Hensarling praises Trump budget’s proposal to gut CFPB

by Ryan Smith26 May 2017
President Donald Trump’s budget proposal has been harshly criticized by economists, who say the math doesn’t add up, and that its projections for economic growth fail to account for revenue lost to the massive tax cuts it proposes. One top Republican, however, had glowing praise for the Trump budget – especially its revisions to the Dodd-Frank Act and the Consumer Financial Protection Bureau.

Rep. Jeb Hensarling (R-Texas), chairman of the House Financial Services Committee, called the Trump budget “a sober document” that “takes a long-overdue look at redefining the proper role of the federal government.”

Hensarling contrasted Trump’s proposal with what he called the “higher taxes, spending and borrowing” of “Obamanomics.”

“Left unchecked, our nation is driving at breakneck speed toward a spending-driven debt crisis that will leave us a nation of downsized dreams and fewer opportunities,” Hensarling said.

Hensarling was especially pleased with Trump’s proposals on Dodd-Frank and the CFPB.

“I am also pleased (that Trump’s) budget seeks to repeal the Dodd-Frank Act’s taxpayer-funded bailout scheme and bring spending accountability to the unconstitutional CFPB,” he said.

Trump’s budget would effectively eviscerate the controversial agency, slashing its funding by $145 million in 2018 and calling for increasing cuts each subsequent year.  In 2019, the budget calls for a $650 million cut to the CFPB’s budget – a move that would eliminate nearly all its estimated funding for the year.

Hensarling praised the budget proposal for “making Washington regulators accountable.”

“If we want strong economic growth and more freedom, we must empower Americans, not Washington bureaucrats,” he said.

Democratic members of Hensarling’s committee disagree. Rep. Maxine Waters (D-Calif.), ranking member on the committee, blasted the budget proposal as an attempt to “functionally terminate” the CFPB, which she called “the only federal agency with the sole purpose of protecting consumers.”

Related stories:
Trump budget proposal would eviscerate CFPB
Trump promises ‘major haircut’ on Dodd-Frank