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NY A04555
Bill
Status
2/6/2013
Primary Sponsor
Dennis Gabryszak
Click for details
AI Summary
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Amends Banking Law Section 96-d to include credit unions and federal credit unions in the banking development district program, treating them the same as banks and trust companies for program purposes.
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Authorizes the Superintendent of Financial Services to promulgate rules and regulations permitting credit unions and federal credit unions to participate in the banking development district program.
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Allows credit unions to expand membership eligibility to include any person or organization located within a local community, neighborhood, or rural district with a demonstrated need for banking services when participating in the program.
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Limits credit union and federal credit union acceptance of municipal or public funds to deposits only at branches established in banking development districts, subject to the same requirements as deposits in traditional banks.
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Effective January 1, 2014, with provisions that amendments expire when the underlying banking development district program expires, though any branches established before expiration remain eligible for all authorized rights and privileges.
Legislative Description
Includes credit unions and federal credit unions within the definition of bank, trust company or national bank for the purpose of the banking development district program (which was created to encourage the establishment of bank branches in geographic locations where there is a demonstrated need for banking services); directs the banking board to promulgate rules and regulations to authorize the participation of credit unions and federal credit unions in such program; and provides that for purposes of such program, a credit union may include in its membership any person or organization located within a local community, neighborhood or rural district where there is a demonstrated need for banking services.
Last Action
enacting clause stricken
1/15/2014