The bill amends the Credit Union Act by updating Section 220 and adding a new Section 401a. It allows the commissioner to assess civil fines against credit unions for violations of the act, with a maximum fine of $1,000 for each violation, or a higher amount as specified in the new Section 401a(3) for domestic credit unions. The bill also establishes that civil fines for multiple violations arising from the same transaction cannot exceed $10,000, except for violations of the new section. The attorney general is empowered to recover these fines, and the commissioner must consider the nature of the violation and any corrective actions taken by the credit union when determining the fine amount.

The newly added Section 401a prohibits domestic credit unions from denying, restricting, or canceling financial services to agriculture producers based on their greenhouse gas emissions or use of fossil fuel-derived products. If a credit union has made an environmental, social, and governance commitment, any denial or restriction of services is presumed to violate this section unless proven otherwise. Violations of this section can result in civil fines of up to $10,000. The section also defines key terms such as "agriculture producer," "environmental, social, and governance commitment," and "financial service" to clarify the scope of the law.

Statutes affected:
House Introduced Bill: 490.220