Hanging in the balance of the financial reform debate is an issue that
has received far less attention than the Consumer Financial Protection
Agency, but is at least as important and probably more so: whether
Congress will restore the authority of states to oversee national
banks.
If you don't believe me, then take it from U.S. Bancorp CEO Richard
Davis, who chairs the powerful big bank lobbying group, the Financial
Services Roundtable. In an interview with the Minneapolis Star Tribune
editorial board two weeks ago, Davis revealed that the industry's
"number one concern" about financial reform is not the CFPA, but rather
the power of states to regulate the activities of national banks.
"If we had one thing to fight for, it would be to protect [federal] preemption [of state law]," Davis said.
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