As the second day of the House Financial Services Committee's markup of the Financial CHOICE Act unfolded, Republicans defeated amendments intended to bolster the CFPB.
The panel then bogged down over two Democratic amendments; one would prohibit any rulemaking under Chairman Jeb Hensarling's (R-Texas) Dodd-Frank overhaul until President Trump released seven years of his tax returns in order to demonstrate he would not directly benefit from the bill.
The second amendment would delay implementation of the of the bill until the Office of Government Ethics certified that neither Trump nor anyone in the executive branch benefitted from the legislation.
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The panel held a series of votes as the markup of the Dodd-Frank overhaul began—defeating a series of Democratic amendments.
With Republicans opposing the plan, the committee defeated an amendment that would maintain the current funding stream for the CFPB. The CHOICE Act would make the agency subject to the annual appropriations process.
Republicans have argued that ensuing that the funding comes through the appropriations process would make the CFPB more accountable. Democrats argued that that would decrease the independence of the agency.
The committee also defeated a Democratic amendment that would maintain the CFPB's power to bring enforcement actions based on Unfair, Deceptive or Abusive Acts or Practices.
The Republican bill would eliminate that power; they argue that it gives the agency too much power.
The committee also defeated an amendment that would have established an Office for the Under-banked and Un-Banked Consumers.
Democrats also presented an amendment that would ensure that the Labor Department's Fiduciary Rules can be implemented. The CHOICE Act would kill the rule.
The committee is expected to work into the evening, with votes on amendments being stacked.
While the committee is likely to defeat Democratic amendments to the bill, the panel has not begun consideration of an amendment that might result in a close vote.
The CHOICE Act would repeal the so-called Durbin Amendment that caps interchange fees on debit cards. Banks and credit unions are pushing that repeal, but retailers have been lobbying hard to retain the cap.
The House is not in session next week, so the panel is racing to finish the markup before the chamber recesses.
The House is likely to pass the CHOICE Act along party lines. Leaders of the Senate Banking Committee are attempting to work on a bipartisan basis to make changes to Dodd-Frank.
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