qaeda monitoring group). 

FOREIGN CURRENCY EXCHANGE RATES

On May 9, 2007, the Subcommittee on Domestic and International Monetary Policy, Trade and Technology, along with the 

Committee on Ways and Means Subcommittee on Trade, and the 

Committee on Energy and Commerce Subcommittee on Commerce, 

Trade, and Consumer Protection, held a joint hearing entitled, 

‘‘Currency Manipulation and Its Effects on American Businesses 

and Workers.’’ The hearing considered the extent to which Asian 

currencies, and particularly the Chinese renminbi and the Japanese yen, are significantly undervalued as a result of their governments’ interventions in currency markets. The hearing also discussed the impact of undervalued currencies on U.S. businesses 

and workers, and considered what action, if any, the United States 

should take to address exchange rate manipulation by other countries. The subcommittees heard testimony from The Honorable 

Donald L. Evans, Chief Executive Officer, Financial Services 

Forum, former Secretary, U.S. Department of Commerce, Mr. M. 

Brian O’Shaughnessy, President and Chief Executive Officer, Revere Copper Products, Inc., Stephen S. Roach, Ph.D., Managing Director and Chief Global Economist, Morgan Stanley, C. Fred 

Bergsten, Ph.D., Director, Peterson Institute for International Economics, Mustafa Mohatarem, Ph.D., Chief Economist, General Motors Corporation, Ms. Thea M. Lee, Policy Director, American Federation of Labor and Congress of Industrial Organizations, Mr. William Hickey, President, Lapham-Hickey Steel Corporation, The 


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Honorable Mark Sobel, Deputy Assistant Secretary for International Monetary and Financial Policy, U.S. Department of Treasury, The Honorable Stephen Claeys, Deputy Assistant Secretary for 

Antidumping and Countervailing Duty Operations, U.S. Department of Commerce, and The Honorable Daniel Brinza, Assistant 

U.S. Trade Representative for Monitoring and Enforcement, Office 

of the U.S. Trade Representative. 

UNITED STATES-RUSSIAN ECONOMIC RELATIONSHIP

On October 17, 2007, the Subcommittee on Domestic and International Monetary Policy, Trade and Technology held a hearing entitled, ‘‘U.S.-Russia Economic Relationship: Implications of the 

Yukos Affair.’’ The hearing focused on the losses suffered by U.S. 

shareholders as a result of the Yukos Russian Petroleum Company 

bankruptcy matter and the panel discussed whether the situation 

created an uncertainty among potential investors, which could result in a substantial loss of investment for Russia and impede its 

integration into the global economy. The Subcommittee heard testimony from Dr. Anders lund, Senior Fellow, Peterson Institute for 

International Economics, Dr. Clifford Gaddy, Senior Fellow, The 

Brookings Institution, Mr. Timothy Osborne, Senior Partner, 

Wiggin, Osborne, Fullerlove, and Mr. David Satter, Senior Fellow, 

Hudson Institute. 

FOREIGN INVESTMENT IN THE UNITED STATES

On March 5, 2008, the Subcommittee on Domestic and International Monetary Policy, Trade and Technology and the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises held a joint hearing entitled, ‘‘Foreign Government Investment in the U.S. Economy and Financial Sector.’’ The 

subcommittees heard from three sovereign wealth funds with 

records of stable commercial investment in the United States, and 

this marked the first time any sovereign wealth fund appeared before a Congressional committee. The subcommittees primarily focused on why these funds were created, what their investment 

goals are, and what degree of transparency they pursue in their operations. The subcommittees also discussed changes made to the 

CFIUS process through the Foreign Investment and National Security Act and considered the need for any additional domestic or 

international policy responses, including the development of best 

practices for sovereign wealth funds. During the hearing, the subcommittees heard testimony from The Honorable David McCormick, Under Secretary for International Affairs, U.S. Department 

of the Treasury, Mr. Ethiopis Tafara, Director, Office of International. Affairs, Securities and Exchange Commission, Mr. Scott 

Alvarez, General Counsel, Board of Governors of the Federal Reserve System, Mr. Martin Skancke, Director General, Asset Management Department, Ministry of Finance, Norway, Mr. Simon 

Israel, Executive Director, Temasek Holdings Ltd., David Denison, 

President and CEO, Canada Pension Plan Invmt. Board, and Dr. 

Matthew Slaughter, Professor, Tuck School of Business, Dartmouth 

College. 

In May 2008, the Subcommittee Chairman led a Congressional 

Delegation (CODEL) to the United Arab Emirates and Egypt to 


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meet with officials of sovereign wealth funds and other foreign 

leaders. The primary purpose of the CODEL was to meet with the 

managers and decision-makers at these large investment funds to 

assure them that America is open to foreign direct investment, 

while also outlining potential concerns about active foreign investment in certain sectors of the U.S. economy. The trip gave members of the delegation a deeper insight into how these funds operate and an understanding that all sovereign wealth funds are not 

the same in terms of government control and investment strategy. 

In addition to various representatives of the U.A.E. government, 

members of the CODEL met with representatives from the Abu 

Dhabi Investment Authority, the Mubadala Development Company, Dubai International Capital and Dubai World. In Egypt the 

delegation met with President Mubarak and Central Bank Governor Farouk el Okdah. 

On September 10, 2008, the Subcommittee on Domestic and 

International Monetary Policy, Trade and Technology held a hearing entitled, ‘‘Sovereign Wealth Funds: New Challenges from a 

Changing Landscape.’’ The Subcommittee discussed recent changes, 

both approved and proposed, in the regulation of sovereign wealth 

fund investments and practices, focusing in particular on changes 

Congress made to the CFIUS in 2007 and the IMF’s International 

Working Group of Sovereign Wealth Funds’ agreement on accepted 

principles and practices. Following up on the issues raised in the 

Joint Subcommittee hearing in March 2008, the Subcommittee will 

focused on issues of transparency and good governance with respect 

to specific funds. The subcommittee also discussed the impact sovereign wealth funds have on financial stability based on their investment decisions and the sheer size of the funds. Finally, the 

subcommittee debated concerns about sovereign wealth funds that 

take more active approaches to investment, seeking not just to invest in, but to control U.S. companies. The subcommittee received 

testimony from Dr. Edwin M. Truman, Senior Fellow, The Peterson 

Institute for International Economics, Dr. Brad W. Setser, Fellow 

for Geoeconomics, Council on Foreign Relations, and Dr. Daniel 

Drezner, Professor of International Politics, The Fletcher School, 

Tufts University. 

Throughout the 110th Congress, Committee and Subcommittee 

staff held numerous meetings with representatives of sovereign 

wealth funds, including the Government Pension Fund-Global of 

Norway, the Mubadala Development Company, and Temasek Holdings Ltd. The purposes of these meetings were to discuss changes 

Congress made to the CFIUS in 2007, transparency and good-governance practices within the funds, and potential concerns regarding sensitive investments in U.S. companies. During the 110th, 

Committee and Subcommittee staff also met regularly with senior 

personnel and staff of the U.S. Treasury Department and industry 

stakeholders to discuss implementation of the Foreign Investment 

and National Security Act regulations. 

COINS AND CURRENCY

On July 30, 2008, the Subcommittee on Domestic and International Monetary Policy, Trade, and Technology held a hearing 

entitled, ‘‘Examining Issues Related to Tactilely Distinguishable 


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Currency.’’ In May 2008 the U.S. Court of Appeals for the D.C. Circuit, in the American Council of the Blind v. Paulson, upheld a ruling of the U.S. District Court of the District of Columbia that the 

U.S. was in violation of the Rehabilitation Act for failing to make 

its currency ‘‘accessible.’’ The Subcommittee held a hearing to determine what steps the Treasury Department has taken to make 

U.S. currency accessible. During the hearing, the Bureau of Engraving and Printing, advocates for the blind and related industry 

representatives testified regarding the benefit of adding tactilely 

distinguishable characteristics to our currency, and on some of the 

technical obstacles that must be overcome in doing so. The Subcommittee heard testimony from Mr. Larry R. Felix, Director, Bureau of Engraving and Printing, U.S. Department of Treasury, Ms. 

Melanie Brunson, Executive Director, American Council of the 

Blind, Mr. Marc Maurer, President, National Federation of the 

Blind, Mr. Cyrus Habib, Disability Advocate, Mr. Richard M. 

Geerdes, President and Chief Executive Officer, National Automatic Merchandising Association, and Mr. Jeffrey G. Knoll, Executive Vice President and Corporate Counsel, Cummins-Allison Corporation 

During the 110th Congress, Committee and Subcommittee staff 

met regularly with staff of the United States Mint and the Bureau 

of Engraving and Printing on a variety of issues. On several occasions, staff met with the directors of the two bureaus. Committee 

staff also met regularly with staff of the Board of Governors of the 

Federal Reserve System on matters related to the distribution and 

circulation of coins and currency to financial institutions. 

INTERNET GAMBLING REGULATIONS

On April 2, 2008, the Subcommittee on Domestic and International Monetary Policy, Trade and Technology held a hearing entitled, ‘‘Pending UIGEA Regulations: Burden without Benefit?’’ The 

hearing focused on issues related to regulations proposed by the 

U.S. Treasury Department and the Federal Reserve Board for the 

Unlawful Internet Gambling Enforcement Act (UIGEA), for which 

the comment period concluded December 12, 2007. More than 200 

comments were received during the comment period and the subcommittee discussed many of the issues raised in those comment 

letters. The Subcommittee received testimony from The Honorable 

Valerie Abend, Deputy Assistant Secretary, U.S. Department of the 

Treasury, Ms. Louise L. Roseman, Director, Division of Reserve 

Bank Operations and Payment Systems, Board of Governors of the 

Federal Reserve System, Mr. Wayne Abernathy, American Bankers 

Association, Ms, Harriet May, President and Chief Executive Officer, Government Employees Credit Union, on behalf of the Credit 

Union National Association, Mr. Leigh Williams, President of 

BITS, on behalf of Financial Services Roundtable, and Mr. Ted 

Teruo Kitada, Senior Company Counsel, Wells Fargo Bank, N.A. 

DEVELOPMENT FUNDS

On June 5, 2008, the Subcommittee on Domestic and International Monetary Policy, Trade and Technology held a hearing entitled, ‘‘Examining the Administration’s Proposal to Establish a 

Multilateral Clean Technology Fund.’’ The hearing focused on the 


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President’s requested 3-year, $2 billion authorization for a U.S. 

contribution to help establish a multilateral ‘‘Clean Technology 

Fund’’ to be administered by the World Bank as an independent 

trust fund, with the purpose of deploying clean technology to reduce greenhouse gas emissions in major developing economies. In 

particular, the subcommittee discussed a number of potential concerns about the proposed fund by advocacy groups and experts 

working in the field. The Subcommittee heard testimony from The 

Honorable David McCormick, Under Secretary for International Affairs, U.S. Department of the Treasury, Mr. Brent Blackwelder, 

President, Friends of the Earth, Mr. David Wheeler, Senior Fellow, 

Center for Global Development, Mr. Jacob Werksman, Program Director, World Resources Institute, and Mr. Andrew Deutz, Senior 

Policy Advisor, The Nature Conservancy. 

SUBCOMMITTEE HEARINGS HELD

Serial No. Title Date(s) 

110–9 .................... The Role of Remittances in Leveraging Sustainable Development in Latin America and the Caribbean.March 7, 2007 

110–16 .................. H.R. 180, The Darfur Accountability and Divestment Act of 2007 ....................... March 20, 2007 

110–22 .................. Isolating Proliferators and Sponsors of Terror: The Use of Sanctions and the 

International Financial System to Change Regime Behavior.

April 18, 2007 

110–29 .................. Currency Manipulation and Its Effects on U.S. Businesses and Workers (Joint 

Hearing with Ways and Means Subcommittee on Trade and Energy and 

Commerce Subcommittee on Commerce, Trade and Consumer Protection).

May 9, 2007 

110–32 .................. Remittances: Access, Transparency, and Market Efficiency—A Progress Report May 17, 2007 

110–71 .................. U.S.-Russia Economic Relationship: Implications of the Yukos Affair .................. October 17, 2007 

110–94 .................. Foreign Government Investment in the U.S. Economy and Financial Sector (Joint 

Hearing with Subcommittee on Capital Markets, Insurance, and Government 

Sponsored Enterprises.

March 5, 2008 

110–98 .................. H.R. 5512, The Coin Modernization and Taxpayer Savings Act of 2008 ............... March 11, 2008 

110–102 ................ Proposed UIGEA Regulations: Burden Without Benefit? ......................................... April 2, 2008 

110–117 ................ Examining the Administration’s Proposal to Establish a Multilateral Clean 

Technology Fund.

June 5, 2008 

110–135 ................ Examining Issues Related to Tactilely Distinguishable Currency .......................... July 30, 2008 

110–137 ................ Sovereign Wealth Funds: New Challenges from a Changing Landscape .............. September 10, 

2008 


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SUBCOMMITTEE ON FINANCIAL INSTITUTIONS AND CONSUMER CREDIT

(Ratio: 25–22) 

CAROLYN B. MALONEY, New York, Chair 

MELVIN L. WATT, North Carolina 

GARY L. ACKERMAN, New York 

BRAD SHERMAN, California 

LUIS V. GUTIERREZ, Illinois 

DENNIS MOORE, Kansas 

PAUL E. KANJORSKI, Pennsylvania 

MAXINE WATERS, California 

RUBE ́ N HINOJOSA, Texas 

CAROLYN MCCARTHY, New York 

JOE BACA, California 

AL GREEN, Texas 

WM. LACY CLAY, Missouri 

BRAD MILLER, North Carolina 

DAVID SCOTT, Georgia 

EMANUEL CLEAVER, Missouri 

MELISSA BEAN, Illinois 

LINCOLN DAVIS, Tennessee 

PAUL W. HODES, New Hampshire 

KEITH ELLISON, Minnesota 

RON KLEIN, Florida 

CHARLES A. WILSON, Ohio 

GREGORY W. MEEKS, New York 

BILL FOSTER, Illinois 

ED PERLMUTTER, Colorado 

BARNEY FRANK, Massachusetts, ex officio 

JUDY BIGGERT, Illinois 

TOM PRICE, Georgia 

DEBORAH PRYCE, Ohio 

MICHAEL N. CASTLE ,Delaware 

PETER KING, New York 

EDWARD R. ROYCE, California 

STEVEN C. LATOURETTE, Ohio 

WALTER B. JONES, North Carolina 

SHELLEY MOORE CAPITO, West Virginia 

TOM FEENEY, Florida 

JEB HENSARLING, Texas 

SCOTT GARRETT, New Jersey 

GINNY BROWN-WAITE, Florida 

J. GRESHAM BARRETT, South Carolina 

JIM GERLACH, Pennsylvania 

STEVAN, PEARCE, New Mexico 

RANDY NEUGEBAUER, Texas 

GEOFF DAVIS, Kentucky 

PATRICK T. MCHENRY, North Carolina 

JOHN CAMPBELL, California 

KEVIN MCCARTHY, California 

DEAN HELLER, Nevada 

SPENCER BACHUS, Alabama, ex officio 

SUBCOMMITTEE LEGISLATIVE ACTIVITIES

CREDIT CARDHOLDERS’ BILL OF RIGHTS ACT OF 2008

(H.R. 5244) 

Summary 

H.R. 5244, the ‘‘Credit Cardholders’ Bill of Rights,’’ provides protections against anticompetitive, unfair and deceptive, but unfortunately common, credit card practices. The bill: (1) ends unfair, arbitrary interest rate increases; (2) allows consumers to set hard credit limits; (3) stops excessive ‘‘Over-the-Limit’’ fees; (4) ends unfair 

penalties for cardholders who pay on time; (5) requires fair allocation of consumer payments; (6) protects cardholders from due date 

gimmicks; (6) prevents companies from using misleading terms and 

damaging consumers’ credit ratings; (7) protects consumers from 

high-fee subprime credit cards; and (8) bars issuing credit cards to 

minors. 

Legislative History 

H.R. 5244, the Credit Cardholders’ Bill of Rights was introduced 

by Subcommittee Chair Maloney and 45 cosponsors on February 7, 

2008 and was referred to the House Committee on Financial Services. 

On April 17, 2008 the House Financial Services Committee referred the bill to the Subcommittee on Financial Institutions and 

Consumer Credit. 

On March 13, 2008, the Subcommittee held the first of two legislative hearings on the bill. This legislative hearing, entitled, ‘‘The 

Credit Cardholders’ Bill of Rights: New Protections for Consumers,’’ 


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focused on the provisions of H.R. 5244 that bar or restrict a number of controversial credit card practices, particularly ‘‘any timeany reason’’ rate increases, also called ‘‘risk-based repricing.’’ Witnesses included: Prof. Elizabeth Warren, Harvard Law School; 

Greg Baer, Deputy General Counsel, Regulatory and Public Policy, 

Bank of America; Professor Adam Levitin, Georgetown University 

Law Center; John Finneran, General Counsel, Capital One; Professor Lawrence Ausubel, University of Maryland; Ms.Carter 

Franke, Marketing Executive, JPMorgan Chase, and Professor 

Katherine Porter, University of Iowa Law School. 

On Thursday, April 17, 2008, the Subcommittee on Financial Institutions and Consumer Credit held the second legislative hearing, 

entitled, ‘‘Legislative Hearing on H.R. 5244, The Credit Cardholders’ Bill of Rights: Providing New Protections for Consumers.’’ 

The first of the four panels was composed of Senators with similar 

bills who requested to appear at this hearing to comment on H.R. 

5244: Senators Carl Levin and Ron Wyden. The second panel was 

composed of individual cardholders: Ms. Susan Wones, from Denver, Colorado; Mr. Steven Autrey, from Fredericksburg, Virginia; 

and Mr. Stephen Strachan, from York, Pennsylvania, who described their experience with credit cards and the effects of changes 

to the rate or other terms of the card on their financial affairs. The 

third panel was composed of representatives from the relevant Federal banking regulators: Ms. Sandra Braunstein, Director, Consumer Affairs Division, Board of Governors of the Federal Reserve 

System; Mr. Marty Gruenberg, Deputy Director, Federal Deposit 

Insurance Corporation; Ms. Julie Williams, Deputy Director and 

General Counsel, Office of the Comptroller of the Currency and Mr. 

John Bowman, General Counsel, Office of Thrift Supervision. The 

fourth panel was composed of issuers and consumer advocates: Mr. 

John Carey, Chief Administrative Officer and Executive Vice President, Citi Cards, Citigroup Inc.; Mr. Larry Sharnak, Executive Vice 

President and General Manager, U.S. Consumer Cards, American 

Express Company; Mr. Carlos Minetti, Executive Vice President, 

Cardmember Services and Banking, Discover Financial Services; 

Mr. Travis B. Plunkett, Legislative Director, Consumer Federation 

of America; Ms. Linda Sherry, Director, National Priorities, Consumer Action; and Mr. Ed Mierzwinski, Consumer Program Director, U.S. Public Interest Research Group. 

The Subcommittee was discharged on July 31, 2008. 

On July 31, 2008, the full Committee met in open session and 

ordered the bill to be reported, as amended, with a favorable recommendation on a recorded vote of 39 yeas and 27 nays. The Committee reported the bill to the House, H. Rept. 110–857, on September 16, 2008. 

On September 23, 2008, the House adopted H.Res. 1476, providing for the consideration of H.R. 5244 under a structured rule, 

by a recorded vote of 220 yeas and 194 nays. Also on that day, the 

House passed the bill by a recorded vote of 312 yeas and 112 nays. 

On September 24, 2008, the bill was received in the Senate. On October 2, 2008 the bill was read twice and referred to the Committee 

on Banking, Housing and Urban Affairs. 

No further action on this legislation was taken in the 110th Congress. 


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THE CONSUMER OVERDRAFT PROTECTION FAIR PRACTICES ACT

(H.R. 946) 

Summary 

H.R. 946, the Consumer Overdraft Protection Fair Practices Act, 

provides for disclosure at the ATM or point of sale when a transaction will trigger an overdraft fee, and requires the customer be 

given the opportunity to decline the transaction. It would also require that overdraft protection plans be treated as extensions of 

credit for the purposes of the Truth in Lending Act, that account 

holders be informed of the terms of the plan, and that consumers 

affirmatively opt in upon opening the account if they want such a 

service. It also prohibits banks from intentionally manipulating the 

order of deposits and withdrawals to generate overdraft fees. 

Legislative History 

H.R. 946, the ‘‘Consumer Overdraft Protection Fair Practices 

Act,’’ was introduced on February 8, 2007 by Subcommittee Chair 

Maloney and two original cosponsors and was referred to the Committee on Financial Services. On April 12, 2007, the bill was referred to the Subcommittee on Financial Institutions and Consumer Credit. 

On July 11, 2007, the Subcommittee on Financial Institutions 

and Consumer Credit held a hearing entitled, ‘‘Overdraft Protection: Fair Practices for Consumers’’ to examine issues raised by 

overdraft protection plans and the provisions of H.R. 946. Witnesses included: Mr. Eric Halperin, Director, Washington Office, 

Center for Responsible Lending; Mr. Oliver I. Ireland, Partner, 

Morrison & Foerster LLP; Ms. Chi Chi Wu, Staff Attorney, National Consumer Law Center; Ms. Nessa Feddis, Senior Federal 

Counsel, American Bankers Association; Ms. Sarah Ludwig, Executive Director, Neighborhood Economic Development Advocacy 

Project; Ms. Mary Cunningham, President & CEO, USA Federal 

Credit Union, and Ms. Jean Ann Fox, Director of Consumer Protection, Consumer Federation of America. 

No further action on this bill was taken in the 110th Congress. 

THE FINANCIAL CONSUMER HOTLINE ACT OF 2007

(H.R. 4332) 

Summary 

This legislation directs the Federal Financial Institutions Examination Council (FFIEC), a statutory interagency body empowered 

to prescribe uniform principles and standards for financial institutions, to set up the toll-free number and website. The Federal Reserve, the Federal Deposit Insurance Corporation (FDIC), the National Credit Union Administration (NCUA), the Office of the 

Comptroller of the Currency (OCC), and the Office of Thrift Supervision (OTS) are all members of FFIEC. This legislation also directs FFIEC to work with State banking regulators to integrate 

State regulated banks into the hotline service. 


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Legislative History 

H.R. 4332 was introduced by Subcommittee Chair Maloney with 

Chairman Frank on December 6, 2007. On that date it was referred to the Committee on Financial Services. The bill was referred to the Subcommittee on Financial Institutions and Consumer Credit on December 10, 2007. 

On December 12, 2007, the Subcommittee on Financial Institutions and Consumer Credit held a legislative hearing entitled, ‘‘The 

Financial Consumer Hotline Act of 2007: Providing Consumers 

with Easy Access to the Appropriate Banking Regulator.’’ The purpose of the hearing was to obtain comments from regulators and 

consumer advocates on the bill. Witnesses on the first panel included: Mr. John G. Walsh, Chief of Staff and Public Affairs, Office 

of the Comptroller of the Currency; Ms. Sandra Braunstein, Director of Consumer and Community Affairs, Board of Governors of the 

Federal Reserve System; Ms. Sandra L. Thompson, Director, Division of Supervision and Consumer Protection, Federal Deposit Insurance Corporation; Ms. Montrice Yakimov, Managing Director for 

Compliance and Consumer Protection, Office of Thrift Supervision; 

Mr. Leonard Skiles, Executive Director, National Credit Union Administration; and The Honorable Richard Neiman, Superintendent 

of Banks, New York State Banking Department. Witnesses on the 

second panel included: Ms. Jeannine Kenney, Senior Policy Analyst, Consumers Union and Mr. Ed Mierzwinski, Consumer Program Director, U.S. Public Interest Research Group. 

The bill was considered under suspension of the rules on April 

29, 2008. On motion to suspend the rules and pass the bill it was 

agreed to by the Yeas and Nays on a roll call vote of 408—1. On 

April 30, 2008, the bill was received in the Senate and read twice 

and referred to the Committee on Banking, Housing, and Urban 

Affairs. 

No further action on this legislation was taken in the 110th Congress. 

SUBCOMMITTEE OVERSIGHT ACTIVITIES

SUBPRIME MORTGAGE LENDING

On March 27, 2007, the Subcommittee on Financial Institutions 

and Consumer Credit held a hearing entitled, ‘‘Subprime and Predatory Mortgage Lending: New Regulatory Guidance, Current Market Conditions and Effects on Regulated Financial Institutions.’’ 

The hearing focused on the steps Federal financial regulators had 

taken to address problems in the subprime mortgage market. It 

also examined the potential safety and soundness as well as the 

broader economic impact subprime mortgage lending could have on 

the U.S. economy. The Subcommittee heard testimony from Federal 

and State regulators, three representatives of consumer advocacy 

groups, two representatives from trade associations representing 

banks and mortgage lenders as well as an economist. 

On May 8, 2007, the Subcommittee on Financial Institutions and 

Consumer Credit held a hearing entitled, ‘‘The Role of the Secondary Market in Subprime Mortgage Lending.’’ The hearing focused on how the secondary market had contributed to the expansion of the subprime mortgage loans and the role of the secondary 


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market with regard to remedies for homeowners and reforms to the 

primary subprime lending market. The Subcommittee heard testimony from a federally regulated financial institution, a credit rating agency, a mortgage servicer, two consumer groups representing 

homeowners, and two lawyers who have experience in securities 

law. 

On February 11, 2008, the Subcommittee on Financial Institutions and Consumer Credit held a field hearing in New York City 

entitled, ‘‘Effects of the Subprime Mortgage Crisis in New York 

City and Efforts to Help Struggling Homeowners.’’ The hearing focused on the impact of the subprime mortgage crisis has had on 

New York City with a focus on identifying neighborhoods most 

heavily impacted. The field hearing also explored the assistance 

available to struggling homeowners and what additional steps 

needed to be taken to prevent future problems in the subprime 

mortgage market. The Subcommittee heard testimony from the 

Speaker of the New York City Council, a representative from the 

New York State Banking Department, two consumer advocacy 

groups on behalf of New York homeowners, and a trade association 

representing mortgage bankers. 

CREDIT CARD REFORM

On April 26, 2007, the Subcommittee on Financial Institutions 

and Consumer Credit held a hearing entitled, ‘‘Credit Card Practices: Current Regulatory and Consumer Issues.’’ Credit card practices have drawn increased attention as consumer credit card debt 

continues to rise at an ever-increasing rate. The hearing examined 

certain billing, pricing, and disclosure issues and whether Federal 

or State regulation or legislation was needed to address them. Witnesses include both industry and consumer representatives as well 

as academics: Ms. Linda Sherry, Director, National Priorities, Consumer Action; Ms. Cindy Zeldin, Federal Affairs Coordinator, Economic Opportunity Programs, Demos: A Network for Ideas & Action; Mr. Arthur E. Wilmarth, Jr., Professor of Law, George Washington University Law School; Mr. Todd J. Zywicki, Professor of 

Law, George Mason University Law School; Mr. Edward L. 

Yingling, President and CEO, American Bankers Association and 

Mr. Oliver I. Ireland, Morrison and Foerster. 

On June 7, 2007, the Subcommittee on Financial Institutions and 

Consumer Credit held a hearing entitled, ‘‘Improving Credit Card 

Consumer Protection: Recent Industry and Regulatory Initiatives’’ 

This hearing focused on the proposal by the Federal Reserve to 

amend Regulation Z under the Truth in Lending Act and response 

to that proposal from industry, consumer groups, and small businesses. In addition, the hearing examined recent industry reforms, 

including initiatives to rein in certain practices such as universal 

default and double-cycle billing that had come under heavy criticism. The witnesses on the first panel included principals from the 

Board of Governors of the Federal Reserve, the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation, 

the Office of Thrift Supervision, and the National Credit Union Administration, as well as the Superintendent of the New York State 

Banking Department representing the Council of State Banking 

Supervisors. The second panel consisted of representatives from 


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Citi, Bank of America and Capital One, the Center for Responsible 

Lending, the U.S. Public Interest Research Group, the law firm of 

Sidley and Austin, and the National Small Business Association. 

On Tuesday, August 7, 2007, the Subcommittee on Financial Institutions and Consumer Credit held a field hearing entitled, 

‘‘Credit Cards and Older Americans’’ in the Halfmoon Senior Center, Halfmoon, New York. Congresswoman Kirsten Gillibrand also 

participated in that hearing. The hearing examined the rising level 

of personal debt, especially among fixed income older Americans, as 

well as options older consumers have and the special challenges 

they face when trying to reduce credit card debt. Witnesses included; Mr. Robert O’Connell, Executive Council, AARP-New York; 

Ms. Katie Porter, Associate Professor, College of Law, University of 

Iowa; Ms. Barbara Whipple, Barbaruolo Law Firm, PC; and Mr. 

David Billet, Director of Legislation and Government Affairs, New 

York State Banking Department. 

On Thursday, June 26, 2008, the Subcommittee on Financial Institutions and Consumer Credit held a hearing entitled, ‘‘Problem 

Credit Card Practices Affecting Students.’’ This hearing focused on 

the special issues that arise in the context of credit card marketing 

to students (especially college students), the accumulation of credit 

card debt by students, and the response to those issues from 

issuers, students, universities, and State authorities, with a view 

to whether Federal legislation is needed. Witnesses included: Mr. 

Benjamin Lawsky, Deputy Counselor and Special Assistant to the 

Attorney General of New York; Ms. Christine Lindstrom, Director, 

Higher Education Debt Project, USPIRG; Mr. Brett Thurman, 

President, Undergraduate Student Government, University of Illinois at Chicago; Mr. Kenneth J. Clayton, Managing Director and 

General Counsel, ABA Card Policy Council, American Bankers Association; Ms. Erica L. Williams, Policy and Advocacy Manager, 

Campus Progress Action; and Mr. Bruce A. Neiser, Director of 

Strategic Programs and Alliances, National Endowment for Financial Education. 

EXPEDITED FUNDS AVAILABILITY DOLLAR LIMITS ADJUSTMENT ACT OF

2008, H.R. 6871

On June 11, 2007, Chairman Frank and Subcommittee Chair 

Maloney wrote to Federal Reserve Chairman Bernanke requesting, 

among other things, input from the Federal Reserve on whether 

the statutory dollar amounts included under the EFAA should be 

indexed for inflation or increased to a specific dollar amount. The 

guidance received from the Federal Reserve in response to this request was incorporated into the text of H.R. 6871, the. ‘‘Expedited 

Funds Availability Dollar Limits Adjustment Act of 2008.’’ The bill 

directs the Federal Reserve to issue regulations within a year to 

make a one-time adjustment to certain statutory dollar amount 

limits under the Expedited Funds Availability Act and to index 

these amounts at least every five years based on a cost-of-living adjustment. 

H.R. 6871 was introduced on September 11, 2008, by Subcommittee Chair Maloney with Chairman Frank and was referred 

to the Committee on Financial Services. The Committee met in 

open session on September 16, 2008, and ordered H.R. 6871 favorVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00119 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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ably reported to the House by voice vote. The Committee report 

was filed on December 9, 2008 (H.Rept. 110–917). No further action 

on this legislation occurred in the 110th Congress. 

SUBCOMMITTEE HEARINGS HELD

Serial No. Title Date(s) 

110–18 .................. Subprime and Predatory Lending: New Regulatory Guidance, Current Market 

Conditions, and Effects on Regulated Financial Institutions.

March 27, 2007 

110–26 .................. Credit Card Practices: Current Consumer and Regulatory Issues ......................... April 26, 2007 

110–28 .................. The Role of the Secondary Market in Subprime Mortgage Lending ...................... May 8, 2007 

110–36 .................. Improving Credit Card Consumer Protection: Recent Industry and Regulatory 

Initiatives.

June 7, 2007 

110–49 .................. Overdraft Protection: Fair Practices for Consumers ............................................... July 11, 2007 

110–56 .................. Credit Cards and Older Americans (Field Hearing) ............................................... August 7, 2007 

110–84 .................. H.R. 4332, The Financial Consumer Hotline Act of 2007: Providing Consumers 

with Easy Access to the Appropriate Banking Regulator.

December 12, 2007 

110–89 .................. Effects of the Subprime Mortgage Crisis in New York City and Efforts to Help 

Struggling Homeowners (Field Hearing).

February 11, 2008 

110–100 ................ The Credit Cardholders’ Bill of Rights: Providing New Protections for Consumers March 13, 2008 

110–109 ................ H.R. 5244, The Credit Cardholders’ Bill of Rights: Providing New Protections for 

Consumers.

April 17, 2008 

110–125 ................ Problem Credit Card Practices Affecting Students ................................................ June 26, 2008 


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SUBCOMMITTEE ON HOUSING AND COMMUNITY OPPORTUNITY

(Ratio: 14–12) 

MAXINE WATERS, CALIFORNIA, Chair 

NYDIA M. VELAZQUEZ, NEW YORK 

STEPHEN F. LYNCH, MASSACHUSETTS 

EMANUEL CLEAVER, MISSOURI 

AL GREEN, TEXAS 

WILLIAM LACY CLAY, MISSOURI 

CAROLYN B. MALONEY, NEW YORK 

GWEN MOORE, WISCONSIN 

KEITH ELLISON, MINNESOTA 

CHRISTOPHER S. MURPHY, 

CONNECTICUT 

JOE DONNELLY, INDIANA 

MICHAEL E. CAPUANO, MASSACHUSETTS 

CHARLES A. WILSON, OHIO 

DON CAZAYOUX, LOUISIANA 

BARNEY FRANK, MASSACHUSETTS, ex 

officio 

SHELLEY MOORE CAPITO, WEST 

VIRGINIA 

STEVAN PEARCE, NEW MEXICO 

PETER KING, NEW YORK 

JUDY BIGGERT, ILLINOIS 

CHRISTOPHER SHAYS, CONNECTICUT 

GARY G. MILLER, CALIFORNIA 

SCOTT GARRETT, NEW JERSEY 

RANDY NEUGEBAUER, TEXAS 

GEOFF DAVIS, KENTUCKY 

JOHN CAMPBELL, CALIFORNIA 

THADDEUS MCCOTTER, MICHIGAN 

KEVIN MCCARTHY, CALIFORNIA 

SPENCER BACHUS, ALABAMA, ex officio 

SUBCOMMITTEE LEGISLATIVE ACTIVITIES

LEAD-SAFE HOUSING FOR KIDS ACT

(H.R. 3397/H.R. 6309) 

Summary 

H.R. 3397, the Lead-Safe Housing for Kids Act of 2007 lowers the 

environmental intervention blood lead level for children in residing 

in HUD housing as equal to the lower of: (1) ten micrograms of 

lead per deciliter; or (2) the elevated blood lead level of concern for 

a child under six years of age recommended by the Centers for Disease Control and Prevention. 

Legislative History 

H.R. 3397 was introduced by Mr. Ellison on August 3, 2007, and 

was referred to the Committee on Financial Services. On October 

19, 2007, the bill was referred to the Subcommittee on Housing and 

Community Opportunity. 

On May 14, 2008, the Subcommittee considered and forwarded 

the legislation, as amended, to the Full Committee with a favorable 

recommendation by voice vote. 

On June 19, 2008, Mr. Ellison introduced a similar bill, H.R. 

6309, the Lead-Safe Housing for Kids Act of 2008. On June 24, 

2008, the Committee on Financial Services met in open session and 

ordered reported H.R. 6309, as amended, with a favorable recommendation to the House by voice vote. On July 29, 2008, the 

Committee filed a report on the bill (H. Rept. 110–788). 

On July 31, 2008, the House considered the H.R. 6309 under suspension of the rules and passed the bill as amended by voice vote. 

No further action was taken on this legislation in the 110th Congress. 


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HOMES FOR HEROES ACT OF 2008

(H.R. 3329) 

Summary 

H.R. 3329, the Homes for Heroes Act, provides housing assistance for very low-income veterans. 

Legislative History 

H.R. 3329, the Homes for Heroes Act, was introduced by Mr. Al 

Green of Texas on August 2, 2007. On May 9, 2008, the bill was 

referred to the Subcommittee on Housing and Community Opportunity. 

On May 14, 2008, the Subcommittee considered the bill and forwarded the legislation, as amended, to the Full Committee with a 

favorable recommendation by voice vote. 

On June 24, 2008, the Committee on Financial Services met in 

open session and ordered reported H.R. 3329, as amended, with a 

favorable recommendation to the House by voice vote. 

On July 9, 2008, the House considered H.R. 3329 under suspension of the rules and passed the bill as amended by a 412–9 vote. 

No further action was taken on this legislation in the 110th Congress. 

SECTION 8 VOUCHER REFORM

On March 9, 2007, the Subcommittee on Housing and Community Opportunity held a hearing on H.R. 1851, the ‘‘Section 8 

Voucher Reform Act.’’ Witnesses included HUD Assistant Secretary 

for Public and Indian Housing Cabrera, representatives of public 

housing agency organizations, and housing advocates. 

FEDERAL HOUSING ADMINISTRATION MODERNIZATION

On April 19, 2007, the Subcommittee held a hearing on H.R. 

1852, the ‘‘Expanding American Homeownership Act of 2007’’ and 

issues relating to FHA modernization. Witnesses included FHA 

Commissioner Montgomery, as well as various organizations representing members active in FHA loans. 

NATIVE AMERICAN HOUSING ISSUES

The Subcommittee on Housing and Community Opportunity held 

a hearing on June 6, 2007 entitled, ‘‘H.R. 2786, Reauthorization of 

the Native American Housing Assistance and Self-Determination 

Act (NAHASDA).’’ The focus of the hearing was the reauthorization 

of the program, including its funding allocation process and the improvement of its oversight and management. Witnesses included 

representatives of Indian housing groups as well as Native American tribes receiving NAHASDA funds. 

NATIONAL FLOOD INSURANCE PROGRAM EXTENSION AND REFORM

On June 12, 2007, the Subcommittee on Housing and Community Opportunity held a hearing entitled, ‘‘The Flood Insurance Reform and Modernization Act of 2007, H.R. 1682.’’ Based on legislation that passed the House in the 109th Congress, H.R. 1682 was 


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designed to restore the financial solvency of and reform the National Flood Insurance Program (NFIP). The purpose of the hearing 

was to evaluate the effectiveness of this legislation in light of the 

experience of the NFIP following the 2005 hurricane season. Testifying before the subcommittee was a representative from the Federal Emergency Management Agency (which administers the NFIP) 

and several representatives from private sector groups. 

On July 17, 2007 the Subcommittee on Housing and Community 

Opportunity held a hearing entitled, ‘‘H.R. 920, the Multiple Peril 

Insurance Act of 2007.’’ H.R. 920 would create a new program in 

the NFIP to allow policyholders to purchase wind and flood coverage in one policy. H.R. 920 would require premiums for the new 

optional wind coverage to be risk-based and actuarially sound so 

that the program would be required to collect enough premiums to 

pay claims. The purpose of the hearing was to assess and discuss 

the legislation and examine what impact this legislation would 

have on the NFIP and the private insurance market. Testifying before the Subcommittee were several Members of the House, a representative from FEMA, a representative from the National Association of Insurance Commissioners and several representatives 

from private sector groups. 

SUPPORTIVE HOUSING

On September 6, 2007, the Subcommittee on Housing and Community Opportunity held a hearing entitled, ‘‘H.R. 2930, Section 

202 Supportive Housing for the Elderly Act of 2007.’’ The hearing 

focused on the current structure of the Section 202 Supportive 

Housing for Persons with disabilities and the modernization of the 

program. 

On June 20, 2008, the Subcommittee on Housing and Community Opportunity held a hearing entitled, ‘‘H.R. 5772, the Frank 

Melville Supportive Housing Investment Act of 2008.’’ The hearing 

focused on the modernization of the Section 811 Supportive Housing for Persons with Disabilities program. 

AFFORDABLE HOUSING PRESERVATION

On October 23, 2007, the Subcommittee on Housing and Community Opportunity held a hearing entitled, ‘‘H.R. 647, the Mark-toMarket Extension Act of 2007.’’ The hearing focused on HUD’s 

Mark-to-Market program, which reduces Section 8 subsidies to 

FHA-insured properties with above-market rents and restructures 

the mortgages of these properties so that owners can operate more 

effectively on less income and by charging more competitive rents. 

The subcommittee heard testimony from representatives from 

HUD, resident groups and owners of Section 8 housing. 

SUBCOMMITTEE OVERSIGHT ACTIVITIES

EMERGENCY NEEDS ON THE GULF COAST

On February 22 and 23, 2007, the Subcommittee on Housing and 

Community Opportunity held field hearings entitled, ‘‘Solving the 

Affordable Housing Crisis in the Gulf Region Post Katrina: Why no 

progress and what are the obstacles to success?’’ in New Orleans, 

Louisiana and Gulfport, Mississippi. The hearings focused on the 


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status of affordable housing recovery in the affected in the Gulf 

Coast, including the rebuilding of private homes, rental, assisted 

and public housing. The Committee reported favorably H.R 1227, 

the ‘‘Gulf Coast Hurricane Housing Recovery Act of 2007’’ on 

March 16, 2007. 

On May 8, 2008, the Subcommittee on Housing and Community 

Opportunity held a hearing entitled, ‘‘Emergency CDBG Funds in 

the Gulf Coast: Uses, Challenges, and Lessons for the Future.’’ The 

hearing examined the ways in which the affected Gulf Coast States 

put into action their CDBG disaster recovery funds, focusing on the 

continuing unmet affordable housing needs of residents. 

On June 4, 2008, the Subcommittee on Housing and Community 

Opportunity held a joint hearing with the Subcommittee on Emergency Communications, Preparedness, and Response of the Committee on Homeland Security entitled, ‘‘Examining the Roles and 

Responsibilities of HUD and FEMA in Responding to the Affordable Housing Needs of Gulf Coast States Following Emergencies 

and Natural Disasters.’’ The hearing focused on the availability 

and use of recovery funds for the rebuilding and redevelopment of 

public housing damaged or destroyed by natural disasters. 

PUBLIC HOUSING

On June 4, 2008, the Subcommittee on Housing and Community 

Opportunity held a joint hearing with the Committee on Homeland 

Security, Subcommittee on Emergency Communications, Preparedness, and Response. The joint hearing focused on barriers to the repair of damaged public housing units following Presidentially-declared emergencies or natural disasters and on the joint roles and 

responsibilities of HUD and FEMA in responding to housing needs 

following such emergencies or natural disasters. The Subcommittees heard testimony from representatives of HUD, FEMA public 

housing industry groups and tenant advocates from Mississippi and 

Louisiana. 

HOPE VI

On June 21, 2007, the Housing and Community Opportunity 

Subcommittee held a hearing to review the HOPE VI program, including the need for reauthorization, the impact of funding cuts on 

the ability of the program to meet the needs of distressed public 

housing developments, the benefits of mixed-use communities, and 

the implementation of Main Street Partnership. 

REAUTHORIZATION OF MCKINNEY-VENTO HOMELESS PROGRAM

On October 4, 2007 and October 16, 2007, the Subcommittee held 

hearings on H.R. 840, the ‘‘Homeless Emergency Assistance and 

Rapid Transition to Housing Act’’ (the ‘‘HEARTH Act’’), Witnesses 

included the Senate sponsor and lead cosponsor of counterpart Senate legislation, HUD Deputy Assistant Secretary for Special Needs 

Mark Johnston, Executive Director of the United States Interagency Council on Homelessness Philip Mangano, and representatives of various organizations active in homeless issues. 


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FHA DOWN PAYMENT ASSISTANCE PROGRAMS AND RELATED ISSUES

On June 22, 2007, the Subcommittee held a hearing on the FHA 

gift downpayment seller-financed loan program. Witnesses included 

the HUD Office of Single Family Housing Program Development 

Director, the HUD IG, the GAO, representatives from program 

sponsors, and housing advocates. 

RURAL HOUSING

On May 8, 2007, the Subcommittee on Housing and Community 

Opportunity held a hearing entitled, ‘‘Rural Housing Programs: Review Fiscal year 2008 Budget and Pending Rural Housing Legislation.’’ The Subcommittee heard testimony from the Administrator 

of the Rural Housing Service (RHS), Department of Agriculture 

(USDA), and from the Assistant Secretary for Community Planning 

and Development, Department of Housing and Urban Development. The hearing was designed to review the RHS’s fiscal year 

2008 budget proposal. 

AFFORDABLE HOUSING PRESERVATION

On July 10, 2007, the Subcommittee on Housing and Community 

Opportunity held a hearing entitled, ‘‘Affordable Housing Preservation: Lessons from Starrett City.’’ The subcommittee heard testimony from New York State and New York City officials and from 

tenant advocacy groups. The hearing focused on the proposed sale 

of Starrett City, the largest affordable housing development in the 

country and located in New York City, and the implications for existing tenants regarding continued affordability. 

MILITARY HOUSING

The Subcommittee on Housing and Community opportunity held 

a hearing entitled, ‘‘Affordable Housing Needs of America’s Low-Income Housing Veterans’’ on December 5, 2007. Witnesses included 

representatives from the U.S. Department of Veterans Affairs, the 

U.S. Government Accountability Office, homelessness advocacy 

groups, and veterans advocacy groups. The focus of the hearing 

was on the affordable housing needs of low-income veterans, and 

included a mention of H.R. 3329, the Homes for Heroes Act of 

2008. 

NATIONAL DISASTER INSURANCE

On March 27, 2007 the Subcommittee on Housing and Community Opportunity held a hearing entitled, ‘‘Perspectives on Natural 

Disaster Insurance.’’ This hearing explored various approaches proposed to handle the issue of natural disaster insurance, including, 

but not limited to, the provisions of various bills that were pending 

before Congress at the time. Witnesses included Representatives 

Taylor, Klein, Mahoney and Brown-Waite, a representative of the 

National Association of Insurance Commissioners and representatives of several insurance trade organizations. 

On September 6, 2007, the Subcommittee on Housing and Community Opportunity and the Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises held a joint hearing entitled, ‘‘H.R. 3355, the Homeowners Defense Act of 2007.’’ 


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The Homeowners’’ Defense Act would provide Federal encouragement for States to develop State-sponsored reinsurance programs 

designed to enhance the efficiency by which catastrophic risks are 

transferred into the capital markets. Witnesses included several 

Federal and State government representatives, as well as representatives from several insurance and consumer protection organizations. 

SUBCOMMITTEE HEARINGS HELD

Serial No. Title Date(s) 

110–5 .................... Solving the Affordable Housing Crisis in the Gulf Coast Region Post-Katrina, 

Part I (Field Hearing).

February 22, 2007 

110–6 .................... Solving the Affordable Housing Crisis in the Gulf Coast Region Post-Katrina, 

Part II (Field Hearing).

February 23, 2007 

110–11 .................. The Section 8 Voucher Reform Act ......................................................................... March 9, 2007 

110–19 .................. Perspectives On Natural Disaster Insurance .......................................................... March 27, 2007 

110–21 .................. Possible Responses to Rising Mortgage Foreclosures ........................................... April 17, 2007 

110–23 .................. The Expanding American Homeownership Act of 2007: H.R. 1852 and Related 

FHA Modernization Issues.

April 19, 2007 

110–27 .................. Rural Housing Programs: Review of Fiscal Year 2008 Budget and Pending 

Rural Housing Legislation.

May 8, 2007 

110–34 .................. Reauthorization of the Native American Housing Assistance and Self-Determination Act.June 6, 2007 

110–38 .................. The Flood Insurance Reform and Modernization Act of 2007, H.R. 1682 ............. June 12, 2007 

110–44 .................. 4Reauthorization of the Hope VI Program .............................................................. June 21, 2007 

110–45 .................. Homeowner Downpayment Assistance Programs and Related Issues ................... June 22, 2007 

110–47 .................. Affordable Housing Preservation: Lessons from Starrett City ................................ July 10, 2007 

110–50 .................. H.R. 920, The Multiple Peril Insurance Act of 2007 .............................................. July 17, 2007 

110–59 .................. H.R. 3355, the Homeowners Defense Act of 2007 (Joint Hearing with Capital 

Markets, Insurance, and Government Sponsored Enterprises).

September 6, 2007 

110–68 .................. Reauthorization of the McKinney-Vento Homeless Assistance Act, Part I ............. October 4, 2007 

110–70 .................. Reauthorization of the McKinney-Vento Homeless Assistance Act, Part II ............ October 16, 2007 

110–72 .................. The Impact of Late Housing Assistance Payments on Tenants and Owners in 

the Project-Based Rental Assistance Program.

October 17, 2007 

110–73 .................. H.R. 647, The Mark-to-Market Extension Act of 2007 ........................................... October 23, 2007 

110–76 .................. Affordable Housing Needs in the City of Houston: Unique Challenges and Opportunities (Field Hearing).October 29, 2007 

110–81 .................. Foreclosure Prevention and Intervention: the Importance of Loss Mitigation 

Strategies in Keeping Families in their Homes (Field Hearing).

November 30, 2007 

110–82 .................. Affordable Housing Needs of America’s Low-Income Veterans ............................. December 5, 2007 

110–96 .................. The Use of Federal Housing and Economic Development Funds in St. Louis: 

From ‘‘Team 4’’ Into the Future (Field Hearing).

March 8, 2008 

110–101 ................ Public Housing Redevelopment Strategies: Implications for Jordan Downs, its 

Community, and Residents (Field Hearing).

March 15, 2008 

110–108 ................ H.R. 5679, The Foreclosure Prevention and Sound Mortgage Servicing Act of 

2008.

April 16, 2008 

110–.

110 ........................ Emergency CDBG Funds in the Gulf Coast: Uses, Challenges, and Lessons for 

the Future.

May 8, 2008 

110–115 ................ Targeting Federal Aid to Neighborhoods Distressed by the Subprime Mortgage 

Crisis (Joint Hearing with Subcommittee on Domestic Policy of the Committee on Oversight and Government Reform).

May 22, 2008 

110–116 ................ Examining the Roles and Responsibilities of HUD and FEMA in Responding to 

the Affordable Housing Needs of Gulf Coast States (Joint Hearing with Subcommittee on Emergency Communications, Preparedness, and Response of 

the Committee on Homeland Security).

June 4, 2008 

110–123 ................ H.R. 5772, The Frank Melville Supportive Housing Investment Act of 2008 ........ June 20, 2008 

110–126 ................ Federal Spending Requirements in Housing and Community Development Programs: Challenges in 2008 and Beyond.July 9, 2008 

110–134 ................ Affordable Housing in West Virginia: Challenges in the Eastern Panhandle 

(Field Hearing).

July 29, 2008 


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SUBCOMMITTEE ON OVERSIGHT AND INVESTIGATIONS

(Ratio: 11–9) 

MELVIN L. WATT, North Carolina, Chair 

LUIS V. GUTIERREZ, Illinois 

MAXINE WATERS, California 

STEPHEN F. LYNCH, Massachusetts 

EMANUEL CLEAVER, Missouri 

MICHAEL E. CAPUANO, Massachusetts 

AL GREEN, Texas 

RON KLEIN, Florida 

TIM MAHONEY, Florida 

ED PERLMUTTER, Colorado 

JACKIE SPEIER, California 

BARNEY FRANK, Massachusetts, ex officio 

GARY G. MILLER, California 

PATRICK T. McHENRY, North Carolina 

EDWARD R. ROYCE, California 

RON PAUL, Texas 

STEVEN C. LaTOURETTE, Ohio 

J. GRESHAM BARRETT, South Carolina 

MICHELE BACHMANN, Minnesota 

PETER J. ROSKAM, Illinois 

KEVIN McCARTHY, California 

SPENCER BACHUS, Alabama, ex officio 

SUBCOMMITTEE OVERSIGHT ACTIVITIES

THE INSURANCE CLAIMS PROCESS AFTER HURRICANES KATRINA AND

RITA

The Oversight & Investigations Subcommittee held a series of 

hearings in the 110th Congress on the insurance claims payment 

process following Hurricanes Katrina and Rita. The first hearing 

entitled, ‘‘Insurance Claims Payment Processes in the Gulf Coast 

after the 2005 Hurricanes’’ was held on February 28, 2007. The 

hearing examined several concerns, including potential overpayment of claims by the National Flood Insurance Program (NFIP) 

due to nonpayment or underpayment of wind claims by private 

Write-Your-Own (WYO) insurance companies. Another concern is a 

potential conflict of interest as these same WYO insurance companies licensed by the NFIP to adjust flood claims paid by the NFIP 

simultaneously adjust their own wind claims paid by private insurance companies. Several members of Congress from the Gulf Coast 

region testified about the specific challenges to their constituents 

and communities following Hurricanes Katrina and Rita. A witness 

from the Federal Emergency Management Agency (FEMA) and the 

Mississippi Attorney General testified about the ongoing government efforts to provide oversight of the NFIP and investigate potential fraud against the program. 

The second hearing entitled, ‘‘National Flood Insurance Program: 

Issues Exposed by the 2005 Hurricanes’’ held on June 12, 2007 was 

a joint hearing with the Committee on Homeland Security, Subcommittee on Management, Oversight & Investigations. This hearing examined two interim reports issued by the U.S. Government 

Accountability Office (GAO) and Department of Homeland Security, 

Office of Inspector General (DHS–IG). Witnesses from the GAO 

and DHS–IG testified that FEMA lacked access to critical wind 

files maintained by private insurers under the WYO program to 

conduct proper oversight, however at that point in time, they did 

not have enough evidence to prove systematic defrauding of the 

NFIP by private insurers. 

A GAO report entitled, ‘‘NATIONAL FLOOD INSURANCE PROGRAM: Greater Transparency and Oversight of Wind and Flood 

Damage Determinations Are Needed,’’ (GAO–08–28) was released 

in December 2007. This report is a follow-up to the interim report 

discussed at the June 2007 hearing. The GAO found that because 


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the NFIP does not systematically collect and analyze both wind 

and flood damage claims data, it hurts FEMA’s oversight and quality assurance reinspection function. The GAO recommended that 

FEMA have access to both flood and wind files to ensure proper 

oversight. The DHS–IG report entitled, ‘‘Hurricane Katrina: Wind 

Versus Flood Issues,’’ (OIG–08–97) was issued in September 2008 

and is a follow-up to the DHS–IG interim report. As part of its investigation, DHS–IG subpoenaed insurance files from about 100 

damaged properties in Mississippi, Louisiana and Alabama and 

found that the NFIP did not improperly pay for wind damage. The 

DHS–IG did not find systematic defrauding of the NFIP by private 

WYO insurance companies; however, it recommended that FEMA 

have access to insurers’ wind files to foster proper oversight. 

In addition, the Subcommittee has been conducting an independent investigation into the insurance claims payment crisis 

after Hurricanes Katrina and Rita. During the 110th Congress, the 

Subcommittee issued voluntary document requests to certain insurance companies, engineering firms and adjustment firms that were 

operating in the Gulf Coast when the hurricanes struck in 2005, 

yielding over 10,000 pages of documents. A staff report on the investigation is pending. 

The Subcommittee’s work in this area helped inform the work of 

the Housing Subcommittee and the Full Committee in crafting 

H.R. 3121 (Flood Insurance Reform and Modernization Act of 2007) 

which would expand the NFIP to include wind damage, among 

other reforms. H.R. 3121 passed the House in September 2007 and 

amended by the Senate in May 2008. While the House appointed 

conferees subsequently, no further legislative activity occurred on 

H.R. 3121. In September 2008, legislation was enacted to extend 

the NFIP to allow House and Senate negotiators to complete work 

on a permanent extension to the program. 

MONEY LAUNDERING AND THE FINANCING OF TERRORISM

The Subcommittee held a hearing on May 10, 2007 entitled, 

‘‘Suspicious Activity and Currency Transaction Reports: Balancing 

Law Enforcement Utility and Regulatory Requirements’’ to examine the costs and benefits of ongoing regulatory and filing requirements, and opportunities to decrease the regulatory burden of complying with these and other statutes without impairing the operations of law enforcement. A representative from the Financial 

Crimes Enforcement Network (FinCEN) testified that the reports 

filed by financial institutions under the Bank Secrecy Act, which 

include Suspicious Activity Reports (SARs) and Currency Transaction Reports (CTRs), on financial transactions that raise suspicions of money laundering, terrorist financing or other financial 

misconduct, are necessary to law enforcement. A witness from the 

FBI Counterterrorism Division also testified that these filings are 

necessary for law enforcement purposes, even if it is difficult to 

draw a direct link between a SAR or CTR filing and law enforcement activity. Financial institution witnesses representing the 

American Bankers Association, Financial Services Roundtable and 

Independent Community Bankers of America testified about the 

cost and regulatory burdens of SAR and CTR filings and the tension with law enforcement, including the phenomenon of ‘‘defensive 


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filings’’ where some financial institutions may ‘‘overfile’’ SARs and 

CTRs even in marginal cases to avoid potential liability. 

THE HOME MORTGAGE DISCLOSURE ACT AND FEDERAL FAIR LENDING

ENFORCEMENT

The Subcommittee held a hearing entitled, ‘‘Rooting Out Discrimination in Mortgage Lending: Using HMDA as a Tool for Fair 

Lending Enforcement’’ on July 25, 2007. A representative from the 

Federal Reserve—the agency that implements the Home Mortgage 

Disclosure Act (HMDA) through Regulation C—testified at the 

hearing along with representatives from the other Federal financial 

services agencies, including the Federal Deposit Insurance Corporation (FDIC), the Office of Thrift Supervision (OTS), the Office 

of the Comptroller of the Currency (OCC), and the National Credit 

Union Administration (NCUA). The Federal Trade Commission, the 

Department of Justice, and the Department of Housing and Urban 

Development also testified. The hearing examined 2004 and 2005 

HMDA data, which revealed that there continue to be disparities 

in the incidence of higher-priced lending across racial and ethnic 

lines. The hearing also studied how Federal financial services agencies use HMDA data in their fair lending examinations of institutions under their authority. Most agencies use HMDA data as a 

screening tool to identify disparities in mortgage lending that warrant closer scrutiny. Several witnesses commented on the limitations of the HMDA data alone in accurately assessing patterns of 

mortgage lending to minorities. A number of the witnesses from 

consumer and civil rights organizations recommended that additional data be required to be collected under HMDA, including information on borrower’s credit history, debt-to-income ratio, or 

loan-to-property value ratio. A similar hearing entitled, ‘‘Mortgage 

Lending Disparities,’’ to review HMDA data patterns in the Greater Boston area was held by the Committee in Roxbury, Massachusetts on October 15, 2007. 

On April 11, 2008, Subcommittee Chairman Melvin Watt and Financial Services Committee Chairman Barney Frank, along with 

14 other Committee members, sent the Government Accountability 

Office a letter requesting that it conduct a comprehensive review 

of the current state of Federal enforcement of the Federal fair lending laws. That review is pending. 

DIVERSITY IN THE FINANCIAL SERVICES INDUSTRY

The Subcommittee held a series of hearings in the 110th Congress examining issues related to diversity in the financial services 

sector. The first hearing, held on October 30, 2007, was entitled, 

‘‘Preserving and Expanding Minority Banks.’’ The hearing examined the role of minority-owned financial institutions in the U.S. 

economy, as well as the effectiveness of Section 308 of the Financial Institutions Reform, Recovery and Enforcement Act of 1989 

(FIRREA), which requires the Department of Treasury, in consultation with the Federal Deposit Insurance Corporation and the Office 

of Thrift Supervision, to promote and preserve minority-owned financial institutions. Hearing witnesses included representatives 

from the Federal financial services agencies including OTS, FDIC, 


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OCC, and the Federal Reserve Board, as well as minority-owned financial institutions. 

At this hearing, a Government Accountability Office (GAO) representative testified about a GAO report entitled, ‘‘MINORITY 

BANKS: Regulators Need to Better Assess Effectiveness of Support 

Efforts,’’ (GAO–07–6), issued in October 2006. In this report, the 

GAO noted that many of the minority banks are located in urban 

areas and serve distressed communities and populations that have 

traditionally been underserved by financial institutions. The GAO 

found, among other things, that none of the banking regulators 

have routinely surveyed minority-owned financial institutions within their jurisdiction to assess the effectiveness of support efforts to 

minority banks, nor have they established outcome-oriented performance measures to gauge results. As a result, GAO concluded 

that regulators were not well positioned to assess the results of 

their efforts, or to identify areas for improvement. The GAO also 

noted that some minority bank officials commented that a provision 

in the Community Reinvestment Act (CRA) that allows regulators 

to give favorable CRA consideration to majority institutions that 

form partnerships with minority financial institutions through capital investments, loan participations and other ventures to help 

meet the credit needs of local communities was not effectively helping minority banks. 

As a result of the record established at this hearing, Subcommittee Chairman Melvin Watt introduced H.R. 4043, the ‘‘Preserving and Expanding Minority Depository Institutions Act,’’ on 

November 1, 2007. This bill would expand the requirements of Section 308 of FIRREA to the Federal Reserve and the Office of the 

Comptroller of the Currency and require all agencies subject to the 

provision to submit an annual report to the Congress on their efforts to promote and preserve minority-owned financial institutions. H.R. 4043 passed the House by voice vote on December 5, 

2007. 

On September 24, 2007, the House passed by voice vote H. Con. 

Res. 140, the ‘‘Financial Services Diversity Initiative,’’ which was 

introduced by Representative Gregory Meeks. This concurrent resolution recognizes the low presence of minorities in the financial 

services industry, particularly in upper levels of management. It 

also expresses the sense of Congress that active measures should 

be taken to increase the demographic diversity of the financial 

services industry. 

Partially in response to this concurrent resolution, the Subcommittee held another hearing entitled, ‘‘Diversity in the Financial Services Sector’’ on February 7, 2008. Hearing witnesses included representatives from the GAO, the U.S. Equal Employment 

Opportunity Commission (EEOC), as well as financial services diversity executives, foundations and think tanks that study diversity trends. The hearing examined a GAO report entitled, ‘‘Overall 

Trends in Management-Level Diversity and Diversity Initiatives, 

1993–2004,’’ (GAO–06–843T) that was issued on July 12, 2006. In 

this report, the GAO found that over an 11–year time period, diversity at the management level in the financial services sector did 

not increase significantly. Possible solutions to this continuing 

problem discussed at the hearing included improving the data (inVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00130 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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cluding EEOC data) on workforce diversity, increasing internship 

and mentoring opportunities for minorities and women, and encouraging efforts by the private sector to communicate both internally and externally the business case for diversity. Another issue 

raised by members at the hearing was the need to monitor the 

level of workforce diversity within the Federal financial services 

agencies. 

The issue of workforce diversity in the public sector was later addressed in legislation by Representative Maxine Waters, a member 

of the Subcommittee, who worked to include a provision in the 

Housing and Economic Recovery Act of 2008 (P.L. 110–289), which 

was signed into law on July 30, 2008, to establish within each regulated government-sponsored enterprise an Office of Minority and 

Women Inclusion to handle all matters relating to diversity in 

management, employment, and business activities. 

AVAILABILITY OF NATURAL DISASTER INSURANCE

The Subcommittee held a field hearing on February 11, 2008 in 

West Palm Beach, Florida entitled, ‘‘The Homeowners’’ Insurance 

Crisis and its Impact on Communities, Homeowners and the Economy.’’ Florida’s Insurance Commissioner testified, along with the 

mayor of Wellington, Florida and a local resident about the financial impact on State and local governments and residents of natural catastrophes and the withdrawal of insurance companies from 

coastal markets. 

The hearing explored possible solutions to the insurance coverage 

crisis, including H.R. 3355 (The Homeowners’ Defense Act of 2007), 

introduced by Representatives Klein and Mahoney, both of Florida, 

that would create a consortium for State-sponsored insurance funds 

to voluntarily bundle catastrophic risk with one another, and transfer that risk to the private markets through the use of catastrophe 

bonds and reinsurance contracts, among other reforms. H.R. 3355 

passed the House of Representatives in November 2007 and currently awaits Senate action. Representatives from the Florida Association of Realtors and Independent Insurance Agents and Brokers 

of America testified in support of H.R. 3355 and supported the idea 

of a comprehensive solution to the insurance crisis as a result of 

natural catastrophes. 

CREDIT SCORING AND INSURANCE

The Subcommittee held two hearings on the use of consumer 

credit information to underwrite and rate personal lines of insurance, including automobile and homeowners’ insurance. The first 

hearing, held on October 2, 2007, was entitled, ‘‘Credit-Based Insurance Scores: Are They Fair?’’ Under Section 215 of the Fair and 

Accurate Credit Transactions (FACT) Act, the Federal Trade Commission (FTC) and the Federal Reserve, in consultation with the 

Office of Fair Housing and Equal Opportunity of the Department 

of Housing and Urban Development, are required to study whether 

credit scores and credit-based insurance scores affect the availability and affordability of financial services and products. On July 

19, 2007, the FTC released the first portion of the statutorily required report entitled, ‘‘Credit-Based Insurance Scores: Impacts on 

Consumers of Automobile Insurance’’ that examined the use of 


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credit-based insurance scores to rate and underwrite automobile insurance. The second portion of that report, addressing homeowners’ 

insurance, is pending. 

Hearing witnesses included representatives from the FTC, several State insurance commissioners and civil rights organizations. 

The hearing examined State regulations and laws governing the 

use of credit-based insurance scores. The hearing also addressed 

the FTC report, and whether the validity of the report was compromised because the underlying data was supplied by the insurance industry on a voluntary basis and did not cover the entire 

automobile insurance market. Subsequently, the FTC decided to 

use its subpoena authority to compel data from a large cross section of insurance companies to complete the pending homeowners’ 

insurance study. 

A second hearing entitled, ‘‘The Impact of Credit-Based Insurance Scoring on the Availability and Affordability of Insurance’’ 

was held by the Subcommittee on May 21, 2008. This hearing examined more generally the use of consumer credit information in 

the underwriting and rating of personal lines of insurance. Witnesses included representatives from the FTC, the National Association of Insurance Commissioners, the National Conference of Insurance Legislators, and a number of civil rights and consumer organizations. 

As a result of concerns raised during these hearings about the 

impact of the use of credit-based insurance scores on consumers, 

particularly low-income and minority consumers, two members of 

the Subcommittee introduced separate bills relating to the use of 

consumer credit information for insurance purposes. Representative Luis Gutierrez introduced H.R. 5633, the ‘‘Nondiscriminatory 

Use of Consumer Reports and Consumer Information Act of 2008,’’ 

on March 13, 2008, and Representative Maxine Waters introduced 

H.R. 6062, the ‘‘Personal Lines of Insurance Fairness Act of 2008,’’ 

on May 15, 2008. Neither bill was considered by the Financial 

Services Committee during the 110th Congress. 

REGULATORY RESTRICTIONS PROHIBITING COLLECTION AND PUBLICLY

REPORTING RACIAL AND GENDER DATA OF NONMORTGAGE CREDIT

The Subcommittee held a hearing entitled, ‘‘The GAO Report on 

Regulation B: Should Lenders Be Required to Collect Race and 

Gender Data of Borrowers for All Loans?’’ on July 17, 2008. This 

hearing examined the impact of the current provision under Regulation B, which implements the Equal Credit Opportunity Act 

(ECOA), prohibiting lenders from collecting and publicly reporting 

racial and gender information of loan applicants for nonmortgage 

credit. 

In July 2007, Subcommittee Chairman Melvin Watt, along with 

Financial Services Committee Chairman Barney Frank and Financial Institutions and Consumer Credit Subcommittee Chair Carolyn 

Maloney, asked the Government Accountability Office (GAO) to review the impact of removing the general prohibition under Regulation B on collecting certain types of data. The GAO conducted this 

review and their report entitled, ‘‘FAIR LENDING: Race and Gender Data Are Limited for Non-Mortgage Lending’’ (GAO–08–1023T) 

was publicly released at the Subcommittee hearing. The GAO 


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found that most studies suggest that discrimination may play a 

role in certain types of nonmortgage lending but that data limitations impede efforts by researchers and regulators to fully understand the issue. These difficulties were also highlighted almost ten 

years ago in 1999 by the former heads of several Federal banking 

agencies in a joint comment letter to the Federal Reserve in which 

they stated that collecting racial and gender data of nonmortgage 

loan applicants would greatly assist private sector and government 

detention of discriminatory practices and increase access to credit 

to economically disadvantaged groups. 

Hearing witnesses included representatives from the GAO, the 

Federal Reserve, financial services and consumer advocacy organizations. While the witness from the financial services sector expressed concerns about the potential costs to the industry of increased data collection if the prohibition under Regulation B was 

eliminated, some of the other witnesses questioned whether these 

costs would be significant, noting that because many lenders already collect and publicly report data required under the Home 

Mortgage Disclosure Act, they may already have in place the necessary computer systems and training to collect similar data from 

nonmortgage credit applicants. 

CREDIT SCORES

The Subcommittee held a hearing on July 29, 2008 entitled, 

‘‘What Borrowers Need to Know About Credit Scoring Models and 

Credit Scores.’’ The hearing examined a number of issues relating 

to credit scoring, including how consumer reporting agencies develop credit scoring models; the use of credit scores by lenders to 

determine whether credit is extended to consumers and on what 

terms; consumers’ access to and understanding of credit scores; and 

the use of nontraditional data in assessing consumers’ creditworthiness. Witnesses included representatives from the nationwide consumer reporting agencies, academia, and consumer advocacy organizations. 

REFORM OF THE REAL ESTATE SETTLEMENT PROCEDURES ACT (RESPA)

The Subcommittee held a hearing on September 16, 2008 entitled, ‘‘HUD’s Proposed RESPA Rule.’’ The hearing explored the 

U.S. Department of Housing and Urban Development (HUD)’s proposed rule on the Real Estate Settlement Procedures Act (RESPA). 

There have been several attempts at RESPA reform over its 30– 

year history. The latest effort, which began in 2005, was the result 

of a series of round-table interviews and formal comments from 

consumer and industry groups, as well as government entities such 

as the Federal Reserve and the Federal Trade Commission. 

In a letter dated August 7, 2008, over 240 members of Congress 

strongly criticized the proposed RESPA rule as overly confusing to 

consumers and costly to small business. The bipartisan letter urged 

HUD to withdraw the proposed rule and open a new joint rulemaking with the Federal Reserve to coordinate with Fed regulations under the Truth-in-Lending Act (TILA), which is closely related with RESPA. Hearing witnesses representing the real-estate 

settlement industry also sought withdrawal of the rule and a joint 

rulemaking with the Federal Reserve. All of the hearing witnesses, 


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including consumer witnesses, criticized some aspects of the proposed rule, including its potential costs and consumer confusion 

about multiple and sometimes conflicting forms. 

The RESPA rule was finalized and published in the Federal Register on November 17, 2008. 

SUBCOMMITTEE HEARINGS HELD

Serial No. Title Date(s) 

110–7 .................... Insurance Claims Payment Process in the Gulf Coast After the 2005 Hurricanes February 28, 2007 

110–30 .................. Suspicious Activity and Currency Transaction Reports: Balancing Law Enforcement Utility and Regulatory.May 10, 2007 

110–39 .................. National Flood Insurance Program: Issues Exposed by the 2005 Hurricanes 

(Joint Hearing with Subcommittee on Management, Investigations, and Oversight of the Committee on Homeland Security.

June 12, 2007 

110–54 .................. Rooting Out Discrimination in Mortgage Lending: Using HMDA as a Tool for 

Fair Lending Enforcement.

July 25, 2007 

110–64 .................. Credit-Based Insurance Scores: Are they Fair? ...................................................... October 2, 2007 

110–78 .................. Preserving and Expanding Minority Banks ............................................................. October 30, 2007 

110–86 .................. Diversity in the Financial Services Sector .............................................................. February 7, 2008 

110–88 .................. The Homeowners’ Insurance Crisis and its Impact on Communities, Homeowners, and the Economy (Field Hearing).February 11, 2008 

110–113 ................ The Impact of Credit-Based Insurance Scoring on the Availability and Affordability of Insurance.May 21, 2008 

110–129 ................ GAO Report on Regulation B: Should Lenders Be Required to Collect Race and 

Gender Data of Borrowers for All Loans.

July 17, 2008 

110–133 ................ What Borrowers Need to Know About Credit Scoring Models and Credit Scores .. July 29, 2008 

110–138 ................ HUD’s Proposed RESPA Rule .................................................................................. September 16, 

2008 


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OVERSIGHT PLAN FOR THE 110TH CONGRESS 

Clause 2(d) of rule X of the Rules of the House of Representatives for the 110th Congress requires that each standing committee 

in the first session of a congress adopt an oversight plan for the 

two-year period of the Congress and submit the plan to the Committee on Oversight and Government Reform and the Committee 

on House Administration. 

Clause 1(d)(1) of rule XI requires each committee to submit to 

the House not later than January 2 of each odd-numbered year, a 

report on the activities of that committee under rules X and XI 

during the Congress ending on January 3 of such year. Clause 

1(d)(3) of rule XI also requires that the report include a summary 

of the oversight plans submitted pursuant to clause 2(d) of rule X; 

a summary of the actions taken and recommendations made with 

respect to each such plan; and a summary of any additional oversight activities undertaken by the committee and any recommendations made or actions taken thereon. 

Part A of this section contains the Oversight Plan of the Committee on Financial Services for the One Hundred Tenth Congress, 

which the Committee considered and adopted on February 13, 

2007. 

Part B of this section contains a summary of the actions taken 

to implement that plan and the recommendations made with respect to the plan. Additional oversight activities undertaken by the 

Committee, and the recommendations made or actions taken thereon, are contained in the specific sections relating to the activities 

of the full Committee and each of the subcommittees. 


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Part A 

OVERSIGHT PLAN OF THE COMMITTEE ON FINANCIAL 

SERVICES FOR THE ONE HUNDRED TENTH CONGRESS 

February 13, 2007.—Approved by the Committee on Financial 

Services 

Mr. FRANK, from the Committee on Financial Services, submitted to the Committee on Oversight and Government Reform 

and the Committee on House Administration the following 

REPORT 

Clause 2(d)(1) of rule X of the Rules of the House of Representatives for the 110th Congress requires each standing committee, not 

later than February 15 of the first session to adopt an oversight 

plan for the 110th Congress. The oversight plan must be submitted 

simultaneously to the Committee on Oversight and Government 

Reform and the Committee on House Administration. 

The following agenda constitutes the oversight plan of the Committee on Financial Services for the 110th Congress. It includes 

areas in which the Committee and its subcommittees expect to conduct oversight during this Congress, but does not preclude oversight or investigation of additional matters or programs as they 

arise. Any areas mentioned in the oversight plan may be considered by the Financial Services Committee, the four subcommittees 

of jurisdiction or the Subcommittee on Oversight and Investigations. The Committee will consult, as appropriate, with other committees of the House that may share jurisdiction on any of the subjects listed below. 

FINANCIAL INSTITUTIONS

Industrial Loan Companies. The Committee will continue to review the growth in the number of industrial loan companies, the 

impact of this growth on the historic separation between banking 

and commerce. Legislation is necessary in this area. 

Implementation of FACT Act. The Committee will monitor government and private sector implementation of the Fair and Accurate Credit Transactions (FACT) Act (Public Law 108–159), the 

2003 legislation that renewed certain key provisions of the Fair 

Credit Reporting Act (FCRA) and gave consumers important new 

rights and protections against identity theft, including the ability 

to obtain free credit reports annually. The Committee may examine 

whether, after the FACT Act is implemented, there remain barriers 

for consumers in maintaining accurate and complete consumer reporting files. The Committee will seek to determine if additional efforts need to be undertaken to promote voluntary reporting of data 

not currently being supplied to credit reporting agencies, to facilitate greater access to affordable financial products and services. 

Consumer Protections. In addition to issues addressed throughout 

this oversight plan that relate to consumers of financial services, 


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the Committee will consider other specific consumer protection 

issues within its jurisdictional purview, including, but not limited 

to, regulatory voids created by agency interpretations of the application or enforcement of State law over national banks, Federal 

thrifts and their affiliates or subsidiaries, marketing tactics, rising 

fees, and penalties on credit card, payday, mortgages and other 

consumer loans, unfair or deceptive acts or practices, the use of 

credit reports to change the rates and terms of pre-existing accounts, to ensure that the financial services industry fulfills its responsibility to treat its customers fairly and fully disclose the terms 

on which financial products and services are offered to the public. 

The Committee will also consider industry practices with respect to 

overdraft protection programs, deposit hold periods, and other fees. 

Provision of Credit to Military Personnel. The Committee will 

monitor the implementation of Section 670 of the John Warner National Defense Authorization Act for Fiscal Year 2007, Pub. L. 109– 

364, Section 670, ‘‘Limitations on Terms of Consumer Credit Extended to Service members and Dependents.’’ The Department of 

Defense is currently drafting the implementing regulations for this 

law, and the Committee will carefully review the impact that shortterm unsecured loans are having on the financial well-being of 

servicemembers, their families, and the overall readiness of the 

armed services. The Committee will also examine the potential impact that the law will have on financial institutions and on the 

availability and affordability of credit for military personnel. 

Data Security and Identity Theft. Building on the Committee’s 

longstanding role in developing laws governing companies’ handling of sensitive personal financial information about consumers 

(including the Gramm-Leach-Bliley Act and the FACT Act), the 

Committee will continue to seek legislation that better protects the 

security and confidentiality of such information from any loss, unauthorized access, or misuse. The Committee will analyze whether 

a national uniform data security standard which preempts State 

laws would better protect consumers, decrease costs, reduce regulatory conflict, and minimize frivolous lawsuits. The Committee 

will also review the appropriate standard for providing notices of 

data breaches to the affected consumers. Finally, the Committee 

will examine the extent to which State ‘‘file freeze’’ laws have been 

successful in protecting individuals from identity theft. 

Data Security for Government Agencies. The Committee will examine major data security breaches at government agencies to ensure that personal financial information is properly safeguarded 

and that the affected individuals receive prompt notification where 

that is appropriate. 

Mortgage Lending. The Committee will study the complex problem of, and potential solutions to, abusive and deceptive lending in 

the mortgage industry, particularly among those households with 

imperfect credit. The Committee recognizes that extending credit to 

underserved segments of the population has positive aspects and 

the Committee’s effort will be to decrease the amount of abuses 

without undermining such access to credit. In targeting abusive 

practices, the Committee will be cognizant of the need to avoid policy prescriptions that result in shutting off credit to underserved 

borrowers. The 2005 Home Mortgage Disclosure Act (HMDA) data, 


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like the 2004 HMDA data, continued to show substantial disparities in the incidence of higher-priced lending across racial and ethnic lines, with Black and Hispanic borrowers more likely to obtain 

loans with prices above the pricing thresholds than non-Hispanic 

white borrowers. The Committee will continue to examine HMDA 

data to help assess patterns of home mortgage lending to minority 

populations while recognizing the inherent limitations of any set of 

data. The Committee will extend its inquiry to examine all relevant 

factors. 

Diversity in the Financial Services Industry. The Committee will 

continue to explore the financial services industry’s efforts to attract and maintain a diverse workforce, and its efforts to enhance 

access to capital for minority- and women-owned firms. 

Diversity within the Federal Financial Services Agencies. The 

Committee will examine the level of racial, ethnic and gender diversity at senior management levels within the Federal financial 

services agencies. The Committee will also examine the policies, 

programs and initiatives used by these agencies to obtain and retain racial, ethnic and gender diversity among their senior managers and officers. 

Payments System Innovations. The Committee will review government and private sector efforts to achieve greater innovations 

and efficiencies in the payments system. The Committee will continue to monitor the implementation and impact of the Check 

Clearing for the 21st Century (Check 21) Act (Public Law 108–100). 

As part of this effort, the Committee will review the pending Federal Reserve study on the effects of the adoption of the Check 21 

Act on the financial services industry, including the appropriateness of the current maximum hold periods and amount limits provided under the Electronic Funds Availability Act, and the GAO report evaluating the implementation and administration of the 

Check 21 Act. The Committee will also review improvements to the 

payments system, including ACH debit entries, wire transfers, and 

international remittances. 

Basel Capital Accord. The Committee will continue to review 

changes to the Basel Capital Accord, which seeks to establish an 

international minimum standard for assessing regulatory capital 

cushions held by commercial banks, and monitor its implementation in the United States. The Accord seeks to determine the level 

of capital financial institutions must hold against various assets. 

The Committee will examine the need for the recommended 

changes and will address whether the proposed new capital charges 

will (1) result in a more safe and sound banking system; (2) have 

a discriminatory effect on any class of U.S. financial institutions; 

(3) create unnecessarily burdensome regulatory requirements; or 

(4) result in other unintended consequences. The Committee will 

also assess whether adequate arrangements have been made for 

the allocation of responsibilities among home and host regulators 

for reviewing and setting regulatory capital requirements within a 

banking organization. The Committee will continue to consider 

whether legislation is needed on the topic. 

Implementation of the USA PATRIOT Act. The Committee will 

monitor the government’s efforts to combat terrorist financing, including its enforcement of Title III of the USA PATRIOT Act (PubVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00138 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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lic Law 107–56) and its implementation of the counter-terrorist financing provisions included in the Intelligence Reform and Terrorism Prevention Act of 2004 (Public Law 108–796). 

Money Laundering and the Financing of Terrorism. The Committee will review enforcement of anti-money laundering laws and 

regulations, including but not limited to those enacted or implemented as part of the USA PATRIOT Act. The Committee’s work 

in this area will include an examination of (1) the costs and benefits of ongoing regulatory and filing requirements, and (2) opportunities to decrease the burden of complying with these and similar 

statutes without impairing the operations of law enforcement. This 

review will include an examination of the administration’s annual 

National Money Laundering Strategy. he Committee will also monitor the Office of Terrorism and Financial Intelligence, to ensure 

that adequate resources are applied efficiently, and in particular 

will monitor the effectiveness of the Financial Crimes Enforcement 

Network (FinCEN) and ongoing changes at the Office of Foreign 

Assets Control (OFAC), including adequate allocation of assets at 

OFAC to develop suitable, modern computer systems that allow it 

to do its job effectively. The Committee will also monitor the data 

mining and examination of personal financial information conducted by government agencies, to ensure that an appropriate balance is struck between law enforcement priorities and the protection of civil liberties. 

Money Service Businesses’ Access to Financial Institution Services. The Committee will examine why financial institutions continue to sever their relationships with Money Services Businesses 

(MSBs) and assess the effectiveness of FinCEN regulatory guidance 

to both MSBs and financial institutions, and review actions that 

regulators can take to ensure that such MSBs are not denied access to the banking system. 

Financial Supervision. The Committee will require Federal regulators to provide periodic updates on their safety and soundness supervision of the banking, thrift and credit union industries, to ensure that systemic risks or other structural weaknesses in the financial sector are identified and addressed promptly. The trend toward consolidation in the banking industry and the growing number of large credit unions serving broad fields of membership requires that Federal regulators maintain the expertise and risk 

evaluation systems necessary to oversee the activities of the increasingly complex institutions under their supervision. The Committee will also seek updates on consumer compliance supervision 

of financial institutions and review the regulatory enforcement of 

the Community Reinvestment Act, consumer protections, and agency customer service. The Committee may examine regulatory restrictions that prohibit the collection and public dissemination of 

racial and gender data of small business loans. The Committee will 

review the adequacy of the current reporting requirements under 

the Home Mortgage Disclosure Act. In October 2006, the Government Accountability Office (GAO) issued a report, ‘‘MINORITY 

BANKS: Regulators Need to Better Assess Effectiveness of Support 

Efforts,’’ at the request of a number of Democratic members of the 

Committee. The Committee will continue to monitor the Federal financial agencies’ efforts to promote and preserve minority-owned fiVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00139 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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nancial institutions by paying close attention to the agencies’ 

progress in implementing the goals outlined in GAO’s October 2006 

report. 

Commercial Real Estate Guidance. The Committee will review 

and monitor the Federal banking regulatory agencies’ implementation of the Commercial Real Estate Guidance issued by three of the 

four agencies. The Committee continues to be concerned over the 

lack of regulatory uniformity in this area. The Committee will examine whether there is a need to include participation by State supervisors. The Committee intends to monitor the agencies’ application of the Guidance to ensure that the thresholds that were incorporated in the Guidance are not applied as arbitrary ceilings, but, 

instead, as indicators showing that further analysis is warranted. 

Access to Financial Services. The Committee will continue to explore ways to expand access to mainstream financial services by 

traditionally underserved segments of the United States population, particularly those without any prior banking history (commonly referred to as the ‘‘unbanked’’). One area of review will be 

developments in the rapidly expanding marketplace for international remittances services used by individuals seeking to send 

funds back to relatives in their countries of origin. 

Implementation of Gramm-Leach-Bliley Act. The Committee will 

continue to monitor various aspects of the implementation of the 

Gramm-Leach-Bliley Act (GLB) to ensure that the benefits of that 

landmark financial modernization law are fully realized by consumers and the financial services sector. Included in the Committee’s review will be regulatory interpretations of GLB’s provision 

authorizing the Federal Reserve Board and the Treasury Department to define activities that are ’’financial in nature,’’ and therefore permissible for financial holding companies and financial subsidiaries. The Committee will also review government and private 

sector implementation of the financial privacy requirements of Title 

V of GLB, including the process by which consumers are given notice and choice about how their financial information is used and 

disseminated by financial firms. 

Deposit Insurance Reform. The Committee will monitor the implementation of the Deposit Insurance Reform Act of 2005 and the 

Federal Deposit Insurance Reform Conforming Amendments Act of 

2005, to ensure that deposit insurance continues to serve its historic function as a source of stability in the banking system and a 

valued safety net for depositors. 

Credit Unions. The Committee will review issues relating to the 

conversion policies and procedures, community reinvestment, safety 

and soundness and regulatory treatment of the credit union industry. 

Regulatory Burden Reduction. The Committee will review the 

current regulatory burden on banks, thrifts, and credit unions with 

the goal of reducing unnecessary, duplicative, or overly burdensome 

regulations, consistent with consumer protection and safe and 

sound banking practices. The Committee’s starting point will be 

the work done in the 109th Congress that resulted in passage of 

the ‘‘Financial Services Regulatory Relief Act of 2006’’ (Public Law 

109–351), but which did not include a number of provisions included in the House-passed regulatory relief bill, H.R. 3505. 


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Credit Card Regulation. The Committee will continue its review 

of credit card industry practices, particularly relating to marketing, 

fees and disclosures. The Committee will monitor the Federal Reserve Board’s review of the format and content of the disclosures 

required by the Truth in Lending Act related to open-end credit arrangements (such as credit card accounts). 

Remittances. The Committee will review the marketing and disclosure practices of financial institutions and money transmitters 

who offer international remittance services to consumers seeking to 

send funds to relatives in other countries. 

Credit Counseling. The Committee will review the credit counseling industry, which provides financial education and debt management services to consumers seeking to address excessive levels 

of personal indebtedness. 

Financial Literacy. The Committee will continue its efforts to 

promote greater financial literacy and awareness among the public. 

As part of these efforts, the Committee will review the implementation of Title V of the FACT Act (Public Law 108–159), which authorized the creation of a Financial Literacy and Education Commission comprised of senior officials from a wide cross-section of 

government agencies. 

Community Development Financial Institutions Fund. The Community Development Financial Institutions (CDFI) Fund was created in 1994 to promote economic revitalization and community development. The Committee will continue to oversee the Fund’s operations, particularly its progress in implementing reforms to make 

the grantmaking process fair and transparent. In addition, the 

Committee will examine the contribution of the Fund to community 

development and its measurement of the effect of its efforts in 

rural, urban, suburban, and Native American communities. The 

Committee will examine the extent to which demand for this program has increased, and whether authorization levels should be adjusted, and the effect that proposed Administration budget cuts 

would have on the Fund’s ability to foster community development 

across the country. The Committee will also monitor the CDFI 

Fund’s administration of the New Markets Tax Credits program, 

which was recently extended through 2008. 

Community Reinvestment Act. The Committee will review the 

manner and efficacy of the financial services agencies in assuring 

compliance with the Community Reinvestment Act (CRA), including the degree to which the regulators are consistent in applying 

the regulations to all institutions. The Committee wants to ensure 

that CRA loans, services, and investments are efficiently directed 

to the low and moderate income communities, and will also examine how well institutions are complying with the revised CRA regulations that were recently adopted. The Committee will review the 

effect the revised regulations have had on institutions’ lending, 

services, and investments in the communities in which they are located. 

Appraisals. The Government Accountability Office in a 2003 

study found that 69 percent of States need more staffing for appraisal industry oversight, and 40 percent needed more resources 

to support related litigation efforts. Since then, anecdotal media reports about appraisal fraud, lender pressure, and faulty appraisals 


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have continued to grow. The Committee will examine these matters, the effectiveness of the Appraisal Subcommittee of the Federal 

Financial Institutions Examination Counsel in overseeing Statebased appraisal enforcement and licensing programs, and the need 

for appraisal regulatory reform. 

Credit Monitoring. The Committee will study the development of 

the credit monitoring industry and the need for enhancing the protection that consumers purchasing this service have. 

SECURITIES

SEC Oversight. The Committee will monitor the operations of the 

Securities and Exchange Commission (SEC) and the impact of efforts to improve the coordination, effectiveness, and efficiency of its 

functions, including with respect to its supervisory and inspection 

functions; its efforts to provide investors with improved access to 

financial data filed with the SEC; and its initiatives to reduce regulatory duplication and promote regulatory cooperation. The Committee will also review proposals to enhance the functions of the 

SEC and for greater consolidation of domestic market regulation. 

Sarbanes-Oxley Act. The Committee will continue to monitor the 

impact of the Sarbanes-Oxley Act on investors, public companies, 

and markets, particularly with respect to the efforts of the SEC 

and Public Company Accounting Oversight Board (PCAOB) to improve the efficiency of implementation of the internal control requirements under section 404 of that Act, the impact of the Act’s 

corporate governance reforms, and the adequacy of investor protections provided by the Act generally. 

Public Company Accounting Oversight Board (PCAOB). The 

Committee will review the PCAOB’s oversight of public company 

auditors, including reforms of auditing standards and the results of 

the PCAOB’s inspection program. 

Financial Accounting Standards Board (FASB). The Committee 

will review the work of the FASB to improve financial accounting 

standards, including progress on efforts to reach convergence with 

the International Accounting Standards Board on accounting 

standards, continued consideration of the appropriate form for 

standards, and the implications of increased incorporation of market valuations under accounting standards. 

Convergence of International Accounting Standards. The Committee will review progress on efforts to converge generally accepted accounting practices in the United States and International Accounting Standards and toward acceptance of financial reports 

using the converged standards in the US and abroad. 

Corporate Governance. The Committee will review developments 

and issues concerning corporate governance in public companies, 

including proposals to increase accountability to shareholders 

through enhanced shareholder access to management’s proxy, 

shareholder nomination of directors, and majority voting. The Committee also will review issues raised with respect to the integrity 

of the shareholder voting process. 

Executive Compensation. The Committee will review the SEC’s 

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nies and empower shareholders to rein in executive pay where they 

deem appropriate. The Committee also may explore other current 

executive compensation and disclosure issues, including back-dating of stock options. 

Market Structure. The committee will monitor the implementation of the SEC’s revised rules governing the National Market System, including Regulation NMS, and the implications of those 

changes for securities markets and investors. The Committee also 

will monitor developments in exchange governance and the growth 

and innovation of exchange trading systems, competition among 

the numerous exchange and alternative trading venues, exchange 

mergers, market data distribution and fees, and other developments in the securities and options markets, such as penny pricing 

of options contracts, portfolio margining, the growth of Exchange 

Traded Funds (ETFs), and the use of practices like payment for 

order flow. 

International Exchange Mergers. The Committee will monitor the 

impact of cross-border exchange mergers in the securities and related markets, as well as implications for the continued oversight 

of combined organizations by national authorities. 

SRO Regulation. The Committee will review the effectiveness of 

self-regulatory organizations in the securities markets and assess 

the impact of proposed mergers of the regulatory functions on the 

securities markets, market participants, and investors, including 

the impact of harmonization of rules and arbitration systems. 

Securities Arbitration. The Committee will examine the impact of 

mandatory arbitration requirements on securities investors, as well 

as the balance, fairness, and efficiency of the current arbitration 

system. 

Investment Companies. The Committee will review the current 

state of regulation of investment companies and their advisors with 

respect to mutual fund operations, governance, disclosure, and 

sales, including the impact on investors of recent rule changes and 

court decisions. The Committee also will review the effectiveness 

and efficiency of the approval process for new products, such as exchange-traded funds. 

Hedge Funds. The Committee will examine the current state of 

the hedge fund markets to assess the impact of their growth, scope 

of activities, and prominence in financial markets. The Committee 

will review the potential impact of hedge funds activities on markets, investors, financial intermediaries, and companies. 

Global Competitiveness of U.S. Financial Markets. The Committee will examine recent data and studies concerning the competitive position of the U.S. financial markets and exchanges. The 

Committee also will assess proposals to enhance the competitiveness of U.S. markets, including those to streamline regulation of 

U.S. financial markets and institutions and to consolidate oversight 

of exchanges in a single regulator, as well as proposed corporate 

governance and litigation reform. 

Federal/State Allocation of Enforcement Responsibilities. The 

Committee will examine the impact of several pieces of legislation 

over the last decade streamlining securities registration and regulation and allocating responsibilities between State and Federal authorities. In particular, the Committee will examine the impact of 


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this legislation on the enforcement of the securities laws and 

whether loopholes have been created that permit fraudulent securities offerings to escape either Federal or State law enforcement. 

Rating Agency Reform. The Committee will monitor the SEC’s 

implementation of legislation to improve oversight of securities rating agencies. 

Business Continuity Planning. The Committee will monitor the 

implementation of the Interagency Paper on Sound Practices to 

Strengthen the Resilience of the U.S. Financial System as well as 

the related efforts of all participants in the securities industry to 

improve business continuity planning to protect investors against 

the effects of natural disasters, terrorism events, and pandemics. 

The Committee will also review the impact of global mergers and 

alliances and their impact on business continuity planning. 

SIPC. The Committee will examine the operations, initiatives 

and activities of the Securities Investor Protection Corporation 

(SIPC) and possible opportunities to better protect investors. 

Fair Fund. The Committee will examine the success of Federal 

regulators in implementing the Fair Fund provision established 

under the Sarbanes-Oxley Act to distribute civil fines and ill-gotten 

gains from corporate wrongdoers to defrauded investors. The Committee will review options for improving the operations of the Fair 

Fund. 

GOVERNMENT SPONSORED ENTERPRISES

Regulatory Reform. The Committee will continue efforts to improve the regulatory structure of the housing-related government 

sponsored enterprises (GSEs), including Fannie Mae, Freddie Mac, 

and the Federal Home Loan Banks (FHLBs). The Committee will 

consider proposals to consolidate GSE supervision under an independent regulator with enhanced supervisory and enforcement 

powers similar to those of the bank regulatory agencies. 

GSEs and Financial Disclosure. The Committee will review the 

progress of the financial restatements by Freddie Mac, Fannie Mae, 

and some FHLBs. The Committee also will review the status and 

results of registration with the SEC by the GSEs. 

Federal Home Loan Bank System. The Committee will monitor 

the Federal Home Loan Bank system’s ability to fulfill its housing 

mission and provide liquidity to member banks in a safe and sound 

manner. The Committee will also monitor the various regulatory 

initiatives undertaken by the Federal Housing Finance Board 

(FHFB) to alter the capital requirements of the Federal Home Loan 

Banks. 

Farm Credit System. The Committee will examine recent proposals to expand the scope of permissible activities for institutions 

that are part of the Farm Credit System and the implications for 

local communities and financial institutions. 

Board Director Appointments. The Committee will monitor the 

progress of the FHFB in fulfilling its statutory obligation to appoint directors to the boards on each of the FHLBs. 

FHLB Community and Economic Development. The Committee 

will focus on the efforts to advance community and economic development within the FHLB system, including the implementation of 

the enhanced targeted economic development lending for small 


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business, small farms, and small agri-businesses allowed under the 

Gramm-Leach-Bliley Act and of the performance of the FHLBs in 

implementing the FHFB’s community investment cash advance 

regulation. 

REFCorp Payments. The Committee will monitor the efforts of 

the housing GSEs to pay the obligations of the Resolution Funding 

Corporation (REFCorp) established to cover the costs of resolving 

the savings-and-loan crisis and the policy implications for the GSEs 

upon the satisfaction of the remaining REFCorp debts. 

HOUSING

Federal Housing Response to Hurricane Katrina. The Committee 

will conduct a hearing or series of hearings on the housing reconstruction needs created by Hurricane Katrina, including the availability of affordable housing for low-income families, the impact of 

Katrina on public and assisted housing, and the impact of communities experiencing an influx of persons from the Gulf Coast after 

Hurricane Katrina hit. In addition, the Committee will examine 

the role of government in long-term housing, as well as economic 

and infrastructure recovery of the Gulf Coast region and the ability 

of homeowners to rebuild, including the availability of homeowner’s 

insurance. The Committee will also be reviewing potential funding 

sources for the production, repair, and reconstruction of affordable 

housing in areas affected by Katrina, including funding that could 

be made available through a GSE Affordable Housing Fund. 

FY 2008 Budget for the Department of Housing and Urban Development, the Rural Housing Service, the Neighborhood Reinvestment 

Corporation and the National Flood Insurance Program. The Committee will conduct a hearing or hearings to consider Administration FY 2008 budget proposals for these agencies and programs, including receiving testimony from relevant agencies. 

Housing Production. The Committee may conduct a hearing or 

series of hearings on proposals to create a National Housing Trust 

Fund, possible funding mechanisms for this fund, and how both 

non-profit and for-profit organizations can participate in production 

programs. Issues to be considered include the extent to which the 

existing housing stock meets the demand for affordable housing by 

low-income families, seniors, and disabled persons; a review of Federal housing programs which can be used in the construction or 

substantial rehabilitation of affordable housing units; and strategies for developing additional affordable housing units. 

Housing Tax Credit Programs. The Committee may conduct a 

hearing or series of hearings on legislative and administrative proposals to provide for better coordination between the Low Income 

Housing Tax Credit Program and Federal housing programs under 

the Department of Housing and Urban Development and the Rural 

Housing Service which are used in conjunction with housing tax 

credits. 

Housing Preservation. The Committee will hold hearings on the 

importance of preserving federally assisted housing, including the 

challenge of maintaining housing affordability for those federally 

assisted properties scheduled to experience mortgage maturities in 

the next decade. The Committee will review HUD’s policies and 

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habilitate older assisted housing projects. The Committee may also 

explore other related topics, such as prepayment policies, troubled 

projects, renewal of expiring project-based voucher contracts and 

transfer of project-based section 8 contracts. The Committee may 

conduct a hearing, or series of hearings, on the transition of the 

Mark to Market program from the Office of Multi-family Housing 

and Restructuring to the new Office of Affordable Housing Preservation (OAHP) and on efforts by the OAHP to provide assistance 

to affordable housing areas in the oversight and preservation of affordable housing programs. The Committee may conduct a hearing, 

or series of hearings, on HUD’s property disposition program, and 

on the extent to which HUD has worked with local housing authorities and non-profit organizations to preserve the affordability 

of HUD’s inventory of multi-family housing following foreclosure by 

the borrower. Further, the Committee will review the circumstances by which current owners choose to leave the program 

and how incentives can be used, coupled with a reduced regulatory 

burden, to encourage continued participation by the private sector. 

Public Housing. The Committee will review the state of public 

housing programs, including the impact of cuts to the public housing operating and capital funds and to the HOPE VI program, and 

the impact of the elimination of the Drug Elimination Program. 

The Committee also will review HUD’s implementation of the 

Quality Housing Work Responsibility Act of 1998 (QHWRA), including the impact that conversion to asset-based management is 

having on public housing agencies in light of severe funding shortfalls for the public housing operating and capital fund programs; 

the Community Service requirement; the performance to date of 

Moving to Work agencies; and areas where unnecessary regulation 

could be curtailed, while fully maintaining protections for tenants. 

In particular, the Committee notes that QHWRA provided flexibility to the public housing authorities in managing public housing 

developments and programs while at the same time targeting housing to low income families, and the Committee will review which 

provisions from this 1998 act still have not been implemented by 

HUD. 

HOPE VI. The Committee will review the HOPE VI program, including the need for reauthorization, the impact of funding cuts on 

the ability of the program to meet the needs of distressed public 

housing developments, the benefits of mixed-use communities, and 

the implementation of Mainstreet Partnership. The Committee will 

review the progress by past HOPE VI award recipients of implementing and completing their revitalization plans, including the 

amount of funds that remain unspent in some HOPE VI accounts. 

Section 8 Housing Choice Voucher Program. The Committee will 

conduct a hearing or hearings on the Housing Choice Voucher Program. Such review may include consideration of legislation to reform the voucher funding formula, and to streamline the current 

voucher rent and inspection rules. The Committee will examine the 

adequacy and effectiveness of the voucher program in addressing 

the needs of low-income people. As part of this review, the Committee will examine the impact of high concentrations of tenant 

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tions such as mixed-use communities and transitioning to homeownership. 

Federal Housing Administration (FHA). The Committee will conduct hearings on the FHA single family loan program, including 

the causes and impact of the declining market share of the FHA 

program in relation to the overall mortgage market, the appropriate level of FHA loan limits in high-cost areas, the level of default and foreclosure rates, loss mitigation efforts, and program administration issues. In addition, the Committee will review the extent to which modernization of the FHA single-family program may 

address declining market share. The Committee will review legislation to authorize FHA to insure single family zero down payment 

loans and loans to borrowers with higher credit risk than FHA currently serves. The Committee will also review other FHA loan programs, including multi-family housing loans, manufactured housing loans, reverse mortgage loans (HECMs), and hospital and 

health care loans. 

Downpayment Assistance. The Committee may review the American Dream Downpayment Program, as it sunsets at the end of 

2007, to examine its record in moving low-income families to homeownership. 

Rural Housing Service (RHS). The Committee will conduct hearings to consider legislation to create a revitalization program at the 

Rural Housing Service to preserve and rehabilitate affordable housing under the Section 514, 515, and 516 multifamily housing programs. 

HUD Mission, Management Reform and Staffing. The Committee 

will review the overall mission, organization, human resources and 

information technology capabilities of the Department of Housing 

and Urban Development to determine whether the Department is 

meeting and addressing housing issues in the most efficient manner. 

Project-Based Section 8 Program. The Committee will review the 

GAO’s findings regarding the timeliness of Housing Assistance 

Payments (HAP) for project-based Section 8 properties. In addition, 

the Committee will review HUD’s policy on the renewal of expiring 

project-based Section 8 contracts as well as expiring project-based 

Section 8 certificates. 

Limited English Proficiency. The Committee will also review the 

Department of Housing and Urban Development’s final guidance 

on Limited English Proficiency, published pursuant to Executive 

Order 13166. 

Section 202 Elderly and Section 811 Disabled Housing. The Committee may hold a hearing on the Section 202 and 811 supportive 

housing programs for the elderly and disabled, including proposals 

to preserve the existing housing stock of 202 and 811 projects and 

to increase refinancing flexibility for such projects to carry out 

needed rehabilitation of older properties. 

Community Development Block Grant (CDBG) Program. The 

Committee will hold a hearing on the mission and objectives of 

CDBG funding and other HUD community development programs, 

including HUD implementation of these programs. 

Homelessness. The Committee will review the McKinney-Vento 

homeless assistance program, including the implications of data 


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provided by HUD’s Homeless Management Information Strategies 

(HMIS) nationwide homeless count. 

Oversight of Federal Housing Programs. The Committee may 

hold oversight hearings on other Federal housing programs run by 

the Department of Housing and Urban Development and the Rural 

Housing Services. 

National Flood Insurance Program. The Committee will conduct 

a hearing to consider legislation to reform the National Flood Insurance Program. The Committee will continue to monitor the National Flood Insurance Program’s policy sales, premium use, claims 

handling practices, mandatory purchase requirements, and subsidization of repetitive loss on nonresidential, vacation, and second 

home properties. In addition, the Committee will continue its review of the implementation of the Bunning-Bereuter-Blumenauer 

Flood Insurance Reform Act of 2004 (P.L. 108–264). 

Colonias. The Committee will review all the programs under the 

jurisdiction of the Subcommittee on Housing and Community Opportunity to assess the private and public sector response to housing and community development in the Colonias. The Colonias are 

generally identifiable communities in the U.S.-Mexico border regions (150 miles of the U.S.-Mexico border excluding Metropolitan 

Statistical Areas with populations exceeding one million) of Arizona, California, New Mexico, and Texas that are determined to be 

colonias on the basis of objective criteria, including lack of a potable water supply, inadequate sewage systems, and a shortage of decent, safe, and sanitary housing. 

Native American Housing Programs. The Committee will conduct 

hearings to consider legislation to reauthorize the Native American 

Housing Assistance Self Determination Act. The Committee will 

also continue to examine land title issues on Indian lands in connection with home ownership. 

Mortgage Foreclosures. The Committee may hold a hearing on 

the issue of home mortgage foreclosures, and the impact on borrowers of such foreclosures. 

Housing Counseling. The Committee will review current housing 

counseling programs, to determine whether current funding levels 

are adequate to meet need, and whether improvements could be 

made to enhance consumer education as well as prevent abusive 

lending practices. This review will encompass Federal, State, private and non-profit efforts to use homeownership counseling as a 

tool to prevent defaults and foreclosures in the mortgage markets. 

Fair Housing. The Committee will review fair housing enforcement, including the adequacy of resources and staffing levels, and 

the National Fair Housing Training Academy. 

Mortgage Finance Reform/Real Estate Settlement Procedures Act. 

The Committee may review issues related to the Real Estate Settlement Procedures Act (RESPA), including a Government Accountability Office report regarding the title insurance industry that is 

due this year. 

Escrows. The Committee will generally explore problems related 

to establishing and servicing escrow accounts. This examination 

will also focus on the need to advance Federal reforms to require 

escrow accounts for those homeowners with less-than-perfect credit 

scores or high-cost mortgages. 


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Mortgage Broker Licensing and Oversight. The Committee will 

explore ongoing State efforts to improve mortgage broker licensing 

and oversight, as well as proposed Federal solutions in this area 

to better protect homebuyers. 

INSURANCE

Terrorism Risk Insurance. If not extended, the Terrorism Risk 

Insurance Program established under the Terrorism Risk Insurance Act of 2002 (Public Law 107–297), as amended by the Terrorism Risk Insurance Extension Act of 2005 (Public Law 109–144), 

will expire on December 31, 2007. In order to ensure the continued 

availability of terrorism insurance coverage and protect the economic security of the United States, the Committee will work to extend the program and make needed changes to the Act. 

Sales of Insurance and Securities Products to Servicemembers. In 

response to abuses in the marketing and sale of securities and life 

insurance products to servicemembers, the 109th Congress enacted 

the Military Personnel Financial Services Protection Act (Public 

Law 109–290). The Act requires or requests a variety of actions 

and reports by various agencies and entities, including the Securities and Exchange Commission, the Department of Defense, the Inspector General of the Department of Defense, State insurance and 

securities regulators, and the National Association of Insurance 

Commissioners (NAIC). The Committee will monitor implementation of the Act and review these pending reports and actions. 

Regulatory Modernization. For more than 130 years, the States 

have had the primary responsibility for regulating the business of 

insurance, and in recent years many industry participants have 

called on policymakers to modernize and improve insurance regulation to reflect the realities of the 21st Century. Potential policy options to improve the efficiency and effectiveness of the insurance 

regulatory system include establishing an optional Federal charter 

for insurers, promoting greater State uniformity in insurance regulation via Federal legislation, and advancing by the NAIC of a coordinated State regulatory modernization effort. The Committee 

will continue to evaluate these policy alternatives. 

Agent and Broker Licensing Reform. As part of the GrammLeach-Bliley Act (Public Law 106–102), Congress sought to establish greater reciprocity or uniformity thresholds for non-resident 

producer licensing. Since then, many States have made considerable progress in streamlining their licensing systems. Nevertheless, 

the Committee will review the progress of the States in passing 

and implementing uniformity and reciprocity reforms for insurance 

agent and broker licensing. The Committee will also evaluate what 

other measures might help to promote even greater uniformity and 

reciprocity while still assuring sufficient consumer protections. 

Life Insurance Product Approval. The current State-by-State system for approving new life insurance products has resulted in economic inefficiencies and delays in bringing life insurance products 

to market. In order to fix this problem, the Interstate Insurance 

Product Regulation Commission was established to streamline such 

reviews. The Commission expects to begin accepting product filings 

for new life insurance products in early 2007. The Committee will 

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priate levels of uniformity and promote efficiency in the process of 

approving new life insurance products. 

Insurance Consumer Protections. Consumer advocates have 

raised concerns about the practice of recording consumer inquiries 

as part of consumer claim records. They have also identified a 

number of problematic insurance marketing practices like misleading sales and marketing representations, the churning of life 

insurance policies, coercion and pressure tactics, and product bundling. The Committee will examine the systems established by the 

States to protect consumers from such practices. 

Credit Scoring and Insurance. The U.S. Supreme Court has 

under consideration in its current term several consolidated cases 

involving when insurers need to inform individuals about adverse 

information contained in their credit reports that affects their premiums. The Committee will examine the forthcoming decision. 

Discrimination in Insurance. Section 215 of the Fair and Accurate Credit Transactions Act (Public Law 108–159) requires the 

Federal Trade Commission and the Federal Reserve, in consultation with the Office of Fair Housing and Equal Opportunity of the 

Department of Housing and Urban Development, to study and report to Congress on the effects of credit scores and credit-based insurance scores on the availability and affordability of financial 

products. The Committee will review this study. The Committee 

will also monitor the effects of other insurance companies’ underwriting and rating practices and policies to assess whether they unfairly decrease the availability and affordability of insurance coverage in certain geographical areas, particularly those that contain 

higher concentrations of racial and ethnic minority groups. 

Availability of Natural Disaster Insurance. In light of recent 

withdrawals from some insurance markets like those along the 

Gulf Coast and the Northeast Corridor, the Committee will review 

the general availability of insurance across the United States. This 

review will focus on availability and affordability of natural disaster insurance for homeowners and businesses, and the effects the 

2005 hurricane season had on the insurance marketplace. The 

Committee will also explore existing programs in foreign countries 

and the States for providing insurance or reinsurance for natural 

catastrophes. The Committee will also examine policy proposals for 

addressing market failures, including the potential to create an allperils policy. 

Uninsured Disaster Losses. Natural disasters often impose uninsured financial costs on individuals, private insurers, and Federal, 

State, and local governments. The Committee will therefore study 

how those at-risk are informed of the availability of Federal programs and private insurance coverage, and how well individuals, 

businesses, and local governments understand the risks they assume for uninsured disaster losses as a result of their choices. The 

Committee will also examine the extent to which risks are shared 

between government programs and private insurance and the extent to which the two cover disaster losses. 

Mega-Catastrophes. While the property and casualty insurance 

industry has absorbed the costliest insured event in U.S. history— 

Hurricane Katrina in 2005—without any systemic failure, many 

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ance partners have the financial capacity to absorb losses from 

even larger or multiple ‘‘mega-catastrophes’’ that may occur in the 

future as the result of global warming or other factors. The Committee will examine whether sufficient insurance and reinsurance 

capital exists to handle a mega-catastrophe and, if necessary, what 

prudent reforms would improve insurers’ access to capital in order 

to ensure adequate capacity in and solvency of the industry and to 

meet consumer needs. 

Katrina Claims. After Hurricane Katrina, many consumers experienced frustration in the processing of their claims, in terms of the 

timeliness and payments attributable to wind or water damage. 

The Committee will examine the claims-paying process used by private insurance companies and the need for possible reforms. 

Surplus Lines and Reinsurance. In the 109th Congress, the 

House passed H.R. 5637, the Nonadmitted and Reinsurance Reform Act of 2006. To promote greater efficiency in the surplus lines 

and reinsurance marketplaces used by large and sophisticated entities to obtain coverage against losses, the Committee will continue 

its review of these matters. 

Guarantee Funds. To protect policyholders in the event of an insolvency of an insurer, the States have in place a system of guarantee funds. The Committee will continue to monitor this system. 

Viaticals and Life Settlements. During the 1980s, the viaticals industry emerged as the AIDS epidemic took hold. More recently, a 

life settlement industry has developed to allow those who are not 

dying a chance to sell their life insurance policies for lump sum 

payments. The Committee will continue to monitor the evolution of 

these marketplaces. The Committee will also examine the efforts of 

State and Federal regulators to decrease the potential fraud and 

abuse in them, but also protect the interests of policyholders. 

Retirement Products. With the tremendous growth of personally 

controlled retirement savings over the last two decades and the 

coming wave of retirements of the Baby Boom generation, individuals will need to insure that their savings last throughout their retirements rather than relying heavily on former employers to manage pension assets and provide stable payments. The Committee 

will monitor the response of the insurance industry to these developments. The Committee’s focus may include an examination of hybrid annuity instruments that incorporate features of insurance, 

securities and banking products. The Committee will explore the 

ability of financial regulators to adequately protect consumers of 

such annuity products and whether any gaps in functional oversight exist. 

Business Continuity Planning. Business continuity planning has 

become a focus for all participants in the financial industry, including insurers, in light of terrorist attacks, large-scale natural disasters like Hurricane Katrina, and potential pandemics like avian 

flu. The Committee will continue to examine the ability of the insurance industry, State insurance regulators, the NAIC, and other 

interested parties to protect against potential disruptions in the insurance marketplace. 

Insurance Investments. The long-term nature of many insurance 

investments makes the industry a source of alternative funding for 

community improvements and large-scale infrastructure projects. 


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In Massachusetts, two specifically created pools—one for propertyand-casualty insurers and one for life insurers—already work to 

help fund the development of affordable housing, commercial and 

industrial real estate, small business, and other community 

projects. The Committee may examine ways to facilitate the ability 

of insurance companies to invest in the areas in which they conduct business or that need assistance. 

Insurance Intermediaries Practices. During the past two years, a 

number of cases of bid-rigging and kickbacks between insurance 

brokers and insurers have come to light. While the States have 

largely settled these investigations, the Committee may examine 

the extent to which the States have been unsuccessful in addressing and resolving the problems and in providing redress to insurance purchasers harmed by the practices. 

Risk Retention Groups. Two decades have now passed since Congress enacted the Risk Retention Act of 1981 and its 1986 amendments. The Committee may review the regulatory structure created 

by these laws to identify any potential problems resulting from the 

Act’s partial preemption of State insurance law, assess the Act’s effectiveness, and determine whether additional refinements to the 

Act could benefit insurance consumers. 

Reinsurance. Reinsurance is a tool that helps insurers to manage 

risk, but the insurance industry, particularly after large-scale disasters, sometimes experiences supply contractions and steep increases in reinsurance premiums. The Committee will study the 

present ability of insurers to obtain reinsurance in the United 

States and the ways in which to enhance its availability. 

International Developments. The business of insurance is no 

longer local or even national. The capital pools provided by the reinsurance industry and the adoption of international trade agreements have made the insurance industry a global one. The Committee may explore how the current State-by-State insurance regulatory system fits into this evolving global marketplace. 

Insurance Information. After the September 11, 2001 terrorist attacks and Hurricane Katrina, many noted that the Federal Government lacked an in-house resource for obtaining information about 

the insurance industry. A centralized insurance informational resource center within the Federal Government could help to better 

coordinate responses after disasters, enhance international discussions on insurance issues, and provide expert advice to both Congress and Federal financial regulators on issues affecting the insurance industry. The Committee may explore the options for improving the access of Federal policymakers to insurance information. 

INTERNATIONAL FINANCE

Annual Report and Testimony by the Secretary of the Treasury on 

the State of the International Financial System and International 

Monetary Fund Reform. The Committee will review and assess the 

annual report to Congress from the Secretary of the Treasury on 

the state of the international financial system and the International Monetary Fund (IMF). Pursuant to section 613 of Public 

Law 105–277, the Committee will hear annual testimony from the 

Secretary of the Treasury on the contents of this report, as well as 

on matters relating to the international financial institutions and 


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international economic issues generally. The Committee will also 

conduct oversight of U.S. participation in the reform efforts currently being considered by the IMF’s management and board, including changes to the IMF’s voting shares, lending arrangements, 

lending conditionality, and country surveillance activities. Should 

any reforms that are approved by the IMF’s board require a change 

in the institution’s charter, the Committee will be prepared to consider any necessary authorizing legislation. 

U.S.-E.U. Financial Sector Issues. The Committee will continue 

to monitor the progress of the European Union to build a unified 

financial services market, including implementation of revisions to 

corporate governance standards, adoption of International Accounting Standards, oversight of financial conglomerates and other regulatory structures. The Committee also will monitor assessments of 

regulatory equivalency in the U.S. and E.U., as well as developments in the allocation of home and host state responsibilities in 

connection with organizations and activities that cross jurisdictions. 

U.S. Oversight over the International Financial Institutions 

(IFIs). The Committee will review U.S. participation in, and the effectiveness of U.S. policy toward, the International Monetary Fund 

(IMF), the World Bank Group, and the regional Multilateral Development Banks (MDBs). The Committee will consider the findings 

of the Independent Evaluation Group’s 2006 ‘‘Annual Review of Development Effectiveness’’ of World Bank programs. The Committee 

will examine how some growth strategies appear more effective at 

reducing poverty than others and assess the degree to which economic growth has translated into sustained poverty reduction in 

Bank-assisted countries. The Committee will also look at how increasing income inequality has been shown to undermine the poverty-reducing effect of growth in a number of countries. 

The Committee will hold hearings to evaluate the role and effectiveness of the multilateral development institutions in helping to 

reduce poverty and foster growth in Africa, Latin America, and in 

other poor regions in the world. The committee will examine the 

role of trade and investment in promoting growth and reducing 

poverty in Africa and elsewhere, with particular attention to how 

the distribution of the gains of economic growth within a country 

are essential to sustainable growth. The Committee will monitor 

any effort by institutions to fund projects with further sales of gold 

reserves. 

Replenishment of the International Development Association 

(IDA). The Committee will consider legislation to authorize funds 

for the 15th replenishment of IDA, the concessional lending window of the International Bank for Reconstruction and Development. Special attention will be given to degree to which previous 

congressionally mandated reforms to improve transparency and improve anti-corruption measures at the IFIs have been adopted. 

The African Development Bank (AfDB) and the African Development Fund (AfDF). The Committee will monitor and conduct necessary oversight activities with respect to continued U.S. support 

for these regional African development institutions that focus on 

promoting sustainable economic growth and poverty reduction in 

Africa. 


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International Debt Relief. The Committee will monitor and conduct necessary oversight activities regarding the Multilateral Debt 

Relief Initiative (MDRI) proposed by the G8 finance minister in 

2005 and formally adopted in 2006. The MDRI provides 100% debt 

relief to select countries that are already participating in the jointIMF/World Bank Heavily Indebted Poor Countries (HIPC) program. 

Under the initiative, all pre-existing IMF, World Bank, and African 

Development Bank (AfDB) debt will be cancelled for any country 

that completes the HIPC program. The IMF will internally fund its 

debt relief in part with the money it obtained from the sale of some 

IMF gold in the late 1990s, while the World Bank and AfDB will 

be compensated by G8 donors. In March 2006, donors agreed to a 

financing package for the MDRI that stipulates additional donor 

contributions over time to ensure delivery of fresh resources for 

poverty reduction for the World Bank and the AfDB. 

Last fall, the Board of Governors on the Inter-American Development Bank (IDB) announced that it would cancel the debts of five 

impoverished countries in Latin America. The Committee will 

closely monitor the implementation, scope and duration of this debt 

cancellation program. 

Millennium Challenge Corporation (MCC). The Committee will 

continue to monitor the participation of the Secretary of the Treasury as a member of the board of the MCC. The MCC is designed 

to help developing nations improve their economies and standards 

of living by allocating bilateral development assistance based on 

specific criteria designed to measure progress in recipient countries’ 

ability to allocate resources in support of good governance, investment in health and education, and economic policies that foster 

economic freedom. 

Counter-terrorism Financing Policy. The Committee will continue 

to monitor the role of the Treasury Department in promoting the 

adoption and implementation of counter-terrorism standards 

around the world through the Financial Action Task Force (FATF), 

the IMF, and the MDBs as well as the evolution of the standards 

themselves as promulgated by FATF. The Committee will also 

monitor the Office of Technical Assistance at Treasury, its coordination with the other agencies in the Terrorist Financing Working 

Group and its assessment and alignment of resources in the delivery of counter-terrorism financing training and technical assistance 

abroad. 

Global Fund to Fight AIDS, Tuberculosis and Malaria. The Committee will continue to monitor the role of the World Bank as nonvoting board member and trustee of the Global Fund to Fight 

AIDS, Tuberculosis and Malaria in addition to assessing the status 

of the World Bank’s programs to reduce HIV/AIDS in developing 

countries. 

Exchange Rates. The Committee will review and assess the semiannual report to Congress from the Secretary of the Treasury on 

International Economic and Exchange Rate Policies pursuant to 

the Omnibus Trade and Competitiveness Act of 1988. The Committee will monitor developments related to the exchange rate policies of the United States’ major trading partners and will pay particular attention to the policies of countries that seek to maintain 

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sess the effects of these currency practices on the competitiveness 

of U.S. firms and on the stability of the international financial system. 

Global capital flows. The Committee will monitor the effects of 

the flow of capital globally, and in particular, trends in foreign 

countries’ investments of their large currency reserves in the 

United States and other countries. The Committee will assess the 

effects of the investment of these reserves on global financial stability and on multilateral policy initiatives. The Committee will 

also assess U.S. and multilateral polices on the regulation of capital flows. 

Committee on Foreign Investment in the United States. The Committee will act on legislation to reform the process by which foreign 

investments into the United States are assessed for their national 

security implications through the interagency Committee on Foreign Investment in the United States (CFIUS). The Committee will 

closely monitor CFIUS actions to seek to ensure that foreign investments that pose legitimate threats to national security are either rejected or the threats are effectively mitigated. The Committee will also monitor the extent to which the United States 

maintains a policy of openness toward foreign investment, so that 

investments that pose no threat to national security are able to go 

forward. 

Trade in Financial Services. The Chairman and the Ranking 

Member of the Committee continue to serve on the Congressional 

Oversight Group on Trade, pursuant to the Trade Promotion Authority Act (Public Law 107–210). In this capacity, the Committee 

will remain active in the oversight of trade negotiations and will 

consult regularly with the United States Trade Representative on 

matters within the jurisdiction of the Committee, including the financial services and investment provisions of bilateral and regional 

trade agreements, as well the financial services elements of multilateral trade negotiations and actions within the World Trade Organization. The Committee will also monitor the progress of the 

United States’ trading partners in meeting their financial services 

and investment commitments under existing trade and investment 

agreements. 

Export-Import Bank of the United States. The Committee will 

monitor implementation of the Export-Import Bank Reauthorization Act of 2006 (Public Law 109–438), with particular emphasis on 

the new mandates in the law regarding export assistance for small 

businesses, and women and minority-owned businesses. The Committee will also closely monitor the Bank’s competitiveness relative 

to foreign export credit agencies (ECAs), with particular attention 

to competitiveness with the export credit practices of countries that 

are not members of the Organization for Economic Co-operation 

and Development. 

North American Development Bank. The Committee will monitor 

and conduct necessary oversight activities over U.S. participation 

in the North American Development Bank (NADBank) and the status of U.S. efforts to implement reforms at the Bank. 


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THE ECONOMY, DOMESTIC MONETARY POLICY, AND TECHNOLOGY

The Economy and Its Impact on Living Standards. The Committee will examine the extent to which changes in the economy, 

and in particular changes in labor and capital markets, as well as 

changes in public policy, have altered the way in which policymakers should think about the relationship between economic 

growth, productivity growth, and growth in employment and incomes. The Committee will examine these relationships in an effort 

to determine policy responses that will increase our ability to improve the standard of living for American families. 

Conduct of Monetary Policy by the Board of Governors of the Federal Reserve System. The Committee will hold hearings to receive 

the Chairman of the Board of Governors of the Federal Reserve 

System’s semi-annual reports on the conduct of monetary policy. As 

part of this effort, the Committee will review issues associated with 

monetary policy and the state of the economy, including whether 

the current path of monetary policy is consistent with the triple 

goals—maximum employment, stable prices, and moderate longterm interest rates—set forth in the Federal Reserve Reform Act 

of 1977 (P.L. 95–188). The Committee will continue to monitor the 

Federal Reserve Board to see if ways can be found to make its activities more transparent, consistent with the increased transparency the institution has shown over the past decade and a half. 

Management of Reform of the Federal Reserve System. The Committee will conduct oversight of the operations of the Federal Reserve System, including the System’s management structure, its 

role in providing financial services, its conduct of monetary policy, 

and its role as a regulator with particular attention to compliance 

with anti-money laundering and anti-terrorist financing laws and 

regulations. 

Defense Production Act. The Committee will review the Defense 

Production Act and its authorities to determine their effectiveness 

in promoting national security. The Committee will consider reauthorization of the DPA authorities prior to their expiration in 2008. 

Oversight of Agency Management Practices and Outcomes. The 

Committee will conduct oversight of the operations of all agencies 

under its jurisdiction to ensure disclosure of all material assets, liabilities, and costs of operations; to review agencies’ measures 

taken to minimize waste and inefficiency; assess the impacts of 

agency actions on the financial services industry; and determine if 

the agencies are operating at the most efficient level of resources. 

The Committee will require the Federal regulators to report on the 

state of the financial services industry in order to alert Congress 

to any emerging weaknesses and supervisory measures being taken 

to counter such weaknesses. The Committee will review, for appropriate action, expired and expiring authorizations relating to the 

agencies. 

Management of the Nation’s Money: Activities of the Bureau of the 

Mint and the Bureau of Engraving and Printing. The Committee 

will conduct oversight, as appropriate, of the activities of these 

Treasury bureaus as they relate to the printing and minting of U.S. 

currency and coins, and of the operation of U.S. Mint programs for 

producing Congressionally authorized commemorative coins and 


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Congressional gold medals. The Committee also will monitor the 

Mint’s first year of operation of the Presidential $1 Coin Act, and 

how well the Mint and Federal Reserve gauge and meet consumer 

demand for the new coins. 

Payments System Innovations. The Committee will review government and private sector efforts to achieve greater innovations 

and efficiencies in the payments system. The Committee will pay 

particular attention to efficiencies that could be created for business through enhancements of the types and amounts of information that accompanies electronic payments. The Committee will 

continue to assess the implications of new innovations in electronic 

money and electronic payment systems. Among the issues the Committee may examine are soundness, security, privacy, access to new 

electronic payment methods, eligibility criteria for issuing new payment methods, competing government regulation, threats posed to 

critical infrastructures such as the payments system, and new-technology methods of authenticating transactions and minimizing 

fraud. 

Counterfeiting. The Committee will continue its review of efforts 

to detect and combat the counterfeiting of U.S. coins and currency 

in the United States and abroad. Particular attention will be paid 

to anti-counterfeiting efforts by the United States Secret Service 

and to ways those efforts can be made more effective. 

The U.S. Treasury Department’s Financial Crimes Enforcement 

Network (FinCEN). The Committee will continue to oversee the operations of FinCEN and the Bureau’s ongoing efforts to implement 

its regulatory mandates pursuant to the Bank Secrecy Act (BSA), 

as amended, to crack down on money laundering and terrorist financing activities. The Committee will monitor FinCEN’s implementation of the BSA Direct program to allow secure Internet filing of forms by and notification of institutions as required by law. 

The Committee will oversee FinCEN’s efforts to implement a statutory provision in section 6302 of the Intelligence Reform and Terrorism Prevention Act of 2004 (Public Law 108–458), that required 

the Treasury Secretary issue regulations requiring financial institutions to report certain cross-border electronic transfers to 

FinCEN. 

Critical Infrastructure Protection and Cyber-security. The Committee will monitor private-sector and government-wide efforts to 

protect critical financial infrastructure, both physical structures 

and the infrastructure that support them—such as power, transportation systems—as well as telecommunications and computer 

systems that enable the functioning of our financial institutions 

and of the markets. The Committee will monitor interagency coordination on protection issues as well as threat assessment. 

Treasury’s Office of Foreign Asset Control (OFAC). The Committee will continue to monitor the functions of OFAC as its workload increases, and study ways of improving its working relationship with financial institutions. 

Economic Security. The Committee will explore the need for Federal economic and financial regulators to prepare for and provide 

a coordinated response to economic events that could threaten the 

Nation’s economic security. 


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Development of Economic Opportunities. The Committee will review, when appropriate, economic development programs under the 

Committee’s jurisdiction, including programs administered by the 

Appalachian Regional Commission, the Economic Development Administration (EDA), the Delta Regional Authority. Reauthorization 

will be considered when appropriate. Existing law authorizes the 

EDA through fiscal year 2008. As part of the next EDA reauthorization process, the Committee intends to assert its jurisdiction 

over this agency and review the agency’s work. 


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Part B 

IMPLEMENTATION OF THE OVERSIGHT PLAN OF THE COMMITTEE ON FINANCIAL SERVICES FOR THE ONE HUNDRED TENTH CONGRESS 

FINANCIAL INSTITUTIONS

Industrial Loan Companies. The Committee continued to review 

the growth in the number of industrial loan companies and the impact of this growth on the historic separation between banking and 

commerce. On April 25, 2007, the Committee held a hearing entitled, ‘‘H.R. 698: The Industrial Bank Holding Company Act of 

2007,’’ focusing on the proposed legislation to prohibit commercial 

firms from owning industrial loan companies and to establish regulation of holding companies that own industrial loan companies. On 

May 2, 2007, H.R. 698 was ordered reported from the Committee. 

The Committee filed its report on May 16, 2007 (H.Rept. 110–155). 

The bill passed the House on May 21, 2007. 

Implementation of the FACT Act. On June 19, 2007, the Committee held a hearing entitled, ‘‘Credit Reports: Consumers’’ Ability 

to Dispute and Change Inaccurate Information.’’ The focus of the 

hearing was improving the accuracy and integrity of consumer information submitted to credit bureaus. The Committee reviewed 

factors that continue to impair the accuracy, completeness, or integrity of information in credit reports, evaluated the effectiveness 

of the consumer dispute reinvestigation process under the Fair 

Credit Reporting Act (FCRA), and explored recommendations for 

improving the process. The Committee devoted a significant portion 

of the hearing to reviewing the status of the implementation of Sec. 

312 of the Fair and Accurate Credit Transactions Act (FACT Act) 

which directs Federal banking and credit union regulators and the 

FTC to promulgate accuracy and integrity rules for information 

furnishers report to credit reporting agencies. The Committee 

heard testimony from representatives from the Federal Reserve 

and Federal Trade Commission as well as the credit reporting industry, privacy experts, and attorneys who have litigation cases involving inaccurate information. Most of the witnesses shared the 

Committee’s concerns about the delay in the issuance of the Sec. 

312 guidelines and regulations which had been due on December 

1, 2004. The Committee urged the agencies to expedite the rulemaking process and continued to monitor the implementation of 

final regulations and guidelines. 

Provision of Credit to Military Personnel. While the implementation of Section 670 of the John Warner National Defense Authorization Act for Fiscal Year 2007, Pub. L. 109–364, Section 670, 

‘‘Limitations on Terms of Consumer Credit Extended to Service 

members and Dependents,’’ is under the jurisdiction of the Department of Defense and therefore mostly a matter for the Armed Services Committee, the Financial Services Committee continues to 

monitor the impact that short-term unsecured loans are having on 

the financial well-being of servicemembers, their families, and the 

overall readiness of the armed services. The Committee has also 


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overseen the efforts of financial institutions and regulators to increase the availability and affordability of credit for military personnel. 

Financial Literacy. On April 15, 2008, the Committee held a 

hearing entitled, ‘‘Financial Literacy and Education: The Effectiveness of Governmental and Private Sector Initiatives.’’ The hearing 

focused on the continuing need for financial literacy and the status 

of current Federal, State, and private sector financial education initiatives. The hearing also examined the effectiveness of the Financial Literacy and Education Commission which was established 

pursuant to Title V of the FACT Act to coordinate efforts of the 

Federal Government and encourage government and private sector 

initiatives to promote financial literacy. Recommendations for improving existing financial literacy programs were also explored. 

The Committee heard testimony from the U.S. Treasurer, representatives from the Federal bank regulatory agencies, the State 

Treasurer of Arizona, as well as representatives from non-profit organizations promoting financial literacy and savings, civil rights 

groups, and consumer organizations. 

Community Development Financial Institutions Fund. The Committee continued to monitor the operations of the Community Development Financial Institutions Fund to insure that its authorization levels are appropriate in light of ongoing needs of lower-income consumers and distressed communities. On March 4, 2008, 

Committee urged the Budget Committee to increase funding for the 

CDFI Fund in FY2009 over the amount requested by the Administration after examining data which showed that the demand for 

CDFI Fund grants increased dramatically between FY2007 and 

FY2008. The Committee also urged the Budget Committee to restore funding for the Bank Enterprise Act and Native American 

initiatives which was eliminated in the Administration’s FY2009 

budget. The held a hearing during the first session of the 110th 

Congress at which several minority-owned banks and regulators 

pointed to the success of the BEA program which provides critical 

funding for minority, community and rural banks. 

The Committee also continued to monitor the CDFI Fund’s oversight system to insure the objectivity of the grant making process 

and the adequacy of systems tracking the performance of grant recipients. In February 2008, the Treasury Department’s Office of the 

Inspector General briefed Committee staff on the status of investigations regarding the transparency of the CDFI’s grant-making 

process and the Fund’s post-grant administration. 

Community Reinvestment Act. On February 13, 2008, the Committee held a hearing entitled, ‘‘The Community Reinvestment Act: 

Thirty Years of Accomplishments, but Challenges Remain.’’ The 

hearing examined the status of the Community Reinvestment Act 

with particular attention focused on the impact of CRA on increasing loans, investments, and services in underserved communities 

over the last thirty years. The Committee also reviewed current 

challenges that prevent CRA from being more effective and explored whether CRA obligations should be extended beyond insured 

banks and thrifts. In addition, the hearing examined how well institutions were complying with recent revisions to CRA regulations 

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nancial services arena. The Committee heard testimony from Federal and State bank regulators, academics, CRA advocates, bankers 

with expertise in community development, and representatives 

from banking industry trade associations. 

The Committee also continued to monitor proposed changes to 

CRA regulations and examine their potential impact on institutions’ lending, services and investments. On April 28, 2008, Chairman Frank sent a letter to the four Federal bank regulatory agencies urging them to follow the long-established practice of allowing 

flexibility in granting CRA credit for investments in multi-bank nationwide, regional and statewide community development funds. 

He was concerned that an interpretation contained in newly proposed CRA Guidance would ‘‘undermine efforts to expand affordable housing in the United States.’’ 

Data Security and Identity Theft. Building on the Committee’s 

long-standing role in developing laws governing companies’ handling of sensitive personal financial information about consumers 

(including the Gramm-Leach-Bliley Act and the FACT Act), the 

Committee continued to monitor and carefully review the extent to 

which State laws have been successful in protecting individuals 

from any loss, unauthorized use, misuse, fraud or identity theft. 

Mortgage Lending. Mortgage lending proved to be one of the committee’s primary focuses. In addition to holding a number of hearings reviewing the causes and consequences of previous mortgage 

lending and securitization practices, foreclosure mitigation and systemic risk, the Committee passed a numerous pieces of legislation 

designed to curb abusive mortgage practices, improve the oversight 

of the mortgage government-sponsored enterprises, and establish 

refinance options for at-risk borrowers. Several bills have become 

law including the Housing and Economic Recovery Act and Emergency Economic Stabilization Act. 

Diversity in the Financial Services Industry. On February 7, 

2008, the Subcommittee on Oversight and Investigations held a 

hearing entitled, ‘‘Diversity in the Financial Services Sector,’’ to explore the financial services industry’s efforts to attract and retain 

a diverse workforce and other challenges faced by minority-owned 

firms. 

Diversity within the Federal Financial Services Agencies. On October 30, 2007, the Subcommittee on Oversight and Investigations 

held a hearing entitled, ‘‘Preserving and Expanding Minority 

Banks,’’ to review Federal financial agencies’ efforts to promote and 

preserve minority-owned financial institutions in order to determine whether the agencies had implemented the recommendations 

contained in the Government Accountability Office report entitled, 

‘‘MINORITY BANKS: Regulators Need to Better Assess Effectiveness of Support Efforts,’’ issued in October 2006. Following that 

hearing, the Committee ordered reported to the House on November 7, 2007, H.R. 4043, the ‘‘Preserving and Expanding Minority 

Depository Institutions Act.’’ The bill would expand the requirements to promote and preserve minority-owned banks under Section 308 of the Financial Institutions Reform, Recovery and Enforcement Act of 1989 to the Federal Reserve and the Office of the 

Comptroller of the Currency and require all agencies subject to the 


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provision to submit an annual report to Congress on their efforts. 

H.R. 4043 passed the House by voice vote on December 5, 2007. 

As part of the process of reviewing the level of workforce diversity within the Federal financial services agencies, on June 26, 

2007, the Committee reported H. Con. Res. 140, the ‘‘Financial 

Services Diversity Initiative,’’ to the House by voice vote. The concurrent resolution, among other things, encourages Federal and 

State financial services agencies to build and retain a diverse staff. 

H. Con. Res. 140 passed the House by voice vote on September 24, 

2007. 

Payment System Innovations. On June 11, 2007, Chairman 

Frank and Financial Institutions and Consumer Subcommittee 

Chair Carolyn Maloney wrote to Federal Reserve Chairman 

Bernanke requesting, among other things, for the input from the 

Federal Reserve on determining whether the statutory dollar 

amounts included under the Expedited Funds Availability Act 

(EFAA) should be indexed for inflation or increased to a specific 

dollar amount. The guidance received from the staff of the Federal 

Reserve in response to this request was incorporated into the text 

of H.R. 6871, the ‘‘Expedited Funds Availability Dollar Limits Adjustment Act of 2008.’’ The bill would make a one-time increase of 

certain dollar amount limits under the EFAA and direct the Federal Reserve to make cost-of-living adjustments on these amounts 

at least every five years. The Committee reported the bill to the 

House by voice vote on September 16, 2008. 

Committee staff met with staff from the Government Accountability Office to review the report issued in October 2008 entitled, 

‘‘CHECK 21 ACT: Most Consumers Have Accepted and Banks Are 

Progressing Toward Full Adoption of Check Truncation.’’ 

Basel Capital Accord. The Committee continued to review the ongoing implementation of the Basel II Capital Accord and its impact 

on risk management and systemic risk. 

Implementation of the USA PATRIOT Act. Committee staff met 

regularly with staff of the agencies charged with the implementation of efforts to combat terrorist financing. These discussions included enforcement of Title III of the USA PATRIOT Act (Public 

Law 107–56) and implementation of the counter-terrorist financing 

provisions included in the Intelligence Reform and Terrorism Prevention Act of 2004 (Public Law 108–796). 

Money Laundering and the Financing of Terrorism. Committee 

staff met regularly with staff of the Office of Terrorism and Financial Intelligence, the Financial Crimes Enforcement Network 

(FinCEN), and the Office of Foreign Assets Control (OFAC) to discuss enforcement of anti-money laundering laws and regulations. 

On May 10, 2007, the Subcommittee on Oversight and Investigation held a hearing ‘‘Suspicious Activity and Currency Transaction 

Reports: Balancing Law Enforcement Utility and Regulatory Requirements.’’ Following the hearing, on July 19, 2007, Chairman 

Frank, Ranking Member Bachus, and Rep. Lynch wrote a letter to 

GAO requesting a comprehensive examination of the current 

framework for achieving the goals of BSA. GAO is expected to issue 

the report in early February of 2009. 

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ices Businesses (MSBs), and FinCEN to examine why financial institutions continue to sever their relationships with MSBs and to 

assess the effectiveness of FinCEN regulatory guidance to both 

MSBs and financial institutions. On June 24, 2008, H.R. 4049, the 

‘‘Money Service Business Act of 2008,’’ was ordered reported from 

the Committee by voice vote. The bill would allow MSBs that register with required agencies to self-certify compliance with antimoney laundering provisions and would set forth civil and criminal 

for violations of the Act. H.R. 4049 passed the House on July 22, 

2008. 

Access to Financial Services. The Committee continued to explore 

ways to expand access to mainstream financial services by traditionally underserved segments of the United States population. The 

Committee staff met with minority bankers, community development bankers, community organizations, and FDIC staff to discuss 

ways to improve access for currently unbanked individuals. Community organizations recommended improvements to the CRA 

service test that would provide additional incentives for depository 

institutions to provide low-cost bank accounts for the individuals 

lacking a prior banking history. In addition, the Committee reviewed current Federal and State programs aimed at transitioning 

unbanked populations into traditional insured depository institutions customers including the FDIC’s national initiative, Alliance 

for Economic Inclusion, and efforts in New York, California and 

Texas that would reward banks with government deposits for opening branches in neighborhoods with little or no banking services. 

The Committee will continue to monitor initiatives that target the 

unbanked. 

Implementation of Gramm-Leach-Bliley Act. The Committee has 

continued to monitor various aspects of the implementation of the 

Gramm-Leach-Bliley Act (GLB) to ensure that the benefits of that 

landmark financial modernization law are fully realized by consumers and the financial services sector. 

Deposit Insurance Reform. The Committee continued to monitor 

the implementation of the Deposit Insurance Reform of 2005 to ensure that deposit insurance continues to serve its historic function 

as a source of stability in the banking system and a safety net for 

depositors. During the consideration of the Emergency Economic 

Stabilization Act, deposit insurance coverage for banks and credit 

unions was expanded from $100,000 per account to $250,000. This 

was particularly important for small businesses, which rely on 

their bank deposits to meet payroll and other critical needs. The 

increase will ensure that they have access to their working capital 

at all times, and discourage them from moving funds due to concerns about a particular institution. According to the Federal Reserve, for the smallest businesses (less than 10 employees, which 

are 80 percent of small businesses), raising the limit will have a 

major impact: 75 percent fewer firms will have uninsured deposits 

and the amount of their deposits remaining uninsured will fall by 

two-thirds. The insurance increase also gives small banks greater 

parity with the temporary money market fund insurance recently 

implemented by the Treasury Department. This will help keep deposits in banks and promote their stability. 


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Credit Unions/Regulatory Burden Reduction. The Committee 

held an oversight hearing relating to credit union issues on March 

6, 2008, focusing on safety and soundness and regulatory treatment 

of the industry. Subsequently, H.R. 6312, the Credit Union, Bank 

and Thrift Regulatory Relief Act of 2008 was introduced on June 

19, 2008 and passed the House under suspension of the rules on 

June 24, 2008. 

Credit Card Regulation. The Committee and the Subcommittee 

on Financial Institutions held a total of eight hearings, and multiple briefings and meetings, dealing in whole or in part with the 

need for reform of certain credit card practices through regulation, 

voluntary action, or legislation. Among other things, these hearings 

and briefings reviewed the adequacy of regulatory efforts as of the 

respective hearing dates. The full Committee hearings were held on 

June 13 and July 25, 2007. The Subcommittee hearings were held 

on April 26, June 7, and August 7, 2007, and on March 13, April 

17, and June 26, 2008. 

In May 2007, the Federal Reserve proposed improvements to the 

format and content of disclosures required by the Truth-in-Lending 

Act and the Subcommittee reviewed this proposal in the hearing of 

June 7, 2007, as well as in staff briefings. 

In February 2008, Financial Institutions Subcommittee Chair 

Maloney introduced H.R. 5244, the Credit Cardholders’ Bill of 

Rights, which addressed a number of abusive practices. The Subcommittee held legislative hearings on the bill on March 13, 2008, 

and April 17, 2008. 

In May 2008, the Federal Reserve, the Office of Thrift Supervision (OTS), and the National Credit Union Administration 

(NCUA) issued a joint notice of proposed rulemaking under the 

agencies’ authority to limit unfair and deceptive practices pursuant 

to the FTC Act. The proposed rule identified several of the practices addressed by H.R. 5244 as ‘‘unfair and deceptive’’ under the 

FTC Act. Agency representatives briefed Committee staff about the 

proposed rule shortly after it was issued. 

The Committee ordered H.R. 5244 reported on July 31, 2008. On 

August 14, 2008, Chairman Frank and Subcommittee Chair 

Maloney sent a letter to Federal Reserve Chairman Bernanke, OTS 

Director Reich, and NCUA Chairman Fryzel commending them on 

the proposed rules to curb abusive credit card practices and urging 

them to include additional consumer protections from H.R. 5244. 

H.R. 5244 passed the House by a vote of 312 to 112 on September 23, 2008. The joint proposed rules were issued in final form 

on December 18, 2008. 

Remittances. The Committee continued its review of the marketing and disclosure practices of financial institutions and money 

transmitters who offer international remittance services to consumers seeking to send funds to relatives in other countries, holding a hearing in the Subcommittee on Domestic and International 

Monetary Policy, Trade and Technology on March 7, 2007, ‘‘The 

Role of Remittances in Leveraging Sustainable Development in 

Latin America and the Caribbean.’’ The hearing focused on the increasing sums of remittances flowing into Latin America and the 

Caribbean from the U.S. and around the world, and discussed how 

these remittances can be leveraged by individuals, communities, 


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banks, credit unions, international institutions, governments and 

NGOs and used for long-term development opportunities in the region. On May 17, 2007, the Subcommittee on Domestic and International Monetary Policy, Trade and Technology held another hearing entitled, ‘‘Remittances: Access, Transparency and Market Efficiency—A Progress Report.’’ The hearing examined consumer access to remittance transfer outlets, the costs associated with sending remittances, current levels of transparency regarding fees and 

exchange rates, and the effect of competition in the market place. 

The Subcommittee focused on the progress made by the industry 

in reducing consumer fees over the last several years, and explored 

whether these improvements are due primarily to increased competition in the market place, pressure from legislators or a combination of the two. 

Credit Counseling. The Committee continued to monitor the credit counseling industry, which provides financial education and debt 

management services to consumers seeking to address excessive 

levels of personal debt. Consumer advocates briefed Committee 

staff on the rise in complaints against for-profit credit counseling 

organization for abusive and deceptive practices as the economy 

has worsened. In addition, Committee staff met with a nonprofit 

credit counseling organization to discuss the controversial practice 

of funneling consumers into debt consolidation plans (known as 

debt management plans) which require consumers to repay a portion of the debt even when they would benefit from other options 

including filing bankruptcy. The Committee will continue to review 

these issues. 

Appraisals. The Committee continued to review problems with 

the appraisal industry and its regulation. On October 24, 2007, the 

Committee held a hearing entitled, ‘‘Legislative Proposals on Reforming Mortgage Practices.’’ Among the matters discussed was 

how H.R. 3837, the Escrow, Appraisal, and Mortgage Servicing Improvements Act, would address deficiencies in appraisal regulation 

and enhance appraisal independence. On November 7, 2007, the 

Committee amended and reported H.R. 3837 by a voice vote. On 

November 15, 2007, the House by a voice vote added H.R. 3837 to 

H.R. 3915, the Mortgage Reform and Anti-Predatory Lending Act 

of 2007, as an amendment offered by Mr. Kanjorski. The House 

then passed H.R. 3915 with the Kanjorski amendment included. 

During 2008, the Committee staff reviewed the appraisal independence reforms contained in the Home Ownership and Equity Protection Act rulemaking by the Federal Reserve, as well as the appraisal reform agreement reached by New York Attorney General 

Andrew Cuomo with Fannie Mae and Freddie Mac. 

Credit Monitoring. On May 20, 2008, the full committee convened 

a hearing on H.R. 2885, the Credit Monitoring Clarification Act, introduced by Chairman Kanjorski and Congressman Royce to refine 

the treatment of credit monitoring services under existing law and 

to provide new rights for consumers buying credit monitoring products. The bill would amend the Credit Repair Organizations Act to 

eliminate legal ambiguity and uncertainty in the marketplace. 


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SECURITIES

SEC Oversight. The Committee continued its oversight of the Securities and Exchange Commission (SEC) by receiving testimony 

from the SEC Commissioners at a June 26, 2007 hearing entitled, 

‘‘A Review of Investor Protection and Market Oversight with the 

Five Commissioners of the Securities and Exchange Commission.’’ 

The hearing focused on five issues—SEC enforcement policy; private litigation; hedge funds; Sarbanes-Oxley Act Section 404; and 

Corporate Governance and Proxy Access—and addressed issues related to systemic risk, market structure, arbitration, credit rating 

agency reform, and FAIR funds. 

On September 27, 2007, the Committee held a hearing entitled, 

‘‘SEC Proxy Access Proposals: Implications for Investors’’ as a follow-up to the June 26th oversight hearing. The purpose of the 

hearing was to obtain the perspective of investors (including public 

and private pension funds, investment companies, and other institutional investors) on amendments to the proxy rules proposed by 

the SEC in July, 2007. 

On November 28, 2007, Chairman Frank released a statement 

expressing disappointment with the SEC’s action to adopt amendments to the proxy rules that would restrict shareholder access to 

company proxies. 

On July 12, 2007, Chairman Frank sent a letter to SEC Chairman Christopher Cox regarding the posting by the SEC on its 

website public companies listed to have investments in terrorist-financed states on the SEC’s website. Chairman Frank expressed 

concern in how the list was compiled—citing companies that have 

previously disclosed divestment from terrorist-financed states, and 

other discrepancies—and called for the SEC to consider a new 

methodology for creating a more accurate list. The SEC subsequently removed the list from its website. 

On July 30, 2007, Chairman Frank and Representative John 

Conyers, Jr., Chairman of the House Judiciary Committee, filed an 

amicus brief in the case of Stoneridge Investment Partners v. Scientific-Atlanta and Motorola before the U.S. Supreme Court. The 

brief expressed their view that third parties who knowingly engage 

in manipulative or deceptive acts as a part of a scheme to defraud 

investors should be held liable for their actions under the Federal 

securities laws. Chairman Frank and Chairman Conyers filed the 

brief after the Solicitor General of the United States declined to file 

an amicus brief in support of investors, apparently as a result of 

political pressure from the White House. During the June 26, 2007 

oversight hearing before the Financial Services Committee at the 

end of June, SEC Chairman Cox testified that the SEC had voted 

to ask the Solicitor General to support its legal position in favor of 

investors. 

On March 12, 2008, the Committee held a hearing entitled, ‘‘Municipal Bond Turmoil: Impact on Cities, Towns, and States,’’ with 

public and private sector witnesses. 

On April 4, 2008, Chairman Frank sent a letter to SEC Chairman Cox, calling on the SEC to broaden its investigation of questionable trading of Bear Stearns stock in the days preceding its collapse to include trading activity in the stock of all of the large inVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00166 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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vestment banks. Chairman Frank noted that, ‘‘Depending on what 

the Commission finds, this may lead to a broader inquiry into short 

selling by the SEC and Congress.’’ 

On April 23, 2008, Chairman Frank and Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises 

Chairman Paul E. Kanjorski sent a letter to SEC Chairman Cox 

regarding the loss of liquidity in the market for auction rate preferred securities. The letter sought the SEC’s views on the reluctance of investment companies to redeem these securities, and requested that the SEC take action to determine whether brokers 

who sold auction rate preferred securities did so using deceptive or 

misleading practices. 

On July 9, 2008, the Capital Markets Subcommittee approved a 

committee print which became H.R. 6513, Securities Act of 2008, 

to amend the Federal securities laws to enhance the effectiveness 

of the SEC’s enforcement, corporation finance, trading and markets, investment management, and examination programs, and for 

other purposes. The bill passed the House on September 11, 2008. 

Sarbanes-Oxley Act. On June 26, 2007, the Committee received 

testimony from the SEC Commissioners that addressed the implementation of the Sarbanes-Oxley Act during a hearing entitled, ‘‘A 

Review of Investor Protection and Market Oversight with the Five 

Commissioners of the Securities and Exchange Commission.’’ 

On July 26, 2007, Chairman Frank sent a letter to the SEC 

Chairman Cox praising the work of the Commission in working 

with the Public Company Accounting Oversight Board (PCAOB) to 

complete revisions to the PCAOB’s auditing standard for internal 

controls (Auditing Standard 5) in a way that addresses concerns of 

excessive regulatory burdens without compromising the benefits for 

investors. 

Public Company Accounting Oversight Board (PCAOB). Although 

no direct oversight action was taken on this topic, the Committee 

continued to review the PCAOB’s oversight of public company auditors, including reforms of auditing standards and the results of the 

PCAOB’s inspection program. 

Financial Accounting Standards Board (FASB). Although no direct oversight action was taken on this topic, the Committee continued to review the work of the FASB to improve financial accounting standards, including progress on efforts to reach convergence with the International Accounting Standards Board (IASB) 

on accounting standards, continued consideration of the appropriate form for standards, and the implications of increased incorporation of market valuation under accounting standards. 

On July 25, 2007, Chairman Frank issued a statement praising 

SEC Chairman Cox for clarifying FAS 140 in a way that will allow 

mortgage lenders to provide help at the earliest possible moments 

to people who might otherwise be trapped in bad loans or forced 

into foreclosure. On June 15, 2007, Chairman Frank, Paul E. Kanjorski, Maxine Waters, Luis V. Gutierrez, Keith Ellison, Christopher S. Murphy, Brad Miller, Marcy Kaptur, Carolyn Maloney, 

Mel Watt and Charles A. Wilson had sent a letter to Chairman Cox 

asking for clarification on FAS 140, which provides accounting 

standards for transfers of financial assets that become part of 

mortgage-backed securities. Chairman Cox’s July 25, 2007 response 


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clarified that institutions can make loan modifications when a default is reasonably foreseeable, rather than waiting until the borrower actually defaults. 

On September 18, 2008, the Committee held a hearing entitled, 

‘‘Auction Rate Securities Market: A Review of Problems and Potential Resolutions.’’ 

H.R. 3505, the ‘‘Securities Law Technical Corrections Act of 

2007’’ made technical corrections to the Securities Act of 1933, the 

Securities Exchange Act of 1934, the Trust Indenture Act of 1939, 

the Investment Company Act of 1940 and the Investment Advisers 

Act of 1940, and to make conforming changes to those laws for the 

repeal of the Public Utility Holding Company Act of 1935. Introduced by Mr. Peter Roskam on September 7, 2007, the bill was referred to the Committee and passed by the House on December 6, 

2007 under suspension of the rules by a 404–0 vote. The substance 

of the bill was passed again by the House as a part of H.R. 6513, 

the Securities Act of 2008, on September 11, 2008. 

Convergence of International Accounting Standards. Although no 

direct oversight action was taken on this topic, the Committee continued to review progress on efforts to converge generally accepted 

accounting practices in the United States and International Accounting Standards and toward acceptance of financial reports 

using the converged standards in the U.S. and abroad. Committee 

staff met on numerous occasions with staff from the SEC, the 

FASB, and international governing bodies, with industry experts 

and investor groups to discuss developments in accounting standards and particularly to discuss the effects of fair value accounting 

on the global financial and credit crises. 

Corporate Governance. The Committee received testimony concerning issues relating to shareholder access to management proxies at two hearings: June 26, 2007 hearing entitled, ‘‘A Review of 

Investor Protection and Market Oversight with the Five Commissioners of the Securities and Exchange Commission’’ and a September 27, 2007, hearing entitled, ‘‘SEC Proxy Access Proposals: 

Implications for Investors’’ as a follow-up to the oversight hearing 

held in June, 2007. The Committee continued to review and monitor other developments concerning corporate governance in public 

companies and the integrity of the shareholder voting process. 

Executive Compensation. The Committee held a legislative hearing on March 8, 2007, entitled, ‘‘Empowering Shareholders on Executive Compensation: H.R. 1257, the Shareholder Vote on Executive Compensation Act.’’ H.R. 1257, which was ordered reported by 

the Committee on March 28, 2007, does not set any limits on pay, 

but would ensure that shareholders have an opportunity to give a 

non-binding up or down advisory vote on a company’s executive pay 

practices, and a separate advisory vote if a company gives a new, 

not yet disclosed, ‘‘golden parachute’’ while simultaneously negotiating to buy or sell a company. The bill was passed by the House 

on April 20, 2007. 

Market Structure. Although no direct oversight action was taken 

on this topic, the Committee continued to monitor developments in 

this area throughout the 110th Congress. Committee staff met on 

numerous occasions with staff from the SEC and the exchanges, 

with industry experts and investor groups to discuss developments 


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in exchange governance and the growth and innovation of exchange 

trading systems, competition among the numerous exchange and 

alternative trading venues, exchange mergers, market data distribution and fees, and other developments. The Committee’s efforts led to passage by the Committee on September 28, 2007 of 

H.R. 2868 to provide greater flexibility in applying the National Securities Markets Improvement Act of 1996 to permit certain national securities exchanges to establish lower-tier markets that 

would be governed by State law, subject to SEC approval. The bill 

would facilitate development of domestic markets for smaller companies that do not meet higher primary market listing standards, 

and to allow the exempted exchanges to compete more effectively 

in the global marketplace. The bill was passed by the House on October 23, 2007. 

International Exchange Mergers. Although no direct oversight action was taken on this topic, the Committee continued to monitor 

the impact of cross-border exchange mergers and implications for 

oversight throughout the 110th Congress. Committee staff met 

with staff of the SEC and with staff of international governing bodies as well as with industry experts to discuss developments in 

these areas. 

SRO Regulation. Although no direct oversight action was taken 

on this topic, the Committee continued to monitor developments in 

this area throughout the 110th Congress. Committee staff met with 

representatives from the SROs to discuss the merger of the regulatory arms of the NYSE and NASDAQ into the Financial Institution Regulatory Agency (FINRA) and the harmonization of the 

rules of those entities. 

Securities Arbitration. Although no direct oversight action was 

taken on this topic, the Committee continued to monitor developments in this area throughout the 110th Congress. 

On April 25, 2007, Chairman Frank sent a letter to SEC Chairman Cox expressing concern about suggestions that the SEC could 

begin permitting public companies to impose mandatory arbitration 

requirements on shareholders through the securities registration 

process. Extending mandatory arbitration to the relationship between shareholders and public companies could require investors to 

risk losing their rights under Federal securities laws in order to invest in the public markets. 

Investment Companies. Although no direct oversight action was 

taken on this topic, the Committee continued to monitor developments in this area throughout the 110th Congress. Committee staff 

met several times with staff of the SEC’s Division of Investment 

Management on issues related to regulation of investment companies and advisors, including mutual fund operations, governance, 

disclosure, and sales practices. 

The Committee has closely followed events related to Money 

Market Mutual funds, particularly following the bankruptcy of 

Lehman Brothers. On September 16, 2008, the net asset value per 

share of the Reserve Primary Fund, a large money market mutual 

fund, dropped below $1.00 because of the fund’s exposure to Lehman debt securities. It was the first time in 14 years that a fund 

had ‘‘broken the buck.’’ A significant run on money market mutual 

funds ensued. The Committee received testimony on these issues in 


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hearings held on October 21, 2008 (‘‘Regulatory Restructuring and 

Reform of the Financial System’’) and November 18, 2008 (‘‘Oversight of Implementation of the Emergency Economic Stabilization 

Act of 2008 and of Government Lending and Insurance Facilities; 

Impact on Economy and Credit Availability’’). 

Hedge Funds. On March 13, 2007, the Committee held a hearing 

entitled, ‘‘Hedge Funds and Systemic Risk in the Financial Markets.’’ 

On July 22, 2007, the Committee held a hearing entitled, ‘‘Hedge 

Funds and Systemic Risk: Perspectives of The President’s Working 

Group on Financial Markets.’’ 

In January 2008, the GAO issued a report entitled, ‘‘Hedge 

Funds: Regulators and Market Participants Are Taking Steps to 

Strengthen Market Discipline, but Continued Attention Is Needed.’’ 

This report was requested in 2006 by Chairman Frank, Subcommittee on Capital Markets, Insurance and Government-Sponsored Enterprises Chairman Paul E. Kanjorski, and Rep. Michael 

Capuano. After reviewing the findings of the GAO, Chairman 

Frank, Chairman Kanjorski, and Rep. Capuano are asking for a 

follow-up GAO study to assist in determining whether further legislative and regulatory reforms are required. 

In addition, the GAO is expected to release a more extensive report examining the scope of public and private pension funds’ investments in hedge funds. 

Global Competitiveness of U.S. Financial Markets. Although no 

direct oversight action was taken on this topic, the Committee continued to monitor the competitive position of the U.S. financial 

markets and exchanges, and to assess proposals to enhance the 

competitiveness of U.S. markets. The Committee received testimony on these issues in a July 11, 2007 hearing entitled, ‘‘Hedge 

Funds and Systemic Risk: Perspectives of the President’s Working 

Group on Financial Markets.’’ 

Federal/State Allocation of Enforcement Responsibilities. Although no direct oversight action was taken on this topic, the Committee continued to monitor developments in this area throughout 

the 110th Congress. 

Rating Agency Reform. On September 27, 2007, the Subcommittee on Capital Markets, Insurance and Government-Sponsored Enterprises held a hearing entitled, ‘‘The Role of Credit Rating Agencies in the Structured Finance Market.’’ 

The Committee received testimony on the impact of rating agency actions on the municipal bond market at a March 12, 2008 hearing entitled, ‘‘Municipal Bond Turmoil: Impact on Cities, Towns, 

and States.’’ 

On June 20, 2008, Chairman Frank introduced H.R. 6308, the 

Municipal Bond Fairness Act, to eliminate the ability of the rating 

agencies to use separate standards for municipal bonds and other 

bonds. The bill would require credit rating agencies that choose to 

seek designation as a nationally recognized statistical rating organization (NRSRO) to use rating symbols consistently for every security to which they are assigned. 

A companion bill, H.R. 6333,the Municipal Bond Market Support 

Act, would increase demand for certain municipal bonds—and 

therefore lower borrowing costs for issuers—by raising the bank 


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qualified limit for small issuers to $30 million (from $10 million), 

which has been unchanged since 1986. The new limit would also 

be indexed to inflation. Bank qualified bonds are those bonds banks 

are eligible to purchase without disallowing a portion of their interest expense deduction. 

Business Continuity Planning. Although no direct oversight action was taken on this topic, the Committee continued to monitor 

developments in this area throughout the 110th Congress. In 

March 2007, the GAO delivered a Report to Congress entitled, ‘‘Financial Market Preparedness: Significant Progress Has Been 

Made, but Pandemic Planning and Other Challenges Remain.’’ 

SIPC. Although no direct oversight action was taken on this 

topic, the Committee continued to monitor developments in this 

area throughout the 110th Congress. The Committees monitoring 

efforts on these issues in the 110th Congress resulted in a provision related to portfolio margining as it relates to SIPC in H.R. 

6513, the Securities Act of 2008, passed by the House on September 11, 2008. 

Fair Fund. On June 26, 2007, during a hearing entitled, ‘‘A Review of Investor Protection and Market Oversight with the Five 

Commissioners of the Securities and Exchange Commission,’’ the 

Committee received testimony from the SEC Commissioners that 

addressed the oversight and administration of the Fair Fund by the 

SEC, specifically, delays in disbursements of the funds, and the difficulty in identifying investors harmed by marked fraud, particularly in the absence of self-identification such as through private 

litigation. 

GOVERNMENT SPONSORED ENTERPRISES

Regulatory Reform. Two legislative hearings were held to focus 

on obtaining input from industry experts and regulators to proposals for regulatory reform of the housing Government Sponsored 

Enterprises (GSE) and the Federal Home Loan Banks. On March 

12, 2007, the Subcommittee on Capital Markets, Insurance and 

Government Sponsored Enterprises held the first hearing, entitled, 

‘‘Legislative Proposals on GSE Reform.’’ On March 15, 2007, the 

Committee held a hearing entitled, ‘‘Legislative Proposals on GSE 

Reform.’’ The Committee responded to concerns by considering and 

reporting GSE reform legislation (H.R. 1427) on March 29, 2007. 

H.R. 1427 passed the House on May 22, 2007. This bill was passed 

later by the House as a part of H.R. 3221 on July 23, 2008 and 

became Public Law 110–289 on July 30, 2008. 

On January 29, 2008, the House passed, as a part of H.R. 5140, 

the ‘‘Economic Stimulus Act of 2008,’’ legislation (H.R. 5153) to 

allow the Federal Housing Administration (FHA) and the Government Sponsored Enterprises (GSE) of Fannie Mae and Freddie Mac 

to temporarily increase the conforming loan limits in higher-priced 

housing markets and thereby make more financing available to a 

larger number of communities across the country. The loan-limit 

increases expire at the end of 2008. 

GSEs and Financial Disclosure. On September 25, 2008, the 

Committee held a hearing entitled, ‘‘Oversight Hearing to Examine 

Recent Treasury and FHFA Action Regarding the Housing GSEs 


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Federal Home Loan Bank System. Two legislative hearings were 

held to focus on obtaining input from industry experts and regulators to proposals for regulatory reform of the housing Government Sponsored Enterprises (GSE) and the Federal Home Loan 

Banks. On March 12, 2007, the Subcommittee on Capital Markets, 

Insurance, and Government Sponsored Enterprises held the first 

hearing, entitled, ‘‘Legislative Proposals on GSE Reform.’’ On 

March 15, 2007, the Committee held a hearing entitled, ‘‘Legislative Proposals on GSE Reform.’’ The Committee responded to concerns by considering and ordering reported GSE reform legislation 

(H.R. 1427) on March 29, 2007. H.R. 1427 passed the House on 

May 22, 2007. Reform legislation was later passed by the House on 

July 23, 2008, as a part of H.R. 3221, and became Public Law 110– 

289 on July 30, 2008. 

Farm Credit System. Although no direct oversight action was 

taken on this topic, the Committee continued to monitor developments in this area throughout the 110th Congress. Chairman 

Frank and Ranking Member Spencer Bachus offered an amendment in the House (H. Amdt. 702) to remove a provision from the 

farm bill (H.R. 2419) that would have expanded the powers of the 

government-sponsored Farm Credit System into non-farm lending. 

The amendment was passed on July 26, 2007. 

Board Director Appointments. Chairman Frank and Chairman 

Kanjorski took a lead on this issue in the 110th Congress. Because 

of their efforts, the Housing and Economic Recovery Act of 2008 included language ensuring the independence of board directors. 

FHLB Community and Economic Development. Although no direct oversight action was taken on this topic, the Committee continued to monitor developments in this area throughout the 110th 

Congress. Staff held meetings with interested parties. Chairman 

Kanjorski has requested a Government Accountability Office study 

on Federal Home Loan Bank Economic Development Activities to 

better understand the nature and extent—including actual dollar 

amounts from the banks individually and collectively—of economic 

development actions the banks have taken. 

REFCorp Payments. Although no direct oversight action was 

taken on this topic, the Committee continued to monitor developments in this area throughout the 110th Congress. 

SYSTEMIC RISK AND REGULATORY RESTRUCTURING

On September 5, 2007, the Committee held a hearing entitled, 

‘‘Recent Events in the Credit and Mortgage Markets and Possible 

Implications for U.S. Consumers and the Global Economy,’’ with 

testimony from governmental witnesses. 

On October 2, 2007, the Committee held a hearing entitled, ‘‘Systemic Risk: Examining Regulators’ Ability to React to Threats in 

the Financial System,’’ with testimony from private sector witnesses. 

On July 10, 2008, the Committee held a hearing entitled, ‘‘Systemic Risk and the Financial Markets,’’ with testimony from the 

Secretary of the Treasury and the Chairman of the Federal Reserve. 

On July 24, 2008, the Committee held a second hearing entitled, 

‘‘Systemic Risk and the Financial Markets,’’ with testimony from 


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the Chairman of the SEC and the President of the Federal Reserve 

Bank of New York. 

On September 24, 2008, the Committee held a hearing entitled, 

‘‘The Future of Financial Services: Exploring Solutions for the Market Crisis,’’ with testimony from the Secretary of the Treasury and 

the Chairman of the Federal Reserve. 

On October 21, 2008, the Committee held a hearing entitled, 

‘‘The Future of Financial Services Regulation,’’ with testimony from 

private sector witnesses. 

HOUSING

Housing Production. On July 19, 2007, the Committee held a 

hearing on H.R. 2895, The Affordable Housing Trust Fund Act of 

2007, which would establish a national affordable housing trust 

fund, with dedicated sources of revenue for the production and 

preservation of affordable housing for people with the most serious 

housing problems. Witnesses included representatives from HUD, 

affordable housing advocacy groups and the industry. The bill was 

reported out of Committee on July 31, 2007. 

Rehabilitation of Foreclosed Properties. H.R. 5818, the Neighbor- hood Stabilization Act of 2008.’’ directed HUD to establish a $15 

billion loan and grant program to help States and local governments to purchase and rehabilitate owner-occupied foreclosed 

homes, prioritizing areas by need. The Act further provided incentives for States and local governments to stabilize as many properties as possible and to provide housing for families and individuals who lost homes to foreclosure. On April 9 and 10, 2008, the 

Committee held a two-day hearing on ‘‘Using the FHA for Housing 

Stabilization and Homeownership Retention.’’ This hearing examined a discussion draft of the Housing Stabilization and Homeownership Retention Act. The second day of the hearings (April 10th) 

focused on Title III of the discussion draft, which became the basis 

for H.R. 5818. Witnesses on that date included representatives of 

State and local governments, housing advocacy groups and minority advocacy groups. H.R. 5818. The Committee passed H.R. 5818 

on April 23, 2008. 

Federal Housing Administration. On April 19, 2007, the Housing 

Subcommittee held a hearing on H.R. 1852, the ‘‘Expanding American Homeownership Act of 2007’’ and issues relating to FHA modernization. Witnesses included FHA Commissioner Montgomery, as 

well as various organizations representing members active in FHA 

loans. On May 1, 2007, the Committee reported out H.R. 1852, 

with amendments. The bill that includes a number of changes to 

FHA single- and multifamily loan programs, including changes to 

FHA loan limits and down payment requirements, authorizing 

risk-based premiums for FHA loans, reforms to the FHA HECM reverse mortgage loan program, and authorization of funding for affordable housing fund grants based on net savings from bill 

changes to the FHA loan programs. 

FHA Refinancing Opportunities for Homeowners at Risk of Foreclosure. On April 9 and 10, 2008, the Subcommittee hearings on 

using FHA for housing stabilization and homeowners retention, 

highlighting a draft proposal which ultimately became the basis for 

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tion Act.’’ Witnesses included senior officials from HUD, the Federal Reserve, the OCC, the OTS, and the FDIC, as well as Mayors, 

Governors, and a number of housing advocates. On April 24, April 

30, and May 1, 2008, the Committee held three days of markup on 

H.R. 5830, ultimately reporting out that bill on May 1st. The bill 

creates a special FHA single family loan program to refinance existing mortgages for borrowers at risk of foreclosure 

Native American Housing. On May 8, 2007, the Subcommittee on 

Housing and Community Opportunity held a hearing entitled, ‘‘Reauthorization of the Native American Housing Assistance and SelfDetermination Act.’’ The hearing focused on reauthorization of 

NAHASDA. The Committee favorably reported legislation to reauthorize the Native American Housing Assistance Self Determination Act, H.R. 2786, to the House on August 3, 2007, and ultimately became Public Law 110–411. 

Federal Housing Response to Hurricane Katrina. The Committee 

continued to monitor the recovery and rebuilding efforts in the Gulf 

Coast. The Committee and the Subcommittee on Housing and Community Opportunity held hearings on the housing recovery, including the availability of affordable housing, the production and repair 

of public and assisted housing as well as the roles and responsibilities of the Federal Emergency Management Agency and the Department of Housing and Urban Development in responding to 

housing needs resulting from natural disasters. 

On February 6, 2007, the Committee held a hearing entitled, 

‘‘Federal Housing Response to Hurricane Katrina.’’ The hearing focused on the loss of affordable rental housing units in the Gulf 

Coast as a result of Hurricane Katrina. Specifically, it examined 

the commitments that were made early on to rebuild such housing, 

and the results to date in the actual restoration or rebuilding of 

lost housing units. The hearing also focused on efforts to provide 

grants and loans to homeowners to help them repair homes, and 

reviewed the Federal response in providing rental housing assistance to displaced families and individuals. Finally, the hearing examined the critical role that the availability of affordable rental 

housing to working families had on efforts to rebuild areas devastated by Katrina and restore the local economy. 

On February 22 and 23, 2007, the Subcommittee on Housing and 

Community Opportunity held field hearings entitled, ‘‘Solving the 

Affordable Housing Crisis in the Gulf Region Post Katrina: Why no 

progress and what are the obstacles to success?’’ in New Orleans, 

Louisiana and Gulfport, Mississippi. The hearings focused on the 

status of affordable housing recovery in the affected in the Gulf 

Coast, including the rebuilding of private homes, rental, assisted 

and public housing. 

On December 12, 2007, Chairwoman Waters wrote to HUD Secretary Alphonso Jackson urging him to rescind his demolition order 

for New Orleans’ ‘‘Big Four’’ public housing developments and to 

replace any destroyed public housing units on a one-for-one basis. 

On December 19, 2007, Chairwoman Waters, with Chairman 

Frank, wrote to the New Orleans City Council, urging them to 

delay demolition of the City’s ‘‘Big Four’’ public housing developments. 


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On February 28, 2008, Chairwoman Waters wrote to FEMA Administrator Paulison expressing her concern about the high levels 

of formaldehyde found in trailers the agency provided to evacuees 

following Hurricanes Katrina and Rita. 

On April 3, 2008, Chairwoman Waters wrote to Mississippi Governor Haley Barbour, urging him to reconsider the State’s plans to 

transfer $600 million from housing programs to the redevelopment 

of the Port of Gulfport. 

On May 8, 2008, the Subcommittee on Housing and Community 

Opportunity held a hearing entitled, ‘‘Emergency CDBG Funds in 

the Gulf Coast: Uses, Challenges, and Lessons for the Future.’’ The 

hearing examined the ways in which the affected Gulf Coast States 

put into action their CDBG disaster recovery funds, focusing on the 

continuing unmet affordable housing needs of residents. 

On June 4, 2008, the Subcommittee on Housing and Community 

Opportunity held a joint hearing with the Subcommittee on Emergency Communications, Preparedness, and Response of the Committee on Homeland Security entitled, ‘‘Examining the Roles and 

Responsibilities of HUD and FEMA in Responding to the Affordable Housing Needs of Gulf Coast States Following Emergencies 

and Natural Disasters.’’ The hearing focused on the availability 

and use of recovery funds for the rebuilding and redevelopment of 

public housing damaged or destroyed by natural disasters. 

On July 8, 2008, Chairwoman Waters wrote to HUD Secretary 

Preston, urging him to remedy any administrative problems preventing pre-Katrina voucher holders from returning to New Orleans. 

In addition to these hearings, the issues involving Gulf Coast rebuilding were addressed during the annual HUD budget hearings 

conducted on March 14, 2007 and March 11, 2008. 

Homelessness. On October 4, 2007 and October 16, 2007, the 

Housing Subcommittee held hearings on H.R. 840, the ‘‘Homeless 

Emergency Assistance and Rapid Transition to Housing Act’’ (the 

‘‘HEARTH Act’’), Witnesses included the Senate sponsor and lead 

cosponsor of counterpart Senate legislation, HUD Deputy Assistant 

Secretary for Special Needs Mark Johnston, Executive Director of 

the United States Interagency Council on Homelessness Philip 

Mangano, and representatives of various organizations active in 

homeless issues. On July 30, 2008, the Committee reported out 

H.R. 840, the ‘‘Homeless Emergency Assistance and Rapid Transition to Housing Act’’ (the ‘‘HEARTH’’ Act), a bill that reauthorizes 

and makes a number of changes to the McKinney-Vento homeless 

prevention program, including expanding flexibility to assist families with children by expanding the definition of ‘‘homeless’’ and 

giving localities more flexibility to serve such families; providing 

more funding flexibility to prevent homelessness; and codification 

and modifications of the continuum or care funding process. 

Section 8 Housing Choice Voucher Program. On March 12, 2007, 

the Housing Subcommittee held a hearing on H.R. 1851, the ‘‘Section 8 Voucher Reform Act.’’ Witnesses included HUD PIH Assistant Secretary Cabrera, representatives of public housing agency organizations, and housing advocates. On May 23, 2007, the Committee reported out H.R. 1851, with amendments. The bill makes 

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forms to rent policy, inspections, income targeting, and use of 

project-based vouchers, and expansion, reform and re-naming of 

the ‘‘Moving to Work’’ program. 

Section 202 Elderly and Section 811 Disabled Housing. The Committee (specifically the Subcommittee on Housing and Community 

Opportunity) held legislative hearings on the preservation and production of supportive housing for the elderly and persons with disabilities. In addition, the Committee addressed the issue of funding 

for supportive housing for the elderly and persons with disabilities 

at the annual Committee hearing on the budget for Department of 

Housing and Urban Development on March 14, 2007 and March 

11, 2008. 

H.R. 2930, Section 202 Supportive Housing for the Elderly Act of 

2007 addresses the current structure of the Section 202 Supportive 

Housing for Persons with disabilities and the modernization of the 

program. The Committee ordered reported the bill favorably on 

September 25, 2007. H.R. 5772, the Frank Melville Supportive 

Housing Investment Act of 2008 addresses the modernization of the 

Section 811 Supportive Housing for Persons with Disabilities program. The Committee ordered reported the bill favorably on July 

30, 2008. 

Public Housing. The Committee reviewed the state of public 

housing programs, including the impact of cuts to the public housing operating and capital funds and to the HOPE VI program, in 

the context of hearings on the President’s Fiscal Year 2008 and 

2009 budgets. The Committee held a briefing on HUD’s transition 

to asset based accounting and management. The Committee favorably reported out legislation (the Public Housing Asset Management Improvement Act of 2008; H.R. 3521, H.R. 5928, H.R. 6216) 

that addressed HUD’s implementation of the Quality Housing 

Work Responsibility Act of 1998. In addition, the Committee approved changes to the Moving to Work program as part of the Section 8 Voucher Reform Bill, H.R. 1851, which was reported out of 

Committee on May 23, 2007. 

On June 4, 2008, the Subcommittee on Housing and Community 

Opportunity held a joint hearing with the Committee on Homeland 

Security, Subcommittee on Emergency Communications, Preparedness, and Response. The joint hearing focused on barriers to the repair of damaged public housing units following Presidentially-declared emergencies or natural disasters and on the joint roles and 

responsibilities of HUD and FEMA in responding to housing needs 

following such emergencies or natural disasters. The subcommittees heard testimony from representatives of HUD, FEMA public 

housing industry groups and tenant advocates from Mississippi and 

Louisiana. 

HOPE VI. On June 21, 2007, the Subcommittee on Housing and 

Community Opportunity held a hearing to review the HOPE VI 

program, including the need for reauthorization, the impact of 

funding cuts on the ability of the program to meet the needs of distressed public housing developments, the benefits of mixed-use 

communities, and the implementation of Main Street Partnership. 

The Subcommittee conducted several meetings with HUD staff and 

held a hearing to review the progress by past HOPE VI award recipients of implementing and completing their revitalization plans, 


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including the amount of funds that remain unspent in some HOPE 

VI accounts. 

On September 26, 2007, the Committee reported legislation, H.R. 

3524 to re-authorize and modify the HOPE VI program. The bill 

would provide grants to housing authorities to revitalize severely 

distressed public housing developments. The Committee also held 

several meetings throughout 2008 with HUD staff, including the 

HUD Secretary, to review ongoing efforts HUD efforts to work with 

certain public housing authorities that were scheduled to have remaining HOPE VI grant funds eliminated by September 30, 2008. 

H.R. 3524 passed the House on January 17, 2008. 

On July 9, 2008, the Subcommittee on Housing and Community 

Opportunity held a hearing entitled, ‘‘Federal Spending Requirements in Housing and Community Development Programs: Challenges in 2008 and Beyond.’’ The hearing focused on how current 

Federal spending requirements, such as the cancellation of unspent 

funds, for some of the nation’s most needed housing and community development programs can affect the functioning of these programs. The hearing also examined the need for H.R. 6347, the 

HOPE VI Amendment Act of 2008 and HUD’s efforts to work with 

FY 2002 HOPE VI grantees facing cancellation of their grants on 

September 30, 2008. 

Military Housing. H.R. 3329, the Homes for Heroes Act of 2008, 

adds additional veterans housing protections to HUD’s portfolio. 

The legislation was favorably reported out of the Committee on 

June 24, 2008. 

Foreclosure Prevention and Neighborhood Stabilization. On November 30, 2007, the Subcommittee on Housing and Community 

Opportunity held a field hearing in Los Angeles, California entitled, ‘‘Foreclosure Prevention and Intervention: The Importance of 

Loss Mitigation Strategies in Keeping Families in Their Homes.’’ 

The hearing focused on the need for mortgage servicers to increase 

their efforts to work with homeowners with troubled mortgages on 

ways to make their mortgages more affordable to avoid foreclosure. 

The subcommittee heard testimony from the Mayor of Los Angeles 

and representatives from HUD, the Federal Deposit Insurance Corporation, the State of California, the County of Los Angeles, the 

City Council of Oakland, banks, mortgage servicers, mortgage brokers, homeowners, real estate agents, housing counseling organizations, and consumer advocacy groups. 

On April 16, 2008, the Subcommittee on Housing and Community Opportunity held a hearing entitled, ‘‘H.R. 5679, The Foreclosure Prevention and Sound Mortgage Servicing Act of 2008.’’ The 

hearing focused on proposed legislation to require mortgage 

servicers to engage in loss mitigation activities before foreclosing 

on a home. The subcommittee heard from representatives from 

HUD, the US Department of Veterans Affairs, Fannie Mae, 

Freddie Mac, the Hope Now Alliance, mortgage servicers, and 

banking, housing counseling, and consumer groups. 

On May 22, 2008, the Subcommittee on Housing and Community 

Opportunity held a joint hearing with the Domestic Policy Subcommittee of the Committee on Oversight and Government Reform 

entitled, ‘‘Targeting Federal Aid to Neighborhoods Distressed by 

the Subprime Mortgage Crisis.’’ The hearing focused on the availVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00177 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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ability of relevant data and how best to use those data, to target 

Federal funds to neighborhoods with high incidences of abandoned 

and foreclosed properties. The Subcommittees heard testimony 

from representatives from HUD, research organizations, and housing developers. 

On June 16, 2008, the Subcommittee on Housing and Community Opportunity held a field hearing in Cleveland, Ohio entitled, 

‘‘Foreclosure Problems and Solutions: Federal, State, and Local Efforts to Address the Foreclosure Crisis in Ohio.’’ The hearing focused on the extent of foreclosures in Ohio and various programs 

that have been implemented at the Federal, State, and local level 

to minimize foreclosures and to assist homeowners. The subcommittee heard testimony from representatives from HUD; the 

Federal Home Loan Bank; the State of Ohio; the City of Cleveland; 

the Counties of Lake, Lucas, and Mahoning; and real estate, housing counseling, banking, and legal services groups. 

Housing Counseling. The Committee reviewed current housing 

counseling programs to determine whether current funding levels 

are adequate to meet need, and whether improvements could be 

made to enhance consumer education as well as prevent abusive 

lending practices. This review encompassed Federal, State, private 

and non-profit efforts to use homeownership counseling as a tool to 

prevent defaults and foreclosures in the mortgage markets. H.R. 

3019, the Expand and Preserve Home Ownership Through Counseling Act, which among other things, establishes a Office of Housing Counseling at HUD, was included in H.R. 3915, the Mortgage 

Reform and Anti-Predatory Lending Act of 2007, and H.R. 5830, 

the FHA Housing Stabilization and Homeownership Retention Act 

of 2008. Both H.R. 3915 and H.R. 5830 were favorably reported out 

of Committee. H.R. 5830 also provided mortgage counseling and 

legal assistance for troubled borrowers. In addition, the FHA Modernization bill, H.R. 1851, and also favorably reported out of the 

Committee, contains several provisions to address the counseling 

needs of FHA borrowers. 

Flood Insurance. H.R. 3121, The Flood Insurance Reform and 

Modernization Act of 2007, was reported out of the Committee on 

July 26, 2007. The bill was a combination of the provisions contained in H.R. 1682, The Flood Insurance Reform and Modernization Act of 2007 and H.R. 920, the Multiple Peril Insurance Act of 

2007. 

Natural Disaster Insurance. H.R. 3355, the Homeowners Defense 

Act of 2007.’’ passed the Committee on September 26, 2007. The 

bill would provide Federal encouragement for States to develop 

State-sponsored reinsurance programs designed to enhance the efficiency by which catastrophic risks are transferred into the capital 

markets. H.R. 3355 would also assist homeowners in preparing for 

and recovering from damage caused by natural catastrophes. 

Down Payment Assistance. On June 22, 2007, the Housing Subcommittee held a hearing on the FHA gift downpayment seller-financed loan program. Witnesses included the HUD Office of Single 

Family Housing Program Development Director, the HUD IG, the 

GAO, representatives from program sponsors, and housing advocates. On September 16, 2008, the Committee reported out H.R. 

6694, the ‘‘FHA Seller-Financed Downpayment Reform and RiskVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00178 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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based Pricing Act of 2008.’’ The bill would reinstate the FHA sellerfinanced gift downpayment borrowers for more creditworthy borrowers and would permit risk-based pricing for FHA loans for borrowers below a certain credit score threshold. 

Project-Based Section 8 Program. The Housing and Community 

Opportunity Subcommittee held a hearing on October 17, 2007 to 

review the timeliness of Housing Assistance Payments (HAP) for 

project-based Section 8 properties. The Committee worked with the 

Committee on Appropriations to enact legislation to convert expiring project-based Section 8 certificates to project-based vouchers. 

Energy Efficiency. On June 11, 2008, the Committee held a hearing entitled, ‘‘H.R. 6078, the Green Resources for Energy Efficient 

Neighborhoods (GREEN) Act.’’ The Committee heard testimony 

from HUD, the Government Sponsored Enterprises, the Office of 

Federal Housing Enterprise Oversight, and a variety of housing 

groups. The hearing examined current Federal efforts to promote 

green development, and also focused on a legislative proposal to 

promote green development. The Committee met with HUD staff to 

review a proposal to extend the term of existing energy performance contracts from 12 to 20 years. 

Affordable Housing Preservation. The Committee focused on the 

importance of preserving federally assisted housing, including the 

challenge of maintaining housing affordability for those federally 

assisted properties scheduled to experience mortgage maturities in 

the next decade. The Committee examined the circumstances by 

which current owners choose to leave the program and how incentives can be used, coupled with a reduced regulatory burden, to encourage continued participation by the private sector. The Committee held a hearing on June 19, 2008 entitled, ‘‘Affordable Housing Preservation and Protection of Tenants.’’ Finally, the hearing 

focused on draft legislation to accomplish these objectives that was 

developed with input from industry and tenant organizations. The 

Committee held several hearings on the renewal of project-based 

voucher contracts in light of HUD’s decision to change how it funds 

the renewal of Section 8 Housing Assistance Payments (HAP) contracts. In addition, the Committee held a hearing on October 23, 

2007 on legislation to improve HUD’s Mark to Market program 

(H.R. 3965). On October 31, 2007, the Committee ordered reported 

the legislation. 

On July 10, 2007, the Subcommittee on Housing and Community 

Opportunity held a hearing entitled, ‘‘Affordable Housing Preservation: Lessons from Starrett City.’’ The Subcommittee heard testimony from New York State and New York City officials and from 

tenant advocacy groups. The hearing focused on the proposed sale 

of Starrett City, the largest affordable housing development in the 

country, and the implications for existing tenants regarding continued affordability. 

On October 17, 2007, the Subcommittee on Housing and Community Opportunity held a hearing entitled, ‘‘The Impact of Late 

Housing Assistance Payments on Tenants and Owners in the 

Project-Based Rental Assistance Program.’’ The hearing focused on 

HUD’s policy of ‘‘short-funding’’ Section 8 contracts, i.e. only providing enough funding to carry the contract through the end of 

HUD’s Fiscal Year rather than the end of the contract term. The 


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subcommittee heard testimony from representatives from HUD, the 

Government Accountability Office, and resident, owner, and advocacy groups. 

On October 23, 2007, the Subcommittee on Housing and Community Opportunity held a hearing entitled, ‘‘H.R. 647, the Mark-toMarket Extension Act of 2007.’’ The hearing focused on HUD’s 

Mark-to-Market program, which reduces Section 8 subsidies to 

FHA-insured properties with above-market rents and restructures 

the mortgages of these properties so that owners can operate more 

effectively on less income and by charging more competitive rents. 

The subcommittee heard testimony from representatives from 

HUD, resident groups and owners of Section 8 housing. 

On October 29, 2007, the Subcommittee on Housing and Community Opportunity held a field hearing in Houston, Texas entitled, 

‘‘Affordable Housing Needs in the City of Houston: Unique Challenges and Opportunities.’’ The hearing focused on impediments to 

the provision of affordable housing in Houston. The subcommittee 

heard testimony representatives from HUD, the City of Houston, 

the State of Texas, the Housing Authority of the City of Houston, 

and low-income and fair housing advocacy groups. 

On July 29, 2008, the Subcommittee on Housing and Community 

Opportunity held a field hearing in Martinsburg, West Virginia entitled, ‘‘Affordable Housing in West Virginia: Challenges in the 

Eastern Panhandle.’’ The hearing focused on impediments to the 

provision of affordable housing in West Virginia’s Eastern Panhandle. The subcommittee heard testimony from representatives 

from HUD, the US Department of Agriculture’s Office of Rural Development, the State of West Virginia, the City of Martinsburg, the 

Martinsburg Housing Authority, and veterans and housing development groups. 

Housing Tax Credit Programs. The Committee worked with the 

Committee on Ways and Means, HUD, and affordable housing advocates to develop a set of legislative proposals to facilitate the use 

of the Low Income Housing Tax Credit with HUD and Rural Housing Service programs. These proposals were included as part of 

H.R. 3221 that passed the House on July 23, 2008, and became 

Public Law 110–289 on July 30, 2008. 

Community Development. On March 8, 2008, the Subcommittee 

on Housing and Community Opportunity held a field hearing in St. 

Louis, Missouri entitled, ‘‘The Use of Federal Housing and Economic Development Funds in St. Louis: From ‘Team 4’ into the Future.’’ The hearing focused on the operation of certain housing and 

economic development programs administered by the Department 

of Housing and Urban Development and the implications of the 

City of St. Louis’ experience with the Team 4 economic development plan for current and future economic revitalization initiatives 

in the City. The Subcommittee heard from representatives from 

HUD, the City of St. Louis, the City of Cincinnati, research organizations, and community advocacy groups. 

Rural Housing Service. The Committee held a hearing on May 8, 

2007, to review the President’s proposed Fiscal Year 2008 budget 

for rural housing programs and to review a proposal to establish 

a revitalization program at the Rural Housing Service to preserve 


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and rehabilitate affordable housing under the Section 514, 515, and 

516 multifamily housing programs. 

Conforming Loan Limits Under Stimulus Bill. On May 22, 2008, 

the Committee held a hearing on the impact of the conforming loan 

limit increase temporarily put in place under the stimulus bill enacted earlier in the year. Witnesses included representatives from 

organizations in the real estate industry affected by the loan limit 

increases. 

Limited English Proficiency. The Committee reviewed the Department of Housing and Urban Development’s final guidance on 

Limited English Proficiency, published pursuant to Executive 

Order 13166 and worked with HUD and stakeholders to develop 

legislation regarding the implementation of HUD’s guidance. An 

amendment was offered to the Section 8 Voucher Reform bill to authorize funds for additional translation services, including a tollfree hotline, and to identify additional documents that were viewed 

as vital. The Committee also worked with the Committee on Appropriations and the Senate to get funds appropriated to carry out the 

provisions of the amendment. 

Fair Housing. On April 11, 2008, the Committee submitted a letter to the GAO requesting the agency to conduct a comprehensive 

review of the current state of Federal enforcement of the Fair 

Housing Act and other fair lending statutes. The Committee also 

reviewed the adequacy of resources and staffing levels as part of 

the hearing on the President’s Fiscal Year 2008 and 2009 budget 

recommendations for the Department. 

HUD Mission, Management Reform and Staffing. The Committee 

reviewed the overall mission, organization, human resources and 

information technology capabilities of the Department of Housing 

and Urban Development to determine whether the Department is 

meeting and addressing housing issues in the most efficient manner. This review was not only a part of the annual budget process 

and hearings, but also involved legislation to modernize HUD’s 

Federal Housing Administration (H.R. 1852). The HUD budget 

hearings were held on March 14, 2007 and March 11, 2008. The 

hearing on H.R. 1851 was held on April 19, 2007, and the bill was 

reported out of Committee on May 23, 2007. 

Project-Based Section 8 Program. The Subcommittee on Housing 

and Community Opportunity held a hearing on October 17, 2007 

to review the timeliness of Housing Assistance Payments (HAP) for 

project-based Section 8 properties. In addition, the Subcommittee 

reviewed HUD’s policy on the renewal of expiring project-based 

Section 8 contracts. 

Rural Housing. On May 8, 2007, the Subcommittee on Housing 

and Community Opportunity held a hearing entitled, ‘‘Rural Housing Programs: Review Fiscal year 2008 Budget and Pending Rural 

Housing Legislation.’’ The Subcommittee heard testimony from the 

Administrator of the Rural Housing Service, Department of Agriculture (USDA), and from the Assistant Secretary for Community 

Planning and Development, Department of Housing and Urban Development. The hearing was designed to review the Service’s fiscal 

year 2008 budget proposal. 

Affordable Housing Preservation. On July 10, 2007, the Subcommittee on Housing and Community Opportunity held a hearing 


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entitled, ‘‘Affordable Housing Preservation: Lessons from Starrett 

City.’’ The Subcommittee heard testimony from New York State 

and New York City officials and from tenant advocacy groups. The 

hearing focused on the proposed sale of Starrett City, the largest 

affordable housing development in the country, and the implications for existing tenants regarding continued affordability. 

Section 202 Elderly and Section 811 Disabled Housing. The Subcommittee held legislative hearings on the preservation and production of supportive housing for the elderly and persons with disabilities. 

On September 6, 2007, the Subcommittee on Housing and Community Opportunity held a hearing entitled, ‘‘H.R. 2930, Section 

202 Supportive Housing for the Elderly Act of 2007.’’ The hearing 

focused on the delegated underwriting of grants for the production 

of supportive housing for the elderly, as well as refinancing flexibility to allow aging affordable properties to address physical needs 

and maintain long-term affordability. 

On June 20, 2008, the Subcommittee on Housing and Community Opportunity held a hearing entitled, ‘‘H.R. 5772, the Frank 

Melville Supportive Housing Investment Act of 2008.’’ The hearing 

focused on the delegated underwriting for section 811 grants, the 

transfer of section 811–funded tenant-based vouchers to the section 

8 housing choice voucher program and the authorization of a demonstration program to create a project-based rental assistance program to develop new supportive housing units in mixed-use developments. 

Military Housing. The Subcommittee on Housing and Community opportunity held a hearing entitled, ‘‘Affordable Housing 

Needs of America’s Low-Income Housing Veterans’’ on December 5, 

2007. Witnesses included representatives from the U.S. Department of Veterans Affairs, the U.S. Government Accountability Office, homelessness advocacy groups, and veterans advocacy groups. 

The focus of the hearing was on the affordable housing needs of 

low-income veterans, and included a mention of H.R. 3329, the 

Homes for Heroes Act of 2008. 

National Flood Insurance Program. On June 12, 2007, the Subcommittee on Housing and Community Opportunity held a hearing 

entitled, ‘‘The Flood Insurance Reform and Modernization Act of 

2007, H.R. 1682.’’ Based on legislation that passed the House in the 

109th Congress, H.R. 1682 was designed to restore the financial 

solvency of and reform the National Flood Insurance Program 

(NFIP). On June 12, 2007, the Subcommittee on Oversight and Investigation held a joint hearing with the House Committee on 

Homeland Security Subcommittee on Management, Investigations 

and Oversight which explored issues related to the National Flood 

Insurance Program and the adjustment of flood insurance claims 

following the 2005 hurricane season. On July 17, 2007 the Subcommittee on Housing and Community Opportunity held a hearing 

entitled, ‘‘H.R. 920, the Multiple Peril Insurance Act of 2007.’’ H.R. 

920 would create a new program in the NFIP to allow policyholders 

to purchase wind and flood coverage in one policy. 

Mortgage Finance Reform. The Subcommittee held a hearing on 

September 16, 2008 entitled, ‘‘HUD’s Proposed RESPA Rule.’’ The 

hearing explored the U.S. Department of Housing and Urban DeVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00182 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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velopment (HUD)’s proposed rule on the Real Estate Settlement 

Procedures Act (RESPA). The RESPA rule was finalized by the Office of Management & Budget on November 7, 2008, and was published in the Federal Register on November 17, 2008. 

INSURANCE

Terrorism Risk Insurance Act. On March 5, 2007, the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises held a hearing entitled, ‘‘The Need to Extend the 

Terrorism Risk Insurance Act,’’ in the City Council Chambers, New 

York City Hall. The hearing focused on the present availability of 

terrorism insurance in the private market. It also explored the 

need to extend TRIA as amended by TRIEA and whether Congress 

should consider any modifications to the law. Witnesses included 

Senator Charles Schumer, New York City Mayor Michael 

Bloomberg, and representatives from entities directly impacted by 

any extension of TRIA, including insurance and real estate groups. 

On April 24, 2007, the Subcommittee held a hearing entitled, 

‘‘Policy Options for Extending the Terrorism Risk Insurance Act.’’ 

This hearing examined the policy options that Congress could consider in the coming months during the debates on extending the 

Terrorism Risk Insurance Program for a second time. Witnesses included representatives from a number of private entities. 

On June 21, 2007 the Subcommittee held a hearing entitled, ‘‘Examining a Legislative Solution to Extend and Revise the Terrorism 

Risk Insurance Act.’’ The hearing focused on H.R. 2761, the Terrorism Risk Insurance Revision and Extension Act of 2007. This 

legislation extended the Terrorism Insurance Program beyond its 

current expiration date of December 31, 2007. TRIREA also made 

several revisions to the existing program, such as expanding the 

availability of insurance to protect against nuclear, chemical, biological and radiological (NBCR) events; adding group life as a line 

covered by the program; covering domestic terrorism events to $50 

million; adjusting event trigger levels; and improving program administration. Witnesses included David Nason, Assistant Secretary 

for Financial Institutions, U.S. Department of the Treasury; Eric 

Dinallo, the Superintendent of the New York Insurance Department; and representatives from a wide variety of private entities. 

H.R. 2761, the Terrorism Risk Insurance Revision and Extension 

Act of 2007, was ordered reported by the Committee on August 1, 

2007. The bill extends the Terrorism Risk Insurance Act of 2002 

(TRIA) for a second time to ensure the continued availability of terrorism insurance coverage, limit market disruptions, encourage 

economic development and growth, and maintain the economic security of the United States. This bill was signed into law on December 26, 2007. 

Sales of Insurance and Securities Products to Servicemembers. 

The Committee continued to conduct oversight of insurance companies and producers selling insurance on Federal military installations. Committee staff has consulted with the Department of Defense and the National Association of Insurance Commissioners 

(NAIC) staff concerning the implementation of the Military Personnel Financial Services Protection Act (P.L. 109–290), which became law on September 29, 2006. The 2006 Act required the NAIC 


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and the DoD to issue reports regarding the sales of insurance to 

servicemembers. The NAIC issued reports in March and September 

of 2007 detailing the States’ efforts to implement the Act. In April 

2008, the DoD issued a study covering the implementation of the 

Act and the impact of revised DoD Instruction 1344.07 (guidelines 

concerning the sales of insurance and other financial products to 

active servicemembers). The Committee has reviewed all of these 

reports and continues to monitor the Act’s implementation. 

Regulatory Modernization. On October 3, 2007, the Subcommittee 

on Capital Markets, Insurance, and Government Sponsored Enterprises held a hearing entitled, ‘‘The Need for Insurance Regulatory 

Reform.’’ The first in a series of three hearings, this hearing focused on the need for insurance regulatory reform, including detailing costs, marketplace inefficiencies, developments in global markets, and policy rationales for pursuing regulatory reform. Since 

the enactment of the Gramm-Leach-Bliley Act, some key participants in the insurance industry believe that they have faced a competitive disadvantage vis-a-vis banks and securities firms in the 

U.S., while others cited developments in the global economy as the 

need for pursuing regulatory reform. Many insurers also believe 

that the current system of insurance is inefficient and costly, and 

some have produced studies to estimate these financial amounts. 

Witnesses included representatives from the National Association 

of Insurance Commissioners and from several insurance trade organizations. 

On October 30, 2007 the Subcommittee held a hearing entitled, 

‘‘Additional Perspectives on the Need for Insurance Regulatory Reform.’’ This hearing focused on the same general topics as the Subcommittee’s October 3, 2007 hearing- the need for insurance regulatory reform, including detailing costs, marketplace inefficiencies, 

developments in global markets, and policy rationales for pursuing 

regulatory reform. Witnesses included representatives from the National Association of Insurance Commissioners and from several insurance trade organizations. 

On April 16, 2008 the Subcommittee held a hearing entitled, ‘‘Examining Proposals on Insurance Regulatory Reform.’’ The purpose 

of this hearing was to allow Members to hear about different proposals on how best to reform insurance regulation. Each witness 

was to discuss one option for insurance regulatory reform, its merits, and what problems the solution seeks to solve. This hearing 

was intended to be a positive discussion of the proposals, and no 

witnesses were asked to testify against another proposal. Witnesses 

included David Nason, Assistant Secretary for Financial Institutions, Department of the Treasury; Eric Dinallo, Superintendent, 

Department of Insurance, State of New York; and representatives 

from several insurance trade organizations. 

Agent and Broker Licensing Reform. The Capital Markets Subcommittee reviewed H.R. 5611, the National Association of Registered Agents and Brokers Reform Act of 2008, at an insurance 

regulatory reform hearing on April 16, 2008. H.R. 5611 would establish a reciprocal licensing process for insurance agents and brokers in the various States. The legislation was marked-up and favorably forwarded to the Committee on July 9, 2008. The House 

passed H.R. 5611 on September 17, 2008. 


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Life Insurance Product Approval. The Capital Markets Subcommittee reviewed life insurance product approvals as part of the 

Subcommittee’s work on insurance regulatory reform. The Subcommittee held a series of hearings on insurance regulatory reform 

on October 3, 2007, October 30, 2007 and April 16, 2008. 

Insurance Consumer Protections. The Capital Markets Subcommittee reviewed insurance consumer protections as part of the 

Subcommittee’s work on insurance regulatory reform. The Subcommittee held a series of hearings on insurance regulatory reform 

on October 3, 2007, October 30, 2007 and April 16, 2008. 

On October 2, 2007 and May 21, 2008 the Oversight and Investigations Subcommittee held hearings to discuss issues related to 

insurance consumer protections. 

Credit Scoring and Insurance. The Oversight and Investigations 

Subcommittee held two hearings on the use of consumer credit information to underwrite and rate personal lines of insurance, including automobile and homeowners’ insurance. The first hearing, 

held on October 2, 2007, was entitled, ‘‘Credit-Based Insurance 

Scores: Are They Fair?’’ Under Section 215 of the Fair and Accurate Credit Transactions (FACT) Act, the Federal Trade Commission (FTC) and the Federal Reserve, in consultation with the Office 

of Fair Housing and Equal Opportunity of the Department of Housing and Urban Development, are required to study whether credit 

scores and credit-based insurance scores affect the availability and 

affordability of financial services and products. On July 19, 2007, 

the FTC released the first portion of the statutorily required report 

entitled, ‘‘Credit-Based Insurance Scores: Impacts on Consumers of 

Automobile Insurance’’ that examined the use of credit-based insurance scores to rate and underwrite automobile insurance. The second portion of that report, addressing homeowners’ insurance, is 

pending. Hearing witnesses included representatives from the FTC, 

several State insurance commissioners and civil rights organizations. The hearing examined State regulations and laws governing 

the use of credit-based insurance scores. The hearing also addressed the FTC report, and whether the validity of the report was 

compromised because the underlying data was supplied by the insurance industry on a voluntary basis and did not cover the entire 

automobile insurance market. Subsequently, the FTC decided to 

use its subpoena authority to compel data from a large cross section of insurance companies to complete the pending homeowners’ 

insurance study. 

A second hearing entitled, ‘‘The Impact of Credit-Based Insurance Scoring on the Availability and Affordability of Insurance’’ 

was held by the Subcommittee on May 21, 2008. This hearing examined more generally the use of consumer credit information in 

the underwriting and rating of personal lines of insurance. Witnesses included representatives from the FTC, the National Association of Insurance Commissioners, the National Conference of Insurance Legislators, and a number of civil rights and consumer organizations. As a result of concerns raised during these hearings 

about the impact of the use of credit-based insurance scores on consumers, particularly low-income and minority consumers, two 

members of the Subcommittee introduced separate bills relating to 

the use of consumer credit information for insurance purposes. 


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Discrimination in Insurance. On October 2, 2007 and May 21, 

2008 the Oversight and Investigations Subcommittee held hearings 

to discuss issues related to discrimination in insurance. 

Availability of Natural Disaster Insurance. On March 27, 2007 

the Subcommittee on Housing and Community Opportunity held a 

hearing entitled, ‘‘Perspectives on Natural Disaster Insurance.’’ 

This hearing explored various approaches proposed to handle the 

issue of natural disaster insurance, including, but not limited to, 

the provisions of various bills that were pending before Congress 

at the time. Witnesses included Representatives Taylor, Klein, 

Mahoney and Brown-Waite, a representative of the National Association of Insurance Commissioners and representatives of several 

insurance and disaster mitigation trade organizations. 

On September 6, 2007, the Subcommittee on Capital Markets, 

Insurance, and Government Sponsored Enterprises and the Subcommittee on Housing and Community Opportunity held a joint 

hearing entitled, ‘‘H.R. 3355, the Homeowners Defense Act of 

2007.’’ H.R. 3355 provided Federal encouragement for States to develop State-sponsored reinsurance programs designed to enhance 

the efficiency by which catastrophic risks are transferred into the 

capital markets. Witnesses included several representatives from 

both the State and Federal government and representatives from 

several insurance and disaster mitigation trade organizations. H.R. 

3355 was ordered reported by the Financial Services Committee on 

September 26, 2007 and passed the House on November 2, 2007. 

The Oversight and Investigations Subcommittee held a field 

hearing on February 11, 2008 in West Palm Beach, Florida entitled, ‘‘The Homeowners’’ Insurance Crisis and its Impact on Communities, Homeowners and the Economy.’’ Florida’s Insurance 

Commissioner testified, along with the mayor of Wellington, Florida and a local resident about the financial impact on State and 

local governments and residents of natural catastrophes and the 

withdrawal of insurance companies from coastal markets. The 

hearing explored possible solutions to the insurance coverage crisis, 

including H.R. 3355 (The Homeowners’ Defense Act of 2007). Representatives from the Florida Association of Realtors and Independent Insurance Agents and Brokers of America testified in support of H.R. 3355 and supported the idea of a comprehensive solution to the insurance crisis as a result of natural catastrophes. 

Uninsured Disaster Losses. Although the Committee took no direct oversight action on this topic, the Committee monitored developments in this area throughout the 110th Congress. 

Mega-Catastrophes. On March 27, 2007 the Subcommittee on 

Housing and Community Opportunity held a hearing to discuss 

issues related to mega-catastrophes. 

Katrina Claims. The Oversight & Investigations Subcommittee 

held a series of hearings in the 110th Congress on the insurance 

claims payment process following Hurricanes Katrina and Rita. 

The first hearing entitled, ‘‘Insurance Claims Payment Processes in 

the Gulf Coast after the 2005 Hurricanes’’ was held on February 

28, 2007. The hearing examined several concerns, including potential overpayment of claims by the National Flood Insurance Program (NFIP) due to nonpayment or underpayment of wind claims 

by private Write-Your-Own Insurance (WYO) companies. Another 


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concern is a potential conflict of interest as these same WYO insurance companies licensed by the NFIP to adjust flood claims paid by 

the NFIP simultaneously adjust their own wind claims paid by private insurance companies. Several members of Congress from the 

Gulf Coast region testified about the specific challenges to their 

constituents and communities following Hurricanes Katrina and 

Rita. A witness from the Federal Emergency Management Agency 

(FEMA) and the Mississippi Attorney General testified about the 

ongoing government efforts to provide oversight of the NFIP and 

investigate potential fraud against the program. 

The second hearing entitled, ‘‘National Flood Insurance Program: 

Issues Exposed by the 2005 Hurricanes’’ held on June 12, 2007 was 

a joint hearing with the Committee on Homeland Security, Subcommittee on Management, Oversight & Investigations. This hearing examined two interim reports issued by the U.S. Government 

Accountability Office (GAO) and Department of Homeland Security, 

Office of Inspector General (DHS-IG). Witnesses from the GAO and 

DHS-IG testified that FEMA lacked access to critical wind files 

maintained by private insurers under the Write-Your-Own (WYO) 

program to conduct proper oversight, however at that point in time, 

they did not have enough evidence to prove systematic defrauding 

of the NFIP by private insurers. 

A GAO report entitled, ‘‘NATIONAL FLOOD INSURANCE PROGRAM: Greater Transparency and Oversight of Wind and Flood 

Damage Determinations Are Needed,’’ (GAO–08–28) was released 

in December 2007. This report is a follow-up to the interim report 

discussed at the June 2007 hearing. The GAO found that because 

the NFIP does not systematically collect and analyze both wind 

and flood damage claims data, it hurts FEMA’s oversight and quality assurance reinspection function. The GAO recommended that 

FEMA have access to both flood and wind files to ensure proper 

oversight. The DHS-IG report entitled, ‘‘Hurricane Katrina: Wind 

Versus Flood Issues,’’ (OIG–08–97) was issued in September 2008 

and is a follow-up to the DHS-IG interim report. As part of its investigation, DHS–IG subpoenaed insurance files from about 100 

damaged properties in Mississippi, Louisiana and Alabama and 

found that the NFIP did not improperly pay for wind damage. The 

DHS-IG did not find systematic defrauding of the NFIP by private 

WYO insurance companies; however, it recommended that FEMA 

have access to insurers’ wind files to foster proper oversight. 

In addition, the Subcommittee has been conducting an independent investigation into the insurance claims payment crisis 

after Hurricanes Katrina and Rita. During the 110th Congress, the 

Subcommittee issued voluntary document requests to certain insurance companies, engineering firms and adjustment firms that were 

operating in the Gulf Coast when the hurricanes struck in 2005, 

yielding over 10,000 pages of documents. A staff report on the investigation is pending. 

The Subcommittee’s work in this area helped inform the work of 

the Housing Subcommittee and the Full Committee in crafting 

H.R. 3121, the Flood Insurance Reform and Modernization Act of 

2007, which would expand the NFIP to include wind damage, 

among other reforms. H.R. 3121 was ordered reported by the Financial Services Committee on July 26, 2007. 


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Surplus Lines and Reinsurance. H.R. 1065, the Nonadmitted and 

Reinsurance Reform Act of 2007 passed the House on June 25, 

2007. H.R. 1065 streamlines the regulation of surplus lines insurance and reinsurance. This legislation closely mirrors similar legislation passed by the Committee in the 109th Congress and the 

Committee monitored developments in this area throughout the 

110th Congress. 

Guarantee Funds. Although the Committee took no direct oversight action on this topic, the Committee monitored developments 

in this area throughout the 110th Congress. The Capital Markets 

Subcommittee held meetings with both the association for life and 

health guarantee funds and the association for property/casualty 

guarantee funds. 

Viaticals and Life Settlements. Although the Committee took no 

direct oversight action on this topic, the Committee monitored developments in this area throughout the 110th Congress. 

Retirement Products. Although the Committee took no direct 

oversight action on this topic, the Committee monitored developments in this area throughout the 110th Congress. 

Business Continuity Planning. Although the Committee took no 

direct oversight action on this topic, the Committee monitored developments in this area throughout the 110th Congress. 

Insurance Investments. Although the Committee took no direct 

oversight action on this topic, the Committee monitored developments in this area throughout the 110th Congress. 

Insurance Intermediaries Practices. Although the Committee took 

no direct oversight action on this topic, the Committee monitored 

developments in this area throughout the 110th Congress. 

International Developments. On February 7, 2008 the Committee 

held a hearing to discuss issues related to international insurance 

developments. 

On October 3, 2007, October 30, 2007, April 16, 2008, and June 

10, 2008, the Subcommittee on Capital Markets, Insurance, and 

Government Sponsored Enterprises held hearings in which international insurance developments were discussed. 

Risk Retention Groups. H.R. 5792, the Increasing Insurance Coverage Options for Consumers Act of 2008, would reform and expand the Product Liability Risk Retention Act of 1986 by allowing 

Risk Retention Groups (RRGs) to provide commercial property insurance to their members and require all RRGs to implement minimum corporate governance, disclosure, and financial reporting 

standards. The Subcommittee on Capital Markets, Insurance, and 

Government Sponsored Enterprises reviewed H.R. 5792 at an insurance regulatory reform hearing on April 16, 2008. 

The legislation was subsequently marked-up and favorably forwarded to the Committee on July 9, 2008. 

Reinsurance. On October 3 and 20, 2007, and again on April 16, 

2008, the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises held hearings to discuss issues related to reinsurance. 

Insurance Information. On June 10, 2008 the Subcommittee on 

Capital Markets, Insurance, and Government Sponsored Enterprises held a hearing entitled, ‘‘H.R. 5840, the Insurance Information Act of 2008.’’ H.R. 5840 would create a Federal Office of InsurVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00188 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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ance Information within the Department of the Treasury to provide 

advice and expertise on insurance policy to the Administration and 

to Congress. The purpose of the hearing was to examine and solicit 

comment on this bill. Witnesses included representatives from the 

Department of Treasury, the National Association of Insurance 

Commissioners, the National Conference of Insurance Legislators 

and several insurance trade organizations. 

The legislation was subsequently marked-up and favorably forwarded to the Committee on July 9, 2008. 

Holocaust-era Insurance Claims. On February 7, 2008, the Committee held a hearing entitled, ‘‘The Holocaust Insurance Accountability Act of 2007 (H.R. 1746): Holocaust Era Insurance Restitution After ICHEIC, the International Commission on Holocaust Era 

Insurance Claims.’’ As introduced, H.R. 1746 required that insurance companies doing business in the United States file certain disclosures of Holocaust-era insurance policies for publication by the 

Archivist of the United States in a Holocaust Insurance Registry. 

H.R. 1746 also created a Federal cause of action for claims arising 

from out of Holocaust-era insurance policies. The hearing was held 

to determine whether the bill, as introduced, provided the most effective way to address unpaid claims arising from Holocaust-era insurance policies. Representatives of Holocaust survivors and survivor groups, former ICHEIC personnel, a representative of the Archivist’s office and a State Department representative testified before the Committee. 

H.R. 1746 was amended and was ordered reported from the Committee on June 25, 2008. As amended, H.R. 1746: (i) requires that 

insurance companies respond within 90 days to any new inquiry received from any potential beneficiary of any Holocaust-era insurance policy; and (ii) creates a Federal cause of action for claims 

arising from Holocaust-era insurance policies on which the claimant has not previously made a claim. The bill was sequentially referred to the Judiciary Committee on August 1, 2008. 

Bond Insurance. On February 14, 2008 the Subcommittee on 

Capital Markets, Insurance, and Government Sponsored Enterprises held a hearing entitled, ‘‘The State of the Bond Insurance Industry.’’ The purpose of this hearing was to discuss the implications of recent bond insurers’ ratings downgrades and implications 

for the stability of our nation’s financial sector and the broader 

economy. The hearing also examined the potential consequences for 

many participants in the financial marketplace of bond insurer 

credit downgrades, the existing regulatory system, and the need for 

reform. Witnesses included Eliot Spitzer, the Governor of New 

York; Eric Dinallo, Superintendent of the New York State Insurance Department; officials from the Securities and Exchange Commission, the Department of the Treasury, the Federal Reserve and 

Wilkes-Barre, PA; and representatives of a number of private entities. 

On March 12, 2008, the Committee held a hearing entitled, ‘‘Municipal Bond Turmoil: Impact on Cities, Towns, and States.’’ While 

the main purpose of this hearing was to examine the impact on 

State and local governments and other municipal bond issuers as 

the current credit crisis worsens, the Committee also examined the 

extent to which the bond insurance industry contributed to the colVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00189 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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lapse of the auction-rate securities market. Witnesses included a 

cross-section of individuals representing different entities hit by the 

Municipal Bond crisis. These entities included States, Federal 

agencies, and private groups. 

The efforts of the Committee and subcommittee were incorporated into H.R. 6308, Municipal Bond Fairness Act, which was 

ordered reported by the Committee on July 30, 2008. 

INTERNATIONAL FINANCE

Annual Report and Testimony by the Secretary of the Treasury on 

the State of the International Financial System and International 

Monetary Fund Reform. The Committee received the testimony of 

the Secretary of the Treasury on the state of the international financial system on June 20, 2007. 

U.S. Oversight over the International Financial Institutions 

(IFIs). On May 22, 2007, the Committee held a hearing entitled, 

‘‘The Role and Effectiveness of the World Bank in Combating Global Poverty.’’ The hearing focused on the importance of governance, 

transparency and accountability at the World Bank in order to 

maximize our ability to wage an effective fight against world poverty. Witnesses discussed the governance and democratic practices 

within the Bank; the Bank’s anti-poverty activities and programs, 

including the conditions the Bank places on countries in which it 

is active; and the degree to which some of the Bank’s development 

strategies might run counter to sustainable development goals. 

On May 24, 2007, Chairman Frank and three other House committee chairmen sent a letter requesting President Bush seek a replacement for World Bank president from a global pool of candidates in order to send a signal of the commitment of the United 

States to the Bank’s core anti-poverty mission. 

On July 13, 2007 Chairman Frank sent a letter to World Bank 

President Robert Zoellick urging the release of the draft report on 

the effects of pollution problems in China. 

On October 3, 2007, the Committee held a hearing entitled, ‘‘The 

Fight against Global Poverty and Inequality: the World Bank’s Approach to Core Labor Standards and Employment Creation.’’ The 

hearing focused on the role of core labor standards in the fight 

against global poverty and in particular on the World Bank’s attention to and promotion of core labor standards in its operational and 

lending policies. During the hearing, the witnesses shared with the 

Committee their views on the World Bank’s annual ‘‘Doing Business’’ report; the role of unions in developing countries; the Equator 

Principles, which have been adopted by over 50 private banks involved in development financing; and what role they believe the 

World Bank should be playing in helping to advance or promote 

worker rights internationally. 

On April 8, 2008, Chairman Frank wrote to the President of the 

National Academy of Sciences to request the National Research 

Council to organize a workshop to examine the impacts of the 

World Bank’s labor policies on poverty reduction and inequality, 

the creation of decent jobs, formalization of the large informal 

economies, and the protection of workers. 

On April 8, 2008, Chairman Frank wrote to the President of the 

National Academy of Sciences to request the National Research 


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Council to organize a workshop to examine the impacts of the 

World Bank’s labor policies on poverty reduction and inequality, 

the creation of decent jobs, formalization of the large informal 

economies, and the protection of workers. 

On May 14, 2008, the Committee held a hearing entitled, ‘‘Contributing Factors and International Responses to the Global Food 

Crisis’’ that examined the underlying causes of the intense pressures on the world’s food system and looked at the immediate and 

urgent short-term humanitarian challenges to the crisis. The hearing focused on the particular kind of trade policies and other interventions by governments, aid agencies, and international institutions—including the World Bank, the IMF, and International Fund 

for Agricultural Development—that would be most effective in establishing a sustainable and secure food system that meets the 

basic food needs of all people. 

On July 1, 2008, Chairman Frank wrote to Treasury Secretary 

Paulson urging the United States to significantly increase the U.S. 

contribution to the International Fund for Agricultural Development (IFAD) to better support its critical work in enabling the poor 

to overcome poverty through an effective focus on increasing agricultural productivity. 

On October 25, 2007, the Committee held a hearing entitled, 

‘‘Transparency of Extractive Industries: High Stakes for ResourceRich Countries, Citizens and International Business,’’ which examined the development phenomenon known as the ‘‘resource curse,’’ 

whereby many developing countries rich in oil, gas and mineral resources are more likely to become authoritarian and corrupt, and 

experience greater poverty, slower growth, and slower development 

than non-resource rich countries, with many ranking near the bottom of most measures of human development. The hearing focused 

on the causes and effects of the ‘‘resource curse’’; the responses of 

the international community, including the voluntary Extractive 

Industries Transparency Initiative, its progress and its limitations; 

the role of the international financial institutions in the extractive 

industries of developing countries; and what more could be done 

both bilaterally and multilaterally to better combat this complex 

problem. The expert civil society and academic witnesses at the 

hearing stressed the importance of going beyond the voluntary approach of the Extractive Industries Transparency Initiative and focused largely on the need for Congressional legislation to make revenue disclosure a mandatory reporting requirement. 

On June 26, 2008, the Committee held a legislative hearing on 

H.R. 6066, the Extractive Industries Transparency Disclosure Act. 

The legislation would require oil, gas, and mining companies listed 

on U.S. exchanges to publicly disclose the payments they make to 

the governments of the countries from which those resources are 

extracted. This disclosure requirement would allow shareholders to 

make better informed assessments of opportunity costs, threats to 

corporate reputation, comparative extraction costs, and long-term 

prospects of the companies in which they invest. Resource revenue 

transparency is also necessary in order for citizens—the true owners of their country’s natural wealth—to be able to demand greater 

accountability from their governments for spending that serves the 

public interest. This form of transparency, in conjunction with an 


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increasing active civil society, also promises to help create more 

stable, democratic governments. 

Replenishment of the International Development Association and 

African Development Fund. On June 18, 2008, the Committee held 

a hearing titled ‘‘The 15th Replenishment of the International Development Association and the 11th Replenishment of the African 

Development Fund.’’ On June 25, 2008, the Committee approved by 

voice vote H.R. 6306, a bill to authorize appropriations for the 

United States contributions to, the fifteenth replenishment of the 

International Development Association (IDA–15) and the eleventh 

replenishment of the African Development Fund (AfDF–11). 

International Debt Relief. On November 8, 2007, the Committee 

held a legislative hearing on ‘‘H.R. 2634, the Jubilee Act for Responsible Lending and Expanded Debt Cancellation of 2007.’’ This 

hearing focused on the policy provisions contained in H.R. 2634, 

the effects this legislation would have on the world’s poorest countries that continue to suffer under crushing debt burdens. On April 

3, 2008, the Committee ordered reported H.R. 2634, and the bill 

was approved by the House on April 16, 2008. 

Chairman Frank, Ranking Member Bachus, Rep. Waters, Rep. 

Gutierrez, Rep. Payne, and Rep. Lee wrote to the Government Accountability Office on August 30, 2007 requesting a report to address the issue of how much funding from the international financial institutions and donor governments will be required to fulfill 

the commitments of the Multilateral Debt Relief Initiative and 

what policy conditions countries will be required to implement to 

qualify for debt relief. 

Millenium Challenge Corporation (MCC). In March 2008, Chairman Frank led a bipartisan Congressional delegation to the African 

countries of Cape Verde, South Africa and Ghana to meet with government officials, civil society leaders, and representatives of the 

private sector to discuss issues of economic development, impediments to poverty reduction and the role of the international financial institutions in these countries. In Cape Verde, members were 

given a first-hand look at the remarkable progress Cape Verde— 

one of the first countries to receive a Millennium Challenge Account (MCA) grant—has been making under its MCA compact. 

Cape Verdean government officials shared their concern with members about some of the legislative rules under which the MCC currently operates, which may make it difficult for Cape Verde to fully 

realize the benefit of the program. 

On May 22, 2008, Chairman Frank and Rep. Patrick Kennedy 

wrote to Foreign Affairs Committee Chairman Howard Berman requesting his support for some legislative changes to the Millennium 

Challenge Account program in order to allow some flexibility, at 

the discretion of the Board, to extend the five-year limit on MCA 

compact implementation in particular cases; to authorize the possibility of concurrent or subsequent compacts in a given country; and 

to allow the MCC to enter into compacts on a regional basis when 

doing so would likely produce more effective developmental outcomes. 

Counter-terrorism Financing Policy. The Sudan Accountability 

and Divestment Act of 2007, H.R. 180 in the House, was passed 

unanimously by both the House and Senate in December 2007 and 


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was signed into law as S. 2271 by President Bush on December 31, 

2007 (Public Law 110–174). The Act authorizes, but does not mandate, States and localities that choose to do so to adopt measures 

to divest public assets from companies involved in the targeted 

business sectors in Sudan. The Act authorizes, but does not mandate, mutual funds and private pension fund managers to sell securities of companies involved in the targeted business sectors in 

Sudan, and provides a ‘‘safe harbor’’ for divestment decisions made 

in accordance with the Act. Fund managers will still be required 

to observe all other normal fiduciary responsibilities and must disclose their divestment decisions pursuant to SEC regulations. The 

Act requires Federal Government contractors to certify that they 

are not conducting business operations in any of the targeted business sectors in Sudan; subject to waiver by the President if he determines and certifies to Congress that it is in the national interest. Requires the Secretaries of the Departments of State and 

Treasury to report on the efficacy of current Sudan-related sanctions. In order to help ensure that State and private investment decisions will not conflict with future foreign policies and objectives 

established by the Federal Government, the Act sets forth conditions for the sunset of the Act. 

On February 8, 2008, the Committee held a hearing titled ‘‘Negative Implications of the President’s Signing Statement on the 

Sudan Accountability and Divestment Act.’’ When President Bush 

signed the ‘‘Sudan Accountability and Divestment Act of 2007’’ into 

law, his signature came with a signing statement that could undermine the law’s effectiveness by including language threatening 

State and local governments that act according to the law. The purpose of this hearing was to review the ongoing deterioration of the 

situation in Darfur; draw attention to the Administration’s efforts 

to question Congress’s foreign policy judgment that the U.S. government should support State decisions not to finance the atrocities 

and genocide in Sudan; and to examine the purpose, meaning, and 

intent of the President’s signing statement on the ‘‘Sudan Accountability and Divestment Act of 2007,’’ and its potential effect, if any, 

on actions authorized by the Act. 

H.R. 2347, the ‘‘Iran Sanctions Enabling Act of 2007’’ was approved by the Committee on May 23, 2007. It passed the House 

under suspension of the rules on July 31, 2007 on a 408–6 roll call 

vote. The legislation permits the divestment from companies with 

investments of $20,000,000 or more in Iran’s energy sector in order 

to pressure the Iranian regime to cease its incitement to commit 

genocide, and its production of nuclear weapons. The bill directs 

the Federal Government to produce a list of companies that have 

qualifying investments in Iran. State governments, local governments, and educational institutions are then authorized by the legislation to divest their mutual and pension fund assets from companies on the list, as well as companies having an investment in, or 

carrying on a trade or business in Iran. The legislation permits investment and pension plan managers to divest from companies listed without breaching their fiduciary responsibilities to their investors. It recommends through a sense of Congress that the Federal 

Retirement Thrift Investment Board should consider efforts to provide a terror-free international investment option among the funds 


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of the Thrift Savings Plan. The legislation includes a sunset provision stating that the Act shall terminate 30 days after the date on 

which the President has certified to Congress that Iran no longer 

satisfies the requirements for designation as a state-sponsor of terrorism and that Iran has ceased the pursuit, acquisition, and development of nuclear, biological, and chemical weapons and ballistic 

missiles and ballistic missile launch technology. 

Exchange rates. The Committee assessed the findings and conclusions of each of the reports on International Economic and Exchange Rate Policies issued by the Secretary of the Treasury in 

2007/2008. The Committee also assessed progress toward a reform 

of multilateral exchange rate surveillance in the International 

Monetary Fund. 

Global capital flows. The Committee continued to monitor global 

capital flows, the distortions in capital flows associated with global 

imbalances, and the emergence of sovereign wealth funds as large 

scale sources of investment in the United States and globally. 

Committee on Foreign Investment in the United States (CFIUS). 

On February 7, 2007, the Committee held a hearing entitled, ‘‘The 

Committee on Foreign Investment in the United States (CFIUS), 

One Year After Dubai Ports World.’’ The hearing considered CFIUS 

activities during the 12 months that followed the Dubai Ports 

World controversy, assessed the continuing need for legislative reform, and considered appropriate measures for a legislative reform 

package. The Committee reported a CFIUS reform bill, which was 

passed by the House and Senate and signed into law by the President on July 26, 2007 (P.L. 110–49). The Committee monitored the 

drafting of implementing regulations for the legislation. 

Trade in Financial Services. The Committee monitored the negotiation of financial services and investment provisions in the U.S.- 

Korea Free Trade Agreement and focused on the China’s progress 

in meeting its WTO commitments on financial services. The Committee conducted an oversight hearing on the U.S.-China financial 

services trade relationship, which resulted in passage of a House 

resolution calling on China to make further progress on market access for U.S. financial firms. On December 5th, 2007, Chairman 

Frank and Ranking Member Bachus wrote a letter to Treasury 

Secretary Paulson urging him to make financial services market 

access issues a priority in his discussions with Chinese officials 

under the auspices of the U.S.-China Strategic Economic Dialogue. 

Export-Import Bank of the United States. The Committee continued to monitor implementation of reforms contained in the Bank’s 

2006 reauthorization. In August 2007, Chairman Frank and Rep. 

Ron Klein wrote to Ex-Im Bank Chairman James Lambright and 

Treasury Secretary Henry Paulson to highlight a transaction that 

would involve use of the Tied Aid Credit Fund, something that was 

emphasized in the 2006 reforms as an important competitiveness 

tool for the Bank. 

North American Development Bank. The Committee continued to 

monitor the U.S. participation in the North American Development 

Bank and the implementation of reforms at the Bank aimed at increasing the lending activity of the Bank in Mexico and the United 

States. 


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THE ECONOMY, DOMESTIC MONETARY POLICY, AND TECHNOLOGY

The Economy and Its Impact on Living Standards. In February 

2007, the Committee began the practice of pairing the hearing on 

the conduct of monetary policy with a second day of testimony from 

outside experts on issues associated with the well being of workers 

and the impact of current economic conditions on living standards. 

Conduct of Monetary Policy by the Board of Governors of the Federal Reserve System. The Committee conducted hearings in February and July, 2007 and 2008. These hearings were supplemented 

with companion hearings in order to bring expert perspective on 

the issues beyond that of the Federal Reserve Chairman’s. 

Defense Production Act. In January 2008, the Committee staff 

began a series of briefings with the agencies charged with carrying 

out Titles I and III of the Defense Production Act (DPA) in order 

to determine the effectiveness of the DPA in promoting national security. The Committee received a statutorily mandated report from 

the DPA agencies in June and a report from the Government Accountability Office on reform of the DPA authorities. The Committee moved forward with a one-year extension of the DPA authorities in September with the intent of considering a multi-year 

authorization in the context of a DPA reform bill in 2009. 

Management of the Nation’s Money: Activities of the Bureau of the 

Mint and the Bureau of Engraving and Printing. Committee and 

Subcommittee staff met regularly with staff of the United States 

Mint and the Bureau of Engraving and Printing on a variety of 

issues. On several occasions, staff met with the directors of the two 

bureaus. Committee staff also met regularly with staff of the Board 

of Governors of the Federal Reserve System on matters related to 

the distribution and circulation of coins and currency to financial 

institutions. On March 11, 2008, the Subcommittee on Domestic 

and International Monetary Policy, Trade, and Technology held a 

legislative hearing entitled, ‘‘Coin Modernization and Taxpayer 

Savings Act of 2008’’ regarding H.R. 5512 and the problem of pennies and nickels costing more to produce than their face value. The 

United States Mint and related industry representatives testified 

on the proposed solution of changing the metallic composition of 

pennies and nickels to reduce production costs. On July 30, 2008, 

the Subcommittee on Domestic and International Monetary Policy, 

Trade, and Technology held a hearing entitled, ‘‘Examining Issues 

Related to Tactilely Distinguishable Currency.’’ The Bureau of Engraving and Printing, advocates for the blind and related industry 

representatives testified on the benefit of adding tactilely distinguishable characteristics to our currency and on some of the technical obstacles that must be overcome in making these changes. 

Counterfeiting. Committee staff met with staff and the Director 

of the Bureau of Engraving and Printing (BEP) to discuss measures being taken to prevent counterfeiting. These discussions covered features added to the newly redesigned $100 bill to prevent 

counterfeiting of the denomination. 

The U.S. Treasury Department’s Financial Crimes Enforcement 

Network (FinCEN): Committee staff met regularly with staff and 

the Director of FinCEN. On April 4, 2008, Chairman Frank visited 

FinCEN headquarters in Virginia and met with its Director to disVerDate Nov 24 2008 23:37 Jan 05, 2009 Jkt 045925 PO 00000 Frm 00195 Fmt 6602 Sfmt 6602 E:\HR\OC\HR929.XXX HR929

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cuss FinCEN operations and its enforcement of BSA. On May 10, 

2007, the Subcommittee on Oversight and Investigation held a 

hearing ‘‘Suspicious Activity and Currency Transaction Reports: 

Balancing Law Enforcement Utility and Regulatory Requirements.’’ 

Following the hearing, on July 19, 2007, Chairman Frank, Ranking 

Member Bachus, and Rep. Lynch wrote a letter to GAO requesting 

a comprehensive examination of the current framework for achieving the goals of BSA and the responsibilities of FinCEN. GAO is 

expected to issue the report in early February of 2009. 

Critical Infrastructure Protection and Cyber-security. Committee 

staff continued to monitor private-sector and government-wide efforts to protect critical financial infrastructure. 

Treasury’s Office of Foreign Asset Control (OFAC). Committee 

staff continued to monitor functions of OFAC and held meetings 

with its staff. Committee staff also increased outreach to related industry. 


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APPENDIX I—COMMITTEE LEGISLATION 

PART A—COMMITTEE REPORTS

Reports filed by the Committee on Financial Services with the House 

Bill No. H. Rept. No. Title 

H.R. 556 ............ 110–24 Foreign Investment and National Security Act of 2007 

H.R. 835 ............ 110–50 Hawaiian Home Ownership Opportunity Act of 2007 

H.R. 1227 .......... 110–51 Gulf Coast Hurricane Housing Recovery Act of 2007 

H.R. 1515 .......... 110–86 To amend the Housing and Community development Act of 1974 to treat certain communities as metropolitan cities for purposes of the community development block 

grant program 

H.R. 1257 .......... 110–88 Shareholder Vote on Executive Compensation Act 

H.R. 1676 .......... 110–102 Native American Homeownership Opportunity Act 

H.R. 1675 .......... 110–106 Preservation Approval Process Improvement Act of 2007 

H.R. 1427 .......... 110–142 Federal Housing Finance Reform Act of 2007 

H.R. 698 ............ 110–155 Industrial Bank Holding Company Act of 2007 

H.R. 1980 .......... 110–204 Housing Assistance Council Authorization Act of 2007 

H.R. 1982 .......... 110–205 Rural Housing and Economic Development Improvement Act of 2007 

H.R. 2139 .......... 110–206 FHA Manufactured Housing Loan Modification Act of 2007 

H.R. 1851 .......... 110–216 Section 8 Voucher Reform Act of 2007 

H.R. 1852 .......... 110–217 Expanding American Homeownership Act of 2007 

H.R. 2547 .......... 110–234 FDIC Enforcement Enhancement Act 

H.R. 2347 .......... 110–277 Iran Sanctions Enabling Act of 2007 

H. Con. Res. 140 110–278 Financial Services Diversity Initiative 

H.R. 2786 .......... 110–295 Native American Housing Assistance and Self-Determination Act of 2007 

H.R. 2761 .......... 110–318 Terrorism Risk Insurance Revision and Extension Act of 2007 

H.R. 3121 .......... 110–340 Flood Insurance Reform and Modernization Act of 2007 

H.R. 2895 .......... 110–362 National Affordable Housing Trust Fund Act of 2007 

H.R. 3002 .......... 110–363 Native American Economic Development and Infrastructure for Housing Act 

H.R. 2868 .......... 110–380 To eliminate the exemption from State regulation for certain securities designated by 

national securities exchanges 

H.R. 2787 .......... 110–415 CJ’s Home Protection Act of 2007 

H.R. 3355 .......... 110–419 Homeowners Defense Act of 2007 

H.R. 3915 .......... 110–441 Mortgage Reform and Anti-Predatory Lending Act of 2007 

H.R. 2930 .......... 110–463 Section 202 Supportive Housing for the Elderly Act of 2007 

H.R. 3873 .......... 110–464 ction 515 Rural Housing Property Transfer Improvement Act 

H.R. 4043 .......... 110–465 Reserving and Expanding Minority Depository Institutions Act 

H.R. 4050 .......... 110–466 Levee-Like Structure Consideration Act 

H.R. 3526 .......... 110–472 To include all banking agencies within the existing regulatory authority under the Federal Trade Commission Act with respect to depository institutions, and for other 

purposes 

H.R. 3524 .......... 110–507 HOPE VI Improvement and Reauthorization Act of 2007 

H.R. 3959 .......... 110–510 To amend the National Flood Insurance Act of 1968 to provide for the phase-in of actuarial rates for certain pre-FIRM properties 

H.R. 3521 .......... 110–521 Public Housing Asset Management Improvement Act of 2007 

H.R. 2634 .......... 110–575 Jubilee Act for Responsible Lending and Expanded Debt Cancellation of 2008 

H.R. 3965 .......... 110–579 Mark-to-Market Extension and Enhancement Act of 2007 

H.R. 5579 .......... 110–615 Emergency Mortgage Loan Modification Act of 2008 

H.R. 5818 .......... 110–616 Neighborhood Stabilization Act of 2008 

H.R. 5830 .......... 110–619 FHA Housing Stabilization and Homeownership Retention Act of 2008 

H.R. 6184 .......... 110–748 America’s Beautiful National Parks Quarter Dollar Coin Act of 2008 

H.R. 6309 .......... 110–788 Lead-Safe Housing for Kids Act of 2008 

H.R. 1746 .......... 110–820 Holocaust Insurance Accountability Act of 2008 

H.R. 6308 .......... 110–835 nicipal Bond Fairness Act 

H.R. 5772 .......... 110–845 Frank Melville Supportive Housing Investment Act of 2008 

H.R. 5244 .......... 110–857 Credit Cardholders’ Bill of Rights Act of 2008 

H.R. 6694 .......... 110–905 FHA Seller-Financed Downpayment Reform and Risk-Based Pricing Authorization Act of 

2008 

H.R. 840 ............ 110–906 Homeless Emergency and Rapid Transition to Housing Act of 2007 

H.R. 6870 .......... 110–910 Payments System Protection Act of 2008 

H.R. 6871 .......... 110–917 Expedited Funds Availability Dollar Limits Adjustment Act of 2008 


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PART B—PUBLIC LAWS

This table lists measures which contained matters within the jurisdiction of the Committee on Financial Services which were enacted into law during the 110th Congress. 

Public Laws 

Public Law No. Bill No. Title 

110–3 .................... H.R. 188 ................ To provide a new effective date for the applicability of certain provisions of

law to Public Law 105–331 

110–35 .................. H.R. 1675 .............. Preservation Approval Process improvement Act of 2007 

110–37 .................. H.R. 1676 .............. Native American Home Ownership Opportunity Act of 2007 

110–49 .................. H.R. 556 ................ Foreign Investment and National Security Act of 2007 

110–82 .................. H.R. 2358 .............. Native American $1 Coin Act 

110–95 .................. S. 474 .................... To award a congressional gold medal to Michael Ellis DeBakey, MD 

110–147 ................ H.R. 3703 .............. To amend section 5112(p)(1)(A) of title 31, United States Code, to allow an exception from the $1 coin dispensing capability requirement for certain vending machines 

110–160 ................ H.R. 2761 .............. Terrorism Risk Insurance Program Reauthorization Act of 2007 

110–174 ................ S. 2271 .................. Sudan Accountability and Divestment Act of 2007 

110–185 ................ H.R. 5140 .............. Economic Stimulus Act of 2008 

110–192 ................ H.R. 5478 .............. To provide for the continued minting and issuance of certain $1 coins in 2008 

110–209 ................ H.R. 4286 .............. To award a congressional gold medal to Daw Aung San Suu Kyi in recognition 

of her courageous and unwavering commitment to peace, nonviolence, 

human rights, and democracy in Burma 

110–241 ................ H.R. 4008 .............. Credit and Debit Card Receipt Clarification Act of 2007 

110–259 ................ S. 254 .................... To award posthumously a Congressional gold medal to Constantino Brumidi 

110–260 ................ S. 682 .................... Edward William Brooke III Congressional Gold Medal Act 

110–277 ................ H.R. 634 ................ American Veterans Disabled for Life Commemorative Coin Act 

110–289 ................ H.R. 3221 .............. Housing and Economic Recovery Act of 2008 

110–293 ................ H.R. 5501 .............. Tom Lantos and Henry J. Hyde United States Global Leadership Against HIV/ 

AIDS, Tuberculosis, and Malaria Reauthorization Act of 2008 

110–315 ................ H.R. 4137 .............. Private Student Loan Transparency and Improvement Act of 2008 

110–343 ................ H.R. 1424 .............. Emergency Economic Stabilization Act of 2008 

110–357 ................ H.R. 3229 .............. National Infantry Museum and Soldier Center Commemorative Coin Act 

110–363 ................ H.R. 5872 .............. Boy Scouts of America Centennial Commemorative Coin Act 

110–367 ................ H.R. 6894 .............. Defense Production Act Extension and Reauthorization of 2008 

110–411 ................ H.R. 2786 .............. Native American Housing Assistance and Self-Determination Act of 2007 

110–413 ................ H.R. 7198 .............. Stephanie Tubbs Jones Gift of Life Medal Act of 2008 

110–420 ................ H.R. 4544 .............. Code Talkers Recognition Act of 2007 

110–450 ................ H.R. 5714 .............. United States Army Commemorative Coin Act of 2008 

110–456 ................ H.R. 6184 .............. America’s Beautiful National Parks Quarter Dollar Coin Act of 2008 


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APPENDIX II—COMMITTEE PUBLICATIONS

PART A—COMMITTEE HEARINGS

Serial No. Title & Subcommittee Date(s) 

110–1 .................... Federal Housing Response to Hurricane Katrina (Full) .......................................... February 6, 2007 

110–2 .................... Committee on Foreign Investment in The United States (CFIUS), One Year After 

Dubai Ports World (Full).

February 7, 2007 

110–3 .................... Monetary Policy and the State of the Economy, Part I (Full) ................................ February 15, 2007 

110–4 .................... Monetary Policy and the State of the Economy, Part II (Full) ............................... February 16, 2007 

110–5 .................... Solving the Affordable Housing Crisis in the Gulf Coast Region Post-Katrina, 

Part I (Housing Field Hearing).

February 22, 2007 

110–6 .................... Solving the Affordable Housing Crisis in the Gulf Coast Region Post-Katrina, 

Part II (Housing Field Hearing).

February 23, 2007 

110–7 .................... Insurance Claims Payment Process in the Gulf Coast After the 2005 Hurricanes 

(Oversight).

February 28, 2007 

110–8 .................... The Need to Extend the Terrorism Risk Insurance Act (Capital Markets Field 

Hearing).

March 5, 2007 

110–9 .................... The Role of Remittances in Leveraging Sustainable Development in Latin America and the Caribbean (Domestic and International).March 7, 2007 

110–10 .................. Empowering Shareholders on Executive Compensation: H.R. 1257, the Shareholder Vote on Executive Compensation Act (Full).March 8, 2007 

110–11 .................. The Section 8 Voucher Reform Act (Housing) ........................................................ March 9, 2007 

110–12 .................. Legislative Proposals on GSE Reform (Capital Markets) ....................................... March 12, 2007 

110–13 .................. Hedge Funds and Systemic Risk in the Financial Markets (Full) ......................... March 13, 2007 

110–14 .................. U.S. Department of Housing and Urban Development’s Fiscal Year 2008 Budget 

(Full).

March 14, 2007 

110–15 .................. Legislative Proposals On Government-Sponsored Enterprise (GSE) Reform (Full) March 15, 2007 

110–16 .................. H.R. 180, The Darfur Accountability and Divestment Act of 2007 (Domestic and 

International).

March 20, 2007 

110–17 .................. The Role of Public Investment in Promoting Economic Growth (Full) ................... March 23,2007 

110–18 .................. Subprime and Predatory Lending: New Regulatory Guidance, Current Market 

Conditions, and Effects on Regulated Financial Institutions (Financial Institutions).

March 27, 2007 

110–19 .................. Perspectives On Natural Disaster Insurance (Housing) ......................................... March 27, 2007 

110–20 .................. Foreclosure Problems and Solutions: Federal, State, and Local Efforts to Address the Foreclosure Crisis in Ohio (Full Committee Field Hearing).April 4, 2007 

110–21 .................. Possible Responses to Rising Mortgage Foreclosures (Housing) ........................... April 17, 2007 

110–22 .................. Isolating Proliferators and Sponsors of Terror: The Use of Sanctions and the 

International Financial System to Change Regime Behavior (Domestic and 

International).

April 18, 2007 

110–23 .................. The Expanding American Homeownership Act of 2007: H.R. 1852 and Related 

FHA Modernization Issues (Housing).

April 19, 2007 

110–24 .................. Policy Options for Extending the Terrorism Risk Insurance Act (TRIA) (Capital 

Markets).

April 24, 2007 

110–25 .................. H.R. 698, The Industrial Bank Holding Company Act of 2007 (Full) .................... April 26, 2007 

110–26 .................. Credit Card Practices: Current Consumer and Regulatory Issues (Financial Institutions).April 26, 2007 

110–27 .................. Rural Housing Programs: Review of Fiscal Year 2008 Budget and Pending 

Rural Housing Legislation (Housing).

May 8, 2007 

110–28 .................. The Role of the Secondary Market in Subprime Mortgage Lending (Financial Institutions).May 8, 2007 

110–29 .................. Joint Hearing on Currency Manipulation and Its Effects on U.S. Businesses and 

Workers (Domestic and International, Ways and Means Subcommittee on 

Trade and Energy and Commerce Subcommittee on Commerce, Trade and 

Consumer Protection).

May 9, 2007 

110–30 .................. Suspicious Activity and Currency Transaction Reports: Balancing Law Enforcement Utility and Regulatory (Oversight).May 10, 2007 

110–31 .................. Private Equity’s Effects on Workers and Firms (Full) ............................................ May 16, 2007 

110–32 .................. Remittances: Access, Transparency, and Market Efficiency—A Progress Report 

(Domestic and International).

May 17, 2007 

110–33 .................. The Role and Effectiveness of the World Bank in Combating Global Poverty 

(Full).

May 22, 2007 

110–34 .................. Reauthorization of the Native American Housing Assistance and Self-Determination Act (Housing).June 6, 2007 

110–35 .................. U.S. Interests in the Reform of China’s Financial Services Sector (Full) ............. June 6, 2007 


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Serial No. Title & Subcommittee Date(s) 

110–36 .................. Improving Credit Card Consumer Protection: Recent Industry and Regulatory 

Initiatives (Financial Institutions).

June 7, 2007 

110–37 .................. Can Internet Gambling be Effectively Regulated to Protect Consumers and the 

Payments System? (Full).

June 8, 2007 

110–38 .................. The Flood Insurance Reform and Modernization Act of 2007, H.R. 1682 (Housing).June 12, 2007 

110–39 .................. Joint Hearing on National Flood Insurance Program: Issues Exposed by the 

2005 Hurricanes (Oversight and Homeland Security Subcommittee on Management, Investigations and Oversight).

June 12, 2007 

110–40 .................. Improving Federal Consumer Protection in Financial Services (Full) .................... June 13, 2007 

110–41 .................. Credit Reports: Consumers’ Ability to Dispute and Change Inaccurate Information (Full).June 19, 2007 

110–42 .................. The State of the International Financial System (Full) ......................................... June 20, 2007 

110–43 .................. Examining A Legislative Solution to Extend and Revise the Terrorism Risk Insurance Act (TRIA) (Capital Markets).June 21, 2007 

110–44 .................. Reauthorization of the Hope VI Program (Housing) ............................................... June 21, 2007 

110–45 .................. Homeowner Downpayment Assistance Programs and Related Issues (Housing) .. June 22, 2007 

110–46 .................. Review of Investor Protection and Market Oversight with the Five Commissioners of the Securities and Exchange Commission (Full).June 26, 2007 

110–47 .................. Affordable Housing Preservation: Lessons from Starrett City (Housing) ............... July 10, 2007 

110–48 .................. Hedge Funds and Systemic Risk: Perspectives of the President’s Working Group 

on Financial Markets (Full).

July 11, 2007 

110–49 .................. Overdraft Protection: Fair Practices for Consumers (Financial Institutions) ......... July 11, 2007 

110–50 .................. H.R. 920, The Multiple Peril Insurance Act of 2007 (Housing) ............................. July 17, 2007 

110–51 .................. Monetary Policy and the State of the Economy, Part I (Full) ................................ July 17, 2007 

110–52 .................. Monetary Policy and the State of the Economy, Part II (Full) ............................... July 18, 2007 

110–53 .................. H.R. 2895, The National Affordable Housing Trust Fund Act of 2007 (Full) ........ July 19, 2007 

110–54 .................. Rooting Out Discrimination in Mortgage Lending: Using HMDA as a Tool for 

Fair Lending Enforcement (Oversight).

July 25, 2007 

110–55 .................. Improving Federal Consumer Protection in Financial Services—Consumer and 

Industry Perspectives (Full).

July 25, 2007 

110–56 .................. Credit Cards and Older Americans (Financial Institutions Field Hearing) ............ August 7, 2007 

110–57 .................. The Effect of Predatory Lending and the Foreclosure Crisis on Twin Cities’ 

Communities and Neighborhoods (Full Committee Field Hearing).

August 9, 2007 

110–58 .................. Recent Events in the Credit and Mortgage Markets and Possible Implications 

for U.S. Consumers and the Global Economy (Full).

September 5, 2007 

110–59 .................. H.R. 2930, The Section 202 Supportive Housing for the Elderly Act of 2007 

(Housing).

September 6, 2007 

110–60 .................. Joint Hearing on H.R. 3355, The Homeowners Defense Act of 2007 (Housing 

and Capital Markets).

September 6, 2007 

110–61 .................. Legislative and Regulatory Options for Minimizing and Mitigating Mortgage 

Foreclosures (Full).

September 20, 

2007 

110–62 .................. The Role of Credit Rating Agencies in the Structured Finance Market (Capital 

Markets).

September 27, 

2007 

110–63 .................. SEC Proxy Access Proposals: Implications for Investors (Full) .............................. September 27, 

2007 

110–64 .................. Credit-Based Insurance Scores: Are they Fair? (Oversight) ................................... October 2, 2007 

110–65 .................. Systemic Risk: Examining Regulators’ Ability to Respond to Threats to the Financial System (Full).October 2, 2007 

110–66 .................. The Need for Insurance Regulatory Reform (Capital Markets) .............................. October 3, 2007

110–67 .................. The Fight Against Global Poverty and Inequality: The World Bank’s Approach to 

Core Labor Standards and Employment Creation (Full).

October 3, 2007 

110–68 .................. Reauthorization of the McKinney-Vento Homeless Assistance Act, Part I (Housing).October 4, 2007 

110–69 .................. Mortgage Lending Discrimination (Full) ................................................................. October 15, 2007 

110–70 .................. Reauthorization of the McKinney-Vento Homeless Assistance Act, Part II (Housing).

October 16, 2007 

110–71 .................. U.S.-Russia Economic Relationship: Implications of the Yukos Affair (Domestic 

and International).

October 17, 2007 

110–72 .................. The Impact of Late Housing Assistance Payments on Tenants and Owners in 

the Project-Based Rental Assistance Program (Housing).

October 17, 2007 

110–73 .................. H.R. 647, The Mark-to-Market Extension Act of 2007 (Housing) .......................... October 23, 2007 

110–74 .................. Legislative Proposals on Reforming Mortgage Practices (Full) ............................. October 24, 2007 

110–75 .................. Transparency of Extractive Industries: High Stakes for Resource-Rich Countries, 

Citizens, and International Business (Full).

October 25, 2007 


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Serial No. Title & Subcommittee Date(s) 

110–76 .................. Affordable Housing Needs in the City of Houston: Unique Challenges and Opportunities (Housing Field Hearing).October 29, 2007 

110–77 .................. Additional Perspectives on the Need for Insurance Regulatory Reform (Capital 

Markets).

October 30, 2007 

110–78 .................. Preserving and Expanding Minority Banks (Oversight) .......................................... October 30, 2007 

110–79 .................. Progress in Administration and Other Efforts to Coordinate and Enhance Mortgage Foreclosure (Full).November 2, 2007 

110–80 .................. H.R. 2634, The Jubilee Act for Responsible Lending and Expanded Debt Cancellation of 2007 (Full).November 8, 2007 

110–81 .................. Foreclosure Prevention and Intervention: the Importance of Loss Mitigation 

Strategies in Keeping Families in their Homes (Housing Field Hearing).

November 30, 2007 

110–82 .................. Affordable Housing Needs of America’s Low-Income Veterans (Housing) ............. December 5, 2007 

110–83 .................. Accelerating Loan Modifications, Improving Foreclosure Prevention, and Enhancing Enforcement (Full).December 6, 2007 

110–84 .................. H.R. 4332, The Financial Consumer Hotline Act of 2007: Providing Consumers 

with Easy Access to the Appropriate Banking Regulator (Financial Institutions).

December 12, 2007 

110–85 .................. The Holocaust Insurance Accountability Act of 2007 (H.R. 1746): Holocaust Era 

Insurance Restitution After ICHEIC, the International Commission on Holocaust Era Insurance Claims (Full).

February 7, 2008 

110–86 .................. Diversity in the Financial Services Sector (Oversight) ........................................... February 7, 2008 

110–87 .................. Negative Implications of the President’s Signing Statement on the Sudan Accountability and Divestment Act (Full).February 8, 2008 

110–88 .................. The Homeowners’ Insurance Crisis and its Impact on Communities, Homeowners, and the Economy (Oversight Field Hearing).February 11, 2008 

110–89 .................. Effects of the Subprime Mortgage Crisis in New York City and Efforts to Help 

Struggling Homeowners (Financial Institutions Field Hearing).

February 11, 2008 

110–90 .................. The Community Reinvestment Act: Thirty Years of Accomplishments, but Challenges Remain (Full).February 13, 2008 

110–91 .................. The State of the Bond Insurance Industry (Capital Markets) ............................... February 14, 2008 

110–92 .................. Monetary Policy and the State of the Economy, Part I (Full) ................................ February 26, 2008 

110–93 .................. Monetary Policy and the State of the Economy, Part II (Full) ............................... February 27, 2008 

110–94 .................. Joint Hearing on Foreign Government Investment in the U.S. Economy and Financial Sector (Domestic and International and Capital Markets).March 5, 2008 

110–95 .................. The Need for Credit Union Regulatory Relief and Improvement (Full) .................. March 6, 2008 

110–96 .................. The Use of Federal Housing and Economic Development Funds in St. Louis: 

From ‘‘Team 4’’ Into the Future (Housing Field Hearing).

March 8, 2008 

110–97 .................. Oversight of The Department of Housing And Urban Development (Full) ............. March 11, 2008 

110–98 .................. H.R. 5512, The Coin Modernization and Taxpayer Savings Act of 2008 (Domestic and International).March 11, 2008 

110–99 .................. Municipal Bond Turmoil: Impact on Cities, Towns, and States (Full) .................. March 12, 2008 

110–100 ................ The Credit Cardholders’ Bill of Rights: Providing New Protections for Consumers 

(Financial Institutions).

March 13, 2008 

110–101 ................ Public Housing Redevelopment Strategies: Implications for Jordan Downs, its 

Community, and Residents (Housing Field Hearing).

March 15, 2008 

110–102 ................ Proposed UIGEA Regulations: Burden Without Benefit? (Domestic and International).April 2, 2008 

110–103 ................ Using FHA for Housing Stabilization and Homeownership Retention, Part I (Full) April 9, 2008 

110–104 ................ Using FHA for Housing Stabilization and Homeownership Retention, Part II 

(Full).

April 10, 2008 

110–105 ................ Financial Literacy and Education: The Effectiveness of Governmental and Private Sector Initiatives (Full).April 15, 2008 

110–106 ................ H.R. 5579, the Emergency Mortgage Loan Modification Act of 2008 (Capital 

Markets).

April 15, 2008 

110–107 ................ Examining Proposals on Insurance Regulatory Reform (Capital Markets) ............ April 16, 2008 

110–108 ................ H.R. 5679, The Foreclosure Prevention and Sound Mortgage Servicing Act of 

2008 (Housing).

April 16, 2008 

110–109 ................ H.R. 5244, The Credit Cardholders’ Bill of Rights: Providing New Protections for 

Consumers (Financial Institutions).

April 17, 2008 

110–110 ................ Emergency CDBG Funds in the Gulf Coast: Uses, Challenges, and Lessons for 

the Future (Housing).

May 8, 2008 

110–111 ................ Contributing Factors and International Responses to the Global Food Crisis 

(Full).

May 14, 2008 

110–112 ................ Examining the Need for H.R. 2885, the Credit Monitoring Clarification Act (Full) May 20, 2008 

110–113 ................ The Impact of Credit-Based Insurance Scoring on the Availability and Affordability of Insurance (Oversight).May 21, 2008 


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Serial No. Title & Subcommittee Date(s) 

110–114 ................ The Impact on Homebuyers and the Housing Market of a Conforming Loan 

Limit Increase (Full).

May 22, 2008 

110–115 ................ Joint Hearing on Targeting Federal Aid to Neighborhoods Distressed by the 

Subprime Mortgage Crisis (Housing and Oversight and Government Reform 

Subcommittee on Domestic policy).

May 22, 2008 

110–116 ................ Joint Hearing on Examining the Roles and Responsibilities of HUD and FEMA in 

Responding to the Affordable Housing Needs of Gulf Coast States Following 

Emergencies and Natural Disasters (Housing and Homeland Security Subcommittee on Emergency Communications, Preparedness and Response).

June 4, 2008 

110–117 ................ Examining the Administration’s Proposal to Establish a Multilateral Clean 

Technology Fund (Domestic and International).

June 5, 2008 

110–118 ................ H.R. 5840, The Insurance Information Act of 2008 (Capital Markets) ................. June 10, 2008 

110–119 ................ H.R. 6078, The Green Resources for Energy Efficient Neighborhoods Act of 2008 

(Full).

June 11, 2008 

110–120 ................ Foreclosure Problems and Solutions: Federal, State, and Local Efforts to Address the Foreclosure Crisis in Ohio (Housing Field Hearing).June 16, 2008 

110–121 ................ The 15th Replenishment of the International Development Association (IDA) and 

the 11th Replenishment of the African Development Fund (AfDF) (Full).

June 18, 2008 

110–122 ................ Affordable Housing Preservation and Protection of Tenants (Full) ....................... June 19, 2008 

110–123 ................ H.R. 5772, The Frank Melville Supportive Housing Investment Act of 2008 

(Housing).

June 20, 2008 

110–124 ................ H.R. 6066, the Extractive Industries Transparency Disclosure Act (Full) .............. June 26, 2008 

110–125 ................ Problem Credit Card Practices Affecting Students (Financial Institutions) .......... June 26, 2008 

110–126 ................ Federal Spending Requirements in Housing and Community Development Programs: Challenges in 2008 and Beyond (Housing).July 9, 2008 

110–127 ................ Systemic Risk and the Financial Markets (Full) .................................................... July 10, 2008 

110–128 ................ Monetary Policy and the State of the Economy (Full) ........................................... July 16, 2008 

110–129 ................ GAO Report on Regulation B: Should Lenders Be Required to Collect Race and 

Gender Data of Borrowers for All Loans (Oversight).

July 17, 2008 

110–130 ................ Systemic Risk and the Financial Markets (Full) .................................................... July 24, 2008 

110–131 ................ Implications of a Weaker Dollar for Oil Prices and the U.S. Economy (Full) ........ July 24, 2008 

110–132 ................ A Review of Mortgage Servicing Practices and Foreclosure Mitigation (Full) ....... July 25, 2008 

110–133 ................ What Borrowers Need to Know About Credit Scoring Models and Credit Scores 

(Oversight).

July 29, 2008 

110–134 ................ Affordable Housing in West Virginia: Challenges in the Eastern Panhandle 

(Housing Field Hearing).

July 29, 2008 

110–135 ................ Examining Issues Related to Tactilely Distinguishable Currency (Domestic and 

International).

July 30, 2008 

110–136 ................ The Effects of the Foreclosure Crisis on Neighborhoods in California’s Central 

Valley: Challenges and Solutions (Full Committee Field Hearing).

September 6, 2008 

110–137 ................ Sovereign Wealth Funds: New Challenges from a Changing Landscape (Domestic and International).September 10, 

2008 

110–138 ................ HUD’s Proposed RESPA Rule (Oversight) ............................................................... September 16, 

2008 

110–139 ................ The Implementation of the Hope for Homeowners Program and A Review of 

Foreclosure Mitigation Efforts (Full).

September 17, 

2008 

110–140 ................ Auction Rate Securities Market: A Review of Problems and Potential Resolutions 

(Full).

September 18, 

2008 

110–141 ................ The Future of Financial Services: Exploring Solutions for the Market Crisis (Full) September 24, 

2008 

110–142 ................ Oversight Hearing to Examine Recent Treasury and FHFA Actions Regarding the 

Housing GSEs (Full).

September 25, 

2008 

110–143 ................ The Future of Financial Services Regulation (Full) ................................................ October 21, 2008 

110–144 ................ Private Sector Cooperation with Mortgage Modifications Ensuring That Investors, Servicers, and Lenders Provide Real Help for Troubled Homeowners 

(Full).

November 12, 2008 

110–145 ................ Oversight of Implementation of the Emergency Economic Stabilization Act of 

2008 and of Government Lending and Insurance Facilities: Impact on Economy and Credit Availability (Full).

November 18, 2008 

110–146 ................ Stabilizing the Financial Condition of the American Automobile Industry (Full) .. November 19, 2008 

110–147 ................ Review of Industry Plans to Stabilize the Financial Condition of the American 

Automobile Industry (Full).

December 5, 2008 

110–148 ................ Oversight Concerns Regarding Treasury Department Conduct of the Troubled 

Assets Relief Program (Full).

December 10, 2008 


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PART B—COMMITTEE PRINTS

Serial No. Title Date 

110–A .................... Rules of the Committee on Financial Services for the 110th Congress ............... March 2007 

Æ 


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