Technical Amendments

DEPARTMENT OF THE TREASURY

Office of Thrift Supervision

12 CFR Parts 506, 561, 563, 563d, 574

[No. 96-118]

Technical Amendments

AGENCY: Office of Thrift Supervision, Treasury.

ACTION: Final rule.

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SUMMARY: The Office of Thrift Supervision (OTS) is amending its

regulations to incorporate a number of technical and conforming

amendments. The amendments include a correction to the paragraph

designations used in the transactions with affiliates regulation,

removal or correction of erroneous cross-references, and an amendment

to specify where securities filings are to be made.

EFFECTIVE DATE: December 11, 1996.

FOR FURTHER INFORMATION CONTACT: Mary Gottlieb, Senior Paralegal, (202)

906-7135, or Deborah Dakin, Assistant Chief Counsel, (202) 906-6445,

Regulations and Legislation Division, Chief Counsel's Office, Office of

Thrift Supervision, 1700 G Street, NW., Washington DC 20552.

SUPPLEMENTARY INFORMATION: OTS is today adopting several technical

amendments to its regulations to correct cross-references and

codification errors, and to add a reference to OTS's Securities Filing

Desk to its securities regulations.

Transactions With Affiliates

Current Sec. 563.41(e)(2), as originally adopted in July,

1991,1 specifies that prior notification of transactions with

[[Page 65178]]

any affiliate or subsidiary must be provided to OTS if the transaction

involves (1) a de novo savings association that began operating or an

association or holding company thereof that has been the subject of an

application or notice under part 574 that was approved during the

preceding two years; and (2) a savings association that has a 4 or 5

MACRO (now CAMEL) rating, that is not meeting all of its current

capital requirements, that has entered into a consent to merge, a

supervisory agreement or cease and desist order during the preceding

two year period, or is subject to a formal enforcement proceeding, or

that is otherwise the subject of supervisory concern or requires

extraordinary supervision and OTS provides written notice of the basis

for the concern to the institution.

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\1\ 56 FR 34013 (July 25, 1991).

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The intent of the regulation was that OTS could require prior

notice in either of the above circumstances. The amendment being made

today clarifies that both criteria need not be met. Accordingly, the

``and'' that separates the two clauses is being changed to an ``or.''

Several other clarifying amendments are also being made to

Sec. 563.41(e), including redesignation of the final paragraph in

Sec. 563.41(e)(2) as Sec. 563.41(e)(3). It currently is included as

paragraph (iii), following paragraphs (i) and (ii) outlined above.

Paragraph (iii) specifies the steps to be taken following issuance of

the written notice under paragraphs (i) and (ii), and should not be

part of the same paragraph sequence.

Corrections to Cross-References and Amendment to Securities Filing

Regulation

Section 563d.1, regarding the requirements of the Securities

Exchange Act of 1934, is being amended to specify that securities

filings are to be made with the Securities Filing Desk of the Business

Transaction Division (BTD). The current regulation refers only to BTD.

While the Securities Filings Desk is now housed within the

Dissemination Branch of the Records Management and Information Policy

Division, filings should be addressed to ``Securities Filing Desk,

Business Transactions Division.''

Sections 563.7 and 574.6(c)(5) relating to fixed-term certificate

accounts and acquisition of control are being revised to correct

erroneous cross-references. Section 561.13, which deals with

classifying consumer credit as a loss, is being amended by removing an

outdated cross-reference.

Display Table for Information Collection Requirements

The table setting forth OMB control numbers assigned to collections

of information under the Paperwork Reduction Act contained in OTS

regulations 2 has been updated to reflect any additional

collections approved during 1996, as well as any changes to existing

collections. It is being reprinted in its entirety for ease of reader

reference.

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\2\ 12 CFR 506.1(b).

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Administrative Procedure Act; Riegle Community Development and

Regulatory Improvement Act of 1994

The OTS has found good cause to dispense with both prior notice and

comment on this final rule and a 30-day delay of its effective date

mandated by the Administrative Procedure Act.3 OTS believes that

it is contrary to public interest to delay the effective date of the

rule, as it corrects a number of errors that have caused confusion.

Because the amendments in the rule are not substantive, they will not

detrimentally affect savings associations by becoming effective

immediately.

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\3\ 5 U.S.C. 553.

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In addition, this document is exempt from the requirement found in

section 302 of the Riegle Community Development and Regulatory

Improvement Act of 1994 4 that regulations must not take effect

before the first day of the quarter following publication, as it

imposes no new requirements.

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\4\ Pub. L. 103-325, 12 U.S.C. 4802.

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Regulatory Flexibility Act

Pursuant to section 605(b) of the Regulatory Flexibility Act,5

it is certified that this technical corrections regulation will not

have a significant economic impact on a substantial number of small

entities.

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\5\ Pub. L. 96-354, 5 U.S.C. 601.

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Executive Order 12866

OTS has determined that this rule is not a ``significant regulatory

action'' for purposes of Executive Order 12866.

Unfunded Mandates Reform Act of 1995

OTS has determined that the requirements of this final rule will

not result in expenditures by State, local, and tribal governments, or

by the private sector, of $100 million or more in any one year.

Accordingly, a budgetary impact statement is not required under section

202 of the Unfunded Mandates Reform Act of 1995.

List of Subjects

12 CFR Part 506

Reporting and recordkeeping requirements.

12 CFR Part 561

Savings associations.

12 CFR Part 563

Accounting, Advertising, Crime, Currency, Investments, Reporting

and recordkeeping requirements, Savings associations, Securities,

Surety bonds.

12 CFR Part 563d

Authority delegations (Government agencies), Reporting and

recordkeeping requirements, Savings associations, Securities.

12 CFR Part 574

Administrative practice and procedure, Holding companies, Reporting

and recordkeeping requirements, Savings associations, Securities.

Accordingly, the Office of Thrift Supervision hereby amends title

12, chapter V of the Code of Federal Regulations as set forth below.

PART 506--INFORMATION COLLECTION REQUIREMENTS UNDER THE PAPERWORK

REDUCTION ACT

1. The authority citation for part 506 continues to read as

follows:

Authority: 44 U.S.C. 3501 et seq.

2. Section 506.1 is amended by revising paragraph (b) to read as

follows:

* * * * *

(b) Display.

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Current OMB

12 CFR part or section where identified and described control No.

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502.3................................................... 1550-0053

Part 510................................................ 1550-0081

516.1(c)................................................ 1550-0056

Part 528................................................ 1550-0021

543.2................................................... 1550-0005

543.9................................................... 1550-0007

544.2................................................... 1550-0017

544.5................................................... 1550-0018

544.8................................................... 1550-0011

545.74.................................................. 1550-0013

545.92.................................................. 1550-0006

545.95.................................................. 1550-0006

545.96(c)............................................... 1550-0011

546.2................................................... 1550-0016

546.4................................................... 1550-0066

552.1................................................... 1550-0019

552.2-1................................................. 1550-0005

552.2-6................................................. 1550-0007

552.4................................................... 1550-0017

552.5................................................... 1550-0018

552.6................................................... 1550-0025

552.7................................................... 1550-0025

552.11.................................................. 1550-0011

559.12.................................................. 1550-0013

[[Page 65179]]

552.13.................................................. 1550-0016,

1550-0025

559.3................................................... 1550-0077

559.11.................................................. 1550-0067

559.12.................................................. 1550-0013

559.13.................................................. 1550-0065

560.93(f)............................................... 1550-0078

560.100................................................. 1550-0078

560.101................................................. 1550-0078

560.170................................................. 1550-0078

560.170(c).............................................. 1550-0083

560.172................................................. 1550-0078

560.210................................................. 1550-0078

562.1................................................... 1550-0011

562.1(b)................................................ 1550-0078

562.4................................................... 1550-0011

563.1................................................... 1550-0027

563.1(b)................................................ 1550-0011

563.22.................................................. 1550-0016

563.41(e)............................................... 1550-0078

563.42(e)............................................... 1550-0078

563.43(f) through (h)................................... 1550-0075

563.43(i)(3)............................................ 1550-0075

563.47(e)............................................... 1550-0011

563.74.................................................. 1550-0050

563.76(c)............................................... 1550-0011

563.80.................................................. 1550-0061

563.81.................................................. 1550-0030

563.131................................................. 1550-0028

563.134................................................. 1550-0059

563.173(e).............................................. 1550-0011

563.174(e).............................................. 1550-0011

563.174(f).............................................. 1550-0011

563.175(e).............................................. 1550-0011

563.175(f).............................................. 1550-0011

563.177................................................. 1550-0041

563.180................................................. 1550-0084

563.180(d).............................................. 1550-0003

563.180(e).............................................. 1550-0079

563.181................................................. 1550-0032

563.183................................................. 1550-0032

Part 563b............................................... 1550-0014

563b.4.................................................. 1550-0032

563b.20 through 563b.32................................. 1550-0074

Part 563d............................................... 1550-0019

Part 563e............................................... 1550-0012

Part 563f............................................... 1550-0051

Part 563g............................................... 1550-0035

Part 564................................................ 1550-0078

566.4................................................... 1550-0011

Part 568................................................ 1550-0062

571.6................................................... 1550-0005

574.3(b)................................................ 1550-0032

574.4................................................... 1550-0032

574.5................................................... 1550-0032

574.6................................................... 1550-0015

Part 575................................................ 1550-0071

584.1(f)................................................ 1550-0011

584.2-1................................................. 1550-0063

584.2-2................................................. 1550-0063

584.9................................................... 1550-0063

590.4(h)................................................ 1550-0078

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PART 561--DEFINITIONS

3. The authority citation for part 561 continues to read as

follows:

Authority: 12 U.S.C. 1462, 1462a, 1463, 1464, 1467a.

Sec. 561.13 [Amended]

4. Section 561.13 is amended by removing footnote 1 to the tables.

PART 563--OPERATIONS

5. The authority citation for part 563 continues to read as

follows:

Authority: 12 U.S.C. 375b, 1462, 1462a, 1463, 1464, 1467a, 1468,

1817, 1828, 3806.

Sec. 563.7 [Amended]

6. Section 563.7 is amended in paragraphs (a) and (d)(2) by

removing the phrases ``paragraph (e)'' and ``paragraph (e)(1)'',

respectively, and by adding in lieu thereof the phrases ``paragraph

(d)'' and ``paragraph (d)(1)'', respectively.

Sec. 563.41 [Amended]

7. Section 563.41 is amended by removing the word ``and'' at the

end of paragraph (e)(2)(i), and by adding in lieu thereof the word

``or''; by removing the word ``current'' in paragraph (e)(2)(ii)(B); by

redesignating paragraph (e)(2)(iii) as paragraph (e)(3); and by

removing, in newly designated paragraph (e)(3), the phrase ``paragraph

(e)(2)(ii)'', and by adding in lieu thereof the phrase ``paragraph

(e)(2)''.

PART 563d--SECURITIES OF SAVINGS ASSOCIATIONS

8. The authority citation for part 563d continues to read as

follows:

Authority: 12 U.S.C. 1462a, 1463, 1464; 15 U.S.C. 78c(b), 78l,

78m, 78w, 78d-1.

Sec. 563d.1 [Amended]

9. Section 563d.1 is amended in the fourth sentence by adding the

phrase ``Securities Filing Desk,'' after the phrase ``Business

Transactions Division,''.

PART 574--ACQUISITION OF CONTROL OF SAVINGS ASSOCIATIONS

10. The authority citation for part 574 continues to read as

follows:

Authority: 12 U.S.C. 1467a, 1817, 1831i.

Sec. 574.6 [Amended]

11. Section 574.6(c)(5) is amended by removing the phrase

``paragraph (c)(5)'', and by adding in lieu thereof the phrase

``paragraph (c)''.

Dated: November 18, 1996.

By the Office of Thrift Supervision.

Nicolas P. Retsinas,

Director.

[FR Doc. 96-31315 Filed 12-10-96; 8:45 am]

BILLING CODE 6720-01-P