Charter Conversion
Your Voice, Our Future: An Important Vote for Mid Oregon’s Next Chapter
September 1, 2025—We are excited to announce an important proposal that will help shape the future of Mid Oregon. On October 10, Noon, we will hold a Special Meeting at our Old Mill branch (557 NW Bluff Dr, Bend) to discuss converting Mid Oregon from a federal credit union to an Oregon state-chartered credit union.
This strategic move is designed to enhance your credit union experience and strengthen our position in the communities we serve.
Why this matters to you
- Expanded Growth Opportunities: A state charter enables us to grow beyond the Central Oregon market, offering our members better value, competitive products, and enhanced services.
- Modern Governance: The conversion promotes modern governance, helping us attract top-tier directors for our complex operations.
- Greater Flexibility & Parity: We gain expanded authority under the Oregon charter while retaining benefits of our federal charter through state “parity provisions.”
Are there any downsides?
- We do not anticipate any disadvantages or adverse changes to the services and benefits you currently receive as a member.
- Your accounts will continue to be insured by the National Credit Union Share Insurance Fund (NCUSIF) up to $250,000, just as they are now.
- The estimated cost of this conversion, covering various fees and changes, is approximately $130,000.
Your vote counts
Your vote on this proposition is crucial. In September, you will receive a ballot along with further information regarding the charter conversion in the mail. We ask that you complete and mail your ballot, or deliver it to one of our eight branches, no later than October 7. Your support is appreciated as we embark on this exciting journey to create an even stronger, more adaptable, and competitive Mid Oregon for the future.
Frequently Asked Questions
Top Question—Federal Deposit
Insurance:
Changing from a Federal to a State Charter will not affect the $250,000 deposit
insurance that members currently receive through the National Credit Union Administration. Once we become a
State Chartered Credit Union, members will continue to enjoy the same level of deposit insurance coverage
that they have today.
Top Question—Are we going to grow big and lose the things we like about
Mid Oregon?
The products and services members like about Mid Oregon are not dependent on our
size or the size of the area we serve. As an organization we are committed to our culture, our service
quality, and the impactful work we do in the communities we serve. We will continue to be Central Oregon’s
credit union, will continue to be headquartered in Central Oregon, and will only expand when we can expand
the things that make Mid Oregon unique and special.
Top Question—What are the benefits of the
Charter Change?
As many of you are aware, Mid Oregon has a
very high household penetration in some of the communities we serve (over 50% in some markets). Once the
household penetration exceeds about 35%, the rate of growth inevitably (except for Madras!) slows. At the
same time, we need approximately 2,000 households in a market to make a new branch viable. Outside of
Central Oregon, we do not have any communities where we have even 1,000 households. The charter expansion is
about laying the groundwork for future growth and additional locations. It is unlikely we will get enough
households simply by hoping enough of our members move to a community to reach 2,000 households. We are more
likely to be successful recruiting new members in communities where we already have some members. Having
those communities eligible for membership is a first step in recruiting new members, and ultimately will
allow us to continue to grow, as well as continue to serve those members who may move out of Central
Oregon.
The Oregon charter also offers benefits that will help members, including loan terms up to 30
years for loans other than a primary mortgage. The State charter provides a more flexible governance
structure than the Federal Charter, and provides more flexibility in areas including field of membership and
investments.
Why did we not go for the entire state?
Neither the Federal Charter
nor the Oregon Charter allow the entire state to be a field of membership. Twenty-four Counties is the most
expansive field of membership possible for Mid Oregon at this time.
What percentage of the
membership vote is needed for the proposal to pass?
In accordance with NCUA requirements, the
proposed charter conversion must be approved by a simple majority of the voting
members.
What happens if members vote “no”?
As a member-owned cooperative, Mid
Oregon members have the final say in this matter. If they vote “no”, we will remain a Federally chartered
credit union and continue to operate as we do today.
Why is the deadline for submitting
ballots on this issue set for October 7, while the meeting to discuss and vote on it is scheduled for
October 10?
The Special Meeting will include a discussion and a vote. Members will receive
information in a notice that accompanies the ballot in September. Those who prefer can vote at the meeting,
while the ballot option is available for members who cannot attend or would like to vote based on the
information in the notice. The October 7 deadline allows us to count the votes before the Special Meeting.
Is there a minimum age requirement
to vote?
Yes. According to Mid Oregon Bylaws, Section 7. Minimum Age
Requirement. Members must be at least 18 years of age by the date of the meeting in order to vote at
meetings of the members, sign nominating petitions, or sign petitions requesting special meetings. Members
must be at least 18 years of age to hold elective or appointive office.