Federal credit unions can reimburse associate and emeritus directors for training and training-related expenses if they are relevant to the position and if the person’s service to the credit union isn’t merely honorary.
That’s the opinion of NCUA Associate General Counsel Hattie M. Ulan as expressed in a letter to Credit Union Executive Society President/CEO Fred Johnson.
She noted that “the restrictions in the FCU Act against compensation of board and committee members do not bar reimbursement of payment of appropriate training expenses and related travel expenses.’’
Ulan noted that in previous opinions the agency concluded that volunteer members of nonvoting advisory panels couldn’t be reimbursed for expenses. However, the agency now believes that as long as the conditions established in the Federal Credit Union Act are met, such reimbursement is permissible.