Calling for Senate passage of credit union regulatory relief
As the Senate prepares to pass bipartisan housing legislation with several credit union-supported provisions, America’s Credit Unions urged the chamber to advance the measure and consider additional regulatory relief in a letter to Senators yesterday.
Senate Banking and House Finance Committee leaders announced an agreement Tuesday on the 21st Century ROAD to Housing Act, which contains several other bills, including:
- Credit Union Board Modernization Act, to allow credit union boards to meet a minimum of six times per year, rather than the currently required 12;
- Mentor-Protégé Program for Small Financial Institutions Act, which would empower minority depository institution and and other smaller credit unions to collaborate with larger credit unions in mentorship efforts; and
- American Access to Banking Act, to promote the formation of de novo credit unions and other community banks by streamlining the federal application process.
The letter also highlights areas where credit unions need parity with banks for additional relief that Congress should consider, such as:
- Updating a section of the Promoting New Bank Formation Act to include credit unions in the relief provided to de novo banks;
- Minimizing Outdated Restrictions that Exclude (MORE) Opportunities for Homeownership Act, which would update the definition of “community financial institution” in the Federal Home Loan Bank Act to include credit unions.
With a short work week due to the Juneteenth federal holiday Friday, the Senate could vote to clear housing bill and send it to the House before they head home today.
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