WASHINGTON–The 2021 National Defense Authorization Act (NDAA) has emerged from conference committee in Congress absent language that was strongly opposed by credit unions and which would have granted banks lease access to military bases on par with CUs.
The credit union trade associations, including the Defense Credit Union Council (DCUC), have long lobbied against the language, not just this year but in prior versions of the NDAA, as well. The House version of the legislation did not include the bank-lease language; the Senate version did. The provision was dropped in the conference committee that hammered out the differences between the two bills.
“We are very pleased with this development. Credit unions work very hard to provide exceptional products and services to our military,” said DCUC President and CEO Anthony Hernandez. “We do so without looking to maximize shareholder profit because it is the right thing to do. DCUC thanks the joint efforts of CUNA, NAFCU and many league partners in working to defeat this measure. I love seeing our community work together in helping our member credit unions serve our military.”
CUNA applauded the bill’s final language.
“CUNA and the leagues worked collaboratively to remind lawmakers that the financial wellness of our servicemembers is more important than bankers’ profits, resulting in the final bill unveiled by the conference committee today,” said CUNA President Jim Nussle. “Credit unions have a long legacy of service to the military and its military families, which is why they were granted the opportunity for such arrangements in a 2006 amendment to the Federal Credit Union Act.”
NAFCU Reaction
NAFCU President and CEO Dan Berger said the credit union industry consistently demonstrates its commitment to doing what's best for their members and prioritizes people over profits.
"We thank lawmakers on the NDAA conference committee for recognizing the key differences between credit unions and banks and removing the bank-sought provision that would have treated banks the same as not-for-profit credit unions,” Berger said. “We also applaud the committee for including critical BSA/AML reforms, especially House Financial Services Committee Chairwoman Maxine Waters (D-CA) and Representative Carolyn Maloney (D-NY) for their work to secure the provision. This year's NDAA will strengthen protections for our nation's financial system and servicemembers."
As CUToday.info reported here, President Trump has threatened to veto the bill. Congressional Republicans have indicated they have the support to override a veto.