Graves Statement on CFPB Recess Appointment
House Small Business Committee Chairman Sam Graves (R-MO) today issued the following statement on President Obama’s recess appointment of Richard Cordray as Director of the new Consumer Financial Protection Bureau (CFPB).
“It is unfortunate that the President has bypassed the Senate with this appointment despite repeatedly expressing a desire to work with Republicans on improving the nation’s financial structure. Republicans’ concerns about the overlapping bureaucracy and broad regulatory authority of the CFPB and its impact on community banks, who had nothing to do with the Wall Street crisis, were valid; especially considering access to capital continues to be a roadblock for many small companies.
“Small business owners say they need lending but are getting turned down, while banks are saying they have money to lend but aren’t finding qualified applicants. Somewhere there is a disconnect—the new regulations from Dodd-Frank and the new CFPB have a lot to do with this problem. Before a director is appointed, the Senate should address these issues on behalf of the nearly 30 million American small businesses.”
On July 28th, the Small Business Subcommittee on Investigations, Oversight and Regulations held a hearing to examine the impact of the new CFPB regulations on small businesses.