HB4462: FINANCE-CREDIT UNION/VARIOUS

Legislative Summary

Amends the Illinois Credit Union Act. Sets forth provisions concerning credit unions that serve target markets. In provisions concerning election or appointment of officials, provides that the board of directors may appoint, from among the members of the credit union, a nominating committee of 3 or more persons, and that the nominating committee may recruit, evaluate, and nominate eligible candidates for each position to be filled in the election of directors or to be filled by appointment of the board of directors for the remainder of the unexpired term of a director. Sets forth provisions concerning the nominating committee. In provisions concerning meetings of directors, provides that upon approval by the Secretary of Financial and Professional Regulation of an amendment to the bylaws of the credit union, the board of directors may hold meetings on a quarterly basis. In provisions concerning duties of the supervisory committee, sets forth provisions concerning accounting principles for specified credit unions. In provisions concerning special purpose share accounts and charitable donation accounts, provides that a credit union may establish one or more donor-advised fund accounts. Sets forth provisions concerning transfers from a donor-advised fund account, distributions by a foundation receiving donor-advised funds from a credit union, and transfers by a credit union from its donor-advised fund account to a foundation. In provisions concerning shares in trust, provides that shares may be issued in the name of an individual or corporate representative under the Illinois Probate Act of 1975 for or in respect of a nonmember of a credit union if the representative is an individual who is a member of the credit union. In provisions concerning investment of funds, provides that funds not used in loans to members may be invested in shares, stocks, or units of financial technology companies in a total amount not exceeding 5% of the unimpaired capital and surplus of the credit union, so long as the investment complies with specified documentation and separate corporate existence requirements. Changes references from "secure electronic record" to "electronic record". Defines terms. Makes other changes.