BSA, NFIP Mark-Ups This Week

Both the House and Senate are in session this week. The House Financial Services Committee is set to begin a mark-up tomorrow on a number of bills, and work continues on appropriations bills.

There are eight bills scheduled for House Financial Services Committee mark-up. Five are aimed at various aspects of affordable housing (H.R. 2162; H.R. 2763; H.R. 3018; H.R. 3141; H.R. 3154), two at the National Flood Insurance Program (H.R. 3111; H.R. ____) and one is BSA-related (H.R. 2513).

The Corporate Transparency Act (H.R. 2513) would help financial institutions comply with the new customer due diligence (CDD) rule by requiring companies to disclose their true "beneficial owners" to the Financial Crimes Enforcement Network (FinCEN) for creation of a database of beneficial ownership information that would be available to law enforcement agencies and financial institutions.

The National Flood Insurance Program Reauthorization Act of 2019 (H.R. ____) would provide a five-year authorization of the program and would also make a number of reforms to make coverage more affordable, expand flood risk mapping and mitigation and allow policyholders to move between the NFIP and private policies without penalty. Congress recently approved a disaster aid package that reauthorized the NFIP through September.

The House Appropriations Committee is set to mark-up the fiscal year 2020 financial services and general government (FSGG) bill tomorrow. The bill includes funding for the NCUA's Community Development Revolving Loan Fund (CDRLF) and the Community Development Financial Institutions (CDFI) Fund, as well as a provision related to marijuana banking.

Wednesday, the House Armed Forces Committee will mark-up the FY2020 National Defense Authorization Act (NDAA). CUNA and the state leagues remain engaged to ensure that the interests of defense credit unions are represented.  The CUNA/League System last year led efforts during consideration of the FY 2019 NDAA to protect credit union nominal leases on military installations and stop an effort to allow all banks to operate rent-free on military bases.

Other hearings of interest to credit unions this week include:

  • a House Financial Services subcommittee hearing Tuesday on state oversight of the student loan servicing market;
  • a Senate Banking Committee hearing Tuesday on data brokersand the impact on financial data privacy, credit, insurance, employment and housing;
  • a House Small Business subcommittee hearing Tuesday on the Small Business Administration's (SBA) state trade expansion (STEP) program;
  • a Senate Commerce Committee oversight hearing Wednesday with the Federal Communications Commission; and
  • a Senate Small Business Committee hearing Wednesday on reauthorization of the Small Business Administration’s contracting programs.