Contact Congress about S. 3055: Corporate Governance Fairness Act

The Corporate Governance Fairness Act would make proxy advisory firms register with the SEC as investment advisers, subjecting them to regular inspections and conflict-of-interest rules. Small firms under $5 million in revenue are exempt. The SEC must report to Congress on whether these protections are working.

Modern Action explains legislation in plain English, helps you choose whether to support, oppose, or ask for changes, and drafts a message tied to the bill, your stance, and the elected officials who can act on it.

Corporate Governance Fairness Act is a Senate bill in committee. The latest recorded action: Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. (Sponsor introductory remarks on measure: CR S7731-7732).

Latest action on S. 3055: Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. (Sponsor introductory remarks on measure: CR S7731-7732)

Who this affects: This bill directly impacts proxy advisory firms like ISS and Glass Lewis, which advise institutional investors on how to vote their shares. It also affects the pension funds, mutual funds, and asset managers that rely on this advice to make voting decisions. Publicly traded companies whose governance decisions are influenced by proxy recommendations could see changes in how that advice is produced and vetted.

Why this matters: Proxy advisory firms have enormous influence over how trillions of dollars in shares get voted at corporate meetings, yet they currently operate without the same oversight as other financial advisers. This bill would bring them under a clear federal regulatory framework, potentially improving the accuracy and reliability of the advice investors receive. However, critics worry the added costs could reduce competition and that government oversight could influence the independence of proxy recommendations.

Key provisions in S. 3055

• Defines a 'proxy advisory firm' as a business that gives investors proxy voting research, analysis, ratings, or recommendations tailored to their specific needs or guidelines.
• Exempts firms (and their affiliates) making $5 million or less per year from clients, adjusted annually for GDP changes, unless they choose to opt in.
• Makes it clear that proxy advisory firms count as 'investment advisers' under the Investment Advisers Act and can't use certain existing loopholes to avoid that classification.
• Ensures proxy advisory firms must register with the SEC and be subject to federal oversight under the Investment Advisers Act, with no exemptions from other registration provisions.
• Requires the SEC to start regular inspections of proxy advisory firms' records within one year, on a schedule the SEC determines.

How Modern Action helps you take action on S. 3055

You do not have to start with a blank letter. Modern Action turns the bill, your position, and the relevant congressional context into a message you can edit and send. The goal is to make contacting Congress clear, specific, and useful without forcing you to parse bill text or figure out the right office on your own.

Questions people ask about S. 3055

What is S. 3055?

The Corporate Governance Fairness Act would make proxy advisory firms register with the SEC as investment advisers, subjecting them to regular inspections and conflict-of-interest rules. Small firms under $5 million in revenue are exempt. The SEC must report to Congress on whether these protections are working.

How do I support or oppose S. 3055?

Choose support, oppose, or ask for changes on Modern Action. The action flow drafts the message for you and keeps the wording tied to this bill.

Who should I contact about S. 3055?

Modern Action uses your location to route the action to the congressional offices relevant to the bill and your representation.

Can Modern Action explain S. 3055 before I act?

Yes. Modern Action gives you a plain-English summary, current status, and action context before you send anything.