Thirty-five members of the Arkansas Credit Union League votedunanimously Thursday to merge with the Texas Credit Union League and the Credit Union Association ofOklahoma to form a new regional cooperative organization – theCornerstone Credit Union League.

Credit union members of the Texas Credit Union League voted lastweek to merge with ACUL and CUAOK. Credit union members of theCUAOK are scheduled to vote on the merger proposal on May 13.

The Arkansas vote was held at the ACUL's annual meeting in HotSprings.

“I'm very pleased,” said ACUL President/CEO Reta Kahly. “I wouldlike to think that our credit unions understand the value they aregoing to be receiving. I would like think we educated them well andthat's why I think we have a unanimous vote.”

The ACUL held town hall meetings through the state in Januaryand February to inform the state's 56 credit unions about the CCULproposal.

Credit union leaders in Arkansas, Oklahoma and Texas haveacknowledged that the consolidation of the leagues is inevitablebecause of the growing trend of mergers and acquisitions trendsamong credit unions.

With fewer dues-paying credit union members, it has becomeincreasingly difficult for smaller leagues such as Arkansas andOklahoma to keep up with rising costs and to deliver the productsand services credit unions need.

There are approximately 130 credit unions in the two smallerstates and about 535 in Texas.

Proponents of the consolidation have said it will provide thecredit unions in Arkansas and the credit unions in Oklahomawith access to expanded products and services, and strengthencredit union advocacy, networking and educationalopportunities.

The merger proposal formally began last year when credit unionsin each state were notified at their annual league meetings thatthe three leagues were discussing consolidation. On Dec. 17, theboards of the three leagues announced their intention to pursueconsolidation into a single regional organization.

Although Cornerstone's operations would be based in Dallas, anoffice will remain in each state capital to advocate and protectthe interests of credit unions in their respective statelegislatures.

If Oklahoma credit unions approve the merger next month, creditunion executives will assume positions on the Cornerstone CreditUnion League board of directors with three directors from Arkansas,three directors from Oklahoma, and 12 directors from Texas.

A wave of league consolidations began in 2007 when the North andSouth Dakota Credit Union Leagues formed the Credit UnionAssociation of the Dakotas. Later, the Maryland and Washington,D.C., leagues combined as did the Arizona, Colorado and Wyomingcredit union leagues under the Mountain West Credit Union Association, the Alabama and Floridacredit union leagues merged under the League of Southeastern CreditUnions, and the Oregon and Washington credit union leaguesconsolidated under the Northwest Credit Union Association.