Rule 80-2-4-.04 - Purchase of Real Estate for Future Expansion; Letter Notification(1) The purchase of real estate solely for expansion purposes may be made without the prior consent of the Department and by letter notification when: (a) The real property is to be utilized solely as the premises of a credit union or its wholly owned subsidiary within five years of the date of purchase;(b) The purchase of the real property does not result in the credit union exceeding the fixed asset limitation;(c) The credit union is not subject to any special requirements whereby the Department requires prior approval for such purchases; and(d) If a director, officer, or committee member is a party to the transaction, a certification is provided stating that all requirements of O.C.G.A. § 7-1-656 and the provisions of any applicable federal requirement have been satisfied.(2) The letter notification shall state the date of purchase, purchase price, location of the property, and why the credit union qualifies for letter notification under the provisions of this rule.(3) The ability to hold property for future expansion shall expire five (5) years from the date of purchase unless the property is utilized as credit union premises prior to that time. Credit unions holding property beyond the five-year period must divest themselves of the property through sale unless the time limitation is extended by the Department.Ga. Comp. R. & Regs. R. 80-2-4-.04
O.C.G.A. §§ 7-1-61; 7-1-650; 7-1-663.
Original Rule entitled "Purchase of Real Estate for Future Expansion; Letter Notification" adopted. F. June 29, 2017; eff. July 19, 2017.