Bill Overview
Title: Combating Terrorist and Other Illicit Financing Act
Description: This bill revises provisions related to the National Strategy for Combating Terrorist and Other Illicit Financing developed by the Department of the Treasury. Currently, the strategy must be published through 2022. The bill requires the strategy to be published in 2024 and 2026. The bill also revises how Treasury evaluates existing efforts as part of the strategy. Additionally, tribal and territorial entities must be (1) eligible for grant programs to combat financial crime, and (2) included in efforts to combat illicit finance.
Sponsors: Del. San Nicolas, Michael F. Q. [D-GU-At Large]
Target Audience
Population: Individuals and organizations globally involved or impacted by financial regulations to combat terrorism and illicit acts
Estimated Size: 331000000
- The bill impacts efforts related to combating terrorist and illicit financing, so it will affect individuals and organizations involved in banking, finance, and money transmission sectors.
- Entities that may experience increased regulatory compliance and scrutiny due to this bill include banks, credit unions, and other financial institutions worldwide.
- Tribal and territorial entities will be specifically impacted as they are now eligible for certain grant programs under this bill.
- Populations in regions where terrorist and illicit financial activities are identified will be indirectly affected as financial measures are applied.
Reasoning
- The legislation focuses on financial crime and anti-terrorist financing, which means it primarily affects financial sectors and tribal/territorial entities with increased funding and regulatory support.
- Major impacts will be on regulatory compliance costs for financial institutions, potential improvements in financial sector security, and direct benefits for tribal and territorial entities through new grant access.
- A broad section of the U.S. population might experience indirect effects as these institutions pass on costs or alter banking practices.
- Native American tribes and U.S. territories will see more direct engagement from federal programs, potentially boosting local economies or services via grants.
- In terms of global impacts, the policy could contribute to broader international efforts in tracking and combating illicit financial flows.
Simulated Interviews
Bank Compliance Officer (New York, NY)
Age: 55 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 4/20
Statement of Opinion:
- The policy seems necessary to curb growing threats of illicit financing.
- Increased compliance might strain resources, but it's crucial for security.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 5 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 7 | 5 |
| Year 20 | 6 | 5 |
Finance Analyst (Los Angeles, CA)
Age: 38 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 6/20
Statement of Opinion:
- I appreciate new safeguards against illicit financial flows.
- There may be increased workload in monitoring compliance, but it aligns with ethical financial practices.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 8 | 5 |
Credit Union Manager (Phoenix, AZ)
Age: 47 | Gender: other
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 3/20
Statement of Opinion:
- Inclusion in grant programs is a positive move for our community.
- Managing new regulations might be a challenge, but the benefits could outweigh the costs.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 8 | 5 |
| Year 5 | 8 | 5 |
| Year 10 | 8 | 5 |
| Year 20 | 8 | 5 |
Retired FBI Agent (Chicago, IL)
Age: 62 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 5/20
Statement of Opinion:
- The continuation of such efforts is vital to national security.
- I worry about how agencies will balance new strategies with existing capabilities.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 6 |
| Year 3 | 8 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 7 | 6 |
Tribal Liaison Officer (Tulsa, OK)
Age: 29 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 4/20
Statement of Opinion:
- This policy could enable significant advancements in our community.
- Proper implementation is key, but it promises positive change.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 6 |
| Year 3 | 8 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 9 | 6 |
| Year 20 | 8 | 6 |
Government Policy Advisor (Washington, DC)
Age: 44 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 2/20
Statement of Opinion:
- Continuous updates to the strategy are necessary for effectiveness.
- Budget constraints may limit long-term potential of these changes.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 6 | 6 |
Small Business Owner (Miami, FL)
Age: 53 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 12/20
Statement of Opinion:
- Additional regulations might increase operational costs for small businesses.
- Ensuring security in financial transactions is essential, but support is needed.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 5 | 5 |
| Year 3 | 5 | 5 |
| Year 5 | 5 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
Fintech Start-Up Employee (Portland, OR)
Age: 25 | Gender: other
Wellbeing Before Policy: 8
Duration of Impact: 3.0 years
Commonness: 7/20
Statement of Opinion:
- Regulations like this could hinder innovation if not carefully considered.
- It's crucial to strike a balance between safety and fostering growth.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 7 | 8 |
| Year 3 | 7 | 8 |
| Year 5 | 7 | 8 |
| Year 10 | 7 | 8 |
| Year 20 | 6 | 7 |
Financial Crimes Investigator (Dallas, TX)
Age: 45 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 8.0 years
Commonness: 4/20
Statement of Opinion:
- Enhanced strategies and cooperation are crucial for effective financial crime prevention.
- We need sustained commitment and resources to see genuine impact.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 8 | 5 |
Territorial Government Official (Anchorage, AK)
Age: 52 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 3/20
Statement of Opinion:
- New grant programs could fuel significant regional development.
- Execution needs careful planning to ensure benefits reach intended targets.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 8 | 5 |
| Year 5 | 8 | 5 |
| Year 10 | 8 | 5 |
| Year 20 | 8 | 5 |
Cost Estimates
Year 1: $150000000 (Low: $100000000, High: $200000000)
Year 2: $150000000 (Low: $100000000, High: $200000000)
Year 3: $0 (Low: $0, High: $0)
Year 5: $0 (Low: $0, High: $0)
Year 10: $0 (Low: $0, High: $0)
Year 100: $0 (Low: $0, High: $0)
Key Considerations
- The cost of implementing new evaluation and reporting methods within the Treasury.
- The effectiveness of financial grants to tribal and territorial entities in preventing crime.
- Ability of financial institutions to adapt to revised compliance requirements without significant disruptions.