Credit unions and banks joined forces to call on lawmakers Monday (Jan. 29) to bring a bill to the floor for a vote that would reform certain areas of the Dodd-Frank Act.
According to a report in American Banker, the American Bankers Association, Credit Union National Association, Independent Community Bankers of America and National Association of Federally-Insured Credit Unions all want the bill, which is the culmination of a year of talks between Senate Banking Committee Chairman Mike Crapo and moderate Democrats to overhaul some of the provisions spelled out in the Dodd-Frank Act. The banks and credit unions want the full Senate to vote on the legislation, which cleared the committee in December and has enough backing from Democrats to prevent a filibuster, reported American Banker.
“At a time of frequent congressional gridlock in Washington, this bipartisan legislation is a shining example of how our elected leaders can advance necessary solutions by working together and across the aisle,” the groups stated in a letter addressed to Senate Majority Leader Mitch McConnell and Senator Chuck Schumer, the Democrat leader. The letter called on the lawmakers to “promptly” bring the bill to a vote.
Under the bipartisan bill, institutions with assets under $10 billion will benefit the most, although it also pushes back some of the regulations in place for larger banks by raising the threshold for what constitutes a systemically important bank from $50 billion to $250 billion. The bill also eases the stress test requirements for regional and medium-sized banks, noted the report.
The bill has the backing of 24 senators who co-sponsored it, including 11 Democrats. In the letter, the banks and credit unions said the piece of legislation “offers an opportunity to demonstrate to the American public how Congress should work in unison when presented with beneficial and reasonable reforms to create and enhance economic growth.”