Week Ahead: NCUA board meetings and a battle to fund the government
The National Credit Union Administration will convene twice this week — once to discuss its budget and a second time for its regular monthly meeting.
NCUA will meet on Wednesday to review the proposed 2020-2021 budget before they vote on it next month. The revised 2020 budget totals $347.7 million while the 2021 requested budget inches up to $358.1 million. The credit union regulator's budget has crept up throughout the years as opposed to its bank counterparts, which have decreased their budgets over time.
NCUA’s November board meeting will take place on Thursday. The agency plans to review a quarterly report on the Share Insurance Fund while addressing a proposed rule on real estate appraisals. The board has worked for months to amend the agency's rule to make it clearer and increase the threshold for an appraisal for a commercial real estate loan from $250,000 to $1 million. Other regulators have already taken this step.
The board is also expected to issue a final rule on a section of its Interpretive Ruling and Policy Statement aimed at those previously convicted of a criminal offense involving dishonesty or a breach of trust. The change would “expand career opportunities for those who have demonstrated remorse and responsibility for past indiscretions.” NCUA Chairman Rodney Hood has previously advocated for allowing individuals convicted of certain low-level crimes to work at credit unions.
The House and the Senate are both in session this week and will be working on a budget to avoid another government shutdown. Government funding expires on Nov. 21.
“In the unfortunate situation where the government does shut down, we do feel confident — as happened earlier this year — that our members will step in to support their members in the time of a government shutdown,” Eli Joseph, Credit Union National Association’s deputy chief advocacy officer, said during a press call on Monday.
A final draft of the National Defense Authorization Act is also expected sometime before year’s end, according to a spokesperson at the National Association of Federally-Insured Credit Unions. Credit unions have waged a battle with banks over the issue of getting space rent free on military bases. Currently credit unions enjoy this benefit but banks do not.
The House Financial Services Committee will host four hearings this week, covering practices of private funds, regulator efforts to promote minority depository institutions, the current state of resident health and safety in Department of Housing and Urban Development housing and the role of big data in financial services.
The Senate Banking Committee also will hold a hearing to consider the Terrorism Risk Insurance Program Reauthorization Act of 2019 on Wednesday.