Page:United States Statutes at Large Volume 112 Part 2.djvu/42

 112 STAT. 926 PUBLIC LAW 105-219—AUG. 7, 1998 Regulations. Notification. "(A) IN GENERAL. — The Board may, by order, decrease the 0.4 percent requirement in paragraph (1) with respect to a credit union to the extent that the Board determines that the decrease— "(i) is necessary to avoid a significant redemption of shares; and "(ii) would further the purpose of this section. "(B) PERIODIC REVIEW REQUIRED.— The Board shall periodically review any order issued under subparagraph (A). "(f) NET WORTH RESTORATION PLAN REQUIRED. — "(1) IN GENERAL.— Each insured credit union that is undercapitalized shall submit an acceptable net worth restoration plan to the Board within the time allowed under this subsection. "(2) ASSISTANCE TO SMALL CREDIT UNIONS. —The Board (or the staff of the Board) shall, upon timely request by an insured credit union with total assets of less than $10,000,000, and subject to such regulations or guidelines as the Board may prescribe, assist that credit union in preparing a net worth restoration plan. " (3) DEADLINES FOR SUBMISSION AND REVIEW OF PLANS.— The Board shall, by regulation, establish deadlines for submission of net worth restoration plans under this subsection that— "(A) provide insured credit unions with reasonable time to submit net worth restoration plans; and "(B) require the Board to act on net worth restoration plans expeditiously. "(4) FAILURE TO SUBMIT ACCEPTABLE PLAN WITHIN TIME ALLOWED. — " (A) FAILURE TO SUBMIT ANY PLAN.— If an insured credit union fails to submit a net worth restoration plan within the time allowed under paragraph (3), the Board shall— "(i) promptly notify the credit union of that failure; and "(ii) give the credit union a reasonable opportunity to submit a net worth restoration plan. " (B) SUBMISSION OF UNACCEPTABLE PLAN.—I f an insured credit union submits a net worth restoration plan within the time allowed under paragraph (3), and the Board determines that the plan is not acceptable, the Board shall— "(i) promptly notify the credit union of why the plan is not acceptable; and "(ii) give the credit union a reasonable opportunity to submit a revised plan. "(5) ACCEPTING PLAN.—The Board may accept a net worth restoration plan only if the Board determines that the plan is based on realistic assumptions and is likely to succeed in restoring the net worth of the credit union. "(g) RESTRICTIONS ON UNDERCAPITALIZED CREDIT UNIONS.— "(1) RESTRICTION ON ASSET GROWTH. — An insured credit union that is undercapitalized shall not generally permit its average total assets to increase, unless— "(A) the Board has accepted the net worth restoration plan of the credit union for that action;

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