By the Way Newsletter

President's Message

During a recent meeting with leaders from the Kentucky Bankers Association, they informed us of their intention to pursue legislation that would outlaw the purchase of state-chartered banks by state-chartered credit unions.

While this issue has been brewing in state legislatures across the country for several years, the KBA’s actions were prompted by the announced acquisition of First State Bank of the Southeast (Middlesboro, KY) by Tennessee credit union, Y-12 FCU. (For what it's worth, a similar ban on bank purchases was put into place in Tennessee a few years ago after the Tennessee Bankers Association collaborated with other parties to pass legislation.)

KBA’s purported reasoning for this new law is that state-chartered banks pay a Deposit Tax to local municipalities (cities and counties). They argue when a credit union purchases the assets of a bank, the assets then become exempted from this tax, which negatively affects the budgets of those local municipalities. We believe their real issue is how competitive credit unions are, and that their market share will decrease.

We’re prepared to fight them over this issue. We’re strong believers in the free market, and that those who want to sell their businesses should be able to sell them to the party of their choosing. It’s not the place of the government, nor of the trade association ostensibly there to represent the banker’s best interests, to dictate how, when, and to whom these transactions may happen. Plus, the evidence is clear that consumers enjoy significant benefits from credit union membership, and those benefits should not be restricted by a trade association or by legislation seeking to pick winners and losers in the market.

We staunchly protect your credit union’s ability to pursue whatever strategy best serves your member-owners and the communities you serve, which may someday include the purchase of the assets of a local bank. if that is part of your strategy. The opportunity for you to do this may never happen, but we don’t want it to be forbidden.

This important issue will warrant a coordinated communication strategy and investment of time, and resources from all Kentucky’s Credit Unions. In the coming days, as we learn more about the bankers’ intentions, we will share more with you on ways you can help us fight this battle.

Thank you.

Sincerely,
Jim Kasch

Advocacy Update

January may be the darkest, coldest, and snowiest month here in Kentucky, but it's also one of our favorites. While sledding with neighbors and walking the dog in the snow are enjoyable, what really excites us is the start of some of the most dynamic and impactful processes of the year.

This month, we witness the swearing-in of a new Congress in DC, the inauguration of a new President, and the start of our State Legislature’s “short” legislative session. These events make January both thrilling and demanding, and it’s a prime time for the Credit Union Movement to shine—on display in Washington and Frankfort alike.

Your League headed to Washington this month to highlight the critical role credit unions play in Kentucky’s communities and economy, just as Congress begins budget reconciliation. Meanwhile, preparations are in full swing for next month’s Day in Frankfort event, which is expected to be record-breaking. This important event offers credit union leaders and professionals the opportunity to connect directly with lawmakers, demonstrating the tangible impact credit unions make every day.

We invite you to join us for this impactful occasion. For more information, reach out to Kyle Hagerty or Olivia Sharp. Let’s make our voices heard in Frankfort!

Sincerely,
Kyle Hagerty, CUCE
SVP & Chief Advocacy Officer

Buy Lokyl Launches Strong in 2025 with Powerful Business Partnerships!

The Buy Lokyl program is off to a strong start in 2025! We've partnered with key community business organizations, including Greater Louisville Inc. (GLI), Commerce Lexington, and Shaping Our Appalachian Region (SOAR), to connect their business networks with Buy Lokyl. This collaboration will create a diverse and expansive marketplace for our participating credit union members.

Additionally, we've engaged with the Small Business Development Center of Kentucky, which is eager to feature Buy Lokyl and Kentucky’s Credit Unions as valuable resources for aspiring business owners. Stay tuned—more exciting business connections are on the way!

The Governmental Affairs Conference 2025

March 2–6, 2025 // Washington D.C.
Venue: Walter E. Washington Convention Center

Registration is open for the Governmental Affairs Conference 2025!

Join thousands of credit union professionals in Washington, D.C., where you’ll engage with lawmakers and make a lasting impact on the credit union industry. Governmental Affairs Conference is the perfect opportunity to highlight the meaningful work credit unions are doing to improve the financial well-being of members and communities.

As the premier event for credit union advocates, GAC empowers you to connect with industry leaders, influence policy, and drive positive change.

This year’s theme, Together We Move – Moving with purpose. Moving with passion. Moving with strength, reflects the unity and determination you’ll help shape as we work together to improve financial well-being across the nation.

Here’s what to expect:

Hear from world-class keynote speakers: Gain insights and inspiration from leaders and innovators.

Participate in impactful Hill Hikes: Collaborate with your state League to meet lawmakers and emphasize the credit union difference.

Explore the industry's largest exhibit hall: Discover the latest products, services, and technologies in the credit union sector.

Network with industry experts: Connect with professionals from credit unions, politics, business, and more.

Marketing, PR & Development Council Conference 2025

Join us for four days of inspiration, collaboration, and growth in Austin, TX!

Marketing, PR & Development Council Conference is the perfect environment to reconnect with other credit union marketing and business development peers who understand the challenges you face. Whether you’re a council member or not, you’ll want to be a part of this excitement!

This conference will feature a dynamic lineup of expert speakers, interactive workshops, and panel discussions that delve into hot topics relevant to today’s marketers. Conference content is driven by the Marketing, PR & Development Council, so you can be sure we are hitting relevant and trending topics impacting your role.

Whether you're looking to enhance your skills, network with like-minded professionals, or discover innovative solutions, this conference provides the perfect platform.

Who should attend

This conference is beneficial for Marketing, PR & Development Council Members, as well as Marketing professionals.

Final Call for IRA Training

Time is running out to register for our IRA Training with Ascensus, happening on February 11–12. We’re excited to offer this valuable training, but with only a few days left to register, we need your help to make sure this event takes place.

Why Attend?

This IRA training is an excellent opportunity for your team to stay up-to-date on the latest regulations and best practices in IRA management. Whether you’re new to IRA accounts or looking to refresh your knowledge, this session will provide expert guidance and practical insights you can immediately apply to your work.

Why the Urgency?

As of now, we only have 12 participants registered, and we need at least 2 more to proceed. Without meeting the minimum number of registrations by February 3, we may be forced to cancel the event.

How to Register

Don’t miss this chance to enhance your team’s expertise in IRA management. Register by February 3 to secure your spot and help us keep this important training on the calendar.

Event Details:

Dates: February 11–12, 2025
Location: ZOOM
Trainer: Jeff Aga, Ascensus

If you have any questions or need assistance with registration, please don’t hesitate to reach out. We look forward to seeing you at the training!

Register today and don’t miss out on this essential learning opportunity!

2025 Southeast Credit Union Management School

First-Rate Learning

The Southeast Management School provides a premier opportunity for credit unions to develop the leadership skills of their employees, ensuring they are equipped to drive long-term success. This intensive three-year Credit Union Management School is designed for professionals on the executive track—ideal for those in your succession plan or individuals you envision in a leadership role.

Participants gain invaluable expertise through:

In-depth coursework covering financial management, strategic planning, and leadership development
Hands-on projects that turn knowledge into real-world impact
Direct mentorship from top industry experts

Each year builds upon the last, reinforcing essential skills that position graduates as innovative and strategic leaders in the credit union movement.

Earn the Prestigious CCUE Designation

Graduates who complete the program earn the Certified Credit Union Executive (CCUE) designation—a mark of leadership excellence recognized throughout the industry.

This rigorous program requires dedication but delivers lifelong rewards. Invest in your future leaders today!

Ready to take the next step?

Unlock Your Leadership Potential with iLead@11!

Are you ready to accelerate your performance and take your leadership skills to the next level? iLead@11 is a virtual leadership development program designed with YOU in mind. Comprised of three dynamic sections and two tailored tracks, this program is specially curated to support your unique leadership journey.

Take control of your professional growth:

Discover more about your strengths
Push beyond your limits
Achieve results you never imagined possible!

Why iLead@11?

Always-open registration for maximum flexibility
Choose dates and times that fit your schedule
Designed for leaders who want to elevate their game

Exclusive Offer!
Use promo code KCU for Platinum Partner Reward pricing.

Don’t wait—start your leadership transformation today!

Have questions? Contact Janet Garrett or Jenna Dye.

*The iLead@11 Emerging Leaders track differs from our existing Emerging Leaders Program.

MORE INFO

Fulfill your credit union training needs with webinars

Kentucky's Credit Unions offer affordable, professional training that fits your schedule and location. Our webinars, online courses, and virtual workshops are the most popular, convenient, and cost-effective training methods for credit unions today. Train as many staff members as you need for one price, all from the comfort of your own office or training room—no travel expenses or time away from work.

In addition to webinars, we also provide training series, courses, and programs you can access at your credit union's convenience.

Kentucky's Credit Unions is proud to provide access to a range of distance learning opportunities through partnerships with trusted industry providers. Explore the offerings from each of our partners below to see what they can provide.

CU Webinar Network

Oncourse Learning

Commonwealth Credit Union Invests in Future Leaders with Scholarship Program

Commonwealth Scholarship

Recognizing the increasing costs of post-secondary education and the gaps that financial aid often leaves, Commonwealth Credit Union is dedicated to helping students bridge that gap. What makes this program particularly unique is that it isn't just for those planning to attend a traditional four-year college or university. It also caters to students looking to further their education through trade schools or other institutions that result in a certification, degree, or license. The scholarship program, which awards $2,000 each to four graduating high school seniors, aims to give students the financial boost they need to achieve their educational goals.

Submissions are open now through March 31st, 2025. Students interested in applying for the 2025 scholarships are asked to submit a video explaining or demonstrating their commitment to their communities, creativity, and a clear vision for their future. Graduating high school seniors planning to attend post-secondary education in the fall of 2025 are eligible to apply.

By participating in this scholarship program, Commonwealth Credit Union underscores its role not just as a financial institution, but as a partner in the educational and personal growth of its members. This program is a testament to CCU's dedication to bettering the lives of young individuals, helping them pave the way for a brighter future.

Learn more about Commonwealth Credit Union’s Scholarship Program at https://www.ccuky.org/my-campus/high-schools/scholarships.

League InfoSight Highlights

InfoSight360 is a groundbreaking integration of our flagship products - InfoSight, CU PolicyPro, and RecoveryPro, combining the best elements of these industry-leading tools into one seamless solution. Credit unions subscribed to any of our three products will be automatically upgraded to the new platform.

The content of all three products will be integrated under a single sign-on, eliminating the need to toggle between different systems and ensuring that no critical information is overlooked. When users access a particular product, the system will automatically present related content from across the platform, providing a comprehensive overview and allowing credit unions to leverage all available information.

With new features such as an enhanced artificial intelligent search, state-specific content comparison, and customizable dashboards, InfoSight360 promises to redefine your compliance experience.

InfoSight360 is launching in Q1 2025. Stay tuned for launch details. Keep your eyes peeled for KCU to post training opportunities soon!

Helpful FAQs:

Why are the products being combined?

While all three products serve a unique purpose, the information in each complements the others and topics often overlap. The new system will allow for better integration of our products along with a single sign-on, bringing compliance information, operational tools, resources, and your credit union’s own policies, procedures, and business continuity plan all in one place!

What if my credit union does not subscribe to all three products?

All credit unions will be upgraded to the new platform regardless of which products they currently subscribe to or utilize.

If you are utilizing only one or two of the products in the platform, you will still be able to see the potential resources available from all products. Credit unions will also receive the benefit of all three systems in the artificial intelligence (AI) search feature that will now be one of the main components of the new system. For example, even if the credit union does not subscribe to RecoveryPro but asks a question about business continuity planning or a business process, the response that is generated will pull from the content in RecoveryPro to provide a response.

I’m so excited about this upgrade and how much it’s going to enhance the ease of use of this valuable system! If your compliance team isn’t already signed up for this amazing dues-supported resource… please reach out, and I’ll make sure it gets taken care of!

Supervisory Priorities Webinar – Registration Open!

Credit unions interested in learning about the National Credit Union Administration’s 2025 supervisory priorities are invited to join a webinar on February 6.

The NCUA’s 2025 Supervisory Priorities Webinar will provide exclusive insights into the agency’s key supervisory focus areas, expounding on the 2025 Supervisory Priorities Letter to Credit Unions. This year’s letter includes credit risk, balance sheet management and risk to earnings and net worth, cybersecurity, and consumer financial protection as priorities. The webinar will also discuss exam updates and support for small credit unions and minority depository institutions.

This is an external link to a website belonging to another federal agency, private organization, or commercial entity.Registration for the webinar, “2025 Supervisory Priorities,” is now open). The webinar is scheduled to begin at 2 p.m. Eastern and run approximately 60 minutes. The webinar will be close captioned, and there is no charge. Participants will be able to log in and view the event on their computers or mobile devices using the registration link. They should allow pop-ups from this website.

Participants can submit questions during the presentation or in advance by emailing WebinarQuestions@ncua.gov. The email’s subject line should read, “2025 Supervisory Priorities.” Please email technical questions about accessing the webinar to either uccwebinar@ncua.gov or uccsupport@ncua.gov.

This webinar will be archived on the NCUA’s Learning Management System following the live event. A Learning Management System account is required to view the archived webinar, and it also provides access to the NCUA’s other training and educational materials.

NCUA Express messages can give you important information about agency webinars and other resources. You can subscribe online here.

Link: Registration Open for Feb. 6 Supervisory Priorities Webinar | NCUA

Latest update on BOI Reporting

The U.S. Supreme Court has ordered a stay of a nationwide injunction preventing enforcement of the Corporate Transparency Act and its requirement for businesses to report their beneficial ownership information to the Financial Crimes Enforcement Network.

The justices put on hold a nationwide injunction issued on Dec. 3 by Texas-based U.S. District Judge Amos Mazzant who, at the behest of small businesses, had concluded that Congress overstepped its powers under the U.S. Constitution in passing the Corporate Transparency Act in 2021, Reuters said.

The law's enforcement remains blocked and companies still are not required to report information as a result of a separate order issued on Jan. 7 in another case by Texas-based U.S. District Judge Jeremy Kernodle, Reuters added.

Lawyers at the conservative Center for Individual Rights, representing the small businesses in the Supreme Court case, cited the other ruling in saying it was now up to the new Republican president's administration to decide what to do, Reuters said.

The justices acted after the New Orleans-based 5th U.S. Circuit Court of Appeals allowed the injunction to take effect ahead of a Jan. 13 deadline that most companies had faced to submit their initial reports to the Treasury Department's Financial Crimes Enforcement Network.