Newsroom

March 14, 2018

NAFCU advocacy team gives reg relief, ADA update in call-in

NAFCU President and CEO Dan Berger and members from the association's senior government affairs team discussed the latest advocacy efforts of NAFCU – at the White House, with lawmakers and regulators – during Wednesday's member call-in. Also addressed were the ongoing litigation threats under the Americans with Disabilities Act (ADA) and current regulatory relief actions in Congress.

Berger started the call by noting the productive meeting NAFCU-member credit union CEOs held with President Donald Trump. He noted Trump was "very engaged" on credit union issues. "These high-profile meetings show what a dynamic association you're a part of," Berger said. He also noted NAFCU's meeting with the Department of Justice (DoJ) on ADA concerns and other frequent meetings with members of Congress on issues such as data security and regulatory relief. "We are proud to be your Washington watchdog," he added.

During Wednesday's call, Executive Vice President of Government Affairs and General Counsel Carrie Hunt gave an update on various court cases and litigation – ranging from yesterday's oral arguments in the lawsuit against the NCUA's field-of-membership (FOM) rule, and the many suits being filed under the Americans with Disabilities Act (ADA). She discussed what NAFCU is doing for members regarding the ADA litigation threats – including filing briefs of support and pushing the DoJ to put forth guidelines on website accessibility requirements. She reiterated NAFCU's strong support of the ADA, but added that these frivolous lawsuits do not help American consumers.

Hunt also touched on the vacancies at the NCUA, noting that while Board Member Rick Metsger is still on the board, his term has expired. "We continue to hear that the administration is working on filling vacancies but no sense of timing," she said. Hunt noted the similar position of the CFPB and that a permanent director is still needed. "Ultimately, NAFCU supports a commission structure but we are pleased with some of the moves [Acting Director Mick] Mulvaney has taken," she added.

Vice President of Legislative Affairs Brad Thaler noted action in the Senate on NAFCU-backed S. 2155, the Economic Growth, Regulatory Relief and Consumer Protection Act. He said that as the House begins reviewing this Senate-passed bill, House Financial Services Committee Chairman Jeb Hensarling, R-Texas, is likely to try to add more bipartisan regulatory relief measures to the package. Thaler also touched on data security and the NAFCU-supported draft legislation put forth by House Financial Services Subcommittee Chairman Blaine Luetkemeyer, R-Mo., and Rep. Carolyn Maloney, D-N.Y. A mark-up of this draft bill is possible in the coming months, he said. Thaler also noted the looming government funding deadline next week, and provided an update on tax reform and lawmakers' work to repeal and delay the NCUA's risk-based capital (RBC) rule.

Regulatory Affairs Counsel Andrew Morris highlighted CFPB's numerous requests for information (RFI) on all its operations and processes. Morris also discussed the outstanding problems with CFPB's TILA-RESPA integrated disclosure (TRID) rule – including those amendments that go into effect in October. Morris also touched on NAFCU's efforts for relief regarding the Home Mortgage Disclosure Act (HMDA) and the NCUA's RBC rule. Regulatory Affairs Counsel Ann Kossachev also gave NAFCU members an update on the Telephone Consumer Protection Act (TCPA) under the Federal Communications Commission (FCC).

Vice President of Regulatory Compliance Brandy Bruyere discussed the Military Lending Act (MLA) and the issues that credit unions have with this rule and the Department of Defense's (DoD) related guidance – especially regarding vehicle loans and guaranteed acceptance protection (GAP) insurance. Bruyere also noted NAFCU's Regulatory Compliance School commencing next week and the upcoming release of NAFCU's Credit Union Compliance GPS.

Director of Political Affairs Chad Adams highlighted NAFCU's grassroots efforts on S. 2155 and encouraged credit unions to keep up their efforts as the House begins its work on the regulatory relief bill. Adams also discussed the NAFCU PAC and the importance of supporting members of Congress that understand credit union issues – especially in this election year. Adams also talked about the current political climate and some expectations for the upcoming elections.

Finally, Chief Economist and Vice President of Research Curt Long discussed the NCUA's $735.7 million distribution to credit unions from the National Credit Union Share Insurance Fund (NCUSIF). Long noted that more than $2 billion of funds is being held in the NCUSIF by the NCUA. He reiterated NAFCU's support of a distribution to credit unions but its opposition to the merging of the funds and increase in the normal operating level of the NCUSIF.

Long also stated the likelihood of another quarter-point rate hike by the Federal Open Market Committee (FOMC) following its meeting next week. He also touched on NCUA's fourth-quarter numbers and the reports issued by NAFCU last week – NAFCU's CU Industry Trends and the CU Performance Benchmark and Operating Expense reports.