Public Funds and Credit Unions

Many local communities, municipalities, school systems and townships have come to Ohio’s credit unions looking to do business, but our current state law prohibits us from accepting their business. For example, the City of Heath could deposit funds in our credit union, but currently Ohio law won’t allow the city to do this. Credit unions are the only financial institutions in Ohio that cannot accept public funds. This just doesn’t seem right – does it? 

Legislation has been introduced in the Ohio General Assembly (House Bill 317) to correct this situation and allow credit unions to accept public deposits from the state, communities, schools and other public systems. Allowing these groups to make deposits in their community’s credit union will in turn make those funds available for lending to others in their local community.

Over the years, credit unions have grown within their communities and become very active members of the community. At Hopewell Federal we are active in the Licking County Chamber of Commerce, Rotary Club, Sertoma, Food Pantry Network and LICCO just to name a few. We are a great financial institution for our members now and will be a great financial institution for Licking County public systems too. 

Ohio can join two dozen other states like Indiana, Michigan and West Virginia along with the U.S. Government and allow credit unions to accept public deposits. The passage of this bill would also allow credit unions to participate in the Ohio Department of Development’s Minority Business Enterprise Program and Capital Loan Program for small businesses.

Please show your support for this bill by notifying your State Representative, Jay Hottinger at district71@ohr.state.oh.us or Dan Dodd at district91@ohr.state.oh.us.

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