25 Senators Ask CFPB to Reinstate Consumer Advisory Board

On Friday, U.S. Senator Robert Menendez (D-N.J.) sent a letter to CFPB Acting Director Mick Mulvaney requesting that he immediately reinstate the agency’s Consumer Advisory Board (CAB) and provide a plan detailing how the CFPB will meet with the board and fulfill its statutory obligations under the Dodd-Frank law. On June 6, Mulvaney fired all 25 members of the advisory board, saying that the CFPB would reassemble the panel in the fall with new members.

Menendez was joined on the letter by 24 of his Democratic colleagues in the Senate.

“By dismissing the CAB, the CFPB is deliberately rejecting statutorily required advice from qualified professionals who are volunteering their services to the American public, with no credible explanation as to why the present CAB members are not capable of fulfilling their responsibilities,” the Senators wrote. “Additionally, with no justification, you barred any current CAB members from reapplying, raising concerns that his actions are not motivated by a desire to streamline processes but by animus toward the current board members.”

The CAB was disbanded in June after 11 of its members criticized Mulvaney in a news conference. Since becoming acting director, Mulvaney had canceled several legally-required meetings with the group.

“Former CFPB Director Richard Cordray, and many senior staff members, met with the CAB three times a year for two days of meetings,” the letter reads. “For almost a year, the CFPB has effectively prevented the CAB from offering the agency their insights as consumer advocates, industry leaders, and academics.”

The Senators have requested a response from the CFPB by July 26.