Substitute Senate Bill No. 1256 proposes significant amendments to the organization, administration, and receivership processes for financial institutions in Connecticut. One of the key changes is the increase in the application fee for organizing a Connecticut bank from $15,000 to $20,000, while interim banks are exempt from this fee. The bill also introduces a temporary certificate of authority for organizers, valid for 18 months, to facilitate the completion of a bank's organization. Additionally, it streamlines the approval process for new banks by specifying that a majority of the commissioner, State Treasurer, and State Comptroller will serve as the approving authority for certain banks, while allowing the commissioner to act independently for others. The bill emphasizes public interest and the qualifications of proposed directors and officers in the approval process.

Moreover, the bill outlines provisions for community banks, community development banks, and innovation banks, including a minimum equity capital requirement and the ability for the commissioner to waive specific requirements for bankers' banks. It also modifies the asset deposit requirements for trust banks and innovation banks, increasing the minimum from $1 million to $1.5 million. The bill reduces the objection period for public comments on relocating bank offices from 30 days to 15 days and clarifies the duties of receivers in liquidating innovation banks. Overall, these amendments aim to enhance the regulatory framework for banking institutions in Connecticut while ensuring they meet community needs and maintain financial stability.

Statutes affected:
Raised Bill:
BA Joint Favorable Substitute:
File No. 254: