GAO report examines status of CFPB reorganization
A recent Government Accountability Office (GAO) report examines the status of CFPB’s reorganization efforts, noting the bureau has “taken actions to reduce the size and scope of its activities and staffing.” It was requested by several lawmakers, including Sens. Elizabeth Warren, D-Mass., and Andy Kim, D-N.J., and Reps. Maxine Waters, D-Calif., Bill Foster, D-Ill., and Al Green, D-Texas.
The GAO report notes that the CFPB continues assessing ways to fulfill its statutory duties as a smaller, more efficient operation, largely in response to multiple Executive Orders. These actions include issuing stop-work orders; closing supervisory examinations; and terminating employees, contracts, and enforcement cases. Some of these actions, such as employee terminations, are the subject of ongoing litigation and are not finalized.
The GAO points out these workforce reductions and contract terminations could affect the bureau’s ability to carry out core consumer protection responsibilities. It will cover the impact of reorganization efforts in a future report.
In communications with the CFPB, America’s Credit Unions has encouraged it to remain focused on bad actors and abusers of consumers.