Defense Credit Unions Serving the in MLA Compliance N Prepared Portions of DCUC’S Defense Matters Forum (Feb

ISSUE 2 / FEBRUARY 2021

DCUC Latest Accomplishments DCUC is the premier defense trade association representing the interests n Wrote important op-ed in CU Times regarding CFPB taking a more activist role of defense credit unions serving the in MLA Compliance n Prepared portions of DCUC’s Defense Matters Forum (Feb. 25)—1-Hr digital event U.S. Armed Forces worldwide. n Invited Rep Anthony Brown (D-MD) and the Hon. Kyle Hauptman, Vice Chair of NCUA n Agenda includes what to expect from the new 117th Congress, a new Administration, NCUA changes, and ongoing DoD and VA issues from a Defense Credit Union perspective “As 2021 comes into n Selected four CU staff winners for the 2021 DCUC’s Annual George E. Myers (GEM) focus and details begin to Scholarship—winners will be publicly announced during Defense Matters n Look for Tony’s interview with Lieutenant General H.R. McMaster (USA, Ret) at the CUNA emerge on how the 117th GAC; featuring strategic insights from Battlegrounds: The Fight to Defend the Free World n DCUC is proudly sponsoring CUNA’s 2021 GAC Crasher Program’s THUNDERPUNCH Congress and the new event—ongoing commitment to diversity and building future credit union leaders Biden Administration will n Made progress on DCUC’s Emerging Technology Panel working with Filene Research Institute govern, one thing is clear— n Need CEO and CTO volunteers to help research and product test and evaluations there has never been a more important time to be a DCUC member.” DCUC Happening Now —Anthony Hernandez, President n Resending dues notices to a few DCUC members—USPS delays/lost mail in several cases and CEO, DCUC nIf you have sent payment and not received confirmation of receipt, please contact us! n Developing DCUC’s 3rd video project—will feature Veteran’s Day Message of “THANKS” n Video expected to be unveiled at DCUC’s Annual Conference n Matching DCUC member executives for new 90-day Cross-Cultural Exchange Program in INSIDE THIS ISSUE partnership with the African American Credit Union Coalition and CU system partners n Will focus on credit union leadership, personal development, and professional networks n DCUC is seeking volunteers to participate in this pilot project CEO Update……………………………2 View from the Board………………4 Capital Corner………………………5 DCUC Upcoming Activities Technology & Innovation…………7 DCUC Conference……………………8 n Register for DCUC’s Annual Conference in Naples, FL—August 10–13, 2021 n Note: Based on member feedback—entire DCUC program shifts 2 days later in CU Young Professionals…………9 the week n Will combine Filene Research Institute’s Emerging Technology Event and DCUC Defense Credit Union Overseas Update People in the News……………… 10 n All safety precautions and distancing will be followed—see webpage for details n Seeking CU input for new Branch Manager Guide—publish by DCUC Annual Conference Defense Credit Unions n Closely working with DoD Service-level banking liaison officers and military commanders in the News………………………… 10 n Start to focus on April’s “Military Saves Month”—we encourage you to sign up n DCUC is looking to re-schedule our Overseas Sub-Council to 2022—details in progress! Awards & Recognition………… 11

Serving Those Who Serve Our Country DEFENSE CREDIT UNION COUNCIL, INC. is an association of credit unions serving Department of Defense military and CEO Update civilian personnel worldwide. BOARD OF DIRECTORS Anthony Hernandez, President and CEO, DCUC Michael Kloiber Chairman Bill Birnie 1st Vice Chairman Importance of DCUC Heading Into 2021 Jack Fallis 2nd Vice Chairman s 2021 comes into focus and details begin to emerge on how the 117th Congress and Gary Yonamine A the new Biden Administration will govern, one thing is clear— there has never Secretary been a more important time to be a DCUC member. As expected, we can already see Maggie Sayer signs of a new regulatory and activist approach in how credit unions will operate in Treasurer the near future. While everyone can agree that consumer financial protection is Denise Floyd important for our industry to maintain our member’s trust, differences in how to ensure Member we all adhere to this common value is already causing some uncertainty. Frank Padak One thing is certain, many policy changes are inbound. It does not matter the size Member of your credit union, how you or your members voted, or whether lessons learned from COUNCIL SUPPORT STAFF the past will need to be “re-learned” all over—we will need to be prepared to demonstrate Anthony Hernandez how we live up to our mission of meeting the credit and savings needs of consumers. President/CEO This includes those of modest means, which easily encompasses our military and veteran Beth Merlo communities. Vice President Christa Dittus Here are a few items of interest (and this is just a start): Marketing Specialist 1. A resurgence of the Community Reinvestment Act. In this case, where it may Charlotte Randall expand to include credit unions. This would be harmful for all credit unions and would Communications Specialist represent unnecessary regulatory burdens, particularly on smaller credit unions, for Natalie Rogers discriminatory practices by many banks. DCUC successfully advocated against inclusion Executive Assistant of this language early in the 116th Congress. We stand ready to make our case in the Janet Sked 117th Congress. Conference Manager 2. The Consumer Financial Protection Bureau has recently rescinded an agree- ment with the NCUA that would have placed sole oversight for Military Lending Act compliance with the NCUA. The CFPB has enough on its hands with payday lenders and unscrupulous fintech providers, among others. The NCUA is already staffed, trained, and monitoring MLA compliance. Even if you could separate MLA oversight, there would still be two regulators with different compliance regimes, processes, and procedures: causing unnecessary confusion, cost, and consistency. is the official publication of the Council. One copy of 3. There is also talk of expanding Military Lending Act restrictions to the rest of the ALERT is mailed first-class to each defense credit union as U.S. population. What could go wrong? Plenty. a membership service. Defense credit unions may order additional copies (three or more) to be mailed in bulk https://www.cutoday.info/THE-feature/Effort-Seeks-to-Avoid-the-Same-Mistake to one address at $10.00 per copy per year. Individual 4. Ther e-emergence of a public banking option and efforts to reach the unbanked. There subscriptions mailed first class to defense credit union is nothing wrong with the intent behind this public policy initiative. However, the devil members are $15.00 per year; to all others $25.00 per is in the details. We should be prepared to offer a better alternative. DCUC was the year. ALERT is published monthly except for the month the annual conference and membership meeting are first to offer a modified approach to this proposal using the same no-cost land lease held. In accepting a limited amount of advertising (two ad- agreements each of you have with the Department of Defense as an example. Read more vertisements per issue), the Council as a matter of strict here: https://www.americanbanker.com/creditunions/opinion/credit-unions-can- policy does not in any way endorse either the product or deliver-on-bernie-sanders-and-aocs-postal-banking-plan and here: https://www. the vendor. The right to refuse advertising for any reason americanbanker.com/opinion/usps-needs-to-keep-an-open-mind-on-postal-banking whatsoever is reserved. Reproduction of ALERT material in whole or in part is authorized for Council members only. Address all correspondence to: You get the point. There are many more “ideas” on the shelf that we will have to be prepared for in 2021. Above all else, we need to make sure we can tell our side of Defense Credit Union Council, Inc. the story. 1627 Eye Street NW, Suite 935 That is why thisALERT newsletter is so important. We need your stories and photos Washington, DC 20006 to show the tremendous difference you are making in your communities. We need to be Telephone: 202/734.5007 able to back these stories with data showing how we have solved various problems. Plus, FAX: 202/821.1329 we need to find way to publish your viewpoints on how we can do better as an industry. e-mail: [email protected] www.dcuc.org Simply send your article, press release, and photos to our team at [email protected].

2 DEFENSE CREDIT UNION COUNCIL, INC. It is also why participation in DCUC’s Military Advocacy Committee is crucial. Each quarter, many of our member CEOs and senior executives collaborate on issues Alaska USA FCU affecting our Defense Council and how we can best address each issue. We encourage you and Alaska USA (or someone from your credit union) to participate. A good idea that is never voiced has the same effect as a bad idea. We need your insights to make us all better. Simply send us a Foundation Donate note and we will include you in the next committee meeting. $20,000 to Covenant Finally, it will be crucial for you and your team to tune in to our Defense Matters Forum which will be broadcast on February 25, 2021. We have a great agenda that will House Alaska expand on the items discussed above, including a look at the 117th Congress, changes at the NCUA, and what to expect from the Biden Administration. Plus, we have invited Provided by Alaska USA FCU some influential speakers who have a large impact on the way you operate your credit union and serve our military. The cost to view this broadcast is FREE; courtesy of DCUC laska USA FCU and the Alaska USA and a few of our longtime sponsors. A Foundation donated a combined We hope you will join us in 2021 and maximize the value you get from member- $20,000 to Covenant House Alaska ship in DCUC. to continue its mission to provide services for youth experiencing homeless- ness. In addition, they are challenging other Alaska businesses to join in on the effort to uplift the young people at the shelter. The donation will fund services at Covenant House Alaska that include providing warm clothing, meals, and the tools its young people need to feel supported and safe during the current pandemic. “Covenant House Alaska provides essential services that improve our community now, and well into the future. Alaska USA is committed to helping the communities we serve, and I am proud to put our values to action with this donation,” said Alaska USA FCU President and CEO Geoff Lundfelt. “After such a taxing year that has resulted in so many needing additional assistance, we want to challenge fellow business leaders in the community to continue the giving in the new year.” Covenant House Alaska has seen an increase of 230% in services delivered and a 118% increase in the number of young people needing those services. PenFed Foundation’s Veteran Entrepreneur “When Alaska USA Federal Credit Union and the Alaska USA Foundation Investment Program Launches Program provided us with necessary funding and to Empower Female Veteran Entrepreneurship supplies, what they’re saying to these youth is that they matter and deserve Provided by PenFed CU a future. This support is recognition that these young people will one day be he PenFed Foundation, a national 501(c)3 founded by PenFed Credit Union, our leaders,” said Joe Hemphill, chief T announced the launch of the Veteran Entrepreneur Investment Program (VEIP) Mil- development officer at Covenant House itary Women Startup Accelerator. The program prepares and empowers military women- Alaska. run startups and small businesses through a free workshop series focused on business devel Additionally, Alaska USA employ- opment that will culminate in a pitch competition at the Military Influencer Conference ees donated multiple roasts to Covenant May 5–7, 2021. House Alaska to feed youth staying at the The program’s workshop series will help prepare women military veterans, reserv- shelter as part of its employee holiday ists, National Guard, active duty and spouses through business-focused education, business gift giving campaign. development and scaling strategies, access to resources and pitch preparation and coach- ing that inspires and prepares them to start and grow their businesses.

DEFENSE CREDIT UNION COUNCIL, INC. 3 Gift from Ball State View from the Board Financial Will Boost University’s Financial Literacy Initiatives

Dusty Simmons, Financial Center First CU/Ball State Financial Capitalizing on Technology to Improve he Department of Finance and Insur- T ance in Ball State’s Miller College of and Expand Member Education Business (MCOB) has partnered with Ball State Financial to enhance efforts to help Bill Birnie, President/CEO, Frontwave CU students and others in the University com- ithout a doubt, 2020 was a challenging year. Who knew we’d be facing a munity better understand personal finance. W once-in-a-century pandemic that would transform so many of the ways we Ball State Financial, a division of do business? Yet in spite of the many obstacles we had to overcome, 2020 wasn’t all Financial Center First CU, is supporting bad. At Frontwave, we discovered that some of the “temporary” solutions we came the University’s financial literacy initiative up with actually turned out to be better ways of doing things—and better ways of with a pledge of a $170,000 gift over a serving our Members. period of three years. For example, financial education has always been a key focus for us, and we “Having strong financial manage- really kicked it up a notch after we rebranded as Frontwave. Our research leading up ment skills are crucial for all of us,” said J. to the rebrand, revealed that our Members and communities wanted a trusted source Kevin Ryan, CEO of Ball State Financial. of financial education. True to our promise to be “that guy” you can turn to when “As a credit union, we are excited to partner you’re in need, we made a commitment to arm our Members with the knowledge with Ball State University to help deliver they needed to make better financial decisions. classroom financial education opportunities Pre-pandemic, we hosted seminars in person at our headquarters and in our for its students. As a Ball State graduate, branches. Our branch network, however, spans over 200 miles, posing several logis- I’m personally honored to partner with the tical challenges. For our Members and for us. On top of that, like all defense credit Miller College of Business to help provide unions, we have Members in every clime and place! There are Frontwave Members in that financial foundation.” every state of the union and dozens of countries around the world. We were falling Students benefit from the partnership far short of our commitment to financial education. through an enhanced financial literacy The stay-at-home order issued for California in early March 2020, forced us curriculum, scholarships, and other oppor- to cancel all of our in-person seminars for the first half of the year. When it became tunities, according to Stephen Ferris, the clear the virus wasn’t going anywhere, our team reimagined the seminar series, Bryan Dean of Miller College of Business. shifting them from in-person to 100% virtual Zoom format. “At Ball State, we pride ourselves on With the very first virtual seminar we hosted, we noticed a big increase in preparing students for fulfilling careers and RSVPs and attendance. As the year progressed, average participation in our seminar meaningful lives,” Ferris said. “Helping our series more than tripled. And our most popular virtual seminar tested the limits of students better understand personal finance Zoom with a whopping 95 attendees! will empower them when they graduate This isn’t just better—it’s a lot better! Our financial education efforts are no to better shape their own future. We are longer limited to those few folks who just happened to live close enough to one of excited to partner with Ball State Financial our branches that it wasn’t too inconvenient to drive over and attend a class. It took for this important endeavor.” us 68 years and a pandemic…but we made it! We now have high quality financial Other components of the partnership education available for more than 111,000 Members across the globe! And if it’s will benefit not only students, but also not convenient because you’re a Marine serving at the American Embassy in Madrid alumni, faculty, and staff. They include with an 11 hour time difference—or maybe you just want to refresh your memo- opportunities to engage with experts and ry from a previous seminar—simply open up the website and watch the recorded educators, access to Ball State Financial seminar at any time, from anywhere and as often as you want. podcasts on personal finance, and guest Nothing breeds innovation better than the need to leverage your commit- lecturers, including James Davidson, ment to overcome a seemingly insurmountable obstacle! Financial Center’s Associate Vice Presi- dent of Financial Literacy and seven-time national financial literacy award winner. Sign up for The partnership aligns with Ball Military Saves Month Now! State Financial’s mission to help members ‘Improve their Financial Lives’ by provid- April 1–30, 2021 ing financial education and low-cost, high- value financial products and services.

4 DEFENSE CREDIT UNION COUNCIL, INC. Capital Corner

A New Administration Means New NCUA Leadership: What We Should Look for From Chairman Todd Harper

John McKechnie, Senior Partner, Total Spectrum on NCUA operations through the credit union examination process. He also has the option of vigorously using Letters to he new Biden Administration means change at all Executive Credit Unions as a means to shape credit union regulatory T Branch agencies. In this edition of Capital Corner, I’ll take a policies. look at the National Credit Union Administration, where Democrat n Consumer protection is a likely candidate for emphasis, and Todd Harper was designated Chairman January 25. What will be Harper has voiced real interest in this subject in the past. He the real impact of a Chairman Harper on the NCUA agenda and has the ability to direct NCUA examiners to prioritize consumer credit union operations in the coming year? protection during the exam process, without needing to seek approval from other board members. n Regulations are an obvious place to start. In general, it is prob- n One additional variable that should be factored in: Chairman able that Democratic Chairman Harper will take an approach Harper’s term ends in April. What happens next is anyone’s guess. to regulations and oversight that is substantially different from There are three options—1) Harper could be reappointed to a that of his immediate Republican predecessors, Rodney Hood full six-year term (permitted under the Federal Credit Union and J. Mark McWatters. Act since he had not served a full six-year term previously. n “Harper is going to resemble Rick Metsger and Debbie Matz Harper’s service on the NCUA Board began in 2019 by in terms of his philosophy and conduct. Less reg relief, more filling out a term that had been partially taken by Metsger). consumer protection and risk focus,” notes a former NCUA 2) He could continue to serve without a successor being con- senior staffer. “Board Member Harper has made his views clear, firmed. 3) He could leave the NCUA Board and be replaced and it should surprise no one when NCUA changes its stripes by another Biden appointee. It is unclear which of these under Chairman Harper.” scenarios will play out. n Although he will be Chairman, Harper will be in a minority on the three-member board—the other two members are Vice Regardless, as a chairman who lacks a working majority on Chairman Kyle Hauptman (who is also serving as the Agen- the board, Todd Harper will be compelled to find other ways to cy’s liaison to DCUC) and former Chairman Rodney Hood. chart the Agency’s course. The betting is that this will occur through The possibility of being outvoted 2-1 on many, if not most, the examination process, in ways that are likely to be just as signif- rules he wants to finalize, Harper may instead put his stamp icant for the credit union community as any regulation would be.

Abound CU Supports Local Restaurants with Eat Local & Earn Promotion Sharon Simpson, Abound CU

bound CU, the largest member-owned financial institution in the state of Kentucky, is encouraging its more than 110,000 A members and the community at large to support Kentucky restaurants by eating local from January 1st through March 31, 2021. As a special incentive, the credit union is giving Abound Platinum VISA® cardholders 5% cash back throughout this time period for any dining purchase, including take-out & delivery through DoorDash, Grubhub, Uber Eats, and Postmates. Abound Platinum VISA® cardholders will receive the cash back rebates automatically as a monthly statement credit, not at the time of purchase. “We know this has been a tough year for restaurants and we want to give our members and the community a little extra boost,” said Ray Springsteen, President and CEO of Abound CU. “Possibilities really do Abound when we join forces to build stronger communities and brighter financial futures for our fellow Kentuckians.”

DEFENSE CREDIT UNION COUNCIL, INC. 5 PARTNER NEWS

The AFFN Advantage: Maximize Your Credit Union’s Military Impact Provided by AFFN

n today’s environment, it is more important than ever I to have relationships that you can count on to help bring about structure. As with any successful relationship, trust, loyalty, communication, flexibility, and mutual benefit are key. The Armed Forces Financial Network Robin Larsen (AFFN) and Defense Credit Union Council (DCUC) have such a relationship that benefits not only each other, but also the Member Participants that participate in Cobalt CU Names both organizations. AFFN has been supporting DCUC Robin Larsen as New Credit Unions over the last 36 years, long before other organizations would even consider supporting “risky” credit unions and credit union Members. President and CEO AFFN is an Electronic Funds Transfer (EFT) Network founded in 1985, co-owned by and on behalf of DCUC and AMBA, serving over 357 defense credit unions and Joyce Wells, Cobalt CU military banks, 93 million cardholders, at over 800,000 ATMs and over 2.3 million merchant/ retail locations globally. AFFN is the only EFT Network dedicated to supporting active- obalt CU’s Board of Directors is pleased duty US Service Members, Reservists, Retirees, Veterans, Military families, all ROTC C to announce that Robin Larsen is the programs and civilians in ALL that we do. AFFN remains one of the few EFT Networks in new President and CEO of the area’s largest the industry independently owned and governed by our Member-Owner Participants. credit union, as of January 11, 2021. Larsen In addition to the global reach for your Credit Union, Member Participants of succeeds Gail DeBoer, who has served as AFFN membership also benefit from the following: Cobalt’s President and CEO since 2007. Larsen began her career at Cobalt in n AFFN International transactions are assessed Domestic interchange rates. September 1988. During her tenure, she n AFFN International transactions are not assessed cross-border fees. has served in various roles, including Op- n AFFN does not assess any switch fees on any ATM acquired volume. erations Training Officer, Branch Manager, n AFFN has no-gateway fee, no-switch and route fee on direct connection to and Chief Operations Officer. the AFFN switch. “The Board is excited to have Robin n AFFN offers balanced and competitive interchange rates. lead the credit union into the future,” said n AFFN has remained independently owned, Member-Governed. Dr. Julia Cronin-Gilmore, Chairman of the n AFFN annual dues are $500 and have not increased in 36 years. In fact, they have Board. “Her background is ideal to guide been refunded for the past 9 years for DCUC/AFFN Member Participants. Cobalt through the ever-changing land- n AFFN is small enough to be nimble and able to react to our Credit Union scape facing financial institutions today.” Participants’ needs, as well as in the marketplace. Cronin-Gilmore points to Larsen’s enter- n AFFN has a team of professionals with a deep knowledge and industry expertise. prise-focused roles leading new product n AFFN works with Member Participants as EFT consultants at no additional charge. and service development, branch expansion and core systems conversion as notable ac- The AFFN “Processing with a Purpose” core principle, in partnership with Member complishments during her tenure as Chief Participants, has generously given back over $4.2 million to our Military and Civilian com- Operations Officer: “Robin’s unique mix of munities and their families worldwide since 2004 through the AFFN Military Community strategic vision and operations background Support Program. These include: are a winning combination for our commu- n nity, members and employees.” AFFN Matching Grant Program, giving up to $1,500.00 per Credit Union Larsen earned an undergraduate de- Partner to support our military and civilian communities on a local and global gree in Business Administration followed scale, directly benefiting military service members and their families worldwide. n by a Masters of Science in Management AFFN Corporate contribution program in excess of $1.1 million directly supporting from Bellevue University. Larsen is co-com- military families staying at Fisher Houses throughout the United States and Germany. n mander for the 97th Intelligence Squadron AFFN support of Wounded Warriors and Military Family Members attending the with the Offutt Advisory Council at Offutt DoD “Warrior Games” and the “Invictus Games.” AFFN donates AFFN Thank You Air Force Base. She currently serves as a Cards (pre-paid debit cards) for each Hero/Warrior/Family Member who is traveling board member on the SAC Foundation, to compete or provide support, to assist with defraying travel related costs. Offutt Advisory Council, Wings Over the If you are interested in learning more the advantages of being an AFFN Member Heartland, Bellevue Chamber of Commerce, Participant, please reach out today to Scott Duszynski, our VP of Member Engagement at and NAFCU Services Committee. [email protected], to see what participation can do for your Credit Union!

7 6 DEFENSE CREDIT UNION COUNCIL, INC. Make your voice heard! join our Technology Committee! Email Technology [email protected] for & Innovation more information.

what solution set can be offered as a member benefit versus a paid Risk, Fraud and service. First, the technology and data. When you are engaging with Identity Protection current or potential partners, ask about the following: Monitoring—What type of monitoring solutions are in place James Gukeisen, CUDE, FIS and do they include dark web monitoring? Alerts—How does their monitoring system work and what hat’s happening in the credit union market? Everything triggers an alert to the member? Do their alerts only trigger for W when it comes to ID Theft and Consumer Monitoring. credit activity, or do their alerts include DDA events as well? Bad actors across the globe strive to take advantage of every gap in Resolution Support Team—When a negative event occurs, procedures and real-world emergencies to harm your members. does the partner have a resolution team in place with the proper We, in the credit union movement, are all impacted by the training? This should include anything from an attempted account negative effects of fraud. The individual member, credit union takeover to a lost/stolen event. and association all pay part of the cost of the belligerent actors. An important note, your solution above should always be What we saw in the last full year of available data, 2019, shows us on, 365 24/7. There is a fairly standard structuring of member offer- over $3 billion in out-of-pocket costs and almost $17 billion in ings in the credit union industry. A free to the member basic solution losses. These staggering numbers mean this subject is at the top and a premium option(s). of your members’ minds with more than four out of every five As an example, the basic service often includes lost & stolen Americans concerned about fraud. assistance, insurance, and fraud resolution. A solid member benefit Your members are worried and are looking to their credit unions that is almost industry standard at this point. for guidance. Almost seven out of ten consumers state they are more The premium option(s) offer a wide variety of services, which likely to stay with their financial institution if protection is offered. require some depth of analysis. A lot of the additional services More than half of those interviewed express a willingness to pay for you choose to offer at a premium or include in a basic benefit a service. The fraud and account takeover problem is real, growing, package should be determined by your member profile. Although and serious with more than 13 million identity theft victims in everyone is a target and, therefore, everyone needs basic protection, 2019 alone. So, what is the ounce of prevention to negate the not everyone needs $1 million in insurance or child SSN monitoring. need for a pound of cure? Simply put, it’s leveraging data and While it is impossible to adequately relay both the need technology in a comprehensive Identity Protection Service. and technological complexity of a properly applied credit monitor- There are two key aspects for credit unions to consider ing and ID theft solution, now is the time to review, adjust, and when determining a solution to prevent, detect and resolve identity train before the next data breach costs you and your members fraud; understanding the technology & data in use and determining time, money and reputation.

Redstone’s Santa Delivers $5,000 for St. Jude Patricia Lloyd, Redstone FCU

edstone FCU® donated $5,000 to St. Jude Children’s Hospital through its Letters to Santa initiative that ended Christmas Eve. R Redstone hosts Letters to Santa each year for children of all ages who want to send Santa their requests. For each letter received, Redstone donated $1 to a designated charity that supports children and families. December’s letters were received online due to COVID-19 safety precautions. Joe Newberry, Redstone President and CEO, said the Letters to Santa initiative was a bright spot in 2020 and Redstone is excited to support St. Jude and its wonderful work. Eugene Johnson, Manager and Child Life Specialist with St. Jude Affiliate Clinic, welcomed the donation. “During the unprecedented times of 2020, the families in our community coming to our clinic have felt the extra burden of isolation and worry of the unknown. A generous gift like this will help us address several needs in our clinic which include helping several of our pediatric patients on hospice care, providing crafts and activities for the long days in clinic, and helping siblings of patients feel more supported and connected,’’ Johnson said. “Thanks to the good people of Redstone Federal Credit Union. Thank you from our patients, families, and staff!’’ 7 DEFENSE CREDIT UNION COUNCIL, INC. 7 DCUC ANNUAL CONFERENCE

Cyber Security and COVID-19 CUC is moving forward with plans for an outstanding 2021 Annual Conference. D This year’s lineup of speakers will focus on the new and evolving challenges faced by defense credit unions both on and off the base. Business practices that worked in 2019 have been upended in the face of the on-going pandemic. It is our goal to bring you actionable information that you can use today and in the future. Over the last year, we have watched as credit unions have turned increasingly towards technology and cyber solutions to meet their needs in a COVID-driven socially distanced environment. These technology changes provide opportunities to reach more members and better serve them; plus, the changing backend structures and opportunities to work remotely have revolutionized day-to-day credit union Join us at the Tiburón Golf Club operations. However, these advancements do not come without risks. on Monday, August 9, for the To discuss these risks and ways defend against cyber threats, we are pleased 27th Annual VADM Vincent to have Theresa Payton, one of the nation’s most respected authorities on cyber- Lascara Golf Tournament. security, giving our Wednesday morning Keynote Address. Managing cybersecurity risk is what Payton knows and does best. She identifies emerging trends and tech- Our DCUC tradition of great times niques to help combat cyber threats, from the impact of the Internet of Things to and fun golf, plus a chance to help securing Big Data. Payton is the cybersecurity expert that organizations turn to support Southeastern Guide Dogs for discreet help during data breaches and to improve IT is a winning combination! systems and strategies. Payton’s wealth of experience includes serving as the first female White House Chief Information Officer and co-founding Dark3, a cybersecurity product company, and Fortalice Solu- tions, a world class cybersecurity consulting firm. She knows how to protect organizations and individuals from the rapidly evolving world of cyberattacks, which is an issue credit unions currently face and will continue to face into the future.

Theresa Payton

2021 DCUC Annual Conference Naples, Florida • August 10–13, 2021

8 DEFENSE CREDIT UNION COUNCIL, INC. CU Young Professionals Frontwave Sponsors Four Local Military Families through ASYMCA Secret Santa Program

Provided by Frontwave CU

n the spirit of giving, Frontwave CU I sponsored four local military families CRASHing Into the Unknown this holiday season through Camp Pend- leton’s Armed Services YMCA (ASYMCA) Charlotte Randall, DCUC Secret Santa Program. Frontwave shopped for and purchased gifts on the families’ ast month, I started my yearlong CRASH experience with Filene’s Center of Excellence wish lists and delivered them to the Camp L CRASH Program. I’m excited to be a part of the program’s inaugural class and learn Pendleton ASYMCA, where they were dis- more about the broader credit union industry. Working for DCUC, I’ve been exposed to tributed just before the holidays, ensuring our advocacy efforts at a national level and now as the Communications Specialist, I see all each family member had something spe- the press releases from our members sharing the good work that they do for their members cial to celebrate the season with. and communities; however, I am not familiar with credit union operations or many of The Secret Santa program was initi- the day-to-day realities. ated in 2003 to support Marines, Sailors, The new virtual CRASH program takes young credit union professionals from across and their families who are referred to the the country through Filene’s Centers of Excellence. We will learn about topics from technol- ASYMCA as needing extra help during ogy and data to DEI and social impact, and much more. The opportunity to explore these the holiday season. This year, 105 local different topics and network with others across the credit union movement is something military families, made up of 466 total that I’m really looking forward to. individuals, were served, supporting the Recently, I participated in the first two sessions. We opened with an introduction ASYMCA’s larger goal of strengthening to the program. From that initial meeting, it’s already obvious that everyone is excited to military families at Camp Pendleton collaborate and bring their expertise to the group. My fellow CRASHers represent a wide by providing meaningful programs and variety of credit unions and credit union organizations, positions, and experience. I know service events throughout the year. there is a lot that we can learn from each other as we discuss the topics and hear about each “This has been a tough year for so other’s experiences, and we grow in our individual credit union journeys. many active-duty military families, and In addition to our normal CRASH sessions, we have the option of attending Filene’s our Secret Santa Program brought some Research Events throughout the year. The first of these was Building an Analytics Eco- much needed relief and joy to so many system to Create Credit Union Value. The two-day event featured academics and experts deserving families. We couldn’t do it with- from inside the credit union industry. They discussed a variety of topics, such as how to use out our incredible community partners data to predict future trends, the ethical application of said data, and the importance of like Frontwave Credit Union,” said Maxine partnerships to move the whole credit union movement forward. Langdon, Events and Marketing Manager There was so much information, so much data! Fortunately for me, in addition to the for the Camp Pendleton ASYMCA. general sessions, I had extra CRASH sessions that broke down the presentations and gave “Having been founded as Camp Pend- us the chance to discuss what we heard. I’m not going to pretend that I’m now an expert leton Federal Credit Union in 1952, our on data and analytics, my head is still spinning. There were a few things that really stuck military roots run deep, and local military out for me, though. The first was that no matter who was speaking, almost everyone came families are at the heart of who we are and back to the idea of starting with something small, something attainable, and building from what we do. We’re proud to support them there. Everyone framed it differently, but it came up again and again. The other ideas that as their financial institution and through stuck with me were the importance of asking “the why” behind any set of data and making additional partnerships with organizations sure that when the data is applied to something, whether a change in policy or procedure, like the Camp Pendleton Armed Services was does it make things better for anyone? They are questions that can get swept up in the YMCA,” said Bill Birnie, President/CEO of excitement of new information or an algorithm, but they are important to ask, nonetheless. Frontwave CU. I really value the opportunity to participate in this CRASH program and am glad to In addition to the Secret Santa have Tony and Beth’s support as I continue my credit union education. Program, Frontwave CU also sponsors If there are any young professionals at your credit union that you think would ben- the ASYMCA’s monthly Neighborhood efit from attending a CRASH program, keep an eye out for DCUC’s Annual Conference Exchange, which distributes groceries, di- CRASH Program. This is the third year we are partnering with Filene to host a CRASH, apers, financial advice, and more to local and it is guaranteed to provide a valuable experience for all CRASHers. Applications are military families in need, as well as special coming soon, and it is an opportunity they won’t want to miss. events throughout the year.

DEFENSE CREDIT UNION COUNCIL, INC. 9 Scott CU Members’ Debit Card Use Leads to Nearly $85,000 Donated to Community Foundation Erin Pennington, Scott CU

hat if every time you swiped your debit card, a portion of your purchase was used to W make your community a better place? That’s the concept behind Scott CUs Epic and Blues checking accounts. Thanks to members, nearly $85,000 was recently donated to the Scott Credit Union Foundation, which supports local education and non-profit organizations. The money was donated at no cost to members every time they used their debit card in 2020. Security Service “It’s simple for members who have an Epic Checking or Blues Checking to support their community,” said Scott CU Chief Marketing Officer Adam Koishor. “For every Charitable Foundation purchase they make with their debit card, we donate a percentage to the Foundation. This Donates to St. Vincent is our second year with the program, and we are proud of the impact it has made already.” The Foundation was established in 2018 and raises its funds via Epic and Blues debit de Paul’s Soup Kitchen card swipes, along with its annual golf tournament benefit. The Foundation supports local Travis Bowles, Security Service FCU education through its “With You” grant program. In 2020, a total of $25,000 was awarded to six grant winners (McCluer High School, Holy Trinity Catholic School, Dorris Intermediate o help address increasing food School, Triad School District, East Alton Wood River High School, and Our Lady Queen T insecurity in Utah, the Security Service of Peace) for projects benefitting students. The Foundation also supported the United Way Charitable Foundation has partnered with of Greater St. Louis in 2020 with a $20,000 donation and has funded scholarships for St. Vincent de Paul’s Soup Kitchen. Through students attending SWIC and Lewis & Clark Community College. a $5,000 donation, the foundation will “The Scott Credit Union Community Foundation allows us to expand our efforts to provide protective equipment for staff as help the community,” Koishor said. “We are especially proud of the debit card program be- well as packaging for to-go meals and cause through our members’ activity with us, we can return donations into the communities shelf-stable food items since the organi- in which they live.” Donations have already dramatically risen from last year—from $35,000 zation has shifted to a to-go meal format in 2020 to a whopping $85,000 in 2021. during COVID-19. “Supporting the communities in which we serve is extremely important to us here at “St. Vincent De Paul’s Soup Kitchen Scott Credit Union,” Koishor added. “The credit union itself, our Community Foundation, provides the only regular mid-day and and our employees all contribute to that effort. evening meal service in Salt Lake County,” said Andrew Robinson, grants manager for Catholic Community Services of Utah- SAFE FCU Gives $1.05 Million Back to Members -St. Vincent De Paul Soup Kitchen. “The Security Service Charitable Foundation do- Britney Singleton, SAFE FCU nation is allowing us to continue operating with enhanced safety precautions during AFE FCU member received annual bonus dividends and interest rebates on Dec. 31 COVID-19, ensuring that anyone who is S totaling more than $1.05 million. The payments were based on members’ account usage. hungry receives a meal regardless of age, Deposit accounts, including certificates, received a 5.0 percent bonus based on dividends religion, or other personal circumstance.” received in 2020. Loan accounts received a 2.25 percent rebate based on total interest paid in St. Vincent De Paul has been providing 2020. SAFE has paid more than $33 million in bonus dividends and interest rebates to its meals to those who are hungry in Utah for members over the last 24 years. the past 51 years. On average their dining hall serves 1,000 meals a day with more CREDIT UNION PEOPLE IN THE NEWS than 1,000 additional meals distributed to resource centers throughout the city. CHESAPEAKE, VA—ABNB FCU announced the retirement of SVP Michael C. Doland “We’ve seen a striking need in Utah after 18 years… DALEVILLE, AL—All In CU announced the addition of Shelley Smith which has been ranked the fourth-highest to their Board of Directors… RIVERDALE, UT—Brett Christensen joined America First state in the country for food insecurity,” CU as Chief Lending Officer… SUMTER, SC—SAFE FCU announcedT.H. Pierce as its said Ben Wiseman senior vice president new VP of Risk Management. of member service—Mountain West Region for Security Service FCU. “It is our plea- CREDIT UNIONS IN THE NEWS sure to assist St. Vincent de Paul’s Soup Kitchen as they work daily to provide critical COLUMBIA, SC—AllSouth FCU announced the expansion of their field of member- meals for families in need.” ship to include Orangeburg County… SUITLAND, MD—Andrews FCU opened a new The Foundation helps further Security branch in Alexandria, VA… WALDORF, MD—Cedar Point FCU broke ground on their Service FCU’s corporate goal of community new branch in Waldorf, MD… GLENDALE, AZ—CU West sponsored Glendale Com- service by contributing to deserving organi- munity College’s Innovation Challenge 2021… AFFTON, MO—Scott CU held a ribbon zations and causes. cutting for their new branch… CHOCTAW, OK—Tinker FCU opened a new branch.

10 DEFENSE CREDIT UNION COUNCIL, INC. Awards & Recognition

AmeriCU Friendly® Company. PenFed is ninth on this Tower FCU AmeriCU has been identified as one of the year’s list of Military Friendly Companies. Tower FCU earned a Great Place to Work® top mortgage lenders in Utica and Syra- Certification from the independent analysts cuse by MortgageYields, an academic South Carolina FCU at Great Place to Work® (GPTW) for the mortgage resource. South Carolina FCU has once again been third year in a row! Tower’s dedicated team recognized as one of the Best Places to Work of employees rose to the challenges of an PenFed CU in 2021 by Glassdoor. South Carolina FCU unprecedented year, providing excellent PenFed CU, the nation’s second-largest ranked No. 30 in the U.S. small and medium member service despite a global pandemic federal credit union, today announced for company category with an overall company and continuing the credit union’s “peo- the second year in a row it was selected by rating of 4.8 out of 5. ple-oriented” culture. VIQTORY Media as a Top Ten Military

CEO Announces Retirement Tower FCU Becomes a 2021 After 46 Years with Data Privacy Day Champion America First Cara Bagley, Tower FCU s a Data Privacy Champion, Tower FCU recognizes and supports Provided by America First CU A the principle that all organizations share the responsibility of being conscientious stewards of personal information. Data Privacy ohn B. Lund, President and CEO of Day is a global effort—taking place annually on January 28—that J America First CU in Riverdale, UT, generates awareness about the importance of privacy, highlights has announced plans to retire in the spring easy ways to protect personal information and reminds organiza- of 2021, more than 46 years after first tions that privacy is good for business. joining the institution. Thayne Shaffer, This year, the initiative is encouraging individuals to “Own the credit union’s chief information of- Your Privacy” by learning more about how to protect the valuable ficer (CIO), has been selected as Lund’s data that is online. Similarly, businesses are encouraged to “Respect successor. Since Lund became president Privacy,” which advocates for holding organizations responsible for and CEO in 2012, America First CU has keeping personal information safe from unauthorized access and expanded its branch network from 104 to ensuring fair, relevant, and legitimate data collection and processing. 128, increased assets from $5.5 billion to $14.2 billion, and mem- “Keeping our members’ personal and financial information bership numbers increased from 592,309 to 1,159,227. safe, remaining transparent and accountable, and earning/keep- “John, a tremendous person and a profoundly esteemed ing our members’ trust has always been a top priority for Tower. leader, has shown acuity and keenness of thought in every decision We know how important safeguarding private data is in the fight he has made,” said Linda Carver, chair of the board of directors against identity theft and fraud,” says Phil Mellinger, Tower’s VP for America First. “He has had a remarkable ability to understand of Information Security. and position the credit union for new opportunities to assure As technology evolves and the pandemic continues to influ- our long-term and continued growth. We are grateful for the ex- ence how consumers interact with businesses online, data collection traordinary contributions John has made to propel America First practices are becoming increasingly unavoidable, making it imper- and the credit union industry forward.” ative that companies act responsibly. Most recently, Lund served as executive vice president. He “In recent years, we’ve seen the impact of more global aware- first started in 1975 as the credit union’s courier. “It’s been an ness surrounding the abuse of consumer data, thanks to sweeping honor to work with so many talented people and serve so many kind privacy measures like GDPR and CPRA,” said Kelvin Coleman, members,” said Lund. “I am certain America First members and Executive Director, National Cyber Security Alliance (NCSA). “And colleagues will continue to thrive under Thayne’s leadership, using while legislative backing is key to reinforcing accountability for teamwork to strengthen relationships and our communities.” poor data privacy practices, one major goal of Data Privacy Day is to Shaffer has worked at the credit union for more than 33 build awareness among businesses about the benefits of an ethical years and was appointed CIO in May 2019. approach to data privacy measures separate from legal boundaries.”

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Hanscom FCU’s Giving Tree Provides Winter Clothing for Families in Need Monica Parks, Hanscom FCU

anscom Air Force Base continued the tradition of giving back to the community for the holi- H days by collecting donations to purchase warm winter clothing for their annual Giving Tree program. This year 19 children from eight families received clothing through the program, which is coordinated through Hanscom FCU and has been in operation since 1990. “We’re glad to be able to provide some comfort to families again this year,” said Ray Phillips, Hanscom FCU’s Chairman of the Board. “For so many families, especially military families moving to Massachusetts from a warm climate, buying new winter hats, gloves, boots, and coats can be so costly. Each year we’re humbled to see the donations roll in for these folks in our community, and we appreciate being a small part of it.” The Giving Tree is set up at the Hanscom AFB Exchange during the holiday season each winter. The tree is decorated with ornaments, each of which includes the winter clothing needs of a child. Volunteers select ornaments from the tree and fulfill the requests for first sergeants and school guidance counselors to deliver to families in need. Donations are delivered before the holidays and the winter break. This year, to minimize physical contact between gift givers and their recipients, volunteers donated gift cards for the credit union to purchase clothing for the first sergeants and guidance counselors to deliver directly.

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