CRS Reviews FY 2024 Financial Services Appropriations Bill

The Congressional Research Service ("CRS") reviewed the details of the FY 2024 appropriations bill ("H.R. 4644") for Financial Services and General Government ("FSGG"). The enactment of the bill is subject to a continuing resolution through November 17, 2023 and is "largely based on FY 2023 levels."

In its report, CRS explained that "the bill does not actually include funding for the regulation of much of the financial services industry." CRS described the differences in the funding mechanisms of financial agencies "subdivided into groups that regulate depositories (primarily banks), insurance, securities, and housing finance." CRS cited to an updated August 2023 CRS Report titled Independence of Federal Financial Regulators: Structure, Funding, and Other Issues for clarity on how agencies are funded.

CRS noted that H.R. 4644 includes legislative language changing the funding source and the leadership structure for the CFPB, citing a CRS Insight article from September 2023 titled FSGG FY 2024 Appropriations Bill: CFPB’s Funding and Structure Provisions. According to that article, "the reported bill would change the CFPB’s funding and structure, bringing the agency under the traditional appropriations process and replacing the CFPB Director with a five-person commission, appointed by the President with advice and consent of the Senate, with no more than three commission members of any one political party."