HB 6339 Summary

• Allows Connecticut banks to merge with non-bank affiliates and out-of-state banks provided the resulting institution is a Connecticut bank, with affiliate compliance with applicable state or jurisdictional laws.

• Permits Connecticut banks to establish loan production offices inside or outside the state with commissioner approval.

• Creates regulatory framework for exchange facilitators, requiring minimum $1 million fidelity bonds, errors and omissions insurance or letters of credit of at least $250,000, and prohibiting commingling of client exchange funds with operating accounts.

• Expands eligible collateral for public deposits to include certain government agency securities and revenue bonds rated in three highest categories, and simplifies collateral ratio requirements based on depository capital ratios.

• Requires assignees of municipal tax liens on real property to notify mortgage holders within 30 days of assignment and reduces appraisal management company payment deadline to appraisersfrom 60 to 45 days.