Senate GOP’s next move awaited in spat

Associated Press

WASHINGTON

President Barack Obama’s appointments to two key agencies during the Senate’s year-end break ensures that GOP senators will return to work today in an angry mood.

Less clear is what those furious Republicans will do to retaliate against Obama’s “bring it on” end run around the Senate’s role in confirming nominees to major jobs.

While Republicans contemplate their next step, recess appointee Richard Cordray is running a new Consumer Financial Protection Bureau, and the National Labor Relations Board, with three temporary members, is now at full strength with a Democratic majority.

Obama left more than 70 other nominees in limbo, well aware that Republicans could use Senate rules to block some or all of them.

The White House justified the appointments on grounds that Republicans were holding up the nominations to paralyze the two agencies. The consumer-protection agency was established under the 2010 Wall Street reform law, which requires the bureau to have a director in order to begin policing financial products.

The Supreme Court has ruled that the five-member NLRB must have a three-member quorum to issue regulations or decide major cases in union- employer disputes.

Several agencies contacted by The Associated Press, including banking regulators, said they were conducting their normal business despite vacancies.

The Federal Deposit Insurance Corp., at full strength, has five board members. The regulation of failed banks “is unaffected,” said spokesman Andrew Gray. “The three-member board has been able to make decisions without a problem.” Cordray’s appointment gives it a fourth member.

The Comptroller of the Currency has kept up its regular examinations of banks. The Federal Trade Commission, operating with four board members instead of five, has had no difficulties.

Republicans have pledged retaliation for Obama’s recess appointments, but haven’t indicated what it might be.