The California and Nevada Credit Union Leagues, along with several credit unions, came together to start a new CUSO called CURoots to help credit unions minimize their back-office costs.
"CURoots is founded on the cooperative business model," said Lucy Ito, the leagues' Senior Vice President of CU Growth and Development. Ito will serve as CEO of the new organization. "Our vision is to drive down costs for member-owners through large-scale collaboration across various credit union operational areas."
CURoots will begin offering on-site compliance services in January 2011. Member-owner credit unions will share compliance officers and access to the expertise of compliance professionals with an array of core specialties.
The CUSO is looking to launch a second service next year depending upon credit union interest. Under consideration are human resources services, including health benefits; collections; policy management; an automated payday lending solution; and balance sheet assessment services.
Membership is open to all credit unions, trades and CUSOs.
Cindy Cavanaugh, leagues vice president of accounting and finance will serve as the organization's chief financial officer. Initial board members are Bill Birnie, CEO of Eagle Community CU in Lake Forest, Calif.; Diana Dykstra, California League Services Corporation; Jon Hernandez, CEO of CalCom FCU in Torrance, Calif.; Larry Palochik, Jr., CEO of Alta Vista CU in Redlands, Calif.; Gary Perez, CEO of USC CU in Los Angeles; Joe Schroeder, CEO of Ventura County CU in Ventura, Calif.; and Linda White, CEO of United Health CU in Burlingame, Calif. Formal election will be held for an openly elected board at a date to be determined. All members will be eligible.