By Katalina M. Bianco, J.D.
Senators Angus King (I-Maine) and Mike Rounds (R-SD) introduced legislation that would create a new small business advisory panel within the Consumer Financial Protection Bureau. The “Bureau of Consumer Financial Protection Advisory Board Enhancement Act” (S. 1963) is intended to ensure that small businesses, community banks, and credit unions have a stronger “voice” in the bureau’s rulemaking process, the lawmakers said.
In addition to creating a new small business advisory panel, S. 1963 would make permanent the community bank and credit union panels within the CFPB. The measure also would require each committee to adequately represent members from rural and underserved areas. Similar legislation, H.R. 1195, passed the House of Representatives in April 2015.
“Small businesses, community banks and credit unions are invaluable forces in America’s economy, and they deserve a seat at the table as the CFPB makes important and far-reaching financial decisions,” said King.
“As the CFPB continues to make decisions that affect every American, it is critical for rural areas, community banks, small businesses and credit unions to have a voice,” said Rounds.
ICBA reacts to bill. In a letter to King and Rounds, the Independent Community Bankers of America expressed support of the bill, stating that the Community Bank Advisory Council is an “invaluable forum” for community bankers to exchange information and perspectives with the CFPB on bureau rulemaking. The ICBA also commended the bill for ensuring that the CBAC would include community bankers from community banks serving rural areas as well as minority banks serving underserved communities.
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