WASHINGTON, D.C. – U.S. Senator Deb Fischer (R-Neb.) released the following statement today after reintroducing legislation that would change the structure of the Consumer Financial Protection Bureau (CFPB) from a single director to a bipartisan commission of five individuals:
“I have long advocated for reforming the CFPB to increase its transparency and accountability. With the Supreme Court set to issue an opinion this month on the constitutionality of the CFPB’s single director, my bill offers a common-sense solution for reforming the bureau. A bipartisan, multi-member commission would help ensure good governance, prevent rash decision making, and result in more economic certainty for Americans starting businesses and providing for their families,” said Senator Fischer.
Senator Fischer has long been concerned about the structure of CFPB leadership. She first introduced a version of this legislation in 2013. She is reintroducing this legislation after the Supreme Court heard arguments in March 2020 in Seila Law v. CFPB as to whether Congress violated the separation of powers when it put a single director in charge of enforcing consumer protection laws. The CFPB previously announced it would no longer defend its structure after years of lawsuits and calls to reform from stakeholders. This month, the Supreme Court is expected to issue its ruling. Read more about that case here.
The Financial Product Safety Commission Act of 2020 would:
- Replace the Consumer Financial Protection Bureau with a bipartisan Financial Product Safety Commission of 5 individuals (all appointed by the President, confirmed by the Senate).
- Have Commissioners each serve staggered five-year terms, and no more than three commissioners could be from the same political party.
- Create a Chair of the Commission position (to fulfill administrative and other duties), which shall initially be the individual serving as Director of the CFPB on the day before the date of enactment of this legislation. This person would serve as Chair until the President has appointed all 5 members of the Commission and appoints 1 member to serve as the subsequent Chair of the Commission.
Read the full bill here.