Harper indicates capitalization of interest, derivatives rules may be nearing readiness for action

The chairman of the federal credit union regulator on Thursday said staff are “working through” some of the agency’s pending proposals and could, in the near future, have two in particular – on the capitalization of interest, the other on derivatives – ready for action in the near future.

National Credit Union Administration (NCUA) Board Chairman Todd Harper made the comments in response to Board Member Rodney Hood’s stated desire for a bipartisan approach to have board agendas “that provide us with opportunity to have robust rulemaking authority.”

Thursday’s open meeting of the board included no action items, only briefings on the agency’s cybersecurity assessment and the board’s recent adoption, by notation vote, of a rule that continues eased prompt corrective action measures through March 2022, in consideration of the ongoing challenges posed by the coronavirus pandemic.

Harper replaced Hood as chairman in January and is the lone Democrat on the board, which also includes Vice Chairman Kyle Hauptman.

The capitalization of interest and derivatives proposals were issued by the board’s unanimous vote in November and October.

NCUA Board Briefed on Emerging Cybersecurity Threats, PCA Relief Measures