HI SB1097

Establishes a new category of trust company called "nondepository trust companies" that are not authorized to accept deposits from the public.

Nondepository trust companies are prohibited from soliciting deposits, engaging in banking business, real estate brokerage, insurance activities, or securities broker/dealer activities; they must contract with third parties for financial advising, property management, and real estate services.

Nondepository trust companies must maintain minimum paid-in capital and surplus of $1,000,000 and are subject to tiered annual assessments based on total assets under management, ranging from $1,000 plus a percentage rate to a maximum of $150,000 for entities managing $10 billion or more.

Defines "total assets under management" as the market value of assets that a nondepository trust company oversees on behalf of clients, including assets managed through third-party service providers.

Appropriates $4,000 annually for fiscal years 2021-2022 and 2022-2023 to the Division of Financial Institutions to administer nondepository trust regulations; effective July 1, 2050.