Some Financial Bills Important to CUs Still Hanging

WASHINGTON – Three pieces of financial legislation important to credit unions will likely be rolled into an omnibus spending bill as the Congress tries to wind down its business for the year. Legislation appropriating funds for the Community Development Financial Institutions (CDFI) Fund, the Central Liquidity Facility (CLF), and the Community Development Revolving Loan Fund (CDRLF) are all still awaiting final negotiations and approval. The Senate leadership has stated that that a workable time agreement on the measures could not be reached. Congress hopes to finish for the year by Nov. 21, but the session may take longer to wrap up. The House approved its version of the appropriations language in late July. The House plan differs somewhat from the Senate Appropriations Committee approved and what credit unions have sought. Although supporters, including credit unions, requested $80 million for the CDFI Fund, the Senate legislation appropriated $70 million. The House legislation mirrors President Bush’s request of $51 million. Both the industry and NCUA requested that the CDRLF be funded at $2 million. The Senate would fund the program at $1.5 million; whereas, the House bill provides for $1 million. Both the House and Senate measures fund the CLF at $1 billion, which is what credit unions have supported.