2016-11-11T14:07:24-06:00 2015-12-31 910189318 Moss Adams LLP 2707 Colby Avenue Suite 801 Everett WA 98201 990 2015-01-01 910593941 SALAL CREDIT UNION SALA 2062989394 1515 Dexter Avenue North Seattle WA 98109 russell e rosendal PRESIDENT/CEO 2608267603 2016-10-19 1 Angela M Fidler P01254538 4252597227 2016-10-19 2015 2017-02-10 21:41:12Z RUSSELL E ROSENDAL 1515 Dexter Avenue North Seattle WA 98109 31637354 0 X www.salalcu.org X 1948 WA THE MISSION OF SALAL CREDIT UNION IS TO MAKE MONEY MANAGEMENT EASIER FOR MEMBERS. 10 10 174 15 414079 -186835 0 0 18537421 21726820 1242881 3853127 19707 53178 19800009 25633125 32183 59450 0 0 8549673 9649635 0 0 0 9917418 10677659 18499274 20386744 1300735 5246381 377673961 433959684 343185548 394885986 34488413 39073698 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 34,490 MEMBERS; HOWEVER THERE ARE APPROXIMATELY 7,200,000 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 MANGEMENT. 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 5816 0 1 174 1 1 1 0 0 0 0 0 X 10 10 0 0 0 0 1 1 1 1 1 0 0 0 1 1 1 1 1 1 1 0 X GEOFFREY T SWARTS 2068267600 1515 DEXTER AVENUE NORTH SEATTLE WA 98109 Dick Woo BOARD Chairman 1.00 X X 0 0 0 Laura McMillian BOARD Vice Chair 1.00 X X 0 0 0 Lisa Johnson BOARD Secretary 1.00 X X 0 0 0 SHARON DOOLEY BOARD MEMBER 1.00 X 0 0 0 Jamie Lee BOARD MEMBER 1.00 X 0 0 0 Annette Murphy Board memBER 1.00 X 0 0 0 Joe LePla Board Member 1.00 X 0 0 0 Helen Harte Board Member 1.00 X 0 0 0 DENNIS HIGHTOWER BOARD MEMBER 1.00 X 0 0 0 Alan Lederman Board Member 1.00 X 0 0 0 RUSSELL E ROSENDAL PRESIDENT/CEO 40.00 X 345041 0 242554 GEOFFREY T SWARTS CFO (1/15-3/15), SVP CIO 40.00 X 173626 0 24421 ROBERT W SCHWEIGERT SVP CHIEF LENDING OFFICER 40.00 X 182314 0 21334 TROY-SKOTT POPE SVP RETAIL FINANCIAL SERVICES 40.00 X 175108 0 18756 SHERYL A KIRCHMEIER SVP Chief Marketing Officer 40.00 X 172534 0 13107 CARMELLA M HOUSTON VP BUSINESS SERVICES 40.00 X 135687 0 17685 Debbie DeLisle Senior Mortgage Loan Officer 40.00 X 133081 0 11013 Willam Van Nostran Senior Mortgage Loan Officer 40.00 X 249574 0 15587 Michael Bishop Vice President - Branch Experience 40.00 X 121921 0 10817 1688886 0 375274 13 0 1 0 Merit Construction Northwest 3020 S 96th St Lakewood WA 98499 Construction Services 700262 Jack Henry & ASSOCIATES INC PO BOX 609 MONETT MO 65708 DATA PROCESSING 439161 Softchoice Corporation 16609 Collections Center Drive Chicago IL 60693 Computers and Peripherals 243721 Electra Lighwave BDA Integra PO Box 2966 Milwaukee WI 53201 Telecom Services 220782 Diebold Incorporated PO BOX 643543 Pittsburgh PA 15264 ATM Servicing 198045 6 interest on MEMBER LOANS 522291 16271607 16271607 service charges & fee income 522200 3797491 3714569 82922 NET GAINS ON SALES OF LOANS 523000 1230866 1230866 other non-interest income 522299 426856 148877 277979 21726820 1047911 1047911 5741788 3067657 5733505 270724 8283 2796933 2805216 2805216 SUBSIDIARY INVESTMENT INCOME 900099 53178 53178 53178 25633125 21365919 414079 3853127 54450 5000 1183154 6728929 120742 972787 644023 36851 113525 225994 72183 381710 608100 510060 924051 118479 1012280 1120385 91945 PROVISION FOR LOAN LOSS 3077450 TRANSACTION EXPENSEs 1109520 Credit Union OPERATING 727436 DATA PROCESSING 145463 402227 20386744 7334129 2863930 6982619 283063201 326616424 334799 507069 11850670 7711076 3725999 4139594 73198920 83530399 3920625 2590949 6096288 6728700 377673961 433959684 6257121 8030148 9000000 23000000 327928427 363855838 343185548 394885986 X 0 0 0 0 34488413 39073698 34488413 39073698 377673961 433959684 X 5246381 -659660 -1436 X 0 1 X 1 0 0 0 427117 427117 3472457 2137631 1334826 1643355 879459 763896 6307741 4693986 1613755 4139594 MEMBER SHARES 363855838 363855838 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, 2015 OR 2014. 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, 2015 OR 2014. 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 FOUNDATION FOR PRIVATE ENTERPRISE EDUCATION 33305 1ST WAY S STE B-212 FEDERAL WAY WA 98003 911048245 501(C)(3) 8500 SPONSORSHIP OF DONATION TO FUND SCHOLARSHIP STUDENTS ATTENDING HEALTHCARE- FOCUSED CAMP Healthpoint 955 Powell Avenue SW REnton WA 98057 910884412 501(c)(3) 6500 Sponsorship of annual fundraising event 2 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. X X 1 1 X X X 0 1 0 RUSSELL E ROSENDAL PRESIDENT/CEO 279233 0 52929 0 12879 0 209765 0 32789 0 587595 0 0 0 GEOFFREY T SWARTS CFO (1/15-3/15), SVP CIO 147106 0 24600 0 1920 0 11961 0 12460 0 198047 0 0 0 ROBERT W SCHWEIGERT SVP CHIEF LENDING OFFICER 154836 0 26800 0 678 0 12037 0 9297 0 203648 0 0 0 TROY-SKOTT POPE SVP RETAIL FINANCIAL SERVICES 148269 0 26400 0 439 0 9848 0 8908 0 193864 0 0 0 SHERYL A KIRCHMEIER SVP Chief Marketing Officer 149720 0 21300 0 1514 0 10964 0 2143 0 185641 0 0 0 CARMELLA M HOUSTON VP BUSINESS SERVICES 118926 0 16159 0 602 0 9171 0 8514 0 153372 0 0 0 Willam Van Nostran Senior Mortgage Loan Officer 40485 0 205881 0 3208 0 8193 0 7394 0 265161 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, 2015 the Credit Union contributed $191,550 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 11 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. ADDITIONALLY 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 -1,436. Lending Solutions Northwest LLC 1515 Dexter Avenue North seattle WA 98109 461812634 Auto Lending WA 0 131325 Salal Credit Union Salal Foundation 1515 Dexter Ave North Seattle WA 98109 463476338 supports philanthropic activities WA 501(c)(3) Line 9 SALAL CREDIT UNION 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0