Richard Cordray

Sen. Mike Lee Taken to Task (Again)

By the time the Senate went home for its month-long holiday in before Christmas, Republicans had made it clear they would continue to obstruct the nominations process so as to cripple both the Consumer Financial Protection Bureau and the National Labor Relations Board. Rather than meekly accept this threat to American consumers and workers, President Obama made several recess appointments, most notably of Richard Cordray, to allow those bodies to function.

As partisan political retaliation, Utah Sen. Mike Lee has claimed the mantle of the Constitution and threatened to escalate his party's sabotage of the judicial nominations process, a threat the president himself condemned over the weekend. In a Huffington Post piece today, the Constitutional Accountability Center's Doug Kendall takes Sen. Lee to task.

[I]t is Senator Lee who is most clearly violating the letter and spirit of the Constitution and playing partisan games. Senator Lee made it absolutely clear that he would not comply with his constitutionally-mandated responsibility to give his "advice and consent" on the Cordray nomination. In an official Senate release in December, he stated that he had no objection to Richard Cordray himself, but that he felt it was his "duty to oppose his confirmation as part of [his] opposition to the creation of CFPB itself."

Actually, according to the Constitution, it's Senator Lee's duty to vote "no" on legislation he opposes, such as the law that set up the CFPB, and to provide "advice and consent" on the president's nominees, judicial or otherwise. Senator Lee's statement is an abdication of his constitutional duty, and it is that hard-line position taken by the President's opponents, coupled with the trick of "pro-forma" Senate sessions designed specifically to prevent the President from exercising his constitutional authority to make recess appointments, that led to President Obama's action on the Cordray appointment.

Kendall's piece is worth reading in its entirety, as it points out many of the hypocritical and misleading ways that Mike Lee waves the Constitution as a weapon to achieve his partisan and ideological ends.

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Obama Moves to Protect Workers and Consumers in Face of GOP Obstruction

Faced with uncompromising obstruction from Senate Republicans, President Obama made four recess appointments today to staff agencies that protect American workers and consumers.

First, the president appointed former Ohio attorney general Richard Cordray to head the Consumer Financial Protection Bureau, a watchdog post that has been vacant since the agency began operations last summer. Obama nominated Cordray in July, but met with unyielding opposition from Senate Republicans, who refused to even allow a confirmation vote on any person to the post unless the agency was first severely weakened. Announcing the recess appointment in Ohio, Obama said:

Now, every day that Richard waited to be confirmed -- and we were pretty patient. I mean, we kept on saying to Mitch McConnell and the other folks, let's go ahead and confirm him. Why isn't he being called up? Let's go. Every day that we waited was another day when millions of Americans were left unprotected. Because without a director in place, the consumer watchdog agency that we've set up doesn't have all the tools it needs to protect consumers against dishonest mortgage brokers or payday lenders and debt collectors who are taking advantage of consumers. And that's inexcusable. It's wrong. And I refuse to take no for an answer.

With Cordray installed at his new post, the CFPB – the brainchild of Massachusetts Senate candidate Elizabeth Warren – will finally be able to fully take on its job to protect consumers from harmful financial practices.

Later in the day, President Obama announced that he will also be making recess appointments to fill three seats on the National Labor Relations Board, another target of relentless Republican obstruction. If Republicans continued to block the president’s nominees to the board, it would lose its quorum – and its power to issue new rulings – midway through this month. The GOP’s grudge against the board resulted in its operating without a quorum from the end of 2007 through the beginning of 2010. The more than 500 decisions it made during that time were later thrown out by the Supreme Court.

The president had no choice but to make recess appointments to ensure that these important agencies can do their jobs, whether the Senate GOP wants them to or not.
 

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Ornstein: Senate GOP Causing "Damage to the Vital Interests of the United States"

The latest condemnation of the Senate GOP's dangerous obstruction against executive and judicial nominees comes from Norman Ornstein, a resident scholar at the conservative American Enterprise Institute. In a column published in Roll Call, Ornstein blasted Senate Republicans for the damage they are doing to our country.

Last week, Republicans blocked a vote on the nomination of Caitlin Halligan to serve on the D.C. Circuit Court of Appeals, setting a new standard for nominees to that court that will be virtually impossible for any president of either party to meet. Just two days later, they blocked a confirmation vote for Richard Cordray to head the Consumer Financial Protection Bureau, admitting that they did so not because of any problems with him but because they do not like the law creating that Bureau. Next, two days ago, Senate Democrats tried to overcome Republicans' obstruction of ambassadorial nominees, with mixed results. Ornstein writes:

The good news on Monday was that the Senate, in a show of broad bipartisan support, confirmed Norm Eisen to be the U.S. ambassador to the Czech Republic.

Eisen had been in the post for the past year on a recess appointment, and by all accounts, Czech and American, had been doing an exemplary job protecting and advancing American interests and values in a country that is a critical ally to the United States and an important commercial and trading partner. Why the recess appointment? Because Sen. Chuck Grassley (R-Iowa) decided well over a year ago that Eisen, while serving in the White House, had not been truthful to the Senator's staff over his role in the dismissal of the inspector general of AmeriCorps. Never mind that a voluminous record showed that Eisen had not dissembled, that the entire board of AmeriCorps, left to right, Democrats and Republicans, supported the dismissal, and the actions were upheld in two federal courts. Grassley would not budge.

Senate Democrats filed a successful cloture petition and Eisen was confirmed by voice vote. But the obstruction continued with a politically motivated filibuster of Mari Carmen Aponte to be ambassador to El Salvador. Aponte is now serving under a recess appointment, which expires at the end of the month.

The ostensible reason to oppose her? Decades ago Aponte had a boyfriend who might have had ties to Fidel Castro's government. Never mind that Senators had access to her FBI file — and that she has had a succession of top-secret clearances after exhaustive security checks. Aponte did not fare well — she fell 11 votes shy of the 60 needed once again to overcome cloture.

In a different world — i.e., the world the United States knew from 1789 until a few years ago — her 49-37 margin would have meant a comfortable confirmation. No more. Filibusters used to be rare events for bills, rarer for executive confirmations, rarer still for judicial nominations. Now they are more than routine; they are becoming the norm. Holds were not as rare, but the use of holds to block multiple nominees for not weeks or months but years or until death, were not typical; now they are the standard.

Citing other ongoing examples of Republican senators sabotaging ambassadorial nominations to countries key to U.S. security, Ornstein sums up the situation:

This goes beyond partisan polarization to damage to the fabric of governance and worse — to damage to the vital interests of the United States. ...

[S]hame on a Senate which went from blocking a well-qualified nominee for an appeals court judgeship via filibuster to blocking a superbly qualified nominee for the consumer bureau, to yet another in a series of ambassadors stymied via holds and filibusters. This is no way to govern.

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With Nominations, the Senate GOP Legislates by Gridlock

This piece originally appeared in the Huffington Post.

The Senate GOP under President Obama has mastered the art of proactive apathy. Not content with neglecting their own jobs, Senate Republicans have expertly used their own dysfunction to prevent other parts of government from doing theirs. These efforts have consequences far beyond bureaucratic procedure: whether it's by crippling the courts or attacking agencies that hold corporations accountable, Republicans are making it harder for individual Americans to access the rights that a functioning government protects.

This week, Senate Republicans added two new public disservices to their resume. On Tuesday, they shattered the 2005 "Gang of 14" deal that prevented filibusters of judicial nominees in all but extraordinary circumstances, setting a standard that no nominee for the D.C. Circuit will be able to meet. As President Obama said about the filibuster of Halligan's nomination, "The only extraordinary things about Ms. Halligan are her qualifications and her intellect." And then on Thursday, they blocked President Obama's nominee to head a new federal agency simply because they do not want that agency to exist -- a move that will have untold consequences on future attempts to staff the executive branch.

These political power plays by a minority of senators are far more than "inside the Beltway" procedural dust ups. They signal the emergence of a party that is so intent on tilting the playing field in favor of the powerful that they will sacrifice basic public service in order to serve the interests of a powerful few.

On Tuesday, all but one Senate Republican refused to allow an up-or-down confirmation vote on Caitlin Halligan, a D.C. Circuit Court nominee who in any other year would have been easily approved by the Senate. The GOP struggled to find a reason to oppose Halligan on her merits, ultimately settling on a handful of trumped-up charges and the ridiculous argument that the D.C. Circuit, with one third of its seats vacant, didn't need another judge. When George W. Bush was president, many of these same Republicans loudly proclaimed that filibustering judicial nominees violates the United States Constitution, ultimately agreeing to the "Gang of 14" deal that judicial nominees would only be filibustered under "extraordinary circumstances." The vote on Halligan shattered that deal, opening the door for further political abuse of the judicial confirmation process.

On Thursday, the story repeated itself when the GOP succeeded in blocking a vote to confirm Richard Cordray to lead the newly created Consumer Financial Protection Bureau. Cordray, the former attorney general of Ohio, is as non-controversial as they come. He has a history of working with banks and with consumer advocates. He's backed by a bipartisan coalition of attorneys general, including the Republican who beat him in last year's election. Republicans in the Senate don't have any problems with Cordray. But they've made it very clear that they'll do everything in their power to keep the Consumer Financial Protection Bureau from performing the functions that it is required by law to carry out. They don't want anyone to lead the agency, because without a Senate-confirmed head, it cannot perform all of its legally assigned duties. This is not conjecture on the part of progressives; Republicans have brazenly admitted it.

Unfortunately, these votes are not aberrations. They are part of a clear pattern of the Senate GOP since President Obama's election. Unable to accept the results of an election they lost, and unable to get their own way on everything, they have resorted to obstruction and dysfunction. They have abused the extraordinary power the Senate minority is granted , blocking everything they get their hands on, sometimes, it seem, simply because they can. In the process, they are damaging America's system of justice and accountability and betraying the voters they were elected to serve.

Perhaps they are doing this to serve the powerful corporate special interests that do not want courts and agencies to hold them accountable, or perhaps they are doing it to score political points against a Democratic president, or some combination of those reasons. Ultimately, it doesn't matter. Either way, they are abusing their positions and throwing sand in the gears of the Senate to make it harder for ordinary Americans to get our day in court and to defend ourselves against the powerful. It's a deeply cynical strategy, and ultimately a deeply harmful one.

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In Tight Race with Elizabeth Warren, Scott Brown Bucks Party to Endorse Cordray for Consumer Financial Protection Bureau

Last month, PFAW’s Marge Baker wrote an op-ed for The Hill suggesting a simple way that Congress can respond to the energy behind Occupy Wall Street: by finally confirming Richard Cordray to head the long-languishing Consumer Financial Protection Bureau. Marge wrote:

Thanks to Republican obstructionism, the CFPB, tasked with holding big banks accountable to American consumers, has been without a leader since it was created by the Dodd-Frank Act last year. Elizabeth Warren, who conceived of the agency and oversaw its creation, would have been the natural fit to lead it, but her unapologetic work holding financial institutions accountable put her on the bad side of Congress’s GOP leadership.


In July, President Obama nominated former Ohio attorney general Richard Cordray to head the agency. Cordray is a strong defender of consumers who has also earned respect from the banks he worked with in Ohio. Last week, a bipartisan group of 37 state attorney generals wrote to Congress urging his confirmation. Even Ohio’s Republican attorney general Mike DeWine, a former U.S. senator who defeated Cordray in last year’s election, has endorsed him for the job. He is a well-respected, reasonable and eminently qualified choice to lead the agency.

Cordray’s nomination would be a shoe-in if it weren’t for one thing: Republicans in Congress don’t want the Consumer Financial Protection Bureau to exist at all. Unable to stop its creation, they have turned their energies to starving it. In May, 44 Republican senators sent a letter to the president saying that they would not confirm any nominee to head the CFPB unless the agency was first substantially weakened. Without a confirmed leader, the agency can’t fully start the work that it was designed to do.


While the agency is already overseeing credit companies and big banks, it can’t have its full oversight over mortgage companies and payday lenders until a head is confirmed. This situation is perfectly satisfactory to big lenders and the GOP leadership – but it’s bad for American consumers.


There is now one notable exception to the Republican blockade of Cordray’s nomination. Massachusetts Sen. Scott Brown, who is running against CFPB architect Elizabeth Warren in what will likely be a tough reelection race, has urged his fellow GOP senators to break their filibuster of Cordray’s nomination.

Brown’s in a more precarious political position than many of his Republican colleagues, but his endorsement of Cordray is telling. Recent polls have shown that Americans are concerned about the nation’s increasing income inequality and want tougher government regulation of Wall Street. The big banks may not want the Consumer Financial Protection Bureau to get up and running, but American consumers are eager for the protections that the bureau would provide. Sen. Brown has done the right thing by bucking his party to support Cordray – but by doing so he’s also acknowledging the tough spot that opponents of financial sector accountability may find themselves in in 2012.
 

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CFPB finally opens its doors: A welcome sign of true financial reform

Exactly one year after the Dodd-Frank Act was signed into law, the much anticipated Consumer Financial Protection Bureau (CFPB) is open for business. The agency is part of the response to calls for much tougher oversight and will protect consumers by pursuing businesses that practice wrongful and abusive tactics.

The bureau’s chief architect, Elizabeth Warren, is a highly regarded consumer advocate who assembled a talented and dedicated team to build from scratch a consumer advocacy agency in the span of one year. Millions of Americans will benefit from the tremendous work she and her team has done to build this critical agency. The CFPB’s Office of Servicemembers Affairs is an especially important branch within the agency, whose mission is to ensure that our men and women in uniform will not have to deal with certain stresses while overseas, such as the wrongful foreclosures many soldiers and their families have unfortunately experienced.

Unfortunately, however, the agency is off to a rough start. Though President Obama named fierce consumer advocate Richard Cordray to head the agency, on its inaugural day, the CFPB is without an official director. Senate Republicans claim it could be for some time, as they block any nomination for the bureau’s top job and the House continues its work to dismantle—and if possible, even repeal—the Dodd-Frank Act.

This new consumer advocacy group is essential to the economic wellbeing of the American people and the nation as a whole. During these troublesome economic times, thousands of once, hardworking men and women struggle to find jobs, face foreclosures, and struggle to make ends meet. The CFPB cannot necessarily get them out of these unfortunate situations, but it can certainly protect them from the continued fraudulent and abusive practices of greedy corporations that got them into this mess.

Americans need someone who will stand up for them as they continue working to recover from this terrible economic mess. With talks of a possible “double-dip recession,” it is more important than ever that our leaders in Washington make it clear that they are on the side of the American people and willing to do whatever to protect consumers and put this country’s economy back on track.

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Republican Obstructionism Knows No Bounds

We’ve seen Republican Obstructionism at work against our federal judicial system, as Sen. Mitch McConnell and his cohorts have blocked many exceptionally-qualified, mainstream jurists from receiving an up-or-down vote in the Senate and many more have been needlessly delayed. But his recent comments regarding the fledgling Consumer Financial Protection Bureau, which still is without a director, unequivocally shows that his priority is to prevent President Obama from building a functioning government that serves the American people. Unfortunately, this means handicapping the CFPB – which was created to help protect Americans from the types of financial abuse by Wall Street that caused the Great Recession and is toothless without a director – just to score political points and curry favor from the financial industry.

Raw Story reports:

President Barack Obama has decided to nominate Richard Cordray to head the Consumer Financial Protection Bureau (CFPB) instead of Elizabeth Warren, but Senate Minority Leader Mitch McConnell (R-KY) doesn’t care. He says Republicans still plan to block the nomination.
“I would remind [President Obama] that Senate Republicans still aren’t interested approving anyone to the position until the president agrees to make this massive government bureaucracy more accountable and transparent to the American people,” McConnell announced on the Senate floor Monday.

By making the agency “more accountable and transparent,” Sen. McConnell and other Republicans mean replacing the director with a board of directors and making it easier for other agencies to overrule the CFPB’s actions – in other words, providing more opportunities for the financial industry to insulate itself from oversight and regulation.

It’s pretty easy to see how the Obstructionist agenda might not be in the best interest of the American people.

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