SB 381--
Session of 1997
By Committee on Federal and State Affairs

9 AN ACT relating to banks and banking; providing for a prohibition on 10 merger transactions involving out-of-state banks and on interstate 11 branching by merger or acquisition. 12 13 Be it enacted by the Legislature of the State of Kansas: 14 Section 1. Notwithstanding any other law, pursuant to section 15 44(a)(2) of the federal deposit insurance act, 12 U.S.C. 1831u(a)(2), a 16 Kansas bank may not engage in a merger transaction involving an out-of- 17 state bank. 18 Sec. 2. For the purposes of this act: 19 (a) ``Bank'' means an insured bank as defined in section 3(h) of the 20 federal deposit insurance act, 12 U.S.C. 1813(h); 21 (b) ``Kansas bank'' means any bank, as defined in subsection (a), 22 which, in the case of a state chartered bank, is a bank chartered under 23 the authority of the state of Kansas, and, in the case of a national banking 24 association, is a bank with the bank's main office located in Kansas; 25 (c) ``out-of-state bank'' means a bank that is: 26 (1) A national bank having the bank's main office in a state other than 27 this state; or 28 (2) a state-chartered bank chartered by a state other than this state; 29 (d) ``merger transaction'' has the meaning defined in section 44 (f)(7) 30 of the federal deposit insurance act, 12 U.S.C. 1831u(f)(7), and includes 31 12 U.S.C. 1828(c)(1) and (2). 32 Sec. 3. The provisions of this bill shall be subject to review by the 33 legislature on or after July 1, 2000. 34 Sec. 4. This act shall take effect and be in force from and after its 35 publication in the Kansas register.