August 1, 2007
hp-522

Asst Sec Nason Statement on House TRIA Bill

Washington- Treasury Assistant Secretary for Financial Institutions David G. Nason issued the following statement today regarding the House Financial Services Committee mark up of H.R. 2761 to extend the Terrorism Risk Insurance Act:

"The Administration has frequently stated the need for three critical elements in TRIA reauthorization: the program should remain temporary and short-term, with no expansion and a continued increase of private sector retention. Today's effort to extend TRIA does not meet these standards for an improved market and we strongly oppose this bill.

"We are particularly disappointed with the Committee's decision to extend the program for 15 additional years. This extension runs counter to the public policy goal of reducing and eventually eliminating the federal government's role in the terrorism insurance market, and it sends the wrong message to the marketplace for a program that was intended to be temporary.

"As the bill moves through the legislative process, the Administration looks forward to working with the Congress to pursue an improved TRIA."