Manchin presses Yellen on banking rules

Sen. Joe ManchinJoseph (Joe) ManchinKoch-backed group urges Senate to oppose 'bailouts' of states in new ads George Floyd and the upcoming Texas Democratic Senate runoff Energy companies cancel Atlantic Coast Pipeline MORE made a case for careful regulation of the nation’s community banks during a meeting Wednesday with President Obama’s nominee to head the Federal Reserve, the West Virginia Democrat said.

Janet YellenJanet Louise YellenCBO: Prior COVID-19 emergency bills will add .4 trillion to deficit How lawmaker ties helped shape Fed chairman's COVID-19 response Fed chair issues dire warnings on economy MORE, currently the central bank’s vice chairwoman, is making the Senate rounds as she seeks to build support for her confirmation to the succeed Ben Bernanke in the chairmanship.

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Following her meeting with Manchin, the senator issued a statement complimenting Yellen’s “honest and straight forward approach,” though he did not say whether he would support her confirmation.
 
Under its next chief, the Federal Reserve will play a key role in helping to craft a host of unfinished rules required by the Dodd-Frank financial reform law.

Community banks have warned that they would be disproportionately hurt by the regulations, which are meant to rein in the Wall Street giants seen as helping cause the 2008 economic crisis.

“I conveyed to her my concerns that community banks be treated fairly as we finalize Dodd-Frank regulations, but also the need to implement these rules so that we address the problems that led to Too-Big-To-Fail,” Manchin said in a statement following the meeting.

Manchin said the conversation was productive, though he said he wanted to hear more during Yellen’s upcoming appearance before the Senate Banking Committee.