BILL NUMBER: AB 1282	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MARCH 21, 2013

INTRODUCED BY   Assembly Member Bonta

                        FEBRUARY 22, 2013

   An act to amend Section  14000   14408 
of the Financial Code, relating to financial institutions.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1282, as amended, Bonta. Financial institutions: credit unions.

   Existing law, the California Credit Union Law, provides for the
regulation of credit unions. A willful violation of the California
Credit Union Law is a crime.  Existing law prohibits a credit
union from making any gift or donation having a value in excess of
$25,000 unless the gift or donation is in the best interest of the
credit union, is approved by a resolution of the board of directors
and is in conformance with any regulation or order, as specified.

   This bill would  make a nonsubstantive change to a
provision of the California Credit Union Law   instead
prohibit a credit   union from making any gift or donation
in excess of $30,000 subject to those requirements. By changing the
definition of a crime, the bill would impose a state-mandated local
program  . 
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.  
   This bill would provide that no reimbursement is required by this
act for a specified reason. 
   Vote: majority. Appropriation: no. Fiscal committee:  no
  yes  . State-mandated local program:  no
  yes  .


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 14408 of the  
Financial Code   is amended to read: 
   14408.  No credit union shall make any gift or donation having a
value in excess of  twenty-five thousand dollars ($25,000)
  thirty thousand dollars ($30,000)  unless the
gift or donation is in the best interest of the credit union, is
approved by a resolution of the board of directors and is in
conformance with any regulation or order that the commissioner may
issue. The resolution of the board of directors approving the gift or
donation shall identify the recipient of the gift or donation, state
the value of the gift or donation, and specify the basis for the
board's determination that the gift or donation is in the best
interests of the credit union. The board may establish a budget for
gifts and donations and authorize appropriate officials of the credit
union to select recipients and disburse budgeted funds among those
recipients.
   SEC. 2.    No reimbursement is required by this act
pursuant to Section 6 of Article XIII B of the California
Constitution because the only costs that may be incurred by a local
agency or school district will be incurred because this act creates a
new crime or infraction, eliminates a crime or infraction, or
changes the penalty for a crime or infraction, within the meaning of
Section 17556 of the Government Code, or changes the definition of a
crime within the meaning of Section 6 of Article XIII B of the
California Constitution.  
  SECTION 1.    Section 14000 of the Financial Code
is amended to read:
   14000.  This division shall be known, and may be cited, as the
"California Credit Union Law."