Senate short of votes to override 1071 veto

The Senate fell short of the two-thirds majority needed to override President Joe Biden’s veto of a resolution to overturn the Consumer Financial Protection Bureau’s Section 1071 rule, despite mustering a bipartisan majority.

Senate Vote: The 54-45 vote showed continued bipartisan support for the ICBA-advocated resolution, but the sustained veto effectively concludes the legislative process for S.J.Res.32. The resolution—which would nullify the rule’s small-business data collection and reporting requirements—passed the House 221-202 last month after advancing through the Senate on a 53-44 vote in October.

Background: The ICBA-opposed CFPB rule requires lenders to collect and report data on credit applicants, including the race, sex, and ethnicity of the principal owners as well as gross annual revenue. The rule is under an ICBA-advocated nationwide injunction until the courts decide on the constitutionality of the CFPB’s funding structure.

Customer-Facing Tools: As ICBA continues opposing the 1071 rule, community bankers can continue using ICBA’s customizable communications resources to educate and engage their customers on the rule.