2015-02-27T09:00:03-06:00 2013-12-31 CROWE HORWATH LLP 225 WEST WACKER DRIVE SUITE 2600 CHICAGO IL 606061224 990 2013-01-01 390671465 UNIVERSITY OF WISCONSIN CREDIT UNION UNIV 6082325000 3500 University Ave Madison WI 53705 BRAD MCCLAIN EXEC VP/CFO 2014-10-29 true KRISTIN FICKER P01254056 3128997000 2013 2016-02-25 16:41:14Z UW CREDIT UNION PAUL KUNDERT 3500 University Ave Madison WI 53705 595025098 false X WWW.UWCU.ORG X 1931 WI THE UNIVERSITY OF WISCONSIN CREDIT UNION IS A FEDERALLY INSURED FINANCIAL INSTITUTION THAT PROVIDES CUSTOMIZED FINANCIAL PRODUCTS AND SERVICES TO MEET THE MONEY MANAGEMENT GOALS OF ITS MEMBERS. 9 9 530 15 2539058 -331834 0 0 72944924 75854323 17772072 11610705 -54401 -55343 90662595 87409685 400093 150528 0 0 27043288 28338902 0 0 0 41582514 42865997 69025895 71355427 21636700 16054258 1611815269 1746757365 1459751663 1583773131 152063606 162984234 THE MISSION OF UNIVERSITY OF WISCONSIN CREDIT UNION (UWCU) IS TO ENCOURAGE THRIFT AMONG ITS MEMBERS, TO CREATE A SOURCE OF CREDIT AT A FAIR AND REASONABLE RATE OF INTEREST, TO PROVIDE AN OPPORTUNITY FOR ITS MEMBERS TO IMPROVE THEIR ECONOMIC AND SOCIAL CONDITIONS AND TO PERFORM THE FUNCTIONS AND EXERCISE THE POWERS DESIGNATED FOR CREDIT UNIONS UNDER THE APPLICABLE LAW. false false UWCU IS ONE OF DANE COUNTY'S TOP AND FASTEST-GROWING HOME PURCHASE FINANCING LENDERS AND FALLS WITHIN THE TOP TEN IN WISCONSIN AMONG ALL MORTGAGE LENDERS. UWCU CONTINUES TO REACH OUT TO BORROWERS OF ALL INCOME LEVELS. UWCU ALSO CONTINUED TO BE A TOP EDUCATIONAL LENDER IN 2013 TO WISCONSIN UNDERGRADUATE STUDENTS. UWCU WAS ONE OF THE TOP CREDIT UNION AUTO LENDERS IN DANE COUNTY IN 2013 SERVING 9.2% OF THE TOTAL MARKET. IN 2013, UWCU ADDED 13,271 NEW MEMBERS AND OPENED 13,047 NET NEW CHECKING ACCOUNTS. THE CREDIT UNION'S HONEST AND STRAIGHTFORWARD BUSINESS PRACTICES CONTINUE TO DRIVE MEMBERSHIP AND RELATIONSHIP GROWTH. AT THE END OF 2013, UWCU SERVED NEARLY 189,000 MEMBERS AND NEARLY 146,000 CHECKING ACCOUNTS. IN ADDITION TO CHECKING SERVICES, MEMBERS ALSO CONTINUE TO PLACE DEPOSITS WITH THE CREDIT UNION WITH AVERAGE SAVINGS PER MEMBER GROWING BY 1.3%. UWCU INTRODUCED MOBILE DEPOSIT IN 2013 ALLOWING MEMBERS TO DEPOSIT CHECKS ANYTIME FROM ANYWHERE. MORE THAN 23,000 MEMBERS DEPOSITED 173,000 CHECKS WITHIN THE FIRST SIX MONTHS. UWCU ALSO EXPANDED ITS BRANCH NETWORK, ADDING A FIFTH LOCATION IN MILWAUKEE AND A 13TH LOCATION IN DANE COUNTY. UWCU CONTINUES TO FOCUS ON DELIVERING FINANCIAL SERVICES IN A TRUSTWORTHY MANNER. UWCU CONTINUES TO PROVIDE CREDIT CONSULTATION SERVICES WHICH IS A FREE SERVICE THAT BENEFITS ANY MEMBER. MEMBERS CAN MEET WITH A FINANCIAL SPECIALIST TO REVIEW THEIR CREDIT REPORT, BETTER UNDERSTAND THEIR CREDIT SCORE, OR RESEARCH OPTIONS TO LOWER RATES ON EXISTING LOANS. UWCU OFFERS A FIXED RATE PRIVATE STUDENT LOAN, WHICH IS DESIGNED TO HELP STUDENTS AFFORD COLLEGE EXPENSES AND A CONSOLIDATED PRIVATE STUDENT LOAN, OFFERING A LOW RATE AND ONE EASY PAYMENT FOR MEMBERS THAT HAVE EDUCATIONAL LOANS SPREAD AMONG LENDERS. UWCU OFFERS LOW-LIMIT, LOW-RATE CREDIT CARDS FOR YOUNG ADULTS TO HELP THEM BUILD THEIR CREDIT RESPSONSIBILY, AND AFFORDABLE NO ANNUAL FEE SECURED CREDIT CARDS FOR MEMBERS WHO NEED TO REPAIR THEIR CREDIT. UWCU OFFERS AN OVERDRAFT LINE-OF-CREDIT PROTECTION WITH NO ANNUAL FEE. false false false false false false false true false true true false false true true false true false false false false false false false false false true false true false false false false false false false false false false true false false false false true 63810 0 true 530 true true true false false false false false X 9 9 false false false false true true true true true false false true true true true true true true false false X Brad McClain 6082325000 3500 University Avenue Madison WI 53705 ERNEST HANSON DIRECTOR-TREASURER 3.00 X X 900 0 0 MARION BROWN DIRECTOR-SECRETARY 2.00 X X 1150 0 0 TAD PINKERTON DIRECTOR-CHAIR 3.00 X X 1783 0 0 YVONNE EVERS DIRECTOR-VICE CHAIR 2.00 X X 1865 0 0 ANN HOYT DIRECTOR 2.00 X 4134 0 0 CAROLE DOEPPERS DIRECTOR 2.00 X 900 0 0 GORDON RIDLEY DIRECTOR 2.00 X 900 0 0 JEFFREY RUSSELL DIRECTOR 2.00 X 0 0 0 PHILLIP HELLMUTH DIRECTOR - PARTIAL YEAR 2.00 X 1416 0 0 STEVEN RICK DIRECTOR 2.00 X 1816 0 0 BRAD MCCLAIN EXEC VP/CFO 50.00 X 300878 0 44911 MAGGIE HERTZ EXEC VP/COO - PARTIAL YEAR 50.00 X 291510 0 27173 PAUL KUNDERT PRESIDENT/CEO 50.00 X 1114528 0 98758 DAVID MICKELSON VP OF RETAIL DELIVERY OPERATIONS 50.00 X 156969 0 18627 ERIC BANGERTER VP OF E-COMMERCE AND INTERNET SERVICES 50.00 X 163349 0 28373 GREG YELK VICE PRESIDENT OF INFORMATION TECHNOLOGY 50.00 X 213207 0 31027 JULIO RIOS ASSOCIATE VICE PRESIDENT OF MORTGAGE LENDING 50.00 X 209863 0 33335 LEE WIERSMA EXEC VP/CHRO 50.00 X 191771 0 34683 LISA GIRDHARRY SENIOR VP & CMO 50.00 X 156618 0 26899 MIKE LONG EXEC VP/CCO 50.00 X 241720 0 34320 ROB VAN NEVEL SENIOR VP & CMSO 50.00 X 188871 0 17992 CHRISTOPHER OHLY MORTGAGE LOAN OFFICER 44.00 X 198798 0 28312 GLEN SPAETH VP & CONTROLLER 50.00 X 144604 0 27041 JAMES JOHNSON DIRECTOR OF COMMUNITY AND CAMPUS RELATIONS 50.00 X 144257 0 10843 RYAN BONEY MORTGAGE LOAN OFFICER 44.00 X 146057 0 26915 TONY KOECK DIRECTOR OF MEMBER SALES AND SERVICE 50.00 X 141527 0 13187 4019391 0 502396 32 false true false ADAMS OUTDOOR ADVERTISING PO BOX 809140 CHICAGO IL 606809140 ADVERTISING 251459 MORTGAGEBOT LLC 2627 NETWORK PL CHICAGO IL 606731260 ONLINE LOAN PROCESSING 243033 CLEAN POWER 124 N 121ST STREET WAUWATOSA WI 53226 JANITORIAL SERVICES 214935 DARNIEDER AND GERAGHTY 735 N WATER ST STE 930 MILWAUKEE WI 532024105 LEGAL 134106 OPTIMAL BLUE SECONDARY SVCS 110 16TH ST STE 820 DENVER CO 80202 SECONDARY MARKET SERVICES 124271 6 0 INTEREST ON LOANS 522100 45390252 45390252 CARD AND ATM INTERCHANGE 524298 17742601 17216515 526086 SERVICE CHARGES AND FEES 522100 4586921 4586921 LOAN SERVICING FEES 522100 5971166 5035930 935236 INVESTMENT AND INSURANCE SERVICES 525100 1077736 1077736 1085647 1085647 0 0 75854323 4347936 4347936 0 0 104707 160050 -55343 0 -55343 -55343 21992500 492725632 21016737 486438626 975763 6287006 7262769 7227982 34787 0 0 0 0 0 0 0 0 0 0 0 87409685 80543247 2539058 4327380 150528 0 0 0 3640244 0 19871974 975188 2027861 1823635 0 115832 375689 0 0 0 639005 2045069 4681850 2825311 3284872 194260 0 0 3324134 0 3061961 1178140 LOAN LOSS PROVISION 4956155 LOAN SERVICING EXPENSE 9479623 CARD PROCESSING EXPENSE 5263131 FRAUD FORGERY LOSSES 573142 867823 71355427 0 0 0 24398873 25373590 174754411 188500228 0 2018634 1923792 0 0 0 0 1101942935 1128702324 0 8084713 9851963 91804425 30549810 55828177 61254615 25415020 214384176 274623984 0 0 30403350 31111849 1611815269 1746757365 19994562 16142702 2615524 2788980 3792943 4461764 0 0 0 1433348634 1560379685 1459751663 1583773131 X 152063606 162984234 152063606 162984234 1611815269 1746757365 X 16054258 -3593267 -1540363 X false true X true false false true X 15369386 15369386 833707 44062847 8551796 36344758 1928799 1237378 691421 16024700 10595054 5429646 13584986 10165582 3419404 61254615 0 0 AGENCY BACKED SECURITIES 269363784 F FEDERAL HOME LOAN BANK CHICAGO STOCK 5260200 C 274623984 0 MEMBER DEPOSITS 1555103084 OUTSTANDING CASHIERS CHECKS 5276601 1560379685 X Schedule D, Part IV, Line 2b, Explanation of escrow agreement THE CREDIT UNION MAINTAINS REAL ESTATE ESCROW ACCOUNTS USED TO PAY MEMBERS' REAL ESTATE TAXES AND INSURANCE. SCHEDULE D, PART IV, LINE 2B, EXPLANATION OF CREDIT COUNSELING AND DEBT MANAGEMENT SERVICES UWCU CONTINUES TO PROVIDE CREDIT CONSULTATION SERVICES WHICH IS A FREE SERVICE THAT BENEFITS ANY MEMBER. MEMBERS CAN MEET WITH A FINANCIAL SPECIALIST TO REVIEW THEIR CREDIT REPORT, BETTER UNDERSTAND THEIR CREDIT SCORE, OR RESEARCH OPTIONS TO LOWER RATES ON EXISTING LOANS. UWCU ALSO OFFERS MEMBERS FREE EDUCATION AND ADVICE FROM THE EXPERTS AT BALANCE, A FINANCIAL EDUCATION AND COUNSELING SERVICE COMMITTED TO HELPING INDIVIDUALS AND FAMILIES TAKE CONTROL OF THEIR FINANCES. Schedule D, Part X, Line 2, FIN 48 (ASC 740) footnote THE CREDIT UNION IS EXEMPT, BY STATUTE, FROM FEDERAL AND STATE INCOME TAXES. THE CREDIT UNION DOES, HOWEVER, PAY SALES TAX, PROPERTY TAX, PAYROLL TAXES, AND FEDERAL AND STATE INCOME TAX ON UNRELATED BUSINESS ACTIVITIES. THE INTERNAL REVENUE SERVICE (IRS) AND CERTAIN TAXING AUTHORITIES ARE EVALUATING WHAT, IF ANY, PRODUCTS OR SERVICES PROVIDED BY STATE CHARTERED CREDIT UNIONS OR THEIR CREDIT UNION SERVICE ORGANIZATIONS ARE SUBJECT TO UNRELATED BUSINESS INCOME TAX (UBIT). THERE IS CURRENTLY VERY LITTLE GUIDANCE IN THE IRS CODE ON WHAT ACTIVITIES SHOULD BE SUBJECT TO UBIT. THE IRS HAS ISSUED CERTAIN TECHNICAL ADVICE MEMORANDUMS IDENTIFYING CERTAIN ACTIVITIES AS BEING SUBJECT TO UBIT. AS A RESULT, AT THIS TIME THERE IS UNCERTAINTY REGARDING WHETHER STATE CHARTERED CREDIT UNIONS SHOULD PAY INCOME TAX ON CERTAIN TYPES OF NET TAXABLE INCOME FROM ACTIVITIES THAT MAY BE CONSIDERED BY TAXING AUTHORITIES AS UNRELATED TO THE PURPOSE FOR WHICH CREDIT UNIONS WERE GRANTED NON-TAXABLE STATUS. THE TAX LIABILITY RECORDED BY THE CREDIT UNION AS OF DECEMBER 31, 2013 AND 2012 ATTRIBUTED TO UNRELATED BUSINESS ACTIVITIES WAS NOT MATERIAL. A TAX POSITION WILL BE RECOGNIZED AS A BENEFIT ONLY IF IT IS "MORE LIKELY THAN NOT" THAT THE TAX POSITION WOULD BE SUSTAINED IN A TAX EXAMINATION, WITH A TAX EXAMINATION BEING PRESUMED TO OCCUR. THE AMOUNT RECOGNIZED WILL BE THE LARGEST AMOUNT OF TAX BENEFIT THAT IS GREATER THAN 50% LIKELY OF BEING REALIZED ON EXAMINATION. FOR TAX POSITIONS NOT MEETING THE "MORE LIKELY THAN NOT" TEST, NO TAX BENEFIT WILL BE RECORDED. THERE IS NO ACCRUAL NECESSARY AT YEAR-END 2013 AND 2012. THE CREDIT UNION RECOGNIZES INTEREST AND/OR PENALTIES RELATED TO INCOME TAX MATTERS IN THE OPERATIONS SECTION OF THE CONSOLIDATED STATEMENT OF INCOME. NO INTEREST OR PENALTIES WERE INCURRED DURING 2013 AND 2012. true UNIVERSITY OF WISCONSIN FOUNDATION 1848 UNIVERSITY AVENUE MADISON WI 537088860 390743975 501(C)(3) 73876 0 N/A N/A COMMUNITY OUTREACH SCHOLARSHIPS UNITED WAY OF DANE COUNTY 2059 ATWOOD AVENUE MADISON WI 53704 390817532 501(C)(3) 30000 0 N/A N/A COMMUNITY OUTREACH ACCESS COMMUNITY HEALTH CENTERS 2901 W BELTINE HWY STE 120 MADISON WI 53713 391391134 501(C)(3) 25000 0 N/A N/A COMMUNITY OUTREACH 3 0 Schedule I, Part I, Line 2, Procedures for monitoring use of grant funds UWCU CONTRIBUTES TO ORGANIZATIONS THAT ARE TAX EXEMPT ORGANIZATIONS. THERE IS NO FORMAL MONITORING OF GRANT FUNDS AS UWCU CONTRIBUTES TO SUPPORT THE GENERAL OPERATIONS OF THESE ORGANIZATIONS. X true true X X X false true false CHRISTOPHER OHLY MORTGAGE LOAN OFFICER 52181 0 146535 0 82 0 13814 0 14498 0 227110 0 0 0 LEE WIERSMA EXEC VP/CHRO 138714 0 34951 0 18106 0 14722 0 19961 0 226454 0 0 0 GREG YELK VICE PRESIDENT OF INFORMATION TECHNOLOGY 165395 0 36663 0 11149 0 16517 0 14510 0 244234 0 0 0 JULIO RIOS ASSOCIATE VICE PRESIDENT OF MORTGAGE LENDING 126009 0 78891 0 4963 0 16783 0 16552 0 243198 0 0 0 RYAN BONEY MORTGAGE LOAN OFFICER 37217 0 108818 0 22 0 6418 0 20497 0 172972 0 0 0 MIKE LONG EXEC VP/CCO 172384 0 55001 0 14335 0 17943 0 16377 0 276040 0 0 0 MAGGIE HERTZ EXEC VP/COO - PARTIAL YEAR 196840 0 65522 0 29148 0 13719 0 13454 0 318683 0 0 0 PAUL KUNDERT PRESIDENT/CEO 839543 0 107233 0 167752 0 79206 0 19552 0 1213286 0 408000 0 LISA GIRDHARRY SENIOR VP & CMO 108968 0 15009 0 32641 0 9871 0 17028 0 183517 0 0 0 ROB VAN NEVEL SENIOR VP & CMSO 134568 0 34271 0 20032 0 11601 0 6391 0 206863 0 0 0 BRAD MCCLAIN EXEC VP/CFO 215638 0 59662 0 25578 0 20207 0 24704 0 345789 0 0 0 ERIC BANGERTER VP OF E-COMMERCE AND INTERNET SERVICES 131006 0 27286 0 5057 0 13276 0 15097 0 191722 0 0 0 DAVID MICKELSON VP OF RETAIL DELIVERY OPERATIONS 110934 0 26509 0 19526 0 12154 0 6473 0 175596 0 0 0 GLEN SPAETH VP & CONTROLLER 114257 0 23482 0 6865 0 10917 0 16124 0 171645 0 0 0 JAMES JOHNSON DIRECTOR OF COMMUNITY AND CAMPUS RELATIONS 116974 0 20902 0 6381 0 10843 0 0 0 155100 0 0 0 TONY KOECK DIRECTOR OF MEMBER SALES AND SERVICE 121642 0 15829 0 4056 0 11067 0 2120 0 154714 0 0 0 Schedule J, Part I, Line 1a, Travel for companions AS PRESCRIBED IN THE BOARD GOVERNANCE POLICY, TO PROVIDE FOR THE DEVELOPMENT OF MEMBER ELECTED BOARD MEMBERS, AND BUILD THEIR KNOWLEDGE TO SERVE EFFECTIVELY, EACH DIRECTOR IS EXPECTED TO SEEK OUT EDUCATIONAL AND DEVELOPMENT CONFERENCES AND OPPORTUNITIES FOR THIS PURPOSE. DIRECTORS ARE ENCOURAGED TO PARTICIPATE IN AT LEAST ONE EDUCATIONAL CONFERENCE EVERY TWO YEARS. CONSISTENT WITH THE GUIDANCE OF THE NATIONAL CREDIT UNION ADMINISTRATION AND TO ENCOURAGE DIRECTORS TO TAKE PERSONAL TIME TO ATTEND EDUCATIONAL AND DEVELOPMENTAL MEETINGS, DIRECTORS AS A COURTESY MAY BE REIMBURSED FOR THE REASONABLE COSTS OF THEIR TRAVEL AND ATTENDANCE INCLUDING A GUEST, WHO MAY ACCOMPANY THEM ON CREDIT UNION RELATED TRAVEL. WHILE THE NATIONAL CREDIT UNION ADMINISTRATION HAS INDICATED IN LETTERS 05-FCU-02 THAT THEY DO NOT CONSIDER GUEST TRAVEL TO BE COMPENSATION TO DIRECTORS, FOR TAX REPORTING PURPOSES THE CREDIT UNION DOES ISSUE FORM 1099-MISC RELATED TO GUEST TRAVEL. FOR 2013, THE TOTAL COMPANION TRAVEL PAID BY UWCU FOR SIX OF THEIR DIRECTORS WAS $6,763. Schedule J, Part I, Line 4b, Supplemental nonqualified retirement plan THE BOARD HAD ESTABLISHED A DEFERRED COMPENSATION PLAN DATED FEBRUARY 26, 2004 (2004 PLAN) FOR THE PRESIDENT AS ALLOWED UNDER INTERNAL REVENUE CODE 457(F). THE PLAN WAS DESIGNED TO COMPENSATE FOR BENEFITS NOT ELIGIBLE UNDER THE 401(K) PLAN AS A RESULT OF LIMITATIONS IMPOSED BY THE IRS ON ALLOWABLE CONTRIBUTIONS, AS WELL AS TO PROVIDE A LONG-TERM INCENTIVE FOR SUSTAINED PERFORMANCE. DEFERRED COMPENSATION EXPENSE UNDER THE 2004 PLAN WAS ACCRUED ANNUALLY, AND FOR 2013 AND 2012 WAS $45,000 AND $65,000, RESPECTIVELY. AS OF AUGUST 25, 2013 THE 2004 PLAN MATURED AND THE ACCUMULATED BALANCE OF THE PLAN TOTALING $548,000 WAS PAID TO THE PRESIDENT. THE BOARD HAS ESTABLISHED A NEW DEFERRED COMPENSATION PLAN DATED JULY 30, 2013 (2013 PLAN). THE 2013 PLAN WAS DESIGNED TO COMPENSATE FOR BENEFITS NOT ELIGIBLE UNDER THE 401(K) PLAN AS A RESULT OF LIMITATIONS IMPOSED BY THE IRS ON ALLOWABLE CONTRIBUTIONS, SOCIAL SECURITY CONTRIBUTION AND RETIREMENT BENEFIT LIMITS, AS WELL AS TO PROVIDE A LONG-TERM INCENTIVE FOR SUSTAINED PERFORMANCE. AT DECEMBER 31, 2013 THE OUTSTANDING LIABILITY UNDER THE PLAN WAS $66,000. CUMULATIVE DEFERRED COMPENSATION PAYABLE TO THE PRESIDENT IS A GENERAL CREDITOR OBLIGATION OF THE CREDIT UNION. FUTURE DISBURSEMENTS (IF ANY) OF THE CUMULATIVE DEFERRED COMPENSATION PAYABLE ARE CONTINGENT ON THE CONDITIONS ESTABLISHED BY THE PLAN. Form 990, Part VI, Sec A, Line 6, Classes of members or stockholders ALL MEMBERS OF THE CREDIT UNION ARE GIVEN ONE VOTE IN ELECTION OF BOARD MEMBERS, OR THE APPROVAL OF SIGNIFICANT DECISIONS, WITHOUT PREFERENCE TO THE AMOUNT OF FUNDS THEY HAVE ON DEPOSIT WITH THE CREDIT UNION. Form 990, Part VI, Sec A, Line 7a, Members or stockholders electing members of governing body THE UNIVERSITY OF WISCONSIN CREDIT UNION IS A MEMBER OWNED COOPERATIVE BUSINESS ORGANIZATION, GOVERNED BY A NINE MEMBER BOARD OF DIRECTORS. THE BOARD IS COMPRISED OF ACTIVE MEMBERS OF THE CREDIT UNION WHO ARE SELECTED BY THE MEMBERSHIP THROUGH A DEMOCRATIC ELECTION PROCESS. Form 990, Part VI, Sec A, Line 7b, Decisions requiring approval by members or stockholders AT ANY MEMBERSHIP MEETING, A MAJORITY OF THE MEMBERS PRESENT MAY DIRECT THE BOARD TO CONSIDER POLICIES PROPOSED BY THE MEMBERS, OR RECONSIDER ANY DECISION OF THE DIRECTORS, OFFICERS, OR COMMITTEES. FURTHERMORE, THE MEMBERS MUST APPROVE OF ANY CONSOLIDATIONS OR MERGERS. Form 990, Part VI, Sec B, Line 11b, Review of form 990 by governing body THE CEO, CFO AND CONTROLLER PERFORM A THOROUGH REVIEW OF THE DRAFT FORM 990 PRIOR TO THE FULL BOARD REVIEW. A DRAFT COPY OF THE FORM 990 IS PROVIDED TO THE AUDIT COMMITTEE AND THE PAID TAX PREPARER PRESENTS EXCERPTS FROM THE RETURN. A FINAL COPY OF THE RETURN IS PROVIDED TO THE FULL BOARD PRIOR TO FILING THE RETURN WITH THE IRS. Form 990, Part VI, Sec B, Line 12c, Conflict of interest policy BOARD MEMBERS, OFFICERS AND EMPLOYEES ARE REQUIRED TO ANNUALLY DISCLOSE ANY CONFLICTS OF INTERESTS THEY MAY HAVE WITH THE ORGANIZATION. THE CHIEF HUMAN RESOURCE OFFICER REVIEWS EACH POLICY STATEMENT SIGNED BY THESE INDIVIDUALS TO DETERMINE IF ANY CONFLICTS HAVE OCCURRED AND NEED TO BE BROUGHT TO THE ATTENTION OF THE BOARD. IF A CONFLICT ARISES, THE RESPECTIVE BOARD MEMBER WILL ABSTAIN HIM/HERSELF FROM ANY RELATED DISCUSSION, VOTE OR SIMILAR ACTION ON THE MATTER. Form 990, Part VI, Sec B, Line 15a, Process to establish compensation of top management official AS PROVIDED BY THE BYLAWS, THE PRESIDENT IS THE CHIEF EXECUTIVE OFFICER AND THE TOP MANAGEMENT OFFICIAL. THE PRESIDENT SERVES AT THE PLEASURE OF THE BOARD OF DIRECTORS. AS PRESCRIBED BY THE BYLAWS THE BOARD OF DIRECTORS SETS THE COMPENSATION OF THE PRESIDENT. THE BOARD HAS EXECUTED A FORMAL EMPLOYMENT AGREEMENT WITH THE PRESIDENT, WHICH PROVIDES THAT EITHER PARTY MAY TERMINATE THE AGREEMENT AT ANY TIME. PER THE TERMS OF THE CONTRACT, THE BOARD SETS THE COMPENSATION OF THE PRESIDENT USING INDEPENDENTLY OBTAINED DATA TO BENCHMARK THE MARKET VALUE OF THE POSITION, WHICH WAS LAST UNDERTAKEN IN 2013. ALL EMPLOYEES OF THE CREDIT UNION, INCLUDING THE PRESIDENT, ARE ELIGIBLE TO RECEIVE A BASE PAY AS WELL AS A VARIABLE PAY BONUS BASED ON THE ATTAINMENT OF ORGANIZATIONAL GOALS, WHICH INCLUDE MEMBER SATISFACTION AND FINANCIAL STEWARDSHIP. THE PRESIDENT RECEIVES THE SAME LIFE, MEDICAL, DISABILITY, AND DENTAL INSURANCE, AND 401(K) BENEFITS THAT ARE AVAILABLE TO ALL FULL-TIME EMPLOYEES OF THE CREDIT UNION. THE PRESIDENT IS PROVIDED WITH OTHER BENEFITS WHICH INCLUDE A SUPPLEMENTAL DISABILITY INSURANCE POLICY, AND IS PROVIDED A COMPANY AUTOMOBILE AVAILABLE FOR PERSONAL USE. THE ANNUAL VALUE OF THESE SUPPLEMENTAL BENEFITS INCLUDED IN SCHEDULE J PART II IS $8,946. THE BOARD OF DIRECTORS' DELIBERATIONS AND DETERMINATIONS REGARDING COMPENSATION ARE RECORDED ON A TIMELY BASIS IN THE MINUTES OF THEIR MEETINGS. FORM 990, PART VI, LINE 15B, PROCESS TO ESTABLISH COMPENSATION - OFFICERS & KEY EMPLOYEES THE CHIEF EXECUTIVE OFFICER OF THE CREDIT UNION APPROVES THE COMPENSATION OF ALL SUBORDINATE OFFICERS OF THE CREDIT UNION. CONSISTENT WITH ALL OTHER CREDIT UNION EMPLOYEE POSITIONS, THE CREDIT UNION FOLLOWS A COMPENSATION SYSTEM THAT ASSIGNS A POSITION GRADE AND SALARY RANGE FOR EACH POSITION. AT LEAST BI-ANNUALLY, INDEPENDENT BENCHMARK DATA FROM AT LEAST TWO SOURCES IS OBTAINED. BASED ON THE MEDIAN OF THE BLENDED BENCHMARKS, POSITIONS ARE ASSIGNED TO A SALARY GRADE. FOR SUBORDINATE OFFICERS, COMPENSATION ADJUSTMENTS CAN BE MADE BY THE CHIEF EXECUTIVE OFFICER BASED ON INDIVIDUAL PERFORMANCE WITHIN THE CONFINES OF THE ESTABLISHED SALARY GRADE. ALL EMPLOYEES OF THE CREDIT UNION, INCLUDING THE OFFICERS SUBORDINATE TO THE CHIEF EXECUTIVE OFFICER, ARE ELIGIBLE TO RECEIVE BASE PAY AS WELL AS A VARIABLE PAY BONUS BASED ON THE ATTAINMENT OF ORGANIZATIONAL GOALS AND INDIVIDUAL PERFORMANCE, WHICH INCLUDE MEMBER SATISFACTION, AND FINANCIAL STEWARDSHIP. THE VARIABLE PAY POTENTIAL BONUS POOL FUNDS ARE APPROVED BY THE BOARD OF DIRECTORS. EMPLOYEES, INCLUDING OFFICERS SUBORDINATE TO THE CHIEF EXECUTIVE OFFICER, PARTICIPATE IN THE BONUS POOL BASED ON THEIR INDIVIDUAL PERFORMANCE AND SALARY GRADE. THE OFFICERS SUBORDINATE TO THE CHIEF EXECUTIVE OFFICER RECEIVE THE SAME LIFE, MEDICAL, AND DENTAL INSURANCE, AND 401(K) BENEFITS THAT ARE AVAILABLE TO ALL FULL-TIME EMPLOYEES OF THE CREDIT UNION. Form 990, Part VI, Sec C, Line 19, Required documents available to the public THE ORGANIZATION'S GOVERNING DOCUMENTS AND FINANCIAL STATEMENTS ARE AVAILABLE ON THE CREDIT UNION'S PUBLIC WEBSITE. THE CONFLICT OF INTEREST POLICY IS AVAILABLE TO EMPLOYEES OF THE CREDIT UNION ON THE INTERNAL INTRANET AND IS REQUIRED TO BE REVIEWED AND SIGNED BY THEM ANNUALLY; THE CONFLICT OF INTEREST POLICY IS NOT AVAILABLE TO THE PUBLIC. FORM 990, PART VII, SECTION A, LINE 1A, COLUMN (D), BOARD COMPENSATION POLICY AS A CONVENIENCE TO UW CREDIT UNION, AND TO MINIMIZE THE CREDIT UNION'S ADMINISTRATIVE BURDEN RELATED TO PROCESSING AND PAYING INCIDENTAL OUT-OF-POCKET EXPENSES SUCH AS TELEPHONE, LOCAL MILEAGE, PARKING, COPYING, POSTAGE, AND SUPPLIES ASSOCIATED WITH DUTIES OF THE BOARD DIRECTOR POSITIONS, THE BOARD HAS IMPLEMENTED A POLICY OF PER DIEM REIMBURSEMENT OF EXPENSE. DIRECTORS ARE REIMBURSED $75 PER MONTH FOR AN ANNUAL TOTAL OF $900 PER DIRECTOR. Form 990 , Part XI, Line 9, Other changes in net assets or fund balances MORTGAGE MARKET HEDGING VALUATION - -1540363; CU CAMPUS RESOURCES LLC 3500 UNIVERSITY AVE MADISON WI 53705 272613828 CUSTOMIZED STUDENT LOAN PROGRAMS WI 1457524 807075 UWCU