During the second part of a two-day meeting on Friday, the NCUA Board approved the operating, capital and National Credit Union Share Insurance Fund budgets for 2021 and 2022.
Rodney Hood, chairman, and Kyle Hauptman, both Republicans, voted to approve the budget, while Todd Harper, a Democrat, opposed it. During the board’s November meeting, Harper said he could not support the budget that Hood proposed, with Harper saying he wanted a dedicated consumer protection staff at the agency.
Combined, the 2021 operating, capital, and National Credit Union Share Insurance Fund administrative budgets will be $341.4 million, while the combined budgets for 2022 will be $343.5 million, according to the NCUA. The budget supports a total of 1,192 full-time employees for 2021, and 1,187 full-time employees in 2022.
The board also unanimously approved a final rule that amends the NCUA’s regulation governing assessment of an annual operating fee to federal credit unions.
The final rule:
- amends the current rule to exclude from total assets any loan a federal credit union reports under the SBA’s Paycheck Protection Program (or similar future programs approved for exclusion by the NCUA Board);
- deletes from the current regulation references to the Credit Union System Investment Program and the Credit Union Homeowners Affordability Relief Program, both of which no longer exist;
- amends the period used for the calculation of a federal credit union’s total assets; and
- incorporates minor technical changes.
Additionally, the board unanimously approved a final notice on the overhead transfer rate and the operating fee schedule methodologies. The approval to issue a final notice includes utilizing the existing principles-based overhead transfer rate methodology adopted in 2017 and clarifications and changes to the agency’s methodology in determining how it apportions operating fees charged to federal credit unions, according to the NCUA.
Also on Friday, the board designated Hauptman as vice chairman, effective immediately.
Highlights of day one of the board meeting can be accessed on the New York Minute website. The board’s next meeting is at 10 a.m. on Jan. 14, which will be livestreamed on the NCUA website.