NCUA chairman outlines goals for the agency at conference

National Credit Union Administration Acting Board Chairman Mark McWatters laid out the agencies goals for the future, which include plans to streamline operations and provide regulatory relief.

J. Mark McWatters

Speaking at the National Association of Federally Insured Credit Unions annual conference last week, McWatters outlined steps NCUA has already taken to reduce burdens and better align regulation with the realities of 2017. Among them, he reported that NCUA is streamlining the examination process. He also said staff is currently studying the possibility of closing the Stabilization Fund this year. Further, McWatters said the agency is reviewing its operational structure and budget to find economies.

The over-arching goal, McWatters said, is to provide credit unions with an efficient regulatory structure that returns decision-making to the ground level while adhering to NCUA’s statutory duty to protect America’s 108 million credit union account holders.

McWatters also discussed the Treasury Department report on regulatory reform released last week, saying he was pleased the report’s recommendations regarding NCUA and credit unions. He said the Treasury’s plan is consistent with the policies NCUA is advancing.

Closing the Stabilization Fund in 2017 remains a top priority, McWatters said. NCUA staff has been working on a plan that the agency’s board expects to receive in the coming weeks. That closure would begin the process of returning surplus funds to federally-insured credit unions through a Share Insurance Fund dividend in 2018.

McWatters said the Board has already acted on items in his agenda, approving proposed rules to provide greater member communication in voluntary mergers and to improve the appeals process. He also wants to act in the areas of cyber security, combatting fraud, and finding ways to help smaller and low-income credit unions thrive.