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<section article="gfi" article_name="Financial Institutions" number="6-320" title_number="6" title_name="Credit Unions" subtitle_number="3" subtitle_name="Formation, Organization, and Powers">
  <level label="a">
    <level label="1">
      <text>The board may amend the articles of incorporation only if the members approve the amendment.</text>
    </level>
    <level label="2">
      <level label="i">
        <text>Except as provided in subparagraph (ii) of this paragraph, the board may amend the bylaws without approval of the members.</text>
      </level>
      <level label="ii">
        <text>The board may amend the bylaws only with the approval of the members for any amendment that addresses one of the following subjects:</text>
        <level label="1">
          <text>The manner or method by which a meeting of the members can be convened;</text>
        </level>
        <level label="2">
          <text>Quorum requirements for a meeting of the members;</text>
        </level>
        <level label="3">
          <text>The voting rights of members;</text>
        </level>
        <level label="4">
          <text>Except as provided in § 6-303(b) of this subtitle, any change in the field of membership;</text>
        </level>
        <level label="5">
          <text>Requirements for the number, classifications, qualifications, and term of office for directors;</text>
        </level>
        <level label="6">
          <text>Procedures for removing directors;</text>
        </level>
        <level label="7">
          <text>Procedures for filling vacancies on the board; and</text>
        </level>
        <level label="8">
          <text>Any other issue as determined by the Commissioner.</text>
        </level>
      </level>
    </level>
  </level>
  <level label="b">
    <text>At any meeting of the members, the members may amend the articles of incorporation or, may approve an amendment to the bylaws as provided in subsection (a)(2)(ii) of this section, if:</text>
    <level label="1">
      <text>The notice of the meeting specifies the amendment to be considered; and</text>
    </level>
    <level label="2">
      <text>Two-thirds of the members present vote for the amendment.</text>
    </level>
  </level>
  <level label="c">
    <level label="1">
      <text>An amendment to the articles of incorporation does not become effective until:</text>
      <level label="i">
        <text>The amendment is approved by the Commissioner in writing no later than 60 days after the date of submission of the proposed amendment, unless the Commissioner and the credit union agree to a longer period of time; and</text>
      </level>
      <level label="ii">
        <text>A copy of the amendment certified by the Commissioner is filed with the State Department of Assessments and Taxation.</text>
      </level>
    </level>
    <level label="2">
      <text>Whether approved only by the board or by the members as required under subsection (a)(2)(ii) of this section, an amendment to the bylaws does not become effective until the amendment is approved by the Commissioner in writing no later than 60 days after the date of submission of the proposed amendment, unless the Commissioner and the credit union agree to a longer period of time.</text>
    </level>
  </level>
  <level label="d">
    <text>The action of the Commissioner on the proposed amendment to the articles of incorporation or the bylaws under subsection (c)(1)(i) or (2) of this section shall be based on a finding as to whether or not the proposed amendment:</text>
    <level label="1">
      <text>Is in the best interest of the membership;</text>
    </level>
    <level label="2">
      <text>Provides means for better service to the membership;</text>
    </level>
    <level label="3">
      <text>Is in accord with sound credit union practices; and</text>
    </level>
    <level label="4">
      <text>Exposes the members’ funds to unnecessary risk.</text>
    </level>
  </level>
  <level label="e">
    <text>The board shall report an amendment to the members of the credit union no later than the next meeting of the members after the Commissioner approves the amendment.</text>
  </level>
</section>
