Cleaver’s COUNTER Act Passes with Defense Authorization Bill (NDAA)

(Washington, D.C.) – Yesterday, the House of Representatives passed the Fiscal Year 2021 National Defense Authorization Act (FY21 NDAA) by a vote of 335-78. Included in this year’s NDAA was the Coordinating Oversight, Upgrading and Innovating Technology, and Examiner Reform Act (COUNTER Act), a bill introduced by United States Representative Emanuel Cleaver, II (D-MO) to update and overhaul the Bank Secrecy Act, which dictates banks’ responsibilities to help the government detect and root out illicit financial transactions from nefarious actors domestically and abroad. Congressman Cleaver voted in favor of the NDAA, which also authorizes a 3% pay raise for servicemembers, removes all names, symbols, displays, and monuments of the Confederate States of America from all military installations, and provides long-overdue health benefits for tens of thousands of Vietnam-era veterans who were exposed to Agent Orange.

“I’m thrilled we were able to garner the bipartisan support needed to keep the COUNTER Act in the NDAA conference report, and that the legislation will help bring our financial security infrastructure into the 21st century,” said Congressman Cleaver. “For far too long, our national security apparatus has been limited in its ability to combat money laundering from groups and individuals who seek to take advantage of our financial system’s outdated safeguards. With passage of the COUNTER Act and the FY21 NDAA, that should no longer be the case.”

“I am pleased to have secured the inclusion of Representative Cleaver’s COUNTER Act in the NDAA for FY 21. Representative Cleaver’s legislation represents the most significant improvements to the Bank Secrecy Act since September 11th,” said Chairwoman Maxine Waters. “This long-overdue effort to close loopholes, strengthen enforcement, enhance information sharing, and adapt to new technologies is essential to fighting financial crime. Representative Cleaver’s bill, combined with other provisions in the NDAA, will make a tangible difference in law enforcement’s ability to pursue bad actors who abuse our financial system. I thank him for his leadership on this important issue.”

The COUNTER Act would empower the U.S. Treasury Department to protect our national security and safeguard our financial systems by codifying an information-sharing program between law enforcement, financial institutions, and the Treasury Department, which will better ensure the detection and capture of illicit financial activity. In addition, the bill would close a number of loopholes that have long enabled financial crimes, positioning our national security apparatus to face the financial security challenges of tomorrow. Finally, the COUNTER Act will provide much-needed relief to small banks and credit unions by bringing outdated regulations weighing on smaller institutions into the 21st century while still reinforcing our national security.

Other noteworthy provisions advocated by Rep. Cleaver in the FY21 NDAA include:

• Authorizing a 3% pay raise for servicemembers;
• Providing a long sought after health benefit for tens of thousands of Vietnam-era veterans who were exposed to Agent Orange
• Removing all names, symbols, displays, monuments, and paraphernalia that honor or commemorate the Confederate States of America from all military installations;
• Extending paid parental leave to approximately 100,000 federal civilians who were inadvertently excluded in the FY20 NDAA, including employees at the VA, TSA, FAA, and more;
• Setting limits on the use of Defense Department emergency construction funds to prevent future Presidents from attempting to reallocate military construction accounts for projects which Congress has declined to appropriate funds;
• Creates a Chief Diversity Officer of the Department of Defense as well as a Senior Advisor for Diversity and Inclusion for each military service;
• Creating a Task Force on Domestic Violence and enabling victims of sexual harassment to make confidential reports outside the chain of command;
• Creation of an alternative fuel vehicle pilot program, which would require the Department of Defense to expand the use of hybrid and electric vehicles;
• Requiring the Department of Defense to submit a report on its greenhouse gas emissions from the last 10 years; and
• Requiring steps to ensure the Department of Defense’s consumption of fossil fuels is reduced by 30% in 25 years.

“Although no legislation of this magnitude is perfect, I’m proud to support this year’s NDAA because it supports our troops. This bill will provide the men and women who heroically serve our nation a long overdue pay raise; increases hazardous duty pay for those in harm’s way; grants critical benefits to Vietnam veterans suffering from illnesses following exposure to Agent Orange; gives additional protections to servicemembers who have faced sexual harassment; and ensures that the Defense Department is studying and taking steps to address the impact of climate change,” said Congressman Cleaver. “I’m proud of the bipartisanship and compromise that allowed for Congress to pass this critical legislation, and I’m hopeful we can now carry over that same spirit of bipartisanship to bring additional relief to the American people who continue to be rocked by the coronavirus crisis.”

The COUNTER Act was endorsed by the following organizations: the Conference of State Bank Supervisors, Bank Policy Institute, National Association of Federal-Insured Credit Unions, Credit Union National Association, Mid-Size Bank Coalition of America, Financial Accountability & Corporate Transparency Coalition, American Bankers Association, Consumer Bankers Association, One Campaign, Financial Services Forum National Association of Realtors, Institute for International Finance, American Land Title Association, and Bankers Association for Finance and Trade.

Emanuel Cleaver, II is the U.S. Representative for Missouri's Fifth Congressional District, which includes Kansas City, Independence, Lee's Summit, Raytown, Grandview, Sugar Creek, Blue Springs, Grain Valley, Oak Grove, North Kansas City, Gladstone, Claycomo, and all of Ray, Lafayette, and Saline Counties. He is a member of the exclusive House Financial Services Committee; Chairman of the House Subcommittee on National Security, International Development, and Monetary Policy; member of the Select Committee on the Modernization of Congress; member of the Committee on Homeland Security; and a Senior Whip of the Democratic Caucus. For more information, please contact Matt Helfant at 202-590-0175 or Matthew.Helfant@mail.house.gov A high-resolution photo of Congressman Cleaver is available here.