Mitch Perry
Charlie Crist took to the floor of the U.S. House on Thursday to blast the Financial CHOICE Act, a Republican-sponsored bill that would undo significant parts of the Dodd-Frank financial reforms implemented the wake of the Great Recession..
“Unrestrained greed on Wall Street caused a preventable disaster because at no point did anyone say: This is simply wrong,” Crist said before the House approved the measure.
“I remember 2008 and 2009: the bailouts, the foreclosures, the long, painful road to recovery,” he said. “The financial crisis exposed a broken regulatory system allowing Wall Street to gamble with Main Street’s future.”
Republicans have chafed at the existence of Dodd-Frank since it passed in 2010.
Sponsored by Texas Republican Jeb Hensarling, the bill would give the president the power to fire the heads of the Consumer Financial Protection Bureau, the consumer watchdog agency created under Dodd-Frank, and the Federal Housing Finance Agency, which oversees mortgage giants Fannie Mae and Freddie Mac, at any time for any — or no — reason.
It also gives Congress oversight over the CFPB’s budget, meaning lawmakers could defund the agency entirely, and bars the Federal Deposit Insurance Corp. from overseeing the living will process, which requires banks to write up plans on how they would safely be unwound in the event of a collapse. The FDIC and the Fed are the two regulators responsible for overseeing this requirement under the 2010 law.
It also repeals what’s known as “the Volcker rule,” named after former Fed Chairman Paul Volcker, that addresses self dealign and conflicts of interests between banks and their customers.
While Crist was denouncing the bill, other Tampa Bay area Republicans were rejoicing in its passage.
“Simply put, Dodd-Frank has failed,” said Polk County Representative Dennis Ross. “The Financial CHOICE Act represents an alternative and effective approach to financial regulation, which will protect taxpayers, end bank bailouts, empower investors, and hold government bureaucracies accountable.
“Dodd-Frank regulations disproportionately burden small companies and prevent them from competing”, said Hernando County Congressman Daniel Webster. “As a small business owner, I understand the importance of fair competition, and the Financial CHOICE Act will ensure equal opportunity in the financial sector, not an emphasis on big business. I thank Rep. Jeb Hensarling for his commitment to this bill. After years of defeat, with President Trump in the White House this bill has the opportunity to become law.”
Democrats have dubbed the bill the “Wrong Choice Act.”
“With this bill, Members are being asked to again trust the very people who brought us to this financial crisis,” Crist said. “Don’t put them back in charge. Do not let them do it again.”
