House Subcommittee approves bill that would change CFPB structure, funding

The FY25 Financial Services funding bill also would cut CDFI funding

House Republican appropriators are proposing again to convert the Consumer Financial Protection Bureau into a five-member commission that would be subject to the annual appropriations process.

The FY25 Financial Services appropriations bill, which was approved by the House Financial Services Appropriations Subcommittee on Wednesday, also would prohibit the CFPB from implementing several controversial rules. The legislation was approved by the subcommittee by voice vote.

The legislation calls for the Community Development Financial Institutions Fund to receive $276 million in FY25. That represents a $47.4 million cut compared to the program’s FY24 funding level. The bill also would provide $3.423 million for the National Credit Union Administration’s Revolving Loan Fund program, a cut of $42,000 compared to the program’s FY24 funding level.

The bill would prohibit sanctioning any financial institution for providing services to a marijuana-related business. Such a plan has been included in must-pass legislation in the past but has never been included in a final measure agreed upon by the House and Senate.


continue reading »