Mulvaney backs House efforts to amend Senate Dodd-Frank rollback

Mulvaney backs House efforts to amend Senate Dodd-Frank rollback
© Greg Nash

White House budget director Mick MulvaneyJohn (Mick) Michael MulvaneyOn The Money: Trump rips Fed over rate hikes | Dems fume as consumer agency pick refuses to discuss border policy | Senate panel clears Trump IRS nominee Trump pick to head watchdog agency is who consumers need Dems fume as Trump's consumer bureau pick refuses to discuss role in border policy MORE on Wednesday endorsed House Republican efforts to seek changes to a bipartisan bill rolling back strict banking rules passed after the 2008 financial crisis.

Mulvaney, who is also the acting director of the Consumer Financial Protection Bureau (CFPB), praised the Senate for passing a bill to loosen parts of the Dodd-Frank Act. But he urged senators to add several measures produced by the House to the bill amid a power struggle between the chambers.

“I think that is the best formula for arriving to the best result,” said Mulvaney, testifying before the House Financial Services Committee. “Why can’t we add to the Senate bill?”

The Senate last month passed a bipartisan bill to exempt dozens of banks from some of the strictest parts of Dodd-Frank. The measure from Senate Banking Committee Chairman Mike CrapoMichael (Mike) Dean CrapoOn The Money: Trump rips Fed over rate hikes | Dems fume as consumer agency pick refuses to discuss border policy | Senate panel clears Trump IRS nominee Dems fume as Trump's consumer bureau pick refuses to discuss role in border policy McConnell calls for Senate hearings on Russia sanctions MORE (R-Idaho) passed 67-31 and is the most sweeping change to the 2010 law to receive support from Democrats.

But Speaker Paul RyanPaul Davis RyanDems unveil slate of measures to ratchet up pressure on Russia National Dems make play in Ohio special election Trump vows to hold second meeting with Putin MORE (R-Wis.) vowed to freeze the bill until senators backing the measure agree to include bills produced by the Financial Services panel that earned wide bipartisan support in the House.

Senate Democrats have refused to amend the bill and insist that additions could doom the measure in the Senate. Democrats would be able to block any bill that doesn’t receive support from at least seven of their own members.

Mulvaney, a former member of the Financial Services Committee involved in GOP efforts to strip Dodd-Frank, called on the Senate to negotiate with the panel’s chairman, Rep. Jeb HensarlingThomas (Jeb) Jeb HensarlingOn The Money: Fed chief lays out risks of trade war | Senate floats new Russia sanctions amid Trump backlash | House passes bill to boost business investment House passes bipartisan bill to boost business investment On The Money: US files complaints at WTO | House leaders get deal to boost biz investment | Mnuchin says US will consider Iran sanctions waivers | FCC deals blow to Sinclair-Tribune merger MORE (R-Texas).

“It makes complete sense to continue that debate,” Mulvaney said, calling the Senate bill “a great fallback” that should target “as much of Dodd-Frank, especially the parts pertaining to the [CFPB], as you possibly can.”

Mulvaney’s comments are the most direct endorsement of Hensarling’s efforts to amend the Senate bill from a White House official. The White House has previously said President TrumpDonald John TrumpNFL freezes policy barring players from protesting during anthem McConnell spokesman on Putin visit: 'There is no invitation from Congress' Petition urges University of Virginia not to hire Marc Short MORE would sign the bill, and called on lawmakers to strike a deal as soon as possible.

Trump himself said last week that a bill to loosen Dodd-Frank "should be done fairly quickly," but didn’t weigh in on the talks between the Senate and House.

“We’re actually getting — you won’t believe this — bipartisan support,” Trump said.

Another Trump-appointed financial regulator was more reserved in his comments on the Senate bill.

Comptroller of the Currency Joseph Otting said Monday the House should clear the Senate-passed bill, but did not take sides in the struggle between the chambers.

“There needs to be some dialogue between the Senate and the House if there are other provisions that are included in that,” Otting told reporters. “Congressman Hensarling has a lot of active voices about things that should be included in that, and I just hope they can get to resolution on something that can go to the floor.”