Exam tweaks answer NCUA critics
Responding to calls for an improved exam process, NCUA Chairman Debbie Matz Tuesday released a letter to credit union that details the agency’s plans to separate Documents of Resolution from Examiner’s Findings and include documented support for DORs.
Beginning in January 2014, DORs will include a description of material problems, along with corrective actions agreed upon by examiners and credit unions.
The Exam Fairness and Reform Act, reintroduced in the House of Representatives in April, would require examiners to document reasons for exam exceptions.
“Ideally, the DOR will include corrective action plans developed cooperatively between examiners and credit union officials for concerns of the highest priority,” Matz said in the letter, which is posted on the NCUA’s website.
Matz also said failure to correct problems documented in the DOR will impact a credit union’s CAMEL and risk ratings, and may also result in enforcement actions.
Examiner’s findings will include less urgent problems the credit union can address in its normal course of business, Matz said.continue reading »