AN ACT CONCERNING CHECK CASHERS, MONEY TRANSMITTERS AND OTHER NONMORTGAGE LICENSEES.

OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 ¯ (860) 240-0200

http: //www. cga. ct. gov/ofa

SB-227

AN ACT CONCERNING CHECK CASHERS, MONEY TRANSMITTERS AND OTHER NONMORTGAGE LICENSEES.

Agency Affected	Fund-Effect	FY 07 $	FY 08 $
Banking Dept.	Various - Revenue Gain	Minimal	Minimal

Municipal Impact: None

Explanation

The bill increases various fees in relation to the check casher license and the money transmitter license and makes various changes to the license renewal periods for both license categories. In FY 05, the Banking Department collected $42,600 in check casher license fees and $51,500 in money transmitter fees. Both fees are deposited into the Banking Fund. As a result of the fee increase in the bill, there will be a minimal revenue gain to the state.

The bill also gives the Banking Department commissioner the authority to impose civil penalties and cease and desist orders on violators of check cashing laws. To the extent that civil penalties are imposed as a result of the bill, this would result in a revenue gain to the state.

The Out Years

The annualized ongoing fiscal impact identified above would continue into the future subject to inflation.