Fostering the Use of Technology to Uphold Regulatory Effectiveness in Supervision Act
The House considered H.R. 8278, the FUTURES Act, which requires federal financial regulators (including the Federal Reserve, CFPB, FDIC, and others) to assess their own technology and procurement practices for supervising banks, and report to Congress every five years. Supporters from both parties, including Representatives De La Cruz, Stutzman, Foster, and Sherman, argued that banks are adopting new tools like artificial intelligence faster than their regulators are, so regulators need to review their systems and identify gaps. Stutzman noted banks already must review their technology and said regulators should meet the same standard. The bill passed by suspension of the rules with bipartisan support; no opposing arguments were recorded in the sampled statements.Written by AI from the debate. Updated .
“I want the House to pass this bill. It makes federal financial agencies review their technology and how they buy tech systems.”
“Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 8278) to require certain supervisory agencies to assess their technological capabilities, and for other purposes, as amended. The Clerk read the title of the bill. The text of the bill is as follows:”
Official Congressional Record
Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 8278) to require certain supervisory agencies to assess their technological capabilities, and for other purposes, as amended. The Clerk read the title of the bill. The text of the bill is as follows:
“I am adding the official cost estimate for this bill into the record.”
“Mr. Speaker, I include in the Record the CBO estimate for this bill. EFFECTIVENESS IN SUPERVISION ACT, AS REPORTED BY THE HOUSE COMMITTEE ON ------------------------------------------------------------------------ ------------------------------------------------------------------------ Direct Spending (Outlays)........... 0 1 1 Revenues............................ 0 * -1 Increase or Decrease (-) in the 0 1 2 Deficit............................ Spending Subject to Appropriation 0 1 ** (Outlays).......................... ------------------------------------------------------------------------ * = between -$500,000 and zero. ** = not estimated.”
Official Congressional Record
Mr. Speaker, I include in the Record the CBO estimate for this bill. EFFECTIVENESS IN SUPERVISION ACT, AS REPORTED BY THE HOUSE COMMITTEE ON ------------------------------------------------------------------------ ------------------------------------------------------------------------ Direct Spending (Outlays)........... 0 1 1 Revenues............................ 0 * -1 Increase or Decrease (-) in the 0 1 2 Deficit............................ Spending Subject to Appropriation 0 1 ** (Outlays).......................... ------------------------------------------------------------------------ * = between -$500,000 and zero. ** = not estimated.
“I want the House to pass this bill. Financial agencies need better technology to watch over banks. If they fall behind the technology banks use, our economy is at risk. This bill makes agencies check their tools, fix gaps, and hire the experts they need.”
“Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, today, I rise in support of H.R. 8278, the Fostering the Use of Technology to Uphold Regulatory Effectiveness in Supervision Act, or the FUTURES Act. This bipartisan, commonsense measure addresses a real challenge. As technology evolves at unprecedented speed and banks and financial firms adopt new tools, do our financial regulators have the technology and expertise they need to keep pace? I am proud to support the FUTURES Act, led by Representatives Marlin Stutzman and Bill Foster, which takes important steps toward modernizing our Federal financial regulatory agencies. The FUTURES Act provides Congress with a comprehensive view of the roadblocks hindering our supervisors’ ability to effectively regulate and supervise their financial institutions. It does so by providing Congress with a clear picture of the technology regulators currently use, where critical gaps exist, and what barriers stand in the way of closing those gaps. If our regulators and supervisors cannot keep pace with a constantly evolving market, there is a legitimate risk to both financial market stability and the broader economy. We must equip agencies with the tools they need to effectively oversee the ever-changing landscape of global finance. A crucial first step in doing so is to remove roadblocks, outdated agency practices, procurement barriers, and needless bureaucracy that slows the adoption of cutting-edge supervisory technology. The FUTURES Act would identify and address these roadblocks and help enable more effective, realtime oversight of markets and institutions. This is a critical step to create a more transparent and efficient supervisory environment for financial institutions and market participants of all sizes. The bill also takes a look at whether agencies can recruit, train, and retain the technical experts needed to meet their missions. Just as we hold our financial institutions to rigorous standards on cybersecurity and vendor oversight, we should equip our regulators to meet the same high bars. I look forward to the insights this bill will generate and how they will guide future engagement to improve supervision across the Federal financial system. I supported this bipartisan, commonsense bill last Congress and during our committee markup in May, and I am pleased to do so today. All of my colleagues at the Financial Services Committee supported this bill, and I urge the rest of my colleagues in the House to join us in passing this important bipartisan bill. Mr. Speaker, I thank Mr. Stutzman and Mr. Foster for their leadership, and I reserve the balance of my time.”
Official Congressional Record
Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, today, I rise in support of H.R. 8278, the Fostering the Use of Technology to Uphold Regulatory Effectiveness in Supervision Act, or the FUTURES Act. This bipartisan, commonsense measure addresses a real challenge. As technology evolves at unprecedented speed and banks and financial firms adopt new tools, do our financial regulators have the technology and expertise they need to keep pace? I am proud to support the FUTURES Act, led by Representatives Marlin Stutzman and Bill Foster, which takes important steps toward modernizing our Federal financial regulatory agencies. The FUTURES Act provides Congress with a comprehensive view of the roadblocks hindering our supervisors’ ability to effectively regulate and supervise their financial institutions. It does so by providing Congress with a clear picture of the technology regulators currently use, where critical gaps exist, and what barriers stand in the way of closing those gaps. If our regulators and supervisors cannot keep pace with a constantly evolving market, there is a legitimate risk to both financial market stability and the broader economy. We must equip agencies with the tools they need to effectively oversee the ever-changing landscape of global finance. A crucial first step in doing so is to remove roadblocks, outdated agency practices, procurement barriers, and needless bureaucracy that slows the adoption of cutting-edge supervisory technology. The FUTURES Act would identify and address these roadblocks and help enable more effective, realtime oversight of markets and institutions. This is a critical step to create a more transparent and efficient supervisory environment for financial institutions and market participants of all sizes. The bill also takes a look at whether agencies can recruit, train, and retain the technical experts needed to meet their missions. Just as we hold our financial institutions to rigorous standards on cybersecurity and vendor oversight, we should equip our regulators to meet the same high bars. I look forward to the insights this bill will generate and how they will guide future engagement to improve supervision across the Federal financial system. I supported this bipartisan, commonsense bill last Congress and during our committee markup in May, and I am pleased to do so today. All of my colleagues at the Financial Services Committee supported this bill, and I urge the rest of my colleagues in the House to join us in passing this important bipartisan bill. Mr. Speaker, I thank Mr. Stutzman and Mr. Foster for their leadership, and I reserve the balance of my time.
“I want the House to pass this bill. It requires federal bank regulators to review their technology every five years and fix any gaps. New technology like AI can make bank runs and fraud happen faster, so regulators need modern tools to keep up.”
“Mr. Speaker, I thank Representative Stutzman for his partnership on this legislation and my colleagues on the House Financial Services Committee for their unanimous support of the bipartisan FUTURES Act. The FUTURES Act takes important first steps to modernize the financial regulatory regime and ensures that regulators have appropriate tools for the 21st century. It requires Federal banking regulators and the Consumer Financial Protection Bureau to regularly review their technological systems and procurement practices to ensure that they are well-equipped to address emerging threats. Agencies will examine whether they have access to the right information when they need it and whether they have systems in place to identify rapidly emerging risk. The bill then asks regulators to develop a plan to address any technology gaps that they identify, requiring additional reviews every 5 years. As we saw with the bank failures in 2023, 24-hour banking tools and social media-fueled panic can intensify bank runs and increase the risk of contagion. Silicon Valley Bank’s depositors attempted to withdraw $42 billion from the bank in 24 hours, with more than $100 billion in additional withdrawals requested before it was shut down and put into receivership by the FDIC. This bill comes at a time when financial institutions and regulators are responding to new opportunities and challenges stemming from emerging technologies. Artificial intelligence and agentic commerce have great potential benefits for consumers and businesses, but they also have the potential to supercharge cybersecurity risk, contagion, and fraud, and can destabilize our financial system far more quickly than in years past. At the same time, these technologies provide tools that regulators and financial institutions can use to improve and simplify bank supervision, to identify suspicious activity, and to improve the quality of customer service. Maintenance of a well-regulated financial system requires continual investment in new tools, a workforce with the necessary technical skills, and streamlined procurement rules that allow regulators to keep up with rapid developments in the private sector. I support this forward-looking and bipartisan bill, and I encourage my colleagues to vote ``yes.’’”
Official Congressional Record
Mr. Speaker, I thank Representative Stutzman for his partnership on this legislation and my colleagues on the House Financial Services Committee for their unanimous support of the bipartisan FUTURES Act. The FUTURES Act takes important first steps to modernize the financial regulatory regime and ensures that regulators have appropriate tools for the 21st century. It requires Federal banking regulators and the Consumer Financial Protection Bureau to regularly review their technological systems and procurement practices to ensure that they are well-equipped to address emerging threats. Agencies will examine whether they have access to the right information when they need it and whether they have systems in place to identify rapidly emerging risk. The bill then asks regulators to develop a plan to address any technology gaps that they identify, requiring additional reviews every 5 years. As we saw with the bank failures in 2023, 24-hour banking tools and social media-fueled panic can intensify bank runs and increase the risk of contagion. Silicon Valley Bank’s depositors attempted to withdraw $42 billion from the bank in 24 hours, with more than $100 billion in additional withdrawals requested before it was shut down and put into receivership by the FDIC. This bill comes at a time when financial institutions and regulators are responding to new opportunities and challenges stemming from emerging technologies. Artificial intelligence and agentic commerce have great potential benefits for consumers and businesses, but they also have the potential to supercharge cybersecurity risk, contagion, and fraud, and can destabilize our financial system far more quickly than in years past. At the same time, these technologies provide tools that regulators and financial institutions can use to improve and simplify bank supervision, to identify suspicious activity, and to improve the quality of customer service. Maintenance of a well-regulated financial system requires continual investment in new tools, a workforce with the necessary technical skills, and streamlined procurement rules that allow regulators to keep up with rapid developments in the private sector. I support this forward-looking and bipartisan bill, and I encourage my colleagues to vote ``yes.’’
“I want the House to pass this bill. Banks use new tools like artificial intelligence, but their government regulators still rely on outdated computer systems. This bill requires financial regulators to review their technology and report to Congress on what they need to modernize. Banks already have to review their tech, and regulators should be held to the same standard.”
“Mr. Speaker, I thank the gentlewoman from Texas for yielding me time. Mr. Speaker, I also rise in support of my bill, H.R. 8278. Across the country, banks and credit unions are using innovative technology to deliver better products and services for their customers. For example, banks in Northeast Indiana are using tools like artificial intelligence and real-time data analytics to spot fraud faster, better manage risk, and enhance the banking experience for Hoosiers. But too often, the regulators charged with overseeing and supervising these institutions still rely on outdated IT infrastructure from a predigital era. This gap poses significant risks not just for our financial markets but for the entire economy. As our banks and credit unions continue to innovate at a record pace, our regulators must have the tools to keep up. That is where the FUTURES Act comes in. My bill requires Federal bank and credit union regulators to assess the technology systems they use for supervision, evaluate their procurement practices, and report to Congress on where they are struggling and how they can improve. Put simply, we can’t help our regulators modernize their technology for the digital age if we don’t know the challenges that they face. Whether it is talent gaps, procurement barriers, or technological blind spots, Congress needs to understand the red tape that is keeping government in the past while the financial system races into the future. In fact, we already require this kind of information from the institutions our regulators supervise. Banks and credit unions must undergo quarterly technology reviews, internal testing, and rigorous due diligence on every vendor that they use. It is only fair that we hold their regulators to the same standard. The FUTURES Act is a straightforward, commonsense, and bipartisan step to address the critical technology challenges facing our regulators. This legislation was advanced unanimously by the House Committee on Financial Services, sending a clear message that both Republicans and Democrats recognize that supervision must keep pace with innovation. I am grateful to my colleague across the aisle, Bill Foster, for co- leading this legislation with me. I also thank Chairman Hill and Chairman Steil for their continued support of this measure, as well as thanking the full committee. Mr. Speaker, I urge my colleagues to support this bill.”
Official Congressional Record
Mr. Speaker, I thank the gentlewoman from Texas for yielding me time. Mr. Speaker, I also rise in support of my bill, H.R. 8278. Across the country, banks and credit unions are using innovative technology to deliver better products and services for their customers. For example, banks in Northeast Indiana are using tools like artificial intelligence and real-time data analytics to spot fraud faster, better manage risk, and enhance the banking experience for Hoosiers. But too often, the regulators charged with overseeing and supervising these institutions still rely on outdated IT infrastructure from a predigital era. This gap poses significant risks not just for our financial markets but for the entire economy. As our banks and credit unions continue to innovate at a record pace, our regulators must have the tools to keep up. That is where the FUTURES Act comes in. My bill requires Federal bank and credit union regulators to assess the technology systems they use for supervision, evaluate their procurement practices, and report to Congress on where they are struggling and how they can improve. Put simply, we can’t help our regulators modernize their technology for the digital age if we don’t know the challenges that they face. Whether it is talent gaps, procurement barriers, or technological blind spots, Congress needs to understand the red tape that is keeping government in the past while the financial system races into the future. In fact, we already require this kind of information from the institutions our regulators supervise. Banks and credit unions must undergo quarterly technology reviews, internal testing, and rigorous due diligence on every vendor that they use. It is only fair that we hold their regulators to the same standard. The FUTURES Act is a straightforward, commonsense, and bipartisan step to address the critical technology challenges facing our regulators. This legislation was advanced unanimously by the House Committee on Financial Services, sending a clear message that both Republicans and Democrats recognize that supervision must keep pace with innovation. I am grateful to my colleague across the aisle, Bill Foster, for co- leading this legislation with me. I also thank Chairman Hill and Chairman Steil for their continued support of this measure, as well as thanking the full committee. Mr. Speaker, I urge my colleagues to support this bill.
“I want the House to pass this bill. It requires banking regulators to study their technology and report back to Congress. Regulators need better tools to oversee how banks use artificial intelligence, stop bad actors from attacking banks, and make sure banks follow laws that ban discrimination.”
“Mr. Speaker, I yield myself such time as I may consume. I rise in support of H.R. 8278, the Fostering the Use of Technology to Uphold Regulatory Effectiveness in Supervision Act, as amended, authored by Representative Stutzman. I particularly note that this bill starts with the word ``fostering,’’ and so it is appropriate that it is co-led by the gentleman from Illinois (Mr. Foster). Who else could do a better job of fostering than Mr. Foster? This bill represents an important step in allowing Congress to better understand the technological vulnerabilities our banking regulators face. They come in at least two categories. One is to understand how banks are using AI and to make sure that banks are complying with all of our consumer protection and prudential standards. The second is to make sure that our regulators are in a position to make sure the banks are able to prevent themselves from being hit by malicious actors who could imperil consumers or, even more, the prudential solvency of the bank. It is better for Congress to understand the technological vulnerabilities that bankers face. This bill requires the Federal banking agencies to assess and to report to Congress on gaps and vulnerabilities in their supervisory tools and their procurement processes. As AI tools continue to be deployed by financial institutions, we have to be able to make sure that our regulators understand what the banks are doing. While malicious actors are beginning to use AI, it is important for our regulators to know the threats that that could pose to our banking system. Concerns have increased about the speed and scale of AI threats to the financial system and, as Mr. Foster pointed out, the particular threat of accelerating the speed of a run on a particular bank. Requiring regulators to meet emerging risks by utilizing their own technology to support their supervisory rulemaking and enforcement activities is an important step. This is known as supervisory technology and can include both AI, as well as cloud-based services and other technologies. Supervisory technology is used by agencies with the goal of improving their supervision process, while ensuring firms comply with regulatory requirements. Importantly, this bill requires Federal banking agencies to assess the procurement process rules for new technology they may need to acquire. Now, under the Trump administration, AI has been politicized, which has created challenges for consistent procurement practices. For example, on July 23, 2025, an executive order directed agencies not to procure AI models that contain AI outputs driven by ideologies like diversity, equality, and inclusion. This is a dangerous approach which ignores the well-documented harms from algorithmic bias in housing and financial services, the workforce, and criminal justice. It also appears to contradict our existing laws. When the government agencies do their enforcement, they need to enforce all of our laws. When they use AI, they need to enforce all of the laws that apply to banking institutions. That includes the laws that prohibit discrimination, and those are just as important as any of the other laws that our bank supervisors might be called upon to enforce. The AI technology that they acquire should be applicable to enforcing those laws as well as the others. Since this bill was proposed last Congress, many of the challenges we are facing with AI are now much more apparent. It seems as though every day the news and warnings about AI becomes more dire. This bill will help Congress to better ensure that our Federal banking agencies are able to keep up with the challenges they face. But let us remember, this bill is based on last decade’s big issue--how AI could be used by human beings in a way that is harmful and how AI could be used by human beings in a way that promotes the enforcement of our law, but in any case, how AI is a tool in the hands of humans beings. Now, what has exploded into our consciousness is a second issue this bill doesn’t and wasn’t intended to deal with, and that should not be ignored by Congress. That is what happens if AI isn’t being used by human beings to achieve a human purpose but instead develops its own self-awareness, its own goals? It pains me that this Congress is leaving town at the end of this week, leaving town on Thursday, when we should be spending at least the next 2 weeks focused on what our national response is to being told that AI may not just be a tool in the hands of good and bad people, used well and perhaps not so well, but maybe something we haven’t confronted before; and that is, in effect, a new and powerful self- directed intelligence. Mr. Speaker, I look forward to working on those issues. For now, we ought to pass this bill. I urge my colleagues to support it, and I reserve the balance of my time.”
Official Congressional Record
Mr. Speaker, I yield myself such time as I may consume. I rise in support of H.R. 8278, the Fostering the Use of Technology to Uphold Regulatory Effectiveness in Supervision Act, as amended, authored by Representative Stutzman. I particularly note that this bill starts with the word ``fostering,’’ and so it is appropriate that it is co-led by the gentleman from Illinois (Mr. Foster). Who else could do a better job of fostering than Mr. Foster? This bill represents an important step in allowing Congress to better understand the technological vulnerabilities our banking regulators face. They come in at least two categories. One is to understand how banks are using AI and to make sure that banks are complying with all of our consumer protection and prudential standards. The second is to make sure that our regulators are in a position to make sure the banks are able to prevent themselves from being hit by malicious actors who could imperil consumers or, even more, the prudential solvency of the bank. It is better for Congress to understand the technological vulnerabilities that bankers face. This bill requires the Federal banking agencies to assess and to report to Congress on gaps and vulnerabilities in their supervisory tools and their procurement processes. As AI tools continue to be deployed by financial institutions, we have to be able to make sure that our regulators understand what the banks are doing. While malicious actors are beginning to use AI, it is important for our regulators to know the threats that that could pose to our banking system. Concerns have increased about the speed and scale of AI threats to the financial system and, as Mr. Foster pointed out, the particular threat of accelerating the speed of a run on a particular bank. Requiring regulators to meet emerging risks by utilizing their own technology to support their supervisory rulemaking and enforcement activities is an important step. This is known as supervisory technology and can include both AI, as well as cloud-based services and other technologies. Supervisory technology is used by agencies with the goal of improving their supervision process, while ensuring firms comply with regulatory requirements. Importantly, this bill requires Federal banking agencies to assess the procurement process rules for new technology they may need to acquire. Now, under the Trump administration, AI has been politicized, which has created challenges for consistent procurement practices. For example, on July 23, 2025, an executive order directed agencies not to procure AI models that contain AI outputs driven by ideologies like diversity, equality, and inclusion. This is a dangerous approach which ignores the well-documented harms from algorithmic bias in housing and financial services, the workforce, and criminal justice. It also appears to contradict our existing laws. When the government agencies do their enforcement, they need to enforce all of our laws. When they use AI, they need to enforce all of the laws that apply to banking institutions. That includes the laws that prohibit discrimination, and those are just as important as any of the other laws that our bank supervisors might be called upon to enforce. The AI technology that they acquire should be applicable to enforcing those laws as well as the others. Since this bill was proposed last Congress, many of the challenges we are facing with AI are now much more apparent. It seems as though every day the news and warnings about AI becomes more dire. This bill will help Congress to better ensure that our Federal banking agencies are able to keep up with the challenges they face. But let us remember, this bill is based on last decade’s big issue--how AI could be used by human beings in a way that is harmful and how AI could be used by human beings in a way that promotes the enforcement of our law, but in any case, how AI is a tool in the hands of humans beings. Now, what has exploded into our consciousness is a second issue this bill doesn’t and wasn’t intended to deal with, and that should not be ignored by Congress. That is what happens if AI isn’t being used by human beings to achieve a human purpose but instead develops its own self-awareness, its own goals? It pains me that this Congress is leaving town at the end of this week, leaving town on Thursday, when we should be spending at least the next 2 weeks focused on what our national response is to being told that AI may not just be a tool in the hands of good and bad people, used well and perhaps not so well, but maybe something we haven’t confronted before; and that is, in effect, a new and powerful self- directed intelligence. Mr. Speaker, I look forward to working on those issues. For now, we ought to pass this bill. I urge my colleagues to support it, and I reserve the balance of my time.
“I want the House to pass this bill. It makes banking agencies report to Congress on gaps in their technology. This will help regulators keep up with new risks, like artificial intelligence and unfair computer bias in housing and finance.”
“Mr. Speaker, I yield myself the balance of my time. Mr. Speaker, H.R. 8278 is an important step to allowing Congress to better understand the technological vulnerabilities of our banking system and what is faced by our bank regulators. Requiring Federal banking agencies to assess and report to Congress on gaps and vulnerabilities in their supervisory tools and their procurement process would further efforts by our regulators to meet emerging risks. Additionally, this bill will allow Federal banking regulators to evaluate and report on the impact of the Trump administration’s executive orders, which, unfortunately, ignore well-documented harms from algorithmic bias in housing and financial services. Ultimately, Congress would use the reporting from this bill to ensure that our banking agencies are able to keep up with the challenges that they face, including rapidly developing AI capacities and the need to make sure that our bank regulators are appropriately using AI to enforce all of our banking laws, including those that prevent discrimination. Mr. Speaker, I urge my colleagues to support this bill, and I yield back the balance of my time.”
Official Congressional Record
Mr. Speaker, I yield myself the balance of my time. Mr. Speaker, H.R. 8278 is an important step to allowing Congress to better understand the technological vulnerabilities of our banking system and what is faced by our bank regulators. Requiring Federal banking agencies to assess and report to Congress on gaps and vulnerabilities in their supervisory tools and their procurement process would further efforts by our regulators to meet emerging risks. Additionally, this bill will allow Federal banking regulators to evaluate and report on the impact of the Trump administration’s executive orders, which, unfortunately, ignore well-documented harms from algorithmic bias in housing and financial services. Ultimately, Congress would use the reporting from this bill to ensure that our banking agencies are able to keep up with the challenges that they face, including rapidly developing AI capacities and the need to make sure that our bank regulators are appropriately using AI to enforce all of our banking laws, including those that prevent discrimination. Mr. Speaker, I urge my colleagues to support this bill, and I yield back the balance of my time.
“Mr. Speaker, I yield myself the balance of my time. Mr. Speaker, for the reasons I explained earlier, I urge my colleagues to support this bill, and I yield back the balance of my time. The SPEAKER pro tempore (Mr. Simpson). The question is on the motion offered by the gentlewoman from Texas (Ms. De La Cruz) that the House suspend the rules and pass the bill, H.R. 8278, as amended. The question was taken.”
Mr. Speaker, I yield myself the balance of my time. Mr. Speaker, for the reasons I explained earlier, I urge my colleagues to support this bill, and I yield back the balance of my time. The SPEAKER pro tempore (Mr. Simpson). The question is on the motion offered by the gentlewoman from Texas (Ms. De La Cruz) that the House suspend the rules and pass the bill, H.R. 8278, as amended. The question was taken.
