Assessment of Fees

Published date20 March 2019
Citation84 FR 10270
Record Number2019-05128
SectionProposed rules
CourtThe Comptroller Of The Currency Office,Treasury Department
Federal Register, Volume 84 Issue 54 (Wednesday, March 20, 2019)
[Federal Register Volume 84, Number 54 (Wednesday, March 20, 2019)]
                [Proposed Rules]
                [Pages 10270-10274]
                From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
                [FR Doc No: 2019-05128]
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                DEPARTMENT OF THE TREASURY
                Office of the Comptroller of the Currency
                12 CFR Part 8
                [Docket No. OCC-2018-0039]
                RIN 1557-AE58
                Assessment of Fees
                AGENCY: Office of the Comptroller of the Currency, Treasury.
                ACTION: Notice of proposed rulemaking.
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                SUMMARY: The Office of the Comptroller of the Currency (OCC) proposes
                to revise its assessment rules to provide partial assessment refunds to
                national banks, Federal savings associations, and Federal branches and
                agencies of foreign banks (collectively, banks under OCC jurisdiction)
                that exit OCC jurisdiction within the first half of each six-month
                period beginning the day after the date of the second or fourth
                quarterly Consolidated Report of Condition and Income (Call Report).
                The proposed rule would not change the current dates of collection for
                assessments nor would it change the way in which assessments are
                calculated for banks that remain under the OCC's supervision. The
                proposed rule would also make technical changes to the assessments
                rules.
                DATES: Comments must be received by April 19, 2019.
                ADDRESSES: You may submit comments to the OCC by any of the methods set
                forth below. Commenters are encouraged to submit comments through the
                Federal eRulemaking Portal or email, if possible. Please use the title
                ``Assessment of Fees'' to facilitate the organization and distribution
                of the comments. You may submit comments by any of the following
                methods:
                 Federal eRulemaking Portal--``Regulations.gov'': Go to
                www.regulations.gov. Enter ``Docket ID OCC-2018-0039'' in the Search
                Box and click ``Search.'' Click on ``Comment Now'' to submit public
                comments. Click on the ``Help'' tab on the Regulations.gov home page to
                get information on using Regulations.gov, including instructions for
                submitting public comments.
                 Email: [email protected].
                 Mail: Legislative and Regulatory Activities Division,
                Office of the Comptroller of the Currency, 400 7th Street SW, Suite 3E-
                218, Washington, DC 20219.
                 Hand Delivery/Courier: 400 7th Street SW, Suite 3E-218,
                Washington, DC 20219.
                 Fax: (571) 465-4326.
                 Instructions: You must include ``OCC'' as the agency name and
                ``Docket ID OCC-2018-0039'' in your comment. In general, the OCC will
                enter all comments received into the docket and publish the comments on
                the Regulations.gov website without change, including any business or
                personal information that you provide such as name and address
                information, email addresses, or phone numbers. Comments received,
                including attachments and other supporting materials, are part of the
                public record and subject to public disclosure. Do not include any
                information in your comment or supporting materials that you consider
                confidential or inappropriate for public disclosure.
                 You may review comments and other related materials that pertain to
                this rulemaking action by any of the following methods:
                 Viewing Comments Electronically: Go to
                www.regulations.gov. Enter ``Docket ID OCC-2018-0039'' in the Search
                box and click ``Search.'' Click on ``Open Docket Folder'' on the right
                side of the screen. Comments and supporting materials can be viewed and
                filtered by clicking on ``View all documents and comments in this
                docket'' and then using the filtering tools on the left side of the
                screen. Click on the ``Help'' tab on the Regulations.gov home page to
                get information on using Regulations.gov. The docket may be viewed
                after the close of the comment period in the same manner as during the
                comment period.
                 Viewing Comments Personally: You may personally inspect
                comments at the OCC, 400 7th Street SW, Washington, DC 20219. For
                security reasons, the OCC requires that visitors make an appointment to
                inspect comments. You may do so by calling (202) 649-6700 or, for
                persons who are deaf or hearing impaired, TTY, (202) 649-5597. Upon
                arrival, visitors will be required to present valid government-issued
                photo identification and submit to security screening in order to
                inspect comments.
                FOR FURTHER INFORMATION CONTACT: Deborah Thomas, AT Team Lead,
                Financial Management, (202) 649-5540; or Mitchell Plave, Special
                Counsel, Office of the Chief Counsel, (202) 649-5490; or for persons
                who are deaf or hearing impaired, TTY, (202) 649-5597, 400 7th Street
                SW, Washington, DC 20219.
                SUPPLEMENTARY INFORMATION:
                I. Background
                 The National Bank Act \1\ and the Home Owners' Loan Act \2\
                authorize the Comptroller to fund the OCC's operations through
                assessments, fees, and other charges on banks.\3\ In setting
                assessments, the Comptroller has broad authority to consider variations
                among institutions, including the nature and scope of the activities of
                the entity, the amount and type of assets that the entity holds, the
                financial and managerial condition of the entity, and any other factor
                the Comptroller determines is appropriate.\4\
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                 \1\ Revised Statutes of the United States, Title LXII, 12 U.S.C.
                1 et seq.
                 \2\ The Home Owners' Loan Act, 12 U.S.C. 1461 et seq.
                 \3\ 12 U.S.C. 16, 481, 482, 1467.
                 \4\ 12 U.S.C. 16. See also 12 U.S.C. 1467 (providing that the
                Comptroller has the authority to recover costs of examination of
                Federal savings associations ``as the Comptroller deems necessary or
                appropriate'').
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                 The OCC collects assessments from banks in accordance with 12 CFR
                part 8. Under part 8, the base assessment for banks is calculated using
                a table with eleven categories, or brackets, each of which comprises a
                range of asset-size values. The assessment for each bank is the sum of
                a base amount, which is the same for every bank in its asset-size
                bracket, plus a marginal amount, which is computed by applying a
                marginal assessment rate to the amount in excess of the lower boundary
                of the asset-size bracket.\5\ The marginal assessment rate declines as
                asset size increases, reflecting economies of scale in bank examination
                and supervision.
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                 \5\ 12 CFR 8.2(a). Only the total domestic assets of Federal
                branches and agencies are subject to assessment. 12 CFR 8.2(b)(2).
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                 The OCC's annual Notice of Office of the Comptroller of the
                Currency Fees and Assessments (Notice of Fees) sets forth the marginal
                assessment rates applicable to each asset-size bracket for each year,
                as well as other assessment components and fees. Under part 8, the OCC
                may adjust the marginal rates to account for inflation through the
                annual Notice of Fees.\6\ The OCC also has the discretion under part 8
                to adjust marginal rates by amounts other than inflation.\7\ The OCC
                may issue an interim or amended Notice of Fees if the Comptroller
                determines that it is
                [[Page 10271]]
                necessary to revise assessments to meet the OCC's supervisory
                obligations.\8\
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                 \6\ 12 CFR 8.2(a)(4).
                 \7\ Id.
                 \8\ 12 CFR 8.8(b).
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                 Under 12 CFR 8.2, the OCC collects assessments on a semiannual
                basis, with fees due by March 31 and September 30 of each year for the
                six-month period beginning on January 1 and July 1 before each payment
                date.\9\ Under this schedule, banks pay half of the semiannual
                assessment prospectively and half retrospectively. This schedule for
                collection of assessments was adopted in 2005, when the OCC issued a
                rule to streamline the assessments billing process.\10\ Between 1976,
                when the OCC adopted the marginal assessments structure, and 2005, the
                OCC collected assessments prospectively for five months and
                retrospectively for one month.\11\
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                 \9\ 12 CFR 8.2(a) and 8.2(b).
                 \10\ 70 FR 69641 (Nov. 17, 2005).
                 \11\ 41 FR 3285 (Jan. 22, 1976).
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                 Under 12 CFR 8.2(a)(5) and (b)(3), each bank subject to the
                jurisdiction of the OCC on the date of the second or fourth quarterly
                Call Report is subject to the full assessment for the next six-month
                period. As noted in the Notice of Fees for 2018,\12\ only those
                institutions leaving OCC jurisdiction before the close of business on
                those dates avoid paying the semiannual assessment for the period
                beginning January 1 or July 1, as applicable.
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                 \12\ See OCC Bulletin 2017-60 (Office the Comptroller of the
                Currency Fees and Assessments).
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                II. Proposed Changes
                Assessment Refunds
                 Under the current assessments structure, banks that are subject to
                the jurisdiction of the OCC on the last day of the six-month period
                ending on December 31 or June 30 are subject to the full assessment for
                the next six-month period beginning January 1 or July 1, with payment
                due March 31 or September 30, as appropriate.\13\ Under the proposed
                rule, banks that leave OCC jurisdiction by the appropriate payment due
                date would receive a refund of assessments for the second three months
                of the semiannual assessment period. For example, a bank that was
                subject to the jurisdiction of the OCC as of December 31 would receive
                a refund of assessments for the second three months of the semiannual
                assessment period beginning January 1 if it leaves OCC jurisdiction by
                March 31.
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                 \13\ 12 CFR 8.2(a) and 8.2(b).
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                 The proposed rule is intended to eliminate the requirement that
                banks prospectively pay for one half of each assessment period after
                they no longer are subject to the jurisdiction of the OCC by setting
                the refund equal to the prospective portion of the assessment. Under
                the current rule, the payment due date effectively divides each six-
                month period into two three-month periods, and a bank subject to the
                jurisdiction of the OCC on the date of the applicable Call Report
                (December 31 or June 30) must pay the full assessment on the payment
                due date of the semiannual assessment (March 31 and September 30) even
                if it has left OCC jurisdiction by that date. This structure can result
                in banks prospectively paying assessment fees for three-month periods
                during which they are not subject to the jurisdiction of the OCC at any
                time. The proposed rule would maintain semiannual payments, but provide
                refunds equal to the prospective half of the assessment to banks that
                leave the jurisdiction of the OCC between the date of the applicable
                Call Report and the date of collection. In doing so, the proposed rule
                would assess a bank to cover only any three-month period during which
                it was subject to the jurisdiction of the OCC.
                Technical and Conforming Amendments
                 The proposed rule also includes technical and conforming
                amendments. These are intended to reduce ambiguity and further
                consistent terminology throughout 12 CFR part 8. The first change would
                amend Sec. Sec. 8.5(d) and 8.6(c)(1)(iii) concerning the condition
                surcharge to replace the phrase ``at its most recent examination'' with
                the phrase ``prior to December 31 or June 30, as appropriate.'' This
                change would clarify that the condition surcharge is calculated in
                tandem with the OCC's calculation of other assessment components based
                on Call Report information as of December 31 and June 30 of each
                year.\14\ This amendment to the rule would not change the OCC's current
                practice of calculating a bank's surcharge as of its most recent
                ratings prior to December 31 and June 30, as appropriate. Under this
                policy, surcharges are neither raised nor lowered between December 31
                and June 30, as appropriate, and the collection dates of March 31 and
                September 30, as appropriate.
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                 \14\ See OCC Bulletin 2017-60 (Office the Comptroller of the
                Currency Fees and Assessments) (describing the process for
                calculating assessments).
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                 The second change would make several revisions to 12 CFR 8.7
                concerning interest on delinquent assessments and fees and refunds in
                the case of an error or miscalculation of assessments or fees. First,
                it would add the prefatory clause, ``Within 30 calendar days of receipt
                of such notice, the OCC shall either--'' at Sec. 8.7(b)(1). This
                clause was originally included at Sec. 8.7(b) as introductory text and
                was inadvertently deleted in connection with a prior rulemaking.
                Restoring it would clarify the OCC's obligations under Sec. 8.7(b).
                This change would also redesignate the current Sec. 8.7(b)(1) and (2)
                as Sec. 8.7(b)(1)(i) and (ii), respectively. In addition, the proposed
                rule would redesignate the current Sec. 8.7(b) concluding text as
                Sec. 8.7(b)(2). Finally, the proposed rule would simplify the language
                used in Sec. 8.7(a) and (b) and clarify that provisions dealing with
                special examination or investigation fees apply to any institution
                subject to such an exam or investigation. These amendments would not
                change the OCC's current policy of considering assessment payments
                delinquent if received after the time for payment specified in 12 CFR
                8.2; considering special examination and investigation fees delinquent
                if not received within 30 calendar days of the invoice date; requiring
                interest on delinquent payments and fees; and providing either a refund
                or notice of its unwillingness to accept a refund request within 30
                calendar days of receipt of a request.
                 The proposed rule would also conform all references to the ``Office
                of the Comptroller of the Currency,'' ``Comptroller of the Currency,''
                or ``Office'' to ``OCC,'' except with respect to references to the
                Notice of Fees; conform all references to ``Notice of Comptroller of
                the Currency Fees'' or ``Notice of Comptroller of the Currency of
                Fees'' to ``Notice of Office of the Comptroller of the Currency Fees
                and Assessments''; add hyphens to all compound modifiers where a hyphen
                is not currently used; remove references to ``Thrift Financial
                Reports,'' which are no longer used; remove a duplicate reference to
                ``Uniform Financial Institutions Rating System'' in 12 CFR
                8.6(c)(1)(iii); remove a duplicate and unnecessary citation to
                authority in 12 CFR 8.6(a); replace an incorrect reference to ``each
                national bank'' with a reference to ``each Federal branch and agency''
                in 12 CFR 8.2(b)(1); add the modifier ``national'' to references to
                banks and terms, such as ``independent credit card banks,'' as
                appropriate; add the term ``independent trust'' before references to
                banks and Federal savings associations in 12 CFR 8.6(c)(1)(iii) and add
                a reference to independent trust Federal savings associations where the
                provision currently only refers to banks; and add conforming references
                to Federal branches and agencies, as necessary.
                [[Page 10272]]
                Regulatory Analysis
                Paperwork Reduction Act of 1995
                 In accordance with the Paperwork Reduction Act of 1995 (PRA) (44
                U.S.C. 3501 et seq.) the OCC may not conduct or sponsor, and an
                organization is not required to respond to, an information collection
                unless the information collection displays a currently valid Office of
                Management and Budget (OMB) control number. This notice of proposed
                rulemaking does not contain a collection of information under the PRA.
                Regulatory Flexibility Act
                 In general, the Regulatory Flexibility Act (RFA) (5 U.S.C. 601 et
                seq.) requires that in connection with a rulemaking, an agency prepare
                and make available for public comment a regulatory flexibility analysis
                that describes the impact of the rule on small entities. Under section
                605(b) of the RFA, this analysis is not required if an agency certifies
                that the rule will not have a significant economic impact on a
                substantial number of small entities and publishes its certification
                and a brief explanatory statement in the Federal Register along with
                its rule.
                 The OCC currently supervises approximately 886 small entities.\15\
                Although the number of OCC-supervised small banks affected will vary
                each year, the OCC does not expect that the proposed rule, if adopted
                as final, would affect a substantial number (generally defined as five
                percent or more of OCC-supervised small entities) in any given year,
                based on the OCC's experience with departures from the charters in
                recent years. For example, had the proposed rule applied in 2018, the
                OCC would have refunded assessments totaling $579,000 to 22 banks, 19
                of which were small banks (approximately two percent of OCC-supervised
                small entities). Similarly, if the proposed rule had applied in 2017,
                the OCC would have refunded assessments totaling $663,000 to 16 banks,
                12 of which were small banks; in 2016, the OCC would have refunded
                assessments totaling $392,000 to 26 banks, all of which were small
                banks; and in 2015, the OCC would have refunded assessments totaling
                $555,000 to 29 banks, 27 of which were small banks. In each of these
                years, the number of institutions that would have been affected by the
                proposed rule was less than five percent of OCC-supervised small
                entities. Therefore, the proposed rule would not have affected a
                substantial number of small entities during these years.
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                 \15\ The OCC bases its estimate of the number of small entities
                on the SBA's size thresholds for commercial banks and savings
                institutions, and trust companies, which are $550 million and $38.5
                million, respectively. Consistent with the General Principles of
                Affiliation in 13 CFR 121.103(a), the OCC counts the assets of
                affiliated financial institutions when determining if we should
                classify an OCC-supervised institution as a small entity. The OCC
                uses December 31, 2017, to represent size because a ``financial
                institution's assets are determined by averaging the assets reported
                on its four quarterly financial statements for the preceding year.''
                See footnote 8 of the U.S. Small Business Administration's Table of
                Size Standards.
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                 The OCC also considered whether the proposed rule would result in a
                significant economic impact on small entities. In general, the OCC
                classifies the economic impact of expected cost (or benefit) to comply
                with a rule on an individual bank as significant if the total estimated
                monetized costs (or benefits) in one year are greater than 5 percent of
                the bank's total annual salaries and benefits or 2.5 percent of the
                bank's total annual non-interest expense. Based on the above criteria,
                and the refund amounts for the years 2015 through 2018 outlined above,
                the OCC estimates that impact of the proposed rule, had it been in
                place for 2015-2018, would not have had a significant economic impact
                at any of the affected institutions.
                 Based on the data and experience of the OCC in recent years with
                departures from the charters, the OCC certifies that the proposed rule,
                if adopted as final, would not have a significant economic impact on a
                substantial number of small entities.
                Unfunded Mandates Reform Act of 1995
                 The OCC analyzed the proposed rule under the factors set forth in
                the Unfunded Mandates Reform Act of 1995 (UMRA) (2 U.S.C. 1532). Under
                this analysis, the OCC considered whether the proposed rule includes a
                Federal mandate that may result in the expenditure by State, local, and
                Tribal governments, in the aggregate, or by the private sector, of $100
                million or more in any one year (adjusted for inflation). The OCC has
                determined that the proposed rule, if adopted as final, would not
                impose new mandates and, therefore, would not result in the expenditure
                of $100 million or more annually by state, local, and tribal
                governments, or by the private sector.
                Riegle Community Development and Regulatory Improvement Act of 1994
                 The Riegle Community Development and Regulatory Improvement Act of
                1994 (RCDRIA) requires that each Federal banking agency, in determining
                the effective date and administrative compliance requirements for new
                regulations that impose additional reporting, disclosure, or other
                requirements on insured depository institutions (IDIs), consider,
                consistent with principles of safety and soundness and the public
                interest, any administrative burdens that such regulations would place
                on depository institutions, including small depository institutions,
                and customers of depository institutions, as well as the benefits of
                such regulations.\16\ In addition, new regulations and amendments to
                regulations that impose additional reporting, disclosures, or other new
                requirements on IDIs generally must take effect on the first day of a
                calendar quarter that begins on or after the date on which the
                regulations are published in final form.\17\
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                 \16\ 12 U.S.C. 4802(a).
                 \17\ 12 U.S.C. 4802(b).
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                 Because the proposal would not impose additional reporting,
                disclosure, or other requirements on banks, section 302 of the RCDRIA
                does not apply. Nevertheless, the requirements of RCDRIA will be
                considered as part of the overall rulemaking process. In addition, the
                OCC invites comments that will inform the OCC's consideration of
                RCDRIA.
                Plain Language
                 Section 722 of the Gramm-Leach-Bliley Act requires the OCC to use
                plain language in all proposed and final rules published after January
                1, 2000. The OCC invites comment on how to make this proposed rule
                easier to understand.
                 For example:
                 Has the OCC organized the material to inform your needs?
                If not, how could the OCC present the proposed rule more clearly?
                 Are the requirements in the proposed rule clearly stated?
                If not, how could the proposal be more clearly stated?
                 Does the proposed regulation contain technical language or
                jargon that is not clear? If so, which language requires clarification?
                 Would a different format (grouping and order of sections,
                use of headings, paragraphing) make the proposed regulation easier to
                understand? If so, what changes would achieve that?
                 Is this section format adequate? If not, which of the
                sections should be changed and how?
                 What other changes can the OCC incorporate to make the
                proposed regulation easier to understand?
                List of Subjects in 12 CFR Part 8
                 Assessments, Federal branches and agencies, National banks,
                Reporting and recordkeeping requirements, Savings associations.
                [[Page 10273]]
                Authority and Issuance
                 For the reasons set forth in the preamble, chapter I of title 12 of
                the Code of Federal Regulations is proposed to be amended as follows:
                PART 8--ASSESSMENT OF FEES
                0
                1. The authority for part 8 continues to read as follows:
                 Authority: 12 U.S.C. 16, 93a, 481, 482, 1467, 1831c, 1867, 3102,
                3108, and 5412(b)(2)(B); and 15 U.S.C. 78c and 78l.
                0
                2. Section 8.2 is amended by:
                0
                a. Removing ``non-lead bank'' wherever it appears and adding ``non-lead
                national bank'' in its place;
                0
                b. Removing ``lead bank'' wherever it appears and adding ``lead
                national bank'' in its place;
                0
                c. Removing ``independent credit card bank'' wherever it appears and
                adding ``independent credit card national bank'' in its place;
                0
                d. Removing ``independent credit card banks'' wherever it appears and
                adding ``independent credit card national banks'' in its place;
                0
                e. Removing ``the bank's'' and by adding ``the national bank's'' in its
                place in paragraphs (a) introductory text, (a)(3), (c)(3)(iii), and
                (c)(3)(viii);
                0
                f. Removing ``A bank's'' and adding ``A national bank'' in its place in
                paragraph (a)(1);
                0
                g. Removing ``the bank'' and adding ``the national bank'' in its place
                in paragraphs (a)(1) through (3) and (c)(1) and (2);
                0
                h. Removing ``Comptroller of the Currency'' and adding ``OCC'' in its
                place in paragraphs (a) introductory text and (b)(1);
                0
                i. Removing ``Notice of Comptroller of the Currency Fees'' and adding
                ``Notice of Office of the Comptroller of the Currency Fees and
                Assessments'' in its place in paragraphs (a)(6)(i) and (b)(4)(i);
                0
                j. Removing ``Federal branch or agency'' and adding ``Federal branch
                and agency'' in its place in paragraph (b)(4)(i);
                0
                k. Removing ``each bank's'' and adding ``each national bank's'' in its
                place in paragraph (a)(6)(ii)(A);
                0
                l. Removing ``or Thrift Financial Report, as appropriate,'' in
                paragraph (a)(6)(ii)(A);
                0
                m. Removing ``six month'' and adding ``six-month'' in its place in
                paragraph (b)(1);
                0
                n. Removing ``national bank'' and adding ``Federal branch and agency''
                in its place in paragraph (b)(1);
                0
                o. Removing ``Notice of Comptroller of the Currency of Fees'' and
                adding ``Notice of Office of the Comptroller of the Currency Fees and
                Assessments'' in its place in paragraph (c)(1);
                0
                p. Removing ``full service'' and adding ``full-service'' in its place
                in paragraph (c)(2);
                0
                q. Removing ``or a bank'' and adding ``or a national bank'' in its
                place in paragraph (c)(3)(iii); and
                0
                r. Revising paragraphs (a)(5), (b)(3), and (d).
                 The revisions read as follows:
                Sec. 8.2 Semiannual assessment.
                 (a) * * *
                 (5) The specific marginal rates and complete assessment schedule
                will be published in the ``Notice of Office of the Comptroller of the
                Currency Fees and Assessments,'' provided for at Sec. 8.8. Each
                semiannual assessment is based upon the total assets shown in the
                national bank's or Federal savings association's most recent
                ``Consolidated Reports of Condition and Income'' (Call Report)
                preceding the payment date. Each national bank or Federal savings
                association subject to the jurisdiction of the OCC on the date of the
                second or fourth quarterly Call Report as appropriate, required by the
                OCC under 12 U.S.C. 161 and 12 U.S.C. 1464(v), is subject to the full
                assessment for the next six-month period. National banks and Federal
                savings associations that are no longer subject to the jurisdiction of
                the OCC as of the date of the second or fourth quarterly Call Report,
                as appropriate, will receive a refund of assessments for the second
                three months of the semiannual assessment period.
                * * * * *
                 (b) * * *
                 (3) Each semiannual assessment of each Federal branch and each
                agency is based upon the total assets shown in the Federal branch's or
                agency's Call Report most recently preceding the payment date. Each
                Federal branch or agency subject to the jurisdiction of the OCC on the
                date of the second and fourth Call Reports is subject to the full
                assessment for the next six-month period. Federal branches and agencies
                that are no longer subject to the jurisdiction of the OCC as of the
                date of the second or fourth quarterly Call Report, as appropriate,
                will receive a refund of assessments for the second three months of the
                semiannual assessment period.
                * * * * *
                 (d) Surcharge based on the condition of the national bank, Federal
                savings association, or Federal branch or agency. Subject to any limit
                that the OCC prescribes in the ``Notice of Office of the Comptroller of
                the Currency Fees and Assessments,'' the OCC shall apply a surcharge to
                the semiannual assessment computed in accordance with paragraphs (a)
                through (c) of this section. This surcharge will be determined by
                multiplying the semiannual assessment computed in accordance with
                paragraphs (a) through (c) of this section by--
                 (1) 1.5, in the case of any national bank or Federal savings
                association that receives a composite rating of 3 under the Uniform
                Financial Institutions Rating System (UFIRS) and any Federal branch or
                agency that receives a composite rating of 3 under the ROCA rating
                system (which rates risk management, operational controls, compliance,
                and asset quality) at its most recent examination prior to December 31
                or June 30, as appropriate; and
                 (2) 2.0, in the case of any national bank or Federal savings
                association that receives a composite UFIRS rating of 4 or 5 and any
                Federal branch or agency that receives a composite rating of 4 or 5
                under the ROCA rating system at its most recent examination prior to
                December 31 or June 30, as appropriate.
                0
                3. Section 8.6 is amended by:
                0
                a. Removing ``Notice of Comptroller of the Currency Fees'' and adding
                ``Notice of Office of the Comptroller of the Currency Fees and
                Assessments'' in its place in paragraphs (b), (c)(1)(i) and (ii), and
                (c)(3)(vii);
                0
                b. Removing ``independent trust banks'' wherever it appears and adding
                ``independent trust national banks'' in its place;
                0
                c. Removing ``independent trust bank'' wherever it appears and adding
                ``Independent trust national bank'' in its place;
                0
                d. Removing ``trust bank'' wherever it appears and adding ``trust
                national bank'' in its place;
                0
                e. Removing ``trust banks'' wherever it appears and adding ``trust
                national banks'' in its place;
                0
                f. Removing ``the bank'' and adding ``the national bank'' in its place
                in paragraph (c)(2); and
                0
                g. Revising paragraphs (a) introductory text, (a)(1) and (3), and
                (c)(1)(iii).
                 The revisions read as follows:
                Sec. 8.6 Fees for special examinations and investigations.
                 (a) Fees. The OCC may assess a fee for:
                 (1) Examining the fiduciary activities of national banks, Federal
                branches of foreign banks, and Federal savings associations and related
                entities;
                * * * * *
                 (3) Conducting special examinations and investigations of an entity
                with respect to its performance of activities described in section 7(c)
                of the Bank Service Company Act (12 U.S.C. 1867(c)) if the OCC
                determines that
                [[Page 10274]]
                assessment of the fee is warranted with regard to a particular national
                bank, Federal branch or agency of a foreign bank, or Federal savings
                association because of the high risk or unusual nature of the
                activities performed; the significance to the national bank's, Federal
                branch's or agency's, or Federal saving association's operations and
                income of the activities performed; or the extent to which the national
                bank, Federal branch or agency, or Federal savings association has
                sufficient systems, controls, and personnel to adequately monitor,
                measure, and control risks arising from such activities;
                * * * * *
                 (c) * * * (1) * * *
                 (iii) Surcharge based on the condition of the independent trust
                national bank or of the independent trust Federal savings association.
                Subject to any limit that the OCC prescribes in the ``Notice of Office
                of the Comptroller of the Currency Fees and Assessments,'' the OCC
                shall adjust the semiannual assessment computed in accordance with
                paragraphs (c)(1)(i) and (ii) of this section by multiplying that
                figure by 1.5 for each independent trust national bank and independent
                trust Federal savings association that receives a composite UFIRS
                rating of 3 at its most recent examination prior to December 31 or June
                30, as appropriate, and by 2.0 for each independent trust national bank
                and independent trust Federal savings association that receives a
                composite UFIRS rating of 4 or 5 at such examination.
                * * * * *
                0
                4. Section 8.7 is amended by revising paragraphs (a) and (b) to read as
                follows:
                Sec. 8.7 Payment of interest on delinquent assessments and
                examination and investigation fees.
                 (a) Each national bank, Federal savings association, Federal
                branch, and Federal agency shall pay to the OCC interest on its
                delinquent payments of semiannual assessments. In addition, each
                institution subject to a special examination or investigation fee shall
                pay to the OCC interest on its delinquent payments of special
                examination and investigation fees. Semiannual assessment payments will
                be considered delinquent if they are received after the time for
                payment specified in Sec. 8.2. Special examination and investigation
                fees will be considered delinquent if not received by the OCC within 30
                calendar days of the invoice date.
                 (b) In the event that an institution believes that the notice of
                assessments or special examination and investigation fees contains an
                error or miscalculation, the institution may provide the OCC with a
                written request for a revised notice and a refund of any overpayments.
                Any such request for a revised notice and refund must be made after
                timely payment of the semiannual assessment under the dates specified
                in Sec. 8.2 or timely payment of the special examination and
                investigation fee within 30 calendar days of the invoice date.
                 (1) Within 30 calendar days of receipt of such notice, the OCC
                shall either--
                 (i) Refund the amount of the overpayment; or
                 (ii) Provide notice of its unwillingness to accept the request for
                a revised notice of assessments. In the latter instance, the OCC and
                the entity claiming the overpayment shall thereafter attempt to reach
                agreement on the amount, if any, to be refunded; the OCC shall refund
                this amount within 30 calendar days of such agreement.
                 (2) The OCC shall be considered delinquent if it fails to return an
                overpayment in accordance with the time limitations specified in this
                paragraph (b). The OCC shall pay interest on any such delinquent
                payments.
                * * * * *
                0
                5. Section 8.8 is amended by revising the section heading and paragraph
                (b) to read as follows:
                Sec. 8.8 Notice of Office of the Comptroller of the Currency fees and
                assessments.
                * * * * *
                 (b) Interim and amended notice of fees. The OCC may issue a
                ``Notice of Interim Office of the Comptroller of the Currency Fees and
                Assessments'' or a ``Notice of Amended Office of the Comptroller of the
                Currency Fees and Assessments'' from time to time throughout the year
                as necessary. Interim or amended notices will be effective 30 days
                after issuance.
                 Dated: March 13, 2019.
                Joseph M. Otting,
                Comptroller of the Currency.
                [FR Doc. 2019-05128 Filed 3-19-19; 8:45 am]
                BILLING CODE 4810-33-P
                

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