Banking Development Districts

Banking Development Districts SSL Draft

Summary:

This bill authorizes the state commissioner of banking and insurance to create a program and promulgate rules to encourage banks to establish branches in geographic locations in the state where there is a demonstrated need for banking services. The criteria for such areas to be designated as banking development districts include the number of sites offering banking services that are already in the area, the need for banking services in such areas, and the potential impact that additional banking services would have on economic development in the areas. 
The legislation authorizes banks in such areas to be designated depositories of public money and allows the state treasurer and municipal governments to deposit public money in such banks at a special, fixed interest rate of return. 
 
Submitted as: 
New Jersey 
Status: Enacted into law in 2011
 

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