Florida Senate - 2011                        COMMITTEE AMENDMENT
       Bill No. SB 1332
       
       
       
       
       
       
                                Barcode 598928                          
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  03/16/2011           .                                
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       The Committee on Banking and Insurance (Richter) recommended the
       following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete lines 922 - 943
    4  and insert:
    5         Section 19. Subsections (3), (4), and (25) of section
    6  658.12, Florida Statutes, are amended to read:
    7         658.12 Definitions.—Subject to other definitions contained
    8  in the financial institutions codes and unless the context
    9  otherwise requires:
   10         (3) “Banker’s bank” means a bank insured by the Federal
   11  Deposit Insurance Corporation, or a holding company which owns
   12  or controls such an insured bank, if a minimum of 75 percent of
   13  when the stock of such bank or holding company is owned
   14  exclusively by other banks, the bank is organized solely to do
   15  business with other financial institutions, and the bank does
   16  not do business with the general public and such bank or holding
   17  company and all subsidiaries thereof are engaged exclusively in
   18  providing services for other financial institutions and their
   19  officers, directors, and employees.
   20         (4) “Branch” or “branch office” of a bank means any office
   21  or place of business of a bank, other than its main office and
   22  the facilities and operations authorized by ss. 658.26(4),
   23  658.65, and 660.33, at which deposits are received, checks are
   24  paid, or money is lent. With respect to a bank that which has a
   25  trust department, the terms “branch” and “branch office” have
   26  the meanings herein ascribed to a branch or a branch office of a
   27  trust company and mean. “Branch” or “branch office” of a trust
   28  company means any office or place of business of a trust
   29  company, other than its main office and its trust service
   30  offices established pursuant to s. 660.33, where trust business
   31  is transacted with its customers.
   32         (25) Terms used but not defined in this code, but which are
   33  defined in Revised Article 3 or Article 4 of the Uniform
   34  Commercial Code as enacted in chapters 673 and 674 shall, in
   35  this code, unless the context otherwise requires, have the
   36  meanings ascribed to them in chapters 673 and 674.
   37         Section 20. Section 658.165, Florida Statutes, is amended
   38  to read:
   39         658.165 Banker’s banks; formation; applicability of
   40  financial institutions codes; exceptions.—
   41         (1) If When authorized by the office, a corporation may be
   42  formed under the laws of this state for the purpose of becoming
   43  a banker’s bank. An application for authority to organize a
   44  banker’s bank is subject to the provisions of ss. 658.19,
   45  658.20, and 658.21, except that s. the provisions of ss.
   46  658.20(1)(b) and (c) and the minimum stock ownership
   47  requirements for the organizing directors provided in s.
   48  658.21(2) do not apply.
   49         (2) A banker’s bank chartered pursuant to subsection (1) is
   50  shall be subject to the provisions of the financial institutions
   51  codes and rules adopted thereunder; and, except as otherwise
   52  specifically provided herein or by rule or order of the
   53  commission or office, a banker’s bank is shall be vested with or
   54  subject to the same rights, privileges, duties, restrictions,
   55  penalties, liabilities, conditions, and limitations that would
   56  apply to a state bank. A banker’s bank is organized solely to do
   57  business with other financial institutions, and is not deemed to
   58  be doing business with the general public even if, as an
   59  incidental part of its activities, it does business to a limited
   60  extent with entities and persons other than financial
   61  institutions as follows:
   62         (a) The range of customers with which the banker’s bank
   63  does business is limited to financial institutions, including
   64  subsidiaries or organizations owned by financial institutions;
   65  directors, officers, or employees of the same or other financial
   66  institutions; individuals whose accounts are acquired at the
   67  request of a financial institution’s supervisory authority due
   68  to the actual or impending failure of a financial institution;
   69  and financial institution trade associations; and
   70         (b) The banker’s bank does not make loans to, or
   71  investments in, entities and persons other than financial
   72  institutions which exceed 10 percent of the banker’s bank’s
   73  total assets, and the banker’s bank does not receive deposits
   74  from, or issue other liabilities to, entities and persons other
   75  than financial institutions which exceed 10 percent of the
   76  banker’s bank total liabilities.
   77         (3) Notwithstanding any other provision of this chapter, a
   78  banker’s bank may repurchase, for its own account, shares of its
   79  own capital stock; however, the outstanding capital stock may
   80  not be reduced below the minimum required by this chapter
   81  without the prior approval of the office.
   82         (4) A banker’s bank may provide services at the request of
   83  financial institutions in organization organizations that have:
   84         (a) Received conditional regulatory approval from the
   85  office in the case of a state bank or trust company, or from the
   86  appropriate state regulatory agency in the case of an out-of
   87  state bank or trust company, or received preliminary approval
   88  from the Office of the Comptroller of the Currency in the case
   89  of a national bank.
   90         (b) Filed articles of incorporation or organization
   91  pursuant to s. 658.23 in the case of a state bank or trust
   92  company, or pursuant to applicable state law in the case of an
   93  out-of-state bank or trust company, or filed acceptable articles
   94  of incorporation and an organization certificate in the case of
   95  a national bank.
   96         (c) Received capital funds in an amount not less than the
   97  minimum capitalization required in any notice of or order
   98  granting conditional regulatory approval.
   99         (5) A banker’s bank may provide services to the organizers
  100  of a proposed financial institution in organization which that
  101  has not received conditional regulatory approval if provided
  102  that such services are limited to the financing of the expenses
  103  of organizing such proposed financial institution and expenses
  104  relating to the acquisition or construction of the institution’s
  105  proposed operating facilities and associated fixtures and
  106  equipment.
  107         (6) If the commission or office finds that any provision of
  108  this chapter is inconsistent with the purpose for which a
  109  banker’s bank is organized and that the welfare of the public or
  110  any financial institution would not be jeopardized thereby, the
  111  commission, by rule, or the office, by order, may exempt a
  112  banker’s bank from such provision or limit the application
  113  thereof.
  114  
  115  ================= T I T L E  A M E N D M E N T ================
  116         And the title is amended as follows:
  117         Delete lines 43 - 45
  118  and insert:
  119         F.S.; revising the definition of “banker’s bank”;
  120         conforming a cross-reference; deleting a provision
  121         relating to the application of definitions in the
  122         financial institutions codes; amending s. 658.165,
  123         F.S.; revising provisions relating to banker’s banks;
  124         specifying the type of business such a bank may do
  125         with entities or individuals that are not banks;
  126         revising provisions relating to the services a
  127         banker’s bank may provide to financial institutions in
  128         organization; repealing s.