ACU: Supreme Court Ruling Could Reshape Independence Of Federal Agencies
By CU Today Staff —
WASHINGTON—The U.S. Supreme Court could issue its long-awaited decision in Trump v. Slaughter as early as this week, a ruling that credit union advocates and financial regulators are closely watching for its potential impact on the independence of federal agencies.
Speaking during a media briefing, Ann Petros, vice president, policy engagement and credit union operations for America's Credit Unions, said the Court still has at least 17 pending cases awaiting opinions and that the decision could be released Tuesday, Thursday or potentially next week. Only three opinions were issued last Thursday, leaving a significant number of major cases still outstanding.
Petros said America's Credit Unions does not expect any major surprises from the ruling and anticipates the Court will largely overturn the precedent established in Humphrey's Executor v. United States, which has long limited a president's ability to remove leaders of independent agencies. Such a decision would affirm broader presidential authority to remove the heads of independent boards and commissions, she said.
If the Court rules as expected, leaders of agencies traditionally considered independent would effectively serve at the pleasure of the president and could be replaced as administrations change, potentially altering how federal regulatory agencies operate and are overseen.
Petros said one of the key questions is whether the Court will distinguish the Federal Reserve System from other independent agencies and preserve special protections for Federal Reserve governors. She noted that issue has drawn increased attention amid recent controversy surrounding the dismissal of a Federal Reserve governor and could be addressed in the Court's opinion.
Originally reported by CU Today.