||Economic Development and Redevelopment | Finance and Money Management |
This bill would allow cities or counties submit applications to the Department of Community Affairs (DCA) to receive a designation of “banking improvement zone” (BIZ). Upon designation of a BIZ, a local government could select a depository and, subject to agreement with the financial institution, could through ordinance set a fixed interest rate either at or below the posted two-year certificate of deposit rate.
DCA would consider the following factors before designating a BIZ:
• Location, number and proximity of banking services;
• Consumer needs for banking services;
• Economic viability and local credit needs of the local government applicant;
• Existing commercial development in the proposed BIZ;
• Potential economic development impact of additional banking services.