Bill Text: MN SF2165 | 2013-2014 | 88th Legislature | Introduced
Bill Title: Resolution memorializing the President and Congress to enact legislation that would reinstate the separation of commercial and investment banking functions that were in effect under the Glass-Steagall Act, the Banking Act of 1933
Sponsorship: Partisan Bill (Republican 2)
Status: (Introduced - Dead) 2014-03-10 - Withdrawn and returned to author [SF2165 Detail]
Download: Minnesota-2013-SF2165-Introduced.html
1.1A resolution
1.2memorializing the President and Congress to enact legislation that would reinstate
1.3the separation of commercial and investment banking functions that were in effect
1.4under the Glass-Steagall Act, the Banking Act of 1933.
1.5WHEREAS, an effective monetary and banking system is essential to the proper function
1.6of the economy; and
1.7WHEREAS, an effective monetary and banking system must function in the public interest
1.8without bias; and
1.9WHEREAS, the federal Banking Act of 1933, commonly referred to as the Glass-Steagall
1.10Act, protected the public interest in matters dealing with the regulation of commercial and
1.11investment banking, in addition to insurance companies and securities firms; and
1.12WHEREAS, the Glass-Steagall Act was repealed in 1999, permitting members of the
1.13financial industry to exploit the financial system for their own gain in disregard of the public
1.14interest; and
1.15WHEREAS, many financial industry entities were saved by the United States Treasury at a
1.16cost of billions of dollars to American taxpayers; and
1.17WHEREAS, within the hundreds of pages of the Dodd-Frank Wall Street Reform and
1.18Consumer Protection Act, there are no prohibitions that prevent "too-big-to-fail" financial services
1.19organizations from investing in, or undertaking substantial risks involving trillions of dollars
1.20of, derivative contracts; and
1.21WHEREAS, the American taxpayers continue to be at risk for the next round of bank failures,
1.22as enormous risks are undertaken by financial services conglomerates; NOW, THEREFORE,
2.1BE IT RESOLVED by the Legislature of the State of Minnesota that it urges the Congress
2.2of the United States to enact legislation that would reinstate the separation of commercial and
2.3investment banking functions that were in effect under the Glass-Steagall Act, the Banking Act
2.4of 1933. That act prohibited commercial banks and bank holding companies from investing in
2.5stocks, underwriting securities, or investing in or acting as guarantors to derivative transactions,
2.6in order to prevent American taxpayers from being called upon to fund hundreds of billions of
2.7dollars to bail out financial institutions.
2.8 BE IT FURTHER RESOLVED that the Secretary of State of the State of Minnesota is
2.9directed to prepare copies of this memorial and transmit them to the President of the United States,
2.10the President and Secretary of the United States Senate, the Speaker and the Clerk of the United
2.11States House of Representatives, and Minnesota's Senators and Representatives in Congress.
1.2memorializing the President and Congress to enact legislation that would reinstate
1.3the separation of commercial and investment banking functions that were in effect
1.4under the Glass-Steagall Act, the Banking Act of 1933.
1.5WHEREAS, an effective monetary and banking system is essential to the proper function
1.6of the economy; and
1.7WHEREAS, an effective monetary and banking system must function in the public interest
1.8without bias; and
1.9WHEREAS, the federal Banking Act of 1933, commonly referred to as the Glass-Steagall
1.10Act, protected the public interest in matters dealing with the regulation of commercial and
1.11investment banking, in addition to insurance companies and securities firms; and
1.12WHEREAS, the Glass-Steagall Act was repealed in 1999, permitting members of the
1.13financial industry to exploit the financial system for their own gain in disregard of the public
1.14interest; and
1.15WHEREAS, many financial industry entities were saved by the United States Treasury at a
1.16cost of billions of dollars to American taxpayers; and
1.17WHEREAS, within the hundreds of pages of the Dodd-Frank Wall Street Reform and
1.18Consumer Protection Act, there are no prohibitions that prevent "too-big-to-fail" financial services
1.19organizations from investing in, or undertaking substantial risks involving trillions of dollars
1.20of, derivative contracts; and
1.21WHEREAS, the American taxpayers continue to be at risk for the next round of bank failures,
1.22as enormous risks are undertaken by financial services conglomerates; NOW, THEREFORE,
2.1BE IT RESOLVED by the Legislature of the State of Minnesota that it urges the Congress
2.2of the United States to enact legislation that would reinstate the separation of commercial and
2.3investment banking functions that were in effect under the Glass-Steagall Act, the Banking Act
2.4of 1933. That act prohibited commercial banks and bank holding companies from investing in
2.5stocks, underwriting securities, or investing in or acting as guarantors to derivative transactions,
2.6in order to prevent American taxpayers from being called upon to fund hundreds of billions of
2.7dollars to bail out financial institutions.
2.8 BE IT FURTHER RESOLVED that the Secretary of State of the State of Minnesota is
2.9directed to prepare copies of this memorial and transmit them to the President of the United States,
2.10the President and Secretary of the United States Senate, the Speaker and the Clerk of the United
2.11States House of Representatives, and Minnesota's Senators and Representatives in Congress.
