The NCUA on Monday informed credit unions that the agency is extending the flexibility for federal credit unions to conduct meetings virtually in 2022.
“The COVID-19 pandemic continues to affect federal credit unions and their members,” the letter to credit unions stated. “As a result, credit unions continue to need flexibility to ensure the safety of staff and members.”
At the start of the pandemic in March 2020, the NCUA told federal credit unions that they may adopt by a two-thirds vote of its board of directors a bylaw amendment to Article IV without seeking further bylaw approval from the NCUA.
The “emergency exception to in-person quorum requirement” allows for a credit union to hold its annual meeting of the members and special member meetings for authorized purposes other than member expulsion under Article XIV of these bylaws, 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:
- at least one of the following is located in an area where a federal, state or local authority has declared a state of emergency or major disaster — all or part of a community the credit union serves, or the credit union’s headquarters;
- the credit union has the technological capacity to facilitate virtual meeting attendance, voting and participation;
- members receive at least seven days’ advance notice of the change to a virtual meeting format and appropriate instructions for how to join, participate and vote during the virtual meeting; and
- the NCUA has issued general or specific guidance notifying the credit union that it is appropriate to invoke this bylaw provision.
The letter also states that federal credit unions have flexibility to postpone their annual meetings and have options for elections and flexibility regarding distribution of member notices.