WASHINGTON – Representatives Patrick McHenry (R-N.C.), notorious among credit unions for his positions on conversions, and Debbie Wasserman Schultz have introduced a bill to balance the treatment of credit unions and banks in the netting of financial market contracts.

The Financial Netting Improvements Act of 2006 (H.R. 5585), which makes technical corrections to the netting provisions in the bankruptcy reform law, was marked up by the full House Financial Services Committee, passed out by voice vote, and referred to the Judiciary Committee. The technical corrections approved by the Senate only applied to FDIC-insured institutions, but were not applied to the NCUSIF-insured credit unions. NAFCU President and CEO Fred Becker said in a letter to the two lawmakers that the group believed it to be "an unintentional oversight."