Washington, D.C. – Congresswoman Liz Cheney’s Statement on voting for and the House passing the Economic Growth, Regulatory Relief, and Consumer Protection Act.
“I’m pleased the House passed the Economic Growth, Regulatory Relief, and Consumer Protection Act this week and President Trump signed it into law today. The Dodd-Frank Wall Street Reform and Consumer Protection Act, signed into law by President Obama, harmed small community banks and credit unions by creating overbearing regulations that forced many to close. This new legislation takes important steps to roll back Dodd-Frank, including exempting smaller banks from the most onerous regulations. These reforms will help our community banks return to the business of lending to consumers in their communities and generating economic growth. I’m proud Congress and President Trump have once again done the right thing for communities all across America.”
- S. 2155 right-sizes the regulatory system for smaller financial institutions, allowing community banks and credit unions to flourish. Rather than spend time on compliance, these institutions can redirect resources toward what they do best – approving mortgages, providing credit, and lending to small businesses.
- The Dodd-Frank Wall Street Reform and Consumer Protection Act (P.L. 111-203)(Dodd-Frank Act) made significant changes to the mortgage lending market place. The Dodd-Frank Act was signed into law in July 2010. Nearly 8 years later the economy is finally coming back but it is still hampered by an overly burdensome regulatory structure, especially in the financial services sector.
- Since the passage of Dodd-Frank, the big banks are bigger and the small banks are fewer. More of Americans’ assets are concentrated in fewer institutions. From 2010 to 2016, there were only five new bank and 16 new credit union charters granted.
- Dodd-Frank allows bureaucrats to designate certain firms as “too big to fail” and created a taxpayer-funded bailout fund that the nonpartisan CBO estimates will cost taxpayers billions. Dodd-Frank’s excessive regulations have contributed to the slowest and weakest economic recovery in 70 years. In fact, the Mercatus Center has said that Dodd-Frank imposes more regulations on businesses than all other laws passed during the Obama administration combined.