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HFSC Markup of Various Measures — May 20 & 21, 2025

June 16, 2025 Uncategorized

HOUSE FINANCIAL SERVICES COMMITTEE MARKUP OF VARIOUS MEASURES

For questions on the note below, please contact the Delta Strategy Group team. 

On May 20 and 21, the House Financial Services Committee (HFSC) held a two-day markup of various measures subject to Committee consideration.  The Committee’s memorandum is available here, and the press release here.  

Key Takeaways

  • On May 21, the Committee voted to pass 25 pieces of legislation to the House floor for consideration.  Six bills passed unanimously, with three sponsored by Republicans and three by Democrats.  Seven pieces of legislation were passed with one or two dissenting votes, one by voice vote, and ten with larger margins along party lines.  
  • In his remarks, Chairman Hill (R-AR) emphasized how access to capital fuels economic growth, innovation, and opportunity as he highlighted how the “common-sense bills” work to increase access to capital, fuel economic growth and opportunity, reduce strains from overregulation, and ensure the U.S. leadership in financial innovation and opportunity.  Chairman Hill’s opening statement is available here.  
  • The Taking Account of Institutions with Low Operation Risk (TAILOR) Act of 2025, introduced by Representative Loudermilk (R-GA) with a Senate companion by Senator Rounds (R-SD), passed by a vote of 29—23.  The bill requires federal regulators to tailor regulations and supervisory actions based on an institution’s risk profile and business model, including mandates for simplified reporting for eligible institutions, retrospective rule review, and submission of a report to Congress on supervisory modernization efforts.  Legislation text is available here. 
  • The Financial Integrity and Regulation Management (FIRM) Act, introduced by Representative Barr (R-KY) and co-led by Representative Torres (D-NY), passed by a vote of 33–19.  The bill prohibits regulators from using “reputational risk” as a factor in supervising depository institutions, aiming to eliminate subjective standards and focus supervision on material financial risks.  Legislation text is available here.  
  • The Financial Institution Regulatory Tailoring Enhancement Act, introduced by Representative Barr (R-KY) and cosponsored by Representative Meuser (R-PA), passed by a vote of 29–23.  The bill raises the asset threshold from $10 billion to $50 billion for institutions to be subject to several regulatory requirements, including CFPB supervision, the Volcker Rule, qualified mortgage standards under the Truth in Lending Act, and enhanced capital standards.  Legislation text is available here. 
  • The Halting Uncertain Methods and Practices in Supervision (HUMPS) Act of 2025, introduced by Representative Fitzgerald (R-WI), passed by a vote of 29–23.  It directs the Federal Financial Institutions Examination Council (FFIEC) to recommend revisions to the CAMELS rating system and mandates regulators implement those recommendations via joint rulemaking.  The bill works to establish objective metrics for CAMELS components, revise weighting to reflect actual risk, narrow or eliminate the Management component, and require a transparent methodology for composite ratings, including a public comment process.   Legislation text is available here. 

NOTICED LEGISLATION

  • The Taking Account of Institutions with Low Operation Risk (TAILOR) Act of 2025, sponsored by Representative Loudermilk (R-GA), passed 29—23.  An amendment in nature of a substitute, available here, was offered by Representative Loudermilk and agreed to by a voice vote. 
  • The Financial Integrity and Regulation Management (FIRM) Act, sponsored by Representatives Barr (R-KY) and Torres (D-NY), passed 33—19.  An amendment in nature of a substitute, available here, was offered by Representative Barr and agreed to by a voice vote.  An amendment, available here, offered by Representative Sherman (D-CA) was agreed to with a voice vote.  
  • The Halting Uncertain Methods and Practices in Supervision (HUMPS) Act of 2025, sponsored by Representative Fitzgerald (R-WI), passed 29—23.  An amendment in nature of a substitute, available here, was offered by Representative Fitzgerald and agreed to by a voice vote.  An amendment, available here, offered by Ranking Member Waters (D-CA) was not agreed to by a 23—29 vote. 
  • The Financial Institution Regulatory Tailoring Enhancement Act, sponsored by Representative Barr (R-KY), passed 29—23.  An amendment in nature of a substitute, available here, was offered by Representative Barr and agreed to by a voice vote.  An amendment, available here, offered by Ranking Member Waters (D-CA) was not agreed to by a 23—29 vote. 
  • The Fair Audits and Inspections for Regulators’ (FAIR) Exams Act, sponsored by Chairman Hill (R-AR), passed 35—17.  An amendment in nature of a substitute was offered by Representative Scott (D-GA) and accepted with a unanimous vote.  Two amendments, available here and here, offered by Ranking Member Waters (D-CA) were not agreed to by a 23—29 vote.  
  • The Bank Failure Prevention Act, sponsored by Representative Barr (R-KY), passed 29—21.  An amendment in nature of a substitute, available here, was offered by Representative Barr and agreed to by a voice vote.  
  • The Fair Investment Opportunities for Professional Experts Act, sponsored by Chairman Hill (R-AR) and Representative Vargas (D-CA), passed 45—1.     
  • The Encouraging Public Offerings Act of 2025, sponsored by Representatives Wagner (R-MO) and Meeks (D-NY), passed 48—2.     
  • The Improving Access to Small Business Information Act, sponsored by Representatives Kim (R-CA) and Gottheimer (D-NJ), passed 50—0.   
  • The Greenlighting Growth Act, sponsored by Representative Haridopolos (R-FL), passed 49—2.   
  • The Increasing Investor Opportunities Act, sponsored by Representatives Wagner (R-MO), Meeks (D-NY), Torres (D-NY), and Scott (D-GA), passed 41—10.   
  • The ELEVATE Act, sponsored by Representatives Nunn (R-IA) and Bynum (D-OR), passed 50—1.   
  • The Equal Opportunity for All Investors Act of 2025, sponsored by Representatives Flood (NE-01) and Fields (D-LA), passed 49—2.   
  • The Expanding Access to Capital for Rural Job Creators Act, sponsored by Representatives Downing (R-MT) and Bynum (D-OR), passed 51—0.   
  • The Helping Angels Lead Our Startups (HALOS) Act of 2025, sponsored by Representatives Lawler (R-NY) and Gottheimer (D-NJ), passed 50—1.   
  • The Accredited Investor Definition Review Act, sponsored by Representative Huizenga (R-MI), passed 34—16.   
  • The Improving Disclosure for Investors Act of 2025, sponsored by Representatives Huizenga (R-MI) and Sherman (D-CA), passed 39—11.   
  • The Retirement Fairness for Charities and Educational Institutions Act of 2025, sponsored by Representatives Lucas (R-OK), Gottheimer (D-NJ), and Foster (D-IL), passed 43—8.   
  • The Helping Startups Continue to Grow Act, sponsored by Representative Steil (R-WI), passed 31-20.   
  • The Small Entity Update Act, sponsored by Representatives Wagner (R-MO), Torres (D-NY), Casten (D-IL), and Scott (D-GA), passed 51—0.   
  • The Access to Small Business Investor Capital Act, sponsored by Representative Sherman (D-CA), passed by voice vote.   
  • The Promoting Opportunities for Non-Traditional Capital Formation Act, sponsored by Ranking Member Waters (D-CA), passed 50—0.   
  • The Middle Market IPO Underwriting Cost Act, sponsored by Representative Himes (D-CT), passed 50—0.   
  • The Enhancing Multi-Class Share Disclosures Act, sponsored by Representative Meeks (D-NY), passed 51—0.   
  • The Senior Security Act of 2025, sponsored by Representative Gottheimer (D-NJ), passed 51—0.