House Passes NDAA, With Wins, Losses for Credit Unions

Source: CUNA News

The House passed a version of the fiscal year 2022 National Defense Authorization Act (NDAA) Tuesday night. As in the past, the bill did not include language to allow banks to expand their presence on military bases, whereas credit unions are allowed to maintain a presence nearly rent-free on many bases owing to their not-for-profit status. This is a win for credit unions.

“Credit unions have successfully demonstrated their value and commitment to military members and their families, which is why the House has rejected expanding the arrangement between credit unions and the Department of Defense throughout this process,” said CUNA President/CEO Jim Nussle. “This bill is a must-pass by the end of the year, and we’ll remain engaged as the Senate moves it forward as well.”

An earlier version of the NDAA passed the House in September, also without the language, CUNA, Leagues, credit unions, and other system partners fought to exclude.

The latest version does not include the SAFE Banking Act, which would allow credit unions to serve cannabis-related businesses in states that have legalized cannabis.

"Passing the NDAA is an important annual milestone for Congress, and we are disappointed the SAFE Banking Act provisions were not included in the final bill,” said CUNA’s deputy chief advocacy officer Jason Stverak. “Its bipartisan support in both chambers proves that it is a common-sense solution for our country’s evolving stance on cannabis policy. We look forward to working with Congress to make this bill law in the new year."

Remote online notary provisions were also excluded from the latest version; CUNA and the Leagues will continue to engage Congress to pass such a policy.