Rule2026-05544

Rules of Procedure; Correction

Primary source

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Published
March 20, 2026
Effective
March 20, 2026

Issuing agencies

Federal Reserve System

Abstract

The Board is revising its Rules of Procedure to make certain technical corrections.

Full Text

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<title>Federal Register, Volume 91 Issue 54 (Friday, March 20, 2026)</title>
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[Federal Register Volume 91, Number 54 (Friday, March 20, 2026)]
[Rules and Regulations]
[Pages 13491-13492]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-05544]



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Rules and Regulations
                                                Federal Register
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Federal Register / Vol. 91, No. 54 / Friday, March 20, 2026 / Rules 
and Regulations

[[Page 13491]]



FEDERAL RESERVE SYSTEM

12 CFR Part 262

[Docket No. R-1886]
RIN 7100-AH19


Rules of Procedure; Correction

AGENCY: Board of Governors of the Federal Reserve System (Board).

ACTION: Final rule; correcting amendments.

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SUMMARY: The Board is revising its Rules of Procedure to make certain 
technical corrections.

DATES: Effective March 20, 2026.

FOR FURTHER INFORMATION CONTACT: Jonah Kind, Senior Counsel, (202) 309-
5287; Evan Hechtman, Senior Counsel, (202) 897-7694, Legal Division, 
Board of Governors of the Federal Reserve System, 20th Street and 
Constitution Avenue NW, Washington, DC 20551. For users of TTY-TRS, 
please call 711 from any telephone, anywhere in the United States.

SUPPLEMENTARY INFORMATION: The Board is making technical corrections to 
provisions of its Rules of Procedure \1\ regarding the newspaper notice 
requirements associated with certain applications submitted to the 
Board.\2\ In particular, the Board is correcting two provisions of the 
Rules of Procedure, which set forth the communities in which an 
applicant must cause the publication of a newspaper notice in the case 
of an application under section 3 of the Bank Holding Company Act (BHC 
Act) \3\ or under section 10 of the Home Owners' Loan Act (HOLA).\4\
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    \1\ 12 CFR part 262.
    \2\ 12 CFR 262.3(b)(1). This action was approved by the 
Secretary of the Board, acting under delegated authority. 12 CFR 
265.5(a)(4).
    \3\ 12 CFR 262.3(b)(1)(ii)(E).
    \4\ 12 CFR 262.3(b)(1)(ii)(F).
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    Prior to 1980, with regard to applications under section 3 of the 
BHC Act, the Board's Rules of Procedure required publication of a 
newspaper notice in ``the community or communities in which the head 
offices of the largest subsidiary bank, if any, of an applicant and of 
each bank, shares of which are to be directly or indirectly acquired, 
are located.'' \5\ In 1980, the Board published in the Federal Register 
a notice (1980 Notice) amending its Rules of Procedure to ``require[e] 
the use of a standardized form of notice; specify[ ] that notices 
appear in the classified legal notices section of the newspaper; and 
require[ ] submission of the application immediately after the first 
notice is published.'' \6\ However, in the 1980 Notice, the word ``of'' 
was inadvertently changed to ``or'' in one instance, and the relevant 
language was changed to ``the community or communities in which the 
head offices of the largest subsidiary bank, if any, or an applicant 
and of each bank, shares of which are to be directly or indirectly 
acquired, are located.'' \7\
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    \5\ See 43 FR 47157 (October 12, 1978) (emphasis added).
    \6\ 45 FR 81543 (December 11, 1980).
    \7\ 45 FR 81543, 81544 (December 11, 1980) (emphasis added).
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    In 2011, after the responsibility for supervision and regulation of 
savings and loan holding companies was transferred from the Office of 
Thrift Supervision to the Board, the Board made technical changes to 
its Rules of Procedure, including the addition of a provision regarding 
the communities in which a newspaper notice must be published in 
connection with an application under section 10 of HOLA.\8\ The wording 
of this provision was copied, with relevant changes regarding entity 
type (i.e., references to ``bank'' were changed to ``savings 
association''), directly from the provision regarding applications 
under section 3 of the BHC Act. Therefore, this provision also includes 
the use of the word ``or'' rather than ``of.'' \9\
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    \8\ 76 FR 56508 (September 13, 2011).
    \9\ 12 CFR 262.3(b)(1)(ii)(F) (``The community or communities in 
which the head offices of the largest subsidiary savings 
association, if any, or an applicant and of each savings 
association, shares of which are to be directly or indirectly 
acquired, are located . . . .'') (emphasis added).
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    The use of ``or'' rather than ``of'' in these two provisions of the 
Rules of Procedure results in unclear and grammatically incorrect 
language, which has resulted in confusion among some applicants. It 
does not appear that the Board intended to change this aspect of its 
rules regarding applications under section 3 of the BHC Act in 
connection with the 1980 Notice; rather, the change appears to have 
been a typographical error, which was subsequently introduced to the 
provision regarding applications under section 10 of HOLA. This final 
rule corrects these technical errors by replacing the word ``or'' with 
``of'' in the relevant instance in both of these provisions.

Administrative Law

A. Administrative Procedure Act

    The Board is issuing this final rule without prior notice and the 
opportunity for public comment and the 30-day delayed effective date 
ordinarily prescribed by the Administrative Procedure Act (APA).\10\ 
Pursuant to section 553(b)(B) of the APA, general notice and the 
opportunity for public comment are not required with respect to a 
rulemaking when an ``agency for good cause finds (and incorporates the 
finding and a brief statement of reasons therefor in the rules issued) 
that notice and public procedure thereon are impracticable, 
unnecessary, or contrary to the public interest.'' \11\
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    \10\ 5 U.S.C. 553.
    \11\ 5 U.S.C. 553(b)(B).
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    The Board believes that the public interest is best served by 
implementing the final rule as soon as possible. Public comment is 
unnecessary, as the technical edits discussed here merely correct 
drafting errors.
    The corrections made by this final rule will reduce ambiguity and 
ensure that newspaper publications associated with applications 
submitted under section 3 of the BHC Act and section 10 of HOLA are 
published in a consistent manner.
    The APA also requires a 30-day delayed effective date, except for 
(1) substantive rules which grant or recognize an exemption or relieve 
a restriction; (2) interpretative rules and statements of policy; or 
(3) as otherwise provided by the agency for good cause.\12\ The Board 
finds good cause to publish the final rule correction with an immediate 
effective date for the same reasons set forth above under the 
discussion of section 553(b)(B) of the APA.
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    \12\ 5 U.S.C. 553(d).

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[[Page 13492]]

B. Paperwork Reduction Act

    The Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (PRA) 
states that no agency may conduct or sponsor, nor is the respondent 
required to respond to, an information collection unless it displays a 
currently valid OMB control number. The information collection 
requirements associated with this final rule are implemented through 
the Board's FR Y-3 (Application to Become a Bank Holding Company and/or 
Acquire an Additional Bank or Bank Holding Company) (OMB No. 7100-0121) 
and FR LL-10(e) (Application to Become a Savings and Loan Holding 
Company or to Acquire a Savings Association or Savings and Loan Holding 
Company) (OMB No. 7100-0336), both of which provide detailed 
instructions regarding the newspaper publication requirement associated 
with an application. The Board is not proposing revisions to either the 
FR Y-3 or the FR LL-10(e) at this time.

C. Regulatory Flexibility Act

    The Regulatory Flexibility Act (RFA) \13\ requires an agency to 
consider whether the rules it proposes will have a significant economic 
impact on a substantial number of small entities.\14\ The RFA applies 
only to rules for which an agency publishes a general notice of 
proposed rulemaking pursuant to 5 U.S.C. 553(b). As discussed 
previously, consistent with section 553(b)(B) of the APA, the Board has 
determined for good cause that general notice and opportunity for 
public comment is unnecessary and contrary to the public's interest, 
and therefore the Board is not issuing a notice of proposed rulemaking. 
Accordingly, the Board has concluded that the RFA's requirements 
relating to an initial and final regulatory flexibility analysis do not 
apply.
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    \13\ 5 U.S.C. 601 et seq.
    \14\ Under regulations issued by the Small Business 
Administration, a small entity includes a depository institution, 
bank holding company, or savings and loan holding company with total 
assets of $850 million or less. See 13 CFR 121.201.
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D. Plain Language

    Section 722 of the Gramm-Leach-Bliley Act \15\ requires the Federal 
banking agencies to use ``plain language'' in all proposed and final 
rules published after January 1, 2000. In light of this requirement, 
the Board has sought to present the final rule in a simple and 
straightforward manner.
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    \15\ 12 U.S.C. 4809.
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List of Subjects in 12 CFR Part 262

    Administrative practice and procedure, Banks, Banking, Federal 
Reserve System.

Authority and Issuance

    For the reasons stated in the preamble the Board of Governors of 
the Federal Reserve System amends 12 CFR part 262 as follows:

PART 262--RULES OF PROCEDURE

0
1. The authority citation for part 262 continues to read as follows:

    Authority: 5 U.S.C. 552; 12 U.S.C. 248, 321, 325, 326, 483, 602, 
611a, 625, 1467a, 1828(c), 1842, 1844, 1850a, 1867, 3105, 3106, 
3108, 5361, 5368, 5467, and 5469.


0
2. In Sec.  262.3, revise paragraphs (b)(1)(ii)(E) and (F) to read as 
follows:


Sec.  262.3  Applications.

* * * * *
    (b) * * *
    (1) * * *
    (ii) * * *
    (E) The community or communities in which the head offices of the 
largest subsidiary bank, if any, of an applicant and of each bank, 
shares of which are to be directly or indirectly acquired, are located 
in the case of applications under section 3 of the Bank Holding Company 
Act, or
    (F) The community or communities in which the head offices of the 
largest subsidiary savings association, if any, of an applicant and of 
each savings association, shares of which are to be directly or 
indirectly acquired, are located in the case of applications under 
section 10 of the Home Owners' Loan Act.
* * * * *

    By order of the Board of Governors of the Federal Reserve 
System, acting through the Secretary of the Board under delegated 
authority.
Benjamin W. McDonough,
Secretary of the Board.
[FR Doc. 2026-05544 Filed 3-19-26; 8:45 am]
BILLING CODE 6201-01-P


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Indexed from Federal Register on March 20, 2026.

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