The House Financial Services Committee postponed until May 24 a markup of H.R. 1573 that would extend deadlines for regulators to implement final derivatives rules under Dodd-Frank. The bill text is on the NCC’s website at www.cotton.org/issues/2011/hr1573.cfm.
Under Dodd-Frank, the Commodity Futures Trading Commission (CFTC), Securities and Exchange Commission (SEC) and others have until July 15 to finalize rules under the law. H.R. 1573 would give the CFTC and the SEC an additional 18 months to finalize most of the rules. The bill would require that rules defining swaps-related products and participants and those related to reporting/recordkeeping still be finalized by July 15. However, deadlines for finalizing all other rules in Title VII of Dodd-Frank would be extended to Dec. 31, 2012.
The bill has been approved by the House Agriculture Committee. It is co-sponsored by Agriculture Committee Chairman Lucas, R-Okla., and Financial Services Committee Chairman Bachus. R-Ala., Reps. Bachus and Lucas have said it is necessary to extend the deadlines because the CFTC has rushed the rulemaking process and proposed rules in an illogical sequence, not properly researched the possible economic impact of the proposals, and not given industry enough time to comment.