The Shootout at the CFPB Corral Is On

Evan Walker/Planet Pix via ZUMA

Fight disinformation: Sign up for the free Mother Jones Daily newsletter and follow the news that matters.

So Mick Mulvaney showed up at CFPB headquarters today to take over as director. Presumably, so did Leandra English:

Their duel was set for high noon—Excel spreadsheets at twenty paces—but there’s no word yet on how that turned out.

As a reminder, here’s the basic dispute:

  • The 1998 Vacancies Reform Act gives the president the power to fill vacant positions in the executive branch. It is the “exclusive” means for filling positions “unless” another statute expressly names a successor.
  • The 2010 Dodd-Frank Act expressly says that the deputy director of the CFPB “shall” become director in case of a vacancy.

The White House position is that Dodd-Frank doesn’t remove the president’s VRA power. It merely means that VRA is no longer the “exclusive” means of filling the vacancy. The president still has the option of using it.

The lawyers will sort this out, but here’s the part that was tickling my brain last night. It’s one thing to disagree about what statutory language means, but surely it has to mean something. Right? But if the White House interpretation is correct, then the language in Dodd-Frank is literally meaningless. VRA still controls, and the president had the power to name the deputy as the new director all along if he wanted to. So why bother even including it?

This is the question I haven’t seen addressed. If VRA is the controlling statute regardless, then why did Congress even bother including language about a CFPB successor in Dodd-Frank? It might make sense if this applied only to temporary absences (due to illness, for example), but that’s not the case. Everyone agrees that the Dodd-Frank language applies equally to both temporary absences and resignations.

My untutored view is that the Dodd-Frank language means exactly what it says: if the director resigns, then the deputy director takes over, full stop. And it was included as a means of maintaining CFPB independence from the White House, something that Congress clearly intended. This is the only interpretation that seems to make consistent sense.

But I suppose a judge will decide I’m wrong soon enough.

AN IMPORTANT UPDATE

We’re falling behind our online fundraising goals and we can’t sustain coming up short on donations month after month. Perhaps you’ve heard? It is impossibly hard in the news business right now, with layoffs intensifying and fancy new startups and funding going kaput.

The crisis facing journalism and democracy isn’t going away anytime soon. And neither is Mother Jones, our readers, or our unique way of doing in-depth reporting that exists to bring about change.

Which is exactly why, despite the challenges we face, we just took a big gulp and joined forces with The Center for Investigative Reporting, a team of ace journalists who create the amazing podcast and public radio show Reveal.

If you can part with even just a few bucks, please help us pick up the pace of donations. We simply can’t afford to keep falling behind on our fundraising targets month after month.

Editor-in-Chief Clara Jeffery said it well to our team recently, and that team 100 percent includes readers like you who make it all possible: “This is a year to prove that we can pull off this merger, grow our audiences and impact, attract more funding and keep growing. More broadly, it’s a year when the very future of both journalism and democracy is on the line. We have to go for every important story, every reader/listener/viewer, and leave it all on the field. I’m very proud of all the hard work that’s gotten us to this moment, and confident that we can meet it.”

Let’s do this. If you can right now, please support Mother Jones and investigative journalism with an urgently needed donation today.

payment methods

AN IMPORTANT UPDATE

We’re falling behind our online fundraising goals and we can’t sustain coming up short on donations month after month. Perhaps you’ve heard? It is impossibly hard in the news business right now, with layoffs intensifying and fancy new startups and funding going kaput.

The crisis facing journalism and democracy isn’t going away anytime soon. And neither is Mother Jones, our readers, or our unique way of doing in-depth reporting that exists to bring about change.

Which is exactly why, despite the challenges we face, we just took a big gulp and joined forces with The Center for Investigative Reporting, a team of ace journalists who create the amazing podcast and public radio show Reveal.

If you can part with even just a few bucks, please help us pick up the pace of donations. We simply can’t afford to keep falling behind on our fundraising targets month after month.

Editor-in-Chief Clara Jeffery said it well to our team recently, and that team 100 percent includes readers like you who make it all possible: “This is a year to prove that we can pull off this merger, grow our audiences and impact, attract more funding and keep growing. More broadly, it’s a year when the very future of both journalism and democracy is on the line. We have to go for every important story, every reader/listener/viewer, and leave it all on the field. I’m very proud of all the hard work that’s gotten us to this moment, and confident that we can meet it.”

Let’s do this. If you can right now, please support Mother Jones and investigative journalism with an urgently needed donation today.

payment methods

We Recommend

Latest

Sign up for our free newsletter

Subscribe to the Mother Jones Daily to have our top stories delivered directly to your inbox.

Get our award-winning magazine

Save big on a full year of investigations, ideas, and insights.

Subscribe

Support our journalism

Help Mother Jones' reporters dig deep with a tax-deductible donation.

Donate