WASHINGTON-As an independent agency, NCUA does not have to comply with the 2% pay raise cap that President George W. Bush instituted for civilian federal government employees in 2004, according to the agency's Director of Public and Congressional Affairs Cliff Northup. An Aug. 28 article in the Washington Post reported that the president took advantage of a loophole in the 1990 Federal Employees Pay Comparability Act, designed to make federal employees' pay comparable to the private sector, to rein in federal pay raises. Though NCUA is not bound by the administration's proclamation, "we're going to keep it in mind," Northup said. On Oct. 10, NCUA will hold a public briefing on its budget, which presents, among other matters, proposed aggregate employee salary and benefit changes for the upcoming year. Bush blamed the war on terrorism for his decision; otherwise discretionary spending and federal employment could take the hit, the Post reported.