More than 100 attendees joined the MD|DC Credit Union Association’s virtual town on Thursday featuring former NCUA Executive Director Mark Treichel. Treichel, who retired in 2020 after 33 years with the agency, offered insights into recent developments at the NCUA as it navigates significant changes.

Treichel shared a timeline of events and the potential impact of an anticipated 20% reduction in the agency’s workforce. He noted that while NCUA will prioritize examinations, activities such as mergers and field of membership approvals may face delays. He also suggested that credit union acquisitions of banks may become “nice to have, but not necessary.”  Treichel added that Treasury Secretary Bessent has expressed a preference for coordination among of financial regulators rather than consolidation.

Former Board Members Take Legal Action

Meantime, former NCUA Board Members Todd Harper and Tanya Otsuka have filed a lawsuit against the Trump Administration following their removal two weeks ago. The complaint asserts that under the Federal Credit Union Act, both Harper and Otsuka are entitled to serve the remainders of their six-year terms and can only be removed for cause.

Chair Hauptman Issues First Statement

NCUA Board Chair Kyle Hauptman, now the sole remaining board member, released his first statement, along with a video, on Friday. He announced the agency’s next public hearing is scheduled for May 22. The agenda will include briefings on the National Credit Union Share Insurance Fund’s first quarter performance, and on the agency’s Voluntary Separation Programs. The April board meeting was cancelled following the removal of the board members.