The NCUA board on Oct. 27 will consider a final rule revisingthe agency’s Field of Membership regulations—a move that could setup a contentious fight with the banking community.

In addition to the final rule, the board also will consider aproposed FOM rule, although details of that plan will not beavailable until the board meeting.

When originally proposed, the FOM changes included amodification to the definition of service facility for multiplecommon bond credit unions to include a transactional website ormobile platform that, at a minimum, accepts deposits or loanapplications, or disperses loans.

The proposed rule would also grant FOM regulatory relief tostate chartered credit unions.

The rule didn't propose expanding the community charter corearea population limit beyond 2.5 million. However, the plan wouldexpand the rural district population limit to one million,regardless of the state in which the majority of the district'spopulation is located.

The Independent Community Bankers of America has stronglyimpliedthat if the final rule makes substantial changes to the FOMregulations, it would sue the NCUA. In addition, banking groupshave said that a battle over FOM rules could go to Capitol Hill,where they may challenge the tax-exempt status of creditunions.

Congress may consider comprehensive tax reform next year andthat could create a forum for debate over credit union taxstatus.

During the Oct. 27 meeting, the NCUA board also will receive astaff briefing on supplemental capital as well as a final ruleupdating civil penalties.

That afternoon, the board will hold a briefing on the NCUA budget plan, which calls for a $2.8million increase next year.