Skip to main content

Annual Report

2021 Message to the Membership

2020 was a challenging year for us all. As a not-forprofit financial institution, we’re pleased to report that we remain safe and sound, well capitalized and a preferred alternative to big banks. We worked hard to provide more value to enhance our member-owners’ lives, especially those impacted by COVID-19. We were “Big Enough to Serve - in a year that we will never forget - but Small Enough to Care”. We hope you stayed well, and our hearts go out to those we lost.

This year we prioritized keeping people safe and continued to provide essential financial services to our members throughout the pandemic. We were able to keep most branches open, as well as expand digital and phone access. We offered swift loan payment deferrals to members who had reduced income, lost their jobs or had their businesses closed. We made emergency loans and also waived numerous fees to make life more affordable. A big thanks goes out to our staff - frontline heroes - who showed compassion, helped to create normalcy and adapted through flexibility in service delivery as well as remote capabilities.

In 2020, we made a record breaking $120M in loans, to help members reduce the cost of debt and finance important purchases to enhance their lives. Mortgage refinances were at an alltime high because rates were so historically low. We were proud to be able to participate in the SBA Paycheck Protection Loan Program (PPP) that provided forgivable money to help businesses survive the shut downs and keep employees paid. Regular savings ensures that members have a safety net for unexpected emergencies or the funds to reach a goal. Shares grew by an unprecedented $64M, almost 16%, and total assets reached almost $474M. Although market rates remain low, we continue to offer some of the best rates available, including our reverse-tier $mart Start Money Market that still earns up to 3% APY. We also welcomed thousands of new members and opened many checking/ mobile apps and digital service relationships that increased convenience and saved members thousands in fees.

In 2021, low loan rates provide an on-going opportunity to save by refinancing. If you are a business owner, PPP Loans are available again, and we can help. Through our dedication to People Helping People, we will continue to support our members through difficult times and reach out to offer affordable credit union services to more members. For your convenience, we will continue to improve our on-line digital banking capabilities, and are planning to add a new branch or two in the next few years. We also look for ways to expand our involvement in the communities we serve to ensure everyone has access to the value provided through credit unions. As a financial cooperative, we put you first and welcome everyone in the communities we serve. Your satisfaction is our number one priority; we pledge to bring you more value, and we strive to deliver it with the personal service you deserve. Thank you for your business and your referrals.

photo of Carol Hauck

Carol M. Hauck
President & Chief Executive Officer

photo of Brian Doyle

Brian W. Doyle
Board Chairman

Audit Committee Report

The responsibility of the Audit Committee is to ensure the sound operation of First U.S.

In 2020, the Audit Committee engaged the accounting firm RSM US, LLP to conduct the annual certified audit. First U.S. continues to be well managed, financially sound and in compliance with generally accepted accounting principles.

Due to the diligence of officials, management and staff, the credit union remains in excellent condition, having met all regulatory requirements.

We encourage our members to be involved by offering suggestions and comments so that we can continue to improve our service to you. Your support and confidence in 2020 are appreciated, and we look forward to ongoing success in 2021.

Audit Committee of the Board of Directors

James Gomes, Chairman
Karen McDougal
Stephen Serfozo
Charles B. Johnson, Jr., Member Emeritus

photo of Jamie Gomes

James Gomes
Audit Committee Chairman

Statement of Condition

Year Ended December 31, 2020

Assets 2020 2019
Loans to Members 263,790,529 251,955,349
Less Allowance (2,264,146) (1,831,663)
Cash 1,741,880 1,988,393
Investments 175,667,054 128,324,501
Fixed Assets 3,275,295 3,497,116
Other Assets 31,632,250 25,473,322
Total Assets $473,842,862 $409,407,018
Liabilities and Equity 2020 2019
Other Liabilities 7,927,760 2,851,638
Accrued Dividends 128,242 178,209
Total Shares 412,454,431 357,383,267
Regular Reserves 6,496,396 6,496,396
Equity Acquired in Merger 6,646,733 6,646,733
Gain (Loss) on Securities 1,248,366 539,935
Undivided Earnings 38,940,934 35,310,840
Total Liabilities & Equity $473,842,862 $409,407,018

Statement of Income

Year Ended December 31, 2020

Income 2020 2019
Interest on Loans 11,525,907 10,903,943
Income from Investments 2,197,492 2,707,423
Other Operating Income 3,103,335 3,155,203
Total Revenue $16,826,734 $16,766,569
Expenses 2020 2019
Employee Comp./Benefits 5,921,629 5,768,596
Travel & Conferences 87,763 166,429
Association Dues 49,353 45,259
Office Occupancy 620,672 591,184
Office Operations 2,249,929 2,010,498
Advertising & Promotions 322,244 382,533
Loan Servicing 815,052 730,350
Professional & Outside Services 458,578 535,301
Provision for Loan Losses 923,740 1,197,738
Other Operating Expenses 94,341 90,289
Total Operating Expenses $11,543,301 $11,518,177
Totals 2020 2019
Net Income Before Dividends 5,283,433 5,248,392
Less Dividend on Shares 1,804,915 1,818,799
Net After Dividends $3,478,518 $3,429,593
Non-Operating Income 2020 2019
NCUSIF/Corporate Stabilization 0 0
Gain (Loss) on Assets & Investments 151,577 (32)
Gain (Loss) Sale of Real Estate 0 1,551
Non-Operating Income (Expense) 0 44,877
Net Income $3,630,095 $3,475,989