A conference panel on financial services legislation will deal with two big insurance issues next week: the powers of a proposed federal insurance office and the standard of care agents would have to use in selling investment products.
At the same time, officials of the House Ways and Means Committee confirmed that imposition of a bank tax would not be used to help fill a $20 billion budget gap over 10 years that the Congressional Budget Office says the new bill would create.
The committee is now working on legislation that would file the budget gap the CBO said would be created by the legislation.
The CBO projected that the bill would increase budget deficits by $12.9 billion over the next 5 years, and $19.7 billion over the next 10 years.
A provision implementing the proposed bank tax, which would be levied over financial services firms with assets over $50 billion, “is not currently under consideration [in any tax measure raising funds] to pay for the financial services regulatory reform bill.” a spokesman for the Ways and Means Committee said.
The conference panel held its organizational meeting Thursday and later released a document saying in a statement that it would deal with Title V, which would create an Office of National Insurance, on Tuesday.
A later, more complete schedule made available to lobbyists said Title 9, which deals with the standard of care agents would be required to use in selling investment products, among other issues, will be taken up Thursday.
The conferees plan to hold 3 sessions next week and 3 more the next week, and they plan to work Saturday, June 26, to ensure that a final bill is on the desk of President Obama by Independence Day.
The bill is H. R. 4173.
The base text that conferees will be using as they reconcile the two bills would be the Senate version, which would create an Office of National Insurance and would give the Treasury Department strong authority to preempt state law in negotiating bilateral trade agreements with foreign countries.