The New York Credit Union Association is calling on all credit union advocates to attend a hearing on municipal deposits next Monday, May 20, at 10 a.m. in Hearing Room C of the Legislative Office Building in Albany.
The important hearing will be hosted by state Assembly Banks Committee Chairman Kenneth Zebrowski, D-Westchester-Rockland, and Assembly Local Governments Committee Chairman Fred Thiele Jr., D-Long Island.
“This is a major event and a major opportunity for the New York credit union movement,” said Association President/CEO William J. Mellin. “It is critical we show the members of the Assembly what a powerful force the credit union movement can be. This is an issue that impacts all credit unions in New York—both state and federal charters—and I’m strongly urging all credit union advocates who are able to attend the hearing to do so.”
Local governments in New York are not currently authorized to make deposits with credit unions. Changing the law to allow credit unions to accept public deposits has been a state-level legislative priority for the Association for many years.
However, this marks the first time the credit union movement will have the opportunity to make the case for municipal deposits in a hearing format. Several credit union leaders are scheduled to testify at the hearing. Bank industry executives, who oppose the legislation, have also been invited to testify.
The Association strongly supports legislation A.3262/S.322, which is sponsored by Zebrowski and Sen. Joseph Robach, R-Rochester, and would allow credit unions to accept deposits from municipal corporations. Passage of this legislation would give municipalities’ depository choice, save taxpayer dollars and generate revenues that exceed the combination of interest and tax revenues garnered from bank income on public deposits.
Credit union advocates are also encouraged to show their support for the legislation by emailing their members of the Assembly and state Senate, or submitting written testimony.
Advocates can contact lawmakers through the Association’s online Action Center. The center includes information on the legislation and hearing, as well as template emails that can be sent to lawmakers. Additional information on the municipal deposits issue is available on the Association’s website.
Questions can be directed to Kendra Rubin, Association VP of governmental affairs, at kendra.rubin@nycua.org or (518) 437-8134.