Lawriter - OAC - 1301:9-2-25 Purchase of fixed assets or purchase of real estate and/or construction of an office building.

1301:9-2-25 Purchase of fixed assets or purchase of real estate and/or construction of an office building.

(A) As used in this rule:

(1) "Fixed assets" means any premises, furniture, fixtures, and equipment.

(2) "Furniture, fixtures, and equipment" include all office furnishings, office machines, computer hardware and software, automated terminals, heating and cooling equipment and machinery.

(3) "Premises" includes any parking lot, office, branch office, service facility as defined in rule 1301:9-1-01 of the Administrative Code, other facility, or real estate where the credit union transacts or will transact business.

(B) In the case of a purchase of real estate, including when the real estate purchase also includes the construction of an office building, the credit union shall submit to the superintendent the following:

(1) A letter notice proposing the purchase that shall include all of the following:

(a) The circumstances surrounding the purchase such as the proposed use and complete description of the purchase;

(b) The amount of the proposed purchase;

(c) How the credit union intends to fund the purchase;

(d) The total amount the credit union has invested in fixed assets after the purchase; and

(e) Any other information the superintendent requires.

(2) The following supporting documents:

(a) Certified board resolution evidencing the directors' decision; and

(b) Pro forma financial statements.

(C) A credit union may purchase and hold real estate, which is being used or is intended to be used as premises and other fixed assets .


Effective: 11/26/2018
Five Year Review (FYR) Dates: 9/10/2018 and 11/24/2023
Promulgated Under: 119.03
Statutory Authority: 1733.41
Rule Amplifies: 1733.02, 1733.03, 1733.04, 1733.25, 1733.30
Prior Effective Dates: 8/3/93, 7/1/06, 3/22/12