ARLINGTON, Va.–A last-minute decision by NCUA Chairman Rodney Hood to pull a proposal related to risk-based net worth proposal from last week’s agency board meeting surprised many, but what it actually means is uncertain, according to NAFCU.
As CUToday.info reported here, http://www.cutoday.info/site/Fresh-Today/Risk-Based-Net-Worth-Proposal-Pulled-from-Board-Agenda-Feedback-Requested-on-Exam-Program Hood later stated he removed the proposal because he lacked a second vote. But NAFCU EVP/General Counsel Carrie Hunt said of the decision, “We’re still not 100% sure what NCUA was going to do” with the plan.
“We still support credit unions having more capital flexibility, and still think credit unions need additional relief,” said Hunt. “And we continue to disagree with how NCUA defines a ‘complex’ credit union.”
Hunt also offered responses to a number of other questions from CUToday.info:
- Hunt said credit unions participating in the numerous state-level events the association has been hosting virtually have primarily expressed interest in the economy and the coronavirus pandemic, and what it means to their respective economies. Credit unions have also had questions around the Paycheck Protection Program loans and how the forgiveness aspect of the program is ultimately going to work.
- When it comes to the PPP on Capitol Hill, Hunt said there are also numerous questions still being debated, especially since the program and subsequent changes that have been made are still so new.