Bill Text: NY A01362 | 2011-2012 | General Assembly | Introduced

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Bill Title: Requires inclusion and explanation of additional annual data in assessing record of performance of banking institutions in meeting community credit needs; additional data to include but not be limited to: loans for housing low and moderate-income residents of low and moderate income areas, the scope of efforts to market housing and small business loans in low and moderate-income areas and other data.

Spectrum: Partisan Bill (Democrat 11-0)

Status: (Introduced - Dead) 2012-05-17 - advanced to third reading cal.576 [A01362 Detail]

Download: New_York-2011-A01362-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         1362
                              2011-2012 Regular Sessions
                                 I N  A S S E M B L Y
                                      (PREFILED)
                                    January 5, 2011
                                      ___________
       Introduced  by  M.  of  A.  JEFFRIES  --  Multi-Sponsored by -- M. of A.
         CAMARA, FARRELL, PHEFFER, TOWNS --  read  once  and  referred  to  the
         Committee on Banks
       AN ACT to amend the banking law, in relation to assessment of the record
         of  performance  of banking institutions in helping to meet the credit
         needs of local communities
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1. The opening paragraph of paragraph (a) of subdivision 3 of
    2  section 28-b of the banking law, as amended by chapter 315 of  the  laws
    3  of 2008, is amended to read as follows:
    4    When taking any action on an application made by a banking institution
    5  under  section  one  hundred  five, two hundred twenty-four, two hundred
    6  forty, or three hundred ninety-six of this chapter for a  branch  office
    7  or  under  section  one  hundred ninety-one of this chapter for a public
    8  accommodation office or under section six hundred one-b of this  chapter
    9  for approval or disapproval of a merger or purchase of assets, or taking
   10  any  action on a notice submitted by a banking institution under section
   11  one hundred five-a, two hundred forty-a or three hundred ninety-six-a of
   12  this chapter for the use or installation of an automated teller machine,
   13  point-of-sale terminal or similar electronic facility or  on  any  other
   14  application  to which the banking board shall by rule or regulation make
   15  applicable the provisions of this section, the superintendent shall take
   16  into account, among other factors, an assessment,  in  writing,  of  the
   17  record  of performance of the banking institution in helping to meet the
   18  credit needs of its entire community, including low and  moderate-income
   19  neighborhoods,  consistent  with safe and sound operation of the banking
   20  institution.  SUCH ASSESSMENT SHALL INCLUDE A SEPARATE DISCUSSION OF THE
   21  RECORD OF THE BANKING INSTITUTION PERTAINING TO EACH OF  THE  ASSESSMENT
   22  FACTORS  LISTED  IN  ALL  OF  THE  SUBPARAGRAPHS OF THIS PARAGRAPH AND A
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD00195-01-1
       A. 1362                             2
    1  COMPLETE EXPLANATION OF HOW EACH OF THESE FACTORS WAS CONSIDERED BY  THE
    2  DEPARTMENT IN MAKING THE ASSESSMENT. THIS EXPLANATION SHALL INCLUDE, BUT
    3  NOT BE LIMITED TO, ANNUAL DATA FOR THE INSTITUTION AS FOLLOWS: LOANS FOR
    4  HOUSING  LOW  AND  MODERATE-INCOME  RESIDENTS OF LOW AND MODERATE-INCOME
    5  AREAS, AND THE SCOPE OF EFFORTS TO MARKET  HOUSING  AND  SMALL  BUSINESS
    6  LOANS  IN  LOW  AND MODERATE-INCOME AREAS; THE AMOUNT OF LOANS TO FARMS,
    7  AND LOANS TO SMALL BUSINESSES THAT PROVIDE SERVICES TO  LOW  AND  MODER-
    8  ATE-INCOME RESIDENTS OF LOW AND MODERATE-INCOME AREAS; FINANCIAL INVEST-
    9  MENTS  IN  AND CONTRIBUTIONS TO NONPROFIT LOCAL COMMUNITY DEVELOPMENT OR
   10  REDEVELOPMENT PROJECTS OR ENTITIES; MANPOWER RESOURCES COMMITTED TO  LOW
   11  AND MODERATE-INCOME HOUSING LENDING AND SMALL BUSINESS LENDING AND OTHER
   12  FORMS  OF  ADMINISTRATIVE SUPPORT FOR SUCH LENDING; AND PARTICIPATION IN
   13  GOVERNMENTALLY OR  PRIVATELY  SPONSORED  LOAN  INSURANCE,  GUARANTEE  OR
   14  SUBSIDY  PROGRAMS  FOR  HOUSING,  SMALL BUSINESSES AND SMALL FARMS. Such
   15  assessment AND EXPLANATION and any written communications from the bank-
   16  ing department to a banking institution relating to such assessment  AND
   17  EXPLANATION shall be made available to the public upon request, provided
   18  that  nothing  contained  in  this subdivision shall be deemed to alter,
   19  amend or affect the provisions of subdivision ten of section  thirty-six
   20  of  this  chapter. In making such assessment AND EXPLANATION, the super-
   21  intendent shall review all reports and documents filed WITH HIM  OR  HER
   22  pursuant  to  subdivision  one  of  this section and any signed, written
   23  comments received by the superintendent which specifically relate to the
   24  banking institution's performance in helping to meet the credit needs of
   25  its community.  In  addition,  the  superintendent  shall  consider  the
   26  following  factors  in  assessing AND EXPLAINING a banking institution's
   27  record of performance:
   28    S 2. This act shall take effect on the one hundred twentieth day after
   29  it shall have become a law. Effective immediately, the addition,  amend-
   30  ment  and/or repeal of any rules or regulations necessary for the imple-
   31  mentation of the foregoing section of this act on its effective date are
   32  authorized to be made on or before such effective date.