AB150: Bill Text

AB150,1855,2 215.33 (5) Designation of registered agent. Each foreign association doing business in this state shall maintain on file with the commissioner department the name and address of an individual in this state who is authorized to receive legal process on behalf of the association. The commissioner department shall maintain a current record of each individual so designated. The record of the commissioner department shall be conclusive evidence of the authority of the person whose name appears therein to receive process on behalf of the association.

AB150, s. 5668 Section 5668. 215.33 (6) of the statutes is amended to read:

AB150,1855,13 215.33 (6) Reciprocity. If the laws of another jurisdiction prohibit an association chartered by this state and insured by the federal savings and loan insurance corporation from doing business in that jurisdiction, no association organized under the laws of that jurisdiction may be authorized to do business in this state. If the laws of another jurisdiction require the posting of securities or impose other additional requirements as a condition of permitting an association chartered by this state to do business in that jurisdiction, the commissioner department may impose similar requirements on an association organized under the laws of that jurisdiction before issuing the association a certificate of authority to do business in this state.

AB150, s. 5669 Section 5669. 215.35 (1) (intro.) of the statutes is amended to read:

AB150,1855,17 215.35 (1) (intro.) The commissioner department may waive any portion of s. 215.53, 215.57, 215.58, 215.73 or 215.77 if the commissioner department makes written findings of both of the following:

AB150, s. 5670 Section 5670. 215.36 (2) (b) of the statutes is amended to read:

AB150,1855,22 215.36 (2) (b) An in-state savings and loan proposing any action under par. (a) shall provide the commissioner department a copy of any original application seeking approval by a federal agency or by an agency of the regional state and of any supplemental material or amendments filed in connection with any application.

AB150, s. 5671 Section 5671. 215.36 (3) (b) of the statutes is amended to read:

AB150,1856,3 215.36 (3) (b) An in-state savings and loan holding company proposing any action under par. (a) shall provide the commissioner department a copy of any original application seeking approval by a federal agency or by an agency of the regional state and of any supplemental material or amendments filed in connection with any application.

AB150, s. 5672 Section 5672. 215.36 (5) (a) (intro.) of the statutes is amended to read:

AB150,1856,7 215.36 (5) (a) (intro.) The commissioner department finds that the statutes of the regional state in which the regional savings and loan or regional savings and loan holding company has its principal place of business permit all of the following:

AB150, s. 5673 Section 5673. 215.36 (5) (b) of the statutes is amended to read:

AB150,1856,11 215.36 (5) (b) The commissioner department has not disapproved the acquisition of the in-state savings and loan or the acquisition or merger with the in-state savings and loan holding company under sub. (7).

AB150, s. 5674 Section 5674. 215.36 (5) (c) of the statutes is amended to read:

AB150,1856,22 215.36 (5) (c) The commissioner department gives a class 3 notice, under ch. 985, in the official state newspaper, of the application to take an action under sub. (4) and of the opportunity for a hearing and, if at least 25 residents of this state petition for a hearing within 30 days of the final notice or if the commissioner department on his or her the department's motion calls for a hearing within 30 days of the final notice, the commissioner department holds a public hearing on the application, except that a hearing is not required if the commissioner department finds that an emergency exists and that the proposed action under sub. (4) is necessary and appropriate to prevent the probable failure of an in-state savings and loan that is closed or in danger of closing.

AB150, s. 5675 Section 5675. 215.36 (5) (d) of the statutes is amended to read:

AB150,1857,3 215.36 (5) (d) The commissioner department is provided a copy of any original application seeking approval by a federal agency of the acquisition of an in-state savings and loan or acquisition of or merger with an in-state savings and loan holding company and of any supplemental material or amendments filed with the application.

AB150, s. 5676 Section 5676. 215.36 (5) (e) of the statutes is amended to read:

AB150,1857,7 215.36 (5) (e) The applicant has paid the commissioner department a fee of $1,000 together with the actual costs incurred by the commissioner department in holding any hearing on the application.

AB150, s. 5677 Section 5677. 215.36 (7) (intro.) of the statutes is amended to read:

AB150,1857,11 215.36 (7) Standards for disapproval. (intro.) The commissioner department may disapprove of any action under sub. (4) if the commissioner department finds any of the following:

AB150, s. 5678 Section 5678. 215.36 (7) (ct) of the statutes is amended to read:

AB150,1857,16 215.36 (7) (ct) The applicant has failed to enter into an agreement prepared by the commissioner department to comply with laws and rules of this state regulating consumer credit finance charges and other charges and related disclosure requirements, except to the extent preempted by federal law or regulation.

AB150, s. 5679 Section 5679. 215.36 (7) (e) of the statutes is amended to read:

AB150,1857,19 215.36 (7) (e) The applicant fails to meet any other standards established by rule of the commissioner department.

AB150, s. 5680 Section 5680. 215.36 (9) (a) of the statutes is amended to read:

AB150,1857,23 215.36 (9) (a) Subsections (1) to (7) do not apply prior to January 1, 1987, except that the commissioner department may promulgate rules under sub. (7) (e) to be applicable no earlier than the date that subs. (1) to (7) apply.

AB150, s. 5681 Section 5681. 215.36 (11) of the statutes is amended to read:

AB150,1858,10 215.36 (11) Divestiture. Any savings and loan holding company that ceases to be an in-state savings and loan holding company or regional savings and loan holding company shall immediately notify the commissioner department of the change in its status and shall, as soon as practical and, in any case, within 2 years after the event causing it to no longer be one of these entities, divest itself of control of all in-state savings and loans and in-state savings and loan holding companies. A savings and loan holding company that fails to immediately notify the commissioner department is liable for a forfeiture of $500 for each day beginning with the day its status changes and ending with the day notification is received by the commissioner department.

AB150, s. 5682 Section 5682. 215.40 (1) (c) of the statutes is amended to read:

AB150,1858,15 215.40 (1) (c) An association shall include the word "savings" in its name if its name includes the word "bank". This paragraph does not apply to an association name if the association obtained approval for use of the name from the commissioner department before February 12, 1992.

AB150, s. 5683 Section 5683. 215.40 (2) (intro.) of the statutes is amended to read:

AB150,1858,18 215.40 (2) Minimum membership and savings accounts. (intro.) The commissioner department shall determine:

AB150, s. 5684 Section 5684. 215.40 (2) (d) of the statutes is amended to read:

AB150,1858,21 215.40 (2) (d) Such other requirements as the commissioner department deems necessary or desirable.

AB150, s. 5685 Section 5685. 215.40 (3) of the statutes is amended to read:

AB150,1859,2 215.40 (3) Who may organize. Adult citizens of this state, hereinafter referred to as incorporators, desiring to organize a mutual association under this section shall make application to the commissioner department as prescribed on forms furnished by the commissioner department.

AB150, s. 5686 Section 5686. 215.40 (4) (e) of the statutes is amended to read:

AB150,1859,5 215.40 (4) (e) Such other information as the commissioner department requires.

AB150, s. 5687 Section 5687. 215.40 (5) of the statutes is amended to read:

AB150,1859,9 215.40 (5) Application fee. The applicants shall pay to the commissioner department $200 to defray the cost of investigation, which sum shall be paid by the commissioner deposited into the general fund to the credit of the office department.

AB150, s. 5688 Section 5688. 215.40 (6) (a) of the statutes is amended to read:

AB150,1859,16 215.40 (6) (a) Along with the application, the incorporators shall file an agreement with the commissioner department that, in addition to their initial savings account subscriptions, they will create an expense fund in an amount not less than one-half of the total minimum required amount of savings accounts. The expense fund is for organization expenses, operating deficits, earnings distributions on savings accounts and losses.

AB150, s. 5689 Section 5689. 215.40 (6) (b) of the statutes is amended to read:

AB150,1859,21 215.40 (6) (b) This expense fund shall become a part of the assets of the proposed association if the commissioner department approves the application and will be reflected on the books as a liability under the caption "Subsidy by incorporators."

AB150, s. 5690 Section 5690. 215.40 (6) (d) of the statutes is amended to read:

AB150,1860,4 215.40 (6) (d) At the end of 3 years of corporate existence, the board of directors may petition the commissioner department for authority to repay the incorporators on a proportional basis, any unused portion remaining in the subsidy by directors. If the commissioner department determines that the operations of the association at that point are of such degree as to enable the association to operate as an independent institution, requiring no further subsidy, the commissioner department may authorize such repayment.

AB150, s. 5691 Section 5691. 215.40 (6) (e) of the statutes is amended to read:

AB150,1860,14 215.40 (6) (e) At the end of the 4th year, and each subsequent year, the board of directors of the association may petition the commissioner department for authority to pay out of current income of any period to the incorporators on a proportional basis the amount remaining after payment of expenses, provision for taxes, and the provision for distribution of earnings as a recovery of previous charges made to the expense fund account by incorporators. The commissioner department may approve or deny the petition for recovery payments. In no event shall refunds of this type exceed the total of the charges made to the expense fund account by incorporators.

AB150, s. 5692 Section 5692. 215.40 (7) (a) of the statutes is amended to read:

AB150,1861,2 215.40 (7) (a) Within 30 days after receiving a completed application the commissioner department shall furnish a notice of application to the applicant and to each association authorized to operate an office within 4 miles of the proposed office if the office is to be located in Milwaukee county, or 20 miles of the proposed office if located elsewhere. The notice shall describe the location and nature of the proposed office and shall solicit written comments on the application. If a hearing on the application has been scheduled the notice shall also indicate the time and place of the hearing. If not, the notice shall notify interested persons of their right to request a hearing under par. (b) 2. The applicant shall publish the notice of application as a class 3 notice under ch. 985 in the city, town or village where the office is to be located and shall provide the commissioner department with proof of its publication.

AB150, s. 5693 Section 5693. 215.40 (7) (b) (intro.) of the statutes is amended to read:

AB150,1861,5 215.40 (7) (b) (intro.) The commissioner department shall conduct a public hearing on the application if any of the following occur:

AB150, s. 5694 Section 5694. 215.40 (7) (b) 2. of the statutes is amended to read:

AB150,1861,9 215.40 (7) (b) 2. Within 3 days after publication of the notice of application any person planning to participate in a hearing on the application files with the commissioner department a request for hearing; or

AB150, s. 5695 Section 5695. 215.40 (7) (b) 3. of the statutes is amended to read:

AB150,1861,12 215.40 (7) (b) 3. The commissioner department determines that a hearing will be necessary or useful.

AB150, s. 5696 Section 5696. 215.40 (7) (c) of the statutes is amended to read:

AB150,1861,17 215.40 (7) (c) If a hearing date was not indicated in the notice of application and a hearing is subsequently required, the commissioner department shall give written notice of the time and place of the hearing to the applicant and to anyone who has requested a hearing, not later than 10 days in advance of the scheduled hearing.

AB150, s. 5697 Section 5697. 215.40 (8) of the statutes is amended to read:

AB150,1861,24 215.40 (8) Certification of authority, when issued. If the application is approved, the commissioner department shall issue to the incorporators a certificate of authority to effect a temporary organization, consisting of a chairperson, a secretary and a treasurer; to execute and file articles of incorporation; to adopt and file bylaws; to adopt rules for the procedure of the incorporators; to conduct the first meeting of members; and to open subscription books for savings accounts.

AB150, s. 5698 Section 5698. 215.40 (11) of the statutes is amended to read:

AB150,1862,4 215.40 (11) Certificate of authority, when voided. The certificate of authority shall be void after 90 days from its date, but the commissioner department may for cause, after a hearing, extend the life of such certificate for such time as the commissioner department deems advisable.

AB150, s. 5699 Section 5699. 215.40 (13) (a) (intro.) of the statutes is amended to read:

AB150,1862,7 215.40 (13) (a) (intro.) Within the time prescribed in sub. (11), the incorporators shall file with the commissioner department a certificate stating:

AB150, s. 5700 Section 5700. 215.40 (13) (a) 1. of the statutes is amended to read:

AB150,1862,10 215.40 (13) (a) 1. That articles of incorporation have been executed, filed with and approved by the commissioner department, and recorded; and

AB150, s. 5701 Section 5701. 215.40 (13) (a) 3. of the statutes is amended to read:

AB150,1862,13 215.40 (13) (a) 3. That bylaws were adopted at the first meeting of members and filed with and approved by the commissioner department; and

AB150, s. 5702 Section 5702. 215.40 (13) (a) 9. of the statutes is amended to read:

AB150,1862,18 215.40 (13) (a) 9. That necessary action has been taken to obtain membership in the federal home loan bank, and insurance of savings accounts from the federal savings and loan insurance corporation or other instrumentality approved by the commissioner department.

AB150, s. 5703 Section 5703. 215.40 (13) (b) of the statutes is amended to read:

AB150,1862,23 215.40 (13) (b) No business, other than that of completing the organization of the proposed association, may be transacted until such time as the commissioner department issues a certificate of incorporation to the association to commence business.

AB150, s. 5704 Section 5704. 215.40 (14) of the statutes is amended to read:

AB150,1863,6 215.40 (14) Certificate of incorporation, when issued. Upon receipt of the certificate of compliance from the incorporators, the commissioner department may within 30 days issue a certificate of incorporation to the association under the commissioner's hand and seal authorizing said the association to commence business. The date appearing on the certificate of incorporation shall be the date of the corporate existence of the association.

AB150, s. 5705 Section 5705. 215.40 (15) of the statutes is amended to read:

AB150,1863,11 215.40 (15) Fee for certificate of incorporation. The incorporators shall pay to the commissioner department a fee of $50 for the certificate of incorporation, which sum shall be paid by the commissioner deposited into the general fund to the credit of the office department.

AB150, s. 5706 Section 5706. 215.40 (17) of the statutes is amended to read:

AB150,1863,22 215.40 (17) Discretionary authority. The commissioner department shall have discretionary power in the granting of certificates of authority to incorporators desiring to organize such associations. The commissioner department may also refuse to issue certificates of incorporation to the incorporators to commence business when, in the commissioner's department's opinion, the incorporators or any of them are not of such character and general fitness as to warrant belief that the association will be conducted for the best interest of its members; the location of the association is so close to an existing association that its business might be interfered with and the support of the new association would not be such as to assure its success; or when other good and sufficient reasons exist for such refusal.

AB150, s. 5707 Section 5707. 215.40 (18) of the statutes is amended to read:

AB150,1864,3 215.40 (18) Appeal by applicants after being denied certificate of authority. If the commissioner department refuses to grant a certificate of authority to organize an association, and the applicants feel aggrieved thereby, they may appeal to the review board to review the commissioner's department's determination under s. 215.04 (1) (d) and (4).

AB150, s. 5708 Section 5708. 215.41 (1) of the statutes is amended to read:

AB150,1864,8 215.41 (1) Form. The articles of incorporation of a mutual association shall be approved by the commissioner department. The commissioner department shall, with the approval of the review board, promulgate rules governing articles of incorporation.

AB150, s. 5709 Section 5709. 215.41 (2) of the statutes is amended to read:

AB150,1864,13 215.41 (2) Filing and approval. Duplicate originals of the articles of incorporation executed by the incorporators, and any subsequent amendments thereto adopted by the members of the association, shall be filed with and approved by the commissioner department.

AB150, s. 5710 Section 5710. 215.41 (3) of the statutes is amended to read:

AB150,1864,18 215.41 (3) Recording. Upon their approval by the commissioner department, articles of incorporation and amendments thereto shall be recorded in the office of the register of deeds of the county in which the home office of the association is located.

AB150, s. 5711 Section 5711. 215.41 (5) of the statutes is amended to read:

AB150,1864,23 215.41 (5) Effective date. The effective date of articles of incorporation and amendments thereto shall be the date when left for record in the office of the register of deeds. The register of deeds shall forward a certificate of recording to the commissioner department.