NY A02536

Creates the State of New York Public Bank as an independent financial institution governed by a commission with members appointed by the governor, legislative leaders, and state comptroller, with operations commencing by April 1, 2025.

Authorizes the bank to accept state deposits and public funds (including 20% of cannabis revenue), with 50% of public deposits prioritized for lending in underserved communities with below-median income, minority- or women-owned businesses, and disadvantaged farmers.

Empowers the bank to provide infrastructure financing, low-cost student loans, home mortgages for first-time buyers, and business credit to small businesses and underserved communities in partnership with community banks and credit unions.

Requires the bank to maintain capital adequacy standards, submit quarterly reports to the commission, undergo independent audits, and be subject to examination by the Department of Financial Services superintendent.

Makes the bank exempt from state and local fees and taxes, guarantees all deposits by the state, and allows the bank to establish a master account with the Federal Reserve to enhance liquidity.