2022-11-07T16:17:46-06:00 2021-12-31 410746749 CLIFTONLARSONALLEN LLP 109 N MAIN STREET SUITE 200 AUSTIN MN 55912 990 2021-01-01 381524350 4FRONT CREDIT UNION 4FRO 2319292000 PO BOX 795 TRAVERSE CITY MI 49685 KARL PAGEL CFO 2319292000 2022-11-04 1 KARL PAGEL 999009999 TANYA MEDGAARDEN P01717240 5074347000 2022-11-04 3 AAL1 IAL1 2021 2022-09-23 18:48:47Z ANDREW KEMPF PO BOX 795 TRAVERSE CITY MI 49685 51897395 0 X WWW.4FRONTCU.COM X CREDIT UNION 1954 MI TO PROVIDE FINANCIAL SERVICES TO MEMBERS WITH A COMMON BOND. 9 9 319 9 257387 98503 0 0 41860466 48450192 1346392 1831994 0 1571883 43206858 51854069 0 0 3338529 3292876 13030479 14063656 0 0 0 20332623 25078725 36701631 42435257 6505227 9418812 742406934 896646295 669025695 816500069 73381239 80146226 TO PROVIDE FINANCIAL SERVICES TO MEMBERS WITH A COMMON BOND. 0 0 THE CREDIT UNION PROVIDES SEVERAL DEPOSIT ACCOUNT TYPES TO MEMBERS INCLUDING SAVINGS,CHECKING, CERTIFICATES OF DEPOSITS AND OTHERS. THE TOTAL NUMBER OF MEMBERS AT 12/31/21 WAS 95,314. THE CREDIT UNION PROVIDES A VARIETY OF LOANS TO MEMBERS INCLUDING REAL ESTATE, CREDIT CARDS, VEHICLE AND OTHERS. THE TOTAL NUMBER OF LOANS OUTSTANDING AT 12/31/21 WAS 48,046. 0 0 0 0 0 0 0 0 0 1 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 1 0 0 0 1 1525 0 1 319 1 1 1 0 0 0 0 0 0 0 0 0 X 9 9 0 0 0 0 1 1 1 1 1 0 1 1 0 1 1 1 0 1 1 1 0 X KARL PAGEL 2319325296 PO BOX 795 TRAVERSE CITY MI 49685 TODD ROHRBACK CHAIRMAN OF THE BOARD 1.00 X X 0 0 0 BRYAN LINDFORS VICE CHAIRMAN 1.00 X X 0 0 0 CHARLES HAGUE SECRETARY 1.00 X X 0 0 0 JOHN JACK HODGE TREASURER 1.00 X X 0 0 0 MATILYN MATTIE MEADOWS DIRECTOR 1.00 X 0 0 0 JULIE KOSLOSKEY DIRECTOR 1.00 X 0 0 0 BRIAN AUSDEMORE DIRECTOR 1.00 X 0 0 0 MIKE SLATER DIRECTOR 1.00 X 0 0 0 MICHAEL SKYLER FORT DIRECTOR 1.00 X 0 0 0 ANDREW KEMPF CEO 40.00 X 395548 0 79510 BRENT SIMONS MORTGAGE LOAN ORIGINATOR 40.00 X 194978 0 42496 DARRIN VAN LOO MORTGAGE CONSULTANT 40.00 X 186232 0 41409 GEOFF STREIT VP COMMERCIAL LENDING 40.00 X 175005 0 40307 KARL PAGEL SVP FINANCE 40.00 X 161704 0 80861 ZACH EYCHANER SVP IT/INNOVATION 40.00 X 158833 0 29314 1272300 0 313897 12 0 1 0 PINE STREET DEVELOPMENT ONE LLC 11123 BUGAI RD TRAVERSE CITY MI 49684 ADMIN CENTER CONSTRUCTION 3994092 Q2 SOFTWARE PO BOX 205970 DALLAS TX 753205970 ONLINE BANKING 988463 INTERPHASE INTERIORS 35 OAKES ST SW 5TH FLOOR GRAND RAPIDS MI 49503 FURNITURE FOR NEW ADMIN BUILDING 585946 INFORMA BUSINESS SYSTEMS INC 5170 HARTSHORN DRIVE FLUSHING MI 48433 ITMS, SERVICE AGREEMENTS, RECEIPT PAPER 530364 JACK HENRY AND ASSOCIATES PO BOX 609 MONETT MO 65708 EMPLOYEE/MEMBER SERVICES 438169 19 INTEREST ON LOANS 522100 32600379 32600379 OTHER PROGRAM SERVICE REVENUE 522100 9933855 9933855 FEES & CHARGES 522100 5915958 5658571 257387 48450192 1844015 1844015 31305 43326 0 -43326 31305 -12021 -12021 OTHER NON-INTEREST INCOME 522100 1571883 1571883 1571883 51854069 49764688 257387 1831994 3292876 475058 10690380 838891 1234582 824745 37188 1669443 1025961 10082418 2067248 10846 220940 2193 2186455 PROVISION FOR LOAN LOSS 3938975 LOAN SERVICING EXPENSE 3773910 OPERATING FEES 146280 MISC OPERATING EXPENSES -83132 42435257 15631712 14530076 28098227 39813011 2320295 3333929 6194364 6338692 513826472 597964102 856400 969029 40805856 2186456 35440269 38619400 108270343 152934018 9838937 21899103 1335856 1001891 20594059 19243044 742406934 896646295 6479262 5923813 662546433 810576256 669025695 816500069 X 0 0 0 0 73381239 80146226 73381239 80146226 742406934 896646295 X 9418812 -2653824 -1 X 0 0 0 4565693 4565693 29037499 727758 28309741 37096 8208 28888 6863128 1436734 5426394 302440 13756 288684 38619400 SHARE DRAFTS 265293066 REGULAR SHARES 292142190 MONEY MARKET SHARES 160454057 SHARE CERTIFICATES 63419918 IRA CERTIFICATES 25416221 ALL OTHER SHARES 3850804 810576256 X PART X, LINE 2: THE CREDIT UNION IS EXEMPT, BY STATUTE, FROM FEDERAL TAXES ON INCOME RELATED TO THE EXEMPT PURPOSE OF THE CREDIT UNION. THE CREDIT UNION IS A STATE-CHARTERED CREDIT UNION DESCRIBED IN INTERNAL REVENUE CODE ("IRC") SECTION 501(C)(14). AS SUCH, THE CREDIT UNION IS EXEMPT FROM FEDERAL TAXATION OF INCOME DERIVED FROM THE PERFORMANCE OF ACTIVITIES THAT ARE IN FURTHERANCE OF ITS EXEMPT PURPOSES. HOWEVER, IRC SECTION 511 IMPOSES A TAX ON THE UNRELATED BUSINESS INCOME (AS DEFINED IN SECTION 512) DERIVED BY STATE-CHARTERED CREDIT UNIONS. MANY STATES HAVE SIMILAR LAWS. THE SPECIFIC APPLICATION OF SECTION 512 TO THE VARIOUS ACTIVITIES CONDUCTED BY STATE-CHARTERED CREDIT UNIONS HAS BEEN AN ISSUE FOR MANY YEARS. THE INTERNAL REVENUE SERVICE ("IRS") ISSUED A SERIES OF TECHNICAL ADVICE MEMORANDA ("TAM") TO A NUMBER OF STATE-CHARTERED CREDIT UNIONS LOCATED THROUGHOUT THE COUNTRY. IN THESE TAMS, THE IRS RULED CERTAIN PRODUCTS AND SERVICES TO BE SUBJECT TO TAXATION AS UNRELATED BUSINESS INCOME. IN LIGHT OF THE TAMS, THE CREDIT UNION HAS ASSESSED ITS ACTIVITIES AND ANY POTENTIAL FEDERAL OR STATE INCOME TAX LIABILITY. IN THE OPINION OF MANAGEMENT, ANY LIABILITY ARISING FROM FEDERAL OR STATE TAXATION OF ACTIVITIES DEEMED TO BE UNRELATED TO ITS EXEMPT PURPOSE IS NOT EXPECTED TO HAVE A MATERIAL EFFECT ON THE CREDIT UNION'S FINANCIAL CONDITION OR RESULTS OF OPERATIONS. THE CREDIT UNION'S INCOME TAX FILINGS ARE SUBJECT TO AUDIT BY VARIOUS TAXING AUTHORITIES AND OPEN TAX PERIODS INCLUDE 2017 AND BEYOND. X X X X 1 1 0 ANDREW KEMPF CEO 363167 0 28846 0 3535 0 53353 0 26157 0 475058 0 0 0 KARL PAGEL SVP FINANCE 145409 0 16000 0 295 0 58901 0 21960 0 242565 0 0 0 BRENT SIMONS MORTGAGE LOAN ORIGINATOR 35302 0 159610 0 66 0 22073 0 20423 0 237474 0 0 0 DARRIN VAN LOO MORTGAGE CONSULTANT 37717 0 148209 0 306 0 20979 0 20430 0 227641 0 0 0 GEOFF STREIT VP COMMERCIAL LENDING 86217 0 88637 0 151 0 19382 0 20925 0 215312 0 0 0 ZACH EYCHANER SVP IT/INNOVATION 142526 0 16000 0 307 0 7651 0 21663 0 188147 0 0 0 DAVID LEUSINK FORMER CEO SPLIT DOLLAR LOAN X 3700000 4225084 0 1 1 ANDREW KEMPF CEO SPLIT DOLLAR LOAN X 1850000 2113608 0 1 1 6338692 FORM 990, PART VI, SECTION A, LINE 6 THE CREDIT UNION HAS A SINGLE CLASS OF MEMBERS WITH EQUAL RIGHTS OF OWNERSHIP, GOVERNANCE, AND VOTING. FORM 990, PART VI, SECTION A, LINE 7A MEMBERS VOTE AND ELECT BOARD MEMBERS AT ANNUAL MEETING. FORM 990, PART VI, SECTION A, LINE 7B MEMBERS OF THE CREDIT UNION HAVE THE RIGHT TO APPROVE 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 MANAGEMENT REVIEWS THE TAX RETURN PRIOR TO FILING WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C THE ORGANIZATION'S OFFICER, DIRECTORS, TRUSTEES, AND KEY EMPLOYEES ARE REQUIRED TO DISCLOSE ACTUAL OR POTENTIAL CONFLICT'S THEY MAY HAVE WITH THE ORGANIZATION. IF A CONFLICT ARISES, THE RESPECTIVE BOARD MEMBER WILL ABSTAIN FROM ANY RELATED DISCUSSION, VOTE, OR SIMILAR ACTION ON THE MATTER. MANAGEMENT RESERVES THE RIGHT TO DETERMINE WHEN AN EMPLOYEE'S ACTIVITIES REPRESENT A CONFLICT OF INTEREST AND TO TAKE WHATEVER ACTION IS APPROPRIATE TO RESOLVE THE SITUATION. FORM 990, PART VI, SECTION B, LINE 15 PART VI, LINE 15A: THE CEO RECEIVES A PERFORMANCE APPRAISAL FROM THE ENTIRE BOARD AND THEN THE COMPENSATION COMMITTEE MAKES A RECOMMENDATION TO THE BOARD FOR COMPENSATION BASED ON THE RESULTS OF THE APPRAISAL. WAGE RANGES ARE SET BASED ON COMPENSABLE FACTORS USING COMPEASE (A COMPANY THAT LOOKS AT NATIONAL, REGIONAL, STATE AND AREA COMPENSATION SURVEYS). THIS PROCESS TAKES PLACE ANNUALLY, AND IS DOCUMENTED IN COMPENSATION COMMITTEE MINUTES. RESULTS ARE REPORTED TO THE BOARD, BUT THE DETAILS ARE IN THE COMPENSATION COMMITTEE MINUTES. IN ADDITION TO COMPEASE, COPARABILITY DATA WAS PROVIDED TO THE COMPENSATION COMMITTEEE/BOARD FROM GALLAGHER EXECUTIVE COMPENSATION ANALYSIS. PART VI, LINE 15B THE BOARD RECEIVES A SALARY AND WAGE BUDGET FOR REVIEW/APPROVAL, THE DATA IS NOT EMPLOYEE SPECIFIC. FORM 990, PART VI, SECTION C, LINE 19 MONTHLY FINANCIALS AND OTHER GOVERNING DOCUMENTS ARE AVAILABLE FOR REVIEW UPON REQUEST AT THE CREDIT UNIONS MAIN OFFICES AT 101 N. PARK ST., TRAVERSE CITY, MI FORM 990, PART XI, LINE 9: ROUNDING -1. 4FRONT CAPITAL LLC PO BOX 795 TRAVERSE CITY MI 49685 841913699 INVESTMENTS MI 0 0 4FRONT CREDIT UNION