2018-10-25T17:54:54-05:00 2017-12-31 910189318 MOSS ADAMS LLP 2707 COLBY AVENUE SUITE 801 EVERETT WA 98201 990 2017-01-01 910593941 SALAL CREDIT UNION SALA 2062989394 9706 4TH AVENUE NE NO 400 SEATTLE WA 98115 RUSSELL E ROSENDAL PRESIDENT/CEO 2608267603 2018-10-16 1 COLLEEN RAMIRES P01251320 4252597227 2018-10-16 12.129.7.100 2018-10-16 18:25:33 PD P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 866574987CA565ABE6CC9265146BBE3F5B9624AD 2017 2018-06-14 16:35:46Z RUSSELL E ROSENDAL 9706 4TH AVENUE NE NO 400 SEATTLE WA 98115 38631120 0 X WWW.SALALCU.ORG X 1948 WA THE MISSION OF SALAL CREDIT UNION IS TO MAKE MONEY MANAGEMENT EASIER FOR MEMBERS. 9 9 188 13 281835 -365753 0 0 24663685 27143456 1174318 8581125 179782 205433 26017785 35930014 68240 95539 0 0 11403551 12836474 0 0 0 10523003 11978770 21994794 24910783 4022991 11019231 495210042 536665059 452030870 482401396 43179172 54263663 THE MISSION OF SALAL CREDIT UNION IS TO MAKE MONEY MANAGEMENT EASIER FOR MEMBERS. 0 0 SALAL CREDIT UNION IS A STATE CHARTERED NON-PROFIT COOPERATIVE CREDIT UNION OFFERING ITS MEMBERS A VARIETY OF FINANCIAL SERVICES DESIGNED TO PROMOTE SAVING AND PROVIDE CREDIT AT FAIR AND REASONABLE RATES OF INTEREST. SALAL CREDIT UNION CURRENTLY SERVES 36,990 MEMBERS; HOWEVER THERE ARE APPROXIMATELY 6,724,540 POTENTIAL MEMBERS IN THE GREATER PUGET SOUND COMMUNITY. SALAL CREDIT UNION OFFERS FINANCIAL LITERACY/EDUCATION PROGRAMS TO BOTH MEMBERS AND NON-MEMBERS. THESE EDUCATIONAL PROGRAMS ARE DESIGNED TO HELP INDIVIDUALS IN BUDGETING, SAVING FOR MAJOR PURCHASES, COLLEGE, AND RETIREMENT AND OVERALL FINANCIAL MANAGEMENT. SALAL CREDIT UNION ALSO SPONSORS FINANCIAL COUNSELING PROGRAMS TO HELP MEMBERS BETTER MANAGE THEIR CREDIT. FINALLY, SALAL CREDIT UNION IS A SPONSORING MEMBER OF THE SEATTLE AREA "CREDIT UNIVERSITY", A PROGRAM DESIGNED TO EDUCATE HIGH SCHOOL STUDENTS ABOUT MONEY MANAGEMENT. SALAL CREDIT UNION IS ACTIVE IN THE COMMUNITY BY SPONSORING COMMUNITY ORIENTED PROJECTS SUCH AS WASHINGTON BUSINESS WEEK, (A WEEK LONG TRAINING/DEVELOPMENT PROGRAM FOR 15-18 YEAR OLDS), SCHOLARSHIPS FOR HIGH SCHOOL STUDENTS LOOKING TO FURTHER THEIR STUDIES IN THE HEALTHCARE FIELD, CONTINUING EDUCATION SCHOLARSHIPS FOR NURSING STUDENTS, AND CONTRIBUTING TO THE FUNDRAISING EFFORTS OF SEVERAL WORTHWHILE ORGANIZATIONS SUCH AS HEALTHPOINT AND INTERNATIONAL COMMUNITY HEALTH SERVICES (ICHS). 0 0 0 0 0 0 0 1 0 1 0 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 1 6102 0 1 188 1 1 1 0 0 0 0 0 X 9 9 0 0 0 0 1 1 1 1 1 0 0 0 1 1 1 1 1 1 1 0 CA X RANDY CLOES 2068267807 9706 4TH AVENUE NE NO 400 SEATTLE WA 98115 JOE LAPLA BOARD CHAIRMAN 1.00 X X 0 0 0 ANNETTE MURPHY BOARD VICE CHAIRMAN 1.00 X X 0 0 0 JAMIE LEE BOARD SECRETARY 1.00 X X 0 0 0 SHARON DOOLEY BOARD MEMBER 1.00 X 0 0 0 CHRIS GRANT BOARD MEMBER 1.00 X 0 0 0 ALAN LEDERMAN BOARD MEMBER 1.00 X 0 0 0 BRIAN LUONG BOARD MEMBER 1.00 X 0 0 0 DICK WOO BOARD MEMBER 1.00 X 0 0 0 LAURA MCMILLAN ASSOCIATE BOARD MEMBER 1.00 X 0 0 0 RUSSELL ROSENDAL PRESIDENT/CEO 50.00 X 412988 0 196472 RANDY CLOES SVP - CFO 50.00 X 195370 0 15530 BOB SCHWEIGERT SVP - CHIEF LENDING OFFICER 50.00 X 233743 0 16766 TROY-SKOTT POPE SVP - RETAIL FINANCIAL SERVICES 50.00 X 214880 0 13468 SHERYL KIRCHMEIER SVP - CHIEF MARKETING OFFICER 50.00 X 204529 0 8574 GEOFFREY SWARTS SVP - CHIEF INFO & RISK OFFICER 50.00 X 193679 0 13683 TARA SEEVER SVP - CHIEF HUMAN RESOURCES OFFICER 50.00 X 155546 0 11038 CARMELLA MURPHY HOUSTON VICE PRESIDENT - BUSINESS SERVICES 40.00 X 157947 0 13303 MICHAEL BISHOP VICE PRESIDENT - BRANCH EXPERIENCE 40.00 X 142215 0 12617 JOAN GERAGHTY VICE PRESIDENT - PROGRAM MANAGEMENT 40.00 X 139277 0 8271 SAMANTHA CARL SENIOR MANAGER - MORTGAGE LENDING 40.00 X 129424 0 9381 MICHELLE PURNELL HEPBURN VICE PRESIDENT - CONTROLLER 40.00 X 122751 0 9076 2302349 0 328179 18 0 1 0 GARDA CL NORTHWEST INC 3209 MOMENTUM PLACE CHICAGO IL 606895332 SECURITY 552481 JACK HENRY & ASSOCIATES INC PO BOX 609 MONETT MO 65708 DATA PROCESSING 420955 TOKUSAKU CONSULTING 2101 4TH AVE STE 640 SEATTLE WA 98121 PROJECT PLANNING AND MANAGEMENT 295499 NBBJ LP 223 YALE AVE N SEATTLE WA 98109 ARCHITECTURE AND DESIGN SERVICES 292951 INTEGRA TELECOM 20829 72ND AVE S 300 KENT WA 98032 TELECOM SERVICES 236998 15 INTEREST ON MEMBER LOANS 522291 20532563 20532563 SERVICE CHARGES & FEE INCOME 522200 5672738 5606849 65889 NET GAINS ON SALES OF LOANS 523000 564936 564936 OTHER NON-INTEREST INCOME 522299 373219 267466 105753 27143456 1411620 1411620 1455995 1295416 160579 160579 65339 95240 8575195 1405690 7169505 7169505 7169505 SUBSIDIARY INVESTMENT INCOME 900099 44854 44854 44854 35930014 26971814 281835 8676365 95539 1886265 8584592 226460 1314869 824288 131757 18874 232730 91946 120300 611672 527900 1886528 224122 1547924 1547946 146077 PROVISION FOR LOAN LOSS 1883602 TRANSACTION EXPENSES 1321724 CREDIT UNION OPERATING 931598 DATA PROCESSING 754070 24910783 4385593 3635369 26269967 11065288 355373454 419638498 654235 777689 31909876 6809134 25895534 25100742 72769923 65297495 2903628 3176078 6957708 7973900 495210042 536665059 10850206 11468001 36833543 36026600 404347121 434906795 452030870 482401396 X 0 0 0 0 43179172 54263663 43179172 54263663 495210042 536665059 X 11019231 162735 -97475 X 0 1 X 1 0 0 0 8008645 8008645 13424801 350087 13074714 3055031 1099240 1955791 7421399 5359807 2061592 25100742 MEMBER SHARES 434906795 434906795 X PART X, LINE 2: THE CREDIT UNION IS EXEMPT BY STATUTE FROM FEDERAL INCOME TAXES UNDER THE PROVISIONS OF SECTION 501 OF THE INTERNAL REVENUE CODE (IRC) OF 1954; HOWEVER, THE CREDIT UNION'S UNRELATED BUSINESS INCOME IS SUBJECT TO FEDERAL INCOME TAXES. THERE WERE NO SIGNIFICANT INCOME TAXES FOR THE YEARS ENDED DECEMBER 31, 2017 OR 2016. ACCOUNTING PRINCIPLES PRESCRIBE A RECOGNITION THRESHOLD AND MEASUREMENT ATTRIBUTE FOR THE FINANCIAL STATEMENT RECOGNITION AND MEASUREMENT OF A TAX POSITION TAKEN OR EXPECTED TO BE TAKEN IN A TAX RETURN. THE CREDIT UNION ADOPTED THE PROVISIONS OUTLINED IN THIS GUIDANCE ON JANUARY 1, 2009. THE CREDIT UNION HAD NO UNRECOGNIZED TAX POSITIONS THAT REQUIRED ADJUSTMENT TO THE JANUARY 1, 2009, BEGINNING BALANCE OF UNDIVIDED EARNINGS. THE CREDIT UNION HAD NO UNRECOGNIZED TAX POSITIONS AT DECEMBER 31, 2017 OR 2016. IT IS THE CREDIT UNION'S POLICY TO RECORD ANY PENALTIES OR INTEREST ARISING FROM FEDERAL OR STATE TAXES AS A COMPONENT OF NONINTEREST EXPENSE. THE CREDIT UNION FILES EXEMPT ORGANIZATION AND UNRELATED BUSINESS INCOME TAX RETURNS WITH THE FEDERAL JURISDICTION. 1 KING COUNTY NURSES ASSOCIATION 4649 SUNNYSIDE AVE N ROOM 352 SEATTLE WA 98103 910282054 501(C)(3) 30500 $12,000 FOR NURSE EDUCATIONAL SCHOLARSHIP PROGRAM, $2,000 FOR ANNUAL MEETING SUPPORT, $10,000 FOR NURSE GRANTS PROGRAM, AND $6,500 FOR CONTINUING EDUCATION SUPPORT. SWEDISH MEDICAL CENTER FOUNDATION 801 BROADWAY SEATTLE WA 98122 910983214 501(C)(3) 10000 TO SUPPORT SWEDISH RN RESIDENCY FUND VIRGINIA MASON CORPORATE PARTNERS PROGRAM 1218 TERRY AVE SEATTLE WA 98111 911351110 501(C)(3) 10000 SPONSORSHIP OF ANNUAL FUNDRAISING EVENT HEALTHPOINT 955 POWELL AVENUE SW RENTON WA 98057 910884412 501(C)(3) 10000 SPONSORSHIP OF ANNUAL FUNDRAISING EVENT FOUNDATION FOR PRIVATE ENTERPRISE EDUCATION 33305 1ST WAY S STE B-212 FEDERAL WAY WA 98003 911048245 501(C)(3) 10000 DONATION TO HELP FUND SCHOLARSHIPS FOR STUDENTS TO ATTEND WEEK-LONG HEALTHCARE-FOCUSED CAMP. MARY MAHONEY PROFESSIONAL NURSES ORGANIZATION PO BOX 22003 SEATTLE WA 98122 911653833 501(C)(3) 9000 SPONSORSHIP OF ANNUAL NURSES' SCHOLARSHIP RECEPTION 6 0 PART I, LINE 2: THE ORGANIZATION OFFERS A SCHOLARSHIP OPPORTUNITY TO PARTICIPANTS IN THE WASHINGTON BUSINESS WEEK HEALTHCARE PATHWAY HELD ANNUALLY IN WESTERN WASHINGTON. APPLICANTS AND ESSAYS ARE REVIEWED BY SALAL EMPLOYEES AS PART OF THE SELECTION PROCESS. GRANTS ARE ALSO PROVIDED TO THE KING COUNTY NURSES ASSOCIATION TO SUPPORT NURSES WHO APPLY FOR COMMUNITY SUPPORT ACTIVITIES. THE NURSES WHO RECEIVE THE FUNDS ARE VETTED BY THE ASSOCIATION. THE ORGANIZATION OFFERS ONGOING SUPPORT TO VARIOUS ANNUAL FUNDRAISING CAMPAIGNS. THE ORGANIZATION HAS AN ONGOING RELATIONSHIP WITH EACH DONEE ORGANIZATION, ATTENDS THE FUNDRAISING EVENTS, AND THE BUSINESS DEVELOPMENT OFFICER MAINTAINS CONTACT WITH DONEE ORGANIZATION OFFICERS THROUGHOUT THE YEAR. X X 1 1 X X X X 0 1 0 RUSSELL ROSENDAL PRESIDENT/CEO 313720 0 85351 0 13917 0 184369 0 12103 0 609460 0 0 0 RANDY CLOES SVP - CFO 183267 0 10500 0 1603 0 5190 0 10340 0 210900 0 0 0 BOB SCHWEIGERT SVP - CHIEF LENDING OFFICER 186150 0 46000 0 1593 0 9311 0 7455 0 250509 0 0 0 TROY-SKOTT POPE SVP - RETAIL FINANCIAL SERVICES 166325 0 44110 0 4445 0 6415 0 7053 0 228348 0 0 0 SHERYL KIRCHMEIER SVP - CHIEF MARKETING OFFICER 165723 0 36810 0 1996 0 7873 0 701 0 213103 0 0 0 GEOFFREY SWARTS SVP - CHIEF INFO & RISK OFFICER 154141 0 36800 0 2738 0 6213 0 7470 0 207362 0 0 0 TARA SEEVER SVP - CHIEF HUMAN RESOURCES OFFICER 138464 0 14693 0 2389 0 4798 0 6240 0 166584 0 0 0 CARMELLA MURPHY HOUSTON VICE PRESIDENT - BUSINESS SERVICES 131033 0 26059 0 855 0 6295 0 7008 0 171250 0 0 0 MICHAEL BISHOP VICE PRESIDENT - BRANCH EXPERIENCE 115689 0 23298 0 3228 0 5681 0 6936 0 154832 0 0 0 PART I, LINE 1A THE ORGANIZATION PAYS FOR TRAVEL OF COMPANIONS OF THE BOARD OF DIRECTORS AND CEO. THE ORGANIZATION PAYS HEALTH CLUB DUES FOR THE CEO AND COO ATHLETIC CLUB MEMBERSHIP. THESE ITEMS ARE TREATED AS TAXABLE INCOME TO THE INDIVIDUALS AS APPROPRIATE. PART I, LINE 4B THE CREDIT UNION HAS A SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN FOR THE CHIEF EXECUTIVE OFFICER WHEREBY THE CREDIT UNION MAKES SCHEDULED MONTHLY CONTRIBUTIONS TO INVESTMENT ACCOUNTS AND THE CHIEF EXECUTIVE OFFICER WILL BE ENTITLED TO THE BALANCE OF THE INVESTMENT ACCOUNTS UPON HIS 65TH BIRTHDAY (DECEMBER 2023), SUBJECT TO CERTAIN CONDITIONS IN THE AGREEMENT. FOR THE YEAR ENDING DECEMBER 31, 2017 THE CREDIT UNION CONTRIBUTED $175,828 TO THIS PLAN. 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, AS VACANCIES ARISE, OR OTHERWISE. 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 DRAFTED BY AN EXTERNAL ACCOUNTING FIRM AND COMPANY CONTROLLER AND IS THEN REVIEWED AND APPROVED BY THE CFO. FORM 990, PART VI, SECTION B, LINE 12C EACH EMPLOYEE IS REQUIRED TO ANNUALLY SIGN AN ETHICS STATEMENT ACKNOWLEDGING THEY HAVE NOT ACCEPTED ITEMS OF VALUE GREATER THAN $20. FURTHERMORE, EXECUTIVE MANAGEMENT AND THE BOARD OF DIRECTORS SIGN AN ADDITIONAL STATEMENT ACKNOWLEDGING THEIR HIGHER STANDARDS. DEPARTMENT MANAGERS ARE RESPONSIBLE FOR MONITORING AND REPORTING ANY VIOLATIONS OF THE CONFLICT OF INTEREST POLICY. FORM 990, PART VI, SECTION B, LINE 15 THE ORGANIZATION'S HUMAN RESOURCES DEPARTMENT SUBSCRIBES TO TWO ANNUAL FINANCIAL INSTITUTIONS COMPENSATION SURVEYS. COMPENSATION FOR EXECUTIVE OFFICERS IS APPROVED BY THE CEO IN CONSULTATION WITH THE INDEPENDENT EXECUTIVE COMMITTEE OF THE BOARD OF DIRECTORS. COMPENSATION FOR THE CEO IS RECOMMENDED BY THE EXECUTIVE COMMITTEE AFTER REVIEWING MATERIAL PREPARED BY A CONSULTANT HIRED BY THE COMMITTEE. FINAL APPROVAL IS SUBJECT TO FULL BOARD APPROVAL. FORM 990, PART VI, SECTION C, LINE 19 FINANCIAL STATEMENTS ARE AVAILABLE AT THE ANNUAL MEETING. BALANCE SHEETS ARE POSTED AT EACH BRANCH AND UPDATED MONTHLY. MEMBERS ARE DIRECTED TO THE NCUA WEBSITE FOR ADDITIONAL FINANCIAL INFORMATION. FORM 990, PART XI, LINE 9: SUBSIDIARY INCOME BOOK/TAX DIFFERENCE 10,468. CHARITABLE CONTRIBUTION RESERVE BOOK/TAX DIFFERENCE -107,943. LENDING SOLUTIONS NORTHWEST LLC 9706 4TH AVENUE NE NO 400 SEATTLE WA 98115 461812634 AUTO LENDING WA 0 131270 SALAL CREDIT UNION SCU HOLDINGS LLC 9706 4TH AVENUE NE NO 400 SEATTLE WA 98115 814624261 HOLD REAL ESTATE WA 1456495 21370045 SALAL CREDIT UNION SALAL FOUNDATION 9706 4TH AVENUE NE NO 400 SEATTLE WA 98115 463476338 SUPPORTS PHILANTHROPIC ACTIVITIES WA 501(C)(3) LINE 10 SALAL CREDIT UNION 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0