Printer Friendly

Texas legislature again upholds separate credit union regulator.

The Texas legislature has once again backed an independent regulator for credit unions.

In heralding the enactment of a sunset law renewing the Texas Credit Union Department for another 12 years as a major victory for dual chartering, the Texas Credit Union League said the action by state lawmakers should be a factor weighing on Congress as it considers federal regulatory restructuring.

The Texas CU regulatory system, separate from that of the banks, has proved highly successful and should provide a model to Congress in protecting members and the public on CU safety and soundness and ensuring industry growth, according to the league.

"There is compelling evidence here, and we hope our Texas congressional delegation will take this model to heart as regulatory restructuring is contemplated this year in our nation's Capitol," said Buddy Gill, chief advocacy officer for the league.

League President/CEO Richard Ensweiler said an additional goal in passing the sunset law was "to ensure that the bill did not unduly expand regulatory powers and burdens on credit unions in a time of significant financial turmoil."

"Specifically, TCUL worked to success fully remove a new provision that would allow for monetary penalties to be levied on credit unions, and worked to keep in place statutory language to continue allowing for joint 990 filings," Ensweiler noted of the IRS forms for nonprofits.

In passing the sunset law, the league hailed the enactment as an "epic" achievement considering the bruising battles in 1997 with the banking lobby, which sought to contain CUs under a single regulator.

--jrubenstein@cutimes.com
COPYRIGHT 2009 Summit Business Media
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2009 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:Credit Union Times
Date:Jun 10, 2009
Words:260
Previous Article:NCUA's revised share guarantee will include all but two.
Next Article:Nev. problems will continue.
Topics:

Terms of use | Privacy policy | Copyright © 2021 Farlex, Inc. | Feedback | For webmasters