House Passes Bill to Review Outdated and Excessive Regulations
WASHINGTON – Today, the U.S. House of Representatives passed H.R. 4607, the Comprehensive Regulatory Review Act, a bill to require financial regulators to conduct a comprehensive review of all regulations in order to identify those that are outdated or otherwise unnecessary. Congressman Lou Barletta (PA-11) voted in favor of the bill, which passed by a bipartisan vote of 264 to 143.
“It’s important that the House again recognized how excessive regulation can have a devastating impact on jobs and a significant drag on the economy,” Barletta said after the vote. “I’m pleased that we were able to come to a bipartisan consensus that businesses should be free from excessive, burdensome regulations. Faceless, nameless Washington bureaucrats with little accountability have suffocated businesses and limited economic growth on main street for too long. This bill is a better deal for the economy and a win for American workers and families.”
The Economic Growth and Regulatory Paperwork Reduction Act of 1996 (EGRPRA) requires the Federal Financial Institutions Examination Council, together with each appropriate Federal banking agency, to conduct a joint review of existing regulations every 10 years. Rules that are deemed outdated, unnecessary, or unduly burdensome are then considered for elimination or alteration to reduce regulatory burdens while, at the same time, ensuring the safety and soundness of the financial system. As part of the review, EGRPRA requires these agencies to, at regular intervals, provide notice and solicit public comment on a particular category or categories of regulations.
This legislation would require both the Consumer Financial Protection Bureau and the National Credit Union Administration to participate in the review process because the current statute does not include them in the definition of an “appropriate Federal banking agency.” Furthermore, this bill would require a review of rules and regulations to occur every seven years, rather than the currently mandated 10 year interval, to ensure regulators maintain efficient and relevant regulations as the financial system continues to advance and grow.