Proposed Amendments to FDIC Guidelines for Appeals of Material Supervisory Determinations

33942

Federal Register / Vol. 90, No. 136 / Friday, July 18, 2025 / Notices

9 The applicant has 15 days from the submittal of

a motion to intervene to file a written objection to

the intervention.

10 18 CFR 385.214(c)(1).

11 18 CFR 385.214(b)(3) and (d).

includes a document-less intervention

option; for more information, visit

https://www.ferc.gov/docs-filing/efiling/

document-less-intervention.pdf.; or

(2) You can file a paper copy of your

motion to intervene, along with three

copies, by mailing the documents to the

address below. Your motion to

intervene must reference the Project

docket numbers CP25–514–000 and/or

CP25–517–000.

To file via USPS: Debbie-Anne A.

Reese, Secretary, Federal Energy

Regulatory Commission, 888 First Street

NE, Washington, DC 20426.

To file via any other courier: Debbie-

Anne A. Reese, Secretary, Federal

Energy Regulatory Commission, 12225

Wilkins Avenue, Rockville, Maryland

20852.

The Commission encourages

electronic filing of motions to intervene

(option 1 above) and has eFiling staff

available to assist you at (202) 502–8258

or FercOnlineSupport@ferc.gov.

Protests and motions to intervene

must be served on TGP by mail at:

Debbie M. Kalisek, Regulatory Manager,

Tennessee Gas Pipeline Company,

L.L.C., 1001 Louisiana Street, Suite

1000, Houston, Texas 77002 or by email

at (with a link to the document) at

debbie_kalisek@kindermorgan.com.

Any subsequent submissions by an

intervenor must be served on the

applicant and all other parties to the

proceeding. Contact information for

parties can be downloaded from the

service list at the eService link on FERC

Online. Service can be via email with a

link to the document.

Protests and motions to intervene

must be served on the South System

Applicants at: Tina Hardy, Director

Regulatory, Southern Natural Gas

Company, L.L.C., 569 Brookwood

Village, Suite 600, Birmingham,

Alabama, 35209 or by email (with a link

to the document) at Tina_hardy@

kindermorgan.com

vice list at the eService link on FERC

Online. Service can be via email with a

link to the document.

Protests and motions to intervene

must be served on the South System

Applicants at: Tina Hardy, Director

Regulatory, Southern Natural Gas

Company, L.L.C., 569 Brookwood

Village, Suite 600, Birmingham,

Alabama, 35209 or by email (with a link

to the document) at Tina_hardy@

kindermorgan.com. Any subsequent

submissions by an intervenor must be

served on the applicants and all other

parties to the proceeding. Contact

information for parties can be

downloaded from the service list at the

eService link on FERC Online. Service

can be via email with a link to the

document.

All timely, unopposed 9 motions to

intervene are automatically granted by

operation of Rule 214(c)(1).10 Motions to

intervene that are filed after the

intervention deadline are untimely, and

may be denied. Any late-filed motion to

intervene must show good cause for

being late and must explain why the

time limitation should be waived and

provide justification by reference to

factors set forth in Rule 214(d) of the

Commission’s Rules and Regulations.11

A person obtaining party status will be

placed on the service list maintained by

the Secretary of the Commission and

will receive copies (paper or electronic)

of all documents filed by the applicant

and by all other parties.

Tracking the Proceeding

Throughout the proceeding,

additional information about the project

will be available from the Commission’s

Office of External Affairs, at (866) 208–

FERC, or on the FERC website at

www.ferc.gov using the ‘‘eLibrary’’ link

as described above. The eLibrary link

also provides access to the texts of all

formal documents issued by the

Commission, such as orders, notices,

and rulemakings.

In addition, the Commission offers a

free service called eSubscription which

allows you to keep track of all formal

issuances and submittals in specific

dockets

on the FERC website at

www.ferc.gov using the ‘‘eLibrary’’ link

as described above. The eLibrary link

also provides access to the texts of all

formal documents issued by the

Commission, such as orders, notices,

and rulemakings.

In addition, the Commission offers a

free service called eSubscription which

allows you to keep track of all formal

issuances and submittals in specific

dockets. This can reduce the amount of

time you spend researching proceedings

by automatically providing you with

notification of these filings, document

summaries, and direct links to the

documents. For more information and to

register, go to www.ferc.gov/docs-filing/

esubscription.asp.

Intervention Deadline: 5:00 p.m.

Eastern Time on August 5, 2025.

Dated: July 15, 2025.

Debbie-Anne A. Reese,

Secretary.

[FR Doc. 2025–13534 Filed 7–17–25; 8:45 am]

BILLING CODE 6717–01–P

ENVIRONMENTAL PROTECTION

AGENCY

[FRL OP–OFA–187]

Environmental Impact Statements;

Notice of Availability

Responsible Agency: Office of Federal

Activities, General Information 202–

564–5632 or https://www.epa.gov/nepa.

Weekly receipt of Environmental Impact

Statements (EIS)

Filed July 7, 2025 10 a.m. EST Through

July 14, 2025 10 a.m. EST

Pursuant to CEQ Guidance on 42 U.S.C.

4332.

Notice: Section 309(a) of the Clean Air

Act requires that EPA make public its

comments on EISs issued by other

Federal agencies. EPA’s comment letters

on EISs are available at: https://

cdxapps.epa.gov/cdx-enepa-II/public/

action/eis/search.

EIS No. 20250095, Draft, USN, WA,

Bremerton Waterfront Infrastructure

Improvements at Puget Sound Naval

Shipyard and Intermediate

Maintenance Facility, Comment

Period Ends: 09/03/2025, Contact:

Rory Lee 360–509–6379.

EIS No. 20250096, Final, TVA, TN,

Allen Aeroderivative Combustion

Turbine Project, Review Period Ends:

08/18/2025, Contact: Matthew Higdon

865–632–8051.

Dated: July 14, 2025.

Nancy Abrams,

Associate Director, Office of Federal

Activities.

[FR Doc

ments at Puget Sound Naval

Shipyard and Intermediate

Maintenance Facility, Comment

Period Ends: 09/03/2025, Contact:

Rory Lee 360–509–6379.

EIS No. 20250096, Final, TVA, TN,

Allen Aeroderivative Combustion

Turbine Project, Review Period Ends:

08/18/2025, Contact: Matthew Higdon

865–632–8051.

Dated: July 14, 2025.

Nancy Abrams,

Associate Director, Office of Federal

Activities.

[FR Doc. 2025–13523 Filed 7–17–25; 8:45 am]

BILLING CODE 6560–50–P

FEDERAL DEPOSIT INSURANCE

CORPORATION

RIN 3064–ZA50

Guidelines for Appeals of Material

Supervisory Determinations

AGENCY: Federal Deposit Insurance

Corporation.

ACTION: Notice of guidelines; request for

comments.

SUMMARY: The Federal Deposit

Insurance Corporation (FDIC) proposes

to amend its Guidelines for Appeals of

Material Supervisory Determinations to

replace the existing Supervision

Appeals Review Committee with an

independent, standalone office that

would consider and decide supervisory

appeals.

DATES: Written comments must be

received by the FDIC on or before

September 16, 2025 for consideration.

ADDRESSES: Interested parties are

invited to submit written comments,

identified by RIN 3064–ZA50, by any of

the following methods:

Agency Website: https://

www.fdic.gov/federal-register-

publications. Follow instructions for

submitting comments on the agency’s

website.

Email: comments@FDIC.gov. Include

RIN 3064–ZA50 in the subject line of

the message.

Mail: Jennifer M. Jones, Deputy

Executive Secretary, Attention:

Comments—RIN 3064–ZA50, Federal

Deposit Insurance Corporation, 550 17th

Street NW, Washington, DC 20429.

Hand Delivery/Courier: Comments

may be hand-delivered to the guard

station at the rear of the 550 17th Street

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Secretary, Attention:

Comments—RIN 3064–ZA50, Federal

Deposit Insurance Corporation, 550 17th

Street NW, Washington, DC 20429.

Hand Delivery/Courier: Comments

may be hand-delivered to the guard

station at the rear of the 550 17th Street

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Federal Register / Vol. 90, No. 136 / Friday, July 18, 2025 / Notices

1 87 FR 77112 (Dec. 16, 2022).

2 12 U.S.C. 4806(a).

3 12 U.S.C. 4806(f)(2).

4 See 12 U.S.C. 4806(b).

5 12 U.S.C. 4806(f)(1)(A).

6 See 12 U.S.C. 4806(f)(1)(B).

7 See 12 U.S.C. 4806(g).

8 See 60 FR 15923 (Mar. 28, 1995).

9 See 86 FR 6880 (January 25, 2021).

10 See 87 FR 30942 (May 20, 2022).

NW building (located on F Street NW)

on business days between 7 a.m. and 5

p.m.

Public Inspection: Comments

received, including any personal

information provided, may be posted

without change to https://www.fdic.gov/

federal-register-publications.

Commenters should submit only

information they wish to make available

publicly. The FDIC may review, redact,

or refrain from posting all or any portion

of any comment that it may deem to be

inappropriate for publication, such as

irrelevant or obscene material. The FDIC

may post only a single representative

example of identical or substantially

identical comments, and in such cases

will generally identify the number of

identical or substantially identical

comments represented by the posted

example. All comments that have been

redacted, as well as those that have not

been posted, that contain comments on

the merits of this notice will be retained

in the public comment file and will be

considered as required under all

applicable laws. All comments may be

accessible under the Freedom of

Information Act.

FOR FURTHER INFORMATION CONTACT:

James Watts, Counsel, 202–898–6678,

jwatts@fdic.gov; Sarah Chung, Senior

Attorney, 202–898–7376, schung@

fdic.gov; Legal Division

, that contain comments on

the merits of this notice will be retained

in the public comment file and will be

considered as required under all

applicable laws. All comments may be

accessible under the Freedom of

Information Act.

FOR FURTHER INFORMATION CONTACT:

James Watts, Counsel, 202–898–6678,

jwatts@fdic.gov; Sarah Chung, Senior

Attorney, 202–898–7376, schung@

fdic.gov; Legal Division.

SUPPLEMENTARY INFORMATION: The

FDIC’s Guidelines for Appeals of

Material Supervisory Determinations

(Guidelines) provide the process by

which insured depository institutions

(IDIs) may appeal material supervisory

determinations made by the FDIC.1 The

Supervision Appeals Review Committee

(SARC) has been the final level of

review of the FDIC’s material

supervisory determinations. The FDIC is

proposing to revise the Guidelines to

replace the SARC with an independent,

standalone office within the FDIC,

known as the Office of Supervisory

Appeals (Office). The Office would have

delegated authority to consider and

resolve appeals of material supervisory

determinations.

I. Background

Section 309(a) of the Riegle

Community Development and

Regulatory Improvement Act of 1994

(Riegle Act) required the FDIC (as well

as the other Federal banking agencies

and the National Credit Union

Administration) to establish an

‘‘independent intra-agency appellate

process’’ to review material supervisory

determinations.2 The Riegle Act defines

the term ‘‘independent appellate

process’’ to mean ‘‘a review by an

agency official who does not directly or

indirectly report to the agency official

who made the material supervisory

determination under review.’’ 3 In the

appeals process, the FDIC is required to

ensure that (1) an IDI’s appeal of a

material supervisory determination is

heard and decided expeditiously; and

e Act defines

the term ‘‘independent appellate

process’’ to mean ‘‘a review by an

agency official who does not directly or

indirectly report to the agency official

who made the material supervisory

determination under review.’’ 3 In the

appeals process, the FDIC is required to

ensure that (1) an IDI’s appeal of a

material supervisory determination is

heard and decided expeditiously; and

(2) appropriate safeguards exist for

protecting appellants from retaliation by

agency examiners.4

The Riegle Act defines ‘‘material

supervisory determinations’’ to include

determinations relating to (1)

examination ratings; (2) the adequacy of

loan loss reserve provisions; and (3)

classifications on loans that are

significant to an institution.5 Expressly

excluded from this definition are

decisions to appoint a conservator or

receiver for an IDI or to take prompt

corrective action pursuant to section 38

of the Federal Deposit Insurance Act

(FDI Act), 12 U.S.C. 1831o.6 Finally,

section 309(g) of the Riegle Act

expressly provides that the requirement

to establish an appeals process shall not

affect the authority of the Federal

banking agencies to take enforcement or

supervisory actions against an IDI.7

On March 21, 1995, the FDIC’s Board

of Directors (Board) adopted the

Guidelines to implement section 309(a)

and established the SARC to consider

and decide appeals of material

supervisory determinations.8 Since that

time, the SARC has been composed of

FDIC Board members and other senior

FDIC officials.

In January 2021, the FDIC adopted

Guidelines that replaced the SARC with

an independent, standalone office

within the FDIC, known as the Office of

Supervisory Appeals.9 The Office was

granted delegated authority to consider

and resolve appeals of material

supervisory determinations and was

staffed by reviewing officials with bank

supervisory or examination experience

ior

FDIC officials.

In January 2021, the FDIC adopted

Guidelines that replaced the SARC with

an independent, standalone office

within the FDIC, known as the Office of

Supervisory Appeals.9 The Office was

granted delegated authority to consider

and resolve appeals of material

supervisory determinations and was

staffed by reviewing officials with bank

supervisory or examination experience.

In May 2022, the FDIC adopted

revised Guidelines that restored the

SARC as the final level of review of

material supervisory determinations

made by the FDIC.10 Based on extensive

experience over many years, the FDIC

believes that the Office should be

reinstated in order to promote and

enhance the independence of the

appeals process and to ensure requisite

expertise of reviewing officials.

II. Discussion of Guidelines

The FDIC is proposing to establish an

Office of Supervisory Appeals as the

final level of review of material

supervisory determinations made by the

FDIC, replacing the SARC in the

appellate process. The FDIC anticipates

that the structure of the Office would be

largely consistent with that of the

previous Office. The FDIC is also

proposing to make certain other

enhancements to reflect its experience

administering the supervisory appeals

process, as described below. In other

respects, including the timeline for the

submission and review of appeals, the

proposed Guidelines would be

consistent with the current Guidelines.

The FDIC anticipates that an Office

structure, like the one established in

2021, could provide several advantages

over the existing supervisory appeals

process and would address comments

and concerns articulated to the FDIC.

For example, creating a standalone

Office to consider and resolve

supervisory appeals, staffed with former

industry professionals and those with

bank supervisory experience, would

allow the process to operate more

independently and without perceived

conflicts of interest

ntages

over the existing supervisory appeals

process and would address comments

and concerns articulated to the FDIC.

For example, creating a standalone

Office to consider and resolve

supervisory appeals, staffed with former

industry professionals and those with

bank supervisory experience, would

allow the process to operate more

independently and without perceived

conflicts of interest. In addition,

establishing the Office within the FDIC

would continue to protect supervisory

and confidential information while still

satisfying the FDIC’s statutory

requirement to have an intra-agency

appeals process. In addition, the

proposal would ensure that individuals

who decide on appeals have a deep

understanding of banking and the

supervisory process. These changes

would facilitate a robust, independent

supervisory appeals process that would

be consistent over time.

Structure of the Office and Reviewing

Officials

As it did in 2021, the FDIC is

proposing to establish the Office as a

standalone office independent of the

Divisions that make supervisory

determinations. The Office would be

staffed by reviewing officials with

relevant experience, serving on term

appointments. The Office would report

directly to the FDIC Chairperson’s

Office and would be granted delegated

authority from the Board to consider

and resolve appeals.

When the FDIC previously established

an Office of Supervisory Appeals, the

Guidelines required that reviewing

officials be individuals with bank

supervisory or examination experience,

such as retired bank examiners, serving

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olve appeals.

When the FDIC previously established

an Office of Supervisory Appeals, the

Guidelines required that reviewing

officials be individuals with bank

supervisory or examination experience,

such as retired bank examiners, serving

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11 The FDIC has previously noted that this may

be considered a de novo standard of review, but

lays out with more specificity the actual

considerations to be applied. See 87 FR 64034 and

64038 (Oct. 21, 2022).

12 12 U.S.C. 4806(g).

13 In some instances, a determination such as an

examination rating might depend in part upon

determinations that form the basis for a formal

enforcement action. In such cases, the institution

may still appeal the rating on grounds other than

those that form the basis of the formal enforcement

action.

on term appointments. The FDIC

continues to believe direct experience

with the supervisory process is highly

valuable for reviewing officials. The

FDIC recognizes this experience can be

achieved through both government and

industry experience. Furthermore, it

was the FDIC’s experience in 2021 that

hiring only former government officials

resulted in a limited pool of candidates.

Thus, in addition to former government

officials with supervisory experience,

the FDIC will also consider former

bankers and other former industry

professionals with relevant experience

to serve as reviewing officials.

Reviewing officials, as employees of the

FDIC, will be part-time, intermittent

employees who have been cleared for

conflicts of interest and are subject to

the FDIC’s requirements for

confidentiality. The FDIC may also

consider employees with relevant

experience from other government

agencies to serve as reviewing officials

on a part-time basis through interagency

agreement(s)

fficials.

Reviewing officials, as employees of the

FDIC, will be part-time, intermittent

employees who have been cleared for

conflicts of interest and are subject to

the FDIC’s requirements for

confidentiality. The FDIC may also

consider employees with relevant

experience from other government

agencies to serve as reviewing officials

on a part-time basis through interagency

agreement(s). Current FDIC employees

will not be eligible to serve in these

roles, however. Based on past

experience with respect to staffing the

Office, the FDIC plans to initiate the

hiring process in the near term so that

the Office may be fully operational as

soon as the final Guidelines are in place.

When an appeal is submitted to the

Office, a panel of three reviewing

officials would be assigned to consider

the matter. Given the value of

experience with the supervisory

process, at least one member of any

panel would be required to have bank

supervisory experience.

Legal Support for the Office

The Legal Division would provide

counsel to the Office and generally

advise the Office on FDIC policies and

rules. To promote independence, the

Office would be advised by legal staff

that were not involved in making the

material supervisory determinations

under review.

If an appeal seeks to change or modify

FDIC policies or rules, or raises a policy

matter of first impression, the Legal

Division would provide notice, along

with a written explanation, to the

Office. Afterwards, the Legal Division

would refer the matter to the

Chairperson’s Office.

In addition, the Legal Division would

review decisions of the Office for

consistency with applicable laws,

regulations, and policies of the FDIC

prior to their issuance

or raises a policy

matter of first impression, the Legal

Division would provide notice, along

with a written explanation, to the

Office. Afterwards, the Legal Division

would refer the matter to the

Chairperson’s Office.

In addition, the Legal Division would

review decisions of the Office for

consistency with applicable laws,

regulations, and policies of the FDIC

prior to their issuance. If the Legal

Division determines that an Office

decision is contrary to a law, regulation,

or FDIC policy, the Legal Division

would notify the Chairperson’s Office of

the matter and the Office would be

required to revise the decision to

conform with relevant laws, regulations,

or policies. The Legal Division would

not exercise supervisory judgment or

opine on the merits of an appeal.

If an appeal raises procedural

questions, including whether issues

raised by the institution are eligible for

review, the appropriate Division

Director or the Office would refer such

questions to the Legal Division. The

Legal Division would determine

whether an appeal, or an issue raised in

an appeal, is ineligible for review if it

fails to meet the requirements in the

Guidelines. The Legal Division would

provide notice, with a written

explanation, to the Office if an appeal,

or an issue raised in an appeal, is

deemed ineligible for review.

Burden of Proof and Standard of Review

The burden of proof as to all matters

at issue in the appeal, including

timeliness of the appeal if timeliness is

at issue, would rest with the institution.

The proposed Guidelines retain the

existing standard of review for the

Division Director

xplanation, to the Office if an appeal,

or an issue raised in an appeal, is

deemed ineligible for review.

Burden of Proof and Standard of Review

The burden of proof as to all matters

at issue in the appeal, including

timeliness of the appeal if timeliness is

at issue, would rest with the institution.

The proposed Guidelines retain the

existing standard of review for the

Division Director. The Division Director

would review the appeal by considering

whether the material supervisory

determination is consistent with

applicable laws, regulations, and policy,

and make his or her own supervisory

determination without deferring to the

judgments of either party.11 The

Division Director would have discretion

to consider examination workpapers

and other materials developed by staff

during an examination.

The Office would review the appeal

for consistency with the policies

(including regulations, guidance, policy

statements, examination manuals, and

other written publications) of the FDIC

and the overall reasonableness of, and

the support offered for, the positions

advanced. The Office’s standard of

review would align with the Division

Director’s standard of review. Similar to

the current SARC Guidelines and the

2021 Office of Supervisory Appeals

Guidelines, the Office would make an

independent supervisory determination.

However, unlike the current Guidelines

or the 2021 Guidelines, the proposed

Guidelines would specify that the Office

will make its determination without

deferring to the judgments of either

party. This standard of review would

underscore the independence of the

review by the Office, subject to the

reasonableness of the support for the

positions advanced by both parties

ory determination.

However, unlike the current Guidelines

or the 2021 Guidelines, the proposed

Guidelines would specify that the Office

will make its determination without

deferring to the judgments of either

party. This standard of review would

underscore the independence of the

review by the Office, subject to the

reasonableness of the support for the

positions advanced by both parties.

The scope of the Office’s review

would be limited to the facts and

circumstances as they existed prior to,

or at the time the material supervisory

determination was made, even if later

discovered, and no consideration would

be given to any facts or circumstances

that occur or corrective action taken

after the determination was made. As

noted above, the Office would not

consider aspects of an appeal that seek

to change or modify FDIC policy or

rules. Therefore, the Office could not

overturn a material supervisory

determination if the result of such a

ruling would be inconsistent with the

policies of the FDIC.

Formal Enforcement-Related Actions

Section 309 of the Riegle Act, which

required the establishment of an

appellate process, also provides that

‘‘[n]othing in this section shall affect the

authority of an appropriate Federal

banking agency . . . to take enforcement

or supervisory action.’’ 12 To clarify how

the appellate and enforcement processes

interact, the proposed Guidelines would

retain certain provisions, summarized

below, specifically addressing the

appealability of formal enforcement

actions and determinations underlying

formal enforcement actions.

The proposed Guidelines would

continue to allow institutions to appeal

material supervisory determinations

while preserving the FDIC’s ability to

take enforcement action where

appropriate

proposed Guidelines would

retain certain provisions, summarized

below, specifically addressing the

appealability of formal enforcement

actions and determinations underlying

formal enforcement actions.

The proposed Guidelines would

continue to allow institutions to appeal

material supervisory determinations

while preserving the FDIC’s ability to

take enforcement action where

appropriate. The proposed Guidelines

would define ‘‘material supervisory

determination’’ to exclude ‘‘formal

enforcement-related actions and

decisions, including determinations and

the underlying facts and circumstances

that form the basis of a recommended or

pending formal enforcement action.’’

For example, if a violation of law

prompts an enforcement action against

an institution, neither the enforcement

action nor the underlying violation

would be appealable through the

supervisory appeals process; however,

the institution could contest those

matters through the administrative

enforcement process.13

For purposes of the proposed

Guidelines, a formal enforcement action

would commence when the FDIC

initiates a formal investigation, issues a

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14 See 12 U.S.C. 4806(d).

notice of charges or notice of

assessment, provides an institution with

a draft consent order, or provides

written notice that the FDIC is

reviewing the facts and circumstances to

determine if formal enforcement action

is merited. However, a formal

enforcement action would not suspend

or affect a pending appeal that was

previously submitted.

The FDIC has, however, encountered

issues in administering these provisions

of the Guidelines that it believes

warrant further consideration

or provides

written notice that the FDIC is

reviewing the facts and circumstances to

determine if formal enforcement action

is merited. However, a formal

enforcement action would not suspend

or affect a pending appeal that was

previously submitted.

The FDIC has, however, encountered

issues in administering these provisions

of the Guidelines that it believes

warrant further consideration. First, the

Guidelines’ enforcement-related

provisions have been confusing to some

institutions, leading to some uncertainty

as to which determinations are subject

to appeal. Second, the Guidelines

provide for a piecemeal appeal in some

instances by allowing an institution to

appeal certain determinations within

the standard timeframes established by

the Guidelines and others only after a

decision is made on the enforcement

action. Third, in many instances, the

facts underlying an enforcement action

are relevant factors to other material

supervisory determinations (such as

ratings downgrades), but an institution

that wants to appeal such

determinations is unable to include

such facts as part of the record in an

appeal. Finally, the FDIC is concerned

that because many enforcement actions

result in a stipulated order, an

institution may not receive an

independent review of some

supervisory determinations.

Accordingly, the FDIC requests

comment on the provisions of the

proposed Guidelines relating to formal

enforcement-related actions and

decisions and how they might be

addressed in the context of material

supervisory determinations that an

institution seeks to appeal.

Role of the Ombudsman

The Ombudsman currently serves as a

non-voting member of the SARC. The

Ombudsman serves as a neutral liaison

between the FDIC and institutions, as

provided by section 309 of the Riegle

Act.14 Because the FDIC sees value in

the Ombudsman’s perspective, the

proposed Guidelines would allow the

Ombudsman to submit views to the

panel for consideration

n seeks to appeal.

Role of the Ombudsman

The Ombudsman currently serves as a

non-voting member of the SARC. The

Ombudsman serves as a neutral liaison

between the FDIC and institutions, as

provided by section 309 of the Riegle

Act.14 Because the FDIC sees value in

the Ombudsman’s perspective, the

proposed Guidelines would allow the

Ombudsman to submit views to the

panel for consideration. In addition,

consistent with the current Guidelines,

the proposed Guidelines would retain

provisions regarding the Ombudsman’s

neutral oversight of the process and to

monitor the supervisory process for

retaliation.

Ex Parte Communications

The current Guidelines include a

provision on sharing of information,

requiring that information considered

by the SARC be timely shared with both

parties to the appeal, subject to

applicable legal limitations on

disclosure. In light of the Office

structure and the roles defined in the

proposed Guidelines, this provision

would apply to materials submitted to

the Office by either the relevant

Division or the appealing institution.

The Ombudsman would also oversee

the sharing of information considered

by the Office in connection with an

appeal.

Transition Period

Until the Office is fully operational,

the current Guidelines will continue to

apply, and all appeals of Division

Directors’ decisions will be reviewed by

the SARC. Transition from SARC to the

Office will occur when the Office is

fully operational, which will occur

upon or following issuance of the final

revised Guidelines.

Request for Comment

The FDIC is requesting comment on

all aspects of the proposed Guidelines,

including the provisions relating to

formal enforcement-related actions as

explained above.

Regulatory Review

The Office of Information and

Regulatory Affairs (OIRA) of the Office

of Management and Budget has

reviewed this proposal and determined

that it does not constitute a ‘‘significant

regulatory action’’ for purposes of

Executive Order 12866

all aspects of the proposed Guidelines,

including the provisions relating to

formal enforcement-related actions as

explained above.

Regulatory Review

The Office of Information and

Regulatory Affairs (OIRA) of the Office

of Management and Budget has

reviewed this proposal and determined

that it does not constitute a ‘‘significant

regulatory action’’ for purposes of

Executive Order 12866.

For the reasons set out in the

preamble, the Federal Deposit Insurance

Corporation’s Board of Directors

proposes to adopt the Guidelines for

Appeals of Material Supervisory

Determinations as set forth below.

Guidelines for Appeals of Material

Supervisory Determinations

A. Introduction

Section 309(a) of the Riegle

Community Development and

Regulatory Improvement Act of 1994

(Pub. L. 103–325, 108 Stat. 2160) (Riegle

Act) required the Federal Deposit

Insurance Corporation (FDIC) to

establish an independent intra-agency

appellate process to review material

supervisory determinations made at

insured depository institutions that it

supervises. The Guidelines for Appeals

of Material Supervisory Determinations

(Guidelines) describe the types of

determinations that are eligible for

review and the process by which

appeals will be considered and decided.

B. Reviewing Officials

The Office of Supervisory Appeals

(Office) will be staffed with reviewing

officials, hired for terms, who have bank

supervisory or examination experience

or other relevant experience. Reviewing

officials will consider and decide

appeals submitted to the Office in

panels of three reviewing officials

selected by the Office who have no

conflicts of interest with respect to the

appeal or the parties to the appeal. At

least one reviewing official on a panel

will have bank supervisory experience.

Current government employees with

relevant experience may serve on a part-

time basis. However, current FDIC

employees are not eligible.

C

d to the Office in

panels of three reviewing officials

selected by the Office who have no

conflicts of interest with respect to the

appeal or the parties to the appeal. At

least one reviewing official on a panel

will have bank supervisory experience.

Current government employees with

relevant experience may serve on a part-

time basis. However, current FDIC

employees are not eligible.

C. Institutions Eligible To Appeal

The Guidelines apply to the insured

depository institutions that the FDIC

supervises (i.e., insured State

nonmember banks, insured branches of

foreign banks, and state savings

associations), and to other insured

depository institutions for which the

FDIC makes material supervisory

determinations.

D. Determinations Subject To Appeal

An institution may appeal any

material supervisory determination

pursuant to the procedures set forth in

these Guidelines.

(1) Material supervisory

determinations include:

(a) CAMELS ratings under the

Uniform Financial Institutions Rating

System;

(b) IT ratings under the Uniform

Rating System for Information

Technology;

(c) Trust ratings under the Uniform

Interagency Trust Rating System;

(d) CRA ratings under the Revised

Uniform Interagency Community

Reinvestment Act Assessment Rating

System;

(e) Consumer compliance ratings

under the Uniform Interagency

Consumer Compliance Rating System;

(f) Registered transfer agent

examination ratings;

(g) Government securities dealer

examination ratings;

(h) Municipal securities dealer

examination ratings;

(i) Determinations relating to the

appropriateness of loan loss reserve

provisions;

ity

Reinvestment Act Assessment Rating

System;

(e) Consumer compliance ratings

under the Uniform Interagency

Consumer Compliance Rating System;

(f) Registered transfer agent

examination ratings;

(g) Government securities dealer

examination ratings;

(h) Municipal securities dealer

examination ratings;

(i) Determinations relating to the

appropriateness of loan loss reserve

provisions;

(j) Classifications of loans and other

assets in dispute the amount of which,

individually or in the aggregate, exceeds

10 percent of an institution’s total

capital;

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(k) Determinations relating to

violations of a statute or regulation,

including the severity of a violation,

that may affect the capital, earnings, or

operating flexibility of an institution, or

otherwise affect the nature and level of

supervisory oversight accorded an

institution;

(l) Truth in Lending Act (Regulation

Z) restitution;

(m) Filings made pursuant to 12 CFR

303.11(f), for which a request for

reconsideration has been granted, other

than denials of a change in bank control,

change in senior executive officer or

board of directors, or denial of an

application pursuant to section 19 of the

Federal Deposit Insurance Act (FDI Act),

12 U.S.C. 1829 (which are contained in

12 CFR part 308, subparts D, L, and M,

respectively), if the filing was originally

denied by the Director, Deputy Director,

or Associate Director of the Division of

Depositor and Consumer Protection

(DCP) or the Division of Risk

Management Supervision (RMS);

(n) Decisions to initiate informal

enforcement actions (such as

memoranda of understanding);

2 U.S.C. 1829 (which are contained in

12 CFR part 308, subparts D, L, and M,

respectively), if the filing was originally

denied by the Director, Deputy Director,

or Associate Director of the Division of

Depositor and Consumer Protection

(DCP) or the Division of Risk

Management Supervision (RMS);

(n) Decisions to initiate informal

enforcement actions (such as

memoranda of understanding);

(o) Determinations regarding the

institution’s level of compliance with a

formal enforcement action; however, if

the FDIC determines that the lack of

compliance with an existing formal

enforcement action requires an

additional formal enforcement action,

the proposed new enforcement action is

not appealable;

(p) Matters requiring board attention;

and

(q) Any other supervisory

determination (unless otherwise not

eligible for appeal) that may affect the

capital, earnings, operating flexibility,

or capital category for prompt corrective

action purposes of an institution, or that

otherwise affects the nature and level of

supervisory oversight accorded an

institution.

(2) Material supervisory

determinations do not include:

(a) Decisions to appoint a conservator

or receiver for an insured depository

institution, and other decisions made in

furtherance of the resolution or

receivership process, including but not

limited to determinations pursuant to 12

CFR parts 370, 371, and 381, and 12

CFR 360.10 of the FDIC’s rules and

regulations;

(b) Decisions to take prompt

corrective action pursuant to section 38

of the FDI Act, 12 U.S.C. 1831o;

(c) Determinations for which other

appeals procedures exist (such as

determinations of deposit insurance

assessment risk classifications and

payment calculations); and

to determinations pursuant to 12

CFR parts 370, 371, and 381, and 12

CFR 360.10 of the FDIC’s rules and

regulations;

(b) Decisions to take prompt

corrective action pursuant to section 38

of the FDI Act, 12 U.S.C. 1831o;

(c) Determinations for which other

appeals procedures exist (such as

determinations of deposit insurance

assessment risk classifications and

payment calculations); and

(d) Formal enforcement-related

actions and decisions, including

determinations and the underlying facts

and circumstances that form the basis of

a recommended or pending formal

enforcement action.

(3) A formal enforcement-related

action or decision commences, and

becomes unappealable, when the FDIC

initiates a formal investigation under 12

U.S.C. 1820(c) (Order of Investigation),

issues a notice of charges or a notice of

assessment under 12 U.S.C. 1818 or

other applicable laws (Notice of

Charges), provides the institution with a

draft consent order, or otherwise

provides written notice to the

institution that the FDIC is reviewing

the facts and circumstances presented to

determine if a formal enforcement

action is merited under applicable

statutes or published enforcement-

related policies of the FDIC, including

written notice of a referral to the

Attorney General pursuant to the Equal

Credit Opportunity Act (ECOA) or a

notice to the Secretary of Housing and

Urban Development (HUD) for

violations of ECOA or the Fair Housing

Act (FHA). Such notice may be

provided in the transmittal letter

accompanying a Report of Examination.

For the purposes of these Guidelines,

remarks in a Report of Examination do

not constitute written notice that the

FDIC is reviewing the facts and

circumstances presented to determine if

a proposed enforcement action is

merited

velopment (HUD) for

violations of ECOA or the Fair Housing

Act (FHA). Such notice may be

provided in the transmittal letter

accompanying a Report of Examination.

For the purposes of these Guidelines,

remarks in a Report of Examination do

not constitute written notice that the

FDIC is reviewing the facts and

circumstances presented to determine if

a proposed enforcement action is

merited. Commencement of a formal

enforcement-related action or decision

will not suspend or otherwise affect a

pending request for review or appeal

that was submitted before the

commencement of the formal

enforcement-related action or decision.

(4) Additional appeal rights:

(a) In the case of any written notice

from the FDIC to the institution that the

FDIC is determining whether a formal

enforcement action is merited, the FDIC

must issue an Order of Investigation,

issue a Notice of Charges, or provide the

institution with a draft consent order

within 120 days of such a notice, or the

most recent submission of information

from the institution, whichever is later,

or appeal rights will be made available

pursuant to these Guidelines. If the

FDIC timely provides the institution

with a draft consent order and the

institution rejects the draft consent

order in writing, the FDIC must issue an

Order of Investigation or a Notice of

Charges within 90 days from the date on

which the institution rejects the draft

consent order in writing or appeal rights

will be made available pursuant to these

Guidelines. The FDIC may extend these

periods, with the approval of the FDIC

Chairperson, after the FDIC notifies the

institution that the relevant Division

Director is seeking formal authority to

take an enforcement action.

(b) In the case of a referral to the

Attorney General for violations of the

ECOA, beginning on the date the referral

is returned to the FDIC, the FDIC must

proceed in accordance with paragraph

end these

periods, with the approval of the FDIC

Chairperson, after the FDIC notifies the

institution that the relevant Division

Director is seeking formal authority to

take an enforcement action.

(b) In the case of a referral to the

Attorney General for violations of the

ECOA, beginning on the date the referral

is returned to the FDIC, the FDIC must

proceed in accordance with paragraph

(a) of this section, including within the

specified timeframes, or appeal rights

will be made available pursuant to these

Guidelines.

(c) In the case of providing notice to

HUD for violations of the ECOA or the

FHA, beginning on the date the notice

is provided, the FDIC must proceed in

accordance with paragraph (a) of this

section, including within the specified

timeframes, or appeal rights will be

made available pursuant to these

Guidelines.

(d) Written notification will be

provided to the institution within 10

days of a determination that appeal

rights have been made available under

this section.

(e) The relevant FDIC Division and

the institution may mutually agree to

extend the timeframes in paragraphs (a),

(b), and (c) of this section if the parties

deem it appropriate.

E. Good-Faith Resolution

An institution should make a good-

faith effort to resolve any dispute

concerning a material supervisory

determination with the on-site examiner

and/or the appropriate Regional Office.

The on-site examiner and the Regional

Office will promptly respond to any

concerns raised by an institution

regarding a material supervisory

determination. Informal resolution of

disputes with the on-site examiner and

the appropriate Regional Office is

encouraged, but seeking such a

resolution is not a condition to filing a

request for review with the appropriate

Division, either DCP, RMS, or the

Division of Complex Institution

Supervision and Resolution (CISR), or to

filing a subsequent appeal with the

Office under these Guidelines

nation. Informal resolution of

disputes with the on-site examiner and

the appropriate Regional Office is

encouraged, but seeking such a

resolution is not a condition to filing a

request for review with the appropriate

Division, either DCP, RMS, or the

Division of Complex Institution

Supervision and Resolution (CISR), or to

filing a subsequent appeal with the

Office under these Guidelines. An

institution may also avail itself of the

Ombudsman to attempt to reach an

agreeable outcome.

F. Filing a Request for Review With the

Appropriate Division

(1) An institution may file a request

for review of a material supervisory

determination with the Division that

made the determination, either the

Director, DCP, the Director, RMS, or the

Director, CISR (Director or Division

Director), 550 17th Street NW, Room F–

4076, Washington, DC 20429, within 60

calendar days following the institution’s

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receipt of a report of examination

containing a material supervisory

determination or other written

communication of a material

supervisory determination. Requests for

review also may be submitted

electronically. To ensure

confidentiality, requests should be

submitted through securemail.fdic.gov,

directing the message to

DirectorReviewRequest@fdic.gov. A

request for review must be in writing

and must include:

amination

containing a material supervisory

determination or other written

communication of a material

supervisory determination. Requests for

review also may be submitted

electronically. To ensure

confidentiality, requests should be

submitted through securemail.fdic.gov,

directing the message to

DirectorReviewRequest@fdic.gov. A

request for review must be in writing

and must include:

(a) A detailed description of the issues

in dispute, the surrounding

circumstances, the institution’s position

regarding the dispute and any

arguments to support that position

(including citation of any relevant

statute, regulation, policy statement, or

other authority), how resolution of the

dispute would materially affect the

institution, and whether a good-faith

effort was made to resolve the dispute

with the on-site examiner and the

Regional Office; and

(b) A statement that the institution’s

board of directors or senior management

has considered the merits of the request

and has authorized that it be filed.

Senior management is defined as the

core group of individuals directly

accountable to the board of directors for

the sound and prudent day-to-day

management of the institution. If an

institution’s senior management files an

appeal, it must inform the board of

directors of the substance of the appeal

before filing and keep the board of

directors informed of the appeal’s

status.

(2) Within 45 calendar days after

receiving a request for review described

in paragraph (1) of this section, the

Division Director will:

(a) Review the appeal, considering

whether the material supervisory

determination is consistent with

applicable laws, regulations, and policy,

make his or her own supervisory

determination without deferring to the

judgments of either party, and issue a

written determination on the request for

review, setting forth the grounds for that

determination; or

tion, the

Division Director will:

(a) Review the appeal, considering

whether the material supervisory

determination is consistent with

applicable laws, regulations, and policy,

make his or her own supervisory

determination without deferring to the

judgments of either party, and issue a

written determination on the request for

review, setting forth the grounds for that

determination; or

(b) Refer the request for review to the

Office for consideration as an appeal

under Section G and provide written

notice to the institution that the request

for review has been referred to the

Office.

(3) No appeal to the Office will be

allowed unless an institution has first

filed a timely request for review with

the appropriate Division Director.

(4) In any decision issued pursuant to

paragraph (2)(a) of this section, the

Director will inform the institution of

the 30-day time period for filing with

the Office and will provide the mailing

address for any appeal the institution

may wish to file.

(5) The Division Director may request

guidance from the Legal Division as to

procedural or other questions relating to

any request for review.

G. Appeal to the Office

An institution that does not agree

with the written determination rendered

by the Division Director may appeal that

determination to the Office within 30

calendar days after the date of receipt of

that determination. Failure to file within

the 30-day time limit may result in

denial of the appeal by the Office.

1. Filing With the Office

An appeal to the Office will be

considered filed if the written appeal is

received by the FDIC within 30 calendar

days after the date of receipt of the

Division Director’s written

determination or if the written appeal is

placed in the U.S. mail within that 30-

day period. The appeal should be sent

to the address indicated on the Division

Director’s determination being

appealed, or sent via email to ESS_

Appeals@fdic.gov

onsidered filed if the written appeal is

received by the FDIC within 30 calendar

days after the date of receipt of the

Division Director’s written

determination or if the written appeal is

placed in the U.S. mail within that 30-

day period. The appeal should be sent

to the address indicated on the Division

Director’s determination being

appealed, or sent via email to ESS_

Appeals@fdic.gov. An acknowledgment

of the appeal will be provided to the

institution, and copies of the

institution’s appeal will be provided to

the Office of the Ombudsman and the

appropriate Division Director. Copies of

all relevant materials related to an

appeal will be provided to the Office of

the Ombudsman.

2. Contents of Appeal

The appeal should be labeled to

indicate that it is an appeal to the Office

and should contain the name, address,

and telephone number of the institution

and any representative, as well as a

copy of the Division Director’s

determination being appealed. If oral

presentation is sought, that request

should be included in the appeal. If

expedited review is requested, the

appeal should state the reason for the

request. Only matters submitted to the

appropriate Division Director in a

request for review may be appealed to

the Office. Evidence not presented for

review to the Division Director is

generally not permitted; such evidence

may be submitted to the Office only if

approved by the reviewing panel and

with a reasonable time for the Division

Director to review and respond. The

institution should set forth all of the

reasons, legal and factual, why it

disagrees with the Division Director’s

determination. Nothing in this appellate

process shall create any discovery or

other such rights.

3. Burden of Proof

The burden of proof as to all matters

at issue in the appeal, including

timeliness of the appeal if timeliness is

at issue, rests with the institution.

4

The

institution should set forth all of the

reasons, legal and factual, why it

disagrees with the Division Director’s

determination. Nothing in this appellate

process shall create any discovery or

other such rights.

3. Burden of Proof

The burden of proof as to all matters

at issue in the appeal, including

timeliness of the appeal if timeliness is

at issue, rests with the institution.

4. Submission from the Division

Director

The Ombudsman and the Division

Director may submit views regarding the

appeal to the Office within 30 calendar

days of the date on which the appeal is

received by the Office.

5. Oral Presentation

The Office will, if a request is made

by the institution or by FDIC staff, allow

an oral presentation. The panel may

hear oral presentations in person,

telephonically, electronically, or

through other means agreed upon by the

parties. If an oral presentation is held,

the institution and FDIC staff will be

allowed to present their positions on the

issues raised in the appeal and to

respond to any questions from the

panel.

6. Consolidation, Dismissal, and

Rejection

Appeals based upon similar facts and

circumstances may be consolidated for

expediency. An appeal may be

dismissed by the Office if it is not

timely filed, if the basis for the appeal

is not discernable from the appeal, or if

the institution moves to withdraw the

appeal. The Office will decline to

consider an appeal if the institution’s

right to appeal is not yet available under

section D(4), above.

7. Scope of Review and Decision

The panel will be an appellate body

and will make independent supervisory

determinations. The panel will review

the appeal for consistency with the

policies (including regulations,

guidance, policy statements,

examination manuals, and other written

publications) of the FDIC and the

overall reasonableness of, and the

support offered for, the positions

advanced

cope of Review and Decision

The panel will be an appellate body

and will make independent supervisory

determinations. The panel will review

the appeal for consistency with the

policies (including regulations,

guidance, policy statements,

examination manuals, and other written

publications) of the FDIC and the

overall reasonableness of, and the

support offered for, the positions

advanced. The panel will make its own

supervisory determination without

deferring to the judgments of either

party. The panel’s review will be

limited to the facts and circumstances as

they existed prior to, or at the time the

material supervisory determination was

made, even if later discovered, and no

consideration will be given to any facts

or circumstances that occur or

corrective action taken after the

determination was made. The panel will

not consider any aspect of an appeal

that seeks to change or modify existing

FDIC rules or policy, and may not

overturn a material supervisory

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determination if the result of such a

ruling would be inconsistent with the

policies of the FDIC. The panel will

notify the institution, in writing, of its

decision concerning the disputed

material supervisory determination(s)

within 45 days after the date the panel

meets to consider the appeal, which

meeting will be held within 90 days

after either the date of the filing of the

appeal or the date that the Division

Director refers the appeal to the Office.

8. Role of the Legal Division

The Legal Division will provide

counsel to the Office and generally

advise the Office on FDIC policies and

rules

rmination(s)

within 45 days after the date the panel

meets to consider the appeal, which

meeting will be held within 90 days

after either the date of the filing of the

appeal or the date that the Division

Director refers the appeal to the Office.

8. Role of the Legal Division

The Legal Division will provide

counsel to the Office and generally

advise the Office on FDIC policies and

rules. If an appeal seeks to change or

modify FDIC policies or rules, or raises

a policy matter of first impression, the

Legal Division will provide notice,

along with a written explanation, to the

Office, and then, after such notice is

provided, refer the matter to the

Chairperson’s Office.

The Legal Division will review

decisions of the Office for consistency

with applicable laws, regulations, and

policies of the FDIC prior to their

issuance. If the Legal Division

determines that a decision is contrary to

a law, regulation, or policy of the FDIC,

the Legal Division will notify the

Chairperson’s Office of the matter and

the Office will revise the decision to

conform with relevant laws, regulations,

or policies.

If an appeal raises procedural

questions, including whether issues

raised by the institution are eligible for

review, the appropriate Division

Director or the Office will refer such

matters to the Legal Division. The Legal

Division may determine whether an

appeal, or an issue raised in an appeal,

is ineligible for review if it fails to meet

the requirements in the Guidelines. The

Legal Division will provide notice, with

a written explanation, to the Office if an

appeal, or an issue raised in an appeal,

is deemed ineligible for review.

9. Sharing of Appeal Materials

Materials concerning an appeal

submitted to the Office by either the

relevant Division or an appealing

institution will be shared with the other

party to the appeal, subject to applicable

legal limitations on disclosure, on a

timely basis. The Ombudsman will

verify that both parties have received

these materials

an appeal,

is deemed ineligible for review.

9. Sharing of Appeal Materials

Materials concerning an appeal

submitted to the Office by either the

relevant Division or an appealing

institution will be shared with the other

party to the appeal, subject to applicable

legal limitations on disclosure, on a

timely basis. The Ombudsman will

verify that both parties have received

these materials.

H. Publication of Decisions

Decisions of the Office will be

published as soon as practicable, and

the published decisions will be redacted

to avoid disclosure of the name of the

appealing institution and any

information exempt from disclosure

under the Freedom of Information Act

and the FDIC’s document disclosure

regulations found in 12 CFR part 309. In

cases in which redaction is deemed

insufficient to prevent improper

disclosure, published decisions may be

presented in summary form. Published

SARC or Office decisions may be cited

as precedent in appeals to the Office.

Annual reports on the Office’s decisions

and Division Directors’ decisions with

respect to institutions’ requests for

review of material supervisory

determinations also will be published.

I. Appeal Guidelines Generally

Appeals to the Office will be governed

by these Guidelines. The Office, with

the concurrence of the Legal Division,

will retain discretion to waive any

provision of the Guidelines for good

cause. Supplemental rules governing the

Office’s operations may be adopted.

Institutions may request extensions of

the time period for submitting appeals

under these Guidelines from either the

appropriate Division Director or the

Office, as appropriate. If a filing under

these Guidelines is due on a Saturday,

Sunday, or a Federal holiday, the filing

may be made on the next business day.

Institutions may request a stay of a

supervisory action or determination

from the Division Director while an

appeal of that determination is pending.

The request must be in writing and

include the reason(s) for the stay

tor or the

Office, as appropriate. If a filing under

these Guidelines is due on a Saturday,

Sunday, or a Federal holiday, the filing

may be made on the next business day.

Institutions may request a stay of a

supervisory action or determination

from the Division Director while an

appeal of that determination is pending.

The request must be in writing and

include the reason(s) for the stay. The

Division Director has discretion to grant

a stay and will generally decide whether

to grant a stay within 21 days of

receiving the institution’s request,

providing the institution with the

reason(s) for his or her decision in

writing. A stay may be granted subject

to conditions, including time

limitations, where appropriate.

J. Limitation on Agency Ombudsman

Except as otherwise provided by these

Guidelines, the subject matter of a

material supervisory determination for

which either an appeal to the Office has

been filed, or a final Office decision

issued, is not eligible for consideration

by the Ombudsman.

K. Coordination With State Regulatory

Authorities

In the event that a material

supervisory determination subject to a

request for review is the joint product of

the FDIC and a State regulatory

authority, the Director, DCP, the

Director, RMS, or the Director, CISR, as

appropriate, will promptly notify the

appropriate State regulatory authority of

the request, provide the regulatory

authority with a copy of the institution’s

request for review and any other related

materials, and solicit the regulatory

authority’s views regarding the merits of

the request before making a

determination. In the event that an

appeal is subsequently filed with the

Office, the Office will notify the

institution and the State regulatory

authority of its decision. Once the Office

has issued its determination, any other

issues that may remain between the

institution and the State regulatory

authority will be left to those parties to

resolve.

L

ts of

the request before making a

determination. In the event that an

appeal is subsequently filed with the

Office, the Office will notify the

institution and the State regulatory

authority of its decision. Once the Office

has issued its determination, any other

issues that may remain between the

institution and the State regulatory

authority will be left to those parties to

resolve.

L. Effect on Supervisory or Enforcement

Actions

The use of the procedures set forth in

these Guidelines by any institution will

not affect, delay, or impede any formal

or informal supervisory or enforcement

action in progress during the appeal or

affect the FDIC’s authority to take any

supervisory or enforcement action

against that institution.

M. Effect on Applications or Requests

for Approval

Any application or request for

approval made to the FDIC by an

institution that has appealed a material

supervisory determination that relates

to, or could affect the approval of, the

application or request will not be

considered until a final decision

concerning the appeal is made unless

otherwise requested by the institution.

N. Prohibition on Examiner Retaliation

FDIC policy prohibits any retaliation,

abuse, or retribution by an agency

examiner or any FDIC personnel against

an institution. Such behavior against an

institution that appeals a material

supervisory determination constitutes

unprofessional conduct and will subject

the examiner or other personnel to

appropriate disciplinary or remedial

action. In light of this important

principle, the Ombudsman will monitor

the supervision process following an

institution’s submission of an appeal

under these Guidelines. The

Ombudsman will report to the Board on

these matters periodically.

Institutions that believe they have

been retaliated against are encouraged to

contact the Regional Director for the

appropriate FDIC region

emedial

action. In light of this important

principle, the Ombudsman will monitor

the supervision process following an

institution’s submission of an appeal

under these Guidelines. The

Ombudsman will report to the Board on

these matters periodically.

Institutions that believe they have

been retaliated against are encouraged to

contact the Regional Director for the

appropriate FDIC region. Any

institution that believes or has any

evidence that it has been subject to

retaliation may file a complaint with the

Director, Office of the Ombudsman,

Federal Deposit Insurance Corporation,

3501 Fairfax Drive, Suite E–2022,

Arlington, Virginia, 22226, explaining

the circumstances and the basis for such

belief or evidence and requesting that

the complaint be investigated and

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33949

Federal Register / Vol. 90, No. 136 / Friday, July 18, 2025 / Notices

appropriate disciplinary or remedial

action taken. The Office of the

Ombudsman will work with the

appropriate Division Director to resolve

the allegation of retaliation.

Federal Deposit Insurance Corporation.

By order of the Board of Directors.

Dated at Washington, DC, July 15, 2025.

Debra A. Decker,

Executive Secretary.

[FR Doc. 2025–13506 Filed 7–17–25; 8:45 am]

BILLING CODE 6714–01–P

FEDERAL RESERVE SYSTEM

Change in Bank Control Notices;

Acquisitions of Shares of a Bank or

Bank Holding Company

The notificants listed below have

applied under the Change in Bank

Control Act (Act) (12 U.S.C. 1817(j)) and

§ 225.41 of the Board’s Regulation Y (12

CFR 225.41) to acquire shares of a bank

or bank holding company. The factors

that are considered in acting on the

applications are set forth in paragraph 7

of the Act (12 U.S.C. 1817(j)(7))

itions of Shares of a Bank or

Bank Holding Company

The notificants listed below have

applied under the Change in Bank

Control Act (Act) (12 U.S.C. 1817(j)) and

§ 225.41 of the Board’s Regulation Y (12

CFR 225.41) to acquire shares of a bank

or bank holding company. The factors

that are considered in acting on the

applications are set forth in paragraph 7

of the Act (12 U.S.C. 1817(j)(7)).

The public portions of the

applications listed below, as well as

other related filings required by the

Board, if any, are available for

immediate inspection at the Federal

Reserve Bank(s) indicated below and at

the offices of the Board of Governors.

This information may also be obtained

on an expedited basis, upon request, by

contacting the appropriate Federal

Reserve Bank and from the Board’s

Freedom of Information Office at

https://www.federalreserve.gov/foia/

request.htm. Interested persons may

express their views in writing on the

standards enumerated in paragraph 7 of

the Act.

Comments received are subject to

public disclosure. In general, comments

received will be made available without

change and will not be modified to

remove personal or business

information including confidential,

contact, or other identifying

information. Comments should not

include any information such as

confidential information that would not

be appropriate for public disclosure.

Comments regarding each of these

applications must be received at the

Reserve Bank indicated or the offices of

the Board of Governors, Ann E.

Misback, Secretary of the Board, 20th

Street and Constitution Avenue NW,

Washington, DC 20551–0001, not later

than August 4, 2025.

A. Federal Reserve Bank of

Minneapolis (Mark Nagle, Assistant

Vice President) 90 Hennepin Avenue,

Minneapolis, Minnesota 55480–0291.

Comments can also be sent

electronically to MA@mpls.frb.org:

1. Jeffrey T

d or the offices of

the Board of Governors, Ann E.

Misback, Secretary of the Board, 20th

Street and Constitution Avenue NW,

Washington, DC 20551–0001, not later

than August 4, 2025.

A. Federal Reserve Bank of

Minneapolis (Mark Nagle, Assistant

Vice President) 90 Hennepin Avenue,

Minneapolis, Minnesota 55480–0291.

Comments can also be sent

electronically to MA@mpls.frb.org:

1. Jeffrey T. Andersen, Chaska,

Minnesota; to join the Rauenhorst

Family Trust Control Group, a group

acting in concert, to acquire control of

voting shares of Scale Holding Company

(‘‘Scale’’), Minnetonka, Minnesota, by

becoming a co-trustee of the Gerald

Rauenhorst 2004 Children’s Trust u/a/d/

December 23, 2004, Minnetonka,

Minnesota, and the Grandchildren’s

Fidelity Trust u/a/d February 24, 2015,

Minnetonka, Minnesota, which control

Scale and thereby indirectly control

Scale Bank, Edina, Minnesota.

Board of Governors of the Federal Reserve

System.

Michele Taylor Fennell,

Associate Secretary of the Board.

[FR Doc. 2025–13555 Filed 7–17–25; 8:45 am]

BILLING CODE P

FEDERAL RESERVE SYSTEM

Formations of, Acquisitions by, and

Mergers of Bank Holding Companies

The companies listed in this notice

have applied to the Board for approval,

pursuant to the Bank Holding Company

Act of 1956 (12 U.S.C. 1841 et seq.)

(BHC Act), Regulation Y (12 CFR part

225), and all other applicable statutes

and regulations to become a bank

holding company and/or to acquire the

assets or the ownership of, control of, or

the power to vote shares of a bank or

bank holding company and all of the

banks and nonbanking companies

owned by the bank holding company,

including the companies listed below.

The public portions of the

applications listed below, as well as

other related filings required by the

Board, if any, are available for

immediate inspection at the Federal

Reserve Bank(s) indicated below and at

the offices of the Board of Governors

bank holding company and all of the

banks and nonbanking companies

owned by the bank holding company,

including the companies listed below.

The public portions of the

applications listed below, as well as

other related filings required by the

Board, if any, are available for

immediate inspection at the Federal

Reserve Bank(s) indicated below and at

the offices of the Board of Governors.

This information may also be obtained

on an expedited basis, upon request, by

contacting the appropriate Federal

Reserve Bank and from the Board’s

Freedom of Information Office at

https://www.federalreserve.gov/foia/

request.htm. Interested persons may

express their views in writing on the

standards enumerated in the BHC Act

(12 U.S.C. 1842(c)).

Comments received are subject to

public disclosure. In general, comments

received will be made available without

change and will not be modified to

remove personal or business

information including confidential,

contact, or other identifying

information. Comments should not

include any information such as

confidential information that would not

be appropriate for public disclosure.

Comments regarding each of these

applications must be received at the

Reserve Bank indicated or the offices of

the Board of Governors, Ann E.

Misback, Secretary of the Board, 20th

Street and Constitution Avenue NW,

Washington, DC 20551–0001, not later

than August 18, 2025.

A. Federal Reserve Bank of Richmond

(Brent B. Hassell, Assistant Vice

President) P.O. Box 27622, Richmond,

Virginia 23261. Comments can also be

sent electronically to

Comments.applications@rich.frb.org:

1. Bancshares of Carolina, Inc.,

Manning, South Carolina; to become a

bank holding company by acquiring The

Bank of Clarendon, Manning, South

Carolina.

Board of Governors of the Federal Reserve

System.

Michele Taylor Fennell,

Associate Secretary of the Board.

[FR Doc. 2025–13554 Filed 7–17–25; 8:45 am]

BILLING CODE P

GENERAL SERVICES

ADMINISTRATION

[OMB Control No

tions@rich.frb.org:

1. Bancshares of Carolina, Inc.,

Manning, South Carolina; to become a

bank holding company by acquiring The

Bank of Clarendon, Manning, South

Carolina.

Board of Governors of the Federal Reserve

System.

Michele Taylor Fennell,

Associate Secretary of the Board.

[FR Doc. 2025–13554 Filed 7–17–25; 8:45 am]

BILLING CODE P

GENERAL SERVICES

ADMINISTRATION

[OMB Control No. 3090–0326; Docket No.

2025–0001; Sequence No. 10]

Information Collection; General

Services Administration Regulation;

Construction Payrolls and Basic

Records

AGENCY: Office of Acquisition Policy,

General Services Administration (GSA).

ACTION: Notice; request for comments.

SUMMARY: Under the provisions of the

Paperwork Reduction Act, the

Regulatory Secretariat Division will be

submitting to the Office of Management

and Budget (OMB) a request to review

and approve the renewal of an existing

information collection.

DATES: Submit comments on or before

September 16, 2025.

ADDRESSES: Submit comments

identified by Information Collection

3090–0326; Construction Payrolls and

Basic Records to: http://

www.regulations.gov. Submit comments

via the Federal eRulemaking portal by

searching for ‘‘Information Collection

3090–0326; Construction Payrolls and

Basic Records’’. Select the link ‘‘Submit

a Comment’’ that corresponds with

‘‘Information Collection 3090–0326;

Construction Payrolls and Basic

Records’’. Follow the instructions

provided at the ‘‘Submit a Comment’’

screen. Please include your name,

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