Financial institutions such as community banks and credit unions play a critical role in our local economy. Local lending institutions can more effectively help customers because of their detailed knowledge of customers and close ties to the community. This presence helps businesses buy new equipment, add to the workforce and improve products and services to the local economy.
Unfortunately, in 2010, in the wake of the Wall Street financial crisis, Democrats in Congress passed the Dodd-Frank Act. More than 2,300 pages of new law and 400 new rules and mandates turned the financial sector on its head, all while failing to address the real causes of the financial crisis. It is estimated by both the Congressional Budget Office and the Government Accountability Office that $27 billion will be taken out of the economy because of this legislation and that 2,600 new, full-time federal employees will need to be hired—simply to implement the new rules and regulations created by the legislation.
Since Republicans regained control of the U.S. House of Representatives in 2011, the House Financial Services Committee began a thorough review of the ill-conceived Dodd-Frank legislation decimating small, local financial institutions. The committee has held 65 separate hearings on Dodd-Frank and has reported 18 different bills to the House to repeal, reform or fix provisions of Dodd-Frank. The House has passed seven of these bills so far, and I have supported each of them during consideration.
I am supportive of our financial institutions which are critical to the continued success of small businesses and the local economy. Instead of imposing new regulatory burdens on institutions that had no part in the financial crisis, I am committed to working to ensure that the government gets out of the way and allows financial institutions to serve everyone.
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Washington, D.C. – Congressman Tom Cole (OK-04) responded to the attempt by the House to override the President’s veto on the disapproval of the Department of Labor’s definition of “fiduciary.” This legislation, H.J.Res. 88, would have nullified the regulation issued by the Department of Labor to revise the term “fiduciary,” ultimately changing the responsibilities within pension and retirement planning.