New York State Comptroller Thomas P. DiNapoli and Acting Superintendent of the Department of Financial Services (DFS) Kaitlin Asrow today announced the approval of the Butternut Valley Banking Development District (BDD) as a participant in the BDD program and deposited $35 million in New York State funds to Sidney Federal Credit Union’s (SFCU) Morris Branch.
The BDD program supports the establishment of bank and credit union branches across the State where there is a demonstrated need for banking services. DFS administers the program and recently designated Butternut Valley as a BDD. This new BDD covers the towns of Butternuts, New Lisbon, and Morris, and the villages of Gilbertsville and Morris. SFCU’s Morris branch is now a designated BDD branch eligible for State deposits. BDD applications by eligible financial institutions must be submitted in partnership with a local government. The Butternut Valley Alliance, with the towns of Butternuts, New Lisbon and Morris, and the villages of Gilbertsville and Morris, partnered with SFCU on the BDD application.
The BDD program was created to encourage and incentivize qualified banks and credit unions to open or maintain bank branches in underserved areas, and, subject to a DFS recommendation, authorizes the Comptroller to deposit State funds to eligible institutions. The Office of the State Comptroller’s deposit of $35 million in State funds in the SFCU Morris Branch will enhance its operations and provide affordable and accessible banking products and services to the Butternut Valley community.
New York State Comptroller Thomas P. DiNapoli said, “This designation will help Sidney Federal Credit Union expand banking options in the Butternut Valley community and strengthen the local economy. Community banks and credit unions are vital to the stability of small towns, helping local businesses, farms and families stay financially resilient through access to nearby, affordable banking services. I’m proud to partner with the Department of Financial Services and local leaders to make this investment in Otsego County.”
New York State Acting Superintendent of Financial Services Kaitlin Asrow said, the BDD program is critical to ensuring underserved communities can access affordable banking services across New York State. With 58 BDD designations approved by DFS, we are proud to have further expand this program and have it utilized by credit unions to continue our mission to create an inclusive financial system that empowers people, communities, and businesses.”
“Sidney Federal Credit Union is both excited and grateful to the New York State Department of Financial Services for recognizing the Butternut Valley as a Banking Development District,” said Jim Reynolds, president and CEO of Sidney Federal Credit Union. “This designation supports our mission to bring greater access to financial services and opportunity to rural communities that are often overlooked. We appreciate the partnership and support from the Department of Financial Services, the Butternut Valley Alliance, our municipal partners and the residents of the Butternut Valley in helping make this possible. We look forward to working together to create a lasting, positive impact for Morris and surrounding communities.”
State Senator Peter Oberacker said, “Access to financial services shouldn’t be dependent on where you live. Because of the BDD program, residents across New York can utilize financial tools to help build credit, grow savings, and increase financial literacy.”
State Assemblyman Joseph Angelino said, “This designation will help expand the economic opportunity for our small businesses and empower our community to build a more stable financial future. SFCU will provide financial education workshops and banking options that will create a stronger future for our region.”
State Assemblyman Brian D. Miller said, “Today's announcement provides residents of the Butternut Valley long-needed financial relief. With access to inexpensive financial services, our small businesses, communities, and families can have reliable access to banking services where it is needed the most.”
"Butternut Valley Alliance (BVA), through the Save Our Bank initiative that brought Sidney Federal Credit Union (SFCU) to Morris, is pleased to have worked with SFCU to achieve Banking Development District approval," said Maggie Brenner, BVA Vice Chair. "This designation is important for our municipalities to have local banking services and is a testament to the Department of Financial Services (DFS) recognition of the growth potential in our Valley. The team at DFS was a pleasure to work with and their guidance and support were appreciated."
The designation of Butternut Valley reflects the strong support of local organizations, particularly the Butternut Valley Alliance, residents, small businesses and elected officials, as part of the BDD application process.
The SFCU Morris Branch is committed to providing affordable banking products and services, expanding banking access, and increasing financial education initiatives that will foster personal and business growth and support financial empowerment and inclusion within the Butternut Valley community. SFCU’s banking products and services include free checking accounts, small business loans, construction loans, agricultural equipment loans, home equity lines of credit, online banking options, and sponsoring financial education workshops in the community.
The SFCU Morris Branch, located at 132 Main Street, Village of Morris, Town of Morris, NY 13808, marks the state’s 58th BDD designation. As of February 13, 2026, the State Comptroller’s office had deposits totaling approximately $514 million in 13 banking institutions that have opened or maintained branches in BDDs across New York State.
Learn more about the Banking Development District program on the DFS website.