Sen. Roy Blunt (R-Mo.) is calling his vote against the nomination of Richard Cordray to direct the Consumer Financial Protection Bureau a vote against the bureau and not the nominee.
According to Blunt, keeping the CFPB leaderless prevents it from beginning its mission and asserting unprecedented authority over the financial industry, OzarksFirst.com reports.
“The last thing we need is another unaccountable czar with unlimited power,” Blunt said. “I’m proud to co-sponsor this bill, which would address the CFPB’s lack of transparency and accountability.”
The bureau, which is a product of last year’s Dodd-Frank law, aims to create new rules in order to make banks and other financial institutions more transparent.
Without a director in place, the bureau is unable to use all of the powers granted by Dodd-Frank, such as regulating non-bank lenders. Republicans saw this as their way to handicap the bureau until Democrats agreed to make structural changes, such as replacing the director with a commission and giving Congress authority over its budget.
The director position, Republicans argued in a letter to President Obama in May, held too much unchecked power without any effective checks and balances.
Democrats refused to budge on the compromise offers and Republicans blocked Cordray’s confirmation, which required 60 votes of approval.