MCUL Michigan Monitor - January 26, 2009
The MCUL and the Michigan Association of Credit Unions (MACU) have signed a management contract that will align the two organizations and allow MACU's membership to utilize MCUL services.
The contract keeps the MACU structure and board of directors in place until Dec. 31, 2010, while immediately offering MACU credit unions access to the MCUL's suite of services. MCUL President/CEO David Adams said that keeping the MACU structure for an additional two years will provide a chance for oversight of the transition and assure that MACU credit unions' needs are met.
MACU CEO Linda Schepperly will retire March 1, 2009, at which point Adams will serve as President/CEO of both organizations.
"This alliance is a natural progression, given the incredible rate of consolidation within the credit union industry," Adams said. "All of the merger activity puts pressure on associations to provide value for the dues dollar. This alignment will provide value to MACU credit unions, which will benefit from access to a broader suite of services, but I am confident the alignment will also provide value to the entire credit union community in Michigan."
MACU Chairman and CEO of Chief Pontiac FCU Jim Henmueller expressed similar feelings on the alliance.
"This is a positive step toward further unity in the Michigan credit union industry," Henmueller said. "This agreement provides an enhanced value for MACU credit unions by giving them access to the MCUL's advocacy efforts, information and education services, fee-based services and opportunities for networking."
Ninety-five percent of Michigan's credit unions are now in affiliation with the MCUL and MACU structure.
"Given the current economy, finding services for less is a must," said Andy List, MCUL chairman and CEO of Option 1 Credit Union. "It should be seen as a welcome sign that credit unions and their associations are finding ways to help credit unions get the services they need from an association at the lowest possible dues cost."
Under the alliance framework, existing MACU credit unions (affiliated as of Dec. 31, 2008) will be able to participate in the dual-membership arrangement until Dec. 31, 2010. MACU credit unions can join the MCUL/CUNA directly after Jan. 1, 2011. MACU's remaining two employees will continue to serve as important resources for MACU and the MCUL.