Bill Text: NY A07545 | 2017-2018 | General Assembly | Introduced

---

Bill Title: Establishes a commission to study the feasibility of establishing a bank owned by the state of New York or an authority constituted by the state of New York and report thereon.

Spectrum: Partisan Bill (Democrat 11-0)

Status: (Introduced - Dead) 2018-01-03 - referred to banks [A07545 Detail]

Download: New_York-2017-A07545-Introduced.html

---

                STATE OF NEW YORK
        ________________________________________________________________________
                                          7545
                               2017-2018 Regular Sessions
                   IN ASSEMBLY
                                       May 1, 2017
                                       ___________
        Introduced  by  M.  of  A.  GALEF,  SKARTADOS, O'DONNELL, STECK, MOSLEY,
          ROSENTHAL, QUART -- Multi-Sponsored by -- M.  of  A.  BUCHWALD,  GOTT-
          FRIED, MAYER -- read once and referred to the Committee on Banks
        AN  ACT to establish a commission to study the feasibility of establish-
          ing a bank owned by the state of New York or  by  a  public  authority
          constituted  by the state of New York; and providing for the repeal of
          such provisions upon expiration thereof
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.  A temporary state commission, to be known as the New York
     2  state commission on establishing a bank owned by New York state, herein-
     3  after referred to as the commission, is hereby established to study  the
     4  feasibility  of establishing a bank owned by the state of New York or by
     5  a public authority constituted by the state of New York.
     6    § 2. a. The  commission  shall  consist  of  fifteen  members,  to  be
     7  appointed as follows:
     8    (i)  six members shall be appointed by the governor, one of whom shall
     9  be a representative of the New York state banking department, one  shall
    10  be  a  representative from the New York state department of taxation and
    11  finance, the remaining four governor's appointees shall not be employees
    12  of the executive branch and at least  one  member  shall  represent  the
    13  banking and financial industries of the state including, but not limited
    14  to,  the  New York Bankers Association, at least one member shall repre-
    15  sent community banking, and no more than one member may be  a  represen-
    16  tative  of any financial services firm located within the state, includ-
    17  ing, but not limited to, the New York state small  business  development
    18  center;
    19    (ii)  one  member shall be the New York state comptroller or the comp-
    20  troller's designee;
    21    (iii) three members shall be appointed by the temporary  president  of
    22  the senate, one of whom shall be a member of the senate;
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD01404-01-7
        A. 7545                             2
     1    (iv)  one  member  shall  be  appointed  by the minority leader of the
     2  senate;
     3    (v)  three  members shall be appointed by the speaker of the assembly,
     4  one of whom shall be a member of the assembly; and
     5    (vi) one member shall be appointed  by  the  minority  leader  of  the
     6  assembly.
     7    b.  The  governor  shall designate one of his or her appointees as the
     8  chair of the commission.
     9    c. The members of the commission shall  be  appointed  no  later  than
    10  ninety days after the effective date of this act.
    11    § 3. The commission shall:
    12    (i)  examine  the technical, legal and financial feasibility of estab-
    13  lishing a state-owned bank, including but not limited to  a  state-owned
    14  bank for infrastructure investment purposes;
    15    (ii) seek participation in its deliberations from the president of the
    16  Federal Reserve Bank of New York or the president's designee;
    17    (iii) evaluate the experiences of other states with state-owned banks,
    18  identifying  the  financial performance of such banks and evaluating the
    19  lending practices of such banks to show whether such banks  successfully
    20  fill lending gaps not filled by the private sector;
    21    (iv)  evaluate the manner in which public funds are invested or depos-
    22  ited by the state and its political subdivisions including funds managed
    23  by the state comptroller including state and local pension funds;
    24    (v) examine the  infrastructure  investment  activities  conducted  by
    25  other states with state-owned banks;
    26    (vi)  examine  the  lending  practices,  including  lending to support
    27  infrastructure, of the existing public agencies in the commonwealth that
    28  perform lending services. Any other public authority in the  state  that
    29  lends  money  shall cooperate fully with the commission and shall supply
    30  information reasonably required by  the  commission  to  carry  out  its
    31  charge;
    32    (vii) investigate how a state bank can promote the agriculture, educa-
    33  tion, community development, economic development, commerce and industry
    34  within the state;
    35    (viii)  hold  at  least  three  public hearings in distinct geographic
    36  regions of the state; and
    37    (ix) publish its findings and recommendations, together with drafts of
    38  legislation, if any,  necessary  to  carry  those  recommendations  into
    39  effect,  in a written report not later than one year after the effective
    40  date of this act. The report shall be published on the official  website
    41  of  the  state,  and  shall  be  contemporaneously filed with the senate
    42  finance committee and the assembly ways and means committee.
    43    § 4. This act shall take effect immediately and shall  expire  and  be
    44  deemed repealed one year after such effective date.