Legislative Activity
House Moves CHOICE Act Forward as Senate Banking Committee Discusses Banking Reforms
Last week, the House passed the Financial CHOICE Act of 2017 (CHOICE Act) by a vote of 233-186. The comprehensive deregulatory bill would roll back many of the regulations put in place by the Dodd–Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank). For now, passage of the bill amounts to little more than a messaging exercise from the House GOP, since Senate Republicans do not plan to take up the legislation as written. House Financial Services Committee Chairman Jeb Hensarling (R-TX) – the author of the CHOICE Act – has expressed his hope that at least parts of the bill will become law during this Congress. That said, he has also conceded it is a “long game” with some of the bill’s proposals, recognizing the challenging political obstacles of moving the bill through the Senate. Note that the CHOICE Act vote was along party lines except for one Republican, Rep. Walter Jones (R-NC), who voted against the bill.

Meanwhile, on the other side of Capitol Hill, the Senate Banking Committee held a hearing last week titled “Fostering Economic Growth: The Role of Financial Institutions in Local Communities.” Broadly speaking, the hearing focused on banking regulatory reform – especially as it relates to community banks and credit unions. Relatedly, on Thursday, June 15, the Senate Banking Committee is set to hold a hearing on potential regulatory reforms for mid-sized, regional, and large financial institutions.