The House voted in favor Tuesday of the CUNA-backed Risk-Based Credit Examinations Act of 2017 (H.R. 3911). The bill was introduced by Rep. Ann Wagner (R-Mo.) and Bill Foster (D-Ill.)
Specifically, H.R. 3911 amends the Securities Exchange Act of 1934 to allow the SEC to perform risk-based examinations of the Nationally Recognized Statistical Rating Organizations (NRSROs). NRSROs are credit rating agencies the SEC permits other financial firms to use for certain regulatory purposes.
“We’re glad to see this bill move forward in the legislative process, as it’s important for the SEC to be able to keep focus on risky areas while otherwise reducing compliance burdens for financial services providers,” said CUNA Chief Advocacy Officer Ryan Donovan.