NY State Senate Bill 2015-S5521A

Senate Bill S5521A

2015-2016 Legislative Session

Includes credit unions and federal credit unions within the definition of bank, trust company or national bank for purpose of banking development district program

download bill text pdf

Archive: Last Bill Status - In Senate Committee Rules Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

Please enter your contact information

First Name

Last Name

Email Address

A valid email address is required.

Home address is used to determine the senate district in which you reside. Your support or opposition to this bill is then shared immediately with the senator who represents you.

Optional services from the NY State Senate:

Create an account. An account allows you to officially support or oppose key legislation, sign petitions with a single click, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Include a custom message for your Senator? (Optional)

Enter a message to your senator. Many New Yorkers use this to share the reasoning behind their support or opposition to the bill. Others might share a personal anecdote about how the bill would affect them or people they care about.

Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jun 08, 2016	reported and committed to rules
Jan 21, 2016	print number 5521a
Jan 21, 2016	amend and recommit to banks
Jan 06, 2016	referred to banks
May 14, 2015	referred to banks

Votes

- Jun 8, 2016 - Banks Committee Vote
  S5521A
  
  10
  
  Aye
  
  2
  
  Nay
  
  6
  
  Aye with Reservations
  
  1
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Banks Committee Vote: Jun 8, 2016
      
      aye (10)
      
      Amedore
      
      Avella
      
      Breslin
      
      Hamilton
      
      Kennedy
      
      Latimer
      
      Marcellino
      
      Marchione
      
      Parker
      
      Savino
      
      nay (2)
      
      Akshar
      
      Bonacic
      
      aye wr (6)
      
      Farley
      
      Golden
      
      Martins
      
      Murphy
      
      O'Mara
      
      Sanders Jr.
      
      absent (1)
      
      Diaz

Bill Amendments

Original

A (Active)

co-Sponsors

2015-S5521 - Details

See Assembly Version of this Bill:: A3521
Current Committee:: Senate Rules
Law Section:: Banking Law
Laws Affected:: Amd §§96-d & 451-a, Bank L
Versions Introduced in Other Legislative Sessions:: 2013-2014: A8693
2017-2018: S5187, A5776
2019-2020: S727

2015-S5521 - Summary

Relates to including credit unions and federal credit unions within the definition of bank, trust company or national bank for the purpose of the banking development district program (which was created to encourage the establishment of bank branches in geographic locations where there is a demonstrated need for banking services); relates to directing the banking board to promulgate rules and regulations to authorize the participation of credit unions and federal credit unions in such program; provides that for purposes of such program, a credit union may include in its membership any person or organization located within a local community, neighborhood or rural district where there is a demonstrated need for banking services.

2015-S5521 - Sponsor Memo

                                BILL NUMBER:S5521

TITLE OF BILL:

An act to amend the banking law, in relation to including credit
unions and federal credit unions within provisions regarding banking
development district program

PURPOSE OR GENERAL IDEA OF BILL:

To include credit unions and federal credit unions within the
definition of bank or trust company for the purpose of provisions
regarding banking development districts.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1. Amends subdivision 5 of section 96-d of the banking law, as
added by chapter 526 of the laws of 1998, to include credit unions and
federal credit unions in the definition of a bank, trust company, or
national bank.

Section 2. Subdivision 2 of section 451 of the banking law, as added
by chapter 608 of the laws of 1996, is amended to state that for the
purposes of section 96-d of this chapter, the credit union may include
in its membership any person or organization located within a local
community, neighborhood or rural district where there is a

demonstrated need for banking services as determined by the
superintendent.

Section 3. Effective Date

JUSTIFICATION:

Chapter 204 of the laws of 1997 authorized the creation of a banking
development district program, which enables municipalities and New
York State to offer certain economic incentives to encourage the
establishment of commercial bank branches in areas where there is a
demonstrated need for banking services.  Chapter 526 of the laws of
1998 incorporated savings and loans into this program. This
legislation includes credit unions within the economic development
program.

Credit unions will be able to offer small business services, such as
member business lending, similar to those currently offered by
commercial banks and savings and loans. By enabling credit unions to
participate in this program there will be more opportunities for
municipalities to work with different types of banking institutions to
encourage better banking services in developing areas.

PRIOR LEGISLATIVE HISTORY:

A3134 of 2008-2009.
A9352 of 2009-2010.
A2549 of 2013-2014 (enacting clause stricken)
A8693 of 2014

FISCAL IMPLICATIONS:


None to the State

EFFECTIVE DATE:

This act shall take effect immediately and shall be deemed to have
been in full force and effect on or after January 1, 2017 provided
however, that the amendments to subdivision 2 of section 451 of the
banking law made by section two of this act shall expire and be deemed
repealed on the same date as section 4 of chapter 526 of the laws of
1998.

2015-S5521 - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  5521

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                              May 14, 2015
                               ___________

Introduced  by  Sen.  MONTGOMERY  -- 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 credit  unions
  and federal credit unions within provisions regarding banking develop-
  ment district program

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subdivision 5 of section 96-d of the banking law, as  added
by  chapter 526 of the laws of 1998, paragraph (a) as amended by chapter
328 of the laws of 1999, paragraph (b) as further amended by section 104
of part A of chapter 62 of the laws of  2011,  is  amended  to  read  as
follows:
  5.  (a)  Notwithstanding  the provisions of subdivision two of section
two hundred thirty-seven of this  chapter;  for  the  purposes  of  this
section,  paragraph  c  of subdivision two of section ten of the general
municipal law, subdivision six of section one hundred five of the  state
finance  law and section four hundred eighty-five-f of the real property
tax law, any reference to a bank, trust company or national  bank  shall
be  deemed  to  include  a  savings  bank, savings and loan association,
federal savings and loan association [or], federal savings bank,  CREDIT
UNION  OR  FEDERAL CREDIT UNION; provided, however, that such provisions
of law do not grant a savings bank, savings and loan association, feder-
al savings and loan association [or], federal  savings  bank,  A  CREDIT
UNION  OR  A  FEDERAL  CREDIT  UNION  eligibility to accept municipal or
public funds or municipal or public moneys other than  for  the  limited
purposes  of  the  establishment  of  a  branch in a banking development
district pursuant to this section. Any such municipal or public funds or
moneys shall be deposited only at the  branch  established  pursuant  to
this section, and any municipal funds or moneys may be deposited only by
the  sponsoring municipality in which the branch and banking development
district are located; provided further that any such municipal or public

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01032-03-5

S. 5521                             2

funds or moneys shall be subject to the same requirements which apply to
municipal or public funds or moneys deposited in a bank,  trust  company
or  national bank and shall also be subject to the provisions of section
one  hundred five of the state finance law or section ten of the general
municipal law relating to such deposits.
  (b) Notwithstanding any other provision of law, the superintendent  of
financial  services  shall promulgate rules and regulations to authorize
the participation of  savings  banks,  savings  and  loan  associations,
federal  savings  banks  [and],  federal  savings and loan associations,
CREDIT UNIONS AND FEDERAL  CREDIT  UNIONS  in  the  program  established
pursuant to this section.
  S  2.  Paragraph  (f) of subdivision 1 of section 451-a of the banking
law, as added by chapter 502 of the laws of 2014, is amended and  a  new
paragraph (g) is added to read as follows:
  (f)  Any  incorporated or unincorporated organization composed princi-
pally of persons eligible to membership in the  credit  union  and  that
organization's employees[.]; OR
  (G)  ANY  PERSON  OR  ORGANIZATION  LOCATED  WITHIN A LOCAL COMMUNITY,
NEIGHBORHOOD, OR RURAL DISTRICT WHERE THERE IS A DEMONSTRATED  NEED  FOR
BANKING SERVICES AS DETERMINED BY THE SUPERINTENDENT.
  S  3.  This  act shall take effect January 1, 2017; provided, that the
amendments to subdivision 5 of section 96-d of the banking law  made  by
section  one of this act shall not affect the repeal of such subdivision
and shall be deemed to be repealed therewith as provided in section 4 of
chapter 526 of the laws of 1998, as amended.

co-Sponsors

2015-S5521A (ACTIVE) - Details

See Assembly Version of this Bill:: A3521
Current Committee:: Senate Rules
Law Section:: Banking Law
Laws Affected:: Amd §§96-d & 451-a, Bank L
Versions Introduced in Other Legislative Sessions:: 2013-2014: A8693
2017-2018: S5187, A5776
2019-2020: S727

2015-S5521A (ACTIVE) - Summary

2015-S5521A (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S5521A

 TITLE OF BILL :

An act to amend the banking law, in relation to including credit
unions and federal credit unions within provisions regarding banking
development district program

 PURPOSE OR GENERAL IDEA OF BILL :

To include credit unions and federal credit unions within the
definition of bank or trust company for the purpose of provisions
regarding banking development districts.

 SUMMARY OF SPECIFIC PROVISIONS :

Section 1. Amends subdivision 5 of section 96-d of the banking law, as
added by chapter 526 of the laws of 1998, to include credit unions and
federal credit unions in the definition of a bank, trust company, or
national bank.

Section 2. Subdivision 2 of section 451 of the banking law, as added
by chapter 608 of the laws of 1996, is amended to state that for the
purposes of section 96-d of this chapter, the credit union may include
in its membership any person or organization located within a local
community, neighborhood or rural district where there is a

demonstrated need for banking services as determined by the
superintendent.

Section 3. Effective Date

 JUSTIFICATION :

Chapter 204 of the laws of 1997 authorized the creation of a banking
development district program, which enables municipalities and New
York State to offer certain economic incentives to encourage the
establishment of commercial bank branches in areas where there is a
demonstrated need for banking services. Chapter 526 of the laws of
1998 incorporated savings and loans into this program. This
legislation includes credit unions within the economic development
program.

Credit unions will be able to offer small business services, such as
member business lending, similar to those currently offered by
commercial banks and savings and loans. By enabling credit unions to
participate in this program there will be more opportunities for
municipalities to work with different types of banking institutions to
encourage better banking services in developing areas.

 PRIOR LEGISLATIVE HISTORY :

A3134 of 2008-2009.
A9352 of 2009-2010.
A2549 of 2013-2014 (enacting clause stricken)
A8693 of 2014

 FISCAL IMPLICATIONS :

None to the State

 EFFECTIVE DATE :
This act shall take effect January 1, 2018.

2015-S5521A (ACTIVE) - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 5521--A

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                              May 14, 2015
                               ___________

Introduced  by  Sens.  MONTGOMERY,  HAMILTON  --  read twice and ordered
  printed, and when printed to be committed to the Committee on Banks --
  recommitted to the Committee on Banks in accordance with  Senate  Rule
  6,  sec. 8 -- committee discharged, bill amended, ordered reprinted as
  amended and recommitted to said committee

AN ACT to amend the banking law, in relation to including credit  unions
  and federal credit unions within provisions regarding banking develop-
  ment district program

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subdivision 5 of section 96-d of the banking law, as  added
by  chapter 526 of the laws of 1998, paragraph (a) as amended by chapter
328 of the laws of 1999, paragraph (b) as further amended by section 104
of part A of chapter 62 of the laws of  2011,  is  amended  to  read  as
follows:
  5.  (a)  Notwithstanding  the provisions of subdivision two of section
two hundred thirty-seven of this  chapter;  for  the  purposes  of  this
section,  paragraph  c  of subdivision two of section ten of the general
municipal law, subdivision six of section one hundred five of the  state
finance  law and section four hundred eighty-five-f of the real property
tax law, any reference to a bank, trust company or national  bank  shall
be  deemed  to  include  a  savings  bank, savings and loan association,
federal savings and loan association [or], federal savings bank,  CREDIT
UNION  OR  FEDERAL CREDIT UNION; provided, however, that such provisions
of law do not grant a savings bank, savings and loan association, feder-
al savings and loan association [or], federal  savings  bank,  A  CREDIT
UNION  OR  A  FEDERAL  CREDIT  UNION  eligibility to accept municipal or
public funds or municipal or public moneys other than  for  the  limited
purposes  of  the  establishment  of  a  branch in a banking development
district pursuant to this section. Any such municipal or public funds or
moneys shall be deposited only at the  branch  established  pursuant  to

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01032-04-6

S. 5521--A                          2

this section, and any municipal funds or moneys may be deposited only by
the  sponsoring municipality in which the branch and banking development
district are located; provided further that any such municipal or public
funds or moneys shall be subject to the same requirements which apply to
municipal  or  public funds or moneys deposited in a bank, trust company
or national bank and shall also be subject to the provisions of  section
one  hundred five of the state finance law or section ten of the general
municipal law relating to such deposits.
  (b) Notwithstanding any other provision of law, the superintendent  of
financial  services  shall promulgate rules and regulations to authorize
the participation of  savings  banks,  savings  and  loan  associations,
federal  savings  banks  [and],  federal  savings and loan associations,
CREDIT UNIONS AND FEDERAL  CREDIT  UNIONS  in  the  program  established
pursuant to this section.
  S  2.  Paragraph  (f) of subdivision 1 of section 451-a of the banking
law, as amended by chapter 153 of the laws of 2015, is amended and a new
paragraph (g) is added to read as follows:
  (f) Any incorporated or unincorporated organization  composed  princi-
pally  of  persons  eligible  to membership in the credit union and that
organization's employees[.]; OR
  (G) ANY PERSON OR  ORGANIZATION  LOCATED  WITHIN  A  LOCAL  COMMUNITY,
NEIGHBORHOOD,  OR  RURAL DISTRICT WHERE THERE IS A DEMONSTRATED NEED FOR
BANKING SERVICES AS DETERMINED BY THE SUPERINTENDENT.
  S 3. This act shall take effect January 1, 2018;  provided,  that  the
amendments  to  subdivision 5 of section 96-d of the banking law made by
section one of this act shall not affect the repeal of such  subdivision
and shall be deemed to be repealed therewith as provided in section 4 of
chapter 526 of the laws of 1998, as amended.

Comments

Open Legislation is a forum for New York State legislation. All comments are subject to review and community moderation is encouraged.

Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity, hate or toxic speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Attempts to intimidate and silence contributors or deliberately deceive the public, including excessive or extraneous posting/posts, or coordinated activity, are prohibited and may result in the temporary or permanent banning of the user. Comment moderation is generally performed Monday through Friday. By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Create an account. An account allows you to sign petitions with a single click, officially support or oppose key legislation, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Senate Bill S5521A

Share this bill

Sponsored By

Velmanette Montgomery

Archive: Last Bill Status - In Senate Committee Rules Committee

Bill Amendments

co-Sponsors

Jesse Hamilton

2015-S5521 - Details

2015-S5521 - Summary

2015-S5521 - Sponsor Memo

2015-S5521 - Bill Text download pdf

co-Sponsors

Leroy Comrie

Jesse Hamilton

2015-S5521A (ACTIVE) - Details

2015-S5521A (ACTIVE) - Summary

2015-S5521A (ACTIVE) - Sponsor Memo

2015-S5521A (ACTIVE) - Bill Text download pdf

Comments