Trades Vow to Push for More Spending Cuts at the NCUA
CUNA President/CEO Bill Cheney and NAFCU President/CEO Fred Becker are both urging the NCUA to make the agency’s budget increase even smaller or maybe even not rise at all.
Both leaders said that even though the $236.8 million budget approved by the NCUA Board on Thursday represents a 5% increase (compared to last year’s 12% increase) that is still too much given the challenging economic climate.
Cheney said in a statement that the agency’s “limited attempts to contain costs are small steps in the right direction.’’ He added that CUNA will keep “insisting’’ that the NCUA keep containing costs in light of the fact that the number of credit unions it supervises is decreasing.
Becker said in a statement that “any increase is too high, especially at a time when NCUA should be demonstrating greater fiscal restraint, and rolling back its budget.”
He added that NAFCU “will continue to advocate for the agency to sharpen its pencils and adjust the 2012 budget downward. We believe there is still ample room to trim expenses."
The agency’s budget, which the NCUA Board approved unanimously, includes funds for 33 new employees, 26 of which will be for examination-related positions. The budget funds 1,259.5 full time equivalent positions.
The budget increases spending in all major categories except for administrative costs. The largest costs are employee pay and benefits, which represents 72% of the budget, and travel, which represents 11%.
The complete budget can be viewed online.