Kenneth Kies, Treasury tax policy nominee, is confirmed by Senate

The Senate Thursday voted to confirm Kenneth Kies as Treasury assistant secretary for tax policy. 

During testimony before the Senate Finance Committee in late April, Sen. Ron Wyden, D-Ore., asked Kies directly on his past opposition to credit unions’ tax status, to which he responded: 

“If confirmed, I would focus on promoting a strong financial services sector and a level playing field, while ensuring our tax policy supports access to affordable banking without distorting competition.”
 
America’s Credit Unions submitted a letter to the Senate Finance Committee in response to Kies’ refusal to walk back previous opposition to the credit union tax status. 

In the letter, President/CEO Jim Nussle reiterated the need for the tax status and its impact on credit union operations: 

“We believe it is important that key policymakers, like those confirmed to work at the Department of Treasury, also understand that credit unions are not unfairly competing with banks but rather filling a need to serve those banks have left behind in the search for greater profits,” Nussle wrote. “It is a duty credit unions take seriously and do with pride.” 

Research conducted by America’s Credit Unions and a recent survey from J.D. Power both highlights the unique focus and impact of credit unions on Main Street. 

“When banks hold over 91% of assets, and have since the existence of credit unions, it is impossible to claim that credit unions provide any real competition to banks. Credit unions are integral to strong local economies—their not-for-profit status is proven to make financial services more affordable for all,” said Nussle. 

“A recent survey from J.D. Power shows consumers trust credit unions, including large credit unions, more than banks,” Nussle said. “Revitalizing communities is a priority for the Trump Administration, and preserving credit unions’ tax status is smart policy to accomplish this goal. It's important to note that Kenneth Kies did not specifically call out credit unions in his responses to the Senate Finance Committee related to tax policy ensuring a level playing field, and we continue to engage with nominated officials to ensure they have the facts about the credit union difference.” 

America’s Credit Unions’ ongoing advocacy outreach helps ensure policymakers understand the credit union difference and how credit unions fill a financial need for the Americans who have been left behind by banks.