House subcommittee reviews several bills targeting regulatory reform

The House Financial Institutions and Consumer Credit Subcommittee met last week to discuss several bills aimed at improving the regulatory environment, including one that would change the asset threshold used to deem a bank as systemically important.

Introduced by Rep. Blaine Luetkemeyer (R-MO), the Systemic Risk Designation Improvement Act of 2017 replaces the $50 billion asset threshold used in Dodd-Frank to designate firms as “systemically important financial institutions” with an indicator-based measurement approach based on a particular institution’s size, interconnectedness, cross-jurisdictional activity, substitutability, and complexity.