Two final rules – and proposed regulation – issued by credit union regulator

Two final rules – on regulatory appeals procedures for appealing material supervisory determinations, and on the agency’s committee for supervisory review– and a proposed regulation on capital planning and stress testing, all from the National Credit Union Administration (NCUA), are scheduled for publication Monday.

The final rules both take effect Jan. 1; comments on the proposal are due in 60 days.

The rule on regulatory appeals is intended to streamline and replace the process for appeals to the NCUA Board for those agency regulations that have existing embedded appeals processes. The procedures would apply in cases in which a decision rendered by a regional director or other program office director is subject to appeal to the board.

Under the final rule on the agency’s supervisory review committee, subjects appealable to the committee are expanded, and credit unions have an option for additional review by the Director of NCUA’s Office of Examination and Insurance (E&I).

Additionally, as pointed out during the board meeting, an oral hearing could be considered by the full NCUA Board – a first for the agency, and (according to NCUA staff) a “trailblazing” move for federal regulators.

The proposal on capital planning and stress testing would remove some of the planning and testing requirements now applicable to federally insured credit unions with $10 billion or more in assets.

The proposal also, according to NCUA, would make the agency’s capital planning and stress testing requirements more efficient (for both the credit unions and NCUA) by authorizing some credit unions to conduct their own stress tests in accordance with agency requirements and allowing those credit unions to incorporate the stress test results into their capital plan submissions.

NCUA final rule: appeals procedures

NCUA final rule: supervisory review committee

NCUA proposed rule: capital planning and supervisory stress testing