Sen. Brown to Hood: You May Not Understand Meaning of Independent Regulator
During Thursday's Senate Banking Committee hearing, Hood says the NCUA will not meet his self-imposed deadline to issue a proposal on subordinated debt.
Senate Banking Committee ranking Democrat Sherrod Brown of Ohio on Thursday accused NCUA Chairman Rodney Hood of risking the independence of his agency by appearing in photo ops supporting President Trump.
The Senate Banking Committee hearing was intended to be a regular oversight review of financial regulators’ work. During Hood’s testimony, the questioning by Sen. Brown appeared to shift to a more critical look at the optics of Hood’s work as NCUA’s leader.
“I just am not sure you understand what an independent regulator is,” Brown told Hood during a hearing featuring banking regulators.
Hood told Brown, “I am deeply committed, sir, to the NCUA’s independence as a regulator.”
Asked by Brown if that includes independence from the White House, Hood simply repeated his previous comment, but did not address the senator’s White House remark.
Earlier this year, Hood was photographed giving a thumbs-up sign with Trump at the president’s Virginia golf course.
Then, on Oct. 4, the White House posted on its Twitter page a video of Hood praising Trump.
“I’m particularly pleased that this president has done more for African Americans than any other president in my lifetime,” Hood said, in the video.
Brown then sent a letter to Hood, saying, in part, “Politicizing an independent agency like the NCUA threatens our economy and puts working families at risk.”
Hood has not responded to the letter and instead, sent Brown and Banking Chairman Mike Crapo a letter earlier this week outlining his first six months in office and expressing his willingness to meet with the senators.
It did not respond to Brown’s charges that Hood was risking the NCUA’s independence.
During the hearing, Brown said he was not sure if Hood’s letter was meant to be a response or not.
“I hope the lesson you take away…Chairman Hood, is that you are independent from the person who appointed you, the administration that sponsored you, from anybody who might try to influence you,” Brown said.
During the hearing, Hood also said that the NCUA will not meet his self-imposed deadline to issue a proposal on subordinated debt. Hood had said that the agency would propose a policy by the end of the year, but he said that agency officials are “still studying it and trying to make sure we get things right.”