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News

Regulatory Roundup: September 10-16

By:
Karen Sibayan
Published Date:
Sep 16, 2024

AICPA 

AICPA and NASBA Seek Input on Proposed Additional Pathway to CPA Licensure     
Sep 12, 2024                                                               

CBO 

Cost Estimate                     
H.R. 7440, Financial Services Innovation Act of 2024          
September 13, 2024     
As ordered reported by the House Committee on Financial Services on April 17, 2024     

Cost Estimate                                                         
H.R. 8566, Mobilizing and Enhancing Georgia’s Options for Building Accountability, Resilience, and Independence Act  September 13, 2024             
As ordered reported by the House Committee on Foreign Affairs on July 11, 2024               

Cost Estimate                                                                                                                    
Legislation considered under suspension of the Rules of the House of Representatives during the week of September 16, 2024                                                                                                                                                                                                    September 13, 2024                                                           
The Majority Leader of the House of Representatives announces bills that will be considered under suspension of the rules in that chamber. CBO estimates the effects of those bills on direct spending and revenues.       

Report                                                                                                              
Public-Private Risk Sharing in Federal Credit Programs       
September 13, 2024                                                              
CBO examines ways in which the federal government and private entities share the risk involved in various federal credit programs, including those related to home mortgages, small businesses, and project financing.           

Cost Estimate                            
S. 1624, Gabriella Miller Kids First Research Act 2.0          
September 13, 2024                
As reported by the Senate Committee on Health, Education, Labor, and Pensions on October 4, 2023                     

Cost Estimate                                                                
S. 4716, Financial Management Risk Reduction Act           
September 13, 2024             
As ordered reported by the Senate Committee on Homeland Security and Governmental Affairs on July 31, 2024                                                                                                                                                                  
Cost Estimate                         
S. 690, NET Act          
September 13, 2024                                 
As ordered reported by the Senate Committee on Commerce, Science, and Transportation on July 31, 2024           

Cost Estimate                                                                  
H.R. 5646, Stop Campus Hazing Act             
September 12, 2024               
As ordered reported by the House Committee on Education and the Workforce on September 11, 2024          
                    
Cost Estimate                                         
H.R. 6131, Commercial Space Act of 2023                                          
September 12, 2024           
As ordered reported by the House Committee on Science, Space, and Technology on November 29, 2023                                                 
Cost Estimate                   
S. 1664, Healthy Families Act               
September 12, 2024          
As reported by the Senate Committee on Health, Education, Labor, and Pensions on July 18, 2023                   

Cost Estimate      
S. 4776, Older Americans Act Reauthorization Act of 2024         
September 12, 2024           
As ordered reported by the Senate Committee on Health, Education, Labor, and Pensions on July 31, 2024   

Report                                                                                                                                                            
Student Loan Repayment, 2009 to 2019                      
September 12, 2024                                                                                                                                               
CBO uses several measures of student loan repayment to describe borrowers’ outcomes from 2009 to 2019, before payments were suspended during the pandemic.       

Cost Estimate         
H.R. 4823, American FIRST Act of 2023     
September 11, 2024           
As reported by the House Committee on Financial Services on December 19, 2023       

Cost Estimate       
H.R. 7869, U.S. Customs and Border Protection Officer Retirement Technical Corrections Act of 2024     
September 11, 2024               
As ordered reported by the House Committee on Oversight and Accountability on April 10, 2024           

Cost Estimate                                                                                                
H.R. 8340, Housing Unhoused Disabled Veterans Act                                                                                               
September 11, 2024                                             
As ordered reported by the House Committee on Financial Services on May 16, 2024     
                              
Cost Estimate                                                                   
H.R. 8340, Housing Unhoused Disabled Veterans Act             
September 11, 2024                       
As ordered reported by the Senate Committee on Homeland Security and Governmental Affairs on July 24, 2024               

Cost Estimate                     
S. 1171, Ending Trading and Holdings In Congressional Stocks (ETHICS) Act          
September 11, 2024             
As reported by the Senate Committee on Commerce, Science, and Transportation on August 1, 2024     

Report                             
Testimony on How CBO Supports the Congress  
September 11, 2024     
CBO’s Director, Phillip Swagel, testifies before the House Committee on the Budget.

Report     
Testimony on Social Security’s Finances 
September 11, 2024           
Molly Dahl, CBO's Chief of Long-Term Analysis, testifies before the Senate Committee on the Budget.  

Report                         
The Distribution of Household Income in 2021       
September 11, 2024                
New policies implemented by the federal government affected transfers and taxes in 2021. The policies largely benefited lower- and middle-income households. But income inequality still increased, mainly because of realized capital gains.  

Presentation                                                                              
Trends in the Distribution of Household Income From 1979 to 2021                                        
September 11, 2024           
CBO regularly analyzes the distribution of income in the United States and how it has changed over time. This slide deck presents the distributions of household income, means-tested transfers, and federal taxes between 1979 and 2021.   

Cost Estimate           
H.R. 6862, Mineral Mining Parity Act             
September 10, 2024               
As ordered reported by the House Committee on Natural Resources on March 12, 2024        

Report            
Monthly Budget Review: August 2024           
September 10, 2024         
The federal budget deficit was $1.9 trillion in the first 11 months of fiscal year 2024, CBO estimates—$373 billion more than the deficit recorded during the same period last fiscal year.  

Cost Estimate                                                                                      
S. 1570, Bottles and Breastfeeding Equipment Screening Enhancement Act           
September 10, 2024                 
As reported by the Senate Committee on Commerce, Science, and Transportation on August 1, 2024       

Cost Estimate               
CBO's Estimate of Discretionary Spending Under the Continuing Appropriations and Other Matters Act, 2025   
September 9, 2024          
As Posted on the Website of the House Committee on Rules on September 6, 2024          

Cost Estimate                   
H.R. 82, Social Security Fairness Act of 2023              
September 9, 2024             
As introduced in the House of Representatives on January 9, 2023                                                                                                                 
GAO  

Military Construction:
Better Information Sharing Would Improve DOD's Oversight

GAO-24-106499
Published: Sep 16, 2024 . Publicly Released: Sep 16, 2024 .
The Department of Defense requested over $15 billion for its military construction program in FY 2025. Projects include child development centers, hangars, and more. Over the last 5 years, poor initial planning contributed to about 25% of the projects being delayed for at least a year. Our recommendations are to help DOD address this issue and others we found in our review. For example, if...

Domestic and Child Abuse:
DOD Needs to Clarify Guidance on Incident Determination Committee Notifications

GAO-24-106985
Published: Sep 16, 2024 . Publicly Released: Sep 16, 2024 .
Military committees review reported domestic or child abuse in military families to determine whether incidents meet DOD's criteria for abuse. These decisions are administrative and aren't intended to be used in legal or disciplinary proceedings, but some have been used in child custody or divorce cases. Committees must notify commanders, victims, and alleged abusers of their decisions in writing. The notifications should indicate the purpose...

Oak Ridge Mercury Cleanup:
Opportunities Exist to Enhance Risk Management and Technology Development

GAO-24-107096
Published: Sep 12, 2024 . Publicly Released: Sep 12, 2024 .
The Department of Energy said that about 700,000 pounds of mercury were released during nuclear weapons production at its site in Oak Ridge, TN. Mercury contamination is a health and environmental hazard. DOE estimates that mercury cleanup at this site could cost at least $3.2 billion and take until 2043. This Q&A covers how these estimates could grow due to DOE's risk management approach. For...

SUPPLEMENTAL MATERIAL FOR GAO-24-106843:
Strengthening Federal Government Coordination to Help Families with Disabilities Access Child Care

GAO-24-107735
Published: Sep 12, 2024 . Publicly Released: Sep 12, 2024 .
Millions of U.S. families include a child or parent with a disability. We reported that certain agencies have resources to help, but many parents are unaware of them. This is an "Easy Read" version of our report. Easy Read is a way some groups make their written information easier to understand. For example, Easy Read documents use short sentences and plain language. They also put...

International Infrastructure Projects:
China's Investments Significantly Outpace the U.S., and Experts Suggest Potential Improvements to the U.S. Approach

GAO-24-106866
Published: Sep 12, 2024 . Publicly Released: Sep 12, 2024 .
China's Belt and Road Initiative is the world's largest infrastructure finance program. It has funded roads, ports, and other projects around the world, and has expanded China's influence. We found: From 2013-2021, China provided $679 billion for infrastructure projects in transportation, energy, and three other sectors, while the U.S. provided $76 billion in the same sectors China's infrastructure projects had some benefits for host countries...

Child Care Accessibility:
Agencies Can Further Coordinate to Better Serve Families with Disabilities

GAO-24-106843
Published: Sep 12, 2024 . Publicly Released: Sep 12, 2024 .
We also published an " Easy Read" version of this report. Easy Read is a way of making written information easier to understand. We published the Easy Read version to make our report more accessible to certain people with intellectual and developmental disabilities. Millions of U.S. families include a child or parent with a disability. Many families struggle to find quality care for their children...
Released on Sep 11, 2024

Behavioral Health:
Information on Cost-Sharing in Medicare and Medicare Advantage

GAO-24-106794
Published: Sep 11, 2024 . Publicly Released: Sep 11, 2024 .
Behavioral health conditions were estimated to affect at least a quarter of the 66.7 million Medicare beneficiaries in 2023. There have been longstanding concerns about behavioral health services accessibility, even for those with health coverage. This report describes what behavioral health benefits are available under Medicare and Medicare Advantage programs, what beneficiaries pay out of pocket, and more. For example, in traditional Medicare in 2024...

Defense Budget:
Additional Information about Military Personnel Realignments Would Facilitate Congressional Oversight

GAO-24-106979
Published: Sep 11, 2024 . Publicly Released: Sep 11, 2024 .
The Department of Defense receives billions of dollars each year to pay for service members' wages, housing, and more. Congress sets the amount of this "Military Personnel" appropriation. But DOD can realign the funds—e.g., transfer them from one account to another. From FY 2013 through 2023, DOD realigned $32.9 billion, resulting in a decrease of $5.4 billion in funds for military personnel. DOD reports realignments...

Digital Surveillance of Workers:
Tools, Uses, and Stakeholder Perspectives

GAO-24-107639
Published: Aug 28, 2024 . Publicly Released: Sep 11, 2024 .
In 2023, the White House Office of Science and Technology Policy asked for public comments on employers' use of digital surveillance to monitor workers' activities. We reviewed the 217 comments from workers, unions, tech developers, and others. Commentors noted that cameras and monitoring software are frequently used to track productivity, performance, safety and health, and security. They offered differing views on how these tools affect...

Work Hours and Health:
Research Shows That Very Long Hours May Modestly Increase the Risk of Certain Health Outcomes

GAO-24-106772
Published: Sep 11, 2024 . Publicly Released: Sep 11, 2024 .
The nation's workers have a variety of work schedules—and some work long hours by choice or necessity. But there have been concerns about how long work hours affect workers' health. A 2022 law includes a provision for us to study trends in work hours. Among other things, we found that: Average U.S. work hours have stayed at around 38 to 39 hours per week since...

Federal Real Property:
Actions Needed to Better Assess Office Sharing Pilot's Broader Applicability

GAO-24-106919
Published: Sep 11, 2024 . Publicly Released: Sep 11, 2024 .
The federal government spends about $8 billion yearly to operate, maintain, and lease office space. The pandemic changed how often employees use this office space, as many employees now work away from the office. In response, GSA launched a federal coworking pilot where agencies share office space and services in six buildings across the country. GSA identified and included many agencies' coworking needs—such as private...

Critical Materials:
Action Needed to Implement Requirements That Reduce Supply Chain Risks
 
GAO-24-107176
Published: Sep 10, 2024 . Publicly Released: Sep 10, 2024 .
Critical materials are elements, metals, and more that aren't available in sufficient quantities from U.S. sources but are essential building blocks for weapon systems. DOD manages the National Defense Stockpile, which includes a reserve of these materials. A 2019 law prohibited sales from the stockpile to certain adversary nations—unless sales are in the national interest. In this Q&A, we reported that DOD hasn't fully implemented...

Environmental Sustainability:
DOD Should Take Actions to Reduce Single-Use Plastics

GAO-24-106823
Published: Sep 10, 2024 . Publicly Released: Sep 10, 2024 .
Plastic products account for up to 80% of waste that ends up in the environment. Federal agencies must reduce single-use plastic products—such as bags, cutlery, and product packaging—according to instructions from the White House for implementing an executive order. However, we found that DOD has not taken actions in response to the instructions. DOD officials said they were unsure about how to identify single-use plastics...

Emergency Relief Program 2022:
FSA Should Publicly Report Progress in Issuing Payments

GAO-24-107345
Published: Sep 10, 2024 . Publicly Released: Sep 10, 2024 .
Farmers and ranchers who experienced crop or other losses from natural disasters in 2022 could receive relief from the Department of Agriculture's Emergency Relief Program. USDA's Farm Service Agency manages the program. We sent this management letter to the Secretary of Agriculture to raise an issue we found in our ongoing audit. As of March 19, 2024, FSA issued payments for about a third of...

National Defense Stockpile:
Actions Needed to Improve DOD's Efforts to Prepare for Emergencies

GAO-24-106959
Published: Sep 10, 2024 . Publicly Released: Sep 10, 2024 .
World conflicts and other emergencies can disrupt supply chains for materials that the military and U.S. industries depend on—such as titanium, a strong, lightweight metal that helps prevent corrosion in weapon systems. To prepare for such emergencies, DOD maintains a stockpile of these kinds of materials. DOD has processes to manage this stockpile and identify which critical materials to include. But DOD doesn't have the...

Payment Integrity:
Significant Improvements Are Needed to Address Improper Payments and Fraud

GAO-24-107660
Published: Sep 10, 2024 . Publicly Released: Sep 10, 2024 .
To safeguard federal funds, it's critical to reduce fraud and improper payments—payments that should not have been made or were made in an incorrect amount. We estimated that the federal government could lose between $233 billion and $521 billion annually to fraud alone. We testified that agencies have made progress in implementing our recommendations to address fraud and improper payments but need to do more...

Navy Readiness:
Actions Needed to Improve Support for Sailor-Led Maintenance

GAO-24-106525
Published: Sep 9, 2024 . Publicly Released: Sep 9, 2024 .
Navy sailors maintain the ships that are needed to keep the U.S. safe and the seas open for world commerce. But the Navy faces a range of challenges that hinder sailors' ability to complete maintenance work: There aren't always enough sailors available—and the Navy doesn't track and report data that could help it better oversee personnel assignments Newer sailors might not be fully prepared for...

Nuclear Waste Cleanup:
Adopting Leading Practices Could Strengthen DOE's Engagement with Stakeholders and Governments

GAO-24-106014
Published: Sep 9, 2024 . Publicly Released: Sep 9, 2024 .
For decades, the Department of Energy's Office of Environmental Management has been cleaning up communities contaminated by nuclear weapons production and research. But these efforts have had a history of problems that undermined public trust. The Office has no national guidance for how cleanup sites should engage with stakeholders and governments. Engagement plans at some individual sites may be outdated. And leadership turnover at some...

IRS Workforce:
Actions Needed to Address Barriers to Diversity, Equity, Inclusion, and Accessibility

GAO-24-105785
Published: Sep 9, 2024 . Publicly Released: Sep 9, 2024 .
The IRS seeks an inclusive workforce that reflects the nation's diversity. With about 90,000 employees, IRS is more diverse than the national civilian labor force in representing women, employees from historically disadvantaged racial or ethnic groups, people with disabilities, and veterans. But diversity is largely concentrated in lower ranks and jobs without senior-level advancement potential. And these employees often face lower chances for promotions, lower...

Artificial Intelligence:
Agencies Are Implementing Management and Personnel Requirements

GAO-24-107332
Published: Sep 9, 2024 . Publicly Released: Sep 9, 2024 .
Artificial intelligence is rapidly changing the world and could improve government operations. For example, federal agencies are already using AI to analyze weather hazards. In October 2023, an Executive Order was issued to guide a coordinated approach to safely developing and using AI in government. It includes over 100 requirements with eight guiding principles like advancing equity and protecting privacy. We looked at 13 requirements...

IASB 

IASB to publish Exposure Draft Equity Method of Accounting—IAS 28 Investments in Associates and Joint Ventures (revised 202x)                                                                                                                                                                                      Forthcoming publication 
12 Sep 2024  

IRS 

Treasury, IRS issue proposed regulations on Tribal General Welfare Benefits                                                                              IR-2024-237, Sept. 13, 2024 — Today the Department of the Treasury and the Internal Revenue Service issued proposed regulations for Tribal General Welfare Benefits. Section 139E of the Internal Revenue Code was enacted by the Tribal General Welfare Exclusion Act of 2014 (Act) and excludes from gross income the value of any Tribal General Welfare Benefit.                                                                                                                                                                                                     
IRS provides relief to Francine victims in all of Louisiana; various deadlines postponed to Feb. 3, 2025                                  IR-2024-236, Sept. 13, 2024 — The Internal Revenue Service announced today tax relief for individuals and businesses in the entire state of Louisiana, affected by Tropical Storm Francine that began on Sept. 10, 2024.             
                         
IRS issues proposed regulations for Corporate Alternative Minimum Tax  
IR-2024-235, Sept. 12, 2024 — The Internal Revenue Service today issued proposed regulations to provide guidance on the Corporate Alternative Minimum Tax. 

IRS provides relief to victims of severe storms and flooding in Connecticut and New York; various deadlines postponed to Feb. 3, 2025           
IR-2024-234, Sept. 10, 2024 — The Internal Revenue Service announced today tax relief for individuals and businesses in Connecticut and New York affected by severe storms and flooding from torrential rainfalls that began on Aug. 18, 2024. Some communities in western Connecticut also experienced landslides and mudslides from these storms.                                                                                                                                                                                    

PCAOB       
Board Member Christina Ho to Host Forum for Auditors of Small Businesses and Auditors of Broker-Dealers in Miami
Sep. 11, 2024                                                                                                                                                                                                                         

SEC                            

SEC Charges Former Financial Consultant for Providing Father and Friends Inside Information Regarding Firm’s Client
2024-130                                                                                                                                                                                          Washington D.C., Sept. 13, 2024 — The Securities and Exchange Commission today charged Federico Nannini, his father, and two of his friends for insider trading in advance of the pending acquisition of Infrastructure and Energy Alternatives, Inc. (IEA) by MasTec Inc., a client of the financial consulting firm where Nannini worked as an associate. 

SEC Charges Zymergen Inc. With Misleading IPO Investors About Company’s Market Potential and Sales Prospects            2024-129                                                                                                                                                                                          Washington D.C., Sept. 13, 2024 — The Securities and Exchange Commission today announced settled charges against Zymergen Inc., an Emeryville, California-based biotechnology company, for misleading IPO investors about its overall market potential, revenue prospects, and customer pipeline for its only commercially available product, an electronics film named Hyaline. Zymergen raised approximately $530 million through its IPO in April 2021 and filed for bankruptcy in 2023. Zymergen agreed to pay a $30 million civil penalty to resolve the SEC’s charges. 

SEC Charges Three Former Executives of Pharmacy Startup Medly Health Inc. with Defrauding Investors                        2024-128                                                                                                                                                                                            Washington D.C., Sept. 12, 2024 — The Securities and Exchange Commission today charged now-defunct digital pharmacy startup Medly Health Inc’s. co-founder and former CEO, Marg Patel, former CFO, Robert Horowitz, and former Head of Rx Operations, Chintankumar Bhatt, with defrauding investors in connection with capital raising efforts that netted the company over $170 million. 

SEC Charges Three Former Executives of Pharmacy Startup Medly Health Inc. with Defrauding Investors                          2024-127                                                                                                                                                                                            Washington D.C., Sept. 12, 2024 — The Securities and Exchange Commission today announced settled charges against three sales agents from StraightPath Venture Partners—Anthony Guarino, Robert Seropian, and Frank Vecchio—for unregistered broker activity, including selling membership interests in LLCs that purported to invest in shares of pre-IPO companies. Vecchio also settled the SEC’s previously announced fraud charges against him. 

SEC Investor Advisory Committee to Discuss Investment Advice and Key Topics from Securities Litigation at Sept. 19 Meeting             
2024-126                   
Washington D.C., Sept. 12, 2024 — The Securities and Exchange Commission’s Investor Advisory Committee will hold a public meeting on Sept. 19, 2024, at 10 a.m. ET at the SEC Headquarters in Washington, D.C. The meeting will also be webcast on the SEC website.                                                                                                                                                                     

eToro Reaches Settlement with SEC and Will Cease Trading Activity in Nearly All Crypto Assets                                        2024-125                                                                                                                                                                                              Washington D.C., Sept. 12, 2024 — The Securities and Exchange Commission today announced that eToro USA LLC has agreed to pay $1.5 million to settle charges that it operated an unregistered broker and unregistered clearing agency in connection with its trading platform that facilitated buying and selling certain crypto assets as securities. eToro has agreed to cease and desist from violating the applicable federal securities laws and will make only a limited set of crypto assets available for trading.                                                                                                                                                                 

SEC Charges John Deere With FCPA Violations for Subsidiary’s Role in Thai Bribery Scheme             
2024-124                           
Washington D.C., Sept. 10, 2024 — The Securities and Exchange Commission today announced that Deere & Company, which does business as John Deere, agreed to pay nearly $10 million to resolve SEC charges that it violated the Foreign Corrupt Practices Act (FCPA) arising out of bribes paid by its wholly owned subsidiary, Wirtgen Thailand. The company is an Illinois-based global manufacturer of agricultural machinery and heavy equipment.                                                                                                                                                                                                                                                                  SEC Announces Six New Investor Advisory Committee Members           
2024-123                         
Washington D.C., Sept. 10, 2024 — The Securities and Exchange Commission today announced six new members to fill vacancies on its Investor Advisory Committee. The new members, who will serve four-year terms, join 17 current committee members. The committee, established under the Dodd-Frank Wall Street Reform and Consumer Protection Act, advises the Commission on regulatory priorities and initiatives to protect investors and promote the integrity of the U.S. securities markets.                                                                                                                                                                                                                                                                 
SEC Charges Keurig with Making Inaccurate Statements Regarding Recyclability of K-Cup Beverage Pod         
2024-122                      
Washington D.C., Sept. 10, 2024 — The Securities and Exchange Commission today charged Keurig Dr Pepper Inc. with making inaccurate statements regarding the recyclability of its K-Cup single use beverage pods. To settle the SEC’s charges, Keurig agreed to pay a $1.5 million civil penalty.                                                                                                                                                                                                          
SEC Charges Nine Investment Advisers in Ongoing Sweep into Marketing Rule Violations       
2024-121       
Washington D.C., Sept. 9, 2024 — The Securities and Exchange Commission today announced settled charges against nine registered investment advisers for violating the Marketing Rule by disseminating advertisements that included untrue or unsubstantiated statements of material fact or testimonials, endorsements, or third-party ratings that lacked required disclosures. All nine firms have agreed to settle the SEC’s charges and to pay $1,240,000 in combined civil penalties. 

TIGTA 

Progress of Information Technology Modernization Efforts                                                                                                      September 11, 2024                                                                                                                                                                         

Improvements Are Needed in the Cloud Security Assessment, Approval, and Monitoring Processes                            September 10, 2024           

Review of the Corporate Alternative Minimum Tax Implementation Identified Weaknesses in the Pre-Rulemaking Process
September 9, 2024