On May 22, 2018, the U.S. House of Representatives (“House”) passed S. 2155, the “Economic Growth, Regulatory Relief, and Consumer Protection Act.” The bill was passed on a bipartisan basis with a vote of 258-159. The bill was previously passed by the U.S. Senate (“Senate”) on March 14, 2018. Now that identical legislation has passed both houses of Congress, the bill will go to President Trump for his signature, which is expected in the coming days. Once effective, the new law will provide modest regulatory relief to regional and community banks.

The House had sought to incorporate additional financial regulatory reforms into the Senate bill. However, proponents of the Senate bill were concerned that any changes to the language would upset a carefully assembled, filibuster-proof Senate coalition. News reports indicate that, in exchange for agreeing that the House would vote on S. 2155 without amendments, House Financial Services Committee Chairman Jeb Hensarling (R-TX) was assured that the Senate will consider additional financial regulatory reform measures which passed the House earlier this Congress. Despite the bicameral compromise, it is unclear whether there is enough time in the legislative calendar to bring up additional financial regulatory reform legislation. Nevertheless, the enactment of S. 2155 represents a significant victory for financial regulatory reform advocates.