1. (a) For purposes of Government Code section 57604, the definition of “local financial institution” in Government Code section 57600 applies and the term is further defined as a financial institution that has a physical presence within the jurisdiction of the public bank at issue.
2. (b) “Physical presence” means one or more branch offices. A financial institution shall not be considered as having a physical presence within the jurisdiction of a public bank solely because the financial institution has automated teller machine(s), loan production office(s), or non-banking office(s) performing only corporate, administrative or back office functions within such jurisdiction.

Note: Authority cited: Section 326, Financial Code; and Section 57607, Government Code. Reference: Section 57604, Government Code.

History

1. New section filed 9-14-2021; operative 1-1-2022 (Register 2021, No. 38).