CU Times - 7/13/2010 - By Jim Rubenstein
The Pennsylvania Credit Union Association formally complained this week about the NCUA’s assessment schedule urging the agency to use its discretionary power to spread out the assessments over the maximum period of time allowed by law.
This way “we can catch our breath,” said the association whose board adopted a formal resolution on the NCUA policy during a Sunday meeting.
“The association board recognizes that the NCUA has discretion regarding the operating level of the National Credit Union Share Insurance Fund and it works to the benefit of all credit unions if the NCUA utilizes that discretion,” said the resolution issued by Ray Brunner PCUA chairman and president/CEO of West-Aircomm FCU of Beaver, Pa.
“In this challenging economy, Pennsylvania’s credit unions feel strongly that the NCUA should use its discretion to minimize the negative impact of its assessments on individual credit unions,” he added.
A spokesman said the PCUA leadership felt a need “to make a statement now about these assessments which keep coming” and its negative impact on the industry. The spokesman said he was unfamiliar with any other similar resolutions adopted by state leagues. The PCUA position was included in the trade group’s daily e-mail bulletin distributed Tuesday.