ALEXANDRIA, Va. – The Temporary Corporate Credit Union Stabilization Fund has received a sixth consecutive clean audit opinion, according to the National Credit Union Administration.
During 2014, the Stabilization Fund’s financial condition remained stable, maintaining sufficient available liquidity to meet its obligations. This was the first year in which the Stabilization Fund had a positive net position, the agency said.
“The Stabilization Fund has saved credit unions from $40 billion in potential losses since 2009, and this sixth consecutive clean audit is a reminder of how well this important asset is being managed,” NCUA Board Chairman Debbie Matz said in a statement. “NCUA remains committed to prudent, effective and transparent management for the Stabilization Fund. If current trends continue, the agency does not expect to charge credit unions assessments for the Stabilization Fund in the future.”
KPMG LLP, the independent firm that audits the Stabilization Fund’s financial statements, issued an unmodified audit opinion with no reportable findings. The Office of the Inspector General released the Stabilization Fund’s 2014 audited financial statements as well. The Inspector General’s report and the Stabilization Fund’s financial statements are available online here.
The Stabilization Fund is a revolving fund in the U.S. Treasury. “The Stabilization Fund gives NCUA the necessary flexibility to manage costs to the credit union system resulting from losses on troubled mortgage-backed securities purchased by five failed corporate credit unions that NCUA liquidated during the financial crisis,” the NCUA said.
It is currently scheduled to close in 2021.