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Committee advances bill to study a state public bank; backers say it could reduce financing costs

California State Assembly Banking and Finance Committee · April 23, 2026
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

AB 2,243 to establish a state bank commission moved out of the Assembly Banking and Finance Committee. Sponsor Assemblymember Haney said a commission would evaluate whether a state bank or other public finance tools could lower borrowing costs; proponents cited potential long‑term public benefits while banks and credit unions warned of taxpayer risk.

The Assembly Banking and Finance Committee voted to pass AB 2,243 to the Committee on Appropriations after testimony for and against establishing a state bank commission to study public banking options.

Assemblymember Haney, the bill’s sponsor, said AB 2,243 does not create a bank but would establish a deliberative, independent commission to evaluate whether a state bank or other public financing tools could better manage public dollars. "The goal is to complement, not replace existing financing mechanisms," Haney said, adding that the…

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