Login to View Full Member Content:

Federal Legislative Issues

Credit Union Issues for the 113th Session

Here are the issues of primary concern to credit unions in Congress.

Regulatory burden: Credit unions were subjected to more than 120 regulatory changes from at least 15 different federal agencies between 2008 and 2012. We are asking Congress to remind the Consumer Financial Protection Bureau that it has the authority to exempt credit unions from its rule-making when appropriate.

  We are also seeking relief in specific areas, including

Privacy notification: H.R. 749 (Rep. Robert Hurt co-sponsor). This bill would drop the requirement that paper notices be mailed annually to members to notify them of the credit union’s privacy policy. Mailings would be needed only if policy changes are made.

Enhancing the credit union charter: As times change, so do the tools that will make sure credit unions can continue to serve their members. Toward that end, we are supporting two bills:

  • Member Business Lending: H.R. 688. (Rep. Gerry Connolly co-sponsor). This bill would allow experienced credit unions to increase their member business lending cap from 12.25% of assets to 27.5%.
  • Supplemental Capital: H.R. 719 (Rep. Gerry Connolly co-sponsor). This bill would allow credit unions to access forms of capital other than retained earnings. The National Credit Union Administration would specify which types of supplemental capital are appropriate in order for credit unions to maintain their financial cooperative model.

The Financial Institution Examination Fairness and Reform Act: We back a bill that would make available to credit unions the information examiners use to make their decisions, as well as establish an appeals process before an independent ombudsman or administrative judge.

Housing Finance Reform: As Congress considers what to do with Fannie and Freddie, we are reminding lawmakers to ensure credit unions access to the secondary market. We also want to be able to continue to offer products that our members want, such as the 30-year fixed mortgage.

Tax Exemption: We are not seeking legislation on this issue, just reminding Congress that it has supported our federal income tax exemption since 1934 because of our service to our members as not for profit financial cooperatives. Between elected leaders calling for closing budget gaps, and the American Bankers Association ramping up its attack on our tax exemption, credit unions need to continue to tell our Congressmen how we earn that tax exemption.

Meet Your Lawmakers

Your National Trade Association

Track Federal Legislation