February 3, 2026
Dear Credit Union Leaders,
It’s February! For anyone that needs to hear it, pitchers and catchers report next week! As we wait out the cold, here are the updates you need.
Advocacy
In Lansing, the state legislature continues with its slow start to the session. The Governor has scheduled her final State of the State address for the end of this month, and the Executive’s budget presentation is expected soon thereafter, to kick off the state appropriations process for FY2027. Observers continue to watch the appeals process in the court decision that validated the House’s use of a statutory procedure to invalidate $600 million in funding for ongoing appropriations projects. That action occurred at the end of last year. MCUL will continue to champion our priorities in the state budget, including much needed funding for the Michigan Saves program and additional funding for CDFI credit unions, and will continue to look for additional opportunities to support all of our credit unions through various programs and services.
As mentioned previously, there has been no word yet on movement on legislation to expand investment options for public entities to include certain federal entities. We are drawing closer on targeted operational MCUA updates for credit unions, and we continue watching carefully for signs of state-level interchange legislation. 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. The sponsor of that legislation and his team are working to finalize lead sponsors for the remaining bills in the package.
In Washington, D.C., a partial government shutdown went into effect at 12:00am Saturday. The U.S. Senate and White House have reached a deal to move forward with a five bill package to fund most of it, as well as a short stopgap continuing resolution for the U.S. Department of Homeland Security, and the U.S. Senate passed the measures on Friday. The U.S. House is expected to vote on it Tuesday. Following President Trump’s call for a one-year 10% cap on credit card interest, credit unions and our allies remain watchful for any renewed interest in this space. The initial call prompted immediate pushback from the financial and economic sectors, along with members of Congress. U.S. Sens. Roger Marshall (R-) and Dick Durbin (D-IL), sponsors of the Credit Card Competition Act (CCCA) reintroduced their 2026 version of the CCCA, and their support for the rate cap was reciprocated with President Trump endorsing the CCCA. An attempt by U.S. Sen. Marshall to attach a revised version of the CCCA to digital assets legislation was derailed in the U.S. Senate Agriculture Committee meeting, but we are mindful that attempts will persist on this, and the rate cap issue, in other contexts as we proceed through the year.
The Securities and Exchange Commission (SEC) announced the appointment of NCUA Board Chair Kyle Hauptman to the Public Company Accounting Oversight Board (PCAOB). Hauptman stated he will stay in his current role until a successor is confirmed. Amid this news, the fourth round of proposed regulatory changes as part of the NCUA’s Deregulation Project was also issued this week. Also, further information was provided about 529a (Trump) Accounts – see “Reg Corner” for updates to these and many other issues!
Grassroots and Advocacy Funding
America’s Credit Unions GAC is approaching fast, from March 1-5 in Washington, D.C. As we do every year, we will host a pair of “Know Before You Go” calls on Feb. 25 at 10:00am and Feb. 26 at 3:00pm. Stay tuned for more details about events during the conference! For questions, please contact Todd Jorns (Todd.Jorns@mcul.org).
Thank you to everyone that has purchased a lapel pin so far this year! Thank you again too, to all of our institutions that are helping us by shifting to a payroll deduction system. This program is absolutely critical for our state PAC and advocacy efforts. Please contact Laura (Laura.Osminski@mcul.org) or DaeSean (DaeSean.Ashby@mcul.org) with any questions.
Thank you as well to all of our credit unions that have filled out renewed federal permission agreements. For those remaining credit unions that are expired and have not yet renewed, we will be in touch and we appreciate your help with this. 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 or Laura.
Elections
Secretary of State Jocelyn Benson and Genesee County Sheriff Chris Swanson remain in the Democratic Primary race for Governor, after it was announced that Lt. Gov. Garlin Gilchrist II pivoted to run for Secretary of State. Detroit Mayor Mike Duggan still seeks 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.
The race for the Republican nod for U.S. Senate next year includes former U.S. Rep. Mike Rogers, former Michigan Republican Party Co-Chair Bernadette Smith, Republican activist Geneieve Scott, and dentist Kent Benham. In the Democrat’s primary race for the U.S. Senate seat, state Sen. Mallory McMorrow, Dr. Abdul El-Sayed, U.S. Rep. Haley Stevens, and clinical researcher and Rachel Howard are seeking to represent their party in November.
The Special Primary Election in state Senate District 35 covering portions of Bay, Midland, and Saginaw Counties will take place today (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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