WASHINGTON (12/4/15 UPDATED 5:00 p.m. ET)--Three key credit union regulatory relief provisions were signed into law this afternoon by President Barack Obama. The provisions were passed as part of the Fixing America’s Surface Transportation (FAST) Act, which is a five-year, $305 billion highway funding package.
“Today the president signed legislation into law that contains the most significant regulatory relief measures for credit unions that we’ve seen pass Congress in nearly a decade,” said CUNA President/CEO Jim Nussle. “This is a huge victory for credit unions and the over 100 million credit union members CUNA represents.”
The bill contains provisions that modernize privacy notification requirements, allow privately insured credit unions to join the Federal Home Loan Bank (FHLB) program and direct the Consumer Financial Protection Bureau (CFPB) to establish a process for determining whether an area should be designated “rural,” which could impact the products credit unions in that area can offer.
“Passage of these three provisions in both the House and Senate is a culmination of years of work by thousands of credit union advocates to help remove barriers and allow not-for-profit financial institutions to better serve their member owners,” Nussle added.
The House passed the bill Thursday afternoon with a 359-65 vote, and the Senate followed suit Thursday night with an 83-16 vote.
CUNA has worked with legislators and staffs on all three provisions, and their respective bills since the start of the 114th Congress. CUNA was also active in previous years getting those bills passed by committees and the House.
The privacy notice provision is based on H.R. 601, which was introduced by Reps. Blaine Luetkemeyer (R-Mo.) and Brad Sherman (D-Calif.) in January; the FHLB provision is based on H.R. 299, introduced in January by Reps. Steve Stivers (R-Ohio), Joyce Beatty (D-Ohio), Pat Tiberi (R-Ohio) and Andre Carson (D-Ind.); and the CFPB rural is based on H.R. 1259, introduced in March by Reps. Andy Barr (R-Ky.) and Ruben Hinojosa (D-Texas).