2019: Fitzpatrick Voted To Require All Consumer Complaints Be Made
Public On The CFPB's Website. In May 2019, Fitzpatrick voted against
an amendment that would have, according to Congressional Quarterly,
"remove[d] from the bill a section that would require all consumer
complaints to be made publicly available on the Consumer Financial
Protection Bureau website." The underlying legislation would have
reformed the CFPB. The vote was on the amendment. The House rejected the
amendment by a vote of 191 to 236. The House later passed the underlying
bill. [House Vote 223,
5/22/19; Congressional
Quarterly, 5/22/19; Congressional
Actions, H. Amdt.
252;
Congressional Actions, H.R.
1500]
2017: Fitzpatrick Voted For Legislation That Would Have Repealed
Significant Portions Of Dodd-Frank, As Well As Reforming The Consumer
Financial Protection Bureau By Allowing The President To Fire Its
Director For Any Reason. In June 2017, Wagner Fitzpatrick voted for
the Financial Choice Act. According to NPR, "House Republicans voted
Thursday to deliver on their promise to repeal Dodd-Frank --- the
massive set of Wall Street regulations President Barack Obama signed
into law after the 2008 financial crisis. In a near party-line vote, the
House approved a bill, dubbed the Financial Choice Act, which scales
back or eliminates many of the post-crisis banking rules." The vote was
on passage." The House passed the bill by a vote of 233 to 186. The
Senate took no substantive action on the legislation. [House Vote 299,
6/8/17; NPR,
6/8/17;
Congressional Actions, H.R.
10]
Legislation Significantly Reduced The Authority Of The CFPB.
According to Vox, "The Choice Act would also gut the Consumer
Finance Protection Bureau, the brainchild of Sen. Elizabeth Warren
(D-MA). As Mike Konczal wrote for Vox, the CFPB has won millions
from big corporations by suing those who use 'deceptive practices'
for their customers." [Vox,
6/8/17]
Legislation Allowed The President To Fire The Head Of The CFPB And
The FHFA For Any Reason. According to CNN, "Hensarling's bill
would give the president the power to fire the heads of the Consumer
Financial Protection Bureau, a consumer watchdog agency created
under Dodd-Frank, and the Federal Housing Finance Agency, which
oversees mortgage giants Fannie Mae and Freddie Mac, at any time for
any -- or no -- reason." [CNN,
6/8/17]
Legislation Renamed The CFPB To The Consumer Law Enforcement
Agency And Subjected The Agency To The Congressional Appropriations
Process. According to Congressional Quarterly, "The measure
significantly modifies the structure and authority of the CFPB,
converting it into an executive agency funded by annual
appropriations, rather than an independent agency funded directly
from the Fed, and it makes the agency's director subject to removal
by the president 'at will' (rather than for cause, as under current
law). [...] The CFPB would be renamed as the Consumer Law
Enforcement Agency (CLEA)." [Congressional Quarterly,
6/7/17]
Legislation Removed The CFPB's Ability To Monitor Financial Firms
Closely For Consumer Protections And From Writing Payday and
Car-Title Loan Rules. According to the Los Angeles Times, "The
Financial Choice Act would strip the agency of its ability to
closely monitor financial firms for compliance with consumer
protection laws and specifically prohibits the bureau from writing
any regulations on payday and car-title loans." [Los Angeles Times,
6/8/17]
CFPB Fined Wells Fargo $100 Million In 2016 For Deceptive
Practices; Legislation Would No Longer Allow The CFPB To Do So In
The Future. According to the Washington Post, "Hensarling's bill
would strip the agency of some of its most important powers. It
would no longer be able to write major rules regulating consumer
financial companies, such as debt collectors, without getting
approval from Congress. The agency would lose some of its
independence because its director would serve at the pleasure of the
president. And it would also no longer be able to levy hefty fines
against financial institutions for 'unfair' or 'deceptive'
practices. The CFPB used those powers to fine Wells Fargo $100
million last year for opening up to 2 million accounts customers did
not ask for or know about." [Washington Post,
6/9/17]
2017: Fitzpatrick Voted Against The FY 2018 Republican Study Committee
Budget Resolution Which In Part Called For Eliminating The CFPB. In
October 2017, Fitzpatrick voted against a budget resolution that would
in part, according to Congressional Quarterly, "provide for $2.9
trillion in new budget authority in fiscal 2018. It would balance the
budget by fiscal 2023 by reducing spending by $10.1 trillion over 10
years. It would cap total discretionary spending at $1.06 trillion for
fiscal 2018 and would assume no separate Overseas Contingency Operations
funding for fiscal 2018 or subsequent years and would incorporate
funding related to war or terror into the base defense account. It would
assume repeal of the 2010 health care overhaul and would convert
Medicaid and the Children's Health Insurance Program into a single block
grant program. It would require that off budget programs, such as Social
Security, the U.S. Postal Service, and Fannie Mae and Freddie Mac, be
included in the budget." The underlying legislation was an FY 2018 House
GOP budget resolution. The House rejected the RSC budget by a vote of
139 to 281. [House Vote 555,
10/5/17; Congressional
Quarterly, 10/5/17; Congressional
Actions, H. Amdt.
455;
Congressional Actions, H. Con. Res.
71]
2017: Fitzpatrick Voted For Legislation That Would Have Repealed
Significant Portions Of Dodd-Frank, Including Effectively Gutting The
Consumer Financial Protection Bureau. In June 2017, Fitzpatrick voted
for the Financial Choice Act. According to NPR, "House Republicans voted
Thursday to deliver on their promise to repeal Dodd-Frank --- the
massive set of Wall Street regulations President Barack Obama signed
into law after the 2008 financial crisis. In a near party-line vote, the
House approved a bill, dubbed the Financial Choice Act, which scales
back or eliminates many of the post-crisis banking rules." The vote was
on passage. The House passed the bill by a vote of 233 to 186. The
Senate took no substantive action on the legislation. [House Vote 299,
6/8/17; NPR,
6/8/17;
Congressional Actions, H.R.
10]
Legislation Significantly Reduced The Authority Of The CFPB.
According to Vox, "The Choice Act would also gut the Consumer
Finance Protection Bureau, the brainchild of Sen. Elizabeth Warren
(D-MA). As Mike Konczal wrote for Vox, the CFPB has won millions
from big corporations by suing those who use 'deceptive practices'
for their customers." [Vox,
6/8/17]
Legislation Allowed The President To Fire The Head Of The CFPB And
The FHFA For Any Reason. According to CNN, "Hensarling's bill
would give the president the power to fire the heads of the Consumer
Financial Protection Bureau, a consumer watchdog agency created
under Dodd-Frank, and the Federal Housing Finance Agency, which
oversees mortgage giants Fannie Mae and Freddie Mac, at any time for
any -- or no -- reason." [CNN,
6/8/17]
Legislation Renamed The CFPB To The Consumer Law Enforcement
Agency And Subjected The Agency To The Congressional Appropriations
Process. According to Congressional Quarterly, "The measure
significantly modifies the structure and authority of the CFPB,
converting it into an executive agency funded by annual
appropriations, rather than an independent agency funded directly
from the Fed, and it makes the agency's director subject to removal
by the president 'at will' (rather than for cause, as under current
law). [...] The CFPB would be renamed as the Consumer Law
Enforcement Agency (CLEA)." [Congressional Quarterly,
6/7/17]
Legislation Removed The CFPB's Ability To Monitor Financial Firms
Closely For Consumer Protections And From Writing Payday and
Car-Title Loan Rules. According to the Los Angeles Times, "The
Financial Choice Act would strip the agency of its ability to
closely monitor financial firms for compliance with consumer
protection laws and specifically prohibits the bureau from writing
any regulations on payday and car-title loans." [Los Angeles Times,
6/8/17]
CFPB Fined Wells Fargo $100 Million In 2016 For Deceptive
Practices; Legislation Would No Longer Allow The CFPB To Do So In
The Future. According to the Washington Post, "Hensarling's bill
would strip the agency of some of its most important powers. It
would no longer be able to write major rules regulating consumer
financial companies, such as debt collectors, without getting
approval from Congress. The agency would lose some of its
independence because its director would serve at the pleasure of the
president. And it would also no longer be able to levy hefty fines
against financial institutions for 'unfair' or 'deceptive'
practices. The CFPB used those powers to fine Wells Fargo $100
million last year for opening up to 2 million accounts customers did
not ask for or know about." [Washington Post,
6/9/17]
2019: Fitzpatrick Voted For Subjecting The CFPB To The Congressional
Appropriations Process. In May 2019, Fitzpatrick voted for an
amendment that would have, according to Congressional Quarterly,
"subject[ed] Consumer Financial Protection Bureau funding to
congressional appropriations and authorize[d] fiscal 2020 funding for
the CFPB equal to the aggregate funds transferred to the agency by the
Federal Reserve Board in fiscal 2019." The underlying legislation would
have reformed the CFPB. The vote was on the amendment. The House
rejected the amendment by a vote of 192 to 235. [House Vote 224,
5/22/19; Congressional
Quarterly, 5/22/19; Congressional
Actions, H. Amdt.
253;
Congressional Actions, H.R.
1500]
2017: Fitzpatrick Voted For Subjecting The CFPB To The Congressional
Appropriations Process. In September 2017, Fitzpatrick voted against
an amendment that would have, according to Congressional Quarterly,
"eliminate the bill's provision that would incorporate the Consumer
Financial Protection Bureau into the regular appropriations process."
The underlying legislation was an FY 2018 omnibus. The House rejected
the amendment by a vote of 183 to 226. The House later passed the
underlying legislation The Senate took no substantive action on the
overall legislation. [House Vote 521,
9/14/17; Congressional
Quarterly, 9/14/17; Congressional
Actions, H. Amdt.
435;
Congressional Actions, H.R.
3354]
The CFPB Receives Annual Funding Direct From The Federal Reserve,
Capped At A Fixed Percentage Of The Fed's Operating Expenses For The
Fiscal Year. According to Congressional Quarterly, "Funding for
the CFPB comes from the Fed and is independent of the congressional
appropriations process; the Fed transfers the amount determined by
the bureau's director as reasonably necessary for the bureau's
annual budget, but not to exceed a specified percentage of the Fed's
total operating expenses. Funding is capped at 11% of the Fed's
operating expenses for FY 2011 and 12% for FY 2013 and each year
thereafter, adjusted for inflation." [Congressional Quarterly,
2/10/14]
Opponents Of A 2014 Bill That Subjected The CFPB To The
Appropriation's Process Argued That Doing So Would Undermine
Bureau's Independence. According to Congressional Quarterly,
"Opponents of the bill, primarily Democrats, argue that it will
undermine the CFPB's independence and ability to protect consumers.
Funding the CFPB through the annual appropriations process would
simply enable agency opponents to cut funding and subject it to
political pressures, both of which would endanger its ability to
protect consumers, they say. And requiring that four commissioners
be confirmed by the Senate would give agency opponents another venue
to block the agency, they say, pointing to the two years it took to
get the current single director confirmed. They contend that
lowering the number of FSOC votes needed to overturn CFPB rules
would negate the primary reason for creating the bureau --- to
ensure that consumer protection is a top priority --- and that
singling out the CFPB from other financial regulators and preventing
it from paying higher salaries will severely weaken its ability to
attract and retain top talent. Finally, they say that requiring the
agency to contact every consumer about personal information would be
excessively burdensome and harm its analytical efforts to protect
consumers." [Congressional Quarterly,
2/10/14]
2017: Fitzpatrick Voted For Legislation That Would Have Repealed
Significant Portions Of Dodd-Frank, Including Subjecting The Consumer
Financial Protection Bureau To The Congressional Appropriations
Process. In June 2017, Fitzpatrick voted for the Financial Choice Act.
According to NPR, "House Republicans voted Thursday to deliver on their
promise to repeal Dodd-Frank --- the massive set of Wall Street
regulations President Barack Obama signed into law after the 2008
financial crisis. In a near party-line vote, the House approved a bill,
dubbed the Financial Choice Act, which scales back or eliminates many of
the post-crisis banking rules." The vote was on passage. The House
passed the bill by a vote of 233 to 186. The Senate took no substantive
action on the legislation. [House Vote 299,
6/8/17; NPR,
6/8/17;
Congressional Actions, H.R.
10]
Legislation Renamed The CFPB To The Consumer Law Enforcement
Agency And Subjected The Agency To The Congressional Appropriations
Process. According to Congressional Quarterly, "The measure
significantly modifies the structure and authority of the CFPB,
converting it into an executive agency funded by annual
appropriations, rather than an independent agency funded directly
from the Fed, and it makes the agency's director subject to removal
by the president 'at will' (rather than for cause, as under current
law). [...] The CFPB would be renamed as the Consumer Law
Enforcement Agency (CLEA)." [Congressional Quarterly,
6/7/17]
Legislation Reduced The Authority Of The CFPB. According to Vox,
"The Choice Act would also gut the Consumer Finance Protection
Bureau, the brainchild of Sen. Elizabeth Warren (D-MA). As Mike
Konczal wrote for Vox, the CFPB has won millions from big
corporations by suing those who use 'deceptive practices' for their
customers." [Vox,
6/8/17]
Changing The CFPB's Funding Stream Would Undermine The Bureau's
Independence. According to Congressional Quarterly on a related
bill, "Opponents of the bill, primarily Democrats, argue that it
will undermine the CFPB's independence and ability to protect
consumers. Funding the CFPB through the annual appropriations
process would simply enable agency opponents to cut funding and
subject it to political pressures, both of which would endanger its
ability to protect consumers, they say. And requiring that four
commissioners be confirmed by the Senate would give agency opponents
another venue to block the agency, they say, pointing to the two
years it took to get the current single director confirmed. They
contend that lowering the number of FSOC votes needed to overturn
CFPB rules would negate the primary reason for creating the bureau
--- to ensure that consumer protection is a top priority --- and
that singling out the CFPB from other financial regulators and
preventing it from paying higher salaries will severely weaken its
ability to attract and retain top talent. Finally, they say that
requiring the agency to contact every consumer about personal
information would be excessively burdensome and harm its analytical
efforts to protect consumers." [Congressional Quarterly,
2/10/14]
2018: Fitzpatrick Voted To Nullify The CFPB's 2013 Indirect Auto
Lending Rule Which Attempted To Reduce Auto Lending Discrimination. In
April 2018, Fitzpatrick voted for legislation that would have, according
to Congressional Quarterly, "nullify and disapprove of a Consumer
Financial Protection Bureau rule that provides guidance to third parties
that offer indirect financing for automobile loans. The rule states that
such third party lenders are treated as creditors under the Equal Credit
Opportunity Act and the lenders may not mark up the rate of an indirect
loan in relation to a borrower's race, color, religion, national origin,
sex, marital status, age or receipt of income from any public assistance
program." The vote was on passage legislation. The House passed the bill
by a vote of 234 to 175. President Trump signed the resolution into law.
[House Vote 171, 5/8/18;
Congressional Quarterly, 4/17/18;
Congressional Actions, S. J. Res.
57]
Car Dealers Could Add A Markup To Interest Rates And Keep The
Profit; CFPB Said This Was Done More Often For Minority Buyers.
According to Bloomberg, "At issue is a common practice by car
dealers: They add a markup to the interest rates that lenders charge
on loans and pocket it. Under Cordray, the CFPB contended that such
mark ups were routinely higher for minorities, and warned it might
punish lenders for not adhering to fair lending laws. [...] Auto
dealer groups defend the markups as a standard practice that
represents a reasonable price for connecting borrowers with
lenders." [Bloomberg,
4/18/18]
Rule Was Used To Collect More Than $100 Million From Auto Lenders
That Charged Larger Interest Rates To Minority Individuals: Four
Auto Lenders Paid Millions In Fines: Ally Financial, American Honda
Finance Corp., Fifth Third Bank, And Toyota Motor Credit Corp.
According to Congressional Quarterly, "The Senate voted 50-47
Tuesday to proceed to a disapproval resolution that would nullify
2013 guidance from the Consumer Financial Protection Bureau that the
agency used to collect more than $100 million from auto lenders for
charging members of minority groups higher interest rates. [...]
Republicans have complained about the CFPB's methods in auto lending
since December 2013, when the bureau and the Justice Department
levied $18 million in fines and recouped $80 million in damages
from Ally Financial, formerly General Motors Acceptance Corp., one
of the nation's biggest indirect auto lenders. Then CFPB Director
Richard Cordray said the bank's lending practices had a 'disparate
impact' on 320,000 individuals from minority groups who were charged
higher rates. Three other auto lenders paid fines or restitution in
cases brought through 2016: American Honda Finance Corp., $24
million; Fifth Third Bank, $21 million; and Toyota Motor Credit
Corp., $22 million." [Congressional Quarterly,
4/17/18]
2017: Fitzpatrick Voted Against The CFPB's Ability To Regulate Payday
Lending. In September 2017, Fitzpatrick voted against an amendment
that would have, according to Congressional Quarterly, "eliminate[d]
the bill's provision that would remove the Consumer Financial Protection
Bureau's authority to regulate certain types of small dollar credit,
such as payday loans and vehicle loans." The underlying legislation was
an FY 2018 omnibus. The House rejected the amendment by a vote of 186 to
221. The House later passed the underlying legislation. The Senate took
no substantive action on the overall legislation. [House Vote 523,
9/14/17; Congressional
Quarterly, 9/14/17; Congressional
Actions, H. Amdt.
437;
Congressional Actions, H.R.
3354]
2019: Fitzpatrick Voted Against Legislation Undoing Some Of The Trump
Administration's Changes To The CFPB, Including Re-Establishing The CFBP
Office Of Students And Young Consumers, And Restore The Enforcement
Powers Of The Office of Fair Lending and Equal Opportunity. In May
2019, Fitzpatrick voted against a legislation that would have, according
to Congressional Quarterly, "require[d] the Consumer Financial
Protection Bureau to reissue a 2017 rule prohibiting arbitration
agreements between consumers and providers of consumer financial
products, such as credit card companies, that bar consumers from
participating in class action lawsuits against providers." In addition,
also according to Congressional Quarterly, "the bill, as amended, that
would statutorily clarify and establish certain objectives, authorities,
and offices of the Consumer Financial Protection Bureau. Among
provisions related to CFPB organization and authorities, the bill would
require the CFPB director to ensure each statutorily established
functional unit of the agency performs its assigned duties and
functions; require the director to provide 'adequate staff' to each unit
to carry out these functions; and prohibit the director from
reorganizing or renaming such units. It would statutorily reestablish a
CFPB Office of Students and Young Consumers to inform students and young
people about education-related savings, loans, and debt. It would
statutorily authorize the CFPB Office of Fair Lending and Equal
Opportunity to carry out any supervisory and enforcement activities
regarding fair lending laws. It would statutorily designate the CFPB as
the Consumer Financial Protection Bureau, replacing any references in
federal laws and documents to the 'Bureau of Consumer Financial
Protection.' Among other provisions, the bill would require the CFPB
director to ensure the number and duties of political appointees on
staff match those of such appointees at other federal financial
regulatory agencies. It would add certain qualifications for CFPB
consumer advisory board members, urging the CFPB director to appoint
certain experts and representatives, including experts in consumer
protection, community development, and fair lending, and representatives
of communities 'significantly impacted' by higher-priced mortgage loans.
It would require the CFPB database of consumer complaints to remain
publicly available on the CFPB website. As an offset for its provisions,
the bill, as amended, would reduce by a total of $38 million the amount
of discretionary surplus funds that may be held by the Federal Reserve.
As amended, the bill would require the Consumer Financial Protection
Bureau to reissue a 2017 rule prohibiting arbitration agreements between
consumers and providers of consumer financial products, such as credit
card companies, that bar consumers from participating in class action
lawsuits against providers. It would reinstate memoranda of
understanding between the CFPB and Education Department regarding
coordination of oversight related to federal student loans." The vote
was on passage. The House passed the bill by a vote of 231 to 191.
[House Vote 228,
5/22/19; Congressional
Quarterly, 5/22/19; Congressional
Actions, H.R.
1500]