NCUA Board Changes and What Comes Next

Posted by John Trull on April 16, 2025

Significant developments at the National Credit Union Administration (NCUA) are expected to shape the agency’s leadership and direction in the months ahead.

As of Wednesday, Board Members Todd Harper and Tanya Otsuka are no longer serving at the NCUA. Their departures open two vacancies on the three-member Board. Under statute, we anticipate those seats to be filled by one Republican and one Democrat, maintaining the agency’s bipartisan structure which requires no more than two of the three directors may represent the same political party. We are engaging with the Administration and Congress on next steps in the appointment process. With Board Member Kyle Hauptman’s term expiring this August, an entirely new Board could be seated before the end of the year.

At GoWest, we see this as a critical priority to continue advancing credit union priorities including regulatory flexibility, innovation, and member service. While agency leadership may shift, our advocacy does not. We are fully engaged in ensuring credit union voices are heard as new policymakers come on board.

While the NCUA is currently operating without a full Board, GoWest does not view this as a significant hurdle to the agency’s ability to advance priorities.

Additionally, this change does not impact our advocacy efforts, which have strategically focused on areas that do not require Board action. Recent successes such as extending exam cycles and removing ODP/NSF reporting from the Call Report are examples of impactful policy improvements achieved through internal channels. We are also working to expedite a policy change that would eliminate the need for Board approval of bank acquisitions over $500 million, while still preserving two layers of review, at the regional level and by the Executive Director. Moving forward, we will continue to engage with NCUA on guidance documents, legal interpretations, examiner manuals, and other tools to improve regulatory processes and promote a more effective supervisory environment.

In addition to the changes at the Board level, the NCUA is preparing for a reduction in force (RIF), expected to effect between 15–20% of its workforce. These changes will impact both regional and administrative operations. In the Western Region, we’ve confirmed that the two remaining Associate Regional Directors, Mike Dyer and NancyRae Kjelgaard, have opted for voluntary separation. We expect to hear more soon from Western Region Director Julie Cayse regarding restructuring.

We’ll continue to closely monitor developments and keep you informed of any additional changes, nominations, or regulatory shifts. As always, please don’t hesitate to reach out to the advocacy team if you have any questions or would like to discuss what these changes might mean for your credit union.

Posted in Advocacy on the Move, Regulatory Advocacy.