First Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
INTRODUCED
LLS NO. 25-0137.01 Brita Darling x2241
SENATE BILL 25-080
Senate Committees House Committees
Finance
A BILL FOR AN ACT
C
ONCERNING AUTHORIZING CREDIT UNIONS TO PURCHASE BANK101
ASSETS.102
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov
.)
The bill authorizes a credit union to purchase the assets and
liabilities of a state bank. The banking board may approve up to 5
purchases by credit unions per year.
Prior to approving a purchase, a prospective credit union purchaser
must conduct an analysis of the anticipated impacts to small business and
agricultural lending and the intended prospective credit union purchaser's
SENATE SPONSORSHIP
Amabile and Bright,
HOUSE SPONSORSHIP
Lindstedt,
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law. current and anticipated lending data for low- and moderate-income areas,
including demonstrating that the purchase will meet the needs of the
community. The analyses shall be reviewed by the department of
regulatory agencies and made available to the public; except that any
trade secrets or other privileged information protected by the "Colorado
Open Records Act" incorporated into the analyses shall not be made
publicly available.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 11-103-709, amend2
(1), (3), (4), (5), and (6); and add (7) as follows:3
11-103-709. Sale of all assets of bank, branch, or department.4
(1) Any
EXCEPT AS PROVIDED IN SUBSECTION (7) OF THIS SECTION, A state5
bank may sell to any other bank
OR CREDIT UNION all, or substantially all,6
of the selling bank's assets and business or all, or substantially all, of the7
assets and business of any department or branch of the selling bank.8
(3) The
AN agreement of purchase and sale shall be authorized9
and approved by the banking board and by the vote of a majority of the10
stockholders of the purchasing
BANK OR A MAJORITY OF THE BOARD OF11
DIRECTORS OF THE PURCHASING CREDIT UNION , AS APPLICABLE, and OF12
THE selling banks
BANK at meetings called for the purpose in like manner13
as meetings to approve mergers are called and filed with the14
commissioner, accompanied by evidence of such stockholders'
OR15
DIRECTORS' approval in like manner as agreements of merger are filed.16
After such approval is given by the stockholders
OR DIRECTORS, a notice17
of such sale shall be published once a week for three successive weeks in18
a newspaper of general circulation in the county in which the selling bank19
has its principal office. Proof of such publication shall be filed with the20
division.21
(4) Notwithstanding any term of the agreement, or of his or her
A22
SB25-080-2- DEPOSITOR'S contract of deposit, any depositor whose business is thus1
sold has the right, upon payment of any indebtedness owing by the2
depositor to the bank, to withdraw his or her THE DEPOSITOR'S deposit in3
full on demand after such sale unless, by dealing with the purchasing4
bank
OR CREDIT UNION with knowledge of the purchase, the depositor5
ratifies the transfer.6
(5) The agreement of sale may provide for the transfer to the7
purchasing bank
OR CREDIT UNION of all fiduciary positions held by the8
selling bank pursuant to section 11-106-105.9
(6) No
A right against, or obligation of, the selling bank, in10
respect of the assets or business sold, shall
NOT be released or impaired11
by the sale until one year from
AFTER the last date of publication of the12
notice, pursuant to subsection (3) of this section, but, after the expiration13
of such year, no action shall NOT be brought against the selling bank on14
account of any deposit, obligation, trust, or asset transferred to or liability15
assumed by the purchasing bank
OR CREDIT UNION.16
(7) (a) N
OTWITHSTANDING ANY PROVISION OF THE "COLORADO17
B
ANKING CODE", ARTICLES 101 TO 109 AND ARTICLE 10.5 OF THIS TITLE18
11,
TO THE CONTRARY, THE BANKING BOARD MAY APPROVE UP TO FIVE19
TRANSACTIONS PER YEAR IN WHICH A CREDIT UNION PURCHASES EITHER20
ALL, OR SUBSTANTIALLY ALL , OF THE SELLING BANK'S ASSETS AND21
BUSINESS OR ALL, OR SUBSTANTIALLY ALL, OF THE ASSETS AND BUSINESS22
OF ANY DEPARTMENT OR BRANCH OF THE SELLING BANK .23
(b) (I) E
XCEPT AS PROVIDED IN SUBSECTION (7)(b)(II) OF THIS24
SECTION, PRIOR TO ANY APPROVAL OF A PURCHASE BY THE BANKING25
BOARD, A PROSPECTIVE CREDIT UNION PURCHASER MUST CONDUCT THE26
FOLLOWING ANALYSES, REVIEWED BY THE RELEVANT DIVISIONS OF THE27
SB25-080
-3- DEPARTMENT OF REGULATORY AGENCIES PRIOR TO THE SALE AND MADE1
AVAILABLE TO THE PUBLIC:2
(A) A
N ANALYSIS OF THE ANTICIPATED IMPACTS TO SMALL3
BUSINESS AND AGRICULTURAL LENDING ; AND4
(B) A
N ANALYSIS OF THE PROSPECTIVE PURCHASING CREDIT5
UNION'S CURRENT AND ANTICIPATED LENDING DATA FOR LOW - AND6
MODERATE-INCOME AREAS, INCLUDING A DEMONSTRATION THAT THE7
PURCHASE WILL MEET THE NEEDS OF THE COMMUNITY .8
(II) N
OTHING IN THIS SUBSECTION (7)(b) AUTHORIZES PUBLIC9
INSPECTION OF A RECORD THAT IS PROTECTED FROM INSPECTION10
PURSUANT TO SECTION 24-72-204 (3)(a)(IV) OR ANOTHER PROVISION OF11
THE "COLORADO OPEN RECORDS ACT", PART 2 OF ARTICLE 72 OF TITLE12
24.13
SECTION 2. Act subject to petition - effective date. This act14
takes effect at 12:01 a.m. on the day following the expiration of the15
ninety-day period after final adjournment of the general assembly; except16
that, if a referendum petition is filed pursuant to section 1 (3) of article V17
of the state constitution against this act or an item, section, or part of this18
act within such period, then the act, item, section, or part will not take19
effect unless approved by the people at the general election to be held in20
November 2026 and, in such case, will take effect on the date of the21
official declaration of the vote thereon by the governor.22
SB25-080
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