Advocating for Credit Unions at Nevada GRR

Nevada GRR

The Nevada State Legislature started its biennial session Monday with a host of big issues on the agenda. The session begins with both houses being controlled by a majority of Democrats and a freshman class of 13 newly-elected legislators and three recent appointees.

To begin the 120-day session on the right foot for credit unions, the Nevada Credit Union League will hold its annual Government Relations Rally (GRR) on Tuesday, Feb. 12.

“This event provides a great opportunity to represent Nevada’s credit unions, educate the new freshman class of legislators, and lobby legislation that will impact credit unions,” said Robert Wilson, vice president of state government affairs for the California and Nevada Credit Union Leagues.

One of the topics of discussion will be a Nevada League-sponsored state Assembly bill that would repeal NRS 658.210 to allow Nevada privately insured credit unions to bypass the state requirement for mortgage loan originators (MLOs) and instead register through the National Credit Union Administration (NCUA).

Under the legislation, Nevada Department of Business & Industry—Financial Institutions Commissioner George Burns would enter into a Memorandum of Understanding (MOU) with the NCUA because the federal agency does not regulate privately insured credit unions.

Currently, the Secure and Fair Enforcement for Mortgage Licensing Act of 2008 (SAFE Act) mandates a nationwide licensing and registration system for MLOs: the Nationwide Mortgage Licensing System and Registry (NMLSR). The SAFE Act specifically prohibits an individual employed by a depository institution from engaging in residential mortgage loan origination without first registering as an MLO and obtaining a unique identifier.

When the SAFE Act was passed an exception was given to financial institutions regulated by a federal agency, such as the NCUA or FDIC. Mortgage originators at these federally regulated/insured institutions could meet SAFE Act registration requirements through the federal regulator. Initially, the NCUA did not entertain allowing privately insured credit unions to register through the NCUA because they were not federally regulated/insured by the NCUA and, in response, Nevada passed NRS 658.210 to allow these credit unions to meet the SAFE Act registration requirements.

On August 23, 2010, NCUA’s Final Rule 75 FR 162 discussed the requirements for privately insured credit unions, saying they may use the NMLSR only if their state supervisory authority enters into an MOU with the NCUA so the federal agency can have oversight of this function. NCUA currently has MOUs with seven other states with privately insured credit unions: Alabama, California, Idaho, Illinois, Indiana, Ohio, and Texas as well as Puerto Rico. Nevada and Maryland are the only states with privately insured credit unions that do not have an MOU with the NCUA.

The regulatory authority for the SAFE Act has since been transferred to the Consumer Financial Protection Bureau. However, the Bureau’s Regulation G still contains the NCUA SAFE Act Rule provision requiring an MOU with the state supervisory authority.

Nevada GRR at a Glance

Location: The Carson Nugget, 507 N. Carson St., Carson City, NV 89701

Date: Tuesday, Feb. 12, 2019


7:45-8:30 a.m.—Registration

8:30-9:30 a.m.—Legislative briefing

10 a.m. -5:00 p.m.—Visits with Nevada State Legislature

5:30 - 7:30 p.m.—Legislative reception

Recommended hotel: Courtyard Carson City (3870 S. Carson St, Carson City, NV 89701; phone: 1-775-887-9900)

Prior to GRR, all attendees will be sent briefing materials to help prepare for legislative meetings, as well as the meeting schedule for legislative appointments. If you have any questions, please contact Robert Wilson at (916) 325-1366, or

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