NCUA Activates Disaster Assistance in
Response to Hurricane Dennis
Alexandria, Va., July 13, 2005 -- The National Credit Union Administration (NCUA) has activated its disaster relief policy to assist credit unions and their members repair and rebuild in areas where offices and homes were damaged by Hurricane Dennis.
President George W. Bush has declared major disasters exist in the states of Alabama, Florida and Mississippi and ordered federal aid to supplement state and local recovery efforts in these areas. The President’s action also makes federal funding available for the affected areas.
Under disaster assistance policy, NCUA will, where necessary:
- Encourage credit unions to make loans with special terms and reduced documentation to affected members;
- Reschedule routine examinations of affected credit unions if necessary;
- Guarantee lines of credit for credit unions through the National Credit Union Share Insurance Fund; and
- Make loans to meet the liquidity needs of member credit unions through the Central Liquidity Facility.
NCUA works with individual state league organizations and state regulators to ensure all federally insured credit unions are aware of NCUA’s available assistance. Region III examiners are in close contact with the affected local credit unions to offer advice and assistance. During disaster conditions, NCUA personnel operate under three priorities:
- Ensure the safety of credit union staff;
- Keep facilities and operations available to members; and
- Provide material and technical assistance, as needed, to affected credit unions.
The National Credit Union Administration is the independent federal agency that charters and supervises federal credit unions. NCUA, with the backing of the full faith and credit of the U.S. government, operates the National Credit Union Share Insurance Fund (NCUSIF), insuring the savings of over 83 million account holders in all federal credit unions and many state-chartered credit unions.
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