CCUL Headlines: Risk & Compliance

NCUA requests comments on proposed rule to update, clarify FCU bylaws

Thursday, January 3, 2019   (0 Comments)
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To fully represent the views of member credit unions, the Carolinas Credit Union League seeks comments on the NCUA's proposed rule to update and clarify the federal credit union bylaws (FCU bylaws) found in NCUA Regulations Part 701, Appendix A. In addition to the substantive changes, the proposed rule adds staff commentary to clarify provisions, and updates provisions to conform to NCUA’s General Counsel legal opinions. The proposed changes to FCU bylaws will not be required--federal credit unions may adopt the new bylaws, retain their current bylaws, or adopt a combination of the two sets.

CCUL is specifically interested in comments on the following questions.

  1. In an effort to provide a more timely and efficient bylaw amendment process, NCUA is proposing that the Office of Credit Union Resources and Expansion (CURE) respond to an FCU request for bylaw change within 90 calendar days. If CURE does not approve the request within 90 calendar days, the request will be deemed denied by NCUA (See page 56641 of the proposed rule for discussion).

    Should the NCUA adopt another time period, such as 60 calendar days, to ensure CURE processes the proposed bylaw amendments in a timely manner?
  2. The proposed rule includes an expanded discussion in the staff commentary of the actions an FCU may take to address abusive and disruptive members (See pgs 56641- 56642 of the proposed rule for discussion). The staff commentary also states that an FCU may take immediate action for members that are “violent, belligerent, disruptive or pose a threat to the credit union, its staff or other members.”

    Should NCUA define these terms or clarify these terms, and if so do you have any suggestions?

    Do you have any specific examples that you would like NCUA to incorporate into the staff commentary?

  3. The proposed rule includes changes and clarifications to the election process (See pgs 56643-56644 of the proposed rule).

    Should the bylaws require the nominating committee to widely publicize to all FCU members the call for nominations by any medium the FCU determines, and to interview every member who volunteers to serve?

    Should FCUs be required to post on their websites the nominations by the nominating committee along with those nominated by petition?

Please refer to the proposed rule and the current rule, and email your comments to Jeanne Couchois by Wednesday, January 9.

 


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