Washington, DC – Today, U.S. Representative Young Kim (CA-40), Capital Markets Subcommittee Chairwoman Ann Wagner (MO-02), Financial Services Oversight and Investigations Subcommittee Chairman Bill Huizenga (MI-04), Digital Assets, Financial Technology and Inclusion Subcommittee Chairman French Hill (AR-02), Financial Institutions and Monetary Policy Subcommittee Chairman Andy Barr (KY-06), and Capital Markets Subcommittee Vice Chairman Andrew Garbarino (NY-02) introduced the Review the Expansion of Government (REG) Act (H.R. 7030) to bolster Congressional oversight of the Securities and Exchange Commission (SEC).
Since 2021, the SEC has proposed more than 50 rules. The REG Act would counter overregulation and ensure rules are working as intended and not hurting small businesses by requiring the SEC to:
- Review final rules and regulations every five years;
- Determine whether revision or repeal of a rule is necessary or appropriate to fulfill the SEC’s three-part mission;
- Establish a plan to carry out the rule review process;
- Report to Congress with findings on the review process; and
- Consider the cumulative costs of rules and regulations.
“Policies should make life easier for Americans, not harder. The SEC has proposed more than 50 rules in just three years – sidelining Congress, stifling access to capital and innovation, and burdening small businesses, investors, and consumers alike. We ought to preserve our country’s preeminence in the capital markets and competitive edge in the world,” said Rep. Kim. “The REG Act is a commonsense bill to conduct oversight on the Biden administration’s burdensome regulations and ensure the SEC’s rules are working as intended and not hurting those chasing their American dream. I’ll keep fighting for a streamlined, transparent federal government that is accountable to taxpayers.”
“The REG Act is a commonsense piece of legislation designed to rein in bureaucracy and require timely reviews of the SEC’s regulatory process. The REG Act would also improve oversight of the SEC by ensuring the agency maintains its focus on capital formation and investor protection and does not exceed the authority granted to it by Congress. I want to thank Congresswoman Kim for taking a leadership role in holding the SEC accountable,” said Rep. Huizenga.
“I am pleased to join my friend Rep. Young Kim in reintroducing the REG Act, which would prevent regulatory overreach at the Securities and Exchange Commission (SEC),” said Rep. Hill. “The SEC needs to follow its mission – protect investors, maintain orderly and efficient markets, and enable capital formation. I support strengthening guardrails around the SEC’s rulemaking process to ensure any rulemaking that does not advance the Commission’s mission is retracted.”
“Under Chair Gensler, the SEC’s aggressive regulatory overreach has threatened the stability and prosperity of U.S. capital markets,” said Rep. Andy Barr. “The REG Act will rein in the SEC’s understudied rulemaking agenda and ensure that the cumulative costs of regulations are no longer ignored but are a central consideration in our pursuit of a fair and efficient financial market.”
“Executive rulemaking must be done in a responsible and intentional way that avoids burdensome and costly regulations, as well as considers the latest developments in our capital markets and emerging technologies,” said Rep. Garbarino. “Given the sheer number of recently proposed rules by the SEC, establishing a rule review process will allow for Congressional oversight to ensure that the SEC is abiding by its own mission in the rule making process and not exceeding its statutory authority. I am proud to co-sponsor the Review the Expansion of Government (REG) Act, and I thank Congresswoman Young Kim for her leadership on this issue.”
Read the full bill text HERE.
