What This Bill Does
This bill prevents the Securities and Exchange Commission (a federal agency that oversees stock markets and investments) from requiring companies to disclose greenhouse gas emissions from upstream or downstream activities connected to agricultural products. The bill applies specifically to emissions produced during the growing, making or harvesting of agricultural goods.
Who It Affects
Agricultural companies and businesses in the agricultural supply chain that issue stocks or securities (ownership shares sold to investors). The Securities and Exchange Commission.
Key Provisions
The Securities and Exchange Commission may not require companies to disclose greenhouse gas emissions from upstream activities (initial stages of producing a good or service) or downstream activities (processing materials into a finished product and delivering it to customers) connected to agricultural products (Sec. 2).
Section 36 of the Securities Exchange Act (a rule that allows the commission to exempt companies from certain requirements) does not apply to this prohibition (Sec. 2).
The bill defines greenhouse gas as carbon dioxide, methane, nitrous oxide, nitrogen trifluoride, hydrofluorocarbons, perfluorocarbons or sulfur hexafluoride (Sec. 2).
What Changes
If this becomes law, the Securities and Exchange Commission loses the power to force agricultural companies to publicly report greenhouse gas emissions connected to their products.
Important Definitions
Upstream activities: initial stages of producing a good or service. Downstream activities: processing materials into a finished product and delivering it to customers.
I
118TH CONGRESS
1ST SESSION H. R. 1018
To amend the Securities Exchange Act of 1934 to prohibit the Securities
and Exchange Commission from requiring an issuer to disclose informa-
tion related to certain greenhouse gas emissions, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY 14, 2023
Mr. LUCAS (for himself, Mrs. BICE, Mr. ALLEN, Mr. KELLY of Pennsylvania,
Ms. TENNEY, Mr. AUSTIN SCOTT of Georgia, Mr. FEENSTRA, Mr.
POSEY, Mr. NEWHOUSE, Mr. COLE, Mr. MCCLINTOCK, Mr. MOORE of
Alabama, Mr. CRAWFORD, Mr. MANN, Mr. JOHNSON of Ohio, Mr. JOHN-
SON of South Dakota, Mr. KUSTOFF, Mr. MOOLENAAR, Mr. ELLZEY, Mr.
LAMALFA, Mrs. MILLER-MEEKS, Mrs. MCCLAIN, Mr. HIGGINS of Lou-
isiana, Mr. MEUSER, Mr. FERGUSON, Mr. ESTES, Mr. GRAVES of Mis-
souri, Mr. FINSTAD, Mr. SMITH of Nebraska, Ms. LETLOW, Mr. BARR,
Mrs. HINSON, Mr. DUNN of Florida, Mr. WESTERMAN, Mr. FLOOD, Mr.
CAREY, Mr. NUNN of Iowa, Mr. COMER, Mr. LATURNER, Mr. PFLUGER,
Mr. WEBER of Texas, Mr. JOHNSON of Louisiana, Mr. FULCHER, Mr.
STEWART, Mr. WALBERG, Mr. LAMBORN, Mr. HUDSON, Mr. CARTER of
Georgia, Mr. EMMER, Mr. GUEST, Mr. BAIRD, Mr. CARL, Mr. PENCE,
Mr. STEUBE, Ms. HAGEMAN, and Mr. BISHOP of North Carolina) intro-
duced the following bill; which was referred to the Committee on Finan-
cial Services
A BILL
To amend the Securities Exchange Act of 1934 to prohibit
the Securities and Exchange Commission from requiring
an issuer to disclose information related to certain green-
house gas emissions, and for other purposes.
VerDate Sep 11 2014
07:18 Mar 07, 2023
Jkt 039200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6652
E:\BILLS\H1018.IH
H1018
kjohnson on DSK79L0C42PROD with BILLS
2
•HR 1018 IH
Be it enacted by the Senate and House of Representa-
1
tives of the United States of America in Congress assembled,
2
SECTION 1. SHORT TITLE.
3
This Act may be cited as the ‘‘Protect Farmers from
4
the SEC Act’’.
5
SEC. 2. PROHIBITION ON REQUIRING AN ISSUER TO DIS-
6
CLOSE INFORMATION RELATED TO CERTAIN
7
GREENHOUSE GAS EMISSIONS.
8
Section 23 of the Securities Exchange Act of 1934
9
(15 U.S.C. 78w) is amended by adding at the end the fol-
10
lowing:
11
‘‘(e) PROHIBITION ON REQUIRING AN ISSUER TO
12
DISCLOSE INFORMATION RELATED TO CERTAIN GREEN-
13
HOUSE GAS EMISSIONS.—
14
‘‘(1) IN GENERAL.—The Commission may not
15
require an issuer to disclose greenhouse gas emis-
16
sions from upstream or downstream activities in the
17
issuer’s value chain from the production, manufac-
18
turing, or harvesting of an agricultural product, as
19
defined in section 207 of the Agricultural Marketing
20
Act of 1946 (7 U.S.C. 1626).
21
‘‘(2) NONAPPLICABILITY
OF
EXEMPTIVE
AU-
22
THORITY.—Section 36 shall not apply to this sub-
23
section.
24
‘‘(3) DEFINITIONS.—In this subsection:
25
VerDate Sep 11 2014
07:18 Mar 07, 2023
Jkt 039200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H1018.IH
H1018
kjohnson on DSK79L0C42PROD with BILLS
3
•HR 1018 IH
‘‘(A)
DOWNSTREAM
ACTIVITIES.—The
1
term ‘downstream activities’ include activities
2
that relate to processing materials into a fin-
3
ished product and delivering it or providing a
4
service to the end user.
5
‘‘(B)
GREENHOUSE
GAS.—The
term
6
‘greenhouse gas’ means—
7
‘‘(i) carbon dioxide;
8
‘‘(ii) methane;
9
‘‘(iii) nitrous oxide;
10
‘‘(iv) nitrogen trifluoride;
11
‘‘(v) hydrofluorocarbons;
12
‘‘(vi) perfluorocarbons; or
13
‘‘(vii) sulfur hexafluoride.
14
‘‘(C) UPSTREAM
ACTIVITIES.—The term
15
‘upstream activities’ include activities that re-
16
late to the initial stages of producing a good or
17
service.’’.
18
Æ
VerDate Sep 11 2014
07:18 Mar 07, 2023
Jkt 039200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6301
E:\BILLS\H1018.IH
H1018
kjohnson on DSK79L0C42PROD with BILLS