Overview

• On June 20, Senate Parliamentarian Elizabeth MacDonough ruled that provisions to zero out CFPB funding, cut Federal Reserve staff pay and abolish the PCAOB violate the Byrd Rule and must be removed.
• She also disallowed cuts to the Office of Financial Research, repeals of Inflation Reduction Act authorizations, EPA emissions standards rollbacks and Defense Department spending triggers.
• Senate Majority Leader John Thune has declined to override the parliamentarian’s guidance, leaving Republicans to strip the barred measures or secure 60 votes to overcome points of order.
• Senate Republicans, led by committee chairs such as Tim Scott, are rewriting the bill’s reconciliation text to comply with the rulings before a late June floor vote.
• Democrats including Jeff Merkley and Elizabeth Warren praised the decisions as victories for consumer protections and environmental safeguards.