WASHINGTON (5/28/08)—The Senate Banking Committee on Tuesday will conduct a hearing on the nomination of Michael E. Fryzel, an Illinois real estate lawyer and former director of the state's Department of Financial Institutions, to become a member of the National Credit Union Administration (NCUA) board of directors, and ultimately to be its chairman. President George W. Bush in December sent Fryzel's name to the Senate for confirmation. If confirmed, Fryzel will replace JoAnn Johnson as chairman. Johnson's term expired in August of 2007. She has been on the NCUA board since 2002 and has served as chairman since 2004. Johnson has indicated she will likely remain as chairman until her successor makes it through the nominating process. Fryzel was with the Illinois Department of Financial Institutions from 1977 to 1989 and headed the agency from 1982 to 1989. Integral to that job, according to his resume, was the licensing and regulation of more than 700 state-chartered credit unions with assets exceeding $4.3 billion. Upon leaving that position, Fryzel founded his private law practice, the Law Offices of Michael Fryzel, which specializes in financial regulatory and real estate law. Listed among his profressional affiliation, Fryzel said he is a member of the Governor's Board of CU Advisors and has been since 1992. He received his bachelor's degree from Valparaiso University, his MBA from the University of Chicago, and his JD from Loyola University of Chicago School of Law.
WASHINGTON (5/29/08)--Credit unions can comment on a Federal Reserve Board proposal to amend Regulation DD, the Truth in Savings Act (TISA), to require additional disclosures about account terms and costs associated with overdraft protection plans. Although credit unions will not be subject to the Fed’s proposal, TISA requires the National Credit Union Administration (NCUA) to issue a substantially similar rule, according to Credit Union National Association (CUNA) Deputy General Counsel Mary Dunn. She expects NCUA to issue its rule shortly after the Fed finalizes its proposal. The Fed’s proposal is intended to complement and be consistent with the proposal that has also been issued recently by NCUA, the Fed, and the Office of Thrift Supervision that addresses unfair and deceptive practices as they pertain to credit cards and overdraft protection plans. Use the resource link for more information.
* WASHINGTON (5/29/08)--The Office of Federal Housing Enterprise Oversight (OFHEO) should withdraw the appraisal standards Fannie Mae and Freddie Mac agreed to in March with New York Attorney General Andrew Cuomo, said Comptroller of the Currency John Dugan in a a letter
. The code will undermine the reliability of appraisals, raise mortgage origination costs for lenders, disrupt mortgage appraisal processes, and conflict with federal efforts to restore credit availability and confidence in the housing market, Dugan wrote. The Office of the Comptroller of the Currency thinks that real estate appraisals should be conducted without influence--and this can be achieved with enforcement by federal and state regulators, he said ... * WASHINGTON (5/29/08)--The Federal Reserve Bank of New York announced Tuesday that it launched a pro bono pilot program, Lawyers’ Foreclosure Intervention Network (LFIN), to help distressed homeowners. The program will train lawyers to prevent unnecessary foreclosures in New York City. LFIN is co-sponsored by the City Bar Justice Center, the legal services arm of the New York City Bar. The effort is part of the Federal Reserve’s Homeownership and Mortgage Initiative, a comprehensive strategy across the Federal Reserve System to provide information and outreach to prevent unnecessary foreclosures and to stabilize communities ... * WASHINGTON (5/29/08)--Federal Reserve Gov. Frederic Mishkin will leave his position in August and return to Columbia University in New York (The Wall Street Journal
May 28). Mishkin has been on leave from the university’s business school since he was appointed to his position at the Fed in 2006. After Mishkin leaves, there will be four governors out of a possible seven. The Fed has five governors now because of nominations that have been stalled in the Senate. Senate Banking Committee Chairman Christopher Dodd (D-Conn.) also has not scheduled a vote to nominate Gov. Randall Kroszner to a new term. Senate Democrats attempted to negotiate with the Bush administration to temporarily fill the empty spots until a new president is elected. Mishkin’s term expires in 2014 ...
WASHINGTON (5/29/08)--With backing from credit unions, Idaho Lt. Gov. Jim Risch won Tuesday’s Republican primary in his bid to fill the retiring Larry Craig’s (R-Idaho) U.S. Senate seat. Risch will face Democrat Larry LaRocco--a former American Bankers Association lobbyist--in the fall general election. In a field of eight GOP candidates, Risch garnered more than 65% of the votes. The Credit Union Legislative Action Council and the Idaho Credit Union League participated in Risch’s campaign.