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| Public Act 102-0802 | ||||
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AN ACT concerning regulation.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 1. Short title. This Act may be cited as the | ||||
Banking Development District Act. | ||||
Section 5. Definitions. As used in this Act:
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"Department" means the Department of Financial and | ||||
Professional Regulation.
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"Depository institution" means a bank, savings bank, | ||||
savings and loan association, or credit union organized or | ||||
chartered under the laws of this State or any other state or | ||||
under the laws of the United States. | ||||
"Improvement" does not include ordinary maintenance and | ||||
repairs.
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"Local government" means a municipality, county, township, | ||||
or other unit of local government.
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"Secretary" means the Secretary of Financial and | ||||
Professional Regulation or the Secretary's designee.
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"State Treasurer" means the State Treasurer or the State | ||||
Treasurer's designee.
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Section 10. Banking development district program. | ||||
(a) There is hereby created a banking development district | ||||
program, the purpose of which is to encourage the | ||
establishment of banking branches for banking services in | ||
geographic locations where there are the greatest underbanked | ||
and unbanked populations. The Department shall, in | ||
consultation with the State Treasurer, adopt rules in | ||
accordance with the Illinois Administrative Procedure Act that | ||
set forth the criteria for the establishment of banking | ||
development districts.
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(b) The criteria for the establishment of banking | ||
development districts shall include, but not be limited to, | ||
the following:
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(1) the location, number, and proximity of sites where | ||
banking services are available within the district;
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(2) the identification of unmet consumer needs for | ||
banking services within the district;
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(3) the economic viability and unmet local credit | ||
needs of the community within the district;
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(4) the existing commercial development within the | ||
district;
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(5) the impact that additional banking services would | ||
have on potential economic development in the district; | ||
and
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(6) any other criteria that the Secretary, in | ||
consultation with the State Treasurer, deems appropriate.
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Section 15. Application. | ||
(a) The governing board of a local government, in | ||
conjunction with a depository institution, may submit an | ||
application to the Department for the designation of a banking | ||
development district. The boundaries of the proposed banking | ||
development district shall include property on which the | ||
depository institution plans to make improvements to establish | ||
a banking branch. The application shall include the legal | ||
description of the property to be designated.
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(b) The Secretary, in consultation with the State | ||
Treasurer, shall issue a determination on the application | ||
within 60 days after receiving the application. If an | ||
application is approved, the Department shall transmit | ||
notification of the approval and a copy of all application | ||
materials to the applicants, the Governor, the State | ||
Comptroller, the State Treasurer, the Director of Commerce and | ||
Economic Opportunity, the President of the Senate, the Speaker | ||
of the House of Representatives, the Minority Leader of the | ||
Senate, the Minority Leader of the House of Representatives, | ||
and the clerk of the county, the municipal clerk, or the | ||
equivalent official in which the property is located.
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Section 20. Existing facilities. Notwithstanding any other | ||
provision of law, an application may be submitted by a local | ||
government in conjunction with a depository institution that | ||
has already opened a branch within the area of the proposed | ||
district. In considering the criteria authorized under Section | ||
10, the Secretary must also take into account the importance | ||
and benefits of preserving the banking services offered by the | ||
existing branch and the likelihood that the branch will remain | ||
open if the application is not approved. | ||
Section 25. Deposits of public funds. When investing or | ||
depositing State funds, the State Treasurer and local | ||
governments may give preference to depository institutions | ||
that have an approved banking development district | ||
application. | ||
Section 30. Limitations. Nothing in this Act shall be | ||
construed as authorizing the State Treasurer or local | ||
governments to conduct an examination or investigation of a | ||
depository institution or to receive information that is not | ||
publicly available and the disclosure of which is otherwise | ||
prohibited by law. | ||
Section 35. Rulemaking. In addition to such powers as may | ||
be prescribed by this Act, the Department, in consultation | ||
with the State Treasurer, may adopt rules consistent with the | ||
purposes of this Act, including, but not limited to:
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(1) rules that define the terms used in this Act and as | ||
may be necessary and appropriate to interpret and | ||
implement this Act;
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(2) rules that establish fees for applications or | ||
other services rendered by the Department related to this | ||
Act; and
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(3) rules as may be necessary for the enforcement of | ||
this Act.
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Section 99. Effective date. This Act takes effect January | ||
1, 2023.
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