Yesterday, the League of Southeastern Credit Unions (LSCU) held its Annual Business Meeting in Orlando, Fla., at which the membership voted to approve the proposed consolidation with the Georgia Credit Union League (GCUL). Earlier this month, the GCUL member credit unions voted via mail ballot to approve consolidating into the LSCU.
These membership votes bring the two organizations one step closer to merging under the name of the League of Southeastern Credit Unions & Affiliates (LSCU), offering an expanded portfolio of products and services to 342 credit unions in Alabama, Florida, and Georgia.
The combined organization will offer enhanced value to credit unions across the new three-state footprint. Upon closing, Mike Mercer, President/CEO of the GCUA, will lead the league/association services side of the organization. Patrick La Pine, President/CEO of LSCU & Affiliates, will head up business services as the CEO of a new holding company, Affiliated Consolidated Services (ACS). ACS will include LEVERAGE, the LSCU service corporation, and business services currently offered through the Georgia Credit Union Service Corporation and CSI. He will also oversee all shared services (back office) functions for the reconstituted LSCU & Affiliates.
“It is our goal that the LSCU & Affiliates will help expand its reach to provide strengthened association and business services to serve credit unions in Alabama, Florida, and Georgia well into the future,” said Mercer. “We will be stronger together and will intensify our focus on credit union growth and success.”
Employees working under the new consolidated league and business services structure will be laser focused on their areas of expertise and will be working to provide service and value to all member/client credit unions in Alabama, Florida, and Georgia. On the association side, the organization will offer expanded advocacy efforts that will project greater influence on decision-making at both the state and national levels.
“This step toward consolidation of the LSCU and GCUL is an important one,” said La Pine. “We have been transparent with our credit union league members and staff all along the way in the discussions and due diligence phase of this process. We are excited about the opportunities that combining the talents of our two organizations will bring to our credit unions through greater resources and world-class service.”
At the same time, ACS and its subsidiary companies will be able to offer a more diverse selection of products and services to credit unions at competitive prices in a larger geographical region. ACS will also produce educational and training events to help credit unions stay informed, learn about new innovations, and foster critical peer networking.
The actual closing of the consolidation efforts is contingent upon waivers and consents being completed. Next steps also include the acquisition of two credit union service organizations (CUSOs) including Cooperative Services, Inc. (CSI), CUSC of Alabama, and the merger of the Georgia Credit Union Foundation into the Southeastern Credit Union Foundation. The shareholders of CSI have approved its sale as part of the larger league consolidation. CUSC of Alabama shareholders are expected to vote on their proposed sale to LSCU & Affiliates on July 11.
The second half of 2019 will be focused on the consolidation of the two organizations, legally and structurally, acting as one consolidated entity effective Jan. 1, 2020.