SEC Modernization Act
The SEC Modernization Act would reorganize certain internal offices within the Securities and Exchange Commission (SEC). Specifically, it moves several offices into different organizational units under the General Counsel, the Division of Corporate Finance, the Office of Public Affairs, and the Office of the Investor Advocate, with the heads of those transferred offices reporting to the specified new leaders. It also allows for future reorganizations and directs that regional SEC offices may be consolidated if deemed appropriate. The goal appears to be to streamline management and clarify reporting lines within the agency, potentially improving efficiency and coordination across divisions. The bill does not expand or restrict SEC authority beyond reorganizing these offices and potential regional consolidations. It emphasizes that the Commission retains authority to reorganize again in the public interest or for investor protection in the future.
Key Points
- 1Transfer to the Office of General Counsel: Office of the Secretary, Office of the Ethics Counsel, and Office of International Affairs would move under the Office of the General Counsel, with each transferred office reporting directly to the General Counsel.
- 2Transfer to the Division of Corporate Finance: Office of the Chief Accountant, Office of Credit Ratings, and Office of Municipal Securities would move under the Division of Corporate Finance, with each reporting directly to the head of that division.
- 3Merge into Office of Public Affairs: Office of Legislative and Intergovernmental Affairs would be merged into the Office of Public Affairs, with the head of the merged office determined by the larger merged entity and reporting to the Chief of Staff.
- 4Transfer to the Office of the Investor Advocate: Office of Investor Education and Advocacy would move into the Office of the Investor Advocate, with its head reporting directly to the Investor Advocate.
- 5Regional office consolidation and future reorganizations: The SEC could consolidate its regional offices if appropriate, and while the act preserves authority to reorganize in the future, it allows such changes if deemed necessary for public interest or investor protection.