26-2116. BOARD OF DIRECTORS — POWERS AND DUTIES. (1) The business and affairs of a credit union shall be managed by the board of directors of the credit union. The duties of the board include, but are not limited to, the duties enumerated in this section. The duties listed in subsection (2) of this section may not be delegated by the credit union’s board of directors. The duties listed in subsection (3) of this section may be delegated to a committee, officer or employee, with appropriate reporting to the board.

(2) The board shall:

(a) Retain the chief executive officer, or equivalent officer as specified in the bylaws, and set the chief executive officer’s compensation;

(b) Set the minimum amount of funds in a share account, if any, required for membership;

(c) Establish policies governing the operation of the credit union;

(d) Establish the conditions under which a member may be expelled for cause;

(e) Approve an annual operating budget for the credit union;

(f) Designate those persons or positions authorized to execute or certify documents or records on behalf of the credit union;

(g) Review the supervisory committee’s annual report; and

(h) Authorize the conveyance of real property and buildings.

(3) In addition, unless delegated, the board shall:

(a) Determine the maximum amount of shares and deposits that a member may hold in the credit union;

(b) Set the rate of interest on deposits, including nonmember deposits, and the rate of dividends on shares and authorize the payment of dividends on shares;

(c) Approve the charge-off of credit union losses;

(d) Determine the investment of surplus funds of the credit union in investments permitted by this chapter;

(e) Fill vacancies on all committees; and

(f) Authorize the credit union to borrow or lend money as needed to carry on the functions of the credit union.

History:

[26-2116, added 2018, ch. 165, sec. 12, p. 333.]