WASHINGTON The House Financial Services Committee approved legislation Friday to extend and modify the Terrorism Risk Insurance Act and make several changes to the Financial Stability Oversight Council.
Votes on all three bills were split down party lines. The panel voted 32-27 to reauthorize TRIA for five years and make changes to when the program is triggered and how terrorist events are classified. The program serves as a government backstop in the case of a major terrorist attack. The Senate Banking Committee unanimously passed a competing bill that reauthorizes TRIA for seven years and makes separate changes to the program earlier this month.
"I applaud my colleagues on the committee for passing the TRIA Reform Act to finally begin the transition to a terrorism risk insurance market that is more accountable to American families and hardworking taxpayers," said Rep. Randy Neugebauer, R-Texas, the lead sponsor of the bill, in a press release.
The banking panel also approved two bills by votes of 32-27 to delay the FSOC from making designations of systemically important nonbanks for one year and allow for greater participation by banking agency officials and lawmakers at FSOC meetings.
Debate over all three bills began on Thursday.