Lawmakers press Treasury on CDFI cuts, BOI enforcement changes and regulator nominations
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Summary
Committee members asked Secretary Bissett about proposed cuts to Community Development Financial Institutions (CDFI) funding, Treasury's change to the beneficial ownership (BOI) rule, and the status of senior regulator nominations including the FDIC chair.
Lawmakers used questioning to press Treasury Secretary Scott Bissett on an array of domestic regulatory and programmatic issues: proposed changes to the Community Development Financial Institutions (CDFI) Fund, the administration's implementation of the Corporate Transparency Act's beneficial ownership information (BOI) rule, and the status of nominations for bank regulatory leadership posts.
On the CDFI Fund, Rep. Gregory Meeks and others reminded the committee of bipartisan investments in community and minority depository institutions and questioned the administration's budget proposal. Bissett said the "skinny budget" proposes a new $100 million award program aimed at affordable financing and rural areas and said Treasury would work with the committee to ensure programs operate "efficiently for taxpayers."
On the BOI rule and the Corporate Transparency Act (CTA), Rep. Loudermilk and Rep. Beatty pressed the secretary about Treasuryactions that narrowed enforcement and exemptions for domestic entities. Bissett said Treasury had "bifurcated" the program so that foreign entities still must file BOI but that domestic filing requirements had been narrowed; he said staff would follow up on details and the disposition of data already collected.
Members also raised concerns about vacancies and acting leadership at key regulators. Representative Scott and others asked whether the administration had delayed naming a permanent FDIC chair; Bissett said he was reviewing candidates and denied that the president had instructed him to delay nominations.
Why it matters: CDFI funding, BOI enforcement and the leadership of financial regulators affect access to capital, anti‑money‑laundering enforcement and the oversight environment for banks and nonbank financial firms. Members from both parties pressed for clarity on implementation and funding levels.
What happened next: Treasury agreed to provide written follow‑up on BOI data disposition and on CDFI program design; no nominations or funding changes were finalized at the hearing.
Sources: oral testimony and questioning at the House Financial Services Committee hearing; statements by Secretary Scott Bissett and multiple members.