Loading

Oregon Bulletin

January 1, 2011

 

Department of Consumer and Business Services,
Division of Finance and Corporate Securities
Chapter 441

Rule Caption: Clarification of When Five Percent Charge-Off Occurs Under ORS 708.590(2).

Adm. Order No.: FCS 11-2010

Filed with Sec. of State: 11-29-2010

Certified to be Effective: 12-1-10

Notice Publication Date: 9-1-2010

Rules Adopted: 441-505-1135

Subject: The proposed rule clarifies when the first and subsequent minimum five percent charge-offs under ORS 708A.590(2) must occur. Under ORS 708A.590(2), the bank must reduce the book value of real property acquired under ORS 708A.175(3) or (4) by five percent of its original book value annually beginning in the year title is vested and continuing until the earlier of when the bank disposes of the real estate, or the expiration of 15 years unless the DCBS director extends the 15-year time period, ORS 708A.195(2) states that title is deemed “vested” on “the date the institution is first entitled to receive a deed to the real estate.”

Rules Coordinator: Shelley Greiner—(503) 947-7484

441-505-1135

Charging Off Real Estate Assets

Effective December 1, 2010, an institution that owns or holds real estate pursuant to ORS 708A.175(3) or (4) shall reduce the real estate’s book value pursuant to ORS 708.590(2) by not less than five percent of its original book value within 12 months from the date title to the real estate is vested and by not less than an additional five percent of the original book value during every 12-month period thereafter. ORS 708.195(2) states that title is deemed vested on “the date the institution is first entitled to receive a deed to the real estate.”

Stat. Auth.: ORS 706.790

Stats. Implemented: ORS 708A.590(2); 708A.175(3), (4); 708.195(2)

Hist.: FCS 11-2010, f. 11-29-10, cert. ef. 12-1-10

 

Rule Caption: Adopting Rules for Community Charter Applications to Serve Former Group.

Adm. Order No.: FCS 12-2010

Filed with Sec. of State: 11-29-2010

Certified to be Effective: 12-1-10

Notice Publication Date: 9-1-2010

Rules Adopted: 441-710-0071

Rules Amended: 441-710-0035

Subject: The proposed rules allow a credit union that converts to a community charter to offer credit union services to individuals located outside the credit union’s community boundaries even if these individuals were not credit union members of record at the time of the conversion and did not live or work within the community boundaries

Rules Coordinator: Shelley Greiner—(503) 947-7484

441-710-0035

Community Charter Applications

A credit union applying for a community charter must complete an application to include at least the following information:

(1) Written authorization for the application signed by the Board of Directors.

(2) Bylaws or amendment to bylaws showing current and revised field of membership.

(3) Identification of the area the credit union wishes to serve and the total population of the proposed community. Quote source for the population figures.

(4) If the area to be served consists of more than one precinct, district, city, county, or other defined boundaries, a detailed description of how the persons in the area interact or share interests.

(5) Map of proposed well-defined local community, neighborhood or rural district.

(6) Most recent monthly financial statement, including income and expense statement; and

(7) Business plan showing how credit union will provide service to proposed community, pro forma financial statements for the first three years of operation including assumptions used, and facility locations. The plan should include information on services and products offered by the institution.

(8) If the credit union applying for a community charter wishes to continue credit union services to a former group or former groups in accordance with ORS 723.172, the credit union must comply with the application requirements set forth in OAR 441-710-0071.

Stat. Auth.: ORS 723.102

Stats Implemented: ORS 723.172(2) & 723.172(5)

Hist.: FCS 6-2000; f. & cert. ef. 3-31-00; FCS 12-2010, f. 11-29-10, cert. ef. 12-1-10

441-710-0071

Application to Serve Former Occupational Groups and Associational Members

(1) In accordance with ORS 723.172, all community credit unions that wish to continue credit union services to an occupational or associational group or groups shall file an application to serve the these groups on a form provided by the director. The application form shall require the community credit union to supply the following information:

(a) The credit union’s name; the date of conversion; and the communities it serves.

(b) The names of the former occupational or associational group or groups that the credit union wishes to serve and information showing that the occupational or associational group or groups have offices within the credit union’s community boundaries.

(c) Information showing that the occupational or associational group or groups were within the credit union’s field of membership before it converted to a community charter and the date when the by-laws were amended to include the occupational or associational group or groups in the credit union’s field of membership.

(d) Information showing the number of individuals within the occupational group or groups or association or associations that do not live or work within the credit union’s geographic boundaries, and the basis for credit union membership such as whether the individuals are directors, officers, employees, members, partners, personal representatives, trustees or volunteers of the corporation, limited liability company, partnership or association, trust, estate or other entity.

(e) Information showing that the credit union has the ability to serve the new credit union members who do not live or work within the community boundaries without sacrificing safety and soundness requirements including addressing the implications of how increased credit union membership, deposits, and responsibilities may effect the credit union’s capital or net worth ratio.

Stat. Auth.: ORS 723.172

Stats. Implemented: 2009 SB 438 §3

Hist.: FCS 12-2010, f. 11-29-10, cert. ef. 12-1-10

Notes
1.) This online version of the OREGON BULLETIN is provided for convenience of reference and enhanced access. The official, record copy of this publication is contained in the original Administrative Orders and Rulemaking Notices filed with the Secretary of State, Archives Division. Discrepancies, if any, are satisfied in favor of the original versions. Use the OAR Revision Cumulative Index found in the Oregon Bulletin to access a numerical list of rulemaking actions after November 15, 2010.

2.) Copyright 2011 Oregon Secretary of State: Terms and Conditions of Use

Oregon Secretary of State • 136 State Capitol • Salem, OR 97310-0722
Phone: (503) 986-1523 • Fax: (503) 986-1616 • oregon.sos@state.or.us

© 2013 State of Oregon All Rights Reserved​