The major Senate and House sponsors of legislation to raise thecap on member business lending are scheduled to appear at CUNA'sGovernmental Affairs Conference.

Sen. Mark Udall (D-Colo.), Rep. Ed Royce (R-Calif.) and Rep.Carolyn McCarthy (D-N.Y.) will discuss their legislation and otherissues of importance to credit unions at the March 18-22 conferencein Washington, D.C.

The legislation, which would raise the cap from 12.25% of assetsto 27.5% of assets, has 111 cosponsors in the 435-member House and21 cosponsors in the 100-member Senate.

There have been hearings on the legislation in both chambers and while somemembers expressed support, others said they weren't convinced thatthere was unmet demand for business loans. NCUA Chairman DebbieMatz endorsed the legislation at both hearings.

Both measures require that credit unions must bewell-capitalized, be at or above 80% of the current cap, have fiveor more years of member business lending experience and be able todemonstrate sound underwriting and servicing.

If a credit union's net worth ratio falls below thewell-capitalized requirement (currently 7%), it would have to stopmaking new business loans.

Other speakers at the GACinclude Rep. Barney Frank (D-Mass.), the top Democrat on the HouseFinancial Services Committee, former Secretary of State CondoleezzaRice and journalists Bob Woodward and Carl Bernstein.

Registration and hotel information about the conference isavailable online.