OCC Updates Licensing Booklets and Large Bank Supervision Booklet

OCC issued responses to the frequently asked questions (FAQ) about the December 2021 final rule to rescind its Community Reinvestment Act (CRA) rule. Responding to an FAQ on data reporting, OCC specified that it will require large banks to begin collecting loan data until one year after the bank type changed. Therefore, under the December 2021 final rule, OCC will require newly classified large banks to begin collecting data on January 01, 2023 and report required and optional data the following year. Below are the details on the recently revised Comptroller's Booklets: 

• OCC revised certain licensing booklets, including “Articles of Association, Charter, and Bylaw Amendments,” “Fiduciary Powers,” “Subordinated Debt,” and “Subsidiaries and Equity Investments” booklets of the Comptroller’s Licensing Manual. The Articles of Association, Charter, and Bylaw Amendments booklet describes the OCC policies and procedures regarding articles of association, charter, and bylaw amendments, while the Fiduciary Powers booklet describes the OCC licensing procedures for the exercise of fiduciary powers in national banks or federal savings associations. Additionally, the Subordinated Debt booklet describes the OCC licensing requirements, key policies, and other guidance that apply to subordinated debt issued by national banks and federal savings associations while the Subsidiaries and Equity Investments booklet describes the OCC policies and procedures regarding subsidiaries and equity investments. These revised licensing booklets replace booklets of the same title issued between June 2017 and January 2019. The revised booklets reflect recent changes to 12 CFR 5, contain updated guidance, and make other minor modifications and corrections throughout. These booklets apply to all national banks, federal savings associations, and federal branches and agencies of foreign banking organizations. 
• The updated “Large Bank Supervision” booklet is for use by OCC examiners in connection with their examination and supervision of mid-size and large national banks and federal savings associations as well as foreign-owned U.S. branches and agencies (collectively, banks). This booklet is also used to supervise international operations of midsize and large banks. The updated booklet includes a revised core assessment, which will be effective for core assessment summaries using financial information as of March 31, 2022. The updated booklet includes clarifying updates to clearly set expectations related to preparing and documenting the core assessment summary. It combines information about the core assessment and risk assessment system into the “Core Assessment” section. It also updates the core assessment factors and sub-factors for consistency across risk areas, to focus on the sub-factors most likely to drive the conclusion for each factor, and to include cross-references to relevant OCC issuances. Additionally, the updated booklet clarifies differences between the annual core assessment summary and quarterly supervision updates, adds “focused review” as a supervisory activity type, consistent with the OCC’s current practices, and includes updates for consistency with other OCC issuances and edits for clarity.

Related Links

• Notification on FAQ on Community Reinvestment Act
• FAQ on Community Reinvestment Act (PDF)
• Notification on Revised Licensing Booklets
• Notification on Large Bank Supervision Booklet

Keywords: Americas, US, Banking, Comptroller Handbook, Licensing, Reporting, Data Reporting, Large Banks, FAQ, OCC