Citing the coronavirus crisis, National Credit Union Administration Chairman Rodney Hood said Wednesday that the agency will delay implementation of its new user portal and examination tool until the second half of 2021.
Hood made the announcement in a letter to credit union officials in which he also issued revised supervisory priorities for the year in light of the pandemic.
The NCUA began testing the NCUA Connect user portal and the Modern Examination and Risk Identification Tool in September 2019. Hood said the agency will continue to test the new examination tool this year and next year, but will delay the rollout, training and launch of the application until the second half of next year.
Hood said that the agency will continue to use its extended examination cycle for qualifying credit unions.
The NCUA also will not begin assessing credit union efforts to comply with the Current Expected Credit Losses standard until further notice. Under CECL, institutions will have to recognize the expected lifetime losses at the time that a loan or financial instrument is recorded. The Financial Accounting Standards Board has delayed implementation until January 2023. Hood has said that he believes that credit unions should not be subject to the standard.
Hood said the agency is placing a priority on reviewing actions taken by credit unions to help members facing hardships. He said the agency also will place a priority on credit union compliance with other laws and rules that have been enacted as a result of the coronavirus crisis.