By Anca Voinea
Last week’s US elections resulted in a win for Republican candidate Donald Trump, who is expected to embark on a radical programme of cuts to corporate and income tax, rollback of federal regulations and environmental protections and deregulation within the financial services sector.
Co-ops and credit unions have been quick to respond to his election, with some apexes reiterating what they expect from a Trump administration.
“America’s Credit Unions congratulates president-elect Donald Trump and vice president-elect J.D. Vance on their hard-fought victory,” America’s Credit Unions president and CEO Jim Nussle said in a statement. “We look forward to continuing to share the credit union difference with a Trump administration and highlight credit union priorities – especially pursuing much-needed regulatory relief and protecting our tax status as Congress intended more than 90 years ago.”
Ahead of the elections, America’s Credit Unions supported 388 candidates, 322 of whom had won their seats as of 6 November.
“As a former member of Congress, I know all too well the jitters that come from an election night,” said Nussle, who served as a Republican member of the House of Representatives from 1991 to 2007. “America’s Credit Unions, in partnership with the credit union leagues, proudly supported candidates from both sides of the aisle who support the credit union mission of affordable and safe financial services for all. We congratulate those who will fill the halls of the 119th Congress and look forward to engaging on the industry’s top priorities like our federal tax exemption status and interchange.”
Ahead of the elections, America’s Credit Unions invested via a National Advocacy Fund (NAF) in more than US$7m in 388 pro-credit union candidates from every state, split 50/50 between Democrats and Republicans.
“In January 2025, America’s Credit Unions will be ready to fully engage with seasoned and freshman lawmakers on the credit union difference and the industry’s priorities,” said a statement from the apex. “Key provisions in the Tax Cuts and Jobs Act sunset next year – opening the door this coming Congress for tax policy debate. The number one priority for America’s Credit Unions’ membership is preserving the industry’s federal income tax exemption that allows credit unions to be consumers’ best financial partner and reinvest in their communities.
“America’s Credit Unions has a history of not endorsing presidential candidates and has worked with administrations on both sides of the aisle to advance the credit union mission.”
Meanwhile, America’s Electric Co-ops (also known as the National Rural Electric Cooperative Association – NRECA) said it is ready to work with the Trump administration and new Congress to “strengthen rural communities”.
“We congratulate President Trump on his election, and we look forward to working with him and Congress on a pro-energy agenda that protects affordability and reliability,” CEO Jim Matheson said on 6 November. “America is at an energy crossroads and the reliability of the electric grid hangs in the balance. Critical generation resources are being retired faster than they can be reliably replaced. At the same time, electricity demand is skyrocketing as power-hungry data centres and new manufacturing facilities come online. Smart energy policies that keep the lights on are more important than ever.”
NRECA hopes the new administration will maintain some of support mechanisms introduced under Joe B Biden, such as direct federal payments to electric co-ops to deploy new energy technologies (including carbon capture, nuclear, energy storage, and renewables); funding for innovative energy projects through the US Department of Agriculture’s Empowering Rural America Program; and investment in broadband for rural communities through programmes such as the Broadband Equity, Access, and Deployment (BEAD) Program.
But it wants Trump to scrap the Environmental Protection Agency’s power plant rule, which requires existing coal plants and new baseload gas units that intend to operate past 2038 to capture 90% of carbon emissions by 2032.
The CEO of the National Cooperative Business Association (NCBA Clusa), Doug O’Brien, also commented on the election results.
“The ramifications are significant for every person in the US,” he said in a blog post. “For co-operatives, it means it is time to come together to advocate for better policy and resources so more people can use co-ops to address today’s challenges. In short, people are looking for change; co-ops present real answers; and we as a co-op community need to come together to make it happen.”
O’Brien also argued that co-ops are positioned to answer people’s call for a better economic path and fulfil their desire for meaningful participation in their businesses and economy.
NCBA-Clusa said it will intensify its advocacy efforts to secure a voice in the new administration’s transition team. It is also reaching out to the Co-op Tax and Policy Working Group, the Cooperative Economics Council, the bipartisan Congressional Cooperative Business Caucus and the newly elected leaders in Congress.
But individual co-operators must also reach out to their newly elected or re-elected officials at the federal, state or local level, said O’Brien.
“The goal of outreach at this point might simply be to make sure that your Congressional office understands the co-op presence in their state, district or city, and that you are there as a resource as they set their new agenda,” he added.
O’Brien called on co-operators to use NCBA Clusa’s advocacy page to shape a message for these leaders, adding: “As the dust settles on the election, committee assignments are made and Congress signals its priorities, we’ll update these resources, but you should not wait.”
