Cornerstone Supports NCUA Board and Regulatory Updates

Last week, Cornerstone submitted a letter supporting the National Credit Union Administration’s (NCUA) proposed rule changes to expand board member expense reimbursements. The proposal would clarify that credit unions may reimburse reasonable dependent care expenses, such as childcare, while volunteer board members carry out their official duties. See the letter here.

Additionally, Cornerstone submitted a series of comment letters to the NCUA in support of regulatory updates designed to reduce administrative burdens and increase operational flexibility for credit unions.

Specifically, Cornerstone supports proposals to:

• Remove the requirement for a written plan when public unit and non-member shares exceed a certain threshold.
• Eliminate the maximum borrowing authority rule, which is redundant since federal credit unions are already capped by statute and state-chartered credit unions follow applicable state laws.
• Remove the 30-day notice requirement for ending supplemental share insurance coverage, giving credit unions more flexibility while still allowing them to set their own notification policies.
• Eliminate certain disclosure requirements for non-member accounts at state-chartered credit unions.

These proposals demonstrate a continued effort to modernize regulations while maintaining safety and soundness across the credit union system. See the letters here.