Change the way bureau is run
The Consumer Financial Protection Bureau’s (CFPB) leadership structure must change to a bipartisan commission to promote greater accountability, fairness and transparency. A diverse group of experts directing the agency, as opposed to a single individual, would benefit consumers, small business and the economy.
The Financial CHOICE Act passed by the House is a good start to discuss reforming the Dodd-Frank Act. However, the House missed the opportunity to change leadership to a bipartisan commission at the nation’s most powerful regulatory agency.
Advocates of maintaining the status quo at the consumer agency, or deconstructing it, fail to acknowledge the middle ground. The CFPB’s current governing structure provides unilateral authority to a single individual to direct agency policy. Having just celebrated Independence Day, we should all be well aware Americans have a long history of supporting checks and balances.
In fact, a recent Morning Consult survey found voters across eight key 2018 battle- ground states prefer a bipartisan commission at the agency by a 3-1 margin. Only 14% believe the agency’s structure should remain unchanged.
Changes in political leadership are inevitable in Washington. As new administrations come to power, a new CFPB director is likely to follow, placing the agency at risk of dramatic shifts in policy if it operates under a single director. To encourage balance, deliberation and thoughtfulness at the CFPB long term, a bipartisan commission must be installed.
Stable leadership is not only good policy but also is essential to protecting consumers and growing the economy — values critical to the success of financial institutions.
We limit the bureau’s benefits by refusing to provide for bipartisan governance.
Our economy is starving for good, commonsense policies and reforms, and the Senate is in a position to take meaningful action. To do away with consumer protection is not our goal. Rather, it is to ensure that our government reflects the bipartisan values upon which our nation’s businesses, people and economy thrive.