WASHINGTON - After a year of tedious house-hunting and a last-minute collapse of negotiations over one promising site, CUNA President Dan Mica, acting as agent for a limited liability corporation of 32 state CU leagues, signed a $2.4 million deal June 23 for an 8,300 square-foot, multipurpose, "build-to-own" redoubt for credit unions in the middle of contested territory: Capitol Hill. When the four-floor (one below ground), federal townhouse-style structure at 403 C Street NE here is finally finished sometime next year, CUNA strategists and CU grassroots elements from all over the country will have their own base camp for fund-raising, strategic planning, hosting and thanking allies, information-gathering, and just kicking back and recharging batteries. And Mica will have a taken a major step toward realizing his "world class trade association" dream for CUNA. "We have now signed a contract...that ultimately will lead to-not just bricks and mortar-but to a year-round credit union presence on Capitol Hill," Mica said of the long-awaited development. "Literally steps away from the Capitol we'll have a facility with the name `Credit Union House' on it where members of Congress, their staff, credit union members, boards, and leagues will be meeting on a daily basis to educate and inform policymakers as to what we're all about." Mica said that once Credit Union House is open for business there will be ceremonial openings of the house for each state league and another grand opening for it as a national headquarters. Initial estimates for breaking ground on the narrow, 2,500 square-foot lot have it taking place late this summer with an expected completion date on the edifice by spring 2001. The building is projected to feature a number of whiz-bang features such as a "video wall" on which could be displayed satellite broadcasts of various types including direct hook-ups between credit union constituents in congressional districts and their Washington, D.C. delegation. A formal reception area will be situated on the top floor, affording a commanding view of the Capitol. "It's an excellent opportunity for us to have more visibility on Capitol Hill," said Carroll Beach, chairman of the five-person Credit Union House (LLC) board of directors and president of the Colorado CU System. "It gives us the opportunity to express the cooperative idea...and it's something that carries into the future in a very philosophical way, because other financial institutions that I know of are not doing something of that nature." "It also provides an opportunity for our members when they go to D.C....to see Credit Union House; to see some of the things on display there; (and) to be able to (better appreciate) the true difference of credit unions. And I think Congress, particularly, will be attuned to this type of idea, because I think they want to make sure that credit unions appear to be different and act differently than the regular institutions." The "sales and development" project, formally called Credit Union House on Capitol Hill, was entered into with area real estate developer and owner Andrew Scallan. It provides for a 30-day "study period" during which various administrative details such as a title search, an environmental analysis, an additional property survey, and final approval of building plans and specifications will take place. Once this "due diligence" period is successfully negotiated, the deal becomes final. Officially Credit Union House will be owned by the 32 investing state CU leagues, which to date have contributed $3 million toward the project, and will be run by CUNA with Mica acting as president and CEO of the operation. Leagues may still become investors, Mica said, but added that, at some yet-to-be-determined point, charter membership (and commensurate privileges) will be closed to investors. Opportunities to endow various aspects of Credit Union House's operations or facilities, however, will remain open to interested contributors, and several credit unions have already pledged endowments. -
gmcorrigan@mindspring.com
