Substitute House Bill No. 7083, also known as Public Act No. 25-37, implements significant revisions to the credit union statutes in Connecticut, focusing on areas such as nonmember payments, member business loans, and capital requirements. The bill repeals Section 36a-435b and introduces updated definitions, including an expanded definition of "immediate family member" and the introduction of terms like "insider" and "loan officer." It also refines the definition of "shared service center" and modifies regulations regarding nonmember payments, allowing credit unions to accept payments from certain nonmembers, including joint account holders and governmental entities, while establishing specific conditions for community development financial institutions.

Additionally, the bill sets new asset thresholds for credit unions, detailing minimum capital requirements based on total assets, and clarifies that public deposits will not count as nonmember payments. It revises the definition of "member business loan" to exclude personal loans and loans secured by residential properties, and introduces provisions for charitable contributions, requiring board approval for larger donations. The bill also mandates a written conflict of interest policy for credit unions and modifies the definition of "net worth" by excluding "regular reserves" from retained earnings. These changes aim to enhance the regulatory framework for credit unions in Connecticut, promoting financial stability and governance, with an effective date of July 1, 2025.

Statutes affected:
Raised Bill:
BA Joint Favorable Substitute:
File No. 319:
File No. 822:
Public Act No. 25-37: