2 Powerful Michigan Reps. – and CU Supporters – Will Sit on Deficit Reduction ‘Super Committee’ (Misc News: August 11, 2011)
Michigan will play a crucial role in the federal government’s effort to reduce the deficit, with two of the state’s U.S. House member appointed to sit on the Congressional Joint Select Committee on Deficit Reduction, also known as the “super committee.”
House Speaker John Boehner, R-Ohio, appointed Rep. Fred Upton, R-St. Joseph, chairman of the House Energy and Commerce Committee, and Rep. David Camp, R-Midland, chairman of the House Ways and Means Committee, to sit on the powerful new panel.
Both Upton and Camp have been strong friends of credit unions. That’s critical, because CUNA believes credit unions’ tax status is its most important issue to work on with regard to super committee. Since the panel will be looking for a combination of tax increases and funding cuts, some worry that credit unions’ tax status could be on the table.
MCUL & Affiliates CEO David Adams said Upton and Camp are longtime friends of credit unions.
“Reps. Upton and Camp have been strong supporters of credit unions and we expect that they will continue to support the credit unions’ tax-exempt status,” Adams said. “They understand that the tax exemption allows credit unions to better serve their members and is critical to their not-for-profit structure.”
MCUL officials plan to meet with Upton at a chapter breakfast on Aug. 19. Click here to learn more about the breakfast.
Whether or not the committee will consider any type of tax increases is a major point of contention. President Barack Obama has said that tax increases have to be part of any solution, but Boehner has said there is “no appetite” for new taxes now.
According to CUNA News Now, Ryan Donovan, CUNA vice president of legislative affairs, has said that the association will watch closely as the super committee goes about its work and will take advantage of opportunities to remind the committee members about the work credit unions do on behalf of their members and communities.
"We'll keep a close eye on this and will engage with the Joint Committee as appropriate," Donovan said, adding that "preserving the credit union tax status is absolutely the most critical issue CUNA works on."