ALEXANDRIA, Va. — The NCUA Board on Thursday approved a $268 million budget for 2014. That figure represents a 6.7% increase over the 2013 operating budget.
The budget includes a 6% increase in the cost of employee pay and benefits. No new full-time positions will be added next year.
Of the 6% pay and benefits cost increase, employees will receive an average merit increase of 4%. Another 1.9% will be associated with promotions, staff realignments and hiring and retention costs.
Travel expenses will increase by 2.3%, rent, communications and utilities will increase by 6%, administrative costs will increase by 13.1%, and contracted services costs will increase by 14.8%.
Chairman Debbie Matz said the notion that fewer credit unions should mean a lower budget is a fallacy and a myth.
Rather, she said, credit unions have grown larger and more sophisticated, and require more examiners. Additionally, credit unions have asked for expanded authorities they need, Matz said, which also requires additional examination.