WASHINGTON-Congressional representatives showed up in numbers at CUNA's Governmental Affairs Conference, delivering messages of support to CUs, addressing threats facing the industry, with nearly all making sure to stress how they support legislation to raise the MBL cap.
Among those addressing the credit union audience:
* Rep. Kevin McCarthy (R-CA) was among those who indicated he favors increasing the cap on member business loans-sharing reasons that go back to his days as a 19-year-old entrepreneur. McCarthy joined a credit union and borrowed money to start a small business, which he eventually sold, giving him the money he needed to put himself through college.
"I am a proud credit union member," the House Majority Whip told attendees. "The credit union industry gave me my start, and let me know there are no limits to what I could achieve."
McCarthy recognized the good credit unions have done to keep capital flowing into small businesses, something that has helped a great deal with the nation's economic recovery-a message shared by many Congressional representatives at the GAC.
* Rep. Denny Heck (D-WA) said credit unions hold a special place in his life, formerly serving as director of marketing at Columbia Credit Union in Longview, Wash.
"Every day I went to work I helped people live the American dream. I know that's what credit unions do and I can't wait to vote for expanded member business lending capacity," said Heck.
* Rep. Gregory Meeks (D-NY), said he will support passage of the MBL legislation to "make sure credit unions remain the cornerstone of Main Street America. It will create more than 100,000 new jobs. It's a no-brainer."
* Many of the members of Congress addressing GAC recognized the growing burden of regulatory red tape, often with rules that don't apply to smaller financial institutions. Rep. Jeb Hensarling (R-TX) and the chair of the House Financial Services Committee, said the committee will be focused on reducing red tape and regulatory cost burdens on community financial institutions, and will work to end the "phenomenon" of "Too Big To Fail and Too Small To Matter."
Hensarling also was vocal regarding threats to credit unions' tax exemption. "If I have anything to do with this, there won't be any taxation on our credit unions."
* Rep. Spencer Bachus (R-AL), now serving as chairman emeritus of the Financial Services Committee, predicted that Richard Cordray's appointment to head the Consumer Financial Protection Bureau will be ruled unconstitutional, which will reduce the regulatory burden on CUs. "That means every rule and regulation passed by the CFPB would be deemed invalid... As a result of that opinion, there are talks in the House and the Senate to form a bipartisan commission. You will find that approach much fairer and less dictatorial."
* Rep. Debbie Wasserman Schultz (D-FL) noted "There are 12 million unemployed Americans, and that is 12 million too many. We know credit unions will play a big part in bringing that number down. Without access to capital, small enterprises are twice as likely to fail, to expand their operations, or to get them off the ground. Main Street will lead our economic comeback."
* Rep. Blaine Leutkemeyer (R-MO) said, "I am optimistic that the two parties can begin working better together to get more accomplished. We were able to pass the ATM legislation (that eliminated the requirement for dual fee disclosures) and we are working on (credit card) privacy notice legislation we think will get passed. (Washington) can get back on track and do a lot of good for a lot of people."
