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Government

Trump Administration Unveils Plan To Dismantle Dodd-Frank

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Susan Walsh
/
AP
President Trump and Treasury Secretary Steven Mnuchin in April when Trump signed an executive order to review tax regulations set by President Obama, as well as two memos to potentially reconsider major elements of the Dodd-Frank financial reforms.

The Trump administration has issued its plan for rolling back parts of the financial regulation law known as Dodd-Frank.

The Treasury Department listed close to a hundred regulations that can be relaxed or eliminated. According to its report, doing so would grow the economy and make government more accountable.

Controversial moves like stripping power from the Consumer Financial Protection Bureau would likely require two-thirds of the Senate to agree. But other items can be done by the executive branch alone, like reducing how often some banks have to undergo stress tests or get their bankruptcy plans approved by regulators. The administration can also redefine portions of the Volcker Rule, which prevents banks form making risky bets.

However, to do anything, the Trump administration has to fill watchdog agencies with its own appointments. That’s something that could take months, if not years, to complete.

House Republicans passed their deregulation bill last week. Its central aim is to ease rules on banks that lower their debt ratio.

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