LSCU eSignal Weekly
LSCU eNews Weekly October 31, 2011
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LSCU eNews Weekly
In This Issue
President's Point
Call Chairman Bachus and ask for his support of MBL legislation
LSCU Top Headlines
This week's top League headlines
Governmental Affairs News
This week in Alabama politics: Immigration law training, former legislator pleads guilty
This week in Florida politics: Election law won't receive expedited review, gambling bills filed
News from the Hill: House, Senate floor schedule, CUNA sends letters to legislators
Compliance Corner
League InfoSight highlight: NMLS Registration under the SAFE ActóRenewal Period Starts Nov. 1
FinCEN proposes e-filing BSA reports
Compliance calendar and training
Cooperative Initiatives News
1st Annual SECUF Community Development Workshop proves successful
CRA-qualified Individual Development Accounts Forum
Education News
Year end is near, but educational opportunities still abound with LSCU
Education Calendar
LEVERAGE News
Mobile device technology key to online lending
News from You
Pen Air FCU provides better option for disgruntled consumers
Tree Capital CU merges with FSU CU
Tampa Chapter keeps giving and giving
EMPLOYMENT
View available credit union jobs
In This Issue
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President's Point

Call Chairman Bachus and ask for his support of MBL legislation

By now I hope many of you have seen the Action Alert that we put out Friday morning. Late Thursday night we got word that House Financial Services Committee Chairman Spencer Bachus of Alabama had signed on to co-sponsor H.R. 1697, the Communities First Act. This is a regulatory relief bill for community banks and represents one of that industry’s top legislative priorities. Through the Action Alert, we need to send a clear message to Chairman Bachus, if he supports regulatory relief for community banks, he should support legislation to jump start the economy by providing increased ability for credit unions to make small business loans.

The Action Alert asks credit unions to call Chairman Bachus at 202.225.4921 or fax his office at 202.225.2082. This is an instance where the sheer volume of the calls and faxes will let the chairman know credit unions are not going to silently sit by while he lends his support for regulatory relief for community banks. We are asking the chairman to stand with 101 of his fellow representatives by signing on to H.R. 1418, legislation to raise the member business lending cap for credit unions from 12.25 percent to 27.5 percent. The latest representative to co-sponsor H.R. 1418 is Rep. Alcee Hastings (D-FL) who joins seven other representatives from Florida with their name on the bill. Chairman Bacchus’ lack of support for H.R. 1418 has also been a factor in us not getting other members of the Alabama’s congressional delegation to sign on to the bill since many look to him for a lead on all financial services related legislation.

One question many of you may have is, will this grassroots action alert sway Chairman Bachus’ opinion of H.R. 1418? The answer is - we won’t know unless we try. When a legislative office is swarmed with calls, faxes and emails, it shows them that the issue is very important to the lawmaker’s constituents. Most of the time it prompts the office to revisit the issue and re-think their position. If the banks continue to be provided regulatory relief while fighting any kind of move forward by credit unions, we fall further and further behind.  

We’ve met with Chairman Bachus on a number of occasions with H.R. 1418 a major part of our meetings. He has been open to listening to what we have to say and asking questions. However, he has stopped short of committing to sign on. We need to make our feelings very clear with phone calls, emails, and faxes over the next few weeks to express to Chairman Bachus how disappointed we are that it appears he has chosen the side of banks over credit unions.

The best way for us to make the highest impact is to have credit union staff, volunteers and even members leave a message for the chairman that credit unions would like him to also co-sponsor H.R. 1418, the only jobs bill being offered that will not cost taxpayers a dime. Also, realistically raising the member business lending cap will have very little effect on community bankers; because if the needs of small businesses were being met, we wouldn’t be having this conversation.

Now is not the time for us to sit on the sidelines and continue to talk amongst ourselves about what to do next. We need to act and we need to act now. I hope you will take a look at this Action Alert and distribute it among your staff and volunteers. Let Chairman Bachus know that we are watching what he is doing and would like the same courtesy he’s showing community bankers.  

I welcome your thoughts and feedback.

  [ Return to Top ]

LSCU Top Headlines
This week's top League headlines

NCUA advises examiners ahead of Bank Transfer Day, freezes union pay
Credit unions will be interested to know that the National Credit Union Administration (NCUA) has advised its examiners on alternative ways to view how the sudden inflow of deposits and members caused by the planned Nov. 5 Bank Transfer Day could impact credit union finances. Click here for complete article. The NCUA has also negotiated a new contract with its union that will freeze pay for examiners and other members of the bargaining unit of the National Treasury Employees Union in exchange for increases in benefits. Click here for the complete article.

NCUA Board discusses NCUSIF and CDRLF
The NCUA board meeting last Thursday was a short one. It covered one final rule on the Community Development Revolving Loan Fund (CDRLF) and updates on the National Credit Union Share Insurance Fund (NCUSIF). Click here to read a CUNA summary of the meeting. 

Some banks backtrack on debit fees
Following the outcry of new fees added to debit cards by some banks, two have announced they will not implement the fees in 2012. It is also believed that Bank of America will soon follow suit and drop its $5 debit card fee. You can read more in the Washington Post

LSCU Bank Transfer Day webpage
The League this week created a webpage dedicated to offering resources for your credit union to get involved in Bank Transfer Day on Nov. 5. Click here for your Bank Transfer Day resources.

Consider contributing to Credit Union House
Credit Union House in Washington, D.C. is a facility where credit unions can host events or use as an advocacy tool. It is owned by its members, state leagues and affiliated credit unions. Consider a contribution to the CU House to keep its operations running and available to credit unions for events. The League contributes every year. If you would like to contribute, visit the CU House contribution page.

[ Return to Top ]

Governmental Affairs News
This week in Alabama politics: Immigration law training, former legislator pleads guilty

Immigration Law Training
There seems to be a daily story in every newspaper regarding Alabama’s new immigration law and the effects it has or will have on employers throughout the state. The Montgomery Advertiser is reporting a group, known as Alabama Employers for Immigration Reform, is hosting several training sessions on the new law and how to comply with it.  The group is quoted as saying, “The session will offer information on the federal e-Verify program, I-9 audits, what the law says about new and previous hires, its overall impact, do’s and don’ts and more.” Registration forms can be obtained by clicking here. Future classes are located in Cullman, Tuscaloosa, and Mobile.

Former Legislator Pleads Guilty in Bingo Case
Former State Rep. Terry Spicer (D-Coffee County) reached a deal on charges resulting from the ongoing investigation into bingo corruption and the Alabama statehouse. Rep. Spicer is currently the superintendent of the Elba School System, and will remain in that position unless he officially pleads guilty to a felony charge.

Republican Fundraising Numbers
As the race to become the Republican nominee for president heats up, Alabamians have given more than $570,000.00 to candidates this year. Mitt Romney is leading the field with $228,116 donated to his campaign with Rep. Ron Paul (R-TX) coming in second on the Republican side at $77,457. Herman Cain (R) and Texas Gov. Rick Perry (R) both have raised just north of $25,000, and all other GOP candidates are below $20,000 each.

President Barack Obama is second of all Presidential candidates with $163,999 raised in Alabama.

For questions regarding legislative affairs issues in Alabama, contact LSCU Director, Legislative Affairs Jason Cochran at 866.231.0545, ext. 2159. [ Return to Top ]

This week in Florida politics: Election law won't receive expedited review, gambling bills filed

LSCU Legislative Issues:

This week, the Legislature returns to Tallahassee for another week of interim committee meetings. The Senate Banking and Insurance Committee will not be meeting this week. The House Insurance & Banking Subcommittee will meet Wednesday from 8:30 to 11 a.m., where it will discuss primarily insurance issues. Redistricting and budget will again be the hot topics. The LSCU Governmental Affairs team will continue to meet with legislators to help move credit union priority issues, and they are hopeful that they will have public deposits legislation filed this week. Remaining committee weeks are the weeks of Oct. 31 (this week), Nov. 14, and Dec. 5. The 2012 Legislative Session begins on Jan. 10 and is scheduled to run through March 9.

Grassroots Activity
As the 2012 Legislative Session moves closer, it is becoming increasingly important for grassroots advocates to do their part in helping the credit union movement go forward. Planning Chapter Legislative Nights, in-district meetings with your legislators, emails, letters, or phone calls all make a difference. Once bills are filed in the House and Senate, the League will be calling upon their Grassroots Network to begin contacting legislators. The Governmental Affairs team is here to help you plan all grassroots activities, and any questions should be directed to LSCU Grassroots and Political Action Coordinator Andy Gonzalez at 866.231.0545, ext. 1010.

Florida Political News:

Florida’s Election Law Won’t Receive Expedited Review
A federal court denied, in part, a motion to expedite review of four changes to Florida’s election laws. The state had sought expedited review in order to have the case decided in time for the Jan. 31, 2012 Presidential Preference Primary. The three-judge panel ruled that an expedited timeline proposed by the State would pose an “unacceptable risk” of depriving the federal government and the multiple interveners opposed to the challenges a “full opportunity to conduct discovery,” but ruled that the case should still be resolved in a “prompt but reasonable manner...”

To read the complete Florida Politics Week in Review, click here.

If you have any questions on any of the legislative issues mentioned above contact LSCU Director, Legislative Affairs Jared Ross at 866.231.0545, ext.1012. [ Return to Top ]

News from the Hill: House, Senate floor schedule, CUNA sends letters to legislators

House and Senate Floor Schedule
The House and Senate are in session this week. The Senate returns Monday and will consider judicial nominations. The House returns to consider bills under suspension of the rules on Tuesday and Wednesday. Also Tuesday, the Senate will vote on the first of what could be several “minibus” appropriations bill. The legislation the Senate will consider tomorrow will include Agriculture, Transportation and Housing, Commerce, Justice, and Science appropriations bills. Later in the week, the Senate may take up a minibus appropriations bill that includes the Energy and Water, Financial Services and General Government, and Foreign Operations appropriations bill. On Thursday, the House will consider H.R. 2940, the Access to Capital for Job Creators Act, and H.R. 2930, the Entrepreneurs Access to Capital Act.

Next week, the House will be in recess, but the Senate is expected to remain in session.

CUNA sends letters to legislators
Last week, CUNA sent a couple of important letters to the Hill. Following up on the hearing on Member Business Lending, CUNA sent House Financial Institutions and Consumer Credit Subcommittee Chairman Shelley Capito a letter responding to several questions asked at the hearing. A copy of the letter can be found here. CUNA also filed two letters for the record of hearings that were held last week. The first letter was to House Judiciary Committee Chairman Lamar Smith in support of H.R. 3010, the Regulatory Accountability Act; the second letter was to Chairman Capito opposing the proposed IRS regulation related to Nonresident Alien Deposit Reporting Requirements.

Click here to view the complete News from the Hill Update including the schedule of committee hearings this week.

For questions about the News from the Hill update, contact LSCU SVP, Governmental Affairs Will McCarty at 866.231.0545, ext. 2137.

[ Return to Top ]

Compliance Corner
League InfoSight highlight: NMLS Registration under the SAFE ActóRenewal Period Starts Nov. 1

The current edition of the League InfoSight newsletter covers a requirement under the Secure and Fair Enforcement for Mortgage Licensing Act of 2008 (SAFE Act) for residential mortgage loan originators.

The SAFE Act requires residential mortgage loan originators who are employees of agency-regulated institutions to be registered with the Nationwide Mortgage Licensing System and Registry. The SAFE Act generally prohibits employees of agency-regulated institutions from originating residential mortgage loans unless they register with the registry.

A recent CUNA News Now article reminded credit unions to confirm that previously submitted Nationwide Mortgage Licensing System & Registry (NMLS) information remains accurate and complete, and to update any information that needs to be changed, during the upcoming NMLS Annual Renewal Period. The 2011 renewal period begins on Nov. 1 and ends Dec. 31.

To read more about the SAFE Act requirement, visit the latest edition of League InfoSight.

For more helpful reminders and tips, view the League InfoSight newsletter by clicking here. It is a password-protected area. Member credit unions that do not have a password, may click here to sign up for one. An active email account and a password are required. To log in to InfoSight, enter your email and password in the InfoSight login block (see graphic below) located in the upper right of any of the LSCU web pages.

  [ Return to Top ]

FinCEN proposes e-filing BSA reports

The Financial Crimes Enforcement Network (FinCEN) has issued a proposed rule that would require e-filing of currency transaction reports (CTRs) and suspicious activity reports (SARs). The proposed mandatory e-filing would begin for credit unions on June 30, 2012.  FinCEN surveys indicate that 84 percent of all BSA reports prepared by financial institutions are currently submitted electronically. During the comment periods are when credit unions can illustrate the impact of "regulatory burdens" and your comments can have the biggest impact on proposed legislation. If this change to e-filing will have "more than a minimal impact" on your credit union, let FinCEN know.

Click here for more information on FinCEN's proposal for e-filing.

[ Return to Top ]

Compliance calendar and training

November 2011

    For the complete list of calendar dates and compliance trainings, visit the LSCU Compliance Calendar

    *Note - To view InfoSight content, it is required to log in to www.lscu.coop for access.

    [ Return to Top ]

    Cooperative Initiatives News
    1st Annual SECUF Community Development Workshop proves successful

    Chuck Cockburn with CU Strategic Planning, Inc. addresses attendees at the Community Development Workshop.

    The Southeastern Credit Union Foundation (SECUF) held its 1st Annual Community Development and Low-Income Resources Workshop in Tampa, FL on Oct. 24. Ten credit unions from Alabama and Florida were represented. Attendees learned about the many programs available including how the NCUA Low Income Designation and the Community Development Financial Institution (CDFI) Certification can give credit unions access to the resources needed to deploy more loans, provide financial education to members, and even add staff or purchase an ATM.

    All attendees expressed interest in going through the National Federation of Community Development Credit Union’s analysis of their borrowers’ income date to make a preliminary determination as to whether they qualify for CDFI certification and/or low-income designation.

    Look for similar SECUF workshops in the coming year. If your credit union is interested in learning more, contact SECUF Executive Director Amber R. Tynan at 866.231.0545, ext. 1154.

    [ Return to Top ]

    CRA-qualified Individual Development Accounts Forum

    The FDIC will be presenting an informational forum about Individual Development Accounts (IDAs) and how banks may receive positive consideration under the Community Reinvestment Act (CRA) from financial institution regulators as their investment, lending, and service performance is evaluated.

    When: Wednesday, Nov. 9, 2011
    10 a.m. to 2 p.m. CST

    The forum will be held in the first floor dining room at the:

    Capitol Commerce Center
    100 Capitol Commerce Boulevard
    Montgomery, Alabama 36117

    For more information about the forum or to register, click here.

    [ Return to Top ]

    Education News
    Year end is near, but educational opportunities still abound with LSCU

    The LSCU Development Conference this week in Point Clear, AL is the final conference or workshop of 2011. However, it's not the final educational opportunity for credit unions. The LSCU webinars will run right up until Dec. 20.

    Among the topics for webinars in November and December, Small Business Banking at Your Credit Union, Conducting your 2011 ACH audit, IRA Basics, Identifying Your Problem Loans, Auditing for SAFE Act Compliance, and Legal Issues in Compliance.

    For a complete list of remaining webinars, times, and on-demand information, head to the LSCU Educational Calendar.
    [ Return to Top ]

    Education Calendar

    Upcoming Events:

    Tuesday, November 1-4
    LSCU Development Conference
    Point Clear, AL

    Wednesday, November 2
    Small Business Banking at Your Credit Union
    3 to 4 p.m. EST - Webinar

    Thursday, November 3
    Conducting Your 2011 ACH Audit
    3 to 4 p.m. EST - Webinar

    Click here to view complete calendar of events.

    [ Return to Top ]

    LEVERAGE News
    Mobile device technology key to online lending

    Mark Nelson of CUNA Mutual Group talks to attendees of the California & Nevada League Annual Convention on mobile lending technology.

    The rapid growth of mobile technology presents a myriad of opportunities and some challenges as credit unions attempt to meet their members’ mobile banking expectations, a lending expert told attendees of the California & Nevada Credit Union League Annual Meeting on Thursday.

    Mark Nelson, LOANLINER specialist, CUNA Mutual Group, said Gen Y members aren’t alone in embracing the convenience and benefits of smartphones and other mobile devices. He said a study indicates 25 percent of Americans say they are now doing most of their browsing on their mobile devices instead of their computers.

    “It’s interesting and relevant to credit unions that consumers use their mobile devices as a primary method of accessing the internet,” said Nelson. “Think about it. If that’s their primary method of access to the products and services on your web site, are you ready for that?”

    Nelson cited a CUNA Mutual Lending Strategies and Trends study in 2010 which showed approximately 30 percent of credit unions offered mobile-enabled loan applications and nearly the same amount planned to in the future.

    Click here to read the complete release. [ Return to Top ]

    News from You
    Pen Air FCU provides better option for disgruntled consumers

    Through the week of Nov. 1-5, people who “ditch their bank” and open accounts at Pen Air FCU will enjoy the benefits of free checking, free debit cards, free bill pay, Premier Relationship Rewards, and a free gift (while supplies last).

    Switch It Week coincides with the Nov. 5 Bank Transfer Day, the national grassroots effort that now has more than 63,000 supporters and was spawned by the latest $5 fees at Bank of America. Switch It Week at Pen Air FCU may come as a saving grace to weary, cash-strapped bank customers. Switching from a “big bank” to Pen Air FCU could save new members at least $60 per year in debit card fees alone. [ Return to Top ]

    Tree Capital CU merges with FSU CU

    The merger of Tree Capital Credit Union into Florida State University Credit Union (FSUCU) became official Oct. 1, 2011. This merger, through economies of scale, will allow new opportunities for growth and will enhance the range of branch locations and services available to all members.

    "When two credit unions, in the spirit of cooperation, come together by combining resources, experience, products, and services, the member-owners truly benefit," commented Bradley Blake, president/CEO for FSUCU.

    Tree Capital Credit Union will keep its name but become “a division of Florida State University Credit Union.” The same staff will continue serving members at the same location in Perry, FL. Former Tree Capital President/CEO Kay Green will become a member of the senior management team for the combined credit union. [ Return to Top ]

    Tampa Chapter keeps giving and giving

    LSCU Member Relations Specialist Judy Scott with the Tampa Chapter $17,105 donation to CUPAC.

    The Tampa Chapter of Credit Unions continues to raise money for local charities.The chapter is also doing its part in raising money for CUPAC. At a recent golf outing, the chapter raised more than $17,000 for the state PAC. 

    The chapter has also raised more than $45,000 in 2011. Below is a list of money raised and to where each was donated. 

    • $3,000 each for Children's Voice,  Children's Home, Make a Wish, Metro, the Boys and Girls Club of Hernando Beach and For Every Child Hope Totes
    • $5,000 each for Oasis and Clothes to Kids
    • $7,500 for the Boys and Girls Club
    • $10,000 for All Children's Hospital
    • $17,105 for CUPAC
    [ Return to Top ]

    EMPLOYMENT
    View available credit union jobs

    To view the available jobs on the LSCU homepage, visit the LSCU CU Jobs Center. [ Return to Top ]

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