WASHINGTON–The House has passed H.R. 6147, the Financial Services and General Government (FSGG) Appropriations Act for Fiscal Year 2019, which includes language that would delay NCUA’s risk-based capital rule two years until Jan. 1 of 2021, would place the Bureau of Consumer financial Protection under the appropriations process, give the president authority to remove the BCFP director and enhance congressional review of the Bureau.
The legislation also includes funding for the Treasury's Community Development Financial Institutions (CDFI) Fund.
"We thank House leadership for passing regulatory relief measures that will greatly benefit credit unions," said CUNA President/CEO Jim Nussle in a statement. "CUNA has maintained since NCUA first proposed the risk-based capital rule that it is a solution in search of a problem, so we support any legislative means to reduce the rule’s impact on credit unions."
Ahead of the vote, CUNA had sent a letter to House Speaker Paul Ryan (R-WI) and Democratic Leader Nancy Pelosi (D-CA) in support of the legislation and also urged the House of Representatives to increase the bill's $216 million allocation to the Community Development Financial Institutions (CDFI) Fund. CUNA's efforts led to an increase of its funding level to $248 million in the final bill. The CDFI Fund was fully funded at $250 million in H.R. 1625, the Consolidated Appropriations Act for Fiscal Year 2018.
"Certified CDFIs, including credit unions, are able to turn the awards and grants from the fund to leverage significant amounts of private and non-federal dollars in support of vital community investments," Nussle added. "CUNA will continue our advocacy to push for full funding of the Treasury's CDFI Fund as it is an important investment by the federal government."
Added Carrie Hunt, NAFCU's EVP and general counsel, “NAFCU strongly supports the FY 19 FSGG bill, which includes a two-year delay of the NCUA’s risk-based capital rule. NAFCU has led this charge on behalf of America’s credit unions, and enacting this legislation would give them more time to comply with the rule while also giving the NCUA time to revise it. On behalf of our membership and the entire credit union industry, NAFCU thanks Chairman Graves for his leadership and hard work in producing this common sense measure.”
Other Language Included
The bill also includes languages from several other bills that has the support of the creid tunion trade groups, including:
- Mortgage Choice Act (H.R. 1153), which would remove certain premiums and title insurance from the points and fees calculation
- Privacy Notification Technical Clarification Act (H.R. 2396), which would “provide credit unions sufficient flexibility to ensure that members have access to the privacy policy pertinent to their relationship with the credit union
- TRID Improvement Act of 2018 (H.R. 5078), which would amend the Real Estate Settlement Procedures Act to require the Bureau of Consumer Financial Protection to allow the accurate disclosure of title insurance premiums and any potential available discounts to homebuyers;
- Common Sense Credit Union Capital Relief Act (H.R. 4464), which would delay NCUA’s risk-based capital rule
- Bureau of Consumer Financial Protection–Inspector General Reform Act, which would create an independent inspector general at the CFPB