12/6/10: As the Union has previously reported, the SEC and most other federal agencies have been operating under a Continuing Resolution, or "CR," since the beginning of Fiscal Year 2011 on October 1. The current CR, which requires agencies to continue their operations at Fiscal Year 2010 funding levels, was recently extended by Congress until December 18. At present, Congress is considering its options for funding government operations beyond December 18 before the lame-duck session ends. The available options include the enactment of a FY 2011 budget, as well as the continuation of the CR for some additional period of time, up to a full year. Click here for a recent update on GovExec.com.
The CR is particularly problematic for the SEC. Due to the agency's increasing responsibilities under the new Financial Regulatory Reform Legislation, the SEC has already hired approximately 300 new employees. For that reason, if the CR continues at 2010 funding levels for the entire fiscal year, the agency will face a substantial budgetary shortfall.
Late last week, SEC management notified the Union of this budget issue, and we expect to engage in further budget meetings and briefings over the course of the next two weeks to obtain more clarity regarding the agency's contingency planning for different scenarios. The Union will continue to take whatever steps are necessary to remain vigilant in its protection of the SEC employees it represents in what is becoming an increasingly difficult environment.
In addition, NTEU's Legislative Department is currently pressing the case on Capitol Hill for an SEC exception to any extension of the CR, given its unique circumstances this year. Indeed, given the recent financial crisis, it would strain credulity for Congress even to consider any cuts to the SEC's budget or cutbacks in the manpower and resources available to the agency to meet its important mission of protecting American investors.
As always, thank you to the many SEC employees who have already made the right choice to support NTEU's important efforts by becoming dues paying members of the Union. Without your continued support, the Union would be unable to protect your interests.