NCUA Finalizes Board Reimbursement Rule

Posted by Erin Hall on June 8, 2026

Today the NCUA issued a Final Rule that allows Federal Credit Unions to reimburse Board Members for costs related to providing dependent care, while performing credit union related duties.  Previously, those costs weren’t recognized as reasonable expenses under NCUA rules. The rule takes effect 30 days after Federal Register publication.

GoWest submitted a comment on the proposed rule, supporting the change and asking the NCUA to adopt broad eligibility for anyone serving in credit union governance, including Associate Board Members as well as Supervisory Committee members. In addition, we asked for the NCUA to take a principles-based approach, rather than a prescriptive approach, allowing credit unions maximum flexibility to define reasonable expenses. The final rule adopted both suggestions. However, the board rejected our third ask that the final rule be expanded to include reimbursement for lost opportunity costs, indicating that it was beyond the scope of the current rulemaking.

The rule gives boards flexibility to adopt family-friendly policies tailored to the credit union’s size, region, and operations. no mandated approach, just the removal of a regulatory barrier.

Federal credit unions should review their board expense reimbursement policies and decide whether to add dependent care as a covered category. The rule authorizes boards determine scope, eligibility, and documentation requirements

Posted in Advocacy on the Move, Regulatory Advocacy.