SCOTUS will hear challenge to CFPB funding mechanism
The Supreme Court announced Monday it will hear a lawsuit challenging the funding mechanism of the Consumer Financial Protection Bureau (CFPB). The 5th U.S. Circuit Court of Appeals found the CFPB’s funding mechanism unconstitutional in an October decision.
CUNA has long supported placing the CFPB under the traditional appropriations process.
“It's been clear for some time that there are serious flaws with the CFPB's current structure and we have long supported Congressional action to restore accountability and oversight,” said CUNA President/CEO Jim Nussle. “The Supreme Court agreeing to hear the case on constitutionality highlights the urgency of this issue.”
The three-judge panel found in October that placing CFPB funding outside of the process violates the U.S. Constitution’s structural separation of powers.