Republicans on the Senate Banking Committee yesterday introduced legislation that would require the CFPB to be funded through annual appropriations by Congress. The CFPB is unique among federal agencies in that its funding comes directly from the Federal Reserve based on a request from the bureau’s director. The U.S. Supreme Court earlier this year upheld the bureau’s funding structure.
The bill—S. 4521—from Sen. Bill Hagerty (R-Tenn.), Ranking Member Tim Scott (R-S.C.) and seven additional committee Republicans would subject the CFPB to the congressional appropriations process.
The bill follows the April 2023 introduction and markup of legislation in the House Financial Services Committee that would place the CFPB under annual appropriations by Congress and institute additional reforms at the bureau. That legislation—H.R. 2798, the CFPB Transparency and Accountability Reform Act—is led by Rep. Andy Barr (R-Ky.).
