self-inflicting harm is inflicted on our economy. unaddressed end user requirements could lock up billions of dollars that would otherwise be put to productive use, collars that could go to hiring new employees this bill, the business risk mitigation and price stable -- stabilization act of 2013 is a jobs bill. without this bill, company treasurers complying with new margin requirements have to pull money from somewhere, choking off money for other business areas. and those bys are those that use the tools to avoid risk, not speculation. they didn't contribute to the crisis of 2008 yet going against what congress intended, regulators are roping them in. i hope this bill passes with a large majority so it cannot be ignored by the senate -- mr. hensarling: i yield the gentleman 30 seconds. the speaker pro tempore: the gentleman is recognized. mr. hultgren: my constituents need this legislation. our farmers and manufacturers,

big and small have voiced their support. thank you to the spon source of this legislation, mr. grimm and mr. peters. thank you, mr. chairman, and i yield back. . >> i no further requests for time and yield back the balance of my time. to allow the -- mr. mcintyre from the agriculture committee to control the rest of the time. the speaker pro tempore: the gentleman yields back the balance of his time. the gentleman from north carolina is recognized. mr. mcintyre: thank you, madam speaker. i rise today in support of this bill of which i'm a strong supporter and lead co-sponsor, h.r. 634, and would like to thank my colleagues, representatives hensarling, grimm, peters, and scott for their commitment to working together on this as you have heard in the discussion that has occurred thus far. this bipartisan bill is a prime example, something our nation's yearning for to see here this this congress that members can and will work together when we need to find solution that is we can come across the aisle to reach and reach them quickly. the business risk mitigation and stabilization act will clarify

that true derivatives end users are exempt from the margin requirements supplied by the dodd-frank wall street reform and the consumer protection act to many derivatives contracts. these true end users use them to manage actual business risk and protect against fluctuating prices, currency rates, or interest rates. not to speculate. margin requirements replace un-- would place undue brurd on responsible end oosers, not only back home in eastern north carolina, where i'm from, but also across the country. our farmers, agricultural co-ops, community banks all use financial products to mitigate risk, provide security for their businesses, and maintain prices for consumers. by removing margin requirements this bill will free up capital, something we all hear about that our small businesses are screaming for. free up capital and allow businesses to plan for the future. shield these plans from risk, and provide certainty needed to

create american jobs. those battle cries of freeing up capital and providing certainty are something i know all of our colleagues on both sides of the aisle can agree on. we do want to help with jobs and small business. in the previous congress the house overwhelmingly passed an identical bill as has been mentioned earlier. it is my hope that this house will again pass this important bipartisan legislation today, send a strong message that congress can and will work together to pass commonsense solutions that protect our businesses, our farmers, cooperatives, and others from burdensome and misguided regulations. with that i reserve the balance of my time. the speaker pro tempore: the gentleman reserves the balance of his time. the gentleman from texas. mr. hensarling: madam speaker, i now yield three minutes to the gentleman from georgia, mr. scott, who is the lead co-sponsor of this bill from the agriculture committee. the speaker pro tempore: the gentleman from georgia is recognized for three minutes. mr. scott: thank you, mr. chairman. madam speaker, i rise today in support of h.r. 634, the business risk mitigation and price stabilization act of 2013.

i, too, would like to thank many of the members on the other side of the aisle, as well as mine, and specific mr. mcintyre from north carolina for his work on the ag committee on this piece of legislation. this bill clarifies congressional intent by providing a clear exemption for nonfinancial end users that qualify for clearing exception under title 7 of the dodd-frank wall street reform and consumer protection act. across the country consumers and businesses alike are confronted with risks that are associated with their day-to-day operations. to manage these risks businesses use over-the-counter derivatives to provide price certainty. consumers benefit through lower volatility in the day-to-day prices of the goods and services they purchase. passing this legislation congress will provide a specific exemption for clearing and madgal requirements for businesses and individuals who are not financial institutions. this accounts for less than 10% of the capital of the

derivatives markets. it relieves the burdensome regulations and keeps the u.s. economy moving. its balance protects the consumer while provide a pro-growth environment for business. to further the goals of h.r. 634, it clarifies congress' intent of keeping much needed capital in the u.s. markets which places an important role in our country's continued economic growth. i would also like to reiterate the fact that last year congress passed this same piece of legislation 370-24. for this reason i ask my colleagues to support h.r. 634 so that businesses and individuals may benefit from the day-to-day risk management practices this will provide. madam speaker, i yield the remainder of my time. the speaker pro tempore: the gentleman yields back. the gentleman from north carolina. mr. mcintyre: i reserve the balance of my time. the speaker pro tempore: the gentleman from north carolina reserves the balance of his time of the the gentleman from texas. mr. hensarling: i now yield two minutes to the gentlelady from missouri, mrs. hartzler, also a member of the agriculture committee.

the speaker pro tempore: the gentlelady is recognized for two minutes. mrs. hartzler: thank you. i rise today in strong support of h.r. 634, the business risk mitigation and price stabilization act of 2013. this bipartisan, commonsense piece of legislation is critical for commercial end users like farm credit companies and rural electric cooperatives to be able to use swaps to manage their long-term risks. earlier this year i introduced h.r. 2136, the small business credit availability act, to address this very issue. i'm pleased that my colleagues have put together this important legislation which addresses the concerns that i have with clearing and margin requirements for rural electric cooperatives. it's important to every family in my district to be able to count on reasonable and stable electric bills without unplanned price fluctuations. this bill ensures that the rural electric cooperatives in my district will be able to manage their long-term risk without the burden of costly clearing and margin requirements that would ultimately be passed on to my

constituents. i want to especially thank the chairman and ranking member of both committees for including language ensuring that cooperatives that have clearing exemption are also excluded from costly margin requirements. dodd-frank never intended for end users like rural electric cooperatives, farm credit companies to be subject to clearing and margin requirements. rural cooperatives in my district provide a great service at the lowest rates possible. requiring these rural cooperatives to post margin on their swaps merely ties up working capital and will unnecessarily lead to higher leak terrorist it costs across the u.s. i was pleased to earlier the cftc included many of these end users in their proposed rule making on the clear exemption. i support this legislation's directive to close the loophole by granting margin exemptions to those same entities as well. again, i support h.r. 634, and i urge my colleagues to vote for this legislation.

i yield back the balance of my time. the speaker pro tempore: the gentlelady yields back her -- the remainder of her time. the gentleman from north carolina. mr. mcintyre: i reserve the balance of my time. the speaker pro tempore: the gentleman from north carolina continues to reserve the balance of his time. the gentleman from texas. mr. hensarling: madam speaker, i'm prepared to close and reserve the balance of our time. the speaker pro tempore: the gentleman reserves. the gentleman from north carolina. mr. mcintyre: we are prepared to close. we have no further speakers. do want to emphasize the fact that we have great bipartisan support and would like to see this bill passed right away. thank you, madam speaker. the speaker pro tempore: the gentleman yields back the balance of his time. the gentleman from texas. mr. hensarling: madam speaker, i just want to urge all my colleagues to support this bipartisan legislation to bring some relief to end users, promote economic growth, and jobs, and make congressional intent clear. again i urge all my colleagues to adopt it. yield back the balance of my time. the speaker pro tempore: all time has been yielding back. the question is will the house suspend the rules and pass the bill h.r. 634, as amended.

so many as are in favor say aye. those opposed, no. in the opinion of the chair, 2/3 of those voting having responded in the affirmative, the rules -- the gentleman from north carolina. mr. hensarling: i ask for the yeas and nays. the speaker pro tempore: the yeas and nays are requested. all those in favor of taking this vote by the yeas and nays will rise and remain standing until counted. a sufficient number having arisen, the yeas and nays are ordered. pursuant to clause 8 of rule 20, further proceedings on this motion will be postponed. the speaker pro tempore: for what purpose does the gentleman from arkansas seek recognition? >> madam speaker, i move to suspend the rules and pass the bill h.r. 742. oipsoip the clerk will report

the title of the bill. the clerk: h.r. 742, a bill to amend the securities exchange act of 1934 and the commodity exchange act to repeal the indemnification requirements for regulatory authorities to obtain access to swap data required to be provided by swap entities under such act. the speaker pro tempore: pursuant to the rule, the gentleman from arkansas, mr. crawford, and the gentleman from georgia, mr. scott, each will control 20 minutes. the chair recognizes the gentleman from arkansas. mr. crawford: thank you, madam speaker. i ask unanimous consent to revise and extend my remarks -- i ask unanimous consent that all members may have five legislative days to revise and extend their remarks on the bill h.r. 742. the speaker pro tempore: without objection, so ordered. mr. crawford: i yield myself such time as i may consume. the speaker pro tempore: the gentleman from arkansas is recognized. mr. crawford: thank you, madam speaker. i want to thank the other co-sponsor of this bill, especially mr. huizenga, ms. moore, and mr. maloney for joining me in this bipartisan effort. while i may not agree with every provision in the dodd-frank law, today i believe we are working

towards its bipartisan goal to give regulators the tools they need. i think everyone agrees that the lack of transparency in the over-the-counter derivatives markets escalated the financial crisis of 2008. in order to provide market transparency the dodd-frank law requires post trade reporting to swap dat yap reposs tories so regulators and market participants have access to real-time market data that will help identify systemic risk. so far we have made great strides, but unfortunately a provision in the law threatens to undermine our progress. currently dodd-frank includes a provision requiring a foreign regulator to indemocrat if i phi for any expenses arising from request for dearkt data. unlike the rest of the world, the concept is only established within u.s. tort law. as a result foreign regulators have been reluctant to comply with this provision and international regular torrey coordination is being thwarted.

while the intent was to protect market confidentiality, in practice it threatens to fragment globe data on swap markets. regulators t will will be unable to see a complete picture of the marketplace. without effective coordination between innational regulators and s.c.r.'s, it is clearly limited. h.r. 752 fixes this problem by removing the indemnification provisions in dodd-frank. this legislation has broad bipartisan support and unanimously approved by the house agriculture committee in march and the house financial services committee in may. additionally, last year the s.e.c. testified to the financial services committee that a legislative solution was needed, saying, quote, in removing the indemnification requirements, congress would assist the s.e.c. as well as other regulators in securing the access it needs to data held in global trade repositories, end quote. if left unresolved, the

indemnification provision has the potential to effectively reduce transparency in the over-the-counter derivatives markets and undo the great process already made. in passing this legislation, we'll ensure that regulators will have access to a global set of swap market data which is essential to maintaining highest degree of market transparency and risk mitigation. i strongly urge my colleagues to vote yes on this bill and with that i reserve the balance of my time. the speaker pro tempore: the gentleman reserves the balance of his time. the gentleman from georgia. mr. scott: yes, first i ask unanimous consent to yield 10 minutes of my time to ms. moore of wisconsin who has done a tremendous job on this issue. and that she be allowed to control that time. the speaker pro tempore: without objection, so ordered. ms. moore: thank you so much, madam chair. thank you, mr. scott, for yielding the time. i yield myself such time as i may consume -- the speaker pro tempore: would the gentlelady suspend. the gentleman from georgia is still under recognition.

mr. scott: yes, i should have made it clearer. ms. moore: i was eager, madam chair. the speaker pro tempore: the gentleman from georgia may proceed. mr. scott: as i say you can see she's done a tremendous amount of work on this and she's very eager. she can be recognized as soon as i get my opening statement. i want to thank you, madam speaker. i rise today in support of h.r. 742, the swap data repository and clearing-house indemnification correction act which has been sponsored by my colleague and good friend, representative crawford from arkansas, and it's been a pleasure to work with him on this. and i'd like to strongly urge all of my colleagues to vote in favor of this bill. r. 742 is a noncontroversial and it is highly bipartisan shared by both democrats and republicans alike.

it passed the agriculture committee by voice vote unanimously, and it passed the financial services committee by nanimous vote as well, 52-0. madam speaker, dodd-frank ushered in a new era of financial marketing, reporting and transparency requirements, which was very much needed. in order to aid regulators by providing insight into what were once very opaque markets and to facilitate information sharing between and among united states and international regulators. these were very laudable and necessary changes that were welcome by regulators and market participants alike. dodd-frank also included provision requirementing that

n order for the gathered action information to be shared, that the s.e.c. and the cftc or a swap data repository be indemnified against accidental release or misuse of information. unfortunately, madam speaker, this indemnification provision is having an unintended consequence. an unintended effect of preventing data collection and information sharing, particularly when international transactions and international regulators are involved because indemnification is a legal concept, unique only to the united states. so h.r. 742 would very simply remove this indemnification

requirement as requested by the united states -- by united states and foreign regulators and swap data repositories, so that we can realize the level of demrobal information sharing that is so critical to monitoring systemic risk. madam speaker, as i said, i strongly support this simple but necessary bill that will help to facilitate greater information sharing as intended by dodd-frank and i encourage my colleagues to do the same and i thank you and i reserve the balance of my time. the speaker pro tempore: the gentleman reserves. the gentleman from arkansas. mr. crawford: i would like to yield three mins to the gentleman from michigan, the lead co-sponsor on this bill, the gentleman from michigan, mr. huizenga. mr. huizenga: i appreciate that from my friend from arkansas who has is shown great

leadership on this issue. thousands of companies across this country and in my state of michigan utilize derivatives to better manage the risks that they face every day. the proper use of derivatives to lower risk benefits the global economy by allowing a range of benefits from health care, agriculture and a myriad of others to improve their planning an forecasting an offer more stable prices to us, the customers. by imposing over-the-top regulaer to burdens on end users this could produce liquidity that prevent them using marks efficiently, effectively and properly. that's why i'm a supporter of e day swap data repository and clearing-house indemnification act, quite a mouthful, but an important bill that passed both the

agriculture and financial service committees a rare feat, and it would remove the about future losses imposed on foreign regulators by dodd-frank and as a condition of obtaining access to the data repositories we need to share. earlier this year, the cftc and s.e.c., the regulatory agencies, issued a joint report on international swap regulation acknowledging the problems with indemnification in dodd-frank. the s.e.c. and cftc staff report said indemnification caused problems among foreign gulators, some of which have expressed unwillingness to establish a swaps data repository.

additionally it noted that congress may drm what legislative amendment is appropriate, end quote. despite opposition if the secretary of the treasury and the white house, here's the bipartisan answer to this problem. and we're glad to see that people on both sides, right, left, and center have all agreed that this is a proper measured step to solve this issue. as you can see this legislation solution is small, it's a technical fix to the dodd-frank act, but it's desperately needed and vital to maintain the integrity of domestic and global derivative market regulations and i urge swift passage of h.r. 742. i yield back. the speaker pro tempore: the gentleman yields back. ho seeks time? ms. moore: madam speaker, i'm seeking the time that mr. scott yielded to me before. the speaker pro tempore: the

gentlelady from wisconsin controls 10 minutes. the gentlelady is recognized. ms. moore: gep, i want to thank mr. scott an thank you, madam speaker, for recognizing me. i yield myself such time as i might consume. the speaker pro tempore: the gentlelady is recognized. ms. moore: i am so delighted to be the lead co-sponsor on the financial services committee and the democratic side of this critical legislation. however, i do want to thank all of my colleagues on both the ag committee and the financial services committee for their leadership and support on this nuanced but important legislation. it really took the hard work of a bipartisan group of members and staff to get this bill to this point. h.r. 742, the swap data repository and clearing-house indemnification act strikes the mandate that the global regulators indemnify other regulators from liability in order to access swap trade

data. mr. scott and mr. crawford have done a fantastic job walking through the details of the bill. i just want to add, madam speaker, that striking this indemnification provision does not compromise the new legal framework for the swap markets enacted in dodd-frank. nor does it evode any other important market protection. 742 ct, s.r. -- h.r. ensures the functioning of the newly enacted swap regime and ability of swap data repositories to function as intended. the bill passed both the house financial services and ag committees without opposition. the bill is supported by consumer advocacy groups as well as business groups. in testimony before the financial services committee, the securities and exchange commission said of the bill,

and i quote, the s.e.c. recommends that congress consider removing the indemnification requirement added by the dodd-frank act. the indemnification requirement interferes with access to essential information including information about the cross border o.t.c. derivatives market, unquote. h.r. 742 ensures information regarding the global swap market will be available to you as foreign regulators which will enhance the tpwhrobal transparency and oversight of derivatives markets. i reserve my time. the speaker pro tempore: the gentlelady reserves the balance of her time. the gentleman from arkansas. >> i reserve. the speaker pro tempore: the gentlelady from wisconsin. ms. moore: i would like to yield two and a half minutes to my colleague, mrs. maloney of new york. the speaker pro tempore: the gentlelady is recognized for two 1/2 minute -- for two and a

half minutes. mrs. maloney: i thank the gentlelady for her leadership and for yielding and this is a very strong bipartisan effort and i rise today in support of h.r. 742, the swap data repository and clearing-house indemnification act. in enacting the dodd-frank act, congress passed the most sweep regular forms to the financial industry in decades, in response to the worst economic crisis in our lifetime. the facts are clear. the financial system is flobal. and as a result -- is global. and as a result, systemic risk is global as well. we saw in 2008 with the exposure that european banksed a had to counterparties like lehman and merrill and we see it today with u.s. banks' exposure to european debt crisis. the great equalizer here is data. this is the reason dodd-frank created swap data repositories,

so that the regulators, domestic and foreign alike, can recognize prospective crabs in the financial armor before they become gaping holes. this is critically important and we must get it right. data collection has been an issue i've worked hard on in the past and i want to ensure we are doing hevering we can to support collaboration and encourage an open exchange of data with our foreign counterparty. virtually everyone agrees that the indemnification provisions in dodd-frank will have the unintended consequence of limiting the extent to which our u.s. regulators share information with well over 50 foreign regulators. that is the complete opposite of the direction that we want to go in. this bipartisan effort to correct a problem in dodd-frank is not an attempt in any way to weaken the bill.

is an -- it is an attempt to make good legislation even better this bill will go a long way toward furthering a major goal of the dodd-frank legislation and reforms which is sharing data and -- in collaboration with foreign entities to reduce global systemic risk. this not has strong bipartisan support but is likewise supported by the s.e.c. i urge my colleagues on both sides of the aisle to support this important correction. i yield back. the speaker pro tempore: the gentlelady yields back. the gentleman from arkansas. mr. crawford: i reserve. the speaker pro tempore: the gentlelady from wisconsin. ms. moore: thank you, madam speaker. i am delighted at this point to yield two minutes of my time to someone who was formerly on the ag committee, and is currently on the financial services committee and understands the importance of h.r. 742, representative terry sewell of

alabama. the speaker pro tempore: the gentlelady is recognized for two minutes. ms. sewell: thank you, madam chairism rise today in support of h.r. 742 the swap depository -- swap data repository and clearing-house indemnification correction act. h.r. 742 helps ensure regulators continue to have the transparency needed to help mitigate decisions in our domestic and international financial markets. as we continue to move forward with the implementation process of dodd-frank we must be mindful of the original purpose and intent behind this essential reform. dodd-frank was intended to add more transparency and oversight to our financial markets and to ensure that another financial crisis and meltdown would never occur. however, congress must continue to provide important guidance and oversight of financial regulatory agencies in order to ensure that no unintended consequences associated with

these new regulations will run counter to the original intent. that is why i support this bipartisan and commonsense technical correction and clarification in h.r. 742. as a former securities lawyer and finance professional, i believe that this bill, by correcting the indemnification provision that imposed burdensome regulations on our foreign regulators, it will in many ways maintain the integrity of our financial markets and i think it is the right thing to do. while many aspects of the new derivatives market and the entire title 7 regime remain uncertain, i want to applaud the diligent work of both the cftc an s.e.c. in drafting and implementing these critically new regulations. today's vote helps add clarity and clarification to very important derivative reform. i urge my colleagues on both sides of the aisle to vote in favor of this important

clarification. i also want to commend my colleagues on both sides of the aisle and my colleague gwen moore as well as my colleague david scott, for their leadership on this issue. i urge my colleagues to support this bipartisan piece of legislation and yield back the rest of my time. the speaker pro tempore: the gentlelady yields back. the gentlelady from arkansas. mr. draw -- crawford: i reserve. the speaker pro tempore: the gentlelady from wisconsin. ms. moore: thank you so much, madam speaker. you know, i am so pleased that h.r. 742 is before us so that people understand, madam speaker, that this process actually does work. from time to time. this provision was added at the last minute to the dodd-frank bill, was not fully vetted, not fully debated new york a very diligent way. two committees on both sides of the aisle were able to come

together and really pull together this very modest but extremely critical, important bill to make sure that there's transparency as well as fluidity in our global -- our oversight of derivatives markets. and i'm so pleased to be a part of this remarkable consensus on this indemnification of this bill. i urge my colleagues to support this critically important legislation and i yield back the balance of my time. the speaker pro tempore: the gentlelady yields back the balance of her time and the -- the gentleman from arkansas. mr. crawford: i would like to add by enacting and passing h. reform 742 it would send a clear message to the international community that the united states is committed i would haring and

urge a yes vote on h.r. 742 and i will continue to reserve. . the speaker pro tempore: the gentleman continues to reserve. gentleman from georgia. mr. scott: i have no additional speakers so i would like to close by simply saying a great thanks done for the work from mr. crawford from arkansas, ms. moore from wisconsin, ms. sewell from alabama, and mrs. maloney from new york, and this great show of bipartisanship that will help us to fassel tate greater information sharing which was intended by dot frank. i urge -- dodd-frank. i urge passage on this much needed legislation. i yield back the balance of my time. the speaker pro tempore: the gentleman from georgia yields back the balance of his time. gentleman from arkansas. mr. crawford: thank you, madam speaker. i thank the gentleman from georgia. i again urge a yes vote on h.r. 742. with that i yield back. the speaker pro tempore: the gentleman yields back.

all time has been yielded. the question is will the house suspend the rules and pass the bill h.r. 742. so many as are in favor say aye. those opposed, no. in the opinion of the chair, 2/3 of those voting having responded in the affirmative -- mr. scott: i ask for a roll call vote on this, please. the speaker pro tempore: does the gentleman ask for the yeas and nays? mr. scott: yes, yeas and nays. the speaker pro tempore: the yeas and nays are requested. all those in favor of taking this vote by the yeas and nays will rise and remain standing until counted. a sufficient number having arisen, the yeas and nays are ordered. pursuant to clause 8 of rule 20, further proceedings on this motion will be postponed.

the speaker pro tempore: for what purpose does the gentleman from california seek recognition? >> madam speaker, i move to suspend the rules and pass the bill h.r. 1038. the speaker pro tempore: the clerk will report the title of the bill. the clerk: h.r. 1038, a bill to provide equal treatment for utility special entities using utility operations related swaps, and for other purposes. the speaker pro tempore: pursuant to the rule, the gentleman from california, mr. lamalfa, and the gentleman from georgia, mr. scott, each will control 20 minutes. the chair recognizes the gentleman from california. mr. lamalfa: thank you, madam speaker. i ask unanimous consent to -- se and extend my remarks i ask unanimous consent that all members may have five legislative days to revise and extend their remarks on the bill h.r. 1038. the speaker pro tempore: without objection, so ordered mr. lamalfa: i yield myself such time as i may consume. the speaker pro tempore: the gentleman from california is recognized. mr. lamalfa: madam speaker, the premise of the heavily bipartisan public power risk management act is simple. it is one that all members of the house should support.

it seeks to keep electricity and natural gas rates from increasing for over 47 million americans. those 47 million americans are customers over 2,000 publicly owned utilities who have used swaps to manage their risk for years. unfortunately the dodd-frank act, though well-intentioned, which was enacted to make reforms to our nation's financial industry, has been used to limit and can to business with public utilities. in my district, the city of reading, california, the utility has been concerned that potential limitations to hedging options in the future could increase the costs to their customers. as well as grays harper, that serves 45,000 customers in washington state, previously had 20 counter parties with which they could use to help manage their risk. so says the chief financial officer. now it's down to just two counter parties due to overly

restricted rules borne out of i think an unintentional consequence of the dodd-frank act. what we are hearing is abundantly clear they are worth more to us than we are to them. it wasn't a big book of business for them, it's just not worth it for them to be designated as a swap dealer. they are not willing to take that on, so they have left the marker, unquote from mr. streeter. this unintended consequence is affecting utilities in congressional districts across the united states. the results of this limitation are fewer options for publicly owned utilities to manage their risks. which will translate into higher costs for millions of american ratepayers. i was not yet a member of this body when dodd-frank was debated, i think it is safe to say no one at any point had intended during this debate that it would contemplate in dodd-frank it would lead to higher energy rates for mfls americans. which is -- millions of

americans. which is an unacceptable result. this outcome can be prehaven'ted by sending h.r. 1038 to the senate today with a strong bipartisan vote. i should note while my bill seeks to reserve a publicly utility's access to cost-effective and customized nonfinancial swaps, it still requires financial swaps to be governed by the new cftc rules issued under the dodd-frank act and requires reporter of all transactions to the cftc to ensure market integrity. i should also note that my bill has broad bipartisan support. i'm very thankful for that for many members, both sides of the aisle, all over the country, as well as broad support by key stakeholders, including the consumer federation of america, and the united states chamber of commerce. i would also ask unanimous consent to insert those letters into the record. the speaker pro tempore: without objection, so ordered. mr. lamalfa: so let's stick up

for these utilities and their customers. they are simply trying to manage their risks so they can keep rates low for millions of americans. i thank you, madam speaker, i reserve the balance of my time. the speaker pro tempore: the gentleman reserves the balance of his time. the gentleman from georgia. mr. scott: madam speaker, thank you very much. i rise today to offer my full support for h.r. 1038, the public power risk management act which is sponsored by my colleague from california, mr. lamalfa. and i would like to commend mr. lamalfa for his outstanding leadership, because as he pointed out this is another one of those unintended cornses -- consequences that were to fix. h.r. 1038 is a noncontroversial bill. it passed the house committee on agriculture by a voice vote. and h.r. 1038 seeks to correct

an oversight in dodd-frank that has hindered the ability of publicly owned utilities to offset their risk in the traditional fashion. put simply, h.r. 1038 would simply allow producers, utility companies, and other nonfinancial entities, to continue entering into energy swaps. with government-owned utilities, without danger of being required to register with the cftc as a swap dealer. what this will do is it will allow these publicly owned utilities to continue using their traditional swap counter parties to help manage their risks related to generation of electricity and the production of natural gas.

this is very important, madam speaker, because if the law remains as it is without this bill, it is the ability of utilities to manage risk would be hindered by increased costs and could lead to higher energy rates for millions of americans. and we certainly do not want this to happen. this is something we want to avoid, especially during our still fragile economic recovery. so, madam speaker, i support this technical correction to dodd-frank and i urge my colleagues to support it as well. thank you, i reserve the balance of my time. the speaker pro tempore: the gentleman reserves the balance of his time. the gentleman from california. mr. lamalfa: i yield one minute to my colleague from arkansas, mr. crawford. the speaker pro tempore: the gentleman is recognized. mr. crawford: i thank the gentleman from california for his leadership on this issue and

opportunity to allow me to speak in support of h.r. 1038, the public power risk management act of 2013. this is a good bipartisan piece of legislation that would simply allow producers, utility companies, and other nonfinancial entities to continue entering into energy swaps with government-owned utilities, also known as utility special en, without requiring them to register with the cftc as a swap dealer solely because of their dealings with government-owned utilities. as a group they deliver electricity to one in seven of every electric customer in the united states. over 47 million people. certainly some in major metropolitan areas such as los angeles, san antonio, seattle, orlando. the vast majority serve communities with populations of 10,000 people or less. h.r. 1038 places the utility special entities on a level playing field, allowing many of them to keep the same swap counter parties to manage risk for years.

they should be allowed to keep using swaps to help manage the risk. to hinder these utilities' ability to manage risk would overwhelm increase their costs and possibly lead to higher energy rates for millions of americans and unacceptable result during a period of tremendous economic uncertainty. madam speaker, i urge passage of h.r. 1038, urge a yes vote, and yield back. the speaker pro tempore: the gentleman from georgia. mr. scott: i have no other speakers, madam speaker. so i'd like to close. i would like to say that mr. costa, our distinguished congressman from california, expresses his deep concern and support for this legislation. i certainly wanted to register that on his behalf. and certainly to mr. lamalfa and to mr. crawford, again, commending for your outstanding work on this. wherever we can cut costs and

save money for the american people, we need to do it and to it quickly. therefore i urge a very quick passage of this very important and timely piece of legislation. i yield back the balance of my time. the speaker pro tempore: the gentleman from georgia yields back the balance of his time. the gentleman from california. mr. lamalfa: thank you, madam speaker. i appreciate again how we have been able to come together in such a good bipartisan fashion. greatly appreciate my colleague from georgia, mr. scott, his kind words and helpful words in moving this legislation today on the floor. in closing, again, h.r. 1038 seeks to keep electricity and natural gas bills affordable for over 47 million americans. our publicly owned utilities should have access to the risk management tools they need to keep costs down. a goal that we all share. which prevents utility rates from rising. i ask my colleagues to support this commonsense legislation and i yield back the balance of my time. the speaker pro tempore: the

gentleman from california yields back the balance of his time. all time has been yielded back. the question is, will the house suspend the rules and pass the bill h.r. 1038. so many as are in favor say aye. those opposed, no. mr. scott: i ask for the yeas and nays, please. the speaker pro tempore: in the opinion of the chair, 2/3 of those voting having responded in the affirmative, -- does gentleman request the yeas and nays? mr. scott: yes. the speaker pro tempore: the yeas and nays are requested. all those in favor of taking this vote by the yeas and nays will rise and remain standing until counted. a sufficient number having arisen, the yeas and nays are ordered. pursuant to clause 8 of rule 20, further proceedings on this motion will be postponed.

the speaker pro tempore: for what purpose does the gentleman from florida seek recognition? >> madam speaker, by direction of the committee on rules i call up house resolution 256 and ask for its immediate consideration. the speaker pro tempore: the clerk will report the resolution. the clerk: house calendar number 31, house resolution 256, resolved, that at any time after the adoption of this resolution the speaker may, pursuant to clause 2-b of rule 18, key kwlare the house resolved into the committee of the whole house on the state of the union for consideration of the bill h.r. 1960, to authorize appropriations for the fiscal year 2014 for military activities of the department of defense and for military construction, to proscribe military personnel strengths for such fiscal year, and for other purposes. the first reading of the bill shall be dispensed with.

all special orders against consideration of the bill are waived. general debate shall be confined to the bill and shall not exceed one hour equally divided and controlled by the chair and ranking minority member of the committee on armed services. after general debate, the committee as a whole shall rise without motion. no further consideration of the bill shall be in order except pursuant to a subsequent order of the house. section 2, upon adoption of this resolution it shall be in order to consider in the house the bill h.r. 1256, to direct the securities and exchange commission and the commodity futures trading commission to jointly adopt rules setting forth the application to cross border swaps transactions of certain provisions relating to swaps that were enacted as part of the dodd-frank wall street reform and consumer protection act.

all points of order against provisions in the bill are waived. the previous question shall be considered as ordered on the bill as amened and on any amendment thereto without intervening motion except, one, one hour of debate with 40 minutes equally divided and controlled by the chair and ranking minority member of the committee on financial service and 20 minutes equally divided and controlled by the chair and ranking minority member of the committee on agriculture. and two, one motion to recommit with or without instructions. section three, the chair of the committee on agriculture is authorized on behalf of the committee to file a supplemental report to accompany h.r. 1947. the speaker pro tempore: the gentleman from florida is recognized for one hour. >> ma'am, for the purpose of debate only, i yield the cust mir 30 minutes to the gentleman from massachusetts, mr. mcgovern, pending which time i yield myself such time as i may

consume. during consideration of this resolution, all time yielded is for debate only. i ask unanimous consent that all members have five legislative days to revise and extend their remarks. the speaker pro tempore: without objection, so ordered. >> house resolution -- mr. nugent: house resolution 256 provides for consideration , the swap act, which will be considered for one hour equally divided and controlled. it also provides one hour of general dea bait for the national defense authorization act. the rule committees traditionally receives hundreds of amendments to the ndaa and with just under 300 submitted by the end of the day yesterday this year is no different. therefore, as a tradition this

bill the first rule in the ndaa consideration process provides for general debate while a second will provide for consideration of the me thora of amendment -- of the plethora of amendments we have before us. i have had the honor of helping craft this legislation for the past few months. as i think anyone could imagine, when you're talking about a bill that authorizes the department of defense there's a lot to discuss and consider that point was illustrated by our full committee markup in the armed services last week which started first thing wednesday morning and went through to almost 3:00 a.m. on thursday. 16 hours. we worked long and hard and i'm proud of the product we presented to this house for consideration. but for as much time and effort we on the armed services put into the defense authorization act, i know other members who don't serve on that committee will want to make their mark on this bill too. to ensure the house has the

opportunity to really have a comprehensive, flee-flowing debate on such an important topic, we've decided to break the rule for defense authorization act into two parts. that's why today's rule provides us with one hour of general debate time. it gets us started on the path to consideration, it also allows members from both sides of the aisle to have a full discussion about the broader themes running through this base legislation. there are important debates and the sooner we get them started the better. with nearly 300 amendments submitted to the national defense authorization act, the truth is that we on the rules committee couldn't give each and every amendment the full weight and consideration it deserves and produce a comprehensive rule that starts debate on the full bill and all amendments today. if something is worth doing, it's worth doing it right. therefore while the house works on the swap jurisdiction certainty act and starts general debate on the ndaa, we

on the rules committee will return to the committee room and will continue to sift through all the amendments that members have offered on this bill. we want to make sure the house has the opportunity to weigh in on each and every important issue in the ndaa. that's why we need to take our time. once we have a full understanding of the amendments submitted to the committee, we'll come back with a second rule setting the universe of amendments for this legislation. i know that we all share the same commitment to making this a fair and cooperative process. quite frankly, it's the spirit of cooperation and the knowledge that we're serving a common purpose that's been one of the most gratifying parts of rving on this committee to date. as i told the chairman of the rules committee yesterday, we may disagree sometime but it doesn't mean we have to be disagreeable. we know our work directly impacts the life of each and every service member, his or her family and a personal -- in

a personal and direct way. we're providing for the common defense, part of the federal government's most fundamental role, part of our core mission, as i like to say. if you want proof of how collaboratively we worked on this bill as a committee, you only need to look at the fact that we passed this bill out of committee 59-2. as a father of three sons serving in the army i'm heart tond know that politics can be set aside when it comes down to making sure the troops are equipped with the tools required, funded at the levels they need and trained for the mission at hand. this is an important time for our country and an important time for those members of the military who serve -- who serve us every day. these young men and women put their lives on the line for us, we could be here today and debate the issues of the day. so they deserve our undivided attention and support when it comes to make you are -- making

sure they have everything they need. it's no -- there's in more essential role for our federal government in my opinion as to what we're doing today. h.r. 1960 fulfills a promise to our war fighters and their loved ones. i'm proud of this rule which gets us on the road toward considering and passing this essential bill. for that reason, i support the rule and i support the underlying pieces of legislation, and i look forward to coming back here tomorrow in the next step of getting the national defense authorization act for fiscal year 2014 passed. i encourage all my colleagues to vote yes on the rule and i reserve the balance of my time. the speaker pro tempore: the gentleman reserves. the gentleman from massachusetts. mr. mcgovern: i thank the gentleman from florida, mr. nugent, for yielding me the customary 30 minutes. i ask unanimous consent to revise and extend and yield myself such time as i may consume. the speaker: the gentleman is recognized. mr. mcgovern spsh this should be a simple rule. every year the house considers

the national defense act, it's a place to have the opportunity to debate some of the most important issues facing this country and the world. the process is typically broken into two part a rule providing for general debate on the national defense authorization act and a rule providing for consideration of amendments to do that to the bill. it's generally not a controversial process although the decisions made by the rules committee in allowing and preventing amendments from being considered can be controversial. and that's where this rule goes wrong. this is not the normal rule providing for general debate for the defense authorization bill. no, madam speaker, rule is much more than that. over the past three years, we have seen the republican leadership in the house fixated on several things. they want to take health care away from millions of americans by repealing obamacare. they want to destroy the social safety net through mindless budget cuts. and they want to weaken our

financial system by repealing the dodd-frank act that came out of the greatest fiscal process since the great depression. this rule, which should be a simple general debate rule, also makes in order h. reform 1256, the swap jurisdiction certainty act. not only does this rule cram in this controversial bill, it does not allow one single amendment. that's right,s that closed rule. that's not an open and transparent process, certainly not the one that speaker boehner promised. h. reform 1256 would require the commodity futures trading commission and the securities exchange commission to jointly issue rules on the regulations of swaps, transactions between the united states and foreign entities. h r. 1256 automatically exempts transactions in countries with the nine largest swaps marks from u.s. regulations unless the cftc and s.e.c. jointly determine that the regulations are broadly equivalent. because many large u.s. financial institutions have

subsidiaries outside the united states, there are serious concerns that banks will seek to conduct swap transactions in countries with looser regulations to avoid u.s. oversight. madam speaker, it is important to note that many countries are far behind the united states in promulgating their rules on swaps. why are we looking to allow foreign regulations to govern transactions involving u.s. companies that could ultimately impact our economy? during the markup in the financial services committee, ranking members maxine waters -- ranking member maxine waters offered an amendment to strike the assumption that foreign regulatory requirements meet u.s. swap requirements allowing the cftc and s.e.c. to determine whether they are comparable to u.s. requirements. unfortunately, under this closed rule the full house won't have the opportunity to consider a similar amendment to strengthen this legislation. madam speaker, this is yet another attempt to slow down the dodd-frank rule making

process, undermine the cftc's work in underwriting derivatives trading and weaken the financial regulations need to protect our market. i urge my colleagues to vote no on this bill. this rule also allows, believe it or not, the agriculture committee, to file a supplemental report to h.r. 1947, the farm bill re-authorization. madam speaker, is a bill that cuts $20.5 billion from snap, formerly known as food stamps while this report is just technical and fulfills the committee's responsibility, this rule is not the place for this report and i want to make it crystal clear that i do not support these egregious cuts. it's a rotten thing to do to poor people in this tough economic time. finally madam speaker, let me discuss the least controversial part of this rule, the defense authorization bill this rule allows the house to begin general debate on h.r. 1960, the f.y. 2014 national defense thoffersation act.

there is much to admire and support in this bill and i commend the chairman and ranking member for working together to ensure the programs provide benefits and supports to our -- and support to our veterans and military retire yeses are adequately funded and there will be no increase in tricare fees. regrettably, there's also a great deal in this bill that should make every member pause an think about our national security priorities. should we be spending additional billions on cold war nuclear weapons rather than on our troops, their families and veterans? should we be cutting funds and putting obstacles in the way of the new star treaty with russia limiting the ability to verify nuclear arsenals? should we be committing hundreds of million this is year and billions in the future to an east coast missile defense site the pentagon says it doesn't want and doesn't need? should we continue to set up roadblocks and obstruct the

president's efforts to obstruct e president's efforts to close guantanamo naval station, release and return to their families those who have been cleared of all charges and bring to justice once and for all those who were engaged in heinous act of terrorism? and the committee provides $85.8 billion for the war in afghanistan through the overseas contingency operations account. $5 billion more than than ha the president and pentagon asked for. let me just say a cup of words about the o.c.o. account. it's an offbudget account. it is another $85 billion in the nation's credit card. deficit spending pure and samplee. it is the lingo of emergency spending, as if we were -- as if it were -- as if it were an unexpected surprise that we will still be in afghanistan through all of f.y. 2015.

i have always been concerned that the wars in iraq and afghanistan and the ever more amorphous global war on terror have not been incruded in the pentagon's base budget but outside that budget with an emergency designation so we don't have to figure out how to pay for it now. we'll pay for it later and later and later. i'm increasingly concerned that even after we transition all combat military and curt operations over to the afghan government by the end of 2014, the o.c.o. will still go on. it's time to phase out the o.c.o., put this spending back into the base spending bill and if we want to make war, we ought to figure out a way to pay for it or make the appropriate cuts in other pentagon programs to make room for funding these operations. finally, mr. speaker, let me say a few words about the strong concern this is congress has on both sides of the aisle about the epidemic of sexual assault in all branches of our military. this bill includes several measures that will strengthen

the investigation and prosecution of these heinous crimes inside our military. it also provides new protections for victims of military sexual assault. it reflects the bipartisan work of representative turner, my massachusetts colleague, representative son gas, as well as representative what horse key, noem, castro and loretta sanchez, however, there is still much more that should and can be done to make hour brute call rapes and assaults are fully investigated, the victims treated with respect and to advance prevention and education in our military academies an among our ranks and officer corps. several amendments were submitted to the rules committee and i hope they will be made in order so we can have a more -- so that we can more fully debate this critical issue and how to end rape and sexual assault within our armed forces. let me just add, mr. speaker, that let me add, mr. speaker, while

the mdaa looks to strengthen protections and prosecutions, we here in congress are also to blame in having failed in our oversight responsibilities. congress has not given the attention to military sexual assault that it deserves. so i think we do need to clean up our own house and ensure that congress does a far better job of oversight to ensure that the pentagon and all our military members are held accountable for preventing, reducing, and prosecuting cases of sexual assault and abuse in our armed forces and providing victims with the services and support they deserve. mr. speaker, i am always ambivalent about the annual defense authorization bill, i support the programs for our veterans and retirees an support providing for the genuine needs of our service men and women whether they are based here at home or abroad, but i cannot support the amount of waste, spending on an unnecessary and often ridiculous programs, on more nukes, outdated wetches, and on wars that never -- weapons, and on wars that never end. as we begin general debate on

the defense bill later today, i ask my colleagues to keep these questions in mind. once again, mr. speaker, this rule is an unnecessarily -- is unnecessarily complicated and misguided. there is no reason to include yet another bill gutting dodd-frank in this rule, and there is no reason to cram into this rule a report from the agriculture committee about a bill that will make hunger worse in erk america. for these reasons i oppose the rule and urge my colleagues to vote no on the rule for these three measures and i reserve the balance of my time. the speaker pro tempore: the gentleman reserves the balance of his time. the gentleman from florida is recognized. mr. nugent: mr. speaker, i yield two minutes to the gentleman from ohio, mr. turner. the speaker pro tempore: the gentleman from ohio is recognized for two minutes. mr. turner: thank you, mr. speaker. about five years ago in my community we were saddened to hear of the news of the tragic ath of marie lodderback, who was a marine to report the sexual assault she endured and came forward and reported her belief of a subsequent pregnancy from that sexual assault.

only to have the marines inform her and the accused of the sexual assault, the perpetrator, that they would wait until her baby was born and when the baby was born they would do d.n.a. testing, and if the d.n.a. testing showed the baby was the accused's, then they would move forward with prosecution. and until then they left the two in close proximity. until the accused murdered marie in her eighth month of pregnancy and burned her in her backyard in a bonfire. it's at that time i saw the issue of sexual assault in the military was not just one of unacceptable numbers, it was an issue of an environment where victims were revictimized and perpetrators felt safe. mr. speaker, recent survey in the military indicated that 28,000 service members have reported -- indicated they were sexual assaulted, but less than 3,000 of those were willing to actually report it in a man they're would result in charges

against their accused. we think we know why because 62% of the less than 3,000 indicated they if the they were persecuted in the workplace for having done so. they were revictimized. what we are doing in this ndaa is to ensure that culture shifts, that the perpetrators are those that fear the system and victims are those that feel embraced. we changed the relationship between the commander and victim. moving the responsibility for both the prosecution and the handling of those cases and diminishing the direct commanders' authority over the disposition of sexual assault cases when a conviction has occurred. we expand legal counsel for victims, making certain that victims have beside them someone who can advise them in the legal processes. and we remove the chain of command's authority in the disposition of these cases and establish a mandatory minimum. and it says, if you are a trainer or if you are -- the speaker pro tempore: the

gentleman is recognized for two minutes. mr. turner: we include mandatory minimums that say if you commit a sexual assault you are out of the military, you'll be dishonorably discharged. if you are a trainer and enter into a trainer-trainee relationship that's inappropriate. you are out. no longer will a victim be forced to salute their predator or their accused. these provisions are incredibly important. they are ones we have worked with on a bipartisan basis. i want to thank my co-chair of the sexual assault prevention caucus, and the chairman and the chairs of the subcommittee for personnel. this is a matter in which we have worked together very thoughtfullyment. at the same time we know chairman dempsey and secretary hagel have made this a significant issue to address in the military. we are trying to do in our legislative basis to give them the tools to once again make perpetrators fear the system and hold them accountable. thank you, mr. speaker. the speaker pro tempore: the gentleman yields back. the gentleman from florida reserves. the gentleman from massachusetts. mr. mcgovern: mr. speaker, i'm happy to yield two minutes to

the gentlewoman from new york, the ranking member of the financial services subcommittee on capital markets and government sponsored enterprises, mrs. maloney. the speaker pro tempore: the gentlewoman from new york is recognized. mrs. maloney: i thank the gentleman for yielding and leadership. i commend the work of mr. turner and others who are strengthening protections for women in the military, but it's not enough. the amendments from jackie speier and other member leaders are not included. we need an open rule where all these ideas can come to the floor to protect our men and women in the military. the status quo in the military is not a way to solve the problem of sexual abuse. too often it is the problem. every year that i have been in congress, the military brass has come to us and said that they will stop this abuse. yet each year it seems to be getting worse. women are even afraid to report it. they are then afraid they'll be punished in some way. despite the widespread public and congressional outrage some top military officers still seem

to resist important fundamental changes to a culture that has clearly failed in one of its single most important missions, keeping its own people safe. and the casualties are mounting every day. for example, a u.s. military officer overseeing sexual assault prevention at fort hood in texas is under investigation for his sexual assault of soldiers. the officer in charge of the air force's sexual abuse prevention program was recently arrested for groping women. we need to end the culture of tolerating the abuser and punishing the victims. we created a data base for them to report in, but they won't report because they are afraid of retaliation. too often they have seen if you are a woman who has been raped and abused, then you are told to be quiet if you report it, you'll be punished.

but if you are the abuser, you might end up in charge of the sexual abuse prevention program and get a promotion. the strongest military in the world has got to learn how to protect its own solders. -- soldiers. it's got to keep them from being wounded by rape and sexual assault. we need to stop this. allow an open rule. allow amendments on this important protection of our soldiers. the speaker pro tempore: the gentleman from massachusetts reserves. the gentleman from florida is recognized. mr. nugent: mr. speaker, i want to make sure everybody knows that it was over -- almost 300 amendments that have been submitted and they'll be discussed tomorrow -- later today and mr. mcgovern's part of that process we'll be discussing those amendments today. but i agree with both of my colleagues as it relates to sexual assault in the military.

having only been on armed services now for six months, i will toll you that i grew with mr. mcgovern, particularly as it relates to oversight. and i believe that this congress should exhibit and utilize its oversight capacity to the fullest, especially as relates to sexual assault within the military. with that i reserve the balance of my time. the speaker pro tempore: the gentleman reserves. the gentleman from massachusetts. mr. mcgovern: mr. speaker, i'm happy to yield one minute to the gentlewoman from new york, distinguished ranking member on the committee on appropriations, mrs. lowey. the speaker pro tempore: the gentlewoman from new york investigated for one minute. mrs. lowey: mr. speaker, military cohesion is eroding, trust is disintegrating throughout the ranks as sexual assault infects the services. an air force officer charged with sexual assault prevention here in washington was arrested for sexual battery last month. west point and the naval academy have made recent headlines about assaults involving athletes.

alarmingly, the military academies reported 80 cases of sexual assault last year, a 23% increase. and too many cases go unreported. we trust the service academies to mold our sons and daughters for service to our country. cadets and midshipmen are of an impressionable age and vulnerability age, requiring stronger protections against sexual assault and better support for victims. the culture that is propelling this epidemic must change. i urge support for the sexual assault provisions in the ndaa and i yield back the balance of my time. the speaker pro tempore: the gentlelady yields back. the gentleman from massachusetts reserves. the gentleman from florida. mr. nugent: i continue to reserve. the speaker pro tempore: the gentleman reserves. the gentleman from massachusetts. mr. mcgonch: i'm happy -- mr. mcclovenn govern: i'm -- mr. mcgovern: i'm happy to yield three minutes to mr. langevin.

the speaker pro tempore: the gentleman from rhode island is recognized for three minutes. the angevin: i thank gentleman for yielding. mr. speaker, while i rise in opposition to this rule, i want to express my strong support for the underlying bill, h.r. 19 0, the national defense authorization act. this legislation is not perfect, however it ensures support for our men and women in uniform who sacrifice so much on our behalf. it includes provision that is are crucial to our military's future capabilities in this fiscally constrained environment. among other things, it fully supports the president's request to the virginia class submarines, as well as critical future enablers, such as the ohio class replacement. it also includes the oversight of sensitive military operations act, which, for the first time, requires prompt notification to the defense committees of any overseas lethal or capture

operation outside of afghanistan, including those conducted with unmanned aerial vehicles. furthermore, i'm pleased this measure begins to tackle the epidemic of sexual assault in our military. our people in uniform need to know that they are protected from sexual assault. and god forbid there is a sexual assault occurs, that the perpetrator is held accountable. while far more must be done, there are important first steps in this bill that are worthy of our strong support. mr. speaker, i'm also proud to work closely with chairman mac thornberry, both on this bill and in the numerous other provisions which fall under the jurisdiction of the subcommittee on intelligence, emerging sthrets, and capabilities. together we have worked hard to increase resources for our special operations forces. helping us to confront shifting threats and unconfencal battlefields, and support our efforts in the cybersecurity realm. there are many other positive steps with regards to cyberin

this legislation. including incentivizing new cybersecurity standards, ensuring u.s. cybercommand has the proper authority and personnel in coordinating cybersecurity efforts with related disciplines. however, the reality is that our nation's cybersecurity challenges cannot simply be handed over to the department of defense. with the vast majority of our critical infrastructure in private hands, we absolutely must require minimum standards for their owners and operators. it is way past time for congress to move aggressively to partner with their private sector and address what i believe is our greatest national security vulnerability. meanwhile, though i applaud d.h.s.'s efforts to coordinate the various approaches to cybersecurity found across the federal government, i continue to believe there must be an office within the white house with the policy and budgetary authority to enforce appropriate actions across the whole of government. i'm disapointed the procedural and jurisdictional issues,

including offered such an amendment, but i will continue to work with my colleagues to continue to act with what i believe to be a crucial provision. finally, i want to thank chairman mckeon and ranking member smith, as well as chairman thornberry, all of my colleagues on the committee, but most especially the entire staff for all of their efforts which have been herculean in bringing this bill to the process and bringing it to where we are today. i urge my colleagues to support the national defense authorization act. with that i yield back the balance of my time. the speaker pro tempore: the gentleman's time has expired. the gentleman from massachusetts reserves. the gentleman from florida is recognized. mr. nugent: i reserve. the speaker pro tempore: the gentleman reserves. the gentleman from massachusetts. mr. mcgovern: i'm happy to yield two minutes to the gentleman from texas, mr. castro. the speaker pro tempore: gentleman from texas is recognized for two minutes. mr. castro: thank you to my friend, mr. mcgovern, for yielding. mr. speaker, i rise today to speak about the u.s. detention facility at guantanamo bay. continued operation of the facility weakens u.s. national security, wastes resources, damages our relationships with

key allies, and reinforces anti-american propaganda led by groups like al qaeda to recruit new enemies against the united states. in a time of war, the commander in chief must have the flexibility to execute important foreign policy and national security determinations. . in fact, under president bush, some 530 detainees were transferred from gitmo with congress' support. restrictions placed by congress to prevent this president from making these decisions are not prudent. in addition to foreign policy and national security consideration, the facility at uantanamo is also a way to scarce resources. the cost to run guantanamo bay is around $150 million a year. in a time when we're making sequestration cuts to programs

here at home, we're strength approximately $100 million -- spending approximately $100 million for detainees. this makes guantanamo bay the most expensive detention facility in the world. i urge my colleagues to give the president the flexibility he needs to operate guantanamo bay. i yield back my time to mr. mcgovern. the speaker pro tempore: the gentleman yields back. the gentleman from massachusetts reserves. the gentleman from florida. mr. nugent: continue to reserve. the speaker pro tempore: the gentleman from massachusetts. mr. mcgovern: i yield two minutes to the gentlewoman from maryland, ms. edwards. the speaker pro tempore: the gentlewoman from maryland is recognized for two minutes. ms. edwards: sexual assault in the military continues to be a problem. given both the headlines and the reality this is an understatement. it impacts thousands of service men and women each year. while congress has investigated and discussed this problem for more than two decades, the issue remains pervasive. it's time for us to act. recent reports that assault is

happening by individuals who are supposed to protect and command our service members makes this all the more concerning. according to a recent 2012 pentagon survey, an estimated 2,6,000 sexual assaults in the military occurred in that year. that's a 35% increase since 2010. it means that roughly 70 service men and women are sexually assaulted every single day. and i know were my long history and experience on working on these issues, where there is 26,000 there are many, many more. we know a fraction of these ints dents are reported, fewer than 3,400 incidents reported every year. sexual violence has a long-standing impact on service men and women and their families. according to the service women's action network, while experiences of sexual violence is strongly associated with a wide range of mental health conditions for men and for women veterans, military sexual

trauma is the leading cause of ptsd among women. due to shame, guilt or not being believed, a few is being reported. as a former sexual assault advocate, i know that coming forward is an unimaginablely tough thing to do and i commend every single man and woman who came forward to name their accused. victims of sexual assault face a lack of confidentiality protection, support and access to legal counsel once an incident is reported. this is profound in the military and it has profound consequences. we have to act and stand together as a congress, as a nation to declare that the problem can't go on and we have to work now to stamp out the violence within the military. we have to ensure that the guard and reserve have response coordinators available at all times regardless of their duty status and to ensure that each service has a robust investigative team with clarity

and consistency among the services. mr. mcgovern: i yield the gentlelady an additional one minute. the speaker pro tempore: the gentlelady is recognized for one more minute. ms. edwards: our hope is that zero tolerance for sexual assault in the military is the norm. and so i want to say that some appointed to a culture issue within the military that contributes to the problem. you know what, that might be true, but we cannot use culture as an excuse. it has to be a challenge and a commitment to change throughout the chain of command. some appointed as well to say that this is just endemic within the military. as someone who grew up within a service member family, i can't lay this on the fact of service. i know in the civilian sector a relatively small number of perpetrators contribute to the number of crimes and so let's root out the criminals within the military. we have to commit ourselves to making sure that we do that and hold them accountable, hold their commanders accountable, punish people for crimes and

stop promoting perpetrators and transferring the problem from one installation to the next installation. in -- and this enforceability has to be part of the command structure. it's the service that my father sacrificed for and that millions of others do, that we have to honor and window that by protecting the men and women who serve and by saying to them, we want you to serve your country but we want to make sure you do it in safety and that those who are criminals are held accountable. with that i yield. the speaker pro tempore: the gentlelady's time has expired. the gentleman from massachusetts reserves. the gentleman from florida is recognized. mr. nugent: continue to verve, mr. speaker. the speaker pro tempore: the gentleman from massachusetts. mr. mcgovern: i'm happy to yield one minute to the gentlewoman from california, mrs. capps. the speaker pro tempore: the gentlewoman from california is recognized for one minute. mrs. capps: thank you, mr. speaker. i thank my colleague from massachusetts for yielding time. i rise in support of the progress this underlying bill makes in combating military sexual assault. sexual assault in the military continues to be a serious

problem. in 2012 an average of 70 service men and women were sexually assaulted each and every day. this is unacceptable. moreover, only a fraction of these are reported. fewer yet are prosecuted. more needs to be done at every level to establish comprehensive uniformed solutions. so i'm pleased to see that this bill offers a renewed determination to stop these unacceptable crimes that undermine the strength and honor of our military. the included provisions make progress to increwsed transparency with new victim protections and services and improved processees to hold offenders accountable. but we must do more. we must work diligently to put an end to this problem so we can again with full confidence encourage our daughters and sons to serve this great country. and i yield back. the speaker pro tempore: the gentlewoman yields back the balance of her time. the gentleman from massachusetts reserves. the gentleman from florida is recognized. mr. nugent: continue to

reserve. the speaker pro tempore: continues to reserve. the gentleman from massachusetts. mr. mcgovern: i'm happy to yield to the gentlewoman from california, ms. speier, for two minutes. the speaker pro tempore: the gentlewoman from california is recognized for two minutes. ms. speier: i thank the gentleman from massachusetts for yielding me time. 70 men and women serving in the military every single day are sexually assaulted and raped. while we sit here and we talk, that's going on. and for over 25 years, for over 25 years we have known about this problem and we have done very little. aberdeen, tailhook, the academies, lackland, all of these are happening under our watch and we found it acceptable to hold hearings, to bring the brass up here, have them say the right words, zero tolerance, and then we would go about our business. that is not good enough, and while the ndaa has some good fixes on the end of the process, we still have much to

do on the front end. there is a reason why there are 26,000 sexual assaults and rapes a year in the military and only 3,300 have the guts to come forward. it's because if you come forward you're retaliated against. some 63% are retaliated against, and of those 3,300 that report, only 500 of those cases are going to go to court marshall and only 200 will -- court marshal and only 200 will end up in a conviction. why report? because the odds of getting justice are just not there, and that's why it is important for us to have a debate on this house floor about taking these cases out of the chain of command. if it's in the chain of command, then you have the potential of having the assailant be the person making the decision or the person making the decision, the commander, being the friend of the assailant. or the commander itching for a

promotion who is fearful if they find out there was a rape under their watch that they won't get that promotion. other countries have similar uniform codes of military justice. ours is based on the british system. and the brits and the canadians d the new zealanders and the israelis have taken this out of the chain of command and it's working. it's time for us to have that discussion as well. i urge my colleagues to embrace an amendment that i will take up in rules committee that will at least give us the opportunity to have this debate, this healthy debate on the house floor. otherwise, i'll guarantee you in another six months, in another year we will see yet another scandal and we will not have changed anything. the speaker pro tempore: the gentlelady's time has expired. the gentleman from massachusetts reserves. the gentleman from florida is recognized. mr. nugent: continue to reserve. the speaker pro tempore: the gentleman reserves. the gentleman from massachusetts. mr. mcgovern: mr. speaker, i yield one minute to the gentlewoman from new york, the distinguished ranking member of

the committee on small business, ms. velazquez. the speaker pro tempore: the gentlelady from new york is recognized for one minute. ms. velazquez: mr. speaker, i rise in opposition to this rule. our armed forces face an epidemic that is tearing away of this institution's moral credibility. millions of young men and women who are considering doaning our nation's uniform must contend with the fact that what our military has become is a safe haven for sexual assault and rape. according to d.o.d.'s own estimates, on average 70 service members are sexually assaulted every day with 26,000 of these incidents occurring last year alone. that represents a 30% increase from just two years before. keep in mind this is the department of defense data. this problem is even more widespread than these numbers suggest. equally troubling, only a sliver, about 3% of these cases

were prosecuted. the horrifying fact is that tolerance of sexual assault has become part of the armed force's culture. in too many cases, victims are further harmed by a system that protects offenders in the name of the chain of command. this is unacceptable. it must change and it must change now. the men and women who serve our nation -- mr. mcgovern: i yield the gentlelady 30 seconds. ms. velazquez: the men and women who serve our nation sacrifice enough. they should not have to worry about sexual assault at the hands of superiors and colleagues. t is time for an end to this culture, hold them accountable and restore trust in our military. i yield back the balance of my time. the speaker pro tempore: the gentlewoman yields back the balance of her time. the gentleman from massachusetts reserves. the gentleman from florida is recognized. mr. nugent: continue to reserve.

the speaker pro tempore: the gentleman from massachusetts. mr. mcgovern: i'm happy to yield one minute to the gentlewoman from california, ms. brownley. the speaker pro tempore: the gentlewoman from california is recognized for one minute. ms. brownley: it's already been stated but it's worth repeating again. in 2012, 26,000 service members were sexually assaulted. if only one service member was ssaulted that is one too many. sexual assault in the military is intolerable, period. it is a terrible entrenched cultural flaw of our military that allows victims to be abused without accountability or justice. while there are a number of legislative proposals to address this issue, the consensus is clear. that d a solution increases transparency and accountability so that the

military no longer is a place where sexual assault is tolerated. i am pleased that the -- that h.r. 1960 takes steps to improve the military justice system. however, i do believe the bill does not go far enough. we must do a better job. i yield back the balance of my time. the speaker pro tempore: the gentlelady's time has expired. the gentleman from florida is recognized. mr. nugent: continue to reserve. the speaker pro tempore: the gentleman reserves. the gentleman from massachusetts. mr. mcgovern: mr. speaker, i'm happy to yield one minute to the gentleman from minnesota, mr. ellison. the speaker pro tempore: the gentleman from minnesota is recognized for one minute. mr. ellison: mr. speaker, i turn attention away from this critical topics and i agree with my colleagues on it, but so part of this rule is h.r. 2656, which is entitled the swap jurisdiction certainty act. this is a closed rule. they are not allowing any amendments on it, and it is bad policy. i urge members to vote no.

this bill reminds me of the old adage that's often said that the past isn't dead, it isn't even past. i'm referring to the global crisis, the global financial crisis that a few years ago had every member of this body absolutely on razor's edge as we wondered what was going to happen to the american economy and we ended up seeing the tarp pass and all types of things to avert collapse. $13 trillion in lost wealth, mr. speaker, and still here we are looking at a bill, you know closed rule, mind you, that would allow offshore derivatives swap trading to be beyond the jurisdiction of american regulators. mr. mcgovern: i yield the gentleman an atigsal 30 seconds -- additional 30 seconds. the speaker pro tempore: the gentleman is recognized for 30 seconds. mr. ellison: they gave authority in the dodd-frank

wall street reform bill and consumer protection to oversee all derivatives transactions and with a direct and significant connection with the u.s. economy. that's a good idea. $223 trillion industry. i think we need to protect our interests. vote no on this closed rule, and i guess i yield back. the speaker pro tempore: the gentleman yields back. the gentleman from massachusetts reserves. the gentleman from florida. mr. nugent: continue to reserve. the speaker pro tempore: the gentleman reserves. the gentleman from massachusetts is recognized. mr. mcgovern: i yield one minute to the gentlewoman from california, the distinguished ranking member of the committee on financial services, ms. waters. the speaker pro tempore: the gentlewoman from california is recognized for one minute. ms. waters: thank you very much. i rise to oppose the closed rule on h.r. 1256. h.r. 1256 really has no business being hidden in this d.o.d. bill at all. it is another attempt to keep the debate from taking place so that people will know what is happening when we are trying to have a regulatory regime that will protect us from having to bail out big institutions. .

we are simply saying we can't allow our financial institutions to have subsidiaries overseas that are doing business and trading and putting us at risk. every time they get involved in a trade where they don't have comparable rules in that country, what we are doing is putting this country at risk that we are going to have to bail out a big financial institution because the harm will come right back to the parent company. we in dodd-frank have said that we must have comparable rules. we must have regulatory regimes that are comparable to ours in order to do business and do trading. in order to protect against big institutions failing. now we have this h.r. 1256 that would undo all of that and drag it back into the shadows, this derivatives trading, put us all at risk and we can't even debate it. we can't even have an amendment because, again, they are trying

to kill dodd-frank. the speaker pro tempore: the gentlelady's time has expired. the gentleman from massachusetts reserves. the gentleman from florida is recognized. mr. nugent: continue to reserve. the speaker pro tempore: the gentleman from massachusetts. mr. mcgovern: i inquire of the gentleman from florida, how many speakers do you have? mr. nugent: none. mr. mcgovern: how much time do i have left? the speaker pro tempore: the gentleman from massachusetts has two minutes. more time than i thought i was going to have. i'm going to yield an additional minute to the ranking member of the committee on financial services. ms. waters: i a appreciate this. this is so important. and i'm against this closed rule. simply because we have mandated the kind of reform in dodd-frank that would keep us from ever being in the position where we have to bail out these big institutions. and now we have so much

organized pushback and undermining of dodd-frank where they are attempting to undo the reforms that we have done. simply put, we cannot allow the branches and subsidiaries of these big broker dealers, these big banks to go over and do trading with countries that don't have comparable rules. if we allow that to happen, we will be forced with what we have seen with a.i.g., where we had to bail them out to the tune of billions of dollars. and supposedly we have done reforms to keep from having to be in that position again. we will find that we will be experiencing again what happened with goldman sachs and others who end up being the beneficiaries of our failed regulatory regime. i'm opposed to the closed rule. vote against the closed rule and then vote against the bill. the speaker pro tempore: the gentlelady's time has expired. the gentleman from massachusetts

reserves. the gentleman from florida is recognized. mr. nugegent: i continue to reserve. the speaker pro tempore: the gentleman from massachusetts. mr. mcgovern: i yield myself the remaining time. the speaker pro tempore: the gentleman is recognized. mr. mcgovern: mr. speaker, i get it. the republican majority wants to repeal dodd-frank, and they are using every possible vehicle they can to undermine dodd-frank, which i think puts consumers at risk by their constant attack on protections that i think most people in this country think are reasonable. as you heard from ms. waters, the ranking member of the committee on financial services, and mr. ellison, there is controversy around this bill. the thought you would bring a bill like this to the floor that would weaken dodd-frank under a closed rule is really unforgivable, quite frankly. this is important stuff. there ought to be debates and amendments. the defense authorization bill, i just want to say this for the record, while i have no opposition to you bringing the

d.o.d. bill up for general debate, i do want to express my concern that when the rules committee considers the amendments, that they be fair-minded about it. and that all major issues, including the issues raised by a number of my colleagues on sexual assault are addressed. i also want to say the war in afghanistan ought to be debated on this floor. that is a central part of our defense budget right now is going to this war. last year we were shut out. i'm hoping that this year we'll at least have the opportunity to bring an amendment to the floor, debate what our policy should be, and let members on both sides vote up or down. i urge my colleagues to vote no because this does allow h.r. 1256 to come to the floor under a closed rule. that is wrong. this should be a more open and transparent process. especially when it comes to something, an issue so important. with that i yield back the balance of my time. the speaker pro tempore: the gentleman's time has expired. the gentleman from florida is recognized. mr. nugegent: mr. speaker, i support this --

mr. nugent: i support this rule and encourage my colleagues to support it as well. it allows the house to take action on two different but very important pieces of legislation. it provides us with an opportunity to force the s.e.c. and the cftc to finally and jointly promulgate rules governing u.s. institutions' use of swaps and other financial derivatives on accessing international markets. this will help ensure we have a vibrant financial system and american companies can manage the risk while remaining competitive in the international market. additionally begins our consideration on national defense authorization act. providing the house with an hour of general debate and programs that make up our department of defense. as a member of congress and a three blue star parents, and an american, i think i'm nothing more than providing our military the tools that they need to car out their mission. these brave men and women put their lives on the line for our nation each and every day.

in legislation isn't a thank you to the troops, it's our duty as citizens to acknowledge we live in land of the free only because of the service of the brave. you know, mr. speaker, we heard a lot of discussion here on the floor, particularly as it relates to dodd-frank, first of all this is not repeal dodd-frank. if it were vote for repeal of dodd-frank. i'd vote for it but it's not a repeal of dodd-frank. as a matter of fact, this piece of legislation, the swap act, was actually voice voted out of agriculture committee. it has joint jurisdiction over this piece of legislation. voice voted. in the committee, financial services, 100% of republicans and 2/3 of the democrats voted for passage. so it isn't exactly as one would hear the other side say. we talk about open rules.

i think one of the things that distinguish this congress versus the 111th congress is that this is one of the most open congresses in the 112th versus the 111th that had absolutely zero open rules. i remind my colleagues of that just because, as we talk about this, and move forward on both these issues, it's important to know we have an open rule coming up. we have almost 300 amendments that we are going to be considering in the rules committee in just a short period of time with the nda. and lastly, i hear my colleagues talk about how for 25 years they allowed sexual assault to go unabated. i can't hardly stomach the fact that this body would allow that to happen over the last 25 years. as a former law enforcement officer, one who vigorously prosecuted cases of sexual assault and rape, should be no

different for our armed services. and that is where my good friend, mr. mcgovern, had mentioned about the oversight of armed services and of this house to make sure that we hold people accountable. to make sure that as other members have talked about, to make sure that members of our ilitary are kept safe. those that would prey upon members of their own military unit find swift justice. so there is no -- nobody can say that there is not justice in regards to the fact that you committed a rape or sexual assault in the military. that you'll be prosecuted to the fullest extent of the law. then we make sure that we have victim advocates for those who are assaulted that we have good investigators that focus on those types of crimes and have the forensics to back it up. so you have a strong prosecution. and i think that's what this

ndaa bill is an attempt to do. i strongly support the bill and underlying legislation. with that i yield back the balance of my time and i move the previous question on the resolution. the speaker pro tempore: the gentleman yields back the balance of his time. without objection, the previous question is ordered. the question is on the adoption of the resolution. so many as are in favor say aye. those opposed, no. the aye vs. it. the gentleman from massachusetts. mr. mcgovern: i ask for the yeas and nays. the speaker pro tempore: the yeas and nays are requested. those favoring a vote by the yeas and nays will rise. a sufficient number having arisen, the yeas and nays are ordered. members will record their votes y electronic device. pursuant to clause 8 of rule 20, this 15-minute vote on adoption of resolution 256 will be followed by five-minute votes on motions to suspend the rules on h.r. 634 and h.r. 742. this is a 15-minute vote.

[captioning made possible by the national captioning institute, inc., in cooperation with the united states house of representatives. any use of the closed-captioned coverage of the house proceedings for political or commercial purposes is expressly prohibited by the u.s. house of representatives.]

the speaker pro tempore: on this vote the yeas are 239, and the nays are 184. the resolution is adopted.

without objection, the motion to reconsider is laid on the table. the unfinished business is the vote on the motion of the gentleman from texas, mr. hensarling, to suspend the rules and pass h.r. 634 on which the yeas and nays are ordered. the clerk will report the title of the bill. the clerk: union calendar number 74, h.r. 634, a bill to provide end using exemptions from certain provisions of the commodity exchange act and the securities exchange act of 1934 and for other purposes. the speaker pro tempore: the question is will the house suspend the rules and pass the bill as amended. members will record their votes by electronic device. this is a five minute d vote. -- five-minute vote. [captioning made possible by the national captioning institute, inc., in cooperation with the united states house of representatives. any use of the closed-captioned coverage of the house proceedings for political or commercial purposes is expressly prohibited by the u.s. house of epresentatives.]

the speaker pro tempore: on this vet, the yeas are 411, the nays are 12678 2/3 being in the affirmative, the rules are suspended, the bill is passed and without objection the motion to reconsider is laid on the table. the unfinish bids is the vote on the motion of the gentleman from arkansas, mr. crawford, to suspend the rules and pass h.r. 742 on which the yeas and nays are ordered. the clerk will report the title of the bill. the clerk: union calendar number 75, h.r. 742, a bill to amend the securities exchange act of 1934 and the commodities exchange act to repeal the indemnification requirements for regulatory authorities to obtain

access to swap data required to be provided by swap activities under -- swap entities under such acts. the speaker pro tempore: the question is will the house suspend the rules and pass the bill? members will record their votes by electronic device. this will be a five-minute vote. [captioning made possible by the national captioning institute, inc., in cooperation with the united states house of representatives. any use of the closed-captioned coverage of the house proceedings for political or commercial purposes is expressly prohibited by the u.s. house of representatives.]

the speaker pro tempore: on this vote, the yeas are 420, the nays are two. 2/3 being in the affirmative, the rules are suspended, the bill is passed and without objection the motion to reconsider is laid on the table. he house will come to order. for what purpose does the gentleman from texas seek recognition? >> mr. speaker, pursuant to house resolution 256, i now call up h.r. 1256, the swap jurisdiction certainty act. the speaker pro tempore: the clerk will report the title of the bill. the clerk: union calendar number 72 h.r. 1256 a bill to direct the securities and exchange commission and the commodity futures trading commission to jointly adopt rules setting forth the application to cross border swaps transactions of certain provisions relating to swaps that were enacted as part

of the dodd-frank wall street reform -- mr. hensarling: the house is not n order. the speaker pro tempore: pursuant to house resolution 256, the amendments recommended by the committee on financial services printed in the bill are adopted. the bill as amended is considered read. the debate shall not exceed one hour with 40 minutes equally divided and controlled by the chair and ranking minority member of the committee on financial services and 20 minutes equally divided and controlled by the chair and ranking minority member of the committee of agriculture. the gentleman from texas, mr. hensarling, and the gentlewoman from california, ms. waters, will each control 20 minutes. the gentleman from oklahoma, mr. lucas and the gentleman from minnesota, mr. peterson, each will control 10 minutes. the chair recognizes the gentleman from texas. mr. hensarling: i ask unanimous consent that all members have five legislative days to revise

and extend their remarked and submit extraneous material for the record on h.r. 1256 currently under consideration. the speaker pro tempore: without objection, so ordered. mr. hensarling: i recognize myself for such time as i may consume. the speaker pro tempore: the gentleman is recognized. mr. hensarling: the legislation before the house this afternoon, h r. 1256, the swap jurisdiction certainty act is a bipartisan response to what many view to be frankly regulatory red tape overreach in the ad-- and the adverse consequences it can have on the millions of our fellow countrymen who are either unemployed or underemployed. the impact that it could have on the competitiveness of our u.s. employers and job creators. mr. speaker, i need not tell anyone in this body, that we are regrettably and continue to be in the middle of a nonrecovery recovery.

if it wasn't for the fact that so many people have left the job force, the working participation rate, our unemployment rate would be even higher. many have just given up. we know that for many, even though america has in the past produced 3.5% economic growth and is probably cape of -- capable of 4%, 5% economic growth with the right economic policies, regrettably we find ourselves mired in 1.5% to 2% g.d.p. growth which means, mr. speaker, a lot of american dreams go unfulfilled and a lot of our constituents lay awake at night wondering how are they going to pay the bills? so, mr. speaker, jobs continue to be job number one, i believe, of the united states house of representatives. but regrettably, those who create jobs, those who employ our constituents are drowning in a sea of red tape.

there has been an over 50% increase of the -- mr. speaker, the house is not in order. the speaker pro tempore: members please take their conversations off of the house floor. the gentleman from texas. mr. hensarling: mr. speaker, there has been over 50% increase in regulations under the obama administration. we know that is directly correlated to the lackluster economic growth that we see in the nation today. i still vividly remember that one small business person in east texas came up to me out of small cabinetry shop and even though it was still profitable, he shut it down. he shut it down because of the red tape burden that crushed him and the jobs of 17 people who worked in east texas.

and he said, congressman, it got to the point where i just thought my federal government didn't want me to succeed. and so, mr. speaker, we always have to be vigilant in ensuring that the red tape burden doesn't strangle the jobs and hopes and aspirations of the american people. so that brings us to h.r. 1256, the swap jurisdiction certainty act. now, many who may be tuning into this debate may not be quite familiar with the world of derivatives but it's a way that many farmers, ranchers, manufacturers hedge risk in order to become successful companies and employ people and sell their goods and services at competitive prices. an outfit like john deere will use a derivative. they may do an interest rate swap as they finance a tractor

for some farmer in rural east texas that i may represent. and so that derivative is directly linked to the cost and the availability of that tractor. and what we're trying to do with h.r. 1256 is make sure that those who are trying to access derivatives to hedge risk, to create and sustain jobs don't automatically overnight have huge swaths of the global market pulled out from under them. because if they do, all of a sudden it could be that somebody can't finance that tractor anymore. companies like southwest airlines, that operate my hometown of dallas, texas, they hedge their fuel cost and if they can't access global markets , who knows about the success of their hedges? and then all of a sudden the price of a trip for grandparents

to fly in from kansas city to see their grandkids in dallas, texas, just became more prohibitive. it just became more expensive. an outfit like coors, they'll hedge their aluminum costs through swaps. maybe their wheat costs through swaps. and i don't know about other members, but i represent a lot of hardworking people in the fifth district of texas. and let me tell you, sometimes on a hot august afternoon, after working, putting in the 40 hours at the pepsi bottling plant or maybe putting it in at some of the other factories that we may have, you know, somebody might 7-eleven to go to the and buy a six-pack. and in america that is their right and the inability to access global markets for swaps ultimately can actually inflate

that cost and that's not something i care to deny to hardworking americans who want that. so this is a very simple and bipartisan bill. mr. speaker, this passed. we had a hearing in the financial services committee, we had a markup in the financialer ises committee -- finance services committee. it passed with 100% of the republican vote, it passed with almost 2/3 of the democratic vote. you would think that we might be under the suspension calendar for this one, but in order to respect the wishes of the ranking member, we are having a more prolonged debate, in addition to the one that we've already had in the committee. but, mr. speaker, ultimately this bill will do two things. it will tell the securities and exchange commission and the commodities futures trading commission, you need to issue one joint rule when it comes really to american and users

being able to access global markets. not one suggestion and one rule two, different rules, but one rule. one rule -- rule, two different rules, but one rule, one rule. after dodd-frank we're about to celebrate its third anniversary next month, after three years of deliberating, maybe it's time to actually come out with a rule and create a little certainty for the people at coors and at southwest airlines and at all the other employers and john deere, maybe it's time to create a little certainty and so the bill says, ok, let's get this done in nine months. you've had almost three years. it's time to get it done. and last but not least, it says in order not to pull the rug out from under these people, on day one, it says, you know what? the nine largest markets, we're going to have a presumption that their regimes are broadly equivalent to the u.s. and not

immediately deny access. now, at any given time if the cftc and the s.e.c. come to the conclusion that these regimes are not broadly equivalent, that somehow they present risk to our economy, with the stroke of a pen, they can change that pre suppingtssummings. but not on -- presumption. but not on day one. not on day one, mr. speaker. so for the sake of economic growth, for the sake of jobs, to provide some certainty in a struggling economy, i would urge all, all of my colleagues to support this bipartisan legislation that was voice voted in the committee, and was -- had unanimous, unanimous consent of all republicans and almost 2/3 of the democrats on the finance services committee, -- financial services committee, urge all of my colleagues to support h.r. 1256. i reserve the balance of my time. the speaker pro tempore: the gentleman from texas reserves. the gentlewoman from california is recognized. ms. waters: mr. speaker, i yield

myself such time as i may consume. the speaker pro tempore: the gentlewoman is recognized. ms. waters: thank you very much. mr. speaker and member, i'd like to try and clear up some of the misunderstandings of what this bill is about. the more we debate it, the better members understand the impact of this bill on our economy. the gentleman from texas, the chairman, just talked about how generous they are in allowing this debate to take place. members, let me tell you what really happened. the fact of the matter is there's been an attempt to hide h.r. 1256 in this d.o.d. bill. what business does it have in this bill? why is it the rules committee determined that it would be a closed rule? the first reason is that they tried to get away without having amendments to the bill. i had an amendment that i offered in committee, that was not accepted, an amendment that

if there was an open rule i would have been able to offer this amendment on the floor. but, no, they close ruled this bill to keep any amendments from being heard, to be debated, to be voted on because they know that if members really discover what these derivatives are all about and how they could create such risk that we'll be put in the position of bailing out failed institutions all over again, that members would not support this kind of bill. this country has been through a terrible financial crisis. part of the reason is that we allowed our banks and financial institutions to place unregulated bets on the mortgage markets. remember a.i.g.? what did a.i.g. do? it made a really big bet that the mortgage market would go up and it lost. and the taxpayer was put in the position of having to bail it

out. the dodd-frank act enabled us to put a stop to that kind of betting going on, hidden from the rest of us, finally dragging that activity out into the sunlight. the cftc and the s.e.c. are finally putting in place rules of the road to prevent any one institution from threatening our livelihood again. but this bill wants to drag some of that activity back into the shadows, allowing banks and others once again to enter into transactions without even our regulators being able to see them. you may say that this bill just concerns the limits on how far u.s. law goes. so why is it so important that the cftc and s.e.c. have discretion over the rules on cross-border initiatives? because the exposure that a foreign branch or subsidiary of a u.s. institution takes in foreign markets comes back home

to the u.s. moreover, u.s. banks and corporations may find that those they do business with have much more hidden exposure because of foreign transactions. this bill says that we will have to rely on the foreign regulators to protect us. we shouldn't have to rely on foreign regulators who don't even have regulatory regimes to protect us. we should protect ourselves. by making sure that anybody that our branches and our subsidiaries are doing business with have comparable rules. those countries must have comparable rules to the u.s. rules in order to protect us. to put it simply, this bill would delay implementation of the wall street reform act's derivatives provisions by months, if not years, and preserve the kind of hypocrisy in our markets that led to taxpayers bailing out a.i.g.

just five short years ago. for example, while europe has made considerable progress on its swaps, clearing and reporting rules, europe's framework for implementing trading and internal business conduct, standards have been caught up in delays. it is unclear at this point how strong those requirements ultimately will be. this bill increases the incentives for other jurisdictions to avoid making the tough decisions to put in a strong financial framework. i'll reserve the balance of my ime. the speaker pro tempore: the gentlewoman from california reserves. the chair will remind all persons in the gallery that they are here as guests of the house and that any manifestation of approval or disapproval of the proceedings or other audible conversation is in violation of the rules of the house. the gentleman from texas is recognized. mr. hensarling: before -- i yield myself 30 seconds just to say to the gentlelady that she had the opportunity to offer her

amendment in committee and her amendment was defeated. second of all, as she raises the specter of bailout, she has also said before that dodd-frank ended bailouts. so i don't know which it is. i would also say nothing in the bill changes the rule making authority of the cftc or s.e.c. and it clays -- delays nothing but it was just six months ago that the ranking member sent a letter to the chairman of the cftc, quote, i request that you provide for phased-in compliance and appropriate short-term relief from relevant title 7 provisions so she herself was asking for a delay. i now yield five minutes to the gentleman from new jersey, the chairman of the subcommittee on capital markets and government-sponsored enterprises and the author of this legislation. the speaker pro tempore: the gentleman from new jersey is recognized for five minutes. garrett garrett i thank the speaker and i thank the gentleman from texas for yielding and i also want to thank --

mr. garrett: i thank the speaker and i thank the gentleman from texas for yielding and i also want to thank the gentleman from delaware, mr. carney, and mr. conaway, and mr. scott, who all along with us were able to work together in a bipartisan manner on this legislation. so i want to begin my comments then today by clearing up what might be called a knee jerk reaction that some commentators have made about our efforts on this legislation. you see, today's legislation are not about deregulating the swap markets or creating loopholes for market participants. in fact, this bill is just the opposite of that. see, there is broad bipartisan, i'll say it again, bipartisan support for appropriately regulating the swap markets and shining the proverbial light of day, if you will, on what was once an opaque marketplace. and i agree that bringing greater additional transparency and clarity to this market is a positive thing for all, for american consumers and taxpayers s well. i have concerns about how this

implementation is being conducted. it's the only place in washington, d.c. where you were you have two groups working on it and working on two totally different tracks that will affect businesses and investors. one agent is is moving toward with a 100-page informal guidance and the other released a 1,000 page formal rule proposal. one proposes, applies u.s. regulations to regulations taking place outside the u.s. between u.s. nonpersons and the other creates a new detailed substitute compliance framework. it's hard to imagine a scenario in which these two proposals are more different. in effect, we have two very powerful u.s. regulators, bolt of them have hundreds upon hundreds of millions of dollars in budget and thousands of staff but at the end of the day they

cannot sit down together and work out a common proposal. that's not what dodd-frank wanted them to do. they wanted them to come together and that's what this legislation would effectuate. the swap jurisdiction certainty act will restore that much-needed sanity to the rule writing of this extraterritorial application of u.s. swaps regulation. again, given that there has been some confusion and a great deal of mischaracterization by some commentators on the impact of this legislation, let me take a we nt to make certain understand the effects of what it does. the legislation before us athroice cftc and s.e.c. to continue to enjoy significant discretion in how they implement the rules. we are not removing any of their current authority. in fact we're adding to it and enhancing it. first and foremost, the legislation specifically requires the s.e.c. and cftc to

have the same or identical cross border rules. i think it's difficult, maybe impossible, for anyone to suggest that it's appropriate for two domestic u.s. regulatory bodies to have two different standards governing very similar parts of the market. so by simply requiring agencies to get together and have identical rule the bill will limit the ability for potential opportunitiers in market participants and ensure that we , identical rd regulatory regimes for both swaps. there's a great deal of discussion about how to limit this, limit opportunities for market participants. under this new regime, the most glaring area of potential in this area is if the s.e.c. and cftc has different rules. secondly, legislation requires a formal rule, not a guidance but a formal rule to be issued. currently the cftc is moving down the path of instituting a more amorphous guidance if you will, which has questionable legal authority.

so without a formal rule in place that carries the force of law, there is a valid concern that some entities won't feel the need to even abide by this guidance from the cftc or if it's challenged by court may carry considerably less weight system of by requiring a formal rule, the bill will then ensure that the force of law will apply without question. finally, the legislation specifically authorizes the s.e.c. and cftc to regulate transactions between the u.s. and foreign entities. this is important. if the regulators are concerned about the importation of systemic risk, why is this important? because under current law it's questionable what authority these agencies have to regulate potential transactions between the u.s. and foreign participants. we add this to it and give them that explicit authority. if the regulators are concerned about any foreign country not living up to the obama administration's g-20 commitments, established back in 2009, then these regulators will

be able to work together to specifically authorize under the act this enactment, expansion and enhacks -- enhancement of the regulators' current authority should be well received by the administration, if i could have 45 seconds? the speaker pro tempore: the gentleman is recognized. mr. garrett: in a formal statement of administrative policy they argue that it will slow down implementation of title seven this couldn't be further from the truth. to require agencies to work together and use the same rule, it will remove legal obstacles here and ensure we have the regulatory frame without objection. it will remind the people say it will slow down these rules, that couldn't be further from the truth. dodd-frank was passed almost three years ago an we're no closer today than we were three years ago to getting this done. mr. speaker, let us restore, then, some commonsense and some clarity to the rule making process and actually bring some additional transparency.

let's not play into the narrative that the rest of the country has of a dysfunctional washington. let us ensure that our regulatory agencies are working together and let us pass this legislation. i yield back. the speaker pro tempore: the gentleman from texas reserves. the gentlewoman from california is recognized. >> annapolis -- ms. waters: unanimous consent to enter into the record three letters about the bill, one from the office of management and budget, americans for financial reforms and american federation of labor and congress of industrial organizations. i yield to the gentlelady from new york two minutes. the speaker pro tempore: without objection, ordered. the gentlelady from new york is ecognized for two minutes. mrs. maloney: i thank the gentlelady for yielding and for her leadership. rye is in opposition to h.r. 1256, the swap jurisdiction certainty act. i oppose this bill as does the obama administration because it would fundamentally undermine

dodd-frank's derivative reforms and would create a loophole big enough to drive a -- an a.i.g. truck through. many of the derivatives that brought down a.i.g. in 2008 were executed through one of its foreign branches. and many of the counterparties on those derivatives were european banks. these derivatives were a big factor in the a.i.g. bailout that cost our taxpayers $182 billion. and in the financial crisis, it cost our economy wem over $12 trillion. h.r. 1256 would require the cftc and s.e.c. to issue a joint rule detailing how u.s. derivatives rules would apply to transactions between u.s. and foreign companies or individuals. however, the bill then requires

the agencies to exempt foreign companies from u.s. rules unless both agencies determine that the derivatives rules in the foreign country are broadly equivalent to u.s. rules. a vague standard that would weaken both the cftc and the s.e.c.'s proposed rules governing cross-border transactions. in the mod empfnsrble system, --ed in modern financial system, risk knows no borders. problems in a u.s. bank's foreign office flow right back to the parent company here in the u.s. and it is the u.s. parent company that ultimately ears the loss. this is especially true in derivatives in a highly competitive market. for these to be effective, they

must cover derivatived executed in foreign branches and -- the speaker pro tempore: the gentlelady's time has expired. mrs. maloney: i urge my colleagues to vote against this bill. the speaker pro tempore: the gentlewoman from california reserves. the gentlewoman from texas is -- the gentleman from texas is recognized. mr. hensarling: i yield two minutes to the gentleman from texas, mr. neugebauer, chairman of the subcommittee. the speaker pro tempore: the gentleman is recognized. mr. neugebauer: i want to rise in support of h.r. 1256. one of the things people, i think, demand out of our government is transparency and regular order and one of the things about this bill is there's been a lot of transparency and a lot of debate and discussion about it. in fact, it was marked up in the previous congress both in the house agriculture committee and the house financial services committee and you would have thought we would have brought that bill back here and put it on suspension but that's not what happened. it was sent back to the house financial services committee, sent back to the house agriculture committee and in

fact during that process in the financial services committee, some issues that mr. frank the ranking member last year brought up and it was incorporated into this markup. when it was over in the house ag committee which i had the opportunity to sit on both of those committees, some changes that were recommended by the ranking member, cullen peterson -- collin peterson, were incorporated into that bill and that bill passed on voice vote in the house agriculture committee. mr. kildee offered some language that would limit the bill to the nine largest swap jures dixes which were alluded to earlier. those were incorporated into this bill. the ranking member of the full committee did bring up an amendment and interestingly enough some of her own members did not support that amendment. so i would say about h.r. 1256 is that it's going to bring some certainty to a very uncertain process. in fact it's been three years and these two agencies have not been able to come together and

come out with a common rule and it doesn't make sense and i think it's one of the things that frustrated people about government is that two different agencies would have different rules about the same thing. and then i think the third thing too, it was alluded to by the chairman, is that these are important markets to our businesses whether they be large or small and they rely on foreign participants to come into the markets and provide opportunities for -- to hedge, whether it's crops or ingredients into manufacturing process, and so basically what we're doing is we're saying that the s.e.c. and the cftc still have the authority given to them in the original dodd-frank bill but we need some harr monoization not only within those agencies but with the other countries that are involved regulating these foreign entities as well. with that, i yield back my time. the speaker pro tempore: the gentleman's time has expire. the gentleman from texas eserves.

ms. waters: i i'd like to enter into the record i would have offered had they not had a closed rule. i yield to the gentleman from massachusetts one minute and a half. the speaker pro tempore: the gentleman is recognized for a minute and a half. >> thank you, mr. speaker. i thank the gentlewoman for yielding this bill ♪ going to create jobs in america, this bill is all about foreign swaps. if year going to create jobs, we're going to create them in foreign countries. by the way dodd-frank exempts foreign swaps activities from fromvities, except when -- derivatives except when they have direct activity in or effect on commerce in the united states. mr capuano: if they don't affect us, they're not subject. but if they're done in a foreign

country and they affect us, if it's just a way to get around ur regs, it's affected by u.s. regulations. according to "the wall street journal," the six largest banks in the united states combined ave 22,621 subsidiaries. 3,770 n average of subsidiaries each. why? in order to get around this kind of regulation. i don't blame them. i'm not against swaps. i'm not against swaps conducted on foreign soil. i simply want them subjected to united states regulation. i don't think it's that difficult. i don't understand why we have to do this except to say here's a big open door. this is a huge hole to the legger to process of the united

states of america. i understand that some members of this body don't like any regulation. and i respect that. but get up and say it. the speaker pro tempore: the gentlewoman from california reserves. the gentleman from texas is recognized. mr. hensarling: may i inquire how much time remains on both sides? the speaker pro tempore: the gentleman from texas has three and one quarter minutes. the gentlewoman from california has 12 minutes. mr. hensarling: i'm sorry, has how many? the speaker pro tempore: has 12 minutes. mr. hensarling: i will yield two minutes to the gentleman from florida, mr. crenshaw. the speaker pro tempore: the gentleman is recognized for two minutes. mr. crenshaw: i thank the gentleman for yielding. this seems to be one of the most straightforward, commonsense pieces of legislation i've seen in a long time. as part of the committee that oversees the budget of the s.e.c., we have hearings from time to time to make sure that the s.e.c. is doing their job, that is to protect investor, to

make sure that cap -- to protect investors, to make sure that capital marks are stable, and here we have a situation where a certain amount of instability is created because you have two different agencies writing different rules about what's tchailed over the counter commodities market. that's a global market, it's very important to an awful lot of people. and it seems to me that if we're going to have that kind of regulation, you would think that the s.e.c. would coordinate with the other agency, the commodities future trading commission and they would publish one rule that people could understand and live by. but that's not the case. you don't have the similarity you need you don't have them mirroring each other. all this bill does is simply say, look, if we're going to ask nor kind of regulation, let's make sure that these two agencies publish the same rule. otherwise you've got all kinds of uncertainty, all kinds of turmoil and if you're a regulated individual or company

or entity, how do you know what to comply with unless this happens? i don't want to put language in the appropriations bill that encourages people to do that, it's simple, just pass this bill. it sounds to me like we're going to. it's a bipartisan bill and i encourage everyone to vote yes and move on. i yield back the balance of my time. the speaker pro tempore: the gentleman yields back the balance of his time. the gentleman from texas reserves. the gentlewoman from california is recognized. ms. waters: i yield a minute and a half to the gentleman from massachusetts. the speaker pro tempore: the gentleman from massachusetts is recognized for one minute and 30 seconds. >> thank you, mr. speaker, and i thank the gentlelady for yielding. i rise today in strong opposition of the bill before this house today, h.r. 1256, the swaps jurisdiction certainty act. it should be called the wall street bailout certainty act, because that's the actual effect this is going to have. it will do serious harm to our efforts to rein in the reckless behavior of wall street and the words of our own commodities

future trading commissioner, chairman gary againstler this bill will blow a whole in the hard-fought terrific it -- derivatives reforms we passed three years ago. mr. lynch: section 722 of the dodd-frank act gives the cftc authority to regulate overseas derivatives activities that have a direct and significant effect on the commerce of the united states. if my colleagues need an example, i just harkin to the ranking member's example of why this cross-border authority is so critically important. and that was the case of a.i.g., the insurance giant. a.i.g. engaged in increasingly complex and risky derivatives, bets on subprime mortgage market out of its a.i.g. financial product subsidiary in london, and because there was virtually no oversight of derivatives market, a.i.g. financial products was able to deal in the shadows. and when the housing bubble burst, no one, not its directors, not its

counterparties, not even its regulators, knew how deeply in trouble a.i.g. was. so while we have adopted a number of regulations within dodd-frank, this bill will allow all of the companies that would be regulated to escape that regulation by doing these derivative deals through their foreign subsidiaries. and the four biggest derivatives dealers in this country have over 3,000 foreign subsidiaries each. so this is an escape hatch for them and -- the speaker pro tempore: the gentleman's time has expired. the gentleman from texas. mr. lynch: i yield back. thank you, vote no on this bill. mr. hensarling: continue to reserve. the speaker pro tempore: the gentleman reserves. the gentlelady from california. ms. waters: i yield a minute and a half to the gentleman from texas, mr. green. the speaker pro tempore: the gentleman from texas is recognized for 1 1/2 minutes. mr. green: thank you, mr. speaker. mr. speaker, the question before us is whether we will outsource

american economic stability in quadrillion-dollar market to foreign subsidiaries of american companies. ill we outsource in this quadrillion-dollar market? now, that's a big number. if you stack dollar bills one on the other, a quadrillion would take you all the way from the earth to the sun. it's important for us to remember that a.i.g. outsourced to a foreign subsidiary. it was in london. and of course we know what happened with a.i.g. finally, i will say this, we're trying to jumpstart the economy, it seems. we have to be careful what we do when we try these jumpstarts because this derivative market has within it interest rate derivatives. these derivatives, if there's a spike in interest rates, can have an enormous impact on the

world economy. so let us be careful as we jumpstart. sometimes when we do common things like jumpstarting our cars, it works fine. but on other occasions we can have an explosion. let's be careful as we jumpstart the derivatives market. i yield back. the speaker pro tempore: the gentleman from texas continue to reserve? mr. hensarling: continue to reserve. the speaker pro tempore: the gentleman reserves. the gentlelady from california. ms. waters: i yield to the gentleman from minnesota a minute and a half. the speaker pro tempore: the gentleman from minnesota is recognized for 90 seconds. mr. ellison: mr. speaker, i'll get right to the point, a.i.g., citibank, lehman are examples of a u.s. parent was hurt by problems abroad. ly a-had -- lehman had 3,300 subsidiaries when it claims bankruptcy and its london subsidiary had outstanding swap contract, many of them guaranteed by lehman brothers holdings headquartered in the u.s. bank of america, for example, has more than 2,000 subsidiaries

with 38 of them in foreign jurisdictions. bank of america's books, its derivatives not only in the u.s. but also in the u.k. and in ireland. now, very simple fact, mr. speaker, is that dodd-frank, the bill that has been deconstructed before our very eyes, while the ink is still wet on the page, requires that all foreign and u.s. firms transacting with u.s. persons comply with derivatives market reform. we're taking that apart right now. that's a shame and it's going to put that guy who wants to buy beer in texas at risk. for his job and his house and everything else. the speaker pro tempore: the gentleman from texas. mr. hensarling: reserve. the speaker pro tempore: the gentleman reserves. the gentlelady from california. ms. waters: i yield to representative delauro, the gentlelady from connecticut, a minute and a half. the speaker pro tempore: the gentlelady from connecticut is ecognized for 1 1/2 minutes.

ms. delauro: i stand here in strong opposition to this bill which weak bes draud frank -- dud -- which weakens dodd-frank, it allows foreign banks and swap traders tone gauge in the same risky behavior that caused an economic meltdown a few short years ago. we are heap to represent the american people, not the big banks. and after the 2008 financial crisis that triggered the worst recession since the great depression, the american people want to see more accountability from wall street, not less. that's why repassed dodd-frank in the first place. to end dangerous speculation by financial institutions and prevent more bailouts. the bill before us tries to exempt from oversight any swap transaction in which one of the parties is not based in the u.s. in other words, it effectively guts the derivatives regulations in the dodd-frank act. when a.i.g. nearly destroyed the economy, their affiliate was based out of london as a branch

of a french registered bank. lehman brothers had 3,300 legal entities here and abroad when it failed. citigroup set up numerous structured investment vehicles overseas, to move positions off of its balance sheet. but when those investments were about to fail, citigroup and the u.s. assumed the huge debt and was ultimately bailed out by u.s. taxpayers. the notion that we should let big banks evade dodd-frank oversight, if they set up a subsidiary in another major economy first, is absurd. a vote for this bill is a vote for more risky derivatives transactions, more bad behavior, more bailouts. i urge my colleagues to stand up for the american people, the american taxpayers, and vote this down. the speaker pro tempore: the gentleman from texas. mr. hensarling: reserve. the speaker pro tempore: the gentleman reserves. the gentlelady from california. ms. waters: i yield to the gentleman from massachusetts an additional minute. the speaker pro tempore: the gentleman from massachusetts is recognized for one minute.

mr. capuano: thank you. what this bill says is if you do this activity, in the united states of america, you'll be subject to certain regulations. if you do the exact same activity through a subsidiary in a foreign country, you will not be subject to our regulation. that's an open invitation to move american jobs offshore. it's an encouragement to move american jobs offshore. it is blatantly obvious. how is that good for the american economy? i don't know. why would we want to say to any american company, some foreign regulater is better than news is i know we're going to have this debate in other riders later on this week. saying just the opposite. so in this case foreign regulators are better, but in other cases they're not. kind of stunning. we actually did it this morning on another matter. i want to join with the afl-cio in making a pretty clear warning to my colleagues. if this bill becomes law, i

regrettably agree that there will come a day that you will regret this vote, as many of us, not me, but many of us regret the vote for the patriot act. the speaker pro tempore: the gentleman from texas. mr. hensarling: reserve. the speaker pro tempore: reserves. the gentlelady from california. ms. waters: i yield to the gentleman from massachusetts and additional one minute. the speaker pro tempore: the gentleman from massachusetts is recognized for one minute. mr. lynch: thank you, mr. speaker, and i thank the gentlelady for yielding. let me make one final point on. this what this bill will do now is give the cayman islands or london or some other jurisdiction the ability to write derivatives rules that cover u.s. affiliates. now, the problem with that very idea is that the cayman islands or any other jurisdiction has no interest in protecting the u.s. taxpayer. that's the truth. when the bailout for a.i.g. came, it was $160 billion in

u.s. currency, supported by the u.s. taxpayer that bailed a.i.g. out. so, any of these foreign affiliates that go under in foreign jurisdictions, those foreign jurisdictions, whether it be the cayman islands or any other jurisdictions, what no has no interest -- has no interest, they have no dog in the fight to protect the american taxpayer. that's the problem with this bill, that's the bottom line. we should vote against it. this is a disgrace. but it does show the power of wall street, i'll say that. the speaker pro tempore: the gentleman from texas. mr. hensarling: i yield myself 15 seconds, mr. speaker, to say, one, if this is a disgrace, you need to inform almost 2/3 of your members who voted for it in committee. second of all, nothing in this amends dodd-frank. third of all, you alltel us dodd-frank ended -- you all tell us dodd-frank ended too big to fail, so the specter of bailout i do not understand. you need to make up your mind. i reserve. the speaker pro tempore: the

gentlelady from california. ms. waters: i yield myself such time as i may consume. the gentleman from texas keeps talking about we make the claim that we ended too big to fail. that's what we're trying to do. that's what we're standing up against what you're attempting to do in this piece of legislation. derivatives are an important part of the reform of dodd-frank. it is important because we're trying to create transparency. the over-the-counter derivatives market that has been working for so long in the shadows, we cannot continue to have. i'll yield to the gentleman from texas. mr. hensarling: if i misquoted the gentlelady, i apologize. but i had thought i'd seen earlier quotes where the gentlelady posited that dodd-frank ended too bill to -- too big to fail. if i was incorrect, i apologize to the gentlelady. ms. waters: reclaiming my time. the gentleman from texas knows how it works. we have dodd-frank reform and it

has to be implemented. you know the living wills have to be done, you know that we have to put in place all that it takes to have the ordinary liquidation procedure. and it is important that you understand and that all of our members understand that derivatives are an important part of reform. if we allow this bill that presumes that other countries are comparable to us in their regulatory regimes, without even checking, without vetting, without asking any questions, without requiring anything, then we absolutely put our own country at risk and we put at risk the american taxpayers who will have to bail out the major financial institutions if we allow you to pass a bill like this. presuming that they're ok that these country tsh ok, that these countries are ok -- ok, that these countries are ok. i understand very well that if

we allow this presumption to take place, then you'll just go to court and you'll argue that you have the presummings -- presumption and you'll try to tie up the cftc all over again. i reserve the balance of my time. the speaker pro tempore: the gentlelady reserves the balance of her time. the gentleman from texas. mr. hensarling: reserve. the speaker pro tempore: the gentleman from texas reserves. the gentlelady from california. ms. waters: i yield to the gentleman from texas an additional one minute. the speaker pro tempore: the gentleman from texas is recognized for one minute. mr. green: thank you, madam ranking member. it's important to note the amount in derivatives that we're talking about. we're talking about a quadrillion dollars. more than the entire economy of the world. a quadrillion dollars. and the impact a quadrillion dollars can have on the world's economy. some of this money is in interest rate derivatives.

if there's a spike in interest rates, we're not sure what the ultimate impact on the world's economy will be. if i am wrong, everything will be all right. but if i'm right, everything will be all wrong. and it will be too late for us to take corrective action. the speaker pro tempore: the gentleman from texas reserves. he gentlelady from california. ms. waters: mr. speaker and members, i'm very disappointed and worried that this bill has been brought to the floor under a closed rule. as have more than one third of the bills so far this congress, i believe there are important issues concerning the structure of this bill, particularly the bill's presumption that the rules of the nine largest foreign markets will be broadly equivalent to our own. the bill would require the s.e.c. and the cftc to act in order to allow u.s. rules to

apply to transactions even though the risks of the transactions will ultimately be important back -- imported back to the united states. my amendment would have the reverse of this presumption, directing the s.e.c. and the cftc to jointly consider the regulatory framework of these countries to provide appropriate exemption when jurisdictions have derivatives rules that are truly broadly equivalent to our own. a closed rule prevents us from considering these issues. why do they have a closed rule? why do they try to hide this bill inside the d.o.d.? they don't want this debate. they didn't want an opportunity for any amendment. they don't care that foreign countries would be determining our faith when they set up their regulatory regimes which won't be comparable to ours. we owe it to the american people to do better than we have done. we have had the subprime meltdown. we have had the economic crisis. why throw us back into that simply because you're trying to protect wall street? our citizens don't deserve that. they deserve for us to stand up

and protect them from having to bail out these big institutions that will fail. we've gone through a.i.g. we've gone through jpmorgan, the $6 billion failure. why should we do that again? i yield back the balance of my time. the speaker pro tempore: the gentlelady's time has expired. the gentleman from texas. mr. hensarling: how much time do we have? the speaker pro tempore: the gentleman has 1 1/2 minutes remaining. mr. hensarling: and did the other side yield back? the speaker pro tempore: all time on the other side has expired. mr. hensarling: mr. speaker, in order to close for the bipartisan majority, i will yield the remainder of our time to the author of the bill, the gentleman from new jersey, mr. garrett. the speaker pro tempore: the gentleman from new jersey is recognized. mr. garrett: again, i thank the gentleman from texas and the bipartisan manner from mr. carney, mr. scott, as well, working together to get this bill passed and i am welcomed to the debate that we're having here. but i do find it amazingly ironic that i have to come to the floor and stand here in the position of former member

barney frank and defend dodd-frank to the allegations from the other side of the aisle to this idea that there is some sort of escape hatch here or hole blown out or we're outsourcing regulation when in fact if you read the legislation you realize it does none of those things. now i understand, i understand that dodd-frank was a piece of legislation that was well over 2,000 pages and maybe some that voted didn't understand the complexity of it and what was involved. the bill before us today is only 11 pages long so everybody should have read it and understand it and so when the gentleman from massachusetts refers to section 722-b and other portion of dodd-frank being changed by it he should understand by reading the 11 pages, none of dodd-frank was -- 722 or those other sections , re altered in one way, shape form or another. what was to carry out the will of dodd-frank to make sure that the two regulatory agencies

dealing with the respective areas here, the s.e.c. and the cftc, actually do what former chairman frank wanted dodd-frank to do and that is to issue a rule and issue a rule that would be effective in their judgment for the betterment of the economy and for the regulated entities involved. with that i see my time is up. i encourage a yes vote on this legislation. the speaker pro tempore: all time for debate has expired. the previous question is ordered on the bill as amended. the question is on engrossment and third reading of the bill.

the speaker pro tempore: for what purpose does the gentleman ?rom texas rise mr. conaway: mr. speaker, i urge my colleagues to pass h.r. 1256, the swap jurisdiction certainty act. swapts are an important tools that our farmers, ranchers and businesses rely on to hedge in competing in a global marketplace. the cftc could fundamentally disrupt these markets here at home and around the world unless congress acts today. last summer the cftc issued a proposed -- its proposed cross-border guidance for

review and comment explaining how it would regulate swaps entered into by foreign companies. what was produced was starredling. any swap with any interest related to the united states falls under the jurisdiction of the cftc and the dodd-frank act. as chairman of the foreign commodities and risk management committee i healed a hearing on this issue last december with members from the cftc and regulators from the european union and japan. each witness agreed that it was imperative that we get the cross-border application of dodd-frank correct and that the u.s. not try to police swap markets around the world. respect for equivalent but not necessarily identical regulatory standards has been a cornerstone of international banking regulations for decades. the cftc has rewritten the principles of international cooperation with this guidance. insisting that it alone can and should manage the global swaps market. particularly, this is met with universal outcry from foreign

governments and regulators. but today's bill is about far more than just the pride of international regulators. if the cftc's guidance stands and equivalence is no longer recognized, the global derivatives market can become regionalized as they transact the majority of their businesses within their home jurisdictions. such an outcome would concentrate specific risks and various economies and sectors of the world. here at home american end users who use swaps to manage everyday business risks may have fewer counterparties to work with. fewer counterparties mean there will be less competition and liquidity in the market leading to higher costs for end users and a concentration of higher risks in the united states. not only has the cftc failed to cooperate with international regulators, it's failed to do so at home as well, leading the s.e.c. to propose a separate rule governing the small slice of swaps -- swap markets that it regulates. today there are two different sets of rules for when market

participants are subject to u.s. law, depending on what instrument is being traded. the swap jurisdiction certainty act will end this mess. it first requires that the cftc and the s.e.c. cooperate on a single joint rule for the extra territorial application of the dodd-frank regulations. second, it requires that the cftc and the s.e.c. to recognize the competence of certain sophisticated foreign regulators unless they can both agree that the regulators have failed to produce equivalent requirements. for all the back and forth today, this is a simple, straightforward bill. in a nutshell, it requires the cftc and the s.e.c. to cooperate, both with each other and with the rest of the world. exactly what they should have been doing all along. i'd like to thank my counterpart on the financial services committee, mr. garrett, for bridging this legislation to the floor today. i as well like to thank ranking member david scott who continues to be a thoughtful and productive partner on the ag committee. and i'd like to thank chairman frank lucas who says that our

consumers depend on us to protect their part of the world. i ask for swift passage of the legislation and reserve the balance of my time. the speaker pro tempore: the gentleman reserves the balance of his time the gentleman reserves the balance of his time. -- the gentleman's time is eserved. mr. scott: i yield myself such time as i may consume. the speaker pro tempore: the gentleman is recognized. mr. scott: let me say at the outset that what's been called to our attention today is a great need for leadership. this is what this is about, derivatives. the other side pointed out very magnificently we're dealing with a $600 trillion piece of the world economy. it must have rules. it must have regulations. this is the duty and the responsibility of the united states congress to do so. to do otherwise would indeed

weaken dodd-frank. what this bill does is strengthen dodd-frank. now, i serve on both the agriculture committee and the financial services committee. i'm also the ranking member of the generals commodity and risk management subcommittee. i mention those things because i have been intimately involved this issue for a long time, and i know the dear consequences if we do not respond. now, why do we need this bill? dodd-frank has been approved almost three years but right still do not know what swaps activities will be subject to u.s. regulation and which ones will be subject to

foreign regulations. it's something that's shameful. in section 722 the dodd-frank act limits the cftc's jurisdiction over swaps transactions outside the united states for those that have, quote, direct and significant connection with activities in or affect on commerce in the united states. however, section 722, the same section, limits the s.e.c.'s jurisdiction over security-backed swaps outside the united states as well. that brings confusion. hat is the proper thing to do? ask these two agencies to harmonize, give us one rule so that that will apply. that's what this bill does. we are dealing with a global

market. we cannot put our american banking system at a disadvantage competitively. that is what will weaken dodd-frank. that is what will bring about another crisis than what we already have. so mr. speaker, what we need to do is understand that on the foreign market, what are we dealing with? we are not dealing with every nation in the world. we're dealing with only the we largest economies, and must make sure that their regulatory regimes is as strong as ours. that is the responsibility of the s.e.c. and the cftc. that's what this bill is. as far as a.i.g., as far as all

of the other debacles have that have happened, we are all upset about that. that is why we must move with this legislation. now very briefly, much has been said about what has happened as if we've done nothing about it. mr. speaker, we put clearing in so that all swaps transactions must be cleared. clearing of swap contracts will eliminate bilateral credit risk, and it transfers that risk to clearing-houses which requires market participants to post margins, put up their own money. that's how you prevent another economic calamity. the margin requirements are there also for uncleared swaps. and the clearing rules and the

margin rules taken together an that all swap contracts will be fully secured by high-quality liquid assets and this is what will prevent another scenario. said i started what i what is desperately needed here, leadership. to allow this cross-border to go unanswered any longer is weakening us. the chairman of the cftc next week will be meeting in montreal with the european regulators. leadership is needed. there is a july 23 deadline that all of the international markets must meet to deal with rules and regulations.

the wrong thing for us to do is not to pass this bill. and i assure my colleagues, my democratic and republican friends, i've gone through the safeguards we've put in here. this will not happen again. will not happen again because we have strengthened odd-frank. and the head of our fed, chairman bernanke, said in his own words, we need this cross-border protection. we need this legislation. and so with that i want to reserve some time because i have some other speakers that we'd like to hear from. the speaker pro tempore: the gentleman reserves the balance of his time. the gentleman from texas. mr. conaway: i'd like to yield two minutes to the gentleman from the agriculture committee and subcommittee, richard

hudson, for two minutes. the speaker pro tempore: the gentleman from north carolina is recognized for two minutes. mr. hudson: i rise today in strong support of h.r. 1256, the swap jurisdiction certainty act, which requires the cftc and the s.e.c. to cooperate on a single rule for how u.s. derivatives regulations are applied overseas. this bill and several others we will consider today are critically important to the work we have begun in the house agriculture committee, to reform dodd-frank and make this bill less onerous for our farmers and bank st. -- bankers. as was noted, it appears as though the cftc was guided by what could only be called the interga lactic commerce clause. how foreign institutions comply with dodd-frank is of enormous consequence. the cftc has taken the position virtually everyone everywhere is a u.s. person and subject to its jurisdiction. without question, this expansive claim of jurisdiction is going to raise the cost for farmers

and end users in my home state of north carolina to hedge their risk and diminish global competitiveness of our domestic financial firms which employ many people back home in north carolina. the cftc is risking all this to an end that no one seems to fully understand. their actions are making financial regulatory reform more burdensome and more complicated while serving only the al-- to alienate the cftc and u.s. markets with the rest of the world. the swaps jurisdiction certainty act would force the cftc to cooperate with the s.e.c. on a single standard for cross-border application of swaps regulation. in addition, the bill is narrowly tailored to guarantee that the top nine foreign swaps markets will be recognized by the cftc and s.e.c. as having comparable rules so foreign firms will be governed by the laws of their home countries. this bill does not, and i repeat does not allow unchecked swaps markets to spring up in caribbean island nations or the far corners of southeast asia as some on the other side of the

aisle have alluded. instead it directs the cftc to do what it should have done in the first place, to cooperate with its fellow regulators down the street and around the world. i urge its adoption and yield back the balance of my time. the speaker pro tempore: the gentleman from georgia. mr. scott: i yield 1 1/2 minutes to mr. carney from delaware. the speaker pro tempore: the gentleman from delaware is recognized for 1 1/2 minutes. mr. carney: thank you, mr. speaker. i'd like to thank mr. scott for yielding time and for his leadership on this issue. i rise today in support of h.r. 1256. it will lead to stronger, more robust set of regulations for the derivatives market. and let me be clear, this is not an effort to rollback title 7 of dodd-frank or to weaken its reach overseas. in fact, its intent is to harmonize regulations for cross-border swap transactions. to eliminate confusion and to prevent the establishment of two sets of ruleses in certain jurisdictions. which we know will leave us vulnerable to companies who

would want to exploit those loopholes. in fact, this is a goal that our former chairman and ranking member articulated well in a letter that he co-signed with senator tim johnson to the regulators dated october 4, 2011, in which he says, u.s. regulators should work with other international regulators to seek broad harmonization of appropriately tough standards, should current harmonization efforts ultimately fail or prove a race to the bottom that would undermine effective regulation, the u.s. would reserve the right to proceed to extend the application of its standards to overseas operations. that's exactly what this bill does. it calls on the cftc and the s.e.c. to issue joint regulations in yore seas markets and -- in overseas markets and in g-8 plus hong kong and those markets where there are already rigorous regulations, the cftc needs to determine whether our

regulations are strong enough and if they're not they can apply our regulation there. so this bill is a good bill to create one set of regulations around the world that will be strong and clear and consistent. thank you, i yield back. the speaker pro tempore: the gentleman's time has expired. the gentleman from texas. mr. conaway: mr. speaker, how much time is left on both sides? the speaker pro tempore: the gentleman from texas has 4 1/2 minutes remaining. the gentleman from georgia has two minutes remaining. mr. conaway: i would yield two minutes of my time to mr. scott for his use. the speaker pro tempore: the gentleman is recognized for two minutes. mr. scott: thank you very much. -- that i'd like to yield is mr. murphy here? a minute and a half to mr. murphy, thank you. from florida. the speaker pro tempore: the gentleman is recognized for 1 1/2 minutes. mr. scott: yes. mr. murphy: thank you, mr. speaker. and i thank the gentleman from georgia for yielding. i rise in support of h.r. 1256. title 7 of dodd-frank contains important structural reforms to the derivatives market so that

complicated, unregulated financial instruments can never bring our economy to its knees again. however, no law is perfect and we should look for ways to improve wall street reform to keep unintended consequences from trickling down to main street. the bill before us would put s.e.c. and cftc in the same page, giving american businesses the ability to compete with foreign companies on a level playing field. this should not destabilize the global financial system because the bill demands a broadly equivalent swaps regime as title 7. the global derivatives market deserves smart regulations. not duplicative or conflicting requirements. i urge my colleagues to support this commonsense technical adjustment and i yield back the balance of my time. the speaker pro tempore: the gentleman yields back the balance of his time. the gentleman from texas. mr. conaway: i reserve. the speaker pro tempore: the gentleman reserves. without objection, the gentleman from georgia is advised that he has three minutes remaining. mr. scott: thank you, mr. chairman. with that i'd like to yield a

minute and a half to ms. moore from wisconsin. the speaker pro tempore: the gentlelady from wisconsin is ecognized for 1 1/2 minutes. ms. moore: thank you, mr. speaker. and thank you, the gentleman from georgia. i rise today to support h.r. 1256, the swap jurisdiction certainty act. i plowedly -- proudly supported the dodd-frank wall street reform act because i believed that regulations of derivatives was desperately needed. and today i stand here in support of this, what is a very modest change. because i believe that the inability of the cftc and the e.c. to come together on a definition of u.s. persons is centrally important to an effective cross-border rules and regulations and rules of the road. now, i did support the

gentlelady from california's amendment for switching the presumption. because of the closed rules, we were unable to take that up at this time. i believe it would have improved the bill. however, although this amendment as not adopted, i believe that the regulators will continue to have the authority to regulate any overseas swap transactions under u.s. rules if they conclude that it is appropriate. i believe that without this bill we can find u.s. companies going outside not only of the jurisdiction of the united states and our losing our competitiveness, but those swap activities could migrate away from u.s. companies overseas to companies outside of the reach of u.s. regulators. so i would urge my colleagues to support this important legislation.

mr. conyers: i reserve. the speaker pro tempore: the gentleman reserves. the gentleman from georgia -- mr. conaway: i reserve. the speaker pro tempore: the gentleman reserves. the gentleman from georgia. mr. scott: i -- do we have any other speakers? with no other speakers, mr. speaker, let me just close by , ying, with the international interconnected complex nation of financial markets and the sizable role the derivatives play within the global economy, as i mentioned, $600 trillion, international harmonization of rule making between the cftc and the s.e.c. is critical. and a coordinated regulatory cooperation between the nine keepingglobal partners, our financial institutions at a

competitive, at a competitive position, is critical. that's what this bill does. and i urge all of my colleagues to support this important and timely piece of legislation. the speaker pro tempore: does the gentleman yield back his time? mr. scott: i yield back the balance of my time. the speaker pro tempore: the gentleman yields back the balance of his time. the gentleman from texas. mr. conaway: i thank you, mr. speaker. mr. speaker, we have heard from a number of foreign governments from around the world and their regulatory schemes and let me just say, strong disagreement with the cross-border guidance, that chairman ginsler and the cftc have proposed. we have heard from the united kingdom, european commission, france, brazil, germany, south africa, russia, switzerland. we've heard from european securities and market authority. in australia we've heard from the reserve bank of australia, the hong kong secretary for financial services and the treasury, japan has weighed in

with japan's financial services' agency, the monetary authority of singapore, the swiss financial market supervising authority and from the u.k. we've heard from the chancellor and the financial service authority. i'd like to ask unanimous consent to introduce into those records, -- one of those letters, one from secretary lu to a number of folks and someone from chairman ginsler from england and the european union and japan as well as france. the speaker pro tempore: without objection. mr. conaway: mr. speaker, all of these letters are on -- posted on the website, the agriculture committee's website, for constituents and others to read and get a flavor of what our fellow regulators around the world are saying about this. none of them have any interest in an unregulated market. they all see the risks that we see. this bill simply asks the s.e.c., the cftc to get along, come to a conclusion, whatever that might be, and then deal

equitably with their fellow regulators around the world. these are fwrite, smart people just like we are -- bright, smart people just like we are and for to us argue that we have the only perfect scheme to regulate derivatives is a bit wrongheaded. this bill goes a long way in fixing that and i urge my colleagues to support the bill, vote in favor of it and i yield back. the speaker pro tempore: the gentleman yields back the balance of his time. all time for debate has expired. rsuant to house resolution 256, the previous question is ordered on the bill as amended. the question is on engrossment and third reading of the bill. those in favor say aye. those opposed, no. ayes have it. third reading. the clerk: a bill to direct the secretarys of securities and exchange commission and the trading commission to jointly adopt rules setting forth the application for cross-border swaps transactions, of certain provisions relating to swaps that were enacted as part of the dodd-frank wall street reform and consumer protection act. the speaker pro tempore: for what purpose does the gentleman from new york seek recognition? >> i have a motion to recommit

at the desk. the speaker pro tempore: is the gentleman opposed to the bill? the gentleman qualifies. the clerk will report the motion. the clerk: mr. maloney of new york moves to recommit the bill with instructions to report the same back to the house forthwith with the following amendments. page 7, after line 6, insert the following, 4, additional criteria on china, iran and other countries who engage in cyberattacks or violate the iran sanctions act. the commission shall determine that the regulatory requirements of a country, administrative region or other foreign jurisdiction are not broadly equivalent to united states swaps requirements, if the commissions determine that such country administrative region or other foreign jurisdiction, a, engages in cyberattacks and does not have or has but does not enforce laws to deter cyberattack against u.s. persons, including u.s. companies and the government of the united states, and, b, is in

violation of or does not enforce comparable restrictions to the iran sanctions act of 1996. the comprehensive iran sanctions accountability and divestment act of 2010, the iran threat reduction -- mr. maloney: i ask for suspension of reading of the bill. the speaker pro tempore: is there objection? >> i object. the clerk: the iran threat reduction and syria human rights act of 2012 and the international emergencies power act. page 7, line 7, strike 4 and insert 5. page 9, after line 21, insert the following, g, exclusions of corporations that violate iran sanctions act or engage in cyberattacks. a nonu.s. person shall not receive the exemption provided in subsection d if the commissions determine such person has, one, been the subject of a civil or criminal proceeding for violating the iran sanctions act of 1996, the comprehensive iran sanctions

accountability and divestment act of 2010, the iran threat reduction and syria human rights act of 2012, or the international emergency economic powers act. or, two, been the subject of a civil or criminal proceeding related to cyberattacks on the government of the united states or u.s. companies. page , line 22, strike g and nsert h. the speaker pro tempore: for what purpose does the gentlelady from missouri rise? >> mr. speaker, i rise in support of the motion. >> i rise today to offer the final amendment to the bill. it will not kill the bill or send it back to the committee. mr. maloney: the bill will immediately proceed to final passage, as amended. i rise to offer this motion to recommit because this bill in its current form misses an opportunity to do more and we

should not let that opportunity pass. the underlying legislation has the goal of extending reasonable accommodations to like-minded friends and allies around the globe with stronger, better, coordinated framework is a goal we all share. but my amendment is simple. it says that the accommodations we extend to our friends must not be extended to those who actively seek to harm the united states, our citizens, our allies, our corporations by violating the iran sanctions act or by engaging in cyberattacks against the united states. the dangers of a nuclear iran are real. they are made even more real by actors who continue to bypass american and u.n. sanctions. iran is an exowe extension threat to our -- exowe tension threat to our friend and ally israel.

arming the syrian regime and hezbollah and undermining peace in iraq. iran is actively pursuing a nuclear capability which we cannot allow. we cannot let countries or corporations who do not share our values reap the benefits of this bill. that's why my amendment would target countries and corporations and deny them the benefits of this bill if they violate the iran sanctions act. we have very strong laws on the books, blocking any violation of the iran sanctions act here or abroad, either by countries or corporations who don't share our values. that's a good thing, and in fact the president just recently issued a new executive order further tightening these sanctions particularly in the financial sector. that's why this final amendment is key to keeping this legislation aligned with these efforts to keep iran isolated from the international community and to eliminate any new sources of funding to the iranian regime. and so my amendment also

targets countries that engage in cyberattacks against our country or our corporations. countries like iran and other countries such as china try to undermine the united states, our companies, our infrastructure, our systems every day. thousands of times a day. cyberattacks result in a huge economic loss to it our intellectual property, to the tune of billions of dollars annually, not to mention the extreme danger to our national security, our banks, our infrastructure. my amendment doesn't allow transactions under this bill that would harm either the united states or israel. we cannot and should not walk away from making this bill better, and i urge my colleagues to support my amendment. and i yield back. the speaker pro tempore: the gentleman yields back his time. for what purpose does the gentlelady from missouri rise? >> thank you, mr. speaker. i rise in opposition to the motion. the speaker pro tempore: the gentlelady is recognized for five minutes. >> mr. speaker, my friends on the other side of the aisle just refuse to face the fact

that three years ago with the passage of dodd-frank they created some of the most complex and confusing rules our economy has ever seen. mrs. wagner: it is by no means a coincidence that the difficulties faced by farmers and small businesses and families in obtaining credit today is a direct result of dodd-frank's chilling effect on our capital markets. the bill we are considering today has nothing to do with cyberattacks. while this is an important matter, this issue has nothing to do with cyberattacks. if it was so important, i wondered why it wasn't offered in either committee where we were debating this particular bill. federal regulatory systems and the s.e.c. -- our system is broken, absolutely broken at the federal regulatory level. the s.e.c. and the cftc have promulgated two completely different regulations to cover

cross-border swap transactions. the delay and disorder on this issue ends today. mr. speaker, regulations governing the same behavior hinders the capital markets and hurts the economy. i am hopeful that a bipartisan vote on this legislation will send a strong signal to our regulators in washington that finally after three years they need to come together for the good of economic growth and prosperity. i urge a no vote on the motion to recommit and a yes vote on h.r. 1256, and i yield back the balance of my time. the speaker pro tempore: the gentlelady yields back her time. without objection, the previous question is ordered on the motion to recommit. the question is on the motion. all those in favor say aye. those opposed, no. the noes have it. the motion is not adopted. the gentleman from new york. mr. maloney: i call for the yeas and nays. the speaker pro tempore: those favoring a vote by the yeas and nays will rise. a sufficient number having arisen, the yeas and nays are ordered. members will record their votes by electronic device. pursuant to clause 8 and clause 9 of rule 20, this 15-minute vote on the motion to recommit will be followed by five-minute

votes on the question on passage of h.r. 1256, if ordered, and the motion to suspend the rules and pass h.r. 1038. this is a 15-minute vote. [captioning made possible by the national captioning institute, inc., in cooperation with the united states house of representatives. any use of the closed-captioned coverage of the house proceedings for political or commercial purposes is expressly prohibited by the u.s. house of representatives.]