The House Financial Services Committee approved two bills to address concerns regarding the Financial Stability Oversight Council. House Republicans have opined that the FSOC, which was created by the Dodd-Frank Act, is not transparent and has been given too much authority, while Democrats accused Republicans of trying to abate a necessary Dodd-Frank Act committee.
One of the bills, H.R. 4881, concerns the FSOC’s authority to designate financial institutions as SIFIs, therefore allowing regulators to exercise additional oversight over those designated firms. The bill would prevent the FSOC from making this designation for one year.
The other bill, H.R. 4387, would allow lawmakers to attend all FSOC meetings and change the council’s voting system, among other revisions.