Chairman Huizenga, Senator Inhofe Move To Eliminate Resource Extraction Rule via CRA
Today, Capital Markets Chairman Bill Huizenga (MI-02) and Senator James Inhofe (R-OK) released the following statements regarding their bicameral effort to repeal section 1504 of The Dodd-Frank Act by using the Congressional Review Act (CRA):
"The SEC's rule surrounding resource extraction pursuant to section 1504 of Dodd-Frank fails the agency's core mission on multiple fronts," said Chairman Huizenga. "The SEC is tasked by Congress to both protect investors and facilitate capital formation. Despite being instructed in Federal Court, the SEC continues to propose a resource extraction rule that is overly burdensome, puts U.S. companies at a competitive disadvantage, and fails to provide investors with useful information. Transparency is a critical element in governance and I believe there is a way for the SEC to achieve transparency regarding section 1504 however this revised rule falls short and remains deeply flawed."
“I am pleased to introduce this CRA against the SEC’s resource extraction rule, which would put our companies at a disadvantage by forcing them to disclose confidential business information to their private and international competitors,” Senator Inhofe said. “Passing this CRA will right the ship and put U.S. companies back on a level playing field with their private and foreign competitors; it will also protect them from a dramatic increase in regulatory compliance costs. This is not the first time action against the SEC’s rule has been taken. In 2012, the Commission finalized essentially the same rule, which was ultimately vacated by the U.S. District Court for the District of Columbia in July 2013. It is time we take action to roll back this harmful and unlawful rule. I look forward to working with my colleagues in the House and Senate in getting this CRA to the President’s desk.”