[Congressional Bills 103th Congress] [From the U.S. Government Publishing Office] [H.R. 2464 Introduced in House (IH)] 103d CONGRESS 1st Session H. R. 2464 To repeal the exemption from disclosure requirements for municipal securities and to promote full and adequate disclosure of political contributions related to the underwriting of municipal securities by banks and securities firms. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES June 18, 1993 Mr. Leach (for himself and Mr. Gonzalez) introduced the following bill; which was referred jointly to the Committees on Energy and Commerce and Banking, Finance and Urban Affairs _______________________________________________________________________ A BILL To repeal the exemption from disclosure requirements for municipal securities and to promote full and adequate disclosure of political contributions related to the underwriting of municipal securities by banks and securities firms. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act shall be cited as the ``Municipal Securities Reform Act of 1993''. SEC 2. GENERAL DISCLOSURE REQUIREMENTS FOR MUNICIPAL SECURITIES. Subsection 15B(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78o4(d)) is amended to read as follows: ``(d)(1) In General.--Notwithstanding any other provision of this Act and in addition to any other disclosure requirements, the Commission shall, by rule or regulation, require any person acting as underwriter, bond counsel, broker or dealer for a new issuance of municipal securities, or any affiliate of such person to file with the Commission, prior to the sale of such securities, a disclosure of political contributions as described in paragraph (2). ``(2) Disclosure of Political Contributions.--For the purposes of compliance with paragraph (1), the disclosure of political contributions by a person subject to such paragraph shall include the itemization of any political contributions, expenditures, payments or the provision of other items or services of value that, either directly or indirectly, are extended by such person, to or for the benefit of the issuer, any elected official of the issuer, any employee of the issuer, any affiliate of such persons, or the political party of any elected official of the issuer. ``(3) Exception.--This subsection shall not apply to any underwriter, broker or dealer of municipal securities subject to section 44 of the Federal Deposit Insurance Act.''. SEC 3. DISCLOSURE OF POLITICAL CONTRIBUTIONS RELATED TO BANK MUNICIPAL SECURITIES ACTIVITIES. (a) The Federal Deposit Insurance Act (12 U.S.C. 1811 et seq. is amended by adding at the end the following new section: ``SEC 44. POLITICAL CONTRIBUTIONS RELATED TO MUNICIPAL SECURITIES ACTIVITIES. ``(a)(1) In General.--Notwithstanding any other provision of law and in addition to any other disclosure requirements, the appropriate Federal banking agencies shall, by rule or regulation, require any insured depository institution or affiliate acting as underwriter, broker or dealer for a new issuance of municipal securities, or any affiliate of such person, to file with the appropriate Federal banking agency, prior to the sale of the securities, a disclosure of political contributions as described in paragraph (2). ``(2) Disclosure of Political Contributions.--For the purposes of compliance with paragraph (1), the disclosure of political contributions by a person subject to such paragraph shall include the itemization of any political contributions, expenditures, payments or the provision of other items or services of value that, either directly or indirectly, are extended by such persons, to or for the benefit of the issuer, any elected official of the issuer, any employee of the issuer, any affiliate of such persons, or the political party of any elected official of the issuer. ``(b) Regulations.--In carrying out their responsibilities under this section, the appropriate Federal banking agencies shall issue substantially similar regulations to regulations and rules issued by the Securities Exchange Commission, unless such agencies find that implementation of substantially similar regulations with respect to insured depository institutions are not necessary or appropriate in the public interest or for the protection of investors, and publish such findings, and the detailed reasons therefor, in the Federal Register.''. SEC 5. EFFECTIVE DATE. The amendments made by this Act and any rules or regulations required thereunder, shall become effective not later than one hundred and eighty days after the date of enactment. <all>