Mountain America Federal Credit Union has acquired a credit union serving an Army base in the Utah desert the size of Rhode Island with a membership the size of a battalion.

Mountain America FCU of Salt Lake City ($7.1 billion in assets, 722,100 members) announced Friday it had acquired Dugway FCU ($2.9 million in assets, 637 members), located at the U.S. Army's Dugway Proving Ground, an Army base covering 1,252 square miles of the Great Salt Lake Desert about 80 miles southwest of Salt Lake City.

Dugway FCU was founded in 1959, and was open to members of the military and employees at the base. Its members approved the merger effective April 1. Dugway FCU closed its branches March 30, leaving members about 50 miles from their closest Mountain America branch in Tooele.

“We are happy to welcome the Dugway Federal Credit Union family as the newest members to Mountain America Credit Union and look forward to continuing the Dugway Federal Credit Union tradition of providing quality service,” said Sterling Nielsen, president/CEO of Mountain America. “This merger gives Dugway Federal Credit Union members access to a vast branch network and a multitude of additional products and services.”

The Census Bureau counted 795 people in the Dugway crossroads in 2010, down from 2,016 in 2000.

Dugway FCU's membership has dwindled 10% over the past two years and its loan delinquency rate rose from 2.69% at the end of 2016 to 6.84% at the end of 2017. After earning nearly $4,956 in 2015 and $4,293 in 2016, Dugway FCU had a net loss of $8,569 in 2017. As a result, its return on average assets fell from 0.13% in 2016 to -0.28% last year.

Mountain America's ROA was 1.43% in 2017, up 3 basis points as net income rose 21% to $94.1 million. Average ROA for all credit unions was 0.78% last year.

Membership in Mountain America has risen 28% in the past two years, with a net gain of 156,295 members. Its field of membership includes all residents of Salt Lake and Duchesne counties and several other communities in the area. Group affiliations include L-3 Communications, Dominion Energy, Novell, State of Utah, Smith's Food and Drug, Salt Lake County, members of PTAs nationwide, and more than 3,800 other companies and associations.

The Army opened the Dugway Proving Ground in 1942 to test chemical and biological weapons. It continues to be used for weapons testing and Special Forces training.