SECTION 1. Short title.

SEC. 2. Credit union service to underserved areas.

(1) in subsection (c)(2)—

(A) by striking “the field of membership category of which is described in subsection (b)(2),”;

(B) by amending subparagraph (A) to read as follows:

“(A) the Board determines that the local community, neighborhood, or rural district is an underserved area; and”; and

(C) in subparagraph (B), by inserting “not later than 2 years after having such underserved area added to the credit union’s charter,” before “the credit union”; and

(2) by adding at the end the following:

“(h) Change of field of membership To include underserved areas.—

“(1) IN GENERAL.—If an existing Federal credit union applies to the Board to alter or expand the field of membership of the credit union to serve an underserved area, the credit union shall submit a business and marketing plan with such application that explains the ability and intent of the credit union to serve the population of the underserved area through the change in field of membership.

“(2) REPORT BY CREDIT UNION.—Not later than 2 years after the date on which an application described under paragraph (1) is approved, the credit union, as part of the ordinary course of the examination cycle and supervision process, shall submit a report to the Administration that includes—

“(A) an estimate of the number of members of the credit union who are members by reason of the application, including breakdowns by each State (including the District of Columbia and each territory of the United States), Tribal government entity, and congressional district;

“(B) a description of the types of financial services utilized by members of the credit union who are members by reason of the application;

“(C) an update of the implementation of the credit union of the business and marketing plan described under paragraph (1); and

“(D) a description of the types of financial education programs made available to members of the credit union, including those who are members by reason of the application and those in rural areas, where applicable.”.

SEC. 3. Member business lending in underserved areas.

(1) in clause (iv), by striking “or” at the end;

(2) in clause (v), by striking the period and inserting “; or”; and

(3) by adding at the end the following:

“(vi) that is made to a member or associated borrower that lives in or operates in an underserved area.”.

SEC. 4. Underserved area defined.

(1) in paragraph (8), by striking “; and” and inserting a period;

(2) in paragraph (9), by striking the period at the end and inserting “; and”; and

(3) by adding at the end the following:

“(10) the term ‘underserved area’ means a geographic area consisting of 1 or more population census tracts or 1 or more counties, that encompass or are located within—

“(A) an investment area, as defined in section 103(16) of the Community Development Banking and Financial Institutions Act of 1994 (12 U.S.C. 4702(16));

“(B) groups of contiguous census tracts in which at least 85 percent individually qualify as low-income communities, as defined in section 45D(e) of the Internal Revenue Code of 1986; or

“(C) an area that is more than 10 miles, as measured from each point along the perimeter of the area, from the nearest branch of a depository institution, as defined in section 3 of the Federal Deposit Insurance Act (12 U.S.C. 1813) or credit union.”.

SEC. 5. Reports by the National Credit Union Administration.

SEC. 6. Rule of construction.