Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

Washington Archive

Washington

Advicelivecoming on NCUA examination issues

 Permanent link
ALEXANDRIA, Va. (1/3/08)—The National Credit Union Administration (NCUA) will offer a Webinar this month on key examination issues for 2008 that will focus particularly on evaluations of third-party relationships and strategic planning. NCUA board member Gigi Hyland announced Wednesday that she will moderate the informational session that is scheduled for Jan. 29. It is a follow-up to the agency’s recently released Letter to CUs (07-CU-13) on the topic. (see News Now 12/28/07, “CU examiners schooled on third-party relationships.”) That letter recognized that credit unions use third parties for many types of services, including lending programs, regulatory compliance and electronic delivery. The agency endorsed the value of such relationships, and stated that it does not intend to stifle innovative use of the arrangements to meet members' needs. However, the guidance also stated that even with proper due diligence procedures, a credit union can only mitigate, rarely eliminate, risks associated with outsourcing. It stated that when examiners evaluate third-party arrangements, they should ensure a credit union has addressed the following areas in a way that is commensurate with their size, complexity and risk profile:
* Risk assessment and planning; * Due diligence; and * Risk management, monitoring and control.
The Webinar will be held from 1:00-2:30 p.m. (EDT). Additional information and registration details will be posted on the NCUA website, www.ncua.gov, next week, according to the agency.

Inside Washington (01/02/2008)

 Permanent link
* WASHINGTON (1/3/08)--Treasury Secretary Henry Paulson Jr. is scheduled to deliver a speech Jan. 7 on recent events in the capital markets and their impact on the economy. He will make his remarks in New York City at an event hosted by the New York Society of Security Analysts. The Credit Union National Association’s (CUNA) regulatory affairs experts will monitor the event, particularly to determine if the Treasury secretary directly or indirectly addresses the topic of financial institution regulatory restructuring. The Treasury Department recently sought public comment on the regulatory structure of the country's financial institutions and whether changes are needed to improve regulation. The Treasury request came on the heels of a Government Accountability Office (GAO) that examined federal financial institution oversight and recommended consolidation of the regulators. In its comment letter, CUNA warned the Treasury that consolidating federal financial institution regulatory agencies would have dire consequences for credit unions because credit unions are "distinctive and exceptional financial organizations" that require their own regulatory framework. Mary Dunn, CUNA senior vice president and deputy general counsel, has said that comprehensive restructuring is not an imminent threat to credit unions, but noted that CUNA is scrutinizing any activity that may be related to ongoing discussions ... * WASHINGTON (1/3/08)--The Federal Reserve Board has approved amendments to Appendix A of Regulation CC that reflect the restructuring of the check processing operations of the Federal Reserve Banks of New York, Philadelphia, and Cleveland. Appendix A provides a routing symbol guide that helps depository institutions determine the maximum permissible hold periods for most deposited checks …

Six tutorials coming for New Market Tax Credit participation

 Permanent link
WASHINGTON (1/3/08)—The Treasury Department’s Community Development Financial Institution (CDFI) Fund Wednesday announced six upcoming workshops to help those interested in applying for tax credits under the New Market Tax Credit (NMTC) program. The NMTC Program is intended to spur the investment of new private sector capital into low-income communities by permitting individual or corporate taxpayers to receive a credit against federal income taxes for making Qualified Equity Investments (QEIs) in designated Community Development Entities (CDEs). The CDFI Fund allocates the tax credits annually through a competitive application process. The NMTC workshops are slated to address processes for both the application of tax credits and for certification as a CDE. The half-day workshops are planned in the following cities:
* Detroit, Mich., on Jan. 7 at the Sheraton Detroit Riverside Hotel; * Portland, Ore., on Jan. 8 at the Crowne Plaza; * Oklahoma City, Ok., on Jan. 9 at the Sheraton Oklahoma City; * Sioux Falls, S.D., on Jan. 10 at the Holiday Inn Sioux Falls City Centre; * Charleston, W.V., Jan. 15 at The Summit Conference Center ; and * Miami, Fla., on Jan. 18 at the InterContinental Miami.
For interested parties unable to attend a workshop, the CDFI Fund will broadcast a session live via its website on Jan. 16 at 1:00 p.m. (ET). Just last week, the Treasury announced that it had kicked off its sixth round of competition for the NMTC program, making $3.5 billion of equity investments available to qualified credit unions and other applicants.

Mica blogs in Hill publication Need positives in 08

 Permanent link
WASHINGTON (1/3/08)—The country needs a year of positives and it is everyone’s job to see that positives multiply in 2008, wrote Credit union National Association (CUNA) President/CEO Dan Mica when invited to post a blog entry on The Hill’s CongressBlog. Mica said that a solid step in the right direction would be to eliminate bickering over petty issues, in favor of “some real results on major issues.” “The public has to insist that their elected leaders forego nitpicking and maneuvering, and instead take action where it is needed. Elected leaders, for their part, have to accept their responsibility in the process by practicing their political skills, rather than than voicing their sound bites, in working for solid results,” Mica wrote. Use the resource link below to read more.