Washington, D.C. – United States Senators Lisa Blunt Rochester (D-Del.) and Bill Hagerty (R-Tenn.), both members of the Senate Banking, Housing, and Urban Affairs Committee, have reintroduced the Credit Union Board Modernization Act.
The bipartisan legislation revises an antiquated federal law that requires credit union boards to meet every month. By reducing superfluous board meetings, the bill relaxes regulatory burdens and allows credit unions to focus on their core mission of providing financial services to their members.
“It is far past time that the arcane requirements for credit unions are removed,” said Senator Blunt Rochester. “This bill is an essential step toward improving the functionality of credit unions up and down my home state of Delaware, especially those small and rural. I look forward to continuing this bipartisan effort alongside Senator Hagerty and our colleagues to ensure credit unions spend less time maneuvering through red tape and more time serving their communities and promoting financial well-being.”
“Credit unions should be allowed to spend less time in unnecessary board meetings and more time serving their members,” said Senator Hagerty. “My legislation will revise outdated federal regulations by setting aside regulatory micromanagement and allowing credit unions the flexibility to focus on providing quality financial services to rural communities and members across the country.”
“We greatly appreciate Sens. Bill Hagerty and Lisa Blunt Rochester for their introduction of the Credit Union Board Modernization Act,” said Carrie Hunt, America’s Credit Unions Chief Advocacy Officer. “Credit unions face several regulatory burdens, and this bill would provide flexibility so that credit unions can commit more resources and time to what matters most: serving their members and communities. This legislation has already passed the House, and we urge the Senate to swiftly take up the measure. We will continue to work with lawmakers on other reforms to ensure credit unions can thrive.”
“The Credit Union Board Modernization Act will deliver much-needed regulatory relief, giving boards the flexibility to operate more effectively and efficiently,”said John Bratsakis, President/CEO, MD|DC Credit Union Association. “This legislation enables credit unions to enhance their operational capabilities while continuing to prioritize safety and soundness. We deeply appreciate the support of Senator Lisa Blunt Rochester for taking the lead in cosponsoring the legislation which will strengthen the credit union community.”
“This commonsense bill will ease outdated requirements enabling credit unions, especially smaller ones and those in rural areas, to focus more time and resources on their mission of promoting financial well-being,” said Dan McCarthy, President/CEO, Del-One Federal Credit Union. “We would like to thank Senator Lisa Blunt Rochester for taking the lead in cosponsoring this impactful legislation and look forward to our continued collaboration.”
Full text of the legislation can be found here.
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Senator Lisa Blunt Rochester represents Delaware in the United States Senate where she serves on the Committees on Banking, Housing, and Urban Affairs; Commerce, Science, and Transportation; Environment and Public Works; and Health, Education, Labor, and Pensions.