U.S. Rep. Alex X. Mooney (R-WV) recently reintroduced the Transparency in Consumer Financial Protection Bureau (CFPB) Cost-Benefit Analysis Act (H.R. 1313), which seeks to bolster Consumer Financial Protection Bureau (CFPB) rulemaking requirements, aiding consumers and small businesses.
Mooney said that cost-benefit analysis is an essential tool for regulators to weigh the costs of implementation and compliance with the benefits of the regulation.
“It is long past time for the Consumer Financial Protection Bureau to adhere to a rigorous and transparent cost-benefit analysis,” Mooney said. “My bill will help stop regulatory overreach by the CFPB; and provide regulatory relief to small businesses, community banks, and credit unions across West Virginia.”
West Virginia Bankers Association President and CEO Sally Cline said the organization supports the legislation.
“The requirement to consider the costs and benefits to stakeholders in the federal rulemaking process is sound policy and will benefit consumers, small businesses, and community banks across West Virginia,” Cline said.
West Virginia Credit Union League President and CEO Rich Schaffer noted the group also welcomed the bill.
“It’s beneficial to consumers, small businesses, and our lawmakers to see the impact of new regulations before they are implemented,” he said.
National Association of Federally-Insured Credit Unions (NAFCU) President and CEO Dan Berger said transparency in CFPB Cost-Benefit Analysis Act would ensure the CFPB would be held to the same standard as other agencies when reviewing the cost-benefit analysis for its proposed rules.
“While credit unions understand the need for appropriate and balanced rulemaking, it’s important for regulators to understand the overall impact, whether, through compliance costs or the upshot on competition, these rules would have on financial institutions,” Berger said.
Mooney introduced the legislation with 19 Republican co-sponsors.