February 11, 2025
Mr. Hagerty (for himself and Ms. Blunt Rochester) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs
To amend the Federal Credit Union Act to modify the frequency of board of directors meetings, and for other purposes.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
Section 1. Short title
This Act may be cited as the Credit Union Board Modernization Act
.
Sec. 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
and inserting the following:
(a) In general
The board of directors;
(3)
in subsection (a), as so designated, in the matter preceding paragraph (1), by striking shall meet at least once a month and
; and
(4)
by adding at the end the following:
(b) Meetings
The board of directors of a Federal credit union shall meet as follows:
(1)
Not less frequently than monthly during the 5-year period beginning on the date on which the organization certificate of the Federal credit union is approved.
(2)
After the expiration of the 5-year period described in paragraph (1)—
(A)
not less frequently than 6 times annually, with at least 1 meeting held during each fiscal quarter, with respect to a Federal credit union—
(i)
with composite rating of 1 or 2 under the Uniform Financial Institutions Rating System (or an equivalent rating under a comparable rating system); and
(ii)
with a capability of management rating under the composite rating described in clause (i) of 1 or 2; and
(B)
not less frequently than monthly, with respect to a Federal credit union—
(i)
with composite rating of 3, 4, or 5 under the Uniform Financial Institutions Rating System (or an equivalent rating under a comparable rating system); or
(ii)
with a capability of management rating under the composite rating described in clause (i) of 3, 4, or 5.