The American Land Title Association (ALTA) has applauded bipartisan legislation, HR 4383, introduced by U.S. Reps. Robert Pittenger (R-NC) and Denny Heck (D-WA), that creates a small business advisory board at the Consumer Financial Protection Bureau (CFPB). The advisory board would be similar to those established by the CFPB for outreach to community banks and credit unions. Advisory boards provide clear, formal and open channels of communication between Bureau staff and industry. If passed, the advisory board would provide feedback on the impact new regulations developed by the CFPB have on small businesses. The advisory board would consist of 12 members representing small business financial service providers.
“Feedback from the small business community is critical when new regulations are introduced by the CFPB,” said Michelle Korsmo, chief executive officer of ALTA. “When small businesses attempt to comply with regulations, open lines of communication from advisory panels ensure that businesses don’t have to shoot in the dark as they invest in systems and processes to protect consumers. We are grateful to Representatives Pittenger and Heck for their hard work and support of this important legislation. We ask the leadership of the House of Representatives and the House Financial Services Committee to consider this legislation as soon as possible. ALTA and our members look forward to meeting with many legislators in the coming weeks to ask that they cosponsor this legislation.”
“ALTA strongly supports the small business provisions in the Dodd-Frank Act, including 'SBREFA' panels that are convened when a proposed regulation is expected to have a significant impact on a substantial number of small entities. However, these panels are a one shot event that comes late in the regulatory process. A more effective process would be to have the Bureau consult with small businesses throughout the entire regulatory process.”
