chairman schapiro, we recognize you have an incredibly difficult job. i know that you and your staff are very -- are working very, very hard to meet today's challenges. we do appreciate your efforts. i look forward to your testimony. but for now, i'd like to recognize my friend ranking member sorano. >> thank you. and it's okay to mention baseball as we always do. september th except that it's early. in october we'll be talking to each other again. then november we won't be ta talking to each other. i want to join you and welcoming the chairman of the security and exchange commission. i think all of us here agree with the vitally important mission that the sec plays and protecting consumers and investors. the financial crisis highlighted the need to have a robust cup on the beat to make sure that the american people are protected. dodd/frank gave the commission important new responsibilities in this regard and implementing and enforcing the numerous changes of the law is a vital part of making sure the sec can better address abuses of the securities mar

anyway, again, welcome, chairman schapiro. the sec has the complicated mission of protecting investors, maintaining fair, orderly and efficient markets and facilit e facilitating capital form ace and not overregulating markets and hindering economic recovery. the committee must be vij plant in our oversight of regulatory agencies like the sec that play an influential role in our economy and have the power to help and hinder american consumers and businesses. since 2001 sec's budget has increased over 200%. despite this tremendous growth in resources over the past decade, the sec failed to defect ponzi schemes such as madoff and stanford, u.s. financial systems nearly collapsed. in recent years the sec has also had several embarrassing management lapses such as purchasing unneeded space, repeating material weaknesses in the sec's own financial statements to name a few. i believe many of these problems are symptoms of fundamental problems within the sec's organization and structure. the fiscal year 2013 request proposes another

luis aguilar has already said he would stand up for this, mary schapiro. with those two votes, we could literally make every american in america to have to disclose this kind of political spending. >> that's why i've been so enthusiastic in supporting your efforts because i do feel it's at the bottom of a tree here. how did the sec react in the one meeting that you've had with them so far? >> you can imagine that the notion of protestors on their doorstep was offputting to them, the sec is not used to a lot of protest, they're not used to reaching in and telling citizens to do your job. we want to blow by 100,000 signatures, we're at 75,000. people should go to elections.com and weigh in now. but i think it's a little unnerving to the sec to say, hey, you're supposed to be a transparency issue. we're watching you because you're not doing your job. we're going to encourage the public to watch. i'm going to see chairwoman mary schapiro in a few days, and i hope she'll say, okay, we're ready to weigh in here. >> what do you expect all of us to do before you m

thank you. [ applause ] >> thank you very much, chairman schapiro. >>> in economic news today, from the labor department, employers added 227,000

>> thank you very much, chairman schapiro. >>> i propose a toast. to the country we love, to the men and women who defend her and to that faith, that fundamental american faith that says no mission is too hard, no challenge is too great, through tests and trials, we don't simply endure, we emerge stronger than before knowing that america's greatest days are still to come. and they are great because of you. cheers. god bless you and your families and may god continue to bless those in uniform and the united states of ama. thank you very much, everybody. [ applause ] >> may dinner be served. >> president obama from wednesday toasting members of the military honoring iraq war veterans. coming up, a look at the issues affecting our soldiers as they return from war. next, president obama announces measures to help veterans find work. then eric shinseki talks about the 10.5% increase in spending next year. it will help veterans find jobs and reduce homele leslessnessho. we will speak with tom tarantino. then a hearing on the availability of health service

that said, the question then chairman schapiro, with regard to your -- the division or department in the s.e.c. that actually houses your economists, if you will, i'm curious because i don't know how often you utilize your economists in determining the economic impact of a certain type of regulation, but certainly with regard to what mr. yoder is saying, it seems to me that, regardless of the intent of congress, that in fact the economic impact on a company such as garmin, is it? who needs to use some of those minerals because you can't get them anywhere else or they would become anti-competitive should be subject to some kien of analysis. do you ask those folks within your organization to help on this? >> absolutely. we have significantly expanded the size of our economics group in the last two years. they are involved right from the beginning and the cost analysis of the regulations we might impose helping us analyze costs of different alternatives, if possible. they have a request for comments on both analysis we did and asking others for data that would help inform the public pol

schapiro. it's a responsibility that few others in this government have. it can't be easy to sleep at night. thanks for the good job you do. our job is to make it easier for you to do your job. but please understand that we also want to be as efficient as we possibly can. >> we understand. we want to be as efficient as we can too. then we can spend the money on things that really matter. but i appreciate -- >> thank you so much. >> thank you. >>> >>> on washington journal tomorrow morning we'll be joined by representative paul brown, a republican from georgia to discuss the super tuesday primary result. his bill to repeal the president's healthcare plan and gas prices. and you can call in with your questions about foreign pol stoi democratic senator ben cardin of maryland. washington journal is live on c-span every day at 7:00 a.m. eastern. >>> coming up, a senate armed services committee hearing on the situation in syria. defense secretary leon panetta and joint chiefs chairman general martin dempsey testify. see it live starting at 9:00 a.m. eastern here

then securities and exchange commission mary schapiro on the budget request. that's followed by angela merkel in a town hall. and then later nuclear proliferation and rogue states. >> there's a real anxiety within a substantial part of black america when confronting black americans who are successful in the wider society because there's this anxiety that to be successful, especially if you're in a predominantly white setting, to get the backing of white people, to get the trust of white people, what did you have to do to get that backing? what did you have to do to get that trust? what did you have to do to get that recognition? there's this fear that one of the things that you had to do was to betray in some form your community. >> the first sunday of every month, book tv's in depth focuses on the works of just one author. this month, harvard law professor randall kennedy spoke of race, politics and the obama administration. watch it online at the c-span video library. with over a quarter century of american politics and public affairs on your computer. >>> e

i think there were a number of reforms that mary schapiro came in. i think she came in really wanting to improve the kinds of disclosure that investors received so that it's more informative. i think what we have now are individuals who, you know, a barrage with information about financial products but don't know what to do with it. and to some extent a lot of the information that they get is more developed, you know, from a litigation standpoint than it is investor and informative standpoint. what we really need is a complete rethinking of how we deliver information to investors so that they get information that is useful. and obviously the other thung we need to do is to continue to work on insuring that investors are protected. >> can i vote? possible to fit these sortseat. of twitter size thoughts? >> twitter size thoughts? i know that peter -- with me. but we think one of those investor protections in that is holding anybody who gives to a douchery standard of care. >> i was going to say that. i agree with you that one of the things that, again

. >> thank you so much, chairman schapiro. i'm going start out with some plain old budget questions. and i appreciate so much your testimony. so we've talked -- you outlined in your testimony what you would spend the added -- the asked for increase of let's say $245 million over last yeared enacted level and last year's was of course a $200 million increase over the previous year. and i realize of course do you have a lot of added responsibilities as a result of dodd frank but most agencies haven't received increases like y'all, nowhere close. so in spite of of the fact that the agency's budget is really funded by fees, we do take our oversight role quite seriously and it just worries me that in spite of how much money we threw into the sec that we still -- y'all still missed madoff and i realize that was before your time, the madoff and stanford. we had so many issues. can you tell me how the investors have benefited from such large sec funding increases? >> i'd be happy to. i want to start by saying we're very grateful for t

and in three hours, mary schapiro, member of the securities and exchange commission, talks about the dodd frank regulations law. these fans wrote to the white house coverage continues with a republican caucus and three primaries this month. on saturday, the missouri caucuses will continue determining delegates for the national convention. puerto rico hold its primary on sunday with the illinois primary on tuesday. on march 24, it's the louisiana primary. and in the beginning of april, contests in the district of columbia, maryland and wisconsin. the associated press reports that the republican delegate count found that 495 for mitt romney, 252 for rick santorum, 131 for newt gingrich and 48 for representative ron paul. 1,144 delegates are needed for the party's nomination for president. this count includes republican national committee delegates who have told the ap which candidate they support. federal reserve chairman ben bernanke recently told the house financial services committee that the economy is doing better than expected and that the fed is not planning to do anything now t

budget, including congressional testimony from securities and exchange commission chairman mary schapiro, and secretary of state hillary clinton. and then federal reserve chairman ben bernanke on the economic outlook. >> not fighting and dying because they're al qaeda. they're not fighting and dying and sacrificing their lives because they're muslim extremists. they're fighting and zhying because they want the same universal rights and freedom that we guaranteed in our constitution. >> i think if we don't get the international community together in a coalition of the willing soon, we're going to look back and say we not only didn't do the right thing morally to stop innocents from being killed, we missed an extraordinary strategic opportunity. >> i want to make the point that the concerns that senator mccain and you and others have expressed are exactly the concerns of the administration. we're not divided here. and we are not holding back. this administration has led in iraq. we've led in afghanistan. we've led in the war on terrorism. we led in libya, and we're leading in syria. we are

mary schapiro appeared to testify on the 2013 budget accord request. they have requested 1.6 $5 million, an increase from 2012. this is 90 minutes. i would like to welcome our witness. thank you for being here today. thanks to my colleagues as well. a decided not to talk baseball since both of our teams lost yesterday. we are sad but it is only the beginning. so hopefully it will all turn out well acted and. we will be playing each other in the world series. again, welcome chairman shapiro. sec has the mission of protecting investors, maintaining efficient markets and facilitating capital formations' wall not over regulating our markets and hindering economic recovery. the committee must be vigilant in our oversight of for agencies like the sec that play an influential role in the economy and have the power to help and hinder mender -- american consumers and businesses. the budget has increased over 200%. despite this growth, the sec failed to detect a ponzi schemes, the u.s. financial system collapse, and judges question their settlements and regulati

gary schapiro is ceo and author of "comeback."k about the cultures of innovation, why is that first culture, which is how do i learn? what can i find out? why is that precursor so important when you look at places like silicon valley and others who are so good at this? >> i'm talking about the american culture. a nation of immigrants. our forefathers thought they could do something better. it's who we are. we ask questions in our school. we also have a first amendment that allows us to push back against the status quo. plus we're entrepreneurial. our kids have lemonade stands. and we have winners and losers. all that makes us the most innovative country in the world. it's in motion pictures and music and medicine and biotech. it's our competitive strength in the world. it's something we have to recognize as a tocountry and wo towards furtherering. i think we're threatening it now by some of the things we're doing. >> how much does the government's willingness to run basically two sets of rules, one set for those who pay for tax fa

>> well, chairman mary schapiro has indicated she's got some reservations.s bill passed with huge bipartisan support and let's remember where it came from, those of us who wrote parts of this and chuck schumer and i wrote the part that would allow small companies to do an ipo and not be subject to the most onerous regulations immediately, they will over time, but they get a little window to kind of grow into the ability to afford that and we didn't make these things up out of the clear blue sky. these ideas came directly from the president's job council and the treasury ipo task force. it's endorsed by the president of the united states. it's endorsed by all kinds of business groups. and we've seen that the number of ipos in this country have dropped. companies' access to capital has thereby declined, so i think this would be a very constructive measure to help growing company's raise the capital they need to keep growing and to hire more workers. >> so, the concerns that were raised, do you think they are legitimate concerns? >> i think they're really over

you don't have to do it by tomorrow, but chairman schapiro, we really thank you very, very much. you do have a tough job, and it's a responsibility that few others in this government have. i know it can't always be easy to say but not so thanks for the good job you do. our job is to make it easier for you to do your job, but please understand that we also want to be as efficient as we possibly can. >> we want to be a session also because of their we can spend the money on things that really matter. but i appreciate you saying th that. >> thank you so much. >> thank you. [inaudible conversations] >> fire j. edgar hoover? i don't think that president couldn't have gotten away with their -- >> tim weiner details of the fbi's 100 year hidden history, and j. edgar hoover's fight against terrorists, spies and subversives. >> oeuvre stands alone. is like the washington monument. he stands alone like a statute encased. as one of the most powerful man whoever served in washington the 21st century, 11 presidents, 40 years from woodrow wilson to richard nixon, there's no one like him. and a

there were a number of reforms, where marh schapiro brought, so the reforms were more informative. to some extent, a lot of the information they get is more developed from a litigation standpoint than from an informative standpoint. we need a complete rethinking on how we deliver information to investors so they get information that is useful. the other thing we need to do is continue to work on insuring investors are protected -- >> [unintelligible] is it possible to twitter side thoughts? >> peter will disagree, but we think one of those protections in that is holding anybody who gives financial advice to a fiduciary standard of care. >> one of the things that would have been higher on the list of priories but for and with implementation issues with dodd- frank, is creating a uniform standard of care across industry so these intermediaries who investors are dealing with, whether broker dealers, have the same obligation to the investor. [unintelligible] >> that would force me to close my broker dealers. i wanted to get back on dodd- frank. i said earlier that the architect of the

one question specifically asked sharme schapiro, enabling everyday investors to invest with reasonable limitations and unregistered securities issued by startups. this is known as crowdfunding. at the time i was only familiar with crowdfunding, which is a hybrid of microfinance and crowd sourcing as a general method. sent around the world the billions of dollars of moneys raised. for example, a local brewery in my home state of north carolina was able to raise $44,000 on a platform called kick-start. that's done on the charitable side, but with crowdfunding, the success we see on the charitable side can be brought over on the investor side, on the equity side of capital raising. we recognize the consequences of dodd-frank, it limits the ability to get lending through traditional means and as a way to promote small business capital formation. crowdfunding relieves part of that pressure. in september of last year, after countless meetings, conferences, congressional hearings and bipartisan negotiation, i introduced the access to capital act. it offered a means of exam formation that woul

to be done is with the bandwidth issues because i think there were a number of reforms that mary schapiro came to the fcc and the reason i'm focused on that is because i was a former fcc commissioner but i think she came in really wanting to improve the kinds of disclosures that investors will see so that it's more informative and i think what we have now are individuals who are barraged with information about products than they don't really know what to to do it and to some extent a lot of the information that they get is more developed from a litigation standpoint than it is as an informative standpoint and what we really need is a complete rethinking of how we deliver information to investors so that they get information that is useful and obviously the other thing you need to do is to continue to work on ensuring that investments are protected. >> is it possible to sort of twitter size thoughts? >> peter will disagree with me but we think one of those protections is holding anybody who gives financial advice to a fiduciary -- >> yes and i was going to say that. i agree with you that o

however, chairman schapiro and fsoc, you remember, have made it clear they believe more should be done so that recent reports they discussed a few options. this was in a newspaper. including a requirement that would lock up a portion of investors money in proposed, proposal to require funds to abandon the stable $1 a share net asset value. the proposals have the potential to fundamentally change the nature of the product. some would say it would drive it out of existence. they play an important role in short-term financing of many different types of businesses. what are the risks to the economy and financial system if we were to fundamentally alter the nature of the money market funds? what do you think of the two different proposals made to strengthen them? i'm particularly interested, i've heard that investors have to keep 3% are certain percentage of side, and can pull it out right away, that it's not worth an investment to them anymore. >> well, so first as you point out the sec has already done some constructive things in terms of liquidity requirements. i think they'll the federa

the chairman of the securities and exchange commission, mary schapiro, wrote in a letter dated may 13he product of a bipartisan effort designed to facilitate capital formation and include certain promising approaches, i believe that there are provisions that should be added or modified to improve investor protections that are worthy of the senate consideration. in a banking committee hearing that we held on march 6, 2012, professor jay reiter of the university florida also testified that we should be careful because some of these bills could actually decrease capital formation and discourage job growth. he stated "it is possible that by making it easier to raise money privately, creating some liquidity without being public, restricting information that stockholders have access to, restricting the ability of public market shareholders to constrain managers after investors contribute capital and driving out independent research, the net effect of these bills might be to reduce capital formation and/or the number of small i.p.o.'s." in a hearing before the securities insurance and invest