Skip Header
U.S. flag

An official website of the United States government

About

Budget Results

Last Updated: June 22, 2021
Share on X

III. Budget Results - First Quarter 2021

Approved Budget Modifications

The 2021 Budget Resolution delegated to the Chief Financial Officer (CFO) and selected other officials the authority to make certain modifications to the 2021 FDIC Operating Budget. The following budget reallocations were approved during the first quarter in accordance with the authority delegated by the Board of Directors:

  • In February, the CFO approved the realignment of $576,130 in the Salaries and Compensation major expense category of the Ongoing Operations budget component from the Deputy to the Chairman and Chief Operating Officer (COO) to the Deputy to the Chairman for External Affairs (EA) in conjunction with the realignment of authorized positions between the two organizations.

  • In March, the CFO approved offsetting adjustments to the Ongoing Operations budgets of three organizations in conjunction with transfers of responsibility for three projects among these organizations:

    • A transfer of $1,146,151 from the Outside Services-Personnel budget of the Division of Information Technology (DIT) to the Equipment budget of Division of Administration (DOA) related to the transfer of responsibility for the Virtual Outreach Center project.

    • A transfer of $100,000 from the Outside Services-Personnel budget of DOA to the Outside Services-Personnel budget of the Office of the Chief Information Security Officer (OCISO) to provide funding for the use of an OCISO contract resource to perform an independent security assessment for the FDIC’s Insider Threat Program.

    • A transfer of $45,000 from the Outside Services-Personnel budget of OCISO to the Outside Services-Personnel budget of DIT related to the transfer of responsibility for the Data Loss Prevention (DLP) planning project.

     As a result, the DOA operating budget increased from $293.1 million to $294.2 million, the OCISO operating budget increased from $40.2 million to $40.3 million, and the DIT operating budget decreased from $348.6 million to $347.5 million.

  • In March, the CFO also approved the realignment of funds among various projects and a combined net increase of $7.1 million to the 2021 Ongoing Operations budgets of DIT and OCISO to address identified funding shortfalls in their 2021 budgets for both continuing operations and one-time initiatives. As a result, the 2021 DIT Ongoing Operations budget increased by about $6.3 million, from $347.5 million to $353.8 million, and the 2021 OCISO Ongoing Operations budget increased by about $800,000, from $40.3 million to $41.1 million.

    • Following these first quarter budget modifications, the balance in the Corporate Unassigned contingency reserve for the Ongoing Operation budget component declined from $30 million to $22.9 million (excluding the $40 million portion of the reserve set aside to address a potential increase in bank failure activity this year). The balance in the Corporate Unassigned contingency reserve for the Receivership Funding budget component remained unchanged at $22.5 million (excluding the $100 million portion of the reserve set aside to address a potential increase in bank failure activity later this year).

    Approved Staffing Modificatons

    The 2021 Budget Resolution delegated to the CFO the authority to modify approved 2021 staffing authorizations for divisions and offices, as long as those modifications do not increase the total approved 2021 FDIC Operating Budget.

    • In January, the CFO approved an increase of 15 authorized DOA positions, including 14 permanent positions and one non-permanent position, to address increases in hiring and contracting workload. 

    • In February, following completion of a detailed annual analysis of first-line supervisory spans of control at the territory level, the CFO approved a decrease of eight authorized non-permanent Supervisory Examiner (SE) positions in Division of Risk Management Supervision (RMS). As a result, RMS’s total 2021 staffing authorization decreased from 2,374 to 2,366.

    • In February, following completion of a detailed annual analysis of first-line supervisory spans of control at the territory level, the CFO approved a net increase of three authorized SE positions in the Division of Depositor and Consumer Protection (DCP). This consisted of an increase of five non-permanent positions and a decrease of two permanent positions. As a result, DCP’s total 2021 staffing authorization increased from 789 to 792.

    • In February, the CFO approved the transfer of two permanent authorized positions from the COO to the EA.

    • In March, the CFO approved an increase of one permanent and six non-permanent examiner positions in RMS’s 2021 staffing authorization to address increased large bank supervisory workload. As a result, RMS’s total 2021 staffing authorization increased from 2,366 to 2,373.

    Subsequent to these first quarter adjustments, authorized 2021 staffing for the Corporation totaled 5,810 (5,769 permanent and 41 non-permanent), a net increase of 17 positions.

    Spending Variances

    Significant spending variances by major expense category and division/office are discussed below. Significant spending variances for the quarter ending March 31, 2021, are defined as those that either (1) exceeded the YTD budget for a major expense category or division/office by more than $5 million and represented more than three percent of the major expense category or total division/office budget; or (2) were under the YTD budget for a major expense category or division/office by more than $15 million and represented more than 15 percent of the major expense category or total division/office budget.

    Significant Spending Variances by Major Expense Category

    Ongoing Operations

    There were no significant spending variances for the first quarter in the Ongoing Operations budget component. It is likely, however, that a significant variance will develop in the Travel expense category during the second quarter due to continued pandemic-related travel restrictions.

    Receivership Funding

    The Receivership Funding component of the 2021 FDIC Operating Budget includes funding for expenses that are incurred in conjunction with institution failures and the management and disposition of the assets and liabilities of the ensuing receiverships, except for salary and benefits expenses for permanent employees assigned to the receivership management function and other expenses required to ensure readiness without regard to whether failures occurred.

    There were no significant spending variances for the first quarter in the Receivership Funding budget component.

    Office of Inspector General

    There were no significant spending variances in the first quarter of the 2021 Office of Inspector General budget component.

    Significant Spending Variances by Division/Office 1

    One organization had a significant spending variance in its overall budget during the first quarter of 2021. RMS underspent its budget by $23.4 million, or 16 percent, primarily in the Salaries and Compensation and Travel expense categories in the Ongoing Operations budget component. Underspending of $12.8 million, or 9 percent, in the Salaries and Compensation expense category was the result of a substantial number of budgeted but unfilled vacancies. RMS is working to fill the vacancies as quickly as possible. Underspending of $9.1 million, or 89 percent, in the Travel category was due to pandemic-related travel restrictions and the decision by RMS to budget its regular travel funding evenly throughout the year.

    1Information on division/office variances reflects variances in the FDIC Operating Budget and does not include variances related to approved multi-year investment projects.