WASHINGTON—Congress has until Sept. 30 to pass the National Defense Authorization Act (NDAA) for fiscal year 2020 and both credit union associations are now back on the Hill lobbying to have language eliminated that would give banks equal access to military bases as credit unions.
As CUToday.info has reported, the House and Senate have passed different versions of the legislation that is now in conference committee to hammer out differences. The biggest difference between the two bills for credit unions is the Senate version includes Section 2821, which would expand the exemption that allows for the waiving of certain fees and land lease costs for credit unions on military installations. The exemption would be expanded to include other financial institutions that meet the same criteria.
The House passed the bill without the language.
Both CUNA and NAFCU have expressed strong opposition to the language.
CUNA and numerous state leagues, for instance, wrote to House and Senate Armed Services Committee leaders in early August urging its members of the conference committee to reject the inclusion of Section 2821.
That letter argued credit unions’ not-for-profit financial cooperatives means “credit unions on military bases are focused on ensuring the financial readiness of America’s service members. The credit union mission and structure mean funds are reinvested in the bases and the military communities that they operate in through lower rates, better products and more responsive services for our servicemembers.”
NAFCU has made similar arguments, as has the Defense Credit Union Council.