CenterPoint 3Q Fall 2016

fall.2016

A publication of the Cooperative Credit Union Association, Inc.

Putting Members First...

Branch Redefining the

Future of the

Stories Inside:

06

Best Practices for Fighting Account-Based Fraud

10

CCUA Hosts Open Forum with NCUA Executive Director

18

CCUA Member Credit Unions Award More than $232K in Scholarships

t wi

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EDITORS: Donna M. Bevilacqua Walter Laskos Cynthia Lepore CONTRIBUTORS: Robert Delaney Bonnie L. Doolin William F. Nagle Charlotte Whatley

17

Table of Contents PUBLISHED BY

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04 MESSAGE FROM THE PRESIDENT/CEO 06 CO-OP FINANCIAL SERVICES OFFERS BEST PRACTICES FOR FIGHTING ACCOUNT- BASED FRAUD; CCUA CREATES FRAUD WORKING GROUP 07 CREDIT UNION NEWS – CCUA Members Overwhelmingly Approve Merger with Delaware Credit Union League – Engagement, Always and in All Ways, Is Focal Point of CU Accelerate 2016

07

– Winning Credit Union Student Essays Honored at Massachusetts Statehouse – CCUA Hosts Open Forum with NCUA Executive Director

11 COMMUNITY INVOLVEMENT – MA CUs Donate Nearly 300,000 Children’s Books to Coalition for Homeless and Community Groups – RTN FCU’s 2016 Walk Home Raises the Roof to Help Coalition for the Homeless – NH CUs Repeat Record Donation of $232,000 to Make-A-Wish® New Hampshire

09

– Credit Unions Team Up with Athletes at the Special Olympics Rhode Island Summer Games

16 BRANCH OF THE FUTURE 18 CCUA MEMBER CREDIT UNIONS AWARD MORE THAN $232K IN SCHOLARSHIPS 20 CREDIT UNION PEOPLE 21 CALENDAR

13 fall.2016 | centerpoint | 3

M E S S AG E F RO M T H E P R E S I D E N T/C E O

| By Paul Gentile

OCTOBER CONVENTION IS SHAPING UP TO BE AMONG THE INDUSTRY’S ALL-TIME BEST In just a few short weeks, credit union executives from throughout Delaware, Massachusetts, New Hampshire, and Rhode Island, will be gathering at the Mohegan Sun Resort in Uncasville, Conn., one of New England’s finest convention and meeting facilities, for the Cooperative Credit Union Association’s 2016 Annual Meeting and Convention.

This year, the theme of our gathering echoes the same message we have been heralding to consumers all throughout New England since October 2015, a message touting the credit union difference – Better Values. Better Banking.

This year, from October 1214, CCUA’s Annual Meeting and Convention will celebrate the attributes of Better Values.

Better Banking. as they are embraced and embodied each day by our members. Better Values. Better Banking. will be showcased across a variety of platforms, beginning with a powerful convention agenda designed to address and analyze many of today’s dynamic and challenging topics.

The convention will feature an outstanding cadre of leading industry experts, professionals and regulators who will surely provide thought-provoking concepts, unique insights and valuable data to stimulate comments and conversation. It will offer 27 educational sessions organized within a volunteer and professional track that incorporates topics for both large and small credit unions alike. Some of the speakers slated to make presentations include Jim Blaine, State Emplpyees Credit Union (North Carolina); Mary Mitchell Dunn, CU Counsel, PLLC; Emily Hollis, ALM First Financial Advisors, LLC; the Honorable J. Mark McWatters, NCUA; Tom Penna, NCUA-Office of Small CU Initiatives; Steve Rick, CUNA Mutual Group; Greg Smith, Pennsylvania State Employees Credit Union; and Caroline Willard, CO-OP Financial Services.

Last year during CCUA’s first convention trade show, more than 90 vendors were on hand to greet the more than 500 attendees who filled the room. This informational and networking hub is expected to be even bigger and better this year, giving everyone the opportunity to interact with key vendors and prospective vendors in an environment 4 | centerpoint | fall.2016

conducive to both business and socializing.

Thursday evening’s banquet features the Capitol Steps, a Washington, D.C., institution for more than 30 years. The Capitol Steps will provide a unique blend of musical and political comedy that’s guaranteed to leave both sides of the political spectrum laughing. The troupe started in 1981 and has appeared on NBC, CBS, ABC, PBS, and for many years in specials for National Public Radio. The evening will also debut the CCUA Awards of Excellence, a new member recognition program to celebrate our Better Values.

Better Banking. campaign and honor the commitments of CCUA members to both advocacy and social responsibility.

In addition to outstanding educational programs and networking opportunities, the gathering will host CCUA’s Annual Meeting, giving member credit unions a voice in its governance.

By using a single registration system and designating one delegate and one alternate delegate for representation during the meeting, members will make their votes heard, from electing directors to deciding other business items, including the consideration of bylaw amendments.

Yet amidst all this fanfare, the best news surrounding this year’s convention is the registration price. Did you know it’s reduced from last year, yet still offers the same tremendous value?

Convention educational sessions, all breaks, continental breakfast, buffet lunch, reception, banquet, and entertainment on Thursday evening, breakfast on Friday, and the Wednesday evening dessert reception are all included in the price of registration.

There’s no doubt, this year’s Annual Meeting and Convention has plenty of great entertainment, networking opportunities, a large vendor hall and most important, great content on a diversity of topics featuring high-quality speakers. Be sure you don’t miss it. Visit the CCUA website to read all the details about this year’s gathering and above all, register to attend.

I hope to see you in October at our Annual Meeting and Convention!

Paul Gentile, President/CEO, Cooperative Credit Union Association

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C R E D I T U N I O N S E RV I C E S

CO-OP FINANCIAL SERVICES OFFERS BEST PRACTICES FOR FIGHTING ACCOUNT-BASED FRAUD; CCUA CREATES FRAUD WORKING GROUP documents that contain account and other related information.

• Determine that appropriate controls are present if employees access financial and banking systems from remote sites.

• On an annual basis, request a legal review of all changes in laws regarding liability as it relates to fraudulent transactions.

Account-takeover fraud is not isolated to a single industry, but it certainly is a rising issue for credit unions and their members. Account takeover can involve any type of account, including government benefit accounts, wireless phone contracts, mortgage loans, checking accounts, credit cards, and e-commerce accounts. Financial fraud is one of America’s largest growth industries, creating annual losses of $189 billion, according to Meridian Research Inc. Also, according to the Federal Trade Commission, identity theft is escalating at 40 percent per year and is particularly problematic compared with more traditional forms of financial fraud. Greater access to credit, an abundance of information, faster electronic communications, and intense competition among financial institutions make it easier than ever for criminals to steal identities and falsify information.

The U.S. Department of Justice calls it “one of the most insidious forms of white collar crime.” Identity theft tends to be more damaging to both consumers and institutions. It typically results in multiple instances of fraud, which are often of higher dollar value than other types of fraud. To fight identity theft, what type of internal controls should be reviewed and evaluated by a credit union? And what best practices should a credit union be considering for preventing fraud losses and protecting their members from identity theft? CO-OP Financial Services offers best practices to credit unions to help answer these questions.

Here are suggestions for consideration in providing additional security for protecting the consumer.

WHAT TYPE OF INTERNAL CONTROLS SHOULD BE REVIEWED AND EVALUATED

BY A FINANCIAL INSTITUTION? • Conduct periodic surprise audits and annual reviews of procedures.

• Provide for the physical security of all checks – this includes cashier checks, branch checks, and deposited checks.

• Provide for the temporary physical security of electronically deposited checks, including storage in a secure facility along with secured shredding.

• Ensure appropriate security is in place over signature plates, cards and software.

• Require an additional review process for all checks over a specified amount.

• Remove individuals from financial institution transaction authority immediately upon resignation or termination.

• Ensure that controls exist for the storage and destruction of all 6 | centerpoint | fall.2016

The controls listed above are a sample of controls to be considered. Additional internal controls must also be evaluated by the financial institution.

WHAT BEST PRACTICES SHOULD BE CONSIDERED FOR PREVENTING FRAUD LOSSES AND PROTECTING CONSUMERS FROM IDENTITY THEFT? • Strengthening verification procedures for new accounts: wwIncorporate more information into the decision process, especially for high-dollar unsecured transactions. wwBreak away from conventional thinking. Traditional credit scoring and underwriting procedures do not identify fraudulent applications. wwDig deeper to verify identify beyond using Social Security numbers or other single pieces of data. wwLook for and assess the fraud potential of inconsistency among all data available, not just in address and credit bureau information. Does the phone number go with the address? Do the age and Social Security number match?

• Strengthening verification procedures for existing accounts in online or call center transactions: wwPositive verification: compare information provided by the consumer with a trusted third-party source, such as a consumer reporting agency.

• Basic level: use credit report data to verify name, address, phone number, Social Security number, date of birth and driver’s license number. wwLogical verification: use commercially available analysis tools to determine the consistency of information from various sources. wwNegative verification: check information provided by the consumer against databases of known fraud, bad checks and government lists.

• Strengthening the notification process to the consumer for changes made to the consumers’ existing accounts: wwAny changes made to a member’s account need to be verified Continued on page 13

C R E D I T U N I O N N EWS

CCUA MEMBERS OVERWHELMINGLY APPROVE MERGER WITH DELAWARE CREDIT UNION LEAGUE Members of the Cooperative Credit Union Association (CCUA) overwhelmingly approved a merger on Friday, June 17, with the Delaware Credit Union League. The merger was ratified by a vote of CCUA member credit unions from Massachusetts, New Hampshire and Rhode Island, during a special member meeting held in Marlborough, Mass.

The announcement followed on the heels of a vote to endorse the merger by Delaware Credit Unions a week earlier. As of July 1, they became known as members of CCUA and now fill two seats on CCUA’s board, which expanded to 11 seats. New board members representing Delaware Credit Unions are Joel Romaine, general manager/ CEO at Community Powered Federal Credit Union, and Jerry King, president/ CEO at DEXSTA Federal Credit Union.

The merger also introduced an additional 18 credit unions to the 180-member credit union roster of the CCUA that now extends its reach beyond New England in providing a wide range of services to its members, from advocacy and compliance to education and business operations and support. The addition of Delaware into the CCUA membership creates the first, four-state league/association within the U.S. credit union industry.

“July 1 kicked off a new era for the Cooperative Credit Union Association as we welcomed Delaware Credit Unions to our cooperative organization,” said CCUA President Paul Gentile. “The addition of Delaware Credit Unions further strengthens our cooperative voice and ability to promote the values credit unions bring to America’s financial services industry with lawmakers and regulators, and the public, as well, through our Better Values. Better Banking.

Campaign.”

Gentile stressed that one of the core tenets of the CCUA is local control of advocacy and maintaining a local brand.

“Credit unions in each of our states gather regularly for advocacy committee meetings where they chart their advocacy

paths based on their local knowledge and goals. We believe deeply that those advocacy decisions need to be made locally by the members in each state. We support those local advocacy decisions with our highly skilled advocacy team and resources.

Delaware member credit unions started July 1 charting their course for advocacy,” said Gentile. “They also maintain their identity through the Delaware Credit Unions brand.

We are excited to help our new Delaware credit union members add to their success.”

CCUA’s core services are advocacy, compliance and education, though it has a vast offering of business services and a menu of services through its strategic partners. CCUA’s Better Values. Better Banking. consumer awareness effort stresses the value proposition that member-owned, not-for-profit credit unions deliver to consumers.

Free money.

First-come, first served.

Really.

For a limited time, we’re offering members zero-percent Classic Advances to create or preserve jobs in their communities.

Our new program, Jobs for New England, will award up to $5 million in interest-rate subsidies every year through 2018. A maximum of $250,000 in subsidy is available per member each year. At current rates, $250,000 can leverage up to $30 million in one-year advances.

To find out more about Jobs for New England, contact Fatima Razzaq at 617-425-9564, or fatima.razzaq@fhlbboston.com.

But don’t delay. These funds won’t last forever.

See what your cooperative can do for you!

FHLBBoston Federal Home Loan Bank of Boston • 800 Boylston Street Boston, MA 02199 • www.fhlbboston.com

fall.2016 | centerpoint | 7

C R E D I T U N I O N N EWS

ENGAGEMENT, ALWAYS AND IN ALL WAYS, IS FOCAL POINT OF CU ACCELERATE 2016

PRESENTERS SHARE USEFUL METHODS FOR BUILDING, SUSTAINING EFFECTIVE RELATIONSHIPS This past spring’s CU Accelerate 2016 brought together 155 Cooperative Credit Union Association (CCUA) members for two days of interesting and thought-provoking presentations that featured speakers from the Fortune 500’s Google and Disney Institute.

The conference, held May 14 in Newport, R.I., kicked off with introductory remarks by CCUA President Paul Gentile, who set the stage for the rigorous agenda.

U.S. Senator Jack Reed of R.I., followed with a greeting and opening comments on three topics he saw as important for credit unions. He encouraged attendees to contact their legislators about supporting the Small Business Enhancement Act, what he said would be a “huge stimulus for our economy.” Similarly, he encouraged individuals to reference the Consumer Financial Protection Bureau website for guidance materials on ongoing statutory and regulatory compliance. Thirdly, he stressed the importance of immediately filling vacant seats on the National Credit Union Administration specifically in the wake of vacancies of two key positions.

The remainder of the first day was a flurry of activity with four sessions dedicated to various aspects of consumer and board engagement.

Gentile gave an overview of how CCUA’s Better Values. Better Banking. consumer advocacy campaign is employing multiple delivery channels that are proving effective in increasing consumer knowledge and awareness of credit unions – from the CCUA website to Facebook advertising. Following Gentile, Mame Conroy, an account executive with CBS Radio in Boston who is partnering with CCUA in the campaign, called attention to mobile technology but noted that other, less big brotherly tactics, such as geo-fencing, are at the forefront of consumer engagement.

Simon Bailey, former sales director of the prestigious Disney Institute, shared his motivating insights on how to build and maintain a culture that delivers a consistently powerful consumer experience – consumer “love,” the role employees can play and the benefits credit unions can reap when members are emotionally connected.

Dennis DeJesus, CEO of Special Olympics Rhode Island, stressed the need for credit unions to engage another key group – board members. Ask them what they like and don’t like, invite them to share their concerns, call them if they are absent from a meeting to say you missed them, he gave as examples of enlivening a board.

Engaging Millennials makes good business sense, said economist and TV commentator Max Wolff, who encouraged credit unions on day two of the meeting.

“Today, it’s all about quick, mobile, easy access,” he said, urging credit unions to tap into digital and mobile technology. Helping Millennials cope and manage their college debt is another chance to engage what has now surpassed the Baby Boomer generation in numbers, and could prove beneficial as students grow into adults 8 | centerpoint | fall.2016

looking for loans and mortgages.

Radhika Giri, vice president for affinity partnerships for SiriusXM®, presented an overview of the satellite programming provider and said building brand loyalty requires continual customer engagement.

“You have to be where your customers are. You have to respond to them,” she said.

Attendees gathered to hear Loren Hudziak, senior solutions architect at Google, provide a framework for what Google is, how it operates and how everyone could use that information to their advantage. He encouraged credit unions to have an app and optimize their communications for use on the smart phone, which people now look at an average of 150 times per day. Touching on the issue of hacking, he said Google is able to provide better security because of its cloud architecture and he urged the audience to use it since Google takes data and spreads it across multiple platforms so information is never storied in one place alone.

Staying on the topic of data breaches, former White House Chief Information Officer Theresa Payton gave the meeting’s final presentation. Human error, she said, not sophisticated cybercriminals, is responsible for 95 percent of breaches.

“We don’t design for the human, we design the security protocol then ask the human to conform,” she said, but added hackers cannot be discounted. She tasked the audience to practice a digital disaster once a quarter.

“What would happen if half of your members’ data was stolen and held for ransom,” she asked. “You certainly don’t want to practice the drill for the first time when it actually occurs.”

Mark your calendars Mark your calendars now for CU Accelerate 2017 on April 20-22 at the picturesque Wentworth by the Sea in New Castle, N.H. We promise an impressive slate of speakers and a diversity of topics. Don’t miss it!

C R E D I T U N I O N N EWS

WINNING CREDIT UNION STUDENT ESSAYS HONORED AT MASSACHUSETTS STATEHOUSE This year’s essay contest winners included: Winning Entry Natalie Barros Sponsor: Jeanne D’Arc Credit Union

Pictured in back row from left are Massachusetts Commissioner of Banks David Cotney, Erin Shenk, Christopher Dupuis, Natalie Barros, Taryn Dineen, and CCUA President Paul Gentile. Front row from left are Lily Moran, Kerri Horan, Hadiya Giwa, and Angela Truong.

The Massachusetts Credit Unions’ Essay Contest, sponsored by the Cooperative Credit Union Association (CCUA) Financial Literacy Committee, held its annual awards ceremony at the Statehouse in Boston, Massachusetts on June 1.

The winner and finalists, all students in either the seventh or eighth grade, along with parents, family members, teachers, and their credit union sponsors, were recognized with a special luncheon, State House tour and plaque-presentation ceremony marking their achievement.

CCUA President Paul Gentile welcomed the students and their families, noting that the essays reflected many of the core values cherished by all credit unions, from financial literacy to the most common credit union principle, “People Helping People.”

“I used to be a journalist and love to write,” he said. “The ability to motivate people, help them and change things through the power of your writing talents is a most valuable skill, one that will serve you and others very well in your future careers.”

He encouraged the students to continue to master their writing talents.

During the luncheon, Gentile introduced Massachusetts Commissioner of Banks David Cotney. As one who oversees the supervision of more than 200 banks and credit unions with total combined assets in excess of $400 billion, Cotney applauded the students for their writing achievements and invited them to consider who among

Finalists Taryn Dineen Sponsor: City of Boston Credit Union Christopher Dupuis Sponsor: St. Anne’s Credit Union Hadiya Giwa Sponsor: Worcester Credit Union Kerri Horan Sponsor: Methuen Federal Credit Union Lily Moran Sponsor: Leominster Credit Union Erin Shenk Sponsor: IC Federal Credit Union Angela Truong Sponsor: Metro Credit Union

them, because of their outstanding writing talents, would become the next scientist, lawyer, teacher, or, possibly, even a public servant like a banking commissioner.

Students and their families were given a personal tour of the Statehouse after

which many of them met with their local lawmakers who took time away from the day’s hectic schedule to briefly stop by and present their constituents with proclamations heralding their awardwinning writing skills.

The best things in life are free.

Especially money.

We’re offering members zero-percent Classic Advances, on a first-come, first-served basis, to create or preserve jobs in their communities.

Our new program, Jobs for New England, will award up to $5 million in interest-rate subsidies every year through 2018. A maximum of $250,000 in subsidy is available per member each year. At current rates, $250,000 can leverage up to $30 million in one-year advances.

To find out more about Jobs for New England, contact Fatima Razzaq at 617-425-9564, or fatima.razzaq@fhlbboston.com.

But don’t delay. These funds won’t last forever.

See what your cooperative can do for you!

FHLBBoston Federal Home Loan Bank of Boston • 800 Boylston Street Boston, MA 02199 • www.fhlbboston.com

fall.2016 | centerpoint | 9

C R E D I T U N I O N N EWS

CCUA HOSTS OPEN FORUM WITH NCUA EXECUTIVE DIRECTOR

National Credit Union Administration (NCUA) Executive Director Mark Treichel in June held the rapt attention of 50 Cooperative Credit Union Association members in an open forum where he addressed a wide range of issues, including proposed regulation changes to the

examination and supervision process, data collection, field of membership and interestrate-risk supervision, and fielded questions from the audience.

Treichel told attendees that credit unions should expect a proposal to improve the exam

There’s no such thing as a free lunch.

But money, that’s a different story.

We’re offering members zero-percent Classic Advances, on a first-come, first-served basis, to create or preserve jobs in their communities.

Our new program, Jobs for New England, will award up to $5 million in interest-rate subsidies every year through 2018. A maximum of $250,000 in subsidy is available per member each year. At current rates, $250,000 can leverage up to $30 million in one-year advances.

To find out more about Jobs for New England, contact Fatima Razzaq at 617-425-9564, or fatima.razzaq@fhlbboston.com.

But don’t delay. Zero-percent funds won’t last forever.

See what your cooperative can do for you!

FHLBBoston Federal Home Loan Bank of Boston • 800 Boylston Street Boston, MA 02199 • www.fhlbboston.com

10 | centerpoint | fall.2016

and supervision program to take several years to complete. Besides addressing the length of the exam cycle, the newly dubbed Exam Flexibility Initiative includes extensive plans to improve the exam process and to modernize the overall data collection process.

“We are rethinking everything as it relates to the exam program with the goal of being more efficient and effective with credit unions while also balancing the risks of the insurance fund and mitigating those risks,” he said.

Treichel said he expects the call report deadlines to permanently shift to a longer period and a more regular deadline that would closely mirror what is required by institutions regulated by the FDIC. Regarding improving the data collection process, Treichel said, “I think the smaller credit unions will have a better customer experience with their 5300 process.

“For the larger credit unions, if they are into more complex services, and a lot of them are, I can envision that they will be answering more questions and filling in more data but the quality of the data will go up and we can utilize that data off site to analyze trends, do more work offsite, and have a more targeted and efficient exam when we come in because we have better data,” he said.

A pending proposal to the field of membership may be finalized by fall 2016, Treichel reported. He noted that the agency received considerable comment from credit unions with the majority being in favor of adopting the proposed rule.

Touching upon NCUA’s CAMEL rating system for credit unions, Treichel said the NCUA board is preparing to consider the release of a new proposed rule to incorporate an “S” for “sensitivity to market risk.” NCUA believes that the benefits of adding the risk sensitivity element include greater clarity, accuracy and transparency in how interest rate risk is assessed. If a proposal is issued, the comment-and-review process, subsequent program changes and implementation, would take several years.

He said a recommendation for a proposed regulation change could be presented to the board by the end of the third quarter 2016.

C O M MU N I T Y I N V O LV E M E N T

MA CREDIT UNIONS DONATE NEARLY 300,000 CHILDREN’S BOOKS TO COALITION FOR HOMELESS AND COMMUNITY GROUPS

More than 3,200 books went to children in need thanks to the efforts of Hanscom FCU members and staff. Packing up the books from left to right are David Sprague, president/CEO; Paul Marotta, chairman of the board; Sandy Imbrogna, trainer; and Jim Potter, senior vice president of operations.

More than 13,660 books were collected in May by 36 Massachusetts credit unions for the Children’s Book Drive and distributed to numerous family service agencies, including the Massachusetts Coalition for the Homeless, to benefit thousands of children in need. In 16 years, Massachusetts Credit Unions have donated more than 295,000 books within the state, closing in on nearly 300,000.

The Children’s Book Drive celebrates the value of reading by providing thousands of books that give children hours upon hours of reading to open their imaginations and become inspired.

It is hard to imagine that the simple act of donating a book could make a difference in a child’s life, but it is true. Reading is both a vital skill for children and an important source of knowledge that lasts a lifetime in so many ways. It helps young children expand their vocabulary and writing skills, promotes healthy social and emotional development as well as longer attention spans that translate to better retention in school. The credit unions that participated in the Children’s Book Drive went a long way in helping the Coalition as well as other agencies give less fortunate and homeless children throughout the commonwealth a book of their own.

Many credit unions work with their local sponsor companies, schools, community

Staff members at DCU proudly display some of the 1,500 books they collected.

groups, members, and others. Members Plus Credit Union in Medford collected books in all five of its branches and received several hundred books from the Mount Alvernia High School in Newton. In an effort to support literacy and as part of a community project, the high school students collected and donated the books to the credit union. “We truly enjoy participating in this annual drive and while the effort is small, the rewards are great to the children we support,” stated John Murphy, president/CEO of Members Plus Credit Union. Credit unions, such as Digital Federal Credit Union in Marlborough, nearly doubled its donation this year by including all their branches in the effort of collecting books.

Southbridge Credit Union also doubled its numbers. Homefield Credit Union in Grafton coordinates with the Northbridge Cub Scouts every year as they generally donate hundreds of books.

Hanscom Federal Credit Union, located in Hanscom AFB, had a successful year, reaching an all-time high for collecting the most number of books at 3,225. Many hands made it a great success at the credit union. Hanscom Air Force Base thrift shop contributed books donated by patrons.

“Kids and families living in shelters or who are homeless are in a tough spot,” noted Hanscom FCU Chairman of the Board Paul

Marotta. “Many of them have no books of their own or have had to leave them behind. Our staff and members are well aware of the impact the book drive has. It’s a gift that can last a lifetime.”

Rounding out the top five credit unions were Digital Federal Credit Union of Marlborough, 1,531; MassMutual Federal Credit Union of Springfield, 1,070; Members Plus Credit Union of Medford, 844; and Freedom Credit Union of Springfield, 797.

The books were distributed to a wide variety of nonprofit organizations, including the Massachusetts Coalition for the Homeless.

The agencies that received the books expressed their gratitude and pleasure with the quantity and the quality of the books. St. Anne’s Credit Union of Fall River was one that donated books to the local Children’s Museum within the community. Landmark Credit Union in North Adams donated books to a local elementary school. Brookline Municipal Credit Union donated books to the Brookline Housing Authority, where they went to the early education program as well as into book kiosks installed in the courtyards of its family developments.

CCUA’s Social Responsibility Committee thanks the credit unions that participated in 2016 Book Drive for showing children a new world and what reading for pleasure is all about. fall.2016 | centerpoint | 11

C O M MU N I T Y I N V O LV E M E N T

RTN FCU’S 2016 WALK HOME RAISES THE ROOF TO HELP COALITION FOR THE HOMELESS

The group of walkers in Waltham get ready to begin!

For more information: www.ccuassociation.org

12 | centerpoint | fall.2016

More than 100 walkers, volunteers and staff joined together for RTN Federal Credit Union’s 6th annual Walk Home on Sunday, June 12. The 5K Walk, held in three locations – Waltham, Danvers, and Dorchester – raises funds for the Massachusetts Coalition for the Homeless and awareness of children, teens, and adults experiencing homelessness.

At each location, state and local officials gave opening remarks. Special guests at the Waltham location included city of Waltham Mayor Jeannette McCarthy; Waltham City Councilors-at-Large Diane LeBlanc and Kathy McMenimen; Massachusetts Coalition for the Homeless Associate Director Lois Ferraresso; RTN GoodWorks Foundation Chairman of the Board Peter Cole; Massachusetts Credit Unions Social Responsibility Committee Chairman Paul Marotta from Hanscom Federal Credit Union; RTN Federal Credit Union Treasurer/CEO Richard Wright; and RTN Federal Credit Union Senior Vice President of Retail Services Nicole James.

“One of the great things about this program is to know the money we raise has an immediate impact in changing lives, whether it is a blanket or a bed to sleep in,” said Richard Wright. RTN has donated more than $175,000 since the walk’s inception.

Lois Ferraresso expressed her thanks, stating, “Walk Home raises awareness across the state of the needs of the homeless and those at risk of being homeless. It doesn’t matter whether it is families, teens, children, or the elderly, everyone deserves a place to call home. RTN has been an amazing supporter of the Coalition and we are very grateful.”

Numerous corporate sponsors and individuals help RTN Federal Credit Union make this event a great success year after year.

C O M MU N I T Y I N V O LV E M E N T

CREDIT UNIONS REPEAT RECORD DONATION OF $200,000 TO MAKE-A-WISH® NEW HAMPSHIRE

The highlight of the Richard Mahoney Charity Golf Tournament was the check presentation of $200,000 made to Make-A-Wish® New Hampshire. Pictured, from left: CCUA President Paul Gentile; Make-A-Wish New Hampshire CEO Julie Baron and Director of Community Outreach Nikki Lyons; Wish Child Emme; brother Sawyer; mom Katy; and New Hampshire Social Responsibility Committee Chairman Brian Hughes from Holy Rosary Credit Union.

The New Hampshire Credit Unions presented a repeat record-breaking donation of $200,000 to Make-A-Wish® New Hampshire, an organization granting wishes to children with life-threatening medical conditions.

The amount raised surpassed the initial 2016 goal by $25,000 and was achieved through the collaboration and collective efforts of the state’s 17 credit unions with a series of state-wide and local fundraising initiatives. This brings a 20-year total to more than $2.3 million raised by the New Hampshire Credit Unions. The New Hampshire Credit Unions remain the largest

corporate partner of Make-A-Wish New Hampshire.

Accepting the check with Make-A-Wish New Hampshire CEO Julie Baron were Wish child Emerson, age 3, her mother Katy and brother Sawyer.

“We thank all the credit unions for your generous support of Make-A-Wish and helping families, such as ours, share a special moment. It came at a time when we needed it the most as a family,” said Katy.

The presentation took place during the 15th annual Richard D. Mahoney Credit Union Charity Golf Tournament held at the Candia Woods Golf Links, Candia, N. H.

CO-OP FINANCIAL SERVICES

“The New Hampshire Credit Unions are proud to sponsor the golf tournament, which is one of our largest annual fundraisers to benefit Make-A-Wish New Hampshire,” said Brian Hughes, chairman of New Hampshire Credit Unions’ Social Responsibility Committee. “Our donation each year helps Make-A-Wish grant wishes to so many children in our state. There is a big place in our hearts for these kids and the staff at MakeA-Wish.”

Impressed by the energy and collaborative spirit of the credit unions, CCUA President Paul Gentile said, “The New Hampshire Credit Unions have shown incredible commitment and dedication to Make-AWish New Hampshire. Their efforts have made a difference in the lives of thousands of Wish children who have seen their wishes come true.”

Baron praised the efforts of all the credit unions, members, vendors, and CCUA’s Social Responsibility Committee for their contributions each year.

“Thank you for being there for the children of New Hampshire. Your commitment and dedication has helped bring countless smiles, hope, strength, and joy to so many children facing uncertainty and pain,” she said. “The New Hampshire Credit Unions are the power and backbone that has enabled Make-A-Wish New Hampshire to reach an ever-growing number of wish children each year.”

Continued from page 6

with the member. This can be accomplished by the following: Sending a confirmation email to the original email provided by the consumer.

Sending a follow-up letter to the original address of the consumer.

Making a phone call to the original phone number on file.

CCUA CREATES FRAUD WORKING GROUP In a proactive move, the Cooperative Credit Union Association created a fraud working group earlier this year to connect credit unions and cooperatively work to minimize risk exposures due to fraud.

The fraud working group’s focus is to collaboratively increase communication and information sharing among local credit unions. The group serves as a clearinghouse for timely developments and resource tools, standards and technologies, and helps direct grassroots skill and experience, monitor high-impact local areas and increase the potential for uncovering financial fraud early and deterring such unlawful activity. The best ideas and solutions generally come from the member credit union staff in the field observing the marketplace firsthand.

The scope for the group is to tackle issues, such as robberies, ATM skimming, checks, lending, mortgages, telemarketing, identity, elders, Internet, and card fraud, as they may arise. fall.2016 | centerpoint | 13

C O M MU N I T Y I N V O LV E M E N T

CREDIT UNIONS TEAM UP WITH ATHLETES AT THE SPECIAL OLYMPICS RHODE ISLAND SUMMER GAMES

The volunteers representing the Credit Unions of Rhode Island are proud and ready for a great day with the athletes.

More than 60 credit union employees from across Rhode Island volunteered their time to assist, escort and cheer on hundreds of athletes at the Special

Olympics Rhode Island Summer Games held June 3-5 at the University of Rhode Island in Kingston, R.I. This year’s credit union volunteers included staff from Kent

Hospital Federal Credit Union in Warwick; Navigant Credit Union in Smithfield; Pawtucket Credit Union in Pawtucket; People’s Credit Union in Middletown;

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Rhode Island Credit Union in Providence; Wave Federal Credit Union in Warwick; Westerly Community Credit Union in Westerly; and CUNA Mutual Group.

Additionally, 18 volunteers from Coventry Credit Union in Coventry helped serve a barbecue lunch to the athletes and their guests on the closing day of the games.

Special Olympics Rhode Island Executive Director Dennis DeJesus is grateful for the support the credit unions give each year.

“The 48th annual Special Olympics Rhode Island State Summer Games were a major success – a celebration of acceptance, inclusion, respect, and dignity. Thank you to the Credit Unions of Rhode Island for your volunteer efforts, your generosity and most importantly, your advocacy for the athletes of Special Olympics Rhode Island. You are a valuable member of our community.”

During the games, the volunteers served as “clerks” for the walking and running

events, checking in the athletes, gathering them into heats for their races, escorting them to the track, and cheering them on as they competed.

Adele Moreau of Wave Federal Credit Union, was the unofficial “hall monitor” for the day. A volunteer for nearly 20 years, she whooped it up with the athletes, giving high-fives and enthusiastic fist pumps as they made their way to the track.

“I truly, truly love watching the groups come down the hall,” she said. “Seeing the athletes year after year gives me so much joy.

I love cheering them on. It’s just awesome and I wouldn’t miss it.”

“These kids have so many challenges but you wouldn’t know it,” said volunteer Kim Denny of Pawtucket Credit Union. “They look at life and they’re happy. It’s inspiring.”

The interactions between volunteers and athletes were resoundingly positive, making for an unforgettable experience.

“By the time you get them to the event they are competing in, you’ve already

formed a special bond and you cheer them on with tears in your eyes,” said Denny, describing the experience many volunteers share.

“Seeing these kids feel so good makes me feel good,” says longtime volunteer Cheryl Cady of People’s Credit Union. “I leave with a wonderful feeling in my heart.

It’s a beautiful thing.”

“The Credit Unions of Rhode Island have embraced the magic that is the Special Olympics and have committed themselves deeply to its success,” said Cooperative Credit Union Association President Paul Gentile. “It’s become much more than a partnership. Special Olympics Rhode Island has become part of the credit union family and it has led to some wonderful results.”

The credit unions host a number of events throughout the year to support Special Olympics Rhode Island financially, including golf and bowling tournaments, candy sales and direct fundraising.

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Putting Members First...

Branch Redefining the

Future of the

Whatever Physical Form it Takes, Branching Is – and Always Will Be – About Member Service

By Michael J. Purchia & Timothy J. Ryan

If you have been in financial services for a while and hear someone refer to the “Branch of the Future,” you might be thinking, “Please, not again!” A colleague recently suggested that someone ought to publish A History of the Branch of the Future to remind financial institution leaders of the many mistaken ideas and futile efforts that have been expended in pursuit of this elusive goal.

And yet, the question remains valid. We know there will continue to be branches for the foreseeable future, and we know they will be different in many ways from past or current branches. Like it or not, we all need to make decisions today about our own Branches of the Future (BOTF).

We know that customer use of branches is changing: • Since 1992, U.S. retail-branch transaction volumes have declined more than 45 percent.

• Branch transactions are projected to decrease 2.5 percent annually over the next five years.

• Online and mobile transactions are projected to grow in excess of 10 percent annually during the same period.

Nevertheless, branches remain a crucial element in the distribution strategy of almost all credit unions: • Today, members (including Millennials) value their visits to the branch even more for advice and high-value sales. While digital shopping influences 80 percent of new consumer-checking decisions, 90 percent of checking accounts are opened in the branch.

• Location convenience remains a primary driver of member behavior in selecting a financial institution. Just look at how few of your own new members come to you from outside of your branch network footprint.

• Wells Fargo has been increasing its number of branches. “Maintaining a digitally supported physical presence is important, particularly for small businesses,” CEO John Stumpf said. “It doesn’t mean we have to build 5,000- or 6,000-square-foot stores; many of the new branches are 1,000 square feet.”

16 | centerpoint | fall.2016

In the face of these trends, it is reasonable to ask what your BOTF should look like and how it should operate to better serve members – and do it more profitably – in the coming years. We asked this question to a handful of successful credit union professionals who we know are innovative, yet still have their feet on the ground.

WHAT DOES THE BOTF MEAN TO YOU? Bellwether Community Credit Union was started by New Hampshire Bell Telephone System employees in 1921. Today it is a $450 million financial institution with three Bellwether branches and 15 CO-OP shared branches. In 2001, Bellwether became a community credit union. CEO Michael L’Ecuyer said, “When we received the last community credit union charter issued in New Hampshire, we decided that we needed to be distinctive and not look like everyone else. We did our due diligence and then introduced dialogue banking years before the competition. It turned out to be a great way to get closer to our members and to better understand their financial challenges. We continue to see branches as an effective way to attract members and gather deposits.

However, there needs to be a well-documented need and location where our member-delivery model can thrive.”

Over the years, George Charette, CEO of Pawtucket Credit Union, the largest credit union in Rhode Island, has often been at conferences and read the articles about the coming cashless society. According to Charette, “The progression of technology has served to dramatically alter our operating environment. However, while we continue to deliver on the promise of increased convenience through technology, banking is still a person-to-person business when your member/customer needs it to be. We believe in having a personal relationship with our members who want to utilize our branch network for transactions and financial advice.

Advancing technologies have provided more ways for our members to interface with us and the expectation of lower branch transactions will allow us to plan for smaller-footprint branches in the future.”

Art Loomis, president of Northeast Capital, a New York-based investment bank with a long track record of working with community and regional banks and credit unions, said, “Money center and super

regional banks are generally abandoning exurban and rural markets to focus their capital and distribution channels on markets where they have critical mass and can capitalize on favorable demographics. We are seeing attractive opportunities to acquire closed branches, or branches with deposits, where community institutions can implement their more personal branch/customer experience, while using new technologies to lower operating costs.”

Workers Credit Union was founded in 1914 to support the financial needs of Finnish families in Fitchburg, Mass. Today, Workers is a $1.3 billion financial institution with a widely applauded member profitsharing program, Workers GiveBack. CEO Doug Petersen says, “The latest and greatest technology might be cool, but if it’s unproven, we don’t want to go there. Member convenience is fundamental. We look to judiciously build new branches given the trend to self-service. When we see member needs in a market that require personal service, we do our homework to build a branch that is not capital intensive and can be operated efficiently. That’s how we can be successful and continue our Workers GiveBack program.”

Hanscom Federal Credit Union began in 1953 on Hanscom Air Force Base in Bedford, Mass. The $1.1 billion financial institution continues to serve select employee groups (SEGs) in workplace-based branches throughout metropolitan Boston and has also seen the need to open retail-based outlets. The most recent facility, the iBranch, is located in Burlington, home to high-tech corporations like Oracle and SAP AG. Scott Post, senior vice president of strategy and delivery, has been a driver in evolving the way Hanscom FCU interacts with its members. According to Post, “Members today have a variety of options to self-serve transactions. What they now need is face-to-face help with managing more complex aspects of their financial lives. The iBranch does that by using technology to untether staff from the traditional MSR desk and engage with members to inform and inspire in the manner most comfortable to them. This can range from using the in-branch tablet discovery station for a remote-deposit capture tutorial to presenting a lunch-and-learn session covering credit scores in the configurable conference suite. We want our members and visitors to feel empowered in our iBranch.”

Summarizing what we heard from these individuals who are adapting to the new opportunities that branches provide, here are four key takeaway points for use in thinking about your own BOTF decisions.

1. UNDERSTAND THE BRANCH’S ROLE IN YOUR OVERALL STRATEGY One often hears that the BOTF will need to focus on sales and service. But properly understood, that’s all they have ever been about. A financial institution opens branches in order to make it more convenient to prospective members. And there is ample evidence that branch location remains a potent influencer of member decision-making. To fulfill this “member attraction” role, the branch must accommodate the routine needs of its members – including teller transactions if they so desire. A reduction in demand for teller services will not reduce the need for branches. It will, however, affect the size and composition of the staff, and alter the nature of the environment most appropriate to the new mix of activities.

2. FOCUS ON WHAT REALLY MATTERS A well-conceived and carefully implemented branch layout can improve staff efficiency and sales effectiveness. Member perceptions and

behaviors can be influenced by the branch environment. Your brand promise can be made tangible in the member experience delivered at the branch. All of this requires careful planning and skillful execution.

Yet having the right number of branches, at the right sites, serving the right markets, plays a far greater role in your success than does any combination of decisions about carpet colors, merchandizing fixtures or a coffee bar. When making decisions about current and future branches, don’t let rigid ideas about branch size and cost dictate which locations can and can’t be profitable. Your branch-design approach should accommodate your overall location strategy – not the other way around.

3. DRIVE PER-BRANCH CAPITAL COSTS LOWER High construction costs for new branches, along with real estate acquisition and development costs, can tie up capital resources needed for other strategic initiatives, such as improved systems or enhanced digital channels. If your branch investment cannot be tailored to circumstances, promising market opportunities will be delayed or forfeited.

Conventional branch designs are based on assumptions that do not match today’s realities – or tomorrow’s. Smaller branch formats, opened in lease space, require far less capital and come online quickly. Techniques borrowed from retail store design, such as increased use of pre-fabricated fixturing, can further reduce per-branch costs, increasing your ability to act strategically.

4. CONTROL BRANCH OPERATING COSTS Minimizing operating costs, especially personnel expenses, is critical to the viability of individual branches – particularly where activity levels and revenues have yet to fully mature. Therefore, new or remodeled branches should be designed to function efficiently at low staff levels.

Conventional branches operate poorly when the staff headcount drops, resulting in substandard member experiences. New branch formats excel by supporting flexible staff responses to minute-by-minute variations in the volume and mix of member traffic.

Community financial institutions can improve profitability and increase market share by opening new branches, or reconfiguring existing ones, to better serve the members of today and the future. But to maximize your success, you must be willing to look past the spotty history of the BOTF, to embrace new approaches that meet clearly defined strategic goals.

Michael J. Purchia is managing director of Quincy, Mass.based Paramount Financial Institutions Group. He can be reached at mpurchia@paramountpartners.com. Timothy J. Ryan is an architect and business consultant. He can be reached at timryan.rwa@att.net. fall.2016 | centerpoint | 17

CCUA MEMBER CREDIT UNIONS AWARD MORE THAN $232K IN SCHOLARSHIPS Credit unions have a longstanding commitment to educating the best and the brightest minds in their communities for future success.

Evidence of this promise comes in the form of the many academic scholarships they confer each year.

“Education is a fundamental principle of cooperatives,” said CCUA President Paul Gentile. “Our credit unions understand the power of education and the positive lasting effects it can have on a young person’s life. Their foresight and generosity are to be commended.”

Earlier this year, 34 Cooperative Credit Union Association (CCUA) member credit unions in Massachusetts, New Hampshire and Rhode Island as well as CCUA Massachusetts chapters awarded an impressive $232,350 in college scholarships.

The breakdown is as follows: Align Credit Union Lowell, Mass. – $13,000 Arrha Credit Union Springfield, Mass. – $6,000 Blackstone River Federal Credit Union Woonsocket, R.I. – $500 Coventry Credit Union Coventry, R.I. – $10,000 Direct Federal Credit Union Needham, Mass. – $6,000 Everett Credit Union Everett, Mass. – $1,000 GFA Federal Credit Union Gardner, Mass. – $2,000 Greenwood Credit Union Warwick, R.I. – $500 Greylock Federal Credit Union Pittsfield, Mass. – $6,500 Hanscom Federal Credit Union Bedford, Mass. – $10,500 Jeanne D’Arc Credit Union Lowell, Mass. – $10,000 Holy Rosary Credit Union Rochester, N.H. – $8,750 Homefield Credit Union North Grafton, Mass. – $3,500 IC Federal Credit Union Leominster, Mass. – $5,000 Luso American Credit Union Peabody, Mass. – $8,000 Malden Teachers Federal Credit Union Malden, Mass. – $1,000 Mass Bay Credit Union South Boston, Mass. – $3,200 MassMutual Federal Credit Union Springfield, Mass. – $10,000 Members First Credit Union Manchester, N.H. – $7,500

18 | centerpoint | fall.2016

Merrimack Valley Credit Union Lawrence, Mass. – $1,500 Naveo Credit Union Somerville, Mass. – $4,000 Navigant Credit Union Central Falls, R.I. – $15,500 Pawtucket Credit Union Pawtucket, R.I. – $32,500 People’s Credit Union Middletown, R.I. – $5,500 Pioneer Valley Federal Credit Union Springfield, Mass. – $4,000 Quincy Credit Union Quincy, Mass. – $4,000 Rhode Island Credit Union Providence, R.I. – $500 RTN Federal Credit Union Waltham, Mass. - $10,000 Southern Mass Credit Union Fairhaven, Mass. – $5,000 St. Mary’s Bank Credit Union Manchester, N.H. – $2,400 Wave Federal Credit Union Warwick, R.I. – $500 Westerly Community Credit Union Westerly, R.I. – $4,500 Worcester Credit Union Worcester, Mass. – $2,000 Workers Credit Union Fitchburg, Mass. – $3,000 Chapters (Mass.)

• Berkshire County Chapter – $1,500 • Central Massachusetts Chapter – $5,000 • Metro-Boston Chapter – $1,500 • Pioneer Valley Chapter – $13,500 • Southern Massachusetts Chapter – $1,500 • Tri-County North Chapter – $1,500

C R E D I T U N I O N P EO P L E Franklin First Federal Credit Union Names Dwyer New CEO/President Franklin First Federal Credit Union located in Greenfield, Mass., announced the appointment of Michelle Dwyer as the credit union’s CEO/president. Dwyer, who has been with the credit union since 2007, replaced retiring CEO/President MarMichelle Dwyer tha Richardson, who left after 32 years of service.

“We thank Martha for her many years of dedicated service to the credit union and welcome Michelle to her new role,” board chair Karen Herzog said. “We are delighted to have someone with Michelle’s insights and knowledge of Franklin First and its members. We look forward to her leading the credit union team to continued growth and many years of service to our loyal members.”

Dwyer earned an associate’s degree from Greenfield Community College. She began at the credit union as a teller and was promoted to lead teller and then to accounting specialist in March 2013. Dwyer was a past Credit Union Rising Star recipient in 2012 and earned the CCUE designation in 2013 and a CUCE designation in 2014 from CUNA. Her community service activities include serving as a Relay for Life team captain and as a volunteer at the Franklin County Regional Dog Shelter in Turners Falls.

A resident of Greenfield, she enjoys running and hiking in her free time.

Members First Credit Union Promotes Betz to Senior Vice President, CFO Members First Credit Union in Manchester, N.H., announced the promotion of Karl F. Betz to senior vice president and chief financial officer.

As a member of the credit union’s executive team, Betz is responsible for oversight of the treasury, inKarl F. Betz vestment and accounting functions.

“We are thrilled to announce Karl’s promotion to senior vice president and chief financial officer,” said Bruce Leighton, president/CEO of Members First. “He is a seasoned financial and accounting professional who brings skill and leadership to our institution.”

Betz, who has more than 25 years of accounting and financial accounting experience, joined Members First in 2013 as vice president and chief financial officer. Prior to Members First, he served as senior vice president of enterprise risk management at GFA Federal Credit Union in Gardner, Mass. He holds a bachelor’s degree in accounting from Bentley University in Waltham, Mass. and a master’s degree in business administration from Northeastern University in Boston.

Greylock Federal Credit Union Hires Gerard; Promotes Maschino and Solak; Welcomes New Supervisory Committee Member Greylock Federal Credit Union in Pittsfield, Mass., announced the hiring of Jeffrey Gerard to serve on the management team as senior vice presiJeffrey Gerard dent and chief risk officer, and the promotions of Janine Maschino to vice president and manager of IS operations and

Mark Solak to vice president and manager of consumer lending. Allison L. Bedard has been appointed to Greylock’s volunteer supervisory committee by the board of directors.

Gerard brings 33 years of financial experience to Greylock. Since 2008, he was with Keesler Federal Credit Union in Biloxi, Mississippi, where he was most recently senior vice president and chief operations officer, after serving as Keesler’s vice president of risk management. Previously, he worked for Wachovia Bank in Winston-Salem, N.C., and Dominion Bankshares in Roanoke, VA. Gerard has extensive experience developing and managing risk strategy and regulatory interactions, directing operations management and participating on executive leadership teams.

Maschino has been with Greylock for eight years. In addition to overseeing the credit union’s technical support operations, she manages Greylock’s disaster recovery, business continuity, vendor management, and IT compliance programs. She will be taking on additional responsibilities managing the networking, application, and databasemanagement functions as well as staff in those areas.

Janine Maschino Solak joined Greylock 10 years ago in branch management. In his current role, he has led the continued growth of Greylock’s indirect lending program and upgrades in the credit union’s consumer lending department, including centralized underwriting, improved asset quality and enhanced reporting. Solak’s new responsibilities will include the expansion of Greylock’s new road loan program Mark Solak and due diligence on a new student lending program, as well as loan profitability and department efficiency.

Bedard is a CPA and an audit manager at Adelson & Company PC, Pittsfield, Mass. She has been with the firm since 2010 and served as a staff accountant and supervisor before assuming her current position. Bedard is a 2008 graduate of the Massachusetts College of Liberal Arts, where she earned a bachelor’s degree in business administration and Allison L. Bedard was a member of the Delta Mu Delta Honor Society. She received a master’s degree in accounting from The College of Saint Rose in 2010, and is a 2013 graduate of the Berkshire Leadership Program.

Pawtucket Credit Union Hires Fish Pawtucket Credit Union in Pawtucket, R.I., announced the addition of Linda Fish as vice president of information security (IS).

Fish has more than 18 years of experience in the IT risk management field, most recently serving as director of information security at Blue Cross Blue Linda Fish Shield of R.I. Her responsibilities include maintaining and executing the credit union’s IS program, ensuring compliance with state and federal regulations. Fish is a volunteer for various community organizations, including the Rhode Island Community Food Bank, Save the Bay and the East Providence Boys & Girls Club.

Continued on next page

fall.2016 | centerpoint | 19

C R E D I T U N I O N P EO P L E

Continued from previous page

GFA Federal Credit Union Welcomes New Vice President of Member Engagement Siobhan Bohnson has joined the staff at GFA Federal Credit Union in Gardner, Mass., as vice president of member engagement. She oversees all nine GFA branches.

Siobhan Bohnson With more than a decade of banking experience, Bohnson previously served as president/CEO for the Milford area Chamber of Commerce. She also has held the positions of branch manager and vice president of retail banking at other financial institutions.

Bohnson has advanced certificates in banking from ABA Stonier, Graduate School of Banking at University of Pennsylvania, with a leadership certificate from Wharton School of Business. She is a graduate of Fitchburg State College.

An active resident of West Boylston, Bohnson is serving her second term as selectman. She has held positions on the West Boylston school committee and takes the opportunity to volunteer to local nonprofit organizations.

Alexander Joins Southbridge Credit Union Kate Alexander joined Southbridge Credit Union in Auburn, Mass., as chief sales and retail officer and executive team member. She is responsible for all member experience and sales and marketing accountability, which include Kate Alexander product offerings, advertising, branch appearance and feel, and mobile applications.

Previous to her new position, Alexander was a senior marketing manager at Staples Inc. Prior to that, she worked at Southbridge Savings Bank in various roles related to sales, training and marketing, and was promoted to vice president.

Alexander is active locally, serving on the Sturbridge School Committee for the past 12 years and currently as chair. She is a founding member of the Tantasqua Education Foundation, has volunteered with the South Central Massachusetts Chamber of Commerce and as a coach in many youth sports. She was named a “Forty under 40” by the Worcester Business Journal.

Doherty Joins Holy Rosary Credit Union Holy Rosary Credit Union in Rochester, N.H., announced the hiring of Aimee Doherty as assistant vice president of operations.

For the past eight years, Doherty has worked as an account relationship manager at Synergent Aimee Doherty in Westbrook, Maine. In her position, Doherty assisted credit unions across the country by creating product and service solutions focused on operational efficiency and tailored to the institution’s unique needs.

A native of Barnstead, N.H., Doherty attended the University of Southern Maine, graduating with a bachelor of science degree with a concentration in business finance.

20 | centerpoint | fall.2016

“We are very excited to have Aimee join our team,” said Brian Hughes, president/CEO of Holy Rosary Credit Union. “Her past experience working collaboratively with credit unions will be a tremendous asset for us.”

Perlupo Joins Workers Credit Union Beckie Perlupo has joined Workers Credit Union in Fitchburg, Mass., as vice president, assistant treasurer and controller.

A Newton, N.H. resident, she oversees the overall operation of the accounting department. Perlupo was previously with Eastern Bank. She graduated with a bachelor’s degree in finance from Bentley College and received a certificate in business information systems from Southern New Hampshire University.

In Memoriam Thomas J. Smalarz, Southbridge Credit Union Former Southbridge Credit Union (SCU) President/CEO Thomas J. Smalarz died July 5 after a long battle with a terminal illness.

Smalarz served Southbridge Credit Union and its communities in various capacities for Thomas J. Smalarz more than 35 years. Following his retirement, he continued to serve as a member of its board of directors.

“Tom was a true gentleman and good person who cared deeply for his credit union, its members, and its employees,” said Jeffrey Davenport, current president/CEO of Southbridge Credit Union.

“He also had a very special love for the community of Southbridge.

When the news about Southbridge was negative, Tom always found what was good about this community as a response. He gave more than 40 years of his life to this organization and industry and he will be missed. Tom was one-of-a-kind and I’m truly a better person today having worked with him over the past eight years. I learned something from Tom, personally and professionally, at every encounter I had with him. We have lost a true friend with Tom’s passing.”

Richard Sylvain, Holy Rosary Credit Union Richard “Dick” Sylvain, a longtime director and volunteer of Holy Rosary Credit Union in Rochester, N.H., died suddenly on June 11. He served on the board of directors for 35 years and was chairman for 18 years.

Richard Sylvain “Dick loved Holy Rosary Credit Union and what credit unions stood for. He attended many league events with his wife Muriel and completed many credit union volunteer education programs,” said Brian Hughes, president/CEO. In 2008, Sylvain resigned from the board to take a job at the credit union part-time as a courier and handyman. In 2008, he was appointed to the credit union’s council of trustees and attended every board meeting up until his death.

The Cooperative Credit Union Association extends its sympathies to the Smalarz and Sylvain families.

C R E D I T U N I O N C A L E N DA R SPECIAL EVENTS

WEBINARS

CONFERENCES AND CONVENTIONS Volunteer Leadership Conference October 7-9, 2016 – Clarion Hotel, Ocean City, MD

Navigating Compliance Issues for Promotions, Bonuses, Contests & Sweepstakes September 13

Cooperative Credit Union Association Annual Meeting and Convention October 12–14, 2016 – Mohegan Sun, Uncasville, CT

HMDA Roadmap Part 1: Impact, Important Changes & Implementation Considerations for Lenders September 19

CU Accelerate April 20–22, 2017 – Wentworth by the Sea, New Castle, NH

SiriusXM® Credit Union Program September 20

Notary Essential & Legalities for Credit Unions November 2

Director Series: Director & Officer Liability: Rules, Risks & Trends September 20

Cyber Series: Member Authentication & Validation: The New Normal in Risk Mitigation November 3

ACH for the Frontline September 21

SiriusXM® Credit Union Program November 8

Debt Collection Series: Best Practices for Garnishments & Levies: Getting It Right!

September 22

Form 1099 Reporting: Third-Party Vendors, Foreclosures, Debt Forgiveness &More November 9

SiriusXM® Credit Union Program September 27

Audit Compliance Series: Developing a Risk-Based Compliance Audit Process for Deposits November 10

Hike-The-Hill September 14–15 – Washington, DC

SEMINARS AND SCHOOLS

Credit Union Employee Boot Camp September 14...................................... CCUA, Marlborough, MA November 2 (Delaware)..................................... New Castle, DE November 22........................................CCUA, Marlborough, MA BSA Update September 20.................................... Angelica’s Middleton, MA November 15........................................CCUA, Marlborough, MA Consumer Lending Basics September 29.......................................CCUA, Marlborough, MA Surpervisory Skills November 3 (Delaware).....................................New Castle, DE Developing Great Managers October 4 - Part I...................................CCUA, Marlborough, MA November 8 - Part II...............................CCUA, Marlborough, MA December 6 - Part III..............................CCUA, Marlborough, MA

NETWORKS

Collection, Compliance and Branch Council Meeting October 18 (Delaware)....................................... New Castle, DE

Compliance Network Compliance Network Meetings Sponsored by: Macpage LLC October 5.............................................. CCUA, Marlborough, MA December 8.......................................... CCUA, Marlborough, MA

Finance Network Finance Network Meeting Sponsored by: UBS September 20 ......................................CCUA, Marlborough, MA December 7..........................................CCUA, Marlborough, MA

Financial Education Network Financial Education Network Meeting September 21....................................... CCUA, Marlborough, MA

HR Network HR Network Meeting December 1.......................................... CCUA, Marlborough, MA

Lending Network

SiriusXM® Credit Union Program September 13

Cyber Series: Mobile Remote Deposit Strategies: Technology, Deployment Models & Risks September 27

WEBINARS

Audit Compliance Series: Auditing Your Loan Portfolio: Consumer, Commercial & Real Estate Ocotober 26 Financial Literacy Part 2: Using Financial Statements & Key Ratios to Understand & Monitor Your Credit October 27 SiriusXM® Credit Union Program November 1

Nonresident Alient Accounts: W-8s, W-8BENs, BSA Rules & More November 14

Maximizing LinkedIn to Build a “Social Selling” Culture September 29

SiriusXM® Credit Union Program November 15

SiriusXM® Credit Union Program October 4

Quarterly Supervisory Committee Series: What the Board Needs to Know to Manage IT November 16

Handling Dormant Accounts, Unclaimed Property & Escheatment October 4 Essential Compliance Regulations for Deposit Operations October 5 Avoiding the Top 10 Legal & Compliance Mistakes in the E-Statement Process October 6 SiriusXM® Credit Union Program October 11 HMDA Roadmap Part 2: Operations Systems, Audit & Reporting Implications October 11 Frontline Series: Skills & Tools for Improving Teller Performance October 12

Handling ACH Exceptions & Returns: Unauthorized, Revoked, or Stop Payment?

November 17 SiriusXM® Credit Union Program November 22 Trust Accounts: Opening, Transacting, Deposit Insurance & More November 22 SiriusXM® Credit Union Program November 29 Top 10 IRA Issues: Compliance, Reporting, Death & Distributions November 29 Annual Robbery Training for All Staff November 30

Lending Network Meetings September 27....................................... CCUA, Marlborough, MA November 9.......................................... CCUA, Marlborough, MA

Proper Repossession, Notice & Sale of Non-Real Estate Collateral October 13

Meaningful & Strategic Stress Testing: A Valuable Board & Management Tool December 1

Marketing & Business Development Network

SiriusXM® Credit Union Program October 18

SiriusXM® Credit Union Program December 6

Liquidity Funding Concerns in a Rising Interest Rate Market October 18

Cyber Series: Meeting Federal Requirements for Tech-Based Marketing: Websites, Social Media Robo Calls and More December 6

Marketing & Business Development Network Meetings Sponsored by: Synergent October 19............................................ CCUA, Marlborough, MA December 15........................................ CCUA, Marlborough, MA

Small Credit Union Network Small Credit Union Network Meeting September 28....................................... CCUA, Marlborough, MA December 14........................................ CCUA, Marlborough, MA

Training Network October 26............................................ CCUA, Marlborough, MA

Understanding Title Insurance Policies, Commitments & ALTA Endorsements October 19

Rewarding & Retaining the Best Employees December 8

SiriusXM® Credit Union Program October 25

SiriusXM® Credit Union Program December 13

Conducting the 2016 ACH Audit Debt Collection Series: Maximizing Recoveries on Charged-Off Loans October 25

Lending Series: Loan Review: Consumer, Commercial & Real Estate December 13

Please visit the Cooperative Credit Union Association’s website for additional calendar events, webinars, meetings dates and times. www.ccuassociation.org.

fall.2016 | centerpoint | 21

We connect all the pieces

The Value of Partnership Palisades Credit Union in Pearl River, NY wanted to maximize their core processing capabilities while increasing efficiencies. Partnering with Synergent’s team of experts provided the technology to expand their offerings.

“When we visited Synergent, we were really impressed with their technology, with everything that they had to offer. We were really excited that they could provide what we were looking for going into the future.” ~ Tony Molina, President/CEO, Palisades Credit Union

For more information, contact: Fred Barber, Account Executive fbarber@synergentcorp.com 800-341-0180 ext. 593

Technology Services providing Symitar Episys Core Processing Payment Services Direct Marketing Services

for credit union success!

synergentcorp.com

Return on Partnership Three years after a core processing conversion with Synergent, HRCU’s management team is seeing trends in operational efficiencies, membership growth and mobile banking usage.

”Since we converted in 2013 to now, our operating costs have gone down. We found that the operation with Synergent really lends itself to being very efficient in that they can do a lot of the work for us.” ~ Brian Hughes, President/CEO, HRCU

Visit synergentcorp.com/leveragedata and hear both credit unions’ amazing stories.

PUT YOUR BRANCH TRANSFORMATION GOALS INTO FOCUS

Bank Design • Architecture • Branding • Bank Equipment Construction • Branch Transformation 905 South Main Street, Bldg B Suite 201, Mansfield, MA 02048 • 508-339-6600 www.nes-group.com

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