,,ii #aagth ,,congress #b;d ,session ,s4 #dfih ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,august #a1 #bjbb,mr4 ,ossoff 7for himself1 ,ms4 ,lummis1 and ,mr4 ,warner7 introduced the following bill2 which was read twice and referred to the ,committee on ,banking1 ,housing1 and ,urban ,affairs ,a ,,bill ,to amend the ,federal ,credit ,union ,act to modify requirements relating to the regulation and examination of credit union organizations and service providers4 #a4 ,short title ,this ,act may be cited as the ,improving ,cybersecurity of ,credit ,unions ,act4 #b4 ,findings ,congress finds the following3 7#a7 ,until #bjja1 the ,national ,credit ,union ,administration 7referred to in this section as the ,,ncua7 maintained third-party examination authority over credit union organizations4 7#b7 ,as of the date of enactment of this ,act1 other ,federal and ,state bank supervisors maintain third-party examination authority over bank service companies pursuant to the ,bank ,service ,company ,act 7#ab ,u4,s4,c4 #ahfa et seq474 7#c7 ,the ,government ,accountability ,office1 the ,financial ,stability ,oversight ,council1 and the ,inspector ,general of the ,,ncua have all requested the restoration of the ,,ncua's third-party vendor authority4 7#d7 ,as of the date of enactment of this ,act1 significant cybersecurity threats threaten credit unions and the economy of the ,united ,states4 7#e7 ,by giving the ,,ncua examination parity with other ,federal and ,state bank supervisors1 and restoring third-party examination authority to the ,,ncua1 this ,act1 and the amendments made by this ,act1 will protect credit union customers and strengthen credit unions against cybersecurity risks1 privacy violations1 and anti-money laundering concerns4 #c4 ,regulation and examination of credit union organizations and service providers 7a7 ,in general ,the ,federal ,credit ,union ,act 7#ab ,u4,s4,c4 #agea et seq47 is amended by striking section #bjf;,a 7#ab ,u4,s4,c4 #aghf;a7 and inserting the following3 #bjf;,a4 ,regulation and examination of credit union organizations and service providers 7a7 ,regulation and examination of credit union organizations 7#a7 ,general examination and regulatory authority ,a credit union organization shall be subject to examination and regulation by the ,board to the same extent as an insured credit union4 7#b7 ,examination by other banking agencies ,the ,board may authorize any of the following entities to make an examination of a credit union organization in accordance with paragraph 7#a73 7,a7 ,any ,federal regulatory agency that supervises any activity of a credit union organization4 7,b7 ,any ,federal banking agency that supervises any other person who maintains an ownership interest in a credit union organization4 7b7 ,applicability of section #bjf ,a credit union organization shall be subject to the provisions of section #bjf as if the credit union organization were an insured credit union4 7c7 ,service performed by contract or otherwise ,notwithstanding subsection 7a71 if an insured credit union or a credit union organization that is regularly examined or subject to examination by the ,board1 causes to be performed for itself1 by contract or otherwise1 any service authorized under this ,act1 or in the case of a ,state credit union1 any applicable ,state law1 whether on or off its premises-- 7#a7 such performance shall be subject to regulation1 examination1 and enforcement by the ,board to the same extent as if such services were being performed by the insured credit union or credit union organization itself on its own premises2 and 7#b7 the insured credit union or credit union organization shall notify the ,board1 in a manner and method prescribed by the ,board1 of the existence of the service relationship not later than #cj days after the earlier of-- 7,a7 the date on which the contract is entered into2 or 7,b7 the date on which the performance of the service is initiated4 7d7 ,administration by the board ,the ,board may issue such regulations and orders as may be necessary to enable the ,board to administer and carry out this section and to prevent evasion of this section4 7e7 ,definitions ,for purposes of this section-- 7#a7 the term credit union organization means any entity that-- 7,a7 is not a credit union2 7,b7 is an entity in which an insured credit union may lawfully hold an ownership interest or investment2 and 7,c7 is owned in whole or in part by an insured credit union2 and 7#b7 the term ,federal banking agency has the same meaning as in section #c of the ,federal ,deposit ,insurance ,act4 7f7 ,exercise of authority ,to minimize duplicative efforts1 prior to conducting any examination of a credit union organization under the authority provided to the ,board under this section1 the ,board shall first seek to collect any information which the ,board intends to acquire through such examination from-- 7#a7 any ,federal regulatory agencies that supervise any activity of that credit union organization2 and 7#b7 any ,federal banking agency that supervises any other person who maintains an ownership interest in that credit union organization4 4 7b7 ,approval ,any changes to the budget of the ,national ,credit ,union ,administration ,board as a result of the amendments made by subsection 7a7 shall be featured in a public hearing1 subject to public comment1 and approved by the ,board4