Washington (May 14, 2014 ) -National Association of Federal Credit Unions (NAFCU) Senior Vice President of Government Affairs and General Counsel Carrie Hunt issued the following statement regarding National Credit Union Administration (NCUA) Board Member Michael Fryzel’s response to NAFCU and CUNA this week supporting an extension of the public comment period on the agency’s proposed rule on risk-based capital.
“We appreciate Board Member Fryzel’s support to extend the public comment period on this critical issue,” said Hunt. “We continue to believe that given the magnitude of the potential negative impact of this proposal, it would be in the best interests of all stakeholders for the NCUA Board to officially address this matter and operate in a collaborative manner to extend the deadline for comment.”
NAFCU and CUNA wrote the entire NCUA Board twice seeking a 90-day extension of the May 28 comment deadline. In recent letters responding to the request, NCUA Board Member Rick Metsger, did not formally decline the request but did note the proposed rule has been out since Jan. 23, longer than any other rule in the past 15 years.
NCUA Chairman Debbie Matz has declined to extend the comment period for similar reasons, and NCUA General Counsel Mike McKenna also weighed in with a letter addressing NAFCU’s request that the NCUA Board address this issue at an open meeting. McKenna noted Matz’s decision not to put the matter before the full board for a vote.
Fryzel,in his letter to NAFCU President and CEO Dan Berger and CUNA President and CEO Bill Cheney, said if the question of more comment time came before the board for action, he would vote in favor of it. Meanwhile, he said, “I am confident that, when the NCUA finalizes the risk-based capital rule, it will include significant changes from what has been proposed, and will incorporate the suggestions of your trade associations and credit unions across the country."
NAFCU continues to press for a comment period of sufficient length for credit unions to analyze all aspects of the rule. Additionally, more than 320 members of the House of Representatives – an overwhelming, bipartisan majority in that chamber – have signed onto a letter to Matz urging more comment time and raising other concerns about the proposed rule’s impact on credit unions.
The National Association of Federal Credit Unions is the only national organization that focuses exclusively on federal issues affecting credit unions, representing its members before the federal government and the public.