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SECOND REGULAR SESSION
[TRUL Y AGREED T O AND FINALL Y P ASSED]
HOUSE BILL NO. 2586
103RD GENERAL ASSEMBL Y
6323H.01T 2026
AN ACT
T o repeal sections 370.020, 370.080, and 370.200, RSMo, and to enact in lieu thereof three
new sections relating to credit unions.
Be it enacted by the General Assembly of the state of Missouri, as follows:
Section A. Sections 370.020, 370.080, and 370.200, RSMo, are repealed and three
2 new sections enacted in lieu thereof, to be known as sections 370.020, 370.080, and 370.200,
3 to read as follows:
370.020. The certificate of or ganization shall state:
2 (1) The name of the proposed credit union and the city , town, or village in which its
3 business office is located;
4 (2) The names and addresses of the subscribers to the certificate, and the number of
5 shares subscribed by each;
6 (3) A statement that or ganization as a credit union is desired under this particular law;
7 (4) The par value of the regular shares, which shall not exceed one hundred dollars;
8 (5) The par value of membership shares, if any , which shall not be less than [ twenty-
9 five ] one dollar nor more than one hundred dollars.
370.080. 1. The membership shall consist of the or ganizers and such persons,
2 societies, associations, copartnerships and corporations as have been duly elected to
3 membership and have subscribed to one or more general shares, or one membership share
4 and/or membership fee when required, and have paid for the same in the whole or in part,
5 with the entrance fee as required by the bylaws, and have complied with such other
6 requirements as the certificate of or ganization may contain.
EXPLANA TION — Matter enclosed in bold-faced brackets [thus] in the above bill is not enacted and is
intended to be omitted from the law . Matter in bold-face type in the above bill is proposed language.
7 2. A credit union shall be composed of one or more groups of persons. The members
8 of each such individual group must share:
9 (1) A common occupation, association, employer or;
10 (2) A geographic area which may include all those persons who reside or work in a
11 city not within a county or a county , in which the main of fice of the credit union is located as
12 reported on the National Credit Union Administration (NCUA) 2006 year -end 5300 call
13 report, and counties contiguous to such areas as may be approved by the director . The
14 director shall not allow a geographic area credit union to expand beyond counties contiguous
15 to a city not within a county or a county in which its main of fice is located. The director shall
16 not allow a credit union to expand its geographic area due to a relocation of the credit union's
17 main of fice.
18 3. No individual shall be eligible for membership in a credit union on the basis of the
19 relationship of such individual to another person who is eligible for membership in such
20 credit union unless the individual is a member of the immediate family or household, as such
21 terms are defined by the commission, of such person. Except as provided in section 370.340,
22 once a person becomes a member of a credit union in accordance with this chapter , such
23 person or org anization may remain a member of such credit union until the person or
24 or ganization chooses to withdraw from the membership of the credit union.
25 4. Each credit union may , at the option of the board, create one or more classes of
26 shares which shall be known as "membership share" representing the member's ownership
27 interest in the credit union on such terms and conditions as the board of directors may
28 determine, not inconsistent with the bylaws, provided that each membership share shall have
29 a par value of not less than [ twenty-five ] one dollar nor more than one hundred dollars. A
30 membership share shall not be pledged as security on any loan.
31 5. Notwithstanding any other provisions of this chapter to the contrary , in the event of
32 liquidation of the assets of the credit union, the membership share shall be at risk, uninsured,
33 and shall be subordinated to the claims of all nonmembers and participate in the assets of the
34 credit union after all creditors and holders of all other shares, and the National Credit Union
35 Administration.
370.200. 1. The board of directors shall have the general management of the af fairs,
2 funds, and records of the corporation, and unless they shall be specifically reserved to the
3 members or delegated to the president or operating manager , it shall be the special duty of the
4 directors:
5 (1) T o act upon applications for membership in the credit union;
6 (2) T o determine, from time to time, rates of interest which shall be char ged on loans;
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7 (3) T o fix the maximum number of shares which may be held by and the maximum
8 amount, both secured and unsecured, which may be loaned to any one member , such
9 limitations to apply alike to all members; and
10 (4) T o have char ge of the investment of funds of the credit union, other than loans to
11 members, and to perform such other duties as the members may , from time to time, authorize.
12 2. Additionally , the board shall have the duty to:
13 (1) Authorize the employment and compensation of the chief executive officer;
14 (2) Approve an annual operating budget for the credit union;
15 (3) Declare dividends on regular shares;
16 (4) Accept and act upon resignations and determine and fill vacancies on the board of
17 directors, credit committee, and, if the bylaws so provide, the supervisory committee until the
18 election or appointment of qualified successors;
19 (5) Amend the bylaws except for those provisions in other sections of this chapter
20 specifically reserved for membership action; and
21 (6) Consider an appeal of a person denied membership by the credit union.
22 3. Unless specifically prohibited by the bylaws, directors may participate in and act at
23 any meeting of the board through the use of a telephone or other electronic means.
24 Participation in the meeting in this manner shall constitute attendance , and participation by
25 dir ectors in a meeting may be in any combination of in-person, telephone, or other
26 electr onic or virtual means, pr ovided that all dir ectors participating in the meeting can
27 communicate simultaneously . Any action taken during such meeting shall have the
28 same binding and legal effect as if the meeting wer e conducted in person. V otes and
29 other actions taken by the dir ectors shall be conducted by electr onic means, including
30 r emote or online systems, pro vided that the board-approved proced ures have been
31 established to verify the identity of voting dir ectors and to ensur e the integrity of the
32 pr ocess .
✔
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