1.
(a)Section 217(c)(3) of
the Federal Credit Union Act (12 U.S.C. 1790e(c)(3)) is amended by inserting
before the period at the end the following: and any additional
advances
.
(b)Section
217 of the Federal Credit Union Act (12 U.S.C. 1790e) is amended by striking
subsection (d) and inserting the following:
(d)
(1)Assessments
relating to expenditures under subsection (b)In order to make
expenditures, as described in subsection (b), the Board may assess a special
premium with respect to each insured credit union in an aggregate amount that
is reasonably calculated to make any pending or future expenditure described in
subsection (b), which premium shall be due and payable not later than 60 days
after the date of the assessment. In setting the amount of any assessment under
this subsection, the Board shall take into consideration any potential impact
on credit union earnings that such an assessment may have.
(2)Special
premiums relating to repayments under subsection (c)(3)Not later
than 90 days before the scheduled date of each repayment described in
subsection (c)(3), the Board shall set the amount of the upcoming repayment and
shall determine whether the Stabilization Fund will have sufficient funds to
make the repayment. If the Stabilization Fund is not likely to have sufficient
funds to make the repayment, the Board shall assess with respect to each
insured credit union a special premium, which shall be due and payable not
later than 60 days after the date of the assessment, in an aggregate amount
calculated to ensure that the Stabilization Fund is able to make the required
repayment.
(3)Any
assessment or premium charge for an insured credit union under this subsection
shall be stated as a percentage of its insured shares, as represented on the
previous call report of that insured credit union. The percentage shall be
identical for each insured credit union. Any insured credit union that fails to
make timely payment of the assessment or special premium is subject to the
procedures and penalties described under subsections (d), (e), and (f) of
section
202.
.
2.Section 202(h)(2) of the
Federal Credit Union Act (12 U.S.C. 1782(h)(2)) is amended by striking
when applied to the Fund,
and inserting which shall be
calculated using the financial statements of the Fund alone, without any
consolidation or combination with the financial statements of any other fund or
entity,
.
3.Section 216(o)(2)
of the Federal Credit Union Act (12 U.S.C. 1790d(o)(2)) is amended to read as
follows:
(2)The term net worth—
(A)with respect to
any insured credit union, means the retained earnings balance of the credit
union, as determined under generally accepted accounting principles, together
with any amounts that were previously retained earnings of any other credit
union with which the credit union has combined;
(B)with respect to
any insured credit union, includes, at the Board’s discretion and subject to
rules and regulations established by the Board, assistance provided under
section 208 to facilitate a least-cost resolution consistent with the best
interests of the credit union system; and
(C)with respect to a
low-income credit union, includes secondary capital accounts that are—
(i)uninsured;
and
(ii)subordinate to
all other claims against the credit union, including the claims of creditors,
shareholders, and the
Fund.
.
4.Study of
National Credit Union Administration
(a)The
Comptroller General of the United States shall conduct a study of the National
Credit Union Administration’s supervision of corporate credit unions and
implementation of prompt corrective action.
(b)In conducting the study required under subsection (a),
the Comptroller General shall–
(1)determine the
reasons for the failure of any corporate credit union since 2008;
(2)evaluate the
adequacy of the National Credit Union Administration’s response to the failures
of corporate credit unions, including with respect to protecting taxpayers,
avoiding moral hazard, minimizing the costs of resolving such corporate credit
unions, and the ability of insured credit unions to bear any assessments levied
to cover such costs;
(3)evaluate the
effectiveness of implementation of prompt corrective action by the National
Credit Union Administration for both insured credit unions and corporate credit
unions; and
(4)examine whether
the National Credit Union Administration has effectively implemented each of
the recommendations by the Inspector General of the National Credit Union
Administration in its Material Loss Review Reports, and, if not, the adequacy
of the National Credit Union Administration’s reasons for not implementing such
recommendation.
(c)Not later than 1 year after the date of enactment of this
Act, the Comptroller General shall submit a report on the results of the study
required under this section to—
(1)the Committee on
Banking, Housing, and Urban Affairs of the Senate;
(2)the Committee on
Financial Services of the House of Representatives; and
(3)the Financial
Stability Oversight Council.
(d)Not later than 6 months after the date of receipt of
the report from the Comptroller General under subsection (c), the Financial
Stability Oversight Council shall submit a report to the Committee on Banking,
Housing, and Urban Affairs of the Senate and the Committee on Financial
Services of the House of Representatives on actions taken in response to the
report, including any recommendations issued to the National Credit Union
Administration under section 120 of the Dodd-Frank Wall Street Reform and
Consumer Protection Act (12 U.S.C. 5330).