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Senate Left Obama With No Choice Over Richard Cordray Appointment

January 5, 2012 RSS Feed Print

Republicans are up in arms over President Obama's not-exactly-recess appointment of Richard Cordray to head the newly-created Consumer Financial Protection Bureau, and they have a strong point. It does appear to be unprecedented. Presidents are allowed to make "recess appointments" when the Senate—which must confirm such appointments—is in recess. And while the U.S. Senate isn't exactly around campus this month, the body has been technically kept in session with a once-every-three-days pro forma session. Circumventing the Senate by appointing Cordray when the Senate is not even technically in recess is indeed an audacious move.

[Read the U.S. News debate on the Dodd-Frank Act.]

But what choice did Obama have? The Senate refused to confirm Elizabeth Warren to the post, and for no other real reason than that Republicans don't like the Dodd-Frank financial regulatory reform law and don't like the Consumer Financial Protection Bureau it created. Since they weren't able to recreate the bureau the way they wanted it—or eliminate it completely—they have been keeping the new entity from doing its work by denying the administration the opportunity to hire someone to run the operation. Warren gave up the fight, and the GOP's stubbornness may come back to haunt them: Warren is well-positioned to become the Democratic nominee for Senate in Massachusetts, and if she is nominated, she would be a strong challenger to GOP Sen. Scott Brown. And the stakes are not limited to the Bay State. The fate of that election could well determine whether the GOP takes back control of the U.S. Senate.

Cordray was the next pick, but he, too, faced filibuster threats from the minority party. The message has been fairly clear: either weaken the bureau or you won't have the personnel to run it. It's legislative hostage-taking, and it's arguably much more insidious an abuse of authority than making a recess appointment when there isn't really a recess.

[See a collection of political cartoons on the Republican party.]

Republican National Committee Chairman Reince Priebus slammed the president for his behavior, noting that:

By circumventing Congress, the president has violated the fundamental principle of checks and balances. Once again, he has proven that no American law or value is sacred in his pursuit of a radical liberal agenda.

Point taken. But preventing the president from putting his own people in senior jobs, absent legitimate questions about the nominee's qualifications, subverts the separation of powers as well.

Tags:
Obama administration,
Elizabeth Warren,
Senate,
Republican Party

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Bruce:

Yes, there may indeed need to be a bureau dedicated to consumer protection, but if there is to be one, there needs to be strict limits to its power - such unchecked government power can cause chaos when the employees begin to think that they have some sort of anti-business mandate.

Remember - these bureaus have the power to issue any mandates they think necessary, and such mandates have the power of law - power unaccountable to anyone.

junior of DC 10:59AM January 06, 2012

A letter from your bank saying they will charge you a new $5 monthly fee for debit card use would be enough to pissoff most so they shop for a new bank or credit union.

So what's stopping you from not getting pissedoff about a not-so-hidden monthly fee of $250-$750 from the federal gov't via the empire-funding individual income tax? And shopping around for a better deal?

Only yourself.

Ron Paul, 2012.

dom youngross of OH 2:55AM January 06, 2012

brucetee _ Says “banks and other financial insitutions always dealt in an above board manner ”

Lawyer obuma and Acorn after law suite against Citi Bank with out of court settlement threaten banks calling them RACIST if not making unqualified home loans. Clinton pushed for more unqualified home buyers approvals as well. My bringing up lawyer obuma and Acorn was germane.

See link in my previous comment.

Call it “stone walling” or whatever you want. Democrats pulled the same thing to stop appointees during recess and stop Bush from making appointments...

Bill Hedges of MO 9:31PM January 05, 2012

Susan Milligan

Susan Milligan

Susan Milligan is a political and foreign affairs writer and contributed to a biography of the late Sen. Edward M. Kennedy, "Last Lion: The Fall and Rise of Ted Kennedy." Follow her on Twitter @MilliganSusan.

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