Wisconsin Senate Bill SB1058

Wisconsin 2023-2024 Regular Session

• Introduced: 2/21/24
• Refer: 2/21/24
• Failed: 4/15/24

Caption

Eliminating an obsolete provision relating to the state treasurer (suggested as remedial legislation by the Office of the State Treasurer).

Impact

The legislation aims to rectify a legislative oversight by ensuring the state financial management aligns with updated banking practices. Currently, when a bank's affairs are taken over by the Division of Banking, it must notify the division, which then actuates a process that requires transferring certain funds to the state treasurer. By amending this statute, the bill removes this unnecessary procedural element, indicating an evolution in the financial regulatory framework of the state. This change may lead to more efficient operations within the Department of Financial Institutions and reduce bureaucratic redundancies.

Summary

Senate Bill 1058 seeks to amend an existing statute by eliminating certain obsolete provisions related to the state treasurer's duties in connection with bank liquidation procedures. Proposed as a remedial measure by the Office of the State Treasurer, this bill was introduced to update financial regulations and streamline processes impacting both the state treasurer and banks operating within the jurisdiction. The bill addresses the transfer of funds received during bank liquidation from the Division of Banking to the state treasurer, thus removing an outdated requirement and reflecting current practices.

Contention

While the bill appears to be a straightforward update, discussions may arise regarding the implications of abolishing these requirements. Some stakeholders could express concerns over financial governance and accountability, questioning whether the changes could dilute oversight during bank liquidations. Conversely, proponents will likely highlight the positive aspects of such streamlining measures, emphasizing the need for updated and relevant legislation that reflects modern banking operations. Overall, the passage of SB1058 has the potential to lay the groundwork for further improvements in state banking regulations.