Senators Tim Scott (R-South Carolina), John Boozman (R-Arkansas), Kevin Cramer (R-North Dakota), Pete Ricketts (R-Nebraska), Steve Daines (R-Montana), Jerry Moran (R-Kansas), Bill Hagerty (R-Tennessee), Katie Britt (R-Alabama), John Kennedy (R-Louisiana), Congressman French Hill (Arkansas-02), Congressman John Rose (Tennessee-06), Congressman Steve Womack (Arkansas-03), and Congressman Alex Mooney (West Virginia-02) co-signed the letter. 

In part, the lawmakers wrote:

“As members of Congress and Amici Curiae in these cases, we have a vested interest in ensuring that the Commission adheres to its statutory authority. The CAT poses profound risks to Americans' individual liberty and personal privacy. Moreover, if a significant new tax is levied on American investors, the Courts must be afforded an opportunity to conduct a fair and impartial review.”

Full text of the letter can be found here and below.

September 20, 2024

 Chair Gensler,

We write to express our concerns that the Securities and Exchange Commission (the "Commission") has not suspended the most recent immediately effective rule filings to establish fees related to the Consolidated Audit Trail ("CAT"). As you are aware, the legality of the funding model underpinning these filings as well as the CAT itself are being reviewed in the Fifth and Eleventh Circuit Court of Appeals.'

As members of Congress and Amici Curiae in these cases, we have a vested interest in ensuring that the Commission adheres to its statutory authority. The CAT poses profound risks to Americans' individual liberty and personal privacy. Moreover, fi a significant new tax is levied on American investors, the Courts must be afforded an opportunity to conduct a fair and impartial review.

The Commission has allowed the withdrawal of suspended fee filings, followed by the refiling of nearly identical ones, which effectively overrides its previous suspension and enables the immediate imposition of CAT fees with minimal notice to the industry. The Commission must suspend the CAT fees in order to allow market participants the opportunity to comment on these filings and to allow the legality of the entire CAT structure to be reviewed through the judicial process.

Thank you for your prompt attention to this matter.

Sincerely,