Credit unions have had two bills introduced in the same day in Washington. Reps. Peter King (R-N.Y.) and Brad Sherman (D-Calif.) reintroduced legislation that would permit the credit unions to accept additional forms of capital. Rep. Bill Posey (R-FL) is one of the bill's original co-sponsors. H.R. 719 recognizes that "capital is king" at financial institutions, and allows well-capitalized credit unions to match a growing deposit base from a growing membership with capital from sources other than retained earnings--currently the only type of capital that counts at a credit union. This would be monitored by the NCUA.
CUNA President/CEO Bill Cheney wrote in a letter to the legislators, "As credit unions emerge from the financial crisis, this legislation would improve the safety and soundness of credit unions by allowing them to develop a supplemental cushion to reduce risk to the National Credit Union Share Insurance Fund." This bill is very similar to H.R. 3993, which was introduced in the 112th Congress and gained 45 cosponsors.