[Congressional Record Volume 140, Number 53 (Thursday, May 5, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: May 5, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
                      S. 1963--INTERSTATE BANKING

 Mr. KERREY. Mr. President, I support S. 1963 as an effort to 
improve the efficiency and stability of our banking system. It is 
vital, however, as we seek to accomplish that goal, that we also ensure 
that State regulatory interests and responsibilities are protected and 
maintained.
  Obviously, the benefits of interstate branching--allowing banks to 
follow their customers; promoting greater efficiency in the banking 
system; permitting American banks to become stronger global competitors 
and permitting banks to diversify their asset portfolios--are important 
to both the banking community and to consumers.
  But it is equally important to consumers and our dual banking system 
that State regulatory interests and responsibilities are protected. 
State-chartered banks have served their local communities well. States 
have sought to protect consumers through their regulatory processes and 
it is vital that these processes be safeguarded.
  Toward that end, I support the House version. This bill makes no 
distinction between national banks and State-chartered banks in 
interstate branching. This would ensure that interstate branches would 
be subject to State law. With the best interests of Nebraska in mind, I 
will urge the conferees to accede to the House version.
  It is also important that the period for States to consider 
interstate branching be extended to allow States sufficient time to 
fully examine the impact and determine if they should opt out or 
implement the legislation. States need time to address necessary 
changes in the areas of taxation, consumer protection and bank 
regulation. I support the Senate's action to give States until June 1, 
1997 to consider interstate branching.
  Mr. President, I hope that in conference, these changes will be 
adopted and included in the final version of the bill to make S. 1963 a 
better package to reform interstate banking.

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