109 HR 2317 IH: Credit Union Regulatory Improvements Act of 2005
U.S. House of Representatives
2005-05-12
text/xml
EN
Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
1.This Act may be cited as the Credit Union Regulatory Improvements Act of 2005
.
<enum>I</enum><header>Capital Reform</header>
<section id="H3F1646F94F23435697D7FA8CDE4D7214"><enum>101.</enum><header>Amendments to net worth categories</header><text display-inline="no-display-inline">Section 216(c)(1) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(c)(1)</external-xref>) is amended as follows:</text>
<paragraph id="HBC49F61E83DD474FAD1DCE4107DAC1D4"><enum>(1)</enum><header>Well capitalized</header>
<subparagraph id="HDA025618FC5F4A5D8C4EDC4081C63594"><enum>(A)</enum><text display-inline="yes-display-inline">In subparagraph (A)(i), by striking <quote>7 percent</quote> and inserting <quote>5 percent</quote>.</text></subparagraph>
<subparagraph id="HF3F65B7DFDD9423CA60271E6AB5722F8"><enum>(B)</enum><text display-inline="yes-display-inline">In subparagraph (A)(ii), by striking <quote>it meets any applicable risk-based net worth requirement under subsection (d) of this section</quote> and inserting <quote>it has a risk-based net worth ratio of not less than 8 percent</quote>.</text></subparagraph></paragraph>
<paragraph id="H641EDE8326E94C398614BFFEF8270068"><enum>(2)</enum><header>Adequately capitalized</header>
<subparagraph id="H3406F04A3FEF4DAB007FFFDA73BB4400"><enum>(A)</enum><text>In subparagraph (B)(i), by striking <quote>6 percent</quote> and inserting <quote>4 percent</quote>.</text></subparagraph>
<subparagraph id="H5E0845D2E18E4EE7B036F01DB5E85817"><enum>(B)</enum><text display-inline="yes-display-inline">In subparagraph (B)(ii), by striking <quote>it meets any applicable risk-based net worth requirement under subsection (d) of this section</quote> and inserting <quote>it has a risk-based net worth ratio of not less than 8 percent</quote>.</text></subparagraph></paragraph>
<paragraph id="HE79C2736338F482985D500B6297F0406"><enum>(3)</enum><header>Under capitalized</header>
<subparagraph id="H8D512D5C2142415FB2201D49876CE8C2"><enum>(A)</enum><text display-inline="yes-display-inline">In subparagraph (C)(i), by striking <quote>6 percent</quote> and inserting <quote>4 percent</quote>.</text></subparagraph>
<subparagraph id="H83347BD1150440FF9225577619C2BB3"><enum>(B)</enum><text>In subparagraph (C)(ii), by striking <quote>it fails to meet any applicable risk-based net worth requirement under subsection (d)</quote> and inserting <quote>it has a risk-based net worth ratio of less than 8 percent</quote>.</text></subparagraph></paragraph>
<paragraph id="HCBAD0AE6603F43CC97AB39CECA963D00"><enum>(4)</enum><header>Significantly undercapitalized</header>
<subparagraph id="H6C7AFA4B30D640BFA86D811C91B7C4B6"><enum>(A)</enum><text display-inline="yes-display-inline">In that portion of subparagraph (D) that precedes clause (i), by inserting <quote>if</quote> after <quote><quote>significantly undercapitalized</quote></quote>.</text></subparagraph>
<subparagraph id="HF5A260CFC6FE45D89003F941AA63E9BB"><enum>(B)</enum><text>In subparagraph (D)(i)—</text>
<clause id="H6F0041F6DC2F45B494ED1BCA663D8CC7"><enum>(i)</enum><text>by striking <quote>if</quote>;</text></clause>
<clause id="HCCE5276B3E8C40F6BC00FDFFF59FB128"><enum>(ii)</enum><text>by striking <quote>4 percent</quote> and inserting <quote>3 percent</quote>; and</text></clause>
<clause id="H7E42602A183B45C7908B98E59460FFB7"><enum>(iii)</enum><text>by striking <quote>or</quote> after the semicolon.</text></clause></subparagraph>
<subparagraph id="H89CEEC1E21CF4E9D90B7D42615E6E06F"><enum>(C)</enum><text>By striking clause (ii) of subparagraph (D) and inserting the following new clauses:</text>
<quoted-block style="OLC" id="H5991C449AD7A413D95E100CD648FBCE" display-inline="no-display-inline">
<clause id="H4FA177F0612F41ABAEC38C584DB84604"><enum>(ii)</enum><text display-inline="yes-display-inline">the insured credit union has a risk-based net worth ratio of less than 6 percent; or</text></clause>
<clause id="HA5423E72CD4D4EF1AAE612C3FF777341"><enum>(iii)</enum><text>the insured credit union has a net worth ratio of less than 4 percent, and—</text>
<subclause id="HDED4D9AAD69E42DB96582D5382888400"><enum>(I)</enum><text display-inline="yes-display-inline">fails to submit an acceptable net worth restoration plan within the time allowed under subsection (f); or</text></subclause>
<subclause id="H28093BCEEEB447A7BBF12372CBAEC6F9"><enum>(II)</enum><text display-inline="yes-display-inline">materially fails to implement a net worth restoration plan accepted by the Board.</text></subclause></clause><after-quoted-block>.</after-quoted-block></quoted-block></subparagraph></paragraph>
<paragraph id="H8DFF57F964F54823A11B9B8291D84D19"><enum>(5)</enum><header>Relevant capital measures</header><text>Section 216(c)(2) is amended by striking <quote>leverage limit</quote> and inserting <quote>relevant capital measures</quote>. </text></paragraph></section>
<section id="HBF68214C2B4348F9B61154798F107573"><enum>102.</enum><header>Amendments relating to risk-based net worth requirements</header>
<subsection id="H3B7750FA37744C80A276BC7C174EBDC7"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Section 216(d) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(d)</external-xref>) is amended—</text>
<paragraph id="H6FEA437A4A6D4115A97F95B5B85E5B4F"><enum>(1)</enum><text>in paragraph (1)—</text>
<subparagraph id="HC8A2B60C07E14101988449151EE17B44"><enum>(A)</enum><text>by striking <quote>that are complex, as defined by the Board</quote>; and</text></subparagraph>
<subparagraph id="H81F4FE013E6C451DBFB91EC5F5277439"><enum>(B)</enum><text>by inserting <quote>, as defined by the Board</quote> before the period at the end; and</text></subparagraph></paragraph>
<paragraph id="H00AF764051BD4AA097FBB5FEE2547768"><enum>(2)</enum><text>by striking paragraph (2) and inserting the following new paragraph:</text>
<quoted-block style="OLC" id="H5938ACAEA6F34781A2872108DEBE0088" display-inline="no-display-inline">
<paragraph id="H73A92D8CAAD347969C935423D9AFF153"><enum>(2)</enum><header>Standard</header><text display-inline="yes-display-inline">The Board shall design the risk-based net worth requirement in relation to risk assets, as defined by the Board, to take account of any material risks to insured credit unions, based on comparable standards for taking into account material risks to insured depository institutions under the Federal Deposit Insurance Act that are applicable to credit unions.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection id="H7085FB671C94479E84E32EC08FC4D05"><enum>(b)</enum><header>Technical and conforming amendment</header><text display-inline="yes-display-inline">The heading for subsection (d) of section 216 of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(d)</external-xref>) is amended by striking <quote><header-in-text level="subsection" style="OLC">for Complex Credit Unions</header-in-text></quote>.</text></subsection></section>
<section id="H1657BC458837449EA9E7D399DA8B253E"><enum>103.</enum><header>Treatment based on other criteria</header><text display-inline="no-display-inline">Section 216(h)(2) of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(h)(2)</external-xref>) is amended by inserting <quote>, except to reclassify an insured credit union into the next lower net worth category, based on interest rate risk, to the extent any such reclassification by a delegatee may be reviewed by the Board,</quote> after <quote>to reclassify an insured credit union into a lower net worth category</quote>.</text></section>
<section id="H894AF3157D40433E8D370023A65655B"><enum>104.</enum><header>Definitions relating to net worth</header>
<subsection id="HD702E83F6A1D423CA48565AE568D78F0"><enum>(a)</enum><header>Net worth</header><text>Section 216(o)(2) of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(o)(2)</external-xref>) is amended—</text>
<paragraph id="HA0C2FF42465A4E0BB4F04E9D77663703"><enum>(1)</enum><text>in subparagraph (A)—</text>
<subparagraph id="H3D8F2596F9B941E8B70000B616BEE570"><enum>(A)</enum><text display-inline="yes-display-inline">by inserting “the” before “retained earnings balance”; and</text></subparagraph>
<subparagraph id="H472EB2EA5A234596BB1416B58BD71D00"><enum>(B)</enum><text display-inline="yes-display-inline">by inserting “, together with any amounts that were previously retained earnings of any other credit union with which the credit union has combined” before the semicolon at the end; and</text></subparagraph></paragraph>
<paragraph id="H8597E5F19F0E4F848101DA65A3C28066"><enum>(2)</enum><text>in subparagraph (B), by inserting <quote>, subject to paragraph (6),</quote> after <quote>includes</quote>. </text></paragraph></subsection>
<subsection id="H91296D5473574F56A579452885A5F1D7"><enum>(b)</enum><header>Secondary capital accounts</header><text>Section 216(o) of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(o)</external-xref>) is amended by adding at the end the following new paragraph:</text>
<quoted-block style="OLC" id="HAC3B7F6BE34A4B7F81E02D009D54AC64" display-inline="no-display-inline">
<paragraph id="H34084DA1D1EA4F25BC288400BAC4B9D2"><enum>(6)</enum><header>Secondary capital accounts for purposes of determining net worth</header><text display-inline="yes-display-inline">The Board may establish, by regulation, the following limitations on the secondary capital accounts that may be included for purposes of determining the net worth of any low-income credit union pursuant to paragraph (2)(B):</text>
<subparagraph id="H333565B7267C4E7C9C55FBA68626676"><enum>(A)</enum><text>A limitation on the initial maturity of any such account.</text></subparagraph>
<subparagraph id="HC24C268B6D074A9C97ED9E36966721A5"><enum>(B)</enum><text>A reduction or limitation on the net worth valuation of any such account based on the remaining period to maturity.</text></subparagraph>
<subparagraph id="HD723648970334D35ADCF22556B4C4233"><enum>(C)</enum><text>Any other limitation the Board determines to be appropriate, for safety and soundness purposes, with respect to credit unions that are not defined as small credit unions by the Board.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HB0FF426BC1B64480BA8E60766BE6143C"><enum>(c)</enum><header>Net worth ratio</header><text>Paragraph (3) of section 216(o) of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(o)(3)</external-xref>) is amended—</text>
<paragraph id="HEC7E7F5830044CD58FC488019BE6A316"><enum>(1)</enum><text>by inserting <quote>minus the credit union’s deposit in the Fund</quote> after <quote>net worth of the credit union</quote>; and</text></paragraph>
<paragraph id="HA46F6E171F6546C6AA67EEE7EBAE33B3"><enum>(2)</enum><text display-inline="yes-display-inline">by inserting <quote>minus the credit union’s deposit in the Fund</quote> after <quote>total assets of the credit union</quote>.</text></paragraph></subsection>
<subsection id="HB7141F81C3894B579EF55CCD1B85004F"><enum>(d)</enum><header>Risk-based net worth ratio</header><text>Section 216(o) of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d</external-xref>)(o)) is amended by inserting after paragraph (4) the following new paragraph:</text>
<quoted-block style="OLC" id="H48D5EFA5B3C04EA5A6E9D67FB9AD5154" display-inline="no-display-inline">
<paragraph id="H4876AD8D9233400B9062B62B575F69A1"><enum>(5)</enum><header>Risk-based net worth ratio</header><text>The term <quote>risk-based net worth ratio</quote> means, with respect to any credit union, the ratio of—</text>
<subparagraph id="H7D50CE0088C844D582BF45F796D6DECB"><enum>(A)</enum><text>the sum of the amount of the net worth of the credit union and the amount of the loan loss reserves held by the credit union (subject to such limits on the extent to which loan loss reserves may be taken into account for purposes of determining such ratio as the Board may prescribe), minus the amount of the credit union’s deposit in the Fund; to</text></subparagraph>
<subparagraph id="H04C954EAA725406186F1B380446AB8B"><enum>(B)</enum><text>the amount of the risk assets of the credit union,</text></subparagraph><continuation-text continuation-text-level="paragraph">as defined by the Board by regulation.</continuation-text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section>
<section id="H2C35346F5998411BA2071D681FFCB000"><enum>105.</enum><header>Amendments relating to net worth restoration plans</header>
<subsection id="HB1A1E2BB49B841C4BA00B5F38CFC49"><enum>(a)</enum><header>Short-term waiver of requirement for net worth restoration plan allowed under certain circumstances</header>
<paragraph id="H61D48D8AC73D4BB3BFD38CEF9517E5F1"><enum>(1)</enum><header>In general</header><text>Subsection (f) of section 216 of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(f)</external-xref>) is amended by adding at the end the following new paragraph:</text>
<quoted-block style="OLC" id="H0EF32503C32E41F200AEAC87E3A729C" display-inline="no-display-inline">
<paragraph id="H903342F15CDD433A00C4C50197599BD8"><enum>(6)</enum><header>Short-term waiver for certain marginally undercapitalized credit unions</header><text>The Board may, by order on a case-by-case basis, waive the applicability of the requirement for an undercapitalized credit union to submit an acceptable net worth restoration plan to the Board if the Board determines that—</text>
<subparagraph id="H8F0E7E533B614C95B16CA56F87C70004"><enum>(A)</enum><text>the loss of adequately capitalized status by the credit union is growth-related;</text></subparagraph>
<subparagraph id="H7C09BC8510524CEA845BAADF9C743E75"><enum>(B)</enum><text>the credit union is only marginally undercapitalized; and</text></subparagraph>
<subparagraph id="H3572F09B865E49ACB8A2598146FCAB"><enum>(C)</enum><text>the credit union will only remain undercapitalized for a relatively short period of time.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="H29D68CD9ABA740F6A8B3B0001B9C542C"><enum>(2)</enum><header>Technical and conforming amendment</header><text display-inline="yes-display-inline">Paragraph (1) of section 216(f) of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(f)(1)</external-xref>) is amended by inserting <quote>(other than a credit union for which an order under paragraph (6) is in effect)</quote> after <quote>credit union that is undercapitalized</quote>.</text></paragraph></subsection>
<subsection id="H8F1D870362BD4BC093B93668CFEE2127"><enum>(b)</enum><header>Treatment of approval of plan</header><text display-inline="yes-display-inline">Paragraph (2) of section 216(e) of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(e)(2)</external-xref>) is amended by inserting <quote>, or approve a net worth restoration plan of such credit union that by its terms provides for such a decrease,</quote> after <quote>to a credit union</quote>.</text></subsection>
<subsection id="HDD23658C334E48DF87BBAE3228432B58"><enum>(c)</enum><header>Board action may include order to credit union</header><text display-inline="yes-display-inline">Subparagraph (B) of section 216(i)(1) of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(i)(1)(B)</external-xref>) is amended—</text>
<paragraph id="HDFCB7DA3B1F04952A8FFA842501B8F04"><enum>(1)</enum><text>by inserting <quote>, in the discretion of the Board,</quote> after <quote>as the Board</quote>; and </text></paragraph>
<paragraph id="H4683A31A95824841AC336152B08964AB"><enum>(2)</enum><text>by inserting <quote>including issuing an order to the credit union requiring the credit union to take action that the Board determines would achieve such purpose,</quote> after <quote>the purpose of this section,</quote>.</text></paragraph></subsection>
<subsection id="H17AF9B6DEC7B4192A1581845C665936C"><enum>(d)</enum><header>Substitution of 3-month period for calendar quarter</header><text display-inline="yes-display-inline">Subparagraph (A) of section 216(i)(3) of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(i)(3)(A)</external-xref>) is amended—</text>
<paragraph id="H34B4D3D2DD9946C18EFC00B85027C679"><enum>(1)</enum><text>by striking <quote>calendar quarter</quote> and inserting <quote>3-month period</quote>; and</text></paragraph>
<paragraph id="H65A157BCB9A5485A80885106CF1BF83C"><enum>(2)</enum><text>by inserting <quote>first</quote> after <quote>the date on which the credit union</quote>.</text></paragraph></subsection>
<subsection id="H36E62A22946D46F7BD40982282A022E"><enum>(e)</enum><header>Clarification of coordination requirement</header><text display-inline="yes-display-inline">Clause (ii) of section 216(l)(3)(A) of the Federal Credit Union Act (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(l)(3)(A)</external-xref>) is amended by inserting <quote>if the Board determines that such action by the official will carry out the purposes of this section</quote>.</text></subsection></section>
<enum>II</enum><header>Economic Growth</header>
<section id="H45B3DF8B2B524703A76D00FB57C2632F"><enum>201.</enum><header>Limits on member business loans</header><text display-inline="no-display-inline">Section 107A(a) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1757a">12 U.S.C. 1757a(a)</external-xref>) is amended by striking <quote>the lesser of—</quote> and all that follows and inserting <quote>20 percent of the total assets of the credit union.</quote>.</text></section>
<section id="HB41B52C77EC544E487823F3EEEAB1B4D"><enum>202.</enum><header>Definition of member business loan</header><text display-inline="no-display-inline">Section 107A(c)(1)(B)(iii) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1757a">12 U.S.C. 1757a(c)(1)(B)(iii)</external-xref>) is amended by striking <quote>$50,000</quote> and inserting <quote>an amount, not to exceed $100,000, that the Board shall prescribe by regulation</quote>.</text></section>
<section id="H6D8FFF71649A403F8385C71E9F365737"><enum>203.</enum><header>Restriction on member business loans</header><text display-inline="no-display-inline">Section 216(g)(2) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1790d">12 U.S.C. 1790d(g)(2)</external-xref>) is amended by striking <quote>until such time as the credit union becomes adequately capitalized</quote> and inserting <quote>unless otherwise approved by the Board</quote>.</text></section>
<section id="H3388D60EA356434281A5AE8CDD7544E6" display-inline="no-display-inline"><enum>204.</enum><header>Member business loan exclusion for loans to nonprofit religious organizations</header><text display-inline="no-display-inline">Section 107A(a) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1757a">12 U.S.C. 1757a(a)</external-xref>) is amended by inserting <quote>, excluding loans made to nonprofit religious organizations,</quote> after <quote>total amount of such loans</quote>.</text></section>
<section id="H90417CBF8B9C4D59B590C7119357FCD9" display-inline="no-display-inline"><enum>205.</enum><header>Credit unions authorized to lease space in buildings in credit union offices in underserved areas</header><text display-inline="no-display-inline">Section 107 of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1757">12 U.S.C. 1757</external-xref>) is amended—</text>
<paragraph id="H603DAF3252B94CE393E935EE121D4FBE"><enum>(1)</enum><text>by striking <quote>and</quote> at the end of paragraph (16);</text></paragraph>
<paragraph id="HFCA12A1223BF4B6DB1B9F02114290051"><enum>(2)</enum><text>by redesignating paragraph (17) as paragraph (18);</text></paragraph>
<paragraph id="H37709DBE3BA84E0B8D5EDE5F825A200"><enum>(3)</enum><text>by inserting after paragraph (16) the following new paragraph:</text>
<quoted-block id="H052A5A98A923472D00A29BF792038BA0">
<paragraph id="H902E22281AFC49EAA12900005057B5EC"><enum>(17)</enum><text>with regard to any building purchased or constructed by the credit union for a credit union office or credit union operations in an underserved area, to lease office space in such building that is separate and clearly distinct from any office or operation of the credit union to any business enterprise, subject to such regulations the Board may prescribe, taking into account the safety and soundness of the credit union; and</text></paragraph><after-quoted-block>;</after-quoted-block></quoted-block></paragraph>
<paragraph id="H0FC32F4068BC458A958D16810000404C"><enum>(4)</enum><text>in the matter preceding paragraph (1) by striking <quote>A Federal credit union</quote> and inserting <quote>(a) <header-in-text level="subsection" style="OLC">In General</header-in-text>.—Any Federal credit union</quote>; and</text></paragraph>
<paragraph id="HF3D7FECAD0E6413E8CA713E3C8AD6844"><enum>(5)</enum><text display-inline="yes-display-inline">adding at the end the following new subsection:</text>
<quoted-block act-name="Federal" id="HA972232B6B5245BCA446268F14B24708">
<subsection id="HA9A28166DFAE48CEABC11E8BA0139C62"><enum>(c)</enum><header>Underserved area defined</header><text>For purposes of subsection (a)(17), the term <term>underserved area</term> means an area consisting of 1 or more census tracts that have—</text>
<paragraph id="H2B059DCD04864653BBFB4193AB49352C"><enum>(1)</enum><text>a poverty rate of 20 percent or greater, based on the most recent census data; or</text></paragraph>
<paragraph id="H5CC02BD7DA2B498194D023B93CC77484"><enum>(2)</enum><text>a median family income that does not exceed 80 percent of the greater of—</text>
<subparagraph id="H82B925FE05FF4B00A41C411E77DFE670"><enum>(A)</enum><text>the median family income for the metropolitan area in which such census tract or tracts are located; or</text></subparagraph>
<subparagraph id="HA35ABD6D3FC644B398457EDB9397EA43"><enum>(B)</enum><text>the median family income for the State in which such census tract or tracts are located.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph> </section>
<enum>III</enum><header>Regulatory Modernization</header>
<section id="H2C30657304154AEB9E07F297252C683C"><enum>301.</enum><header>Leases of land on Federal facilities for credit unions</header>
<subsection id="H85848F02A9F94E4183DCAEFC5D8B9496"><enum>(a)</enum><header>In general</header><text>Section 124 of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1770">12 U.S.C. 1770</external-xref>) is amended—</text>
<paragraph id="HC569A7830C344918BCC79FDF964A098"><enum>(1)</enum><text>by striking <quote>Upon application by any credit union</quote> and inserting <quote>Notwithstanding any other provision of law, upon application by any credit union</quote>;</text></paragraph>
<paragraph id="HDCA38DC7D9B14972ACA642E00587904"><enum>(2)</enum><text>by inserting <quote>on lands reserved for the use of, and under the exclusive or concurrent jurisdiction of, the United States or</quote> after <quote>officer or agency of the United States charged with the allotment of space</quote>;</text></paragraph>
<paragraph id="H5F3E2FE67171444697D36FB5A1C460D4"><enum>(3)</enum><text>by inserting <quote>lease land or</quote> after <quote>such officer or agency may in his or its discretion</quote>; and</text></paragraph>
<paragraph id="HB35DB50269664B83AAA69B0645EDFF9F"><enum>(4)</enum><text>by inserting <quote>or the facility built on the leased land</quote> after <quote>credit union to be served by the allotment of space</quote>.</text></paragraph></subsection>
<subsection id="HC5BC9772EA11442D8DE016F64957EC5E"><enum>(b)</enum><header>Clerical amendment</header><text>The heading for section 124 is amended by inserting <quote><header-in-text level="section" style="traditional">or on federal land</header-in-text></quote> after <quote><header-in-text level="section" style="traditional">buildings</header-in-text></quote>.</text></subsection></section>
<section id="H083FCFE2DA4A4863A0097C241C94A160"><enum>302.</enum><header>Investments in securities by Federal credit unions</header><text display-inline="no-display-inline">Section 107 of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1757">12 U.S.C. 1757</external-xref>) (as amended by section 205 of this Act) is amended by inserting after subsection (a) the following new subsection:</text>
<quoted-block id="HB0A785ABF47C49BFB4B29FE17FD0013">
<subsection id="HCCBDF2E93B084F9B815493E377EB8152"><enum>(b)</enum><header>Investment for the credit union’s own account</header>
<paragraph id="H76B84ACC4EA04178A1A3525B1E5069B2"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">In addition to the investments authorized in subsection (a), a Federal credit union may purchase and hold for its own account such investment securities of investment grade as the Board may authorize by regulation, subject to such limitations and restrictions as the Board may prescribe in the regulations.</text></paragraph>
<paragraph id="H7A32DC93E0F249A2B5C0998BC8677F64"><enum>(2)</enum><header>Percentage limitations</header>
<subparagraph id="HEAC3907C147549C79F6E88573FD9A635"><enum>(A)</enum><header>Single obligor</header><text>In no event may the total amount of investment securities of any single obligor or maker held by a Federal credit union for the credit union’s own account exceed at any time an amount equal to 10 percent of the net worth of the credit union.</text></subparagraph>
<subparagraph id="H5B713A45992449818B755EFA20DA08A6"><enum>(B)</enum><header>Aggregate investments</header><text>In no event may the aggregate amount of investment securities held by a Federal credit union for the credit union’s own account exceed at any time an amount equal to 10 percent of the assets of the credit union.</text></subparagraph></paragraph>
<paragraph id="H4661B2E8BD2E454D9981B15357E1A14"><enum>(3)</enum><header>Investment security defined</header>
<subparagraph id="H2770E333993D4773AD3671B6F908284C"><enum>(A)</enum><header>In general</header><text>For purposes of this subsection, the term <term>investment security</term> means marketable obligations evidencing the indebtedness of any person in the form of bonds, notes, or debentures and other instruments commonly referred to as investment securities.</text></subparagraph>
<subparagraph id="HCE026665A38243CB86A043C6E78EC595"><enum>(B)</enum><header>Further definition by Board</header><text>The Board may further define the term <term>investment security</term>.</text></subparagraph></paragraph>
<paragraph id="H609C6C1F095345210089D679BFDDDB03"><enum>(4)</enum><header>Investment grade defined</header><text>The term <term>investment grade</term> means with respect to an investment security purchased by a credit union for its own account, an investment security that at the time of such purchase is rated in one of the 4 highest rating categories by at least 1 nationally recognized statistical rating organization.</text></paragraph>
<paragraph id="H7E8D0E2A06AC4DA8AB03D87845D53496"><enum>(5)</enum><header>Clarification of prohibition on stock ownership</header><text>No provision of this subsection shall be construed as authorizing a Federal credit union to purchase shares of stock of any corporation for the credit union’s own account, except as otherwise permitted by law.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </section>
<section id="H7AAB25FD3A1840578E6B30270746C733"><enum>303.</enum><header>Increase in general 12-year limitation of term of Federal credit union loans to 15 years</header><text display-inline="no-display-inline">Section 107(a)(5) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1757">12 U.S.C. 1757(5)</external-xref>) (as so designated by section 205 of this Act) is amended—</text>
<paragraph id="H016340131F9F4B56963CFCB24992642D"><enum>(1)</enum><text>in the matter preceding subparagraph (A), by striking <quote>to make loans, the maturities of which shall not exceed twelve years except as otherwise provided herein</quote> and inserting <quote>to make loans, the maturities of which shall not exceed 15 years or any longer maturity as the Board may allow, in regulations, except as otherwise provided in this Act</quote>;</text></paragraph>
<paragraph id="HFCD74B4448784B41A07775D61FC2D05F"><enum>(2)</enum><text>in subparagraph (A)—</text>
<subparagraph id="H677A6753597D44DCB389C18F75521472"><enum>(A)</enum><text>by striking clause (ii);</text></subparagraph>
<subparagraph id="HF04128C78A9A41AC8F777516F5B842D3"><enum>(B)</enum><text>by redesignating clauses (iii) through (x) as clauses (ii) through (ix), respectively; and</text></subparagraph>
<subparagraph id="H73F3E4E734304BF5846FAFC80000215D"><enum>(C)</enum><text>by inserting <quote>and</quote> after the semicolon at the end of clause (viii) (as so redesignated).</text></subparagraph></paragraph></section>
<section id="HCEDF12F3FC644A33AE0683F5534BCF7"><enum>304.</enum><header>Increase in 1 percent investment limit in credit union service organizations</header><text display-inline="no-display-inline">Section 107(a)(7)(I) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1757">12 U.S.C. 1757(7)(I)</external-xref>) (as so designated by section 205 of this Act) is amended by striking <quote>up to 1 per centum of the total paid</quote> and inserting <quote>up to 3 percent of the total paid</quote>.</text></section>
<section id="HB5666B33991041CCA287F7E00155654B"><enum>305.</enum><header>Check cashing and money transfer services offered within the field of membership</header><text display-inline="no-display-inline">Paragraph (12) of section 107(a) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1757">12 U.S.C. 1757(12)</external-xref>) (as so designated by 205 of this Act) is amended to read as follows:</text>
<quoted-block act-name="Federal Credit Union Act" id="H362EF0E3E6654B4FADDEDD5C04F8FCC7">
<paragraph id="H9B9ECA10916247A9A3357EB65706566C"><enum>(12)</enum><text>in accordance with regulations prescribed by the Board—</text>
<subparagraph id="HDCAB477256EE465E9087B5C4C6831B70"><enum>(A)</enum><text>to sell, to persons in the field of membership, negotiable checks (including travelers checks), money orders, and other similar money transfer instruments (including international and domestic electronic fund transfers); and</text></subparagraph>
<subparagraph id="H28AEF848F36846ADAA94E88F22C000BD"><enum>(B)</enum><text>to cash checks and money orders and receive international and domestic electronic fund transfers for persons in the field of membership for a fee;</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="H15E14F04B25B4F3CA8FC62996C605862"><enum>306.</enum><header>Voluntary mergers involving multiple common-bond credit unions</header><text display-inline="no-display-inline">Section 109(d)(2) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1759">12 U.S.C. 1759(d)(2)</external-xref>) is amended—</text>
<paragraph id="H6B6A4CE373D54605A1B21BEC21EB3F33"><enum>(1)</enum><text>by striking <quote>or</quote> at the end of clause (ii) of subparagraph (B);</text></paragraph>
<paragraph id="H4441F65A4BFE4F608391005B14A4DF1"><enum>(2)</enum><text>by striking the period at the end of subparagraph (C) and inserting <quote>; or</quote>; and</text></paragraph>
<paragraph id="H3A87D49C62E445578108B413D2C1D9A3"><enum>(3)</enum><text>by adding at the end the following new subparagraph:</text>
<quoted-block id="H9395A228EF3D4F4EB726C019DBA2007C">
<subparagraph id="H4F9E0E3AA76244A6B6E5B53E00A04093"><enum>(D)</enum><text>a merger involving any such Federal credit union approved by the Board on or after August 7, 1998.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section>
<section id="HD0D2E59659C6439A8EB6152B8971DADF"><enum>307.</enum><header>Conversions of certain credit unions to a community charter</header><text display-inline="no-display-inline">Section 109(g) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1759">12 U.S.C. 1759(g)</external-xref>) is amended by inserting after paragraph (2) the following new paragraph:</text>
<quoted-block act-name="Federal Credit Union Act" id="H5FCAB0891DF04AC0AA09C57DAE96064">
<paragraph id="HD89C7AEC519E4C4180CD308F28AAD398"><enum>(3)</enum><header>Criteria for continued membership of certain member groups in community charter conversions</header><text display-inline="yes-display-inline">In the case of a voluntary conversion of a credit union described in paragraph (1) or (2) of subsection (b) into a community credit union described in subsection (b)(3), the Board shall prescribe, by regulation, the criteria under which the Board may determine that a member group or other portion of a credit union’s existing membership, that is located outside the well-defined local community, neighborhood, or rural district that shall constitute the community charter, can be satisfactorily served by the credit union and remain within the community credit union’s field of membership permitting new members to be added from such groups.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="H0F995BF12D5D4C8A88AEC7CD14A6BFC"><enum>308.</enum><header>Credit union governance</header>
<subsection id="H964A8024F0674DA5821D0012F95B6C5E"><enum>(a)</enum><header>Expulsion of members for just cause</header><text>Subsection (b) of section 118 of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1764">12 U.S.C. 1764(b)</external-xref>) is amended to read as follows:</text>
<quoted-block act-name="Federal Credit Union Act" id="H8579953299B045CEA9B059209DA5DE14">
<subsection id="HD8EF4F30A9A64B1592FC1EE4A9A436C3"><enum>(b)</enum><header>Policy and actions of boards of directors of Federal credit unions</header>
<paragraph id="H1CC1AC000E0741D1A5B1406F11A6E665"><enum>(1)</enum><header>Expulsion of members for nonparticipation or for just cause</header><text>The board of directors of a Federal credit union may, by majority vote of a quorum of directors, adopt and enforce a policy with respect to expulsion from membership, by a majority vote of such board of directors, based on just cause, including disruption of credit union operations, or on nonparticipation by a member in the affairs of the credit union.</text></paragraph>
<paragraph id="H80187464F9F14C51BAF5B22C67CB51D9"><enum>(2)</enum><header>Written notice of policy to members</header><text>If a policy described in paragraph (1) is adopted, written notice of the policy as adopted and the effective date of such policy shall be provided to—</text>
<subparagraph id="H3B52D21168AC4C1F8CCF63934900522F"><enum>(A)</enum><text>each existing member of the credit union not less than 30 days prior to the effective date of such policy; and</text></subparagraph>
<subparagraph id="H5EE5A3598316449E99848C403300E6D1"><enum>(B)</enum><text>each new member prior to or upon applying for membership.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HAC86975F6D4449C693E1BFB201B52013"><enum>(b)</enum><header>Term limits authorized for Board members of Federal credit unions</header><text>Section 111(a) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1761">12 U.S.C. 1761(a)</external-xref>) is amended by adding at the end the following new sentence: <quote>The bylaws of a Federal credit union may limit the number of consecutive terms any person may serve on the board of directors of such credit union.</quote>.</text></subsection>
<subsection id="HFEE35EF11FFE46E8A4FCFD2478F816AD"><enum>(c)</enum><header>Reimbursement for lost wages due to service on credit union Board not treated as compensation</header><text>Section 111(c) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1761">12 U.S.C. 1761(c)</external-xref>) is amended by inserting <quote>, including lost wages,</quote> after <quote>the reimbursement of reasonable expenses</quote>.</text></subsection></section>
<section id="H4889539CF51B40C89EFE23BCD9DCE8CC"><enum>309.</enum><header>Providing the national credit union administration with greater flexibility in responding to market conditions</header><text display-inline="no-display-inline">Section 107(a)(5)(A)(vi)(I) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1757">12 U.S.C. 1757(5)(A)(vi)(I)</external-xref>) (as so designated and amended by sections 205 and 303 of this Act) is amended by striking <quote>six-month period and that prevailing interest rate levels</quote> and inserting <quote>6-month period or that prevailing interest rate levels</quote>.</text></section>
<section id="HAC4916AAFC294C578BF67B764592E9F3"><enum>310.</enum><header>Credit union conversion voting requirements</header><text display-inline="no-display-inline">Section 205(b)(2)(B) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1785">12 U.S.C. 1785(b)(2)(B)</external-xref>) is amended by inserting <quote>, in a vote in which at least 20 percent of the credit union membership participates</quote> before the period at the end.</text></section>
<section id="H2FAD25C853F84742B092ACC952401887"><enum>311.</enum><header>Exemption from pre-merger notification requirement of the <act-name parsable-cite="CLAY">Clayton Act</act-name></header><text display-inline="no-display-inline">Section 7A(c)(7) of the <act-name parsable-cite="CLAY">Clayton Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/15/18a">15 U.S.C. 18a(c)(7)</external-xref>) is amended by inserting <quote>section 205(b)(3) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/12/1785">12 U.S.C. 1785(b)(3)</external-xref>),</quote> before <quote>or section 3</quote>.</text></section>
<section id="H185D8113D41643F987E1D184FF2BCE00"><enum>312.</enum><header>Treatment of credit unions as banks under securities laws</header>
<subsection id="H90252AF9785E4A81890048C9C65D316F"><enum>(a)</enum><header>Definition of bank under the <act-name parsable-cite="SEA34">Securities Exchange Act of 1934</act-name></header><text>Section 3(a)(6) of the <act-name parsable-cite="SEA34">Securities Exchange Act of 1934</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/15/78c">15 U.S.C. 78c(a)(6)</external-xref>) is amended—</text>
<paragraph id="HDE944070922C41F29900E4B45FC194C"><enum>(1)</enum><text>by striking <quote>this title, and (D) a receiver</quote> and inserting <quote>this title, (D) an insured credit union (as defined in section 101(7) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name>) but only for purposes of paragraphs (4) and (5) of this subsection and only for activities otherwise authorized by applicable laws to which such credit unions are subject, and (E) a receiver</quote>; and</text></paragraph>
<paragraph id="HE64BECCB452148F98E66476E3FDE72BD"><enum>(2)</enum><text>in subparagraph (E) (as so redesignated by paragraph (1) of this subsection) by striking <quote>(A), (B), or (C)</quote> and inserting <quote>(A), (B), (C), or (D)</quote>.</text></paragraph></subsection>
<subsection id="HFE1F0CF2E20E417E8756E047F3FABBD5"><enum>(b)</enum><header>Definition of bank under the <act-name parsable-cite="IAA40">Investment Advisers Act of 1940</act-name></header><text>Section 202(a)(2) of the <act-name parsable-cite="IAA40">Investment Advisers Act of 1940</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/15/80b-2">15 U.S.C. 80b–2(a)(2)</external-xref>) is amended—</text>
<paragraph id="H747E207C66B547F1BEEEC9092805968F"><enum>(1)</enum><text>by striking <quote>this title, and (D) a receiver</quote> and inserting <quote>this title, (D) an insured credit union (as defined in section 101(7) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name>) but only for activities otherwise authorized by applicable laws to which such credit unions are subject, and (E) a receiver</quote>; and</text></paragraph>
<paragraph id="H112859CC6EA44B7FB709008C3C00BAF2"><enum>(2)</enum><text>in subparagraph (E) (as so redesignated by paragraph (1) of this subsection) by striking <quote>(A), (B), or (C)</quote> and inserting <quote>(A), (B), (C), or (D)</quote>.</text></paragraph></subsection>
<subsection id="HDE231EEA342C441BBF9BD3EB87ECD523"><enum>(c)</enum><header>Definition of appropriate Federal banking agency under the <act-name parsable-cite="SEA34">Securities Exchange Act of 1934</act-name></header><text display-inline="yes-display-inline">Section 3(a)(34) of the <act-name parsable-cite="SEA34">Securities Exchange Act of 1934 </act-name>(<external-xref legal-doc="usc" parsable-cite="usc/15/78c">15 U.S.C. 78c(a)(34)</external-xref>) is amended—</text>
<paragraph id="HD01F0099C11840E28C670042C276E709"><enum>(1)</enum><text>in subparagraph (A)—</text>
<subparagraph id="H88D4B5C5A76442BEBD92D45D7955BA05"><enum>(A)</enum><text>by striking <quote>and</quote> at the end of clause (iii);</text></subparagraph>
<subparagraph id="H73403676BFE243B98844E76C286B8BF6"><enum>(B)</enum><text>by redesignating clause (iv) as clause (v); and</text></subparagraph>
<subparagraph id="H1273810E30C44A739D02FBE4E50120EF"><enum>(C)</enum><text>by inserting the following new clause after clause (iii):</text>
<quoted-block style="OLC" id="H817BC037E1474FCD93E415CA24040001" display-inline="no-display-inline">
<clause id="HFB572D0F8A0D4D9487AFB5BDAF8B438C"><enum>(iv)</enum><text display-inline="yes-display-inline">the National Credit Union Administration Board, in the case of an insured credit union (as defined in section 101(7) of the Federal Credit Union Act) or a subsidiary or a department or division of any such insured credit union; and</text></clause><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph></paragraph>
<paragraph id="H3B73FE14EF4044B1B421B6F300DCC183"><enum>(2)</enum><text>in subparagraph (B)—</text>
<subparagraph id="H5FEBB1F7B6A24BF0AABA23D60B8D08"><enum>(A)</enum><text>by striking <quote>and</quote> at the end of clause (iii);</text></subparagraph>
<subparagraph id="H5DC05694A3984D22BE9514C593008E2B"><enum>(B)</enum><text>by redesignating clause (iv) as clause (v); and</text></subparagraph>
<subparagraph id="H1FF366C86B4E4DAD91DEB1F6686C30E"><enum>(C)</enum><text>by inserting the following new clause after clause (iii):</text>
<quoted-block style="OLC" id="HE3EEB0DB41C44F4D9DD05237C88E696" display-inline="no-display-inline">
<clause id="HE31885EE509C4A7E9930B35806003D21"><enum>(iv)</enum><text>the National Credit Union Administration Board, in the case of an insured credit union (as defined in section 101(7) of the Federal Credit Union Act) or a subsidiary of any such insured credit union; and</text></clause><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph></paragraph>
<paragraph id="H92589C6B25E545AD8BF4577FD0A2E736"><enum>(3)</enum><text>in subparagraph (C)—</text>
<subparagraph id="HE6FC19D5E3234A1199977C80AD4BB331"><enum>(A)</enum><text>by striking <quote>and</quote> at the end of clause (iii);</text></subparagraph>
<subparagraph id="H654BAF02CA5F494683CCC406FEECF807"><enum>(B)</enum><text>by redesignating clause (iv) as clause (v); and</text></subparagraph>
<subparagraph id="H8C1748F8C72D46A1AF03A45752971B62"><enum>(C)</enum><text>by inserting the following new clause after clause (iii):</text>
<quoted-block style="OLC" display-inline="no-display-inline" id="H9E9C216212C745A99E00857D1B62F3BD">
<clause id="H484AE8BB52FD4504B0A09DB8D38484A1"><enum>(iv)</enum><text>the National Credit Union Administration Board, in the case of an insured credit union (as defined in section 101(7) of the Federal Credit Union Act) or a subsidiary of any such insured credit union; and</text></clause><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph></paragraph>
<paragraph id="H661F9C77C09749599B562C5DACE368C"><enum>(4)</enum><text>in subparagraph (D)—</text>
<subparagraph id="HB508D76577E0440996599392E47EB0A4"><enum>(A)</enum><text>by striking <quote>and</quote> at the end of clause (ii);</text></subparagraph>
<subparagraph id="HF5D7C070419F4B96A71615B405F0947B"><enum>(B)</enum><text>by redesignating clause (iii) as clause (iv); and</text></subparagraph>
<subparagraph id="HF228B54713CD4CC9B73958AFDE16C9E5"><enum>(C)</enum><text display-inline="yes-display-inline">by inserting the following new clause after clause (ii):</text>
<quoted-block style="OLC" id="H3BFBD1DB38A74379B3357200917B88B7" display-inline="no-display-inline">
<clause id="HB2D95188676B45F48600BB082E4825C"><enum>(iii)</enum><text>the National Credit Union Administration Board, in the case of an insured credit union (as defined in section 101(7) of the Federal Credit Union Act); and</text></clause><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph></paragraph>
<paragraph id="H7033B3596F5C497C982D8358FC71401C"><enum>(5)</enum><text>in subparagraph (F)—</text>
<subparagraph id="H8AB68A9CE111486A8594A356D884E1E7"><enum>(A)</enum><text>by redesignating clauses (ii), (iii), and (iv) as clauses (iii), (iv), and (v), respectively; and</text></subparagraph>
<subparagraph id="H7D97EB35CE4D42C4BA277C3B24D85D00"><enum>(B)</enum><text>by inserting the following new clause after clause (i):</text>
<quoted-block style="OLC" id="H051209F5F0834FC3981D97DE814D1D00" display-inline="no-display-inline">
<clause id="HE32CA8C34B314AC5A8F424A02BF5CF9"><enum>(ii)</enum><text display-inline="yes-display-inline">the National Credit Union Administration Board, in the case of an insured credit union (as defined in section 101(7) of the Federal Credit Union Act);</text></clause><after-quoted-block>.</after-quoted-block></quoted-block></subparagraph></paragraph></subsection>
<subsection id="H1DB66460897346EA881D2CC37027C080"><enum>(d)</enum><header> Definition of appropriate Federal banking agency under the <act-name parsable-cite="IAA40">Investment Advisers Act of 1940</act-name></header><text>Section 210A(c) of the <act-name parsable-cite="IAA40">Investment Advisers Act of 1940</act-name> (15 U.S.C. 80b–10a(c)) is amended by inserting <quote>and includes the National Credit Union Administration Board, in the case of an insured credit union (as defined in section 101(7) of the <act-name parsable-cite="FCUA">Federal Credit Union Act</act-name>)</quote> before the period at the end.</text></subsection></section>