July 16, 2018

This week: NAFCU-led RBC delay up for vote, BCFP nominee hearing

CapitolNAFCU this week will actively encourage House members to support the fiscal 2019 House appropriations bill on financial services as the legislation houses a NAFCU-led provision that would delay the NCUA's risk-based capital (RBC) rule by two years. Similarly, this delay language is also included in legislation unveiled Friday.

Both bills are expected to receive a House vote this week.

This RBC-delay provision, also included in the House-passed Foreign Investment Risk Review Modernization Act of 2018 (H.R. 5841), comes from the Common Sense Capital Relief Act (H.R. 5288), which was introduced by Reps. Bill Posey, R-Fla., and Denny Heck, D-Wash., in March. NAFCU President and CEO Dan Berger met with Posey and Heck to thank them for their ongoing efforts to protect the industry from the adverse effects of this rule.

Also this week, Federal Reserve Chair Jerome Powell is slated to give the semi-annual testimony on monetary policy before the Senate Banking Committee on Tuesday and the House Financial Services Committee on Wednesday. The Senate Banking Committee on Thursday is expected to take up the nomination of Kathy Kraninger to lead the Bureau of Consumer Financial Protection (BCFP – formally the CFPB).

By July 31, Congress must also revisit the National Flood Insurance Program before it expires. Both chambers are working out the final details of the National Defense Authorization Act and formal consideration of the legislation is expected to occur in mid-to-late July.

In other congressional hearings this week:

  • A House Financial Services subcommittee on Tuesday will examine capital regimes for financial institutions.
  • The House Veterans' Affairs Committee will hold a joint hearing with a House Small Business subcommittee on achieving government-wide verification of service-disabled veteran-owned small businesses.
  • A House Financial Services subcommittee on Wednesday will review the future of digital currency.
  • The House Energy and Commerce Committee on Wednesday is holding an oversight hearing of the Federal Trade Commission.

In other happenings this week:

  • The Financial and Banking Information Infrastructure Committee (FBIIC) and Financial Services Sector Coordinating Council (FSSCC) will hold a joint meeting tomorrow at the Treasury Department, which will brief attendees on the Department of Defense's cyber capabilities and review a report out on the World Economic Forum's new consortium to address fintech cybersecurity. NAFCU Executive Vice President of Government Affairs and General Counsel Carrie Hunt and Regulatory Affairs Counsel Andrew Morris will attend.
  • On Thursday, NAFCU Senior Regulatory Affairs Counsel Ann Kossachev and Regulatory Affairs Counsel Kaley Schafer will attend the Women in Housing and Finance event with Kirsten Sutton Mork, chief of staff of the BCFP.
  • Credit unions looking to prepare for the NAFCU Certified Risk Manager (NCRM) designation and the NAFCU Certified Bank Secrecy Officer (NCBSO) designation can tune into free live webinars on Tuesday and Wednesday, respectively. Registration is required.
  • Friday is last day to save $200 off the registration price of NAFCU's premiere credit union lobbying event of the year – Congressional Caucus – Sept. 11-14 in Washington. Those interested in attending can use the code CAUCUSAVINGS until 11:59 p.m. Eastern July 20.