The bill amends the technology-enabled fiduciary financial institutions act by granting the state bank commissioner the authority to revoke a fiduciary financial institution charter if it fails to comply with the act or its regulations. However, any revocation order must be approved by a majority vote from the legislative coordinating council, allowing the affected institution the right to appeal the commissioner's decision. This new provision aims to ensure a checks-and-balances system in the revocation process, as the council can consider such matters at any time, including during legislative sessions.

Additionally, the bill updates K.S.A. 2025 Supp. 9-2301 to include new definitions and clarifications related to fiduciary financial institutions, such as "fidfin trust," "alternative asset custody account," and "qualified investment." It also repeals the existing section of K.S.A. 2025 Supp. 9-2301, thereby consolidating the legal framework governing these institutions under the amended act. The changes are intended to enhance the regulatory framework for fiduciary financial institutions and ensure compliance with the established standards.

Statutes affected:
As introduced: 9-2301, 9-701