WASHINGTON—The three co-sponsors of the so-called “stop and study” bill on NCUA’s risk-based capital proposal are looking for more fellow members of Congress to stop and sign on.
Reps. Stephen Fincher (R-TN), Denny Heck (D-WA), and Bill Posey (FL) are circulating a “Dear Colleague” letter to House members seeking additional cosponsors for the bipartisan bill, H.R. 2769, the “Credit Union Risk-Based Capital Study Act of 2015, NAFCU reports.
H.R. 2769 would require NCUA to study and report to Congress on its authority to issue a two-tier risk-based capital rule and the impact it would have on credit unions. The agency would not be allowed to finalize its RBC2 proposal or implement a final rule until 120 days after the report goes to Congress.
“A thorough study of the proposed rule before it moves forward is necessary to ensure credit unions and the communities they serve are not unduly burdened,” Fincher, Heck and Posey wrote in their letter to House members, sent Monday.
The three Reps emphasized the concern Congress has shown for RBC, noting the 2,150-plus comment letters Washington sent to the agency on the proposal.
“In the current regulatory environment, Congress must work to ensure that proposed regulations will work to strengthen our financial system and not place undue burdens on financial institutions that ultimately result in harm to consumers and American families,” the congressmen wrote.
NAFCU, a strong supporter of the bill, continues to ask House members to cosponsor H.R. 2769 and is urging NAFCU members to contact their lawmakers in support of the bill. NAFCU has stated that NCUA proposal should be withdrawn in favor of legislative reforms to the Federal Credit Union Act that would allow for more effective capital reform.