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Senate Banking Committee Chairman Johnson urges regulators to wrap up Dodd-Frank

Tim Johnson

Tim Johnson

Sen. Tim Johnson (D-S.D.), the chairman of the Senate Banking Committee, urged lawmakers during a hearing last week to finish implementing the Dodd-Frank Act and to confirm “well-qualified” nominees to government agencies.

“While progress has been made, it has been nearly five years since reckless financial firms put our economy in jeopardy, and three years since the passage of the Wall Street Reform Act,” Johnson said in prepared testimony. “It is time to finish implementing these reforms as quickly as possible, to put an end to ‘too-big-to-fail,’ and to protect American taxpayers from ever again bailing out a failing financial company. I have asked our witnesses to outline when their agencies will finalize the remaining rules required by the Act.”

Mary Miller, the Treasury’s undersecretary for domestic finance, said that while the Treasury is approaching the completion of implementation of Dodd-Frank, it does not mean “we will be able to relax our guard,” according to HousingWire.

Federal Reserve Governor Daniel Tarullo said the “deliberate pace and multi-pronged nature” of the law’s implementation may obscure the changing regulatory environment.

Indeed, the Federal Reserve and other banking supervisors have already created a very different supervisory environment than what was prevalent just a few years ago,” Tarullo said, HousingWire reports.

Last week, lawmakers approved final regulatory capital rules from Basel III, the FDIC board approved a final capital interim rule and the OCC approved a rule identical to final rules issued by the Fed earlier this month.

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