SAFE Guidance Act

The SAFE Guidance Act would require federal financial agencies to include a prominent disclosure statement on the first page of any guidance documents they issue. The statement would clarify that the guidance does not have the force and effect of law, does not establish rights or obligations, and is not binding on the agency or the public. The bill would also note that noncompliance with guidance does not automatically establish a violation of applicable law.

The practical effect would be to make clear to banks, credit unions, and other regulated financial institutions that agency guidance is advisory rather than mandatory. Supporters argue this would reduce regulatory uncertainty and provide relief to financial institutions by distinguishing between legally binding regulations and non-binding guidance. The bill has passed committee review and is eligible for a floor vote in the House.