NCUA Board votes on RBC2 today
The NCUA Board will vote on its final risk-based capital rule during its open meeting today. If approved as proposed, the rule is expected to take effect Jan. 1, 2019.
NAFCU has consistently opposed this rulemaking and urged withdrawal, and it has strongly urged the agency to consider the impact the rulemaking will have on the credit union industry – in particular the regulatory burden and costs it will impose on an already extremely well-capitalized industry.
NAFCU continues to work in support of H.R. 2769, a bill that would require NCUA to review RBC2 and report back to Congress on the agency’s authority to issue a two-tier, risk-based-capital rule and the impact it would have on credit unions and their members.
Earlier this month, that bill cleared the House Financial Services Committee in a bipartisan vote of 50-9. Its sponsors, Reps. Stephen Fincher, R-Tenn., Bill Posey, R-Fla., and Denny Heck, D-Wash., urged NCUA last week to voluntarily undertake the study before moving forward on RBC2. NCUA Chairman Debbie Matz said in a letter Thursday that the agency will submit a report on RBC2 issues “shortly after” the board meeting today. This week, House Financial Services Chairman Jeb Hensarling, R-Texas, wrote NCUA Chairman Debbie Matz noting the committee vote and urging again that the agency not move forward with a final rule before further study can be done.continue reading »