0001| HOUSE BILL 954 | 0002| 43rd legislature - STATE OF NEW MEXICO - first session, 1997 | 0003| INTRODUCED BY | 0004| KIP W. NICELY | 0005| | 0006| | 0007| | 0008| | 0009| | 0010| AN ACT | 0011| RELATING TO FINANCIAL INSTITUTIONS; AMENDING SECTION 58-9-8.1 | 0012| NMSA 1978 (BEING LAWS 1979, CHAPTER 190, SECTION 5, AS AMENDED) | 0013| TO ALLOW TRUST COMPANIES TO HAVE BRANCH OFFICES THROUGHOUT THE | 0014| STATE. | 0015| | 0016| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0017| Section 1. Section 58-9-8.1 NMSA 1978 (being Laws 1979, | 0018| Chapter 190, Section 5, as amended) is amended to read: | 0019| "58-9-8.1. PRINCIPAL AND BRANCH OFFICES.-- | 0020| A. A trust company may establish its principal | 0021| office in any county. | 0022| B. A trust company actively engaged in trust | 0023| business may establish one or more branch offices subject to | 0024| the restrictions in Subsection D of this section and after | 0025| obtaining the approval of the director ~~[of the financial~~ | 0001| ~~institutions division]~~ as provided in Subsection C of this | 0002| section. | 0003| C. A trust company seeking to establish a branch | 0004| office shall submit an application, together with an | 0005| investigation fee of two hundred dollars ($200), to the | 0006| director ~~[of the financial institutions division]~~. After | 0007| considering the financial condition of the trust company, the | 0008| adequacy of its capital structure, its future earnings and | 0009| prospects, the general character of its management and any | 0010| other matter he deems relevant, the director may approve the | 0011| application if he finds: | 0012| (1) that the establishment of the branch will | 0013| meet the needs and promote the convenience of the community to | 0014| be served; and | 0015| (2) that the probable volume of business and | 0016| reasonable public demand in the community are sufficient to | 0017| assure and maintain the solvency of the branch and the trust | 0018| company. | 0019| D. Except as provided in Subsection G of this | 0020| section, branch offices shall be | 0021| ~~[(1)]~~ operated as branches of and under the | 0022| name of the parent trust company and under the control and | 0023| direction of the board of directors and executive officers of | 0024| the parent trust company ~~[and~~ | 0025| ~~(2) located in the same county in which the~~ | 0001| ~~principal office is located]~~. | 0002| E. The provisions of this section shall not apply | 0003| to branch offices in existence on the effective date of this | 0004| section. | 0005| F. For the purposes of this section, "branch | 0006| office" means an office, other than a principal office, used | 0007| for the conduct of trust business and includes any additional | 0008| house, office, agency or place of business which is open to the | 0009| public for the conduct of such business and further includes | 0010| any office connected to the principal office by subterranean or | 0011| overhead passageways through which trust company personnel may | 0012| pass. | 0013| G. The furnishing of trust services by a trust | 0014| company affiliate of a bank holding company in the building in | 0015| which any banking subsidiary of the bank holding company has | 0016| its principal office or a manned branch office shall not | 0017| constitute the operation of a branch office as prohibited by | 0018| this section. As used in this subsection: | 0019| (1) "banking subsidiary" means a bank eighty | 0020| percent or more of the voting shares of which are owned by the | 0021| bank holding company; and | 0022| (2) "affiliate", with respect to a bank | 0023| holding company, means any company eighty percent or more of | 0024| the voting shares of which are owned by the bank holding | 0025| company. | 0001| H. Copies of all records of accounts may be | 0002| maintained at the principal office of the trust company or may | 0003| be maintained at a branch office of the trust company where the | 0004| accounts are administered, if appropriate safety and security | 0005| is provided. | 0006| I. Nonprofit corporations shall be exempt from the | 0007| requirements of this section." | 0008| | 0009| State of New Mexico | 0010| House of Representatives | 0011| | 0012| FORTY-THIRD LEGISLATURE | 0013| FIRST SESSION, 1997 | 0014| | 0015| | 0016| March 15, 1997 | 0017| | 0018| | 0019| Mr. Speaker: | 0020| | 0021| Your BUSINESS AND INDUSTRY COMMITTEE, to whom | 0022| has been referred | 0023| | 0024| HOUSE BILL 954 | 0025| | 0001| has had it under consideration and reports same with | 0002| recommendation that it DO PASS. | 0003| | 0004| Respectfully submitted, | 0005| | 0006| | 0007| | 0008| | 0009| | 0010| Fred Luna, Chairman | 0011| | 0012| | 0013| Adopted Not Adopted | 0014| | 0015| (Chief Clerk) (Chief Clerk) | 0016| | 0017| Date | 0018| | 0019| The roll call vote was 7 For 0 Against | 0020| Yes: 7 | 0021| Excused: Alwin, Getty, Gubbels, Rodella, J.G. Taylor, Varela | 0022| Absent: None | 0023| | 0024| | 0025| G:\BILLTEXT\BILLW_97\H0954 | 0001| | 0002| FORTY-THIRD LEGISLATURE | 0003| FIRST SESSION, 1997 | 0004| | 0005| | 0006| March 18, 1997 | 0007| | 0008| Mr. President: | 0009| | 0010| Your CORPORATIONS & TRANSPORTATION COMMITTEE, to | 0011| whom has been referred | 0012| | 0013| HOUSE BILL 954 | 0014| | 0015| has had it under consideration and reports same with | 0016| recommendation that it DO PASS. | 0017| | 0018| Respectfully submitted, | 0019| | 0020| | 0021| | 0022| | 0023| __________________________________ | 0024| Roman M. Maes, III, Chairman | 0025| | 0001| | 0002| | 0003| Adopted_______________________ Not | 0004| Adopted_______________________ | 0005| (Chief Clerk) (Chief Clerk) | 0006| | 0007| | 0008| | 0009| Date ________________________ | 0010| | 0011| | 0012| The roll call vote was 7 For 0 Against | 0013| Yes: 7 | 0014| No: 0 | 0015| Excused: Fidel, Howes, Robinson | 0016| Absent: None | 0017| | 0018| | 0019| H0954CT1 |