Revisions in the agency’s chartering and field of membership manual in recent years are reflected in revised guidance and templates issued Wednesday in a Letter to Federal Credit Unions from the National Credit Union Administration (NCUA).
The guidance, in letter 21-FCU-01, replaces the guidance contained previously in 2011 (through letter 11-FCU-03). The agency noted that revisions to the chartering/FOM manual since the issuance of the 2011 guidance provided more flexibility to federal credit unions, including a streamlined business plan for use when applying to expanded services to an area that borders a community already served by a credit union.
Included in Letter 21-FCU-01 are links to templates used for the business and marketing plan an FCU must include with its request to convert from a multiple-common-bond or other type of field of membership to a community field of membership; a streamlined business marketing plan of a current community chartered credit union to seek expansion to a bordering area; and pro forma financial statements used to document financial projections when seeking conversion to a community charter.
The letter also addresses when a credit union is required to demonstrate common interests or interaction; and the need to document decisions not to include the “core” (the most populated county or named municipality) of a core-based statistical area proposed for inclusion in the credit union’s proposed community.