CFPB Funding Model Switch Again Proposed in White House Budget

Budget proposal also seeks to reduce bureau’s workforce.

2/12/2020 8:00 AM

CFPBNewsAdvocacy
CFPB Funding Model Switch Again Proposed in White House Budget

The use of congressional appropriations for the agency regulating the accounts receivable management industry resurfaced in the White House budget proposed this week.

This is not a new proposal for funding the Consumer Financial Protection Bureau by any means as the puzzle pieces representing oversight of the bureau, its leadership structure and budget continue to move on Capitol Hill and in the courts.

But, American Banker reports (a subscription may be necessary to access this article), President Donald Trump’s administration is seeking to move the CFPB’s funding from the Federal Reserve to congressional appropriations beginning in 2022.

Under the budget proposal, the Fed’s transfers to the CFPB would decline by $110 million starting in 2021 before the switch to congressional appropriations, if approved.

But it’s likely the Democratic-majority House would nix the proposal, which has been a focus for Republican legislators for some time, according to American Banker.

If the budget proposal moves forward, the CFPB could also see staff cuts of approximately 200 full-time equivalent positions—or 11.6%, according to the article.

The budget proposal, like last year’s, also seeks congressional appropriations for the Financial Stability Oversight Council and Office of Financial Research.


 


Follow ACA International on Twitter @ACAIntl and @acacollector, Facebook and request to join our LinkedIn group for news and event updates. ACA International members are welcome to submit news items for possible publication to comm@acainternational.org. Visit our publications page for news submission guidelines and subscriptions to ACA Daily, Collector magazine and Pulse.

Advertising is available for companies wishing to promote their products or services. Be sure to visit the ACA Events Calendar on the Education and Training page to view our listing of upcoming CORE Curriculum and Hot Topic seminars featuring critical educational opportunities for your company.


Subscribe to ACA Daily NEWSROOM

CFPB Funding Model Switch Again Proposed in White House Budget

The use of congressional appropriations for the agency regulating the accounts receivable management industry resurfaced in the White House budget proposed this week.

This is not a new proposal for funding the Consumer Financial Protection Bureau by any means as the puzzle pieces representing oversight of the bureau, its leadership structure and budget continue to move on Capitol Hill and in the courts.

But, American Banker reports (a subscription may be necessary to access this article), President Donald Trump’s administration is seeking to move the CFPB’s funding from the Federal Reserve to congressional appropriations beginning in 2022.

Under the budget proposal, the Fed’s transfers to the CFPB would decline by $110 million starting in 2021 before the switch to congressional appropriations, if approved.

But it’s likely the Democratic-majority House would nix the proposal, which has been a focus for Republican legislators for some time, according to American Banker.

If the budget proposal moves forward, the CFPB could also see staff cuts of approximately 200 full-time equivalent positions—or 11.6%, according to the article.

The budget proposal, like last year’s, also seeks congressional appropriations for the Financial Stability Oversight Council and Office of Financial Research.


 


Follow ACA International on Twitter @ACAIntl and @acacollector, Facebook and request to join our LinkedIn group for news and event updates. ACA International members are welcome to submit news items for possible publication to comm@acainternational.org. Visit our publications page for news submission guidelines and subscriptions to ACA Daily, Collector magazine and Pulse.

Advertising is available for companies wishing to promote their products or services. Be sure to visit the ACA Events Calendar on the Education and Training page to view our listing of upcoming CORE Curriculum and Hot Topic seminars featuring critical educational opportunities for your company.


Subscribe to ACA Daily NEWSROOM

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