Bill > SB1279

This bill amends Tennessee banking regulations by granting the state banking commissioner expanded authority to determine deposit insurance requirements for state banks. Specifically, the commissioner can now decide the type, amount, and other characteristics of deposit insurance each state bank must maintain, based on five key considerations: (1) the bank's safety and soundness, (2) its ability to promote economic progress in Tennessee, (3) public confidence in the banking system, (4) views of the state banking industry, and (5) any other factors the commissioner deems relevant. The bill also explicitly authorizes the commissioner to create administrative rules to implement these new provisions, with such rules to be developed in accordance with the Uniform Administrative Procedures Act. This legislation is designed to provide more flexible oversight of state bank deposit insurance, allowing the commissioner to make more nuanced, context-specific determinations about insurance requirements. The bill is set to take effect on July 1, 2025, and was originally introduced as Senate Bill No. 1279.

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https://wapp.capitol.tn.gov/apps/Billinfo/default.aspx?BillNumber=SB1279&ga=114