On Apr. 10, KNS LEG reported re banking code, trust companies bill.
KNS LEG enacted Bill SB 139 to amend banking code definitions, terms and conditions.
Amended provisions under Kansas statutes annotated,KNS FIN 9 re bank branches, BHC, supervision, violations, and repealed KNS FIN 9-2101 and KNS FIN 16-842.
Banking Code Revisions
Revises the definition of branch bank, and remote service unit to include online computer terminals which that may be equipped with a telephone or televideo device.
Each bank/trust company will file oath with commissioner within 15 days of election of officer or director and commissioner may require the oath to be filed electronically.
Bank and trust company will notify commissioner of CEO, president or director that is voluntarily or involuntarily relieved from the position duties within 5 business days.
Also, bank or trust company that will cease to exist after approved merger transaction will have charter deemed void on next business day after merger consummation date.
It is unlawful for any individual, firm or corporation to advertise, publish/communicate that they are engaged in trust business without first getting commissioner authority.
Exempt if the entity is a federally insured bank or credit union and has authorization from another State or the Federal government to engage in trust business in Kansas.
Removed certain requirements to apply for entity authority with the commissioner.
If originating trustee or financial institution is transferring over 50% of total fiduciary accounts, commissioner will require written Board action and proof of published notice.
Notice will be published on same day and every day thereafter for two consecutive weeks and provide comment period of not less than 10 days after second publication.
Commissioner may require any nonresident trust company to meet the greater of the requirements under the banking code/laws of the nonresident company home state.
Legislative History
On Jan. 31, 2025, bill introduced in Senate; on Feb. 19, 2025, bill passed in Senate.
On Feb. 20, 2025, bill delivered to House; on Mar. 17, 2025, bill was passed in House.
On Apr. 10, 2025, notified that bill was approved by the governor on Apr. 8, 2025.
Effectiveness
Act takes effect and be in force from and after its publication in the statute book.
Kansas acts generally published in statute book on Jul. 1 of the year that bill passed.
