The National Credit Union Administration board on Wednesday approved the agency’s part in an interagency rule on supervisory guidance, codifying measures the regulator took on its own years ago and
In the meeting, held virtually and livestreamed via the agency's website, NCUA Chairman Rodney Hood noted that the rule reiterates distinctions between regulation and guidance, while making clear that citations will only be issued for violations of law and regulation or noncompliance with other enforceable measures. He added that examiners may reference supervisory guidance in writing to provide examples of safety and soundness practices, consumer protection and risk management, but the interagency proposal clarifies that supervisory guidance on its own is not enforceable and does not carry the same weight as regulation or law.
The proposed rule is not expected to provide any additional burden to credit unions in part because examiner guidance updated in 2013 differentiated between documents of resolution and examiner findings. The rule is not expected to impact NCUA’s ability to issue guidance in the future and board member Todd Harper said the proposal “will not substantively change” the regulator’s existing examination policies.
Representatives for the regulator said during the meeting that the Federal Reserve, Office of the Comptroller of the Currency, Federal Deposit Insurance Corp. and others have already voted to adopt the rule. NCUA had originally hoped to present it during its
Having received unanimous approval from the NCUA board, the proposal will now go forward for a 60-day comment period.
In a separate closed-door meeting, the board was also scheduled to discuss a pair of personnel matters. Additional details were not immediately available.
