Whys & Wheres of GAC
I’ve been fortunate to have attended 22 of the last 23 CUNA Governmental Affairs Conferences, and I plan to attend in 2023 as well. Starting out as a regulatory reporter for the now-defunct Credit Union Regulatory Insider in 1999, it was an overwhelming experience in 2000 at the age of 23. By the 2001 GAC, I had moved on to become DC reporter for Credit Union Times with a little more experience under my belt, and the one GAC I missed was in 2002 when I was on maternity leave with my son who turned 21 on Feb. 9. (Happy birthday, baby!)
I recently spoke with someone who is attending their first GAC, and I thought it makes sense to offer up my nuts-and-bolts insights. GAC is a great event for networking and feeling the power of the movement. It communicates a lot to credit union leaders internally to generate solidarity and common purpose. It also communicates to members of Congress, regulators and rival lobbies that the credit union community is strong and ready to stand up for itself and our members!
As a GAC veteran, here’s my take on what you will see and what you should see – and of course, communicate:
GAC features many, many informative sessions from the members of Congress speaking – believe me, you will hear at least half a dozen times how different politicians became credit union members and how the members of the other party are evil/insane. Despite how they behave, credit unions must remain neutral to political parties and not anti-bank in your communications with the Hill and regulators. Stay pro-credit union!
No doubt many will tackle the CFBP’s efforts to amend regulation Z to cap credit card late fees at $8. Yes, $8!! This is certainly a matter that will affect your credit union should it be implemented, so ensure your representatives know exactly what impact it will have on your specific credit union’s ability to serve members, particularly those with less-than-perfect credit.
CUNA will also be touting the Credit Union Board Modernization Act, which passed the House recently. It would change the requirement that federal credit union board’s meet every month to every other month. As a FCU board member, I’m torn on this particular topic. Yes, it would be more convenient to meet 6 rather than 12 times a year, but it also has the potential to weaken the relationship and dialogue between the board – who represent the membership – and management. Credit unions’ volunteer boards are a significant part of what makes credit unions unique, and we cannot threaten that philosophically nor regarding the tax exemption and the cooperative business model.
Federal credit union’s legislative authorities also cap interest rates at 18% (technically it’s 15%, but NCUA can raise it to 18%, but…it’s complicated). The agency recently extended the elevated 18% interest rate cap and is digging into what it might be able to do for credit unions during this unusual time. We try to do what’s in the members’ interest, and during these extraordinary times, more may be needed to support federal credit unions’ ability to continue lending to members, particularly those of modest means. Check in across the river in Alexandria, Va., while you’re in DC. And you know the NCUA Board members will be spotted in the halls at GAC, too.
Speaking of philosophy, the CDFI Fund has proposed changes to its certification process. Most credit unions could qualify as Community Development Financial Institutions, and there are plenty of advantages to it. If you are a CDFI-certified credit union, you may have to re-apply based on the proposal, and those that are in the application process have been held up and the fund hasn’t been terribly transparent about it. Speak up for your members – not against the current administration. That’s what your members of Congress are for!
Also, if you’re in town on Sunday morning before GAC really gets fired up, The Underground Collision by Mitchell, Stankovic & Associates will help you feel the credit union philosophy and tie it to modernization of our technology systems, policies & procedures and more!
GAC is more than its name indicate. As the largest conference for credit unions each year, networking opportunities abound. A lot of credit union business partners are hosting their events where you can meet all types at most hours of the day and night. Heck, stroll through the Marriott Marquis bar, and you’ll run into dozens (or hundreds) of credit union people.
But if you need a little one-on-one time, here are some options:
· The Monocle is a great place with AMAZING food to watch for legislators and other Washington Big Wigs.
· The Hamilton has a classy-without-being-too-stuffy restaurant and bar for chilling.
· Off the Record is a speakeasy with a cool, historic DC vibe. It can get a bit loud because it’s kinda small though.
· Compass Coffee is right inside the Washington Convention Center, ideally located for meetings beside lots of comfy sofas and chairs.
· If you need a little space from the credit union craziness, try La Colombe.
· And Buttercream for a sweet, mid-afternoon pick me up!
· Tour the Capitol building if you have the opportunity. It features amazing architecture and history.
· The Supreme Court features interesting exhibits of its rich history, too!