NCUA to Deal with Corporates, Premium Projections and Budget
The NCUA plans to issue projections for the range of costs to credit unions next year for shoring up NCUSIF and repaying part of the Treasury Department's loan to the Temporary Corporate Credit Union Stabilization Fund at its Nov. 18 meeting.
The agency won't announce the actual amounts until next year but is giving credit unions the range so they can make plans and set aside funds, according to agency officials. For this year, the agency projected between 15 and 40 basis points and combined assessment turned out to be 25.8 basis points. The premium for the NCUSIF was 13.4 basis points and the assessment for the corporate credit unions was 12.4 basis points.
The projections are scheduled to be announced after the board hears a report from NCUA CFO Mary Ann Woodson about the health of the NCUSIF and the Corporate Stabilization Fund.
The agency is also going to issue a proposal for a new rule on corporate credit unions. According to comments made by agency officials, it will allow federally chartered corporates to assess annual membership fees and increase the amount of retained earnings. Natural person credit unions would only be permitted to join one corporate. The rule will also outline the rules for the corporate system to set up a risk mitigation committee.
The board is also slated to vote on technical corrections to the corporate credit union rule it issued in September.
The board is also scheduled to discuss and vote on the agency's budget for 2011.
The meeting is scheduled to take place at 9:00 a.m. at the agency's headquarters in Alexandria, Va.