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April 9, 1999 VIA FAX To the Federal Corporate Credit Union Addressed: On December 18, 1997, the National Credit Union Administration (NCUA) Board indicated that it would consider, on a case by case basis, requests from federal corporate credit unions for national fields of membership (FOMs). At the same time, the NCUA Board approved the “Guidelines for Review of Requests from Federal Corporate Credit Unions for National FOMs (Guidelines).” The Guidelines indicated the information and documentation that a corporate credit union would be required to provide as part of the review of a request for a national FOM. Since that date, the NCUA Board has approved four federal corporate credit unions for national FOMs. Additionally, one state-chartered corporate with an existing national FOM has converted to a federal charter. In none of these cases has there been a detrimental impact on the corporate obtaining the national FOM, their members, or other corporate credit unions. The national FOMs granted to date have proceeded in an orderly manner. As such, the NCUA Board has indicated its willingness to eliminate some of the burden that has been associated with obtaining a national FOM. A federal corporate credit union seeking a national FOM will only be required to submit a board resolution and a Statement of Intent. The Statement of Intent should briefly indicate the reason(s) the corporate is seeking the national FOM. Final approval of the requests will be based on any potential safety and soundness impact on the corporate credit union. If you have any questions, please contact this office at (703) 518-6640. Sincerely,
OCCU/DAS:ds cc: Tim Pryor, NAFCU |