WASHINGTON, D.C. – U.S. Sen. John Kennedy (R-La.) filed the Eliminating Corporate Shadow Banking Act of 2019 today to close loopholes that would allow commercial companies to offer banking services without oversight by the Federal Reserve.
At issue are Industrial Loan Companies, or ILCs, which were established in 1910 to lend money to industrial workers. With an ILC charter, companies can offer financial services without adhering to the same regulations and oversight as traditional banks. Rakuten Bank America’s parent company is owned by Rakuten Inc., which has been described as the Amazon of Japan. Not only is Rakuten Bank America seeking an ILC charter from the state of Utah to offer loans and credit cards to customers nationwide, but it also applied to the FDIC for federal deposit insurance since it will be offering a variety of consumer deposit products.
“It’s just a bad idea for commerce and banking to mix. Not only is it unfair to community banks who have to play by different rules, it’s bad for consumers. Companies like Google and Facebook already are so big that they’re countries. If they’re allowed to handle your banking services, they’re going to turn into continents,” said Sen. Kennedy. “The Federal Reserve exists for a reason. The Rakutens and the Googles of the world shouldn’t be able to circumvent the Fed.”
“ICBA and community banks across the nation thank Sen. Kennedy for introducing legislation that would close the industrial loan company loophole, which for too long has threatened the financial system by allowing commercial interests to own full-service banks while avoiding key regulations and consolidated supervision by the Federal Reserve,” Independent Community Bankers of America President and CEO Rebeca Romero Rainey said. “Any company that wishes to own a full-service bank should be subject to the same restrictions and supervision that apply to any other bank holding company. We look forward to advancing this important and needed policy fix, which promotes a safe and sound financial system and maintains the needed separation of banking and commerce.”
“Sen. Kennedy’s legislation addresses a longstanding concern of Louisiana bankers. There should be one set of rules instead of special rules for a select few,” said Robert Taylor, chief executive officer of the Louisiana Bankers Association. “By closing the ILC loophole, Sen. Kennedy is protecting consumers and assuring stability to the financial system through proper oversight. We applaud Sen. Kennedy’s work.”
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WASHINGTON, D.C. – U.S. Sen. John Kennedy (R-La.) issued the following statement today on FEMA’s decision to delay a new risk rating system for the National Flood Insurance Program:
“This is very positive news for Louisiana families. The fact that we live near the Gulf of Mexico doesn’t mean that we flood every other Tuesday. We shouldn’t be punished because of geography when we supply quality seafood and work to make this country energy independent. Most of the LNG that the U.S. exports is produced in Louisiana,” said Sen. Kennedy. “I have serious concerns about Louisiana families being able to afford flood insurance under the proposed Risk Rating System 2.0. The National Flood Insurance Program only makes sense if people’s premiums don’t cost as much as their mortgage. This delay gives us time to resolve those concerns.”
During his tenure in office, Sen. Kennedy has worked to make the National Flood Insurance Program affordable and sustainable. He recently filed the National Flood Insurance Program Consultant Accountability Act to give the FEMA Administrator the authority to fire any consultant, contractor, lawyer, or engineer, who engages in conduct that is detrimental to the mission of the National Flood Insurance Program.
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WASHINGTON, D.C. – U.S. Sen. John Kennedy (R-La.) announced today the conviction of multiple drug traffickers in China for illicit fentanyl production and distribution. The convictions follow a concerted push by the U.S. officials, including Sen. Kennedy and drug czar Jim Carroll, for Chinese leaders to stop the flow of synthetic fentanyl and ingredients from China to the U.S.
“All it takes is an amount of fentanyl weighing less than a sprinkle of sugar to kill someone. Fentanyl and fentanyl analogues play an especially deadly role in U.S. opioid crisis,” said Sen. Kennedy. “We know China is part of the supply chain for this stuff, and we’ve been pushing China to do something about it. These convictions are extremely positive news in our battle to conquer opioid addiction. We are going to make families whole again.”
“The concrete action taken by China is a direct result of President Trump’s strong leadership on this issue, and the personal engagement by many members of Congress in communicating our entire government’s commitment to saving American lives. China’s fentanyl trafficking and production prosecution is a positive step in following through on the pledge secured by President Trump. We look forward to further cooperation to stop the flow of these deadly substances into the United States,” said Carroll, director of the White House Office of National Drug Control Policy.
Sen. Kennedy met with Premier Li Keqiang last year in Beijing to lobby for a crackdown on fentanyl production and trafficking. The drug often enters Mexico from China and then makes its way to the U.S.
Earlier this year, Sen. Kennedy filed the Ending the Fentanyl Crisis Act of 2019 to ensure that sentencing penalties for trafficking fentanyl reflect the deadliness of the drug. The bill reduces the amount of fentanyl that drug traffickers and dealers must be caught with in order for mandatory sentencing minimums to apply.
Sen. Kennedy has welcomed Director Carroll twice to Louisiana for visits addressing the opioid crisis. They sat down with area leaders who are on the front lines of the crisis and visited a treatment center.
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WASHINGTON, D.C. – U.S. Sen. John Kennedy (R-La.) announced today a $17 million Department of Transportation (DOT) grant for the construction and revitalization of roads in Ruston.
This grant will focus on building and improving roads from the I-20 corridor to downtown Ruston and Louisiana Tech University. The project includes laying new pavement, widening sidewalks and improving drainage along the roads. Additionally, this grant will fund the installation of underground electrical and fiber optic utilities to provide real-time data on traffic, weather and parking.
“I’m grateful for Transportation Secretary Elaine Chao’s leadership in advocating for infrastructure improvements in Louisiana,” said Sen. Kennedy. “Through the new roads and technology, the city of Ruston will continue to be a great city for students to learn, new businesses to grow and families to call home.”
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WASHINGTON, D.C. – U.S. Sen. John Kennedy (R-La.) questioned U.S. Government Accountability Office (GAO) Comptroller General Hon. Gene L. Dodaro about improper payments to deceased people during a Senate Budget Committee hearing Wednesday. The government’s payments to deceased individuals routinely waste millions of taxpayer dollars.
Earlier this year, Sen. Kennedy introduced the bipartisan Stopping Improper Payments to Deceased People Act with Sen. Tom Carper (D-Del.). The Senate Homeland Security and Government Affairs Committee advanced the bill in May. Sens. Kennedy and Carper’s bill will give all necessary federal agencies access to the Social Security Administration’s federal database of reported deceased individuals for comparison with their records to catch payments that shouldn’t be made.
Click here or the photo below to watch Sen. Kennedy’s full questioning.
Highlights:
Sen. Kennedy on the fraud taking place: “I understand making a mistake in terms of a payment. But we’re paying dead people for God’s sake, and they’ve been dead a long time. Now I’ve seen dead people vote but never cash a check.”
Sen. Kennedy on lack of accountability: “It’s easier to divorce your spouse than fire someone around here. It just seems to be me, within the parameters of the law, that some people ought to be fired over this. I mean how can you defend paying a dead man?”
Hon. Dodaro on the cultural problem in government: “The only time people in the agencies get into trouble is for not paying somebody. If somebody is not paid and they’re not paid on time, so the incentives are to do that, not to make sure that you double check eligibility and that you match records and things of that nature.”
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WASHINGTON, D.C. – U.S. Sens. John Kennedy (R-La.) and Dick Durbin (D-Ill.) today secured an amendment in the Fiscal Year 2020 Commerce, Justice and Science funding bill to equip the Drug Enforcement Agency (DEA) with the tools needed to limit overproduction of prescription painkillers.
Between 1993 and 2015, the DEA allowed production quotas on various painkillers to increase at a startling rate fueling the opioid crisis. Last year, Kennedy and Durbin’s bill, the Opioid Quota Reform Act of 2018, was signed into law as part of the SUPPORT for Patients and Communities Act. This legislation granted the DEA new authority over opioid production by requiring opioid quotas to be adjusted to reflect diversion, overdose deaths and public health.
This amendment builds on their legislation and provides the DEA with the tools needed to prevent pharmaceutical companies from overproducing prescription drugs.
“This year, we finally got some positive news in the nation’s opioid epidemic. The number of drug-related deaths in the U.S. dropped for the first time in decades. That doesn’t mean the battle is over,” said Sen. Kennedy. “Sen. Durbin and I have been working to lower opioid production quotas. This amendment will help stop drug companies from providing you with more painkillers than you need. Enough is enough.”
“With the approval of the DEA, approximately thirteen billion opioid doses were put on the market in 2017 by Big Pharma—enough for every adult American to have at least a three-week prescription of painkillers,” said Sen. Durbin. “Senator Kennedy and I put into law that DEA must consider the public health harms and risk of opioid addiction when they set these annual production quotas. Today’s amendment passage will move us towards this goal and help rein in Big Pharma’s insatiable, deadly demand to flood the market with addictive painkillers.”
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WASHINGTON, D.C. – U.S. Sen. John Kennedy (R-La.) announced today that Louisiana will receive $875,000 from the White House Office of National Drug Control Policy (ONDCP) to reduce substance abuse among youths across the state.
Grants of $125,000 were awarded to community coalitions in Bogalusa, Baton Rouge, Kenner, Arcadia, Hammond, Farmerville and New Orleans. The director of the White House Office of National Drug Control Policy, Jim Carroll, visited Louisiana twice this year at Sen. Kennedy’s invitation to address the state’s opioid crisis.
“Drug Czar Carroll understands the problem we’re fighting in Louisiana. Our kids are abusing opioids, alcohol, tobacco and marijuana. Their lives are lost to addiction while they’re still battling acne,” said Sen. Kennedy. “The solution is to prevent them from getting addicted in the first place. We’ve got to educate our kids that they’re playing with fire when it comes to substance abuse.”
“In order to create safe and healthy places for the next generation to grow up, we must break through to our children now and educate them about the dangers of substance use. The Drug-Free Communities, administered by our office across the United States, are proven prevention programs tailored to do just that by meeting the local prevention needs in each community. The Trump Administration will continue expanding the number of community-based coalitions dedicated to the critical mission of stopping substance use among our youth before it starts,” said ONDCP Director Jim Carroll.
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Sens. Kennedy And Carper File Legislation To Save Jobs During Phasedown Of Hydrofluorocarbons
Oct 30 2019
WASHINGTON, D.C. – U.S. Sens. John Kennedy (R-La.) and Tom Carper (D-Del.) filed the American Innovation and Manufacturing Act today to give businesses clarity by authorizing a 15-year phasedown of hydrofluorocarbons, or HFCs, that are used as coolants in refrigerators and air conditioners. The legislation will give U.S. companies the certainty they need to make the investments necessary to lead the world in the production of next-generation coolants.
Sens. Bill Cassidy (R-La.), Chris Coons (D-Del.), Susan Collins (R-Maine), Sheldon Whitehouse (D-R.I.), Roger Wicker (R-Miss.), Lindsey Graham (R-S.C.), Cory Booker (D-N.J.), Todd Young (R-Ind.), Ed Markey (D-Mass.), John Boozman (R-Ark.), Richard Blumenthal (D-Conn.), Lamar Alexander (R-Tenn.), Ben Cardin (D-Md.) and Jeff Merkley (D-Ore.) joined Sens. Kennedy and Carper as original cosponsors.
This bipartisan legislation was crafted with input from the manufacturing industry and environmental groups to give businesses a clear timeline for transitioning to new innovations in refrigerants. The ultimate goal is to ensure a smooth phasedown that doesn’t disrupt jobs and leave the U.S. behind in an emerging global market. The global market is moving away from the use of HFC refrigerants, given that the Kigali Amendment to the Montreal Protocol requires their phaseout.
The legislation gives the U.S. Environmental Protection Agency (EPA) the authority to regulate a transition to newer, better refrigerants. U.S. industries that directly use or produce fluorocarbons employ more than 593,000 Americans. This bill is expected to create an additional 150,000 direct and indirect U.S. jobs as well as generate $38.8 billion in economic benefits annually by 2027.
“This bill lays the groundwork for a smooth transition to new technologies. Industry needs a sensible phasedown in order to protect jobs in Louisiana and across the U.S.,” said Sen. Kennedy. “The world is moving away from hydrofluorocarbons, and the U.S. is in danger of getting stuck at the starting gate. We want these new refrigerants to be produced in the U.S., not in China. We want to export these new refrigerants, not import them. That won’t happen unless we give companies in Louisiana and across the U.S. much-needed certainty to create thousands of new jobs.”
“I am happy to join Senator Kennedy and my other colleagues in introducing the AIM Act, which would bolster domestic manufacturing, create good paying American jobs and address climate change at the same time,” said Sen. Carper. “American companies have already invested billions of dollars to produce and sell the next-generation technologies to replace HFCs. The AIM Act builds upon these investments, allowing U.S. companies to further expand manufacturing at home and remain competitive in a growing global market. The economic benefits of this bill are far reaching. The AIM Act is expected to result in 150,000 good paying American jobs and close to $39 billion in annual economic benefits. At the same time, joining the rest of the global community in reducing HFCs could help avoid up to a half degree Celsius in global warming by the end of the century. It is clear, the AIM Act is a huge win-win for our economy and the planet.”
The bill will:
- Gradually phase down the production and consumption of HFCs through an allowance allocation and trading program.
- Authorize the EPA to establish standards for the management of HFCs used as refrigerants and for the recovery of used HFCs.
- Authorize the EPA to facilitate transitions to next-generation technologies by establishing sector-based use restrictions.
The legislation has widespread support from industry.
“The American Innovation and Manufacturing Act shows that industry, environmentalists and lawmakers can work together to phase down harmful HFCs and help the United States maintain its leadership in replacing them with climate-friendlier alternatives,” said David Doniger, Senior Strategic Director, Natural Resources Defense Council.
“The Ceres BICEP Network is glad to see Sens. Kennedy and Carper introduce this important piece of legislation. Phasing down HFCs is a critical step that will bolster American manufacturing and job creation. Companies are looking to reduce their own emissions and are calling on Congress to put forth bipartisan solutions that will drive innovation to help them meet their goals, such as the American Innovation and Manufacturing Act of 2019,” said Anne Kelly, vice president of government relations at Ceres.
“We appreciate the leadership of Sens. Kennedy and Carper in introducing this legislation and helping create greater predictability as manufacturers prepare for the transition to more environmentally friendly refrigerants,” said Air-Conditioning, Heating, and Refrigeration Institute President & CEO Stephen Yurek. “It is our hope that the Senate will move expeditiously on this bill and that the House will shortly follow suit so that this transition can begin in earnest.”
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WASHINGTON, D.C. – U.S. Sen. John Kennedy (R-La.) delivered a speech on the Senate floor today urging the Federal Communications Commission (FCC) to conduct a public auction of C-band spectrum to protect American 5G technological innovation.
The FCC is considering a closed-door private auction instead of the public auctions it typically conducts. The private auction will allow foreign companies to profit from the spectrum sale, and it will lack transparency.
Click here or the photo below to watch.
Highlights:
Monetary value of 5G: “The FCC has held over 100 auctions; they’ve brought in $123 billion. We’ve got these radio waves for 5G that the experts say are worth $60 billion, and instead of auctioning them off and letting everybody fairly compete, these three foreign corporations want the FCC to give them the airwaves and let them auction them off and the foreign companies get to keep the money.”
5G and National Security: “Our job is not to maximize profits for foreign corporations. Our job is to help our people, and this 5G has national security implications. Before we give away these 5G airwaves to a foreign corporation, we need to know who they’re going to give it to. What if they give it to China?”
5G Benefitting Rural Communities: “What I’d like to see us do, and (what) I’m encouraging the FCC to do, is to hold a public auction, take some of that $60 billion they’re going to get and use it for rural broadband to make sure that the people who live in rural areas get taken care of as well as the people who live in the cities.”
Potential of 5G technology: “Surgeons will be able to conduct surgery through the internet thousands of miles away from each other. We’ll have driverless cars … farmers, through 5G technology, will be informed well in advance when there are diseases encroaching on their crops. We won’t have to sign our name anymore; 5G will make possible what’s called personal heat signatures. It’s going to change the world.”
Keeping the spectrum auction transparent and public: “We need a level playing field. We need competition. Competition is a moral good. Everybody needs to get an equal bite at the apple. This doesn’t need to be done in a backroom swampy deal.”
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Sens. Kennedy and Cassidy Join Resolution to Disapprove Unprecedented, Undemocratic Impeachment Proceedings
Oct 24 2019
WASHINGTON, D.C. – U.S. Sens. John Kennedy (R-La.) and Bill Cassidy, M.D. (R-La.) joined a Senate resolution today to condemn the U.S. House of Representatives’ undemocratic impeachment proceedings and encourage the House to follow established precedent and provide President Donald J. Trump with his constitutional rights and protections.
Historically, when the House moved to impeach a president, the full House voted on a formal impeachment inquiry. In this case, Speaker Pelosi replaced the vote with an announcement at a press conference. Her press conference led to a string of closed-door hearings and investigations that deny President Trump due process and deny the American people transparency.
This resolution calls on the House to follow precedent by having a vote to initiate a formal impeachment inquiry, provide President Trump with due process and allow Republican members to participate fully in the impeachment proceedings, including the authority to issue subpoenas.
“Democrats in the House of Representatives ditched precedent, fairness and the Constitution to try to fix an election that they lost three years ago,” said Sen. Kennedy. “The House has yet to vote on a formal impeachment inquiry, and in the meantime they have stripped President Trump of his right to due process and denied the American people transparency. We can’t just ignore centuries of precedent and the protections set up in our Constitution. Democrats musts think the American people are really stupid.”
“Impeachment proceedings should be conducted in full view of the American people, not behind closed doors. House Democrats’ actions are unprecedented. President Trump is entitled to his due process rights, and Americans deserve transparency from their government,” said Dr. Cassidy.
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