'No Easy Solution' for CUs & Employees Devastated by Hurricane Michael
CUNA Mutual Group confirms they have paid out $1 million in claims so far to credit unions impacted by the hurricane.
More than two weeks after Hurricane Michael crashed into Florida’s panhandle, the leaders of the League of Southern Credit Unions characterized the recovery situation as if they were just beginning to read a heavy, thick novel.
“We’re only in the first couple of chapters of this recovery. So, there’s a long way to go,” said LSCU President/CEO Patrick LaPine.
Indeed, because in a statement to CU Times from CUNA Mutual Group, officials confirmed the organization has paid out $1 million in claims so far to credit unions damaged by Hurricane Michael. Officials expect that number to dramatically climb.
The Category 4 hurricane made landfall on Oct. 10, just southeast of Panama City, and for the past several days, LaPine and his team have been on the road visiting credit unions and employees in the hardest-hit areas of the panhandle.
CU Times caught up with LaPine on Friday on the phone while he was driving through Florida.
“We are constantly assessing the needs of our credit unions and we’ve been focusing mostly on individual credit union employee needs,” said LaPine.
During an earlier interview on Friday, LSCU’s Director of Communications, Kim Gay made the same observation – that many credit union employees and their families are in desperate need of help. “So far, there have been about 200 requests from individual credit union employees for grant assistance to the Southeastern Credit Union Foundation.”
She continued, “The storm left so many families without housing and basic provisions and the recovery process is certain to be long and difficult for credit unions and their teams. Our credit unions overall have heard from most of their employees, but there are still some that have not been able to make contact with everyone, even two weeks after the storm.”
Even though the National Credit Union Foundation has opened CUAid to receive and distribute relief funds to help credit union employees and their families, LaPine said there just hasn’t been the response as they’ve seen after previous storms. According to LSCU, CUAid has raised roughly $68,000. LaPine believes costs to cover emergency needs for CU employees will be closer to, if not more than, $500,000.
“For CUAid, we’ve all been scratching our heads because donations have not come in as they have in the past,” said LaPine. “I believe there’s a little bit of natural disaster fatigue.”
LaPine attributes the possible contribution fatigue to CUAid being activated for other hurricanes, wildfires and floods this year already.
“CUAid has been activated more times in this past year than I’ve ever seen in my career. The money has not come in as we’ve seen in the past,” he said.
Gay added, “The devastation is real, and we have only scratched the surface in recovery.”
According to reports, credit unions in and around Panama City are attempting to return to at least minimal service levels for members:
- Suncoast Credit Union has donated it’s mobile branch to Bay Credit Union to use at it’s main location in Panama City.
- Panhandle Educators FCU has three branches open with limited hours.
- Tyndall FCU’s loan processing center that was damaged by the storm has opened.
- Innovations FCU has drive-thru services opened at three locations with three ATMs.
- Jackson County Teachers Credit Union has branches open, but without phone service. They are using temporary cell phones for call center operations.
- Emerald Coast FCU has two locations open with limited hours, however some drive-thru services are closed due to severe damage.
According to LSCU, the main need right now and for the foreseeable future, is money for credit union employees to help cover the costs of clothes, food, transportation and temporary housing since many employees lost their homes in the storm.
“We believe there’s still going to be more requests and need for assistance,” said LaPine. “There’s definitely going to be ongoing need.”
The league’s foundation is accepting contributions on the LSCU disaster relief site. The National Credit Union Foundation has opened CUAid to receive disaster relief funds to assist credit union people affected by Hurricane Michael. Credit union supporters in every state can make donations through cuaid.coop.