Current through Reg. 50, No. 187; September 24, 2024
(1) When a non-qualified depository acquires,
merges, or consolidates with a Qualified Public Depository, the resulting
institution automatically becomes a Qualified Public Depository for thirty (30)
days, and assumes the contingent liability, required collateral, and reporting
requirements of the former Qualified Public Depository relative to the Public
Depository Program.
(2) Banks and
savings associations that desire to become a Qualified Public Depository shall
make application to the Chief Financial Officer within thirty (30) days of the
acquisition, merger, or consolidation.
(3) Banks, savings associations, or other
types of institutions which do not meet the requirements to become a Qualified
Public Depository must relinquish all public deposits held by the former
Qualified Public Depository.
(4) If
the resulting bank or savings association chooses not to become a Qualified
Public Depository, the contingent liability, required collateral and reporting
requirements of the former Qualified Public Depository shall continue for a
period of twelve (12) months after the effective date of withdrawal and the
resulting institution shall:
(a) Provide to
the Chief Financial Officer within the 30 day grace period official written
notice of its decision not to become a Qualified Public Depository, stating an
effective date of withdrawal, which shall not be more than six months from the
date of the acquisition, merger, or consolidation. The institution shall not
open any new public deposit accounts after the date of official notice of
withdrawal to the Chief Financial Officer, and it shall not accept or retain
any public deposits after that effective date.
(b) Submit with the written notice of
withdrawal to the Chief Financial Officer, a list of all public deposit
accounts, including those with balances of less than $100,000. This list must
be signed by the Chief Executive Officer and include all account names, account
numbers, balances, and maturity dates if applicable. The list shall include a
schedule specifying when each account is to be closed.
(c) File all monthly, quarterly, and annual
reports required by chapter 280, F.S., and submit with each monthly report an
updated list of public deposit accounts as of the last day of the month
reported. When all accounts are closed, it shall continue to file monthly
reports for twelve (12) months, at which time the contingent liability of the
former Qualified Public Depository shall cease to exist, and all collateral
pledged will be released upon request.
(d) Provide to the Chief Financial Officer,
when all public deposit accounts have been closed, a written certified notice
that the institution no longer holds any public deposits, signed by an
authorized third party qualified to conduct audits.
(e) Notify all public depositors, as shown on
the list of public deposit accounts described in paragraph (4)(b), above, that
the resulting institution is not a Qualified Public Depository, and the funds
it holds for those depositors shall cease to be protected by chapter 280, F.S.,
after the effective date of withdrawal. Penalties incurred because of early
withdrawal shall be the responsibility of the withdrawing depository pursuant
to section 280.11(3),
F.S.
Rulemaking Authority
280.10(7),
280.19 FS. Law Implemented
280.09(2),
280.10,
280.11
FS.
New 7-12-92, Formerly
4C-2.027.
