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April 22, 2020

NAFCU, Harper discuss coronavirus impact on CUs

Berger, Harper
NAFCU President and CEO Dan Berger; NCUA Board Member Todd Harper

NAFCU President and CEO Dan Berger yesterday spoke with NCUA Board Member Todd Harper about how the coronavirus pandemic is affecting credit unions, steps the industry is taking to support members, and areas of potential relief to ensure credit unions can effectively address coronavirus-related issues.

NAFCU Executive Vice President of Government Affairs and General Counsel Carrie Hunt, Chief Economist and Vice President of Research Curt Long, and Director of Regulatory Affairs Ann Kossachev and Harper's Senior Policy Counsel Catherine Galicia also joined the discussion.

During Tuesday's conversation, NAFCU and Harper reviewed programs credit unions are offering to help members experiencing financial difficulties and economic expectations for the downturn and recovery.

In addition, NAFCU reiterated its request that the NCUA provide additional examination flexibility. The NCUA last month outlined its priorities for exams during the coronavirus pandemic and said it would encourage examiners to work with credit unions focused on providing uninterrupted services and relief to members.

To further support credit unions, NAFCU and Harper discussed the use of the NCUA's Community Development Revolving Loan Fund, including proactively encouraging credit unions to apply for grants and potentially requesting additional funds, and the Community Development Financial Institution Fund, including improving the application and certification processes. They also talked about the Small Business Administration's paycheck protection program and how credit unions are participating in the program to provide loans to small businesses in need.

Harper, during last week's NCUA Board meeting, expressed support for Congress providing credit unions with relief from the member business lending (MBL) cap. NAFCU and Harper discussed the legislative efforts underway to provide MBL relief.

NAFCU will continue working with the NCUA to provide credit unions with additional regulatory relief and guidance amid the coronavirus pandemic. The association also spoke with NCUA Board Member J. Mark McWatters this week.