What's happening
This bill raises the asset threshold from $250 million to $1 billion for banks to qualify for less frequent state examinations.
Why it matters
Expanding eligibility for less frequent exams to larger banks (up to $1 billion in assets) could reduce regulatory costs and administrative burdens for more institutions. , potentially freeing up resources for lending or other business activities.
The change may encourage smaller but growing community banks to expand without immediately facing more frequent and costly examinations. , supporting their competitiveness against larger national banks.
By requiring that banks remain well-capitalized, well-managed, and free from enforcement actions to qualify for the extended exam interval, the bill seeks to balance regulatory relief with continued oversight of bank safety and soundness.
The new threshold reflects changes in the banking industry and inflation since the previous $250 million limit was set, potentially making state regulation more consistent with federal standards and current economic realities.
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Who cares
Headline styles
Expand Small Bank Exam Threshold
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Substituted by S3758A
- Ordered to third reading rules cal.263
- Rules report cal.263
- Reported
- Amend and recommit to rules 8129a
- Reported referred to rules
- Referred to banks
Companion bill
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.
Ease Bank Exam Rules
Signed by Governor · Sponsor Jesse Hamilton
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
8129--A
2017-2018 Regular Sessions
IN ASSEMBLY
May 31, 2017
Introduced by M. of A. ZEBROWSKI -- read once and referred to the Committee on Banks -- reported and referred to the Committee on Rules -- Rules Committee discharged, bill amended, ordered reprinted as amended and recommitted to the Committee on Rules
AN ACT to amend the banking law, in relation to examinations
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Paragraph (b) of subdivision 2 of section 36 of the banking law, as amended by chapter 464 of the laws of 2006, is amended to read as follows:
(b) the superintendent may extend the examination interval from at least once in each calendar year to at least once in each eighteen month period if the banking organization to be examined:
(1) has total assets of less than [two hundred fifty million dollars] one billion dollars;
(2) is well-capitalized, which for purposes of this paragraph is defined as having capital which significantly exceeds the required minimum level for each relevant capital measure or as having such capital as the superintendent shall otherwise define by regulation;
(3) at its most recent examination, was found to be well-managed and its composite condition was found to be outstanding or good;
(4) is not currently subject to a formal enforcement proceeding or order by the superintendent, the federal deposit insurance corporation or any other federal banking agency; and
(5) has not been acquired by any person during the twelve month period in which an examination would be required but for this paragraph, and
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08454-02-7
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.