WASHINGTON – Congress was forced last week by an impasse on the omnibus spending bill in the Senate to extend emergency funding for the Central Liquidity Facility and other government agencies.
The current $41 billion limit on funding for the CLF, the emergency loan fund for credit unions, was set to expire last Friday, but was extended until Wednesday while Senate leaders hash over the spending bill.
The spending bill would extend the $41 billion CLF limit until the end of September, enabling NCUA to continue using the fund to finance assistance for troubled credit unions.
Congress raised the CLF funding from its traditional $1.5 billion last September when NCUA made it clear it would need additional funds outside of the $7 billion National CU Share Insurance Fund to adequately provide assistance for troubled credit unions.
