Little Changes, Big Impact
Sometimes it’s the little changes that end up making the biggest difference.
At its March 24th meeting, the NCUA Board unanimously approved the creation of two IT positions for the purpose of modernizing the collection and dissemination of data among NCUA and field staff. This may not sound like a big deal, but when the initiative is finalized it’s envisioned that examiners and credit union personnel will have quicker access to necessary information. If it works properly, it will probably result in fewer examiners having to park in your offices for a shorter amount of time. It could even, some speculate, pave the way for an 18 month exam cycle.
To show you what a great idea this is, Board gadfly McWatters questioned NCUA staff as to whether they thought two staff positions over a four year period were sufficient to get the job done. Good luck and Godspeed, this initiative makes a lot of sense.
Investment Authority Expanded
Also at the meeting, the NCUA Board finalized regulations amending 12 CFR 703.14(f)(5) to remove the requirement limiting federal credit unions to investing in bank notes that have “original” weighted average maturities of less than five years. The amendment means that the five year restraint is still in place but NCUA argues that the amendment will provide FCUs with some mandate relief since the current regulations tie a bank note’s maturity to its original date of issue. The amendments will allow FCUs to purchase notes from a larger pool.