OLYMPIA, Wash. - State-chartered credit unions may dismiss a member of its board of directors if the member misses four regular meetings in a year without being reasonably excused, state regulators ruled last week. "In the event that a board members has four UNEXCUSED absences, the board secretary should send written notice of the termination of the board member's service, although the termination is effective automatically," the Division of CUs in the Department of Financial Institutions, said in a new interpretive letter.
In the letter, Linda Jekel director of the division, notes that NCUA has a similar policy for federal charters enunciated in its model bylaws. The credit union regulator says it is appropriate that a board should indicate the absence of a member and whether the member was excused for a reason. Board members need to know the criteria for an excusable absence, as well as whom to notify," wrote Jekel. "This is the type of record a board needs."(c) 2008 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved.http://www.cujournal.com/ http://www.sourcemedia.com/
