|Credit Union in good position for coming year|
|Written by Darci Tomky|
2010 was another solid year for Holyoke and Imperial, Neb. Community Federal Credit Unions, reported board of directors and staff to members of the local cooperative at the annual meeting Monday, Feb. 21.
Net income for the combined Holyoke and Imperial offices was $77,958.28 in 2010. The Holyoke office reported a net income of $54,691.11 while Imperial’s was $22,267.17.
This was the ninth consecutive year the Imperial branch showed a positive net income. 2010 marked the 11th full year of operation for that office.
The credit union’s combined loan portfolio, at $27,229,349, grew by almost $1 million in the past year.
President reports positive outlook
Holyoke Community Federal Credit Union (HCFCU) president Ron Goldenstein said even though the past couple years have been rough for the United States, HCFCU is well positioned to come through these economic times unscathed.
The financial structure of credit unions has undergone changes in the past few years, but the local credit union is adapting.
National Credit Union Share Insurance Fund (NCUSIF) insures member deposits up to $250,000. This fund has been struggling, and it is the credit unions themselves that are contributing money to shore up the NCUSIF.
In 2009, HCFCU paid $36,884 to the fund, while the cost in 2010 was $69,365.17.
Goldenstein forecasted the annual cost in coming years will be around $36,000 to keep the NCUSIF stable.
Another area impacting the local credit union is the corporate credit union system. According to Goldenstein, this is basically the “credit union’s credit union,” which serves the financial needs of individual credit unions. The checking account is set up with Suncorp, and all of the share drafts, ACH, debit cards, ATM and other funds clear through the account at Suncorp.
The problem is the corporate credit union is in “dire straits,” said Goldenstein.
He predicts in 2011 HCFCU will need to contribute around $50,000 to the corporate credit union. Combined with the estimated $36,000 to the NCUSIF, that’s a cost of roughly $86,000 to the credit union.
In spite of that, Goldenstein remained positive. He noted Holyoke is in a very strategic position, highlighting HCFCU’s good loan portfolio. Around 90 percent of assets are out in the community in the form of loans.
Even though low interest rates create a delicate situation, Goldenstein anticipates good things for 2011.
He commended his great employees at Monday’s meeting. “The office staff we have right now is A+,” he said.
Services continue to grow at HCFCU. In 2010, they began offering Visa cards including youth cards, travel cards, gift cards and reloadable cards. Goldenstein reported they totaled close to 400 cards in the first nine months of the program.
HCFCU member Deb Dusenbury-Dorren represented the volunteer loan officers Monday night. She said the combined offices had 400 loans in 2010 with 304 in Holyoke and 96 in Imperial. This was down 47 loans from 2009.
Loan totals the previous year was $10,276,991 while 2010’s was at $7,490,196.
Supervisory committee chairperson Wes Holmes gave his report, noting the annual audit by Peterson & Associates found no major areas of concern. He added the federal examiner reported the credit union is in sound condition.
Current supervisory committee members are Holmes, Mariane Ortner, Tom Balding, Jim Gribben and Daniel Baney.
Board members elected
At Monday’s meeting, incumbent Laura Bittner and Steve Starkebaum were elected to fill the two available Holyoke positions on the board of directors. Incumbent Charles Milner was elected to the Imperial position.
Others on the board include Rick Krueger, Nancy Berges and Scott Murray of Holyoke as well as Wanda Westfahl of Imperial. James Scholl decided to retire from the board this year.
Prior to the annual meeting, members enjoyed a complimentary meal catered by Bill and Kristie Pelle with the help of Challengers 4-H Club.
Members of all ages were excited to end the evening with the popular money machine.