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NAFCU Vice President of Legislative Affairs Brad Thaler yesterday shared additional thoughts on the draft "Financial CHOICE Act" with its author, House Financial Services Committee Chairman Jeb Hensarling, R-Texas, emphasizing the need for a positive regulatory environment for credit unions.

Thaler prefaced his comments with an overview of the elements NAFCU believes are necessary for such an environment. Among these, he noted, are the ability to pursue healthy fields of membership that are not limited by outdated laws or regulatory red tape; capital requirements that are appropriate to risk and not "one size fits all"; and an independent federal regulator that can address the challenges of the industry.

Thaler thanked Chairman Hensarling for his leadership on providing relief to credit unions and expressed NAFCU's strong support for the proposed repeal of the Dodd-Frank Act's Durbin amendment. He also noted the association's support for many of the regulatory relief measures found in the discussion draft.

NAFCU's support for CFPB reforms was noted, as Thaler reiterated that NAFCU was the only credit union trade association to oppose subjecting credit unions to CFPB authority under Dodd-Frank, and the association maintains that CFPB has the authority – and should be using that authority – to exempt credit unions from regulations aimed at bad actors.

Thaler shared the association's concerns about the draft's proposed changes to NCUA. He also reiterated NAFCU Executive Vice President of Government Affairs and General Counsel Carrie Hunt's comments from earlier this week concerning the proposed capital changes in Title I, noting they are a novel approach that deserve more scrutiny to see if they could work for credit unions, or if additional changes are needed.

Thaler expressed the association's appreciation for the opportunity to comment on the draft bill and stressed that the association looks forward to working with the chairman on this proposal.