WASHINGTON (8/21/13)--Could the National Credit Union Administration's plan to create a Minority Depository Institution (MDI) Preservation Program have unintended consequences for credit unions? Could program requirements be modified to make the program more successful? Credit unions can answer these and other questions regarding the program in a new Credit Union National Association comment call.
The comment call follows the agency's July 25 release of an Interpretive Ruling and Policy Statement (IRPS 13-1) that lays out the design of a potential MDI Preservation Program, and its eligibility criteria, initiatives and benefits.
Under the program, credit unions with high percentages (50% and above) of minority members and management would be eligible to receive minority credit union status from the agency.
This status would grant them access to NCUA Office of Small Credit Union Initiatives resources, including grant program eligibility.
The goal of the program, which is mandated by the Dodd-Frank Act, is to promote and preserve minority ownership in the credit union industry. The program should not create any new burdens or requirements for credit unions.
Comments are due to CUNA by Sept. 20.
The NCUA is also accepting comments on the MDI Preservation Program. Credit unions and other interested parties have until Sept. 30 to make their views known to the agency.
For the full CUNA comment call, use the resource link.