U.S. Senate advances bank executive claw back bill

Published by: Jared Weiser

June 26, 2023 | Government Affairs

The Ohio Credit Union League is closely monitoring recent legislation that could impact credit unions. In response to the recent bank failures, the U.S. Senate Banking, Housing, and Urban Affairs Committee held its first markup since 2019 last week and advanced the Recovering Executive Compensation Obtained from Unaccountable Practices (RECOUP) Act.


This legislation only targets FDIC-insured institutions and would allow regulators to claw back specific compensation from senior executives at failed banks, including profits from selling the bank’s stock. The legislation passed with a bipartisan 21-2 vote, with Ohio Senators Sherrod Brown and JD Vance in support. There was a potential that this legislation would be used as a vehicle for other financial-institution-related initiatives, including a few credit union amendments. Central liquidity facility (CLF) access for smaller credit unions, board meeting modernization, and NCUA third-party vendor authority ultimately were not considered for inclusion in the bill.


The League will continue to advocate for CLF access, board meeting modernization, and tailoring NCUA third-party vendor examination authority to focus on data privacy and cybersecurity risk.

Contact Jared Weiser for questions or assistance.

Jared Weiser
Jared Weiser Director, Legislative Affairs E: jweiser@ohiocul.org
Contact Us

Other Movement News

Government Affairs

Advocacy on track at Churchill Downs

Ohioans and communities are best served when credit unions and regulators work together to cultivate a financial services industry that puts people first. That is why the Ohio Credit Union […]

League advocates for an updated CTR threshold

Constantly increasing regulatory pressures put a strain on a credit union’s resources and ability to focus on what matters most: serving members; thus, the League is always looking for opportunities […]
Member Benefits

Unlocking Strategic Insights with Peer Suite

Data-driven decision-making is paramount for credit unions striving to grow and better serve their members. Recognizing this need, the League offers Peer Suite as a powerful member benefit. This comprehensive […]