WASHINGTON (2/26/14)--House Majority Whip Kevin McCarthy (R-Calif.) said Tuesday that federal regulators are increasingly enacting new rules at a hefty cost to small businesses.
House Majority Whip Kevin McCarthy (R-Calif.) says credit unions are a symbol of free enterprise, risk and upward mobility and should be "unshackled to do more for small businesses." He spoke Tuesday at CUNA's 2014 Governmental Affairs Conference. (CUNA Photo)
The Republican congressional leader told the Credit Union National Association's 2014 Governmental Affairs Conference that the legislative branch issues fewer major rules than the executive branch, and that 19% of GDP is sapped by regulatory burdens.
In a speech that cited the ideas and quotations of Abraham Lincoln, McCarthy paraphrased the 16th president, saying that "government should do for people what people can't do for themselves."
"Credit unions do that every day in serving their members," he said, expressing concerns that regulations are hindering the not-for-profit institutions. He said that credit unions represent the best of America's "exceptional nature."
"Credit unions are a symbol of free enterprise, risk and upward mobility," McCarthy said. He told attendees that he wanted the federal government to "unshackle and allow you to grow," with a particular concern for small business lending rules amid a sluggish post-2008 economic recovery.
McCarthy also recalled how credit unions played a key role in his own life. He told the conference how after completing high school in Bakersfield, Calif., Kerns Schools FCU gave him a student loan to attend junior college.
He said that he received another line of credit after he decided to start selling cars, and that Kerns Schools allowed him to refinance his debt after he won a modest-by-today's standards $5,000 in the California lottery. He then invested in a local sandwich chain, which he sold to put himself through college.
"I'd never make it to majority whip if I didn't belong to a credit union," McCarthy stated. He also said, "No bank wanted to look at me."