The Federal Reserve Board adopted rule amendments that delegate the authority to approve certain types of applications, notices and requests to Federal Reserve Banks. The final rule went into effect on July 3, 2019.
Under the final rule, Federal Reserve Banks have the authority to:
- waive a requirement to file certain applications under the Bank Holding Company Act and the Home Owners' Loan Act;
- grant or deny requests for modifying certain commitments;
- authorize a state member bank to make a public welfare investment pursuant to Federal Reserve Act Section 9 (State Banks as Members), under certain circumstances;
- approve certain requests, applications and notices concerning international banking operations filed pursuant to Regulation K (International Banking Operations); and
- approve applications and notices concerning mergers and acquisitions that do not exceed FRB delegation criteria for competition after meeting other qualifying requirements.
To ensure the final rules are not duplicative or contradictory, the FRB also revised or rescinded existing delegations to the Federal Reserve Banks, the Secretary of the Board and the Director of the Division of Supervision and Regulation.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.