The bill amends section 1761.10 of the Revised Code to update regulations regarding credit union share guaranty corporations. Key changes include the requirement for participating credit unions to maintain a capital contribution equal to at least one percent of their aggregate share capital, as determined by the corporation's board of directors and approved by the superintendent of insurance. Additionally, the bill introduces provisions for special assessments and premium assessments that can be levied on participating credit unions to maintain the guarantee fund's normal operating level, particularly in cases of potential impairment or net losses.

Significant new legal language is inserted to clarify that special assessments and premium assessments apply specifically to participating credit unions that the corporation insures for primary coverage. The bill also outlines the process for distributing any excess funds from the guarantee fund to participating credit unions and establishes procedures for the dissolution of a credit union share guaranty corporation, including the return of capital contributions to participating credit unions under certain conditions. The existing section 1761.10 is repealed, indicating a comprehensive overhaul of the regulations governing these corporations.

Statutes affected:
As Introduced: 1761.10