The Oversight and Investigations Subcommittee, chaired by Rep. Randy Neugebauer, will meet for a hearing to explore the progress of the Financial Stability Oversight Council (FSOC).  The Subcommittee will focus on the coordination among the FSOC Members and the FSOC’s implementation of the Dodd-Frank Act.

 

The hearing will take place on Thursday, April 14 at 10 a.m. in room 2128 Rayburn.

Subcommittee Chairman Neugebauer said, “The purpose of this hearing is to evaluate the performance to date of the Financial Stability Oversight Council, which was created by the Dodd-Frank Act.  Under the Act, the Council is charged with addressing emerging threats to financial stability and coordinating regulatory actions to address them.  Given the breadth and magnitude of FSOC’s mandate, it is imperative that the Chairman of the Council provides sufficient leadership to avoid harming the global competitiveness of our businesses and capital markets.”

Financial Services Committee Chairman Spencer Bachus said, “It is important for the Committee to engage in vigorous oversight of the FSOC and evaluate its work to minimize systemic risk. One of my chief concerns regarding the Dodd-Frank Act is that it enshrines ‘too big to fail’ into law and places taxpayers on the hook for future bailouts. The Committee will continue to monitor the implementation of the Dodd-Frank Act to ensure that taxpayers are protected from future bailouts.”

 

The Dodd-Frank Act established the FSOC as an interagency body charged with identifying, monitoring, and addressing potential threats to U.S. financial stability. The FSOC is comprised of 10 voting Members and five non-voting Members. The Secretary of the Treasury chairs the Council. The FSOC receives its funding from the Federal Reserve for a two-year interim period, after which, the Office of Financial Research will impose an assessment to fund the FSOC and itself.

Witnesses scheduled to testify are:

Gary Gensler, Chairman, Commodity Futures Trading Commission (CFTC)
Jeffrey A. Goldstein, Under Secretary for Domestic Finance, Treasury Department

Tim Long, Chief National Bank Examiner and Senior Deputy Comptroller for Regulatory Policy, Office of the Comptroller of the Currency

John Huff, Director, Missouri Department of Insurance, Financial Institutions, and Professional Registration (designated State insurance commissioner)
J. Nellie Liang, Director, Office of Financial Stability Policy and Research, Federal Reserve
Robert W. Cook, Director of Division of Trading and Markets, Securities Exchange Commission (SEC)

Arthur J. Murton, Director, Division of Insurance and Research, Federal Deposit Insurance Corporation (FDIC)