Last week, MCUL & Affiliates published a request for comment on the NCUA’s proposal to amend its regulation governing fixed-asset ownership by federal credit unions. The proposal removes the waiver requirement for FCUs that exceed the five percent aggregate limit on investments in fixed assets provided it implements a fixed-assets management program. Requirements for the FAM program are outlined in the proposal.
Additionally, the proposed rule would allow FCUs up to five years from the date of acquisition to meet the partial occupancy requirement, regardless of whether the premises are improved or unimproved property. This extends the current time period for improved premises by two years, but reduces the current time period for unimproved land by one year.
Comments on the proposal are due on or before Oct. 10. FCUs are encouraged to provide comments to the NCUA or reach out to the MCUL Regulatory Affairs staff at email@example.com with feedback.