Bill Summary

by Botana Co Sponsors: Redondo, Rizo CS Sponsors: State Administration & Technology Appropriations Subcommittee

Public Deposits: Adds credit unions to list of financial institutions eligible to be qualified public depositories; provides applicability of qualified public depository provisions to credit unions; requires CFO to withdraw from collateral agreement with credit union; specifies requirement for & restriction on credit union that is party to withdrawn collateral agreement; provides limits on public deposits held by credit unions; specifies losses against which certain solvent banks, savings banks, savings associations, & credit unions must guarantee public depositors; requires CFO to segregate & separately account for proceeds, assessments, & administrative penalties attributable to credit union from those attributable to other specified financial institutions; revises condition for payment of losses to public depositors; provides that specified limit on securities eligible to be pledged as collateral apply to qualified public depositories, rather than to banks & savings associations. Effective Date: July 1, 2024

   H Insurance & Banking Subcommittee
   H State Administration & Technology Appropriations Subcommittee
   H Commerce Committee