PRESS RELEASE

FOR IMMEDIATE RELEASE
Nov. 19, 2015

CONTACT: Patrick Keefe, NASCUS Communications, pkeefe@nascus.org/(703) 528-5974

COMMENT BY NASCUS PRESIDENT AND CEO LUCY ITO
ON INCREASED OTR OF 73.1% SET BY NCUA BOARD

'NCUA is foregoing responsibility for safety and soundness as the charterer of federal credit unions'

Following approval of an increase in the overhead transfer rate by the NCUA Board this afternoon, NASCUS President and CEO issued the following statement:

"By shifting virtually all safety and soundness-related expenses to the share insurance fund overhead transfer rate, NCUA is foregoing responsibility for safety and soundness as the charterer of federal credit unions. Other financial institution charterers without deposit insurance obligations – including state regulators and federal supervisors such as the Office of the Comptroller of the Currency and the Federal Reserve -- assume full responsibility for safety and soundness. We hope that after the Board agrees in January to publish the OTR for public comment in the Federal Register a much more clear picture will emerge as to how and why the agency assigns all safety and soundness expenses to the OTR – and that the agency will consider making meaningful changes as a result of public comment.

"Further, we object to delegating the authority to staff of setting the OTR. This will only decrease transparency and especially accountability."

 

Information Contact:
Patrick Keefe, Vice President, Communications, pkeefe@nascus.org or (703) 528-5974

The National Association of State Credit Union Supervisors (NASCUS) is the primary resource and voice of the state governmental agencies that charter, regulate and examine the nation’s state-chartered credit unions. NASCUS membership is made up of state-chartered credit unions, state regulators and other supporters of the state credit union system. NASCUS is the only organization dedicated to the defense and promotion of the state credit union charter and the autonomy of state credit union regulatory agencies.