A joint resolution providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Department of the Treasury relating to "Regulatory Capital Rule: Modifications to the Enhanced Supplementary Leverage Ratio Standards for U.S. Global Systemically Important Bank Holding Companies and Their Subsidiary Depository Institutions; Total Loss-Absorbing Capacity and Long-Term Debt Requirements for U.S. Global Systemically Important Bank Holding Companies".
Senator Warren Introduces Resolution to Block Treasury Rule Easing Capital Standards for Largest U.S. Banks
Legislative Progress
Key Points
- This resolution aims to cancel a rule from the Treasury Department that changed how much money the nation's largest banks must keep in reserve. These banks are considered "systemically important," meaning their financial health is vital to the stability of the entire U.S. economy.
- The rule being challenged modified the "Enhanced Supplementary Leverage Ratio" and other debt requirements. These are rules designed to ensure that if a massive bank loses money, it has enough of its own cash to cover the losses without needing a government bailout.
- If this resolution passes, the Treasury's changes would have no legal power. The banks would likely have to return to previous standards for how much capital and long-term debt they must hold to protect against financial shocks.
- This action was introduced by Senator Warren on March 4, 2026, using a special process that allows Congress to overrule federal agency decisions. It specifically targets a rule that was originally submitted on December 1, 2025.
Impact Analysis
Personal Impact
This resolution attempts to block a Treasury rule that eased capital requirements for the largest U.S. banks. If it passes and those banks must hold more capital in reserve, they may have less money available to lend — which could mean tighter credit for small businesses. On the other hand, stricter capital rules reduce the risk of a major banking crisis that could freeze lending entirely, which would be far worse for small businesses.
Broader Impacts
Milestones
Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
Sent to a congressional committee for expert review. The committee decides whether this bill moves forward.
Introduced in Senate
The bill was officially filed and given a number. It now enters the legislative queue.
Votes
No votes have been recorded for this legislation yet.
News
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Source Information
Document Type
Congressional Bill
Official Title
A joint resolution providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Department of the Treasury relating to "Regulatory Capital Rule: Modifications to the Enhanced Supplementary Leverage Ratio Standards for U.S. Global Systemically Important Bank Holding Companies and Their Subsidiary Depository Institutions; Total Loss-Absorbing Capacity and Long-Term Debt Requirements for U.S. Global Systemically Important Bank Holding Companies".
Data Sources
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