Perception and Reality Will Shape Decker’s Fate
The Obama administration announced on Oct. 21 the nomination of Carla M. Decker, CEO of District Government Employees FCU, to replace NCUA Board Member Gigi Hyland, whose term has expired. Reaction I’ve gathered from around the industry has been highly mixed. In general, a great diversity of thinking exists across the industry as to what’s important and relevant. That’s good. In formulating your own opinions, there are several pieces to consider.
News Update, March 13, 2012: White House Pulls Decker Nomination
DGE FCU received $1.5 million in TARP money, included in its $4.8 million in capital, which really stuck in the craw of another CEO at a large credit union. Politically, nominating Decker highlights the fact that, no, credit unions did not fix their own problems. The CDCI was there to boost economic development and DGE FCU took advantage, as did dozens of other credit unions, and it shouldn’t be faulted for using the funds. However, the credit union is now raised to a much higher profile and standard and that needs to be taken into consideration with this nomination.
Additionally, the CEO at the larger credit union was incredulous to think that the CEO of a $45 million credit union could possibly comprehend what goes on in larger institutions. DGE FCU has no mortgages on the books, a key problem area for the NCUA, credit unions and financial institutions overall. DGE FCU’s financials indicate that the credit union is not involved in business lending.