NACHA Government Relations Update - June 9, 2016

Posted June 6, 2016

NACHA Files Response to OCC’s Whitepaper on Responsible Innovation
On May 31, 2016, NACHA filed a response to the Request for Comment on the OCC whitepaper: "Supporting Responsible Innovation in the Federal Banking System: An OCC Perspective." NACHA supported the OCC’s efforts and provided guidance on six of the nine questions posed by the OCC. Industry comments can be found at <http://occ.gov/topics/bank-operations/innovation/innovation-comments.html>.
 

NACHA Capitol Hill Day 2016
On June 8, 2016, NACHA’s Government Relations Advisory Group (GRAG) held its annual Capitol Hill Day which included a full day of meetings, a breakfast meeting at The Capitol Hill Club and an end-of-day reception on Capitol Hill. The purpose of the visit was designed to facilitate GRAG Members’ continued outreach with targeted Members and Congressional staffers in addition to education on the ACH Network, the value of private-sector rulemaking, and NACHA’s role in governing the Network. The visits also remind staffers that NACHA as well as our Direct FI and RPA Members can serve as expert resources for payments-related topics. The timing of the visit coincided with discussions on faster payments and how the ACH is moving payments faster for end users. Other meeting topics included, but were not limited to, ACH Network quality and enforcement as well as data security.

 
HFS Chairman Hensarling Reveals Outline of Dodd-Frank Act Replacement Proposal
On June 7, 2016, House Financial Services Chairman Jeb Hensarling (R-TX) shared the Republican party’s Executive Summary of their proposal to replace the Dodd-Frank Act during a speech at the Economic Club of New York. The Financial CHOICE Act (Creating Hope and Opportunity for Investors, Consumers and Entrepreneurs) will be divided into seven sections:
 

  • Section 1 – Provide an “off ramp” from Dodd-Frank and Basel III for financial institutions that hold high levels of capital
  • Section 2 – Repeal FSOC authority to designate SIFIs; Repeal Title II and replace it with a new chapter of the Bankruptcy Code
  • Section 3 – Make the CFPB a commission and subject it to appropriations
  • Section 4 – Make agencies subject to REINS Act and subject financial regulators to appropriations
  • Section 5 – Enhanced penalties for financial fraud and transparency measures in civil enforcement process
  • Section 6 – Repeal Sanctions and titles of Dodd-Frank, including the Volcker Rule, that limit capital formation; Also aims to promote capital formation by including provisions that have either passed the Committee of House
  • Section 7 – Regulatory relief for community financial institutions  

The proposed legislation is expected to be introduced by the end of the month. Before introducing the legislation on the House Floor, House Financial Services staff is meeting with the industry to fully vet Chairman Hensarling's bill.

Resource:
HFS Press Release Re: Financial CHOICE Act Outline

 
Legislative Tool Kit
House 2016 Calendar (also in bottom right hand bar)
Senate 2016 Calendar (also in bottom right hand bar)​​

 

Access: Public