                                 CODE OF VIRGINIA

ESTABLISHING, MOVING, AND CLOSING OFFICES (§ 6.2-1326)

A. As used in this section, &#8220;service facility&#8221; means a physical
facility at a location other than its main office that is wholly owned by the
credit union establishing it. &#8220;Service facility&#8221; does not include
any automated teller machine, cash-dispensing machine, or similar electronic or
computer terminal, regardless of whether it (i) is located on credit union
premises or premises properly considered part of an authorized office of the
credit union or (ii) receives or records deposits or disburses loan proceeds.

B. A credit union may maintain service facilities at locations other than its
main office if the maintenance of such offices is reasonably necessary to serve
its members, subject to the approval of the Commission. An application to
establish such a service facility, accompanied by a fee of $200, shall be made
on a form prescribed by the Commission. The Commission shall approve the
establishment of the proposed service facility if it appears that the interest
of the members of the applicant will be served thereby and that such
establishment will not impair the financial condition of the applicant or any
other credit union.

C. A credit union may (i) contract with one or more other credit unions subject
to this chapter or organized under the laws of the United States or any other
state to provide for the operation of one or more shared service facilities or
(ii) provide for its members to have the use of one or more shared service
facilities by contracting with a credit union service organization approved by
the Commissioner for such purpose. A participating credit union may also invest
in the credit union service organization. A credit union shall give prior
written notice to the Commissioner of its participation in each shared service
facility or credit union service organization. Notice to the Commissioner of a
credit union&#8217;s participation in a credit union service organization shall
satisfy the requirement of subsection E that the Commissioner be notified of the
establishment of an office, if the credit union service organization has
notified the Commissioner of the establishment of the shared service facility.

D. The authority of the Commission and the Commissioner to supervise and
regulate credit unions, as set forth in Article 2 (&#xA7; 6.2-1308 et seq.) of
this chapter, shall extend to any shared service facility and any credit union
service organization that is involved in the operation of a shared service
facility that provides service to credit unions organized under this chapter,
except that such authority shall not extend to the assets, records, books, and
accounts of any federal credit union or credit union organized under the laws of
another state.

E. A credit union may change the location of its main office, a service
facility, or office, and may close any such office, provided it gives at least
30 days&#8217; prior written notice thereof to the Commissioner in such form as
he may prescribe. A credit union shall notify the Commissioner in writing within
10 days after it establishes, relocates, or closes any office. A credit union
shall notify the Commissioner of its withdrawal from participation in any shared
service facility within 10 days of such withdrawal.

HISTORY: Code 1950, § 6-212; 1966, c. 584, § 6.1-203; 1990, c. 373, §
6.1-225.20; 1995, c. 326; 2006, c. 754; 2010, c. 794; 2015, cc. 19, 445.