Following a vigorous discussion about whether state-chartered credit unions should be given the option of compensating board members, the MCUL & Affiliates board voted against moving forward with the proposed amendment at this time.
MCUL is currently working with the state Legislature on amending the Michigan Credit Union Act. A working group of Michigan credit union leaders recommended more than 50 changes for the proposed update. The board approved all but the board compensation recommendation at its last meeting.
MCUL EVP/COO Ken Ross said that about a dozen states allow credit union board member compensation in one form or another. He said that the issue was not only robustly debated at the MCUL board meeting, but that it was a hot topic for discussion at each of the first quarter chapter meetings that he and MCUL President/CEO David Adams attended. While a number of board members were supportive of continuing to make the state charter as progressive as possible and agreed with the value of removing artificial barriers to flexibility in the law, ultimately the timing was not right for such a change in 2015.
And while the board discussion reflected the general discomfort with moving forward with the issue at this time, there was recognition that there was a diversity of opinion on the matter within the Michigan credit union community. As evidenced by discussions at chapter meetings around the state in 2015, this issue was successful in spurring spirited discussions on both sides of the debate, which are certain to continue on into the future.