Cordray Nomination Gets White House Push Before Senate Vote

The Obama administration pressed the Senate for confirmation of Richard Cordray to head the new Consumer Financial Protection Bureau as Republicans said they had enough votes to block the nomination.

Republicans had the chance to raise concerns when the law creating the bureau was being written and “the Senate should get on” with the task of confirming Cordray, Deputy Treasury Secretary Neal Wolin said at the White House briefing.

Tomorrow’s vote on President Barack Obama’s nomination of Cordray is a top priority for the administration. The consumer bureau “without its full authorities is hamstrung in its ability to help level the playing field between small banks and nonbank financial service providers,” the White House said in a statement today.

Forty-five Republican senators have signed on to a letter vowing to hold up any nominee until the White House and Democrats agree to restructure the board and give Congress more oversight.

“It is inconceivable that in this time of tight budgets that we would create a new agency that is completely unaccountable in terms of its budget,” which may be more than $500 million, Senator Susan Collins of Maine said yesterday.

Collins said Cordray is “clearly a qualified individual” but it “has everything to do with accountability for how money is spent in government.”

‘Transparent and Accountable’

Wolin said the bureau will be “transparent and accountable” and is structured like other agencies overseeing financial institutions because “we want to make sure that our bank regulators are free of political influence.”

Democrats control 53 votes in the Senate, where the rules require 60 votes to move ahead with legislation.

Obama is scheduled to sit for interviews tomorrow with local television stations in Alaska, Indiana, Iowa, Maine, Nevada, Tennessee and Utah, states where the administration is seeking to sway a Republican senator. The White House also brought attorneys general from Maryland, Mississippi, North Carolina and Utah to the White House to lobby for Cordray’s confirmation.

White House press secretary Jay Carney refused to comment when asked whether Obama would use his recess appointment authority to put Cordray in place if no Senate vote takes place.

Cordray, a former Ohio attorney general, is currently serving as enforcement chief at the bureau, which was created in 2010 by the Dodd-Frank regulatory overhaul.

To contact the reporters on this story: Roger Runningen in Washington at rrunningen@bloomberg.net; Hans Nichols in Washington at hnichols2@bloomberg.net

To contact the editor responsible for this story: Mark Silva at msilva34@bloomberg.net.

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