A pair of Republicans in the House of Representatives have written a letter to Rohit Chopra, the Director of the Consumer Financial Protection Bureau demanding proof that justifies the Bureau’s authority to take action on rulemakings and initiatives it has announced. The Republicans — Rep. Patrick McHenry [R-N.C.], the ranking member of the House Financial Services Committee, and Rep. James Comer [R-Kent.], the ranking member of the House Oversight and Reform Committee, say that Chopra and the CFPB are acting outside its authority and keeping everyone “in the dark.”
A copy of the letter can be accessed by clicking here.
The catalyst for the letter was a recent Supreme Court ruling — West Virginia v. EPA — which held that an agency of the federal government must point to “clear congressional authorization” when enacted rules and guidance for the market it oversees. The ruling is expected to rein in regulatory actions from government agencies.
Among the questionable actions announced by the CFPB that the Republicans think exceeds the CFPB’s authority are:
- Giving states the power to enforce the Consumer Financial Protection Act
- Limiting the preemption of the Fair Credit Reporting Act to allow states to pass their own laws
- Expanding Equal Credit Opportunity
Chopra is asked by Rep. McHenry and Rep. Comer to provide a list of actions that the CFPB intends to take during the remainder of 2022 and the Congressional authority it has for each action, and a list of all expected actions — including guidance and advisory opinions — that the Bureau intends to take.