WASHINGTON –U.S. Senator John Boozman (R-AR) is calling on continued access to credit for agricultural producers.
In a letter sent this week to the National Credit Union Administration (NCUA) Chairman Todd Harper, Boozman and his colleagues questioned language included in the NCUA’s Draft Strategic Plan that could lead to regulatory discrimination against credit unions that lend to farmers, ranchers and agricultural businesses in the name of addressing “climate-related financial risks.”
Boozman, ranking member of the U.S. Senate Committee on Agriculture, Nutrition, and Forestry joined this effort led by Senator John Hoeven (R-ND) because regulators should be working to ensure that credit-worthy businesses receive banking services they need rather than abusing financial regulation to further certain environmental and social policies.
“American farmers, ranchers and producers across the country work tirelessly to grow the highest quality, lowest cost food supply in the world,” the members wrote. “We are concerned that recent actions and statements by the NCUA could lead to the establishment of a regulatory environment that threatens the ability of farmers, ranchers, agri-businesses and rural communities to access credit… Placing increased regulations on those that serve the agricultural industry will threaten to restrict access to credit in rural communities, which could have serious consequences for an industry that is already facing high inflation and increased input costs.”
“NCUA’s commitment to transparency and the opportunity for comment is appreciated. We continue to push for regulatory relief instead of increased regulatory burdens. Arkansas credit unions strive to support their fields of membership, including those in rural communities and the agricultural industry,” said Vicky Salkeld Dahinden, Executive Director of the Arkansas Credit Union Association.
Click here to read the letter.