ARLINGTON, Va.–The ongoing effects of the coronavirus combined with the presidential and congressional elections growing ever closer makes it increasingly likely the passage of any CU priorities in Congress will have to come as amendments to other legislation, according to one person with NAFCU.
Carrie Hunt, EVP and general counsel with the trade group, said it’s “best now” to have the various pieces of legislation credit unions have been backing in this session of Congress attached to other bills that must pass, such as budget bills.
“Of course, all of our issues and those of credit unions are economic issues,” pointed out Hunt, and legislation tied to economic issues also have the highest priority in Congress. “If those pass they have the potential to be helpful our members, so it’s a great opportunity for credit unions.”
One piece of legislation that had been considered a sure thing during Congress’ August session had been the so-called phase IV stimulus package, but the House and Senate were unable to reconcile different versions of such a relief and stimulus package, and Congress went into recess without any agreement.
A ‘Slow Roll’
“There is still support for a phase IV package. But the negotiations are slow and it’s going to be a slow roll,” said Hunt, before further noting, “There is not going to be tons of discussion related to financial services coming out of (this week’s) Democratic convention.”
The Democratic convention will be the formal introduction of vice presidential candidate Sen. Kamala Harris (D-CA), who has joined presidential candidate Joe Biden on the ticket.
“There are a huge number of California members,” said Hunt. “We appreciate what she has done for credit unions in California and we will be interested to see and hear her.”
Other Points
Other points touched on by Hunt:
- Regarding the announcement by Fannie Mae and Freddie Mac of a new “adverse-market refinance fee” of 0.5% on the mortgages they buy, which NAFCU joined with other groups in a letter that raised strong objections, Hunt said the objective was to let Congress and the White House know immediately of the objections with a goal of at the very least delaying the fee. “Obviously, we support the FHFA’s goal of getting Fannie and Freddie out of conservatorship and we support the ability to build capital, but now is not the right time,” said Hunt.
- On minority owned depository institutions (MDIs), which NCUA Chairman Hood addressed on several occasions last week, including calling for an NCUA-sponsored event in support of MDIs, Hunt said: “We support MDIs as we support all credit unions. Credit unions were created to provide provident credit, and all segments of credit unions needs to grow. MDIs are one part of the bigger puzzle.”