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NAFCU's Regulatory Committee and Legislative Committee held a joint meeting yesterday to discuss initiatives and rulemaking efforts underway amid the coronavirus pandemic, with NCUA Board Member Todd Harper giving an update on the agency's efforts directly to members. In addition, committee members received a legislative update from NAFCU Vice President of Legislative Affairs Brad Thaler on Congress' work on a Phase 4 coronavirus relief bill and the Small Business Administration’s (SBA) paycheck protection program (PPP).

Harper began the meeting by delivering a briefing on the agency’s recent activities and his priorities for the rest of 2020, followed by a brief Q&A segment with committee members.

“Without a question, the recent economic news has been startling,” Harper began. “In just four months, we have seen more than 50 million Americans file for unemployment.”

Harper stated that it seems the economy “is not going to return to its pre-coronavirus levels for some time,” and reassured that the NCUA is working to adjust its operations and oversight to respond to new developments.

“As we find issues, we’re working to address them,” said Harper.

On the Central Liquidity Facility (CLF), Harper urged committee members who do not already belong to the CLF to join the cooperative movement that “shows the true cooperative nature of the credit union system.” Harper went on to express the agency’s commitment to capital and liquidity in the system.

When asked about what he would like to see Congress pass to help credit unions in the next round of pandemic-related relief legislation, Harper called for the extension of existing CLF reforms that are set to expire at the end of the year.

Harper also reiterated many of the specific legislative opportunities he called for in a letter to Senate Banking Committee Chairman Mike Crapo, R-Idaho, and Ranking Member Sherrod Brown, D-Ohio, as they relate to additional coronavirus legislation that would provide credit unions relief, including:

• relief from the member business lending (MBL) cap;
• allowing all federal credit union charter types to add underserved areas to their field of membership;
• temporary changes and increased flexibilities to the CLF under the CARES Act permanent or extending the provisions to December 31, 2021;
• clarification on issues related to the distribution of economic impact payments; and
• increased funding for the agency's Community Development Revolving Loan Funding (CDRLF) for emergency grants.

In addition, Harper discussed the NCUA’s commitment to diversity, equity and inclusion (DEI), of which he noted “is integral to the success of the NCUA.”

NAFCU has remained in close contact with the NCUA during the coronavirus pandemic, and has also recently spoken with Chairman Rodney Hood and J. Mark McWatters. To see all NAFCU's coronavirus-related advocacy and resources so far, visit its dedicated coronavirus page; view the NCUA’s coronavirus page for more info on the agency’s initiatives.