Sen. Elizabeth Warren, D-Mass., and Rep. Katie Porter, D-Calif., introduced late Tuesday the Secure Viable Banking Act, legislation that would repeal Dodd-Frank rollbacks included in the Economic Growth, Regulatory Relief, and Consumer Protection Act of 2018.
The release follows the collapse of Silicon Valley Bank (SVB) and Signature Bank.
Title IV of the Economic Growth, Regulatory Relief, and Consumer Protection Act, S. 2155, raised the asset threshold at which a bank is considered and regulated as a "systemically important financial institution" to $250 billion, exempting SVB and other midsize banks from regular stress testing and enhanced liquidity, risk management and resolution plan, or 'living will'" requirements, the lawmakers state.
The new bill would repeal these "dangerous regulatory rollbacks, which invited banks to load up on risk and increase profits, restoring critical Dodd-Frank protections," Warren and dozens of other Democrats said.
