Waters Statement on CFTC Renewal Measure
Washington, DC, June 9, 2015
Following the House of Representatives’ passage of a bill to renew the Commodity Futures Trading Commission (CFTC), Congresswoman Maxine Waters (D-CA), Ranking Member of the Financial Services Committee, criticized the measure as an effort to hamstring regulators’ ability to regulate the complex and important derivatives marketplace.
“In short, this bill would obstruct Wall Street’s cop, the Commodity Futures Trading Commission, from doing its job. Under the guise of reauthorizing the CFTC, Republicans have passed a bill that undermines its regulatory authority, imposes new procedural requirements on an overburdened and underfunded agency, and ultimately hamstrings the Commission’s ability to protect the American people.
Provisions in the legislation would impede the CFTC’s enforcement powers by allowing bank operations to substitute Dodd-Frank protections in favor of lenient, foreign rules in foreign markets, even though that risk may be imported into the U.S. Additionally, the bill imposes burdensome cost-benefit analysis requirements, despite the CFTC’s current policy of considering stakeholders, markets, and many other factors in its decisions.