Why Washington’s Credit Union Day at the Capitol Matters More Than Ever

Posted by Joe Adamack on December 18, 2025

In Olympia this year, the conversation starts—and ends—with the budget.

Washington lawmakers are facing a significant budget deficit and, as we saw last year, when revenue gaps widen, every possible funding source comes under scrutiny. Even in a short, non-budget session, the supplemental budget process keeps revenue and tax policy firmly on the table.

That reality makes Credit Union Day at the Capitol, being held on January 28 in Olympia, more important than ever. Don’t wait, register today. We would love to see you and your team there or talk about what your participation could look like.

The Risk Is Real—and the Stakes Are High

Last year’s last-minute revenue grab made one thing clear: the credit union tax exemption remains the single highest-impact policy threat facing Washington credit unions in 2026 and beyond.

Protecting that exemption has always been a top priority. But in today’s increasingly contentious fiscal environment, we cannot assume lawmakers fully understand who credit unions are, how we operate, or why our not-for-profit tax status matters to their constituents.

Credit Union Day at the Capitol is our opportunity to reinforce those fundamentals—directly, clearly, and powerfully.

Articulating The Credit Union Difference: It Starts with Our DNA

The DNA difference of a credit union is simple but profound: we are not-for-profit financial cooperatives owned by the people we serve.

That structure means decisions are made with members—not shareholders—at the center. Profits aren’t maximized for investors; they’re returned to members and reinvested in local communities. This member-first model isn’t just good for consumers—it strengthens local economies across Washington.

But that difference doesn’t always show up on a balance sheet. It shows up in stories. And lawmakers need to hear those stories from the people living them every day.

Lawmakers Need to Hear—From You

Credit unions have clear, consistent, and compelling messages to bring to this year’s Credit Union Day at the Capitol. Those conversations do matter, and they are our best defense.

1. Keep Washingtonian’s Dollars in Washington State

• • Washington credit unions proudly deliver meaningful financial benefits to 5 million Washingtonians.
    • Without a state tax exemption that allows credit unions to continue serving members effectively, credit unions face an impossible choice:

• • • Pass costs on to members through higher interest rates, increased fees, and reduced lending—especially to small businesses and low-income communities, or
    • Switch to a federal charter, which would actually reduce state revenues by a projected $40 million per year in sales tax that would newly be exempt.

• • Protecting the exemption keeps those dollars—and those benefits—right here at home.

2. Protect Not-for-Profit Alternatives to Wall Street Banks

• • The credit union model of people sharing and leveraging their own dollars to benefit the collective does not pencil out when business taxes are applied on shared prosperity, and would eliminate an alternative to for-profit Wall Street banks.
  • Because credit unions are member-owned cooperatives, profits stay local and benefit people who live and work in Washington—not distant shareholders. The exemption levels the playing field and allows credit unions to offer competitive interest rates, lower fees, and better loan opportunities for everyday consumers and small businesses.
  • When lawmakers protect the credit union tax status, they protect competition, choice, and fairness in the financial marketplace.

3. Protect Locally Owned, Not-for-Profit Cooperatives

• • Credit unions are democratically controlled, locally focused financial cooperatives funded by member deposits and built to meet member needs.
  • As of 2023, Washington credit unions delivered $759 million in direct financial benefits to their 5.5 million members statewide. Exempting state-chartered credit unions from state business taxes recognizes that unique structure and ensures a state charter remains a strong, viable option.
  • Consistency across charters matters—not just for credit unions, but for the communities they serve.

Advocacy Works—When We Show Up

Legislators hear from many voices. The voices that matter most are the ones that show up, share real-world impact, and build relationships over time. Credit unions have proven over and over again that legislators listen to them when they engage. Now is no different.

Credit Union Day at the Capitol is about more than one meeting or one issue. It’s about cementing trust, reinforcing understanding, and making sure lawmakers see credit unions as essential partners in Washington’s economic health.

Now is the time to lean in, tell our story, and protect the not-for-profit, member-owned credit union model that serves millions of Washingtonians every day.

For more information or to register, click here.

Posted in Advocacy on the Move, Washington Advocacy.