Member credit unions of the South Carolina Credit Union League and North Carolina Credit Union League approved to merge Thursday, and plan to launch the new Carolinas Credit Union League on Jan. 1.
Their boards had approved the proposed consolidation in May after forming a committee to study the idea late last year.
According to a joint statement released by the leagues Thursday, 43 SCCUL members voted in favor of the merger while only two credit unions voted against it, and 52 NCCUL members vote to approve the consolidation, while two voted against it.
Member credit unions voted either by mail-in ballot or at special meetings held Thursday morning in Raleigh, N.C., and Columbia, S.C.
“Both leagues are coming into this consolidation from positions of strength and view this as an opportunity to enhance delivery of core services to affiliated credit unions in the years to come,” said Faye Crocker, current SCCUL chair and incoming CCUL board member.
“Creating the CCUL today ensures our league can be a vital part of the success of credit unions in the future,” said Crocker, president/CEO of the $12 million Greater Abbeville FCU in Abbeville, S.C.
Because of consolidation among small credit unions in South Carolina and North Carolina, as in many other states, some leagues have been seeing gradual declines in revenues. Total revenue for the SCCUL fell from $1.3 million in 2008 to $963,662 in 2011, according to its IRS Form 990 reports.
At the NCCUL, total revenues have remained flat. In 2008, total revenue was $1.4 million. Though revenue fell slightly $1.3 million in 2009 and 2010, revenue popped up again to $1.4 million in 2011, according to its IRS Form 990 reports.
Current NCCUL President John Radebaugh will serve as president of the newly merged leagues, which a spokesman said will maintain offices in both capital cities in the Carolinas.
Radebaugh, and retiring SCCUL President/CEO Steve Fowler, will lead staff through the transition in the months ahead, the announcement said.
“Staff at both leagues will be focused on combining operations in the months ahead while delivering the services that credit unions value on an ongoing basis,” said NCCUL Chair Maurice Smith, president/CEO of the $1.3 billion Local Government FCU in Raleigh.
“We’re fortunate to have a gifted group of professionals working together to create this new enterprise. We think credit unions will be thrilled with the results of their work,” Smith said.
The Carolinas merger is the second among leagues this year.
Cornerstone Credit Union League – which merged the Arkansas Credit Union League, the Credit Union Association of Oklahoma and Texas Credit Union League in May – opened for business on July 1 as the largest credit union league in the U.S.