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EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
*hb1049*
HOUSE BILL 1049
I1 6lr1924
CF SB 783
By: Delegate Crosby
Introduced and read first time: February 9, 2026
Assigned to: Economic Matters
Committee Report: Favorable
House action: Adopted
Read second time: March 3, 2026
CHAPTER ______
AN ACT concerning 1
Credit Unions – Mergers and Consolidations – Alteration of Voting Requirement 2
FOR the purpose of authorizing a majority of the board of a surviving credit union to 3
approve a proposed merger without the affirmative vote of a majority of the members 4
of the surviving credit union, subject to certain requirements; and generally relating 5
to credit union mergers and consolidations. 6
BY repealing and reenacting, without amendments, 7
Article – Financial Institutions 8
Section 6–803(a) and (b)(1) 9
Annotated Code of Maryland 10
(2020 Replacement Volume and 2025 Supplement) 11
BY repealing and reenacting, with amendments, 12
Article – Financial Institutions 13
Section 6–803(d) through (g) 14
Annotated Code of Maryland 15
(2020 Replacement Volume and 2025 Supplement) 16
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 17
That the Laws of Maryland read as follows: 18
Article – Financial Institutions 19
6–803. 20
2 HOUSE BILL 1049
(a) (1) In this section the following words have the meanings indicated. 1
(2) “Merging credit union” means a credit union that is absorbed or 2
acquired by another credit union in a merger and ceases to exist after the merger. 3
(3) “New credit u nion” means a credit union that is created when two or 4
more credit unions consolidate to form a newly created credit union. 5
(4) “Surviving credit union” means a credit union that absorbs or acquires 6
another credit union in a merger and continues to exist after the merger. 7
(b) (1) (i) With the approval of the Commissioner, any credit union may 8
merge or consolidate as provided in this section. 9
(ii) A merger or consolidation under this section may be with a credit 10
union organized under the laws of the United States, this State, or any other state. 11
(d) (1) A majority of the board of each credit union proposing a [merger or] 12
consolidation shall: 13
[(1)] (I) Adopt a resolution that declares that the [merger or ] 14
consolidation is advisable; and 15
[(2)] (II) Set a date for a vote on the proposed [merger or] consolidation 16
by the members of each credit union party to the [merger or] consolidation at any annual 17
or special meeting of the membership or by mail ballot to be filed on or before that date. 18
(2) (I) A MAJORITY OF THE BOAR D OF EACH CREDIT UNI ON 19
PROPOSING A MERGER SHALL ADOPT A RESOLUTION THAT DECL ARES THAT THE 20
MERGER IS ADVISABLE. 21
(II) A MAJORITY OF THE BOAR D OF EACH MERGING CREDIT 22
UNION PROPOSING THE MERGER SHALL SET A DATE FOR A VOTE ON THE PROPOSED 23
MERGER BY THE MEMBERS OF EACH MERGING CREDIT UNION AT ANY ANNUAL OR 24
SPECIAL MEETING OF T HE MEMBERSHIP OR BY MAIL BALLOT TO BE FI LED ON OR 25
BEFORE THAT DATE. 26
(III) A MAJORITY OF THE BOAR D OF THE SURVIVING CREDIT 27
UNION PROPOSING THE MERGER MAY SET A DATE FOR A VOTE ON THE PROPOSED 28
MERGER BY THE MEMBERS OF TH E SURVIVING CREDIT U NION AT ANY ANNUAL OR 29
SPECIAL MEETING OF T HE MEMBERSHIP OR BY MAIL BALLOT TO BE FI LED ON OR 30
BEFORE THAT DATE. 31
(e) The Commissioner, at the request of [the] A board, may: 32
HOUSE BILL 1049 3
(1) Waive the vote of the members; and 1
(2) Substitute any reasonable method of determining the approval by the 2
members. 3
(f) (1) [The merger or] A consolidation shall be in accordance with a plan that: 4
[(1)] (I) States the field of membership type that the [surviving or] new 5
credit union will have; 6
[(2)] (II) Is agreed to by a majority of the board of each credit union party 7
to the [merger or] consolidation; and 8
[(3)] (III) Unless provided otherwise by the Commissioner, is approved by 9
the members of each credit union party to the [merger or consolidation,] CONSOLIDATION 10
by the affirmative vote of a majority of the members of each credit union party to the 11
[merger or] consolidation who vote on the proposal. 12
(2) A MERGER SHALL BE IN ACCORDANCE WITH A PLAN THAT: 13
(I) STATES THE FIELD OF M EMBERSHIP TYPE THAT THE 14
SURVIVING CREDIT UNION WILL HAVE; 15
(II) IS AGREED TO BY A MAJ ORITY OF THE BOARD O F EACH 16
CREDIT UNION PARTY TO THE MERGER; AND 17
(III) UNLESS PROVIDED OTHERWISE BY THE COMMISSIONER, IS 18
APPROVED BY THE MEMB ERS OF EACH MERGING CREDIT UNION PARTY T O THE 19
MERGER BY THE AFFIRMATIVE V OTE OF A MAJORITY OF THE MEMBERS OF EACH 20
MERGING CREDIT UNION PARTY TO THE MERGER WHO VOTE ON THE PROPOSAL. 21
(g) (1) [After] UNLESS CONSISTENT WITH THIS SECTION THE A PPROVAL 22
BY THE MEMBERS IS BOTH NOT REQUIRED AND NOT OBTAINED, AFTER agreement by 23
the board and approval by the members of each credit union party to the merger or 24
consolidation, two officers of each credit union party to the merger or consolidation shall 25
execute a certificate of merger or consolidation. 26
(2) The certificate of merger or consolidation shall include as to each credit 27
union party to the merger or consolidation: 28
(i) The time and place of the meeting of the board at which the plan 29
was agreed to; 30
(ii) The vote by which the plan was agreed to by the board; 31
4 HOUSE BILL 1049
(iii) A copy of the resolution or other action by which the plan was 1
agreed to by the board; AND 2
(iv) UNLESS CONSISTENT WITH THIS SECTION THE APPROVAL 3
BY THE MEMBERS IS BOTH NOT REQUIRED AND NOT OBTAINED: 4
1. The date on or by which the plan was approved by the 5
members of each credit union; and 6
[(v)] 2. Unless provided otherwise by the Commissioner, the vote 7
by which the plan was approved by the members of each credit union. 8
SECTION 2. AND BE IT FURTHER ENACTED, That this Act sh all take effect 9
October 1, 2026. 10
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.