Voters across the country ensured there would be a check and balance in place in the federal government, as Republicans looked to maintain their advantage in the Senate but Democrats swept to a resounding victory in House races to reclaim the majority.
Along the way, a host of changes will come to the Republican side of the Financial Services Committee. With three Republican members leaving Congress and another losing a primary, four more Republican members on the committee lost Tuesday night – Illinois’ Randy Hultgren, Utah’s Mia Love, Pennsylvania’s Keith Rothfus and New York’s Claudia Tenney. Maine’s Bruce Poliquin trailed by 1,500 votes before noon on Tuesday, but only 40 percent of the votes had been counted.
The change to Democratic leadership means that California Rep. Maxine Waters likely will take control of the Financial Services Committee, following years of rule under Rep. Jeb Hensarling (R-Texas), who is retiring after this session. Waters is a vocal and outspoken critic of the president and fierce defender of the Consumer Financial Protection Bureau, but also is seen as a pragmatic dealmaker who could be friendlier to the industry than her presidential criticism would suggest.
Democratic Minority Leader Nancy Pelosi celebrated the night at the national headquarters, thanking those VIPs in attendance for their work on the elections.
“Thanks to you, we owned the ground. Thanks to you, tomorrow will be a new day in America,” she said. “Remember this feeling. Know the power to win.
“We have all had enough of division.”
Republicans got to celebrate their gains in the Senate, though. Indiana’s Mike Braun knocked off incumbent Democrat Joe Donnelly, and Florida’s Rick Scott appeared to edge Bill Nelson in a race that is headed to a recount.
North Dakota Republican Kevin Cramer cruised to victory over Heidi Heitkamp, while Josh Hawley pulled away for an important win over Democratic incumbent Claire McCaskill.
Texas Sen. Ted Cruz got a battle from Beto O’Rourke but was able to edge to victory. Democrat Jon Tester, a member of the Senate Banking Committee, was up 2,000 votes Wednesday with 99 percent of the vote counted, while Ranking Member Sherrod Brown celebrated a close win in Ohio.
The potential close race in Tennessee never materialized, as Marsha Blackburn rolled to a 54-44 win over Phil Bredesen. Michigan incumbent Debbie Stabenow and Wisconsin incumbent Tammy Baldwin each rolled to victory to hold their Democratic seats. Nevada Democrat Jacky Rosen beat incumbent Dean Heller, while Arizona Republican Martha McSally up 16,000 votes with 75 percent of totals counted.
With Arizona and Nevada races still to be decided and a runoff next month for Mississippi’s special election seat, Republicans had 51 seats locked up and could extend their advantage from a 51-49 majority to as many as 55 seats.
“Tremendous success tonight. Thank you to all!” President Donald Trump tweeted Tuesday night.
Industry associations weighed in on the results as well.
“We look forward to working with both parties on common-sense, bipartisan legislative proposals and regulatory reform,” Consumer Bankers Association President and CEO Richard Hunt said. “Divided government can produce major accomplishments and many of CBA’s priorities, including the creation of a bipartisan commission at the Bureau of Consumer Financial Protection, have received support from both sides of the aisle.
“Another area ripe for bipartisanship is reauthorizing the Higher Education Act to address rising tuition rates and ensure students can responsibly achieve their higher education goals without taking on unnecessary debt, both often caused by federal overlending.”
“Credit unions will continue to have a strong seat at the table as we enjoy bipartisan support in Congress,” National Association of Federally-Insured Credit Unions President and CEO Dan Berger said. “Whether working with Republicans, Democrats or independents, our goal is to achieve an appropriate regulatory environment that provides a tailored approach to regulation, a level playing field, and transparent and independent regulatory oversight for credit unions and the 114 million members they serve.”
“Additionally, we will continue to advocate for a strong, stable financial marketplace that is capable of protecting consumers against future economic downturns. Consumers as well as small financial institutions, including credit unions, were devastated by the fallout of the bank-led 2008 financial crisis. We will continue to work with Congress to develop bipartisan solutions – such as a modern Glass-Steagall Act – to limit the havoc 'too big to fail' financial institutions can beseech on our economy.”
American Bankers Association President and CEO Rob Nichols praised a hard-fought election.
“The results may have produced a change in the balance of power in Congress, but they have not changed our agenda or our willingness to work with dedicated lawmakers from both parties to pursue commonsense economic and regulatory policies that allow banks to create jobs, growth and opportunity for all Americans,” he said. “We congratulate the winners and look forward to building on the solid, bipartisan foundation around banking policy established in the current Congress with the passage of the first financial regulatory reform bill in nearly a decade. ABA and our members look forward to welcoming the new faces as well as returning lawmakers with the information and analysis they need to ensure they are putting in place policies that allow banks of all sizes to fully serve their customers, communities and the country.”
Former Consumer Financial Protection Bureau Director Richard Cordray lost his bid to become governor of Ohio 50-45.
“Congratulations to governor-elect Mike DeWine. Though our campaign fell short tonight, we proved that our collective voice is strong,” Cordray tweeted. “And I’m hopeful because of the millions of Ohioans who supported our campaign.”