BANKING & FINANCE - April 27, 1994

Senate Supports Interstate Banking Measure: Setting the stage for what would be the most important change to the structure of the banking system since the Bank Holding Company Act of 1956, the Senate adopted by voice vote a bill that would lower barriers to interstate banking dating to 1927. The legislation would make banking more convenient for Americans living near state borders and would make expansion easier for the nation’s largest banks. Within a year of enactment, bank holding companies would be permitted to establish a bank in any state. The House adopted similar legislation in March. The two versions are expected to be reconciled in a conference committee and returned to both chambers for final approval by late spring or early summer.