Democrats Press Trump To Fill Minority Seats at Financial Regulators
By CU Today Staff —
WASHINGTON— Senate Banking Committee Democrats this week accused the Trump Administration of abandoning a long-standing bipartisan tradition by failing to nominate minority party members to vacancies at several federal financial regulatory agencies, arguing that the vacancies threaten the independence and credibility of key banking watchdogs, according to statements released by Democratic committee members and multiple media reports.
Democrats said administrations of both parties have historically worked with Senate leaders to fill open seats at agencies such as the Federal Reserve, FDIC, SEC and NCUA with members from both political parties. They contend that leaving those seats vacant concentrates power in the hands of the administration and weakens the checks and balances that have traditionally governed financial regulation, the Washington Post said.
The criticism comes amid heightened partisan tensions surrounding financial regulators. Democrats have already challenged the Trump Administration's approach to the Federal Reserve, including the nomination of Fed Chair Kevin Warsh and broader efforts to reshape financial regulation, while also raising concerns about vacancies and governance at independent agencies, Reuters noted.
The White House has argued that it retains broad authority to nominate regulators and has focused on advancing its own financial-policy agenda, including deregulatory initiatives and changes at agencies such as the CFPB. The dispute is expected to add to ongoing debates over the independence of federal financial regulators and the role Congress should play in maintaining bipartisan representation on regulatory boards that oversee banks, credit unions and financial markets, the Washington Post said.
Originally reported by CU Today.