by Ben Nuelle
This is the first time in over 10 years the Senate Agriculture Committee has held a markup for Commodity Futures Trading Commission reauthorization. Votes on a bill to reauthorize the CFTC were along party lines.
The Senate Agriculture Committee voted 11 to 9 to reauthorize the Commodity Futures Trading Commission. The bill would reauthorize the Commission for five years. CFTC polices the derivatives markets for various abuses and works to ensure the protection of customer funds.
Further, the agency seeks to lower the risk of the futures and swaps markets to the economy and the public.
Last May, The Senate Agriculture Committee held a hearing on regulatory issues impacting end-users and market liquidity.
The hearing featured testimony from CFTC Chairman Timothy Massad, as well as a variety of end-users from across the country.
They gave accounts of how their businesses are facing barriers as they attempt to enter the markets.
According to the Hagstrom report, Roberts says the bill would provide relief from regulation to the end users of the financial instruments regulated by the CFTC.
But Senate Agriculture Committee ranking member Debbie Stabenow, D-Mich., says the CFTC does not have the resources it needs to do its job. Stabenow introduced an amendment for a user fee program to provide the agency more money.
Stabenow’s amendment was defeated by a vote of 9 to 10, along party lines. The vote was held in the President’s Room off the Senate floor.