Regulatory Reform Bill Still Lingering in Senate

Updated April 28, 2010 —After several failed procedural votes, the Senate has yet to bring S. 3217, the Senate financial regulatory reform bill, to the floor for debate.

Sixty votes are needed to break the Republican filibuster. Another vote could be on the Senate floor as early as today, and discussion is expected to continue through the week.

Senate Banking Committee Chairman Chris Dodd (D-Conn.) released his revised regulatory reform legislation on March 15, a comprehensive package addressing consumer protection, systemic risk and "too big to fail."

NASCUS wrote to Senate leaders recently to encouraging them to defend against further federal preemption in the regulatory reform legislation and to involve state regulators more fully in systemic risk mitigation and consumer protection. To view the letter, click here.

Unlike the House regulatory reform package, the Senate bill does not create a stand-alone independent Consumer Financial Protection Agency (CFPA), but instead would institute a consumer bureau at the Federal Reserve. The consumer bureau would have rule writing and enforcement powers and a director appointed by the President and confirmed by the Senate. Like the House bill, credit unions under $10 billion in assets will continue to be examined by the NCUA or the state regulator for consumer protection.

NASCUS will provide updates as developments continue on the Senate floor.