HURON, S.D. (1/22/14)--South Dakota credit unions continue to beat back a pro-tax message being pushed by the state's banking association.
On Jan. 16, Dan Cumbee, president/CEO of $234 million-asset credit union Dakotaland FCU, spoke to the Beadle County Democratic Forum in Huron (Plainsman Jan. 20).
The only motivation behind forcing credit unions to pay taxes like banks is to put credit unions out of business, he told the forum.
Since late last year, the South Dakota Bankers Association has been trying to get local governing bodies such as school boards, chambers of commerce, city and county commissions to take up a resolution to change the tax status of state credit unions and farm credit services. (See Jan. 15 News Now:
Cumbee, who has been with the Huron-based credit union for 27 years, said credit unions are no threat to banks. State bank assets are at $113 billion compared with credit union assets of $2 billion.
In a basketball game, "You're behind 113 to two," he said. "That's what the score is in South Dakota, and yet the banks are concerned we've become a threat or that we are too successful."