federal register
52809
Thursday
October 9, 1997
Part II
Federal Deposit
Insurance
Corporation
12 CFR Parts 303, 337, et al.
Practice and Procedure: Golden
Parachute and Indemnification Payments;
Proposed Rule
Deposit Insurance Applications; Notice
Bank Merger Transactions; Notice
Domestic Branch Establishment
Applications; Notice
Main Office or Branch Relocation
Applications; Notice
Liability of Commonly Controlled
Depository Institutions; Notice
52809
Thursday
October 9, 1997
Part II
Federal Deposit
Insurance
Corporation
12 CFR Parts 303, 337, et al.
Practice and Procedure: Golden
Parachute and Indemnification Payments;
Proposed Rule
Deposit Insurance Applications; Notice
Bank Merger Transactions; Notice
Domestic Branch Establishment
Applications; Notice
Main Office or Branch Relocation
Applications; Notice
Liability of Commonly Controlled
Depository Institutions; Notice
52810 Federal Register / Vol. 62, No. 196 / Thursday, October 9, 1997 / Proposed Rules
FEDERAL DEPOSIT INSURANCE
CORPORATION
12 CFR Parts 303, 337, 341, 346, 348,
and 359
RIN 3064–AC02
Applications, Requests, Submittals,
Delegations of Authority, and Notices
Required To Be Filed by Statute or
Regulation; Unsafe and Unsound
Banking Practices; Registration of
Transfer Agents; Foreign Banks;
Management Official Interlocks;
Golden Parachute and Indemnification
Payments
AGENCY: Federal Deposit Insurance
Corporation (FDIC).
ACTION: Proposed rule.
SUMMARY: The FDIC is proposing to
amend its regulations governing
application, notice and request
procedures and delegations of authority
by streamlining, modernizing and
clarifying current policies and practices.
Specifically, the FDIC proposes to offer
qualifying well-capitalized and well-
managed insured depository institutions
and their holding companies expedited
review procedures for several major
types of filings, including deposit
insurance, merger and branch
applications. The agency also proposes
to centralize substantially all filing
procedures found throughout its rules
within the regulation for ease of
reference. Furthermore, the FDIC
proposes to reorganize the requirements
for each major application or notice type
into a separate regulatory subpart that
will contain all information necessary to
submit a filing to the agency, as well as
any relevant internal agency delegations
of authority to approve or deny
submissions. In addition, the agency is
incorporating statutory changes to its
application procedures made by the
Economic Growth and Regulatory
Paperwork Reduction Act of 1996.
Finally, the FDIC is proposing technical
amendments to related regulations to
conform these changes.
This action is being taken in
accordance with section 303(a) of the
Riegle Community Development and
Regulatory Improvement Act of 1994
which requires the federal banking
agencies to review and streamline their
regulations and policies in order to
improve efficiency, reduce unnecessary
costs, eliminate unwarranted constraints
on credit availability, and remove
inconsistencies and outmoded and
duplicative requirements.
The proposal seeks to reduce burden
on insured depository institutions by
imposing regulatory requirements only
where needed to address safety and
soundness concerns or accomplish other
statutory responsibilities of the FDIC.
The proposed rule also strives to more
closely align the FDIC’s application
processing regulations with those of the
other federal banking agencies.
DATES: Comments must be received by
January 7, 1998.
ADDRESSES: Send written comments to
Robert E. Feldman, Executive Secretary,
Attention: Comments/OES, Federal
Deposit Insurance Corporation, 550 17th
Street, NW., Washington, DC 20429.
Comments may be hand-delivered to the
guard station at the rear of the 17th
Street building (located on F Street), on
business days between 7 a.m. and 5 p.m.
(Fax number (202) 898–3838; Internet
address: comments@fdic.gov).
Comments may be inspected and
photocopied in the FDIC Public
Information Center, Room 100, 801 17th
Street, NW., Washington, DC 20429,
between 9 a.m. and 4:30 p.m. on
business days.
FOR FURTHER INFORMATION CONTACT:
Division of Supervision: Cary H. Hiner,
Associate Director, (202) 898–6814;
Jesse G. Snyder, Assistant Director,
(202) 898–6915; Mark S. Schmidt,
Assistant Director, (202) 898–6918.
Division of Compliance and Consumer
Affairs: Steven D. Fritts, Associate
Director, (202) 942–3454, and Louise N.
Kotoshirodo, Review Examiner, (202)
942–3599. Legal Division: Susan van
den Toorn, Counsel, Regulation and
Legislation Section, (202) 898–8707, and
Nancy Schucker Recchia, Counsel,
Regulation and Legislation Section,
(202) 898–8885. For administrative
enforcement issues: Grovetta N.
Gardineer, Counsel, Compliance and
Enforcement Section, (202) 736–0665,
and Philip P. Houle, Counsel,
Compliance and Enforcement Section,
(202) 736–0758. For foreign bank
activities (Subpart J): Jamey G. Basham,
Counsel, Regulation and Legislation
Section, Legal Division (202) 898–7265,
and Christie A. Sciacca, Assistant
Director, Division of Supervision (202)
898–3671, Federal Deposit Insurance
Corporation, 550 17th Street, NW.,
Washington, DC 20429.
SUPPLEMENTARY INFORMATION:
I. Background
Part 303 of the FDIC’s regulations (12
CFR part 303) generally describes the
procedures to be followed by both the
FDIC and applicants with respect to
applications, notices, or requests
required to be filed by statute or
regulation. Additional information
concerning processing is contained in
related FDIC statements of policy. Part
303 also sets forth delegations of
authority from the FDIC’s Board of
Directors to the Directors of the Division
of Supervision (DOS), the Division of
Compliance and Consumer Affairs
(DCA), the General Counsel of the Legal
Division, the Executive Secretary, and,
in some cases, their designees to act on
certain applications, notices, requests,
and enforcement matters.
The FDIC is proposing comprehensive
revisions to part 303 as part of a
systematic review of its regulations and
policy statements undertaken in
accordance with section 303(a) of the
Riegle Community Development and
Regulatory Improvement Act of 1994
(CDRIA) (12 U.S.C. 4803(a)). Section
303(a) of CDRIA requires the FDIC, the
Office of the Comptroller of the
Currency, the Board of Governors of the
Federal Reserve System, and the Office
of Thrift Supervision (federal banking
agencies) to streamline and modify their
regulations and written policies in order
to improve efficiency, reduce
unnecessary costs, and eliminate
unwarranted constraints on credit
availability. The statute also requires
each of the federal banking agencies to
remove inconsistencies and outmoded
and duplicative requirements from their
regulations and written policies.
To initiate its CDRIA review, the FDIC
published in the Federal Register a
notice soliciting comment on its
regulations and written policies. 60 FR
62345, December 6, 1995. In response to
that request, the FDIC received four
comments regarding part 303 and one
comment concerning a related policy
statement.
One commenter wrote that electronic
filing of various reports and documents
has the potential to reduce burden
arising from compliance with filing
requirements. In particular, the
commenter noted that other
governmental agencies already have
recognized the benefits of electronic
filing and that certain application
procedures, such as applications to
establish or relocate an office and
applications relating to mergers are
well-suited for electronic filing. The
FDIC is working the other federal
banking agencies in an attempt to adopt
uniform filing forms for common
applications and to have such forms
filed electronically where possible.
Another commenter suggested that
with regard to applications by insured
state nonmember banks to establish a
branch, move its main office, or relocate
a branch pursuant to § 303.2(c), the
regulations should reduce the regulatory
burden of setting up shared automated
teller machines (ATMs). Applications
are no longer required for ATMs and
FEDERAL DEPOSIT INSURANCE
CORPORATION
12 CFR Parts 303, 337, 341, 346, 348,
and 359
RIN 3064–AC02
Applications, Requests, Submittals,
Delegations of Authority, and Notices
Required To Be Filed by Statute or
Regulation; Unsafe and Unsound
Banking Practices; Registration of
Transfer Agents; Foreign Banks;
Management Official Interlocks;
Golden Parachute and Indemnification
Payments
AGENCY: Federal Deposit Insurance
Corporation (FDIC).
ACTION: Proposed rule.
SUMMARY: The FDIC is proposing to
amend its regulations governing
application, notice and request
procedures and delegations of authority
by streamlining, modernizing and
clarifying current policies and practices.
Specifically, the FDIC proposes to offer
qualifying well-capitalized and well-
managed insured depository institutions
and their holding companies expedited
review procedures for several major
types of filings, including deposit
insurance, merger and branch
applications. The agency also proposes
to centralize substantially all filing
procedures found throughout its rules
within the regulation for ease of
reference. Furthermore, the FDIC
proposes to reorganize the requirements
for each major application or notice type
into a separate regulatory subpart that
will contain all information necessary to
submit a filing to the agency, as well as
any relevant internal agency delegations
of authority to approve or deny
submissions. In addition, the agency is
incorporating statutory changes to its
application procedures made by the
Economic Growth and Regulatory
Paperwork Reduction Act of 1996.
Finally, the FDIC is proposing technical
amendments to related regulations to
conform these changes.
This action is being taken in
accordance with section 303(a) of the
Riegle Community Development and
Regulatory Improvement Act of 1994
which requires the federal banking
agencies to review and streamline their
regulations and policies in order to
improve efficiency, reduce unnecessary
costs, eliminate unwarranted constraints
on credit availability, and remove
inconsistencies and outmoded and
duplicative requirements.
The proposal seeks to reduce burden
on insured depository institutions by
imposing regulatory requirements only
where needed to address safety and
soundness concerns or accomplish other
statutory responsibilities of the FDIC.
The proposed rule also strives to more
closely align the FDIC’s application
processing regulations with those of the
other federal banking agencies.
DATES: Comments must be received by
January 7, 1998.
ADDRESSES: Send written comments to
Robert E. Feldman, Executive Secretary,
Attention: Comments/OES, Federal
Deposit Insurance Corporation, 550 17th
Street, NW., Washington, DC 20429.
Comments may be hand-delivered to the
guard station at the rear of the 17th
Street building (located on F Street), on
business days between 7 a.m. and 5 p.m.
(Fax number (202) 898–3838; Internet
address: comments@fdic.gov).
Comments may be inspected and
photocopied in the FDIC Public
Information Center, Room 100, 801 17th
Street, NW., Washington, DC 20429,
between 9 a.m. and 4:30 p.m. on
business days.
FOR FURTHER INFORMATION CONTACT:
Division of Supervision: Cary H. Hiner,
Associate Director, (202) 898–6814;
Jesse G. Snyder, Assistant Director,
(202) 898–6915; Mark S. Schmidt,
Assistant Director, (202) 898–6918.
Division of Compliance and Consumer
Affairs: Steven D. Fritts, Associate
Director, (202) 942–3454, and Louise N.
Kotoshirodo, Review Examiner, (202)
942–3599. Legal Division: Susan van
den Toorn, Counsel, Regulation and
Legislation Section, (202) 898–8707, and
Nancy Schucker Recchia, Counsel,
Regulation and Legislation Section,
(202) 898–8885. For administrative
enforcement issues: Grovetta N.
Gardineer, Counsel, Compliance and
Enforcement Section, (202) 736–0665,
and Philip P. Houle, Counsel,
Compliance and Enforcement Section,
(202) 736–0758. For foreign bank
activities (Subpart J): Jamey G. Basham,
Counsel, Regulation and Legislation
Section, Legal Division (202) 898–7265,
and Christie A. Sciacca, Assistant
Director, Division of Supervision (202)
898–3671, Federal Deposit Insurance
Corporation, 550 17th Street, NW.,
Washington, DC 20429.
SUPPLEMENTARY INFORMATION:
I. Background
Part 303 of the FDIC’s regulations (12
CFR part 303) generally describes the
procedures to be followed by both the
FDIC and applicants with respect to
applications, notices, or requests
required to be filed by statute or
regulation. Additional information
concerning processing is contained in
related FDIC statements of policy. Part
303 also sets forth delegations of
authority from the FDIC’s Board of
Directors to the Directors of the Division
of Supervision (DOS), the Division of
Compliance and Consumer Affairs
(DCA), the General Counsel of the Legal
Division, the Executive Secretary, and,
in some cases, their designees to act on
certain applications, notices, requests,
and enforcement matters.
The FDIC is proposing comprehensive
revisions to part 303 as part of a
systematic review of its regulations and
policy statements undertaken in
accordance with section 303(a) of the
Riegle Community Development and
Regulatory Improvement Act of 1994
(CDRIA) (12 U.S.C. 4803(a)). Section
303(a) of CDRIA requires the FDIC, the
Office of the Comptroller of the
Currency, the Board of Governors of the
Federal Reserve System, and the Office
of Thrift Supervision (federal banking
agencies) to streamline and modify their
regulations and written policies in order
to improve efficiency, reduce
unnecessary costs, and eliminate
unwarranted constraints on credit
availability. The statute also requires
each of the federal banking agencies to
remove inconsistencies and outmoded
and duplicative requirements from their
regulations and written policies.
To initiate its CDRIA review, the FDIC
published in the Federal Register a
notice soliciting comment on its
regulations and written policies. 60 FR
62345, December 6, 1995. In response to
that request, the FDIC received four
comments regarding part 303 and one
comment concerning a related policy
statement.
One commenter wrote that electronic
filing of various reports and documents
has the potential to reduce burden
arising from compliance with filing
requirements. In particular, the
commenter noted that other
governmental agencies already have
recognized the benefits of electronic
filing and that certain application
procedures, such as applications to
establish or relocate an office and
applications relating to mergers are
well-suited for electronic filing. The
FDIC is working the other federal
banking agencies in an attempt to adopt
uniform filing forms for common
applications and to have such forms
filed electronically where possible.
Another commenter suggested that
with regard to applications by insured
state nonmember banks to establish a
branch, move its main office, or relocate
a branch pursuant to § 303.2(c), the
regulations should reduce the regulatory
burden of setting up shared automated
teller machines (ATMs). Applications
are no longer required for ATMs and