Department of Consumer and Business Services, Division of Finance and Corporate Securities, Chapter 441
Rule Caption: Permanently aligns state and federal regulations concerning unimproved credit union property held for future expansion
Adm. Order No.: FCS 3-2013
Filed with Sec. of State: 7-19-2013
Certified to be Effective: 7-19-13
Notice Publication Date: 6-1-2013
Rules Amended: 441-710-0270
Rules Repealed: 441-710-0270(T)
Subject: This permanent rulemaking activity aligned Oregon rules concerning unimproved credit union property held for future expansion with federal regulations applicable to federally-chartered credit unions. In January 2013, the Department of Consumer and Business Services adopted a temporary rule allowing a state-chartered credit union up to six years to partially utilize unimproved property held for future expansion (see Admin. Order No. FCS 1-2013(Temp)). The temporary rule maintained regulatory parity with federally-chartered credit unions, which due to recent changes by National Credit Union Administration (NCUA) regulations, could hold unimproved real property longer than a state-chartered credit union. This amendment adopted the temporary rule, unamended, on a permanent basis.
Rules Coordinator: Shelley Greiner—(503) 947-7484
Investment in Premises
(1) When real property is acquired for future expansion, at least partial utilization should be accomplished within a reasonable period, which shall not exceed three years unless otherwise approved in writing by the Director.
(2) When a credit union acquires unimproved real property for future expansion, the credit union shall at least partially utilize the property within a reasonable period of time, not to exceed six years unless otherwise approved in writing by the Director.
(3) After real property acquired for future expansion under sections (1) or (2) of this rule has been held for one year, a board resolution with definitive plans for utilization must be available for inspection by the Director’s examiners.
(4) Investments in premises will be recorded on the credit union’s books in accordance with generally accepted accounting principles. The cost of land shall be carried on the books of the credit union in an account separate from the cost of improvements thereon.
Stat. Auth.: ORS 723.102
Stats. Implemented: ORS 723.152
Hist.: BB 4-1982, f. 8-24-82, ef. 9-1-82; Renumbered from 805-072-0320; FCS 2-2005, f. & cert. ef. 8-25-05; FCS 1-2013(Temp), f. 1-4-13, cert. ef. 2-1-13 thru 7-31-13; FCS 3-2013, f. & cert. ef. 7-19-13
State Archives • 800 Summer St. NE • Salem, OR 97310