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The Senate Banking Committee yesterday met to discuss the nomination of Chairman Todd Harper to the NCUA Board. Committee members reviewed Harper's priorities regarding climate change regulation, cybersecurity, and more.

Committee members asked Harper for his input on the proposed IRS reporting requirements currently pending in Congress as part of the Build Back Better Act. On this topic, Chairman Harper agreed that there is an administrative cost associated with the proposal; however, he explained he has not seen the proposal in its entirety.

When asked by Chairman Sherrod Brown, D-Ohio, about the ways the NCUA has strengthened consumer protection to ensure credit union members have access to affordable products, Harper explained one of his priorities for the NCUA moving forward is the formation of a dedicated consumer protection exam for institutions above $1 billion in assets.

In addition, Harper was asked about the NCUA’s implementation of the Corporate Transparency Act of 2019. Harper explained NCUA staff is meeting on weekly basis to develop draft materials and they are working on implementing the law as quickly as possible.

Ahead of the hearing, NAFCU Vice President of Legislative Affairs Brad Thaler shared the association's priorities for the NCUA on several industry hot topics, including:

• opposition to new premiums or major changes to the National Credit Union Share Insurance Fund (NCUSIF);

• support for new investment authorities for credit unions;

• opposition to granting NCUA third-party vendor authority;

• support for credit unions adding underserved areas to their field of membership;

• modernization of the governance process for credit unions to allow for the adoption of an expulsion policy to expel members who engage in abusive or illegal behavior; and

• support for efforts to promote de novo credit union formation.

NAFCU will continue to work closely with the NCUA Board to achieve an effective regulatory environment that supports a strong, safe, and sound credit union industry.

President Joe Biden in August nominated Harper to serve a full term on the NCUA Board; Harper's previous term on the NCUA Board ended in April and he has been serving in a holdover capacity. The association will continue to monitor the status of Harper's nomination.