Title: Consumer Financial Protection Board Act of 2017
Policy area: Finance and Financial Sector

Summary:
Consumer Financial Protection Board Act of 2017
This bill amends the Consumer Financial Protection Act of 2010 to specify that the Consumer Financial Protection Bureau shall be managed by a board of directors rather than by a director and deputy director.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 105 Introduced in Senate (IS)]

<DOC>






115th CONGRESS
  1st Session
                                 S. 105

 To amend the Consumer Financial Protection Act of 2010 to transition 
  the Bureau of Consumer Financial Protection to a 5-member board of 
                               directors.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            January 11, 2017

 Mrs. Fischer (for herself, Mr. Johnson, and Mr. Barrasso) introduced 
the following bill; which was read twice and referred to the Committee 
                 on Banking, Housing, and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
 To amend the Consumer Financial Protection Act of 2010 to transition 
  the Bureau of Consumer Financial Protection to a 5-member board of 
                               directors.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Consumer Financial Protection Board 
Act of 2017''.

SEC. 2. MANAGEMENT OF THE BUREAU.

    (a) In General.--Section 1011 of the Consumer Financial Protection 
Act of 2010 (12 U.S.C. 5491) is amended--
            (1) by striking subsections (b), (c), and (d);
            (2) by redesignating subsection (e) as subsection (c); and
            (3) by inserting after subsection (a) the following:
    ``(b) Management of the Bureau.--
            ``(1) In general.--The management of the Bureau shall be 
        vested in a Board of Directors consisting of 5 members, who 
        shall be appointed by the President, by and with the advice and 
        consent of the Senate, from among individuals who--
                    ``(A) are citizens of the United States; and
                    ``(B) have developed strong competency and 
                understanding of, and have experience working with, 
                financial products and services.
            ``(2) Terms.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), each member of the Board, including 
                the Chairperson, shall serve for a term of 5 years.
                    ``(B) Staggered terms.--Three of the initial 
                members of the Board, including the Chairperson, shall 
                each serve an initial term of 30 months.
                    ``(C) Removal.--The President may remove any member 
                of the Board for inefficiency, neglect of duty, or 
                malfeasance in office.
                    ``(D) Vacancies.--Any member of the Board appointed 
                to fill a vacancy occurring before the expiration of 
                the term to which the predecessor of that member was 
                appointed (including the Chairperson) shall be 
                appointed only for the remainder of the term.
                    ``(E) Continuation of service.--Each member of the 
                Board may continue to serve after the expiration of the 
                term of office to which that member was appointed until 
                a successor has been appointed by the President and 
                confirmed by the Senate, except that a member may not 
                continue to serve more than 1 year after the date on 
                which the term of that member would otherwise expire.
                    ``(F) Successive terms.--A member of the Board may 
                not be reappointed to a second consecutive term, except 
                that an initial member of the Board appointed for less 
                than a 5-year term may be reappointed to a full 5-year 
                term and a future member appointed to fill an unexpired 
                term may be reappointed for a full 5-year term.
            ``(3) Affiliation.--Not more than 3 members of the Board, 
        and not more than 2 members of the Board described in paragraph 
        (2)(B), shall be members of any 1 political party.
            ``(4) Chairperson of the board.--
                    ``(A) Appointment.--The President shall appoint 1 
                of the 5 members of the Board to serve as Chairperson 
                of the Board.
                    ``(B) Authority.--The Chairperson shall be the 
                principal executive officer of the Bureau, and shall 
                exercise all of the executive and administrative 
                functions of the Bureau, including with respect to--
                            ``(i) the supervision of personnel employed 
                        by the Bureau (other than personnel employed 
                        regularly and full time in the immediate 
                        offices of members of the Board other than the 
                        Chairperson);
                            ``(ii) the distribution of business among 
                        personnel appointed and supervised by the 
                        Chairperson and among administrative units of 
                        the Bureau; and
                            ``(iii) the use and expenditure of funds.
                    ``(C) Limitation.--In carrying out any of the 
                functions of the Chairperson under this paragraph, the 
                Chairperson shall be governed by general policies of 
                the Bureau and by such regulatory decisions, findings, 
                and determinations as the Bureau may by law be 
                authorized to make.
                    ``(D) Requests or estimates related to 
                appropriations.--Any request or estimate for regular, 
                supplemental, or deficiency appropriations on behalf of 
                the Bureau, including any request for a transfer of 
                funds under section 1017(a), may not be submitted by 
                the Chairperson without the prior approval of the 
                Board.
                    ``(E) Vacancy.--The President may designate a 
                member of the Board to serve as Acting Chairperson in 
                the event of a vacancy in the office of the 
                Chairperson.
            ``(5) Compensation.--
                    ``(A) Chairperson.--The Chairperson shall receive 
                compensation at the rate prescribed for level I of the 
                Executive Schedule under section 5312 of title 5, 
                United States Code.
                    ``(B) Other members of the board.--The 4 members of 
                the Board other than the Chairperson shall each receive 
                compensation at the rate prescribed for level II of the 
                Executive Schedule under section 5313 of title 5, 
                United States Code.
            ``(6) Other employment prohibited.--A member of the Board 
        may not engage in any other business, vocation, or 
        employment.''.
    (b) Technical and Conforming Amendments.--
            (1) Consumer financial protection act of 2010.--The 
        Consumer Financial Protection Act of 2010 (12 U.S.C. 5481 et 
        seq.) is amended--
                    (A) in section 1002 (12 U.S.C. 5481)--
                            (i) by striking paragraph (10) and 
                        inserting the following:
            ``(10) Board.--The term `Board' means the Board of 
        Directors of the Bureau of Consumer Financial Protection.''; 
        and
                            (ii) by inserting after paragraph (29) the 
                        following:
            ``(30) Chairperson.--The term `Chairperson' means the 
        Chairperson of the Board of Directors of the Bureau of Consumer 
        Financial Protection.'';
                    (B) in section 1012 (12 U.S.C. 5492)--
                            (i) in subsection (a)(8), by striking 
                        ``appointed and supervised by the Director'' 
                        and inserting ``appointed by the Board and 
                        supervised by the Chairperson'';
                            (ii) in subsection (b), by striking 
                        ``Director'' and inserting ``Board''; and
                            (iii) in subsection (c)--
                                    (I) in paragraph (2)(A), by 
                                striking ``Director'' and inserting 
                                ``Board''; and
                                    (II) in paragraph (4), by striking 
                                ``the Director'' each place that term 
                                appears and inserting ``any member of 
                                the Board'';
                    (C) in section 1013 (12 U.S.C. 5493)--
                            (i) in subsections (a), (b), (d), and (e), 
                        by striking ``Director'' each place that term 
                        appears and inserting ``Board'';
                            (ii) in subsection (a), by adding at the 
                        end the following:
            ``(6) Limitation.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), the Board shall appoint not more than 
                1 employee of the Bureau for every 3 employees that are 
                separated from service with the Bureau.
                    ``(B) Exception.--The President may provide the 
                Board with an exemption from the requirements of 
                subparagraph (A) if the Board demonstrates that hiring 
                employees in an amount greater than the limitation in 
                subparagraph (A) is necessary--
                            ``(i) as a result of a national security 
                        concern or an extraordinary emergency; or
                            ``(ii) to perform a critical mission.'';
                            (iii) in subsection (c)--
                                    (I) in paragraphs (1) and (2), by 
                                striking ``Director'' each place that 
                                term appears and inserting ``Board''; 
                                and
                                    (II) in paragraph (3)--
                                            (aa) by striking 
                                        ``Assistant Director'' each 
                                        place that term appears and 
                                        inserting ``Head of Office''; 
                                        and
                                            (bb) by striking ``the 
                                        Director'' each place that term 
                                        appears and inserting ``the 
                                        Board''; and
                            (iv) in subsection (g)--
                                    (I) in paragraph (1), by striking 
                                ``Director'' and inserting ``Board''; 
                                and
                                    (II) in paragraph (2)--
                                            (aa) in the paragraph 
                                        heading, by striking 
                                        ``Assistant director'' and 
                                        inserting ``Head of the 
                                        office''; and
                                            (bb) by striking ``an 
                                        assistant director'' and 
                                        inserting ``the Head of the 
                                        Office of Financial Protection 
                                        for Older Americans'';
                    (D) in section 1014 (12 U.S.C. 5494), by striking 
                ``Director'' each place that term appears and inserting 
                ``Board'';
                    (E) in section 1016(a) (12 U.S.C. 5496(a)), by 
                striking ``Director of the Bureau'' and inserting 
                ``Chairperson'';
                    (F) in section 1017--
                            (i) in subsection (a)--
                                    (I) in paragraph (1), by striking 
                                ``Director'' and inserting ``Board'';
                                    (II) in paragraph (4)--
                                            (aa) in subparagraph (A)--

                                                    (AA) by striking 
                                                ``Director shall'' and 
                                                inserting ``Board 
                                                shall'';

                                                    (BB) by striking 
                                                ``Director,'' and 
                                                inserting ``Board,''; 
                                                and

                                                    (CC) by striking 
                                                ``Director in'' each 
                                                place that term appears 
                                                and inserting ``Board 
                                                in'';

                                            (bb) in subparagraph (D), 
                                        by striking ``Director'' and 
                                        inserting ``Board''; and
                                            (cc) in subparagraph (E), 
                                        by striking ``Director to'' and 
                                        inserting ``Board to''; and
                                    (III) in paragraph (5)(C), by 
                                striking ``Director of the Bureau'' and 
                                inserting ``Chairperson'';
                            (ii) in subsection (c)(1)--
                                    (I) by striking ``Director,'' and 
                                inserting ``Board,''; and
                                    (II) by striking ``Director and'' 
                                and inserting ``the members of the 
                                Board and''; and
                            (iii) in subsection (e), by striking 
                        ``Director'' each place that term appears and 
                        inserting ``Board'';
                    (G) in subtitles B (12 U.S.C. 5511 et seq.), C (12 
                U.S.C. 5531 et seq.), and G (12 U.S.C. 5601 et seq.), 
                by striking ``Director'' each place that term appears 
                and inserting ``Board'';
                    (H) in section 1061(c)(2)(C)(i) (12 U.S.C. 
                5581(c)(2)(C)(i)), by striking ``the Board'' and 
                inserting ``the National Credit Union Administration 
                Board''; and
                    (I) in section 1066(a) (12 U.S.C. 5586(a)), by 
                inserting ``first'' before ``Director''.
            (2) Financial stability act of 2010.--Section 111(b)(1)(D) 
        of the Financial Stability Act of 2010 (12 U.S.C. 
        5321(b)(1)(D)) is amended by striking ``Director of the 
        Bureau'' and inserting ``Chairperson of the Board of Directors 
        of the Bureau''.
            (3) Mortgage reform and anti-predatory lending act.--
        Section 1447 of the Mortgage Reform and Anti-Predatory Lending 
        Act (12 U.S.C. 1701p-2) is amended by striking ``Director'' 
        each place the term appears and inserting ``Board of 
        Directors''.
            (4) Electronic fund transfer act.--Section 920(a)(4)(C) of 
        the Electronic Fund Transfer Act (15 U.S.C. 1693o-2(a)(4)(C)) 
        is amended by striking ``Director of the Bureau'' and inserting 
        ``Board of Directors of the Bureau''.
            (5) Expedited funds availability act.--The Expedited Funds 
        Availability Act (12 U.S.C. 4001 et seq.) is amended by 
        striking ``Director of the Bureau'' each place that term 
        appears and inserting ``Board of Directors of the Bureau''.
            (6) Federal deposit insurance act.--Section 2 of the 
        Federal Deposit Insurance Act (12 U.S.C. 1812) is amended--
                    (A) by striking ``Director of the Consumer 
                Financial Protection Bureau'' each place that term 
                appears and inserting ``Chairperson of the Board of 
                Directors of the Bureau of Consumer Financial 
                Protection''; and
                    (B) in subsection (d)(2), by striking ``Comptroller 
                or Director'' and inserting ``Comptroller or 
                Chairperson''.
            (7) Federal financial institutions examination council act 
        of 1978.--Section 1004(a)(4) of the Federal Financial 
        Institutions Examination Council Act of 1978 (12 U.S.C. 
        3303(a)(4)) is amended by striking ``Director of the Consumer 
        Financial Protection Bureau'' and inserting ``Chairperson of 
        the Board of Directors of the Bureau of Consumer Financial 
        Protection''.
            (8) Financial literacy and education improvement act.--
        Section 513 of the Financial Literacy and Education Improvement 
        Act (20 U.S.C. 9702) is amended by striking ``Director'' each 
        place that term appears and inserting ``Chairperson of the 
        Board of Directors''.
            (9) Home mortgage disclosure act of 1975.--Section 307 of 
        the Home Mortgage Disclosure Act of 1975 (12 U.S.C. 2806) is 
        amended by striking ``Director of the Bureau of Consumer'' each 
        place that term appears and inserting ``Board of Directors of 
        the Bureau of Consumer''.
            (10) Interstate land sales full disclosure act.--The 
        Interstate Land Sales Full Disclosure Act (15 U.S.C. 1701 et 
        seq.) is amended--
                    (A) in section 1402(1) (15 U.S.C. 1701(1)), by 
                striking ```Director' means the Director'' and 
                inserting ```Board' means the Board of Directors'';
                    (B) by striking ``Director'' each place that term 
                appears and inserting ``Board'';
                    (C) in section 1403(c) (15 U.S.C. 1702(c))--
                            (i) by striking ``by him'' and inserting 
                        ``by the Board''; and
                            (ii) by striking ``he'' and inserting ``the 
                        Board'';
                    (D) in section 1407 (15 U.S.C. 1706)--
                            (i) in subsection (c), by striking ``he'' 
                        and inserting ``the Board''; and
                            (ii) in subsection (e), by striking ``him'' 
                        and inserting ``the Board'';
                    (E) in section 1411 (15 U.S.C. 1710)--
                            (i) in subsection (a)--
                                    (I) by striking ``his findings'' 
                                and inserting ``its finding''; and
                                    (II) by striking ``his 
                                recommendation'' and inserting ``a 
                                recommendation''; and
                            (ii) in subsection (b), by striking 
                        ``Secretary's order'' and inserting ``order of 
                        the Board'';
                    (F) in section 1415 (15 U.S.C. 1714)--
                            (i) by striking ``him'' each place that 
                        term appears and inserting ``the Board'';
                            (ii) in subsection (a), by striking ``he 
                        may, in his discretion'' and inserting ``the 
                        Board may, at the discretion of the Board''; 
                        and
                            (iii) in subsection (b)--
                                    (I) by striking ``he'' each time 
                                that term appears and inserting ``the 
                                Board''; and
                                    (II) by striking ``in his 
                                discretion'' each time that term 
                                appears and inserting ``at the 
                                discretion of the Board'';
                    (G) in section 1416(a) (15 U.S.C. 1715(a))--
                            (i) by striking ``of the Bureau of Consumer 
                        Financial Protection'' the first time that term 
                        appears;
                            (ii) by striking ``his functions, duties, 
                        and powers'' and inserting ``the functions, 
                        duties, and powers of the Board'';
                            (iii) by striking ``his administrative law 
                        judges'' and inserting ``the administrative law 
                        judges of the Bureau of Consumer Financial 
                        Protection''; and
                            (iv) by striking ``himself'' and inserting 
                        ``the Board'';
                    (H) in section 1418a (15 U.S.C. 1717a)--
                            (i) in subsection (b)(4), by striking ``The 
                        Secretary's determination or order'' and 
                        inserting ``A determination or order of the 
                        Board''; and
                            (ii) in subsection (d), in the third 
                        sentence, by striking ``the Secretary's 
                        determination or order'' and inserting ``a 
                        determination or order of the Board'';
                    (I) in section 1419 (15 U.S.C. 1718)--
                            (i) by striking ``him'' and inserting ``the 
                        Board'';
                            (ii) by striking ``his rules and 
                        regulations'' and inserting ``the rules and 
                        regulations of the Board''; and
                            (iii) by striking ``his jurisdiction'' and 
                        inserting ``the jurisdiction of the Bureau of 
                        Consumer Financial Protection''; and
                    (J) in section 1420 (15 U.S.C. 1719)--
                            (i) by inserting ``or any member of the 
                        Board'' before ``in any proceeding''; and
                            (ii) by striking ``him'' and inserting 
                        ``the Board or any member of the Board''.
            (11) Real estate settlement procedures act of 1974.--
        Section 5 of the Real Estate Settlement Procedures Act of 1974 
        (12 U.S.C. 2604) is amended--
                    (A) by striking ``Director of'' and inserting 
                ``Board of Directors of''; and
                    (B) by striking ``Director'' each place that term 
                appears and inserting ``Board''.
            (12) S.A.F.E. mortgage licensing act of 2008.--The S.A.F.E. 
        Mortgage Licensing Act of 2008 (12 U.S.C. 5101 et seq.) is 
        amended--
                    (A) in section 1503(10) (12 U.S.C. 5102(10))--
                            (i) in the paragraph heading, by striking 
                        ``Director'' and inserting ``Board''; and
                            (ii) by striking ```Director' means the 
                        Director'' and inserting ```Board' means the 
                        Board of Directors'';
                    (B) by striking ``Director'' each place that term 
                appears and inserting ``Board''; and
                    (C) in section 1514 (12 U.S.C. 5113)--
                            (i) in subsection (b)(5), by striking 
                        ``Secretary's expenses'' and inserting 
                        ``expenses of the Board'';
                            (ii) in subsection (c)--
                                    (I) in paragraph (1), in the 
                                paragraph heading, by striking 
                                ``Director'' and inserting ``Board'';
                                    (II) in paragraph (4)--
                                            (aa) in subparagraph (A), 
                                        in the paragraph heading, by 
                                        striking ``Director'' and 
                                        inserting ``Board''; and
                                            (bb) in subparagraph (C), 
                                        by striking ``Secretary's 
                                        expenses'' and inserting 
                                        ``expenses of the Board''; and
                                    (III) in paragraph (5), in the 
                                paragraph heading, by striking 
                                ``Director'' and inserting ``Board''; 
                                and
                            (iii) in subsection (d), in the subsection 
                        heading, by striking ``Director'' and inserting 
                        ``Board''.
            (13) Title 44.--Section 3513(c) of title 44, United States 
        Code, is amended by striking ``Director of the Bureau'' and 
        inserting ``Board of Directors of the Bureau''.
            (14) Deeming of name.--Any reference in a law, regulation, 
        document, paper, or other record of the United States to the 
        Director of the Bureau of Consumer Financial Protection shall 
        be deemed a reference to the Board of Directors of the Bureau 
        of Consumer Financial Protection, unless otherwise specified in 
        this Act.
    (c) Effective Date.--The amendments made by this section shall take 
effect on the date on which not less than 3 persons have been confirmed 
by the Senate to serve as members of the Board of Directors of the 
Bureau of Consumer Financial Protection.
                                 <all>