The NCUA’s John Kutchey spoke at the MD|DC Credit Union Association’s Town Hall on Tuesday.

He told the more than 60 credit union executives in attendance to expect several upcoming announcements on key issues including:

• Supervisory guidance on Interest Rate Risk 
• Details on the next operating phase for NCUA
• CECL tool kit could be coming later this year

The Association has been engaged in ongoing discussions with the NCUA on interest rate risk and the challenges many credit unions are facing in a higher rate environment. Kutchey called the current economic climate, “A bit of a perfect storm” that we haven’t seen before. He said the NCUA will be responding with guidance on the Net Economic Value (NEV) Supervisory Test which is used to assess a credit union’s interest rate risk (IRR) to the Share Insurance Fund.