2020-07-14T14:41:25-05:00 2019-12-31 570381582 ELLIOTT DAVIS LLCPLLC 500 EAST MOREHEAD STREET SUITE 700 CHARLOTTE NC 28202 990 2019-01-01 580801176 SOUTHEASTERN CREDIT UNION SOUT 2292442732 PO BOX 2067 VALDOSTA GA 316042067 E MICHAEL GUDELY PRESIDENT/CEO 2292931318 2020-07-09 1 JANICE A RATICA P00358837 7043338881 2020-07-09 104.129.205.7 2020-07-09 09:14:44 ED P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 99AFABE94547B544723E04EEA8F4500EFBDE7EE5 2019 2021-04-22 16:20:28Z E MICHAEL GUDELY PO BOX 2067 VALDOSTA GA 316042067 29774487 0 X WWW.SOUTHEASTERNCU.COM X 1953 GA SOUTHEASTERN CREDIT UNION IS A COMMUNITY CHARTERED ORGANIZATION COVERING TWELVE SOUTH GEORGIA COUNTIES (BENN HILL, BERRIEN, BROOKS, COOK, ECHOLS, IRWIN, LANIER, LOWNDES, TIFT, TURNER, WARE AND PIERCE). SOUTHEASTERN CREDIT UNION IS ORGANIZED AND CHARTERED UNDER THE LAWS OF GEORGIA TO PROVIDE FINANCIAL SERVICES TO INDIVIDUALS AND BUSINESSES. 7 7 91 7 140656 -54645 0 0 12854393 13831642 987036 988692 338478 230543 14179907 15050877 0 0 0 0 5630524 5748074 0 0 0 6934569 7272463 12565093 13020537 1614814 2030340 243771086 262534175 219356210 234850453 24414876 27683722 THE MISSION OF SOUTHEASTERN CREDIT UNION IS TO DELIVER VALUE AND PROVIDE LEGENDARY SERVICE TO ITS MEMBERSHIP. 0 0 SOUTHEASTERN CREDIT UNION SERVED THE FINANCIAL NEEDS OF 26,305 MEMBERS IN 2019. IT PROVIDED BUSINESS AND CONSUMER LOANS AND DEPOSITS TOTALING $197.9 MILLION AND $234.8 MILLION, RESPECTIVELY, THROUGH SEVEN FULL SERVICE LOCATIONS. SOUTHEASTERN CREDIT UNION SEEKS TO BE A GOOD COMMUNITY CITIZEN AND IS INVOLVED IN MANY COMMUNITY SERVICE ACTIVITIES. ANNUALLY EMPLOYEES AND THE CREDIT UNION CONTRIBUTE TO THE UNITED WAY. THE CREDIT UNION SUPPORTS THE LOCAL SCHOOL ATHLETICS. 0 0 0 0 0 0 0 1 0 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 8265 0 1 91 1 1 1 0 0 0 0 0 0 1 1 0 0 0 X 7 7 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 X E MICHAEL GUDELY 2292442732 PO BOX 2067 VALDOSTA GA 316042067 ROY MCNEAL CHAIRMAN 1.00 X 0 0 0 MOLLY DEESE VICE CHAIRMAN 1.00 X 0 0 0 CHARLES EIDSON TRASURER 1.00 X 0 0 0 DR WAYNE PLUMLY SECRETARY 1.00 X 0 0 0 JERRY PERMENTER DIRECTOR/AUDIT COMMITTEE CHAIRMAN 1.00 X 0 0 0 C ANTHONY PAYTON DIRECTOR 1.00 X 0 0 0 JOHN LEONARD DIRECTOR 1.00 X 0 0 0 MICHAEL GUDELY PRESIDENT/CEO 80.00 X 248157 0 30496 STEVE SAINZ SR RISK OFFICER 80.00 X 124729 0 21733 JENNIFER STASIO CHIEF FINANCIAL OFFICER 80.00 X 98942 0 7654 BERRY TANNER VP WARE/PIERCE EXECUTIVE 80.00 X 125706 0 7798 DONNEE UPSON VP OF IT 80.00 X 106194 0 14302 MATTHEW WILLIAMS MORTGAGE LOAN ORIGINATOR 80.00 X 207729 0 20732 911457 0 102715 5 0 1 0 JACK HENRY & ASSOCIATES INC PO BOX 609 MONETT MT 65708 DATA PROCESSING SERVICES 838764 MICROAGE 8160 S HARDY DE STE101 TEMPE AZ 85284 EQUIPMENT ORDERING VENDOR 285956 KASASA PO BOX 527 LUBBOCK TX 79408 REWARDS CHECKING AND LOAN PROGRAM 204482 QUALITY DATA SYSTEMS 8655 CROWN CRESCENT COURT CHARLOTTE NC 28227 ATM PURCHASE AND SERVICING 204147 SAFE SYSTEMS INC 1145 SANCTUARY PKWY STE 400 ALPHARETTA GA 30009 SERVICES 135950 7 INCOME FROM LOANS 522100 8880119 8880119 FEES, CHARGES, AND OTHER INCOME 522100 4810867 4810867 UNRELATED BUSINESS TAXABLE INCOME 522100 140656 140656 13831642 949284 949284 14471098 291920 14440940 282670 30158 9250 39408 39408 CREDIT LIFE & DISABILITY INCOME 522100 125369 125369 MISCELLANEOUS INCOME 522100 85221 85221 CHECK PRINTING CHARGES 522100 19953 19953 230543 15050877 13921529 140656 988692 550711 4078147 270133 511821 337262 24217 93225 1230307 137103 705312 651102 127001 1933953 70221 483209 92129 BANK FEES 634462 LOAN SERVICING 320306 PROVISION FOR LOAN LOSS 315527 454389 13020537 3100782 6064987 729413 12104143 972000 4965678 182646342 196576620 566395 520697 12935139 4130878 8668839 8804261 42183256 28815008 347000 0 17925 15364 4539134 4667417 243771086 262534175 2178858 2511125 118683 135391 217058669 232203937 219356210 234850453 X 0 0 0 0 24414876 27683722 24414876 27683722 243771086 262534175 2030340 1238506 0 X X 0 1 X 1 0 0 1 X 2947708 2947708 7016321 2105062 4911259 325731 181059 144672 2645379 1844757 800622 8804261 SHARES 68880753 IRA SHARES 4144505 CERTIFICATES OF DEPOSIT 61634280 SHARE DRAFT ACCOUNTS 39416922 MONEY MARKET ACCOUNTS 58127477 232203937 X 15050877 0 15050877 0 15050877 13020537 0 13020537 0 13020537 PART IV, LINE 2B: AS A MORTGAGE LOAN SERVICER, THE CREDIT UNION RECEIVES PROPERTY TAX PAYMENTS AND INSURANCE PAYMENTS AND THEN REMITS THESE FUNDS TO THE APPLICABLE THIRD PARTIES ON BEHALF OF THE BORROWERS. PART X, LINE 2: THE CREDIT UNION IS EXEMPT FROM MOST FEDERAL, STATE, AND LOCAL TAXES UNDER THE PROVISIONS OF THE INTERNAL REVENUE CODE ("IRC") AND STATE TAX LAWS. THE INCOME TAXES TOPIC OF THE FASB ASC CLARIFIES ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES REPORTED IN THE FINANCIAL STATEMENTS. THE INTERPRETATION PROVIDES CRITERIA FOR ASSESSMENT OF INDIVIDUAL TAX POSITIONS AND A PROCESS FOR RECOGNITION AND MEASUREMENT OF UNCERTAIN TAX POSITIONS. TAX POSITIONS ARE EVALUATED ON WHETHER THEY MEET THE "MORE LIKELY THAN NOT" STANDARD FOR SUSTAINABILITY UPON EXAMINATION BY TAX AUTHORITIES. THE CREDIT UNION IS A STATE-CHARTERED CREDIT UNION AS DEFINED IN IRC SECTION 501(C)(14). AS SUCH, THE CREDIT UNION IS EXEMPT FROM FEDERAL TAXATION OF INCOME DERIVED FROM THE PERFORMANCE OF ACTIVITIES DIRECTLY RELATED TO ITS EXEMPT PURPOSES. HOWEVER, IRC SECTION 511 IMPOSES A TAX ON THE UNRELATED BUSINESS INCOME DERIVED BY STATE-CHARTERED CREDIT UNIONS. BEGINNING IN MARCH 2008, THE INTERNAL REVENUE SERVICE RELEASED TECHNICAL ADVICE MEMORANDA TO SPECIFIC STATE-CHARTERED CREDIT UNIONS SPECIFYING THE REVENUE SOURCES SUBJECT TO UNRELATED BUSINESS INCOME TAX. UNRELATED BUSINESS INCOME MAY ALSO BE SUBJECT TO TAX IN CERTAIN STATES. MANAGEMENT HAS ASSESSED THE CREDIT UNION'S ACTIVITIES AND ANY POTENTIAL FEDERAL OR STATE INCOME TAX LIABILITY AND DETERMINED THAT THE CREDIT UNION HAS NO UNCERTAIN TAX POSITIONS THAT QUALIFY FOR EITHER RECOGNITION OR DISCLOSURE IN THE FINANCIAL STATEMENTS. ADDITIONALLY, NO INTEREST AND PENALTIES HAVE BEEN RECORDED IN THE ACCOMPANYING FINANCIAL STATEMENTS RELATED TO UNCERTAIN TAX POSITIONS. PRIOR TO THE CONVERSION TO A STATE CHARTER, THE CREDIT UNION WAS NOT REQUIRED TO FILE ANY FEDERAL INCOME TAX RETURNS. 1 X X X X 0 1 0 MICHAEL GUDELY PRESIDENT/CEO 248157 0 0 0 0 0 17650 0 12846 0 278653 0 0 0 MATTHEW WILLIAMS MORTGAGE LOAN ORIGINATOR 24000 0 183729 0 0 0 14598 0 6134 0 228461 0 0 0 PART I, LINE 4B THE CREDIT UNION HAS ENTERED INTO TWO SPLIT DOLLAR LIFE INSURANCE AGREEMENTS, WHICH ARE COLLATERAL ASSIGNMENT ARRANGEMENTS BETWEEN THE CREDIT UNION AND AN EXECUTIVE. THESE AGREEMENTS INVOLVE A METHOD OF PAYING FOR LIFE INSURANCE COVERAGE FOR THE EXECUTIVE BY SPLITTING THE ELEMENTS OF A LIFE INSURANCE POLICY. UNDER THE AGREEMENTS, THE EXECUTIVE IS THE OWNER OF THE POLICIES AND MAKES A COLLATERAL ASSIGNMENT OF LIFE PROCEEDS TO THE CREDIT UNION. IN RETURN FOR LOANS EQUAL TO THE AMOUNT OF PREMIUMS PAID, THE EXECUTIVE AND THEIR ESTATE AGREE TO REPAY THE CREDIT UNION WITH LIFE INSURANCE PROCEEDS UPON DEATH. DURING 2015, THE PARTIES ENTERED INTO AN AGREEMENT INVOLVING A POLICY WITH A FACE VALUE OF APPROXIMATELY $3,800,000. PREMIUM PAYMENTS FOR THIS POLICY ARE PAID ANNUALLY THROUGH 2023. DURING 2019, THE PARTIES ENTERED INTO ANOTHER AGREEMENT INVOLVING A POLICY WITH A FACE VALUE OF APPROXIMATELY $3,100,000. THE CREDIT UNION ELECTED TO PREPAY THE PREMIUMS FOR THIS POLICY DURING 2019. THE TOTAL LOAN BALANCE UNDER THESE AGREEMENTS, WHICH IS INCLUDED IN PREPAID AND OTHER ASSETS ON THE STATEMENTS OF FINANCIAL CONDITION, WAS APPROXIMATELY $4,966,000 AND $972,000 AS OF DECEMBER 31, 2019 AND 2018, RESPECTIVELY. E MICHAEL GUDELY CEO TO FUND SPLIT DOLLAR LIFE INSURANCE POLICY X 243000 4965678 0 1 1 4965678 FORM 990, PART VI, SECTION A, LINE 6 THE CREDIT UNION HAS MEMBERS. FORM 990, PART VI, SECTION A, LINE 7A THE ANNUAL MEETING OF MEMBERS OF THE CREDIT UNION SHALL BE HELD DURING THE MONTH OF MARCH, FOR THE PURPOSE OF ELECTING DIRECTORS AND TRANSACTING ANY AND ALL BUSINESS THAT MAY PROPERLY COME BEFORE THE MEETING. ANY VACANCY ON THE BOARD OR SUPERVISORY COMMITTEE SHALL BE FILLED BY VOTE OF A MAJORITY OF THE DIRECTORS THEN HOLDING OFFICE, EVEN THOUGH LESS THAN A QUORUM. DIRECTORS SO APPOINTED SHALL HOLD OFFICE ONLY UNTIL THE NEXT ANNUAL MEETING, AT WHICH ANY UNEXPIRED TERMS SHALL BE FILLED BY VOTE OF THE MEMBERS, AND UNTIL THE QUALIFICATION OF THEIR SUCCESSORS. MEMBERS OF THE SUPERVISORY COMMITTEE SO APPOINTED SHALL HOLD OFFICE UNTIL THE FIRST REGULAR MEETING OF THE BOARD FOLLOWING THE NEXT AT WHICH THE REGULAR TERM EXPIRES AND UNTIL THE APPOINTMENT AND QUALIFICATION OF THEIR SUCCESSORS. 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 DIRECTORS AND FIELD OF MEMBERSHIP. BYLAWS ADOPTED BY THE BOARD OF DIRECTORS MAY BE ALTERED, AMENDED OR REPEALED, AND NEW BYLAWS ADOPTED BY THE MEMBERS. THE MEMBERS MAY PRESCRIBE THAT ANY BYLAW OR BYLAWS ADOPTED BY THEM SHALL NOT BE ALTERED, AMENDED OR REPEALED, BY THE BOARD OF DIRECTORS. 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 THE RETURN IS PREPARED BY A THIRD PARTY CPA FIRM. THE RETURN IS REVIEWED BY THE FULL BOARD PRIOR TO FILING. ONCE THE REVIEW AND ANY NECSSARY CORRECTIONS ARE COMPLETED, THE RETURN IS FILED. FORM 990, PART VI, SECTION B, LINE 12C THE ORGANIZATION MONITORS ADHERENCE TO THE CONFLICT OF INTEREST POLICY THROUGH EMPLOYEE DISCLOSURE AND MANAGEMENT OF EMPLOYEES. IN THE EVENT OF A POTENTIAL CONFLICT, THE INTERESTED PERSON SHALL RECUSE HIMSELF/HERSELF FROM ALL DISCUSSIONS AND VOTE. FORM 990, PART VI, SECTION B, LINE 15 THE PERSONNEL COMMITTEE OF THE CREDIT UNION ENGAGED AN INDEPENDENT THIRD-PARTY CONSULTANT TO CONDUCT AN ANALYSIS OF THE CEO'S COMPENSATION IN 2019 TO DETERMINE REASONABLENESS. THE COMPENSATION FOR ALL OTHER KEY EMPLOYEES IS REVIEWED BY A THIRD-PARTY CONSULTANT AT LEAST ANNUALLY TO DETERMINE REASONABLENESS. ALL DECISIONS AND COMPARABILITY DATA ARE DOCUMENTED IN MEETING MINUTES. FORM 990, PART VI, SECTION C, LINE 19 GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICIES ARE NOT MADE AVAILABLE TO THE PUBLIC. FINANCIAL STATEMENTS ARE MADE AVAILABLE TO THE PUBLIC ON THE NCUA'S WEBSITE VIA THE 5300 CALL REPORT FILING. FORM 990, PART XII, LINE 2C THERE WERE NO CHANGES IN THE PROCESS OF THE COMMITTEE THAT ASSUMES RESPONSIBILITY OF THE OVERSIGHT OF THE AUDIT AND SELECTION OF THE INDEPENDENT AUDITOR.