CUNA seeks info on banker involvement in Treasury “Blueprint”

April 3, 2008

FOR IMMEDIATE RELEASE
Contact: Patrick Keefe -- (202) 508-6765
pkeefe@cuna.com

A Freedom of Information Act (FOIA) request seeking documents and records submitted by banking trade groups in the development of the Treasury Department’s “Blueprint for a Modernized Financial Regulatory Structure” was transmitted to the agency today by CUNA General Counsel and Executive Vice President Eric Richard.

Specifically, the FOIA request seeks documents submitted by the American Bankers Association, the Independent Community Bankers of America, and America’s Community Bankers (before it was merged into the ABA).

The request also seeks documents and records internally developed by Treasury in communication with the banking trade groups.

According to Richard, the documents and records are being sought in the public interest. “The Treasury’s release of the Blueprint has been the subject of widespread reporting in the media, subject to widespread public outrage, and also subject to speculation regarding whether special interests influenced its development and writing,” he wrote to the assistant director of disclosure services at Treasury.

Richard also noted that he was requesting “expedited processing” of the documents and records.

“Thus far, media organs including the Wall Street Journal, the New York Times, the Associated Press, the Boston Globe, the Philadelphia Inquirer, Forbes, the Washington Post, Politico, Congress Daily, PBS’s Nightly Business Report, and Bloomberg Television have reported on the impact that the Blueprint would have on America’s credit unions and on speculation concerning special interest group influence on the Blueprint’s formulation,” Richard wrote.

“This media attention and attendant public interest in the Blueprint and possible special interest group influences on it are likely to continue for a short time after its March 31, 2008 release, but will likely dissipate thereafter. Therefore, the information has a particular value that will be lost if not disseminated quickly,” Richard added.

Richard said that results of findings from the FOIA request would be published in Credit Union Magazine and other publications.

The complete text of CUNA’s FOIA request follows:

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April 3, 2008

Freedom of Information Request
DO
Assistant Director
Disclosure Services
Department of the Treasury
1500 Pennsylvania Avenue NW
Washington, DC 20220.

Re: FOIA Request
Expedited Processing Requested

Dear Assistant Director:

This is a request under the Freedom of Information Act, 5 U.S.C. § 552; 31 C.F.R. §§ 1.1-1.7, submitted on behalf of my client Credit Union Magazine. Credit Union Magazine is a person primarily engaged in disseminating information to the public and requests expedited processing of its Freedom of Information Act request under 31 C.F.R. § 1.5(e)(2)(ii).

This request is for records submitted to the Department of the Treasury in connection with its Blueprint for a Modernized Financial Regulatory Structure (Mar. 2008) by bank trade associations including, but not limited to, the American Bankers Association, the Independent Community Bankers of America, and America’s Community Bankers (which has now merged with the ABA), as well as internally-created Treasury records memorializing, recording, referencing, or discussing such records and other oral and/or written communications and submissions between the Treasury and these above-referenced and other bank trade associations. This request also includes records authored, created, or otherwise submitted by the above-referenced and other bank trade associations that the Department of the Treasury read, consulted, or otherwise used or reviewed in connection with the development and writing of the Blueprint, even if those materials were previously submitted or otherwise not “submitted in connection with” the Blueprint per se, as well as internally-created Treasury documents memorializing, recording, referencing, or discussing such records and other oral and/or written communications and submissions between the Treasury and these above-referenced and other bank trade associations.

The following offices should be searched for these records: (1) the Secretary of the Treasury, including immediate staff; (2) the Under Secretary of the Treasury for Domestic Finance and all offices reporting to the Under Secretary, including immediate staff; (3) the Assistant Secretary of the Treasury for Financial Institutions and all offices reporting to the Assistant Secretary, including immediate staff; and (4) all other offices within the Treasury that played any role in developing policy, writing, and/or performing research related to the Blueprint.

For the purposes of this request the term “record” includes, but is not limited to, all e-mail communications to or from any individual within these offices, memorandums/memoranda, inter-agency communications, pamphlets, PDF and other electronic files, sound recordings, tape recordings, video or film recordings, photographs, notes, note-books, indexes, jottings, message slips, letters, telexes, telegrams, facsimile transmissions, statements, policies, manuals or binders, books, handbooks, business records, personnel records, ledgers, notices, warnings, affidavits, declarations under penalty of perjury, unsworn statements, reports, diaries or calendars; regardless of whether they are hand-written, printed, typed, mechanically or electronically recorded or reproduced on any medium capable of conveying an image, such as paper, computer disks or diskettes.

My client respectfully requests that the Treasury Department grant it a fee waiver as a “representative of the news media” pursuant to 31 C.F.R. §§ 1.5(b), 1.7(d)(1) as well as expedited processing pursuant to 31 C.F.R. § 1.5(e). The Freedom of Information Act and Treasury’s regulations promulgated under the Act require expedited processing for requests made by persons “primarily engaged in disseminating information” when there is an “urgency to inform” the American public. See 31 C.F.R. § 1.5(e)(2)(ii).

Credit Union Magazine is a monthly, nationally-circulated news magazine founded in 1924 which has a circulation of over 33,000 and is available by subscription to the general public. The magazine is also available over the internet at www.creditunionmagazine.com. Credit Union Magazine is published by the Credit Union National Association. Among other stories, Credit Union Magazine features articles on regulatory and other government-related matters including the monthly column “Regulatory Watch” written by Mary Mitchell Dunn. “Regulatory Watch” routinely features investigatory and other reporting concerning the activities of United States government agencies and the influence that special interest groups, such as bank trade associations, have on government policies.

Credit Union Magazine is a “person primarily engaged in disseminating information” as envisioned by the FOIA statute and Treasury FOIA regulations. In addition, Credit Union Magazine is entitled to a fee waiver as “a representative of the news media” as set forth by the Court of Appeals for the District of Columbia. National Security Archive v. Dep’t of Defense, 880 F.2d 1381, 1387 (D.C. Cir. 1989). Credit Union Magazine obviously possesses the qualifications and ability to use and disseminate any information it receives.

There can be no question that the information sought would contribute to the public’s understanding of government operations and activities, permit the public to better petition the government to redress grievances, and is in the public interest. The Treasury’s release of the Blueprint has been the subject of widespread reporting in the media, subject to widespread public outrage, and also subject to speculation regarding whether special interests influenced its development and writing. The disclosure of records concerning the possible involvement of special interest groups in the development of the policies recommended by the Blueprint clearly meets all of the requirements for a fee waiver under 31 C.F.R. § 1.7. In the alternative, Credit Union Magazine is willing to pay reasonable costs associated with this request for copying only. Should this amount exceed five hundred ($500) dollars, please notify me first.

With respect to expedited processing, the release of the Blueprint this week as well as the surrounding controversy are of great public interest but are likely to remain so for a relatively short period. Thus far, media organs including the Wall Street Journal, the New York Times, the Associated Press, the Boston Globe, the Philadelphia Inquirer, Forbes, the Washington Post, Politico, Congress Daily, PBS’s Nightly Business Report, and Bloomberg Television have reported on the impact that the Blueprint would have on America’s credit unions and on speculation concerning special interest group influence on the Blueprint’s formulation. This media attention and attendant public interest in the Blueprint and possible special interest group influences on it are likely to continue for a short time after its March 31, 2008 release, but will likely dissipate thereafter. Therefore, the information has a particular value that will be lost if not disseminated quickly.

The “urgency to inform” standard is met in this instance because the recently released Blueprint is a matter of current exigency to the American public. Delaying a response to this request for records would compromise the general public’s and America’s nearly 90 million credit union members’ right to be informed about special interest groups’ attempts to influence Treasury Department policy. The general public and nearly 90 million credit union members have a right to know if special interests have attempted to influence Treasury policy, as expressed in the Blueprint, in order to eliminate not-for-profit cooperative financial institutions, limit consumer choice in financial services, and deregulate the American depository institution sector in an unsafe and unsound manner that could lead to widespread depository institution failures and imperil the savings of millions of Americans.

In addition to the right of the general public and America’s nearly 90 million credit union members to be informed about the activities of special interest groups, any delay in processing this request will compromise the right of the general public and nearly 90 million credit union members to effectively petition the Treasury Department and other organs of the United States government to redress grievances with respect to the activities of special interest groups in influencing the Treasury’s policy stances promulgated in the Blueprint.

If you deny all or part of this request, please cite the specific exemptions you believe justify your refusal to release the information and notify me of your appeal procedures available under the law. The Treasury Department is required by law to respond to this request within 20 working days. However, Treasury is required to issue a determination on my client’s request for expedited processing “within 10 calendar days of the date of the request.” 31 C.F.R. § 1.5(e)(4).

Please notify me of Treasury’s determination of this request at and forward copies to the following address (prior inspection is not necessary):

Credit Union Magazine
c/o Eric L. Richard
Executive Vice President and General Counsel
Credit Union National Association
601 Pennsylvania Ave. NW
South Building, Suite 600
Washington, DC 20004-2601

Please do not hesitate to contact me or Michael Edwards at 202-508-6705, or by email at medwards@cuna.com, should you have any questions or need further clarifications on any issue. Thank you for your attention to this matter.

I declare under penalty of perjury that the foregoing is true and correct to the best of my knowledge and belief. Executed on April 3, 2008.

Sincerely,
Eric L. Richard
Executive Vice President and General Counsel

Copyright © 2008 - Credit Union National Association, Inc.