HR7085-119

What This Bill Does

This bill repeals subsection 13(p) of the Securities Exchange Act of 1934, the SEC conflict-minerals disclosure requirement. It also strikes section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act and removes the table-of-contents entry for that section.

The conflict-minerals rule requires certain public companies to disclose whether tin, tantalum, tungsten, or gold in their products may have originated in the Democratic Republic of the Congo or adjoining countries and to conduct related country-of-origin or due-diligence work. Repeal would end that federal disclosure obligation for covered SEC issuers.

Who Benefits and How

Public companies subject to conflict-minerals disclosure benefit because they would no longer need to prepare SEC conflict-minerals filings under section 13(p). Mineral supply-chain firms benefit from reduced customer pressure for Dodd-Frank due-diligence documentation. Manufacturers using covered minerals benefit if compliance costs and sourcing reviews decline. SEC disclosure staff benefit from no longer administering that rule. Some suppliers in covered mineral markets may benefit if buyers face less pressure to avoid conflict-linked sourcing.

Who Bears the Burden and How

Investors relying on conflict-minerals disclosures lose a standardized SEC source of supply-chain risk information. Watchdog organizations lose a disclosure hook for tracking conflict-linked mineral sourcing. Communities affected by conflict-linked mineral extraction may lose leverage created by public-company due-diligence pressure. Responsible-sourcing programs may face weaker demand if issuers no longer need Dodd-Frank disclosures. Consumers seeking conflict-mineral information may have fewer comparable public filings.

Key Provisions

• Repeals Securities Exchange Act section 13(p), the conflict-minerals disclosure provision.
• Repeals Dodd-Frank section 1502.
• Modifies the Dodd-Frank table of contents by removing the conflict-minerals item.
• Provides covered public companies relief from SEC conflict-minerals reporting and due-diligence obligations.
• Reduces the federal disclosure tools available to investors, watchdogs, and communities concerned about conflict-linked mineral sourcing.