On May 16, 2024, the ABC News reported that the Supreme Court rejected a conservative-led attack that could have undermined the Consumer Financial Protection Bureau. The justices ruled 7-2 that the way the CFPB is funded does not violate the Constitution, reversing a lower court decision.

Unlike most federal agencies, the CFPB does not rely on the annual budget process in Congress but gets its funding directly from the Federal Reserve, about $600 million per year. In 2022, a New Orleans-based Court of Appeals ruled that the funding structure violated the appropriations clause in a decision that also invalidated the regulation at issue.

Read the ABC News’ report here.

Adam Witmer

Adam Witmer is a speaker, author, and founder of the Compliance Cohort. Adam has taught hundreds of seminars and training sessions to thousands of bankers throughout the United States and teaches on all areas of regulatory compliance. Adam has written five e-books that he never published, hit a grizzly bear while driving in a National Park, and is an award winning photographer and musician (though he no longer takes photos nor plays any instruments). In his spare time, Adam can be found kayaking on the lake, doing taekwondo with his kids, working on his (project) house, or spending time with his family.

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