Tax advocacy strategy shifts to Senate

Credit union leaders looked ahead to needed tax advocacy efforts in the Senate as part of a webinar discussion Wednesday. With the credit union tax status secured by staying out of the House-passed reconciliation bill, America’s Credit Unions President/CEO Jim Nussle told members to shift their efforts to the Senate as it prepared to take up their version of H.R. 1, The One Big Beautiful Bill Act.  

“I’ve heard so many great stories about efforts that have been put into this since we’ve launched our strategy at the beginning of the year, and during GAC, and even in the run-up to the work done by the Ways and Means Committee. Everybody did something, and a few went above and beyond the call of duty into some amazing areas. So I want to start with a thank you,” Nussle said. “We accomplished the key to our ‘stay out strategy,’ but we’ve got more work to do as we go over to the Senate.”

The Senate comes back to Washington, D.C., next week. It could start over with a completely new bill, take components of the House-passed version, or look to move the House bill through the Senate with minimal changes, Nussle said. With both President Donald Trump and Senate Majority Leader John Thune, R-S.D., indicating they want the bill through the Senate by July 4,  the U.S. expected to hit the debt ceiling in mid-August, and a conference committee needed to iron out any differences between House and Senate versions, the bill could be on the president’s desk anytime between July 4 and the August recess. 

“There’s no question that staying out of the House version was the biggest battle if we were going to have any chance of success. But there are still some perilous moments that may raise their head either in the Senate, or when the Senate and House come together to work out the differences, that’s why your continued engagement is so important,” Nussle said. 

Patrick Conway, CrossState Credit Union Association president/CEO and American Association of Credit Union Leagues board chair, encouraged leagues and credit unions to start engaging with senators now while they’re back home for recess. 

“Leagues across the country, with their credit union leaders, are really focused now on the Senate side. Our message to the House has been ‘thank you,” and on the Senate side, we need to address the growing misconception that credit unions operate just like banks, and ought to be taxed like banks. It’s just not true,” he said. “Talking about the credit union difference on the Senate side is our key focus at the league level.”
Conway added that the grassroots coordination at the national, state, and district levels is “the envy of every industry trade group across the country,” giving the movement a unique advocacy strength. 

America’s Credit Unions Chief Advocacy Officer Carrie Hunt provided additional details on the organization’s advocacy strategy outside of the tax fight, which includes fighting “poison pill” amendments as the Senate considers the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act (S. 1582). 

An amendment offered by Sen. Roger Marshall, R-Kan., would mandate the use of third-party credit card payment networks (using language from his Big Box Bailout bill from last Congress). Sen. Josh Hawley, R-Mo., offered an amendment that would cap credit card interest rates at 10%. 

“Relative to all these amendments, we’re still in the period where they can be filed, we’ll have a clearer picture next week of the totality of amendments,” Hunt said. “We certainly think it is helpful for members of the Senate to hear from credit unions, we have to express our opposition to amendments we don’t like and have designed our grassroots for different messages when needed.”

America's Credit Union efforts are also underway to advance regulatory relief legislation, including several bills advanced by the House Financial Services Committee, while remaining engaged with regulators like the NCUA and CFPB as they undergo transitions.