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NAFCU President and CEO Dan Berger welcomed yesterday's release by House Financial Services Chairman Jeb Hensarling, R-Texas, of a discussion draft for his updated "Financial CHOICE Act" providing for Durbin interchange amendment repeal and other Dodd-Frank Act reforms, a number of which NAFCU has been seeking for credit unions.

A hearing is slated April 26 at 10 a.m. Eastern.

"NAFCU is gratified to see work getting underway on some much-needed regulatory relief for the nation's credit unions," said Berger. "Credit unions continue to strain under the regulatory compliance burdens of the Dodd-Frank Act, and we thank Chairman Hensarling for his recognition of this burden and his leadership in launching a discussion of important reforms."

The draft revised Financial CHOICE Act would repeal the Durbin interchange amendment and implement other reforms of the Dodd-Frank Act, a number of which NAFCU has been seeking for credit unions. The draft bill is expected to be introduced before month end.

Hensarling, in Wednesday's announcement, said the measure "grows the economy from Main Street up." Key provisions in the bill impacting credit unions include:

• requiring regulatory agencies to improve their cost-benefit analyses and better tailor regulations to the size of regulated institutions;
• preserving the NCUA Board's current three-member structure (last year, a five-member board was contemplated) and mandate agency budget transparency;
• subjecting the NCUA to the congressional appropriations process;
• bringing reforms to the examination process of financial institutions to ensure an independent and fair appeals process;
• converting the CFPB into a consumer law enforcement agency without supervision authority, eliminating many of its powers including its authority with respect to unfair, deceptive or abusive acts and practices (UDAAP);
• subjecting the CFPB to the congressional appropriations process.

NAFCU staff are reviewing the draft text. The association is committed to seeking regulatory relief for credit unions through all possible channels – both legislative and regulatory.