ALEXANDRIA, Va. (11/21/13, UPDATED: 11:15 A.M. ET)--The National Credit Union Administration today approved a 2014 budget of $268.2 million. This spending plan represents an increase of 6.7% from the 2013 NCUA budget and is the sixth straight year that the agency's planned expenditures have grown.
"The Credit Union National Association remains very concerned about the size of the agency's budget and the continued budget growth for NCUA, particularly in light of the welcome decline in the assets in troubled credit unions over the past few years," CUNA President/CEO Bill Cheney said.
"Credit unions have to manage resources prudently or be subject to sanctions. The NCUA should not set one standard for itself and another for credit unions. Credit unions remain concerned that they work hard to contain costs and they feel their agency should do so as well," Cheney noted.
The total amount of 2014 funding increase is $16.9 million.
Employee pay and benefits account for 73%, or $194.6 million, of the 2014 budget.
The NCUA also plans to add $1.7 million in new administrative expenses, an increase in contract service expenses of about $3.1 million and $652,796 in new travel expenses.
The Credit Union National Association has repeatedly encouraged NCUA to use restraint as it sets its budget and CUNA's Examination and Supervision Subcommittee is reviewing today's budget decisions and related budget documents carefully to determine how additional oversight of the agency's budget can be achieved.
The NCUA's original 2013 budget was set at $251.4 million, but the agency in July reduced its projected 2013 budget by $2.6 million, a move CUNA supported and commended.