U.S. Senator Thad Cochran (R-Miss.)
Hearing on Commodity Futures Trading Commission Nominations
March 6, 2014
Madam Chairwoman, thank you for holding this hearing today. The Commodity Futures Trading Commission is an important part of the regulatory framework that protects American farmers, ranchers, and businesses which depend on the work of this agency to ensure sound markets.
The Commission has the responsibility of implementing new regulations and mandates passed by Congress in the Dodd-Frank Act. The agency has been working hard to fashion new rules, while enforcing existing rules. Each new action by the Commission shapes policies that impact the marketplace, which is why a respected rulemaking process is so important.
In recent years, the Commission has issued new rules, or what are basically rules through “staff guidance,” only to revise or reverse these very same rules through “no action” letters. In the past four years, the agency has issued approximately 60 new rules and over 140 “no action” letters. This has been a pattern that has brought uncertainty to the marketplace.
The agency should carry out its responsibilities in an open and transparent manner which will provide certainty to the marketplace.