Proposed FOM changes summarized in new posting
Dec. 8, 2015 -- Sweeping, proposed changes to field of membership (FOM) rules have been partially driven by NCUA’s perception that many state credit union FOMs are more beneficial to state credit unions, a new NASCUS summary of the federal agency’s proposal points out.
In addition, the summary notes that NASCUS does not now intend to file a comment letter, as the as the proposed rule applies only to federal credit unions.
Among the changes proposed by NCUA, the summary notes that:
- FCUs will be able to apply to convert to a community charter or expand an existing community charter without having to serve the core area if electing to serve a portion of a Core Based Statistical Area.
- NCUA’s population limit of 2.5 million people will apply to a Core Based Statistical Area or any well-defined portion thereof.
- An FCU will be able to apply to serve “Combined” Statistical Areas, as designated by the Office of Management and Budget.
- An FCU could apply to serve an outside area contiguous to its existing Core Based Statistical Area or single political jurisdiction.
- The rural district population limit is increased to 1,000,000 – regardless of the state in which the majority of the district’s population is located.
- Multiple Common Bond FCUs could use mobile banking for the proximity test and add contractors of their SEG groups