HB 0418 Addresses Interstate Banking & Branching
Sponsor:COPELAND Handling House Bill:
Committee:FINA LR Number:L0831.04P
Last Action:04/18/95 - Voted do Pass S Financial & Governmental Operations Committee
Title:HCS/HB 418
Effective Date:Varies
All Actions | Senate Home Page | List of 1995 House Bills
Current Bill Summary

HCS/HB 418 - This act contains several provisions relating to banking.

Section 361.005 defines several key banking terms including "Foreign bank", "Home state", and "Out-of-state bank". Subsection 8 allows the Director of the Division of Finance to contract with out-of-state banking regulators regarding the examination of Missouri branches of out-of-state banks and branches of banks whose home state is Missouri.

Section 361.259 applies the Director's powers to out-of- state banks to the same extent such powers apply to Missouri banks. Section 362.077 prohibits a bank holding company from chartering a bank, trust company, or national bank located in Missouri, as well as acquiring a bank, trust company, or national bank located in Missouri, that has been in existence for less than 5 years. However, these prohibitions do not apply to the creation and acquisition of an interim bank charter created to facilitate the acquisition of an existing bank or trust company via a merger so long as the acquisition and merger are completed within 2 years. Section 362.077 seeks to implement a portion of the Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994, Public Law 103-328.

The definition of "bank" in section 362.910, RSMo, has been expanded to include "a branch of any bank, trust company or national banking association which accepts demand deposits and which has a physical presence in Missouri".

This act has 3 new sections. Section 1 allows a Missouri bank or trust company to "relocate its main banking house up to 30 miles to a location in another state". The procedures in section 1 include approval by the Director, reciprocity with the other state, and charter or certificate of incorporation requirements.

Section 2 provides authority for an out-of-state bank to "relocate its main banking house up to 30 miles to a location in Missouri". Section 3 details the application procedures an out- of-state bank must follow in order "to relocate its main banking house to Missouri."

Sections 1, 2 and 3 are considered emergency provisions and will become effective upon passage by the General Assembly and approval by the Governor. RONALD J. LEONE