Following the unexpected firings of NCUA Board Members Todd Harper and Tanya Otsuka last week by President Trump, the NCUA has released its first official statement on the issue, clarifying that it considers one board member to qualify as a quorum.

Under the Federal Credit Union Act, the NCUA cannot conduct business without the majority of the board to form a quorum. While this is often interpreted to be a minimum of two members, past precedent has allowed for one member of the board—when they are the sole member—to act as a quorum.

Now, with NCUA Chairman Kyle Hauptman as the sole remaining member of the board, the question at the forefront of conversation has been whether or not the NCUA would qualify him as a quorum—allowing one member to make decisions on behalf of the entire board—or if Hauptman would have to wait to act until new board members were hired.

In its statement, the NCUA thanked Harper and Otsuka for their service and reiterated the two no longer work with the agency in any capacity, before clarifying its stance on the quorum debate.

“The departure of two of our three NCUA Board Members has led to speculation within the credit union industry and trade press about the NCUA Board’s ability to exercise authority with the presence of only a single Board Member. Please be assured that the NCUA has precedent and standing delegations of authority in place to continue performing all operational and statutory requirements under the authority of a single Board Member.

During the Bush Administration (2001–2002), Chairman Dennis Dollar acted as a sole Board Member. He held a Board meeting, voted, and took several actions, both administrative and operational. Chairman Dollar recently stated in CU Today, ‘The records are in place at NCUA from 2002 that clearly establish the precedent that the Chairman can act as the Board.’

It is the NCUA’s long-held view that a single Board Member constitutes a quorum when there are no other Board Members. Chairman Hauptman and NCUA’s leadership are equipped with the required authorities to continue implementing the Administration’s priorities and fulfilling our mission of protecting the system of cooperative credit and its member-owners through effective chartering, supervision, regulation, and insurance.

Together, we will ensure America’s credit unions are safe and sound, address any unnecessary regulatory barriers to their prosperity, and provide excellent service to the public.”

Neither the agency nor the administration has stated how, if, or when it will begin the process of finding new board members. Meaning that for the foreseeable future, the NCUA’s three-person, bipartisan board will operate with one individual.