WASHINGTON (6/19/12)—Debate over the National Flood Insurance Program (NFIP), and how long to extend that program, will be one of many items credit unions should keep an eye on in Congress this week.
The U.S. Senate is expected to take up S. 1940, which would extend the NFIP until Sept. 30, 2013, after debate on the Agriculture Reform, Food, and Jobs Act of 2012 (S. 3240) is complete. However, legislation that could extend the NFIP for five years is also reportedly being discussed in the Senate.
The NFIP is set to expire on July 31, and Congress will need to move on legislation before then to prevent the NFIP from lapsing. The NFIP lapsed three times in 2010, and the Credit Union National Association (CUNA) has noted that lapses in NFIP authorization have caused significant disruption in the mortgage underwriting process for thousands of prospective homeowners.
In the U.S. House, credit unions will want to watch for a Thursday House Small Business investigations, oversight and regulation subcommittee hearing on small business lending. Redwood CU, Santa Rosa, California, President/CEO and CUNA Board Member Brett Martinez is scheduled to testify during the hearing. (See related News Now story: CUNA to testify on small biz lending Thursday)
CUNA will also submit a statement for the record ahead of a Wednesday House Financial Services insurance, housing and community opportunity subcommittee hearing on the Consumer Financial Protection Bureau's recent mortgage loan disclosure work.
The House Financial Services Committee has also scheduled a Tuesday hearing on J.P. Morgan Chase's recent $2 billion trading loss, and a House Financial Services consumer credit subcommittee hearing on money service business regulations is scheduled for Thursday morning.
The House and Senate are both expected to remain in session until a one-week recess begins on July 2.