IB 

Union Calendar No. 265 

117TH CONGRESS 

2D SESSION H. R. 7003 

[Report No. 117–351] 

To amend the Federal Credit Union Act to permit credit unions to serve 

certain underserved areas, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 8, 2022 

Ms. WATERS (for herself and Mr. PERLMUTTER) introduced the following bill; 

which was referred to the Committee on Financial Services 

JUNE 7, 2022 

Additional sponsor: Mr. DAVID SCOTT of Georgia 

JUNE 7, 2022 

Reported with an amendment, committed to the Committee of the Whole 

House on the State of the Union, and ordered to be printed 

[Strike out all after the enacting clause and insert the part printed in italic] 

[For text of introduced bill, see copy of bill as introduced on March 8, 2022] 


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•HR 7003 RH

A BILL 

To amend the Federal Credit Union Act to permit credit 

unions to serve certain underserved areas, and for other 

purposes. 


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•HR 7003 RH

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 ‘‘Expanding Financial 

5 Access for Underserved Communities Act’’. 

6 SEC. 2. CREDIT UNION SERVICE TO UNDERSERVED AREAS. 

7 Section 109 of the Federal Credit Union Act (12 

8 U.S.C. 1759) is amended— 

9 (1) in subsection (c)(2)— 

10 (A) by striking ‘‘the field of membership 

11 category of which is described in subsection 

12 (b)(2),’’; 

13 (B) by amending subparagraph (A) to read 

14 as follows: 

15 ‘‘(A) the Board determines that the local 

16 community, neighborhood, or rural district is an 

17 underserved area; and’’; and 

18 (C) in subparagraph (B), by inserting ‘‘not 

19 later than 2 years after having such underserved 

20 area added to the credit union’s charter,’’ before 

21 ‘‘the credit union’’; and 

22 (2) by adding at the end the following: 

23 ‘‘(h) CHANGE OF FIELD OF MEMBERSHIP TO INCLUDE

24 UNDERSERVED AREAS.— 


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1 ‘‘(1) IN GENERAL.—If an existing Federal credit 

2 union applies to the Board to alter or expand the 

3 field of membership of the credit union to serve an 

4 underserved area, the credit union shall submit a 

5 business and marketing plan with such application 

6 that explains the credit union’s ability and intent to 

7 serve the population of the underserved area through 

8 the change in field of membership. 

9 ‘‘(2) REPORT BY CREDIT UNION.—Not later than 

10 2 years after the date on which a Federal credit 

11 union’s application described under paragraph (1) is 

12 approved, the credit union, as part of the ordinary 

13 course of the examination cycle and supervision proc14 ess, shall submit a report to the Administration that 

15 includes— 

16 ‘‘(A) an estimate of the number of members 

17 of the credit union who are members by reason 

18 of the application; 

19 ‘‘(B) a description of the types of financial 

20 services utilized by members of the credit union 

21 who are members by reason of the application; 

22 and 

23 ‘‘(C) an update of the credit union’s imple24 mentation of the business and marketing plan 

25 described under paragraph (1).’’. 


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1 SEC. 3. MEMBER BUSINESS LENDING IN UNDERSERVED 

2 AREAS. 

3 Section 107A(c)(1)(B) of the Federal Credit Union Act 

4 (12 U.S.C. 1757a(c)(1)(B)) is amended— 

5 (1) in clause (iv), by striking ‘‘or’’ at the end; 

6 (2) in clause (v), by striking the period and in7 serting ‘‘; or’’; and 

8 (3) by adding at the end the following: 

9 ‘‘(vi) that is made to a member or as10 sociated borrower that lives in or operates 

11 in an underserved area.’’. 

12 SEC. 4. UNDERSERVED AREA DEFINED. 

13 Section 101 of the Federal Credit Union Act (12 

14 U.S.C. 1752) is amended— 

15 (1) in paragraph (8), by striking ‘‘; and’’ and 

16 inserting a period; 

17 (2) in paragraph (9), by striking the period at 

18 the end and inserting ‘‘; and’’; and 

19 (3) by adding at the end the following: 

20 ‘‘(10) The term ‘underserved area’ means a geo21 graphic area consisting of one or more population 

22 census tracts or one or more counties, that encompass 

23 or are located within— 

24 ‘‘(A) an investment area, as defined under 

25 section 103(16) of the Community Development 

26 Banking and Financial Institutions Act of 1994; 


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1 ‘‘(B) groups of contiguous census tracts in 

2 which at least 85 percent individually qualify as 

3 low-income communities, as defined under sec4 tion 45D(e) of the Internal Revenue Code of 

5 1986; or 

6 ‘‘(C) an area that is more than ten miles, 

7 as measured from each point along the area’s pe8 rimeter, from the nearest branch of a depository 

9 institution (as defined under section 3 of the 

10 Federal Deposit Insurance Act) or credit 

11 union.’’. 

12 SEC. 5. REPORTS BY THE NATIONAL CREDIT UNION ADMIN13 ISTRATION. 

14 (a) INITIAL REPORT.—Not later than 3 years after the 

15 date of enactment of this Act, but no sooner than 2 years 

16 after the date of enactment of this Act, the National Credit 

17 Union Administration shall issue a report to the Committee 

18 on Financial Services of the House of Representatives and 

19 the Committee on Banking, Housing, and Urban Affairs 

20 of the Senate on the implementation of the amendments 

21 made by this Act. 

22 (b) UPDATE.—The National Credit Union Adminis23 tration shall issue an updated report on the implementation 

24 of the amendments made by this Act to the committees de25 scribed under subsection (a) on the date that is 5 years after 


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1 the date on which the Administration issues the initial re2 port under subsection (a). 


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Union Calendar No. 265 

117TH CONGRESS 

2D SESSION H. R. 7003 

[Report No. 117–351] 

A BILL 

To amend the Federal Credit Union Act to permit 

and for other purposes. credit unions to serve certain underserved areas, 

JUNE 7, 2022 

Reported with an amendment, committed to the Comand ordered to be printed mittee of the Whole House on the State of the Union, 


kjohnson on DSK79L0C42PROD with BILLS