Maryland 2023 Regular Session

Maryland Senate Bill SB550 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	WES MOORE, Governor Ch. 433
2	1
3		-	– 1 –
4		-	Chapter 433
5		-	(Senate Bill 550)
6	2
7		-	AN ACT concerning
	3	+	EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
	4	+	[Brackets] indicate matter deleted from existing law.
	5	+	Underlining indicates amendments to bill.
	6	+	Strike out indicates matter stricken from the bill by amendment or deleted from the law by
	7	+	amendment.
	8	+	Italics indicate opposite chamber/conference committee amendments.
	9	+	sb0550
8	10
9		-	Financial Regulation – Maryland Community Investment Venture Fund –
10		-	Establishment
11		-	(Access to Banking Act)
	11	+	SENATE BILL 550
	12	+	I1 (3lr0090)
	13	+	ENROLLED BILL
	14	+	— Finance/Economic Matters —
	15	+	Introduced by The President (By Request – Administration) and Senators
	16	+	Augustine, Benson, Carter, Elfreth, Ellis, Feldman, Gile, Hayes, Hettleman,
	17	+	Kagan, King, Hester, Jackson, Lam, McCray, Muse, Waldstreicher,
	18	+	M. Washington, Watson, West, and Zucker Zucker, Beidle, Klausmeier, and
	19	+	Griffith
12	20
13		-	FOR the purpose of authorizing the establishment of a establishing the Maryland
14		-	Community Investment Venture Fund by the Commissioner of Financial Regulation
15		-	as an instrumentality of the State for certain purposes; providing for certain
16		-	assessment offset credits for certain banking institutions and credit unions that
17		-	establish de novo branches or maintain branches in certain areas; authorizing the
18		-	use of the Banking Institution and Credit Union Regulation Fund for certain
19		-	purposes; and generally relating to financial regulation the Maryland Community
20		-	Investment Venture Fund and the assessment of banking institutions and credit
21		-	unions.
	21	+	Read and Examined by Proofreaders:
22	22
23		-	BY repealing and reenacting, with amendments,
24		-	Article – Financial Institutions
25		-	Section 2–118, 5–203, and 6–712
26		-	Annotated Code of Maryland
27		-	(2020 Replacement Volume and 2022 Supplement)
	23	+	_______________________________________________
	24	+	Proofreader.
	25	+	_______________________________________________
	26	+	Proofreader.
28	27
29		-	BY adding to
30		-	Article – Financial Institutions
31		-	Section 2–118.1
32		-	Annotated Code of Maryland
33		-	(2020 Replacement Volume and 2022 Supplement)
	28	+	Sealed with the Great Seal and presented to the Governor, for his approv al this
34	29
35		-	BY repealing and reenacting, without amendments,
36		-	Article – Financial Institutions
37		-	Section 5–101(a) and (b)
38		-	Annotated Code of Maryland
39		-	(2020 Replacement Volume and 2022 Supplement)
	30	+	_______ day of _______________ at ________________________ o’clock, ________M.
40	31
41		-	~~SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,~~
42		-	~~That the Laws of Maryland read as follows:~~
	32	+	______________________________________________
	33	+	President.
43	34
44		-	~~Article – Financial Institutions~~
	35	+	CHAPTER ______
45	36
46		-	~~2–118.~~
	37	+	AN ACT concerning 1
47	38
48		-	(a) In this section, “Fund” means the Banking Institution and Credit Union
49		-	Regulation Fund established under this section. Ch. 433 2023 LAWS OF MARYLAND
	39	+	Financial Regulation – Maryland Community Investment Venture Fund – 2
	40	+	Establishment 3
	41	+	(Access to Banking Act) 4
50	42
51		-	– 2 –
	43	+	FOR the purpose of authorizing the establishment of a establishing the Maryland 5
	44	+	Community Investment Venture Fund by the Commissioner of Financial Regulation 6
	45	+	as an instrumentality of the State for certain purposes; providing for certain 7
	46	+	assessment offset credits for certain banking institutions and credit unions that 8
	47	+	establish de novo branches or maintain branches in certain areas; authorizing the 9
	48	+	use of the Banking Institution and Credit Union Regulation Fund for certain 10
	49	+	purposes; and generally relating to financial regulation the Maryland Community 11 2 SENATE BILL 550
52	50
53		-	(b) There is a Banking Institution and Credit Union Regulation Fund that
54		-	consists of:
55	51
56		-	~~(1) All revenue received for~~ the ~~chartering~~ and ~~regulation of persons who~~
57		-	~~engage in the business of a banking institution or credit union under this article; and~~
	52	+	Investment Venture Fund and the assessment of banking institutions and credit 1
	53	+	unions. 2
58	54
59		-	(2) Any other fee, assessment, or revenue received by the Commissioner
60		-	from banking institutions and credit unions under this article.
	55	+	BY repealing and reenacting, with amendments, 3
	56	+	Article – Financial Institutions 4
	57	+	Section 2–118, 5–203, and 6–712 5
	58	+	Annotated Code of Maryland 6
	59	+	(2020 Replacement Volume and 2022 Supplement) 7
61	60
62		-	(c) Notwithstanding subsection (b) of this section, the Commissioner shall pay all
63		-	fines and penalties collected by the Commissioner from banking institutions and credit
64		-	unions under this article into the General Fund of the State.
	61	+	BY adding to 8
	62	+	Article – Financial Institutions 9
	63	+	Section 2–118.1 10
	64	+	Annotated Code of Maryland 11
	65	+	(2020 Replacement Volume and 2022 Supplement) 12
65	66
66		-	(d) The purpose of the Fund is to pay all the costs and expenses incurred by the
67		-	Commissioner that are related to the regulation of banking institutions and credit unions
68		-	under this article, including:
	67	+	BY repealing and reenacting, without amendments, 13
	68	+	Article – Financial Institutions 14
	69	+	Section 5–101(a) and (b) 15
	70	+	Annotated Code of Maryland 16
	71	+	(2020 Replacement Volume and 2022 Supplement) 17
69	72
70		-	(1) Expenditures authorized under this article; [and]
	73	+	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 18
	74	+	That the Laws of Maryland read as follows: 19
71	75
72		-	(2) INVESTMENTS AUTHORIZE D UNDER § 2–118.1 OF THIS SUBTITLE ;
73		-	AND
	76	+	Article – Financial Institutions 20
74	77
75		-	[(2~~)] (3) Any other expense authorized in the State budget~~.
	78	+	2–118. 21
76	79
77		-	(e) (1) All the costs and expenses of the Commissioner relating to the
78		-	regulation of banking institutions and credit unions under this article shall be included in
79		-	the State budget.
	80	+	(a) In this section, “Fund” means the Banking Institution and Credit Union 22
	81	+	Regulation Fund established under this section. 23
80	82
81		-	(2) ~~Any expenditures from the~~ Fund ~~to cover costs and expenses of the~~
82		-	~~Commissioner may be made only~~:
	83	+	(b) There is a Banking Institution and Credit Union Regulation Fund that 24
	84	+	consists of: 25
83	85
84		-	(i) ~~By an appropriation from~~ the ~~Fund approved by the General~~
85		-	~~Assembly~~ in the ~~annual State budget;~~ or
	86	+	(1) All revenue received for the chartering and regulation of persons who 26
	87	+	engage in the business of a banking institution or credit union under this article; and 27
86	88
87		-	(ii) By the ~~budget amendment procedure provided for in § 7–209 of~~
88		-	~~the State Finance~~ and ~~Procurement~~ Article.
	89	+	(2) Any other fee, assessment, or revenue received by the Commissioner 28
	90	+	from banking institutions and credit unions under this article. 29
89	91
90		-	(3) If, in any given fiscal year, the amount of the revenue collected by the
91		-	Commissioner and deposited into the Fund exceeds the actual appropriation for the
92		-	Commissioner to regulate banking institutions and credit unions under this article, the
93		-	excess amount shall be carried forward within the Fund.
	92	+	(c) Notwithstanding subsection (b) of this section, the Commissioner shall pay all 30
	93	+	fines and penalties collected by the Commissioner from banking institutions and credit 31
	94	+	unions under this article into the General Fund of the State. 32
94	95
95		-	(f) (1) The State Treasurer is the custodian of the Fund.
96		-	WES MOORE, Governor Ch. 433
	96	+	(d) The purpose of the Fund is to pay all the costs and expenses incurred by the 33
	97	+	Commissioner that are related to the regulation of banking institutions and credit unions 34
	98	+	under this article, including: 35 SENATE BILL 550 3
97	99
98		-	– 3 –
99		-	(2) The State Treasurer shall deposit payments received from the
100		-	Commissioner into the Fund.
101	100
102		-	(g) (1) The Fund is a continuing, nonlapsing fund that is not subject to §
103		-	7–302 of the State Finance and Procurement Article, and may not be deemed a part of the
104		-	General Fund of the State.
105	101
106		-	(2) Unless otherwise provided by law, no part of the Fund may revert or be
107		-	credited to:
	102	+	(1) Expenditures authorized under this article; [and] 1
108	103
109		-	(i) The General Fund of the State; or
	104	+	(2) INVESTMENTS AUTHORIZE D UNDER § 2–118.1 OF THIS SUBTITLE ; 2
	105	+	AND 3
110	106
111		-	(ii) ~~A special fund of~~ the State.
	107	+	[(2)] (3) Any other expense authorized in the State budget. 4
112	108
113		-	2–118.1.
	109	+	(e) (1) All the costs and expenses of the Commissioner relating to the 5
	110	+	regulation of banking institutions and credit unions under this article shall be included in 6
	111	+	the State budget. 7
114	112
115		-	(A) ~~(1) IN THIS SECTION~~ THE ~~F OLLOWING WORDS HAVE~~ THE ~~MEANINGS~~
116		-	~~INDICATED.~~
	113	+	(2) Any expenditures from the Fund to cover costs and expenses of the 8
	114	+	Commissioner may be made only: 9
117	115
118		-	(2) ~~“FUND” MEANS~~ THE ~~MARYLAND COMMUNITY INVESTMENT~~
119		-	~~VENTURE FUND.~~
	116	+	(i) By an appropriation from the Fund approved by the General 10
	117	+	Assembly in the annual State budget; or 11
120	118
121		-	(2) ~~(3) “LOW– TO MODERATE –INCOME TRACT ” HAS~~ THE ~~MEANING~~
122		-	~~STATED IN § 5–203 OF THIS~~ ARTICLE.
	119	+	(ii) By the budget amendment procedure provided for in § 7–209 of 12
	120	+	the State Finance and Procurement Article. 13
123	121
124		-	(3) “PRIVATE VENTURE FUND ” MEANS THE SEPARATE E NTITY OR
125		-	ENTITIES CHARTERED I N ACCORDANCE WITH SU BSECTIONS (B) AND (K) (J) OF THIS
126		-	SECTION.
	122	+	(3) If, in any given fiscal year, the amount of the revenue collected by the 14
	123	+	Commissioner and deposited into the Fund exceeds the actual appropriation for the 15
	124	+	Commissioner to regulate banking institutions and credit unions under this article, the 16
	125	+	excess amount shall be carried forward within the Fund. 17
127	126
128		-	(B) (1) THE COMMISSIONER MAY INVE ST IN THERE IS A MARYLAND
129		-	COMMUNITY INVESTMENT VENTURE FUND.
	127	+	(f) (1) The State Treasurer is the custodian of the Fund. 18
130	128
131		-	(2) THE MARYLAND COMMUNITY INVESTMENT VENTURE FUND IS A
132		-	PRIVATE VENTURE FUND THAT IS A SEPARATELY CHAR TERED EQUITY FUND US ING
133		-	BOTH:
	129	+	(2) The State Treasurer shall deposit payments received from the 19
	130	+	Commissioner into the Fund. 20
134	131
135		-	(I) IS AN INSTRUMENTALITY OF THE STATE; AND
	132	+	(g) (1) The Fund is a continuing, nonlapsing fund that is not subject to § 21
	133	+	7–302 of the State Finance and Procurement Article, and may not be deemed a part of the 22
	134	+	General Fund of the State. 23
136	135
137		-	(II) USES PUBLIC AND PRIVATE I NVESTMENT FUNDS .
	136	+	(2) Unless otherwise provided by law, no part of the Fund may revert or be 24
	137	+	credited to: 25
138	138
139		-	(3) (C) (1) THE SUBJECT TO PARAGRAPH (2) OF THIS
140		-	SUBSECTION, THE PURPOSE OF THE PRIVATE VENTURE FUND FUND IS TO DEVELOP
141		-	OPPORTUNITIES FOR BA NKING INSTITUTIONS A ND CREDIT UNIONS TO BETTER
142		-	SERVE THE NEEDS OF L OW– TO MODERATE –INCOME TRACTS BY :
143		-	Ch. 433 2023 LAWS OF MARYLAND
	139	+	(i) The General Fund of the State; or 26
144	140
145		-	– 4 –
146		-	(I) INVESTING IN THE DEVE LOPMENT OF F INANCIAL PRODUCT
147		-	OR FINANCIAL PRODUCT UNDERWRITING INNOVAT IONS THAT WILL ENHANCE
148		-	ACCESS TO CAPITAL , FUNDING, AND OTHER FINANCIAL SERVICES FOR BUSINES SES
149		-	IN LOW– TO MODERATE –INCOME TRACTS IN MARYLAND THE STATE;
	141	+	(ii) A special fund of the State. 27
150	142
151		-	(II) DEPLOYING, TESTING, AND EVALUATING THESE THE
152		-	INNOVATIONS FOR PROV IDING CAPITAL AND FU NDING TO BUSINESSES IN LOW– TO
153		-	MODERATE–INCOME TRACTS IN MARYLAND THE STATE; AND
	143	+	2–118.1. 28
154	144
155		-	(III) PROMOTING AND MAKING THESE THE INNOVATIONS
156		-	AVAILABLE TO A VARIETY OF BANKING INSTITUTIONS AND CREDIT UNIONS FO R USE
157		-	IN ENHANCING ACCESS TO CAPITAL, FUNDING, AND OTHER FINANCIAL SERVICES
158		-	FOR BUSINESSES IN LO W– TO MODERATE –INCOME TRACTS IN MARYLAND THE
159		-	STATE.
	145	+	(A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 29
	146	+	INDICATED. 30 4 SENATE BILL 550
160	147
161		-	(2) WITH THE APPROVAL OF THE COMMISSIONER , THE PURPOSE OF
162		-	THE FUND MAY BE ALTERED I N A MANNER THAT IS CONSISTENT WITH THE INTENT
163		-	AND REQUIREMENTS OF THIS SECTION.
164	148
165		-	(D) (1) (I) THE COMMISSIONER SHALL ES TABLISH A GOVERNANCE
166		-	STRUCTURE FOR THE FUND.
167	149
168		-	(II) THE ~~COMMISSIONER MAY COLL ABORATE WITH INVESTO RS~~
169		-	~~IN THE~~ FUND ~~WHEN ESTABLISHIN G THE GOVERNANCE STR UCTURE~~.
	150	+	(2) “FUND” MEANS THE MARYLAND COMMUNITY INVESTMENT 1
	151	+	VENTURE FUND. 2
170	152
171		-	(2) ~~THE COMMISSIONER , OR~~ THE ~~COMMISSIONER ’S~~ ~~DESIGNEE, SHALL~~
172		-	~~SERVE ON THE GOVERNI NG BODY~~ OF ~~THE FUND~~.
	153	+	(2) (3) “LOW– TO MODERATE –INCOME TRACT ” HAS THE MEANING 3
	154	+	STATED IN § 5–203 OF THIS ARTICLE. 4
173	155
174		-	(C) (E) (1) THE COMMISSIONER MAY EXPEND USE UP TO $250,000
175		-	FROM THE BANKING INSTITUTION AND CREDIT UNION REGULATION FUND
176		-	ESTABLISHED UNDER § 2–118 OF THIS SUBTITLE TO COVER THE EXPENSES
177		-	ASSOCIATED WITH CHARTERING AND ORGANIZING THE PRIVA TE VENTURE FUND
178		-	ESTABLISHING THE FUND, INCLUDING ACCOUNTING , ADVISORY, THIRD–PARTY
179		-	SERVICE PROVIDER , MARKETING, AND OTHER NECESSARY EXPENSES.
	156	+	(3) “PRIVATE VENTURE FUND ” MEANS THE SEPARATE E NTITY OR 5
	157	+	ENTITIES CHARTERED I N ACCORDANCE WITH SU BSECTIONS (B) AND (K) (J) OF THIS 6
	158	+	SECTION. 7
180	159
181		-	(D) (2) TO ENCOURAGE PRIVATE INVESTMENT, THE COMMISSIONER MAY
182		-	PROVIDE THE AN INITIAL EQUITY CAPIT AL INVESTMENT IN THE PRIVATE VENTURE
183		-	FUND FUND IN AN AMOUNT UP TO $2,500,000 FROM THE BANKING INSTITUTION
184		-	AND CREDIT UNION REGULATION FUND.
	160	+	(B) (1) THE COMMISSIONER MAY INVE ST IN THERE IS A MARYLAND 8
	161	+	COMMUNITY INVESTMENT VENTURE FUND. 9
185	162
186		-	(E) ~~(F) (1) THROUGH JUNE 30, 2028,~~ THE ~~COMMISSIONER MAY MATC H~~
187		-	~~ANY AN INVESTMENT MADE IN T HE~~ PRIVATE VENTURE FUND ~~FUND BY~~ A ~~BANKING~~
188		-	~~INSTITUTION OR CREDI T UNION UP TO THE AM OUNT OF THE ASSESSME NT CREDIT WES MOORE, Governor Ch. 433~~
	163	+	(2) THE MARYLAND COMMUNITY INVESTMENT VENTURE FUND IS A 10
	164	+	PRIVATE VENTURE FUND THAT IS A SEPARATELY CHAR TERED EQUITY FUND US ING 11
	165	+	BOTH: 12
189	166
190		-	– 5 –
191		-	EARNED BY THAT THE BANKING INSTITUTION OR CREDIT UNION UNDER IN
192		-	ACCORDANCE WITH § 5–203(C) § 5–203(D) OR § 6–712(C)(4) OF THIS ARTICLE.
	167	+	(I) IS AN INSTRUMENTALITY OF THE STATE; AND 13
193	168
194		-	(F) (2) THE COMMISSIONER MAY NOT MAKE ANY FURTHER
195		-	INVESTMENTS AN INVESTMENT IN THE PRIVATE VENTURE FUND FUND AFTER JUNE
196		-	30, 2028.
	169	+	(II) USES PUBLIC AND PRIVATE I NVESTMENT FUNDS . 14
197	170
198		-	(G) ~~ANY AND ALL ALL INVESTMENT RETURNS O R RETURN~~ OF ~~CAPITAL~~
199		-	~~FROM~~ THE PRIVATE VENTURE FUND FUND ~~WITH RESPECT~~ TO ~~ANY AN INVESTMENT~~
200		-	~~AUTHORIZED BY THE COMMISSIONER SHALL BE THE PROPERTY OF CREDITED~~ TO
201		-	THE ~~BANKING INSTITUTION AND CREDIT UNION REGULATION FUND.~~
	171	+	(3) (C) (1) THE SUBJECT TO PARAGRAPH (2) OF THIS 15
	172	+	SUBSECTION, THE PURPOSE OF THE PRIVATE VENTURE FUND FUND IS TO DEVELOP 16
	173	+	OPPORTUNITIES FOR BA NKING INSTITUTIONS A ND CREDIT UNIONS TO BETTER 17
	174	+	SERVE THE NEEDS OF L OW– TO MODERATE –INCOME TRACTS BY : 18
202	175
203		-	(H) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE
204		-	COMMISSIONER MAY NEGO TIATE APPROPRIATE GO VERNANCE STRUCTURES FOR
205		-	THE PRIVATE VENTURE FUND WITH OTHER INVE STORS.
	176	+	(I) INVESTING IN THE DEVE LOPMENT OF F INANCIAL PRODUCT 19
	177	+	OR FINANCIAL PRODUCT UNDERWRITING INNOVAT IONS THAT WILL ENHANCE 20
	178	+	ACCESS TO CAPITAL , FUNDING, AND OTHER FINANCIAL SERVICES FOR BUSINES SES 21
	179	+	IN LOW– TO MODERATE –INCOME TRACTS IN MARYLAND THE STATE; 22
206	180
207		-	(2) THE ~~COMMISSIONER OR A REP RESENTATIVE OF THE~~
208		-	~~COMMISSIONER SHALL AL WAYS SERVE ON THE BO DY GOVERNING T HE PRIVATE~~
209		-	~~VENTURE FUND .~~
	181	+	(II) DEPLOYING, TESTING, AND EVALUATING THESE THE 23
	182	+	INNOVATIONS FOR PROV IDING CAPITAL AND FU NDING TO BUSINESSES IN LOW– TO 24
	183	+	MODERATE–INCOME TRACTS IN MARYLAND THE STATE; AND 25
210	184
211		-	(3) (I) THE PURPOSE OF THE PR IVATE VENTURE FUND M AY NOT BE
212		-	ALTERED OR AMENDED W ITHOUT THE CONSENT O F THE COMMISSIONER .
	185	+	(III) PROMOTING AND MAKING THESE THE INNOVATIONS 26
	186	+	AVAILABLE TO A VARIETY OF BANKING INSTITUTIONS AND CREDIT UNIONS FO R USE 27
	187	+	IN ENHANCING ACCESS TO CAPITAL, FUNDING, AND OTHER FINANCIAL SERVICES 28
	188	+	FOR BUSINESSES IN LO W– TO MODERATE –INCOME TRACTS IN MARYLAND THE 29
	189	+	STATE. 30
	190	+	SENATE BILL 550 5
213	191
214		-	(II) ANY ALTERED OR AMENDE D PURPOSE MUST REMAI N
215		-	CONSISTENT WITH THIS SECTION.
216	192
217		-	(I) (H) AT THE DIRECTION OF T HE COMMISSIONER , AND IN ADDITION TO
218		-	ANY CUSTOMARY AND AP PROPRIATE AUDITS OF THE FUND FUND, THE PRIVATE
219		-	VENTURE FUND GOVERNING BODY OF TH E FUND SHALL BE REQUIRED TO ENGAG E
220		-	OBTAIN THE SERVICES OF AN INDEPENDENT THIRD PARTY DESIGNATED BY THE
221		-	COMMISSIONER ON AN AN NUAL BASIS TO EVALUA TE WHETHER ALL THE
222		-	INVESTMENTS MEET THE CRITERIA ES TABLISHED BY MADE TO THE FUND COMPLY
223		-	WITH THIS SECTION.
	193	+	(2) WITH THE APPROVAL OF THE COMMISSIONER , THE PURPOSE OF 1
	194	+	THE FUND MAY BE ALTERED I N A MANNER THAT IS C ONSISTENT WITH THE I NTENT 2
	195	+	AND REQUIREMENTS OF THIS SECTION. 3
224	196
225		-	(J) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION ,
226		-	DIVISION II OF THE STATE FINANCE AND PROCUREMENT ARTICLE DOES NOT
227		-	APPLY TO A SERVICE T HAT THE COMMISSIONER OBTAINS UNDER THIS SECTION .
	197	+	(D) (1) (I) THE COMMISSIONER SHALL ES TABLISH A GOVERNANCE 4
	198	+	STRUCTURE FOR THE FUND. 5
228	199
229		-	(2) THE COMMISSIONER IS SUBJE CT TO TITLE 12, SUBTITLE 4 OF
230		-	THE STATE FINANCE AND PROCUREMENT ARTICLE FOR SERVICES CONTRACTED
231		-	UNDER SUBSE CTION (C) OR (K) OF THIS SECTION.
	200	+	(II) THE COMMISSIONER MAY COLL ABORATE WITH INVESTO RS 6
	201	+	IN THE FUND WHEN ESTABLISHING THE GOVERNANCE STRUCTURE . 7
232	202
233		-	(K) ~~(J) (I) (1) TO THE EXTENT IF~~ THE COMMISSIONER ~~DETERMIN ES THAT~~
234		-	~~SEPARATE PRIVATE VEN TURE FUNDS ARE NECES SARY TO ACCOMPLISH T HE Ch. 433 2023 LAWS~~ OF ~~MARYLAND~~
	203	+	(2) THE COMMISSIONER , OR THE COMMISSIONER ’S DESIGNEE, SHALL 8
	204	+	SERVE ON THE GOVERNI NG BODY OF THE FUND. 9
235	205
236		-	– 6 –
237		-	PURPOSE OF THE PRIVATE VENTURE FUND FUND, THE COMMISSIONER MAY EXPEND
238		-	FUNDS USE MONEY FROM THE FUND TO CHARTER AND ORGANIZE ESTABLISH
239		-	ADDITIONAL PRIVATE V ENTURE FUNDS.
	206	+	(C) (E) (1) THE COMMISSIONER MAY EXPEND USE UP TO $250,000 10
	207	+	FROM THE BANKING INSTITUTION AND CREDIT UNION REGULATION FUND 11
	208	+	ESTABLISHED UNDER § 2–118 OF THIS SUBTITLE TO COVER THE EXPENSES 12
	209	+	ASSOCIATED WITH CHARTERING AND ORGANIZING THE PRIVA TE VENTURE FUND 13
	210	+	ESTABLISHING THE FUND, INCLUDING ACCOUNTING , ADVISORY, THIRD–PARTY 14
	211	+	SERVICE PROVIDER , MARKETING, AND OTHER NECESSARY EXPENSES. 15
240	212
241		-	(2) ANY AN ADDITIONAL PRIVATE V ENTURE FUNDS CHARTERED AND
242		-	ORGANIZED UNDER FUND ESTABLISHED IN ACCORDANCE WITH THIS SUBSECTION
243		-	ARE SUBJECT TO THE REQUIREMENTS AND LIMITATIONS OF THIS SECTION ON THE
244		-	MARYLAND COMMUNITY INVESTMENT VENTURE FUND UNDER SUBSECTION (B) OF
245		-	THIS SECTION , INCLUDING THE AGGREGATE EXPENSE AN D INVESTMENT
246		-	LIMITATIONS STATED I N SUBSECTIONS (C) THROUGH (F) OF THIS SECTION SHALL
247		-	COMPLY WITH THE REQU IREMENTS OF SUB SECTIONS (B) THROUGH (F) OF THIS
248		-	SECTION.
	213	+	(D) (2) TO ENCOURAGE PRIVATE INVESTMENT, THE COMMISSIONER MAY 16
	214	+	PROVIDE THE AN INITIAL EQUITY CAPIT AL INVESTMENT IN THE PRIVATE VENTURE 17
	215	+	FUND FUND IN AN AMOUNT UP TO $2,500,000 FROM THE BANKING INSTITUTION 18
	216	+	AND CREDIT UNION REGULATION FUND. 19
249	217
250		-	5–101.
	218	+	(E) (F) (1) THROUGH JUNE 30, 2028, THE COMMISSIONER MAY MATC H 20
	219	+	ANY AN INVESTMENT MADE IN T HE PRIVATE VENTURE FUND FUND BY A BANKING 21
	220	+	INSTITUTION OR CREDI T UNION UP TO THE AM OUNT OF THE ASSESSME NT CREDIT 22
	221	+	EARNED BY THAT THE BANKING INSTITUTION OR CREDIT UNION UNDER IN 23
	222	+	ACCORDANCE WITH § 5–203(C) § 5–203(D) OR § 6–712(C)(4) OF THIS ARTICLE. 24
251	223
252		-	(a) In this title the following words have the meanings indicated.
	224	+	(F) (2) THE COMMISSIONER MAY NOT MAKE ANY FURTHER 25
	225	+	INVESTMENTS AN INVESTMENT IN THE PRIVATE VENTURE FUND FUND AFTER JUNE 26
	226	+	30, 2028. 27
253	227
254		-	(b) ~~“CAMELS” means the composite rating adopted by the federal Financial~~
255		-	~~Institutions Examination Council~~ to ~~evaluate the adequacy of capital, quality of assets,~~
256		-	~~capability~~ of ~~management, quality and level of earnings, adequacy of liquidity, and~~
257		-	~~sensitivity to market risk~~.
	228	+	(G) ANY AND ALL ALL INVESTMENT RETURNS O R RETURN OF CAPITAL 28
	229	+	FROM THE PRIVATE VENTURE FUND FUND WITH RESPECT TO ANY AN INVESTMENT 29
	230	+	AUTHORIZED BY THE COMMISSIONER SHALL BE THE PROPERTY OF CREDITED TO 30
	231	+	THE BANKING INSTITUTION AND CREDIT UNION REGULATION FUND. 31
258	232
259		-	5–203.
	233	+	(H) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE 32
	234	+	COMMISSIONER MAY NEGO TIATE APPROPRIATE GO VERNANCE STRUCTURES FOR 33
	235	+	THE PRIVATE VENTURE FUND WITH OTHER INVESTORS . 34
	236	+	6 SENATE BILL 550
260	237
261		-	(a) (1) IN THIS SECTION , UNLESS THE CONTEXT C LEARLY REQUIRES
262		-	OTHERWISE, THE FOLLOWING WORDS HAVE THE MEANINGS IN DICATED.
263	238
264		-	(2) ~~“BRANCH” MEANS~~ A ~~DEPOSIT –TAKING OFFICE~~ OF ~~A B ANKING~~
265		-	~~INSTITUTION IN MARYLAND OTHER THAN~~ THE ~~MAIN OFFICE AS DEFINED BY~~ THE
266		-	~~FEDERAL DEPOSIT INSURANCE CORPORATION~~ .
	239	+	(2) THE COMMISSIONER OR A REP RESENTATIVE OF THE 1
	240	+	COMMISSIONER SHALL AL WAYS SERVE ON THE BO DY GOVERNING THE PRI VATE 2
	241	+	VENTURE FUND . 3
267	242
268		-	(3) ~~“DE NOVO BRANCH ” HAS~~ THE ~~MEANING STAT ED IN § 5–1001~~ OF
269		-	~~THIS TITLE WITH RESPECT TO A BA NKING INSTITUTION~~ .
	243	+	(3) (I) THE PURPOSE OF THE PR IVATE VENTURE FUND M AY NOT BE 4
	244	+	ALTERED OR AMENDED WITHOUT THE CONSENT OF THE COMMISSIONER . 5
270	245
271		-	(4) “DEPOSIT GROWTH CAP ” MEANS THE YEAR –OVER–YEAR
272		-	PERCENTAGE CHANGE OF DOMES TIC OFFICE DEPOSITS AS REPORTED ON
273		-	DECEMBER 31 EACH YEAR BY THE FEDERAL DEPOSIT INSURANCE CORPORATION
274		-	IN THE FEDERAL DEPOSIT INSURANCE CORPORATION QUARTERLY BANK PROFILE .
	246	+	(II) ANY ALTERED OR AMENDE D PURPOSE MUST REMAI N 6
	247	+	CONSISTENT WITH THIS SECTION. 7
275	248
276		-	(5) “DEPOSITS” MEANS DEPOSITS ORIGI NATED AND HOUSED AT A
277		-	BRANCH LOCATED IN A LOW – TO MODERATE –INCOME TRACT AS REPO RTED BY A
278		-	BANKING INSTITUTION TO THE FEDERAL DEPOSIT INSURANCE CORPORATION
279		-	EACH YEAR AS OF JUNE 30.
280		-	WES MOORE, Governor Ch. 433
	249	+	(I) (H) AT THE DIRECTION OF T HE COMMISSIONER , AND IN ADDITION TO 8
	250	+	ANY CUSTOMARY AND AP PROPRIATE AUDITS OF THE FUND FUND, THE PRIVATE 9
	251	+	VENTURE FUND GOVERNING BODY OF TH E FUND SHALL BE REQUIRED TO ENGAG E 10
	252	+	OBTAIN THE SERVICES OF AN INDEPENDENT THIRD PARTY DESIGNATED BY THE 11
	253	+	COMMISSIONER ON AN AN NUAL BASIS TO EVALUA TE WHETHER ALL THE 12
	254	+	INVESTMENTS MEET THE CRITERIA ES TABLISHED BY MADE TO THE FUND COMPLY 13
	255	+	WITH THIS SECTION. 14
281	256
282		-	– 7 –
283		-	(6) “LOW– TO MODERATE –INCOME TRACT ” MEANS A CENSUS TRACT
284		-	DELINEATED BY THE U.S. BUREAU OF THE CENSUS IN THE MOST RECENT
285		-	DECENNIAL CENSUS AS PUBLISHED BY THE FEDERAL FINANCIAL INSTITUTIONS
286		-	EXAMINATION COUNCIL THAT CORRESPO NDS TO LOW – TO MODERATE –INCOME
287		-	LEVEL CLASSIFICATION S AS DEFINED BY THE REGULATION OF THE FEDERAL
288		-	RESERVE BOARD IMPLEMENTING TH E FEDERAL COMMUNITY REINVESTMENT ACT,
289		-	12 C.F.R. 228.12.
	257	+	(J) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 15
	258	+	DIVISION II OF THE STATE FINANCE AND PROCUREMENT ARTICLE DOES NOT 16
	259	+	APPLY TO A SERVICE T HAT THE COMMISSIONER OBTAINS UNDER THIS SECTION . 17
290	260
291		-	(B) The Commissioner ~~shall impose annual assessments on each banking~~
292		-	~~institution as provided in this section, to cover~~ the ~~expense of regulating banking~~
293		-	~~institutions~~.
	261	+	(2) THE COMMISSIONER IS SUBJECT TO TITLE 12, SUBTITLE 4 OF 18
	262	+	THE STATE FINANCE AND PROCUREMENT ARTICLE FOR SERVICES CONTRACTED 19
	263	+	UNDER SUBSECTION (C) OR (K) OF THIS SECTION. 20
294	264
295		-	[(b)] (C) (1) Except as provided in paragraph (2) of this subsection, the
296		-	Commissioner shall assess each banking institution the sum of:
	265	+	(K) (J) (I) (1) TO THE EXTENT IF THE COMMISSIONER DETERMIN ES THAT 21
	266	+	SEPARATE PRIVATE VEN TURE FUNDS ARE NECES SARY TO ACCOMPLISH T HE 22
	267	+	PURPOSE OF THE PRIVATE VENTURE FUND FUND, THE COMMISSIONER MAY EXPEND 23
	268	+	FUNDS USE MONEY FROM THE FUND TO CHARTER AND ORGANIZE ESTABLISH 24
	269	+	ADDITIONAL PRIVATE V ENTURE FUNDS. 25
297	270
298		-	(i) $8,000; plus
	271	+	(2) ANY AN ADDITIONAL PRIVATE V ENTURE FUNDS CHARTERED AND 26
	272	+	ORGANIZED UNDER FUND ESTABLISHED IN ACCORDANCE WITH THIS SUBSECTION 27
	273	+	ARE SUBJECT TO THE REQUIREMENTS AND LIMITATIONS OF THIS SECTION ON THE 28
	274	+	MARYLAND COMMUNITY INVESTMENT VENTURE FUND UNDER SUBSECTION (B) OF 29
	275	+	THIS SECTION, INCLUDING THE AGGREGATE EXPENSE AN D INVESTMENT 30
	276	+	LIMITATIONS STATED I N SUBSECTIONS (C) THROUGH (F) OF THIS SECTION SHALL 31
	277	+	COMPLY WITH THE REQU IREMENTS OF SUBSECTI ONS (B) THROUGH (F) OF THIS 32
	278	+	SECTION. 33
299	279
300		-	(ii) 1. 12 cents for each $1,000 of the assets of the institution over
301		-	$50,000,000, but not more than $250,000,000;
	280	+	5–101. 34
302	281
303		-	2. 10 cents for each $1,000 of assets over $250,000,000, but
304		-	not more than $500,000,000;
	282	+	(a) In this title the following words have the meanings indicated. 35 SENATE BILL 550 7
305	283
306		-	3. 9 cents for each $1,000 of assets over $500,000,000, but not
307		-	more than $1,000,000,000;
308	284
309		-	4. 8 cents for each $1,000 of assets over $1,000,000,000, but
310		-	not more than $10,000,000,000; and
311	285
312		-	5. 7 cents for each $1,000 of assets over $10,000,000,000.
	286	+	(b) “CAMELS” means the composite rating adopted by the federal Financial 1
	287	+	Institutions Examination Council to evaluate the adequacy of capital, quality of assets, 2
	288	+	capability of management, quality and level of earnings, adequacy of liquidity, and 3
	289	+	sensitivity to market risk. 4
313	290
314		-	(2) If a banking institution is not in the business of accepting deposits or
315		-	retaining funds in a deposit account as defined in § 5–509 of this title, the Commissioner
316		-	shall assess the banking institution the sum of:
	291	+	5–203. 5
317	292
318		-	(i) $5,000; plus
	293	+	(a) (1) IN THIS SECTION , UNLESS THE CONTEXT C LEARLY REQUIRES 6
	294	+	OTHERWISE, THE FOLLOWING WORDS HAVE THE MEANINGS IN DICATED. 7
319	295
320		-	(ii) 1. 0.3 cents for each $1,000 of managed assets held in a
321		-	fiduciary capacity up to $5,000,000,000;
	296	+	(2) “BRANCH” MEANS A DEPOSIT –TAKING OFFICE OF A B ANKING 8
	297	+	INSTITUTION IN MARYLAND OTHER THAN THE MAIN OFFICE AS DEFINED BY THE 9
	298	+	FEDERAL DEPOSIT INSURANCE CORPORATION . 10
322	299
323		-	~~2. 0.2 cents for each $1,000~~ of ~~managed assets held in a~~
324		-	~~fiduciary capacity over $5,000,000,000, but not more than $20,000,000,000;~~
	300	+	(3) “DE NOVO BRANCH ” HAS THE MEANING STAT ED IN § 5–1001 OF 11
	301	+	THIS TITLE WITH RESPECT TO A BA NKING INSTITUTION . 12
325	302
326		-	3. 0.1 cent for each $1,000 of managed assets held in a
327		-	fiduciary capacity over $20,000,000,000 up to $27,500,000,000;
328		-	Ch. 433 2023 LAWS OF MARYLAND
	303	+	(4) “DEPOSIT GROWTH CAP ” MEANS THE YEAR –OVER–YEAR 13
	304	+	PERCENTAGE CHANGE OF DOMESTIC OFFICE DEPO SITS AS REPORTED ON 14
	305	+	DECEMBER 31 EACH YEAR BY THE FEDERAL DEPOSIT INSURANCE CORPORATION 15
	306	+	IN THE FEDERAL DEPOSIT INSURANCE CORPORATION QUARTERLY BANK PROFILE . 16
329	307
330		-	– 8 –
331		-	4. 0.2 cents for each $1,000 of nonmanaged and custodial
332		-	assets held in a fiduciary capacity up to $5,000,000,000; and
	308	+	(5) “DEPOSITS” MEANS DEPOSITS ORIGI NATED AND HOUSED AT A 17
	309	+	BRANCH LOCATED IN A LOW– TO MODERATE –INCOME TRACT AS REPO RTED BY A 18
	310	+	BANKING INSTITUTION TO THE FEDERAL DEPOSIT INSURANCE CORPORATION 19
	311	+	EACH YEAR AS OF JUNE 30. 20
333	312
334		-	5. 0.1 cent for each $1,000 of nonmanaged and custodial
335		-	assets held in a fiduciary capacity over $5,000,000,000 up to $20,000,000,000.
	313	+	(6) “LOW– TO MODERATE –INCOME TRACT ” MEANS A CENSUS TRACT 21
	314	+	DELINEATED BY THE U.S. BUREAU OF T HE CENSUS IN THE MOST RE CENT 22
	315	+	DECENNIAL CENSUS AS PUBLISHED BY THE FEDERAL FINANCIAL INSTITUTIONS 23
	316	+	EXAMINATION COUNCIL THAT CORRESPO NDS TO LOW – TO MODERATE –INCOME 24
	317	+	LEVEL CLASSIFICATION S AS DEFINED BY THE REGULATION OF THE FEDERAL 25
	318	+	RESERVE BOARD IMPLEMENTING TH E FEDERAL COMMUNITY REINVESTMENT ACT, 26
	319	+	12 C.F.R. 228.12. 27
336	320
337		-	(3) The assessments shall be based on assets stated in a bankin g
338		-	institution’s most recent financial report.
	321	+	(B) The Commissioner shall impose annual assessments on each banking 28
	322	+	institution as provided in this section, to cover the expense of regulating banking 29
	323	+	institutions. 30
339	324
340		-	(D) A WELL–CAPITALIZED BANKING INSTITUTION WITH A C OMPOSITE
341		-	CAMELS RATING OF 1 OR 2 MAY FILE WITH THE COMMISSIONER A REQUES T FOR
342		-	AN ASSESSMENT OFFSET CREDIT OF:
	325	+	[(b)] (C) (1) Except as provided in paragraph (2) of this subsection, the 31
	326	+	Commissioner shall assess each banking institution the sum of: 32
343	327
344		-	(1) 12 CENTS FOR EACH $1,000 OF DEPOSITS IN A DE NOVO BRANCH
345		-	LOCATED IN A LOW – TO MODERATE –INCOME TRACT FOR THE FIRST 5 YEARS AFTER
346		-	THE DATE THE BRANCH OPENED; OR
	328	+	(i) $8,000; plus 33
	329	+	8 SENATE BILL 550
347	330
348		-	(2) 6 CENTS FOR EACH $1,000 OF DEPOSITS IN A BRA NCH LOCATED IN
349		-	A LOW– TO MODERATE –INCOME TRACT NOT TO EXCEED THE DEPOSIT G ROWTH CAP.
350	331
351		-	[(c)] (E) Notwithstanding subsection [(b)] (C) of this section, for a banking
352		-	institution with a composite CAMELS rating of 3, 4, or 5 for its most recent examination,
353		-	the annual assessment imposed under this section shall be increased by an additional 25%.
	332	+	(ii) 1. 12 cents for each $1,000 of the assets of the institution over 1
	333	+	$50,000,000, but not more than $250,000,000; 2
354	334
355		-	~~[(d)] (F) A banking institution shall pay the assessment imposed under this~~
356		-	~~section to the Commissioner on or before the April 15 after it is imposed.~~
	335	+	2. 10 cents for each $1,000 of assets over $250,000,000, but 3
	336	+	not more than $500,000,000; 4
357	337
358		-	(G) THE COMMISSIONER MAY DESI GNATE A SUCCESSOR IN DEX FOR:
	338	+	3. 9 cents for each $1,000 of assets over $500,000,000, but not 5
	339	+	more than $1,000,000,000; 6
359	340
360		-	(1) THE LOW– TO MODERATE –INCOME TRACT IF THE FEDERAL
361		-	FINANCIAL INSTITUTIONS EXAMINATION COUNCIL TRACT INCOME LEVEL DATA IS
362		-	NO LONGER PUBLISHED ; OR
	341	+	4. 8 cents for each $1,000 of assets over $1,000,000,000, but 7
	342	+	not more than $10,000,000,000; and 8
363	343
364		-	(2) THE DEPOSIT GROWTH CA P IF THE FEDERAL DEPOSIT
365		-	INSURANCE CORPORATION REPORT OF DOMESTIC OFFICE DEPO SITS IS NO LONGER
366		-	PUBLISHED.
	344	+	5. 7 cents for each $1,000 of assets over $10,000,000,000. 9
367	345
368		-	6–712.
	346	+	(2) If a banking institution is not in the business of accepting deposits or 10
	347	+	retaining funds in a deposit account as defined in § 5–509 of this title, the Commissioner 11
	348	+	shall assess the banking institution the sum of: 12
369	349
370		-	(a) (1) IN THIS SECTION , UNLESS THE CONTEXT C LEARLY REQUIRES
371		-	OTHERWISE, THE FOLLOWING WORDS HAVE THE MEANINGS IN DICATED.
	350	+	(i) $5,000; plus 13
372	351
373		-	(2) ~~“DE NOVO BRANCH ” MEANS~~ A ~~BRANCH OF A CREDIT UNION THAT~~
374		-	~~WAS ORIGINALLY ESTAB LISHED BY THE CREDIT UNION IN MARYLAND THE STATE. WES MOORE, Governor Ch. 433~~
	352	+	(ii) 1. 0.3 cents for each $1,000 of managed assets held in a 14
	353	+	fiduciary capacity up to $5,000,000,000; 15
375	354
376		-	– 9 –
	355	+	2. 0.2 cents for each $1,000 of managed assets held in a 16
	356	+	fiduciary capacity over $5,000,000,000, but not more than $20,000,000,000; 17
377	357
378		-	(3) “DEPOSIT GROWTH CAP ” MEANS THE YEAR –OVER–YEAR
379		-	PERCENTAGE CHANGE OF TOTAL SHARES AND DEP OSITS REPORTED DECEMBER 31
380		-	EACH YEAR BY FEDERAL LY INSURED CREDIT UN IONS TO THE NATIONAL CREDIT
381		-	UNION ADMINISTRATION AND PU BLISHED IN THE NATIONAL CREDIT UNION
382		-	ADMINISTRATION CALL REPORT AGGREGATE FINANCIAL PERFORMANCE
383		-	REPORTS.
	358	+	3. 0.1 cent for each $1,000 of managed assets held in a 18
	359	+	fiduciary capacity over $20,000,000,000 up to $27,500,000,000; 19
384	360
385		-	(4) “DEPOSITS” MEANS DEPOSITS ORIGI NATED AND HOUSED AT A
386		-	CREDIT UNION BRANCH LOCATED IN A LOW – TO MODERATE –INCOME TRACT AS
387		-	REPORTED BY A CREDIT UNION TO THE COMMISSIONER EACH YEA R AS OF JUNE 30.
	361	+	4. 0.2 cents for each $1,000 of nonmanaged and custodial 20
	362	+	assets held in a fiduciary capacity up to $5,000,000,000; and 21
388	363
389		-	(5~~) “LOW– TO MODERATE –INCOME~~ ~~TRACT ” HAS THE MEANING~~
390		-	~~STATED~~ IN § 5~~–203 OF THIS ARTICLE~~.
	364	+	5. 0.1 cent for each $1,000 of nonmanaged and custodial 22
	365	+	assets held in a fiduciary capacity over $5,000,000,000 up to $20,000,000,000. 23
391	366
392		-	(B) This section applies only to a credit union with assets of $300,000 or greater.
	367	+	(3) The assessments shall be based on assets stated in a banking 24
	368	+	institution’s most recent financial report. 25
393	369
394		-	[(b)] (C) (1) The Commissioner shall impose an annual assessment on each
395		-	credit union as provided in this subsection to cover the expense of regulating credit unions.
	370	+	(D) A WELL–CAPITALIZED BANKING INSTITUTION WITH A C OMPOSITE 26
	371	+	CAMELS RATING OF 1 OR 2 MAY FILE WITH THE COMMISSIONER A REQUES T FOR 27
	372	+	AN ASSESSMENT OFFSET CREDIT OF: 28
396	373
397		-	(2) The Commissioner shall assess each credit union the sum of:
	374	+	(1) 12 CENTS FOR EACH $1,000 OF DEPOSITS IN A DE NOV O BRANCH 29
	375	+	LOCATED IN A LOW – TO MODERATE –INCOME TRACT FOR THE FIRST 5 YEARS AFTER 30
	376	+	THE DATE THE BRANCH OPENED; OR 31
	377	+	SENATE BILL 550 9
398	378
399		-	(i) $1,000; and
400	379
401		-	(ii) 8 cents for each $1,000 of ~~the assets of the credit union over~~
402		-	~~$1,000,000~~.
	380	+	(2) 6 CENTS FOR EACH $1,000 OF DEPOSITS IN A BRA NCH LOCATED IN 1
	381	+	A LOW– TO MODERATE –INCOME TRACT NOT TO EXCEED THE DEPOSIT G ROWTH CAP. 2
403	382
404		-	(3) The assessment shall be based on assets stated in the credit union’s
405		-	most recent financial report.
	383	+	[(c)] (E) Notwithstanding subsection [(b)] (C) of this section, for a banking 3
	384	+	institution with a composite CAMELS rating of 3, 4, or 5 for its most recent examination, 4
	385	+	the annual assessment imposed under this section shall be increased by an additional 25%. 5
406	386
407		-	(4) A WELL–CAPITALIZED CREDIT U NION WITH A COMPOSIT E
408		-	CAMELS RATING OF 1 OR 2 MAY FILE WITH THE COMMISSIONER A REQUES T FOR
409		-	AN ASSESSMENT OFFSET CREDIT OF :
	387	+	[(d)] (F) A banking institution shall pay the assessment imposed under this 6
	388	+	section to the Commissioner on or before the April 15 after it is imposed. 7
410	389
411		-	(I) 12 CENTS FOR EACH $1,000 OF DEPOSITS IN A DE NOVO
412		-	BRANCH LOCATED IN A LOW– TO MODERATE –INCOME TRACT FOR THE FIRST 5 YEARS
413		-	AFTER THE DATE THE D E NOVO BRANCH OPENED ; OR
	390	+	(G) THE COMMISSIONER MAY DESI GNATE A SUCCESSOR IN DEX FOR: 8
414	391
415		-	(II) ~~6 CENTS FOR EACH $1,000 OF DEPOSITS IN A BRA NCH~~
416		-	~~LOCATED IN A LOW– TO MODERATE –INCOME~~ TRACT ~~NOT TO EXCEED THE DEPOSIT~~
417		-	~~GROWTH CAP .~~
	392	+	(1) THE LOW– TO MODERATE–INCOME TRACT IF THE FEDERAL 9
	393	+	FINANCIAL INSTITUTIONS EXAMINATION COUNCIL TRACT INCOME LEVEL DATA IS 10
	394	+	NO LONGER PUBLISHED ; OR 11
418	395
419		-	~~[(c)]~~ (D) ~~A credit union shall pay~~ the ~~assessment imposed under this section to~~
420		-	~~the Commissioner on or before the March 1 after the assessment~~ is ~~imposed.~~
421		-	Ch. ~~433 2023 LAWS OF MARYLAND~~
	396	+	(2) THE DEPOSIT GROWTH CA P IF THE FEDERAL DEPOSIT 12
	397	+	INSURANCE CORPORATION REPORT OF DOMESTIC OFFICE DEPO SITS IS NO LONGER 13
	398	+	PUBLISHED. 14
422	399
423		-	– 10 –
424		-	(E) THE COMMISSIONER MAY DESIGNATE A SUCC ESSOR INDEX FOR THE
425		-	DEPOSIT GROWTH CAP I F THE NATIONAL CREDIT UNION ADMINISTRATION CALL
426		-	REPORT AGGREGATE FINANCIAL PERFORMANCE REPORTS IS NO LONGER
427		-	PUBLISHED.
	400	+	6–712. 15
428	401
429		-	~~SECTION 2.~~ ~~AND BE IT FURTHER ENACTED, That~~ this ~~Act shall take effect July~~
430		-	1, ~~2023~~.
	402	+	(a) (1) IN THIS SECTION , UNLESS THE CONTEXT C LEARLY REQUIRES 16
	403	+	OTHERWISE, THE FOLLOWING WORDS HAVE THE MEANINGS IN DICATED. 17
431	404
432		-	Approved by the Governor, May 8, 2023.
	405	+	(2) “DE NOVO BRANCH ” MEANS A BRANCH OF A CREDIT UNION THAT 18
	406	+	WAS ORIGINALLY ESTAB LISHED BY THE CREDIT UNION IN MARYLAND THE STATE. 19
	407	+
	408	+	(3) “DEPOSIT GROWTH CAP ” MEANS THE YEAR –OVER–YEAR 20
	409	+	PERCENTAGE CHANGE OF TOTAL SHARES AND DEP OSITS REPORTED DECEMBER 31 21
	410	+	EACH YEAR BY FEDERAL LY INSURED CREDIT UN IONS TO THE NATIONAL CREDIT 22
	411	+	UNION ADMINISTRATION AND PU BLISHED IN THE NATIONAL CREDIT UNION 23
	412	+	ADMINISTRATION CALL REPORT AGGREGATE FINANCIAL PERFORMANCE 24
	413	+	REPORTS. 25
	414	+
	415	+	(4) “DEPOSITS” MEANS DEPOSITS ORIGI NATED AND HOUSED AT A 26
	416	+	CREDIT UNION BRANCH LOCATED IN A LOW – TO MODERATE –INCOME TRACT AS 27
	417	+	REPORTED BY A CREDIT UNION TO THE COMMISSIONE R EACH YEAR AS OF JUNE 30. 28
	418	+
	419	+	(5) “LOW– TO MODERATE –INCOME TRACT ” HAS THE MEANING 29
	420	+	STATED IN § 5–203 OF THIS ARTICLE. 30
	421	+
	422	+	(B) This section applies only to a credit union with assets of $300,000 or greater. 31
	423	+	10 SENATE BILL 550
	424	+
	425	+
	426	+	[(b)] (C) (1) The Commissioner shall impose an annual assessment on each 1
	427	+	credit union as provided in this subsection to cover the expense of regulating credit unions. 2
	428	+
	429	+	(2) The Commissioner shall assess each credit union the sum of: 3
	430	+
	431	+	(i) $1,000; and 4
	432	+
	433	+	(ii) 8 cents for each $1,000 of the assets of the credit union over 5
	434	+	$1,000,000. 6
	435	+
	436	+	(3) The assessment shall be based on assets stated in the credit union’s 7
	437	+	most recent financial report. 8
	438	+
	439	+	(4) A WELL–CAPITALIZED CREDIT U NION WITH A COMPOSIT E 9
	440	+	CAMELS RATING OF 1 OR 2 MAY FILE WITH THE COMMISSIONER A REQUEST FOR 10
	441	+	AN ASSESSMENT OFFSET CREDIT OF: 11
	442	+
	443	+	(I) 12 CENTS FOR EACH $1,000 OF DEPOSITS IN A DE NOVO 12
	444	+	BRANCH LOCATED IN A LOW– TO MODERATE –INCOME TRACT FOR THE FIRST 5 YEARS 13
	445	+	AFTER THE DATE THE D E NOVO BRANCH OPENED ; OR 14
	446	+
	447	+	(II) 6 CENTS FOR EACH $1,000 OF DEPOSITS IN A BRANCH 15
	448	+	LOCATED IN A LOW – TO MODERATE –INCOME TRACT NOT TO EXCEED THE DEPOSIT 16
	449	+	GROWTH CAP . 17
	450	+
	451	+	[(c)] (D) A credit union shall pay the assessment imposed under this section to 18
	452	+	the Commissioner on or before the March 1 after the assessment is imposed. 19
	453	+
	454	+	(E) THE COMMISSIONER MAY DESI GNATE A SUCCESSOR IN DEX FOR THE 20
	455	+	DEPOSIT GROWTH CAP I F THE NATIONAL CREDIT UNION ADMINISTRATION CALL 21
	456	+	REPORT AGGREGATE FINANCIAL PERFORMANCE REPORTS IS NO LONGER 22
	457	+	PUBLISHED. 23
	458	+
	459	+	SECTION 2. AND BE IT FURTHER ENACTED, That t his Act shall take effect July 24
	460	+	1, 2023. 25
	461	+
	462	+
	463	+
	464	+