WASHINGTON–Credit union representatives on Capitol Hill continue to review the text of the just-passed infrastructure bill in Congress, while keeping an even closer eye on the larger reconciliation bill that is supposed to follow in its wake.
The infrastructure bill represents approximately $1 trillion and at this point it appears it will primarily affect credit unions indirectly, such as through benefits for various member constituency and by improving online access for some members to their credit unions.
“There hasn’t been anything that particularly jumps out,” said NAFCU VP-Legislative Affairs Brad Thaler. “We are still reviewing the text. But the infrastructure deal has been baking for a while. The biggest effects for credit unions will be in the reconciliation bill.”
The latter, a far larger spending package, may or may not include provisions credit unions have been carefully monitoring, some of which are considered threats, others of which have CU support. For example, the reconciliation could include the CU-backed SAFE Act, or similar language, which would remove federal prohibitions around serving cannabis companies.
The House has set consideration for the larger spending bill for next week, after which it will need to go to the Senate, which will make its own changes, before sending it back to the House for a vote.
“The speculation is the time frame is end of year” for the reconciliation bill, said Thaler.
Some Help for Rural Members
Thaler said NAFCU’s member credit unions haven’t offered much input when it comes to the infrastructure bill. He noted some of its provisions will certainly help sectors served by certain credit unions, and the billions of dollars in proposed spending to upgrade broadband access could help credit unions with membership in rural areas.
As for the much-criticized IRS reporting proposal, which would have required credit unions to track account inflows/outflows and then report that data to the government, Thaler said it appears the language that the White House said is dead will not be resurrected.
“We think we’re in good shape, but it’s not over until it’s over,” said Thaler. “Treasury continues to look for ways to increase IRS enforcement and the government is looking for ways to close the tax gap. What was proposed in terms of IRS reporting was unpopular with the public and with a large bipartisan group of congressional members. But we know Treasury still trying to find ways to increase revenues. We will be vigilant until the end.”