"Whether credit union leaders agree or disagree with the CUNA board decision, in my opinion, what can't be disputed is that strong leadership entails having a willingness to adapt quickly and decisively to changing market conditions," Dave Adams, president/CEO of the Michigan Credit Union League, said. "I believe that Jim Nussle and the CUNA board have shown that kind of leadership with the decision to trust our industry's support for the independent and interdependent value propositions of both CUNA and state leagues."

Patrick LaPine, president/CEO of the League of Southeastern Credit Unions and a CUNA board member, said the board had good, thoughtful conversations about what transpired since the September decision by the CUNA board.

"I think there was an understanding that we needed to go in a different direction, and I think the overwhelming majority of the board was very supportive of that," LaPine said. "I think one of the elements of leadership is being willing to pivot and being willing to rethink your positions on issues based on the changing environment. I really commend Jim for his leadership and board being willing to reconsider what happened in September and  to respond to what we were hearing from credit unions."

What's more, Nussle said changes in the credit union industry and the financial services marketplace influenced the CUNA board's decision to reconsider its stance on the dual membership requirement and other matters.

In their discussions during the meeting, Nussle said CUNA's board of directors recognized that the current credit union market is one of consolidations, rapid technology changes in financial services, and disruption. The board also acknowledged there are new and growing expectations from credit union members, members of CUNA and the leagues as well as demands for more direct accountability between credit unions and CUNA.

"Many forces of change have accelerated our decision-making cycle and increased the urgency to act," Nussle said in a four-minute video explaining the board's decision. "Credit unions appropriately demand more value and options in how they affiliate with their associations."

Nussle said the board tasked its Corporate Governance Committee to modernize CUNA's bylaws on five principles to guide its work.

Two of the five principles include CUNA's commitment to interdependence with the leagues and modernizing CUNA's membership structure to accommodate choice as well as enhancing engagement among the association, leagues and credit unions.

The other three principles the committee will work on are empowering the CUNA board to reduce and establish the dues rate structures, allowing the board flexibility to set its own size and keep current voting membership classes while adding flexibility for future possible non-voting membership categories, and retaining current board term limits, officer structures and bylaw-established committees.

"This is a positive, strong step forward for CUNA. It shows confident leadership by the CUNA board and Jim Nussle," Paul Mercer, president/CEO of the Ohio Credit Union League, said. "I'm anxious to get to work with Jim on new forms of interdependence and new ideas about credit union advocacy."

Dorety noted that the credit union industry desperately needs a strong trade association that connects local, state and national advocacy efforts to be successful.

"CUNA and the leagues have successfully provided that connection for many years," he said. "If some credit union leaders feel they have fallen short in delivering value in recent years, I hope they will see this as an opportunity to become engaged again. It's imperative that Jim Nussle and his team, while working with the leagues and credit unions, are given the chance to prove how effective this new membership structure can be. They can't do it alone. They need our dues, and just as importantly, our active participation."

The boards for the Michigan Credit Union League, the League of Southeastern Credit Unions, the Ohio Credit Union League and the Carolinas Credit Union League voted to allow their credit union members to join their state trade organizations without requiring them to join CUNA beginning in 2016.

Leagues that have publicly supported maintaining CUNA's dual membership requirement included the Utah Credit Union Association, the Wisconsin Credit Union League, the Cornerstone Credit Union League, the Mountain West Credit Union Association, the Northwest Credit Union Association, the Maine Credit Union League, the Credit Union Association of New Mexico and the Credit Union Association of the Dakotas.

The Georgia Credit Union League, the New York Credit Union Association and the California and Nevada Credit Union Leagues are also considering whether to allow membership choice.

Leagues that support maintaining the dual membership said advocacy is critically important for the credit union movement and a united front of state leagues, credit unions and CUNA is essential.

CU Times contacted proponents of the dual membership requirement but none of them responded to requests for comment.