The New Democrat Coalition, a group of 69 moderate and pro-growth Democratic members of the House of Representatives, is circulating a letter that expresses strong support for the legislation passed by the House back in December. The letter notes that the House language “provided clear protections for end users who pose no risk to the stability of the financial system.” In addition, the letter expresses opposition to certain provisions from the Senate bill that made it into the base text currently the subject of negotiations between the House and Senate, including Section 716, the so-called “swap desk spin off” provision. Companies that wish to show support for the letter should contact the members of the New Democrat Coalition. The list of members can be found here and their contact information can be found here.
Yesterday, New York City Mayor Michael Bloomberg sent a letter to U.S. Representative Carolyn Maloney expressing concern over Section 716 and other provisions in the financial regulatory reform bill. In the letter, Mayor Bloomberg warned that “Congress should avoid punitive actions” noting noting that the financial services industry accounts for “some 500,000 employees in New York City alone, with the median worker earning $75,000 a year”, and that “the taxes [the financial services industry] generates help pay for police officers, firefighters, and teachers.”