House Bill 25-1201, Model Money Transmission Modernization Act (signed act)
Document text
Research, not advice. Part of the Bitcoin research archive (October 2026). Claims labelled unverified, contested or fringe are reported, not endorsed; statuses of bills and rules are as of the date checked. Government, court and patent records are public domain; the research notes are CC BY 4.0.
HOUSE BILL 25-1201
BY REPRESENTATIVE(S) Marshall, Jackson;
also SENATOR(S) Hinrichsen and Liston.
CONCERNING IMPLEMENTING A MODEL ACT TO MODERNIZE MONEY
TRANSMISSION.
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. In Colorado Revised Statutes, repeal and reenact,
with amendments, article 110 of title 11 as follows:
ARTICLE 110
Money Transmitters
PART 1
SHORT TITLE AND LEGISLATIVE DECLARATION
11-110-101. Short title. THE SHORT TITLE OF THIS ARTICLE 110 IS
THE "MONEY TRANSMISSION MODERNIZATION ACT".
11-110-102. Legislative declaration. (1) THE GENERAL ASSEMBLY
FINDS AND DECLARES THAT THE PURPOSE OF THIS ARTICLE 110 IS TO:
Capital letters or bold & italic numbers indicate new material added to existing law; dashes
through words or numbers indicate deletions from existing law and such material is not part of
the act.
(a) ENSURE STATES CAN COORDINATE IN ALL AREAS OF REGULATION,
LICENSING, AND SUPERVISION TO ELIMINATE UNNECESSARY REGULATORY
BURDEN AND MORE EFFECTIVELY UTILIZE REGULATOR RESOURCES;
(b) PROTECT THE PUBLIC FROM FINANCIAL CRIME;
(C) STANDARDIZE THE TYPES OF ACTIVITIES THAT ARE SUBJECT TO
LICENSING OR OTHERWISE EXEMPT FROM LICENSING; AND
(d) MODERNIZE SAFETY AND SOUNDNESS REQUIREMENTS TO ENSURE
CUSTOMER MONEY IS PROTECTED IN AN ENVIRONMENT THAT SUPPORTS
INNOVATIVE AND COMPETITIVE BUSINESS PRACTICES.
PART 2
DEFINITIONS
11-110-201. Definitions - rules. AS USED IN THIS ARTICLE 110,
UNLESS THE CONTEXT OTHERWISE REQUIRES:
(1) "ACTING IN CONCERT" MEANS PERSONS KNOWINGLY ACTING
TOGETHER WITH A COMMON GOAL OF JOINTLY ACQUIRING CONTROL OF A
LICENSEE, WHETHER OR NOT PURSUANT TO AN EXPRESS AGREEMENT.
(2) "AUTHORIZED DELEGATE" MEANS A PERSON A LICENSEE
DESIGNATES TO ENGAGE IN MONEY TRANSMISSION ON BEHALF OF THE
LICENSEE.
(3) "AVERAGE DAILY MONEY TRANSMISSION LIABILITY" MEANS THE
AMOUNT OF A LICENSEE'S OUTSTANDING MONEY TRANSMISSION
OBLIGATIONS IN THIS STATE AT THE END OF EACH DAY IN A GIVEN PERIOD OF
TIME, ADDED TOGETHER AND DIVIDED BY THE TOTAL NUMBER OF DAYS IN
THE GIVEN PERIOD OF TIME. FOR PURPOSES OF CALCULATING AVERAGE
DAILY MONEY TRANSMISSION LIABILITY UNDER THIS ARTICLE 110 FOR ANY
LICENSEE REQUIRED TO DO SO, THE GIVEN PERIOD OF TIME IS THE QUARTERS
ENDING MARCH 31, JUNE 30, SEPTEMBER 30, AND DECEMBER 31.
(4) "BANKING BOARD" OR "BOARD" MEANS THE BANKING BOARD
CREATED IN SECTION 11-102-103.
PAGE 2-HOUSE BILL 25-1201
(5) "BANK SECRECY ACT" MEANS THE FEDERAL "BANK SECRECY
ACT", 31 U.S.C. SEC. 5311 ET SEQ., AS AMENDED, AND ITS IMPLEMENTING
REGULATIONS.
(6) "CLOSED LOOP STORED VALUE" MEANS STORED VALUE THAT IS
REDEEMABLE BY AN ISSUER ONLY FOR GOODS OR SERVICES PROVIDED BY THE
ISSUER OR ITS AFFILIATE OR FRANCHISEES OF THE ISSUER OR ITS AFFILIATE,
EXCEPT TO THE EXTENT REQUIRED BY APPLICABLE LAW TO BE REDEEMABLE
IN CASH FOR ITS CASH VALUE.
(7) "COMMISSIONER" MEANS THE STATE BANK COMMISSIONER
APPOINTED AND SERVING PURSUANT TO SECTION 11-102-101 (2).
(8) (a) "CONTROL" MEANS THE POWER TO:
(I) VOTE, DIRECTLY OR INDIRECTLY, AT LEAST TWENTY-FIVE
PERCENT OF THE OUTSTANDING VOTING SHARES OR VOTING INTERESTS OF A
LICENSEE OR PERSON IN CONTROL OF A LICENSEE;
(II) ELECT OR APPOINT A MAJORITY OF KEY INDIVIDUALS OR
EXECUTIVE OFFICERS, MANAGERS, DIRECTORS, TRUSTEES, OR OTHER
INDIVIDUALS EXERCISING MANAGERIAL AUTHORITY OF A PERSON IN
CONTROL OF A LICENSEE; OR
(III) EXERCISE, DIRECTLY OR INDIRECTLY, A CONTROLLING
INFLUENCE OVER THE MANAGEMENT OR POLICIES OF A LICENSEE OR PERSON
IN CONTROL OF A LICENSEE.
(b) Rebuttable presumption of control. (I) A PERSON IS PRESUMED
TO EXERCISE A CONTROLLING INFLUENCE WHEN THE PERSON HOLDS THE
POWER TO VOTE, DIRECTLY OR INDIRECTLY, AT LEAST TEN PERCENT OF THE
OUTSTANDING VOTING SHARES OR VOTING INTERESTS OF A LICENSEE OR
PERSON IN CONTROL OF A LICENSEE.
(II) A PERSON PRESUMED TO EXERCISE A CONTROLLING INFLUENCE
AS DESCRIBED IN THIS SUBSECTION (8) MAY REBUT THE PRESUMPTION OF
CONTROL IF THE PERSON IS A PASSIVE INVESTOR.
(c) FOR PURPOSES OF DETERMINING THE PERCENTAGE OF A PERSON
CONTROLLED BY ANY OTHER PERSON, THE PERSON'S INTEREST SHALL BE
PAGE 3-HOUSE BILL 25-1201
AGGREGATED WITH THE INTEREST OF ANY OTHER IMMEDIATE FAMILY
MEMBER, INCLUDING THE PERSON'S SPOUSE, PARENTS, CHILDREN, SIBLINGS,
MOTHERS- AND FATHERS-IN-LAW, SONS- AND DAUGHTERS-IN-LAW, AND
BROTHERS- AND SISTERS-IN-LAW AND ANY OTHER PERSON WHO SHARES
SUCH PERSON'S HOME.
(9) "DIVISION" MEANS THE DIVISION OF BANKING CREATED IN
SECTION 11-102-101.
(10) "ELIGIBLE RATING" MEANS A CREDIT RATING OF ANY OF THE
THREE HIGHEST RATING CATEGORIES PROVIDED BY AN ELIGIBLE RATING
SERVICE, WHEREBY EACH CATEGORY MAY INCLUDE RATING CATEGORY
MODIFIERS SUCH AS "PLUS" OR "MINUS" FOR S&P GLOBAL RATINGS OR THE
EQUIVALENT FOR ANY OTHER ELIGIBLE RATING SERVICE. LONG-TERM CREDIT
RATINGS ARE DEEMED ELIGIBLE IF THE RATING IS EQUAL TO "A-" OR HIGHER
BY S&P GLOBAL RATINGS OR THE EQUIVALENT FROM ANY OTHER ELIGIBLE
RATING SERVICE. SHORT-TERM CREDIT RATINGS ARE DEEMED ELIGIBLE IF
THE RATING IS EQUAL TO OR HIGHER THAN "A-2" OR "SP-2" BY S&P GLOBAL
RATINGS OR THE EQUIVALENT FROM ANY OTHER ELIGIBLE RATING SERVICE.
IN THE EVENT THAT RATINGS DIFFER AMONG ELIGIBLE RATING SERVICES, THE
HIGHEST RATING APPLIES WHEN DETERMINING WHETHER A SECURITY BEARS
AN ELIGIBLE RATING.
(11) "ELIGIBLE RATING SERVICE" MEANS ANY NATIONALLY
RECOGNIZED STATISTICAL RATING ORGANIZATION, OR "NRSRO", AS
DEFINED BY THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION,
AND ANY OTHER ORGANIZATION DESIGNATED BY THE BANKING BOARD BY
RULE OR ORDER.
(12) "FEDERALLY INSURED DEPOSITORY FINANCIAL INSTITUTION"
MEANS A BANK, CREDIT UNION, SAVINGS AND LOAN ASSOCIATION, TRUST
COMPANY, SAVINGS ASSOCIATION, SAVINGS BANK, INDUSTRIAL BANK, OR
INDUSTRIAL LOAN COMPANY ORGANIZED UNDER THE LAWS OF THE UNITED
STATES OR ANY STATE OF THE UNITED STATES, WHEN SUCH BANK, CREDIT
UNION, SAVINGS AND LOAN ASSOCIATION, TRUST COMPANY, SAVINGS
ASSOCIATION, SAVINGS BANK, INDUSTRIAL BANK, OR INDUSTRIAL LOAN
COMPANY HAS FEDERALLY INSURED DEPOSITS.
(13) "INDIVIDUAL" MEANS A NATURAL PERSON.
PAGE 4-HOUSE BILL 25-1201
(14) (a) "IN THIS STATE" MEANS AT A PHYSICAL LOCATION WITHIN
THIS STATE FOR A TRANSACTION REQUESTED IN PERSON.
(b) FORA TRANSACTION REQUESTED ELECTRONICALLY OR BY PHONE,
THE PROVIDER OF MONEY TRANSMISSION SHALL DETERMINE IF THE PERSON
REQUESTING THE TRANSACTION IS "IN THIS STATE" BY RELYING ON OTHER
INFORMATION PROVIDED BY THE PERSON REGARDING THE LOCATION OF THE
INDIVIDUAL'S RESIDENTIAL ADDRESS OR A BUSINESS ENTITY'S PRINCIPAL
PLACE OF BUSINESS OR OTHER PHYSICAL ADDRESS LOCATION, AND ANY
RECORDS ASSOCIATED WITH THE PERSON THAT THE PROVIDER OF MONEY
TRANSMISSION MAY HAVE THAT INDICATE SUCH LOCATION, INCLUDING BUT
NOT LIMITED TO AN ADDRESS ASSOCIATED WITH AN ACCOUNT.
(15) "KEY INDIVIDUAL" MEANS ANY INDIVIDUAL ULTIMATELY
RESPONSIBLE FOR ESTABLISHING OR DIRECTING POLICIES AND PROCEDURES
OF A LICENSEE, SUCH AS AN EXECUTIVE OFFICER, MANAGER, DIRECTOR, OR
TRUSTEE.
(16) "LICENSEE" MEANS A PERSON LICENSED UNDER THIS ARTICLE
110.
(17) "MATERIAL LITIGATION" MEANS LITIGATION THAT, ACCORDING
TO UNITED STATES GENERALLY ACCEPTED ACCOUNTING PRINCIPLES, IS
SIGNIFICANT TO A PERSON'S FINANCIAL HEALTH AND WOULD BE REQUIRED TO
BE DISCLOSED IN THE PERSON'S ANNUAL AUDITED FINANCIAL STATEMENTS
OR REPORT TO SHAREHOLDERS OR SIMILAR RECORDS.
(18) "MONETARY VALUE" MEANS A MEDIUM OF EXCHANGE,
WHETHER OR NOT REDEEMABLE IN MONEY.
(19) (a) "MONEY" MEANS A MEDIUM OF EXCHANGE THAT IS
AUTHORIZED OR ADOPTED BY THE UNITED STATES OR A FOREIGN
GOVERNMENT.
(b) "MONEY" INCLUDES A MONETARY UNIT OF ACCOUNT
ESTABLISHED BY AN INTERGOVERNMENTAL ORGANIZATION OR BY
AGREEMENT BETWEEN TWO OR MORE GOVERNMENTS.
(20) (a) "MONEY TRANSMISSION" MEANS ANY OF THE FOLLOWING:
PAGE 5-HOUSE BILL 25-1201
(I) SELLING OR ISSUING PAYMENT INSTRUMENTS TO A PERSON
LOCATED IN THIS STATE;
(II) SELLING OR ISSUING STORED VALUE TO A PERSON LOCATED IN
THIS STATE; OR
(III) RECEIVING MONEY FOR TRANSMISSION FROM A PERSON
LOCATED IN THIS STATE.
(b) "MONEY TRANSMISSION" INCLUDES PAYROLL PROCESSING
SERVICES.
(c) "MONEY TRANSMISSION" DOES NOT INCLUDE THE SOLE PROVISION
OF ONLINE OR TELECOMMUNICATIONS SERVICES OR NETWORK ACCESS.
(21) "MSB ACCREDITED STATE" MEANS A STATE AGENCY THAT IS
ACCREDITED BY THE CONFERENCE OF STATE BANK SUPERVISORS AND THE
MONEY TRANSMITTER REGULATORS ASSOCIATION FOR MONEY
TRANSMISSION LICENSING AND SUPERVISION.
(22) "MULTISTATE LICENSING PROCESS" MEANS ANY AGREEMENT
ENTERED INTO BY AND AMONG STATE REGULATORS RELATING TO
COORDINATED PROCESSING OF APPLICATIONS FOR MONEY TRANSMISSION
LICENSES, APPLICATIONS FOR THE ACQUISITION OF CONTROL OF A LICENSEE,
CONTROL DETERMINATIONS, OR NOTICE AND INFORMATION REQUIREMENTS
FOR A CHANGE OF KEY INDIVIDUALS.
(23) "114MLS" MEANS THE NATIONWIDE MULTISTATE LICENSING
SYSTEM AND REGISTRY DEVELOPED BY THE CONFERENCE OF STATE BANK
SUPERVISORS AND THE AMERICAN ASSOCIATION OF RESIDENTIAL
MORTGAGE REGULATORS AND OWNED AND OPERATED BY THE STATE
REGULATORY REGISTRY, LLC, OR ANY SUCCESSOR OR AFFILIATED ENTITY,
FOR THE LICENSING AND REGISTRATION OF PERSONS IN FINANCIAL SERVICES
INDUSTRIES.
(24) (a) "OUTSTANDING MONEY TRANSMISSION OBLIGATION" MEANS,
AS ESTABLISHED AND EXTINGUISHED IN ACCORDANCE WITH APPLICABLE
STATE LAW:
(I) ANY PAYMENT INSTRUMENT OR STORED VALUE ISSUED OR SOLD
PAGE 6-HOUSE BILL 25-1201
BY A LICENSEE TO A PERSON LOCATED IN THE UNITED STATES OR REPORTED
AS SOLD BY AN AUTHORIZED DELEGATE OF THE LICENSEE TO A PERSON THAT
IS LOCATED IN THE UNITED STATES THAT HAS NOT YET BEEN PAID OR
REFUNDED BY OR FOR THE LICENSEE OR ESCHEATED IN ACCORDANCE WITH
APPLICABLE ABANDONED PROPERTY LAWS; OR
(II) ANY MONEY RECEIVED FOR TRANSMISSION BY A LICENSEE OR AN
AUTHORIZED DELEGATE OF THE LICENSEE IN THE UNITED STATES FROM A
PERSON LOCATED IN THE UNITED STATES THAT HAS NOT BEEN RECEIVED BY
THE PAYEE OR REFUNDED TO THE SENDER OR ESCHEATED IN ACCORDANCE
WITH APPLICABLE ABANDONED PROPERTY LAWS.
(b) AS USED IN THIS SUBSECTION (24), "IN THE UNITED STATES"
MEANS, TO THE EXTENT APPLICABLE, A PERSON IN ANY STATE, TERRITORY,
OR POSSESSION OF THE UNITED STATES; THE DISTRICT OF COLUMBIA; THE
COMMONWEALTH OF PUERTO RICO; OR A UNITED STATES MILITARY
INSTALLATION THAT IS LOCATED IN A FOREIGN COUNTRY.
(25) "PASSIVE INVESTOR" MEANS A PERSON THAT:
(a) DOES NOT HAVE THE POWER TO ELECT A MAJORITY OF KEY
INDIVIDUALS OR EXECUTIVE OFFICERS, MANAGERS, DIRECTORS, TRUSTEES,
OR OTHER PERSONS EXERCISING MANAGERIAL AUTHORITY OF A PERSON IN
CONTROL OF A LICENSEE;
(b) IS NOT EMPLOYED BY AND DOES NOT HAVE ANY MANAGERIAL
DUTIES OF THE LICENSEE OR PERSON IN CONTROL OF A LICENSEE;
(c) DOES NOT HAVE THE POWER TO EXERCISE, DIRECTLY OR
INDIRECTLY, A CONTROLLING INFLUENCE OVER THE MANAGEMENT OR
POLICIES OF A LICENSEE OR PERSON IN CONTROL OF A LICENSEE; AND
(d) EITHER:
(I) ATTESTS TO SUBSECTIONS (25)(a) TO (25)(c) OF THIS SECTION IN
A FORM AND IN A MEDIUM PRESCRIBED BY THE BANKING BOARD BY RULE; OR
(II) COMMITS TO THE PASSIVITY CHARACTERISTICS OF SUBSECTIONS
(25)(a) TO (25)(c) OF THIS SECTION IN A WRITTEN DOCUMENT.
PAGE 7-HOUSE BILL 25-1201
(26) (a) "PAYMENT INSTRUMENT" MEANS A WRITTEN OR ELECTRONIC
CHECK, DRAFT, MONEY ORDER, TRAVELER'S CHECK, OR OTHER WRITTEN OR
ELECTRONIC INSTRUMENT FOR THE TRANSMISSION OR PAYMENT OF MONEY
OR MONETARY VALUE, WHETHER OR NOT NEGOTIABLE.
(b) "PAYMENT INSTRUMENT" DOES NOT INCLUDE STORED VALUE OR
ANY INSTRUMENT THAT:
(I) IS REDEEMABLE BY THE ISSUER ONLY FOR GOODS OR SERVICES
PROVIDED BY THE ISSUER OR ITS AFFILIATE OR FRANCHISEES OF THE ISSUER
OR THEIR AFFILIATES, EXCEPT TO THE EXTENT REQUIRED BY APPLICABLE
LAW TO BE REDEEMABLE IN CASH FOR ITS CASH VALUE; OR
(II) IS NOT SOLD TO THE PUBLIC BUT ISSUED AND DISTRIBUTED AS
PART OF A LOYALTY, REWARDS, OR PROMOTIONAL PROGRAM.
(27) (a) "PAYROLL PROCESSING SERVICES" MEANS RECEIVING MONEY
FOR TRANSMISSION PURSUANT TO A CONTRACT WITH A PERSON TO DELIVER
WAGES OR SALARIES, MAKE PAYMENT OF PAYROLL TAXES TO STATE AND
FEDERAL AGENCIES, MAKE PAYMENTS RELATING TO EMPLOYEE BENEFIT
PLANS, OR MAKE DISTRIBUTIONS OF OTHER AUTHORIZED DEDUCTIONS FROM
WAGES OR SALARIES.
(b) "PAYROLL PROCESSING SERVICES" DOES NOT INCLUDE:
(I) AN EMPLOYER PERFORMING PAYROLL PROCESSING SERVICES ON
ITS OWN BEHALF OR ON BEHALF OF ITS AFFILIATE OR A PROFESSIONAL
EMPLOYER ORGANIZATION SUBJECT TO REGULATION UNDER OTHER
APPLICABLE STATE LAW; OR
(II) A PERSON APPOINTED AS AN AGENT OF AN EMPLOYER FOR
PURPOSES OF PROVIDING PAYROLL PROCESSING SERVICES FOR WHICH THE
AGENT WOULD OTHERWISE NEED TO BE LICENSED, SO LONG AS ALL OF THE
FOLLOWING APPLY:
(A) THERE IS A WRITTEN AGREEMENT BETWEEN THE EMPLOYER AND
THE AGENT THAT DIRECTS THE AGENT TO PROVIDE PAYROLL PROCESSING
SERVICES ON THE EMPLOYER'S BEHALF;
(B) THE EMPLOYER HOLDS THE AGENT OUT TO EMPLOYEES AND
PAGE 8-HOUSE BILL 25-1201
OTHER PAYEES AS PROVIDING PAYROLL PROCESSING SERVICES ON THE
EMPLOYER'S BEHALF; AND
(C) THE EMPLOYER'S OBLIGATION TO A PAYEE, INCLUDING AN
EMPLOYEE OR OTHER PARTY ENTITLED TO RECEIVE MONEY VIA THE PAYROLL
PROCESSING SERVICES PROVIDED BY THE AGENT, IS NOT EXTINGUISHED IF
THE AGENT FAILS TO REMIT THE MONEY TO THE PAYEE.
(28) "PERSON" MEANS ANY INDIVIDUAL, GENERAL PARTNERSHIP,
LIMITED PARTNERSHIP, LIMITED LIABILITY COMPANY, CORPORATION, TRUST,
ASSOCIATION, JOINT STOCK CORPORATION, OR OTHER CORPORATE ENTITY
IDENTIFIED BY THE BANKING BOARD.
(29) "RECEIVING MONEY FOR TRANSMISSION" OR "MONEY RECEIVED
FOR TRANSMISSION" MEANS RECEIVING MONEY OR MONETARY VALUE IN THE
UNITED STATES FOR TRANSMISSION WITHIN OR OUTSIDE THE UNITED STATES
BY ELECTRONIC OR OTHER MEANS.
(30) (a) "STORED VALUE" MEANS MONETARY VALUE THAT
REPRESENTS A CLAIM AGAINST THE ISSUER EVIDENCED BY AN ELECTRONIC
OR DIGITAL RECORD AND THAT IS INTENDED AND ACCEPTED FOR USE AS A
MEANS OF REDEMPTION FOR MONEY OR MONETARY VALUE OR PAYMENT FOR
GOODS OR SERVICES. "STORED VALUE" INCLUDES BUT IS NOT LIMITED TO
"PREPAID ACCESS" AS DEFINED BY 31 CFR 1010.100.
(b) NOTWITHSTANDING SUBSECTION (30)(a) OF THIS SECTION,
"STORED VALUE" DOES NOT INCLUDE A PAYMENT INSTRUMENT OR CLOSED
LOOP STORED VALUE OR STORED VALUE NOT SOLD TO THE PUBLIC BUT
ISSUED AND DISTRIBUTED AS PART OF A LOYALTY, REWARDS, OR
PROMOTIONAL PROGRAM.
(31) "TANGIBLE NET WORTH" MEANS THE AGGREGATE ASSETS OF A
LICENSEE EXCLUDING ALL INTANGIBLE ASSETS, LESS LIABILITIES, AS
DETERMINED IN ACCORDANCE WITH UNITED STATES GENERALLY ACCEPTED
ACCOUNTING PRINCIPLES.
PART 3
EXEMPTIONS
11-110-301. Exemptions. (1) THIS ARTICLE 110 DOES NOT APPLY
PAGE 9-HOUSE BILL 25-1201
TO:
(a) AN OPERATOR OF A PAYMENT SYSTEM TO THE EXTENT THAT IT
PROVIDES PROCESSING, CLEARING, OR SETTLEMENT SERVICES, BETWEEN OR
AMONG PERSONS EXEMPTED BY THIS SECTION OR LICENSEES, IN CONNECTION
WITH WIRE TRANSFERS, CREDIT CARD TRANSACTIONS, DEBIT CARD
TRANSACTIONS, STORED-VALUE TRANSACTIONS, AUTOMATED CLEARING
HOUSE TRANSFERS, OR SIMILAR MONEY TRANSFERS;
(b) A PERSON APPOINTED AS AN AGENT OF A PAYEE TO COLLECT AND
PROCESS A PAYMENT FROM A PAYER TO THE PAYEE FOR GOODS OR SERVICES,
OTHER THAN MONEY TRANSMISSION ITSELF, PROVIDED TO THE PAYER BY THE
PAYEE, SO LONG AS:
(I) THERE EXISTS A WRITTEN AGREEMENT BETWEEN THE PAYEE AND
THE AGENT DIRECTING THE AGENT TO COLLECT AND PROCESS PAYMENTS
FROM PAYERS ON THE PAYEE'S BEHALF;
(II) THE PAYEE HOLDS THE AGENT OUT TO THE PUBLIC AS ACCEPTING
PAYMENTS FOR GOODS OR SERVICES ON THE PAYEE'S BEHALF; AND
(III) PAYMENT FOR THE GOODS AND SERVICES IS TREATED AS
RECEIVED BY THE PAYEE UPON RECEIPT BY THE AGENT SO THAT THE PAYER'S
OBLIGATION IS EXTINGUISHED AND THERE IS NO RISK OF LOSS TO THE PAYER
IF THE AGENT FAILS TO REMIT THE MONEY TO THE PAYEE;
(c) A PERSON THAT ACTS AS AN INTERMEDIARY BY PROCESSING
PAYMENTS BETWEEN AN ENTITY THAT HAS DIRECTLY INCURRED AN
OUTSTANDING MONEY TRANSMISSION OBLIGATION TO A SENDER, AND THE
SENDER'S DESIGNATED RECIPIENT, IF THE ENTITY:
(I) IS PROPERLY LICENSED OR EXEMPT FROM LICENSING
REQUIREMENTS UNDER THIS ARTICLE 110;
(II) PROVIDES A RECEIPT, ELECTRONIC RECORD, OR OTHER WRITTEN
CONFIRMATION TO THE SENDER IDENTIFYING THE ENTITY AS THE PROVIDER
OF MONEY TRANSMISSION IN THE TRANSACTION; AND
(III) BEARS SOLE RESPONSIBILITY TO SATISFY THE OUTSTANDING
MONEY TRANSMISSION OBLIGATION TO THE SENDER, INCLUDING THE
PAGE 10-HOUSE BILL 25-1201
OBLIGATION TO MAKE THE SENDER WHOLE IN CONNECTION WITH ANY
FAILURE TO TRANSMIT THE MONEY TO THE SENDER'S DESIGNATED RECIPIENT;
(d) THE UNITED STATES OR A DEPARTMENT, AGENCY, OR
INSTRUMENTALITY OF THE UNITED STATES OR ITS AGENT;
(e) MONEY TRANSMISSION BY THE UNITED STATES POSTAL SERVICE
OR BY AN AGENT OF THE UNITED STATES POSTAL SERVICE;
(f) A STATE, COUNTY, OR CITY OR ANY OTHER GOVERNMENTAL
AGENCY OR GOVERNMENTAL SUBDIVISION OR INSTRUMENTALITY OF A STATE
OR ITS AGENT;
(g) A FEDERALLY INSURED DEPOSITORY FINANCIAL INSTITUTION;
BANK HOLDING COMPANY; OFFICE OF AN INTERNATIONAL BANKING
CORPORATION; FOREIGN BANK THAT ESTABLISHES A FEDERAL BRANCH
PURSUANT TO THE FEDERAL "INTERNATIONAL BANK ACT", 12 U.S.C. SEC.
3102, AS AMENDED; A CORPORATION ORGANIZED PURSUANT TO THE
FEDERAL "BANK SERVICE CORPORATION ACT", 12 U.S.C. SECS. 1861 TO
1867, AS AMENDED; A CORPORATION ORGANIZED UNDER THE "EDGE ACT",
12 U.S.C. SECS. 611 TO 633, AS AMENDED; OR AN ENTITY ORGANIZED UNDER
THE GENERAL BANKING, SAVINGS AND LOAN, OR CREDIT UNION LAWS OF THIS
STATE, ANOTHER STATE, OR THE UNITED STATES;
(h) ELECTRONIC FUNDS TRANSFER OF GOVERNMENTAL BENEFITS FOR
A FEDERAL, STATE, COUNTY, OR GOVERNMENTAL AGENCY BY A
CONTRACTOR ON BEHALF OF THE UNITED STATES OR A DEPARTMENT,
AGENCY, OR INSTRUMENTALITY OF THE UNITED STATES OR ON BEHALF OF
A STATE OR GOVERNMENTAL SUBDIVISION, AGENCY, OR INSTRUMENTALITY
OF A STATE;
(i) A BOARD OF TRADE DESIGNATED AS A CONTRACT MARKET UNDER
THE FEDERAL "COMMODITY EXCHANGE ACT", 7 U.S.C. SECS. 1 TO 25, AS
AMENDED, OR A PERSON THAT, IN THE ORDINARY COURSE OF BUSINESS,
PROVIDES CLEARANCE AND SETTLEMENT SERVICES FOR A BOARD OF TRADE
TO THE EXTENT OF ITS OPERATION AS OR FOR SUCH A BOARD;
(j) A REGISTERED FUTURES COMMISSION MERCHANT UNDER FEDERAL
COMMODITIES LAWS TO THE EXTENT OF ITS OPERATION AS SUCH A
MERCHANT;
PAGE 11-HOUSE BILL 25-1201
(k) A PERSON REGISTERED AS A SECURITIES BROKER-DEALER UNDER
FEDERAL OR STATE SECURITIES LAWS TO THE EXTENT OF THE PERSON'S
OPERATION AS SUCH A BROKER-DEALER;
(1) AN INDIVIDUAL EMPLOYED BY A LICENSEE, AN AUTHORIZED
DELEGATE, OR ANY PERSON EXEMPTED FROM THE LICENSING REQUIREMENTS
OF THIS ARTICLE 110 WHEN ACTING WITHIN THE SCOPE OF EMPLOYMENT AND
UNDER THE SUPERVISION OF THE LICENSEE, AUTHORIZED DELEGATE, OR
EXEMPTED PERSON AS AN EMPLOYEE AND NOT AS AN INDEPENDENT
CONTRACTOR;
(m) A PERSON EXPRESSLY APPOINTED AS A THIRD-PARTY SERVICE
PROVIDER TO OR AGENT OF AN ENTITY EXEMPT UNDER SUBSECTION (1)(g) OF
THIS SECTION, SOLELY TO THE EXTENT THAT:
(I) THE SERVICE PROVIDER OR AGENT IS ENGAGING IN MONEY
TRANSMISSION ON BEHALF OF AND PURSUANT TO A WRITTEN AGREEMENT
WITH THE EXEMPT ENTITY THAT SETS FORTH THE SPECIFIC FUNCTIONS THAT
THE SERVICE PROVIDER OR AGENT IS TO PERFORM; AND
(II) THE EXEMPT ENTITY ASSUMES ALL RISK OF LOSS AND ALL LEGAL
RESPONSIBILITY FOR SATISFYING THE OUTSTANDING MONEY TRANSMISSION
OBLIGATIONS OWED TO PURCHASERS AND HOLDERS OF THE OUTSTANDING
MONEY TRANSMISSION OBLIGATIONS UPON RECEIPT OF THE PURCHASER'S OR
HOLDER'S MONEY OR MONETARY VALUE BY THE SERVICE PROVIDER OR
AGENT; OR
(n) A PERSON EXEMPT BY REGULATION OR ORDER IF THE BANKING
BOARD FINDS AN EXEMPTION TO BE IN THE PUBLIC INTEREST AND THAT THE
REGULATION OF SUCH PERSON IS NOT NECESSARY FOR THE PURPOSES OF THIS
ARTICLE 110.
11-110-302. Authority to require demonstration of exemption.
THE BANKING BOARD MAY REQUIRE THAT A PERSON CLAIMING TO BE
EXEMPT FROM LICENSING PURSUANT TO SECTION 11-110-301 PROVIDE
INFORMATION AND DOCUMENTATION TO THE BOARD DEMONSTRATING THAT
THE PERSON QUALIFIES FOR THE CLAIMED EXEMPTION.
PART 4
IMPLEMENTATION, CONFIDENTIALITY, SUPERVISION,
PAGE 12-HOUSE BILL 25-1201
AND RELATIONSHIP TO FEDERAL LAW
11-110-401. Implementation - rules. (1) Powers. IN ORDER TO
CARRY OUT THE PURPOSES OF THIS ARTICLE 110, THE BANKING BOARD MAY,
SUBJECT TO THE PROVISIONS OF SECTION 11-110-402 (1) AND (2):
(a) ENTER INTO AGREEMENTS OR RELATIONSHIPS WITH OTHER
GOVERNMENT OFFICIALS OR FEDERAL AND STATE REGULATORY AGENCIES
AND REGULATORY ASSOCIATIONS IN ORDER TO IMPROVE EFFICIENCIES AND
REDUCE REGULATORY BURDEN BY STANDARDIZING METHODS OR
PROCEDURES AND SHARING RESOURCES, RECORDS, OR RELATED
INFORMATION OBTAINED UNDER THIS ARTICLE 110;
(b) USE, HIRE, CONTRACT, OR EMPLOY ANALYTICAL SYSTEMS,
METHODS, OR SOFTWARE TO EXAMINE OR INVESTIGATE ANY PERSON SUBJECT
TO THIS ARTICLE 110;
(c) ACCEPT, FROM OTHER STATE OR FEDERAL GOVERNMENTAL
AGENCIES OR OFFICIALS, LICENSING, EXAMINATION, OR INVESTIGATION
REPORTS MADE BY SUCH OTHER STATE OR FEDERAL GOVERNMENTAL
AGENCIES OR OFFICIALS; AND
(d) ACCEPT AUDIT REPORTS MADE BY AN INDEPENDENT CERTIFIED
PUBLIC ACCOUNTANT OR OTHER QUALIFIED THIRD-PARTY AUDITOR FOR AN
APPLICANT OR LICENSEE AND INCORPORATE THE AUDIT REPORT IN ANY
REPORT OF EXAMINATION OR INVESTIGATION.
(2) Broad administrative authority - rules. (a) THE BANKING
BOARD HAS BROAD ADMINISTRATIVE AUTHORITY TO:
(I) ADMINISTER, INTERPRET, AND ENFORCE THIS ARTICLE 110;
(II) ADOPT RULES IMPLEMENTING THIS ARTICLE 110, INCLUDING
RULES TO CONFORM TO APPLICABLE FEDERAL REGULATIONS;
(III) RECOVER THE COST OF ADMINISTERING AND ENFORCING THIS
ARTICLE 110 BY IMPOSING AND COLLECTING PROPORTIONATE AND
EQUITABLE FEES AND COSTS ASSOCIATED WITH APPLICATIONS,
EXAMINATIONS, AND INVESTIGATIONS; AND
PAGE 13-HOUSE BILL 25-1201
(IV) TAKE OTHER REASONABLE ACTIONS REQUIRED TO ACHIEVE THE
PURPOSES OF THIS ARTICLE 110.
(b) THE POWERS, DUTIES, AND FUNCTIONS OF THE BANKING BOARD
AND THE COMMISSIONER SET FORTH IN ARTICLE 102 OF THIS TITLE 11 AND
THE DECLARATION OF POLICY SET FORTH IN SECTION 11-101-102 APPLY TO
THIS ARTICLE 110. FOR PURPOSES OF THIS SECTION AND SECTION
11-102-104, THE BANKING BOARD HAS THE SAME POWERS, DUTIES, AND
FUNCTIONS CONCERNING A VIOLATION OF THIS ARTICLE 110, OR A RULE
ADOPTED PURSUANT TO THIS ARTICLE 110, AS THE BOARD HAS CONCERNING
A VIOLATION OF THE "COLORADO BANKING CODE", ARTICLES 101 TO 109
AND ARTICLE 10.5 OF THIS TITLE 11, ORA RULE ADOPTED PURSUANT TO THAT
CODE.
11-110-402. Confidentiality. (1) EXCEPT AS OTHERWISE PROVIDED
IN SUBSECTION (2) OF THIS SECTION, ALL INFORMATION OR REPORTS
OBTAINED BY THE BANKING BOARD FROM AN APPLICANT, LICENSEE, OR
AUTHORIZED DELEGATE, AND ALL INFORMATION CONTAINED IN OR RELATED
TO AN EXAMINATION, INVESTIGATION, OPERATING REPORT, OR CONDITION
REPORT PREPARED BY, ON BEHALF OF, OR FOR THE USE OF THE BOARD, OR
FINANCIAL STATEMENTS, BALANCE SHEETS, OR AUTHORIZED DELEGATE
INFORMATION, ARE CONFIDENTIAL AND ARE NOT SUBJECT TO DISCLOSURE
UNDER THE "COLORADO OPEN RECORDS ACT", PART 2 OF ARTICLE 72 OF
TITLE 24.
(2) THE BANKING BOARD MAY DISCLOSE INFORMATION NOT
OTHERWISE SUBJECT TO DISCLOSURE UNDER SUBSECTION (1) OF THIS
SECTION TO REPRESENTATIVES OF STATE OR FEDERAL AGENCIES WHO
PROMISE IN A RECORD THAT THEY WILL MAINTAIN THE CONFIDENTIALITY OF
THE INFORMATION OR WHERE THE BOARD FINDS THAT THE RELEASE IS
REASONABLY NECESSARY FOR THE PROTECTION AND INTEREST OF THE
PUBLIC.
(3) THIS SECTION DOES NOT PROHIBIT THE BANKING BOARD FROM
DISCLOSING TO THE PUBLIC A LIST OF ALL LICENSEES OR THE AGGREGATED
FINANCIAL OR TRANSACTIONAL DATA CONCERNING THOSE LICENSEES.
(4) INFORMATION CONTAINED IN THE RECORDS OF THE DIVISION
THAT IS NOT CONFIDENTIAL AND MAY BE MADE AVAILABLE TO THE PUBLIC
EITHER ON THE DIVISION'S WEBSITE, UPON RECEIPT BY THE DIVISION OF A
PAGE 14-HOUSE BILL 25-1201
WRITTEN REQUEST, OR IN NMLS MUST INCLUDE:
(a) THE NAME, BUSINESS ADDRESS, TELEPHONE NUMBER, AND
UNIQUE IDENTIFIER OF A LICENSEE;
(b) THE BUSINESS ADDRESS OF A LICENSEE'S REGISTERED AGENT FOR
SERVICE;
(c) THE NAME, BUSINESS ADDRESS, AND TELEPHONE NUMBER OF ALL
AUTHORIZED DELEGATES;
(d) THE TERMS OF OR A COPY OF ANY BOND FILED BY A LICENSEE, SO
LONG AS CONFIDENTIAL INFORMATION, INCLUDING BUT NOT LIMITED TO
PRICES AND FEES, FOR SUCH BOND IS REDACTED;
(e) COPIES OF ANY NONCONFIDENTIAL FINAL ORDERS OF THE
DIVISION RELATING TO ANY VIOLATION OF THIS ARTICLE 110 OR RULES
IMPLEMENTING THIS ARTICLE 110; AND
(f) IMPOSITION OF AN ADMINISTRATIVE FINE OR PENALTY UNDER THIS
ARTICLE 110.
11-110-403. Supervision. (1) THE BANKING BOARD MAY CONDUCT
AN EXAMINATION OR INVESTIGATION OF A LICENSEE OR AUTHORIZED
DELEGATE OR OTHERWISE TAKE INDEPENDENT ACTION AUTHORIZED BY THIS
ARTICLE 110 OR BY A RULE ADOPTED OR ORDER ISSUED UNDER THIS ARTICLE
110 AS REASONABLY NECESSARY OR APPROPRIATE TO ADMINISTER AND
ENFORCE THIS ARTICLE 110, RULES IMPLEMENTING THIS ARTICLE 110, AND
OTHER APPLICABLE LAW, INCLUDING THE BANK SECRECY ACT AND THE
FEDERAL "USA PATRIOT ACT", PUB.L. 107-56. THE BANKING BOARD MAY:
(a) CONDUCT AN EXAMINATION EITHER ON SITE OR OFF SITE AS THE
BOARD MAY REASONABLY REQUIRE;
(b) CONDUCT AN EXAMINATION IN CONJUNCTION WITH AN
EXAMINATION CONDUCTED BY REPRESENTATIVES OF OTHER STATE AGENCIES
OR AGENCIES OF ANOTHER STATE OR OF THE FEDERAL GOVERNMENT;
(c) ACCEPT THE EXAMINATION REPORT OF ANOTHER STATE AGENCY
OR AN AGENCY OF ANOTHER STATE OR OF THE FEDERAL GOVERNMENT, OR
PAGE 15-HOUSE BILL 25-1201
A REPORT PREPARED BY AN INDEPENDENT ACCOUNTING FIRM, WHICH, UPON
BEING ACCEPTED, IS CONSIDERED FOR ALL PURPOSES AS AN OFFICIAL REPORT
OF THE BOARD; AND
(d) SUMMON AND EXAMINE UNDER OATH A KEY INDIVIDUAL OR
EMPLOYEE OF A LICENSEE OR AUTHORIZED DELEGATE AND REQUIRE THE KEY
INDIVIDUAL, EMPLOYEE, OR AUTHORIZED DELEGATE TO PRODUCE RECORDS
REGARDING ANY MATTER RELATED TO THE CONDITION AND BUSINESS OF THE
LICENSEE OR AUTHORIZED DELEGATE.
(2) A LICENSEE OR AUTHORIZED DELEGATE SHALL PROVIDE, AND THE
BANKING BOARD SHALL HAVE FULL AND COMPLETE ACCESS TO, ALL
RECORDS THE BOARD MAY REQUIRE TO CONDUCT A COMPLETE
EXAMINATION. THE RECORDS MUST BE PROVIDED AT THE LOCATION AND IN
THE FORMAT SPECIFIED BY THE BOARD; HOWEVER, THE BOARD MAY UTILIZE
MULTISTATE RECORD PRODUCTION STANDARDS AND EXAMINATION
PROCEDURES WHEN SUCH STANDARDS WILL REASONABLY ACHIEVE THE
REQUIREMENTS OF THIS SUBSECTION (2).
(3) UNLESS OTHERWISE DIRECTED BY THE BANKING BOARD, A
LICENSEE SHALL PAY ALL COSTS REASONABLY INCURRED IN CONNECTION
WITH AN EXAMINATION OF THE LICENSEE OR THE LICENSEE'S AUTHORIZED
DELEGATES.
11-110-404. Networked supervision. (1) To EFFICIENTLY AND
EFFECTIVELY ADMINISTER AND ENFORCE THIS ARTICLE 110 AND TO MINIMIZE
REGULATORY BURDEN, THE BANKING BOARD MAY PARTICIPATE IN
MULTISTATE SUPERVISORY PROCESSES ESTABLISHED BETWEEN STATES AND
COORDINATED THROUGH THE CONFERENCE OF STATE BANK SUPERVISORS,
THE MONEY TRANSMITTER REGULATORS ASSOCIATION, AND AFFILIATES
AND SUCCESSORS THEREOF FOR ALL LICENSEES THAT HOLD LICENSES IN THIS
STATE AND OTHER STATES. AS A PARTICIPANT IN MULTISTATE SUPERVISION,
THE BANKING BOARD SHALL:
(a) COOPERATE, COORDINATE, AND SHARE INFORMATION WITH
OTHER STATE AND FEDERAL REGULATORS IN ACCORDANCE WITH SECTION
11-110-402;
(b) ENTER INTO WRITTEN COOPERATION, COORDINATION, OR
INFORMATION-SHARING CONTRACTS OR AGREEMENTS WITH ORGANIZATIONS,
PAGE 16-HOUSE BILL 25-1201
THE MEMBERSHIP OF WHICH IS MADE UP OF STATE OR FEDERAL
GOVERNMENTAL AGENCIES; AND
(c) COOPERATE, COORDINATE, AND SHARE INFORMATION WITH
ORGANIZATIONS, THE MEMBERSHIP OF WHICH IS MADE UP OF STATE OR
FEDERAL GOVERNMENTAL AGENCIES, IF THE ORGANIZATIONS AGREE IN
WRITING TO MAINTAIN THE CONFIDENTIALITY AND SECURITY OF THE SHARED
INFORMATION IN ACCORDANCE WITH SECTION 11-110-402.
(2) THE BANKING BOARD DOES NOT WAIVE, AND NOTHING IN THIS
SECTION CONSTITUTES A WAIVER OF, THE BOARD'S AUTHORITY TO CONDUCT
AN EXAMINATION OR INVESTIGATION OR OTHERWISE TAKE INDEPENDENT
ACTION AUTHORIZED BY THIS ARTICLE 110 OR A RULE ADOPTED OR ORDER
ISSUED UNDER THIS ARTICLE 110 TO ENFORCE COMPLIANCE WITH
APPLICABLE STATE OR FEDERAL LAW.
(3) A JOINT EXAMINATION OR INVESTIGATION, OR ACCEPTANCE OF
AN EXAMINATION OR INVESTIGATION REPORT, DOES NOT WAIVE AN
EXAMINATION ASSESSMENT PROVIDED FOR IN THIS ARTICLE 110.
11-110-405. Relationship to federal law - interpretative
guidance. (1) IN THE EVENT STATE MONEY TRANSMISSION JURISDICTION IS
CONDITIONED ON A FEDERAL LAW, ANY INCONSISTENCIES BETWEEN A
PROVISION OF THIS ARTICLE 110 AND FEDERAL LAW GOVERNING MONEY
TRANSMISSION IS GOVERNED BY THE APPLICABLE FEDERAL LAW TO THE
EXTENT OF THE INCONSISTENCY.
(2) IN THE EVENT OF ANY INCONSISTENCIES BETWEEN THIS ARTICLE
110 AND FEDERAL LAW THAT GOVERNS MONEY TRANSMISSION PURSUANT TO
SUBSECTION (1) OF THIS SECTION, THE BANKING BOARD MAY PROVIDE
INTERPRETIVE GUIDANCE THAT:
(a) IDENTIFIES THE INCONSISTENCY; AND
(b) IDENTIFIES THE APPROPRIATE MEANS OF COMPLIANCE WITH
FEDERAL LAW.
PART 5
MONEY TRANSMISSION LICENSES
PAGE 17-HOUSE BILL 25-1201
11-110-501. License required. (1) A PERSON SHALL NOT ENGAGE
IN THE BUSINESS OF MONEY TRANSMISSION OR ADVERTISE, SOLICIT, OR MAKE
REPRESENTATIONS THAT THE PERSON MAY PROVIDE MONEY TRANSMISSION
UNLESS THE PERSON IS LICENSED UNDER THIS ARTICLE 110.
(2) SUBSECTION (1) OF THIS SECTION DOES NOT APPLY TO:
(a) A PERSON THAT IS AN AUTHORIZED DELEGATE OF A PERSON
LICENSED UNDER THIS ARTICLE 110 ACTING WITHIN THE SCOPE OF
AUTHORITY CONFERRED BY A WRITTEN CONTRACT WITH THE LICENSEE; OR
(b) A PERSON THAT IS EXEMPT PURSUANT TO SECTION 11-110-301
AND DOES NOT ENGAGE IN MONEY TRANSMISSION OUTSIDE THE SCOPE OF
SUCH EXEMPTION.
11-110-502. Consistent state licensing - rules. (1) To ESTABLISH
CONSISTENT LICENSING BETWEEN COLORADO AND OTHER STATES, THE
BANKING BOARD MAY:
(a) IMPLEMENT ALL LICENSING PROVISIONS OF THIS ARTICLE 110 IN
A MANNER THAT IS CONSISTENT WITH OTHER STATES THAT HAVE ADOPTED
LAWS REGULATING MONEY TRANSMISSION THAT ARE SIMILAR TO THE
PROVISIONS OF THIS ARTICLE 110 OR MULTISTATE LICENSING PROCESSES;
AND
(b) PARTICIPATE IN NATIONWIDE PROTOCOLS FOR LICENSING
COOPERATION AND COORDINATION AMONG STATE REGULATORS IF SUCH
PROTOCOLS ARE CONSISTENT WITH THIS ARTICLE 110.
(2) IN ORDER TO FULFILL THE PURPOSES OF THIS ARTICLE 110, THE
BANKING BOARD MAY ESTABLISH RELATIONSHIPS OR CONTRACTS WITH
NMLS OR OTHER ENTITIES DESIGNATED BY NMLS TO ENABLE THE BOARD
TO:
(a) COLLECT AND MAINTAIN RECORDS;
(b) COORDINATE MULTISTATE LICENSING PROCESSES AND
SUPERVISION PROCESSES;
(c) PROCESS FEES; AND
PAGE 18-HOUSE BILL 25-1201
(d) FACILITATE COMMUNICATION BETWEEN COLORADO AND
LICENSEES OR OTHER PERSONS SUBJECT TO THIS ARTICLE 110.
(3) THE BANKING BOARD MAY UTILIZE NMLS FOR ALL ASPECTS OF
LICENSING IN ACCORDANCE WITH THIS ARTICLE 110, INCLUDING BUT NOT
LIMITED TO LICENSE APPLICATIONS, APPLICATIONS FOR ACQUISITIONS OF
CONTROL, SURETY BONDS, REPORTING, CRIMINAL HISTORY BACKGROUND
CHECKS, CREDIT CHECKS, FEE PROCESSING, AND EXAMINATIONS.
(4) THE BANKING BOARD MAY UTILIZE NMLS FORMS, PROCESSES,
AND FUNCTIONALITIES IN ACCORDANCE WITH THIS ARTICLE 110. IN THE
EVENT NMLS DOES NOT PROVIDE FORMS, PROCESSES, OR FUNCTIONALITIES
FOR A PROVISION OF THIS ARTICLE 110, THE BOARD MAY IMPLEMENT THIS
ARTICLE 110 IN A MANNER THAT FACILITATES UNIFORMITY WITH RESPECT TO
LICENSING, SUPERVISION, REPORTING, AND REGULATION OF LICENSEES THAT
ARE LICENSED IN MULTIPLE JURISDICTIONS.
(5) Waive or modify requirements. FOR THE PURPOSE OF
PARTICIPATING IN NMLS, THE BANKING BOARD MAY WAIVE OR MODIFY, IN
WHOLE OR IN PART, BY RULE OR ORDER, ANY OR ALL OF THE REQUIREMENTS
AND ESTABLISH NEW REQUIREMENTS AS REASONABLY NECESSARY TO
PARTICIPATE IN NMLS.
11-110-503. Application for license - license fee - rules. (1) AN
APPLICANT FOR A LICENSE SHALL APPLY WITH THE BANKING BOARD IN A
FORM AND IN A MEDIUM PRESCRIBED BY THE BOARD. THE BOARD BY RULE OR
PROCEDURE SHALL DETERMINE THE CONTENT OF THE APPLICATION AND MAY
CHANGE OR UPDATE THE APPLICATION IN ACCORDANCE WITH APPLICABLE
LAW OR TO CARRY OUT THE PURPOSES OF THIS ARTICLE 110 AND MAINTAIN
CONSISTENCY WITH NMLS LICENSING STANDARDS OR PRACTICES. THE
APPLICATION MUST STATE OR CONTAIN, AS APPLICABLE:
(a) THE LEGAL NAME AND RESIDENTIAL AND BUSINESS ADDRESSES
OF THE APPLICANT AND ANY FICTITIOUS OR TRADE NAME USED BY THE
APPLICANT IN CONDUCTING THE APPLICANT'S BUSINESS;
(b) A LIST OF ANY CRIMINAL CONVICTIONS OF THE APPLICANT AND
ANY MATERIAL LITIGATION IN WHICH THE APPLICANT HAS BEEN INVOLVED
IN THE TEN-YEAR PERIOD IMMEDIATELY PRECEDING THE SUBMISSION OF THE
APPLICATION;
PAGE 19-HOUSE BILL 25-1201
(c) A DESCRIPTION OF ANY MONEY TRANSMISSION PREVIOUSLY
PROVIDED BY THE APPLICANT AND THE MONEY TRANSMISSION THAT THE
APPLICANT SEEKS TO PROVIDE IN THIS STATE;
(d) A LIST OF THE APPLICANT'S PROPOSED AUTHORIZED DELEGATES
AND THE LOCATIONS IN THIS STATE WHERE THE APPLICANT AND THE
APPLICANT'S AUTHORIZED DELEGATES PROPOSE TO ENGAGE IN MONEY
TRANSMISSION;
(e) A LIST OF OTHER STATES IN WHICH THE APPLICANT IS LICENSED
TO ENGAGE IN MONEY TRANSMISSION AND ANY LICENSE REVOCATIONS,
SUSPENSIONS, OR OTHER DISCIPLINARY ACTION TAKEN AGAINST THE
APPLICANT IN ANOTHER STATE;
(f) INFORMATION CONCERNING ANY BANKRUPTCY OR RECEIVERSHIP
PROCEEDINGS AFFECTING THE APPLICANT OR A PERSON IN CONTROL OF AN
APPLICANT;
(g) A SAMPLE FORM OF CONTRACT FOR AUTHORIZED DELEGATES, IF
APPLICABLE;
(h) A SAMPLE FORM OF PAYMENT INSTRUMENT OR STORED VALUE,
AS APPLICABLE;
(i) THE NAME AND ADDRESS OF ANY FEDERALLY INSURED
DEPOSITORY FINANCIAL INSTITUTION THROUGH WHICH THE APPLICANT
PLANS TO CONDUCT MONEY TRANSMISSION; AND
(i) ANY OTHER INFORMATION THE BOARD OR NMLS REASONABLY
REQUIRES WITH RESPECT TO THE APPLICANT.
(2) IF AN APPLICANT IS A CORPORATION, LIMITED LIABILITY
COMPANY, PARTNERSHIP, OR OTHER LEGAL ENTITY, THE APPLICANT SHALL
ALSO PROVIDE:
(a) THE DATE OF THE APPLICANT'S INCORPORATION OR FORMATION
AND STATE OR COUNTRY OF INCORPORATION OR FORMATION;
(b) IF APPLICABLE, A CERTIFICATE OF GOOD STANDING FROM THE
STATE OR COUNTRY IN WHICH THE APPLICANT IS INCORPORATED OR FORMED;
PAGE 20-HOUSE BILL 25-1201
(c) A BRIEF DESCRIPTION OF THE STRUCTURE OR ORGANIZATION OF
THE APPLICANT, INCLUDING ANY PARENTS OR SUBSIDIARIES OF THE
APPLICANT, AND WHETHER ANY PARENTS OR SUBSIDIARIES ARE PUBLICLY
TRADED;
(d) THE LEGAL NAME, ANY FICTITIOUS OR TRADE NAME, ALL
BUSINESS AND RESIDENTIAL ADDRESSES, AND THE EMPLOYMENT, AS
APPLICABLE, IN THE TEN-YEAR PERIOD IMMEDIATELY PRECEDING THE
SUBMISSION OF THE APPLICATION OF EACH KEY INDIVIDUAL AND PERSON IN
CONTROL OF THE APPLICANT;
(e) A LIST OF ANY CRIMINAL CONVICTIONS AND MATERIAL
LITIGATION IN WHICH A PERSON IN CONTROL OF THE APPLICANT THAT IS NOT
AN INDIVIDUAL HAS BEEN INVOLVED IN THE TEN-YEAR PERIOD IMMEDIATELY
PRECEDING THE SUBMISSION OF THE APPLICATION;
(f) A COPY OF AUDITED FINANCIAL STATEMENTS OF THE APPLICANT
FOR THE MOST RECENT FISCAL YEAR AND FOR THE TWO-YEAR PERIOD
IMMEDIATELY PRECEDING THE SUBMISSION OF THE APPLICATION OR, IF
DETERMINED TO BE ACCEPTABLE TO THE BANKING BOARD, CERTIFIED
UNAUDITED FINANCIAL STATEMENTS FOR THE MOST RECENT FISCAL YEAR OR
OTHER PERIOD ACCEPTABLE TO THE BOARD;
(g) A CERTIFIED COPY OF UNAUDITED FINANCIAL STATEMENTS OF
THE APPLICANT FOR THE MOST RECENT FISCAL QUARTER;
(h) IF THE APPLICANT IS A PUBLICLY TRADED CORPORATION, A COPY
OF THE MOST RECENT REPORT FILED WITH THE UNITED STATES SECURITIES
AND EXCHANGE COMMISSION UNDER SECTION 13 OF THE FEDERAL
"SECURITIES EXCHANGE ACT OF 1934", 15 U.S.C. SEC. 78m, AS AMENDED;
(i) IF THE APPLICANT IS A WHOLLY OWNED SUBSIDIARY OF:
(I) A CORPORATION PUBLICLY TRADED IN THE UNITED STATES, A
COPY OF AUDITED FINANCIAL STATEMENTS FOR THE PARENT CORPORATION
FOR THE MOST RECENT FISCAL YEAR OR A COPY OF THE PARENT
CORPORATION'S MOST RECENT REPORT FILED UNDER SECTION 13 OF THE
FEDERAL "SECURITIES EXCHANGE ACT OF 1934", 15 U.S.C. SEC. 78m, AS
AMENDED; OR
PAGE 21-HOUSE BILL 25-1201
(II) A CORPORATION PUBLICLY TRADED OUTSIDE THE UNITED
STATES, A COPY OF SIMILAR DOCUMENTATION FILED WITH THE REGULATOR
OF THE PARENT CORPORATION'S DOMICILE OUTSIDE THE UNITED STATES;
(j) THE NAME AND ADDRESS OF THE APPLICANT'S REGISTERED AGENT
IN THIS STATE; AND
(k) ANY OTHER INFORMATION THE BANKING BOARD REASONABLY
REQUIRES WITH RESPECT TO THE APPLICANT.
(3) AN APPLICANT MUST SUBMIT A NONREFUNDABLE LICENSE FEE, AS
DETERMINED BY THE BANKING BOARD, WITH THE APPLICATION FOR A
LICENSE.
(4) THE BANKING BOARD MAY WAIVE ONE OR MORE REQUIREMENTS
OF SUBSECTION (1) OR (2) OF THIS SECTION OR PERMIT AN APPLICANT TO
SUBMIT OTHER INFORMATION IN LIEU OF THE REQUIRED INFORMATION.
11-110-504. Information requirements for certain individuals -
background check - name-based judicial record check. (1) AN
INDIVIDUAL IN CONTROL OF A LICENSEE OR APPLICANT, AN INDIVIDUAL THAT
SEEKS TO ACQUIRE CONTROL OF A LICENSEE, AND EACH KEY INDIVIDUAL
SHALL FURNISH TO THE BANKING BOARD THROUGH NMI,S THE FOLLOWING
ITEMS:
(a) THE INDIVIDUAL'S FINGERPRINTS FOR SUBMISSION TO THE
FEDERAL BUREAU OF INVESTIGATION AND THE BOARD FOR PURPOSES OF A
NATIONAL CRIMINAL HISTORY BACKGROUND CHECK UNLESS THE PERSON
CURRENTLY RESIDES OUTSIDE OF THE UNITED STATES AND HAS RESIDED
OUTSIDE OF THE UNITED STATES FOR THE LAST TEN YEARS; AND
(b) PERSONAL HISTORY AND EXPERIENCE IN A FORM AND IN A
MEDIUM PRESCRIBED BY THE BOARD TO OBTAIN THE FOLLOWING:
(I) INFORMATION RELATED TO ANY CRIMINAL CONVICTIONS OR
PENDING CHARGES; AND
(II) INFORMATION RELATED TO ANY REGULATORY OR
ADMINISTRATIVE ACTION AND ANY CIVIL LITIGATION INVOLVING CLAIMS OF
FRAUD, MISREPRESENTATION, CONVERSION, MISMANAGEMENT OF MONEY,
PAGE 22-HOUSE BILL 25-1201
BREACH OF FIDUCIARY DUTY, OR BREACH OF CONTRACT.
(2) IF THE INDIVIDUAL DESCRIBED IN SUBSECTION (1) OF THIS
SECTION HAS RESIDED OUTSIDE OF THE UNITED STATES AT ANY TIME IN THE
LAST TEN YEARS, THE INDIVIDUAL SHALL ALSO PROVIDE TO THE BANKING
BOARD AN INVESTIGATIVE BACKGROUND REPORT PREPARED BY AN
INDEPENDENT SEARCH FIRM THAT MEETS THE FOLLOWING REQUIREMENTS:
(a) AT A MINIMUM, THE SEARCH FIRM SHALL:
(I) DEMONSTRATE THAT IT HAS SUFFICIENT KNOWLEDGE AND
RESOURCES AND EMPLOYS ACCEPTED AND REASONABLE METHODOLOGIES TO
CONDUCT THE RESEARCH OF THE BACKGROUND REPORT; AND
(II) NOT BE AFFILIATED WITH OR HAVE AN INTEREST WITH THE
INDIVIDUAL IT IS RESEARCHING.
(b) AT A MINIMUM, THE INVESTIGATIVE BACKGROUND REPORT MUST
BE WRITTEN IN THE ENGLISH LANGUAGE AND MUST CONTAIN THE
FOLLOWING:
(I) CRIMINAL RECORDS INFORMATION FOR THE PAST TEN YEARS,
INCLUDING BUT NOT LIMITED TO FELONIES, MISDEMEANORS, OR SIMILAR
CONVICTIONS FOR VIOLATIONS OF LAW IN THE COUNTRIES, PROVINCES,
STATES, CITIES, TOWNS, AND CONTIGUOUS AREAS WHERE THE INDIVIDUAL
RESIDED AND WORKED;
(II) EMPLOYMENT HISTORY;
(III) MEDIA HISTORY, INCLUDING AN ELECTRONIC SEARCH OF
NATIONAL AND LOCAL PUBLICATIONS, WIRE SERVICES, AND BUSINESS
APPLICATIONS; AND
(IV) FINANCIAL SERVICES-RELATED REGULATORY HISTORY,
INCLUDING BUT NOT LIMITED TO MONEY TRANSMISSION, SECURITIES,
BANKING, INSURANCE, AND MORTGAGE-RELATED INDUSTRIES.
(3) WHEN THE RESULTS OF A CRIMINAL HISTORY RECORD CHECK
PERFORMED PURSUANT TO THIS SECTION REVEAL A RECORD OF ARREST
WITHOUT A DISPOSITION, THE BOARD SHALL REQUIRE THE INDIVIDUAL TO
PAGE 23-HOUSE BILL 25-1201
SUBMIT TO AND PAY THE REQUIRED COST FOR A NAME-BASED JUDICIAL
RECORD CHECK, AS DEFINED IN SECTION 22-2-119.3 (6)(d).
11-110-505. Issuance of license - investigation of financial
condition - initial license term - denial - appeal. (1) WHEN AN
APPLICATION FOR AN ORIGINAL LICENSE APPEARS TO INCLUDE ALL THE ITEMS
AND ADDRESSES ALL OF THE MATTERS THAT ARE REQUIRED PURSUANT TO
THIS ARTICLE 110, THE APPLICATION IS COMPLETE, AND THE BANKING BOARD
SHALL PROMPTLY NOTIFY THE APPLICANT IN A RECORD OF THE DATE ON
WHICH THE APPLICATION IS DETERMINED TO BE COMPLETE AND THE DATE OF
SCHEDULED ACTION BY THE BOARD.
(2) A DETERMINATION BY THE BANKING BOARD THAT AN
APPLICATION IS COMPLETE AND IS ACCEPTED FOR PROCESSING MEANS ONLY
THAT THE APPLICATION, ON ITS FACE, APPEARS TO INCLUDE ALL OF THE
ITEMS, INCLUDING THE CRIMINAL BACKGROUND CHECK RESPONSE FROM THE
FEDERAL BUREAU OF INVESTIGATION AND THE RESULTS OF A NAME-BASED
JUDICIAL RECORD CHECK, IF APPLICABLE, AND ADDRESSES ALL OF THE
MATTERS THAT ARE REQUIRED PURSUANT TO THIS ARTICLE 110, AND THE
DETERMINATION IS NOT AN ASSESSMENT OF THE SUBSTANCE OF THE
APPLICATION OR OF THE SUFFICIENCY OF THE INFORMATION PROVIDED.
(3) WHEN AN APPLICATION IS FILED AND CONSIDERED COMPLETE
UNDER THIS SECTION, THE BANKING BOARD SHALL INVESTIGATE THE
APPLICANT'S FINANCIAL CONDITION AND RESPONSIBILITY, FINANCIAL AND
BUSINESS EXPERIENCE, COMPETENCE, CHARACTER, AND GENERAL FITNESS.
THE BOARD MAY CONDUCT AN ON-SITE INVESTIGATION OF THE APPLICANT,
WITH THE APPLICANT PAYING THE REASONABLE COST OF THE
INVESTIGATION. THE BOARD SHALL ISSUE A LICENSE TO AN APPLICANT
UNDER THIS SECTION IF THE BOARD FINDS THAT ALL OF THE FOLLOWING
CONDITIONS HAVE BEEN FULFILLED:
(a) THE APPLICANT HAS COMPLIED WITH SECTIONS 1 1-1 10-503 AND
11-110-504; AND
(b) THE FINANCIAL CONDITION AND RESPONSIBILITY, FINANCIAL AND
BUSINESS EXPERIENCE, COMPETENCE, CHARACTER, AND GENERAL FITNESS
OF THE APPLICANT, AND THE COMPETENCE, EXPERIENCE, CHARACTER, AND
GENERAL FITNESS OF THE KEY INDIVIDUALS AND PERSONS IN CONTROL OF
THE APPLICANT, INDICATE THAT IT IS IN THE INTEREST OF THE PUBLIC TO
PAGE 24-HOUSE BILL 25-1201
PERMIT THE APPLICANT TO ENGAGE IN MONEY TRANSMISSION.
(4) IF AN APPLICANT USES OR IS OTHERWISE SUBJECT TO A
MULTISTATE LICENSING PROCESS:
(a) THE BANKING BOARD MAY ACCEPT THE INVESTIGATION RESULTS
OF A LEAD INVESTIGATIVE STATE FOR THE PURPOSE OF SUBSECTION (3) OF
THIS SECTION IF THE LEAD INVESTIGATIVE STATE HAS SUFFICIENT STAFFING,
EXPERTISE, AND MINIMUM STANDARDS; OR
(b) IF COLORADO IS A LEAD INVESTIGATIVE STATE, THE BANKING
BOARD MAY INVESTIGATE THE APPLICANT PURSUANT TO SUBSECTION (3) OF
THIS SECTION AND THE TIME FRAMES ESTABLISHED BY AGREEMENT
THROUGH THE MULTISTATE LICENSING PROCESS.
(5) THE BANKING BOARD SHALL ISSUE A FORMAL WRITTEN NOTICE
OF THE DENIAL OF A LICENSE APPLICATION WITHIN THIRTY DAYS AFTER THE
DECISION TO DENY THE APPLICATION. THE BOARD SHALL SET FORTH IN THE
NOTICE OF DENIAL THE SPECIFIC REASONS FOR THE DENIAL OF THE
APPLICATION. AN APPLICANT WHOSE APPLICATION IS DENIED BY THE BOARD
UNDER THIS SUBSECTION (5) MAY APPEAL WITHIN THIRTY DAYS AFTER
RECEIPT OF THE WRITTEN NOTICE OF THE DENIAL PURSUANT TO STATE
ADMINISTRATIVE LAW PROCEDURES.
(6) THE INITIAL LICENSE TERM BEGINS ON THE DAY THE LICENSE IS
ISSUED. THE LICENSE EXPIRES ON DECEMBER 31 OF THE YEAR IN WHICH THE
LICENSE TERM BEGAN; EXCEPT THAT, IF THE INITIAL LICENSE DATE IS
BETWEEN NOVEMBER 1 AND DECEMBER 31, THE INITIAL LICENSE TERM RUNS
THROUGH DECEMBER 31 OF THE FOLLOWING YEAR.
(7) A LICENSE ISSUED UNDER THIS SECTION IS NOT TRANSFERABLE OR
ASSIGNABLE.
11-110-506. Renewal of license - annual fee - renewal report.
(1) (a) A LICENSE ISSUED UNDER THIS ARTICLE 110 SHALL BE RENEWED
ANNUALLY.
(b) NOT MORE THAN SIXTY DAYS BEFORE THE LICENSE EXPIRATION,
A LICENSEE SHALL PAY AN ANNUAL LICENSE FEE TO THE BANKING BOARD, AS
ESTABLISHED BY THE BANKING BOARD.
PAGE 25-HOUSE BILL 25-1201
(C) THE RENEWAL TERM IS FOR A PERIOD OF ONE YEAR AND BEGINS
ON JANUARY 1 OF EACH YEAR AFTER THE INITIAL LICENSE TERM AND
EXPIRES ON DECEMBER 31 OF THE YEAR THE RENEWAL TERM BEGINS.
(2) A LICENSEE SHALL SUBMIT A RENEWAL REPORT WITH THE
ANNUAL FEE TO THE BANKING BOARD, IN A FORM AND IN A MEDIUM
PRESCRIBED BY THE BOARD BY RULE. THE RENEWAL REPORT MUST STATE OR
CONTAIN A DESCRIPTION OF EACH MATERIAL CHANGE IN INFORMATION
SUBMITTED BY THE LICENSEE IN ITS ORIGINAL LICENSE APPLICATION THAT
HAS NOT BEEN REPORTED TO THE BOARD.
(3) THE BANKING BOARD MAY GRANT AN EXTENSION OF THE
RENEWAL DATE FOR GOOD CAUSE.
(4) THE BANKING BOARD MAY UTILIZE NIALS TO PROCESS LICENSE
RENEWALS IF THE FUNCTIONALITY IS CONSISTENT WITH THE REQUIREMENTS
OF THIS SECTION.
11-110-507. Maintenance of license - suspension and revocation.
(1) IF A LICENSEE DOES NOT CONTINUE TO MEET THE QUALIFICATIONS OR
SATISFY THE REQUIREMENTS FOR AN APPLICANT FOR A NEW MONEY
TRANSMISSION LICENSE DESCRIBED IN THIS ARTICLE 110, THE BANKING
BOARD MAY SUSPEND OR REVOKE THE LICENSEE'S LICENSE IN ACCORDANCE
WITH THE PROCEDURES ESTABLISHED BY THIS ARTICLE 110 OR OTHER
APPLICABLE STATE LAW FOR SUCH SUSPENSION OR REVOCATION.
(2) AN APPLICANT FOR A MONEY TRANSMISSION LICENSE SHALL
DEMONSTRATE THAT THE APPLICANT MEETS OR WILL MEET, AND A LICENSEE
SHALL AT ALL TIMES MEET, THE REQUIREMENTS IN SECTIONS 11-110-1001,
11-110-1002, AND 11-110-1003.
PART 6
ACQUISITION OF CONTROL AND CHANGE
OF KEY INDIVIDUAL
11-110-601. Acquisition of control - application - fee -
investigation of financial condition - denial - appeal - exemptions. (1) A
PERSON, OR GROUP OF PERSONS ACTING IN CONCERT, SEEKING TO ACQUIRE
CONTROL OF A LICENSEE SHALL OBTAIN THE WRITTEN APPROVAL OF THE
BANKING BOARD PRIOR TO ACQUIRING CONTROL. AN INDIVIDUAL IS NOT
PAGE 26-HOUSE BILL 25-1201
DEEMED TO ACQUIRE CONTROL OF A LICENSEE AND IS NOT SUBJECT TO THIS
SECTION IF THAT INDIVIDUAL BECOMES A KEY INDIVIDUAL IN THE ORDINARY
COURSE OF BUSINESS.
(2) A PERSON, OR GROUP OF PERSONS ACTING IN CONCERT, SEEKING
TO ACQUIRE CONTROL OF A LICENSEE SHALL, IN COOPERATION WITH THE
LICENSEE:
(a) SUBMIT AN APPLICATION IN A FORM AND IN A MEDIUM
PRESCRIBED BY THE BANKING BOARD BY RULE; AND
(b) SUBMIT WITH THE REQUEST FOR APPROVAL A NONREFUNDABLE
FEE ESTABLISHED BY THE BANKING BOARD.
(3) UPON REQUEST, THE BANKING BOARD MAY PERMIT A LICENSEE
OR A PERSON, OR GROUP OF PERSONS ACTING IN CONCERT, TO SUBMIT SOME
OR ALL INFORMATION REQUIRED BY THE BOARD PURSUANT TO SUBSECTION
(2)(a) OF THIS SECTION WITHOUT USING NMLS.
(4) THE APPLICATION REQUIRED BY SUBSECTION (2)(a) OF THIS
SECTION MUST INCLUDE INFORMATION REQUIRED BY SECTION 1 1- 110-504
FOR NEW KEY INDIVIDUALS THAT HAVE NOT PREVIOUSLY COMPLETED THE
REQUIREMENTS OF SECTION 11-110-504 FOR A LICENSEE.
(5) WHEN AN APPLICATION FOR ACQUISITION OF CONTROL
SUBMITTED UNDER THIS SECTION APPEARS TO INCLUDE ALL THE ITEMS AND
ADDRESS ALL OF THE MATTERS THAT ARE REQUIRED, THE APPLICATION IS
CONSIDERED COMPLETE, AND THE BANKING BOARD SHALL PROMPTLY NOTIFY
THE APPLICANT IN A RECORD OF THE DATE ON WHICH THE APPLICATION WAS
DETERMINED TO BE COMPLETE AND APPROVE OR DENY THE APPLICATION
WITHIN SIXTY DAYS AFTER THE COMPLETION DATE.
(6) WHEN AN APPLICATION IS FILED AND CONSIDERED COMPLETE
PURSUANT TO SUBSECTION (5) OF THIS SECTION, THE BANKING BOARD SHALL
INVESTIGATE THE FINANCIAL CONDITION AND RESPONSIBILITY, FINANCIAL
AND BUSINESS EXPERIENCE, COMPETENCE, CHARACTER, AND GENERAL
FITNESS OF THE PERSON, OR GROUP OF PERSONS ACTING IN CONCERT,
SEEKING TO ACQUIRE CONTROL. THE BOARD SHALL APPROVE AN
ACQUISITION OF CONTROL PURSUANT TO THIS SECTION IF THE BOARD FINDS
THAT ALL OF THE FOLLOWING CONDITIONS HAVE BEEN FULFILLED:
PAGE 27-HOUSE BILL 25-1201
(a) THE REQUIREMENTS OF SUBSECTIONS (2) AND (4) OF THIS
SECTION HAVE BEEN MET, AS APPLICABLE; AND
(b) THE FINANCIAL CONDITION AND RESPONSIBILITY, FINANCIAL AND
BUSINESS EXPERIENCE, COMPETENCE, CHARACTER, AND GENERAL FITNESS
OF THE PERSON, OR GROUP OF PERSONS ACTING IN CONCERT, SEEKING TO
ACQUIRE CONTROL, AND THE COMPETENCE, EXPERIENCE, CHARACTER, AND
GENERAL FITNESS OF THE KEY INDIVIDUALS AND PERSONS THAT WOULD BE
IN CONTROL OF THE LICENSEE AFTER THE ACQUISITION OF CONTROL,
INDICATE THAT IT IS IN THE INTEREST OF THE PUBLIC TO PERMIT THE PERSON,
OR GROUP OF PERSONS ACTING IN CONCERT, TO CONTROL THE LICENSEE.
(7) IF AN APPLICANT USES OR IS OTHERWISE SUBJECT TO A
MULTISTATE LICENSING PROCESS:
(a) THE BANKING BOARD MAY ACCEPT THE INVESTIGATION RESULTS
OF A LEAD INVESTIGATIVE STATE FOR THE PURPOSE OF SUBSECTION (6) OF
THIS SECTION IF THE LEAD INVESTIGATIVE STATE HAS SUFFICIENT STAFFING,
EXPERTISE, AND MINIMUM STANDARDS; OR
(b) IF COLORADO IS A LEAD INVESTIGATIVE STATE, THE BANKING
BOARD MAY INVESTIGATE THE APPLICANT PURSUANT TO SUBSECTION (6) OF
THIS SECTION AND THE TIME FRAMES ESTABLISHED BY AGREEMENT
THROUGH THE MULTISTATE LICENSING PROCESS.
(8) THE BANKING BOARD SHALL ISSUE A FORMAL WRITTEN NOTICE
OF THE DENIAL OF AN APPLICATION TO ACQUIRE CONTROL WITHIN THIRTY
DAYS AFTER THE DECISION TO DENY THE APPLICATION. THE BOARD SHALL
SET FORTH IN THE NOTICE OF DENIAL THE SPECIFIC REASONS FOR THE DENIAL
OF THE APPLICATION. AN APPLICANT WHOSE APPLICATION IS DENIED BY THE
BOARD UNDER THIS SUBSECTION (8) MAY APPEAL WITHIN THIRTY DAYS
AFTER RECEIPT OF THE WRITTEN NOTICE OF THE DENIAL PURSUANT TO STATE
ADMINISTRATIVE LAW PROCEDURES.
(9) THE REQUIREMENTS OF SUBSECTIONS (1) AND (2) OF THIS
SECTION DO NOT APPLY TO ANY OF THE FOLLOWING:
(a) A PERSON THAT ACTS AS A PROXY FOR THE SOLE PURPOSE OF
VOTING AT A DESIGNATED MEETING OF THE SHAREHOLDERS OR HOLDERS OF
VOTING SHARES OR VOTING INTERESTS OF A LICENSEE OR A PERSON IN
PAGE 28-HOUSE BILL 25-1201
CONTROL OF A LICENSEE;
(b) A PERSON THAT ACQUIRES CONTROL OF A LICENSEE BY DEVISE OR
DESCENT;
(c) A PERSON THAT ACQUIRES CONTROL OF A LICENSEE AS A
PERSONAL REPRESENTATIVE, CUSTODIAN, GUARDIAN, CONSERVATOR, OR
TRUSTEE OR AS AN OFFICER APPOINTED BY A COURT OF COMPETENT
JURISDICTION OR BY OPERATION OF LAW;
(d) A PERSON THAT IS EXEMPT UNDER SECTION 11-110-301 (1)(g);
(e) A PERSON THAT THE BANKING BOARD DETERMINES IS NOT
SUBJECT TO SUBSECTION (1) OF THIS SECTION BASED ON THE PUBLIC
INTEREST;
(f) A PUBLIC OFFERING OF SECURITIES OF A LICENSEE OR A PERSON
IN CONTROL OF A LICENSEE; OR
(g) AN INTERNAL REORGANIZATION OF A PERSON IN CONTROL OF A
LICENSEE WHERE THE ULTIMATE PERSON IN CONTROL OF THE LICENSEE
REMAINS THE SAME.
(10) PERSONS DESCRIBED IN SUBSECTIONS (9)(b), (9)(c), (9)(d),
(9)(f), AND (9)(g) OF THIS SECTION SHALL, IN COOPERATION WITH THE
LICENSEE, NOTIFY THE BANKING BOARD WITHIN FIFTEEN DAYS AFTER THE
ACQUISITION OF CONTROL.
(11) Streamlined acquisition of control. (a) THE REQUIREMENTS
OF SUBSECTIONS (1) AND (2) OF THIS SECTION DO NOT APPLY TO A PERSON
THAT HAS COMPLIED WITH AND RECEIVED APPROVAL TO ENGAGE IN MONEY
TRANSMISSION UNDER THIS ARTICLE 110 OR WAS IDENTIFIED AS A PERSON IN
CONTROL IN A PRIOR APPLICATION FILED WITH AND APPROVED BY THE
BANKING BOARD OR BY AN MSB ACCREDITED STATE PURSUANT TO A
MULTISTATE LICENSING PROCESS, SO LONG AS:
(I) THE PERSON HAS NOT HAD A LICENSE REVOKED OR SUSPENDED OR
CONTROLLED A LICENSEE THAT HAS HAD A LICENSE REVOKED OR SUSPENDED
WHILE THE PERSON WAS IN CONTROL OF THE LICENSEE IN THE PREVIOUS FIVE
YEARS;
PAGE 29-HOUSE BILL 25-1201
(II) IF THE PERSON IS A LICENSEE, THE PERSON IS WELL MANAGED
AND HAS RECEIVED AT LEAST A SATISFACTORY RATING FOR COMPLIANCE AT
THE PERSON'S MOST RECENT EXAMINATION BY AN MSB ACCREDITED STATE
IF SUCH RATING WAS GIVEN;
(III) THE LICENSEE TO BE ACQUIRED IS PROJECTED TO MEET THE
REQUIREMENTS OF SECTIONS 11-110-1001,11-110-1002, AND 11-110-1003
AFTER THE ACQUISITION OF CONTROL IS COMPLETED, AND, IF THE PERSON
ACQUIRING CONTROL IS A LICENSEE, THAT LICENSEE IS ALSO PROJECTED TO
MEET THE REQUIREMENTS OF SECTIONS 11-110-1001, 11-110-1002, AND
11-110-1003 AFTER THE ACQUISITION OF CONTROL IS COMPLETED;
(IV) THE LICENSEE TO BE ACQUIRED WILL NOT IMPLEMENT ANY
MATERIAL CHANGES TO ITS BUSINESS PLAN AS A RESULT OF THE ACQUISITION
OF CONTROL, AND, IF THE PERSON ACQUIRING CONTROL IS A LICENSEE, THAT
LICENSEE ALSO WILL NOT IMPLEMENT ANY MATERIAL CHANGES TO ITS
BUSINESS PLAN AS A RESULT OF THE ACQUISITION OF CONTROL; AND
(V) THE PERSON PROVIDES NOTICE OF THE ACQUISITION IN
COOPERATION WITH THE LICENSEE AND ATTESTS TO THE CONDITIONS
SPECIFIED IN SUBSECTIONS (11)(a)(I) TO (11)(a)(IV) OF THIS SECTION IN A
FORM AND IN A MEDIUM PRESCRIBED BY THE BOARD BY RULE.
(b) IF THE NOTICE IS NOT DISAPPROVED WITHIN THIRTY DAYS AFTER
THE DATE ON WHICH THE NOTICE WAS DETERMINED TO BE COMPLETE, THE
NOTICE IS DEEMED APPROVED.
(12) BEFORE FILING AN APPLICATION FOR APPROVAL TO ACQUIRE
CONTROL OF A LICENSEE, A PERSON MAY REQUEST IN WRITING A
DETERMINATION FROM THE BANKING BOARD AS TO WHETHER THE PERSON
WOULD BE CONSIDERED A PERSON IN CONTROL OF A LICENSEE UPON
CONSUMMATION OF A PROPOSED TRANSACTION. IF THE BOARD DETERMINES
THAT THE PERSON WOULD NOT BE A PERSON IN CONTROL OF A LICENSEE, THE
PROPOSED PERSON AND TRANSACTION IS NOT SUBJECT TO THE
REQUIREMENTS OF SUBSECTIONS (1) AND (2) OF THIS SECTION.
(13) IF A MULTISTATE LICENSING PROCESS INCLUDES A
DETERMINATION MADE PURSUANT TO SUBSECTION (12) OF THIS SECTION AND
AN APPLICANT USES OR IS OTHERWISE SUBJECT TO THE MULTISTATE
LICENSING PROCESS:
PAGE 30-HOUSE BILL 25-1201
(a) THE BANKING BOARD IS AUTHORIZED AND ENCOURAGED TO
ACCEPT THE CONTROL DETERMINATION OF A LEAD INVESTIGATIVE STATE
WITH SUFFICIENT STAFFING, EXPERTISE, AND MINIMUM STANDARDS FOR THE
PURPOSE OF THIS SUBSECTION (13); OR
(b) IF THE STATE IS A LEAD INVESTIGATIVE STATE, THE BANKING
BOARD IS AUTHORIZED AND ENCOURAGED TO INVESTIGATE THE APPLICANT
PURSUANT TO THIS SUBSECTION (13) AND THE TIME FRAMES ESTABLISHED BY
AGREEMENT THROUGH THE MULTISTATE LICENSING PROCESS.
11-110-602. Notice and information requirements for a change
of key individuals. A LICENSEE ADDING OR REPLACING A KEY INDIVIDUAL
SHALL PROVIDE NOTICE TO THE BANKING BOARD IN A MANNER PRESCRIBED
BY THE BOARD BY RULE WITHIN FIFTEEN DAYS AFTER THE EFFECTIVE DATE
OF THE KEY INDIVIDUAL'S APPOINTMENT.
PART 7
REPORTING AND RECORDS
11-110-701. Report of condition. (1) EACH LICENSEE SHALL
SUBMIT A REPORT OF CONDITION TO THE BANKING BOARD WITHIN
FORTY-FIVE DAYS AFTER THE END OF A CALENDAR QUARTER OR WITHIN ANY
EXTENDED TIME AS THE BOARD BY RULE MAY PRESCRIBE.
(2) THE REPORT OF CONDITION MUST INCLUDE:
(a) FINANCIAL INFORMATION AT THE LICENSEE LEVEL;
(b) NATIONWIDE AND STATE-SPECIFIC MONEY TRANSMISSION
TRANSACTION INFORMATION IN EVERY JURISDICTION IN THE UNITED STATES
WHERE THE LICENSEE IS LICENSED TO ENGAGE IN MONEY TRANSMISSION;
(c) A PERMISSIBLE INVESTMENTS REPORT;
(d) TRANSACTION DESTINATION COUNTRY REPORTING FOR MONEY
RECEIVED FOR TRANSMISSION, IF APPLICABLE; AND
(e)ANY OTHER INFORMATION THE BANKING BOARD REASONABLY
REQUIRES WITH RESPECT TO THE LICENSEE.
PAGE 31-HOUSE BILL 25-1201
(3) THE INFORMATION REQUIRED BY SUBSECTION (2)(d) OF THIS
SECTION SHALL ONLY BE INCLUDED IN A REPORT OF CONDITION SUBMITTED
WITHIN FORTY-FIVE DAYS AFTER THE END OF THE FOURTH CALENDAR
QUARTER.
11-110-702. Audited financials. (1) EACH LICENSEE SHALL, WITHIN
NINETY DAYS AFTER THE END OF EACH FISCAL YEAR, OR WITHIN ANY
EXTENDED TIME AS THE BANKING BOARD BY RULE MAY PRESCRIBE, FILE
WITH THE BOARD:
(a) AN AUDITED FINANCIAL STATEMENT OF THE LICENSEE FOR THE
FISCAL YEAR PREPARED IN ACCORDANCE WITH UNITED STATES GENERALLY
ACCEPTED ACCOUNTING PRINCIPLES; AND
(b) ANY OTHER INFORMATION THAT THE BOARD MAY REASONABLY
REQUIRE.
(2) THE AUDITED FINANCIAL STATEMENTS SHALL BE PREPARED BY
AN INDEPENDENT CERTIFIED PUBLIC ACCOUNTANT OR INDEPENDENT PUBLIC
ACCOUNTANT WHO IS SATISFACTORY TO THE BANKING BOARD.
(3) THE AUDITED FINANCIAL STATEMENTS MUST INCLUDE OR BE
ACCOMPANIED BY A CERTIFICATE OF OPINION OF THE INDEPENDENT
CERTIFIED PUBLIC ACCOUNTANT OR INDEPENDENT PUBLIC ACCOUNTANT
THAT IS SATISFACTORY IN FORM AND CONTENT TO THE BANKING BOARD. IF
THE CERTIFICATE OR OPINION IS QUALIFIED, THE BOARD MAY ORDER THE
LICENSEE TO TAKE ANY ACTION THAT THE BOARD MAY FIND NECESSARY TO
ENABLE THE INDEPENDENT CERTIFIED PUBLIC ACCOUNTANT OR
INDEPENDENT PUBLIC ACCOUNTANT TO REMOVE THE QUALIFICATION.
11-110-703. Authorized delegate reporting. (1) EACH LICENSEE
SHALL SUBMIT A REPORT OF AUTHORIZED DELEGATES TO THE BANKING
BOARD WITHIN FORTY-FIVE DAYS AFTER THE END OF A CALENDAR QUARTER.
THE BOARD IS AUTHORIZED AND ENCOURAGED TO UTILIZE NMLS FOR THE
SUBMISSION OF THE REPORT REQUIRED BY THIS SECTION IF THE
FUNCTIONALITY IS CONSISTENT WITH THE REQUIREMENTS OF THIS SECTION.
(2) THE AUTHORIZED DELEGATE REPORT MUST INCLUDE, AT A
MINIMUM, THE FOLLOWING INFORMATION FOR EACH AUTHORIZED DELEGATE:
PAGE 32-HOUSE BILL 25-1201
(a) COMPANY LEGAL NAME;
(b) TAXPAYER EMPLOYER IDENTIFICATION NUMBER;
(c) PRINCIPAL PROVIDER IDENTIFIER;
(d) PHYSICAL ADDRESS;
(e) MAILING ADDRESS;
(f) BUSINESS CONDUCTED IN OTHER STATES, IF ANY;
(g) FICTITIOUS OR TRADE NAMES, IF ANY;
(h) CONTACT PERSON NAME, PHONE NUMBER, AND EMAIL;
(i) START DATE AS LICENSEE'S AUTHORIZED DELEGATE;
(j)END DATE ACTING AS LICENSEE'S AUTHORIZED DELEGATE, IF
APPLICABLE; AND
(k) OTHER INFORMATION THE BANKING BOARD REASONABLY
REQUIRES WITH RESPECT TO THE AUTHORIZED DELEGATE.
11-110-704. Reports of certain events. (1) A LICENSEE SHALL FILE
A REPORT WITH THE BANKING BOARD WITHIN ONE BUSINESS DAY AFTER THE
LICENSEE HAS REASON TO KNOW OF THE OCCURRENCE OF ANY OF THE
FOLLOWING EVENTS:
(a) THE FILING OF A PETITION BY OR AGAINST THE LICENSEE UNDER
THE UNITED STATES BANKRUPTCY CODE, 11 U.S.C. SECS. 101 TO 110, AS
AMENDED, FOR BANKRUPTCY OR REORGANIZATION;
(b) THE FILING OF A PETITION BY OR AGAINST THE LICENSEE FOR
RECEIVERSHIP, THE COMMENCEMENT OF ANY OTHER JUDICIAL OR
ADMINISTRATIVE PROCEEDING FOR THE LICENSEE'S DISSOLUTION OR
REORGANIZATION, OR THE MAKING OF A GENERAL ASSIGNMENT FOR THE
BENEFIT OF THE LICENSEE'S CREDITORS; OR
(c) THE COMMENCEMENT OF A PROCEEDING TO REVOKE OR SUSPEND
PAGE 33-HOUSE BILL 25-1201
THE LICENSEE'S LICENSE IN A STATE OR COUNTRY IN WHICH THE LICENSEE
ENGAGES IN BUSINESS OR IS LICENSED.
(2) A LICENSEE SHALL FILE A REPORT WITH THE BANKING BOARD
WITHIN THREE BUSINESS DAYS AFTER THE LICENSEE HAS REASON TO KNOW
OF THE OCCURRENCE OF ANY OF THE FOLLOWING EVENTS:
(a) A CHARGE OR CONVICTION OF THE LICENSEE OR OF A KEY
INDIVIDUAL OR PERSON IN CONTROL OF THE LICENSEE FOR A FELONY; OR
(b) A CHARGE OR CONVICTION OF AN AUTHORIZED DELEGATE FOR A
FELONY.
11-110-705. Bank secrecy act reports. A LICENSEE AND AN
AUTHORIZED DELEGATE SHALL FILE ALL REPORTS REQUIRED BY FEDERAL
CURRENCY REPORTING, RECORD-KEEPING, AND SUSPICIOUS ACTIVITY
REPORTING REQUIREMENTS AS SET FORTH IN THE BANK SECRECY ACT AND
OTHER FEDERAL AND STATE LAWS PERTAINING TO MONEY LAUNDERING. THE
TIMELY FILING OF A COMPLETE AND ACCURATE REPORT REQUIRED UNDER
THIS SECTION WITH THE APPROPRIATE FEDERAL AGENCY IS DEEMED
COMPLIANT WITH THE REQUIREMENTS OF THIS SECTION.
11-110-706. Records - rules. (1) A LICENSEE SHALL MAINTAIN THE
FOLLOWING RECORDS FOR DETERMINING THE LICENSEE'S COMPLIANCE WITH
THIS ARTICLE 110 FOR AT LEAST THREE YEARS AFTER THE CREATION OF THE
RECORD:
(a) A RECORD OF EACH OUTSTANDING MONEY TRANSMISSION
OBLIGATION SOLD;
(b) A GENERAL LEDGER POSTED AT LEAST MONTHLY CONTAINING
ALL ASSET, LIABILITY, CAPITAL, INCOME, AND EXPENSE ACCOUNTS;
(C) BANK STATEMENTS AND BANK RECONCILIATION RECORDS;
(d) RECORDS OF OUTSTANDING MONEY TRANSMISSION OBLIGATIONS;
(e) RECORDS OF EACH OUTSTANDING MONEY TRANSMISSION
OBLIGATION PAID WITHIN THE THREE-YEAR PERIOD;
PAGE 34-HOUSE BILL 25-1201
(f) A LIST OF THE LAST-KNOWN NAMES AND ADDRESSES OF ALL OF
THE LICENSEE'S AUTHORIZED DELEGATES; AND
(g) ANY OTHER RECORDS THE BANKING BOARD BY RULE
REASONABLY REQUIRES.
(2) THE ITEMS SPECIFIED IN SUBSECTION (1) OF THIS SECTION MAY BE
MAINTAINED IN ANY FORM OF RECORD.
(3) RECORDS SPECIFIED IN SUBSECTION (1) OF THIS SECTION MAY BE
MAINTAINED OUTSIDE THIS STATE IF THEY ARE MADE ACCESSIBLE TO THE
BANKING BOARD WITH TEN BUSINESS DAYS' NOTICE THAT IS SENT IN A
RECORD.
(4) ALL RECORDS MAINTAINED BY THE LICENSEE AS REQUIRED IN
SUBSECTIONS (1) TO (3) OF THIS SECTION ARE OPEN TO INSPECTION BY THE
BANKING BOARD PURSUANT TO SECTION 11-1 10-403 (1).
PART 8
AUTI1ORIZED DELEGATES
11-110-801. Relationship between licensee and authorized
delegate - written policies and procedures required - background
investigation - definition. (1) AS USED IN THIS SECTION, "REMIT" MEANS
TO MAKE DIRECT PAYMENTS OF MONEY TO A LICENSEE OR THE LICENSEE'S
REPRESENTATIVE AUTHORIZED TO RECEIVE MONEY OR TO DEPOSIT MONEY
IN A BANK IN AN ACCOUNT SPECIFIED BY THE LICENSEE.
(2) BEFORE A LICENSEE IS AUTHORIZED TO CONDUCT BUSINESS
THROUGH AN AUTHORIZED DELEGATE OR ALLOWS A PERSON TO ACT AS THE
LICENSEE'S AUTHORIZED DELEGATE, THE LICENSEE SHALL:
(a)ADOPT, AND UPDATE AS NECESSARY, WRITTEN POLICIES AND
PROCEDURES REASONABLY DESIGNED TO ENSURE THAT THE LICENSEE'S
AUTHORIZED DELEGATES COMPLY WITH APPLICABLE STATE AND FEDERAL
LAW;
(b) ENTER INTO A WRITTEN CONTRACT THAT COMPLIES WITH
SUBSECTION (4) OF THIS SECTION; AND
PAGE 35-HOUSE BILL 25-1201
(c) CONDUCT A REASONABLE RISK-BASED BACKGROUND
INVESTIGATION SUFFICIENT FOR THE LICENSEE TO DETERMINE WHETHER THE
AUTHORIZED DELEGATE HAS COMPLIED AND WILL LIKELY COMPLY WITH
APPLICABLE STATE AND FEDERAL LAW.
(3) AN AUTHORIZED DELEGATE MUST OPERATE IN FULL COMPLIANCE
WITH THIS ARTICLE 110.
(4) THE WRITTEN CONTRACT REQUIRED BY SUBSECTION (2)(b) OF
THIS SECTION MUST:
(a) BE SIGNED BY THE LICENSEE AND THE AUTHORIZED DELEGATE
AND, AT A MINIMUM, MUST APPOINT THE PERSON SIGNING THE CONTRACT AS
THE LICENSEE'S AUTHORIZED DELEGATE WITH THE AUTHORITY TO CONDUCT
MONEY TRANSMISSION ON BEHALF OF THE LICENSEE;
(b) SET FORTH THE NATURE AND SCOPE OF THE RELATIONSHIP
BETWEEN THE LICENSEE AND THE AUTHORIZED DELEGATE AND THE
RESPECTIVE RIGHTS AND RESPONSIBILITIES OF THE PARTIES;
(c) REQUIRE THE AUTHORIZED DELEGATE TO AGREE TO FULLY
COMPLY WITH ALL APPLICABLE STATE AND FEDERAL LAWS, RULES, AND
REGULATIONS PERTAINING TO MONEY TRANSMISSION, INCLUDING THIS
ARTICLE 110 AND RULES IMPLEMENTING THIS ARTICLE 110 AND RELEVANT
PROVISIONS OF THE BANK SECRECY ACT AND THE FEDERAL "USA PATRIOT
ACT", PuB.L. 107-56;
(d) REQUIRE THE AUTHORIZED DELEGATE TO REMIT AND HANDLE
MONEY AND MONETARY VALUE IN ACCORDANCE WITH THE TERMS OF THE
CONTRACT BETWEEN THE LICENSEE AND THE AUTHORIZED DELEGATE;
(e) IMPOSE A TRUST ON MONEY AND MONETARY VALUE NET OF FEES
RECEIVED FOR MONEY TRANSMISSION FOR THE BENEFIT OF THE LICENSEE;
(f) REQUIRE THE AUTHORIZED DELEGATE TO PREPARE AND MAINTAIN
RECORDS AS REQUIRED BY THIS ARTICLE 110 OR RULES IMPLEMENTING THIS
ARTICLE 110 OR AS REASONABLY REQUESTED BY THE BANKING BOARD;
(g) ACKNOWLEDGE THAT THE AUTHORIZED DELEGATE CONSENTS TO
EXAMINATION OR INVESTIGATION BY THE BANKING BOARD;
PAGE 36-HOUSE BILL 25-1201
(h) STATE THAT THE LICENSEE IS SUBJECT TO REGULATION BY THE
BANKING BOARD AND THAT, AS PART OF THAT REGULATION, THE BOARD MAY
SUSPEND OR REVOKE AN AUTHORIZED DELEGATE DESIGNATION OR REQUIRE
THE LICENSEE TO TERMINATE AN AUTHORIZED DELEGATE DESIGNATION; AND
(1) ACKNOWLEDGE RECEIPT OF THE WRITTEN POLICIES AND
PROCEDURES REQUIRED UNDER SUBSECTION (2)(a) OF THIS SECTION.
(5) IF THE LICENSEE'S LICENSE IS SUSPENDED, REVOKED,
SURRENDERED, OR EXPIRED, THE LICENSEE MUST, WITHIN FIVE BUSINESS
DAYS, PROVIDE DOCUMENTATION TO THE BANKING BOARD THAT THE
LICENSEE HAS NOTIFIED ALL APPLICABLE AUTHORIZED DELEGATES OF THE
LICENSEE WHOSE NAMES ARE IN A RECORD FILED WITH THE BOARD OF THE
SUSPENSION, REVOCATION, SURRENDER, OR EXPIRATION OF A LICENSE. UPON
SUSPENSION, REVOCATION, SURRENDER, OR EXPIRATION OF A LICENSE,
APPLICABLE AUTHORIZED DELEGATES SHALL IMMEDIATELY CEASE TO
PROVIDE MONEY TRANSMISSION AS AN AUTHORIZED DELEGATE OF THE
LICENSEE.
(6) AN AUTHORIZED DELEGATE OF A LICENSEE HOLDS IN TRUST FOR
THE BENEFIT OF THE LICENSEE ALL MONEY NET OF FEES RECEIVED FROM
MONEY TRANSMISSION. IF AN AUTHORIZED DELEGATE COMMINGLES ANY
MONEY RECEIVED FROM MONEY TRANSMISSION WITH ANY OTHER MONEY OR
PROPERTY OWNED OR CONTROLLED BY THE AUTHORIZED DELEGATE, ALL
COMMINGLED MONEY AND OTHER PROPERTY SHALL BE CONSIDERED HELD IN
TRUST IN FAVOR OF THE LICENSEE IN AN AMOUNT EQUAL TO THE AMOUNT OF
MONEY NET OF FEES RECEIVED FROM MONEY TRANSMISSION.
(7) AN AUTHORIZED DELEGATE SHALL NOT USE A SUBDELEGATE TO
CONDUCT MONEY TRANSMISSION ON BEHALF OF A LICENSEE.
11-110-802. Unauthorized activities - joint and several liability.
A PERSON SHALL NOT ENGAGE IN THE BUSINESS OF MONEY TRANSMISSION ON
BEHALF OF A PERSON NOT LICENSED UNDER THIS ARTICLE 110 OR NOT
EXEMPT PURSUANT TO PART 3 OF THIS ARTICLE 110. A PERSON THAT
ENGAGES IN SUCH ACTIVITY PROVIDES MONEY TRANSMISSION TO THE SAME
EXTENT AS IF THE PERSON WERE A LICENSEE AND SHALL BE JOINTLY AND
SEVERALLY LIABLE WITH THE UNLICENSED OR NONEXEMPT PERSON.
PART 9
PAGE 37-HOUSE BILL 25-1201
TIMELY TRANSMISSION, REFUNDS, AND DISCLOSURES
11-110-901. Timely transmission. (1) EVERY LICENSEE SHALL
FORWARD ALL MONEY RECEIVED FOR TRANSMISSION IN ACCORDANCE WITH
THE TERMS OF THE AGREEMENT BETWEEN THE LICENSEE AND THE SENDER
UNLESS THE LICENSEE HAS A REASONABLE BELIEF OR A REASONABLE BASIS
TO BELIEVE THAT THE SENDER MAY BE A VICTIM OF FRAUD OR THAT A CRIME
OR VIOLATION OF A LAW, RULE, OR REGULATION HAS OCCURRED, IS
OCCURRING, OR MAY OCCUR.
(2) IF A LICENSEE FAILS TO FORWARD MONEY RECEIVED FOR
TRANSMISSION IN ACCORDANCE WITH THIS SECTION, THE LICENSEE MUST
RESPOND TO INQUIRIES BY THE SENDER WITH THE REASON FOR THE FAILURE
UNLESS PROVIDING A RESPONSE WOULD VIOLATE A STATE OR FEDERAL LAW,
RULE, OR REGULATION.
11-110-902. Refunds. (1) THIS SECTION DOES NOT APPLY TO:
(a) MONEY RECEIVED FOR TRANSMISSION SUBJECT TO THE FEDERAL
REMITTANCE RULE, 12 CFR 1005, SUBPART B; OR
(b) MONEY RECEIVED FOR TRANSMISSION PURSUANT TO A WRITTEN
AGREEMENT BETWEEN THE LICENSEE AND PAYEE TO PROCESS PAYMENTS FOR
GOODS OR SERVICES PROVIDED BY THE PAYEE.
(2) EVERY LICENSEE SHALL REFUND TO THE SENDER WITHIN TEN
DAYS AFTER RECEIPT OF THE SENDER'S WRITTEN REQUEST FOR A REFUND
ANY AND ALL MONEY RECEIVED FOR TRANSMISSION UNLESS ANY OF THE
FOLLOWING OCCURS:
(a) THE MONEY HAS BEEN FORWARDED WITHIN TEN DAYS AFTER THE
DATE ON WHICH THE MONEY WAS RECEIVED FOR TRANSMISSION;
(b) INSTRUCTIONS HAVE BEEN GIVEN COMMITTING AN EQUIVALENT
AMOUNT OF MONEY TO THE PERSON DESIGNATED BY THE SENDER WITHIN TEN
DAYS AFTER THE DATE ON WHICH THE MONEY WAS RECEIVED FOR
TRANSMISSION;
(c) THE AGREEMENT BETWEEN THE LICENSEE AND THE SENDER
INSTRUCTS THE LICENSEE TO FORWARD THE MONEY AT A TIME THAT IS
PAGE 38-HOUSE BILL 25-1201
BEYOND TEN DAYS AFTER THE DATE ON WHICH THE MONEY WAS RECEIVED
FOR TRANSMISSION. IF MONEY HAS NOT YET BEEN FORWARDED IN
ACCORDANCE WITH THE TERMS OF THE AGREEMENT BETWEEN THE LICENSEE
AND THE SENDER, THE LICENSEE SHALL ISSUE A REFUND IN ACCORDANCE
WITH THE OTHER PROVISIONS OF THIS SECTION.
(d) THE REFUND IS REQUESTED FOR A TRANSACTION THAT THE
LICENSEE HAS NOT COMPLETED BASED ON A REASONABLE BELIEF OR A
REASONABLE BASIS TO BELIEVE THAT A CRIME OR VIOLATION OF LAW, RULE,
OR REGULATION HAS OCCURRED, IS OCCURRING, OR MAY OCCUR; OR
(e) THE REFUND REQUEST DOES NOT ENABLE THE LICENSEE TO:
(I) IDENTIFY THE SENDER'S NAME AND ADDRESS OR TELEPHONE
NUMBER; OR
(II) IDENTIFY THE PARTICULAR TRANSACTION TO BE REFUNDED IN
THE EVENT THE SENDER HAS MULTIPLE TRANSACTIONS OUTSTANDING.
11-110-903. Receipts - definition. (1) THIS SECTION DOES NOT
APPLY TO:
(a) MONEY RECEIVED FOR TRANSMISSION SUBJECT TO THE FEDERAL
REMITTANCE RULE, 12 CFR 1005, SUBPART B;
(b) MONEY RECEIVED FOR TRANSMISSION THAT IS NOT PRIMARILY
FOR PERSONAL, FAMILY, OR HOUSEHOLD PURPOSES;
(c) MONEY RECEIVED FOR TRANSMISSION PURSUANT TO A WRITTEN
AGREEMENT BETWEEN THE LICENSEE AND PAYEE TO PROCESS PAYMENTS FOR
GOODS OR SERVICES PROVIDED BY THE PAYEE; OR
(d) PAYROLL PROCESSING SERVICES.
(2) AS USED IN THIS SECTION, "RECEIPT" MEANS A PAPER RECEIPT,
ELECTRONIC RECORD, OR OTHER WRITTEN CONFIRMATION. FOR A
TRANSACTION CONDUCTED IN PERSON, THE RECEIPT MAY BE PROVIDED
ELECTRONICALLY IF THE SENDER REQUESTS OR AGREES TO RECEIVE AN
ELECTRONIC RECEIPT. FOR A TRANSACTION CONDUCTED ELECTRONICALLY
OR BY PHONE, A RECEIPT MAY BE PROVIDED ELECTRONICALLY. ALL
PAGE 39-HOUSE BILL 25-1201
ELECTRONIC RECEIPTS SHALL BE PROVIDED IN A RETAINABLE FORM.
(3) (a) EVERY LICENSEE OR EVERY LICENSEE'S AUTHORIZED
DELEGATE SHALL PROVIDE THE SENDER A RECEIPT FOR MONEY RECEIVED FOR
TRANSMISSION.
(b) THE RECEIPT MUST CONTAIN THE FOLLOWING INFORMATION, AS
APPLICABLE:
(I) THE NAME OF THE SENDER;
(II) THE NAME OF THE DESIGNATED RECIPIENT;
(III) THE DATE OF THE TRANSACTION;
(IV) THE UNIQUE TRANSACTION OR IDENTIFICATION NUMBER;
(V) THE NAME OF THE LICENSEE, THE NMLS UNIQUE IDENTIFIER,
THE LICENSEE'S BUSINESS ADDRESS, AND THE LICENSEE'S CUSTOMER SERVICE
TELEPHONE NUMBER;
(VI) THE AMOUNT OF THE TRANSACTION IN UNITED STATES
DOLLARS;
(VII) THE FEE CHARGED BY THE LICENSEE TO THE SENDER FOR THE
TRANSACTION, IF ANY; AND
(VIII) TAXES COLLECTED BY THE LICENSEE FROM THE SENDER FOR
THE TRANSACTION, IF ANY.
(c) THE RECEIPT REQUIRED BY THIS SECTION MUST BE IN ENGLISH
AND IN THE LANGUAGE PRINCIPALLY USED BY THE LICENSEE OR AUTHORIZED
DELEGATE, IF OTHER THAN ENGLISH, TO ADVERTISE, SOLICIT, ORNEGOTIATE,
EITHER ORALLY OR IN WRITING, FOR A TRANSACTION CONDUCTED IN PERSON,
ELECTRONICALLY, OR BY PHONE.
11-110-904. Notice. EVERY LICENSEE OR AUTHORIZED DELEGATE
SHALL INCLUDE ON A RECEIPT DESCRIBED IN SECTION 11-110-903 OR
DISCLOSE ON THE LICENSEE'S WEBSITE OR MOBILE APPLICATION THE NAME
AND PHONE NUMBER OF THE DIVISION AND A STATEMENT THAT THE
PAGE 40-HOUSE BILL 25-1201
LICENSEE'S CUSTOMERS CAN CONTACT THE DIVISION WITH QUESTIONS OR
COMPLAINTS ABOUT THE LICENSEE'S MONEY TRANSMISSION SERVICES.
11-110-905. Disclosures for payroll processing services. (1) A
LICENSEE THAT PROVIDES PAYROLL PROCESSING SERVICES SHALL:
(a) ISSUE REPORTS TO CLIENTS DETAILING CLIENT PAYROLL
OBLIGATIONS IN ADVANCE OF THE PAYROLL MONEY BEING DEDUCTED FROM
AN ACCOUNT; AND
(b) MAKE AVAILABLE WORKER PAY STUBS OR AN EQUIVALENT
STATEMENT TO WORKERS.
(2) SUBSECTION (1) OF THIS SECTION DOES NOT APPLY TO A LICENSEE
PROVIDING PAYROLL PROCESSING SERVICES WHERE THE LICENSEE'S CLIENT
DESIGNATES THE INTENDED RECIPIENTS TO THE LICENSEE AND IS
RESPONSIBLE FOR PROVIDING THE DISCLOSURES REQUIRED BY SUBSECTION
(1)(b) OF THIS SECTION.
PART 10
PRUDENTIAL STANDARDS
11-110-1001. Net worth. (1) A LICENSEE LICENSED PURSUANT TO
THIS ARTICLE 110 SHALL MAINTAIN AT ALL TIMES A TANGIBLE NET WORTH
OF THE GREATER OF ONE HUNDRED THOUSAND DOLLARS OR THREE PERCENT
OF TOTAL ASSETS FOR THE FIRST ONE HUNDRED MILLION DOLLARS, TWO
PERCENT OF ADDITIONAL ASSETS FOR ONE HUNDRED MILLION DOLLARS TO
ONE BILLION DOLLARS, AND ONE-HALF OF ONE PERCENT OF ADDITIONAL
ASSETS FOR OVER ONE BILLION DOLLARS.
(2) TANGIBLE NET WORTH REQUIRED BY SUBSECTION (1) OF THIS
SECTION MUST BE DEMONSTRATED AT INITIAL APPLICATION BY THE
APPLICANT'S MOST RECENT AUDITED OR UNAUDITED FINANCIAL STATEMENTS
PURSUANT TO SECTION 11-110-503 (2)(f).
(3) NOTWITHSTANDING SUBSECTIONS (1) AND (2) OF THIS SECTION,
THE BANKING BOARD MAY, FOR GOOD CAUSE SHOWN, EXEMPT, IN PART OR
IN WHOLE, AN APPLICANT OR LICENSEE FROM THE REQUIREMENTS SET FORTH
IN THIS SECTION.
PAGE 41-HOUSE BILL 25-1201
11-110-1002. Surety bond. (1) AN APPLICANT FOR A MONEY
TRANSMISSION LICENSE SHALL PROVIDE, AND A LICENSEE AT ALL TIMES
SHALL MAINTAIN, SECURITY CONSISTING OF A SURETY BOND IN A FORM
SATISFACTORY TO THE BANKING BOARD OR, WITH THE BOARD'S APPROVAL,
A DEPOSIT INSTEAD OF A BOND IN ACCORDANCE WITH THIS SECTION.
(2) THE AMOUNT OF THE REQUIRED SECURITY IS THE GREATER OF
TWO HUNDRED FIFTY THOUSAND DOLLARS OR AN AMOUNT EQUAL TO ONE
HUNDRED PERCENT OF THE LICENSEE'S AVERAGE DAILY MONEY
TRANSMISSION LIABILITY IN THIS STATE CALCULATED FOR THE MOST
RECENTLY COMPLETED THREE-MONTH PERIOD, UP TO A MAXIMUM OF ONE
MILLION DOLLARS.
(3) A LICENSEE THAT MAINTAINS A BOND IN THE MAXIMUM AMOUNT
PROVIDED FOR IN SUBSECTION (2) OF THIS SECTION IS NOT REQUIRED TO
CALCULATE ITS AVERAGE DAILY MONEY TRANSMISSION LIABILITY IN THIS
STATE FOR PURPOSES OF THIS SECTION.
11-110-1003. Maintenance of permissible investments - statutory
trust - rules. (1) A LICENSEE SHALL MAINTAIN AT ALL TIMES PERMISSIBLE
INVESTMENTS THAT HAVE A MARKET VALUE COMPUTED IN ACCORDANCE
WITH UNITED STATES GENERALLY ACCEPTED ACCOUNTING PRINCIPLES OF
NOT LESS THAN THE AGGREGATE AMOUNT OF ALL OF THE LICENSEE'S
OUTSTANDING MONEY TRANSMISSION OBLIGATIONS.
(2) EXCEPT FOR PERMISSIBLE INVESTMENTS ENUMERATED IN
SECTION 11-110-1004 (1), THE BANKING BOARD, WITH RESPECT TO A
LICENSEE, MAY BY RULE OR ORDER LIMIT THE EXTENT TO WHICH A SPECIFIC
INVESTMENT MAINTAINED BY A LICENSEE WITHIN A CLASS OF PERMISSIBLE
INVESTMENTS MAY BE CONSIDERED A PERMISSIBLE INVESTMENT IF THE
SPECIFIC INVESTMENT REPRESENTS UNDUE RISK TO CUSTOMERS NOT
REFLECTED IN THE MARKET VALUE OF INVESTMENTS.
(3) PERMISSIBLE INVESTMENTS, EVEN IF COMMINGLED WITH OTHER
ASSETS OF A LICENSEE, ARE HELD IN TRUST FOR THE BENEFIT OF THE
PURCHASERS AND HOLDERS OF THE LICENSEE'S OUTSTANDING MONEY
TRANSMISSION OBLIGATIONS IN THE EVENT OF INSOLVENCY; THE FILING OF
A PETITION BY OR AGAINST THE LICENSEE UNDER THE UNITED STATES
BANKRUPTCY CODE, 11 U.S.C. SECS. 101 TO 110, AS AMENDED, FOR
BANKRUPTCY OR REORGANIZATION; THE FILING OF A PETITION BY OR
PAGE 42-HOUSE BILL 25-1201
AGAINST THE LICENSEE FOR RECEIVERSHIP; THE COMMENCEMENT OF ANY
OTHER JUDICIAL OR ADMINISTRATIVE PROCEEDING FOR THE LICENSEE'S
DISSOLUTION OR REORGANIZATION; OR AN ACTION AGAINST THE LICENSEE
BY A CREDITOR THAT IS NOT A BENEFICIARY OF THE STATUTORY TRUST.
PERMISSIBLE INVESTMENTS IMPRESSED WITH A TRUST PURSUANT TO THIS
SECTION ARE NOT SUBJECT TO ATTACHMENT, LEVY OF EXECUTION, OR
SEQUESTRATION BY ORDER OF ANY COURT, EXCEPT FOR A BENEFICIARY OF
THE STATUTORY TRUST.
(4) UPON THE ESTABLISHMENT OF A STATUTORY TRUST IN
ACCORDANCE WITH SUBSECTION (3) OF THIS SECTION OR WHEN MONEY IS
DRAWN ON A LETTER OF CREDIT PURSUANT TO SECTION 1 1-1 10-1004 (1)(d),
THE BANKING BOARD SHALL NOTIFY THE APPLICABLE REGULATOR OF EACH
STATE IN WHICH THE LICENSEE IS LICENSED TO ENGAGE IN MONEY
TRANSMISSION, IF ANY, OF THE ESTABLISHMENT OF THE TRUST OR THE
MONEY DRAWN ON THE LETTER OF CREDIT, AS APPLICABLE. NOTICE IS
DEEMED SATISFIED IF PERFORMED PURSUANT TO A MULTISTATE AGREEMENT
OR THROUGH NIVILS. MONEY DRAWN ON A LETTER OF CREDIT, AND ANY
OTHER PERMISSIBLE INVESTMENTS HELD IN TRUST FOR THE BENEFIT OF THE
PURCHASERS AND HOLDERS OF THE LICENSEE'S OUTSTANDING MONEY
TRANSMISSION OBLIGATIONS, IS DEEMED HELD IN TRUST FOR THE BENEFIT OF
SUCH PURCHASERS AND HOLDERS ON A PRO RATA AND EQUITABLE BASIS IN
ACCORDANCE WITH STATUTES PURSUANT TO WHICH PERMISSIBLE
INVESTMENTS ARE REQUIRED TO BE HELD IN THIS STATE, AND OTHER STATES,
AS APPLICABLE. A STATUTORY TRUST ESTABLISHED PURSUANT TO THIS
SECTION IS TERMINATED UPON EXTINGUISHMENT OF ALL OF THE LICENSEE'S
OUTSTANDING MONEY TRANSMISSION OBLIGATIONS.
(5) THE BANKING BOARD BY RULE MAY ALLOW OTHER TYPES OF
INVESTMENTS THAT THE BOARD DETERMINES ARE OF SUFFICIENT LIQUIDITY
AND QUALITY TO BE A PERMISSIBLE INVESTMENT. THE BANKING BOARD MAY
PARTICIPATE IN EFFORTS WITH OTHER STATE REGULATORS TO DETERMINE
THAT OTHER TYPES OF INVESTMENTS ARE OF SUFFICIENT LIQUIDITY AND
QUALITY TO BE A PERMISSIBLE INVESTMENT.
11-110-1004. Types of permissible investments - rules. (1) THE
FOLLOWING INVESTMENTS ARE PERMISSIBLE UNDER SECTION 11-110-1003:
(a)CASH, INCLUDING DEMAND DEPOSITS, SAVINGS DEPOSITS, AND
MONEY IN SUCH ACCOUNTS HELD FOR THE BENEFIT OF THE LICENSEE'S
PAGE 43-HOUSE BILL 25-1201
CUSTOMERS IN A FEDERALLY INSURED DEPOSITORY FINANCIAL INSTITUTION,
AND CASH EQUIVALENTS, INCLUDING ACH ITEMS IN TRANSIT TO THE
LICENSEE AND ACH ITEMS OR INTERNATIONAL WIRES IN TRANSIT TO A
PAYEE, CASH IN TRANSIT VIA ARMORED CAR, CASH IN SMART SAFES, CASH IN
LICENSEE-OWNED LOCATIONS, DEBIT CARD OR CREDIT CARD-FUNDED
TRANSMISSION RECEIVABLES OWED BY A BANK, OR MONEY MARKET MUTUAL
FUNDS RATED "AAA" BY S&P GLOBAL RATINGS OR THE EQUIVALENT FROM
ANY ELIGIBLE RATING SERVICE;
(b) CERTIFICATES OF DEPOSIT OR SENIOR DEBT OBLIGATIONS OF AN
INSURED DEPOSITORY INSTITUTION, AS DEFINED IN SECTION 3 OF THE
"FEDERAL DEPOSIT INSURANCE ACT", 12 U.S.C. SEC. 1813, AS AMENDED,
OR AS DEFINED UNDER THE "FEDERAL CREDIT UNION ACT", 12 U.S.C. SEC.
1781, AS AMENDED;
(c) AN OBLIGATION OF THE UNITED STATES OR A COMMISSION,
AGENCY, OR INSTRUMENTALITY OF THE UNITED STATES; AN OBLIGATION
THAT IS GUARANTEED FULLY AS TO PRINCIPAL AND INTEREST BY THE UNITED
STATES; OR AN OBLIGATION OF A STATE ORA GOVERNMENTAL SUBDIVISION,
AGENCY, OR INSTRUMENTALITY OF A STATE; OR
(d) THE FULL DRAWABLE AMOUNT OF AN IRREVOCABLE STANDBY
LETTER OF CREDIT FOR WHICH THE STATED BENEFICIARY IS THE BANKING
BOARD THAT STIPULATES THAT THE BENEFICIARY NEED ONLY DRAW A SIGHT
DRAFT UNDER THE LETTER OF CREDIT AND PRESENT IT TO OBTAIN MONEY UP
TO THE LETTER OF CREDIT AMOUNT WITHIN SEVEN DAYS AFTER
PRESENTATION OF THE ITEMS REQUIRED BY SUBSECTION (2)(c) OF THIS
SECTION.
(2) (a) THE LETTER OF CREDIT DESCRIBED IN SUBSECTION (1)(d) OF
THIS SECTION MUST:
(I) BE ISSUED BY:
(A) A FEDERALLY INSURED DEPOSITORY FINANCIAL INSTITUTION;
(B) A FOREIGN BANK THAT IS AUTHORIZED UNDER FEDERAL LAW TO
MAINTAIN A FEDERAL AGENCY OR FEDERAL BRANCH OFFICE IN A STATE OR
STATES; OR
PAGE 44-HOUSE BILL 25-1201
(C) A FOREIGN BANK THAT BEARS AN ELIGIBLE RATING, OR WHOSE
PARENT COMPANY BEARS AN ELIGIBLE RATING; THAT IS REGULATED,
SUPERVISED, AND EXAMINED BY FEDERAL OR STATE AUTHORITIES HAVING
REGULATORY AUTHORITY OVER BANKS, CREDIT UNIONS, AND TRUST
COMPANIES; AND THAT IS AUTHORIZED UNDER STATE LAW TO MAINTAIN A
BRANCH IN A STATE;
(II) BE IRREVOCABLE, BE UNCONDITIONAL, AND INDICATE THAT THE
LETTER OF CREDIT IS NOT SUBJECT TO ANY CONDITION OR QUALIFICATIONS
OUTSIDE OF THE LETTER OF CREDIT;
(III) NOT CONTAIN REFERENCE TO ANY OTHER AGREEMENTS,
DOCUMENTS, OR ENTITIES OR OTHERWISE PROVIDE FOR ANY SECURITY
INTEREST IN THE LICENSEE; AND
(IV) CONTAIN AN ISSUE DATE AND EXPIRATION DATE, AND
EXPRESSLY PROVIDE FOR AUTOMATIC EXTENSION, WITHOUT A WRITTEN
AMENDMENT, FOR AN ADDITIONAL PERIOD OF ONE YEAR AFTER THE PRESENT
AND EACH FUTURE EXPIRATION DATE, UNLESS THE ISSUER OF THE LETTER OF
CREDIT NOTIFIES THE BANKING BOARD IN WRITING BY CERTIFIED OR
REGISTERED MAIL OR COURIER MAIL OR OTHER RECEIPTED MEANS, AT LEAST
SIXTY DAYS PRIOR TO ANY EXPIRATION DATE, THAT THE IRREVOCABLE
LETTER OF CREDIT WILL NOT BE EXTENDED.
(b) IN THE EVENT OF A NOTICE OF EXPIRATION OR NONEXTENSION OF
A LETTER OF CREDIT ISSUED UNDER SUBSECTION (2)(a)(IV) OF THIS SECTION,
THE LICENSEE IS REQUIRED TO DEMONSTRATE TO THE SATISFACTION OF THE
BANKING BOARD, AT LEAST FIFTEEN DAYS PRIOR TO EXPIRATION, THAT THE
LICENSEE MAINTAINS AND WILL MAINTAIN PERMISSIBLE INVESTMENTS IN
ACCORDANCE WITH SECTION 1 1- 1 10-1003 (1) UPON THE EXPIRATION OF THE
LETTER OF CREDIT. IF THE LICENSEE IS NOT ABLE TO DO SO, THE BOARD MAY
DRAW ON THE LETTER OF CREDIT IN AN AMOUNT UP TO THE AMOUNT
NECESSARY TO MEET THE LICENSEE'S REQUIREMENTS TO MAINTAIN
PERMISSIBLE INVESTMENTS IN ACCORDANCE WITH SECTION 11-110-1003 (1).
A DRAW ON THE LETTER OF CREDIT BY THE BOARD SHALL BE OFFSET
AGAINST THE LICENSEE'S OUTSTANDING MONEY TRANSMISSION
OBLIGATIONS. THE DRAWN MONEY SHALL BE HELD IN TRUST BY THE BOARD
OR THE BOARD'S DESIGNATED AGENT, TO THE EXTENT AUTHORIZED BY LAW,
AS AGENT FOR THE BENEFIT OF THE PURCHASERS AND HOLDERS OF THE
LICENSEE'S OUTSTANDING MONEY TRANSMISSION OBLIGATIONS.
PAGE 45-HOUSE BILL 25-1201
(c) THE LETTER OF CREDIT MUST PROVIDE THAT THE ISSUER OF THE
LETTER OF CREDIT WILL HONOR, AT SIGHT, A PRESENTATION MADE BY THE
BENEFICIARY TO THE ISSUER OF THE FOLLOWING DOCUMENTS ON OR PRIOR
TO THE EXPIRATION DATE OF THE LETTER OF CREDIT:
(I) THE ORIGINAL LETTER OF CREDIT, INCLUDING ANY AMENDMENTS;
AND
(II) A WRITTEN STATEMENT FROM THE BENEFICIARY STATING THAT
ANY OF THE FOLLOWING EVENTS HAVE OCCURRED:
(A) THE FILING OF A PETITION BY OR AGAINST THE LICENSEE UNDER
THE UNITED STATES BANKRUPTCY CODE, 11 U.S.C. SECS. 101 TO 110, AS
AMENDED, FOR BANKRUPTCY OR REORGANIZATION;
(B) THE FILING OF A PETITION BY OR AGAINST THE LICENSEE FOR
RECEIVERSHIP OR THE COMMENCEMENT OF ANY OTHER JUDICIAL OR
ADMINISTRATIVE PROCEEDING FOR ITS DISSOLUTION OR REORGANIZATION;
(C) THE SEIZURE OF ASSETS OF A LICENSEE BY A BANKING BOARD
PURSUANT TO AN EMERGENCY ORDER ISSUED IN ACCORDANCE WITH
APPLICABLE LAW, ON THE BASIS OF AN ACTION, VIOLATION, OR CONDITION
THAT HAS CAUSED OR IS LIKELY TO CAUSE THE INSOLVENCY OF THE
LICENSEE; OR
(D) THE BENEFICIARY HAS RECEIVED NOTICE OF EXPIRATION OR
NONEXTENSION OF A LETTER OF CREDIT, AND THE LICENSEE FAILED TO
DEMONSTRATE TO THE SATISFACTION OF THE BENEFICIARY THAT THE
LICENSEE WILL MAINTAIN PERMISSIBLE INVESTMENTS IN ACCORDANCE WITH
SECTION 11-110-1003 (1) UPON THE EXPIRATION OR NONEXTENSION OF THE
LETTER OF CREDIT.
(d) THE BANKING BOARD MAY DESIGNATE AN AGENT TO SERVE ON
THE BOARD'S BEHALF AS BENEFICIARY TO A LETTER OF CREDIT SO LONG AS
THE AGENT AND LETTER OF CREDIT MEET REQUIREMENTS ESTABLISHED BY
THE BOARD. THE BOARD'S AGENT MAY SERVE AS AGENT FOR MULTIPLE
LICENSING AUTHORITIES FOR A SINGLE IRREVOCABLE LETTER OF CREDIT IF
THE PROCEEDS OF THE DRAWABLE AMOUNT FOR THE PURPOSES OF
SUBSECTION (1)(d) OF THIS SECTION ARE ASSIGNED TO THE BOARD.
PAGE 46-HOUSE BILL 25-1201
(e) THE BANKING BOARD IS AUTHORIZED AND ENCOURAGED TO
PARTICIPATE IN MULTISTATE LICENSING PROCESSES DESIGNED TO FACILITATE
THE ISSUANCE AND ADMINISTRATION OF LETTERS OF CREDIT, INCLUDING BUT
NOT LIMITED TO SERVICES PROVIDED BY NMLS AND THE STATE
REGULATORY REGISTRY, LLC.
(3) UNLESS PERMITTED BY THE BANKING BOARD BY RULE OR BY
ORDER TO EXCEED THE LIMITS AS SET FORTH IN THIS SUBSECTION (3), THE
FOLLOWING INVESTMENTS ARE PERMISSIBLE UNDER SECTION 1 1-110-1003,
TO THE EXTENT SPECIFIED:
(a) (I) EXCEPT AS PROVIDED IN SUBSECTION (3)(a)(II) OF THIS
SECTION, RECEIVABLES THAT ARE PAYABLE TO A LICENSEE FROM THE
LICENSEE'S AUTHORIZED DELEGATES IN THE ORDINARY COURSE OF BUSINESS
THAT ARE LESS THAN SEVEN DAYS OLD, UP TO FIFTY PERCENT OF THE
AGGREGATE VALUE OF THE LICENSEE'S TOTAL PERMISSIBLE INVESTMENTS.
(II) OF THE RECEIVABLES PERMISSIBLE UNDER SUBSECTION (3)(a)(I)
OF THIS SECTION, RECEIVABLES THAT ARE PAYABLE TO A LICENSEE FROM A
SINGLE AUTHORIZED DELEGATE IN THE ORDINARY COURSE OF BUSINESS
MUST NOT EXCEED TEN PERCENT OF THE AGGREGATE VALUE OF THE
LICENSEE'S TOTAL PERMISSIBLE INVESTMENTS.
(b) THE FOLLOWING INVESTMENTS, UP TO TWENTY PERCENT PER
CATEGORY AND COMBINED UP TO FIFTY PERCENT OF THE AGGREGATE VALUE
OF THE LICENSEE'S TOTAL PERMISSIBLE INVESTMENTS:
(I) A SHORT-TERM INVESTMENT OF UP TO SIX MONTHS BEARING AN
ELIGIBLE RATING;
(II) COMMERCIAL PAPER BEARING AN ELIGIBLE RATING;
(III) A BILL, NOTE, BOND, OR DEBENTURE BEARING AN ELIGIBLE
RATING;
(IV) UNITED STATES TRI-PARTY REPURCHASE AGREEMENTS,
COLLATERALIZED AT ONE HUNDRED PERCENT OR MORE, WITH UNITED
STATES GOVERNMENT OR AGENCY SECURITIES, MUNICIPAL BONDS, OR OTHER
SECURITIES BEARING AN ELIGIBLE RATING;
PAGE 47-HOUSE BILL 25-1201
(V) MONEY MARKET MUTUAL FUNDS RATED LESS THAN "AAA" AND
EQUAL TO OR HIGHER THAN "A-" BY S&P GLOBAL RATINGS OR THE
EQUIVALENT FROM ANY OTHER ELIGIBLE RATING SERVICE; AND
(VI) A MUTUAL FUND OR OTHER INVESTMENT FUND COMPOSED
SOLELY AND EXCLUSIVELY OF ONE OR MORE PERMISSIBLE INVESTMENTS
LISTED IN SUBSECTIONS (1)(a) TO (1)(c) OF THIS SECTION; AND
(C)CASH, INCLUDING DEMAND DEPOSITS, SAVINGS DEPOSITS, AND
CASH IN SUCH ACCOUNTS HELD FOR THE BENEFIT OF THE LICENSEE'S
CUSTOMERS AT FOREIGN DEPOSITORY INSTITUTIONS, UP TO TEN PERCENT OF
THE AGGREGATE VALUE OF THE LICENSEE'S TOTAL PERMISSIBLE
INVESTMENTS IF THE LICENSEE HAS RECEIVED A SATISFACTORY RATING IN
THE LICENSEE'S MOST RECENT EXAMINATION AND IF THE FOREIGN
DEPOSITORY INSTITUTION:
(I) HAS AN ELIGIBLE RATING;
(II) IS REGISTERED UNDER THE FEDERAL "FOREIGN ACCOUNT TAX
COMPLIANCE ACT", PUB.L. 111-47;
(III) IS NOT LOCATED IN ANY COUNTRY SUBJECT TO SANCTIONS FROM
THE OFFICE OF FOREIGN ASSETS CONTROL; AND
(IV) IS NOT LOCATED IN A HIGH-RISK OR NONCOOPERATIVE
JURISDICTION AS DESIGNATED BY THE INTERNATIONAL FINANCIAL ACTION
TASK FORCE.
PART 11
ENFORCEMENT AND JUDICIAL REVIEW
11-110-1101. Suspension and revocation of license. (1) THE
BANKING BOARD MAY SUSPEND OR REVOKE A LICENSE OR ORDER A LICENSEE
TO REVOKE THE DESIGNATION OF AN AUTHORIZED DELEGATE IF:
(a) THE LICENSEE VIOLATES THIS ARTICLE 110 OR A RULE ADOPTED
OR AN ORDER ISSUED UNDER THIS ARTICLE 110;
(b) THE LICENSEE DOES NOT COOPERATE WITH AN EXAMINATION OR
INVESTIGATION BY THE BOARD;
PAGE 48-HOUSE BILL 25-1201
(C) THE LICENSEE ENGAGES IN FRAUD, INTENTIONAL
MISREPRESENTATION, OR GROSS NEGLIGENCE;
(d) AN AUTHORIZED DELEGATE IS CONVICTED OF A VIOLATION OF A
STATE OR FEDERAL ANTI-MONEY LAUNDERING STATUTE, OR VIOLATES A
RULE ADOPTED OR AN ORDER ISSUED UNDER THIS ARTICLE 110, AS A RESULT
OF THE LICENSEE'S WILLFUL MISCONDUCT OR WILLFUL BLINDNESS;
(e) THE COMPETENCE, EXPERIENCE, CHARACTER, OR GENERAL
FITNESS OF THE LICENSEE, AUTHORIZED DELEGATE, PERSON IN CONTROL OF
THE LICENSEE, KEY INDIVIDUAL, OR RESPONSIBLE PERSON OF THE
AUTHORIZED DELEGATE INDICATES THAT IT IS NOT IN THE PUBLIC INTEREST
TO PERMIT THE PERSON TO PROVIDE MONEY TRANSMISSION;
(f) THE LICENSEE ENGAGES IN AN UNSAFE OR UNSOUND PRACTICE;
(g) THE LICENSEE IS INSOLVENT, SUSPENDS PAYMENT OF ITS
OBLIGATIONS, OR MAKES A GENERAL ASSIGNMENT FOR THE BENEFIT OF ITS
CREDITORS; OR
(h) THE LICENSEE DOES NOT REMOVE AN AUTHORIZED DELEGATE
AFTER THE BOARD ISSUES AND SERVES UPON THE LICENSEE A FINAL ORDER,
INCLUDING A FINDING THAT THE AUTHORIZED DELEGATE HAS VIOLATED THIS
ARTICLE 110.
(2) IN DETERMINING WHETHER A LICENSEE IS ENGAGING IN AN
UNSAFE OR UNSOUND PRACTICE, THE BANKING BOARD MAY CONSIDER THE
SIZE AND CONDITION OF THE LICENSEE'S MONEY TRANSMISSION, THE
MAGNITUDE OF THE LOSS, THE GRAVITY OF THE VIOLATION OF THIS ARTICLE
110 OR A RULE ADOPTED OR ORDER ISSUED UNDER THIS ARTICLE 110, AND
THE PREVIOUS CONDUCT OF THE PERSON INVOLVED.
11-110-1102. Suspension and revocation of authorized delegates.
(1) THE BANKING BOARD MAY ISSUE AN ORDER SUSPENDING OR REVOKING
THE DESIGNATION OF AN AUTHORIZED DELEGATE IF THE BOARD FINDS THAT:
(a) THE AUTHORIZED DELEGATE VIOLATED THIS ARTICLE 110 OR A
RULE ADOPTED OR AN ORDER ISSUED UNDER THIS ARTICLE 110;
(b) THE AUTHORIZED DELEGATE DID NOT COOPERATE WITH AN
PAGE 49-HOUSE BILL 25-1201
EXAMINATION OR INVESTIGATION BY THE BOARD;
(C) THE AUTHORIZED DELEGATE ENGAGED IN FRAUD, INTENTIONAL
MISREPRESENTATION, OR GROSS NEGLIGENCE;
(d) THE AUTHORIZED DELEGATE IS CONVICTED OF A VIOLATION OF
A STATE OR FEDERAL ANTI-MONEY LAUNDERING STATUTE;
(e) THE COMPETENCE, EXPERIENCE, CHARACTER, OR GENERAL
FITNESS OF THE AUTHORIZED DELEGATE OR A PERSON IN CONTROL OF THE
AUTHORIZED DELEGATE INDICATES THAT IT IS NOT IN THE PUBLIC INTEREST
TO PERMIT THE AUTHORIZED DELEGATE TO PROVIDE MONEY TRANSMISSION;
OR
(f) THE AUTHORIZED DELEGATE IS ENGAGING IN AN UNSAFE OR
UNSOUND PRACTICE.
(2) IN DETERMINING WHETHER AN AUTHORIZED DELEGATE IS
ENGAGING IN AN UNSAFE OR UNSOUND PRACTICE, THE BANKING BOARD MAY.
CONSIDER THE SIZE AND CONDITION OF THE AUTHORIZED DELEGATE'S
PROVISION OF MONEY TRANSMISSION, THE MAGNITUDE OF THE LOSS, THE
GRAVITY OF THE VIOLATION OF THIS ARTICLE 110 OR A RULE ADOPTED OR
ORDER ISSUED UNDER THIS ARTICLE 110, AND THE PREVIOUS CONDUCT OF
THE AUTHORIZED DELEGATE.
(3) AN AUTHORIZED DELEGATE MAY APPLY FOR RELIEF FROM A
SUSPENSION OR REVOCATION OF DESIGNATION AS AN AUTHORIZED DELEGATE
ACCORDING TO PROCEDURES PRESCRIBED BY THE BANKING BOARD BY RULE.
11-110-1103. Orders to cease and desist. (1) IF THE BANKING
BOARD DETERMINES THAT A VIOLATION OF THIS ARTICLE 110 OR A RULE
ADOPTED OR AN ORDER ISSUED UNDER THIS ARTICLE 110 BY A LICENSEE OR
AUTHORIZED DELEGATE IS LIKELY TO CAUSE IMMEDIATE AND IRREPARABLE
HARM TO THE LICENSEE, THE LICENSEE'S CUSTOMERS, OR THE PUBLIC AS A
RESULT OF THE VIOLATION, OR CAUSE INSOLVENCY OR SIGNIFICANT
DISSIPATION OF ASSETS OF THE LICENSEE, THE BOARD MAY ISSUE AN ORDER
REQUIRING THE LICENSEE OR AUTHORIZED DELEGATE TO CEASE AND DESIST
FROM THE VIOLATION. THE ORDER BECOMES EFFECTIVE UPON SERVICE OF
THE ORDER UPON THE LICENSEE OR AUTHORIZED DELEGATE.
PAGE 50-HOUSE BILL 25-1201
(2) THE BANKING BOARD MAY ISSUE AN ORDER AGAINST A LICENSEE
TO CEASE AND DESIST FROM PROVIDING MONEY TRANSMISSION THROUGH AN
AUTHORIZED DELEGATE THAT IS THE SUBJECT OF A SEPARATE ORDER BY THE
BOARD.
(3) AN ORDER TO CEASE AND DESIST REMAINS EFFECTIVE AND
ENFORCEABLE PENDING THE COMPLETION OF AN ADMINISTRATIVE
PROCEEDING PURSUANT TO STATE ADMINISTRATIVE PROCEDURES.
(4) A LICENSEE OR AN AUTHORIZED DELEGATE THAT IS SERVED WITH
AN ORDER TO CEASE AND DESIST MAY PETITION THE APPROPRIATE COURT
FOR A JUDICIAL ORDER SETTING ASIDE, LIMITING, OR SUSPENDING THE
ENFORCEMENT, OPERATION, OR EFFECTIVENESS OF THE ORDER PENDING THE
COMPLETION OF AN ADMINISTRATIVE PROCEEDING PURSUANT TO STATE
ADMINISTRATIVE PROCEDURES.
(5) AN ORDER TO CEASE AND DESIST EXPIRES WITHIN TEN DAYS
AFTER THE ORDER IS ISSUED UNLESS THE BANKING BOARD COMMENCES AN
ADMINISTRATIVE PROCEEDING PURSUANT TO STATE ADMINISTRATIVE
PROCEDURES.
11-110-1104. Consent orders. THE BANKING BOARD MAY ENTER
INTO A CONSENT ORDER AT ANY TIME WITH A PERSON TO RESOLVE A MATTER
ARISING UNDER THIS ARTICLE 110 OR A RULE ADOPTED OR ORDER ISSUED
UNDER THIS ARTICLE 110. A CONSENT ORDER MUST BE SIGNED BY THE
PERSON TO WHOM IT IS ISSUED OR BY THE PERSON'S AUTHORIZED
REPRESENTATIVE AND MUST INDICATE AGREEMENT WITH THE TERMS
CONTAINED IN THE ORDER. A CONSENT ORDER MAY PROVIDE THAT IT DOES
NOT CONSTITUTE AN ADMISSION BY A PERSON THAT THIS ARTICLE 110 OR A
RULE ADOPTED OR AN ORDER ISSUED UNDER THIS ARTICLE 110 HAS BEEN
VIOLATED.
11-110-1105. Criminal penalties. (1) AN INDIVIDUAL THAT
INTENTIONALLY MAKES A FALSE STATEMENT, MISREPRESENTATION, OR
FALSE CERTIFICATION IN A RECORD FILED OR REQUIRED TO BE MAINTAINED
UNDER THIS ARTICLE 110 OR THAT INTENTIONALLY MAKES A FALSE ENTRY
OR OMITS A MATERIAL ENTRY IN SUCH A RECORD COMMITS A CLASS 2
MISDEMEANOR AND SHALL BE PUNISHED AS PROVIDED IN SECTION
18-1.3-501.
PAGE 51-HOUSE BILL 25-1201
(2) AN INDIVIDUAL THAT KNOWINGLY ENGAGES IN AN ACTIVITY FOR
WHICH A LICENSE IS REQUIRED UNDER THIS ARTICLE 110 WITHOUT BEING
LICENSED UNDER THIS ARTICLE 110 AND THAT RECEIVES MORE THAN FIVE
HUNDRED DOLLARS IN COMPENSATION WITHIN A THIRTY-DAY PERIOD FROM
THIS ACTIVITY COMMITS A CLASS 2 MISDEMEANOR AND SHALL BE PUNISHED
AS PROVIDED IN SECTION 18-1.3-501.
(3) AN INDIVIDUAL THAT KNOWINGLY ENGAGES IN AN ACTIVITY FOR
WHICH A LICENSE IS REQUIRED UNDER THIS ARTICLE 110 WITHOUT BEING
LICENSED UNDER THIS ARTICLE 110 AND THAT RECEIVES NO MORE THAN FIVE
HUNDRED DOLLARS IN COMPENSATION WITHIN A THIRTY-DAY PERIOD FROM
THIS ACTIVITY COMMITS A CLASS 2 MISDEMEANOR AND SHALL BE PUNISHED
AS PROVIDED IN SECTION 18-1.3-501.
11-110-1106. Civil penalties. THE BANKING BOARD MAY ASSESS A
CIVIL PENALTY AGAINST A PERSON THAT VIOLATES THIS ARTICLE 110 OR A
RULE ADOPTED OR AN ORDER ISSUED UNDER THIS ARTICLE 110 IN AN
AMOUNT AS DETERMINED BY THE BOARD FOR EACH DAY THE VIOLATION IS
OUTSTANDING, PLUS THIS STATE'S COSTS AND EXPENSES FOR THE
INVESTIGATION AND PROSECUTION OF THE MATTER, INCLUDING REASONABLE
ATTORNEY FEES.
11-110-1107. Unlicensed persons. (1) IF THE BANKING BOARD HAS
REASON TO BELIEVE THAT A PERSON HAS VIOLATED OR IS VIOLATING
SECTION 11-110-501, THE BOARD MAY ISSUE AN ORDER TO SHOW CAUSE
WHY AN ORDER TO CEASE AND DESIST SHOULD NOT BE ISSUED REQUIRING
THAT THE PERSON CEASE AND DESIST FROM THE VIOLATION OF SECTION
11-110-501.
(2) IN AN EMERGENCY, THE BANKING BOARD MAY PETITION THE
APPROPRIATE COURT FOR THE ISSUANCE OF A TEMPORARY RESTRAINING
ORDER EX PARTE PURSUANT TO THE RULES OF CIVIL PROCEDURE.
(3) AN ORDER TO CEASE AND DESIST BECOMES EFFECTIVE UPON
SERVICE OF THE ORDER UPON THE PERSON.
(4) AN ORDER TO CEASE AND DESIST REMAINS EFFECTIVE AND
ENFORCEABLE PENDING THE COMPLETION OF AN ADMINISTRATIVE
PROCEEDING PURSUANT TO STATE ADMINISTRATIVE PROCEDURES.
PAGE 52-HOUSE BILL 25-1201
(5) A PERSON THAT IS SERVED WITH AN ORDER TO CEASE AND DESIST
FOR VIOLATING SECTION 11-110-501 MAY PETITION THE APPROPRIATE COURT
FOR A JUDICIAL ORDER SETTING ASIDE, LIMITING, OR SUSPENDING THE
ENFORCEMENT, OPERATION, OR EFFECTIVENESS OF THE ORDER PENDING THE
COMPLETION OF AN ADMINISTRATIVE PROCEEDING PURSUANT TO STATE
ADMINISTRATIVE PROCEDURES.
11-110-1108. Judicial review. A PERSON AGGRIEVED AND DIRECTLY
AFFECTED BY AN ORDER OF THE BANKING BOARD ISSUED UNDER THIS
ARTICLE 110 MAY SEEK A REVIEW IN THE DISTRICT COURT OF THIS STATE IN
AND FOR THE COUNTY IN WHICH THE PRINCIPAL PLACE OF BUSINESS OF THE
APPLICANT, LICENSEE, OR AUTHORIZED DELEGATE IS LOCATED WITHIN
THIRTY DAYS AFTER RECEIPT OF WRITTEN NOTICE OF THE ORDER.
PART 12
MISCELLANEOUS PROVISIONS
11-110-1201. Uniformity of application and construction. IN
APPLYING AND CONSTRUING THIS ARTICLE 110, CONSIDERATION MUST BE
GIVEN TO THE NEED TO PROMOTE UNIFORMITY OF THE LAW WITH RESPECT TO
ITS SUBJECT MATTER AMONG STATES THAT ENACT IT.
11-110-1202. Severability. IF ANY PROVISION OF THIS ARTICLE 110
OR THE APPLICATION THEREOF TO ANY PERSON OR CIRCUMSTANCE IS HELD
INVALID, SUCH INVALIDITY DOES NOT AFFECT OTHER PROVISIONS OR
APPLICATIONS OF THIS ARTICLE 110 THAT CAN BE GIVEN EFFECT WITHOUT
THE INVALID PROVISION OR APPLICATION, AND TO THIS END THE PROVISIONS
OF THIS ARTICLE 110 ARE DECLARED TO BE SEVERABLE.
11-110-1203. Repeal of article - review of functions. THIS ARTICLE
110 IS REPEALED, EFFECTIVE SEPTEMBER 1, 2030. BEFORE THE REPEAL, THIS
ARTICLE 110 IS SCHEDULE FOR REVIEW IN ACCORDANCE WITH SECTION
24-34-104.
SECTION 2. Act subject to petition - effective date. This act
takes effect at 12:01 a.m. on the day following the expiration of the
ninety-day period after final adjournment of the general assembly; except
that, if a referendum petition is filed pursuant to section 1 (3) of article V
of the state constitution against this act or an item, section, or part of this act
within such period, then the act, item, section, or part will not take effect
PAGE 53-HOUSE BILL 25-1201
unless approved by the people at the general election to be held in
November 2026 and, in such case, will take effect on the date of the official
declaration of the vote thereon by the governor.
Julie Mc
4--u.Pad -
James Rashad Coleman, Sr.
SPEAKER OF THE HOUSE PRESIDENT OF
OF REPRESENTATIVES THE SENATE
VaitAmi1/4
altooni__
Vanessa Reilly Esther van Mourik
CHIEF CLERK OF THE HOUSE SECRETARY OF
OF REPRESENTATIVES THE SENATE
APPROVED Fe tk,...,4 VIzr 2.4.n.ab .....t ifz.m.s e.....
°Val and Time)
Jared S. P is
GOVE' R OF T STATE • COLORADO
PAGE 54-HOUSE BILL 25-1201