Appendix B to Part 749 - Catastrophic Act Preparedness Guidelines
12:7.0.2.3.31.0.11.7.30 : Appendix B
Appendix B to Part 749 - Catastrophic Act Preparedness Guidelines
Credit unions often look to NCUA for guidance on preparing for a
catastrophic act. While NCUA has minimal regulation in this area, 1
as an aid to credit unions it is publishing this appendix of
suggested guidelines. It is recommended that all credit unions
develop a program to prepare for a catastrophic act. The program
should be developed with oversight and approval of the board of
directors. It is recommended the program address the following five
elements:
1 See 12 CFR 748.1(b) concerning a FICU's reporting of any
catastrophic act that occurs at its office to its regional director
and 12 CFR 749.3 concerning the location of a FICU's vital records
center to avoid the simultaneous loss of both sets of records in
the event of disaster.
(1) A business impact analysis to evaluate potential
threats;
(2) A risk assessment to determine critical systems and
necessary resources;
(3) A written plan addressing:
i. Persons with authority to enact the plan;
ii. Preservation and ability to restore vital records;
iii. A method for restoring vital member services through
identification of alternate operating location(s) or mediums to
provide services, such as telephone centers, shared service
centers, agreements with other credit unions, or other appropriate
methods;
iv. Communication methods for employees and members;
v. Notification of regulators as addressed in 12 CFR
748.1(b);
vi. Training and documentation of training to ensure all
employees and volunteer officials are aware of procedures to follow
in the event of destruction of vital records or loss of vital
member services; and
vii. Testing procedures, including a means for documenting the
testing results.
(4) Internal controls for reviewing the plan at least annually
and for revising the plan as circumstances warrant, for example, to
address changes in the credit union's operations; and
(5) Annual testing.
[72 FR 42274, Aug. 2, 2007, as amended at 77 FR 71085, Nov. 29,
2012]