WASHINGTON (Reuters) -A U.S. congressional panel is set to consider legislation Wednesday that looks to drastically curtail existing government efforts to police consumer financial markets and scrutinize public company accounting.

The House Financial Services Committee is set to consider draft legislation that would significantly trim the funding received by the Consumer Financial Protection Bureau, and aims to effectively eliminate the Public Company Accounting Oversight Board, a watchdog formed in 2002 to improve oversight of auditors amid high-profile accounting scandals, including the collapses of Enron and WorldCom.

The measure is part of a broader effort by Republicans in Congress to carve out a hefty amount of savings as part of their bid to pass a sweeping tax cut bill. Several committees have been charged with finding cuts under their jurisdiction to add to a so-called "reconciliation package," which is a streamlined way for Congress to consider tax and spending measures, requiring only majority support in both chambers.

The banking panel was charged with finding at least $1 billion in cuts. Spokespeople for the committee and the CFPB did not respond to requests for comment. The SEC declined to comment.

When the CFPB was created as part of the 2010 Dodd-Frank financial reform law, it received its funding directly from the Federal Reserve, and is capped as a percentage of the Fed's operating expenses. That level currently stands at 12%, allowing the CFPB to request up to $823 million. The House bill would slash that to 5%, and order any excess or unallocated funds to be handed over to the Treasury.

Republicans have long criticized the CFPB as too powerful and lacking oversight, and the Trump administration has attempted to effectively gut it by firing most of its staff. Those efforts have been held off amid court challenges.

The other major provision of the measure would see the SEC effectively replace the PCAOB.

Specifically, the measure would eliminate the audit regulator's ability to garner fees and fold the nonprofit's responsibilities and potentially some of its staff into the Securities and Exchange Commission.

Over two decades, audit quality has improved, restoring investor confidence in the financial reporting of public companies - a trend many attribute to the legislative overhaul and to the accounting watchdog.

But the PCAOB has also faced years of criticism, including from now SEC Chairman Paul Atkins. The SEC controls the PCAOB, and the SEC's chairman can appoint and fire its leaders, making it more subject to political changes. Under its current chair, the auditor watchdog has pursued a more aggressive enforcement agenda, fueling scrutiny.

PCAOB Chair Erica Williams said in a speech Tuesday that she was "deeply troubled" by the measure, arguing the SEC cannot simply step in and perform the same role.

"The unique experience and expertise built up by the PCAOB over decades cannot simply be cut and pasted without significant risk to investors at a time when markets are already volatile," she said in prepared remarks to an investor advisory group.

She also warned shifting responsibilities to the SEC would force the renegotiation of several cooperative agreements with other countries, including China, where it oversees audits.