Removal of Transferred OTS Regulations Regarding Application Processing Procedures of State Savings Associations

As Enacted ( Federal Register)

Cited authorities 36

Cited in

Published date	15 October 2020
Record Number	2020-21000
Section	Proposed rules
Court	Federal Deposit Insurance Corporation

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(i) Employee requests. In connection

with any request by an employee,

former employee, or applicant for

employment, for records for use in

prosecuting a grievance or complaint of

discrimination against the Committee,

fees shall be waived where the total

charges (including charges for

information provided under the Privacy

Act of 1974 (5 U.S.C. 552a)) are $50 or

less; but the Committee may waive fees

in excess of that amount.

(j) Special services. The Committee

may agree to provide, and set fees to

recover the costs of, special services not

covered by the FOIA, such as certifying

records or information and sending

records by special methods such as

express mail or overnight delivery.

ABLE

§ 271.16—F

EES

Type of requester Search costs per hour Review costs per hour Duplication costs

Commercial .................................... Clerical/Technical staff $20 .......... Clerical/Technical staff $20 .......... Photocopy per standard page .10.

Professional/Supervisory staff $40 Professional/Supervisory staff $40 Other types of duplication Direct

Costs.

Manager/Senior professional staff

$65. Manager/Senior professional staff

$65.

Computer search, including com-

puter search time, output, oper-

ator’s salary Direct Costs.

Educational; or Non-commercial

scientific; or News media. Costs waived ................................ Costs waived ................................ First 100 pages free, then:

....................................................... ....................................................... Photocopy per standard page .10.

....................................................... ....................................................... Other types of duplication Direct

Costs.

All other requesters ....................... First 2 hours free, then: ................ Costs waived ................................ First 100 pages free, then:

Clerical/Technical staff $20 .......... ....................................................... Photocopy per standard page .10.

Professional/Supervisory staff $40 ....................................................... Other types of duplication Direct

Costs.

Manager/Senior professional staff

$65.

Computer search, including com-

puter search time, output, oper-

ator’s salary Direct Costs.

Subpart C—Subpoenas, Orders

Compelling Production, and Other

Process

§ 271.20 Subpoenas, orders compelling

production, and other process.

(a) Advice by person served. Any

person, whether or not an officer or

employee of the Committee, of the

Board, or of a Federal Reserve Bank,

who is served with a subpoena, order,

or other judicial or administrative

process requiring the production of

exempt information of the Committee or

requiring the person’s testimony

regarding such Committee information

in any proceeding, shall:

(1) Promptly inform the Committee’s

General Counsel of the service and all

relevant facts, including the documents,

information, or testimony demanded,

and any facts relevant to the Committee

in determining whether the material

requested should be made available;

(2) Inform the entity issuing the

process of the substance of this part; and

(3) At the appropriate time, inform the

court or tribunal that issued the process

of the substance of this part.

(b) Appearance by person served.

Unless authorized by the Committee or

as ordered by a Federal court in a

judicial proceeding in which the

Committee has had the opportunity to

appear and oppose discovery, any

person who is required to respond to a

subpoena or other legal process

concerning exempt Committee

information shall attend at the time and

place required and respectfully decline

to disclose or to give any testimony with

respect to the information, basing such

refusal upon the provisions of this part.

If the court or other body orders the

disclosure of the information or the

giving of testimony, the person having

the information shall continue to

decline to disclose such information

and shall promptly report the facts to

the Committee for such action as the

Committee may deem appropriate.

Federal Open Market Committee.

Matthew M. Luecke,

Deputy Secretary of the Committee.

[FR Doc. 2020–22463 Filed 10–14–20; 8:45 am]

BILLING CODE 6210–01–P

FEDERAL DEPOSIT INSURANCE

CORPORATION

12 CFR Parts 303 and 390

RIN 3064–AF36

Removal of Transferred OTS

Regulations Regarding Application

Processing Procedures of State

Savings Associations

AGENCY

: Federal Deposit Insurance

Corporation (FDIC).

ACTION

: Notice of proposed rulemaking.

SUMMARY

: In this notice of proposed

rulemaking (NPR), the Federal Deposit

Insurance Corporation (FDIC) proposes

to rescind and remove certain

regulations transferred to the FDIC from

the Office of Thrift Supervision (OTS) in

2011 pursuant to the Dodd-Frank Wall

Street Reform and Consumer Protection

Act (Dodd-Frank Act). These regulations

generally concern the supervision and

governance of State savings

associations, including the application

processing procedures for certain

applications, notices and filings by State

savings associations. In addition to the

removal of our regulations, the FDIC

proposes to make technical changes to

our regulations that do not currently

apply to State savings associations.

Following the rescission, the filing

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Pub. L. 111–203, 124 Stat. 1376 (2010).

Codified at 12 U.S.C. 5411.

Codified at 12 U.S.C. 5414(b).

Codified at 12 U.S.C. 5414(c).

76 FR 39247 (July 6, 2011).

Codified at 12 U.S.C. 5412(b)(2)(B)(i)(II).

12 U.S.C. 1811 et seq.

Codified at 12 U.S.C. 5412(c)(1).

12 U.S.C. 1813(q).

76 FR 47652 (Aug. 5, 2011).

See 76 FR 47653.

regulations pertaining to State savings

associations and all other FDIC-

supervised institutions will be

substantially the same. The FDIC invites

comments on all aspects of this

proposed rulemaking.

DATES

: Comments must be received on

or before November 16, 2020.

ADDRESSES

: You may submit comments,

identified by RIN 3064–AF36, by any of

the following methods:

•Agency website: https://

www.fdic.gov/regulations/laws/federal/.

Follow instructions for submitting

comments on the agency website.

•Email: Comments@fdic.gov. Include

RIN 3064–AF36 on the subject line of

the message.

•Mail: Robert E. Feldman, Executive

Secretary, Attention: Comments, Federal

Deposit Insurance Corporation, 550 17th

Street NW, Washington, DC 20429.

•Hand Delivery/Courier: Comments

may be hand-delivered to the guard

station at the rear of the 550 17th Street

NW, building (located on F Street) on

business days between 7 a.m. and 5 p.m.

• Federal eRulemaking Portal: http://

www.regulations.gov. Follow the

instructions for submitting comments.

Public Inspection: All comments

received will be posted without change

to https://www.fdic.gov/regulations/

laws/federal/, including any personal

information provided.

Please include your name, affiliation,

address, email address, and telephone

number(s) in your comment. All

statements received, including

attachments and other supporting

materials, are part of the public record

and are subject to public disclosure.

Please note: All comments received

will be posted generally without change

to https://www.fdic.gov/regulations/

laws/federal/, including any personal

information provided.

FOR FURTHER INFORMATION CONTACT

Donald Hamm, Special Advisor, (202)

898–3528, dhamm@fdic.gov; or Shelli

Coffey, Review Examiner, (312) 382–

7539, scoffey@fdic.gov, Risk

Management Supervision; Andrew B.

Williams II, Counsel, (202) 898–3591,

andwillimas@fdic.gov, Legal Division.

SUPPLEMENTARY INFORMATION

I. Policy Objective

The policy objective of the proposed

rule is to remove unnecessary and

duplicative regulations in order to

simplify and improve the public’s

understanding of the rule, and to

promote parity between State savings

associations and State nonmember

banks by applying the same filing

requirements to both classes of

institutions. Thus, as further detailed in

this section, the FDIC is proposing to

rescind and remove, from the Code of

Federal Regulations (CFR), 12 CFR part

390, subpart F (subpart F).

As discussed below, the FDIC

proposes to make technical changes to

certain sections of part 303. The

rescission of subpart F, with the

accompanying revisions to 12 CFR 303,

would simplify and streamline the

FDIC’s regulations by removing

unnecessary provisions that are

adequately provided for in other

existing statutes and regulations.

II. Background

A. The Dodd-Frank Act

The Dodd-Frank Act, signed into law

on July 21, 2010, provided for a

substantial reorganization of the

regulation of State and Federal savings

associations and their holding

companies.

Beginning July 21, 2011,

the transfer date established by section

311 of the Dodd-Frank Act,

the powers,

duties, and functions formerly

performed by the OTS were divided

among the FDIC, as to State savings

associations, the Office of the

Comptroller of the Currency (OCC), as to

Federal savings associations, and the

Board of Governors of the Federal

Reserve System (FRB), as to savings and

loan holding companies. Section 316(b)

of the Dodd-Frank Act

provides the

manner of treatment of all orders,

resolutions, determinations, regulations,

and advisory materials that had been

issued, made, prescribed, or allowed to

become effective by the OTS. The

section provides that if such materials

were in effect on the day before the

transfer date, they continue in effect and

are enforceable by or against the

appropriate successor agency until they

are modified, terminated, set aside, or

superseded in accordance with

applicable law by such successor

agency, by any court of competent

jurisdiction, or by operation of law.

Pursuant to section 316(c) of the

Dodd-Frank Act,

on June 14, 2011, the

FDIC’s Board of Directors approved a

‘‘List of OTS Regulations to be Enforced

by the OCC and the FDIC Pursuant to

the Dodd-Frank Wall Street Reform and

Consumer Protection Act.’’ This list was

published by the FDIC and the OCC as

a Joint Notice in the Federal Register on

July 6, 2011.

Although section 312(b)(2)(B)(i)(II) of

the Dodd-Frank Act

granted the OCC

rulemaking authority relating to both

State and Federal savings associations,

nothing in the Dodd-Frank Act affected

the FDIC’s existing authority to issue

regulations under the Federal Deposit

Insurance Act (FDI Act)

and other laws

as the ‘‘appropriate Federal banking

agency’’ or under similar statutory

terminology. Section 312(c) of the Dodd-

Frank Act

revised the definition of

‘‘appropriate Federal banking agency’’

contained in section 3(q) of the FDI Act

to add State savings associations to the

list of entities for which the FDIC is

designated as the ‘‘appropriate Federal

banking agency.’’ As a result, when the

FDIC acts as the designated

‘‘appropriate Federal banking agency’’

(or similar terminology) for State

savings associations, as it does here, the

FDIC is authorized to issue, modify, and

rescind regulations involving such

associations, as well as for State

nonmember banks and insured State-

licensed branches of foreign banks.

As noted, on July 14, 2011, operating

pursuant to this authority, the FDIC’s

Board of Directors issued a list of

regulations of the former OTS that the

FDIC would enforce with respect to

State savings associations. On that same

date, the FDIC Board reissued and re-

designated certain transferring

regulations of the former OTS. These

transferred OTS regulations were

published as new FDIC regulations in

the Federal Register on August 5,

2011.

When it republished the

transferred OTS regulations as new

FDIC regulations, the FDIC specifically

noted that its staff would evaluate the

transferred OTS regulations and might

later recommend incorporating the

transferred OTS regulations into other

FDIC regulations, amending them, or

rescinding them, as appropriate.

B. 12 CFR part 516—Application

Processing Procedures

A subset of the regulations transferred

to the FDIC from the OTS concern

application processing procedures. The

OTS regulations, formerly found at 12

CFR part 516, 516.1 through 516.290,

were transferred to the FDIC with only

nomenclature changes and now

comprise part 390, subpart F. Each

provision of part 390, subpart F is

discussed in Part III of this

Supplementary Information section,

below.

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12 U.S.C. 5414(b)(3).

12 CFR 303.1.

C. Part 390, Subpart F—Application

Processing Procedures

The FDIC has conducted a careful

review and comparison of subpart F and

other Federal regulations and statutes

concerning Application Processing

Procedures of State savings associations.

As discussed in Part III of the Proposal

section, the FDIC proposes to rescind

subpart F because the FDIC considers

the provisions contained in subpart F to

be unnecessary in light of the

applicability of other provisions of

Federal statutes and regulations,

specifically part 303.

D. Part 303, Filing Procedures

The FDIC also proposes to make

technical changes in certain sections of

part 303, subparts A, K, and M. The

proposed revisions would make those

sections applicable on their terms to

State savings associations.

III. The Proposal

Section 316(b)(3) of the Dodd-Frank

Act in pertinent part, provides that the

regulations of the former OTS, as they

apply to State savings associations, will

be enforceable by the FDIC until they

are modified, terminated, set aside, or

superseded in accordance with

applicable law.

Consistent with the

FDIC’s stated intention to evaluate

transferred OTS regulations before

taking action on them, the FDIC

conducted a careful review of subpart F

and related Federal statutes, regulations,

and statements of policy relevant to

subordinate organizations of State

savings associations. As discussed in

this Proposal section, the FDIC proposes

to rescind and remove subpart F in its

entirety, because the provisions

contained there are duplicative of

substantially similar FDIC statutory or

regulatory provisions, or guidance that

produce substantially the same

supervisory results.

Part 303 of the FDIC Rules and

Regulations (12 CFR 303) provides a

framework for filing requirements for

various applications, notices, and

requests (collectively, ‘‘filings’’ as

defined in § 303.2(s)) (12 CFR 303.2(s)).

Subpart A of part 303, Rules of General

Applicability, prescribes the general

procedures for submitting filings to the

FDIC that are required by statute or

regulation. This subpart also prescribes

the procedures to be followed by the

FDIC, applicants, and interested parties

during the process of considering a

filing, including public notices and

comment when required. This subpart

explains the availability of expedited

processing for eligible depository

institutions (defined in § 303.2(r)) for

matters subject to expedited processing.

Specific filings are detailed in subpart B

through subpart M of part 303.

IV. Section-by-Section Analysis—

Rescission of Subpart F

There are existing statutes and

regulations that describe the application

processing procedures of State savings

associations, obviating the need for a

new regulation, but requiring

amendment of existing regulations upon

rescission of subpart F. Accordingly, the

FDIC proposes that § 390.100 through

§ 390.135, subpart F, be rescinded as

unnecessary, redundant of, or otherwise

duplicative of the provisions of law

delineated in part 303, each discussed

individually below.

A. Section 390.100—What does this

subpart do?

Section 390.100 states that subpart F

explains the FDIC’s procedures for

processing applications, notices, or

filings for State savings associations

under parts 390 and 391, and identifies

several requests or applications that

were not intended to be covered by

subpart F. In addition, the section states

that, where an FDIC regulation provides

some of the application processing

procedures or timeframes, the FDIC will

apply the regulations in subpart F to the

extent necessary to process the

application.

Existing statutes and regulations that

are applicable to insured State

institutions, of which State savings

associations are a subset, already

‘‘prescribe the general procedures for

submitting filings to the FDIC and the

procedures to be followed by the FDIC,

applicants and interested parties during

the process of considering a filing.’’

Moreover, subpart F only applies to

filings under parts 391 and 390 of the

FDIC regulations. Part 391 and several

subparts of part 390 have been

rescinded, and the FDIC is in the

process of rescinding the remainder of

part 390. Therefore, the FDIC considers

§ 390.100 unnecessary and proposes

that it be rescinded.

B. Section 390.101—Do the same

procedures apply to all applications

under this subpart?

Section 390.101 specifies the criteria

for determining which filings receive

expedited treatment and which receive

standard treatment. Part 303, §§ 303.2(r)

and 303.11(c), as well as the substantive

subparts of part 303, when applicable,

specify the criteria and conditions for

expedited and standard processing, the

removal of filings from expedited

processing, and extension of time

periods. Part 303 does not address

expedited and standard processing in

precisely the same way as subpart F, but

generally addresses substantially similar

concepts as to the type of treatment

afforded to a matter type and under

what circumstances, and the procedures

to be followed. Therefore, the FDIC

considers § 390.101 unnecessary and

duplicative, and proposes that it be

rescinded.

C. Section 390.102—How does the FDIC

compute time periods under this

subpart?

Section 390.102 addresses

computation of time periods for State

savings associations. Computation of

time under part 303 is contained in

§ 303.4 and, though not worded in the

same way, computes time periods in a

substantially similar manner. Therefore,

the FDIC considers § 390.102

unnecessary and proposes that it be

rescinded.

D. Section 390.103—Must I meet with

the FDIC before I file my application?

Section 390.103 addresses pre-filing

meetings for filings to acquire control of

State savings associations. Pre-filing

meetings are not addressed in FDIC

regulations, but are addressed, as

appropriate, in the Applications

Procedures Manual (APM) under Notice

of Acquisition of Control (refer to pages

5.5–6 of the APM), which can be

referenced at https://www.fdic.gov/

regulations/applications/resources/

apps-proc-manual/section-05-

changeincontrol.pdf. As a result, the

FDIC considers § 390.103 unnecessary

and proposes that it be rescinded.

E. Section 390.104—What information

must I include in my draft business

plan?

Section 390.104 addresses business

plan requirements. Part 303 does not

require a specific format for a business

plan submitted with applications; nor

do the FDIC’s regulations address

specific business plan content

requirements. Business plans, when

required or requested, are generally

addressed through pre-filing

communications with the applicant.

Information regarding business plan

content is available in the interagency

charter and federal deposit insurance

application form, a valuable resource for

determining business plan

requirements, found at www.fdic.gov/

formsdocuments/interagencycharter-

insuranceapplication.pdf. The

Handbook for Organizers—Applying for

Deposit Insurance includes sections on

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See e.g. 12 CFR 303.122 and 12 CFR

362.4(b)(5).

See also, generally, 12 CFR part 309.

Part 303 does not require that certain filings be

made or provided by the applicant to FDIC

headquarters.

12 CFR 390.111.

developing a business plan and business

plan content, and can be referenced at

www.fdic.gov/resources/supervision-

and-examinations/bank-applications/

depositinsurance/. As a result, the FDIC

considers § 390.104 unnecessary and

proposes that it be rescinded.

F. Section 390.105—What type of

application must I file?

Section 390.105 addresses the scope

and form for expedited and standard

processing, directs the applicant to

sources for required information,

including the substantive matter

provisions of parts 390 and 391, and

permits requests to waive information

requirements. The FDIC’s part 303

operates in a similar manner in many

respects. Section 303.3 addresses the

form for filings, generally, and is

supplemented by the appropriate

subparts of part 303 and specific filing

requirements, as appropriate. The

subparts are based on the type of filing,

and address the form of filing. The part

303 regulations also provide for

expedited and standard processing, as

appropriate. The subparts specify

whether a matter receives expedited

processing.

In addition, § 390.105 addresses

waiver requests for State savings

associations. Under § 303.12, The FDIC

Board may waive the applicability of

any regulation in Title 12, Chapter III,

including part 303. In addition, various

sections within part 303 applicable to

savings associations also address waiver

requests, including: §§ 303.85(a)(2),

303.102(c)(1), and 303.102(c)(2).

In light of part 303’s treatment of the

same substantive areas, the FDIC

considers § 390.105 unnecessary and

proposes that it be rescinded.

G. Section 390.106—What information

must I provide with my application?

Section 390.106 addresses content of

filings for State savings associations,

and advises applicants that they may

obtain relevant information from the

appropriate FDIC region. The section

also requires the applicant to conform to

specific form conventions for the filing

and specifies inclusion of all exhibits

and other pertinent documents with the

original and copies.

As indicated earlier, unlike § 390.106,

the FDIC has several regulations that

specify information a filing should

contain. Additionally, rather than

requiring that filings be submitted in a

certain way, § 303.3 of the FDIC’s

regulations provides that instructions

for submitting filings may be obtained

from any FDIC regional director.

The FDIC considers the part 303

processes to provide the applicant with

the appropriate requirements for a filing

while permitting flexibility as to form.

Accordingly, the FDIC considers

§ 390.105 unnecessary and proposes

that it be rescinded.

H. Section 390.107—May I keep

portions of my application confidential?

Section 390.107 addresses application

confidentiality for State savings

associations and identifies certain

information that will not be considered

confidential. Section 303.8(b) identifies

certain information that will generally

be treated as confidential, and provides

that the applicant may request that

information be treated as confidential.

The section provides that the FDIC may

determine on its own initiative that

information should be treated as

confidential. Therefore, the FDIC

considers § 390.107 unnecessary and

proposes that it be rescinded.

I. Section 390.108—Where do I file my

application?

Section 390.108 provides locations to

use in filing applications, specifically

providing regional office addresses.

Section 303.3 directs applicants to

transmit filings to the appropriate

regional office unless specifically stated

otherwise. Section 303.2 defines the

appropriate office, while the specific

addresses are maintained on the FDIC’s

public website.

Therefore, the FDIC

considers § 390.108 unnecessary and

proposes that it be rescinded.

J. Section 390.109—What is the filing

date of my application?

Section 390.109 explains the means to

determine an application’s filing date,

the date from which time periods for

action by the FDIC and applicant begin.

Under § 303.4, processing time periods

are computed, unless otherwise

provided, from the date on which ‘‘a

substantially complete filing is received

by the FDIC or the day after publication

begins.’’ Because part 303 provides an

appropriate and consistent method for

determining the date on which the filing

processing period begin, the FDIC

considers § 390.109 unnecessary and

proposes that it be rescinded.

K. Section 390.110—How do I amend or

supplement my application?

Section 390.110 discusses amending

or supplementing an application. It

requires the filing of amendments or

supplemental information at the

appropriate FDIC regional office, along

with the number of copies required by

§ 390.108. It also requires that the

amendment or supplemental

information meet the requirements

contained in § 390.106(b).

The FDIC has no similar rule under

part 303, but believes that the rule is

unnecessary because, as noted in the

APM, the FDIC’s practice has been to

allow supplemental filings to be

submitted to the appropriate FDIC

regional office. This approach allows

appropriate flexibility based on the

application. Accordingly, the FDIC

proposes that § 390.110 be rescinded.

L. Section 390.111—Who must publish

a public notice of an application;

Section 390.112—What information

must I include in my public notice;

Section 390.113—When must I publish

the public notice; Section 390.114—

Where must I publish the public notice;

Section 390.115—What language must I

use in my publication?

Sections 390.111 through 390.115

address public notice requirements, and

apply when FDIC regulations require an

applicant to follow the public notice

procedures.

Public notice

requirements are encompassed in part

303 of the FDIC regulations, including

in § 303.7 and throughout various

subparts and sections of part 303 such

as those for deposit insurance in

§ 303.23, branches (domestic and

foreign) in §§ 303.44 and 303.184(c),

mergers in § 303.65, and change in bank

control in § 303.87. Section 303.7 lists

the filings that require public notices.

Section 390.112 addresses the

information that is required to be

contained in public notices. A

comparison of §§ 390.112 and 303.7(c)

demonstrates that the two provisions are

virtually identical. Section 390.113

requires that a public notice be

published no earlier than seven days

before and no later than the date of

filing of the application. Unlike

§ 390.113, §303.7(a) provides that

public notices will be given pursuant to

the appropriate subpart for the type of

application involved. In addition,

unlike § 390.113, time intervals at

which public notice must be given for

an application vary with the specific

subparts of part 303. The FDIC prefers

the degree of specificity contained in

the public notice provisions in part 303

over the general public notice

requirement contained in § 390.113.

Both § 390.114 of subpart F and part

303 require providing the public notice

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See e.g. 12 CFR 303.23(a) (30 days following

date of publication); 12 CFR 303.44(b) (within 15

days after the date of the last publication required

by the section); and 12 CFR 303.65(d) (30 days after

the first publication of the notice).

in a newspaper of general circulation in

the communities indicated in the

particular rule. Section 390.115 requires

that public notices be published in a

newspaper printed in the English

language and, upon FDIC determination,

simultaneous publication in other

languages. The FDIC does not have a

similar procedural rule, however, the

FDIC’s practice is consistent with

§ 390.115. The FDIC believes, however,

that this subject is better addressed on

a case-by-case basis between the

applicant and the appropriate FDIC

regional office.

Based on the above analysis, the FDIC

considers §§ 390.11, 390.112, 390.114

and 390.115 unnecessary and proposes

that they be rescinded.

M. Section 390.116—Comment

procedures; Section 390.117—Who may

submit a written comment; Section

390.118—What information should a

comment include; Section 390.119—

Where are comments filed; Section

390.120—How long is the comment

period?

Sections 390.116 through 390.120

address the procedures to submit public

comments. Under part 303, public

notice procedures are found at § 303.9

and throughout various subparts and

sections of part 303, specifically for

deposit insurance in § 303.23, branches

(domestic and foreign) in §§ 303.44 and

303.184(c), mergers in § 303.65, and for

change in bank control in § 303.87.

Section 390.117 permits any person to

submit a written comment supporting or

opposing an application. Section

303.9(a) is substantially the same.

Section 390.118(a) specifies the type

of information that should be contained

in a comment. Section 390.118(b) allows

a commenter to include in its comment

a request for a meeting under § 390.122

and, as part of the request, requires a

description of the nature of the issues or

facts to be discussed and why written

submissions are insufficient. The FDIC

has no provision in part 303 similar to

§ 390.118; however, the FDIC believes

the benefit, if any, is minimal and that

the potential burden on commenters of

such a detailed rule may outweigh any

benefit. The FDIC is also concerned that

such a rule may discourage the filing of

comments.

The regulations in subpart F and part

303 regarding where comments should

be filed are virtually identical.

Section 390.120 generally requires

that comments be filed within 30

calendar days after the publication of

the initial public notice and provides

the FDIC may consider late-filed

comments if it determines that the

comment will assist in the disposition

of the application. The FDIC’s part 303

regulations place deadlines for public

comments in the relevant subpart for the

particular type of filing at issue. Based

on the type of filing involved, public

comments are generally solicited for 15–

30 days.

The FDIC believes that the

public comment period required by

§ 390.120 is duplicative, in substance, of

the regulations contained in part 303. In

addition, the FDIC believes the

comment periods provided in part 303

are preferable to the single comment

period contained in § 390.120 because

they are better calibrated to the types of

filings that are at issue.

Based on the above, the FDIC

considers §§ 390.116, 390.117, 390.118,

390.119, and 390.120 to be unnecessary

and proposes that they be rescinded.

N. Section 390.121—Meeting

procedures; Section 390.122—When will

the FDIC conduct a meeting on an

application; Section 390.123—What

procedures govern the conduct of the

meeting; Section 390.124—Will FDIC

approve or disapprove an application at

a meeting; Section 390.125—Will a

meeting affect application processing

time frames?

Sections 390.121 through 390.125

contain meeting procedures for filings.

Section 390.122, addresses the FDIC

authority to call a meeting, limitation of

the issues to be discussed, and notice of

the meeting to the commentators and

applicants. Section 390.123 allows the

FDIC to conduct a meeting in any format

and states the Administrative Procedure

Act, the Federal Rules of Evidence, the

Federal Rules of Civil Procedure and the

FDIC’s Rules of Practice and Procedure

do not apply to meetings under the

section. Section 390.124 indicates that

the FDIC will not approve or deny an

application at a meeting under

§§ 390.121 through 390.125. Section

390.125 provides that, if a meeting is

held, the FDIC may suspend all time

frames for determining that the

application is substantially complete

and the application approval time

frames in §§ 390.126 through 390.135.

Time periods resume when the FDIC

determines that a record has been

developed that sufficiently supports a

determination on the issues considered

during the meeting.

Meetings are addressed generally in

FDIC regulations found at §§ 303.6 and

303.10. The FDIC may examine or

investigate and evaluate facts related to

any filing to the extent necessary to

reach an informed decision and take any

action necessary or appropriate under

the circumstances. Section 303.10(l) is

less detailed than § 390.122 in certain

respects; however, the FDIC prefers the

level of flexibility it provides to the

FDIC, applicants, and other interested

parties. Section 303.10 distinguishes

between hearings and informal

proceedings. Generally, a hearing is a

more formal proceeding and is usually

only granted if the FDIC determines that

written submissions would be

insufficient or that a hearing otherwise

would be in the public interest. An

informal proceeding, under the rule, is

a less formal proceeding, and § 303.10(l)

provides that it may take any form. Like

§ 390.123(b), §303.10(h)(3) provides

that the Administrative Procedure Act,

the Federal Rules of Evidence, the

Federal Rules of Civil Procedure and the

FDIC’s Rules of Practice and Procedure

do not apply to hearings. Section

303.10(l) does not provide authority to

approve or disapprove a filing at an

informal proceeding (similar to

§ 390.124).

The FDIC has no similar rule in its

part 303 regulations to § 390.125 and

does not believe one is necessary

because under part 303, unlike the

former OTS regulations, processing time

frames run from the date a substantially

complete application is received, not

from the date an application is filed.

Because the processing time frames

under the part 303 regulation run from

the date that the FDIC determines the

application is substantially complete,

there is no need to stop and restart the

processing time in connection with a

meeting.

Based on the analysis above, the FDIC

considers §§ 390.121, 390.122, 390.123,

390.124, and 390.125 to be unnecessary

and proposes that they be rescinded.

O. Section 390.126—If I file a notice

under expedited treatment, when may I

engage in the proposed activities?

Section 390.126 addresses expedited

treatment, including removal of the

filing to standard processing, additional

information requests, suspension of the

processing period, and when the

applicant can proceed with the activity

if the FDIC has not acted. Expedited

processing and related matters are

encompassed in FDIC regulations found

at § 303.11(c) and, as applicable, the

substantive subparts of § 303, such as

§§ 303.122 and 303.142. Sections 303.3

and 303.11(e), as well as substantive

subparts of part 303, provide the FDIC

authority to require submission of

additional information. The FDIC

considers § 390.126 duplicative and

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unnecessary, and proposes that it be

rescinded.

P. Section 390.127—What will the FDIC

do after I file my application and

Section 390.128—If the FDIC requests

additional information to complete my

applications, how will it process my

application?

Sections 390.127 and 390.128 address

application completeness, including a

sequence of filing, FDIC response,

requests for additional information,

waiver and extension requests, and the

consequences of various responses by

the applicant and the FDIC. The

procedures for processing a filing under

part 303, while essentially addressing

the same issues, are simpler and easier

to navigate than those of § 390.127. That

is due, in large part, to the use of the

substantially complete filing procedure

of part 303, which eliminates the

necessity for the complex sequence of

actions in subpart F. Sections 303.3 and

303.11(e), as well as substantive

subparts of part 303, provide the FDIC

authority to require submission of

additional information. The FDIC

considers §§ 390.127 and 390.128

unnecessary and proposes that they be

rescinded.

Q. Section 390.129—Will the FDIC

conduct an eligibility examination?

Section 390.129 addresses eligibility

examinations, as well as the authority of

the FDIC to require such examinations

and to request additional information.

The FDIC does not believe that a

specific eligibility examination

provision is needed. Under § 303.6, the

FDIC may examine or investigate and

evaluate facts related to any filing to the

extent necessary to reach an informed

decision and take any action necessary

or appropriate under the circumstances.

The FDIC utilizes field investigations

when processing deposit insurance

applications, and may conduct

eligibility examinations when

processing certain federal to state

conversion applications that are filed

pursuant to 12 U.S.C. 1464(i)(5).

Sections 303.3 and 303.11(e), as well as

substantive subparts of part 303,

provide the FDIC authority to require

submission of additional information.

Therefore, the FDIC considers § 390.129

unnecessary and proposes that it be

rescinded.

R. Section 390.130—What may the FDIC

require me to do after my application is

deemed complete?

Section 390.130(a) addresses FDIC

requests for additional information from

State savings associations in order to

resolve or clarify issues presented by the

filing. Section 390.130(b) provides that

if the FDIC determines that a major

issue of law or a change in

circumstances arose after the

application was filed, and the issue or

change in circumstances substantially

affects the application, the FDIC may

notify the applicant that the application

is deemed incomplete, and require the

applicant to submit additional

information under the procedures

contained in § 390.128. The FDIC also

may, to the extent necessary, require the

applicant to publish a new notice under

§ 390.131.

The FDIC’s part 303 regulations

authorize the FDIC to request additional

information from an applicant until the

time it makes a decision on an

application, and delays the beginning of

the processing period until receipt of a

substantially complete filing, and the

FDIC has not found it necessary to

incorporate the § 390.130 concept into a

regulation. The FDIC believes that the

possibility of a major change in law or

circumstances following the acceptance

of a filing as substantially complete does

not warrant coverage by a special

regulation and that those issues may be

addressed under part 303 in its current

form.

The FDIC considers § 390.130

unnecessary and proposes that it be

rescinded.

S. Section 390.131—Will the FDIC

require me to publish a new public

notice?

Section 390.131 sets forth the

circumstances under which the FDIC

may require a State savings association

applicant subject to the publication

requirements to publish new public

notices. Section 303.7(f) states the FDIC

may determine on a case-by-case basis

that unusual circumstances surrounding

a particular filing warrant modification

of the publication requirements.

Accordingly, the FDIC considers

§ 390.131 unnecessary and proposes

that it be rescinded.

T. Section 390.132—May the FDIC

suspend processing of my application?

Section 390.132 authorizes the FDIC

to suspend an application by a State

savings association for the reasons

stated therein. Part 303 has no similar

provision. However, the FDIC believes

that situations envisioned by § 390.132

can either be effectively addressed on a

case-by-case basis without need of a

regulation, or that a regulation is not

needed because the processing period

under part 303 does not begin until the

FDIC receives a substantially complete

filing and, thus, no suspension is

necessary. Accordingly, the FDIC

considers § 390.132 unnecessary and

proposes that it be rescinded.

U. Section 390.133—How long is the

FDIC review period

Under § 390.33(a), the applicable

FDIC review period is 60 days after the

date the application is deemed

complete. Section 390.133(b) provides

that, if an applicant submits more than

one application in connection with a

proposed action, or if two or more

applicants submit related applications,

the review period for all applications

would be the time frame for the

application with the longest review

period. Section 390.133(c) addresses

extensions of the review period. Section

390.133(c)(1) allows the FDIC to extend

the review period for up to 30 calendar

days for any reason. To do so, the FDIC

must notify the applicant in writing of

the extension before the end of the

applicable review period. Also, under

§ 390.133(c)(2), the FDIC can extend the

review period of any application if the

application presents a significant issue

of law or policy that requires additional

time to resolve and must notify the

applicant in writing. The FDIC must

issue its written extension before the

review period expires, including any

extension granted under paragraph

(c)(1) of the section.

The FDIC’s part 303 regulations

contain provisions that bear on the same

issues and are similar in substantive

effect as the § 390.133 provisions. The

processing time period for notices and

applications, which varies by type of

filing, may be extended for most matters

under part 303 processing. Section

303.11(d) states that, when the FDIC is

considering related transactions, one or

more of which have expedited

processing, the longest processing time

will govern all related transactions. The

FDIC prefers the review time frames

specified in the appropriate subparts of

part 303 for each particular filing, rather

than a single time frame for all filings,

given the varying significance and

complexity of the various types of

filings. Therefore, the FDIC considers

§ 390.133 unnecessary and proposes

that it be rescinded.

V. Section 390.134—How will I know if

my application has been approved?

Section 390.134 requires the FDIC to

approve or deny an application before

the expiration of the applicable review

period, including any extensions, and

notify the applicant, in writing, of its

decision. If the FDIC does not act under

paragraph (a)(1) of the section, the

application is approved. However, for

this section to be applicable, the FDIC

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Section 343(a) of the Riegle Community

Development and Regulatory Improvement Act of

1994 (Riegle Act) requires the federal banking

agencies to take final action on applications before

the end of the one-year period beginning the day

after a substantially complete filing is received.

Section 343(b) of the Riegle Act provides that the

applicant may grant a waiver of this one-year

limitation. Since the Riegle Act is not prescribed in

FDIC Regulations, it is not material for purposes of

part 390, subpart F.

12 U.S.C. 1815.

12 U.S.C. 1813(c)(1).

12 CFR 303.20.

12 CFR 390.111.

12 U.S.C. 1813(a)(2).

See 68 FR 7308, February 13, 2003.

12 CFR 303.15(a)(1) through (4). See also, 68 FR

7308.

must fail to extend the review period as

allowed under § 390.133(c).

In comparison to § 390.134, §303.11

provides that the FDIC may approve,

conditionally approve, deny, or not

object to a filing after appropriate

review and consideration of the record.

The FDIC will promptly notify the

applicant and any person who makes a

written request of the final disposition

of a filing. If the FDIC denies a filing,

the FDIC will immediately notify the

applicant in writing of the reasons for

the denial. Contrary to § 390.134,

§ 303.11 does not include an automatic

approval for an application if the FDIC

fails to approve or deny it. However, the

substantial ability of the FDIC to extend

the processing period under subpart F,

to a great extent, renders any difference

with part 303 immaterial. In addition,

the FDIC does not consider ‘‘automatic’’

or ‘‘default’’ approvals (other than as

already specified in the part 303

regulations) to be an appropriate

method for making decisions on

applications.

Based on the analysis above, the FDIC

considers § 390.134 unnecessary and

proposes that it be rescinded.

W. Section 390.135—What will happen

if the FDIC does not approve or

disapprove my application within two

calendar years after the filing date?

Section 390.135 addresses withdrawal

if an application is not approved or

denied within two calendar years. The

FDIC will notify the applicant in writing

that the application is withdrawn under

those circumstances, unless the FDIC

determines that the applicant is actively

pursuing a final FDIC determination.

FDIC regulations do not address

withdrawal if an application is not acted

on within two calendar years.

The

Applications Overview section of the

APM (refer to pages 1.1–3), referenced at

https://www.fdic.gov/regulations/

applications/resources/apps-proc-

manual/section-01-01-overview.pdf,

states that the FDIC’s goal is to act on

filings as promptly as practical, while

allowing appropriate time for review

and evaluation. It is also, generally, the

FDIC’s practice to provide an applicant

with an opportunity to withdraw its

application if FDIC staff propose an

unfavorable recommendation. For all

filings, whether for banks or savings

associations, the FDIC has established

timeframes for processing applications

that are consistent with statutes,

regulations, or internal business rules

for expedited and standard processing.

These timeframes have been issued

publicly through Financial Institution

Letter 81–2018, posted to the FDIC’s

public website and incorporated into

the APM under the Applications

Overview (refer to pages 1.1–3), which

is referenced at https://www.fdic.gov/

regulations/applications/resources/

apps-proc-manual/section-01-01-

overview.pdf.

The FDIC considers § 390.135 to be

unnecessary and proposes that it be

rescinded.

V. Revision of Certain Sections of Part

303

A. Section 303.7—Public notice

requirements

Section 5 of the FDI Act,

generally

and in part, provides that any

depository institution engaged in the

business of receiving deposits other

than trust funds, upon application to

and examination by the FDIC and

approval by its Board of Directors, may

become an insured depository

institution. The term ‘‘depository

institution’’ means any bank or savings

association pursuant to section 3(c)(1) of

the FDI Act.

Subpart B—Deposit

insurance, of part 303 of the FDIC

regulations, sets forth the procedures for

applying for deposit insurance by

certain applicants, including for a

proposed depository institution under

section 5 of the FDI Act, and applies to

savings associations.

Section 303.23(a)

of subpart B states that, in addition to

other requirements, the applicant ‘‘shall

publish a notice as prescribed in § 303.7

in a newspaper of general circulation in

the community in which the main office

of the depository institution is or will be

located.’’

Subpart F of part 390 of the FDIC

regulations addresses public notice

requirements, stating that §§ 390.111

through 390.115 apply whenever a FDIC

regulation requires an applicant to

follow the public notice procedures.

The FDIC proposes to rescind

§§ 390.111 through 390.115 because part

303 substantively addresses the same

requirements, including, for deposit

insurance applications, §§ 303.7,

subpart A, and 303.23, subpart B.

Section 303.7 of the FDIC regulations,

a part of subpart A—Rules of General

Applicability, addresses public notice

requirements for filings with respect to

mergers, changes in control, and

requests for deposit insurance. With one

exception, § 303.7 makes no distinction

between banks and savings associations.

However, § 303.7(c)(1)(i) states, in part:

‘‘[i]n the case of an application for

deposit insurance for a de novo bank

(emphasis added), include the names of

all organizers or incorporators.’’ In order

to clarify that the provision is applicable

to savings associations, consistent with

section 5 of the FDI Act and part 303,

including subpart B—Deposit Insurance,

and to make the requirement consistent

for both types of depository institutions,

the FDIC proposes to revise the

provision to replace ‘‘bank’’ with

‘‘depository institution,’’ a term used

elsewhere in the section.

B. Section 303.15—Certain limited

liability companies deemed

incorporated under State law

Pursuant to section 5 of the FDI Act,

the FDIC may approve deposit

insurance for certain depository

institutions. One of the statutory

requirements for a State bank to be

eligible for Federal deposit insurance is

that it must be ‘‘incorporated under the

laws of any State.’’

That requirement

effectively limited the approval of

deposit insurance to State banks

chartered under the traditional

corporate form, despite the creation and

increased use of limited liability entities

other than corporations, such as limited

liability companies (LLCs). Section

303.15(a) of the FDIC regulations was

promulgated to provide that a bank

chartered as an LLC under State law

would be deemed ‘‘incorporated’’ if it

met four requirements, thus permitting

the entity to be eligible to apply and be

approved for deposit insurance.

To be

deemed incorporated, the LLC must

possesses the four traditional corporate

characteristics of perpetual succession,

centralized management, limited

liability, and free transferability of

interests.

Section 303.15(b) further provides

that, for purposes of the FDI Act and the

FDIC regulations, the terms

‘‘stockholder,’’ ‘‘shareholder,’’

‘‘director,’’ ‘‘officer,’’ ‘‘voting stock,’’

‘‘voting shares,’’ and ‘‘voting securities,’’

for banks chartered as LLCs, shall

encompass or have substantially the

same meaning as those terms have for

banks chartered as corporations. The

definition of State savings association

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12 U.S.C. 1813(b)(3).

12 U.S.C. 1831o.

See 12 U.S.C. 1831o(e)(4).

See 12 U.S.C. 1831o(f)(4). 12 U.S.C. 1831o(f)

contains additional, discretionary restrictions that

may be imposed by a financial regulator.

12 CFR 349.

12 U.S.C. 3201–3208.

12 CFR 349.1(b).

12 U.S.C. 3206, 3207.

12 U.S.C. 1823(k)(1)(A)(v).

12 CFR 390.100(b)(1).

80 FR 79252 (Dec. 21, 2015).

12 CFR 303.249(a).

under the FDI Act, which uses the

phrase ‘‘organized and operating

according to the laws of the State’’

instead of ‘‘incorporated,’’ does not

limit State savings associations to the

corporate charter form (absent a state

requirement).

However, in order to

clarify that the terms in § 303.15(b)

apply to savings association chartered as

LLCs as they do for banks so chartered,

the FDIC proposes to revise references

to ‘‘bank’’ in § 303.15(b) to ‘‘depository

institution.’’ The impact of the revisions

would be to make the terms

‘‘stockholder,’’ ‘‘shareholder,’’

‘‘director,’’ ‘‘officer,’’ ‘‘voting stock,’’

‘‘voting shares,’’ and ‘‘voting securities,’’

with respect to savings associations

chartered as LLCs, encompass or have

substantially the same meaning with

respect to savings associations chartered

as LLCs as for those chartered as

corporations.

C. Subpart K—Prompt Corrective

Action: Section 303.204—Applications

for acquisitions, branching, and new

lines of business; Section 303.205—

Applications for bonuses and increased

compensation for senior executive

officers

Part 303 of the FDIC’s regulations

includes procedures to implement the

filing requirements for certain activities

or transactions relative to

undercapitalized or weaker depository

institutions, and implements certain

elements of section 38 of the FDI Act.

Section 38 applies to all insured

depository institutions. Among other

things, section 38 generally prohibits an

insured depository institution, without

application and approval, from engaging

in acquisitions, branching, or new lines

of business, if the institution is

undercapitalized or weaker,

significantly undercapitalized, or

critically undercapitalized.

It also

prohibits an insured depository

institution, without application and

approval, from payment of bonuses or

increased compensation to senior

executive officers, if the institution is

significantly or critically

undercapitalized, or is undercapitalized

and has failed to submit or implement

an acceptable capital restoration plan.

Sections 303.204 and 303.205 of the

FDIC regulations implement the above

provisions of section 38. Section

303.204 requires any insured State

nonmember bank and any insured

branch of a foreign bank that is

undercapitalized or significantly

undercapitalized, and any critically

undercapitalized insured depository

institution, to submit an application to

engage in acquisitions, branching, or

new lines of business. This section

clarifies that new lines of business

include ‘‘any new activity exercised

which, although it may be permissible,

has not been exercised by the

institution.’’ It also specifies the content

of the filing, including information

regarding whether the institution’s

primary federal regulator has accepted

the institution’s capital restoration plan,

and whether the institution has

implemented that plan.

Section 303.205 requires any insured

State nonmember bank or insured

branch of a foreign bank that is (i)

significantly undercapitalized or

critically undercapitalized, or (ii) is

undercapitalized and has failed to

submit or implement an acceptable

capital restoration plan, to submit an

application to pay a bonus or increase

compensation to any senior executive

officer. The section specifies the content

of the filing, including information

regarding the acceptance and

implementation of the institution’s

capital restoration plan.

Although section 38 and other

sections of subpart K of part 303 by their

terms apply to all insured depository

institutions, § 303.204, in part, and

§ 303.205 apply by their terms only to

insured State nonmember banks and

insured branches of foreign banks. The

FDIC proposes to revise §§ 303.204 and

303.205 to make those sections

expressly apply to State savings

associations to the same extent as they

do to insured State nonmember banks.

Those sections would be revised to add

‘‘insured State savings associations.’’

D. Section 303.249—Management

official interlocks

Part 348

of the FDIC regulations

implements the Deposit Insurance

Management Interlocks Act (Interlocks

Act).

The purpose of the Interlocks

Act and part 348 are to foster

competition by generally prohibiting a

management official from serving two

nonaffiliated depository organizations

when the management interlock likely

would have an anti-competitive effect.

The Interlocks Act is applicable to both

insured State nonmember banks and

State savings associations, and part 348

applies to management officials of FDIC-

supervised institutions and their

affiliates. With regard to insured State

nonmember banks and State savings

associations, the Interlocks Act provides

the FDIC with administrative and

enforcement authority under section

3206, as well as authority to prescribe

regulations to carry out the Interlocks

Act.

Under section 13(k) of the FDI Act,

and notwithstanding any provision of

State law, the FDIC may authorize dual

service that would otherwise be

prohibited by the Interlocks Act upon

determining that severe financial

conditions threaten the stability of a

significant number of savings

associations, or of savings associations

possessing significant financial

resources, and that such authorization

would lessen the risk to the FDIC.

Subpart F of part 390 does not apply to

a transaction under section 13(k) of the

FDI Act.

As discussed above, the FDIC

transferred various OTS regulations into

FDIC regulations. One of the transferred

OTS regulations governed OTS

oversight of management official

interlocks in the context of State savings

associations. The OTS regulation,

formerly found at 12 CFR part 563f, was

transferred to the FDIC with only minor,

nonsubstantive changes, and was found

in the FDIC’s regulations at 12 CFR part

390, subpart V (part 390, subpart V),

entitled ‘‘Management Official

Interlocks.’’ Before the transfer of the

OTS regulations and continuing today

as noted above, the FDIC’s regulations

contained part 348. After review and

comparison of part 390, subpart V, and

part 348, effective January 20, 2016, the

FDIC rescinded part 390, subpart V,

because the FDIC found it to be

substantially redundant to existing part

348, considering technical conforming

edits to part 348.

However, § 303.249 of the FDIC

regulations addresses the ‘‘procedures to

be followed by an insured State

nonmember bank (emphasis added) to

seek the approval of the FDIC to

establish an interlock pursuant to’’ the

Interlocks Act, section 13(k) of the FDI

Act, and part 348 of the FDIC

regulations.

The FDIC proposes to

revise § 303.249(a) to insert, following

‘‘bank’’ in the language quoted

immediately above, ‘‘or an insured State

savings association.’’ The revision

would clarify that State savings

associations may use the procedures

contained in § 303.249 to apply for

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Call Report data, March 2020.

12 U.S.C. 1831a.

12 CFR 303.1.

approval to establish interlocks as

provided therein.

VI. Expected Effects

As of March 31, 2020, the FDIC

supervised 3,309 depository

institutions, of which 35 (1.1 percent)

were State savings associations.

The

proposed rule would primarily affect

regulations that govern State savings

associations. As previously discussed,

the proposed rule would, if adopted,

rescind part 390, subpart F, because

most of its elements are duplicative of

substantively similar provisions of FDIC

regulations, principally part 303.

Additionally, the proposed rule would

amend certain elements of part 303 so

that the provisions are applicable to

State savings associations. In doing so,

the proposed rule would make elements

of part 390, subpart F, substantively

duplicative of the amended elements of

part 303, and, therefore, unnecessary.

As such, the FDIC does not believe the

proposed rule will have substantive

effects on State savings associations.

Section 390.100 sets forth application

processing procedures for State savings

associations. However, existing

statutes

and regulations already

‘‘prescribe the general procedures for

submitting filings to the FDIC and the

procedures to be followed by the FDIC,

applicants and interested parties during

the process of considering a filing’’

for

FDIC-supervised institutions, including

State savings associations. Therefore,

rescinding § 390.100 is not expected to

have any substantive effects on State

savings associations.

Section 390.101 specifies the criteria

for determining which filings receive

expedited treatment and which receive

standard treatment. State savings

associations are already subject to

substantively similar requirements in

§§ 303.2(r) and 303.11(c), as well as the

substantive subparts of part 303 of the

FDIC regulations. Therefore, rescinding

§ 390.101 is not expected to have any

substantive effects on State savings

associations.

Section 390.102 addresses the

computation of time periods for State

savings associations. State savings

associations are subject to regulations

that address the computation of relevant

time periods at § 303.4 of the FDIC

regulations. Therefore, rescinding

§ 390.101 is not expected to have any

substantive effects on State savings

associations.

Section 390.103 addresses pre-filing

meetings and FDIC contacts for filings to

acquire control of State savings

associations. Pre-filing meetings are not

addressed in FDIC regulations, but are

addressed in the Applications

Procedures Manual (APM), in which a

substantively similar description of pre-

filing meetings is given. Additionally,

the APM states that a Case Manager will

be assigned by the FDIC to the

application in order to facilitate

communication and engagement with

the applicant. Therefore, the FDIC

believes that rescinding § 390.103 is

unlikely to have any substantive effects

on State savings associations or change

in control applicants.

Section 390.104 addresses certain

requirements for business plans

submitted by State savings associations

under subpart F, which permits the

FDIC to require additional business plan

information during processing of the

filing. Under part 303, business plans

are required for certain filings, though

the FDIC may request additional

information for any filing. In this regard,

the FDIC’s review processes include, as

appropriate, pre-filing and other

activities to ensure institutions’

understanding of the FDIC’s filing

requirements and information needs. In

certain cases, the content for business

plans is addressed in filing forms or

other FDIC resources. For example, the

Inter-agency Charter and Deposit

Insurance Application Form contains

detailed instructions for the

development of the business plan; and

those instructions may assist

institutions when submitting business

plans as part of other filings. The FDIC

has also provided a Handbook for

Organizers—Applying for Deposit

Insurance, which aids all applicants for

deposit insurance and includes sections

on developing a business plan and

business plan content. Generally, the

FDIC believes it is appropriate to

provide an institution with flexibility to

tailor the content of the business plan to

reflect its unique circumstances,

strategies, and challenges. Therefore, in

light of the discussion above, the FDIC

believes that rescinding § 390.104 is

unlikely to have any substantive effects

on State savings associations or change

in control applicants.

Section 390.105 addresses expedited

and standard processing, as well as

waiver requests for State savings

associations. Expedited and standard

processing, as well as waiver

requirements, are encompassed in FDIC

regulations applicable to State savings

associations found throughout various

subparts and sections of part 303.

Therefore, the FDIC believes that

rescinding § 390.105 is unlikely to have

any substantive effects on State savings

associations or future applicants.

Section 390.106 addresses the content

of filings for State savings associations.

It directs State savings associations to

the applicable forms and the content

requirements. The required content of

filings is encompassed in FDIC

regulations applicable to State savings

associations throughout various

subparts and sections of part 303.

Therefore, the FDIC believes that

rescinding § 390.106 is unlikely to have

any substantive effects on State savings

associations or future applicants.

Section 390.107 addresses application

confidentiality for State savings

associations. FDIC regulations found at

§ 303.8 of the FDIC regulations and

applicable to FDIC-supervised

institutions, including State savings

associations, includes confidential

treatment regulations that are

substantively similar to those in

§ 390.107. Therefore, the FDIC believes

that rescinding § 390.107 is unlikely to

have any substantive effects on State

savings associations or future

applicants.

Section 390.108 addresses where to

file applications, specifically providing

regional office addresses. General

application filing procedures for all

FDIC-supervised institutions, including

State savings associations, are

encompassed in regulations found at

§ 303.3 of the FDIC regulations. Further,

although specific regional office

addresses are not included in the

regulation, they are available on the

FDIC’s public website. Therefore, the

FDIC believes that rescinding § 390.108

is unlikely to have any substantive

effects on State savings associations or

future applicants.

Section 390.109 explains the

application filing date. The FDIC does

not have substantively similar

regulations governing the filing date of

an application. However, FDIC

regulations operate on the basis of the

date on which a substantially complete

filing is submitted. Further, the FDIC’s

APM, which is accessible to all FDIC-

supervised institutions, including State

savings associations, addresses the date

on which an application is considered

to be substantively complete. Therefore,

the FDIC believes that rescinding

§ 390.109 is unlikely to have any

substantive effects on State savings

associations or future applicants.

Section 390.110 discusses amending

or supplementing an application. The

FDIC does not have substantively

similar regulations governing amending

or supplementing an application.

However, the FDIC relies on

determinations as to when an

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12 CFR 303.304.

application is substantially complete. In

addition, the FDIC’s APM, which is

applicable to all FDIC-supervised

institutions, including State savings

associations, addresses both

substantially complete filings and those

not substantially complete, as well as

how to supplement information.

Further, the APM states that an

applicant may modify and update an

application throughout the review

process until final disposition, and that

applicants often supplement their

applications throughout the review

process. Therefore, the FDIC believes

that rescinding § 390.110 is unlikely to

have any substantive effects on State

savings associations or future

applicants.

Sections 390.111 through 390.115

address public notice requirements.

FDIC-supervised institutions, including

State savings associations, are subject to

substantively similar public notice

requirements in § 303.7 of the FDIC

regulations and throughout various

subparts and sections of part 303.

Therefore, the FDIC believes that

rescinding §§ 390.111 through 390.115

is unlikely to have any substantive

effects on State savings associations or

future applicants.

Sections 390.116 through 390.120

address procedures for submission of

public comments. FDIC-supervised

institutions, including State savings

associations, are subject to substantively

similar requirements regarding

procedures for submission of public

comments in § 303.9 of the FDIC

regulations and throughout various

subparts and sections of part 303.

Therefore, the FDIC believes that

rescinding §§ 390.116 through 390.120

is unlikely to have any substantive

effects on State savings associations or

future applicants.

Sections 390.121 through 390.125

contain meeting procedures. Meetings

are addressed generally in FDIC

regulations found at 12 CFR 303.6 and

12 CFR 303.10 for FDIC-supervised

institutions, including State savings

associations. Although §§ 303.6 and

303.10 of the FDIC regulations are

generally less specific than §§ 390.121

through 390.125, the FDIC believes the

language in § 303.6 is generally

inclusive of the substance of §§ 390.121

through 390.125, by stating that ‘‘[t]he

FDIC may examine or investigate and

evaluate facts related to any filing under

this chapter to the extent necessary to

reach an informed decision and take any

action necessary or appropriate under

the circumstances.’’ Therefore, the FDIC

believes that rescinding §§ 390.121

through 390.125 is unlikely to have any

substantive effects on State savings

associations or future applicants.

Section 390.126 addresses expedited

treatment, including removal of the

filing to standard processing, additional

information requests, suspension of the

processing period, and when the

applicant can proceed with the activity

if the FDIC has not acted. FDIC-

supervised institutions, including State

savings associations, are subject to

substantively similar requirements

regarding expedited treatment in

§ 303.11(c) of the FDIC regulations, as

well as §§ 303.122 and 303.142.

Sections 303.3 and 303.11(e), as well as

substantive subparts of part 303,

provide the FDIC authority to require

submission of additional information.

Therefore, the FDIC believes that

rescinding § 390.126 is unlikely to have

any substantive effects on State savings

associations or future applicants.

Sections 390.127 and 390.128

addresses application completeness.

The FDIC does not have corresponding

regulations addressing application

completeness. Instead, the application

processing time periods under part 303

are triggered by the FDIC’s receipt of a

substantially complete filing.

The

FDIC believes that the substantially

complete filing step of part 303 enables

the procedures for processing a filing

under part 303, while essentially

addressing the same issues, to be

simpler and easier to navigate than

those of §§ 390.127 and 390.128.

Sections 303.3 and 303.11(e) of the FDIC

regulations, as well as substantive

subparts of part 303, provide the FDIC

authority to require submission of

additional information. The FDIC’s

APM, which aids all FDIC-supervised

institutions, including State savings

associations, addresses both

substantially complete filings and those

not substantially complete. Therefore,

the FDIC believes that rescinding

§§ 390.127 and 390.128 is unlikely to

have any substantive effects on State

savings associations or future

applicants.

Section 390.129 addresses eligibility

examinations, as well as the authority of

the FDIC to require such examinations

and to request additional information.

Under § 303.6 of the FDIC regulations,

the FDIC may examine or investigate

and evaluate facts related to any filing

to the extent necessary to reach an

informed decision and take any action

necessary or appropriate under the

circumstances. Sections 303.3 and

303.11(e), as well as substantive

subparts of part 303, provide the FDIC

authority to require submission of

additional information. Therefore, the

FDIC believes that a separate eligibility

determination provision is unneeded,

and rescinding § 390.129 is unlikely to

have any substantive effects on State

savings associations or future

applicants.

Section 390.130 addresses potential

FDIC requests for additional information

or actions from applicants. FDIC-

supervised institutions, including State

savings associations, are subject to

substantively similar requirements

regarding potential FDIC requests for

additional information or actions from

applicants through various subparts and

sections of part 303. Therefore, the FDIC

believes that rescinding § 390.130 is

unlikely to have any substantive effects

on State savings associations or future

applicants.

Section 390.131 explains

requirements to publish new public

notices. FDIC-supervised institutions,

including State savings associations, are

subject to substantively similar

requirements regarding publishing new

public notices in § 303.7(f) of the FDIC

regulations. Therefore, the FDIC

believes that rescinding § 390.131 is

unlikely to have any substantive effects

on State savings associations or future

applicants.

Section 390.132 addresses suspension

of an application. Part 303 has no such

provision. However, the FDIC believes

that situations envisioned by § 390.132

can either be effectively addressed on a

case-by-case basis without need of a

regulation, or that a regulation is not

needed because the processing period

under part 303 does not begin until the

FDIC receives a substantially complete

filing and, thus, no suspension is

necessary. Therefore, the FDIC believes

that rescinding § 390.132 is unlikely to

have any substantive effects on State

savings associations or future

applicants.

Section 390.133 addresses the

applicable review period for an

application. The FDIC’s part 303

regulations contain provisions that bear

on the same issues and are similar in

substantive effect as the § 390.133

provisions. Thus, while part 303

addresses review periods in a different

manner than subpart F, the FDIC

believes that the substantive effect is

similar and that rescinding § 390.133 is

unlikely to have any substantive effects

on State savings associations or future

applicants.

Section 390.134 requires the FDIC to

approve or deny an application before

the expiration of the applicable review

period, including any extensions, and

notify the applicant, in writing, of its

decision. If the FDIC does not act under

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www.fdic.gov/news/financial-institution-

letters/2018/fil18081.html.

12 U.S.C. 1831o.

5 U.S.C. 601, et seq.

paragraph (a)(1) of the section, the

application is deemed approved. The

FDIC’s part 303 procedures do not

contain such a requirement for

applications (as opposed to some notice

filings). However, when read in

conjunction with § 390.133, the FDIC

has significant, though not complete,

discretion under subpart F to extend the

review period or applications until a

determination is issued. The substantial

ability of the FDIC to extend the

processing period under subpart F, to a

great extent, renders any difference with

part 303 immaterial. As such, the

application review periods and

notification procedures for State savings

associations are subject to substantively

similar requirements under both subpart

F and part 303. Therefore, the FDIC

believes that rescinding § 390.134 is

unlikely to have any substantive effects

on State savings associations or future

applicants.

Section 390.135 addresses withdrawal

if an application is not acted on within

two calendar years. The FDIC does not

have substantively similar regulations

addressing withdrawal if an application

is not acted on. However, the FDIC’s

APM, which aids all FDIC-supervised

institutions, including State savings

associations, states that the FDIC’s goal

is to act on filings as promptly as

practical, while allowing appropriate

time for review and evaluation.

Additionally, the FDIC has established

timeframes for processing each type of

filing, which have been published in

Financial Institution Letter 81–2018.

is also, generally, the FDIC’s practice to

provide an applicant with an

opportunity to withdraw its application

if FDIC staff propose an unfavorable

recommendation. Therefore, the FDIC

believes that rescinding § 390.135 is

unlikely to have any substantive effects

on State savings associations or future

applicants.

The proposed rule would amend

certain elements of part 303, specifically

§§ 303.7(c)(1)(i) and 303.15(b)(1)–(4), so

that the provisions are applicable to

State savings associations. In so doing,

the proposed rule would make elements

of part 390, subpart F, substantively

duplicative of the amended elements of

part 303, and, therefore, unnecessary.

The proposed rule would amend

§§ 303.204 and 303.205 of part 303’s

subpart K (Prompt Corrective Action).

Section 303.204 requires any insured

State nonmember bank and any insured

branch of a foreign bank that is

undercapitalized or significantly

undercapitalized, and any critically

undercapitalized insured depository

institution, to submit an application to

engage in acquisitions, branching, or

new lines of business. Section 303.205

requires any insured State nonmember

bank or insured branch of a foreign bank

that is (i) significantly undercapitalized

or critically undercapitalized, or (ii) is

undercapitalized and has failed to

submit or implement an acceptable

capital restoration plan, to submit an

application to pay a bonus or increase

compensation to any senior executive

officer. The proposed rule would make

these sections applicable to State

savings associations. The provisions of

section 38 of the FDI Act,

which

establishes the statutory authority for

§§ 303.204 and 303.205, contain the

restrictions at issue and are applicable

to all insured depository institutions.

Thus, the proposed rule should not have

a material impact on State savings

associations.

Section 303.249 of the FDIC

regulations addresses the ‘‘procedures to

be followed by an insured State

nonmember bank to seek the approval of

the FDIC to establish an interlock

pursuant to’’ the Interlocks Act, section

13(k) of the FDI Act, and part 348 of the

FDIC regulations. The proposed rule

would amend § 303.249(a) to apply to

State savings associations. Although the

proposed amendment would set forth

more explicit requirements for State

savings associations seeking approval

for establishing an interlock, State

savings associations would not realize

any effects because they are already

subject to the Interlocks Act, and part

348. Therefore, State savings

associations would currently need to

undertake similar procedures, and

provide substantively similar

information, to those outlined in

§ 303.249.

By removing duplicative or

unnecessary regulations, the FDIC

believes that the proposed rule will

benefit State savings associations by

clarifying regulations and improving the

ease of references.

VII. Alternatives

The FDIC has considered alternatives

to the rule, but believes the amendments

represent the most appropriate option

for covered institutions. As discussed

previously, the Dodd-Frank Act

transferred to the FDIC certain powers,

duties, and functions formerly

performed by the OTS. The FDIC’s

Board reissued and redesignated certain

transferred regulations from the OTS,

but noted that it would evaluate and

might later, as appropriate, rescind,

amend, or incorporate the regulations

into other FDIC regulations.

The FDIC has evaluated the existing

regulations related to Application

Processing Procedures. The FDIC

considered the status quo alternative of

retaining the current regulations, but

believes it would be procedurally

complex and unnecessary for FDIC-

supervised institutions to continue to

refer to the separate sets of regulations.

Therefore, the FDIC is proposing to

amend and rescind the regulations.

VIII. Request for Comments

The FDIC invites comments on all

aspects of this proposed rulemaking,

and specifically requests comments on

the following question:

Question 1: What impact, if any, do

you foresee in the FDIC’s proposal to

rescind subpart F and amend certain

sections of part 303? Please substantiate

your response.

Written comments must be received

by the FDIC no later than November 16,

2020.

IX. Regulatory Analysis and Procedure

A. The Paperwork Reduction Act

In accordance with the requirements

of the Paperwork Reduction Act of 1995

(PRA), the FDIC may not conduct or

sponsor, and the respondent is not

required to respond to, an information

collection unless it displays a currently

valid Office of Management and Budget

(OMB) control number. The proposed

rule would rescind and remove from

FDIC regulations subpart F and make

technical revisions to certain sections of

part 303. The proposed rule will not

create any new or revise any existing

collections of information under the

PRA. Therefore, no information

collection request will be submitted to

the OMB for review.

B. The Regulatory Flexibility Act

The Regulatory Flexibility Act (RFA),

requires that, in connection with a

notice of proposed rulemaking, an

agency prepare and make available for

public comment an initial regulatory

flexibility analysis that describes the

impact of the proposed rule on small

entities.

However, a regulatory

flexibility analysis is not required if the

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

short explanatory statement in the

Federal Register together with the rule.

The Small Business Administration

(SBA) has defined ‘‘small entities’’ to

include banking organizations with total

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The SBA defines a small banking organization

as having $600 million or less in assets, where an

organization’s ‘‘assets are determined by averaging

the assets reported on its four quarterly financial

statements for the preceding year.’’ See 13 CFR

121.201 (as amended, by 84 FR 34261, effective

August 19, 2019). ‘‘SBA counts the receipts,

employees, or other measure of size of the concern

whose size is at issue and all of its domestic and

foreign affiliates.’’ See 13 CFR 121.103. Following

these regulations, the FDIC uses a covered entity’s

affiliated and acquired assets, averaged over the

preceding four quarters, to determine whether the

covered entity is ‘‘small’’ for the purposes of RFA.

FDIC Call Report, March 31, 2020.

Id.

12 U.S.C. 1831o.

Public Law 106–102, 113 Stat. 1338, 1471

(codified at 12 U.S.C. 4809).

Public Law 104–208, 110 Stat. 3009 (1996).

assets of less than or equal to $600

million.

Generally, the FDIC considers

a significant effect to be a quantified

effect in excess of 5 percent of total

annual salaries and benefits per

institution, or 2.5 percent of total non-

interest expenses. The FDIC believes

that effects in excess of these thresholds

typically represent significant effects for

FDIC-supervised institutions. For the

reasons provided below, the FDIC

certifies that the proposed rule, if

adopted in final form, would not have

a significant economic impact on a

substantial number of small banking

organizations. Accordingly, a regulatory

flexibility analysis is not required.

As of March 31, 2020, the FDIC

supervised 3,309 insured depository

institutions, of which 2,548 are

considered small banking organizations

for the purposes of RFA. The proposed

rule primarily affects regulations that

govern State savings associations.

There are 33 State savings associations

considered to be small banking

organizations for the purposes of the

RFA.

As previously discussed, the

proposed rule would, if adopted,

rescind part 390, subpart F, because

most of its elements are duplicative of

substantively similar provisions of FDIC

regulations, specifically part 303.

Additionally, the prosed rule would

amend §§ 303.7(c)(1)(i) and

303.15(b)(1)–(4) of part 303 so that the

provisions are applicable to State

savings associations. In doing so, the

proposed rule would make elements of

part 390, subpart F, substantively

duplicative of the amended elements of

part 303, and, therefore, unnecessary.

The proposed rule would amend

§§ 303.204 and 303.205 to make the

provisions applicable to all insured

depository institutions, including small,

State savings associations. The revisions

to §§ 303.204 and 303.205 provide a

procedure for State savings associations

to apply to the FDIC for relief from the

restrictions of section 38 of the FDI

Act.

Finally, the proposed rule would

amend § 303.249(a) to make the

provisions applicable to all insured

depository institutions, including small,

State savings associations. The FDIC

believes that this proposed amendment

will not have any substantive effects on

small, State savings associations

because it will not result in any

substantive change in the procedures

for, or content associated with seeking

approval for establishing an interlock.

Thus, the FDIC does not believe the

proposed rule will substantially impact

small, FDIC-supervised institutions or

future applicants.

Based on the information above, the

FDIC certifies that the proposed rule

would not have a significant economic

impact on a substantial number of small

entities.

Question 2: The FDIC invites

comments on all aspects of the

supporting information provided in this

RFA section. In particular, would this

rule have any significant effects on

small entities that the FDIC has not

identified?

C. Plain Language

Section 722 of the Gramm-Leach-

Bliley Act

requires each Federal

banking agency to use plain language in

all of its proposed and final regulations

published after January 1, 2000. As a

federal banking agency subject to the

provisions of this section, the FDIC has

sought to present the proposed rule to

rescind subpart F and make technical

revisions to certain sections of part 303

in a simple and straightforward manner.

Question 3: The FDIC invites

comments on whether the proposal is

clearly stated and effectively organized,

and how the FDIC might make the

proposal easier to understand.

D. The Economic Growth and

Regulatory Paperwork Reduction Act

Under section 2222 of the Economic

Growth and Regulatory Paperwork

Reduction Act of 1996 (EGRPRA), the

FDIC is required to review all of its

regulations, at least once every 10 years,

in order to identify any outdated or

otherwise unnecessary regulations

imposed on insured institutions.

The

FDIC, along with the other federal

banking agencies, submitted a Joint

Report to Congress on March 21, 2017,

(EGRPRA Report) discussing how the

review was conducted, what has been

done to date to address regulatory

burden, and further measures that will

be taken to address issues that were

identified. As noted in the EGRPRA

Report, the FDIC is continuing to

streamline and clarify its regulations

through the OTS rule integration

process. By removing outdated or

unnecessary regulations, such as

subpart f, this proposal complements

other actions the FDIC has taken,

separately and with the other federal

banking agencies, to further the

EGRPRA mandate.

List of Subjects

12 CFR Part 303

Administrative practice and

procedure, Bank deposit insurance,

Banks, banking, Reporting and

recordkeeping requirements, Savings

associations.

12 CFR Part 390

Administrative practice and

procedure, Advertising, Aged, Civil

rights, Conflict of interests, Credit,

Crime, Equal employment opportunity,

Fair housing, Government employees,

Individuals with disabilities, Reporting

and recordkeeping requirements,

Savings associations.

Authority and Issuance

For the reasons stated in the

preamble, the Federal Deposit Insurance

Corporation proposes to amend 12 CFR

parts 303 and 390 as follows:

PART 303—FILING PROCEDURES

■1. The authority citation for part 303

is revised to read as follows:

Authority: 12 U.S.C. 378, 1463, 1467a,

1813, 1815, 1817, 1818, 1819(a) (Seventh and

Tenth), 1820, 1823, 1828, 1831i, 1831e,

1831o, 1831p–1, 1831w, 1831z, 1835a,

1843(l), 3104, 3105, 3108, 3207, 5412; 15

U.S.C. 1601–1607.

■2. Revise § 303.7(c)(1) to read as

follows:

§ 303.7 Public notice requirements.

* * * * *

(1) The public notice referred to in

paragraph (a) of this section shall

consist of the following:

(i) In the case of an application for

deposit insurance for a de novo

depository institution, include the

names of all organizers or incorporators.

In the case of an application to establish

a branch, include the location of the

proposed branch or, in the case of an

application to relocate a branch or main

office, include the current and proposed

address of the office. In the case of a

merger application, include the names

of all parties to the transaction. In the

case of a notice of acquisition of control,

include the name(s) of the acquiring

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parties. In the case of an application to

relocate an insured branch of a foreign

bank, include the current and proposed

address of the branch.

(ii) Type of filing being made;

(iii) Name of the depository

institution(s) that is the subject matter of

the filing;

(iv) That the public may submit

comments to the appropriate FDIC

regional director;

(v) The address of the appropriate

FDIC office where comments may be

sent (the same location where the filing

will be made);

(vi) The closing date of the public

comment period as specified in the

appropriate subpart; and

(vii) That the nonconfidential

portions of the application are on file in

the appropriate FDIC office and are

available for public inspection during

regular business hours; photocopies of

the nonconfidential portion of the

application file will be made available

upon request.

* * * * *

■3. Revise § 303.15(b) to read as

follows:

§ 303.15 Certain limited liability companies

deemed incorporated under State law.

* * * * *

(b) For purposes of the Federal

Deposit Insurance Act and this Chapter,

(1) Each of the terms ‘‘stockholder’’

and ‘‘shareholder’’ includes an owner of

any interest in a depository institution

chartered as an LLC, including a

member or participant;

(2) The term ‘‘director’’ includes a

manager or director of a depository

institution chartered as an LLC, or other

person who has, with respect to such a

depository institution, authority

substantially similar to that of a director

of a corporation;

(3) The term ‘‘officer’’ includes an

officer of a depository institution

chartered as an LLC, or other person

who has, with respect to such a

depository institution, authority

substantially similar to that of an officer

of a corporation; and

(4) Each of the terms ‘‘voting stock,’’

‘‘voting shares,’’ and ‘‘voting securities’’

includes ownership interests in a

depository institution chartered as an

LLC, as well as any certificates or other

evidence of such ownership interests.

■4. Revise § 303.204 to read as follows:

§ 303.204 Applications for acquisitions,

branching, and new lines of business.

(a) Scope. (1) Any insured State

nonmember bank, any insured State

savings association, and any insured

branch of a foreign bank which is

undercapitalized or significantly

undercapitalized, and any insured

depository institution which is critically

undercapitalized, shall submit an

application to engage in acquisitions,

branching or new lines of business.

(2) A new line of business will

include any new activity exercised

which, although it may be permissible,

has not been exercised by the

institution.

(b) Content of filing. Applications

shall describe the proposal, state the

date the institution’s capital restoration

plan was accepted by its primary federal

regulator, describe the institution’s

status in implementing the plan, and

explain how the proposed action is

consistent with and will further the

achievement of the plan or otherwise

further the purposes of section 38 of the

FDI Act. If the FDIC is not the

applicant’s primary federal regulator,

the application also should state

whether approval has been requested

from the applicant’s primary federal

regulator, the date of such request and

the disposition of the request, if any. If

the proposed action also requires

applications pursuant to section 18 (c)

or (d) of the FDI Act (mergers and

branches) (12 U.S.C. 1828 (c) or (d)),

such applications should be filed

concurrently with, or made a part of, the

application filed pursuant to section 38

of the FDI Act (12 U.S.C. 1831o).

■5. Revise § 303.205(a) to read as

follows:

§ 303.205 Applications for bonuses and

increased compensation for senior

executive officers.

(a) Scope. Any insured State

nonmember bank, insured State savings

association, or insured branch of a

foreign bank that is significantly or

critically undercapitalized, or any

insured State nonmember bank, any

insured State savings association, or any

insured branch of a foreign bank that is

undercapitalized and which has failed

to submit or implement in any material

respect an acceptable capital restoration

plan, shall submit an application to pay

a bonus or increase compensation for

any senior executive officer.

* * * * *

■6. Revise § 303.249(a) to read as

follows:

§ 303.249 Management official interlocks.

(a) Scope. This section contains the

procedures to be followed by an insured

State nonmember bank or an insured

State savings association to seek the

approval of FDIC to establish an

interlock pursuant to the Depository

Institutions Management Interlocks Act

(12 U.S.C. 3207), section 13 of the FDI

Act (12 U.S.C. 1823(k)) and part 348 of

this chapter.

* * * * *

PART 390—REGULATIONS

TRANSFERRED FROM THE OFFICE OF

THRIFT SUPERVISION

■7. The authority citation for part 390

is revised to read as follows:

Authority: 12 U.S.C. 1819.

Subpart G also issued under 12 U.S.C. 2810

et seq., 2901 et seq.; 15 U.S.C. 1691; 42 U.S.C.

1981, 1982, 3601–3619.

Subpart O also issued under 12 U.S.C.

1828.

Subpart Q also issued under 12 U.S.C.

1462; 1462a; 1463; 1464.

Subpart W also issued under 12 U.S.C.

1462a; 1463; 1464; 15 U.S.C. 78c; 78l; 78m;

78n; 78p; 78w.

Subpart Y also issued under 12 U.S.C.

1831o.

Subpart F—[Removed and Reserved]

■8. Remove and reserve subpart F,

consisting of §§ 390.100 through

390.135.

Federal Deposit Insurance Corporation.

By order of the Board of Directors.

Dated at Washington, DC, on or about

September 15, 2020.

James P. Sheesley,

Assistant Executive Secretary.

[FR Doc. 2020–21000 Filed 10–14–20; 8:45 am]

BILLING CODE 6714–01–P

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA–2020–0851; Product

Identifier 2020–NM–081–AD]

RIN 2120–AA64

Airworthiness Directives; Airbus SAS

Airplanes

AGENCY

: Federal Aviation

Administration (FAA), DOT.

ACTION

: Notice of proposed rulemaking

(NPRM).

SUMMARY

: The FAA proposes to adopt a

new airworthiness directive (AD) for all

Airbus SAS Model A318 series

airplanes; Model A319–111, A319–112,

A319–113, A319–114, A319–115, A319–

131, A319–132, and A319–133

airplanes; Model A320–211, A320–212,

A320–214, A320–216, A320–231, A320–

232, and A320–233 airplanes; and

Model A321–111, A321–112, A321–131,

A321–211, A321–212, A321–213, A321–

231, and A321–232 airplanes. This

proposed AD was prompted by reports

that certain oxygen supply solenoid

VerDate Sep<11>2014 16:31 Oct 14, 2020 Jkt 253001 PO 00000 Frm 00021 Fmt 4702 Sfmt 4702 E:\FR\FM\15OCP1.SGM 15OCP1

jbell on DSKJLSW7X2PROD with PROPOSALS

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Removal of Transferred OTS Regulations Regarding Application Processing Procedures of State Savings Associations

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