S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3227
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             February 4, 2019
                                ___________
 
 Introduced  by  Sen. SANDERS -- 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 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:
 
   Section 1. The opening paragraph of paragraph (a) of subdivision 3  of
 section  28-b  of the banking law, as amended by chapter 227 of the laws
 of 2013, is amended to read as follows:
   When taking any action on an application or notice made by  a  banking
 institution under (i) section one hundred five, two hundred twenty-four,
 two  hundred  forty,  or  three hundred ninety-six of this chapter for a
 branch office, (ii) section one hundred ninety-one of this chapter for a
 public accommodation office, (iii) section six  hundred  one-b  of  this
 chapter  for  approval  of a merger or purchase of assets, or (iv) under
 section one hundred five-a, two hundred forty-a or three  hundred  nine-
 ty-six-a  of  this  chapter  for the use or installation of an automated
 teller machine, point-of-sale terminal or similar electronic facility or
 on any other application or notice to which the superintendent of finan-
 cial services shall by rule or regulation make applicable the provisions
 of this section, the superintendent shall take into account, among other
 factors, an assessment, in writing, of the record of performance of  the
 banking  institution  in  helping to meet the credit needs of its entire
 community, including low and moderate-income  neighborhoods,  consistent
 with  safe and sound operation of the banking institution.  SUCH ASSESS-
 MENT SHALL INCLUDE A SEPARATE DISCUSSION OF THE RECORD  OF  THE  BANKING
 INSTITUTION  PERTAINING  TO EACH OF THE ASSESSMENT FACTORS LISTED IN ALL
 OF THE SUBPARAGRAPHS OF THIS PARAGRAPH AND A COMPLETE EXPLANATION OF HOW
 EACH OF THESE FACTORS WAS CONSIDERED BY THE  DEPARTMENT  IN  MAKING  THE
 ASSESSMENT. THIS EXPLANATION SHALL INCLUDE, BUT NOT BE LIMITED TO, ANNU-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD04697-01-9

 S. 3227                             2
 
 AL DATA FOR THE INSTITUTION AS FOLLOWS: LOANS FOR HOUSING LOW AND MODER-
 ATE-INCOME  RESIDENTS OF LOW AND MODERATE-INCOME AREAS, AND THE SCOPE OF
 EFFORTS TO MARKET HOUSING AND SMALL BUSINESS LOANS IN LOW AND  MODERATE-
 INCOME  AREAS;  THE  AMOUNT  OF LOANS TO FARMS, AND LOANS TO SMALL BUSI-
 NESSES THAT PROVIDE SERVICES TO LOW AND MODERATE-INCOME RESIDENTS OF LOW
 AND MODERATE-INCOME AREAS; FINANCIAL INVESTMENTS IN AND CONTRIBUTIONS TO
 NONPROFIT LOCAL COMMUNITY DEVELOPMENT OR REDEVELOPMENT PROJECTS OR ENTI-
 TIES; MANPOWER RESOURCES COMMITTED TO LOW  AND  MODERATE-INCOME  HOUSING
 LENDING  AND  SMALL  BUSINESS  LENDING AND OTHER FORMS OF ADMINISTRATIVE
 SUPPORT  FOR  SUCH  LENDING;  AND  PARTICIPATION  IN  GOVERNMENTALLY  OR
 PRIVATELY  SPONSORED  LOAN  INSURANCE, GUARANTEE OR SUBSIDY PROGRAMS FOR
 HOUSING, SMALL BUSINESSES AND SMALL FARMS. Such assessment AND  EXPLANA-
 TION  and  any  written  communications from the department of financial
 services to a banking institution relating to such assessment AND EXPLA-
 NATION shall be made available to the public upon request, provided that
 nothing contained in this subdivision shall be deemed to alter, amend or
 affect the provisions of subdivision ten of section thirty-six  of  this
 chapter.  In  making such assessment AND EXPLANATION, the superintendent
 shall review all reports and documents filed WITH HIM OR HER pursuant to
 subdivision one  of  this  section  and  any  signed,  written  comments
 received  by the superintendent which specifically relate to the banking
 institution's performance in helping to meet the  credit  needs  of  its
 community.  In addition, the superintendent shall consider the following
 factors in assessing AND EXPLAINING a banking  institution's  record  of
 performance:
   § 2. This act shall take effect on the one hundred twentieth day after
 it  shall have become a law. Effective immediately, the addition, amend-
 ment and/or repeal of any rules or regulations necessary for the  imple-
 mentation of the foregoing section of this act on its effective date are
 authorized to be made on or before such effective date.