August 24, 2014

Berger urges budget restraint, transparency in letter to Matz

July 29, 2014 – NAFCU President and CEO Dan Berger wrote NCUA Board Chairman Debbie Matz on Monday to encourage the agency to review each budget item for potential cost-savings as well as to urge greater transparency with the funds it manages.

"NAFCU strongly urges the NCUA Board to look at each item of the budget with the explicit goal of achieving cost-savings," Berger wrote. "As we expressed at the release of 2014 operating budget, NAFCU remains concerned regarding the pattern of NCUA's overall increases in its operating budget for 2014 following significant increases in 2013."

The NCUA Board is poised to review its 2014 mid-year budget during Thursday's open meeting.

Regarding NCUA's operating expenses and the administration of the agency, Berger urged greater transparency with the National Credit Union Share Insurance Fund, the Temporary Corporate Credit Union Stabilization Fund and the Central Liquidity Facility. "For example," Berger wrote, "NAFCU and our members believe NCUA should be more transparent about how the monies transferred from the NCUSIF through the overhead transfer rate in 2013 were allocated to the 2013 NCUA Operating Budget."

Thursday's open NCUA Board meeting will be held at 10 a.m. at the agency's headquarters in Alexandria, Va. The board will also consider a proposed rule on federal credit union ownership of fixed assets, the National Credit Union Share Insurance Fund quarterly report and its Guaranteed Notes performance budget, among other matters.