Regulatory Roundup - Sept. 28-Oct. 4

By:
Chris Gaetano
Published Date:
Oct 4, 2021
CBO

Cost Estimate
H.R. 1204, District of Columbia Chief Financial Officer Salary Home Rule Act
October 1, 2021
As ordered reported by the House Committee on Oversight and Reform on June 29, 2021

Cost Estimate
H.R. 730, Equity and Inclusion Enforcement Act of 2021
October 1, 2021
As ordered reported by the House Committee on Education and Labor on July 15, 2021

Report
Federal Debt and the Statutory Limit, September 2021
September 29, 2021
CBO projects that, if the debt limit remains unchanged, the Treasury’s ability to borrow using extraordinary measures will be exhausted, and it will most likely run out of cash near the end of October or the beginning of November.

Cost Estimate
H.R. 4233, Student Veterans Counseling Centers Eligibility Act
September 29, 2021
As ordered reported by the House Committee on Veterans’ Affairs on July 28, 2021

Cost Estimate
H.R. 912, American Indian and Alaska Native Veterans Mental Health Act
September 29, 2021
As ordered reported by the House Committee on Veterans’ Affairs on July 26, 2021

Cost Estimate
S. 2551, Artificial Intelligence Training for the Acquisition Workforce Act
September 28, 2021
As ordered reported by the Senate Committee on Homeland Security and Governmental Affairs on August 4, 2021

Cost Estimate
H.R. 1505, Bonding Reform and Taxpayer Protection Act of 2021
September 27, 2021
As ordered reported by the House Committee on Natural Resources on May 5, 2021

Cost Estimate
Legislation considered under suspension of the Rules of the House of Representatives during the week of September 27, 2021
September 27, 2021
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.

Cost Estimate
S. 1220, United States Cadet Nurse Corps Service Recognition Act of 2021
September 27, 2021
As ordered reported by the Senate Committee on Veterans’ Affairs on July 28, 2021

FASB

FASB Names New Members to Its Investor Advisory Committee  [09/28/21]
Media Advisory

GAO

Contingency Contracting
DOD Has Taken Steps to Address Commission Recommendations, but Should Better Document Progress and Improve Contract Data [Reissued with revisions on Oct. 1, 2021.]
GAO-21-344
Published: Sep 30, 2021.
Publicly Released: Oct 01, 2021.
DOD relies on contractors worldwide to support contingency operations, which can include armed conflicts, humanitarian crises, and more. The Commission on Wartime Contracting made 30 recommendations in 2011 to improve contingency contracting in Iraq and Afghanistan.

Medicare
Provider Performance and Experiences Under the Merit-Based Incentive Payment System
GAO-22-104667
Published: Oct 01, 2021.Publicly Released: Oct 01, 2021.Under Medicare’s Merit-based Incentive Payment System, doctors and other providers may receive increases or decreases to their Medicare payments based on factors like the cost and quality of care they provide.

Senate Disbursing Office
Procedures Related to 2021 Cash Count
GAO-21-105235
Published: Sep 30, 2021.
Publicly Released: Sep 30, 2021.As part of our role in helping Congress to oversee its own funds, we performed certain procedures that were requested on behalf of the Secretary of the Senate. We independently counted the cash and noncash items (e.g., cashed checks) in the Senate Disbursing Office on Aug. 10.

COVID-19
Selected Agencies Overcame Technology Challenges to Support Telework but Need to Fully Assess Security Controls
GAO-21-583
Published: Sep 30, 2021.
Publicly Released: Sep 30, 2021.
Telework is essential to the continuity of federal operations in emergencies—but it also brings added cybersecurity risks. We examined federal agencies' preparedness to support expanded telework during the COVID-19 pandemic.

COVID-19
Additional Risk Assessment Actions Could Improve HUD Oversight of CARES Act Funds
GAO-21-104542
Published: Sep 30, 2021.
Publicly Released: Sep 30, 2021.
Millions of Americans had trouble paying their rent or mortgages after the COVID-19 pandemic disrupted the U.S. economy. The CARES Act appropriated $12.4 billion to the Department of Housing and Urban Development to help address emergent needs.

Bankruptcy
Enhanced Authority Could Strengthen Oversight of Executive Bonuses Awarded Before a Bankruptcy Filing
GAO-21-104617
Published: Sep 30, 2021.
Publicly Released: Sep 30, 2021.
Some companies made headlines in 2020 for paying their executives large bonuses while undergoing Chapter 11 bankruptcy.

U.S. Postal Service
Better Use of Climate Data Could Enhance the Climate Resilience of Postal Facilities
GAO-21-104152
Published: Sep 30, 2021.
Publicly Released: Sep 30, 2021.
The U.S. Postal Service has more than 32,000 facilities. We reviewed damages to them from recent weather-related natural disasters, what USPS is doing to make them more resilient to climate change, and more.

DOD Software Acquisition
Status of and Challenges Related to Reform Efforts
GAO-21-105298
Published: Sep 30, 2021.
Publicly Released: Sep 30, 2021.
Over the past few years, the Department of Defense has been updating how it develops and acquires software for its weapon and business IT systems. It established a software acquisition pathway emphasizing rapid delivery and user engagement, for example, through Agile software development.

College Closures
Many Impacted Borrowers Struggled Financially Despite Being Eligible for Loan Discharges
GAO-21-105373
Published: Sep 30, 2021.
Publicly Released: Sep 30, 2021.
When a college closes, students can be left with loans, no degree, and no path forward. Some of those students may be eligible for federal student loan forgiveness through a "closed school discharge" from the Department of Education.

High-Performance Computing
Advances Made Towards Implementing the National Strategy, but Better Reporting and a More Detailed Plan Are Needed
GAO-21-104500
Published: Sep 30, 2021.
Publicly Released: Sep 30, 2021.
High-performance computers that operate much faster than any computer used today are a key part of the nation's vision for maintaining its global competitive edge.

Department of Homeland Security
Progress Made Strengthening Management Functions, but Work Remains
GAO-21-105418
Published: Sep 30, 2021.
Publicly Released: Sep 30, 2021.
The formation of the Department of Homeland Security required incorporating 22 agencies—some with major management challenges—into one department.

IT Modernization
HUD Needs to Improve Its Estimation and Oversight Practices for Single-Family Housing
GAO-21-459
Published: Sep 29, 2021.
Publicly Released: Sep 29, 2021.
The Department of Housing and Urban Development relies on outdated IT infrastructure and manual processes to insure a portfolio of single-family mortgages worth over $1 trillion. HUD has made several unsuccessful attempts to modernize its IT.

COVID-19
Reviewing Existing Policies Could Help Selected Agencies Better Prepare for Dedicated User Fee Revenue Fluctuations
GAO-21-104325
Published: Sep 29, 2021.
Publicly Released: Sep 29, 2021.
Many federal agencies like the National Park Service and Federal Aviation Administration rely, in part, on user fees. In FY 2019, federal agencies collected over $100 billion in fees dedicated to specific purposes like park maintenance and airport improvements.

Addressing Fragmentation, Overlap, and Duplication
Progress in Enhancing Government Effectiveness and Achieving Hundreds of Billions of Dollars in Financial Benefits
GAO-21-104648
Published: Sep 28, 2021.
Publicly Released: Sep 28, 2021.
We have issued 11 annual reports on federal programs with fragmented, overlapping, or duplicative goals or activities. In those reports, we suggested hundreds of ways to address those problems, reduce costs, or boost revenue. Our most recent report is from May 2021.

Aircraft Noise
FAA Could Improve Outreach Through Enhanced Noise Metrics, Communication, and Support to Communities
GAO-21-103933
Published: Sep 28, 2021.
Publicly Released: Sep 28, 2021.
Performance-Based Navigation allows for more precise flight paths that reduce flying time, fuel use, and emissions. But for communities under a new path, this may also mean more frequent noise.

Broadband
FCC is Taking Steps to Accurately Map Locations That Lack Access
GAO-21-104447
Published: Sep 28, 2021.
Publicly Released: Sep 28, 2021.
While most Americans have broadband internet access, many do not—a gap known as the digital divide. Federal efforts to bridge it rely on data FCC collects from broadband providers. We have raised concerns that this data overstates service. In 2020, FCC was tasked with mapping all U.S.

Government Performance Management
Key Considerations for Implementing Cross-Agency Priority Goals and Progress Addressing GAO Recommendations
GAO-21-104704
Published: Sep 28, 2021.
Publicly Released: Sep 28, 2021.
The Government Performance and Results Act Modernization Act of 2010 aimed to improve the performance of the federal government.

Highway Bridges
Federal Highway Administration Could Better Assist States with Information on Corrosion Practices
GAO-21-104249
Published: Sep 28, 2021.
Publicly Released: Sep 28, 2021.
People rely on the 146,000 bridges in the National Highway System. Most of the bridges are made of materials that are susceptible to corrosion—a leading cause of bridge failure. The percentage of bridges in "good" condition has declined since 2016.

GSA Online Marketplaces
Plans to Measure Progress and Monitor Data Protection Efforts Need Further Development
GAO-21-104572
Published: Sep 28, 2021.
Publicly Released: Sep 28, 2021.The General Services Administration developed an "online marketplace program" to make it easier for agencies to buy commercially available products, e.g., office supplies. GSA started testing the program since our 2018 report, contracting with 3 online marketplace providers.

Sexual Assault and Harassment
NOAA Has Made Substantial Progress in Prevention and Response but Could Further Improve Its Processes
GAO-21-560
Published: Aug 27, 2021.
Publicly Released: Sep 27, 2021.
The National Oceanic and Atmospheric Administration has made substantial progress in the last 5 years to prevent and respond to sexual assault and harassment within its workplaces.

Medicaid Behavioral Health
CMS Guidance Needed to Better Align Demonstration Payment Rates with Costs and Prevent Duplication
GAO-21-104466
Published: Sep 27, 2021.
Publicly Released: Sep 27, 2021.
Behavioral health conditions such as depression and opioid use disorder affected an estimated 61 million U.S. adults in 2019. Research has shown that low-income individuals, such as those enrolled in Medicaid, are at greater risk of developing such conditions.

IASB

September 2021 monthly news summary
1 October 2021
UPDATE

September 2021 IASB podcast available now
30 September 2021
PODCAST

September 2021 IFRS for SMEs Update available
30 September 2021
UPDATE

IASB seeks stakeholders’ views on IFRS 9 review
30 September 2021
CONSULTATION

Trustees publish summary of 20 September 2021 meeting
28 September 2021
MEETING 

IRS

Oct. 15 FBAR extension deadline nears for foreign bank and financial account holders
IR-2021-196, October 1, 2021 — The Internal Revenue Service reminds U.S. citizens, resident aliens and any domestic legal entity that the extension deadline to file their annual Report of Foreign Bank and Financial Accounts (FBAR) is Oct. 15, 2021.

IRS selects seven new members for the Electronic Tax Administration Advisory Committee
IR-2021-195, September 28, 2021 — The Internal Revenue Service has selected seven new members for the Electronic Tax Administration Advisory Committee (ETAAC).

NYS

New York State Department of Financial Services And New York State Department of Health Deliver Report and Recommendations to Reduce Health Care Costs and Complexities for the Benefit of New York Consumers
October 4, 2021

Trinity Healthshare, Inc. Files for Bankruptcy Amid Pending DFS Enforcement Action
September 28, 2021

PCAOB

PCAOB Solicits Additional Public Comment on Proposed New Requirements for Lead Auditor’s Use of Other Auditors
September 28, 2021

SEC

SEC Charges Webcast Host for Role in Market Manipulation Scheme

2021-206, Oct. 1, 2021 — The Securities and Exchange Commission today announced charges against Mark Melnick, the host of a stock trading webcast, for spreading more than 100 false rumors about public companies in order to generate illicit profits. The SEC previously charged Barton Ross for his role in this scheme.\

SEC Charges Rogue Trader Who Bankrupted His Firm
2021-205, Sept. 30, 2021 —The Securities and Exchange Commission today charged Keith A. Wakefield, a former managing director and head of fixed income trading at IFS Securities, Inc., an Atlanta-based broker-dealer, with causing millions of dollars of losses through unauthorized trading in fixed income securities, and with fraudulently obtaining approximately $820,000 in fictitious commission income.

SEC Charges Former Executives of Registered Investment Adviser with Fraud

2021-204, Sept. 30, 2021 — The Securities and Exchange Commission today charged Robert D. Press, the former CEO of the advisory firm TCA Fund Management Group Corp., and Donna M. Silverman, TCA’s former chief portfolio manager, for their roles in the firm’s scheme to artificially inflate the net asset values and performance results of several TCA-managed funds. The SEC previously charged TCA and another affiliated company, TCA Global Credit Fund GP Ltd. (TCA-GP), with fraud on May 11, 2020, and obtained the appointment of a receiver over those entities and the TCA funds. The SEC also previously charged two TCA executives for their roles in the alleged fraud.

SEC Charges Investment Bank Compliance Analyst with Insider Trading in Parents’ Accounts and Obtains Asset Freeze

2021-203, Sept. 29, 2021 — The Securities and Exchange Commission today charged Jose Luis Casero Sanchez, a Spanish national and former Senior Compliance Analyst who worked in the Warsaw, Poland office of an international investment bank, with insider trading in advance of at least 45 corporate events involving the investment bank’s clients. The SEC has obtained an emergency court order to freeze Sanchez’s assets, including certain accounts he used to place the illicit trades.

SEC Proposes to Enhance Proxy Voting Disclosure by Investment Funds and Require Disclosure of “Say-on-Pay” Votes for Institutional Investment Managers

2021-202, Sept. 29, 2021 — The Securities and Exchange Commission today proposed amendments to Form N-PX to enhance the information mutual funds, exchange-traded funds, and certain other funds report about their proxy votes. The proposed rulemaking would require funds to tie the description of each voting matter to the issuer’s form of proxy and to categorize each matter by type to help investors identify votes of interest and compare voting records. The proposal also would prescribe how funds organize their reports and require them to use a structured data language to make the filings easier to analyze. Funds would also be required to disclose how their securities lending activity impacted their voting.

SEC Atlanta Regional Office to Co-Host "Money and Markets: Trends and Risks for Retail Investors"

2021-201, Sept. 28, 2021 —The Securities and Exchange Commission's Atlanta Regional Office and the University of Georgia School of Law will co-host a panel discussion on "Money and Markets: Trends and Risks for Retail Investors" on Tuesday, Oct. 5, 2021, from 5-6:15 p.m. ET.

SEC Obtains Emergency Relief Against New York Real Estate Developer Charged with EB-5 Securities Fraud

2021-200, Sept. 28, 2021 —The Securities and Exchange Commission today announced that it filed an emergency action and obtained an asset freeze, among other relief, against Richard Xia (aka Yi Xia) and his company, Fleet New York Metropolitan Regional Center LLC (formerly known as Federal New York Metropolitan Regional Center LLC), for committing securities fraud in connection with two real estate projects in Queens, New York.

SEC Bars Two Individuals from Whistleblower Award Program

2021-199, Sept. 28, 2021 — The Securities and Exchange Commission today announced that it has barred two individuals from the SEC's whistleblower award program, each of whom filed hundreds of frivolous award applications. The bars were issued pursuant to the 2020 amendments to the Whistleblower Program Rules, which were designed to allow the whistleblower program to operate more effectively and efficiently and to focus on good faith whistleblower submissions.

Dan Berkovitz Named SEC General Counsel; John Coates to Leave SEC
2021-198 Sept. 28, 2021 —The Securities and Exchange Commission today announced that Commodity Futures Trading Commission (CFTC) Commissioner Dan Berkovitz has been named SEC General Counsel, effective Nov. 1. John Coates will leave the agency in October and return to teaching at Harvard University. Michael Conley, currently the SEC's Solicitor, will serve as Acting General Counsel upon Coates's departure until Berkovitz joins the agency.

Erik Gerding joins Division of Corporation Finance as Deputy Director, Legal and Regulatory Policy
2021-197, Sept. 27, 2021 —
The Securities and Exchange Commission today announced that Erik Gerding has been named Deputy Director, Legal and Regulatory Policy, for the Division of Corporation Finance, effective Oct. 4, 2021. Erik comes to the SEC from the University of Colorado Law School, where he has been a Professor of Law and a Wolf-Nichol Fellow. His focus has been in the areas of corporate and securities law and financial regulation.

TIGTA

Enterprise Case Management Deployed Its Initial Release, but Process Improvements Are Needed for Future Releases
September 30, 2021

Efforts to Implement Taxpayer First Act Section 2101 Have Been Mostly Successful
September 29, 2021




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