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Following major push-back from NAFCU on last year's risk-based capital proposal, the NCUA Board has slated a second RBC proposal for its Jan. 15 open meeting.

NAFCU expects the new proposed rule will have at least a 90-day comment period. However, NAFCU still has concerns about the agency's plans for a second proposal. It will closely examine the new proposal for its impact on credit union safety and soundness and whether it will hinder credit unions' ability to serve members effectively. NCUA Chairman Debbie Matz has said the second proposal will have a 90-day comment period, after NAFCU strongly urged the agency to give credit unions time to thoroughly review and submit comments on the second proposal.

"NAFCU urges NCUA to give significant weight to the input it receives from credit unions on this second RBC proposal," said NAFCU Senior Vice President and General Counsel Carrie Hunt. "The 2,000 comments it received on last year's version are evidence that credit unions have serious concerns about NCUA's approach to revising the industry's capital requirements. NAFCU will continue to do whatever it takes to ensure that a fair, risk-based system is established for credit unions."

In December, NAFCU President and CEO Dan Berger wrote Matz to say capital reform must include access to supplemental capital for all credit unions. He also noted several ongoing concerns about the proposal.

Berger said NAFCU supports a risk-based capital system that reflects lower capital requirements for lower-risk credit unions and higher capital requirements for higher-risk credit unions. However, he said the association is still pushing Congress to make changes to the Federal Credit Union Act "to achieve a fair system."

The NAFCU president also urged Matz and the board to again establish an RBC working group to gather input from credit unions and industry representatives on the second proposal.

NAFCU staff will keep members updated on news about the proposal and will request feedback from members when the proposal is released.

NCUA's Jan. 15 open board meeting is set for 10 a.m. Eastern at Alexandria, Va., headquarters. Also on the agenda are the agency's 2015-16 annual performance plan, a proposal on capital planning and stress testing schedules and a community charter request for 360 Federal Credit Union (Windsor Locks, Conn.).

A closed meeting is scheduled for 8:30 a.m. that day.