SOUTHFIELD, Mich.–The Michigan Credit Union League’s board has voted unanimously to tell CUNA that it believes state leagues should maintain local control of their names and dues formulas, but that it also supports giving credit unions the option to join the league and CUNA separately if so desired.
A resolution passed by the board also states that CUNA can improve its overall advocacy effectiveness by developing a stronger, bolder national legislative and regulatory agenda with improved grassroots lobbying and coordination between CUNA, state associations and member credit unions.
According to the Michigan league, its board passed the resolution after an overwhelming number of MCUL members surveyed responded in opposition to the proposed changes.
The resolution comes at the same time CUNA’s System Structure and Governance Task Force has been examining different models for the current three-tiered CUNA membership structure, including requirements that credit unions belong to both their state league and CUNA, and also uniting CUNA and the leagues in one organization under the umbrella “America’s Credit Unions.”
“The hallmark of the credit union movement has always been strong local and state governance and collaboration,” said MCUL CEO Dave Adams in a statement published by the league. “Member credit unions in chapters supporting state associations should continue to coordinate with the national association, not submit to national governance.”
Among some of the items addressed in the MCUL resolution:
- Dues Optionality: The MCUL said it believes strongly that, based on its own member survey results, a very large majority of member credit unions favor having a choice in joining either CUNA, MCUL or both. Based on this input and national polling data, MCUL believes CUNA should enable state associations to allow choice in state/national affiliation if deemed desirable by the membership of each respective state association. “This choice should not be limited by CUNA and its bylaws,” the MCUL said.
- Name and Branding of State and National Associations: The name and brand of state associations are the prerogative of each state association and should be decided by them, not by CUNA (i.e., Michigan Credit Union League vs. Michigan’s Credit Unions), the league said.
- Dues Formulas and the Collection and Allocation of State Association Dues: State association boards and their members should determine dues formulas, the allocation of those dues and how they are collected, not CUNA.
- League Participation and Access by Credit Unions with Multi-State Operations. The resolutions states that CUNA-affiliated credit unions should pay state association dues in the state where their headquarters is domiciled and, if affiliated in that state, they should be afforded access to other state association services (as prescribed by each state association policy) without a requirement for additional dues or a reallocation of state association dues.
- How To Improve Advocacy Results: “Structure and dues collection practices (whether centralized or decentralized) and dues formulas will not improve advocacy effectiveness,” the league resolution states. “Rather, what is needed is a bold, national legislative and regulatory agenda, and improved grassroots lobbying with coordination between CUNA and state associations and member credit unions.”
- Robust Non-Dues Income Strengthens Trade Associations: Appropriate respect should be afforded to the importance of associations developing sources of non-dues income in order to reduce dues costs for member credit unions.