Six credit unions in the Kootenay and Boundary regions are one step closer to a merger after their boards have decided to move forward with the process.
In the fall of 2017, it was announced that credit unions across the Kootenay, Columbia Valley and Boundary regions were exploring an amalgamation.
Columbia Valley, Creston & District, East Kootenay Community, Grand Forks, Heritage, Kootenay Savings and Nelson & District Credit Unions began discussion around the design and potential of a new, united credit union.
After discussing the opportunities and risks associated with the merger, six of the boards have agreed to move forward with the next step in the process.
Creston and District Credit Union is no longer among the financial institutions listed as going forward.
The next step is an application to regulator (FICOM) seeking consent to present the merger question to members.
In a press release, the credit unions announced that FICOM will conduct an in-depth review of the merger business case. Should FICOM provide their consent, each of the six credit unions will proceed with a membership vote to determine if members support the merger.
“This is an important and significant milestone in our merger journey,” said Michael Strukoff, designate Chair of the Board for the Exploring Strength and Unity merger initiative. “It demonstrates the commitment of the Boards of Directors and management teams of the six credit unions to the benefits and opportunities a merger would bring to our members, employees and communities.”
It is important to note that no merger is possible without the approval of members. Should FICOM give their consent and members be asked to vote on a merger, members will be provided more details, information and the chance to engage in conversation about the potential merger in the coming months, well in advance of any membership votes.
Information provided by Exploring Strength and Unity states that one of the principles adopted by the six Boards is that any combined new credit union must have the capacity to employ all current employees.