Key official won’t challenge consumer bureau arbitration rule: Acting Comptroller of the Currency Keith Noreika said Monday his agency wouldn’t formally seek the repeal of the Consumer Financial Protection Bureau’s (CFPB) forced arbitration rule, citing a lack of time to analyze its impact.
Noreika, temporary head of the Office of the Comptroller of the Currency (OCC), said the OCC won’t challenge the arbitration rule before the Financial Stability Oversight Council (FSOC), an interagency financial regulatory group established by Dodd-Frank. The acting comptroller said the OCC wouldn’t have enough time to complete “a thorough analysis” of the CFPB before the deadline to challenge it before the FSOC.
The Dodd-Frank Wall Street reform law, which established the FSOC and the CFPB, only lets FSOC review CFPB rules within 10 days of their publication in the Federal Register. Since the CFPB rule was published on July 19, Noreika said that window was too small for OCC to challenge the rule.
“Since the CFPB published the rule in the Federal Register prior to providing its data for our analysis and we have requested additional data in order to conduct a thorough review, the OCC cannot complete our thorough review in the limited time,” Noreika said in a statement. I’ll tell you about the road ahead here: http://bit.ly/2vgMWOm.
Ryan praises conservative group’s efforts to promote tax reform: Speaker Paul RyanPaul RyanOPINION | John Kelly is the right man to get Trump’s house in order Overnight Finance: WH official eyes tax reform by November | House faces uncertain path on budget | New sanctions on Venezuelan president | GOP chair wants investigation into Cordray Post-9/11 military authorization plan needs fresh look MORE (R-Wis.) is praising the American Action Network’s (AAN) multimillion-dollar effort to promote tax reform, as Republicans and outside groups work to get constituents behind the GOP’s tax-rewrite plans over the August recess.
“A simpler, fairer tax system that puts working families first will strengthen our economy and create more jobs,” Ryan said in a statement tweeted Tuesday from his personal account. “I am encouraged to see the Middle Class Growth Initiative, and American Action Network, working to give their voice to this critical issue, and I’m pleased for such allies and supportive efforts.”
AAN, a House GOP leadership-aligned group that promotes conservative policies, announced its Middle-Class Growth Initiative earlier this week. It said it plans to spend $5 million over the August recess to help make the case for changes that lower taxes for the middle class and small businesses: http://bit.ly/2vgGU0k.
Top Financial Services Dems call for hearing on growing Wells Fargo scandal: The top Democrats on the House Financial Services Committee asked the panel’s chairman on Tuesday to hold another hearing on Wells Fargo’s sale practices amid reports the bank charged more than 800,000 customers for unwanted auto insurance.
Reps. Maxine Waters (Calif.) and Dan Kildee (Mich.), the ranking and vice ranking Financial Services panel Democrats, asked Chairman Jeb Hensarling (R-Texas) to call Wells Fargo’s top executives for a hearing.
Waters and Kildee said in a letter that lawmakers should be allowed to ask Wells Fargo CEO Timothy Sloan and Chairman Stephen Sanger “about ongoing violations of consumer rights, any lessons learned from the egregious behavior of the bank’s fraudulent opening of millions of unauthorized accounts, and what concrete steps are being taken to address all of the problems that have come to light.”
The letter was also signed by Rep. Al GreenAl GreenWaters: Pence is planning his inauguration House Financial Services panel leaders spar over Trump, Russia Overnight Finance: Dems roll out ‘Better Deal’ economic agenda | Regulators mull changes to ‘Volcker Rule’ | Gingrich, small biz launch tax cut campaign MORE (D-Texas), ranking members of the committee’s oversight and investigations subpanel. I’ve got more here: http://bit.ly/2u1Kiwb.
Trump: Foxconn CEO said ‘off the record’ that he may invest $30B: President Trump said Tuesday that the head of electronics manufacturer Foxconn had privately told him that the company may invest as much as $30 billion in its U.S. manufacturing operations — three times as much as what it had promised last week.
Trump made the remark during a White House event for small businesses, praising Foxconn for its plan to open a factory in Wisconsin and invest $10 billion.
“He told me off the record — he thinks he may go $30 billion,” Trump said of Foxconn CEO Terry Gou. “But he told me that off the record, so I promised I wouldn’t tell anyone.”
“That’s called big business, by the way,” Trump added to laughs from the audience.
Foxconn did not immediately respond to a request for comment: http://bit.ly/2u1MnII.
Happy Tuesday and welcome to Overnight Finance. I’m Sylvan Lane, and here’s your nightly guide to everything affecting your bills, bank account and bottom line.
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Ross: US moves to defend exporters not protectionism: Commerce Secretary Wilbur Ross said Tuesday that the Trump administration’s response to unfair trade practices shouldn’t be viewed as protectionism.
Ross said the United States is well within its rights to levy trade remedies against countries like China and the European Union as a way to protect American exporters.
“Defending U.S. workers and businesses against this onslaught should not be mislabeled as protectionism,” Ross wrote in a Wall Street Journal op-ed.
“Insisting on fair trade is the best way to ensure the long-term strength of the international trading system,” he said.
Instead, Ross said, those same trading partners that are complaining that the U.S. is taking more protectionist steps against them are maintaining high tariffs, using government subsidies to undercut American products while raking in trade surpluses. Here’s more from The Hill’s Vicki Needham: http://bit.ly/2u1iKHm.
Corker: Senate committee may not pass budget: The Senate Budget Committee may not pass a budget resolution for fiscal 2018, panel member Bob CorkerBob CorkerPost-9/11 military authorization plan needs fresh look Trump’s nominee to lead USAID has the right philosophy on international aid US, South Korea talk military options following North Korea missile test MORE (R-Tenn.) said Tuesday.
“I’m not even sure there’s going to be a budget that comes through committee,” Corker said, noting that there is no current movement on advancing a resolution.
Instead, Senate leadership could move a bill as they see fit, complete with reconciliation instructions for tax reform and possible mandatory cuts.
“Because we’ve gone beyond the effective date of April whatever, [leaders] have the ability to just deem something to the floor, and I don’t know that the committee itself is even going to take action,” Corker continued.
But a spokesman for the Budget Committee said that Chairman Mike EnziMike EnziLive coverage: Senate debates repealing ObamaCare Overnight Finance: House votes to repeal arbitration rule | Yellen, Cohn on Trump’s list for Fed chief | House passes Russia sanctions deal | GOP centrists push back on border wall funding Senators urge quotas on Canadian lumber, consultations with Congress MORE (R-Wyo.) is intent on moving forward.
“Chairman Enzi has consistently said we are going to do a budget this year, and continues to have discussions with members of his committee on the best path forward,” the spokesman said. The Hill’s Niv Elis reports: http://bit.ly/2u1IRxE.
Dems express interest in working with GOP on bipartisan tax reform: Senate Democrats are urging Republicans to work with them on bipartisan tax reform.
In a letter addressed to President Trump, Senate Majority Leader Mitch McConnellMitch McConnellDem ad maker cuts new ad in Kentucky for Amy McGrath Dems express interest in working with GOP on bipartisan tax reform McConnell faces questions, but no test to his leadership MORE (R-Ky.) and Sen. Orrin HatchOrrin HatchDems express interest in working with GOP on bipartisan tax reform Senate Republicans brush off Trump’s healthcare demands Overnight Healthcare: GOP, Trump at odds over insurer payments | Bipartisan group floats ObamaCare fixes | Opioid panel urges Trump to declare emergency MORE (R-Utah), Senate Democrats expressed “interest in working with you on bipartisan tax reform.”
“We are confident that, by working together, we could modernize our tax system to increase working families’ wages, improve middle-class job growth, promote domestic investment, modernize our outdated business and international tax systems and put in place sound fiscal policy that raises the revenue needed to meet the needs of our country,” they wrote.
Their letter focused on three “key principles” the Democrats said were “prerequisites to any bipartisan tax reform effort.”
The Democrats wrote that tax reform should not increase the tax burden on the middle class or benefit the wealthiest.
It is also important, they wrote, that tax reform legislation “go through regular order and not reconciliation.” http://bit.ly/2vgcVp2.
Rep. Waters ‘reclaiming my time’ moment inspires gospel song: A singer, inspired by the showdown between Rep. Maxine Waters (D-Calif.) and Treasury Secretary Steven Mnuchin last week, has turned the congresswoman’s repeated phrase “reclaiming my time” into song lyrics.
Maxine asked the secretary during a House Financial Services Committee hearing on Thursday why his agency has not responded to a letter she sent in May inquiring about the president’s financial ties to Russia.
Mnuchin did not directly answer Waters’s question, which led her to repeatedly interject “reclaiming my time.”
The encounter inspired Mykal Kilgore to post a YouTube video of him singing a gospel song about the back-and-forth on Saturday.
“Our beloved ‘Auntie’ Maxine Waters laid this sermon down so good that I had to sing about it! Whenever anybody tries to distract me or block me (even with praise or platitudes) I’m gonna have to let them know that I’m #ReclaimingMyTime,” Kilgore wrote in the description of the song. http://bit.ly/2u193J4.
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