Compensation for Vantage West Officials

At our 2017 Annual Membership Meeting, we discussed the topic of compensation for Vantage West Officials and it was opened to the floor for Member questions and comments.

Following a productive dialogue, Members voted to ratify a proposed bylaw amendment related to this topic. 

What Happens Next?

While ratification of the bylaw amendment aligns our bylaws with recently-updated state law and allows a compensation policy to be implemented, this step by itself did not implement the policy.

The board is now completing its due diligence analysis on the topic. A third-party vendor was hired to conduct broad research and a committee was commissioned to provide recommendations on compensation amounts. Upon conclusion of the due diligence process, Members may be asked to vote on a compensation policy for implementation.

Vantage West will keep Members up-to-date as progress is made toward this potential vote of the Membership. In the meantime, Members are invited to submit feedback on the topic.

 

 
 
About Compensation for Officials:
 
Historically, most credit union Directors and Supervisory Committee members have served as unpaid volunteers. Credit unions like Vantage West are unique in that they are not-for-profit financial cooperatives owned by their Members and governed by a Board of Directors that is elected by and from the membership.
 
However, compensation for credit union officials has long been a topic of conversation, particularly following financial industry events of the past decade in which credit union industry leadership has faced increasingly greater expectations.
 
Such expectations are accompanied by increased responsibility, fiduciary duties, time, dedication, experience and expertise, and more. What has not changed is the board’s primary fiduciary responsibility of protecting the Members’ interest.
 
For this reason (in light of the growing demands placed upon credit union officials), Arizona recently joined a growing number of states offering credit unions the option of compensating their officials (Board and Supervisory Committee Members).
 
Below is information and Frequently Asked Questions about credit union official compensation. We also encourage you to continue submitting your questions, comments and feedback for consideration during the due diligence analysis.