MARLBOROUGH, Mass. (8/1/14)--Wednesday evening the Massachusetts Senate advanced a bill updating the list of permissible investments for state-charted credit unions, which would be the first substantive update to statutory investment provisions in decades, the Massachusetts Credit Union League reported.
The bill streamlines the petition process for the state Commissioner of Banks to add permissible investments available to state chartered credit unions (CUScan July 1). The measure also updates criteria to add permissible investments, organizes the criteria into one location within Chapter 171, and adds certain "prudent person" investment authority.
The Massachusetts Credit Union Share Insurance Corporation's (MSIC) legislation (House 4112) also advanced and authorizes its ownership of real estate and creation of subsidiaries, expands its investment authority, and permits investments in credit union service organizations.
Both bills were engrossed in the Senate and have already been engrossed by the House of Representatives. Final enactments in both houses are the next step before the legislation is sent to the Governor for signature. The league continues its advocacy on House 4139, regional branching legislation, and other measures for the benefit of credit unions and their members. The legislature was scheduled to be in formal session Thursday in both the House and Senate.
"We are pleased to see legal list and regional branching legislation continue to advance," said league President Paul Gentile. "These are part of our strategic efforts to improve the operating environment for credit unions so they can better serve members."