PRESS RELEASE
October 18, 2006
ARLINGTON, VA — NASCUS Chairman Linda Jekel (WA) made an oral statement on behalf of NASCUS and state regulators at the National Credit Union Administration’s (NCUA) Sixth Budget Briefing and Public Forum on October 18.
Jekel, the director of credit unions for Washington state, emphasized that the safety and soundness of the nation’s credit unions is enhanced by cooperation between state and federal regulators. As credit union regulators, Jekel remarked that state agencies and the NCUA address many of the same critical issues.
In NASCUS’ comments, Jekel began by expanding on successful examples of cooperation and communication. She highlighted the efforts of state and federal regulators to provide information to the U. S. Congress on the credit union system.
NASCUS also stressed the value of interagency dialogue. Jekel referenced the recent the sessions between state regulators and the NCUA at NASCUS’ 2006 State System Summit. In addition, she highlighted the progress being made to update the NASCUS/NCUA Document of Cooperation. The Document of Cooperation reflects state and federal regulator commitment to improving the examination and supervision processes for state-chartered credit unions.
“The bottom line is that these examples of cooperation demonstrate the progress that can be made when state and federal regulators work together toward a common goal,” said Jekel.
Another area of NASCUS’ comments focused on the benefits of a collaborative rule-making process for state-chartered, federally insured credit unions. She said that upfront dialogue on the potential impact of regulations creates more efficiency in the rule-making process. Jekel also recommended that the rules affecting federally insured, state-chartered credit unions be separated into a one self-contained section of NCUA rules to promote efficiency and ensure compliance.
One of NASCUS’ primary interests in NCUA’s budgetary process is the cost of providing federal deposit insurance through NCUA’s administration of the National Credit Union Share Insurance Fund (NCUSIF).
“NASCUS’ goal is to gain a better understanding of the allocation between NCUA’s regulatory and insurance responsibilities,” said Jekel. “The NASCUS leadership welcomes the opportunity to meet with NCUA for positive and constructive dialogue on these issues.”
In closing, Jekel stated that credit unions look to state and federal regulators to create regulations that provide safety and soundness while allowing for growth and innovation. “As regulators, we play an important role in the preservation and strengthening of the nation’s credit union system,” said Jekel.
NASCUS appreciates the opportunity to participate in the NCUA Sixth Budget Briefing and Public Forum. The NASCUS complete testimony can be found on the NASCUS Web site by clicking here.
Information
Contact:
Kate Hartig, Director of Communications,
(703) 528-0669 or kate@nascus.org
The
NASCUS mission is to enhance state credit union
supervision and advocate a safe and sound state
credit union system. Founded in 1965, NASCUS
represents all 48 state and territorial credit
union supervisors. NASCUS is advised by the NASCUS Credit Union
Advisory Council, which is made up of nearly
500 of the nation's more than 3,400 state-chartered
credit unions.
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