This part changes how often a credit union board must meet. A new credit union still meets monthly for its first five years. A well rated one may meet six times a year instead. A poorly rated one must keep meeting monthly.
The document says “is amended”Who acts: CongressHow: statuteSec. 904 in the PDF
What the document says
“in subsection (a) (as so designated), by striking ``shall meet at least once a month and''; and”
The section amends section 113 of the Federal Credit Union Act by striking the word monthly wherever it appears, designating the opening matter as subsection (a), and striking the requirement that the board meet at least once a month.
What the document actually says
“in subsection (a) (as so designated), by striking ``shall meet at least once a month and''; and”
That sentence, in plain words
Words about meeting at least once a month come out of an older law.
What this is about
Every federal credit union board once had to meet monthly. That rule applied whatever the size or shape of the credit union. It is now replaced.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall”Who acts: boards of directors of Federal credit unionsHow: statuteSec. 904 in the PDF
What the document says
“``(2) Not less than six times annually, with at least one meeting held during each fiscal quarter, with respect to a Federal credit union-- ``(A) with a composite rating of either 1 or 2 under the Uniform Financial Institutions Rating System (or an equivalent rating under a comparable rating system); and”
The section adds a new subsection (b) to section 113 of the Federal Credit Union Act setting three schedules. A new credit union must meet at least monthly for its first five years. A credit union with a composite rating of 1 or 2 and a management rating of 1 or 2 must meet at least six times a year with at least one meeting each fiscal quarter. A credit union with a composite or management rating of 3, 4, or 5 must meet at least once a month.
What the document actually says
“``(2) Not less than six times annually, with at least one meeting held during each fiscal quarter, with respect to a Federal credit union-- ``(A) with a composite rating of either 1 or 2 under the Uniform Financial Institutions Rating System (or an equivalent rating under a comparable rating system); and”
That sentence, in plain words
A well rated credit union must meet at least six times a year. At least one meeting must fall in each quarter. The rating must be 1 or 2 on a standard scale.
What this is about
Examiners score a credit union from 1 to 5. A 1 or 2 means it is in good shape. A 3 or worse means the board keeps meeting monthly.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The two things the section does: the removal of the flat monthly meeting rule, and the new schedule that turns on how old the credit union is and how it is rated.
Purely mechanical amendments. Striking the word monthly and redesignating the opening matter as a subsection are recorded through the new schedule they make room for.
The section works by amending section 113 of the Federal Credit Union Act, which is not indexed here, so nothing is recorded about the board's other duties.
