Wednesday, November 02, 2016

The Example of Leadership for the NCUA Board...

Leadership at heart is little more than a matter of individual courage. But courage is no small matter, is it!  

It forces us to choose between conscience over convenience, principle over popularity, action over apathy. 

Those type of decisions most of us would prefer to "put off" until... [put off until when?] 

On Halloween - October 31, 1517 - four hundred and ninety nine years ago, Martin Luther made a choice to object to the sale of "indulgences"(favors and influence before God!) to parishioners by the Catholic Church, in which he was an "insider" - a devotee, a priest, and a scholar. Luther wasn't exactly shy about it either! He nailed his list of objections (the "95 Theses") directly to the entrance door of All Saints' Church in Wittenberg... and in doing so changed the Catholic Church and the world for the better. Speaking truth to an established order gone rogue... leadership... courage . 

NCUA over the last decade appears to have earned a reputation for regulatory "indulgences" which will continue to tarnish the credibility of the Agency and all credit unions if not addressed. 

But do we have among our leadership any...

... Martin Luthers?

[ If so, isn't it about time "to nail it"?]



Anonymous said...

Regulatory indulgences-
Ignore executive order and then pay 23% to friends.
Ignore congressional intent on RBC2.
Ignore congressional intent on charter change regs.
Thumb nose at congress on low income designations.

Mcwatters was our only hope but he is no Luke Skywalker.
Needs a congressional review.
Hensarling, where art thou?

Jim Blaine said...

Still believe we have the right Board, certainly best opportunity for leadership in last 6 years at the Board level. But even if the Board has the courage to help lead us into the future, they must hesitate when they look at the lack of commitment from the trades and most importantly from CU CEOs, who after all do control the trades... yet remain silent, leadership "MIA's"!!!

Why should the NCUA Board step forward and step up when the industry leadership so noticeably lacks any clear direction and purpose?

Why do CU trades and CEOs think it reasonable to challenge NCUAs plan and budget when they have none of their own?

Perhaps there is a plan beyond the standard Mom&apple pie pablum.. if so trades, tell the blog readers where to look for it... including the timeline, budget and tracking/reporting standards... and penalties for failing.

(Don't hold your breath!0

Dennis Moriarity said...

Leadership at NCUA is short term.. The staff knows that and acts accordingly. They simply wait out would be reformers knowing that they will get some rookie replacements in short order who have no real power base and an unwillingness to "rock the boat". Change is impossible in that environment. The real Yuk in the contingency arrangement is the opinion sought after it came to light and the eventual determination that it "was a good deal" and that NCUA had simply stepped into the shoes of a credit union. It was good for the attorneys! What we need is a Director with the absolute power to rule and dump staffers who screw up. Yep I know it could be dangerous but the way we do things now is more dangerous.

Anonymous said...

Jim, what specifically are you looking for the CUNA/League System to do?????

Anonymous said...

Jim - I hear lots of questions. Lots of criticisms. What would be your plan? If you ran CUNA? NAFCU? What would you do?

Jim Blaine said...

Would expect the CUNA Board to review what little has been disclosed by NCUA on these legal fee agreements; and, if severe concerns remain (which seems certain), the CUNA Board should loudly and publicly ask for full disclosure from the current NCUA Board as to how the decision was reached, why it was the best course, why there was no competitive bidding, and when the agreement was approved by the NCUA Board.

The CUNA Board doesn't need to spend 6 months contemplating its navel on this matter. Have a conference call tomorrow, vote, and instruct the CUNA CEO to act. AND TELL CUNA MEMBERS WHAT YOU DECIDED! PUBLISH ANY REQUEST LETTER TO THE NCUA BOARD TO BOTH CUNA MEMBERS AND THE MEDIA.

If the current NCUA Board does not live up to its avowed commitment to accountability and transparency to CUs and the American people, CUNA should pursue the matter through the courts AND LIKE MR. STUMPF have the NCUA Board members and top NCUA senior staff hauled before Congress to testify under oath.

Fire and prosecute if wrong doing is uncovered... nothing would do more to enhance the reputation of credit unions and NCUA for fairness.

It is our government, they are accountable to the citizenry, both current NCUA Board members have said they believe in those principles.. if so put up or quit lying to us.

Anonymous said...

It's really not that hard.
But more important than, it's the right thing to do.

Don't know about you but I HATE when people do things because they know they can get away with it...bc the rest of us are too lazy or political to say, "hold on, why should we accept this?"

Anonymous said...

Jim, NAFCU has already done everything you are asking CUNA to do. Change will only occur if the current NCUA board acts on NAFCU's and CUNA's demands.

Jim Blaine said...

What will NAFCU and/or CUNA do if the NCUA Board fails to act?

Write yet another "strong" letter?

What should CUs do if their trades won't publicly act?