Rep. Loudermilk Aims for Reducing Regulations on Community Banks and Credit Unions
Rep. Barry Loudermilk (R, GA-11) issued the following press release after he re-introducing the bipartisan Comprehensive Regulatory Review Act (CRRA), H.R. 3198:
“Some of the many problems that exist within our federal regulatory agencies is their continued enforcement of outdated, duplicative, or irrelevant regulations, which many of the community banks and credit unions describe as ‘death by a thousand cuts,’ and the failure to clean up their regulatory portfolios. This bill puts teeth in the Economic Growth and Regulatory Paperwork Reduction Act (EGRPRA), amending the law to ensure that financial regulatory agencies do more than just ‘check the box’ when conducting periodic reviews of their regulations. This bill is about rightsizing government regulators so they are more efficient, effective, and up-to-date.”
Rep. Gottheimer (D-NJ) is the lead co-sponsor of the Comprehensive Regulatory Review Act, and had this to say regarding its reintroduction:
“A smart, pragmatic process requiring regular review will keep consumers and businesses on track and create jobs, instead of burying them in paperwork and hamstrung by red tape. The Comprehensive Regulatory Review Act will ensure that consumers are protected, businesses can grow, and our robust financial sector will thrive. There should be nothing partisan about helping entrepreneurs and businesses of all sizes grow, create jobs, and expand the economy.”
Background on H.R. 3198:
• Requires Economic Growth and Regulatory Paperwork Reduction Act (EGRPRA) of 1996 reviews to be done every 7 years, instead of 10
• Expands EGRPRA reviews to include all regulated institutions, instead of only insured depository institutions
• Expands EGRPRA to include the CFPB in addition to the OCC, Fed, and FDIC
• Codifies the NCUA’s participation in EGRPRA, as the NCUA participated in the most recent EGRPRA review voluntarily
• Requires regulators to tailor regulations they find to be outdated, duplicative, unnecessary, or overly burdensome, instead of only producing a report. Current law already requires the agencies to eliminate unnecessary regulations. This provision simply adds a tailoring requirement
• Requires the CFPB to use the findings from its existing 5-year reviews in its EGRPRA reports, so the process is not duplicative
About Author
lawtonsack
Lawton is a graduate of Georgia Southern University (the GSU) with a degree in Information Technology. He has held numerous positions within the Georgia Republican Party throughout the years.
Add a Comment
You must be logged in to post a comment.
Be careful!
The FDIC closed 465 banks since 2008.
One man’s red tape is another man’s proper accounting!
Remember the brief discussion in Georgia in the mid-2000’s about imposing additional regulation on the home mortgage industry?
The talk was dismissed with a wave of a hand that nobody else was doing it and it would damage the industry. And besides, what could possibly go wrong?