WASHINGTON, DC (October 30, 2017) — The National Association of Federally-Insured Credit Unions (NAFCU) today sent a letter to the NCUA in response to its proposed 2018 and 2019 budgets. The letter, signed by Director of Regulatory Affairs Alexander Monterrubio, acknowledges the agency’s efforts in slowing the rate of its year-over-year budget growth and encourages a continued commitment to efficiency.
“NAFCU appreciates that the Board has taken steps to substantially slow the rate of the agency’s year-over-year budget growth,” said Monterrubio. “With those positive steps in mind, NAFCU and our members remain hopeful that the agency will continue its commitment to efficiency long into the future. Such actions would be a well-received capstone to the Board’s multi-year initiative to reform the agency’s operating budget and structure.”
The NCUA has proposed $298.2 million in spending for 2018 – a 2.1 percent increase from the restated 2017 budget – and $302.8 million for 2019.
Remarking on proposed budget items and future initiatives, NAFCU asks that the board address several questions when it votes on its proposed budgets, in particular asking how the agency can reduce its staff in a manner that reflects a consolidating industry.
In the letter, NAFCU also encourages the NCUA to create a credit union advisory council as an effective way to increase stakeholder input. It also urges that the NCUA return the normal operating level of the National Credit Union Share Insurance Fund to 1.3 percent and asked that the proposed revisions to the overhead transfer rate (OTR) not be finalized, instead recommending the NCUA build upon the current OTR methodology.
On Oct. 18, 2017, CEO of Money One Federal Credit Union Beverly Zook represented NAFCU during the NCUA budget briefing and addressed several of the letter’s items.
Read the full letter here.
The National Association of Federally-Insured Credit Unions is the only national trade association focusing exclusively on federal issues affecting the nation’s federally-insured credit unions. NAFCU membership is direct and provides credit unions with the best in federal advocacy, education and compliance assistance. For more information on NAFCU, go to www.nafcu.org or @NAFCU on Twitter.
