WASHINGTON--Several credit union priorities are addressed in the newly released FY26 Financial Services and General Government (FSGG) draft tax bill. Senate appropriators released the draft text this week, America's Credit Unions reported.
The Treasury’s Community Development Financial Institutions (CDFI) Fund would receive $324 million with the draft bill, the same amount appropriated in FY25. The CDFI Fund awards grants to assist affordable housing, homeownership, small business growth, and more through certified CDFIs. Credit unions make up the largest group of certified CDFIs with 444 of 1,375 as of Oct. 25.
America’s Credit Unions, leagues, Inclusiv and the Defense Credit Union Council backed efforts to restore CDFI staff members who were laid off during the government shutdown and were then rehired after the shutdown ended.
The Senate’s draft bill also includes $3.272 million for the NCUA’s Community Development Revolving Loan Fund (CDRLF), a slight decrease from the FY25 level of $3.465 million, ACU noted.
The CDRLF funds technical assistance grants for credit unions in several categories (applications for FY25 awards are due Dec. 16).
The Administration’s budget proposal zeroed out both funds, but the House FY226 FSGG bill contains $276.6 million for the CDFI Fund and $3.4 million for the CDRLF in FY26. That bill has already passed the House Appropriations Committee, ACU added.