Current through Reg. 49, No. 38; September 20, 2024
(a) Authority. The assessment schedule
contained in this section is made under the authority contained in the Finance
Code, §
RSA
31.003(a)(4) and §
RSA
204.003(b).
(b) Definitions. The following words and
terms, when used in this section, §
RSA
3.37 of this title (relating to Calculation
of Annual Assessment for Banks), or §
RSA
3.38 of this title (relating to Calculation
of Annual Assessment for Foreign Bank Branches and Agencies), shall have the
following meanings, unless the context clearly indicates otherwise.
(1) Assessable assets--The sum of on-book
assets and average off-book assets of a bank, foreign bank branch, or foreign
bank agency.
(2) Average off-book
assets--The average of the off-balance sheet items reported by a bank, foreign
bank branch, or foreign bank agency in its most recent March 31st call report
and the three immediately preceding call reports, as adjusted under subsection
(c) of this section.
(3) Call
report--The FFIEC quarterly, consolidated report of condition and income
(including domestic and foreign subsidiaries) prepared and filed by a bank,
foreign bank branch, or foreign bank agency under state and federal
law.
(4) CAMELS composite rating--A
bank's composite rating under the Uniform Financial Institutions Rating System
(UFIRS), as described more fully in Supervisory Memorandum 1001, assigned by
the department to a state bank in connection with its most recent examination
by the department or by a federal bank regulatory agency .
(5) FFIEC--The Federal Financial Institutions
Examination Council.
(6) On-book
assets--The total assets reported by a bank, foreign bank branch, or foreign
bank agency on the balance sheet contained in its most recent March 31st call
report, minus the outstanding balance of PPP loans included on "Schedule RC-M -
Memoranda."
(7) PPP--The Paycheck
Protection Program administered by the Small Business Administration.
(c) Calculation of average
off-book assets. As a component of assessable assets, a bank, foreign bank
branch, or foreign bank agency must calculate a four-quarter average of
off-book assets specifically as instructed in the assessment form applicable to
the institution, using the most recent March 31st call report and the three
preceding call reports. In general, the bank, foreign bank branch, or foreign
bank agency must sum all line items for which values are included on "Schedule
RC-L-Off-Balance Sheet Items," which could result in assets of the institution,
with the exception of:
(1) Amount of
financial standby letter of credit conveyed to others;
(2) Amount of performance standby letter of
credit conveyed to others;
(3)
Participations in acceptances conveyed to others by the reporting bank, foreign
bank branch, or foreign bank agency; and
(4) All line items related to derivative
products as identified by the department.
(d) Annual assessment. Effective September 1
of each year, the department will establish the annual assessment for each
bank, foreign bank branch, and foreign bank agency under subsections (f) and
(g) of this section.
(1) The assessment for a
bank is based on its assessable assets and calculated in the manner described
in §
RSA
3.37 of this title. Upon receipt of written
notice from the department, the bank must pay the assessment to the department
in quarterly installments by electronic payment/ACH debited effective September
15, December 15, March 15, and June 15 of each year, or by another method if
directed to do so by the department.
(2) The assessment for a foreign bank branch
or a foreign bank agency is based on its assessable assets and calculated in
the manner described in §
RSA
3.38 of this title. Upon receipt of a written
invoice from the department, the foreign bank branch or foreign bank agency
must pay the assessment to the department in quarterly installments, due on or
before September 15, December 15, March 15, and June 15 of each year, or by
another method if directed to do so by the department.
(3) A foreign bank representative office
shall pay an annual assessment fee of $2,500 to cover the cost of examinations
and all associated expenses unless the foreign bank also maintains a foreign
bank branch or foreign bank agency in this state subject to assessment under
paragraph (2) of this subsection. Upon receipt of a written invoice from the
department, each foreign bank representative office to which this paragraph
applies must pay its annual assessment to the department in a single
installment, due on or before September 15 of each year. The department may
require each foreign bank representative office to pay the annual assessment
fee through electronic funds transfer.
(e) Review of assessment factors. The
department will review all appropriations, revenue sources, expenditure
patterns, and other revenues and costs related to examination and supervision
of banks, foreign bank branches, foreign bank agencies, and present to the
finance commission no less frequently than once each biennium such information
and a calculation chart that sets forth the annual assessment
factors.
(f) Interim adjustments.
(1) If the size, condition, or other
characteristics of a bank, foreign bank branch or foreign bank agency change
sufficiently during a year to cause the institution to fall into a different
assessable asset group or to be subject to a new or different surcharge based
on a change in the institution's CAMELS composite rating, the department will
adjust the annual assessment to the appropriate amount beginning with the first
billed quarterly installment after the change .
(2) In the event of an acquisition or merger
involving a surviving state bank, foreign bank branch, or foreign bank agency,
the department will adjust the annual assessment to reflect the result of the
acquisition or merger beginning with the first billed quarterly installment
after the consummation of the transaction. The asset group will be calculated
on the basis of the combined assessable assets of the surviving
institution.
(3) A financial
institution that becomes subject to this section during a fiscal year as a
result of conversion, merger, branching, or other change during a fiscal year
must pay to the department an assessment beginning in the quarter of the
conversion, merger, or other change to reflect only the quarter or quarters of
the year in which the institution is subject to this section.
(4) Each bank, foreign bank branch, and
foreign bank agency must pay to the department the full quarterly installment
of the assessment for the next three-month period on the due date of the
installment without proration for any reason.
(g) Adjustment of an installment. The banking
commissioner may, after review and consideration of actual and projected
revenues and expenditures in the current fiscal year, lower the aggregate
amount of an installment and bill each institution subject to assessment a
proportionally lower amount, without the prior approval of the finance
commission.
(h) Specialty
examination fees.
(1) Examinations of
fiduciary activities and other special examinations and investigations,
including but not limited to examinations of bank holding companies, interstate
branches of state banks in Texas as host state, affiliates, and third-party
contractors, are subject to a separate charge to cover the cost of time and
expenses incurred in these examinations.
(2) The fee for an examination under this
subsection will be calculated at a rate not to exceed $110 per examiner hour,
to recoup the salary expense of examiners plus a proportionate share of
department overhead allocable to the examination function. The banking
commissioner in the exercise of discretion may lower the rate in connection
with a specific examination or investigation for equitable reasons, without the
prior approval of the finance commission.
(3) In connection with an examination under
this subsection, the regulated entity or other legally responsible party shall
pay to the department the examination fee set forth in paragraph (2) of this
subsection, and shall also pay to the department an amount for actual travel
expenses incurred by the examiners, including mileage, public transportation,
food, and lodging.
(i)
Special assessments. The finance commission may approve a special assessment to
cover material expenditures, such as major facility repairs and improvements
and other extraordinary expenses.
