NY A03320

Amends Banking Law Section 96-d to extend banking development district designations from an unspecified period to 14 years, with the superintendent authorized to extend for additional 5 or 10-year periods.

Expands eligible financial institutions participating in banking development districts to include credit unions and federal credit unions, in addition to existing banks, trust companies, and savings institutions.

Permits credit unions and federal credit unions to accept municipal and public funds solely for establishing branches in banking development districts, subject to the same deposit requirements applicable to traditional banks.

Directs the superintendent of financial services to promulgate rules and regulations authorizing participation of savings banks, savings and loan associations, federal savings banks, federal savings and loan associations, credit unions, and federal credit unions in the banking development districts program.

Makes the act effective immediately, except provisions authorizing credit union participation expire January 1, 2023, though branches established before expiration may continue operating.