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1 | AN ACT concerning regulation.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Illinois Banking Act is amended by adding | |||||||||||||||||||||
5 | Section 47.5 as follows: | |||||||||||||||||||||
6 | (205 ILCS 5/47.5 new) | |||||||||||||||||||||
7 | Sec. 47.5. Records and report; women-owned business, | |||||||||||||||||||||
8 | minority-owned business, and small business. | |||||||||||||||||||||
9 | (a) The purpose of this Section is to facilitate the | |||||||||||||||||||||
10 | enforcement of fair lending laws and enable communities, | |||||||||||||||||||||
11 | governmental entities, and creditors to identify business and | |||||||||||||||||||||
12 | community development needs and opportunities of women-owned | |||||||||||||||||||||
13 | businesses, minority-owned businesses, and small businesses. | |||||||||||||||||||||
14 | For the purposes of this Section, "women-owned business", | |||||||||||||||||||||
15 | "minority-owned business", and "small business" have the | |||||||||||||||||||||
16 | meanings as given to those terms in the Dodd-Frank Wall
Street | |||||||||||||||||||||
17 | Reform and Consumer Protection Act. | |||||||||||||||||||||
18 | (b) Subject to the requirements of this Section, for any | |||||||||||||||||||||
19 | application to a financial institution for credit, the | |||||||||||||||||||||
20 | financial institution shall: | |||||||||||||||||||||
21 | (1) inquire whether the business is a women-owned | |||||||||||||||||||||
22 | business, minority-owned business, or small business, | |||||||||||||||||||||
23 | without regard to whether the application is received in |
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1 | person, by mail, by telephone, by electronic mail or other | ||||||
2 | form of electronic transmission, or by any other means, and | ||||||
3 | whether the application is in response to a solicitation by | ||||||
4 | the financial institution; and | ||||||
5 | (2) maintain a record of the responses to the inquiries | ||||||
6 | separately from the application and accompanying | ||||||
7 | information on forms supplied by the Department. | ||||||
8 | Any applicant for credit may refuse to provide any | ||||||
9 | information requested pursuant to this subsection (b) in | ||||||
10 | connection with any application for credit. | ||||||
11 | (c) Where feasible, no loan underwriter or other officer or | ||||||
12 | employee of a financial institution, or any affiliate of a | ||||||
13 | financial institution, involved in making any determination | ||||||
14 | concerning an application for credit shall have access to any | ||||||
15 | information provided by the applicant pursuant to a request | ||||||
16 | under subsection (b) in connection with an application. | ||||||
17 | If a financial institution determines that a loan | ||||||
18 | underwriter or other officer, employee, or affiliate of a | ||||||
19 | financial institution involved in making any determination | ||||||
20 | concerning an application for credit should have access to any | ||||||
21 | information provided by the applicant pursuant to a request | ||||||
22 | under subsection (b), the financial institution shall provide | ||||||
23 | notice to the applicant of the access of the underwriter to the | ||||||
24 | information, along with notice that the financial institution | ||||||
25 | may not discriminate on the basis of the information. | ||||||
26 | (d) Each financial institution shall compile and maintain a |
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1 | record of the information provided by any loan applicant | ||||||
2 | pursuant to a request under subsection (b) on forms supplied by | ||||||
3 | the Department. | ||||||
4 | Information compiled and maintained under subsection (b) | ||||||
5 | shall be itemized in order to clearly and conspicuously | ||||||
6 | disclose: | ||||||
7 | (1) the number of the application and the date on which | ||||||
8 | the application was received; | ||||||
9 | (2) the type and purpose of the loan or other credit | ||||||
10 | being applied for; | ||||||
11 | (3) the amount of the credit or credit limit applied | ||||||
12 | for and the amount of the credit transaction or the credit | ||||||
13 | limit approved for the applicant; | ||||||
14 | (4) the type of action taken with respect to the | ||||||
15 | application and the date of the action; | ||||||
16 | (5) the census tract in which the principal place of | ||||||
17 | business of the women-owned business, minority-owned | ||||||
18 | business, or small business loan applicant is located; | ||||||
19 | (6) the gross annual revenue of the business in the | ||||||
20 | last fiscal year of the women-owned business, | ||||||
21 | minority-owned business, or small business loan applicant | ||||||
22 | preceding the date of the application; | ||||||
23 | (7) the race, sex, and ethnicity of the principal | ||||||
24 | owners of the business; and | ||||||
25 | (8) any additional data that the Department determines | ||||||
26 | would aid in fulfilling the purposes of this Section. |
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1 | (e) In compiling and maintaining any record of information | ||||||
2 | under this Section, a financial institution shall not include | ||||||
3 | in the record the name, specific address (other than the census | ||||||
4 | tract required by paragraph (5) of subsection (d)), telephone | ||||||
5 | number, electronic mail address, or any other personally | ||||||
6 | identifiable information concerning any individual who is, or | ||||||
7 | is connected with, the women-owned business, minority-owned | ||||||
8 | business, or small business loan applicant. | ||||||
9 | (f) The data required to be compiled and maintained under | ||||||
10 | this Section by the financial institution shall be submitted | ||||||
11 | annually to the Department. If the financial institution has | ||||||
12 | not received any credit applications from women-owned, | ||||||
13 | minority-owned, or small businesses, the financial institution | ||||||
14 | shall not be required to submit an annual report as required | ||||||
15 | under this Section. | ||||||
16 | (h) The Department shall adopt rules necessary to implement | ||||||
17 | this Section. | ||||||
18 | (i) This Section shall be operative only until the
| ||||||
19 | effective date of the federal regulations implementing
Section | ||||||
20 | 1071 of the federal Dodd-Frank Wall
Street Reform and Consumer | ||||||
21 | Protection Act. | ||||||
22 | Section 10. The Illinois Credit Union Act is amended by | ||||||
23 | adding Section 9.5 as follows: | ||||||
24 | (205 ILCS 305/9.5 new) |
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1 | Sec. 9.5. Records and report; women-owned business, | ||||||
2 | minority-owned business, and small business. | ||||||
3 | (a) The purpose of this Section is to facilitate the | ||||||
4 | enforcement of fair lending laws and enable communities, | ||||||
5 | governmental entities, and creditors to identify business and | ||||||
6 | community development needs and opportunities of women-owned | ||||||
7 | businesses, minority-owned businesses, and small businesses. | ||||||
8 | For the purposes of this Section, "women-owned business", | ||||||
9 | "minority-owned business", and "small business" have the | ||||||
10 | meanings as given to those terms in the Dodd-Frank Wall
Street | ||||||
11 | Reform and Consumer Protection Act. | ||||||
12 | (b) Subject to the requirements of this Section, for any | ||||||
13 | application to a credit union for credit, the credit union | ||||||
14 | shall: | ||||||
15 | (1) inquire whether the business is a women-owned | ||||||
16 | business, minority-owned business, or small business, | ||||||
17 | without regard to whether the application is received in | ||||||
18 | person, by mail, by telephone, by electronic mail or other | ||||||
19 | form of electronic transmission, or by any other means, and | ||||||
20 | whether the application is in response to a solicitation by | ||||||
21 | the credit union; and | ||||||
22 | (2) maintain a record of the responses to the inquiries | ||||||
23 | separately from the application and accompanying | ||||||
24 | information on forms supplied by the Department. | ||||||
25 | Any applicant for credit may refuse to provide any | ||||||
26 | information requested pursuant to this subsection (b) in |
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1 | connection with any application for credit. | ||||||
2 | (c) Where feasible, no loan underwriter or other officer or | ||||||
3 | employee of a credit union, or any affiliate of a credit union, | ||||||
4 | involved in making any determination concerning an application | ||||||
5 | for credit shall have access to any information provided by the | ||||||
6 | applicant pursuant to a request under subsection (b) in | ||||||
7 | connection with an application. | ||||||
8 | If a credit union determines that a loan underwriter or | ||||||
9 | other officer, employee, or affiliate of a credit union | ||||||
10 | involved in making any determination concerning an application | ||||||
11 | for credit should have access to any information provided by | ||||||
12 | the applicant pursuant to a request under subsection (b), the | ||||||
13 | credit union shall provide notice to the applicant of the | ||||||
14 | access of the underwriter to the information, along with notice | ||||||
15 | that the credit union may not discriminate on the basis of the | ||||||
16 | information. | ||||||
17 | (d) Each credit union shall compile and maintain a record | ||||||
18 | of the information provided by any loan applicant pursuant to a | ||||||
19 | request under subsection (b) on forms supplied by the | ||||||
20 | Department. | ||||||
21 | Information compiled and maintained under subsection (b) | ||||||
22 | shall be itemized in order to clearly and conspicuously | ||||||
23 | disclose: | ||||||
24 | (1) the number of the application and the date on which | ||||||
25 | the application was received; | ||||||
26 | (2) the type and purpose of the loan or other credit |
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1 | being applied for; | ||||||
2 | (3) the amount of the credit or credit limit applied | ||||||
3 | for and the amount of the credit transaction or the credit | ||||||
4 | limit approved for the applicant; | ||||||
5 | (4) the type of action taken with respect to the | ||||||
6 | application and the date of the action; | ||||||
7 | (5) the census tract in which the principal place of | ||||||
8 | business of the women-owned business, minority-owned | ||||||
9 | business, or small business loan applicant is located; | ||||||
10 | (6) the gross annual revenue of the business in the | ||||||
11 | last fiscal year of the women-owned business, | ||||||
12 | minority-owned business, or small business loan applicant | ||||||
13 | preceding the date of the application; | ||||||
14 | (7) the race, sex, and ethnicity of the principal | ||||||
15 | owners of the business; and | ||||||
16 | (8) any additional data that the Department determines | ||||||
17 | would aid in fulfilling the purposes of this Section. | ||||||
18 | (e) In compiling and maintaining any record of information | ||||||
19 | under this Section, a credit union shall not include in the | ||||||
20 | record the name, specific address (other than the census tract | ||||||
21 | required by paragraph (5) of subsection (d)), telephone number, | ||||||
22 | electronic mail address, or any other personally identifiable | ||||||
23 | information concerning any individual who is, or is connected | ||||||
24 | with, the women-owned business, minority-owned business, or | ||||||
25 | small business loan applicant. | ||||||
26 | (f) The data required to be compiled and maintained under |
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1 | this Section by the credit union shall be submitted annually to | ||||||
2 | the Department. If the credit union has not received any credit | ||||||
3 | applications from women-owned, minority-owned, or small | ||||||
4 | businesses, the credit union shall not be required to submit an | ||||||
5 | annual report as required under this Section. | ||||||
6 | (h) The Department shall adopt rules necessary to implement | ||||||
7 | this Section. | ||||||
8 | (i) This Section shall be operative only until the
| ||||||
9 | effective date of the federal regulations implementing
Section | ||||||
10 | 1071 of the federal Dodd-Frank Wall
Street Reform and Consumer | ||||||
11 | Protection Act.
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12 | Section 99. Effective date. This Act takes effect upon | ||||||
13 | becoming law.
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