Function

• The act requires "nationally recognized statistical rating organizations" to register with the Securities and Exchange Commission (SEC). This registration must include the 20 largest users of their service and also proof they have ratinsg from the three most recent years at the time of registration.
  
  

Oversight

• The SEC is required to annually report to a congressional committee the status of credit report agencies applying for registration. Additionally, the comptroller general is required to report to a congressional committee annually on the impact of this act on the credit market.
  
  

History

• The act was originally introduced on September 6, 2006, and was sponsored by Alabama Senator Richard Shelby. It passed the house of representatives on September 27, 2006, and was signed into law by President George W. Bush on September 29, 2006.