Rep. Scott Garrett (R-NJ), Chairman of the Financial Services Subcommittee on Capital Markets and Government-Sponsored Enterprises, issued the following statement today to mark the one year anniversary of President Obama signing the Dodd-Frank Act into law:
"One year ago today, President Obama signed the Dodd-Frank Act into law, throwing a wet blanket on economic growth and job creation. In the most sweeping overhaul to financial regulation since the Great Depression, Democrats added an unprecedented amount of burdensome regulations to the financial sector, locking up credit and forfeiting U.S. competitiveness in the global financial marketplace.
"In the wake of the financial crisis of 2008, Democrats insisted that more regulation was the answer to our problems and that they had the right prescription to address the ailments of our financial system. As it turns out, the 2,000 page bill they produced was not the right solution. One year after it was signed into law, Dodd-Frank has done little to prevent another financial collapse, it has failed to streamline and simplify regulation, and it has actually codified "too big to fail' and taxpayer bailouts into statute. When the American people asked for limited government, less burdensome regulation, debt reduction and, most importantly, job creation, this was hardly the solution they had in mind.
"What is most striking about the Democrats' regulatory overreach is that they didn't even address the root cause of the financial collapse -- government-backed mortgage giants Fannie Mae and Freddie Mac. Where the Democrats have failed to lead, my Republican colleagues and I stand ready to dismantle the GSEs once and for all. To that end, as Chairman of the Subcommittee on Capital Markets and Government-Sponsored Enterprises, I am leading a coordinated effort to wind down Fannie and Freddie through a series of bills designed to end the taxpayer bailout of the failed institutions, protect taxpayers from future bailouts and get private capital off the sidelines. It's time to get the government out of the business of housing finance so that private market participants can finally step in."