Foster Introduces Legislation to Safeguard U.S. Financial System

Washington, DC – Today, Congressman Bill Foster (D-IL) introduced the Enhancing Financial Stability Research and Oversight Act. The legislation would establish minimum budget and staffing levels for the Office of Financial Research (OFR) and the Financial Stability Oversight Council (FSOC), adjusted for inflation, to prevent misguided attempts to undermine our top financial stability watchdogs.

The OFR and FSOC were created as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 to monitor for and address potential risks to the stability of the U.S. financial system. During Trump’s first term, his administration cut staffing at OFR and FSOC by nearly 50 percent and 18 percent, respectively. Since Trump returned to office, Treasury Secretary Scott Bessent has proposed cutting FSOC's budget by 32 percent. 

“I worked in Congress to help create the OFR and FSOC in the wake of the 2008 financial crisis to monitor the U.S. financial system for vulnerabilities or risks that could lead to another economic crisis,” said Rep. Foster. “For years, Republicans have tried to cut funding for these agencies, which would weaken their ability to protect our economic system. This legislation would help protect the important work these agencies do and insulate them from misguided efforts that only serve to put American consumers at risk.”

A copy of the bill can be found here. 

Cosponsors of the bill include Representatives Brad Sherman (D-CA), Joyce Beatty (D-OH), Sean Casten (D-IL), and Nydia Velázquez (D-NY). 

Congressman Foster serves as Ranking Member of the Financial Services Subcommittee on Financial Institutions. Congressman Sherman serves as Ranking Member of the Financial Services Subcommittee on Capital Markets. Congresswoman Beatty serves as Ranking Member of the Financial Services Subcommittee on National Security, Illicit Finance, and International Financial Institutions. 

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