BOARD OF DIRECTORS OFFICE STAFF

OUR
PEOPLE
FIRE
OUR PEOPLE SERVICES
FIRE
SERVICES
CREDIT
CREDIT
UNION
UNION
2014
2014
UPDATE
BOARD OF DIRECTORS
Michael Neely Robert Head Michael Jansen John Allard Stephen Buckingham John D’Aloisio
Keith Hamilton
Robert O’Hallarn
Patrick McCabe
Board Chair
Vice Chair
Board Secretary
Audit Committee Chair
Governance Committee Chair
OFFICE STAFF
Kevin Connolly Christine Chapman
Shelley O’Connor
Jeffrine Ojukwu
Greg Greer
Craig Wyldes
Teresa Katsarov
Cherylanne McMackin
Kathleen Vieira
Trevor Clarkson
Rose Cirillo
Vivian Istifan
Doreen Laliberté
Chief Executive Officer
Manager, Business Process & Enterprise Risk
Manager, Member Service
Manager, Finance & Administration
Chief Financial Officer
Membership Development Officer
Accounting Officer
Lending Officer
Lending Officer
Lending Officer
Member Service Officer
Member Service Officer
Loan Administrator
UPDATE
THE FIRE DEPARTMENT EMPLOYEES CREDIT UNION LIMITED
FINANCIAL
REPORT
FINANCIAL REPORT
AN UPDATE ON FIRE SERVICES CREDIT UNION IN 2014
CEO REPORT
Every year, for the past five years, I have had the privilege of reporting back to you, our
owners, on the financial performance of our credit union. I also enjoy sharing with you
some of the program and project highlights of this past year, and give you a glimpse ahead
at this year and what we are aiming to achieve.
“
In 2014, our credit
union grew and
improved in most
areas.
In 2012 and 2013, we made a number of significant changes, including adding a host of
new products and partners. We also invested significantly in a number of new software
programs that supported our goal of becoming a true virtual financial institution capable
of serving the needs of fire fighters wherever they live or work in Ontario. This included our
contemporary on-boarding programs and a new loans origination system.
”
In short, the most impactful way of showing you both the challenges we have faced and
the progress we have made would be to highlight the trend in our key measurement
metrics over the past three fiscal years.
20122013 20142015 (projected)
MEMBERS
4400
4200
4200
4500
ASSETS (MM)
$66.7
$67.4
$69.0
$74.0
DEPOSITS (MM)
$61.0
$61.7
$63.2
$68.0
LOANS (MM)
$45.3
$48.6
$56.1
$63.0
ANNUAL EXPENSES (MM)
$1.6
$1.6
$1.6
$1.6
MEMBER’S EQUITY (MM)
$5.2
$5.2
$5.2
$5.3
LIQUIDITY (%)
31.5
23.9
17.5
17.0
WORKING CAPITAL (%)
8.2
8.2
8.1
7.6
2014 saw us experience the very beginning of the impact of these initiatives as our credit
union grew and improved in important areas. A few of the main reasons for the improved
performance, especially in the lending area, were our competitive mortgage pricing and
our integration of high quality syndicated commercial lending through Central 1.
Commercial lending rates are significantly higher than residential mortgage rates and our
participation in them helped us improve our bottom line.
Our deposit growth was driven by the increased usage of our no-fee chequing
accounts as well as the addition of several new professional Fire Fighters Association
business accounts. Three years ago, we handled association banking primarily for the
Toronto Professional Fire Fighter Association. Today in addition to Toronto, we support
the banking and investment requirements of Professional Fire Fighter Associations
including, Burlington, Oakville, Mississauga, Brampton, Vaughan, Richmond Hill,
Sudbury, Sault Ste. Marie and most recently Orillia. We also work with the Ontario
Professional Fire Fighters Association and we will hopefully be adding Timmins in the
very near future. Our partnerships with these associations will over time encourage
members of these associations to join our family. We are hoping to learn how to be
more effective at communicating our value proposition within the associations at our
first ever Professional Fire Fighter Association Advisory Council which will be held
after our upcoming May Board meeting.
A new program that we are very excited about is a partnership with Ontario Fire
Administration Incorporated who administer the new pre-qualification program
developed by the Ontario Association of Fire Chiefs (OAFC). Fire Services Credit Union
has designed an incentive program to encourage pre-fire training students to apply
and secure their student loans through our credit union. We have developed this
program in conjunction with the OAFC and we feel it will serve as a major catalyst in
growing our membership by establishing a relationship early in a fire fighters career
when there is a much greater chance of success than frequently we experience with
established fire fighters. Toronto Fire uses this pre-qualification program in their new
hiring process designed to build greater diversity in their ranks. It goes without saying
that we appreciate their support in this new program.
To our board and staff, thank you for your incredible service and commitment to
our credit union. To our strategic partners, thank you for assisting us as we build an
even stronger value proposition for our members. And finally, to our members, you are
the reason we exist and we are grateful for your ongoing support and business.
We look forward to a successful year in 2015.
Kevin Connolly
CEO
This report is intended soley for information purposes only E & O E.
Kevin Connolly
CEO
CHAIRMAN’S
REPORT
CHAIRMAN’S REPORT
AN UPDATE ON FIRE SERVICES CREDIT UNION IN 2014
CHAIRMAN’S REPORT
“
We are pleased to
report that your credit
union is fundamentally
strong in all important
areas.
”
From a Board perspective, 2014 was another busy year. The Board met monthly to review
the credit union’s progress, also receiving monthly updates from the audit and governance
committees, which met quarterly during the year. We are confident in the strategic
direction of the credit union, which has evolved substantially during the past five years.
Our credit union is now more than ever a full-service financial institution capable of
meeting all of our members’ financial needs, competitively and with a level of service that
is second to none. This has happened in no small part through the efforts of an experienced
and dedicated management and staff, who your Board feel continue to perform strongly
during in the face of the continuing challenging times we find ourselves in.
We are also fortunate to have an experienced and dedicated Board of Directors, who have
willingly risen to the occasion in responding to significantly greater training, qualification
and competency requirements brought forward by the The Deposit Insurance Corporation
of Ontario (DICO). Credit unions, both large and small, are now required to comply with
much more stringent governance and Board oversight standards.
We are pleased to report that your credit union is fundamentally strong in all important
areas, including working capital and liquidity which are both well in excess of DICO
and Board minimum requirements. In fact, in 2014, we made significant progress lowering
excess liquidity levels and utilizing it in the service of loans and mortgages for our
members. This resulted in a positive impact on our bottom line profitability.
We have positioned our credit union well going forward. Our external auditors have
advised us that from their standpoint, our accounting practices are strong and conform to
all international financial reporting standards. DICO also conducted a review at the credit
union where we were found to be in compliance with all established guidelines relevant to
their request for information. As a result, our deposit premiums are among the lowest
in the industry.
Among our ongoing projects is future facility planning. We have become a leading edge
financial institution capable of serving fire fighters and their families anywhere in Ontario.
Whether you live in Sudbury or Scarborough, through the use of technology, we are able
to conduct business with you without the need of a personal visit to our branches. Even
so, we do have a need to reflect a professional image at our locations, both for our
members who prefer to do their banking on site with us and also to provide a modern and
safe work environment for our staff. There is also the issue of gridlock within the City of
Toronto and especially along the 401 during business hours. And as many of you no doubt
know, when you do come to see us there is limited parking available.
Members will hopefully be pleased to know that we have been exploring potential new
locations, on the east and west sides of the City of Toronto that would be suitable for us
to establish two new state of the art branches. For close to two years, we have been
researching these potential new locations without success up to now. Our needs are
specific and specialized which is part of the problem, but we are also conscious
of the impact of these moves on our financial situation, which we are not prepared to
compromise. It’s been challenging, but management and the facility committee of the
Board remain optimistic that we will in due course find the best locations for us
to establish our base of operations as we move forward.
We continue to be committed to the causes that are important to our fire community
and especially to our growing list of association partners. We are a major sponsor
of the Canadian Fallen Firefighters Foundation (CFFF). Through our annual charity golf
tournament and our own direct sponsorship of the memorial weekend, our combined
contribution to the foundation last year was in excess of $20,000 that the Foundation
utilizes for programs that assist the families of fallen fire fighters. Our thanks to our
legal partner Penny Rintoul for her regular support of the CFFF as well.
We also contributed, along with our tremendous partners at The Personal Insurance
Company over $4,500 to Camp Bucko in 2014.
We are proud supporters of the Canadian Fire Fighters Museum and the Princess
Margaret Cancer Foundation through our involvement with the Toronto Fire Fighters
calendar. We also supported the Daily Bread Food Bank with Christmas-time contributions of food donated by our members and our staff.
Support of our Professional Fire Fighter Association partners and their causes totaled
in excess of $30,000 in 2014 and included the Richmond Hill PFFA’s charity golf
tournament, the Burlington FFA’s awards banquet, and a number of events for the
Toronto PFFA including the Annual Children’s Christmas Party and the summer picnic,
to name just a few.
In closing, I would like to express my appreciation once again to the Board of Directors
for their dedication and contributions throughout 2014. I would also like to thank our
credit union staff for their commitment. We are very fortunate to have a dedicated and
loyal staff who, day in and day out, underline the difference between credit unions and
other financial institutions.
Michael Neely
Chairman of the Board
Michael Neely
FSCU Board Chair
Jean Ballinger
Gary Williams
John David Roach
William Smith
Bernard Morgan
Reginald Cooper
Helga Williams
Douglas Marks
Sarah Phillips
October 18, 2014
October 31, 2014
November 11, 2014
November 26, 2014
December 1, 2014
December 6, 2014
December 8, 2014
December 25, 2014
December 31, 2014
OUR
CAUSES
OUR CAUSES
WE BELIEVE IN SUPPORTING CAUSES THAT ARE IMPORTANT TO OUR MEMBERS
In 2014, we again supported Camp BUCKO (Burn Camp for Kids
in Ontario), a camp open to burn survivors between the ages
of 7-17. The camp has grown to over 70 children attending the
week long camp at Camp Kodiak in August. Our efforts in 2014
resulted in a donation in excess of $4,500.
We are members and supporters of the Canadian Fire Fighters
Museum in Port Hope. The Canadian Fire Fighters Museum is
committed to the celebration of the important contribution
firefighting has made to Canadian communities by preserving its
rich history, heritage and culture, through the sharing of exhibits,
real-life events and safety education.
Fire Hockey Team, the Toronto Professional Fire Fighters Association
Celtic Society, the TPFFA Children’s Christmas Party and Summer
Picnic, the Toronto Fire Fighter Calendar with proceeds going to the
Princess Margaret Cancer Foundation and the Burlington Professional
Fire Fighters Association’s First Annual Awards Dinner and Banquet. In
2015, we will be substantially expanding our support of important
local programs and initiatives with our 12 partner PFFAs. We also
expect to expand our affiliations with new partnerships in 2015.
SUPPORTING DIVERSITY IN THE FIRE SERVICE – One of the major
initiatives that many Fire Departments in Ontario are undertaking is
the broadening of diversity in their ranks. Working initially with
Toronto Fire Services, FSCU has developed a new student loan program to support the financial needs of new Fire Fighter candidates
We are also major supporters of the Canadian Fallen Firefighters
in this new candidate selection process. There are a number of other
Foundation which was created to HONOUR and REMEMBER
Municipal Fire Departments moving to this new process as well.
firefighters who have lost their lives in the line of duty and to
FSCU now has a program established with the Ontario Fire AdminisSUPPORT their families. We were once again a Gold Sponsor of
tration, a division of the Ontario Association of Fire Chiefs, to provide
the memorial weekend in Ottawa, and we hosted our second
incentive to those who successfully complete a new pre-qualification
CFFF Golf Tournament raising over $15,000 for the Foundation.
program at the Fire & Emergency Services Institute of Ontario (FESTI)
Our overall contribution to the CFFF in 2014 exceeded $20,000.
when they join the Credit Union. We believe this will significantly
increase our membership while working in partnership with many
We supported many initiatives of our partner Professional Fire
municipal Fire Departments and Professional Fire Fighter AssociaFighter Associations, including the Toronto and Richmond Hill
Professional Fire Fighter Association Golf Tournaments, the Toronto tions who we have never worked with in the past.
ED
N
June 28, 2014
July 4, 2014
July 26, 2014
July 29, 2014
August 1, 2014
August 9, 2014
August 30, 2014
September 22, 2014
September 23, 2014
October 14, 2014
NT
William Marshall
William Wise
Rodene Browne
George Punnett
Grace Carter
Bruce Statton
Freda Gauthier
Kenneth Marshall
Claudia Roach
Stephen Wrabko
SE
January 25, 2014
February 6, 2014
February 13, 2014
February 14, 2014
March 16, 2014
April 3, 2014
May 16, 2014
May 16, 2014
May 31, 2014
PRE
Robert Moffatt
Sophie McCorriston
Maria Lakas
Doreen Mellan
Erhart Szyiko
Audrey Hamilton
Stanley Carey
Walter Keith
Mati Marmei
MA
Y
FIRE SERVICES CREDIT UNION MEMBERS DECEASED IN 2014
IO
UAL
NN
IN
MEMORIAM
IN MEMORIAI
15 • 3r
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BY
FIR
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EDI
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Gather your friends, family and co-workers, and join us for a fun day of golf in support of the
Canadian Fallen Firefighters Foundation hosted by Fire Services Credit Union!
All net proceeds will be donated to the Canadian Fallen Firefighters Foundation in support of
the great work the Foundation undertakes on behalf of the families of fire fighters
who give their lives in the performance of their duties.
Markland Wood Golf Club, Toronto, Ontario
Great Gifts & Prizes, Silent Auction and a Hole in One Contest
to Win a 2015 Vehicle
Special Memorial Tribute to Fallen Fire Fighters
Prior to the Tournament Registration
Includes BBQ Lunch & Gourmet Buffet Dinner
$175.00 per person