Oct. 23, 2012 – Sen. Mark Warner, D-Va., invited small institutions to make their case on the issue of regulatory burden during remarks last week at the launch of the Bipartisan Policy Center’s Financial Regulatory Reform Initiative.
The group, made up of former regulators, policy advocates, academics and practitioners, is evaluating the financial regulatory system post-Dodd-Frank Act and plans to offer its own reform recommendations to balance financial stability, economic growth and consumer protection.
Chad Adams, NAFCU’s associate director of legislative affairs, attended last week’s launch. The initiative will consider five aspects of financial reform: systemic risk; failure resolution; capital markets and the Volcker rule; consumer financial protection; and regulatory architecture. It will look at both domestic and international financial policy impacts.
Warner, speaking at the beginning of the unveiling, said Congress never gets the firs iteration of massive reform just right. He said he isn’t behind the idea of treating institutions as “too big to fail” and added that institutions shouldn’t be subject to one-size-fits-all regulation.
In addition to housing reform, he said, “making fixes” to the Dodd-Frank Act is his top priority in the next Congress. He dismissed the idea of repeal, noting that “would totally disrupt the markets.”
The group says it plans to issue a series of white papers around each of these substantive areas beginning in 2013; it will release a comprehensive report in the fall of next year. An introductory white paper was released Thursday.
This initiative is co-chaired by Martin Baily, former chairman of the Council of Economic Advisers under President Bill Clinton, and Phillip Swagel, former Assistant Treasury Secretary for Economic Policy.