December 8, 2023 - Introduced by Senators Stafsholt, Cabral-Guevara, Felzkowski, Marklein and Taylor, cosponsored by Representatives Katsma, Murphy, O’Connor, Allen, Behnke, Dittrich, Goeben, Gundrum, Novak, Penterman and Rettinger. Referred to Committee on Financial Institutions and Sporting Heritage.
SB773,,22An Act to repeal 138.052 (7e) and (7m), 138.056 (6) and 215.21 (2); to renumber and amend 186.11 (2); to amend 34.08 (2), 38.20 (2) (e), 67.12 (12) (a), 138.052 (12) (a), 186.07 (7), 186.113 (15) (a), 186.118 (3) (a) (intro.), 186.235 (14) (c), 214.04 (21) (b), 215.13 (39), 215.13 (46) (a) 1., 215.21 (15), 221.0303 (2), 941.38 (1) (b) 21., 946.82 (4) and 969.08 (10) (b); and to create 186.11 (2) (b) and (c), 186.113 (26), 227.01 (13) (yu) and 943.825 of the statutes; relating to: authorized activities and operations of credit unions; the lending area of savings and loan associations; automated teller machines; residential mortgage loans and variable rate loans; payments for public deposit losses in failed financial institutions; promissory notes of certain public bodies; repealing rules promulgated by the Department of Financial Institutions; providing an exemption from rule-making procedures; and providing a penalty. SB773,,33Analysis by the Legislative Reference Bureau Under current law, the Office of Credit Unions (OCU) in the Department of Financial Institutions (DFI) regulates state-chartered credit unions, and DFI’s Division of Banking (division) regulates state-chartered banks, savings banks, and savings and loan (S&L) associations. Current law specifies various authorized activities and powers of these financial institutions.
This bill does the following with respect to the authorized operations of financial institutions:
1. Expands the ability of a credit union to purchase, lease, and sell real property, subject to limitations.
2. Specifies that credit unions may issue or offer supplemental forms of capital approved by OCU.
3. Repeals certain DFI rules related to the placement or operation of automated teller machines (ATMs) by financial institutions.
4. Creates the crime of interfering with an ATM.
5. Eliminates a geographical lending restriction for an S&L association.
6. Eliminates certain lender disclosure requirements applicable to residential mortgage loans and variable rate loans.
7. Extends the maximum maturity date, from 10 to 20 years, of a promissory note issued by a municipality, county, or school district.