What's happening
This bill extends the expiration of section 205-b of the financial services law to 2031.
Why it matters
Maintains Consumer Protections. By extending the expiration of section 205-b, the bill ensures ongoing oversight by the Department of Financial Services over certain financial entities, which helps protect consumers statewide from unfair practices.
Impacts Financial Institutions and Their Customers. Banks, insurance companies, and other regulated financial institutions in New York will continue to be subject to the provisions of section 205-b, affecting how they operate and interact with millions of New Yorkers.
Prevents Regulatory Gaps. Without this extension, important regulatory powers would lapse in 2026, potentially reducing accountability and consumer safeguards until new legislation could be enacted; extending to 2031 provides stability and predictability for both regulators and market participants.
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Who cares
Banks & Financial Institutions
They are directly regulated by the financial services law and will be affected by the continuation of these regulations for another five years.
Consumers of Financial Services
Individuals and businesses who rely on state oversight to ensure fair practices and protections in the financial sector have a stake in the extension.
New York State Department of Financial Services (DFS)
The agency responsible for enforcing the law, whose authority and operations depend on the law’s continued effectiveness.
Advocacy Groups & Industry Associations
Organizations that represent either consumer interests or the banking sector will care about the extension and may lobby for or against changes to the law’s duration.
Headline styles
Extend Charter Board Deadline
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Substituted by A11393
- Ordered to third reading cal.1593
- Committee discharged and committed 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.
Extend Charter Board Deadline
Signed by Governor · Sponsor Khaleel Anderson
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
10579
IN SENATE
May 27, 2026
Introduced by Sen. SANDERS -- read twice and ordered printed, and when printed to be committed to the Committee on Banks
AN ACT to amend chapter 62 of the laws of 2011, relating to constituting chapter 18-A of the consolidated laws relating to financial services, in relation to extending the effectiveness thereof
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision (e) of section 114 of part A of chapter 62 of the laws of 2011, relating to constituting chapter 18-A of the consolidated laws relating to financial services, as amended by chapter 302 of the laws of 2021, is amended to read as follows:
(e) section 205-b of the financial services law as added by section one of this act shall expire October 3, [2026] 2031, when upon such date the provisions of such section shall be deemed repealed;
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD15922-01-6
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend chapter 62 of the laws of 2011, relating to constituting chapter 18-A of the consolidated laws relating to financial services, in relation to extending the effectiveness thereof
Purpose
To extend the expiration of the State Charter Advisory Board for 5 addi- tional years through October 3, 2031 and to add reporting requirements.
Summary of provisions
Section One: Amends subdivision (e) of section 114 of part A of chapter 62 of the laws of 2011, as amended by chapter 302 of the laws of 2021, is amended to extend the expiration date of section 205-b of the finan- cial services law from October 3, 2026 to October 3, 2031.
Section Two: Effective Date.
Existing law
Authorization for the State Charter Advisory Board is set to expire on October 3, 2026.
Justification
The State Charter Advisory Board works with the Superintendent in retaining state-chartered banking institutions, encouraging federally chartered institutions to convert to a state charter and promote the state banking system. There are nine members of the advisory board, consisting of one representative of credit unions, one representative of consumers, one representative of foreign banks; and representatives of banks reflecting a range of assets, size and geographical location.
The superintendent governs the method by which state chartered insti- tutions may nominate persons-to the board and the process for selecting such members, provided that the representative of consumers is selected by the Superintendent.
The requirement of an annual report allows the legislature to monitor topics of concern to the industry and consumers and any discussion of legislation that could be requested or appropriate.
Legislative history
New Legislation.
Fiscal implications
To be determined.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.