Among the legislation enacted during 1997, the Riegle–Neal Amendments Act, the Treasury appropriation for fis- cal year 1998, the Depository Institu- tions Disaster Relief Act, the 50 States Commemorative Coin Program Act, and an act authorizing the sale of the Culpeper facility of the Federal Reserve Bank of Richmond to the Architect of the Capitol directly affect the Federal Reserve System or the institutions it regulates.
Riegle–Neal Amendments Act
In 1994, the Congress enacted the Riegle–Neal Interstate Banking and Branching Act (Riegle–Neal Act) to establish a framework that would gov- ern interstate branching. The Riegle– Neal Act permits banks to establish interstate branches through mergers with other banks, except in states that affir- matively chose, on or before June 1, 1997, not to permit interstate branching within their borders.
The Riegle–Neal Amendments Act (Pub. L. 105–24, 111 Stat. 238) (the act) provides that an insured state-chartered bank that establishes a branch in a host state may conduct any ‘‘activity’’ at the branch that is permissible under the laws of the bank’s home state, so long as the ‘‘activity’’ is permissible for a bank chartered by the host state or for an out-of-state national bank branch located in the host state. For example, the activities of a branch of a New Jer- sey state-chartered bank located in New York (host state) would be gov- erned by New Jersey state banking law (home state law) so long as the activities are permissible under New York state
law or are permissible for out-of-state national bank branches located in New York. The act also provides that the laws of the host state, including laws regarding community reinvestment, con- sumer protection, fair lending, and establishment of intrastate branches, apply to any out-of-state, state-chartered bank branch located in a host state to the same extent that the host state’s laws apply to an out-of-state, national bank branch located in the host state. To the extent that the host state’s laws do not apply to the out-of-state branch, the home state’s laws apply to the branch.
Before it was amended, the Riegle– Neal Act provided that an out-of-state bank that establishes a branch in a host state could not conduct any activity at that branch that was not permissible for a bank chartered by the host state and that the host state’s laws applied to the out-of-state branch to the same extent that they applied to a branch of a bank chartered by the host state.
Treasury Appropriation for Fiscal Year 1998
The Treasury appropriation for fiscal year 1998 (Pub. L. 105–61, 111 Stat. 1272) authorizes a permanent indefi- nite appropriation to reimburse Fed- eral Reserve Banks for fiscal agency services rendered to the Treasury Department.
Depository Institutions Disaster Relief Act
The Depository Institutions Disaster Relief Act (Pub. L. 105–18, 111 Stat. 211) (the act) granted the Board of