WASHINGTON — If money is the mother's milk of politics, thencredit unions are in no danger of suffering from a calciumdeficiency.

The political action committees of the two major tradeassociations have given almost $1.2 million so far–$1.02 million byCUNA's PAC and $176,983 by NAFCU's–and the campaign cycle hasn'teven gotten to the heavy giving stage.

The comparison of political money to a dairy product, first madeby former California Treasurer Jesse Unruh in the 1970s, stillstands. Since last Jan. 1, the beginning of the current electioncycle, candidates for Congress have raised $490 million, accordingto the Center for Responsive Politics, a Washington researchorganization.

During this period, individuals and PACs affiliated with creditunions have donated $1.6 million to congressional candidates, 55%of that money went to Democrats, 45% to Republicans.

The PACs affiliated with CUNA and NAFCU tilted their donationstowards House Democrats, which reflects that party's control ofthat chamber. Even though Democrats also have a majority in theSenate, the big credit union committees favored Republicans there,where most of this year's contested elections feature GOPincumbents.

Both the committees tend to give the lion's share of theircontributions to incumbents, which is line with the trend amongpolitical action committees. Both PACS also almost never give moneyto both candidates in a race. That's a different policy than theone followed by many trade associations, which seek to minimizetheir risk by giving to both the Democratic and GOP nominees in arace.

“We take a hard look at who are friends are in general, andwhich incumbents might be in trouble,” said CUNA Political DirectorTrey Hawkins, when asked how they pick where to place theirmoney.

CUNA's PAC–the Credit Union Legislative Action Council–has given$522,150 to House Democrats and $345,189 to House Republicans. Onthe Senate side, it has given $79,500 to Republicans and $72,500 toDemocrats.

Among those who have received contributions are all the topmembers of Democratic and Republican House leadership and thechairman and ranking member of the House Financial ServicesCommittee and almost all of its subcommittee chairs and rankingmembers.

None of those lawmakers face a serious re-election challenge(House Financial Services Committee Chairman Barney Frank (D-Mass.)and Ranking Republican Spencer Bachus (R-Ala.) were both unopposedin 2006, but all control the fate of legislation near and dear toCUNA, such as credit union regulatory relief.

Also, House Ways and Means Committee Chairman Charles Rangel(D-N.Y.), whose panel has jurisdiction over credit unions'tax-exempt status, received $10,000 from the CUNA's PAC, eventhough he was re-elected with 94% of the vote last time. The seniorRepublican on the panel, Rep. Jim McCrery of Louisiana, who wonwith 57% of the vote in 2006, received $2,000.

On the Senate side, in addition to giving to key members of theparty and the leadership of the Banking and Finance committees, thePAC has also contributed to the two incumbents thought to be mostvulnerable this November. It contributed $2,000 to Sen. John E.Sununu (R-N.H.), who is being challenged again by former Gov.Jeanne Shaheen. Sen. Mary Landrieu (D-La.), a primary sponsor ofthe Credit Union Regulatory Improvements Act, who will face stateTreasurer John Kennedy, received $2,000.

Hawkins, whose PAC is ranked 16th among the 4,234 federal PACs sthis cycle, said they are on track to contribute about the same asthey did during the 2006 campaign cycle, when they gave $2.6million.

They also take sides in races for open seats. That strategy hashad mixed results. Last week, their candidate in Tuesday's electionin Mississippi's 1st Congressional District, Republican SouthavenMayor Greg Davis, lost. Though they backed Republican Steve Scaliseand Democrat Don Cazayoux, who earlier this month won specialelections for the U.S. House in the 1st and 6th Districts ofLouisiana, respectively.

Like families with less disposable income, because NAFCU'scommittee (NAFCU/PAC) has a smaller budget, it is more selective inhow it spends money.

Only two of the top House Democratic or Republican leaders(House Majority Leader Steny Hoyer (D-Md.) and House DemocraticCaucus Chairman James Clyburn of South Carolina) have received$1,000 and $2,500, respectively, from it. The PAC gave $8,500 toFinancial Services Committee Chairman Frank and $5,000 to rankingcommittee Republican Bachus and most of the House FinancialServices Committee's subcommittee chairs and ranking members. Likeits CUNA counterpart, it has also given money to Rangel. ButNAFCU/PAC has not donated to McCrery, the senior Republican on theWays and Means Committee.

On the Senate side, NAFCU/PAC contributed to key members of theparty and committee leadership and also gave $1,500 to Sununu and$1,000 to Landrieu.

“We focus on those individuals most important to us–both theleaders and the members who are co-sponsors of CURIA and CURRA,”said NAFCU Director of Political Affairs Dillon Shea.

He added that the PAC's contribution has steadily increased overthe last several cycles and they plan to give more than the$357,475 that they contributed during the 2006 election.

Shea said that NAFCU raised $250,000 last year, the PAC's bestto date.

And the association did it with the help of peacocks.

One of their key fund-raising events was a golf tournament heldduring their annual meeting last summer in Hawaii. For $175,golfers could play in the state's Makaha Valley that Hawaii'sformer kings used for recreation and where “the peacocks seen andheard throughout the valley were a gift from King Kalakaua,”according to a promotional brochure.

CUNA and NAFCU both plan to sponsor events at this summer'snational political conventions though Hawkins and Shea said theyhad not finalized what they will be.

Both PACS also use nonfinancial contributions to influence thepolitical process.

CUNA runs political training schools, to instruct first-timecandidates how to plan and execute campaigns.

“It's a long-term investment. It gives candidates exposure tocredit unions–though we don't spend a lot of time talking aboutthem during the meetings–and shows we are politicallysophisticated. We also develop relationships with people early onin their political careers,” Hawkins said.

So far this cycle they have sponsored schools in New Mexico,Ohio and West Virginia.

NAFCU works with its members to encourage employees and creditunion members.

“We do a lot in this area on an ad hoc basis,” Shea said.

The top givers among the other credit union political actioncommittees that have given money to congressional campaigns thiscycle are: Orange County (Calif.) Teachers Credit Union (nowSchoolsFirst Credit Union), $45,550; Wescom Credit Union inPasadena, Calif., $7,900; Affinity Federal Credit Union in BaskingRidge, N.J., $7,900.

–[email protected]