On Thursday, the Senate Banking Committee voted along party lines to approve regulatory reform legislation. As reported in last week’s Bottom Line, the bill contains many of the provisions of the IBAT-endorsed Plan for Prosperity.
During markup of the bill, the committee approved amendments to increase the threshold for CFPB examinations from $10 billion to $50 billion, as well as a measure that would bar banking regulators from participation in the “Operation Choke Point” investigation.
The bill faces intense opposition by Senate Democrats and a likely veto threat from the White House as approved by the committee. During Thursday’s hearing, committee Democrats offered an alternative bill that focuses strictly on community bank regulatory relief. The amendment fell on a party-line vote, preserving the more sweeping reach of the legislation.
In opening comments, Chairman Shelby and Ranking Member Sherrod Brown expressed a commitment to work together, leaving open the possibility of a compromise before the bill reaches the Senate floor.
“Chairman Shelby is a skilled negotiator,” said IBAT President and CEO Chris Williston. “We remain optimistic that he’ll work with his counterparts in the Senate throughout the summer before bringing a compromise bill forward later this year.”