WASHINGTON-Credit union lobbyists were working last week to ensure that NCUA is left out of ongoing plans to merge the financial regulatory agencies.
Unlike the "Blueprint" released by the Bush administration a year ago, the current plans do not include NCUA, according to several credit union lobbyists. "We believe that NCUA should continue as an independent agency and the chairman of the House Financial Services Committee has said he agrees with that," said one lobbyist. He was referring to remarks made by Democrat Barney Frank last year at the behest of the credit union lobby.
The Bush plan would have consolidated NCUA with the FDIC, Office of Thrift Supervision and Comptroller of the Currency under the Treasury Department. That proposal, made in the waning days of the Bush administration, created a firestorm among the credit union, thrift and bank lobbying groups, virtually killing it at its inception. Still, some sort of regulatory consolidation is almost certain to be passed by Congress this session and the credit union lobby groups say they are remaining vigilant in trying to preserve NCUA's independence.
