Board Action Bulletin
ALEXANDRIA, Va. (Sept. 20, 2018) – The National Credit Union Administration Board held its eighth open meeting of 2018 at the agency’s headquarters today and unanimously approved two items:
The Chief Financial Officer briefed the Board on the second-quarter performance of the National Credit Union Share Insurance Fund, which continued recent growth trends.
The Office of the General Counsel briefed the Board on the adoption of a resolution to appoint two administrative law judges in the Office of Financial Institution Adjudication.
As part of the NCUA’s regulatory relief agenda, the Board approved a proposed rule (opens new window) (Part 722) to amend the agency’s real estate appraisal requirements for certain transactions.
The proposed rule would provide a measure of regulatory relief and increased clarity by:
Comments on the proposed rule must be received within 60 days of publication in the Federal Register.
The National Credit Union Share Insurance Fund (opens new window) posted a net income of $32.5 million in the second quarter of 2018, primarily due to the strong investment income earnings.
The Share Insurance Fund’s net position remained at $15.0 billion. As of June 2018, the calculated equity ratio is 1.35 percent, based on insured shares of $1.1 trillion. Second-quarter investment and other income was $76.0 million. Operating expenses were $47.5 million. The provision for insurance losses decreased overall by $4.0 million.
For the second quarter of 2018, the Chief Financial Officer reported:
Three federally insured credit unions failed through the end of the second quarter of 2018, compared to two through the end of the second quarter of 2017. Total losses associated with credit union failures are $1.5 million through the end of the second quarter, compared to $3.8 million through the end of the second quarter of 2017.
The second-quarter figures are preliminary and unaudited.
The Board approved a request from the Texas Credit Union Department to revise its member business lending rule (opens new window) to provide parity with the NCUA’s rule.
Under the NCUA’s rule, states that wish to have their own versions must receive Board approval. The NCUA Board originally approved the Texas member business lending rule in 1999 and has approved subsequent changes, most recently in December 2016.
The revised Texas rule will apply to both federally insured and privately insured, state-chartered credit unions in Texas.
The NCUA Board, by notation vote on Aug. 28, 2018, approved the appointment of two administrative law judges (opens new window) in the Office of Financial Institution Adjudication.
The OFIA is the office that houses administrative law judges and staff for administrative proceedings conducted by the NCUA, the Federal Deposit Insurance Corporation, the Office of the Comptroller of the Currency, and the Federal Reserve Board. A recent U.S. Supreme Court decision in Lucia et al. v. Securities & Exchange Commission held that administrative law judges must be appointed by the head of the agency in order to comply with the Constitution’s Appointments Clause, requiring the NCUA’s procedural action.
The NCUA tweets all open Board meetings live. Follow
@TheNCUA (opens new window) on Twitter, and access Board Action Memorandums and NCUA rule changes at
www.ncua.gov. The NCUA also live streams, archives and posts
videos of open Board meetings online.
WASHINGTON – Today, the U.S. Department of the Treasury (Treasury), as Chair of the Committee…
WASHINGTON—Today, the U.S. Department of the Treasury’s Community Development Financial Institutions Fund (CDFI Fund) and…
Washington – The findings from the annual survey of U.S. portfolio holdings of foreign securities…
WASHINGTON – The U.S. Department of the Treasury hosted a roundtable on October 30 with…
WASHINGTON – The United States and the People’s Republic of China held the sixth meeting…
WASHINGTON — Today, the Department of the Treasury’s Office of Foreign Assets Control (OFAC) sanctioned…