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Saturday, September 28, 2024

Bilirakis raises concerns over FTC leadership at budget hearing

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Cathy McMorris Rodgers - Chair of the House Energy and Commerce Committee | Official U.S. House headshot

Cathy McMorris Rodgers - Chair of the House Energy and Commerce Committee | Official U.S. House headshot

Washington D.C. — House Energy and Commerce Subcommittee on Innovation, Data, and Commerce Chair Gus Bilirakis (R-FL) delivered opening remarks at the subcommittee hearing titled “The Fiscal Year 2025 Federal Trade Commission Budget.”

In his address, Bilirakis emphasized concerns about the politicalization of the FTC under current leadership. "Unlike last year, this hearing will feature the full slate of all five FTC Commissioners’ testimonies, and I want to welcome the two newest commissioners, Andrew Ferguson and Melissa Holyoak," he stated. "Thank you both for serving and being here. I look forward to hearing how you plan to balance out the perspective and representation of the FTC as it protects consumers."

Bilirakis expressed concern that since Chair Khan's confirmation over three years ago, there has been an aggressive use of FTC authorities leading to internal discord. He noted a significant drop in employee morale from 83 percent in 2020 to 53 percent last year. "I’m afraid it has lost its roots as a well-respected bipartisan law enforcement agency focused on protecting against bad actors," he said.

He criticized the Commission’s recent actions, particularly highlighting concerns with the 'Commercial Surveillance and Data Security' Proposed Rulemaking. "Despite restraints on statutory authority, the FTC has plowed forward out of bounds with sweeping new rulemakings, attempting to create policy in the process," Bilirakis remarked.

Bilirakis also raised issues regarding transparency within the Commission. He pointed out that releasing actions less than two hours before the hearing is not conducive to transparency. Specifically addressing pharmacy benefit managers, he questioned whether this indicates a broader failure by the Biden administration to address related issues at HHS.

He echoed Commissioner Holyoak's sentiment: "creating new law is the job of Congress, not the Federal Trade Commission." Bilirakis warned that Chair Khan's approach could harm innovators who fear arbitrary punitive actions by the FTC.

Emphasizing a need for focus on its core mission, Bilirakis reiterated that protecting Americans from fraud should be prioritized by the FTC. He highlighted ongoing bipartisan legislative efforts such as the Protecting Americans’ Data from Foreign Adversaries Act and other initiatives aimed at consumer protection.

"I assure you this Subcommittee will continue to work together to support and protect consumers from harmful and deceptive practices," Bilirakis concluded. "But in the process, you must regain our trust by ensuring any authority we provide will not be stretched and contorted to reach your desired result."

Bilirakis urged Chair Khan to collaborate with all Commissioners and maintain faithful adherence to existing laws while protecting consumers from fraudulent activities.

For further information:

Main: (202) 225-3641

Press: (202) 226-4972

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