The NCUA Board will hold its mid-year budget review next week,as well as vote on a proposed rule to eliminate the 5% limitationon federal credit union investments in fixed assts.

The agency released its July 23 open meeting agenda Thursday,which showed the proposed elimination as one of several topics tobe discussed at the meeting.

NAFCU released an announcement stating, in part, that itsupports relief for federal credit unions from the fixed-assetslimitation. The rule would remove the limit, which is currently inplace for credit unions with $1 million or more in assets, as wellas provisions relating from the cap.

The NCUA proposed the new rule in March in its third openmeeting of 2015. The rule would also eliminate provisions relatingto waivers from the aggregate limit, simplify the partial occupancyrequirements by establishing a single six-year period and removingthe current 30-month requirement, and move oversight of federalcredit union fixed-asset ownership from regulation to thesupervisory process.

If adopted, the new rule would affect more than 3,700 federalcredit unions.

NAFCU also called for a line-by-line scrutiny of the NCUA'sbudget, including employee salaries and benefits. The NCUA budgetmade headlines recently after the agency finalized a five-year collective bargaining agreement with the NationalTreasury Employees Union; NCUA Board Member MarkMcWatters vocalizedhis disapproval of the agreement process.

Earlier this week, two high-ranking officials confirmed that NCUA Board Chairman Debbie Matz willtestify July 24 on the NCUA budget before the House FinancialServices Subcommittee on Financial Institutions and ConsumerCredit.

Other items listed on the board's agenda included the NationalCredit Union Share Insurance Fund, the NCUA Guaranteed Notesperformance report and Corporate Stabilization Fund assessmentdetermination, Capital Planning and Stress Testing schedules, andmid-year operating budget reprogramming.

The board meeting will be held at 10 a.m. EST at 1175 DukeStreet in Alexandria, Va. The webcast will also be available onlineat ncua.gov.