Florida Banking July 2023

GOVERNMENT RELATIONS

THE 2023 SESSION WRAP UP

BY ANTHONY DIMARCO, FBA EXECUTIVE VICE PRESIDENT AND DIRECTOR OF GOVERNMENT AFFAIRS

T he 2023 Session is over. We are happy to report that many of the bad bills and amendments the FBA opposed did not pass. These include public deposits, interchange fees, PACE lending, and the IRS provisions. We were also able to amend language in several bills including the privacy bill and the merchant code bill. We were also able to pass two bills dealing with automobile liens and foreclosure priority. Overall, we are happy with how Session turned out, although we were unable to amend the ESG bill (HB 3). We have begun working with the Department of Financial Services (DFS) and the Office of Financial Regulation (OFR) on the bill’s implementation. We are also happy to report that the Senate removed the bad credit union language added by the House to the DFS package (HB 487). The language would have permitted any credit union to take public deposits if one bank dropped out of the QPD program. This issue is gone for the 2023 session, but they will be back in full force for the 2024 Session. The Governor even made a comment during his press conference when he signed HB 3, wondering why credit unions were not able to take public deposits. Finally, never did we think we would testify so many times in committee or ask you to answer so many Calls to Action. We thank you all for answering the numerous Calls to Action. While we do not always get the immediate reaction we want from legislators, it puts the heat on them to ultimately respond to our requests. Here is a short update of the host of issues we contended with in the Capitol. Watch for a more detailed End of Session Report on these issues and many more.

ESG – Signed HB 3 by Rep. Bob Rommel (R-Naples) was signed by the Governor where he also made a comment that his office will look into why credit unions are not QPDs. We have begun engaging with DFS and OFR on the bill’s implementation. We expect more information to be sent to you over the coming weeks. Credit Unions/Public Deposits – Dead They were back again trying to take your public deposits. Unfortunately, the bill had more legs than in years past, as it passed all of its House committees of reference. Thank you to all who have responded to our Calls to Action. Merchant Codes/Guns and Ammunition Stores – Signed SB 214 by Sen. Danny Burgess (R-Zephyrhills) prohibits financial institutions, the payment system, and others involved in the credit/debit card process from assigning a merchant category code (MCC) to a gun or ammunition store other than an MCC for sporting good or general merchandise store. The FBA was able to work on some amendment language to the bill. While SB 214 is not exactly how we would like it, it is an improvement over the bill that was originally filed. Interchange Fees – Dead The FBA also vigorously OPPOSED SB 7054 by Sen. Travis Hutson (R- Palm Coast). The legislation prohibited the collection of an interchange fee on the sales tax and tips portions of any transaction done with a credit or debit card. We suggested an alternative solution to the retailers to seek an increase in the sales tax collection rebate from the State to no avail.

12 — FLORIDA BANKING THE VOICE OF FLORIDA BANKING