WASHINGTON—United States Senators Bill Hagerty (R-TN), a member of the Senate Banking Committee, and Lisa Blunt Rochester (D-DE) 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.
“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 “My legislation will revise outdated federal regulations by setting aside regulatory micromanagement and allowing credit unions the flexibility to focus on providing quality financial services to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.”
“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.”
“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 Tennessee League is grateful to Senator Hagerty for his leadership in introducing the Credit Union Board Modernization Act,” said Sarah Waters, Chief Advocacy Officer of the Tennessee Credit Union League. “As not-for-profit financial cooperatives, credit unions are governed by volunteer boards of directors. These dedicated community leaders work and serve alongside credit union members to ensure the financial well-being of all. By modernizing outdated board meeting requirements, this legislation will allow these volunteers and their credit unions to dedicate more time and resources to serving their communities.”
Full text of the legislation can be found here.
###