The NCUA Board has approved a 30-day extension of the comment period for the proposed rule updating the definition of a “small entity.”
The proposed rule, which would increase the maximum asset size for a small credit union from $10 million to $30 million, would grant additional regulatory relief to more than 1,600 credit unions.
The original public comment period was scheduled to close Oct. 26, but CUNA asked in an Oct. 18 letter for an additional 30 days to analyze the proposal. The NCUA didn’t specifically cite the CUNA request, saying in a release “some interested parties have indicated they needed additional time to prepare and submit comments.”
CUNA Vice President and Deputy General Counsel Mary Mitchell Dunn thanked the NCUA for the extension, saying “given the heavy load that credit unions have right now in attempting to respond not only to NCUA, but to other regulators such as the CFPB, about proposed, important regulations, the agency’s action gives credit unions an opportunity to be more thorough in their commentary.”
The new deadline will be Nov. 26, the regulator said.
The NCUA Board voted during its Sept. 20 meeting to issue a proposed rule updating the definition of a “small entity” under the Regulatory Flexibility Act to include federally insured credit unions with assets below $30 million. It announced Monday that it had approved the extension by notation vote.
The proposed rule, introduced by the NCUA Board during its Sept. 20 meeting, would require the agency to more thoroughly evaluate the effect of proposed rules on small credit unions below the revised proposed threshold, including the proposed emergency liquidity regulation.
The NCUA said the rule would also provide regulatory relief by excluding more credit unions from risk-based net worth requirements.