International Financial Institutions Governance Act of 2023

Bill: 118-hr-557
Sponsor: full_name: Rep. Hill, J. French [R-AR-2]
Introduced: 2023-01-26
Policy area: International Affairs
Latest action: action_date: 2023-01-26
text: Referred to the House Committee on Financial Services.

Summaries:
action_date: 2023-01-26
action_desc: Introduced in House
text: <p><b>International Financial Institutions Governance Act of 2023</b></p> <p>This bill temporarily authorizes the Department of the Treasury to waive, on a case-by-case basis, statutory requirements that govern the U.S. Executive Directors at international financial institutions with respect to their use of the voice and vote of the United States.</p> <p>Treasury must periodically issue a report that (1) lists each waiver issued since the previous report, if any; (2) describes the project or policy that each waiver applied to; (3) provides a detailed explanation of the reasons for each waiver; and (4) includes a determination that each waiver allowed Treasury to more effectively advance U.S. interests at the institution involved. </p> <p>Treasury must review existing statutory requirements and submit any recommendations to revise or sunset the requirements with the objectives of strengthening U.S. leadership, facilitating multilateral cooperation, reflecting changing conditions, and advancing the U.S. national interest.</p>

tv_txt: I 118th CONGRESS 1st Session H. R. 557 IN THE HOUSE OF REPRESENTATIVES January 26, 2023 Mr. Hill introduced the following bill; which was referred to the Committee on Financial Services A BILL To promote United States interests at the international financial institutions, and for other purposes.

1. Short title This Act may be cited as the International Financial Institutions Governance Act of 2023 . 2. Sense of Congress It is the sense of the Congress that— (1) directing the use of the voice and vote of the United States at the international financial institutions (IFIs) serves an essential role in promoting the national interest; (2) despite their importance, such mandates have grown to represent a significant compliance burden for United States representatives at the IFIs, having accumulated to more than 260 pages of statutory text over the course of decades-long participation by the United States in the IFIs; and (3) while certain mandates provide appropriate discretion for United States representatives through waivers and sunset provisions, others may entail inflexible requirements that— (A) prevent the representatives from achieving maximum effectiveness in the promotion of United States interests; (B) render the representatives less relevant in multilateral negotiations at the IFIs, including in discussions with United States allies; or (C) fail to adapt to intervening events and changing circumstances, thereby undermining the pursuit of United States interests. 3. Pilot authority to waive voice and vote requirements, on a case-by-case basis, in the international financial institutions (a) In general The Secretary may waive, on a case-by-case basis, a statutory requirement that directs the United States Executive Director at an international financial institution with respect to the use of the voice and vote of the United States. (b) Exception Subsection (a) shall not apply to a statutory requirement if the provision of law providing for the requirement provides for— (1) a waiver of the requirement; or (2) the termination of the requirement by a date certain. (c) Definitions In this section: (1) International financial institution The term international financial institution has the meaning given the term in section 1701(c)(2) of the International Financial Institutions Act. (2) Secretary The term Secretary means the Secretary of the Treasury. (d) Report described Not less frequently than semiannually, the Secretary shall submit to the Committee on Financial Services of the House of Representatives and the Committee on Foreign Relations of the Senate a written report that includes the following: (1) A list of each waiver issued under subsection (a) since the later of the date of the enactment of this section or the date the then most recent report was submitted under this subsection. (2) A description of any project, policy, or other matter to which the waiver involved applied. (3) A detailed explanation of the reasons for the waiver involved. (4) A determination that the waiver involved allowed the Secretary to more effectively advance United States interests at the international financial institution involved. (e) No retroactive application A waiver issued under this section shall not apply retroactively. (f) Recommendations by the Secretary Within 12 months after the date of the enactment of this Act, the Secretary shall submit to the committees specified in subsection (d) any recommendations to revise or sunset a statutory requirement that directs the United States Executive Director at an international financial institution with respect to the use of the voice and vote of the United States. The recommendations should be aimed at achieving the following objectives with regard to the international financial institution: (1) Strengthening United States leadership in the design, execution, and evaluation of activities. (2) Permitting the Secretary to more effectively support policies, projects, and other initiatives that advance the national interest of the United States. (3) Facilitating multilateral cooperation, particularly between the United States and its allies. (4) Updating a requirement to appropriately reflect changing conditions. (5) Allowing for all appropriate accountability to the Congress with respect to United States governance at, and participation in, the international financial institution. (g) Sunset The preceding provisions of this section shall have no force or effect on and after the date that is 3 years after the date of the enactment of this Act.