(a) In general. Any provision of a law or regulation of any state
in effect on or before September 1, 1989, that requires funds deposited
in an account at a bank chartered by the state to be made available
for withdrawal in a shorter time than the time provided in subpart
B, and, in connection therewith, subpart A, shall—
(1) supersede the provisions of the EFA
Act and subpart B, and, in connection therewith, subpart A, to the
extent the provisions relate to the time by which funds deposited
or received for deposit in an account are available for withdrawal;
and
(2) apply to all
federally insured banks located within the state.
No amendment to a state law or regulation governing the
availability of funds that becomes effective after September 1, 1989,
shall supersede the EFA Act and subpart B, and, in connection therewith,
subpart A, but amended provisions of state law shall remain in effect.
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(b) Preemption of inconsistent
law. Except as provided in paragraph (a), the EFA Act and subpart
B, and, in connection therewith, subpart A, supersede any provision
of inconsistent state law.
(c) Standards for preemption. A provision of
a state law in effect on or before September 1, 1989, is not inconsistent
with the EFA Act, or subpart B, or in connection therewith, subpart
A, if it requires that funds shall be available in a shorter period
of time than the time provided in this subpart. Inconsistency with
the EFA Act and subpart B, and in connection therewith, subpart A,
may exist when state law—
(1) permits a depositary bank to make funds
deposited in an account by cash, electronic payment, or check available
for withdrawal in a longer period of time than the maximum period
of time permitted under subpart B, and, in connection therewith, subpart
A; or
(2) provides for
disclosures or notices concerning funds availability relating to accounts.
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(d) Preemption determinations. The Board may determine, upon the request of any state, bank, or
other interested party, whether the EFA Act and subpart B, and, in
connection therewith, subpart A, preempt provisions of state laws
relating to the availability of funds.
(e) Procedures for preemption determinations. A request for a preemption determination shall include the following:
(1) a copy of the full text
of the state law in question, including any implementing regulations
or judicial interpretations of that law; and
(2) a comparison of the provisions of state
law with the corresponding provisions in the EFA Act and subparts
A and B of this part, together with a discussion of the reasons why
specific provisions of state law are either consistent or inconsistent
with corresponding sections of the EFA Act and subparts A and B of
this part.
A request for a preemption determination shall be addressed
to the Secretary, Board of Governors of the Federal Reserve System.
