TO: NCUA Board
FROM: Office of General Counsel
DATE: May 17, 2023
SUBJ: Charitable Donation Accounts – Proposed Rule
ACTION REQUESTED: The NCUA Board’s approval of a proposed rule to amend the charitable donation accounts section of the NCUA’s incidental powers regulation and approval to publish it in the Federal Register with a 60-day comment period.
DATE ACTION REQUESTED: May 25, 2023.
OTHER OFFICES CONSULTED: Office of Examination and Insurance and Office of Consumer Financial Protection.
VIEWS OF OTHER OFFICES CONSULTED: Concur.
BUDGET IMPACT, IF ANY: None.
SUBMITTED TO INSPECTOR GENERAL FOR REVIEW: Yes.
RESPONSIBLE STAFF MEMBER: Justin M. Anderson, Senior Staff Attorney, Office of General Counsel.
SUMMARY: The proposed rule would amend the charitable donation accounts section of the NCUA’s incidental powers regulation. Specifically, the proposal would add “war veterans’ organizations,” as defined under section 501(c)(19) of the Internal Revenue Code, to the definition of a “qualified charity” that a federal credit union may contribute to using a charitable donation account. The proposal also asks commenters if there are other groups, entities, or organizations the NCUA Board should consider adding to the definition of a “qualified charity” to inform potential future rulemaking in this area.
RECOMMENDED ACTION: The NCUA Board approve the attached proposed rule to amend the charitable donation accounts section of the NCUA’s incidental powers regulation and approval to publish it in the Federal Register with a 60-day comment period.
ATTACHMENT: Proposed rule.