WASHINGTON— Congress returned Monday from a two-week recess facing a jammed legislative calendar that includes efforts to address the partial shutdown affecting parts of the Department of Homeland Security, scrutiny of the White House’s FY2027 budget request and the possibility that those debates could quickly spill into a broader reconciliation fight that again puts the credit union tax exemption in the spotlight.
Both the Defense Credit Union Council and America’s Credit Unions said the week’s agenda is likely to be dominated by DHS funding, budget hearings and early maneuvering around a potential reconciliation package, with both groups signaling they are already pressing lawmakers to protect credit union priorities as Congress races toward Memorial Day and beyond.
DCUC said lawmakers are returning to “a crowded agenda and competing priorities,” with floor time also likely to be consumed by debate over reauthorization of the Foreign Intelligence Surveillance Act and possible disciplinary matters involving House members, all of which could further squeeze time for financial services legislation. At the same time, DCUC said the Senate is moving quickly on a budget reconciliation package centered on DHS funding, including for ICE and Customs and Border Protection, while some parts of DHS remain under funding strain—an issue with direct relevance for defense credit unions serving affected federal employees and military-connected households.
DCUC said it expects broader reconciliation efforts tied to the Administration’s budget and tax policy to drive larger policy debates in the weeks ahead, and said it continues to engage lawmakers to reinforce the importance of preserving the credit union tax status. The group added that lawmakers are also trying to move several priorities before Memorial Day, including digital asset market structure legislation and housing finance reform, where DCUC is pressing for Central Liquidity Facility enhancements, board modernization and expanded member business lending authority for veterans.
America’s Credit Unions similarly said Congress is returning to focus on the partial government shutdown, DHS funding and the Administration’s FY2027 budget request, with lawmakers set to review the budget in a House hearing Wednesday and in the Senate Thursday. ACU said it will be on Capitol Hill this week advocating for “positive credit union proposals” and opposing cuts that would harm credit unions and the 146 million members they serve nationwide.
ACU also warned the week’s work could quickly lead to action on a budget resolution and renewed attention on a reconciliation bill, saying it remains “vigilant” and is coordinating with member credit unions, leagues and other industry advocates on strategy as Washington’s fiscal debates intensify.