February 18, 2014

4 NCUA funds get clean audit opinions, TCCUSF is next

Feb. 19, 2014 – NCUA's four permanent funds, including the National Credit Union Share Insurance Fund, received unmodified, or "clean," audit opinions from an independent auditor for 2013, but an opinion on the corporate stabilization fund won't be out until March.

The audits also covered the agency's other three permanent funds: the operating fund, the Central Liquidity Facility, and the Community Development Revolving Loan Fund. The funds were audited by KPMG LLP.

NCUA Board Chairman Debbie Matz said, "The clean opinions from our independent auditors of the financial statements for the four permanent funds again demonstrate the diligence with which these funds are managed."

As was the case in 2012, the NCUSIF ended 2013 with an equity ratio of 1.31 percent. This is above the NCUSIF's normal operating level of 1.3 percent. Because the Temporary Corporate Credit Union Stabilization Fund has an outstanding borrowing from Treasury, the excess must be transferred to the TCCUSF. That excess amount will be $95.3 million this year, compared with last year's $88.1 million.

Also last year, the NCUSIF ended the year with total reserves for losses (known and anticipated) of $220.7 million, down nearly 50 percent from year-end 2012 ($412.5 million).

The auditor will issue an opinion on the 2013 financial statements for the TCCUSF in March, the agency said.