MADISON, Wis. (10/3/14)--With a second comment period slated for the National Credit Union Administration's risk-based capital (RBC) proposal, the Credit Union National Association and state credit union leagues are appreciative of both the regulator's latest action and credit unions' dedication to making their voices heard.
On Monday, NCUA Chair Debbie Matz announced she will request a revised proposed RBC capital rule be issued with a new comment period (News Now Sept. 29). Since it was proposed Jan. 23, the RBC rule has drawn comments from CUNA, members of the U.S. House of Representatives and Senate, state credit union leagues, credit unions and other stakeholders. (See related story: Nussle commends NCUA for 2nd RBC comment period.)
"We applaud the agency's leadership in their response to the outpouring of feedback from credit unions and legislators," said Troy Stang, president/CEO, Northwest Credit Union Association (Anthem Sept. 29). "I trust the agency's leadership will diligently take the feedback from the industry to heart and utilize all the tools at the agency's disposal to present a much more appropriate rule in this second round."
Other league presidents weighed in with positive reactions.
"Chairman Matz held Listening Sessions on RBC this past summer and has displayed that she indeed did listen to our credit unions impacted by the proposed rule," said Sean Hession, CEO, Illinois Credit Union League. "She has gone beyond the 'required' to the 'sensible and appropriate' displaying true leadership on this issue."
Over the summer, NCUA held three Listening Sessions during which the most talked-about topic was the RBC proposal.
"I commend Chairman Matz for taking this step," said Paul Gentile, president of the Massachusetts, New Hampshire and Rhode Island leagues. "Affording the credit union system the opportunity to review a revised rule and comment on it is essential to the development of a sound and workable risk-based capital rule.
"The credit union community spent a great deal of time and energy engaging with NCUA on suggested changes that will create an effective risk-based capital structure. That process will continue with this next step," he added.
Credit unions' commitment to making their voices heard also played a role in the NCUA decision.
"The perseverance of California and Nevada credit unions has not gone unnoticed," said Diana Dykstra, president/CEO, California and Nevada Credit Union Leagues (CU Weekly Sept. 30). "This is a direct result of many hours devoted to comment letters and meetings with congressional representatives and NCUA board members--at home and on Capitol Hill. I personally want to thank every credit union professional for their enduring efforts and vision."