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CUNA and NAFCU Blast NCUA Budget 
11/19/2009 

CUNA and NAFCU said the 13% budget increase approved by the NCUA Board today was excessive given the financial difficulties facing many credit unions.

 

The $200.9 million spending plan will finance the agency’s operation for 2010.

 

“We understand the NCUA Board’s desire to provide close supervision of credit unions in these difficult economic times, but we believe this can be realized through greater efficiencies at the agency,” CUNA President/CEO Dan Mica said in a statement. “Going forward, we hope to see more disclosure in the budget process and will seek to work with NCUA to ensure expenses are kept to the minimum necessary without compromising the agency’s mission of safety and soundness.”

 

NAFCU President/CEO Fred Becker said he is “extremely concerned about the dramatic increase in the budget” and criticized the agency for a lack of transparency during the budget process.

 

He added that the agency’s decision to discontinue the budget hearing deprived NAFCU and other groups the opportunity to provide input. He noted that federal credit unions shoulder the majority of the costs for the agency’s budget.

 

NASCUS President/CEO Mary Martha Fortney noted that the bulk of the increase was going to pay for more examiners and her organization looks forward to working with federal regulators to coordinate examinations.

 

“NASCUS anticipates NCUA will continue to consult and cooperate with state regulators to make certain that the examination of state-chartered credit unions is robust, thorough and efficient. NASCUS will further review the 2010 NCUA budget and dialogue with the agency to ensure the state credit union system is appropriately represented as stakeholders in the administration of the NCUSIF,” she said.

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    • 11/20/2009 10:50:21 AM
    • RRC
    • NCUA Budget Complaining
    • Every year the trades complain about the budget. Stop pushing for less oversight and have your members clean house and stop trying to be banks. However, NCUA should be tranparent and open up the process to the public.
    • 11/20/2009 1:29:11 PM
    • Carl
    • NCUA Budget
    • The budget increase seems out of line given that most CU's are actually reducing expenses. Is it not about time that the Movement radically restructure the agency, the insurance fund to fit these changing times? We need a reformation action that focuses on capital, PCA, biz lending, investment authority, and a better petition between the Fund and the regulator. Accountability and transparency is also needs bolstering. Now's the time.