May 19, 2014

Hearing to review CFPB transparency, accountability

May 20, 2014 – Legislative proposals that promote transparency and accountability at CFPB, including a bill targeting the bureau's data collection practices, are slated for review during a hearing Wednesday by the House Financial Services Subcommittee on Financial Institutions and Consumer Credit.

NAFCU will monitor the hearing, titled "Legislative Proposals to Improve Transparency and Accountability at the CFPB," for any impact these proposals will have on credit unions. Specifically, NAFCU will be following discussion on:

  • H.R. 3770, the "CFPB-IG Act of 2013," introduced by Rep. Steve Stivers, R-Ohio. This bill would create an independent inspector general for CFPB, which currently shares an inspector general with the Federal Reserve System.
  • H.R. 4262, the "Bureau Advisory Commission Transparency Act," introduced by Rep. Sean Duffy, R-Wis. This bill would apply the requirements of the Federal Advisory Committee Act to CFPB. The law requires open meetings and public involvement to be allowed in government agencies.
  • H.R. 4604, the "CFPB Data Collection Security Act," introduced by Rep. Lynn Westmoreland, R-Ga. This bill requires CFPB to create an opt-out list for consumers who do not want the bureau to collect personally identifiable information about them and to delete or destroy private consumer information within a specific time period.
  • H.R. 4662, the "Bureau Advisory Opinion Act," introduced by Rep. Bill Posey, R-Fla. This bill would establish an advisory opinion process that could be used to obtain legal opinions on proposed new services.
  • The "Bureau Guidance Transparency Act" discussion draft by Rep. Marlin Stutzman, R-Ind. This draft bill would require a public notice and comment period before CFPB issued guidance in final form.
  • The "Preventing Regulatory Abuse Act of 2014," by Rep. Andy Barr, R-Ky. This draft bill would require a formal rulemaking process in defining what is an "abusive" act or practice.

The subcommittee will hear from a panel that includes representatives from the Mercatus Center at George Mason University and the American Land Title Association.