2022-11-14T10:19:58-06:00 2021-12-31 420714325 RSM US LLP 4650 EAST 53RD STREET DAVENPORT IA 528073479 990 2021-01-01 910176216 CREDIT UNIONS IN THE STATE OF WASHINGTON TAPCO CREDIT UNION CRED 2536203241 6312 - 19TH STREET WEST TACOMA WA 98466 KATHY SCHOLES CHIEF FINANCIAL OFFICER 2536203241 2022-11-11 1 KATHY SCHOLES XXX-XX-XXXX JENIFER L CHASE P01306883 5638884000 2022-11-11 3 AAL1 IAL1 2021 2022-09-23 18:48:47Z JUSTIN MARTIN 6312 - 19TH STREET WEST TACOMA WA 98466 20347947 0 X WWW.TAPCOCU.ORG X 1934 WA IMPROVING LIVES BY PARTNERING WITH FAMILIES TO REACH THEIR GOALS. 9 9 130 13 59835 0 0 0 18233969 19795804 855300 510164 0 -20273 19089269 20285695 10000 17500 1305503 1166236 8347833 8605306 0 0 0 6955921 7467448 16619257 17256490 2470012 3029205 496515001 574292386 455595450 531353962 40919551 42938424 X WE ARE A FINANCIAL COOPERATIVE COMMITTED TO IMPROVING LIVES BY PARTNERING WITH FAMILIES TO REACH THEIR GOALS AND IMPACTING OUR COMMUNITY BY HELPING INDIVIDUALS REALIZE THEIR FULL POTENTIAL. WE VALUE TRUST AND UNDERSTANDING, RESPECT FOR OURSELVES AND OTHERS, INTEGRITY IN ALL THAT WE DO, HOLDING OURSELVES AND EACH OTHER ACCOUNTABLE AND COOPERATION. 0 0 TAPCO CREDIT UNION PROVIDES FINANCIAL PRODUCTS AND SERVICES TO OVER 30,714 MEMBERS, INCLUDING MORE THAN 15,644 CONSUMER, REAL ESTATE, AND BUSINESS LOANS AND OVER 50,722 DEPOSIT ACCOUNTS. SERVICES OFFERED INCLUDE ONLINE AND MOBILE BANKING WITH BILL PAY AND REMOTE DEPOSIT, BRANCHES, ATMS, SAFE DEPOSIT BOXES, SHARED BRANCHING, ACH AND WIRES. AS THE COVID-19 VIRUS CONTINUES TO IMPACT ALL OF US, TAPCO CONTINUED TO TAKE STEPS TO INCREASE SAFETY FOR STAFF AND MEMBERS. RELIEF LOANS, FEE WAIVERS AND SKIP PAY LOANS REMAINED AVAILABLE TO MEMBERS. WE WILL CONTINUE TO COMMUNICATE TO OUR STAFF AND MEMBERS AS WE WORK THRU THE PANDEMIC AND CONTINUE TO DELIVER ESSENTIAL FINANCIAL SERVICES THROUGH ALTERNATIVE CHANNELS. TAPCO HAS BEEN A PART OF THE TACOMA-PIERCE COUNTY COMMUNITY FOR 87 YEARS. IN 2021 THE IMPACT OF COVID CONTINUED FROM 2019, AND TAPCO CONTINUED TO OFFER MEMBERS EMERGENCY LOANS AND FREE SKIP PAYS. TAPCO PROVIDED NEEDED SERVICES WHILE LOBBIES WERE CLOSED THE FIRST HALF OF THE YEAR WITH LIMITED ACCESS BY APPOINTMENTS AND EXPANDED DRIVE-UP SERVICES. BRANCHES WERE FULLY OPENED LATE IN THE SECOND QUARTER AND HAVE REMAINED OPEN. WE CONTINUE TO FOCUS ON OUR TAGLINE, "FOR THE LOVE OF PEOPLE", WHICH EMBODIES OUR MISSION STATEMENT, AND EMPHASIZES OUR COMMITMENT TO THE CREDIT UNION PHILOSOPHY OF "PEOPLE HELPING PEOPLE". IN 2021, OUR STAFF, BOARD VOLUNTEERS, AND MEMBERSHIP DEDICATED THEIR TIME AND MONEY TO SUPPORT LOCAL COMMUNITY PROGRAMS AND EVENTS AND IN LIEU OF OUR PARTICIPATION AT MANY EVENTS, TAPCO DONATED OVER $57,000 IN SUPPORT OF OUR COMMUNITY. WE CONTINUED TO INCREASE MEMBER LOANS SIGNIFICANTLY. TAPCO'S LOAN PORTFOLIO IS DISTRIBUTED ACROSS MANY LOAN TYPES, INCLUDING OVER $137 MILLION IN MORTGAGES AND EQUITY LOANS, OVER $179 MILLION IN AUTO LOANS AND $63 MILLION IN COMMERCIAL LOANS. TAPCO PEAK MEMBER REWARDS PROGRAM RECOGNIZES MEMBERS FINANCIAL RELATIONSHIP WITH TAPCO AND OFFERS BETTER RATES AND FREE SERVICES. REWARDS BENEFITS MAY APPLY TO ALL FAMILY MEMBERS LIVING IN THE SAME HOUSEHOLD BY LINKING FAMILY MEMBERSHIPS, YOUR HIGH SCHOOL, COLLEGE STUDENT, OR OTHER FAMILY. WE CONTINUED TO LOOK FOR WAYS TO BETTER SERVE OUR MEMBERS NEAR WHERE THEY LIVE AND WORK. A NEW BRANCH WILL OPEN IN GIG HARBOR IN EARLY 2022. THIS WILL BE OUR THIRD NEW BRANCH SINCE JUNE 2020, BRINGING OUR TOTAL BRANCHES TO SIX. AS WE HAVE EXPANDED OUR LOCATIONS IN PIERCE COUNTY THE TAGLINE "FOR THE LOVE OF PEOPLE" IS BEING REPLACED WITH "ROOTED IN SOUTH SOUND." 0 0 0 0 0 0 0 0 0 1 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 1 2966 0 1 130 1 1 1 0 0 0 0 0 0 0 X 9 9 0 0 0 0 1 1 0 1 0 0 0 1 1 1 1 1 1 1 1 0 X KATHY SCHOLES 2535659895 6312 - 19TH STREET WEST TACOMA WA 98466 BRUCE BAURICHTER CHAIR 2.00 X X 0 0 0 ALEX WILSIE VICE CHAIR 1.00 X X 0 0 0 ROB MASKO SECRETARY/TREASURER 1.00 X X 0 0 0 PATRICIA BOSMANS DIRECTOR (UNTIL 12/15/21) 1.00 X 0 0 0 JOHN COLE DIRECTOR 1.00 X 0 0 0 LOUIS COOPER JR DIRECTOR (UNTIL 4/1/21) 1.00 X 0 0 0 PAT MCELLIGOTT DIRECTOR 1.00 X 0 0 0 GENE MILLER DIRECTOR 1.00 X 0 0 0 CLARA NELSON DIRECTOR 1.00 X 0 0 0 STEVE POYTHRESS DIRECTOR 1.00 X 0 0 0 ED TROYER DIRECTOR 1.00 X 0 0 0 LINDSEY WADE DIRECTOR (UNTIL 12/15/21) 1.00 X 0 0 0 SCOTT DRABB CEO (UNTIL 6/3/21) 40.00 X 424104 0 43441 WILLIAM PETERS COO/INTERIM MANAGER (6/3/21-1/3/22) 40.00 X 289743 0 44753 KATHLEEN SCHOLES CFO 40.00 X 182935 0 19959 JOHN EYRE VICE PRESIDENT IT 40.00 X 160665 0 22082 LORI STANAWAY VP OPERATIONS 40.00 X 141720 0 23113 KERRY KEELY VP COMMERCIAL LENDING 40.00 X 139853 0 21181 HEATHER FATE VP MEMBER EXPERIENCE 40.00 X 138870 0 22595 JOANN VAN VALKENBURG MORTGAGE LENDING MANAGER 40.00 X 109046 0 30160 PATRICIA JACKSON AVP LENDING 40.00 X 100073 0 19127 1687009 0 246411 9 0 1 0 FISERV 75 REMITTANCE DR STE 6969 CHICAGO IL 60675 STATEMENT PROCESSING / MISC. 1378366 MOUNTAIN CONSTRUCTION 7457 S MADISON ST TACOMA WA 98409 CONSTRUCTION-BRANCH REMODELS 216884 EXPERIAN PO BOX 881971 LOS ANGELES CA 90088 CREDIT BUREAU SERVICES 160627 JOHNSON COX 726 PACIFIC AVE TACOMA WA 98402 PRINTING SERVICES 113367 4 INTEREST ON LOANS TO MEMBERS 522100 14662600 14662600 FEE INCOME 522100 3261778 3253553 8225 OTHER NON-INTEREST INCOME 522100 1263770 1212160 51610 OTHER MISC INCOME 522100 607656 607656 19795804 508121 508121 41122 61395 -20273 -20273 -20273 2900 857 0 -857 2900 2043 2043 20285695 19735969 59835 489891 17500 1166236 1187684 5891886 349150 637374 539212 90401 30321 192312 567842 3328928 572833 316707 149872 783 629210 50 LOAN SERVICING EXPENSES 1437380 ASSOCIATION FEES 100575 ANNUAL MEETING 22450 27784 17256490 4725066 3490311 116396707 85043715 317172303 407809934 2278579 3206182 17205835 7579855 5175447 9625980 36747691 47784075 7633364 7756124 6385844 9576065 496515001 574292386 3855043 3957603 451740407 527396359 455595450 531353962 X 0 0 0 0 40919551 42938424 40919551 42938424 496515001 574292386 3029205 -1010332 0 X X 0 0 0 3376024 3376024 8129109 3585775 4543334 377382 193638 183744 2704640 1671215 1033425 2618680 2129227 489453 9625980 DEPOSITS 527396359 527396359 1 SCHOLARSHIPS 6 17500 0 COMMITTEE N/A PART I, LINE 2: SCHOLARSHIP FUNDS ARE AWARDED BY A COMMITTEE OF THE BOARD AND CHECKS ARE MADE OUT DIRECTLY TO THE EDUCATIONAL INSTITUTIONS. X 0 1 0 SCOTT DRABB CEO (UNTIL 6/3/21) 391848 0 31860 0 396 0 15467 0 27973 0 467544 0 0 0 WILLIAM PETERS COO/INTERIM MANAGER (6/3/21-1/3/22) 240395 0 49110 0 238 0 16780 0 27973 0 334496 0 0 0 KATHLEEN SCHOLES CFO 154911 0 20250 0 7774 0 11981 0 7979 0 202895 0 0 0 JOHN EYRE VICE PRESIDENT IT 149981 0 10426 0 258 0 10274 0 11808 0 182747 0 0 0 LORI STANAWAY VP OPERATIONS 132311 0 9013 0 396 0 9985 0 13128 0 164833 0 0 0 HEATHER FATE VP MEMBER EXPERIENCE 129120 0 9690 0 60 0 9787 0 12808 0 161465 0 0 0 KERRY KEELY VP COMMERCIAL LENDING 138241 0 850 0 762 0 9373 0 11808 0 161034 0 0 0 PART I, LINE 4B THE FOLLOWING PARTICIPATED IN A SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN IN 2021 SPONSORED BY THE CREDIT UNIONS IN THE STATE OF WASHINGTON TAPCO CREDIT UNION: SCOTT DRABB NO CONTRIBUTIONS WERE MADE TO OR DISBURSEMENTS MADE FROM THE PLAN DURING 2021. FORM 990, PART VI, SECTION A, LINE 6 TAPCO CREDIT UNION HAS MEMBERS AS SPECIFIED IN ITS BYLAWS. FORM 990, PART VI, SECTION A, LINE 7A TAPCO CREDIT UNION'S BOARD OF DIRECTORS ARE ELECTED BY THE MEMBERS OF TAPCO CREDIT UNION AT THE ANNUAL MEETING. FORM 990, PART VI, SECTION A, LINE 8B THERE ARE NO COMMITTEES WITH AUTHORITY TO ACT ON BEHALF OF THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 11B THE VP/CFO REVIEW FORM 990 BY COMPARING IT TO FINANCIAL STATEMENTS AND ACCOUNTING DATA. A COPY OF FORM 990 WILL BE PROVIDED TO THE BOARD OF DIRECTORS PRIOR TO FILING WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C IT IS TAPCO CREDIT UNION'S POLICY THAT ALL EMPLOYEES AVOID ANY CONFLICT BETWEEN THEIR PERSONAL INTERESTS AND THOSE OF TAPCO. THE PURPOSE OF THE CONFLICT OF INTEREST POLICY IS TO ENSURE THAT TAPCO'S HONESTY AND INTEGRITY, AND THEREFORE ITS REPUTATION, ARE NOT COMPROMISED. THE FUNDAMENTAL PRINCIPLE GUIDING THIS POLICY IS THAT NO EMPLOYEE SHOULD HAVE, OR APPEAR TO HAVE, PERSONAL INTERESTS OR RELATIONSHIPS THAT ACTUALLY OR POTENTIALLY CONFLICT WITH THE BEST INTERESTS OF TAPCO. IT IS NOT POSSIBLE TO GIVE AN EXHAUSTIVE LIST OF SITUATIONS THAT MIGHT INVOLVE VIOLATIONS OF THIS POLICY. HOWEVER, THE SITUATIONS THAT WOULD CONSTITUTE A CONFLICT OF INTEREST IN MOST CASES INCLUDED BUT ARE NOT LIMITED TO: 1. HOLIDNG AN INTEREST IN OR ACCEPTING FREE OR DISCOUNTED GOODS FROM ANY ORGANIZATION THAT DOES, OR IS SEEKING TO DO, BUSINESS WITH TAPCO, BY ANY EMPLOYEE WHO IS IN A POSITION TO DIRECTLY OR INDIRECTLY INFLUENCE EITHER TAPCO'S DECISION TO DO BUSINESS, OR THE TERMS UPON WHICH BUSINESS WOULD BE DONE WITH SUCH ORGANIZATION; 2. HOLDING ANY INTEREST IN AN ORGANIZATION THAT COMPETES WITH TAPCO; 3. BEING EMPLOYED BY (INCLUDING AS A CONSULTANT) OR SERVING ON THE BOARD OF ANY ORGANIZATION WHICH DOES OR IS SEEEKING TO DO BUSINESS WITH TAPCO OR WHICH COMPETES WITH TAPCO; AND/OR 4. PROFITING PERSONALLY, E.G., THROUGH COMMISSIONS, LOANS, EXPENSE REIMBURSEMENTS OR OTHER PAYMENTS, FROM ANY ORGANIZATION SEEKING TO DO BUSINESS WITH TAPCO. A CONFLICT OF INTEREST ALSO EXISTS WHEN A MEMBER OF THE EMPLOYEE'S IMMEDIATE FAMILY IS INVOLVED IN SITUATIONS SUCH AS THOSE ABOVE. EMPLOYEES MAY RECEIVE GIFTS OR SPECIAL CONSIDERATION VALUED UP TO $100. NO CASH CURRENCY OF ANY VALUE IS ALLOWED. EMPLOYEES HAVE A RESPONSIBILITY TO DISCOLOSE ANY GIFTS THAT EXCEED THE $100 THRESHOLD OR IF THE VALUE OF THE GIFT CANNOT BE DETERMINED TO HUMAN RESOURCES. IF THE VALUE OF THE GIFT OR SPECIAL CONSIDERATION CANNOT BE ASSESSED, IT MAY BE DONATED FOR A CHARITABLE FUND RAISING EVENT. IF AN EMPLOYEE REFUSES A CASH CURRENCY GIFT AND IT IS LEFT WITH THEM, IT WILL BE PROCESSED VIA TAPCO CHARITY GL. IT IS THE EMPLOYEE'S RESPONSIBILITY TO REPORT ANY ACTUAL OR POTENTIAL CONFLICT THAT MAY EXIST BETWEEN THE EMPLOYEE (AND THE EMPLOYEE'S IMMEDIATE FAMILY) AND TAPCO. FORM 990, PART VI, SECTION B, LINE 15 PAY RANGES ARE PROVIDED BY COMPEASE BASED ON COMPENSABLE FACTORS AND POSITION JOB DESCRIPTIONS. IN ADDITION THE SALARY RANGES ARE BASED ON THE TACOMA AREA AND CREDIT UNION ASSET SIZE. THIS INFORMATION IS REVIEWED BY THE C-SUITE AND USED TO PREPARE THE ANNUAL COMPENSATION BUDGET THAT IS APPROVED BY THE BOARD. COMPEASE IS A CLOUD-BASED SALARY ADMINISTRATION AND PLANNING SYSTEM USING TRUSTED SALARY DATA SOURCES OF OVER 700 CREDIT UNIONS AND CUNA FACTORING IN INDIVIDUAL POSITION RESPONSIBILITIES, LOCATION, SIZE AND INDUSTRY. COMPENSATION IS BASED ON THE PAY RANGES BY POSITION FROM COMPEASE AND THE CREDIT UNION'S PAY PHILOSOPHY GUIDELINES. A PERSONNEL ACTION NOTICE IS COMPLETED FOR NEW HIRES, PROMOTIONS, AND MERIT INCREASES. ALL NEW HIRES ARE PROVIDED AN OFFER LETTER OUTLINING THE TERMS OF THEIR EMPLOYMENT WITH THE CREDIT UNION. THIS LETTER IS SIGNED AND A PART OF THE EMPLOYEES PERSONNEL FILE. FORM 990, PART VI, SECTION C, LINE 19 THE FINANCIAL STATEMENTS ARE MADE PUBLIC THROUGH THE ANNUAL MEETING AND INTERNET AND THE CONFLICTS OF INTEREST POLICIES ARE AVAILABLE UPON REQUEST. DOCUMENTS ARE AVAILABLE FOR THE SAME PERIOD OF DISCLOSURE AS SET FORTH IN SECTION 6104(D). FORM 990, PART IV, LINE 12A & PART XII, LINE 2B THE ORGANIZATION'S FINANCIAL STATEMENTS ARE AUDITED ON A SEPARATE BASIS BY AN INDEPENDENT ACCOUNTANT. HOWEVER, THE FINANCIAL STATEMENTS ARE AUDITED ON A FISCAL YEAR-END BASIS OF SEPTEMBER 30TH, WHILE THE ORGANIZATION'S TAX YEAR-END IS DECEMBER 31ST. TAPCO SERVICES INC 6312 19TH STREET WEST TACOMA WA 98466 911271799 INSURANCE BROKERAGE/AGENCY WA TAPCO CREDIT UNION C 1.00000 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0