U.S. Chamber Disappointed with Senate Financial Regulatory Reform Draft Legislation

Calls for Bipartisan Approach that Protects Consumers and Promotes Job Growth

WASHINGTON, D.C.—The U.S. Chamber of Commerce today expressed disappointment with the latest financial regulatory reform draft by Sen. Christopher Dodd (D-CT) and said that effective reform of U.S. financial markets must be bipartisan.

"This bill takes three steps backwards with the hope of making future progress," said David Hirschmann, president and CEO of the U.S. Chamber's Center for Capital Markets Competitiveness (CCMC). "It's time for Congress to put politics aside and come together on a bipartisan basis to restore confidence and certainty to the markets, reform our broken regulatory structure, and help us get back on track toward a strong economy. This bill fails to achieve these objectives to the detriment of our long term recovery."

Among the major concerns, the Chamber will continue to oppose a new independent consumer financial regulator that will reduce access to credit for businesses and consumers, the federalization of corporate governance, and a permanent bailout fund. The Chamber will also work to support greater transparency for over the counter derivatives without jeopardizing the ability of business end users to effectively manage their risks.

"It's important to get this done—but it's even more important to get it right," said Hirschmann. "It's been 75 years since the last major overhaul of our financial regulatory structure. If we get it right, these reforms will shape our markets and the economy for future generations."

According to an independent poll of 800 U.S. registered voters by Lombardo Consulting Group from March 10, 2010, more than six in ten voters (64%) agree that it is "very important" for Congress to pass economic legislation with bipartisan support.

"We look forward to working with Chairman Dodd, Ranking Member Shelby and the entire Senate Banking Committee as this process moves forward," said Hirschmann.

Since its inception three years ago, the Center for Capital Markets Competitiveness has led a bipartisan effort to modernize and strengthen the outmoded regulatory systems that have governed our capital markets. The CCMC is committed to working aggressively with the administration, Congress, and global leaders to implement reforms to strengthen the economy, restore investor confidence, and ensure well-functioning capital markets.

The U.S. Chamber of Commerce is the world's largest business federation representing the interests of more than 3 million businesses of all sizes, sectors, and regions, as well as state and local chambers and industry associations.

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