Sec. 851. Sense of Congress
420 words·~2 min read·
/bill/117/hr/1512/ih/section-851·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
It is the sense of Congress that— climate change poses a significant and increasing threat to the growth and stability of the economy of the United States; many sectors of the economy of the United States and many American businesses are exposed to climate-related risk, which may include exposure to— the physical impacts of climate change, including the rise of the average global temperature, accelerating sea-level rise, desertification, ocean acidification, intensification of storms, increase in heavy precipitation, more frequent and intense temperature extremes, more severe droughts, and longer wildfire seasons; the economic disruptions and security threats that result from the physical impacts described in subparagraph (A), including conflicts over scarce resources, conditions conducive to violent extremism, the spread of infectious diseases, and forced migration; the transition impacts that result as the global economy transitions to a clean and renewable energy, low-emissions economy, including financial impacts as climate change fossil fuel assets becoming stranded and it becomes uneconomic for companies to develop fossil fuel assets as policymakers act to limit the worst impacts of climate change by keeping the rise in average global temperature to 1.5 degrees Celsius above pre-industrial levels; and actions by Federal, State, Tribal, and local governments to limit the worst effects of climate change by enacting policies that keep the global average surface temperature rise to 1.5 degrees Celsius above pre-industrial levels; assessing the potential impact of climate-related risks on national and international financial systems is an urgent concern; companies have a duty to disclose financial risks that climate change presents to their investors, lenders, and insurers; the Securities and Exchange Commission has a duty to promote a risk-informed securities market that is worthy of the trust of the public as families invest for their futures; investors, lenders, and insurers are increasingly demanding climate risk information that is consistent, comparable, reliable, and clear; including standardized, material climate change risk and opportunity disclosure that is useful for decision makers in annual reports to the Securities and Exchange Commission will increase transparency with respect to risk accumulation and exposure in financial markets; requiring companies to disclose climate-related risk exposure and risk management strategies will encourage a smoother transition to a clean and renewable energy, low-emissions economy and guide capital allocation to mitigate, and adapt to, the effects of climate change and limit damages associated with climate-related events and disasters; and a critical component in fighting climate change is a transparent accounting of the risks that climate change presents and the implications of continued inaction with respect to climate change.