On September 13, 2016 the Financial CHOICE Act was approved by the House Financial Services Committee by a vote of 30-26. The bill would overhaul regulation of the financial markets and is an important development for derivatives market participants, including energy companies. For example, the bill would alter the functioning of the Commodity Futures Trading Commission (“CFTC”), by:
- Requiring development of procedures governing no-action and other exemptive relief, including a requirement that the commissioners have the opportunity to review any responses to a request for relief.
- Require notice-and-comment before issuance of policy statements, guidance, interpretive rules, or other procedural rules.
- Allowing for judicial review of CFTC rules, along the lines of that allowed for Securities and Exchange Commission (“SEC”) rules.