Section 30.255

Title IV EXECUTIVE BRANCH

Chapter 30

Effective - 28 Aug 1998   

  30.255.  Deposit of funds, duties. — Beginning July 1, 1999, the state treasurer shall, when making a new deposit of state funds, continuing an existing demand deposit of state funds, or renewing an existing time deposit of state funds beyond the expiration date of the deposit in any financial institution, review and consider the depository institution's lending record, giving consideration to, among other factors, whether:

  (1)  The institution has been given by the appropriate federal regulatory agency a written evaluation of the institution's record of meeting the credit needs of its entire community, including low and moderate income neighborhoods, pursuant to the federal Community Reinvestment Act of 1977, as amended, 12 U.S.C. 2905; and

  (2)  The most recent evaluation of the institution includes a rating of "needs to improve record of meeting community credit needs" or "substantial noncompliance of meeting community credit needs", or categories substantially comparable if said federal law is amended.  In the event that a financial institution is not required to comply with the Community Reinvestment Act, the state treasurer shall not use that fact, either favorably^* or negatively, in depositing, continuing a demand deposit, or reissuing a demand deposit of state funds.

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(L. 1998 S.B. 792)

*Word "favorable" appears in original rolls.