WASHINGTON—Legislation has been introduced that if passed would amend the Federal Credit Union Act and require NCUA to hold public hearings on its operating budget.
The “National Credit Union Administration Budget Transparency Act” was introduced Tuesday by Sens. Dean Heller (R-NV) and Mark Warner (D-VA). NAFCU and CUNA support the bill.
The legislation would amend the Federal Credit Union Act and require NCUA:
- To make the draft budget publicly available and submit it for publication in the Federal Register.
- To hold a public hearing with notice provided to allow for public comments to be submitted on the budget.
NAFCU President and CEO Dan Berger hailed the bill and thanked Sens. Heller and Warner for “their bipartisan leadership in seeking to create a more open and transparent NCUA. Requiring NCUA to hold public budget hearings is a simple, common-sense practice that will help give credit unions the voice they deserve in the process. NAFCU will continue to support efforts to enhance budget transparency at the agency."
Berger told CUToday.info that the bill is a "very welcome development for credit unions and will shed much-needed light on the NCUA budget. We hope this bipartisan effort from Sens. Heller and Warner will gain the necessary traction to move forward and make this legislation a reality.”
NAFCU pointed out it has long sought greater transparency from NCUA on its budget and expenditures and urged greater fiscal restraint.
CUNA emphasized that NCUA is funded by credit unions and their more than 100-million members.
“It makes perfect sense that the agency should be transparent with its budget,” said CUNA President and CEO Jim Nussle. “I thank Senators Heller and Warner for their leadership on this issue and hope this legislation comes to a vote in both chambers.”
A similar bill was introduced in the House in March by Representative Mick Mulvaney. The House bill would direct the Government Accountability Office to study the NCUA’s budgetary process and identify ways it could be more transparent.
Mulvaney’s bill would require the GAO to undertake an in-depth review of the National Credit Union Share Insurance Fund, Temporary Corporate Credit Union Stabilization Fund, Central Liquidity Facility, and NCUA’s annual operating budget. GAO would include in its final report any recommendations it had for improving transparency at the agency.
“(Mulvaney’s) bill is an important step toward providing more clarity about how NCUA is spending credit union dollars to fund its operations,” said NAFCU Director of Legislative Affairs Jillian Pevo in a previous report. “We look forward to working with Congress to ensure the study envisioned in this bill comes to fruition.”