Today, Democrats on the Financial Services Committee voted against Republican attempts to weaken consumer protection and Wall Street reform in effort to produce illusory budget savings as part of the Majority’s failed budget process. The party-line votes were as follows:
H.R. 1486, the Taking Account of Bureaucrats’ Spending Act (33-20): The bill would repeal the current independent funding of the Consumer Financial Protection Bureau (CFPB) and instead subject the Bureau to the annual Congressional appropriations process. The Majority claims this will save nearly $6 billion over the next 10 years, which can only be true if Congress ceased all funding for the CFPB. Committee Democrats defended the Bureau – which Republicans have tried to dismantle since it was created – and the need to shield it from the political whims of the Congress. All 20 Democrats present voted against the bill.
H.R. 4894, To repeal title II of the Dodd-Frank Wall Street Reform and Consumer Protection Act (34-22): The bill would repeal the Orderly Liquidation Authority (OLA) in Title II of the Dodd-Frank Act, which authorizes the wind down of a financial institution whose failure would otherwise threaten the financial stability of the U.S. economy. Earlier today, the Federal Reserve and the FDIC jointly determined that most of the largest U.S. banks could not be unwound in bankruptcy in an orderly fashion, proving the continued need for Orderly Liquidation Authority. All 22 Democrats present voted against the bill.