House Bill Likely to Retain Postal Banking Pilot

A Republican effort to kill a postal banking pilot program contained in the House version of the FY22 Financial Services spending bill failed Monday.

The decision by the House Rules Committee not to allow Republicans to offer that amendment during floor debate of the measure all but guarantees that the $6 million pilot program will be in the House-passed version of the appropriations measure.

Republican Reps. Steve Womack of Arkansas, Blaine Luetkemeyer of Missouri and Warren Davidson of Ohio had requested that the Rules Committee allow their amendment to go to the floor.

The House is expected to spend much of the week considering a package of appropriations bills that includes the Financial Services measure. The Rules Committee killed dozens of amendments that GOP members wanted to offer to the seven-bill package.

In FY21, the House included a pilot program in its Financial Services spending bill, but the Senate did not include it and it died in a House-Senate conference.

Credit union and banking trade groups have vehemently opposed postal banking proposals for several years.

The appropriations bill would provide $4 million for the National Credit Union Administration’s Community Development Revolving Loan Fund. That program received $1.5 million in FY21. The measure also includes $330 million for the Community Development Financial Institutions program, a $60 million boost over the current funding level.

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