SECTIONS 14350-14356 - California Statutes

FINANCIAL CODE

SECTION 14350-14356

14350. The commissioner shall annually levy on and collect from
credit unions holding certificates authorizing them to act as credit
unions, pro rata on the basis of total assets, an assessment in a
total amount that is sufficient in the commissioner's opinion to (a)
meet the expenses of the department in administering this division
and other laws relating to credit unions or the credit union business
that are not otherwise provided for and (b) provide a reasonable
reserve for contingencies.

14351. (a) The amount of the annual assessment on any credit union
holding a certificate authorizing it to act as a credit union shall
be the greater of (1) one thousand five hundred dollars ($1,500) or
(2) the sum of the products determined by multiplying (A) increments
of the credit union's total assets by (B) percentages of the base
assessment rate, according to the following table:

Total Assets Percentage of Base
(In millions) Assessment Rate
First $3 85.0%
Next $3 30.0%
Next $4 12.5%
Excess over $10 11.0%

(b) The base assessment rate for each annual assessment shall be
fixed by the commissioner but shall not exceed two dollars and twenty
cents ($2.20) per one thousand dollars ($1,000) of total assets.

14352. For purposes of the annual assessment, the total assets of a
credit union holding a certificate authorizing it to act as a credit
union shall be determined as of a date fixed by the commissioner.
However, if a credit union does not hold a certificate authorizing it
to act as a credit union as of that date but does so as of the date
when the annual assessment is levied, its total assets for purposes
of the annual assessment shall be determined as of the date of the
levy.

14353. (a) Whenever the commissioner levies an annual assessment on
credit unions holding certificates authorizing them to act as credit
unions, the commissioner shall promptly mail or otherwise deliver to
each credit union assessed an invoice that shows (1) the amount of
the credit union's annual assessment and (2) the date when the annual
assessment is due and payable.
(b) The annual assessment on a credit union holding a certificate
authorizing it to act as a credit union becomes a liability of the
credit union on the date on which the commissioner levies the annual
assessment.
(c) If the annual assessment on a credit union holding a
certificate authorizing it to act as a credit union is not paid on
time, the commissioner shall be entitled to and may collect, in
addition to the amount of the annual assessment, a penalty of 5
percent of the amount of the unpaid annual assessment for each month
or part of a month that the payment is delinquent.

14353.5. Whenever the commissioner finds it necessary or advisable
to make an extra examination of a credit union, the commissioner may
charge the credit union a fee of seventy-five dollars ($75) per hour
for each examiner engaged in the extra examination, and the credit
union shall, within 10 days after the mailing or other delivery of a
statement by the commissioner, pay the fee charged by the
commissioner.

14354. There is established the Credit Union Fund in the State
Treasury.

14355. All money received or collected by the commissioner under
this division or any other law relating to credit unions or the
credit union business shall be paid at least once each week,
accompanied by a detailed statement thereof, into the State Treasury
to the credit of the Credit Union Fund.

14356. All expenses of the department in administering this
division and other laws relating to credit unions or the credit union
business shall be paid out of the Credit Union Fund; and, except as
otherwise provided in Section 276 or 277, the Credit Union Fund shall
be used only for such purposes.