The State Legislature is out on recess this week, and will return to Albany the week of February 24.
oint Legislative Budget Hearings Wrap Up
Joint Legislative Hearings on Governor Cuomo’s $178 billion 2020-2021 Executive Budget Proposal, coordinated by State Senate Finance Committee Chair Liz Krueger (D-Manhattan) and Assembly Ways and Means Committee Chair Helene Weinstein (D-Brooklyn), concluded February 13. Next, the Senate and Assembly will pass their one-house budget plans, and final negotiations between the legislative leadership and Governor’s office will take place in advance of the April 1 deadline.
Comptroller DiNapoli Analyzes The State Budget
According to State Comptroller DiNapoli, despite projections for healthy gains in tax receipts and continued growth in the economy the State Fiscal Year 2020-21 Executive Budget reflects significant fiscal challenges. They are partly related to higher than expected spending in the Medicaid program. With the April 1 budget deadline just over a month away, more than a third of the proposed nearly $7 billion gap-closing plan remains to be identified by the Medicaid Redesign Team. Thus, there remains uncertainty for Medicaid beneficiaries, providers, local governments and the state budget.
New State Legislative Activity
A.9797 (Hyndman), regarding data breaches. The bill would require businesses to notify of a data breach within 15 days to State agencies required under the law. It would also expand the list of State agencies that require notification to include the Department of Financial Services.
Provisions of the proposed state budget for FY 2020-21:
Permit NYS DFS to proceed against unlicensed entities by using the same administrative procedures used against licensed entities.
Permit banks to place a hold on bank accounts of vulnerable adults if a reasonable doubt exists there may be financial exploitation, and provides immunity for banks acting in good faith.
Thanks for your responses to our membership inquiry on how how your banks handle this issue.
Permit the State DFS to license debt collectors.
Establish employer mandated sick days as follows: businesses with between 5-to-99 employees would have to provide at least 5 days, and businesses with more than 100 employees must provide at least 7 days.
Make permanent the State DFS authority to use financial institution data match systems.
Other Previously Pending Legislation
A.9140 (Abinanti)/S.4188 (Kennedy),
the Assembly, would require financial institutions to notify a customer prior to charging a fee based on account inactivity. The legislation is currently on the floor in the Senate.
A.9141 (Abinanti)/S.1589 (Sanders)
, to establish the State Financial Literacy Commission to improve the financial literacy and financial capability of New York residents, has been approved by the the State Senate Banks Committee and reported to the Senate calendar.
A.9596 (Jean-Pierre)/S.2133 (Sanders)
would create the Consumer Overdraft Protection Act. It would limit overdraft fees over the course of one year to $100, including other additional charges and/or fees.
We know many of you have expressed concerns about this proposal, and IBANYS is working with the Legislature.