Credit unions with more than $10 billion in assets, and thoserapidly approaching that size, may not have to be directlysupervised by the CFPB.

Senators Pat Toomey (R-Pa.) and Joe Donnelly (D-Ind.) introducedthe “Consumer Financial Protection Bureau Examination and ReportingThreshold Act of 2014” on Thursday.

If passed and signed into law, the legislation would increase“the threshold figure at which regulated depository institutionsare subject to direct examination and reporting requirements of theBureau of Consumer Financial Protection, and for other purposes,”according to the text of the bill provided to CU Times bySen. Toomey's office.

The threshold would be raised from the existing $10 billion to$50 billion, which means only the $60 billion Navy Federal CreditUnion would continue to be directly supervised by the CFPB.

“Senator Donnelly thinks it is important to ensure that localbanks and credit unions are not unduly burdened by a regulatorystructure intended to address the bad behavior of the largefinancial institutions at the center of the financial crisis. He looks forward to working with Senator Toomey to build supportfor their bipartisan legislation,” Elizabeth Shappell,communications director for Sen. Donnelly, told CUTimes.

John McKechnie, partner at Washington advocacy firm TotalSpectrum and former NCUA official, said there is a realopening to push the bill in the waning days of the 113^thCongress.

“This is practical, achievable regulatory relief—there'sbi-partisan support, and CFPB Director Cordray indicated at ahearing that he didn't have a problem with raising thethreshold. Credit unions of all sizes can and should getbehind this effort,” McKechnie said.