HB3804 - Relating to the regulation of state banks.

      H.B. No. 3804         AN ACT   relating to the regulation of state banks.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 31.002(a)(15), Finance Code, is amended   to read as follows:                (15)  "Deposit" means the establishment of a   debtor-creditor relationship represented by the agreement of the   deposit debtor to act as a holding, paying, or disbursing agent for   the deposit creditor.  The term:                      (A)  includes:                            (i)  an unpaid balance of money that is   received by the deposit debtor in the usual course of business in   exchange for conditional or unconditional credit to a commercial,   checking, savings, or time account of the deposit creditor or the   creditor's designee, or that is evidenced by a certificate of   deposit or similar instrument, a certified check or draft drawn   against a deposit account, or a letter of credit or traveler's check   on which the deposit debtor is primarily liable, but excluding an   obligation arising under Chapter 152 [ 151 ];                            (ii)  money or credit given for money   received by the deposit debtor in the usual course of business for a   special purpose, including money:                                  (a)  held as escrow money, as security   for an obligation due to the deposit debtor or another person, or as   security for a loan;                                  (b)  left with a deposit debtor by a   deposit creditor to meet maturing obligations that are not yet due;   and                                  (c)  held by the deposit debtor to meet   an acceptance or letter of credit;                            (iii)  an outstanding draft, cashier's   check, money order, or other officer's check issued by the deposit   debtor in the usual course of business for any purpose, including   payment for services, dividends, or purchases; and                            (iv)  an obligation that the finance   commission by rule defines as a deposit liability, except that the   term may not include money received for immediate application to   reduction of an indebtedness; and                      (B)  does not include an obligation that this   subtitle or finance commission rule determines not to be a deposit   liability.          SECTION 2.  Section 33.005, Finance Code, is amended to read   as follows:          Sec. 33.005.  EXEMPTIONS. The following acquisitions are   exempt from Section 33.001:                (1)  an acquisition of securities in connection with   the exercise of a security interest or otherwise in full or partial   satisfaction of a debt previously contracted for in good faith and   the acquiring person files written notice of acquisition with the   banking commissioner before the person votes the securities   acquired;                (2)  unless the banking commissioner provides   otherwise in writing, an acquisition of voting securities in any   class or series by a controlling person who[ :                      [ (A) ]  was identified as a controlling person of   the [ in a ] state bank in a prior application filed with and approved   by the banking commissioner and: [ ; ]                       (A)  [ (B) ]  has from the date of receipt of   approval under this subchapter continuously held power to vote 25   percent or more of any class of voting securities of the state bank;   or                       (B)  [ (C) ]  is considered to have from the date of   receipt of approval under this subchapter continuously controlled   the state bank under Section 33.001(b);                (3)  an acquisition or transfer by operation of law,   will, or intestate succession and the acquiring person files   written notice of acquisition with the banking commissioner before   the person votes the securities acquired;                (4)  a transaction subject to Chapter 202 if:                      (A)  the acquiring bank holding company currently   owns and controls a state bank; or                      (B)  the post-transaction controlling person is   identified as the controlling person in a merger or other   acquisition-related application filed with the banking   commissioner concurrently with the submission required by Section   202.001; and                (5)  a transaction exempted by the banking commissioner   or by rules adopted under this subtitle because the transaction is   not within the purposes of this subchapter or the regulation of the   transaction is not necessary or appropriate to achieve the   objectives of this subchapter.          SECTION 3.  Section 35.106, Finance Code, is amended to read   as follows:          Sec. 35.106.  AUTHORITY OF SUPERVISOR. During a period of   supervision, a bank, without the prior approval of the banking   commissioner or the supervisor or as otherwise permitted or   restricted by the order of supervision, may not:                (1)  dispose of, sell, transfer, convey, or encumber   the bank's assets;                (2)  lend or invest the bank's money;                (3)  incur a debt, obligation, or liability;                (4)  pay a [ cash ] dividend to the bank's shareholders;                (5)  remove an executive officer or director, change   the number of executive officers or directors, or have any other   change in the position of executive officer or director; or                (6)  engage in any other activity determined by the   banking commissioner to threaten the safety and soundness of the   bank.          SECTION 4.  This Act takes effect immediately if it receives   a vote of two-thirds of all the members elected to each house, as   provided by Section 39, Article III, Texas Constitution.  If this   Act does not receive the vote necessary for immediate effect, this   Act takes effect September 1, 2025.       ______________________________ ______________________________      President of the Senate Speaker of the House                   I certify that H.B. No. 3804 was passed by the House on April   30, 2025, by the following vote:  Yeas 135, Nays 0, 2 present, not   voting.     ______________________________   Chief Clerk of the House                 I certify that H.B. No. 3804 was passed by the Senate on May   25, 2025, by the following vote:  Yeas 31, Nays 0.     ______________________________   Secretary of the Senate       APPROVED:  _____________________                      Date                           _____________________                    Governor