2013-05-09T14:28:32-07:00 2012-12-31 990 2012-01-01 421132695 VERIDIAN CREDIT UNION VERI 3192365600 1827 Ansborough Waterloo IA 507013629 Keith J Mesch 3192366774 2013-05-10 2012 2016-02-25 16:41:14Z Keith J Mesch 233 Fisher Drive Waterloo IA 50701 237305798 0 X www.veridiancu.org X 1934 IA To provide a variety of low or no cost services, low loan rates and higher savings rates to our members, and to fulfill our philosophy of "people helping people" by partnering with our members to create successful financial futures. Our current field of membership is 40 counties in central, east central, north east and western Iowa, as well as 5 counties in eastern Nebraska. 15 15 652 0 698618 131664 0 0 83022930 81616055 1423714 1212684 26274255 27485703 110720899 110314442 0 0 0 0 31449625 34621816 0 0 0 54185997 51737229 85635622 86359045 25085277 23955397 2019601224 2350002400 1815478486 2121208812 204122738 228793588 To provide a variety of low or no cost services, low loan rates and higher savings rates to our members, and to fulfill our philosophy of "people helping people" by partnering with our members to create successful financial futures. Our current field of membership is 40 counties in central, east central, north east and western Iowa, as well as 5 counties in eastern Nebraska. 0 0 0 0 0 Veridian Credit Union served approximately 172,109 members at our convenient branch locations. Veridian Credit Union had over 4 million member contacts at all our branches in 2012, which included 21,294 new memberships. Total loans and deposits at 12-31-12 were $1,501,493,787 and $2,093,759,799, respectively. 0 0 0 0 0 0 0 0 0 0 0 1 0 1 0 1 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 1 31 0 1 652 1 1 1 0 0 0 0 0 X 15 15 0 0 0 0 1 1 1 1 1 0 1 1 1 1 1 1 1 1 1 1 1 0 X Keith J Mesch 3192366774 233 Fisher Drive Waterloo IA 50701 Scott Anderson 6 0 X 2776 0 0 Pam Ayres 6 0 X 0 0 0 Joe Garcia 6 0 X 0 0 0 Thomas DeLong 6 0 X 54 0 0 Paul Gengler 6 0 X 0 0 0 Nick Waters 6 0 X 0 0 0 Jim Kacher 6 0 X 1059 0 0 Bob Kressig 6 0 X 0 0 0 Bill Boevers 6 0 X 0 0 0 David Schultz 6 0 X 0 0 0 Ginger Shirley 6 0 X 524 0 0 Roosevelt Taylor 6 0 X 0 0 0 Creston Van Wey 6 0 X 1780 0 0 Elizabeth Caven 6 0 X 248 0 0 Gaylen Witzel 6 0 X 0 0 0 Jean Trainor 50 0 X 463086 0 47465 Monte Berg 50 0 X 232760 0 44276 Doug Gilbertson 50 0 X 217299 0 34254 Renee Christoffer 50 0 X 176393 0 33666 DyAnn Longseth 50 0 X 179009 0 32878 Nick Evens 50 0 X 163694 0 32658 Chris McGovern 50 0 X 218198 0 31368 Lynn Widdel 50 0 X 131539 0 26645 Tony McKillip 50 0 X 192972 0 41250 Keith Hartley 50 0 X 136733 0 33208 Angie Hamilton 50 0 X 144445 0 30427 Stacy Koontz 50 0 X 159584 0 33602 2422153 0 421697 17 0 1 0 United Healthcare PO Box 88832 Chicago IL 606951832 Health insurance provider 3257605 Jack Henry PO Box 609 Monett MO 65708 Debit/credit card transaction expense 1633067 Shazam 6700 Pioneer Parkway Johnston IA 50131 ATM Expense 1542803 National Business System 2919 West Service Road Eagan MN 55121 Statement processing 910526 The Integer Group 2633 Fleur Drive Des Moines IA 50621 Marketing Expenses 821347 47 0 Interest Income-Loans to Members 522130 72614647 72614647 0 0 Interest Income-Investments 522130 9001408 9001408 0 0 0 0 0 0 81616055 275535 275535 0 0 0 0 0 0 0 0 0 0 345649 0 105796 0 239853 0 239853 239853 0 0 0 127822709 0 126885560 0 937149 937149 937149 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Visa Interchange 522130 10214207 10214207 0 0 Overdraft/NSF Fees 522130 7358480 7358480 0 0 ATM-POS 522130 2660128 2660128 0 0 7013035 6314417 698618 0 27245850 110314442 109615824 698618 0 0 0 0 0 2415712 0 22095803 3239234 5163445 1707622 0 105801 270491 0 0 0 0 2673995 2313118 1864638 0 2567061 235086 0 386335 21527420 0 2471646 0 Provision for loan loss 4651122 Payment systems 4410136 Loan servicing 3237919 NCUSIF Insurance 1722999 3299462 86359045 0 0 0 13142148 21258776 106434134 126863164 0 0 9727115 7325151 0 0 0 0 1354185841 1492093939 0 0 1205502 1324632 61905838 33568071 27721371 28337767 0 0 0 0 480427256 644643686 0 0 26757857 28155285 2019601224 2350002400 23253896 26881486 0 0 692048 567526 0 0 5338026 6569171 0 0 0 0 0 0 1786194516 2087190629 1815478486 2121208812 X 0 0 0 0 204122738 228793588 204122738 228793588 2019601224 2350002400 23955397 715453 0 0 0 0 X 0 1 X 1 0 0 1 X 0 6955048 6955048 0 25923512 9715785 16207727 0 1156548 1093286 63262 0 27774704 22759000 5015704 0 96026 0 96026 28337767 Mortgage Backed Securities 35809011 F Corporate Bonds 72734020 F Government Agencies 163400333 F CMO's 126060256 F Certificates of Deposit 159667635 C Managed Accounts/Mutual Funds 10360399 F Municipals 38696919 F Other 37915113 C 644643686 0 Share Savings 451782824 Share Draft 249936562 Money Market 443470994 Certificates 812181860 IRA 129818389 2087190629 X 112132793 0 0 0 0 0 112132793 0 -1818351 -1818351 110314442 88177396 0 0 0 1818351 1818351 86359045 0 0 0 86359045 SchD_P04_S00_L02b Schedule D, Part IV, Line 2b Veridian Credit Union collects amounts from members with real estate loans each month via their contractual payment schedule. These funds are held in escrow until they need to be disbursed in accordance with the escrow instructions for each member. Amounts held in escrow are for property taxes and homeowner's insurance. SchD_P10_S00_L02 Schedule D, Part X, Line 2 Income Taxes: The Credit Union is exempt from income tax under Section 501(c)(14) of the Internal Revenue Code and Section 122 of the Credit Union Act. The Credit Union's insurance brokerage subsidiary, however, is subject to state and federal income taxes. Operations of the subsidiary resulted in no income taxes for either 2012 or 2011. The Credit Union accounts for uncertainty in income taxes in accordance with ASC 740, which addresses the determination of whether tax benefits claimed or expected to be claimed on a tax return, should be recorded in the financial statements. Under this guidance, the Credit Union may recognize the tax benefits from an uncertain tax position only if it is more-likely-than-not that the tax position will be sustained on examination by taxing authorities, based on technical merits of the position. The tax benefits recognized in the financial statements from such a position are being measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. The guidance on accounting for uncertainty in income taxes also addresses derecognition, classification, interest and penalties on income taxes, and accounting in interim periods. This standard did not have an impact on the financial statements and the Credit Union believes it does not have any uncertain tax positions. The Credit Union recognizes interest and penalties on income taxes as a component of income tax expense. With few exceptions, the Credit Union is no longer subject to U.S. federal or state and local income tax examinations by tax authorities for years before 2009. SchD_P11_S00_L04b Schedule D, Part XI, Line 4b Depreciation Expense on rental propery $105,796; CUSO expenses reported net on 990 $1,546,449; OREO loss $166,106 SchD_P12_S00_L02d Schedule D, Part XII, Line 2d Depreciation expense rental property $105,796; CUSO expenses reported net on 990 $1,546,449; OREO loss $166,106 X X 1 1 X X X X X 0 0 0 Jean Trainor 412225 0 25317 0 25544 0 37500 0 9965 0 510551 0 0 0 Monte Berg 199181 0 32552 0 1027 0 31395 0 12881 0 277036 0 0 0 Doug Gilbertson 166819 0 32552 0 17928 0 28652 0 5602 0 251553 0 0 0 Renee Christoffer 140554 0 32552 0 3287 0 23190 0 10476 0 210059 0 0 0 DyAnn Longseth 127400 0 32552 0 19057 0 23378 0 9501 0 211888 0 0 0 Nick Evens 133607 0 24376 0 5711 0 22182 0 10476 0 196352 0 0 0 Tony McKillip 73063 0 119707 0 202 0 28368 0 12881 0 234221 0 0 0 Stacy Koontz 58192 0 96090 0 5302 0 23843 0 9759 0 193186 0 0 0 Angie Hamilton 62610 0 81470 0 364 0 21178 0 9249 0 174871 0 0 0 Keith Hartley 64659 0 71868 0 206 0 20327 0 12881 0 169941 0 0 0 Lynn Widdel 112264 0 18946 0 329 0 17397 0 9249 0 158185 0 0 0 Chris McGovern 82996 0 134837 0 365 0 31368 0 0 0 249566 0 0 0 SchJ_P01_S00_L01a Schedule J, Part I, Line 1a The Veridian Credit Union board of director policy allows certain travel expenses for board members and their spouses. Expenses include transportation, registration, meals and lodging. When the spouse of a director is also traveling, they are entitled to the same expense coverage as a director, provided the travel of the spouse has been authorized. The board of director travel policy does not prohibit first-class travel. Travel arrangements are always made for coach class unless a medical reason warrants first-class. F990_P06_S0A_L06 Form 990, Part VI, Section A, Line 6 Veridian Credit Union is a not-for-profit financial cooperative that is owned by its members. Veridian Credit Union membership is open to persons living or working in 40 surrounding counties in central, east central, northeast and western Iowa, as well as 5 counties in eastern Nebraska. Employees of the credit union's business partners are also eligible for Veridian Credit Union membership. F990_P06_S0A_L07a Form 990, Part VI, Section A, Line 7a Each member of Veridian Credit Union is an equal owner of the credit union. Each member has one vote in the election of the board of directors, regardless of how much money they have on deposit. F990_P06_S0A_L07b Form 990, Part VI, Section A, Line 7b The following types of decisions of the governing body of Veridian Credit Union are subject to approval by its members: change in the articles of incorporation, merger, change to the credit union by-laws, change in charter status, election/removal of members of the board, dissolve the organization. F990_P06_S0B_L11b Form 990, Part VI, Section B, Line 11b The Form 990 and all the required schedules are reviewed each year by the Vice President of Financial Operations. Amounts reported on the 990 are supported with various work papers containing information obtained from the general ledger accounting software and the payroll processor. The Vice President of Financial Operations reviews all work papers to ensure amounts reported on the Form 990 are proper. After the review, any questions or comments are submitted to the preparer for responses, and then another review of those items is completed until all questions and comments are resolved. The completed Form 990 as it will be filed electronically with the IRS, is posted to Veridian's board extranet for the board members to review. F990_P06_S0B_L12c Form 990, Part VI, Section B, Line 12c Veridian Credit Union regularly and consistently monitors and enforces compliance with its conflict of interest policy as follows: The Veridian conflict of interest policy requires annual disclosure statements to be signed by the board of directors and submitted to the CFO or Board Chair within 30 days of January 1 of each year. Any apparent conflict of interest shall be resolved by the CFO and/or Audit Committee and the individual. Veridian's Board Governance Committee also oversees this board policy. The internal audit staff monitors compliance with all policies. F990_P06_S0B_L15 Form 990, Part VI, Section B, Line 15 The process of determining compensation for all employees of the credit union, including the CEO and other key employees is as follows: An outside, third party consultant is engaged to help determine the pay scale and merit increases. The consultants perform market surveys each year for each of our regions to determine if any changes need to be made to the pay ranges. Veridian Credit Union's board of director's approves the range adjustments. F990_P06_S0C_L19 Form 990, Part VI, Section C, Line 19 Veridian Credit Union makes its governing documents, conflict of interest policy and financial statements available to the public upon request. The Veridian Group Inc 1827 Ansborough Waterloo IA 50701 421263291 Insurance and payroll processing IA N/A C 336334 2766175 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 The Veridian Group Inc q 1354136 Actual cash transferred per the general ledger records