Comments due on PCA relief extension, digital currencies

Comments on several items of relevant to credit unions are due in the next several weeks. For a complete list, visit CUNA’s Letters and Testimonies page.  

NCUA issued an interim final rule to extend COVID-19 related Prompt Corrective Action (PCA) relief through March 31, 2023. CUNA, the American Association of Credit Union Leagues, and all Leagues wrote to NCUA calling for the extension. 

Specifically, it: 

• Permits the NCUA board to issue an order to temporarily waive the earnings retention requirement for any credit union classified as adequately capitalized; and 

• Permits credit unions to submit simplified net worth restoration plans if the reduction in capital was caused by share growth resulting from a temporary condition due to the pandemic. 

Comments on the interim final rule are due April 29.  

Other upcoming deadlines include:  

• May 2: NCUA proposed rule revising the threshold for federally insured credit unions to be assigned to the appropriate regulatory office.  

• May 20: Comments on the Federal Reserve’s, “The U.S. Dollar in the Age of Digital Transformation” discussion document on central bank digital currencies.