HONOLULU–The National Federation of Community Development Credit Unions (NFCDCU) last week announced plans to raise an additional $25 million for its capitalization program, which would bring the total funds available to $55 million if it meets the goal. The Federation hopes to raise the money over the next two years, and is already $6 million toward the goal following several grants from sources such as the Ford Foundation and TD Bank. The money will go toward local credit unions and can be used for a number of initiatives, including as non-member deposits, secondary capital, for the CDCU Mortgage Center and more. NFCDCU Executive Director Cliff Rosenthal said $500,000 will be used to assist low-income individuals who have disabilities that can be at least partially alleviated through technology and other assistance. Rosenthal spoke with the Credit Union Journal during NAFCU's annual meeting, at which NFCDCU also unveiled a new blue-and-green logo that employs a stylized bridge, and a program called CU Breakthrough, aimed at leveraging the expertise and experience of credit unions with a history serving low-income communities by sharing that expertise with credit unions that have expanded to such FOMs.

HONOLULU–After outlining a series of global changes that are a threat to the business models of most industries, former Labor Secretary Robert Reich told credit unions there is hope for them. In remarks before NAFCU’s annual meeting here, Reich touched on issues ranging from the pending fiscal problems of Medicare to immigration to globalization. While he noted that competition to both credit unions and banks will only increase, he said credit unions have one advantage others don’t–America’s middle class is looking for them. “The competitive advantage you have is relational capital,” said Reich. “By that I mean you develop relations with your members, you are run by your members, and many of you are critical parts of your communities. Relational capital in highly technological economies creates a bond that is a long term competitive advantage. Many of our large banks don’t have it at all.”

PHILADELPHIA–In May, Philadelphia Federal Credit Union employees began the PFCU Garden, a team-building exercise that would also help give back to the community. At PFCU’s Operations Center, employees staked out parcels of land for each department to plant its garden. After careful preparation and tilling of the parcels, employees chose fruits, vegetables and herbs to plant and tended to them over the next two months. Now, in mid-July, PFCU is reaping a harvest that exceeded expectations. “It was an incredible crop considering the rocky soil we were dealing with,” said PFCU President/CEO Jim McAneney. “It’s great to have such a project that benefits both our employees and the community.” PFCU employees are purchasing the harvest by making monetary donations that are collected and given to Aid For Friends Frail Elderly Outreach Center. The CU said Aid For Friends serves needy, isolated shut-ins, primarily the frail elderly, in the Greater Philadelphia area, with free daily home-cooked meals delivered weekly by empathetic volunteer visitors, and also to provide shut-ins with free outreach services.

PHOENIX–Arizona Federal Credit Union and The Valley of the Sun YMCA said the two parties have agreed to an exclusive partnership which will bring financial education and services to the Valley of the Sun YMCAs. Currently, the Valley of the Sun YMCA operates 16 locations across metropolitan Phoenix, while Arizona Federal has 23 Phoenix area branches. They said the partnership’s mission is to fill the need for affordable financial services and financial education, delivered directly to the heart of the communities served. Under the terms of the agreement, the first Arizona Federal YMCA Branch will open inside a currently under-construction YMCA Branch in early 2008.

SAN JOSE, Calif.–Tech CU has a campaign aimed at encouraging individuals to give back to their community. Called the “Community Change Project: What Would You Change with $1,000?” it is centered on a contest that is being run through the $1.3-billion CU's new blog site at http://www.techcublog.com. Individuals are invited to submit their ideas for a deserving charity or a community project aimed at creating social or environmental change in the Bay Area through Aug. 31. A short summary of all project submissions will be posted on the Tech CU blog where visitors can review, comment and vote on each submission through Sept. 7. The top five vote winners will be featured during the week of Sept. 10. Tech CU will then select and announce the Grand Prize Winner on Sept. 19 and sponsor that project with a $1,000 cash grant. Tech CU isn’t the first to try to create an environment that promotes social change. Vancity Savings CU in Vancouver, B.C., has its own “Change Everything” program. Read more about it by typing “Vancity Creates A ‘Thriving E-Community’” in the archive here at www.cujournal.com .

WASHINGTON–The American Bankers Association sounds almost credit union-like in explaining why it excludes credit unions from its meetings: the trade group just wants to serve its members. “This was at the request of our members,” ABA Spokesperson John Hall told the CU Journal. “Some community bankers were uncomfortable that their trade association was educating a group of competitors that already has an unfair advantage. That's not what their dues dollars should be paying for.” The Journal contacted the ABA about the “exclusion policy” after NAFCU put out a statement chastising the ABA for the policy and calling for more openness among the financial service providers and the groups that serve them (CUJ Daily Briefing, July 17). In response, Hall said, “We’re flattered that they see the value in our educational offerings.”

HIGHTSTOWN, N.J.–A group of credit unionists in New Jersey are working with the state banking department and a local community action group to charter New Jersey’s first new credit union in more than a decade. According to NJCUL Vice President James Merrill, Tri-County County Community Action Partnership of Bridgeton, N.J., approached the league seeking assistance. Tri-County is a non-profit group with the mission of providing services that improve the quality of life and promote self-sufficiency to residents of Gloucester, Salem and Cumberland counties. According to Tri-County CEO Albert Kelly, the group was interested in chartering a community development credit union in order to offer financial services to recipients of Tri-County programs. Among the issues discussed in the three-way talks were the chartering process and topics relating to starting a new credit union. Also participating in the discussion were New Jersey Department of Banking staff Dave Weikert, Thomas Hunt, Bill Blunt and John Pavlovsky. Other participants from Tri-County were CFO Edward Bethea, Freda Jones and Tim Behr.

MIDDLETOWN, Pa.–Edward J. Fox, CEO of Mid-Atlantic Corporate Federal Credit Union, on Wednesday announced plans to retire in July 2008, a date designed to coincide with his 65th birthday. Fox, who will than have been at Mid-Atlantic Corporate for 19 years, will be succeeded by senior staff member Jay R. Murray, who has served the credit union for more than 10 years. During his tenure, Fox has overseen the introduction and expansion of Mid-Atlantic Corporate's payments service offerings, including share draft processing, ACH services and the launch of the highly successful electronic bill payment CUSO, MY CU Services. Fox joined Mid-Atlantic Corporate in 1989 after nine years as financial services officer at the Federal Reserve Bank of Philadelphia. Before the Fed, Fox was an assistant vice president at Philadelphia’s First Pennsylvania Bank, now Wachovia.

WASHINGTON—Federal Reserve Chairman Ben Bernanke, in his semi-annual Monetary Policy Report to Congress, discussed some of the ways the Fed intends to tackle several economic issues, including housing and mortgage lending issues and inflation. In addition to looking at increased disclosures as part of the Truth In Lending Act, Bernanke said the Fed is working with the Office of Thrift Supervision, the Federal trade Commission, state regulators and others As a result of that review and following discussions with the Office of Thrift Supervision, the Federal Trade Commission, and state regulators and others to launch a cooperative pilot project aimed at expanding consumer protection compliance reviews at selected nondepository lenders with subprime mortgage operations. The reviews are slated to begin in the fourth quarter of this year. Bernanke testified before the House Financial Services Committee Wednesday and will make his report to the Senate Banking Committee today.

WASHINGTON—The House Financial Services Committee will hold a hearing on the Home Mortgage Disclosure Act July 25. Mortgages and housing, in light of ongoing softening of the real estate market combined with a bevy of adjustable rate mortgages shifting up to higher rates, have been hot issues on Capitol Hill, where the same committee is holding a hearing today on The National Affordable Housing Trust Fund Act.

HONOLULU–The nation’s credit unions, especially defense credit unions, are eagerly awaiting a final rule setting new predatory lending rules for military personnel. The proposed rule is aimed at high-rate lenders, such as payday loan companies, check-cashers and title lenders, and would have limited impact on credit unions by setting a maximum allowable 36% annual percentage rate—including all fees—charged military personnel and their dependents for payday loans, auto title loans and refund anticipation loans. But credit union officials are holding their breath as the Department of Defense completes its final rule, due by Sept. 1. “I won’t rest until one (Sept. 1),” said Roland “Arty” Arteaga, director of the Defense CU Council, during NAFCU’s annual convention here.

MASON CITY, Iowa—Mercy-City-Lehigh Credit Union is offering $5,000 to anyone who can provide the tip that will lead to the arrest and conviction of the man who robbed the CU July 14. John Sherrick, the credit union’s CEO, said he wants the robber caught—but he also wants to send a message. “It seems like Mason City gets hit pretty hard with robberies. It’s hurting the city,” he said. “The police are working hard and I appreciate that. But this kind of thing just has to stop. We want to do our part.” The robbery occurred at about 10:30 a.m. Saturday. No one was injured. The gunman is described as being white and about 6 feet, 2 inches tall. He had a hand gun, according to employees. The holdup is the sixth in Mason City in 2007, according to a local newspaper.

CENTENNIAL, Colo.–Metrum Community Credit Union is offering its members a free gas card on any new or used auto loan for vehicles that get 27 highway miles per gallon or better. The offer is good for approved loan applications received by August 31, with a $5,000 minimum loan amount. The gas card amount is $7 of gas per $1,000 of the approved loan. Therefore, a member with a $20,000 auto loan will receive $140 in free gas. “It’s the credit union’s way of encouraging people to help the environment, and to ease the burden of high gas prices for our members,” Steve Kelly, Metrum Community CU president, said in a press release.

CARLSBAD, Calif.–A man wearing a white T-shirt and blue denim shorts robbed a credit union here Monday morning and fled with an undetermined amount of cash, police said. Officers responded to a robbery alarm that had been activated at Mission Federal Credit Union in the 2700 block of Jefferson Street, Cpl. P. Reyes said. According to police, the suspect entered the bank and approached a teller, saying to her that a robbery was taking place and he demanded money. The teller complied and the suspect fled the area on foot, where he was last seen running northbound on Jefferson Street, Reyes said. No weapons or note was seen, Reyes said. Officers searched the area but did not find the man, he said. The suspect is described as a 45- to 50-year-old white man that stands 6 feet tall and weighs about 250 pounds. The FBI also responded and is investigating, Reyes said.

MARION, Ind.–A Superior Court judge has sentenced an Indianapolis man to 70 years in prison for robbing FORUM CU in Lawrence, Ind. William A. Beeler, 45, was convicted late last month on charges of armed robbery and five counts of criminal confinement. He maintains his innocence, but a jury found him guilty of stealing more than $210,000 from the credit union a little over a year ago. During the robbery, Beeler forced the CU manager to duct-tape the hands and mouths of a member and a teller. In handing down the sentence, Judge Sheila A. Carlisle cited the fact Beeler previously was convicted of armed robbery in 1985 in Illinois, which allowed the judge to tack 20 years on to the sentence due to his “habitual offender” status. Without a prior conviction, Beeler’s sentence would have been limited to 30 years total, instead of 20 years maximum for each count. Beeler has a second case pending in which he faces similar charges in a heist at a motel that occurred less than a week prior to the robbery at FORUM.

ELMIRA, N.Y.–Finger Lakes Health Care FCU here has become the collection point for funds offered as a reward to anyone providing information that would help identify who killed a mother duck here. To date, $625 has been collected to help find two teenage boys who are alleged to have stoned the mother duck to death. The killing of the mother duck left six orphaned ducklings at a small pond here; they are being attended to by state environmental officials and others.

ANN ARBOR, Mich.–A former Huron River Area Credit Union manager has pleaded no contest to embezzling less than $50,000 from the credit union. Jason Stewart Dodge also pleaded no contest Friday to two counts of identity theft, according to local news reports. Prosecutors reportedly agreed to recommend no more than one year in the Livingston County Jail when Dodge is sentenced Oct. 4. However, Circuit Judge Stanley J. Latreille could sentence Dodge up to 10 years in prison. Brighton police began investigating allegations against Dodge in March, serving a search warrant on the 31-year-old's home in Plymouth, where personal bank records were seized. Police said Dodge stole about $90,000 from the Brighton credit union.

WILMINGTON, N.C.—Credit Union consulting firm Glatt Consulting, LLC said it has launched an industry-wide challenge to find the top-performing CU leaders and to research the state of leadership in the credit union community. The competition will run from July 17 until October 1 and is open to any credit union executive who manages a staff of one or more individuals. The top four performers in the competition will be rewarded with an all-expenses-paid trip to Wrightsville Beach, NC. A book detailing the results of the Challenge will also be published. “The credit union movement has never been more challenged. At the same time, however, the movement has never seen such a vast sea of opportunity,” Glatt Consulting, LLC Executive Consultant Tom Glatt, Jr., said in a press release. “The key to whether the movement meets the challenges at hand, and successfully capitalizes on available opportunities, is the quality and depth of credit union leaders. Industry leaders, specifically meaning those individuals who run credit unions and credit union departments, will make or break the industry within the next 10 years.”

WASHINGTON–To show its support for women in the federal government, FedChoice Federal Credit Union is partnering with Federally Employed Women (FEW). FEW is a membership organization working for the elimination of sexual harassment and the advancement of women in the federal government. It encourages diversity and equity in the workplace, enhances career opportunities for women, advocates the fair application of EEO and personnel laws, policies, procedures and practices, and seeks to improve the quality of life for women by influencing Congressional and Administration actions. Through the partnership, FedChoice will provide a $500 contribution to FEW, to be divided into two gifts, create a special checking account that when opened by an FEW member will contribute $1 to the FEW Foundation; provide seminars for FEW members that will offer information on topics such as financial planning and retirement, identity theft, credit scoring, and home financing; and sponsor a booth during the national FEW training meeting.

WASHINGTON–Washington CU League President and CEO John Annaloro presented a $5.2 million check last week, representing America’s Credit Unions’ commitment to produce the first two seasons of “JA’s Biz Kid$,” a new youth financial education series on PBS television. This check was the largest philanthropic gift ever presented on stage in the 88-year history of Junior Achievement (JA) Worldwide, during the organization’s leadership conference here. The first full season of JA’s Biz Kid$ is expected to begin airing on PBS TV stations during the fall of 2007. State credit union foundations and leagues are working with JA to package curriculum from the TV series that credit union volunteers will be able to use to provide multimedia youth financial education in classrooms. Support from the CU movement also has fostered the creation of a new interactive youth website–www.bizkids.com–where aspiring entrepreneurs can learn how to make money, manage money, and pitch their business ideas to become “Biz Kids.” Credit union supporters can contribute to JA's Biz Kid$ by going to the Washington CU League’s members site at www.waleague.org and clicking Biz Kid$.