WASHINGTON, D.C. – Today in the Subcommittee on Investor Protection, Entrepreneurship and Capital Markets at a hearing entitled “An Examination of the Financial Accounting Standards Board and the Public Company Accounting Oversight Board,” members from both sides of the aisle expressed serious concern with FASB’s CECL accounting standard. During his questioning, Congressman Blaine Luetkemeyer (MO-03) raised concerns regarding access to credit for American families and the pro-cyclical nature of CECL which threatens to severely exacerbate a future economic slowdown.

“A simple accounting standard is going to decimate the people in my district’s ability to have home mortgages,” said Luetkemeyer. “My friends on the other side of the aisle are as upset about it as I am. This has got to stop. This can’t continue. You should stop and look at the damage you’re going to be doing to the citizens of this country. And in essence after that happens, it’s going to devastate our economy... And without a study, you can’t prove me wrong.”

(click HERE for part 1)

(click HERE for part 2)

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