RBFCU REPRESENTS SMALL BUSINESS INTERESTS IN WASHINGTON
|Sekula testifies regarding legislative impact to small businesses|
LIVE OAK, Texas – Texas recently provided a voice of reason and support for small business as part of the ongoing financial reform debate. Mark Sekula, executive vice president and chief lending officer for Randolph-Brooks Federal Credit Union, was invited to testify before the House Small Business Subcommittee on Economic Growth, Tax and Capital Access.
Sekula's role in the briefing was to inform Congress on the potential for harm to Texans and to the financial industry from impending legislation in the Dodd-Frank Act. In particular, Sekula provided valuable insight into the critical role credit unions play in addressing the financial needs of small business in today's challenging economic environment. While much of the financial reform legislation enacted is aimed at curtailing harm and reining in power from the "too big to fail" financial institutions, Sekula highlighted several portions of the Dodd-Frank Act that could be harmful to credit unions and their small business members, including data collection systems, price controls on debit interchange, small business lending and the Consumer Financial Protection Bureau.
"By sending well-informed leaders from our credit union to meet with Congress, we are able to provide firsthand knowledge of the potential harmful effects of legislation and to offer guidance on how to best serve Texans," said RBFCU President and CEO, Randy M. Smith.
Sekula noted legislation supported by credit unions, including:
- H.R. 1315, to modify the threshold needed for the Financial Stability Oversight Council to veto a proposed CFPB rule.
- H.R. 1121, to create a five-person commission to govern the CFPB.
- H.R. 1667 to delay the CPFB transfer date until a confirmed director is in place.
He also pointed to a regulatory divide in Washington that must be bridged if small business lending is to flourish. "The NCUA's changes to the Regulatory Flexibility program and the Small Business Administration's directive to tighten lending standards are symptomatic of a much larger issue that Congress must address if it is serious about encouraging lending," he stated. "Currently, there is a divide between Congress, the administration and other policy makers that wish to spur lending and the functional regulators that oversee financial institutions. Any congressional goal to promote lending will never be successful when the functional regulators are not on the same page."
Sekula's responsibilities as Executive Vice President and Chief Lending Officer include management of the business services program, which has been honored nationally by the SBA as the 2009 7(a) Small Lender of the Year.
About Randolph-Brooks Federal Credit Union
Established in 1952, Randolph-Brooks Federal Credit Union is a full-service financial institution whose mission is to improve members' economic well-being and quality of life. With assets exceeding $4.3 billion, RBFCU serves more than 350,000 members from 38 branch locations throughout Texas.