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A11309 Summary:

COSPNSRStirpe, Ra, D'Urso, Davila
Add 46, Bank L
Establishes the office of financial resilience to develop and implement new programs and initiatives for the purpose of supporting local economies and promoting resilient financial models.
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A11309 Memo:

submitted in accordance with Assembly Rule III, Sec 1(f)
SPONSOR: Rules (Kim)
  TITLE OF BILL: An act to amend the banking law, in relation to estab- lishing the office of financial resilience   PURPOSE OR GENERAL IDEA OF THE BILL: Create a new Section 46, under Article 2 of the Banking Law, to direct the Department of Financial Services to establish a "Chief Financial Resilience Officer" and "Chief Cooperative Economist", who will create and develop new programs at the Department of Financial Services that help communities build resilient local economies based on cooperative and peer-to-peer economic models.   SUMMARY OF SPECIFIC PROVISIONS: Section 1 will set forth the creation of the "Chief Financial Resilience Officer" and "Chief Cooperative Economist" roles at the Department of Financial Services. Section 2 of the bill will outline the Chief Financial Resilience Offi- cer and Chief Cooperative Economist's roles and responsibilities, including overseeing programs and initiatives that: foster financial resilience among local communities; assist local economies with struc- turing blockchain-backed solutions to support small businesses; help local merchants and citizens setup community currencies designed to incentivize people to shop locally. Section 2-b states that this office will conduct workshops, offer assistance and guidance, and advocate on behalf of constituents with regulators. Section 3 of the bill states that this act shall take effect immediate- ly.   JUSTIFICATION: As the financial capital of the world, New York must take the lead in creating a more resilient financial system that supports local economic growth. As the nation's first government office dedicated to this mission, the Office of Financial Resilience will be a full time team, led by the Chief Financial Resilience Officer and Chief Cooperative Economist, focuses on implementing blockchain-backed technologies designed to build cooperative and peer-to-peer local economies. Every day, based on a debt-driven growth model, our financial system sustains an outdated paradigm of uncontrolled competition and profit at all costs, fueling a society that widens the gap between the wealthy and the poor. Consequently, more Americans are living pay check to pay check than ever before while countless companies profit from a national fiat currency system, one that has even begun to monetize things such as college education, natural catastrophes, and our criminal justice system. For example, our current interest and loan-based competitive financial models have led to a student-debt crisis of over one trillions dollars in cumulative debt, turning our young people into "wage slaves": https://www.cnbc.com/id/44958852. Instead of aiding all of these students and new workers, Congress has passed legislation to expand banks' abilities to collect debt from them. As it cripples the aspirations and dreams of future generations with a lifetime of debt, our current economic paradigm has enriched and empowered multinational corporations that extract resources from local communities at an unprecedented rate. Prime examples such as Facebook, Amazon, Uber, and big chain stores mine revenue, data, and personal information from people and their neighborhoods every day while giving back little in return. The Office of Financial Resilience will be tasked with reversing this trend and advancing a bottom-up economic system that adds intrinsic value to local neighborhoods.   PRIOR LEGISLATIVE HISTORY: This is a new bill.   FISCAL IMPLICATIONS: To be determined.   EFFECTIVE DATE: This act shall take effect immediately.
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A11309 Text:

                STATE OF NEW YORK
                   IN ASSEMBLY
                                     August 15, 2018
        Introduced by COMMITTEE ON RULES -- (at request of M. of A. Kim, Stirpe,
          Ra, Davila) -- read once and referred to the Committee on Banks
        AN  ACT to amend the banking law, in relation to establishing the office
          of financial resilience
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  The  banking law is amended by adding a new section 46 to
     2  read as follows:
     3    § 46. Office of financial resilience. 1. There is  hereby  established
     4  within  the  department  the  office of financial resilience. The super-
     5  intendent shall appoint the chief financial resilience officer and chief
     6  cooperative economist who shall appoint staff  and  perform  such  other
     7  functions  to  ensure  the  efficient operation of the office within the
     8  amounts made available therefor by appropriation.
     9    2. The office of financial resilience shall have the power and respon-
    10  sibility to:
    11    (a) develop and implement new programs and initiatives for the purpose
    12  of supporting local economies and promoting resilient financial  models.
    13  Such programs and initiatives shall assist local communities in:
    14    (i) creating community currencies;
    15    (ii) building blockchain-backed solutions to support local growth;
    16    (iii)  learning  how  to implement cooperative and peer-to-peer econo-
    17  mies;
    18    (iv) implementing strategies that will help communities connect  unmet
    19  needs with resources; and
    20    (v) coordinating efforts to turn student debt into functioning curren-
    21  cies;
    22    (b)  conduct workshops on financial topics and offer financial assist-
    23  ance and guidance to local communities interested  in  building  cooper-
    24  ative and peer-to-peer systems; and
    25    (c) advocate on behalf of blockchain startups and companies focused on
    26  building and supporting local economies.
    27    § 2. This act shall take effect immediately.
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
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