Proposed Rule2025-04088
Unsafe and Unsound Banking Practices: Brokered Deposits Restrictions; Guidelines Establishing Standards for Corporate Governance and Risk Management for Covered Institutions With Total Consolidated Assets of $10 Billion or More; Regulations Implementing the Change in Bank Control Act; Withdrawal
Primary source
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Published
March 14, 2025
Issuing agencies
Federal Deposit Insurance Corporation
Abstract
The Federal Deposit Insurance Corporation (FDIC) is withdrawing notices of proposed rulemaking relating to brokered deposit restrictions, corporate governance and risk management, and the Change in Bank Control Act. If the FDIC decides to pursue future regulatory action in any of these areas, it will issue a new proposed rule.
Full Text
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<title>Federal Register, Volume 90 Issue 49 (Friday, March 14, 2025)</title>
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[Federal Register Volume 90, Number 49 (Friday, March 14, 2025)]
[Proposed Rules]
[Page 12115]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-04088]
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Proposed Rules
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains notices to the public of
the proposed issuance of rules and regulations. The purpose of these
notices is to give interested persons an opportunity to participate in
the rule making prior to the adoption of the final rules.
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Federal Register / Vol. 90, No. 49 / Friday, March 14, 2025 /
Proposed Rules
[[Page 12115]]
FEDERAL DEPOSIT INSURANCE CORPORATION
12 CFR Parts 303, 308, 337, and 364
RIN 3064-AF99, 3064-AF94, and 3064-AG04
Unsafe and Unsound Banking Practices: Brokered Deposits
Restrictions; Guidelines Establishing Standards for Corporate
Governance and Risk Management for Covered Institutions With Total
Consolidated Assets of $10 Billion or More; Regulations Implementing
the Change in Bank Control Act; Withdrawal
AGENCY: Federal Deposit Insurance Corporation.
ACTION: Proposed rule; withdrawal.
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SUMMARY: The Federal Deposit Insurance Corporation (FDIC) is
withdrawing notices of proposed rulemaking relating to brokered deposit
restrictions, corporate governance and risk management, and the Change
in Bank Control Act. If the FDIC decides to pursue future regulatory
action in any of these areas, it will issue a new proposed rule.
DATES: The FDIC is withdrawing the proposed rules published at 89 FR
68244 (August 23, 2024), 88 FR 70391 (October 11, 2023), and 89 FR
67002 (August 19, 2024) as of March 14, 2025.
FOR FURTHER INFORMATION CONTACT: Brokered Deposits: Vivek Khare, Senior
Counsel, 202-898-6847, (<a href="/cdn-cgi/l/email-protection#1f6974777e6d7a5f797b767c31787069"><span class="__cf_email__" data-cfemail="36405d5e5744537650525f5518515940">[email protected]</span></a>); Corporate Governance:
Annmarie Boyd, Assistant General Counsel, 202-898-3714,
(<a href="/cdn-cgi/l/email-protection#ddbcbfb2a4b99dbbb9b4bef3bab2ab"><span class="__cf_email__" data-cfemail="066764697f624660626f6528616970">[email protected]</span></a>); Change in Bank Control: Annmarie Boyd, Assistant
General Counsel, 202-898-3714, (<a href="/cdn-cgi/l/email-protection#2243404d5b466244464b410c454d54"><span class="__cf_email__" data-cfemail="8aebe8e5f3eecaeceee3e9a4ede5fc">[email protected]</span></a>).
SUPPLEMENTARY INFORMATION:
Background
The FDIC is withdrawing the notices of proposed rulemaking
described below. The FDIC no longer intends to issue final rules with
respect to these proposals. If the FDIC decides to pursue future
regulatory action in any of these areas, it will issue a new proposed
rule.
Brokered Deposits Proposal
On August 23, 2024, the FDIC published a proposed rule that would
have significantly revised its regulations related to brokered
deposits.\1\ Revamping the brokered deposit rule would be a major
undertaking that would significantly disrupt many aspects of the
deposit landscape. Among other issues, the proposal would have adopted
a narrow interpretation of the primary purpose exception inconsistent
with the plain meaning of the law, and a broad, sweeping provision
related to fees and remuneration. More generally, the proposal failed
to account for the myriads of ways in which deposit arrangements have
evolved over the years.
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\1\ See 89 FR 68244 (Aug. 23, 2024).
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Corporate Governance Proposal
On October 11, 2023, the FDIC published a proposed rule that would
have established new, enforceable safety and soundness standards
related to corporate governance for FDIC-supervised institutions with
$10 billion or more in total consolidated assets.\2\ Although the FDIC
recognizes that sound corporate governance and appropriate controls are
important for banks of all sizes, the proposed rule would have created
a number of overly prescriptive and process-oriented expectations
rather than focusing on core safety and soundness risks. In addition,
the proposed rule would have conflated the roles of management and the
board of directors, created unworkable expectations, and, in certain
areas, would have conflicted with applicable state law.
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\2\ See 89 FR 88 FR 70391 (October 11, 2023).
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Change in Bank Control Act Proposal
On August 19, 2024, the FDIC published a proposed rule that would
have amended its regulations implementing the Change in Bank Control
Act by removing an exemption from the requirement to submit a notice to
the FDIC for an acquisition of voting securities of a depository
institution holding company for which the Federal Reserve reviews a
Change in Bank Control Act notice.\3\ Removing this exemption would
have required a wide range of bank investors to file duplicative
notices with both the FDIC and the Federal Reserve System and could
have discouraged capital investments in FDIC-supervised banks.
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\3\ See 89 FR 67002 (Aug. 19, 2024).
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Withdrawal of Proposed Rules
The FDIC is withdrawing these notices of proposed rulemaking
because, as noted above, it no longer intends to issue final rules with
respect to these proposals. If the FDIC decides to pursue future
regulatory action in any of these areas, it will do so by publishing a
new proposed rule or other issuance consistent with the requirements of
the Administrative Procedure Act, as applicable.
Federal Deposit Insurance Corporation.
By order of the Board of Directors.
Dated at Washington, DC, on March 3, 2025.
Jennifer M. Jones,
Deputy Executive Secretary.
[FR Doc. 2025-04088 Filed 3-13-25; 8:45 am]
BILLING CODE 6714-01-P
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