BREA, Calif. – American First Credit Union became the first California credit union to participate in a league program that will allow employees to deduct federal PAC contributions from their paychecks. The La Habra-based American First introduced its "Credit Unions Fight Back" program on Monday, Feb. 20 during its annual off-site employee conference, held in nearby Brea. The credit union brought in some big guns to create excitement for league advocacy contributions: U.S. Representative Ed Royce (R-Fullerton) and California Credit Union League President David Chatfield were featured speakers. Both Royce and Chatfield spoke about the importance of advocacy and the urgency to respond to threats from the banking industry. "Bankers have attacked our industry before, but they have never been so vicious, so well funded and well organized as they are right now," Chatfield said. Chatfield explained to American First employees that passing financial regulation reform takes time, using the Gramm-Leach-Bliley Act, which took 20 years to pass, as an example. "It takes considerable time to move things through Congress, and that's why PAC fund-raising is so important. We need to keep people like Ed Royce in Congress, people who understand and support credit unions," Chatfield said. Royce took the podium next, drawing laughs from the crowd as he explained how he's observed that people like banks, but love credit unions. "My district director over there, Sara Carmack, she's a credit union member. It's a good thing, too, because considering the paltry sum we pay her, she would bounce checks right and left if she had to pay those high banking fees," Royce said. Getting down to business, Royce said he is a longtime enthusiast for nonprofit financial cooperatives, because they "invest capital back into the community, where it belongs." Royce said he feels credit union regulatory change is long overdue. Knowing any such efforts would face bank opposition, Royce said he first studied how the FDIC and other regulatory bodies modernized their structure, and used already approved changes as templates for proposed changes in credit union regulation. Royce said he wasn't certain how the NCUA would react to CURIA at first, but was relieved to receive NCUA's endorsement of the bill's strategy. When asked about new NCUA Board Members Gigi Hyland and Rodney Hood, Royce said he's been very pleased with both Hyland and Hood's support of CURIA. When it comes to passing legislation, calls and letters from constituents are crucial, Royce said. "It's very important for people to meet with members of Congress in their district offices. When you communicate how important your credit union is to you, and you can explain those CURIA talking points to them, and how it will help benefit credit union membership, it really leaves an impression on them," Royce said. Grassroots support for credit unions is traditionally strong, Royce said, because it's an issue that hits people in the pocketbook. "I have never seen as many letters or phone calls as I did in 1998," Royce said, referring to grassroots support of HR 1151, the Credit Union Membership Access Act. When asked about the overall support for credit unions on Capitol Hill, Royce said the atmosphere bodes well for the industry. "The majority of members in the House are sympathetic to the credit union movement, and the same is true in the Senate. There is considerable goodwill for credit unions in Washington, which credit unions have earned, quite frankly," Royce said. Caroline Willard, American First Vice President, Marketing and Strategic Planning, said the credit union has been providing employees with legislative updates for years, but said this year she wanted to communicate a sense of urgency among employees. "We wanted them to understand the issues before we asked them to give away their hard-earned money," Willard said. The vice president said she is thankful for the California league's payroll deduction program, which allows employees to budget donations. "Otherwise, they would have to purchase a big ticket item, like a fund-raising dinner plate. This makes it hurt a little less," Willard said. -

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