According to various media sources summarizing the findings of a recently published “Progress Report,” as of April 1, 2014, of the 398 total rulemaking requirements under the Dodd-Frank Act, about 280 of those imposed specific deadlines. Of those 280 deadlines, 152 (54.3 percent) have finalized rules and 128 (45.7 percent) have been missed. An additional 44 do not yet even have proposals from the relevant regulators.
Among regulators, the Commodity Futures Trading Commission seems to have made the most progress on implementing Dodd-Frank, with 50 out of 60 rules finalized, and only 2 that are past the deadline without any proposal. The Securities and Exchange Commission has finalized just 42 out of 95 required rules, with 8 past deadline and without a proposal, while bank regulators as a group have finalized 69 out of 135 required rules and still have to make proposals on 11 rules that are past deadline.
To the extent that financial institutions don’t know the final form of the rules to which they are subject, there is a continued regulatory risk that they have to take into account when making strategic business decisions. Perhaps more importantly, until all of the rules under Dodd-Frank are in place, it is impossible to assess whether those rules may be able to avert the next financial crisis.
We continue to do all that we can to help our clients circumnavigate this inherent regulatory uncertainty. In that regard, on Tuesday we announced that former Commodity Futures Trading Commission Commissioner Bart Chilton has joined DLA Piper as a senior policy advisor in our Washington, DC office.
Commissioner Chilton’s 30-year career in government service includes working in the US Congress and serving in the executive branch during the Clinton, Bush and Obama Administrations. He has extensive experience in the development and debate of major public policy related to the financial services industry, including significant market and regulatory changes impacting the full spectrum of derivatives users.
Commissioner Chilton was nominated and confirmed as a CFTC Commissioner during the Bush and Obama Administrations (2007 and 2009), and he chaired the CFTC’s Energy and Environmental Markets Advisory and Global Markets Advisory committees. His tenure was marked by landmark efforts to assist industry participants with the myriad requirements under the Dodd-Frank Wall Street Reform and Consumer Protection Act, which created a complex regime for the regulation of the swaps marketplace.
We are confident that Bart’s addition will enhance the capabilities and visibility of our global financial services regulatory and swaps practices, as well as our access to other key decision-makers with regard to recent rulemaking. In addition to providing his unique insight on Dodd-Frank rulemaking, Bart will assist our cross-border team in navigating difficult issues surrounding equivalency with comparable regulations that are being enacted in other jurisdictions.
Commissioner Chilton is also the author of Ponzimonium: How Scam Artists Are Ripping Off America, a consumer education book published by the CFTC.