NCUA Budget, OTR on Board Agenda
The NCUA’s 2015 operating budget and overhead transfer rate are on the agenda for the Nov. 20 monthly board meeting.
The NCUA board will also receive the quarterly report on the corporate stabilization fund during the meeting at the agency’s headquarters in Alexandria, Va.
Agency staff will brief the board on the estimated range of premiums for the NCUSIF and any assessment for the corporate stabilization fund.
CUNA told CU Times Wednesday the NCUA’s overall personnel costs need to be reviewed and budget increases should not be automatic every year.
“It’s almost like the budget increases are automatic and we’re just asking the board members to stop and pause – is there a need to increase the budget ever year?” Mary Dunn, senior vice president and deputy general counsel at CUNA said.
“We’re not saying that NCUA employees that perform well and actually provide good value to the agency don’t deserve consideration for merit increases but we do think this whole area of employee costs in something that needs to be reviewed. Every organization needs to review it and I think credit unions don’t have the awareness of what NCUA may be doing to hold costs down in that area,” she added.
Carrie Hunt, NAFCU senior vice president of government affairs and general counsel, said NAFCU would not support any budget increase unless there is a demonstrated need.
“We’re looking for a conservative, responsible budget,” Hunt said. “It has increased in recent years, yet the number of institutions is decreasing.”