What's happening
This bill allows low-income credit unions in New York City to participate in the Banking Development District program.
Why it matters
Expands access to banking services in underserved NYC areas. by allowing low-income credit unions to open branches with support from the Banking Development District (BDD) program, potentially increasing financial inclusion for low-income and unbanked residents.
Enables low-income credit unions in NYC to receive municipal deposits. (city or public funds) exclusively for branches established through the BDD program, giving these institutions more resources to serve their communities and compete with larger banks.
Directs state regulators to create rules for credit union participation. in the BDD program, which could lead to more tailored oversight and support for institutions specifically focused on serving low-income populations.
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Who cares
Headline styles
Include Low-Income Credit Unions
Plain English, a few words. Used as the page title.
Sponsors
History
- Ordered to third reading rules cal.591
- Rules report cal.591
- Reported
- Reported referred to rules
- Reported referred to ways and means
- Referred to banks
Companion bills
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Include Credit Unions in Program
In Senate Committee · Banks · Sponsor Brian Kavanagh
Include Credit Unions in Program
In Senate Committee · Banks · Sponsor Daniel L. Squadron
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
3942
2017-2018 Regular Sessions
IN ASSEMBLY
January 30, 2017
Introduced by M. of A. KAVANAGH, JAFFEE, WRIGHT, M. G. MILLER, COOK, WEPRIN, HOOPER, COLTON, WOERNER, STECK, MOSLEY -- Multi-Sponsored by -- M. of A. McLAUGHLIN, SIMANOWITZ -- read once and referred 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 Assembly, 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, and 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 or, in cities having a population of one million or more persons, any low income credit union as designated by section four hundred fifty-a of this chapter or any federal credit union that has been designated a low income credit union by the National Credit Union Administration; provided, however, that such provisions of law do not grant a savings bank, savings and loan association, federal savings and loan association or federal savings bank or, in cities having a population of one million or more persons, any low income credit union as designated by section four hundred fifty-a of this chapter or any federal credit union that has been designated a low income credit union by the National Credit
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00850-01-7
A. 3942 2
Union Administration 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 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 or, in cities having a population of one million or more persons, any low income credit union as designated by section four hundred fifty-a of this chapter or any federal credit union that has been designated a low income credit union by the National Credit Union Administration in the program established pursuant to this section.
§ 2. This act shall take effect immediately, provided, however, 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 repealed therewith.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.