Congress is currently considering proposals for regulatory reform and consumer protection legislation to combat the unsound financial products and practices that led to the economic crisis.  The events of recent months have made clear that the current framework of regulations and the structure of accountability for financial institutions are inadequate.  In a time when foreclosures and the severe contraction of the credit market continue to affect millions of American families, we can no longer accept the status quo.  Congress must act swiftly to address the gaps in oversight of financial products and institutions while strengthening consumer protection laws.

One proposal on the table is a broad new regulatory entity.  House Financial Services Committee Chairman Barney Frank recently introduced H.R. 3126, which would establish the Consumer Financial Protection Agency (CFPA), a powerful independent agency with a range of rulemaking, information-gathering, supervisory, and enforcement tools to better protect consumers who purchase financial products from banks and non-bank financial institutions. 

Central to the process of shaping this legislation are the multiple hearings held in the House Committee on Financial Services and the Committee on Energy and Commerce.  These hearings will thoroughly examine perspectives on the proposed CFPA from consumer groups, financial institutions and government agencies to shed light on key issues affecting financial regulatory reform and its affect on American consumers.

I encourage you to join me in monitoring the hearings and discussion of this process.  As always, I welcome your input and perspective as the bill moves through Committee.  For more information on past and scheduled hearings, please visit the website of the House Committee on Financial Services at http://financialservices.house.gov/ and click on ‘Hearings and Legislation.

Additionally, please visit my website at http://ortiz.house.gov for updated information on other related hearings, and reports and resources on regulatory reform and consumer protection issues.