WASHINGTON — The Community Reinvestment Modernization Act (H.R. 1289) does not mention credit unions in its current form, but a CUNA lobbyist said it might not stay that way.

“There is…a 96-page bill that would extend CRA to everyone except, surprisingly in that bill it did not extend it to credit unions,” CUNA Vice President of Legislative Affairs Dean Sagar said. “It reverses a lot of the weakening of CRA the banks have achieved in recent years and would expand it to about everybody else.”

But it may not stay that way. “It doesn't mention credit unions but my sense is that there is committee staff saying, if they pursue CRA, it would be on everyone with a capital E,” Sagar, a former House Financial Services Committee staffer, said.

The bill would repeal the reduced reporting requirements instituted by the bank regulators; subject non-bank affiliates of bank holding companies that engage in lending or offering banking products or services; require a reduction in rating for predatory and discriminatory lending; and state that securities companies, mortgage banks, and insurance companies have a continuing affirmative obligation to meet the financial services needs in their assessment areas, including those of modest means.