2019-11-15T07:34:21-06:00 2018-12-31 410746749 CLIFTONLARSONALLEN LLP 1966 GREENSPRING DRIVE SUITE 300 TIMONIUM MD 210934161 990 2018-01-01 520627114 STATE EMPLOYEES CREDIT UNION OF MARYLAND INC STAT 4104877328 971 CORPORATE BOULEVARD LINTHICUM MD 210902337 STEVEN ARBAUGH CFO 4104877328 2019-11-12 1 LAUREN BALLARD CPA P01451787 4104530900 2019-11-12 67.137.57.251 2019-11-12 13:54:20 ES P 006DA25DC32C2723A1CCCA87B18674C9F00E3BB9 006DA25DC32C2723A1CCCA87B18674C9F00E3BB9 2018 2020-03-31 21:24:44Z SECU STEVEN ARBAUGH 971 CORPORATE BOULEVARD LINTHICUM MD 210902337 276249191 0 X WWW.SECUMD.ORG X 1951 MD TO MAKE A POSITIVE CONTRIBUTION TO THE FINANCIAL WELL-BEING OF THOSE WE SERVE. 9 9 509 0 577724 38514 0 0 147244594 173749848 10977026 19085999 326533 631492 158548153 193467339 166755 270625 16661401 23628737 34265514 35721852 0 0 0 88809670 112005084 139903340 171626298 18644813 21841041 3375853515 3646274745 3042498310 3291757834 333355205 354516911 X SECU'S MAIN PURPOSE IS TO PROMOTE THRIFT AMONG AND TO CREATE A SOURCE OF CREDIT FOR ITS MEMBERS. SECU DOES SO BY PROVIDING MARYLANDERS WITH PRODUCTS, SERVICES AND STATE OF THE ART TECHNOLOGY DESIGNED TO MEET ITS MEMBERS' FINANCIAL NEEDS. 0 0 DEPOSIT PRODUCTS & SERVICES: SECU PROVIDES DEPOSIT PRODUCTS AND SERVICES TO MEMBERS. THESE DEPOSIT PRODUCTS INCLUDE SAVINGS, CHECKING, MONEY MARKET, CERTIFICATES OF DEPOSIT, AND INDIVIDUAL RETIREMENT ACCOUNTS. AS OF DECEMBER 31, 2018, SECU HAD 568,716 DEPOSIT ACCOUNTS OUTSTANDING. SECU'S DEPOSIT RATES CONTINUE TO BE SOME OF THE MOST COMPETITIVE RATES OFFERED BY FEDERALLY INSURED FINANCIAL INSTITUTIONS. LOAN PRODUCTS:SECU PROVIDES MORTGAGE, CONSUMER AND BUSINESS LOANS TO MEMBERS AT COMPETITIVE RATES. THESE LOANS INCLUDE 1ST AND 2ND MORTGAGES, HOME EQUITY LINES OF CREDIT, CREDIT CARD, UNSECURED LINES OF CREDIT, NEW AND USED AUTO LOANS, AND STUDENT LOANS AS OF DECEMBER 31, 2018, SECU HAD 161,131 LOANS OUTSTANDING TO MEMBERS TOTALING $3.25 BILLION. TRADITIONAL/ONLINE/MOBILE BANKING:SECU OFFERS ONLINE AND MOBILE BANKING SERVICES TO MEMBERS IN ADDITION TO 22 BRANCHES AND 109 AUTOMATED TELLER MACHINES THROUGHOUT THE STATE. FINANCIAL EDUCATION:IN 2018 SECU PROVIDED ADULT AND YOUTH FINANCIAL EDUCATION SERVICES SUCH AS WORKING WITH SCHOOLS AND SELECT EMPLOYER GROUPS. 0 0 0 0 0 0 0 1 0 1 0 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 1 102510 0 509 1 1 1 0 0 0 0 0 0 0 X 9 9 0 0 0 0 1 1 1 1 1 0 1 1 1 1 1 1 1 1 1 1 0 MD X STEVEN ARBAUGH CFO 4104877328 971 CORPORATE BOULEVARD LINTHICUM MD 210902337 MARK REGER CHAIR 1.00 X X 38020 0 0 GAYLE SEWARD VICE CHAIR 1.00 X X 35967 0 0 JOHN KENNEY TREASURER 1.00 X X 36416 0 0 SHARONNE BONARDI SECRETARY 1.00 X X 27542 0 0 JANET BACON DIRECTOR 1.00 X 24712 0 0 JUANCHO BAINO DIRECTOR 1.00 X 35283 0 0 ELLEN GARDNER DIRECTOR 1.00 X 20170 0 0 TIMOTHY LA VALLE DIRECTOR 1.00 X 27207 0 0 DONALD TYNES DIRECTOR 1.00 X 32330 0 0 RODNEY STAATZ CEO/PRESIDENT 40.00 X 1071938 0 198333 DAVID SWEIDERK CEO/PRESIDENT 40.00 X 251197 0 14152 STEVEN ARBAUGH CFO/SENIOR VP 40.00 X 321977 0 57214 MICHAEL GORDY COO/EXECUTIVE VP 40.00 X 391181 0 42611 KEVIN KESECKER CHIEF LENDING OFFICER/SENIOR VP 40.00 X 294947 0 37345 ADRIENNE ALLGIRE VP, OPERATIONS 40.00 X 189410 0 35860 JOHN ENA JR VP, FINANCE/CONTROLLER 40.00 X 213765 0 21467 RODERIC FLOWERS VP, HUMAN RESOURCES DEVELOPMENT 40.00 X 232806 0 54975 MICHELE MOORE VP, BRANCH BANKING 40.00 X 159738 0 26806 JAMES POLCARO VP, IT & OPERATIONS 40.00 X 275488 0 62065 JANE SILVESTRI VP, STRATEGIC BUSINESS SOLUTIONS 40.00 X 194390 0 29455 JAMES SMITH III VP, LENDING 40.00 X 219229 0 47598 KEVIN STEHL VP, DIGITAL BANKING 40.00 X 254370 0 48413 MARGARET TUCKER SENIOR VP, ADMINISTRATION 40.00 X 232253 0 35668 JOSELI WRIGHT SENIOR VP, MEMBER & BRAND STRATEGY 40.00 X 281030 0 45133 VICTOR HAZAN AVP, BUSINESS SERVICES 40.00 X 199343 0 42218 JOHN HOWELL WHOLESALE LENDING ACCOUNT MANAGER 40.00 X 355279 0 12101 KATHERINE JENKINS WHOLESALE LENDING ACCOUNT MANAGER 40.00 X 290474 0 23967 RICHARD VIVOLA VP, INTERNAL AUDIT 40.00 X 197556 0 52273 KEITH ZICKAR COMMERCIAL LENDING SALES MANAGER 40.00 X 227373 0 42119 6131391 0 929773 63 0 1 0 OPEN TECHNOLOGY SOLUTIONS LLC (OTS) 8085 SOUTH CHESTER STREET SUITE 10 CENTENNIAL CO 80112 TECHNOLOGY SERVICES 10230587 FIDELITY NATIONAL INFORMATION SERVICES 601 RIVERSIDE AVENUE JACKSONVILLE FL 32204 PAYMENT PROCESSING, BANKING SOFTWARE 4653780 CU COOPERATIVE SYSTEMS INC (CO-OP) 9692 HAVEN AVE RANCHO CUCAMONGA CA 91730 ATM NETWORK & MEMBER ONLINE BANKING SERV 1801064 FISERV INC 255 FISERV DRIVE BROOKFIELD WI 53045 FINANCIAL SERVICES SOFTWARE/TECHNOLOGY 1394034 TAYLOR COMMUNICATIONS INC 600 ALBANY STREET DAYTON OH 45417 MEMBER STATEMENTS/NOTICES, POSTAGE 1388590 75 INTEREST ON LOANS 522100 132780733 132780733 SERVICE CHARGES INCOME 522100 26384774 25807050 577724 OTHER FEE INCOME 522100 12782782 12782782 SECU TITLE INCOME 522100 1109539 1109539 EQUITY IN EARNINGS OF SUBSIDIARY 522100 692020 692020 173749848 17471532 17471532 1200551 569059 631492 631492 631492 83827260 82212793 1614467 1614467 1614467 193467339 173172124 577724 19717491 X 270625 23628737 5618461 22650992 1441692 3824100 2186607 453609 19634203 2355619 5349052 17473374 3018439 250552 580418 13009921 5295897 1478376 PROVISION FOR LOAN LOSS 27028540 CHECKING SERVICES/NETWO 4967796 EQUIPMENT EXPENSE 3890299 LENDING SERVICES 2485125 4733864 171626298 225104082 190553837 2934945701 3249596111 3046827 3345167 96700771 55510693 43168511 41190078 133659795 119212793 10690546 11571877 25238053 30804882 3375853515 3646274745 22284325 20190088 6337791 7286695 3013876194 3264281051 3042498310 3291757834 X 0 0 0 0 333355205 354516911 333355205 354516911 3375853515 3646274745 X 21841041 -636596 -42739 X 0 1 X 1 0 0 1 X 11435415 11435415 30882450 12718771 18163679 11977251 7067597 4909654 42381397 35708488 6672909 24258 15837 8421 41190078 SHARES AND DEPOSITS 3227780201 ACCRUED DIVIDENDS AND INTEREST PAYABLE 2828465 GOOD FUNDS PAYABLE 3672385 LONG-TERM BORROWINGS 30000000 3264281051 X PART IV, LINE 2B: THE CREDIT UNION HOLDS FUNDS IN ESCROW TO PAY INSURANCE AND REAL ESTATE TAXES ON BEHALF OF ITS MORTGAGE LOAN MEMBERS. PART X, LINE 2: THE CREDIT UNION EVALUATED ITS TAX POSITIONS AND DETERMINED NO UNCERTAIN TAX POSITIONS EXIST AS OF DECEMBER 31, 2018 AND 2017. 1 UNITED WAY OF CENTRAL MARYLAND 100 SOUTH CHARLES STREET 5TH FLOOR BALTIMORE MD 21203 520591543 501(C)(3) 6000 N/A N/A PROGRAM SUPPORT NATIONAL CREDIT UNION FOUNDATION 5710 MINERAL POINT ROAD MADISON WI 53705 391383650 501(C)(3) 17300 N/A N/A PROGRAM SUPPORT WORLDWIDE FOUNDATION OF CREDIT UNIONS 5710 MINERAL POINT ROAD MADISON WI 53705 396093210 501(C)(3) 10000 N/A N/A PROGRAM SUPPORT CREDIT UNION FOUNDATION OF MD & DC 8975 GUILFORD ROAD COLUMBIA MD 21046 521749045 501(C)(3) 15000 N/A N/A PROGRAM SUPPORT MARYLAND COUNCIL ON ECONOMIC EDUCATION 8000 YORK ROAD TOWSON MD 21252 520743956 501(C)(3) 10000 N/A N/A PROGRAM SUPPORT UNIVERSITY OF MARYLAND MEDICAL SYSTEM FOUNDATION INC 110 SOUTH PACA STREET 9TH FLOOR BALTIMORE MD 21201 522238893 501(C)(3) 11000 N/A N/A PROGRAM SUPPORT SPECIAL OLYMPICS MARYLAND 3701 COMMERCE DRIVE SUITE 103 BALTIMORE MD 21227 237089144 501(C)(3) 7000 N/A N/A PROGRAM SUPPORT AFRICAN AMERICAN CREDIT UNION COALITION 4415 AMY ROAD SNELLVILLE GA 30039 571091138 501(C)(3) 25000 N/A N/A PROGRAM SUPPORT SECU MD FOUNDATION INC 971 CORPORATE BLVD LINTHICUM MD 21090 821896987 501(C)(3) 166925 N/A N/A PROGRAM SUPPORT 9 0 X X X 0 1 0 RODNEY STAATZ CEO/PRESIDENT 642650 0 231360 0 197928 0 154635 0 43698 0 1270271 0 0 0 DAVID SWEIDERK CEO/PRESIDENT 174151 0 77046 0 0 0 4644 0 9508 0 265349 0 0 0 STEVEN ARBAUGH CFO/SENIOR VP 252013 0 64758 0 5206 0 22585 0 34629 0 379191 0 0 0 MICHAEL GORDY COO/EXECUTIVE VP 307313 0 81000 0 2868 0 25374 0 17237 0 433792 0 0 0 KEVIN KESECKER CHIEF LENDING OFFICER/SENIOR VP 241446 0 51183 0 2318 0 23114 0 14231 0 332292 0 0 0 ADRIENNE ALLGIRE VP, OPERATIONS 161948 0 26796 0 666 0 15218 0 20642 0 225270 0 0 0 JOHN ENA JR VP, FINANCE/CONTROLLER 174892 0 37621 0 1252 0 17200 0 4267 0 235232 0 0 0 RODERIC FLOWERS VP, HUMAN RESOURCES DEVELOPMENT 188006 0 42300 0 2500 0 19626 0 35349 0 287781 0 0 0 MICHELE MOORE VP, BRANCH BANKING 158985 0 0 0 753 0 4950 0 21856 0 186544 0 0 0 JAMES POLCARO VP, IT & OPERATIONS 224169 0 48410 0 2909 0 22332 0 39733 0 337553 0 0 0 JANE SILVESTRI VP, STRATEGIC BUSINESS SOLUTIONS 164759 0 26701 0 2930 0 15742 0 13713 0 223845 0 0 0 JAMES SMITH III VP, LENDING 179486 0 38940 0 803 0 17841 0 29757 0 266827 0 0 0 KEVIN STEHL VP, DIGITAL BANKING 207285 0 46199 0 886 0 18720 0 29693 0 302783 0 0 0 MARGARET TUCKER SENIOR VP, ADMINISTRATION 185988 0 42665 0 3600 0 19061 0 16607 0 267921 0 0 0 JOSELI WRIGHT SENIOR VP, MEMBER & BRAND STRATEGY 227262 0 51750 0 2018 0 20485 0 24648 0 326163 0 0 0 VICTOR HAZAN AVP, BUSINESS SERVICES 168084 0 30621 0 638 0 16934 0 25284 0 241561 0 0 0 JOHN HOWELL WHOLESALE LENDING ACCOUNT MANAGER 45166 0 305295 0 4818 0 5791 0 6310 0 367380 0 0 0 KATHERINE JENKINS WHOLESALE LENDING ACCOUNT MANAGER 39810 0 245813 0 4851 0 8250 0 15717 0 314441 0 0 0 RICHARD VIVOLA VP, INTERNAL AUDIT 160646 0 35239 0 1671 0 16563 0 35710 0 249829 0 0 0 KEITH ZICKAR COMMERCIAL LENDING SALES MANAGER 138042 0 83185 0 6146 0 17920 0 24199 0 269492 0 0 0 PART I, LINE 4B RODNEY STAATZ, PRESIDENT/CEO, PARTICIPATES IN A NON-QUALIFED RETIREMENT PLAN. THERE WERE NO DISTRIBUTIONS DURING 2018. FORM 990, PART VI, SECTION A, LINE 6 MEMBERS OF THE CREDIT UNION HAVE THE RIGHT TO ELECT ONE OR MORE MEMBERS OF THE ORGANIZATION'S GOVERNING BODY. THE CREDIT UNION MEMBERS ALSO RECEIVE A SHARE OF THE ORGANIZATION'S PROFITS IN THE FORM OF CASH DIVIDENDS. FORM 990, PART VI, SECTION A, LINE 7A MEMBERS OF THE CREDIT UNION HAVE THE RIGHT TO ELECT ONE OR MORE MEMBERS OF THE ORGANIZATION'S GOVERNING BODY, WHETHER PERIODICALLY, OR AS VACANCIES ARISE, OR OTHERWISE. FORM 990, PART VI, SECTION A, LINE 7B MEMBERS OF THE CREDIT UNION HAVE THE RIGHTS TO APPROVE THE GOVERNING BODY'S ELECTION AND REMOVAL OF MEMBERS OF THE GOVERNING BODY, AS WELL AS OTHER MATTERS THAT ARE SUBJECT TO THE APPROVAL OF MEMBERS OF THE CREDIT UNION AS THEY OCCUR. FORM 990, PART VI, SECTION B, LINE 11B FORM 990 IS REVIEWED BY THE CFO AND CONTROLLER. A COPY WILL BE PROVIDED ELECTRONICALLY TO THE BOARD OF DIRECTORS FOR REVIEW PRIOR TO FILING WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C SECU ADMINISTRATION AND INTERNAL AUDIT HANDLE THE CREATION, MAILING, AND COLLECTION OF THE ANNUAL CONFLICT OF INTEREST QUESTIONNAIRES TO THE DIRECTORS, OFFICERS, SUPERVISORY COMMITTEE MEMBERS, CREDIT COMMITTEE MEMBERS, THE PRESIDENT, VPS, AND AVPS. A REPORT DETAILING THE RESULTS OF THE ANNUAL CONFLICT OF INTEREST REVIEW ARE SHARED WITH THE BOARD, AND ANY HIGH RISK CONCERNS AND ISSUES (>$150) ARE BROUGHT TO THE ATTENTION OF THE BOARD AT THE DISCRETION OF THE AVP OF INTERNAL AUDIT. IN THE EVENT THAT A CONFLICT OR POSSIBLE CONFLICT OF INTEREST EXISTS, BOARD MEETING MINUTES WILL REFLECT PROCEEDINGS RELATED TO THE CONFLICT, AND THE BOARD WILL DIRECT THAT IT BE RESOLVED. ANYONE INVOLVED IN A CONFLICT OF INTEREST MAY NOT VOTE ON OR DISCUSS THE PARTICULAR TRANSACTION IN WHICH HE OR SHE HAS AN INTEREST. TERMINATION OR SUSPENSION OF DUTIES MAY BE RECOMMENDED IN CERTAIN CASES IF THE CONFLICT OF INTEREST IS NOT RESOLVED. FORM 990, PART VI, SECTION B, LINE 15 FOR VP LEVEL EMPLOYEES, THE PRESIDENT/CEO CONTROLS DECISIONS WITH THE BOARD BEING INFORMED OF THE DECISION BUT NOT FORMALLY INVOLVED. THE CEO USES EXTERNAL SOURCES FOR VP SALARY MARKET DATA. THE CEO REVIEWS THIS DATA AND SETS VP MARKET SALARIES IN CONJUNCTION WITH THE VP OF HR. ANNUALLY THE BOARD MEETS WITH A CREDIT UNION INDUSTRY CONSULTANT TO REVIEW THE CEO COMPENSATION PLAN, CEO COMPARISON DATA, ALONG WITH PERFORMANCE IS USED TO DETERMINE SALARY. THE DETAILS OF THIS MEETING ARE DOCUMENTED IN THE BOARD MINUTES. FORM 990, PART VI, SECTION C, LINE 19 FINANCIAL STATEMENTS, CONFLICT OF INTEREST POLICY, AND GOVERNING DOCUMENTS ARE AVAILABLE UPON REQUEST FOR THE SAME PERIOD OF DISCLOSURE AS SET FORTH IN SECTION 6104(D). FORM 990, PART IX, LINE 11G PROFESSIONAL SERVICES 19,634,203. FORM 990, PART XI, LINE 9: CHANGE IN UNAMORTIZED LOSSES IN POST-RETIREMENT HEALTH PLAN -42,739. SECU TITLE SERVICES LLC 971 CORPORATE BLVD LINTHICUM MD 210902337 463163747 TITLE SERVICES MD 1109539 1139624 STATE EMPLOYEES CREDIT UNION OF MARYLAND INC SECU MD FOUNDATION INC 971 CORPORATE BLVD LINTHICUM MD 210902337 821896987 SCHOLARSHIPS MD 501(C)(3) LINE 10 STATE EMPLOYEES CREDIT UNION OF MARYLAND INC 1 SECURITY FINANCIAL GROUP 971 CORPORATE BLVD LINTHICUM MD 21090 521804772 INSURANCE SALES MD STATE EMPLOYEES CREDIT UNION OF MARYLAND INC C 91787 195713 1.00000 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 1 1 0 SECU MD FOUNDATION INC B 166925 CASH VALUE SECU MD FOUNDATION INC R 58441 CASH VALUE