January 6, 2026
Dear Credit Union Leaders,
We hope everyone had a safe and happy holiday season. Welcome back! As we kick off 2026, here are the updates you need.
Advocacy
In Lansing, the state legislature will convene for the second session in this biennium on Jan. 14. Bills introduced last year carry over in the same position into the even-numbered year, except that any bills that were defeated cannot be revived. As we look to begin work in the new year, all eyes continue to watch the appropriations process in the wake of last year’s House action to revoke ongoing work project appropriations. The unicameral procedural move eliminated over $640 million in ongoing project funding. As the list of projects that lost funding continued to unfold, the state Senate passed a supplemental appropriation bill to restore all funding prior to departing for the holidays – leaving the ball in the House’s hands on whether to restore key health, community, and infrastructure programs that were inadvertently impacted.
As mentioned prior to the holidays, our team continues working with stakeholders and the sponsor on a bill that would expand investment options for public entities to include certain federal entities. Concerns over the legislation as drafted include an apparently inadvertent exclusion of credit unions from being able to advise and assist these entities in making these investments, and more broadly, whether access to these types of investments would negatively impact deposits in Michigan credit unions and banks. The sponsor has indicated his willingness to fix the inequity issue, and will continue to work with stakeholders on the overarching policy concerns as the year draws to a close. We are progressing closer on targeted operational MCUA updates for credit unions, and we continue watching carefully for signs of state-level interchange legislation in the new year. Legislation is almost ready to modernize the state’s Uniform Commercial Code for updates addressing emerging technologies like digital assets, providing legal clarity for transactions involving virtual currencies and other digital assets, and other modernizations related to wire transfers and electronic signatures. We anticipate introduction fairly quickly once they return.
In Washington D.C., the U.S. House and Senate are back in session. Congress’ top priority as we enter the new year will be funding the portions of the federal government where continuing resolutions are set to expire on Jan. 30. The U.S. Food and Drug Administration, U.S. Department of Agriculture, U.S. Department of Veterans Affairs, military construction, and Congressional operations are currently funded through September 30, the end of this fiscal year. As we start the year, the following priorities are noteworthy:
The National Defense Authorization Act, passed in bipartisan fashion, was signed into law prior to the holidays. The final version of the $900 billion measure unfortunately did not include League- and America’s Credit Union-supported amendments to provide enhancements to the NCUA’s Central Liquidity Facility, and enhance support for the CDFI Fund. However, as expected, the measure also did not include any harmful provisions related to interchange.
Prior to the holidays, in advance of a U.S. House Small Business Committee hearing on veteran entrepreneurs, America’s Credit Union’s wrote to members of the Committee to reiterate strong support for H.R. 507, the Veterans Member Business Loan Act. This bipartisan legislation would help veterans start and grow small businesses by exempting loans made to veterans from the member business lending cap.
Please see “Reg Corner” for recent insights on credit union regulatory priorities!
Grassroots and Advocacy Funding
Letters will be going out this week and next for the 2026 Lapel Pin Program to benefit MCULAF, our state PAC. This program is absolutely critical for our state advocacy efforts, but it is noteworthy that shipping costs have risen sharply over the past year or two and that trend will likely continue. Over the course of this year, we will be asking participating credit unions to actively consider shifting to a payroll deduction system for this program, or at least designating a central contact for distribution within the credit union, to better enable bulk shipping to credit unions. This will help reduce overall program costs and keep the pins affordable for our participants. We will still ship directly to donors as requested, but we are grateful for any and all assistance from our participating credit unions! For our donors and program administrators, please keep an eye out for the program kickoff letter and contact Laura (Laura.Osminski@mcul.org) or DaeSean (DaeSean.Ashby@mcul.org) with any questions.
We will be sending reminders out for federal permission agreements, for those remaining credit unions that are expired and have not yet renewed. Signing the permission agreement does not mean a credit union has agreed to participate in or run any fundraising programs – it is simply a compliance step related to MCUL’s ability to communicate about our programs. If you have any questions, please contact Todd (Todd.Jorns@mcul.org) or Laura.
Elections
Former Michigan Republican Party Co-Chair Bernadette Smith has announced she will run against former U.S. Rep. Mike Rogers for the Republican nod for U.S. Senate next year. Republican activist Geneieve Scott and dentist Kent Benham have also indicated they are mounting a bid in that primary. In the Democrat’s primary race for the U.S. Senate seat, clinical researcher and National Guard combat veteran Rachel Howard has joined the field of candidates with state Sen. Mallory McMorrow, Dr. Abdul El-Sayed, and U.S. Rep. Haley Stevens. Lt. Gov. Garlin Gilchrist II, Secretary of State Jocelyn Benson, and Genesee County Sheriff Chris Swanson have all announced they will seek the Democrat nomination for Governor next year, along with Detroit Mayor Mike Duggan seeking the office as an Independent. Announced candidates for the Republican nomination include former Attorney General Mike Cox, U.S. Rep. John James, state Senate Minority Leader Aric Nesbitt, former state House Speaker Tom Leonard, Rev. Ralph Rebandt, and Karla Wagner. State Rep. Joe Tate, last session’s House Speaker, withdrew from the Democrat field for U.S. Senate earlier and remains the only high profile candidate in any of these races to drop their bid so far.
The Special Primary Election in state Senate District 35 covering portions of Bay, Midland, and Saginaw Counties will take place on February 3, and the Special General Election on May 5. Democrats filed include Brandell Adams, Martin Blank, Chedrick Greene, Serenity Hope Salak, William Morrone, and Pamela Pugh. Republicans filed for the seat include Jason Tunney, Chadwick Twillman, Christian Velasquez and Andrew Carlos Wendt.
As always, thank you for all that you do for Michigan’s credit unions!
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