WASHINGTON—The Senate has released its version of the budget reconciliation bill and credit unions are not mentioned.
The Senate text marks one of the final steps in the tax fight, as the House previously passed its version of the bill without addressing the credit union tax exemption.
What remains is having the Senate and the House versions reconciled, and then a final bill sent to President Trump’s desk for his signature.
But what remains to be concerned about, both America’s Credit Unions and the Defense Credit Union Council have consistently shared, are the early morning/late night discussions where lawmakers need to find some additional money and strike deals that CU lobbyists cannot effectively fight.
“Since the House reconciliation was passed last month, all indications from involved Senate staff have been positive,” said Washington credit union advocate John McKechnie. “Several aides have even commented that they haven’t even heard credit unions mentioned once during the Senate drafting process. So, credit union efforts to stay out of the conversation appear to have worked. It should be noted that the credit union industry has made their case for a continued exemption not just during the Capitol Hill drama that unfolded over the last few months, but every day. They demonstrate the value credit unions provide to consumers, and Congress has clearly seen that—the proof is in the pudding.”
The Defense Credit Union Council said it is encouraged to see that the Senate version of the reconciliation bill contains no language altering the longstanding federal tax status of credit unions.
“This is a positive development for the credit union movement and the millions of members our industry serves, the trade group said.
"We are thankful that the Senate has recognized the value credit unions provide to their communities by preserving our tax-exempt status," said Anthony Hernandez, DCUC president/CEO. "We will remain vigilant and continue monitoring the legislative process closely to ensure the credit union mission and impact is supported on behalf of America's communities across the nation and overseas."
America's Credit Unions thanked Senate Majority Leader John Thune and Senate Finance Committee Chairman Mike Crapo for understanding the credit union difference and protecting the credit union tax status in H.R. 1.
"Credit unions have tremendous impact on Main Streets across the country and work every day to strengthen our communities and people's lives. We appreciate the Senate Finance Committee’s support and will continue to keep the momentum until the bill is sent to the President’s desk," said Jim Nussle, America’s Credit Unions president/CEO.
Click here for the bill.