NCUA issued a Letter to Federal Credit Unions (20-FCU-02) Friday announcing greater flexibility in conducting annual meetings due to the coronavirus (COVID-19) outbreak. CUNA requested guidance on virtual board and membership meetings in a March 12 letter to NCUA.
Effective immediately, a federal credit union may adopt by a two-thirds vote of its Board of Directors an amendment to Article IV without undergoing further bylaw approval processes with NCUA.
The amendment would allow a credit union to hold its annual meeting of the members, and special member meetings for authorized purposes other than member expulsion, “virtually and without an in-person quorum if all of the following conditions apply and are certified in meeting minutes by a resolution of the majority of a quorum of the board of directors:
According to NCUA, general quorum requirements must still be met for all-virtual meetings.
A federal credit union also has flexibility to postpone its annual meeting. While there is no law or regulation that prohibits a federal credit union from postponing its annual meeting, it should provide notice of the rescheduled meeting as required in the bylaws.