Credit Union Priorities Crowd Congress' Return: Tax Status, NCUA Nominee, CLARITY In Focus
By CU Today Staff —
WASHINGTON— Both America's Credit Unions and the Defense Credit Union Council are forecasting a pivotal week on Capitol Hill as lawmakers return from the July 4 recess, with the credit union trade groups closely watching fallout from the death of Sen. Lindsey Graham, action on the National Defense Authorization Act (NDAA), pending NCUA nominations, the CLARITY Act and a series of high-profile congressional hearings.
"It's going to be a very busy week for advocacy as both the House and Senate return to Washington after the July 4 recess," DCUC Chief Advocacy Officer Jason Stverak said during a Monday media briefing. Stverak said Graham's death has significant implications because, as chairman of the Senate Budget Committee, he was leading work on the next reconciliation package.
With reports indicating Sen. Ron Johnson (R-WI) is likely to assume the committee chairmanship, Stverak said any leadership transition is likely to delay reconciliation efforts. As that process moves forward, he said, DCUC will engage with the committee "to ensure that there is no effort to modify the current credit union tax status."
He added that funeral arrangements for Graham also could affect the Senate's schedule this week and next.
Stverak said the Senate is expected to begin work on its version of the NDAA while the House tries again after failing to advance the bill before the July recess. DCUC is reviewing proposed amendments and plans to raise concerns with senators about provisions affecting credit unions. He also pointed to a full schedule of hearings, including Federal Reserve Chairman Kevin Warsh's first semiannual monetary policy testimony before Congress, the CFPB's semiannual report under Acting Director Russell Vought, a House hearing on fraud, and consideration of CFPB reform legislation. DCUC also plans to continue urging lawmakers to reestablish the CFPB's Credit Union Advisory Council.
On nominations, Stverak said Senate leaders are working to assemble a package of executive nominees that would include NCUA board nominee John Crews, although the timing remains uncertain.
"Our hope is that John Crews will be confirmed before the end of this work period," he said, noting it has been more than a year since NCUA Chairman Kyle Hauptman's term expired. Stverak also said DCUC is monitoring movement on the nomination of a permanent CFPB director and negotiations surrounding the CLARITY Act, which he estimated currently has "50-50" odds of passing the Senate before the August recess.
America's Credit Unions offered a similar outlook, describing the week as one of the busiest of the summer. The organization also cited uncertainty surrounding the Senate schedule following Graham's death and said NDAA negotiations will dominate the legislative agenda.
While the House failed to bring its version of the defense bill to the floor before recess, the Senate is working through hundreds of filed amendments. America's Credit Unions said it has urged Senate leaders to include several credit union-backed amendments and will continue advocating as negotiations continue.
The organization also expects the Senate Banking Committee to vote on Crews' nomination later this month and noted Senate Majority Leader John Thune has identified confirming pending nominees before the August recess as a priority. In addition, America's Credit Unions said lawmakers could consider the CLARITY Act before the August break and that the House is expected to take up an updated version of the Common Cents Act, legislation the group supports as policymakers prepare for the elimination of the penny.
Originally reported by CU Today.