WASHINGTON (10/28/11)--Support for increasing the credit union member business lending (MBL) cap continues to grow following this month's House Financial Services subcommittee hearing, and the Credit Union National Association (CUNA) continues to call on credit unions to keep up their advocacy efforts as MBL legislation moves forward.
National Credit Union Administration Chairman Debbie Matz and Jeff York, president/CEO of CoastHills FCU, Lompoc, Calif., testifying on CUNA's behalf, gave both a broad and narrow view of the promise that an MBL cap lift holds for small businesses, and the difficulties that credit unions facing the 12.25% of assets MBL cap face, during the Oct. 12 hearing. CUNA also refuted many banker claims that were made during that hearing in a recent letter to Rep. Shelley Moore Capito (R-W.Va.). (See related Oct. 27 story)
CUNA has estimated that lifting the MBL cap would have a number of beneficial effects on the ailing economy, including infusing $13 billion in new credit for small businesses and adding 140,000 new jobs within the first year of enactment--all at no cost to the American taxpayer.
H.R. 1418, the Small Business Lending Enhancement Act of 2011, had 101 cosponsors as of late Thursday, with Reps. Sander Levin (D-Mich.) and Donald Payne (D-N.J.) serving as the most recent supporters. Sen. Mark Udall (D-Colo.) also continues to support his own MBL cap lift legislation, S. 509.
That bill has 20 cosponsors.
The fight to increase these numbers, and move MBL legislation on to President Barack Obama's desk, continues, and these credit union advocacy efforts are aided by CUNA's Grassroots Action Center. Nearly 20,000 separate contacts have been made since late spring, with credit union advocates reaching out to members of the House and Senate, as well as the Obama administration, to seek their support for an MBL cap lift.
MBL advocacy is also being achieved through direct contact with legislators and their staff on Capitol Hill. The majority of this year's Hike the Hills are complete, as the New Jersey Credit Union League and the Credit Union Association of the Dakotas visited this week and the New Hampshire, Massachusetts, and Rhode Island leagues are scheduled to come to D.C. at the beginning of November.
To contact your congressional representatives, use the resource link.