Overnight Regulation: Dems hit Trump plan to roll back Dodd-Frank regs

Overnight Regulation: Dems hit Trump plan to roll back Dodd-Frank regs
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Welcome to Overnight Regulation, your daily rundown of news from the federal agencies, Capitol Hill, the courts and beyond. It's Monday evening here in Washington and House Republicans are preparing to press ahead with a new round of attacks on Obama-era regulations.

Here's what is happening:

 

THE BIG STORY

House Democrats slammed President Trump on Monday for what they say are plans that will put Wall Street ahead of the working-class voters who helped elect him last November.

The Hill's Naomi Jagoda has the story:

Dems on Monday blasted President Trump's executive orders curtailing financial regulation, arguing that the White House wants to bring the country back to the days leading up to the 2008 financial crisis.

"They want to take us right back to that place, by the person who went out there and campaigned against Wall Street," Minority Leader Nancy Pelosi (D-Calif.) told reporters.

Trump on Friday issued two executive orders aimed at cutting back on regulations affecting the financial sector. One of the orders directs federal agencies to create a report within 120 days about what aspects of the Dodd-Frank financial reform law they think do and do not work. The other directs the Labor Department to stop working on the "fiduciary rule," which would require financial advisers to act only based on their clients' best interests.

Democratic lawmakers accused Trump of going against his campaign promises, since he repeatedly attacked Wall Street while he was running for president.

"Instead of fighting for hard-working families abused by our economy, as he promised in the campaign, the president and his billionaire Cabinet have abandoned Main Street to enable Wall Street's corrosive profiteering of the banks on the back of hard-working Americans," Pelosi said.

Republicans often argue that Dodd-Frank has hurt community banks. Rep. Maxine Waters (Calif.), the top Democrat on the House Financial Services Committee, refuted that argument, saying that community banks are making more loans than big banks and credit unions have seen their membership expand.

"In Trump's America, Wall Street comes first and Main Street picks up the tab," she said.

The Democratic lawmakers also defended the fiduciary rule, saying it protects the investments of seniors and the members of the middle class. 

But Republicans are rushing to Trump's defense.

"Dodd-Frank failed to keep its promises, but President Trump is following through on his promise to the American people to dismantle Dodd-Frank," said House Financial Services Committee Chairman Jeb Hensarling (R-Texas).

Read more here.

 

ON TAP FOR TUESDAY

The House will vote Tuesday on whether to disapprove of three more regulations under the Congressional Review Act: An Interior Department's land use regulation, the Education Department's teacher preparation standards, and another Education rule for state accountability plans.

 

TOMORROW'S REGS TODAY

--The Department of Labor (DOL) will review the Obama-era fiduciary rule.

On Friday, President Trump ordered the Labor Department to "rescind or revise" the fiduciary rule if the agency determines it would limit access to financial advice for workers who are saving for retirement. This order will be published in Tuesday's edition of the Federal Register.

"One of the priorities of my Administration is to empower Americans to make their own financial decisions, to facilitate their ability to save for retirement," Trump said.

The rule requires retirement investment providers to provide more disclosure on fees and to act solely in the best interests of their clients.

--The Food and Drug Administration (FDA) will delay new a guidance for tobacco companies

The FDA issued the tobacco guidance in January to help companies determine whether a product will be regulated as a "drug, device, or combination product." But the agency is now delaying the rule to comply with Trump's regulatory moratorium. The moratorium calls for a delay to any published rules that have not yet taken effect.

The guidance now goes into effect on March 21.

--The U.S. Department of Agriculture (USDA) will delay new poultry rules.

At issue are the USDA's Grain Inspection, Packers and Stockyards Administration (GIPSA) proposed restrictions on poultry dealers and their rankings systems for those who grow poultry. The agency is now extending the comment period to comply with Trump's moratorium.

The public has 45 days to comment.

 

NEWS RIGHT NOW

FDA proposal on biotech drugs sparks criticism

Former EPA employees urge Senate to oppose Pruitt

Republicans: ObamaCare repeal starts this spring

US court orders Google to hand over data on foreign servers

Democrats plan all-night protest ahead of DeVos vote

GOP chair says report vindicates probe into agency climate study

Four areas Republicans have moved to uproot Obama's legacy

Lawmakers eye 'Buy America' push under Trump

Week ahead: More Obama energy, labor rules head to the chopping block

 

 

BY THE NUMBERS

19: Final rules

8: Proposed rule

(Source: Tuesday's Federal Register)

We'll work to stay on top of these and other stories throughout the week, so check The Hill's Regulation page (http://thehill.com/regulation) early and often for the latest. And send any comments, complaints or regulatory news tips our way, tdevaney@thehill.com or lwheeler@thehill.com. And follow us at @timdevaney and @wheelerlydia.

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