article: SECTION 1. SHORT TITLE. This Act may be cited as the ``Financial Literacy and Education Coordinating Act of 2003''. SEC. 2. FINDINGS. Congress finds that-- (1) there is substantial evidence that many Americans do not have an adequate basis for making sound decisions about personal and household finances; (2) financial education could play a critical role in equipping consumers with the knowledge to make wise decisions, especially for lower income consumers and those underserved by the mainstream financial system; (3) an increased awareness of the availability of credit scores and credit reports, the process of accessing them, their significance in obtaining credit, and their effects on credit terms, are of paramount importance to consumers; (4) easily accessible and affordable resources which inform and educate investors as to their rights and avenues of recourse should be provided when an investor believes his or her rights have been violated by unprofessional conduct of market intermediaries; (5) a basic understanding of the operation of the financial services industry would help consumers and their families to make more informed choices about how best to progress economically, avoid harmful personal debt, avoid discriminatory and predatory practices, invest wisely, develop financial planning skills necessary for maximizing short- and long-term financial well being, and better prepare for retirement; (6) comprehensive financial education would help to provide individuals with the necessary tools to create household budgets, initiate savings plans, manage debt, and make strategic investment decisions for education, retirement, home ownership, or other savings goals; and (7) improved financial decision making, not simply more knowledge, should be the primary financial education goal. SEC. 3. FINANCIAL LITERACY AND EDUCATION COORDINATING COMMITTEE. (a) Establishment.--The Secretary of the Treasury shall establish within the Office of Financial Education of the Department of the Treasury, the Financial Literacy and Education Coordinating Committee (in this Act referred to as the ``Committee''). (b) Purposes.--The purposes of the Committee shall be-- (1) to coordinate financial literacy and education efforts among Federal departments and agencies; (2) to develop and implement a national strategy to promote basic financial literacy and education among all Americans; (3) to reduce overlap and duplication in Federal financial literacy and education activities; (4) to identify the most effective types of public sector financial literacy programs and techniques, as measured by improved consumer decision making; (5) to coordinate and promote financial literacy efforts at the State and local level, including partnerships among Federal, State, and local governments, nonprofit organizations, and private enterprises; and (6) to carry out such other duties as are deemed to be appropriate, consistent with this Act. SEC. 4. COMMITTEE DUTIES. (a) In General.--The Committee shall-- (1) not later than 1 year after the date of enactment of this Act, develop a national strategy to promote basic financial literacy among all American consumers; (2) coordinate Federal efforts to implement the strategy developed under paragraph (1); (3) not later than 1 year after the date of enactment of this Act, and annually thereafter, submit a report to the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Financial Services of the House of Representatives regarding actions taken and progress made by the Committee in carrying out this Act during the reporting period, and any challenges remaining to implementation of such purposes; and (4) provide testimony by the chairperson of the Committee to either Committee referred to in paragraph (3), upon request. (b) Strategy.--The strategy to promote basic financial literacy required to be developed under subsection (a)(1) shall provide for-- (1) participation by State and local governments and private, nonprofit, and public institutions in the creation and implementation of such strategy; (2) the development of methods-- (A) to increase the general financial education level of current and future consumers of financial services and products; and (B) to enhance the general understanding of financial services and products; (3) review of Federal activities designed to promote financial literacy and education and development of a plan to improve coordination of such activities; (4) the identification of areas of overlap and duplication among Federal financial literacy and education activities and proposed means of eliminating any such overlap and duplication; and (5) a proposal to the President of a Federal financial literacy and education budget that supports such strategy and eliminates funding for such areas of overlap and duplication. SEC. 5. COMMITTEE MEMBERSHIP. (a) Composition.--The Committee shall be comprised of-- (1) the Secretary of the Treasury, who shall serve as the chairperson of the Committee; and (2) a representative from-- (A) each Federal banking agency (as defined in section 3 of the Federal Deposit Insurance Act), the National Credit Union Administration, the Securities and Exchange Commission, each of the Departments of Education, Agriculture, Defense, Health and Human Services, Labor, and Veterans Affairs, the Social Security Administration, the Federal Trade Commission, the Commodity Futures Trading Commission, and the Office of Personnel Management; and (B) a representative from any other department or agency that the Secretary determines to be engaged in a serious effort to improve financial literacy and education. (b) Assistance.--The Director of the Office of Financial Education of the Department of the Treasury shall provide to the Committee, upon request, such assistance as may be necessary. (c) Member Qualifications.--Members of the Committee shall be appointed by the heads of their respective departments or agencies. Each member and each alternate designated by any member unable to attend a meeting of the Committee, shall be an individual who exercises significant decisionmaking authority. (d) Meetings.--Meetings of the Committee shall occur not less frequently than quarterly, and at the call of the chairperson. (e) Consultation.--The Committee shall consult with private and nonprofit organizations and State and local agencies, as determined appropriate by the chairperson and the Committee.
summary: Financial Literacy and Education Coordinating Act of 2003 - Directs the Secretary of the Treasury to establish within the Office of Financial Education of the Department of the Treasury, the Financial Literacy and Education Coordinating Committee to: (1) coordinate Federal financial literacy and education efforts; (2) develop and implement a national strategy to promote basic financial literacy and education among all Americans; (3) reduce overlap and duplication in Federal financial literacy and education activities; (4) identify the most effective types of public sector financial literacy programs and techniques, as measured by improved consumer decision making; and (5) coordinate and promote financial literacy efforts at the State and local level, including partnerships among Federal, State, and local governments, nonprofit organizations, and private enterprises.