Spending of $394.5 million in 2024 is being proposed by the federal credit union regulator, an increase of 9.5% from the previous year, the agency said Thursday.
The National Credit Union Administration (NCUA) also announced it will hold a public briefing on its spending plans on Nov. 16, at 2 p.m. ET, at agency headquarters in Alexandria, Va.
The agency said its operating budget (which makes up 96% of the overall budget and which accounts for salaries, benefits and other aspects of running the agency) is proposed for $382.1 million – an 11% increase from 2023.
On the other hand, the agency’s capital budget is down for 2024, the agency said, by 35.6% to $7.3 million.
The funding for the operations of the National Credit Union Share Insurance Fund (NCUSIF) – the federal savings insurance program for credit unions – is proposed for $5.1 million, 3.6% higher than in 2023.
The NCUA finances its operating budget through two sources: Operating fees paid by federal credit unions (FCUs), and an “overhead transfer rate” (OTR) of funds from the NCUSIF. In 2024, the agency estimates that the operating fees will pay 37.6% of the agency’s operating budget, with the remainder, or 62.4%, paid by the OTR. The OTR, according to NCUA, is declining from that applied in 2022 of 62.7%. Operating fees are expected to drop by about 1.8%.
NCUA Posts 2024-2025 Proposed Budget, Sets November 16 Public Briefing