Congressional House leaders passed a proposed six-year extension of the federal program to insure property against the risk of terrorism (TRIA), including a Republican proposal to revise the Dodd-Frank Act. The measure passed the House late yesterday but has not been accepted by the Senate. House Financial Services Committee Chairman Jeb Hensarling and Democratic Senator Charles Schumer of New York agreed to increase a threshold so government reimbursement wouldn’t begin until a property owner’s losses reach $200 million, up from $100 million under the current program. Hensarling, a Texas Republican, added to the measure a provision to change the 2010 Dodd-Frank financial-services law. It would free agricultural and energy companies from having to post collateral for swaps that are traded directly with banks and not guaranteed at a third-party clearinghouse. Democratic leadership has warned that added “extraneous” material to TRIA is delaying its passage. TRIA is expected to take a backseat today as the deadline for a federal spending bill to stop another government shutdown fast approaches.
Read Louisiana Comp Blog’s analysis of TRIA and its effect on workers’ comp here.