ALBANY, N.Y. -- Credit unions here are renewing their efforts to change a century-old law that bans state and local governments from depositing money in any financial institution other than a commercial bank.
Eleven executives from credit unions in the Empire State and four lobbyists for the New York State Credit Union League met with 19 lawmakers and their staffs last week to discuss efforts to change a law that permits state and local governments to only deposit money in commercial banks.
"The law addressing municipal funds was enacted in 1909. Credit unions did not exist in New York 100 years ago. Clearly it is time to fix this antiquated law and allow municipalities the depository options they are seeking," said William J. Mellin, president/CEO of the New York State Credit Union League, Inc.
Three bills have been introduced in the New York State legislature on this subject