H.R. 3116: American Sovereign Wealth Fund Exploration Act

This bill, known as the American Sovereign Wealth Fund Exploration Act, proposes the establishment of a commission to explore the creation of a national sovereign wealth fund in the United States. Here’s a breakdown of what the bill entails:

Commission Establishment

Within 90 days after the bill becomes law, the Chair of the Federal Reserve is required to create a commission called the "Commission on Exploring the Creation of a Sovereign Wealth Fund of the United States." This commission will study and provide recommendations to Congress regarding the potential creation of a sovereign wealth fund, which is essentially a government-owned investment fund that could manage financial assets and generate revenue for the country.

Commission Composition

The commission will consist of members from various federal entities and experts in relevant fields:

• 6 representatives from the Board of Governors of the Federal Reserve System or a Federal reserve bank.
• 3 representatives from the Department of the Treasury.
• 3 representatives from the Securities and Exchange Commission.
• 2 representatives from the Department of Commerce.
• 1 representative from the Office of the United States Trade Representative.
• 10 representatives from academia or experts in economics and related fields.

Meetings and Operations

The commission is required to meet at least once every three months and can establish subcommittees if needed. Members will also elect a Chairperson to lead the commission.

Investigation Focus

The commission’s primary task will include conducting an investigation into several key areas related to the potential sovereign wealth fund:

• Feasibility and implications of creating and operating the fund.
• Potential sources of revenue, such as natural resources, government assets, royalties, taxes, tariffs, and other means.
• Types of assets the fund would hold, such as equities, real estate, infrastructure, and cash reserves.
• Usage of the fund's revenues for various national interests, including public programs, investments, and infrastructure development.
• Management and operational strategies for the fund, focusing on governance, legal frameworks, and transparency.
• Projected outcomes and implications of the fund on the U.S. economy, including fiscal balance, currency stability, and social equity.

Powers of the Commission

The commission will have the authority to conduct hearings, gather testimony, employ temporary experts, and procure any necessary services to fulfill its investigation effectively.

Reporting Requirements

Within two years of its first meeting, the commission must submit a report that includes:

• Findings from their investigation.
• Recommendations for legislative action based on those findings.
• Any dissenting opinions from commission members.

Relevant Companies

None found