NYC Council: Hey, How About Telling Banks Where and How to Do Business?

After the housing meltdown, you would think that strong-arming banks into handing money away to money-losing prospects dressed up under the guise of "community re-investment' would be studiously avoided.  You would think and you would be wrong.  Leave it to a perennial font of ill-advised intrusive and coercive schemes - the New York City Council - to come up with another 'force the banks to do our socialist bidding' directive.

Banks holding New York City treasury funds would be required to disclose investments and business practices in neighborhoods under a law City Council members say they’ll pass today.

The bill... would also create a community-investment advisory board in the Finance Department that would review banks’ branch locations, loans, delinquencies and foreclosures organized by census tract. Officials could use the information to determine whether the city should deposit its funds there, according to the text of the bill.
...
“This bill is designed to make banking reinvestment activity transparent, fair, and, above all, constructive, for our working-class communities,” Councilman Domenic Recchia Jr., a Democrat from Brooklyn who co-sponsored the measure, said in an e-mail"

At least it appears that Mayor Nannyberg will veto the bill.  If not, if I'm running any of these banks, the solution is very simple, "where should we send your deposits NYC, they are not welcome at our bank any longer?"