Rep. Young Kim Questions Treasury Sec. Besson on Tariffs, Financial Stability, and Financial Literacy

Concerns Over Tariff Impacts on Small Businesses

• 📌 Representative Young Kim highlighted that the ports of LA and Long Beach are experiencing a significant drop in cargo volume, potentially impacting families and small businesses.
• ⚠️ Kim expressed concern that long-term tariffs could lead to price hikes and a lack of certainty for American working families and small businesses.
• 🎯 Secretary Besson responded that the administration believes tariffs, as part of a broader economic policy including taxes and deregulation, will drive long-term economic growth.

Financial Stability Oversight Council (FSOC) Guidance

• ⚖️ Kim questioned whether FSOC intends to reassess its 2023 guidance on non-bank systematically important financial institutions to align with an activity-based standard and cost-benefit analysis.
• ✅ Secretary Besson confirmed that reassessing the guidance is on FSOC's agenda.

Support for CDFI Fund and Financial Literacy

• 💰 Kim urged continued support for the Community Development Financial Institutions (CDFI) Fund, emphasizing its critical role in promoting local economies.
• 🤝 Besson stated that CDFIs can be important institutions if they adhere to statutory obligations and avoid ideological digressions.
• 📚 Kim stressed the importance of financial literacy as the path to economic independence and suggested encouraging states to implement financial literacy standards for students.