2024: Fitzpatrick Voted Against Requiring Private Investment Advisors
To Annually Report On Their Investments Into Women, Minority, Veteran,
And LGBTQ-Owned Businesses. In March 2024, Fitzpatrick voted against ,
according to Congressional Quarterly, "Waters, D-Calif., amendment no. 9
to HR 2799 that would require each investment adviser who advises
private funds and is not exempt from registration to file an annual
report with the Securities and Exchange Commission disclosing the
aggregate number and aggregate dollar amount of their investments during
the previous year in women-owned, minority-owned, LGBTQ-owned and
veteran-owned companies as well as companies owned by individuals with a
disability and located in rural America. It also would require
qualifying venture capital funds that would not be considered such
without the underlying bill to file an annual report with the SEC
disclosing the same information." The vote was on the amendment. The
House rejected the amendment by a vote of 206 to 217. [House Vote 76,
3/8/24; Congressional
Quarterly, 3/8/24;
Congressional Actions, H.R.
2799]
2024: Fitzpatrick Voted To Override President Biden's Veto Of A Bill
Nullifying A Securities And Exchange Commission Rule Regarding The
Treatment Of Crypto-Assets. In May 2024, Fitzpatrick voted for ,
according to Congressional Quarterly, "Passage, over President Biden's
veto, of the joint resolution that would disapprove of the Securities
and Exchange Commission Staff Accounting Bulletin No. 121 concerning
crypto assets. The joint resolution would nullify the April 2022 SEC
Staff Accounting Bulletin No. 121, regarding the treatment of crypto
assets held by a bank, credit union, exchange platform or other entity
that serves as a custodian for a customer's assets." The vote was on
passage. The House passed the joint resolution by a vote of 228 to 182.
[House Vote 355,
7/11/24; Congressional
Quarterly, 7/11/24; Congressional Actions, H.J.Res.
109]
Republicans Opposed The Guidance As It Could Require Financial
Institutions To Record Crypto-Assets As Liabilities Which Would Lock
Out Consumers From The Market. According to Congressional
Quarterly, "The action is the latest move by Republicans to rescind
the guidance, found in the SEC's Staff Accounting Bulletin 121, on
the argument that it may require financial institutions to record
such assets as liabilities. That treatment, they say, would create
an incentive to avoid such 'custody' arrangements with their
clients, effectively locking out consumers of the most regulated
institutions from the market. 'If a bank were to custody digital
assets according to the parameters of [Staff Accounting Bulletin]
121, the on-balance-sheet treatment would affect their other
regulatory obligations like their capital and liquidity
requirements. The end result is that banks must choose to either
custody digital assets --- thus inflating their balance sheet and
severely affecting every other line of business --- or stay entirely
out of the market,' Rep. Mike Flood, R-Neb., said when the House
Financial Services advanced the measure (H J Res 109) in February."
[Congressional Quarterly,
5/7/24]
Democrats That Opposed The Resolution Said It Would Impede The
SEC's Future Attempts To Provide Guidance To Public Companies.
According to Congressional Quarterly, "Democrats who oppose the
resolution argue that the SEC staff bulletin provides the crypto
industry with guidance that companies have long been seeking. If the
resolution becomes law, 'the SEC staff would likely think long and
hard before ever offering guidance to public companies in the
future, even on completely unrelated accounting topics,' ranking
member Maxine Waters, D-Calif., said in a statement. 'This
resolution will cause serious harm to our markets.'" [Congressional
Quarterly, 5/7/24]
2024: Fitzpatrick Voted To Nullify A Securities And Exchange
Commission Rule Regarding The Treatment Of Crypto-Assets. In May 2024,
Fitzpatrick voted for , according to Congressional Quarterly, "the joint
resolution that would nullify the Securities and Exchange Commission
Staff Accounting Bulletin No. 121 issued on April 11, 2022, relating to
the treatment of crypto-assets held by a bank, credit union, exchange
platform or other entity that serves as a custodian for a customer's
assets." The vote was on passage. The House passed the joint resolution
by a vote of 228 to 182. [House Vote 189, 5/8/24; Congressional
Quarterly, 5/7/24;
Congressional Actions, H.J.Res.
109]
Republicans Opposed The Guidance As It Could Require Financial
Institutions To Record Crypto-Assets As Liabilities Which Would Lock
Out Consumers From The Market. According to Congressional
Quarterly, "The action is the latest move by Republicans to rescind
the guidance, found in the SEC's Staff Accounting Bulletin 121, on
the argument that it may require financial institutions to record
such assets as liabilities. That treatment, they say, would create
an incentive to avoid such 'custody' arrangements with their
clients, effectively locking out consumers of the most regulated
institutions from the market. 'If a bank were to custody digital
assets according to the parameters of [Staff Accounting Bulletin]
121, the on-balance-sheet treatment would affect their other
regulatory obligations like their capital and liquidity
requirements. The end result is that banks must choose to either
custody digital assets --- thus inflating their balance sheet and
severely affecting every other line of business --- or stay entirely
out of the market,' Rep. Mike Flood, R-Neb., said when the House
Financial Services advanced the measure (H J Res 109) in February."
[Congressional Quarterly,
5/7/24]
Democrats That Opposed The Resolution Said It Would Impede The
SEC's Future Attempts To Provide Guidance To Public Companies.
According to Congressional Quarterly, "Democrats who oppose the
resolution argue that the SEC staff bulletin provides the crypto
industry with guidance that companies have long been seeking. If the
resolution becomes law, 'the SEC staff would likely think long and
hard before ever offering guidance to public companies in the
future, even on completely unrelated accounting topics,' ranking
member Maxine Waters, D-Calif., said in a statement. 'This
resolution will cause serious harm to our markets.'" [Congressional
Quarterly, 5/7/24]