WASHINGTON–Both credit union trade groups are (virtually) engaged on Capitol Hill as a so-called phase IV stimulus package appears to be taking shape.
Discussions around additional federal aid to the Paycheck Protection Program fell apart last week, but the ongoing crisis and the overwhelming response to that program likely means Congress will have to act.
But in addition to the PPP, numerous proposals have also been put forth for other federal stimulus spending.
“We have talked with a number of (congressional) offices over last several weeks and especially last week regarding the need to increase appropriations for the Community Development Financial Institutions Fund and for (NCUA’s) Community Development Revolving Loan Fund,” said CUNA’s chief advocacy officer, Ryan Donovan.
Seeking Flexibility
Donovan said CUNA has also had discussions around providing some flexibility to credit unions on the Member Business Loan cap, as well as more funding for NCUA’s Central Liquidity Fund.
“The phase III round provided for expansion, but taking that further may be prudent in next round,” said Donovan.
As CUToday.info has reported, CUNA has also been advocating for more flexibility around Regulation D, and more recently for some type of national standard around remote notarization services.
“That is primarily the purview of state law, but as we have decreased our person-to-person documentation there has been a need for more remote signings and we may need national legislation on that,” he said.
Watching the Wording
Similarly, NAFCU EVP and General Counsel Carrie Hunt said the group is also working to monitor any phase IV stimulus legislation, but the group’s efforts aren’t just about what goes into the bill.
“First and foremost, our concern is to make sure there is nothing harmful to credit unions, such as no broad forbearance requirement for all credit unions,” said Hunt. “Credit unions should have some flexibility there.”
NAFCU would also like to see capital flexibility for CUs included in any new bill, Hunt said, as well as MBL cap relief.
Also in Washington, Hunt said NAFCU continues to push for regulatory relief and wants to see a statement from the CFPB on exam forbearance, as well as for NCUA to work with credit unions to stop exams in the short term.