Bill Text: NY S02902 | 2021-2022 | General Assembly | Introduced

---

Bill Title: Provides for the inclusion of low income credit unions in the banking development district program in cities having a population of one million or more persons.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2022-01-05 - REFERRED TO BANKS [S02902 Detail]

Download: New_York-2021-S02902-Introduced.html

---

                STATE OF NEW YORK
        ________________________________________________________________________

                                          2902

                               2021-2022 Regular Sessions

                    IN SENATE

                                    January 26, 2021
                                       ___________

        Introduced by Sens. KAVANAGH, SALAZAR -- read twice and ordered printed,
          and when printed to be committed to the Committee on Banks

        AN  ACT  to  amend  the banking law, in relation to including low income
          credit unions in the banking development district program

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  Subdivision  5  of  section  96-d  of the banking law, as
     2  amended by chapter 629 of the laws  of  2019,  is  amended  to  read  as
     3  follows:
     4    5.  (a)  Notwithstanding  the provisions of subdivision two of section
     5  two hundred thirty-seven of this  chapter;  for  the  purposes  of  this
     6  section,  paragraph  c  of subdivision two of section ten of the general
     7  municipal law, subdivision six of section one hundred five of the  state
     8  finance  law and section four hundred eighty-five-f of the real property
     9  tax law, any reference to a bank, trust company or national  bank  shall
    10  be  deemed  to  include  a  savings  bank, savings and loan association,
    11  federal savings and  loan  association,  federal  savings  bank,  credit
    12  union,  or federal credit union or, in cities having a population of one
    13  million or more persons, any low income credit union  as  designated  by
    14  section four hundred fifty-a of this chapter or any federal credit union
    15  that has been designated a low income credit union by the National Cred-
    16  it  Union Administration; provided, however, that such provisions of law
    17  do not grant a savings  bank,  savings  and  loan  association,  federal
    18  savings  and  loan  association,  federal savings bank, credit union, or
    19  federal credit union or, in cities having a population of one million or
    20  more persons, any low income credit union as designated by section  four
    21  hundred  fifty-a  of  this  chapter or any federal credit union that has
    22  been designated a low income credit union by the National  Credit  Union
    23  Administration eligibility to accept municipal or public funds or munic-
    24  ipal  or public moneys other than for the limited purposes of the estab-
    25  lishment of a branch in a banking development district pursuant to  this

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD06371-01-1
        S. 2902                             2

     1  section. Any such municipal or public funds or moneys shall be deposited
     2  only at the branch established pursuant to this section, and any munici-
     3  pal funds or moneys may be deposited only by the sponsoring municipality
     4  in  which  the  branch  and  banking  development  district are located;
     5  provided further that any such municipal or public funds or moneys shall
     6  be subject to the same requirements which apply to municipal  or  public
     7  funds  or moneys deposited in a bank, trust company or national bank and
     8  shall also be subject to the provisions of section one hundred  five  of
     9  the state finance law or section ten of the general municipal law relat-
    10  ing to such deposits.
    11    (b)  Notwithstanding any other provision of law, the superintendent of
    12  financial services shall promulgate rules and regulations  to  authorize
    13  the  participation  of  savings  banks,  savings  and loan associations,
    14  federal savings banks, federal savings  and  loan  associations,  credit
    15  unions,  and  federal credit unions or, in cities having a population of
    16  one million or more persons, any low income credit union  as  designated
    17  by  section  four  hundred fifty-a of this chapter or any federal credit
    18  union that has been designated a low income credit union by the National
    19  Credit Union Administration in the program established pursuant to  this
    20  section.
    21    §  2.  This act shall take effect immediately, provided, however, that
    22  the amendments to subdivision 5 of section 96-d of the banking law  made
    23  by  section one of this act shall not affect the repeal of such subdivi-
    24  sion and shall be deemed repealed therewith.