News Release
Contact: Public Relations Coordinator
(800) 342-9835, ext. 8130Assembly Passes ELDP Legislation
(April 2 - Latham, NY) – On March 26, by a vote of 139 to 0, the New York State Assembly passed legislation (A.3205/S.4629) that would allow New York state and federal credit unions to participate in the Excelsior Linked Deposit Program.
The legislation was part of a 16-bill package announced to coincide with Small Business Day in New York State. The multi-bill package was passed in an effort to help small businesses be more productive and profitable.
In making the announcement, Assembly Speaker Sheldon Silver (D-Metropolitan) commented that "Small businesses continue to be the backbone of our economy and provide essential benefits, investments and employment opportunities across our state."
The Excelsior Linked Deposit Program was created in 1993 to specifically address the need to make more capital available and affordable to small businesses by leveraging state resources so that eligible businesses can receive loans that are two to three percentage points lower than the prevailing rate. Credit unions are currently excluded from participation in the program.
"We couldn’t be happier that this bill passed through the Assembly," said William J. Mellin, president/CEO, New York State Credit Union League, Inc."
An identical bill (S.4629) is currently with the Senate Finance Committee for consideration. The League will continue to focus their efforts on educating Senate members on the merits of this legislation.
"We’re hopeful that the Senate will recognize that small businesses need greater access to capital through a wider range of lenders, especially in light of today’s troubled economic times," added Mellin. "If credit unions are allowed to join the program they will be able to funnel much needed help to the state’s small- and medium-sized businesses."
The New York State Credit Union League (NYSCUL) has served as the trade association for the state’s credit unions for 91 years. It is the fifth largest league in the country. New York credit unions have assets of more than $39 billion and 4.2 million members. To learn more about the League, visit www.nyscul.org.
New York State Credit Union
League, Inc. & Affiliates
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York 12110
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