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Kathryn Fiegen, UICCU Will Vote Again on Optiva

If You Go (What, Where, When)

[Note: This material is copyright by The Gazette, and is reproduced here as a matter of "fair use" for non-commercial, educational purposes only. Any other use may require the prior approval of The Gazette.]

  The University of Iowa Community Credit Union, which has had ‘‘University of Iowa’’ in its name since it was formed in 1938, had planned to change its name March 1 to ‘Optiva Credit Union.’ But that plan is up in the air after the credit union’s board of directors decided this week to hold a second vote on the matter.

  The board responded to a petition filed by 157 credit union members challenging the manner in which the Oct. 4 vote on the name change, which resulted in a narrow margin of approval, was passed. The petition asked for a new election.

  The credit union plans a Feb. 28 revote of the election, President Jeff Disterhoft confirmed Friday. He said details of the vote will be mailed to members. The credit union’s board has said the name change will help broaden the potential membership base of the credit union. Opponents maintain that the change is costly, unnecessary, and could place the credit union in conflict with other businesses using the name Optiva.

  Criticism of the election has centered on the acceptance of votes cast before the actual beginning of the Feb. 28 meeting. In a notice posted on its Web site, the credit union said that it did not accept absentee ballots, but that it did accept some votes in the hour prior to the meeting after consulting with state regulators.

  The early voting was allowed at the request of name change opponents, according to the statement, which said the election was held in accordance with all regulations ‘‘known to the credit union.’’ Opponents of the name change have organized the Save the University of Iowa Community Credit Union Committee. Committee member Tim Taffe asked Iowa Superintendent of Credit Unions James Forney on Friday for state oversight of the election. In the letter, he said the previous election lacked normal voting procedures.

[Note: This material is copyright by the Press-Citizen, and is reproduced here as a matter of "fair use" for non-commercial, educational purposes only. Any other use may require the prior approval of the Iowa City Press-Citizen.]

President and CEO Jeff Disterhoft said Friday that a special meeting with another vote will be Feb. 28.

Disterhoft said the credit union received a petition Feb. 6 with 143 signatures opposing how the original vote was conducted.

On Oct. 4, credit union members attended a special meeting to vote to change the credit union's name to Optiva Credit Union. The proposal was approved 198-192.

However, some members voiced concerns because an undetermined number of ballots were cast before the special meeting. Several members voted at a reception before the meeting, a move the Iowa Division of Credit Unions said was unconventional but not something that would affect the vote's validity.

Jeff Cox, who drafted the petition, said he thought the move was illegal, based on Iowa Code.

"I'm going to vote against it," he said. "But what I want is a fair vote. Many of the people who signed the petition don't like the name, though."

A simple majority will decide if the name will change or remain the same. Disterhoft said new signs and letterhead have been ordered and signs were to be replaced the day of the vote.

"(The vote) could result in a tremendous amount of backtracking," he said. "You can't just show up and flip a switch."

Based on the latest member and market research, many residents think that membership to the credit union requires association with the University of Iowa.

The credit union has said that changing the name will clear up confusion and allow the credit union to represent its diverse membership.

The University of Iowa Credit Union began in 1938 with 25 members, all employees at University Hospitals. In 1988, the credit union added "Community" to its title, expanding service to non-university-related clients.

The change to Optiva was to take effect March 1.

• What: University of Iowa Community Credit Union vote on a name change. For members only.
• When: 6 p.m. Feb. 28.
• Where: Quality Inn & Suites Highlander Conference Center, 2525 N. Dodge St., Iowa City.