House passes omnibus bill w/ CU priorities addressed

The House passed the omnibus spending package Wednesday containing CUNA/League-supported member governance updates and other items of interest for credit unions. Funding for the federal government is scheduled to expire March 11.

The bill funds the federal government and the National Flood Insurance Program through Sept. 30.

The legislation contains the text of the Credit Union Governance Modernization Act, which would allow credit unions to better promote branch safety. Reps. Tom Emmer, R-Minn., and Ed Perlmutter, D-Colo., sponsored the bill. 

“We can all agree that Americans should have access to safe and reliable financial services. Federal credit unions must have a streamlined process for removing dangerous members from the credit union. Up until now, we have failed in providing this because the current law is outdated and ineffective," Emmer said. "My bill, the Credit Union Governance Modernization Act, will keep credit union members and employees safe by creating a framework for federal credit unions to swiftly remove a member for cause. We must prioritize a financial system that keeps Americans safe. I am proud to see this bill pass the House.”

The House also passed a short-term Continuing Resolution to fund the government through March 15, giving the Senate time to vote on the omnibus package.

In addition to the Credit Union Governance Modernization Act, the omnibus contains:

• $295 million for the Treasury’s Community Development Financial Institutions (CDFI) Fund, $25 million more than the FY21 level.
• $1.545 million for NCUA’s Community Development Revolving Loan Fund.
• $18.5 million for the U.S Agency for International Development’s Cooperative Development Program.

• Legislation providing replacement interest rates for loans, securities, and other instruments relying on LIBOR.
• Legislation requiring a wide range of companies responsible for U.S. critical infrastructure, including depository institutions, to report cybersecurity incidents to the government to the Cybersecurity and Infrastructure Security Agency.
• Report language supporting NCUA’s policy of prioritizing access to CDRLF grants by minority depository institutions and credit unions with less than $100 million in assets. The committee expects that NCUA shall ensure that grant writers shall be an eligible expense for technical assistance grants to small credit unions provided under the CDRLF Program.
• Report language encouraging NCUA to identify census tracts with large shares of unbanked individuals and explore strategies for increasing access to credit unions in these communities.