Legislative Update with Kenley

DakCU is tracking key state bills and a major federal housing package that includes important regulatory-relief provisions for credit unions.

By Kenley Lamberty, DakCU Director of Political Strategy and Engagement

SD Credit Union Legislative Day 
February 11, we will be celebrating Credit Union Day in Pierre, and we hope you can join us. We will kick off the day with our GAC meeting at 11:45 a.m. Following the meeting, we will head to the Capitol for a group photo and will be serving an afternoon snack in the House and Senate lobbies until 2:00 p.m. After that, we will move to the House and Senate floors for introductions.
 
Later in the day, from 4:30–5:30 p.m., we will host a panel discussion focused on data centers and other hot‑button issues in Pierre. Panelists include Senator Steve Kolbeck, Senator Sydney Davis, Senator Casey Crabtree, and Representative Kent Roe. The discussion will be followed by appetizers and drinks.
 
We are excited to have you join us for a great day at the Capitol!
 
SD GAC Bill Tracking 
Last week marked the final deadline for introducing bills this session, bringing the total to nearly 600 between the House and Senate. Your Dakota Credit Union Association (DakCU) is actively monitoring more than 20 bills that could impact credit unions, our member‑owners, and the communities we serve.
 
Senate Bill (SB) 150, which would exempt up to $5,000 of equity in one motor vehicle from repossession, passed out of committee and is scheduled for a Senate floor hearing on Thursday, February 12. While intended to protect essential transportation, the bill raises significant concerns for credit unions by limiting the ability to recover certain lower‑equity vehicles and shifting losses onto responsible borrowers.
 
SB 98, addressing cryptocurrency kiosks and adding important fraud‑prevention safeguards, is scheduled for a hearing on Tuesday, February 10. This bill is a key step in combating fast‑growing scam activity in our communities.
 
House Bill (HB) 1248, the UCC revision bill, is posted for hearing on February 20, and DakCU will oppose the measure due to the operational and legal challenges it creates for secured lending and multi‑state custodial relationships.
 
We are also supporting HB 1238, which would allow credit unions to use a “trusted person” contact when fraud or exploitation is suspected a valuable protection for seniors and vulnerable adults.
 
We look forward to welcoming credit union professionals to Pierre on February 11 for Credit Union Legislative Day, an important opportunity to meet directly with lawmakers and highlight the issues that matter most to our members.
 
To see full list of bills we are tracking CLICK HERE

If you have questions about these or any other bills please feel free to reach out.
 
Housing Bill Advances With Key Credit Union Wins
A major housing package is expected on the House floor next week, and congressional sources say it is likely to pass potentially becoming the only significant legislation headed to President Trump’s desk in the near term. The Housing for the 21st Century Act (H.R. 6644) focuses on housing supply and affordability, but it now includes several long‑sought credit union provisions added in a new Title VI. The bill is slated for possible consideration on the House suspension calendar, a fast‑track process used for broadly supported measures, and committee leaders including Ranking Member Maxine Waters are working together to move it quickly.
 
The updated bill packages the Credit Union Board Modernization Act and the TAILOR Act, both of which would provide targeted regulatory relief for well‑run credit unions under $6 billion in assets. Those provisions include exam flexibility, an expanded 18‑month exam cycle, and modernized board meeting requirements. As the Senate prepares its own housing package, negotiations are expected to lead to a conference committee, giving credit union advocates an opportunity to continue pressing for additional priorities as the legislation advances.
 
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For more information or to share your perspectives, feel free to contact me. ​