January 17, 2018

NAFCU-backed bills expected to advance to full House

The House Financial Services Committee is expected to advance several NAFCU-backed regulatory relief bills at the conclusion of its mark-up today. Once voted out of committee, the bills will await action by the full House.

The Community Financial Institution Exemption Act (H.R. 1264)
The bill would raise the CFPB exemption threshold for community institutions to $50 billion in assets and strengthen the bureau's exemption authority.

During yesterday's discussion, bill author Rep. Roger Williams, R-Texas, offered an amendment that would change the exemption threshold to any insured depository institution or credit union with less than $50 billion in consolidated assets to be exempt from any rulemakings from the CFPB. Subcommittee Chairman Blaine Luetkemeyer, R-Mo., and Rep. Robert Pittenger, R-N.C., both spoke about how this amendment and legislation is important in protecting community financial institutions and credit unions. Committee Chairman Jeb Hensarling, R-Texas, gave examples of financial institutions from around the country where community financial institutions, including credit unions, have been hurt from a CFPB rulemaking.

The Portfolio Lending and Mortgage Access Act (H.R. 2226)
The bill would provide a safe harbor from certain qualified mortgage requirements for residential mortgage loans held on a mortgage originator's portfolio.

Subcommittee Chairman Andy Barr, R-Ky., offered an amendment (replacement language) to the bill that models language included in the Senate regulatory reform package (S. 2155) put forth by Senate Banking Committee Chairman Mike Crapo, R-Idaho. The amendment redefines the term "qualified mortgage" to include any residential mortgage that meets certain criteria and allows institutions with less than $10 billion in assets to retain originated mortgages in their portfolios.

The Business of Insurance Regulatory Reform Act of 2017 (H.R. 3746)
The bill would help clarify the limits of the CFPB regulating insurance and ensure the bureau's jurisdiction doesn't spread and create new burdens on credit unions.

The Comprehensive Regulatory Review Act (H.R. 4607)
The bill aims to improve and expand the Economic Growth and Regulatory Paperwork Reduction Act's review process.