H-1016

   Amend House File 131 as follows:
   1.  Page 1, line 21, after <loan bank> by inserting <of Des Moines, Iowa>
   2.  Page 1, line 22, by striking <activities are> and inserting <activities are capital level remains well-capitalized pursuant to 12 C.F.R. pt. 704 and is>
   3.  Page 1, lines 27 and 28, by striking <and whose capital level remains well-capitalized pursuant to 12 C.F.R. pt. 704>
   4.  Page 1, line 30, by striking <shall may> and inserting <shall>
   5.  Page 1, after line 31 by inserting: 
   <Sec. ___.  Section 12C.16, Code 2023, is amended by adding the following new subsection:
   NEW SUBSECTION.  3.  If the credit rating of the national cooperative bank or the federal home loan bank of Des Moines, Iowa, is lowered to a rating not within the two highest classifications of prime as established by at least one of the standard rating services approved by the superintendent of banking by rule pursuant to chapter 17A, or a corporate credit union’s capital levels fall below the well-capitalized standard in 12 C.F.R. pt. 704, then the national cooperative bank, federal home loan bank of Des Moines, Iowa, or corporate credit union shall immediately notify the treasurer of state and each credit union that is securing public deposits by use of a letter of credit issued by the bank or corporate credit union. Each credit union, upon such a notification from the national cooperative bank, federal home loan bank of Des Moines, Iowa, corporate credit union, or treasurer of state, shall immediately return the deposits, with interest accrued to the date of notification, to the public units that are secured by letter of credit.
   Sec. ___.  Section 12C.17, subsection 1, paragraph c, Code 2023, is amended to read as follows:
   c.  The securities shall be deposited with the federal reserve bank, national cooperative bank, the federal home loan bank of Des Moines, Iowa, a corporate central credit union organized under section 533.213, or a corporate credit union whose activities are subject to regulation by the national credit union administration pursuant to a bailment agreement or a pledge custody agreement.>
   6.  Page 2, after line 4 by inserting: 
   <Sec. ___.  Section 533.205, Code 2023, is amended by adding the following new subsections:
   NEW SUBSECTION.  10.  A director of a state credit union shall not receive terms or be paid a rate of interest on deposits by a state credit union of which the person is a director that are more favorable than that provided to any other member under similar circumstances. Any waiver of ordinary or customary charges related to deposit accounts shall not violate this subsection.
   NEW SUBSECTION.  11.  A director of a state credit union shall not purchase any assets from, lease any assets from, sell any assets to, or lease any assets to a state credit union of which the person is a director except upon terms not less favorable to the state credit union than those offered to or by other persons. All purchases from, leases from, sales to, and leases to a director shall receive prior approval from the majority of the board of directors voting in the absence of the interested director.
   NEW SUBSECTION.  12.  A director of a state credit union shall not receive anything of value, other than compensation and expense reimbursement authorized by this section, for procuring, or attempting to procure, any loan or extension of credit to the state credit union or for procuring, or attempting to procure, an investment by the state credit union.>
   7.  Page 4, by striking lines 2 and 3 and inserting: 
   <c.  Shares or equity interests of any corporation or other entity which develops or utilizes new or innovative technologies that are or may be applicable to the provision of financial services or products, subject to the approval of the superintendent.>
   8.  By renumbering as necessary.

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MOHR of Scott