House Passes Financial CHOICE Act, Alternative to Dodd-Frank

On Thursday, June 8, 2017, the U.S. House of Representatives passed House Financial Services Committee Chairman Jeb Hensarling’s (R-TX) alternative to Dodd-Frank, the Financial CHOICE Act, H.R. 10. The bill passed by a partisan vote of 233 to 186.

 

With a structured rule in place, only six amendments were considered, keeping the bill substantially similar to the version that passed the House Financial Services Committee in May of this year.  Most notably, the bill was modified to remove the controversial Durbin Amendment repeal language before it went to floor for consideration.  Further, the legislation leaves the structure at the CFPB unchanged, led by a single director, but removable at will by the president.  The bill also subjects the Bureau to additional Congressional oversight putting it under the annual appropriations process.  Moreover, the CHOICE Act limits the CFPB’s supervisory and rulemaking authority; repeals the arbitration rule and section 1071, the small business data collection rulemaking requirement; and makes the complaint portal non-public.