Government Affairs Update: July 2008
RMGN Submits Signatures to Secretary of State
On July 7, supporters of the Reform Michigan Government Now (RMGN) proposal submitted 487,000 signatures to the Secretary of State (SOS). Officials in the Elections Bureau at the SOS have begun the lengthy process of validating them.
RMGN is a 36 point government reform proposal that would amend the Michigan Constitution. If approved by the Board of Canvassers and upheld in court, the measure would be on the November 4 ballot. The current constitution was adopted by the voters in 1963. The proposal would, among other changes, reduce the size and compensation for the Michigan Legislature. The Senate would drop from 38 to 28 members; in the House, membership would drop from 110 to 82. The salary for lawmakers would return to the 2000 level of $57,000 a year, down from the current $79,650.
Additionally, there would be fewer judges. Most notably, the Supreme Court would see its membership decline from seven justices to five along with salary and benefit reductions. Both proponents and opponents of the plan are preparing for what will likely be an intense campaign.
Gift Card Legislation Presented to the Governor
On July 3, Enrolled House Bill 4680, introduced by State Rep. Michael Sak (D-Grand Rapids), was presented to Governor Granholm. The bill would prohibit inactivity fees from being assessed against gift cards or gift certificates and would establish a minimum five year expiration period from the date of issue. Financial institutions that issue multi-use gifts, including credit unions, are exempt from this legislation. For more information, please click here.
State House Moves Predatory Lending Package
The State House passed the much anticipated predatory lending package of bills on June 18. The flagship bill, House Bill 5294 introduced by State Rep. Mike Simpson (D-Jackson), passed 80-29. While H.B. 5294 imposes greater regulations on mortgage lenders, credit unions have been exempted from the legislation’s requirements. Testimony on the package indicated the intent was to go after “bad actors” in the lending industry, and credit unions were not seen as part of the problem.
The package is now in the Senate Committee on Banking and Financial Institutions, chaired by State Sen. Randy Richardville (R-Monroe). The MCUL will continue to support efforts to deter predatory lending while maintaining the credit union exemption from this legislation. For more information, please click here.
Identity Theft Legislation Moves from House
On June 24, the State House passed the ten-bill, identity theft legislation package, largely along partisan lines with Democrats voting for and Republicans voting against. House Bills 6102-03 were of initial concern to credit unions. These bills would have required notification procedures to be in place before transferring an individual’s personal identifying information. However, the bills were substituted to exempt financial institutions that already comply with comparable federal laws and regulations, including credit unions.
The bills are now in the Senate Judiciary Committee, chaired by State Sen. Wayne Kuipers (R-Holland). The MCUL will continue to push to maintain the credit union exemption in the bills. For more information, please click here.
2008 PAC Fundraising Continues Fast Pace
It has been a record setting first half of the year for MCULAF (state PAC), at this time having raised over $121,000, or 81 percent, of the 2008 goal. 72 credit unions have already reached or surpassed the 100 percent mark for their state goal.
MCULLAF (federal PAC) has also seen an improved first half of the year, to date having raised over $96,000, or 35 percent, of the 2008 goal for MCULLAF. There have been 36 credit unions that have surpassed the 100 percent mark for their federal goal and 17 have surpassed 100 percent in both their state and federal goals.
Congratulations go to the Blue Ox Chapter on already reaching over 150 percent of their federal goal and over 300 percent of their state goal. MCULLAF/MCULAF Board of Trustees Chairman Howard Spencer made clear that they are not finished, and want to challenge all other chapters to see if they can match their marks for the year.
2008 Grand Raffle Already in Full Swing
The 2008 Grand Raffle is off to a strong start, with over 27,000 of the 30,000 available tickets having been distributed to credit unions. 3,900 sold tickets have already been returned, raising $19,500. 128 credit unions have their tickets and are hard at work selling them. Credit unions are encouraged to request additional tickets as soon as possible, as only 3,000 remain for distribution. Last year all 30,000 tickets went out with over 24,000 sold; this year the goal is to sell all 30,000 tickets. Credit unions should only return fully sold books, and should do so as soon as possible. The Grand Raffle ticket sale ends on October 29.
CURE Golf Outing Almost Here
The 7th Annual CURE Golf Outing is Wednesday, July 23, at Forest Akers West Golf Course near Michigan State University, and begins at 9:30 am. To date, 32 Sponsors have signed up with donations totaling $12,800, plus 80 registered golfers. Plenty of sponsorship opportunities remain and there is still room for more golfers; sponsorships and golfer registrations must be submitted as soon as possible. The brochure is available to download online at http://www.mcul.org/MCULLAFMCULAF_507.html, and questions may be directed to David Mroz at dgm@mcul.org, or MCUL ext. 353.
Candidate Endorsements Approved
At the June 23 MCULLAF/MCULAF Board of Trustees meeting, a unanimous vote approved the endorsement of U.S. Sen. Carl Levin (D-Mich) and 11 Congressional leaders, including U.S. Reps Joe Knollenberg (R-Bloomfield Hills) and Tim Walberg (R-Tipton). The MCUL Board of Directors concurred in these federal endorsements on June 24. The MCULLAF/MCULAF Trustees also voted to endorse 63 candidates for the Michigan House of Representatives. The full list of endorsed candidates is available on the MCUL website at http://www.mcul.org/Campaigns__Elections_503.html.
[Return to Top]
|
Regulatory Affairs
