CUAC Sees Regionalization Trend in Admitting Another Out of State CU
ARVADA, Colo.--The Credit Union Association of Colorado recently added Warren FCU in Cheyenne, Wyo., to its membership as it presses ahead with what it sees as a trend toward industry regionalization.
The addition of the $215 million Wyoming CU follows CUAC's initial out of state member, Security Service CU of San Antonio, approved by the board last November.
Both Warren and Security retain branch operations in Colorado and under the dues formula the Wyoming and Texas CUs pay dues based on their Colorado assets.
Stephanie Teubner, president/CEO of Warren, said her Cheyenne CU opened its first Colorado branch in Wellington across the Wyoming line on Jan. 1, and so it was logical going into a new market that her CU support the cooperative effort.
"I'm a big supporter of the leagues, and to me it is only natural that we become good corporate citizens in Colorado," said Teubner, who manages the 27,000-member CU with six branches and F. E. Warren Air Force Base as its principal sponsor.
By becoming a CUAC member, the Wellington staff can participate in chapter meetings, network and make contributions to the Colorado system, she said, noting the additional dues are based on assets of the five-employee Wellington branch located in a grocery store.
Her CU already pays dues to the Credit Union Association of Wyoming, which is managed by the CUAC, but the formal linkup does not impact the basic legislative, processing and educational services she receives from CUAC.
Teubner, who is a director of the Credit Union Association of Wyoming, said her own league has a similar out-of-state pact adopted shortly after CUAC approved theirs in 2006.
So far Wyoming has no out of state CUs but that could happen considering the healthy energy economy enjoyed in the nation's least populated state, noted the chairman of the league, Larry Knopp.
"Some Utah credit union might want to expand to the southwest corner of Wyoming," predicted Knopp, who also is president/CEO of Uniwyo CU of Laramie, citing the coal and shale oil activity.
Similarly, some Utah CUs might possibly join the Colorado trade group as well with officials forecasting a third out of state CU may be signed up by year-end.
"To me, this kind of development by the leagues is only natural as trade territories naturally cross state lines," observed Knopp.
In a formal statement, John Dill, president/CEO of both CUAC and CUAW, said he welcomes Warren FCU "into full membership within our credit union family," adding that the development reflects the need for CUs to collaborate more closely on a regional basis.
Dill went on to applaud Teubner "for her vision to see the future as one of multi-state operations and therefore multi-state cooperation."