Removing Barriers Blog

CUNA joins trades in writing to Senate leadership opposing provision in NDAA
Posted June 23, 2020 by CUNA Advocacy

CUNA, the Defense Credit Union Council (DCUC), and NAFCU wrote to Senate leadership in opposition to a provision in the Senate Armed Forces Committee-passed National Defense Authorization Act (NDAA). The Committee-approved bill contains language that would require Department of Defense (DoD) policies for government depository institutions and credit unions operating on military installations to be applied equally to all such institutions.

“We are concerned that this language in the NDAA could essentially require that the DoD treat large mega-banks, such as Wells Fargo, the same as a military installation’s local not-for-profit defense credit union when it comes to rent on military bases,” the letter reads. “A long track record of consumer abuses aside, Wells Fargo’s annual revenue for 2019 was $85 billion according to news reports."

DoD has the discretionary authority to afford space on military bases at a nominal rate to credit unions provided that they meet certain statutory and regulatory requirements regarding the provision of financial services in the on-base facility. This is the result of years of discussions with the DoD, which resulted in an amendment to the Federal Credit Union Act in 2006.