Jan 31 2017
Consumer Financial Protection Board Act To Fix Bureau’s Flawed Design, Unlock Economic Opportunities for Families
WASHINGTON, D.C. – U.S. Senator Deb Fischer (R-Neb.) recently reintroduced legislation that would make changes to the structure of the Consumer Financial Protection Bureau (CFPB). It would also enhance accountability at the bureau and help ensure Americans have access to economic opportunities.
“For years, the bad decisions made by a single director at the CFPB have kept families locked out of economic opportunity. My bill would prevent this misconduct by divesting the authority from one director to a five-member bipartisan board. This much-needed structural adjustment would bring accountability to the bureau and give more Americans a chance to build their own businesses and provide for their families,” said Fischer.
In October 2016, the U.S. Court of Appeals for the D.C. Circuit ruled the structure of the CFPB unconstitutional. The ruling cited, in part, how the bureau functions under a single director instead of a multi-member board.
Senator Fischer’s Consumer Financial Protection Board Act would replace the Director of the CFPB with a bipartisan board of directors comprised of five individuals. Additionally:
· Each board member would be appointed by the president and confirmed by the Senate.
· The president would appoint one of the five members of the board to serve as chairperson of the board.
· Board members would each serve staggered five-year terms, and no more than three members would be from the same political party.
· The legislation would take effect on the date on which not less than three persons have been confirmed by the Senate to serve as members of the board of directors.
Cosponsors of the bill include: Senators John Barrasso (R-Wyo.) and Ron Johnson (R-Wisc.).
Senator Fischer introduced similar legislation in both the 113th Congress and the 114th Congress.
Click here to read the text of the Consumer Financial Protection Board Act.
Click here to read Senator Fischer’s Fall 2016 Omaha World-Herald op-ed on her CFPB reform bill.
# # #