Senate Resolution 1 - Introduced

An Act 1urging the United States Congress and the
2President of the United States to enact legislation
3that would reinstate the separation of commercial
4and investment banking functions previously in
5effect under the federal Glass-Steagall Act.
6WHEREAS, an effective money and banking system is
7essential to the functioning of the United States
9WHEREAS, such a system must function in the public
10interest without any bias;and
11WHEREAS, since 1933, the federal Banking Act, also
12referred to as the Glass-Steagall Act, protected the
13public interest in matters dealing with the regulation
14of commercial and investment banking, in addition to
15insurance companies and securities;and
16WHEREAS, the Glass-Steagall Act was repealed
17in 1999, partially contributing to the greatest
18speculative bubble and worldwide recession since the
19Great Depression of 1933;and
20WHEREAS, the worldwide recession has left millions
21of homes in foreclosure and caused the loss of millions
22of jobs in the United States;and
23WHEREAS, the worldwide recession has put severe
24financial strain on states, counties, and cities,
25exacerbating unemployment and the loss of public
27WHEREAS, the United States Congress has been making
28efforts with bipartisan support to reinstate the
-1-1protections of the Glass-Steagall Act;and
2WHEREAS, Congresswoman Marcy Kaptur introduced H.R.
3381, known as the Return to Prudent Banking Act of
42015, and Senator Elizabeth Warren introduced S. 1709,
5known as the 21st Century Glass-Steagall Act of 2015,
6that would reinstate the separation between commercial
7banking and the securities business in the manner
8provided in the Glass-Steagall Act;and
9WHEREAS, resolutions demanding action to reinstate
10the protections of the Glass-Steagall Act have been
11introduced in many states since 2013;and
12WHEREAS, reinstatement of the protections of the
13Glass-Steagall Act has support from national labor
14organizations, economic and business leaders, and
15newspaper publications;NOW THEREFORE,
   16BE IT RESOLVED BY THE SENATE, That the Iowa Senate
17urges the United States Congress and the President
18of the United States to enact legislation that would
19reinstate the separation of commercial and investment
20banking functions in effect under the Glass-Steagall
21Act and that would prohibit commercial banks and
22bank holding companies from investing in stocks,
23underwriting securities, or investing in or acting
24as guarantors to derivative transactions, in order
25to prevent American taxpayers from being called upon
26to fund hundreds of billions of dollars to bail out
27financial institutions;and

   28BE IT FURTHER RESOLVED, That the Secretary of
29the Senate shall transmit certified copies of this
30Senate Resolution to the President of the United
-2-1States, the President of the United States Senate, the
2Speaker of the United States House of Representatives,
3United States Senator Elizabeth Warren, United States
4Representative Marcy Kaptur, and to the members of the
5Iowa congressional delegation.