On-Base CUs Buffered From BRACBid

Register now

WASHINGTON - (05/16/05) -- Twenty years of membershipdiversification has apparently buffered defense credit unions fromthe latest round of proposed military base closings, but severalcredit unions could take major hits, nevertheless. At least threecredit unions will be directly affected by the proposal releasedFriday by the Pentagon's Base Realignment and Closure commission,which recommended the closure of Forth Monmouth (New Jersey), hometo First Atlantic FCU, Cannon Air Force Base (Albuquerque, N.M.),where Cannon FCU is located, and Ellsworth Air Force Base (SouthDakota), home to Sentinel FCU, according to Jay Morris, vicepresident of NAFCU. "We've offered our assistance to these creditunions and any other credit unions that may be affected during theongoing review," Morris told The Credit Union Journal. However,because of the diversification of defense credit unions in recentyears, either by conversion to community charters or by addingselect groups to fields of memberships, credit unions are notexpected to be impacted as much by Friday's proposals to shutter180 military installations over the next 20 years. The proposalsare expected to generate heated lobbying efforts in Congress bythose communities and other connected interests, including creditunions, affected over the next few months before a final list isapproved around year-end.

For reprint and licensing requests for this article, click here.
MORE FROM AMERICAN BANKER