Regulatory Flexibility a Top Priority for NCUA Vice Chairman

BOSTON-NCUA Vice Chairman Rodney Hood told a group of 50 Massachusetts credit union CEOs in Boston that regulatory flexibility is a top priority for 2006. He explained to the Massachusetts Credit Union League’s CEO Roundtable that the recent final rule would bring another 413 federal credit unions under RegFlex by instating a qualifying net worth standard of 7% rather than 9% for earned regulatory flexibility. “This rule demonstrates the Board’s belief that the agency should not micro-manage, well-managed institutions,” Hood said. “This year, I will look for ways to reduce unnecessary regulatory burdens on credit unions.” He also discussed strengthening the federal credit union charter to permit “credit unions to serve the underserved and facilitate credit union service for communities as allowed under the regulatory and statutory authority. “Credit unions have a choice of charter,” Hood stressed. “During my term, I will strive to strengthen the federal charter and support rules that make the federal charter attractive and viable for the nation’s credit unions.” Additionally, the vice chairman encouraged public comment on the proposals pending before the board. “Your comments are vital in consideration of proposed rules. It is important that we consider all comments regarding regulations proposed before the Board.”