ALEXANDRIA, Va.—While the risk-based capital proposal dominated the NCUA board agenda, several other items actually preceded it for a vote, including timing of stress testing for some CUs and an FOM expansion.
In addition to approving the 2015-16 Annual Performance Plan, the board also:
- Designated as its priorities the implementation of a robust supervision framework for financial services reform regulations, including interest rate risk, liquidity and contingency funding plans, derivative authority and capital planning and stress testing; the issuance of industry guidance related to emerging cybersecurity risks and related threats; the monitoring of issues or trends in consumer complaints to develop and promote financial literacy education and consumer protection programs; the development and communication of guidance to credit unions to explain regulatory changes and best practices; the increase of women and minority representation at all levels within the agency’s workforce, particularly within NCUA’s management ranks; and the strengthening of security programs and communications.
- By unanimous vote, the board approved a proposed rule (Part 702) to amend NCUA’s capital planning and stress testing regulation to adjust the timing of certain events in the planning and testing cycles, generally by three months. This rule only affects the five federally insured credit unions with more than $10 billion in assets. In keeping with dates used by the Federal Reserve, the FDIC, and the OCC, NCUA has moved to Feb. 15 the date by which the affected CUs must complete their stress testing. That proposal is out for 60-day comment.
- Approved a community charter for 360 FCU to serve the greater Hartford, Conn., market. The $205-million credit union will now be able to serve members from Hartford, Middlesex and Tolland counties in Connecticut. The area 360 Federal Credit Union will serve has a population of 1.2 million, which required NCUA board approval. NCUA Chairman Debbie Matz said she was dismayed to see that one-in-every-four people in the expanded market qualify as underserved, but was pleased to see that the credit union has an aggressive plan for reaching out to those markets.