Session of 1998
Substitute for SENATE BILL No. 574
By Committee on Financial Institutions and Insurance
            9             AN ACT concerning banks and trust companies; powers of bank com-
10             missioner; amending K.S.A. 1997 Supp. 9-1715 and repealing the ex-
11             isting section.
13       Be it enacted by the Legislature of the State of Kansas:
14           Section 1. K.S.A. 1997 Supp. 9-1715 is hereby amended to read as
15       follows: 9-1715. (a) The commissioner shall have the power to authorize
16       any or all state banks to engage in any activity in which such banks could
17       engage were they operating as national banks at the time such authority
18       is granted, including but without limitation because of enumeration the
19       power to do any act, and own, possess and carry as assets, property of
20       such character including stocks, bonds or other debentures which, at the
21       time authority is granted, is authorized under federal laws and regulations
22       to be done by national banks notwithstanding any restriction elsewhere
23       contained in the statutes of the state of Kansas. This power shall include
24       the power to authorize any or all Kansas trust companies to engage in
25       any trust related activity in which the trust department of a national bank
26       with trust powers could engage at the time authority is granted. This
27       power shall be in addition to any and all other powers granted to the
28       commissioner.
29           (b) The commissioner shall exercise the power granted in subsection
30       (a) by the issuance of a special order if the commissioner deems it rea-
31       sonably required to preserve and protect the welfare of a particular in-
32       stitution, or if the commissioner deems it reasonably required to preserve
33       the welfare of all state banks or trust companies and to promote com-
34       petitive equality of state and national banks. Such special order shall pro-
35       vide for the effective date thereof and upon and after such date shall be
36       in full force and effect until amended or revoked by the commissioner.
37       Promptly following issuance, the commissioner shall cause a copy of each
38       special order to be mailed to all state banks and trust companies.
39           (c) When the legislature is in session, within one week after the state
40       bank commissioner issues any special order under this section, the com-
41       missioner shall appear before the senate standing committee on financial
42       institutions and insurance and the house of representative's standing com-
43       mittee on financial institutions. At such meeting the commissioner shall

Sub. SB 574


  1       distribute copies of the special order, together with copies of the economic
  2       impact statement applicable thereto. The economic impact statement shall
  3       include: A description of the cost or benefit, the persons who will bear the
  4       costs or receive the benefit and those who will be affected by the special
  5       order, including the agency issuing the special order, other governmental
  6       agencies or units, private citizens and consumers of the products or serv-
  7       ices which are the subject of the special order or enforcement thereof. The
  8       required statement shall be made by the commissioner, who may receive
  9       assistance therefor from the division of the budget and all state agencies
10       from whom information is requested.
11           (c) (d) The commissioner, at the time of issuing any special order
12       pursuant to this section, shall submit a written report, including copies of
13       such special order and the economic impact statement required by sub-
14       section (c), to the president and the minority leader of the senate and the
15       chairperson and ranking minority member of the senate standing com-
16       mittee on financial institutions and insurance, and to the speaker and the
17       minority leader of the house of representatives and the chairperson and
18       ranking minority member of the house of representatives standing com-
19       mittee on financial institutions. If requested by the chairperson of one or
20       both of such committees, the commissioner shall appear before such com-
21       mittee or committees to respond to questions members of such committee
22       or committees may have, and to provide copies of such written report to
23       members of such committee or committees.
24           (d) (e) The issuance of special orders under this section shall not be
25       subject to the provisions of article 4 of chapter 77 of the Kansas Statutes
26       Annotated.
27           Sec. 2. K.S.A. 1997 Supp. 9-1715 is hereby repealed.
28           Sec. 3. This act shall take effect and be in force from and after its
29       publication in the statute book.