§ 450-A. Designation of low income credit union.
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§ 450-a. Designation of low income credit union. 1. A credit union
organized under this article may be designated as a low income credit
union as defined in subdivision five of this section.
2. A credit union, including a credit union in formation, may make
written application to the superintendent to be designated as a low
income credit union. If the superintendent shall find, after
investigation, that such credit union meets the definition of a low
income credit union, as set forth in this section, he or she shall
approve such designation.
3. Notwithstanding any other provision of this article, a low income
credit union may issue shares, share drafts and share certificates to
nonmembers who or which may be natural persons, corporations,
partnerships or other legal entities.
4. Except as provided in this section, all provisions of this chapter
shall be applicable to low income credit unions.
5. As used in this section, the term "low income credit union" shall
mean a credit union in which a majority of the members:
(a)make less
than eighty percent of the average for all wage earners as established
by the bureau of labor statistics of the United States department of
labor or have annual household incomes that fall at or below eighty
percent of the median household income for the nation as established by
the United States census bureau; or
(b)are residents of a public
housing project who qualify for such residency because of low income; or
(c)qualify to receive benefits from any program designed to assist the
economically disadvantaged. The superintendent of financial services may
promulgate regulations appropriate to the formation and operation of low
income credit unions.
6. A credit union's designation as a low income credit union may be
removed by the superintendent if he or she shall find, after
investigation, that such credit union no longer meets the definition of
a low income credit union as set forth in this section. Upon such a loss
of designation, such credit union shall no longer be authorized to
exercise the powers set forth in this section but shall remain subject
to all of the other provisions of this chapter applicable to credit
unions generally.