Matz Says NCUA 2012 Budget Will Protect CUs: Print Preview
Here’s a news flash: The NCUA’s annual budget is a sound investment by credit unions to protect their bottom lines.
By paying $48 million in NCUA budget increases in 2010 and 2011, the industry was spared $1.5 billion in losses to the National Credit Union Share Insurance Fund.
As credit unions well understand, the lion’s share of most budget costs is payroll. Your people are your greatest asset. The same is true at the NCUA. Yet astoundingly, when I became NCUA chairman in 2009, we had fewer employees than when I began my previous term on the NCUA board in 2002. Such a reduced staffing level was untenable, given the daunting financial crisis the country was facing and the work that needed to be done.
The NCUA’s 2012 budget authorizes 33 new hires, including examiners and specialized experts in high-risk areas of lending, capital markets, supervision and troubled institutions. Acquiring further in-house expertise to deal with increasingly sophisticated activities continues to be a necessary investment.