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In this episode of With Flying Colors, Mark Treichel breaks down the latest NCUA Board Meeting held on September 25, 2025. With only one agenda item—the NCUA Insurance Fund briefing—the discussion still revealed several key insights that credit union leaders need to know. From CAMELS code shifts to the impact of 27% of NCUA staff taking buyouts, Mark unpacks how these developments could shape examinations, budgets, and credit union operations in the months ahead.

🔑 Key Topics Covered

• Insurance Fund Health:
  • Slight improvement in CAMELS 4s and 5s.
  • Growth in CAMELS 3s as troubled credit unions move up a notch.
  • What this “treading water” means for the system.
• NCUA Staffing & Buyouts:
  • 27% of staff accepted buyouts and will not be replaced under the hiring freeze.
  • Why this creates short-term relief for credit unions—but possible long-term risks.
  • How staffing shortages may lead to fewer exams, faster upgrades, and less aggressive downgrades.
• Board Governance & Authority:
  • Chairman Kyle Hauptman’s nod to 2005, when a single board member issued a final rule.
  • Could today’s board act unilaterally on budgets and regulations?
• Budget Implications:
  • Early hints that credit union exam costs may drop in 2026.
  • How senior-level buyouts produce immediate salary savings.
  • The potential for reorganizations and cutbacks in areas like fair lending exams.
• Shifts in Examination Policy:
  • Risk ratings have been removed from exam reports.
  • Why this change matters for CEOs and exam management.

📌 Why It Matters

For credit unions, these updates signal both opportunity and uncertainty. On the one hand, fewer examiners and less scrutiny may provide breathing room. On the other hand, reduced oversight could carry hidden risks for the NCUSIF and credit union stability.

Mark shares his take on what credit unions should be watching—and how to prepare as NCUA adapts to a smaller workforce and shifting governance environment.