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Federal Funding Federal Reserve

Orrick, Herrington & Sutcliffe LLP

CFPB responds to GAO letter on budget authority

On July 30, the CFPB’s Chief Legal Officer, Mark Paoletta, responded to a June GAO letter which raised several questions about the Bureau’s authority to request or decline funding. In particular, the CFPB focused on GAO’s...more

Jones Day

With New Action Plan, White House Launches AI "Space Race"—What Banks Should Know

Jones Day on

The White House has issued an AI Action Plan that aims to position the United States as the leader in artificial intelligence ("AI"), as part of a broader pattern of boosting innovation and reducing regulatory burden, with...more

Goodwin

Senate Banking Committee Proposes Bill That Would Eliminate CFPB Federal Reserve Funding

Goodwin on

In June 2025, the Senate Banking Committee introduced a version of the “One Big, Beautiful Bill” that would eliminate the CFPB’s Federal Reserve funding. The CFPB can currently receive funds of up to 12% of the Federal...more

Orrick, Herrington & Sutcliffe LLP

Senate Banking Committee proposes to reduce CFPB’s funding to zero

On June 6, the Senate Banking, Housing, and Urban Affairs Committee released its proposed amendment to H.R. 1, the “One Big Beautiful Bill Act,” which included a proposed reduction in the amount of funds the CFPB can annually...more

Orrick, Herrington & Sutcliffe LLP

Senators urge Senate Banking Committee to amend CFPB funding

On June 9, Sen. Elizabeth Warren (D-MA) and other Democratic senators sent a letter to Sen. Tim Scott, Chairman of the Senate Committee on Banking, Housing, and Urban Affairs, insisting the Committee to hold a markup on...more

Ballard Spahr LLP

Senate Banking Republican reconciliation bill would eliminate CFPB funding source

Ballard Spahr LLP on

The Senate Banking, Housing and Affairs Committee (Banking Committee) would eliminate the CFPB’s current funding source, as part of Committee’s Republican version of its part of the massive budget reconciliation bill,...more

Cozen O'Connor

Cozen Currents: Democrats Struggle Over Where to Draw the Line

Cozen O'Connor on

"Democrats are struggling with how and when to resist President Donald Trump’s agenda. And it doesn’t help their cause that Trump is unifying the House GOP’s own notoriously fractious caucus.” — Howard Schweitzer, CEO, Cozen...more

Gray Reed

Economic Outlook – The Impacts of Inflation and Interest Rates on the Construction Industry

Gray Reed on

What’s the deal with inflation and interest rates? Inflation has been, unfortunately, a hot topic as of late. In the wake of COVID-19, inflation has caused rising prices and unpredictable market conditions that affect...more

Orrick, Herrington & Sutcliffe LLP

Fed Member Barr reportedly resigns from Fed Supervision panel

On March 3, it was reported that former Fed Vice Chair for Supervision, Michael Barr, stepped down from the Fed’s Committee on Supervision and Regulation, leaving the supervision panel without a chair. This leaves Fed Vice...more

Tonkon Torp LLP

Governmental Structural Changes to the U.S. Economy Are Underway – What to Expect

Tonkon Torp LLP on

I attended the American Seniors Housing Association (ASHA) convention in Phoenix last month. The agenda featured an address by Rob Kaplan, Partner and Vice Chairman of Goldman Sachs, and former President and CEO of the...more

Ballard Spahr LLP

Federal Judge Issues Order Prohibiting Massive Layoffs, Budget Cuts at CFPB Pending Ruling on Motion for Preliminary Injunction

Ballard Spahr LLP on

A federal judge has issued an order temporarily prohibiting the Trump Administration from imposing mass layoffs and budget cuts at the CFPB....more

Morrison & Foerster LLP

FinReg Currents - Week 4

On February 7, 2025, newly confirmed Office of Management and Budget (OMB) director Russell Vought replaced Treasury Secretary Scott Bessent as acting director of the CFPB....more

Orrick, Herrington & Sutcliffe LLP

CFPB Acting Director and DOGE officials post on CFPB’s funding

On February 7, both Elon Musk and Vivek Ramaswamy made posts on social media regarding the CFPB; Elon Musk posted “CFPB RIP,” while Vivek Ramaswamy’s post delved into the CFPB’s funding mechanism. Ramaswamy highlighted the...more

Orrick, Herrington & Sutcliffe LLP

CRS report on CFPB budget and funding structure receives update

On February 4, the Congressional Research Service updated its report on the CFPB’s budget and funding structure, finding the Bureau’s independence from congressional appropriations is not unique among the financial regulators...more

Ballard Spahr LLP

CFPB touts three wins in funding challenges: Is it all sizzle but no steak?

Ballard Spahr LLP on

As we have previously reported, there are several CFPB enforcement lawsuits pending in which the defendants have filed motions to dismiss based in whole or in part on the argument that subsequent to September 2022, all...more

Ballard Spahr LLP

Director Rohit Chopra continues to dismiss arguments that the CFPB is unlawfully funded out of losses of Federal Reserve Banks

Ballard Spahr LLP on

On June 13, 2024, CFPB Director Rohit Chopra appeared before the House Financial Services Committee for a hearing, “The Semi-Annual Report of the Bureau of Consumer Financial Protection.” As we expected, the House Financial...more

Ballard Spahr LLP

Director Rohit Chopra gives the back of his hand to argument that CFPB is unlawfully funded out of losses of Federal Reserve Banks

Ballard Spahr LLP on

It took about an hour for someone on the Senate Finance Committee during its hearing today to mention the “elephant in the room” — namely, the fact that the CFPB is only allowed under Dodd-Frank to be funded out of “combined...more

Ballard Spahr LLP

A reply to Professor Levitin’s arguments as to why the Fed, notwithstanding its losses, can still lawfully fund the CFPB

Ballard Spahr LLP on

Yesterday, I published a blog post highlighting the flaws in the arguments made by Professor Jeff Sovern in his recent article in the Consumer Law & Policy Blog for why the Fed, notwithstanding its losses, can still lawfully...more

Ballard Spahr LLP

A reply to Professor Sovern’s arguments as to why the Fed, notwithstanding its losses, can still lawfully fund the CFPB

Ballard Spahr LLP on

Although neither the CFPB, the Federal Reserve Board, nor the Treasury has responded to Professor Emeritus Hal Scott’s op-ed on May 20 in the Wall Street Journal, my interview with Professor Scott on our Consumer Finance...more

Ballard Spahr LLP

Consumer Finance Monitor Podcast Episode: Did the Supreme Court Hand the CFPB a Pyrrhic Victory?

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Special guest Professor Hal Scott of Harvard Law School joins us today as we delve into the thought-provoking question of whether the Supreme Court’s recent decision in the landmark case of CFSA v. CFPB really hands the CFPB...more

Saul Ewing LLP

U.S. Supreme Court Upholds CFPB’s Funding Mechanism as Constitutional

Saul Ewing LLP on

On May 16, 2024, the United States Supreme Court issued its highly anticipated decision in Consumer Financial Protection Bureau v. Community Financial Services Association of America, determining once and for all that the...more

Cozen O'Connor

SCOTUS Upholds Constitutionality of CFPB’s Funding Mechanism

Cozen O'Connor on

The U.S. Supreme Court issued an opinion in CFPB v. Cmty. Fin. Servs. Assn. of Am., Ltd. upholding the funding structure of the CFPB. The Fifth Circuit had determined that the CFPB’s funding mechanism—drawing funds from the...more

Paul Hastings LLP

The CFPB Survives: Our Take on the Supreme Court Decision

Paul Hastings LLP on

On May 16, 2024, the United States Supreme Court, in a 7-2 opinion authored by Justice Clarence Thomas, upheld the constitutionality of the funding mechanism of the Consumer Financial Protection Bureau (“CFPB” or “Bureau”)....more

Troutman Pepper Locke

Supreme Court Denies Oral Argument to Republican State AGs Who Argue That the CFPB Funding Mechanism Is Unconstitutional

Troutman Pepper Locke on

On August 21, the U.S. Supreme Court denied a request by West Virginia Attorney General (AG) Patrick Morrisey and 26 other state AGs to participate in oral arguments in Consumer Financial Protection Bureau (CFPB) et al. v....more

Troutman Pepper Locke

132 Members of Congress File Amici Brief Urging Supreme Court to Find CFPB Funding Structure Unconstitutional

Troutman Pepper Locke on

As discussed here, on October 19, 2022, the Fifth Circuit Court of Appeals in Community Financial Services Association of America, Limited (CFSA) v. Consumer Financial Protection Bureau (CFPB) held that the CFPB’s funding...more

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