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Sens. Moran, Manchin and Capito Introduce Bipartisan Legislation to Reform Examination Process for Financial Institutions

Legislation would provide opportunity for independent review of examination process, promote greater uniformity among regulators involved

Mar 18 2015

WASHINGTON – U.S. Senators Jerry Moran (R-Kan.), Joe Manchin (D-W.Va.) and Shelley Moore Capito (R-W.Va.) today introduced The Financial Institutions Examination Fairness and Reform Act (S. 774). The bipartisan legislation would reform the examination process for financial institutions by requiring regulatory agencies to issue examination determinations promptly, as well as give banks and other supervised financial institutions the right to have those determinations reviewed.

“I am proud to introduce the bipartisan Financial Institutions Examination Fairness Reform Act to provide much-needed changes to the financial institution examination process,” Sen. Moran said. “The legislation allows for independent review and promotes greater uniformity among the various regulators. By improving the examination process, banks and credit unions can better serve their local customers and contribute to economic growth in their communities.” 

“An effective and fair examination process of financial institutions is vital to the health of our banking system and is beneficial to the consumers it serves,” Sen. Manchin said. “This commonsense legislation would make sure that any bank or financial institution that undergoes a supervisory exam is allowed to have an impartial third party also review the exam findings before agencies can take action against that company. This independent review would not only strengthen transparency and openness during the review process, but it would also promote greater uniformity among the various regulatory agencies and impose much-needed accountability on those agencies.” 

“By creating a reasonable process for financial institutions to appeal examination reports, our community banks and credit unions will have the clarity they need to provide small businesses with loans, spur investment and create jobs.  Our economy needs certainty and confidence, and this bipartisan legislation puts us on the right track to achieve those goals,” said Sen. Capito.

Specifically, S. 774 would: 

  • Impose reasonable limits on examiners to provide their conclusions to the institutions they examine and to make available upon request the information relied upon for those determinations;
  • Establish an independent examination review director. This individual would be retained by the Federal Financial Examinations Institution Council and would be authorized to address examination complaints and review examination procedures; and
  • Provide financial institutions with the right to seek review of supervisory determinations with the Independent Examination Review Director. The legislation authorizes the director to review the examination record and – at the institution’s request – direct an evidentiary hearing to enable the director to decide whether the agency’s examination determination shall be upheld.

The Financial Institutions Examination Fairness and Reform Act also incorporates important safeguards to ensure that financial institutions will not abuse the review process to delay or evade appropriate supervisory action. An institution can seek review of an agency determination only if the determination is significant – such as a rating downgrade, imposition of a “matter requiring attention,” or suspension of the institution’s ability to open new bank branches or engage in other significant transactions. The review process also incorporates strict time limits.  Finally, S. 774 will not prevent a regulatory agency from imposing supervisory restrictions on an institution or pursuing administrative enforcement of agency rules and regulations. 

The bill is also cosponsored by U.S. Senators Rob Portman (R-Ohio), Kelly Ayotte (R-N.H.) and Steve Daines (R-Mont.). The bill is supported by the American Bankers Association (ABA), Credit Union National Association (CUNA), National Association of Federal Credit Unions (NAFCU), and the Independent Community Bankers of America (ICBA).

Click here to read the full bill text.

 

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WASHINGTON – Today, U.S. Senator Jerry Moran (R-Kan.), Chairman of the Senate Appropriations Subcommittee on Agriculture, announced that the U.S. Department of Agriculture (USDA) will extend the initial 45-day comment period for stakeholders to comment on the “Scientific Report of the 2015 Dietary Guidelines Advisory Committee” by an additional 30 days. Last week, Sen. Moran joined 29 of his Senate colleagues in calling on USDA Secretary Tom Vilsack and U.S. Department of Health and Human Services (HHS) Secretary Sylvia Burwell to issue an extension. Additionally, the senators requested that USDA and HHS stay within statutory guidelines, consider the most relevant nutrition scientific literature, and reject the committee’s inconsistent conclusions and recommendations regarding the role of lean red meat in a healthy diet.

“I am pleased USDA heeded our call for an extension of the comment period to make certain stakeholders have enough time to review and comment on the lengthy report,” Sen. Moran said. “There are real questions about whether the new set of Dietary Guidelines will be based on sound nutritional science, including the extensive, peer-reviewed literature that shows lean red meat is a part of a healthy diet. USDA and HHS should also reject portions of the advisory report that delve into issues well beyond the purview or expertise of the Dietary Guidelines Advisory Committee, such as the issue of environmental sustainability.”

The Dietary Guidelines for Americans, which form the basis of federal nutrition policy, are reviewed every five years. A recent advisory committee report recommending what foods should be included in the new guidelines leaves lean red meat out of what it considers to be a healthy diet. This greatly concerns dietitians who support consumption of lean red meat and is alarming to livestock producers.

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WASHINGTON – U.S. Senator Jerry Moran (R-Kan.) this week emphasized to American Center for Law and Justice (ACLJ) Chief Counsel Jay Sekulow and Ambassdor-at-Large for the International Religious Freedom Rabbi David Nathan Saperstein the importance of protecting religious freedom abroad during a Senate Appropriations Foreign Operations Subcommittee Hearing. Sen. Moran asked about the history of religious persecution and for an update on American Pastor Saeed Abedini who has been imprisoned in Iran since 2012.

WASHINGTON – Today, U.S. Senator Jerry Moran (R-Kan.) and 29 of his Senate colleagues called on U.S. Department of Agriculture (USDA) Secretary Tom Vilsack and U.S. Department of Health and Human Services (HHS) Secretary Sylvia Burwell to stay within statutory guidelines, consider the most relevant nutrition scientific literature, and reject the committee’s inconsistent conclusions and recommendations regarding the role of lean red meat in a healthy diet.

In a letter led by U.S. Senator John Thune (R-S.D.), they request an extension of the 45-day comment period to ensure stakeholders have enough time to review and comment on the lengthy report. Every five years, USDA and HHS review the dietary guidelines for American food consumption. A recent advisory committee report recommends to the agencies what foods should be included in the new dietary guidelines. The nearly 600-page report leaves lean red meat out of what it considers to be a healthy diet, which greatly concerns dietitians who support consumption of lean red meat and is alarming to the livestock, pork and poultry industries.

The senators write, “We are concerned about this committee’s suggestion to decrease consumption of red and processed meats … this statement ignores the peer-reviewed and published scientific evidence that shows the role of lean red meats as part of a healthy diet … we have strong concerns with the Dietary Guidelines Advisory Committee going beyond its purview of nutrition and health research to include topics such as sustainability … We encourage you to carefully consider the most relevant nutrition scientific literature and reject the Dietary Guidelines Advisory Committee’s inconsistent conclusions regarding the role of meat in Americans’ diets as you finalize the Dietary Guidelines.”

The full text of the senators’ letter is available here:

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March 12, 2015 

The Honorable Sylvia Mathews Burwell

Secretary

U.S. Department of Health and Human Services

200 Independence Avenue, SW

Washington, D.C. 20201 

The Honorable Thomas J. Vilsack

Secretary

U.S. Department of Agriculture

1400 Independence Ave, SW

Washington, DC 20250

Dear Secretaries Burwell and Vilsack,

We are concerned with the scientific integrity of the Dietary Guidelines Advisory Committee’s recommendation to remove “lean meat” from the statement of a healthy dietary pattern, and we seek an extension of the 45-day comment period for stakeholders to comment on the “Scientific Report of the 2015 Dietary Guidelines Advisory Committee.”

We are concerned about this committee’s suggestion to decrease consumption of red and processed meats.  The report suggests that dietary patterns with positive health benefits are described as high in vegetables, fruit, whole grains, seafood, legumes, and nuts and moderate in low- and non-fat dairy products.  Dietary patterns with positive health benefits are also described as lower in red and processed meat.

Unfortunately, this statement ignores the peer-reviewed and published scientific evidence that shows the role of lean red meats as part of a healthy diet.  Furthermore, the statement is misleading as it suggests current American diets include too much meat.  Government data shows the protein food category is the only food group being consumed within the 2010 daily recommended values.  It is misleading for the report to suggest eating less meat when lean meat is not being overconsumed based on the 2010 Dietary Guidelines recommendations.

Additionally, we have strong concerns with the Dietary Guidelines Advisory Committee going beyond its purview of nutrition and health research to include topics such as sustainability.  The 14-member advisory committee does not have the background or expertise required to make these suggestions in this report.  We strongly encourage you to stay within the statutory authority of your respective departments when finalizing the 2015 Dietary Guidelines. 

Not only do we represent farmers and ranchers who raise animals to provide healthy meat products, but we also represent consumers who enjoy lean meat as an important food in their diet.  The inconsistencies brought forward in the Dietary Guidelines Advisory Committee’s report are significant.  We encourage you to carefully consider the most relevant nutrition scientific literature and reject the Dietary Guidelines Advisory Committee’s inconsistent conclusions regarding the role of meat in Americans’ diets as you finalize the Dietary Guidelines. 

We request that you grant an extension of the comment period beyond the allotted 45 days, which expires on April 8, 2015.  It is important to allow enough time for interested stakeholders to carefully review the 571-page report.

Sincerely,

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Mr. President, in my home state of Kansas, we enjoy a special way of life. I have talked about it many times on the Senate floor. That special way of life includes a rich tradition of hunting, target shooting, and other law-abiding activities covered by our Second Amendment rights. Our state welcomes nearly 300,000 hunters each year, and in turn those individuals create jobs and economic opportunity for many Kansans.

I was disturbed to learn of a recent proposal by the Bureau of Alcohol, Tobacco, Firearms and Explosives. On Friday, February 13, the ATF proposed--without any instruction from Congress, on its own volition--a framework to determine whether M855 ammunition, which is popular for hunting and target shooting, is primarily intended to be used for sporting or if it is more likely to be used in handguns by criminals. ATF indicated it wants to ban the ammunition, which has been used by law-abiding citizens, including Kansans, for decades because it is “armor piercing” and, therefore, poses a risk to the safety of law enforcement officials.

The fact is that almost all rifle ammunition is armor-piercing. The Law Enforcement Protection Act of 1986, which ATF cites as a statutory authority to ban this ammunition, specifically exempts armor-piercing ammunition “which the Attorney General finds is primarily intended to be used for sporting purposes.” Congress's intent for providing this exemption was clear: Law-abiding citizens should not be deprived of their right to use this ammo for legitimate purposes, such as target shooting, hunting, and shooting competitions. In fact, Kansans, who expressed their concern to me about this issue in recent weeks, have consistently indicated that the proposed ban would directly interfere with their sporting uses and, more broadly, their Second Amendment rights.

Most troubling about the ATF proposal was how it intended to judge “likely use” of this ammunition. ATF planned to judge that M855 ammunition is more likely to be used in a handgun for criminal purposes rather than for sporting purposes simply based upon the bullet's weight and type of firearm in which it could be loaded. What was missing was any interest by ATF in the law-abiding ammunition consumers across the county. How might they use the ammunition? How could ATF determine primary intended use without conducting a study on how that ammunition actually would be used by the public?

The ATF framework failed to make any objective conclusions and would have served as nothing more than a tool for increased gun restrictions--and I would say increased gun restrictions that weren't passed by Congress.

Last week, the Senate Judiciary Committee chairman, Senator Grassley, circulated a letter among my colleagues and to me directed at ATF Director B. Todd Jones outlining these and many other concerns related to the proposed framework to ban this ammunition. I join Senator Grassley in signing this letter, and I am thankful it appears that our message was received because on Tuesday of this week the ATF announced that it will “formally delay” the implementation of the proposed ammunition ban. I thank the thousands--in fact, tens of thousands of Americans who voiced their concerns both to Congress and to ATF. ATF received an incredible 80,000 public comments on the proposed framework.

Congress has never banned this ammunition and has never intended to ban it. In the future, the ATF should not propose to ban any widely used form of ammunition favored by law-abiding civilians for lawful purposes.

Again, I am thankful that the proposed framework has now been rescinded, and I will continue my efforts in the Senate to support the Second Amendment freedoms of all Americans.

Sen. Moran Sponsors Bill to Spur Investment in Short Line Railroads, Boost Rural Economic Development

"It is vital that we extend this tax credit so that rail operators will be able to increase their capacity and small businesses and ag producers across the country can continue to get their commodities and goods to market in a cost-effective and efficient way."

Mar 11 2015

WASHINGTON – U.S. Senator Jerry Moran (R-Kan.), a member of the U.S. Senate Committee on Commerce, Science and Transportation, is a sponsor of the Short Line Railroad Rehabilitation and Investment Act of 2015 – legislation introduced this week to extend the short line railroad track maintenance tax credit which expired in 2014. The tax credit was established by legislation introduced by then-Congressman Jerry Moran in 2004 to encourage railroads, railroad customers and suppliers – who depend the most on short line railroads – to invest directly in maintaining the more than 2,000 miles of short line rails in Kansas. Kansas has also become one of the leading rail and distribution centers in our country.

“The short line railroad network is a significant component of our transportation system and plays an integral role in connecting farmers and factories with communities around the globe,” Sen. Moran said. “I was proud to introduce the legislation that created this tax credit in 2004 to help support large areas of the country, including rural communities like those across Kansas, where short lines are the only connection to the national railroad network.”

“Over the past five years, the short line railroad tax credit has generated $1.5 billion in railroad infrastructure investment, as well as created and preserved thousands of jobs,” Sen. Moran continued. “It is vital that we extend this tax credit so that rail operators will be able to increase their capacity and small businesses and ag producers across the country can continue to get their commodities and goods to market in a cost-effective and efficient way.

The short line railroad track maintenance credit provides short line and regional railroads a 50 percent tax credit for railroad track maintenance expenses, up to $3,500 per mile of track owned or leased by the railroad. This credit has been crucial to rehabilitating short line and regional railroads around the country. These short line railroads serve as a lifeline to many Kansas agricultural producers and manufacturers, making certain their products can get to market in an efficient and cost-effective manner. This important provision expired at the end of 2014. 

“The team members on the South Kansas and Oklahoma Railroad, Kansas and Oklahoma Railroad, Kaw River Railroad, and our Pittsburg headquarters staff come to work every day to focus on the needs of Kansas farmers, cement plants, and coal, chemicals, steel and plastics shippers,” said Ed McKechnie, Watco Companies Chief Commercial Officer and American Short Line and Regional Railroad Association (ASLRRA) Chairman. “Sen. Moran has worked tirelessly for more than a decade to build a huge bipartisan coalition – first in the House and now in the Senate – in support of rural transportation. We appreciate his leadership and we will continue to put our customers first and invest in Kansas infrastructure with the support of this important bill.”

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Sen. Moran Advocates for Fort Riley with Secretary of the Army

Sec. McHugh: "I can’t speak for the Pentagon, but Fort Riley is certainly well known and deeply appreciated in the Army...And it is, as it has been, one of our most important facilities."

Mar 11 2015

WASHINGTON – Today, U.S. Senator Jerry Moran (R-Kan.) questioned Secretary of the Army John McHugh and Army Chief of Staff General Raymond Odierno during a Senate Appropriations Defense Subcommittee Hearing on the Army’s fiscal year 2016 budget request. 

WASHINGTON – U.S. Senator Jerry Moran (R-Kan.) was one of more than 600 attendees at the Kansas City Kansas Chamber of Commerce Annual Meeting on Friday, March 6. During the meeting, he visited with numerous Wyandotte County business, religious and civic leaders.

“It was great to catch up and meet a number of Kansas City, Kansas, business leaders,” Sen. Moran said. “I was also pleased to learn about the ‘Made in Dotte’ campaign to highlight businesses and workforce development in Wyandotte County. The campaign is a great way to promote businesses who already call KCK home, while also educating business owners and entrepreneurs on something we’ve known for a long time – Kansas is a great place to start a business.”

The Kansas City Kansas Chamber exists to enhance and create opportunities in Wyandotte County to build a quality community to live, work and conduct business.

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WASHINGTON – U.S. Senator Jerry Moran’s (R-Kan.) bipartisan legislation to make sure disabled veterans who work for the federal government can get the medical care they need unanimously passed out of the Homeland Security and Governmental Affairs Committee. Sen. Moran’s Wounded Warriors Federal Leave Act (S. 242), which he introduced along with Sen. Jon Tester (D-Mont.) in January, would provide first-year federal workers who have service-related disabilities with sick leave to use specifically for medical visits. Service-disabled veterans would no longer have to make the hard decision between receiving care and taking unpaid leave after they start their new job. 

"Service-disabled veterans who have served our nation with duty and honor deserve peace of mind when transitioning into the federal workforce and civilian life," Sen. Moran, a member of the Senate Veterans’ Affairs Committee said. "The Wounded Warriors Federal Leave Act will help make sure certain veterans can pursue a career in the federal government and support their families while also addressing their medical treatment needs. I am pleased that it will now move to the full Senate for consideration."

Currently, first-year government workers accrue four hours of sick leave each pay period, forcing many veterans with disabilities to take unpaid leave because they have not built up the necessary leave time.

The bill supports first-year federal employees with a service-connected disability rating of 30 percent or more.

Sen. Moran’s bill is supported by The American Legion, the American Federation of Government Employees, the Veterans of Foreign Wars, and the National Treasury Employees Union, among others.

The Wounded Warriors Federal Leave Act is available online HERE. Similar legislation has been introduced in the House of Representatives.