Center for Freedom and Prosperity
For Immediate Release
Friday, January 26, 2018
Coalition Calls for Congress Not to Interfere With SEC Rulemaking on Paperless Delivery of Mutual Fund Reports
(Washington, D.C., Friday, January 26, 2018) A coalition of 26 organizations, led by the Center for Freedom and Prosperity, sent a letter today urging Congress to stand down and not interfere in SEC rulemaking to allow for paperless delivery of mutual fund reports. The letter notes that modernization of SEC rules offers benefits not only for mutual funds but also for their shareholders and the environment.
Link to the coalition letter pdf: http://freedomandprosperity.org/files/2018-01-26_SEC_Rule_30e-3_coalition_ltr.pdf
CF&P President Andrew F. Quinlan commented, “The only thing standing in the way of this commonsense reform is the paper lobby, which profits from the wasteful requirements of the current, outdated system. Congress shouldn’t prevent mutual funds from operating in the 21st century just to pad the bottom lines of the paper industry.”
Excerpt from the letter:
Proposed SEC Rule 30e-3 would allow funds to send reports electronically, while also preserving the option to receive paper reports for those who want them. This commonsense effort has met heavy opposition from the paper industry, which stands to lose the billions that fund shareholders would save by allowing paperless reports.
At this powerful lobby’s behest, there have been efforts to include language that would prevent the SEC from implementing rule 30e-3. We oppose the inclusion of such language in a final FY 2018 appropriations package. First, this type of legislation is best pursued through regular order, not as a rider to “must-pass” appropriations. Second, cronyism is not a sufficient reason for Congress to override efforts at pro-consumer revisions to outdated regulations.
Representatives of the following 25 organizations signed the coalition letter:
Center for Freedom and Prosperity; National Taxpayers Union; Competitive Enterprise Institute; Campaign for Liberty; Taxpayers Protection Alliance; R Street Institute; Council for Citizens Against Government Waste; Institute for Liberty; Market Institute; Less Government; HSA Coalition; Center for Individual Freedom; FreedomWorks; Independent Women’s Voice; Small Business & Entrepreneurship Council; Frontiers of Freedom; Citizen Outreach; American Consumer Institute; Club for Growth; Tea Party Nation; 60 Plus Association; ALEC Action; Coalition to Reduce Spending; National Center for Public Policy Research; Hispanic Leadership Fund; and, Consumer Action for a Strong Economy
For additional comments:
Andrew Quinlan can be reached at 202-285-0244, firstname.lastname@example.org