In the state of Oregon, the battle lines between banks andcredit unions have been drawn.

The Northwest Credit Union Association sounded the alarm to itsmember credit unions earlier this month about what it called threeproposed “anti-credit union” bills that aim to tax many creditunions and implement new regulations. According to NWCUA, theOregon Bankers Association introduced these bills into the state'slegislature.

Oregon H.B. 2486 would impose a new excise tax on any creditunions holding commercial loans that collectively exceed 10% ofthe credit union's assets.

H.B. 2485 would subject Oregon's credit unions to rules similarto the U.S. Community Reinvestment Act of 1977 that encouragesbanks to meet all of the credit needs of the communities theyserve, particularly low- and moderate-income communities.

And H.B. 2484 would require credit unions to file periodicreports on the number of member business loans, the services creditunions provide to low- and moderate-income members, and a list ofdeposits held by credit unions at their main office and locationswhere they accepts deposits.

In addition to pushing legislation, the Oregon Bankers Association has been orchestrating a publiccampaign to sway legislators and public opinion.

“This is about credit unions that have been become prettyindistinguishable from banks,” Linda Wilhelms Navarro, president ofthe OBA, told The Oregonian. “Tax-exempt organizationshave to fulfill a public benefit to justify the subsidy.”

NWCUA counters that credit unions do pay property and payrolltaxes, and they are exempt from the state's occupation tax becauseas not-for-profit cooperatives, their earnings are retuned tomembers in the form of lower fees, lower loan rates and higherreturns on deposits.

What's more, the NWCUA commissioned a new survey of 300registered Oregon voters that shows 90% of Oregonians have apositive impression of credit unions, while 56% have a favorableopinion of banks. In addition, credit unions have a 96% approvalrating among their members.

In a similar survey that questioned 300 registered voters in thestate of Washington, 88% have a positive impression of creditunions, while 43% have an unfavorable view of banks.

The survey also showed 70% or Oregon voters agree that becausecredit unions are not-for-profit, they should not have to paybusiness or occupation taxes. In Washington, 68% of voters alsoagreed with this position.

The telephone survey, with a margin of error of 5.7%, has beenshared with Oregon legislators and the media.

According to NWCUA, Oregon's tax officials estimate the proposedbills could generate $1 million to $4 million annually. However,CUNA reported Oregon credit unions have helped their members save atotal of $121 million in direct benefits during a 12-month periodthat ended September 2012.

“That's a $170 a year in real savings for the average creditunion household,” said Tony Stang, president/CEO of NWCUA. “That isa benefit bank customers did not enjoy. Our members, teachers,truck drivers, working moms and dads, didn't pay those banking feesand instead invested their savings right back into Oregon'seconomy.”