Credit Union Board Modernization Act

Bill: 117-s-4325
Sponsor: full_name: Sen. Sinema, Kyrsten [D-AZ]
Introduced: 2022-05-26
Policy area: Finance and Financial Sector
Subjects: Administrative remedies

Banking and financial institutions regulation

Corporate finance and management

National Credit Union Administration
Latest action: action_date: 2022-05-26
text: Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.

Summaries:
action_date: 2022-05-26
action_desc: Introduced in Senate
text: <p><b>Credit Union Board Modernization Act </b></p> <p>This bill revises the frequency of meetings required to be held by a credit union's board of directors. Specifically, the bill requires monthly meetings for new credit unions during their first five years and for credit unions with a low soundness rating. All other credit unions must hold at least six meetings annually, with at least one meeting held during each fiscal quarter. Currently, all credit union boards must meet at least once a month.</p>

tv_txt: II 117th CONGRESS 2d Session S. 4325 IN THE SENATE OF THE UNITED STATES May 26, 2022 Ms. Sinema (for herself, Mr. Hagerty , Mr. Padilla , and Mr. Tillis ) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs A BILL To amend the Federal Credit Union Act to modify the frequency of board of directors meetings, and for other purposes.

1. Short title This Act may be cited as the Credit Union Board Modernization Act . 2. Frequency of board of directors meetings Section 113 of the Federal Credit Union Act ( 12 U.S.C. 1761b ) is amended— (1) in paragraph (15), by striking monthly each place the term appears; (2) in the matter preceding paragraph (1), by striking The board of directors shall meet at least once a month and and inserting the following: (a) In general The board of directors ; and (3) by adding at the end the following: (b) Meetings The board of directors shall meet as follows: (1) Except as provided in paragraphs (2) and (3), not less frequently than 6 times annually, with not fewer than 1 meeting held during each fiscal quarter. (2) Not less frequently than monthly during the 5-year period beginning on the date on which the charter is issued. (3) Not less frequently than monthly with respect to a Federal credit union with composite rating of 4 or 5 under the Uniform Financial Institutions Rating System (or an equivalent rating under a comparable rating system). .