Relating to the continuation and functions of the Credit Union Department and the Credit Union Commission.
Impact
The bill introduces greater regulatory oversight for credit unions by updating the qualification requirements for commission members, explicitly prohibiting individuals who are lobbyists or connected with trade associations in the financial sector from serving. Such measures are likely to promote transparency and mitigate conflicts of interest among those tasked with regulating the credit union industry. Additionally, it allows the department to implement negotiated rulemaking and alternative dispute resolution procedures, which may lead to a more streamlined and effective regulatory process for addressing consumer complaints and interactions with credit unions.
Summary
House Bill 2735 focuses on the continuation and functions of the Credit Union Department and the Credit Union Commission in Texas. It aims to amend the Finance Code to enhance the operational framework for credit unions, ensuring compliance and accountability within the department and among commission members. The bill specifies that commission members must undergo a training program before participating in meetings, ensuring they are well-informed about the laws and rules governing credit unions. This provision is intended to foster a more knowledgeable and responsible commission that can effectively oversee Texas credit unions.
Contention
While the overall intent of HB 2735 is to improve credit union governance, notable points of contention may arise regarding the balance of power between state oversight and credit union autonomy. The requirements for training and qualifications could be seen as burdensome by some stakeholders within the credit union industry. Additionally, the implications of increased regulatory actions introduced by the bill, such as the ability for the commissioner to issue cease and desist orders, may lead to concerns about overreach and the capacity of the department to fairly assess compliance without stifling credit union operations.
Relating to the continuation and functions of the Texas Juvenile Justice Department and the functions of the office of independent ombudsman for the Texas Juvenile Justice Department.
Relating to the continuation and functions of the Public Utility Commission of Texas and the Office of Public Utility Counsel, and the functions of the independent organization certified for the ERCOT power region; increasing an administrative penalty.
Relating to the continuation and functions of the Public Utility Commission of Texas and the Office of Public Utility Counsel, and the functions of the independent organization certified for the ERCOT power region.
Relating to the continuation and functions of the Texas Juvenile Justice Department, the functions of the office of independent ombudsman for the Texas Juvenile Justice Department, and the powers and duties of the office of inspector general of the Texas Juvenile Justice Department.
Relating to the transfer of functions relating to the economic regulation of water and sewer service from the Public Utility Commission of Texas and the Office of Public Utility Counsel to the Water Public Utility Commission and the Office of Water Public Utility Counsel; creating a criminal offense.
Relating to the functions of the Texas Water Development Board and continuation and functions of the State Water Implementation Fund for Texas Advisory Committee.