2024-08-28T08:06:12-05:00 2023-12-31 390758449 WIPFLI LLP 1502 LONDON ROAD SUITE 200 DULUTH MN 55812 990 2023-01-01 390945701 COVANTAGE CREDIT UNION COVA 7156274336 723 6TH AVENUE PO BOX 107 ANTIGO WI 544090107 MARY PRUTNY CHIEF FINANCIAL OFFICER 7156274336 2024-08-21 1 1 MICHAEL J PETERSON CPA P01833529 2187224705 2024-08-21 2023 2024-08-08 14:25:15Z CHARLES ZANAYED 723 6TH AVENUE PO BOX 107 ANTIGO WI 544090107 191684207 0 2157 X WWW.COVANTAGECU.ORG X 1953 WI A COOPERATIVE, NONPROFIT CORPORATION, INCORPORATED UNDER WISCONSIN STATE LAW TO ENCOURAGE THRIFT AMONG ITS MEMBERS, CREATE A SOURCE OF CREDIT AT A FAIR AND REASONABLE COST, AND PROVIDE OPPORTUNITY FOR ITS MEMBERS TO IMPROVE THEIR ECONOMIC AND SOCIAL CONDITIONS. 10 10 579 0 91727 0 548813 1160000 104711370 156234450 16347801 32806664 122095 5489 121730079 190206603 756269 462351 0 0 34781641 39310082 0 0 0 63458707 131218783 98996617 170991216 22733462 19215387 2963887227 3537015111 2689681748 3234345199 274205479 302669912 A COOPERATIVE, NONPROFIT CORPORATION, INCORPORATED UNDER WISCONSIN STATE LAW TO ENCOURAGE THRIFT AMONG ITS MEMBERS, CREATE A SOURCE OF CREDIT AT A FAIR AND REASONABLE COST, AND PROVIDE OPPORTUNITY FOR ITS MEMBERS TO IMPROVE THEIR ECONOMIC AND SOCIAL CONDITIONS. 0 0 COVANTAGE HAS 166,692 MEMBERS, AND FOR THOSE LOOKING TO SAVE, COVANTAGE STRIVES TO PAY DIVIDEND RATES THAT ARE ABOVE MARKET RATES, EVEN IN THIS RISING RATE ENVIRONMENT. AS OF DECEMBER 31, 2023, COVANTAGE WAS PAYING AN ANNUAL PERCENTAGE RATE OF 2.28% ON REGULAR SHARE ACCOUNTS WHEN MANY OTHER FINANCIALS CONTINUED TO KEEP THEIR RATES LOWER IN A RISING RATE ENVIRONMENT. OUR MINIMUM BALANCE OF ONLY $10 CONTINUED TO BE MAINTAINED, WHICH HELPED MANY MEMBERS IN TIMES OF HARDSHIP. MEMBERS WERE NOT ONLY ABLE TO RECEIVE THE BENEFIT OF HIGHER THAN AVERAGE RATES DURING A RISING RATE ENVIRONMENT, BUT COVANTAGE STILL REWARDED MEMBERS WITH AN ADDITIONAL $6,177,811 IN PATRONAGE PAYMENTS IN 2023. COVANTAGE CONTINUES TO OFFER COST-FRIENDLY PRODUCTS TO OUR MEMBERS. WE NOT ONLY DO THIS THROUGH OUR COMPETITIVE RATES, BUT ALSO BY GOING ABOVE AND BEYOND TO HELP THOSE IN NEED. WE CONTINUE TO OFFER COST-FRIENDLY OPTIONS TO PAYDAY LENDERS SUCH AS KWIK CASH OVERDRAFT PROTECTION LOANS WITH NO SERVICE CHARGE OR TRANSFER FEE, COURTESY PAY CHECKING ACCOUNT SERVICES ALSO WITHOUT HEFTY FEES, IN ADDITION TO REWARD CREDIT CARDS WITH VERY COMPETITIVE INTEREST RATES. OTHER LOW-COST OPTIONS INCLUDE OUR OWN PAYDAY ADVANCE LOANS IN ADDITION TO SHARE-SECURED CREDIT CARDS AND OTHER CREDIT BUILDER LOANS FOR THOSE MEMBERS THAT NEED TO REBUILD CREDIT. FOR THOSE LOOKING FOR HOME OWNERSHIP, COVANTAGE ALSO OFFERED ITS COVANTAGE CREATES HOMES MORTGAGE PROGRAM TO HELP THOSE THAT MIGHT NEED ASSISTANCE WITH A DOWN PAYMENT OR NEEDED HOME REPAIRS. COVANTAGE ALSO STRIVES TO SUPPORT FINANCIAL LITERACY, INCLUDING PROVIDING ACCEL CREDIT COUNSELING AS A FREE SERVICE TO OUR MEMBERS TO ASSIST WITH BUDGETING, UNDERSTANDING CREDIT REPORTS, MONEY MANAGEMENT, AND DEBT REPAYMENT. THIS FREE SERVICE SAVES MEMBERS $25-$50 PER MONTH THAT IS COMMONLY CHARGED BY OTHER CREDIT COUNSELING AGENCIES. IN ADDITION, COVANTAGE OFFERS COMMUNITY EDUCATION EVENTS AND PROMOTES FINANCIAL LITERACY TO STUDENTS THROUGH REALITY FAIRS. 0 1 0 0 0 0 0 1 0 1 0 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 1 1 1 1 0 1 80545 0 579 1 1 1 0 0 0 0 0 0 0 X 10 10 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 X CHARLES ZANAYED PRESIDENTCEO 7156274336 723 6TH AVENUE PO BOX 107 ANTIGO WI 544090107 DENNIS HALTINNER CHAIR 2.00 X X 9000 0 0 MICHAEL WINDBERG VICE CHAIR 2.00 X X 9000 0 0 WILLIS QUALHEIM TREASURER 2.00 X X 9000 0 0 LEE SILER SECRETARY 2.00 X X 9000 0 0 JULIE BERNDT DIRECTOR 2.00 X 9000 0 0 ANGIE CLOSE DIRECTOR 2.00 X 7500 0 0 SUSAN GITZLAFF DIRECTOR 2.00 X 9000 0 0 MATT KOLLING DIRECTOR 2.00 X 9000 0 0 PAUL PAYANT DIRECTOR 2.00 X 9000 0 0 EUGENE SHAWANO DIRECTOR 2.00 X 9000 0 0 CHARLES DALLAS TIER 3 CR COMMITTEE MEM (THRU 2/23) 2.00 X 1500 0 0 CHARLES ZANAYED PRESIDENT 40.00 1.00 X 687017 0 71241 MARY PRUNTY CHIEF FINANCIAL OFFICER 40.00 X 222957 0 33798 STACY BOUCHE CHIEF MORTGAGE LENDING OFFICER 40.00 X 231432 0 37598 SHERRY AULIK CHIEF IMPACT OFFICER 40.00 3.00 X 356522 0 72990 BRETT LEE CHIEF RETAIL OFFICER 40.00 X 330900 0 44903 JOAN FARRELL CHIEF RISK OFFICER 40.00 3.00 X 275984 0 31275 SEAN VAN HANDEL CHIEF INFORMATION OFFICER 40.00 X 246168 0 60111 PATRICK CURRAN VP DIGITAL SERVICES 40.00 X 200134 0 34827 2641114 0 386743 47 0 1 0 MIRON CONTSTRUCTION COMPANY PO BOX 1372 GREEN BAY WI 54305 BUILDING CONSTRUCTION CONTRACTOR 9627230 INFOPRO 1325 S MAIN ST FON DU LAC WI 54935 INSURANCE MONITORING 5688463 JACK HENRY & ASSOCIATES INC PO BOX 609 MONET MO 65708 CORE SYSTEM SERVICES 2213072 NUSOURCE FINANCIAL INC 9749 HAMILTON ROAD EDEN PRAIRIE MN 55344 TECHNOLOGY SERVICES 1389315 TRACE3 PO BOX 603915 CHARLOTTE NC 28260 TECHNOLOGY CONSULTANTS 1180009 62 1160000 1160000 INTEREST ON LOANS 522100 134805093 134805093 CREDIT AND DEBIT CARD INTERCHANGE 522200 14930273 14850863 79410 SERVICE FEES 522100 4265099 4252782 12317 CUNA INSURANCE INCOME 522100 1808707 1808707 SAFE DEPOSIT BOX RENT 522100 96885 96885 328393 328393 156234450 31637715 31637715 5489 0 5489 5489 5489 2646553 1348184 129420 1298369 -129420 1168949 1168949 190206603 156142723 91727 32812153 462351 1374044 26808996 1905271 7100063 2121708 510290 186405 3422518 1345346 2511065 5549938 3509912 534965 306824 20608602 6055412 360993 DIVIDENDS PAID ON MEMBE 68716342 LOAN SERVICING EXPENSE 9787185 PROVISION FOR LOAN LOSS 6457259 DUES AND SUBSCRIPTIONS 252729 1102998 170991216 17167548 21824348 137046240 136042942 6321490 10272299 2342357129 2810712056 4828222 4499529 95736199 33016935 52480860 62719264 303923807 353314646 10659743 59778785 0 43177889 89102188 34673353 2963887227 3537015111 104444683 212320860 0 3533445 2585237065 3018490894 2689681748 3234345199 X 0 0 0 0 274205479 302669912 274205479 302669912 2963887227 3537015111 X 19215387 9741557 -492511 X 0 1 X 1 0 RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1 X 10111330 10111330 57816115 16420051 41396064 26591431 16596884 9994547 1217323 1217323 62719264 SHARE DRAFTS 434612257 REGULAR SHARES 694520291 MONEY MARKET SHARES 828481779 SHARE CERTIFICATES 546648953 IRA/KEOGH ACCOUNTS 514908838 OTHER LIABILTIES -681224 3018490894 X PART IV, LINE 2B: THE ORGANIZATION IS THE TRUSTEE OF CERTAIN MEMBER'S ESCROW FUNDS AND HAS FIDUCIARY RESPONSIBILITY FOR THE ADMINISTRATION AND DISTRIBUTION OF THESE FUNDS FOR MEMBERS OF THE ORGANIZATION. PART X, LINE 2: THE CREDIT UNION IS EXEMPT, UNDER IRC 501(C)(14), FROM MOST FEDERAL AND STATE INCOME TAXES. THE CREDIT UNION HAS FILED TAX RETURNS IN THE PAST FOR ACTIVITIES IT HAS DEEMED TAXABLE AS UNRELATED BUSINESS INCOME. THE CREDIT UNION EVALUATED ITS TAX POSITIONS AND DETERMINED NO UNCERTAIN TAX POSITIONS EXIST AS OF DECEMBER 31, 2023 AND 2022. THE CREDIT UNION'S 2020 THROUGH 2022 TAX YEARS ARE OPEN FOR EXAMINATION BY FEDERAL AND STATE TAXING AUTHORITIES. 1 COVANTAGE CARES FOUNDATION INC 723 6TH AVENUE ANTIGO WI 54409 811056981 501(C)(3) 150000 0 GENERAL SUPPORT MAKE A WISH WISCONSIN 200 E WASHINGTON ST STE 2F APPLETON WI 54911 391543541 501(C)(3) 16500 0 GENERAL SUPPORT WISCONSIN TIMBER RATTLERS PO BOX 7464 APPLETON WI 54912 853211037 14000 0 GENERAL SUPPORT WAUSAUCENTRAL WI SPORTS AUTHORITY 219 JEFFERSON ST WAUSAU WI 54403 811937746 501(C)(3) 10250 0 GENERAL SUPPORT FUTURE NEENAH INC 135 W WISCONSIN AVE NEENAH WI 54956 930843731 501(C)(3) 10000 0 GENERAL SUPPORT ST MARY CATHOLIC SCHOOL 1050 ZEPHYR DRIVE NEENAH WI 54956 391656963 501(C)(3) 10000 0 GENERAL SUPPORT TASTE N GLOW BALLOON FEST PO BOX 1772 WAUSAU WI 54402 921288510 501(C)(3) 10000 0 GENERAL SUPPORT BOYS AND GIRLS CLUB OF THE WAUSAU AREA INC PO BOX 2386 WAUSAU WI 54402 391850386 501(C)(3) 7000 0 GENERAL SUPPORT WAUSAU EVENTS 407 GRANT ST WAUSAU WI 54403 391612386 501(C)(3) 5500 0 GENERAL SUPPORT 8 1 PART I, LINE 2: THE ORGANIZATION MONITORS THE USE OF THEIR GRANT FUNDS CLOSELY. X X X 0 0 0 CHARLES ZANAYED PRESIDENT 662111 0 23766 0 1140 0 47151 0 24090 0 758258 0 0 0 SHERRY AULIK CHIEF IMPACT OFFICER 343816 0 10900 0 1806 0 48900 0 24090 0 429512 0 0 0 BRETT LEE CHIEF RETAIL OFFICER 319501 0 10769 0 630 0 26400 0 18503 0 375803 0 0 0 JOAN FARRELL CHIEF RISK OFFICER 263901 0 9311 0 2772 0 14229 0 17046 0 307259 0 0 0 SEAN VAN HANDEL CHIEF INFORMATION OFFICER 236279 0 8083 0 1806 0 36621 0 23490 0 306279 0 0 0 STACY BOUCHE CHIEF MORTGAGE LENDING OFFICER 223095 0 7371 0 966 0 19095 0 18503 0 269030 0 0 0 MARY PRUNTY CHIEF FINANCIAL OFFICER 219959 0 2669 0 329 0 22602 0 11196 0 256755 0 0 0 PATRICK CURRAN VP DIGITAL SERVICES 190796 0 8403 0 935 0 16338 0 18489 0 234961 0 0 0 FORM 990, PART VI, SECTION A, LINE 6 COVANTAGE CREDIT UNION IS OWNED AND OPERATED BY ITS 166,692 MEMBERS AND A VOLUNTEER BOARD OF DIRECTORS. A SAVINGS ACCOUNT WITH A MINIMAL $10 DEPOSIT MEETS THE REQUIREMENT OF BEING A MEMBER-OWNER JUST AS LONG AS THEY MEET ONE OF THE OTHER MEMBERSHIP REQUIREMENTS SUCH AS RESIDING IN THE CHARTERED AREA, A FAMILY MEMBER IS ALREADY A MEMBER, ARE A MEMBER OF SERVCO FS COOPERATIVE IN ANTIGO, OR ARE A STUDENT/ALUMNI OF A POST-SECONDARY SCHOOL IN MARATHON COUNTY, OR ANY PERSON THAT MAKES A DONATION TO THE COVANTAGE CARES FOUNDATION, INC. OR HAS A DONATION MADE IN THEIR NAME OR ON THEIR BEHALF, IN ANY AMOUNT OF $10.00 OR MORE. OUR MEMBER-OWNERS BENEFIT FROM BELONGING TO COVANTAGE THROUGH LOWER LOAN RATES, HIGHER SAVINGS RATES, FEWER FEES, IN ADDITION TO THE INTRODUCTION OF NEW PRODUCTS AND OTHER INCENTIVES. FORM 990, PART VI, SECTION A, LINE 7A THE BOARD OF DIRECTORS ARE ELECTED BY THE MEMBERSHIP UTILIZING THEIR ONE VOTE PER MEMBER. FORM 990, PART VI, SECTION A, LINE 7B THE MEMBERS WOULD NEED TO APPROVE DECISIONS SUCH AS CHANGE OF NAME OR A MERGER DECISION. FORM 990, PART VI, SECTION B, LINE 11B THE BOARD OF DIRECTORS IS PRESENTED WITH A COPY OF FORM 990 AT A MONTHLY BOARD MEETING, WHICH ALLOW THEM TO REVIEW IT PRIOR TO FILING WITH THE INTERNAL REVENUE SERVICE. FORM 990, PART VI, SECTION B, LINE 12C ALL EMPLOYEES, IN ADDITION TO DIRECTORS AND CREDIT COMMITTEE MEMBERS. NO DIRECTOR IS ALLOWED TO BECOME AN EMPLOYEE, OR VICE-VERSA, WHILE EITHER EMPLOYED OR SERVICING ON THE BOARD, OR WITHIN ONE YEAR AFTER THEIR TERMINATION/ENDING OF BOARD TERM. IN REGARD TO LENDING, ALL EMPLOYEE LOANS ARE REVIEWED TO ENSURE NO CONFLICTS OF INTEREST HAVE OCCURRED WITHIN THE TRANSACTION. ANY POTENTIAL CONFLICTS ARE REPORTED TO THE BOARD FOR REVIEW. ANY POTENTIAL CONFLICTS ARE REVIEWED BY THE SVP OF COMMERCIAL LENDING AND THEN REPORTED TO THE BOARD OF DIRECTORS. SHOULD A CONFLICT OF INTEREST ARISE, IT WOULD BE ACTED UPON ON A CASE-BY-CASE MATTER, WITH APPROPRIATE REPERCUSSIONS TAKEN AS FOUND APPROPRIATE BY COVANTAGE CU. THE CONFLICT OF INTEREST POLICY IS ENFORCED CONSISTENTLY FROM YEAR TO YEAR. FORM 990, PART VI, SECTION B, LINE 15 THE PROCESS OF DETERMINING COMPENSATION FOR OFFICERS INCLUDE UTILIZING THE CREDIT UNION'S COMPENSATION MANAGEMENT PROGRAM TO PERFORM AN ANNUAL MARKET ANALYSIS REVIEW BASED OFF OF DATA FROM COMPARABLE POSITIONS ACROSS ALL INDUSTRIES. THIS DATA IS USED TO CREATE A MARKET AVERAGE FOR EACH POSITION. THE MIDPOINT OF OUR PAYGRADE IS TARGETED TO BE COMPARABLE TO THAT MARKET AVERAGE. THE MARKET ANALYSIS REVIEW IS COMPLETED ANNUALLY, BEGINNING IN SEPTEMBER/OCTOBER. THE NEW SALARY AMOUNTS ARE THEN APPROVED BY THE BOARD IN NOVEMBER FOR THE UPCOMING YEAR. SALARIES ARE THEN ADJUSTED ON EACH INDIVIDUAL'S ANNUAL REVIEW DATE. FOR THOSE INDIVIDUALS LISTED, THIS PROCESS WAS LAST COMPLETED IN 2023 FOR THE 2024 CALENDAR YEAR. FORM 990, PART VI, SECTION C, LINE 19 COVANTAGE CREDIT UNION MAKES ITS GOVERNING DOCUMENTS, IN ADDITION TO ITS CONFLICT OF INTEREST POLICY, AVAILABLE TO THE PUBLIC UPON REQUEST. FINANCIAL STATEMENTS ARE AVAILABLE BY VIEWING THE NCUA 5300 CALL REPORT OR BY OBTAINING AN ANNUAL STATEMENT BROCHURE AVAILABLE IN THE LOBBIES OF ALL BRANCHES. FORM 990, PART XI, LINE 9: CHANGE IN OTHER COMPREHENSIVE INCOME 4,358. TRANSITION PROPERTIES - CONSOLIDATED STATEMENT -969. INVESTMENT IN CUVANTA, LLC -2,469. OTHER CHANGES -493,431. TRANSITION PROPERTIES LLC 723 6TH AVENUE PO BOX 107 ANTIGO WI 544090107 461713416 OWN AND MANAGE OTHER REAL ESTATE OWNED BY COVANTAGE CREDIT UNION. WI -969 16910 COVANTAGE CREDIT UNION CUVANTA LLC 723 6TH AVENUE PO BOX 107 ANTIGO WI 544090107 871202501 PROVIDE UNDERWRITING SERVICES FOR INDIRECT DEALER RELATIONSHIP. WI -2469 43209 COVANTAGE CREDIT UNION COVANTAGE CARES FOUNDATION INC 723 6TH AVENUE PO BOX 107 ANTIGO WI 544090107 811056981 PROVIDE FINANCIAL ASSISTANCE TO INDIVIDUALS & ORGANIZATIONS WI 501(C)(3) LINE 7 COVANTAGE CREDIT UNION 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 1 0 0 0 0 COVANTAGE CARES FOUNDATION INC B 150000 CASH