February 17, 2015

King, Sherman offer supplemental capital bill

Reps. Peter King, R-N.Y., and Brad Sherman, D-Calif., on Friday introduced a bill to give credit unions access to supplemental capital that preserves mutuality – an element of comprehensive capital reform NAFCU is seeking from Congress as part of its five-point plan for credit union regulatory relief.

"Supplemental capital is even more important now with the prospect of NCUA's second risk-based capital proposal, which could force some credit unions to shoulder a disproportionate amount of burden for the safety and soundness of the credit union industry," said Brad Thaler, NAFCU's vice president of legislative affairs.

Friday's bill is similar to the "Capital Access for Small Businesses and Jobs Act" introduced by King and Sherman during the 113th Congress.

Said Thaler, "We appreciate the support Reps. King and Sherman continue to show the credit union industry. We thank them and the bill's cosponsors for championing legislation that would further credit unions' ability to operate effectively within the financial marketplace and ensure superior service to their members."

The bill's cosponsors also include Reps. Suzanne Bonamici, D-Ore., Chris Collins, R-N.Y., Richard Hanna, R-N.Y., Dennis Heck, D-Wash,Jared Huffman, D-Calif, Steve Israel, D-N.Y., Walter Jones, R-N.C., Gregory Meeks, D-N.Y., Grace Napolitano, D-Calif., Eleanor Holmes Norton, D-D.C., Chellie Pingree, D-Maine, Bill Posey, R-Fla., and Adam Schiff, D-Calif.