2023 Dakota Credit Union Association Membership Matters Impact Report

MEMBERSHIP MATTERS 2023

CHAIRMAN’S MESSAGE

Thank you for your continued partnership with the Dakota Credit Union Association (DakCU).

Your support and engagement are crucial to our industry growth and sustainability, both here in the Dakotas and across the whole movement.

It is my privilege to serve as your board chair along with an engaged and active board of directors.

Each is a credit union leader committed to promoting the credit union difference, demonstrating that credit unions are the best financial services option for consumers and their communities.

For the sixth consecutive year, the CUNA-League system has been recognized as the most influential financial services trade association in Washington, D.C., across all industries, based on an independent study of Washington policymakers. This means the voice of the CUNA-League system is stronger than ever with much to offer you in service to your members.

As an organization, the objective is simple: DakCU is here to help its members succeed and to be the best advocate for credit unions and their members. Your DakCU team is dedicated to working tirelessly on your behalf at all levels, federal, state, and in your community.

Whether it’s promoting credit union awareness, providing you with best-in-class education and training, or bringing you helpful resources, products, services, and solutions we always have your best interests in mind.

As an engaged member of DakCU, you are entitled to many dues-supported benefits that are outlined in this membership impact report. I encourage you to explore this brochure so you can take full advantage of the many partnerships and resources we have available for you and your team.

Thank you for your confidence and continued support. Your active and engaged membership matters!

Sincerely,

Jarrod Reisner Board Chair, Dakota Credit Union Association

2

Affiliation with DakCU & CUNA is the most worthwhile investment your credit union can make.

Your membership can make a difference for credit unions across North & South Dakota.

PRESIDENT’S MESSAGE

“The future is dependent on the decisions you make today.” ― Omer Soker, The Future of Associations

Working hard at something you love is called passion, and I truly love being engaged in the credit union movement. I am thankful for the opportunity to be your partner and lead the Dakota Credit Union Association (DakCU). Great organizations can do remarkable things and solve complex problems, and we do strive for greatness.

The credit union movement is continually being disrupted.

Competition is increasing, member expectations are growing, and government policy is ever-changing. The relevance of our movement is constantly being challenged. That is why you need us, and the association needs you. We simply can’t do it alone, and that’s why your “membership matters.”

DakCU is the only professional financial trade association that represents all credit unions in the Dakotas. As an affiliated member, you are an integral part of a multi-tiered support system that is backed by our two-state financial trade association and the Credit Union National Association (CUNA). We stand firmly in your corner and work tirelessly on your behalf so you can better serve your members. As your strongest advocate, we promote, support, protect, unify, and advance the credit union movement right here in our region.

Advocacy is at the heart of providing membership value and continues to be our top priority each year. It is our firm belief that providing 360-degree legislative and regulatory advocacy will be our greatest contribution to our credit unions’ sustainable success. This includes an agenda that removes regulatory barriers, creates awareness, grows membership, and fosters member service excellence in every way.

Meeting the evolving needs of our credit unions and our credit union members is also a primary focus moving forward. DakCU continues to review and expand our member value-added offerings while further streamlining our operations, thus building on dues-supported benefits for our members. We provide the tools, resources, and access to business solutions that enhance your credit union’s continued success.

As we persist in adapting to financial service disruptors and industry trends, our strength remains in our common bonds.

We need each other. There is power in association, and your active and engaged “membership matters.”

Thank you for your continued support.

Jeff Olson President/CEO, Dakota Credit Union Association

3

LEGISLATIVE & REGULATORY ADVOCACY

DakCU is the backbone of the credit union movement in our two states’ political advocacy efforts. We accomplish this by developing a communication strategy that focuses on awareness and education. Our highest priority is to provide representation for credit unions at local and federal levels, that will help strengthen and promote a favorable credit union environment throughout the Dakotas.

LOBBYING FOR CREDIT UNIONS

DakCU registered lobbyists represent you on state and federal credit union legislative matters.

ENGAGING ON LEGISLATIVE AND REGULATORY ISSUES

We are here to track and monitor potential legislative and regulatory changes that impact Dakota credit unions.

We keep you informed through advocacy alerts, conference calls, social media and The Memo.

INVOLVING YOU IN ADVOCACY

DakCU provides opportunities to attend in-person and virtual meetings with state and federal officials so our elected officials can hear from you. Comment letters are submitted on important proposed rules and regulations. Dakota credit unions operate their own North Dakota and South Dakota Government Affairs Committees. These committees are charged with setting annual political goals, developing legislative strategies, and helping establish grassroots involvement for DakCU.

POLITICAL FUNDRAISING (CUPAC/CULAC)

Funds are raised and distributed through the Credit Union Political Action Committee and Credit Union Legislative Action Council (CUPAC/CULAC). Funds go to pro credit union candidates on both the federal and state level. Contact Chief Advocacy Officer Jay Kruse at 701-250-3928 or j​kruse@dakcu.org for more information about rolling out our nationally recognized payroll deduction program to your credit union’s staff.

DAKOTA ADVOCACY FUND

As our industry continues to consolidate, it makes it more difficult for your association to meet and sustain key priorities each year. Unexpected legislative initiatives and regulatory pressures can impact our operating environment and our ability to serve our credit union members.

DakCU is proactively prepared to resist any threats with our recently established Dakota Advocacy Fund (DAF) that can be used to respond locally and quickly to any legislative threats or regulatory challenges that could negatively impact Dakotas’ credit unions.

A continual source of funds is necessary to be prepared to pivot and respond quickly to threats in our region.

Last year, Dakota credit union leaders supported a state-wide, defense-ready fund of $100,000 to ensure Dakota credit unions are not left behind in this ever-evolving political landscape.

The DakCU Board of Directors committed an initial $50,000 investment to the DAF. The remaining funds are collected through a shared voluntary assessment of Dakota credit unions above $125 million in assets. DAF pools monetary resources from affiliated credit unions to support state and national advocacy efforts. Specifically, the fund provides non-dues support for DakCU’s annual equitable share contribution to the CUNA/AACUL 4 National Advocacy Fund (NAF). Funds raised for the DAF are administered by the DAF Steering Committee.

REGULATORY COMPLIANCE

Here to help your credit union stay up to date on the ever changing regulatory landscape that impacts credit unions with cost-effective compliance solutions to help reduce regulatory and compliance burdens.

COMPLIANCE HOTLINE

COMPLIANCE UPDATES

Credit unions can submit unlimited regulatory and compliance questions to DakCU by email or phone.

Weekly compliancerelated articles in The Memo. Quarterly conference calls to keep credit unions informed about regulatory and compliance issues.

CU POLICYPRO

INFOSIGHT

Over 230 detailed model policies written and researched by credit union experts and ready for your credit union to customize. Reviewed and updated regularly to stay current with regulatory changes.

Online destination for compliance information.

Offers immediate access to 15 major compliance areas – including state specific topics, with links to applicable laws, regulations, resources, checklists and frequently asked questions.

Along with these dues-supported resources, affiliated credit unions also receive competitive pricing on audits and reviews, business continuity, and compliance automation software for AML, BSA and Watch List scanning with tools such as AffirmX, RecoveryPro, and PayLynxs. Contact Chief Compliance Officer Amy Kleinschmit at 701-250-3964 or ​akleinschmit@dakcu.org for more information on compliance products and services.

DAKOTA CREDIT UNION FOUNDATION The Dakota Credit Union Foundation (DCUF) is the charitable arm of DakCU. With generous contributions from individuals and credit unions, DCUF continues to fulfill our mission: To enhance and advance the communities we serve by awarding grants, scholarships, and monetary awards to projects and individuals that help improve the financial well-being of our credit union members.

In 2022, DCUF awarded $24,400 in grants, scholarships, and other donations to support Financial Counseling Certifications (FiCEP), credit union leadership development through the iLead@11 DakCU Emerging Leader Program, as well as youth financial education programs. In addition, our charitable foundation made donations to disaster relief funds through CU Aid, as well as our local Children’s Miracle Network Hospitals.

All of this is possible because of your generous financial support. Whether you make an annual contribution to DCUF, attend our fundraising events, or support our ongoing fundraising campaigns, every dollar we raise is used to improve lives in the communities we serve, thus raising awareness and appreciation of the credit union industry.

For more information, including additional ways to contribute, visit www.dakcu.org/Foundation.

5

MEMBER VALUE

Dues are calculated using formulas that consider a credit union’s asset size and number of members.

As a result, financial support of DakCU is weighted equitably between small and large credit unions alike.

LEGISLATIVE & REGULATORY ADVOCACY Registered lobbyists on staff Coordinated congressional visits Political fundraising State and National legislative engagement Comment letters

COMPLIANCE Weekly compliance updates Compliance hotline CU PolicyPro InfoSight

CU AWARENESS Association website The Memo State-wide Awareness Program and public relations DakCU Mobile App Business solutions

PROFESSIONAL DEVELOPMENT & NETWORKING Annual Meeting and Summit Online education and webinars iLead@11 DakCU Emerging Leader Educational conferences and events Roundtables Chapter meetings

MEMBER SOLUTIONS Turn-key products and services Collaborative partnerships and preferred pricing Strategic Alliances

6

Cooperative Alliance Program (CAP)

PROFESSIONAL DEVELOPMENT & NETWORKING

To keep our members informed about the latest industry trends and to facilitate purposeful networking connections, DakCU provides a variety of opportunities for volunteers and staff to come together to collaborate and innovate. We also provide numerous on-demand and remote learning options available from the convenience of your own office. As a member of DakCU, you have the option to attend outstanding local and regional conferences and educational events that are affordable for every budget.

IN-PERSON/VIRTUAL OPPORTUNITIES TO LEARN

ON-DEMAND & REMOTE LEARNING

Annual Meeting & Summit New Ideas Conference Roundtable Dialogues Chapter Meetings Legislative Events Training for Volunteers CUNA Crasher Program DakCU Summit Crasher Program ilead@11 DakCU Emerging Leader And More!

Board Member & Supervisory Committee Responsibilities Compliance Issues & Regulations IRA Consumer Collection Lending HR Topics Strategic Planning

Over 200 Facebook posts receiving 80,000+ impressions, plus over 11,000 impressions on LinkedIn promoting Dakota credit unions and the credit union movement!

MEMBER SOLUTIONS

Dakota Credit Union Service Corp (DakCUSC) is the business side of DakCU. As such, its focus is to champion our credit unions so they can continue to serve their membership with “best in class” financial services in an ever-changing landscape. We do the work for you, ensuring you can trust us to provide strategic alliances and collaborative partnerships for the best business solutions to fit your needs. DakCUSC works on your behalf, researching and vetting preferred providers so our members see real savings in both time and money, creating operational efficiencies, increasing revenue opportunities, and reducing overhead expenses. By collectively negotiating on your behalf, we can offer many products and services at greatly discounted pricing.

EXCLUSIVE PRICING FOR MEMBER CREDIT UNIONS: STRATEGIC ALLIANCES DakCU’s Cooperative Alliance Program (CAP) is a tool DakCUSC uses to engage credit union friendly business solution providers through consistent service and multiple sponsorships of association events. When you purchase products or services from a CAP partner you are not only working with a trusted strategic partner of the association, but also a business that believes in the credit union movement and is focused on your credit union’s growth and financial success.

CUNA Strategic Services Inc. (CSS), owned jointly by CUNA and the state associations, also saves credit unions money through its alliance program. Along with their trusted alliance providers, CSS offers products and services that contribute to your bottom line, add peace of mind, and enhance member relationships.

When your credit union is considering a purchase, please contact us. If we don’t have a strategic alliance provider for that product or service, you can count on us to help you find one!

7

iLEAD@11 DAKCU EMERGING LEADER PROGRAM STRENGTHEN YOUR LEADERSHIP BENCH

The need to develop and train future credit union leaders is a common theme arising from Dakota credit unions’ strategic planning sessions. The iLead@11 DakCU Emerging Leader Program was specifically developed in 2022 to fill that need, utilizing the best cooperative principles of the credit union movement. Almost universally, credit unions need to define and develop leadership skills, establish a deeper bench strength for future needs and expansions, and promote personal and professional growth for their staff and for the next generation of credit union leaders.

Based on the successful and very popular iLead@11 program, DakCU has collaborated with Canidae Consulting and Eleven Performance Group to bring this program directly to our members. The iLead@11 DakCU Emerging Leader Program is tailored to fit the unique needs of Dakota credit unions, eliminating extended and expensive travel with a virtual – yet personal – course of instruction that features three pillars of study: leading yourself, leading others and leading the organization.

In 2022, DakCU successfully engaged more than a dozen emerging leaders through program completion. Now, in its second year, we expect even more growth. Thanks to the support of Dakota Credit Union Foundation and other strategic partnerships, many of our program attendees received funding for their tuition, paying up to 50 percent of the program through scholarships and grants.

If you are interested in learning more about how the iLead@11 DakCU Emerging Leader Program can benefit your credit union, please contact: George McDonald, Chief Officer of Strategic Services 701-250-3942 gmcdonald@dakcu.org

DAKCU CRASHER PROGRAM

Another way to engage and promote emerging leadership talent is through DakCU’s “Crasher” Program, held each year during our spring Annual Meeting and Summit. DakCU provides select attendees from the Dakotas with a career enhancing track, specifically designed for talented young professionals. In addition, Crashers receive free conference registration and are led in a group setting by a professional credit union industry leader. The only cost Crashers and their credit union endure are accommodations and/or travel expenses.

Furthermore, at the national level, each year CUNA selects one Crasher from each state to attend their Governmental Affairs Conference (GAC). In addition to receiving free conference registration for the biggest credit union event of the year, DakCU provides financial assistance scholarships. Crashers represent their respective state during opening ceremonies in a grand procession, and as a group experience specialized training and events.

8

STATE-WIDE AWARENESS PROGRAM

The Dakota Credit Union Association was one of the very first leagues to sign on to the “Your Money Further” consumer awareness initiative when it was launched by CUNA in 2019. Since then, this valuable campaign has made significant strides nationwide that prove the campaign is changing consumer perceptions about credit unions – and is affecting increased consideration of credit unions as a “top of mind” financial services provider.

In early 2022, DakCU’s leadership and board of directors decided to “take the campaign local” with a statewide awareness program (SWAP) – using a multi-tiered approach to local media, advertising, and other resources to generate even more regional awareness and to support local businesses at the same time. Doing so also allowed our member credit unions to keep their money right in their local communities.

SUCCESSES

We are happy to report that based on the analytics we have received our efforts are resulting in resounding success stories. Your SWAP dollars are working locally as well as nationally across social and digital platforms!

Gas Station TV (GSTV) ads ran across the Dakotas at over 120 different gas pumps throughout the summer months of June, July, and August. Our GSTV ads delivered just under 1.9 million full sight, sound, and motion video impressions at the pumps. That means there were exactly 1,873,929 moments to drive action and create lasting local brand impressions for yourmoneyfuther.com and the credit union movement!

For online digital newspaper ads, we also had some excellent numbers for summer and fall reaching over 597,000 impressions for participating newspapers throughout both states. These numbers do not include any printed ads that have been running in published newspapers across both states nor does it include the static and digital billboards that have been placed in contributing markets through December 2022.

We are continuing to gain momentum with our advertising through the fall and winter months for both online digital newspaper ads as well as printed newspaper ads across the Dakotas. In addition to those mainstream marketing placements, SWAP dollars are being used to place ads focused on audience size and demographics throughout North Dakota State University basketball and football digital programs; South Dakota State University football print and digital programs; and University of North Dakota hockey pocket calendars.

INTO 2023

To ensure continued success for our 2023 campaign, local financial support of the program is a must. Cost to be involved in this program is weighted equitably between small and large credit unions alike based on asset size. Keeping this campaign local also means you will not be asked to make further pledges to CUNA. For questions regarding SWAP please contact: Lindsey Hefta, Director of Marketing 701-250-3968 lhefta@dakcu.org

THANK YOU 2022 CONTRIBUTORS Affinity First Federal Credit Union Area Community Credit Union Aspire Community Federal Credit Union Avanti Federal Credit Union Black Hills Federal Credit Union Consumer’s Federal Credit Union Coteau Valley Federal Credit Union Dakota Plains Credit Union Dakota Plains Federal Credit Union Dakota Rail Line Federal Credit Union Dakota West Credit Union Dakotaland Federal Credit Union Explorers Federal Credit Union

Fargo Public Schools Federal Credit Union First Century Federal Credit Union Flasher Community Credit Union Ft. Randall Federal Credit Union Healthcare Plus Federal Credit Union Hometown Credit Union Huron Area Education Federal Credit Union ​Lakota Federal Credit Union Levo Federal Credit Union Lisbon Farmers Union Credit Union Med5 Federal Credit Union Minot Area Schools Federal Credit Union M-O Federal Credit Union

Norstar Federal Credit Union North Star Community Credit Union Oahe Federal Credit Union Postal Family Federal Credit Union Railway Credit Union Riverfork Federal Credit Union Sioux Valley Co-op Federal Credit Union Sisseton Wahpeton Federal Credit Union United Savings Credit Union University Federal Credit Union Voyage Federal Credit Union Western Cooperative Credit Union

9

HEALTH BENEFITS TRUST

The DakCU Heath Benefits Trust (HBT) is a Multiple Employer Welfare Arrangement (MEWA). This health benefits program allows credit unions in both states to pool their resources to get their employees better health insurance options. With a MEWA, several employers combine contributions in a self-contributing benefits plan, making payments based on the number of employees and the estimated costs.

Our health benefits program was launched in 2018 as a solution to the ever-increasing healthcare costs and to provide a ‘best of class’ benefits program to our affiliated credit union employees. The DakCU HBT is a $11.3 million self-funded trust providing annual health benefits to 1,833 credit union employees and their families in North and South Dakota.

Along with our benefit consultants, Hays Companies (Brown & Brown Insurance), the DakCU HBT offers premium health insurance coverage through Blue Cross & Blue Shield of North Dakota for credit unions based in North Dakota, and from Wellmark for South Dakota based credit unions.

For questions regarding the Health Benefits Trust please contact: Karla Clark, CFO/VP of Operations 701-250-3926 kclark@dakcu.org

Jeff Olson, President/CEO 701-250-3940 jolson@dakcu.org

Personify named DakCU one of Top 12 Association Websites in 2022.

FINANCIAL WELL-BEING FOR ALL

Financial well-being isn’t just a thing credit unions do. It is THE thing credit unions do. ​ Financial wellness is at the heart of credit unions’ mission within our communities and deeply embedded into our structure. Financial well-being for all is about motivating and supporting individuals to make sound financial decisions. Whether we are working with members in savings account programs or high school students in the classroom preparing them for college, we want to help our credit unions help their members achieve their financial dreams.

WHAT EXACTLY IS FINANCIAL WELL-BEING?

Financial well-being is a state of being wherein a person can fully meet current and ongoing financial obligations, feel secure in their financial future, and make choices that allow them to enjoy life. Financial health and well-being are what a person does with their money and how a person feels about their money.

A BETTER FINANCIAL OPTION FOR FAMILIES AND COMMUNITIES

Credit unions truly are the best financial choice for consumers, families, and communities. Credit unions here in the Dakotas have always been there for their members and their communities, in good times, and in bad. We are who members run to when they have hardships or circumstances beyond their control and need help.

We like to refer to ourselves as the “financial first responders” – because it’s what our credit unions do. It’s how credit unions built their reputation and enhanced the credit union difference story, and we often say it’s in the credit union DNA. Whether it’s a fee waiver, a loan remodification, or even a payment skip, credit unions run towards the crisis to help, especially when it comes to our members.

Improving lives and the financial well-being of our members is truly the credit union difference.

We have always and continue to make it our mission to shine a light on financial well-being for a better tomorrow. For more information 10 and resources, visit www.dakcu.org/financialwellbeing.

2005 NORTH KAVANEY DR SUITE 201 BISMARCK, ND 58501

Distributed 21 press releases: earning 60+ published articles from trade and/or local media sources!

1741 SOUTH CLEVELAND AVE SUITE 304 SIOUX FALLS, SD 57103 800.279.6328 DAKCU.ORG

MISSION

The mission of the Dakota Credit Union Association (DakCU) is to help credit unions succeed.

VISION

Our vision for DakCU is to be a premier, financially strong, relevant, inclusive organization that plays a key role in credit unions growing membership, strengthening their charter, and providing excellent service to members.

LONG TERM VISION

Our continued long term vision is to maintain momentum on political and regulatory advocacy, as well as to grow awareness of the credit union difference.