House appropriators released Financial Services and General Government (FSGG) and State, Foreign Operations, and Related Programs (SFOPS) legislation for FY25 Tuesday with several items of interest for credit unions.
Financial Services and General Government
The FSGG bill has $276 million for the Treasury’s Community Development Financial Institutions (CDFI) Fund ($49 million less than President Joe Biden’s budget request); $3.42 million for the NCUA’s Community Development Revolving Loan Fund (CDRLF) ($0.58 million less than Biden’s request); and $170 million for the Financial Crimes Enforcement Network ($46 million less than Biden’s request.
America’s Credit Unions President/CEO Jim Nussle wrote to the House FSGG subcommittee prior to its markup of the bill and called for $500 million for the CDFI Fund and $6 million for the CDRLF in FY25.
Nussle also noted support for the CDFI Transparency Act (H.R. 3161), which would require Congressional testimony on the CDFI Fund and the Rural Credit Access Act (H.R. 7338), which would increase transparency and accountability at the fund.
H.R. 3161 passed the House Financial Services Committee via voice vote last month, and Nussle added “appropriations legislation would be an ideal vehicle to enact this important bill into law.” Rep. Zach Nunn, R-Iowa, introduced H.R. 7338 at Veridian Credit Union in Des Moines in February.
He also shared support for both bills in a letter to the Senate FSGG subcommittee for its hearing on the Treasury’s FY25 budget, as well as highlighted certain issues CDFI credit unions have had with the fund.
The House FSGG subcommittee will begin its markup Wednesday. The bill also includes report language addressing several America’s Credit Unions-support priorities, including:
- Prohibiting Small Business Administration from expanding its direct lending program; and
- Replacing the CFPB Director with a bipartisan, five-person commission;
- Prohibiting funds from CFPB’s rulemaking capping credit card late fees; and
- Prohibiting funds to be used to establish, design, or implement a U.S. Central Bank Digital Currency.
State, Foreign Operations, and Related Programs
The SFOPS bill allocates $18.5 million for the U.S. Agency for International Development’s Cooperative Development Program (CDP), the same enacted amount as the last several fiscal years.
America’s Credit Unions requested $50 million for the CDP in a letter sent to the SFOPS subcommittee prior to its markup.
“The CDP is a global initiative that focuses on building capacity of cooperative businesses and cooperative systems for self-reliance, local ownership, and sustainability,” Nussle wrote. “Speaking more broadly to the CDP program, with their specialized expertise, CDP’s implementing partners have advanced cooperative businesses and systems in more than 18 countries … Activities are targeted to strengthen cooperative businesses in several ways including improved governance, capitalization, gender empowerment, youth engagement, financial management, market performance, and advocacy.
The SFOPS subcommittee approved its bill Tuesday.
