The Role of the Board Chair

Tim Harrington, CPA

CEO, TEAM Resources

The Role of the Board Chair

Recently I had the chance to spend some time with a great group of board members . One of the things we talked about was the role of the board chair. I thought this well worth putting down on *paper* as it were.

The role of the chairperson is multi-faceted, complex, and often changing within the context of the organization’s dynamic. Unfortunately, there’s no perfect set of “rules.” But there are some guidelines. Here are our “tips” on navigating the position successfully:

Roles
Facilitator – The board chair must draw together the individual directors into a team, working together on behalf of the membership and the credit union. To do that, s/he must wrangle individual personalities, draw out conversation from some, and rein it in from others. Having a solid understanding of the personalities of each director … and the CEO helps the chair keep things on track, moving forward, and civil.Roles:

Leader – Wait! Isn’t being a leader at odds with being a facilitator? Isn’t this a contradiction? No. There are times when the job is pure facilitation and times when it is leadership and setting direction. A skilled leader will know which is which and be able to handle both without perceptions of contradiction.

Arrives with and without Agendas – What?!

Agendas are crucial … if we’re talking about a list of items for keeping the meeting on track: consent agenda, new business, tracking strategy, etc. The chair should put significant thought into the development of these (not simply copy and paste from last month/year). This simple document can decide the direction and productivity of the meeting significantly.
Agendas are killers … if we’re talking about an ulterior motive, or a plan to take over, or change the direction of the organization in a contentious way. The chair should have no agendas such as this. His/her job to rally individual directors to create a shared mission for the credit union.

Transparent – the chair has a responsibility to be clear in purpose and approach. See above about the harm of the wrong kind of agendas. Remaining transparent, being clear in communication, and making sure that everyone understands your beliefs, your approach, and your methodology will bolster everyone’s trust in you.

Liaison with the CEO – The board chair is the point of contact for the board to the CEO. Unfettered access to the CEO by individual directors is a recipe for chaos. The chair can be both the unified voice of the board to the CEO, AND the gatekeeper of the CEO, making sure that individuals are not approaching with un-vetted side conversation and efforts to unduly influence.

Meeting Manager – This role is more pragmatic than that of a facilitator. This keeps proceedings efficient, on track and productive. You, as chair, must be willing to cut off conversation appropriately, or promote it accordingly in the interest of time and efficiency.

Accountable – The buck stops here. The chair is responsible for the actions and outcomes of the board as a whole.

Visionary – A leader must be capable and willing to see a future with ambitious goals and help forge a path toward accomplishment.

Strategic Motivator – keeps urging progress towards strategic goals. Reinforces the importance of the mission and vision of the credit union, on behalf of the members.

A Spokesperson for Media – Sounds like a job for the CEO, right? Maybe sometimes that’s true, but not always. The chair should always be ready to step in to speak on behalf of the credit union. (This is part of that “buck-stops-here” thing.) What if the CEO departs unexpectedly, or there is a crisis? It’s up to the chair to represent. And being a capable spokesperson is a great opportunity to reinforce the not-for-profit, cooperative structure of the institution, with a volunteer board setting the strategy and direction.

This might not be everything. We don’t claim to have every scenario nailed down. But it seems a good start.

What are your thoughts? What would you add to this list?

Comments

Ramp Up Cyber Spending As AI Reshapes Industry Priorities

NEW YORK—Artificial intelligence is rapidly becoming the defining force shaping banking strategy, with 80% of banking executives now expecting AI to significantly disrupt their business and operating models within the next three to five years, according to KPMG's 2026 Banking Technology Survey. The survey of 200 U.S. banking executives found institutions are responding by accelerating investments in cybersecurity, payments modernization and technology-driven acquisitions. "AI, payments modernization, cybersecurity, and tech-driven M&A are no longer separate agendas," said Peter Torrente, KPMG's U.S. Banking Sector Leader, who said banks are increasingly being challenged to keep pace across technology, risk and growth simultaneously. Cybersecurity remains a top concern. More than three-quarters (76%) of banking leaders reported an increase in cyberattacks over the past year, while 92% said they are boosting cybersecurity budgets. In addition, 84% are increasing cyb...

Read Complete Article HERE>»

White Paper from WOCCU Examines How Stablecoins are Reshaping Financial Infrastructure

WASHINGTON– World Council of Credit Unions (WOCCU) has released a new white paper that examines how stablecoins are reshaping the financial infrastructure that credit unions and other cooperative financial institutions rely on to serve their members. According to WOCCU, the white paper, How Digital Money Is Impacting Credit Unions, Part 1: Focus on Stablecoins , is the first in a planned three-part series exploring how emerging forms of digital money are affecting the global credit union movement. “The report begins by noting that stablecoins are no longer a niche fintech development, but part of a broader structural shift in how money is stored, moved and regulated,” WOCCU explained. “As commercial banks, payment networks, technology firms and retailers build stablecoin offerings or integrate stablecoin rails into their platforms, credit unions must consider how these changes could affect deposits, payments, member relationships and long-term institutional relevance.” For ...

Read Complete Article HERE>»

Half of Credit Union & Bank CEOs are Now Older Than 65, Up From 20% Two Decades

NEW YORK — At a time when there are some generational changes in credit union leadership taking place, a new analysis has found the nation’s bank CEOs are getting older, with half of the chief executives leading banks now older than 65, compared with fewer than 20% two decades ago. The KBW Bank Index from Truist Securities found that the median age of bank CEOs has increased by 10 years since the early 2000s, mirroring a broader aging trend among corporate leaders across the United States. However, bank executives remain older on average than their counterparts in many other industries, according to the analysis by Truist Securities Managing Director John McDonald and associates Peter Nicolo and John Manahan. One reason is tenure. Bank CEOs typically remain in their positions longer than executives in many other sectors. According to data from CristKolder Associates cited in the report, financial-services CEOs average nine years in the role, compared with 5.4 years in the energy secto...

Read Complete Article HERE>»

What Credit Unions Can—And Can't—Do With New Trump Accounts

07/02/2026 09:36 am WASHINGTON--With Trump Accounts set to officially launch July 4, America’s Credit Unions updated its frequently asked questions document to clarify the role of credit unions now and in the future. Credit unions do not have a role to play yet, as the Treasury has not announced steps to transition accounts from initial provider BNY Mellon to other authorized institutions, ACU noted. Trump Accounts are tax-deferred accounts that can be established on behalf of a child under the age of 18. Account contributions begin after July 4, with contributions up to $5,000 a year allowed. Created by H.R. 1, the law also established a pilot program to deposit a one-time $1,000 grant into accounts of children born between Jan. 1, 2025 and Dec. 31, 2028. Once the child turns 18, the account funds are available for educational expenses, home ownership, entrepreneurship, and other designated purposes. Once guidance is available from Treasury, credit unions ...

Read Complete Article HERE>»

Invest in Education - Invest in Tomorrow

Read Complete Article HERE>»

Sunday Reading - We Hold These Truths to Be Self-Evident

We Hold These Truths to Be Self-Evident . The Declaration of Independence is the founding document that formally announced the American Colonies' break from British rule. Adopted on July 4, 1776, it laid the philosophical and moral foundation for American self-governance, asserting that individuals possess inherent rights and that governments must be accountable to the people. While it didn't create a government or legal framework, the Declaration marked the birth of the United States as a sovereign nation. > Hear why the Continental Congress decided to declare independence, how the text took shape...

Read Complete Article HERE>»

Without President’s Signature, ROAD to Housing Act Becomes Law; Includes CU Board Modernization Act

WASHINGTON — The bipartisan 21st Century ROAD to Housing Act became law Friday without President Donald Trump’s signature after the president allowed the measure to take effect while Congress remained in session, choosing not to sign it in protest over the Senate’s failure to advance separate voter identification legislation. The legislation includes the Credit Union Board Modernization Act, which reduces the frequency with which credit unions must meet and which had strong support from the credit union trade groups. Trump announced on social media that he would not sign the housing package because the Senate had not passed the SAVE America Act, a measure he has championed requiring proof of citizenship for voter registration. Under the Constitution, a bill becomes law if the president neither signs nor vetoes it within 10 days, excluding Sundays, while Congress is in session. Scott Simpson ‘Steadfast in Commitment’ “America’s Credit Unions, our league partners, and cr...

Read Complete Article HERE>»

NCUA Tells FICUs Crypto Trading is OK — If Big Exchanges Provide the Service

When it comes to reading between the lines of financial regulators’ advisory letters, tone matters. Take last week’s letter from the National Credit Union Administration (NCUA) which gave the federally insured credit unions (FICUs) it oversees permission to partner with digital asset providers to allow retail customers to buy, sell and trade in cryptocurrencies. Now compare it to the one issued by Comptroller of the Currency Michael Hsu’s agency to the national banks and federal savings associations it regulates a month earlier. On the surface, both said much the same thing: Financial institutions can provide cryptocurrency services (albeit with some notable differences: the OCC’s letter dealt with more back-end services, including custody services as well as holding and using dollar-pegged stablecoins for transaction settlement). Neither was enthusiastic. The NCUA’s letter said it “does not prohibit FICUs from establishing these relationships” — which is not as enthusiastic as “are a...