CFPB Plans for RFA Reg Reviews & Announces Deputy Director and Other Leaders
CFPB Plans for RFA Reg Reviews
Yesterday, the CFPB published a notice on how it plans to periodically review regulations under the Regulatory Flexibility Act (RFA) and to request public input. The Bureau also published a notice requesting public input as part of its first RFA review examining the 2009 Overdraft Rule.
Section 610 of the RFA requires that agencies review certain rules within 10 years of their publication and consider the rules' effect on small businesses. The purpose of the review is to minimize any significant economic impact of the rules upon a substantial number of small entities, consistent with the stated objectives of applicable statutes. At the conclusion of each review, the Bureau will determine whether the rule should be continued without change or should be amended or rescinded.
The RFA requires each agency to consider specific factors, including the:
- Continued need for the rule;
- Nature of public complaints or comments on the rule;
- Complexity of the rule;
- Extent to which the rule overlaps, duplicates, or conflicts with federal, state, or other rules; and
- Time since the rule was evaluated or the degree to which technology, economic conditions, or other factors have changed the relevant market.
The public will have 60 days to comment on the CFPB's plan after publication in the Federal Register.
The CFPB is also announcing the launch of its first such review, which is of the Overdraft Rule, issued by the Federal Reserve Board in 2009 to limit the ability of financial institutions to ssess overdraft fees for paying automated teller machine (ATM) and one-time debit card transactions that overdraw consumers' accounts. The rule amended Regulation E.
Yesterday's notice seeks comment on the economic impact of the Overdraft Rule on small entities. The public will have 45 days to comment after publication of the Bureau's notice in the Federal Register.
CFPB Announces Deputy Director and Other Leaders
CFPB Director Kathy Kraninger has announced the appointment of Brian Johnson as the Bureau's deputy director. Johnson has been serving in that position as acting deputy. He joined the Bureau from the House Financial Services Committee.
“I’m glad to announce officially that Brian will be the Bureau’s Deputy Director,” said Director Kraninger. “Not only has he done a fantastic job serving in the Acting capacity, he has been an invaluable part of the team. Brian’s extensive experience on consumer and financial policy will continue to serve the Bureau in its focus on preventing consumer harm and using all of the tools Congress gave us to protect consumers.”
The Bureau also announced the following appointments:
- Kate Fulton -- Chief Operating Officer
- Yasaman Sutton -- Senior Advisor and Counselor to the Director
- Melissa Brand -- Director of the Office of Civil Rights
- Jim Rice -- Assistant Director of the Office of Servicemember Affairs