NCUA Seeks Comments on Sweeping Regulatory Reform Plan

Four-Year Plan Maps a “Significant and Comprehensive Relief Effort”

ALEXANDRIA, Va. (Aug. 16, 2017) – The National Credit Union Administration is inviting credit union stakeholders to read and comment on a package of regulatory reforms recommended by an internal agency task force.

The task force has recommended changes that would be adopted in the coming four years to clarify, improve, revise, or eliminate regulations. The NCUA Board approved posting the proposal in the Federal Register for a 90-day comment period, and a copy of that notice is available on the agency’s website here

.

“The need for a forward-looking regulatory structure that offers meaningful relief without undermining safety and soundness is quite clear,” NCUA Board Chairman J. Mark McWatters said, “and these recommendations serve as a roadmap for a thoughtful process to achieve that goal. This undertaking represents a more significant and comprehensive regulatory relief effort than the agency has pursued in the past. We initiated this effort in the spirit of the administration’s executive order requiring regulatory review, even though the NCUA is not covered by the order.”

“We have made significant progress in the area of regulatory relief in the years following the financial crisis, and this proposal takes that effort to another level,” Board Member Rick Metsger said. “A great deal of work went into developing these recommendations. The task force scoured all the agency’s regulations, looking for ways to make improvements. I hope credit union stakeholders will take time to review this plan carefully and offer comments.”

The agency’s regulatory reform task force was created earlier this year after the NCUA, an independent federal financial institutions regulator, voluntarily chose to comply with the spirit of Executive Order 13777, which requires federal agencies to conduct regulatory reviews.

The task force’s recommendations assess regulatory changes in terms of the time and resources necessary to implement them and the potential benefit to credit unions. All regulatory changes will require an affirmative vote by the NCUA’s Board.

Regulatory review is already part of the NCUA’s culture. Since 1987, the agency has conducted a three-year rolling review of all its rules. Though not required by law, the NCUA also has participated in the Economic Growth and Regulatory Paperwork Reduction Act regulatory review process. If the internal task force’s recommendations are adopted by the Board, they would, in effect, supersede those previous efforts.

The agency already has taken steps towards reform in several areas covered in the proposal, including field-of-membership, alternative capital, asset securitization, and appeals to the NCUA’s supervisory review committee.

IR Press

Share
Published by
IR Press

Recent Posts

Treasury Issues Final Rule Expanding CFIUS Coverage of Real Estate Transactions Around More Than 60 Military Installations

WASHINGTON – Today, the U.S. Department of the Treasury (Treasury), as Chair of the Committee…

4 days ago

U.S. Department of the Treasury’s CDFI Fund and Federal Housing Finance Agency Collaborate to Bolster CDFI Access to Capital

WASHINGTON—Today, the U.S. Department of the Treasury’s Community Development Financial Institutions Fund (CDFI Fund) and…

4 days ago

Report on U.S. Portfolio Holdings of Foreign Securities at Year-End 2023

Washington – The findings from the annual survey of U.S. portfolio holdings of foreign securities…

5 days ago

READOUT: U.S. Department of the Treasury Hosts Roundtable Discussion on the Financial Sector’s Response to Recent Hurricanes

WASHINGTON – The U.S. Department of the Treasury hosted a roundtable on October 30 with…

5 days ago

READOUT: Sixth Meeting of the Financial Working Group Between the United States and the People’s Republic of China

WASHINGTON – The United States and the People’s Republic of China held the sixth meeting…

5 days ago

Treasury Sanctions Key Members of La Linea, a Group Involved in Trafficking Fentanyl into the United States

WASHINGTON — Today, the Department of the Treasury’s Office of Foreign Assets Control (OFAC) sanctioned…

5 days ago