Barr sponsors bill to give financial institutions some regulatory breathing room

U.S. Rep. Andy Barr (R-KY) on Nov. 14 offered legislation that would increase the asset thresholds at which America’s financial institutions become subject to various regulatory requirements from $10 billion to $50 billion.

“This legislation will foster economic growth and support tailoring in the banking industry,” Rep. Barr said on Tuesday when sponsoring the Financial Institution Regulatory Tailoring Enhancement Act, H.R. 6398.

If enacted, H.R. 6398 specifically would amend the Consumer Financial Protection Act of 2010, the Electronic Fund Transfer Act, the Bank Holding Company Act of 1956, the Truth in Lending Act, and the Economic Growth, Regulatory Relief, and Consumer Protection Act to make the asset threshold change, according to a bill summary provided by the congressman’s staff.

“This legislation represents a crucial step towards ensuring that our financial regulatory framework is both effective and appropriately scaled,” said Rep. Barr. “By adjusting these thresholds, we aim to alleviate undue burdens on smaller institutions while maintaining robust safeguards for our financial system.”

The measure has been referred for consideration to the U.S. House Financial Services Committee.