Financial Literacy
Advocating economic and financial education
Priorities
Senator Akaka lends his support to many of the most effective and promising financial literacy initiatives across the federal government. He continues to oversee all federal financial literacy activities to promote coordination, effectiveness, and innovation in economic and financial education. His role as Chairman of the Oversight and Government Management Subcommittee will provide strong opportunities to further these efforts.
Senator Akaka defines financial literacy broadly and refuses to limit its scope to any single issue area. As a result, he has succeeded in advancing federal investment in financial literacy through a wide variety of enacted legislation. Looking ahead, Senator Akaka will continue to seek out new opportunities to deliver financial literacy initiatives in innovative ways and to new communities across the country.
Recent Accomplishments
The Excellence in Economic Education Act. Senator Akaka's Excellence in Economic Education Act was enacted in 2001 as part of the No Child Left Behind Act (P.L. 107-110). Since it became law, Senator Akaka has secured vital resources for Triple-E Act initiatives. The Triple-E Act promoted economic and financial education to students from kindergarten to grade twelve through grants and subgrants to nonprofit education organizations. A nationwide network of state councils for economic education and university-based centers has emerged from the program.
Financial Literacy Oversight and Coordination. As Chairman of the Oversight and Government Management Subcommittee, Senator Akaka has led the Senate's efforts related to all federal financial literacy activities. The Senator leads an annual review hearing to monitor the status and assess the effectiveness of ongoing economic and financial literacy initiatives within each of the federal agencies and departments. These hearings and Senator Akaka's other oversight actions help to better coordinate government-wide financial literacy programs, avoid duplication, and promote cooperation, innovation, and best practices in financial literacy delivery.
Coordination of the federal government's financial literacy programs is also conducted by the Financial Literacy and Education Commission (FLEC). Senator Akaka was one of the strongest advocates for the creation of the FLEC. His continued attention to the FLEC has provided clear and focused direction for the Commission as it has revised its mission and refined its national strategy for the promotion of financial literacy in the country.
Financial Literacy Through Protection and Empowerment. Senator Akaka has also promoted financial literacy and informed financial decision-making by securing improvements in consumer protection and financial access. Aspects of legislation that Senator Akaka developed numerous provisions in the Dodd-Frank Wall Street Reform Act of 2010 and the Credit Card Accountability, Responsibility, and Disclosure Act of 2009, including provisions to improve consumer disclosures and information transparency in order to facilitate more responsible financial decision-making on the part of borrowers, consumers, and investors. These efforts have required the Securities and Exchange Commission and Government Accountability Office to closely examine the financial literacy levels of several types of investors.
Senator Akaka worked with his colleagues on the Banking, Housing, and Urban Affairs Committee to authorize a financial education and pre-homeownership counseling program in the Housing and Economic Recovery Act of 2008 (P.L. 110-289). Senator Akaka and Senator Inouye then secured a $3.15 million demonstration grant for Hawaii in the Consolidated Appropriations Act for Fiscal Year 2010 (P.L. 111-117) under the new authority. The funds were awarded to the Council for Native Hawaiian Advancement for its Hawaii Family Finance Project by the Department of the Treasury Community Development Financial Institutions Fund through a competitive grant process. The program serves low-income families wherever they live in Hawaii. Through financial education counseling, group training, and individual development accounts, the project will educate prospective homebuyers and foster financial stability and saving for both short- and long-term goals. The project will serve over 3,000 prospective homebuyers in Hawaii.
Additional Information
The Financial Literacy Education Commission (http://www.mymoney.gov/)
The Excellence in Economic Education program (LINK)
Senator Akaka's most recent hearing on financial literacy as Chairman of the Homeland Security Subcommittee on Oversight of Government Management, the Federal Workforce, and the District of Columbia (LINK)
Senator Akaka's early career in education, dedication to improving consumer protections, and personal history have made him a natural champion of financial literacy. He is a former educator who recognizes the value that lies in a quality education and a consumer advocate who sees the ever-present need to improve consumer safeguards. Having grown up amidst constant financial uncertainty in a family that didn't even have a bank account, Senator Akaka understands both the potential of being financially literate and how difficult it can be to make decisions that are financially sound.
"My parents taught me the importance of understanding basic finances when I was growing up in Pauoa valley. Our family had very little. I learned through experience that an understanding of personal finance and economics is among the most important tools that a person can have. No matter how old you are, where you live, or how much money you have, financial literacy can lead to a better life. Making financial literacy and economic education opportunities available in our communities is one of my highest and most personal priorities."
Priorities
Senator Akaka lends his support to many of the most effective and promising financial literacy initiatives across the federal government. He continues to oversee all federal financial literacy activities to promote coordination, effectiveness, and innovation in economic and financial education. His role as Chairman of the Oversight and Government Management Subcommittee will provide strong opportunities to further these efforts.
Senator Akaka defines financial literacy broadly and refuses to limit its scope to any single issue area. As a result, he has succeeded in advancing federal investment in financial literacy through a wide variety of enacted legislation. Looking ahead, Senator Akaka will continue to seek out new opportunities to deliver financial literacy initiatives in innovative ways and to new communities across the country.
Recent Accomplishments
The Excellence in Economic Education Act. Senator Akaka's Excellence in Economic Education Act was enacted in 2001 as part of the No Child Left Behind Act (P.L. 107-110). Since it became law, Senator Akaka has secured vital resources for Triple-E Act initiatives. The Triple-E Act promoted economic and financial education to students from kindergarten to grade twelve through grants and subgrants to nonprofit education organizations. A nationwide network of state councils for economic education and university-based centers has emerged from the program.
Financial Literacy Oversight and Coordination. As Chairman of the Oversight and Government Management Subcommittee, Senator Akaka has led the Senate's efforts related to all federal financial literacy activities. The Senator leads an annual review hearing to monitor the status and assess the effectiveness of ongoing economic and financial literacy initiatives within each of the federal agencies and departments. These hearings and Senator Akaka's other oversight actions help to better coordinate government-wide financial literacy programs, avoid duplication, and promote cooperation, innovation, and best practices in financial literacy delivery.
Coordination of the federal government's financial literacy programs is also conducted by the Financial Literacy and Education Commission (FLEC). Senator Akaka was one of the strongest advocates for the creation of the FLEC. His continued attention to the FLEC has provided clear and focused direction for the Commission as it has revised its mission and refined its national strategy for the promotion of financial literacy in the country.
Financial Literacy Through Protection and Empowerment. Senator Akaka has also promoted financial literacy and informed financial decision-making by securing improvements in consumer protection and financial access. Aspects of legislation that Senator Akaka developed numerous provisions in the Dodd-Frank Wall Street Reform Act of 2010 and the Credit Card Accountability, Responsibility, and Disclosure Act of 2009, including provisions to improve consumer disclosures and information transparency in order to facilitate more responsible financial decision-making on the part of borrowers, consumers, and investors. These efforts have required the Securities and Exchange Commission and Government Accountability Office to closely examine the financial literacy levels of several types of investors.
Senator Akaka worked with his colleagues on the Banking, Housing, and Urban Affairs Committee to authorize a financial education and pre-homeownership counseling program in the Housing and Economic Recovery Act of 2008 (P.L. 110-289). Senator Akaka and Senator Inouye then secured a $3.15 million demonstration grant for Hawaii in the Consolidated Appropriations Act for Fiscal Year 2010 (P.L. 111-117) under the new authority. The funds were awarded to the Council for Native Hawaiian Advancement for its Hawaii Family Finance Project by the Department of the Treasury Community Development Financial Institutions Fund through a competitive grant process. The program serves low-income families wherever they live in Hawaii. Through financial education counseling, group training, and individual development accounts, the project will educate prospective homebuyers and foster financial stability and saving for both short- and long-term goals. The project will serve over 3,000 prospective homebuyers in Hawaii.
Additional Information
The Financial Literacy Education Commission (http://www.mymoney.gov/)
The Excellence in Economic Education program (LINK)
Senator Akaka's most recent hearing on financial literacy as Chairman of the Homeland Security Subcommittee on Oversight of Government Management, the Federal Workforce, and the District of Columbia (LINK)
