WASHINGTON–At its recent meeting the CUNA board agreed to a 2018 budget that projects a negative $4.9 million bottom line primarily due to the one-time costs associated with its move into new leased office space in Washington, D.C.
That figure includes an estimated $4-million cost related to vacating its current office space that it says will be offset by an estimated $1 million per year savings over the remaining 10 years of the lease. Projections for the 2019 and 2020 budget have a positive bottom line of $1.7 million and $987,000, respectively, according to a summary of a December CUNA board conference call obtained by CUToday.info.
CUToday.info has coverage of the new headquarters facility, located near Nationals Park and the Navy Yard area, here.
The board also approved a line of credit through Summit Credit Union, with a value determined by staff to best balance the potential of investing additional CUNA cash balances in accounts with higher yields, according to the document.
Other moves made by the board at the meeting include:
- The CUNA Executive Committee voted to revise the positions as CUNA’s top management officials and top financial officials for purposes of 990 reporting as follows: president, chief operating officer, chief advocacy officer, chief engagement officer, chief products and services officer and the chief financial officer.
- The board approved updating language from a 1996 policy related to the president’s authority to manage the financial affairs of CUNA. Rather than seeking approval of unbudgeted funds up to the annual aggregate of $100,000, the board authorized the president to address opportunities and challenges that arise in any manner that is in alignment with board objectives, reserve requirements and budget bottom line.
- The board voted to support enhancement of the CUNA/league system’s policy brand excellence by maintaining or improving overall and category metrics to the brand strength and credibility measures established by the National Journal Policy Brand Roundtable.
- The board reviewed CUNA’s ongoing advocacy efforts, noting “Bank attacks are continuing and are taking more of a federal focus in many states. Our System must remain steadfast in explaining why credit unions are tax exempt. If we don’t tell our story, the bankers will tell their story.”
The next CUNA board meeting is scheduled to be held in conjunction with the Governmental Affairs Conference Feb. 24 - March 1.