WASHINGTON (5/28/14)--The comment deadline has arrived. Stakeholders' views on the National Credit Union Administration's risk-based capital plan are due to the agency by 11:59 p.m. (ET) today.
The NCUA already has more than 1,100 letters in hand.
The hundreds of comments by credit unions are joined in the NCUA's files by many other voices, including a joint letter representing the views of more than 320 members of the House and individual letters of concern from five senators. (See related story: MBLs at risk with proposed RBC change, Udall, Scott write.)
The agency also has heard from agricultural and community groups, who warn of the negative impact the proposal could have on consumers if credit union funds are diverted away from serving members. Reflecting concerns of many credit unions, the groups warned that unreasonably high capital requirement to reach a "well-capitalized" designation (10% of assets), and what some say are faulty asset risk weights, could result in too much capital and dramatically limit credit union growth in the long term.
Credit Union National Association President/CEO Bill Cheney underscored that the comments received by the NCUA show a deep level of thought--and of concern--surrounding this proposal.
"An incalculable number of work-hours have been dedicated, within the credit union community and beyond, to detailing changes that are needed to the NCUA plan, if the agency is determined to move forward with a proposal," Cheney said.
"The number of comment letters alone reflects that this is the most significant proposed rulemaking that credit unions will face likely for years to come," he added.
The CUNA leader also urged credit unions to remain involved in this regulatory discussion going forward.
"All three NCUA board members have said they anticipate changes to the plan before it is finalized--and credit unions have to remain engaged in affecting those changes," he said, reminding that the agency is conducting three Listening Sessions on the proposal now that the comment period is drawing to a close.
Use the resource links for more on the RBC plan and for NCUA's Listening Session schedule.