Depositing Public Funds in Local Banks – Maryland (Proposed)

Date: 29 Mar 2010 | posted in: Banking | 0 Facebooktwitterredditmail

Sponsored by Bill Frick, a delegate to the Maryland General Assembly, this bill (HB 1325) would give local banks and credit unions a 10 percent pricing preference on bids to manage both state and municipal bank accounts.

Explaining the purpose of the bill, Frick asked, “Why do we want our state dollars going into Wall Street bonuses instead of local small business loans?” In an interview with the Wall Street Journal, Frick added, “The federally chartered institutions come in here and tell us we can’t regulate them because of federal pre-emption. We are powerless to stop them, yet we give them lucrative state contracts.”