State and Tribal Government Sovereignty Protection Act of 2016

This bill establishes a moratorium period during which the Consumer Financial Protection Bureau (CFPB) may not issue or enforce any rule or regulation governing payday loans, vehicle title loans, or other similar loans.

The Consumer Financial Protection Act of 2010 is amended to prohibit the CFPB from issuing any final rule or regulation to regulate payday loans, vehicle title loans, or other similar loans, unless it first: (1) consults with appropriate state, tribal, and local officials in each jurisdiction that may be affected by the rule; (2) conducts specified studies; and (3) issues a public report regarding study findings.

The CPFB shall grant a five-year waiver from such a rule or regulation if a state or federally recognized Indian tribe requests one. The waiver may be renewed at the expiration of each five-year waiver period.