The NCUA board will vote on finalizing changes to its risk-based capital at its Oct. 18 meeting, according to the agenda released by the agency Thursday. CUNA supports the proposal, but has expressed numerous concerns about the agency’s RBC approach in general.
“NCUA should be commended for its work on this proposal, particularly Chairman McWatters, who opposed the original RBC rule,” said CUNA Chief Advocacy Officer Ryan Donovan. “However, we hope the board recognizes there is more work to be done to ensure the risk-based capital standard credit unions are subject to is appropriate to the risk profile of the system.”
NCUA’s proposal would:
-Delay the rule’s implementation to Jan. 1, 2020; and
-Raise the threshold for risk-based capital compliance to $500 million in assets, up from $100 million.
The other item on the Oct. 18 agenda is a proposed rule on federal credit union bylaws.