Law Allows Connecticut FCUs Inclusion In Investment Funding
HARTFORD, Conn. -- A bill that will allow certain Connecticut federal credit unions eligible for funds that the state treasurer may make available under a program to provide funding to community financial institutions was recently signed into law by Gov. Jodi Rell.
Rell signed HB 7004 on May 21 and it took effect that day. The bill changes the definition of community credit union to include federal and state credit unions meeting the same membership limit requirements and $500 million asset maximum as under current law, but eliminating the $10 million asset minimum. A House amendment eliminated the requirement that credit unions have at least $10 million in assets and creates the definition of a "state credit union."
Under previous law, the treasurer had the authority to establish a program making available up to $100 million for investment in community banks and community credit unions. The previous law defined a "community credit union" as a Connecticut credit union with assets between $10 million and $500 million and membership limited to people in a well-defined community, neighborhood, or rural district.
HB 7004's co-sponsors are Connecticut legislators Rep. Bruce Zalaski (D) 81st Dist. and Rep. Anne L. Ruwet (R) 65th Dist. The bill was introduced at the request of the Credit Union League of Connecticut.