Congress Continues Sparring Over Dodd-Frank and CFPB

first_imgSubscribe Previous: Stress Test? Not for JPMorgan Chase Next: Investors, Here are the Top Single-Family Housing Markets About Author: Brian Honea in Daily Dose, Featured, Government, News Demand Propels Home Prices Upward 2 days ago Financial reform under Dodd-Frank has taken some heat and even encountered a few setbacks lately, namely the removal of the Financial Stability Oversight Council’s “systemically important financial institution” (SIFI) from MetLife and the Consumer Financial Protection Bureau’s pending trial from PHH Corp.’s appeal of a $109 million penalty handed down last June.Three weeks after testifying before the House Financial Services Committee, CFPB Director Richard Cordray once again sat on the hot seat for the CFPB’s Semi-Annual Report to Congress on Thursday in the Senate Banking Committee, to defend what Dodd-Frank supporters consider to be one of the legislation’s greatest achievements—the agency he directs, the CFPB. Once again, Cordray touted the CFPB’s achievements in the last year, namely the publishing of complaint narratives in the Consumer Complaint Database starting in June 2015 and the publishing of the CFPB’s monthly market snapshot starting in July 2015.“Over the next six months, the Bureau will continue implementing the Dodd-Frank Act and using its regulatory authority to ensure that consumers have access to consumer financial markets that are fair, transparent, and competitive,” Cordray said in his testimony Thursday.Committee Chairman Richard Shelby (R-Alabama) wasn’t so sure, however. He commented on the PHH case, one in which the New Jersey-based mortgage lender is challenging a $109 million penalty handed down by Cordray in June 2015 for alleged violations of RESPA. With the handing down of the $109 million penalty, Cordray overturned an administrative judge’s original disgorgement order of $6.4 million, saying that penalty was too lenient. PHH claims the CFPB is abusing its power. PHH appealed the penalty, the first institution to challenge the CFPB in court, and the trial is set to begin next week.Richard Cordray“The only effective restraint available now resides in the courts,” Shelby told the Committee on Thursday. “Fortunately, this week a federal Court of Appeals has directed the CFPB to defend the Constitutionality of its structure. This particular case follows what is now becoming a string of court decisions criticizing or striking down this Administration’s implementation of Dodd-Frank provisions—including the FSOC’s so-called systemically-important designation of MetLife, the SEC’s cost-benefit analysis, and the SEC’s conflict minerals rule.”Committee Ranking Member Sherrod Brown (D-Ohio) answered the CFPB’s detractors who claim that the Bureau is unaccountable, a frequent criticism coming from Republican lawmakers.“The CFPB is subject to three separate annual audits and the banking agencies have unprecedented authority to veto CFPB rules that threaten safety and soundness or financial stability,” Brown said. “Yet the CFPB’s existence continues to be attacked with false arguments that it lacks accountability.”Shelby told the Committee he believes the judge’s decision to remove the SIFI tag from MetLife in late March is only the beginning of the Dodd-Frank rollback.“I believe that future legal challenges will lead to the invalidation of many parts of Dodd-Frank,” Shelby said. “This is what happens when a 2,300-page bill is forced through Congress without sufficient process, and before the lessons of the financial crisis were fully understood. Congress did not even wait for the Financial Crisis Inquiry Commission’s work to be completed or its report to be released before it passed Dodd-Frank and created the CFPB.”Richard ShelbyOn Tuesday, April 5, the Committee held a hearing to assess the effects of consumer finance regulations. In that hearing, three witnesses representing the financial industry testified that the CFPB was doing more harm than good to the very consumers it sets out to protect by making financial products either more expensive or less available. Brown wasn’t so sure about that, however.“Bipartisan polling shows that 3 in 4 voters support the agency,” Brown told the Committee on Thursday. “Just this morning, the Committee received petitions from hundreds of thousands of Americans supporting the CFPB.”Brown also pointed out the $11.2 billion that has been returned to approximately 25 million consumers who have been harmed by predatory practices in the financial industry.While Brown lamented the fact that in Tuesday’s hearing three witnesses represented the financial industry while only one witness represented consumers, Shelby lamented the fact that no member of the financial industry was consulted when Dodd-Frank was being drafted.“It still strikes me as stunning that this Committee approved this massive piece of a legislation without deposing a single market participant,” Shelby said. “The Committee didn’t subpoena a single document from a single person or financial institution. And, we are now starting to see the results of this partisan, uninformed effort.” Data Provider Black Knight to Acquire Top of Mind 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago  Print This Post Servicers Navigate the Post-Pandemic World 2 days ago Congress Continues Sparring Over Dodd-Frank and CFPB CFPB Consumer Financial Protection Bureau Richard Cordray Senate Banking Committee 2016-04-07 Brian Honea April 7, 2016 1,151 Views Related Articlescenter_img The Best Markets For Residential Property Investors 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Demand Propels Home Prices Upward 2 days ago The Week Ahead: Nearing the Forbearance Exit 2 days ago Brian Honea’s writing and editing career spans nearly two decades across many forms of media. He served as sports editor for two suburban newspaper chains in the DFW area and has freelanced for such publications as the Yahoo! Contributor Network, Dallas Home Improvement magazine, and the Dallas Morning News. He has written four non-fiction sports books, the latest of which, The Life of Coach Chuck Curtis, was published by the TCU Press in December 2014. A lifelong Texan, Brian received his master’s degree from Amberton University in Garland. The Best Markets For Residential Property Investors 2 days ago Share Save Servicers Navigate the Post-Pandemic World 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago Tagged with: CFPB Consumer Financial Protection Bureau Richard Cordray Senate Banking Committee Sign up for DS News Daily Home / Daily Dose / Congress Continues Sparring Over Dodd-Frank and CFPB read more

USA: Elizabeth River Deepening for Aircraft Carriers Starts Today

first_img USA: Elizabeth River Deepening for Aircraft Carriers Starts Today View post tag: starts View post tag: Deepening View post tag: today Dredging operations, deepening portions of the Elizabeth River from Lambert’s Point in Norfolk, Va., to the Norfolk Naval Shipyard in Portsmouth begins today.The Norfolk District, U.S. Army Corps of Engineers is overseeing the approximately $20 million project that will allow the Navy’s nuclear powered aircraft carriers to traverse from Norfolk Naval Station to the Norfolk Naval Shipyard safely at all times of the day.“The dredging is necessary to eliminate the risk of the nuclear-powered aircraft carriers damaging their ballast water intakes, as well as grounding and possible hull damage.” said Raad Humadi, Naval Facilities Engineering Command Mid-Atlantic project manager.For three tenths of a mile, from Lamberts Point to the Navy Deperming Station, a 600-foot-wide portion of the federal navigation channel will be deepened from 40 to 50 feet. Another four-and-half-mile, 600-foot-wide portion of the channel from the deperming station to the naval shipyard will be deepened from 40 feet to 47 feet.“This will allow us to meet the current requirements for ships entering and exiting into the Lambert’s Point Deperming Station, allowing the carriers safe transit into and out of the Deperming Facility,” said Humadi. “The other reach of the project allows the carrier safe transit to and from Norfolk Naval Shipyard for repairs and overhauls.”The Corps’ contractor, Norfolk Dredging Company from Chesapeake, Va., will start dredging operations at Lamberts Point and work their way to the naval shipyard during the next 18 months, removing approximately three million cubic yards of material. The dredged material will be pumped into the district’s Craney Island Dredge Material Management Area in Portsmouth, Va.(navy)[mappress]Source: navy, April 15, 2011; View post tag: Aircraft View post tag: Carriers Industry news View post tag: Naval Share this article View post tag: usa View post tag: Navy View post tag: River April 15, 2011 Back to overview,Home naval-today USA: Elizabeth River Deepening for Aircraft Carriers Starts Today View post tag: News by topic View post tag: Elizabethlast_img read more