WASHINGTON (9/9/15)--The growing volume and complexity of regulations is driving the decline in community financial institutions. It is curbing their ability to best serve the needs of their members and customers and to generate local economic activity and jobs. That is the message sent yesterday by CUNA and its regulatory relief partners to Senate leaders.
In a letter to Sens. Richard Shelby (R-Ala.), chair of the Senate Banking Committee, and Sherrod Brown (D-Ohio), the panel's ranking member, CUNA and the coalition wrote, "While these institutions have shown a great deal of resiliency in this growing regulatory environment and have continued to help consumers purchase homes and meet other financial needs, many have reached the point where meaningful relief is critical." The letter was also sent to the attention of Sens. Mitch McConnell (R-Ken.), the Senate majority leader, and Harry Reid (D-Nev.), the Senate minority leader,
CUNA also noted that there is limited time remaining in this congressional session, and underscored that it is imperative lawmakers work together and pass a legislative product that is bipartisan, and provides meaningful relief for community institutions and consumers throughout this country.
The letter backs bills, such as the Financial Regulatory Improvement Act of 2015 (S. 1484), that take "a step in the right direction" to remove obstacles that thwart the ability of credit unions and community banks to fully serve the diverse financial services needs of consumers. S. 1484 was approved by the Senate Banking Committee in May.
Along with CUNA, the letter to Senate leaders was signed by the National Association of Federal Credit Unions, the American Bankers Association, and the Independent Community Bankers of America. The coalition reminded the senators that they represent 14,000 financial institutions of all charter types.