186.235(14)(b)
(b) On or before July 15 of each year, each credit union shall pay to the office of credit unions an annual assessment, which shall represent as nearly as practicable its fair share of the maintenance of the office of credit unions.
186.235(14)(c)
(c) In addition to the annual assessment, each credit union shall be charged for the cost of every examination made. The examination charge shall include the prorated amount of salaries and expenses of all examiners and other employees actively engaged in the examination, the salaries and expenses of any other person whose services are required in connection with the examination and any examination report and any other expenses which may be directly attributable to the examination. The examination charge shall be paid on the day on which the examination is completed.
186.235(14)(d)
(d) Failure of any credit union to pay any amount as provided in this subsection shall be grounds for the revocation of the charter of the credit union failing to make the payment.
186.235(14)(e)
(e) If the amounts collected under this subsection exceed the actual amounts necessary for the supervision and examination of credit unions in a year, the excess shall be retained by the office of credit unions and applied in reducing the amounts chargeable for ensuing years.
186.235(15)(a)(a) The office of credit unions may issue subpoenas and take testimony.
186.235(15)(b)
(b) Witness fees shall be the same as fees under
s. 814.67 (1) (b) and
(c). The fees of witnesses who are called by the office in the interests of the state shall be paid by the state upon presentation of proper vouchers approved by the office of credit unions and charged to the appropriation under
s. 20.144 (2) (g). A witness subpoenaed by the office at the instance of a party other than the office shall not be entitled to payment of fees by the state unless the office certifies that the testimony was material to the purpose for which the subpoena was issued.
186.235(16)
(16) Periodic examination. At least once every 18 months, the office of credit unions shall examine the records and accounts of each credit union. For that purpose the office of credit unions shall have full access to, and may compel the production of, each credit union's records and accounts. The office of credit unions may administer oaths to and examine each credit union's officers and agents.
186.235(16m)
(16m) Financial privacy examination. The office of credit unions shall examine a credit union to determine the credit union's compliance with
s. 186.20.
186.235(17)
(17) Refusal to submit to examination. The office of credit unions shall report to the department of justice any credit union that refuses to submit to an examination. The department of justice shall institute proceedings to revoke the charter of the credit union.
186.235(18)
(18) Record-keeping and accounting procedure. 186.235(18)(a)(a) A credit union shall keep records and accounts in a manner consistent with generally accepted accounting principles or with standards prescribed by the office of credit unions. If a credit union does not keep its records and accounts in a manner consistent with generally accepted accounting principles, the office of credit unions may require the credit union to keep records and accounts under standards prescribed by the office.
186.235(18)(b)
(b) The office of credit unions may require a credit union that fails to open records or maintain prescribed records or accounts to forfeit not more than $100 for each day it is in violation. If the credit union fails to pay the forfeiture, the office of credit unions may institute proceedings to recover the forfeiture.
186.235(19)
(19) Supervision; reports. All credit unions formed under this or other similar law, or authorized to transact in this state a business similar to that authorized to be done by this chapter, shall be under the control and supervision of the office of credit unions. Every such corporation shall make a full and detailed report of its business as of December 31 for that year, and of its condition on such date, in such form and containing such information as the office of credit unions may prescribe, and shall file with the office of credit unions a true and verified copy thereof on or before February 1 thereafter. Accompanying the same shall be attached a copy of the statement of the credit union at the close of its last fiscal year. If any such credit union fails or refuses to furnish the report herein required, it shall be subject, at the discretion of the office of credit unions, to a forfeiture of $1 to $10 per day for each day of default, and the office of credit unions may maintain an action in the name of the state to recover such penalty, and the same shall be paid into the state treasury.
186.235(20)
(20) Approval of acts. Whenever any credit union requests approval of the office of credit unions for any act, which by statute requires approval, the office of credit unions shall have 90 days in which to grant, deny or defer the approval. A deferral may be for not more than 60 days. If the office of credit unions fails to act, approval shall be considered to have been granted. In matters which require the holding of public hearings, the 90-day period shall not commence until the conclusion of the hearing and the date set by the office of credit unions for receipt of briefs.
186.235(21)
(21) Parity. Unless the office of credit unions is expressly restricted by statute from acting under this subsection with respect to a specific power, right or privilege, the office of credit unions by rule may, with the approval of the credit union review board, authorize credit unions to exercise any power under the notice, disclosure or procedural requirements governing federally chartered credit unions or to make any loan or investment or exercise any right, power or privilege of federally chartered credit unions permitted under a federal law, regulation or interpretation. Notice, disclosure and procedures prescribed by statute which may be modified by a rule adopted under this subsection include, but are not limited to, those provided under
s. 138.056. A rule adopted under this subsection may not affect
s. 138.041 or
chs. 421 to
428 or restrict powers granted credit unions under this chapter.
186.235 Cross-reference
Cross Reference: See also ch.
DFI-CU 74, Wis. adm. code.
186.235 Cross-reference
Cross Reference: See also s.
DFI-CU 60.06, Wis. adm. code.
186.235 Annotation
Sub. (19) authorizes the office of credit unions to control and supervise credit unions incorporated in other states, including whether and where a foreign credit union may operate a branch office in this state. It was not unreasonable to impose on a foreign credit union the analogous geographical limitations that s. 186.113 imposes on state credit union branches located outside of the state. Heritage Credit Union v. Office of Credit Unions, 2001 WI App 213,
247 Wis. 2d 589,
634 N.W.2d 593,
00-3162.
186.31(1)(1)
Transfer of assets and liabilities. Any credit union, which is in good faith winding up its business for the purpose of merging with another credit union, may transfer its assets and liabilities to the credit union with which it is in the process of merging; but no merger may be made without the consent of the office of credit unions, and not then to defeat or defraud any of its creditors in the collection of debts against such credit union.
186.31(2)
(2) Approval. To effect a merger, the board of directors of each credit union shall, by resolution, propose a specific plan for merger which shall be agreed to by a majority of the board of each credit union joining in the merger. The proposed merger plan shall be submitted to a vote at an annual or special meeting of members of the merging credit union. Written notice of the meeting setting forth the proposed plan of merger or a summary shall be given to each member of the merging credit union within the time and in the manner provided for the giving of notice of meetings of members of the credit union. The proposed plan shall be adopted upon receiving a majority of the votes entitled to be cast by members present at the meeting.
186.31(2m)
(2m) Emergency merger. Notwithstanding
sub. (2), if the office of credit unions determines that the merging credit union is in danger of insolvency, and that the proposed merger would reduce or avoid a threatened loss to federal share insurance, the office of credit unions may permit the merger to become effective without an affirmative vote of the membership of the merging credit union.
186.31(3)
(3) Rights transferred. The credit union merging with another credit union shall not be required to go into liquidation but its assets and liabilities shall be reported by the credit union with which it has merged, and all the rights, franchises and interests of the merging credit union to any property belonging to the credit union shall be considered to be transferred, and the resulting credit union shall hold and enjoy the same and all rights of property, franchises and interest in the same manner and to the same extent as was held and enjoyed by the merging credit union. The members or shareholders of the merging credit union shall without any further act on their part be members and shareholders of the resulting credit union and be subject to all rights, privileges and duties as provided for in the bylaws of the resulting credit union.
186.314
186.314
Conversion. A credit union may convert to a federal credit union by complying with the following:
186.314(1)
(1) The proposition for a conversion shall first be approved by unanimous recommendation of the directors of the credit union. The directors shall set a date for a vote by the members on the conversion. Written notice specifying the reason for conversion and the date set for the vote shall be delivered in person or mailed to each member at the address appearing on the records of the credit union, not more than 45 days nor less than 15 days before the meeting. A majority of the members voting, in person or in writing, may approve the proposition for conversion, provided not more than 15 members or 10% of the total membership, whichever is greater, object by written notice.
186.314(2)
(2) A statement of the results of the vote, verified by the affidavits of the chairperson or the vice chairperson and the secretary, shall be filed with the office of credit unions within 10 days after the vote is taken.
186.314(3)
(3) Within 90 days after the date on which the proposition for conversion is approved, the credit union shall take the necessary action under
12 USC 1771 (b) to make it a federal credit union. Within 10 days after receipt of the federal credit union charter, the credit union shall file a copy of the charter with the office of credit unions. Upon filing, the credit union shall cease to be a state credit union.
186.314(4)
(4) Upon ceasing to be a state credit union, the credit union shall no longer be subject to this chapter. The successor federal credit union shall be vested with all the assets and shall continue to be responsible for all of the obligations of the state credit union to the same extent as though the conversion had not taken place.
186.315
186.315
Charter cancellation. Upon completion of a voluntary liquidation as provided in
s. 186.18, or upon completion of the liquidation in cases under
s. 186.235 (11), or after the assets and liabilities of a credit union are transferred to another credit union for the purpose of merger as provided in
s. 186.31 (3), the office of credit unions shall cancel the charter of the credit union liquidated or merged without any other or further notice to the credit union or to any person. A certified copy of the order or certificate of the office of credit unions shall be recorded with the register of deeds of the county in which the credit union is located. The register of deeds shall note on the margin of the record of the articles of incorporation of the credit union the volume and page where the order or certificate canceling its charter is recorded. In case of voluntary liquidation under
s. 186.18 or merger under
s. 186.31, the credit union shall record the order or certificate of the office of credit unions and pay the fee. In case of liquidation under
s. 186.235 (11), the office of credit unions or special deputy shall record the order or certificate of the office of credit unions and pay the fee out of the assets of the credit union as an expense of liquidation.
186.315 History
History: 1971 c. 193 s.
42 (1);
1995 a. 27,
151.
186.32
186.32
Corporate central credit union. 186.32(1)
(1)
Organization. A corporate central credit union may be organized and operated under the conditions and provisions of this chapter and subject to all of the provisions of this chapter not inconsistent with this section. It shall be lawful for other credit unions located in this state and any other state to become members of a corporate central credit union. Credit unions having membership in a corporate central credit union may be represented at an annual or special meeting of the corporate central credit union by one member authorized by the board of directors of that member credit union and shall be entitled to one vote. The representative may be eligible for office in the corporate central credit union the same as if the representative were a member of the corporate central credit union.
186.32(2)
(2) Dividends. A corporate central credit union may pay to the accounts of member credit unions dividends on a basis other than that required by this subsection for other members of a corporate central credit union. Dividends paid under this subsection shall be considered a normal operating expense of the corporate central credit union's operation. Rates of such dividends and terms of payment may be established and guaranteed in advance by action of the corporate central credit union's board of directors.
186.325
186.325
National corporate central credit union. 186.325(1)(1)
Criteria. A corporate central credit union is a national corporate central credit union if all of the following conditions are met:
186.325(1)(a)
(a) Its membership consists of any of the following:
186.325(1)(a)1.
1. Central or corporate central credit unions that are organized under the laws of this state or another state or under federal law.
186.325(1)(a)2.
2. Officers and directors of the qualifying corporate central credit union.
186.325(1)(a)3.
3. Organizations operated primarily to service and otherwise assist credit union operations.
186.325(1)(b)
(b) Its membership does not include any of the following:
186.325(1)(c)
(c) At least 75% of its savings and deposits are derived from members under
par. (a) 1. and the remainder of its savings and deposits are derived from members under
par. (a) 2. and
3.
186.325(2)
(2) Borrowing limits. The borrowing limits under
s. 186.112 do not apply to a national corporate central credit union.
186.325 History
History: 1995 a. 151.
186.34
186.34
Federal share insurance. 186.34(1)
(1)
Insurance required. No credit union may accept any deposit from any person other than an incorporator before the credit union has received a certificate of share insurance issued by the national board.
186.34(4)
(4) Certificate filing. Every credit union that receives a certificate of insurance from the national board shall file a copy of the certificate with the office of credit unions within 30 days after the credit union receives the certificate.
186.34(5)
(5) Insurance to be maintained. Notwithstanding any other provision of this chapter, every credit union, other than a corporate central credit union, shall take, and a corporate central credit union may take, every action lawfully required to maintain federal share insurance coverage in full force and effect, and shall refrain or desist from taking any action that is likely to cause termination of federal share insurance coverage.
186.36
186.36
Sale of insurance in credit unions. Any officer or employee of a credit union, when acting as an agent for the sale of insurance on behalf of the credit union, shall pay all commissions received from the sale of insurance to the credit union.
186.41
186.41
Interstate acquisitions and mergers of credit unions. 186.41(1)(am)
(am) "Out-of-state credit union" means a state or federal credit union, the principal office of which is located in a state other than this state.
186.41(1)(bm)
(bm) "Wisconsin credit union" means a credit union having its principal office located in this state.
186.41(2)(a)(a) A Wisconsin credit union may do any of the following:
186.41(2)(a)1.
1. Acquire an interest in, or some or all of the assets and liabilities of, one or more out-of-state credit unions.
186.41(2)(b)
(b) A Wisconsin credit union proposing any action under
par. (a) shall provide the office of credit unions a copy of any original application seeking approval by a federal agency or by an agency of another state and of any supplemental material or amendments filed in connection with any application.
186.41(3)
(3) Out-of-state credit unions. Except as provided in
sub. (4), an out-of-state credit union may do any of the following:
186.41(3)(a)
(a) Acquire an interest in, or some or all of the assets of, one or more Wisconsin credit unions.
186.41(3)(b)
(b) Merge with one or more Wisconsin credit unions.
186.41(4)
(4) Limitations. An out-of-state credit union may not take any action under
sub. (3) until all of the following conditions have been met:
186.41(4)(a)
(a) The office of credit unions finds that the statutes of the state in which the out-of-state credit union has its principal office permit Wisconsin credit unions to both acquire out-of-state credit union assets and merge with one or more out-of-state credit unions in that state.
186.41(4)(b)
(b) The office of credit unions has not disapproved the acquisition of Wisconsin credit union assets or the merger with the Wisconsin credit union under
sub. (5).
186.41(4)(c)
(c) The office of credit unions gives a class 3 notice, under
ch. 985, in the official state newspaper, of the application to take an action under
sub. (3) 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 office of credit unions on its own motion calls for a hearing within 30 days of the final notice, the office of credit unions holds a public hearing on the application, except that a hearing is not required if the office of credit unions finds that an emergency exists and that the proposed action under
sub. (3) is necessary and appropriate to prevent the probable failure of a Wisconsin credit union that is closed or in danger of closing.
186.41(4)(d)
(d) The office of credit unions is provided a copy of any original application seeking approval by a federal agency of the acquisition of Wisconsin credit union assets or of the merger with a Wisconsin credit union and of any supplemental material or amendments filed with the application.
186.41(4)(e)
(e) The applicant has paid the office of credit unions a fee of $1,000 together with the actual costs incurred by the office in holding any hearing on the application.
186.41(4)(f)
(f) With regard to an acquisition of assets of a Wisconsin credit union that is chartered on or after May 9, 1986, the Wisconsin credit union has been in existence for at least 5 years before the date of acquisition.
186.41(5)
(5) Standards for disapproval. The office of credit unions may disapprove of any action under
sub. (3) if the office finds any of the following:
186.41(5)(a)
(a) Considering the financial and managerial resources and future prospects of the applicant and of the Wisconsin credit union concerned, the action would be contrary to the best interests of the members of the Wisconsin credit union.
186.41(5)(b)
(b) The action would be detrimental to the safety and soundness of the applicant or of the Wisconsin credit union concerned, or to a subsidiary or affiliate of the applicant or of the Wisconsin credit union.
186.41(5)(c)
(c) Because the applicant, its executive officers, or directors have not established a record of sound performance, efficient management, financial responsibility, and integrity, the action would be contrary to the best interests of the creditors, the members, the other customers of the applicant, the Wisconsin credit union, or the public.
186.41(5)(cg)
(cg) The applicant has failed to provide adequate and appropriate services of the type contemplated by the community reinvestment act of 1977 to the communities in which the applicant is located.
186.41(5)(cr)
(cr) The applicant has failed to propose to provide adequate and appropriate services of the type contemplated by the community reinvestment act of 1977 in the community in which the Wisconsin credit union which the applicant proposes to acquire or merge with is located.
186.41(5)(ct)
(ct) The applicant has failed to enter into an agreement prepared by the office of credit unions 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.
186.41(5)(e)
(e) The applicant fails to meet any other standards established by rule of the office of credit unions.
186.41(5m)
(5m) Branching not limited. This section does not limit branching authority under
s. 186.113 (1).
186.41(6)(a)(a) Subsections (1) to
(5) do not apply prior to January 1, 1987, except that the office of credit unions may promulgate rules under
sub. (5) (e) to be applicable no earlier than the date that
subs. (1) to
(5) apply.
186.41(7)
(7) When invalidated. If any part of
subs. (1) to
(5) is held to be unconstitutional, then all of
subs. (1) to
(5) shall be invalid.
