SENATE BILL REPORT

                   HB 1891

              As Reported By Senate Committee On:

       Financial Institutions & Housing, March 23, 1995

Title:  An act relating to state‑chartered financial institutions parity with federally chartered financial institutions.

Brief Description:  Providing parity among financial institutions.

Sponsors:  Representatives Smith, Wolfe and L. Thomas.

Brief History:

Committee Activity:  Financial Institutions & Housing:  3/23/95 [DP].

SENATE COMMITTEE ON FINANCIAL INSTITUTIONS & HOUSING

Majority Report:  Do pass.

  Signed by Senators Prentice, Chair; Fraser, Vice Chair; Hale, Roach, Sellar, Smith and Sutherland.

Staff:  Erika Lim (786-7488)

Background:  All financial institutions must be chartered by either the state or the federal government.  State-chartered and federally-chartered institutions are subject to different regulations. 

Summary of Bill:  When adopting rules governing the lending limits of state-chartered financial institutions, the Director of the Office of Financial Institutions is guided by rules governing lending limits of federally-chartered financial institutions. 

The requirement that banks and trust companies publish call reports in newspapers is repealed.  However, the director must provide a copy of a call report, free of charge, to anyone who requests one.

Appropriation:  None.

Fiscal Note:  Not requested.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  This bill will make regulations covering state-chartered financial institutions comparable to those covering federally-chartered financial institutions.

Testimony Against:  None.

Testified:  Meara Nisbet, WBA (pro); Parker Cann, DFI; M.D. Edwards, Scott Nelson, WA Independent Community Bankers Assn.