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Bill114th CongressFiled Sep 9, 2016Finance and Financial Sector
H.R. 5983

Financial CHOICE Act of 2016

Bill journey · stage 2 of 5

Under committee review

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What it doesSummary reported to house amended, part i (Dec 20, 2016)

Financial CHOICE Act of 2016

This bill amends the Dodd-Frank Wall Street Reform and Consumer Protection Act, among other Acts, to:

  • repeal the "Volcker Rule" (which restricts banks from making certain speculative investments);
  • with respect to winding down failing banks, eliminate the Federal Deposit Insurance Corporation's orderly liquidation authority and establish new provisions regarding financial institution bankruptcy; and
  • repeal the "Durbin Amendment" (which limits the fees that may be charged to retailers for debit card processing).

Certain banks may exempt themselves from specified regulatory standards if they maintain a certain ratio of capital to total assets and meet other specified requirements.

The bill removes the Financial Stability Oversight Council's authority to designate non-bank financial institutions and financial market utilities as "systemically important" (also known as "too big to fail"). Under current law, entities so designated are subject to additional regulatory restrictions. Designations made previously are retroactively repealed. 

The bill also amends the Consumer Financial Protection Act of 2010 to:

  • restructure the Consumer Financial Protection Bureau by replacing its director with a bipartisan commission;
  • subject the commission to the congressional appropriations process, expanded judicial review, and additional congressional oversight; and
  • limit the commission's authority to take action against entities for "abusive" practices.

In addition, the bill:

  • modifies provisions related to the Securities and Exchange Commission's managerial structure and enforcement authority;
  • eliminates the Office of Financial Research within the Department of the Treasury; and
  • revises provisions related to capital formation, insurance regulation, civil penalties for securities laws violations, and community financial institutions.

What just happenedDec 20, 2016

Placed on the Union Calendar, Calendar No. 693.

Who’s behind it

Rep. Hensarling, Jeb [R-TX-5](R-TX)Sponsor
5 cosponsors5 R
Read on Congress.gov
5cosponsors9committees36actions76related bills55subjects
  1. Dec 20, 2016CalendarsH12410

    Placed on the Union Calendar, Calendar No. 693.

  2. Dec 20, 2016DischargeH12300

    Committee on Education and the Workforce discharged.

    Education and the Workforce Committee
  3. Dec 20, 2016Committee5500

    Committee on Education and the Workforce discharged.

    Education and the Workforce Committee
  4. Dec 20, 2016DischargeH12300

    Committee on the Budget discharged.

    Budget Committee
  5. Dec 20, 2016Committee5500

    Committee on the Budget discharged.

    Budget Committee
  6. Dec 20, 2016DischargeH12300

    Committee on Rules discharged.

    Rules Committee
  7. Dec 20, 2016Committee5500

    Committee on Rules discharged.

    Rules Committee
  8. Dec 20, 2016DischargeH12300

    Committee on Transportation discharged.

    Transportation and Infrastructure Committee
  9. Dec 20, 2016Committee5500

    Committee on Transportation discharged.

    Transportation and Infrastructure Committee
  10. Dec 20, 2016DischargeH12300

    Committee on Oversight and Government discharged.

    Oversight and Accountability Committee
  11. Dec 20, 2016Committee5500

    Committee on Oversight and Government discharged.

    Oversight and Accountability Committee
  12. Dec 20, 2016DischargeH12300

    Committee on the Judiciary discharged.

    Judiciary Committee
  13. Dec 20, 2016Committee5500

    Committee on the Judiciary discharged.

    Judiciary Committee
  14. Dec 20, 2016DischargeH12300

    Committee on Ways and Means discharged.

    Ways and Means Committee
  15. Dec 20, 2016Committee5500

    Committee on Ways and Means discharged.

    Ways and Means Committee
  16. Dec 20, 2016DischargeH12300

    Committee on Agriculture discharged.

    Agriculture Committee
  17. Dec 20, 2016Committee5500

    Committee on Agriculture discharged.

    Agriculture Committee
  18. Dec 20, 2016CommitteeH12200

    Reported (Amended) by the Committee on Financial Services. H. Rept. 114-883, Part I.

    Financial Services Committee
  19. Dec 20, 2016Committee5000

    Reported (Amended) by the Committee on Financial Services. H. Rept. 114-883, Part I.

    Financial Services Committee
  20. Sep 23, 2016Committee

    Referred to the Subcommittee on Commodity Exchanges, Energy, and Credit.

    Commodity Markets, Digital Assets, and Rural Development Subcommittee
  21. Sep 15, 2016Committee

    Referred to the Subcommittee on Regulatory Reform, Commercial And Antitrust Law.

    Administrative State, Regulatory Reform, and Antitrust Subcommittee
  22. Sep 13, 2016Committee

    Ordered to be Reported (Amended) by the Yeas and Nays: 30 - 26.

    Financial Services Committee
  23. Sep 13, 2016Committee

    Committee Consideration and Mark-up Session Held.

    Financial Services Committee
  24. Sep 12, 2016Committee

    Referred to the Subcommittee on Economic Development, Public Buildings and Emergency Management.

    Economic Development, Public Buildings, and Emergency Management Subcommittee
  25. Sep 9, 2016IntroReferralH11100

    Referred to the Committee on Financial Services, and in addition to the Committees on Agriculture, Ways and Means, the Judiciary, Oversight and Government Reform, Transportation and Infrastructure, Rules, the Budget, and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

    Education and the Workforce Committee
  26. Sep 9, 2016IntroReferralH11100

    Referred to the Committee on Financial Services, and in addition to the Committees on Agriculture, Ways and Means, the Judiciary, Oversight and Government Reform, Transportation and Infrastructure, Rules, the Budget, and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

    Budget Committee
  27. Sep 9, 2016IntroReferralH11100

    Referred to the Committee on Financial Services, and in addition to the Committees on Agriculture, Ways and Means, the Judiciary, Oversight and Government Reform, Transportation and Infrastructure, Rules, the Budget, and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

    Rules Committee
  28. Sep 9, 2016IntroReferralH11100

    Referred to the Committee on Financial Services, and in addition to the Committees on Agriculture, Ways and Means, the Judiciary, Oversight and Government Reform, Transportation and Infrastructure, Rules, the Budget, and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

    Transportation and Infrastructure Committee
  29. Sep 9, 2016IntroReferralH11100

    Referred to the Committee on Financial Services, and in addition to the Committees on Agriculture, Ways and Means, the Judiciary, Oversight and Government Reform, Transportation and Infrastructure, Rules, the Budget, and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

    Oversight and Accountability Committee
  30. Sep 9, 2016IntroReferralH11100

    Referred to the Committee on Financial Services, and in addition to the Committees on Agriculture, Ways and Means, the Judiciary, Oversight and Government Reform, Transportation and Infrastructure, Rules, the Budget, and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

    Judiciary Committee
  31. Sep 9, 2016IntroReferralH11100

    Referred to the Committee on Financial Services, and in addition to the Committees on Agriculture, Ways and Means, the Judiciary, Oversight and Government Reform, Transportation and Infrastructure, Rules, the Budget, and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

    Ways and Means Committee
  32. Sep 9, 2016IntroReferralH11100

    Referred to the Committee on Financial Services, and in addition to the Committees on Agriculture, Ways and Means, the Judiciary, Oversight and Government Reform, Transportation and Infrastructure, Rules, the Budget, and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

    Agriculture Committee
  33. Sep 9, 2016IntroReferralH11100-A

    Referred to the Committee on Financial Services, and in addition to the Committees on Agriculture, Ways and Means, the Judiciary, Oversight and Government Reform, Transportation and Infrastructure, Rules, the Budget, and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

  34. Sep 9, 2016IntroReferralH11100

    Referred to the Committee on Financial Services, and in addition to the Committees on Agriculture, Ways and Means, the Judiciary, Oversight and Government Reform, Transportation and Infrastructure, Rules, the Budget, and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

    Financial Services Committee
  35. Sep 9, 2016IntroReferralIntro-H

    Introduced in House

  36. Sep 9, 2016IntroReferral1000

    Introduced in House

Reported to House amended, Part IDec 20, 201618

Financial CHOICE Act of 2016

This bill amends the Dodd-Frank Wall Street Reform and Consumer Protection Act, among other Acts, to:

  • repeal the "Volcker Rule" (which restricts banks from making certain speculative investments);
  • with respect to winding down failing banks, eliminate the Federal Deposit Insurance Corporation's orderly liquidation authority and establish new provisions regarding financial institution bankruptcy; and
  • repeal the "Durbin Amendment" (which limits the fees that may be charged to retailers for debit card processing).

Certain banks may exempt themselves from specified regulatory standards if they maintain a certain ratio of capital to total assets and meet other specified requirements.

The bill removes the Financial Stability Oversight Council's authority to designate non-bank financial institutions and financial market utilities as "systemically important" (also known as "too big to fail"). Under current law, entities so designated are subject to additional regulatory restrictions. Designations made previously are retroactively repealed. 

The bill also amends the Consumer Financial Protection Act of 2010 to:

  • restructure the Consumer Financial Protection Bureau by replacing its director with a bipartisan commission;
  • subject the commission to the congressional appropriations process, expanded judicial review, and additional congressional oversight; and
  • limit the commission's authority to take action against entities for "abusive" practices.

In addition, the bill:

  • modifies provisions related to the Securities and Exchange Commission's managerial structure and enforcement authority;
  • eliminates the Office of Financial Research within the Department of the Treasury; and
  • revises provisions related to capital formation, insurance regulation, civil penalties for securities laws violations, and community financial institutions.
Introduced in HouseSep 9, 2016

Financial CHOICE Act of 2016

This bill amends the Dodd-Frank Wall Street Reform and Consumer Protection Act, among other Acts, to:

  • repeal the "Volcker Rule" (which restricts banks from making certain speculative investments);
  • with respect to winding down failing banks, eliminate the Federal Deposit Insurance Corporation's orderly liquidation authority and establish new provisions regarding financial institution bankruptcy; and
  • repeal the "Durbin Amendment" (which limits the fees that may be charged to retailers for debit card processing).

Certain banks may exempt themselves from specified regulatory standards if they maintain a certain ratio of capital to total assets and meet other specified requirements.

The bill removes the Financial Stability Oversight Council's authority to designate non-bank financial institutions and financial market utilities as "systemically important" (also known as "too big to fail"). Under current law, entities so designated are subject to additional regulatory restrictions. Designations made previously are retroactively repealed. 

The bill also amends the Consumer Financial Protection Act of 2010 to:

  • restructure the Consumer Financial Protection Bureau by replacing its director with a bipartisan commission;
  • subject the commission to the congressional appropriations process, expanded judicial review, and additional congressional oversight; and
  • limit the commission's authority to take action against entities for "abusive" practices.

In addition, the bill:

  • modifies provisions related to the Securities and Exchange Commission's managerial structure and enforcement authority;
  • eliminates the Office of Financial Research within the Department of the Treasury; and
  • revises provisions related to capital formation, insurance regulation, civil penalties for securities laws violations, and community financial institutions.
Financial CHOICE Act of 2016 — Informed