▶ 0:25:27e e
▶ 0:26:13committee will come to order without objection the chair is authorized to declare a recess of the committee at any time without objection all members shall have five legislative days within which to submit additional materials to the chair for inclusion in the record a quorum being present we will now proceed to today's business the chair will recognize himself for an opening statement good morning and Welcome to our first legislative markup for the 119th Congress I'm eager to start our work for these next two years we'll focus on balancing
▶ 0:26:43regulatory oversight with the promotion of innovation and competitiveness in the US Financial Services sector over our first full month with great help from all of our members our subcommittee chairs have either held hearings or policy are a round table uh on subcommittee's areas of focus already in this year the financial services committee under Republican leadership has legislative priorities that we will conduct hearings and pursue Solutions in each of our subcommittees
▶ 0:27:13and the task force subcommittee chairs will tackle these issues through a portfolio approach where subcommittee chairs will encourage all members to work together and fully participate we'll do the hard work to find solution and encourage all members Republican and Democrat to bring your ideas to your subcommittee chair and ranking member I will emphasize to my friends across the aisle our doors are open for discussion this is evidenced by the fact that just last week we held a full
▶ 0:27:43Committee hearing on the challenge being posed by China across a range of bipartisan issues we all agree the United States will prevail over China to show our commitment to defending the United States and our allies against China this markup includes several bipartisan measures championed by members of this committee these bills underscore the scope of the committee's jurisdiction in the unique way that our members contribute to our national security we will be promoting a forward-looking
▶ 0:28:14agenda by safeguarding the Integrity of our financial system against fentol trafficking mitigating longer-term risk in the Chinese Financial system supporting our friends in Taiwan at the international financial institutions and by ensuring that we Finance Global energy infrastructure supplied by the United States and our allies these are just a few of the initiatives that I look forward to passing today as I noted our hearing on China last week we're focused on winning
▶ 0:28:44the economic and Global Leadership race with China by building a better system than China and that includes building a Global Financial system where our values and our interests Prevail I commend all of our sponsors for their work to make this a reality today we'll also consider a congressional review act resolution to nullify the Consumer Financial Protection bureau's harmful overdraft rule the cfpb's misguided overdraft rule imposes a government-mandated price cap
▶ 0:29:14that would reduce consumer Choice deny this needed citizen service to many of our citizens while stifling Innovation don't take my word for it a Federal Reserve Bank of New York report concluded that overdraft fee caps hinder Financial inclusion when constrained by fee caps Banks reduce overdraft coverage and deposit Supply causing more return checks and a decline in account ownership among lowincome households the cfpb
▶ 0:29:45overdraft rule exceeded Authority granted to the cfpb by Congress under the truth and lending act this resolution simply reverses the cfpb overreach I would implore my friends across the aisle to consider the impact of the cfpb's overdraft rule by forcing Banks through a government mandate to cut their fees or treat overdrafts as loans legally banks will limit the service especially to low income and low credit uh customers that
▶ 0:30:15will drive customers in a pinch towards alternative products much more costly nonbank type Services certainly that cannot be the intention with a no vote on this resolution with that I yield back the balance of my time and I recognize Mr Caston of Illinois for an opening statement and let me say before you uh start Mr Caston that uh we regret the passing of Mr Turner of of Houston and uh
▶ 0:30:45we uh uh absolutely have his family and our Congressional family in our prayers uh and particularly ranking member Waters who's very close to Mr Turner and I hope she'll join us a little later this morning but let me thank the gentleman from Illinois to serve as a ranking member as we start our markup today and let me yield to you five minutes for your opening comments uh thank you Mr chair um I think we all grieve the loss of Mr Turner um
▶ 0:31:16finding out this morning that uh that that I would be sitting in here and uh trying to uh read a statement in the voice of Maxine Waters you'll appreciate as a has a whole host of challenges so I I will I will do my best uh um as we hope to have her back here later today um today president Trump Elon Musk and Trump's cabinet of billionaires are illegally firing thousands of federal workers and closing down agencies that are charged with protecting Americans they are also illegally withholding payments that are both
▶ 0:31:46a violation of congress's congressional power of the purse and the impoundment Control Act they've halted food for millions of people starving in Somalia and medicines to the poorest children around the world they are publicly betraying our allies while embracing a brutal dictator Vladimir Putin who has illegally invaded bombed and pillaged Ukraine as we sit here right now there are Ukrainian children who were kidnapped by the Russian army who are being held by Russian families and there is not a word out of the White House about
▶ 0:32:16looking out for the interests of those kidnapped children I don't see any Native Americans in this chamber um and yet the Trump Administration is demonizing immigrants they are open ly selling American citizenship to Russian oligarchs and Trump is lobbying 25% taxes on Americans and American Business when they buy household goods from Canada and Mexico um if you don't believe this you can look at what the stock market has done falling by 1500 points over the last two days as investors freak out
▶ 0:32:47that our economy is crumbling and Russian officials are gleefully celebrating Trump as he parrots their lies and falsehoods Trump and the Republicans have done nothing to bring down cost for Americans um while I agree that only female chickens lay eggs um the anti-di initiatives are not doing anything to increase the number of hen egg Lang roosters or to lower the price of eggs and I would challenge vice president Vance to stand in front of a egg pile of egg cartons
▶ 0:33:17today if he disagrees but in this committee the public is being asked to ignore all those realities and instead pretend that higher prices are good for you and that we have a president who actually obey is the law for example Republicans would like to overturn a rule that limits Bank overdraft fees to $5 down from $35 or more and is right now saving American consumers 5 billion dollar a year workingclass families are already struggling with the Trump price increases on eggs and other groceries the cost of housing
▶ 0:33:47the Meltdown from Trump's economic policies not surprisingly more than 80% of Americans including Republicans want to see those overdraft fees capped and yet the majority will vote to raise those fees today and say that higher fees are good America if you want more proof that the committee is operating in some bizarre alternative reality today look for no further than the Slate of bills making reforms to institutions that Trump is dismantling we're going to review bills today about activities at the international financial institutions like
▶ 0:34:17the World Bank international monetary fund even As Trump is making plans to withdraw from those organizations what are we choosing we're also going to see bills on combating fenel and extending sanctions even As Trump is gutting essential Financial crimes laws like the corporate transparency act and is firing people from the organizations tasked with inspecting containers that come into our borders often from China that contain fentanyl precursors this is what you do if you want to increase the amount of fentanyl
▶ 0:34:48in the United States not reduce it Republicans were serious about taking on China we'd be considering serious legislation to reign in Trump and Elon Musk as they cozy up to China Elon Musk has billions of dollarss of businesses in China you may recall that he blocked the outbound investment screen in no small part because Tesla sales in the US are plummeting but he is trying to build out manufacturing facilities and AI training facilities in China and wants to Cozy up to their government Donald Trump of course issued his Trump meme coin
▶ 0:35:18where hundreds of millions of dollars of those initial purchases of that mean coin were bought by Chinese investors and hundreds of millions of dollars of deal fees were paid paid to Donald Trump and Trump Affiliated organizations for that Meme coin by the Chinese government for something that is worthless that is a violation of the emoluments Clause of the Constitution as China seeks to influence the United States President just three years ago in a bipartisan manner members of this committee sought to impose new sanctions on Putin to isolate Russia
▶ 0:35:49and to support Ukraine as Putin illegally invaded our Democratic Ally according to recent reporting from Reuters Trump is preparing to lift sanctions on Russia and take other actions that would violate that bipartisan legislation I would ask Mr chairman whether we still have a bipartisan agreement that Russia is our enemy I'd ask further do we believe that if we pass legislation in this committee to defend Taiwan the Trump would follow through and if the White House is unwilling
▶ 0:36:19to carry out the laws that are passed by the legislative branch and we are unwilling to do our oversight against the executive Branch's failure what is the purpose of Congress I yield back gentleman yields back we will now pursuant to notice I'm going to call up HR 910 the clerk will report the bill which was distributed in advance HR 910 a bill to
▶ 0:36:49require the Secretary of the Treasury to pursue more Equitable treatment of Taiwan at the international financial institution without objection the bill is considered r open to Amendment at any point the chair recognizes the general woman from California Miss Kim the sponsor of this legislation for five minutes thank you chairman Hill and before I speak I also would like to offer uh my condolences to the family of Representative Sylvester T Turner on the uh the surprising news that we all
▶ 0:37:19heard this morning so wanted to uh start with that and I want to thank uh chairman Hill for considering my bipartisan leg legislation HR 910 the Taiwan non-discrimination act and I also want to thank my colleague representative green of Texas for co-leading this bill with me Mr chairman long-standing US policy towards Taiwan has supported its membership in international organizations where statehood is not a
▶ 0:37:49prerequisite the United States also advocates for taiwan's voice to be heard where membership is not possible this principle has endured for decades across the Republican and the Democratic administrations and it has repeatedly been reaffirmed in bills passed by this Congress my bill is straightforward it requires the treasury Department to implement our Taiwan policy at the international monetary
▶ 0:38:20fund or IMF as the legislation makes it clear Taiwan is not required to be a member of the United United Nations to gain membership in the IMF in fact Kosovo also not a UN member has belonged to the IMF for over a decade if Taiwan s admission to the IMF treasury should carry out the US policy by supporting its application my bill urges
▶ 0:38:50the IMF to integrate Taiwan into its regular economic monitoring activities and provide Taiwanese Nationals with equal employment opportunities and other appropriate technical assistance this is long overdue for Taiwan the IMF is devoted to monetary cooperation exchange rate stability and the growth of international trade it is absurd for the
▶ 0:39:20institution to exclude an economic Powerhouse like Taiwan Taiwan is one of our top 10 trading partners and it has the fifth largest reserves of any foreign country which is greater than Brazil South Korea Mexico or any European country except Switzerland alongside Korea Taiwan is also one of the world's most astonishing economic growth stories so why wouldn't we want its
▶ 0:39:50experiences to inform the work of the IMF at a time when China has been threatening the work of the IMF through its non-transparent lending abroad and its lack of cooperation with other creditors we must Focus the fund on effective International cooperation that means openness toward potential members like Taiwan that can make significant contributions to the imf's mission Mr chairman let me also
▶ 0:40:21add one more point advocating for taiwan's membership in the IMF will unlock a additional opportunities for the inclusion in other International institutions the World Bank for instance requires countries to be first members of the IMF and in the Senate the Foreign Relations Committee has expressed bipartisan support for taiwan's membership at the interamerican Development Bank this too would be made possible
▶ 0:40:51after Taiwan joins the IMF so my legislation is not just about taiwan's voice at the fund but potentially its broader involvement in the international financial institutions so again I want to thank the chairman and the committee for considering this Taiwan non-discrimination act and I urge my colleagues to support this spill with that I yield back the balance of my Time gentleman yelds back I'd like to ask the clerk if you would uh to call up hr10
▶ 0:41:22uh and Report the bill as in the nature of a substitute amendment in the nature of a substitute an amendment in the nature of a substitute to HR 910 offered by Mrs Kim of California thank you without objection this bill will be considered readed and open to Amendment at any time I want to thank uh uh chairman mayy request a recorded vote no not yet not yet not yet but we appreciate your eagerness and um I want to thank the gentleman from California for her support
▶ 0:41:53and you've yielded back does who seeks recognition anybody else want to speak on Green from Texas Mr chairman Green from Texas recognized for 5 minutes thank you Mr chairman I thank the ranking member who is not here as well as Mr Casten who is here in herstead I especially thank Miss Kim for her outstanding effort in this noble cause I'm pleased to partner with her once again
▶ 0:42:23with HR 910 is the only one the Taiwan nonis mintion act this legislation would require the United States to support taiwan's membership and participation in the international monetary fund the IM IMF this bill is a common sense measure and it quite frankly will Taiwan but it also benefits
▶ 0:42:54us Taiwan has been a friend more than an associate uh a friend to the United States uh we are welcomed when we visit Taiwan we're received and the proverbial red carpet is rolled out so I think that it's appropriate for us to do all that we can to help Taiwan acquire this
▶ 0:43:24membership uh as the 21st largest economy in the world and the 10th largest Goods trading partner of the United States Taiwan is clearly deserving of admission to the IMF as many of you know in last Congress we passed this measure in the house I trust that it can be done again and I trust that it will be done soon and I
▶ 0:43:54would have all to know that while I am partnering and working with Kim this was Miss Kim's legislation and I want her to receive all of the credit that she richly deserves and I'm pleased to be associated with this endeavor thank you Mr chairman I yield back the balance of my time Gman yields back who seeks recognition Mr Caston
▶ 0:44:24of Illinois recognized for five minutes uh thank you Mr chairman I support this legislation and encourage all our Democratic colleagues to vote in support as well but just want to take a moment to highlight the disconnect on foreign policy between the bipartisan members of this committee and the White House this bill clearly aligns with longterm us interest in defending Taiwan and has the potential to strengthen us Taiwanese relations more broadly this bill supports taiwan's goals to better integrate into multilateral economic and Frameworks
▶ 0:44:55but we cannot avoid the fact that the Trump Administration is actively undermining taiwan's security as we speak when he took office Trump issued a 90-day freees on $2 billion doar in foreign aid which impacted millions of dollars in security Assistance programs for Taiwan that was authorized by Congress I would note that this morning the Supreme Court rejected the Trump administration's uh efforts to overturn Congress in a five to4 vote just last week president Trump refused to assert us
▶ 0:45:25support for Taiwan declining to answer a question about whether it was his policy that China would never take Taiwan by force while he is President those words matter and those are the words out of the White House furthermore Trump's awful press conference with president zalinski have sent a signal to the world that if you are strong you can invade your neighbors and take Land by force in the United States who has defended the post World War II order for 80 years will side with the strong over
▶ 0:45:55the legal that his music to taiwan's ears then there's Elon Musk who president Trump confirmed last night is in fact the head of the so-called Department of government efficiency and in 2022 Mr musk said that Taiwan should be deemed a Hong Kong style special administrative zone of China China's Ambassador thanked him for his comments in 2023 Mr musk said that there is a quote certain inevitability about China's goal of annexing Taiwan and that Taiwan is quote an integral
▶ 0:46:25part of 2024 Vladimir Putin reportedly asked Mr musk not to activate the starlink internet over Taiwan as a favor to China SpaceX later told its Taiwanese suppliers to transfer manufacturing off island aside from Mr musk's ties to many of the United States historic adversaries at least as of 45 days ago um his allies are making abrupt changes to US Government computer systems which could make
▶ 0:46:55our security systems more vulnerable to cyber attacks and of course defense secretary heith is saying we are not going to pursue aggressive cyber operations against Russia know your enemy folks in December Chinese hackers breached the treasury Department's committee on foreign investment of the United States cifas and the office of foreign assets control and accessed unclassified documents lest there be any concern about who would like to hack into the treasury payment system in addition to the handful
▶ 0:47:25of unve vetted unsecured um in many cases unidentified employees of Elon Musk who are now infiltrating our federal systems none of that changes the fact that this legislation is very good policy none of that changes the fact that I intend to wholeheartedly support this legislation but if we agree that is in the United States policy to stand up to the CCP if we agree that we should oppose all efforts by the CCP to
▶ 0:47:56impose their for foreign policy on the United States or our allies including Taiwan then it behooves us all especially my Republican colleagues to stand up to the White House and express their support for Taiwan in the face of Chinese aggression even if it makes Donald Trump and Elon Musk send angry tweets thank you and I yield back joean yields back seeks Rec Mission uh chair recognizes himself for five minutes of comments
▶ 0:48:26on H r910 in the nature of a substitute the Taiwan non-discrimination act offered by Mrs Kim of California with good support from our friend from Texas Mr Green I I stand in strong support of this bipartisan Bill and let me remind all of our our friends listening that the Taiwan Relations Act uh signed in 1979 uh that is quite clear as to what the policy of the United States is in regard to Taiwan we will provide Taiwan
▶ 0:48:57political assistance we'll provide Taiwan military assistance we will support taiwan's uh economy that Mrs Kim spoke about so eloquently that it's gone from a non-democracy non-market economy as late as the early 1980s into one of the most uh vibrant Democratic uh countries in uh southeast Asia and the fifth largest reserves think about that for a minute considering the size of the population on the island
▶ 0:49:27of Taiwan and in that 1979 Taiwan relations act that China was told you will not coer Taiwan you will not use military action against Taiwan to unite Taiwan in any way with the mainland that can be done by Democratic means it can be done by mutual agreement it can be done by treaty but it can't be done by coercion or military force and so members of this committee and the house Foreign Affairs committee as well have collectively in a bipartisan
▶ 0:49:58way offered a a bill after Bill to reinforce that effort and Mrs Kim certainly does that today as it's long overdue for Taiwan to have the recognition and representation that it deserves an international monetary fund taiwan's economy as I said is driven by high-tech Industries and it's a dynamic export sector and it's essential to both China's uh success in the future as well as South Korea the United States Japan and the whole region
▶ 0:50:28and our goal is in federal policy and international defense policy is to to to help Taiwan be a porcupine and to remind our friends in mainland China that only by diplomacy by uh mutual agreement can they become truly One China in the future yet Taiwan by China by the communist in Beijing is held to a second class standard through pressure at the IMF we we believe that IMF needs a member like
▶ 0:50:59Taiwan uh that leadership and Innovation progrowth policies that voice is desperately needed at the international monetary fund let me just say that uh following the house passage of Mrs uh Kim's Bill last Congress Taiwan announced that it would seek IMF membership and I think this is a direct result of the gentlewoman from California's articulate advocacy both as a leader in the foreign Affairs subcommittee on Asia
▶ 0:51:29as well as her work on this committee I urge all members to support this bill and I yield back the balance of my time does anybody seek recognition for an amendment to the ANS we have before
▶ 0:51:59without objection the reading of the amend let's see it's no amendments um there being no further discussion or amendments to the bill the question now occurs on ordering the bill to be reported favorably to the house those in favor shall signify by saying I all those o oppose signify by saying nay in the opinion of the chair the eyes have it and the eyes have it bill is gentoman from California thank you chairman and members of of this committee for supporting this bill very strongly and
▶ 0:52:29I would like to request a recorded vote uh the recorded ordance has been requested uh no this bill is so ordered to report of the house with a favorable recommendation without objection a motion reconsiders laid on the table staff are authorized to make Technical and conforming changes and members will have two days to file views on the reported measure the recorded vote has been requested all those in favor of recorded vote shall raise their hands and be counted a sufficient number having raised their
▶ 0:52:59hands a record vote is so ordered and to recorded votes order pursuant to section C5 of rule three committee rules further proceedings and Amendment are postponed now pursuant to notice I call uh
▶ 0:53:30we're doing now person soon to noce I call up HR 1716 the clerk will report uh the amendment in the nature of a substitute which was distributed in advance an amendment in the nature of a substitute to hr17 16 offered by Mrs mlan of
▶ 0:54:02Michigan without objection the bill is considered read and open to Amendment at any time the chair recognizes myself uh for uh representing congresswoman mlan on her good bill Taiwan conflict deterrence act uh I mooved to strike the last word U Want to Thank The gentlewoman from Michigan for offering this bill and my coling from Mr Sherman from California for serving as an original co-sponsor of this important
▶ 0:54:32legislation as one of the key Regional Partners in indopacific the US must not abandon Taiwan or its people in the face of the threat posed by PRC in Beijing China continues to encroach in and around the straight of Taiwan and the surrounding areas while maintaining an increasingly aggressive military display toward the island just last week Taiwan dispatch Naval land and Air Forces after China launched a live fire exercise Zone just 40
▶ 0:55:02mil off the coast of Taiwan this is only the latest example in a series that illustrates China's persistent and provocative aggression in the region since the Taiwan Relations Act of 1979 the US has maintained the posture that we are against coercive action taken to change the status on Taiwan this includes China's threatening stance on invading Taiwan so that the US must prevent Chinese leaders from acting recklessly in that kind of an approach
▶ 0:55:33a component of the Taiwan relation acts is that the president must notify Congress when China makes an attempt to threaten Taiwan security once this notification is made by the president this bill would require the Secretary of Treasury to disclose the estimated illicit funds of China's top officials in Beijing whether the funds are held in the United States or abroad the purpose of the disclosure is to reveal to the Chinese people the extent of the benefits their leaders are reaping from ill-gotten gains
▶ 0:56:04this disclosure would be translated into Chinese for maximum comprehension and accountability additionally us financial institutions would be prohibited from engaging with these Chinese officials as well as any immediate family members who benefit or rely on their assets effectively blacklisting them from access to the US financial position position this legislation will make clear to Chinese officials that if they persist in threatening Taiwan with aggression
▶ 0:56:34they risk destabilizing their own regime while directly also impacting the lives of their family Congress must Safeguard our national security and impose consequences for China's negligence of their obligations and commitments regarding Taiwan again I want to thank Mrs mlan for her work in sponsoring this legislation and for Mr Sherman of California for his collaboration and support as well I urge all my colleagues to support the legislation
▶ 0:57:05and I yield back the balance of my time who seeks recognition uh the gentleman from California you're recognized to strike the last word for five minutes thank you Mr chair I uh also want to thank M mlan Mr Sherman uh for this important legislation I certainly support both the intent and the outcome of this bill uh but if we want to send a message to China the best way we can do that is by demonstrating our resolve to be the leader of the Free World that we have been
▶ 0:57:35or had been for almost the entirety of my lifetime until recent weeks and we are seeing in recent weeks increasingly the abdication of this role as a leader of the Free World by this President and this Administration which is unwilling to stand up to dictators like Putin and willing to capitulate at any opportunity China has seen a much clearer message than this legislation will ever send and the message that China is saying
▶ 0:58:05is that we are no longer willing to be the leaders of the Free World under this President we need to seriously reconsider this course this president has set us upon this is certainly about Ukraine but it's about much much more than Ukraine and I know I'm not the only person who believes this we can talk to any of our long-standing allies in Europe in North America and Asia who feel similarly betrayed by the actions of this President I support this legislation but I
▶ 0:58:36support more strongly a true determination of this country that we are going to lead the Free World and defend Taiwan and others who are critically at risk in this perilous world we face thank you Mr chairman I yield gentleman from California yields back the gentleman from New York is recognized as strike the last word for five minutes move to strike the last word let's be clear the foreign policy of Joe Biden created an absolute disaster
▶ 0:59:06around the world starting with the disastrous withdrawal in Afghanistan that resulted in the death of 13 US service members which thanks to president Trump their killer is now in US custody the Russian invasion of Ukraine occurred under Joe Biden watch and Joe Biden failed miserably to get Ukraine the weapons they needed early on and put restrictions
▶ 0:59:37on their ability to use those weapons to proactively prosecute the war and defend themselves and then you had the terrorist attack on Israel by Hamas funded by Iran 93% of their budget comes from Iran you know where they got the the illicit oil trade between China and Iran that exploded to the tune of $200 billion do under Joe Biden's watch so if you want to be serious about
▶ 1:00:07foreign policy then wake the hell up the bottom line is Joe Biden created a Calamity around the globe Joe Biden did I didn't hear you say one word about that we are dealing with the most precarious place since World War II the world is a Tinder Box and yes Vladimir Putin is a vile dictator
▶ 1:00:37and Thug and yes we support Ukraine and yes we support NATO but you know what when the Europeans are purchasing Russian gas and funding the very invasion they are trying to defend against it is the height of stupidity so let's actually have a rational honest discussion about what's happening in the world
▶ 1:01:08and if our European allies want to wake up to the fact that engaging Russia and purchasing gas from Russia is problematic then Ukraine would be in a much stronger position today when you have China threatening Taiwan circling around
▶ 1:01:38the island threatening to block the straight of Taiwan where 60% of international trade flows over 90% of the world's Advanced semiconductors are manufactured on the island of Taiwan yes there are significant threats but it was Joe Biden who bowed down at the altar to shei it was Joe Biden who lifted sanctions against Iran who wanted
▶ 1:02:08to renegotiate the Iran nuclear deal which is the single stupidest deal that was signed so yes we need to have a strong foreign policy in which America reasserts its role as leader of the Free but it wasn't under Joe Biden's watch that that was happening so let's be honest about it I yield back the gentleman yields back who
▶ 1:02:39recognition Mr Caston of Illinois recognizes prri the last word uh thank you I want to support the bill offered by representatives mlan and Sherman hr1 1716 in the event of a chined threat this bill would require the treasury to raise awareness of hidden and corruptly gained funds controlled by Chinese party officials um I also want to commend the gentleman from New York for his Sound and Fury and just point out that it's signifies nothing your courage in attacking the former president has nothing to do
▶ 1:03:09with what's going on in the present moment let us let me remind you that while we sit here talking about building up our long-standing alliance with Taiwan Donald Trump is tearing down America's promise to defend it from Chinese aggression Donald Trump is telling the rest of the world that if you invade a country by force as with Ukraine you can have it Donald Trump is reminding the rest of the world that he asked Ukraine to interfere in a United States election or he would withhold military aid he was ultimately impeached
▶ 1:03:39for that in part because he was violating congress's power of the purse which he now does on a daily basis um and draws no Sound and Fury from the other side of the aisle Taiwan is now subject to daily military intrusions by China yet the president cannot make manag to utter a single pledge of support I'll note too that the only way that we would actually find the hidden corrupt funds highlighted by this bill is by having a robust anti-money laundering
▶ 1:04:09and anti-corruption regime and yet with the support of many of the Republicans on this committee president Trump and Elon Musk are dismantling those laws and regulations they're even bragging about gutting the corporate transparency act one of the several criminal friendly moves that will attract fent traffickers terrorists and corrupt Chinese officials illicit Financial activity in the United States economy they are pushing crypto-friendly rules that would make it essentially impossible to determine the source of funds
▶ 1:04:40that are being used to be transferred I want to point out 100% of the ransomware attacks in the United States are funded by crypto and yet my colleagues would make it easier to use crypto reduce the oversight make it easier to traffic money so I appreciate the Sound and Fury I support this bill but I would urge my Republican colleagues to do more than yell on this committee for the cameras do more than pass nice bills speak up
▶ 1:05:10for democracy speak up for Ukraine speak up for Taiwan stand up for fighting Financial crime even if no especially if those crimes are supported enabled or committed by the president of the United States I yel back Joe back who seeks recognition the gentleman from Ohio Mr Davidson uh chairman of the National Security subcommittee recognized the strike the last word four or five minutes I thank the chairman I think our colleague uh Lisa mlan for introducing this bill and
▶ 1:05:40highlighting the challenge with Taiwan conflict attor and certainly want to associate my with Mr Lawler's remarks though frankly they're more fitting for the Foreign Affairs committee that we serve on than here I think we're here today to talk about this bill and the merits of this bill are very clear and I I think when we hear Mr Casten throw out all sorts of things we get it it wants a surveillance State and that just like so many other things we want uh to defend our country and our
▶ 1:06:10values that are protected by our Constitution and the idea that we can somehow deter China by being more like China is one of the biggest fallacies going uh that we want a surveillance State and that's the only way to keep us um that's not the system of government we have thank God so let's do it uh in accordance with our constitution all kinds of fallacies well the only way we could deter illicit Finance is if the government grants
▶ 1:06:40permission to people to access the financial system the reality is in the state of nature two individuals have the inherent right to transact between one another the government doesn't grant that right and the government is only supposed to be able to infringe your rights with cause and with due process and that shouldn't be a collective drag net uh such warrants are prohibited by our fourth amendment and we can do both we can protect the privacy of our citizens and make
▶ 1:07:11sure that they live in a free and Democratic country not in an authoritarian police state under some other guys this is a good bill and it can work we have tools like ofac that are designed to Target foreign Nationals like the people in China that it's supposed to Target so I hope that we'll support this good bill and uh resolve our other differences outside of a hearing where we're supposed to be laser focused on marking up these bills I yeld back
▶ 1:07:41gentleman you's back who seeks recognition chairman I'll recognize myself for for five minutes um let me join Mr Davidson in uh complimenting uh our conference chair for this good bill it's a bill that I've worked on in previous congresses I appreciate Mr Sherman and Miss McLean working on it together this is the kind of deterrence Bill using uh economic statecraft that
▶ 1:08:11we can produce out of this committee to complement the Foreign Affairs committee and the executive Branch's strategy to assure Taiwan that we remain a steadfast friend both diplomatically militarily and economically I think that's been made clear by this Congress and it's been made clear by uh president Trump all along the way look at the record of President Trump's first term in this regard it was President Trump's efforts to warn the whole free world about the dangers of the
▶ 1:08:42surveillance state in China by encouraging our allies to not use telecommunications technology from wuwei we told our friends and allies around the world when it comes to Telecom uh infrastructure in your comp country uh and cyber protection in your country and a blocking a surveillance state in your country we told them there's a right way to do it and a w way to do it and president Trump was outspoken in that regard and we saw change across
▶ 1:09:12the world warning them from State mercantilism uh by the People's Republic of China likewise as it comes to countering China militarily president Trump was very good in his first term on arming Taiwan and also building allies integrating military exercises with South Korea the largest Western military in uh in Asia encouraging Japan to
▶ 1:09:42take on more of their own defense negotiating with Japan and the Philippines on returning American Naval and air assets to the Philippines all that was led by president Trump to counter a more aggressive Chinese position and finally on trade his former US US trade Representative Bob lighthous told Congress that China presented an existential threat to the American way of life and that certainly
▶ 1:10:12caused uh president Trump's posture on trade to put pressure on the economy uh in China so look in in my judgment uh president Trump stands fast with our friends in North Asia and that's why this bill is so important and I thank the gentlewoman from Michigan for her initiative in offering it and Mr Sherman of California a staunch uh uh a staunch advocate for countering China
▶ 1:10:42on the Democratic side of the aisle for offering it and I encourage all members to support it and I yield back the balance of my time there being no further debate on the amendment in the nature of a substitute we'll move to consideration of amendments does anyone seek recognition there being no further discussion or amendments to the bill the question now occurs on ordering the bill to be favorably reported to
▶ 1:11:12the house all those in favor please say I I all those opposed shall signify by saying nay in the opinion chair the eyes have it and the eyes have it for on behalf of the G one from Michigan I do request a recorded vote a recorded
▶ 1:11:43vote's been requested all those in favor uh of a recorded vote raise your hand and sufficient number record vote all those in favor let's see a sufficient number have being rais their hands record vote is so ordered pursuant to subsection C5 of rule three of committee rules further proceeding the amendment are postponed we now consider uh moving into consideration of HR 17113 offered by the from uh Oklahoma and the clerk will report the bill in
▶ 1:12:13the nature of a substitute an amendment in the nature of a substitute to hr1 1713 offered by Mr Lucas of Oklahoma without objection the bill will be considered readed and open to Amendment for what purpose does gentleman from Oklahoma seek recognition Mr chairman I'd like to call up 1713 and be recognized for 5 minutes gentleman recognized strike the last word thank you Mr chairman I'm excited to call up this bipartisan piece of legislation today hr1 1713 the agricultural security risk review
▶ 1:12:43act would amend the National Defense Act to add the secretary of agriculture as a permanent member of the committee on foreign investment in the United States or cfus for any transaction related to the purchase of agricultural land biotechnology or any other transaction related to the agricultural industry in addition in this Congress my bill also includes safeguarding American Farms from foreign influence act authored last Congress by the former
▶ 1:13:13Financial Services chairman for the subcommittee on National Security Mr LM that section of the bill requires it cfest to consider referrals for reportable agricultural land transac actions from the USDA both of these bills passed unanimously out of this committee last Congress and I hope we'll enjoy that same support today now I must note Mr chairman as a fifth generation farmer and Rancher I know firsthand that food security is National Security and that's why it's
▶ 1:13:43I've long advocated for giving the Secretary of a a voice in National Security discussions I'm proud to work to make this Bill P permanent now and I appreciate the support of my colleagues and I yield back the balance of my time Mr chairman gentleman y's back Is there discussion uh Mr Caston of Illinois is recognized to Strike last word for five minutes uh thank you I support the bill offered by my friend Mr
▶ 1:14:13Lucas hr1 1713 this bill includes the secretary of agriculture as a member of the committee on foreign investment United States or cfus to review foreign investments in US Agra business technology and farmland for potential National Security concerns also provides the support of the intelligence Community to help the agriculture secretary to determine which agricultural land transactions may be of interest to cifas um I think certainly on on a very bipartisan basis ensuring that cifas has the appropriate expertise regarding
▶ 1:14:44us agricultural Holdings is important to protecting our national security especially from the malign influence of China um but I would note that you can't fight crime by defunding the police um even if you pass laws to make more illegal you also can't ensure the safety of our food supply by firing people at the USDA who are tasked with ensuring the safety of our food supply and yet that's exactly what president Trump is doing as he decimates the federal Workforce including at USDA where the Doge
▶ 1:15:14group claims to have cut millions of dollars of USDA activities inexplicably including the scientists and inspectors who are working to prevent the further spread of bird flu and foodborn disease Donald Trump has withdrawn the United States from the World Health Organization and illegally ended almost all of Us's foreign aid programs like us Aid which expand us soft power overseas and provide a market for us Farmers to sell their products overseas it's cutting Aid to Farmers
▶ 1:15:44it's also cutting food to people in places like Somalia children are now dying around the world because of Donald Trump and Elon Musk so who's stepping into that void who who benefits if the United States is not extending our soft power in the world who benefits if the United States is not the world's cop I think we all know the answer to that question it's China and Russia they can fight it out between themselves but if I was running the belt and Road initiative
▶ 1:16:14I would be a huge fan of Donald Trump I would be a huge fan of Elon Musk and I would be a huge fan of the fact that the republicans in Congress are unwilling to stand up to any of them so I support this bill it's a sensible Improvement on cfus but I really want it to be bipartisan again to make sure that we defend our nation's farmers and that we defend the idea of American democracy I back joean y's back who seeks recognition
▶ 1:16:44chair recognizes himself for five minutes to strike the last word I want to thank my good friend Mr Lucas the chair of our task force on monetary policy the former chairman of the house agriculture committee former chair of our science committee there's no better uh person in the house to offer this amendment it recognizes something that he's seen for many many years that it was important for the a department the cabinet agency to be represented on the committee for
▶ 1:17:14in foreign investment the United States cifas in this case the agriculture secretary would have that official role in reviewing transactions for national security purposes in the the agricultural sector and again let's credit president Trump in his first term when cfus began reviewing land purchases near sensitive government sites in 2018 these cases often implicate the Department of Agriculture and would benefit from the Department's expertise
▶ 1:17:45so I appreciate Mr Lucas for raising this issue he was one of the first members of Congress to point out this need at cifas I applaud his foresight and hard work to advance this good idea now in the 119th Congress I encourage all my colleagues to support it I look forward to voting for it today and I yield back the balance of my time is there any other discussion or Amendment on this measure uh Mrs batty from Ohio recognized to strike the last word for five minutes
▶ 1:18:15Mr chairman I have an amendment at the desk gentoman has Amendment address we'll wait for and pause while it is distributed she on the right there being no further debate on the amendment of the nature of a substitute we move to consideration of amendments Mrs batty has an amendment it's being passed out
▶ 1:18:46just a moment and we will call on the gentlewoman to discuss her Amendment once we have it distri
▶ 1:19:22Mr chairman could I reserve a point of order on this Amendment gentleman from Ohio reserves a point of order the amendment's been distributed and I'll yield to my friend from Ohio Mrs batty for five minutes to strike the last word on her Amendment thank you Mr chairman I appreciate the good work that representative Lucas has done with this bill as you aware it started out as two bills in the last Congress both passed this committee unanimously after much
▶ 1:19:52discussion with Treasury and members of both Congressional bodies these bills were combined into a law that passed almost exactly one year ago uh within the Appropriations law the bill today which duplicates that law to ensure that it lives beyond the Appropriations text is an important one it will help the committee on foreign investments in the United States cifas to identify possible transactions of concern related to agricultural land
▶ 1:20:22and Technologies NE necessary to this process is the ability of cus to see true ownership and control beyond the parties to the covered transactions the corporate transparency Act passed with strong bipartisan sport support including the support of trump White House was designed to help cifas and other National Security and law enforcement agencies to do exactly that Mr chairman whether it's fentel trafficking
▶ 1:20:53or understanding potentially maligned foreign investments we need to know the true parties behind the corporations involved so it is curious that the Trump and committee Republicans are now planning to gut the trans corporate transparency act preventing agencies like cifas from doing their jobs my Amendment simply says that representative Lewis Lucas's bill will not take effect until the corporate transparency
▶ 1:21:23Act is exec uted as written in the statute and as intended by the Congress seems very simple to me and I will also note as the legislative record of this committee will reflect as intended by the members of this very committee while I agree that the roll out of these laws was insufficient in the terms of notice to many of the businesses including small businesses that must comply with the law
▶ 1:21:54we cannot throw out the baby in the bath water we must provide the necessary tools necessary to protect our national security which is so important to us uh thank you and I Y back gentoman yelds back is there additional recognition being sought Mr Davidson oh of Ohio for strike the last word for five minutes yeah Mr chairman i i i earlier raised a parliamentary uh point
▶ 1:22:24of order I I do think uh as I work with committee staff over how to raise that objection this isn't really Germaine to Mr Lucas's Bill Mr Lucas Bill deals with adding agriculture to cifas and cifas itself predates the corporate transparency act they maybe have people like Miss batty that subsequently thinks boy you know we could come up with a different way to find more information out about more people and more companies and more things
▶ 1:22:54um but that's a separate matter and that's not the bill before us by Mr Lucas so I don't think her amendment is even Germain but I also think it's a bad idea uh so the idea that that that's only enforcable if this action taken under the Biden Administration is upheld the way the Biden Administration constructed it uh is fallacious and the administration clearly has the authority to withdraw
▶ 1:23:24previous Rule and to reconsider it in light of the overwhelming feedback in the market to say the way that the previous administration went about this was particularly bad and we get questions about whether it should be done at all frankly the the administration raised concerns like maybe this isn't even constitutional for American firms and they're not alone Court after court has said you can't do this you you Pro you proceed with the assumption that every
▶ 1:23:54business in America has generated probable cause that they're involved in illicit Finance because they're a business so you uh collect all this information and make it searchable without a warrant or a subpoena that's not what our constitution says and for that reason multiple courts have said this is an unconstitutional bill so for uh our colleague to try to associate this to Mr uh Lucas's bill bill is problematic
▶ 1:24:25on two fronts one uh it's not Germaine to his bill and two um it really is incoherent to delay uh the addition of Mr Lucas's point of the secretary of agriculture to cifas uh to a bill that frankly the courts are consistently saying is unconstitutional in our own body has been very divided on because it is unconstitutional in my opinion so gent there are other ways to do
▶ 1:24:55this and that should be worked on with different legislation it should not interfere with the implementation of Mr Lucas's very good bill and that's the point I'd wish to raise there and with that I'd yield the balance of my time to the chairman I thank the gentleman from Ohio and I thank again Mr Lucas and I why I appreciate the general woman from Ohio's uh okay views about the importance of uh proper disclosures for beneficial ownership uh in my judgment
▶ 1:25:26having just heard several members on the minority side of the aisle tell us that we should be United in our countering China not be distracted by countering China make sure this administration supports the bipartisan efforts of Congress to counter China I'm like my friend from uh Mr Davidson from Ohio about we don't want to do anything that would delay Mr Lucas's good bill which we've just outlined uh since 2018 has identified concerns about Chinese entities some disguised
▶ 1:25:56some not disguised in acquiring land near sensitive intelligence or military operations cifas has uh always examines beneficial ownership of foreign investors including through the intelligence Community as a part of their due diligence the corporate transparency act has nothing to do with that process and this amendment as I say will only delay the effectiveness date of this important National Security legislation regarding therefore I think we should reject the BD
▶ 1:26:26Amendment and let me ask the gentleman from Oklahoma if he'd like to make some concluding comments in support of his bill or comment on the batty Amendment and I want to thank my colleagues for yielding to me I uh the bill amends the defense production act not the corporate transparency act I think that's two entirely different issues the core bill is bipartisan in nature I'd like to keep it that way in moving forward but I would also acknowledge to my colleagues I've worked for the better part of a decade on this issue
▶ 1:26:57when foreign entities come in and buy food processors or they find buy food production facilities they are taking control of a critical part of our economy our ability to sustain ourselves therefore National Security issues uh I couldn't get any traction until it became obvious a few years ago that forign Enterprises were buying Farmland next to US military bases and all of a sudden we woke up it took that kind of a shocking development
▶ 1:27:28to cut back to the core issue cfus is about protecting things of great National Security feeding ourselves is a issue of great National Security I appreciate the appropriators incorporating this last year it needed to be done and done in a hurry this needs to be permanent law I respect my colleague dearly I think the world ever but I ask that we reject this amendment Mr chairman can for a parliamentary inquiry Jo's recognized
▶ 1:27:58for a parliamentary inquiry okay uh I I don't want to have a big debate but neither one of these gentlemen to my knowledge is also a lawyer and so when I look at the regulations that are issued under 5336 uh of Title 31 of the United States code uh I think that they are mistaken uh about the law and and what we agree in is is that we support National Security and so we
▶ 1:28:28have to be able to First understand who the Bad actors are and when you look at the law and when it was established and what he's trying to amend uh I need more clarity because I I I hear what we're saying and I'm hoping we're on this what's your parliamentary inquiry M that I would like to have a legal opinion on the difference that I have and my colleague from would would the gentle woman withdraw her Amendment and uh to seek
▶ 1:28:58that legal opinion and we can talk about it at another time go to the Flor before we can or we can do it as before we go to the floor or we could discuss it I believe isn't there before we vot I'm trying to trying to answer a parliamentary so far I really haven't heard a parliamentary inquir I've heard but but I'm I'm genuinely asking if that would be if we got that opinion for you before this bill goes to the floor would that be beneficial to we vote on it today no not before we vote on it today I don't we're not going to how are we
▶ 1:29:28going to get that timely this this I don't I'm going to I don't think this is a parliamentary inquiry but I want to be helpful to you so uh if you'd like that kind of legal assessment before this bill goes to the floor I'm happy to work with the gentlewoman from Ohio on that yes thank you the gentoman is the gentoman withdrawing her Amendment yes I thank the gentleman from Ohio I thank for the robust debate I asked Mr Lucas to
▶ 1:29:58work with Mrs batty on this important question that she raises there being no further discussion or amendments on the bill the question now occurs on ordering the bill uh favorably reported to the house all those in favor shall be signified by saying I I all those opposed signify by saying nay in the opin chair the eyes have it to appear to heaven the eyes do have it for what purpose does the gentleman from Oklahoma seek recognition uh Mr Speaker I asked for the
▶ 1:30:29and leave recorded vote a recorded vote has been requested all those in favor of recorded vote shall raise their hand and be counted significent number having raised their hands recorded vot is so ordered in pursuant to subsection C5 of rule three of the committee rules further proceedings on this amendment are now move to consideration of HR
▶ 1:31:091602 no but that's not now pursuant to notice I call up hr1 1602 the clerk will report the bill which was attributed in advance an amendment in the nature of a substitute to hr1 1602 offered by Mr Davidson of Ohio Mr Davidson you're recognized for strike the last word in in support of your Amendment for five
▶ 1:31:40minutes I I think uh thank you chairman I thank uh ranking member Waters all the colleagues on the committee and today I'm proud to bring forward the financial Privacy Act of 2025 uh as uh amended by this uh amendment in the nature of substitute it's a bill about protecting Americans from overreaching government and restoring the fundamental right to privacy protected by our fourth amendment so let's start with a problem under the bank secrecy act the treasury Department through fsen is
▶ 1:32:10collecting mountains of data on everyday Americans over 322 million currency transaction uh reports 36 million suspicious activity reports and um you know to some level though incomplete beneficial ownership information on 33 million companies in the first partial year of implementation alone it's expected there would be 5 million more added annually so that's not
▶ 1:32:40targeted enforcement that's Mass surveillance most of this data has no clear tie to any crime it's just sensitive details about private citizens lives private company lives and it swept up in a drag net that assumes some form of guilt uh in contradiction of our constitution in fact in 2023 more than 14,000 government employees made more than 3 million warrantless searches of this data
▶ 1:33:11the treasury says this is about stopping illicit finance and I'm all for catching the bad guys but when finsen itself admits the the information is highly sensitive and needs protection from unauthorized disclosure you've got to ask why are we collecting so much information in the first place in particular personally identifiable information why are we storing it in the way we are how is this data being accessed by whom and under what safeguards so why are
▶ 1:33:41we risking the privacy of law-abiding American citizens for a system that really is about more control than Justice frankly CTR is less than 3% of them are used now so it's a massive burden on our economy to collect the information and it's important to use this bill this is where it comes in the financial Privacy Act demands transparency and accountability from treasury it requires the secretary
▶ 1:34:11to report to Congress every year on how much data finin is collecting who is accessing it and why how is it being affected so that we might take that information and provide better legislation to further reinforce or refine the policies that are being implemented because it is uh important that we stop illicit Finance but it is also important that we Safeguard the rights that our constitution was built to safeguard it forces
▶ 1:34:41us to look hard at protocols letting law enforcement and intelligence agencies dip into this pile of personal data protocols that right now are very vague and often too loose it mandates annual reviews to make sure the data serves a real purpose National Security Law Enforcement intelligence and not excessive government most importantly it protects the rights of our Americans uh citizens uh the people we represent it's not a radical proposal it's
▶ 1:35:11common sense and if the government's going to invade your financial life it better have a darn good reason in accordance with the Fourth Amendment and it better prove that it's keeping that information safe right now this is is falling short on all counts so I encourage our colleagues to consider this legislation I would respectfully ask for your vote and U let's get the information let's collect the reports and then maybe we can move together in a different direction with the general for the refin it would jentan yel I would yield
▶ 1:35:42to the chairman uh uh Mr Davidson I want to thank you for your bill I just want to make a note of why I think this is uh so important to gather this information so that we're clear on it uh financial institution after a financial institution has told me that our primary Regulators have gone into the banks for their regular exam purposes for a compliance exam and they're frequently using peer uh comparisons to determine
▶ 1:36:12how many SARS suspicious activity reports are supposed to be filed other words they come into the bank and they say uh we noted that you only filed 10 SARS last year and the banker says that's right and they said well your peer group files 30 so we think you're not doing a good enough job and I I just want to want to really emphasize as a part of this bill that collecting this information I think will make sure that we have not only the right data but the right supervision of that data I thank the gentleman for
▶ 1:36:45yielding the gentleman from Connecticut Mr heims is recognized to strike the last word um uh Mr chairman I moved to strike the last word gentleman's recognized for five minutes thank you uh Mr chairman and uh I'd like to thank my colleague from Ohio Mr Davidson uh for introducing introducing this bill this Congress it's been a pleasure working with him over the years on this stuff I do uh before I get into the substance of the bill uh while I really I do appreciate Mr Davidson it um it is we're we're doing too much uh exciting
▶ 1:37:15the American public by getting a little bit off of the truth of the matter um I'm the ranking member of the intelligence committee so m surveillance has a very specific meaning and this data is absolutely not being used for mass surveillance there's no evidence that it's being used to control anybody or to invade anybody's Financial life I think it's about time we started getting serious about dealing with the real challenges now Mr Davidson is right and I agree with him that finsen has not been as disciplined or as targeted as it should be in
▶ 1:37:45handling data which if it were to uh uh be mishandled could lead to uh could lead to violations of privacy Etc uh it's also important to remember that finsen plays a crucial role uh in tracking money laundering terrorism financing and other Financial crimes so we've got to get this right uh the bank secrecy act requires the collection of millions of uh currency transaction reports suspicious activity reports Etc uh and this data is regularly made available to agencies including the IC counterterrorism agencies
▶ 1:38:16Financial uh Regulators local and state law enforcement it's going out to a lot of places so an intense focus on this which is the idea behind the bill uh is important and this would require finsen to report annually to Congress on the number and types of reports and how they are retained and used it would also require the Secretary of the Treasury to annually review the guidance governing outside agency access to the data and revise that guidance as necessary this is an area in which I think and I think Mr Davidson thinks we have not spent enough time and energy and is not getting
▶ 1:38:46the focus that it requires Congress would have access to copies of the memoranda of understanding between finsen and the many outside agents gencies which include local police departments and others um so that we can help revise that guidance as necessary um this of course would allow us to tailor and to be smarter about the immense amount of data which is collected under BSA the more we know about how the BSA data is collected used and shared the more effective we can be as overseers at tracking the illicit activity and can
▶ 1:39:16and and doing so in a way that does not risk violating the Privacy rights of Americans so I'm proud to co-sponsor this bipartisan bill and I urge my colle colag to support it again I'd like to thank the chair and ranking member and Mr Davidson for considering this bill and I yield back gentleman from Connecticut yields back who seeks recognition gentleman from Georgia Mr louder milk is recognized for five minutes thank you Mr chairman and I want to thank my uh friend and colleague Mr Davidson for introducing this bill and I agree with it on premise we need more transparency from finsen
▶ 1:39:46regarding how they use Bank secrecy act data that said we shouldn't let finsen use this bill as just another excuse to delay our work on the bank secrecy act modernization as the formal National SEC National Security subcommittee chairman Blain lucam and I found out last Congress finen has a bad track record when it comes to delivering statutory reports on time where are the sections 6204 and 625 of the anti-money laundering
▶ 1:40:17act these reports were due to Congress within a year of enactment back in 2020 and is now 2025 and we still haven't seen these reports which would provide us with critical information for our efforts to modernize BSA reporting thresholds finen hasn't provided sufficient justification for the delay in these reports and to my knowledge hasn't formerly requested or been granted an extension of that statutory deadline in the meantime what finen has what has finen done
▶ 1:40:47for one they've increased their civil monetary penalties in accordance with statute as I pointed out to then director gaki last Congress it seems like finen is only interested in complying with Congressional deadlines when it brings money in before they start on new reporting requirements they should give us what they already owe us if they need more time or funding to complete these reports they should let us know instead of obstructing our business by failing to comply with a bipartisan law that members of this committee supported
▶ 1:41:17on a bipartisan basis finally we have a wealth of ideas to protect a American financial data and improvements in operations just this week I introduced a bill that would raise a long-standing CTR threshold from $10,000 to $30,000 decreasing the number of low value reports the agency receives or we um sorry uh filling requirements for SARS to improve the
▶ 1:41:48feedback loop from finsen to the reporting instit institution and streamline communication between the agency and Bank Regulators at the state and federal level there is plenty of room for improvement at fsen so while I support this bill and encourage my colleagues to please vote Yes I hope that we don't wait for Fen to deliver another late report before making changes that we already know are needed thank you and I yield back gentleman from Georgia yields back the gentleman from Illinois is recognized to strike the last word
▶ 1:42:18thank you Mr chairman uh I want to speak in support of the bill offered by representative David and representative Hees hr1 1602 this bill would bolster Congressional oversight by requiring the treasury secretary to provide a report to our committee and the Senate with with information related to finson protocols governing access to the bank secrecy act data um I also want to just note that sometimes you can tell how good legislation is by who's working on it U Mr Davidson comes from a long libertarian tradition has been a very active and
▶ 1:42:48consistent um voice um in defense of the Fourth Amendment protections against illegal search and seizure making sure that we protect against a surveillance State it's also not lost on any of us that keeping Americans safe requires that the good guys know what the bad guys are doing and it's important and significant to me that we have our ranking member of the intelligence committee who has thought through those issues and work something that that works together so based solely on the on the Bill's sponsors I encourage support um I do want to note though
▶ 1:43:19that there is something very odd about the fact that we are not talking talking if we are concerned about surveillance States if we're concerned about not talking about search and seizure illegal search and seizure that we're not talking about also protecting the privacy of Americans Financial records that Elon Musk and his doge minions have gained access to they are inside our systems right now these are not government employees they're special government employees these are not people who have been vetted um and yet they are inside records health and health related records at the center of Medicare and
▶ 1:43:49Medicaid services personal banking records and other financial data at the cfpb student loan information at the Department of Education Social Security numbers and other personally identif identifiable data at the Social Security Administration tax records at the Internal Revenue Service and of course um as all of us know because all of our constituents are flooding Our Town Hall request with this um hacks into the treasury payment system that controls almost $6 trillion dollar in payments a year um
▶ 1:44:19in the name of our intelligence apparatus in the name of protecting Americans right to privacy in the name of an Rand we should be doing more than this and I yield back the gentleman from Illinois yields back chair recognizes himself for five minutes to Strike last word I want to thank gentleman from Ohio Mr Davidson for working on this with my good friend Jim heims of
▶ 1:44:50Connecticut I share the Mr caston's descript description of these two partners uh in this legislation I really commend them as I said a few minutes ago uh this is a source of of concern on the intelligence committee and in the financial services committee about the Gathering of this data the protection of the pii the personally identifiable information and then who has access to it and what Mr Davidson and Mr Hees are are proposing is we get some background on that and put some
▶ 1:45:20perspective around it because as I've served in Congress I've gotten more and more concerned in Big Data collected by uh the US government that personally identifiable information is not encrypted and protected and we see it all the time whether it's at the office of personnel management at the cfpb at the IRS itself where they've had these big data breaches which are a concern to Americans privacy no doubt but also as Mr heims and I have learned
▶ 1:45:50in our work on the intelligence committee many many of these databases have the same language about allowing about uh 8,000 people or so in law enforcement to observe and and query these databases you know without a higher legal standard like I won't say probable cause or a warrant but just some higher legal standard to to query it and I think this bill will help us understand that as well the financial
▶ 1:46:20Privacy Act requires treasury review its Pro protocols to ensure the data collection is targeted to law enforcement objectives that Congress has authorized and it holds the treasury accountable to ensuring the information remains confidential I.E protecting that personally identifiable information so I commend both Mr heims and Davidson for their collaboration on this bill I urge members on both sides of the aisle to support it and I yield back the balance of my time is anyone else seek uh to on the
▶ 1:46:51uh on the amendment in the nature of a substitute seeing yeah I know I know I know but he's you have an amendment so seeing seeing seeing there there no further Amendment debate on the nature of substitute we will now move to the consideration of amendments does anyone seek recognition for an amendment the gentleman from Illinois is so recognized for uh I have an amendment at the desk amendment is at the desk we'll pause while that's distributed
▶ 1:47:25the gentleman from Texas we have to report it first yeah okay hang on just just a moment we need to report the bill
▶ 1:47:55clerk will report the amendment an amendment to the amendment in the nature of a substitute to hr1 1602 offered by Mr Caston of Illinois without objection the re amendment is dispensed with Mr Texas I mean Mr Williams of Texas Mr Texas is just he is Mr Texas you can get a great car loan from Texas Mr chairman I raise a point of order on the amendment a point of order has been reserved the gentleman is gentleman from Illinois author of the
▶ 1:48:26amendment Mr caston's recognized for five minutes in support of his Amendment thank you Mr chairman um as I noted in my remarks a moment ago while I appreciate um the privacy concerns being raised by Mr Davidson and support the underlying Bill text I want to point out that his Amendment fails to acknowledge that we have just witnessed just weeks ago the biggest hack of sensitive government data in our history um and it was not carried out by a hostile foreign actor at least to the best of my knowledge it was carried
▶ 1:48:56out by Elon Musk and uh in the department of government efficiency uh and his minions um what they did was they gained access to the treasury's sensitive Payment Systems which handles over 5 trillion dollar of payments and includes all sorts of sensitive personal and business data about Americans includes data about payments we make to people who are embedded within our adversaries overseas um and providing us with critical intelligence
▶ 1:49:26information this information was initially blocked by the Department of Treasury and secretary P bassent fired that individual rather than addressing his concerns leaving us in a situation where we do not know who had access to that data whether they had read or write privileges whether those people had been appropriately vetted whether that information was taken on secure devices or insecure devices that might make those individuals targets of our foreign adversaries where that data is now who it is being
▶ 1:49:56shared with and my God if we compare care about the Fourth Amendment we should be screaming from the rooftops as some of us are this amendment simply ensures consistent with the spirit of the underlying bill that we also get information about this access to the treasury's payment systems so that we can make sure that we are promoting privacy and protecting American citizens rights to that privacy even when the violations are committ Ed by Republicans what this bill does it says that we need
▶ 1:50:26an this amendment does it says we need an identification of all the people who were given access to the treasury payment system we need to know whether those people were able to modify the treasury payment system and if so did they we need to know whether they copied the data we need to know who they were who they have shared the data with um we need to know whether those people who were given that data had previously been given the appropriate background checks cyber security screening requirements ultimately so that we can find out how much damage was
▶ 1:50:56done and how do we cauterize this wound as soon as possible data moves quickly it is running around the world we don't know where it is this is this is not being hyperbolic this is not being partisan this is saying if we care about protecting Americans data if we care about protecting Americans right to privacy if we care about the Fourth Amendment we have to include this encourage my colleagues to support and I yield back gentleman from Illinois
▶ 1:51:29back does the gentleman insist on his point of order Mr chairman I withdraw my point of order gentleman withdraws it uh who seeks recognition Mr muser gentleman from Pennsylvania has recognized the strike the last word to discuss Mr Caston Amendment well thank you Mr chairman um the financial Privacy Act is a bipartisan
▶ 1:52:00initiative and uh to understand treasury's data collection through the bank secrecy act Mr Davidson and Mr Hees have done important work to protect our civil liberties and this legislation deserves unanimous support today this amendment on the other hand is in fact a political stun resulting from the minorities what seems like obsession with Elon Musk it has no place in this debate uh although we are disappointed but not surprised that my colleague wants to politicize a bipartisan bill in this manner urge my colleagues to reject
▶ 1:52:30it I back Mr M muser yields back does anyone else seek recognition on the Caston Amendment the gentleman from californ has recognized the strike the last word thank you Mr chair I I speak in support of the amendment I want to thank Mr Casten for introducing it uh I think on either side of this aisle we should be concerned uh we should be concerned about governmental overreach particularly where individuals may have partisan motives or personal financial motives we're talking about an
▶ 1:53:00individual who is Contracting the United States government to the tune through his companies tune of tens of billions of dollars uh musk and his doge minions are not accountable to anybody on this committee not to Congress and is actively attempting an every way to undermine article one mandates of our Constitution with regard to the appropriation power of this Congress uh it certainly should be of concern to
▶ 1:53:30members on both sides of the aisle uh how the personal financial data of millions of Americans including Americans who are serving us Broad and very sensitive situations who may be very vulnerable if this information were to leak or be provided in any way to our ad adversaries uh intentionally or unintentionally uh this amendment does nothing to sanction musk it does not
▶ 1:54:00attempt to take any political position it merely merely calls to identify how this is being done and who is doing it and that is information that should be of great interest to everyone here in this body thank you I yield gentleman yield with the gentleman yeld thank you I appreciate Gman from California yields some time to the Gman from Illinois I appreciate your comments and I want to just note in response to Mr Muer
▶ 1:54:31I would note that you did not object to the substance of the legislation you objected that it was partisan and I would simply ask if it is partisan for Congress to do oversight if it is partisan to say that we are going to raise concerns about hacks on personal data when they are committed by people we voted for that is a problem with our politics it is not a problem with the Amendments the eyes of History are on us of whether we truly care
▶ 1:55:01we have different policy views that's fine I defend your right to have policy views that oppose mine much as I am sure you do mine but our ability to express those differing policy views depends on the preservation of democracy it depends on making sure that the American people trust that all of us will ultimately at the end of the day defend this institution Above All Else defend this constitution above all else and I I agree with you that that defense is
▶ 1:55:32partisan in this moment I wish it wasn't but I agree what I would ask is that we stand up to defend it in spite of it being partisan thank you and I yield back to the gentleman from California gentleman yield I do it's the gentleman from California's time Mr musers I I do not yield to the the gentleman the gentleman from California yields back to the chair the gentleman from Ohio Mr Davidson's recognized to strike the last word
▶ 1:56:02uh I think the chairman and I wanted to speak on Mr caston's Amendment and uh we I'm glad to see many of our colleagues share a concern for privacy um but I want to address some of the fallacies that are in the base Amendment and some of the words that have been spoken uh in support of the amendment but but really conflating the purpose the purpose of this uh proposal from Mr Casten is to surveil what employees of the federal government
▶ 1:56:33are doing with the federal government's data the money that they're paying contractors frankly Congress worked with the administration to create an office in treasury to pay others and when they pay others we we actually wanted them to surveil U the payments and say hey if there's an improper payment that's going to be made please turn it off and some of the news that we've heard from doge is that it seems that these employees have turned
▶ 1:57:03off nothing I think that would be an interesting piece of legislation I'd love to work with Mr Caston on a piece of legislation saying what exactly has this office been doing and what's valid or not valid about Doge and we should be clear while we refer to it as Doge they are not accountable they are in fact accountable they're the actual employees that have access to Treasury System data database are employees of the United States government they're part of the US digital service
▶ 1:57:33they report up through the Office of Management and budget om's director Russ vote was confirmed by the United States Senate in all of the things that they find are reported through that chain of command and action is only taken by the Senate confirmed Secretary of the Treasury so do believe there's an appropriate oversight for that and frankly soon the Secretary of Treasury will come and uh colleagues will be able to ask him what are you doing to hold your government employees
▶ 1:58:03accountable for and that's why we have hearings but we shouldn't be confused this isn't private citizens data this is what they're doing with the money that our government took from them with taxes who did they pay why did you give the Taliban millions of dollars of cash for how long did you do this and shouldn't somebody have turned it off seriously we're not supposed to be doing that why did you violate repeatedly with uh payments in Africa
▶ 1:58:33the Helm's amendment that says we're not going to fund abortion with us tax dollars that's a law but that's been happening and these offices should do that that's US taxpayer money but it's government employees that are spending it this isn't private citizen data so it's a fallacy after fallacy after fallacy behind the amendment now if we actually want to look at this part of Treasury that's certainly within the jurisdiction of our committee but I think it's clearly a different piece of
▶ 1:59:04legislation and it shouldn't be conflated with trying to hold fence in accountable for what do you do with all this data that you collect they're different purposes and this amendment really has no place being attached to the financial Privacy Act uh it really isn't dealing with private citizens so of course we should be able to know what government employees are doing you want the government to be secret and the citizens data to be corrupted if you're opposed you know to what the
▶ 1:59:34oversight of uh of of how we're spending our dollars I I think that's a problem and so but I'd love to work with Mr Casten on overseeing this little component of Treasury and see has it really been effective or not and uh that might might be a different piece of legislation we work on it certainly isn't this Amendment and I'd yield to the chairman appreciate my friend from Ohio yielding I just would add that I agree complete with completely with him that uh this committee has oversight of the Treasury Department and Mr muser
▶ 2:00:05of Pennsylvania is our oversight chair and that certainly I think it's the view of the Congress that cabinet officers are responsible for all the actions in their departments and they'll be held account for the actions taken by their department and I would uh yield some time to Mr Muer if if he needs it well well thank you chairman yeah and I just want to Echo certainly what you stated as well as Mr Davidson uh there is appropriate allocation of authority here and responsibility
▶ 2:00:36the uh Department of government efficiency well might be working too efficiently for many uh however those are directives of the elected president of the United States uh that they serve that they work serve at the pled me of and the recommendations go to the secretaries of the Departments that we have that all committees have oversight over speak with the secretary of Department of Transportation or Commerce or state they make
▶ 2:01:06the call uh as as our Democrat Republic Mr David time is back Mr Davidson's time is expired I appreciate that who seeks recognition Mrs batty of Ohio's recognized to strike the last word move to strike the last Last Words General woman's recognized for five minutes thank you so much uh Mr chairman and I certainly support the amendment that Mr Casten of Illinois has offered and I'd like to extend him some of my time if he'd
▶ 2:01:36like to uh have that time thank you Miss batty you're welcome I appreciate the chance I want to respond to what Mr Davidson said which was interesting I agree with some of it I disagree with some of it it also has absolutely no bearing on the underlying Amendment let's clarify do we believe that we should make sure that there is no waste Fraud and Abuse in the US absolutely are we therefore concerned that one of the first acts that Donald Trump did was to file the inspectors General and the whistleblowers who are directed by
▶ 2:02:06Congress to root out waste Fen abuse to make sure that individuals when they see waste Fraud and Abuse happening have someone that they can refer to that's how you root out waste Fraud and Abuse that is the way that Congress has directed The agencies to root out waste Fraud and Abuse those people were fired Mr Davidson said this is just about surveilling bad contractors well I would point out that the treasury payment system controls payments to everyone we can pick on contractors you don't like we can pick on contracts you don't like
▶ 2:02:36but every single Americans information is in there I would ask my colleagues across the aisle I suspect you give money to some Charities that we as Democrats may not support would you like a Democratic president unencumbered by any oversight from the attorney general un encumbered by any oversight from inspectors general or whistleblowers to decide that they would like to go after you personally because you gave to a charity that opposes their interests would you as an American like it if your bank routing data if your
▶ 2:03:07social security number was now being held by someone who had never been vetted would you have concerns if the the the Patriots the public servants working inside the treasury said what you're doing secretary bassent I this is bad we don't want to allow you to do this we are not going to allow these people who have not been vetted who have not been through security clearance who we don't know if they have have conflicts of interest they should not have access to that data and secretary bassent said I got a solution I'm going to fire
▶ 2:03:37you and put someone in who will be more conducive to getting this done because in the face of patriotism I'm going to pound it into the sand and just get a Yes Man in place do we care about all that would you care about it if it was the other way around because that's how you increase waste Fraud and Abuse should we care that Elon Musk who as Mr Lardo has pointed out has massive contracts with the United States government he also as long as we defend
▶ 2:04:07capitalism has competition and yet now he can get access to who his competitors are can potentially mess up some of their Contracting Pathways do we care about that you're going to frame this as this silliness about well I think I saw something on some garbage News Network about condoms to Gaza or violations of the Helmsman that's not what this is about my God we have received more calls from our office on this issue than any topic
▶ 2:04:37since I have been elected I know you have as well I know that's why you all got the direction to stop doing Town Halls because the American people are pissed off about this you want to do a town hall again you want to feel the love of the people again then do what they're asking you to do make sure we don't have conflicts of interest make sure that we protect against waste Fraud and Abuse and make sure that we stand up to an executive branch because as I said in one of my opening remarks here a while ago the Constitution is pretty clear
▶ 2:05:08the legislative branch does the legislating the executive branch executes those laws and when they don't the legislative branch does the oversight it's nice for you to say that these people are accountable to us but last time I checked yall blocked our ability to subpoena Elon Musk and ask him what the hell he was doing in that system we on this committee have the ability to compel secretary bassent to say why did you fire Mr
▶ 2:05:38LEC who did you allow into that system did you give them read or write access because you reported it one way and you changed your tune the next day who has that access now if we don't want to legislate and if we don't want to do oversight what the hell is the purpose of Congress that's what this vote is about this isn't partisan talking points
▶ 2:06:10God yield back I I guess just before yielding I'd ask the chairman whether you'd be willing to hold a hearing with the Doge team Andor secretary bassent on this issue I'll take that under consideration the gentlewoman's time has expired the gentleman from Kentucky is recognized move to stri the last word I I uh respect my friend from Illinois and I I I sh I share his view that government agencies and their contractors should be accountable to the American taxpayer I think
▶ 2:06:41however the hysteria and the speculation about conflicts of interest and violations of privacy uh are wild accusations without evidence I I have yet to hear any of my colleagues um my friend from Illinois or others actually um allege with specificity with concrete facts any any actual allegation that or any facts any evidence that Mr musk or his team
▶ 2:07:11is actually commandeering Private Financial information or data from the American people and using it for commercial purposes or in any way whatsoever uh contrary to the public interest and the interest of taxpayers if they have that evidence if they have those facts bring them to the committee but wild speculation without evidence or facts doesn't really grab my attention what is important is the legal
▶ 2:07:42Authority that Mr musk as the analog of a management consulting firm the legal Authority that he in fact does have to do what he's doing to bring accountability and transparency to government agencies as the American people have elected Donald Trump to bring to these agencies this was some commentary I'll share for the record and I agree with this commentary and Analysis of Mr musk and the Doge Authority
▶ 2:08:13legal Authority quote a common charge against musk is that he's unelected nobody voted for Elon Musk the progressive publication Mother Jones huffed well yes but no one voted for any other Trump adviser either the president is elected to run the executive branch and then relies on Myriad people in different positions with varying degrees of power and influence none of whom are elected to do it that is in fact the
▶ 2:08:43nature of the Executive Branch the unified executive is allowed to appoint advisers some of them are principal officers subject to Senate confirmation others are not this is not an aberration this is standard operating procedure of any executive branch there is a long history of presidents tapping informal advisers to assist them the originally derisive term quote kitchen cabinet dates back to Andrew Jackson in the
▶ 2:09:131930s this has been routine from Democrat administrations to Republican administrations throughout the history of our Republic it's also Rich to complain about Elon musk's unelected status when no one in the vast Federal apparatus that he's grappling with was elected either if you're concerned about unelected people then you should look at the bureaucrats that Elon Musk is interviewing there's a lot
▶ 2:09:43more of them than there are of him unelected bureaucrats the difference is that musk is operating with the approval of a newly elected president and that brings me to my final Point what is the authority that the president has to do this every single one of these decisions on government efficiency every single decision of cutting waste Fraud and Abuse in these agencies every recommendation that comes from an audit
▶ 2:10:14of this information is ultimately given to a politically accountable Senate confirmed leader in these agencies and in the case of Treasury it's Scott bessent if you have a problem with anything that doge is doing in treasury then you have the opportunity as a member of Congress with jurisdiction over the Department of Treasury to exercise oversight over a senate confirmed secretary nothing that's
▶ 2:10:44happening in a treasury is happening without the accountable decision-making of the Secretary of Treasury and you as a member of Congress have the complete authority to exercise oversight over that Department of Treasury secretary so a lot of hysterics a lot of speculation a lot of uh of throwing out of accusations but no facts no evidence and no argument that there is nothing
▶ 2:11:15happening here that hasn't happened in every other Administration under the authorities given by the American people to an elected president and elected or Senate confirmed Secretary of Treasury I yield gentleman from Kentucky yields back seeks recognition he's already been recognized gentleman from Texas I believe I have time left don't tell youman gentleman from Texas seing recognition yeah I I moved to strike the last word and I yield my time to Congressman C the the
▶ 2:11:45gentleman from Texas has recognized the strike L word for five minutes and he has yielded some time to Mr Caston of Illinois I my friend Mr bar and and truly a friend I've always enjoyed your company in our years together um I want to commend you for rigorously demolishing a man let us remind what this bill does because everything you've said has nothing to do with this amendment the bill does not say that we are going to get this data from from the bank secrecy data act from finen
▶ 2:12:16only once we have identified a crime it says we need to get this information because we're concerned that this information is not being provided the amendment does not say there has been a crime it says we are concerned with the lack of supervision and we need to get the data out yall made a lot of stink about defunding the police last term and I would point out that in order to protect against crimes first you need to monitor if you find evidence of a crime then you need to have an investigation and if you
▶ 2:12:46find through that investigation the suggestion of a crime you will go through and you will with appropriate due process prosecution of that crime and yet your argument is that in the absence of finding evidence of a crime we should not Monitor and we should not investigate this isn't hyperbolic this partisan this is saying do we did we get this job because we wanted to do our job or did we get this job to fulfill
▶ 2:13:16a agenda we know the Treasury System was haed we know it was hacked by people who were initially blocked from having access to that data by the acting secretary you don't want even ask why we know that the administration initially said well they only had read access and then on further pressure it was revealed that they actually had access you don't care about that this massive piece of
▶ 2:13:46software that every one of our adversaries would love to get inside and correct upt the code you don't even want to monitor that so again shot down the STW man Kudos dead on the ground murdered him it's not what this amendment is the amendment is saying does Congress do oversight does Congress ask especially
▶ 2:14:17when the Administration has fired the inspector's General and the whistleblowers who we in Congress put in place in order to protect against these abuses if you don't want to do your job that's fine but don't accuse this amendment of doing something it's not just just acknowledge that you don't want to do your job and then we will at least know what we stand for yield back to the gentleman from Texas John from Texas thank you and and um I I move to strike the last word and I yield to uh
▶ 2:14:48larda I gentleman from Texas is yield time I want to thank Mr Gonzalez for yielding uh I you know I I appreciate Mr Wagner's concern about unnecessary hysteria I think we should all agree we want to avoid unnecessary hysteria about conflicts of interests about violations of privacy and the way to avoid hysteria and counter hysteria is to ask questions and to get information something I learned very well as a criminal prosecutor that the way
▶ 2:15:18to get past the emotion is just to ask the question get facts out there allow for inquiry why is this majority so unwilling to ask that question and very sensible questions by the way that are suggested in this amendment from Mr Caston about whether or not individuals who have access have been subjected to cyber security requirements background checks Insider threat screening training requirements ethic requirements that are standard for anyone who have access to
▶ 2:15:48such incredibly sensitive information for millions and millions of Americans why is it we would be unwilling to ask questions about who has access and for what purpose and what are they doing with this information why is it we're unwilling to ask the question and why is it that this Administration is so leery about simply identifying that musk is the person who's directing all this activity that very fact should make us concerned particularly since as Mr
▶ 2:16:18cassen mentioned virtually every inspector General with any responsibility has been fired we should be willing to ask questions I encourage my colleagues on the other side of the aisle to ask those questions before before we are all dealing with the Fallout from the crisis and the Scandal that we know will inevitably result i y back to Mr Gonzalez jlan from Texas yields back is there anyone else seeking recognition
▶ 2:16:48gentleman I mean chairman recognizes s for to strike the last word let me say uh that I support the underlying Bill the financial Privacy Act I don't support uh Mr caston's amendment I urge members to reject it and that's because why he asked some fundamental good oversight questions uh we have an oversight subcommittee and I think chairman bar made excellent comments as did Chairman Davidson that this committee has oversight of the treasury of the Secretary
▶ 2:17:19of Treasury the operations of the treasury Department including their coordination with the Department of government efficiency that work is ongoing that work is important and it will continue but I don't believe Mr caston's amendment is relevant as an amendment to Mr Davidson's fine underlying bill which is fully bipartisan therefore I urge a no vote on Mr caston's Amendment and a yes vote on the underlying Davidson heimes bill and I yield back the balance of my time
▶ 2:17:54the question uh if there's no further debate on Mr caston's Amendment the question now occurs on the amendment offered by the gentleman from Illinois Mr Caston all those in favor shall signify by saying I I all those opposed by saying nay nay in the opinion chair the Nays appear to have it Mr chair uh the uh nay's Habit amendment is not adopted for what purposes the gentan fromont L1 seek recognition request a recorded vote a recording vote has
▶ 2:18:24been requested all those in favor record vote shall raise their hand and be counted sufficient number having raised their hands record vote is so ordered in pursuant to subsection C5 of rule three of the committee rules further proceeding on this amendment are postponed we will now move to consideration of HR 747 the stop Chinese fentol Act of 2025 by Mr bar of Kentucky thank
▶ 2:18:54you Mr chairman I move to strike the last word the the fentel crisis is one of the largest threats to our country and continues to plague our families and neighbors across the United States drug overdoses are the leading cause of death for Americans aged 18 to 45 and fentel is responsible for nearly 70% of these deaths deaths involving synthetic opioid continued to rise in 2022 with
▶ 2:19:2473,8 38 overdose deaths each one of these is a is just a a a terrible tragedy from September of 2023 to August 2024 57,98811 overdose sadly I've met with constituents who
▶ 2:19:55uh have lost loved ones to this epidemic unfortunately this Scourge has spread with the help of our greatest strategic threat the People's Republic of China and the Chinese Communist party in just the past two years the office of foreign asset control or ofac at the treasury Department sanctioned more than 300 targets for drug trafficking we know that China has historically been and remains the primary source of fentanyl in global circulation through the production of precursor chemicals
▶ 2:20:26and Outsourcing final production to cartel Laboratories in Mexico and then exploitation of our open Southern border over the last four years that's why it is Paramount that we not only secure our Southern borders but that this committee passed my legislation that is being considered here today HR 747 the stop Chinese fentanyl Act which passed the house on suspension last Congress my bill amends the fentanyl sanctions act to
▶ 2:20:56expand the definition of foreign opioid trafficker to include certain Chinese entities and government officials who fail to take steps to prevent opioid trafficking subjecting them to sanctions this bill also requires the president to determine whether the heads of the national narcotics Control Commission the ministry of public security the general administration of customs and the national Medical Products administration of the government of the People's Republic of China are also foreign opioid
▶ 2:21:27traffickers we must attack the production of fenyl by targeting the source of the precursors in China Chinese producers of synthetic opioids and opioid precursors and Senior government and Chinese political officials culpability does not end when their precursor products land in Mexico or illegally cross our Southern border we must look at every step of Fels deadly supply chain and hold our adversaries accountable this is a
▶ 2:21:57real thing uh the threat from China is multifaceted but there are entities and persons in China that are literally complicit in poisoning the American people this bill targets the sources of the fentel scourge and I encourage my colleagues to join me once again in a bipartisan way as they did in the last Congress to support this legislation and I yield back gentlemen yields back Is
▶ 2:22:30further comment on this bill seeking recognition cast of Illinois recognized to strike the last word uh thank you i' want to support the bill offered by representative bar HR 747 this bill would amend the fenel sanctions act to alter the definition of foreign opioid trafficker to include certain officials in companies from China that knowingly engage in elicit synthetic opioid trafficking protecting Americans against both Fentanyl and the precursors to
▶ 2:23:00Fentanyl and similar synthetic opioids is of the utmost importance um but but I just want to raise the consistent point that I've noted here I agree with Mr bar that we need to look at every step of fentanyl's supply chain but that also means that we don't sit silent when when the White House is defunding those groups that are actually monitoring that if these if these sanctions are going to be effective number one you have to have a strong dollar That Remains the world's Global Reserve currency um not a dollar
▶ 2:23:30that is choosing to I don't know borrow a ton of money to create some cryptocurrency Reserve because somebody didn't understand t- sheet accounting um not to engage in what the Wall Street Journal has called the dumbest trade War ever um that is tanking the US economy um I would just point out that it's hard for sanctions to have bite imposed by the United States if the Yan becomes the world's Reserve currency I'd also note that economic and trade sanctions don't matter without enforcement
▶ 2:24:01um we have to recognize who's behind the shell companies that these Bad actors use to evade sanctions and yet apparently it's become political to know who's behind those shell companies um without the corporate transparency act which Trump and Congressional Republicans are gutting it's real easy to evade sanctions trust me as a as a guy who I used to joke that uh in my last life that I was a CEO of 30 different llc's but I could only name three of them off the top of my head it's it's easy to hide the disclosure in these entities
▶ 2:24:32um and yet gutting the corporate transparency act would make it impossible to pierce that corporate veil and find out who these Bad actors are we also need to make sure that we fund our Port operators all of our transportation agencies because after all most of these prec precursor chemicals from China are coming in through cargo from China that's got to be inspected in our ports I'm all for having sanctions but if you don't know the crimes being committed because you don't have the cop sitting there monitoring where it's coming in how do you know who to
▶ 2:25:03sanction so I support the bill that as I've said consistently today we got to make sure to fund the police and we got to make sure to stand up for the underlying principles in this in this bill to shut down the entire fentanyl chain even when that's politically uncomfortable yield back gentleman yels back anyone seeking recognition chair recognized himself to strike the last word I want to commend my good friend chairman Andy Bar of Kentucky for his good work on this critical legislation
▶ 2:25:33it's an important step in combating fentol crisis that continues to devastate our American communities this has been an incredible issue that the Congress has tackled on a bipartisan basis and I'm so pleased to see the also aggressive actions from the Trump Administration to fight fentol through the use of uh persuading our friends in Canada and Mexico you've got to help us coordinate in this fight on the border
▶ 2:26:04and I'm so grateful for his success in achieving that step you know when I was a a kid I never uh knew someone when I was in high school and college that died of a drug overdose and yet my kids who are now 28 and 25 when they were in high school and college uh I think I'm up to six funerals that they went to either an overdose that went wrong on something that no one expected that might have had
▶ 2:26:34fentanyl in it or they took their own life as a result of of drug addiction and this is a real curse on our our society and China Remains the primary manufacturer financer and distributor and transporter of the chemical precursors that are used to synthesize fentol and other synthetic opioids just the bottom line comes into Mexico comes directly into the US even through the mail Senator cotton and I passed a a bill back in 2018
▶ 2:27:04to give the Postal Service more scrutiny of inbound precursors and in 2019 the Chinese supposedly banned fentol exports the United States and yet this so-called ban has absolutely not been effective in 201 23 alone drug overdoses once again were the leading cause of death for Americans 18 to 45 with fentol responsible for never 70% of those overdoses in that same age group fentol has claimed more lives
▶ 2:27:34than that of car accidents suicide gun violence and breast cancer this committee is committed to doing our part to doing something about China's leading role in this crisis chairman Bar's bill would hold Chinese entities and the government officials a accountable by imposing sanctions for their role in this asymmetric Warfare against the citizens of the United States I thank Mr bar for his work to stand up to the CCP and find real action in conjunction
▶ 2:28:04with the authorities of the executive branch uh on this matter and I support the bill I urge all my colleagues to vote for it and I yield back the balance of my time there being no further debate on the the amendment in nature of a substitute we'll move to consideration of amendments does anyone seek recognition or an amendment to Mr Bar's
▶ 2:28:35ANS there being no further discussion or amendments to the bill the question now occurs on ordering the bill reported favorably to the house those in favor shall signify by saying I I those opposed shall signify by saying nay in the opinion of the chairs the eyes appear here to have it and the eyes have it for what purpose does the uh gentleman from Kentucky seek recognition I request recorded vot gentlemen request a recorded vote recorded vote has been
▶ 2:29:05requested all those in favor record votes you'll raise their hands uh sufficient number having raised their hands a record vote is so ordered in pursuant to subsection C5 of rule three the committee rules further proceedings on the amendment are postponed we will now move on to consider ation of HR 59 clerk will report the resolution HJ resz
▶ 2:29:3559 disapproving the rule submitted by the Bureau of Consumer Financial Protection relating to overdraft lending very large financial institutions clerk will suspend the re balance of the reading be considered as red chair recognized himself for 5 minutes to strike the last word Mr chairman raise a point of order gentleman from miloi raises a point of order uh I would just note that on a bill that that would so dramatically raise costs on on the cost
▶ 2:30:05of the American taxpayer I would note that a to explain it your your Quorum is not present and I make a point of order that a quorum be present before continuing
▶ 2:30:49the committee will stand in a brief recess while we assemble a
▶ 2:34:48e for
▶ 2:40:18e e
▶ 2:41:48e for
▶ 2:47:17e e
▶ 2:48:05chairman reports that there is a quorum present committee will come to order recognize myself for or five minutes to strike the last word on HJ resz 59 I urge my colleagues to support hjr 59 the resolution to nullify the cfpb's harmful overdraft rule we
▶ 2:48:42are can we can we call the rooll please what point of order Mr
▶ 2:49:14chairman Point pointed border Mr gentleman from New York uh you called the Quorum the Quorum was approved they did not make a timely request can we move on the gentleman had a parliament inquiry requesting a quorum to be present and the best way to satisfy that is to call the role the CLK will call role Mr Lucas present present Mr sessions Mr hazinga mringa
▶ 2:49:45present Mrs Wagner Mr Mr bar Mr Williams Mr emmer Mr Loudermilk pres present Mr Davidson present Mr Rose Mr style Mr Timmons present Mr stutzman present Mr Norman present Mr
▶ 2:50:16Muer present Mrs Kim Donalds here Mr Garbarino present Mr Fitzgerald Mr flood present present Mr Lawler present Miss De La Cruz Mr ogles here Mr nun Mrs mlan present Miss Salazar present Mr Downing here
▶ 2:50:46here Mr heropoulos present Mr Moore present ranking member Waters miss fasz Mr Meeks Mr Scott Mr Lynch Mr Green Mr Cleaver Mr heims Mr Mr Foster present present Mrs
▶ 2:51:20Vargas here Mr God Heimer present Mr Gonzalez present Mr Casten present present Miss Presley Miss here Mr Torres Miss Garcia here here Miss Williams of Georgia Miss Pon Mr Fields Miss
▶ 2:51:58licardo Mr chairman how am I recorded Mr sessions is recorded as not present please change that to present thank you sir present Mr chairman how am I recorded
▶ 2:52:29Miss Velasquez is recorded as present present present Mr Mr chairman how am I recorded Miss Williams of Georgia is recorded as not present present present Miss Wagner is recorded as not
▶ 2:52:59present has any other member entered the chamber and not been recognized clerk will report Mr chairman there are 29 members present 299 members present indicates there's a quorum present to continue our business chair recognized
▶ 2:53:29himself for to strike the last word on 59 I urge my colleagues to support hjr 59 a resolution to nullify the cfpb's harmful overdraft rule last November the American people made clear the Biden administration's handling of the economy was unaccepted acceptable and the country was clearly headed in the wrong direction that's why Senate banking committee chairman Tim Scott and I sent a letter to the financial services Regulators in the Biden Harris Administration and told
▶ 2:53:59them not to issue any more rulemaking so-called midnight rules between that time and the inauguration of the new Administration despite that mandate former director of the cfpb Chopra blazed ahead by issuing five final rules rules four proposed rules and 18 enforcement actions after November 9th 2024 the sheer volume of actions and the rush to issue them highlight the concern
▶ 2:54:30that Republicans on this committee have had and long raised about the potential of willful abuse of power particularly under Democratic administrations at the cfpb the cfpb overdraft rule imposes a government price cap on overdraft products and in very importantly redefines them as credit something that has not happened before and departing from a long-standing understanding of how these Services have traditionally been treated legally and
▶ 2:55:00super from a supervisory point of view as we've learned time and time again federal price regulation does nothing to help consumers in writing the rule the cfpb relied on flawed analysis and failed to include a valid statutorily required cost benefit analysis that would have have highlighted the direct negative impact on financially vulnerable consumers the very citizens and families that the rule was supposed to protect moreover The Proposal
▶ 2:55:30completely ignores changes that we've been seeing through competition among financial institutions and fexs regarding deposit Services deposit structure and overdraft fees in order to attract customers many financial institutions have created new products and have reduced overd these with several large banks in eliminating them allog together there have been significant Innovations and how Banks offer overdraft services such as including low balance alerts
▶ 2:56:01mandatory backup accounts and overdraft Grace periods competition and Innovation have helped consumers avoid fees and better manage their financing without limiting an affordable way to access that extra cash that needed and prudently used paychecks perhaps most concerning is the cfpb's reinterpretation of credit in the overdraft rule which disregards how Congress defined Credit in the truth and lending act a definition that's been
▶ 2:56:31consistently relied upon by financial institutions and our Courts for five decades it allowed it to take effect this rule if it allowed to take effect this rule would impose a burdensome disclosure regime that could confuse consumers instead of informing them UL ultimately it may lead to increased costs or the elimination of overdraft protection programs altogether forcing consumers to take out high cost loans miss their mortgage or utility payment or Al together
▶ 2:57:02both options leave consumers worse off staff at the Federal Reserve Bank of New York published a report in 2021 on the effects of price cap on overdraft Services they said quite clearly and quite succinctly overdraft fee caps cause a ration of overdraft credit and inhibit Financial inclusion the benefits of a fee limit come at the cost of more unbanked low-income households fortunately we have the opportunity to advance this legislation that will
▶ 2:57:32prevent these detrimental effects being born by our families a survey conducted last year by morning morning consult revealed a significant majority of Americans value Bank overdraft programs 67% of consumers consider their Bank overdraft protection useful 79% of consumers who have paid an overdraft fee in the past year appreciated having their payment covered rather than a check return 64% of consumers believe it reasonable for banks to charge an overdraft
▶ 2:58:02fee and nearly 72% of these consumers viewed fees as Justified particularly for ensuring timely payment of important bills like mortgages uh to protect consumers from higher interest rates or fees if there's one thing I learned from all my years of being in community banking is how smart consumers are in managing their finances from paycheck to paycheck monthly I also learned that competition gives consumers more choice and we ought to be promoting competition not
▶ 2:58:32federal price controls to protect consumers and ensure Financial access we should pass this resolution to nullify the cfpb's overdraft rule I urge a yes vote and I yield back the balance of my time who seeks recog on HJ res 59 uh the gentleman from Oklahoma Mr Lucas is recognized to strike the last word thank you Mr chairman and I want to speak in favor of chairman Hill's resolution of disapproval but first I would like uh to request unanimous consent to
▶ 2:59:02enter into the record a letter of support of this re resolution from the Oklahoma Bankers Association without objection without objection it'll be included house joint resolution 59 rolls back the cfpb's harmful overdraft lending rule the cfpb's rule is severely misguided in as it seeks to put government price controls over our banks and Credit Unions overdraft protection services provide a needed form of short-term liquidity for customers who opt in
▶ 2:59:33to use the product the cfpb's rule would lead lending institutions to restrict access to overdraft programs limiting consumer choices for folks who have few options for meeting short-term liquidity needs the government should not be making one siiz fits-all approaches to financial products these would harm consumers access to financial flexibility and emergency liquidity I strongly support Mr Hill's resolution
▶ 3:00:03and I urge my colleagues to do the same and with that I yield back chairman the gentleman from Oklahoma yields back who seeks recognition gentleman from Illinois Mr C has recognized the strike the last word thank you Mr chairman um let's just note that we're considering this bill at a time when the Trump Administration is doing everything in their power to shut down the successful and popular Consumer Financial Protection Bureau there was literally no one who was currently supervising and examining the largest banks for Consumer compliance to make sure that they follow
▶ 3:00:34Consumer Financial Protection laws in addition Elon Musk and the department of government efficiency are getting access to sensitive data on millions of consumers and businesses including information that Elon Musk would be able to monetize when he launches payment app um I'm very partial to the quote of Louis brandise the former jurist who in writing a rule that's that substantially made the Sherman Antitrust Act what it is that he said when you have great concentrations of wealth in a society you have three choices you can let the
▶ 3:01:04government take over the wealth which is to embrace communism you can let the wealth take over the government which is to embrace fascism or you can Embrace competition and break up the wealth it's very clear which door the Trump White House has chosen the cfpb is also dropping pending Enforcement cases left and right against multiple Banks Payment Systems the cfpb is not even carrying out processes right now to make sure that money can be distributed to Americans based on cases that have been adjudicated in favor of the
▶ 3:01:34American people that decision is already done and they've gutted the ability of the staff to make sure that Americans Republicans Democrats wigs Federalists would actually get money that they are allowed to receive today today House Republicans are adding insult to injury by advancing this bill to allow big Banks to increase their overdraft fees on 23 million working class families that's why I oppose HR 59 which would undo the cfpb rule that curbs overdraft fees I would curb to $8 who got Banks charging as
▶ 3:02:04much as $35 right now that is what's going on but I want to be very clear there is nothing wrong with businesses trying to make money there's nothing wrong with businesses trying to make as much money as they can and charge as much Revenue as they can but I would point out to you I moving on from Justice brandise Fred Khan who was the head of the civil aviation civil Aeronautics Administration under Ronald Reagan when the airlines were deregulated famously said that the process of deregulation shifts the bur burden
▶ 3:02:34of consumer protection from rate setting to antitrust enforcement and deregulation fails when it does the former and fails to do the ladder the question here is are the banks sufficiently powerful to be monopol ballistic do they have competition and if so should the regulatory role be to set prices or to engage in antitrust enforcements one of those two right um I know the chairwoman this has been an issue that's very important to her had the big Bank CEOs testify before the committee um
▶ 3:03:04several times on these over trft protection issues when Rohit choer was confirmed as a cfbb director he joined in that effort few banks have voluntarily reduced their fees um not all have and and I want to point out this is not a partisan issue according to a recent poll 84% of Americans including 83% of Republicans support limiting overdraft fees only to what the overdraft costs the bank to provide them with no additional profit that's what the cfpb role would do so we need
▶ 3:03:34to get back to making sure that we look out for consumers look out for the American people um I know the chairwoman um has raised concerns with the chairman about making sure that we bring in a hearing with the acting director of the cfpb as the Senate has I understand there's some debate about whether we should bring that in until there's a full-time appointed chairman but we need to have these conversations and my goodness we shouldn't be passing the CRA so I oppose and yield back Jan from Illinois yields back the vice chairman of the full committee the gentleman
▶ 3:04:04from Michigan Mr he heis is recognized to strike the last word thanks chairman Hill and uh I just I just have to say it Mr chairman this is quite Rich um I would note that the past administration and my friends on the other side of the aisle including uh the gentleman from Illinois have pretty much done everything they can to strangle competition in the creation of banks you know he's complaining about uh the lack of competition and that's going to be the constraint here uh if
▶ 3:04:35uh if if somehow Rohit Chopra doesn't get his wording uh yet the actions of The Regulators themselves have caused there to be fewer Banks uh which is why a lot of us on this side of the aisle have been talking about denovo Banking and creating new Banks and making sure that we have a fullsome and flourishing banking system from startups to Community Banks to those midsize Regional Banks to those International Banks
▶ 3:05:05which have to have to service our International uh companies and so you know this frankly Mr chairman this rule is an insult to the senses as you had pointed out in your uh in your opening statement on this and um yeah look after president Trump won in November which he won apparently a lot of my colleagues based on what happened last night seemed to forget that uh most Regulators got the message and they stopped their rulemaking they put their
▶ 3:05:35pens down as we would say out here uh but now thankfully former director Chopra couldn't help himself so that's why this disapproval resolution is before our committee today Republicans share a common goal I would hope that's a common goal uh to ensure Financial inclusion as well as financial literacy and awareness but frankly this rule is not going to accom accomplish that and the Democrats know that and let's not fool ourselves this will impact Community Banks uh after losing consumers post
▶ 3:06:06the bank failures of 2023 led by Marty gromberg at the FDIC and a number of others who had a disastrous response to svb and and First Republic and others Community Banks remained at a disadvantage in any rule will lead to a greater consolidation in the banking industry but maybe that is what the Democrats really want fewer Banks and more regulation actions speak louder than words Mr chairman so interestingly enough overdraft is one of the most WID spread yet transparent and competitive products
▶ 3:06:36available in depository banking um they make up only a fraction of consumer complaints though about 2% even though it's widely used and banks are responding proactively without government intervention I might add taking steps to promote transparency in their overdraft products that includes low balance alerts uh Grace periods other Innovative tools to make sure consumers are protected from unnecessary fees and by the way as the
▶ 3:07:06technology improves the banking that is able to be done on on a on a home computer or on your phone frankly is stunning and uh and it's those typ of innovations that have I believe rendered this in many ways uh a moot uh a moot effort by former director Chopra so uh Federal Reserve Bank of New York study concluded that capping overdraft fees in fact hinders Financial inclusion it reduces the availability of low
▶ 3:07:36cost depository accounts and increase and and and will promote an increasing of minimum balance requirements therefore putting traditional banking even further outside uh the reaches of so Banks small medium large uh all over in my home state of Michigan have shared stories of consumers who use uh overdraft strategically to ensure important expenses are paid I know many of my friends on the other side of the aisle and many of us on this side of the aisle have concerns about payday lending so why are you going
▶ 3:08:06to make the use of the banking system even more difficult for these uh families that are struggling um rent utility medical bills uh are are ultimately paid uh when a shortfall exists for them so uh Mr chair I would uh also in my remaining moments like to uh include a letter from the Michigan Bankers Association uh dated uh last March uh into the record uh regarding their concerns about the overdraft
▶ 3:08:37uh um uh lending uh ruling from Mr CH without objection that letter will be included in the record thank you Mr chair and and I just hope that we can uh can realize what this was was uh on the way out the door uh this was a land grab uh this was this was a territory and turf grab and at the end of the day um this was skirting the law skirting certainly what has been traditionally and legally recognized as the boundaries of the cfpb uh all to make a
▶ 3:09:07political statement and uh and and and push a political agenda so with that Mr chairman I yield back gentleman yields back the Gent woman from Oregon is recognized to strike the last word thank you Mr chair I moved to strike the last word General woman's recognized Mr chair my constituents in Oregon are struggling with high costs and inflation and more and more families are living paycheck to paycheck and I I really question um you know why the supporters of this resolution
▶ 3:09:37are trying to increase their fees and and I I can't and won't get behind that I think that it's it's out of touch and so there's a a clear Choice here today are we siding with the American people um and I would say yes it's easy side with the American people because families are working too hard for their money um for big Banks to take $35 from them for overdraft fees and I've always um in the eight years I was in the state
▶ 3:10:07legislature I hated tickets I never gotten a ticket but speeding tickets and red light cameras I always hated them because the tickets were like $100 to $200 and the reason I hated them was not because they had these life they they claimed they have these life- saving qualities but how many hours does it take for an average person to pay that ticket and that's what I'm bringing to you today at the federal minimum wage of 725 an hour for $35
▶ 3:10:38that's nearly five hours of work and that's before taxes my son just got his job as a um as a referee he's 14 and he's just now learning how to manage money and I think I I know he's going to try and do something he's going to have a Playstation subscription a Netflix subscription a a Hulu or whatever you know illicit subscription he's going to get without our permission and I know it's I know it's going to happen because the other three kids have tried it
▶ 3:11:09and so um so I would say that this resolution is not helpful especially as our kids learn how to use the banking system and this committee shouldn't be increasing costs on our families and every American should have the opportunity to participate in our economy and not be on their knees when they do so let's be clear here the current rule isn't putting any unfair burden on our neighborhood Banks our local and small and midsize Banks aren't impacted by this rule it's the big banks with over
▶ 3:11:39billion dollar in Diversified assets so I would urge my colleagues to reconsider and put the American people first first the kids who were getting their first job as a referee um their votes uh matter and um I think their voices matter I strongly oppose this resolution and I support the rule to cap overdraft fees at $5 I yield back to the gentoman yields back the chair now recognizes the uh
▶ 3:12:09our chair of the financial institution subcommittee the gentleman from Kentucky Mr bar for five minutes right the last word uh thank you Mr chairman I move to strike the last word and I want to express my uh support for the Chairman's Congressional review act resolution disapproving of the cfpb's rule on overdraft lending I appreciate chairman Hill's uh terrific leadership on this issue and uh he has been a a leading voice of Common Sense on this issue you know this rulemaking institutes a government price cap which will likely
▶ 3:12:40result in increase prices on checking accounts or uh Americans losing free checking uh and other bank services or institutions eliminating overdraft Services altogether this is concerning as people often rely on overdraft in times of immediate short-term funding needs such as when they're at the grocery store checkout line or Auto paying their mortgage uh and I'd like to ask unanimous consent to enter letters from the following groups into the record uh expressing support
▶ 3:13:10for chairman Hills a resolution of disapproval invalidating the final rule issued by the cfpb regard regarding overdraft protection services without objection they'll be included in the record uh thank you chairman so I want to share a couple of examples that I think really illustrate the point why this resolution is is so needed and why the bureau's rulemaking is a problem uh take the example of a recent anecdote I was told back home there was a retiree in Kentucky living on a fixed pension who said
▶ 3:13:40that quote there are times when unexpected costs arise like medications or home repairs which can throw my budget off balance knowing that the bank will pay my overdrafts gives me peace of mind to know that I won't miss a payment or bounce a check during these times the fees associated with my overdrafts may sound High to some but they are a small price to pay for the security and respect I feel knowing my finances can continue uninterrupted even when I'm running a
▶ 3:14:10little short end quote or take for example uh the anecdote shared by a local credit Union yesterday uh a credit union uh loan officer who was in my office shared uh a story about a member who was carrying a pretty substantial set of balances on payday loans and they worked with that member of that credit union and they were able to help that member extricate herself from these
▶ 3:14:41um uh these payday loans and they helped her to get out of that debt cycle of debt using the overdraft product which was much less expensive than the payday loans themselves further Studies have shown that overdraft fees C fee caps hurt Financial inclusion by reducing access to bank accounts especially for lowincome households now that's a real problem I mean if if this whole regulation is going to
▶ 3:15:11uh Force Americans out of the banking system that's a big problem or lose for each checking for example so instead of limiting the ability of banks to offer overdraft we should allow market demand to incentiv incentivize Banks to offer products that fit the needs of their customers finally this is an important Point customers must opt in to overdraft programs following the receipt of a consumer tested disclosure this product is not only a clearly disclos disclosed choice but an in- demand product
▶ 3:15:41that is relied on as a safety net consumers if if my Democrat friends who oppos this resolution if they're worried about their constituents who don't want a $35 overdraft then they can inform their constituents that they don't have to they don't have to take this product it's a voluntary product they can decline the product this is a choice and guess what their constituents and my constituents over and over continuously make the choice I
▶ 3:16:11want the product so why are we supporting the bureau's uh junk economics here there are no indications that consumers are confused by the clear cost of overdraft their overdrafting their account before they opt in the bottom line is that they choose to opt in because they find the benefits outweigh the costs it's time to end government overreach allow customers to access financial services and products that fit their needs and incentivize Market forces to drive competition and choice and in my
▶ 3:16:41remaining time I'll make one final Point since I have the time look Chopra is invoking the truth and lending act in in in supporting this regulation Tila is a statute why on Earth would we be supporting a regulation that instead of provides disclosure actually regulates the terms of the product this is a bad regulation it will deny Americans Choice it will deny them access to Affordable uh emergency
▶ 3:17:12liquidity the chairman CRA will fix that and I urge my colleagues on both sides of the aisle to vote in favor of it I yel back gentlemen yels back gent from New York M Vasquez the ranking member on the small business committee has recognized the strike the last word thank you Mr chairman I support uh the over the overdraft uh Rule and I oppose the chairman resolution and I agreed with Mr uh Casten that Republicans are trying to destroy the cfpb because it's working
▶ 3:17:42since its creation the cfbb has returned more than 20 $1 billion to Consumers and let me read a complain file by one of Mr Bar's uh constituent from Kentucky he said he wrote I'm writing to file a complaint against Navy Federal Credit Union regarding multiple overdraft fees I have incurred despite having sufficient funds when
▶ 3:18:12transactions were authorized I was charged fees due to to lack post posting of charges and credits this issue aligns with the recent cfpb findings against Navy Federal for similar practices where transactions settled with insufficient balances despite initially available funds I believe these practices are unfair and request an investigation into my account transactions
▶ 3:18:43more than 10 million consumers have filed complaints with the cfpb including more than 4.6 million about credit reporting more than 83,000 about medical debt collection and more than 96,000 about students loans Republicans campaign on a platform of bringing down costs and fighting for Working Families they have done neither and instead
▶ 3:19:13seek to got an agency that overseas the $18 trillion do consumer lending market and has returned more than $21 billion to Families the cfpb's final rule to limit overdraft fees will save American billions of dollars in fees annually the final rule is expected to add up to $5 billion in annual overdraft fee savings to consumers or 25
▶ 3:19:44225 per household that pays overdraft fees large Banks taking billions of dollars a year from families that can least afford it JP Morgan and Wells Fargo are the biggest offenders it is estimated that Wells Fargo makes $1 billion annually in overdraft fees other Banks like Capital One City and Ally have completely eliminated overdraft
▶ 3:20:14fees while continuing to C overdraft showing that big Banks do not need to charge these fees at all importantly overdraft loans have led to tens of millions of consumers losing access to banking services as well as facing negative credit reporting that has prevented them from opening other accounts in the future the cfpb this institution uh will have done will
▶ 3:20:45have to choose one of the following options were Char when charging for overdraft cap their overdraft fee at $5 under this simple option cover Banks and Credit Unions could simply cap their fee at $5 which is the estimated level at which most Bank could be able to cover their cost associated with administering a Coury overdraft program or cap their fee at an amount that covers
▶ 3:21:15cost and and for banks that wish to offer overdraft as a convenient service rather than as a profit Center the final rule allows financial institution to set their fee at an amount that covers their cost and losses this or disclos the terms of their overdraft loan just like other lanss for financial institution that wish to profit from overdraft lending they may do so by complying
▶ 3:21:45with the standard requ requirements governing other loans like credit cards so what this show is that this will not eliminate credit it provides option to the bank this regulation only applies to Banks and Credit Unions with more than10 billion in asset it is true that many Community Banks and credit unions use overdraft penalties to fund a variety of activities including
▶ 3:22:15originating loans but Community Banks and smaller credit unions are completely Exempted many of these larger institution have already adopted overdraft protections Capital One City and Ally have completely eliminated overdraft fees so for all this reason Mr chairman I am opposed to this um General woman times expired gentlemen uh
▶ 3:22:45from Pennsylvania Mr muser recognized to strike the last word thank you Mr chairman I move to strike the last word I urge my colleagues to support HJ res 59 which overturns the cfpb's overdraft rule at caps fees at $5 uh this situation H res 59 is um littered with unintended consequences shall we say we reduce the cost of a speeding
▶ 3:23:16uh to $5 you will undoubtedly get a lot more speeding not less more accidents more mistakes more hardship more trouble in this realm of things for customers and for the lenders the same logic applies uh here as stated eliminating any Financial deterrent will will encourage riskier spending and leave Community Banks shouldering the cost while the rule claims to exempt Banks under 10 billion dollar in asset
▶ 3:23:47I went over this with Pennsylvania's Community Banks how they felt about this overdraft rule Community Bank has told me that having their larger competitors forced into lowering fees will in turn force them to follow suit in order to compete making the exemption meaningless they put it plainly we would likely be pressured to lower our fees and $5 does not cover the costs another just simply said this is government price fixing many community Bankers
▶ 3:24:17warn that these caps will likely end free checking an invaluable service particularly for low-income customers overdraft Services allow institutions to offer free checking servicefree access to ATMs many more consumer benefits by offering overdraft protection to Consumers who are willing to pay for the service banks are able to supply other services free of charge to Consumers who are unable to pay for General banking services without that cushion Community Banks
▶ 3:24:48often the only financial institutions left in the underserved areas will be forced to cutree Services leaving consumers with fewer more expensive options again unintended consequences before I close I'd like to enter into the record uh stories from Pennsylvania community banks that explain the harm this overdraft will rule will cause if left in place without objection those will be included uh thank you Mr chair chairman uh
▶ 3:25:18is just countless stories of the problems that will be created by overturning of this rule um thank you Mr chairman and uh with that I urge support and I yield back from Pennsylvania yelds back the gentleman from California the ranking member of the task force on monetary policy Mr Vargas is recognized the strike the last word thank you very much Mr chair I moved to strike the last word
▶ 3:25:48thank you Mr chair what what does this rule do the rule generally reduces overdraft fees charged by large depository institutions with more than10 billion in assets from $35 to $5 per again the institution has to have at least $1 billion in assets and then this reduces the transaction fee from $35 to5 though
▶ 3:26:18a large Bank could charge more if their costs were higher or they could disclose the applicable interest rate to the consumer in other words you they could charge whatever they'd like they just have to tell you what the interest rate is they're not setting the rate you could charge anything you'd like the bank can charge anything they like you just have to tell the consumer that's all we're going to charge you interest okay you can do do that but you got to tell them that's what
▶ 3:26:48this does now who's Exempted these Community Banks in fact about 97% of banks are going to be Exempted and all almost all credit unions so when we hear all these things on the other side I mean it's interesting I guess the conversation here and I don't know who the audience is because if you go talk to the consumers the consumers thought when they were voting for president Trump that the that
▶ 3:27:18the cost of goods and the things that they buy and need to have are going to go down not up that's what this rule does I mean it was pretty rich it was said that we were pretty rich about saying St it was pretty rich it says we didn't acknowledge that President Trump won this last election that's pretty rich for people on the other side of the aisle to say when they can't acknowledge still that Biden won the last election of course president Trump won this election we all acknowledge that we also
▶ 3:27:49acknowledge that he ran on lowering the prices for things that people need and use this does the opposite and it is amazing sort of the Twisted logic that you get here that you won't be able to charge anything that you want no you can charge anything you want just tell the consumer what you're charging now if you don't want to tell the consumer what you're charging because you charge so much well yeah then you charge five bucks that's what this does
▶ 3:28:19all this other stuff is sort of Twisted logic and hyperbole I I don't know where it comes from but the banks can still continue to do this in fact again they can charge 10,000% interest they just got to tell the consumer so the consumer knows what getting so again I think this is a very good rule that was prolongated and I have to say one of these Notions that you know it's a sort of midnight rule like the old uh Midnight Judges that they appoint
▶ 3:28:49right it it is but you know what both sides do it it's pretty rich when one side accuses the other because this happens in every administration every time so this is a good rule we shouldn't overturn it it's a bad idea the consumers are not in favor of overturning this rule it's a very good rule that makes sense for consumers and if consumers got to vote on this this would be an easy vote you might get
▶ 3:29:19one guy that didn't understand what the hell he was voting for to vote to overturn it but everybody else wouldn't vote to overturn this because it doesn't say you can't charge fees you can charge whatever you want you just got to tell the consumer and if you don't want to tell them you have to charge five bucks that's all you get to charge because that's what the cost is and I have a few more things but I I won't say them um because
▶ 3:29:49you know I've been here long enough that when we talk about something say would never do this well we we do and we we change our minds all the time the notion that we wouldn't subsidize and then we subsidize we would Li lift the debt limit and we lift the debt limit all these things but with that being said again this is a good consumer protection Rule and it ought to stand and I'm against overturning it with that I yield back Mr chairman gentleman from California yields back the gentleman from Montana
▶ 3:30:20Mr chairman I mov to strike the last word gentleman's recognized for five minutes thank you uh Mr chairman and thank you for leading this resolution which I strongly support uh the Consumer Financial Protection Bureau under director chopra's leadership prioritized scoring political points rather than actually looking out for consumers Chopra continued to impose burdens and regulations on small businesses like uh Community Banks sufficiently considering the costs the overdraft rule was one
▶ 3:30:50of several rules finalized by the direct by director Chopra after after the American people delivered president Trump and the Republican Party a decisive Victory overdraft products allow millions of Americans each year to meet their short-term financial needs rather than being denied at the cash register irresponsible regulation leads to fewer financial services for the consumers who need it the most the Federal Reserve already requires that consumers must opt in to receive overdraft protection services
▶ 3:31:20while being informed of associated fees this is how the market is supposed to work transpar transparency and consistency brings fair pricing for products so do not be fooled by the rule supposed uh carve out for banks with assets under $10 million overdraft fees are decided by the overall Market the government mandated price cap will affect every financial institution and like with any all any
▶ 3:31:50size fits-all regulation the smallest businesses suffer the most financial institutions have to be able to generate profit from the products they offer otherwise they'll not be able to offer them at all irresponsible regulation leads to fewer financial services for those who need it the most after all banks are private businesses not Public Utilities so make no mistake this rule will diminish Financial access ESS limit consumer Choice stifle Innovation and ultimately raise the cost
▶ 3:32:20of banking for all consumers I strongly urge my colleagues to get this resolution to president Trump's desk as quickly as possible to Res to resend this disastrous rule uh thank you Mr chairman I yield my time gentlem from Montana yields back the gentleman from California Mr Lardo is recognized to strike the last word thank you strike thank you you're recognized for five minutes thank you sir uh the rule that our colle colleagues in the majority seek to resend from the Consumer Financial Protection Bureau would provide our
▶ 3:32:5123 million American families almost certainly our least affluent Working Families with relief from about5 billion dollar that our families are paying an overdraft fees we all ran in this last election I would assume on a very simple commitment to do everything we could to reduce the cost of living that is choking our families is there any doubt that if we asked American consumers to vote on this very matter that 95%
▶ 3:33:21or more of Americans would oppose the recision of this rule that is sought by the majority of this committee I appreciate that some of my colleagues have demonstrated tremendous Zeal in extending tax cuts that will deliver a majority of the benefit from those cuts to families making more than $450,000 a year and will cost our children and their children 4 6 trillion in additional debt through tax expenditures where is that Zeal
▶ 3:33:52now in this case we have a different form of tax this is an overdraft fee not imposed for the benefit of the US Treasury but for the benefit of Banks and cfpb's foregone revenue of course will be only felt by those banks with at least $10 billion in assets that is 3% of the bank in the entire system let's not mistake ourselves about who is being protected here
▶ 3:34:22our families suffer while the biggest banks benefit let's also be clear about this process a CRA resolution prevents any future Administration from issuing any subsequent rule uh on overdrafts to protect consumers in the future in this manner unless Congress which As We Know is subjected to the influence in financial sector uh somehow or another authorizes it to do
▶ 3:34:52so this is not the appro right approach if we think there's something wrong with this rule let's change it through statute let's make it clear what Congress stands for rather than using a CRA which prohibits any future Administration from taking necessary measures to protect consumers in the future I yield thank you gentleman for California yields back recognition Cherry recognizes
▶ 3:35:22himself for five minutes in support of uh the resolution let me start with my friend from San Jose California on that point if Congress wants to change it they ought to change change the uh the law rather than you know rejecting this regulatory proposal through a CRA it's an interesting point I'd make the case that if the cfpb wants to suddenly overdraft uh privileges to truth and lending and make it a consumer
▶ 3:35:53loan they should approach Congress and ask for that Authority because that's not the authority that's been given by Congress and in fact for five decades uh the overdraft protection has not been considered in that manner and instead because of the complexity of that calculation it would be more misleading to Consumers make it more difficult for them to make a common sense choice on a weekly basis bi-weekly basis or every once in a while to
▶ 3:36:23pay a fee that's fully transparent and fully disclosed and fully recognized as to what that looks like a fee set by competition vigorous competition across all of our communities from Banks and credit unions and many many non-bank fintech players as well and as the Goman from New York made a key point competition must be working uh because Capital One and City Bank they don't charge overdraft fees for people
▶ 3:36:53in overdraft and as I noted in my opening statement there lots of deposit Services lots of new forms of deposit there's Grace periods there's warning text messages that uh services that consumers can get banks are meeting competition and meeting the demand for their customers so that their customers are not fought uh basically forced off into non- depository institutions products that have been talked about so-called payday lending for example that might have a much higher
▶ 3:37:23fee or cost associated with it so in my view competition is working and choice is working and that's why House Republicans offer this resolution in the name of competition and choice for consumers and I and again I refer to not some house Republican U source of information but that of the nation for the FAL Federal Reserve Bank in New York in 2021 and their effects of a price G on overdraft Services concluded clearly overdraft feaps
▶ 3:37:53will cause the rationing of overdraft credit and inhibit Financial inclusion something that I think members on both sides of the aisle are constantly saying that they're in full support of more access to credit more access to Affordable credit for all uh people all citizens from all works of life and the benefits of a fee limit come at the cost of more unbanked households my friend from Illinois
▶ 3:38:24my good friend from Illinois cited Justice brandise uh on his antitrust analysis it's always a good quote but Justice brandise ends with you know embracing competition and again that's what this measure is all about embracing competition uh Mr heisinger made an incredibly good point we heard yesterday from the national Association of homebuilders witness in our housing hearing which is a lack of competition is being caused by regulatory burden
▶ 3:38:54we don't have Bank startups we don't have more Banks entering the marketplace we don't have more Regional Banks because the cost of Regulation is causing those companies to close merge they can't cope with the cost of Regulation and that is a key point when I started my company in the N late 1990s there were 200 95 banks in Arkansas now 70 they didn't go out of business because there aren't customers we're a growing State they went out of business
▶ 3:39:24because they couldn't cost they couldn't bear the cost of this regulatory burden and we so we want more Community Banks out there competing for those deposit Services I thought that was a very a good point and then finally chairman bar uh made such a good point which is this is an opt-in privilege for uh our consumers out there trying to manage their monthly finances this isn't a ticket you get for running a red light this is an opportunity to manage your money more
▶ 3:39:55sensibly I was an agricultural lender in two of the poorest counties in Arkansas for 15 years many of those people work week to week they get paid in cash they might get might get a a paycheck uh every two weeks a lot of them are seasonal workers when it's raining uh you don't Harvest trees uh when the Harvest is in there are a few months there where people there's not as much work and people use the overdraft protection to help
▶ 3:40:26them manage their credit that's what we've talked about today manage their access it's better to go briefly into overdraft uh with that service from a financial institution then miss a payment on a credit card that kicks to you higher interest rate a much higher fee you miss a mortgage payment you miss a utility payment those have worst consequences for families so I believe so strongly in choice I don't believe in price controls I think you always get less of something you price control and who does that hurt
▶ 3:40:56our Working Families in this country so I urge uh my colleagues to support HJ resz 59 you'll back the balance of my time there being no further debate on the resolution we'll move into consideration of amendments does anyone seek recognition to amend uh HJ res 59 there being no further discussion or amendments to the resolution the question now occurs on ordering the resolution reported
▶ 3:41:27favorably to the house those in favor shall signify by saying I I all those of pay shall signify by saying nay in the opinion share the eyes appear to have it the eyes do have it for what purpose well I think I'll recognize myself and I'll ask for a recorded vote recorded vote is so ordered I'll raise my hand hand it's requested all those in favor of recorded vote raise your hand they have uh sufficient number having raised their hand a recorded vote is so ordered and pursu it to section C5 of rule three the committee rules further proceedings on the resolution
▶ 3:41:57are postponed we'll now move to consideration of HR 1549 the China Financial threat mitigation Act of 2025 sponsored by uh Roger Williams of Texas thank you uh Mr chairman the Chinese economy Finance sector is opaque just a moment Mr Williams the clerk will report the uh the bill is this a
▶ 3:42:28ANS yeah that's what I'm trying to do is it an ANS or is it okay the gentleman cork will report the bill please HR 1549 to require the Secretary of the Treasury to conduct a study and report on the without objection first reading the bills dispense with this bill considered to be read open for Amendment at any point does anybody seek to be recognized Mr Williams of Texas we recognize you to strike the last word to support your Amendment okay thank you
▶ 3:42:58Mr chairman uh the Chinese economy and the finance sector is opaque and it's well known that the CCP engages in currency manipulation and distorting Mr Williams once again I'm sorry chair apologizes to now we'll hear the uh form of the amendment sorry an amendment in the nature of a substitute to HR 1549 offered by Mr Williams of Texas without objection amendment should be considered r as original of Tex for further purposes Amendment the amendment of the nature substitutes already been distributed Mr we you're recognized for
▶ 3:43:30minutes thank you again Mr chairman the Chinese economy and finance sector is opaque and it's well known that CCP engages in currency manipulation and distorting markets to its Advantage Beijing props up state owned Enterprises restricts foreign access while exploiting open economies and weaponizes finance for geopolitical gain these practices threaten American businesses global stability and if unchecked could allow China to coer developing nations manipulate debt markets and shield
▶ 3:44:00itself from its own Reckless policies HR 1549 the China Financial threat mitigation act takes an important step in addressing these concerns by requiring the Department of Treasury to report on the risk coming from the Chinese financial sector along with recommendation on strengthening International cooperation to Monitor and mitigate these risks our top priority should always be to protect our Western values and promote the interests of the United States and my bill is critical step in holding the CCP accountable for their abuse and
▶ 3:44:30of the financial sector so I urge all of my colleagues to support this important piece of legislation and I Yi back the balance of my time are there any members who wish be recognized for further discussion on the amendment in the nature of the move to stri the last word gentleman's recognized uh I support the bill offered by representative Williams and representative gimer hr1 1549 this is a bill that former our colleague representative spanberger had previously LED in the house has passed on the floor
▶ 3:45:00several times specifically this bill would require the treasury secretary to report on risks that China poses to the United States and Global Financial stability and include recommendations that US representatives can take to better mitigate those risks appropriately we've got to work with our partners at the financial stability board international monetary fund World Bank and other institutions to counter the malign influence of the Chinese Communist party but if that's true and if my Republican colleagues agree as they say they do
▶ 3:45:30then why aren't they objecting to the Trump executive order directing plans to leave those same institutions we have preserved peace since World War II because the United States has been the defender of the postor War II order but because we have made sure that we have international financial institutions that use the full strength of the United States and our historic allies not the Allies that we've only had for the last 48 days or so um if that matters we need to defend them because if
▶ 3:46:01the IMF falls apart if the World Bank falls apart if we don't lend our support to those institutions the primary beneficiary of our absence our absence of leadership on the world stage will be China so if we're not willing to do that that we might as well just admit that we're carrying out Chinese foreign policy I hope my Republican colleagues will join us in calling out those withdrawals and uh absolutely support this bill but that alone ain't enough in light of everything else going on in this Capital right now thank you and I yield back
▶ 3:46:31gentleman yields back are there any members who wish be recognized further discussion on the amendment and the nature of the substitute there being no further discussion on the amendment the nature of a substitute the committee will move to consideration of any amendments on substitute
▶ 3:47:02there being no further amendments to the substitute there a request for roll call oh no question now occurs on the adoption of the amendment in the nature of substitute to hr1 1549 all in favor say I I I all oppose no in the opinion of the chair the eyes have it and the amendment in the nature of substitute is agreed to gentleman request a recorded
▶ 3:47:32vote question now occurs on ordering the bill HR 1549 as amendment to be reported to the house all those in favor of reporting the bill shall signify by saying I I all those oppos shall say nay the eyes have it is there a request for record vote there is all those who are in favor of record vote shall raise their hands significance sufficient number of hands have been raised and a roll call vote is hereby ordered further consideration of reporting the bill is hereby postponed we will now move to consider the next bill
▶ 3:48:16go to another one you want to go for
▶ 3:49:52okay Comm will now proceed to consideration of the bill HR 1474 the bill was circulate in advanc and printed copies are available the clerk self designate the bill hr1 1474 to provide for that objection the first reading of the bill is dispensed with and the bill reconsidered as read and open for Amendment at any point
▶ 3:50:25recognize myself the clerk shall designate the amendment in nature of a substitute an amendment in the nature of a substitute to HR objection the amendment shall be considered as read and as original text the purpose of the further Amendment amendment in nature of substitute has already been
▶ 3:52:43for e
▶ 3:53:35recognize myself for five minutes to explain the amendment in the nature of a substitute I'm pleased to be sponsoring HR 1474 with the gentleman from New York Mr Torres this bipartisan legislation is a critical tool for our national security and I'm hopeful it will Garner broad support today on both sides we're experiencing a turning point in the world's openness towards nuclear power the shift is not complete but it has to be backed by regulatory policy changes
▶ 3:54:05and Industrial and Financial Resources but nonetheless the change in sentiment is clear the financial service committee has an important role to play here the World Bank and other multilateral development banks have mistakenly for too long sworn off financing for new nuclear power around the world in my view this is a nonsensical policy that's undermined energy security economic growth and our own National Security here at home in
▶ 3:54:35fact the World Bank has considered a nuclear project uh the last time was 60 years ago hr1 1474 to change this our legislation would require our treasury Representatives at the World Bank the European bank for reconstruction and development and potentially other multilateral Banks to advocate for lifting of their prohibitions on nuclear generation at the same time this legislation takes a proactive step towards actually getting new projects off the ground it
▶ 3:55:05requires the treasury to push for the establishment of a multilateral Bank Trust Fund to provide financial and technical assistance to borrowers who that want to Embrace this safe clean energy source the demand is certainly there according to the international atomic energy agency over 50 countries are working to add nuclear to their energy mix or involved in nuclear planning activities if the mtbs refuse to help we know who will fill this financial vacuum China and Russia
▶ 3:55:35the Chinese are gaining an enormous amount of expertise in the construction having added 34 gaw of nuclear power in Just the past 10 years and the Russians already claimed some 70 nuclear projects at various stages of development in 29 countries last Congress the gentleman from California Mr Vargas noted at a hearing that nuclear energy is going to be financed it's just a question of who does it he was correct we can either be it can either be an organization like the World Bank where the United States is a largest shareholder or it
▶ 3:56:05can be the China Development Bank the Technologies can be American or South Korean or european or they can be Russian that choice in my view is easy Congress therefore has every reason to encourage MDB financing of nuclear energy on a bipartisan basis toward the end of the last Administration the US and two dozen other countries invited multilateral development Banks to consider support for nuclear now our committee can make such a support a reality I look forward to a day when the multilateral development banks are considering
▶ 3:56:35new projects in countries that already enjoy the benefits of nuclear energy than Brazil Mexico the Ukraine but as technology advances small modular reactors we're going to see demand there Rise quickly as well the World Bank and its sister institutions need to be at the table I want to thank my colleagues Mr Torres working for me on this bill and our former chairman Patrick McKenry that was such a strong Advocate I've traveled the world on behalf of the Foreign Affairs committee the intelligence committee
▶ 3:57:06and this committee and I found time and time again our countries want Basel load power they want clean nuclear base Lo power to offset dirtier baseload power energy sources like coal which is the predominant one around the world and they want the XM Bank in the United States they want the multilateral banks to help make that happen they want to buy American and not buy Russian or Chinese from Central Europe to Asia to Africa to Latin America
▶ 3:57:36this is the request this committee can play a key role and I thank my friend Mr Torres for partnering with me on this bill it's he's he has been a voice uh absolutely for common sense when it comes to nuclear power at home and abroad so I encourage all my colleagues to support hr1 1474 and I yield back the balance of time the gentan uh uh from Illinois Mr
▶ 3:58:06cast recognized thank you Mr chairman um I'm a I'm supportive of this legislation I think it's important I think it's strong I do want to point out that I don't know that my view is shared by all of our Democratic colleagues on the committee um there and I and I want to just acknowledge that some of the Democrats do have concerns about um uh risks of proliferation safety waste disposal issues certainly concerns about making sure that any financing addresses safety risks like we saw at Fukushima National Security risks like when the Russians are bombing Ukrainian
▶ 3:58:37nuclear plants um and of course where the waste is stored and whether we are making sure that that doesn't just disproportion flow to disadvantaged communities I respect those concerns but I'm personally in favor of the bill for for two reasons um one I'm pretty sure is shared by by our chairman one may not be the the climate crisis is real we have got to do something about it our planet does not care where the CO2 is emitted it cares that we stop emitting it everywhere and nuclear is a very critical
▶ 3:59:07tool to play to make sure that we can displace coal gas other sources with reliable safe 247 power and nuclear has a role my second reason and I I don't know that the chairman disagrees but I think it's important to understand how we got here and if you'll forgive me um plan a little bit on my 20 years in the energy industry before I got here there's a narrative that nuclear died in the United States because of Three Mile Island and safety concerns and permitting concerns and I want to share with you just a little data
▶ 3:59:37from 1967 to 1977 the United States built about 50 g gwatt that's 50,000 megawatts of nuclear capacity we started at zero we had about 50 gwatt at the end of that decade Three Mile Island happened in 1979 if Three Mile Island was causing the slowdown in nuclear construction or the concern you would have seen a Slowdown in construction in point of fact in the next decade we built another 50 gaw so we built as many in the decade after Three Mile Island as we built in the decade before the
▶ 4:00:07three m Island did nothing to slow down the private sector or Regulators willingness to build nuclear energy 1989 nuclear energy construction comes to a stop and hasn't moved since we've been sitting about 100 gaw of nuclear since what happened in 1989 was that Public Service of New the Public Service of New Hampshire the utility filed for bankruptcy because the New Hampshire utility regulator said I'm not going to allow you to pass all of the cost overruns from the sebr nuclear plant
▶ 4:00:37on De your rate Bays prior to 1989 we had never figured out how to build a nuclear plant on on budget and it didn't matter because under utility law you were allowed to pass all those costs onto your consumers and so the investors were covered when the New Hampshire regulator said you can't do that anymore and Public Service New Hampshire went bankrupt Capital markets said well I don't want to do this anymore the reason why China and Russia and France have continued to build so much nuclear
▶ 4:01:08is because they're not particularly in love capitalism I had a funny conversation one evening uh with with one of our Republican colleagues who we were talking about this stuff and at the end she said she said I'm so surprised to hear that there are Democrats who support nuclear and I said well I'm so surprised to hear that they're Republicans who support socialism because there is no way to build nuclear without a heavy socialist involvement of the state and there's there's nothing wrong with that in the sense that energy regulation
▶ 4:01:38is always a little bit capitalist and a little bit socialist we want to make sure that there's Market forces we also don't want to cut off power from someone just because supply and demand said the price is too high and so it's important for us to have these International institutions that are lowering the cost bringing this forward so that we do have a role for all the reasons the chairman mentioned but I think we do have to be honest about the fact that private markets don't want to build this and that is why we need the government to play a role yeah be happy to Y the chairman yeah I I want to compliment Gentleman
▶ 4:02:09on this cost capture cost point for U states that have um regulated utilities Grand Golf was another one of those in Mississippi in the in the interg footprint in in the Lower Mississippi Valley and you're right I think that was a challenge but today we have the opportunity for the nuclear Regulatory Commission in my view to permit some streamlined uh small module nuclear uh construction models is something I've talked to Dr Foster about I think that would lend itself to lowering
▶ 4:02:39those initial costs and you get obviously a 100 Years of power M yield back yeah and I would and I would just note we've had a lot of these conversations with the Loan program office that I think part of the play with the Loan program office ofing these smrs is if we can through the federal government make sure that those next Plant come in on time around budget then I would assume that 10 years from now the private sector will follow but no one wants to be no one wants to take the first bet and if it takes five years to build something two years to commission it we have to play a role federally to bring that forward before the
▶ 4:03:09private sector will fall gentleman's time has expired the gentleman from Oklahoma's Rec to strike the last chairman just to briefly strike the last word and note that Mr Caston and I spent a lot of time on the science committee along with Dr Foster and that the technological advances in nuclear energy are dramatic and bold yes we have not built any modernly designed or modern plants in decades but we're talking about no longer using water for coolant we're talking about liquid sodium we're talking about modular units that are dramatically smaller and
▶ 4:03:39dramatically more efficient and dramatically safer and to Federal Investments and research dollars along the private sector but we're also investing substantially in not fision but fusion power as Mr Caston knows which is ultimately where we wind up 5 years 50 years 150 years 250 years but that's where we go the mechanics of the Sun and at that point we will need to be able through the tax code and Regulatory issues be able to help Finance what may
▶ 4:04:09well be some expensive plants but plants that power plants that will change the course of human existence God bless technology and the Investments that Congress and the house science committee have made you back jman y's back are there any other the members who wish to be recognized for further discussion on the amendment in nature of a substitute there being no further discussion Amendment of the nature of substitute the committee will now move to consideration of any amendments to substitute for what purposes the gentleman from see recognition strike the last word Gman it's recognized
▶ 4:04:40to strike the last word for or five minutes yeah so I you have you the you have an amendment at the desk yeah Coral report
▶ 4:05:36I believe you've passed out the wrong Amendment this is we're looking for a foster Amendment you've passed out a Caston Amendment
▶ 4:06:12thank you yep all right I believe they
▶ 4:06:42have those distribut call on the clerk to report the amendment an amendment to the amendment in the nature of a substitute to hr1 1474 offered by Mr Foster of Illinois thank you Mr chairman uh Mrs Wagner I reserve a point of order gentoman from St Louis reserves a point of order I now recognize the gentleman from Illinois for five minutes to support his Amendment Dr Foster uh thank you Mr chairman as co-chair of the advanced nuclear caucus I'm offering
▶ 4:07:12this amendment which which I believe is a constructive amendment to ensure that the safety and quality is at the core of any nuclear projects supported by International financial institutions my Amendment simply adds language to section three clarifying that the United States will only advocate for lifting the prohibition on nuclear energy financing for projects that meet or exceed the quality standards of the United States or our Allied Nations Russia and China's dominance of new international nuclear power construction
▶ 4:07:42does not come with the safety security and safeguards in place that American Korean French or other nuclear companies would provide for the International Community we so we must do what we can to ensure that any new projects are held to the high standards of safety that our allies in the free democracies of the world um would adhere to uh these are places where free speech and public input is used to strike the balance between safety and economic considerations the language in my amendment
▶ 4:08:13is simp similar to language that's already present in the bill in section 4 relating to the establishment of nuclear energy assistance trust funds given that the United States cannot unilaterally impose policies at the ifas the ifis and and that votes must be taken to adopt these policies we should clarify that the US position is to support projects that match or exceed the standards that the world the Free World has in place for nuclear projects at their at their homes um without
▶ 4:08:43my my Amendment the current draft does not address these concerns as they relate to the prohibition on nuclear financing but only for the purposes of establishing nuclear assistance trust funds my amendment is straightforward and will address these concerns by clarifying the US will not advocate for financing of projects that do not have adequate safeguards in place uh thank you Mr chairman I encourage my colleagues to support this clarifying Amendment and yield back gentan yields back who seeks recognition Miss Kim of California has recognized this
▶ 4:09:13St the last word thank you chair chairman and I want to thank the gentleman from Illinois for uh his Amendment as we all know Mr Foster brings unique perspective to this issue as one of the few scientists serving in Congress uh this amendment provides clarification so that we focus on removing nuclear prohibitions that restrict the multilateral development Banks support for Western quality standards certainly we do not want Treasury
▶ 4:09:43advocating for the financing of less reliable Technologies while this emphasis is already made explicit under section four of this legislation Mr Foster's Amendment leaves no doubt that it applies equally to section three as well uh this is a common sense Amendment and I'm pleased to support its adoption thank you gentoman y's back who seeks recognition the chair recognizes uh
▶ 4:10:13himself to strike the last word I want to thank the gentleman familiary for his Amendment we all know that Dr Foster brings a unique perspective on this issue as uh someone who understands physics and Science and has long been an advocate for uh the contributions that nuclear Empower can make to the United States and around the world this amendment provides clarification so that we focus on removing nuclear prohibitions that restrict the multilateral development Banks support for Western quality
▶ 4:10:44standards certainly we do not want treasury advocating for the financing of less reliable Technologies while this emphasis is already made explicit under section four of the bill Dr Foster's Amendment leaves no doubt that it applies equally to section three as well it's a common sense Amendment and I'm pleased to support it recommend my colleagues support Dr Foster's proposed amendment to hr1 1474 a y'll back time is there any other member
▶ 4:11:14seeking recognition if there's no uh if not does the gentleman insist on his or the gentle woman insist on her point of order I withdraw question now cures on the amendment by the gentleman from Illinois all those in favor please say I I any opposed say no the opinion of chairs the eyes have it and the amendment is agreed to
▶ 4:11:56for what purpose who seeks recognition for amendment to
▶ 4:13:12e for
▶ 4:14:09look at email e
▶ 4:15:16report purposes gentleman from Illinois could be recomended um Mr chairman with respect to your uh your your respect here we do now have an amendment at the desk you have a creeping Amendment coming to the clerk fastly take one to the clerk please the clerk please clerk will report Mr caston's Amendment
▶ 4:15:46an amendment to the amendment in the nature of a substitute to hr1 1474 offered by Mr Casten of reserved report of order gentoman has reserved a point of order I now recognize the gentleman from Illinois for five minutes in support of his Amendment thank you for your Indulgence Mr chairman uh when chairman McKenry introduced this bill two years ago he talked about the importance of America leading the world in reducing carbon emissions um as you know I strongly agree with that sentiment um and with with
▶ 4:16:16your and my belief that nuclear energy must play a role in that future as I spoke earlier I support the bill uh the underlying text and I offer the amendment in the spirit of supporting America's role and leading the world to reduce carbon emissions from all paths not just picking One winner and so the amendment would add the requirement that the US use its Voice vote and influence at the World Bank to advocate for financing of all zero emission energy sources not just nuclear that includes hydroelectricity solar wind geothermal Marine energy energy storage
▶ 4:16:47and electricity transmission like nuclear energy these can all play a role in alleviating energy poverty while reducing the climate change impacts that are bringing so much misery and disruptions to the exact parts of the world that these Banks seek to assist I also want to note that just as we need to provide Capital to nuclear energy because otherwise it can't compete in a competitive market these clean energy sources are too often held back by uncompetitive markets and I want to share just a quick story with the committee on this when we were in charmal shake at
▶ 4:17:17the conference of the parties three years ago president CCE of Egypt uh expressed a concern to us about the inflation reduction act and his concern was that the inflation reduction Act was causing massive amounts of capital to flow to the United States that had previously flowed to the developing world because there were so many more incentives to invest in clean energy in the United States than in places like Egypt um after a brief and rockus cheer of USA USA USA were delighted to have investments in the United States I noted
▶ 4:17:47to president CeCe that if he reduced corruption in his own country that would increase the flow of capital and I also noted to him that if he stopped subsidizing fossil fuels the economic case for clean energy would be stronger his comment back to us was my my country depends so much on the jobs created by fossil fuel extraction that if I stopped subsidizing them I would have large numbers of unemployed young men the Muslim Brotherhood is a recruiter of those young men and in the interest of National Security I cannot afford to stop
▶ 4:18:17subsidizing fossil energy I share that story because those countries imagine what happens if we're now using the World Bank to lower those costs and make it more competitive it's not just that we lower CO2 emissions it's not just that we give the Egyptian people or other countries in the world access to cheaper energy it's that we provide jobs for precisely those people who would otherwise be displaced in this transmission to the transition to the benefit of all of our national security so I hope the I hope the committee will agree that this is a good
▶ 4:18:48policy from a climate perspective it's a good policy from a US Force multiplier soft power perspective it is also a good policy from a national security perspective um and I yel back geman Ys back uh the chair recognizes the gentlewoman from St Louis the chair of the capital markets subcommittee an Wagner strike the last word yes I thank you Mr chairman I do move to strike the last word I well I appreciate the gentleman's support for the underlying legislation uh I must oppose his Amendment the language
▶ 4:19:18in the underlying bill is the result of of negotiations with the treasury Department including officials from the previous administration it's focus is nuclear energy and prohibitions that currently apply to nuclear financing at the multilateral development Banks a gentleman from Illinois wants to add a provision Inc compensating solar wind and other Technologies but these are not subject to the
▶ 4:19:48same restrictions that nuclear is on the contrary the World Bank is aiming to devote uh 45% of its assistance to uh climate Finance so it already devotes enormous attention to the energy sources listed in the gentleman's Amendment and I therefore believe this amendment is unnecessary Mr chairman and uh unintentionally diverts our attention I think away from the focus of the bill which is a long overdue financing
▶ 4:20:18of nuclear energy at the multilateral development Banks and I urge my colleagues to oppose the amendment and I yield back the balance of my time the gentleman Ys back thank you gentl one for your comments is who seeks recognition on the cast an
▶ 4:20:49amendment who seeks recognition on your Amendment no chair recognizes himself for to strike the last word on the cast amendment I want to thank the gentleman for his uh amendment that attempts attempts to broaden the uh technical assistance associated with this bill but you see this is what already the World Bank and the multi atal banks are focused on the the renewable energy sources that he outlines in his Amendment that's why in my view it's
▶ 4:21:19not necessary what's been neglected by the multilateral Banks and others around the world is the financing of clean nuclear energy to provide Basel load power so I don't believe the gentleman's amendment is necessary also I might add on his good comments on his exchange with president lcce in Egypt uh I would like to uh inform the committee for those who don't know uh that Egypt actually signed a deal with Russia to build seven reactors
▶ 4:21:50uh because no one in the United States bid and there was no financing from the multilateral or the XM Bank to be supportive of a bid this is as reported to our delegation in Cairo I found that very concerning and more concerning is that the Russians which have not as good technology offered to build those seven reactor s for the nation of Egypt and not have the first payment made until the seventh reactor was up and running
▶ 4:22:20think about that from a uh a financing benefit to the nation of Egypt and that's why this bill is actually so important that we do it and I urge people to um not support Mr caston's Amendment but to obviously support the underlying bill before I yield back I want to give a big shout out to Mount St Mary's from Rock Arkansas in the back of the room thanks for visiting the house Financial Services committee we hope this is an inspiring experience that either
▶ 4:22:50you determine you never want to do public service or you think it's the greatest thing ever but we'll give you a round of applause for coming to see us with that who seeks recognition gentlewoman from South Texas recognize the strike last where you're speaking on the cast and Amendment oh no I apologize we're good so uh is there anyone else seeking Rec recognition on on Mr caston's
▶ 4:23:21Amendment Is there further debate on the amendment if not the gentleman uh does gentleman Mrs Wagner do you have your point of order you still have it I withdraw Mr chairman thank you question now she the gentle woman withdraws her point of order the question now occurs in the amendment from Mr Casten all in favor please say I all those no uh oppose say no no any chair the NOS have it and the amendment is not agreed to recorded vote is requested a recorded vote has been requested all those
▶ 4:23:51in favor of record votes you'll raise their hands a sufficient number having raised their hands a roll call vote is now so ordered pursuant to the chair's previous announcement further proceedings on this vote will be postponed are there any other amendments to this substitute it's a pleasure for the chair to recognize the ranking member of the full committee Mrs water has an amendment I have an amendment at the desk Let's uh have it distributed
▶ 4:25:17the clerk will report the clerk will report the amendment an amendment to the amendment in the nature of a substitute to hr1 14474 offered by Miss wers of California thank you is there a point of order reserved on this amendment yes reserve a point of order Mr chairman uh the gentoman from uh Missouri reserves a point of order I now recognize the gentoman from California the ranking member of the full committee Mrs waters for 5 minutes in support of for a minute thank you Mr chairman the World Bank and other multilateral development Banks
▶ 4:25:48those are mdbs use the public resources provided to them by member countries to finance development projects around the world that can transform lives for the better for years these institutions have funded projects that could not otherwise be completed without some Public Funding notably the mdbs have prohibitions against nucular of financing due to the risk of irreversible proliferation catastrophic safety
▶ 4:26:18and Lasting environmental outcomes nevertheless the Chairman's bill would mandate that the US advocate for removing prohibitions against financing nuclear energy projects significantly altering policy at these institutions nucular energy development is very expensive costing tens of billions of dollars and and projects experience frequent cost overruns and delays a recent plant expansion
▶ 4:26:49near Augusta Georgia for example came online seven years late at approximately 35 billion invested nearly triple the initial estimate forcing mdbs to finance such highrisk projects burdens financially constrained client countries increasing the likelihood of debt default and economic instability it also represents a significant opportunity cost when money and time
▶ 4:27:19will be redirected from options like wind and solar generation which are available more quickly and at lower cost further this bill ignores the catastrophic dangers of nuclear power generation the radiation released in the 1986 Chernobyl disaster rendered over 1,000 square miles uninhabitable and displaced hundreds of thousands of people many of whom suffered cancers birth
▶ 4:27:49defects and radiation poisoning Fukushima in 2011 was another Stark warning with an earthquake consuming and reactor meltdowns forcing nearly half a million in Japan to abandon homes and confront the environmental damage expand their nuclear energy especially without mandates for safeguards to prevent such accidents risk the health and safety of millions
▶ 4:28:20of people additionally nucular waste from these plants disproportionately harms disadvantaged communities and contradicts mdbs sustainable development goals spent fuel is radioactive for thousands of years with no viable long-term storage solutions Mr chairman that waste doesn't end up in the backyards of the wealthiest neighborhoods instead as we saw with the illegal dumping
▶ 4:28:50of nuclear waste at the West Lake Landfill in St Louis it is predominantly black and lowincome neighborhoods that are harmed similarly the Navajo Nation has suffered severe Health crisis from uranium Mining and nuclear waste dumping with contaminated water and increased cancer rates we cannot in good conscience advocate for client countries to Bear the burden of storing radioactive
▶ 4:29:20materials especially for what may be shipped in from wealthier Nations the waste also raises grave concerns about nuclear security threats with Global Security already fragile this bill would recklessly add more nuclear materials into circulation increasing the danger of a dirty bomb built from radioactive waste it is for this reason that I've drafted my amendment to set conditions
▶ 4:29:51on Treasury advocacy for nuclear project financing my Amendment would require that the local communities are in the driver's seat when it comes to determine whether vular projects advance in addition any project must have a clear plan for how spent fuel will be stored to to both protect local communities and prevent nuclear weapons proliferation finally to ensure that companies building these nuclear
▶ 4:30:21plants are accountable this amendment ensures that there is a mechanism allowing local citizens to sue the company involved in the project if things go wrong and so I urge members to support this amendment and I yield back the balance of my time ranking member yields back uh who seeks recognition the Goman from Missouri the chairwoman of the Capital Market subcommittee M Wagner has recognized the strike the last word I uh thank
▶ 4:30:51the the chairman and I I do move to strike the last word uh I appreciate uh General lady the ranking member from California's concerns but I I must oppose the gentle lady's Amendment um I consider this really a poison pill that wants to stop the multilateral development B Banks from any nuclear financing the intent is to set up so many roadblocks that the banks are paralyzed and we cannot
▶ 4:31:21let that happen um not in my backyard ISM uh has wrought so much damage here at home and we must not export it abroad another point on the amendment's reference to nuclear waste nuclear waste is a complete red hearing just this morning the Wall Street Journal reported how countries around the world are busy building safe storage sites while the US Rings its hands a country like France
▶ 4:31:51even recycles 96% of its waste into new fuel I have witnessed this uh abroad and a number that is sure to rise for nuclear producers there are some on the other side of the aisle not all but some that that won't be satisfied until the risks of nuclear energy are are absolutely zero and I think this is like refusing to leave the house because of the nonzero likelihood that you could be struck by lightning
▶ 4:32:22uh uh this is is is uh is not normal behavior so why would we ever want the World Bank to adopt it again Mr chairman um I I oppose this amendment I urge my colleagues to vote no and I yield back thank you gentleman woman yields back anyone else seek recognition and support of uh Mrs Waters chair recognized himself for comments on the waters amendment I oppose the ranking members amendment I agree with the gentoman
▶ 4:32:53from Missouri that effectively it sets up a pretext essentially to just kill off clean nuclear financing period in the multilateral banks it would hold nuclear to a higher standard than we hold any other energy source but uh here are the facts when you think about nuclear versus those other sources nuclear is one of the safest sour ources of electricity that we have in the world and that's certainly the case outside the United States when you take into account air pollution and accidents nuclear is actually safer than wind and Hydro power
▶ 4:33:23but do you ever hear anybody rail against uh safety or pollution consequences of solar or wind farms you don't let's remember that nuclear is already a mainstream energy source that each of us enjoys every day without a second thought it accounts for 20% of us electricity and 30% of the world's local carbon electricity Basel load power and of course not to mention that since uh for 65 70 years has powered the US Navy all over the world with
▶ 4:33:53an extraordinary record if their harms from nuclear energy they might have emerged when you turn nuclear off for example Studies have shown that deaths increased when Germany and Japan shut down nuclear power after the Fukushima tsunami because it led to higher heating costs and greater air pollution and I was pleased to visit in Japan and visit the Fukushima site visit with local Regional prefecture government uh and the Japanese government
▶ 4:34:23on it they confirmed that and they also confirmed that they have set a new Target of 20% of nuclear being Basel load power in Japan so I'd like to urge my colleagues to reject the the waters Amendment but continue to support the underlying bill and I yield back the balance of my time time is there anyone else seeking to be recognized on the waters Amendment does the gentle woman continue to support her point of order on the waters amend I I withdraw Mr
▶ 4:34:56uh if not let's see the question now occurs on the waters Amendment all those in favor please say I I any opposed say nay nay in the opinion chair the uh NOS have it and the amendment is not agreed to reest a recorded vote has been requested all those in favor of a recorded vote shall raise their hands the sufficient number of hands having been raised a roll call vote is now ordered pursuant to the chair's previous announcement further proceedings on this vote will be
▶ 4:35:27postponed are there any other amendments to the substitute I have an amendment at the desk the gentleman from California has Amendment at the desk we'll wait for it to be distributed for
▶ 4:36:39okay clerk will report the Amendment an amendment to the amendment in the nature of a substitute to hr1 1474 offered by Mr Sherman of California gentoman from Missouri hi ier a point of order thank Mr gentoman from Missouri reserves a point of order and now recognize the distinguished gentleman from California Mr Sherman for five minutes to explain his Amendment Mr chairman the world cannot generate
▶ 4:37:10its needed power power from perfect sources whether it is coal or oil or nuclear we can argue about which is better or worse and greenhouse gases versus uh nitric oxide Etc um and so we've debated that and there's uh seems to be a a view that when we're dealing with these multinational uh lending agencies that nuclear
▶ 4:37:40power should be eligible to get these loans it has some problems but so does almost every other source of power but there is one unique problem that only nuclear has and that is the risk of nuclear proliferation one nuclear bomb can ruin your whole day uh I am the former chair of the uh foreign affairs subcommittee that dealt with nonproliferation and
▶ 4:38:10we uh want to make sure that when countries have nuclear power that it is not a cover as it is in Iran for a nuclear weapons program and that is why the George W Bush Administration developed the gold standard what we want a country to do to show us that they're looking at their nuclear program for power and not for uh nuclear proliferation and that calls
▶ 4:38:40for them to agree to sign and ratify the additional protocol which is part of the non-proliferation uh treaty and allows the iaea to do the necessary inspections it also uh requires that they agree not to reprocess since reprocessing is a way that they can develop nuclear bomb uh uh fuel so uh we this is not an
▶ 4:39:11attempt to derail nuclear power we know it works because it works for the United Arab Emirates and they're generating nuclear power right now they agreed to this gold standard and if countries are asking us to help Finance their nuclear program the least they could do is assure us that they're not developing nuclear weapons uh it is I think would impress the political scientists
▶ 4:39:41of 1945 that we've come this long while keeping the number of nuclear weapon states to a relatively small number and I hope that we continue to do that uh countries like uh well a host of countries have talked about developing nuclear weapons and uh we should convince them not to do so and we certainly shouldn't Finance uh anything that moves them in that direction so
▶ 4:40:11I have hope to have bipartisan support for this amendment and uh unless somebody has a question to ask me that I could yield to them I will yield back to the chair gentan yelds back gentoman from Missouri I thank the uh the chairman uh and I would strike the last word uh I appreciate my uh my friend Sherman's um uh Amendment but I I must oppose it while I I understand the gentleman's intent uh his Amendment is
▶ 4:40:41is truly not necessary Mr chairman after the adoption of Mr Foster's Amendment earlier today we made perfectly explicitly clear that treasury would be advocating for nuclear technologies that meet or exceed Western standards uh these standards of course include important safety precautions it also is it's also the case that the US is is the largest
▶ 4:41:12shareholder at the World Bank and other multilateral development Banks and treasury will not be supporting projects that pose a nonproliferation risk I am concerned that this amendment would simply serve frankly as an obstacle to Safe nuclear projects by throwing up unnecessary conditions and we've already seen too much of this in the nuclear field for this reason Mr chairman I must will will will leg generally lady yield
▶ 4:41:42I will I will yield briefly but we're trying to move things along Mr Mr Foster's amendment dealt with safety standards Iran is developing a nuclear weapon and they haven't had a safety problem they have a kill America and kill Israel problem and this amendment deals with something entirely different than Foster it deals with preventing countries from safely and carefully developing the weapons to kill millions of people
▶ 4:42:12I suggest we not finance that I yield back I reclaim I reclaim my time and again the language and the underlying Bill let me be very clear is the result of careful negotiations with the treasury Department including officials from the previous administration and its focus is uh is nuclear energy and prohibitions that currently apply to nuclear financing at the multilateral development Banks I am concerned that this amendment would simply serve
▶ 4:42:42as an obstacle to Safe nuclear projects by throwing up unnecessary conditions we've already seen too much of it in the nuclear field and for this reason I will say Mr chairman again um I urge my colleagues to oppose the gentleman's Amendment and I yield back the balance of my time who else seeks a recognition on Mr Amendment the Goman from California or no from from
▶ 4:43:13and general woman California is recognized and she's yielding time to Mr Sherman thank you to say that this bill has gone through Treasury and therefore will not be a nuclear proliferation problem ignores the fact that nobody at treasury is qualified to deal with non nuclear proliferation we leave that to state they're the ones with the expertise to make sure that our tax dollars are not going to help a country develop nuclear
▶ 4:43:43weapons that could kill millions of Americans there is nothing in the underlying bill that prevents that there's nothing in the Foster amendment that prevents that this bill is the work of those who focus on energy and economics and energy and economics are important but so is nonproliferation this is hardly a obstacle uh to a country that wants to develop nuclear weapons for energy
▶ 4:44:13it is an obacle it is an obstacle for a country that wants to develop a nuclear program G lady real a a a a nuclear program as a cover for developing nuclear weapons which is exactly what Iran is doing now and uh I uh uh would hope that the Gent lady from Missouri could briefly address us if uh the G lady from California yeld your time it's gentle lady requesting time yes I Yi to the gentle
▶ 4:44:43lady thank you I appreciate Miss Miss Waters very much for the time I I'd like just to to remind my good friend U Mr Sherman that that we have export controls export controls very explicit export controls on any kind of nuclear technology at all and and let me and let me finish sir and um and and these standards of course include important safety precautions it's it's it is also the case that the US is the largest shareholder at the World Bank
▶ 4:45:14and other multilateral development Banks and treasury will not be supporting projects that pose a nonproliferation risk and we have and we have the export clim my time in place if I yes California the fact that we have export controls does nothing if they decide to go to China or France for the nuclear weapon for the nuclear uh program so the reactor can be designed in Beijing or Paris
▶ 4:45:44safety standards mean it's not going to blow up if they don't want it to blow up nonproliferation means it's a cover for uh uh developing a nuclear program and uh the um I I to to say that a bill constructed by those who want to promote nuclear power for econ economic reasons is not going to lead to millions of unwanted
▶ 4:46:15deaths in the United States or elsewhere because we allow turkey or we allow Iraq uh or we allow Brazil or we allow Argentina to use our money to build nuclear weapons with French technology with Chinese technology and our money to say that this bill will not do that absent these uh limitations uh I I don't think reflects a focus
▶ 4:46:46from a nonproliferation position it may be fine with treasury there's nothing in this bill that wouldn't absolutely freak out the whole nonproliferation community and will ask the gentle lady for reclaiming my time I yield to the gentle lady thank you very much U Miss Waters I I and very briefly and I don't want to belabor the point but but the Foster amendment I really do believe addresses that and it makes it very clear that we are using us Technologies
▶ 4:47:16us technology not Chinese not Iranian not IR not any others it is specifically using us Technologies so I reclaiming my time I yield gentlemen from California whether it's us technology or French technology we build it they use it for electric power and then the next day they stop the iae inspections the next next day they start a breeder reactor program the next day they start reprocessing
▶ 4:47:47and the day after that the world has another nuclear State financed by the international organizations where it's more our money than anyone else lennin said that they'd hang us and we'd give them the Rope on credit hanging is so oldfashioned now now instead of rope to hang a few a few capitalists we're talking about a nuclear weapon that can kill them
▶ 4:48:17by the millions and it'll be American dollars that start off with the energy project with the uh uh with the nuclear weapon I yield back General woman's time has expired does anybody seek recognition chair will recognize himself I want to thank Mr Sherman for his um Amendment he raises a good point Point uh he's been a u devoted opponent to uh nuclear proliferation
▶ 4:48:48particularly in Iran for which I'm certainly grateful since that was became a modestly partisan issue and he always stood Above The Fray on that and was very much in alignment he's also been extremely concerned about both Russia and China's proliferation and influence around the world and as I noted in my remarks a few minutes ago uh we can say whatever we want to but it's China and Russia who are out building nuclear power uh around the
▶ 4:49:18world in the global South and I used Egypt as an example for Mr Casten where Russia is financing seven nuclear power plants meaning seven reactor units for uh Egypt and they don't have to pay for it until the seventh one is up and running so it's very important that we do have multilateral Banks support for clean nuclear energy uh that American Technology French technology South Korean Japanese technology uh
▶ 4:49:48is used because those are the Western high quality standards that Dr Foster was talking about we also when we debate the future of the XM bank here in this Committee in the future I hope we talk about making sure that the XM bank is there to support actual us companies that are exporting this kind of Technology but I would ask my friend from from California with all that said would he be willing to work with the committee staff before this uh measure goes forward
▶ 4:50:18on this issue of nuclear proliferation I'd say to the ranking member and to the gentleman from California this is the first time we've seen this language it was not offered during the McKenry debate in the last Congress and if he would withdraw his amendment We'd be happy to work with him the concept is not you know it's a it's a it's a it's a meaningful Concept in the multilateral but of course we don't control everything in the multilateral as uh as you as you noted and you're concerned that our export controls are those of Japan
▶ 4:50:49or those of the Netherlands or those of South Korea are insufficient I I just don't believe that that uh we would see a multilateral world bank loan to a country of risk but but the gentleman is suggesting it's conceivable it is a it is not maybe a high probability event but it's not zero and I'm asking the gentleman would he consider I uh I'm I'm willing to withdraw the amendment and work with you but I cannot support the underlying legislation until we deal this with this problem
▶ 4:51:19I understand that view completely uh I thank you for the debate and I would invite uh members to work together to see if this issue of this risk could be addressed in some Mrs Wagner thank thank you Mr chairman and um I'm I'm glad we can come to some kind of of resolution on this I think the the the gentleman from from uh from California um and the ranking member um for that and um and I do want to point out that that so much of this language and these agreements
▶ 4:51:49came about not just you know from from from treasury but also from the Biden Administration so this this is something that I do think um M Sherman that we can uh come to some kind of agreement um on and and try and include going forward before perhaps it would come to the floor is the general woman willing to work with the gentleman from California AB absolutely uh you have your Mutual and the gentl and the gentleman withdrawals his Amendment gentleman does withdraw his Amendment okay very good gentleman withdrawals his amendment is there
▶ 4:52:20any other Amendment uh on this uh measure HR uh if there are no other requests the previous question is now ordered in further consideration the bill is postponed we'll now move to consideration of the next bill which is uh hr1 1577
▶ 4:52:51the stop fentol money laundering act which is uh authored by Mr ogal of Tennessee and will be offered I think by the gentoman from Texas the bill was circulated in advance and the clerk shall designate the bill HR 1577 to provide Authority to the Secretary of the Treasury to take special measures against certain entities outside the United States of primary money laundering concern in connection with elicit fent without objection the first reading
▶ 4:53:21the bill is dispensed with and the bill will be considered as read and open for Amendment at any point who seeks to be recognized U Mr chairman gentoman from Texas Miss Del Cruz what what purpose does General L you seek recognition um I for HR 1577 stop fenol money laundering act cork shall designate the amendment in the nature of a substitute an amendment in the nature of a substitute to hr1 1577 offered by Mr ogal
▶ 4:53:51of Tennessee without objection Amendment shall be considered read as original text for the purposes of further Amendment the amendment in nature of a substitute has already been distributed I now recognize the gentlewoman from Texas Mel La Cruz for five minutes to explain the amendment thank you Mr chairman as each member of this committee is painfully aware fentanyl is a poison that is inflicting every Community Across America because fentanyl is so potent 50 times stronger than heroin and
▶ 4:54:21100 times stronger than morphine even a tiny amount can cause a fatal overdose especially if someone is unaware that they are ingesting it the business of fentanyl or of any drug is not possible without financial support and accompanying illicit Financial activities illicit fentanyl trade is a multi-billion dollar industry Chinese money laundering organizations
▶ 4:54:52facilitate the movement of cartel cash from America back to China this is where the funds are used to procure and Export precourse chemicals to Mexico thus continuing the infinite Loop cycle for too long we've watched Mexican drug cartels and their Chinese suppliers flood our communities with deadly fentol killing Americans every single
▶ 4:55:22day and yet we don't we haven't done nearly enough to cut off the financial networks that make this possible hr1 1577 will drastically improve our anti-money laundering system to deter and detect inol trafficking this legislation provides authority to the Secretary of the Treasury treasury to take special measures to thwart money laundering in
▶ 4:55:52connection with illicit Fentanyl and narcotics financing it also Alters suspicious activity reports or SARS to make it easier for law enforcement to identify illegal narcotics trafficking narcotics trafficking is a National money laundering priority yet narcotics trafficking does not have a suspicious activity checkbox on the suspicious activity report the SARS
▶ 4:56:23report this results in inconsistant reporting by financial institutions data capture shortfalls cumbersome SARS queries and government agencies relying on incompetent data when a assessing narcotics trafficking traffickers money methodologies adding a car a Narcotics trafficking checkbox to the fined SARS
▶ 4:56:53will streamline law enforcement investigations in fenol trafficking and the money laundering that it facilitates I want to add that banks are not law enforcement while SARS must be re-examined we must also ensure that we are protecting America's Financial privacy that said the stop fenol money laundering
▶ 4:57:23Act of 2023 is a targeted approach that focuses on real criminal threats going after the foreign financial institutions and transactions enabling fentol trafficking without expanding government surveillance on law abiding Americans I want to be very clear this bill is a critical step in the fight against fenel and it directly
▶ 4:57:53addresses the financial Lifeline of the cartels profiting from this crisis if we are serious about stopping the fentol epidemic we need to follow the money this bill does just that but let's not forget why this crisis is happening in the first place the Biden administration's open border policies have created a freefor all at the southern border allowing cartels
▶ 4:58:24to smuggle in fentol and Rak in massive profits instead of securing the border and enforcing the law the last Administration let drug traffickers run wild HR 1577 is an important step to give us another tool to fight back to choke off the financial networks that make cartel operations possible and to hold those who fund them accountable I'd like to
▶ 4:58:54thank my colleagues first Mr ogles and Mr nun Miss Kim muser and sessions for their support and my Democratic colleague Mr fields for helping lead this bill I urge my colleagues to support the bill hr1 1577 which received unanimous support by 490 last Congress in this committee I yield back gentle lady yields
▶ 4:59:24back uh are there any other members who wish to be recognized for further discussion on the amendment chair recognizes the ranking member Miss Waters distract the last word you're recognized I support the bill offered by representative ogal uh hr5 1577 this bill seeks to address drug trafficking concerns by directing the financial crimes enforcement Network that is finen conduct an analysis on potential illicit ventino and narcotics financing
▶ 4:59:55targets and to issue an updated advisory on trade based money laundering I appreciate too that the bill incorporates my own provision a government accountability office study that will gather lessons learned from previous drug crisis while I'm pleased that Congress has by partisan focus on the fento crisis there wasn't the same concern when the crack cocaine decimated black communities
▶ 5:00:26all across the country I've long been concerned that we didn't fully appreciate the generational effects of Prior drug epidemics thank you Mr ogles for agreeing that it is important to understand prior drug crisis and the Financial Health and socioeconomic effects they had on the victims by looking at the at how the transnational criminal organizations targeted individuals and communities
▶ 5:00:56over the decades we may learn more today about how to combat the influx and effects of illegal illicit drugs tomorrow so I thank you and I yield back ranking member yields back are are there any other members who wish to be recognized for further discussion none Madam chair can't see yes gentleman's recognized thank you ma'am uh just want to applaud the the efforts with this legislation and
▶ 5:01:26of course representative Del Cruz represents Texas but this is more than than obviously just a Texas problem we know most of these drugs have come across the border uh our Southern border with Mexico but it has essentially made all of our states including my home state of North Carolina a border state the numbers of deaths hospitalizations uh due to fentel the small amounts that can take a life so quickly uh are something that I don't know that we've ever seen before uh at our state back in my old job in
▶ 5:01:56the state we invested a lot of resources in naram getting that distributed and other preventive type measures but the constant frustration all had to do with the flow and the supply of this this terrible heinous drug that was coming across the border and and killing so many innocent Americans it is uh so I think this is part of the broader of the broader acts and I support president Trump and finally closing this this illicit flow coming across our Southern
▶ 5:02:26border this is another step in the toolbox to really reain this in uh we know like anything else drugs are are are driven by the price by their their cheap uh manufacturing the cost that they can be sold for and in this case particularly fentel folks ingested not realizing uh Madam chair what they are what they are taking and so that's what makes it sometimes even more dangerous than perhaps other drugs that that we've ever seen before
▶ 5:02:57but along with protecting our border uh making sure that we continue the border wall that we support law enforcements efforts this is a key way to deal with the money laundering aspect for that elic FL funds while at the same time carefully balancing the the Privacy protections that every American expects so I just wanted to lend my support to this great Bill actually proud to be one of the co-sponsors signing on to it and urge the committee's adoption without that a
▶ 5:03:27back I thank the gentleman from North Carolina Mr Moore for his comments and the gentlemen yields back are there any other gentle lady from Ohio Miss batty my good friend is recognized for five minutes uh thank you move to strike the last word gentle ladies recognized I'd like to just uh take this moment to Echo ranking member Waters in noting the importance of the provisions requiring a GAO study on lessons learned from previous
▶ 5:03:58drugs crisis and I certainly appreciate the bipartisan concern about the fentel outbreak but let's not forget that there was not the same kind of bipartisan outrage over the scores of crack cocaine and we know for many years we have argued the disparities and what happens uh with people with different drugs and what happens with crack cocaine so I think the rank I want to thank the ranking member uh for her provision uh which is Incorporated in this
▶ 5:04:28bill and I yield back gentle lady from Ohio yields back is there anyone else who likes to be would like to be recognized otherwise I will recognize myself for five minutes um I want to thank uh the gentle lady Miss Dela Cruz for introducing this piece of legislation on behalf of the gentleman from Tennessee Mr ogles and for their work on this legislation um and this great strong bipartisan work as Miss batty has um uh has referenced here today
▶ 5:04:58Chinese syndicates and Mexican transnational crime organizations are deeply rooted in the proliferation of illicit fentanyl this extends to the laundering of it proceeds both through the United States and Global Financial systems the illicit fentanyl trade is a multi-billion dollar industry and it is largely this partnership between Chinese money launderers and Mexican drug cartels that has allowed fentanyl to become
▶ 5:05:28the crisis that it is today killing and and stopping the life of a majority of Americans between the ages of 18 and 34 4 years old uh this legislation enables the treasury Department to use its its special measure authorities to Target uh and disrupt the money laundering operations that support fentanyl trafficking in foreign jurisdictions these special measures can have a severe impact on foreign banks that engage
▶ 5:05:58in illicit Finance while sending a clear message that the US will not tolerate fentanyl proceeds exploiting the financial system Mr Ogle l islation will also require finsen to update its guidance to financial institutions to better detect Chinese illicit financing and including uh through uh through trade-based moneya laundering and I urge my colleague to support this bill and I want to uh thank my colleagues on both
▶ 5:06:28sides of the aisle uh for their efforts and I yield back are there any other members who seek to be recognized there're being no further discussions on the amendment in the nature of a substitute the committee will move to cons consideration of any amendments to the substitute are there any amendments it's here there being no amendments to the
▶ 5:06:59substitute the previous question is now ordered nope there no requests the question now occurs pardon me on the adoption of the am amendment in the nature of a substitute to HR 202 uh 1577 all those in favor say I I all those opposed say no in the opinion of the chair the eyes have it and the amendment in the nature of the subtitute is agreed to the question now occurs
▶ 5:07:29on ordering the the bill 1577 as amended to be reported to the house all those in favor of reporting the bill shall signify by saying I I all those opposed nay and the eyes have it is there a request for a vote request for recorded vote Mr lder Milk requests a recorded vote so all those who are in favor of record of vote shall raise their hands a sufficient number of hands
▶ 5:07:59have been raised and a roll call vote is hereby ordered further consideration on reporting the bill is hereby postponed and we will now move um to consider the next billah the committee will now proceed to consideration of the bill hr1450 the bill was circulated in advance and printed copies are available the clerk
▶ 5:08:29shall designate the bill hr1450 to require the office of foreign assets control to develop a program under which private sector firms May receive a license to conduct nominal finan without objection the first reading of the bill is dispensed with and the bill will be considered as read and open for Amendment at this point does anyone seek recogn uh recognition G lady from Ohio Miss batty what purposes does the G lady seek
▶ 5:09:00recognition I'd like to strike the last word I think there's an amendment oh I have an amendment at the no this is actually the bill it's my bill bill oh my my apologies Miss BTY the gentle lady is um is uh recognized her five minutes to speak on the underlying Bill thank you thank you madam chairman hr1450 of the ofac lenser for investigators
▶ 5:09:31act seeks to enhance the tools at our disposal to investigate sanction people and entities and to hold Bad actors accountable my colleague Congressman nun from o from Iowa is joining me in leading this bipartisan bill this bill requires the Secretary of Treasury to develop a special licensing pilot program within the office of terrorism and financial intelligence and administered by the office of foreign
▶ 5:10:01asset controls ofac this pilot program would Grant private sector firms a temporary specific license to to conduct nominal Financial transactions with sanctioned entities to assist with law enforcement investigations these private firms would be blockchain analytics firms or financial intelligence units within correspondent Banks just to give you some idea of examples the concept behind this
▶ 5:10:31legislation is along the lines of a keep a open letter which is when the government ask a a bank to keep suspicious or illicit accounts open with the Safe Harbor so it can actually really just go in and monitor the account Private Financial firms are currently Limited in their capacity to engage with sanctioned entities due to a robust sanction regime but that also means that it's impossible to access
▶ 5:11:01data about Bad actors about the Bad actors networks and the methods that they're using intelligence that would also greatly help our law enforcement our governments our consumers uh of the products and the financial industry overall by giving ofac the authority to tailor the parameters of specific license pilot pro programs this legislation enhances our investigatory toolbox while guaranteeing
▶ 5:11:32essential protections and and that's what's so important for let me just give you an example the specific license would be well defined and narrowly applied ensuring that private firms only conduct nominal Transit transitions so transactions I'm sorry like maybe $10 $5 $20 to collect better data and intelligence and lastly Additionally the program would have strict oversight requiring the licensure
▶ 5:12:02recipients provide detailed monthly reports to OFA reporting on their activities and their findings under under the license this Innovative Bill harnesses the vast resources of the private sector and allows the federal government to work collaboratively with financial firms to further our national security goals uh so it's a simple bill is a bipartison bill and I am hoping that my colleagues join us uh in this bipartison bill and I you back
▶ 5:12:32my colleague is there gentle lady from Ohio yields back is there anyone else who wishes to be recognized recognizes uh uh Mr nun for 5 minutes thank you very much chairwoman and I move to strike the last word I want to begin by thanking my colleague my Democrat friend and ranking member uh Miss BTY terrorist organizations as was noted here from the Iranian revolutionary guards Corp to drug cartels to Russian mafia are increasingly
▶ 5:13:02adopting sophisticated approaches to fund acts of terrorism these organizations become Adept at utilizing various Financial channels to obscure transactions and funding sources luckily the United States is home to the most Innovative companies in the world just a few weeks ago the Federal Bureau of Investigation in coordination with our colleagues in the private sector 1.5 billion from the Lazareth group a North Korean hacking entity last year Israeli authorities
▶ 5:13:32used blockchain to recover roughly 1.7 million from Hezbollah this is why I am so so proud to co-lead this with my colleague Miss batty this critical legislation which develops a pilot program within treasury to allow private sector firms to work with treasury to improve our investigative leads this legislation is a vital first step forward to combat evolving threats those posed by both terrorist organizations and those who are using new and dangerous technology
▶ 5:14:03that our private sector and government sectors can work together to battle Congress should pursue every opportunity Madam chair when it comes to root out evil and disrupt these funding streams and to ensure that International terrorism is truly combed on all fronts I want to thank again my friend Miss batty for her work on this important legislation and urge all my colleagues on both sides of the aisle to help us move it forward with that I yield back the remainder of my time thank you madam chair gentleman from uh Iowa Mr nun yields back are there any other members
▶ 5:14:33who wish to be recognized yes the gentle lady from California the ranking member wishes to be recognized you are recognized ma'am strike the last word you are recognized I strongly support the bill offered by representative batty hr1450 her bill mandates a new Treasury Department pilot program administered by America's economic and trade sanctions agency the office of foreign assets control ofac the program would allow
▶ 5:15:03ofac to issue licenses for certain private sector firms like blockchain uh analytics firms and financial intelligence units within Banks so they might conduct Smalls siiz Financial transactions with and through sanctions entities the intent is that both OFA and these firms would be able to investigate otherwise obscure leads that could help to better identify terrorists
▶ 5:15:34Russian oligarchs ventano traffickers corrupt government officials and their illicit networks the bill has robust oversight buil in requiring licenses to report monthly to ofac on their activities under the program Miss V's Bill gone at bipartisan support last session passing this committee unanimously and the house by Voice vote I urge members to support Miss B's Bill
▶ 5:16:04once again I thank you and I Y back gentle lady y's back back is there anyone else wishes to be recognized chair recognizes herself for 5 minutes I'd like to thank the gentle lady from Ohio Miss batty for her legislation our committee approved Mrs Batty's Bill last congress with unanimous support uh it then went on to pass the house under suspension of the rules this is a common sense measure that will authorize
▶ 5:16:34private sector firms to better investigate Financial Crimes by engaging in nominal transactions with sanctioned entities these transactions can help investigators Trace how money moves through the system improving our understanding of illicit networks Miss Batty's legislation has similarities with the claw law and the claw act pardon me a bill of mind that um that we all enacted in 2021 it provided
▶ 5:17:04a safe harbor for financial institutions that maintain account at the request of law enforcement gentle lady and I agree that the private sector can play a role in tracking down Bad actors but it is up to our government to provide them with legal Clarity when doing so hr1450 is another step in the right direction and I encourage my colleagues to support it and I yield back are there any
▶ 5:17:36other wish to any other members that wish to be recognized there being no further discussion on the bill hr1450 the will move to con uh consideration of any amendments to the bill are there any amendments to the bill do this there being no amendments to the bill the question now occurs on adoption of
▶ 5:18:07hr1450 all in favor say I I I all those opposed say no in the opinion of the chair the eyes have it and the bill request roll call vote please is agreed to um the question now occurs on ordering the bill hr1450 as um to be reported to the house all those in favor of reporting the bill shall signify by saying I I all those opposed shall say nay the eyes have it uh
▶ 5:18:37again is there a request for a recorded vote Miss batty yes request a recorded vote please all those who are in favor of a recorded vote shall raise their hands sufficient number of hands have been raised and the roll call vote is hereby ordered further consideration on reporting the bill is hereby postponed and we will now move to consider the next bill okay the committee
▶ 5:19:07will now proceed to consideration of the bill HR 1764 uh the bill was circulated in advance and printed copies I believe are available the clerk shall designate the bill HR 1764 to Accord securities issued by the International Development Association without objection the first reading of the bill is dispensed with and the bill will be considered as read and open for Amendment at any point
▶ 5:19:38does anyone seek to be recognized the author of the bill the ranking member Miss Waters um for what purposes the gentle lady seek I have a bill at the desk Madam shair okay the clerk shall designate the amendment in the nature of a substitute an amendment in the nature of a substitute to HR 1764 offered by Miss Waters of California the without objection the amendment shall be considered as R and as original text for purposes
▶ 5:20:08of further Amendment the amendment in the nature of the substitute has already been distributed I would now recognize Miss waters for five minutes to explain the amendment in the nature of a substitute thank you madam chair HR 1764 the aligning SEC regulations for the world bank's International Development Association act would allow Ida uh to more efficiently raise money to support its Mission serving the poorest
▶ 5:20:38country countries around the world this bill is a statement of commitment to America's Global Leadership our economic stability and responsible us engagement in the International Financial system the International Development Association or Ida is the world bank's concessional lending arm and is one of the most effective tools we have to combat poverty and instability worldwide my bill would EX
▶ 5:21:08Ida Securities from SEC regulations just as other world Bank arms have been exempt for decades this ensures that Ida can continue raising Capital efficiently directing resources where they are needed most this is not just about Securities it is about strengthening economics stabilizing regions and upholding America's moral and strategic interests the United States has long been a Le leader
▶ 5:21:39in international financial institutions like the World Bank and the international monetary fund our leadership in these institutions provides us with a strong voice to improve global economic stability and health through our membership we advocate for high standards push for transparency and drive economic reforms that benefit not only developing nations and the global economy but our own National
▶ 5:22:09Security too so I urge my colleagues to vote Yes on this bill and to protect America's leadership we must send a clear message that the United States does not Retreat we lead with Integrity Justice and resolve and thank you I yield back the balance of my time can lady yields back are there any other members who wish should be recognized for further discussion on the amendment in the nature of the substitute seeing none I will recognize myself
▶ 5:22:39for five minutes I'd like to thank the ranking member for her legislation the financial services committee passed this bill with unanimous support last Congress and I look forward uh to it receiving bipartisan support today ranking members bill would exempt certain World Bank Securities from SEC requirements that incur additional legal costs for the bank the exemption would also help the International Development Association the Ida Market its bonds
▶ 5:23:10to us investors as well as smaller institutional investors generally this exemption already applies to the multilateral development Banks mdbs but the Ida um the part of the World Bank that helps the poorest countries has only begun issuing Securities in the past few years it makes sense that the MDB exemption would apply to those Securities I do want to take this opportunity to point out that that we shouldn't stop at
▶ 5:23:40benefiting Ida if our Democrats uh colleagues agree that regulatory relief can help with capital formation then we should work together to expand those benefits I think more broadly so again I want to thank the ranking member for her legislation and urge my colleagues to support it and I will yield back are there any other members who wish to be recognized there being no further discussion on the uh
▶ 5:24:10amendment in the nature of the substitute the committee will move to consider uh the consideration of any amendments to the sub uh substitute are there any amendments at the desk hearing none isn't that nice hearing none the question now occurs on adoption of the amendment in the nature of a substitute to hr1 1764 all in favor say I I all those opposed
▶ 5:24:40no in the opinion of the chair the eyes have it uh and the amendment in the nature of the subtitute is agreed to the question now occurs on ordering the bill 1764 uh to be reported to the house all those in favor of reporting the bill shall signify by saying I I all those opposed shall say nay the eyes have it is there a request for the a recorded vote Yes vote request ranking member requests a recording vote are th
▶ 5:25:11all those in uh who are in favor of recorded vote shall raise their hands seeing a sufficient number of hands have been raised uh and a roll call vote is here by ordered further consideration on reporting the bill is hereby postponed all right pursuant to the previous order the chair declares the committee in recess subject to the call of the chair we will plan on reconvening following the last votee
▶ 5:25:41in the the next series of votes on the floor I believe walkoff is around 4:30 the committee now stands in
▶ 7:21:29e e
▶ 7:22:22committee will reconvene and come to order following our recess before we proceed to a postponed request for recorded votes we will first conduct a quum call by electronic device members will record their presence using the electronic voting system I remind members to point their handheld devices at the receiver on the clerk's table wow there it is there's the receiver being pointed to by the clerk the clerk will open the
▶ 7:22:53vote and you're going to press your present button or I guess it's the
▶ 7:23:57button you would be reassuring to know mine's not click it
▶ 7:25:29spe e
▶ 7:26:02have all members been recorded who wish to be recorded do any members wish to change vote hearing none will the clerk please close the vote and announce the quorum to Mr chairman the quarum tally is 46 thank you we will proceed to postpone
▶ 7:26:33requests for recorded votes with a quorum being present first we'll be voting on the amendment in the nature of a substitute for HR 910 a recorded vote was requested members will record their votes using an electronic voting system the clerk will open the vote
▶ 7:27:55have all members been recorded to wish it's not I tried it if you uh if you're could I have order please could we have order and not have editorialization thank you if People's device is not working we have batteries for you if it's not it may be operator error but it may not be and therefore we do have extra
▶ 7:28:28batteries mhm mhm have all members now been recorded who wish to be recorded does any member wish to change vote hearing none will the clerk
▶ 7:28:58please close the vote and announce the tally Mr chairman on this vote the eyes are 48 and the Nay are zero the amendment in the nature of a substitute is adopted we'll now be voting on reporting favorably HR 910 as amended members will record their votes using the electronic voting system the clerk will open the vote
▶ 7:30:41have all members been recorded who wish to be recorded do any members wish to change vote hearing none will the clerk please close the vote and announce the tally Mr chairman on this vote the eyes are 48 and the Nay are zero the eyes have it the question is agreed to HR 910 as amended is ordered favorably reported to the House of Representatives the chair notes for the record that a quorum is present I ask unanimous consent that staff be authorized
▶ 7:31:12to make necessary Technical and conforming changings changes to the resolution without objection so ordered now pursuant to house rule 6 Clause 2L I give notice that all members will have the requisite number of days to file supplemental minority additional or descending views without objection to okay uh Court tell us how Mr Scott has reported on that vote
▶ 7:31:49please it's recorded no problem we will now be voting on the amendment in the nature of a substitute to hr17 16 a recorded vote was requested members will record their votes using electronic voting system the clerk will open the vote
▶ 7:32:19garino my sign have
▶ 7:32:49all members been recorded who wish to be recorded do any members wish to change their vote hearing none the clerk will please close the vote and announce the tally Mr chairman on this vote the eyes are 48 and the Nays are zero the amendment in the nature of a substitute is adopted we now be voting on reporting favorably hr1 1716 as amended members will record their votes using electronic voting system the clerk will open the vote
▶ 7:33:41have all members been recorded who wish to be recorded do any members wish to change their vote hearing none will the clerk please close the vote and announce the tally Mr chairman on this vote the eyes are 48 and the Nays are zero the eyes have it and the motion is agreed to HR 1716 as amendment is ordered favorably reported to the House of Representatives the chair notes for the record that a quorum is present at ask unanimous consent that the staff be authorized to make necessary Technical and conforming changes
▶ 7:34:11to the resolution without objection so ordered pursuant to house rule 11 Clause 2L I give notice that all members have a requisite number of days to file supplemental minority additional or descending views without objection so ordered we will now be voting on the amendment in a nature of a substitute to 17113 a recorded vote was requested members will record their vote uh votes using the electronic voting system the clerk will open the
▶ 7:34:44vote I didn't didn't don't you any more fres batteries anybody okay make it like
▶ 7:35:24Hunter have all members been recorded who wish to be recorded do any members wish to change their vote hearing none the clerk will close the vote announce tally Mr chairman on this vote the eyes are 48 and the Nays are zero the amendment in a nature of substitute is adopted we'll now be voting on reporting favorably hr1 1713 as amended members will record their votes using the electronic voting system the clerk will open the vote
▶ 7:36:32have all members been recorded who wish to be recorded do any members wish to change their vote hearing none the clerk will close the vote and announce the tally Mr chairman on this vote the eyes are 48 and the Nays are zero the eyes have it and the motion is agreed to hr1 17113 is amended is ordered favorably to report it to the House of Representatives the chair notes for the record that a quorum is present ask unanimous consent that the staff be authorized to make necessary technical and conforming changes to the resolution without objection
▶ 7:37:02so ordered pursuant to house rule 11 Clause 2L I give notice that all members will have the requisite number of days to file supplemental minority additional or descending views without objection so ordered we'll now be voting on The Cast an amendment number two on the amendment in the nature of a substitute to hr1 1602 a recorded vote was requested members will record their votes using the electronic voting system the clerk will open the
▶ 7:37:34chair notes that the Harvard people are competitive oh sorry you're the man
▶ 7:38:08the have all members been recorded who wish to be recorded do any members wish to change their vote hearing none the clerk will please close the vote and announce the tally Mr chairman on this vote the eyes are 19 and the Nay are 29 the cast Amendment to the amendment in a nature of a substitute for HR 16 02 is not adopted question now occurs on the adoption of the amendment in the nature of a substitute to 18 HR 1602 all in favor please say I
▶ 7:38:39I any opposed say no in the opinion of the chair the eyes have it and the amendment in the nature of a substitute is agreed to the question now occurs on ordering the bill HR 1602 as amended to be reported favorably to the house all those in favor of reporting the bill shall signify by saying I I all those opposed shall say no the eyes have it there is there a request for a recorded vote all those in favor of recorded vote not one uh
▶ 7:39:09do we want one who's down there somebody waving for one yes we have one the vice chairman is asked for a recorded vote I demand it yeah I can see that I proud of you all those in favor of recorded votes you'll raise their hand if a sufficient number of hands having been raised a roll call vote has hereby ordered members will record their votes using electronic voting system the clerk will open the
▶ 7:39:45vote everybody's going to get a Thomas the Tank Engine if they do well y have all members been recorded who wish to be recorded do any members wish to change their vote hearing none the clerk will the clerk please close the vote and announce the
▶ 7:40:16tally Mr chairman on this vote the eyes are 48 and the Nays are zero the eyes have it the motion's agreed to HR 1602 is amended as ordered favorably reported to the House of Representatives the chair notes for the record that a quorum is present yes I ask unanimous consent that the staff be authorized to make necessary tectal conforming changes to the resolution without objection so ordered pursuant to house rule 11 Clause 2L I give notice that all members may have the requisite number of days to file supplemental minority additional or descending views
▶ 7:40:46without objection so ordered the question now occurs on the adoption of the amendment in the nature of a substitute to HR 747 all those in favor say I I any opposed say no in the opinion of the chair the eyes have it and the amendment in the nature of a substitute is agreed to the question now occurs on ordering the bill HR 747 as Amendment amend it to be favorably reported to the house all those in favor of reporting the bill shall signify by saying I
▶ 7:41:17I all those oppose shall say no the eyes have it is there request for a recorded vote Mr chairman please I'd like a recorded vote the gentleman from Michigan requests a recorded vote all those who are in favor of recorded vote shall raise their hand hands a sufficient number having been raised a roll call vote is hereby ordered members will record their votes using the electronic voting system the clerk will open the
▶ 7:41:57vote for own bill have all members been recorded who wish to be recorded do any members wish to change vote hearing none the clerk will please close the vote and announce the tally Mr chairman on this vote the eyes are 49 and the Nays are zero the
▶ 7:42:27eyes have it the Motions agreed to and HR 747 as amended is ordered favorably reported to the House of Representatives the church the chair notes for the record that accum is present I ask unanimous consent that the staff be authorized to make necessary Technical and conforming changes to the resolution without objection so ordered pursuant to house rule 11 Clause 2L I give notice that all members have the requisite number of days to file supplemental minority additional or descending views without objection so ordered a recorded vote was
▶ 7:42:57requested on the question of ordering the resolution HJ res 59 to be reported favorably to the house members will record their votes on this postpone request using the electronic voting system the clerk will open the vote we could get everybody to vote this fast on the floor that
▶ 7:43:27would be awful have all members been recorded who wish to be recorded do any members wish to change their vote hearing none the clerk will please close the vote and announce tally Mr chairman on this vote the eyes are 30 and the Nays are 19 the eyes have
▶ 7:43:57it and the Motions agreed to HJ resz 59 is ordered favorably reported to the House of Representatives the chair notes for the record that the Quorum is present ask unanimous consent that staff be authorized to make Nation necessary Technical and conforming changings to the resolution without objection so ordered pursuant to house rule 11 Clause 2L I give notice that all members have the requisite number of days to file supplemental minority additional or dissenting views without objection so ordered a request for a recorded vote on the question of reporting HR
▶ 7:44:271549 is amended favorably to the house was made and postponed members will record their votes using the electronic voting system the clerk will open the vote better Big that distance
▶ 7:45:00instantaneous stra closer
▶ 7:45:33do a battery check there we go have all members been recorded who wish to be recorded any members wish to change their vote hearing none will the clerk please close the vote and announce the tally Mr chairman on this vote the eyes are 49 and the Nays are zero the eyes have it and the motion is agreed to hr1 1549 is amended is ordered favorably reported to the house Representatives the chair notes for the record that a quorum is present ask unanimous consent
▶ 7:46:03that the house uh that the staff be authorized to make necessary Technical and conforming changes to the resolution without objection so ordered pursuant to house rule 11 Clause 2L I give notice that all members will have the requisite number of days to file supplemental minority additional or dissenting views without objection so ordered we now be voting on two amendments to the amendment in the nature of a substitute on hr1 1474 first there was a request for a recorded vote on the Caston number four Amendment
▶ 7:46:33members will record their votes using the electronic voting system the clerk will open the vote
▶ 7:47:24recorded who wish to be recorded any members wish to change their vote hearing none the clerk will please close the vote and announce the tally Mr chairman on this vote the eyes are 19 and the Nays are 30 the NOS have it and the amendment is not agreed to secondly there was a request for a recorded vote on the waters number five Amendment members will record their votes using the electronic voting system the clerk will open the vote
▶ 7:48:24have all members been recorded who wish to be recorded do any members wish to change vote hearing none the clerk will please close the vote and announce the tally Mr chairman on this vote the eyes are 19 and the Nays are 30 the NOS have it and the amendment is not agreed to the question now occurs on adoption of the amendment in the nature of a substitute to hr1 1474 all those in favor please say I I all oppose say no in the opinion of the chair the eyes have
▶ 7:48:54it and the amendment of the nature of a substitute is agreed to the question now occurs on ordering the bill hr1 1474 as amendment to fa be reported favorably to the house all those in favor of reporting the bill shall signify by saying I I all those opposed shall say no the eyes have it is there a request for a recorded vote Mr chairman I the gentleman from Michigan has requested a recorded vote all those who are in favor of recorded vote shall raise their hands a sufficient number of hands have been raised
▶ 7:49:24a roll call vote is there hereby ordered members will record their votes using the electronic voting system the clerk will open the vote aim right there
▶ 7:50:13have all members been recorded who wish to be recorded do any members wish to change their vote hearing none the clerk will please close the vote and announce the tally Mr chairman on this vote the eyes are 3 9 and the Nays are 10 the eyes have it the motion is agreed to hr1 1474 as amended is ordered favorably reported to the House of Representatives the chair notes for the record that a quorum is present I ask unanimous consent the staff be authorized
▶ 7:50:43to make necessary Technical and conforming changes to the resolution without objection so ordered pursuit to house rule 11 Clause 2L I give notice that all members have the requisite number of days to file supplemental minority additional or descending views without objection so ordered I'll requested for a recorded vote on the question of reporting hr1 1577 as amended favorably to the house was made and postponed members will record their votes using the electronic voting system
▶ 7:51:14the clerk will open the vote
▶ 7:52:16have all members been recorded who wish to be recorded do any members wish to change their vote hearing none the clerk will please close the vote and announce the tow Mr chairman on this vote the the eyes are 49 and the Nays are zero the eyes have it and the Motions agreed to hr1 1577 as amended amended is ordered favorably reported to the House of Representatives the chair notes for the record that the Quorum is present I ask unanimous consent that staff be authorized to make necessary Technical and conforming changes
▶ 7:52:46to the resolution without objection so ordered pursuant to house rule 11 Clause 2L I give notice that all members have the requisite number of days to file supplemental minority additional or dissenting views without OB objection so ordered the amendment in the nature of a substitute on hr1450 was not called up there was a request for a recorded vote on the question of reporting hr1450 favorably to the house and that vote was postponed members will
▶ 7:53:16record their votes using the electronic voting system the clerk will call the vote open the vote it's just so much faster you bet
▶ 7:53:47you have all members been recorded who wish to be recorded do any members wish to change their vote hearing none the clerk will please close the vote and announce the Mr chairman on this vote the eyes are 49 and the Nays are zero the eyes have it and the Motions agreed to hr1450 is ordered favorably reported to the House of Representatives the chair notes for the record that a quorum is present ask unanimous consent that the staff be authorized to make necessary and Technical and conforming
▶ 7:54:17changes to the resolution without objection so ordered pursuant to house rule 11 Clause 2L I give notice that all members have the requisite number of days to file supplemental minority additional or descending views without objection so ordered finally there's a request for a recorded vote on the question of reporting HR 1764 as amended favorably to the house and it was postponed members will record their votes using electronic voting system and I remind members
▶ 7:54:48leave your voting device on the desk do not take it with you it's of no value to you with your cable system or streaming app members will record their votes using electronic voting system clerk will open the vote it's been a pleasure well it's a game changer in it around here this has been so painful over the years yes
▶ 7:55:19and we had this in fore Affairs it happens Foreign Affairs they were looking for them all the time I mean not intentional yeah yeah zero value to take it have all members been recorded who wish to be recorded do any members wish to change their vote hearing none the clerk will please close the vote and announce the tally Mr chairman on this vote the eyes are 49 and the Nays are zero the eyes have it the Motions agreed to
▶ 7:55:49hr1 1764 as amended as ordered fav will be reported to the House of Representatives the chair notes for the record that a quorum is present I ask unanimous consent that the staff be authorized to make necessary Technical and conforming changes to the resolution without objection so ordered pursuant to house rule 11 Clause 2L I give notice to all members have the requisite number of days to file supplemental minority additional and descending views without objection so
▶ 7:56:24ordered members members we can't transcribe the proceeding our court reporter cannot hear a word that we're saying even with the microphone so please take your conversations out of the room where would you like me to go back and start over all right there being no further business the committee stands
▶ 7:57:27e e