ABA today wrote to House leaders in support of H.R. 3312, the Systemic Risk Designation Improvement Act of 2017 — a key part of the association’s Blueprint for Growth — which is expected to be up for consideration before the full House tomorrow.
Introduced by Rep. Blaine Luetkemeyer (R-Mo.), the bill replaces the arbitrary $50 billion asset threshold for systemically important status in the Dodd-Frank Act with a more tailored, nuanced set of systemic risk indicators. Under the bill, the Federal Reserve would review a financial institution’s size, interconnectedness, global activity and complexity to determine whether it should be subject to regulation as a systemically important financial institution.
The bill has attracted wide bipartisan support, with co-sponsors including Reps. Kyrsten Sinema (D-Ariz.), Roger Williams (R-Texas), David Scott (D-Ga.), French Hill (R-Ark.), Josh Gottheimer (D-N.J.), Ted Budd (R-N.C.), Steve Stivers (R-Ohio) and Gregory Meeks (D-N.Y.). The House passed a similar bill in the previous Congress by a wide bipartisan margin.
