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NAFCU President and CEO Dan Berger and members from the association's senior government affairs team gave an update on the association's ongoing regulatory relief push during a member call-in yesterday. Much of Wednesday's call focused on the impacts the recently enacted Economic Growth, Regulatory Relief, and Consumer Protection Act (S. 2155) will have on credit unions; efforts to delay the NCUA's risk-based capital (RBC) rule and modernize credit unions' field of membership (FOM) restrictions were also covered.

Berger started the call by noting the tremendous progress made on credit unions' priorities in the first half of the year, calling S. 2155's passage "the biggest legislative win" as it is the most comprehensive regulatory relief package in more than a decade to be signed into law. Berger also highlighted efforts at the CFPB and NCUA to reduce credit unions' regulatory burden and provide more flexibility under their rules.

During Wednesday's call, Executive Vice President of Government Affairs and General Counsel Carrie Hunt gave an update on various litigation affecting credit unions related to website accessibility standards under the Americans with Disabilities Act (ADA), NCUA's FOM reforms and overdraft. Hunt said NAFCU will continue to support credit unions targeted by ADA or overdraft lawsuits, and that the association is pursuing all avenues to get a positive resolution for credit unions on the ADA issue.

On S. 2155, Hunt noted that almost all the provisions of the bill were effective immediately, but regulators will likely issue some clarifications to clean up previous rules to match the changes made by the statute.

Hunt also said she expects President Donald Trump to name nominees to the NCUA Board and to serve as a permanent CFPB director soon.

Vice President of Legislative Affairs Brad Thaler detailed NAFCU's strategy to obtain even more regulatory relief for credit unions by finding other vehicles for NAFCU-sought provisions. One such provision is that to delay the NCUA's RBC rule, which has been included in two critical pieces of House legislation. Thaler also said House Financial Services Committee Chairman Jeb Hensarling, R-Texas, is expected to pursue another regulatory relief package this summer; NAFCU will remain engaged on Capitol Hill to get provisions sought by credit unions included.

Looking ahead to the remainder of the year, Thaler said NAFCU is supportive of efforts to modernize Bank Secrecy Act and anti-money laundering reporting requirements, establish a national data security standard and extend the National Flood Insurance Program, which expires in July.

Director of Regulatory Affairs Alexander Monterrubio outlined recent changes at the CFPB under Acting Director Mick Mulvaney's leadership, including its wide review of the bureau's operations through a request for information (RFI) campaign. He also discussed changes to the bureau's reorganization of its advisory councils, noting that the bureau plans to hold smaller working groups on more specific issues and more townhalls to get more diverse views on issues.

At the NCUA, Monterrubio touched on the NCUA's proposed expansion of its payday alternative loan (PAL) program in order to get more credit unions to participate. He also said the agency is expected to roll out another rule on FOM in the coming weeks.

Vice President of Regulatory Compliance Brandy Bruyere covered many of the questions NAFCU's compliance team has received related to S. 2155. Bruyere pointed credit unions to her recent blog that addresses these questions, and also a new summary chart that includes effective dates for some of the statute's provisions.

Bruyere also highlighted the CFPB's recent TRID "black hole" fix, as well as upcoming compliance deadlines credit unions should be aware of; NAFCU's Compliance Calendar details the changes.

Director of Political Affairs Chad Adams thanked members for participating in NAFCU's grassroots push to pass S. 2155, which was "one of the strongest campaigns" in his time at NAFCU. He said the association will now be moving its focus to RBC-delay efforts and data security. He also detailed scenarios for the upcoming midterm elections and encouraged credit unions to stay engaged with their lawmakers.

Finally, Chief Economist and Vice President of Research Curt Long said if the NCUA stays on schedule, credit unions should likely see their distributions from the National Credit Union Share Insurance Fund (NCUSIF) next month. NAFCU's distribution calculator is available here.

Additionally, Long detailed the outcome of this week's Federal Open Market Committee (FOMC) meeting and explained NAFCU's recent letter to the NCUA urging the agency to increase its interest rate ceiling and consider a floating rate cap.