The U.S. House of Representative voted last week to approve a bill that keeps the National Credit Union Administration (NCUA) out of the appropriations process.
Originally, the bill would have made the agency part of the annual funding process. The Credit Union National Association (CUNA) had expressed concerns that this would diminish the independence of the NCUA and result in credit unions paying more than they do now to fund NCUA operations. The money that funds the NCUA comes solely from credit unions and their members, not the taxpayers in general.
CUNA said that maintaining a separate, independent federal credit union regulator and insurer is critically important to the credit union system.
“The many regulatory relief provisions in this bill, as well as the removal of language placing NCUA under appropriations, is a direct result of CUNA, the leagues, credit unions and members strongly advocating on behalf of 110 million credit union members,” CUNA President and CEO Jim Nussle said. “These last few days are a blueprint to future advocacy work for the credit union industry, and we urge all stakeholders to help us keep up the momentum as the bill moves to the Senate.”
However, the bill places the Consumer Financial Protection Bureau (CFPB) under the appropriations process.
In addition, the bill cuts the Treasury’s Community Development Financial Institutions (CDFI) Fund by $58 million from FY17 levels.