Senate Resolution 1 - Introduced

PAG LIN




                    SENATE RESOLUTION NO.    
                            BY  PETERSEN
  1  1 A Resolution urging the United States Congress and the
  1  2    President of the United States to enact legislation
  1  3    that would reinstate the separation of commercial
  1  4    and investment banking functions previously in
  1  5    effect under the federal Glass=Steagall Act.
  1  6    WHEREAS, an effective money and banking system is
  1  7 essential to the functioning of the United States
  1  8 economy; and
  1  9    WHEREAS, such a system must function in the public
  1 10 interest without any bias; and
  1 11    WHEREAS, since 1933, the federal Banking Act, also
  1 12 referred to as the Glass=Steagall Act, protected the
  1 13 public interest in matters dealing with the regulation
  1 14 of commercial and investment banking, in addition to
  1 15 insurance companies and securities; and
  1 16    WHEREAS, the Glass=Steagall Act was repealed
  1 17 in 1999, partially contributing to the greatest
  1 18 speculative bubble and worldwide recession since the
  1 19 Great Depression of 1933; and
  1 20    WHEREAS, the worldwide recession has left millions
  1 21 of homes in foreclosure and caused the loss of millions
  1 22 of jobs in the United States; and
  1 23    WHEREAS, the worldwide recession has put severe
  1 24 financial strain on states, counties, and cities,
  1 25 exacerbating unemployment and the loss of public
  1 26 services; and
  1 27    WHEREAS, the United States Congress has been making
  1 28 efforts with bipartisan support to reinstate the
  2  1 protections of the Glass=Steagall Act; and
  2  2    WHEREAS, Congresswoman Marcy Kaptur introduced H.R.
  2  3 381, known as the Return to Prudent Banking Act of
  2  4 2015, and Senator Elizabeth Warren introduced S. 1709,
  2  5 known as the 21st Century Glass=Steagall Act of 2015,
  2  6 that would reinstate the separation between commercial
  2  7 banking and the securities business in the manner
  2  8 provided in the Glass=Steagall Act; and
  2  9    WHEREAS, resolutions demanding action to reinstate
  2 10 the protections of the Glass=Steagall Act have been
  2 11 introduced in many states since 2013; and
  2 12    WHEREAS, reinstatement of the protections of the
  2 13 Glass=Steagall Act has support from national labor
  2 14 organizations, economic and business leaders, and
  2 15 newspaper publications; NOW THEREFORE,
  2 16    BE IT RESOLVED BY THE SENATE, That the Iowa Senate
  2 17 urges the United States Congress and the President
  2 18 of the United States to enact legislation that would
  2 19 reinstate the separation of commercial and investment
  2 20 banking functions in effect under the Glass=Steagall
  2 21 Act and that would prohibit commercial banks and
  2 22 bank holding companies from investing in stocks,
  2 23 underwriting securities, or investing in or acting
  2 24 as guarantors to derivative transactions, in order
  2 25 to prevent American taxpayers from being called upon
  2 26 to fund hundreds of billions of dollars to bail out
  2 27 financial institutions; and
  2 28    BE IT FURTHER RESOLVED, That the Secretary of
  2 29 the Senate shall transmit certified copies of this
  2 30 Senate Resolution to the President of the United
  3  1 States, the President of the United States Senate, the
  3  2 Speaker of the United States House of Representatives,
  3  3 United States Senator Elizabeth Warren, United States
  3  4 Representative Marcy Kaptur, and to the members of the
  3  5 Iowa congressional delegation.
       LSB 1659XS (2) 87
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