Business Risk Planning Act

Bill: 113-hr-4330
Sponsor: full_name: Rep. Davis, Rodney [R-IL-13]
Introduced: 2014-03-27
Policy area: Finance and Financial Sector
Subjects: Administrative law and regulatory procedures

Banking and financial institutions regulation

Business records

Commodities markets

Commodity Futures Trading Commission

Government information and archives
Latest action: action_date: 2014-04-22
text: Referred to the Subcommittee on General Farm Commodities and Risk Management.

Summaries:
action_date: 2014-03-27
action_desc: Introduced in House
text: <p>Business Risk Planning Act - Amends the Commodity Exchange Act to direct the Commodity Futures Trading Commission (CFTC) to: (1) prescribe a rule for public reporting of swap transactions (including price and volume data) in illiquid markets that are not cleared and entered into by a non-financial entity that is hedging or mitigating commercial risk, and (2) ensure that such swap transaction information is publicly available no sooner than 30 days after it has been executed or at a later date the CFTC determines appropriate to protect the identity of participants and positions in illiquid markets and to prevent the elimination or reduction of market liquidity.</p> <p>Defines an &quot;illiquid market&quot; as one in which there is relatively little volume and infrequent trading in swaps.</p>

tv_txt: I 113th CONGRESS 2d Session H. R. 4330 IN THE HOUSE OF REPRESENTATIVES March 27, 2014 Mr. Rodney Davis of Illinois (for himself, Mr. Vargas , Mr. Hudson , Mr. Vela , Mr. Neugebauer , and Mr. Gallego ) introduced the following bill; which was referred to the Committee on Agriculture A BILL To amend the Commodity Exchange Act to ensure that the treatment of illiquid swaps does not disadvantage certain non-financial end users who use them to manage business risk.

1. Short title This Act may be cited as the Business Risk Planning Act . 2. Treatment of illiquid swaps so as to not disadvantage certain non-financial end users Section 2(a)(13) of the Commodity Exchange Act ( 7 U.S.C. 2(a)(13) ) is amended— (1) in subparagraph (C), by striking The Commission and inserting Except as provided in subparagraph (D), the Commission ; and (2) by redesignating subparagraphs (D) through (G) as subparagraphs (E) through (H), respectively, and inserting after subparagraph (C) the following: (D) Requirements for swap transactions in illiquid markets Notwithstanding subparagraph (C): (i) The Commission shall provide by rule for the public reporting of swap transactions, including price and volume data, in illiquid markets that are not cleared and entered into by a non-financial entity that is hedging or mitigating commercial risk in accordance with subsection (h)(7)(A). (ii) The Commission shall ensure that the swap transaction information referred to in clause (i) of this subparagraph is available to the public no sooner than 30 days after the swap transaction has been executed or at such later date as the Commission determines appropriate to protect the identity of participants and positions in illiquid markets and to prevent the elimination or reduction of market liquidity. (iii) In this subparagraph, the term illiquid markets means any market in which there is relatively little volume and infrequent trading in swaps. .