From Kyle Campbell’s report in the American Banker:
“There are only two statutes that require the Fed to make Fed bank assessments and neither permit the CFPB to fund transfers,” Britt said. “So what authority, exactly, did the federal reserve have to assess the reserve banks in this manner over the last two years?”
Powell said the Fed has looked into this very question and confirmed that not only can it continue funding the CFPB, but it must.
“We looked at that question very carefully, and it’s very clear on the law and the legislative history that we’re still required to make those payments,” Powell said.
