Government Takeover of the Internet Passes House

The Ponder would like to thank the following business for sending quality traffic our way!

======Need quality Website Traffic? Sign up!======

by: Robert E. Latta (R OH, 5th)

Washington, D.C. - April 11, 2019 - (The Ponder News) -- Congressman Bob Latta (R-Bowling Green) voted against legislation, H.R. 1644, that would establish government control over Internet services by subjecting providers to regulations imposed under Title II of the Communications Act of 1934. The legislation was approved by the U.S. House by a vote of 232-190.

Latta said on the House floor, “This is not about net neutrality – if this was about net neutrality, we would be operating under the long-standing bipartisan premise that net neutrality could be achieved without Title II. Like many of my colleagues on both sides of the aisle, I agree that Congress needs to codify basic internet protection principles such as no blocking, no throttling, and no paid prioritization.”

Congressman Latta made overtures to the Democratic majority in the House to work together on bipartisan legislation that would codify net neutrality principles without classifying Internet Service Providers (ISPs) under the Title II framework. These principles would ensure no blocking, no throttling, and no paid prioritization by ISPs. He introduced H.R. 1006, legislation that had been previously introduced by former Democratic Energy and Commerce Chairman Henry Waxman that would codify net neutrality principles, but the Democratic majority has rebuffed efforts to work in a bipartisan manner.

Latta also said, “The net neutrality bill I introduced is based directly upon the proposal of former Energy and Commerce Chairman Henry Waxman. It would prevent Internet Service Providers from engaging in much of the discriminatory behavior the majority is concerned about, and it would do so under Title I. Both former Republican and Democratic Federal Communications Commission Chairmen have also recognized that net neutrality can be resolved without vastly expanding the FCC’s power under Title II.”

“We have seen broadband investment and innovation decline during the time the Internet was regulated under the framework that H.R. 1644 would establish. This has been verified through studies, but also in a recent Energy Commerce Committee hearing when a witness who owns a small ISP in Oregon testified on the hampering effects the 2015 Order had on his own business. And, while we can quantify lost investment, we do not know the advancements in technology we have missed out on due to limited resources directed toward innovation.

“On the point of not knowing, we still do not know the 700+ regulations that H.R. 1644 would permanently forbear from either. Before we permanently lock in anything, I believe Congress should know exactly what we are locking in. We have pressed the majority for this list multiple times and have not received it. That is why I filed an amendment that would have required the FCC to produce this list if the bill does become law.

“I support net neutrality, but I cannot and do not support H.R. 1644. We should be providing the American people with a real net neutrality solution rather than pushing forward an agenda that does not have the capability to become law and won’t protect the Internet.”

Latta’s floor speech is available here.

Latta also criticized that H.R. 1644 includes no provisions that address blocking or throttling by edge providers. Edge providers are websites, web services, applications, or online content delivery services that customers connect with over the Internet. Examples of edge providers are Google, Amazon, Netflix, and Facebook. While numerous edge providers prioritize content, block content, and censor content, they would be subject to a different set of rules than ISPs under the legislation.

Congressman Latta did propose an amendment that was accepted by the House. Currently, proponents of H.R. 1644 have said that the legislation would forbear 700 regulations that were included under the 2015 FCC Open Internet Order. However, those 700 regulations are not publicly available, and Latta’s amendment would require more transparency.

See Also:

Rep. Brenda Lawrence Votes on Bold Legislation to Save the Internet

Congresswoman Lee Votes on Bold Legislation to Save the Internet

Rep. Andy Levin Votes to Pass Bold Legislation to Save the Internet

Rep. Lipinski Votes to Restore Net Neutrality Protections

Loebsack Statement on House Passage of Net Neutrality Legislation

Rep. Loudermilk Votes to Keep Internet Free from Washington Bureaucracy

McCaul on Keeping the Internet Open

MCMORRIS RODGERS VOTES AGAINST PARTISAN AND HARMFUL NET NEUTRALITY BILL

Invest in America Act Introduced

The Ponder would like to thank the following business for sending quality traffic our way!

======Need quality Website Traffic? Sign up!======

by: John B. Larson (D-CT, 1st)

Washington, D.C. - April 11, 2019 - (The Ponder News) -- Reps. John B. Larson (CT-01) and Kenny Marchant (TX-24) introduced the Invest in America Act that would repeal the Foreign Investment in Real Property Tax Act of 1980, which applies capital gains taxes to foreign persons who invest in U.S. real estate. This bipartisan legislation would allow for additional capital to be unlocked that will be invested in American infrastructure, creating jobs and spurring economic development.

“The American Society of Civil Engineers has given America’s infrastructure a D+ rating. That’s unacceptable. This isn’t a Republican or Democrat issue, this is an American issue. I am proud to introduce the Invest in America Act today with Congressman Marchant to unlock more opportunities to invest in communities in Connecticut and across the nation and to rebuild our infrastructure,” said Larson.

“Global investment is critical to our nation’s economy, especially in the Dallas-Forth Worth region. That is why I am proud to partner with Congressman Larson to introduce the Invest in America Act, which will remove the barriers in our tax code that discourage investments in real estate. By providing parity to real estate assets under the law, foreign investors will be able to create more opportunities and more prosperity for American families,” said Congressman Marchant.

A summary of the Invest in America Act can be found here.

The bill text can be found here.

Langevin Votes to Restore Free and Open Internet

The Ponder would like to thank the following business for sending quality traffic our way!

======Need quality Website Traffic? Sign up!======

by: Jim Langevin (D-RI, 2nd)

Washington, D.C. - April 11, 2019 - (The Ponder News) -- Congressman Jim Langevin (D-RI), released the following statement after voting in favor of the Save the Internet Act, which passed the House of Representatives by a vote of 232-190. The legislation would restore the Open Internet Order, an Obama-era net neutrality regulation that was repealed by the Federal Communications Commission in December 2017.

“In 2017, President Trump’s handpicked FCC chair chose to gut the net neutrality rules that protected the public online. The Save the Internet Act will reverse this decision and once again provide fair and equal Internet access to all, not just the highest-bidders.

“This legislation restores important protections to prevent consumers from being subjected to blocking, slowed-down service and other discriminatory actions by their Internet service providers. By restoring these protections, we are ensuring the Internet can continue to facilitate the free-flow of information and catalyze new ideas and innovation.

“Control over the Internet needs to be returned to the people. I urge my colleagues in the Senate to support this bill and join our fight to the save the net.”

LaMalfa Slams Proposed Federal Government Takeover of the Internet

The Ponder would like to thank the following business for sending quality traffic our way!

======Need quality Website Traffic? Sign up!======

by: Doug LaMalfa (R-CA, 1st)

Washington, D.C. - April 11, 2019 - (The Ponder News) -- Congressman Doug LaMalfa (R-Richvale) issued the following statement after voting against H.R. 1644, the Save the Internet Act. House Democrats passed the legislation with mostly partisan support. This legislation would allow the Federal Communications Commission (FCC) to have unprecedented control over the internet, including content moderation, new taxes and fees, and other new regulations which would stifle job growth and innovation.

LaMalfa said: “I believe in a free and open internet. Many of my Democrat colleagues claim that they do as well, yet the bill they passed today would accomplish the exact opposite. Let’s call it what it is: a blatant federal government takeover of the internet. It would have drastic consequences on American innovation. Under this plan, a panel of unelected bureaucrats will have nearly limitless authority to regulate, tax, and moderate content on the internet. The FCC would essentially have the ability to regulate the internet like it’s a 1930s phone company. This would be harmful to all Americans – especially those in rural areas with fewer options, where smaller ISPs will be unable to afford costly regulations and inevitably pass that cost onto consumers. This approach would stifle the already free and open internet, and I strongly oppose it.”

Under H.R. 1644:

A panel of five unelected bureaucrats at the Federal Communications Commission—not the free market—would have unprecedented power to control the internet, including setting prices, moderating content, and imposing new regulations. This sort of centralized control would stifle American innovation, limit consumer choice, and put the U.S. at a global disadvantage.

Rural communities would suffer most. Many rural areas are served by smaller Internet Service Providers, who cannot bear the costs of burdensome regulations in the same way as bigger companies. As a result, they would be forced to pass along added expenses to consumers, resulting in higher prices for worse service in rural communities. In addition, higher regulatory costs mean ISPs would no longer have revenue to continue investment in improving and expanding rural broadband infrastructure in underserved communities across America.

Taxes and fees would go up. Democrats want to recategorize the Internet under current law so that home internet and phone data plans could both be taxed, just like a cable bill.

Congressman Doug LaMalfa is a lifelong farmer representing California’s First Congressional District, including Butte, Glenn, Lassen, Modoc, Nevada, Placer, Plumas, Shasta, Sierra, Siskiyou and Tehama Counties.

LaHood Votes Against Government Takeover of the Internet that Harms Rural Illinois

The Ponder would like to thank the following business for sending quality traffic our way!

======Need quality Website Traffic? Sign up!======

by: Darin Lahood (R-IL, 18th)

Washington, D.C. - April 11, 2019 - (The Ponder News) -- Congressman Darin LaHood (IL-18) voted against the Democrats’ so-called “Save the Internet” Act, which would hand control of the internet over to a panel of five unelected bureaucrats, stunt future innovation, open the door to taxation of the internet, and significantly reduce and delay broadband expansion into rural communities. Rep. LaHood released the following statement after his vote today.

“As the Representative of 19 counties across central and west-central Illinois, I understand the importance of expanding rural broadband access into our communities and it’s critical we preserve a free and open internet,” stated Rep. LaHood. “It’s unfortunate that Democrats are advancing a bill that stifles innovation, increases expenses on rural areas through burdensome regulations, and slows network expansion into communities in the 18th District. Congress should be empowering internet users through the free market system, not putting unelected officials in Washington in charge of the internet. Communities, like we have in Illinois, deserve better than this government takeover of the internet.”

The Government Controlled Internet Act

This plan negatively impacts rural communities, which already face higher costs and fewer options
==Rural communities are typically served by smaller Internet Service Providers, who have a harder time bearing the cost of expanded regulations
==These costs will be passed along to consumers, resulting in increased costs with worse service

This legislation will give the Federal Communications Commission, a five-member panel of unelected officials, centralized control over the internet
==The panel will oversee setting prices, new investments, and dictate how broadband companies interact with their customers

This proposal stifles innovation
==The FCC will be required to approve new technologies, allowing officials in Washington to block, delay, or discourage investment or innovation

As we approach a 5G world, bureaucrats in Washington shouldn’t impede innovative progress that will keep the U.S. as a global leader in technology and expand access to broadband in rural communities

Senator Lankford Highlights Positive Impact of Federal Tax Reform in OK

The Ponder would like to thank the following business for sending quality traffic our way!

======Need quality Website Traffic? Sign up!======

by: Senator James Lankford (R-OK)

Washington, D.C. - April 11, 2019 - (The Ponder News) -- Senator James Lankford (R-OK) today spoke on the Senate floor ahead of Tax Day next week about some of the positive news and real stories from Oklahomans about their experience filing their taxes this year. Lankford specifically offered examples shared with our office from Oklahomans. This year is the first opportunity to see the effects of tax reform on Oklahomans, and Lankford reflected on the positive economic impacts tax reform has had for our state and nation. Lankford supported the Tax Cuts and Jobs Act when it passed the Senate in December 2016.

Excerpts


On national media gloom about the tax reports (Starts at 00:40)

This story, in particular, the headline was, ‘This Is Going to Wipe Us Out,’ in reference to the new tax law. When you read through the story and find out this is who they say is going to get wiped out, here is their illustration of the person: ‘a person moving from a $400,000 house this past year to one valued at $1.1 million concedes he has a first-world problem of his taxes going up, but he says owing more in taxes is a little disheartening as he moves from a $400,000 house to a $1.1 million home.’ Now, again, I’m excited for him in his home. I'm sure that it's beautiful. But that was their illustration of who is going to get hard hit by the tax changes on it. This article from a national source said, ‘Is a Tax Refund Ahead For You in 2019? Some Taxpayers Received a Tax Bill Instead.’ You go into the middle of the story and they make this one little note, ‘only about five percent of taxpayers are expected to pay more under the new law.’ Or, in other words, 95 percent of Americans, even in this story that's a negative story about the taxes, they hide the simple fact that 95 percent of Americans will pay the same or less. The vast majority of those will pay less in their taxes for the next year.

On the economic results of the tax cuts (Starts at 04:10)

Well, here is what happened. Our GDP grew at three percent a year. A dramatic increase from what we’ve had in the past. Inflation-adjusted business investment went up seven percent just since the tax cut. Two-hundred and fifteen thousand new jobs have started, on average, every month since the tax cut change happened—215,000. Those are very strong numbers across the country. Unemployment has gone to 3.9 percent since the enactment of the tax reform. Beginning in April of last year, the number of job openings in the national economy has exceeded the number of unemployed Americans, something that's not been recorded prior to April since records have been kept.

On real examples of the success of tax reform from Oklahomans (Starts at 07:15)

Well, I started asking some of my team in Oklahoma, just ask people around. When you're traveling around the state and when you’re visiting people just ask them how their taxes have gone. What's happened because people are filing now, just find out what is going on. One of the dry cleaners in Enid let our team know that he is doing better in his small-business taxes this year, and he’s actually going to be able to put a down payment now on some brand-new equipment at his dry-cleaner in Enid. When another one that we talked to—he’s in his early 30s, married, he and his wife both work--they said that they saved enough on their taxes this year from last year they’re going to start paying off some of their student loans and start paying down faster their car loan. We spoke to one of the gentlemen who’s also in his late thirties. They have one child who was born this past year. They said they have saved enough in their taxes from the previous year that they are going to be able to take care of some health care costs that they had, and they are going to start setting aside some money to allow his wife to start a Roth IRA account, starting their savings for their retirement in their thirties. Where you should start saving for your retirement, they are able to do this year because of the change in the tax cut.

When another gentleman that we talked to that works in Oklahoma City, he reported that his withholding changes that happened that he is now actually in -- he was in the 25 percent tax bracket that now has moved to the 22 percent tax bracket, and he is using his savings to be able to take care of some of the issues that he had in his own personal debt. We have a married couple in Davis, Oklahoma, down in south-central Oklahoma. Their income actually went up $4,000 this last year. When they finished all their tax payments, their tax actually decreased by $700 from one year to the next even though their income went up. Another couple down the street from Davis in Sulfur, Oklahoma, they own a small farm. Their income went up $7,000 last year from the previous year, and they were panicked about what would happen on their taxes. Well, their taxes actually decreased $1,400 from the year before. We have a police officer in Norman, Oklahoma, just south of Oklahoma City. He and his family, after they finished filing all of their taxes, he said this, ‘I now bring home more in my check every two weeks because of the change in the tax code. It's making things so much simpler for us to be able to make ends meet.’

On the five percent of individuals whose taxes did not decrease (Starts at 11:35)

This is what tax reform looks like. Some of my colleagues try to spend all of their time saying tax reform is all about big corporations and Wall Street. Interestingly enough, most of the high-income folks in my state have said, actually, their taxes went up a little bit this year, not down. They are part of that five percent of Americans that didn't end up with a tax change. But for the vast majority of Americans who are working and putting ends together and taking care of their family in my state and in other states, they are finding that tax reform is not some theory to them. It was a real help to their family in paying off debt, starting retirement, taking care of medical costs, taking care of their family, and getting going on with life.

KUSTOFF’S STATEMENT ON THE DESIGNATION OF THE ISLAMIC REVOLUTIONARY GUARD CORPS AS A FOREIGN TERRORIST ORGANIZATION

by: David Kustoff (R-TN, 8th)

Washington, D.C. - April 10, 2019 - (The Ponder News) -- Representative David Kustoff (TN-08) issued the following statement following the Trump Administration’s decision to designate Iran’s Islamic Revolutionary Guard Corps (IRGC), including its Qods Force, as a Foreign Terrorist Organization (FTO) under Section 219 of the Immigration and Nationality Act.

“This action taken by President Trump sends a clear message that the United States will not do business with a country that terrorizes people in and outside its borders. Iran continues to be one of the most dangerous threats to our interests and to stability in the Middle East. It is long past due that we hold the corrupt Iranian regime accountable for their actions,” said Rep. Kustoff. “I applaud this move from President Trump and his Administration. We must remain vigilant against those who wish to bring Americans harm and continue to stand with our greatest ally in the Middle East, Israel.”

In Congress, Rep. David Kustoff has taken the lead in standing up to Iran and its corrupt regime. He introduced the Stop Corrupt Iranian Oligarchs and Entities Act which places maximum pressure on Iran and its leaders to help expose the corrupt nature of this dangerous regime. Rep. Kustoff supported the President on getting out of the Joint Comprehensive Plan of Action (JCPOA) also known as the Iran Nuclear Deal, as well as supported the increased sanctions on Iran. Congressman Kustoff also succeeded in passing a Motion to Recommit to tackle the rise of anti-Semitism.

Bill Empowering State and Local Governments to Counter Cyberattacks Reintroduced

by: Derek Kilmer (D-WA, 6th)

Washington, D.C. - April 10, 2019 - (The Ponder News) -- Representative Derek Kilmer (D-WA) was joined today by Representative Michael McCaul (R-TX) in reintroducing bipartisan, bicameral legislation today to encourage state, local, and tribal governments to strengthen their defenses against cybersecurity threats and vulnerabilities. The State Cyber Resiliency Act, which was also introduced in the Senate by Senators Mark Warner (D-VA) and Cory Gardner (R-CO), would create and authorize the Department of Homeland Security (DHS) to run a grant program for states seeking to develop, revise or implement cyber resiliency measures—including efforts to identify, detect, protect, respond, and recover from cyber threats.

“America should dedicate far more attention and resources to combating cyber threats,” said Rep. Kilmer. “Cyber-attacks could threaten our election systems, municipally-owned water treatment facilities, local emergency responder networks, or other vital systems that impact our communities. With that in mind, building our cyber resiliency matters to employers, workers, local governments, consumers – and even to our national security. That’s why I’m proud to join my colleagues in introducing a bipartisan plan to give state, local, and tribal governments more tools to counter these cyber threats.”

“As our nation continues to face cyber threats, we must ensure all levels of government are prepared to combat the emerging attacks to our cyber networks and other critical infrastructure. The enactment of CISA last year was a positive step forward to recalibrate our federal posture on cybersecurity, however, more needs to be done on a state and local level. Despite playing a vital role in protecting our nation against cyber-attacks, state governments often do not have the vital resources they need to strengthen their cybersecurity capabilities or retain or recruit seasoned cybersecurity professionals,” said Rep. McCaul. “As a co-chair of the House Congressional Cybersecurity Caucus, I will continue to think holistically about protecting our networks on a federal, state, and local level. I am proud to join Senators Warner and Gardner, along with Congressman Kilmer, in introducing the State Cyber Resiliency Act to aid state and local governments with a new grant program to enhance their cyber defenses.”

“As cyberattacks increase in frequency and gravity, we must ensure that our nation—from our local governments on up—is adequately prepared to protect public safety and combat cyber threats,” said Sen. Warner. “Nearly 70 percent of states have reported that they lack adequate funding to develop sufficient cybersecurity. This bill will aim to mitigate that need by providing grants to state and local jurisdictions so that they are better prepared to take on these emerging challenges.”

“It’s critical that our state and local governments invest in cyber preparedness and training, and I’m proud to work with Senator Warner and Representatives Kilmer and McCaul to create a grant program to help our communities with this effort,” said Sen. Gardner. “Colorado is at the forefront of our nation’s cybersecurity efforts and home to the National Cybersecurity Center in Colorado Springs. As the threat of cyber warfare intensifies, it’s important that local governments are properly prepared to deter and protect themselves from cyber-attacks.”

A 2018 survey by Deloitte-National Association recently found that most state cyber budgets are inadequate, with most states allocating between zero and three percent of their overall IT budget for cybersecurity purposes. Additionally, the survey found that budget and staffing remain top barriers to an effective cyber strategy, with nearly half of all states lacking a cybersecurity budget line item, and 28 percent pointing to an inadequate availability of cybersecurity professionals as a “top barrier.” In the past year, hackers have attacked a number of local governments in states such as Colorado, Georgia, Maryland and Pennsylvania. These serious cyberattacks have cost taxpayers millions of dollars and have wreaked havoc on essential local government processes.

The State Cyber Resiliency Act also addresses the nation’s cybersecurity workforce talent gap by ensuring that participating states enhance recruitment and retention efforts. Currently, there are more than 313,000 cybersecurity job openings nationwide, including 33,500 in Virginia, 24,800 in Texas, 10,200 in Colorado, and 6,300 in Washington.

The full text of the bill is available here.

Legislation to Reform IRS Passes House of Representatives

by: Mike Kelly (R-PA, 3rd)

Washington, D.C. - April 10, 2019 - (The Ponder News) -- The House of Representatives passed H.R. 1957, the Taxpayer First Act, the first IRS reform legislation since 1998, which would recast IRS as a service-first agency to better serve American taxpayers. The bill, which passed unanimously, is now headed to the Senate for consideration.

Representatives Mike Kelly, R-Pa. and John Lewis, D-Ga. co-authored the legislation. Kelly, the top Republican on the Oversight Subcommittee, lauded the bipartisan cooperation by members of the Ways and Means Committee over the years to put this legislation together.

Today, Republicans and Democrats set aside their differences and passed legislation together that will greatly benefit U.S. taxpayers. The IRS is one of few federal agencies that Americans, whether they like it or not, will have a constant relationship with throughout their lives. The bill we passed today will make sure that relationship is built on trust rather than fear, and that taxpayers’ rights are safeguarded when they interact with the agency. To protect the integrity of our voluntary tax compliance system, the IRS should be a resource for Americans, not their adversary, said Kelly.

The Taxpayer First Act, if enacted, will require the IRS to alter several of its current practices to focus on service in addition to making it more accountable to Congress and the public.

Legislation would separate commercial and investment banks

by: Marcy Kaptur (D-OH, 9th)

Washington, D.C. - April 10, 2019 - (The Ponder News) -- ongresswoman Marcy Kaptur (OH-09), the House’s longest serving woman, led a group of 26 House members to introduce the Return to Prudent Banking Act of 2019, legislation that would reinstate and expand the historic provisions of the Glass-Steagall Act of 1933 restricting affiliations between commercial and investment banks. The legislation has been endorsed by AFL-CIO, the International Brotherhood of Teamsters, Communications Workers of America, International Federation of Professional and Technical Engineers, Public Citizen, and Take on Wall Street.

“In the wake of the Great Depression, Congress worked on a bipartisan basis to pass the Glass-Steagall Act to separate commercial banks and securities firms and prevent Wall Street from gambling away the American people’s hard-earned money. Tragically, the Big Banks and their lobbyists pressured Congress to repeal the law in 1999. This misguided deregulation opened the floodgates for growth of financial institutions that are too big to fail and encouraged the type of risky behaviors that led to the crash of the American financial system in 2008. While we made significant progress when President Obama signed the Dodd-Frank Act, large commercial and investment banks are still tied together in an institutional risk that threatens the financial well-being of our country. I urge my colleagues to join me in passing this vital legislation so we can ensure the security and stability of our financial system,” said Rep. Kaptur.

"The same Wall Street banks that crashed our economy in 2008 and put millions out of work remain too-big-to-fail to this day. We need to ensure that our members' and our retirees' livelihoods aren't jeopardized again by the reckless behavior of a Wall Street megabank. The Return to Prudent Banking Act is a smart solution that would reinstate the barrier between commercial and investment banking and make our financial system safer. CWA fully supports the Return to Prudent Banking Act and we thank Rep. Kaptur for her continued leadership on this important issue,” said Shane Larson, Director of Legislation for Communications Workers of America

“Lessons learned from the Great Depression and the Economic collapse of 2008 are proof enough that the American Public need protection from banks that are too big to fail, most especially a clean separation between investment and commercial banking as was provided by the Glass-Steagall act. We need to put people ahead of irresponsible financial greed. IFPTE is proud to support this legislation,” said Paul Sharon, President of the International Federation of Professional and Technical Engineers

Public Citizen enthusiastically welcomes Rep. Kaptur’s much needed bill to restore prudence to the banking industry. Because Congress repealed the ban on banks owning casino-like securities gambling operations in 1999, it took less than a decade for reckless conduct funded by government-backed deposits to crash the world economy,” said Bartlett Naylor, Financial Policy Advocate for Public Citizen.

"There is nothing inevitable about Too Big To Fail. We separated investment and deposit banking for decades, and Glass-Steagall was very effective at preventing the banks from becoming the unmanageable monoliths they are today. Congresswoman Kaptur's Return to Prudent Banking Act would restore the guardrails for the big banks, and go a long way toward making them manageable again," said Porter McConnell, Director of the Take On Wall Street Coalition.

Background:

The Glass-Steagall Act was signed into law in June 1933 following the 1929 stock market crash and subsequent Great Depression. The legislation separated commercial banking from investment banking while creating the Federal Deposit Insurance Corporation (FDIC). The purpose of the legislation was to restrict the use of bank credit for speculation and instead direct bank credit into commerce, industry, and agriculture. In 1999, the provisions that restricted affiliations between banks and securities firms was repealed by the Gramm-Leach-Bliley Act. The repeal of these important provisions contributed to the Great Recession.

The Return to Prudent Banking Act amends the Federal Deposit Insurance Act (FDIA) to prohibit any insured depository institution from being an affiliate of any broker or dealer, investment adviser, investment company, or any other person or entity engaged principally in the issue, flotation, underwriting, public sale, or distribution of stocks, bonds, debentures, notes, or other securities.

Prohibits officers, directors and employees of securities firms from simultaneous service on the boards of depository institutions, except in specified circumstances.

Requires any such individual serving as an officer, director, employee, or other institution-affiliated party of any insured depository institution to terminate such service as soon as practicable after enactment of this Act. Requires an insured depository institution to wind-down in an orderly manner and terminate any affiliation prohibited by this Act.

Amends the Banking Act of 1933 (Glass-Steagall Act) to expand its prohibition against the transaction of banking activities by securities firms.

Declares that Congress ratifies the interpretation by the Supreme Court of specified statutory language in the case of Investment Company Institute v. Camp (ICI) regarding permissible activities of banks and securities firms.

Declares that the reasoning of the Court in that case shall continue to apply to the limitations placed upon security affiliations under the FDIA as enacted by this Act. Prohibits a federal banking agency or federal court from issuing an interpretation regarding such security affiliations that is narrower than that of the Court in ICI.

Makes technical and conforming changes to the Gramm-Leach-Bliley Act, the Revised Statutes of the United States, and specified federal law.

Requires the Board of Governors of the Federal Reserve System, the Comptroller of the Currency, or another appropriate federal banking agency to report to Congress a detailed description of the basis for its decision each time it makes a determination or grants an extension concerning an affiliation between insured depository institutions and investment banks or securities firms.


Endorsing Organizations:

AFL-CIO
International Brotherhood of Teamsters
Communications Workers of America
International Federation of Professional and Technical Engineers
Public Citizen
Take on Wall Street


Original Cosponsors:

Rep. Rosa DeLauro (CT-3)
Rep. Susan Wild (PA-7)
Rep. Stephen Lynch (MA-8)
Rep. Ro Khanna (CA-17)
Rep. Jackie Speier (CA-14)
Rep. Bonnie Watson Coleman (NJ-12)
Rep. Jan Schakowsky (IL-9)
Rep. Peter DeFazio (OR-4)
Rep. Eleanor Holmes Norton (DC-At-Large)
Rep. Jim McGovern (MA-2)
Rep. Ilhan Omar (MN-5)
Rep. Tulsi Gabbard (HI-2)
Rep. Steve Cohen (TN-9)
Rep. Pramila Jayapal (WA-7)
Rep. Chellie Pingree (ME-1)
Rep. David Cicilline (RI-1)
Rep. Anna Eshoo (CA-18)
Rep. Paul Tonko (NY-20)
Rep. Peter Welch (VT-At-Large)
Rep. Barbara Lee (CA-13)
Rep. Grace Napolitano (CA-32)
Rep. Mark Pocan (WI-2)
Rep. Raul Grijalva (AZ-3)
Rep. John Yarmuth (KY-3)
Rep. Lucille Roybal-Allard (CA-40)


Bill text for the legislation can be found here