July 10, 2014 – Credit unions will get to air their concerns with NCUA Board members and staff about NCUA supervision and regulation, including the agency’s risk-based capital proposal, during today’s agency listening session in Chicago.
NAFCU Regulatory Affairs Counsel PJ Hoffman is attending today and will be focusing on the session dialogue surrounding the capital proposal as well as any new indications from the agency on changes to come. “NAFCU and the credit union industry are taking every opportunity available to press the case for capital requirements that are fair for all credit unions,” said Hoffman.
On Monday, House Financial Services Subcommittee on Oversight and Investigations
Chairman Patrick McHenry, R-N.C., asked NCUA Board Chairman Debbie Matz to provide, by July 18, his subcommittee with information to
support the agency's risk-based capital proposal.
As NCUA considers next steps for this proposed rule, NAFCU will continue to press for significant changes, among them:
- risk-weighting that does not place credit unions at a competitive disadvantage with community banks;
- clear guidance on capital expectations instead of a potentially arbitrary “individual minimum capital requirement”; and
- an implementation and compliance period of at least three years.
Given the recent comments from NCUA Board members regarding the significant changes that will be made to the rule before it is finalized, NAFCU continues to believe that NCUA should re-issue the proposed rule with any changes made using the input received from the comment period and these scheduled listening sessions.
Today’s session is the second of three slated. The first listening session was held June 26 in Los Angeles; NAFCU has posted a recording of that session online. A recording of today's session will be available soon.
The next session is set for July 17 in Alexandria, Va.