NCUA Board Meeting; NCUA Newsletter; 50 Years and Counting
Posted by Anthony Demangone
Yesterday, NCUA held its monthly board meeting. Â Here's a recap of what went down. Â
- NCUA issued a final rule - Part 701 of NCUAâÂÂs Rules and Regulations, Interpretive Ruling and Policy Statement (IRPS) 10-1, NCUAâÂÂs Chartering and Field of Membership Rules.  NCUA issued its final rule to amend its chartering and field of membership manual to update its community chartering policies. The final rule includes the use of "objective and quantifiable" criteria to determine the existence of a local community and to define the term âÂÂrural district.â The rule also clarifies NCUAâÂÂs marketing plan requirements for credit unions converting to or expanding their community charters.   The rule becomes effective 30-days from publication in the Federal Register.  NAFCU will provide a summary and section-by-section analysis of the final rule for NAFCU members in a Final Regulation.
-  NCUA issued new chartering delegations of authority in order to speed up the processing of various types of chartering transactions. These new delegations authorize the Regional Directors and the Director of the Office of Small Credit Union Initiatives to process a broad range of chartering transactions. NCUAâÂÂs Board will keep its authority to process appeals and all chartering transactions involving over 1,000,000 persons.
- The NCUA Board also authorized the following:
- The date of September 30, 2010, for the repayment of $1.5 billion in funds borrowed by the Temporary Corporate Credit Union Stabilization fund.
- The assessment of 0.134 percent of March 31, 2010, insured shares, an estimated total of $1 billion, according to ç217(d) of the Federal Credit Union Act.
- Since the approval of this assessment establishes the liability, credit unions should expense the assessment in June and report the expense on the June call report.   The Office of the Chief Financial Officer will prepare the associated invoices and provide them to all federally insured credit unions in July with the assessments due in August, not less than 60 days of this action. Â
As always, you can access the "draft board items" here. Â The draft board items are the items that were presented to the NCUA board meeting for their approval.
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NCUA has released the most recent issue of The NCUA Report.   I guarantee you that NCUA does not throw darts at a wall to determine what topics are covered within this periodical.  Undoubtedly, they use the publication to stress something that is keeping them up at night or something they want to stress to credit unions.  With that, there were two topics that caught my eye.  There are articles within the newsletter regarding loan loss provisions, charge offs and modifications.  Another article talked about fair lending issues.  If NCUA is thinking about those topics, perhaps you should as well.
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I'm heading home today to celebrate my parents' 50th wedding anniversary. Â It will be a well-deserved celebration for two of the best people I know. Â Here's to you, Mom and Dad!
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