2016-08-25T13:44:09-05:00 2015-12-31 910189318 Moss Adams LLP 2707 Colby Avenue Suite 801 Everett WA 98201 990 2015-01-01 910176215 Seattle Metropolitan Credit Union SEAT 2063985561 PO Box 780 Seattle WA 981110780 Jason Elliott SVP/CFO 2063985661 2016-08-19 1 Angela M Fidler P01254538 4252597227 2016-08-19 2015 2016-12-15 16:53:06Z Jason Elliott PO Box 780 Seattle WA 981110780 92422831 0 X www.smcu.com X 1933 WA A cooperative, organized for the purpose of promoting thrift and savings among its members. 5 5 195 10 360112 -408162 0 0 24382993 28547384 9181705 2235509 197842 0 33762540 30782893 46123 20000 0 0 11104859 12707524 0 0 0 12846965 13916780 23997947 26644304 9764593 4138589 616992910 664342847 553255661 596906152 63737249 67436695 X The purpose of this credit union is to promote thrift among its members, to provide financial services and to create a source of credit for them at legitimate rates of interest for provident, productive and educational purposes. 0 0 Seattle Metropolitan Credit Union (SMCU) has been providing services to its members since 1933. Since its inception, SMCU has considered itself an advocate for its members by providing member-centric financial services and financial literacy education at low or no cost. AS OF DECEMBER 31, 2015, SMCU HAD 43,857 MEMBERS. THESE MEMBERS PARTICIPATED IN 27,083 LOAN AND 86,746 DEPOSIT PRODUCTS. SMCU'S LOAN OFFERINGS INCLUDE A WIDE RANGE OF OPTIONS FROM STANDARD AUTO LOANS, MORTGAGES AND LINES OF CREDIT, TO MORE SEGMENTED PRODUCTS INCLUDING MOTORCYCLES, CLASSIC CARDS, BOATS, RECREATIONAL VEHICLES, AND AIRCRAFT LOANS. SMCU HAS ALSO RECENTLY EXTENDED ITS LOAN PRODUCTS TO INCLUDE BUSINESS LOANS TO QUALIFIED MEMBERS. ALL LOAN PRODUCTS COME IN A VARIETY OF TERMS TO PROVIDE PAYMENT OPTIONS THAT BEST SUIT THE MEMBERSHIP'S NEEDS. MEMBERS HAVE THE SAME VARIETY OF SELECTION ON THE DEPOSIT SIDE OF THE PRODUCT LINE WITH OFFERINGS RANGING FROM BASIC CHECKING AND SAVINGS ACCOUNTS TO IRAS, CERTIFICATES, MONEY MARKETS AND HIGH-YIELD ACCOUNTS. SMCU ALSO OFFERS BUSINESS ACCOUNTS AND INVESTMENT SERVICES THAT ARE DESIGNED TO MAINTAIN THE MEMBER'S BEST INTEREST. AS AN ADVOCATE FOR ITS MEMBERSHIP, SMCU PLACES A HIGH PRIORITY ON EDUCATIONAL RESOURCES. AS A RESULT, SMCU HAS INVESTED IN ONLINE APPLICATIONS TO HELP MEMBERS MAKE DECISIONS RELATED TO PLANNING, BORROWING, BUDGETING AND PROTECTING THEIR CREDIT. LIFE VISION AND MORTGAGE ADVISOR ARE TWO TOOLS OFFERED ON PERSONAL FINANCES AND RESPECTIVES FROM HOME AND FAMILY FINANCE ON CAR BUYING, CREDIT PROTECTION AND BUDGETING. FOR THOSE MEMBERS WHO PREFER TO SPEAK TO SOMEONE IN PERSON, SMCU PROVIDES FREE CREDIT COUNSELING THROUGH "BALANCE," A FINANCIAL FITNESS PROGRAM THAT FOCUSES ON MONEY MANAGEMENT IN ADDITION TO IDENTITY THEFT PREVENTION AND ASSISTANCE. 0 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 24937 0 1 195 1 1 1 0 0 0 0 0 X 5 5 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 X Jason Elliott 2063985525 PO Box 780 Seattle WA 981110780 Shari Storm Chair 1.00 X X 0 0 0 Jim Yearby Chair (Jan-Apr), Board Member 1.00 X X 0 0 0 Todd Boze Secretary (Jan-Apr), Vice Chair 1.00 X X 0 0 0 James Fossos Secretary 1.00 X X 0 0 0 Jack McGoldrick Secretary (Jan-Apr) 1.00 X X 0 0 0 Sandra Philbrook Board Member 1.00 X 0 0 0 Robert Leighton Board Member (Jan-Apr) 1.00 X 0 0 0 Richard Romero President/CEO 40.00 X 444858 0 116323 Tonita Webb Chief Administrative Officer 40.00 X 219106 0 18087 Jason Elliott Chief Financial Officer 40.00 X 177206 0 17167 Jill Vicente Chief Strategy Officer 40.00 X 223863 0 19447 Donna Ransier VP Information Technology 40.00 X 169115 0 16945 Brent Richins VP Member Services 40.00 X 159432 0 23806 Erica Erdozain VP Business Solutions 40.00 X 144693 0 13088 Chad Meadows VP Retail Operations 40.00 X 148150 0 26379 Lee Pierce VP Lending 40.00 X 142883 0 14528 Marguerite Lauderdale AVP of Real Estate & Business 40.00 X 122660 0 12322 Khamsay Vongchantha AVP of Risk Management 40.00 X 110554 0 20493 2062520 0 298585 12 0 1 0 DIGITAL INSIGHT 1300 SEAPORT BOULEVARD STE 300 REDWOOD CITY CA 94063 Online Banking Services 927115 Fiserv 255 FISERV DRIVE BROOKFIELD WI 53045 Financial TECHNOLOGY Services 610302 DP Incorporated 19936 Ballinger Way NE Seattle WA 98155 General Contractor 572963 Q2 Software Inc 13785 Research Blvd Suite 150 Austin TX 78750 Online Banking Services 359468 INFOIMAGE 1611 116TH AVE NE BELLEVUE WA 98004 STATEMENT PROCESSING SERVICES 279759 28 Loan Interest Income 522100 19645962 19645962 Interchange Income 522100 2878305 2878305 Fees and charges 522100 2693199 2675905 17294 Other revenue 522100 2470686 2127868 342818 Net Gain on Loans 522100 859232 859232 28547384 2197040 2197040 61678407 61632509 7429 45898 -7429 38469 38469 30782893 28187272 360112 2235509 X 20000 1605355 8313801 266846 1718542 802980 176651 102911 3743297 671783 1023201 1937924 1803802 60763 223332 1195318 1299326 124518 Provision for loan loss 628028 Member Awards 423725 Dues & Subscriptions 275036 Shared Branching Expens 190331 36834 26644304 3917399 3466862 57949832 74591655 1402721 1612830 540576 378634267 491566611 692652 900253 13669559 8906584 3394678 4762975 138550069 74469499 23924700 1160400 7986016 11811762 616992910 664342847 6266651 9536880 10500000 546989010 576869272 553255661 596906152 X 0 0 0 0 63737249 67436695 63737249 67436695 616992910 664342847 4138589 -439143 0 X 0 1 X 1 0 2240182 1610165 630017 10018493 7296419 2722074 1410884 1410884 4762975 Members' Share Accounts 576869272 576869272 X 30782893 0 30782893 0 30782893 26644304 0 26644304 0 26644304 Part X, Line 2: ASC 740-10-65, INCOME TAXES, PROVIDES GUIDANCE FOR HOW UNCERTAIN TAX POSITIONS SHOULD BE RECOGNIZED, MEASURED, DISCLOSED AND PRESENTED IN THE FINANCIAL STATEMENTS THIS REQUIRES THE EVALUATION OFTAX POSITIONS TAKEN OR EXPECTED TO BE TAKEN IN THE COURSE OF PREPARING THE CREDIT UNION'S TAX RETURNS. TO DETERMINE WHETHER THE TAX POSITIONS ARE MORE LIKELY THAN NOT "TO BE SUSTAINED WHEN CHALLENGED OR WHEN EXAMINED" BY THE APPLICABLE TAX AUTHORITY. TAX POSITIONS DEEMED TO NOT MEET THE MORE-LIKELY-THAN-NOT THRESHOLD WOULD BE RECORDED AS A TAX EXPENSE AND LIABILITY IN THE CURRENT YEAR. THE CREDIT UNION IS GENERALLY NO LONGER SUBJECT TO EXAMINATION BY FEDERAL TAX AUTHORITIES FOR YEARS BEFORE 2012 AND BY STATE TAX AUTHORITIES FOR YEARS BEFORE 2011. FOR THE YEAR ENDED DECEMBER 31, 2015, MANAGEMENT HAS DETERMINED THAT THERE ARE NO MATERIAL UNCERTAIN TAX POSITIONS, AND ACCORDINGLY,THE CREDIT UNION HAS NOT RECORDED A LIABILITY FOR THE PAYMENT OF INTEREST OR PENALTIES. 1 SCHOLARSHIPS 10 20000 Part I, Line 2: SEATTLE METROPOLITAN CREDIT UNION AWARDED SCHOLARSHIPS TO MEMBER-APPLICANTS SEEKING HIGHER EDUCATION. THE SCHOLARSHIP PROGRAM HONORS THE CREDIT UNION'S FOUNDER, TONY MARINO, AND HIS COMMITMENT TO THE CREDIT UNION AND COMMUNITY. All SMCU members or dependent children of members are eligible for the scholarship program with the exception of Board Directors, children of either Board Directors or Scholarship Committee Members, and previous scholarship winners. Scholarships are awarded based on academic standing, financial need, and extracurricular activities and/or employment. X 1 1 X X X 0 1 0 Richard Romero President/CEO 344910 0 91037 0 8911 0 98990 0 17333 0 561181 0 0 0 Tonita Webb Chief Administrative Officer 180332 0 38130 0 644 0 9118 0 8969 0 237193 0 0 0 Jason Elliott Chief Financial Officer 160000 0 16906 0 300 0 10743 0 6424 0 194373 0 0 0 Jill Vicente Chief Strategy Officer 188911 0 34288 0 664 0 12926 0 6521 0 243310 0 0 0 Donna Ransier VP Information Technology 152694 0 15654 0 767 0 10278 0 6667 0 186060 0 0 0 Brent Richins VP Member Services 134567 0 24127 0 738 0 7607 0 16199 0 183238 0 0 0 Erica Erdozain VP Business Solutions 138979 0 5385 0 329 0 6461 0 6627 0 157781 0 0 0 Chad Meadows VP Retail Operations 129684 0 18188 0 278 0 9097 0 17282 0 174529 0 0 0 Lee Pierce VP Lending 125400 0 17207 0 276 0 8524 0 6004 0 157411 0 0 0 Part I, Line 1a Travel of companions is provided to board members and other volunteers when attending approved educational forums and conferences. Amounts reimbursed for companion travel are treated as taxable. Part I, Line 4b 457(F) AND 457(B) NONQUALIFIED DEFERRED COMPENSATION PLANS - EFFECTIVE FEBRUARY 2013, THE CREDIT UNION ENTERED INTO A DEFERRED COMPENSATION AGREEMENT WITH RICHARD ROMERO THAT PROVIDES BENEFITS PAYABLE TO THIS EMPLOYEE IF THE EMPLOYEE REMAINS EMPLOYED BY THE CREDIT UNION. IF THIS EMPLOYEE BECOMES DISABLED, OR AT THE TIME OF DEATH OR CHANGE IN CONTROL OF EMPLOYER, ACCRUED BENEFITS ARE IMMEDIATELY PAYABLE; HOWEVER, THE BENEFITS ARE SUBJECT TO FORFEITURE IF EMPLOYMENT IS TERMINATED FOR CAUSE. THE ACCRUED LIABILITY RELATED TO THIS AGREEMENT WAS $98,400 AS OF DECEMBER 31, 2015. Form 990, Part VI, Section A, line 6 Membership is open to anyone who lives or works in the state of Washington including: City of Seattle employees, employees of partner select employer groups and any person related to a current member by blood, marriage (including domestic partners), or adoption, regardless of where that person lives. Form 990, Part VI, Section A, line 7a THE GOVERNING BOARD OF SEATTLE METROPOLITAN CREDIT UNION IS COMPRISED OF VOLUNTEER MEMBERS WHO ARE DIRECTLY ELECTED BY ITS MEMBERS. EACH MEMBER OF THE GOVERNING BOARD SERVES FOR A PERIOD AS PRESCRIBED BY OUR BY-LAWS. Form 990, Part VI, Section A, line 7b AT THE END OF EACH TERM OF THE BOARD MEMBERS, ELECTIONS ARE HELD AND BOARD MEMBERS ARE VOTED BY THE MEMBERS OF THE CREDIT UNION PURSUANT TO ITS BY-LAWS. MEMBER VOTES ARE ALSO REQUIRED TO RATIFY DECISIONS DEALING WITH REORGANIZATIONS AS IN THE CASE OF MERGER OR DISSOLUTION. Form 990, Part VI, Section B, line 11 MANAGEMENT WILL REVIEW THE 990 BASED ON THE INFORMATION PROVIDED TO OUR CPA. A COPY OF THE 990 WILL BE PRESENTED TO THE BOARD OF DIRECTORS FOR THEIR FINAL APPROVAL. Form 990, Part VI, Section B, line 12c EMPLOYEES SIGN ANNUALLY THAT THEY HAVE REVIEWED THE CONFLICT OF INTEREST POLICY. THE INTERNAL AUDIT DEPARTMENT AND MANAGERS MONITOR TO ENSURE ANY CONFLICTS OF INTEREST ARE IDENTIFIED. DIRECTORS AND MEMBERS OF COMMITTEES ARE REQUIRED TO DISCLOSE CONFLICTS OF INTEREST AND POTENTIAL CONFLICTS OF INTEREST, INCLUDING THOSE IN SITUATIONS IN WHICH THEY MAY BE INADVERTENTLY PLACED, AS A RESULT OF BUSINESS OR PERSONAL RELATIONSHIPS WITH MEMBERS, SUPPLIERS, BUSINESS ASSOCIATES, OR COMPETITORS OF THE CREDIT UNION. DIRECTORS AND MEMBERS OF COMMITTEES WILL AVOID ANY INTEREST OR ACTIVITY THAT IS IN CONFLICT WITH THE CONDUCT OF THEIR OFFICIAL DUTIES. DIRECTORS AND MEMBERS OF COMMITTEES WILL RECUSE THEMSELVES FROM CONSIDERATION OF ANY CONTRACT, TRANSACTION OR RELATIONSHIP IN WHICH THEY OR THEIR FAMILY MEMBERS HAVE AN INTEREST. Form 990, Part VI, Section B, line 15 THE HUMAN RESOURCES DEPARTMENT PERFORMS AN ANNUAL SALARY MARKET ANALYSIS AND THE BOARD CONDUCTS A REVIEW OF THE CEO'S SALARY AND ADJUSTS THEIR SALARY BASED UPON PERFORMANCE. Form 990, Part VI, Section C, line 19 The unaudited internal financial statements are posted AT EVERY BRANCH MONTHLY, AND THE AUDITED FINANCIAL STATEMENTS are provided TO THE MEMBERS AT THE ANNUAL MEETING AND ARE POSTED ON OUR WEBSITE. THE GOVERNING DOCUMENTS AND THE CONFLICTS OF INTEREST POLICIES ARE generally NOT PROVIDED TO THE GENERAL PUBLIC, unless a specific inquiry is made. Form 990, Part IX, line 11g Consulting Fees 985,309. Processing & service fees 2,757,988.