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NAFCU President Fred Becker (center) spoke about the need for credit union access to supplemental capital during a briefing on Capitol Hill Thursday with Rep. Peter King, R-N.Y., (left), and Rep. Brad Sherman, D-Calif. (Photos by Story Partners/Caleb Smith)

July 19, 2013 – NAFCU President and CEO Fred Becker, calling the issue of supplemental capital as being about "Main Street, not Wall Street," told lawmakers yesterday that credit unions need the option of supplemental capital to help them augment retained earnings and uphold member service.

Becker was a panelist with other credit union industry representatives in a congressional briefing held in the Cannon House Office Building to promote H.R. 719, the "Capital Access for Small Business and Jobs Act," a supplemental capital bill introduced this February by Reps. Peter King, R-N.Y., and Brad Sherman, D-Calif.

"As the economy continues to struggle, financial institutions will realize what credit unions already know: that it's about Main Street, not Wall Street," Becker said during the briefing. "Allowing credit unions access to supplemental capital will better serve all Americans and help get the economy back on its feet."

Supplemental capital, included in capital reforms sought as part of NAFCU's five-point plan for credit union regulatory relief, would be a valuable tool to help credit unions ensure a continued, high level of service amid ongoing growth in membership.

Becker assured briefing attendees that credit unions aren't interested in supplemental capital as a way to get around their charter requirements. "Credit unions will continue to be owned and operated by their members," he said. "Credit unions are very risk-adverse, and just because this legislation would give them the option for supplemental capital, doesn't mean they'd take it."

Yesterday's briefing on H.R. 719 was hosted by the Coalition for Credit Union Access. Also attending was NAFCU Vice President of Legislative Affairs Brad Thaler, Associate Director of Legislative Affairs Chad Adams and Director of Political Affairs Katie Marisic.