Mark Uyeda, a commissioner of the U.S. Securities and Exchange Commission (SEC), has called for the repeal of SAB 121, citing concerns about the lack of transparency and checks and balances in the manner in which it was issued. Uyeda believes that the issuance of SAB 121 undermines the fundamental principles of administrative control, as it was not subject to the standard rule-making procedures stipulated by the Administrative Procedure Act (APA).

Uyeda criticized the U.S. government for not following the APA, which requires solicitation of public opinion and ensures transparency, thereby allowing for judicial review. Instead, SAB 121 was issued as a regulatory edict, effectively avoiding judicial review and weakening the checks and balances designed to prevent excessive expansion of the administrative state.

The controversy surrounding SAB 121 has been ongoing, with bipartisan support for its repeal. However, President Biden vetoed a resolution aimed at overturning the standard, citing concerns about the potential impact on the SEC's authority in accounting practice. In an official statement, Biden stated that his administration would not support measures that jeopardize the welfare of consumers and investors.

Uyeda's call for the repeal of SAB 121 highlights the importance of transparency and accountability in regulatory decision-making. By issuing SAB 121 as a regulatory edict, the SEC has effectively bypassed the standard rule-making procedures, undermining the principles of checks and balances and transparency.

In conclusion, the controversy surrounding SAB 121 highlights the need for greater transparency and accountability in regulatory decision-making. Uyeda's call for its repeal is a step in the right direction, as it seeks to ensure that regulatory decisions are made in a transparent and accountable manner, with adequate checks and balances to prevent excessive administrative control.