Credit union industry proposes technical updates to accounts, expulsions and supervisory committees

3040944 · April 17, 2025

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Summary

Go West Credit Union Association witnesses told the Senate committee House Bill 3370 would make timing corrections for claims to deceased accounts, allow boards to delegate member‑expulsion appeals, and clarify supervisory committee composition while prohibiting the board chair from serving on that committee.

Pam Levitt, representing Oregon Credit Unions and the Go West Credit Union Association, and attorney Hal Scoggins testified in favor of House Bill 3370 on April 17, telling the Senate Committee on Labor and Business that the measure contains three technical changes to the Oregon Credit Union Act.

Scoggins, outside counsel for Go West, described the three provisions: a timing correction to align statutory time windows for Department of Human Services claims to deceased persons' accounts (correcting inconsistent 45–75 versus 46–75 day references), authority allowing a credit union board to delegate the duty to consider reinstatement of an expelled member (to streamline operations and keep boards "out of the weeds" if they prefer), and a clarification that members of the board may serve on the supervisory committee except that the board chair may not serve on the supervisory committee.

On the timing correction, Scoggins explained the fix prevents a situation in which an affidavit accepted by a credit union would be untimely for releasing funds. On DHS claims, a senator asked for clarity and Scoggins explained that DHS may seek to recover benefits paid to a decedent by claiming against funds in the decedent's account. Senator Patterson noted this is the Medicaid "clawback" practice and flagged it for potential policy review separate from the technical bill.

Supporters said the bill passed the House overwhelmingly and that the changes are technical and intended to align statutes and allow operational flexibility for large credit unions. The public hearing closed on April 17; no committee vote was taken that day.