State Employees' Credit Union

“The board may appoint an executive committee of not fewer than three directors to act for it, with respect to specifically delegated functions and subject to such limitations as prescribed by the board.”

“Secu is a non-profit financial cooperative owned by and operated for the benefit of its 2,600,000 members. Membership in the credit union is restricted principally to employees of the state of north carolina and their families. Each member-owner has one vote which is exercised to elect volunteer directors. Volunteers set the policies for the operation of the credit union. The members of the board of directors, loan review committees, advisory boards, and other committees play major roles in directing and monitoring the affairs of the credit union. The members by a majority vote of all the shareholders shall have the power to review the acts and reverse the decisions of the board of directors of this credit union.”

“Secu member/owners elect the board of directors. Each member of the organization is entitled to one vote. Eleven board members serve three year staggered terms. Elections for open seats are held each year during the annual members' meeting.”

“Secu members have the right to vote on the merger of the organization into another financial institution, dissolution of the credit union, conversion from a state to a federally chartered credit union or the conversion to another type of financial institution.”

“The return is completed by the finance and accounting department staff of the organization and reviewed by the chief financial officer and the president before filing. A copy of the 990 form is made available to the board of directors after it is filed.”

“Each employee of the organization must acknowledge having read the code of ethics annually. The organization provides a toll free, anonymous honor line through an outside, independent vendor. Employees are encouraged to report all violations of the ethics, operations, lending, and personnel policies. All information received through the honor line is forwarded to audit services and human resources departments for review and action. Details of all reported incidents and resolutions are shared with senior management and the board of directors on a monthly basis. All reports are investigated thoroughly and resolved in a timely manner.”

“The board of directors sets the salary and benefits of the president. A formal annual review of the performance of the president is conducted by the board of directors. In addition, a compensation committee, comprised of members of the board of directors, utilizes surveys and market comparisons of peer credit unions and other financial institutions to benchmark the compensation package of the president. These surveys are independently obtained from compensation consultants contracted by the secu hr department. The board of directors reviews the compensation surveys, recommendations of the compensation committee, the performance of the president and the credit union, and sets the salary and benefits level of the president. Discussion, deliberation and decisions of the board and compensation committee are documented and maintained in the meeting minutes. Periodic salary surveys and benchmarking are likewise obtained for all staff and management positions of the organization. There is no incentive or commission based compensation for any employee. All employees receive a salary.”

“The governing documents and conflict of interest policy of the organization are made available upon request. A summary of the financial statements are made available monthly on the organization's website, along with periodic updates of the financial condition of the organization. The annual report to the membership and the complete audited financial statements with footnotes are available on the organization's website with paper copies available on request.”

“Unamortized gain on postretirement accounts 1,322,643.”

“The organization did not change its oversight or selection process during the tax year.”