I 

115TH CONGRESS 

1ST SESSION H. R. 1244 

To clarify the National Credit Union Administration authority to improve 

credit union safety and soundness. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 28, 2017 

Mr. KING of New York (for himself, Mr. SHERMAN, Mr. POSEY, Ms. NORTON, 

Ms. PINGREE, Mr. RYAN of Ohio, Mr. LOEBSACK, Ms. BONAMICI, Mr. 

KILMER, and Mr. JONES) introduced the following bill; which was referred to the Committee on Financial Services 

A BILL 

To clarify the National Credit Union Administration 

authority to improve credit union safety and soundness. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Capital Access for 

5 Small Businesses and Jobs Act’’. 

6 SEC. 2. IMPROVING CREDIT UNION SAFETY AND SOUND7 NESS. 

8 The Federal Credit Union Act (12 U.S.C. 1751 et 

9 seq.) is amended— 


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1 (1) in section 107— 

2 (A) in paragraph (16), by striking ‘‘and’’ 

3 at the end; 

4 (B) in paragraph (17), by striking the pe5 riod and inserting ‘‘; and’’; and 

6 (C) by adding at the end the following: 

7 ‘‘(18) to receive payments on uninsured non8 share accounts described under section 

9 216(o)(2)(D), subject to such terms, rates, and con10 ditions as may be established by the board of direc11 tors, within limitations prescribed by the Board.’’; 

12 and 

13 (2) in section 216— 

14 (A) in subsection (b)(1)(B)(ii), by striking 

15 ‘‘must rely’’ and inserting ‘‘rely predomi16 nantly’’; and 

17 (B) in subsection (o)(2)— 

18 (i) in subparagraph (B), by striking 

19 ‘‘and’’ at the end; 

20 (ii) in subparagraph (C)(ii), by strik21 ing the period and inserting ‘‘; and’’; and 

22 (iii) by adding at the end the fol23 lowing: 

24 ‘‘(D) with respect to any insured credit 

25 union other than a low-income credit union, inVerDate Sep 11 2014 04:15 Mar 02, 2017 Jkt 069200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H1244.IH H1244

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1 cludes uninsured non-share accounts as author2 ized by the Board, that— 

3 ‘‘(i) do not alter the cooperative na4 ture of the credit union; 

5 ‘‘(ii) are subordinate to all other 

6 claims against the credit union, including 

7 the claims of creditors, shareholders, and 

8 the Fund; 

9 ‘‘(iii) are available to be applied to 

10 cover operating losses of the credit union 

11 in excess of its retained earnings and, to 

12 the extent so applied, will not be replen13 ished; 

14 ‘‘(iv) if they have a stated maturity, 

15 have an initial maturity of at least 5 years; 

16 ‘‘(v) if they have a stated maturity, 

17 the net worth value of such accounts may 

18 be discounted at the discretion of the 

19 Board when the remaining maturity is less 

20 than 5 years; 

21 ‘‘(vi) are subject to disclosure and 

22 consumer protection requirements as deter23 mined by the Board; 


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1 ‘‘(vii) are offered by a credit union 

2 that is determined by the Board to be suf3 ficiently capitalized and well-managed; and 

4 ‘‘(viii) are subject to such rules and 

5 regulations as the Board may establish.’’. 

Æ 


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