2021-10-18T17:03:52-05:00 2020-12-31 420714325 RSM US LLP 801 NICOLLET MALL WEST TOWER STE 1200 MINNEAPOLIS MN 554022526 990 2020-01-01 951209332 UNIVERSITY & STATE EMPLOYEES CREDIT UNION UNIV 8587956000 10120 PACIFIC HEIGHTS BLVD NO 100 SAN DIEGO CA 92121 TODD THARP CEO/PRESIDENT & SVP, CFO 8587956000 2021-10-11 1 TODD THARP 999009999 KACIE MCEWEN P01599614 6123324300 2021-10-11 2 AAL1 IAL1 2020 2022-09-23 18:48:47Z USE CREDIT UNION JAMES HARRIS 10120 PACIFIC HEIGHTS BLVD NO 100 SAN DIEGO CA 92121 74894030 0 X WWW.USECU.ORG X 1936 CA WE TRANSFORM LIVES BY MAKING DREAMS HAPPEN! 9 9 211 16 94120 0 0 0 40356116 36745482 6891574 4305376 183393 237528 47431083 41288386 0 0 3359668 3620188 17557119 18327643 0 0 0 18841760 17420523 39758547 39368354 7672536 1920032 1023696051 1176783982 921234785 1071119565 102461266 105664417 X WE ARE A MEMBER OWNED, NOT-FOR-PROFIT FINANCIAL COOPERATIVE; WE EXIST TO SERVE - TO ENRICH LIVES AND BUILD BETTER FUTURES. 0 0 MEMBERSHIP IN USE CREDIT UNION PROVIDES ACCESS TO A ROBUST ARRAY OF QUALITY FINANCIAL SERVICES AND PRODUCTS INCLUDING CHECKING AND SAVINGS ACCOUNTS. UNLIKE BANKS, WHICH RETURN THEIR PROFITS TO SHAREHOLDERS, USE CREDIT UNION RETURNS ITS PROFITS TO MEMBERS IN THE FORM OF HIGHER RATES ON DEPOSITS AND A HOST OF FREE AND LOW-COST SERVICES. AS OF DECEMBER 31, 2020, USE CREDIT UNION MEMBERS HELD 73,144 DEPOSIT ACCOUNTS TOTALING OVER $1,022 MILLION. THESE ACCOUNTS INCLUDED FREE CHECKING, LOW-BALANCE SAVINGS, IRA'S, AND HIGH-YIELD MONEY MARKET AND TERM INVESTMENT ACCOUNTS. AS A MEMBER-OWNED, NOT-FOR-PROFIT COOPERATIVE, USE CREDIT UNION IS DEDICATED TO PROVIDING THE FINANCIAL PRODUCTS AND SERVICES MEMBERS NEED AT EVERY STAGE OF LIFE. WHETHER IT'S BUYING A FIRST CAR, FINANCING A NEW HOME, OR SEEKING A HIGHER EDUCATION, USE CREDIT UNION OFFERS MEMBERS LOW-COST HOME, VEHICLE, AND PERSONAL LOANS, AS WELL AS, FREE FINANCIAL SEMINARS TO ASSIST THEM IN MAKING SOUND FINANCIAL CHOICES. AS OF DECEMBER 31, 2020, USE CREDIT UNION MEMBERS HELD 31,024 MORTGAGE, HOME EQUITY, VEHICLE, CREDIT CARD, AND VARIOUS OTHER PERSONAL LOANS TOTALING OVER $702 MILLION. SINCE 1936, USE CREDIT UNION HAS BEEN HELPING PEOPLE ACHIEVE THEIR MOST IMPORTANT FINANCIAL GOALS. AS ONE OF CALIFORNIA'S LARGEST CREDIT UNIONS, USE OFFERS FULL-SERVICE BANKING INCLUDING FREE AND LOW-COST E-SERVICES. MEMBERS CAN MANAGE THEIR PERSONAL FINANCES ANYTIME, ANYWHERE WITH TELEPHONE, ONLINE AND WIRELESS INTERNET BANKING. AS AN ADDITIONAL CONVENIENCE, USE CREDIT UNION OFFERS BILLPAY SERVICES TO MEMBERS WITH QUALIFYING CHECKING ACCOUNTS AT NO COST. EACH MONTH, APPROXIMATELY 32,000 MEMBERS UTILIZE THE E-SERVICES AVAILABLE 24 HOURS PER DAY. IN ADDITION, USE CREDIT UNION HAS PARTNERED WITH OTHER CREDIT UNIONS TO FORM THE CO-OP ATM NETWORK. THIS NETWORK PROVIDES MEMBERS ACCESS TO APPROXIMATELY 30,000 NO-FEE ATM'S THROUGHOUT THE UNITED STATES, INCLUDING LOCATIONS AT POPULAR RETAILERS. ADDITIONAL USE CREDIT UNION MEMBERSHIP BENEFITS INCLUDE: 1) PROFESSIONAL BROKERAGE AND INVESTMENT SERVICES, 2) TAX PREPARATION SERVICES, 3) MONEY-SAVING AUTO, HOME, HEALTH AND LIFE INSURANCE PROGRAMS, 4) FREE FINANCIAL EDUCATION SEMINARS, AND 5) MERCHANT, RECREATION AND TRAVEL DISCOUNTS. 0 0 1 0 0 0 0 1 0 1 1 0 1 1 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 16724 0 1 211 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 0 1 1 1 1 1 1 1 0 CA X MARGARITA GUERRA VPFINANCE 8587956000 10120 PACIFIC HEIGHTS BLVD NO 100 SAN DIEGO CA 92121 BEVERLY RANDEZ CHAIR 3.00 X X 0 0 0 JOSHUA LAWRENCE VICE CHAIR 3.00 X X 0 0 0 MATT ADAMS DIRECTOR 3.00 X 0 0 0 TONY CHERIN DIRECTOR 3.00 X 0 0 0 SCOT EINSENDRATH DIRECTOR 3.00 X 0 0 0 DAVID ELY DIRECTOR 3.00 X 0 0 0 STEVE ST MARIE DIRECTOR 3.00 X 0 0 0 YVONNE L MARSH DIRECTOR 3.00 X 0 0 0 LES OVERMAN DIRECTOR 3.00 X 0 0 0 JAMES HARRIS PRESIDENT/CEO 40.00 X 615516 0 110981 TODD THARP SVP/CFO/SECRETARY 40.00 X 330203 0 73858 PARIS CHEVALIER SVP/CHIEF EXPERIENCE OFFICER 40.00 X 286353 0 67465 LAURA YOUNG SVP/CHIEF HUMAN RESOURCES 40.00 X 318562 0 52526 MATTHEW LYONS SVP/CHIEF LENDING OFFICER 40.00 X 315931 0 60031 STEPHEN EWERS SVP/CHIEF INFORMATION OFFICER 40.00 X 297072 0 34717 SHELLEY DUCKART SR COMMUNITY MORTGAGE SPECIALIST 40.00 X 324692 0 21996 KATHLEEN DALLAS-ORR SR COMMUNITY MORTGAGE SPECIALIST 40.00 X 264361 0 20820 KAREN SMITH VP LENDING 40.00 X 211000 0 25743 CHARLES WILLIAMS VP ENTERPRISE RISK MGMT & COMPLIANCE 40.00 X 181422 0 18531 NATHANIEL FRICHTEL VP BUSINESS TECHNOLOGY 40.00 X 175253 0 36695 3320365 0 523363 40 0 1 0 NCR CORPORATION 858 SPRING STEET NW ATLANTA GA 30308 ONLINE BANKING / WEBSITE HOSTING SERVICE 1121131 SF NETWORX LLC 304 S JONES BOULEVARD SUITE 5512 LAS VEGAS NV 89107 DATA WAREHOUSE / CONSULTING SERVICES 792778 WORLDPAY HOLDING LLC 8500 GOVERNORS HILL DRIVE SYMMES TOWNSHIP OH 45249 CARDHOLDER SERVICES 656341 MASTERCARD INTERNATIONAL 2200 MASTERCARD BOULEVARD OFALLON MO 63368 CARDHOLDER SERVICES 656324 ISM CRM CONSULTANTS INC 6900 WISCONSIN AVENUE SUITE 605 BETHESDA MD 20815 DATA WAREHOUSE / CONSULTING SERVICES 441436 19 LOAN INTEREST INCOME 522100 31102901 31102901 SERVICE CHARGES AND FEE INCOME 522100 3229431 3135311 94120 INTERCHANGE INCOME 522100 2413150 2413150 36745482 2948358 2948358 1169132 931604 237528 237528 237528 34031058 32674040 1357018 1357018 1357018 41288386 36651362 94120 4542904 3620188 2578456 12921914 386957 1318474 1121842 280150 225809 795369 1117503 1792199 3072160 1931065 41841 139257 452820 1983873 216574 LOAN PROGRAM/SERVICING 1848951 ATM EXPENSES 1442617 PROVISION FOR LOAN LOSS 1127506 CREDIT CARD PROGRAM COS 564564 388265 39368354 65571016 276105865 760442356 694957446 2083505 1712829 48742044 24259869 24267398 24482175 101368622 102809787 69963154 76715880 1023696051 1176783982 2974832 2175226 45000000 37000000 873259953 1031944339 921234785 1071119565 X 0 0 0 0 102461266 105664417 102461266 105664417 1023696051 1176783982 1920032 1283119 0 X 0 1 X 1 0 6358 0 0 6358 6358 1 CCUL PAC 1201 K STREET SUITE 1050 SACRAMENTO CA 95814 942329967 6358 0 PART I-A, LINE 1: USE'S POLITICAL ACTIVITIES ARE PRIMARILY CENTERED AROUND SPECIFIC LEGISLATIVE BILLS OF SPECIFIC INTEREST TO USE AND/OR THE CREDIT UNION INDUSTRY. WE PARTICIPATE WITH THE CALIFORNIA/NEVADA CREDIT UNION LEAGUE AND CUNA BY SENDING LETTERS OF SUPPORT OR OPPOSITION TO PROPOSED LEGISLATION. WE ALSO, ON AN INDIVIDUAL BASIS, ATTEND FUNDRAISERS TO SUPPORT CREDIT UNION FRIENDLY LEGISLATORS. FINANCIAL CONTRIBUTIONS ARE MADE PERIODICALLY BY EITHER PERSONAL FUNDS OR THROUGH PAC CONTRIBUTIONS. 0 1 X 8257243 8257243 19018893 8209250 10809643 4915309 4090012 825297 16550599 11960607 4589992 24482175 FEDERAL HOME LOAN BANK STOCK 5070500 C FEDERAL AGENCIES SECURITIES 20111891 F MORTGAGE-BACKED SECURITIES, RESIDENTIAL 52668748 F SMALL BUSINESS ADMINISTRATION LOAN POOLS 24958648 F 102809787 ACCRUED INTEREST RECEIVABLE 2365636 NCUA SHARE INSURANCE DEPOSITS 8870029 ACH SETTLEMENT CLEARING 37871469 INSURANCE CONTRACTS 21594548 OTHER ASSETS 6014198 76715880 MEMBER SHARES 1021818430 OTHER LIABILITIES 10125909 1031944339 X PART IV, LINE 2B: THE CREDIT UNION MAINTAINS ESCROW ACCOUNTS FOR MORTGAGE LOANS HELD BY MEMBERS. THE CREDIT UNION ALSO HOLDS CUSTODIAL ACCOUNTS TO FACILITATE THE SERVICING OF LOANS SOLD TO ENTITIES SUCH AS FANNIE MAE. AT 12/31/2020 ESCROW BALANCES TOTALED $2,175,226 AND THE VALUE OF ASSETS FOR WHICH THE CREDIT UNION SERVES AS CUSTODIAN WAS $337,644. PART X, LINE 2: FOR THE YEARS ENDED DECEMBER 31, 2020 AND 2019, MANAGEMENT DETERMINED THAT THERE ARE NO MATERIAL UNCERTAIN TAX POSITIONS. X 1 1 X X X 0 1 0 JAMES HARRIS PRESIDENT/CEO 452235 0 115639 0 47642 0 13656 0 25061 0 654233 0 0 0 TODD THARP SVP/CFO/SECRETARY 266945 0 41177 0 22081 0 13377 0 32126 0 375706 0 0 0 SHELLEY DUCKART SR COMMUNITY MORTGAGE SPECIALIST 102830 0 221254 0 608 0 14227 0 8471 0 347390 0 0 0 MATTHEW LYONS SVP/CHIEF LENDING OFFICER 256074 0 38770 0 21087 0 9437 0 18912 0 344280 0 0 0 LAURA YOUNG SVP/CHIEF HUMAN RESOURCES 258171 0 38372 0 22019 0 9165 0 13610 0 341337 0 0 0 STEPHEN EWERS SVP/CHIEF INFORMATION OFFICER 213746 0 38154 0 45172 0 13833 0 20884 0 331789 0 0 0 PARIS CHEVALIER SVP/CHIEF EXPERIENCE OFFICER 230240 0 34715 0 21398 0 13225 0 27373 0 326951 0 0 0 KATHLEEN DALLAS-ORR SR COMMUNITY MORTGAGE SPECIALIST 95361 0 166408 0 2592 0 11750 0 9549 0 285660 0 0 0 KAREN SMITH VP LENDING 195882 0 5302 0 9816 0 8794 0 17151 0 236945 0 0 0 NATHANIEL FRICHTEL VP BUSINESS TECHNOLOGY 169641 0 4696 0 916 0 9333 0 27362 0 211948 0 0 0 CHARLES WILLIAMS VP ENTERPRISE RISK MGMT & COMPLIANCE 174509 0 4590 0 2323 0 8788 0 12243 0 202453 0 0 0 PART I, LINE 1A TRAVEL FOR COMPANIONS - THE CREDIT UNION WILL PAY FOR ONE IMMEDIATE FAMILY MEMBER OR DOMESTIC PARTNER TO ACCOMPANY A VOLUNTEER TO A CONFERENCE OR SEMINAR, WITHIN SPECIFIED LIMITATIONS (E.G. ANNUAL BUDGET ALLOCATIONS, SHARING VOLUNTEER'S HOTEL ROOM). THE CREDIT UNION WILL ISSUE TO THE VOLUNTEER AN IRS FORM 1099 WHEN EXPENSES EXCEED $600 FOR WHICH NO BONA FIDE BUSINESS PURPOSE EXISTS. PART I, LINE 4B IN 2019, THE CREDIT UNION ADOPTED A LONG-TERM INCENTIVE PLAN (LTIP) FOR CERTAIN SENIOR EXECUTIVES (COLLECTIVELY, THE "LTIP PARTICIPANTS"). THE LTIP PROVIDES FOR PAYMENTS TO THE LTIP PARTICIPANTS BASED ON EMPLOYMENT DATE MILESTONES WITH THE CREDIT UNION. PARTICIPANTS ARE ENTITLED TO PAYMENT IF ACTIVELY EMPLOYED AT THE TIME OF PAYOUT OR IF TERMINATED BY THE CREDIT UNION BEFORE THE END OF THE MEASUREMENT PERIOD. THE AMOUNT CHARGED TO OPERATIONS FOR THE BENEFIT EXPENSE ASSOCIATED WITH THE LTIP WAS $164,761 FOR THE YEAR ENDED DECEMBER 31, 2020. THE FOLLOWING ARE PARTICIPANTS IN THE LTIP. JIM HARRIS - 2020 DISTRIBUTION RECEIVED IN THE AMOUNT OF $25,909 STEPHEN EWERS TODD THARP LAURA YOUNG PARIS CHEVALIER FORM 990, PART I, ITEM C DBA: USE CREDIT UNION FORM 990, PART VI, SECTION A, LINE 6 THE CREDIT UNION'S MEMBERS HAVE RIGHTS TO ELECT THE MEMBERS OF THE GOVERNING BODY. THE CREDIT UNION'S 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. FORM 990, PART VI, SECTION A, LINE 7B MEMBERS OF THE CREDIT UNION HAVE THE RIGHT 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 CREDIT UNION'S CEO AND CFO PRIOR TO FILING WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C USE CREDIT UNION STRIVES TO MEET ALL REQUIREMENTS OUTLINED IN THE IRS 1023 FORM CONCERNING CONFLICT OF INTEREST FOR NON-PROFIT ORGANIZATIONS. THIS INCLUDES A WRITTEN CONFLICT OF INTEREST POLICY, A QUESTIONNAIRE FOR OFFICERS, DIRECTORS, AND KEY EMPLOYEES TO DISCLOSE POSSIBLE INTERESTS THAT MAY TRIGGER A CONFLICT, AND ANNUAL TRAINING. FORM 990, PART VI, SECTION B, LINE 15 THE CREDIT UNION UTILIZES COMPEASE, A SOFTWARE APPLICATION LINKED TO CURRENT SALARY SURVEY DATA, TO ESTABLISH COMPENSATION LEVELS FOR EACH CREDIT UNION POSITION. COMPENSATION FOR OFFICERS AND KEY EMPLOYEES IS BASED UPON COMPEASE EVALUATIONS, A CANDIDATE'S SALARY HISTORY, AND THE SALARY JUDGED NECESSARY TO ATTRACT QUALIFIED CANDIDATES BASED UPON THEIR SKILLS AND EXPERIENCE. FORM 990, PART VI, SECTION C, LINE 19 AUDITED FINANCIAL STATEMENTS ARE PROVIDED TO THE MEMBERSHIP AT EACH ANNUAL MEETING. UNAUDITED FINANCIAL STATEMENTS ARE POSTED MONTHLY AT EACH BRANCH LOCATION FOR PUBLIC VIEWING. GOVERNING DOCUMENTS ARE PROVIDED UPON REQUEST. USE FINANCIAL SERVICES LLC 10120 PACIFIC HEIGHTS BLVD SUITE 10 SAN DIEGO CA 92121 FINANCIAL SERVICES (INACTIVE) CA 0 0 UNIVERSITY & STATE EMPLOYEES CREDIT UNION