Oregon Legislative Update
May 23, 2013
May 23, 2013
A Northwest Credit Union Association (NWCUA) backed-bill to improve the Oregon Credit Union Act cleared another hurdle in the Oregon Senate this week. SB520 passed out of the Oregon House Business and Labor Committee. Members of that legislative committee include:
- Margaret Doherty, Chair
- Brent Barton, Vice-Chair
- Bill Kennemer, Vice-Chair
- Shemia Fagan
- Paul Holvey
- Greg Matthews
- Kim Thatcher
- Jim Thompson
- Jim Weidner
- Brad Witt
SB520 is an update to the Oregon Credit Union Act and is the result of recommendations by the Oregon State Model Act Subcommittee, chaired by Scott Burgess, president/CEO of Rivermark Community Credit Union.
Burgess testified in support of the legislation. The subcommittee worked with the Division of Finance and Corporate Securities (DCBS) as well. The next step is the floor of the Oregon House of Representatives before it goes to the Governor for his signature.
Senate Bill 520 will:
- Broaden Oregon’s parity authority by allowing Oregon credit unions to invoke parity with out-of-state credit unions and streamline the process for invoking parity with federally chartered credit unions.
- Clarify the role of the supervisory committee in governance-related matters.
- Extend additional liability protection to credit union directors and officers.
- Remove the wording in Oregon law which requires the board to “perform other duties as the members of the credit union from time to time direct and perform or authorize any action not inconsistent with this chapter and not specifically reserved by the bylaws for the members.
- Remove language in Oregon law which permits a credit union to employ a Chief Operating Officer/President and a Security Officer.
- Make the declaring of dividends a delegable power under Oregon law; and Increase the loans to one borrower limit to the larger of $100,000 or 15 percent of a credit union’s equity.
The Oregon Constitution mandates that the legislative session gavel to a close July 13 of this year, however, leadership has set a goal of completing business by June 28.
Questions? Contact a member of the Association’s Legislative Affairs team: