Conference Call: Federal Financial Reform: Protecting State Laws from Federal Preemption

09/15/2009 - 1:00pm

On Tuesday, September 15th at 12:00pm EST, Progressive States Network hosted a national conference call for state legislators and advocates discussing Federal Financial Reform: Protecting State Laws from Federal Preemption.

As Congress moves to enact new federal laws governing financial institutions, Progressive States Action is teaming up with Americans for Financial Reform, a coalition of nearly 200 national, state and local consumer, labor, retiree, investor, community and civil rights groups to sponsor a conference call on why state leaders need to mobilize to protect state consumer protection laws from federal preemption.  Currently, proposed federal legislation includes language that safeguards the ability of states to take independent action to protect consumers, but the banking industry is seeking amendments that would override state consumer protection laws and eliminate the ability of state and local prosecutors to act on behalf of consumers defrauded by financial institutions.

This important discussion highlighted the need for state leaders to call for federal reform that treats states as partners in reform and honors a tradition of collaborative federalism in consumer protection.  The call brought together legislators and state organizational leaders from around the country to highlight the importance of including strong non-preemption language in federal financial reform legislation.

Speakers included:

* Congressman Brad Miller of North Carolina, a member of the Banking Committee and original sponsor of current legislation, H 3126

* Elizabeth Warren, chair of the Congressional Oversight Panel created to oversee the U.S. banking bailout, known as the Troubled Assets Relief Program (TARP)

* Lisa Donner, Deputy Director of Americans for Financial Reform

* Nathan Newman, Executive Director, Progressive States Network

For more information, see our recent Stateside Dispatch which covers this issue in-depth.