NY A10431

Creates the Empire State Public Bank as a state-chartered financial institution governed by a commission consisting of the governor, lieutenant governor, state comptroller, and chairs of the senate and assembly banking committees.

Authorizes the bank to accept deposits of state moneys, facilitate infrastructure financing, administer student loan programs, and provide low-cost capital to businesses, nonprofits, and underserved communities.

Establishes a transition board with legislative and citizen members to develop a startup business plan, determine initial capital requirements, and recommend capitalization options by April 1, 2019.

Exempts the bank from state and local fees and taxes, requires quarterly reporting to the commission and annual reports to the legislature, and subjects the bank to financial regulation and independent audits comparable to state-chartered banks.

Prohibits loans to advisory board members, the bank president, and employees; requires compliance with ethics and transparency standards; and makes the transition board provisions expire on April 1, 2019.