2013-08-15T17:09:23-07:00 2012-12-31 990 2012-01-01 916035907 QUALSTAR CREDIT UNION QUAL 8008480018 PO BOX 96730 BELLEVUE WA 980097730 Michael Elfstrom 8008480018 2013-08-15 2012 2016-02-24 21:20:13Z QUALSTAR CREDIT UNION PO BOX 96730 BELLEVUE WA 980097730 21689159 0 1269 X www.qualstarcu.com X 1952 WA WE ARE A CREDIT UNION PROVIDING FINANCIAL PRODUCTS & SERVICES TO MEMBERS 9 9 120 16 85183 -33797 0 0 20355245 20598951 1254175 1090208 0 0 21609420 21689159 0 0 0 0 5834528 6245264 0 0 0 13227596 11392431 19062124 17637695 2547296 4051464 316715485 327726412 280907787 287873584 35807698 39852828 PROVIDE FINANCIAL PRODUCTS & SERVICES 0 0 0 0 0 Interest expense in the amount of $2,642,006 was paid to members for money on deposit at the credit union. Deposit accounts earning interest included checking, savings, money market, IRA, and Certificate of Deposit accounts. The credit union has about 69,000 deposit accounts that can earn interest. 0 0 0 The credit union expenses $1,730,594 in provision for loan loss costs for the year. The expense was to fund the accrual for doubtful loans on the balance sheet. The credit union has about 19,000 open loan accounts. 0 0 0 The credit union paid $259,390 during the year to insure member deposit accounts held at the credit union. Accounts on deposit at the credit union are insured up to $250,000 with the NCUA. 0 0 0 0 0 0 0 0 0 0 0 1 0 1 1 0 0 1 0 0 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 11723 0 1 120 1 1 1 0 0 0 0 0 X 9 9 0 0 0 0 1 1 0 1 1 0 0 0 1 1 1 1 1 1 0 0 X QUALSTAR CREDIT UNION 8008480018 2121 152nd AVE NE REDMOND WA 98052 GENE VIA 3 0 X X 755 0 0 KIM BROWN 3 0 X 0 0 0 ED STREULI 3 0 X 0 0 0 CHARLIE ANDREWS 3 0 X 0 0 0 BILL ROCHESTER 3 0 X X 1775 0 0 NOEL MCMURTRAY 3 0 X 665 0 0 LAWRENCE BINDNER JR 3 0 X 0 0 0 RICHARD URNESS 4 0 X X 0 0 0 FRANK LATAWIEC 3 0 X 0 0 0 MARK R NELSON 40 0 X 240639 0 32697 MICHAEL G ELFSTROM 40 0 X 135675 0 20791 ROBERT ARBUCKLE 40 0 X 123087 0 20721 KARA TAYLOR 40 0 X 111634 0 9919 614230 0 84128 4 0 1 0 JHA Payment Processing Solutions PO Box 91101 Seattle WA 98111 Payment card and ATM processing 447235 Kaye Smith Business Graphics 4101 Oakdale Ave SW Renton WA 98057 Printing and statement production/mailing 420705 FINANCIAL SERVICE CENTERS COOPERATIVE INC 2855 E Guasti Road Suite 202 ONTARIO CA 91761 SHARED BRANCHING NETWORK PROVIDER 362706 Jack Henry & Associates (Symitar) 8985 Balboa Ave San Diego CA 92123 Core processing for credit unions 336610 VISA PO Box 8999 San Francisco CA 94128 Credit card processor 226041 8 0 Interest on Loans 522130 11250308 11250308 0 0 Fee Income 522130 4070983 4062680 8303 0 Other Operating Income 522130 5277660 5200780 76880 0 0 0 0 0 20598951 1065121 0 0 1065121 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 25087 0 0 0 25087 25087 0 0 25087 0 21689159 20513768 85183 1090208 0 0 0 0 502596 0 4125413 554430 687298 375527 0 76136 58000 0 0 0 1738732 529595 1866474 302818 0 491925 0 57061 94749 2699840 0 861678 165464 Loan Servicing 362871 Provision for Loan Losses 1730594 Member Share Insurance 259390 Miscellaneous 97104 17637695 0 0 0 978746 1039369 21105219 27253788 0 0 4464316 3316975 0 977001 0 0 179120307 176688358 0 0 1417595 838483 9913815 8158625 2244296 1755190 0 0 100999064 110265532 0 0 0 0 6385942 5591716 316715485 327726412 3399672 8533131 0 0 0 0 0 0 289100 291575 0 0 3000000 0 0 0 274219015 279048878 280907787 287873584 X 0 0 0 0 35807698 39852828 35807698 39852828 316715485 327726412 4051464 -6334 0 0 0 0 X 0 0 0 0 1 X 0 399359 399359 0 2585998 1473173 1112825 0 2191318 2191299 19 0 1902633 1871508 31125 0 2834507 2622645 211862 1755190 0 0 Federal Agency Notes AFS 6360718 F CDs at Banks and Credit Unions 103657050 C The Co-op 222764 C CUDL 25000 C 110265532 1383 Member share deposits 279047495 279048878 SchD_P04_S00_L02b Schedule D, Part IV, Line 2b The escrow account is for property taxes collected from members who originated their mortgage loans at Qualstar Credit Union. X X 1 1 X X 0 0 0 MARK R NELSON 205850 0 34789 0 7333 0 0 0 25364 0 273336 0 0 0 MICHAEL G ELFSTROM 118035 0 17640 0 0 0 0 0 20791 0 156466 0 0 0 SchJ_P01_S00_L01a Schedule J, Part I, Line 1a The mode of travel and class of service, i.e. Coach, First Class, Inside or Outside Cabins, will be based on the budget allocation for such travel. The volunteers will be authorized with companion travel as approved by the NCUA and the WA DFI and will be in compliance with all laws and regulations. The value of the companion's travel will be reported to the IRS on a Form 1099-MISC if the amount of the travel is over $600. MARK R NELSON CURRENT OFFICER FUND LIFE INSURANCE PURCHASE X 977001 977001 0 1 1 977001 SchL_P02_S00_L00 Schedule L, Part II Copy of the QUALSTAR CREDIT UNION SECURED SPLIT-DOLLAR AGREEMENT is available upon request: QUALSTAR CREDIT UNION and MARK NELSON are parties to the Secured Split-Dollar Agreement dated March 1, 2012 (the "Agreement"). This Amendment No. 1 is effective October 1, 2012. 1. The following is added to the end of Section 7.2.3. If forfeiture of the Executive's borrowing rights under Section 4.2 is for voluntary separation from service before the 10th anniversary of the Accumulation Policy's issue date, this Agreement will terminate as of the first day after the separation from service that the sum of the Funding Account balances and the cash surrender value of the Policies equals or exceeds the Outstanding Balance and the Credit Union recovers the Outstanding Balance. Notwithstanding Sections 3.1.4 and 5.2, if the Executive dies after such separation from service but before the Credit Union receives the Outstanding Balance, any remaining Funding Account balances and all death proceeds of the Policies belong, and will be paid, to the Credit Union. 2. Except as modified above, the Agreement remains in full force and effect. F990_P06_S0A_L06 Form 990, Part VI, Section A, Line 6 Each person seeking membership must be qualified for membership and must submit an application to the credit union. Each application shall be acted upon by the Board or, if the Board so chooses, membership representatives may be trained and authorized to approve applications. The applicant shall become a member when such application has been approved by the Board, or if applicable, the membership representatives and upon his/her subscription to at least one credit union product, or deposit, or loan account. F990_P06_S0A_L07a Form 990, Part VI, Section A, Line 7a A Nominating Committee, made up of not fewer than three members, nominates at least one member for each Board vacancy. The Board secretary shall notify in writing all members eligible to vote at least 75 days prior to the annual meeting and that nominations for vacancy may also be made by petition signed by one percent of the members with a minimum of 20 and a maximum of 500. The written notice shall indicate that the election will not be conducted by ballot and there will be no nomination from the floor when there is only one nominee for each position to be filled. All elections shall be determined by plurality of vote and shall be by ballot except where there is only one nominee for each position to be filled. F990_P06_S0B_L11b Form 990, Part VI, Section B, Line 11b The Form 990 was prepared by the VP of Finance and reviewed by the CFO prior to submission to the IRS. Both the VP of Finance and CFO are Certified Public Accountants. F990_P06_S0B_L12c Form 990, Part VI, Section B, Line 12c Disclosure is required of all potential conflicts of interest, either business or personal relationships with employees, members, vendors, business associates, or competitors of the credit union. The credit union will also retain on file all written reports of any disclosures made regarding the Credit Union's Code of Conduct. Employees, officers, and Directors of the credit union are required to acknowledge that they have read and understand the Code of Conduct and any subsequent modifications, and that they agree to comply with this policy. Employees and officers are required to disclose this information annually. F990_P06_S0B_L15 Form 990, Part VI, Section B, Line 15 The organization uses a Compensation Committee to establish the CEO's compensation. The committee also uses an independent compensation consultant, written employment contract, and compensation survey or study. F990_P06_S0C_L19 Form 990, Part VI, Section C, Line 19 This information would be available upon request. Obtaining additional information on split dollar life plan for CU President