July 19, 2018

Crapo Statement at Nomination Hearing

Hearing to consider nominees for the Bureau of Consumer Financial Protection and the Export-Import Bank

WASHINGTON – U.S. Senator Mike Crapo (R-Idaho), Chairman of the U.S. Senate Committee on Banking, Housing and Urban Affairs, delivered the following remarks at a hearing to consider the nominations of Ms. Kathleen Laura Kraninger, of Ohio, to be Director of the Bureau of Consumer Financial Protection, and Ms. Kimberly A. Reed, of West Virginia, to be President of the Export-Import Bank.
The text of Chairman Crapo’s remarks, as prepared, is below.
“This morning, we will consider the nomination of two individuals to serve in critical leadership roles within the Administration.
“I welcome both of you. Congratulations on your nominations to these important offices.
“I see friends and family behind you and I welcome them here today, as well.
“The nominees before us are Kathy Kraninger, to be Director of the Bureau of Consumer Financial Protection and Kimberly Reed, to be President of the Export-Import Bank of the United States.
“These positions are critically important to protecting consumers in the consumer financial products and services marketplace, and facilitating global trade of U.S. goods and services.
“These nominees bring years of valuable experience at non-profits and in public service, and will provide valued leadership in carrying out the missions of their agencies.
“Ms. Kraninger has had a distinguished career in public service with exposure to a diverse set of federal agencies, as well as developing a particular expertise in the budget and appropriations processes.
“Since March 2017, Ms. Kraninger has served as Associate Director for General Government at the Office of Management and Budget where she oversees and monitors approximately $250 billion in budgetary resources for numerous Cabinet departments and federal agencies.

“She has also served as OMB’s principal policy official for issues related to the Treasury Department, Department of Housing and Urban Development, and federal financial regulators.
“Prior to joining OMB, she held leadership positions at the Department of Transportation and the Department of Homeland Security, as well as serving on the staff of several congressional committees.
“Given her depth and diversity of public service experience, I have the utmost confidence that she is well-prepared to lead the Bureau in enforcing federal consumer financial laws and protecting consumers in the financial marketplace.
“Ms. Reed was considered by this Committee last year as the nominee to serve as the First Vice President of the Export-Import Bank, and today we consider her nomination to be its President.
“Ms. Reed also has had a distinguished career in public service, previously serving as Senior Advisor to former Treasury Secretaries Paulson and Snow.
“In addition, she has served on several Congressional committees, and has held impressive leadership positions in the private sector.
“Ms. Reed is well-positioned to help move the Bank forward in a positive direction.
“With respect to Ms. Kraninger, some senators have requested a long list of documents, including, emails, schedules, involvement in memos, White House communications, etc., relating to Ms. Kraninger’s role at OMB with respect to the Administration’s ‘Zero Tolerance Policy’ and the Administration’s response to Hurricane Maria in Puerto Rico.
These requests are designed to go after certain extraneous Administration policies that the requesters do not like, and go far beyond the practice of this committee’s document production.
“Indeed, I would not expect this Administration or any administration to release documents related to an ongoing deliberative process.
“Further, my understanding is that Ms. Kraninger is not the custodian of the records and has given the request for information to the White House.
“The Democratic senators of this Committee asked me to delay this hearing until after the documents had been provided.
“I am unaware of the Banking Committee delaying a hearing for such a reason. 
“To be consistent, I have followed a similar timeline as the Committee set for then-nominee Richard Cordray in 2013.
“As a reminder, the Senate received Mr. Cordray’s official nomination from the President on February 13, 2013.
“Approximately one month later, on March 12, 2013, the Committee held a hearing to consider Mr. Cordray’s nomination and voted the nominee out of Committee one week later on March 19.
“Similarly, the Senate received Ms. Kraninger’s official nomination from the President on June 20, 2018.
“Approximately one month later, we are holding this hearing.
“She has provided all of the paperwork that the Banking Committee requires.
“The purpose of these hearings is to provide all senators of this Committee the opportunity to ask any questions of this nominee, who will be under oath.
“I intend to ask Ms. Kraninger – again, who will be under oath – about her role in developing policy at OMB. 
“Other senators will be given the similar opportunity to question Ms. Kraninger, and to also follow up with questions for the record, as we traditionally do.
“I take the Senate’s Constitutional authority seriously, and am confident that Ms. Kraninger will be sufficiently vetted, as have our previous nominees, for this Committee to provide a recommendation to the full Senate on this nomination. 
“As a separate matter, many of us have experienced frustration with the Bureau in previous years.
“In April 2016, former Bureau Director Cordray testified before this Committee. 
“Senators on the Committee sent questions for the record that same month. 
“It took Director Cordray over 16 months to respond to this Committee. 
“It is my hope that, if confirmed, Ms. Kraninger will be more accountable to senators on this Committee than Director Cordray was.
“I look forward to a vigorous debate and vote on the nominees.”