Sponsors (17)
Introduced January 23, 2025 by Garland H. Barr · Last progress January 23, 2025
The bill moves CFPB funding into the annual appropriations process, increasing congressional oversight and budget flexibility but raising the risk that politicized funding decisions could weaken consumer protection, create funding uncertainty, and shift costs or responsibilities onto taxpayers and other agencies.
Taxpayers and the public gain annual congressional oversight and control over CFPB funding, increasing democratic accountability and allowing Congress to align funding with fiscal and policy priorities.
Congress can adjust CFPB funding year-to-year to manage priorities and fiscal constraints, providing budgetary flexibility to respond to changing economic conditions.
Consumers could face weaker protections if appropriations are reduced or uncertain, because CFPB enforcement and rulemaking may be curtailed by funding cuts.
Federal employees and taxpayers face increased politicization risk: shifting CFPB funding into the annual appropriations process may lead to episodic underfunding, brinkmanship, or shutdown-linked disruptions.
Taxpayers may ultimately bear higher costs if Congress increases CFPB funding above prior caps without offsetting cuts elsewhere.
Based on analysis of 3 sections of legislative text.
Renames the CFPB to the Consumer Financial Empowerment Agency and ends automatic Federal Reserve funding, requiring annual appropriations for FY2026–FY2027.
Renames the Consumer Financial Protection Bureau to the "Consumer Financial Empowerment Agency," adjusts statutory language throughout related statutes, and changes the agency’s funding model by ending automatic transfers from the Federal Reserve and directing that funding for fiscal years 2026 and 2027 be provided through regular annual appropriations. The bill makes additional technical edits to appointment language and removes or relocates certain statutory subsections, but does not create new programs or new budget authorities beyond converting the funding mechanism.