28 THE NAFCU JOURNAL JULY–AUGUST 2022 5 NAFCU’s award-winning advocacy team also fought for the extension of temporary rules on prompt corrective action and participation loans to provide continued relief amid the pandemic. As part of the Biden Administration’s American Rescue Plan, NAFCU worked closely with the Community Development Financial Institution (CDFI) Fund to help secure an additional $10 billion in funding for CDFIs. At the time of passage, NAFCU President and CEO Dan Berger noted that the association “has consistently advocated for more PPP funds to be set aside for CDFIs and MDIs to ensure low-income and underserved communities have the financial resources needed to weather the pandemic. This decision will allow emergency capital to reach the communities that need it the most during this difficult and uncertain economic period.” NAFCU member credit union witnesses testified before Congress twice in 2021. Once before the House Financial Services Committee on the need to level the playing field with FinTechs and once before the House Small Business Committee on Paycheck Protection Program (PPP) loan forgiveness. NAFCU’s testimony before the Financial Services committee was critical in highlighting to lawmakers that as technology companies expand, and new charters emerge to compete in the financial services marketplace, it is important that they compete on a level playing field of regulation and supervision. The testimony reiterated NAFCU’s stance that while many credit unions embrace innovations in technology in order to improve member relationships, it is important for regulators like the NCUA to ensure that credit unions have the proper authority in this space under their charters. NAFCU’s testimony before the House Small Business Committee on the status of PPP forgiveness was critical in highlighting how credit unions have gone above and beyond throughout the pandemic as borrowers relied heavily on their credit unions to assist them through every phase of the PPP process, including forgiveness. The testimony highlighted that credit unions were continuing to grapple with simultaneously processing loan forgiveness applications while meeting the routine needs of their small business members. These first-hand accounts of credit union experiences played an essential role in NAFCU’s advocacy efforts to secure much-needed wins for member credit unions. As digital assets became a large policy focus throughout the year, the NAFCU advocacy team prioritized efforts to ensure a level playing field exists for all financial institutions and FinTech companies. Successful engagement led to: DIGITAL ASSETS ADVOCACY Advising the NCUA to acknowledge the authority of credit unions to partner with third party broker-dealers to offer certain digital assets services. Encouraging the NCUA to foster strong FinTech partnerships to help credit unions provide the products and services members want and need. Following NAFCU’s efforts, the Office of the Comptroller of the Currency also initiated a review of special purpose charters, which has slowed the chartering of non-FDIC insured crypto banks. Ensuring the establishment of Federal Reserve guardrails for access to the payment system that hold underregulated institutions to a higher standard of due diligence. Securing passage of a resolution of the Congressional Review Act, overturning a rule that allowed non-banks to use banks to avoid certain lending regulations.
RkJQdWJsaXNoZXIy Nzc3ODM=