Senate Republicans Block Vote on CFPB Director; Obama Scolds

After an expected result in the U.S. Senate Thursday, President Obama took time at a press briefing to challenge Republicans on their stonewalling of a confirmation vote for Consumer Financial Protection Bureau (CFPB) Director Richard Cordray.

The vote Thursday to confirm Cordray as head of the CFPB was tabled as the Senate failed to reach a 60-vote majority necessary to break a filibuster led by Republicans. The 53-45 vote in favor of ending the filibuster was mostly along party lines, with two Republicans not voting “No,”: Olympia Snowe of Maine voted “Present,” and Scott Brown of Massachusetts vote “Yea,” the lone side-switcher on the matter. Brown, ironically, is facing a re-election campaign against Elizabeth Warren, the chief architect of the CFPB.

After the vote, Obama had some blunt words for Senate Republicans.

“This makes no sense,” said the President. “Consumers across the country understand part of the reason we got into the financial mess we did is because regulators are not doing their jobs.”

Republicans again voiced their concerns over the CFPB, noting that many in the GOP think Cordray is a well-qualified nominee. But those blocking the vote said that the structure of the CFPB must change before a leader is seated.

Republicans want the director position replaced by a five-member commission, similar to the current FTC, and tighter oversight of the agency’s decisions by other regulatory bodies. Lawmakers are also seeking to subject the agency to the Congressional appropriations process; currently, it is funded through the Federal Reserve.

The CFPB must have a director in place before it can begin regulating many non-bank financial institutions, such as debt collectors.