A. As a prerequisite to approval of an application for charter for an association with authority to issue permanent capital stock, the supervisor shall require that a paid-in operating fund, which may be used in lieu of earnings to pay organization and operating expenses, be paid to the association in cash in the following amounts, based on the total population of the area in which its principal office is to be located:

Population of Area                 Paid-in Surplus                Paid-in Operating Fund Below 10,000                         $50,000                                 $25,000 10,001 to 25,000                 50,000                                 50,000 25,001 to 50,000                 50,000                                 50,000 50,001 to 100,000                 75,000                                 75,000 100,001 to 200,000             75,000                                 75,000 200,001 to 350,000             100,000                                 75,000 Over 350,000                         125,000                                 75,000 B. If the application is not approved, or if the proposed association does not proceed to do business, the stock subscriptions for permanent capital stock, paid-in surplus and paid-in operating fund shall be returned pro rata to the subscribers, less any lawful expenditures.

C. The provisions of this section are not retroactive with respect to associations established or approved by the director of the financial institutions division prior to the effective date of the Savings and Loan Act.