Illinois 2023-2024 Regular Session

Illinois House Bill HB5503 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5503 Introduced , by Rep. Kevin John Olickal SYNOPSIS AS INTRODUCED: New Act Creates the Illinois Public Banking Option Act. Establishes the Illinois Bank Account Board. Sets forth provisions concerning the membership and duties of the Board. Provides that the Board shall establish the Illinois Bank Account Program, including establishing the mechanisms by which an account holder may deposit funds into an Illinois Bank Account for no fee, establishing mechanism for direct deposits, selecting a program administrator, and establishing other terms, policies, and rules. Requires the Board to contract with an independent entity to conduct a market analysis. Sets forth the requirements of the market analysis. Requires the Board to make a determination as to whether the Illinois Bank Account Program can be implemented as described in the Act and to make a determination as to whether Illinois Bank Account Program revenue is more likely than not to be sufficient to pay for Illinois Bank Account Program costs within 6 years of the Illinois Bank Account Program's implementation and what the State's investment will need to be in order to cover the costs. LRB103 37143 RTM 67262 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5503 Introduced , by Rep. Kevin John Olickal SYNOPSIS AS INTRODUCED: New Act New Act Creates the Illinois Public Banking Option Act. Establishes the Illinois Bank Account Board. Sets forth provisions concerning the membership and duties of the Board. Provides that the Board shall establish the Illinois Bank Account Program, including establishing the mechanisms by which an account holder may deposit funds into an Illinois Bank Account for no fee, establishing mechanism for direct deposits, selecting a program administrator, and establishing other terms, policies, and rules. Requires the Board to contract with an independent entity to conduct a market analysis. Sets forth the requirements of the market analysis. Requires the Board to make a determination as to whether the Illinois Bank Account Program can be implemented as described in the Act and to make a determination as to whether Illinois Bank Account Program revenue is more likely than not to be sufficient to pay for Illinois Bank Account Program costs within 6 years of the Illinois Bank Account Program's implementation and what the State's investment will need to be in order to cover the costs. LRB103 37143 RTM 67262 b LRB103 37143 RTM 67262 b A BILL FOR
2	2	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5503 Introduced , by Rep. Kevin John Olickal SYNOPSIS AS INTRODUCED:
3	3	New Act New Act
4	4	New Act
5	5	Creates the Illinois Public Banking Option Act. Establishes the Illinois Bank Account Board. Sets forth provisions concerning the membership and duties of the Board. Provides that the Board shall establish the Illinois Bank Account Program, including establishing the mechanisms by which an account holder may deposit funds into an Illinois Bank Account for no fee, establishing mechanism for direct deposits, selecting a program administrator, and establishing other terms, policies, and rules. Requires the Board to contract with an independent entity to conduct a market analysis. Sets forth the requirements of the market analysis. Requires the Board to make a determination as to whether the Illinois Bank Account Program can be implemented as described in the Act and to make a determination as to whether Illinois Bank Account Program revenue is more likely than not to be sufficient to pay for Illinois Bank Account Program costs within 6 years of the Illinois Bank Account Program's implementation and what the State's investment will need to be in order to cover the costs.
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11	11	1 AN ACT concerning State government.
12	12	2 Be it enacted by the People of the State of Illinois,
13	13	3 represented in the General Assembly:
14	14	4 Section 1. Short title. This Act may be cited as the
15	15	5 Illinois Public Banking Option Act.
16	16	6 Section 3. Findings. The General Assembly finds the
17	17	7 following:
18	18	8 (1) With high unemployment rates, homelessness rising,
19	19	9 and an unprecedented wave of evictions looming as a result
20	20	10 of the COVID-19 pandemic, the financial stability of the
21	21	11 State's most vulnerable residents have become a matter of
22	22	12 particularly urgent concern, not only to those individuals
23	23	13 themselves but to the economic health of the State as a
24	24	14 whole.
25	25	15 (2) Access to basic financial services, including
26	26	16 demand deposit (checking) and savings accounts, is a
27	27	17 critical component of financial stability. One in 5
28	28	18 Illinois households are unbanked or underbanked.
29	29	19 Underbanked households are defined as those that have a
30	30	20 bank account but have used alternative financial services
31	31	21 (AFS) for transactions, including check cashing and money
32	32	22 orders, and for credit, including payday loans. Among
33	33	23 underbanked households, AFS transaction use is 3 times
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37	37	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5503 Introduced , by Rep. Kevin John Olickal SYNOPSIS AS INTRODUCED:
38	38	New Act New Act
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40	40	Creates the Illinois Public Banking Option Act. Establishes the Illinois Bank Account Board. Sets forth provisions concerning the membership and duties of the Board. Provides that the Board shall establish the Illinois Bank Account Program, including establishing the mechanisms by which an account holder may deposit funds into an Illinois Bank Account for no fee, establishing mechanism for direct deposits, selecting a program administrator, and establishing other terms, policies, and rules. Requires the Board to contract with an independent entity to conduct a market analysis. Sets forth the requirements of the market analysis. Requires the Board to make a determination as to whether the Illinois Bank Account Program can be implemented as described in the Act and to make a determination as to whether Illinois Bank Account Program revenue is more likely than not to be sufficient to pay for Illinois Bank Account Program costs within 6 years of the Illinois Bank Account Program's implementation and what the State's investment will need to be in order to cover the costs.
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68	68	1 more prevalent than the use of AFS for credit. Around 17%
69	69	2 of United States households use AFS transactions. These
70	70	3 transaction services can be a significant expense for
71	71	4 low-income Illinoisans. For example, check cashers charge
72	72	5 as much as 10% of the cost of the check being cashed. In
73	73	6 2018, AFS costs for unbanked and underbanked Americans
74	74	7 totaled $189,000,000,000 in fees and interest, which means
75	75	8 the average annual cost per person for using AFS was
76	76	9 $3,000.
77	77	10 (3) Predatory banking practices, including expensive
78	78	11 overdraft fees, create a vicious cycle leading to the
79	79	12 lasting exclusion of Illinois residents from traditional
80	80	13 and affordable financial services and disproportionately
81	81	14 harm low-income people and people of color. Banking
82	82	15 options that target the poor generate significant revenue
83	83	16 through these exploitative practices. In 2019, 84% of
84	84	17 those fees were paid by 9% of account holders, and those
85	85	18 customers typically carried low balances averaging less
86	86	19 than $350.
87	87	20 (4) Unbanked households pay proportionally more for
88	88	21 their financial services, lack secure means of saving,
89	89	22 have fewer opportunities to build credit, and are rejected
90	90	23 for loans at far higher rates. Basic financial
91	91	24 transactions, including the payment of rent, utilities,
92	92	25 and other recurring bills or charitable contributions, are
93	93	26 a particularly formidable challenge for households lacking
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104	104	1 access to important tools, including automated bill pay,
105	105	2 or whose monthly income fluctuates too much to make
106	106	3 automated processes viable. Because they have fewer
107	107	4 options when their money runs short, unbanked households
108	108	5 face a far more destructive cycle of punitive action when
109	109	6 they default on their recurring bills, which leads to
110	110	7 compounding interest and further debt. For all these
111	111	8 reasons, exclusion from traditional financial services
112	112	9 significantly increases the risk of poverty and
113	113	10 homelessness and places an unnecessary burden on the
114	114	11 entire economy.
115	115	12 (5) Limited access to affordable financial services is
116	116	13 a problem that disproportionately impacts low-income
117	117	14 communities and communities of color. The racial disparity
118	118	15 in banking access in Illinois is stark: the most recent
119	119	16 five-year estimate from 2017-2021 shows 2.4% of white
120	120	17 households were unbanked, whereas 20.4% of black
121	121	18 households were unbanked. Hispanic households face similar
122	122	19 disparities, with 10.9% of Hispanic households unbanked.
123	123	20 Despite improvements as Illinoisans recover from the
124	124	21 pandemic, the racial gap remains pronounced, with black
125	125	22 households having a significantly higher unbanked rate
126	126	23 than their white counterparts. In Chicago, where the
127	127	24 disparities are amplified, the number of unbanked white
128	128	25 households held evenly with the rate across the State at
129	129	26 2.5% while black households maintained a persistently high
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140	140	1 23.7% unbanked rate.
141	141	2 (6) Providing Illinois residents with a zero-fee,
142	142	3 zero-penalty, zero-minimum-balance requirement public
143	143	4 option for basic financial services would empower
144	144	5 Illinoisans by providing a stable, affordable financial
145	145	6 platform for all Illinois residents, especially the
146	146	7 unbanked and underbanked who currently rely on expensive
147	147	8 AFS transactions. The Illinois Bank Account Program would
148	148	9 mitigate the demand for exploitative alternatives to
149	149	10 banking services with respect to which upselling and
150	150	11 cross-selling into expensive accounts and products is the
151	151	12 norm. A market analysis of the proposed Illinois Bank
152	152	13 Account Program and any modifications that may be
153	153	14 necessary for its successful and cost-effective
154	154	15 implementation will enhance the State's ability to serve
155	155	16 the financial services needs of unbanked and underbanked
156	156	17 Illinois residents.
157	157	18 Section 4. Definitions. In this Act:
158	158	19 "Board" means the Illinois Bank Account Board.
159	159	20 "Illinois Bank Account Program" means the program
160	160	21 described in Section 10.
161	161	22 Section 5. The Illinois Bank Account Board.
162	162	23 (a) The Illinois Bank Account Board is established by the
163	163	24 State under the Department of Financial and Professional
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174	174	1 Regulation for the purpose of protecting consumers who lack
175	175	2 access to traditional banking services from predatory,
176	176	3 discriminatory, and costly alternatives, which offers
177	177	4 Illinoisans access to a voluntary, zero-fee, zero-penalty,
178	178	5 federally insured transaction account, known as an Illinois
179	179	6 Bank Account, and related payment services at no cost to
180	180	7 account holders, including robust and geographically diverse
181	181	8 mechanisms for accessing account funds and account management
182	182	9 tools that facilitate the automation of basic financial
183	183	10 transactions designed to serve the needs of individuals with
184	184	11 low or fluctuating income.
185	185	12 (b) The Board shall consist of all the following members:
186	186	13 (1) The State Treasurer or the State Treasurer's
187	187	14 designee.
188	188	15 (2) The Secretary of Financial and Professional
189	189	16 Regulation or the Secretary's designee.
190	190	17 (3) An individual with banking expertise, particularly
191	191	18 expertise in transaction accounts and debit cards,
192	192	19 appointed by the Senate President.
193	193	20 (4) An individual with expertise in economic and
194	194	21 racial justice and cultural competence appointed by the
195	195	22 Speaker of the House.
196	196	23 (5) An employee representative appointed by the
197	197	24 Governor.
198	198	25 (6) An individual with expertise in banking or
199	199	26 consumer financial services affiliated with an academic
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210	210	1 institution appointed by the Governor.
211	211	2 (7) An individual with banking expertise appointed by
212	212	3 the Governor.
213	213	4 (8) A public banking advocate appointed by the Senate
214	214	5 President.
215	215	6 (9) A consumer representative or advocate with
216	216	7 expertise in banking access and financial empowerment,
217	217	8 including within historically unbanked and underbanked
218	218	9 communities, appointed by the Speaker of the House.
219	219	10 (c) In making appointments to the Board, the appointing
220	220	11 authorities shall take into consideration the cultural,
221	221	12 ethnic, and geographic diversity of the State so that the
222	222	13 Board's composition reflects the communities of Illinois.
223	223	14 (d) Members of the Board shall serve without compensation;
224	224	15 however, members of the Board shall be reimbursed for
225	225	16 necessary travel expenses incurred in connection with their
226	226	17 Board duties.
227	227	18 (e) Except for the members described in paragraphs (3) and
228	228	19 (9) of subsection (b), a Board member, or State Treasurer's
229	229	20 staff working with the Board, while serving in that capacity
230	230	21 shall not have a direct or indirect investment or ownership
231	231	22 interest in or be employed by, a consultant to, a member of the
232	232	23 board of directors of, affiliated with, or otherwise a
233	233	24 representative of, a private bank or financial services
234	234	25 institution unless that position is an unpaid volunteer
235	235	26 position. The restrictions in this subsection do not include
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246	246	1 ownership of a share of a diversified mutual fund or
247	247	2 exchange-traded fund that holds shares of a private bank or
248	248	3 financial services.
249	249	4 (f) To the extent the State, to successfully implement the
250	250	5 Illinois Bank Account Program, contracts with entities to
251	251	6 provide administrative and financial services, the State has a
252	252	7 proprietary interest in ensuring that the entities with which
253	253	8 it contracts have not engaged in conduct that would undermine
254	254	9 the goals, efficiency, and reputation of the Illinois Bank
255	255	10 Account Program, including, but not limited to, by violating
256	256	11 banking, consumer protection, fair lending, or fair housing
257	257	12 laws.
258	258	13 Section 10. Duties of the Board. Within 12 months after
259	259	14 receiving a market analysis as described in Section 15, the
260	260	15 Board:
261	261	16 (a) Shall establish a process by which an individual may
262	262	17 open an Illinois Bank Account, which shall be designed to
263	263	18 maximize program participation.
264	264	19 (b) Shall establish the mechanisms by which an account
265	265	20 holder may deposit funds into an Illinois Bank Account for no
266	266	21 fee, which mechanisms shall include, but not be limited to,
267	267	22 electronic fund transfers arranged through an employer's or
268	268	23 hiring entity's payroll direct deposit arrangement and cash
269	269	24 loading through in-network partners.
270	270	25 (c) Shall establish the process through which an account
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281	281	1 holder may elect to have a portion, up to the entirety, of the
282	282	2 account holder's paycheck or earnings due for labor or
283	283	3 services performed directly deposited by electronic fund
284	284	4 transfer into the account holder's Illinois Bank Account.
285	285	5 (d) Shall establish the process through which employers
286	286	6 and hiring entities shall be required to remit through a
287	287	7 payroll direct deposit arrangement each worker's elected
288	288	8 payroll contribution to the worker's Illinois Bank Account in
289	289	9 accordance with the worker's election.
290	290	10 (e) Shall establish mechanisms by which an account holder
291	291	11 can withdraw funds from an Illinois Bank Account using an
292	292	12 Illinois Bank Account debit card for no fee, which mechanisms
293	293	13 shall include, but not be limited to, withdrawals through
294	294	14 point-of-sale purchases using an Illinois Bank Account debit
295	295	15 card and through cash withdrawals at a robust and
296	296	16 geographically expansive network of participating ATMs, bank
297	297	17 or credit union branches, and other in-network partners of
298	298	18 designated financial institution partners.
299	299	19 (f) Shall establish a process, available to all account
300	300	20 holders for no fee, through which an account holder may
301	301	21 arrange for payment to a registered payee using a
302	302	22 preauthorized electronic fund transfer from an Illinois Bank
303	303	23 Account.
304	304	24 (g) Shall establish the process and terms and conditions
305	305	25 for becoming a registered payee, which shall at a minimum
306	306	26 require the payee's agreement to specified terms and
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317	317	1 conditions to be established by the board in exchange for the
318	318	2 benefits of transparency and accountability afforded by
319	319	3 participation in an automated payment system and which shall
320	320	4 be designed to incentivize account holders' preauthorized
321	321	5 electronic fund transfers to registered payees and application
322	322	6 of voluntary automatic disbursement rules by limiting the late
323	323	7 payment fees and penalties that registered payees can impose
324	324	8 on account holders who pay them using preauthorized electronic
325	325	9 fund transfers from their Illinois Bank Accounts.
326	326	10 (h) Shall establish voluntary automatic disbursement rules
327	327	11 to assist an account holder in managing automated payments to
328	328	12 registered payees based on the availability of funds in the
329	329	13 account holder's account, which an account holder may
330	330	14 voluntarily elect to apply or to stop applying to the account
331	331	15 holder's Illinois Bank Account at any time, and which shall be
332	332	16 designed to maximize consumer protection and may include, but
333	333	17 not be limited to, rules governing the prioritization and
334	334	18 timing of payments, rules limiting payments to a percentage of
335	335	19 funds available in the Illinois Bank Account, and rules
336	336	20 limiting disbursement to designated registered payees only
337	337	21 upon satisfaction of specified conditions of the Illinois Bank
338	338	22 Account.
339	339	23 (i) Shall facilitate the opening of an Illinois Bank
340	340	24 Account by individuals who may not have federal or state
341	341	25 government-issued photo identification while taking all
342	342	26 reasonable steps to maintain the confidentiality of personal
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353	353	1 information consistent with all applicable laws.
354	354	2 (j) Shall design and establish rules governing the
355	355	3 enrollment and participation in the program of individuals who
356	356	4 do not have permanent housing.
357	357	5 (k) May design and establish rules governing the
358	358	6 enrollment and participation in the program of individuals who
359	359	7 are under 18 years of age, including rules governing the
360	360	8 opening of an Illinois Bank Account by a person who is at least
361	361	9 14 years of age without a co-signer or guarantor on the account
362	362	10 consistent with all applicable law.
363	363	11 (l) Shall select a program administrator, which may
364	364	12 consist of one or more contractors or program staff or a
365	365	13 combination thereof, whose duties shall include, but not be
366	366	14 limited to, all of the following:
367	367	15 (1) Providing a secure internet web-based portal and
368	368	16 mobile application through which individuals can enroll in
369	369	17 the program and entities can become registered payees and
370	370	18 through which account holders can access and manage their
371	371	19 Illinois Bank Accounts, including their direct deposits,
372	372	20 preauthorized electronic fund transfers to registered
373	373	21 payees, and automatic disbursement rule elections.
374	374	22 (2) Providing a method that enables employers and
375	375	23 hiring entities to remit each worker participant's elected
376	376	24 direct deposit payroll contribution to the worker's
377	377	25 Illinois Bank Account in accordance with the worker's
378	378	26 election.
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389	389	1 (3) Facilitating enrollment of account holders in the
390	390	2 program through coordination with government, employers
391	391	3 and hiring entities, and nonprofit partners.
392	392	4 (4) Facilitating and managing connectivity with other
393	393	5 state and local government programs providing individuals
394	394	6 with financial accounts to enable program account holders
395	395	7 to transfer funds between their Illinois Bank Accounts and
396	396	8 their other state-managed or locally managed accounts, as
397	397	9 authorized by the Board and in accordance with all
398	398	10 applicable laws and regulations.
399	399	11 (5) Facilitating and managing connectivity with other
400	400	12 State and local government agencies and entities to enable
401	401	13 and streamline remittance of local, State, and federal
402	402	14 benefit and public assistance payments and other
403	403	15 disbursements to account holders who are entitled to those
404	404	16 payments and who authorize those payments to be directly
405	405	17 deposited by electronic fund transfer into an Illinois
406	406	18 Bank Account, as authorized by the board and in accordance
407	407	19 with all applicable laws and regulations.
408	408	20 (m) Shall contract with a financial services network
409	409	21 administrator whose duties may include, but not be limited to,
410	410	22 all of the following:
411	411	23 (1) Contracting with, managing, and coordinating the
412	412	24 financial services vendors for the program, which shall
413	413	25 provide account holders access to their Illinois Bank
414	414	26 Accounts and services provided in concert with at least
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425	425	1 one qualifying participating depository financial
426	426	2 institution that meets the requirements established by the
427	427	3 board.
428	428	4 (2) Adding additional participating depository
429	429	5 financial institutions meeting the requirements
430	430	6 established by the Board, especially including qualifying
431	431	7 credit unions and other local financial institutions, as
432	432	8 program scope and scale permits, in accordance with the
433	433	9 board's specifications as set forth in the contract
434	434	10 between the board and the financial services network
435	435	11 administrator.
436	436	12 (3) Issuing to each account holder a secure debit
437	437	13 card, or other secure means of access to the account
438	438	14 holder's Illinois Bank Account, which shall utilize
439	439	15 current security and antifraud technology consistent with
440	440	16 industry standards.
441	441	17 (4) Providing a robust and geographically expansive
442	442	18 financial services network of partners through which an
443	443	19 account holder can load or withdraw funds from an Illinois
444	444	20 Bank Account using an Illinois Bank Account debit card, or
445	445	21 other secure means of access to an Illinois Bank Account,
446	446	22 for no fee, including ATMs, bank or credit union branches,
447	447	23 and other in-network partners, minimize or eliminate
448	448	24 out-of-network fees for account holders, and ensure that
449	449	25 account holders are not charged out-of-network fees that
450	450	26 are not reasonable and actually incurred by the program
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461	461	1 vendor.
462	462	2 (n) Shall develop and negotiate a fair and equitable
463	463	3 program fee and program revenue sharing structure between the
464	464	4 State and the financial services network administrator in
465	465	5 furtherance of attaining a financially self-sustaining
466	466	6 program, which agreement shall be reevaluated annually and
467	467	7 renegotiated as appropriate based on program scope and scale.
468	468	8 (o) Shall require an employer with more than 25 employees
469	469	9 and a hiring entity with more than 25 independent contractors
470	470	10 performing the same or similar labor or service, excluding the
471	471	11 federal government, to do all of the following:
472	472	12 (1) Have and maintain a payroll direct deposit
473	473	13 arrangement that enables voluntary worker participation in
474	474	14 the program.
475	475	15 (2) Deposit all wages and other payments due to a
476	476	16 worker that the worker has authorized to be directly
477	477	17 deposited by electronic fund transfer into the worker's
478	478	18 Illinois Bank Account in accordance with the worker's
479	479	19 authorization.
480	480	20 (3) Coordinate its payroll process with the program
481	481	21 administrator's application program interface to
482	482	22 facilitate accurate and seamless payment by direct deposit
483	483	23 in accordance with the authorization of each worker
484	484	24 participant.
485	485	25 (4) Cooperate with the program administrator in
486	486	26 providing all requested information available to the
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497	497	1 employer or hiring entity necessary for the opening and
498	498	2 administration of a worker's Illinois Bank Account.
499	499	3 (5) Upon request of the administrator, provide
500	500	4 additional forms or notifications to a worker.
501	501	5 (6) Refrain from discharging, disciplining,
502	502	6 threatening to discharge or discipline, or in any other
503	503	7 manner retaliating or taking an adverse action against a
504	504	8 worker or applicant because of the individual's
505	505	9 participation or manner of participation in the Illinois
506	506	10 Bank Account Program.
507	507	11 (p) Shall require a landlord or a landlord's agent to
508	508	12 allow a tenant to pay rent and deposit of security by an
509	509	13 electronic funds transfer from an Illinois Bank Account and
510	510	14 provide that a landlord's, or a landlord's agent's, receipt of
511	511	15 payment from an Illinois Bank Account pursuant to the
512	512	16 requirements of the Illinois Bank Account Program shall not be
513	513	17 considered a waiver of any right the landlord or landlord's
514	514	18 agent may otherwise have to establish the base rent on, or to
515	515	19 raise rent for, the rental unit.
516	516	20 Section 15. Market analysis.
517	517	21 (a) The market analysis required by this Section shall
518	518	22 include whether or not Illinois Bank Account Program revenue
519	519	23 is more likely than not to be sufficient to pay for Illinois
520	520	24 Bank Account Program costs within 6 years of the Illinois Bank
521	521	25 Account Program's implementation.
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532	532	1 (b) The analysis required by this Section shall include
533	533	2 detailed financial projections and key assumptions upon which
534	534	3 the determination required by this paragraph relies.
535	535	4 (c) The market analysis required by this Section shall
536	536	5 also include an analysis of the population of Illinois
537	537	6 residents who are unbanked and the reasons they are unbanked.
538	538	7 (d) The market analysis required by this Section shall
539	539	8 also include an analysis of the low-cost or no-cost options of
540	540	9 federally insured transaction accounts that are available or
541	541	10 marketed to unbanked Illinois residents.
542	542	11 (e) The market analysis required by this Section shall
543	543	12 also include an evaluation of all of the following:
544	544	13 (1) Alternatives to the Illinois Bank Account Program
545	545	14 that the State could implement or enact that would
546	546	15 accomplish the essential policy objectives.
547	547	16 (2) The estimated risks and costs of alternatives.
548	548	17 (3) The expected effectiveness and scalability of
549	549	18 alternatives.
550	550	19 (f) The market analysis required by this Section shall
551	551	20 also include recommendations for how the State can maximize
552	552	21 the number of unbanked Illinois residents who become banked at
553	553	22 the lowest cost and risk to the State.
554	554	23 (g) The market analysis required by this Section shall
555	555	24 also include an analysis of relative advantages and
556	556	25 disadvantages, compared to private sector alternatives, that
557	557	26 the State may have in identifying, reaching, or persuading
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568	568	1 unbanked Illinois residents to enroll in a State-administered
569	569	2 banking program.
570	570	3 (h) The market analysis required by this Section shall
571	571	4 also include recommendations related to the appropriate
572	572	5 governance structure for a public-private partnership such as
573	573	6 the Illinois Bank Account Program.
574	574	7 (i) The market analysis required by this Section shall
575	575	8 also include an analysis of costs, benefits, and impacts on
576	576	9 all affected parties, including, but not limited to,
577	577	10 landlords, employers, State government, low-wage workers, and
578	578	11 consumers.
579	579	12 (1) The Board shall contract with one or more
580	580	13 independent entities with the appropriate expertise to
581	581	14 conduct the market analysis required by this Section.
582	582	15 (2) A contract entered into pursuant to this Section
583	583	16 shall require any entity conducting the market analysis to
584	584	17 provide progress reports to, and receive feedback from,
585	585	18 the Board at regular intervals or by request and be
586	586	19 available to provide testimony and answer questions at any
587	587	20 legislative hearings held within 12 months of the delivery
588	588	21 of the market analysis to the General Assembly.
589	589	22 (A) The market analysis required by this Section
590	590	23 shall consider all of the following:
591	591	24 (i) The number of potential account holders.
592	592	25 (ii) The availability of qualified
593	593	26 participating depository financial institutions.
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604	604	1 (iii) Potential account holders' comfort with
605	605	2 various banking products.
606	606	3 (iv) How individuals without federal or state
607	607	4 photo identification can participate.
608	608	5 (v) Potential Illinois Bank Account Program
609	609	6 revenue streams.
610	610	7 (vi) The presence and effectiveness of private
611	611	8 sector or nonprofit competitors to the Illinois
612	612	9 Bank Account Program.
613	613	10 (vii) State fiscal risk from the Illinois Bank
614	614	11 Account Program during economic downturns or
615	615	12 economic shocks.
616	616	13 (viii) Any other factor the Board deems
617	617	14 relevant to implementing the Illinois Bank Account
618	618	15 program.
619	619	16 (ix) The risks and costs of the Illinois Bank
620	620	17 Account Program.
621	621	18 (x) The expected effectiveness and scalability
622	622	19 of the Illinois Bank Account Program.
623	623	20 (xi) The likely impact of the Illinois Bank
624	624	21 Account Program on existing Illinois depository
625	625	22 institutions.
626	626	23 (xii) The existence of possible financial
627	627	24 services network administrators. If any
628	628	25 possibilities include an out-of-state entity, the
629	629	26 anticipated impact on Illinois consumers,
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640	640	1 businesses, and financial institutions and how an
641	641	2 out-of-state financial services network
642	642	3 administrator could or should be regulated.
643	643	4 (B) Within 12 months after entering into a
644	644	5 contract for the market analysis required by Section
645	645	6 15, the Board shall hold at least one public hearing to
646	646	7 solicit input from members of the public. A hearing,
647	647	8 including input from members of the public, held
648	648	9 pursuant to this Section shall be recorded and made
649	649	10 available on the State Treasurer's website consistent
650	650	11 with the Freedom of Information Act.
651	651	12 (C) The Board shall hold a public hearing to
652	652	13 review the market analysis. After the public hearing
653	653	14 required by this paragraph, the Board may issue a
654	654	15 report to accompany the market analysis. The report
655	655	16 may include the Board's assessment of the market
656	656	17 analysis, feedback from the public hearing held
657	657	18 pursuant to this paragraph, and recommendations
658	658	19 related to the implementation of the Illinois Bank
659	659	20 Account Program.
660	660	21 (j) The Board shall make a determination as to whether the
661	661	22 Illinois Bank Account Program can be implemented as described
662	662	23 in Section 10 and, if not, what modifications to the Illinois
663	663	24 Bank Account Program could be made to implement it.
664	664	25 (k) The Board shall make a determination as to whether
665	665	26 Illinois Bank Account Program revenue is more likely than not
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