Wisconsin Legislative Council
ACT MEMO
One Ea st Ma in Stre e t, Suite 401 • Ma dison, W I 53703 • (608) 266-1304 • le g.council@le gis.wisconsin.gov • http://www.le gis.wisconsin.gov/lc
Prepared by: Dan Schmidt, Deputy Director March 22, 2024
2023 Wisconsin Act 128
[2023 Senate Bill 773]
Powers of Financial Institutions
CURRENT LAW
Under current law, the Department of Financial Institutions (DFI) regulates state-chartered credit
unions through the Office of Credit Unions (OCU) and state-chartered banks, savings banks, and
savings and loan associations through the Division of Banking (DOB). These financial institutions are
permitted to exercise various activities and powers under the supervision of the appropriate regulatory
authority.
2023 WISCONSIN ACT 128
2023 Wisconsin Act 128 makes a number of changes to the authorized operations of state-chartered
credit unions, banks, savings banks, and savings and loan associations. The act:
Expands the ability of a credit union to purchase, lease, and sell real property.
Specifies that credit unions may issue or offer supplemental forms of capital approved by OCU.
Repeals certain DFI rules related to the placement or operation of automated teller machines
(ATMs) by financial institutions.
Creates the crime of interfering with an ATM.
Eliminates a geographical lending restriction for a savings and loan association.
Eliminates certain lender disclosure requirements applicable to residential mortgage loans and
variable rate loans.
Extends the maximum maturity date, from 10 to 20 years, of a promissory note issued by a
municipality, county, or school district.
Extends the period in which a credit union’s board of directors must appoint a director to fill a
board vacancy.
Increases the amount of compensation available from DFI for losses resulting from the deposit of
public moneys in a failed financial institution.
Extends the period during which OCU must determine whether an activity or power that becomes
authorized for a federally chartered credit union should also be authorized for a Wisconsin-
chartered credit union.
Extends the deadline for a credit union to pay OCU for the cost of an OCU examination.
Effective date: March 23, 2023. The repeal of sections DFI-Bkg 14.03, DFI-SB 12.03, and DFI-SL
12.03 of the administrative code, as directed by the act, will take effect when published in the
administrative code as provided under s. 35.93, Stats.
For a full history of the bill, visit the Legislature’s bill history page.
DWS:jal