Transition Tracker | Cordray Plans to Stay Remainder of Term

WHAT HAPPENED

CFPB Communications Director Jen Howard told Politico Pro in an email today that Richard Cordray “has no plans” to leave his job as director of the CFPB. She elaborated, “Director Cordray was confirmed by a bipartisan group of 66 senators to serve a term until July 2018 and has no plans to step down.” In addition, Politico Pro reported that Director Cordray’s public calendar already is filling up, another sign he’ll stay. In March, he is scheduled to appear at a meeting of the National Community Reinvestment Coalition.

WHAT IT MEANS FOR AFSA MEMBERS

While Director Cordray may not resign, his tenure at the CFPB could still be limited. Congressional Republicans have been pushing to make the CFPB into a five-member commission. They would also like to place limits on the CFPB’s authority, making it more accountable to Congress.

Moreover, the incoming Trump administration could try to remove Cordray, either “for cause” as specified in the Dodd-Frank Act, or by claiming that the “for cause” provision is unconstitutional and the president has the power to remove the director at will. Of course, Cordray could challenge either of those actions in court.

WHAT IS AFSA DOING

AFSA has supported making the CFPB into a five-member commission, with additional controls over the budget and rulemaking.