Transferred OTS Regulations Regarding Possession by Conservators and Receivers for Federal and State Savings Associations, 5015-5017 [2015-01326]
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Federal Register / Vol. 80, No. 20 / Friday, January 30, 2015 / Rules and Regulations
Subpart E—[Removed and reserved]
20. Remove and reserve part 390,
subpart E consisting of §§ 390.90
through 390.97.
■
Dated at Washington, DC, this 21st day of
January, 2015.
By order of the Board of Directors.
Federal Deposit Insurance Corporation.
Robert E. Feldman,
Executive Secretary.
[FR Doc. 2015–01327 Filed 1–29–15; 8:45 am]
BILLING CODE 6714–01–P
FEDERAL DEPOSIT INSURANCE
CORPORATION
12 CFR Part 390
RIN 3064–AE17
Transferred OTS Regulations
Regarding Possession by
Conservators and Receivers for
Federal and State Savings
Associations
Federal Deposit Insurance
Corporation.
ACTION: Final rule.
AGENCY:
The Federal Deposit
Insurance Corporation (FDIC) is
rescinding and removing the former
OTS regulation entitled ‘‘Possession by
Conservators and Receivers for Federal
and State Savings Associations’’ from
the Code of Federal Regulations because
it is not necessary. This rule was
included in the regulations that were
transferred to the FDIC from the Office
of Thrift Supervision (OTS) on July 21,
2011, in connection with the
implementation of Title III of the DoddFrank Wall Street Reform and Consumer
Protection Act (Dodd-Frank Act).
DATES: Effective March 2, 2015.
FOR FURTHER INFORMATION CONTACT:
Frank C. Campagna, Associate Director,
Receivership Operations, Division of
Resolutions and Receiverships (972)
761–8025 or FrCampagna@FDIC.gov; or
Shane Kiernan, Counsel, Legal Division
(703) 562–2632 or skiernan@fdic.gov.
SUPPLEMENTARY INFORMATION:
SUMMARY:
rljohnson on DSK4SPTVN1PROD with RULES
I. Background
The Dodd-Frank Act
The Dodd-Frank Act,1 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
1 Public Law 111–203, 12 U.S.C. 5301, et seq.
(2010).
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of the Dodd-Frank Act,2 the powers,
duties, and functions formerly
performed by the OTS were divided
among the FDIC as to State savings
associations, the Office of 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 3 provides the
manner of treatment for all orders,
resolutions, determinations, regulations,
and other advisory materials that were
issued, made, prescribed, or allowed to
become effective by the OTS. The
section provides that if such advisory
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.
Section 316(c) of the Dodd-Frank
Act 4 further directed the FDIC and the
OCC to consult with one another and to
publish a list of the continued OTS
regulations that would be enforced by
the FDIC and the OCC respectively. 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 DoddFrank 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, 2011.5
authorized to issue, modify and rescind
regulations involving such associations.
As noted, on June 14, 2011, the FDIC’s
Board of Directors reissued and
redesignated certain regulations
promulgated by the former OTS. These
transferred OTS regulations were
published as FDIC interim rules in the
Federal Register on August 5, 2011.9
When it republished the transferred
OTS regulations as new FDIC
regulations, the FDIC specifically noted
that its staff would evaluate the
transferred OTS rules and might later
recommend incorporating the
transferred OTS regulations into other
FDIC rules, amending them, or
rescinding them, as appropriate.
One of the regulations transferred to
the FDIC set forth procedures to be
followed by conservators and receivers
for Federal and State savings
associations upon taking possession of
said entities and for providing notice of
appointment. This OTS regulation,
formerly found at 12 CFR part 558, was
transferred to the FDIC with only
nominal changes and is now subpart N
in 12 CFR part 390.
The FDIC’s authority to act as
conservator or receiver and its powers
and duties in those roles are set forth in
the FDI Act and in regulations found in
12 CFR part 360. The Board has
delegated authority to staff to establish
policies and procedures for carrying out
receivership operations. The FDI Act
and the policies and procedures
implemented and followed by FDIC staff
subsume the responsibilities set forth in
subpart N.10
FDIC’s Authority
II. Final Rule
Although section 312(b)(2)(B)(i)(II) of
the Dodd-Frank Act 6 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 (the FDI Act) 7 and other
laws as the ‘‘appropriate Federal
banking agency.’’ Section 312(c) of the
Dodd-Frank Act amended section 3(q) of
the FDI Act 8 and designated the FDIC
as the ‘‘appropriate Federal banking
agency’’ for State savings associations.
As a result, when the FDIC acts as the
designated ‘‘appropriate Federal
banking agency’’ for State savings
associations, as it does here, the FDIC is
Section 316(b) of the Dodd-Frank Act
provides that the former OTS’s
regulations will continue in effect until
they are modified, terminated, set aside,
or superseded in accordance with
applicable law.11 After careful review of
subpart N, the FDIC has determined that
it should be rescinded and removed
because it is unnecessary, or because it
prescribes actions that are duplicative of
actions taken by the OCC or state
chartering authority. The provisions of
the FDI Act and the FDIC’s existing
policies and procedures sufficiently
address the provision of notice of
appointment and the authority to take
possession of, and exercise control over,
the assets of a failed institution,
including insured Federal and State
savings associations. The FDIC issued a
2 12
U.S.C. 5411.
U.S.C. 5414(b).
4 12 U.S.C. 5414(c).
5 76 FR 39247 (July 6, 2011).
6 12 U.S.C. 5412(b)(2)(B)(i)(II).
7 12 U.S.C. 1811, et seq.
8 12 U.S.C. 1813(q).
3 12
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9 76
FR 47652 (August 5, 2011).
policies and procedures include the FDIC
Division of Resolution and Receivership’s Failed
Financial Institution Closing Manual.
11 12 U.S.C. 5414(b).
10 Such
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Federal Register / Vol. 80, No. 20 / Friday, January 30, 2015 / Rules and Regulations
rljohnson on DSK4SPTVN1PROD with RULES
notice of proposed rulemaking to
rescind and remove subpart N in the
Federal Register and received no
comments on its proposal.12
12 CFR 390.240—Procedure Upon
Taking Possession
The FDIC interim rule found at 12
CFR 390.240 (section 390.240) is the
redesignation of the OTS regulation
outlining procedures to be followed by
conservators and receivers for Federal
and State savings associations for taking
possession of said entities upon
appointment. The FDIC is rescinding
and removing section 390.240 because it
is unnecessary. Paragraph (a) requires
the conservator or receiver to take
possession of the failed institution’s
principal office in accordance with the
terms of the appointment. The FDIC’s
procedure already provides that it takes
coordinated simultaneous possession of
all locations from which a failed
institution operates. Moreover, the
FDIC’s powers and duties as conservator
or receiver are set forth in the FDI Act,
not pursuant to the ‘‘terms of the . . .
appointment.’’
Paragraphs (b)(1) and (b)(5),
respectively, provide that the
conservator or receiver shall
immediately take possession of the
institution’s books, records, and assets,
and shall succeed to rights, titles,
powers and privileges of the savings
association and its stockholders,
members, account holders, depositors,
officers, and directors. These provisions
are redundant of the FDI Act, which
provides that the FDIC succeeds to ‘‘all
rights, titles, powers, and privileges of
the insured depository institution, and
of any stockholder, member,
accountholder, depositor, officer, or
director of such institution with respect
to the institution and the assets of the
institution’’ when acting as conservator
or receiver.13
Paragraphs (b)(2), (3), and (4),
respectively, instruct the conservator or
receiver to ‘‘notify in writing, served
personally or by registered mail or
telegraph’’ all parties known to be
holding or in possession of assets of the
failed institution that the conservator or
receiver has succeeded to all rights,
powers and privileges of the failed
institution; file a statement with the
Executive Secretary that the conservator
or receiver took possession of the failed
institution; and post a notice on the
door of the principal and other offices
of the failed institution in the form, if
any, prescribed by the OCC or state bank
supervisor. For three reasons, these
provisions are unnecessary given
existing FDIC policies and procedures.
First, the FDIC’s practice is to demand
the return of assets of the failed
institution in whatever manner and
form that is appropriate under the
circumstances. Second, the Executive
Secretary is provided with a copy of all
closing documents by FDIC staff. Third,
the OCC or state bank supervisor itself
posts its order closing the institution on
the door of the principal office.
12 CFR 390.241—Notice of
Appointment
The FDIC interim rule found at 12
CFR 390.241 (section 390.241) is the
redesignation of the OTS regulation
outlining procedures for giving notice of
the appointment of a conservator or
receiver for a Federal or State savings
association. The FDIC is rescinding and
removing section 390.241 because it is
unnecessary. Specifically, paragraph (a)
requires the FDIC to designate the
persons or entities who are to: (1) Give
notice of the appointment ‘‘to any
officer or employee who is present in
and appears to be in charge at the
principal office of the savings
association;’’ 14 (2) serve a copy of the
order of appointment by (i) ‘‘leaving a
certified copy of the order of
appointment at the principal office of
the savings association,’’ 15 or (ii)
‘‘handing a certified copy of the order of
appointment to the previous conservator
. . . or the officer or employee of the
savings association . . . who is present
in and appears to be in charge at the
principal office of the savings
association;’’ 16 and (3) file with the
Executive Secretary of the FDIC a
statement that includes the date and
time that notice of the appointment was
given and service of the order of
appointment was made.’’ 17 It is not
necessary to include these provisions
among the FDIC’s regulations because
the OCC or state chartering authority is
responsible for providing or serving
notice of the appointment of the FDIC
as conservator or receiver on a Federal
or State savings association. Further, the
FDIC’s Executive Secretary maintains
records of the appointment of the FDIC
as conservator or receiver. Paragraph (b),
which instructs the FDIC to cause a
notice of the appointment of the
conservator or receiver to be published
in the Federal Register, is unnecessary
because the FDIC causes such a
publication regarding any institution for
which it is appointed as conservator or
14 12
CFR 390.241(a)(1).
CFR 390.241(a)(2)(i).
16 12 CFR 390.241(a)(2)(ii).
17 12 CFR 390.241(a)(3).
15 12
12 79
13 12
FR 45380, August 5, 2014.
U.S.C. 1821(d)(2)(A).
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receiver in accordance with its policy
and procedures.
For the reasons stated above, the FDIC
is rescinding and removing subpart N.
Doing so will serve to streamline the
FDIC’s rules, prevent confusion and
eliminate unnecessary regulations.
III. Regulatory Analysis
A. The Paperwork Reduction Act
In accordance with the requirements
of the Paperwork Reduction Act (44
U.S.C. 3501, et seq.) (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. Rescinding and removing
subpart N will not revise any existing
information collections pursuant to the
PRA. Consequently, the FDIC has not
submitted any information collection
request to the OMB for review.
B. The Regulatory Flexibility Act
The Regulatory Flexibility Act, 5
U.S.C. 601, et seq. (RFA), requires that
each federal agency either (1) certify
that a proposed rule would not, if
adopted in final form, have a significant
economic impact on a substantial
number of small entities or (2) prepare
an initial regulatory flexibility analysis
of the rule and publish the analysis for
comment. Rescinding and removing
subpart N will leave the FDI Act as the
sole source of the FDIC’s authority to act
as conservator or receiver for an insured
depository institution and does not
impose any obligations or restrictions
on banking organizations, including
small banking organizations. On this
basis, the FDIC certifies that the removal
of subpart N would not have a
significant impact on a substantial
number of small entities within the
meaning of those terms as used in the
RFA.
C. Small Business Regulatory
Enforcement Fairness Act
No notice of a final rule is being
provided to Congress regarding this
amendment under the Small Business
Regulatory Enforcement Fairness Act of
1996, 5 U.S.C. 801, et seq., (SBREFA).
SBREFA provides generally for agencies
to report rules to Congress and for major
rules not to take effect for a certain
period after the notice has been
received. However, section 251 of
SBREFA provides that rules of agency
practice and procedure that do not
substantially affect the rights or
obligations of non-agency parties are not
subject to the reporting requirement and
may be made effective in accordance
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Federal Register / Vol. 80, No. 20 / Friday, January 30, 2015 / Rules and Regulations
with the Administrative Procedure Act,
5 U.S.C. 701 et seq., and any other
applicable law. The Office of
Management and Budget has
determined that the Final Rule is not a
‘‘major rule’’ within the meaning of
SBREFA.
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 completed the last comprehensive
review of its regulations under EGRPRA
in 2006 and has commenced the next
decennial review. The action taken on
this rule will be included as part of the
EGRPRA review that is currently under
way.
E. Plain Language
Section 722 of the Gramm-LeachBliley Act, Public Law 106–102, 113
Stat. 1338, 1471, 12 U.S.C. 4809,
requires each Federal banking agency to
use plain language in all of its proposed
and final rules published after January
1, 2000. As a federal banking agency
subject to the provisions of this section,
the FDIC has sought to present the final
rule to rescind and remove subpart N in
a simple and straightforward manner.
The FDIC’s proposal to rescind and
remove subpart N invited comments on
whether the proposal was clearly stated
and effectively organized, and how the
FDIC might make the proposal easier to
understand. No comments were
received.
Subpart I also issued under 12 U.S.C.
1831x.
Subpart J also issued under 12 U.S.C.
1831p–1.
Subpart L also issued under 12 U.S.C.
1831p–1.
Subpart M also issued under 12 U.S.C.
1818.
Subpart O also issued under 12 U.S.C.
1828.
Subpart P also issued under 12 U.S.C.
1470; 1831e; 1831n; 1831p–1; 3339.
Subpart Q also issued under 12 U.S.C.
1462; 1462a; 1463; 1464.
Subpart R also issued under 12 U.S.C.
1463; 1464; 1831m; 1831n; 1831p–1.
Subpart S also issued under 12 U.S.C.
1462; 1462a; 1463; 1464; 1468a; 1817; 1820;
1828; 1831e; 1831o; 1831p–1; 1881–1884;
3207; 3339; 15 U.S.C. 78b; 78 l; 78m; 78n;
78p; 78q; 78w; 31 U.S.C. 5318; 42 U.S.C.
4106.
Subpart T also issued under 12 U.S.C.
1462a; 1463; 1464; 15 U.S.C. 78c; 78 l; 78m;
78n; 78w.
Subpart V also issued under 12 U.S.C.
3201–3208.
Subpart W also issued under 12 U.S.C.
1462a; 1463; 1464; 15 U.S.C. 78c; 78 l; 78m;
78n; 78p; 78w.
Subpart X also issued under 12 U.S.C.
1462; 1462a; 1463; 1464; 1828; 3331 et seq.
Subpart Y also issued under 12
U.S.C.1831o.
Subpart Z also issued under 12 U.S.C.
1462; 1462a; 1463; 1464; 1828 (note).
Subpart N—[Removed and Reserved]
2. Remove and reserve subpart N
consisting of §§ 390.240 through
390.241.
■
Dated at Washington, DC, this 21st day of
January, 2015.
By order of the Board of Directors.
Federal Deposit Insurance Corporation.
Robert E. Feldman.
Executive Secretary.
[FR Doc. 2015–01326 Filed 1–29–15; 8:45 am]
List of Subjects in Part 390
BILLING CODE 6714–01–P
Banks and banking, Savings
associations.
Authority and Issuance
DEPARTMENT OF TRANSPORTATION
For the reasons stated in the preamble
and under the authority of 12 U.S.C.
5412, the Board of Directors of the
Federal Deposit Insurance Corporation
amends 12 CFR part 390 as follows:
Federal Aviation Administration
PART 390—REGULATIONS
TRANSFERRED FROM THE OFFICE OF
THRIFT SUPERVISION
1. The authority citation for part 390
is revised to read as follows:
rljohnson on DSK4SPTVN1PROD with RULES
■
Subpart F also issued under 5 U.S.C. 552;
559; 12 U.S.C. 2901 et seq.
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.
14:34 Jan 29, 2015
Jkt 235001
[Docket No. FAA–2014–0231; Directorate
Identifier 2013–NM–163–AD; Amendment
39–18073; AD 2015–02–06]
RIN 2120–AA64
Airworthiness Directives; Bombardier,
Inc. Airplanes
Federal Aviation
Administration (FAA), Department of
Transportation (DOT).
ACTION: Final rule.
AGENCY:
Authority: 12 U.S.C. 1819.
VerDate Sep<11>2014
14 CFR Part 39
We are adopting a new
airworthiness directive (AD) for certain
SUMMARY:
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5017
Bombardier, Inc. Model CL–600–2B16
(CL–604 Variant) airplanes. This AD
was prompted by reports of loose,
broken, or backed-out spur gear bolts on
the horizontal stabilizer trim actuator
(HSTA). This AD requires a revision to
the airplane flight manual, a revision to
the maintenance or inspection program,
as applicable, and replacement of
HSTAs having certain part numbers. We
are issuing this AD to detect and correct
loose spur gear bolts on the HSTA,
which, if combined with the failure of
the primary load path, could lead to
failure of the HSTA and subsequent loss
of the airplane.
DATES: This AD becomes effective
March 6, 2015.
The Director of the Federal Register
approved the incorporation by reference
of certain publications listed in this AD
as of March 6, 2015.
ADDRESSES: You may examine the AD
docket on the Internet at https://
www.regulations.gov/
#!docketDetail;D=FAA-2014-0231; or in
person at the Docket Management
Facility, U.S. Department of
Transportation, Docket Operations, M–
30, West Building Ground Floor, Room
W12–140, 1200 New Jersey Avenue SE.,
Washington, DC.
For service information identified in
this AD, contact Bombardier, Inc., 400
ˆ
´
Cote Vertu Road West, Dorval, Quebec
H4S 1Y9, Canada; telephone 514–855–
5000; fax 514–855–7401; email thd.crj@
aero.bombardier.com; Internet https://
www.bombardier.com. You may view
this referenced service information at
the FAA, Transport Airplane
Directorate, 1601 Lind Avenue SW.,
Renton, WA. For information on the
availability of this material at the FAA,
call 425–227–1221.
FOR FURTHER INFORMATION CONTACT:
Ricardo Garcia, Aerospace Engineer,
Airframe and Propulsion Branch, ANE–
171, FAA, New York Aircraft
Certification Office, 1600 Stewart
Avenue, Suite 410, Westbury, NY
11590; telephone 516–28–7331; fax
516–794–5531.
SUPPLEMENTARY INFORMATION:
Discussion
We issued a notice of proposed
rulemaking (NPRM) to amend 14 CFR
part 39 by adding an AD that would
apply to certain Bombardier, Inc. Model
CL–600–2B16 (CL–604 Variant)
airplanes. The NPRM published in the
Federal Register on April 15, 2014 (79
FR 21158). Transport Canada Civil
Aviation (TCCA), which is the aviation
authority for Canada, has issued
Canadian Airworthiness Directive CF–
2013–18, dated July 16, 2013 (referred to
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]]>Agencies
[Federal Register Volume 80, Number 20 (Friday, January 30, 2015)]
[Rules and Regulations]
[Pages 5015-5017]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2015-01326]
-----------------------------------------------------------------------
FEDERAL DEPOSIT INSURANCE CORPORATION
12 CFR Part 390
RIN 3064-AE17
Transferred OTS Regulations Regarding Possession by Conservators
and Receivers for Federal and State Savings Associations
AGENCY: Federal Deposit Insurance Corporation.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The Federal Deposit Insurance Corporation (FDIC) is rescinding
and removing the former OTS regulation entitled ``Possession by
Conservators and Receivers for Federal and State Savings Associations''
from the Code of Federal Regulations because it is not necessary. This
rule was included in the regulations that were transferred to the FDIC
from the Office of Thrift Supervision (OTS) on July 21, 2011, in
connection with the implementation of Title III of the Dodd-Frank Wall
Street Reform and Consumer Protection Act (Dodd-Frank Act).
DATES: Effective March 2, 2015.
FOR FURTHER INFORMATION CONTACT: Frank C. Campagna, Associate Director,
Receivership Operations, Division of Resolutions and Receiverships
(972) 761-8025 or FrCampagna@FDIC.gov; or Shane Kiernan, Counsel, Legal
Division (703) 562-2632 or skiernan@fdic.gov.
SUPPLEMENTARY INFORMATION:
I. Background
The Dodd-Frank Act
The Dodd-Frank Act,\1\ 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,\2\ the powers, duties, and functions formerly performed by the OTS
were divided among the FDIC as to State savings associations, the
Office of 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 \3\ provides the manner of treatment for all orders,
resolutions, determinations, regulations, and other advisory materials
that were issued, made, prescribed, or allowed to become effective by
the OTS. The section provides that if such advisory 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.
---------------------------------------------------------------------------
\1\ Public Law 111-203, 12 U.S.C. 5301, et seq. (2010).
\2\ 12 U.S.C. 5411.
\3\ 12 U.S.C. 5414(b).
---------------------------------------------------------------------------
Section 316(c) of the Dodd-Frank Act \4\ further directed the FDIC
and the OCC to consult with one another and to publish a list of the
continued OTS regulations that would be enforced by the FDIC and the
OCC respectively. 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.\5\
---------------------------------------------------------------------------
\4\ 12 U.S.C. 5414(c).
\5\ 76 FR 39247 (July 6, 2011).
---------------------------------------------------------------------------
FDIC's Authority
Although section 312(b)(2)(B)(i)(II) of the Dodd-Frank Act \6\
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 (the FDI Act) \7\ and other laws as the ``appropriate
Federal banking agency.'' Section 312(c) of the Dodd-Frank Act amended
section 3(q) of the FDI Act \8\ and designated the FDIC as the
``appropriate Federal banking agency'' for State savings associations.
As a result, when the FDIC acts as the designated ``appropriate Federal
banking agency'' for State savings associations, as it does here, the
FDIC is authorized to issue, modify and rescind regulations involving
such associations.
---------------------------------------------------------------------------
\6\ 12 U.S.C. 5412(b)(2)(B)(i)(II).
\7\ 12 U.S.C. 1811, et seq.
\8\ 12 U.S.C. 1813(q).
---------------------------------------------------------------------------
As noted, on June 14, 2011, the FDIC's Board of Directors reissued
and redesignated certain regulations promulgated by the former OTS.
These transferred OTS regulations were published as FDIC interim rules
in the Federal Register on August 5, 2011.\9\ When it republished the
transferred OTS regulations as new FDIC regulations, the FDIC
specifically noted that its staff would evaluate the transferred OTS
rules and might later recommend incorporating the transferred OTS
regulations into other FDIC rules, amending them, or rescinding them,
as appropriate.
---------------------------------------------------------------------------
\9\ 76 FR 47652 (August 5, 2011).
---------------------------------------------------------------------------
One of the regulations transferred to the FDIC set forth procedures
to be followed by conservators and receivers for Federal and State
savings associations upon taking possession of said entities and for
providing notice of appointment. This OTS regulation, formerly found at
12 CFR part 558, was transferred to the FDIC with only nominal changes
and is now subpart N in 12 CFR part 390.
The FDIC's authority to act as conservator or receiver and its
powers and duties in those roles are set forth in the FDI Act and in
regulations found in 12 CFR part 360. The Board has delegated authority
to staff to establish policies and procedures for carrying out
receivership operations. The FDI Act and the policies and procedures
implemented and followed by FDIC staff subsume the responsibilities set
forth in subpart N.\10\
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\10\ Such policies and procedures include the FDIC Division of
Resolution and Receivership's Failed Financial Institution Closing
Manual.
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II. Final Rule
Section 316(b) of the Dodd-Frank Act provides that the former OTS's
regulations will continue in effect until they are modified,
terminated, set aside, or superseded in accordance with applicable
law.\11\ After careful review of subpart N, the FDIC has determined
that it should be rescinded and removed because it is unnecessary, or
because it prescribes actions that are duplicative of actions taken by
the OCC or state chartering authority. The provisions of the FDI Act
and the FDIC's existing policies and procedures sufficiently address
the provision of notice of appointment and the authority to take
possession of, and exercise control over, the assets of a failed
institution, including insured Federal and State savings associations.
The FDIC issued a
[[Page 5016]]
notice of proposed rulemaking to rescind and remove subpart N in the
Federal Register and received no comments on its proposal.\12\
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\11\ 12 U.S.C. 5414(b).
\12\ 79 FR 45380, August 5, 2014.
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12 CFR 390.240--Procedure Upon Taking Possession
The FDIC interim rule found at 12 CFR 390.240 (section 390.240) is
the redesignation of the OTS regulation outlining procedures to be
followed by conservators and receivers for Federal and State savings
associations for taking possession of said entities upon appointment.
The FDIC is rescinding and removing section 390.240 because it is
unnecessary. Paragraph (a) requires the conservator or receiver to take
possession of the failed institution's principal office in accordance
with the terms of the appointment. The FDIC's procedure already
provides that it takes coordinated simultaneous possession of all
locations from which a failed institution operates. Moreover, the
FDIC's powers and duties as conservator or receiver are set forth in
the FDI Act, not pursuant to the ``terms of the . . . appointment.''
Paragraphs (b)(1) and (b)(5), respectively, provide that the
conservator or receiver shall immediately take possession of the
institution's books, records, and assets, and shall succeed to rights,
titles, powers and privileges of the savings association and its
stockholders, members, account holders, depositors, officers, and
directors. These provisions are redundant of the FDI Act, which
provides that the FDIC succeeds to ``all rights, titles, powers, and
privileges of the insured depository institution, and of any
stockholder, member, accountholder, depositor, officer, or director of
such institution with respect to the institution and the assets of the
institution'' when acting as conservator or receiver.\13\
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\13\ 12 U.S.C. 1821(d)(2)(A).
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Paragraphs (b)(2), (3), and (4), respectively, instruct the
conservator or receiver to ``notify in writing, served personally or by
registered mail or telegraph'' all parties known to be holding or in
possession of assets of the failed institution that the conservator or
receiver has succeeded to all rights, powers and privileges of the
failed institution; file a statement with the Executive Secretary that
the conservator or receiver took possession of the failed institution;
and post a notice on the door of the principal and other offices of the
failed institution in the form, if any, prescribed by the OCC or state
bank supervisor. For three reasons, these provisions are unnecessary
given existing FDIC policies and procedures. First, the FDIC's practice
is to demand the return of assets of the failed institution in whatever
manner and form that is appropriate under the circumstances. Second,
the Executive Secretary is provided with a copy of all closing
documents by FDIC staff. Third, the OCC or state bank supervisor itself
posts its order closing the institution on the door of the principal
office.
12 CFR 390.241--Notice of Appointment
The FDIC interim rule found at 12 CFR 390.241 (section 390.241) is
the redesignation of the OTS regulation outlining procedures for giving
notice of the appointment of a conservator or receiver for a Federal or
State savings association. The FDIC is rescinding and removing section
390.241 because it is unnecessary. Specifically, paragraph (a) requires
the FDIC to designate the persons or entities who are to: (1) Give
notice of the appointment ``to any officer or employee who is present
in and appears to be in charge at the principal office of the savings
association;'' \14\ (2) serve a copy of the order of appointment by (i)
``leaving a certified copy of the order of appointment at the principal
office of the savings association,'' \15\ or (ii) ``handing a certified
copy of the order of appointment to the previous conservator . . . or
the officer or employee of the savings association . . . who is present
in and appears to be in charge at the principal office of the savings
association;'' \16\ and (3) file with the Executive Secretary of the
FDIC a statement that includes the date and time that notice of the
appointment was given and service of the order of appointment was
made.'' \17\ It is not necessary to include these provisions among the
FDIC's regulations because the OCC or state chartering authority is
responsible for providing or serving notice of the appointment of the
FDIC as conservator or receiver on a Federal or State savings
association. Further, the FDIC's Executive Secretary maintains records
of the appointment of the FDIC as conservator or receiver. Paragraph
(b), which instructs the FDIC to cause a notice of the appointment of
the conservator or receiver to be published in the Federal Register, is
unnecessary because the FDIC causes such a publication regarding any
institution for which it is appointed as conservator or receiver in
accordance with its policy and procedures.
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\14\ 12 CFR 390.241(a)(1).
\15\ 12 CFR 390.241(a)(2)(i).
\16\ 12 CFR 390.241(a)(2)(ii).
\17\ 12 CFR 390.241(a)(3).
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For the reasons stated above, the FDIC is rescinding and removing
subpart N. Doing so will serve to streamline the FDIC's rules, prevent
confusion and eliminate unnecessary regulations.
III. Regulatory Analysis
A. The Paperwork Reduction Act
In accordance with the requirements of the Paperwork Reduction Act
(44 U.S.C. 3501, et seq.) (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. Rescinding and removing subpart N will
not revise any existing information collections pursuant to the PRA.
Consequently, the FDIC has not submitted any information collection
request to the OMB for review.
B. The Regulatory Flexibility Act
The Regulatory Flexibility Act, 5 U.S.C. 601, et seq. (RFA),
requires that each federal agency either (1) certify that a proposed
rule would not, if adopted in final form, have a significant economic
impact on a substantial number of small entities or (2) prepare an
initial regulatory flexibility analysis of the rule and publish the
analysis for comment. Rescinding and removing subpart N will leave the
FDI Act as the sole source of the FDIC's authority to act as
conservator or receiver for an insured depository institution and does
not impose any obligations or restrictions on banking organizations,
including small banking organizations. On this basis, the FDIC
certifies that the removal of subpart N would not have a significant
impact on a substantial number of small entities within the meaning of
those terms as used in the RFA.
C. Small Business Regulatory Enforcement Fairness Act
No notice of a final rule is being provided to Congress regarding
this amendment under the Small Business Regulatory Enforcement Fairness
Act of 1996, 5 U.S.C. 801, et seq., (SBREFA). SBREFA provides generally
for agencies to report rules to Congress and for major rules not to
take effect for a certain period after the notice has been received.
However, section 251 of SBREFA provides that rules of agency practice
and procedure that do not substantially affect the rights or
obligations of non-agency parties are not subject to the reporting
requirement and may be made effective in accordance
[[Page 5017]]
with the Administrative Procedure Act, 5 U.S.C. 701 et seq., and any
other applicable law. The Office of Management and Budget has
determined that the Final Rule is not a ``major rule'' within the
meaning of SBREFA.
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 completed the last comprehensive review of its
regulations under EGRPRA in 2006 and has commenced the next decennial
review. The action taken on this rule will be included as part of the
EGRPRA review that is currently under way.
E. Plain Language
Section 722 of the Gramm-Leach-Bliley Act, Public Law 106-102, 113
Stat. 1338, 1471, 12 U.S.C. 4809, requires each Federal banking agency
to use plain language in all of its proposed and final rules published
after January 1, 2000. As a federal banking agency subject to the
provisions of this section, the FDIC has sought to present the final
rule to rescind and remove subpart N in a simple and straightforward
manner. The FDIC's proposal to rescind and remove subpart N invited
comments on whether the proposal was clearly stated and effectively
organized, and how the FDIC might make the proposal easier to
understand. No comments were received.
List of Subjects in Part 390
Banks and banking, Savings associations.
Authority and Issuance
For the reasons stated in the preamble and under the authority of
12 U.S.C. 5412, the Board of Directors of the Federal Deposit Insurance
Corporation amends 12 CFR part 390 as follows:
PART 390--REGULATIONS TRANSFERRED FROM THE OFFICE OF THRIFT
SUPERVISION
0
1. The authority citation for part 390 is revised to read as follows:
Authority: 12 U.S.C. 1819.
Subpart F also issued under 5 U.S.C. 552; 559; 12 U.S.C. 2901 et
seq.
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 I also issued under 12 U.S.C. 1831x.
Subpart J also issued under 12 U.S.C. 1831p-1.
Subpart L also issued under 12 U.S.C. 1831p-1.
Subpart M also issued under 12 U.S.C. 1818.
Subpart O also issued under 12 U.S.C. 1828.
Subpart P also issued under 12 U.S.C. 1470; 1831e; 1831n; 1831p-
1; 3339.
Subpart Q also issued under 12 U.S.C. 1462; 1462a; 1463; 1464.
Subpart R also issued under 12 U.S.C. 1463; 1464; 1831m; 1831n;
1831p-1.
Subpart S also issued under 12 U.S.C. 1462; 1462a; 1463; 1464;
1468a; 1817; 1820; 1828; 1831e; 1831o; 1831p-1; 1881-1884; 3207;
3339; 15 U.S.C. 78b; 78 l; 78m; 78n; 78p; 78q; 78w; 31 U.S.C. 5318;
42 U.S.C. 4106.
Subpart T also issued under 12 U.S.C. 1462a; 1463; 1464; 15
U.S.C. 78c; 78 l; 78m; 78n; 78w.
Subpart V also issued under 12 U.S.C. 3201-3208.
Subpart W also issued under 12 U.S.C. 1462a; 1463; 1464; 15
U.S.C. 78c; 78 l; 78m; 78n; 78p; 78w.
Subpart X also issued under 12 U.S.C. 1462; 1462a; 1463; 1464;
1828; 3331 et seq.
Subpart Y also issued under 12 U.S.C.1831o.
Subpart Z also issued under 12 U.S.C. 1462; 1462a; 1463; 1464;
1828 (note).
Subpart N--[Removed and Reserved]
0
2. Remove and reserve subpart N consisting of Sec. Sec. 390.240
through 390.241.
Dated at Washington, DC, this 21st day of January, 2015.
By order of the Board of Directors.
Federal Deposit Insurance Corporation.
Robert E. Feldman.
Executive Secretary.
[FR Doc. 2015-01326 Filed 1-29-15; 8:45 am]
BILLING CODE 6714-01-P
