ALEXANDRIA, Va.-At the NCUA Board's November meeting, the agency announced reductions in the 2005 budget, overhead transfer rate, and operating fee. At $148 million, NCUA's budget approved for next year was a 1.29% decrease from the 2004 budget. The overhead transfer rate, which determines what percentage of funds come out of the insurance fund to pay for the agency's insurance-related expenses, was reduced from 59.8% for 2004 to 57 for 2005. Additionally, federal credit unions were refunded $9 million from the NCUA's 2004 operating fee and the 2005 operating fee was down 1.23% from this year. The credit union trades were pleased the agency also announced that it was going to take another look at insurance-related versus regulatory-related costs. NASCUS went on to complain that the setting of the overhead transfer rate has never been explained in `clear and concise language.' NASCUS Chairman Roger Little said it is apparent that NCUA does not understand the importance of appropriately allocating costs between its federal chartering authority and the management of the National Credit Union Share Insurance Fund. [email protected]