§ 16. — Commission operations.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 7USC16]
TITLE 7--AGRICULTURE
CHAPTER 1--COMMODITY EXCHANGES
Sec. 16. Commission operations
(a) Cooperation with other agencies
The Commission may cooperate with any Department or agency of the
Government, any State, territory, district, or possession, or
department, agency, or political subdivision thereof, any foreign
futures authority, any department or agency of a foreign government or
political subdivision thereof, or any person.
(b) Employment of investigators, experts, Administrative Law Judges,
consultants, clerks, and other personnel; contracts
(1) The Commission shall have the authority to employ such
investigators, special experts, Administrative Law Judges, clerks, and
other employees as it may from time to time find necessary for the
proper performance of its duties and as may be from time to time
appropriated for by Congress.
(2) The Commission may employ experts and consultants in accordance
with section 3109 of title 5, and compensate such persons at rates not
in excess of the maximum daily rate prescribed for GS-18 under section
5332 of title 5.
(3) The Commission shall also have authority to make and enter into
contracts with respect to all matters which in the judgment of the
Commission are necessary and appropriate to effectuate the purposes and
provisions of this chapter, including, but not limited to, the rental of
necessary space at the seat of Government and elsewhere.
(4) The Commission may request (in accordance with the procedures
set forth in subchapter II of chapter 31 of title 5) and the Office of
Personnel Management shall authorize pursuant to the request, eight
positions in the Senior Executive Service in addition to the number of
such positions authorized for the Commission on October 28, 1992.
(c) Expenses
All of the expenses of the Commissioners, including all necessary
expenses for transportation incurred by them while on official business
of the Commission, shall be allowed and paid on the presentation of
itemized vouchers therefor approved by the Commission.
(d) Authorization of appropriations
There are authorized to be appropriated such sums as are necessary
to carry out this chapter for each of fiscal years 1995 through 2005.
(e) Relation to other law, departments, or agencies
(1) Nothing in this chapter shall supersede or preempt--
(A) criminal prosecution under any Federal criminal statute;
(B) the application of any Federal or State statute (except as
provided in paragraph (2)), including any rule or regulation
thereunder, to any transaction in or involving any commodity,
product, right, service, or interest--
(i) that is not conducted on or subject to the rules of a
registered entity or exempt board of trade;
(ii) (except as otherwise specified by the Commission by
rule or regulation) that is not conducted on or subject to the
rules of any board of trade, exchange, or market located outside
the United States, its territories or possessions; or
(iii) that is not subject to regulation by the Commission
under section 6c or 23 of this title; or
(C) the application of any Federal or State statute, including
any rule or regulation thereunder, to any person required to be
registered or designated under this chapter who shall fail or refuse
to obtain such registration or designation.
(2) This chapter shall supersede and preempt the application of any
State or local law that prohibits or regulates gaming or the operation
of bucket shops (other than antifraud provisions of general
applicability) in the case of--
(A) an electronic trading facility excluded under section 2(e)
of this title; and
(B) an agreement, contract, or transaction that is excluded from
this chapter under section 2(c), 2(d), 2(f), or 2(g) of this title
or sections 27 to 27f of this title, or exempted under section 2(h)
or 6(c) of this title (regardless of whether any such agreement,
contract, or transaction is otherwise subject to this chapter).
(f) Investigative assistance to foreign futures authorities
(1) On request from a foreign futures authority, the Commission may,
in its discretion, provide assistance in accordance with this section if
the requesting authority states that the requesting authority is
conducting an investigation which it deems necessary to determine
whether any person has violated, is violating, or is about to violate
any laws, rules or regulations relating to futures or options matters
that the requesting authority administers or enforces. The Commission
may conduct such investigation as the Commission deems necessary to
collect information and evidence pertinent to the request for
assistance. Such assistance may be provided without regard to whether
the facts stated in the request would also constitute a violation of the
laws of the United States.
(2) In deciding whether to provide assistance under this subsection,
the Commission shall consider whether--
(A) the requesting authority has agreed to provide reciprocal
assistance to the Commission in futures and options matters; and
(B) compliance with the request would prejudice the public
interest of the United States.
(3) Notwithstanding any other provision of law, the Commission may
accept payment and reimbursement, in cash or in kind, from a foreign
futures authority, or made on behalf of such authority, for necessary
expenses incurred by the Commission, its members, and employees in
carrying out any investigation, or in providing any other assistance to
a foreign futures authority, pursuant to this section. Any payment or
reimbursement accepted shall be considered a reimbursement to the
appropriated funds of the Commission.
(g) Computerized futures trading
Consistent with its responsibilities under section 22 of this title,
the Commission is directed to facilitate the development and operation
of computerized trading as an adjunct to the open outcry auction system.
The Commission is further directed to cooperate with the Office of the
United States Trade Representative, the Department of the Treasury, the
Department of Commerce, and the Department of State in order to remove
any trade barriers that may be imposed by a foreign nation on the
international use of electronic trading systems.
(Sept. 21, 1922, ch. 369, Sec. 12, 42 Stat. 1003; Pub. L. 93-463, title
I, Sec. 101(b), Oct. 23, 1974, 88 Stat. 1391; Pub. L. 95-405, Sec. 20,
Sept. 30, 1978, 92 Stat. 875; Pub. L. 97-444, title II, Secs. 228, 229,
Jan. 11, 1983, 96 Stat. 2318; Pub. L. 99-641, title I, Sec. 106, Nov.
10, 1986, 100 Stat. 3558; Pub. L. 102-546, title II, Secs. 216, 220(a),
title III, Secs. 302, 303, title IV, Sec. 401, title V, Sec. 502(c),
Oct. 28, 1992, 106 Stat. 3611, 3614, 3622, 3624, 3631; Pub. L. 104-9,
Sec. 2, Apr. 21, 1995, 109 Stat. 154; Pub. L. 106-554, Sec. 1(a)(5)
[title I, Secs. 116, 117], Dec. 21, 2000, 114 Stat. 2763, 2763A-402.)
Amendments
2000--Subsec. (d). Pub. L. 106-554, Sec. 1(a)(5) [title I,
Sec. 116], substituted ``2005'' for ``2000''.
Subsec. (e). Pub. L. 106-554, Sec. 1(a)(5) [title I, Sec. 117],
added subsec. (e) and struck out former subsec. (e) which provided that
this chapter did not supersede or preempt criminal prosecutions under
Federal criminal statutes or the application of any Federal or State
statute to certain specified transactions and persons.
1995--Subsec. (d). Pub. L. 104-9 amended subsec. (d) generally.
Prior to amendment, subsec. (d) read as follows: ``There are authorized
to be appropriated to carry out this chapter--
``(1) $53,000,000 for fiscal year 1993; and
``(2) $60,000,000 for fiscal year 1994.''
1992--Subsec. (a). Pub. L. 102-546, Sec. 302, inserted ``any foreign
futures authority, any department or agency of a foreign government or
political subdivision thereof,'' after ``thereof,''.
Subsec. (b). Pub. L. 102-546, Sec. 216, designated first through
third sentences as pars. (1) to (3), respectively, and added par. (4).
Subsec. (d). Pub. L. 102-546, Sec. 401, amended subsec. (d)
generally. Prior to amendment, subsec. (d) read as follows: ``There are
authorized to be appropriated to carry out this chapter such sums as may
be necessary for each of the fiscal years during the period beginning
October 1, 1986, and ending September 30, 1989.''
Subsec. (e)(2)(A). Pub. L. 102-546, Sec. 502(c), inserted ``or, in
the case of any State or local law that prohibits or regulates gaming or
the operation of `bucket shops' (other than antifraud provisions of
general applicability), that is not a transaction or class of
transactions that has received or is covered by the terms of any
exemption previously granted by the Commission under subsection (c) of
section 6 of this title,'' after ``market,''.
Subsec. (f). Pub. L. 102-546, Sec. 303, added subsec. (f).
Subsec. (g). Pub. L. 102-546, Sec. 220(a), added subsec. (g).
1986--Subsec. (d). Pub. L. 99-641 amended subsec. (d) generally.
Prior to amendment, subsec. (d) read as follows: ``There are authorized
to be appropriated to carry out the provisions of this chapter such sums
as may be required for each of the fiscal years during the period
beginning October 1, 1982, and ending September 30, 1986.''
1983--Subsec. (d). Pub. L. 97-444, Sec. 228, substituted
appropriation authorization for fiscal years during period beginning
Oct. 1, 1982, and ending Sept. 30, 1986, for prior authorization for
fiscal years during period beginning Oct. 1, 1978, and ending Sept. 30,
1982.
Subsec. (e). Pub. L. 97-444, Sec. 229, added subsec. (e).
1978--Subsec. (d). Pub. L. 95-405 substituted ``for each of the
fiscal years during the period beginning October 1, 1978, and ending
September 30, 1982'' for ``for the fiscal year ending June 30, 1975, for
the fiscal year ending June 30, 1976, for the fiscal year ending June
30, 1977, and for the fiscal year ending June 30, 1978''.
1974--Pub. L. 93-463 designated existing unlettered provisions as
subsecs. (a) to (d), substituted ``Commission'' for ``Secretary of
Agriculture'', inserted provisions authorizing the expenditure of funds
for expenses upon the presentation of itemized vouchers therefor
approved by the Commission, substituted provisions authorizing
appropriations specifically for fiscal years ending June 30, 1975, 1976,
1977, and 1978, for provisions making a general authorization of
appropriations without a fiscal year limitation, and inserted
authorization to enter into contracts and compensate experts and
consultants in accordance with section 3109 of title 5 at rates not in
excess of the maximum daily rate prescribed for GS-18 under section 5332
of title 5.
Effective Date of 1983 Amendment
Amendment by Pub. L. 97-444 effective Jan. 11, 1983, see section 239
of Pub. L. 97-444, set out as a note under section 2 of this title.
Effective Date of 1978 Amendment
Amendment by Pub. L. 95-405 effective Oct. 1, 1978, see section 28
of Pub. L. 95-405, set out as a note under section 2 of this title.
Effective Date of 1974 Amendment
For effective date of amendment by Pub. L. 93-463, see section 418
of Pub. L. 93-463, set out as a note under section 2 of this title.
References in Other Laws to GS-16, 17, or 18 Pay Rates
References in laws to the rates of pay for GS-16, 17, or 18, or to
maximum rates of pay under the General Schedule, to be considered
references to rates payable under specified sections of Title 5,
Government Organization and Employees, see section 529 [title I,
Sec. 101(c)(1)] of Pub. L. 101-509, set out in a note under section 5376
of Title 5.
Section Referred to in Other Sections
This section is referred to in sections 2, 7a-3, 15 of this title.
