SCRANTON, Penn. - Credit unions are mixing technology with manual processes as they work to gradually comply with "Red Flag" rules.

SACRAMENTO, Calif. - The countdown continues toward a Sept. 30 deadline for a data security bill to be signed or vetoed by California Gov. Arnold Schwarzenegger.

DALLAS - An effort to pass data security legislation in Texas died when the 2007 legislative session ended-which is especially problematic in a state whose lawmakers meet every other year. Buddy Gill, chief advocacy officer for the Texas CU League, said this is a "really big, big, big issue," noting a small credit union's entire year could be wrecked if it takes a $20,000 hit from reissuing breached credit cards.

FEDERAL WAY, Wash. - The state house here passed data security legislation last year before getting hung up in the state Senate. Stacy Augustine, SVP for the Washington CU League, said WCUL sponsored the bill and will continue to fight to hold merchants accountable for the costs associated with data breaches.

SEPTEMBER

I was at a meeting last week in Orlando when someone observed that the front page of that morning's USA Today was all about one topic: risk management. There was coverage of the damage from Hurricane Ike competing with coverage of Tropical Storm Credit Market Meltdown. It was hard to decide who was further under water.

The Sept. 15 CU Journal Daily Briefing] article [Losses Mount At NCUSIF]noting the largest single-month loss for our fund has given me and should give all credit union's pause. It is long overdue for a reconsideration of the Regulator/Insurer role being played out by the same people? I have a lack of comfort when I realize that this money is so easily available to wipe out the problems when we are not appraised of the reasoning behind such actions. It is long overdue to demand that an independant, objective third party oversee these fund transfers to ensure that every effort is being made to mitigate these losses to our fund.

Despite the increased media attention and numerous forms of protection out on the marketplace, identity thieves continue to wreak havoc on businesses and their employees and customers. And there are no signs of stopping.

ALEXANDRIA, Va. - NCUA said losses for the National CU Share Insurance Fund continued to grow in July, as the credit union deposit insurance fund reported its biggest single- month loss ever of more than $225 million.

CUES Teams With Strategic Radar

BOSTON - One of 11 individuals charged in the data security breach at TJX Cos. and numerous other retail chains pleaded guilty to his role in the largest ever theft of credit card information.

ALEXANDRIA, Va. - Red ink is forcing more credit unions into the arms of a merger mate, as increasing numbers of troubled credit unions have announced plans to combine in recent weeks.

Ohio Credit Union League, Dublin, announced the retirement of John Rowley.

Hearings

KANSAS CITY, Mo. - Young members of Mazuma CU can win up to $9,000 worth of prizes and have their videos chosen as the credit union's television commercials as part of a contest launched to promote its new social networking site, called WAYA, as in What Are You About?

ANCHORAGE, Alaska - The state's 12 CUs recently were inundated with new deposits, as the state paid its residents $1.6 million worth of annual Permanent Fund Dividends and "resource rebates."

RALEIGH, N.C. - Michelle Hunt, a member of Local Government Employees FCU won $1,000 from her CU just for swiping her debit card in the CU's "Swipestakes."

WESTLAND, Mich. - Drivers waited patiently in line at a local Mobil station and a BP station in Dearborn to fill up their tanks at a 25-cents-a-gallon discount, courtesy of Livonia-based CO-OP Services CU.

The Long Beach Press Telegram detailed a checking program from First City Credit Union that has raised more than $26,000 for three local charities. The newspaper offered coverage of First City's Reality Check program, which pays $25 to each new member who opens a new checking account and another $25 to the member's choice of three charities. The Dallas Morning News followed up an earlier report in the Wall Street Journal headlined, Mortgage-Market Trouble Reaches Big Credit Unions" by localizing the story and stating in a financial column, "Stay calm. There's no imminent collapse of credit unions, and your insured deposits are fully backed by the federal government." The story noted most consumers were unfamiliar with the corporate CUs that were featured in the Journal report, and provided some background. NCUA's John McKechnie was quoted as saying the corporates' issues are "ripples in the water." The story went on to report on the condition of local Southwest Corporate FCU, with input from CEO John P. Cassidy.(c) 2008 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved.http://www.cujournal.com/ http://www.sourcemedia.com/

HAMPDEN, Maine - The small, single-sponsor credit union advantage is a close relationship with its members. The challenge is maintaining that edge after a field of membership expansion.