HB 3370
Modifies the time frame in which state agencies may submit information to financial institutions related to deceased members or depositors.
Jurisdiction
Oregon
Session
2025 Regular Session
At the request of
(at the request of GoWest Credit Union Association)
Take action
Record your position on this measure.
Sign in to record your position, submit testimony, or contact your legislator.
Sign in to take actionPublic sentiment
Support
80%
Oppose
20%
- Introduced
- Passed House
- Passed Senate
- To Governor
- Became Law
Bill overview
This bill modifies Oregon law regarding how credit unions and banks handle the distribution of funds to deceased members or depositors. It changes the timeframe for state agencies to submit information related to these deaths, authorizes directors to delegate reinstatement requests, and adjusts requirements for supervisory committees. Specifically, it extends the time frame for agencies to provide information and clarifies procedures for handling deceased members’ deposits, including stipulations around affidavits and declarations.
Key provisions
- Extends the timeframe for state agencies to submit information related to deceased members or depositors.
- Authorizes directors of credit unions to delegate the duty to consider requests for reinstatement.
- Modifies requirements for supervisory committees of credit unions.
- Specifies conditions under which credit unions can pay deposits to surviving family members or other designated parties.
- Requires affidavits or declarations submitted regarding deceased members to meet specific criteria.
- Establishes procedures for the Department of Human Services and Oregon Health Authority to submit declarations.
- Outlines how the State Treasurer’s estate administrator will handle deposits in cases of intestate death.
- Clarifies the process for financial institutions to request indemnity agreements when transferring funds.
Who is affected
- Credit unions
- Banks
- Oregon Health Authority
- Department of Human Services
Sponsors
Official sponsors from legislative records.
Primary sponsor
House Committee On Commerce and Consumer Protection
Arguments in favor
Reasons to support this legislation.
Credit unions and their members strongly support the proposed legislation, which aims to correct discrepancies in statutes governing claims to decedents' accounts and clarify processes for expelled credit union members. The bill's minor technical changes align with credit union recommendations and are expected to have a positive impact on member experience, as evidenced by the feedback from the submitter's own membership. Specifically, these changes address issues with affidavit acceptance timelines and member reinstatement procedures, which have been identified as areas of concern by the submitter's members. By implementing these adjustments, the bill is anticipated to enhance the overall efficiency and effectiveness of credit union operations, ultimately benefiting the communities they serve.
Source: Testimony Summaries
Arguments opposed
Reasons to oppose this legislation.
Opponents of the proposed legislation express concerns that it fails to adequately address critical issues within the credit union sector. They argue that the bill's focus on regulatory reforms overlooks the need for stronger management and oversight structures, which can lead to member expulsion without sufficient evidence or due process. Critics contend that this lack of attention to these underlying problems will ultimately undermine the stability and accountability of credit unions, potentially putting members at risk.