Rep. Morgan Griffith Signs on as Co-Sponsor of CU Board Modernization Bill

Following credit union and League advocacy efforts, Rep. Morgan Griffith (R-9th) has signed on to H.R. 6889 (Credit Union Board Modernization Act) as a co-sponsor. At present, the bill has garnered the support of 94 House members in a show of bipartisan support.

This bill revises the frequency of meetings required to be held by a federally chartered credit union's board of directors. Specifically, the bill requires monthly meetings for new credit unions during their first five years of operation and for credit unions with a low soundness rating. All other federally chartered credit unions must hold at least six meetings annually, with at least one meeting held during each fiscal quarter. Currently, all federally chartered credit union boards must meet at least once a month.

Offering federally chartered credit unions the flexibility to hold fewer board meeting might reduce the costs associated with Board meetings and may enable credit unions to attract younger, more diverse board members whose schedules often do not allow them to meet monthly.

"We appreciate Congressman Griffith's support of this important legislation, which modernizes an outdated board meeting requirement and promises to reduce the regulatory burden on eligible credit unions, especially our small credit unions and those located in rural areas," noted Virginia Credit Union League President/CEO Carrie Hunt.

Rep. Griffith's support of the measure was a direct result of credit union and League advocacy efforts. We highlighted this bill and other key bills of interest to credit unions in recent meetings with the Congressman and his staff members.

Sen. Tim Kaine (D-VA) has co-sponsored S.4325, the Senate companion bill to H.R. 6889.

Rep. Griffith also co-sponsored the Securing and Enabling Commerce Using Remote and Electronic Notarization Act of 2021 (H.R. 3962), which has passed the House and is now before the Senate. 

Credit unions strongly supported H.R. 3962, which would allow for the immediate nationwide use of remote online notarization technology, provides certainty for interstate recognition of the technology, and establishes robust consumer protection standards. In Virginia, notarizing a document “remotely” is already permissible, but a national standard and broader acceptance of such services will make it easier for Virginia-based credit unions to utilize this option.

• Related: League Continues Outreach to Federal Lawmakers on Interchange, Overdraft & More
• Related: House Committee Passes Remote Online Notary Legislation