Proposal:Climate Change Financial Risk Act of 2021

This proposal is archived and closed to further debate. It was introduced in the 117th Congress, which has concluded, and the bill was not enacted into law.

Bill	S 1876
Type of Legislation	Senate Bill
Congress	117
Status	Archived — 117th Congress concluded
Source	View original on Congress.gov

Geographic Scope

National

Description

Climate Change Financial Risk Act of 2021

This bill addresses climate change risk and its potential impact on the financial system.

The Federal Reserve Board must develop financial risk analyses relating to climate change for specified large nonbank financial companies and bank holding companies. Specifically, these entities will be evaluated every two years on whether they have the capital necessary to absorb financial losses that would arise under several different climate change risk scenarios.

The bill also establishes the Climate Risk Scenario Technical Development Group to provide recommendations to the board regarding such climate change risk scenarios, and determine the financial and economic risks of these scenarios.

The Financial Stability Oversight Council of the Department of the Treasury must establish a committee to assist it in identifying risks and responding to threats to the financial system as a result of climate change.

Bill Title

Climate Change Financial Risk Act of 2021

Linked Goals

• Goal:Promote General Welfare

Steps

• 2021-05-27: Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
• 2021-05-27: Introduced in Senate

Projected Outcome

A more informed proposal or public response aligned with the Promote General Welfare goal.